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20150930 BM1915.2015 MIAMIBEACH Gity Gommission Meeting - Budget Related City Hall, Commission Ghambers, 3rd Floor, 1700 Gonvention Genter Drive September 30, 2015 Mayor Philip Levine Vice-Mayor Edward L. Tobin Commissioner Michael Grieco Commissioner Joy Malakoff Commissioner Micky Steinberg Commissioner Deede Weithorn Commissioner Jonah Wolfson City Manager Jimmy L. Morales City Attorney Raul J. Aguila City Clerk Rafael E. Granado Visif us at www.miamibeachfl.gov for agendas and video streaming of City Commission Meetings. ATTENTION ALL LOBBYISTS Chapter 2, Article Vll, Division 3 of the City Code of Miami Beach, entitled "Lobbyists," requires the registration of all lobbyists with the City Clerk prior to engaging in any lobbying activity with the City Commission, any City Board or Committee, or any personnel as defined in the subject Code sections. Gopies of the City Code sections on lobbyists laws are available in the Office of the City Clerk. Questions regarding the provisions of the Code should be directed to the Office of the City Attorney. To request this material in alternate format, sign language interpreter (five-day notice required), information on access for persons with disabilities, and/or any accommodation to review any document or participate in any City-sponsored proceedings, call 305.604.2489 and select 1 for English or 2 for Spanish, then option 6; ffYusers may callvia 711 (Florida Relay Service). ln orderto ensure adequate public consideration, if necessary, the Mayor and City Commission may move any agenda item to an alternate meeting date. ln addition, the Mayor and City Commission may, at their discretion, adjourn the Commission Meeting without reaching all agenda items. AGENDA Call to Order - 5:00 p.m. Pledge of Allegiance Requests for Additions, Withdrawals, and Deferrals 1. 2. 3. We are committed to providing excellent public service and safety to all who live, work, and play in our vibrant, tropical, historic community 1 Commission Agenda, September 30, 2015 CONSENT AGENDA C4 - Gommission Committee Assiqnments C4A Referral To The October 5, 2015 Finance And Citywide Projects Committee - Discussion Regarding The Entrance Of Biscayne Point. (Sponsored by Commissioner Jonah Wolfson) C6 - Gommission Committee Reports C6A Report Of The August 28, 2015, Finance And Citywide Projects Committee Meeting: 1. Discussion Of The lssuance Of The Convention Center Bonds. C7 - Resolutions C7A A Resolution Setting A Public Hearing To Consider A Revocable Permit Request By Lincoln Centurion Retail, LLC., (A Delaware Limited Liability Company For Lincoln Road), Located At 643-657 Lincoln Road, To Permit A Proposed Awning That Projects Over The Public Right-Of- Way, With Dimensions Not To Exceed One Hundred Feet By Nine Feet (100'X 9') Along The Sidewalk. (Public Works) 2 Commission Agenda, September 30, 2015 REGULAR AGENDA R5A R5 - Ordinances An Ordinance Amending Ordinance No. 1605, The Unclassified Employees Salary Ordinance Of The City Of Miami Beach, Florida, As Follows: Providing For The Classifications ln Group Vll, Comprised Of At-Will Employees Commonly Referred To As "Unclassified Employees"; Revising The Pay Range For The City Manager And The City Attorney To Reflect The 3 Percent Cost Of Living Adjustment That Went lnto Effect October 1, 2014; Adjusting The Pay Range For The Assistant Director-Public Works, Auditor, Tax Auditor, Senior Auditor, Assistant lnternal Auditor, Asset Manager, Assistant Director-Human Resources, Construction Manager, Management And Budget Analyst, Agenda Coordinator, Transportation Manager And Financial Analyst; Establishing The Following Newly Created Classifications: Assistant To The City Attorney, CAO Paralegal Specialist, Beach Maintenance Director, Administrative Officer-City Manager's Office, Administrative Officer-Planning Department, Assistant Emergency Management Director, Capital Projects Director For The Convention Center District, Assistant Director-Parking Services Compliance, Employee Benefits Manager, Fire Administrative Services Manager, Greenspace Division Director, Fire lnspection Supervisor, Fire Communications Manager, Procurement Contracting Analyst, Streets And Street Lighting Superintendent, Parks And Recreation Projects Coordinator, Parks And Recreation Project Supervisor, Clerk Of Boards, Emergency Management Technician, Police Accreditation Manager, Grants Management Specialist, Rapid Response Team And Excellence Program Assessor; Reclassifying From Development Coordinator To Marketing, Tourism And Development Manager; Grants Manager To Grants Officer, From City Surveyor To City Surveyor Manager, Chief Protection Analyst To Fire Protection Analyst Section Manager, From Streets, Lighting And Stormwater Superintendent To Stormwater Superintendent, Parks Superintendent To Greenspace Superintendent, From Procurement Coordinator To Procurement Contracting Officers I And ll, Senior Procurement Specialist To Procurement Contracting Officer lll And From Leasing Specialist To Real Estate Asset Specialist; Deleting The Following Obsolete Classifications: Affirmative Action Officer, Assistant Director-Neighborhood Services, Development And MBTV Director, Structural Engineer, Employment Supervisor, Historic Preservation Coordinator, PSCU Administrator, Quality Assurance Manager, Quality Assurance Officer, Quality Assurance Coordinator, Senior Business Manager, Housing Manager, Neighborhood Services Projects Administrator, Project Planner/Designer, Public Safety Communications Unit Director, Senior Code Compliance Administrator, lmplementation Services Manager, Special Events Liaison, Police Public lnformation Officer, Elder Affairs Coordinator, Grants Manager, Development Coordinator And Grants Specialist, Requiring That The City Commission Be lnformed Whenever An Unclassified Employee ls Hired At An Annual Salary Of $75,000 Or More; And Providing For Repealer, Severability, And An Effective Date. 5:04 p.m. Second Readinq Public Hearinq (Sponsored by Commissioner Michael Grieco) (Legislative Tracking : Human Resources) (First Reading on September 10,2015 - RsA) 3 R5B Commission Agenda, September 30, 2015 R5C An Ordinance Amending The Code Of The City Of Miami Beach, By Amending Chapter 106, Entitled "Traffic And Vehicles," By Amending Article ll, Entitled "Metered Parking," By Amending Division 1, Entitled "Generally," ByAmending Section 106-55, Entitled "Parking Rates, Fees, And Penalties;" By Amending Parking Meter Rates And Time Limits; Municipal Parking Garage And Preferred Parking Lot Rates And Penalties; Regulations Regarding A Facility Specific Monthly Parking Permit Program, Reserved/Restricted Commercial On-Street Permit Parking, And Valet Storage Spaces; And Amending The Regulations And Fees For Metered Parking Space Rental And Parking Space Removal; Amending The Regulations Regarding The Residential Parking Program; Amending The Exceptions To Section 106-55 To Provide For A Mobile Phone Payment Service And Eliminating The Smart Card Program; And Establishing A Residential Parking Visitor Permit; Providing For Codification, Repealer, Severability, And An Effective Date. 5:05 p.m. Second Readins Public Hearinq (Sponsored by Commissioner Deede Weithorn) (Legislative Tracking: Parking) (First Reading on September 10,2015 - RsB) An Ordinance Amending Appendix A, Entitled "Fee Schedule," To Chapter 110 Of The Miami Beach City Code, Entitled "Utilities," Article lV, Entitled "Fees, Charges, Rates And Billing Procedure," Division 2, Entitled "Rates, FeesAnd Charges," Section 110-166, Entitled "Schedule Of Water Rates And Tapping Charges," And Section 110-168, Entitled "Sanitary Sewer Service Charge," To lncrease The Rate For Water Service Charges ln Excess Of The Minimum Service Charge; And To lncrease The Sanitary Sewer Service Charge By The Same Percentage Enacted By Miami-Dade Water And Sewer Department (WASD) Pursuant To Section 110-168; Providing For Codification, Repealer, Severability, And An Effective Date. 5:06 p.m. Second Readinq Public Hearing (Sponsored by Commissioner Jonah Wolfson) (Legislative Tracking: Public Works) (First Reading on September 10,2015 - RsC) Prohibit Accepting Gifts/Campaign Contributions From A Vendor, Lobbyist On A Procurement lssue, Real Estate Developer, Or Lobbyist On A Real Estate Development lssue 1. An Ordinance Amending Miami Beach City Code Chapter 2 "Administration," Article Vll "Standards Of Conduct," Division 2 "Officers, Employees And Agency Members" By Creation Of City Code Section 2-451.1 Entitled "Prohibited Solicitation/Acceptance Of Gifts" Providing That Commencing January 1, 2016, Members Of The City Commission Or Candidates For Said Offices Shall Be Prohibited From Either Directly Or lndirectly (lncluding, But Not Limited To, Through Their Staff Members Or Authorized Designees) Soliciting Or Accepting A Gift From A Vendor, Lobbyist On A Procurement lssue, Real Estate Developer, Or Lobbyist On A Real Estate Development lssue; Providing For Limited Exception; And Providing For Repealer, Severability, Codification, And An Effective Date. First Readinq (Sponsored by Commissioner Jonah Wolfson) (Legislative Tracking: Office of the City Attorney) R5D 4 Commission Agenda, September 30, 2015 2. An Ordinance Amending Miami Beach City Code Chapter 2 "Administration", Article Vll "Standards Of Conduct", Division 5 "Campaign Finance Reform", Encompassing City Code Sections 2-487 "Prohibited Campaign Contributions By Vendors", City Code Section 2-488 "Prohibited Campaign Contributions By Lobbyists On Procurement lssues", City Code Section 2-489 "Prohibited Campaign Contributions By Real Estate Developers", And City Code Section 2-490 "Prohibited Campaign Contributions By Lobbyists On Real Estate Development lssues", By Providing That Commencing January 1, 2016 Members Of The City Commission Or Candidates For Said Offices Shall Be Prohibited From Either Directly Or lndirectly Soliciting, Accepting Or Depositing Any Campaign Contribution Regarding City Elected Office From A Vendor, Lobbyist On A Procurement lssue, Real Estate Developer, Or Lobbyist On A Real Estate Development lssue; Providing For Repealer, Severability, Codification, And An Effective Date. First Readinq (Sponsored by Commissioner Jonah Wolfson) (Legislative Tracking: Office of the City Attorney) (ltem to be Submitted in Supplemental) RsE An Ordinance Amending Chapter 50 Of The Miami Beach City Code, Entitled "Fire Prevention And Protection," Section 50-8(h) Entitled "Fire Alarms, Regulations, Penalties, Enforcement" To Correct A Scrivener's Error Replacing "Fire lnspector" With "Fire Department" As The Entity Allowed To lssue False Alarm Citations; Providing For Repealer; Codification; Severability; And An Effective Date. First Readinq (Sponsored by Commissioner Joy Malakoff) (Legislative Tracking: Fire) R7 - Resolutions R7A1 A Resolution Adopting: 1) The Final Ad Valorem Millage Of 5.7092 Mills For General Operating Purposes, Which ls Twelve And Nine-Tenths Percent (12.9Yo) More Than The "Rolled-Back" Rate Of 5.0584 Mills; And 2) The Debt Service Millage Rate Of 0.2031 Mills. 5:01 p.m. Second Readinq Public Hearinq (Budget & Performance lmprovement) (First Reading on September 10, 2015 - R7A1) R7A2 A Resolution Adopting Final Budgets For The General, G.O. Debt Service, RDA Ad Valorem Taxes, Enterprise, lnternal Service, And Special Revenue Funds For Fiscal Year 2015/16. 5:01 p.m. Second Readinq Public Hearinq (Budget & Performance lmprovement) (First Reading on September 10,2015 - R7A2) R7B1 A Resolution Of The Board Of Directors Of The Normandy Shores Local Government Neighborhood lmprovement District Adopting The Final Ad Valorem Millage Rate Of 1.0093 Mills For Fiscal Year (FY) 2015116 For The Normandy Shores Local Government District, Which ls One And Four-Tenths Percent (1.4o/o) More Than The "Rolled-Back" Rate Of 0.9956 Mills. 5:02 p.m. Second Readinq Public Hearinq (Budget & Performance lm provement) (First Reading on September 10,2015 - R7B1) 5 Commission Agenda, September 30, 2015 R7B2 A Resolution Of The Board Of Directors Of The Normandy Shores Local Government Neighborhood lmprovement District Adopting The Final Operating Budget For Fiscal Year (FY) 2015116.5:02 p.m. Second Readinq Public Hearinq (Budget & Performance lm provement) (First Reading on September 10,2015 - R7B2) R7C A Resolution Adopting The Final Capital lmprovement Plan For Fiscal Years (FY) 2015/16- 2019120 And Adopting The City Of Miami Beach Final Capital Budget For FY 2015116. 5:03 p.m. Second Readinq Public Hearinq/Joint Gitv Commission & Redevelopment Aqencv (Budget & Performance lmprovement) (First Reading on September 10,2015 - R7C) R7D Assessment Roll For LRBID Special Assessment District And MOU 1.A Resolution Approving, Pursuant To Chapter 170, Florida Statutes, The Final Assessment Roll For The Special Assessment District Known As the Lincoln Road Business lmprovement District, And Confirming Such Assessments As Legal, Valid, And Binding First Liens Upon The Property Against Which Such Assessments Are Made Until Paid. 5:f 0 p.m. Public Hearinq (Office of the City Attorney) A Resolution Approving And Authorizing The Mayor And City Clerk To Execute A Memorandum Of Understanding With The Lincoln Road Business lmprovement District, lnc. To Stabilize And lmprove The Lincoln Road Retail Business District, Which ls Located Within A Nationally Recognized Historic District, Through Promotion, Management, Marketing, And Other Similar Services. (Sponsored by Commissioner Deede Weithorn) (Legislative Tracking: Office of the City Attorney) (ltem to be Submitted in Supplemental) R7E Authorizing lssuance By RDA Of Tax lncrement Revenue Bonds ln Amount Not-To-Exceed $430 Million For Specified Public lmprovements; Authorizing lssuance By City Of Resort Tax Bonds ln Amount Not-To-Exceed $240 Million For Miami Beach Convention Center lmprovements; And Authorizing lssuance By City Of Parking Revenue Bonds ln Amount Not-To-Exceed $80 Million For Parking System lmprovements.1. A Resolution Authorizing The lssuance By The Miami Beach Redevelopment Agency Of Not To Exceed $430,000,000 ln Aggregate Principal Of Tax lncrement Revenue Bonds (City Center/Historic Convention Village), ln Accordance With The Requirements Of Chapter 163, Part lll, Florida Statutes, As Amended; Authorizing Officers And Employees Of The City To Take All Necessary Actions ln Connection Therewith; And Providing For An Effective Date. 5:11 p.m. First Reading Public Hearinq / Joint Citv Commission & Redevelopment Agencv (Finance) 2. 6 Commission Agenda, September 30, 2015 A Resolution Authorizing The lssuance Of Not To Exceed $240,000,000 ln Aggregate Principal Amount Of City Of Miami Beach, Florida Resort Tax Revenue Bonds, Series 2015 For The Purpose Of Financing lmprovements To The Miami Beach Convention Center; Providing For The lssuance Of Additional Bonds On A Parity Therewith; Providing For The Security And Payment Of All Bonds lssued Pursuant To This Resolution; Providing Certain Details Of The Series 2015 Bonds; Delegating Certain Matters ln Connection With The lssuance Of The Series 2015 Bonds To The City Manager, lncluding Whether The Series 2015 Bonds Shall Not Be Secured By The Debt Service Reserve Account And Whether To Secure A Credit Facility And/Or A Reserve Account lnsurance Policy, Within The Limitations And Restrictions Stated Herein; Appointing Underurrriters, Paying Agent, Registrar And Disclosure Dissemination Agent; Authorizing The Negotiated Sale Of The Series 2015 Bonds And Approving The Form And Authorizing Execution Of The Bond Purchase Agreement For The Series 2015 Bonds; Approving The Form Of Preliminary Official Statement ForThe Series 2015 Bonds And Authorizing Execution Of The Final Official Statement For The Series 2015 Bonds, Covenanting To Provide Continuing Disclosure ln Connection With The Series 2015 Bonds And Approving The Form And Authorizing Execution Of A Continuing Disclosure Agreement; Authorizing Officers And Employees Of The City To Take All Necessary Actions ln Connection With The lssuance Of The Series 2015 Bonds; And Providing For An Effective Date. fllfpgq First Readinq Public Hearinq (Finance) A Resolution Authorizing The lssuance Of Not To Exceed $80,000,000 ln Aggregate Principal Amount Of City Of Miami Beach, Florida Parking Revenue Bonds, Series 2015, For The Principal Purpose Of Paying The Cost Of Certain lmprovements To The Parking System, Pursuant To Section 209 Of Resolution No. 2010-27491 Adopted By The City On September 20,2010; Providing That Said Series 2015 Bonds And lnterest Thereon Shall Be Payable Solely As Provided ln Said Resolution No. 2010-27491 And This Resolution; Providing Certain Details Of fhe Series 2015 Bonds; Delegating Other Details And Matters ln Connection With The lssuance Of The Series 2015 Bonds, lncluding Whether The Series 2015 Bonds Shall Not Be Secured By The Reserve Account And Whether To Secure A Credit Facility And/Or A Reserve Account lnsurance Policy, To The City Manager, Within The Limitations And Restrictions Stated Herein; Appointing Undenvriters, A Bond Registrar And A Disclosure Dissemination Agent; Authorizing The Negotiated Sale Of The Series 2015 Bonds And Approving The Form Of And Authorizing The Execution Of A Bond Purchase Agreement; Authorizing And Directing The Bond Registrar To Authenticate And Deliver The Series 2015 Bonds; Approving The Form Of And Distribution Of A Preliminary Official Statement And An Official Statement And Authorizing The Execution Of The Official Statement; Providing For The Application Of The Proceeds Of The Series 2015 Bonds And Creating Certain Funds, Accounts And Subaccounts; Authorizing A Book-Entry Registration System With Respect To The Series 2015 Bonds; Covenanting To Provide Continuing Disclosure ln Connection With The Series 2015 Bonds And Approving The Form Of And Authorizing The Execution And Delivery Of A Continuing Disclosure Agreement; Authorizing Officers And Employees Of The City To Take All Necessary Related Actions; And Providing For An Effective Date. 5:13 p.m. First Readinq Public Hearinq (Finance) 2. 3. 7 Commission Agenda, September 30, 2015 R7F IndependentContractorAgreements 1. 2. A Resolution Authorizing The City Manager, On Behalf Of The City, To Enter lnto Certain lndependent Contractor Agreements For Professional And Other Services, As Required, And As The City Manager Deems ln The Best lnterest Of The City, Subject To And Contingent Upon The Following Parameters: 1) The City Manager Shall Only Enter lnto Contracts To Provide Services Or Work Related To Vacant Budgeted Positions, As ldentified ln The City's Approved Fiscal Year (FY) 201512016 Budget; 2) The Amount Of The Fee Or Other Compensation Under Such Contract(s) Shall Not Exceed The Authorized Amount For The Respective Classification, As Set Forth ln The City's Classified Or Unclassified Salary Ordinance (As The Case May Be); 3) The Term Of Any lndependent Contractor Agreement Authorized Herein Shall Not Extend Beyond The End Of FY 201512016 (September 30, 2016); ) At A Minimum, The City Manager Shall Require That Any lndependent Contractor Agreement Entered lnto Pursuant To This Resolution Shall Utilize The City's Standard Form For lndependent Contractors (As Attached To This Resolution), Provided That The City Manager May lncorporate Additional Terms, Which May Be More Stringent, But Not More Lenient; 5) Requiring The City Manager To lssue A Letter To Commission Each Fiscal Quarter Commencing On January 1, 2016, Which Delineates Those lndependent Contractor Agreements That Exceed $25,000 And 6) Providing That The Authority Granted To The City Manager Pursuant To This Resolution Shall Be Brought To The City Commission For Renewal As Part Of The Annual Operating Budget Approval. (Human Resources) A Resolution Authorizing The City Manager, On Behalf Of The City, To Enter lnto Certain lndependent Contractor Agreements For The Following Services, As Required, And As The City Manager Deems ln The Best lnterest Of The City: Athletics Instruction/Coaching/Refereeing, lncluding But Not Limited To The Following Categories: Baseball, Softball, Soccer, Gymnastics, Cheerleading, Volleyball; lce Skating, Hockey, Swimming, lce Guards, Aerobics lnstruction; Fitness lnstruction; Arts/Music/Cultural/ Drama lnstruction And Or lnstrument Repair; Computer/Media Services, lncluding But Not Limited To lnstruction And Repair; Recreational Programming And lnstruction; lnstruction And Therapy For Participants With Special Needs, lncluding But Not Limited To Education, Health And Wellness; lnstruction/Tutoring, lncluding But Not Limited, To Education; Cotillion; Speech, Debate, Social Skills, Literacy, Math And SAT; Fitness Classes, lncluding But Not Limited To Aerobics, Zumba, Weight Room, Weight Loss, General Fitness lnstruction, Adult, Youth, And Baby Boot Camp; Care Coordination Services; Mental Health Services; lntake (Assessment) Services; Family Group Conferencing; Mentoring Services; Behavior Modification Services; Employment Sessions; Family Functional Therapy; Family Home Visitation Services; Parenting Group Services; Alternative Suspension Services; Restorative Justice Techniques; One-On-One Shadows To Work With Youth With Special Needs; STEM (Science, Technology, Engineering And Mathematics) Activities; School Liaisons For Referral Of Care Coordination Services; Resident Project Representatives (RPR); Reporting Requirements Associated With The Patient Protection And Affordable Care Act; Actuarial Services; Community/Public lnformation Services; Construction Cost Estimating/Consulting Services; Video Production Services; PhotographyA/ideography Services; Graphic Designer Services; Program Monitor Services; Cost Allocation Services; Job Audits; Steplll Disciplinary Grievance Hearing Officer; Auditors; Historical Researcher; Latent Examiner Services; Medical Director And Accreditation Services/Support; Psychological And Testing Services; Organizational Development Meeting Facilitation Services; Professional Training Services, lncluding But Not Limited To, Application Systems lnstruction, Methodologies For Application Systems Development, Sexual Harassment, 8 Commission Agenda, September 30, 2015 Diversity And Team Building; Home Visitors For The Parent-Child Home Program; lnstructors For The Mornings All-Star Programs And HUD Compliance; Application Systems Consulting Services, lncluding But Not Limited To, Application Systems, Architecture, Application Development Best Practices, Application Security, Applications Quality Assurance, Application Monitoring, Mobile Application Development; Consulting Services For Website And Digital Media Strategy; Web Design; Graphic Design; After- Action Services; Provided Further That The City Manager Shall Be Authorized To Negotiate, Enter lnto, And Execute The Aforestated Agreements Subject To The Following Parameters: 1) The Amount Of The Fee Or Other Compensation Under Such Agreement(s) Shall Not Exceed The Authorized Amount For The Respective Services, As Set Forth ln The City's Approved Fiscal Year (FY) 201512016 Annual Budget; 2) The Term Of Any Service Agreement Authorized Herein Shall Not Extend Beyond The End Of FY 201512016 (September 30, 2016);3) At A Minimum, The City Manager Shall Require That Any Agreement Entered lnto Pursuant To This Resolution Shall Utilize The City's Standard Form lndependent Contractor Agreement (As Attached To This Resolution), Provided That The City Manager May lncorporate Additional Terms, Which May Be More Stringent, But Not More Lenient; And 4) Providing That The Authority Granted To The City Manager Pursuant To This Resolution Shall Be Brought To The City Commission For Renewal As Part Of The Annual Operating Budget Approval. (Human Resources) R7G Canvassing Board Membership Appointments For City's November 3, 2015 General, Special (And lf Needed, November 17,2015 Runoff) Elections. (Office of the City Attorney) R7H A Resolution Approving And Authorizing The Mayor And City Clerk To Execute An Agreement, Substantially ln The Form Attached To This Resolution, Between The City And Skidata, lnc., Pursuant To lnvitation To Negotiate (lTN) 2014-170-SW, For A Gated Revenue Control System For The City's Parking Garages, For An lnitial Term Of Ten (10) Years, With Two (2) Five (5) Year Options, At The City's Sole Discretion. (ProcuremenVParking) (Deferred from September 2,2015 - R7K) R7t A Resolution Approving Option A For The Proposed Design, Development, And Construction Of A Wellness Center ln Allison Park; Approving The Parking Plan ln Option 3; And Authorizing The City Manager And City Attorney's Office To Negotiate A Ninety-Nine (99) Year Ground Lease Agreement Between The City And The Sabrina Cohen Foundation, lnc. (The Foundation), For Approximately 5,100 Square Feet Of City-Owned Land At Allison Park For The Proposed Wellness Center, Which Final Negotiated Lease Shall, At A Minimum, Contain The Essential Terms Contained ln The Term Sheet Set Forth As Exhibit "A" To This Resolution, And Which Final Negotiated Lease Shall Be Subject To Approval By The City Commission, And By A Majority Of The Voters ln A City-Wide Referendum, Pursuant To Section 1.03(b) Of The City's Charter. (Sponsored by Commissioner Joy Malakoff) (Legislative Tracking: Office of the City Attorney/Parks & Recreation/Public Works) 9 Commission Agenda, September 30, 2015 R7J A Resolution Accepting The Recommendation Of The City Manager, Pursuant To Request For Proposal (RFP) No.2015-178-WG For lnstallation And Operation Of Citywide Automated Teller Machines (ATM) At Various City-Owned Properties And Facilities, Authorizing The Administration To Enter lnto Negotiations With Communitel, lnc., As The Sole Responsive Proposer; And Further Authorizing The Mayor And City Clerk To Execute An Agreement With Communitel, lnc., Upon Conclusion Of Successful Negotiations By The Administration. (Procurement) A Resolution Approving And Authorizing The City Manager And City Clerk To Execute The Attached Settlement Agreement And Release Between The City Of Miami Beach And Bermello Ajamil & Partners, lnc., (BAP) ln The Negotiated Amount Of $80,000 For Extended Professional Construction Engineering And lnspection Services (CEl) For The Florida Department Of Transportation (FDOT) Roadway lmprovements ln The City Along lndian Creek Drive Between 26th And 41't Streets. (Capital lmprovement Prolects) A Resolution Approving And Authorizing The Mayor And City Clerk To Execute Change Order No. 4 To Lanzo Construction Co., For Design And Construction Of Remaining Street lmprovements For The Sunset Harbour Pump Stations Retrofit And Drainage lmprovements Project, To Bring Purdy Avenue, West Avenue And 18th Street To A 3.7 Feet NAVD Elevation, And The Replacement Of The 2O-lnch Water Main Along Dade Boulevard From Alton Road To The Bridge West Of Purdy Avenue For A Total Construction Cost Of $6,437,131 Plus A $643,713 Contingency. (Sponsored by Commissioner Michael Grieco) (Legislative Tracking: Public Work) (On September 2,2015 item R9N was requested to be brought back to September 30, 2015) (ltem to be Submitted in Supplemental) R7K R7L R9A R9 - New Business and Commission Requests Resolution To Rescind Resolution No. 2015-29124 And Discuss Simultaneous Negotiations With LAZ Florida Parking And SP Plus Corporation For The Parking Attendants Contract. (Sponsored by Commissioner Jonah Wolfson) End of Aqenda 10 10 Commission Agenda, September 30, 2015 Miami Beach Redevelopment Agency City Hall, Commission Chambers, 3rd Floor, 1700 Convention Center Drive September 30, 2015 Chairperson of the Board Philip Levine Member of the Board Michael Grieco Member of the Board Joy Malakoff Member of the Board Micky Steinberg Member of the Board Edward L. Tobin Member of the Board Deede Weithorn Member of the Board Jonah Wolfson Member of the Board Miami-Dade County Commissioner Bruno A. Barreiro Executive Director Jimmy L. Morales Assistant Director Kathie G. Brooks General Counsel RaulJ. Aguila Secretary Rafael E. Granado Call to Order - 5:00 p.m. AGENDA 1A A Resolution Of The Chairperson And Members Of The Miami Beach Redevelopment Agency (RDA) Adopting And Appropriating The Miami Beach Redevelopment Agency Capital Budget For Fiscal Year (FY) 2015116, Subject To And Contingent Upon lssuance By The RDA Of Tax lncrement Revenue Bonds (City Center/Historic Convention Village) (The "Series 2015 Bonds"), And Adopting The Capital lmprovement Plan For Fiscal Years 2015116 Through 2019120. Joint Gitv Commission & Redevelopment Aqencv (Tourism, Cultural & Economic Development) 1B A Resolution Of The Chairperson And Members Of The Miami Beach Redevelopment Agency, Adopting And Appropriating The Operating Budget For The City Center Redevelopment Area, The Anchor Shops And Parking Garage, And The Pennsylvania Avenue Shops And Parking Garage For Fiscal Year 2015116. (Tourism, Cultural & Economic Development) 11 11 Commission Agenda, September 30, 2015 1C A Resolution Of The Chairperson And Members Of The Miami Beach Redevelopment Agency Authorizing The lssuance Of Not More Than $430,000,000 ln Aggregate Principal Amount Of Miami Beach Redevelopment Agency Tax lncrement Revenue Bonds (City Center/Historic Convention Village) (The "Series 2015 Bonds"), For The Purpose Of Refunding The Agency's Outstanding Prior Bonds And Financing Certain Public lmprovements; Providing For The lssuance Of Additional Bonds On A Parity Therewith; Providing For The Security And Payment Of All Bonds lssued Pursuant To This Resolution; Providing Certain Details Of The Series 2015 Bonds; Delegating Certain Matters ln Connection With The lssuance Of The Series 2015 Bonds To The Executive Director Of The Agency, lncluding Whether To Secure A Credit Facility And/Or A Reserve Account lnsurance Policy, Within The Limitations And Restrictions Stated Herein; Appointing Undenvriters, Paying Agent, Registrar, Escrow Agent And Disclosure Dissemination Agent; Approving The Form Of The Preliminary Official Statement For The Series 2015 Bonds And Authorizing Execution Of The Final Official Statement For The Series 2015 Bonds; Authorizing The Negotiated Sale Of The Series 2015 Bonds And Approving The Form And Authorizing Execution Of The Bond Purchase Agreement For The Series 2015 Bonds; Approving The Forms And Authorizing Execution Of Escrow Deposit Agreements For The Outstanding Prior Bonds; Covenanting To Provide Continuing Disclosure ln Connection With The Series 2015 Bonds And Approving The Form And Authorizing Execution Of A Continuing Disclosure Agreement; Authorizing Officers And Employees Of The Agency To Take All Necessary Actions ln Connection With The lssuance Of The Series 2015 Bonds; And Providing For An Effective Date.5:11 p.m. First Reading Public Hearing/Joint Gitv Commission & Redevelopment Agencv (Finance) 12 12 13 14 2015 CITY COMMISSION/REDEVELOPMENT AGENCY (RDA) MEETING DATES Commission/RDA Meetings Alternate (Presentation) Meetings (Start at 8:30 a.m.) (Start at 5:00 p.m.) January 14 (Wednesday) January 27 (Tuesday) February 11 (Wednesday) February 25 (Wednesday) March 11 (Wednesday) March 18 (Wednesday) April 15 (Wednesday) April 29 (Wednesday) May 6 (Wednesday) May 20 (Wednesday) June 10 (Wednesday) None July 8 (Wednesday) July 29 (Wednesday) August - City Commission/RDA in recess September 2 (Wednesday) September 10 (Thursday) 1st Budget Reading at 5:01 p.m. September 30 (Wednesday) 2nd Budget Reading at 5:01 p.m. October 14 (Wednesday) October 21 (Wednesday) November 9* (Monday) November 23* (Monday) December 9 (Wednesday) December 16 (Wednesday) * Meeting(s) for election related items only. Unless noticed otherwise, meetings are held in the City Commission Chambers, Third Floor, City Hall, 1700 Convention Center Drive, Miami Beach, Florida. Dr. Stanley Sutnick Citizens' Forum will be held during the first Commission meeting each month. The Forum will be split into two (2) sessions, 8:30 a.m. and 1:00 p.m. Approximately thirty (30) minutes will be allocated per session for each of the subjects to be considered, with individuals being limited to no more than three (3) minutes. No appointment or advance notification is needed in order to speak to the Commission during this Forum. 15 c4 COMMISSION GOMMITTEE ASSIGNMENTS 16 g MIAMIBEACH OFFICE OF THE MAYOR AND COMMISSION TO: Jimmy Morales, City Manager FROM: Jonah Wolfson, Commissioner DATE: September 8,2015 SUBJECT: Referral to Finance Committee MEMORANDUM Please place on the September 30, 2015 Commission meeting agenda a referral to the October 5,2015 Finance Committee to discuss the entrance of Biscayne Point. lf you have any questions, please do not hesitate to contact me. \Ne ore connited to providing excellenl public senice ond so{ely tc oil who live, work, ond play in our vibronf, fropicol, hislortc communily. Agenda ltem CLI Ap31gl1xdry17 THIS PAGE INTENTIONALLY LEFT BLANK 18 c6 GOMMISSION GOMMITTEE REPORTS 19 r.-.-, City of Miomi Beoch, l 700 Convention Center Drive, Miomi Beoch, Florido 33,l 39, www.miomibeochfl.gev COMMITTEE MEMORANDUM TO: Members of the Finance and C Projects FROM: Jimmy L. Morales, City Manager DATE: September 30, 2015 SUBJECT: REPORT OF THE FINANCE COMMITTEE MEETING ON AU The agenda is as follows: CITYWIDE PROJECTS sT 28, 2015 NEW BUSINESS 1. Discussion Of The lssuance Of The Gonvention Center Bonds ACTION The item was presented in accordance with Ordinance 2007-3582 Article V entitled "Finance." Section 2-278 entitled "Procedures governing the issuance of bonds" requires that prior to the adoption by the Gity Commission of the final resolutlon approving the issuance of any bonds by the City, the fiscal analysis of the proposed bonds being issued be brought before the City's Finance and Citywide Proiects Committee for review and consideration. The total cost of the Convention Center project is estimated to be $596.4 million of which $54.4 million are County GO Bonds, $204.5 million are proposed Resort Tax Bonds, $64.8 million are proposed Parking Bonds and $308.6 million from proposed RDA Bonds. The estimated annual revenues from the project, as well as the estimated annual cost of maintaining, repairing and operating the project were also reviewed and considered. Agenda ltem Date20 THIS PAGE INTENTIONALLY LEFT BLANK 21 c7 RESOLUTIONS 22 COMMISSION ITEM SUMMARY Condensed Title: A Resolution Of The Mayor And City Commission Of The City Of Miami Beach, Florida, Setting A Public Hearing To Consider A Revocable Permit Request By Lincoln Centurion Retail, LLC., (A Delaware Limited Liability Company For Lincoln Road), Located At 643-657 Lincoln Road, To Permit A Proposed Awning That Projects Over The Public Right-Of-Way, With Dimensions Not To Exceed One Hundred Feet By Nine Feet (100'X 9') Along The Sidewalk. lntended Outcome Data (Su Environmental Scan, etc.): N/A PublicWorks received an application fora Revocable Permitfrom Centurion Retail, LLC., owners of the property located at 643-657 Lincoln Road (the "Property") to remove an existing awning extending into the City's right of way, and replace it with a cellular type cantilever awning. At its July 8, 2014, the Historic Preservation Board (HPB) granted a Certificate of Appropriateness for the demolition of the existing structure and the replacement of a newer design. The awning projection over the sidewalk will not exceed one hundred feet in length by nine feet in width (100' x 9'). Per City Code Section 82-94, following the submittal of the application for a Revocable Permit to the Public Works Department, the Administration shall review the request and prepare a recommendation, and the Commission shall consider setting a public hearing for consideration of the proposed Revocable Permit. THE ADMINISTRATION REGOMMENDS THAT THE CITY COMMISSION ADOPT THE RESOLUTION SETTING A PUBLIC HEARING TO CONSIDER APPROVING THE REVOCABLE PERMIT. Financial lnformation : Source of Funds: Amount Account 1 2 OBPI Total Financial lmpact Summary: Clerk's Office AGENDA IIEiI - Agenda ltem Date& MIAMIBEACH ble Permit. Summary.docx c7A@R23 g MIAMIBEACH City of Miomi Beoch, 1700 Convenlion Cenler Drive, Miomi Beoch, Florido 33139, www.miomibeochfl.gov COMMISS Mayor Philip Levine and Members of City Jimmy L. Morales, City Manager September 30, 2015 A RESOLUTION OF THE MAYOR BEACH, FLORIDA, SETTING A HEARING TO CONSIDER A REVOCABLE PERMIT REQUEST BY LTNCOLN CENTURTON RETA|L, LLC., (A DELAWARE LTMTTED LIABILITY COMPANY FOR LTNCOLN ROAD), LOCATED AT 643-657 LINCOLN ROAD, TO PERMIT A PROPOSED AWNING THAT PROJECTS OVER THE PUBLIC RIGHT-OF.WAY, WITH DIMENSIONS NOT TO EXCEED ONE HUNDRED FEET BY NINE FEET (100'X g',) ALONG THE SIDEWALK. ADMINISTRATION RECOMMEN DATION The Administration recommends that the City Commission adopt the Resolution setting a public hearing to consider the revocable permit. BACKGROUND Public Works received an application for a Revocable Permitfrom Centurion Retail, LLC., owners of the property located at 643-657 Lincoln Road (the "Property") to remove an existing awning extending into the City's right of way, and replace it with a cellular type cantilever awning. At its July 8,2014, the Historic Preservation Board (HPB) granted a Certificate of Appropriateness for the demolition of the existing structure and the replacement of a newer design. The awning projection over the sidewalk will not exceed one hundred feet in length by nine feet in width (100' x g',). Per City Code Section 82-94, following the submittal of the application for a Revocable Permit to the Public Works Department, the Administration shall review the request and prepare a recommendation, and the Commission shall consider setting a public hearing for consideration of the proposed Revocable Permit. ANALYSIS Pursuant to the criteria established under section 82-94 of the City Code for the granting/denying of Revocable Permits, the City has concluded the following: (1) That the applicant's need is substantial: Satisfied. The Historic Preservation Board required the Applicant to submit a Revocable Permit EMORANDUM TO: FROM: DATE: SUBJECT:CITY COMMISSION OF THE CITY OF MIAMI 24 Commission Memorandum - 643-657 Lincoln Road Revocable Permit September 30, 2015 Page 2 of 3 application to the City of Miami Beach (ATTACHMENT A). Replacing the existing awning with a new design will enhance the fagade of the commercial property, and harmoniously blend with the surrounding properties. (2) That the applicant holds title to an abutting property. Satisfied. The applicant has provided copies of the title policy (ATTACHMENT B) and boundary survey (ATTACHMENT C) for the property. (3) That the proposed improvements comply with the applicable codes, ordinances, regulations, neighborhood plans and laws; Satisfied. The applicant has obtained approvalfrom the City of Miami Beach Historic Preservation Board (File #7439, July 2014), and a building permit (Permit #81500230) for the proposed improvements. (4) That the grant of such application will have no adverse effect on governmenUutility easements and uses on the property; Satisfied. Granting the request for a revocable permit will not have adverse effect on easements or uses of the property. (5) Alternatively: a. That an unnecessary hardship exists that deprives the applicant of a reasonable use of land, structure or building for which the revocable permit is sought arising out of special circumstances and conditions that exist and were not self-created and are peculiar to the land, structures or building involved and are not generally applicable to other lands, structures, or buildings in the same zoning district and the grant of the application is the minimum that will allow reasonable use of the land, structures or building; or; b. That the grant of the revocable permit will enhance the neighborhood and/or community by such amenities as, for example, enhanced landscaping, improved drainage, improved lighting, and improved security. (6) The granting the revocable permit requested will not confer on the applicant any special privilege that is denied by this article to other owner of land, structures or buildings subject to similar conditions located in the same zoning district. Satisfied. Granting the revocable permit will not confer on the applicant any special privilege that is denied to other owner of land, structures, or buildings subject to similar conditions located within the same zoning district. ln fact, failure to grant the revocable permit may deprive the applicant of the ability to develop the property in a manner consistent with similarly situated properties in the zoning district. (7) That granting the revocable permit will be in harmony with the general intent and purpose of this article, and that such revocable permit will not be injuries to surrounding properties, the neighborhood, or othenrvise detrimental to the public welfare. Satisfied. Granting the revocable permit will be in harmony with the general intent and purpose of the Code of Ordinances, and will not be injurious to surrounding properties, the neighborhood, or 25 Commission Memorandum - 643-657 Lincoln Road Revocable Permit September 30, 2015 Page 3 of 3 othenruise detrimental to the public welfare. The land development regulations encourage the implementation of effective and equitable policies with respect to property owners. The proposed improvements of the property will accomplish this goal by allowing a quality development, which may encourage a greater number of patrons to this iconic Lincoln Road area. The Administration's analysis above shows that the above criteria established under Section 82-94 of the City Code are satisfied. This application is also supported by the fact that the awning is part of the design that was approved by the HPB. The HPB considered the awning to be part of the best design solution for this project and to be consistent with preserving the architectural theme of the Lincoln Road design. CONCLUS!ON The Administration recommends that the City Commission adopt the attached resolution to schedule a public hearing to consider approving the Revocable Permit. Attachments: A. Letter of lntent B. Opinion of Title and Policy C. Survey Sketch and Legal Description D, Existing and Proposed Awning Design E. Proposed Plans .ln/lrerCU@anrrr 26 Attachment - A Lincoln Centurion Retail LLC 512 Seventh Avenue,.38th Floor New York, NY 10018 (212)204-3450 June 15,2015 Via Hand Delivery City of Miami Beach City Commission 1700 Convention Genter Drive Miami Beach, Florida 33139 Re: 64Y657 Lincoln Road- Miami Beacn, FL esT41 Gentlemen and Ladies: This letter is a request for your approval of a revocable permit for a new canopy structure at the Lincoln Road fagade of the referenced property, which will replace an existing canopy siructure. Based on the requirements listed in Section 82-94 ol the City of Miami Beach Code of Ordinances "criteria for granting/denying revocable permits", the Applicant shall demonstrate: (1) Thatthe applicant's need is substantial; The applicant is replacing an existing awning structure with a new canopy structure that will enhance the Lincoln Road fagade of the commercial property. Granting of the revocable permit will allow for the continued development of an urban neighborhood, and harmoniously blend with the surrounding properties. (2) That the applicant holds title to an abutting property; The applicant has provided copies of the title policy and boundary survey for the property. (3) That . the proposed improvements comply with applicable codes, ordinances, regulations, neighborhood plans and laws; The appllcant has obtained approval from the Clty of Miami Beach Historic Preservation Board (File # 7439, July 2014), and a building permit (Permit# 81500230) forthe proposed improvements. (4) That the grant of such application will have no adverse effect on governmenUutility easements and uses on the propefi; Granting the request for a revocable permit will not have adverse effect on easements or uses of the property. (5) Alternatively: a. That an unnecessary hardship exists that deprives the applicant of a reasonable use of the land,' stt'ucture or building for which the revocable permit is sought arising out of special circumstances and conditions that exist and were not self-created and are peculiar to the land, structures or building involved and are not generally applicable to other lands, structures or buildings in the same zoning district and the grant of the application is the minimum that will allow reasonlble use of the land, structures or building; or;b. That th.e grant of the revocable permit will enhance the neighborhood and/or community by such amenities as, for example, enhanced landscaping, improved drainage, improved liglitina,, and improved security. Not Applicable 27 Lincoln Centurion Retail LLC 512 Seventh Avenue, 38th Floor New York, NY toote (212) 204-3450 June 15, 2015 City of Miami Beach City Commission Re: 643-657 Lincoln Road, Miami Beach, FL 33139 Page2 (6) That granting the revocable permit requested will not confer on the applicant any special privilege that is denied by this article to other owner of land, structures or buildings subject to similar conditions Granting the revoeable permit will not confer on the applicant any special privilege that is denied to other owner of land, structures or buildings subject to simllar conditions located within the same zoning district. ln fact, failure to grant the revocable permit may deprive the applicant of the ability to develop the property in a manner consistent with similarly situated properties in the zoning district. l (7) That granting the revocable permit will be in harmony with the general intent and purpose of this' article, and that such revocable permit will not be injurious to sunounding properties, the i nelghborhood, or otherwise detrimental to the public welfare. Granting the revocable permit will be in harmony with the general intent and purpose of the Code of Ordinances, and will not be injurious to surrounding properties, the neighborhood, or othenvise detrimental to the public welfare. The land development regulations encourage the implementatlon of effective and equitable policies with respect to property owners. The proposed improvements of the property will accomplish this goal by allowing a quality development, which may encourage a greater number of patrons to this iconic Lincoln Road area. Your kind consideration would be greatly appreciated. Respectfully, rQTnc Albert M. Cohen Member Lincoln Centurion Retail LLC 28 Senace/LlPSFry, rl Value A ddcd Lawyerhrg'ffi Attachment - B BntAN LOUTA L|PBHY, Esq. Atto AoMttr:b tN WAsHlt{stoN D G DtnEcT NUMBEFT 66 t .590.0660 X 2(,z' e mer lr llprlry@rl,hw,cour June ll,20l5 City of Miami Boach OIIice ofthe Cig Attorney 1700 Convention Center Drive,4s Floor Miami Beach, Florida 33139 RE: Pubtis Works Permit Application of Lincoln Centurion Retail, LLC, a Delaware limited liability company for Lincoln Road. Gentlemen: We render this opinion as counsel to Lincoln Centurion Retail, LLC, a Delaware limited liability company, (hereinafter "LgB') in connection with an examination of title with respect to that certain real property descdbed as; See Exhibit'.A" (the "EfgDeIS") which is located in the City of Miami Beach. Florida togethor with that portion of Lincoln Road which is abutting the Property and which is the subject matter of.LCR's Public Works Permit Application (the "eLtLEIqp4"). In rendering the opinion hereinafter set forthr we have examined, among other things, deeds and other instuments filed of record in the Oflicial Records of Miami-Dade County, Florida, Except to the extent expressly set forth herein, we have not undertaken any independent investlgations nor have we conducted a physical inspectlon of the Property or the City Property to determine the existence or absence of facts relating to the following matters which could affect title to the Property, including; 20I N.E. Fint Avenue 'Delny Bcach, Florlda 33444.561.330.0660. Fnelmllc 561,330.0610 . wunrr,sl-law.com 29 $6p164/t IpsFry, rl lhlue ttddcd Lawyeringw Cityof Miami Beach Office of the City Attomey June ll,2015 Page 2 l. Problems of parties in possession (such as adverse possession).2. Unresorded easemenls, reservations, licenses or other agreements or options.3. Unrocorded leases.4, Unfiled mechanic's lions.5. Access to the Property from public or private roads.6, Water availability or rights.7. Navigability of adJacent or included waters.8, Existence or characteristics of particular kinds of improvements.9. Zoning or other exorcise of governmental police power. Accordingly, no inference 0s to our knowledge of the existence or absence of facts pertaining to such matters should be drawn from our opinlon Based upon and subject to the foregoing and to the qualifieations, limitations and exoeptions oontained below, it is our opinion that: i) Fee simple title to the Property ls vested in LCR by virtue of that certain special wamnty deed dated January 13,2014, filed for record in Official Recods Book 28991, at page 3378 of the Public Records of Miami Dade County, Florida. ti) Tille to the City Property is vested in the City of Miami Bsach by virtue of: A. Dedications appearing on the following plats: I ffffiiil;;tB1;fi:tl#:";ffi;f; iT;,f'ff.J:,xxJliliH,ts1tr County. Florida.2, Plat of Pine Ridge Subdivision of the Alton Beach Company, according to the Plat thereo(, as recorded in Plat Book 6, at Page 34 of the Public Records of Miami-Dade County, Florida.3. Second Comrnercial Subdivision of the Alton Beach Company. according to the Plat thereofl as recorded in Plat Book 5, at Page 33 of the Public Records of Miami"Dade County, Florida4, Lincoln Road Subdivision, according to the Plat thereof;, as recorded in Plat Book 34, at Page 66 of the Public Records of Miami0ade County, 30 SnnncalllPSFry, ru tal a c,,! d ded Laaye ri ngn City of Miami Beach Office of the Ciry Attornoy June 11,2015 Page 3 Florida"5. Amended Plat of Golf Course Subdivision of ths Alton Beach Realty Company, according to the Plat thereof, as recorded in Plat Book 6, at Page 26 of thePublic Records of Miami-Dade County, Florida.6. Alton Beach Company's Plat of Block Forty-Six, according to the Plat thercof;, as recorded in Plat Book 4, at Page 102 of the Public Records of Miami-Dade County, Flori da.7, Alton Boach Company's Plat of Subdivision of West Half of Blocks 17, 40 and 45, according to tho Plat thereof, as reoorded in Plat Book 4, at Pago 102 of the Public Records of Miami-Dade County, Florida.8. First Addition to Commercial Subdivision of the Alton Beach Company, according to the Plat thereof, as recorded in Plat Book 6, at Page 30 of the Public Records of Miami-Dade County, Florida. Commercial Subdivision of the Alton Beach Company, according to the Plat thereoi as resorded in Plat Book 6. at Page 5 of the Public Records of Miami-Dade County, Florida.9. Alton Beach Company's PIat of Subdivision of Block Forty-Four of Alton Beach Bay Front. according to the Plat thereot, as rccorded in plat Book 6, at Page t66 of the Fublic Records of Miami-Dade County, Florida.10. Alton Beach Company's PIat of Alton Beach Bay Front, according to the Plat theroof, as recorded in Plat Book 4, at Page 125 of the Public Records of Miami-Dade County, Florida. The foregoing dedications were formatly accepted by Miami-Dade County (formerly known as Dade County) on January 12,1960 by Dade County Resolution 4406 file for record in Oflicial Records Book 1884, at Page 501 of the Public Records of Miami.Dade County, Florida, Even assurning for the moment that Miami-Dade County was not the proper govornmentalentity (gven that the City of Miami Beach was incorporated in March, I9l5), the dedications should bL deemed completed based upon tho following: ii) As stated by the Florida Supreme Court, "When the owner of a tract of land makes a town plat thereof, laying the same out into blocks and lots, with lntervening streets, clearly indicated upon the plat, separating the blocks, and conveys lots with reference to such plat, he thereby 31 Saneca/LlPSHy, rr Yalw,{ddcd Lawlwingu City of Miami Beach Office of the City Attomey June Il,20l5 Page 4 evinces an intention to dedicate the streets to public use as such; and his grnntees, as against him and those claiming undor him, acquire the right to have such streets kept open. This constitutes a complete dedication, and the streets cannot be closed up or obstructed, unless in pursuance of legal authority." .See Price,v* Sr$gpn, 45 F|a.535.33 So" 644 (1903) ii). Florida Statute $ 95.361 (2) whioh provides that whers a road has becn constructed and it cannot be determined who consEucted the road, and when such road has been regularly maintained or repaired for the immediate post 7 years by o municipality, suoh road shall be desmed to be dedicated to the public to the extent of the width that actually has been maintained or repaired for the prescribed period, whe0er or not the road has been formally established as a public hfighway. The dodication shall vesr all dghts, title, easement, and appurtenances in and to the mad in the municipality, if it is a municipal sheet or road. B. That certain Wananty Deed dated June 17, 1930 filed for record in Deed Book 1388, at Page 155 of the Public Recorids of Miami-Dade County, Florida, as affected by that certain Order dated August 13, 2004 filed for record in Official Records Book 22615, at Page 3014 of the Public Records of Miami-Dade County, Florida. We advise you that in addition to the aforementioned exclusions, this opinion as to the Property ls subject to the following matters: l, All matters appearing in Chicago Title lnsurance Company Owner's Policy of Title Insurance Folicy Number 36137-l-084132-010500AU4.7430609-90567931, a copy of which is attached hereto and incorporated herein. 2. 2015 Real Estate Taxes which became a lien as of January l, 2015 and which are not yet due orpayable Our opinion is strictly limlted to matters govemed by the laws of thc State of Florida, and we express no opinion concernlng the laws of other jurisdiction or compliance therewith by any party. This opinion is issued as of the date hereof with an effective date of and is necessarily 32 Snneca/LtPSlrY, rr, To I u c't d d cd L a wy e i t gln City of Miami Beach Office of the City Attorney June I 1, 2015 Page 5 trlmited to laws now In effect and hcts and circumstances brought to our attention. Our opinion is provided for your benefit and may not be quoted or relled upon by, nor copies dclivered to, eny party other than you or LCR, nor used for any other purposes wilhout our prior rvritten sonsent. BLLjp 33 Exhlbit "A' Lot one (l) of Block one (l), of LINCOLN ROAD SUBDMSION nA", of The Alton Beach Redty Compann as the same is shown, marked and designated on a plat of said subdivision, recorded in PIat Book No. 34, at Page 66 in the Office of the Clerk of the Cirsuit Court in and for Miami-Dado County, Florida; AISO those lands lrr Miami-Dade County, Floridq desoibed I s follows: From a @ncrete monument located at the intersection of the West llrre of Jefferson Avenue and the North line-on-Lineoln-Road; as said,monument is-shown-on a-plnr, entitled "Amended Plat of Golf Course Subdivision", as the same is recorded in Plat Book 6, Page 26 of the Public Records of Miami - Dade Counry, Florida, more particularly doscribod as being 1350' East and 270 feet North of the Southwest comer of the NW 1/4 of Section 34, Township 53 South, Range 42 East, run Easterly along the North line of Lincoln Road a distance of 794,20 feet to the Point of Beginning of the parcel of land hcrein described; from snid Point of Beginning run Northerly along a line porpendicularto lhe last mentioned courss adistance of 105 feet to a point,said polnt being 20 feet South of the Southerly line of the Municipal Oolf Course, in the Ctty of Miami Bcach, Florida; thence run Easterly along a line parallel with the North line qf Lincoln Road a distance of 50 feet to a point, thencE run Southerly along a line perpendicular to the North line of Lincoln Road, a distance of 105 feet to a polnt; thence run Westerly along the North line of Lincoln Road a distanoe of 50 feet to the Point of Beginning of the parcel of land herein described, 34 CIIICAOOTITLE INSURANCE COMT^NY POLICY NO: t6ltZ.l.0S4l!2,010500.20t4.2430609-90162931 OTIUNER'S POUCY OF TITLE INSURAIICE lsgued by Chloago Illla lnsuranoe Compa[y Any notloeolaliln and anyothornotlco otshtenenlln wrlllng rcqulredto![glvento thofionpeny underlhtt Pollcynuilbeglvw to he Compeny. al llre addrrsc shwtn ln fiecfion lt of W Condltlong, GOUEEEOf,IS'G SUEJECT TO THE DGLIEIoNS FROM COVERAGE,IHE EX0EPTIoNS FROM 0OVERAoE COt{TAti,lED tN SCHEoU| E 8, Aflo ru @ilDfTpHs, oHtCAco TII[E ltSUMt{OE COTPNY, s Nolnodta orporallon, (ltts 'Compsnf} hame, ao ol Dah d Pollcf, agdnst los6 or damagc, nd clccadhg tha Amount ol lnrurarc, slCdn€d q ln$nsd by hp tnurod by rreson ol L mh belng wsld oher hrn rr abted lo Sclndule A 2, Any ddod ln q len or cnamUanoe on he IIth, Ihh Cowrod Flst hdudee but lc nol lmflod lo huanoc rgrlnsl hcr fom (a) A&lacth0rolllls oarrlod by (l) frgory,lraud, undre hlluence, dunrr, lnompebncy, lncaparity, orlnpernna[on; (ll) fd[B o, any pcnon or Enllly h hat aulhorted r lrershr gr @oveymca: (lt[ r doonrnt afledhg Ills not propody croahd, erocdd, wllneued, geahd, ailnowledged, notadzed, ot dehnred; (lv) frlhra h peftrm lhoao arts osco83ory b cr€do a doomool by eholronlo meanc aulhorEod by lml (v) a donnnsnt axeaftd under a fabllhd, ar@, a othoMsc hvalb pouor olilrnoy; (vl) a docunenl noi pmpedy flhd, tuoot{od, or hdrrad h lht PuUh Recode lndtdhg lallur h peilom lhor r1e by rholrcnb mrans adhodzed by lau or (vll) o dgledvr Fdldal or admlnlgfifrve pmcsldhe. (b) Ihe lan ol rcoleglate laxer or aanusmontr lrnporad on he IIUo by e goemmsntC auhdly dm or payable, hrt unpd. (c) Any mooafimnl eurmbranc!, vloh[on, valdlon, or adrreme clrcumstanco #ecllng llro llllc llral wiuld be dlaoldaed by an acnrrslr fid comilda hd suruey ol he Land, Itr lnm 'rnco*hmcnf lnfudu snomachmettlr o, uldne lmpmvofioflto l0cal6d on th6 L.fld ohto ad1ohhg lild, End oncmadrmoilto olto lhe Lsnd d erlrtlng lryrovommlr hodod on djolnlrU hnd. 3, Uman(ol&hlltle. 4. tlo fthlol*cesl b andlmm lhe Lard. 5, Tha vlolatbn or enhrcement ol uy law, odlnarce, pomll ol gowmmoilal regulrlbn (hdudlng tosc r€lslhg lo hrfidlng ard zonhg) rtrUlothg, ngdalhg, pmhlbllno ormlatlng to (a) fic ooo4ancy, ure, or enlqlment ol ho LEndi 0) fio tltoroffi, dmen$nr, or hcrtlor ol any lmpwemont croobd on lho Land; (o) $eubdMrhollmdtor(0 crwlmnrunhlpmlecllon ll a rcUco, dascdbhg uy pad ol 0ts [m4 h rrooded ln llr Publlo Rscords e o0ng lorh hc vlolarUcr or hhnUon b errlorcq but only to [re erhnt ol lhe vlolalhn a mforceme[l rohrod h ln ftrl nohE 0. An Enturcsmonl aolhn bsssd m lhs uerclce ol a gwrmmcntal pdlcc po+lor not covend by Cornod Brk 6 ll a nollco ol !r enlommnl adbn, dosctlng ary pqrt ol lhc L]d, h nordod ln hE Publlc Recods, but only h lhe ertenl of llts enhfi0oent |Blollrd b ln that notce. 7. 'lhe uodsa of Un fihtr ol enfisnt &mih lf o nollor of lho axor&0, doaodblp rny pril ol lia [erd, la rscodod h lhE Puhh Becor&. 0. Any taHng by a gowmmonlal body hsl [aB odnsd and lr bhdhg on he dghlo of a purho80r tor ystjg Yrlulout Knowlsdgo. & IIUo bolng waled ohm han u sbtod h S$BilXo A or bdq dofodve (a) ae a meult ol he s_tloldame h wltolo or ln parl, or llom e mufl ader pmv$hg m alanrhru nmedl of a burrlu ol rll ol ary pzt ol lhr [b to or any lnlomst h 0E Lond ocumlng ptu to lho tutladlon ulsttq llllo CI clroun ln Sdndtrh A bacausg llut plor lmnsl[rr aonrllUlsd a lruduhnl or ptdorunfid ltsnslor undsrHsral banknrybL rlata hsotvanoy, orulmllu uedlbr'dghts lswE; or ALTA OinlG/a Pobsy [6t'l7r00l -0uEseurygrCopyrlgtr(Anrrlmul.andTltlaAsoclrllon.All rlghBruervrrt, llrourcofthlrformhre*lculloALT llaerucrndAt,'tAuranlrcrhgood *:'i'j: slanding orof 0wdutaofurc. All olhu ums uoprohibM. [,cprlnlcd urdcr liccnt from lhc Amcilcrn.tand Tillo Asoobtlon F,I 35 (b) bocauso lho hr0umsnt of ltanrlel vollng Ilth as fiorin ln Sctudulo A coneilutot a prolerenUal lmnsler undol faderul bsnkruplry, rtrtc tnrolwnoy, or slnfr crtdlor*' &hh llra by roeson of fi e lalum ol lls Bcordhg ln he POlh Reor& (ll to h 0meh or (ll) to lmpert notlco d lts exlohnco lo e purdra*u lor vdw 0r to I tudgmonl u hn uEdflor, 1 0, Any dilEd h or lbt ot sncumbrflGi o0 lno nb or diar mdler hddod ln Covtred Rhh I trouuh g tlul iBB ba€ll cr8olEd or alhded or lus beon llhd or mtnrdd lnlhs PubhRtoordrsuhoquentlo Dalsol Poflcf uld plor to lhr mcordhg oftn daad orolhrrhslrumsnlottm*rh lhe Pub{o Reardrllntraedt tlue as ehorn h ScheduhA TlwComparywlllahopayfte oostr. altomryd foet, Etd expenmr lnoned h delonreof arryma[erhund agaMbytt{afufioy,butonlybh0 utoiloto'ddod ln tp CondlUona. ln VtlilnoaaWharrll,CHl0,AcOImE NSUMNCE COMPAI,IY, har caueod lhh pollcy lo be $ned *rd rsalsd 6s oI Deb ol PolU rhovm ln S$uduh A, Oe pofloy lo bcocne rdld whon counlrrlgncd by an eulholted clgliatoryol0tc Comp-ary,_ _ cRrcAGo TlTt.P lt{suMt{cE cotrrFAilu llr Counlodgmd: 36l37FL 084132.010500 Orlcago Tlilc lnsuramo Compony 13800 Nw t{rh st., suirs t90 Sunrige, FL 33323 Tc1: (7861228-3900 Foxr PsO 22E-3912 149!9""" Co[y}l8hl Am.rhrn Lfid Tllh Arroch(o* All rlghlr rBrrvcd Tln uso olthtr lform lr r0tlrlolod lo ALTA licsrucrs ord AIJfA nomDer In good 3tlndkrgar of 0rl ftlo oftrr, All olhcr un! ur pohbiled.Itcprfucd rn&r llccnro fnont ho Amdorn lard T1ilo Agoohtion. *lfu,ufo,+, ,,2 36 EXCtt SDI{S tnor CoVER 0E The fohn{ng mabra arc erpumly excludod Imm lho owaga ol lHo polcy, and he Company wll nol pay bor or damage, oogte, aflorneys' boq or eryenrer lhrt tilu byream of: l. (a) Arrylm,wdhunco,ptmll orgovemmanhlmgubflon(lnolutrng thore mldng l0 fu[dhg and zonlng) rceldoftrg, mguffi, prcfi&ffi, or mlahgb (l) heooorymcy, uae, orcnfoymanlol$e tatdi (ll) hc dmm&r, dmandoq or locadon ol ily lmprcv?mont embd on tltt landi I (lll) lhaurMMCorrollurd;or {' (lyl emlmrmuM protodlmi - -orOeofiootdarry.vfolabnolthase l6rrs,qdhancos,or - - -- ---- gowrunedd ngddbnr. Thlr Excluslon l(a) doet notmodlforltrr! lhe ovcngr po{&d undor Corrercd RIak 6. S) Any govsmmentil polco poflor. Tth Ercturbo 1(b) dooe nol mdfi orllmlltrcooungc provldrd udrr0owrud Rt{t0, [. 2" Egrb ol crnhod donah, Ihls Erdurlon does not nod[y or tlrdt lh cororagc pruildcd ul|ds co,E 0d Rhk 7 or 8. 3. Deled$ hns, enombrancas, adu€rB0 ddme, or ohermaflam c0il0moil8 1, DEFII{TPIOFTERilI8 lho folurlng hrmE when ued ln fir pllcl meanl (al 'Anunt ol lnrunnca'r Tho etautnt alalad ln Sdredrlo A, ar may ba hcraared ordacBard by endmamenl h lhb polcy, lnoreased by Secton C(b), or dorearod by Seo0onr l0 ard I 1 ol [rsss Condtbns. (b) taE ol Pollqft llm date dodgnated &r '00b of Polc/ h S&€dris A. (o) tnlltf: A cupcaton prhershh, hag llmlled hbllty corpary, or ohcr sln{arlegalonUU, (d) 'lceuod': Ihs lnrurd named ln Schdulc A ([ IIebm'lnaund'rbohftdea (A) auoereorto[ro Tlileof $e hsurd by opona0on olla* el dr(ngthed liom puruhars, hdrrdlng ftdm, devlroer, suwlvora, pwrond npmsenldvoo, or nexl of lln; lB) oucce$olt to u lmumd by dlarolulbn, morgor, conrolUdon, dlatlrulhn, or morganlzrUon; (Q emrron b an lnund by lb conwnlm b uofiar ldnd ofEntty; (D) agutreol an hsuud trdre deod dehrudwllhui pryncnt of dnl vdu&h conrlhrofuo comrylru hs Iide (1) fhe rlo*, rhanr, rumbenhfr, orotwlryly htende of ha grantee em whollpornod by lhe nunod lnumd, I lho gnntoo wholly ome lhc namd lnand, m lf h0 0rantee ls $Jholponned by an ambhd En0y d tt he narnBd lnrund, povl&d lhe af,llrled Enllty ard 17 lhe namc, lnsured am botr wholrcwned by ltn rame pamon u€nUty, a llhe grantee lr a tust€€ rbondlclEry da lruat cnaEd byawlten hsfumsil ostrblbtrcd by tln (a) coalsd, cuftrad, a*umd, or egned b [ 0n lnaund Clafinurl 0) not [,mrn to lhr Gompony, nol rscotdd h tre Rrblh Recods al DahdPdlcy, hltl(nom b fio lnsrad Clslnatt sd mtdlsd$sd In flrflru t0 tllo Conpany by tho luurud Cldmanl prblo tho drls tho lnaumd Oatnfil b6cdn6 sn lruurud undcr hb potrul: (ol Esulhg h m bw or damage lo lhe hsrmd Odmilli (d) ailadlng or cnated nrbrequenl b Dale of Polcy; or (e) oeulhg h brg s dEnage lhd muld not hwa bcsn wsldned I he Lrsu,sd Odmmt had paldvaho furhe Tlh. Anychtrr, by rouon 0f $0 opsralhn dledeml ba{uufty, etate hmhunry, or dmlla crdllorJ rlg[E hu l|rt ho fanaaoilon watlng fto nUo oe d$,rn ln Solrdrrlo A, h (a) afoiuduFntconwyanmufrarfrr-lln{h-nUcl,or - ---- (b) 0 ptrfomlhl transtr hl 6[yr0ason not shled h 0ouord Rlet( 0 ol lhb pollsy. fuy llen on [n Ttt ftn Eal cchb laxor or a;sersmnls hposod by gorunrnlrl afioily and ceabd u otaohhg botlleen mb d Poftil and he dale of mcodhe orfiod60d or0h6r h3trum6ntoltu8l6rh lho PubhRecode halwetrTltlc u rhown ln Sds&h A ln$rod namod h Sdtduh A h €sftto ptru{tq pllp080e. (ll) tltfflt rogald l0 (A), (Bl, (Q, ad lD) reeuvitg, lro*0v6r, sll/ohls snd dslenrs $ b any rucceseor that UE Compenf gould ifiE hd agahcl any prcdccaaoor lnaursd, (e) 'ln$Ed Glalmanfl An hsurod oldmlng looe r drn4o,(0 'ltnf,ledgo' or'Krfrm'i Actd tnoilledgo, notcoodlrctlw hnotl€dgB or nolholhal nny be lnputcd h ar hamd I msorr ol lhe PuHlo Rcoordg or aty o$r ncode hd hnpelt ooolrudbs (0) 0) oo0ceof riatm affsothg [rs'n[e. 'Land': ThE land dsrtrlbsd h SchduhA, ard rlBcd tpmnmonlr lhatby hw conrUiuto malpmpdy. Thrlcn'l.rrrtr dossrrol hdrde ery Fope rV laydrd hc [mr ol hr ma d*slbcd h Sdedub A, na my dghl UIo, [{snrt eglds. r o$0m€0t ln abutttg 0t00ls, made, annuel, sllep,laru, r8y€, orualuuays, but llrb doeo nol modfiy orlmltltr ulmtMadghl orrooossloand lmm$o La{d la hgumdW0bpoky. 'Modggod: ilotbage, desd of Uuct lrust dsgd, or oUBr B€srlly hetum€n[ lnfilhg one ovldonod by dcclrufih m6EnB auhofid bylaw, 'Prhllo Roordsl Rocot$ Bdabll$od mdor rlrb alrfutm rl Dat, o, Potuy for llte gupss o, hpartry cfiuhrdtto no[ce ol mn&rs nlrlhg lo rod poparty lo pumesotr fuvrlue rnd tlnut Knowledge, Vlllh rupcctb Covmd Rbk fld), ?uHo &crdr' $o[ obo lndde mlonmanlnl pmlec[m lbns fihd tn lhs rc60rds ol lfie*il of lha Unltcd Statre D{sild 0ouilhrlhe dl$ldtrlpo lho Land lchosM. Tlto'r The odato o lntomst dssslbod h Sdrcduh A" 'thmailclablc llth': Illls dbdld by an allcgrd or appurnl mater hal wouH pemft a pospeoilvr purfiasrr or lurce ofllro ll[e or lendaron fie lllh b ie rclcasrd lrom th obigaUon b ptrfiEsr, leam, or land ll Uroro la s confactud condUon ,e$Idng tr dellrnry ol marksleHe lllla. (21 (0) (41 0 016 Copyrlght Arrurlcro Lrnd Tllla Asod.tlo] All rlghB r.rcrrcd. 'Ilp llr of llb Pom lr rslrlotrd to ALTA llcmeor lnd ALTA nrcmDco h good rbnding as of 0w &to olruq All o{rcr uscs m pohlbitcd. Roprintd urdor ticoruc from tfu Amcllcan lard Tith Asohtim. 37 2, ComfiuATt0t{0Ftt{sunAilcE O. DUW OF IIISURM OLAIIIATIT IO GOOPERATE IIF qpmSo of hh_ polby *all oonhue lo loroo as ol Dile ol Pollcy ln (a) ln all mee r whsm trlc pollcy pomb or Bqulms h6 Comp6ny lo !pt{,*}ry,Ulbutonlyrobngashohsmdrtlshsanollab'or " pmearleuprovldstilhedotenreolsnyocflotrorpmtlot{ns*rd htor$l ln 0n [ud' r holle anobflgafion eocuud by e pwdruo m0n6y any eppolls, 'trts lnsumd shd smum to Url Compan[ he rlSil-b m ftlorlgape. gSn bya putclruer liwn ho lnsurod, or inly ao long ar he - nr6soarto oi pmtrtCe defenss h ho ac0qr or pn,i.qit,,s, hi nrrg lneurod EhdlhavB[lmlQyrepn olwananhr h anytat*ror ltrertgtrtt uie, etlb opuon, fte nanoolthe inursd fdU,r p,,p"t oonveyanceolhelllh. Ttbp[cy rhal noiondnus lnlorce h faru ol llfroriaarnquartU li ttre'Oaryary,lhc lnsued, iltn Oinprfl!'. Stty putttpot tt-u11 fts lnurEd oltl0er ([ an orlalo or !!nal h he orpanse, atrafl ghn 0riCorryrrryal iiaomue ali 0 rr reorring ' Lan6 ot (ll) at obfgaflon seored by a pndram monoy Mortgage gfirn lo errfuoncq obtaihg rdhoodE, piosroUtru or OEsndhg ri6-;d;n or h0 ln$rrod. pmruadtrq, w efreafrg aeUdth[ and (lil t a"i ottt""tartuti* titr. noucE oF orAru ro BE crvEl By rNouREo crArnAr{r Li!! ffi,llT#l}Hil:i9,flfrji$.f;ilfl il,#m}, orle lnumd il{ notlly-he 0ompaty pmmplly h wrlErg (l) h aarc of rny pnMhtd by lro lafrri d Ua hsJrgd t0 tmbh ha Equtrut llerho ao ratlottt h Eocton 6la) d llteffi Condlflonr, (l) h orco coopotrbn,'lho 0oflparfr o0llSalloni t0 ilro Insumd uirder tu -KnowbdgcCtellometocllnedr8dhomndorof enydalmol0lhor - - poflsy$rlltB'mh0lo;hfidngmymmyoroUltgaflonf ffiud, - - htoBst ul8[ ls sduolto to oo Tllh, c hsutd, and hat fiUht oaur lors pmsrflb, or conUrus any m6bi sm rogarU to-trs mlilor or - or drnrgr fu$rlch he Company rnay be llabts by vltue C ttrtr po[cy. or outbn rwultro rmtr mipsrdon (fi) I hr TEo, aa hamd, lr ntoled aB LtmafialilIr Tlth I hd (b) Ttr Compfory may nuonittr nquln 0re lnsund Chlmmt h cubmtt Companyb paFdhgd by he ldlwc olllre lnaured 0ldmaillo povlde b ormrlda[onunikoalh by-rny inilnrEcd oonsenlafivsof Uepmmtnolct,Smcompan/oXaUllytolholnsurudOalmiltundsrlhe Companyand5pmduooftt'sxtnalon hspidon,andoglng,at pollry $d b0 Fducsd lo lho erlcnt of lhe fludloo. rudr naionaHe ihree ad phoe or may to itod$ilid Uy fti '' 4. pnooForuooo ffiHffi,ffi11ffio1llt:?1ffilA:fiffi;ltff,fffi, h tht o$uttto Compoy lo unablc h dchntrc trc orunl ol loos or oottogpondencr, Bport, cntallr, dlrtc, trpcr, ard vlileor $rellni damrg6,lh Companymry, atlb opuon, rquln ao acondlhn ol beulng adah bchn orrllrrorto olpotley, trd naoraltypst€h papnntfiatfto lmuod Cl&nant tumbh a slgnsd ffiollors.Iho b [ts lorrqdamage, Fuilfter,lf nquorbd byany uhorLid gool{lce muatdcs.ilUo ho deh4 !hn, enarmbiancc, orollprmstls ltpusanldho olhe Company,lhc hstmd0dmantrhal fmtllr haurod agehd hy itlc Poficyttalcmcfiutrotrs basbof hao or dailage tsfltfulffi, tnuilttg, fbr my aulhortad Bflwonbfi,! ot6o end shdl st&, lo lno extenl poeihb, he basb of caloddng ttre amuint ComPary lo ixffilnc, lnryod, sld op al of lhess rplodr h hc of ho bee ot &mage. otlody ot conbol ol t lhid pady hat iirmn&ly pedah to tlro loes r. DEFEr{BEAnDpR0sEcuTro*oFAsno.rB $jffifl;#flfi}Hffiffi,fi.Hfl#lit$}'X,ffiffi (a) t$ur wliilon rcquest by lho hours4 and aublsst to 0re oolbnr bo dadomd b olhan unlesr, h ta ruarooablo ldgnronl ol lla cmbtud ln Eoilhr Z bf hess Condl1onc, ttri Comparry, a nr own $ompmy, ltle necauary h Urrdmlnhlrdon oi 0ri dalm. Fallun ot 6t ild s,fihout uroa$nsble dd8y, *ei provue t{r ttii &ronm o, ho lnwrud Oalnad lo r6m[ &r srmhdon undrroall! pioduos an lmurBd h ll[g.Um h whhh any htd paity aosortr a d*n any noomHy mquoded Infomotst, or grul pcm*slm to acaro oovemd W iS iOlcy adwrac b 6c hajrod: nh o6lhah6 lE raaonaIy necleeoty ltlomollon frorn irLd parUer a qulrd h trb [nnad b irfy liore itatsd camr of adhn dhgft1g m-st3{B ln$nd at$stcton, unlerr pro}rblted by law or gnnmmonhl mgrhton, sltsll agatut by [ft poflry. Iho Cornpsrry lha! have lis-,lght to $hd temhrlr uy llatllty ol ho Compony un&r hlo pollcy o-r b lhrl coumol ot lh clnbd (autfecl b !E rlghl ol thE 1ncu,6 b obtot for da[n. rueon*lo p!a) to. repreaent the lntured ar to hors sbqd ryy t, omoilg ro pAy oR oTHERtItsE o6rrtE glAttrts; TER6p{AI101oladbn.ll rhsl mlbe labls hrsnd wltlnotpeylhefeeo ot my oher " Oi i;ililrn hqrndtylp lnrund ln ho rhfenss of llpsecrurc of actbn hat ln.caoo o[ adalm unduhls pdcy,lu 0ompffirsteflhsrrstu hhuhg dogo mflco not lneuod sgdnBt by hlr poflcy, 0ddh08t optoncl (b) Ihc Conpsry $o[ han he dght, tn addl0or b UB 0pufiu coobhed h Sscfrn ? ol lh6s0 0ondl8on!, at lll gu,n @st, b lmllhile and pmcoia ary aollon or plocordlng or b do my olhsr rc.l thd ln lh flnloo mry bc ncoasary or deuhotrle to ertabloh te TUa, as ln$rBd, u t0 prEUEnl or rdue bsc oi dunage to lho lnaurud, Ite Coqany mey hka a,U BeproprlBb asthn undEr hs tsfme 0l lhlg polsy, $hollD. or not I sh8ll b6 ltibls l0 lhs lnoured. Ths orordso ol filro,l0hl0 0h0ll nol bt an admlsabn ol lhillty or walmt of my prot{sbn of iltb polluy. ll tro 0omparry exuclrer [r rlghtr undsr llde urbuctlm, I murldo ro dlllgenlly, (c) t/tlhenewr he compmy brlngr Et xton or asccr{r o doGnso a rcquted or pmlttd by 0rb pdby, llB Company may pumn fie trdgaflon to a fnrl dekmlnaflon by o ou( of compohnt lrldlclbn, and i eryrcooly nosvec fie dghl, h b sole dbuutm, lo sppd rny advotro Jrdgmsnt or ordor. (a) To PtJ ot Tender Popenl ol lhe Anmunt of lnrunncs. Io pay or bndcr prymoil of llr Amount of lntummo undu trh pllcy loplher wl0 any oorlr, domoyo'lgea, and gxperroc lnarmd bytre lnsrnd Clalmmt lltal wen auhoilaed by hc &rrpary up to he hto of paym$l gr lindat ol paprcnt and lhal lhe Company lo obfiehd to pEy, Upon lho ererlse by he Oompany ol trh opll4 ell MOy nd obfia0ono ollho Coryarrylo0E hsund undrlile polby, ohei lian b mdo lho paymontrEulfd ln [dssutrcolbq ahiltrnnhato, hdudhg ony lhbltlty or oblgaUon b dofefl( pm$fltr, or oonhuo ilyll0galbn, 0) Io Pay or Ohswlse Se[le Wh Puusc 0herlhur lhe hsuad or Wh 0re lnsund Olalmart I l) lo pay or o0nnrlre ssltfe wlh othgr puth! lu or ln 0B nsmr ol at luumd Odmmt any dalm lnE{nd Odnal udor hlt pollcl, ln sdilllon, he 0ompany wlll pey try wrb, alhmeyr' fsn, td Copy..rEhl Aplte.re Llo|Tllh Arsorhdcn All rlrhh rsrrvril '[lro uo otlhlr Form lr to*dcld to ALTA llgcru or lnd ALTA ncrnbos h good rtrndlry u ol0n doh ofuro, All olhor urs olr p.ohlbito( ttcphtcd undrr lhcrso ltom lhc Arncrhm !-rnd Tltlo Aqoohtion 38 10. erpensot lnarnod I lhe lnrurod Clalmail thatrwra eilmrterl by hc Company up lo lhr tlru ol poymcnt ud ttral he Company k obflgatod lo pay; or (ll| b pry orofi omkc retla nllh tlre lmurod Cldmont the loga or dunqa prwlded lu undor lHo pflry, hgelhu sl[r any mtr, 0t0m0yC hot, md orpeneor lrumd by fie lnrund Cldmrnt lhat wcn uhodzrd by hr Company up to lho llme ol payneot ad lhet lhe Company l* obfueted lo pry. Upm lhc tror& bylhe Conpary ololhoroflho opllonaprovlded br ln ateeotbnr (b[] or ($. lhe 0orpen/a oHlgrhne b hr ftlrtled u]dsr lhlr polry lor fte dslmod lora c dmogo, o[nr lhan!r geymenlr ruqulrud b be made, shd lemfiab,lnchdlng any labllly or obfrdon lo delend, proseurh, or conllnw any llllgallon. DqTERfi rilAngil AI{D_EnEII-qF L!4q[._ry Ihb pokry b a oootml ol hdrmnlty sg&st rctual monelay bae or damqe rurHncd or lnaurod by llto lmurd Clalmanl who hu suffersd hor r dam4a by nuon ol msllen lnurcd agdnst by hls polloy. (a) TIF €xhnlol ffilliy of lhc Gompany lor looa or damage under 0rls polloy rhall nol crcrcd llro lcuar ot 0 lie Amuntof lnruranco;of(ll) he dlilannm betwsen the valus of the Tlle as hsured md lho vrlue ol ho ll[c subJcol to lha dek lnurod agdrut by thb pdry, (b) tl he CompEry puuar k tlghto under Sssthn 6 ol lioee Cudl0olu and b urmcc*lul h ulabtrohhg 0te Tlllo, u hured, (0 0n Amunt d hruuo dull be hcnmsd by 1016, rld([) h0 hsur8d Cl*nant rhdl hsvs [n dghtb hsv, lie loEs 0r duttsgtd0bqln6d dllrt atol0edatehcdlm wu nradeby[r lnrurud Clahant or ar ol thc drb lt lr *illed end pal4 (c) ln addllhn h fis 0xlflt o, lmfrU undEr (s) snd pL Oe Gompury wll &o pay ttror orb aflomcyr' lo*, and rponrer harod ln accodance wlh Secllone 5 8nd 7 of ham Condlons. LIf,]TATIOII OF LIABILITY (o) llln Compnny erlobtrhoe llw Tlle, or nmouBe Ure dloged delecl, hn, or enqmbrance, or ctmr lhe l6dt ol a d$t ol rocoas h or fiom Oe [ad, of o|Jtss hc clakn ol Unmnrhtablo Tlh, dl as lnsumd, ln a oasonably dllgent manner ty any nnlhod, lnotrtrg llfurlhn and tlu colpbllon ol ury rppeats, lt ohall har tully portrmod llr obllgalhnr wllh mspcc'l b Oat maltor sod rhd not bc llaUc ftr rny loer or dan4e caurcd lo hc lngu,sd, (b) ln lhe ewnl olany llhallon,lncludhg Ilhal|on !y lht Comprn or ttlh fie Cunpenyt conesnl, lhs Company rhall han no llablllty lor loar o damago unill lhsre hsl b0r0 a llnal dotormhathn by a coul olcompelsntlukdhUon, md dlrporlthnol a[ sppeab, aiwselo fie Tlle, ao luurd. (c) Ihr Corpany $d not h llrHr lor loos or dornsgo to lho lnrund hr IBII voirlaily asrumed I llr lmurcd h millq any clatn or tuft llflhout0p fiqf $dhn onsent0f lrr Compary, REDUCTOI{ 0PaNsUiAt[E; REI]UCT|Oi| oR TERltlllATt0]l 0F LIAEITTY Atr poymenb udw lhls polluy, excopt paymonb rnado hr ooElE, rtlomeye' bo$ snd sxpsfltog, shdl ,odlre fie Arnount of lnunr,ms bf lhs ilnouil olfie peymen[ Il. LlAEtUtY [O[oUm,tATtVE Tho Amount ol lnsufiBnoc ghall b0 rtduoad by any rmounl lro Cfirpany payo under ary pllcy lnouhg e l,lctgage to rftkfi acopllon ls tdrsn hgdlrdulc E 0r l0 tvhhlr hc lnq,rud har g$rod, asflmod, or hlcn 6ubF4 ortrthft le erurhd by rn kroursd afur 0ato ol Pdcy and whlcfr b a ohaqa r lbn on hc T[lE, ord fio anunt m pld alri! tr &0m6d a pay,mlfl h lhe lnsurcd undel lhlc po&y. le PAYIEt{toFl.o88 lltan hbll[ rnd lhe utent of lm or damqs haw beu ddhllBly trod h acmrdmc0 ttlllr 5es€ Co0dlfloris, lhe palnrsil rhd be mds flltih t doys. II. RIC}TT8 OF RECo1'ERY UPO}I PAYTEI{I OR EEITLETEI{I - (a) -Wtnnovu 0ro Company *dl have gstbd urd peld r delm undsr llrh ptcy, lt ohdt be aubmgatsd and onffied lo lhe dghb of lhe lnoud Clalmut ln lhe lltle ad oll olhol rlghls ard ronxdlo h raspd lo [p ddm hat 0s hsurnd Cldnanl har Ednst &typmn 0rpmpoaty, b lhc crlonl ol he ffiounlolay loes, coslr, othmeys' laeq and orprnser Dald by [t0 compary, ll mqu6$cd by lio Comgany, tu lnrund Clalmsnl shal uaouts documenls h evlftnco Ua fanclor lo lho Company ol Oeue fihlr urd mmedles, 'lln lnamd Clalnant rlull pamt Un Compuy b euc, ccrpofidte, of rotUc h 0e namo of Uro lnc$Bd Clslmfit rnd b uce he name ol tho lnsmd Chlnant ln any lranradhn or [SrUon lnwtvhg [rm rfih,tr and amedEs, ll r palmanl on acounl oI a olatn doel nol fr{y cow lic hei ol Ura lnund 0lalmml, ilrc Compary $a[&lerlho erenha oltsdghtb mconr unlll trr tho lngursd Chlmgnt ilall halr nowrd [r losa(bl fio Oompanfe,ldtl of lubroealon hdudcr lrt dgila ot 0re lnrund h lndsmnffs$, guil€n&l, o0rer po[olor ol lneuanca, or bonds, not*lhrlrndfu alrylemc orondllh$ ccrhlnod ln thocc hrlrumsntc lltal ddorr rubmgollon dglls. 1{. ARE]IRANOil Unhsr poldUhd by applcSh hw. atfiratlon punuaot to the Ttdo lnturancc Adlnlhn Rulsr ol ltn Arn.hm Aillralloo Araoch0on may be dorrurdod Iqrurd to by boh lECuqenyad he lnau.drt$c ftDof a contowny or d*n &tfoablc mdtw may hoMe, bul an not lmlled lo, ary oonlowryorffin batrBen lho Cornpany ad 0r humd alelng out ol a nlalhg to Ufr polcy. ad soilco ol lho Colrp$y ln orrnodlon wlh lb bsrflro o ho bnuh d r polcy pmvlCon or olhu otfraUon. &blroUon punuanl to hb po&ry ad uilder lh6 Ruhs ln dool on tho drto ln demrd lor atllahn b modr or, at 0re ophn ol lho lmuod, ho Rulu ln rfiocl al Dalr olPoltcy Crdl h blndlng uport h pil{os, Ths euad may lndude rfiornepr leec onty ll lha lnrs ol tlu alah h trhbh llro Lurd h locdcd pemlt a cil,i l0 sfrad atomcye'foct to r pruvdlng pcty. Judgmcnt upon ltrc awanl nndond by he &bflnto(cl msy bo ontend h ary currt hn'trg Midktron llurooL Ihe hr ol Oc alhu ol lho land ahrll apply lo m arblbrUon undcr ths I0c lnuranot futilrdon Ruler. A copy o, tlr Rulet moy be obtahod froflt [16 ComD6[y upm ,lquBrl AltA o*rroa Pdlcl (Ut7lq6)/-2$!ts**.-....*. .--*...6.e1f - ."*** . _ ","._."_ IuurHqld.tlodtFJgB[ Copyrftl Antrliln l,rodTllh Asoclrlkn. All rlghk rcrcncd. Tho usc of thB Form h rostrlctod lo ALTA llccnrcG3 r[d AITA lntmbcf' h good i.Uffi slonding or ofhc doh oturo, All ollrr tuol on pohiHtod. Rcprlntod un&t licclrsc from llo ltmcrlgrn land Titlo Agociothn.# 39 ll.LIABI.IW UMTED TO IHIS POI.ICYI POLICY EffflRE COITRACT (a) Thb plbl l4olhErrrlti allendonoments, ll fiy, alladred tb lt by lho Company b 0r odm pollcy and mnlnct behryeen lhe lruulod rd ho Crnpeny. ln hlarpo[ng ary prcrlslon ol lhla pollcy, thh plry dull h corutucd a,g a tvhde, Anydah olbaoordamage lralarbor oulotlh6 $tus ollheTilh or by ony a&n arsoilh! ildl drlm Yrlchff 0r mt bascd 0n ncdsnop drdl bo mattbd b lhlr pollcy. Ary umndmertolorrndqrmml b Ole polhymuolbe hul[ng drd auhanflcdod ry at alhortad poruoq or upnraly hoorpordd by Scnadulc A ol tt& poloy, Emi crdotssrrEnt h 0rh pdlcy hewd d any llma ls nede a put ol thb polcl and lt rubfecl h dl d lr lermo and mlblons, Erccpt os lie endonemnl aryeady ahteo, il dogs not (l) modfy sny ol lho (b) (o) (0 {a tr. _ _ _ tomo ad pg{alpl ollro pSiloy, (0) Ud[ 1ny pdqr q{olpqqnl (i0 orilsnd lila DCird Fbncy,r(h) lnsiaectio Arrronlo{ - lnsuf,ncc. SEVERABIIIY In 0tc ovenl uy pmlCon ottb po[c1, ln lJhok or h pgt, ls hold hwlld orunanhrcaailc unda applloa0lc lar, lhc pollcy ahall bs deemed nd to hoMe OatpovlCm or euoh put hold tp De tnrdE, but sl drr wvhlona ohatr rom*r ln ful lorco and eflao cHorcE0FtArui Forut (a) Chohr ol Law: Iha lmurod ackmilledgBs lio oompa0y hat undenrfim he dgkr covemd by thlg polloy and detem{ned lho prcmhmdarycd lhcltforln r.l8flcc upon lhB l6t, aflodng hb]Bils h md pmpeily and applbabh b ta hleryreHon, dghb, luardbr, or onlotoment ol po[sbs of tllls hcusno ol tlte tudsdlollon uhen lho [urd ls loctbd, (b) IlrrBlom, [E cold or u ublhabr rhall apply 0r hr ol lhe p&dlcllur nhm llr lard ls bcatod b delemlne 0te valdltyol dalmragahdttcltc hdam dwueblhe lnsumd and lo lnhrprul ard edorce ho bmr of OJe po[riy. ln nelller oru rhsll tho oolil r arbhnlor appty llr conllklr ol btv ptlrrclplcr b Otcnnlne hE apClcrble latr. (o) Chobc ot Forumr A,ty [,lh[un or olhar poceedlng Dought by ths hrund agolntt tr Company must be fled only ln a etsle or lodsral c00il rJilhln lho Unlhd Stabs ol Arn$ha or lls tordlorhs h6,lng apmpdoto jurldlclho, NOT|CEE,WHEfiE 8Et{T Any noUo ol dalm and any olte nofta w atatrment h wrltng nqullad to b60h00 btE Company underl{e ffi mustbo glvdt h tii Ompany at Chhago Il[c lnumno Company, Abu Clalme Daparlmenl, P.0. Box 45023, Ja*ronvlle, FL 3282.S023. It AtT g1f,qrrpofic,(ttfl,0C, Copy. rlgbt Aanrlcu bnd Tllh Arrorlrllor. Allrlglrlr.rcronrrl ltc uro ofihk Ionn b rustrlotcd b ALTA lhlrurlr rnd ALTA mmbar ln geoa i:ii:ll:rludlng or of tlc dero of usa All othcr uscr orc prohibnd, R pdnlcd undcr llcsuo fom tho Arnodoorr hnd Tlllo Ar,roolulo" J" 40 Q fttcego n{c lnrmane Gomproy POIJCY OF TITLE INSURANCE SCHEDULE A Chlcago Tltle Insurance Company Pollcy Numben 7430509-90567931 Order t{umbon 4640396 Customer Refsrenae ; 084f 32-010500 Amount ot InourlncEs f 33,0001000.00Addrrs Rclercnes -643 Uncoln Road- - premtdmrlgTz;3zs.0o Mlilnl Eeach, FL 33139 (for Informatlonal purpoceg onlyl Dats ol Pollcyr January 15, 2014 at 4:30:lg p,M. 1, Name of [nsured: Uncoln Conturlon Retall LLC, a Delaware llmlted ltabtllty company 2, The estate or Interest ln the Land that ts lnsured by thts pottcy ls! Feo Slmple 3. Tlile lr vested ln: Uncoln Centurlon Retall LtC, a Delaware llmlted llablllty company by vtrtue of that certaln Speclal WananW Deed racorded lanuary 15f 2ot.l, ln olllclal Rccords Book 28991, Page 3378, of the Publlc iecords of Mlarirl- Dade county, Florlda, 4. Thc land reErred to ln thls pollcy ls descrlbed ln Exhlblt'Ar attached hereto and made paft hercof. THIII POLICY VALID ONLY IF SC}IEDULE B IS ATTACHED *ggq.9,?..', !.----#::::;------.-.-r .. ::; ."-.- - r qf l - *tlofltfl';#i%f3#ffiL"Eoiiiiiiffiailiffion. diri[ffirGfir.rid; +'r il;r The use of Utls Form ls resfhEd to AtTA llcensees and ALTA membcrs ln good stardlng as of tha date of use. i;,',:,'i';i Nl other uses are prohlblted, Reprlnted under llcerre from the Amerlon Land Tltle AssodaUon. & 41 Q*,."go lilh lrrurancc Compsny Pollcy No.: 7430609-90567931 Oder No,l 4640338 Cuetamer Rcfcruncs: 084132-010500 EXHIEIT OA" Lot one (r) of Block one (l), of uNcoLN RoAD suBDIvIsIoN "Ao, of The Alton Beach Realty company, as the aame ls shown, marked and daslgnated on a plat of sald subdlvlslon, recorded ln Plat Book No. 34, at Page 66 ln the Offlce of the Clerk of the Clrcult Court ln and for MlamFDade County, Florlda; ALSO those lands ln MlamFDade County, Florlda, descrlbed as follows: From a concr€te monument located at the lntersectlon of the West llnE of Jefferson Avenue and the North llne on Llnsoln Road; as sald monument 16 shown on a plat entltled "Amended Plat of Golf Cource Subdlvlslonr, as the same ls recorded ln Plat Book 6, Page 26 of the Publlc Records of Mlaml . Dods Countyi Florldo; more partlcularly descrlbed as belng 1350'-East-and 270 feet North of-th€ Southwest- corner of the NW tl4 of Sectlon 34, Townuhlp 53 South, Range 42 East, run Easterly elong the North llne of Uncoln Road a dlstance o1794,2A feet to the Polnt of Beglnnlng of the parcel of land hercln descrlbedi from sald Polnt of Beglnnlng run Norlherly along a llne perpendlcular to ths last mentloned course a dtstansE of 105 feet to a polni, sald polnt belng 20 feet South of the Southerly llne of the Munlclpal Golf Course, ln the Clty of Mlaml Eeach, Florldai thence run Ecsterly along a llne parallel wtth the North llne of Llncoln Road a dtstance of 50 feet to a polnt, thence run Southerly along a llne perpendlcular to the Noth llne of Llncoln Road, a dlstance of 105 feet to a polnU thence run Westerly along the North llne of Uncoln Road a dlstance of 50 feet to the Polnt of Beglnnlng of the parcel of land hereln descrlbed, ALTA Ownc/c Pollcy (6/f206) 905q9--.- ?-ef-3 .- - - - - (wlth Florlda ilodlfl-ct=!!ry1 c;iryfrgEim;il(tnffi-d-friiomlimii'fr . df iiiiiii rcre Thi irse of tHs Form ls restrlded to AUIA [censees ana Atm members ln good sbndlng as of the datr of uaa, All llflal,lll other uscs sre prchlblted. Rsprinted under llcangs Fom 0ro Amarlcon tano TtUc AcgoclaUon. * 42 @ctlcago Tllle lruurancc Compaty Poltc? Noi : 7430509-90567931 ordor I{o.l 4640396 CuEbmor ltsferunce: 084132-0f 0500 Exc E prr8fi 5 ??3H 8"rE RA6 E Thls pollcy does not lnsure agalnst loss or damage, and the Company wlll not pay costsr aRorneyst fees, otr exponses that arlse by reason of; I. Taxeg and asEessments for the year 2014 and subsequent yearc, whlch are not yet due and payable, 2; Dedlcatlonron the platof Lln'coln Road Subdlvlslon nA' of the'Alton Bsaeh REalW ConTatIy fecotd€d ln Ftlat Book 34, Page 66. 3. Restrlctlons common to the subdlvlsion contalned ln the Werranty Deed ttom The Alton Eeach [lgttf"company recorded ln Deed Book 1631, Page 442, as may be relmposed by the deeds tn offlclal Racords Book 9730, Page 1084 and tn offldal Records Book ri07b, page izO. 4, Partles ln possesslon under unrecorded lease as set forth In Exhlblt ,,8.', 5. Mortgage. frorn Uncoln Centurlon Retall LLC, a Delaware llmlted llablllV company, Hortgagor, to 643.57 Llnooln Road, Inc,1 a Florlda corpomtlon, Mortgagae, dated January 13, ,014, recirded Japuary15, 2014, ln Offldal Records Book 28991, Page 3381, ln the amotint of g24,0oo,ooo.oo, a$ recorded ln the Pubflc Records of Mlaml-Dade County, Flortda. NOTEI Wlth rupect to any Exceptlon ln Schedule B recltlng covenEntE and restrtctlons sald Excepuon(s) omlts any covenant or restrlctlon based on race, color, rellglon, sex, handlcap, famlllal status or nauodai orlgln unless and only to the extent that satd covenant (a) ts exempt under Chapter 42, Secuon 9607 of the Unltod States Code or (b) relates to handlcap but does not dlscrlmtnate against haridlcapped p6nrons. NOTE: All recordlng references ln thls commltment/pollcy shatl rufer to the publlc records of Mlamt-Dade County, Florlda, unless othenvlse noted. NOTEr In tccordanc€ wlth Florlda Statutes sectlon 627,4L9L, please be advlsed that the lnsured her€under may present lnqulrles, obtaln lnformatlon about coverage, or rocelve asslgtance ln resqlvlng complalnts, by contactlng Chlca go Tltle Insurance Company, Telephone t-800-669-7450, AUfA Owney'c Pollcu (6/1206) 30509 Gopyrlght Tltlc AccoclcUon All The gse ol hls Fonn ]c rsblst€d b ALTA lloensrss and ALTA members In gpod otandlng as ol ha dat€ d use, All -hotfier usEs arc prohlbtted. Roprlnted under llcsnre from ths Amerlcan Lrnd nue As:oclaUon. 43 l. DXEIBIT XBX Idrses Leass oxeoutcd bctwoon 643-57 Lincoln Road, Ino,, as Lpndlord and Lorrislaoa Connoction, Ltd,, d/b/o Prsnch Conneotiol, no Tonnnt exeouted on Denemhr 27, 201 l. kaso exeoutod between 643-57 Llncoln Road, Inc, as tandord end Riclry's 643 Unmln Bod, L[,C, ar Tonail, cxgcuted on Sepembor 23. 2011, ns amonded by lho Commercisl lrn$ Modificntion Agrcoment datcd SepEmber 23, 201l, as furthu smended by dro First Amsndmsnl to loase Agrcomont daled Septomber 23, 201 t. Lsssc exsoutod botweon 643-57 Linmln Road, lno., us Lurdlod and Runway Clothirg; Inc. d/Ur Rttrrvmy Swimwear, acTsnant, exeouted on Juno 4,2009. Ipsso e,teoutcd botwcon 643-57 Llncoln Roa4 Ino., as landlord and Yuth and Knot, Ino., I FlorHu oorpomlion, as Tcnant, exccutad on Mnrch zqZJW, ns arnondcd by lho Imeo Addcndum: loam Modlfication of 2009 dated June 15,2009. 44 @ $tcego nilc Insmnce Compooy ENDORSEMENT Attuched to and made E pErt of pollcy Numbcr: 7480709,9036193,2 nThe Company hereby acknowledges the lands descrlbed ln Schedule A are the same lands descrlbed ln the suryey prepared by Campanlle & Assoclates, under ProJect Ns. 5009 dated December 20, 2013; howeverl the Company does not lngure the accuracy oicompleteness of sald suruey." Th.e t6tallltElllty of-llte Comirany 0nder-s6al-potlcl4 brindei oFcommliment-and undeitnE anilanf prlor endors€m€nts thereto shall not exceed, ln the aggregate, the amount of llabtllty stated on thi face of sald pollcy, blnder or commltment, as the same may be speclflcally amdnded tn dollar amount by_thls or any prlor endorsemenb and the costs whlch the Compani ls obllgated to pay under the C.ondltlons and SUpulotlonE of the pollcy. Thls endorcement ls made a part of sald pollcy, blnder or commltment and ls subJact to all the terms and provlslons thereof, except as modlfled by the provlslons hereof, Nothlng hereln contalned shall be construed as extendlng or changlng the effecflve dat6 of the albresald pollcyl blnder or comrnltment unless othenrlse expressly stited. IN WIINESS WHEREOF, the Company has caused thls endorsement to be lssued and valtd when slgned Urap authorlzed offlcer or llcensEd agent of the Company. {t/*@hq.,,:::* Authorlzed Offlcer or Ucensed Ag6nt Endorsement Suney 45 Attachment - C il lilt I IWAP OF BOUNDARV AruD TOPCGRAPHIC SURYEY ,,i- \lTi3lr>rjrl/ E it;l/ L: (,{rr4!"+.^ }::,, .., h., ^ ^*il.-7.,'#'Ji),'ii#,,?[^!t"P]';Hi:'Jil l',(i" .rr "'' "*!i;';xt' \ f uh ot e'aM' Brac' nffitD'('EFD) '.\1' -l Er- o"';'n"f t J i lE rv r-rrvcolN LANE I -.*. "^"" .:." I i I / dr! li 8., I I " '"'rg':8" Yr'-4"''' -li o" li "'f'''ffi'filJ"r'"I l{""'' 'l';*J^*""F+l//j!" 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No ATEMPT wAs MADE To LoitAIE foclNcs,/aouNoa toNs, oRUNDERGRoUND unuTrES uNLEss onrrfiwse rrorrD. J. rHE Lrr6s iron-iine6rirrAvE Nor BEEN ABsrRAcrEo [] REcaRD:r ro MAITERS or rrgar:si gv oiiii;pARnEs, sucH As e^sEuENTs. RroiE cF wAys. nrsrnvrt ori, eic 'ciirii pLAITED EISEUENE aRE sloh_ 4. rHrs suklai wr.s oaepeiir,-riri 'ar_ii CERII'tD rO aE oARtlt:S\ tND'r_rtrD rrFLO! Ar,L q NO) ,,n"r-rr,e,.f ,iASSIr,IABIL 5. ![ EOU\OAPl L.r/'t t.:tC ,ORS laT ARI ,raMr I n. ii;: ,.HE BoJlDAqy Lrvtrs st!BLsHcD :t rr. suptr rqi'e^;.i,ioi'ir_ irciotscRrpTlqN pFovtoEo By cuENr oR js c:ppEserrrrlvq z -iru:i ow-rrillii;Not-DEIRMNEo. a. 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Item Summarv/Recommendation : The City of Miami Beach has five classified service employee groups represented by bargaining units, one employee group comprised of classifications in the classified service not covered by a bargaining unit and one group comprised of at-will employees, commonly referred to as unclassified employees. The City of Miami Beach has approximately 400 employees in the unclassified salary group. At the September 30,2014 meeting, the City Commission adopted Ordinance 2014-3896, which was that most recent amendment to Ordinance Number 1605, "The Unclassified Employees Salary Ordinance of the City of Miami Beach." Since the adoption of Ordinance 2014-3896, organizational changes and work demands have led to the creation of new classifications, the elimination of many and corrections to the pay grade for several classifications. The subject ordinance includes the requirement that the City Commission be informed whenever an unclassified employee is hired at an annual salary of $75,000 or more. The Administration recommends ratification of the classifications and organizational changes reflected in the ordinance. as amended at the 10,2015. Financial I nformation : Source of Funds: tl OBPI Amount 1 2 3 Total Financial Impact Summary: c Tabak, Human Resources Director nt City Manager Jimmv L. Moralesia Crespo-T.6"7 {2 MIAMIBEACH olire 4-3o-l{ 58 MIAMIBEACH City of Miomi Beoch, 1700 Convention Cenier Drive, Miomi Beoch, Florido 33.l39, www.miomibeochfl.gov CO MEMORANDUM Mayor Philip Levine and Members Jimmy L. Morales, City Manager September 30, 2015 Second Reading and Public Hearing AN ORDINANCE OF THE MA AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AMENDING ORDINANGE NO. 1605, THE UNCLASSIFIED EMPLOYEES SALARY ORDINANGE OF THE CITY OF MIAMI BEACH, FLORIDA, AS FOLLOWS: PROVIDING FOR THE CLASSIFICATIONS lN GROUP VII, COMPRISED OF AT.WILL EMPLOYEES COMMONLY REFERRED TO AS ..UNGLASSIFIED EMPLOYEES',; REVISING THE PAY RANGE FOR THE CITY MANAGER AND THE CITY ATTORNEY TO REFLECT THE 3 PERCENT COST OF LIVING ADJUSTMENT THAT WENT INTO EFFEGT OCTOBER 1, 2014; ADJUSTING THE PAY RANGE FOR THE ASSISTANT DIRECTOR.PUBLIC WORKS, AUDITOR, TAX AUDITOR, SENIOR AUDITOR, ASSISTANT INTERNAL AUDITOR, ASSET MANAGER, ASSISTANT DIRECTOR-HUMAN RESOURGES, CONSTRUGTION MANAGER, MANAGEMENT AND BUDGET ANALYST, AGENDA COORDINATOR, TRANSPORTATION MANAGER AND FINANCIAL ANALYST; ESTABLISHING THE FOLLOWING NEWLY CREATED GLASSIFICATIONS: ASSISTANT TO THE GITY ATTORNEY, CAO PARALEGAL SPECIALIST, BEACH MAINTENANCE D!REGTOR, ADMINISTRATIVE OFFICER. CITY MANAGER'S OFFICER, ADM!NISTRATIVE OFFICER.PLANNING DEPARTMENT, ASSISTANT EMERGENCY MANAGEMENT DIRECTOR, CAPITAL PROJECTS DIRECTOR FOR THE CONVENTION CENTER DISTRICT, ASSISTANT DIRECTOR.PARKING SERVICES GOMPLIANCE, EMPLOYEE BENEFITS MANAGER, FIRE ADMINISTRATIVE SERVICES MANAGER, GREENSPACE DIVISION DIRECTOR, FIRE INSPECTION SUPERVISOR, FIRE COMMUNICATIONS MANAGER, PROCUREMENT CONTRACTING ANALYST, STREETS AND STREET LIGHTING SUPERINTENDENT, PARKS AND RECREATION PROJECTS COORDINATOR, PARKS AND RECREATION PROJECT SUPERVISOR, CLERK OF BOARDS, EMERGENCY MANAGEMENT TECHNIGIAN, POLICE ACCREDITATION MANAGER, GRANTS MANAGEMENT SPECIALIST, RAPID RESPONSE TEAM AND EXGELLENCE PROGRAM ASSESSOR; RECLASSIFYING FROM DEVELOPMENT COORDINATOR TO MARKETING, TOURISM AND DEVELOPMENT MANAGER ; GRANTS MANAGER TO GRANTS OFFICER, FROM CITY SURVEYOR TO GITY SURVEYOR MANAGER, CHIEF PROTECTION ANALYST TO FIRE PROTEGTION ANALYST SECTION MANAGER, FROM STREETS, LIGHTING AND STORMWATER SUPER!NTENDENT TO STORMWATER SUPERINTENDENT, PARKS SUPERINTENDENT TO GREENSPACE SUPERINTENDENT, FROM PROGUREMENT COORDINATOR TO PROCUREMENT CONTRACTING TO: FROM: DATE: SUBJECT: 59 City Commission Memorandum September 30, 2015 Unclassified Salary Ordinance Page 2 of 3 OFFICERS IAND II, SENIOR PROGUREMENT SPECIALIST TO PROCUREMENT CONTRACTING OFFICER IlI AND FROM LEASING SPECIALIST TO REAL ESTATE ASSET SPECIALIST; DELETING THE FOLLOWING OBSOLETE CLASSIFICATIONS: AFFIRMATIVE ACTION OFFICER, ASSISTANT DIRECTOR- NEIGHBORHOOD SERVICES, DEVELOPMENT AND MBTV DIRECTOR, STRUCTURAL ENGINEER, EMPLOYMENT SUPERVISOR, HISTORIG PRESERVATION COORDINATOR, PSCU ADMINISTRATOR, QUALITY ASSURANCE MANAGER, QUALITY ASSURANCE OFFICER, QUALITY ASSURANGE COORDINATOR, SENIOR BUSINESS MANAGER, HOUSING MANAGER, NEIGHBORHOOD SERVICES PROJEGTS ADMINISTRATOR, PROJECT PLANNER/DESIGNER, PUBLIC SAFETY COMMUNICATIONS UNIT DIRECTOR, SENIOR GODE COMPLIANCE ADMINISTRATOR, !MPLEMENTATION SERVICES MANAGER, SPECIAL EVENTS LIAISON, POLICE PUBLIG INFORMATION OFFICER, ELDER AFFAIRS COORDINATOR, GRANTS MANAGER, DEVELOPMENT COORDINATOR AND GRANTS SPECIALISTI REQUIRING THAT THE GITY COMMISSION BE INFORMED WHENEVER AN UNCLASSIFIED EMPLOYEE IS HIRED AT AN ANNUAL SALARY OF $75,OOO OR MORE; AND PROVIDING FOR REPEALER, SEVERABILITY, AND AN EFFECTIVE DATE. RECOMMENDATION The Administration recommends approval of the ordinance. BACKGROUND The City of Miami Beach has five classified service employee groups represented by bargaining units, one employee group comprised of classifications in the classified service not covered by a bargaining unit and one group comprised of at-will employees, commonly referred to as unclassified employees. The City of Miami Beach has approximately 400 employees in the unclassified salary group. At the September 30,2014 meeting, the City Commission adopted Ordinance 2014-3896, which was that most recent amendment to Ordinance Number 1605, "The Unclassified Employees Salary Ordinance of the City of Miami Beach." ANALYSIS Since the adoption of Ordinance 2014-3896, organizational changes and work demands have led to the creation of new classifications, the elimination of many and corrections to the pay grade for several classifications. At first reading, the subject ordinance included the requirement that the City Commission continue to be informed whenever an unclassified employee is hired at an annual salary of $150,000 or more. At the Commission's direction, that number has been changed to $75,000. Also during the first hearing, September 10,2015, and reflected herein and in the corresponding ordinance, the Human Resources Director corrected the title to reflect that the senior internal and assistant internal auditor's pay ranges had changed from a 21 to 23 and from a 20 to 22, respectively. 60 City Commission Memorandum September 30, 2015 Unclassified Salary Ordinance Page 3 of 3 The ordinance reflects 32 new classifications, eight of which are additions to the employee headcount and 24 are reclassifications of positions/incumbents and pay grades or titles changes only. Among the eight new classifications are several that indicate approvals set forth in the 201412015 operating budget such as the: Greenspace Division Director, Streets and Lighting Superintendent, Procurement Officer ll and Excellence Program Assessors. CONCLUSION The Administration recommends ratification of the classifications and organizational changes reflected in the ordinance, as amended at the September 10,2015 budget hearing. Attachment JLM/MT/SC-T 61 ORDINANCE NO. AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAM! BEACH, FLORIDA, AMENDING ORDINANCE NO. 1605, THE UNCLASSIFIED EMPLOYEES SALARY ORDINANCE OF THE CITY OF MIAMI BEACH, FLORIDA, AS FOLLOWS: PROVIDING FOR THE CLASSIFICATIONS IN GROUP VII, COMPRISED OF AT-WILL EMPLOYEES COMMONLY REFERRED TO AS "UNCLASSIFIED EMPLOYEES"; REVISING THE PAY RANGE FOR THE CITY MANAGER AND THE CIry ATTORNEY TO REFLECT THE 3 PERCENT COST OF LIVING ADJUSTMENT THAT WENT INTO EFFECT OCTOBER 1, 2014; ADJUSTING THE PAY RANGE FOR THE ASSISTANT DIREGTOR.PUBLIC WORKS, AUDITOR, TAX AUDITOR, SENIOR AUDITOR, ASSISTANT INTERNAL AUDITOR, ASSET MANAGER, ASSISTANT DIRECTOR.HUMAN RESOURCES, CONSTRUCTION MANAGER, MANAGEMENT AND BUDGET ANALYST, AGENDA COORDINATOR, TRANSPORTATION MANAGER AND FINANCIAL ANALYST; ESTABLISHING THE FOLLOWING NEWLY CREATED CLASSIFICATIONS: ASSISTANT TO THE Clry ATTORNEY, CAO PARALEGAL SPECIALIST, BEACH MAINTENANCE DIRECTOR, ADMINISTRATIVE OFFICER.CITY MANAGER'S OFFICE , ADMINTSTRATIVE OFFICER.PLANNING DEPARTMENT, ASSISTANT EMERGENCY MANAGEMENT DIRECTOR, CAPITAL PROJECTS DIRECTOR FOR THE CONVENTION CENTER DISTRICT, ASSISTANT DIRECTOR.PARKING SERVICES GOMPLIANCE, EMPLOYEE BENEFITS MANAGER, FIRE ADMINISTRATIVE SERVICES MANAGER, GREENSPACE DIVISION DIRECTOR, FIRE INSPEGTION SUPERVISOR, FIRE GOMMUNIGATIONS MANAGER, PROCUREMENT GONTRACTING ANALYST, STREETS AND STREET LIGHTING SUPERINTENDENT, PARKS AND RECREATION PROJEGTS COORDINATOR, PARKS AND RECREATION PROJECT SUPERVISOR, CLERK OF BOARDS, EMERGENCY MANAGEMENT TECHNIGIAN, POLICE AGCREDITATION MANAGER, GRANTS MANAGEMENT SPECIALIST, RAPID RESPONSE TEAM AND EXCELLENCE PROGRAM ASSESSOR; RECLASSIFYING FROM DEVELOPMENT COORDINATOR TO MARKETING, TOURISM AND DEVELOPMENT MANAGER ; GRANTS MANAGER TO GRANTS OFFICER, FROM CITY SURVEYOR TO GITY SURVEYOR MANAGER, CHIEF PROTECTION ANALYST TO FIRE PROTECTION ANALYST SEGTION MANAGER, FROM STREETS, LIGHTING AND STORMWATER SUPERINTENDENT TO STORMWATER SUPERINTENDENT, PARKS SUPERINTENDENT TO GREENSPACE SUPER!NTENDENT, FROM PROCUREMENT COORDINATOR TO PROCUREMENT CONTRACTING OFFICERS I AND I!, SENIOR PROGUREMENT SPEGIALIST TO PROCUREMENT CONTRACTING OFFICER I!! AND FROM LEASING SPECIALIST TO REAL ESTATE ASSET SPEGIALIST; DELETING THE FOLLOWING OBSOLETE CLASSIFICATIONS: AFF!RMATIVE ACTION OFFICER, ASSISTANT DIRECTOR. NEIGHBORHOOD SERVICES, DEVELOPMENT AND MBTV DIRECTOR, STRUCTURAL ENGINEER, EMPLOYMENT SUPERVISOR, HISTORIC PRESERVATTON COORDINATOR, PSGU ADMINISTRATOR, QUALITY ASSURANCE MANAGER, QUALITY ASSURANCE OFFICER, QUALITY ASSURANCE COORDINATOR, SENIOR BUSINESS MANAGER, HOUSING MANAGER, NEIGHBORHOOD SERVICES PROJECTS ADMINISTRATOR, PROJECT PLANNER/DESIGNER, PUBLIC SAFETY COMMUNICATIONS UNIT DIRECTOR, SENIOR CODE COMPLIANCE ADMINISTRATOR, IMPLEMENTATION SERVTCES MANAGER, SPECIAL EVENTS LIAISON, POLIGE PUBLIC INFORMATION OFFICER, ELDER AFFAIRS GOORDINATOR, GRANTS MANAGER, DEVELOPMENT COORDINATOR AND GRANTS SPECIALISTT REQUIRING THAT THE CtTy COMMTSSTON BE TNFORMED WHENEVER AN UNCLASSIFIED EMPLOYEE IS HIRED AT AN ANNUAL SALARY OF $75,000 OR MORE; AND PROVIDING FOR REPEALER, SEVERABILITY, AND AN EFFEGTIVE DATE. WHEREAS, the City has approximately 400 employees who are members of the unclassified salary 62 group; and WHEREAS, there is a need to amend the salary ordinance to delete obsolete classifications, amend scrivener's errors and make housekeeping amendments, establish newly created classifications, and re- establish a requirementthatthe City Commission be informed when a new hire's annual salary is $150,000 or more. NOW, THEREFORE, BE !T ORDAINED BY THE MAYOR AND CITY COMMISSION OF THE GITY OF MIAMI BEACH, FLORIDA AS FOLLOWS: SECTION 1. The following lines of Section 1 of the Unclassified Salary Ordinance No. 1605 shall be amended as follows and effective after adoption on second reading on September 30, 2015. CLASS AND PAY GRADES, SALARIES AND CLASSIFIGATIONS A. Salary Grades and Ranges Grade, Classifications and Compensation for the Gity Manager and City Aftorney UNC CITY MANAGER Base Salary: $4€2€4€S04rr $167.803ivr to $263#26€O4r $271,0201vr Medical insurance Dental insurance Life insurance 457 deferred compensation City vehicle and/or vehicle allowance Annual vacation, sick leave, floating, and birthday holidays as provided in the Unclassified Employees Leave Ordinance Defined benefit retirement plan UNC CITY ATTORNEY Base Salary: $4€2€4€€€4rr $167,803 to $263J26S04rr $271.0201vr Medical insurance Dental insurance Life insurance 457 deferred compensation City vehicle and/or vehicle allowance Annualvacation, sick leave, floating, and birthday holidays as provided in the Unclassified Employees Leave Ordinance Defined benefit retirement plan MINIMUM ANNUAL SALARY MAXIMUM ANNUAL SALARYGRADE Annual salary based on 2080 hours per year UNC City Attorney At City Commission's Discretion UNC City Manager At City Commission's Discretion 30 $146,373.37 $259,629.78 29 $139,320.29 $247,119.37 28 $126,217.30 $223,877.95 27 $120,135.45 $21 3,090.25 63 GRADE B. Classifications and Grades 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 1 MINIMUM ANNUAL SALARY $103,592.42 $98,600.76 $93,849.63 $80,926.23 $73,315.17 $66,419.92 $60,1 83.1 8 $57,273.70 $54,513.93 $51 ,887.14 $49,386.93 $47,007.19 $44,742.12 $42,586.19 $40,543.16 $38,580.99 $36,721.94 $34,952.47 $33,268.27 $31,665.22 $30,139.41 $28,687.12 $27,304.81 $25,989.12 $24,736.82 $23,544.85 MAXIMUM ANNUAL SALARY $183,747.06 $174,893.10 $166,465.76 $132,374.24 $1 19,924.53 $108,645.71 $98,427,66 $93,684.85 $89,170.59 $84,873.86 $80,784.16 $76,891.53 $73,186.46 $69,659.93 $66,303.32 $63,108.46 $60,067.54 $57,173.15 $54,418.22 $51,796.05 $49,300.22 $46,924.66 $44,663.57 $42,511.43 $40,462.99 $38,513.25 JOB CODE CLASSIFIGAT!ON 04t2015 10t2015 1401 City Attorney UNC 1 001 City Manager UNC 1 004 Deputy City Manager 30 1002 Assistant City Manager 29 1402 Chief Deputy City Attorney 29 3 64 JOB CODE CLASSIF!CATION 04t2015 10t2015 1 101 Chief Financial Officer 29 1115 Budget Performance lmprovement Director 27t28 3102 Building Director 27t28 301 5 Capital lmprovement Projects Director 27t28 2001 City Clerk 27t28 3147 Code Compliance Director 27t28 1403 Deputy City Attorney 27t28 1023 Director of the Office of Communications 27t28 5008 Emergency Management Director 27t28 51 01 Fire Chief 27t28 3331 Housing and Community Services Director 27t28 1701 Human Resources Director 27t28 1 500 I nformation Technology Director 27t28 1 800 Parking Director 27t28 6001 Parks and Recreation Director 27t28 3200 Planning Director 27t28 5001 Police Chief 27t28 1600 Procurement Director 27t28 3001 Public Works Director 27t28 1054 Tourism, Cultural Affairs & Economic Development Director 27t28 3035 Transportation Director 27t28 5102 Assistant Fire Chief 26 5002 Assistant Police Chief 26 1405 First Assistant City Attorney 26 3002 Assistant Director - Public Works ?4 25 3104 Building Official 25 4 65 JOB CODE CLASSIFICATION 04t2015 10t2015 3037 Capital Proiects Director for the Convention Center District 25 5003 MBPD Chief of Staft 25 6006 Deputy Director Parks and Recreation 25 51 03 Fire Division Chief 25 5104 Fire Marshall 25 3203 Planning Department Deputy Director 25 5004 Police Division Major 25 1608 Asset Manager 4 24 5200 Assistant Emerqencv Manaoement Director 24 31 03 Assistant Director - Building 24 3006 Assistant Director - Capital lmprovement Projects 24 1102 Assistant Director - Finance 24 1704 Assistant Director - Human Resources 23 24 1 801 Assistant Director - Parking 24 1812 Assistant Director - Parkinq Services Compliance 24 61 01 Assistant Director - Parks and Recreation 24 3201 Assistant Director - Planning 24 1 604 Assistant Director - Procurement 24 1036 Assistant Director - Tourism and Cultural Development 24 6402 Bass Museum Director 24 1117 Budget Officer 24 3140 Chief Structural Engineer 24 3016 City Engineer 24 1057 CMB Media Ambassador 24 31 03 Deputy Building Director 24 331 1 Economic Development Division Director 24 4302 Fleet Management Division Director 24 1 501 I nformation Technology Division Director 24 5 66 JOB CODE CLASS!F!CATION 04t201s 10t2015 3028 I nfrastructure Division Director 24 1116 lnternalAuditor 24 5006 Police Captain 24 4401 Property Management Division Director 24 4041 Sanitation Division Director 24 1407 Senior Assistant City Attorney 24 31 10 Administrative Services Manager 23 1793 A#i+mative+cti€n€tri€er z3 1 503 Application Systems Manager 23 1408 Assistant City Attorney ll 23 3027 Assistant City Engineer 23 1o5p-iees 23 1118 Senior Auditor 20 1114 Assistant lnternal Auditor 2+23 1 003 Assistant to the City Manager 23 5402 Beach Maintenance Director 23 31 16 Building Operations Manager 23 3005 Capital lmprovement Projects Division Director 23 3405 CDBG Projects Coordinator 23 1 103 Chief Accountant 23 1034 Chief Learning and Development Officer 23 1011 Chief of Staff 23 3007 Civil Engineer lll 23 3159 Code Compliance Assistant Director 23 3320 Community Development and Housing Division Director 23 1 550 Construction Management Division Director 23 5111 Emergency Management Coordinator 23 1723 Emplovee Benefits Manaoer 23 6 67 JOB CODE GLASSIFICATION 04t20'15 1012015 5005 Executive Assistant to the Chief 23 1 105 Finance Manager 23 51 13 Fire Administrative Services Manaqer 23 3206 Grants Officer 23 6007 Greenspace Division Director 23 1702 Human Resources Administrator ll 23 501 8 I nvestigator S upervisor 23 3204 Planning and Zoning Manager 23 5007 Police Commander 23 3202 Preservation and Design Manager 23 1145 x 1131 Revenue Manager 23 1141 Risk Manager 23 3014 Senior Capital Projects Coordinator 23 3{€5 S+uetura+Cngineer 23 1 509 Systems Support Manager 23 1504 Technical Services Manager 23 1104 Treasury Manager 23 4001 Water and Sewer Superintendent 23 3010 Capital Projects Coordinator 22 3000 Citv Survevor Manager 22 5118 Fire Protection Analvst Section Manaoer 22 3008 Civil Engineer ll 22 1 035 Cultural Affairs Program Manager 22 5111 EMS Coordinator 22 1039 Film and Event Production Manager 22 51 16 Fire lnspection Supervisor 22 1028 Marketing and Tourism Manager 22 68 JOB CODE CLASSIFICATION 04t2015 10t2015 1146 Marketino, Tourism and Development Manaqer 22 1705 Organizational Development and Training Coordinator 22 4231 Property Maintenance/Operations Su perintendent 22 1118 Senior Auditor 4 22 7113 SocialWorker 22 1 005 SpecialAssistant to the City Manager 22 3052 Streets and Street Liqhtinq Superintendent 22 3053 Stormwater Superi ntendent 22 3022 Traffic Engineer 22 3033 Transportation Operations Supervisor 22 3029 Transportation Manager 2+22 1516 VOI P Network Administrator 22 3030 ADA Coordinator 21 1409 Assistant City Attorney I 21 2002 Assistant City Clerk 21 6403 Assistant Director - Bass Museum 21 3301 Assistant Director - Community i Economic Development 21 4403 Assistant Division Director - Property Management 21 1404 Assistant to the Citv Attornev 21 1406 CAO Paralesal Specialist 21 1018 Capital I mprovement Administrator 21 3009 Civil Engineer I 21 3154 Code Compliance Manager 21 3302 Community Development Coordinator 21 3330 Community Services Division Director 21 1 609 Contracts Compliance Administrator 21 1 510 Database Adm i nistrator 21 69 JOB CODE CLASS!FICATION 04t2015 10t201s 1€58 2+ 1€49 2+ 1010 Emergency Management Specialist 21 1731 21 1 153 FinancialAnalyst lll 21 3024 Geographic lnformation System Manager 21 w7 e+an+s-nnanaser 21. 6014 Greenspace Superi ntendent 21 32e3 Histerie Preservatien Ceerdinalor 2+ 1012 Labor Relations Manager 21 601 3 Landscape Projects Coordinator 21 1 505 Network Administrator 21 1710 Organizational Development and Training Specialist 21 601 0 Parks and Recreation Proiects Coordinator 21 6005 Parks Facility Manager 21 601 1 Parks Superintendent - Urban Forester 21 6003 2+ 5505 Police Plans and Policies Manager 21 3212 Principal Planner 21 5307 Property/Evidence Supervisor 21 52oo PSCU Administrater 21 1 051 Public lnformation Coordinator 21 1024 Public I nformation Officer 21 1126 Public Safety Management and Budget Analyst 21 2+ 1515 Radio Systems Administrator 21 1017 Redevelopment Coordinator 21 1142 Safety Officer 21 1810 Senior Administrative Manager 21 9 70 JOB CODE CLASSIFIGATION 04t2015 10t2015 4 3211 Senior Capital Projects Planner 21 1524 Senior GIS Analyst 21 1712 Senior Human Resources Specialist 21 1121 Senior Management Consultant 21 1517 Senior Network Administrator 21 3233 Senior Plans Designer 21 1520 Senior Systems Administrator 21 1725 Special Projects Adm in istrator 21 1521 Storage Area Network Architect 21 3152 Administrative Manager 20 4043 Assistant Director - Sanitation 20 1020 Capital Projects Administrator 20 3404 CDBG Program Analyst 20 31 09 Chief Building Code Compliance Officer 20 3141 Chief Building lnspector 20 3111 Chief Electrical lnspector 20 3171 Chief Elevator lnspector 20 3121 Chief Mechanical I nspector 20 31 31 Chief Plumbing lnspector 20 3124 Chief Roofing lnspector 20 1143 Claims Coordinator 20 2012 Community Outreach Manager 20 1 551 Construction Manager 1g 20 1 038 Cultural Facilities Manager 20 6427 Curator of Collections 20 1032 Entertainment lndustry Liaison 20 geusing-Menager 4 10 71 JOB CODE CLASSIFICATION 04t2015 10t2015 1733 Human Resources Administrator 20 1507 lnformation Technology Specialist lll 20 3144 I nspection Services Coordinator 20 3306 feasing€pe€{a$$4 4252 Maintenance Management Coordinator 20 1028 Marketing, Tourism and Development Manager 20 2129 Mayor/Commission Branding Manager 20 4 5401 Ocean Rescue Division Chief 20 1 809 Parking Administration Manager 20 601 5 Parks and Recreation Proiect Supervisor 20 3032 Performance and Scheduling Analyst 20 n 3306 Real Estate Asset Specialist 20 6106 Recreation Supervisor ll 20 4 4029 Senior Management Analyst 20 1122 Senior Management and Budget Analyst 20 3213 Senior Planner 20 1 605 Procurement Contractinq Officer lll 4a 20 1512 Senior Systems Analyst 20 3038 Transportation Planner 20 1132 Utility Billing Supervisor 20 1119 Auditor +7 19 1 063 Assistant to the Neighborhood Services Director 19 5509 Business Manager 19 1022 Community I nformation Coordinator 19 1522 E-government Ad m inistrator 19 11 72 JOB CODE CLASSIFICATION o4t2015 10t20'15 1724 Employee Benefits Coordinator 19 1547 Environmental Resources Manager 19 3209 CIP Field Supervisor 19 3312 Field lnspections Supervisor 1154 FinancialAnalyst ll 19 3161 Governmental Compliance Coordinator 19 1124 Management Consultant 19 3036 Project Manager 19 1007 Redevelopment Specialist 19 3017 Right-of-Way Manager 19 1 064 Senior Media Specialist 19 1514 Senior Telecommunications Specialist 19 1 006 Special Projects Coordinator 19 1513 Systems Administrator 19 1519 Systems Analyst 19 3003 Transportation Coordinator 19 1016 Agenda Coordinator {€18 1613 Asset Specialist 18 3146 Building Permitting lnformation Analyst ll 18 3039 Clerk of Boards 18 31 53 Code Compliance Supervisor 18 1603 Contracts Compliance Specialist 18 6423 Curator 18 6424 Curator of Education 18 31 08 Development Review Services Coordinator 18 1 060 Emeroencv Manaqement Technician 18 501 9 Fire Communications Manaqer 18 51 06 Fire Protection Analyst 18 12 73 JOB CODE CLASSIFICATION 04t2015 10t2015 4310 Fleet Analyst 18 1 048 Homeless Program Coordinator 18 3304 Housing and Community Development Programs Specialist 18 3303 Housing Specialist 18 1711 Human Resources Specialist 18 1*2 {€ 1507 lnformation Technology Specialist I I 18 1041 Labor Relations Specialist 18 2215 Legal Administrator 18 1€ 2104 Office Manager 18 2201 Office Manager (City Attorney)18 1802 Parking Operations Manager 18 6009 Parks and Recreation Administrative Specialist 18 3217 Planner ll 18 551 0 Police Accreditation Manaoer 18 1607 Procurement Contractino Officer ll 1€18 2006 Records Manager 18 4044 Sanitation Superintendent 18 1814 Security Specialist 18 1434 Speeia++ven+s+raisen 1€ 1518 Telecommunications Specialist 18 3034 Transportation Analyst 18 1813 Transportation Engineer 18 3192 Administrative Officer 17 3205 Administrative Otficer - Plannino Department 17 1 553 Bicycle Program Coordinator 17 3145 Building Permitting lnformation Analyst 17 13 74 JOB CODE CLASSIFIGATION 04t2015 10t2015 3114 Building Records Manager 17 5201 Comm unications Manager 17 1047 Community Resources Coordinator 17 1552 Environmental Specialist 17 1 155 FinancialAnalyst I 17 1511 Geographic lnformation System Analyst 17 3208 Grants Writer / Researcher 17 1120 Management and Budget Manager 17 5008 Peliee Publie lnfermatien Offieer # 1144 Public Safety Payroll Administrator 17 2213 Senior Legal Secretary 17 1 166 Tax Auditor {€17 4407 Central Services Coordinator 16 2107 Executive Office Associate ll 16 1026 Film and Print Coordinator 16 6120 lce Rink Manager 16 1 508 lnformation Technology Specialist I 16 2214 Legal Secretary 16 1043 Management lntern 16 1025 Media Specialist 16 61 19 Parks and Recreation Analyst 16 3215 Planner I 16 3210 Planning and Zoning lnspector 16 5507 Police Records Manager 16 1 599 Procurement Contracting Officer I 16 7114 Program Coordinator (Youth Empowerment Network)16 1037 Public Arts Coordinator 16 1029 Public I nformation Specialist 16 14 75 JOB CODE CLASSIFICATION 04t2015 10t2015 6@ 1€ 1 033 Special Events Coordinator 16 1 053 Truancy Coordinator 16 1044 Visual Communications Specialist 16 3160 Administrative Officer - Citv Manaoer's Office 15 31 15 Building Records Supervisor 15 2100 Commission Aide 15 33+6 ffi {5 2108 Executive Office Associate I 15 1 156 Financial Analyst 12 15 1027 Media Assistant 15 ?493 Wieer 15 5211 Victims Advocate 15 6121 Assistant lce Rink Manager 14 3305 Community Development Technician 14 1823 Customer Service Liaison 14 1042 Grants and Operations Administrator 14 1009 Labor Relations Technician 14 2120 Office Associate V 14 2203 Paralegal 14 3214 Planner 14 1621 Procurement Contractinq Analvst 14 4042 Sanitation Coordinator 14 6104 Tutoring Supervisor 14 e+an+sSpeeialist € 1123 Management and Budget Analyst {€13 15 76 JOB CODE CLASSIFICATION 04t2015 10t201s 1013 Case Worker ll 12 2223 Code Violations Clerk 12 3023 Field Monitor 12 1 055 Grants Manaqement Specialist 12 2121 Office Associate lV 12 5506 Police Records Supervisor 12 1021 Case Worker 11 2122 Office Associate lll 11 4225 Graffiti Removal Coordinator 10 7119 SocialWorker lntern 10 4108 Rapid Response Team 9 2113 Receptionist 9 61 03 EducationalAide 7 1 045 lntern 7 2128 Mayor/Commission Office Manager 5 2127 Secretary 5 4111 Excellence Prooram Assessor 1 C. Salary information to be provided to City Gommission Effective September 30,2015, the City Commission shall be informed whenever an unclassified employee is hired at an annual salary of $75,000 or more. SECTION 2. REPEALER. That all ordinances or parts of ordinances in conflict herewith be and the same are hereby repealed. 16 77 SECTION 3. SEVERABILITY. lf any section, subsection, clause or provision of this Ordinance is held invalid, the remainder shall not be affected by such invalidity. SECTION 4. EFFECTIVE DATE. The Ordinance amendments set forth in Section 1 above shall be effective after adoption on second reading on September 30, 2015. This Ordinance shall take effect on the _ day of 2415. PASSED AND ADOPTED this _ day of ATTEST: 2015. Philip Levine, Mayor Rafael E. Granado, City Clerk U nderl i nes de note add iti o ns ; S+ike+nreushs de n ote deletio ns (Sponsored by Commissioner Michael Grieco) APPROVED AS TO FORM & LANGUAGE & FOR EXECUTION lss 17 78 ;' 6 S gE : i i:EJ€gEEEE;€EqEtx g$sEg 's'sit iur€:;9 r Etf€ a;E€t(r:sidC ;E E 3 EEst, Es ; ti E ;tIIurNEa E: E :E t oE IEB'=g ?s q 5E 5 € i-.,U;; si ;" !E i" 6 ;EHEigiiEEEE!i- z+=EiiEie5iE;E gE d=.=f 6R iasqi$iiiEsE::E ?E;E E s-l* .:> *sH Ei EE $E EEi EE f{t4t Ef Er ei IlF :E :g€ *E Ei ;* lrs f* gs - E;ieESEES4!t SeEFeE j \ Uzo. (a () f T'lz e E= ed o- E= =- 79 COMMISSION ITEM SUMMARY Condensed Title: An Ordinance amending the Code of the City of Miami Beach, by amending Chapter 106, entitled "Traffic and Vehicles," by amending Article ll, entitled "Metered Parking," by amending Division 1, entitled "Generally," by amending Section 106-55, entitled "Parking Rates, Fees, and Penalties;" by amending Parking Meter Rates and Time Limits; Municipal Parking Garage and Preferred Parking Lot Rates and Penalties; Regulations Regarding a Facility Specific Monthly Parking Permit Program, Reserved/Restricted Commercial On-Street Permit Parking, and Valet Storage Spaces; and amending the regulations and fees for Metered Parking Space Rental and Parking Space Removal; amending the Regulations Regarding the Residential Parking Program; amending the Exceptions to Section 106-55 to provide for a Mobile Phone Payment Service and eliminating the Smart Card Program; and establishing a Residential Parking Visitor Permit; providing for codification, repealer, severability, and an effective date.sored bv: Commissioner Weithorn Commission a Comprehensive Mobility Plan Which Gives Priority Recommendations (From Non- Vehicular to Vehicular and lncludinq Parkinq). , Environmental Scan, etc.l:74o/o of residents and 72% of businesses rate the availability of parking across the City as too little or much too little. Availability of parking was one of the changes residents identified to Make Miami Beach better to live, work or Item Summary/Recommendation: Glerk's Office islative Trac :\AGENoA\20 1 020't5.sum.docx ne eu-on rErs RS B The Mayor and Commission have identified traffic congestion throughout the City as a priority issue. At their direction, the Administration is pursuing a multi-pronged approach to address traffic congestion. lt is important to note that discounted hourly parking meter rates shall continue for Miami Beach residents. On September 10, 2015, the Mayor and Commission held the first reading of this proposed ordinance and directed the Administration to include the following amendments: -Valet parking space rentals shall increase from $17 to $25 daily, per space, immediately, with an increase to $31.50 in six (6) months. The fee shall be revisited in the next budget cycle. -Construction and special events permits space rentals shall increase from $10 to $25 daily, per space; however, the current rate shall be locked in if they are permitted for the next six months. -Any special events application submitted prior to September 30, 2015, will be locked in at $10 daily, per space, for the next six (6) months; otherwise, it will increase to $25 daily, per space, excluding non-profit entities. -The rate for on-street metered parking in South Beach (South of 23rd Street) to increase from the proposed $3 to $4 per hour. The Administration recommends the City Commission take the following actions: 1) by separate motion, accept the recommendation of the Finance and Gitywide Projects Gommittee (FCWPC) on 1.2015; and 2 the attached Ordinance at Second Final Public On July 1,2015, the Finance and Citywide Projects Committee (FCWPC) endorsed the proposed parking rate amendments to the City Code, resulting in the proposed parking rate increases in the attached Ordinance. Financial lnformation : Source of Funds: Amount Account 1 2 OBPI Total Financial lmpact Summary: Cumulatively, the aforementioned parking rate increases are estimated to have the potential to yield an additional $22.6 million, annually, representing $112.9 million over five (5) years assuming no increase in utilization. As described, these increased revenues would be utilized to fund the more immediate transportation initiatives and the bonding capacity for the Parking Enterprise Fund is estimated at $140 million to fund parking garage expansion projects. lt is important to note that additional rate increases may be needed in the future to fund other projects, including the proposed light rail/modern street car proiect. Saul Fra extension 6483 & MIAMIBEACH u*vs ?-30-tf80 t9t5.2015 MIAMIBEACH City of Miqmi Beqch, 1700 Convenlion Center Drive, Miomi Beoch, Florido 33139, www.miomibeochfl.gov COMMISSI N MEMORANDUM Mayor Philip Levine and Members Jimmy L. Morales, City Manager September 30, 2015 SE TO: FROM: DATE: SUBJECT: the City FINAL PUBLIC HEARING AN ORDINANCE OF THE MAYOR CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AMENDING THE CODE OF THE CITY OF MIAMI BEACH, BY AMENDING CHAPTER 106, ENTITLED ..TRAFFIC AND VEHICLES,'' BY AMENDING ARTICLE II, ENTITLED "METERED PARKING," BY AMENDING DIVISION 1, ENTITLED "GENERALLY,'' BY AMENDING SECTION f 06-55, ENTITLED "PARKING RATES, FEES, AND PENALTIES;" BY AMENDING PARKING METER RATES AND TIME L!M!TS; MUNICIPAL PARKING GARAGE AND PREFERRED PARKING LOT RATES AND PENALTIES; REGULATIONS REGARDING A FACILITY SPECIFIC MONTHLY PARK! NG PE RMIT PROG RAM, RESERVED/RESTRICTED COMM ERCIAL ON. STREET PERMIT PARKING, AND VALET STORAGE SPACES; AND AMENDING THE REGULATIONS AND FEES FOR METERED PARKING SPACE RENTAL AND PARKING SPACE REMOVAL; AMENDING THE REGULATIONS REGARDING THE RESIDENTIAL PARKING PROGRAM; AMENDING THE EXCEPTIONS TO SECTION 106-55 TO PROVIDE FOR A MOBILE PHONE PAYMENT SERVICE AND ELIMINATING THE SMART CARD PROGRAIT,I; AND ESTABLISHING A RESIDENTIAL PARKING VISITOR PERMIT; PROVIDING FOR CODIFICATION, REPEALER, SEVERABILIW, AND AN EFFECTIVE DATE. ADMINISTRATION RECOMMEN DATION The Administration recommends the City Commission take the following actions: 1) accept the recommendation of the Finance and Citywide Projects Committee (FCWPC) on July 1, 2015; accept the proposed amendments at First Reading held on September 10, 2015; and 3) approve the attached Ordinance at Second Reading Final Public Hearing. First Readinq - September 10. 2015 On September 10, 2015, the Mayor and Commission held the first reading of this proposed ordinance and directed the Administration to include the following amendments: Valet Parking Space Rentals: Valet parking space rentals shall increase from $17 to $25 daily, per space, immediately, with an increase to $31.50 in six (6) months. The fee shall be revisited in the next budget cycle. 81 September 30, 2015 City Commission Memorandum Parking Rate Amendments to the City Code - Second Reading Final Public Hearing Page 2 of 17 Construction and Permitted Events Space Rentals: Construction and special events permits space rentals shall increase from $10 to $25 daily, per space; however, the current rate shall be locked in if they are permitted for the next six months. Specia! Events: Any special events application submitted prior to September 30,2015, will be locked in at $10 daily, per space, for the next six (6) months; othenrvise, it will increase to $25 daily, per space, excluding non-profit entities. South Beach On-Street Parking: The rate for on-street metered parking in South Beach (South of 23d Street) to increase from the proposed $3 to $4 per hour. Parking between 23'd Street to 44th Street should remain at $3 per hour. The following is a revised summary of projected revenues reflecting the amendments approved at First Reading. Annual Current Revenue (!nc Meter Hourly Rates: South Beach On-Street Meters $1.75 South Beach Off-Street Meters $1.75 $4.00* $12,799,000.00 $2.00 $678.000.00 $3.00 $1,628,000.00 $2.00 $236,000.00 $15.341 Collins Ave/lndian Creek 23rd - 44th Streets - On-Street Meters Collins Ave/lndian Creek 23rd - 44th Streets - Off-StreetMeters s,rb-t"td, $1.00 $1.00 Meter Hours of Ooeration: Collins Ave/lndian Creek 23rd - 44th Streets - On/Off- Street Meters 8a-6p 9a-3a $2,331,000.00 Sub-total:$2,331,000.00 Municioa! Park Each of first four hours:$1.00 $70.00 $2.00 $3,281,000.00100.00 $597.000.00 Sub-total:$3,878,000.00 82 Parki Dailv Rentals: Valet Parking*: Construction": $17.00 lnitial 6 Months - $25.00 AfterOMonths-$31.50 $540,000.00 $157,000.00$10.00 $25-00 Existing Building Permit Holders will maintain current rate for 6 months $25.00 Exi sting Special Events Applications will maintain current rate for 6 months. (Non-for-Profit organizations will maintain current rate). Special Event*:$10.00 $39,000.00 Sub-total:.00 September 30, 2015 City Commission Memorandum Parking Rate Amendments to the City Code - Second Reading Final Public Hearing Page 3 of 17 GRAND TOTAL 1 * Amendments approved on 9/10/2015 at First Hearing. COMMISSION COMMITTEE RECOMMENDATIONS On July 1, 2015, the Finance and Citywide Projects Committee (FCWPC) endorsed the proposed parking rate amendments to the City Code, resulting in the proposed parking rate increases below. ANALYSIS The Mayor and Commission have identified traffic congestion throughout the City as a priority issue. At their direction, the Administration is pursuing a multi-pronged approach to address traffic congestion. The following is a listing of projects underway, each at varying levels of progress and estimated funding needs for each. Parking rate increases are proposed in various categories to: (1) fund the initiatives identified below and (2) modify driver behavior to better manage parking demand through financial incentives. Please note future parking rate increases may be needed to fund other medium to long range initiatives, such as light rail. Residential Daily Visitor $1.00 $3.00 $295,000.00 Sub{otal:.00 83 September 30, 2015 City Commission Memorandum Parking Rate Amendmenfs fo the City Code - Second Reading Final Public Hearing Page 4 of 17 TRANSPORTATION I N ITIATIVES : lntelliqent Transportation Svstem (lTS) and Parkinq Manaqement Svstem The Administration is currently pursuing a real-time traffic management system to monitor traffic flow and throughput as well as monitor parking availability and demand on a real-time basis. The City of Miami Beach is one of the economic engines in the State. The thriving service industry and the Miami Beach Convention Center contributed to a reported 6,142,600 overnight visitors in 2013. ln addition, recent figures indicate that although resident population in Miami Beach is 90,588, average daily population comprised of commuters and visitors is 205,915. A highly urbanized barrier island with only four connections to the main land, the City's causeways and arterials frequently operate at failing levels of service. Given the limited capacity of the roadway network, the City Commission has approved the implementation of an ITS and Parking Management System as an additional effort to help manage traffic congestion, parking availability, and improve traffic flow along major arteries. The ITS and Parking Management System Prolect will consist of the following components: ' 18 C.C.T.V. cameras for video monitoring of traffic conditions and incidents. ' 32 Travel Time Data Collectors to allow engineers to review traffic conditions and implement changes prior to reaching saturated conditions. ' 15 small scale lnteractive Digital Message Signs to advise drivers of traffic and parking conditions within Arterial Roadways. ' 2large scale lnteractive Digital Message Signs on 2 Causeways to advise drivers of traffic and parking conditions.. lmplement parking detection systems at 8 garages, 35 surface parking lots, and 2 corridors to record real-time parking conditions.. 60 Electronic Signs to relay real-time parking availability information ' Upgrading Parking Department's Mobile Application to reflect real-time parking availability information. ' A Transportation Management Center located within City Limits to integrate the operations of the ITS and Parking Management system and serve as the data and information clearinghouse. ' Adaptive Traffic Signal Control (optional component of the project) would be for 93 intersections along the following major corridors:o Alton Road: Sth Street to 43rd Streeto 5th Street: Alton Road to Collins Avenueo 41st Street: Alton Road to Collins Avenueo MacArthur Causeway: Star lsland to Alton Roado Collins Avenue: 23rd Street to 44th Streeto lndian Creek Drive: 23rd Street to 41st Streeto Washington Avenue: 5th Street to Dade Boulevardo 63rd Street: Collins Avenue and lndian Creeko 69th Street: Collins Avenue to Abbott Avenueo lndian Creek Drive: 63rd Street to 71st Streeto Abbott Avenue/Harding Avenue: City Limits to lndian Creek Driveo Collins Avenue: 63rd Street to City Limitso 71st Street : lndian Creek Drive to Collins Avenue 84 September 30, 2015 City Commission Memorandum Parking Rate Amendments to the City Code - Second Reading Final Public Hearing Page 5 of 17 Status The City of Miami Beach is working closely with the Florida Department of Transportation (FDOT) District Vl staff and Miami-Dade County staff on this project. Both agencies have participated in coordination meetings and provided valuable input on project planning, design, phasing, and operational aspects of the project. The City will continue to work with FDOT and County staff during each phase to ensure close coordination of the City's ITS project with the State's and County's signal infrastructure system. The ITS and Parking Management System project has a duration of 24 months and is anticipated for completion by the end of 2017. The total cost of the prolect is estimated at $14,556,590. The City is providing a local match of $4,556,590 which has been budgeted in the current fiscal year. The City's annual operating and maintenance costs for the ITS and Parking Management System have been estimated at approximately $2 million. The City has recently applied for a $10 Million grant under the U.S. Department of Transportation (USDOT) Transportation lmprovements Generating Economic Recovery (TIGER) Vll federal discretionary grant program. We anticipate receiving notification from USDOT as to whether or not the ITS and Parking Management System project is awarded federal funding in the fall of this year. Currently, the Administration is in the process of selecting a Program Manager who will serve as owner's representative and be responsible for developing the specifications for a Design, Build, Operate, and Maintain (DBOM) contractforthe ITS and Parking Management System project. TransiUTrollev Svstem The Administration is currently identifying additional funding and resources needed to develop and implement a citywide interconnected trolley system as part of the Fiscal Year (FY) 2015/16 budget process. The proposed citywide system would consist of trolley routes in North, Middle, and South Beach, including the existing North Beach Loop, the proposed Middle Beach Loop, a Collins Link, and a South Beach Loop that would complement the current South Beach Local service. The total funding forthis comprehensive trolley system, including the cost of the existing South Beach Local service funded by the City (onethird of the total annual cost of operation and maintenance), is estimated at $1 1 .05 million annually (see table below). Funding is proposed to be augmented by approximately $2.33 million of People's Transportation Plan (PTP)funds from Miami-Dade County currently allocated to capital projects and an increase of the contribution from surplus parking funds from $1.3 million to approximately $3.0 million. The table below lists the estimated annual operating expenditures for each of the trolley loops. $1,8CI.0;,"000 $2,400,000 $3,1,00,000 $2,000,000 $1,300,000 $419,000 E5timated I flnnual Operatin g Expend itures $11,U9,A00 85 Proposed Sources September 30, 2015 City Commission Memorandum Parking Rate Amendmenfs fo the City Code - Second Reading Final Public Hearing Page 6 of 17 $5,700,000 $3,900,000 $3.400.000 $13,000,000 The citywide interconnected trolley system has been included as part of the FY 2015116 proposed budget with current funding, given the lead time necessary for the manufacturing and delivery of new low-floor trolley vehicles. Lio ht Rail/Modern Streetcar The City has been working in partnership with the Miami-Dade Metropolitan Planning Organization (MPO), the Florida Department of Transportation (FDOT), Miami-Dade Transit (MDT), and the City of Miami as part of the ongoing Beach Corridor Transit Connection Study (formerly known as the Baylink Corridor Study). The study commenced in October 2013 and focuses on re-evaluating the Locally Preferred Alternative resulting from the 2004 Baylink Corridor Study which proposed a light rail transiUmodern streetcar connection between Miami Beach and Downtown Miami via the MacArthur Causeway. A Technical Advisory Committee (TAC) comprised of staff from various municipal and transportation agencies and a Policy Executive Committee (PEC) comprised of elected officials from Miami-Dade County, City of Miami, and City of Miami Beach have been established to assist the study team in making key milestone decisions through the study process. Both the TAC and the PEC have endorsed the project moving forurard and delivered through a Public- Private Partnership (P3). ln orderto connect Miami Beach and Downtown Miami via light railtransit, the current Beach Corridor Transit Connection study reaffirmed the MacArthur Causeway as the preferred corridor to link the two cities. Due to the inherent environmental and engineering challenges associated with implementing the portion of the route alignment along the MacArthur Causeway, the study consultant expects that the level of environmental documentation and coordination with the federal government that will be necessary as part of the National Environmental Policy Act (NEPA) process will be substantial, lengthy, and require an Environmental lmpact Statement (ElS) to be conducted. The NEPA phase alone is projected to cost approximately $t 0 million with each local participating agency contributing a portion of the cost. The City of Miami Beach share is estimated at $417,000. Based on the project schedule presented to the TAC and PEC by the consultant team, it is anticipated that the NEPA documents, design, and construction phases are estimated to take 6 to 9 years. lt is our understanding that this NEPA process is a pre-requisite to be eligible for up to 50% federal funds for capital and up to 25o/o state funds for capital (i.e., 50% federall 25o/o state/ 25o/o local contribution). However, due to the very competitive nature of the federal discretionary grant process for funding these types of projects, the local (City's) match would need to be higher than 25o/o of the capital costs. At this time, the preferred route alignment to connect Miami Beach and Downtown Miami has been identified as the Direct Connect alternative and consists of bi-directional service along the MacArthur Causeway, 5th Street, and Washington Avenue. A future phase proposes service along Collins Avenue, 41't Street, and the Julia Tuttle Causeway to connect to Midtown Miami. The South Beach portion of the Direct Connect route alignment represents approximately$149M(28% of the total$532 million capitalcostof thetotalMiami 86 September 30, 2015 City Commission Memorandum Parking Rate Amendmenfs to the City Code - Second Reading Final Public Hearing Page 7 of 17 to Miami Beach prolect), excluding the cost of a maintenance yard. lf this ratio is used as an estimate of operating costs, the portion of operating costs for the Direct Connect alignment on South Beach would be approximately $7 million annually (28% of $22 million annual operating costs payments which would be required for the entire project under a P3 scenario). Thus, assuming the City wishes to proceed on an accelerated basis without federal funds, the Administration estimates that the total annual availability payments for the portion of the Direct Connect alignment in South Beach would be approximately $12 million - $17 million per year, depending on the level of availability of state funds (including capital and operating cost). The cost of a rail yard on Miami Beach could increase these payments to between $17 million and $25 million, contingent upon the level of capital subsidy from the State. Short Term Express Bus Service (EBS) ln an effort to expedite cross-bay mass transit connectivity, the Administration is studying the feasibility of implementing express bus service connecting Miami Beach and Downtown Miami on a 1 -2year timeframe. Severalalternatives are currently being considered. One of the route alignment alternatives includes bi-directional EBS across the MacArthur Causeway, Sth Street, and Washington Avenue (similar to the light rail/modern streetcar alignment described above). The use of the shoulders along the Causeway as well as dedicated lanes along 5th Street and Washington Avenue corridors is being evaluated in order to ensure reliable and efficient express bus service. The capital cost of the short-term express bus service is estimated between $12 million and $20 million, depending on the number of articulated buses required which is predicated on the route alignment selected and frequency of service (ranging from S-minute headways to 10-minute headways). lt is anticipated that the proposed express bus service would cost approximately $5.3 million annually to operate based on a fleet of 19 articulated buses operating at a frequency of 5 - 7.5 minute headways during peak periods for 1 t hours per daylT days per week. City staff is currently having discussions with both FDOT and MDT staff in terms of cost-sharing opportunities for the capital and operating expenditures associated with providing this express bus service. Additionally, it is important to note that only a portion of the proposed 87 September 30, 2015 City Commission Memorandum Parking Rate Amendmenfs fo the City Code - Second Reading Final Public Hearing Page B of 17 Express Bus Service (i.e., the route alignment along the MacArthur Causeway to Downtown Miami)would be implemented if a light railtransiUmodern streetcarsystem is implemented in South Beach. Under this service scenario, annual operating costs for the EBS would be approximately $3.S million. PARKING INITIATIVES: Freiqht Loadinq Zone Proqram (FLZ) FLZs are regulated parking zones strategically located for large vehicles (10,000 16s.+) to conduct deliveries. Coupled with strict enforcement of obstruction of travel lanes by Police and enforcement of loading areas by the Parking Department, these zones have greatly reduced congestion. Parkins Manaqement Svstem (PMS) A component of the aforementioned ITS initiative, PMS will provide real time parking space monitoring and parking availability. Real time parking availability is then communicated to motorists via electronic message signs at strategic locations throughout the city. Valet Parkinq Amendments to the Gitv Code Currently, valet parking operations on the City's right-of-way contribute to traffic congestion and other abuses of city property and resident quality of life. Amendments to the City Code to strengthen regulation and enforcement provisions were approved by the Mayor and City Commission on September 2, 2015. Development of existinq municipal metered parkinq lots to multi-level parkinq structures The following sites have been identified for potential development either through joint venture partnerships or as standalone City projects: 88 September 30, 2015 City Commission Memorandum Parking Rate Amendmenfs fo the City Code - Second Reading Final Public Hearing Page 9 of 17 Washington Avenue Master Plan As an outcome of both the Washington Avenue Master Plan and the Transportation Workshop held on March 18,2015, staff was charged with finding alternatives to replace on- street parking with off-street parking. As a result, three potential sites have been identified that could replace some or all of the on-street parking between Sth and 17th Streets. Municipal Parking Lot No. P16 (1262 Collins Ave) P16 is located at southwest corner of the intersection of 13th Street and Collins Avenue, opposite of Municipal Parking Garage No. 3 (G3). This lot was recently renovated and was completed on May 13,2015. A parking garage similar in size to Municipal Parking Garage No. 3 (G3), located at the northeast corner of the intersection of 13th Street and Collins Avenue, could be constructed. Furthermore, based on current construction costs it is estimated that the construction of an eight-story parking garage with approximately 405 spaces will cost approximately $t 2.7M, which represents approximateV $at K per space. Municipal Parking Lot No. Pl3 (1020 Washington Ave) P13 is located in the northwest corner of the intersectionof lOthStreet and Washington Avenue. The parking lot abuts an alleyway (Drexel Court)to the west and holds a total of 37 parking spaces, including two disabled parking spaces. Renovations to this lot were completedin2013. Afive-storyparkinggaragecouldbeconstructedinthislocation. ltis estimated that the parking garage could hold up to 140 parking spaces. Estimated construction costs for this parking garage is $5.2M, or approximately $37K per space. 89 September 30, 2015 City Commission Memorandum Parking Rate Amendments fo the City Code - Second Reading Final Public Hearing Page 10 of 17 Municipal Parking Garage No.2 (c2) (1100 Washington Ave) This is a multi-level parking garage that serves the police headquarters and its visitors. The parking structure is divided into two areas, the police headquarters'parking and the visitors' parking. These two parking sections are not connected. Based on design and construction parameters, it is possible that one or two additional parking levels could be incorporated to the visitors' parking area that could replicate the uppermost level of this section of the parking garage. The additional levels could potentially represent an increase of 100 parking spaces at an estimated $1.5M or $15K per space. The chart below illustrates a potential net increase of 558 off-street parking spaces along the Washington Avenue corridor and estimated costs. The 779 proposed spaces exceed the existing 577 on and off-street parking spaces in the area. Additionally, other sites in the area have been identified as potential public-private partnership opportunities that may further increase off-street parking inventory. 90 Washington Avenue Municioal Parkine Facilities Existing Soaces Proposed Soaces* Net Increase Cost o/Soace*Total* Garase No. 2 734 234 L00 s1"4,720 57,472,000 P15 Collins/13th Street 50 405 355 s31,33s 5t2,690,675 P13 Washington/10th Street 37 740 103 s37,32t 55,224,940 Total 221 779 558 s19,387,615 * Estimoted. September 30, 2015 City Commission Memorandum Parking Rate Amendments fo the City Code - Second Reading Final Public Hearing Page 11 of 17 The City has approximately $10M in Fee of Lieu of Parking funds for the South Beach area; however, if all three (3) projects were funded an additional $10M would be needed. Further, the City Commission endorsed the Washington Avenue Master Plan recommendation to issue an RFLI (Request for Letters of lnterest) for parking garage(s) along Washington Avenue, and the City has been approached by at least one (1) interested property owner. Middle Beach Needs Several areas throughout mid-beach have been determined to be operating at high utilization rates, indicating additional parking needs, and some areas we have already referred for discussion at NCAC (Neighborhoods and Community Affairs Committee) o Municipal Parking Lot No. P55, located on Collins Avenue and 27th Street;e Municipal Parking Lot No. P71, located on Collins Avenue and 46th Street; ando Municipal Parking LotNo. P63, locatedon42nd Streetand Royal PalmAvenue Several areas in North Beach have been identified to be operating at high utilization rates, indicating additional parking needs. lt has been a longstanding goal to develop a parking garage in North Beach. Several sites have been identified, including standalone city projects and potentialjoint venture developments. Additionally, residents have expressed a need for additional parking in their neighborhoods. While there are no commercial or recreational uses displacing parking in these neighborhoods, the sheer volume of vehicles per household is increasing demand. FUNDING NEED SUMMARY The following is a summary of funding needs for all projects identified above, including ITS operational cost, availability amounts for light rail/modern streetcar, garage construction and operational cost for South, Middle, and North Beach. Proiect Caoital Ooeratino lntelligent Transportation System (lTS) & Parking Management (PMS) 514.5M (lncludes cunent local match of $4.5M) S2M Transit/Trollev Svstem s11.8M Light RailiModern Streetcar $17M to $25M (contingent upon the level of capital subsidy hom the State) Short Term Express Bus Service (EBS) - Connection to Liqht Rail/Modern Streetcar S12M to S20M 55.3M Washington Avenue Master Plan fII9 spaces!s19 3M s779k Middle Beach (8fi) spaces)s25.4M s800H |,lorth Beach (8fl) spaces)s28M s8508 Grand Tota!:tl00.2M - 3108.2M t38.5M - $46.5U 91 September 30, 2015 City Commission Memorandum Parking Rate Amendments to the City Code - Second Reading Final Public Hearing Page 12 of 17 PARKING ENTERPRISE FUND The available fund balance in the Parking Fund, as of September 30, 2014, was $26M (net of two months of required reserves). Each year, the City budgets an amount to be used to fund future renewal and replacement projects in the fund. ln addition, the Parking Fund is an enterprise fund with revenues pledged to debt service payments. However, surplus funds (revenues in excess of expenditures) from prior years may be used for other City purposes. Currently, these surplus funds are used to fund transportation expenses as well as supplement General Fund Revenues. Detailed projections of parking cash flows are being developed as part of the bonds needed for the Convention Center project; however, the chart below provides a rough projection of funds over the next five years assuming existing rates and moderate groMh. Given the estimates below, a positive Parking Fund available balance will not be sustainable under the existing rate structures. There will not be enough available balance to fund the projected FY 2015/16 proposed expenditures. Note: This table has been updated from the first reading to conform to the Parking Fund's FY16 proposed budget and to reflect the latest debt issuance cost estimates. The overall impact of these two changes is approximately $1.5 million per year, primariliy due to increased debt service costs. Fundinq A recurring revenue stream is necessary to sustain annually recurring expenses related to the aforementioned transportation initiatives as well as to enhance the Parking Enterprise Fund bonding capacity to fund the aforementioned garage expansion projects. Parking Available Fund Balance- Without Rate lncreases FY15 FY16 FY17 FY18 FY19 FY2O fund balance in the Parking Fund as of September 30,2014 22,82s,s73 12,s32,s73 (2,200,4271 (23,137,8:17) (3s,m2,8291 148,318111) Fund Balance Set Aside for R&R 3,228,000 6,258,000 6,883,000 6,883,000 6,883,000 6,8a3,000 Available Fund Balance 25,053,573 l8,7Tn,S73 4,6a2,57? (16,254,837) (28,U,9,8291 (41,435,8U) Transfer to Transportation (1,311,0OO) (3,426,mO) (3,426,000) (3,426,000I (3,426,000) (3,rt26,000l Transfer to General Fund (8,400,0@) (8,4OO,0O0) (8,400,000) (8,400,000) (8,400,000) R&R/capital Needs {5,314,000} G,g7z.oa$ or,s2 Net Avrilable Belenco 11,028,573 2,91t2,571 Annual Revenues 52.430,000 56,085,000 56,085,000 56,085,000 56,085,000 55.O85,0OO Annuaf Operating Expenses (41,237,0001 (45,747,0oO| (47,779,4\Ol (48,532,992) (49,988,982) (5 Debt Service' (3,431,0oo) (8,648,000) (6,585,000) (6,591,000) (6,586,000) Aside for R&R (6,258,000) (6483,000) (6,883,000) Behncr L2,s32,573 12,2cn,421l (23,137,$71 (3s,002,829) (48,318,811) 177,63p.,46.31 * lncludes 55.27 million debt service in FY16 related to the Parking Related Convention Center Renovation, which consists of principal, and issuance costs. Subsequent years include principal and interest only. 92 September 30, 2015 City Commission Memorandum Parking Rate Amendments to the City Code - Second Reading Final Public Hearing Page 13 of 17 The Mayor and Commission has given general direction to the Administration to recommend strategies, including but not limited to increases in parking rates. A parking rate increase will provide the following benefits: 1. Driver Behavior Modification: Studies have shown that up to 30% of traffic congestion is attributed to drivers seeking parking opportunities ("circling the block" further congestion is caused by pulling in and out of lanes of travel - Source: Federal Highway Administration). Currently, metered on-street and off-street parking rates are $1 .75 per hour and enforced 9:00 AM to 3:00AM (18 hours), seven days a week. Garage rates are for the most part $1.00 per hour, with a maximum daily rate of $20.00 (see appendices for detail of proposed parking rates at each municipal parking garage, except during special events). Current parking rates are too low to effectively alter driver behavior. At the March 18, 2015, Transportation Workshop, it was recommended that on-street parking rates should be sufficiently higher than off-street parking rates to incentivize drivers to park off-street. The goal is to reduce on-street parking demand. This can be accomplished by increasing parking rates. Hence, only those drivers willing to pay a "premium" will use on-street parking and all others will seek other parking or mobility alternatives (garages, transit, bicycle, pedestrian). A key component of achieving this goal is arriving at the EPR (Effective Parking Rate) for on and off-street parking. EPR is defined as the optimum on-street and off-street parking rates and the price buffer between the two rates that "effectively" changes driver behavior. There may be some adjustments to either or both on and off-street rates to achieve EPR. lf approved in concept, the Administration recommends some latitude be incorporated in the City Code amendment to allow for such adjustments. Please note parking fine schedules are set by Miami-Dade County and the State of Florida. Overtime parking and other related fine schedules must be at appropriate levels in order to be effective and achieve compliance. Currently, an overtime parking violation is $18.00. Parking userfees in the region, including MiamiBeach, are comparable, and in some cases, higher than an overtime parking fine. This increases traffic congestion by perpetuating low risUhigh reward user parking behavior. 2. Parking Revenue Bonds - Bonding Capacity: Currently, the City's bond rating is "Aa2" and Parking Bonds have an "A" rating. lncreasing parking rates will in turn increase the City's parking revenue stream resulting in increased bonding capacity. Additional bonding capacity is needed in order to fund the list of transportation and parking capital projects identified earlier. 3. Equity in Space Rental Pricing and Residential Visitor Permits - Parking space rentals are available for valet parking, construction, special events, and film & print. Currently, daily space rental rates are $'17 for valet (ramp) and $10 for all other categories and Residential Parking Visitor Permits are $1.00 per day. ln addition, it is important to note that municipal parking rates are substantially lower than private sector or market rates. This has perpetuated an artificial demand for municipal public parking as drivers "cruise" for on-street parking spaces (30% of traffic congestion attributed to on-street parking); queuing at municipal parking garages seeking a $1.00 hourly rate versus a much higher hourly rates or flat rates at privately owned/operated parking garages; and lengthy waiting lists (12 to 18 months) for monthly parking at municipal garages. A recent parking rate survey of 13 privately owned/operated garages and surface 93 September 30, 2015 City Commission Memorandum Parking Rate Amendments fo the City Code - Second Reading Final Public Hearing Page 14 of 17 parking lots in the South Beach entertainment districts revealed an average hourly rate of $5.00; maximum daily rate of $30.00; and monthly rate of $187.00, as compared to $1 .00, $20.00, and $70.00, respectively, at municipal garages. Parking Rates - Proposed lncreases: ln response to the funding needs and issues discussed above, a number of rates have been identified for potential increases. o lncreasing rates for South Beach on-street parking with lower increases for off-street (parking garages and lots). Conceptually, on-street hourly parking meter rates are proposed at $3.00 with metered parking lots and garages at $2.00, hourly. These increases were projected to generate an additional $7.8 million per year. With the amendment adopted on first reading increasing the rate to $4.00 for on- street south of 23'd Street, the additional revenue would increase by $S.Z million to $13.5 million. . Restructure rates and hours of enforcement for Collins Avenue/lndian Creek between 23'd Street and 44th Streets to be consistent with rates and hours in South Beach, as the intensity in activity in this area has changed to be more similar to South Beach levels. o lncrease space rental rates for three of the four space rental categories (no change for film/print space rentals incentives) The City Code provides for a special event space rental fee of $0.25 per square foot. The dimension of a parking space is 187 square feet, equating to $46.75, per space. Therefore, a daily space rental rate of $46.75 is proposed. These increases were projected to generate an additional $2.9 million per year. With the amendment adopted on first reading, the revenue would decrease by $Z.Z million to $736,000. o Residential Parking Virtual Visitor Permits are currently $1 .OO per day. Products and services that are undervalued are prone to abuses. lncreasing the value of virtual visitor permits diminishes opportunities for potential abuse. An increase to $3.00 per day equates to $295,370. The impact of potential increases are summarized below taking into accounta20o/o elasticity adjustment for on-street parking (i.e. decrease in demand due to price increases) and a25o/o elasticity adjustment for space rentals. Additional detail is attached. It is important to note hourly parking meter rate increases would nof necessarily be applicable to Miami Beach residenfs. Currently, Miami Beach residenfs enjoy a reduced hourly parking meter rate of $1.00, instead of $1.75, in Soufh Beach, through Parkmobile (payment mobile application). fhis represents a 43% discount. Moreover, Parkmobile waivesifs user fee s for Miami Beach resrUenfs. This discounted parking rate and waiver of Parkmobile user fees shall continue for Miami Beach resldents. 94 September 30, 2015 City Commission Memorandum Parking Rate Amendmenfs fo the City Code - Second Reading Final Public Hearing Page 15 of 17 Annual Current Revenue Meter Hourlv Rates: South Beach On-Street Meters $1 .75 4.00* $12,799,000.00 South Beach Off-Street Meters $1.75 $2.00 $678,000.00 Collins Ave/lndian Creek 23rd - 44th Streets - On-StreetMeters $1.00 $3.00 $1,628,000.00 Collins Ave/lndian Creek 23rd - 44th Streets - Off-StreetMeters $1.00 $2.00 $236.000.00 Sub-total:$15.341.000.00 Meter Hours of Collins Ave/lndian Creek 23rd - 44th Streets - On/Off-Street Meters 8a-60 9a-3a $2,331,000.00 Sub-total: $2.331,000.00 Municioal Parki Each of first four hours:$1.00 $70.00 $2.00 $3,281,000.00 $100.00 $597.000.00 Sub-total:000.00 Rentals: $17.00 lnitial 6 Months - $25.00 After6Months-$31.50 $10.00 $25.00 Existing Building Permit Holders will maintain current rate for 6 months $10.00 $25.00 Existing Special Events Applications will maintain current rate for 6 months. (Non-for-Profit organizations will maintain current rate). $540,000.00 $1s7,000.00 Subtotal:000.00 $295,000.00 Residential Dailv Visitor Sub-total: $1.00 $3.00 .00 GRAND TOTAL 581 " Amendments approved on 9/10/2015 at First Hearing. 95 September 30, 2015 City Commission Memorandum Parking Rate Amendmenfs fo the City Code - Second Reading Final Public Hearing Page 16 of 17 FY16 Parking Rate lncreases by Fund: Fund Parking Enterprise 480 7th Street Garage 742 5th & Alton Garage 484 Anchor Garage 463 Penn Garage 466 Original Proposed lncreaseg Proposed lncrease Amendments 3,5gg,ooo 0 0 0 0 3,598,000.00 Total 21,499,0O0 476,AOO 89,000 269,0OO 248,0OO 22,581,000.00 17,9O1,0OO 476,OOO 89,0OO 269,000 248,O0O 18,983,000 Footnotes: Original Proposed lncrease pursuant to Finance Committee Memo dated 07/01/ZOLS Amended lncreases pursuant to 1st Hearing onoglt}lZo]-s Five (5) Year Fiscal lmpact Cumulatively, the aforementioned parking rate increases are estimated to have the potential to yield an addition al $22.6 million, annually, representing $1 12.9 million over five (5) years assuming no increase in utilization. As described, these increased revenues would be utilized to fund the more immediate transportation initiatives and the bonding capacityforthe Parking Enterprise Fund is estimated at $140 million to fund parking garage expansion projects. lt is important to note that additional rate increases may be needed in the future to fund other projects, including light rail. lf all potential rate increases identified above are implemented, the resulting impacts are shown in the table below prior to addressing the projects identified in the funding needs summary referenced above. Parking Available Fund Balance- With Rate lncreases FY15 FY16 FILT FY18 FY19 FfaO Available fund balance in the Parking Fund as of September 30,2014 27,825,573 12,532,571 L9,29a,s73 19,860,163 2i,4!A,l7l 17,677,149 Fund Balance Set Aide for R&R 3,228,000 6,258,000 5,883,000 6,883,000 6,883,000 6,883,000 Available Fund Balance 26,053,573 L8,7!nS7t 26,La\573 26,743,L63 ?6,377,L7L t14,35O,189 Transfer to Transportation (1,311,000) (r,+ZO,OOOi (3,426,000) (3,426,000) (3,426,000) (3,426,000) Transferto General Fund (8,40o,0oo) (8,4{n0OO} (8,40O,00O} (8,400,0oo) (8,4O0,0O0) (8.400,0001 314,000) (3,972.000) (11.492,0001 (1,000,000) (1,000,000) ( Net Avelleblo B:lencr 11,028,573 2,992,373 2,63,57t 13,917,163 23,551,171 17,2:t4,le, Revenues 52,430,000 7'l,58/.,O@ 77,584,AN 77,584,AN 77,584,000 77,584,000 Operating Expenses (41,237,000) 145,747,W| (47,779,4701 (48,532,992) (49,988,982) (5 Servicer (3,431,000) (8,648,000) (6,585,000) (5,591,000) (6,586,000) (6, lside for R&R (6,258,000) (6,883,000) (6,883,000) (6,8tl3,ooo) (6,883,000) (6,88 N.tsurplus I,5O4,0OO 15,:ro5,(m 16,!r!16,590 15,577,008 14,125,018 Prolrcted Aveilabh Yrer End Fund B.l.n€. 12,532,573 19,2!18,573 19,850,163 29,41B,t7t 37,677,L89 29,a6o,5t7 * lncludes 55.27 million debt service in FY16 related to the parking Related Convention Center Renovation, which consists of principal, interest and issuance costs. Subsequent years include principal and int€rest only. 96 September 30, 2015 City Commission Memorandum Parking Rate Amendments to the City Code - Second Reading Final Public Hearing Page 17 of 17 The increased revenue is a result of the amendment adopted on first reading increasing the rate to $4.00 for on-street south of 23d Street; off-set by the decrease revenue resulting from the amendments to the space rental fees. CONCLUSION The Administration recommends the City Commission take the following actions: 1) by separate motion accept the recommendation of the Finance and Citywide Projects Commi!\ee (FCWPC) on July 1,2015; and 2) approve the attached Ordinance at Second Aeaaiffiinal Public Hearing. JLM/K9BISF T:\AGENDA\2015\September\PARKING\ParkingRatelncreasesSecondReadingsept3020l5.mem.doc 97 ORDINANCE NO. AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AMENDING THE CODE OF THE CITY OF MIAMI BEACH, BY AMENDING CHAPTER 106, ENTITLED ..TRAFFIC AND VEHICLES," BY AMENDING ARTICLE II, ENTITLED "METERED PARKING,'' BY AMENDING DIVISION 1, ENTITLED "GENERALLY," BY AMENDING SECTION 106.55, ENTITLED ..PARKING RATES, FEES, AND PENALTIES;,, BY AMENDING PARKING METER RATES AND TIME LIMITS; MUNICIPAL PARKING GARAGE AND PREFERRED PARKING LOT RATES AND PENALTIES; REGULATIONS REGARDING A FACILITY SPECIFIC MONTHLY PARKING PERMIT PROGRAM, RESERVED/RESTRICTED COMMERCIAL ON.STREET PERMIT PARKING, AND VALET STORAGE SPACES; AND AMENDING THE REGULATIONS AND FEES FOR METERED PARKING SPACE RENTAL AND PARKING SPACE REMOVAL; AMENDING THE REGULATIONS REGARDING THE RESIDENTIAL PARKING PROGRAM;AMENDING THE EXCEPTIONS TO SECTION 106.55 TO PROVIDE FOR A MOBILE PHONE PAYMENT SERVICE AND ELIMINATING THE SMART CARD PROGRAM; AND ESTABLISHING A RESIDENTIAL PARKING VISITOR PERMIT; PROVIDING FOR CODIFICATION, REPEALER, SEVERABILITY, AND AN EFFECTIVE DATE. WHEREAS, parking meter rates are established by Ordinance by the Mayor and City Commission and as an enterprise fund; and WHEREAS, the City's Parking System needs to keep pace with escalating costs in orderto: (1) operate the system efficiently and maintain service levels, and (2) fund capital projects including enhancements and expansion of the Parking System; and WHEREAS, the Mayor and City Commission have identified traffic congestion throughout the City as a priority issue and various initiatives are undenrrray, including: (1) an !ntelligent Transportation System (lTS), a Parking Management System (PMS), and a Light Rail and trolley/bus network; and (2) systems to modify parking behavior by managing parking demand through parking fees and other financial incentives; and WHEREAS, excess revenues that remain in the Parking Fund at the end of the fiscalyear can be utilized for any legal purpose, including transportation related initiatives; and WHEREAS, the proposed parking rate increases in the various categories contained herein will: (1) fund transportation related initiatives and (2) modify parking behavior supply and demand and related financial incentives; and WHEREAS, the Mayor and City Commission wish to continue to allow Miami Beach residents to receive a discounted hourly parking rate of $1.00 at metered parking spaces 98 and parking garage spaces, via the City's pay by mobile phone program. NOW, THEREFORE, BE IT ORDAINED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AS FOLLOWS: SECTION 1. That Chapter 106, "Traffic and Vehicles," Article ll, "Metered Parking," Division 1 , "Generally," Section 106-55, "Parking Rate Fees, and Penalties," of the Code of the City of Miami Beach, Florida, is hereby amended as follows and additional sections that are not amended are provided for reference purposes: CHAPTER 106 TRAFFIC AND VEHICLES Article ll. Metered Parking Division !. Generally Sec. 106-55. Parking rates, fees, and penatties; exceptions. (a) Parking meter rafes and time limits. (1)south Beach Parking Zone: All metered parking south of 23rd street (Dade Boulevard), from ocean Drive to the westernmost parking tane of Alton Road, between south Pointe Park and 17th street; and from 17th streetto 21st street (sunset Harbour Drive) from Alton Road to the westernmost parking areas along Purdy Avenue and to Biscayne Bay shall be at the rate of $1,50 per heur effeetive eeteber 1; 2010; and-g{+s $g# $4,00 per hour for on-street and $2.00 per hour for off-street effective . All metered parking in the south Beach Parking Zone shall be enforced from 9:00 a.m. until 3:00 a.m., seven days per week. Easf Mrddle Beach Zone; All metered parkinq from 23rd street to 44th strget: and from collins Avenue to lndian creek. shail be at the rate of $3.00 per hour for on-street and $2.00 per hour off-street. All metered parkino in this area shall be enforced from g:00 a.m. until 3:00 a.m.. seven davs per week, effective October 10, 2015. (2) 99 B\ West Middle Beach Zone:All metered parking north of 23rd Street Sec. 106-55 (aX2) entitled "East Middle Beach Zone": shall be at the rate of $1.00 per hour for off-street and on-street metered parking in Drive. All metered parking nerth ef 23rd Street shall be enforced from 8:00 a.m. until 6:00 p.m., seven days per week. (4) Norfh Beach Zone;All metered parkinq north of 63rd Street shallbe at the rate of $1 .00 per hour for off-street and on-street metered parkinq. All metered parkinq shall be enforced from 8:00 a.m. until6:00 p.m., seven days per week. (b) Municipal parking garage and Prefened Parking Lot rates and penalties. (1)7th Street Garage: reof uo to 4 hours: $1.00 per hour or any portion thereof from the 4tn hour up to 15 hours, and a maximum daily rate of $20.00 for any time exceeding 15 hours upto24 hours (applicable sales tax is included in the hourly and maximum rate). Lost ticket charge: Parkers who cannot produce a parking entry ticket will be charged the maximum daily rate of $20.00. Monthly parking: $7ffi $100.00 per month, per permit, plus applicable sales tax. Weekend/event flat rate: $15.00 per vehicle Friday, Saturday and Sunday from 8:00 p.m. to 5:00 a.m. 12th Street Garage: Transient rates: $2.00 per hour and anv portion thereof up to 4 hours: $1.OO per up to 15 hours, and a maximum daily rate of $20.00 for any time exceeding 15 hours upto24 hours (applicable sales tax is included in the hourly and maximum rate). Lost ticket charge: Parkers who cannot produce a parking entry ticket will be charged the maximum daily rate of $20.00. Monthly parking: $7OSO S100.00 per month, per permit, plus applicable sales tax. Weekend/event flat rate: $15.00 per vehicle Friday, Saturday and Sunday from 8:00 p.m. to 5:00 a.m. b. (2\ c. d. c. d. a. b. 13th Street Garage: hours: $1 .00 per hour or any portion thereof from the 4th hour (3) up to 15 hours; and a maximum daily rate of $20.00 for any 100 time exceeding 1 5 hours up to 24 hours (applicable sales tax is included in the hourly and maximum rate). Lost ticket charge: Parkers who cannot produce a parking entry ticket will be charged the maximum daily rate of $20.00. Monthly parking: $70S9 $100.00 per month, per permit, plus applicable sales tax. Weekend/event flat rate: $15.00 per vehicle Friday, Saturday and Sunday from 8:00 p.m. to 5:00 a.m. a. Transient Rate: 0to1 s2.00 1to2 4.00 2 to 3 6.00 3to6 10.00 6to 24 20.00b. Lost ticket charge: Parkers who cannot produce a parkinq entrv ticket will be charoed the maximum daily rate of $20.00.c. Monthly parkinq: $100.00 per month. per permit. plus applicable sales tax.d. Weekend/event flat rate: $15.00 per vehicle Friday. Saturdav and Sundav from 8:00 o.m. to 5:00 a.m. (5) 17th Street Garage:a. Transient rates: 0-1 hour ${-ee $2.00 b. c. d. (4) 1-2 hours 2-3 hours 3-4 hours 4-5 hours5{ hours 6-7 hours 7-8 hours 8-15 hours 15-24 hours 2ru3-0H.,004-0HHru8-0roH 15.00 20.00b. Lost ticket charge: Parkers who cannot produce a parking entry ticket will be charged the maximum daily rate of $20.00.c. Monthly parking: $7e$g $100.00 per month, per permit, plus applicable sales tax.d. Event flat rate: $15.00 per vehicle.e. Employee Value Coupon-Lincoln Road (EVC-LR): $8.00 daily (17'n Street Garage only). $\ City Hail Garaqea. Transient rates: 0-1 hour $2.00 101 1-2 hours 4.00 2-3 hours 6.00 3-4 hours 8.00 4-5 hours 9.00 5-6 hours 10.00 6-7 hours 11.00 7-8 hours 12.00 8-15 hours 15.00 15-24 hours 20.00b. Lost ticket charqe: Parkers who cannot produce a parkinq entrv ticket will be charqed the maximum dailv rate of $20.00.c. Monthly parkinq: $100.00 per month. per permit. plus applicable sales tax.d. Event flat rate: $15.00 per vehicle. (7t Pennsylvania Avenue Garaqe:a. Transient rates: 0-1 hour $2.00 1-2 hours 4.00 2-3 hours 600 3-4 hours 8.00 4-5 hours 9.00 5-6 hours 10.00 6-7 hours 11.00 7-8 hours 12.OO 8-15 hours 15.00 15-24 hours 20.00b. Lost ticket charqe: Parkers who cannot produce a parkinq entry ticket will be charqed the maximum dailv rate of $20.00.c. Monthlv parkinq: $100.00 per month. per permit, plus applicable sales tax.d. Event flat rate: $15.00 per vehicle. (81 Sunset Harbor Garase:a. Transient rates: 0-1 hour $2.00 1-2 hours 4.00 2-3 hours 600 3-4 hours 8.00 4-5 hours 9.00 5-6 hours 10.00 6-7 hours 11.00 7-8 hours 12.OO 8-15 hours 15.00 15-24 hours 20.00 102 (e) b. Lost ticket charqe: Parkers who cannot produce a parkinq entry ticket will be charqed the maximum daily rate of $20.00.c. Monthlv parkinq: $100.00 per month. per permit. plus applicable sales tax.d. Event flat rate: $15.00 per vehicle. 42nd Sfreet Garage: Transient rates: $1.00 per hour or any portion thereof up to eight hours; with an $8.00 maximum per 24-hour period (applicable sales tax is included in the hourly and maximum rate). Lost ticket charge: Parkers who cannot produce a parking entry ticket will be charged the maximum daily rate of $8.00. Monthly parking: $70.00 per month, per permit, plus applicable sales tax. (BXl_QLPreferred Parking Lot (18th Street and Meridian Avenue):a. Fifteen dollars flat rate per vehicle.b. For food and beverage social events at the Miami Beach Convention Center (MBCC), $10.00 flat rate per vehicle. Food and beverage social events at MBCC shall meet the following criteria:1. Be booked solely as a food and beverage function to include, but not be limited to, at least one of the following:i. Breakfast; ii. Lunch/brunch; iii. Dinner; and/or iv. Reception.2. Excludes exhibits; separate meetings held outside of the primary location; and cannot be associated with a convention, trade show, public show, and/or corporate meeting.3. Produce (at the client's sole expense) an approved parking coupon that is sent either by the food and beverage concessionaire or the MBCC management company, via mail, to all confirmed attendees prior to the day of the event. A copy must be presented to the city's parking department for approval within five business days of a fully executed agreement for the event.4. MBCC in-house food and beverage concessionaire must provide, in writing, to the city's parking department, within five business days of an executed agreement for the event, the following information:i. Name of event; a. b. 103 ii. Date of event; iii. Approximate attendance; iv. MBCC food and beverage contract information; and v. Client's name and mobile telephone number.5. The approved coupon can only be used the day of the event. The coupon can only be used in the Preferred Parking Lot. Only the original coupon (not a copy) will be presented and accepted by the parking lot attendant. lf these rules are not followed, the guest will pay the full parking rate.6. Coupons must include the date of the event, the name of the event, and be sequentially numbered. (c) Facility specific monthly parking permit program. (1)Facility specific monthly parking is available on a first-come first- served, space available basis. Municipal parking lots: Facility specific monthly parking in surface lots is available on a first-come first-served, space available basis. The monthly permit rate is $70.00, plus applicable sales tax, and is issued by the parking department's permit liaison at the offices of the parking department. All monthly parkers are required to renew their monthly parking in advance, no later than the 5th of each month. lf payment is not received by the Sth of the month, then the permit is rendered invalid. Monthly facility specific permit parking can be purchased for up to 312 months at a time. At no time shall such permit parking be sold for a period of greater than 3 42 months, unless by action of the mayor and city commission. Municipal parking garages: Facility specific monthly parking in municipal parking garages available on a first-come first- served, space available basis. Permits are issued by the parking department's permit liaison atthe offices of the parking department. There is a $10.00 deposit required for each access card (permit) issued. Lost access cards will be replaced at a fee of $25.00 per access card. All monthly parkers are required to renew their monthly parking in advance, no later than the 25th of each month. lf payment is not received by the 25th of the month, then the access card (permit) is electronically rendered invalid. Monthly facility specific permit parking can be purchased for up to 312 months at a time. At no time shall such permit parking be sold for a period of greater than 3 {2 months, unless by action of the mayor and city commission. a. b. 104 c. On-street areas: Area specific on-street monthly parking is available on a first-come first-served, space available basis. Permits are issued by the parking department's permit liaison at the offices of the parking department. The parking director shall oversee and develop these special on-street monthly permit areas as deemed necessary, where off-street parking facilities are not available to accommodate monthly parkers. All monthly parkers are required to renew and pay for their monthly parking in advance, no later than the 25th of each month. !f payment is not received by the 25th of the month, then the permit is rendered invalid. Monthly on-street area specific permit parking can be purchased for up tol12 months at a time. At no time shall such permit parking be sold for a period of greater than 3 42 months, unless by action of the mayor and city commission. (d) Special realtor permits. Parking placard permits are available to realtors licensed in the city, at a rate of $5.00 per permit placard, per month, plus applicable sales tax. Placards may be purchased by realtors presenting a real estate license with a city address. This special realtor permit allows Miami Beach realtors to park in restricted residential zones throughout the city, during the days and hours of restriction for a maximum of two hours per location. The placard permit is not valid at parking meters (on-street or off-street) and is not valid at any attended municipa! parking lot or municipal parking garage. (e) Reserve d/restricted co m merci al on-street pe rmit p a rki ng. Reserved/restricted commercial on-street permit parking is permitted forthe production industry only. Requests for said areas are handled by the parking director on a case by case, space available basis. No reserved/restricted on-street permit area shallbe created from a metered parking space. Said reserved/restricted on-street permit parking shallbe installed to accommodate broadcasUsatellite and production vehicles. The monthly fee for the reserved/restricted on- street spaces are calculated as follows: $75.00 per linear 20 feet of reserved space, per month; payable on a quarterly basis only. Reserved/restricted commercialon-street permit parking permittees are required to renew their parking permit quarterly in advance, no later than the 25th of the month preceding the next quarterly billing period. !f payment is not received, then the permit and restricted area is rendered invalid. Permit parking may be purchased for up to 3 Q months at a time. At no time shall such permit parking be sold for a period of greater than 3 {2 months unless by action of the mayor and city commission. Signage shall be paid by the permittee at the rate of $30.00 per sign installed. Replacement signs shall be installed at the same rate. (0 Valet storage spaces. The city may provide on an as-needed basis, the abilityfor a valet service company to rent public parking spaces to accommodate valet parking storage for special events. The parking director shall weigh the impact of each request on the parking area and its users, and shalldetermine both the abilityto lease spaces, and the number of spaces that may be leased for the special event. The fee per space is ${4ee $4€+5 $3150 per day, payable in advance at least 48 hours or two (2) business davs. 105 whichever is qreater . The daily rate includes applicable sales tax. No additional public parking space rentals for valet storage shall be allowed unless by action of the mayor and city commission. (g) Metered parking space rentals. (1)Administrative fees: The parking department shall charge an administrative service fee for all space rental requests. The fee schedule is as follows: a. $20.00 administrative fee assessed for any space rentalof five spaces or less. b. $25.00 administrative fee assessed for any space rental of from six to 10 spaces. c. $30.00 administrative fee assessed for any space rentalof 11 spaces or more. Valet ramp space rentals: The city may provide on an as-needed basis, the ability for a valet service company to rent public parking spaces for the purpose of creating a valet ramp for the expeditious unloading and loading of passengers. The parking director shall determine the number and location of said spaces, and will provide, if possible, spaces adjacent to the business served by the valet service. A copy the valet occupational license for the location to be served, a notarized letter of authorization from the business owner and a certificate of insurance covering the valet service location must be presented to the parking department when submitting for the first space rental request. ffective OctoUer t O. he fee per space is $17,00 $/4€+5$2500 per day: effective April 10. Spaee_isl3l-50_perulay, payable two weeks in advance for regular users, and at least 48 hours or two (2) business davs. whichever is qreater, in advance for special events. Rented spaces shall state, "No Parking/Tow Away" and shall be strictly enforced. Construction space rentals: Space rentals for construction purposes shallonly be restricted between the hours of 6:00 a.m. and 6:00 p.m., Monday through Friday. Space rental shall end on Friday evenings at 6:00 p.m. to allow for additional parking opportunities for the public on the weekends. Construction space rentals shall state, "No Parking 6am-6pm/Tow Away." A copy of a valid, city issued building permit must accompany each application for space rental. The fee per space @per day. nentals associateO Uqiects with valid ci SO. ZOtS snatt Ue SS per dav for each addi anO inctuOing Apri soace renta snattU (2) (3) 106 inelude the weekend; then spaee rental shall remain-hewever, the eharge fer the weekend spaees shall be $10,00 per spaee per day, ne Only essential vehicles shall be parked at rented spaces. No construction crew parking is allowed at spaces rented for construction. Construction rented spaces are payable two weeks in advance. lf the rental is to be greater than a two-week period; then payment shall be due one month in advance. Construction rented spaces can be purchased for up to 312 months at a time. At no time shall such permit parking be sold for a period of greater than 3 42 months unless by action of the mayor and city commission. (4) Production and film space rental: The city may provide on an as- needed basis, rented spaces to accommodate production and film needs. A copy of a valid, city issued production/film permit must accompany each application for space rental. The fee per space is $10.00 per day, payable in advance at least 48 hours or two L2) business davs. whichever is qreater.in-€dvan€e= Only essential vehicles shall be allowed to park at rented spaces, arrangements for crew parking on a first-come, first-served basis can be arranged with the parking department. Rented spaces for production and film use shall state, "No Parking/Tow Away," and shall be strictly enforced. (5) Special events space rental: The city may provide on an as-needed basis, parking space rental to accommodate special events. A copy of a valid, city-issued special event permit must accompany each application for space rental. The fee per space is ${€$e $4€# $25J0 per day, payable in advance at least 48 hours or two (2) business davs, whichever is qreater.in€dvan€e. fne fee per space tor non-tor-orotit orga east +g nours or two nentats associate Oetore SeotemOer g0, norit tO, ZOt0: etec be$25!q Only essentialvehicles shall be allowed to park at rented spaces arrangements for event staff parking on a first-come, first- served basis can be arranged with the parking department. Rented spaces shall state, "No Parking/Tow Away", and shall be strictly enforced. (h) Parking space removal. (1) Temporary parking meter removal: The city may provide for the temporary removal of parking meters to accommodate construction and other limited needs. The fee for the removal of any post shall be 10107 $50.00 per space. The cost for reinstallation of the post shall be $50.00 per space. Space removal and replacement shall be paid to the parking department in advance at a rate of $100.00 per space. Additionally, the applicable bagged space rental rate shall be assessed on a per space, per day basis, payable in advance, until such time as the parking post is reinstalled. (2) Private requests for permanent parking space or loading zone removal prohibited: Private requests for permanent parking space or loading zone removalshallonly be allowed forthe purpose of creating access to an off-street parking facility or other vehicular access to the property. Private requests for the permanent removal of a parking space or loading zone for any other reason shall be prohibited. When permitted, the fee for the private permanent removal of a parking space or loading zone shall be the same rate as the fee in lieu of required parking, or $40S,000.00 per space, whichever is greater, except that single family uses seeking to provide access to off-street parking shall be exempt from paying this fee for the removal of one space. (i) Temporary residential guest parking placard permits/scratch tags. Temporary residential guest permits, allowing for guest parking in the restricted residential zones and metered zones is available to bonafide guests of a resident of the restricted residential parking zones. Permits must be purchased by a restricted residential zone resident. Temporary guest permits are only valid in the residential zone of the resident purchasing the guest permit, and are not valid at any parking meter, municipal parking lot or garage. Documentation established by the City of Miami Beach Parking Department will be required as proof of residency. 0) Hotel hang tag program. A daily 24-hour smal! hotel hang tag program is made available by the parking department through eligible hotels at a fee of $10.00 per hang tag, per day. A small hotel is defined as a hotel consisting of less than 150 guest rooms, and does not provide a hotel valet parking service for its guests. The hotel hang tag is day, month and year specific. The hang tag is sold by the hotel to the guest for a fee of $10.00 per day. The hotel is responsible for proper issuance of the hang tag to include: hole punching the appropriate day, month and year and charging no more than $10.00 to the hotel guest for the hang tag. At no time may the hotel add any surcharge or additional charge to the hotel hang tag fee. The hotel hang tag is valid from 12:00 noon on the day of issuance (the hole punched date) until 12:00 noon the following day. The parking director shall establish the parking areas of the hotel hang tag program. (k) Resfnbted and non-resticted residential parking program. There are seven restricted residential parking zones. These zones are created to protect the quality of life of the city's residents in areas where residential parking is severely impacted by competing uses. The zones are as follows: 11108 (1) (2) (3) (4) (5) (6) (7) Zone 1 South Pointe Zone 2 Flamingo Park Zone 3 Michigan/Lenox Zone 4 Museum District Zone 5 Art Deco District Zone 6 lndian CreeUCollins Avenue Zone 8 Bonita Drive. (l) Exceptions. Flat parking rate. A flat parking rate for nonresidents and for residents of the city (photo identification required) may be established during the city's annual budget process, as recommended by the city manager and approved by the city commission, at certain attended municipal garages and surface lots which have been identified by the city manager to be in the best interest of the community's health, safety, and welfare. Parking incentive program. The city manager is authorized to designate "resident parking days" (evenings 6:00 p.m. to 12:00 midnight) for city residents (proof of residency required) at all attended garages and lots and residential decal holders at on-street meters and/or off-street metered facilities and identify an incentive to be combined with specific initiatives sponsored and/or promoted by the city to stimulate local businesses during off-peak periods. (3) Smart eard pregram/eemmereial smart eard resale pregram; gram, ing d ispensing/replenishing statiens at partieipating eemmereial ly inc ef smart eards, Cemmereial establishments must eensent te ia tne resale pregram G in$in the sales/replenishing pregram are net entitled te any @ Parking Department) te be purehased at the parking Mobile phone pavment seruice. ln ear meter pregra ive (1) (2) (3) 12109 ing threugh this pregram fer metered parking in the Seuth Beaeh Parking Zene=The-parking meter rate inerease in the Seuth Beaeh Parking i This service affords Miami Beach residents. with proof of residencv, a discounted hourly rate of $1 .00 at on-street meters and off- street meters. (m) Rersen4gd-i Resrdenfial Parkinq VisiforPerm,f. The fee for each Daily Restricted Residential Parkino Visitor Permit is $3.00 and shall be valid for a 24 hour period. (n) Smartway vehicles incentive. The Smartway program will use the state ILEV list; EPA (Environmental Protection Agency) "Smartway" designation; and allow all street legal electric vehicles to qualify for participation in the program. lncentives to be offered to qualified and registered vehicle owners include: (1) Monthly parking permit holders for all facilities will be afforded a 50- percent discount on the monthly rate. (2) Residential permit holder in al! designated zones shall receive a 50- percent savings on either their annual or semi-annual residential permit. (3) Five hundred city-wide parking decals, honored at metered spaces only, shall be available only to state-registered Smartway vehicles; vehicles receiving an EPA (Environmental Protection Agency) "Smartway" designation; and all street legalelectricvehicles on a first- come, first-served basis. The cost of the Smartway city-wide decal is $100.00 per year. (4) Two percent of the parking spaces at the 42nd Street Municipal Parking garage may be designated as "Smartway Vehicle Parking Only" for use by recognized Smartway vehicles. One percent of the parking spaces at the 7th Street garage and 13th Street garage may be designated as "Smartway Vehicle Parking Only" for use by recognized Smartway vehicles. Notwithstanding the preceding sentence, the city manager or his designee, who shall be the city's parking director, reserves the right, in his reasonable business judgment and discretion, to temporarily suspend the aforestated "Smartway Vehicle Parking Only" during special events in order to ensure maximum utilization of all parking spaces. 13110 (o) Restdent scooter and motorcycle permits. Annual scooter and motorcycle parking permits are available for a fee of $100.00 per scooter or motorcycle for Miami Beach residents who are registered with the State of Florida as the scooter or motorcycle owner. The permit will be honored at all designated scooter and motorcycle municipal metered parking spaces. (p) Freight loading zone (FLZ) permit. An FLZ permit will allow the use of freight loading zones by permitted commercial motor vehicles. Qualifying commercial motor vehicles must register and purchase an annual permit. The permit fee for each vehicle is $364.00 annually or $182.00 semi-annually. A permittee that operates a fleet of over ten vehicles may purchase up to five vehicle permits for $1,500.00 annually or $750.00 semi- annually. One of every five non-transferable permits shall authorize the permittee to purchase a transferable permit. Permits are transferable to other qualifying commercial motor vehicles, as described in herein, and shall expire annually. The permit must be in good standing and the commercial motor vehicle must be actively engaged in loading activities when stopping, standing, or parked in a freight loading zone. Freight loading locations, regulations, including maximum time limits, and permitted days/hours shall be determined by the city manager or his designee. (q) Alley loading (AL) permrT. An AL permit will allow for the use of alleys by permitted vehicles. Qualifying vehicles must register and purchase an annual permit. The permit fee for each vehicle is $182.00, annually or $91 .00 semi-annually. A permittee that operates a fleet of over ten vehicles may purchase up to five vehicle permits for $750.00, annually or $375.00, semi-annually. One of every five non-transferable permits shall authorize the permittee to purchase a transferable permit. Permits are transferable to other qualifying vehicles, as described herein, and shallexpire on annually. The permit must be in good standing, prominently displayed, and the vehicle must be actively engaged in loading activities when stopping, standing, or parked in an alley. Alley regulations, including maximum time limits and permitted days/hours shall be determined by the city manager or his designee. SECTION 2. CODIFICATION. It is the intention of the Mayor and City Commission of the City of Miami Beach, and it is hereby ordained that the provisions of this ordinance shall become and be made part of the Code of the City of Miami Beach, Florida. The sections of this ordinance may be renumbered or relettered to accomplish such intention, and the word "ordinance" may be changed to "section", "article", or other appropriate word. SECTION 3. REPEALER. All ordinances or parts of ordinances in conflict herewith be and the same are hereby repealed. 14111 SECTION 4. SEVERABILITY. lf any section, subsection, clause or provision of this Ordinance is held invalid, the remainder shall not be affected by such invalidity. SECTION 5. EFFECTIVE DATE. This Ordinance shall take effect ten (10) days following adoption. PASSED AND ADOPTED this _ day of ATTEST: 2015. Rafael E. Granado, City Clerk Philip Levine, Mayor Underline denotes new language S+ike+n+eugh denotes deletions Dguble-urubnjne denotes new language after First Reading Wdenotes deletions after First Reading (Sponsored by Commissioner Deede Weithorn)APPROVED AS TO FORM & LANGUAGE ^ & FOR EXECUTION/' ', I '\ I r t ,.+(q i1! r(;;l;' CityAttomey M- Dote T:\AGENDA\201 5\SeptembeAPARKlNG\ParkingRat€lncreasesSe@ndReadingSept30201 5.ord.doc 15112 PBSEPttASi,iEiiigii EEEEEIIiE iEEE$Egii ==,*E*F*,EiEigEiii, Egl;;s;E;EgiEEiE;i gEEEEEfsEEiiiEiii5 EiEEEE*EiEEIEEiEEE arEsiiEiiEi:EiE€i; E;:EisEiEs'g;i;;gg iE5EEiiIE,EEiiiEs€ i€EiEE!E*?I;sgEi;E EiiiEiiiiiEEgfuEEIgE B3 IFi Ef E EEEI EfE 3$ i3 iE €rEi E;E E i ii f E fiI;EEfe}EIEfEii€ $ E i{E EAE E€FE gE fg;I iiEEtEiiEgEi{EiEE lEle;;eg5EEiiFiti ;*;ES: E??rS *t it;g EeEgEEEgfEEEEEEEi SFEgf#;'s,Eg;PgrEg: E E ? f : E E s= ii'* a'E E E ; ;E sfl:ialEFegEEEE3i *€Pii!S* H iE;rE5E g ;EEESEE€iEEIEtrEE + I gi iHE iI giEiiE EH =fx;Et E,i FatE sE?Ei g;Eg$gEtEIaE!EEsE ;58{€;!IE?EiEsEss g iiiEiEH?!EEE#EE !,EiE;EfE IFEBi F!EE ;=i=s.E Bss.E?i*E!{ is E,iEPsisa*f i BEE :ris=s=;sgsiE$sgi i : N =b -io u ; ):o Y 5r F H :+ I FE r H :3 r .E'- o t =i. 5 :I f E ;F s -cE E t g,$ i Po t '! :+ ,I E.E t * ?: ; RB E E tg '! iE f*5 "E; $ E !* :E ; i3 p g:3 *s.:{ ci6 ; E? .E : E;EEg ii ; q ;E 3U E Ed E .E96 .6 ,:! o LgE En t t: f €EeE*F iF c sc o o d ". 7 o :=I iE g eE 5 EEE oS b 9i < ;a.nE€€3 <f .E ;6 ?g ie E ;B -i ;-z^iF STt 3=::oE=;I.eB .' E+- P f<<bEH 53 3 E5 g PLUIIJN 56 !: g 9E P E =lir+ g$ : ii i E =Hg EE Ei EN aE fN H ;EHi[EE{EEi5Ei*-5 gf ;gz iF =c {i }i- ;F i$;; ri :H :?il ;E ;:3f 8H _"S 3EH ?S SHEE *: J$ E€E ;$ EE.e 3 =YEE ?EE gq €E ii 6!E E$ EEr 1 -ae i=X Eg E* iE ees EE ;Iffi EE;! EE EEi ;i iE*; f,i Ei "i* flg €* ^E.**-: n; i& il SSt Ei;id ;I E-s €E EF.E EI E: = uIi;=E;$5;a:1;gl;tle Es ;re stE Hx!: Hx_i Hr€ H \ Uzo\ (u rT.Iz E E= 4ai d= E= 113 COMMISSION ITEM SUMMARY Condensed Title: An Ordinance Of The Mayor And City Commission Of The City Of Miami Beach, Florida, Amending Appendix A, Entitled "Fee Schedule," To Chapter 1 10 Of The Miami Beach City Code, Entitled "Utilities," Article lv, Entitled "Fees, Charges, RatesAnd Billing Procedure," Division 2, Entitled "Rates, FeesAnd Charges," Section 110-166, Entitled "Schedule Of Water Rates And Tapping Charges," And Section 1 10-168, Entitled "Sanitary Sewer Service Charge," To lncrease The Rate For Water Service Charges ln Excess Of The Minimum Service Charge; And To lncrease The Sanitary Sewer Service Charge By The Same Percentage Enacted By Miami-Dade Water And Sewer Department (WASD) Pursuant To Section 1 10-168; Providing For Codification, Repealer, Severability, And An Effective Date. Maintain the Citv's infrastructure. Data Environmental Scan. etc.): Item Summary/Recommendation : The Miami-Dade Water and Sewer Department has informed allwholesale customers that the proposed water rate for FY16 would decrease by $0.0475 to $1.7341 per 1,000 gallons. WASD has also notified wholesale customers that their proposed sewer rate will be $2.7879, an increase of $0.2279 from the current rate of $2.56 per 1,000 gallons. The cost of the proposed FY16 sewer rate increase to Miami Beach is approximately 8.9%. The current rate of $4.43 per thousand gallons is insufficient to cover the cost of providing water service. Based on the proposed FY16 budget, the water rate would need to be increased by 5o/o to $4.65 per 1,000 gallons in FY 16 .The increase to the water rate is required to cover debt service on approximately $35 million in water capital needs over the next few years. ln addition $9.6 million will go towards the completion of the neighborhood projects included in the FY15 and FY16 capitalbudget. The current rate of $7.55 per thousand gallons is insufficient to cover the cost of providing sewer service. Based on the proposed FY16 budget, the sewer rate would have to be increased by 8.9% to $8.23 per thousand gallons in FY16. Rate increases are needed to cover debt service requirements of a proposed $18 million sewer debt issuance in FY16 and to cover further increases in costs (due to inflation, etc.) beyond FY15. Approximately $5 million of will go towards the completion of neighborhood projects included in the FY15 and FY16 capital budget. Based on the above, the Administration recommends that the City Commission approve a rate increase forwater customers of $0.22 and a rate increase for sewer customers of $0.68 effective October 1,2015. For the average 1 1 ,000 gallons per month customer, the combined water and sewer rates result in a monthly increase of $9.90 in FY16. For the minimum usage customer (5,000 gallons or less per month), the combined monthly impact would be a total of $4.50. The Administration recommends moving forward with the recommended modifications to the water and sewer fee ordinances including allocation of appropriate costs to the Satellite Cities. THE ADMINISTRATION RECOMMENDS APPROVING THE AMENDMENT TO THE ORDINANCE ON SECOND PUBLIC HEARING. At the Finance and CihTwide Projects Committee (FCWPC) meeting of July 17,2015, Public Works staff the MSA report and summarv of their findinos and recommendations. Financial lnformation : Source of Funds: OBPI Amount Account Approved 1 Tota! Clerk's Office t:\agenda\201S\september\september 30 meeting\public works\fy15 water and sewer rate Sign-Offs: Department Assistant City Manager AGENDAJT1T &# M:AMIBTACH 114 g MIAMIBEACH City of Miomi Beqch, I700 Convention Center Drive, Miomi Beoch, Florido 33'l39, www.miomibeochfl.gov N MEMORANDUM Mayor Phillip Levine and Members Jimmy L. Morales, City Manager September 30, 2015 SUBJECT:AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEAGH, FLORIDA, AMENDING APPENDIX A, ENTITLED "FEE SCHEDULE," TO CHAPTER 110 OF THE MIAMI BEACH CITY CODE, ENTITLED "UTILITIES," ARTICLE lv, ENTITLED "FEES, CHARGES, RATES AND BILLtNG PROCEDURE," DIVISION 2, ENTTTLED "FIATES, FEES AND CHARGES," SECTTON 110-166, ENTTTLED ..SCHEDULE OF WATER RATES AND TAPPING CHARGES," AND SECTION 110.168, ENTITLED "SANITARY SEWER SERVICE CHARGE," TO INCREASE THE RATE FOR WATER SERVICE GHARGES IN EXCESS OF THE MINIMUM SERVICE CHARGE; AND TO INCREASE THE SANITARY SEWER SERVICE CHARGE BY THE SAME PERCENTAGE ENACTED BY MIAMI.DADE WATER AND SEWER DEPARTMENT (WASD) PURSUANT TO SECTION 110-168; PROVIDING FOR CODIFICATION, REPEALER, SEVERABILITY, AND AN EFFECTIVE DATE. ADMINISTRATION RECOMMENDATION The Miami-Dade Water and Sewer Department has informed all wholesale customers that the proposed water rate for FY16 would decrease by $0.0475 to $1.7341 per 1,000 gallons. WASD has also notified wholesale customers that their proposed sewer rate will be $2.7879, an increase of $0.2279 from the current rate of $2.56 per 1,000 gallons. The cost of the proposed FY16 sewer rate increase to Miami Beach is approximately 8.9%. The Administration recommends approving the Amendment to the Ordinance on Second Reading, Public Hearing. ANALYSIS The City's utility rates for water and sanitary sewer services are structured to collect the necessary revenues to meet annual operating and maintenance costs of the water and sanitary sewer infrastructure, to cover debt service for water and sewer bonds, to maintain adequate operating fund reserves, and, to pay Miami-Dade County for wholesale water purchased, the treatment of the City's sewage and other fees. ln general, the rates for water supply and sanitary sewer services consist of:o Pass-through of the wholesale rate the City pays to Miami-Dade County for the purchase of potable water and treatment of sewage;o Debt service for the Water and Sewer Revenue Bonds;. Operating and maintenance costs for the water and sewer utility; TO: FROM: DATE: the City SECONDREADING PUBLIC HEARING 115 Commission Memo September 30, 201 5 Water and Sewer Rafe Ordinance Memo Page 2 of 3 . 7.5o/o fee of previous year total revenue paid to the Miami-Dade County Environmental Resource Management Department (DERM). FY2015/16 Miami Dade Countv Wholesale Water and Sewer Rates The Miami-Dade Water and Sewer Department has informed all wholesale customers that the proposed water rate for FY16 would decrease by $0.0475 to $1.7341 per 1,000 gallons. The operational expenditure decreases for the County are due to projected operating expenses, debt service increases in FY16, and other revenue, charges and adjustments such as reserve requirements, decreased interest earnings and renewal and replacement. WASD has also notified wholesale customers that their proposed sewer rate will be $2.7879, an increase of $0.2279 above the current rate of $2.56 per 1,000 gallons. The cost of the proposed FY16 sewer rate increase to Miami Beach is approximately 8.9%. The wholesale water and sewer rates were approved by the Board of County Commissioners at their Public Budget Hearings on the first and second readings on September 3, 2015 and September 17, 2015, respectively. Water and Sewer Revenue Review Recommendations Millian, Swain & Associates, lnc. (MSA) were retained to assist in evaluating the level of revenues produced by current water and sewer rates and the potential need for rate adjustments. The following are their findings: Water Revenue Review and Recommendation An increase in debt service payments for new bonds is the driver for the potential FY16 deficit. 1 . The current rate of $4.43 per thousand gallons is insufficient to cover the cost of providing water service. Based upon the proposed FY16 budget, the water rate would need to be increased by 5olo to $4.65 per 1,000 gallons in FY16. 2. The increase is required to cover debt service on approximately $35 million in water capital needs over the next few years. ln addition $9.6 million will go towards the completion of neighborhood projects included in the FY 15 and FY 16 capital budget including the following projects: West Avenue/Bay Road lmprovements, City Center (Convention Center), and La Gorce Neighborhood lmprovements. 3. The City will receive a $3.3 million WASD true up credit for consumption from FY 14. This results in an anticipated WASD payment of $1 0.6 million for FY 16. The true-up credit for future years remains unknown and is not included when calculating the proposed rate adjustments. 4. All operational expenditure increases related to the proposed adjustments to salaries, increased costs of health insurance and pension, and increases in other operating costs can be absorbed without the requirement to increase the water rate. 5. lncorporating a2.1% inflation factor to expenses (including WASD) and other income (excluding interest income) will result in future rate increase next year of 9.3o/o. Sewer Revenue Review and Recommendation An increase in WASD Sewer fees and scheduled increase in debt service payment for new bonds are the largest contributors to a rise in the projected FY16 deficit. 1 . The current rate of $7.55 per thousand gallons is insufficient to cover the cost of providing sewer 116 Commission Memo September 30, 201 5 Water and SewerRale Ordinance Memo Page 3 of 3 service. Based on the proposed FY16 budget provided by the City, rates would have to be increased by 8.9% to $8.23 per thousand gallons in FY16. 2. Rate increases are needed to cover debt service requirements of a proposed $18 million sewer debt issuance in FY16 and to cover further increases in costs (due to inflation, etc.) beyond FY15. Approximately $5 million of will go towards the completion of neighborhood projects included in the FY15 and FY16 capital budget. 3. Fees charged to Satellite Cities to transport wastewater to WASD appear to be insufficient to cover the cost of providing this service. As part of the comprehensive cost of study, MSA also performed a detailed cost allocation study to address the proper charges to the Satellite Cities and found that those charges needed to be increased from $2.727 to $3.1047 which is approximately 13.9% 4. lncorporating a2.1% inflation factor to expenses (including WASD) and other income (excluding interest income) will result in future rate increases over the next year of 7.5o/o. Backqround At the Finance and Citywide Projects Committee (FCWPC) meeting of July 17 ,2015, Public Works staff presented the MSA report and summary of their findings and recommendations. Fee (per thousand gallons) FY 20L7/L2 Fee FY 20L2/L3 Fee FY 2OL3/1,4 Fee FY 2}t4lLs Fee Prop. FY 21tsl L6 Fee Difference From FY 2oL4h5 Water s4.36 S+.go S+.so S+.+E S+.ss 5o.zz Sewer So.o+So.o+S6.34 Sz.ss Sg.zg So.sg Combined Fee Sro.+o Sro.+o S1o.70 s11.e8 Srz.sg s0.e0 Monthly Cost to 11,000 Gallon Customer sLt4.4O s114.40 51L7.70 s131.78 s141.68 Sg.go Monthly Cost to 5,000 Gallon Customer ss2.00 Ss2,oo ss3.s0 ss9.so s64.40 s4.s0 Conclusion Based on the above, the Administration recommends that the City Commission approve a rate increase for water customers of $0.22 and a rate increase for sewer customers of $0.68 effective October 1, 2015. For the average 1 1,000 gallons per month customer, the combined water and sewer rates result in a monthly increase of $9.90 in FY2015/16. For the minimum usage customer (5,000 gallons or less per month), the combined monthly impact would be a total of $4.50. The Administration recommends moving fonruard with the recommended modifications to the water and sewer fee ordinances including allocation of appropriate costs to the Satellite Cities. JLM/ETC/,6INN t:\agenda\2O 1 4\september\fy1 5 water and sewer rate ordinance memo.doc 117 ORDINANCE NO. AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF THE CIry OF MIAMI BEACH, FLORIDA, AMENDING APPENDIX A, ENTITLED "FEE SCHEDULE," TO CHAPTER 110 OF THE MIAM! BEACH CITY CODE, ENTITLED "UTlLlTlES," ARTICLE lV, ENTITLED ''FEES, CHARGES, RATES AND BILLING PROCEDURE," DIVISION 2, ENTITLED "RATES, FEES AND CHARGES," SECTION 110-166, ENTITLED "SCHEDULE OF WATER RATES AND TAPPING CHARGES," AND SECTION 110.168, ENTITLED "SANITARY SEWER SERVICE CHARGE," TO INCREASE THE RATE FOR WATER SERVICE CHARGES IN EXGESS OF THE MINIMUM SERVICE CHARGE; AND TO INCREASE THE SANITARY SEWER SERVIGE CHARGE BY THE SAME PERCENTAGE ENACTED BY MIAMI-DADE WATER AND SEWER DEPARTMENT (WASD) PURSUANT TO SECTION {10-168; PROVIDING FOR CODIFICATION, REPEALER, SEVERABILIW, AND AN EFFEGTIVE DATE. WHEREAS, the City implemented a Water and Sewer System lmprovement Program ("Program"), which is funded by Water and Sewer Revenue Bonds; and WHEREAS, in 2006, the Water and Sewer Taxable Series B-2 Bonds were issued for the purpose of paying the cost of certain improvements to water and sewer utility; and WHEREAS, in 2009, Water and Sewer Taxable Series 2009J-1C Bonds were issued for the purpose of paying the cost of certain improvements to the water and sewer utility; and WHEREAS, the rate increases proposed herein are for the payment of the phased in debt instruments to continue improvements to the water and sewer infrastructure; and WHEREAS, the new rate provided herein reflects the increase for water in excess of the minimum service charge; and WHEREAS, the new rate provided herein reflects the increase for the sanitary sewer service charge in the same percentage imposed by Miami-Dade County as provided in Section 1 10-168 of the City Code; and WHEREAS, the City anticipates a continuation of its decrease in water consumption and its corresponding decrease in water and sewer revenues; and WHEREAS, the City Commission of the City of Miami Beach deem it to be in the best interest of the citizens and residents of the City of Miami Beach to amend Chapter 110 entitled "Utilities", Article lV entitled "Fees, Charges, Rates and Billing Procedure, to periodically adjust water and sewer rates for maintenance and fiscal responsibility purposes. Therefore, the increased rates set forth herein should be imposed. 118 NOW, THEREFORE, BE !T ORDAINED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAM! BEACH, FLORIDA, as follows: SECTION 1. That the Appendix to Sections 110-166 and 110-168 of Chapter 110, Article lV, Division 2, of the Miami Beach City Code is hereby amended as follows: APPENDIX A FEE SCHEDULE Chapter 110 Utilities Article lV. Fees, Charges, Rates and Billing Procedure Division 2. Rates, Fees and Charges *** Secfion this Code 1 10-166(a) Size of Meter Yr" 1" 1.5" 2" 3', 4" o 8" Gallons of Water per Month 5,000 7,000 1 1,000 17,000 40,000 80,000 '120,000 200,000 Description Minimum service charge: Minimum Monthly Service Charge (effective for billings on or after October 1,2014 22.15 31.01 48.73 75.31 177.20 354.40 531.60 886.00 Water in excess of subsection 110-166(a), shall be as follows. $2.21 per 1,000 gallons, effective with billings on or after October 1, 2000; $2.26 per 1,000 gallons, effective with billings on or after October 1, 2001; $2.31 per 1,000 gallons, effective with billings on or after 1 10-166(b) 119 1 10-168(a) October 1,20Q2; $2.44 per 1,000 gallons, effective with billings on or after October 1, 2003; $2.49 per 1,000 gallons, effective with billings on or after October 1,2004; and $2.54 per 1,000 gallons, effective with billings on or after October 1, 2005; and $2.79 per 1,000 gallons, effective with billings on or after October 1, 2006; and $3.23 per 1,000 gallons, effective with billings on or after October 1,2007; and $3.88 per 1,000 gallons, effective with billings on or after October 1, 2008; and $4.36 per 1,000 gallons, effective with billings on or after October 1, 2009; and $4.43 per 1,000 gallons, effective with billings on or after October 1, 2014 and $4.65 per 1,000 sallons. effective with billinqs on or after October 1. 2015. Sanitary sewer service charge, shall be as follows: $3.73 per 1,000 gallons, effective with billings on or after October 1, 2000; $3.81 per 1,000 gallons, effective with billings on or after October 1, 2001; $3.90 per 1,000 gallons, effective with billings on or after October 1,2002; $4.03 per 1,000 gallons, effective with billings on or after October 1, 2003; $4.12 per 1,000 gallons, effective with billings on or after October 1, 2004; and $4.21 per 1,000 gallons, effective with billings on or after October 1,2005; and $4.25 per 1,000 gallons, effective with billings on or after October 1, 2006; and $4.93 per 1,000 gallons, effective with billings on or after October 1, 2007; and $5.62 per 1,000 gallons, effective with billings on or after October 1, 2008; and $6.04 per 1,000 gallons, effective with billings on or after October 1, 2009; and $6.34 per 1,000 gallons, effective with billings on or after October 1,2013; and $7.55 per 1,000 gallons, effective with billings on or after October 1, 2014 and $8.23 per 1.000 oallons, effective with billinos on or after October 1. 2015. SECTION 3. CODIFICATION It is the intention of the Mayor and City Commission of the City of Miami Beach, and it is hereby ordained that the provisions of this ordinance shall become and be made part of the Code of the City of Miami Beach, Florida. The sections of this ordinance may be renumbered or re-lettered to accomplish such intention, and the word "ordinance" may be changed to "section", "article" or other appropriate word. SECTION 4. REPEALER All ordinances or parts of ordinances in conflict herewith are and the same are hereby repealed. SECTION 5. SEVERABILIW lf any section, subsection, sentence, clause, phrase or portion of this Ordinance is, for any reason, held invalid or unconstitutional, such portion shall be deemed a separate, distinct and independent provision and such holding shall not affect the validity or constitutional, such portion shall be deemed a separate, distinct and independent provision and such holding shall not affect the validity or constitutionality of the remaining portions of this Ordinance. 120 SECTION 6. EFFECTIVE DATE This Ordinance shall take effect on the day of ,2015. PASSED and ADOPTED this day of ,2015 Philip Levine, Mayor ATTEST: Rafael E. Granado, City Clerk Underline denotes additions Strike+nreush den otes deletions (Sponsored by Commissioner Jonah Wolfson) F:\T_Dr|ve\AGENDA\20'1s\SeptembeAPublic Works setp '10\FY15 Water and Sewer Rate Ordinance lstRdg.doc w redline.doc 121 F. I E t3 : p E * v =i. 5 sE*fEgfi; E € ?; E ; E tt = Ea E EIt=[g=E;. $:E $H T E? E : E;EEf Ii i E;g *S q i€ t s I;+sE if E E ;E =E : eE 5 Fo rE€ei iE E =e ?3stE;! Eg EES![ E$ ; EE E E =;Hat gE } i} i g EEfiiiEiiEEEEEE- E$EEEi$EE gE d=.:f 6R TE EFif =iT EEiE H tE s* g: gcs EE i$m E€ '? Es fE$ fs EE = t€ E? ii EsE Ei i! = Eii4*itrHtrtH:Ect*: Uzo\ ch& rrlz 4 f= Ed 6- E- =<=- \ 122 THIS PAGE INTENTIONALLY LEFT BLANK 123 R5 - Ordinances R5D Prohibit Accepting Gifts/Campaign Contributions From A Vendor, Lobbyist On A Procurement lssue, Real Estate Developer, Or Lobbyist On A Real Estate Development lssue 1. An Ordinance Amending Miami Beach City Code Chapter 2 "Administration," Article Vll "Standards Of Conduct," Division 2 "Officers, Employees And Agency Members" By Creation Of City Code Section 2-451.1 Entitled "Prohibited Solicitation/Acceptance Of Gifts" Providing That Commencing January 1, 2016, Members Of The City Commission Or Candidates For Said Offices Shall Be Prohibited From Either Directly Or lndirectly (lncluding, But Not Limited To, Through Their Staff Members Or Authorized Designees) Soliciting Or Accepting A Gift From A Vendor, Lobbyist On A Procurement lssue, Real Estate Developer, Or Lobbyist On A Real Estate Development lssue; Providing For Limited Exception; And Providing For Repealer, Severability, Codification, And An Effective Date. First Readinq (Sponsored by Commissioner Jonah Wolfson) (Legislative Tracking: Office of the City Attorney) 2. An Ordinance Amending Miami Beach City Code Chapter 2 "Administration", Article Vll "Standards Of Conduct", Division 5 "Campaign Finance Reform", Encompassing City Code Sections 2-487 "Prohibited Campaign Contributions By Vendors", City Code Section 2-488 "Prohibited Campaign Contributions By Lobbyists On Procurement lssues", City Code Section 2-489 "Prohibited Campaign Contributions By Real Estate Developers", And City Code Section 2- 490 "Prohibited Campaign Contributions By Lobbyists On Real Estate Development lssues", By Providing That Commencing January 1, 2016 Members Of The City Commission Or Candidates For Said Offices Shall Be Prohibited From Either Directly Or lndirectly Soliciting, Accepting Or Depositing Any Campaign Contribution Regarding City Elected Office From A Vendor, Lobbyist On A Procurement lssue, Real Estate Developer, Or Lobbyist On A Real Estate Development lssue; Providing For Repealer, Severability, Codification, And An Effective Date. E1gllCeClng (Sponsored by Commissioner Jonah Wolfson) (Legislative Tracking: Office of the City Attorney) (ltem to be Submitted in Supplemental) Agenda rtem RS D Date 9-30-l{124 THIS PAGE INTENTIONALLY LEFT BLANK 125 COMMISSION ITEM SUMMARY First Reoding Gondensed Title: AMENDING CHAPTER 50 OF THE MIAMI BEACH CITY CODE, PROTECTION," SECTTON 50-8(h) ENTTTLED "F|RE ALARMS, REGULATTONS, PENALTTES, ENFORCEMENT" TO CORRECT A SCRIVENER'S ERROR REPLACING ''FIRE INSPECTOR" WITH "FIRE DEPARTMENT" AS THE ENTIW ALLOWED TO ISSUE FALSE ALARM CITATIONS lntended Outcome supported: lmprove Building/Development related processes from single family residences to the large development projects. Supporting Data (Surveys, N/A Environmental Scan, etc.): Item Summary/Recommendation : On September 30, 2013, the City Commission approved Ordinance 2013-3815, on second reading setting fines for Fiscal Year 2013114 and created chapter 50 of the Code of Miami Beach, relating to Fire Protection and Enforcement of the City's false fire alarm code. The Miami Beach Fire Department responds to all fire alarms initiated electronically by any building fire alarm system. The initial response consists of an engine company or ladder company and up to including a full alarm assignment. On many occasions, these fire alarms are determined to be false fire alarms where there was no fire and no emergency. This is attributed mainly to poorly maintained fire alarm systems that generate a false alarm signal. When the fire department responds to a false fire alarm, resources are utilized when no emergency exists. This scenario can cause a delay to an actualfire emergency occurring somewhere else in the city. A false fire alarm is defined as a signal from a fire alarm system that elicits a response by the Fire Department when no actual or threatened fire-related emergency exists. Before the creation of section 50-8 (h), the code did not include provisions for enforcing false fire alarms with a citation and fines. However, it was recently noted that the Ordinance contained a scrivener's error in Chapter 50, section 50-8 (h) of the code. The scrivener's error must be corrected in the City of Miami Beach code by amending the Ordinance. Section 50-8, relating to enforcement of the false fire alarm code provisions indicated, in a scrivener's error, that the Fire lnspector would enforce the code, and should have indicated that the Fire Department would enforce the code and issue citations for violations. Clerk's Office DA ITET Rsr Financial ! nformation: Source of Funds: Amount Account 1 2 3 OBPI Total Financial lmpact Summary: N/A MIAMIBEACH AG DATE ?-30-lY126 r-C..e.r--r-- ' D f ^ r*Fiu L r"tr\- l City of Miomi Beoch, I200 Convention Center Drive, Miomi Beoch, Florido 33,l39, www.miomibeochfl.gov COMMISSION MEMORANDUM F!RST READING To: Mayor Philip Levine and FRoM: Jimmy L. Morales, City Manager DATE: September 30, 2015 SUBJECT: AN ORDINANCE OF THE YOR AND CITY GOMMISSION OF THE CITY OF MIAMI BEACH,AMENDING CHAPTER 50 OF THE MIAMI BEACH CITY CODE, ENTITLED ''FIRE PREVENTION ANDpRorEcfloN," sEcTtoN 50-8(h) ENTITLED "F!RE ALARMS, REGULATIONS, PENALTIES, ENFORCEMENT" TO CORRECT A SCRIVENER'S ERROR REPLACING ..FIRE INSPECTOR'' WITH "FIRE DEPARTMENT" AS THE ENTITY ALLOWED TO ISSUE FALSE ALARM CITATIONS; PROVIDING FOR REPEALER; CODIFICATION; SEVERABILITY; AND AN EFFECTIVE DATE. ADMINISTRATION RECOMMEN DATION The Administration recommends that the City Commission approve to correct a scrivener's error in the ordinance. KEY INTENDED OUTCOME SUPPORTED lmprove Building/Development related processes from single family residences to the large development projects. BACKGROUND On September 30, 2013, the City Commission approved Ordinance 2013-3815, on second reading setting fines for Fiscal Year 2013114 and created section 50-8 of the Code of Miami Beach, relating to Fire Protection and Enforcement of the City's false fire alarm code. The Miami Beach Fire Department responds to all fire alarms initiated electronically by any building fire alarm system. The initial response consists of an engine company or ladder company and up to including a full alarm assignment. On many occasions, these fire alarms are determined to be false fire alarms where there was no fire and no emergency. This is attributed mainly to poorly maintained fire alarm systems that generate a false alarm signal. When the fire department responds to a false fire alarm, resources are utilized when no emergency exists. This scenario can cause a delay to an actual fire emergency occurring somewhere else in the city. 127 With the increasing amount of false fire alarms and striving to maintain the safety and complacency of our residents and visitors, the department found a need for the fire alarms to be updated and enforced with fines. This gave the department the resources to effectively manage, track and enforce buildings that habitually have issues with false alarms. A false fire alarm is defined as a signal from a fire alarm system that elicits a response by the Fire Department when no actual or threatened fire-related emergency exists. Before the creation of section 50-8 (h), the code did not include provisions for enforcing false fire alarms with a citation and fines. However, it was recently noted that the Ordinance contained a scrivener's error in Chapter 50, section 50-8 (h) of the code. By way of this memorandum, the Administration requests that the scrivener's error be corrected in the City of Miami Beach code by amending the Ordinance. Section 50-8, relating to enforcement of the false fire alarm code provisions indicated, in a scrivener's error, that the Fire lnspector would enforce the code, and should have indicated that the Fire Department would enforce the code and issue citations for violations. CONCLUSION The Administration recommends the approval of the ordinance correcting the scrivener's error in section 50-8 (h) of the City of Miami Beach Code. T:\AGENDA\201S\September\Commission Memo Fire Alarm Fees Scriveners Error .doc 128 ORDINANCE NO. AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AMENDING CHAPTER 50 OF THE MIAMI BEACH CITY CODE, ENTITLED ''FIRE PREVENTTON AND PROTECTION," SECTION 50-8(h) ENTITLED,.FIRE ALARMS, REGULATIONS, PENALTIES, ENFORCEMENT" TO CORRECT A SGRIVENER'S ERROR REPLACING "FIRE INSPECTOR" WITH "FIRE DEPARTMENT" AS THE ENTITY ALLOWED TO ISSUE FALSE ALARM CITATIONS; PROVIDING FOR REPEALER; CODIFICATION; SEVERABILITY; AND AN EFFECTIVE DATE. WHEREAS, the City Commission declares that it is in the public health, safety and welfare, and the interest of the citizens of Miami Beach, to establish policies, regulations and standards relating to false fire alarms; and WHEREAS,'in 2013, the City Commission created Chapter 50, relating to Fire Protection and enforcement of the City's false fire alarm code; and; and WHEREAS, Section 50-8 relating to enforcement of the false fire alarm code provisions indicated, in a scrivener's error, that the Fire lnspector would enforce the code, and should have indicated that the Fire Department would enforce the code and issue citations for violations; and WHEREAS, the City Commission desires to Amend Chapter 50, at Section 50-8 to correct the above referenced scrivener's error, and the below amendment accomplishes the above objective. NOW, THEREFORE, BE IT DULY ORDAINED BY THE MAYOR AND GITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AS FOLLOWS: SECTION 1. That Chapter 50, at Section 50-8, entitled "Fire alarms, regulations, penalties, enforcement," of the Miami Beach City Code is hereby amended as follows: Chapter 50 - FIRE PREVENTION AND PROTECTION Sec. 50-8. - Fire alarms. requlations. penalties. enforcement. (g) Enforcement. Thetir" inrp".l", rire oepa,iment shall issue a citation for each false alarm. A violator who has been issued a citation under this section shall elect either to: 129 (1) (2) Pay the civilfine in the manner indicated on the citation: or Request an administrative hearing before a special master to appeal the decision of the +ireinspeeter fire department which resulted in the issuance of the citation. SECTION 2. CODIFICATION. It is the intention of the Mayor and City Commission of the City of Miami Beach, and it is hereby ordained that the provisions of this ordinance shall become and be made part of the Code of the City of Miami Beach, Florida. The sections of this ordinance may be renumbered or relettered to accomplish such intention, and the word "ordinance" may be changed to "section", "article", or other appropriate word. SECTION 3. REPEALER. All ordinances or parts of ordinances in conflict herewith be and the same are hereby repealed. SECTION 4. SEVERABILITY. If any section, subsection, clause or provision of this Ordinance is held invalid, the remainder shall not be affected by such invalidity. SECTION 5. EFFECTIVE DATE. This Ordinance shalltake effect ten days following adoption. PASSED AND ADOPTED this day of 2015. Philip Levine, Mayor ATTEST: Rafael E. Granado, City Clerk First Reading: Second Reading: Underline = new language S+i*e+n+eugh = deleted language [Sponsored by Commissioner Joy Malakoff] & FOR EXECUTION !,"r3r \; , ql!(o APPROVED A.S TO FORM & I.ANGUAGE @:f,ff) G 130 THIS PAGE INTENTIONALLY LEFT BLANK 131 R7 RESOLUTIONS 132 lntended Outcome Financial lnformation: COMMISSION ITEM SUMMARY AGENDA ITEH R7 A I Gondensed Title: A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ADOPTING: 1) THE FINAL AD VALOREM MILLAGE OF 5.7092 MILLS FOR GENERAL oPERATING pURPOSES, WHTCH tS TWELVE AND NtNE-TENTHS PERCENT (12.9%) MORE THAN THE "ROLLED-BACK" RATE OF 5.0584 MILLS; AND 2) THE DEBT SERVICE MILLAGE RATE OF 0.2031 MILLS Ensure expenditure trends are sustainable over the long term Supporting Data (Surveys, Environmental Scan, etc.): ln the 2014 Community Survey, both residents and businesses reported the following area for the City related to value for taxes paid:. Percentage of residents rating the Overall Value of City services for tax dollars paid as excellent or Residents: 58%; Businesses 54% Item Summarv/Recommendation : The Administration recommends a total combined millage rate for the City of Miami Beach of 5.9123, which represents a decrease of 0.1114 mills. This amount meets the remaininq millaqe rate qoal to lower the millage rate to the level in FY 2009/10 as property values have increased over time. ln addition, the proposed millaoe rate does not result in a propertvtax increase to median or averaqe prooertvowners that qualifv for the homestead exemotion and the Save Our Homes cap. The final adopted combined millage rate of 5.9123 mills is 0.1114 mills less than the 6.0237 combined millage rate for FY 2014115. The final adopted operating millage of 5.7092 mills for FY 2015116 is 0.6508 mills more than the rolled-back rate of 5.0584, and thus, the City is required to publish a Notice of Tax lncrease. Theproposedoperatingmillagerateof S.T)g2requiresamajorityapproval (4of 7 votes)of the Commission. Finance & Citywide Projects Committee meetings on June 3d, July 1't, and July 17th, 2015 Source ofW6,B,pl \-/ Amount Account 1 2 Total Financial lmpact Summary: lncluding the proposed millage rate for FY 2015116, the City has decreased the millage by 0.5902 mills in the last five years and combined millage rates today remain more than 2.8 mills lower, or 33 percent, than in FY 1999/00 and approximately 1.7 mills lowerthan in FY 200G107. As a result, the prooosed prooertv tax lew is onlv $4 million more in FY 2015/16 than it was in FY 2006107. B MIAMIBHACH onre ?-30-lS133 r9r5.20r5 TO: FROM: DATE: SUBJECT: the City mission {,/zL&{".A*ffim&,{:W City of Miomi Beoch, ,I700 Convention Center Drive, Miomi Beoch, Florido 331 39, www.miomibeochfl.gov COMMISSION MEMORANDUM Mayor Philip Levine and Members Jimmy L. Morales, City Manager September 30, 2015 A RESOLUTION OF THE MAYOR CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ADOPTING: 1) THE FINAL AD VALOREM MILLAGE OF 5.7092 MILLS FOR GENERAL OPERATING PURPOSES, WHICH IS TWELVE AND NINE. TENTHS PERCENT (12.9o/ol MORE THAN THE',ROLLED-BACK'RATE OF 5.0584 MILLS; AND 2) THE DEBT SERVICE MILLAGE RATE OF 0.2031 MILLS ADMINISTRATION RECOMMENDATION The Administration recommends that the City Commission adopt the attached Resolution which sets the following: 1) Final Millage Rates for FY 2015116: General Operating 5.6009 mills (0.0850 decrease from last year) Capital Renewal & Replacement 0.1083 mills (same as last vear) Sub-Total Operating Millage 5.7092 mills (0.0850 decrease from last year) Voted Debt Service 0.2031 mills (0.0264 decrease from last vear) Total 5.9123 mills (0.1114 decrease from last year) 2) The finaladopted combined millage rate of 5.9123 mills is 0.1114 mills less than the 6.0237 combined millage rate for FY 2014115. The final adopted operating millage of 5.7092 mills for FY 2015/16 is 0.6508 mills more than the rolled-back rate of 5.0584, and thus, the City is required to publish a Notice of Tax lncrease. The "Rolled-Back" millage rate for FY 2015116 is the millage rate required to produce the same level of property tax revenues in the General Fund in FY 2015/16 as anticipated to be received in FY 2014115. lt is important to note, that the January 1,2014, tax roll Citywide declined by almost $832.6 million (3.1o/o) between the July 1, 2014 valuation and the July 1 , 2015 valuation due to appeals, adjustments, etc, which is part of the reason the FY 2015116 "rolled-back rate" is 0.7358 mills lower than the FY 2014115 current millage rate and lower than it would be if the rollback rate was only adjusted for the increase in revenues generated by higher property values. The area outside of City Center RDA, which impacts General Fund revenues, declined in value by approximately $550.9 million during the same period of time. 134 FY 2015/16 Final Millage September 30, 2015 Page 2 The final adopted millage rate provides funding in the proposed budget to partially offset the following: . $4.2 million in program and service levelenhancements . $2.8 million for annualized costs for enhancements added during the FY 2014115 budget process . $2.5 million for increases in pension costs . $2.2 million for 2 percent merit increases for employees to the maximum of their pay ranges . $2.1 million for enhancements added mid-year during FY 2014115 . $1.2 million for increases in leave payouts PROCEDURE Florida Statutes 200.065 requires that at the conclusion of the second public hearing on the final tax rate and budget, the City Commission proceed in the following specific manner: 1. Adopt a final ad valorem millage rate for FY 2015/16 operating purposes. The statute requires the name of the taxing authority, the "Rolled-Back" rate, the percentage increase or decrease over the "Rolled-Back" rate, and the millage rates be publicly announced before the adoption of the millage levy resolution. State statute requires that only the title be read aloud. 2. Adopt a final general operating budget for FY 2015116. Also included, are budgets for the Enterprise, lnternal Service, and Special Revenue Funds. This is accomplished by adopting a companion Resolution. (See accompanying City Budget Agenda ltem). SUMMARY ln FY 2010111 the city's approach to addressing the then deficit of $32 million included a distribution of the shortfall between taxpayers and employees. Taxpayers had their tax rate increased from 5.9123 to 6.5025, an increase of 0.5902 mills. The goal of the Commission has been to bring them back to that level as property values increase over time. lt should be remembered that between FY 2009/10 and FY 2010111 values declined by $Z.O billion driving the need for an increase in the millage. ln FY 2011112 the City took its first step in that direction with a reduction in the millage rate of 0.04S6mills.ThemillagerateforFY20l2fi3reducedthemillagebyanadditional0.l062mills. ln the FY 2013114 budget, the millage rate was reduced 0.2314 mills and in the FY 2014115 budget the millage rate was reduced 0.0926 mills. Overfouryears, this reduction represented 81 percent of the goal to get back to a millage rate of 5.9123. The remaining goal for millage reduction is 0.1114. For FY 2015116, the Administration proposes a total combined millage rate for the City of Miami Beach of 5.9123, which represents a decrease of 0.1114 mills. This amount meets the remaininq millaqe rate ooal to lower the millage rate to the level in FY 2OOgllO as property values have increased over time. ln addition, the final millaqe rate does not result in a oropertv tax increase to median or averaqe propertv owners that qualifu for the homestead exemption and the Save Our Homes cap. 135 FY 2015/16 Final Millage September 30, 2015 Page 3 The total final operating millage includes a general operating millage rate of 5.6009 which is a decrease of 0.0850 from 5.6859 in FY 2014115 and a General Fund Capital Renewal and Replacement millage of 0.1083, which is proposed to remain flat. The final voted debt service millage rate is adjusted from 0.2295 to 0.2031, a decrease of 0.0264 mills. It is important to remember that in prior years, the City of Miami Beach significantly reduced tax rates as property values increased. Between FY 1999/00 and FY 2009110, total combined City of MiamiBeach propertytax rates declined approximately2.S mills. lnFY 2007108 alone, the millage rate declined by approximately 1 .8 mills, with annual savings to the average homesteaded property of over $400. Further, despite an adjustment of 0.56 mills in the operating tax rate in FY 2010111, City of Miami Beach adopted combined millage rates today remain more than 2.7857 mills lower than in FY 1999/00 (33 percent), and 1.6493 mills lower than 2006/07 (22 percent). ANALYSIS OF PROPERTY VALUES IN MIAMI BEACH On July 1,2015, the City received the "2015 Certification of Taxable Value" from the Property Appraiser's Office stating that the taxable value for the City of Miami Beach is $30.7 billion including $267.0 million in new construction. The preliminary 2015 value represents an increase of $3.6 billion or 13.3 percent more than the July 1,2014, Certification of Taxable Value of $27 .1 billion. The comparative assessed values for the Miami Beach Redevelopment Agency City Center redevelopment district increased from $4.2 billion to $4.8 billion an increase of $635 million or a 15.2 percent increase over 2014 certified values. Citywide values excluding City Center increased from $22.9 billion to $25.9 billion, an increase of $3.0 billion or 12.9 percent. Values outside the City Center area determine General Fund revenues. COMPARATIVE ASSESSED VALUES Jon. 1 2O14 Volue (in billionsl "/, Cho Jon. l,2Ol5 Volue (in billionsl Chonge trom 2014 Volue (Budoetl As of July I , 2014 lFor 2O14/15 Budqetl Revised Volue lFor 2Ol4/15 Proiectionl Chonge in 2014 Volues As of July I , 2015 lFor 2015/16 Brrdoetl $ (in billionsl "/" Cho TotolCitywide $ 22.1038 $ 26.2712 (0.83261 -3.17"$ 30.6979 $ s.sqzt 13.3% RDA - City Ctr $ 4.1867 $ s.soag $ (0.2818)-6.77"$ Lezte $ 0.6349 | 5.2"/" Sitywide Net of Citv Center $ zz.stzt $ 22.3663 $ (0.5508)-2.4"/"$ 2s.876s $ 2.9592 12.9y" 136 FY 2015/16 Final Millage September 30, 2015 Page 4 DETERMINING THE OPERATING MILLAGE LEVY The first building block in developing a municipal budget is the establishment of the value of one mill of taxation, wherein the mill is defined as $1.00 of ad valorem tax for each $1,000 of property value. For the City of Miami Beach, the value for each mill is determined by the 2015 Certification of Taxable Value and has been set at $30.7 million. Florida Statutes permit a discount of up to five percent for early payment discounts, delinquencies, etc. Therefore, the 95 percent value of the mill is $29.1 million. Net of Center City RDA tax increment available to the General Fund, the value of one mill at 95 percent is $25.1 million. IMPACTS OF CHANGES IN PROPERTY VALUES For FY 2015116, the final operating millage rate for general City operations is 5.7092, which is 0.0850lessthaninFY2014/15. BasedontheJulyl,2}ll,CertificationofTaxableValue,S.T092 mills would generate approximately $143,162,000 in general tax revenues, an increase of $15,403,000 over FY 2014115 budgeted property tax revenues Citylide (General Fund and City Center RDA). Further, the January 1,2014,tax roll Citywide declined by $892.0 million between the July 1,2014 valuation and the July 1 , 2015 valuation due to appeals, adjustments, etc., which is part of the reason that the FY 2015/16 "rolled-back rate" is significantly less than the FY 2014115 current millage rate. The value of the area outside of City Center RDA declined by almost $550.9 million. STATE LEGISLATED OPERATING MILLAGE REQUI REM ENTS Pursuant to recently enacted State legislation, the City may elect to approve millage rates above the roll-back rate up to the constitutional cap of 10 mills subject to the following votes by the Commission or referendum: . Option l:A majorityof the approvalof the Commission Millage is required to approve a millage up to 6.61 12 (equivalent to 1 .96 percent increase in property tax revenues). The 1 .96 percent increase is the state per capita personal income gain for the prior calendar year. . Option ll: A two-thirds approval (5 of 7 votes) of the Commission is required to approve a millage upto7.2723 (equivalent to a 10% increase in the ad valorem revenues above Option l). . Option lll: A unanimous approval of the Commission or referendum is required to approve a millage above 7.2723 up to the 10 millcap The final operating millage rate of 5.7092 therefore requires a majority approval (4 of 7 votes) of the Commission. DETERMINING THE VOTED DEBT SERVICE MILLAGE LEVY The general obligation debt service payment for FY 2015116 is approximately $5.9 million. Based on the July 1, 2015 Certified Taxable Value from the PropertyAppraiser, these bondswould require the lew of a voted debt service millage of 0.2031 mills. This represents a decrease of 0.0264 mills. 137 FY 2015/16 Final Millage September 30, 2015 Page 5 GOMBINING THE OPERATING AND VOTED DEBT SERVICE MILLAGE LEVY At the July 31 ,2015 Commission meeting, the Commission set the general operating millage rate at 5.6009, which is a decrease of 0.0850 from 5.6859 in FY 2014115; a General Fund Capital Renewal and Replacement millage of 0.1083, which is proposed to remain flat; and the final voted debt service millage rate is adjusted from 0.2295 to 0.2031, a decrease of 0.0264 mills. lllustrated below is a comparison of the combined millage rates and ad valorem revenues to the City of Miami Beach for FY 2014115 and FY 2015116 (preliminary) including RDA. lt is recommended that in the General Fund, 0.1083 mills of the totaloperating millage continue to be dedicated to renewal and replacement, resulting in approximately $2.7 million in renewal and replacement funding. IMPACT OF ADOPTED MILLAGE ON PROPERTY OWNERS Homesteaded Properties Amendment 10 to the State Constitution took effect on January 1 , 1995 and limited the increase in assessed value of homesteaded property to the percentage increase in the consumer price index (CPl) or three percent (3%), whichever is less. For 2014, the CPI has been determined to be 0.8 percent and therefore, the increase is capped at 0.8% for increased values as of January 1,2015. Overall, based on the homesteaded properties in the January 1,2014 homestead values as of July 1,2014 valuation, the median value of homesteaded property in Miami Beach for 2014 was $143,680, and the average $351,189. Applying the increase to the marketvalue of all existing homesteaded properties from the2014 tax roll, and the 0.8 percent CPI adjustment, the impact of the millage rate adjustment to homesteaded properties would be as shown in the following table. Homesteaded Properties FY 2011115 FY 20L5lt6 with 0.8% CPI liledian Awraoe iredian Averaoe 1014 Preliminary Taxable Value 3 't43.680 3 351.189 s 144,829 3 353.9rX) C-lty oJ Miami Bgach Opelating Vot€d Debt Total Mami B6ach $ 833 33 $ 2:035 81 $ 827 29 $ 2,02'l 72 $ 866 $ 2,116 s 856 S 2.0S3 D Chgnge in T-ares Op€rarFg yglqd-D€bt.- _ Total Miami Beach $ 16) $ (:14 t4l t9 3 rl0) 3 (23 ' Source: Miami-Dade County Prcp€rty Appraiseds - 201+a\€ra9e-median-homestead-residontial-\6lues file City of Miami Beach Millage Rates Operating Capital Renewal & Replacement Sub-total Operating Millage Debt Service Total FY 06/07 7.1920 0.1820 FY 14115 5.6859 0.1083 -1.5o/o -22.60/o '11.5o/o '32.1o/o 138 FY 2015/16 Final Millage September 30, 2015 Page 6 Non-Homesteaded Properties The annual increase in market value of a non-homestead property is capped at 10 percent (does not apply to school millages). The city-wide average increase in property values is 13.3 percent. The property value of individual properties may increase up to, but not more than 10 percent (excluding the school millage portion of the property tax bill). However, an individual property owner may see a higher than 10 percent increase if there is a change in ownership of a capped property resulting in a reset of the cap. Another potential factor, if applicable, would be the value of new construction which could contribute to a property value increase of higher than 10 percent. H istorical Perspective It is important to remember that in prior years, the City of Miami Beach significantly reduced tax rates as property values increased. Between FY 1999/00 and FY 2009/10, property tax rates declined approximately 2.8 mills. ln FY 2007108 alone, the property tax rate declined by approximately 1.8 mills, with annual savings to the average homesteaded propertyof over$400. ln addition, in FY 2005/06 and FY 2006107, the City funded $200 and $300 homeowner dividends paid to homesteaded property owners in the City. Property Volue, Milloge ond Property Tox Levy Toxoble Volues Chort Toxoble Property Volues lhillionsl Finol/Revise d Toxoble Volues {billions) Millooe Rotes Tox Lew {in millions) Totol Combined Citywide Millooe Gnerol Fund,/RD A Millooe Totol Tox Levy inclrdino Dehi Generol Fund Totol lincluding S. Pointe, ond Renewol & FY 1997 /98 $ 6.46 $ 6.40 9.2 100 7.4990 $ 57.a5 s 4678 FY1998/99 s 6.97 $ 6.87 8.9830 7.4990 $ 60.32 $ 44.66 FY1999/OO $ 766 $ 7.s4 8.6980 7.4990 $ 64.29 $ 47.36 FY2000,/o l $ 8.37 $ 822 8.5s50 7 3990 $ 69.08 $ 49.7 5 FY2001 /O2 $ 940 $ 9.22 8.3760 7.2990 $ 75 97 s 54.37 FY2OO2/O3 $0.56 $o.41 8.3220 7 2990 $ 84.81 $ 61.0s tY2003/oa $2.O9 $185 8.1730 7.2990 $ 9s.39 $ 68.17 FY2004/Os $4.O4 $3.86 8.1730 7 4250 $to 74 $ 79.38 rY2005/06 $7.45 s 7.\ 5 8.0730 7.4810 $35.9 r $169 FY2006/O7 $ 22.74 $ 22.26 7.6730 7.3740 $68.38 $40.3 r FY2007 /OB $ 26Bs $ 26.14 5 8970 5.6555 $50.42 $25.3 3 FY2008/O9 $ 26.90 $ 25.89 5.8930 5.6555 S 50.59 $5.94 FY2009/0 $ 2470 $ 23.24 5 9123 5.6555 $38.70 $s.73 tY20 o/$ 22.10 $ 20.97 6.s025 6.21 55 $36.55 $2.14 FY20 1/2 $ 2t 98 $ 207s 6.4539 6. I 655 $34.7 5 $1.29 FY20 2/3 $ 23.07 $ 22.02 6.3477 6.0909 $39 tO $4.32 tY20 3/4 $ 24.66 $ 236a 6.r 163 5.8634 $43.26 $741 FY2O 4/J $ 27.\O $ 26.27 6.0237 5.7942 $55 to s 27 76 FY20 5 6 $ 3070 5.9123 5 7092 $72.39 $43 l6 Further, although the City increased the operating tax rate by 0.56 mills in FY 2010/1 1 , the City's final combined millage rate is now the same as in FY 2009110 and rate remains approximately 2.8 mills lower or 33o/o, than it was in FY 1999/00. As a result. the final propertv tax lew is onlv $4 million more in FY 2015/16 than it was in FY 2006/07. 139 FY 2015/16 Final Millage September 30, 2015 Page 7 Properfy Volues ond Tqx Levy GE 240 = 220 i 200-9 180.6 160 E 140E 't2oE rooo 303 !o 20: 9Lco ',0 c o =0e '07 '08 '09 '10 '11 M prepgftyValues '12 '.13 '.14 '15 ',16 --r-Tax Levy including Debt Overlapping Jurisdictional Operating and Debt Service Millages City of Miami Beach property owners must also pay property taxes to Miami-Dade County, the Miami-Dade County School Board, the Children's Trust, the South Florida Water Management District, Okeechobee Basin, Everglades Project, and the Florida lnland NavigationalDistrict. These taxing authorities represent 71 percent of a Miami Beach property owner's tax bill. The counhyr,vide tax rate for Miami-Dade Countydecreased by0.0021 mills to 4.6669; the librarytax rate is flat at 0.2840 mills; and the debt service millage is the same at 0.4500 mills. The tax rate for the Miami-Dade School District decreased from 7.9740 to 7.6120 mills. The Children's Trust millage is maintained at 0.5000 mills. As a whole, the millage rates forthe South Florida Water Management District, Okeechobee Basin, Everglades Project, and Florida lnland Navigational District decreased from 0.4187 mills to 0.3896 mills. s I @ O 02 G q 6 6 0 G @ A U I A 14 S 16 Fiscal Yearc 140 FY 2015/16 Final Millage September 30, 2015 Page I With the final rates for FY 2015116, the Miami Beach portion of the tax bill is approximately 30 percent of the total bill. Of note, the Countv millaqe is 0.9851 mills less than their millaoe in FY 2006/07. as compared to the Citv's millaqe which is 1.7607 mills less than the Citv millaqe in FY 2006/07. Further, the School Board millage is only 0.4930 below the FY 2006107 millage rate. The significant difference in the total overlapping millage rate is a direct result of the City's effort to keep the millage rates as low as possible. A summary of the tax rate changes is provided in the following table. OVERTAPPING TAX MIIIAGE f( 06107 tY t4lts NfiiN€=I.sll /.16 Vsrionce from rY t4lt5 Vorionce from rY 06107 o/o oJ FY t5lt6 folol Citv of Miomi Beoch Operoting 7.192C 5.6859 5,600!-0.085c 1.591I Copitol Renewol & Replocement 0.1 82C 0.1 083 O,,l 08 0.000c -0.0737 Subtotol Ooerolinq ilillose 73744 5.7942 5,VUn -o.o850 -r.6648 Voted Debt Service o.299C 0.229!ri0,a03l -0.0264 -0.0959 foto 7.6734 6.0237 5.9r2I -o.t I t4 -1.7607 3V/" Miomi Dode Countv Countywide 5.6r 5(4.669C 4,6665 -0.002r -0.9481 Librory 0.486(o.284(CI:284(0.0000 .0.202c Debt Service 0.285(0.4s0(0i45S-(0.0000 0. r 65c Subtoto 6.386C 5.403C 5.JfiXI9 -o.oo2l -0.985t 27"/" School Boord 8.rosc 7.9740 ,,'7"512Q -o.3620 -o.4930 38/" Children's Trust 0.422C 0.500c 0;500(0.0000 0.0780 3o/" Cther 0.736C 0.4187 1.0:389(-0.029.I 4.3464 2o/" Toto 23.3220 20.3194 =9,8I45 -o.5045 -3.so72 too"t lmpact of Combined Tax Rates of Overlapping Jurisdictions on Homesteaded Properties The median and average January 1,2014 taxable values of $143,680 and $351,189, respectively, will increase by 0.8% CPI in FY 2015116 due to the Save Our Homes Cap which only allows taxable values to increase by 3.0% or CPl, whichever is lower. Applying the final combined millage rates to the median and average taxable values results in a decrease of $51 for the median and a $121 decrease for the average. These decreases include a $10 decrease in property taxes for the median and a $23 decrease for the average from the reduction in millage in the City of Miami Beach's portion of the property tax bill. Median properties would pay approximately $2,869 for all taxing jurisdictions combined, while the average taxes generated would be approximately $7,015 per homesteaded property. Of these taxing jurisdictions, the highest component is the Miami-Dade School Board, at $1,102 for a median value property, and $2,695 for an average valued property. The following table provides examples of changes in property taxes for homesteaded properties using the finaltax rates and potential changes from2O14 values. 141 FY 2015/16 Final Millage September 30, 2015 Page 9 lmpoct on Homesleoded Properties Assuming ChonEes in Toxoble Volue from Jqnuory l,2Ol5 Ft 20t4lt5 FY 20tslt6 wirh O.8% CPI Medion Averoge Medion Averoge 2Ol3 Preliminory Toxoble Volue $ t43,680 $ 35t,189 g 144,829 $ 353,999 City of Miomi Beoch Operoting Voted Debt Totol Miomi Beoch Miomi Dode County Schools Other $ as: $ z,oss 33 8r $ ezt $ 2,021 29 72 $ eoo $ z,t to $ eso $ z,oce 776 1,146 132 1,897 2,800 323 782 1,102 129 1,912 2,695 3r5 Toio $ z,szo $ t,tso $ z,eos $ z,or s Chonge in Toxes City of Miomi Beoch Operoting Voted Debt Totol Miomi Beoch Miomi Dode County Schools Other $ (61 $ (r4) (4) {e) $ (ro) $ (23) 615 l44l (r 05) (3) (81 Totol $ (sl) $ (l2t As with the City of Miami Beach millage rates, impacts of the combined jurisdictional millage rates for non-homesteaded properties are based on the individual property values. CONCLUSION The Administration recommends adoption of the attached Resolution which adopts final operating and debt service millage rates for FY 2015116. JLM/JW@\.-. 142 RESOLUTION NO. A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ADOPTING: 1) THE FINAL AD VALOREM MILLAGE OF 5.7092 MILLS FOR GENERAL OPERATING PURPOSES, wHrcH rs TWELVE AND NINE-TENTHS PERCENT (12.9%) MORE THAN THE "ROLLED-BACK'RATE OF 5.0584 MILLS; AND 2) THE DEBT SERVICE MILLAGE RATE OF 0.2031 MILLS. WHEREAS, on July 31, 2015, the City Commission, following a duly noticed public hearing, adopted Resolution No. 2015-29100, which set the proposed general operating millage rates at 5.7092 mills (excluding debt service) for general operating purposes, a reduction of 0.0850 from the FY 2014115 general operating millage rate; and 0.2031 mills for debt service, a reduction of 0.0264 mills from the FY 2014115 debt service rate; and WHEREAS, at the first public hearing on September 10, 2015, the Mayor and Commission tentatively adopted the operating millage rate of 5.7092 mills for general operating purposes, and 0.2031 mills for debt service; and WHEREAS, Section 200.065, Florida Statutes, requires that at the conclusion of the second public hearing on the City's proposed tax rate and budget, the City Commission: 1) adopt the final ad valorem millage rate for FY 2015/16 operating purposes; and 2) the required Debt Service millage rate; this is accomplished by adopting a Resolution that includes the percentage increase or decrease over the "rolled-back" rate. NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND THE CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that pursuant to Section 200.065, Florida Statutes, there is hereby levied a tax for FY 2015/16, on all taxable and non-exempt real and personal property located within the corporate limits of the City of Miami Beach, Florida, as follows: (a)For the purpose of operating the government of the City, the rate assigned amounts to 5.7092 mills. Also included are appropriate reserves and contingencies, which are not limited to reserves for tax discounts and abatements of uncollected taxes. The millage rate reflected is twelve and nine-tenths percent (12.9%) more than the "Rolled-back" rate of 5.0584 mills. 143 (b) For the purpose of providing payment on the principal and interest portions of the General Obligation Bond Debt outstanding and miscellaneous debt service expenditures, the rate assigned amounts to 0.2031 mills. PASSED and ADOPTED this 30th day of September. 2015. Philip Levine, Mayor APPROVED AS TO FORM & LANGUAGE Rafael Granado, City Clerk ATTEST: ('" 144 frlErigE;fEEEfiEgSETEEEi$:EtEEEiEiiiiEiii,iE* E EE ! $ zB*fiEH3i!,1ssi:'i"'E* IEEE# g;BE :5E Eti EEEifEfEEEE}EEEiE=Ef-I-*S=,EEii$EiEEiiEi*',rt E g'a e itiiiEiEiiEgEEEEitEEiiiiiEiEEt:Eiiii i$ E EE E E iiiEEEEEEiEFEEEEi iEEEE$ IiEi iii Eii gE ;s s Er E -= spF;EEair:sfi*gEE; ii"=rit EEIE iii EEi ;6 il it il iI i EiliiElggigEliggi Eiiggi gIEE iri giI gi iEiEEEEiI3iiEEgEEEEiiEEgEEgiEiiEEEiEiiiiEi EI ;s EE! Es EE E$ ExE f$ ii EBIEIFEEEEflEiEEgE iEfEEE !Fgg [3i EEi EE ootr F o' o E Eo o.G .9 E E o .Pt .:! ii€'ICoo r: Et =:oiE>x:tUOoEt- -ooO ?oooCEoo -ax :-(J@ -! ;d>E:N,3 >E -E al,!c =otd !o .Yo =@qb .9> -69 =iEo co -trco -Eo.=.azoo>:6=UrirE:UY u=9iF-oc,z iJ! o(9 -2,6Ee<< o UJ IJJ NErd =()(Y)s-ilr =?gtu-ur ;38h9o oz xU IrJ cm.< - \ UJzo\ cu Hz c E= Lci OE G= =- 145 THIS PAGE INTENTIONALLY LEFT BLANK 146 COMMISSION ITEM SUMMARY Condensed Title: A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ADOPTING FINAL BUDGETS FOR THE GENERAL, G.O. DEBT SERVICE, RDA AD VALOREM TAXES, ENTERPRISE, INTERNAL SERVICE, AND SPECIAL REVENUE FUNDS FORTHE FISCAL YEAR 2015116 Kev lntended Outcome Ensure expenditure trends are sustainable over the long term iupporting Data (Surveys, Environmental Scan, etc.): ln the 2014 Community Survey, both residents and businesses reported the following area for the City related to value for taxes paid:o Percentage of residents rating the Overall Value of City services for tax dollars paid as excellent or good (Residents: 58%; Businesses 54%) Item Summarv/Recommendation : The total General Fund Operating Budget is $300.3 million, which is $20.3 million or 7.2 percent more than the FY 2O14115 adopted budget of $280.0 million. The City's Operating Budget in total for FY 2015/16 is $576,695,000 including the General Fund, General Obligation Debt Service, Enterprise Funds, Special Revenue Funds and Transfers to the Redevelopment District. This amount is net of lnternal Service Funds and lnterfund Transfers. The proposed millage rate decrease of 0.1114 mills meets the remaining millage rate goal to lower the millage rate to the level in FY 2009/'10 as property values have increased over time and the proposed millage rate does not result in a propertytax increase to median or average propertyowners that qualifyfor the homestead exemption and the Save Our Homes cap. The FY 2015116 Budget includes $1.2 million of reductions/efficiencies and $4.2 million of service level enhancements that address high priority needs of the City as identified through the strategic planning process and 2014 Community survey. Financial lnformation: Source of Funds: Amount Account 1 $300,354,000 General Fund Operating 2 $5,925,000 G.O. Debt Service 3 $23,113,000 RDA Funds-Ad Valorem Taxes 4 $212,499,000 Enterprise Funds 5 $101 ,643,000 Soecial Revenue Funds Total $576.695.000 *Net of lnternal Service Funds and Transfers $80,370,000 lnternalService Funds OBPI $66,839,000 lnterfund Transfers Financial lmpact Summary: The proposed property tax levy is only $4 million more in FY 2015/16 than it was nine years ago in FY 2006/07. Overall position count is still 2.9 percent less than in FY 2006/07. (s MIAMIBTACH &GElroA rrr* R?A 2 oi,i--E@1{147 t915 . 2015 City of Miomi Beoch, 1700 Convention Center Drive, Miomi Beoch, Florido 33,l 39, www.miomibeochfl.gov COMMISSION MEMORANDUM To: Mayor Philip Levine and Members FRoM: Jimmy L. Morales, City Manager DATE: September 30, 2015 the City MIAMI BEACH, FLORIDA, ADOPTING FINAL BUDGETS FOR THE GENERAL, G.O. DEBT SERVICE, RDA AD VALOREM TAXES, ENTERPRISE, INTERNAL SERVICE, AND SPECIAL REVENUE FUNDS FOR FISCAL YEAR 2015116 ADMINISTRATION RECOMMEN DATION The Administration recommends that the City Commission adopt the attached Resolution which establishes final budgets for the General, G.O. Debt Service, RDA Ad Valorem Taxes, Enterprise, lnternal Service, and Special Revenue Funds for Fiscal Year (FY) 2015t16. PROCEDURE As outlined in the companion General Operating Millage Agenda ltem, Section 200.065, Florida Statutes specifies the manner in which budgets are adopted. First, the final millage rate for both the general operating and debt service is adopted, then immediatelythereafter, final budgets by fund are adopted. The attached Resolution adopting final budgets for the General, G.O. Debt Service, RDA Ad Valorem Taxes, Enterprise, lnternal Service, and Special Revenue Funds for FY 2015116 is therefore presented to you at this time for adoption. Additional details are contained in my Budget Message which is attached, however, highlights of that document are outlined below. GENERAL FUND CURRENT SERVICE LEVEL BUDGET DEVELOPMENT As in past years, the FY 2015116 Work Plan and Budget was developed through an intensive review process with our City Commission. Preliminary budget information was provided at the Commission Retreat on May 29th and in meetings with the Finance and Citywide Projects Committee (FCWPC) on June 3rd, July 1st, and July 17th. Additional discussions were held at a Budget Workshop on September 16, 2015. 148 Adopting Final Budgets September 30, 2015 Page 2 The General Fund is the primary source of funding for the majority of City services. Revenues are derived from ad valorem property taxes, franchise and utility taxes, business license and permit fees, revenue sharing from various statewide taxes, user fees for services, fines, rents and concession fees and interest income. Additionally, intergovernmental revenues from Miami-Dade County and Resort Taxes contribute funding for tourist-related activities provided by General Fund departments. The first step in preparing the FY 2015116 budget was an evaluation of Current Service Level (CSL) revenues and expenditures. CSL revenues represent the amount of revenues that would be generated based on existing tax rate, fees and charges. CSL expenditures represent the expenditures associated with providing the same level of service next year as in the current budget year. At the Strategic Planning Retreat on May 29,2015, the Commission was briefed regarding the preliminary General Fund Current Service Level (CSL) budget. The CSL represents the cost of providing the same level of services as in the prior year and serves as the baseline of funding for the budget process. Property taxes comprise 46% of the total General Fund revenue and are a key driver of CSL revenues. ThePropertyAppraiserprovidedthepreliminary2OlSpropertyvaluesonJunel, 2015. The Commission was briefed regarding the updated CSL budget at the June 3'd Finance & Citywide Projects Committee. The preliminary 2015 property values increased 12.0Vo, which resulted in an increase of $14.6 million in General Fund property tax revenues. CSL revenues were estimated to increase $16.1 million due to an $14.6 million increase in property tax revenues (assumed keeping the operating millage rate the same), a $2.6 million increase in non-property tax revenues including an increase in the Resort Tax contribution of $1.7 million for items added in mid-year and annualized items from FY 2014115, and a decrease in prior-year set-aside (onetime revenue) of $1.6 million. These figures do not assume additional contributions from the Resort Tax or Parking Funds. CSL expenditures were estimated to increase $12.5 million due to the following: . Higher pension contributions of $2.5 million as both pension boards voted to lower the investment rate assumption o O-2%o merit pay: $2.2 million . Spike in leave payouts from retirements, DROP, and separations from the city: $1.2 million o Annualized costs for items added during FY 2014115 such as $1.64 million for the new landscaping contract, $534,000 for PC replacement from 5 to 3 years, $332,000 for body camera maintenance, and $249,000 for Energov permitting software maintenance. . Annualized costs for items added mid-year including $802,000 for statfing of 6 new lifeguard stands, $285,000 for enhanced tuition reimbursement program, $283,000 for pre-employment background checks, $276,000 for license plate reader on MacArthur Causeway, $204,000 for additionalwindstorm insurance, $128,000 for 149 Adopting Final Budgets September 30, 2015 Page 3 security guards on 4th floor of City Hall and at Housing & Community Services, and $105,000 for Executive Services Program. o Other miscellaneous cost increases to CSL include $210,000 for higher general liability legal fees and workers comp legal fees based on trend, $160,000 for outside legal counselfor labor negotiations and Watson lsland, $157,000 for actuary and pension attorney for labor negotiations, and $154,000 for electricity for new streetlights (21o/oincrease in inventory) and irrigation costs from recently completed capital projects. o These expenditure figures do not assume additional savings from potential efficiencies or reductions. The preliminary CSL based on June 1tt property values had a revenue increase of $16.1 million and an expenditure increase of $12.5 million for a net surplus of $3.6 million. At the June 3rd Finance and Citywide Projects Committee meeting, direction was given to assume a millage rate reduction of 0.0557, which represented half of the remaining millage rate goal. The millage rate reduction reduced the projected CSL surplus to $2.5 million. APPROACHES TO BALANCE At the July 1't Finance and Cityrride Projects Committee meeting, direction was given regarding the proposed Millage Rate, enhancements and efficiencies for the Operating Budget, and changes to the Capital Budget. The impact of the change from the June 1't preliminary taxable values of 12.0 percent to the July 1't certified taxable values that increased 13.3 percent was calculated at $1 .2 million. The Committee voted to reduce the combined millage rate by the remainder of the millage rate goal, 0.1114 mills, which reduced the surplus by $t.t million. The proposed millage rate was reduced from 6.0237 to 5.9123 and is now the same as it was in FY 2009/10 prior to the millage rate increase in FY 2010111 of 0.5902. On July 1st, the Committee accepted the recommended reductions/efficiencies except for the recommended reduction in City Clerk - Central Services for $27 ,100 to eliminate printing of Commission meeting agendas, Commission committee agendas, Land Use Boards agendas, and annual Budget documents. The updated savings from the recommended red uctions/efficiencies totals $1,21 1,7 50. The Committee also recommended accepting the proposed additions and service enhancements with the following changes listed below: o Remove $100,000 for the Climate Action Plan in Building-Environmental Management o Remove $150,000 for the North Beach Marketing funds in Tourism, Culture, & Economic Development (funded by Resort Tax) o Offset 50 percent ($55,000) of the Assistant Director in Tourism, Culture, & Economic Development from Resort Tax funding 150 Adopting Final Budgets September 30, 2015 Page 4 . Offset the $220,000 cost of the Urban Forestry Tree Preservation Program in Public Works by budgeting the fee revenue associated with the new program . Add $200,000 for Out-of-Region Data Center in lnformation Technology . Add $500,000 in a reserve to offset the future cost of the Public Safety Radio project in Emergency ManagemenU9-1 -1 Following the July 1't meeting, an additional savings of $130,000 was identified in the Current Service Level Budget from funding the Fire Boat in FY 2014115 instead of FY 2015t16. At the July 17th Finance and Citywide Projects Committee meeting, the following two changes were made to the list of proposed additions and service enhancements: . Add $45,000 for one of two requested positions for the City Attorney Fellowship Program o Reduce Parking's Loading Zone Program request from 12 to 8 positions (Parking Fund) The updated recommended enhancements total $3,869,000, which is offset by $530,000 from additional Resort Tax contribution fortourism-eligible enhancements. The remainder of the surplus totaling $102,750 was placed into General Fund-Contingency in Citywide. After the July 17th Finance Committee meeting, an enhancement was added consisting of three Code Compliance Officers in the Entertainment District to augment the existing two positions added during FY 2014115. These positions would be assigned along Ocean Drive, Espafiola Way, and the southern portion of Collins Avenue and Washington Ave. ln the last fouryears, twenty{hree additional ordinances have been implemented and caseloads have almost doubled since FY 2010111. The cost of this enhancement is otfset by additional contribution from Resort Tax. At the first public hearing on the FY 2015/16 budget on September 10, 2015, the Commission approved two additional enhancements as follows: r Add $55,000 to convert two part-time positions to fulltime positions in the Homeless Outreach program for Lummus Park added in FY 2014115. . Add $25,000 in support for the Miami-Dade Gay & Lesbian Chamber of Commerce consistent with City support for three other local chambers of commerce. The $55,000 forthe Homeless program positions was offset by Resort Tax revenue and the $25,000 for the Miami-Dade Gay & Lesbian Chamber of Commerce was offset by $25,000 of the additional $102,750 budgeted in General Fund - Contingencies. The following page shows the various changes made through the budget process. 151 Adopting Final Budgets September 30, 2015 Page 5 Preliminary CSL surplus -based on June 1st values Millage rate reduction -50% of remaining millage rate goal 3,600,000 (1,100,000) Updated CSL surplus Recommended enhancements Additional Resort Tax contribution Recom mended reductions/efficiencies Change in taxable values -based on July 1st values Additional Millage rate reduction -Remainder of millage rate goal Reserve for Public Safety Radio project Savings to CSL from Fire Boat Additional General Fund Contingency After Julv 17th Finance Commiftee Code Officers for Entertainment District Additional Resort Tax Contribution At First Public Hearinq on September 11th Conversion of positions for Homeless Program Additional Resort Tax Contribution Support to Miami Dade Gay & Lesbian Chamber of Commerce Reduction in General Fund Contingency Total su rplus/(shortfall) 2,500,000 (4,109,000) 770,000 1,211,750 1,200,000 (1 , 100,000) (500,000) 130,000 (102,750) (240,000) 240,000 (55,000) 55,000 (25,000) 25,000 152 Adopting Final Budgets September 30, 2015 Page 6 Efficiencies and Reductions City departments continue to be proactive in identifying additional efficiencies to their current service level programs and services. As with the preparation of budgets for the last eight years, departments are continuing to analyze their budget from two perspectives: 1) reviewing for potential efficiencies, reorganizations to reduce cost, etc., without adversely impacting services; and 2) performing a modified zero-based analysis of each department budget, identifying potential service reduction alternatives versus core functions. As part of the FY 2015116 budget process, the Finance & Citywide Projects Committee requested that departments submit lists of potential reductions/efficiencies totaling 5 percent of their FY 2014115 budgets. The lists were reviewed extensively by the City Manager, Executive Team, Department Directors, and the Budget Office. At their July 1't meeting, the Finance & Citywide Projects Committee accepted $1,211,750 of the recommended reductions/efficiencies recommended by staff. ln addition to the summary below, a list of the adopted reductions/efficiencies can be found in Attachment A. . Move the elevator section from Buildinq to Public Works: The elevator section currently operates from the Building Department and has annual offsetting revenue. It has been determined that this revenue is not restricted for building enforcement purposes. As such, the function and offsetting revenue can be moved to Public Works and result in a net savings to the General Fund of $658,000. o Eliminate the Ethics Hotline: This reduction eliminates the Ethics Hotline funded during FY 2013/14, but not implemented. The recommended approach is to leverage the existing FBI corruption hotline which is currently advertised on the City's website and MBTV. The FBI corruption hotline is preferable to an internal ethics hotline because it offers a potential whistleblower greater protection from an independent law enforcement agency. The City currently has a police officer assigned to the FBI public corruption investigation task force. ln addition, the Miami- Dade County Office of the lnspector General has a "Report Fraud" phone number at 305-579-2593. . Eliminate the Green Team: This $115,000 reduction eliminates the "Green Team" funded in FY 2013114, but not implemented. These positions were planned to increase the City's monitoring of waste runotf pending the City obtaining some level of jurisdiction that ensured the enforcement authority over grease traps by Q2-2015. DERM has not relinquished the authority for the City to have fulljurisdiction over grease trap investigations and penalties so these positions were never filled. . Reduce lnvestment Advisory Services fees: Due to a newly negotiated contract, the custodial fees and arbitrage costs for the lnvestment Advisory Services fee can be reduced $207,000 without impacting service levels. . Reduce medical shelter beds budqet: ln the past, clients with medical impairments have been placed in a medical shelter bed instead of a normal shelter bed, resulting in additional costs. Shelters have become increasingly ADA compliant resulting in less of a need for specialized medical beds. The recommended reduction of $27,450 is not anticipated to have a negative effect as the remaining funding in the program budget is expected to meet the anticipated need for medical beds. This need is anticipated to continue to decrease over time. 153 Adopting Final Budgets September 30, 2015 Page 7 Reduce criminal backqround checks budqet: The recommended reduction has no impact due to new criminal background check contract costs being $4,800 less than prior contract. Accelerate planned implementation of Virtual Desktop lnfrastructure: The implementation of Virtual Desktop lnfrastructure was planned for a limited implementation in FY 2016117 and this reduction of $100,000 accelerates the rollout to FY 2015/16. Select users that are scheduled to have their PC's replaced will use Dell Virtual Desktop lnfrastructure instead of a traditional PC. There may be initial challenges and lessons learned as part of the initial rollout, but there is potential for substantial long-term savings. Estimated anticipated savinos from Telecom Audit: A telecom audit has been initiated during FY 2014115 that is anticipated to result in savings from billing errors, etc. The last audit was performed 1997. The audit is anticipated to have a minimal impact to users. lT staff is impacted as there is an amount of effort and labor that is involved. The more effort that lT and the selected vendor put forth, the more likely that savings are found. However, the labor committed to doing this reduces the work capacity for other projects. The recommended reduction of $50,000 reflects a realistic savings target that could increase to as much as $250,000. Eliminate distribution of solicitation documents via CD's: The City Code requires that as part of the bid solicitation process, bidders are required to pay $20 per CD to pick up copies of the construction documents. This $1,500 reduction will result in distribution of construction documents via a File Transfer Protocol (FTP) or the Public Purchase Website. This reduction would require a change to the City Code. Eliminate newspaper advertisements for bids under $300.000: The City Code requires that bids shall be published once in at least one official newspaper having general distribution in the city and at least five working days preceding the last day set for the receipt of proposals. Most bidders today, rather than relying on newspaper advertisements, rely on electronic bid notification systems. The City uses one such system, Public Purchase, to advertise all competitive solicitations. Florida statutes only require that bids for construction over $300,000 be advertised. This reduction would require a change to the City Code. Service Enhancements The adopted enhancements found in Attachment B reflect services that our residents and businesses identified as important to them during the 2014 Community Satisfaction Survey or priorities identified at the City Commission retreat on May 29,2015. Highlights of the $4.2 million of enhancements funded across allfunds to address priorities in the City's Strategic Plan include: lmprove traffic and mobility by adding an additional police motor unit and expanding the Freight Loading Zone program throughout the city lncrease public safety by supporting the State Attorney's Human Trafficking Task Force and implementing a License Plate Reader system on MacArthur Causeway 154 Adopting Final Budgets September 30, 2015 Page I lmprove policing culture by reimbursing ten police recruits to complete Police Academy training instead of only hiring certified officers with previous experience Enhance beautification by creating an Urban Forestry Tree Preservation program, developing a GIS tree inventory, and participating in the Fairchild BotanicalGardens Million Orchid project Enhance programming for various recreation programs as follows: additional inclusionary aides to meet the demand for special need children to be enrolled in summer camps; funding for a second season of Little League Baseball; expansion of elderly programming from North Shore Park Youth Centerto two additional locations in central and south beach; an increase in year-round level of service citywide for youth programming with new educational and cultural programs and at additional sites; the addition of Nautilus Middle School as an additional site for teen programming; the enhancement of special community events such as Winter Wonderland and Cupid's Carnival with additional rides and activities; meeting increasing demand for elderly programs and events by increasing funding for the Senior Enhancement Transportation Service program. Preserve infrastructure by increasing pay-as-you-go funding from the General Fund for capital projects from $1.4 million to $2.4 million lncrease response times for addressing high priority citizen issues/complaints by adding two parttime positions to the newly created Rapid Response Team Enhance a more proactive code compliance environment by adding three Code Compliance Officers in the Entertainment District to augment the existing two positions added in FY 2O14115. Enhance opportunities for persons with disabilities by partially funding the para- rowing program at the Shane Rowing Center Expand the "Can on Every Corner" initiative by an additional 100 locations Maintain plan review turnaround time within current targets (Residential - 7 days; Commercial - 21 days) while absorbing the staffing impact of assigning building inspectors to the Convention Center project Enhance preventive maintenance of storm water and sewer infrastructure lmprove disaster preparedness by backing up City technology data/systems in an out-of-region data center Enhance homeless outreach in Lummus Park by converting two part-time positions to full-time positions that were added inFY 2014115 Add support for the Miami-Dade Gay & Lesbian Chamber of Commerce consistent with City support for three other local chambers of commerce Several ad min istrative enhancements includ i ng : enhance organizational capacity by creating a Fellowship program to hire entry-level city attorneys; streamline records management activities across the organization; improve code compliance oversight; 155 Adopting Final Budgets September 30, 2015 Page 9 improve quality of 911 calls using off-site certified reviewers; improve oversight of bond issuance and debt management function; increase oversight of HUD funded capital activities; meet increasing demand for administrative support of the City's five Land Development Review Boards; expedite procurements activity; reduce backlog of engineering projects; address 21 percent increase in street light inventory; provide adequate oversight of contracted grounds maintenance services; meet increasing demand for GIS programming and support; enhance oversight of tourism, cultural, and economic development programs; enhance capacity to develop and maintain mobile applications and web-based applications Additional enhancements added mid-year during FY 2014115 include the following: . lmprove traffic and mobility by expanding the City's trolley system from the existing North Beach Loop to include a Mid Beach Loop, a South Beach Loop, and a Collins Link o lncrease public safety by adding six new lifeguard stands to the existing 29 locations o Enhance parking lot cleanliness by adding a roving crew to address illegal dumping, litter, and other deficiencies . lmprove educational excellence by developing an internship program with Florida lnternational University for 18-24 interns annually to gain real-life, hands-on work experience A list of potential additional enhancements requested by departments but not recommended by me in the Adopted Budget can be found in Attachment C. While many of these potential enhancements are important and should be considered over time, they were considered a lower priority than those included in the FY 2015/16 Adopted Budget and Work Plan. lncreased Use of Resort Taxes to offset Tourism Eligible Expenses in Genera! Fund Based on an outside consultant study conducted in2O10 using FY 2OOTlOA actual costs, it is estimated that there are approximately $50.5 million in eligible resort tax expenditures in the General Fund. However, $8.8 million of these costs were estimated as being addressed by dedicated funding pursuant to the Miami-Dade County Convention Development Tax interlocal agreement, thereby resulting in approximatelv $41.7 million in eliqible ResortTax expenses in the General Fund. These include expenses associated with police officers serving entertainment areas; a portion of fire rescue services from Fire Stations 1 & 2; ocean rescue services; enhanced code compliance provided to respond to evening entertainment area violations and statfing of special events; other code compliance activities in tourism and visitor related facilities/areas; Tourism and Culture Department and the CulturalArts Council; museums and theaters (Garden Center, Bass Museum, and Colony Theater); golf courses (net of revenues); Memorial Day and other special event costs; homeless services; July 4th; Visitor Centerfunding; holiday lights; Jewish Museum; Miami Design Preservation League (MDPL); Orange Bowl; monuments; etc. The total adopted Resort Tax Fund transfer to the General Fund for FY 2015/16 is approximately $36.6 million. 156 Adopting Final Budgets September 30, 2015 Page 10 VALUE OF SERVICES FOR TAX DOLLARS PAID Between FY 2OOTlOB and FY 2014115, the General Fund absorbed almost $51 million in reductions (almost 17 percent of the $244 million FY 2011112 General Fund budget) and eliminated 295.5 fulltime and 11 parttime positions across all funds. Further, a total of approximately $20 million in employee "give-backs" were achieved between FY 209gl10 and FY 2011112, through a combination of freezing cost of living adjustments for all employees for two and one-half years, elimination of merit increases for all employee except members of the Fraternal Order of Police (FOP) and lnternational Association of Firefighters) IAFF, increased contribution to pension for all employees except members of FOP and IAFF, pension plan changes for the Miami Beach Employees Retirement Plan, increased contributions for take-home vehicles by FOP members for 18 months, reduced holiday pay for IAFF members, and increased contributions to health insurance by members of the FOP and IAFF for 18 months. ln addition, the FY 2012113 budget included $918,000 in employee "give-backs", the FY 2013/14 budget included $4.6 million, and the FY 2014115 included $1.9 million. Combined with approximately $22.4 million in employee "give-backs" achieved between FY 2009110 and FY 2014115, this represents $78.7 million in combined "givebacks" and reductions over 8 years. All of the givebacks achieved, except the 18 month increased contribution to health by FOP and IAFF and the increased contributions for take-home vehicles by FOP members for 18 months, represent ongoing, recurring savings to the City and the employee givebacks contribute significantly towards the City's strategic goal (key intended outcome) to control payroll costs. Although the economy appears to have stabilized, the impact of the recent recession impacted both property tax revenues as well as pension costs. Therefore, the City's strategy continues to consider the long term financial sustainability of the City. Beginning with the development of the FY 201gl10 budget, a strategy was developed to address short-term, mid-term and long-term financial needs. . Strategies to address short-term financial needs included ongoing efficiencies and wage concessions by employees.. Mid-term financial sustainability was addressed by pension concessions from current employees in the Miami Beach Employees Retirement Plano Longer term financial sustainability is enhanced by the pension plan restructures that have been put in place for employees in the City's retirement plans. For example, for General Employees, the plan restructure proposed for new employees is projected by the City's actuary to reduce the City's annual required contribution by almost $1 million in FY 2012113, with additional reductions annually as the number of employees in the Miami Beach Employees Retirement Plan hired after October 1, 2010 continues to increase. Further, additional pension plan reform recommendations were developed by the City's Budget Advisory Committee (BAC) for the Fire and Police Pension Plan for consideration as part of the FY 2013114 adopted budget. While the specific BAC recommendations were not implemented, the pension reform agreed upon by IAFF and FOP generated savings is in excess of the BAC recommendations: $5.6 million in the first year, $1.9 million in the second year, and $140 million net present value over 30 years. 157 Adopting Final Budgets September 30, 2015 Page 1 1 With the proposed $1.2 million in efficiencies incorporated in the AdoptedWork Plan and Budaetfor FY 2015/16, the 9 vear total of reductions and emplovee qivebacks is approxi matelv $80 million. Genercl Fund FY 2015/16 9-Yeor Tolol S lmpqcts FT PT S lmpocts FT PT Public Sofetv {$8,O2I ,O95 {7\.Ol L0 Coerotions I773.OOO)t$6.899.867 {66.01 {2 3.0 Adm inistrotive Support 1438.750ll ($3,685,444 (3 3.41 t.o Econ & Culturol Dev ts1 .235.426 17.O) Citywide t$1 ,619.6a2 Subtoto $ {r ,2 r 1 ,z5o)l$21 ,461 ,47A (185.4)l.21 .O Tronsfers l$23,168,966 Totol s(t,2tr,75ol 5144,630,44 (r 85.41 (21.o' lnlernol Seryice Funds ($3,871,22s 1s7.1\ Enierorise Funds ($3,65i.02r (s 3.ot t0.o GRAND TOTAL REDUCTIONS slt,21r,7sol s ls2,rs2,6a6 (29s.s)(r r.ol Estimoud Employee Givebocks GRAND TOTAL REDUCTIONS AND t$27,833,360) $(r,2r r,7so)s 179,986,0451 (2es.s)(r r.o) The 2015 Environmental Scan conducted as part of the strategic planning process showed that the average daily population in the city has grown 36.5 percent from 2004 to 2014. Much of this increase consists of additional tourists (88 percent), seasonal residents (59 percent), and non-tourist beach visitors (85 percent). Having over one-third more people in the city over the last ten years, without an offsetting increase in budget can result in services becoming degraded over time. The chart below shows the General Fund budget and General Obligation Bond Debt Service budget divided by the average daily population from 2007 to 2014. The chart shows that the average daily population has grown faster than the budget and that the FY 2013114 amount is 13 percent below the FY 2006107 amount. General Fund and G.O. Debt Budget by Average Daily Population 2007 - 2014 200641 2007-08 2008-09 2009-10 2010-11 Nq!q: Average Daily Population for FY 2014-15 not available tr GF Exp per ADp r GO Debt per ADpuntil end of calendar year Despite the 36.5 percent qrowth in averaqe dailv oopulation and tourism, the Citv's position count has remained relativelv flat as shown in the chaft below. The overall position count is 62 positions or 2.9% less in FY 2015/16 than it was nine vears aqo in FY 2006/07. 1,305 I 158 2,300 2,200 2,1@ 2,@ 1,9@ 1,8@ L,1oo t,@0 1,500 1,4@ 1,3@ 1,2@ 1.1@ 1,@ 9m 8m 1N @ 5@ 4m 3@ 2@ Adopting Final Budgets September 30, 2015 Page 12 Position Gount FY 2006/07 to FY 2015116 2OO9/!0 20r0/!t 2i7rlr2 2072/73 I General Fund I Other Funds 2073/74 2015h6 ADOPTED FY 2015/16 ENTERPRISE FUND BUDGETS Enterprise Funds are comprised of Sanitation, Water, Sewer, Stormwater, Parking, and Convention Center Departments. The FY 2015/16 Enterprise Funds Budget is $212.5 million. This represents an increase of $32.7 million (18 percent) from the FY 2014115 budget of $179.8 million, primarily due to: o Water reflects a 5 percent rate increase from $4.43 to $4.65 per thousand gallons primarily to cover debt service on approximately $35 million in capital improvements to the water system. The monthly water bill for a customer that consumes 5,000 gallons a month will increase $1 .10 and 1 1 ,000 gallons a month will increase$2.42. . Sewer reflects a 9 percent rate increase from $7.55 to $8.23 per thousand gallons primarily to pass on a 9 percent increase of fees charged by Miami-Dade Water and Sewer Department (WASD) to treat the City's wastewater, to cover debt service on approximately $t 8 million in capital improvements to the sewer system, support an enhancement of two positions to enhance preventive maintenance program to the sewer infrastructure system. The monthly sewer bill for a customer that consumes 5,000 gallons a month will increase $3.35 and 11,000 gallons a month will increase $7.37. . A $21 million increase in Parking rate fee revenue to modify driver behaviorto better manage parking demand through financial incentives and to fund several transportation initiatives such as:the expanded Trolley system including North, Mid, and South trolleys as well as a Collins Link; the lntelligent Transportation System and Parking Management System; three additional Parking Garages in North and Middle Beach as well as on Washington Avenue; an enhancement to expand loading zone enforcement from the entertainment district to citywide to minimize double parking and promote smooth traffic flow; and an additional sanitation crew added during FY 2014115 to enhance parking lot cleanliness. 159 Adopting Final Budgets September 30, 2015 Page 13 . A Stormwater enhancement of $79,000 for two positions to enhance preventive maintenance program to the storm water infrastructure system. . A Sanitation enhancement of $132,000 to expand the "can on every corne/' initiative by adding 100 more litter cans across the city. ADOPTED FY 2015/16 INTERNAL SERVICE FUND BUDGETS lnternal Service Funds are comprised of the Central Services, Fleet Management, lnformation Technology, Risk Management, Medical & Dental and Property Management Divisions. The FY 2015116 lnternal Service Fund budget is $80.4 million, or 2.5o/o, more than FY 2014115. lnternal Service costs are completely allocated to the General Fund and Enterprise Fund departments, Special Revenue Funds, and the Risk Management Fund reimburses the General Fund for the cost of legal services. ADOPTED FY 2015/16 RESORT TAX FUND BUDGET The FY 2015116 Resort Tax budget is $78.6 million, an increase of $15.7 million or 25 percent from FY 2014115. This increase reflects the continued increase in resort tax revenues and the anticipated implementation of an additional 1 percent resort tax to pay for the Convention Center Renovation project. r New enhancement of $1OO,OOO for the July 4th event in North Beach. . Maintains $542,000 to support the initiative to provide better service at beachfront restrooms by adding attendants to the beachfront restrooms in Lummus Park and 21st street on weekends, holidays, and special events and $200,000 to deploy an interim lntelligent Transportation System (lTS) solution for major special events and high impact periods. . $36,609,000 (a $2.5 million increase) is provided to the General Fund to support new and continuing tourism eligible expenditures such as more proactive code enforcement, cleanliness index, park ranger program, homelessness at Lummus Park, hurricane and disaster preparation equipment, increased support for the Miami Beach Botanical Garden, public safety programs such as ocean rescue, police services on Lincoln Road, Ocean Drive/Lummus Park, Collins Avenue, Washington Avenue, ATV officers, Boardwalk security, special traffic enforcement and special event staffing; and fire rescue units in tourist and visitor areas. The funding also supports code compliance services to respond to evening entertainment areas and provides for a portion of the operational costs of the Tourism and Cultural Development. . Maintain $3 million for enhancing the outcomes from major events such as Memorial Day, including management, Goodwill Ambassadors. . The contribution to the Miami Beach Visitor and Convention Authority will increase from $2.4 million to $2.67 million based on the legislated funding formula. 160 Adopting Final Budgets September 30, 2015 Page 14 Maintain $350,000 is provided to continue the local Miami Beach marketing campaign, to be matched with funds from the Greater Miami Convention and Visitors Bureau, the Miami Beach Visitor and Convention Authority, and the CulturalArts Council. lncrease from $230,000 to $300,000 for enhanced holiday decorations. $200,000 contribution to help otfset expenses of the Miami Beach Bowl or equivalent event. The first of a 15 year annual contribution of $1 million to Mount Sinai Medical Center to fund the design and construction of a new Emergency Room facility. The contribution to the greater Miami Convention and Visitors Bureau remains flat at $5.4 million pending contract negotiations expected to result in a performance-based contract. Estimated debt issuance costs of $2.1 million associated with the planned Resort Tax revenue bonds for the redevelopment of the Miami Beach Convention Center. CONCLUSION ln summary, the adopted millage rate decrease of 0.1 1 14 mills meets the remaining millage rate goal to lower the millage rate to the level in FY 2009110 as property values have increased over time. ln addition, the adopted millage rate does not result in a property tax increase to median or average property owners that qualify for the homestead exemption and the Save Our Homes cap. The FY 2015116 Budget includes service level enhancements that address high priority needs of the City as identified through the strategic planning process and 2014 Community survey. The Administration recommends adoption of the attached Resolution which establishes final budgets for General, G.O. Debt Service, RDA Ad Valorem Taxes, Enterprise, and lnternal Service, and Special Revenue Funds for FY 2015116. Attachments JLM/JW ^AD\-. 161 r^f. -e.I^-^- --- City of Miomi Beoch, 1700 Convention Cenfer Drive, Miomi Beoch, Florido 33,l 39, www.miomibeochfl.gov Jimmy L. Moroles, City Monoger Iel 305473-701 0, Fox: 305-673-77 82 September 30, 20.l5 Honoroble Moyor Philip Levine ond Members of the City Commission: I om pleosed to tronsmit the Adopted Work Plon ond Operoting Budget for Fiscol Yeor (FY) 2O15/16, commencing on October 1,2015 ond ending on September 30, 2016, including the Adopted Work Plon, the Adopted Operoting Budget, the Adopted Copitol Budget, ond the ossocioted Copitol lmprovement Progrom for FY 2016/12 through FY 2019/20. The totol Adopted Generol Fund Operoting Budget is $300.3 million, which is $20.3 million or 7.2 percent more thon the FY 2014/15 odopted budget of $280.0 million. Further, Generol Fund reserve levels os of September 30, 2014 tor the I I percent emergency reserye ond the 6 percent contingency gool were o totol of $43.6 million. The I I percent Generol Fund emergency reserve requirementfor FY 2015/16, bosed on the odopted operoting budget (net of copitol tronsfers ond reserves) is $32.,l million. This results in $l,l.5 million (or 4.0 percent) ovoiloble for odditionol contingency, if there ore no odditionol chonges in fund bolonce, ond no odditionol tronsfers mode. Buogfi H'EHUIF*ITS . ', Ilh.' nr'2A16116 budggr- *rct il"t $t.2 mlllbn d rcda*tons/cfftciancles as rrmll, at 54,2 rt$bn of *tvlco qtholr,anwntt to addrccs priortfiec ln the Citlr's Snatqk Plan . lhc ado@ miltage rtltc dectwsc ol O.lll4 mitls m@tt the remoining millogc goal to bwer the millage nou 1o the level in fl 2OO4rllO as propefiy fhe adopted millage tste results in a slight prcpefi tax decrcdse to medion or average properfy owners that qualify for the homesleod exemprton and the Save Our Homes cap. The adopted propefi tax levy is onty $4 million mone in FY 2Ol5/t6 than ir was nine years ago in FY 2006/07. Overall posilion counl is still2.9 percent less than in FY 2006/07. 162 FY 20.l5/16 Adopted Work Plon ond Budget Messoge Poge A-2 The City's Adopted Operoting Budget in totol for FY 2015/16 is $576.7 million including the Generol Fund, Generol Obligotion Debt Service, Enterprise Funds, Speciol Revenue Funds ond Tronsfers to the Redevelopment District. This omount is net of lnternol Service Funds ond lnterfund Tronsfers. The City of Miomi Beoch hos experienced significont chonge in the lost severol yeors, due to chonges in property tox legislotion, property volues thot first increosed ond then declined, ond increosing pension plon contributions due to the downturn in the investment morket. ln FY 20]0/l I the city's opprooch to oddressing the then deficit of $32 million included o distribution of the shortfoll between toxpoyers ond employees. Toxpoyers hod their tox rote increosed from 5.9,l23 to 6.5025, on increose of 0.5902 mills. The gool of the Commission hos been to bring them bock to thot level os properiy volues increose over time. lt should be remembered thot betweenFY 2009/,l0 ond FY 20,l0/ll volues declined by $2.6 billion driving the need for on increose in the milloge. ln FY 20,l 1/12 the City took its first step in thot direction with o reduction in the milloge rote of 0.0486 mills. The milloge rote for FY 2012/13 reduced the milloge by on odditionol 0.,l062 mills. ln the FY 2013/14 budget, the milloge rote wos reduced 0.2314 mills ond in the FY 2014/15 budget the milloge rote wos reduced 0.0926 mills. Over four yeors, this reduction represented 81 percent of the gool to get bock to o milloge rote of 5.9123. The remoining gool for milloge reduction is 0.I I .l4. For FY 2015/16, the Administrotion proposes o totol combined milloge rote for the City of Miomi Beoch of 5.9.l23, which represents o decreose of 0..lI l4 mills. This omount meets the remoining millooe rote oool to lower the millooe rote to the level in FY 2009/10 os orooertu volues hove increosed over time. ln oddition, the odopted milloge rote does not result in o property tox increose to medion or overoge properV owners thot quolify for the homesteod exemption ond the Sove Our Homes coo. As shown in the toble below, in prior yeors the City of Miomi Beoch significontly reduced tox rotes os property volues increosed. Between FY 1999/00 ond FY 2009/10, totol combined City of Miomi Beoch property tox rotes declined opproximotely 2.8 mills. ln FY 2007/08 olone, the milloge rote declined by opproximotely I .8 mills, with onnuol sovings to the overoge homesteoded property of over $AOO. 163 FY 2015/16 Adopted Work Plon ond Budget Messoge Poge A-3 Property Volue, Milloge ond Property Tox Levy Toxoble Volues Chort Toxoble Property Volues {billions) Fino l,/Revise d Toxoble Vo lues (billions) Millose Rotes Tox Lew {in millions) Totol Combined Citywide Millooe Gnerol Fund,/RD A Millooe TotolTox Levy includlnq Debl Generol Fund Totol (including S. Pointe, ond Renercl & Renlocementl FY 1997 /98 $ 6.46 $ 6.40 9.2 tOO 7.4990 $ s7.4s $ 4678 FYt99B/99 $ o.sz $ 6.87 8 9830 7.4990 $ 6037 $ 44.66 FY t 999 /OO $ 766 $ 7.54 8 6980 7 4990 $ otzq $47 36 FY2000/o1 $ e.:z $ a.zz 8 5550 7.3990 $ 6e0B $ 49.75 FY2OO\ /O2 $ 940 $ e.22 I 3760 7 2990 $ zs sz $ stsz FY2002/03 $0.56 $0.41 8.3220 7.2990 $ 84 8t $ 6r os FY2003 /04 $209 $I .85 B.1730 7 2990 $ ss:q $ 68.12 FY2004/O5 $4.04 $3.86 8.1730 7.4250 $10.74 $ 79.3 8 FY2OOS/06 $745 $715 8.0230 7.4810 $35.91 $r .69 FY2006/07 s 2274 $ 22.26 7 6730 7.3740 $68 38 $40 3l FY2007 /OB $ 2685 $ zo tt 5.8970 5.6555 $50 42 $25 33 FY2008/09 $ 2690 $ 258e 5.8930 5 6555 $50 59 $25 94 FY2OO?/0 $ ztzo $1')24 5.9)23 5 6555 $38.70 $5.73 tY20 o/$ 22.10 $ 20.97 6 5025 6.2155 $36 55 $214 FY20 t/2 $ 2198 $ 20]s 6.4539 6. I 655 $34.7 5 a 1.29 FY20 2/3 $ 2307 $ 2202 6 3477 6 0909 $39 10 $4.32 FY20 3/4 $ 24.66 $ 23.64 6tt63 5.8634 $43 26 $7.41 FY20 4/5 $ 27tO $ 2627 6 0237 5.7942 $55 10 $27.76 FY2O s/6 $ :ozo 5 9123 5.7092 $72 39 $43.16 Further, olthough the City increosed the operoting tox rote by 0.56 mills in FY 201O/11, the City's odopted combined milloge rote is now the some os in FY 2009/10 ond rote remoins opproximotely 2.8 mills lower or 337", thon it wos in FY 1999/OO. As o result the odopted property tox levy is only $4 million more in FY 2015 16 thon it was in FY 2006 - TOTAL COMBINED MILLAGE rc.om 9.m@ &mm 7.mo 5.mm 5.mm 4.mm 3.mm 2.mm 1.00@ 0.mm o oc,o!0G 164 FY 20,l5/1 6 Adopted Work Plon ond Budget Messoge Poge A-4 Property Volues ond Tox Levy GE 240 = 220 t 200-9 180.il 160FE 140E 120E tooo 303 !o 202 E o10; o f019 '07 '08 '09 '10 '11 I Propefty Values '12 ',13 ',14 '15 '16 ---r-Tax Levy including Debt Todoy's Generol Fund Operoting Budget olso reflects greoter diversificotion of revenues since FY 2006/07. The Adopted Work Plon ond Budget includes $SO.O million in resort toxes to fund tourism-eligible expenditures ond o $8.4 million tronsfer of Porking Operotions Fund yeorend surplus. ln lorge port due to these olternotive sources, propefi lo,x revenues represent less than half (47.7 perceni) of the total funding for the General Fund budget, os compored to 59 percent in FY 2006/07, o significont reduction over the post severolyeors. Between FY 2OO7/08 ond FY 20]4/15, the Generol Fund obsorbed olmost $5] million in reductions (olmost 1Z percent of the $244 million FY 201 1/12 Generol Fund budget) ond eliminoted 295.5 full+ime ond I I port-time positions ocross oll funds. Combined with opproximotely $27.8 million in employee "give-bocks" ochieved between FY 2OO9/10 ond FY 2014/15, this represents 578.7 million in combined "aivebacks" and reduclions over I years. Goneral Fund FY 201/Ul5 Adopt3d E-Yoar Total S llmacts FT PT 3 lmDacts FT PT )ublic Safety (3.0 (s8 021 095'(71 0 10 )mEtions ($6.126.867',(66.0 (23.O \dministEtive Suomrl (60.o00''1.0 (s3.246.694',(33.4 10 :con & Cultural Dev (s1 235 426',17ll ($1 .619.642 Subtota $ (60.000 (20 (s20 249 724 1A5 4 (2'1 0' fransfers ($23.168.966 Tota 3 {60.000't2.o 3 (/(l.4't8-690 (1E5.4 (21.O' ntornal Seruice Funds ('19.0 (s3 a71 225 157 1 interoriso Funds ($3.65'1.021 (53.0 10.0 GRAND TOTAL REDUCTIONS $ (60.000 (21.0 S {50-9rl(l.935 r295-5 t11-O', rd Elrployeo Givobacks * rora REDUcrrors nno e rvEiffi (3't.900.000 ($27.833.360 $ {,t.950.000 t21.O t t7a.771.2s6 {295-5 Itt-o' The adopted FY 2Ol5'6 General Fund budget adds Sl.2 million in efficienqr reductions. 165 FY 20.l5/l 6 Adopted Work Plon ond Budget Messoge Poge A-5 Of note, the FY 2015/16 Generol Fund Budget is obout $62.6 million (26 percent) more thon the FY 2006/02 budget, despite pension contribution increoses of $29.3 million during the some period. lnflotion from October, 2006 through June, 201 5, o similor period, wos opproximotely 1 8 percent. This reflects o significont decreose ocross oll other expenditures during thot time period. At this point, onnuol contributions to the City's two pension plons olone represent more thon $SZ.l million (17 percent) of the totol Generol Fund budget. As o result, pension reform continues to be o high priority for the City. During FY 201 4/15 bolh pension boords voted to decreose the investment rote of return for their plons to more conservotive ossumptions over the next severol yeors. The impoct to the FY 2015/16 Budget from the onnuol required contribution (ARC) for both plons is $2.9 million. lt should be noted thot the ARC for both funds would hove been much less without the chonge in the investment rote ossumptions. The funded net position os o percentoge of totol pension liobility is 76 percent for the Fire ond Police plon ond 77 percent for the Generol Employees plon. As in post yeors, the Adopted Work Plon ond Budget wos developed through on intensive review process with our City Commission. Preliminory budget informotion wos provided ot the Commission Retreot on Moy 29'h ond in meetings with the Finonce ond Citywide Proiects Committee (FCWPC) on June 3rd, July I st, ond July 17th. Additionol discussions were held ot o Budget Workshop on September 16, 20,l5. GENERAT FUND CURRENT SERVICE tEVEt BUDGET DEVETOPMENT The Generol Fund is the primory source of funding for the moiority of City services. Revenues ore derived from od volorem property toxes, fronchise ond utility toxes, business license ond permit fees, revenue shoring from vorious stotewide toxes, user fees for services, fines, rents ond concession fees ond interest income. Additionolly, intergovernmentol revenues from Miomi-Dode County ond Resort Toxes contribute funding for tourist-reloted octivities provided by Generol Fund deportments. The firststep in preporing the FY 2O15/16 budgetwos on evoluotion of CurrentService Level (CSL) revenues ond expenditures. CSL revenues represent the omount of revenues thot would be generoted bosed on existing tox rote, fees ond chorges, CSL expenditures represent the expenditures ossocioted with providing the some level of service next yeor os in the current budget yeor. At the Strotegic Plonning Retreot on Moy 29, 2015, the Commission wos briefed regording the preliminory Generol Fund Current Service Level (CSL) budget. The CSL represents the cost of providing the some level of services os in the prior yeor ond serves os the boseline of funding for the budget process. 166 FY 20.l5/16 Adopted Work Plon ond Budget Messoge Poge A-6 Property toxes comprise 46% of the totol Generol Fund revenue ond ore o key driver of CSL revenues. The Property Approiser provided the preliminory 2015 property volues on June l, 20,l5. The Commission wos briefed regording the updoted CSL budget ot the June 3'd Finonce & Citywide Profects Committee. The preliminory 2015 property volues increosed 12.0%, which resulted in on increose of $,l4.6 million in Generol Fund property tox revenues. CSL revenues were estimoted to increose $tO.t million due to on $,l4.6 million increose in property tox revenues (ossumed keeping the operoting milloge rote the some), o $2.6 million increose in non-property tox revenues including on increose in the Resort Tox contribution of $.l.7 million for items odded in mid-yeor ond onnuolized items from FY 2014/15, ond o decreose in prioryeor seFoside (one-time revenue) of $,I.6 million. These figures do not ossume odditionol contributions from the Resort Tox or Porking Funds. CSL expenditures were estimoted to increose $12.5 million due to the following: . Higher pension contributions of $2.5 million os both pension boords voted to lower the investment rote ossumption . 0-2% merit poy: $2.2 million . Spike in leove poyouts from retirements, DROP, ond seporotions from the city: $l.2 million . Annuolized costs for items odded during FY 20.l4/15 such os $.l.64 million for the new londscoping controct, $534,000 for PC replocement from 5 to 3 yeors, $332,000 for body comero mointenonce, ond $249,000 for Energov permitting softwore mointenonce. . Annuolized costs for items odded mid-yeor including $802,000 for stoffing of 6 new lifeguord stonds, $285,000 for enhonced tuition reimbursement progrom, $283,000 for pre-employment bockground checks, $276,000 for license plote reoder on MocArthur Cousewoy, $204,000 for odditionol windstorm insuronce, $,l28,000 for security guords on 4n floor of Ciiy Holl ond ot Housing & Community Services, ond $105,000 for Executive Services Progrom. . Other miscelloneous cost increoses to CSL include $2.l0,000 for higher generol liobility legol fees ond workers comp legol fees bosed on trend, $160,000 for outside legol counsel for lobor negotiotions ond Wotson lslond, $152,000 for octuory ond pension ottorney for lobor negotiotions, ond $tS4,000 for electricity for new streetlights (21% increose in inventory) ond irrigotion costs from recently completed copitol proiects. . These expenditure figures do not ossume odditionol sovings from potentiol efficiencies or reductions. The preliminory CSL bosed on June 1 't property volues hod o revenue increose of $ I 6. 1 million ond on expenditure increose of $12.5 million for o net surplus of $3.6 million. At the June 3rd Finonce ond Citywide Prolects Committee meeting, direction wos given to ossume o milloge rote reduction of 0.0552, which represented holf of the remoining milloge rote gool. The milloge rote reduction reduced the proiected CSL surplus to $2.5 million. 167 FY 20,l5/l 6 Adopted Work Plon ond Budget Messoge Poge A-7 APPROACHES TO BAIANCE At theJuly 1u Finonce ond Citnvide Proiects Committee meeting, direction wos given regording the proposed Milloge Rote, enhoncements ond efficiencies for the Operoting Budget, ond chonges to the Copitol Budget. Theimpoctof thechongefromtheJune 1'tpreliminorytoxoblevolues ol 12.0 percenttotheJuly l't certified toxoble volues thot increosed 13.3 percent wos colculoted ot $,l.2 million. The Committee voted to reduce the combined milloge rote by the remoinder of the milloge rote gool, 0.,lI l4 mills, which reduced the surplus by $l,l million. The proposed milloge rote wos reduced lron 6.0237 to 5.9123 ond is now the some os it wos in FY 2009/10 prior to the milloge rote increose in FY 2010/11 of 0.5902. On July I st, the Committee occepted the recommended reductions/efficiencies except for the recommended reduction in City Clerk - Centrol Services lor $27,.l00 to eliminote printing of Commission meeting ogendos, Commission committee ogendos, Lond Use Boords ogendos, ond onnuol Budget documents. The updoted sovings from the recommended reductions/efficiencies totols $1,211,750. The Committee olso recommended occepting the proposed odditions ond service enhoncements with the following chonges listed below: . Remove $ .l00,000 for the Climote Action Plon in Building-Environmentol Monogement . Remove $,l50,000 for the North Beoch Morketing funds in Tourism, Culture, & Economic Development (funded by Resort Tox) . Offset 50 percent ($5S,OOO1 of the Assistont Director in Tourism, Culture, & Economic Development from Resort Tox funding . Offset the $220,000 cost of the Urbon Forestry Tree Preservotion Progrom in Public Works by budgeting the fee revenue ossocioted with the new progrom . Add $200,000 for OuFo[Region Doto Center in lnformotion Technology . Add $500,000 in o reserve to offset the future cost of the Public Sofeiy Rodio proiect in Emergency Monogeme nt / 9-1 -1 Following the July 1't meeting, on odditionol sovings of $,I30,000 wos identified in the Currenl Service Level Budget from funding the Fire Boot in FY 2014/'15 insteod of FY 2015/16. At the July 17k Finonce ond Citpvide Proiects Committee meeting, the following two chonges were mode to the list of proposed odditions ond service enhoncements: . Add $45,000 for one of two requested positions for the City Attorney Fellowship Progrom . Reduce Porking's Looding Zone Progrom request from I 2 to 8 positions (Porking Fund) 168 FY 20,l5/1 6 Adopted Work Plon ond Budget Messoge Poge A-8 The updoted recommended enhoncements totoled $3,869,000, which wos offset by $530,000 from odditionol Resort Tox contribution for tourism-eligible enhoncements. The remoinder of the surplus totoling $102,750 wos ploced into Generol Fund-Contingency in Citywide. After the July 17th Finonce Committee meeting, on enhoncement wos odded consisting of three Code Complionce Officers in the Entertoinment District to ougment the existing two positions odded during FY 2014/15. These positions would be ossigned olong Oceon Drive, Espofrolo Woy, ond the southern portion of Collins Avenue ond Woshington Ave. ln the lost four yeors, twenty{hree odditionol ordinonces hove been implemented ond coseloods hove olmost doubled since FY 2010/1,l . The cost of this enhoncement is offset by odditionol contribution from Resort Tox. At the first public heoring on the FY 2015/16 budget on September ,l0,2015, the Commission opproved turo odditionol enhoncements os follows: . Add $55,000 to convert two port-time positions to full+ime positions in the Homeless Outreoch progrom for Lummus Pork odded in FY 201 4/15. . Add $25,000 in support for the Miomi-Dode Goy & Lesbion Chomber of Commerce consisfent with Ciry support for three other locol chombers of commerce. The $55,000 for the Homeless progrom positions wos offset by Resort Tox revenue ond the $25,000 for the Miomi-Dode Goy & Lesbion Chomber of Commerce wos offset by $25,OOO of the odditionol $102,750 budgeted in Generol Fund - Contingencies. The following poge shows the vorious chonges mode through the budget process. 169 FY 2015/16 Adopted Work Poge A-9 Plon ond Budget Messoge Preliminory CSL surplus -bosed on June I st volues Milloge rote reduction -50% of remoining milloge rote gool 3,600,000 (l ,.l00,000) Updoted CSL surplus Recommended enhoncements Addltionol Resort Tox contribution Recom mended reductions/efficiencies Chonge in toxoble volues -bosed on July I st volues Additlonol Milloge rote reduction -Remoinder of milloge rote gool Reserve for Public Sofety Rodio proiect Sovings to CSL from Fire Boot Additionol Contingency After Julv lTth Finonce Committee Code Officers for Entertoinment District Additionol Resort Tox Contribution At First Public Heoring on September l1th Conversion of positions for Homeless Progrom Additionol Resort Tox Contribution Support to Miomi-Dode Goy & Lesbion Chomber of Commerce Reduction in Generol Fund Contingency Totol surplus/(shortfoll) 2,5OO,OOO (4,',| 09,000) 770,000 1 ,211 ,750 '1,200,000 (l ,l 00,000) (500,000) .l30,000 1102,75O]l (240,000) 240,000 (55,000) 55,000 (25,000) 25,000 170 FY 20,l5/,l6 Adopted Work Plon ond Budget Messoge Poge A-10 Efficiencies ond Reductions City deportments continue to be prooctive in identifying odditionol efficiencies to their current service level progroms ond services. As with the preporotion of budgets for the lost eight yeors, deportments ore continuing to onolyze their budget from two perspectives: 1) reviewing for potentiol efficiencies, reorgonizotions to reduce cost, etc., without odversely impocting services; ond 2) performing o modified zero-bosed onolysis of eoch deportment budget, identifying potentiol service reduction olternotives versus core functions. As port of the FY 2015/16 budget process, the Finonce & Citywide Proiects Committee requested thot deportments submit lists of potentiol reductions/efficiencies totoling 5 percent of their FY 2014/15 budgets. The lists were reviewed extensively by the City Monoger, Executive Teom, Deportment Directors, ond the Budget Office. At their July 1't meeting, the Finonce & Citywide Proiects Committee occepied $.l,2,l1,750 of the recommended reductions/efficiencies recommended by stoff. ln oddition to the summory below, o list of the odopted reductions/efficiencies con be found in Attochment A. . Move the elevotor section from Building to Public Works: The elevotor section currently operotes from the Building Deportment ond hos onnuol offsetting revenue. lt hos been determined thot this revenue is not restricted for building enforcement purposes. As such, the function ond offsetting revenue con be moved to Public Works ond result in o net sovings to the Generol Fund of $658,000. . Eliminote the Ethics Hotline: This reduction eliminotes the Ethics Hotline funded during FY 2013/14,but not implemented. The recommended opprooch is to leveroge the existing FBI corruption hotline which is currently odvertised on the City's website ond MBry. The FBI corruption hotline is preferoble to on internol ethics hotline becouse it offers o potentiol whistleblower greoter protection from on independent low enforcement ogency. The City currently hos o police officer ossigned to the FBI public corruption investigotion tosk force. ln oddition, the Miomi-Dode County Office of the lnspector Generol hos o "Report Froud" phone number ot 305-529-2593. . Eliminote the Green Teom: This $l,l5,000 reduction eliminotes the "Green Teom" funded in FY 20.l3/14, but not implemented. These positions were plonned to increose the City's monitoring of woste runoff pending the City obtoining some level of iurisdiction thot ensured the enforcement outhority over greose trops by a2-20,l5. DERM hos not relinquished the outhority for the City to hove full iurisdiction over greose trop investigotions ond penolties so these positions were never filled. . Reduce lnvestment Advisory Services fees: Due to o newly negotioted controct, the custodiol fees ond orbitroge costs for the lnvestment Advisory Services fee con be reduced $202,000 without impocting service levels. 171 FY 20.l5/.l6 Adopted Work Plon ond Budget Messoge Poge A-1 1 Reduce medicol shelter beds budget: ln the post, clients with medicol impoirments hove been ploced in o medicol shelter bed insteod of o normol shelter bed, resulting in odditionol costs. Shelters hove become increosingly ADA compliont resulting in less of o need for speciolized medicol beds. The recommended reduction ol $27,450 is not onticipoted to hove o negotive effect os the remoining funding in the progrom budget is expected to meet the onticipoted need for medicol beds. This need is onticipoted to continue to decreose over time. Reduce criminol bockground checks budget: The recommended reduction hos no impoct due to new criminol bockground check controct costs being $4,800 less thon prior controct. Accelerote olonned imolementotion of Virtuol Desktoo lnfrostructure: The imolementotion of Virtuol Desktop lnfrostructure wos plonned for o limited implementotion in FY 20,l6/17 ond this reduction of $,l00,000 occelerotes the rollout to FY 20.l 5/16. Select users thot ore scheduled to hove their PC's reploced will use Dell Virtuol Desktop lnfrostructure insteod of o troditionol PC. There moy be initiol chollenges ond lessons leorned os port of the initiol rollout, but there is potentiol for substontiol long{erm sovings. Estimoted onticipoted sovings from Telecom Audit: A telecom oudit hos been initioted during FY 201 4/15 lhot is onticipoted to result in sovings from billing errors, etc. The lost oudit wos performed 1997. The oudit is onticipoted to hove o minimol impoct to users. lT stoff is impocted os there is on omount of effort ond lobor thot is involved. The more effort thot lT ond the selected vendor put forth, the more likely thot sovings ore found. However, the lobor committed to doing this reduces the work copocity for other prolects. The recommended reduction of $50,000 reflects o reolistic sovings torget thot could increose to os much os $25o,ooo. Eliminote distribution of solicitotion documents vio CD's: The City Code requires thot os port of the bid solicitotion process, bidders ore required to poy $20 per CD to pick up copies of the construction documents. This $,l,500 reduction will result in distribution of construction documents vio o File Tronsfer Protocol (FTP) or the Public Purchose Website. This reduction would require o chonge to the City Code. Eliminote newspoper odvertisements for bids under $300.000: The City Code requires thot bids sholl be published once in ot leost one officiol newspoper hoving generol distribution in the city ond ot leost five working doys preceding the lost doy set for the receipt of proposols. Most bidders todoy, rother thon relying on newspoper odvertisements, rely on electronic bid notificotion systems. The City uses one such system, Public Purchose, to odvertise oll competitive solicitotions. Florido stotutes only require thot bids for construction over $300,000 be odvertised. This reduction would require o chonge to the City Code. 172 FY 20,l5/,l6 Adopted Work Plon ond Budget Messoge Poge A-'12 Service Enhoncements The odopted enhoncements found in Attochment B reflect services thot our residents ond businesses identified os importont to them during the 20,l4 Community Sotisfoction Survey or priorities identified ot the City Commission retreot on Moy 29, 201 5. Highlights of the $4.2 million of enhoncements funded ocross oll funds to oddress priorities in the City's Strotegic Plon include: . lmprove troffic ond mobility by odding on odditionol police motor unit ond exponding the Freight Looding Zone progrom throughout the ciiy . lncreose public sofety by supporting the Stote Attorney's Humon Trofficking Tosk Force ond implementing o License Plote Reoder system on MocArthur Cousewoy . lmprove policing culture by reimbursing ten police recruits to complete Police Acodemy troining insteod of only hiring certified officers with previous experience . Enhonce beoutificotion by creoting on Urbon Forestry Tree Preservotion progrom, developing o GIS tree inventoy, ond porticipoting in the Foirchild Botonicol Gordens Million Orchid prolect . Enhonce progromming for vorious recreotion progroms os follows: odditionol inclusionory oides to meet the demond for speciol need children to be enrolled in summer comps; funding for o second seoson of Little Leogue Boseboll; exponsion of elderly progromming from North Shore Pork Youth Center to two odditionol locotions in centrol ond south beoch; on increose in yeor-round level of service citywide for youth progromming with new educotionol ond culturol progroms ond ot odditionol sites; the oddition of Noutilus Middle School os on odditionol site for teen progromming; the enhoncemeni of speciol community events such os Winter Wonderlond ond Cupid's Cornivol with odditionol rides ond octivities; meeting increosing demond for elderly progroms ond events by increosing funding for the Senior Enhoncement Tronsportotion Service progrom. . Preserve infrostructure by increosing poy-os-you€o funding from the Generol Fund for copitol projects from $ I .4 million to $2.4 million . lncreose response times for oddressing high priority citizen issues/comploints by odding two port-time positions to the newly creoted Ropid Response Teom . Enhonce o more prooctive code complionce environment by odding three Code Complionce Officers in the Entertoinment District to ougment the existing two positions odded in FY 20.I 4/15. . Enhonce opportunities for persons with disobilities by portiolly funding the poro-rowing progrom ot the Shone Rowing Center i Expond the "Con on Every Corner" initiotive by on odditionol ,l00 locotions 173 FY 2015/16 Adopted Work Plon ond Budget Messoge Poge A-13 . Moinioin plon review turnoround time within current torgets (Residentiol - 7 doys; Commerciol - 21 doys) while obsorbing the stoffing impoct of ossigning building inspectors to the Convention Center proiect . Enhonce preventive mointenonce of storm woter ond sewer infrostructure . lmprove disoster preporedness by bocking up City technology doto,/systems in on out-of- region doto center . Enhonce homeless outreoch in Lummus Pork by converting two port-time positions to full+ime positions thot were odded in FY 2014/ 15 . Add support for the Miomi-Dode Goy & Lesbion Chomber of Commerce consistent with City support for three other locol chombers of commerce . Severol odministrotive enhoncements including: enhonce orgonizotionol copocity by creoting o Fellowship progrom to hire entryJevel city ottorneys; streomline records monogement octivities ocross the orgonizotion; improve code complionce oversight; improve quolity of 9l I colls using off-site certified reviewers; improve oversight of bond issuonce ond debt monogement function; increose oversight of HUD funded copitol .octivities; meet increosing demond for odministrotive support of the City's five Lond Development Review Boords; expedite procurements octivity; reduce bocklog of engineering prolects; oddress 21 percent increose in street light inventory; provide odequote oversight of controcted grounds mointenonce services; meet increosing demond for GIS progromming ond support; enhonce oversight of tourism, culturol, ond economic development progroms; enhonce copocity to develop ond mointoin mobile opplicotions ond web-bosed opplicotions Addltionol enhoncements odded mid-yeor during FY 20,l 4/15 include the following: . lmprove troffic ond mobllity by exponding the City's trolley system from the existing North Beoch Loop to include o Mid Beoch Loop, o South Beoch Loop, ond o Collins Link . lncreose public sofety by odding six new lifeguord stonds to the existing29locotions . Enhonce porking lot cleonliness by odding o roving crew to oddress illegol dumping, litter, ond other deficiencies . lmprove educotionol excellence by developing on internship progrom with Florido lnternotionol University for 18-24 interns onnuolly to goin reolJife, honds-on work experience A list of potentiol odditionol enhoncements requested by deportments but not recommended by me in the Adopted Budget con be found in Attochment C. While mony of these potentiol enhoncements ore importont ond should be considered over time, they were considered o lower priority thon those included in the FY 2015/16 Adopted Budget ond Work Plon. 174 FY 20,l5/l 6 Adopted Work Plon ond Budget Messoge Poge A-14 lncreosed Use of Resort Toxes to offsel Tourism Eligible Expenditures in the Generol Fund Bosed on on outside consultont study conducted in 20'10 using tY 2007/08 octuol costs, it is estimoted thot there ore opproximotely $SO.S million in eligible resort tox expenditures in the Generol Fund. However, $8.8 million of these costs were estimoted os being oddressed by dedicoted funding pursuont to the Miomi-Dode County Convention Development Tox interlocol ogreement, thereby resulting in approximotely $41.7 million in eligible Resort Tox expenses in the GenerolFund. These include expenses ossocioted with police officers serving entertoinment oreos; o portion of fire rescue services from Fire Stotions 1 & 2; oceon rescue services; enhonced code complionce provided to respond to evening entertoinment oreo violotions ond stoffing of speciol events; other code complionce octivities in tourism ond visitor reloted focilities/oreos; Tourism ond Culture Deportment ond the Culturol Arts Council; museums ond theoters (Gorden Center, Boss Museum, ond Colony Theoter); golf courses (net of revenues); Memoriol Doy ond other speciol event costs; homeless services; luly 4'h; Visitor Center funding; holidoy llghts; Jewish Museum; Miomi Design Preservotion Leogue (MDPL); Oronge Bowl; monuments; etc. The totol odopted Resort Tox Fund tronsfer to the Generol Fund for FY 20,l 5/16 is opproximotely $36.6 million. ln 20.l4, the City of Miomi Beoch conducted its fifth set of comprehensive stotisticolly volid community sotisfoction surveys. The Community Survey wos designed to receive both resident ond business input on quolity of life, city services, ond toxes; ond to identify key drivers for improvement. The 20,l4 survey built on previous surveys in thot mony questions osked in previous studies were included in the 20,l4 study so comporisons could be exomined over time. Residents ond business owners were brutolly honest in their rotings; nonetheless 4 out of 5 residents ond business owners would recommend the City of Miomi Beoch, ond Residents rote the quolity of life os very high. Responses to mony questions in the survey ore highly correloted, i.e., if troffic is on issue (os it is to o moiority of residents), then rotings of other City services ore influenced. Residentiol rotings for quolity of life ond City services were down from 20,l2, olthough still high ol77 percent, with the percentoge of residents who would recommend Miomi Beoch os o ploce to live trending up ot 81 percent. Unlike the residentiol survey, the overoll snopshot of business rotings of the City were, on the whole, not significontly different from the 20.l2 rotings, with o substontiol number of services received positive rotings ronging fromTO percent to 95 percent of businesses. 175 FY 2015/16 Adopted Work Plon ond Budget Messoge Poge A-15 These results indicote generol feedbock ond input from our residents ond businesses on their level of sotisfoction with the services we provide, os well os refined priority oreos for the orgonizotion to focus on, ond octionoble recommendotions for improvements to our services. Detoiled survey results ore ovoiloble on the City's website ond the FY 2015/16 Citywide Work Plon con be found in Attochment E. PREl,llER. NEIGHBORHOODS Beouty of Neighborhoods Enhoncing the beouty ond vibroncy of urbon ond residentiol neighborhoods is o Key lntended Outcome in the City's strotegic plon. The FY 2015/16 Budget includes funding to provide odequote oversight of the Urbon Forestry Tree Preservotion Progrom ond enforcement of the Tree Preservotion Ordinonce No. 20l 4-3904 thot wos opproved by Commission on November ,l9, 2O14by odding three positions in Public Works. The new positions would enhonce the City's obility to enforce the tenonts of the Tree Preservotion Ordinonce, provide Tree Work Permits more expeditiously, ond improve comploint ond inspection request turnoround times. Under the new Ordinonce, the City will be enocting its own tree preservotion progrom ond be 100 percent responsible for issuing ond enforcing tree work permits ond tree reloted code violotions os delegoted by Miomi Dode County. Also included ore one-time funds to creote o GIS Tree lnventory to ollow for the proper monitoring, mointenonce, ond enhoncement of the citywide urbon forest. The citywide GIS inventory would enhonce the City's obility to properly schedule ond trock tree/polm mointenonce, monitor problemotic trees, ond ensure replocement of tree conopy in oreos with insufficient conopy coveroge. Code Enforcement The FY 2015/16 Budget includes funding to enhonce o more prooctive code complionce environment by odding three Code Complionce Officers in the Entertoinment District to ougment the existing two positions odded in FY 20.l 4/15. These positions would be ossigned olong Oceon Drive, Espofiolo Woy, ond the southern portion of Collins Avenue ond Woshington Ave. ln the lost four yeors, tweniy-three odditionol ordinonces hove been implemented ond coseloods hove olmost doubled since FY 2010/11. This enhoncement helps oddress the declining rotings regording the oppropriote level of code enforcement in the 20.l4 Community Survey 162% conpored to 71% in 2005). 176 FY 20,l5/.l6 Adopted Work Plon ond Budget Messoge Poge A-16 Culturol ond Recreotionol Activities Severol enhoncements ore included in the FY 2015/16 Budgei thot support the City's KIO for enhoncing culturol ond recreotionol octivities. Progromming for vorious recreotion progroms will be increosed os follows: odditionol inclusionory oides to meet the demond for speciol need children to be enrolled in summer comps; funding for the second seoson of Little Leogue Boseboll; exponsion of elderly progromming from North Shore Pork Youth Center to two odditionol locotions in centrol ond south beoch; funds to increose the yeor-round level of service citywide for youth progromming with new educotionol ond culturol progroms ond ot odditionol sites; funding to odd Noutilus Middle School os on odditionol site for teen progromming; odditionol funds to enhonce speciol community events such os Winter Wonderlond ond Cupid's Cornivol with odditionol rides ond octivities; ond more funding to meet the increosing demond for elderly progroms ond events by increosing funding for the Senior En honcement Tronsportotion Service progro m. Opportunities for persons with disobilities will be enhonced through the City's contribution for the poro-rowing progrom ot the Shone Rowing Center. The Miomi Beoch Wotersports Center is o not- for-profit orgonizotion thot runs o premier rowing club with over 250 members, mostly oll Miomi Beoch residents. The Center hos recently undertoken o poro-rowing progrom which teoches people with disobilities how to row ond provides o troining focility for competitive poro-rowers ond hove been designoted os Porolympic Sport Club by the US Olympic Committee. The City will olso porticipote in the Foirchild Botonicol Gordens Million Orchid Prolect os one of severol municipolities thot would begin to receive os mony os ,l50 orchids throughout the next 3 yeors storting os soon os October,20l5. Foirchild Tropicol Gordens proposes to introduce millions of notive orchids into the South Florido within the next five yeors. Cleonliness Cleonliness of our City continues to be o priority for our residents ond businesses. The City uses o quontitotive index to ossess the impoct of these efforts ond results hove shown significont overoll improvement in the lost nine yeors. ln FY 20,l3/14,87.2 percent of public oreos citywide were roted os cleon or very cleon compored to 65.2 percent in FY 2005/06. The City's strotegic plon includes key intended outcomes (KlOs) to improve cleonliness in high troffic oreos ond city beoches, ond to moximize deployment of trosh cons citylvide. The FY 2015/16 budget includes funding to expond the "con on every corner" initiotive by odding ,l00 more trosh cons ocross the City. During FY 20.l 4/15, the City Commission opproved enhoncing porking lot cleonliness by odding o roving crew to oddress illegol dumping, litter, ond other deficiencies. The FY 2014/15 Budget included severol enhoncements thot support cleonliness including: the creotion of two new indexes to improve the cleonliness ond oppeoronce of city porking goroges ond public restrooms; severol initiotives to improve the cleonliness ond oppeoronce of the City's 177 FY 20.l5/16 Adopted Work Plon ond Budget Messoge Poge A-17 porking goroges; ond the oddition of ottendonts ot beochfront restrooms in Lummus Pork ond 2,l" Street on weekends, holidoys, ond speciol events. Pedestrion Sofetv The 20,l4 Community Survey showed o decreose in the odequocy of street lighting from 78 percent in 2009 to 65 percent in 20,l4. ln oddition, elevoting wolkobility ond pedestrion sofety is o key intended outcome in the City's strotegic plon. The FY 20,l5/.l6 Budgetwill oddress the 2l percent increose in street light inventory from recently completed copitol proiects by odding two positions in Public Works. These positions will conduct preventive mointenonce, repoirs, ond rebuilding for londscope up-lighting. The FY 2O1 5/16 Copitol Budget includes Renewol & Replocement funding of $300,000 for o new Street Lighting progrom for neighborhoods os well os $333,000 eoch from Quolity of Life funds in North, Mid, ond South Beoch for touristeligible oreos. The new progrom will increose pedestrion sofety by implementing Lighting ond Crime Prevention Through Environmentol (CPTED) improvements throughout the city. INFRASTRUCTURE Storm Droinooe The 2014 Community Survey identified storm droinoge os o key issue for residents. Only 25% of residents roted storm droinoge os excellent or good compored to 2009 144%l ond 2012 137%1. lnterestingly, neorly nine out of ten residents ,37%) cloimed they would support the City spending tox dollors to oddress rising seo levels. During FY 20,l3/14, two new committees were formed to oddress the City's current ond future droinoge issues, the Moyor's Blue Ribbon Ponel on Flooding ond Seo Rise ond the Flooding Mitigotion Committee. The City's strotegic plon includes o KIO to ensure relioble stormwoter monogement ond resiliency ogoinst flooding through short ond long-term solutions oddressing seo-level rise. The FY 2014/15 Budget included funding for severol positions to implement dozens of plonned stormwoter proiects over the next five yeors to help convert the city's droinoge system from o grovity-bosed system to o pumped system. The FY 2015/16 Budget includes two positions in the Public Works deportment to enhonce preventive mointenonce to the stormwoter infrostructure system thot would focus on mointenonce of the storm sewer moins. During FY 20,l 4/15, the City entered into o portnership with Horvord University on o multi-yeor study of odoptive strotegies for the impocts of seo level rise for coostol communities in South Florido. ln oddition, the City of Miomi Beoch hosted the 6'h Annuol Southeost Florido Climote Leodership Summit in October, 2014. 178 FY 2015/1 6 Adopted Work Plon ond Budget Messoge Poge A-18 The City hos completed construction of 3 out of 4 pump stotions in the West Avenue neighborhood ond upgroded oll 3 pump stotions in the Sunset Horbour neighborhood. Ihe City olso completed the pump stotion on Crespi Boulevord ond upgroded the design of the Venetion lslonds, Lower North Boy Rood os well os Polm ond Hibiscus neighborhood proiects. The Stormwoter Revenue Bond Series 2015, will be the first of three $.l00 million bond issues to continue to oddress high priority stormwoter copitol prolects. Troffic Flow ln the 20,l4 Community Survey, troffic wos identified os the number one problem for residents os only 16% roted troffic flow os excellent or good. Positive rotings for troffic flow hove been declining since 2005, when 36% of residents felt troffic flow os positive. The City's strotegic plon includes o KIO to ensure comprehensive mobility oddressing oll modes throughout the city. Ihe FY 2015/16 Budget includes on odditionol motor unit in Police, which results in o 50 percent increose in stoffing to oddress troffic issues, improve enforcement, ond provide odditionol visibility. To oddress troffic chollenges resulting from commerciol looding the FY 2015/16 Budget includes on exponded looding zone enforcement progrom in Porking to reduce obstruction of troffic (double porking) on moior thoroughfores. The scope of the progrom exponds enforcement from the entertoinment district to oll oreos of the city. lncreosing mobllity through trolleys or locol bus circulotors hos been o priority over the lost two yeors. ln the 20,l4 Community Survey, neorly holf of residents ,49%l cloimed they would ride trolleys or locol bus circulotors. During FY 2014/15, the City Commission voted to expond the City's trolley system from the existing North Beoch Loop to include o Mid Beoch Loop, o South Beoch Loop, ond o Collins Link. The FY 2014/15 Budget included funding to promote o bicycle sofety compoign to help reduce occidents in the community. An odditionol initiotive for bicycle sofety included in the FY 2015/16 Copitol Budget is to point severol existing ond plonned bicycle lones green to help seporote bike ond outo troffic on busy streets. The FY 2014/15 Budget included funding for deployment of on interim lntelligent Tronsportotion System (lTS) solution for moior speciol events ond high impoct periods. The long+erm ITS solution is proiected to cost opproximotely $14.5 million, of which o $4.5 million motch is included in the FY 2015/16 Copitol Budget ond $,l0 million hos been requested through o Tronsportotion lnvestment Generoting Economic Recovery flGER) gront from the U.S. Deportment of Tronsportotion. Build ond Mointoin PrioriDr lnfrostructure Two of the lowest roted issues for residents in the 2014 Conmunity Survey were rood conditions (32 percent sotisfoction) ond sidewolk conditions (50 percent sotisfoction). The FY 2015/16 Copitol 179 FY 20.l5/16 Adopted Work Plon ond Budget Messoge Poge A-19 Budget includes Renewol & Replocement funding of $500,000 for o new Povement ond Sidewolk progrom. The FY 2015/16 Budget includes on increose in Generol Fund Poy-As-You-Go (PAYGO) funding for copitol prolects from $.l.4 million to $2.4 million. The odditionol funding will help oddress pressing needs such os: neighborhood prolect costs thot hove increosed over time; stormwoter prolects thot ore generoting o need for obove ground funds; replocement of $,I.7 million in PTP funding reprogrommed for the enhonced trolley system; pork proiects in non-tourist oreos; ond seowoll proiects. ln oddition, two positions will be odded in the Public Works deportment to enhonce preventive mointenonce to the sewer infrostructure system thot would focus on mointenonce of the sewer moins. PUBTIC SAFETY Accountobilitv The FY 2015/16 Budget includes 50 odditionol body-worn comeros funded from Federol ond Stote Confiscoted Trust funds. The Body-Worn Comero progrom in the Police Deportment wos initioted in FY 201 4/15 with the ocquisition of .l00 comeros to improve tronsporency ond occountobiliV by recording police officers' interoctions with the public. Body-worn comeros ore on importont tool thot will be on integroted port of the City's problem-solving ond community-engogement strotegy, helping to increose both trust ond communicotion between the police ond the community. Additionol body comeros ore onticipoted to be purchosed ond put on the street over the next three yeors. The City hos olso opplied for o U.S. Deportment of Justice gront for 264 body-worn comeros ond ossocioted costs. Public Sofetv To support the KIO in the strotegic plon to enhonce public sofety ond emergency preporedness, during FY 20.l 4/15 the City Commission opproved odding six new lifeguord stonds to the existing 29 ot the following locotions: . Between 64th ond 53rd Streets . Between 30th ond 2lst Streets . Belween 46th ond 4l st Streets . Between 53rd ond 46th Streets . Between 69th ond 64th Streets . 4th Street Beoch The FY 2015/16 Budget odds o License Plote Reoder (LPR) system on MocArthur Cousewoy. The City hos successfully used police vehicles equipped with LPR system for the post two yeors to 180 FY 20,l5/16 Adopted Work Plon ond Budget Messoge Poge A-20 recover siolen vehicles ond to moke mony felony ond misdemeonor orrests. This enhoncement would complement the fixed LPR system thot is onticipoted to be instolled on the Venetion Cousewoy during FY 20,I 4/15. A Detective position will olso be ossigned to porticipote on the Stote Attorney's Office's Humon Trofficking Tosk Force. Miomi Beoch hos experienced o significont number of crimes ossocioted with humon trofficking ond porticipotion on the tosk force would ollow MBPD occess to odditionol resources to oddress this growing problem in the city, stote, ond region. Policino Culture The FY 2015/16 Budget includes on enhoncement thot ollows the Police deportment the obility to occess o pool of quolified condidotes thot could be hired os police officers by reimbursing ten police recruits to complete Police Acodemy troining supervised by o Troining Advisor. For the lost 15 yeors, MBPD hos only hired certified police officers with previous experience or ocodemy certificotion, which hos resulted in limiting hiring to oppliconts thot hove been iroined with vorying level of quolity ond/or tronsferred from other iurisdictions. This enhoncement wos recommended by o study conducted by the Police Executive Reseorch Council in 2014 ond supports the KIO in the City's strotegic plon to reform policing culture with customer service emphosis. EDUCATION EXCETLENCE Achieve Educotionol Excellence During FY 20.l4/15 the City Commission opproved the development of on internship progrom with Florido lnternotionol University for 18-24 interns onnuolly to goin reol-life, hondson work experience while contributing their tolents on beholf of the community. MANAGEMENT & SERVICE DETIVERY Gluoliw Customer Service The City's strotegic plon includes o KIO to build ond enhonce o universol culture of high quolity customer service, The FY 2015/16 Budget includes on enhoncement to increose response time for high priority citizen comploints regording o wide ronge of issues by odding two port-time positions to the Ropid Response Teom creoted during FY 2014/15. These positions would complement two existing full+ime positions to work in teoms of two to expeditiously oddress citizen issues/comploints. An odditionol enhoncement will improve the quolity of 9l I colls by controcting out the review of recorded colls to ensure thot proper protocol ond procedures ore being odhered to by 91i operotions. Utilizing off-site certified reviewers to evoluote recorded 9l I colls is onticipoted to provide more occurote ond importiol review of 9l I operotor performonce. 181 FY 20,l5/l 6 Adopted Work Plon ond Budget Messoge Poge A-21 Building /Development-Reloled Processes The FY 2015/16 Budget includes on enhoncement consistent with the KIO in the strotegic plon to improve building/development review services. One position ond three controctuol positions for mechonicol, electricol, ond plumbing inspections ot the Convention Center ore included to mointoin plon review turnoround time within current torgets (Residentiol - 7 doys; Commerciol - 21 doys) while obsorbing the stoffing impoct of ossigning building inspectors to the Convention Center proiect. The moiority of the stoffing costs ore onticipoted to be offset by odditionol revenue from the Convention Center proiect. Finonciol TronsoorencY During FY 2014/15, the City lounched on interoctive finonciol tronsporency portol, which provides the public with unprecedented occess to fiscol informotion. The portol provides online occess to the budget ond disploys multiple views of current ond historic revenue ond expenses down to the fund, deportment, ond oblect code level. This powerful visuolizotion softwore tronsforms volumes of row doto into octionoble insight ond informotion, enobling better onolysis ond understonding of the City's budget ond how toxpoyer money is ollocoted. To occess the plotform, visit: h ttos : / /m i o m i beoc h f I . ooe n o ov. com,/tro n soo ren cv Sirenqthen lnterno! Controls Severol odministrotive enhoncements thot support the KIO in the strotegic plon to strengthen internol controls ore included in the FY 2015/16 Budget such os: . lmprove disoster preporedness by bocking up City technology doto/systems in on outof-region doto center. . Address recent oudit findings by increosing oversight of HUD funded copitol octivities, perform inspections of work sites, ensure Federol Dovis-Bocon complionce, ond ensure the integrity of copitol proiect costs by odding o position in Housing & Community Services. . lmprove oversight of bond issuonce ond monitoring function by odding o Deputy Finonce Director position. This function is onticipoted to grow significontly given the number ond complexity of onticipoted bond issues. . Enhonce deportment oversight ond succession plonning by odding on Assistont Director position in the Tourism, Culture, & Economic Development deportment. o lmprove coordinotion ond oversight of deportmentol occreditotion, stoff certificotion, troining, equipment mointenonce, ond customer service levels by odding on odministrotor position in the Code Complionce deportment. 182 FY 20,l5/1 6 Adopted Work Plon ond Budget Messoge Poge A-22 . Provide odequote oversight of controcted grounds mointenonce services by odding two positions thot would ensure thot the City receives the highest quolity work product from controctors in the shortest omount of time. o lmprove procurement coordinotion, controct monogement, ond complionce with procurement guidelines by odding o position in the lT deportment. Streomline Deliverlr of Services Severol odministrotive enhoncements thot support the KIO in the strotegic plon to streomline the delivery of services through oll deportments ore included in the FY 2015/16 Budget such os: . Streomline the process of record storoge, complionce, mointenonce, ond destruction of public records orgonizotion-wide by odding o position in the City Clerk's Office. . Enhonce orgonizotionol copocity by creoting o Fellowship Progrom to provide opportunities for new ottorneys to goin procticol experience in the public sector. . Meet increosing demond for GIS progromming ond support by odding o Senior GIS Anolyst position in the Public Works deportment. . Expedite procurements for City deportments by odding two positions in the Procurement deportment. . Reduce the bocklog of proiects ond enhonce the obility to perform in-house engineering by odding on engineering position in the Public Works deportment. . Develop ond mointoin mobile opplicotions ond web-bosed opplicotions by odding o position in the lT deportment. . Meet increosing demond for odministrotive support of the City's five Lond Development Review Boords by odding on odministrotive position in the Plonning deportment. ln FY 20,l 4/15, the City begon the Munis/Energov technology proiect to reploce its existing ERP ond permitting ond licensing system over the next three yeors. This key proiect includes funding for o full business process review (BPR) of oll functionol oreos of the new systems prior to the commencement of implementotion octivities. The gool of the BPR is twoJold: (1) moke business operotions more efficient ond effective; (2) ond more effectively utilize technologicol investments. ln this monner, the new systems will be oligned with improved processes offering the greotest opportunity to improve the City's business operotions. As port of the proiect kickoff lost yeor, the outhor of Extreme Government Mokeover spoke to over 300 porticiponts regording innovotive opprooches ond tools to streomline processes. Mony positive process chonges ore onticipoted os the Munis/Energov proiect progresses during FY 20,l 5/16 ond FY 20.l 6/17. 183 FY 20.l5/1 6 Adopted Work Plon ond Budget Messoge Poge A-23 Since FY 2005/06, the onnuol budget hos included funding specificolly for lnformotion & Communicotions Technology Projects. Eoch yeor, deportments propose proiects which ore then reviewed ond prioritized by the lT Steering Committee, which is comprised of the Assistont City Monogers, the Chief Finonciol Officer, the Fire ond Police Chiefs, the lT Director, ond the Budget Director. Funding for the FY 20,l5/16 odopted proiects totols $395,000 ond is funded by o tronsfer $395,000 (some omount os FY 2O14/15lr from the Generol Fund to the lnformotion Communicotions Technology Fund. Below is o summory of the odopted proiects. Video Server ond Loss Prevention ($.l0,l.000): This proiect would purchose locol enterprise storoge for the Communicotions Deportment to oddress multiple points of foilure thot hove resulted in the loss of video records ond files. For exomple, recently o City Vision show thot wos 90% complete wos lost becouse the current externol disk drives ond multiple seryers ore not supported by the City's internol redundont methods. The need for this proiect is exocerboted by the higher storoge requirements needed for high definition video. New World Product Enhoncements ($20.000): This proiect would provide the following enhoncements for the Police Deportment, Fire Deportment, Porking Deportment ond Code Enforcement . Server migrotion (PD, Fire, EMGT, Code & Porking) - To complete o seryer build to support the New World System Aegis opplicotion suite on o new set of Microsoft Windows seryers. New World strongly odvises this enhoncement for Miomi Beoch, given the plonned move to CAD Enterprise ond Records Enterprise over the next yeor os Miomi Beoch's current environment is of risk. . eMobile Enhoncement for Geo-verificotion (PD, Fire, EMGT, Code & Porking) Allows geo-verificotion functionolity within Mobile Field Reporting prior to merging to Aegis Records. This functionolity would ollow the system to verify the oddress while the officer is filling out the report bosed on the geogrophicol locotion. This is criticol with regord to UCR reporting, investigotive seorch results, crime onolysis ond force deployment. . New World Conversion Script to Consolidote Globol Jockets (PD, Fire, Code & Porking) - Since the beginning of the New World Proiect in 2008, user's inexperience with the system ond its functionolity resulted in duplicotion of thousonds of globol iockets when merging police reports. This conversion would eliminote or significontly reduce duplicote iockets ond doto in order to streomline investigotive seorch results ond doto onolysis. of & 184 FY 20,l5/,l6 Adopted Work Plon ond Budget Messoge Poge A-24 Residentiol Housing Progrom System ($,l4.000): This proiect would oddress the need to monoge work orders, property mointenonce, ond tenont complionce needs for the five residentiol, multiJomily building ocquired by the City during FY 201 4/1 5. Further, the following proiects do not require funding, but ore plonned to be under development next yeor with in-house stoffing resources: ADA Feotures in Cleonliness Assessment Progrom: This proiect would odd ADA feotures to the current Cleonliness ond Appeoronce Assessmeni Progrom to creote o Wolkobility index. This informotion would help identify ADA issues thot do not require construction ond con be oddressed in-house in o short time frome before they become liobility issues to the City ond/or generote comploints by pedestrions such os low or obstructing tree limbs, beoch mots thot ore not level or covered in sond, ond obstructed sidewolks. Automoted Benefit Poyments: This proiect would outomote the current lobor- intensive monuol process of producing benefit reports for retirees resulting in o more efficient, occurote, ond time-soving process. Finolly, the following previously opproved prolect onticipoted to be completed using in-house stoffing resources hos not been oble to be oddressed in o timely monner due to the current worklood of the GIS division ond is recommended to be controct out. lnformotion Reporter Web Applicotion: The purpose of the proiect is to provide o site selection tool for potentiol businesses. The tool will odd GIS functionolity to the Economic Development website to include informotion reloted to retoil spending potentiol, populotion density, troffic counts, commerciol leose rotes/soles, etc. The remoinder of the funding would be used to poy $49,000 for the finol yeor of debt service for the CAD RMS proiect ond to odd $86,000 to Contingency. VATUE OF SERVICES FOR TAX DOTLARS PAID Between FY 2007/08 ond FY 20] 4/15, the Generol Fund obsorbed olmost $5] million in reductions (olmost 1Z percent of the $244 million FY 201 1/12 Generol Fund budget) ond eliminoted 295.5 full+ime ond I I port-time positions ocross oll funds. Further, o totol of opproximotely $20 million in employee "give-bocks" were ochieved between FY 2009/10 ond FY 20,l1/12, through o combinotion of freezing cost of living odlustments for oll employees for two ond oneholf yeors, eliminotion of merit increoses for oll employee except members of the Froternol Order of Police (FOP) ond lnternotionol Associotion of Firefighters) IAFF, increosed contribution to pension for oll employees except members of FOP ond IAFF, pension plon chonges for the Miomi Beoch Employees Retirement Plon, increosed contributions for toke-home 185 FY 2015/l 6 Adopted Work Plon ond Budget Messoge Poge A-25 vehicles by FOP members for l8 months, reduced holidoy poy for IAFF members, ond increosed contributions to heolth insuronce by members of the FOP ond IAFF for l8 months. ln oddition, the FY 2012/13 budget included $9,l8,000 in employee "give-bocks", the FY 20,l3/14 budget included $4.6 milllon, ond the FY 2014/15 included $,l.9 million. Combined with opproximotely $Zl.A million in employee "give-bocks" ochieved berween FY 2009/10 ond FY 20.l 4/15, this represents 578.7 million in combined "givebacks" and reductions over S rrears. All of the givebocks ochieved, except the I8 month increosed contribution to heolth by FOP ond IAFF ond the increosed contributions for toke-home vehicles by FOP members for l8 months, represent ongoing, recurring sovings to the City ond the employee givebocks contribute significontly towords the City's strotegic aool (key intended outcome) to control poyroll costs. Although the economy oppeors to hove stobilized, the impoct of the recent recession impocted both property tox revenues os well os pension costs. Therefore, the City's strotegy continues to consider the long term finonciol sustoinobility of the City. Beginning with the development of the FY 2OO9/10 budget, o strotegywos developed to oddress short{erm, mid-term ond long{erm finonciol needs. o Strotegies to oddress short-term finonciol needs included ongoing efficiencies ond woge concessions by employees. . Mid-term finonciol sustoinobility wos oddressed by pension concessions from current employees in the Miomi Beoch Employees Retirement Plon. Longer term finonciol sustoinobility is enhonced by the pension plon restructures thot hove been put in ploce for employees in the City's retirement plons. For exomple, for Generol Employees, the plon restructure proposed for new employees is proiected by the City's octuory to reduce the City's onnuol required contribution by olmost $l million in FY 2012/13, with odditionol reductions onnuolly os the number of employees in the Miomi Beoch Employees Retirement Plon hired olier October 1,2010 continues to increose. Further, odditionol pension plon reform recommendotions were developed by the City's Budget Advisory Commitlee (BAC) for the Fire ond Police Pension Plon for considerotion os port of the FY 2013/14 odopted budget. While the specific BAC recommendotions were not implemented, the pension reform ogreed upon by IAFF ond FOP generoted sovings is in excess of the BAC recommendotions: $5.6 million in the first yeor, $,l.9 million in the second yeor, ond $t40 million net present volue over 3O yeors. With the adopted Sl.2 million in efficiencies incorporated in the Adopted Work Plan and Budget for FY 2Ol5-16 the 9 rrear total of reductions and emolovee givebacks is opproximately 98O million. 186 FY 20.l5/l 6 Adopted Work Plon ond Budget Messoge Poge A-26 Genersl Fund Ft 20t5lt6 9-Yeor fotql 5 lmpqcts FT PT 5 lmmcls FT PT Public Sofety {$8.021.095t t71.O 1.0 3pero iions l773,OOO)l$6,899,867)166.0 {23.0) Adm inistrotive Support 1438,750)1s3,685,4441 {33.4 l.o Econ & Culturol Dev t$1 .235.4261 117.O Citvwide t$l .619.6421 Subioiol $ {1 .21 1 .7501 Is21 .461 .4741 1185.4 t21 .O', Tro nsfers {$23.168.9661 Totol s|r,211,7501 s144,630,4,0'(r Es.4 (2r.ol lniernol Seryice Funds I$3.871 .225'.57.1 Enlerorise Funds {$3.651 .O2l {53.0 10.0 GRAND TOTAT REDUCTIONS s(r,2r r,7501 s 152,752.6a6't295.51 r r.ol Eslimqled Employee Givebocks GRAND TOTAL REDUCTIONS AND GIVEBACKS t$27.833.360'. $(r,21 1,75()1 I {79,9A5,0,45](29s.s)t t.o' The 20.l5 Environmentol Scon conducted os port of the strotegic plonning process showed thot the overoge doily populotion in the city hos grown 36.5 percent from 2OO4 to 2014. Much of this increose consists of odditionol tourists (88 percent), seosonol residents (59 percent), ond non+ourist beoch visitors (85 percent). Hoving over one-third more people in the city over the lost ten yeors, without on offsetting increose in budget con result in services becoming degroded over time. The chort below shows the Generol Fund budget ond Generol Obligotion Bond Debt Service budget divided by the overoge doily populotion from 2007 to 2014. The chort shows thot the overoge doily populotion hos grown foster thon the budget ond thot the FY 2013/14 omount is '13 percent below the FY 2006/07 omount. Generol Fund ond G.O. Debr Budget by Averoge Doily Populoiion 2OO7 - 2014 0- 2@- t,6m l,4m 1,2@ LOm m m 2007{8 !g!9: Average Oaily Population for FY 2014-15 nol available until end o{_cale-ndar year 2009-10 2010-11 r GF Exp p€r ADP t GO Debt per ADP 7017-12 Desoite the 36.5 oercenl orowth in overooe doilv oooulotion ond tourism. the Cifv's oosition count hos remoined relotively flot os shown in the chort below. The overoll position count is 62 positions or 2.9% less in FY 2015 16 lhon it wos nine yeors ogo in FY 2006 ' - 187 FY 2015/16 Adopted Work Plon ond Budget Messoge Poge A-27 Position Counf fY 2@6107 to FY 2OI 5116 til 2,1@ 2,@ 1,Am 1,@ 1,5m 1,3@ 1,2@ . 1,1@ I 1,@ 9@ sml 7m m 5@ lil 1@ 2009/rO 20t0h1 20rr/72 2012/13 I General Fund I Other Funds 2073/74 2Or4/75 2015/L6 ANATYSIS OF PROPERTY VATUES IN MIAMI BEACH On July 1,2015, the City received the "2015 Certificotion of Toxoble Volue" from the Property Approiser's Office stoting thot ihe toxoble volue for the Ciiy of Miomi Beoch is $30.2 billion including $267.0 million in new construction. The preliminory 20'15 volue represents on increose of $3.6 billion or ,l3.3 percent more thon the July 1 ,2014, Certificotion of Toxoble Volue ol $27.1 blllion. The comporotive ossessed volues for the Miomi Beoch Redevelopment Agency City Center redevelopment district increosed from $4.2 billion to $4.8 billion on increose of $635 million or o 15.2 percent increose over 20,l4 certified volues. Citywide volues excluding City Center increosed fron $22.9 billion to $25.9 billion, on increose of $3.0 billion or 12.9 percent. Volues outside the City Center oreo determine Generol Fund revenues. COMPARATIVE ASSESSED VALUES Jon. 1 2O14 Volue {in billions) % C6o. Jon. ,l,2015 Volue (in billionsl Chonge |rom2O14 Volue fBudoet'l As of July l, 2014 (For 2014/15 Budoet) Revised Volue (For 2014/15 Proieclion,| Chonge in 2014 Volues As of July 1 , 2015 lFor 2015/16 Budoetl $ lin billionsl % Chq Totol Citywide $ 27.r03€$ za.zztz (0.8326)-3.1%$ 30.6979 $ 3.5941 13.3% RDA - City Ctr s 4.1867 $ 3.e049 $ (0.2818)-6.70/"$ 4.821 6 $ 0.6349 15.2% Citywide Net of CiV Cenier $ zz.gtzt $ 22.3663 $ (0.5508)-2.4o/o $ 25.8763 $ 2.9592 12.97" 188 FY 20.l5/16 Adopted Work Plon ond Budget Messoge Poge A-28 Determining the Operoling Milloge Levy The first building block in developing o municipol budget is the estoblishment of the volue of one mill of toxotion, wherein the mill is defined os $].00 of od volorem tox for eoch $],000 of property volue. For the City of Miomi Beoch, the volue for eoch mill is determined by the 2015 Certificotion of Toxoble Volue ond hos been set ot $30.7 million. Florido Stotutes permit o discount of up to five percent for eorly poyment discounts, delinquencies, etc. Therefore, the 95 percent volue of the mill is $29.,l million. Net of Center City RDA tox increment ovoiloble to the Generol Fund, the volue of one mill ot 95 percent is $25..l million. lmpocts of Chonges in Property Volues For FY 2015/16, the odopted operoting milloge rote for generol City operotions is 57092, which is 0.0850 less thon in FY 2014/15. Bosed on the July '1, 2O15, Certificotion of Toxoble Volue, 5.7092 mills would generote opproximotely $143,162,000 in generol tox revenues, on increose of $15,403,000 over FY 20.l 4/15 budgeted property tox revenues Citywide (Generol Fund ond City Center RDA). Further, the Jonuory 1,2014, tox roll Citywide declined by $832.6 million between the July l, 2Ol4 voluotion ond the July 1,2015 voluotion due to oppeols, odiustments, etc., which is port of the reoson thot the FY 2015/16 "rolled-bock rote" is significontly less thon the FY 2014/15 current milloge rote, The volue of the oreo outside of City Center RDA declined by olmost $550.9 million. Stote legisloled Operoling Milloge R.equiremenfs Further, pursuont to recently enocted Stote legislotion, the City moy elect to opprove milloge rotes obove the rolled-bock rote up to the constitutionol cop of l0 mills subiect to the following votes by the Commission or referendum: . Option l: A moiority of the opprovol of the Commission Milloge is required to opprove o milloge up to 6.61 12 (equivolent to .l.96 percent increose in property tox revenues). The 1.96 percent increose is the stote per copito personol income goin for the prior colendor yeor. . Option ll: A two+hirds opprovol (5 of 7 votes) of the Commission is required to opprove o milloge up to 7.2723 (equivolent to o l0% increose in the od volorem revenues obove Option r). . Option III: A unonimous opprovol of the Commission or referendum is required to opprove o milloge obove 7.2723 up to the 10 mill cop The odopted operoting milloge rote of 5.7092 therefore requires o molority opprovol l4 ol7 votes) of the Commission. 189 FY 201 5/16 Adopted Work Plon ond Budget Messoge Poge A-29 Determining the Voted Debt Service Milloge leyy The generol obligotion debt service poyment for FY 2015/16 is opproximotely $5.9 million. Bosed on theJuly 1, 20,l5 Certified Toxoble Volue from the PropertyApproiser, these bonds would require the levy of o voted debt service milloge of 0.203,l mills. This represents o decreose of 0.0264 mills. Combining the Operoting ond Voted Debt Seryice Milloge levy At the July 31 , 2015, Commission meeting, the Commission reduced the combined milloge by 0..l I l4 mills to meet the remoining milloge rote gool to lower the milloge rote to the level in FY 2OO9/10 os property volues hove increosed over time. ln oddition, the odopted milloge rote does not result in o property tox increose to medion or overoge property owners thot quolify for the homesteod exemption ond the Sove Our Homes cop. llluskoted below is o comporison of the combined milloge rotes ond od volorem revenues to the CityofMiomi BeochforFY20l4/15ondFY20l 5/16(preliminory) includingRDA. Theodopted operoting milloge rote is 0.0850 less thon in FY 201 4/15 ond the debt service milloge rote is O.0264lessthoninFY20l4/15. lntheGenerol Fund,0.l083millsof thetotol operotingmilloge continue to be dedicoted to renewol ond replocement, resulting in opproximotely $2.7 million in renewol ond replocement funding. % lnc/(Decl City of Miomi Beoch Milloge Rotes Operoting Copitol Renewol & Replocement Sub-totol Operoting Milloge Debt Service Totol fY 6107 7.1920 0. I 820 '.-: I ?( t4lts ryiivr6 l; l:' .' 5.6859 S. 00q o.to83'o.ICIg3 lncl(Dec) -0.0850 0.0000 From From 7.3740 o.2990 s.7e42 raro.%,-o.o8so o.229s Orc3t -0.0264 -1.5% -22.6% 11.5% -32.1% 7.6730 6.0237 5.9t23 -O.r r 14 1.8% -22.9% lmpoct on Homesteoded Properties Amendment I0 to the Stote Constitution took effect on Jonuory I , .l995 ond limited the increose in ossessed volue of homesteoded property to the percentoge increose in the consumer price index (CPl) or three percent (3%), whichever is less. For 20,l4, lhe CPI hos been determined to be 0.8 percent ond therefore, the increose is copped ot 0.8% for increosed volues os of Jonuory 1,2O15. Overoll, bosed on the homesteoded properties in the Jonuory 1 , 2014 homesteod volues os of July 1, 2014 voluotion, the medion volue of homesteoded property in Miomi Beoch lor 2014 wos $,l43,680, ond the overoge $35,l,,l89. Applying the increose to the morket volue of oll existing homesteoded properties from the 20,l4 tox roll, ond the 0.8 percent CPI odlustment, the impoct of the milloge rote odiustment to homesteoded properties would be os shown in the following toble. 190 FY 20.l5/1 6 Adopted Work Plon ond Budget Messoge Poge A-30 Homesteoded Properties FY 2014/15 FY 20r 5/16 with O.8% CP! Medion Averoge Medion Averoge 2Ol4 Preliminqry Toxqble Volue $ 143,680 $ 3St,t8g 5 14/.,829 $ gS3,ggg City of Miomi Beoch Operoting Voted Debt Totol Miomi Beoch $ ass 33 $ z,oss 8l $827 29 $ z,ozt 72 $ 866 $ 2,116 $ 8s6 $ 2,Oe3 $ Chonge in Tqxes Operoiing Voted Debt Tonol Miomi Beoch $(6) $ (4t (14) (91 $ no) $ t231 * Source: Miomi-Dode County Property Approiser's - 201 4overogemedion-homesteod+esidentiol-volues file lmpoct on Non-Homesteqded Propedies The onnuol increose in morket volue of o non-homesteod property is copped ot l0 percent (does not opply to school milloges). The city-wide overoge increose in property volues is .l3.3 percent. The property volue of individuol properties moy increose up to, but not more thon l0 percent (excluding the school milloge portion of the property tox bill). However, on individuol property owner moy see o higher thon I O percent increose if there is o chonge in ownership of o copped property resulting in o reset of the cop. Another potentiol foctor, if opplicoble, would be the volue of new construction which could contribute to o property volue increose of higher thon l0 percent. Overlopping Jurisdictionol Operoting ond Debr Service Milloges City of Miomi Beoch property owners must olso poy property toxes to Miomi-Dode County, the Miomi-Dode County School Boord, the Children's Trust, the South Florido Woter Monogement District, Okeechobee Bosin, Everglodes Proiect, ond the Florido lnlond Novigotionol District. These toxing outhorities represent 71 percent of o Miomi Beoch property owner's tox bill. The countywide tox rote for Miomi-Dode County decreosed by 0.002,l mills lo 4.6669; the librory tox rote is flot ot 0.2840 mills; ond the debt service milloge is the some ot 0.4500 mills. The tox rote for the Miomi-Dode School District decreosed trom 7.9740 to 7.6120 mills. The Children's Trust milloge is mointoined ot 0.5000 mills. As o whole, the milloge rotes for the South Florido Woter Monogemeni Districl, Okeechobee Bosin, Everglodes Proiect, ond Florido lnlond Novigotionol District decreosed from 0.4182 mills to 0.3896 mills. 191 FY 20,l5/1 6 Adopted Work Plon ond Budget Messoge Poge A-31 With the odopted rotes for FY 20.l 5/16, the Miomi Beoch portion of the tox bill is opproximotely 30 percent of the totol 6ill. Of note. the County milloge is 0.9851 mills less thon their millage in FY 2006 ' os compored to the City's milloge which is 1.7607 mills less thon the City milloge in FY 2006 -. Further, the School Boord milloge is only 0.4930 below the FY 2006/07 milloge rote. The significont difference in the totol overlopping milloge rote is o direct result of the City's effort to keep the milloge rotes os low os possible. A summory of the tox rote chonges is provided in the following toble. OVERTAPPI NG TAX MI 1IAGE F( 6107 FY t4/t5 Ff tstl6 Vorionce from FY t4lt5 Voriqnce from FY 6107 o/o oJ FY t5lt6 Toiol Citv of Miqmi Beoch Operotino 7.192C 5.6859 5.6009 -0.0850 '1.591 I Copitol Renewol & Replocement 0. I 82C 0. r 08:0.r083 0.0000 .o.o737 Subtotol Ooerolinq Millsqe 7.3740 5.7942 lt.7ur2 -o.o850 -1.6648 Voted Debt Service 0.299C o.229!0.203r -o.0264 -0.0959 Totol 7.6730 5.0237 5.9123 -o.l I t4 -1.7607 3OY" Miomi Dode Counfy Counhnaride 5.6r 5C 4.669C 4.66,69 -0.002r -0.9481 Librorv 0.486C o.284C o.2uc o.oooc -o.2020 Debt Service 0.285C 0.450c 0.450c 0.000c 0. I 650 subtotol 6.3860 5.4030 5.4@9 -o.oo2r -o.985r 27"/" School Boord 8.roso 7.974A 7.6120 -o.3620 -o.4930 38Y" Children's Trust o.422C o.500c 0.500c 0.000c 0.0280 3/" Cther 0.736C o.4187 0.389C -0.0291 -o.3464 2Y" Totol 23.3220 20.3194 t9.8I48 -o.5046 -3.so72 lOOo/" lmpoct of Combined Tox Rotes of Overlopping Jurisdictions on Homesteoded Properties The medion ond overoge Jonuory l, 2014 toxoble volues of $143,680 ond $351,,l89, respectively, will increose by 0.8% CPI in FY 2015/16 due to the Sove Our Homes Cop which only ollows toxoble volues to increose by 3.0% or CPl, whichever is lower. Applying the odopted combined milloge rotes to the medion ond overoge toxoble volues results in o decreose of $5,l for the medion ond o $l2l decreose for the overoge. These decreoses include o $10 decreose in property toxes for the medion ond o $23 decreose for the overoge from the reduction in milloge in the City of Miomi Beoch's portion of the property tox bill. 192 FY 20,l5/l 6 Adopted Work Plon ond Budget Messoge Poge A-32 Medion properties would poy opproximotely $2,869 for oll toxing iurisdictions combined, while the overoge toxes generoted would be opproximotely $7,0,l5 per homesteoded property. Of these toxing iurisdictions, the highest component is the Miomi-Dode School Boord, ot $.l,.l02 for o medion volue property, ond $2,695 for on overoge volued property. The following toble provides exomples of chonges in property toxes for homesteoded properties using the odopted tox rotes ond potentiol chonges from 20,l4 volues. lmpoct on Homesleoded Properties Assuming Chonges in Tqxoble Vqlue from Jqnuory l,2Ol5 fY 20t4lt5 FY 20t5lt6 with O.8% CPI Medion Averooe Medion Averoge 2Ol3 Preliminory Toxoble Volue $ t43680 $ 35t,t89 I t482e $ 353199 City of Miomi Beoch Operoting Voted Debt Totol Miomi Beoch Miomi Dode County Schools Other $ 833 $ 2,035 33 8t $ azz $ z,ozt 29 72 $ eoo $ z,r ro $ aso $ z,ocs 776 1 ,146 132 1,897 2,800 323 782 1,102 129 1,912 2,695 315 Totol $ z,szo $ z,tso $ z,aos $ z,ors Chonge in Toxes City of Miomi Beoch Operoting Voted Debt Totol Miomi Beoch Miomi Dode County Schools Other $ (6) $ (r4) t4l lel $ (to) $ (23) 6 15 (44], (r05) {31 r8'l Totol s (51)$ (r2r) As with the City of Miomi Beoch milloge rotes, impocts of the combined iurisdictionol milloge rotes for non-homesteoded properties ore bosed on the individuol property volues. 193 FY 20,l5/,l6 Adopted Work Plon ond Budget Messoge Poge A-33 The City's onnuol copitol budget contoins copitol proiect commitments opproprioted for Fiscol Yeor (FY) 201 5/16lCopitol Budget). Preporotion of the Copitol Budget occurred simultoneously with the development of the FY 201 5/16 - FY 2019/20 Copitol lmprovement Progrom (ClP) ond FY 201 5 / 16 Operoting Budget. The Copitol Budget for FY 2015/16 totols $lSl.Z million ond is opproprioted on September 30, 2015. New bond issuonces ore onticipoted in the Foll of 2015, to finonce the Convention Center proiect including RDA, Resort Tox, ond Porking bonds. ln oddition, depending on cosh flow, Woter ond Sewer bonds moy be issued in the Spring of 2016. Quolity of Life funds from the third penny of Resort Tox were increosed by 50 percent during FY 2014/15 due to the releose of the resort tox pledge from the RDA bonds os port of the RDA extension. This increose in funding is reflected in the FY 2015/16 Copitol Budget. Proiects will oddress mony needs in different oreos of the City including: neighborhood enhoncements such os londscoping, sidewolk restorotion; troffic colming; roodwoy ond bridge resurfocing ond reconstruction; woter, sewer, ond droinoge system improvements; pork construction, renovotion ond upgrodes; renovotion of seowolls; porking lot ond goroge renovotion, construction/renovotion of public focilities; ond vehicle replocement. For o detoiled listing of oll copitol proiects, pleose refer to the Adopted FY 20,l5/,l6 - 20.l9/20 Copitol lmprovement Plon & FY 201 5/16 Cooitol Budoet document. ln FY 2005/06, the City estoblished o finonciol gool of funding ot leost 5 percent of the Generol Fund operoting budget os tronsfers for copitol proiects ond copitol proiects contingency. The purpose of this gool wos multi-foceted: l. To provide flexibility in the operoting budget thot would ollow the budget to be reduced without impocting services during difficult economic times; 2. To ensure thot the City funded needed upkeep on our Generol Fund focilities, ond rightof- woy londscoping, lighting, etc. 3. To provide o mechonism to oddress odditionol scope of smoll new proiects prioritized by the community ond the Commission insteod of hoving to deloy these for o lorger Generol Obligotion Bond issue; ond 4. To provide contingency funding so thot proiects where bids were higher thon budgeted did not hove to be deloyed, especiolly during o heoted construction morket where deloys often leod to further increoses in costs. 194 FY 2015/16 Adopted Work Plon ond Budget Messoge Poge A-34 Enterprise Funds ore comprised of Sonitotion, Woter, Sewer, Stormwoter, Porking, ond Convention Center Deportments. The FY 20,l5/16 Enlerprise Funds Budget is $212.5 million. This represents on increose of $32.7 million (18 percent) from the FY 2014/15 budget of $129.8 million, primorily due to: . Woter reflects o 5 percent rote increose from $4.43 to $4.65 per thousond gollons primorily to cover debt service on opproximotely $35 million in copitol improvements to the woter system. The monthly woter bill for o customer thot consumes 5,000 gollons o month will increose $ I .l 0 ond I I ,000 gollons o month will increose $2.42. . Sewer reflects o 9 percent rote increose from $2.55 to $8.23 per thousond gollons primorily to poss on o 9 percent increose of fees chorged by Miomi-Dode Woter ond Sewer Deporfment (WASD) to treot the City's wostewoter, to cover debt service on opproximotely $ I 8 million in copitol improvements to the sewer system, support on enhoncement of two positions to enhonce preventive mointenonce progrom to the sewer infrostructure system. The monthly sewer bill for o customer thot consumes 5,000 gollons o month will increose $S.SS ond I ,l,000 gollons o month will increose $7.52. . A $,l8.9 million increose in Porking rote fee revenue to modify driver behovior to better monoge porking demond through finonciol incentives ond to fund severol tronsportotion initiotives such os: the exponded Trolley system including North, Mid, ond South trolleys os well os o Collins Link; the lntelligent Tronsportotion System ond Porking Monogement System; three odditionol Porking Goroges in North ond Middle Beoch os well os on Woshington Avenue; on enhoncement to expond looding zone enforcement from the entertoinment district to citywide to minimize double porking ond promote smooth troffic flow; ond on odditionol sonitotion crew odded during FY 20,l 4/15 to enhonce porking lot cleonliness. o A Stormwoter enhoncement of $29,000 for two positions to enhonce preventive mointenonce progrom to the storm woter infroslructure system. . A Sonitotion enhoncement of $,l32,000 to expond the "con on every corner" initiotive by odding ,l00 more litter cons ocross the city. lnternol Service Funds ore comprised of the Centrol Services, Fleet Monogement, lnformotion Technology, Risk Monogement, Medicol & Dentol ond Property Monogement Divisions. The FY 2015/16 lnternol Service Fund budget is $80.4 million, or2.57", more thon FY 2014/15. lnternol Service costs ore completely ollocoted to the Generol Fund ond Enterprise Fund deportments, ond the Risk Monogement Fund reimburses the Generol Fund for the cost of legol services. 195 FY 20,l5/1 6 Adopted Work Plon ond Budget Messoge Poge A-35 The FY 2015/16 Resort Tox budget is $78.6 million, on increose of $,l5.2 million or 25 percent from FY 2014/15. This increose reflects the continued increose in resort tox revenues ond the onticipoted implementotion of on odditionol 'l percent resort tox to poy for the Convention Center Renovotion proiect. . New enhoncement of $.l00,000 for the July 4s event in North Beoch. o Mointoins $542,000 to support the initiotive to provide better service ot beochfront restrooms by odding ottendonts to the beochfront restrooms in Lummus Pork ond 2lst street on weekends, holidoys, ond speciol events ond $200,000 to deploy on interim lntelligent Tronsportotion System (lTS) solution for molor speciol events ond high impoct periods. . $36,554,000 lo $2.47 million increose) is provided to the Generol Fund to support new ond continuing tourism eligible expenditures such os more prooctive code enforcement, cleonliness index, pork ronger progrom, homelessness of Lummus Pork, hurricone ond disoster preporotion equipment, increosed support for the Miomi Beoch Botonicol Gorden, public sofety progroms such os oceon rescue, police services on Lincoln Rood, Oceon Drive/Lummus Pork, Collins Avenue, Woshington Avenue, ATV officers, Boordwolk security, speciol troffic enforcement ond speciol event stoffing; ond fire rescue units in tourist ond visitor oreos. The funding olso supports code complionce services lo respond to evening entertoinment oreos ond provides for o portion of the operotionol costs of the Tourism ond Culturol Development. . Mointoin $3 milllon for enhoncing the outcomes from moior events such os Memoriol Doy, including monogement, Goodwill Ambossodors. . The contribution to the Miomi Beoch Visitor ond Convention Authority will increose from $2.4 million lo $2.67 million bosed on the legisloted funding formulo. . Mointoin $350,000 is provided to continue the locol Miomi Beoch morketing compoign, to be motched with funds from the Greoter Miomi Convention ond Visitors Bureou, the Miomi Beoch Visitor ond Convention Authority, ond the Culturol Arts Council. . lncreose from $230,000 to $SOO,OO0 for enhonced holidoy decorotions. . $200,000 contribution to help offset expenses of the Miomi Beoch Bowl or equivolent event. . The first of o 15 yeor onnuol contribution of $l million to Mount Sinoi Medicol Center to fund the design ond construction of o new Emergency Room focility. . The contribution to the greoter Miomi Convention ond Visitors Bureou remoins flot ot $5.4 million pending controct negotiotions expected to result in o performonce-bosed controct. o Estimoted debt issuonce costs of $2.,l million ossocioted with the plonned Resort Tox revenue bonds for the redevelopment of the Miomi Beoch Convention Center. 196 FY 20,l5/,l6 Adopted Work Plon ond Budget Messoge Poge 4-36 Although the development of our budget this yeor hos been chollenging, through rigorous review ond good leodership, the Adopted Work Plon ond Budget for FY 2015/16 is bolonced ond enobles the City of Miomi Beoch to continue delivering outstonding, enhonced services to our residents, businesses ond visitors ond continuing structurol enhoncements to ensure the long{erm sustoinobility of the City. The odopted milloge rote decreose of 0.,lI l4 mills meets the remoining milloge rote gool to lower the milloge rote to the level in FY 2009,/10 os property volues hove increosed over time. ln oddition, the odopted milloge rote does not result in o property tox increose to medion or overoge property owners thot quolify for the homesteod exemption ond the Sove Our Homes cop. The FY 2015/16 Budget includes service level enhoncements thot oddress high priority needs of the City os identified through the strotegic plonning process ond 20,l4 Community survey. I would like to thonk Moyor Philip Levine ond the Members of the Miomi Beoch City Commission for your continued guidonce, support ond leodership with the budget process ond in helping to occomplish so much on beholf of our residents ond for the entire Miomi Beoch community. I would olso like to thonk oll stoff from throughout the City who hove worked hord over the lost yeor to respond to chonges in priorities from the new City Commission. I would porticulorly like to thonk my Assistont City Monogers, Chief Finonciol Officer, ond oll Deportment ond Division Directors. I oppreciote oll of us working together towords developing o bolonced budget thot will help improve our community. ln porticulor, I would like to recognize ond thonk John Woodruff, Budget Direcfor; Tomeko Oito Stewort, Budget Officer; Richord Aiomi, Georgette Doniels, Notosho Dioz, Senior Budget Anolysts; Louren Wynn, Budget Anolyst; Kotherine Gonzolez, Senior Monogement Consultont; Froncis Fronces, Executive Office Associote; ond Dr. Leslie Rosenfeld, Chief Leorning Officer. 197 FY 2015/16 Adopted Work PIon ond BudgetMessoge Poge A-37 ATTACHMENTS - TABTE OF CONTENTS ATTACHMENT A Adopted Reductions ond Efficiencies ATTACHMENT B Adopted Additions ond Service Enhoncements ATTACHMENT c i::i:lijjJ::.' ond Service Enhoncemenrs NoT TNCLUDED in ATTACHMENT D FY 201 5/16 Contiscoted Trust Fund Budgel ATTACHMENT E FY 20.l 5/16 Cityv'ride Work Plon A-39 A-41 A-4s A-47 A-49 198 FY 2015/16 Adopted Work Plon ond Budget Messoge Poge A-38 I-- I9t 5 . 2015 i, ,'t ; : ' ",i : t]g ffi .e u'**' tJi ,, I : .: -1 . ,' I $"\ $** J*,i-, L tr*- 199 (J 0)I o !Cfo o)-v(Jo -oE .c E I)o -Uoo Oc€8 oxn.Y ^o ;q) cc).ooEo-f+Tiro)ECo'6 c-o .i2C6 EUo*(J()oo otrrOF(J j (, 11) I-ocfo o) -:Zoo -oE .E (,8tlg)-oE(rfd.3 ooC'n ! 0)I oVrc-sao .. .?39T^--oo4.-c q E+ o.p .o-0-.3E-. .i0,9s9---0o > X OE oE;+ gE; T b'- o E cr == a.. o f ?5 i: E E,_ r* O X aj jEE f*cEoo--:;co*'666-E€ : EA!;E 3; j 53.=.szE.s< oro).3 gT E€€E flEC66o-o: O O r o'= 9_-= o -s9=L-C O 9-.= o.=-o= x^rc E+ rtE+ ;; { E?E!L^; e E,e ; ff € H: E Ea; eE€E nLE 9E 6 P E -, L E O -.=E+;8? 8€; - o o:rit c >:-O-O t o o O ID U)rcf -o q) -o 0)=() E .9-o o) E o(J T C)d. orot NN rco\Z.9N><9{f, -CU<-o-.so: -9q9 OJ rc(J0., - =6 o3rc) 6',*o OU6.()o) ooD o)O.c .=o-ooE}E vo o= .-E 't 60 =80_= rO)oL:3 Ctr89or:o)a-vo-E() -E '> .96:ou)cD >.q6 >.'t =Ea< -cOo)e$o0)f>oc (l,o q)().E o)v> ..o -<, c o) E o) ;IfEoe. ooo r-..oN o) .() a 0,U) ..o.o\Z>Ndh Coijco.L' o @? =6=o ^c o-E >\-.L.Lo5a5?s9a>#gT-9'F x-P 6-f+I P:isEt; b si Ie€E=.: P g 8-* H >€ i: s-F= o q o EcY cri o'-o \r r '-- c O(r!-10cLa--9.-o:ts.EEe= .= 5t.96o-o g:z-<o-o bE 9=fvc=t *=_+i +E;E€;;ETsTE E*c qi'E 6) -E=lhq *- 5 *;E x E $t:u.e= - ] o >.Y.*c.L i j! c .* ;, 1$:ijP'= E'!=b at+=6i Ei E I IF E O EDI I Eo o)F o)o og o EE ooo- ro _oulFu N V.ro 4:Eo(l,F (,Io (,o'loN o.Nra) roO(t o o-o E oco --tro- Ef sr oo-od. o o E o)c o)o -.o#eE > H.:E 3= H E >G s E gE€ o -o-€ Q b i oC1 f* *tr i 6)i h€: g 8#oj b 6.eO =E>%EEaJ oto.= : c \;f = siEdrcxcoEooc o d (J o-c-E€e-E-88;X O='=-.O--Tc ar X Y o--U'= E flT E f $€ .g-A.e.q 5 5e ti!=j#E Et*Er+EE;.3 5 I o-TE9;3:3 = [E + € f -Eo o- >.-li Q >.r:;EiPEE € E ; *; 5 .E T E=rriB E Ef Tf # i o: oI .9I l! o o .EE ooo-oN co=o .q .g E-Oa -<u\Lti!9roE-o .-cD<oS -c\.€ -9 c,i(J > {,? FY 2015/16 Adopted Work Plon ond Budget Messoge Poge A-39 -^UCU o X UdiEd gs - o cs!E903 E 0=t I or.P E:3Eo'- = ..- E 9;dg,g E+tsEo '= o'= -dE P 3,e E-= =:.Ee g Y(,)--O.E.Et. oE;v d O o.=hE<=Ia u oEJ 9Tg-:oi j a-z v--L E u Eio I (D rrdrcu.=; E+= ; s !,:o bt Q-g#= 0F OJ E .9 =lA- o-o co oo p6 >toEoo_ojtg 9+ == ra) \z @lr).o @;=E oo- o OqAiJUT ooqoro.o t,lLt(,z !gg uiITlr| t/lz<oFF7 f.,urJ =ELd =€ <raFoc{ II 6lltFEo6 200 ^ b €s: L€ oO E: 1E Fge c o o -<+HiE#T u+iir;t;gE;5;ESUs I E E p Ef9t=igEpXE "iJ o - or- c= Ot O O)T o; - e* c#a$;EE+?j =" 3i e ; i;"E'-egf -H E E g A [i r*Et;r; EffirEIJ(t) c 3 E >\'C IL'=9-=6F sfEa!:p.bP--+6lEg : a [i -*tI o Ic() Eo o rc9o6ooOo^'ro> (f) {) 1+ .E€occl .= -oE5 ooo. ro '= 0)Etr? oo49or o -.LF-=oco=- t 3i'E'^ o o- -Vn:6E:9 o9cch r 9.o -; E -o o 9*E;€ E'-- c oE: Er -o).9():c)sOC';! q o-o?e(Jo9^*> = f o)9-C0 E12.9 * Osfl - or9 I:;;iI u'6 .9 a 8-;HT'io 7 o:Qf$e+.t- >= 6U€ LBrs,9 o )f,1v-_-ua:.E=iU.=EEPq66bqt Igtt Ef0oE € .E .9 o o o f =9 .2-E g o .= E tlJ oo :- ! rJ.lFr N =cr? @ o) Eo fuo o- =, -E := ifr, ir-s E j€e p !-=-q orFI'tx .; b + , 3) =o.-opr'!l!troN o- O.!LlJ!;EEEE.a T E iEf };;€f5=; bl - OE o E ='Ei: ::: a:i^:g-PgE .z='zpj==E =-iZ - o o > -6qBEt63TF g';€€qR fq=!ggEE. - o'= X o o ON6 5 =_E h'.€ ; 5 != j -== t .==rE€J-E!ip#-EXEaIE*J=iEp Je.-+EiI Eg:gEEesEE ooodtr) Eo CD't o E o) o .9.() o;rc{o- EU =o,-0 3 =q @ u r1)o.; L(l, .J) Xu o- iLo_ frv) c\ FY 2015/16 Adopted Work Plon ond Budget Messoge Poge A-40 :L-v 6 o O-; R=.O-E ?-.= c(,) ()i -. 6).== Ri bE;; >oorr E.3bqrUoPs ar-12 k o E -E EE =c(r-rc(J6.6iEi.,,9; 6-L^Ug ae EE I O- - '- -=loe0)3T;r+* Ii-st EtlgEJcu.=.^Ro6orcidx 9 5rc --O?'iOo\-; c oE.O.E;EP>o:PJ't+^ b= E g v>6-O- -Lf6oC -Yc?i!oO E ;*tr Pd.Ea o; o E ! -= 6-o c\O Y O O7 o - ; ol= .= dvi> o! o-c==Ejf .Exdtr; o Eo o 9o:ELol EOotcc oo_ o*;6)LtloTEU]ut<; Votr) @q ,; c ID E o)oo o-oe. (J L ooodo t,lEI(,zEI L'trt! ua taz<9F!-, 1.'urJ =e+4YoUFl- :.<ro o6t IL ctut!-Aoa 201 FY 2015/16 Adopted Work Plon ond BudgelMessoge Poge A-41 ATTACHMENT B ADOPTED FY 2OI5lI5 ADDITIONS AND SERVICE ENHANCEMENTS Reque5t YFt 2 lmpoct Totol fT PT lina Mointoin plon review turnoround time within currenf iorgeis (Residentiol - / doys; Commerciol - 2l doys) while obsorbing the stoffing impoct ol ossigning building inspectors to the Convention Center proiect. This enhoncement would odd o Senior Building lnspector position ond ihree controcluol inspector positions for mechonicol, electricol, ond plumbing inspections ot the Convention Center. Costs for this enhoncement ore onticipoled to be offset by $500,000 in odditionol revenue in yeor one ond $450,000 in yeor two. Anticipoted offsetting revenue 5 t 2,000 t-500 0001 ;*ffi 528,000 {r'50 0001 l.o rnaiatgmort ----+o07€o+ffi ilhr.Alh*rw Enhonce orgonizolionol copociiy by creoting o Fellowship Progrom to hire one entryJevel oitorney os on independenl controctor from schools such os the University of Miomi ond FlU. This progrom would provide opportunities for new oitorneys to goin procticol experience in the public sector while building proficiency ond developing skills.90,000 40.000 1.0 , jEld,k ..:lxtta"' Streomline the process of record storoge, complionce, mointenonce, ond destruction of public records orgonizotion-wide by odding o Records Monogement Speclolist position. This enhoncement would help ensure regulotory complionce, reduce operoting cosis, control the creotion ond growh of records, ond reduce the risks of Iiobilities ossocioted with document disposol. This position is onticipoted to identify subsiontiol sovings in excess of the position costs by proociively ossisting deportments develop ond streomline their records monogement systems by reviewing records currently in storoge to delermine which should be retoined ond which should be destroyed consistent with stotutory requirements.62,O00 73,000 1.0 |Y tonooa, lncreose response time for high priority citizen comploints regording o wide ronge of issues by odding two port-time posilions to the Ropid Response Teom. These positions would complement two existing full-time positions to work in teoms of two to expeditiously oddress citizen issues/comploints.36,000 36.000 2.0 Enhonce o more prooctive code complionce environment by odding three Code Complionce Officers in the Enterioinment District to ougment the existing two positions odded in FY 2014/15. These positions would be ossigned olong Oceon Drive, Espofiolo Woy, ond the southern portion of Collins Avenue ond Woshingfon Ave. ln the lost four yeors, iwenty{hree odditionol ordinonces hovebeenimplementedondcoseloodshoveolmostdoubledsinceFY2Ol0/11. IFUNDFROM RESORI IAXI 240,000 189,000 3.0 lmprove coordinotion ond oversight of deportmentol occrediioiion, stoff certificotion, troining, equipment mointenonce, ond customer service levels by odding o Code Complionce Administrotor position. This position oddresses the Crowe Honaroth Audit's recommendoiions for increosed superuision ond orgonizotionol efficiency. IFUND FROM RESORT TAn 69.000 82,000 l.o Emrnnavkiiiiirmsnr/'9r11-.1',. . i ) lmprove quolity of 9l I colls by implementing Quolity lnsuronce to review recorded colls to ensure thot proper prolocol ond procedures ore being odhered to by 91 I operotions. Utilizing off-site certified reviewers lo evoluote recorded 9l I colls would provide on occurote ond importiol review of 9l I omrotors oerformonce.27.OOO Fmm ::,:;ar.a: lmprove oversight of bond issuonce ond monitoring function by odding o Depuiy Finonce Director position. This function is onticipoted to grow significontly given he number ond complexiiy of onticipoted bond issues.I 10.000 r 33,000 1.0 buralro&.Gd,lrl,nily.5€rtic.6 : ] Address recent oudit findings by increosing oversight of HUD funded copitol octivities, perform inspections ofwork sites, ensure Federol Dovis-Bocon complionce, ond ensure the integrityof copitol proiect costs by odding o Housing ond Community Development Copitol Prolects Coordinolor position.93,000 w$ia I 12,000 1.0 lhrs enhoncement converts two port-lrme Lose Worker Ils, lncluded os on enhoncement in the lY 2014/15 budget, to full-time positions. lt will enoble outreoch workers in the iorgeted outreoch oreo of Lummus Pork ond surrounding oreos to continue the engogement ond subsequent ^l^^^-^^r ^[ L^-^l^"- ^^.-^^. i^ "L^l]^- tE, lf,ln FDnAt DFCAaT T AYI 55,000 6r,000 t.0 202 FY 2015/16 Adopted Work Plon ond BudgetMessoge Poge A-42 ATTACHMENT B ADOPTED FY 2OI5lI6 ADDITIONS AND SERVICE ENHANCEMENTS Request Reommnded Enhqncomenl Yet z lmDod Tolul tr PT For*r & .lbli*ii&X1X1l :i Enhonce progromming for vorious recreoiion progroms os follows: $54,000 for inclusionory oides to meet the demond for speciol need children to be enrolled in summer comps; $18,000 for the second seoson of Little Leogue Boseboll; $ I 0,000 to expond elderly progromming from North Shore Pork Youth Cenler to two odditionol locotions in cenlrol ond south beoch; $25,000 io increose the yeor-round level of seruice ciiywide for youih progromming with new educotionol ond culturol progroms ond ot odditionol sites; $6,000 to odd Noutilus Middle School os on odditionol site for teen progromming; $35,000 to enhonce speciol communiiy events such os Winier Wonderlond ond Cupid's Cornivol with odditionol rides ond octivities; ond $15,000 to meet the increosing demond for elderly progroms ond events by increosing funding for the Senior E^L^^---^^) T,^^.^^*^ri^- q-^,i-^ ^, ^.^-163.000 163.000 Enhonce opportunities for persons with disobilities by portiolly funding the poro-rowing progrom ot the Shone Rowing Center. The Miomi Beoch Wotersports Cenier is o not-for-profit orgonizotion thot runs o premier rowing club with over 250 members, mostly oll Miomi Beoch residents. They hove recently undertoken o porcrowing progrom which ieoches people wlth disobilities how to row ond provides o troining focility for competiiive poro-rowers. They hove been designoted os Porolympic Sport Club by the US Olympic Commitfee, ond hove olreody quolified two members to the notlonol poro-rowing teom. The progrom hos grown in populoriiy ond needs finonciol ossislonce in order to not hove to turn rowers owoy. /FUND FROM RESORT TAXI 85,000 85.000 Poriicipoie in the Foirchild Boionicol Gordens Million Orchid Proiect os one of severol municipolities thot would begin to receive os mony os 'i50 orchids throughout the next 3 yeors storting os soon os October, 201 5. Foirchild Tropicol Gordens proposes to introduce millions of notive orchids into ihe South Florido within the next five yeors. This enhoncement would provide funding for the Gordens to propogote seedlings for reintroduction . IFUND FRO|{ RESORT TAn 50,000 s0,000 Br- Meet increosing demond for odministroiive support of the Ciiy's five Lond Development Review Boords by odding on Office Associote V position. The number of opplicoilons received ond public record requesis hove increosed substontiolly ond with the future outlook of upcoming construciion proiects the need hos orisen for o dedicoted odminislrotive resource to hondle the increose in worklood.59.000 66.000 1.0 Reduce crime by odding o License Plote Reoder (LPR) system on MocArthur Cousewoy os well os two odditionol potrol vehicles ond two portoble kits. The Ciiy hos successfully used police vehicles equipped with LPR system for the post two yeors to recover stolen vehicles ond to moke mony felony ond misdemeonor orrests. This enhoncement would complement the fixed LPR system thot is onticipoted to be instolled on the Venetion Cousewoy during tY 2O14/15.IFUND FROM RESORI TAXI 276,OOO Provide support fo the Stote Aitorney's Office's Humon Trofficking Tosk Force by ossigning o Delective position to portlclpote on the tosk force. Miomi Beoch hos experienced o significont number of crimes ossocioted with humon hofficking ond porticipotion on the tosk force would ollow MBPD occess to odditionol resources to oddress this growing problem in the ciiy, stoie, ond region.98.000 126,000 1.0 Enhonce the pool of quolified condidotes thoi could be hired os police officers by reimbursing ten police recruits to complete Police Acodemy troining supervised by o Troining Advisor (Police Officer position). For the lost 15 yeors, MBPD hos only hired certified police officers wilh previous experience or ocodemy ceriificotion, which hos resulted in limiting hiring lo oppliconis thoi hove been troined with vorying level of quolity ond,/or trons{erred {rom other iurisdictions. This enhoncement would serve os o pilot initiotive to include ten quolity oppliconts thot hove recently completed full ocodemy troining. Recommended by PERF study in 2014.189,000 r83,000 't.0 ddress trotlic congestion by odding o Motor Unit consisting of one Sergeont ond tour Police rfficer positions. This unit would work ohernoon shifts io focus on rush hour troffic ond enhonce rBPD's obility to oddress troffic issues, improve enforcement, ond visibility. Enforcement octivity by is unit is oniicipoted to offset o portion of ihe cost of this enhoncement. Costs would h. ^+f..r h- restimoted$ll0.000inrevenue. RecommendedbylheTronsporlotion,Porking,&Bicycle >destrion Focilities Commiltee. Anticipoted oflsetting revenue 1,287,000 l220.ooo1 645,000 il 10,0001 5.0 FraErmer, Sring deportmeniol stoffing in-line with notionol productivity benchmorks, reduce sioff turnover rote >f 63% over lost two yeors, ond expedite procurements for City deportments by odding two )rocurement Controcting Officer positions.r 20,000 *:r 46,000 2.0 203 fY 2015/16 Adopted Work Plon ond Budget Messoge Poge A-43 ATTACHMENT B ADOPTED FY 20T5lI6 ADDITIONS AND SERVICE ENHANCEMENTS Resort Tox Revenue lmpoct from lnternol Service Funds Sovings from proposed reductions (for PAYGO) Net lmpoct to Generql Fund 229,000 (1,000,000)__TE3tEoeo- the bocklog of proiects ond enhonce the obility to perform in-house engineering by odding Civil Engineer position. This position would be split funded os follows: 30% Generol Fund, 30% Stormwoter, 20% W oler, 20% Sewer. Address the 2l% increose in skeet light invenlory from recently completed copitol proiects by hi/o Street Light Technicion I positions. These positions would conduct preveniive repoirs, ond rebuilding for londscope uplighting. odequote oversight of controcted grounds mointenonce seryices by odding two Field lnspector positions. The City conlrocts for grounds mointenonce services to oll city rights of woy, municipol buildings, porking focilities, Lincoln Rood, ond coostol oreos for o totol of 292 sites. These positions would ensure ihot the City receives the highest quolity work product from controctors in the shortest omount of time. Monitoring includes mowing, edging, weeding, trimming of 232,O00 odequote oversight of the Urbon Forestry Tree Preservotion Progrom Tree Preservotion Ordinonce No. 20,l 4-3904 thot wos opproved by Commission on November I 9, 20l4by odding two Field lnspector posilions ond o Field Supervisor position. Under the new Ordinonce, the City will be enocting ils own lree preservotion progrom ond be .l00% responsible lor issuing ond enforcing lree work permits ond hee reloied code violotions os delegoted by Miomi County. This progrom will result in o lorge increose in iree-reloted office ond field inspection ond requires o more speciolized skill-set including lnternotionol Society of Arboriculture certificotion. The new positions would enhonce the City's obility to enforce the tenonts o{ the Tree Preservotion Ordinonce, provide Tree Work Permits more expeditiously, ond improve comploint or 222,000 Allow for the proper moniforing, mointenonce, ond enhoncement of the citywide urbon forest by creoting o GIS Tree lnventory. The ciiywide GIS inventory would enhonce the City's obility to properly schedule ond trock tree/polm mointenonce, monitor problemotic trees, ond ensure of tree conopy in oreos with insufficient increosing demond for GIS progromming ond support by odding o Senior GIS Anolyst position. This enhoncement would ollow the GIS division to oddress o bocklog of proiects for Enhonce deporlment oversight ond succession plonning by odding on Assistont Director position. The position would odd oversighi of numerous lorge controcts ond ogreements ond ossist the Director odminister eight funcfions including Tourism & Conventions, Entertoinment, Culiurol Affoirs, Convention Center, Sponsorships & Advertising, Economic Development, Redevelopment Agency, ond Asset Monoqement. IFUND 50% FROM RESORI I eesnty buses, light pele bsnne+q en line qds; print medie; ete, e urrently the €iiy bsdgets sppreximstely $ 'l I 9,000 fer merketing serees ell funds, Reeemmended 6), /Veler's B/ue Ri66en P-enel-e++le+A+eeeh +UND+ROIA4ESOPT+A$ lncreose Poy-AsYou-Go (PAYGO) funding for copitol proiects from $ I .4 million to $2.4 million. This enhoncement would help oddress pressing neds for odditionol PAYGO funding such os: neighborhood project costs thot hove increosed over time; stormwoter proiects thot ore generoting o need for obove ground funds; replocement of $,l.7 million in PTP funding reprogrommed for the enhonced holley system; Lighting ond Crime Prevention Through Environmeniol (CPTED) improvements in non-tourist oreos; pork proiects in non-tourist oreos; ond seowoll proiects. 204 FY 2015/16 Adopted Work Plon ond BudgetMessoge Poge A-44 ATTACHMENT B ADOPTED FY 2OI5lI6 ADDITIONS AND SERVICE ENHANCEMENTS Requesi f$r2 lmpqct folol EnhonGem6ni FT PT lmonnqtfirn Iactinebgy lmprove procurement coordinotion, controct monogemeni, ond complionce with procurement guidelines by odding on lnformotion Technology Speciolist I position. The $60,000 cost of the full. time position would be oflset by $52,000 of iemoorory services funds.8,000 r9,000 1.0 lmprove disoster preporedness by bocking up City technology doto/sysfems in on out-of-region doto cenier. This enhoncement would be phosed in over three yeors. Yeor one would be $200,000 including o $40,000 onetime chorge. Yeor two would be $ I 25,000 ond recurring costs fiereofter would be $75,000.200.000 175.000 )evelop ond mointoin mobile opplicotions ond webbosed opplicotions by odding o Senior Systems \nolyst position. ln oddition to mointoining current opplicotions, this position would ossist City Jeportments odd opplicotions thot would streomline their service delivery.71,000 84,000 r.0 Totol lnternol Service Fundr 279.OOA s279,OOO s278,OU 2.O o.o E:ilimoled lmDod io fbacoaGrql hra s2irP Expond Freight Looding Zone (FLZ) progrom throughout ihe City by odding one h,ve Porking Operotions Superuisors ond seven b* full-time Porking Enforcement Speciolist I positions. The FIZ progrom hos been successfully implemented during FY 2014/15 in the enlertoinment district due to strict ond contingent enforcement to minimize double porking ond promote smooth koffic flow. Proiected revenue is onticipoted to offset oll costs in yeor one by $90,000 $64!0O ond by $252,000 $26f?0OO in yeor two. Anticipoted offsetting revenue 548,000 (612,000) ,ft i*' 319,000 l57',l oool 8.0 sfi*mumfr ' . .: ..lL; ..i.." 'r,.r.txtti',' I ll.r a a r,r& rf, il:'lli lii.llx Reduce the bocklog of proiects ond enhonce the obility to perform in-house engineering by odding o Civil Engineer posilion. This position would be split funded os follows: 30% Generol Fund, 30% Stormwoter, 20% Y,l oler, 20% Sewer.22,500 27,000 0.3 Enhonce prevenlive moinienonce progrom to the storm woter infrostrucfure system by odding two Municipol Worker ll positions. These positions would focus on preventive mointenonce of the storm sewer moins.79,000 96,000 2.0 5c\raor"' ':.,r.i' leduce the bocklog of proiects ond enhonce the obility to perform in-house engineering by odding : Civil Engineer position. This position would be split funded os follows: 30% Generol Fund, 30% itormwoter, 20% Y'l oter, 20% Sewer.r5,000 r8,000 o.2 inhonce preventive mointenonce progrom to the sewer infrostruclure system by odding two \4unicipol Worker ll positions. These positions would focus on preventive mointenonce of the sewer no i ns.79,000 96.000 2.O 'rl'a::' ,0n :xpond the "Con on Every Corner" initiotive by on odditionol 100 locolions. The current inventory r 32,000 d*ar Reduce the bocklog of proiects ond enhonce the obility to pe#orm in-house engineering by odding o Civil Engineer position. This posiiion would be split funded os follows: 30% Generol Fund, 30% Stormwoter, 20o/" Y'l oler, 20% Sewer.15,000 253,OO0 18,000 o.2 lolol Enterpnse iunds s274,500 000 12.7 o.o 205 FY 2015/16 Adopted Work Plon ond BudgetMessoge Poge A-45 ATTACHMENT C POTENTIAI FY 2OI5lI6 ENHANCEMENTS NOT INCUDED IN ADOPTED BUDGET Requesl Yeor 2 lmooct Totol FIIPI Buildinc-Envilonmeniol rulonaoemenl Meet the mitigotion needs of future construction prolects by funding o feosibility study for the creotion o Mitigotion Bonk within the City limits os po* of the City's Sustoinobility Plon. This enhoncement would reduce the costs of relocotion of mongroves to o bonk outside the city, while olso orovidino more flexibilitu, IONE-TIMEI 75,000 Cor:rmunicolions Produce odditionol progromming, feotures, public service onnouncements, ond troining videos by odding o Medio Assistont position. Demond for video services to support deportmentol initiotives continues to increose thot connot be met ot the current service level.57,000 67,000 1.0 Enhonce clericol ond odministrotive support by odding on Office Associote lV position. Communicotions is the only deportment without o full-time odministrotive support position ond the new OAIV would free up operotions stoff to oddress their core duties.51.000 60,000 1.0 EmensencY }lqnoqemonY9- | - I Meet federolly mondoted interoperobility rodio requirements (P25) by replocing the curreni public sofety rodio system, which is ot end of life. There ore three options under considerotions, subscribing to the Miomi-Dode County rodio system, ioining with the City of Hioleoh ond/or other municipolities to purchose o rodio system, or purchosing o rodio system for the City's sole use. TUSA Consulting is currenily working with Emergency Monogement to explore these options. The new system will likely need to be funded in FY 20,l6/17 ond the costwould likely be finonced over ten yeors using the City's equipment loon. |ONE-I/MEI 5,000,000 lmprove the efficiency of public sofety onswering points (PSAP) coll-toking ond provide ouiomotic coll distribution in oddition to remole deployment copobilities by upgroding VIPER with Automotic Number lnformotion ond Automotic Locotion lnformotion Controller. This upgrode would permit the PSAP to receive messoges texted to 9l I ond improve the occurocy of locotion informotion for colls oriqinotino from cell phones. IONE-TIME)440,000 Support the new Emergency Operotions Center Shorepoint site ond other informotion technology systems by odding on lnformotion Technology Speciolist I position.6l ,000 72,000 1.0 Enhonce 9l I informoiion by replocing the current coll recording system with o new VPI System thot coptures ond integrotes CAD informotion ossocioted with 9 I I colls. The current recordings solution is used to review colls by dispotch ond coll tokers os well os provide oll recordings for public records request. The VPI solution would ollow the coll center to record, onolyze, evoluote ond improve the quolity of the emergency coll toker ond dispotcher ond provides the obility to quickly redoct the oppropriote informotion when providing recordings requested for public records request. The VPI solution integrotes with the Computer Aided Dispotch softwore ond Emergency Medicol Dispotch softwore to provide screen shots or video recording of key strokes ot ihe time of the coll which is helpful when recreoting on incident to inform the evoluotor/investigotor of the oppropriote steps token. This solution is fully interoperoble with the obillty to support Next Gen 9 I 1 phone systems ond hos the obility to record oll iext messoging, videos, locotion, ond number informotion provided to the 911 dispotch phone system. (ONE- TtME)9 r ,000 Conduct o teosibility to ossess the City's current ond tuture CAD needs ond select o replocement system. The CAD system is used to initiote public sofety colls for service, dispotch, ond mointoin the stotus of responding resources in the field. The current system is ot end of life ond mony new feotures ore now ovoiloble such os: outomotic oddress verificotion, reol-time GPS unit locotions, instontoneous informotion such os preplons, hozords, wonts ond worronts, ond integrotion with GIS moooino. IONE-TIMEI 1,500,000 lmprove security ond coordinotion by developing ond implementing o moster plon to integrote the City's exisiing disperote devices ond informotion systems in order to monitor ond conhol them through o comprehensive user interfoce ot the Cit'y Worning Point. Systems would include video, occess conirol, onolytics, microwove network, porking opplicotions, hoffic monitoring, intrusion detection. etc. IONE-TIMEI r,500,000 206 FY 2015/16 Adopted Work Plon ond BudgetMessoge Poge 4-46 ATTACHfiIENT C POTENTIAT FY 20I5lI6 ENHANCEMENTS NOT INCUDED IN ADOPTED BUDGET Requesl Year 2 lmoocl Totol FT PT lmprove occess control, osset trocking, ond credentioling of personnel ossigned to incidents ond events. This system would ollow for trocking of personnel such os volunteers, CERT Teom members, mutuol oid responders, ond others to ensure sofety ond focilitote finonciol reim bu rsement for Federol ly Declo red Disosters. (ONE-TI ME)28,000 Fire Mointoin effective response times for EMS honsport units in North Beoch by odding o second RescueUnitconsistingof l3FireFighterpositionstoFireStotion#4. A20'l 5studybythe lnternotionol City/County Monogement Associotion Center for Public Sofety Monogement recommends the deployment of o second rescue unit bosed on current ond future demond. Stotion 4 hos high demond in certoin blocks which is on por with demond blocks in the sourthern portion of the city ond plonned redevelopment in the oreo will drive demond higher over time. This unit would olso be crossJroined to stoff the new Fire Booi.1,205,000 'r,409,000 I3.0 Police Support the newly reconstituted Intelligence Unit, currently stoffed with two positions. by odding fwo Detective positions. The posiiions would be ossigned o ronge of intelligence ond security- reloted tosks. including sergeont-ot-orms security duties to support the Moyor ond Commission, VIP protection for visiting dignitories, threot ossessments ond reloted investigotions, security ond intelligence onolysis for mo jor events, support to the FBI Joint Terrorism Tosk Force, the Deportment of Homelond Security, the US Secret Service, ond lioison with low enforcement with privote security portners on oll motters offecting the security of Miomi Beoch.r94,000 25 r ,000 2.O lncreose public sofety in the Entertoinment District by odding two pokol squods mode up of two Sergeonis ond twelve Police Officers. The new squods would provide coveroge seven doys o week with one overlop doy (Fridoy or Soturdoy). The squods would be deployed primorily on Oceon Drive, Woshington Avenue, Collins Avenue, ond on the beoch.r,865,000 1,724,000 14.0 lncreose pohol ovoilobility by odding three Detention Officers to provide seven doy o week coveroge on oll shifts. This enhoncement would optimize stoffing by mointoining ot leost one position ot police heodquorters while one is ovoiloble to tronsport prisoners to the County ioil. Cunently, police officers ore often needed to bockfill this function which results in o loss of potrol services.299,OOO 204,OOO 3.0 Jourism, Gulturul, & Economic Developmienl lncreose oversight ond complionce of I4l controcts, leoses, ond concession ogreements by odding o Leosing Speciolist position. This enhoncement would oddress the current stoffing level of two employees, which eoch ore responsible for over Z0 conlrocts eoch.71,000 83.000 1.0 Totol Generol Fund Enhoncements sl2,437,OOO $3,870,000 35.O o.o Enhonce development ond odminishotion of new colloborotion softwore (Microsoft Shorepoint) for use throughout the orgonizotion. The softwore wos ocquired during FY 2014/15 ond lT does not currently hove dedicoted stoff time or necessory koining to build out the system to its full lmprove the security of the City's network to mointoin complionce with mondoted PCl, Red-Flog, Federol guidelines ond prooctively oddress the proliferotion of sophisticoted security issues lmprove the efficient delivery of property monogement support ond odminishotive services by on Office Associote lV position. Property Monogement tronsitioned to o controct service model during FY2014 ond FY20l5 which requires more odmininstrotive support in the oreos of procurement, occounts poyoble, ond generol 207 FY 2015/16 Adopted Work Plon ond Budget Messoge Poge A-47 ATTACHTIilENT D Miomi Beqch Police Deportment Confiscotions - Federql & Stqte Funds FY 2OI 5116 BUDGET FEDERAL FUNDS: Federol Funds - (603) FYI6 Reauest Orqonizotionol Development Trovel & Ott-site testinq /l),o{Jl) Troininq Suoplement to suoolement LETTF 70,ooo Bulletproot Vest Portnersh ip 60,000 Groffiti erodicotion throuqh Teen Job Corp.25.000 Bodv Comeros r 50.000 Gym Equipmenl l0,uuu Toiol Funds (603)385,OOO STATE FUNDS: Stqte Funds - 1607l Totol Federol & Stote Funds 702,OOO FYI5 Reouesl Costs connected with the orosecution,/orocessino of torteitures.20,000 Crime Prevenlion initiotives & School Lioison Proiects 20,00c AR Rifla Prrrrrrrrmlinitirriiwa- Cihrrc mdtrh far raimhrrreamant af riflec nf -$5OO I5,UUU 15% of Stote Funds collected in FYl5 to be used for drug obuse treotment, A.rrn nnA rrima nrarra^ii^^ oJ,,^^+i^^ ^^.1 ^^^-^.^fi+ anmmr rnil.r h^.o.1 29,000 Chicfl< C.rnforenna Panm Ilnarada 28,000 CID lnterview Room Audio Video Recordino 60,000 MBPD Focilities Securitu Comero Svsiem Uoorodes r 0,000 Articuloted Aeriol Work Plotform Troiler 35,00c Totql Funds 1607l 3t 7,OOO 208 FY 2015/16 Adopted Work Plon ond BudgeiMessoge Poge A-48 rl a I-- t915.2015 il4ffi*&,i:_ h{ ,.tL I {l:1, lt ,l\,}lrr: 'tf,- "' lr13 ',r t 209 FY 2015/16 Adopted Work Plon ond BudgetMessoge Poge A-49 (r, Z_2- =d L> u _.dUE-m z*. =U I (-, coO (, Z_2, <eA\ U&L[_=d Z"=[U- fLcoL - (, Z- =6 dU O F() (, Z =&. & (,z. =co uio ^UUCOtr UOZ ZE uI oz =d a (, Z =4 L FZr Ue =(,) e. jtr =o(r'>i >- -a()<ZiUOo-d.Lda zaUO vdUJ(-) =() L_o Z ZZ u".:<d C = =E C YdI 7- - :<dU O Foa a:<do (-) =6 =L Eb9,e or i5C.- d)i<o -o OOo EU q o o.Y oL, = os q ooX o:c Oc* -o0) o o(J a* ! .c o !.i --oX C,P xqE >rF!L/)AOoi icO;'=C)" o :v -l?*a: f>em o9- -EaO4oJ -tr2Eaoo!>coc 3 j s oo?'i oHA'\iLou9=.Qu o _- iro196-cec-:ooo o_0)EoE O-d ssd 0)Ooo 3 0)'t OJ Co Eo-o o) C)! ! =3 co E (! o_o! o o E G O)o o 0) 0) c Go .oEo O 0) o !otrfo !Eo co .i fgo CO 9"oca.9 -C.\ : 3 C)'t od co E o_o6 oo .c O)c,a Go 6 Eoo C C) EEo o_ 0)o o E a) >yo: o)d =qudo o)c Oc1AUI --< 9CPCts:OiLC E.go> O-= ,-l aiC oi :a oOo o co o (! o 0) (!oc c)o G c .9 .9 E Eo O O c 0) fo oE o c Eo lo o co f E o c; C c c co E E !El = =tro Etr Go 0)o o.=u !Eo o) .E =lco C 0) Etr(! o- 0)o 0)':I !co C;CY (!_LU hC .c- ilc*C -: C aiUCc)- '-ccC o.! o! o! >!aIo EI (.) .EsU N E I ; c .E l o E C lc !oE c C oc c fco c! oc o tc =ccc o z ;Ciio ali.uo-= C.ot -o)-?i c -€) ofO!'^o !-OOor6>c oc i;t6 =Oq; !o oxIYo>Ec ^cYO .rC60>\';o0 ov-.o lc 3o o6 66 ?"i ,.C q9!6o"'>.o oOotr>^ a!Eo'uC.-o OGtrcotr,^ooi;trxo:oo co 6z E oo o.; Coc'a o o 0) GIo lo !co 6 B C a) 3 a)o o O)c =oL o .E =o oC s ! !o o) .g >0)o gc ;qou CO =6o+ o' ^!-COf, o-6 N o o coO C)Oo G !c(o O)C-o -_co E ci oD o o O)c6 oOo o_o a)! G E a)O o) ,C El O ,c E a) a coO^o! a) !! OO EOOo O6 otooo O-o oac .q E EoO !c(0 oc .9oE o o o l lo (0 o o 0) o !Co ';Uo c o = o s o 0) oE E c) !o (0 o_.!c EoN,= o l o_ Eoo C) 6ao o o!E C) c C' fos-- =oa coo !C c) U .J E'z !c f €c f 0) o o E !c(! o oUo o ! o 0i .9 .C fc o.\a Cc Cc 0) -a o 0) -o-o co E oo o) ! o o_o f !Eo 0) Oo !-o co E o o_o! trooa_! o( ^l;.c>\C'6c OT>cc(\ =V -oo\ r( -C 'E9 o:c': 1.E -i:c.co!cc;Coi -cC.oF AU EC co!)E o!oO e! iy.oJ c .9 sloq) d tr OJ Eo -9o qJo !co o c 0) E!Eo Eo !coo f(f) oOo o .c .9 of =O .Js f,osof,o c ! o!c N oc Tg !.9 'oo o o ! o!C G o!; =O co E 0)ooco rooo& c) o a) O Eo (/) o Eoooco: ! oUo4 o (, UCoIgU o 3 2 r.) oc E a) EoE E .o Go Eo E 0)ooEo E ooo c a) 0) o o C)! o o 3 o (0 Eo l oI =>'lOc0>o=6d c f,Coo cl:-E,^o6iooc)>o h< ,{"renr 1e6 eJrnJoS pue lueuJa6puen (o Lo-o N tJ_ Z rrJ JIF uA. =Q+5 ,u FUk= F \J (J (, LT.JF uFa 210 FY 2015/16 Adopied Work Plon ond BudgetMessoge Poge A-50 - (,zo 6L;2oz-< (JL &6o (-)Ud oa Lf):<d L a)<do =O =cola L O U):<do =O =cofL oUOF oU() F F o OZU(,dU U Lco (, Z ZZ 4 :<eUJO F() (,z- =l co Z- ==ao ts (, Z- ==co (, Z ZZ L (,z- ==o F (, OzU(,&U U &coo &coo cI o6,; oao s =; ! o) .q Oo G oo =(-) o a) oO a) a) f Co s o l Of a)c 0) o 0) () 0 o E !c N oo 0) Go -9 G 0) o_o o tr a) Ero o_ 0) 0)o o oE 0) .E o >,oo'tr !0)n> E-.si l/o 6o -c) o5o",oo!oOClo-trc> yo>0) d.a c Eooc$!tr 0) olco o o (! =E a)o 0)C -_I !Eo to o_ I QL !OCoco G C) o AJ O o _o o o_oo co o_ co s oo_ o o oc o o € o c3 o-o c .oo o of -oco xo o oqOUL-9 ->o vO o: oo Oo oo UC Eo o o I G.E 0) o Eo .c =l -o o 0i o6 -- (E ! 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Z ZE F Zl oO oa l)uZ\ nOvu -U vI doo d.- I Lo uU(, Z F() oO .iU() F d-d = d = UZdoFF F O oO (,z ZZ L oO + O .iUOts Ud[- ..i Z Z2,,<i (r:z- =!U-)= coa FzU 2u =oa=-uc)(-)O .-d =L (, Zo ==co ln:<do =o =cofL + oO o,__c OO gLo. OEaO =Po2O,9 Oca.- Eo:J o)rYoo oO l' !o aoiL ort =Ooo_o9); !c) 9> >i-o_coop- .o6A>q F @.V c 69iE ra o(oi - oo,4r -cl9;uo^e _ce !+ or)oE''g=s stiq5! Eo(E o,i o; ! C)o CJ !Cl E Eo t': =c ,e Ocf'- oO ,= c'i lc o a)Oloo o- c'- 0)> oo Eoo G o Eo o)o o o 0) o 0) O 1l o!g(! C)oEo ooooo (! E 9 o o o 0) oo O --O oc o =o i;C6 c- co'q qOoo_v9OUO ,tB.;Q cq cO'E or'c o.= o-EC 9N OE-oo ^C -o6@ yo o_ u;cL.so6o ;io:.!ooooQEo6 c OUo=.> A)9.=o (.)s>oo OoOc og UC oo)og o E c)o! 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C)c.9 C o Co Gl O) 0) G a)Ee co G E o 0)ooO o) .E _!lco I)'- ou o! o Eo Eoc 0) Eo 6 .OEsoo G o& Eo co'6 .9 Eaco -co oc; ooEo 0) o Eo oi o -oo oo =lco g >.9<=Et6c;d,i -6-on I oE l>Ie ,-b5Od OF i*.9>,FaE.=,^o)" E O q.cEb=9..z:o<oA E >o d @OO<u: o6P r\ .: 4 a - E 8,E o * Ebs96y: OddSY!-c+;: o ! oL2 1 02_!a o.c x o o>uco- oo=c>9?i<:-' s!l:Fo u:<Orir: z(:enr1e6 af,lnJes pue luoLuo6euel4 (o- LO--N LL Z ut' f-zYLr d.>oI=O.iU)\^FUF--<5 F O t!F dFa 212 tY 2015/16 Adopied Work Plon ond BudgetMessoge Poge A-52 &o 6:<d.o 3 O cof L F O a() a:<dOoz:>[>(iO< =76= dz acoo F (, OZUodU U (, ZzZ L a:<d =a 6 =L aYdo =O co =L Ia Z C(,) I l; Z :<a. r Zo =Fdoa(n Z dF C Z F Fd Cc(1, Z dF Zo =Ftl c(nZ dF Zo i- FdoL(nZ dF Zots FdoLtnZ d F F Z aoat/)z dF Z =Fdo&lnz Nts zo F Fdo&(/) Z dF Z ats -doLaZ d- z aF FdocaZ dF UzvE. L zo F FdoLaZ MF Zo F FdoLaZ dF zo F Fdo&aZ dF zo F FdoLaz dF Z tr FdoLaz dF 9.u o.t o - o .:o-Y=:!-*iQEo:i oi(u5O!?->o.\FF9.=jg.:9:;cF'q>b;Eb-92! c_ = c"'nO !2;i !Y oi=EiEEeoEE6:h= o o g i o- 69ciX;E-ooFiaoo ruuO'-o=ggaoE?E 9>5tnEPXEE9xoo'E9-HtrP; ca=oo:o ^O-=\2)6o;=q)!!*6 E:YAL-Y oo6;;:.:-'1; c;-:,^ /i;.P P i ; E P '-o(!oc=5 o.Ytu!nlvc i o: t oaI g E.Y- 3 c 9 c . .- c o lJ O -O O aC ; O o:,=: PEg663.EaU; B F dE O,.)cz,*--6tEE:-->,q!6=AY:- .?!.)--o.=oFAS9EBe o_ci:=oo E O;] C(/) O E ts'io o a 6 qlj.= N A ^.= !: Y:.c>-E JT^i6E:T -c*o!.9X =OX-(^^!rP?Eh.5E o h:':'oD-;'aYx.=cc- t(u':x-u.EE-doP==tsi Ia1o g o!?\Er^oXY:'oTiorF!axc!X;EE85:;oEUEoo6fr o c.) o o_ o Oro x C)c oc o o oo oo .a Co 0)'- o) o oo o c(0 o c .9 (] o).E E oo o) oo o Eo! .!oc a) N a) a.) o UC f co UI oOoo oc 3o 0) Eos oI .9) o;o o o oUoo COoo o) a)o o) .c! oUoo <) oo-oo !co oo or o C 0) E o o o 3o ,9o ooEosCU co E 0) o o_ .E o (! B E o o a) .Ecftro o_ o_o o) -E !c o (! f s U o! o o .c oO c oc =oo o =Esa o Ec U cOoocop o Eo Eoo- oocosOo a)cos loa o -o Ns _o_ E G O)o o-aF c 0) Eo o_ E !o oo ooo .Er .o! !c(! c OJ o E C)o G E o co = (n F Eo o t-- E 0) .g c)s E'i o .E o o (f) co (gcoo C oo; --o Oo c): -o '-oo o !o Gq) O ,c B C e ooo .E !lE .E - Co C a) co co L o o oB> o>o;LU11 0vc ';oCao- <.!qc _.4 6O lc C) o Y o 3 0)z o 3cq) a)(, O co 0)s o co ooc c) E Eoo 0) c)! o .gcfE .=;cf coa o o E cI o o o_ co 0)! o 0) o_Eco(Od .E EoECo E Eoo a) o -o ; os qJ'n o_ o--ooO o .g '6 .oo) C) o .>r5 C .o O) .E o 0) E'- a) =o Oc 6O.9 -ol= *- l- E6EE9c:ou'=viooo-o UC3s oco oC! oo (0 o dd co! co c .qoo E o l .o .c I o B co Eo o .O!o! co so Ul]JcoO cEo G f .os a) oF o f .OI 0) coZ Eo u Co'- o!Co E Eoo CL)d = .9 L a) ! .os Co L .= Eo 0) c CJIo o E L,/ Co! CNod hi oo/\ C oo oo o Eo =o o_ c)cco a- Co'- otro o_ co F o o) .cP.oY>.;o! r--CC c.9 -ocbOE lyFL. a\!CL6(UL>--nn oool ?>-,;>Eao ooc! :ooo oo9rtl0)60 9o-ooo AY co oO ,;ov E o .E!f, O .c i 't G oo co C-- ,9 0) o o oo- oo .s os Coo OJE'a =co F solf,o E 1!- o o_ c)EC OC c- _oo= '=L D- oc G)orOt o' .cocl ]Jco ,;co'-!o E o o! ,; Co'a a)o lo.9E o ooc o 3 o. .E .c N o =oE .c olocoO :cc cc G 0ir cc E (t c.! (t C Tc G C ooO O co oE.E oroco o T so o n fofc., c o o 0) f co o o =() a) CloO ooO oU G!.L o r=s.= 3 OJ (0 .E ! ooO To CO 0)co ! fotn .g 0)O.; o 0) o o C .9 co o_ 0.) a) lo (tr Eo o o_ q) of o U c c)oo E E o oo)co I .\ :6*o E<6OUTz.6", coi <,} .c .E o_6+1>:-o o L= =2 o!: o* oc E= tr]ot L.BE a)fC> o__ oL OI oi!a oerH d.i T Oooco'- c .q !co E .g c 0)o 3 oo 0)O.; 0) lo ]J a)OCotco co Eoo E o o oooC o_o =o 0) o o_ EoO E a) .= co c 0) .9: o .c oo 0)o O) ^-ll >.=.=; o9 EPHEl A.!..-oil6oE-o.-Oc.::cOF * E 5E ! tt 5 a s fisg; s E s; frEiE ! 6 o_o C^ c.:o9}.lf.^s_o F= o Xl 9) 53;isE5 a..r nl3n.rlserJU I - rO-o N tL Z IF7Yud.>oI-<)'<HF!F=<5 F O (n LTJF uFa 213 FY 2015/16 Adopied Work Plon ond BudgetMessoge Poge A-53 zo F FdoLaZ dt-- Zo F Fdo&az dF U OZ ZE 2o F FdoCaZ dt- t O 2o =FdoCa*zt)<:dt)1 oZ =d & U):z E.o =() col& a:<u.o =O =colL a:< dU =() =col4 U):< do =O =co:)L oZ =d L a:< do B (-) =co =L a:< do =() =co =& doo*() a:<d C =O E 4 oZ =d d OUu. .a a e. d a:< do =O =6 =L a:< do =() =cofL a:< d B O =6 =L a:< do =O =6 =d oUOF -oo ciU()+ c = E oO Eco o E !oo 0)cop co Eoa E o_o o oO 0)c oo o qJ oo Eo() ()o E; c .9 cl'- o O .s oo l -o lo o co o =oo co () o c .e o o o .E o Co oo 0) ol U 0) fc a) =3 c 0) E 0) a) oo c 9 c.)oCoOsoooco E .q !co c ,q C 0)o B a)o .9 o o 3 o 6) c 0) E 0) o E c .s,(0 o_ E No a) o o! .O co 0) o 0) O co c)oEoO a (! a) ]J o o Cl o o E -6 Co'= !!o ! ! -_(-) 0)s lo!o fos Eo oo o oCoN o .9!oo so'ai !C Go cod oacoEo .so o!; -_O 6lCc o -9a) o! !c(0 rio f 1J 0)so o o B co Eo E E cod oocoCo .g(! 0)> c C) C) a 3o 0)d -o 0) ,ic 'a o Ooo 0) E o o a) a 0) oO'- 0)o o o a) o o o! o B 0) (! -oo o! o .g =l -o oo OJ oa) o CO; E o o)c cI oo j o o 3 io;o =CO oo^ .N6C ;0;: 9f >EOC;r9diqB o!qc QCu.- EEoE fc PUci: o.E CL.\;;c6>o-(/)g tn : C U= oo a) !oo o o '- c .9o a) 0) l Ol o .c o! o l c C) o o .q)o o cf,o Go ooos o.os .9oC o .a EoOof o o =L =od o a) J Co'- (E lo AJ oC =oo o (E 3o't G) c CC c o c E oo aio V, co E E E Ecc o co l-O oc foE c')fo c co lE o)c-cg c),!o GECo o ! o!ca v o; -U E fo- C) (E ! o_ = C) =o_oO os cI 0)a Eoo o co _ol o G! .Csl_ B ! 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CJococco o oo't o o- o 0)oc Gco o 0) 0) C 0) lo Eco E Eo o I co.; o 0) 0) L 0)o F 0) o4 E G -o f; a)c 0) oo O Eo o)oo o'o oooo oo tOo a)co tt z c c) E c)o E oco ool!o o) .clff! .C oooc o -os .o)q) Z !o Goco !troZ 0)s p coE o o o o!oO =co coO --cl E EoO 9nlY>o;E,q ().! o - oa -=t!o Fl o >r.! s AoX!Xl*oii , Er^o 9 0 >vl^u-uL!uf()><>=O Lf_o !EXlso =ni'.=Ad>E<i LE>() a A - a .\ =; E-5* EE;.iy o!.:; o:a;:O=El)i;6 I;o-Ef =Q?E) 9yH:EsEasEqEireEEPet o9oE*odg,:t5&z,i-r,XZa4 -!aC>.! o9Es59o!<!Y: ::oF;:Y:o66UuZthz-l) ornpnJlseJJul spooqroqq6reN ror Luerd Ur LOro N LL z ut' F2\/ L! d.>oI=O.<xFUk= F L-,) o LTJF t-Fa 214 FY 2015/16 Adopted Work Plon ond BudgetMessoge Poge A-54 (, Z =d L u):ad =() colc Loo CJ):ado =(-) =cofL a:<do =O =co =L (,zzz 4 UO =oL 6:<do =() =6 =L F Zl oO OU ()a Zu f> ^d-a co E o o o) ,Eo fo lo c o)lo c ri C) .so .co E 0); o o .9 ='o o .O -ol o_ oc o l g C) o oOcoc 0) .Co E oco c)c Co 0)o o c.) o o !oooco E .q lo!olo ! 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AJ o -_ oo o Eo oo o 0'-coo .E o oo O 5oo;ES Y;Oc6;l _..Y>EPLjicr* = E o X.l E o-E E Y!oo;xotrooou:OOdZ'iu:L)Oo oo =-VO o X.!i 6* > uo< Srqi<€E 3 &EE '.=O--O>o< -(/) l'=) -r E-4.^=c.^^-xc:EITAEFaI9PEEE o--6;!t!aoE=illE=;2ia;S5.iES q- -()-Y|t$15; XEEbi>>&<d spooqroqqOreN ..rar LUard ssaursn€ pue ursunol roJ raluo3 leuorleuralul U- LOr N LL Z ut' FZYt+t d.>oI=O.<HFU?= F (J O LLlF uFa 216 tY 2015/16 Adopted Work Plon ond Budget Messoge Poge A-56 EI ui(-)-oc EI ui O oL U(-) =oL FZU U(, Z (-)zU Od^u->UUF Ud u- j (, O,N Z2 VZd.7 >1UL F F (, ()zU(, dU U F (, OZUodU U doo Eoo &o Loo Lo c a) E c0 o_ 0.)o o) .O oc B o oEco o)c':s oco C') .c:-l O 0) ;ogs.9ao U oC c G E AJ!o Oo .o oo- o 0) o_ Eoo oc .:f Oo o ,o oo o)c'6 l -o E-q) -oT Ooo o_ o_o o)c =3oC Eo Eo o_ E o; a) =o(-) fE Oo co o!o C) a) oa a) co ,9 c a) E a) o_ E . 0) oO 0) !Co 0) coo- o iI o (0 o_ C)o io o .9') =E o ao,6! c a) E 0)o)oc G E Ocoo C) Eo B .sc 0)c oo l! .c 0) .c f -o o 0) o 0) () 0) (! .9c oo !c(! c(! o o oOo 0) o.9o o O) .aEfa .C tr C) C) oC C)o) o E a) a) o o co o_ cI9_ oo-E-'=cXiosEoo-o9!oo>o-oOE 4Y a)coO o (g ! q .9 o.)o o = cs .c Eo o o! O)o oc!oq) a (_) o_loc =oo -o oEo 0) o o_ o_ c) o.9o o o- E o(59oo:o->oLo- A.e -Oo-cq)o b>cob= CE BE o]3Erqc(uIoCCo(Ec-a9'=! 6eo6>Ee39cO= cF.oE EE ]o8€ortrE- o9 Eg,=P e6cuiO.= (sf 6 E)O_cEE3e9! (E(! .9aob9E OOe56o,.9oE63(5-cEs88; -oEE;E (EeuJ.:(a Ef =E EEEE oE o=E!6.sbcrP 3EE HE I E:E EN E6F 9Eft EEo=(U-q) s ag EAE6-E BEE HEfiE=t b rrJ !{Etv€ 9x! ?.= 3Eac-oE 5 q. EEsEgrEa E ;q E'E B:Eg .E 5 ot- EEE?E E =JE 9d oDE= cao rf =:trb 5alE=a).E.-ECL EE3;9aaE li 88P ! 8E* oo fo a) =o 0)! 0)o(g o o !co co E a) o o E o .qt-cl o o_ o_o F cop o o oo c .9 Oo '-o o9!E CL rua CLoc 6-sc aaLOr) l =.aU oY'to o^dy !O G a)co'= E .E .S o 0i oco EoU o! o oooo Eo o)o o_ 0)o(0 foC(! co'c) o EoEE(.) X 0) o o a) oc Eccc = =c f E Eo O i cop G.) Oo ootrosco o o fo oJ o B l_ 0) cf !os -b Eo o .s c ,9 oo .atroo t f,o o oo oc tro.F F:Y o)?ou aa';o 6uE6 YO l- 0., 9 Et =o-c') =-z=cc(J oj9 >-! xo! r !i ;oU:ic.0_;4 o!tACT Olo (co. EdsoazO-- uI -: =-o!'-hc I C.Zyajt I >,uu6!ob#E>:6=. a=-LmC >o3 ; hs o<:C nr - EIELY( c) Ep :.E f(! Z a G tco ol .g o o_oI v o;tc .9 eo o co o oo lo oooo ao !OU-=6r OLC.; C_T -C -a€o.--EECc=NZ oa E\r oo>\ -yo=h- ^,:CY-l/)v -L It/) 6 6 tro<<>q? 0)O os(l) ^o> L o trOEo V=i^U & Lf LJ U ,a iolPo6qHE >5X!oalo u(/)ua oOco aO o.:ludFa tEg o!o; i S eu.,=E>o l !? X =;E8t== ,(te1e5 or1qn6 asuellef,xl uorle3npl (o r ra) N LL Z r!i F ut d.>oI=()'1Ua^FUF--<5 F (J O (n LTJF t-Fq 217 RESOLUTION NO. A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ADOPTING FINAL BUDGETS FOR THE GENERAL, G.O. DEBT SERVICE, RDA AD VALOREM TAXES, ENTERPRISE, INTERNAL SERVICE, AND SPECIAL REVENUE FUNDS FOR FISCAL YEAR 2015116. WHEREAS, the City Manager's adopted Fiscal Year (FY) 2015116 General Fund operating budget totals $300,354,000 and the total adopted operating budget for FY 2015116 net of transfers is $576,695,000 including the General Fund, General Obligation Debt Service Fund, Transfers to the Redevelopment District Ad Valorem Taxes, Enterprise Funds, lnternal Service Funds, and Special Revenue Funds as shown in composite Exhibit "A"; and WHEREAS, the proposed Enterprise Fund budgets total $212,499,000; and WHEREAS, the budget for lnternal Service Funds, which are wholly supported by transfers from the General Fund, Enterprise Funds, and the Redevelopment District, is $80,370,000; and WHEREAS, the proposed Special Revenue Fund budgets total $101,643,000; and WHEREAS, Section 932.7055 of the Florida Statutes sets forth the purpose and procedures to be utilized for the appropriation and expenditures of the Police Confiscation Trust Fund; and WHEREAS, the proceeds and interest earned from the Police Confiscation Trust Fund is authorized to be used for crime prevention, safe neighborhoods, drug abuse education and prevention programs, or for other law enforcement purposes; and WHEREAS, the Chief of Police is authorized to expend these funds following a request to the City of Miami Beach City Commission, and only upon appropriation to the Miami Beach Police Department by the City of Miami Beach City Commission; and WHEREAS, the Chief of Police of the City of Miami Beach has submitted a written certification (attached as Exhibit "8") which states that this request complies with the provisions of Section 932.7055 of the Florida Statutes and the Guide to Equitable Sharing of Federally Forfeited Property for Local Law Enforcement Agencies; and WHEREAS, the Police Confiscation Trust Fund budget for FY 201512016 in the amount of $552,000 shall be funded from State Confiscated Funds in the amount of $317,000, and Federal Justice Confiscated Funds in the amount of $235,000, as reflected in the attached Exhibit "B"; and WHEREAS, funds in the amount of $552,000 are available in the Police Confiscation Trust Fund; and 218 WHEREAS, the City of Miami Beach is authorized to assess $2.00 from court costs for criminal proceedings for expenditures for Criminal Justice Education degree programs and training courses for officers and support personnel of the Miami Beach Police Department pursuant to Section 938.15 of the Florida Statutes; and WHEREAS, the Police Training and School Resources Fund is currently funded with the assessed criminal justice education expenditures for the City of Miami Beach pursuant to Section 938.15 of the Florida Statutes, in the amount of $41,000, as reflected in the attached Exhibit "C"; and WHEREAS, the Chief of Police of the City of Miami Beach has submitted a written certification (attached as Exhibit "C") which states that this request complies with the provisions of Sections 938.15 and 943.25 of the Florida Statutes and the guidelines established by the Division of Criminal Justice Standards and Training; and WHEREAS, the City of Miami Beach Police Department intends to utilize the $41,000 for those purposes as authorized pursuant to Section 938.15 of the Florida Statutes, and the $41,000 shall be expended from the Police Training and School Resources Fund for education degree programs and training courses for officers and support personnel of the Miami Beach Police Department; and WHEREAS, Section 705.105 of the Florida Statutes sets forth the procedure for unclaimed evidence which is in the custody of the Miami Beach Police Department and permanently vests in the Miami Beach Police Department sixty (60) days after the conclusion of the criminal proceeding; and WHEREAS, $75,000 has been in the custody of the Miami Beach Police Department Property and Evidence Unit in excess of the statutory period set forth in Section 705.105 of the Florida Statutes; and WHEREAS, said funds have vested permanently in the Miami Beach Police Department, and have now been placed in the Police Special Revenue Account Fund, as provided by Resolution No. 90-19931, adopted on March 7, 1990; and WHEREAS, the Miami Beach Police Department seeks to purchase those items identified on Exhibit "D" with the funds in the Police Special Revenue Account Fund; and WHEREAS, the Miami Beach Cultural Arts Council (CAC) was established by the Mayor and City Commission on March 5, 1997; and WHEREAS, the mission of the CAC is to develop, coordinate, and promote the visual and performing arts in the City of Miami Beach for the enjoyment, education, cultural enrichment, and benefit of the residents of, and visitors to, the City of Miami Beach; and WHEREAS, the Mayor and City Commission adopted the Cultural Arts Master Plan on June 3, 1998, identifying the following program areas for the CAC: cultural arts grants; marketing; facilities; advocacy and planning; and revenue development; and WHEREAS, pursuant to its enabling legislation, the CAC's budget for each fiscal year shall be adopted by the Mayor and City Commission; and 219 WHEREAS, accordingly, the CAC recommends a $'1,264,000 budget allocation for FY 2015116 to continue implementation of its programs; and WHEREAS, CAC was created to develop, coordinate, and promote the performing and visual arts of the City of Miami Beach for the enjoyment, education, cultural enrichment, and benefit of the residents of, and visitors to, the City; and WHEREAS, from December 2014 through June 2015, the Cultural Affairs staff and CAC conducted its application and review process for its FY 2015/16 Cultural Arts Grant Programs; and WHEREAS, grants panelists, comprised of the CAC members for CAC grant programs and both Miami Beach Visitors Convention Authority and CAC members for the joint Cultural Tourism grant program, yielded 47 viable applications, requesting a totalof $970,000; and WHEREAS, the CAC, at its regular meeting on July 9, 2015, reviewed the grant panelists' recommendations and unanimously supported the recommended Cultural Arts awards totaling $798,000 for FY 2015116, as more specifically identified in the 2015-16 "City Administration Recommendation" column on Exhibit "E," attached hereto; and WHEREAS, the City Manager has reviewed the recommended CulturalArts awards and concurs with same; and WHEREAS, the Miami Beach Visitor and Convention Authority (MBVCA) was created pursuant to Chapter 67-930 of the Laws of Florida, and Sections 102-246 through 102- 254 of the Code of the City of Miami Beach; and WHEREAS, pursuant to its enabling legislation, the MBVCA's budget for each fiscal year shall be presented to the Mayor and Commission; and WHEREAS, the MBVCA has recommended approval of the proposed work plan and budget for FY 2015116, in the amount of $2,976,000, to continue implementation of its programs as shown in Exhibit "F". NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND THE CITY COMMISSTON OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City Commission of the City of Miami Beach, Florida hereby adopt final budgets for the General, G.O. Debt Seryice, RDA Ad Valorem Taxes, Enterprise, lnternal Seryice, and Special Revenue Funds for Fiscal Year 2015/16 as shown in composite Exhibit "A" (Total Revenues and Expenditures by Fund and Department), Exhibit "B" (Confiscated Trust Funds), Exhibit "C" (Police Training & School Resources Fund), Exhibit "D" (Police Special Revenue Account), Exhibit "E" (Cultural Arts Council Grants), and Exhibit "F" (MBVCA). PASSED and ADOPTED this 30th day of September, 2015. ATTEST: Philip Levine, Mayor APPROVED AS TO FORM & IANGUAGE, & FOI?,€XEGUTION ,*-.-(.- U, l-- ilnlo @E- Rafael E. Granado, City Clerk 220 FUNCTION/DEPARTTAENT GENERAL OPERATING REVENUES Ad Volorem Toxes Ad Volorem- Souih Pointe Cosh Ad Volorem'Copitol Renewl & Repl. Ad Volorem- Normondy Shores Oher Tqxes licenses ond Permils lntergryernmentrol Chorges lor Seruices tines & Forfeiti Reents & Leosss Miscelloneous Resod Tox Conlribufion Oiher- Non operoting Revenue 5ub-fcrol G.O. DEBT SERVICE FUND Ad Volorem Toxes Other 5ub-fo|€l fUND TOTAI RDA FUND-Ciy nF only AD VALORE'A TAXIS Properiy Toxe* RDA City Cenler Inet) FUND TOTAT ENTERPRISE FUNDS Convenlion Cenler Porking Sonitotion S6wer Operolions Siorm Wolsr Woler Opsroiionr FUND TOTAL NTERNAL SERVICE fUNDS Cenkol Seryices Fleel Monogemeni lnformotion Technology Property Monogement Rirk Monogeneni Medicol & Dentql lnsuronce FUND TOTAL SPECI,AL REVENUE FUNDS Educoiion Compocl Resorl Tox Art in Public Plocss Tourism & Hospitolity Scholorships Cuhurol Arts Council Sustoinoblity Woste Houler Normondy Shoras 5th & Alton Goroge 7th St. Goroge Trcnsporiction Tree Preseryolion Paople's Tronsporlolion Plon Police Confiscotion Police Sp*iol Rryenuer Poilce Troining R€d Light Com8ro Residediol Houring Emergency 9-l-l lnformotion & Technology FUND TOIAL TOTAL AtL FUNDS [ess Tronsfers GRAND TOTAL. ALL FUNDs EXHIBIT A Revenue Summory by Fund qnd Mqior Cotegory G.O. DEBT SPECIALGENERAT SERVICE RDA ENTERPRISE REVENUES $ r40,446,000 2,7't6,OOO 117,0@ 23,940,000 29.558,000 I 1,032,000 12,o46,O00 2,'t 57,000 6,384.000 I 2,588,000 36,609,000 22,726,OOO-5--36AEZF66- -f---F25,0-60- T-50fi57m6- -$----33r3,od0- -T--5;i-13-p66- lNTERNALTOTALS SERVICE $ r40,446,000 2,7t6,OOO 117,O@ 23,940,0@ 29,558,000 l r,037,000 12,046,000 2,157,OOO 6,384,000 12,588,000 36,609,000 22,726,000-I--36d3-tIo-o-- -f---3Fa5p-do- T-fi67'dffi- -I---73;Tr3p-66- $ 10,237,000 77,584,0@ 2 l, I 04,000 46,996,W 20,985,000 35.093,000-fr?Fmmr-a--212u-tr7FE@ $ 967,000 10,417,OOO 't5,258,000 8.62 t,000 I 5,6 1 6,000 28,961,000$ 80.370.000 I 07,000 78,63 r,000 277,OO0 174,OOO 1,264,000 399,000 68,000 226,OOO I I 2,000 2,795,000 9,26 1,000 90,000 3,896,000 552,000 75,000 4,t,000 1,416,000 766,0@ 398,000 395,000 T-OI6A5Eo- -r-mi7Z5IOO- TSoo-=a 6- T-Bffi66- T?i;iTEIoo- -T.nT,E.frF- 3-i6iZ3E0- -3-64-ffi6- -3-T638;6m- 221 EXHIBIT A Totol Expendilures by Fund ond Deporlment Fiscol Yeor 2Ol5/16 G.O. DEBT FUNCTION/DEPART'IAENT GENERAT SERVICE RDA EMERPRISE R,EVENUES TOTALS SERVICE $2,@e,o0o l2O,s74,OOO ORG DEV & PERFORMANCE INITIATIVE 603,000 MAYOR & COrvtMtSStON ADMINISTRATIVE SUPPORT SERVICES CIry MANAGER COtltI UNICATIONS BUDGET & PERFORMANCE IMPROV Educotion Comprct fINANCE PROCUREMENT $2,009,000 3,652,000 1,745,000 2.435.O00 5,38s,000 2,1 12,000 1,455,000 5,282,OOO SPECIAT I 07,000 395,000 766,ooo 399,000 28,63 r.000 277,000 t7r',000 1,264,000 ss,2s2,@o $r r4542pOO s2Zs,55r,mO INTERNAL I 5,258,000 I 5,61 6,000 28.96 1,000 967,O00 8,621,000 \0,447,0W INTORMATION TECHNOI.OGY II Tech HUMAN RESOURCES/IA8OR REIATIONS 2,685,000 Risk Monogement Medicol & Denlol lnsuronce CTTY CERK Cenlrol SeMces CITY ATTORNEY ECONO'VTIC DEV. & CUITURAI ARIS Economic Derelopmenl REAI. ESTATE, HOUSING & COM,/VI. DEV. 72'I,O@ 1,312,000 14,065,000 4,260,000 3,936,000 5,936,000 64 t,000 30,76 1,000 I 4,358,000 4,945,000 99,605,000 62,741,OO0 8,957,000 Homeless Seryices Residentiol Housing BUIIDING Susioinobilily PIANNING Cuhurol Arts TOURISM & CUTTURAT DEV CONVEMION CENTER Resorl Tox Art in Public Plocos Tourism & Hospitolity Scholorships Culturol Aris Courcil OPERAIIONS CODE COMPI.IANCE COMMUNIry SERVICES PARKS & RECREATION PUBLIC WORKS Propedy Monogemenl Sonitotion Sewr Stormwoie. Woter Woste Houler Normondy Shores Tree Preseryolion CAPITAI. IMPROVEMENT PROJECIS PARKING 5th & Alton Zth Sheet Goroge fEET MANAGEMENT TNANSPORTATION People's Tronsportolion Plon PUBUC SAFETY POUCE Police Confiscotion Police Speciol Revenues Police Troining R6d Light Comoro FIRE Emergency Monogemenl E9r I 10,737,000 2 l, I 04,000 16,996,OOO 20,985,000 35,093,000 77,584,OO0 68,000 226,0W 90,000 I r 2,000 2,795,OO0 9,261,000 3,896,000 $r73,785,000 552,000 75,000 41,o00 1,416,000 398,000 222 CIIYWIDE ACCI$Normondy Shorcs CITWVIDE AcclrcPeroting Contingrnry CIIYWDE ACCISOtheT TronsErs Copitol lnvestmsnt Upkop tund lnlo & Comm Technology fund Euilding Resere Poy<:yougo Copilol CAPTIAL RENEWAI & REPLACEMEM G.O. DEBT SERVICE RDA-City TIF lrcnrf.r only City Conisr TOTAT. ALL FUNDS less Trcnsfurs GNAND TOTAL. AU ]UNDs EXHIBIT A fotol Expenditures by Fund ond DePqrtmenl Fiscol Yeqr 2Ol5/16 G'O. DEBT SPECIAL INYERNAI GENERA!SERvlcrnDAENTERPR|SEREvENuEsroIALssERvlcE;: -Tizi-itm- 226,0N l,t 00,000 10,993,0m 31s,000 395,000 2,608,000 2,400,000 2,7t6,OOO 23,1 13,000 $5,925,O00 23,t t3,Oq, -$5oo,g-E@-_s58ffi-5r5;i1-,ooo--TriFm--Ei6i;643m-_3e, T6F,6F '$66,839,000@_ 223 EXHIBIT B Miomi Beoch Police Deporlmenl Confiscotions - Federql & Stqfe Funds FY 20 I 5I 16 BUDGET FEDERAL FUNDS: Federql Funds - (603) STATE FUNDS: Stqte Funds - (6071 Totol Federol & Stote Funds 552,OOO FYI6 Request Orqonizotionol Development Trovel & Otf-site testing /o,ooo Iroininq Supplement to supplement LETTF 70,000 Bulletproof Vest Portnership 60,000 Groffiti erodicotion throuqh Teen Job Corp.25,000 Gym Equipmeni 10,000 Iotol Funds (6O3)235,OOO FYT6 Requesl Costs connected with the prosecution/processing of torteitures.20.000 Crime Prevention initiotives & School Lioison Proiects ZU,UUU AR Rifle Proorom/initiotive- Citv's motch for reimbursement of rifles ot $500.I5,OUU 15% ol Stote Funds collected drug ond crime prevention Drooroms. in FYl4 to be used for drug obuse treotment, educotion ond non-profit community bosed 29,000 Chief's Conference Room Uoorode 28,000 CID lnterview Room Audio Video Recordinq 60,uou MBPD Focilities Securitv Comero Svstem Upqrodes I0,000 Articuloted Aeriol Work Plotform Troiler 35,000 Totol Funds (6071 3I7,OOO 224 EXHIBIT B CERTIFICATION l, DonielJ. Ooles, Chief of Police, City of Miomi Beoch, do hereby certify thot the oforementioned proposed reguest for expenditures from the City of Miomi Beoch Police Confiscotion Trust Fund, for fie FY 2015/16 fiscol yeor providing funds for expenditures, complies isions of Seclion 932.7055,/)(o), Florido Siofufes, ond the Guide erolly Forfeited Property for low Enforcement Agencies. fr4iomi Beoch Police Deportment 8/, t ', 225 EXHIBIT C Miqmi Beoch Police Deportment Police Troining ond School Resources Fund FY 2OI 5116 BUDGET Educotion of police personnel ot vorious schools, conferences, $4l,OOO ond workshops; purchose of troining ond operotionol supplies 226 EXHIBIT C CERIIFICATION l, DonielJ. Ootes, Chief of Police, City of Miomi Beoch, do hereby ceilify thol the oforementioned proposed request for expenditures from the City of Miomi Beoch Police Troining & School Resources Fund, for the FY 2015/16 fiscol yeor, to provide funds for rhe educotion o[ police personnel ol vorious schools, conferences, ond workshops ond for the purchose o[ troining ond operotionol supplies, is in occordonce with the guidelines estoblished by the Division of Criminol Justice Stondords ond Troining, os provided by Section 938.15 ond 9432L Florido Stolutes. J. Ootes of Police Dote 227 EXHIBIT D Miomi Beoch Police Deportment Speciol Revenue Accounl FY 2OI 5116 BUDGEI Community Activities Low Enforcement Equipment ond Supplies Focilities Mointenonce $50,000 $2o,ooo $5,ooo TOTAL-7516 228 EXHIBIT E Culturol Gronts f Receiving Fresh Air Funds {$2000 included in oword omounl) 229 EXHIBIT "F" MBVCA FY 2OI5I2OI6 WORKPTAN AND BUDGET ADMIN ISTRAT! ON RECOM MEN DATION Adopt the Budget ANALYSIS BACKGROUND The Miami Beach Visitor and Convention Authority (MBVCA) was created and exists pursuant to Chapter 57-930 of the Laws of Florida and Sections !02-246 through, and includingT02-254 of the Code of the City of Miami Beach (CMB). According to Sec. LO2-251, the MBVCA is to .take "all necessary and proper action to promote the tourist industry for the city, including but not restricted to causing expert studies to be made, promotional programs, the recommendations and development of tourist attractions and facilities within the city, and to carry out programs of information, special events, convention sales and marketing, advertising designed to attract tourists, visitors and other interested persons." The MBVCA also has the duty of making all necessary rules and regulations forthe efficient operations of the authority. The MBVCA is a seven-member authority. Each member is appointed by the City of Miami Beach Commission, with the goal of encouraging, developing and promoting the image of Miami Beach locally, nationally and internationally as a vibrant community and tourist destination. To this end, the MBVCA strategically focuses its funding investments in a balanced manner, fostering outstanding existing programs, stimulating new activities, and encouraging partnerships. The MBVCA is committed to a careful, long-term plan for allocation of resources to build the uniqueness of Miami Beach as one of the world's greatest communities and tourism destinations. A budget revenue projection is provided to the MBVCA by the City of Miami Beach Budget Office annually based on 5% of the 2% Resort Tax, less 4% tor administrative allowance. On an annual basis the MBVCA must provide the City with a budget, on City forms, based on this projection as outlined in Sec. 702-252, before October 1't. The MBVCA normally budgets funding below the City's projection, as the collection of funds can differ substantially from projection, such as the result of unanticipated problems like an airline strike, terrorism, economic issues or storms. ln 2008, revenue collections came in 548,000 under estimated projection, and in 200L the revenue collection was down approximately 5300,000 from projection. When and if there are unallocated funds remaining at the end of the budget year, those funds are either rolled over and allocated in the next budget year, or retained in MBVCA accounts for future reserves, endowment funding, to address any funding reductions in future years; in 2001, by statute, the MBVCA began investing into the creation on an endowment fund. The MBVCA is required by law to maintain reserve bank accounts in approved public depositories, with sufficient reserves to cover one year of funding, which it does. Reserves are maintained to pay grant recipients (contracted) for the previous program funding cycle, and to ensure that sufficient funds can be invested to stimulate tourism in the future. The level of reserves was modified in 2011 in order to maximize the value and impact of tourism directed funds. The MBVCA submits an annual Program of Work to the CMB as required by Sec. L02-287, and is audited annually by the City of Miami Beach as required in Sec. L02-28L. MBVCA audits have been positive for the past 15 years. 230 EXHIB'T OF' MBVCA FY 2015/2016 WORKP1AN AND BUDGET FY 2014/2015 REVIEW/TOURISM ADVANCEMENT PROGRAM fiAP) The MBVCA Tourism Advancement Program (TAP) was established to promote Miami Beach as a sophisticated tourist destination by increasing the number of visitors; through enhancement of visitors' experiences; through the allocation of funds granted to events or programs that bring visitors to the CMB and strengthen the CMB brand. ln fiscal Vear 20L4/2015, the MBVCA funded TAP in nine categories, including: Cultural Tourism, Film lncentive, lnitiatives, Major One Time Special Event, North Beach lncentive, Special Events Recurring, Special Projects, Special Projects Recurring, and Tourism Partnerships. ln 20L4, the MBVCA continued to fund investments, utilizing funds rolled over from several years past. A total of s1,252,330 was awarded in FY 2oL4l2OL5, compared to $1,681,122.33 in tY 20L3120L4. The decrease in awards reflects several rescinded events. Grants funded in partnership with the CMB are critical, branded tourism-related programs, such as the South Beach Wine & Food Festival and Winter Music Conference, both examples of events whose beginnings in Miami Beach stem from grants provided bythe MBVCA-events, which could be recruited by other destinations FY 2015/2016 TOURISM ADVANCEMENT PROGRAM The MBVCA strategically focuses funding to maximize tourism and brand, to improve Miami Beach by focusing on events and projects that generate significant publicity, strengthen brand and increase tourism (generating critical resort taxes for Miami Beach). The Board pdys significant attention to marquee events. Review process: For over a decade, the MBVCA has used a multi-level review process for its grant program; the process is reviewed annually. The process includes a mandatory pre-proposal staff conference regarding MBVCA policies and procedures and TAP. During the interview, MBVCA administration advises each potential applicant regarding the eligibility and appropriateness of the proposed project and defines the grant category best suited to the potential applicant. Once it is determined that the project is eligible, MBVCA administration will continue to provide further detail of the process, including required attachments and meeting dates. All grant formats and policies are available on the MBVCA website. By Florida law, all MBVCA meetings are advertised and open to the public; all records are public records. Annually, the MBVCA Board reviews and refines grant guidelines with respect to efficacy and effectiveness. ln FY 20!2/2013, the MBVCA implemented changes to its funding caps and declining scale. The new declining scale and funding caps allowed the MBVCA to diversify their funding into other areas and initiatives as requested by the City administration and/or the Board. lnFY 20L5/2015 the MBVCA voted to maintain the criteria in place for the Major One Time Special Event and Special Events Recurring grant categories requiring a total of 350 hotel room nights to be contracted, from the original 250 hotel room nights required, and the media impressions up from 500,000 to a required 1,000,000. The viewership criteria remained at 1,000,000. Grant applicants need to meet two of the three criteria in place for each of the MBVCA grant categories. The MBVCA guidelines and application process places emphasis on defining and measuring the economic impact of each event, as well as considering the impact and value of marketing, publicity and television origination/viewership. Questions concerning the economic impact of the program, including requiring an explanation of various aspects of the marketing plan, and how the numbers of hotel room nights are calculated and where they are contracted, are also required as part of the application, as are the event's or organization's publicity plan, community and residential involvement, or special residents' considerations. The application requires contract confirmation for hotel room blocks; media contract agreements and/or viewership contracts to be attached to the completed application; that data must be confirmed before and after funding is awarded. Standardized recap sheets and point systems have been developed to give each applicant a score that rates potential success. Using this tool, the MBVCA can better evaluate the applicant's long-term commitment to the 231 EXHIBIT "F" MBVCA FY 2015/20T6 WORKPTAN AND BUDGET community, commitment to brand enhancement, value to tourism, and economic impact. The MBVCA votes on each specific and individual grant, and evaluates the grant request, funds available and possible extenuating circumstances after a formal presentation is made by the grant applicant. A question and answer period follows with further discussion as needed. RECURRING PROJECTS: The MBVCA has a current policy in place to fund recurring projects on a declining scale. The declining scale encourages recurring events to recruit corporate and private sponsorship and, therefore, not solely rely on MBVCA funds as a means of sustaining the event year after year. The award category establishes funding caps for recurring events, funding that can be reduced based on the maximum request for the specific grant category. Below is the current scale, implemented in"FY'2012/13; applicable to non and for profit agencies. Year 1 lnitial Grant Award Year 2 No more than 80% of Elieible Request Year 3 No more thanTOo/o of Eligible Request Year 4 No more than 50% of Eligible Request Year 5 New Cycle Begins CATEGORIES: Tourism Advancement Program funds are currently awarded in nine categories, including: Cultural Tourism, Film lncentive, lnitiatives, Major One Time Special Event, North Beach lncentive, Special Events Recurring, Special Projects, Special Projects Recurring, and Tourism Partnerships. The MBVCA has developed pre-eligibility criteria for grants within these categories. The criteria allow staff to determine eligibility and the appropriate grant category. Applicants must meet two of three of the criteria noted. Grant Categorv Hote! Room Nishts lmpressions Viewership CulturalTourism 200 s00,000 1,000,000 Film lncentive*250 N/A N/A lnitiatives**N/A N/A N/A Major One Time Special Event 350 1,000,000 1,000,000 North Beach lncentive 75 200,000 500,000 Special Events Recurring 350 1,000,000 1,000,000 Special Proiects 2,500 2s0,000,000 15,000,000 Special Projects Recurrine 2,500 250,000,000 15,000,000 Tourism Partnerships 200 500,000 5,000 (visitors/attendees/oa rtici pa nts) + lndustry specific eligibility criteria in place for this program ** lnitiatives are specifically targeted towards organizations chosen by the MBVCA to carry out the designated initiative 232 EXHIBIT'F' MBVCA FY 2015/2016 WORKPTAN AND BUDGET Budget Budget (TAP) FY 20L4/2075: The MBVCA has budgeted$L,862,245 for FY 2075/20L6 for'its Tourism Advancement Program which reflects 630/o of the total budget. This grant funding reflects an increase of S156,245 from FY 2OL4l2Ot5. This increase is due to an increase in the total number of new grants being requested' o The Tourism Partnerships category is budgeted at 5109,245, reflecting 4% of the total budget for FY 2OL5/20L6. The category currently includes applicants at the maximum request cap of 530,000' Four applications are anticipated to be received. . The CutturolTourism category, a joint grant with the City's Cultural Arts Council (CAC) is budgeted at .S3O,OOO with the"CAC contributing an additional S30,OOO. A total of two applicants are expected, each at a 530,000 request. o The Mojor one Time Speciot Event category, representing 8% of the total budget, is budgeted at S225,OOO inFY 2OL512015, which reflects a decrease from FY 20L4120L5. The MBVCA expects five new events to apply at a maximum request of 545,000. The MBVCA works tirelessly to stimulate and recruit new events and is willing and prepared to fund valuable tourism and brand related events' ln fact, the MBVCA works with all partners, city leadership and media to solicit appropriate new projects. New applicants are expected to include Beach Bear Weekend, Maison d' Objet, Seed Conscious Plant Based Food and Wine Festival, and the Serena Williams Live Ultimate Run South Beach. o The Speciol Events Recurring category, reflecting 25% of the total budget, has been calculated at 5736,000 for Fy 2Otsl2OtG based on the established declining scale and the number of applicants anticipated to return. o The Speciot Projects category is budgeted at S27O,OO0 with three applicant expected at the maximum request of590,000 representing 9% ofthe total budget. o The Special Projects Recurring category is budgeted at 52142,000 and represents 7L% of the total budget. Anticipated applicants include the Orange Bowl Marketing Campaign; South Beach Comedy Festival; Miami Marathon and Half Marathon and Tropical 5K; the Food Network South Beach Wine and Food Festival; the Miami lnternational Film Festival; FUNKSHION Fashion Week Miami Beach; and Winter Music Conference. These events, recruited and sustained by the MBVCA, are all marquee events and annually fillthe City's hotel rooms. o The Film tncentive category is budgeted at S3O,OOO for FY 20L5120L6, which represents 1% of the budge! budgeting for a total of 1 possible applicant. o The North Beoch tnitiative lncentive category is budgeted at 520,000 for FY 20L5/2015, representing 1% of the budgeq in anticipation of 2 applicants at the maximum request of S10,000 each. Destination Marketing The Destination Marketing allocation reflects a 2% of lhe total budget for FY 20L4/2015. This allocation provides for the additional placement of stories and press releases on the PR Newswire. New lnitiatives The MBVCA expects to support new initiatives in FY 2015120L6. Strategic plans, goals and initiatives are developed through consultation, the result of ongoing communications with the Mayor, Commission and City Administration. Some of these initiatives include the Worldoutcames Marketing Plan and the continued support of The Customer and You - Certificate Program in Service. The category is budgeted for FY 20!5/2016 at $130,000, representing4% oflhe total budget. 233 EXHIBIT "F" MBVCA FY 201512016 WORKPTAN AND BUDGET Public Relations I nitiative ln FY 20L312O74, the MBVCA put out a Request for Qualifications (RFQ) for a P.R. agency of record to enhance Miami Beach's image. The MBVCA selected Hill & Knowlton/SAMCOR to support the MBVCA efforts by continuing increasing brand awareness through strategic media outreach to consumer and travel trades, major event recruitment, and business and corporate communications programs. There is an allotment of 5250,000, representing 8% of the total budget, towards this effort. The current contract with H+K runs through August 30, 2015 in FY 20L512016. Objectives include increased public relations or tourism related activities in CMB, recruitment of new events and meetings, and improvement of CMB global reputation. CMB leaders have been active participants in planningand in oversight. H+K has an extensive presence in the US and internationally. The agencyis ability to network and leverage its global relationships is crucial to the growth of the 'Miami Beach' brand. H+K created and distributed a total of 15 press releases during their first year as agency of record, garnering 2,97'J,,443,2!9 media impressions and 12 press releases during their second year, generating 3,913,34L,910 media impressions. ln their third year, H&K generated 2,783,369,818 media impressions to date, through the issuance of 13 press releases. During their fourth year, H&K has developed and released a total of 12 press releases, generating a total of 2,033,516,567.00 media impressions, valued at S S21,130,462.94. Visual Memoirs Proiect The MBVCA issued an RFP for qualified entities to record, catalogue and warehouse personal and eyewitness accounts of the history of the City of Miami Beach in FY 201L12OL2. The deliverables included a recorded detailed history of Miami Beach through personal interviews, creating collateral materials about the history of Miami Beach and identifying comprehensive exhibit concepts that can be implemented to execute a comprehensive visual memoir library and promotional campaign. The Miami Design Preservation League in partnership with Close-Up Productions, was awarded a one year contract on October 7,}OLL in the amount of 521,000, and the contract was renewed in FY 207212073for an additional 521,000, which represents L% of the total budget. A total of forty interviews were conducted during the Project's first year. The exhibit opened to the public daily for its initial run from mid-October through late November 20L2, free of charge from 10:00am until 4:30pm and reopened during Art Deco Weekend 2013. The documentary played on a loop in the lecture hall portion of the Art Deco Welcome Center. Seating was also placed near the screen and accommodated approximately 25 people at a time with standing room in the back. A total of twelve interviews have been conducted as of July 2013 with another eight interviews to be completed by September 20t3. An educational component was developed for FY 20L212013 that included a video and guide for Miami Beach Middle Schools. ln FY 20L312014, the videos were prepared for archival as part of a statewide university consortium. MDPL also collaborated with various institutions to create links to the online materials. At the end of FY 2OL4|2OL5, MDPL and Close-Up Productions will have conducted and transcribed a total of 75 interviews. 234 EXHIBIT "F" MBVCA FY 201512016 WORKPTAN AND BUDGET ln FY 20L512016 MDPL is proposing to conduct an additional 15 interviews with full transcripts as well as coordinating and presenting the visual Memoirs material at the MDPL Deco Museum. ln addition to their scheduled interviews, MDPL is also proposing the development of a digital promotional portal showcasing the video archive with links highlighting other Miami Beach historical resources, housed at institutions in Miami Beach and Miami Dade County. The "Windows on Miami Beach" portal is expected to generate local interest and support through school contests and online displays created by students and joint curating displays by portal partners; offer daily and weekly calendars of partners' events; develop social media linkages that drive people to the new website and its resources; provide easier access to the interviews, educational videos and curricula produced by the Visual Memoirs Project; increase patronizing of museums and historic sites on Miami Beach, and promote Miami Beach as a tourist destination through historic and artistic connections. The FY 207512076 is budgeted at s30,000 which is 1% of thetotal budget. lTlAPl Development The MBVCA wishes to provide visitors with timely and relevant information about the City of Miami Beach, its public and private attractions, services, hotels, businesses, and events in order to enhance visitors (and residents) experience. Visitors to Miami Beach - all visitors worldwide - are increasingly using technology to navigate cities or make decisions about leisure experiences, dining, parking, entertainment and travel in general. Worldwide, technology is king. Many visitors already use the free Miami Beach Wi-Fi service to access the information they need at locations around town. Miami Beach visitors and residents are using smartphones and tablets to communicate and acquire information to make these kinds of decisions on-the-go. lt is now critical for these visitors and residents to have access to mobile applications (Apps)that can help them obtain the information they need to make a timely and informed decisions. The FY 2OL5/2OLG is budgeted at 520,000 which is 1o/o of the total budget. The MBVCA's preliminary review of opportunities and needs was initiated in spring 2011 in consultation with area experts, and subsequent to a public meeting sponsored by the MBVCA, as a situational analysis. The MBVCA released an RFP inJanuary 2O!2and awarded a oneyearcontracttoJust Program LLCdba Solodevon May 22, 2012. Ihe purpose of the RFP was to develop a Miami Beach-focused web-based digital content management system (CMS) and modifiable database to support 3'd party mobile applications via an application programming interface (APl). Currently, the API is fully functional with 230 different categories of businesses each averaging 90 different services and amenities. Web and App developers will be able to use these attributes to create new and exciting experiences for their end-users. A fully functional mobile App for the MBVCA API for both iPhone and Android platforms. We have allocated S2O,OO0 or l% of the overall budget in FY 20L512016, to add additional categories to expand the API data to include local non-business information that can be useful in app development such as beach access roads, public restrooms, and life-guard stands. A total of $55,000 has been allotted to market and promote the API/App to App developers in the FY 2075120t6, representing 2% of the total budget. Research and Development The MBVCA will develop a Strategic list of major events worldwide after consulting with all partners and as the result of on-going communications. We expect to investigative some of these events with the intention of making a discovery that can lead to the development of new major event for the destination. The MBVCA has budgeted 57,500 of the total budgeted towards this effort. 235 EXHIBIT'F' IYIBVCA FY 2015/2016 WORKPTAN AND BUDGET Proiected Cash Flow Reserve The MBVCA has budgeted S2,OOO of the total budget, in the cash flow reserve for FY 20L5120L6. The City of Miami Beach allots resort tax payments to the MBVCA a month after its collection. Therefore, as a fiscal responsibility, the MBVCA has built in a 52,000 projected cash flow reserve to its budget to ensure that all grants awarded will have the necessary funds to be reimbursed upon proper request and documentation. FY }OLSl2OL6 Administration and Overhead The MBVCA's administration and benefits costs are budgeted at 5361,255 for the FY 201512015. This figure represents L2%ofthetotal budget. TheoverheadallocationisbudgetedatSlg5,000whichreflectsT%otthe overall budget. The increase from FY 2OL4/2OLS is attributed to the cloud information hosting and redundancy, and staffing a full office. The total administration and overhead is 18% of the total budget.l FY 2014/2015 Rollover A total of 5300,000 will be rolled over from FY 2OL4|2O15 into the FY 20L5/20L5 MBVCA budget to fund special projects. This rollover of funds is primarily from the grants that were either not awarded and/or were rescinded for noncompliance. CONCLUSION At their August 27,2OLS meeting, the MBVCA Board recommended the Mayor and City Commission adopt the MBVCA Budget for FY 2OL5/2016 in the amount of 52,975,000 as reflected in Exhibit A. t This is below the non-profit industry standard of 20% (Source: BBB) 236 EXHIBIT ''F'' MIAMI BEACH VISITOR AND CONVENTION AUTHORIW FY 2otsl2076 ADOPTED BUDGET PROPOSED FY2014.2015 FY2015.2016 VARIANCC Unrestricted Rollover Projected Resort Tax TOTAL REVENUES EXPENDITURES Administration & Benefits Operating Expenses Capital Total Administration GRANTS - Tourism Advancement Program Tourism Partnerships Cultural Tourism Major One Time Special Event Special Events Recurring Special Projects Special Projects Recurring Film lncentive North Beach lncentive Total Tourism Adv. Program Ma rketi n g/PR/Tech nology Marketing/Communications and PR RFP visual Memoirs API Marketing lT Development Total Other Destination Marketing I nitiatives R&D Projected Cash Flow Reserve Total other TOTAL s 3ss,000 s 2,410,000 5 300,000 S 2.676.000 s (3ss,ooo s (2,110,000 s 2,76s,000 s 2.976.000 s 211,000 s s s 325,000 185,800 3,000 s 361,2ss s 19s,000 S 3,ooo s 36,2ss s 9,200 s s 513,800 s ss9,25s s 45,455 s 120,000 s 3o,ooo s 362,000 S 57o,ooo s 119,920 s 334,080 S 3o,ooo s 30,000 s 109,24s s 30,000 s 22s,000 S 736,000 s 270,000 5 442,000 S 3o,ooo s 20,000 s 10,7ss s s 137,000 S 66,000 s (1s0,080 s 707,920 s s (10,000 S 1,696,000 7,862,24s5 5 L66,245 s 2s0,000 s 21,000 s s0,000 s 10,000 s 2s0,000 s 3o,ooo s 6s,ooo s 20,000 s s (e,ooo s 1s,000 s 10,000 s 331,000 s 36s,000 5 34,000 s 39,200 s 183,000 S s 2,000 5 so,ooo 5 130,000 s 7,s00 S 2,ooo (10,800 53,000 (7,s00 s s s s 224,200S s 189,s00 s (34,700 s 2,76s,000 s 2,976,000 S 211,ooo 237 :ri r ! :i a sE T E =F F E f+EEsEl E tn t EE e Ert =E E ;3 .- g:E 5s ; F? t *;i sTFEEEq;i: E EE fE ; si t E I;EsE if E E ;E =E s eE 5 Eo rE i€ t 3E E io :C ic E cB E ; EEsl, Es i fs E e ;:rststEi3ii ==ggE ei ER :: it B ;E5i5 ii i$ ;; in E =E'itggEgiEiEEI 3F gi TEE;a*i;ts;gEEH EE E;3t :Es Et gI ll.l E{ E; ei I!$ :; *gg :i EE EE f5E fE E3 = Eg g? ii ssr Ei rr* E;;eH;;E*ei*seEuEs; \ UJzo\ cn c ttz B E= 4ai 6- d= -= 238 COMMISSION ITEM SUMMARY lntended Outcome Su The FY 2015fi6 proposed budget is $226,000. This budget includes line items which were requested and approved by the Normandy District Homeowners'Association on July 17,2015. These include $10,000 for guard house upgrades and $3,700 for plastic poles and lines leading up to the guard gate. The budget is $4,000 (2%) higherthan the FY 2014115 adopted budget. The proposed ad valorem millage recommended by the Administration is 1.0093 mills. This millage rate will fund the cunent service level budget for the District as well as some remediation work to be performed on the guardhouse, as requested by the homeowners' association. This millage rate is 0.1212 mills (10.7%) lower than the FY 2014115 adopted millage of 1.1305. This tax levy would generate proceeds of $154,636, which will be budgeted al95%, $147,000. The proposed rate of 1.0093 requires a majority approval (4 ot 7 votes) of the Commission. The rolled-back rate is the millage rate required to produce the same level of property tax revenue on FY 2015/16 as collected in FY 2014115. The rate is calculated as 0.9956, or 0.1349 mills less than the millage rate adopted for FY 2014115. The rolled-back millage rate tax levy would generate proceeds of $152,537. The difference between the cunent service level and rolled-back rate levy is $2,099. The first public hearing on the District's tentative millage rate and budget for FY 2015116 was held on September 10, 2015. The millage rate presented herein is that which was tentatively adopted at the end of the first public hearing held on that day. Amount Account 't 2 Total Financial lmpact Summary The July 1,2015 Certification of Taxable Value from the Miami-Dade Property Appraiser reflects a 14.0 percent increase in property tax values from the July 1, 2014 tax roll certification. The proposed millage rate for the FY 2015116 budget results in property taxes of $154,636 in the Normandy Shores Neighborhood District Homeowner's Association ($147,000 at 95%). Condensed Title: A RESOLUTION OF THE BOARD OF DIRECTORS OF THE NORMANDY SHORES LOCAL GOVERNMENT NEIGHBORHOOD IMPROVEMENT DISTRICT ADOPTING THE FINAL AD VALOREM MILLAGE RATE OF 1.0093 MTLLS FOR FTSCAL YEAR (Fy) 2015t16 FOR THE NORMANDY SHORES LOCAL GOVERNMENT DtsTRtcT, wHtcH ts oNE AND FOUR TENTHS PERCENT (1.4o/o) MORE THAN THE "ROLLED-BACK" RATE oF 0.9956 M|LLS. lncrease visibility of police; Maintain crime rates at or below national trends Supporting Data (Surveys, Environmental Scan, etc.): ln the 2014 Community Survey, both residents and businesses reported the following areas for the City to address in an effort to improve public safety:o Neighborhood safety during the day (Residents: 98%)o Neighborhood safety during the evening/night (Residents: 88%) Item Summarv/Recommendation : Normandy Shores Local Government Neighborhood lmprovement Board meetings on April 13"', June MIAMIBHACH.Rw 239 I -e. -f. @r^-^- 1915.2015 TO: FROM: Cify of Miomi Beoch, 1700 Convention Center Drive, Miomi Beoch, Florido 331 39, www.miomibeochfl.gov COMMISS MEMORANDUM Mayor Philip Levine and Members Jimmy L. Morales, City Manager DATE: September 30, 2015 SUBJECT: A RESOLUTION OF THE D OF DIRECTORS OF THE NORMANDY ADOPTTNG THE FINAL AD VALOREM MILLAGE RATE OF 1.0093 MILLS FOR FrscAL YEAR (FY) 201s116 FOR THE NORMANDY SHORES LOCAL GOVERNMENT DISTRICT, WHICH IS ONE AND FOUR TENTHS PERCENT (1.4o/.1MORE THAN THE "ROLLED-BACK" RATE OF 0.9956 MILLS. ADMINISTRATION RECOMMENDATION The Administration recommends that the Mayor and City Commission, acting in its capacity as the Board of Directors for the Normandy Shores Local Government Neighborhood lmprovement District, adopt the attached resolution which authorizes the City Manager to transmit the following information to the Miami-Dade County Property Appraiser: 1) The final Adopted Millage Rate for the Normandy Shores Neighborhood lmprovement District for FY 2015116: General Operating 1.0093 mills (0.1212 decrease from last year) 2) The final adopted millage rate of 1.0093 mills is 1.4o/o rnoe than the "Rolled-Back" Rate of 0.9956 mills. The first public hearing on the tentative District millage rate and budget for FY 2015/16 was held on September 10,2015. The millage rate herein is that which was tentatively adopted at the end of the first public hearing on that day. BACKGROUND The Normandy Shores Local Government Neighborhood lmprovement District, a dependent taxing district of its principal, the City of Miami Beach, was established in 1994 to provide continual 24-hour security to this gated community; FY 2015116 represents it twenty-second year of operation. 240 FY 2015/16 Normandy Shores Final Millage Rate September 30, 2015 Page 2 of 4 The District was established by Ordinance 93-2881, and has the authority "fo levy an ad- valorem tax on real and personal property of up to two mills, provided that no parcel of property will be assessed more than $500 annually for such improvements". During FY 1998/99 the amount of annual funding to be provided by the City and the dependent status of the District were issues discussed by the Finance and Citywide Projects Committee. A determination was reached that the City would fund 35% of the annual cost of the operation of the community gate guard. This cost will eventually be funded from the golf course operation of the Normandy Shores Golf Course. lt was further agreed that the City would continue to supplement the District at current levels until both issues were resolved. On August 29, 2002, the Administration met with the Normandy Shores Local Government Neighborhood lmprovement District representatives and agreed to eliminate the $500 cap on the highest valued home in the District. The enabling legislation was adopted by the Commission on September 25, 2002. This ensures that the City's contribution from the General Fund remains at 35% of the operating budget of the District. PROCEDURE The operating millage and budget for this dependent special taxing district must be adopted in accordance with Florida Statutes. This procedure requires that this Resolution be considered immediately after the millage and budget of the principal taxing authority, i.e., City of Miami Beach. It also prescribes that a final millage be adopted first. This is accomplished by adopting a Resolution which states the percent increase or decrease over the "Rolled-back" rate, and the date, time, and place of the second public hearing scheduled to adopt the final millage. Following this, another Resolution which adopts the final Normandy Shores District operating budget must be approved. (See accompanying District Budget Agenda item for details). The statute requires the name of the taxing authority, the rolled-back rate, the percentage increase, and the millage rate be publicly announced before adoption of the millage resolution. ANALYSIS On July 1, 2015, the City received the 2015 Certification of Taxable Value from the Property Appraiser's Office stating that the taxable value for Normandy Shores is $153,211,486 which includes an increase of $1,138,178 in new construction, renovation, etc. The preliminary value represents an increase of $18,848,290 from the July 1,2014 Certification of taxable value of $1 34,363,1 96 (14.0 percent) and an increase of 14.4 percent over 201 5's July 2014 value of $133,926,705. lt is important to note that the January 1,2014 tax roll for Normandy Shores decreased by almost $436,491 (0.3%) between the July 1, 2014 valuation and the valuation on July 1,2015, due to appeals, adjustments, etc. 241 FY 2015/16 Normandy Shores Final Millage Rate September 30,2015 Page 3 of 4 Current Service Level Budget The current service level budget reflects budget increases or decreases necessary to provide the current level of services in the coming year. The proposed FY 2015/16 current service level budget is $226,000. This budget includes line items which were requested and approved by the Normandy District Homeowners'Association on July 17,2015. These include $10,000 for guard house upgrades and $3,700 for plastic poles and lines leading up to the guard gate. The budget is $4,000 (2%) higher than the FY 2014115 adopted budget. The proposed ad valorem millage recommended by the Administration is 1.0093 mills. This millage rate will fund the current service level budget for the District as well as some remediation work to be performed on the guardhouse, as requested by the homeowners' association. This millage rate is 0.1212 mills (10.7%) lower than the FY 2014115 adopted millage of 1.1305. This tax levy would generate proceeds of $154,636, which will be budgeted at 95o/o, $1 47,000. The rolled-back rate is the millage rate required to produce the same level of property tax revenue on FY 2015116 as collected in FY 2014115. The rate is calculated as 0.9956, or 0.1349 mills less than the millage rate adopted for FY 2014115. The rolled-back millage rate tax levy would generate proceeds of $152,537. The difference between the current service level and rolled-back rate levy is $2,099. The adoption of the current service level millage of 1.0093 would require a majority vote of the Commission. Further, pursuant to State Statute, the City may elect to approve millage rates above the rolled-back rate up to the constitutional cap of 10 mills subject to the following votes by the Commission or referendum: . Option l: A majority of the approval of the Commission Millage is required to approve a millage up to 1.0551 (equivalent to a 1.96% increase in Property Tax revenues). The 1.960/o increase is the state per capita personal income gain for the prior calendar year. . 9l!!-on-!!: A two-thirds approval (5 of 7 votes) of the Commission is required to approve a millage up to 1.1606 (equivalent to a 10% increase in Property Tax revenues above Option l). . 9I!!g!--!!!: A unanimous approval of the Commission or referendum is required to approve a millage above 1.1606 mills The proposed rate of 1.0093 requires a maioritv approval (4 of 7 votes) of the Commission. tt must be noted that in accordance with State Statute, there is a 10 mill operating cap which cannot be exceeded without voter approval. Combining both millages from the dependent district (1.0093 and the principal taxing authority (5.9123) totals 6.9216 mills, which is 3.0784 mills less than the 10 millcap. The first public hearing on the tentative District millage rate and budget for FY 2015/16 was held on September 10,2015. The millage rate herein is that which was tentatively adopted at the end of the first public hearing on that day. 242 FY 2015/16 Normandy Shores Final Millage Rate September 30, 2015 Page 4 of 4 CONCLUSION The City Commission, acting in its capacity as the Board of Directors of the District, should adopt the attached Resolution which establishes a final millage. JLM/J&> 243 RESOLUTION NO. A RESOLUTION OF THE BOARD OF DIRECTORS OF THE NORMANDY SHORES LOCAL GOVERNMENT NEIGHBORHOOD IMPROVEMENT DISTRICT ADOPTING THE FINAL AD VALOREM MTLLAGE OF 1.0093 MILLS FOR FTSCAL YEAR (Fy) 2015/16 FOR THE NORMANDY SHORES LOCAL GOVERNMENT DISTRICT, WHICH !S oNE AND FOUR TENTHS PERCENT (1.4%l MORE THAN THE..ROLLED.BACK" RATE OF 0.9956 MILLS. WHEREAS, for the purpose of providing security services within the Normandy Shores neighborhood area, the Mayor and City Commission adopted Ordinance No. 93-2881 on October 20, 1993, which authorized the creation of the NormandyShores LocalGovernment Neighborhood lmprovement District (District); and WHEREAS, Section 200.065, Florida Statutes, specifies the method by which municipalities may fix the operating millage rate and adopt an annual budget for dependent taxing districts; and WHEREAS, the maximum millage that.can be approved by a simple majority (4/7) vote is 1.0551; anything beyond that requires a 5/7'n'vote; and WHEREAS, on July 31,2015, the City Commission, acting as the Board of Directors of the District, following a duly noticed public hearing, adopted Resolution 2015-29101 which set the proposed operating millage rate for the District at 1 .0093 mills for the purpose of providing security services within the District; and WHEREAS, accordingly, on September 10,2015, pursuant to Section 200.065 of the Florida Statues, the City Commission, acting as the Board of Directors of the District, held its first duly noticed public hearing to consider the Tentative Ad Valorem Millage and Tentative Operating Budget (FY 2015/16) for the District; and WHEREAS, accordingly, on September 30,2015, pursuant to Section 200.065 of the Florida Statues, the City Commission, acting as the Board of Directors of the District, held its second duly noticed public hearing to consider the FinalAd Valorem Millage and Final Operating Budget (FY 2015/16) for the District. NOW, THEREFORE, BE IT DULY RESOLVED BYTHE BOARD OF DIRECTORS OF THE NORMAN DY SHORES LOCAL GOVERN M ENT N EIGH BORHOOD IM PROVEM ENT DISTRICT, that, following a duly noticed public hearing on September 30, 2015, the Board hereby adopts the Final Operating Millage rate of 1.0093 mills for the District for FY 2015116, which is one and four tenths percent (1.4%) more than the "Rolled-back" rate of 0.9956 mills. PASSED and ADOPTED this 30th day of September 2015. ATTEST: Chairperson of the District APPROVED AS TO FORM & LANGUAGE & FOR EXECUTION \,\ ("- D\"f Secretary to the District CllyAtlomey { ':1 [;.:Jt 5 244 lEis;liaiggEgig;ilEgt$fEEE'iBiiEiEiiisi't*iifs EHissui*it*E:fEsEisi EElrltl;t*I;EllrIal;5;Eg3ggigiiigiE;iiE gEiiliglggEiiiEgEiErgiiggggiliiiiiEIiEi iEiEEFi$EEEEEiEEEEEiEiiiEiiEEiEiIiEiEiE EEEFEEEiEEi}iEEiigEEiiiIEiiEEEiiEiiEi$ iEI ii EE iiiiiEEiEEEEiiEEi iEiiii iiiE iIi iIi EI gig gi gi iiggiggiEilriiggg iiiiFi Eiillrifu giI gi N 6 oN 6 iI ou =L ofco oE E'6 oo ! c,I o '5 o E c ot .E o o U o.o -oEF Oil;x>6!E)<Hxr rc otr'r9 .9o .qo! -o be 6o oG!!,.d Osuo BE 6= qo iI! to<a -sG i! I bE od;<s\ o9OoiiE !E €t,. o9qOE EE cP.9F .qoE Estr oil.q b{It =EE o S,:a:, ^;o-.o =: -Joo o; H6 .6dF E: Ec 5Str! ., ooo o6 =o ccAL =G*o -cots o Io .rE {to?€et - 686asiq 5$<<o En 6dUJlllN 56 s:ora Ea ;-s =()Cq F.E BFZ-.* =; PY<dfr ?E ;isf 6 5; s!lqE:! E$Hu.ut 3'. EE'''oF 9.E 6E EHts ii s;o ;E e:iZ e4 s*oo s:i; s:3 fti R>q= d-c o xU,EI :U =# >9 -r* ;E ee -n* .:> = o{ ) ig t=\",/ Er <ela =.Ya oL !>\* €9 i.ELi-r E{ ;ii ^dot trA =ot*I-t YE .. o--: -o9 sF<: a c iaN-;" s* 3 €: <* 9i d.8s -\ zif ii<ri \ uz or\ (h () fTlz c E_= fra 6- d= -= 245 THIS PAGE INTENTIONALLY LEFT BLANK 246 COMMISSION ITEM SUMMARY Gondensed Title: A RESOLUTION ADOPTING THE FINAL OPERATING BUDGET FOR THE NORMANDY SHORES LOCAL GOVERNMENT NEIGHBORHOOD IMPROVEMENT DISTRICT FOR FISCAL YEAR (FY) 2015116. lntended Outcome lncrease visibility of police; Maintain crime rates at or below national trends. Suppofting Data (Surveys, Environmental Scan, etc.): ln the 2014 Community Survey, both residents and businesses reported the following areas for the City to address in an effort to improve public safety:. Neighborhood safety during the day (Residents: 98%). Neighborhood safety during the evening/night (Residents: 88%) ltem Summarv/Recommendation : The total operating expenditures to provide the proposed budget to this district is $226,000 for FY 2015116. The City of Miami Beach General Fund is required to provide 35o/o of the total operating expenditures ($79,000), and the City has funded this amount since the District was established in 1994. The amount provided by the General Fund for this purpose in FY 2014115 was $77,700. The FY 2015/16 current service level budget is $226,000. The budget provides for continual 24- hour security and includes line items which were requested and approved by the Normandy District Homeowners'Association on July 17,2015. These include $10,000 for guard house upgrades and $3,700 for plastic poles and lines leading up to the guard gate. The budget is $4,000 (2%) higher than the FY 2014115 adopted budget. The first public hearing on the District's tentative millage rate and budget for FY 2015/16 was held on September 10,2015. The City Commission adopted the tentative millage of 1.0093 and the operating budget for the district in the amount of $226,000. Normandy Shores Local Government Neighborhood lmprovement Board meetings on April 13th. June 23'd and Julv 9th. 2015 Financial lnformation: Source of $ 147.000 Financial lmpact Summary The $79,000 impact to the General Fund from the FY 2015116 budget is $1,300 more than the FY 2014115 adopted budqet impact of $77,700. Assistant Gity Manager # MIAMIBEACH ltDA rrEM f41 B Z 247 r915. 2015 fu.{d",lffi.ffi/rrcw$ City of Miomi Beoch, l7O0 Convention Center Drive, Miomi Beoch, Florido 33139. www.miomibeochfl.gov COMMISSION MEMORANDUM Mayor Philip Levine and Members of City FROM:Jimmy L. Morales, City Manager DATE: September 30, 2015 SUBJECT: A RESOLUTION OF THE BOARD DIRECTORS OF THE NORMANDY SHORES LOCAL GOVERNMENT NEIGH IMPROVEMENT DISTRICT ADOPTING THE FINAL OPERATTNG BUDGET FOR FISGAL YEAR (FY) 2015/16. ADMINISTRATION RECOMMENDATION Adopt the Resolution which establishes the final operating budget for the Normandy Shores Local Government Neighborhood lmprovement District for FY 2015116 in the amount of $226,000. BACKGROUND The Normandy Shores Local Government Neighborhood lmprovement District (the District), a dependent taxing district of its principal, the City of Miami Beach, was established in 1994 to provide continual 24-hour security to this gated conrmunity; FY 2015/16 represents its twenty- second year of operation. The District was established by Ordinance 93-2881 , and has the authority "to levy an ad-valorem tax on real and personal property of up to two mills, provided that no parcel of property will be assessed more than $500 annually for such improvements". During FY 1998/99 the amount of annual funding to be provided by the City and the dependent status of the District were issues discussed by the Finance and Citywide Projects Committee. A determination was reached that the City would fund 35% of the annual cost of the operation of the community gate guard. This cost will eventually be funded from the golf course operation of the Normandy Shores Golf Course. lt was further agreed that the City would continue to supplement the District at current levelsuntiltheGolfCourseassumesthiscost. OnAugust29,2002,theAdministrationmetwith the Normandy Shores Local Government Neighborhood lmprovement District representatives and agreed to eliminate the $500 cap on the highest valued home in the District. The enabling legislation was adopted bythe Commission on September25, 2002. This ensures thatthe City's contribution from the General Fund remains at 35% of the operating budget of the District. PROCEDURE The operating millage and budget for this dependent special taxing district must be adopted in accordance with Florida Statutes. This procedure requires that this Resolution be considered immediately after the final millage for Normandy Shores District has been adopted (See accompanying District Millage Agenda ltem for details). 248 FY 2015/16 Normandy Shores Final Budget September 30, 2015 Page 2 of 2 ANALYSIS The total operating expenditures to provide the proposed budget to this district is $226,000 for FY 2015116. The City of Miami Beach General Fund is required to provide 35% of the total operating expenditures ($79,000), and the City has funded the 35% foreach of the twenty-one years since the District was established. The amount provided by the General Fund for this purpose in FY 2014115 was $77,700. The proposed FY 2015116 current service level budget is $226,000. This budget includes line items which were requested and approved by the Normandy District Homeowners'Association on July 17,2015. These include $10,000 forguard house upgrades and $3,700 for plastic poles and lines leading up to the guard gate: The budget is $4,000 (2%) higher than the FY 2014115 adopted budget. The $79,000 impact to the General Fund from the FY 2015116 proposed budget is $1,300 more than the FY 2014115 adopted budget impact of $77,700. To provide the current level of security required by this district, the Administration recommends the final ad valorem millage of 1.0093 mills. This tax levy will generate proceeds of $154,636. The decrease of 0.1212 mills from the prior year millage represents an annual decrease of $40.00 to the City averag e 2Q15 homesteaded property of $353,999 taxable value. On September 10, 2015, the Mayor and City Commission adopted the tentative operating budget for the District in the amount of $226,000 and the operating millage rate of 1.0093. The final operating budget for the District is as follows: Revenues Ad Valorem Tax $ 147,000 City's General Fund 79,000Total $ 226,000 Expenses Security Service $ 171,000Maintenance 41,300 Guard House Upgrades & Poles 13.700Total $ 226,000 CONCLUSION The City Commission, acting in its capacity as the Board of Directors of the Normandy Shores Local Government Neighborhood Improvement District, should adopt the attached Resolution which establishes the final operating budget of $226,000. JW e, JLM/ 249 RESOLUTION NO. A RESOLUTION OF THE BOARD OF DIRECTORS OF THE NORMANDY SHORES LOCAL GOVERNMENT NEIGHBORHOOD IMPROVEMENT DISTRICT ADOPTING THE FINAL OPERATING BUDGET FOR FTSCAL YEAR (FY) 201sl16. WHEREAS, for the purpose of providing security services within the Normandy Shores neighborhood area, the Mayor and City Commission adopted Ordinance No. 93- 2881 on October 20, 1993, which authorized the creation of the Normandy Shores Local Government Neighborhood Improvement District (District); and WHEREAS for the purpose of providing security services within the District, a final budget has been developed to fund projected FY 2015/16 operating expenses; and WHEREAS, accordingly, on September 10,2015, pursuant to Section 200.065 of the Florida Statutes, the City Commission, acting as the Board of Directors of the District, held its first duly noticed public hearing to consider the Tentative Ad Valorem Millage and Tentative Operating Budget (FY 2015/16) for the District; and WHEREAS, accordingly, on September 30, 2015, pursuant to Section 200.065 of the Florida Statues, the City Commission, acting as the Board of Directors of the District, held its second duly noticed public hearing to consider the Final Ad Valorem Millage and Final Operating Budget (FY 2015/16) for the District. NOW, THEREFORE, BE IT DULY RESOLVED BY THE BOARD OF DIRECTORS OF THE NORMANDY SHORES LOCAL GOVERNMENT NEIGHBORHOOD IMPROVEMENT DISTRICT, that, following a duly noticed public hearing on September 30, 2015, the Board hereby adopts the final operating budget for the District for FY 2015116 as summarized and listed below: Revenues Ad Valorem Tax City's General Fund Expenses $ 147,000 79.000 $ 226,000Total Security Service $ 171,000Maintenance 41,300 Guard House Upgrades & Poles 13.700Total $ 226,000 PASSED and ADOPTED this 30th day of September,2015. Chairperson of the District ATTEST: & FOR,EXECUTION l-L;L A l- rl;;[r7 APPROVED AS TO FORM & LANGUAGE N--\._ \rf,' - CltyAttomey Secretary to the District { Dote250 EiEEiEiEEEiEEEEiiiEiiEEEiEEiiiiiiii EliitiliiiiiEigEEEgiiiiEiEgiiiiiEilli ig tI iiiglEgIglEllilEg ligiEi llil iiE iii ii b' 6 E xtr € P xEE E X !+; ..- - ,i;t 6 I aao' 3 t =*E E .E ;5! o q o.SP E , 9.:i r o F: : o [ !9 ^ 5 a u\.:FEO .9 E 5 .P=E ici L :>,E gR : EHIt =E I =3:E 5S : E6'--: 6iq .! Xg :! + q o d; .= - :s d >*rB EE 3 ri;9 fle ; eqEs 9p -' EHe: ES E cE =f t- i ET =; 5E : "iEoE E i o ; oaE €t 3 iFo I o^o 9 .9 g iE 3T E xi:3 !S l. :5 EI IS 3 H:;:. =: E 3gEfl dS E FE .E; at s ;f ): qo fs €F;_i^ or EF o!;E 5E qR f.d s3 ii It EE90 c o 9; El!ib ,EE *.S b_r aE e,S $E .iE IS =E *E E;;;6 S: tt 3i5!;s' R= ^F iEX rs 3H :S gEs ir sl B$ E;* =@ z.: (9X ;iEaE Ei c$ !qigS ig :E EEFI o' >= r Q ;9s: > Ez o o l: oE: 13 ES !i3oi qt #d U!P:€ i; ;* EES:3 -P; ut 6::F O r?[8.9 =o r! Ei*>l rg O! ot! oo cL : q q'- i>: aa -s'i .p€E'Ei €E ii :srEX ia bP 55el == E q ;NL= q= E=- E; O E=-UI i d.; s d. i:s ri;5 0 5a seB se i s# HiZo di<ki ii<S ii<t! cn(, -2.oE =<<bUJEI Nrlrd =o(nEilT>?g =LUJ;sI b9(/, 5z U4 t*r*lffi *{ g * \ Uzo\ Cn c (, rrlz E= ed E= t- 251 THIS PAGE INTENTIONALLY LEFT BLANK 252 COMMISSION ITEM SUMMARY Gondensed Title: A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ADOPTING THE FINAL CAPITAL IMPROVEMENT PLAN FOR FY 2015116 -2019/20;AND ADOPTING THE CITY OF MIAMI BEACH FINAL CAPITAL BUDGET FOR FISCAL YEAR (FY) 2015/16 lntended Outcome Ensure Value and Timely Delivery of Quality Capital Projects, lmprove Storm Drainage Citywide, and Maintain Citv's I nfrastructure Supporting Data (Surveys, Environmental Scan, etc.): The following have been prioritized as key intended outcomes for the City's Strategic Plan: Ensure reliable stormwater management and resiliency against flooding by implementing select short and longterm solutions including addressing sea level rise, ensure comprehensive mobility addressing all modes throughout the city, build and maintain priority infrastructure with full accountability, and enhance pedestrian safety universally. The FY 2015116 Capital Budget and the Capital lmprovement Plan for FY 2015116 through 2019120 includes funding for capital oroiects to address each of these priorities. Item Su mmarv/Recommendation : The FY 20'15116-FY 2019120 CIP for the Cityof Miami Beach is a five year plan for public improvements and capital expenditures by the City. This document is an official statement of public policy regarding long- range physical development in the City of Miami Beach. The Capital lmprovement Plan has been updated to include projects that will be active during FY 2015/16 through 2019120. The Plan has been updated to include additionalfunding sources that have become available, changes in project timing, and other adjustments to ongoing projects as they have become better defined. Certain adjustments have been made to reflect projects that have been reconfigured, retitled, combined with or separated from other projects and/or project groupings. These adjustments have no fiscal or cash impact and are as a result of a comprehensive review of the program to insure that our plan accurately reflects all project budgets, funding sources and commitments. The Plan also contains information on appropriations prior to FY 2015116 for ongoing/active projects, as well as potential future appropriations beyond FY 2019120. The FY 2015116 Capital Budget presents project budgets for both the current and new capital projects necessary to improve, enhance and maintain public facilities and infrastructure to meet the service demands of residents and visitors to the City of Miami Beach. The Capital Budget for FY 2015116 appropriates funding for projects that will require commitment of funds during the upcoming fiscal year, including construction contracts and architecUengineer contracts to be awarded during the year. At Finance & Citywide Projects Committee meetings on June 3', July 1o, and July 17'n, 2015, the fy 2015116 Capital Budget and updated CIP was discussed and adjustments were made to the funding Financial lnformation: Amount Account 7 $754.761.229 Various - See attachment A of Resolution FY 2015116 OBP!Total Financial lmpact Summary: The FY 2015116 Capital Budget totals $754,761,229, of which $624,250,000 is for Convention Center-related projects. Net of the RDA Anchor Garage and Proposed Future RDA Bonds aoorooriations of $310,096,000, the FY 2015116 capital budget is $444,665,229. Assistant Gity Manager (s MIAMIBAACH 253 r --. --. ii,, Il-,-, It li) . 201Ii City of Miomi Beoch, lZ00 Convenlion Center Drive, Miomi Beoch, Florido 33,l39, www.miomibeochfl.gov COMMISSION MEMORANDUM TO:Mayor Philip Levine and Members of City FRoM: Jimmy L. Morales, City Manager DATE: September 30, 2015 SUBJECT: A RESOLUTION OF THE MAYOR AIfD CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ADOPTING FINAL CAPITAL IMPROVEMENT PLAN FOR FTSGAL YEARS (FY) 2015/16 -2019t20 AND ADOPTTNG THE GITY OF MrAMr BEACH F|NAL CAPTTAL BUDGET FOR (FY) 2015t16 ADMINISTRATION RECOMMENDATION Adopt the Resolution adopting the Final Capital lmprovement Plan for FY 2015116 - 2019120 and adopting the Final Capital Budget for FY 2015116. BACKGROUND Planning for capital improvements is an ongoing process; as needs change within the City, capital programs and priorities must be adjusted. The Capital lmprovement Plan ("ClP') serves as the primary planning tool for systematically identifying, prioritizing and assigning funds to critical City capital development, improvements and associated needs. The City's capital improvement plan process begins in the Spring when all departments are asked to prepare capital improvement updates and requests on the department's ongoing and proposed capital projects. lndividual departments prepare submittals identifying potentialfunding sources and requesting commitment of funds for their respective projects. ln the spring of 2006, the City created a Capital Budget Process Committee comprised of the Capital lmprovements Office, Department of Public Works, Planning Department, Fire Department, Parks and Recreation Department, Parking Department, and Fleet Management Department, togetherwith the Finance Department and the Office of Budget and Performance lmprovement. The Committee is responsible for reviewing and prioritizing new capital projects that will be funded in a given fiscal year, and for recommendation of funding allocations from authorized sources for the prioritized projects. The Committee developed and implemented a structured committee process for development of the Capital Plan and Budget, including review criteria projects must meet in orderto be considered for funding. Under the Capital Budget Process Committee process, departments submit proposed new project requests which staff reviews. Then, there is a sign-off by impacted 254 Resolution Adopting The FY 2U 5n 6 Final Capital Budget and FY 2U 5n 6 - 2019/20 CIP September 30, 2015 Page 2 departments, and a preliminary prioritization of the projects. The process is reviewed and refined annually by the Committee. Based on the direction received from the Finance and Citywide Projects Committee in February 2008, the process was modified to allow for early input to the prioritization process by the Commission, subject to the availability of funds. Under the revised process, a preliminary list of unfunded projects is presented to the Commission orthe Finance and Cihyrittide Projects Committee, providing the opportunity for input and prioritization. This is consistent with the process for Commission input regarding operating budget priorities and the format used is similarto that used to seek guidance on operating budget priorities in prior years. The Capital Budget is adopted at the second budget hearing in September. GOMMITTEE REVIEW On May 11 ,2015, capital funding priorities were discussed a meeting of the Finance and Citywide Projects Committee. The City Manager, Assistant City Managers, the Capital lmprovement Project Office Director, other Department Directors, and other City staff were available to discuss specific projects and respond to the Committee's questions. Based on the review, on June 3, 2015 the Office of Budget and Performance lmprovement presented potential projects for funding in the FY 2015116 Capital Budget with associated available funds. Per the directirin of the Finance and Citywide Projects Comrnittee at their June 3, 2015 meeting, the follgwing changes were made: Renewal & Replacement Fund Pursuant to a 12o/o increase in property values, estimated revenue for Renewal & Replacement was increased from $2,300,000 to $2,694,000. Based on the changes below, the new FY 2015116 recommended funding total is $2,380,000, leaving $314,000 available for Contingency. Based on Committee direction, the following projects were determined to be inconsistent with the intended uses of Renewal & Replacement funds and moved to the PAYGO list: o Flamingo Football Stadium Bleachers Replacement: $116,000 o Palm lsland Playground Safety Surface: $80,000 . Flamingo Park Pool Playground Replacement: $245,000 . Police Station Main Gate Replacement & Helipad Fire Extinguisher: $45,000 . Normandy lsle Pool Playground Equipment: $245,000 . Neighborhood Basketball Court Renovations: $137,000 . Neighborhood Tennis Court Renovations: $92,000 . North Shores Park Playground Safety Surface: $31,000 . Scott Rakow Youth Center Reception and Bowling Enhancements: $66,000 255 Resolution Adopting The FY 2U 5n 6 Final Capital Budget and FY 2U 5n 6 - 2019/20 CIP September 30, 2015 Page 3 Due to funding capacity becoming available from the moves above, the following projects are hereby proposed for Renewal & Replacement funding: . Pavement & Sidewalk Program - FY 16: $500,000 . Street Lighting lmprovement Program: $300,000 . City Hall Roof & Skylight Restoration: $300,000 . PAL Building Ext. Paint & Waterproofing: $50,000 Concurrencv Mitioation Fund. City's match for the lntelligent Transportation System will not to be appropriated until the TIGER grant is awarded. This amount has been moved to be reserved as a contingency pending this award. Local Option Gas Taxo Per request from Transportation, added a new project request for a Traffic Circle at 47th Street and Meridian Ave in the amount of $250,000. o Pavement & Sidewalk Program - FY 16 project funding reduced from $945,000 to $695,000 to accommodate new request from Transportation for 47th Street Traffic Circle; additional paving funds identified in Renewal & Replacement Half Cent Transit Surtax - Countv (PTP) The Committee provided direction to include funding for creating green bike lanes beginning with pending projects and plan for adding green bike lanes throughout the City. With the changes below, the new remaining available balance is $335,896.. Per request from Transportation, proposed funding for project named Euclid Avenue between 17th Street and 5th Street Protected Bike Lanes increased by $348,000 from $122,000 to $470,000 to include Green Bike Lanes. New name: Euclid Avenue between 17th Street and Sth Street Protected and Green Bike Lanes. . Per request from Transportation, added a new project request for a Shared Path on Parkview lsland Park from 73rd Street to 77 Street in the amount of $320,000. . Per request from Transportation, adding the following projects for various Green Bike Lanes (Citywide) totaling $663,000: o Green Bike Lane - Royal Palm Avenue from 42nd Street to 47th Street o Green Bike Lane - Prairie Avenue from 28th Street to 44th Street o Green Bike Lane - 47th Street between Pine Tree Drive and Alton Road Pav-As-You-Go (PAYGO) o Stillwater Fitness Circuit: $36,000 . Commission Chambers estimate increased from $575,000 to $750,000.. City Hall Space Plan (in Tier 2) reduced from $634,029 to $350,000 . Funding for Maurice Gibb Soil Remediation was reduced in PAYGO by $196,000 to a total of $604,000 and the $196,000 funded in Parks & Rec Beautification Fund. . The Kayak Launch Docks project requests were moved to North beach Quality of Life. 256 Resolution Adopting The FY 201 5/16 Final Capital Budget and FY 201 5h 6 - 2019/20 CIP September 30, 2015 Page 4 PotentialAdditional Revenue to PAYGO from an Enhancement offset by proposed Reductions in the General Fund is estimated to add $1,000,000 to PAYGO and the following "Tier 2" projects are proposed to be funded with the additional revenue: . City Hall Space Plan lmplementation - $350,000. Pinetree Dr. Australian Pine Tree Structural Pruning - $147,000. Normandy lsle Park Turf Replacement - $255,000. Flamingo Football Stadium Bleachers Replacement - $1 15,000 . Police Station Building Main Gate Replacement & Helipad Wheeled Fire Extinguisher Equipment - $45,000. Palm lsland Playground Safety Surface - $79,537 PotentialAdditional Revenue to PAYGO from reimbursement from County is estimated to add $1,304,000 to PAYGO and the following "Tier 3" projects are proposed to be funded with the additional revenue. These projects were moved from Renewal & Replacement: . Flamingo Park Pool Playground Replacement - $245,000. Normandy lsle Pool Playground Equipment - $245,000. Neighborhood Basketball Court Renovations - $137,000. Neighborhood Tennis Court Renovations - $92,000. North Shore Park Playground Safety Surface - $31,000. Scott Rakow Youth Center Reception and Bowling Enhancements - $66,000 South Beach - Qualitv of Life. Funding for Maurice Gibb Park Floating Dock for non-motorized vessels was moved to the South Beach Quality of Life fund to allow for $196,000 of the Maurice Gibb Soil Remediation project to be funded from the Parks & Rec Beautification fund. North Beach - Qualitv of Lifeo Funding for Kayak Launch Docks project was moved to the North Beach Quality of Life fund to free up PAYGO funds.o Per request from the CIP department, there is an increase to FY 16 Proposed budget for Tents at North Beach Bandshell from $200,000 to $400,000, bringing the budget for the project to $500,000 ($100,000 has already been funded). Future Parkinq Bondso lncrease to the Proposed Parking Bonds from $59.5 million to $64.8 million Per the direction of the Finance and Citynride Projects Committee at their July 1 ,2015 meeting, the followingchanges were made: Qualitv of Life - South Beacho Remove Espafiola Way Conversion to Pedestrian Mall project estimated at $1.1 million Pav-As-You-Go (PAYGO) . Remove the Press Room portion of the City Hall Space Plan project in the amount of $215,000 257 Resolution Adopting The FY 201 5/16 Final Capital Budget and FY 201 5h 6 - 2019/20 CIP September 30, 2015 Page 5 Local Option Gas Tax. Remove Traffic Circle at47th Street and Meridian Ave in the amount of $250,000 Qualitv of Life - North Beach . Remove additional funding request of $400,000 above the $100,000 already funded for the Tent for North Beach Bandshell project The following changes were made after the July 1tt, Finance Committee meeting. Concurrencv Mitioation Fund. Request from Public Works to increase funding for the West Avenue Bridge project by $800,000 needed to proceed with construction in Q2 FY 2015116, to coincide with completion of construction on the Venetian project Pav-As-You-Go (PAYGO) . The omission of the Press Room from the City Hall Space Plan added $215,000 in available balance for "Tier 2" funding making the total available balance in Tier 2$228,000. Therefore allowing for some projects in "Tier 3" to be moved up to "Tier 2". o Scott Rakow Youth Center Reception and Bowling Enhancements - $66,000 o Neighborhood Tennis Court Renovations - $53,000 (Partialfunding; the remaining $39,000 to be funded in FY 2016117) o Neighborhood Basketball Court Renovations - $70,000 (Partial funding; the remaining $67,000 to be funded in FY 2016117) o Standardized Park Bench Replacements - $20,000 (Partialfunding; the remaining $50,000 to be funded in FY 2016117) o Standardized Park Trash Replacement - $50,000 (Partial funding; the remaining $16,000 to be funded in FY 2016117) . The Flamingo Park Pool Playground Replacement project was moved from "Tier 3" to be split funded from various GO bond funds. Qualitv of Life - South Beach . Moved project named Miami Beach Golf Course - Landscape Removal & Replacement from Parks & Rec Beatification Fund to QOL-SB to accommodate new request from Parks & Recreation. Qualitv of Life - Mid-Beach . Added new request from Parks & Recreation for Beachview Park lmprovements in the amount of $250,000. Qualitv of Life - North Beach . Per Parks & Recreation, funding for North Shore Open Space Dog Fountain project is no longer needed as a pipe was found that can be used for the fountain. . The Altos del Mar Park project can be fully funded from Quality of Life funds because lhe Tent for the North Beach Bandshell funding request was removed on July 1't. This freed up 258 Resolution Adopting The FY 201 5/16 Final Capital Budget and FY 201 5/16 - 2019/20 CIP September 30, 2015 Page 6 funding in various GO bond funds for the Flamingo Park Pool Playground Replacement project formerly on the PAYGO list. GO Parks & Rec Beautification Fund o The Miami Beach Golf Course - Landscape Removal& Replacementwas moved to Quality of Life - South Beach Fund. . Removed Altos del Mar Park funding which will now be funded from QOL-NB and added partial funding of $65,383 for the Flamingo Park Pool Playground Replacement project formerly on the PAYGO list 2003 GO Bonds Parks & Beaches . Per Parks & Recreation, deleted Pine Tree Dog Park expansion. This made available $106,000. . Per Parks & Recreation request, added funding for Polo Park lmprovements, in the amount of $70,000. ln order to accommodate the request for Polo Parks lmprovements, reduced project named Palm lsland Park Landscaping, Sod, and lrrigation by $21,000. . Removed Altos del Mar Park funding which will now be funded from QOL-NB and added partial funding of $75,442 for the Flamingo Park Pool Playground Replacement project formerly on the PAYGO list 1996 GO Bonds Recreation, Culture. and Parks . Removed Altos del Mar Park funding which will now be funded from QOL-NB and added partial funding of $104,175 for the Flamingo Park Pool Playground Replacement project formerly on the PAYGO list Changes per Corymission from July'17th Finance & Citywide Projects Committee meeting: Qualitv of Life - South Beach o Add back Espafiola Way Conversion to Pedestrian Mall. $264,000 in FY 16 and $848,000 in FY 17. Pav-As-You-Go (PAYGO) . Remove Commission Chambers Renovations in the amount of $750,000 Changes made after July 17 ,2015 Finance & Citywide Projects Committee meeting: Renewal & Replacement . Updated FY 16 Estimated revenue from 1 2o/o to 13o/o = $22,000 increase or $2,716,000 Parkino Operations . Revised FY 17 Programmed for corrected A|PP contributions 259 Resolution Adopting The FY 2U 5n 6 Final Capital Budget and FY 201 5/16 - 2019/20 CIP September 30, 2015 Page 7 Qualitv of Life - North Beach . Added $200,000 for North Shore Open Space Park Re-Design. Although this project is funded from private developer's contribution, this funding will advance the design progress and can be reimbursed once the contribution is received. Total estimated cost for design is $850,000. $650,000 available from $1M already received from developer. $350,000 is needed for a North Beach Master Plan. Convention Center Fund . Added a new project for Replacement of a section of the Convention Center roof. Total estimated cost is $2,500,000. Anchor Shops o lncreased funding for Anchor Garage/Shops Windows project in the amount of $46,000 to complete replacement of existing windows to impact resistant windows. People's Transportation Plan (PTP) . The amount to de-appropriate from 16th St. Operational lmprov/Enhancementwas changed from$4,77,934 to $3,030,934. The former number included the FY 201512016 Programmed amount ($1,747,000) which is not actually appropriated and therefore cannot be de- appropriated. o ln FY 2014115 the project named "West Avenue I Bay Road lmprovements" had been programmed for FY 2015116 $1 ,512,000 which was moved during the budget process to FY 201512016 Proposed Budget. However this project is already fully funded for in the Proposed Water & Sewer Master Plan Program in the Water & Sewer Bonds. South Pointe Capital o Added the following Priority 1 seawall projects: o Seawall- Holocaust Memorial - Collins Canal- $400,000o Seawall26th Street-West End - $325,000o Seawall Julia Tuttle Causeway Exit Alton Road East - $1,125,000o Seawall- Dade Blvd Collins Canal- Convention Center Drive to Washington Avenue - $2,375,000o Seawall Dade Blvd Collins Canal - Washington to 23rd Street - $1,625,000o Seawall Convention Center-Collins Canal - $1,800,000 Buildino Trainino & Technoloqv Account . Added $150,000 to the existing Building Process System project for peripheral equipment related to the Energov project. Proposed Bonds o Parking, Resort Tax and RDA projects which were included in the FY15 budget pending bond issuance were moved fonrard to FY16 since the bonds were not issued in FY15. FYl5 Proposed Water & Sewer and Proposed Stormwater projects were reversed in FY15 and loaded I FY16 using the new "project budget" mechanism. 260 Resolution Adopting The FY 2U 5n 6 Final Capital Budget and FY 201 5h 6 - 2019/20 CIP September 30, 2015 Page I Miami-Dade Countv Bond o Moved the balance of $42.4M due from due from Miami-Dade County to FY16, since the city only received $12M during FY15 towards the Convention Center Project. Non - TIF RDA Fund . Moved the budgeted $12M FY15 repaymentto FY16, which will be madewhen Miami-Dade County makes the $42.4M balance due available for the convention Center Project. FY 2015/16 CAPITAL BUDGET AND FY 2015/16 - FY2O19/20 GAPITAL IMPROVEMENT PLAN The City's annual capital budget contains capital project commitments appropriated for FiscalYear (FY) 2015/16 (Capital Budget). Preparation of the Capital Budget occurred simultaneously with the development of the FY 2015/16 - FY 2019/20 Capital lmprovement Program (ClP) and FY 2015116 Operating Budget. The Capital Budget presents project budgets for both the current and new capital projects necessary to improve, enhance and maintain public facilities and infrastructure to meet the service demands of residents and visitors to the City of Miami Beach. Capital reserves, debt service payments, and capital purchases found in the operating budget are not included in this budget. However, we have included a capital equipment section, which itemizes purchases of major capital equipment, fleet, light and heavy equipment and information technology equipment related acquisitions. The Capital Budget for FY 2015116 appropriates funding for projects thatwill require commitment of funds during the upcoming fiscal year. The Capital Budqet for FY 2015/16 totals $754.7 million and is appropriated on September 30, 2015. New bond issuances are anticipated to finance the Convention Center pro.lect including RDA, Resort Tax, and Parking bonds. ln addition, depending on cash flow, Water and Sewer bonds may be issued in FY 201 5/16. Historically there has been a phased approach for the issuance of water, sewer and stormwater financing. Under this approach, the City has accessed a line of credit to allow the City to have the necessary funding capacity to enter into new projects, while allowing the City more time to both build the necessary rate capacity to issue additional tax-exempt bonds through rate increases and also spend down the current committed but unspent bond proceeds. Projects will address many needs in ditferent areas of the City including: neighborhood enhancements such as landscaping, sidewalk restoration; traffic calming; roadway and bridge resurfacing and reconstruction; water, sewer, and drainage system improvements; park construction, renovation and upgrades; renovation of seawalls; parking lot and garage renovation, construction/renovation of publ ic faci I ities; and veh icle replacement. ANALYS!S Gapital lmprovement Plan The FY 2015116 - FY 2019/20 CIP for the City of Miami Beach is a five-year plan for public improvements and capital expenditures by the City. This document is an official statement of public policy regarding long-range physical development in the City of Miami Beach. The Capital lmprovement Plan has been updated to include projects that will be active during FY 2015116 through 2019120. 261 Resolution Adopting The FY 2U 5n 6 Final Capital Budget and FY 2U 5n 6 - 2019/20 CIP September 30, 2015 Page 9 The Plan has been updated to include additional funding sources that have become available, changes in project timing, and other adjustments to ongoing projects as they have become better defined. Certain adjustments have been made to reflect projects that have been reconfigured, re- titled, combined with or separated from other projects andior project groupings. These adjustments have no fiscal or cash impact and are as a result of a comprehensive review of the program to insure that our plan accurately reflects all project budgets, funding sources and commitments. The Plan also contains information on appropriations prior to FY 2015116 for ongoing/active projects, as well as potential future appropriations beyond FY 2019120. ln conjunction with the development of the FY 2015/16 Capital Budget and ClP, the City began to develop a list of potential projects that may be funded in the future, including projects that have been approved as part of a plan but not yet sequenced or approved for funding. Over time, it is anticipated that this list will be expanded. The following pie chart provides a summary of how the FY 2015116 -FY 2019/20 is spread among the different program areas. The chart shows a summary of the Five-Year Capital lmprovement Plan by program area as well as prior year funding for ongoing projects and funding requirements for desired projects with no anticipated funding, for the FY 2015/16 Capital Budget (One-Year Capital Budget) and the FY 2015116 - FY 2019/20 Capital lmprovement Plan (Five-Year CIP). PROGR.AII Art in Public Ploces Bridges Community Centers Convention Center Environmentol Equipment Generol Public Buildings Golf Courses lnformoiion Technology Lighting ,lionumenls Porking Porking Goroges Porking Lots Porks Renewol ond Replocement Swolls Streets/Sidewolk lmps Tronsit/Tronsportotion Utilities 'lre PRIOR YEARS 5,236,688 42,000 30,060,000 16,215,125 40,73),279 22724,106 830,0r 7 9,995,994 2,347,590 r, r 53,280 244,000 50,350,820 9,931 ,080 63,689,30 r 22,623,818 8,969,176 3 r 3,804,090 39,422,001 59,237,949 &t7,s68,86t Ft 20t5lt6 352,000 830,000 50,000 5 r r ,388,000 r r 0,000 5,479,000 5,576,000 1 ,677,000 350,000 67,067,000 2,914,050 6,890,664 '1,0'19,61 0 10,026,894 26,165,715 4,524,000 110,341 ,296 75tt,76t,2*t r'f 20t6lt7 2 r 0,000 5,1 15,000 2,399,OOO 1,000,000 17,432,000 6,507,000 I 00,000 15,959,264 6,047,000 *,79qr,2& t'tt 20t7lla I 65,000 1,800,000 4,053,000 3,299,OOO 5, r 29,000 200,000 2,400,000 6,047,OO0 '23rQ3ra0', FY20t8lt9 F't2019120 r 65.000 r 65,000 o.ro,.oro o.rru.roo 33 3,000 333,000 r 4,500,000 r 70,000 550,000 3,000,000 i:9r165,000 550,000 tg,gwM Fdur€ 1.505,000 2,74s,000 r,034,000 r 20,000 r 00,000,000 1,678,OOO 63,000 16,242,OOO 9,01 9,000 1,672,000 r34.O78.Od To[ql 352,(nO 8,276,688 92,U)O 543,248,Un ,6,325,r25 u,70r,279 3r,O45,t06 830,0r7 9,99s,994 to,388,s90 3,537,780 324,O(n 249,349,870 t4,523,t30 82,448,965 23,643,428 3s,538,O70 368,448,069 @,7r2,(W t69,579,245 ,,693350,352 FY 16.20 &rJrutx, 262 Resolution Adopting The FY 2015/16 Final Capital Budget and FY 2U 5n 6 - 2019/20 CIP September 30, 2015 Page 10 FY2OI 5116. FY2OI9/2O CAPITAL IMPROVEMENT PLAN: $AOt.7 ftllttlON Tronsii/Tronsportotion 2% Uriliries 13./" Convenlion Cenier @v" Porking/Goroges/Lots 120/" Streeis/Sidewolk lmps 5% Financings A number of capital financing transactions are reflected in the Capital lmprovement Plan including: General Obligation Bonds, Stormwater Revenue Bonds, Water and Sewer Revenue Bonds, Gulf Breeze Loans and an Equipment Master Lease. ln 1995, the City issued $59 million in Water and Sewer Revenue Bonds. ln 1997, the City paid $15 million for the 1996 authorized General Obligation Bonds to construct, renovate and rebuild parks and recreation facilities within the City's park system. ln 2000, the City issued the initial $30,000,000 of the authorized $92,000,000 1999 General Obligation Bond. These funds were issued to expand, renovate and improve fire stations and related facilities; improve recreation and maintenance facilities for parks and beaches; and improve neighborhood infrastructure. ln 2000, the City also issued $54,310,000 in Water and Sewer Bonds and $52,170,000 in Stormwater Revenue Bonds. ln addition, the Citywas granted a $4 million Section 108 U.S. Housing and Urban Development Loan for improvements to neighborhood streets, North Shore Park and Youth Center. ln 2001, the City executed loan agreements with the City of Gulf Breeze, Florida, providing $15 million for the renovation and improvement of two City owned golf courses and their related facilities. The City issued the remaining $62,465,000 of the referendum approved $92 million General Obligation bonds in July 2003 for improving neighborhood infrastructure in the City. Further, in 2006 and 2010, the City executed loan agreements with the City of Gulf Breeze, Florida, providing an additional $24 million and $30 million for water and sewer projects, respectively. Based on current project schedules, additional water and sewer, and stormwater financing, previously anticipated for FY 2007108 are now financed over a series of years. The FY 20O7lOa Capital Budgetand CIP anticipated $47.8 million in newwaterand sewerfinancing and $79.7 million in new stormwater financing. ln 2006 and2010, the City executed loan agreements with the City of Other 4"h Equipment 3/" Seqwolls 16/o 263 Resolution Adopting The FY 201 5/16 Final Capital Budget and FY 2U 5n 6 - 2019/20 CIP September 30, 2015 Page 1 1 Gulf Breeze, Florida, providing an additional $24 million and $30 million for water and sewer projects, respectively. ln FY 2008i09, a line of credit was issued and was being used to fund projects in advance of issuing water and sewer and storm water bonds. Under this approach, the City uses the line of credit in order to have the necessary funding capacity to enter into new projects. This also allows the City more time to both build the necessary rate capacity to issue additional tax- exempt bonds through rate increases and also spend down the current committed but unspent bond proceeds. This phased approach provides the City with more time to refine the cost estimates for projects planned to be in construction priorto issuance of bonds. ln FY 201 1112, approximately $50 million in stormwater bonds were issued replacing funding for projects previously funded by the line of credit. lnFY 2014115, approximately $100 million in stormwater bonds were issued as part of the first of three $100 million bonds to upgrade the City's stormwater system. New bond issuances are anticipated in FY 2015/16 to finance the Convention Center project including RDA, Resort Tax 1o/o, and Parking bonds. ln addition, depending on cash flow, Water and Sewer bonds may be issued in FY 2015/16. Historically there has been a phased approach for the issuance of water, sewer and stormwater financing. Under this approach, the City has accessed a line of credit to allow the City to have the necessary funding capacity to enter into new projects, while allowing the City more time to both build the necessary rate capacity to issue additional tax- exempt bonds through rate increases and also spend down the current committed but unspent bond proceeds. FY 2015/{6 Capital Budget The City's annual capital budget contains capital project commitments recommended for appropriation for FY 2015116 (Capital Budget) totaling $754.7 million, of which $624.2 million is for Convention Center-related projects. Net of the RDA Anchor Garage and Proposed Future RDA Bonds appropriations of $310,096,000, the FY 2015116 capital budget is $444,665,229. \.1 rn P[hl]. rld.cs $ 352.000 43,6I 0 krdqes 830.000 2003 GO Bonds - Porks & Beoches 278.026 ,ommunilv Lenters 50.000 \rt in Public Ploces 352.000 onvcniion Center -5tI38ftOOO no ltrh (looifol Proitrt I 50 000 nvrronmenlol iloooo :opitoi Proircis Noi Fjnonced by Bonds 650,000 quromenl 5.479.000 loprlol Reserye t8.52 r .285 ;ene.ol Publi. Buil.linos 5 5/6 000 ioncurrencv Miliootion lund 5 3// 934 qhirnq 1 .677.OOO onvention Cenler 2,500,000 350.000 5. I I 0.000 6/ .06/ .OOI)lolt Cenl I ronsit Surlox - Countu l/.93/ ?9tto5tJ rl ()Dtion (;os Iox 99-5 000 'orks 6.890,664 v1B Guolrty ol Lrfe Resorl Tox Fund - I %I ,235,000 lenewol ond Reolocemeni L0 t 9.61 0 vlDC CDT lnterlocol (240.000 t0 026 89,4 vliomi-Dode Counv Bond 42 4|J|J 0|J'J itreets/Srdewolk lmps ?6 165715 ,'lB Quolrty ol Lrfe Resod Tox Fund I %3, I 08,080 ronsrl/TronsDorlofion 4.524.OOO ,,lon'TlF RDA Fund {r 2.3 I 2.000 Itilities I1o.34t.296 no (Joerotions l-und 3.t/3.050 I 465 AgL a lmpocl Fees 2,227,OOO )orks ond R*reotion Beoutificolion Funds L714.383 osed l-uture RDA Bonds 3t0050000 roposed Fulure Resorl Tox I % Bonds 204,500,000 roposed F!ture Woter ond Sewer Bonds 50.000.000 osed Porkino tsonds 64 800 000 ;lormwoler Bonds, 20 I 5 60.266.296 ICP - I 996 I 5M GO Bond \oa.t75 tlJA Gorooe l-und 46.000 iB Guolrty of Life Resort Tox Fund - l%2 678 000 iouth Pointe Coo,iol 0. I 23.000 ly'oter ond Sewer Bonds 2O0Os / 5,OOO I OtO l r 51,ro t,229 IDA Anchor Goroge Funds ond Proposed Future RDA (3 I 0,096,000 264 Resolution Adopting The FY 2U 5n 6 Final Capital Budget and FY 2U 5n 6 - 2019/20 CIP September 30, 2015 Page 12 The "2016-2020 Capilal Plan - Funding Summary" shown as Attachment A sorts the projects in the Final Capital lmprovement Plan for FY 2015116 - 2019120 and the Final Capital Budget for FY 2015116 by funding source (revenue). FY 2OI5l16 SOURCES OF REVENUE: 5754.7l^lLtlON South Poiate Copirol to/oStormwoter BondJ, 201 5 8"h Proporod Porking Bonds a"/" Other 20/" Proposod Future WqlBr ond Sower Bonds 7"/" Proposed Fuiure RDA Bonds 410/" The "2016-2020 Capilal lmprovement Plan by Program" shown as Attachment B sorts the projects in the Final Capital lmprovement Plan for FY 2015116 -2019120 and the Final Capital Budget for FY 2015116 by Program (expenditure). FY 20t 5/t6 CAPTTAT BUDGET: $ZSC.t MtLttON Genercl Public Buildingr t"/" Orhq Sffi/Sidryolk lmpto"/" 3"/" Tren6it/Trcnrpotulion tev"utiliris 15% Scowolls . ta" Porks tv" PorLi ng/Gorc9e6/Loi5 9"/" Equipmenl t./"Convdion CHht 68v" lmprovement Plan for FY 2015116 Budget for Fiscal Year (FY) 2015116. GONGLUSION: The Administration recommends adopting the final Capital 2019120 and adopting the City of Miami Beach final Capital JLM/JW ^@ 265 RESOLUTION NO. A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ADOPTING THE FINAL CAPITAL IMPROVEMENT PLAN FOR FISCAL YEARS (FY) 2015116 - 2019/20 AND ADOPTING THE CITY OF MIAMI BEACH FINAL CAPITAL BUDGET FOR FY 2015116. WHEREAS, the FY 2015116 * 2019120 Capital lmprovement Plan (ClP) for the City of Miami Beach is a five year plan for public improvements and capital expenditures by the City and this document is an official statement of public policy regarding long-range physical development in the City of Miami Beach; and WHEREAS, the first year of the FY 2015116 - 2019120 CIP represents the Capital Budget appropriation for FY 2015/16; and WHEREAS, the final CIP has been updated to include projects that will be active during FY 2015116 through 2019120; and WHEREAS, the final Capital Budget itemizes project funds to be committed during the upcoming fiscal year and details expenses for project components which include architect and engineer, construction, equipment, Art in Public Places, and other related project costs; and WHEREAS, capital funding priorities for FY 2015116 were discussed at the June 3rd, July 1st, and July 17th,2015, meetings of the Finance and Citywide Projects Committee and adjustments were made to the funding recommendations presented; and WHEREAS, the tentative Capital Budget for FY 2015116 totals $754,761,229 ($444,665,229 Net of the RDA Anchor Garage Fund and Proposed Future RDA Bond Fund appropriations of $310,096,000) and is recommended by the Administration for adoption at this time for projects and capital equipment acquisitions; and WHEREAS, based on current schedules, additionalwater, sewer, and stormwater projects are financed over a series of years; and WHEREAS, under this approach, the City utilizes a line of credit to allow the necessary rate capacity to issue additionaltax-exempt bonds through rate increases and also to spend down the current committed, but unspent, bond proceeds; and WHEREAS, the proposed sources of funding forthe FY 2015/16 CapitalBudgetare included in Attachment "A" and the proposed projects to be adopted in the FY 2015116 Capital Budget and the five-year CIP are included in Attachment "B". 266 NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAM! BEACH, FLORIDA, that the Mayor and City Commission hereby adopt the FinalCapital lmprovement Plan forFY 2015/16 through2O19l20;and adoptthe Cityof MiamiBeach Final Capital Budget for FY 2015116. PASSED and ADOPTED THIS 30th DAY OF SEPTEMBER 2015. Philip Levine, Mayor ATTEST: APPROVED AS TO FORM & LANGUAGERafael Granado, City Clerk - -. & FOIhEXE9UTION {..-!i )" l.- l-E1], CllyAttorney { Dote 267 o ooNoonNo@@oooooooooooNoooo$9e)999(-!Oo o6otoood6(b6Oooooooo@ooNooNN@ooooC{ooo ;o+ooo+oON6oooooootooF-NooF$ooooNNoOooooOeFoNOo06OONOO@ooo@O{NONoOroo$o@oooN+oo$NNNN@OONO@@OOOn-OttOoN$N@SONTNTFN-eONOOFOrj oooooooooooooooooooooooooooooooooo oooooooooooooooooooooooooooooooooo oooooooooooooooooooooooooooooooooo oooooooooooooooooooooooooooooooooo oooooooooooooooooooooooooooooooooo o ooooooooooooooooooooooooooooooooooooo_ o-ooNOFO o ooNoooNo@(ooooooooooq9N9Q.o!os 9o QQ{?!!Ooi,t6at6666-666OooooooooNooNNooooNooo- ;- 6- -- 6- 6- @- -_ 6- @_ al- o- o- o- o- o_ o- o_ !f- o- o- N_ N- @_ o_ -- g- o- o- o- N_ \ o- OoooooF-ONOnoOONOO@oOO6OttNONOF6O3o6oooN$ootNNN@ooNo@@ooooeottoN\tNob--ONNFFN-FoNOo ts st,a Qa-U' oe5o(/, E s u_ obE o E'6. 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To Stabilize And lmprove The Lincoln Road Retail Business District, Which ls Located Within A Nationally Recognized Historic District, Through Promotion, Management, Marketing, And Other Similar Services. (Sponsored by Commissioner Deede Weithorn) (Legislative Tracking: Office of the City Attorney) (ltem to be Submitted in Supplemental) 1. 2. Agenda rtem R7 D Da|r- q30-|.5317 THIS PAGE INTENTIONALLY LEFT BLANK 318 Gondensed Title: lntended Outcome Su COMMISSION ITEM SUMMARY FIRST READING / PUBLIC HEARING A.ENDA ,r.u Rl E A RESOLUTION OF THE MAYOR AND ACH, FLORIDA AUTHORIZING THE ISSUANCE BY THE MIAMI BEACH REDEVELOPMENT AGENCY OF NOT TO EXCEED $430,000,000 rN AGGREGATE pRtNCtPAL OF TAX TNCREMENT REVENUE BONDS (CrrY CENTER/HTSTORIC CoNVENTION VTLLAGE), tN ACCORDANCE W|TH THE REQUIREMENTS OF CHAPTER 153, PART lll, FLORIDA STATUTES, AS AMENDED; AUTHORIZING OFFICERS AND EMPLOYEES OF THE CITY TO TAKE ALL NECESSARY ACTIONS lN CONNECTION THEREWITH;AND PROVIDING FOR AN EFFECTIVE DATE. A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA AUTHORIZING THE ISSUANCE OF NOT TO EXCEED $24O,OOO,OOO ]N AGGREGATE PRINCIPAL AMOUNT OF CITY OF MIAMI BEACH, FLORIDA RESORT TAX REVENUE BONDS, SERIES 2015 FOR THE PURPOSE OF FINANCING IMPROVEMENTS TO THE MIAMI BEACH CONVENTION CENTER; PROVIDING FOR THE ISSUANCE OF ADDITIONAL BONDS ON A PARITY THEREWITH; PROVIDING FOR THE SECURITY AND PAYMENT OF ALL BONDS ISSUED PURSUANT TO THIS RESOLUTION; PROVIDING CERTAIN DETAILS OF THE SERIES 2015 BONDS; DELEGATING CERTAIN MATTERS lN CONNECTION WITH THE ]SSUANCE OF THE SERIES 2015 BONDS TO THE CITY MANAGER, INCLUDING WHETHER THE SERIES 2015 BONDS SHALL NOT BE SECURED BY THE DEBT SERVICE RESERVE ACCOUNT AND WHETHER TO SECURE A CREDIT FACILITY AND/OR A RESERVE ACCOUNT INSURANCE POLICY, WITHIN THE LIMITATIONS AND RESTRICTIONS STATED HEREIN; APPOINTING UNDERWRITERS, PAYING AGENT, REGISTRAR AND DISCLOSURE DISSEMINATION AGENT; AUTHORIZING THE NEGOTIATED SALE OF THE SERIES 2015 BONDS AND APPROVING THE FORM AND AUTHORIZING EXECUTION OF THE BOND PURCHASE AGREEMENT FOR THE SERIES 2015 BONDS; APPROVING THE FORM OF PRELIMINARY OFFICIAL STATEMENT FOR THE SERIES 2015 BONDS AND AUTHORIZING EXECUTION OF THE FINAL OFFICIAL STATEMENT FOR THE SERIES 2015 BONDS; COVENANTING TO PROVIDE CONTINUING DISCLOSURE lN CONNECTION WITH THE SERIES 20,15 BONDS AND APPROVING THE FORM AND AUTHORIZING EXECUTION OF A CONTINUING DISCLOSURE AGREEMENT; AUTHORIZING OFFICERS AND EMPLOYEES OF THE CITY TO TAKE ALL NECESSARY ACTIONS IN CONNECTION WITH THE ISSUANCE OF THE SERIES 2015 BONDS;AND PROVIDING FOR AN EFFECTIVE DATE. A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA AUTHORIZING THE ISSUANCE OF NOT TO EXCEED $8O,OOO,OOO IN AGGREGATE PRINC]PAL AMOUNT OF CITY OF MIAMI BEACH, FLORIDA PARKING REVENUE BONDS, SERIES 2015, FOR THE PRINCIPAL PURPOSE OF PAYING THE COST OF CERTAIN IMPROVEMENTS TO THE PARKING SYSTEM, PURSUANT TO SECTION 209 OF RESOLUTION NO. 2010-27491 ADOPTED BY THE CITY ON SEPTEMBER 20, 2O1O; PROVIDING THAT SAID SERIES 2015 BONDS AND INTEREST THEREON SHALL BE PAYABLE SOLELY AS PROVIDED IN SAID RESOLUTION NO. 2010-27491 AND THIS RESOLUTION; PROVIDING CERTAIN DETAILS OF THE SERIES 2015 BONDS; DELEGATING OTHER DETAILS AND MATTERS lN CONNECTION WITH THE ISSUANCE OF THE SERIES 2015 BONDS, INCLUDING WHETHER THE SERIES 2015 BONDS SHALL NOT BE SECURED BY THE RESERVE ACCOUNT AND WHETHER TO SECURE A CREDIT FACILITY AND/OR A RESERVE ACCOUNT INSURANCE POLICY, TO THE CITY MANAGER, WITHIN THE LIMITATIONS AND RESTRICTIONS STATED HEREIN; APPOINTING UNDERWRITERS, A BOND REGISTRAR AND A DISCLOSURE DISSEMINATION AGENT; AUTHORIZING THE NEGOTIATED SALE OF THE SERIES 2015 BONDS AND APPROVING THE FORM OF AND AUTHORIZING THE EXECUTION OF A BOND PURCHASE AGREEMENT; AUTHOR]ZING AND DIRE9TING THE BOND REGISTRAR TO AUTHENTICATE AND DELIVER THE SERIES 2015 BONDS; APPROVING THE FORM OF AND DISTRIBUTION OF A PRELIMINARY OFFICIAL STATEMENT AND AN OFFICIAL STATEMENT AND AUTHORIZING THE EXECUTION OF THE OFFICIAL STATEMENT; PROVIDING FOR THE APPLICATION OF THE PROCEEDS OF THE SERIES 2015 BONDS AND CREATING CERTAIN FUNDS, ACCOUNTS AND SUBACCOUNTS; AUTHORIZING A BOOK-ENTRY REGISTRATION SYSTEM wlTH RESPECT TO THE SERIES 2015 BONDS; COVENANTING TO PROVIDE CONTINUING DISCLOSURE IN CONNECTION WITH THE SERIES 2015 BONDS AND APPROVING THE FORM OF AND AUTHORIZING THE EXECUTION AND DELIVERY OF A CONTINUING DISCLOSURE AGREEMENT; AUTHORIZING OFFICERS AND EMPLOYEES OF THE CITY TO TAKE ALL NECESSARY RELATED ACTIONS; AND PROVIDING FOR AN EFFECTIVE DATE. . lmprove alliance with key business sectors, namely hospitality, arts, and international business with a focus on enhanced culture, entertainment, and tourismo Maximize the Miami Beach brand as a world-class destination Supporting Data (Surveys, Environmental Scan, etc.):o Environmental Scan - Convention Center Attendance: 54% increase since 2004o Community Survey - Average resident attends events at the Convention Center twice per year 0-t5E MIAMIBEACH DATE319 Item Summary/Recommendation: FIRST READING PUBLIC HEARING The City is planning to issue three different series of bonds for the financing of the Convention Center project in addition to the $55 million of the Miami-Dade County General Obligation Bonds funding provided by the County. Below is a summary of the sources and uses of the different types of funding sources for this project. Convention Genter Funding Plan Sources of Furds Addional RDA Prqiects 36,000,000 TotalRDA Bonds with Additional Projects re65[63i- County GO 1% ResortTax Bonds Parking Bonds RDA Bonds Total Gonvention Center Projecls Total Funding Sources Uses of Funds Convention Center Convention Center Parking Total Convention Center Cosl Additional RDA Projects Total Funding Usas $54.400,000 204,500,000 &t,811,756 272,667,631 596,379,387 $531.567,631 &t,811,756 596,379,387 Based on 8112115 budget. ln addition to the Convention Center Bonds, the RDA bonds will also finance the following projects within the RDA City Center district: . $3.75 million programmed for the second half of the funding for the Bass Museum lnterior Expansion Project;. $12 million programmed for the improvements to 1 7h Street and Connectors to Lincoln Road;o $20 million programmed for Lincoln Road lmprovements from Washington Avenue to Lenox Avenue, which will be based on the Lincoln Road Master Plan cunently undenray. ln addition to the above additional RDA projects, all of the outstanding RDA bonds will be refinanced. Cunently, outstanding bonds total $54,990,000 ($10 million for the Series 19984, $27,815,000 for the Series 2005A, and $17,175,000 for the Series 20058). The 1998A, 2005A & 20058 bonds are cunently projected to have a combined net present value refinancing savings of $3,268,002. The security for the repayment of these amounts will be the net revenues generated from the Parking System, the additional 1% Resort Tax, and the Tax lncrement Funds of the RDA. Financial lnformation: tr{^J \ourcc.of Funds: OBPI Amount Account Approved To be appropriated from the Convention Center Revenues and the Bonds Proceeds Total 320 g MIAMIBEACH City of Miomi Beqch, I 200 Convention Center Drive, Miomi Beoch, Florido 33,1 39, www.miomibeochfl.gov COMMISSI N MEMORANDUM Mayor Philip Levine and Members the City Jimmy L. Morales, City Manager September 30, 2015 A RESOLUTION OF THE MA AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA AUTHORIZING THE ISSUANCE BY THE MIAMI BEACH REDEVELOPMENT AGENCY OF NOT TO EXCEED $43O,OOO,OOO IN AGGREGATE PRINCIPAL OF TAX INCREMENT REVENUE BONDS (C!TY CENTER/HISTORIC CONVENTION VTLLAGE), !N ACCORDANCE WITH THE REQUIREMENTS OF CHAPTER 163, PART III, FLORIDA STATUTES, AS AMENDED; AUTHORIZING OFFICERS AND EMPLOYEES OF THE CITY TO TAKE ALL NECESSARY ACTIONS IN CONNECTION THEREWITH; AND PROVIDING FOR AN EFFECTIVE DATE. A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA AUTHORIZING THE ISSUANCE OF NOT TO EXCEED $24O,OOO,OOO IN AGGREGATE PRINCIPAL AMOUNT OF CITY OF MIAMI BEACH, FLORIDA RESORT TAX REVENUE BONDS, SERIES 2015 FOR THE PURPOSE OF FINANCING IMPROVEMENTS TO THE MIAMI BEACH CONVENTION CENTER; PROVIDING FOR THE ISSUANCE OF ADDITIONAL BONDS ON A PARITY THEREWITH; PROVIDING FOR THE SECURITY AND PAYMENT OF ALL BONDS ISSUED PURSUANT TO THIS RESOLUTION; PROVIDING CERTAIN DETAILS OF THE SERIES 2015 BONDS; DELEGATING CERTAIN MATTERS lN CONNECTION WITH THE ISSUANCE OF THE SERIES 2015 BONDS TO THE GITY MANAGER, INCLUDING WHETHER THE SERIES 2015 BONDS SHALL NOT BE SECURED BY THE DEBT SERVICE RESERVE ACCOUNT AND WHETHER TO SECURE A CREDIT FACILITY AND/OR A RESERVE ACCOUNT INSURANCE POLICY, WITHIN THE LIMITATIONS AND RESTRICTIONS STATED HEREIN; APPOINTING UNDERWRITERS, PAYING AGENT, REGISTRAR AND DISCLOSURE DISSEMINATION AGENT; AUTHORIZING THE NEGOTIATED SALE OF THE SERIES 2015 BONDS AND APPROVING THE FORM AND AUTHORIZING EXECUTION OF THE BOND PURCHASE AGREEMENT FOR THE SERIES 2015 BONDS; APPROVING THE FORM OF PRELIMINARY OFFICIAL STATEMENT FOR THE SERIES 2015 BONDS AND AUTHORIZING EXECUTION OF THE FINAL OFFICIAL STATEMENT FOR THE SERIES 2015 BONDS; COVENANTING TO PROVIDE CONTINUING DISCLOSURE IN CONNECTION WITH THE SERIES 2015 BONDS AND APPROVING THE FORM AND AUTHORIZING EXECUTION TO: FROM: DATE: SUBJECT: SSION FIRST READING PUBLIC HEARING 321 Commission Memorandum Convention Center Bonds September 30, 2015 Page 2 of 9 OF A CONTINUING DISGLOSURE AGREEMENT; AUTHORIZING OFFICERS AND EMPLOYEES OF THE CIry TO TAKE ALL NECESSARY ACTIONS IN GONNECTION WITH THE ISSUANCE OF THE SERIES 2015 BONDS; AND PROVIDING FOR AN EFFECTIVE DATE. A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA AUTHORIZING THE ISSUANCE OF NOT TO EXCEED $8O,OOO,OOO IN AGGREGATE PRINGIPAL AMOUNT OF CITY OF MIAMI BEACH, FLORIDA PARKING REVENUE BONDS, SERIES 2015, FOR THE PRINCIPAL PURPOSE OF PAYING THE COST OF CERTAIN IMPROVEMENTS TO THE PARKING SYSTEM, PURSUANT TO SECTION 209 OF RESOLUTION NO. 2010. 27491 ADOPTED BY THE CITY ON SEPTEMBER 20, 2010; PROVIDING THAT SAID SERIES 2015 BONDS AND INTEREST THEREON SHALL BE PAYABLE SOLELY AS PROVIDED IN SAID RESOLUTION NO. 2010.27491 AND THIS RESOLUTION; PROVIDING CERTAIN DETAILS OF THE SERIES 2015 BONDS; DELEGATING OTHER DETAILS AND MATTERS IN CONNECTION WITH THE ISSUANCE OF THE SERIES 2015 BONDS, INCLUDING WHETHER THE SERIES 2015 BONDS SHALL NOT BE SECURED BY THE RESERVE AGCOUNT AND WHETHER TO SECURE A CREDIT FACILITY AND/OR A RESERVE ACCOUNT INSURANCE POLICY, TO THE CIry MANAGER, WITHIN THE LIMITATIONS AND RESTRICTIONS STATED HEREIN; APPOINTING UNDERWRITERS, A BOND REGISTRAR AND A DISCLOSURE DISSEMINATION AGENT; AUTHORIZING THE NEGOTIATED SALE OF THE SERIES 2015 BONDS AND APPROVING THE FORM OF AND AUTHORIZING THE EXEGUTION OF A BOND PURCHASE AGREEMENT; AUTHORIZING AND DIRECTING THE BOND REGISTRAR TO AUTHENTICATE AND DELIVER THE SERIES 2015 BONDS; APPROVING THE FORM OF AND DISTRIBUTION OF A PRELIMINARY OFFICIAL STATEMENT AND AN OFFICIAL STATEMENT AND AUTHORIZING THE EXECUTION OF THE OFFICIAL STATEMENT; PROVIDING FOR THE APPLIGATION OF THE PROCEEDS OF THE SERIES 2015 BONDS AND CREATING CERTAIN FUNDS, ACCOUNTS AND SUBACCOUNTS; AUTHORIZING A BOOK-ENTRY REGISTRATION SYSTEM WITH RESPECT TO THE SERIES 2015 BONDS; COVENANTING TO PROVIDE CONTINUING DISCLOSURE IN CONNECTION WITH THE SERIES 2015 BONDS AND APPROVING THE FORM OF AND AUTHORIZING THE EXECUTION AND DELIVERY OF A CONTINUING DISCLOSURE AGREEMENT; AUTHORIZING OFFICERS AND EMPLOYEES OF THE CITY TO TAKE ALL NECESSARY RELATED ACTIONS; AND PROVIDING FOR AN EFFECTIVE DATE. BACKGROUND Spanning four city blocks and located in the heart of South Beach, the Miami Beach Convention Center (MBCC) currently accommodates meetings, conventions, tradeshows and consumer shows. The Convention Center originally opened in 1957 and received a major expansion and facelift in 1989, doubling it in size. Currently the MBCC boasts over 1,000,000 square feet of 322 Commission Memorandum Convention Center Bonds September 30, 2015 Page 3 of 9 flexible space, including over 500,000 square feet of exhibit space, and over 100,000 square feet of versatile pre-function area space and 70 meeting rooms comprised of 127,0Q0 square feet. The expansion and renovation of the Miami Beach Convention Center project will transform the building to "Class A" standards which shall include Silver LEED certification upgrades and enhanced technology. The design modifications will include the re-orientation of the exhibit halls, fagade upgrades, site improvements along the canal, and along all roadways, the addition of a grand ballroom, junior ballrooms and meeting rooms, and two levels of rooftop parking. The interior renovation work focuses on the redistributed division of the four main exhibition hall spaces, and the additional programming of more flexible arrangements of private meeting rooms and additional indoor/outdoor versatile exhibition spaces. Currently, the four main exhibit halls are divided into quadrants-two accessible solely from Washington Avenue (Halls A and B) and the other two solely accessed from Convention Center Drive (Halls C and D). The new Convention Center re-orients the halls in an EastMest direction with the primary access from Convention Center Drive leading into a new grand, open double height entry lobby. Washington Avenue will serve as a secondary means of pedestrian entry. The project will also include substantial improvements to the north of the property. The new addition at the northern portion of the property features an enclosed ground floor parking area and truck loading and delivery arca. Above this, a 60,000 square foot grand ballroom is proposed offering vistas of the beautified 2lstStreet Park that will span along Collins Canal and feature the to-be-restored Historic Cad Fisher Clubhouse. This addition will create a new internalized loading area and will include two helix ramping entrance accesses to the roof level parking. The Washington Avenue elevation will become predominately pedestrian in nature with the elimination of the visitor drop-otf and cab cueing areas. The streetscape modifications will include a green edge along the avenue with native shade trees to promote a more pedestrian friendly experience. Convention Center Drive will in turn become the main access point for vehicular access and for the visitors' drop-off area. Modifications will include a new median along Convention Center Drive and 19th Street creating a more sophisticated streetscape and a more celebrated boulevard experience. The Canal walk will be substantially improved and will create a softer northern edge to the MBCC. The project also includes the demolition of the existing Recreation Center along Washington Avenue and the creation of a neighborhood park. Another architectural feature of the project is the proposed rooftop indoor and outdoor meeting space located in the southwestern corner of the roof. This will offer the patrons expansive views out onto the new Civic Park proposed to replace the surface parking lot. ln association with the renovations to the Miami Beach Convention Center, a new urban park, dining pavilion and Veterans Plaza is being created to replace a surface parking lot that currently contains spaces for approximately 800 vehicles. Convention Center Park has been envisioned as a neighborhood park. The park includes a series of six clustered 'shaded edges' that will line the perimeter of the 6-acre park and surround an internal great flexible lawn. 323 Commission Memorandum Convention Center Bonds September 30, 2015 Page 4 of 9 ANALYSIS ln November 2007, the Mayor and City Commission approved Ordinance 2007-3582 which amended the procedures that the City followed in connection with the approval of a bond issue and added the following Section to Chapter 2 of the Miami Beach City Code, entitled "Administration"; Article V entitled "Finance"; Sec. 2-278, entitled "Procedures governing the issuance of bonds. Sec. 2-278. Procedures governing the issuance of bonds. (a) Prior to the adoption by the city commission of the final resolution approving the rssuance of any bonds by the city, the following requiremenfs sha// be complied with: (1) ln order for the city commrsslon and the public to be fully informed on all matters relating to the proposed rssuance of bonds, the city manager shall prepare, or cause to be prepared, a fiscal analysis of the economic impact of the proposed bond issuance using the following criteria: a) The estimafed cosf of the project or projects on account of which such bonds are to be issued; b) The estimated annual revenues, if any, to be generated by such project or projects; and c) The estimated annual cost of maintaining, repairing and operating such project or projects. (2) Upon completion of the fiscal analysis ln subsection (a)(1), the proposed issuance of bonds shall be first considered and reviewed by the city's finance and citywide projects committee. (3) The city commission shall hold two public hearings, each advertised nof /ess than 15 days prior to the hearing, in order to obtain citizen input into the proposed bond issuance. At the August 28, 2015, meeting of the Finance and Citywide Projects Committee, the Committee voted to recommend approval of the issuance of these three bonds to finance the construction of the Convention Center project in accordance with Sec. 2-278(aX2). lf approved by you today, in accordance with Sec.2-278(aX3), a second public hearing will be held for these proposed bond issues on October 14,2015, and will be advertised at least fifteen (15) days prior to the public hearing date. FINANCING PLAN The City is planning to issue three different series of bonds for the financing of the Convention Center project in addition to the $55 million of the Miami-Dade County General Obligation Bonds funding provided by the County. Below is a summary of the sources and uses of the different types of funding sources for this project. 324 Commission Memorandum Convention Center Bonds September 30, 20't5 Page 5 of 9 Convention Center Funding Plan Sources of Funds Addional RDA Projects 36,000,000 Total RDA Bonds with Additional Projects re66?S-57 s632,379,387 County GO 1% ResortTax Bonds Parking Bonds RDA Bonds Total Convention Center Projects Total Fundlng Sources Uees of Funds Convention Center Convention Center Parking Total Convention Center Cost Additional RDA Projects Total Fundlng Usee Based on 8112115 budget. s54,400,000 204,500,000 64,811,756 272,667,631 596,379,387 $531,567,631 64,81't,756 596,379,387 RDA Bonds The RDA Bonds will be issued in a par amount of approximately $359 million based on current market conditions to produce project proceeds of approximately $309 million which will include the $36 million of ancillary projects as well as a funded debt service reserve. The RDA bonds will provide proceeds for the renovation of the Convention Center and creation of the park but will also provide for other RDA prolects in the City's adopted Construction lmprovement Plan. These projects are the following:. $3.75 million programmed for the second half of the funding for the Bass Museum lnterior Expansion Project;. $12 million programmed for the improvements to 17th Street and Connectors to Lincoln Road;. $20 million programmed for Lincoln Road lmprovements from Washington Avenue to Lenox Avenue, which will be based on the Lincoln Road Master Plan currently underway. The City intends to develop a six-acre surface parking lot at the front door of the Convention Center into a park amenity for both convention center users and local residents. Following the trend of convention centers in Boston, Houston, Chicago, Washington DC, Orlando and Atlanta, the City plans to develop the park as an extension of the convention center into the outdoors. The park area is planned to be used for convention opening night gatherings and local social events, as well as a place for local residents to enjoy. The park at the convention center is envisioned to include an open lawn, shaded areas, meandering paths, and plaza spaces. The park is also planned to include a Veterans Plaza and a restaurant pavilion in the theme of Tavern on the Green in New York City or The Grove in Houston's Discovery Green Park. The park will have the necessary underground utilities to accommodate the needs of virtually any type of event. Construction costs for the park are 325 Commission Memorandum Convention Center Bonds September 30, 2015 Page 6 of 9 estimated to be approximately $14 million and are included in the costs above. ln addition to the Convention Center Project and the additional RDA projects, all of the outstanding RDA bonds will be refinanced. Currently, outstanding bonds total $54,990,000 ($10 million for the Series 1998A, $27,815,000 for the Series 2005A, and $17,175,000 for the Series 20058). The 19984,2005A & 20058 bonds are currently projected to have a combined net present value refinancing savings of $3,268,002. (Exhibit A) The County and the City have negotiated and agreed to establish that from FY 2014-15 through FY 2021-22, any operating RDA funding not used for debt service and operating expenses will go into a fund to be used for shortfalls and eventually prepayment of debt. The County and the City have also agreed that from FY 2022-23 until FY 2043-44, the County will receive a refund of City Center (RDA) operating expenses based on its pro rata share of revenues contributed to the Trust Fund, and that any remaining funding will be used to extinguish debt early. Please see attached Exhibit B City Center CRA Revenue Projection and Funds Flow Schedule and preliminary RDA bond analysis Exhibit A. Resort Tax Bonds The Resort Tax Bonds proceeds will be issued in an amount of approximately $205 million. Although it is planned to pay debt service from only the additional one cent, all Resort Taxes will be pledged in an effort to strengthen the credit and resulting market reception to these bonds. The Resort Tax Bonds will require the implementation of the additional 1o/o tax on hotel beds before the bonds can be issued and will be pledged as the funding source to pay these bonds. The implementation of the additional 1% tax will require two readings before the City Commission following the approval of the Guaranteed Maximum Price (GMP). The first reading is scheduled for October 21't and the second reading is scheduled for October 28, 2015. Please see Exhibit D for Resort Tax Bond Analysis. Parkins Bonds The Parking Bonds proceeds will be issued in an amount of approximately $65 million. The Parking Bonds will finance the building of the parking garage as a component of the renovated Convention Center. The 802-space Parking garage will have an estimated operating revenue from FY 2019 through FY 2023 of approximately $3.4 million annually. Operating expenses are expected to be $853,400 in FY 2019 and increase about 2.5o/o €nnually until FY 2023. The net operating income of the garage will be approximately $2.5 million each year from FY 2019 through FY 2023. See Exhibit C for Parking Bond Analysis. The security for the repayment of the Parking Bonds will be the net revenues generated from the Parking System. 326 Commission Memorandum Convention Center Bonds September 30, 2015 Page 7 of 9 Countv GO Bonds ln the 2004 Amendment to the lnterlocal Agreement (CDT), the County agreed to provide the City with a $55 million grant to fund a ballroom in the Convention Center. From this amount, the City has already spent approximately $g.A million in the design phase of the Convention Center, leaving approximately $44.6 for the construction phase of this project. Proiect Fiscal Analvsis The total cost of the Convention Center project is estimated to be $596.4 million, and will take approximately 30 months to complete. ln accordance with the provisions of Section 2-278 Procedures governing the issuance of bonds, the Administration prepared the required fiscal analysis which included the following breakdown of the proposed Convention Center Bond issue. ln response to Sec. 2-278 (a)1(a): the estimated cost of the project on account of which such bonds are to be issued. The total Convention Center project is estimated to cost $596.4 million. (Exhibit E) ln response to Sec. 2-278 (a)1(b): the estimated revenues fo be generated by the projects.o The projected revenue to be received by the RDA in Tax lncrement Revenues will be $40 million in FY2016 up to $54 million inFY 2023. (Exhibit B). Upon the completion of the project, the projected gross event revenues in the first five years of operation will be approximately $104 million which will include revenue generated from trade shows, conventions, consumer shows, banquets, meetings and special events. However, the Convention Center is expecting to generate an average net operating loss for the first five year after the renovation of approximately $3.8 million per year. (Exhibit F)o The Park revenue expected to be generated in the first five years of operation is approximately $774,000. (Exhibit F)o The estimated revenue from the parking spaces is $2.5 million each year from FY 2019 through FY2023. (Exhibit G)o The additional one cent of resort tax is expected to generate approximately $12 million in year one and grow by 3% annually. (Exhibit H) Additionally we have provided a schedule of estimated revenue coverage of Debt Service for Convention Center Project financing. (Exhibit J) ln response to Sec. 2-278 (a)1(c): the estimated annual cosf of maintaining, repairing and operating such projects.o The County and the City have agreed that the RDA will provide for an ongoing adequate operating and maintenance subsidy for the Convention Center, in addition to the existing $4.5 million per year and annual year-end revenue sharing that the City currently receives from Convention Development Taxes through 2048. The Third Amendment to the Convention Development Tax (CDT) lnterlocalAgreement will allow for an additional annual operating and maintenance subsidy starting at $1 million in 2017 and increasing 327 Commission Memorandum Convention Center Bonds September 30, 2015 Page 8 of 9 each year by $750,000 until it equals $4 million by 2021 and remain at $4 million until 2025, or a total of $8.5 million. lt will then escalate at 4 percent or Consumer Price lndex (CPl) annually (whichever is less) startingin 2026 over the life of the Convention Center, funded either through RDA funds or through Convention Development Taxes, depending on the availability of the latter. That funding will remain in place until 2048. (Exhibit B & l)o The Park operating expenses is expected to be $2.9 million on the average each year for the first five years. (Exhibit F). The estimated operating expense of the Parking spaces will be approximately $853,400 in FY 2019 and increasing about 2.5o/o each year until FY 2023. (Exhibit G)o The additional one cent Resort Tax will be used for debt service. The Commission may approve by resolution other improvements as part of the Series 2015 Project in addition to and/or in lieu of one or more of the above improvements. The security for the repayment of these amounts will be the net revenues generated from the Parking System, the additional 1o/o Resort Tax, and the Tax lncrement Funds of the RDA. Because of the character of these three bonds, the current favorable market conditions, the uncertainty inherent in a competitive bidding process and the recommendations of the Financial Advisor, it is in the best interest of the City and the RDA to authorize the negotiated sale of these Series 2015 Bonds. Debt Compliance The attached Resolutions delegates to the City Manager and Executive Director of the RDA, relying upon the recommendation of the Chief Financial Officer and RBC Capital Markets (the City's and RDA's Financial Advisor), the determination of various terms of these Series 2015 Bonds, including whether to secure one or more Credit Facilities and/or Reserve Account lnsurance Policies with respect to these Series 2015 Bonds, the final award of these Series 2015 Bonds, and certain other actions in connection with the issuance of the Series 2015 Bonds and the refunding of the Outstanding Prior Bonds, all as provided and subject to the limitations contained herein. The Chief Financial Officer is further authorized to establish procedures in order to ensure compliance by the City and by the RDA with these Series 2015 Continuing Disclosure Agreements, including the timely provision of information and notices. Prior to making any filing in accordance with such agreements, the Chief Financial Officer may consult with, as appropriate, the City Attorney or Bond Counsel. The Chief Financial Officer, acting in the name and on behalf of the City and the RDA, shall be entitled to rely upon any legal advice provided by the City Attorney or Bond Counsel in determining whether a filing should be made. ln order to describe and specify the terms of the City's and RDA's continuing disclosure agreement, the Chief Financial Officer is hereby authorized and directed to enter into and deliver, in the name and on behalf of the City and RDA, a Disclosure Dissemination Agent Agreement (the "Series 2015 Continuing Disclosure Agreements"), with Digital Assurance Certification, L.L.C. (.DAC'), which is hereby appointed as disclosure dissemination agent with 328 Commission Memorandum Convention Center Bonds September 30, 2015 Page 9 of 9 respect to these Series 2015 Bonds, in substantially the form presented at the meeting at which these Series Resolutions were considered, subject to such changes, modifications, insertions and omissions and such filling-in of blanks therein as may be determined and approved by the Chief Financial Officer, after consultation with the City Attorney. The execution of these Series 2015 Continuing Disclosure Agreements, for and on behalf of the City and RDA by the Chief Financial Officer, shall be deemed conclusive evidence of the City's and RDA's approval of the Series 201 5 Continuing Disclosure Agreements. U.S. Bank National Association is hereby appointed as Bond Registrar for these Series 2015 Bonds. The officers, agents and employees of the City and RDA, the Bond Registrar and DAC are hereby authorized and directed to do all acts and things and execute and deliver all documents, agreements and certificates required of them by the provisions of these Series 2015 Bonds, the Bond Resolutions, the Series 2015 Bond Purchase Agreements, the Series 2015 Continuing Disclosure Agreements and these Series Resolutions, for the full, punctual and complete performance of all the terms, covenants, provisions and agreements of these Series 2015 Bonds, the Bond Resolutions, the Series 2015 Bond Purchase Agreements, the Series 2015 Continuing Disclosure Agreements and these Series Resolutions. Conclusion The Administration recommends that the Mayor and City Commission of the City of Miami Beach, Florida, approve the resolution on first reading and schedule a second reading public hearing on October 14,2015. JLM/JWjr(@ Attachments (presented in draft form): Preliminary Official Statement-RDA Bond Purchase Agreement-RDA Disclosure Dissemination Agreement-RDA Escrow Deposit Agreements-RDA Preliminary Official Statement-Resort Tax Bond Purchase Agreement-Resort Tax Disclosure Dissemination Agreement-Resort Tax Prelim inary Official Statement-Parking Bond Purchase Agreement-Parking Disclosure Dissemination Agreement-Parking 329 EXHIBITS Toble of Conients EXHIBIT A RDA Bonds Anolysis EXHIBIT B RDA PreFormo EXHIBIT C Porking Bonds Anolysis EXHIBIT D Resort Tox Bonds Anolysis EXHIBIT E Convention Center Proiect Budget EXHIBIT F Convention Center 8-Yeor ProFormo EXHIBIT G Porking 802 - Spoce ProFormo EXHIBIT H Resort Tox Collections History EXHIBIT I Convention Center ond Pork Operoting Proiections EXHIBIT J Convention Center Finoncing Debt Service Coveroge 330 -E-r--rre I ?15 . 20]5 &A$&&A$ffiffi&fl*e*Glw\*ffif v\*ffituP%%ffi ffi 331 4ng 25, 2015 7 t42 pm Prepared by Morgan Stanley / ALC EXHIBIT A pug. t SOIIRCES AND USES OF FI.]NDS Miami Beach City CenterRDA Combined 2015 Financings Dated Date Delivery Date t2/t012015 tzlt0t20t5 RDA Convention Center Financing, Series 2015 (New Money) Series 2015 Taxable Refunding of Series 19984 Non-Callables Series 2015 Taxable Refunding of Series 2005A Series 2015 Tax-Exempt Current Reflrnding of Series 20058 Total Bond Pncceeds: Par Amounl Premium 308,765,000.00 25,813,867.05 9,970,000.00 25,650,000.00 l4,l 10,000.00 1,354,705.20 358,495,000.00 27,t68,572.25 334,578,867,05 9,970,000.00 25,650,000,00 15,464,705.20 395,663,572.25 RDA Convention Center Financing, Series 2015 (New Money) Series 2015 Taxable Refunding of Series 1998,4 Non-Callables Serix 2015 Taxable Refunding of Series 20054 Series 2015 Tax-Exempt Current Refunding of Series 20058 Total Project Fund Deposits: Project Fund Refiuding Esorow Deposits : Cash Deposit SLGS Purchases Other Fund Deposits: Debt Service Reserve Fund Delivery Date Expenses: Cost oflssuance Underwriter's Discount Other Uses ofFunds: Additional Proceeds 10.23 9,896,968.00 9,896,978.23 308,667,63 1.00 308,667,631.00 40,835,030,23 9,896,968.00 50,731,998.23 23,748,375.00 25,470,010,00 15,365,010.00 25,470,010.00 15,365,010.00 23,748,375.00 617,530,00 19,940.00 5 1,300.00 28,220.00 716,990,00 1,543,825.00 49,850.00 128,250.00 70,550.00 1,792,475.00 2,161,355.00 69,',790.00 98,770.00 2,509,465,00 925.20 6,103.02 179,550.00 440.00t,506.0s 3,231.77 334,578,867.05 9,970,000.00 25,650,000.00 15,464,705.20 395,663,572.25 Morgan$tantey 332 >aa C(s cra G' C'Tog EXHIBIT A \o \c \f6\o6iGl6loF- oO!qn Ni \,od .. >r oI 'rii $ 3o'*e E6S EH \ovln €\oN m o in6o\€o\ No m \o oo c\t+ 6 Foo-t G! oso\4caho6atctoo€o6mN d- o €o\ ooo\ \o o6*: hFoeq\qc'l\o:oho6r+Nvle'l .+ 6 HM \o \o \o \o6\ 6\ O\ O\Oa-oolC-€\O€qc'.lqqme.loN ooooooeooooooooooooo h600\of-hrts6EH €o\h<o drm ir b EEH E$fi€N6.-E bo6Fc.l tr.9 o o'E .E H H.E$rr&.:loOP E.r.i'E.:iE€,tri g gob55EEe&a {**troxxx'5dddEFFF<E===Xooor'iddN {riOOo HOOOfrv)u)o s$ * oo> br)EEb0 .=ofz4 >.Eoo Hi; tq o oboatr Ei5 H A$O b'E EEz ts H 5,e 'l iD i aO>{V Uii rt 9R E IIi rd oO g.E EH-o o5 .EE A2 H,q: s" a ar) o oa, 6lobl)d UJ o tr6 ln Ebo o ,o 't,l) do.o pr Eo. c.l\f F ooil 6l h0a 333 Aug 25, 2015 7 :42 pm Prepared by Morgan Stanley / ALC EXHIBIT A pue"r BOND ST]MMARY STATISTICS Miami Beach City CenterRDA Combined 2015 Financings Dated Date Delivery Date First Coupon Last Mahtrity Arbitrage Yield True Interest Cost @C) Net Interest Cost(NIC) All-In TIC Averago Coupon Average Life (years) Weighted Average Maturity (years) Duration of Issue (years) ParAmount Bond Proceeds Total Interest Net Interfft Total Debt Service Maximum Annual Debt Service Average Annual Debt Service Under$,ritefs Fees (per $1000) Average Takodown OtherFee Total Underwrircds Discount Bid Price 5.000000 107.078508 Average Average MaturityLife Date wrcno$ tut0l2015 06latD016 t2l0tD043 2.672t64% 4.3t9196% 4.546324% 4.335531% 4.9485190/o 17.500 17.563 I 1.698 3s8,495,000.00 38s,663,s72.25 312221,510.60 286,845,413.35 670,716,5t0.60 21,748,375.00 23,975,55',1.85 5.000000 Bond Component Par Value Price Average Coupon PVoflbp change Serial Bonds (Taxable) Serial Bonds (Tax-ExempQ Term Bond 1 (Tax-Exempt) Term Bond 2 (Iax-Exempt) 35,620,000.00 100,000 166,28s,000.00 110.721 90,430,000.00 106.212 66,160,000:00 105.628 4.068 0V03t2020$1n 09119n029 23.075 01106DA39 27.008 12J72DO42 2.939% 4.989o/o 5.000% 5.000% 3.826 3.867 14.214 15.423 t3,213.60 137,834.s5 7s,96120 s4,912.80 358,49s,000.00 281.922.15 TlC AII-In TIC Arbitage Yield Par Value + Accrued Interest + Premium (Discount) - Undenrrite/s Discount - Cost oflssuance Expense - Other Amounh Target Value Target Date Yield 358,495,000.00 27,t68,572.25 (1,792A7s.00) 3s8,495,000.00 27,168,572.25 (1,792,47s.00) (716,990.00) 49,730,000.00 1,354,705.20 383,871,097.2s 1ArcDot5 4.1191960/o 383,154,107.25 12110D015 4.335531% 51,084,705.20 lut0D015 2.672164% MorEanStantey 334 EXHIBIT A Page 4hq 25, 2Ol 5 7 :42 pm Prepared by Morgan Stanley / ALC BONDPNCING Miami Beach CitY Center RDA Combined 20 I S-Finanoiugs Manrity ElEt€Yiold Yicld to Prioe Maturity CsI Datc Call Prcmim Pricc (Dismrmt) Bond Componenl Rao Scrial Bonds (Iax-Exeryt): nlon016 la0v2017 12l0ln0'l la0ln0D 12101n020 nntnozt laolno22 1a01n023 lu01lz024 1210112025 1210112026 9l01nvn ,2filn028 Dlgln029 nnt2030 l2lotlz03r la|ln$z Dl0lnB3pnln$4 1210112035 TmBond I (fu-ExemPt): Dl0ln$6 Dnv2037 nl0ln068 lUotn$g 72l0ll7M0 Tm Bond 2 Cfa-Ex€EPt): ra0u204l nnw042 la0tD04r n|01n044 Srial Bonds (IuablQ: la01D016 lzJ01D0l7 lu01n0l8 l2J0ll20l9 Dl\1nu20 laiv202l pl0ln022 1,795,000 z.00vh 1,t40,000 3.0wh 1,905,000 4.00v4 1,990,000 4.000% 2,090,000 5.000% 2,190,000 5.000% 2,300,000 5.00u/o 8,520,000 5.000% 8,960,000 5.000% 9,415,000 5.000p/o 9,900,000 5.00v/" 10,410,000 5.000% 10,940,000 5.000% 11,505,000 5.000% 12,095,000 5.000% 12,715,000 5.000% 13,365,000 5.000% 14,050,000 5.00aoa 14,'.t70,000 5.000% t5,530,000 5.Q0V/o 166r85,000 16,325,000 5.000% 17,160,000 5.000% 1E,040,000 5.000Yo 1E,965,000 5.ooo% 19,940,000 5.000yo 90,430,000 20,960,000 5.000n/o 22P35PO0 5.0000/6 23,165,m0 5.000% 5.000%-- 66166,000 t0t.319 103.541 t07,247 t08.5?2 ll3.833 114.631 l 15.081 tt5.625 I 15.633 I 15.544 n3.892 C 3.167% u2.358 C 3.1120/o llt.ll3 c 3.9No/o 110.,t96 C 43ll'/o 109.884 C 4.110% 109.363 C 4.190% 10t.930 c 4.2560/o 108.500 c 1,3150/o t0t.l57 c 1.363% 107.816 C 4.407% 23,676.05 66,994.40 i38,055.35 I69,587.80 2E9,109.70 320,418.90 346,863.00 1,331,250.00 1,400,716.80 1,463,467.60 t00.000 1,375,308.00 100.000 1p85,467.80 t00.000 1,215,762.20 100.000 1,207,564.80 100.000 1,195,469.E0 100.000 1,190,505.45 100.000 1,193,494.50 t00.000 1,194,250.00 100.000 1,704,788.90 100.000 1.213,824.80 17,827,575.85 0.ill% 1,110o/o 1.s00% 1.770% 2.060% 2.160% 2.6200/o 2.800% 3.000% 3.1700/o 1.3s0% 3.52OYo 3.660Yo 3.730o/o 3.800% 3,8600/o 3.9t0% 3.%0% 4.00@/o 4.040% 4.?3,0% 123,0% 4.230% 4.2!0% 4.2300/. 4.300% 4.3N% 4.300n/o 4.30o0/o tuttn0z5 taitD025 tv01n0z5 ta$ln025 tu0ln025 tuiln025 taDlt2025 tuiln025 laoLn025 tu0Ln0z5 LO62IL C 4.580% luolr2ozs t00.000 1,014'109'00 ioa:n c 4.580% tzfilnozs 100.000 1,065'979'20 tos,ztz c 4.580% luoLt?oz' 100.000 1,120'644'E0 1o6i.2lz c 4.580% luolnozs 100.000 1'17t,105'80 loe.ztz c 4.580% Lzntnozs 100.000 1'238'572'80 5.617,5 1l'60 10s,628 C 4.64s% tu01tD25 105.628 C 4.645% lu|lnozs 105.628 C 1.6450/o l2l0ln025 105.628 C 4.645% la0ln025 100.000 1,179,628.t0 ro0.00o 1,240,129.E0 100.000 1303J2620 l00.0oo _ 3,123,484.80 4,765,000 4,845,000 4,945,000 5,065,000 5230,000 5185,000 5.485,000 35,620,000 1.426% t.576yo 2-114o/o '2.693% 2.913% 3.332% 3.sEZ% 1.426Vo 100.0001.s76% 100.0002.tr4% 100.0002.693% 100.000 2.943% 100.000 3.332o/o 100.000 3.582% 100.000 27,t68,572.2s 358,495,000 Dated Date Dolivery Date FiBt CouPon PuAmout Premim Production Undffiit€ds Di$outrt Purchsc Prie Accrued lnt Gt Nct Procceds lafiD0ls laL0D0l5 06n1D0L6 35E,495,000.00 nJ68,572.25 385,663,5T2.25 107.578508% (1Je2fi5,00) (0.s00ooo7o) 383,87 1,097 25 107.078308% 3E3,871,097.25 MorganStanteY 335 Atg25,2015 7:42 pm Prepared by Morgan Stanley i ALC EXHIBIT A pue.s SUMMARY OF REFUNDING REST]LTS Miami Beach City CenterRDA Combined 2015 Financings Dated Date Delivery Date Arbitrage yield Esorow yield Value of Negative Arbitage Bond ParAmount True Interest Cost Net lnterost Cost Average Coupon Average Life Par amount ofrefuaded bonds Average coupon ofrefunded bonds Average life of refunded bonds PV of prior debt1o lal0/2015 @2.672164% NetPV Savings Percentage savings of refunded bonds Percentage savings of refunding bonds t2n0l20ls t2/10t2015 2.6721640/o 1.1802380/o 398,985.10 49,730,000.00 2.8009460/o 2.8s9322% 3.4031010/o 4.090 49,355,000.00 5.258257% 4,195 54,348,110.79 3,268,002.56 6.621421% 6.s71491% MorganStantey 336 Aug 25, 2015 7 :42 pm Prepared by Morgan Stanley / ALC EXHIBIT A Page 6 Date SAVINGS Mi:ami Beach City Center RDA Combined 2015 Financings Prior Refunding Debt Service Debt Service Savings Present Value to l2ll0l20l5 @ 2.6721641% 09t30/2016 09130/2017 09R012018 09t3012019 0913012020 098012021 09R012022 a9/3012023 1,261,649.65 8,400,323;75 8,403,379.75 8,409,722.50 8,418,064.00 8,443,743.00 8,451,948.50 E,467,67$.00 706,67s.04 7,995,707.21 8,003,004.16 8,011,856.91 8,018,488.03 8,046,278,35 1,929,270.80 7,940,736.35 555,024,61 404,616.54 400,31s,59 397,865.59 399,575.97 397,464.65 s22,677;10 526,941.6s 547,426.05 388,364.39 375,484.58 364,452.13 357,465.98 346,956.54 445,377.85 437,878.08 60,256,509.15 56,651,966.85 3,604,5A30 3,263,405.59 Savines Summary PV ofsavings from cash flow Plus: Refunding funds on hand Net PV Savings 3,263,405.59 4,596.97 3,268,002.56 MorganStantey 337 4ru425,2015 7:42 pm Prepared by Morgan Stanley /ALC EXHIBIT A rug"z BOND DEBT SERVICE Miami Beach City Center RDA Combined 201 5 Financings Period Bnding Dated Date 1211012015 Delivery Date l2ll0l20l5 Principal Coupon Debt Service 09t30/20t6 09R0/2017 09130/2018 09/30120t9 09t30t2020 09/30/2021 w/30/2022 09/3012023 09/30/2024 09/3012025 09t30t2026 09/30DA27 09/30t2028 09/30/2029 09R0/2030 09/30/2031 09R0t2032 09R0t2033 09RA12034 09R0/2035 09n0D036 09t3012037 09/3012038 09/30/2039 09t3012040 0913012041 09/30/2042 09t30t2043 09B0/2044 6,560,000 6,685,000 6,950,000 2055,000 7,320,000 7,47s,000 7,785,000 8,520,000 8,960,000 9,415,000 9,900,000 10,410,000 10,940,000 I 1,505,000 12,095,000 12,715,000 13,365,000 I4,050,000 14,770,000 15,530,000 16,325,000 17,160,000 18,040,000 18,965,000 19,940,000 20,960,000 22,035,000 23,165,400 ** o/to ** o/o ** o/o ** Yo ** o/o ** o/o ** o/o 5.000% 5.000% 5.000% 5.0000/o 5.0000/o 5.000o/o 5.000% 5.000% 5.0000/o 5.000% 5.000% 5.000% 5.000% 5.000% 5.000% 5.000o/o 5.000% 5.000% s.000% 5.000% 5.000Yo 8,039,793.79 16,8'.13,9s7.21 16,756,254.16 16,600,106.91 16,401,738.03 16,164,528.35 15,892,520.80 15,593,986.35 t5,225,250.00 14,788,250.00 14,328,875.00 13,846,000.00 13,338,250.00 12,804,500.00 12,243,375.00 11,653,375.00 I 1,033,125.00 10,381,125.00 9,695,750.00 8,975,250.00 8,217,750.00 7,421,375.04 6,584,250,00 5,704,250.00 4,179,12s.00 3,806,500.00 2,784,000.00 1,709,125.00 519,125.00 8,019,793.79 23,433,957.21 23,441,254.16 23,450,106.91 23,456,738.03 23,484,528.35 23,367,520,80 23,378,986.35 23,745,250.00 23,748,250.00 23,143,875.00 23,746,000,00 23,748,250.00 23,144,500.00 23,748,375,00 23,148,375.00 23,148,125.00 23,746,125.00 23,145,150.00 23,745,250,00 23,747,750.00 23,146,375.00 23,',|44,250.00 23,144,250.00 23,744,125,00 23,746,500.00 23,744,000.00 23,744,125.00 23,144,125.00 358,495,000 312,221,510.60 670,716,510.60 MorganStantey 338 Aug25, 2015 1:42pmPreparedbyMorganStanlev/AlC - EXHIBIT A PageS NBTDEBTSERVICE Miami Beach CitY Center RDA Combined 2015 Financings Total Debt Service Net principal Interest Debt service Reserve Fund Debt service Period Ending 0913012016 09/3012017 09R012018 09/3012019 09130/2020 09/30n021 09i3012022 0913012023 098012024 091301202s 09t30D026 09l30D0z7 09130t2028 0913012029 0913012030 09t3012a31 098012032 0913012033 0913012034 0913012035 09t30/2036 0913012037 09130/2038 09130/2039 0913012040 0913012041 0913012042 0913012043 09l30l204/ 6,560,000 6,685,000 6,850,000 7,055,000 7,320,000 7,475,000 7,785,000 8,520,000 8,960,000 9,415,000 9,900,000 l0y'lo,o0o 10,940,000 1 1,505,000 12,095,000 12J15,000 13,365,000 14,050,000 14,770,000 15,530,000 16,325,000 17,160,000 I 8,040,000 1E,965,000 19,940,000 20,960,000 22,035,000 23,165,000 8,039,793.79 16,873,957.21 16,756,254.16 16,600,106.91 16,401,738.03 76,164,528.35 15,892,520.80 15,593,986.35 15,225,250.00 14,788,250.00 14,328,875.00 13,846,000.00 13,338,250.00 12,804,500,00 12,243,375.00 11,653,375.00 1 1,033,125.00 10,381,125,00 9,695,750.00 8,975,250.00 8,217,750.00 7,421,375.00 6,584,250.00 5,704,250.00 4,779,125,00 3,806,500.00 2,784,000.00 1,709,125.00 579,125.00 8,039,793.79 23,433,957.21 23,441,254.16. 23,450,106.91 23,456,738.03 23,484,528.35 23,367,520.80 23,378,986.35 23,145,250.00 23,148,25A.00 23,743,875.00 23,746,000.00 23,748,250.00 23,144,500.00 23,748,375.00 23,748,375.00 23,',148,125.00 23,746,125.00 23,745,750.00 23,745,250,00 23,',141,150.00 23,746,375,00 23,144,250.00 23,144,250.00 23,744,725.00 23,746,500.00 23,744,000.00 23,744,125.00 23,144,125.00 112,804.78 237A83.76 231,483.76 237,4E3.76 237,483J6 237,483.76 237,483.76 237,483.76 237,483.76 237,483.76 237,4E3.76 237,483.76 237,483.76 231,483.76 237,483.76 237,483.76 237,483,76 237,483.76 237,483.76 237,483.76 237,483.76 237,483.16 237,483.76 237,483.76 237,483.76 237,483.76 237,483,76 237,483,76 23,867,116.88 7,926,989.ol 23,196,473.45 23,203,170.40 23,212,623.15 23,219254.27 23,247,044.59 23,130,037.04 23,141,502.59 23,507,766.24 23,510,766.24 23,506,391.24 23,508,516.24 23,510,766.24 23,507,016.24 23,510,891.24 23,510,891.24 23,510,641.24 23,508,641.24 23,508,266.24 23,507,766.24 23,510,266.24 23,508,891.24 23,5A6,766.24 23,506,166.24 23,506,641.24 23,509,016.24 23,506,516.24 23,506,641.24 (122,991.88) 358,495,000 312,22|,5fi.60 670,716,5|0.60 30,391,983.18 640,324'527.42 MorganStanteY 339 Aug 25, 2015 7:42 pm Prepared by Morgan Stanley / ALC EXHIBIT A pug.e Period Ending RDA Convention Center Financing, Series 2015 (New Money) AGGREGAIE DEBT SERVICE Miami Beach City CenterRDA Combined 2015 Financings Series 2015 Taxable Series 2015 Refunding of Taxable Series 19984 Refimding of Non-Callables Series 2005A Series 2015 Tax-Exempt Cunent Refunding of Aggregate Series20058 DebtService 09130/2016 09t30/2011 09t30t2018 09/3012019 09/30/2020 09/30/2021 09/30/2022 0913012023 09t3012024 09/30D025 09R0t2026 09R0t2027 09/30t2028 a9R0/2029 09/30D$A 09/30/2031 0913012032 09/30/2033 09130/2034 09BADA35 0913012036 09/3012037 09130/2038 09t30/2039 0913012040 09130/2041 09t30/2042 09t30D043 09130/2044 7,333,t68.75 15,438,250.00 15,438,250.00 15,438,250.00 15,438,250.00 15,438,250.00 15,438,250.00 15,438,250.00 23,745250.00 23,148250.00 23,743,87s.00 23,746,000.00 23,748,250.00 23,744,500.00 23,748,37s.00 23,748,375.00 23,748,t25.00 23,746,125.00 23,145,750.00 23,745,250.00 23,747,?50.00 23,746,315.00 23,'144,250.00 23,744,250.00 23;144,125.00 23,746,500.00 23,744,000.00 23,744,125.00 23,744,175.00 100,563.30 2,222273.95 2,226,602.94 2,233,120.25 2226,920.65 1,653,985.45 332,549.24 3,420,483.26 3,424,001,26 3,427,036.66 3,432,76',1.38 4,025,542.90 5,569,520.80 5,583,236.35 273,552.50 L3s2,9s0.00 2,352,400.00 a351,700.00 2,358,800.00 2,366,750.00 2,359,750.00 2,357,500.00 8,039,793.79 23,433,957.27 23,441,254.16 23,450,L06.9L 23,456,738.03 23,484,528,35 23,367,520.80 23,378,986.35 23,745,250.00 23,748,250.00 23,743,875.00 23,',|46,000.00 23,748,250.00 23,744,500.40 23,748,375.00 23,748,375.00 23,748,125.00 23,746,125.00 23,745,750.00 23,745,250.00 23,747,750.00 23,746,375.00 23,744,250.00 23,744,250.00 23,744,125.00 23,746,500.00 23,744,000.00 23,744,125.A0 23,744,125.00 614,064,543.75 14,663,466.50 29,215,097,85 16,773,402.50 610,716,510.6A 340 Ang 25, 201 5 7 :42 pm Prepared by Morgan Stanley / ALC EXHIBIT A pase to ESCROW STATISflCS Miani Beach CitY CenterRDA Combined 2015 Financings Modificd Yicldto Yicldto Pcrf€ot Veluoof Total Dration PY of t bp Rreipt Disbmemt Estrow Negtive CGt of Esmw Esmwcost (yrm) cbmgt Daie Dste cost Arbiragc DcadTimo Scries 2015 Tuable Rofinding of S*im 198A Noa-Callable, Global Proeeds Esaowg,8g6,n5.23 2.7s3 2,751.32 l.l8O23S% 1.1802360/o 9,491991.84 39E985.10 r'29 Serics 2015 Tmble Refiudingof Srics 2005d Global Ptoecds Esmw: 25,470,010.00 Sorics 2015 Tu-ExmptCurdtRefimding ofSriee 20058, Global Proffids Escrow: 15J65,010.00 25370,010.00 15365,010.00 5033t898,3 2J53.32 50J33,011.84 398,98r.10 l.z9 Delivery dats ArbiEaga leld Corupositc Modified Dmtion lu101201s 2.612164/o 2.783 Morqan$tantey 341 Alg 25, 2015 7 :42 pm Prepared by Morgan Stanley / A.LC EXHIBIT APage l1 SOURCES AND USES OF FUNDS Miami Beach City Center RDA RDA Convention Center Financing, Series 2015 (New Money) Dated Date l2ll0l20t5 Delivery Date 12/10/2015 Souroes: Bond Proceeds: Par Amount Premium 308,765,000.00 25,813,867.0s 334,578,867.05 Pmject Fund Deposits: . Project Fund Other Fund Deposits: Debt Service Reserve Fund Delivery Date Expenses: Cost oflssuance Underwriter's Discount Other Uses ofFunds: Additional Proceeds 308,667,63 1.00 23,748,375.00 6 17,530.00 1,543,825.00 2161.355.00 1,506.05 334,578,867.05 MorganStail[ey 342 Atg25,2015 1:4lpmPreparedbyMorganStanlev/AlC EXHIBIT A Pagel2 BOND SUMMARY STATISTICS Miami Beach CitY Center RDA RDA Convention Center Financing, Series 2015 (NewMoney) Dated Date Delivery Date First Coupon L,ast Maturity Arbihage Yield True Interest Cost(flC) Net Interest Cost (NIC) All-InTIC Average Coupon Average Life (years) Weighted Average Maturity (years) Drnation of Issue (Years) ParAmount Bond Proceeds Total Intorest Net IntEr€st Totat Deh Service Ma:<imum Annual Debt Sewice Average Annual Debt Service Underwrite/s Fees (per $1000) Average Takedown Other Fee Total Underwritef s Discount Bid Price ta$n0$ tul0D0t5 06rcrn0rc r2to1t2M3 3.969624o/o 4.t86144% 4.6025210/o 4.400978% 5.000000% t9.776 19.615 12.791 308,765,000.00 334578,867.05 30s299,s43:7s 281p29,501.70 6t4p64,543.75 23:748,375.00 21950,475.20 5.000000 5.000000 I07.860360 Average Average Average MaturitY Coupon Life Date Par Value Price Duration PVof 1bp chango Bond Compotent Serial Bonds (Tax-ExemPt) Term Bond I (Ia,x-ExemPt) Term Bond 2 (Iax-ExemPt) 152,175,000.00 90y'30,000.00 66,160,000.00 1 10.825 106.212 105.628 5.000P/o 5.000% 5.000% 10.693 14214 (s.423 111,972.90 7s,961.20 54,912.80 14.670 08/112030 23.O75 0tn6r2$9 27.008 la0n042 308J65p00.00 19'776 262,846'90 JUOr ' UJrvw'vv TIC fubitrage Yield All-In TIC Par Value + Accrued Int€rest + Premium (Discount) - Underwritet's Discount - Cost oflssuance ExPense - Other Amouts Target Value TargotMe Yield 308,765,000.00 25,813,867.05 (1,543,82s.00) 308,%5,000.00 25,813,867.05 (1,543,82s.00) (617,s30.00) 308,765,000.00 25,813,867.05 333,035,042.05 l2lt0a0l5 4.3861M% 332117,512.05 1211012015 4.4009780/o 334,578,867.05 turcnols 3.969624% MorgarrStantey 343 Au925,2015 7:42pm Prepared by Morgan Stanley / ALC EXHIBIT APage 13 Bond Componeat Matuity Dete BONDPNCING Miami Beach City Center RDA RDA Convention Center Finansing, Series 2015 (New Money) Amout Rat€ Yicld to Cdl Yiold Prie Manrity Dsto cdl Price Pramim (-Digcormt) Serial Bonds (Iu-Exempt): L2t01DA3 t2l0t/2vt4 tu$tnizs t210112026 tzl|w0z7 12/01t2028 12t0u2029 0t0tn$0 t2l0v203t ruov2032 1210112033 12t0y2034 12t0y2035 TmBond I (fu-Excmpt): 12t0tD0r6 nntn$7 1210112038 tzt01t2039 ,u01t2040 Term Bond 2 (fu-Exempt): t2l0ln0/.l w0tnuz 1210112043 12101D044 8,s20,000 s.wo% 8,960,000 5.@00/o 9,415,000 5.000% 9,900,000. 5.000% 10,410,000 5.000% 10,940,000 5.000% 11,505,000 5.N0% 12,095,000 5.000% 12,715,000 5.000o/o 13,365,000 5.0000/o 14,050,000 5.000% v,n0,000 5.000% 15,530,000 5.000% 152,175,000 15,325,000 17,160,000 18,040,000 18,955,000 19,940,000 90,430,000 1t5.62s I 15.633 I 15.5,14 113.892 C 3.16?0/o 112.358 C 3.7t2% l1l.Il3 c 3900% 110.4 C 4.0t1% 109.884 C 4.1100/. 109.363 C 4.190% 108.930 C 4.2s6% 108.500 c 4.31s% 108.157 c 4.363% 107.816 c 4_407% t06.212 C 4,580% tM.2L2 C 4,5800/0 106.212 C 4.580% t05.212 C 4.s80% 106.212. C 4s80% 1,331,250.00 1,400,716.80 1,463,467.60 100.000 137s,308.00 100.000 1,u6,46?.801oo.oo0 t215,762.20 100.000 1,207,564.80 100,000 1,195,469.80 100.000 1,190,505.4t 100.000 1,193,494.50 100.000 1,194,250.00 100.000 12!4,78890 100.000 1,213,824.80 16,472,870,65 100,000 1,014,109.00 100.000 1,065,979.20 100.000 1,120,6{4.80 100.000 1,178,105,80 100.000 ____121$za!q 5,617,5 I 1.60 100.000 1,t79,628.80 100.000 1,240,129.80 100.000 1,303,726.20 100.000 _ 3,723,4E4,80 20,960,000 5,0000/o 22,035,000 5.0000/0 23,165,000 5.Q000/o 5.000% 66,160,000 105.628 C 4.615% 1U0112025 105.628 C 4.6450/o 1210112025 105.628 C 4.645% t2l0ll20L5 105.628 C 4.645o/o 1210112025 5.000% 5,000% 5.000% 5.000% 5-000o/o 2.800o/o 3.000P/o 3.t70% 3.350% 3.520% 3.660% 3.730% 3.800% 3.860% 3.914% 3.960% 4.0000/o 4.040% 4.230% 4230o/o 4.230% 4230% 4.230% 43000A 4.300% 4.300% 4.3000/. 1?/01D025 tzl0u202s tvgu202s ta0w02s 1?,0V2025 t?r'0u2025 r2t0w02s ta0uz025 QJ0tno25 1A0tn02s ta0v2025 0mnlzs ta0U2025 taal2025 ta0y2025 308,765,000 2s,813,867.0s Daled DatE Delivery Date Fint Coupoo PtrAmout Promim Production Undq*rilols Discormt Puchse hice Accrued IntgrEst Net Pmecds 12fi0120t5 12n0D01s 06n1n016 308,765,000.00 25,8t3,867.05 334,578,867.0s 108.360360% (1;543,825.00) (0.50000090) 333,035,042.05 107.8603600/o 333,035,042.05 Morgan$tantey 344 Avg25,2015 7:42pm Prepared by Morgan Stanley LtrLC EXHIBIT A Paset4 BOND DEBT SERVICE Miami Beach City Center RDA RDA Convention Center Financing, Series 2015 (New Money) Dat€d Date L211012015 Delivery Datc laL0n0l5 Pcriod Anntat Ending Priucipal Coupon tutores Debt Swice Debt Swi€ 06t0v2016 09/30n016 t2t0tD0t6 06101n017 09/30n017 nlotn0n 06ntn0r8 09t30D018 t2t0lt20l8 06t01D0t9 0980n019 w0lno9 06t01D020 09R0n020 tu1v2020 06ntn021 09a,0t2021 D/0v2021 06nv2022 09/3,012022 w0tn022 06n1n023 09^.0n023Dn1n023 8,520,000 5.000% 7J19,125.00 16,239,125.00 06fi1?024 0980t2024 7.506.125,00 7,505.125.00 12t01t2024 8,960,000 5.000% 7,s06,125.00 16,466,t25.00 7_282,t25.00 7282,125.00 wo1n02s 9,415,000 5.000% 7282,125.00 16,697,125.00 06t0t/2026 09n0/2026 7,046,750.00 7,046,750.00 Dn|no26 9.900,000 5.000% 7,046,750.00 16,946,750.00 6,799,2so.00 6,7992s0.00 12t0112027 i0,410,000 5.000% 6i99,250.00 17,209,?50.00 6.539,000.00 6,539,000.00 L2ntn028 10,940,000 5.000% 6J39,000.00 17,479,000.00 6265,500.00 6265,500.00 12t0v2029 11,505,000 5.000% 6265,500.00 17,770,500.00 7333,168.15 7,333,16E.7s 7,333,168;t5 7:7t9,125.00 7J19,125.00 7JL9,l2s.o0 7J19,r25.00 15,438,250.00 7J19,t25.00 7J19,125.00 7J19,12s.00 7,719,12s.00 15,138,250.00 7:7r9,r2s.oo 7:719,125.00 7,7t9,175.00 7,719,125.00 15,138,250.00 7,7t9,t25.00 1,719,12s.00 7,719,175.00 1,719,125.00 I5,{38,250.00 7,719,125.00 7,719,125.00 7,719,125.00 7,719,125.00 15,138,250.00 7,719,125.00 7319,12s.00 7'719'125.'00 7'719'125.00 15,138,250.00 7 ,7t9 ,r25 .00 7 3 19 ,125 .00 1,719,125.00 7,719,125.00 1s,t38,250.00 5.977.E75.00 5,977,875.00 23,7452s0.00 23,748,250.00 23,743,875.00 2?,746,0W.00 23,7482s0.00 21J44,500.00 23,748,375.00 06t0v2025 09t30/2025 06/0v202'l 0913012027 06t01t2028 0913012v)8 06101nu29 09BUZAzg 06/0tn030 09/3A12030tuotna3a 12,095,000 5.000% 59'77,t7s.00 18,072,t75.00 o6lolao3t 5,675,500.00 5,675,500.00 ogl3o/2031 23,74E'37s'oo Dlotn$t 12.715,000 5.000% 5,675,500.00 1t,390,500.00 06/0v2032 5,3s7,625.00 s357,625.00 og5on$z 23748'125'00 LUOtn$2 13,36s,000 5.000% 53s7,62s.00 18,722,625.00 o6/otn0f.3 5,023,500.00 5,023,500.00 09/3012013 23,746'125'00 t2t0y2033 14,050,000 5.000% 5,023,500.00 19,073,500.00 0610112034 4,672250,00 4,6722s0.00 osBonlB4 23,145,750.00 12t01t2034 14,?70,000 s.000% 4,672,250.00 19,142,250.00 06101t2035 4,303,000.00 4,303,000.00 ogtsolzo3s 23'745'250'00 ,2rctno3s 15,530,000 5.000% 4,303,000.00 19,833,000.00 0610112036 3,914,750.00 3,914,?s0.00 09t30t2036 23,747,750-00 nrctn$o 16,325,000 5.000% 3,914,750.00 20,239,750.00 06t01t203? 3,s06,625.00 3,506,625.00 og\on$1 23,146,375.00 nrclnfs1 17,160,000 5.000% 3,506,625.00 20,666,6?,5.00 o6tov2o38 3,077,625.00 3,077,62s.00 og31nfr,8 23,744,250.00 t2t0v2038 18,040,000 5.000% 3,077 ,625.00 2r,111,625.00 0610117039 2,626,62s.00 2,626,62s.00 Morganstantey 345 Av925,2015 7:42 pm Prepared by Morgan Stanley /ALC EXHIBIT APag" 1s BOND DEBT SERVICE Miami Beach City Center RDA RDA Convention Center Financing Series 2015 (New Money) Period Auu8l Ending hincipal Coupon Intcrcst Dcbt Seryioe Dcbt Sryi€ 09B0nB9 23,7&.250.00 1210112039 18,955,000 5.000% 2,625,625.00 21,591,625.00 06to1n040 2,152,500.00 2,152,500.0009R0D010 23,744,t2s.00lu0ln040 19,940,000 5,000% 2,152,500.00 22,092,5a0,00 0610In04r 1,654,000.00 1,654,000,0009l30l2ul 23,746,500.00la0LD04L 20,960,000 5.000% 1,654,000.00 22,614,000.00 06101D042 1,130,000.00 1,130,000.0009R0DUZ 23,714,000.00ta0tD042 22p35,000 5.000% 1,130,000.00 23,165,000.0006101f2043 579,125.00 579,125.0009t30D043 23,744,t25.00pl01n0$ 23,165,000 5.000./. 579,125.00 23,744,125.W09t30D044 23,744,t25.00 308,765,000 305299,s43.75 614,064,s43.7s 614,064,543,75 MorganStantey 346 A:ulg 25, 201 5 7 :42 pm Prepared by Morgan Stanley / ALC EXHIBIT A page 16 Period Ending NETDEBTSERVICE Miami Beach City Center RDA RDA Convention Center Financing, Series 2015 (NewMoney) Total DebtService Net Principal Interest Debt Service Reserve Fund Debt Service 09t30t20t6 09t3012017 09B0n0t8 09/30n019 09130D020 0913012021 09/30D022 0913012023 09/30t2024 09130D02s 09R0t2026 09R0/2027 09/3012028 09/3012029 09i30n030 09t30D03t 09/30n$2 098012C33 09B0n034 09130/2035 09/30t2035 09130t2037 09130/2038 09R012039 09t30/2040 09t30D041 09130/2042 0980n043 0913012044 8,520,000 g,960,0oo 9,415,000 9,900,000 10,410,000 10,940,000 I 1,505,000 12,095,000 12,715,000 13,365,000 14,050,000 14,770,000 15,530,000 16,325,000 17,160,000 18,040,000 l 8,965,000 19,940,000 20,960,000 22,035,000 23,165,000 7,333,168.75 15,438,250.00 15,438,250.00 15,438,250.00 15,438,250.00 15,438,250.00 15,438,250.00 15,438,250.00 15,225,250.00 14,788,250.00 14,328,875.00 13,846,000.00 13,338,250.00 12,804,500.00 12,243,375.00 I 1,653,375.00 I 1,033,125.00 10,381,125.00 9,695,750.00 8,975,250,00 8,217,750.00 7,421,375.00 6,584,250.00 5,704,250.00 4,779,125.00 3,806,500.00 2,?84,000.00 1,709,125.00 579,125.00 7,333,168.75 15,438,250.00 15,43E,250.00 15,438,250.00 15J38,250.00 15,438,250.00 15,438,250,00 15,43E,250.00 23,745250.00 23,748,2s0,00 2i,743,875.00 23,746,000.00 23,74E,2s0.00 23,744,500.00 23,748,375.00 23,748,37s.00 23,748,125.00 23,746,125.00 23,745,750.00 23,745,250.00 23,747,750,00 23,746,375.00 23,744,250.00 23,744,250.00 23,744,125.00 23,746,500.00 23,744,000.00 23,744,125,00 23,744,125.00 112,804.78 237,483.76 237,483.76 237,483.76 237,483.76 237,483.76 237,483.76 237,483.76 231,483.76 231,483.76 237,483.76 237,4E3.76 237,483.76 237,483.76 237,483.16 237,483.76 237,483:16 237,483.76 237,483,76 237,483.76 237,483.76 237,483.76 231,483,76 237,483,76 237,483.76 237,483;t6 237,483.76 237,483,76 23,867,1 15.88 7,220,363.97 15,20tr,,766.24 t5,200,766,24 t5,2W,766.24 15,200,766.24 15,2N,766.24 15,20p',766.24 15,200,766.24 23,507,766.24 23,510,766.24 23,506,391.24 23,508,516,24 23,510,766.24 23,507,016.24 23,510,891.24 23,510,E91.24 23,510,641.24 23,508,641.24 23,508,266.24 x,507,766.24 23,510,266.24 23,508,891.24 23,506,766,24 23,5m,'.166.24 23,506,641.24 23,509,016.24 23,506,516.24 23,506,641.24 (122,991.88) 308,765,000 305,299,543.75 614,064,543.75 30,391,983.18 583,672,560.57 fVlorganrStanley 347 Attg25,20l5 7:42pm ?repared by Morgan Stanley /ALC EXHIBIT Arugeu SOURCES AND USES OF FT]NDS Miami Beach City Center RDA Series 2015 Taxable Refuading ofSeries 1998A Non-Callables Dated Date tafit20t5 Delivery Date lArcl2}ls Bond Proceeds: Par Amount 9,970,000.00 9,970,000.00 Refunding Escrow Deposits: Cash Deposit SLGS Purchases Delivery Date Expenses: Cost oflssuance Underwritet's Discount Other Uses ofFunds: Additional Proceeds 10.23 9,896,968.00 9,896,978.23 19,940.00 49,850.00 69,790.00 3,231.77 9,970,000.00 MorEanStantey 348 Aug 25, 2015 7 :42 pm Prepared by Morgan Stanley / ALC EXHIBIT A page t8 BOND SUMMARY STATISTICS Miami Beaoh City Center RDA Series 2015 Ta:<able Refunding of Series 19984 Non'Callables Dated Date Delivery Date First Coupon last Maturity Arbitrage Yield True Interest Cost (TIC) Net Interest Cost (MC) All-tn TIC Average Coupon Average Life (years) rileighted Average Maturity (years) Duration of Issue (years) Par Amount Bond Proceeds Total Interest Net Interest Total Debt Service ' Maximum Annual Debt Service Average Annual Debt Service Underwriter's Fees (per $1000) Average Takedown Other Fee Total Underwritet's Discount Bid Price 5.000000 99.500000 Average Average Average Matudty Coupon Life Dat€ wrcno$ turcn'$ 06l0tD0l6 lonlD020 2.672164% 2.s67680% 2.566634% 2.640289% 2.394505% 2.n5 2.N5 2.808 9,970,000.00 9,970,000.00 69r,166.s0 743,316.50 10,663,456.s0 2233,120.2s 2,t43,4t0.35 5.000000 Bond Component Par Value Price PVof 1bp change Serial Bonds (faxable)9,970,000.00 100.000 2.39s% 2905 luc/.n}lS 2,708.35 9,970,000.00 2.905 2,708.35 All-In TIC fubirage Yield Par Value + Accruod lnterest + Premium (Dscount) - Underwrite/s Discouat - Cost oflssuance Expense - Other Amounts Target Value Target Date Yield 9,970,000.00 (49,8s0.00) 9970,000.00 (49,8s0.00) (19,e40.00) 9,970,000.00 9,920,150.00 t2ll0D0l5 2.567680% 9,900210.00 tarcnlls 2.640289% 9,970p00.00 taL0D0l5 2.6721640/o 349 Avg 25, 2015 7:42 pm Prepared by Morgan Stanley / AIC EXHIBIT APage le BONDPRICING Miami Beach City Center RDA Series 2015 Taxable Refunding of Series 1998A Non-Callables Maturity Bond Component Date Amount Rate Yield Price Serial Bonds (Taxable): 1u0y2016 2,025,000 1.426% 1.426% 100.000lA01D0l7 2,060,000 1.576% 1.5760/o 100.000luotn}fi 2,105,000 2.t14% 2.114% 100.000lU0lfz0lg 2,150,000 2.693% 2.6930/o 100.000lu0tn020 I,630,000 2.9430/o 2.943% 100,000 9,970,000 Dated Date Delivery Date First Coupon Par Amount Original Issue Discount Production Underwriter's Discount Putchase Price Accrued Interest Net Proceeds D/rcn0$ tarcD0l5 06/01D016 9,970,000.00 9,970,000.00 100.000000% (49,850.00) (0.5000000/0) 9,920,150.00 99.500000% 9,920.150.00 Morgan$tantey 350 Atg 25, 201 5 7 :42 pm Prepared by Morgan Sanley / ALC EXHIBIT A Pase2o SUMMARY OF REFI.]NDING RESTJLTS Miami Beach City Center RDA Series 2015 Ta,rable Refirnding of Series 19984 Non{allables Dated Date Delivery Date Arbitage yield Escrow yield Value of Negative Arbitrage Bond Par Amount True lnt€rest Cost Net Interest Cost Average Coupon Average Life Par amount ofrefunded bonds Average coupon ofr€funded bonds Average life of refunded bonds PV of prior debtto l2ll0l20l5 @2.6721640/o Net PV Savings Percentage savings of refunded bonds Percentage slvings of refunding bonds lu10l20l5 tztr0l20l5 2.6721640/o 1.180238% 398,985.10 9,970,000.00 2.567680% 2.566634% 2.3945050/o 2.905 E,520,000.00 6.680000% 2,979 9,497,983.08 (390,259.47) (4.580510o/o) (3.914338Y,) lvlorgan stantey 351 Aug 25, 2015 7:42pm Prepared by Morgan Stanley / ALC EXHIBIT APage2r SAVINGS Miami Beach City Center RDA Series 2015 Taxable Refunding of Series 19984 Non-Callables Present Value Prior Refunding to l2/l020t5 Date Debt Service Debt Service Savings @ 2,67216410/o 09130120t6 284,568,00 100,563.30 184,004.70 181,699.20 09130D017 2,101,t97.00 2,222,273.95 (121,076.95) (1t9,784.96) 0913012018 2,101,645.00 2,226,602.90 (124,957.90',) (l19,824.65) 09130D019 2,109,2M.00 2,233,120.25 (123,876.25) (115,2t6.74) 096012020 2,103,660.00 2,226,920.65 (123,260.65) (1n,219.33) 09/304,021 1,529,432.00 1,653885.45 (124,553.45) (109,144.76) 10,229,746.00 10,663,466.50 (433,720.50) (393,49t_24) Savinss Summarv PV ofsavings fiom cash flow Plus: Refunding funds on hand Net PV Savings (393,491.24) 3,231.77 (390259.4',1\ MorganStantey 352 Aug25,2015 7:42pm Prepared by Morgan Stanley / ALC EXHIBIT A page21 Period Ending BONDDEBTSERYICE Miami Beach City Center RDA Series 2015 Taxable Refunding of Series 1998A Non-Callables Dated Date 1U1012015 Delivery Date l?fiD0ls Principal Coupon Debt Service Ailual Debt Service 06t0tn0t6 09r012016 t2t0t/2016 06101n0fl 09/30120L7 ta0v2011 06/01n018 09B0t20t8 t2t0t/2018 06/0t/2019 09t30120t9 t2t0tD0t9 0610u2020 09130/2020 12/01D020 0913012021 2,025,000 2,060,000 2,105,000 2,l50,ooo l,63o,ooo 1.4260/o 1.576o/o 2.1140/o 2.6930/o 2.9430/o 100,563.30 105,856.10 91417.85 91,417.85 75,185.05 75,185.05 5293s.20 52,935,20 23,985.45 23,985.45 100,563.30 2,130,856. l0 91,417.85 2,15t,471.85 75,185.05 2,180,185.05 52,935.20 2,202,935.20 23,985,45 1,653,985.45 100,563.30 2,222273.95 2,226,602.90 2,233,120.25 2,226,920.65 1,653,985.45 9,970,000 693,466.50 t0,663,466.50 10,663y'66.50 [norganStantey 353 Aug 25, 2015 7:42 pm Prepared by Morgan Stanley I N-C EXHIBIT A,Iaeezt Period Ending NET DEBT SERVICE Miami Beach City Center RDA Series 2015 Taxable Refunding of Series l998ANon-Callables Total Net Principal Interest Debt Service Debt Service 09R0/20t6 09/3012017 09t30t20t8 09R0D019 09/3012020 09/3012021 2,025,000 2,060,000 2,105,000 2,150,000 1,630,000 I 00,563.30 197,273.95 166,602.90 128,120.25 76,920.65 23,985.45 I00,563.30 2,222273,95 2,226,602.90 2,233,120.25 2,226,920.65 1,653,9E5.45 100,563.30 2,222,273.95 2,226,602.90 2,233,120.25 2,226,920.6s 1,653,985.45 9,970,000 693,466.50 10,663,466.50 10,663,466.50 MorEan$tanley 354 Attg25,20l5 1:42pm Prepared by Morgan Stadey / ALC EXHIBIT A Page24 SUMMARY OT BONDS REFUNDED Miami Beach City Center RDA Series 2015 Taxable Reftnding of Series 1998A Non-Callables Call Prioe Par Call Amormt Date Maturity [nterestDate Rate Series 1998 (Taxable), 1998:BON'D lu0ll20l6 lU0u2017 tu0u20t8 t2t0u20t9 tu07r2v20 6.6800/" 6.68V/o 6.68V/o 6.680% 6.6800/o 1,585,000.00 1,695,000.00 I,820,000.00 1,940,000.00 1,480,000.00 8,520,000.00 MorgarrStanley 355 Aug 25, 2015 7:42pm Prepared by Morgan Stanley / ALC EXHIBIT Aragezs SOI]RCES ANDUSES OF FLINDS Miami Beach City CefterRDA Series 2015 Taxable Refunding ofSeries 2005A Dated Date l2ll0/2015 Delivery Date l2/l0D0l5 Bond Proceeds: ParAmount 2s,650,000.00 25,650,000.00 Uses: Refunding Escrow Deposits: Cash Deposit 25,470,010.00 Delivery Date Expenses: Costoflssuanoe 51,300.00 Underuriter's Discount 128,250.00 1?9J50J0 Other Uses ofFunds: AdditionalProceeds 440.00 25,650,000.00 MorganStantey 356 Aug25,2015 7:42pm PreparedbyMorganStanley/AlC EXHIBIT A Page26 BOND SUMMARY STATISTICS Miami Beach City Center RDA Series 2015 Taxable Refunding ofSeries 2005A Bond Component Dated Date Delivery Date First Coupon l,ast MEturity Arbibage Yield True Interest Cost (TIC) Net Interest Cost (NIC) All-InTIC Average Coupon Average Life $ears) Weighted Average Maturity (years) Duration of Issue $ears) Par Amount Bond Proceeds Total Interest Net Interest Total Debt Service Ma<imum Annual Debt Service Avemge Amual Debt Service Underwrite/s Fees (per $1000) Average Takedown Other Fee Total Underwrite/s Discount Bid Price wrcn0ls t2ll0D0l5 06rc1n0rc Qntn022 2.672164% 3.181152% 3.185r91% 32296650/o 3.074586o/o 4.527 4.521 4.2t5 25,650,000.00 25,650,000.00 3,565,097.85 3,693,347.85 29,215,097.85 s,s81,236.35 4,188,544.49 5.000000 s.000000 99.500000 Average Average MatudtyLife Date Par Value Price Average Coupon PV of1 bp change Serial Bonds (Taxable)25,650,000.00 100.000 3.075%4.s21 061fin020 10,505.25 25,650,000.00 10,505.25 TIC All-In TIC A6itrage Yield Par Value + Accrued Interest + Premitrm @iscount) - Underwrite/s Discount - Cost oflssuance Expense - Other Amounts Target Value 2s,650,000.00 (1282s0.00) 2s,6s0p00.00 (128,250.00) (51,300.00) 25,650,000.00 Target Date Yield 25,52tJ50.0O Qlrcn015 3.t&tr52% 25,4701s0.N 12t10D015 3.229665% 25,650,000.00 '2llaa,l'2.672164% MorganStantey 357 Ang 25, 2015 7:42 pm Prepared by Morgan Stanley / ALC EXHIBIT Aragezt BONDPRICING Miami Beach City Center RDA Series 2015 Taxable Refunding ofSeries 2005A Maturity Bond Component Date Amount Rat€ Yield Price Serial Bonds (Ta:<able): ta0tnw6 2,740,000 t.426% 1.426% 100.000 lAMD|lT 2,785,000 1.5760/o 1.576% 100.0001u0u2018 2,840,000 2.1140/o 2.114% 100.000tuuaatg 2,915,000 2.693a/o 2.693% 100.000lU0],n020 3,600,000 2.943% 2.943o/o 100.000l2l0l202l 5,285,000 3332o/o 3.332% 100.000tu0tD022 5,485,000 3.582% 3.582% 100.000 25,650,000 Dated Date Delivery Daie First Coupon ParAmount Original Issue Discount Production Underwriter's Discount tut0t20t5 12n0D015 06mDat6 25,650,000.00 25,650,000.00 100.000000% (128,250.00) (0.50000070) Purchase Price 25,527,750.00 99.500000% Accrued Interest Net Proceeds 25,52t,750.00 MorganStantey 358 Atg25, 2015 7 :42 pm Prepared by Morgan Stanley / ALC EXHIBIT A page2l SUMMARY OF REII'I.]NDING RESIJLTS Miarni Beach City Center RDA Series 2015 Taxable Refunding ofSeries 20054 Dated Date Delivery Date Arbihage yield Esorow yield Value of Negative Arbihage Bond Par Amount True Interest Cost Net Interest Cost Average Coupon Average Life Par amount ofrefirnded bonds Average coupon ofrefunded bonds Average life ofrefunded bonds PV of prior debtta lUrcn075 @2.6721640/o Net PV Savings Percentage savings of refunded bonds Percentage savings of refunding bonds tafiD0l5 ranDot5 2.6721640/o 0.000000% 25,650,000.00 3.181152% 3.l85l9lo/o 3.074s86% 4.52t 25,470,000.00 5.1E93770/o 4.618 28,206,309.11 2,138,208,20 8.3950070/o E.3360940/o MorEanStantey 359 4n9 25, 201 5'l :42 pm Prepared by Morgan Stanley / ALC EXHIBIT Aruge2e SAVINGS Miami Beach City Center RDA Series 2015 Taxable Refunding ofSeries 2005A Prior Rofunding Debt Service Debt Service Present Value to 1211012015 Savings @ 2.67216410/o 09/30r20rc o9t30D0r7 09B0DALg wt30D0t9 wl30/2020 wt30D02t 09/30n022 09R0Dox 623,087.90 3,7L6,001.75 3,120234.75 3,720,479.50 3,726,279.00 4,322,061.00 5,865,698.50 5,879,553.00 332,509.24 3,420,483.26 3,424,001.26 3,A7,036.66 3,432,767.39 4,025,542.90 5,569,520.90 5,583,236.35 290,578.66 295,518.49 296,233.49 293,441.84 293,511.62 296,518.10 296,177.70 296,3t6.65 286,526.94 2E4,568.15 278,130,9s 268,944,35 262,379.61 258,623.88 252,161.05 246,233.27 37,573,394.4A 29,215,097.85 2,358,296.55 2,137,768.20 Savinss Summary PV ofsavings from cash flow Plus: Refunding fimds on hand Net PV Savings 2,137,768.20 440.00 2,138,208.20 MorganStanley 360 Aug25, 2075 7 :42 pm Prepared by Morgan Stanley / ALC EXHIBIT A Page3o BONDDEBTSERVICE Miami Beach City Center RDA Series 2015 Ta:<able Refrmding of Series 20054 Pcriod Ending Dated Date Delivory Date Principal Coupon ADnual Debt Service Debt Service tu10D0t5 tut0/20t5 Inter€st 06/07t2076 w/3012016 tila1nu6 06/a1D0t7 09B0nofi l2t0rD0t7 a6/0tDa18 a9B0D07E t2l0t/2;018 0610rno19 09R012019 ta0u20t9 06/otD020 09/30n020 tu0t/2020 06/0tD02t 09/3012021 tuoU202L 06/01n022 09/3012u)2 lu0u2022 09/30/2023 2,740,000 2,785,404 2,940,000 2,915,000 3,600,000 5,295,000 5,485,000 1.426% 1.576% 2.114% 2.693% 2.943% 3.3320/" 3.582o/o 332,509.24 350,009.73 330,473.53 330,473.53 308,527.73 308,527.73 278,508.93 278,508.93 239,258.45 239,25E.45 186,284.45 186,284.4s 98,236.35 98,236.35 33\509.24 3,090,009.73 330473.53 3,115,473.5? 308,527.73 3,148,527.73 n8,508.93 3,193,508.93 239258.4s 3,839,258,45 186284.4s 5,471,2E4.45 98,236.35 5,583,236.35 332,509.24 3,424,483.26 3,424,047.26 3,427,036.66 3,432,767.38 4,025,542.90 5,569,520.80 5,583,236.35 25,650,000 3,565,097.85 29,215,097.85 29,2L5,497.85 MorganStantey 361 Aug 25, 2015 1:42 pm Prepared by Morgan Stanley / ALC EXHIBIT A?age lt Period Ending NETDEBTSERVICE Miami Beaoh City Center RDA Series 2015 Ta,rable Refunding of Series 2005A Total Net Principal Interest Debt Service Debt Service 09t30D016 09/30D0t7 a9R0D0t8 09R0D019 09R0n020 09/30n021 09R0r2022 09/3012023 2,740,000 2,785,000 2,940,000 2,915,000 3,600,000 5,295,000 5,4g5,ooo 332,509.24 680,483.26 639,00r.26 587,436.66 517 ,767.38 425,54290 284,520.80 98,236.35 332,509.24 3,42018326 3,424,001.26 3,427,036.66 3,432,767.38 4,025,542.90 5,569,520.80 5,s83236.3s 332,509.24 3,420,483.26 3,424,001.26 3,427,036.66 3,432,767.38 4,025,s42.90 5,569,520.80 5,583,236.35 25,650,000 3,565,097.85 29,215,097.85 29,215,097.85 MorganStantey 362 Aug 25, 2015 7:42 pm Prepared by Morgan $renlsy / ALQ EXHIBIT A page3z SI]MMARY OF BONDS REFT]NDED Miami Beaoh City CenterRDA Series 2015 Taxable Refunding ofSeries 2005A Bond Maturity Interest Par Date Rate Amount Call Price Call Date Series 20054 (Taxable), 2005A_TXBOND tu0tn0l6 tu0u20t7 l2l0tD0t8 lu07n0t9 1210y2020IERM tA0y202r 1A0t/2022 4.930% 5.010o/o 5.||ff/o 5.170% 5.200% 5.220% 5.2200/o 2,465,000.00 2,595,000.00 2,730,000.00 2,880,000.00 3,645,000.00 5,425,000.00 5,730,000.00 tut0l20t5 1211012015 t21rcn015 1211012015 tarcn0$ tarcDots tafin015 100.000 100.000 100.000 100.000 r00.000 100,000 100.000 25,470,000.00 MorganStantey 363 Aug 25, 2015 7:42 pm Prepared by Morgan Stanley / ALC EXHIBIT Apage:l SOURCES AND USES OF FTJNDS Miami Beach City Center RDA Series 2015 Tax-Exempt CunentRefunding of Series 20058 Dated Date lafiD0t5 Delivery Date 1Ul0l20l5 Bond Procesds: Par Amount Premium l4,l 10,000.00 1,354,705.20 15,464,705.20 Refunding Escrow Deposits: Cash Deposit Delivery Date Experses: Cost oflssuance Underwriter's Discount Other Uses ofFunds: Additional Proceeds I 5,365,010.00 28,220.00 70,550.00 98,770.00 E25.20 15,464,705.20 Morgan$tantey 364 Au925,2015 7:42 pm Prepared by Morgan Stanley / ALC EXHlBlr A Page34 BOND SUMMARY STATISTICS Miami Beach City Center RDA Series 2015 Tax-Exempt Cunent Refunding ofSeries 2005B Bond Component Daled Date Delivery Dale First Coupon Last Maturity ArbitageYield Tnre Interest Cost (fIC) Netlnterest Cost(NIQ All-InTIC Average Coupon Average Life (years) Weighted Average Maturity (yea$) Duration of Issue (yoars) Par Amount Bond Proceeds Total Interest Net Interest Total Debt Service Ma,ximum Annual Debt Service Average Annual Debt Service Underqriter's Fees $er $1000) Average Takedown Other Fee Totd Underwritels Discount Bid Price Par Value Price Dn0n0t5 nlrctzot5 06rc1narc 12101D022 2.6721640/o 2.2082560/o 2.3s8202% 2.2s6304% 4.5538170/o 4.145 4.235 3.862 14,1 l 0,000.00 15.464,705.20 2,663,402.50 1,3'.19,247.30 rc,n3,402.s0 2,366 j50.00 2404,788.89 5.000000 5.000000 109.101029 Average Average MaturityLife Date Avemge Coupon Duration PVofl bp change Serial Bonds (fax-Exempt)14,110,000.00 109.601 4.5540/o 4.145 0U3V2020 3.86?5,861.65 14,1 10,000.00 4.145 5,851.65 TIC All-In TIC &titrage Yield Par Yalue + Accrued lnterest + Premium (Discount) - Underwriter's Discount - Cost oflssuance Expense - OtherAmounts Target Value Target Date Yield 14,1 10,000.00 1,354,705.20 (70,s50.00) 14,1 10,000.00 1,3s4:705.20 (70Js0.00) Q8220.00) l4,t 10,000.00 t,354,705.20 t5,394,155.20 ta$12015 2.208256% 15,36s935.20 nlrcn0$ 2.256304% 15,464,70s.20 r2^0D015 2.6721640/o MorganStantey 365 Atg25,2015 7:42 pm Prepared by Morgan Stanley / ALC Bond Compionent EXHIBIT Arage3s BONDPRICING Miami Beach City CenterRDA Series 2015 Tax-Exempt Cunent Refuuding ofSeries 20058 Maturity Date Amount Rate Yield Price Premium GDiscount) Serial Bonds (Tax.Exempt): tu0tn0rc tu0tzatT 1u01t2018 ra$tno$ 1u01n020 tu0tD02t 1210U2022 1,795,000 2.000% 1,840,000 3.000o/o 1,905,000 4.0000/o 1,990,000 4.000% 2,090,000 5.000% 2,190,000 5.000% 2,300,000 5.000% 0.640% 1.1300/o 1.5000/o 1.770o/o 2.060% 2.3600/o 2.620% 101.3 19 t03.641 107.247 10E.522 I 13.833 114.631 I 15.081 23,676.05 66,994.40 138,055.35 169,587.80 289,109.70 320,418.90 346,863.00 14,110,000 1,354,705.20 Dated Date Delivery Date First Coupon Par Amount Premium Produotion Underwrite/s Discount Purohase Price Accrued Interest Net Proceeds tut0t20ts t2n0t20t5 06/0U2016 14,1 10,000.00 1,354,70520 15A64,705.20 109.6010290/o (70,5s0,00) (0.5000007") 15,394,155.20 109.t01029% 15,394,155.20 MorEan$tantey 366 Aug 25,2015 7 :42 pm Prepared by Morgan Stanley / ALC EXHIBIT A page36 SUMMARY OF REFUNDING RESTJLTS Miarni Beach City Center RDA Series 2015 Tax-Exempt Cunent Refimding ofSeries 20058 Dated Date Delivery Date Arbihage yield Escrow yield Value of Negative fubinage Bond Par Amount True Interest Cost Netlnterest Cost Average Coupon Average Life Par amount ofrefunded bonds Average coupon ofrefunded bonds Average life of refundedbonds PV of prior debt to l2ll0l20l5 @2.6721640/, Net PV Savings Percentage savings of refunded bonds Percentage savings of reftrnding bonds turcrzus tafil20t5 2.672t640/o 0.000000P/o 14,110,000.00 2.2082560/o 2.3582020/o 4.s53817% 4.t45 15,365,000.00 4.E213670/o 4.169 16,643,818.60 1,520,053.83 9.8929630/o 10.7728830/" MorgarrStantey 367 Aug 25, 2015 7 :42 pm Prepared by Morgan Stanley / ALC EXHIBIT Apaee:z SAVINGS Miami Beaoh City Center RDA Series 2015 Tax-Exempt Cunent Refunding of Series 20058 Prior RefundingDate Debt Service Debt Service Present Value to l?l0l2015 Savings @ 2.67216410/o 09/30t2016 09130/2017 09130t20t8 a9B0t20t9 09/30D020 09/30D02t 09130D022 09/3AD023 3s3,993.75 2,583,12s.00 2,581,500.00 2,580,000.00 2,589,125.00 2,592,250.00 2,586,25A.00 2588,125.00 273,552.50 2,352,950.00 2,352"400.00 2,351,700.00 e358,800.00 2,366,?50.00 2,359,7s4.00 2,357,500.00 80,441.2s 234,n5.00 229,100.00 228,300.00 229,325.00 225,500.00 226,500.00 230,625.00 79,199.91 223,581.20 216,978.28 210,724.52 206,305.70 t97,477 .41 193,216.80 191,644.8r 18,453,368.75 16,773,402.50 1,679,966.25 1,579,129.63 Savings Summary PV ofmvings from cash flow Plus: Refunding funds on hand NetPV Savings 1,5r9,128.63 92520 1,520,053.83 MorganStantey 368 Aug 25, 201,5 ? :42 pm Prepared by Morgan Stanley / ALC EXHIBIT A page38 Period Ending BONDDEBTSERVICE Miami Beach City CenterRDA Series 2015 Tax-Exempt Cunent Reflrnding ofSeries 20058 Dated Date l2y'l0l20l5 DeliveryDate L?/rc12015 Principal Coupon Debt Service Antrual Debt Service a6l0ll20t6 09130D016 ta0tD0t6 06t0U2017 0913012017 tu0U20l7 0610U2018 09t30t20r8 t2t0U20t8 06101/2019 09t30t2019 12t0u20L9 06t0u2020 09130/2020 t2l0t/2020 06/01/202r 09130/2021 tuau202t 06/01t2022 09/30n022 tuot/2022 0913012023 1J95,m0 1,840,000 1,905,000 l,ggo,ooo 2,090,000 2,190,000 2,300,000 2.000% 4.040% 4.000% 5.000% 5.000% 5.0400/o 273,552.50 287,950.00 270,000.00 270,000.00 242,400.00 242,4A0.00 204,300.00 204,300.00 164,500.00 164,500.00 112,250.00 112,250.00 57,500.00 57,500.00 n3,552.50 2,082,950.00 270,000.00 2,110,000,00 242,&0.00 2,147,4f,0.00 204,300.00 2,194,300.00 164,500.00 2,254,500.00 112,250.00 2,302,250.00 57,500,00 2,357,500,00 273,552.50 2,352,950.40 2,352,400.00 2,351,700.00 2,358,800.00 2,366,750.00 2,359,750.00 2,357,500.00 l4,l 10,000 2,663,402.50 16,7n,4m50 16,773,402.50 Morgan$tantey 369 4u925,2015 7:42 pm Prepared by Morgan Staaley / ALC EXHIBIT Aragese NETDEBTSERYICE Miami Beach City Center RDA Series 2015 Tax-Exempt Current Refunding ofSeries 20058 Period Ending Principal Total Net Intercst Debt Servioe Debt Service 09/3012016 09RADI|7 a9B0l20t8 09R0D019 09/30t2020 09/30D021 09/30/2022 09/30D023 1,795,000 1,840,000 1,905,000 1,990,000 2,090,000 2,190,000 2,3oo,ooo 273,552,50 557,950.00 512,400.00 446,700.00 368,800.00 276,750.00 169,750.00 57,500.00 273,552.50 2,352,950.00 2,352400.00 2,351,700.00 2,358,800.00 2,366,750.00 2,3s9,7s0.00 2,357,500.00 273,552.50 2,352,950.00 2,352,400.04 2,351,700.00 2,358,800.00 2,366,7s0.00 2,359,750.00 2,35?,500.00 14,110,000 2,663,402.50 16,773,402.50 16,773,402.5A MorganStantey 370 Lug25, 2015 7 :42 pm Prepared by Morgan Stanley / ALC EXHIBIT A page4o zuMMARY OF BONDS REFUNDED Miami Beaoh City Center RDA Series 2015 Tax-Exempt Cunent Refunding ofSeries 20058 Bond Maturity Dats Interest Rate Par CalI Amount Date cdl Price Series 20058 @xempt), 20058:BOND lA0lD0t6 t2t01n0t7 12101/2018. tzlolaotg tu0tt2020 0l0tn02t wotn022 5.000% 5.000% 5.000% 5.000o/o 4.000% 5.000% 5.000% r,885,000.00 1,980,000.00 2,080,000.00 2,195,000.00 2,300,000.00 2J00,000.00 2,525,000.00 tarct2ol5 tarcr20$ 12n0D015 turcr20t5 tarcn01s rufir20t5 rufin01s 100.000 100.000 100.000 100.000 100.000 r00.000 100.000 15,365,000.00 MorganStantey 371 ooollo 660llo 8P8 PIR,jdb;l; 'l 3 oo F66dooooNNooNo66Nooo@ts, 6-66Eb66++6N6od66ai@@-oNNNts@o@@o<- +-i+@66d664d66o@tsN@o6oo@roo@o@-@lx- ci ri d ro_ o' 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Morgan Securities LLC TABLEOF CONTENTS City ofMiami Beach, Florida Parking Revenuo Bonds, Series 2015A r**PRtrI IMINAIIY AND SI.]BJECT TO CII{NGEI'II Sources and Uses oflunds Bond Summary Statistics Bond Pricing Disclaimer Bond Debt Service Bond Solution 374 Prepared by J.P. Morgan Securities LLC EXHIBIT C Page 1 SOI]RCES AND USES OF FT]NDS City ofMiami Beaclq Florida Parking Revenue Bonds, Series 2015A +i*PREIJMINARY AND SUBJECT TO CIIINGE++i' Bond Proceeds: ParAmomt Premium 64285,000.00 5,R6,486.00 71,021,486.00 ProjectFund Deposie: Deposit to Construction Fund Other Fund Deposits: Deposit to Reserve Account Delivery Date Erpenses: Cost oflssuance Undorwrite/s Discount OtherUses ofFunds: Additional Proceeds 64,8 1 1,7s6.00 sJ6s,M8.s3 121,425.00 321Azs.00 642.850.00 1,831.47 7r,021,486.00 Note: Assumes rates as ofAueust 24, 2015 375 Prepared by J.P. Morgan Securities LLC EXHIBIT C PageZ BOND SUMMARY STATISTICS City of Miami Beach, Florida Parking Revenue Bonds, Series 2015A +**PRELIMINAIIY AND SI'BJECI TO C}IANGE'I* Dated Date Delivery Date Last Maturity Arbirage Yield True Interest Cost (fIC) Net Interest Cost (NIC) All-In TIC Average Coupon Average Life (years) Duration of Issue (years) ParAmount Bond Proceeds Total Interest Net Interest Total Debt Servic'e Maximum Annual Debt Service Average Annual Debt Service Underwritels Fees (per $1000) Average Takedown Other Fee Total Underwriteds Discount Bid Price s.000000 109.979095 Average AverageCoupon Life 12n7D015 12n7Dols 09101D045 3.634663% 4-2428090/o 4.5238v% 4.217950o/o 4.995330o/o 21.165 13.2s6 64285,000.00 71,021,486.00 67,96s,286.67 61,ss0225.67 1322s0,286.67 6,455,000.00 4r452,038.83 5.000000 Bond Componont Par Value Price PVofl bp change Serial Bonds 2040 Tcrm Bond 2M5 Term Bond 24,120,000.00 112.294 12,225,000.00 109.'tM 27,940,000.00 109.234 4.979% 5.000% 5.000% t2.645 22.801 27.803 t8:167.2s I 0,5 I 3.50 23,749_00 64285,000.00 s3929.7s All-In TIC Arbitage Yield Par Value + Accrued Intorest + Premium @iscount) - Underrritels Discount - Cost oflssuance Expense - OtherAmouats TargetValue TaryetDate Yield 64285,000.00 6,736,486.00 -321,425.00 64285,000.00 6,736,486.N -321,425.N -32142s.N 5428s,000.00 6,736,486.00 70,700,061.00 12/17D015 4.242809% 70,378,636.N tul7Dlts 4.2719500/o '1t,021,486.00 I2n7n015 3.634663% Not€: Assumes rates as ofAugust 24, 20 15 376 oq€ a.I F I ooo €at E EXHIBIT G o oooooto oooooloq +OQt€lO e-throl€ ^i ..i d; di !o'ril+ {, vi ri o oiloi6 s+h+Flo FNahollf-dl d).h^r:+--{ol qo"qe^*Jol h hEFqNli \ootorloo FN6*Pl6 EOdtElfo a.tc.ldalNlH r+thhhlh ..i I'-i ldll ooooo oooooooooo oooaoooooo ooooooodoo ooooooooeo "939: hhh6hhhhhh hhhhh hhhhrnddN6iddNdNd ddddN NdNolN6oooci--ocia ooooo ooooo{{{s{{{{{{ eaQea Eqe{s HiH:aaQQQaaaQa QQeeQ eaeaaoioiooi60i0ioioioi o\oi60ioi 666q6oocooooooo ooooo ooooo ssssssssss sssss sssssNrh!nF-nNiro NNNc,ld F-r.r-r-r-i6E6iddrNr hhhhh 6r666N{h€€6OO;H nO6OO =!+.+tt+di.i di didiri ++++ +"+$++ .+++++ SSSSSSSSSSSSSSS:essss SSSNS SsSsSooooooooooooo6000000 00000 00000€Hh6Hor6d\oF9+=6FalF.i<i. 6cnq6o hhhhhv! e.r! v1 6 c.l \t e F q a-.: c!.q qa v'l n \q \q \ \ \ c: \ o9 e aq oC oq d-i J -.: -i ci ei r.i oi ci ri o a m q fl eo o m qri di s ai o s G o o ssssssssssssssssssss sssss sssssoooooooooooooooooooo ooooo oaQaaoooooooooooooooooooo ooooo oooooqqqqqqqqqqqqqqqqcqqq qqqcq qqqqq d6+thhhhhhhhnrinhhhhh hhh-hb h66hh ooooolo ooooooooolo ooooooooolo ooooohooo16 hohhHN<961N hrrh c.|. 6. {- n- €Jc-l o^ cI vf B" dNd.,lNlN \ahnhtH II I ooooooooooooooooooooooooooooooooooooooo.o.o" o.o"o"o"o^ o"a" o"a" a^q o-qo^o"o^hoooraoohhohhohonooo -N6m6S€rO6hdOrhmNii- - ol'-i,oIc\n*"vf h"s^qoqo:o- iitofl E F 3cl olat mlrl d1 "l ooo 3 ooooooooooooooooooooooooooooooooooooooooaoooo oooonoohooohooohoooaoni99drd@<roho@€tsoo..o oi od.i ci oi ci + a 6i ..i ui + + vi € € oi6el J c{ e € o + o 6 6H € dr \o9 d € Nq o- 1 6t e" €^ L o^ e^ o. q €. q o- o. o. \ a{ oI**6 F @ O O O 6 g F F- 66 6 F6C.l9N -rd<6od- FHdN -dddc{c.lc'lNalNc.lN (JOUOO()U(JOQ ()U()O() ()O()UC) cI (n h F- 6oc.l 6 c{ cl @H r9 \o Fo ro o + !+ t + t} *.!t.+ !t.+_FhH6Oh$NrF€FhdH-f OGO <St++ 6OOmOoooe@t-hv6ooNqqqvlq\qo!g \q\\r: atc'!ol.lc! -.i(i F.od r; + vi \D \or. eri < ri ricic.i-i..i -i oioioioi oi 66 6o aoooo HFtsH ooooo ooooo EF\€qOiN6$hAra6O-Olmtn 91..@O\c' FNm$\ONNNdNdddNd66666m ooo6+ -f$$<f$oooooooooooooooooooo ooeoo ooooot:eq{QeaqeqEqEqEaeaa{ qaqEa QcEQ{ oooooooooooooooooooo ooooo ooooe 64q6qq666666d6dd6666 q6q66 q6qqqooc)<>oooooooooooooooo ooooo ooooo Etrola EI Fo oa{ E o Fq d oo Ei63Etr'oo9EE J Et 6d()o * o\b *Eo4' 5g ht dEq)EN''t aE 2 r.EH fB H{iEx esE e gHa !ra ?,9t *6r*J€aa*d cxp: cao E b EE E oo Eooacoq oUdA oI o'a.E uo0 E bo o i >rDoo Ho A 377 EXHIBIT C r+o50do. aq \ooooF-or s 6o6F-q 6o oq soooF-oF ssho60oo66C-o oo ooqq @Nt< NNoo F E a7{a oo608''!i 'E g €c-9 rq o€-E s; E9A E9 -ts€.9 tF PrPE H5 5 IE]oz qi lC.EUrflaE.qF PEE EE.h tr ht!1 XXX 9EZ €?H SSH r$B e"EB -TO }B ^ CEAU H OH 6 > E<rq H br:&H ESE b€AIp tui* €s -o;i 9 tr =H B 5dr.i sEE;; i EAd.,i EE b€ tso hb. ood!+edo BE la o .lE6Odo BE EEg9 EE Eg-x oJ.I .9 h ooc o0 o { ! Eo 6A 378 Prepared by J.P. Morgan Securities LLC EXHIBIT C Page 5 Period Ending BONDDEBTSERVICE City of Miami Beach, Florida Parking Revenue Bonds, Series 2015A **IPRFI IMTTJARY AND SUBJECT TO CIIANGE+++ Principal Coupon Interest Debt Service 09/30n0rc 09130D017 09/30n0fi 09/30n0t9 09/30n020 0913012021 09/30DA22 09130/2023 0913012024 09i3012025 09t3012026 09t30D0n 09,30n028 09,30t2029 09R0D030 09130D031 09t30t2032 09/30n$3 09130D034 09/302A35 09t30D036 0980D037 09130n03| 09R0D039 09RODMO 09/30n041 09n0n042 09/30D443 09/30D044 09130D045 2,415,000 120,000 130,000 130,000 135,000 140,000 260,000 1,t75,000 123s,000 1290,000 1,355,000 1,425,000 1,500,000 iJ7s,000 1,6s0,000 1,735,000 1,820,000 1,910,000 2,010,000 2,1 10,000 2210,000 232s,000 2,440,000 2,550,000 2,690,000 5,0s5,000 s310,000 5,575,000 5,855,000 6,145,000 4,628,186.67 3208J00.00 3114,900.00 3,209,700.00 3,209,500.00 3,207,750.00 3,320Js0.00 42?2Js0.00 4224904.00 4,2t72s0.00 4217,7s0.O0 4220,0W.00 4223,750.00 4223,'150.00 4220,0W.O0 4222,sW.00 4220,7sO.00 1219,'t50.00 4224250.00 4223J50.00 42182s0.00 4,222,750.00 42215c0.00 4119J00.00 4,221,500.00 6,452,000.00 6,4s42s0.00 6,4s3Js0.00 6,455,000.00 6,4s22s0.00 2.000% 2213,186.67 3.000% 3,088,s00.00 4.@0o/o 3,084,900.00 4.@0% 3,079,700.00 5.000% 3,074,500.00 5.000% 3p67Js0.00 s.o00% 3,060,750.00 5.0No/o 3,047,750.00 5.000% 2,989,000.00 5.000% 2,92',7250.N s.000% 2,862,750.00 5.000% 2,795,000.00 5.@0% 2,n3,7s0.00 5.000% 2,u8,'150.00 5.000% 2,570,000.00 5.000% 2,487,500.00 s.000% 2,400Js0.ffi 5.000% a309J50.005.000% 2,214250.00 5.000% 2,113,750.00 5.000% 2,008rs0.00 s.000% 1,89us0.00 s.000% 1,78u00.00 5.000% 1,6s9J00.00 s.a00% 1,53u00.00 5.000% 1,397,000.00 s.000% 1,r442s0.005.000% 878,750.005.000% 600,000.005.000% 307250.00 64285,000 67,965286.67 t32,250,286.67 Note: Assumes rates as ofAugust 24,2015 379 Prepared by J.P. Morgan Securities LLC EXHIBIT C Page6 BONDSOLUNON City ofMami Beaclq Florida Parking Revenue Bonds, Series 2015A +..PRELIMINARY AND SUBJECT TO CHAIJGE*** Period Ending Proposed Proposed Principal DebtService B.isting Total Adj DebtService DebtService Revenue Constaints Unused Debtserv Revenues Coverage 09R0D016 09R0r20fl 09R0D018 wR0n0D 09n0n020 0980n021 09/30n022 09R012023 09/30D024 09130D025 09R0D026 09R0r2027 09i3,0D028 09/30n029 09130D0t0 09BOaA3l 09B0nB2 09B0n$3 09130D034 09i3012035 0913012036 09/3012037 09n0r2a38 0913012039 09t3012040 0913012041 09B0nM2 09130DM3 09t30D044 09/30n045 2y'1s,000 r20,000 130,000 130,000 135,0@ 140,000 260,000 1,175,000 1235,000 1290,000 1,3ss,000 1,42s,000 1,s00,000 1,575,000 1,650,000 1,735,000 1,820,000 1,910,000 2,010,000 2,1 10,000 22r0,000 2,325,000 2,440,000 2,560,000 2,690,000 5p5s,000 5,310,000 s,575,000 5,855,000 5.t45,000 4,628,18',1 3,208,500 3214,900 3209,700 3,209,500 3207:ts0 1,320Js0 4,272:750 4224.I00 4,2172s0 4217Js0 4,220,000 42233s0 4,223,750 4,220,ffio 4,222,500 4220,7s0 4219,7s0 4,?242s0 4223,750 42182s0 4222,7s0 4221,500 4219,s00 422r,s00 6,452,000 6,454250 6,453,?50 6,455,000 6,452,250 1243,463 3,244,863 3,239,t13 324s513 3244,rt3 3,242,863 3,13236t 2,230J63 2,23t,163 2233,663 2234919 2,23337s 2,230419 2,230,150 2,232,338 223tJs0 2,2332s0 2,2312s0 2230Js0 2231,s00 2,2332s0 2,230,,50 2,234,000 2232,500 2,23r250 7,871,649 6,4s3353 6,454,013 6,4ss213 6,453,613 6,450,613 6,453, r l3 6,453,513 6,4ss,t6t 6,450,913 6.4s1,769 6,453,375 6A54,169 6,453,900 6,452,338 6As42s0 6,454,000 6,45r,000 6,455,000 6,4ss2s0 6,451500 6,453,500 6,455,500 6,452,000 6,452,750 5,452,000 6,4s42s0 6,4s3:1s0 6,455,000 6,452,250 13,079,779 13,079,779 13,079,779 t3,079,779 13,079,779 13,079,779 13,079,779 13,vtg:179 13,0?9,779 13,079J79 13,079,779 13,079:r79 13,079,n9 t3,079,n9 t3,w9J79 13,079,779 t3,079,779 13,079,779 13,079,779 13,079,779 13,479,n9 13,079,n9 t3,0'19,779 13,079,n9 t3,079fig 13,079,7'.19 t3,079,179 11,079,179 11,079,779 13,079,779 5208,r30 166.16313% 6,626,417 2A.68161% 6,625,767 202.66120% 6,624,567 202.62352% 6526,167 202,67376% 6,629,16'1 202,768V2% 6$26,667 202.68946% 6,626,267 2U.6769A% 6,624,617 202.62509% 6,628,867 202.t5859% 6,628,010 202.73168% 6,626,4M 202.68122% 6,625,610 202.6s629% 6,62s,879 202.664'13% 6,627,4A 202.713810/o 6,625,529 2A2.65374% 6,625,779 202.66159% 6,628,779 202.75584% 6,624:779 202.61019% 6,624,529 ?i2.6?23s% 5,628279 202.74012% 6,626279 202.67729% 6,624279 202.61450% 6,627,779 202:72441% 6,527,029 202.70085% 6,6n,779 202.72441% 5,525,s29 202.65374% 6,626,029 202.669M% 6,624,n9 202.63019% 6,527,529 202.?1656% 6428s,ooo r322s0287 62J68,425 195,018,712 392,193,370 197,374,658 Notes: Assumes rates as ofAugust 24, 20 15 Revenue assumption provided by RBC. 380 Prepared by J.P. Morgan Securities LLC EXHIBIT G PageT DISCI.AIMER City of Miami Beach, Florida Parking Revenue Bonds, Series 2015A i*IPRELIMINARY AND SUBJECT TO CII.ANGE+II This presentation was prepared exctusively for the benefit and intemal use of the J.P. Morgan olient to whom it is directly addressed and delivered (including such clienis affliates, the 'Clienf ) in order to assist the Client in evaluatin& on a preliminar basis, tlre feasibility of possible tansaotions referenced herein. The materials have been provided to the Client for informdional purposes only and may not be relied upon by the Client in evaluating the merits ofpursuing tansaotions described herein No assurance can be given that any transaction mentioned herein could in fact be executed. Information has been obtained ftom sowces believed to be reliable but J.P. Morgan does not 1mnant its completeness or accurBcy. Opinions and ostimates oonstifitte ourjudgrnent as ofthe date ofthis material and are subject to chango without notice. Past perfonnance is not indicative offuture resulb. Any finanoial products discussed uray fluctuate in price or value. This presontation does not constituts a commitrnent by any I.P. Morgal entity to underwrito, subscribe for or place any securitios or to oxtend or arrange credit or to provide any other services. J.P. Morganrs presentation is delivered to you forthe purpose ofbeing engaged as an underwriter, not as an advisor, (including without limitation, a Municipal Advisor ( as such term is defned in Section 975(e) of dre Dodd-Frank Wall Sreet Reform and Consumer Protection Act)). The role of an underwriter and its rolationship to an issuer ofdebt is not equivalent to the role ofan indeperdent finsnoial advisor. 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Noie: Assumes rates as ofAugust 24, 2015 381 BankofAm efica* Merilt Lynch EXHIBIT D TABLE OF CONTENTS CITY OF MIAMI BEACH, FLORIDA Resort Tax Revenue Bonds, Series 20L5 Preliminary Numbers Sources and Uses of Funds Bond Summary Bond Pricing Debt Service Reserve Fund Bond Debt SeMce Annual Debt Service Form 8038 Statistics Au925,2015 6:16 pm Prepared by Bank of America Merrill Lynch 382 Bankoflme*z* Merrill Lynch EXHIBIT D SOURCES AND USES OF FUNDS CITY OF MIAMI BEACH, FLORIDA Resort Tax Revenue Bonds, Series 2015 Preliminary Numbers Dated Date L2lt7l20ts Delivery Date 72h7/2075 Sources: Bond Proceeds: ParAmount Premium 197,420,000.00 22,034,606.90 279,454,606.90 Project Fund Deposits: Project Fund 204,500,000.00 Other Fund Deposits: Debrt Service Reserve Fund !2,846,250,00 Delivery Date Expenses: Cost of lssuance 350,000.00 Underwriter's Discount 987,100.00 Bond lnsurance @ 20 bps 769,476.08 2,L06,576,08 Other Uses of Funds: Additional Proceeds L,780.82 219,454606.90 Notes: Structured based on a fixed project amount of 5204500,000, assumes no earnlngs; level annual debt servlce. Cash funded DSRF, assumes no earnings. Assumes ratings of A/A. AuE 25, 2015 5:15 pm Prepared by Bank ofAmerica Merrill Lynch Page 1 383 BankofAm efica* Meruill Lynch EXHIBIT D BOND SU M MARY STATISTICS CITY OF MIAMI BEACH, FLORIDA ResortTax Revenue Bonds, Series 2015 Preliminary Nurnbers Bond Component ParValue Price Fr'oflbp change Oated Date Dellvery Date Flrst Coupon Last Maturtty &birageYield True lnterest Cost fncl Net hterest Cost (NlC) All-ln TIC Average Coupon Average Llfe (yearsl Duratlon of lssue (years) ParAmount Bond Prcceeds Total lnterest Net lnterest Total Debt Service Maximum Annual DebtSerYice AY€rage Annual Debt Seruice Underurlter's fees (per $1000) AverageTakedown other Fee Total Underwrher's Dlscount 8ld Pric€ 72177120t5 Lzl7illots o5l0l'/2016 72101/2c/.5 3.394725% 4.L349U96 4.435406X 4.L7754r'.% 4.99685696 18.989 le$6 192420,0m.00 219,4s4,606.90 187,31&038.89 tffi,27O,531..99 384,738,038.89 L2,84-6,250.00 x2,843,628.89 5.000000 5.000000 110.661284 Average Average Coupon life Bond Component Term Bond 2040 Term Bond 2045 9&240,000.00 113.112 43,575,000.00 109.520 55,605,000.00 109.001 4.990% 12.055 5.000% 23.053 5.000% 28.053 75,275.sO 37,910.25 47,820.30 194420,000.00 152,006.05 All-ln IC Arblfiage Yield Par Value + Accrued lnterest + Premium (oiscount) - underuriter's Discount - Cost of lssuance Expense - Other Amounts Target Value Target Oate Yleld 192420,000.00 22,034,60690 -982100.00 192420,000.00 22,O34,606.90 -982100.00 -350,000.00 -769,476.08 197,420,000.00 22,034506.90 -769,476.08 21&467,506.90 plLTln$ 4.73r'.984% LuL7lz|Ls 4.177544% L21L712075 3.59472s% zfi34a,$O.82 218,685,130.82 Notes: structured based on a ffred project amount of$204,500,0@, assumes no earnlngs; level annual debt service. cash funded DsRF, assumes no €arnin8s. AJsumes ratings of A./A. Aug 25, 2015 6:16 prn Prepared by Bank of America Merrill Lynch Page 2 384 BankofAmenca* Merill Lynch EXHIBIT D BOND PRIC]NG CITYOF MIAMI BEACH, FLORIDA Resort Tax Revenue Bonds, Series 2015 Bmd ComponeDt Maturltyoate Amount Rate Prelimina[Numbers Yleldto C.ll Yleld Prlce Maturlty Dat€ call Premlum Price (-Dlrcount) Bmd Component: Term Bond 20'0: Tem Eood 2045: - 65B2950 - 179,991.00 - 345,167.s0 - 450,7n.& - 528,684.50 - s87,737.65 - 542,510.80 - 7LO,14O.20 - 767,854.90 - 874,402.@ 100.0m T17,933.20 100.0m Tls,N4.85 r@.om r ,895.10100.0m T12,256.901m.0m 768,227.90 1@.0o 762,426.60 r@.om T17,117.35 100.0@ T19,540.70 100.0@ 793,22!.N m0.0m 813,333.00 12,88r,260.85 100.0m 750,652.00 100.000 788,256.00 100.0m 827,764.N100.000 869,176.00 100.0(n 912,492.00 4148340.00 72i/OU2076 2,92tm0 3.000yo7uO!2017 3,150,000 4.000%140t/2078 3,27s,m0 s.00096t2l0tlzo79 3,440,000 5.00096tal'Llzc,z0 3,610,0m s.000%t2l0il2o2l 3,79s,0m s.ooo%t2l1tl2o22 3B8O,OOO s.ooo% 721Oil2O23 4180,0m s.000,6 1210,/2024 439O,00O 5.000%12l0y2u?s 4610,0m 5.000967210il2q26 4840,0@ s.00or6t2lo1l2o27 5,085,000 5.00096ruouzozB 5,33s,000 s.0oo/6L2lou2029 s,6os,o0o s.000?6 LZlO1l2030 5,88s,000 5.000%lzlotlzo3r. 6,180,000 5.000t6 t2loLlz037 6,48s,000 s.000x r2loLl2033 - 6,810,000 5.000% L2lOLlZ034 21s0,000 s.000%tzlu4a3s 2510,@0 s.ooo% 98,240,000 7?l0Ll2O36 288s,000 s.000%t2loll2037 8,280000 s.0o0/ot2loLl2038 8,695,000 5.00Gt 72lOLl2O3s 9,130,000 s.OOOr6 tuoLl20q 9,s85,000 5.000r 43,575,O00 t2lo{2041 10,06s,000 5.000%Dl,rlzMz 10,565p00 5.ooo%tzlotlz@.3 11,09s,000 s.000%LzlorlzN4 11,5s0,000 s.000%LzlOtlZUS 12,230,dr0 5.000% s5.605,000 102.254 L05.714 110570 113.104 t14.ils t75.487 116.146 116.989 Lt7.491 177.666 115.073 C 3.24s% t401n02s !1s.241 C 3.435% t:2l0ilz02s 114.s06 C 3.590% '2lOu2O25LJ3.n8 C 3.72s% 72lOtlzOE 113.0s4 C 3.U4% ,jilOTlZO2s L72.337 C 3.950% 1210712025 111.891 C 4.0U% L2lo7n02s 77r.447 C 4.@3% taO!2O25 111.09t C 4.149% tu0tn025 110.830 C 4.t93% r2l0tlz0z' 1o9.s2o c 4.37fi6 72lott20B 1o9.s2o c 4.370% 7il0tn0u r09.s20 c 4.370% t40tn02s 109.520 C 4.370% 7zl0tl208 109.520 C 4.370% L2l0ltri025 0.63016 1.040?6 1.340% 1,570% 1.8!10% 2.27Wr 2.45cf* 2.670& 7.740% 29,4096 3.ILVA 320016 3280% 3.360% 3.440,6 3.520,6 3.57@5 3.52096 3.660,6 3.69096 3.840% 3.84096 3.840% 3.840% 3.840% 3.900r 3.900% 3.90096 3.900% 3.900% 109.001 C 4.4s3% t2l0rl202s 100.000 90s,9s0.6s 109.001 c 4.453% la0ll2025 100.000 950,95s.6s 109.001 c 4.453% 72/Otl2O25 100.000 998,56O.9s 109.001 c 4.453% tuOThOzS 100.000 1,048,616.50 109.001 c 4.4s3% tu0u2025 100.000 1,100,822.30 5.005,006.05 797,4?:0,O0O 22,O34,@6.90 Dated Date Delivery Date Flrst Coupon ParAmount Premium Productlon Underwriter's Di$ount Purchase Price Accrued lntsst Net Proceeds fihlnoLs t2lt7l2O7S cf,la7nofi 197,420,000.00 22,034,605.90 211454605.90 tL7.L6t2E4x -982100.00 {.soomo% 2L8,467,505.90 fi0.661284% 2L8,467,506.90 Notes: Structured based on a lxed proj€d amount of52@1,500,000, assumer no earnings; level annual debt service. Cash funded DSRF, assumes no earnlngs, Asumes raungs of A,/4. AuE 25, 20t5 6:t6 pm Prepared by Bank of America Menill Lynch Page 3 385 BankofAm efica* Merill Lynch EXHIBIT D BOND DEBT SERVICE CITY OF MIAMI BEACH, FLORIDA Resort Tax Revenue Bonds, Series 2015 Prelimlnary Numbers Dated Date Delivery Date Prlnclpal Coupon lnterest Debt Service L2/L7l2o1s t2/7712015 Period Ending ]-210u20L6 L2/0U20t7 t2/0u20L8 L2l0t/2OL9 r210712020 72/0L17021 L2/0712022 72101/2023 L2/otl2o24 12107/202s 7210u2026 L210L12027 7210t/2028 1210712029 72/07/2030 t2l0t/203L 7210L12032 72/01"/2033 tzl0t/2034 7210L/203s t2/0L/2036 7210L12037 t2/0L/2038 t2/07/2039 !2/0L/2040 72/0L1204L 72/0L/2042 tuou2043 L2/0U2044 72/0u204s 2,925,400 3,150,000 3,275,000 3,440,000 3,610,000 3,795,000 3,980,000 4,180,000 4,390,000 4610,000 4,840,000 5,085,000 5,335,000 5,605,000 5,885,000 6,180,000 6,495,000 6,810,000 7,150,000 7,510,000 7,885,000 8,280,000 8,695,000 9,130,000 9,585,000 10,065,000 10,s65,000 11,095,000 11,550 000 12,230,000 3.000% 4.OO0% 5.000% 5.000% 5.000% 5.000% 5.000% 5.000% 5.000% 5.000% 5.000% 5.000% s.000% 5.000% 5.000% 5.000% 5.000% 5.000% 5.000% 5.000% 5.000% 5.000% 5,000% 5.OO0% 5,000% 5.000% s.000% 5.000% 5.000% 5.000% 9,345,288.89 9,693,250.00 9,567,250.N 9,403,500.00 9,231,500.00 9,051,000.00 8,861,250.00 8,652,250.00 8,453,250,00 8,233,750.00 8,003,250.00 7,76t,250.00 7,507,000.00 7,240,250.00 5,960,000.00 6,665,7s0.00 6,356,750,00 5,032,500.00 5,692,000.00 5,334,500.00 4,959,000.00 4,564,750.O0 4,150,750,00 3,716,000.00 3,259,500.00 2,780,250.00 2,277,0ffi.00 1,748,75O.00 1,194,0@.00 611,500.00 72,27t,288.89 72,U3,25'0.00 72,U2,?50.04 12,843,500.00 12,841,500.00 12,846,000.00 12,841,250.00 t2,842,250.00 12,843,250.00 72,843,750.00 12,843,250.00 L2,846,250.00 12,842,000.00 L2,845,250.00 12,845,000.00 12,845,750.00 12,84L,750.00 12,842,500.00 12,842,000.00 12,844,500.00 12,844,000.00 12,844,750.00 72,845,750.00 12,846,000,00 12,844,500.00 12,845,250.00 12,842,O40.N 12,843,750,00 12,844,000.00 12,841,500.00 797,420,0A0 187,318,038.89 384,738,038.89 Notes: Structured based on a fixed project amount of $204,500,000, assumes no earnings; Ievel annual debt service. Cash funded DSRF, assumes no earnings. Assumes ratings of VA. Aug 25, 2015 6:16 pm Prepared by Bank of America Merrill Lynch Page 4 386 BankofAmerica'* Merrill Lynch EXHIBIT D Date DEBT SERVICE RESERVE FUND CIW OF MIAMI BEACH, FLORIDA Resort Tax Revenue Bonds, Series 2015 Prelimlnary Numbers Deposit lnterest Principal DebtService Balance 7217712075 12,846,2s0 72l07l2o4s -- ,r,ror,rri -rr,rou,rri L2'846'2so L2,846,25O O 72,846,250 -72,846,250 Arbitrage Yield: 3.5947246% Value of Negative Arbitage: 8,427,773.40 Notes: Structured based on a fixed proJect amount of $204500,000, assumes no earnings; level annual debt service. Cash funded DSRF, assumes no earnings. Assumes ratings ofA/A. Aug25, 2015 6:16pm Prepared by BankofAmerica Merrill Lynch Page 5 387 BankofAm ertca'Z Merrill Lynch EXHIBIT D Date ANNUAL DEBT SERVICE COVERAGE .CITY OF MIAMI BEACH, FLORIDA Resort Tax Revenue Bonds, Series 2015 Preliminary Numbers Debt Service Revenues Coverage tzl0112016 tuotl20:.7 72/OLl2078 tzl0L/201e LzIOLl2020 t2llll202t t210L12022 L210u2023 1^2/oL/2024 LLllll202s tzloll2026 :.210]^lZO27 tzl0Ll2O28 Lzl0L/2029 L2/o].l2o3o 1210u2031 L2l1tl2032 ]-210]-12033 7210L12034 12l0tl2o3s 72lltl2036 tzlo]^l2037 L210L12038 !2/ALl2O3e t2/0L12O40 t2/0t/2041 L2/0t12042 L2/01/2043 L2101/2044 Lzll]-l204s 72,27t,288.89 1e843,250.00 L2,842,25O.W 12,843,500.00 12,841,500.00 12,846,000,00 12,841,250.00 12,842,250.00 12,843,250.00 12,843,750.00 12,843,250.00 12,846,250.00 12,842,000.00 L2,845,250.00 12,845,000.00 12,845,750.00 L2,84L,750.00 12,842,50O.00 12,842,000.00 12,844,500.00 12,844,000.00 t2,844,750.OO 12,845,750.00 12,845,000.00 L2,844,500.00 12,845,250.00 12,842,000.00 12,843,750.00 12,844,000.00 12,841,500,00 74,666,965.N 74,666,965.00 74,656,965.00 74,666,965.N 74,666,965.W 74,666,965.00 74,666,965.00 74,666,965.N 74,666,965.00 74,566,965,00 74,656,965,00 74,556,965.00 74,666,965.00 74,6ffi,965.00 74,666,955,00 74,666,965.00 74,666,965.00 74,655,955.00 74,565,965.00 74,666,965.00 74666,965.00 74,666,965.OO 74,666,965.00 74,666,95s.00 74,666,955.00 74,666,965.00 74,666,965.00 74,666,965.00 74666,965,00 74,666,963.@ 608.469% 58!.37L% 581.417% 581".360P4 581.450% 58L.247% 58L.462% 581.477% 581.?77% 58t.349% 581.371/. 581.235Yo 58t.428% 581.281% 587.292% 581.2s8% 581.439% 581.40s% 58t.428% 581.315% 58L.337% 581.303% 58L.258% 581.247% 581.315% 58t.28t% 587.428% 581.349% 58L.337% s87.450% 384,738,038.89 2,240,008,950.00 Notes: Structured based on a fixed project amount of5204,500,000, assumes no earnings; level annual debt service, Cash funded DSRF, assumes no earnings. Assumes ratings ofA/A. Aug 25, 2015 6:15 prn Prepared by Bank of America Merrill Lynch Page 6 388 BankofArnefica?z Merrill Lynch EXHIBIT D FORM 8038 STATISTICS CITY OF MIAMI BEACH, FLORIDA ResortTax Revenue Bonds, Series 2015 Prelimihary Numbers Bond Component Date Dated Date Oelfuery Date Prlnclpal r2l77kits 1217712O7s Coupon Price RedemPtlon lssue Prlce at Maturlty gond Component: T€rm Bond 2(N0: Term Bond 2045: 1:u0ltz0t6 2,925,000.00u,lotlz}t7 3,1s0,000.00 1210U2018 3,271000.0072fiLn0L9 3/440,000.00 72lOil2A2O 3,610,000007ztoilZ'zr 3,79'0OO.OO r210il2o22 3,980,000.00 r2t0712023 4,180000.00 1210!2024 4190.000.00 721011202s 4610,{t00.00 7210712Ot6 4840,000.00 7210712027 1085,000.@!u0!2028 s,33s,000.00 t210u2079 5,605000.00tu0!2030 5,881000.00 7210L1203t 6,180,000.mt2l0!2032 5.485,000.0{rt2l0u2o3t 6,810,000.mtzlolzor[ 7,1s0,mo.oo 1210u2035 2s10,mo.00 7210il2036 7,88s,000.00 7210112037 8,280,000.00 7210712038 8,C's,000.00ul0rl2039 9,80.000.0072hil2o40 9,s81ffi).fi) tz.1ot1zo+t 10,065,000.00 L2|OU2042 10,5610@.00 L2l07l?:04,3 11,09i000.00L2lltlzul 11,650,000.00t2l0!20/.5 12,230,000.00 3.0@% L02.2s4 4.000,6 105.714 5.000,% 110.570 5.00096 113,104 5.O0r/J6 tt4.64s 5.000% t75.497 5.OoCP/6 116.145 5.000% u6.989 5.OW6 L17.491, 5.00016 117.666 5.00096 115.073 5.0006 tts.z4l 5.000'/6 114.506 5.000% 1t3.778 5.000% 113.054 5.000?6 LtL337 5,U'Or6 11L891 5.mD6 tLl-447 5.000% ll,-oglt 5.000% 110.830 5.00016 109.s20 5.000% 109.520 5.000% 10!1.520 5.000% 109.520 5.00016 109.001 5.000,4 109.001 5.OOOr rOg.OOr 5.00096 109.001 5.000% 109,001 2,990,929.50 4925,000.00 3,329,991.00 3,150,000.q, 3,627,167.50 3,271000.m 3,890,7n.@ 3,440,000.m 413&684.s0 3,61O,U'0,&' 43a2,79r.65 3,795,0m.@ 4,622,610.80 3,980,0qr.00 489O,74o.7O 4,180,m0.U' 5,1s28s4.90 4:190,000.00 s,424,102.@ 4610,000.@ 5,6t7,931.7O 4840,m0.0o t86O,004.85 1(B5,000.(x' 6,108,895.10 5,335,0@.00 6,3?7,2s6.90 5505,0@.q' 6,553,227.90 5881000.@ 6,942,426.60 6180,000.00 7,256131.35 5,/81000.00 7,589,5q.70 6,810,0@.00 7,943,22t.00 Zuo,ooo.oo 8,323,333.00 Zs10,00o.oo 8,635,652.00 7,885,0@.oO 9,068,256.00 8,280,0@,oo 9,522,764.00 8,695,000.00 9,999,176.00 9,130,000.00 70,497,492.00 9"585,0m.00 19970,950.65 10,065000.00 1r"515,955.55 10,555,000.00 12,093,660.9s 11,095000.00 12,698,615.50 11,650,000.00 13,3:t0,822.30 12,230,000.00 ,i12420,0m.00 279A51,606.90 42420,000.00 Maturlty Date lnterest Rate SHed welghtedlssue Redemption AveraEePrice at Maturity Maturlty Yleld Flnal Maturlty Entirc lssue r2l0u2o4s 5.000% 13,330,822.30 12,2:i0,000.00- 219,454,506,90 197,420,0m.00 18.8639 3l'947% Proceeds used for accrued lnter$t Proc€eds used for bond issuance costs (lncluding underwrlters' dlscount) Proceeds used for credlt enhancement Proceeds allocated to reasonably requlred reserve or replacement fund Notes: structured biled on a fixed proiect amouft of5204,500,000, assums no earnlngs; level annual debt service. cash funded DSRF, assumes no eamlngr. Assumes ratings ofA/A. 0.00 1,337,100.00 769,476.08 12,u6,250.0O Aug25,2015 5:15 pm Prepared by Bankof America Merrill Lynch PageT 389 BankofAm efica* Itlerrill Lynch EXHIBIT D DISCTAIMER CITY OF MIAMI BEACH, FLORIDA Resort Tax Revenue Bonds, Series 2015 Preliminary Numbers BofAML lS NOT YOUR MUNICIPAI ADVISOR OR FIDUCIARY. Bank of America Menill Lynch ('BofAML') Is providing the information contained herein for discussion purposes only either as an underwriter or in anticipation of being engaged to serve as an undenivriter. By providing the information contained herein pursuant to the participation by an independent registered municipal advisor exemption provided under SEC Rule 158a1-1(dX3Xvi), BofAML is not acting as your 'municipal advisor' within the meaning of Section 158 of the Securities Exchange Act of 1934, as amended (the 'Act'), and does not owe a fiduciary duty to you pursuant to the Act with respect to the information and material contained in this communication. BofAML is elther serving as an underwriter or is seeking to serve as an underwriter on a future transaction and not as a financial advisor or municipal advisor. The primary role of BofAMI. as an underwriter, is to purchase securities with a view to distribution in an arm's-length commercial transaction between you and BofAML and BofAML has financial and other interests that differ from yours. BofAML is acting for its own interests. You should discuss any information and material contained in this communication with any and all of your own internal or external municipal and/or financial, legal, .accounting, tax and other advisors and experts, as applicable, to the extent you deem appropriate before acting on this information or material, This material has been prepared by the Public Finance Group and ls not a research report and ls not a product ofthe ffxed income research department of BofAML. 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The material and calculations made available to you may not be similar to the information generated by BofAML's or lts affiliates proprietary models or valuations that are used for its own purposes or to the models or valuations available from other sources including from other dealers. BofAML assumes no obligation to update or otherwise revise these materials. Values generated by the data or calculations may not reflect actual prices or values that can be obtained in the market at that time and the calculations should not be relied upon for any tax, accounting, legal or other purpose. Notes: Structured based on a fixed project amount of $204,500,000, assumes no earnings; level annual debt service. Cash funded DSRF, assumes no earnings. Assumes ratings of A/A. Aug 25, 2015 5:16 pm Prepared by Bank of America Merrill Lynch Page 8 390 - I I I,?1 5 . 2015 ffi#e=&&$ffiffi&ffih4 391 Miami Beach Convention Renovation & Expansion August 2!, ?O15 Center Budget EXHIBIT E % Convention Center Parking o/o at Total Total 88.996% S44s,284,051 11.004% s55,0s9,247 -'ss00,343,307 83.90%Total Contractor Costs Owner's Costs Design Fees (Fentress Achitects) Project Oversight Art in Public Places (AIPP) FF&E Other Owner Costs Subtotal Owner's Contingency TOIAT 23,527,528 5,639,794 5,784,72L 6,830,945 4,459,769 49,.,526,818 40,040,813 $s31,s87,631 2,909,L72 697,359 7Ls,279 0 55i,449 59,932,506 4879,2s0 564,8u,755 26,436,700 4A3% 6,337,153 L,A6% 6,500,000 a.09% 6,830,945 L.Ls% 5,07L,219 A.g% s5t,459,324 92.47% 44,920,063 7.53Yo 9598,379,387 Loo.oo% F:\cmgr\$ALL\Conventlon CenteABudgets -Bonds\CMr Budget 2A15 08 21 (FCWC) 392 r-- t9t5 * 20]5 ffi$&&e$ffiffi&ffiM 393 z o* E{ RE E{33 o6ag oooo 8X 3oY oqig d e 6E 6o: o6-9 d' ooQ N oo do Aq do ni oo .i 00 qi di d!q NO .{ oo q6- ie^* oi9.ii oB=oguo9q .coiaCCE:Is*E}nBgE-!l-9t6qeE3ss 5 E ; Ecc c Eod o =E;" 2 g 5 i H;H lr EITxlll $il Flsil iilgluil fl,|uil -sh l$il Ets tHll^lu [fl tl:l;il Illlfl ils l$fl flltfl qH luil d6_.1.1o-9iotss o! a^ q.1 q_6FaOO oo$60 r-{6-{-!qd{6so o: oisd q 6- d! 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S675,769 $3,756,052 ,13.2L g!07s,85s $nL1.4? , $3,851,ee6 .10.570 $3,791,216 $870,738 S4,661,954 ,, 3,.9y" $2,869,106 $630,117 $q,499r223 4.7% $2,729,506 $607,357 $3,336,863 16.40/0 $2,031,099 $425,685 $2,4s6,784 10.6% $2,219,104 $472,125 $2,691,229 7.8% $2,181,947 $543,478 $2,?25,425 11.7% - $31,281,359 $6,922,709 $38,204,068 5.2o/o Page 5 398 EXHIBIT H Clty of Miami Beach - Resort Tax Collsctlone (Contlnued) Fiscal Year 2008/ 09 Fiscal Yoar 2009/10 Month Oclober November December January February March Aprll May June July August September Total % Change, $1,650,504 9335,195 $1,9e1,69e _ -7.8% $2,063,757 $443,620 $2,507,377 -1.0% $2,219,742. $4s7,644 $2,717,286 -1.2o/o $2,870,626 $687,949 $3,558,575 -5.9o/o $3,'148,530 $686,022 $3,834,552 2.1oh $2,e39,e2p $6q0,769 $3,620,6e7, 6.Ooto $3,711,667 , $763,621 $4,475,288 ,+# $2,859,207 $818,497 $3,507,104 ., '!3%$2,7,34,368 $529,969- $3,264,337 -2.2% 82,022,1!6,_ - $3p8,6r : $4,411,173 -1.*/o $2,3',15,U7 $468,862 S2,783,909 3.40/a s2,252,399 $431,324 $2,6E3,723 -1.50/0 s1,765,446 $328,525 $2,093,971 % ChsIEe 10.0% w,170,21? $415-178 .$2,58s,491 - $2,317,036 $461,510 S2,778,546 $3,3s7,290 $7s9,806 $4,117,096 3.10h 15.70/o $3,250,359 S713,871 $3,964,230 $3,775,971 $944,317 94,720,288 30,4% $4,070,923 $913,934 $4,984,857 11.4Yo $3,357,s02 $755,673 $4,113,175 17.3Y0 $2,903,423 $603,611 $3f07,034 7.4o/o s2,388,952 $471,129 $2,86q,081 18,6% $2,566,142, $533,217, . $.3,0P.9,3qe U.!o/o $2,315,409 $571,430 $2,886,839 7.60/0 $30,794,291 S6,562,029 $37,356,320 -2.2oiD $34,238,666 $7,472,331 $41,710,997 11.?a/o Flscal Year2010/11 Fiscsl Year 2011/12 Month October November Dec€mber January February Mardr April May Jme July August September Total 1o/o Yo_Change $2,054,670 $452,348 S2,507,018 19.7% $2,638,/m1 $513,505 $3,151,986 21.9L $2,805,785 $574,685 $3,380,480- . 21.70h $3,5dt,774 $816,088 $4,383.E62 $3,43?,156 .$Je1,466 , V,223,622 6.5% $3,928,800 $899,098 $4,827,898 2.3Ya $4,627,466 $1,225,0A4 $5,852,530 17.4% $4,112p76 $1,004,483 $5,117,359 24.4% $3,430,841 $744,410 $4,175,251 19.1% $2,869,923 $574,463 $3,4,14,386 2},4oh $3,180,371 $684,03S $3,864,40s 2!.7a/a $2,866,740 $704,502 $3,571,242 23.70h -- - s39,515,893 $8,984,150 $48,500,043 16.3% 10/o TOTAI oi Change 22.1%$2,549,797 -9518,492 $3,068,289 $3,177,928 $6e2,053 $3,86e,s81 _ $3,883,614 $719,320 $4,636,s34 . $4,073,108_ $920,856 $4,993,96-4- $4,176,08e $e01,957 $5,13q,046 - $4,328,808 $J.,0sf,2.95 $5,37e,013 $5,217,135 $1,206,673, S6,423,808 $4,262,94A $1,065,982 $5,328,930 36.goi6 13.9% $3,524,675 $764,045 V,288,724 2.70h . $3,146,098 9826,q4.8- . $3,772,946 $3,249,797 $696,925 $3,946,722 $2,856,346 $632,700 $3,489,046 21.7% 11.4% 4,10h 2.10/o -2.3% s44,446,343 $9,880,058 $54,326,399 '.t2.0% Page 6 399 EXHIBIT H Glty of Miaml Beach - Resort Tax Collectlons (Contlnued) Fiscal Year 2012/13 Flscal Year 2013/14 Month October November January February March Aprll May June July August 1%% Change 1o/o TOTAL % Change $718,097 $3,874,449 -16.3% $4,689,304 $1 ,162,1 18 95,851 ,422 17 .2o/o $4,602,257 S1,154,788 $5,757,045 12.0o/o $4,577,102 $1,175,961 $5,753,063, 7.0o/o $6,117,09: $1,538,525 $7,713,619 20j% $4,446,827 $1,074,U7 $5,521,674 3.60/o 4.0o/o $2,616,517 $539,538 $3,156,055 .1,lYo $4,960,680 $1,207,754 $6,168,434, $4,855,831 $1,221,242 $6,077,073 $4,894,856 $1,230,527 ,$8,125,385 $5,7e2,950 $1,458,889- $7,251,p36 $4,969,113 S1,238,578 $8,207,691 13.10/o $3.324,909 $719,939 $4,044,848 0.7% $3,359,942 $729.712 $4,089,654 0.6% $3,559,359 $794,085 $4;353,4,14 $2,679,387 $510,674 $3,337,959 $728,884 s3,190,061 $4,066,843 5.1o/o Decembet $3,156,352 12.4o/o 5.40/o 6.5o/o 12.4o/o $3,644,952 $803,413 $4.448,365 3.7% $4,098,848 $934,442 $5,033,2S0 $3,329,498 $685,451 $4,014,949 $3,473,040 $781,4',12 $4,265,052 7.8%$3,592,203 $803,447 $4,395,650 3,30/o September $3,421,072 $761,341 $4,182,413 19.9% $3,709,511 $835,052 $4,544,563 8.70/o $47,535,444 $1 I,0S3,51 1 $58,628,955 7.*/o $49,7U,721 $11,71i2a2 $61,447,923 4.Aoh PageT 400 r@ E-- I915.20]5 ffi.$effi$ffiffi&ffih4 401 -F-E--Ixul E(l LT o-4) .6 {tE fiEsE EBE sfI OEs !D - Esi ostr HEh 6'59 EEo o6E dxE gg E E$ 6 .FO3 Oop oH,o ql=[ 3$-& 848d g8l E h.BbE EPA6 eES = =!gl .$=ESctESIxa=-rfr EEEEE g$EEE { sts'*Il !r E-ai Buao>6o Eco$ 5EE56;t o()(E() x d e { Lll[ eg F UJi>o&.v{"r oU': ^ffiki r. sl-=r^ail Lld 402 I ,@ --- I?15.20I5 ffi$ee&$ffiffi&ffiM 403 ;oo o2 6 J3c c!ot @ oEol-{ro Eo e_ El9Uo oEB .EE EE ot o oaxq E .g oqoo g o€oIE I o s, o JqQ5 f>6 .0 5 0 --a!:I cqgoao.,.EEiH9Etss!zoi;t 9 PEioo=r -!{PC=@EYc-=5 6 >o c; u9 0 Ff=cj]o =Ls:^!;;S5ts€ EJ=9GE '---6D-c:l-aEooo;!=:6dI3€ i o oE! 6 <! f,=nit-.9* 5 L tr q c P ri E g 6f, 9X-q B6==-qc9!9rit =.=l,co@E..,yoocrb:Eodsq^ofcEg:X5E> E !- l6tESx&;X98-pE!.^-E=e3i:"'-tB =NNgo=IEEEt!giLr!<Z: : H Slra s h oooF(oo rnord oF {7) rYig)f,t N C)ao do)r.. 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A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA AUTHORIZING THE ISSUANCE BY THE MIAMI BEACH REDEVELOPMENT AGENCY OF NOT TO EXCEED $43O,OOO,OOO IN AGGREGATE PRINCIPAL OF TAX INCREMENT REVENUE BONDS (CITY CENTER/HISTORIC CONVENTION VILLAGE), IN ACCORDANCE WITH THE REQUIREMENTS OF CHAPTER 163, PART III, FLORIDA STATUTES, AS AMENDED; AUTHORIZING OFFICERS AND EMPLOYEES OF THE CITY TO TAKE ALL NECESSARY ACTIONS IN CONNECTION THE,REWITH; AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the Miami Beach Redevelopment Agency (the "Agency") has heretofore issued its (i) $29,105,000 Miami Beach Redevelopment Agency Tax Increment Revenue Bonds, Taxable Series 1998,4. (City Center/Historic Convention Village), currently outstanding in the principal amount of $10,000,000, (ii) $51,440,000 Miami Beach Redevelopment Agency Tax Increment Revenue Refunding Bonds, Taxable Series 20054 (City Center/Historic Convention Village), currently outstanding in the principal amount of $27,815,000, and (iii) $29,930,000 Miami Beach Redevelopment Agency Tax Increment Revenue Refunding Bonds, Series 20058 (City Center/Historic Convention Village), currently outstanding in the principal amount of $17,175,000 (collectively, the "Outstanding Prior Bonds"), pursuant to Resolution No. 150-94, adopted by the Board of Commissioners of the Agency (the "Agency Commission") on January 5,1994, as supplemented, to finance or refinance certain redevelopment projects in an area of the City of Miami Beach, Florida (the "City") known as the "City Center/Historic Convention Village Redevelopment and Revitalization Area," all in accordance with a redevelopment plan adopted by the Agency under Chapter 163, Part III, Florida Statutes, as amended (the "Act"), and approved by the City pursuant to Resolution No. 93-20721 adopted by the Mayor and City Commission of the City (collectively, the "City Commission") on February 12, 1993, as amended; and 003-4430-479313/AM ER r CAS 406 WHEREAS, the Agency now intends to issue its Tax Increment Revenue Bonds (City Center/Historic Convention Village), in one or more series (the "Series 2015 Bonds"), in the principal amount not to exceed $430,000,000, for the primary purpose of providing funds, together with any other available moneys, to refund all of the Outstanding Prior Bonds and to finance the Series 2015 Redevelopment Project (as defined in the Bond Resolution hereinafter defined) pursuant to a resolution adopted by the Agency Commission on October 14,2015 (the "Bond Resolution"), a copy of which Bond Resolution is attached hereto as Exhibit A and made aparthereof; and WHEREAS, in accordance with the requirements of the Act, the City desires to authorize and approve the issuance of the Series 2015 Bonds by the Agency; and WHEREAS, in connection with the issuance of the Series 2015 Bonds, the requirements of Ordinance No. 2007-3582, adopted by the City Commission on November 27,2007, including the holding of two public hearings, have been complied with prior to the adoption of the Bond Resolution and this Resolution; NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA: Section l. The above recitals are incorporated herein as findings. Section 2. This Resolution is adopted pursuant to the Act and other applicable provisions of law. Section 3. In accordance with the requirements of Sections 163.358(3) and 163.385(1) and (3) of the Act, the issuance by the Agency of the Series 2015 Bonds, in the principal amount not to exceed $430,000,000, under the provisions of the Bond Resolution is hereby authorized and approved by the City Commission. 003-4430-4193 l3 lAM ERTCAS 407 Section 4. The officers and employees of the City are hereby authorized and directed to take all other necessary actions and execute all necessary documents to carry out the provisions of this Resolution and provide for the issuance of the Series 201 5 Bonds by the Agency. Section 5. This Resolution shall take effect immediately upon its adoption. PASSED AND ADOPTED this _ day of _,2015. Mayor (sEAL) ATTEST: City Clerk APPROVEDASTO FORM & I.ANGUAGE E FOR DGCIJTION ^#mh-d# o03-4430-4793 / 3 /AM ERTCAS 408 EXHIRIT A BOND RESOLUTION A-1 003-4430-47 93 / 3 IAM ERTCAS 409 RI]SOLUTION NO, A RESOLUTION OF TI]E CHAIRPERSON AND MEMBERS OF THE MIAMI BEACH REDEVELOPMENT AGENCY AUTHORIZING THE ISSUANCE OF NOT MORE THAN $43O,OOO,OOO IN AGGREGATE PRINCIPAL AMOLINT OF MIAMI BEACH REDEVELOPMENT AGENCY TAX TNCRE,MENT REVENUE BONDS (CITY CENTEzuHISTORIC CONVENTION VILLAGE) (THE "SERIES 2015 BONDS"), FOR TI-IE PURPOSE OF REFLNDING THE AGENCY'S OUTSTANDING PRIOR BONDS AND FINANCING CERTAIN PUBLIC IMPROVEMENTS; PROVIDING FOR THE ISSUANCE OF ADDITIONAL BONDS ON A PARITY THEREWITH; PROVIDING FOR THE SECURITY AND PAYMENT OF ALL BONDS ISSUED PURSUANT TO THIS RESOLUTION; PROViDING CERTAIN DE,TAILS OF THE SERIES 20 I 5 BONDS; DELEGATiNG CERTAIN MATTERS IN CONNECTION WITH THE ISSUANCE OF THE SERIES 2015 BONDS TO THE EXECUTIVE DIRECTOR OF THE AGENCY, INCLUDTNG WHETHER TO SECURE A CREDIT FACILITY AND/OR A RESERVE ACCOUNT INSURANCE POLICY, WITHIN THE LIMITATIONS AND RESTRICTIONS STATED HEREIN; APPOINTING UNDERWRITERS, PAYING AGENT, REGISTRAR, ESCROW AGENT AND DISCLOSURE DISSEMINATION AGENT; APPROVING THE FORM OF TI-IE, PRELIMINARY OFFICIAL STATEMENT FOR THE SERIES 20 I5 BONDS AND AUTHORIZING EXECUTION OF THE FINAL OFFICIAL STATEMENT FOR THE SERIES 2OI5 BONDS; AUTHORIZING THE NEGOTIATE,D SALE OF THE SERIES 2015 BONDS AND APPROVING THE FORM AND AUTHORIZING EXE,CUTION OF THE BOND PURCHASE AGREEMENT FOR THE SEzuES 201,5 BONDS; APPROVING THE FORMS AND AUTHORIZING EXECUTION OF ESCROW DEPOSIT AGRE,EMENTS FOR THE OUTSTANDING PzuOR BONDS; COVENANTING TO PROVIDE CONTINUING DISCLOSURE iN CONNECTION WITH THE SERIES 2OI5 BONDS AND APPROVING THE FORM AND AUTHORIZING EXECUTION OF A CONTINUING DISCLOSURE AGREEMENT; AUTHORIZING OFFICERS AND EMPLOYEES OF THE AGENCY TO TAKE ALL NECESSARY ACTIONS IN CONNECTION WITH THE ISSUANCE OF THE SERIES 2015 BONDS; AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the Miami Beach Redevelopment Agency (the "Agency"), & public body corporate and politic, has been duly created and established to transact business and exercise powers under and pursuant to the Florida Community Redevelopment Act, Chapter 163, Part ili, Florida Statutes, as amended (together with other applicable provisions of law, the "Act"), including the issuance of revenue bonds, in order to achieve the purposes of redevelopment as set forth in the Act; and WHEREAS, all the requirements of larv have been complied r,vith in the creation of the Agency, the adoption and amendment of a redevelopment plan (the "Redevelopment Plan") under the Act for that portion of the City of Miami Beach described in the Redevelopment Plan and known as the "City Center/Historic Convention Village Redevelopment and Revitalization 003-4430 4551/4/AMERtCAS 410 Area" (the "Redevelopment Area") and the creation and tunding ol the City Center/Flistoric Convention Village Redevelopment and Revitalization Trust Fund (the "Trtlst Fund") in accordance with the Act; and WHEREAS. in connection with the Redevelopment Plan, the Agency has heretofore issued multiple series of bonds, of which the fbllowing are currently outstanding: (i) $29,105,000 Miami Beach Redevelopment Agency Tax Increment Revenue Bonds, Taxable Series 1998,{ (City Center/Historic Convention Village), or,rtstanding in the principal amount of $10,000,000 (the "Outstanding Series 1998A Bonds"), (ii) $51,440,000 Miami Beach Redevelopment Agency Tax Increment Revenue Refunding Bonds, Taxable Series 2005A (City Center/Historic Convention Village), or.rtstanding in the principal amolrnt of $27,815,000 (the "Outstanding Series 2005A Bonds"), and (iii) $29,930,000 Miami Beach Redevelopment Agency Tax Increment Revenue Refunding Bonds, Series 20058 (City Center/Historic Convention Village), or.rtstanding in the principal amount of $17,175,000 (the "Outstanding Series 20058 Bonds" and, together with the Outstanding Series 1998A Bonds and the Outstanding Series 2005A Bonds, the "Outstanding Prior Bonds"), pursuant to Resolution No. 150-94, adopted by the Board of Commissioners of the Agency (the "Commission") on January 5, 7994, as supplemented (the "Prior Bond Resolution"); and WHEREAS, the Agency desires to finance certain public improvements in accordance r,vith the Reclevelopment Plan, as more particularly described in Exhibit A attached hereto and made a part hereof (collectively, the "series 2015 Redevelopment Project"); and WHEREAS, pursuant to that certain Third Amendment to Interlocal Agreement dated January 20,2015, among Miami-Dade County, Florida, the City of Miami Beach, Florida, (the "City") and the Agency, entered into in connection with the financing of the Series 2015 Redevelopment Project, it is necessary to refund the Outstanding Prior Bonds; and WHEREAS, in order to refund the Outstanding Prior Bonds and finance the Series 2015 Redevelopment Project, the Agency desires to issue its Tax Increment Revenue Bonds, as more particularly described in this Resolution (the "Series 2015 Bonds"); and V/HEREAS, the Agency also desires to set forth the provisions pursuant to which it may issue bonds on a parity with the Series 2015 Bonds and to make provision for the rights and security of the Holders of all bonds issued hereunder; and WHEREAS, the Commission has determined that it is in the best interest of the Agency to delegate to the Executive Director of the Agency, who shall rely upon the recommendations of the Chief Financial Officer of the City (the "Chief Financial Officer") and RBC Capital Markets, LLC, the Agency's financial advisor (the "Financial Advisor"), the determination of various terms of the Series 2015 Bonds, whether to secure a Credit Facility and/or Reserve Account Insurance Policy (as such terms are hereinafter del-rned) with respect to the Series 2015 Bonds, the flnal award of the Series 2015 Bonds, and certain other actions in connection with the issuance of the Series 2015 Bonds and the refunding of the Outstanding Prior Bonds, all as provided and subject to the limitations contained herein; and oo3-4410-4561/ 4l AMERI CAS 411 WHEREAS. the Agency has determined that due to the character of the Series 2015 Bonds, current favorable market conditions, the uncertainty inherent in a competitive bidding process and the recommendations of the Financial Advisor, it is in the best interest of the Agency to authorize the negotiated sale of the Series 2015 Bonds; and WHEREAS. in connection with the issuance of the Series 2015 Bonds, the requirements of Ordinance No. 2007-3582, adopted by the Mayor and City Commission of the City on November 21,2007 , including the holding of two public hearings, have been complied with prior to the adoption of this Resolution; NOW. THEREFORE, BE IT DULY RESOLVED BY THE CHAIRPERSON AND MEMBERS OF THE MIAMI BEACH REDEVELOPMENT AGENCY: ARTiCLE I DEFINITIONS, AUTHORITY AND FINDINGS; RESOLUTION CONSTITUTES A CONTRACT SECTION 101. DEFINITIONS. In addition to the terms defined elsewhere in this Resolution, as used in this Resolution, the fbllowing terms shall have the following meanings: "Act" shall mean the Florida Comn-runity Redevelopment Act, Chapter 163, Part III, Florida Statutes, as amended, and other applicable provisions of law. "A-eency" shall mean the Miami Beach Redevelopment Agency, a body corporate and politic, created pursuant to the Act. "Arnortization Requirements" sl-rall mean such moneys required to be deposited in the Bond Redemption Account for the purpose of the mandatory redemption or payment at maturity of any Term Bonds, the specific amounts of such deposits to be determined by the Chairperson in the Chairperson's Certificate with respect to the Series 2015 Bonds and pursuant to any resolution authorizing any other Series of Bonds with respect to such other Series of Bonds. "Average Annual Debt Service" shall mean, at any time and with respect to all of the Bonds or any particular Series of Bonds (as appropriate), the sum of the Debt Service Requirements tbr the then current and every succeeding Fiscal Year divided by the number of such Fiscal Years. 'oBonds" shall mean the Series 2015 Bonds, authorized to be issued pursuant to this Resolution, together with any additional parity Bonds hereafter issued pursuant to this Resolution. "Bondholder", ''Holder", "Holder ol Bonds" or "Owner" or any similar term, shall mean any person, lvho shali be the registered owner of any Outstanding Bond or Bonds. "Chairperson" shall mean the Chairperson of the Agency or in the absence or disability of the Chairperson, the Vice Chairperson of the Agency or the offlcers succeeding to their principal functions. 003 -4430-4s6 L / 4 /AM ERICAS 412 "Chairperson's Certificate" shall mean the Certitrcate to be executed by the Chairperson on or prior to the date of initial issuance of tl-re Series 2015 Bonds, which Certiflrcate shall provide the details of the Series 2015 Bonds. "City" shall mean the City of Miami Beach, Florida. ''Code" shall mean the Internal Revenue Code of 1986, as amended from time to time, and the regulations promulgated thereunder and applicable regulations promulgated under the Intemal Revenue Code of 1954, as amended. "Commission" shall mean the Board of Commissioners of the Agency, being the Chairperson and members of the Agency. "Corrnty" shall mean Miami-Dade County, Florida. "Credit Facility" shall mean an irrevocable letter of credit, policy of municipal bond instuance, guaranty, purchase agreement, credit agreement or similar facility in which the entity providing such facility irrevocably agrees to provide funds to make payment of the principal of and interest on Bonds. ''Debt Service Requirement" for any period, as applied to all of the Bonds or all of the Bonds of any Series (as appropriate), shall mean the respective amounts which are needed to provide: (a) for paying the interest on all Bonds or all Bonds of such Series (as appropriate) then Outstanding which is payable on each lnterest Payment Date in such period, (b) for paying the principal of all Serial Bonds or all Serial Bonds of such Series (as appropriate) then Outstanding which is payable upon the maturity of such Serial Bonds in such period, and (c) the Amortization Requirements, if any, for all Term Bonds or the Term Bonds of such Series (as appropriate) for such period. If all or a portion of the principal of (including, r,vithout limitation, Amortization Requirernents) or interest on a Series of Bonds is payable from tirnds irrevocably set aside or deposited for such pllrpose, together with projected earnings thereon to the extent such earnings are projected to be from Permitted Investments, such principal or interest shall not be included in determining Debt Service Requirements if such tunds and/or Permitted Investments will provide moneys which shall be sufficient to pay when due such principal or interest. oo3-443o-45671 4/ AME RTCAS 413 "Defeasance Obligations" shall mean to the extent permitted by law: (a) Direct general obligations of, or obligations the timely payment of the principal of and the interest on which is r"rnconditionally guaranteed by, the United States of America; and (b) Evidences of indebtedness issued by the Bank for Cooperatives, Federal Home Loan Banks, Federal Home Loan Mortgage Corporation (including participation cerlificates), Federal Land Banks, Federal Financing Banks, or any other agency or instrumentality ol the United States of America created by an act of Congress which is sr-rbstantially sirnilar to the foregoing in its legal relationship to the United States of America; provided that the obligations of such agency or instrumentality are r.rnconditionally guaranteed by the United States of America or any other agency or instrumentality of the United States of America; and (c) Evidences of ownership of proportionate interests in future interest and principal payments on specified obligations described in (a) above held by a bank or trust company as custodian, under which the or,vner of the investment is the real party in interest and has the right to proceed ciirectly and individr"rally against the obligor on the underlying obligations described in (a) above, and which underlying obligations are not available to satisfy any claim of the custodian or any person claiming through the custodian or to whom the custodian may be obligated; and (d) Obligations described in Section 103(a) of the Code which do not permit redemption prior to maturity at the option of the obligor and provision for the payment of the principal of, premium, if any, and interest on r,vhich shall have been made by the irrevocable deposit with a bank or trust company acting as a trustee or escrow agent for the holders of such obligations, direct general obligations of the United States of America, the maturing principal of and interest on which, when due and payable, will provide sufficient monies to pay when due the principal of, premium if any, and interest on such obligations, and which direct general obligations of the United States of America are not available to satisfy any other claim, including any claim of the trustee or escrow agent or of any person claiming through the trustee or escrow agent or to whom the trustee or escrow agent may be obligated, including in the event of the insolvency of the trustee or escro\,' agent or proceedings arising out of such insolvency. "Executive Director" shall mean the Executive Director of the Agency. "General Counsel" shall mean the General Counsel of the Agency, currently the City Attorney ol the City. "Fiduciaries" shall mean the Paying Agent and the Registrar appointed and acting under this Resolution. "Fiscal Year" shall mean that period commencing on October 1, and continuing to and including the next succeeding September 30, or such other annual period as may be prescribed by lar.v or by the Agency in accordance with law. 003-443O-456 1/4/AME R rCAS 414 "lnterest Payment Date" shall mean fbr each Series of Bonds such dates on which interest on the Bonds is payable on snch Bonds that are Outstanding, as set fbrth in the proceedings of the Agency providing fbr the issuance of sr"rch Series of Bonds. "Maximum Annual Debt Service" shall mean, at any time and with respect to all of the Bonds or any particular Series of the Bonds (as appropriate), the greatest Debt Service Requirement in the then current or any succeeding Fiscal Year. "Outstanding" r,vhen used with reference to the Bonds, shall mean, as of any date of determination, all Bonds theretofore authenticated and delivered except: (a) Bonds theretofore cancelled by the Registrar or delivered to the Registrar for canceliation; (b) Bonds which are deemed paid and no longer Outstanding as provided hereinl (c) Bonds in lieu of r,vhich other Bonds have been issued pursuant to the provisions hereof relating to Bonds destroyed, stolen or lost, unless evidence satisfactory to the Registrar has been received that any such Bond is held by a bona fide purchaser; and (d) For purposes of any consent or other action to be taken hereunder by the Holders of a specified percentage of principal amor.rnt of Bonds, Bonds held by or for the account of the Agency. "Paying Agent" shall mean any bank or trust company or any successor bank or trust company appointed by the Agency to act as Paying Agent hereunder. "Permitted Investments" shall mean and include such obligations as shall be permitted to be legal investments of the Agency by the lar,vs of the State. "Pledged Funds" shall mean, collectively, (i) the Trust Fund Revenues, and (ii) except for moneys, securities and instruments in the Rebate Fund, all moneys, securities and instruments held in the funds and accounts created and established by this Resolution. "Redevelopment Area" shall mean the "City Center/Historic Convention Village Redevelopment and Revitalization Area" located within the City and found by the City to be a "blighted area" within the meaning of the Act and described in the Redevelopment Plan, as the geographic boundaries of such area may be changed from time to time as permitted r-rnder the Act. "Redevelopment Plan" shall mean the redevelopment plan for the Redevelopment Area originally adopted by the A-eency by Resolr"rtion No. 128-93 adopted on February 12, 1993 and approved by the City by Resolution No. 93-20721 adopted on February 12, 1993 and by the Cor.rnty by Resolution No. 317-93 adopted on March 30, 1993, as the same has been and may be amended from time to time. 6 003-4430-4s6 1/4/A M ERTCAS 415 "Redevelopment Projects" shall mean the particular community redevelopment projects undertaken by the Agency pllrsLlant to the Redevelopment Plan within the Redevelopment Area in accordance with the Act. inclr"rding the Series 2015 Redevelopment Project. "Registrar" shall mean the officer of the Agency or a bank or trust company appointed by the Agency, located within or withor.rt the State of Florida, who or which shall maintain the registration books of the Agency and be responsible fbr the transf-er and exchange of the Bonds. "Reserve Account Insurance Policy" shall mean the insurance policy, surety bond or other acceptable evidence of insurance, if any, deposited in the Debt Service Reserve Account in lieu of or in partial substitr-rtion for cash or securities on deposit therein. The issuer providing such insurance shall be rated, at the time of deposit in the Debt Service Reserve Account, in one of the two highest rating categories of Fitch Ratings Inc. or any sLlccessors thereof, Moody's Investors Service, Inc. or any successors thereof or Standard & Poor's Ratings Services or any sLrccessors thereol-. "Reserve Account Letter of Credit" shall mean the irrevocable, transferable letter of credit, if any, depositecl in the Debt Service Reserve Account in lieu of or in partial sr.rbstitr-rtiqn tbr cash or securities on deposit therein. The issuer providing such letter of credit shall be rated, at the time of deposit into the Debt Service Reserve Account, in one of the two highest rating categories of Fitch Ratings Inc. or any sLlccessors thereot Moody's Investors Service, Inc. or any sLlccessors thereof or Standard & Poor's Ratings Services or any sLlccessors thereof. "Reserve Account Requirement" shall mean the least of (i) Maximum Annual Debt Service on all Bonds Outstanding, (ii) 125% of Average Annual Debt Service on all Bonds Outstanding, or (iii) 10% of the proceeds of the Bonds within the meaning of the Code. "Resolution" shall mean this Resolution as the same may from time to time be amended and supplemented in accordance with the terms hereof. "Secretary" shall mean the Secretary of the Agency. "serial Bonds" shall mean the Bonds of any Series w'hich shall be stated to mature in annual installments br-rt not inch-rding Term Bonds. "series" shall mean all of the Bonds authenticated and delivered on original issuance and pursuant to this Resolution or any supplemental resolution authorizing such Bonds as a separate Series of Bonds, or any Bonds thereafter authenticated and delivered in lieu of or in substitution for such Bonds pursuant to Article Ii hereof, regardless of variations in maturity, interest rate or other provisions. "series 2015 Bonds" shall mean the Bonds authorized to be issued urnder Section 201 of this Resolution. "series 2015 Redevelopment Project" shall mean the construction of certain public improvements rvithin the Redevelopment Area being flnanced w'ith proceeds of the Series 2015 Bonds and more particularly described in Exhibit A hereto. 00 t-4430 4561/4iAMERraAS 416 "State" sl-rall mean the State of Florida. "Taxable Bonds" shall mean Bonds the interest on which is not intended at the time of issuance thereof to be exclr.rded from gross income of the holders thereof for f'ederal income tax purposes. "Tax-Exempt Bonds" shall mean Bonds the interest on which is excludable from gross income of the holders thereof for federal income tax ptuposes. "Term Bonds" shall mean the Bonds of any Series which shall be stated to matllre on one date and tbr the amortization of r,vhich payments are reqllired to be made into the Bond Redemption Account in the Sinking Fund. ''Trust Fund" shall mean the City Center/Historic Convention Village Redevelopment and Revitalization Trust Fund established by Ordinance No. 93-2836 adopted by the City on Febrtrary 24, 1993 and by Ordinance No. 93-28 enacted by the County on April 27,1993 tn accordance with the Act. "Trust Fund Revenlres" shall mean the revenues derived from the Redevelopment Area and received by the Agency lbr deposit in the Trust Fund pLlrsuant to Section 163.387, Florida Statutes, as amended, Ordinance No. 93-2836 adopted by the City on February 24, 7993, as amended from time to time, including Ordinance No. 2014-3901 adopted by the City on November 8,2014, and Ordinance No. 93-28 enacted by the County on April 27, 1993, as amended tiom time to time, including Ordinance No. 14-133 enacted by the County on December 16,2014. "Underwriters" shall mean Morgan Stanley & Co. LLC, Wells Fargo Bank, National Association, Merrill Lynch, Pierce, Fenner & Smith Incorporated, Raymond James &. Associates, Inc. and Loop Capital Markets LLC. Words importing singular number shall include the plural number in each case and vice versa, and words importing persons shall include firms and corporations. Words that appear in this Resolution in lower case tbrm shall have the meanings ascribed to them in the definitions unless the context shall otherwise indicate. The'uvords "Bond", "Owner", "Holder" and "person" shall inch-rde the ph-rral as well as the singr.rlar number unless the context shall otherwise indicate. SECTION 102. AUTHORITY FOR THIS RESOLUTION. This Resolution is adopted pursuant to the provisions of the Act. SECTION 103. FINDINGS. The recitals to this Resolution are incorporated herein as findings. In addition, it is hereby ascertained, determined and declared that: (a) The Agency is authorized to receive, deposit and apply the Trust Fund Revenues pursuant to the Act. (b) It is necessary and desirable to issr:e the Series 2015 Bonds in order to refund the Outstanding Prior Bonds and finance the Series 2015 Redevelopment Project. 003 4430-4567/ 4 /AMERICAS 417 (c) The principal of and interest on the Bonds and all required sinking fi,rnd, reserve and other payments shall be payable solely from the Pledged Fr.rnds. None of the City, the County, or the State of Florida or any political sr,rbdivision thereof or goverrunental authority or body therein shall ever be required to levy ad valorem taxes to pay the principal of or interest on the Bonds or to make any of the sinking fund, reserve or other payments required by this Resolution or the Bonds, and the Bonds shall not constitute indebtedness of the Agency, the City, the Cor.rnty, the State or any political subdivision thereof r,vithin the meaning of any constitutional, statutory or other provision or limitation or a lien upon any property owned by or situated within the corporate territory of the Agency or the City, except as provided herein with respect to the Pledged F unds. SECTION 104. RESOLUTION CONSTITUTES CONTRACT. In consideration of the acceptance of the Bonds authorized to be issued hereunder by those who shall own the same tiom time to time, this Resolr.rtion shall be deemed to be and shall constitute a contract between the Agency and such Bondholders, and the covenants and agreements herein set forth to be performed by the Agency shall be fbr the equal benefit, protection and security of the owners of any and all of such Bonds, all of which shall be of equal rank and r,vithout preference, priority, or distinction of any of the Bonds over any other thereof except as expressly provided therein and herein. IEND OF ARTICLE I] oo3 -4 430 -4 55 | / 4 /AM E R rCAS 418 ARTICLE II AUTHORIZATION, TERMS, EXECUTION AND REGISTRATION OF BONDS SECTION 201. AUTHORIZATION OF THE SEzuES 2015 BONDS. Subject and plrrsllant to the provisions of this Resolr"rtion, one or more Series of Bonds of the Agency to be knor,vn as Tax Increment Revenue Bonds, Series (City Center/Historic Convention Village) (the "Series 2015 Bonds"), or such other designation as shall be set forth in the Chairperson's Certiflcate, are hereby authorized to be issued in an aggregate principal amount not to exceed Four Hundred Thirty Million Dollars (S430,000,000), for the purpose of providing funds, together with any other available moneys, to retund the Outstanding Prior Bonds, to flnance the Series 2015 Redevelopment Project, to tirnd the Debt Service Reserve Account and to pay costs of issuance of the Series 2015 Bonds, which Bonds may be issued all at one time or from time to time, and designated as to Series, as shall be determined by the Executive Director, after consultation with the Chief Financial Otficer and the Financial Advisor, and set forlh in the Chairperson's Cerliflcate. The retirnding of the Outstanding Prior Bonds and the financing of the Series 2015 Redevelopment Project and its accluisition is hereby authorized. Subject to the limitations contained herein, the Series 2015 Bonds shall be issued in such aggregate principal amolrnt, shall be dated, shall mature on such dates and in such years, but not later than March 31, 2044, and in such amounts, shall be issr.red as Tax-Exempt Bonds or Taxable Bonds or a combination thereot, shall be in the form of Serial Bonds or Term Bonds or a combination thereof, shall have such Interest Payment Dates, shall bear interest at such f-rxed rates not to exceed the maximum rate permitted by law, shall have such Amortization Requirements, if any, and shall be subject to redemption at such times and at such prices, all as shall be determined by the Executive Director, after consultation with the Chief Financial Officer and the Financial Advisor, and set forth in the Chairperson's Certificate. The Commission hereby appoints U.S. Bank National Association as Registrar and Paying Agent for the Series 2015 Bonds. If the Executive Director determines, in reliance upon the recommendations of the Chief Financial Officer and the Financial Advisor. that there is an economic benefit to the Agency to secLlre and pay for a Credit Facility and/or a Reserve Account Insurance Policy with respect to all or a porlion of the Series 2015 Bonds, the Executive Director is authorized to secure a Credit Facility and/or a Reserve Account Insurance Policy with respect to all or a portion of the Series 2015 Bonds. The Executive Director is authorized to provide for the payment of any premiums fbr such Credit Facility and/or Reserve Account lnsurance Policy from the proceeds of the Series 2015 Bonds. The Chairperson is authorized, afler consultation with the General Counsel. to enter into, exectite and deliver such agreements as may be necessary to secure such Credit Facility and/or Reserve Account Insurance Policy, the execution and delivery by the Chairperson of any such agreements for and on behalf of the Agency to be conclusive evidence of the Agency's approval of securing such Credit Facility and/or Reserve Account Insurance Policy and of sr,rch agreements. Any agreements with any providers of a Credit Facility and/or Reserve Account Insurance Policy shall supplement and be in addition to the provisions of this Resolution. oo3-443o-4s6tt 4 I AM ERTCAS l0 419 The Commission hereby approves the distribution of copies of the Preliminary Olhcial Statement with respect to the Series 2015 Bonds (the "Preliminary Official Statement") in substantiaily the form presented at this meeting, subject to such changes, modihcations. insertions and omissions and such filling-in of blanks therein as may be approved by the Executive Director, after consultation with the Chiel Financial Officer and the General Counsel. The Chairperson or his designee, after consultation with the Chief Financial Officer and the General Counsel, is hereby authorized to deem the Preliminary Official Statement "final" for pLuposes of Securities and Exchange Commission RLrle 1 5c2-12 (the "Rule") and to execute any certificates in connection with such finding. The Chairperson and the Executive Director are hereby authorized to execute the Offlcial Statement r,vith respect to the Series 2015 Bonds (the "Of1-rcial Statement") on behalf of the Agency, in substantially the form of the Preliminary Official Statement presented at this meeting with such changes, modifications, insertions and omissions and such filling-in of blanks therein as shall be necessary to evidence the terms of the Series 2015 Bonds or as may be approved by the Executive Director, with sr,rch execution to constitute conclusive evidence of the Agency's approval of the Preliminary Official Statement and the Offlcial Statement. The use of the Preliminary Official Statement and the Official Statement in the marketing and sale of the Series 2015 Bonds is hereby approved. For the reasons stated in the recitals to this Resolution, the negotiated sale of the Series 2015 Bonds to the Underwriters is hereby authorized at a purchase price (not including original issue premium or original issue discount) of not less than99oh of the aggregate principal amount of the Series 2015 Bonds (the "Minimum Purchase Price") and at a true interest cost rate ("TIC") not to exceed 6.50% (the "Maximum TIC"). The Executive Director, after consultation with the Chief Financial Offlcer and the Financial Advisor, is hereby authorized to award the Series 2015 Bonds to the Underwriters at a purchase price of not less than the Minimum Purchase Price and at a TIC not in excess of the Maximum TIC. The Chairperson is hereby authorized to execute the Bond Purchase Agreement (the "Bond Purchase Agreement") for the purchase of the Series 2015 Bonds by the Underwriters, upon compliance by the Underwriters with any and all requirements of Florida Statutes, Section 218.385, in substantially the tbrm presented at this meeting, subject to such changes, modifications, insertions and omissions and such fiilin-e-in of blanks therein as may be necessary to evidence the terms of the Series 2015 Bonds or as may be approved by the Executive Director, after consultation with the Chief Financial Officer and the General Counsel. The execution and delivery of the Bond Purchase Agreement by the Chairyerson for and on behalf of the Agency shall be conclusive evidence of the Agency's acceptance of the Underwriters proposal to purchase the Series 2015 Bonds and approval of the Bond Purchase Agreement. The Chairperson is hereby authorized to execute and deliver two Escrow Deposit Agreements to provide for the defeasance, payment and, as applicable, redemption of the Or.rtstanding Prior Bonds (collectively, the "Escro'uv Deposit Agreements"), each with U.S. Bank National Association, 'uvhich is hereby appointed escro\,v agent thereunder (the "Escrow Agent"), in substantially the forms presented at this meeting, subject to such changes, modifications, insertions and omissions and such filling-in of blanks therein as may be determined and approved by the Executive Director, after consultation with the Chief Financial Officer and the General Counsel. To the extent provided in the E,scrow Deposit Agreements, the purchase of Defeasance Obligations (as defined in the Prior Bond Resolution) trom the proceeds of the Series 11 003-4430-456r/4/ AME R r CAS 420 2015 Bonds and any other available moneys in order to provide fbr the clet'easance, payment and, as applicable, redemption of the Outstanding Prior Bonds is hereby authorized and approved. The execution and delivery of the E,scrow Deposit Agreements by the Chairperson fbr and on behalf of the Agency shall be conclusive evidence of the Agency's approval of the redemption prior to maturity of any Outstanding Prior Bonds, the Escrow Deposit Agreements and the purchase of any such Defeasance Obligations. In accordance with the provisions of the Prior Bond Resolution, there is created pursuant to each of the Escrow Deposit Agreements a separate Escrow Deposit Trust Fund (as defined in each of the Escrow Deposit Agreements) to be held by the Escror,v Agent. for the deposit of proceeds of each such Series of Series 2015 Bonds and any other available moneys to be applied as provided in each of the Escrow Deposit Agreements. For the benefit of the holders and beneficial or,vners fiom time to time of the Series 2015 Bonds, the Agency agrees, in accordance with the Rule, to provide or calrse to be provided such annual financial information and operating data, frnancial statements and notices, in such manner, as may be required for purposes of paragraph (b)(5) of the Rule. In order to describe and specify cefiain terms of the Agency's continuing disclosure agreement, the Executive Director is hereby authorized and directed to enter into, execute and deliver, in the name and on behalf of the Agency, a Disclosure Dissemination Agent Agreement (the "Continuing Disclosure Agreement") with Digital Assurance Cerlification, L.L.C., i,vhich is hereby appointed as disclosure dissemination agent with respect to the Series 2015 Bonds, in substantially the form presented at this meeting, subject to such changes, modifications, insertions and omissions and such filling-in of blanks therein as may be determined and approved by the Executive Director, after consultation with the General Counsel. The execution and delivery of the Continuing Disclosure Agreement by the Executive Director for and on behalf of the Agency shall be conclusive evidence of the Agency's approval of the Continuing Disclosure Agreement. Notwithstanding any other provisions of this Resolution, any failure by the Agency or the City to comply with any provisions of the Continuing Disclosure Agreement shall not constitute a default under this Resolution and the remedies therefor shall be solely as provided in the Continuing Disclosure Agreement. The Executive Director is further authorized and directed to establish, or cause to be established, procedures in order to ensure compliance by the Agency with the Continuing Disclosure Agreement, including the timely provision of information and notices. Prior to making any filing in accordance with snch agreement, the Executive Director may consult with, as appropriate, the General Counsel or the Agency's disclosure counsel. The Executive Director, acting in the name and on behalf of the Agency, shall be entitled to rely upon any legal advice provided by General Counsel of the Agency or the Agency's disclosure counsel in determining whether a filing should be made. SECTION 202. DESCRIPTION OF BONDS. Unless otherwise specified by the Agency in subsequent proceedings, any Bonds issued pursuant to this Resolution shall be issued in fully registered tbrm and, if the Registrar issues notice of the availability of exchanging registered Bonds fbr coupon Bonds, in coupon fbrm. If the Registrar receives an opinion of counsel of recognized standing in the t-reld of la'uv relating to municipal bonds to the effect that the issuance of any of the Bonds in coupon form will not adversely affect the exclusion from gross income for 003-443o-4s6u 4/AM E RICAS 12 421 f'ederal income tax plrrposes of the interest on any Tax-Exempt Bonds, the Registrar may, at the r.vritten direction of the Agency, mail notice to the registered ovvners of the Bonds of the availability o1'exchanging registered Bonds fbr cor.rpon Bonds. Registered Bonds may then be exchanged for an equal aggregate principai amount of coupon Bonds of the same Series and maturity of any authorized denomination and coupon Bonds may be exchanged for an equal aggregate principal amoLrnt in the manner provided in this Resolution. Unless otherwise specified by the Agency in subsequent proceedings, the Bonds of a Series shall be dated as set forth in a Chairperson's Cerlificate as to the Series 2015 Bonds and pursuant to subsequent resoh-rtion of the Agency as to the issuance of any other Series of Bonds; shall be payable in any coin or currency of the United States of America that is legal tender at the time of such payment; shall bear interest from their date at a fixed rate not exceeding the legal rate per annrrm. with interest paid to the registered Holder thereof on each Interest Payment Date by the Paying Agent at the address shor,vn on the registration books of the Agency (held by the Registrar) at the close of business on the 15th day of the calendar month preceding an Interest Payment Date or any other clate with respect to any Series of Bonds as may be determined pursuant to subsequent resolution of the Agency (in each case a "Regular Record Date"); shall be in denominations of $5,000 or any ir-rtegral multiples thereof as to the Series 2015 Bonds and as determined pursuant to subsequent resolution of the Agency relating to the issuance of any other Series of Bonds; and shail mature on such dates, in such years and in such amounts, as set forlh in a Chairperson's Certificate as to the Series 2015 Bonds and as provided for pursuant to subsequent resolution of the Agency relating to any other Series of Bonds. Notwithstanding anything in this paragraph to the contrary, any interest not punctually paid on an Interest Payment Date shall forthwith cease to be payable to the registered Holder on the Regular Record Date and may be paid to the registered Holder as of the close of business on a special record date for the payment of such defaulted interest to be fixed by the Paying Agent, notice of which shall be given not less than 10 days prior to such special record date to the registered Holders. The principal of and redemption premium, if any, on the Bonds shall be payable upon presentation and stirrender at the designated office of the Paying Agent. Interest on the Bonds shall be paid by check or drafi drawn upon the Paying Agent and mailed to the registered owners of the Bonds on each Interest Payment Date: provided, however, that (i) if ownership of Bonds is maintained in a book-entry only system by a securities depository, such payment may be made by automatic funds transfer to the securities depository or its nominee or (ii) if such Bonds are not maintained in a book-entry only system by a securities depository, upon written recluest of the Holder of $ 1,000,000 or more in principal amount of Bonds, such payments may be made by r,vire transfer to the bank and bank account specified in r.vriting by such Holder (such bank being a bank lvithin the continental United States), if such Holder has advanced to the Paying Agent the amount necessary to pay the cost of such r,vire transfer or authorized the Paying Agent to deduct the cost of sr-rch wire transfer from the payment due to such Holder. SECTION 203. REDEMPTION PROVISIONS. The Bonds of each Series, other than the Series 2015 Bonds, may be subject to redemption prior to maturity at such times, at such redemption prices and upon such terms in addition to the terms contained in this Resolution as may be determined pursuant to subsequent resolutions of the Agency, which subsecluent resolutions may contain dilferent redemption notice provisions than those contained in this t3 003-4 410-4561- / 4 lA M ERTCAS 422 Resohrtion. The reclemption provisions lor the Series 2015 Bonds shall be established in the manner described in the second paragraph of Section 201 of this Resolution. Notice of redemption for Bonds being redeemed shall be given by deposit in the U.S. mails of a copy of a redemption notice, postage prepaid, at least thirty (30) and not more than sixty (60) days before the redemption date to all registered owners of the Bonds or portions of the Bonds to be redeemed at their addresses as they appear on the registration books to be maintained in accordance with the provisions hereof'. Failure to mail any such notice to a registered owner of a Bond, or any defect therein, shall not affect the validity of the proceedings fbr redemption of any Bond or portion thereof with respect to which no failure or defect occurred. Such notice shall set forth the date fixed fbr redemption, the rate of interest borne by each Bond being redeemed, the date of publication, if any, ol a notice of redemption, the name and address of tl-re Registrar and Paying Agent, the redemption price to be paid and, if less than all of the Bonds then outstanding shall be called for redemption, the distinctive numbers and letters, inclr.rding CUSIP numbers, if any, of such Bonds to be redeemed and, in the case of Bonds to be redeemed in part only, the portion of the principal arnount thereof to be redeemed. If any Bond is to be redeemed in pafi only, the notice of redemption which relates to such Bond shall also state tl-rat on or atter the redemption date, upon slrrrender of such Bond, a new Bond or Bonds in a principal amount equal to the unredeemed portion of such Bond will be issued. Any notice mailed as provided in this Section shall be conclusively presumed to have been duly given, whether or not the owner of such Bond receives such notice. In the case of an optional redemption of Bonds, the redemption notice may state that (a) it is conditioned upon the deposit of moneys with the Paying Agent or with a bank, trust company or other appropriate fidr.rciary institution acting as escrow agent (the "escrow agent"), in amounts necessary to effect the redemption, no later than the redemption date, or (b) the Agency retains the right to rescind such notice on or prior to the schedr-rled redemption date (in either case, a "Conditional Redemption"), and such notice and optional redemption shall be of no effect if such moneys are not so deposited or if the notice is rescinded as described in this Section. Any such notice of Conditional Redemption shall be captioned "Conditional Notice of Redemption." Any Conditional Redemption may be rescinded at any time prior to the redemption date if the Agency delivers a written direction to the Registrar directing the Registrar to rescind the redemption notice. The Registrar shall give prompt notice of such rescission to the affected Bondholders. Any Bonds subject to Conditional Redemption where redemption has been rescinded shall remain Outstanding, and neither the rescission nor the failure by the Agency to make such moneys available shall constitute a default under this Resolution. Notice having been given in the manner and under the conditions described in this Section, and'uvith respect to a Conditional Redemption, the Conditional Redemption not having been rescinded, the Bonds or portions of Bonds so called for redemption shall, on the redemption date designated in such notice, become and be due and payable at the redemption price provided lor redemption for such Bonds or portions of Bonds on such date. On the date so designated for redemption, moneys for payment of the redemption price being held in separate accounts by the Paying Agent in trust for the registered owners of the Bonds or portions thereof to be redeemed, all as provided in this Resolution, interest on the Bonds or portions of Bonds so called for redemption shall cease to accrue, such Bonds and portions of Bonds shall cease to be entitled to any lien, benefit or security under this Resolution and shall be deemed paid hereunder, and the o03,4430-4s61/ 4 / AME Rr CAS 14 423 registered o\,vners of such Bonds or portions of Bonds shall have no right in respect thereof except to receive payment of the redemption price thereof and to receive Bonds for any unredeemed portions of the Bonds. SECTION 204. EXECUTION OF BONDS. The Bonds shall be executed in the name of the Agency by the Chairperson, and the seal of the Agency or a facsimile thereof shall be affixed thereto or imprinted or reproduced thereon and attested by the Secretary, either manually or with their facsimile signatures. In case any one or more of the officers who shall have signed or sealed any of the Bonds shall cease to be such officer before the Bonds so signed and sealed shall have been actually sold and delivered, sr-rch Bonds may nevertheless be sold and delivered as herein provided and may be issued as if the person who signed and sealed such Bonds had not ceased to hold sr-rch off-rce. Any Bond may be signed and sealed on behalf of the Agency by such person as at the actual time of the execution of such Bond shall hold the proper office, although at the date of such Bonds such person may' not have held such office or may not have been so authorized. The Bonds of each Series shall bear thereon a certificate of authentication, in the form set forth in Exhibit B hereto, executed manually by the Registrar. Only such Bonds as shall bear thereon such certif-rcate of authentication shall be entitled to any right or benefit under this Resolution and no Bond shall be valid or obligatory for any pllrpose until such certificate of authentication shall have been duly executed by the Registrar. Such certificate of the Registrar upon any Bond executed on behalf of the Agency shali be conclusive evidence that the Bond so authenticated has been duly authenticated and delivered under this Resolution and that the Holder thereof is entitled to the benefits of this Resolution. If the Bonds of a Series have been validated, the validation certificate on each of the Bonds of such Series shall be signed with the manual or facsimile signatures of the present or any future Chairperson, and the Agency may adopt and use for that pLlryose the manual or facsimile signature of any person who shall have been such Chairperson at any time on or after the date of the Bonds, notwithstanding that he may have ceased to be such Chairperson at the time when said Bonds shall be actually delivered. SECTION 205, NEGOTIABILITY, REGISTRATION AND CANCELLATION. At thc option of the registered Holder thereof and upon surrender thereof at the designated corporate trust oft-rce of the Registrarwith awritten instrument of transler satisfactory to the Registrar duly executed by the Holder or his duly authorized attorney and Lrpon payment by such Holder of any charges r.vhich the Registrar or the Agency may make as provided in this Section, the Bonds may be exchanged fbr Bonds of the same aggregate principal amount of the same Series and maturity of any other authorized denominations. The Registrar shall keep books for the registration of Bonds and for the registration of transfers of Bonds. The Bonds shall be transferable by the Holder thereof in person or by his attorney duly authorized in r.vriting only upon the books of the Agency kept by the Registrar and only upon surrender thereof together with a written instrument of transfer satisfactory to the Registrar duly executed by the Holder or his duly authorized attorney. Upon the transfer of any such Bond, the Agency shall cause to be issued in the name of the transferee a new Bond or Bonds. 003-4430-456 ri 4/AMER rCAS l5 424 The Agency, the Paying Agent and the Registrar may deem and treat the person in r,vhose name any Bond shall be registered Lrpon the books kept by the Registrar as the absolute Holder of such Bond, whether such Bond shall be overdue or not, for the pLlrpose of receiving payment ot, or on account ol the principal of, premium, if any, and interest on such Bond as the same becomes due and fbr all other purposes. All such payments so made to any such Holder or upon his order shall be valid and effectual to satisfy and discharge the liability npon such Bond to the extent of the sum or sllms so paid, and neither the Agency, the Paying Agent nor the Registrar shall be aff'ected by any notice to the contrary. In all cases in w'hich the privilege of exchanging Bonds or transferring Bonds is exercised, tl-re Agency shall execute and the Registrar shall authenticate and deliver Bor-rds in accordance r,vith the provisions of this Resolurtion. All Bonds surrendered in any such exchanges or transfers shall forthwith be delivered to the Registrar and cancelled by the Registrar in the manner provided in this Section. There shall be no charge for any such exchange or transfer of Bonds, br-rt the Agency or the Registrar may require the payment of a slrm sufficient to pay any tax, fee or other governmental charge required to be paid r,vith respect to such exchange or transf'er. Neither the Agency nor the Registrar shall be required (a) to transfer or exchange Bonds of any Series for a period of 15 days next preceding any selection of Bonds of such Series to be redeemed or thereafter urntil after the mailing of any notice of redemption; or (b) to transfer or exchange any Bonds of any Series called for redemption. All Bonds paid or redeemed, either at or before maturity shall be delivered to the Paying Agent when such payment or redemption is made, and such Bonds, together with all Bonds purchased by the Agency, shall thereupon be promptly cancelled. Bonds so cancelled may at any time be destroyed by the Paying Agent, r.vho shall execute a certification of destruction in duplicate by the signature of one of its authorized offlcers describing the Bonds so destroyed, and one executed certif-rcate shall be filed with the Agency and the other executed certificate shall be retained by the Paying Agent. SECTION 206. BONDS MUTILATED, DESTROYED, STOLEN OR LOST. In case any Bond shall become mutilated, destroyed, stolen or lost, the Agency may execute and the Registrar shall authenticate and deliver a ne\,v Bond of like Series, date, maturity, denomination and interest rate as the Bond so mutilated, destroyed, stolen or lost; provided that, in the case of any mutilated Bond, such mutilated Bond shall first be surrendered to the Agency and, in the case of any lost, stolen or destroyed Bond, there shall first be furnished to the Agency and the Registrar el,idence of such loss, theft. or destruction satisfactory to the Agency and the Registrar, together r,vith indemnity satisfactory to them. In the event any such Bond shall be about to mature or have matured or have been called for redemption, instead of issuing a duplicate Bond, the Agency may direct the Paying Agent to pay the same without surrender thereof. The Agency and Registrar may charge the Holder of such Bonds their reasonable fees and expenses in connection r,vith this transaction. Any Bond surrendered for replacement shall be cancelled in the same manner as provided in Section 205 hereof. Any such duplicate Bonds issued pursuant to this Section shall constitute additional contractnal obligations on the part of the Agency, whether or not the lost. stolen or destroyed Bonds be at an-v time found by anyone, and such duplicate Bonds shall be entitled to equal and oo3-4430-4561/ 4/ AM ERTCAS 16 425 proportionate benef-rts and rights as to lien on and source and security for payment from the Pledged Funds, with ali other Bonds issued hereunder. SECTION 207. PREPARATION OF DEFINITIVE BONDS; TEMPORARY BONDS. Unless otherwise specified by the Agency in subsequent proceedings, the definitive Bonds of each Series shall be lithographed, printed or typewritten. Until the definitive Bonds are prepared, the Chairperson and Executive Director may execute and the Registrar may authenticate, in the same manner as is provided in Section 204 hereof, and deliver, in lieu of definitive Bonds, br"rt subject to the same provisions, limitations and conditions as the definitive Bonds, one or more printed, lithographed or typer,vritten temporary fr"rlly registered Bonds, sr,rbstantially of the tenor of the definitive Bonds in lieu of r,vhich such temporary Bond or Bonds are issued, in ar.rthorized denominations or any whole mr.rltiples thereof, and with such omissions, inserlions and variations as may be appropriate to such temporary Bonds. The Agency at its own expense shall prepare, execnte and, upon the sunender at the designated corporate trust office of the Registrar of such temporary Bonds for which no payment or only partial payment has been provided, the Registrar shall authenticate and, without charge to the Holder thereof, deliver in exchange therefor, at the designated corporate trust office of the Registrar, dehnitive Bonds of the same aggregate principal amount, Series and maturity as the temporary Bonds surrendered. Until so exchanged, the temporary Bonds shall in all respects be entitled to the same benefits and security as definitive Bonds issued pursuant to this Resolution. SECTION 208. FORM OF BONDS. The text of the Bonds shall be of the tenor set forth in Exhibit B to this Resolr,rtion, with such omissions, insertions and variations as may be necessary and desirable and authorized or permitted by this Resolution or a Chairperson's Certiticate. SECTION 209. BOOK-ENTRY ONLY SYSTEM FOR THE BONDS; QUALIFICATION FOR THE DEPOSITORY TRUST COMPANY. The Series 2015 Bonds shall be issued, and any future Series of Bonds may be issued, as uncertificated securities throtrgh the book-entry only system maintained by The Depository Trust Company, New York, New York ("DTC") or, lvith respect to any Series of Bonds other than the Series 2015 Bonds, such other securities depository as may be selected by the Agency. The Agency, the Registrar and the Paying Agent are hereby authorized to take such actions as may be necessary to qualify the Bonds fbr deposit with DTC, including but not limited to those actions as may be set forth in a letter of representations with DTC, the execution and delivery of which with respect to the Series 2015 Bonds by the Chairperson or Executive Director of the Agency is hereby authorized. IEND OF ARTICLE II] 003-4430-4s6 ii 4/AM E RrCAS 17 426 ARTICLE III COVENANTS, FUNDS AND APPLICATION THEREOF SECTION 301. BONDS NOT TO BE INDEBTEDNESS OF THE AGENCY OR THE CITY. The Bonds shall not be and shall not constitute an indebtedness of the Agency, the City, the County, the State or any political subdivision thereof, within the meaning of any constitutional, statutory or charter provisions or limitations, or a pledge of the faith and credit of the Agency. the City, the Cor-rnty. the State or any political subdivision thereof, but shall be payable solely, as provided in this Resolr-rtion, fiom the Pledged Funds. No Holder or Holders of any Bonds issued hereunder shall ever have the right to compel the exercise of the ad valorem taxing po\,ver of the City, the Cor-rnty. the State or any political subdivision thereof or taxation in any form of any real or personal property therein, or the application of any funds of the Agency or the City, the County, the State or any political subdivision thereof to pay the Bonds or the interest thereon or the making of any sinking fund or reserve payments provided fbr herein other than the Pledged Funds as provided in this Resolution. SECTION 302. BONDS SECURED BY PLEDGE OF PLEDGED FUNDS. The payment of the principal of, interest and premium, if any, on all of the Bonds issued hereunder and any additional parity Bonds hereafter issued, as provided herein, shall be secured forthwith equally and ratably by a first lien on and pledge of the Pledged Funds. The Pledged Funds in an amount sufficient to pay the principal of and interest on the Bonds herein authorized and to make the payments into the Sinking Fund (hereinafter created and established) and all other payments provided for in this Resolution, as well as moneys held in the funds and accounts created under this Resolution (other than the Rebate Fund), are hereby irrevocably pledged to the payment of the principal of and interest on the Bonds authorized herein, and other payments provided for herein, as the same become due and payable. The Bonds and the obligation evidenced thereby shall not constitute a lien Ltpon any property owned by or situated within the corporate territory of the Agency or the City, but shall constitute a lien only on the Pledged Funds all in the manner provided in this Resolution. SECTION 303. APPLICATION OF BOND PROCEEDS; CONSTRUCTION FUND. (a) All moneys received by the Agency from the sale of the Series 2015 Bonds shall be disbr.rrsed as provided in a cerlificate of the Executive Director executed on the date of delivery of the Series 2015 Bonds, (b) All moneys received by the Agency from the sale of any Series of Bonds, other than the Series 2015 Bonds. shall be disbursed in accordance with the provisions of a subsequent resolution of the Agency relating to such Series of Bonds. (c) There is hereby created and established a special fund designated the "Miami Beach Redevelopment Agency Construction Fund (City Center/Historic Convention Village)" (hereinafter referred to as the "Construction Fund") to be held and administered by the Agency. There shall be created separate accounts within the Construction Fund for the deposit of proceeds of eacl, Series of Bonds and other available moneys to firnd Redevelopment Projects being 003 4430-456r/4/AMERTCAS l8 427 Iunded from proceecls of such Series of Bonds and other available moneys. Proceeds and other moneys on deposit in the Construction Fund shall be disbursed by the Agency to pay costs of the Redevelopment Project lor ',vhich the applicable Series of Bonds was issued. If for any reason the moneys in the Construction Fund, or any part thereof including any investment earnings on deposit therein, are not necessary for, or are not applied to the purposes provided for the applicable Series of Bonds, then such unapplied proceeds, upon certification of a duly ar-rthorized official of the Agency that such surplus proceeds are not needed for such purposes, shall be applied to the redemption or purchase or payment of principal of Outstanding Bonds. Moneys on deposit in the Construction Fund may be invested and reinvested by the Agency to the fullest extent practicable in Permitted Investments maturing not later than such date or dates on which such moneys shall be needed fbr the pLnposes of the Construction Fund. fhe earnings and investment income derived from the moneys and investments on deposit in the Construction Fund shall be deposited and maintained in the applicable account within the Construction Fund and used for the pllrposes thereof-. (d) Thc proceeds of the sale of the Bonds shall be and constitute trust funds for the purposes hereinabove provided and there is hereby created a lien upon such moneys, until so applied, in favor of the Holders of said Bonds. SECTION 304. COVENANTS OF THE AGENCY. The Agency hereby covenants and agrees with the Holders of any and all of the Bonds issuedpursuant to this Resolution as follows: A. TAX COVENANTS. (1) The Agency will not take any action or omit to take any action, which action or omission r,vould result in interest on the Tax-Exempt Bonds being includable in gross income of the holders thereof for t'ederal income tax purposes under the Code. Particularly, the Agency will not take any action or omit to take any action which would have caused any of the Tax-Exempt Bonds to be "arbitrage bonds" within the meaning of Section 148 of the Code. (2) The Agency shall comply'"vith the arbitrage rebate covenants as provided in Section 304(E) hereof, B. REDEVELOPMENT PLAN. The Agency r,vill carry out the purposes of the Redevelopment Plan r,vithin the Redevelopment Area all in accordance with the Act and r,vill take all such actions as are reqr-rired to carry out the full intent of the Redevelopment Plan. C. TRUST FLTND. As soon as the same are received by the Agency, all of the Trust Fund Revenues shall be forthr.vith deposited into the Trust Fund. The Trust Fund shall constitute a trust tund lor the purposes provided in this Resolution, shall be held by the Agency and shall be maintained separate and distinct from all other funds of the Agency and used only for the purposes and in the manner provided in this Resolttion and the Act. D. DISPOSITION OF TRUST FLND REVENUES. There is hereby created and established a special flind designated the ''Miami Beach Redevelopment Agency Sinking Fund (City Center/Historic Convention Village)" (hereinafter referred to as the "Sinking Fund"). 00 l-4430-4 56 r/4/AME R rCAS t9 428 There are also hereby created four (4) separate accoLlnts in the Sinking Fund to be known as the "lnterest AccoLrnt", the "Principal Account," the "Bond Redemption Account" and the "Debt Service Reserve Account". The Sinking Fund and the accounts therein shall be held and administered by the Agency. In each Fiscal Year, all Trust Fund Revenues deposited in the Trust Fund during such Fiscal Year shall be disposed of by the Agency only in the following manner: (1) Trust Fund Revenues shall first be used, to the full extent required, for deposit into the Interest Account in the Sinking Fund, immediately upon receipt of such Trust Fund Revenues, of such slrms as shall be suff-rcient to pay the interest becoming due on the Bonds during the current calendar year (or if such Trust Fund Revenues are deposited in the Trust Fund during the first quarter of such Fiscal Year, to pay the interest becoming due on the Bonds thror-rgh the end of the next succeeding calendar year); provided, however, that such deposit fbr interest shall not be required to be made into the Interest Account to the extent that money on deposit therein is sufficient for such purpose. The Agency shall, on the business day prior to each Interest Payment Date, transfer to the Paying Agent moneys in an amount equal to the interest due on such Interest Payment Date or shall advise the Paying Agent of the amount of any deficiency in the amount on deposit in the Interest Account so that the Paying Agent may give appropriate notice required to provide for the payment of such deficiency from any Reserve Account Insurance Policy or Reserve Account Letter of Credit on deposit in the Debt Service Reserve Account. (2) (a) Trust Fund Revenues shall next be used, to the full extent required. for deposit into the Principal Account in the Sinking Fund, immediately upon receipt of such Trust Fund Revenues, of such sums as shall be sufficient to pay the principal amount of Serial Bonds r,vhich will mature during the current calendar year (or if such Trust Fund Revenues are deposited in the Trust Fund during the first cluafter of such Fiscal Year, to pay the principai amount of Serial Bonds which will matr"rre through the end of the next sr-rcceeding calendar year); provided, however, that such deposit for principal shall not be required to be made into the Principal Account to the extent that money on deposit therein is sufficient for sr.tch pLlrpose. The Agency shall, on the business day prior to each principal payment date, transf'er to the Paying Agent moneys in an amount equal to the principal due on such principal payment date or shall advise the Paying Agent of the amount of any deficiency in the amount on deposit in the Principal Account so that the Paying Agent may give appropriate notice required to provide fbr the payment of such deficiency from any Reserve Account Insurance Policy or Reserve Account Letter of Credit on deposit in the Debt Service Reserve Account. (b) Trust Fund Revenues shall next be used, to the full extent required, for deposit into the Bond Redemption Account in the Sinking Fund, immediately upon receipt of such Trust Fund Revenues, of such Amortization Requirements as may be 003-4430-4561/4/AMERICAS 20 429 reqllired fbr the payment of the Term Bonds payable from the Bond Redemption Account during tire current calendar year (or if such Trr.rst Fund Revenues are deposited in the Trust Fund dr-rring the first quarter of such Fiscal Year, for the payment of the Term Bonds payable from the Bond Redemption Account through the end of the next succeeding calendar year). The moneys in the Bond Redemption Accotmt shall be used solely for the purchase or redemption of the Term Bonds payable therefrom. The Agency may at any time purchase any of said Term Bonds at prices not greater than the then redemption price of said Term Bonds. If the Term Bonds are not then redeemable, the Agency may purchase said Term Bonds at prices not greater than the redemption price of such Term Bonds on the next ensuing redemption date. The Agency shall be mandatorily obligated to use any moneys in the Bond Redemption Account for the redemption prior to maturity of such Terrn Bonds at such times as the same are subject to mandatory redemption. If, by the application of moneys in the Bond Redemptior-r Account, however, the Agency shall purchase or call for redemption in any year Term Bonds in excess of the Amortization Requirements for such year, such excess of Term Bonds so purchased or redeemed shall be credited in such manner and at such times as the Executive Director shall determine over the remaining payment dates. (3) Trust Fund Revenues shall next be used, to the full extent required, for deposit into the Debt Service Reserve Account, immediately Lrpon receipt of such Trust Fund Revenues, of the diff-erence between the amount on deposit in the Debt Service Reserve Account (including any Reserve Account Insurance Policy or Reserve Account Letter of Credit) and the Reserve Account Requirement for the Bonds Outstanding, and, provided further, that no payments shall be required to be made into the Debt Service Reserve Account w'henever and as long as the amount deposited therein (including any Reserve Account Insurance Policy or Reserve Account Letter of Credit) shall be equal to the Reserve Account Requirement fbr the Bonds Outstanding. Moneys in the Debt Service Reserve Account shall be used only for the purpose of making payments of principal of and interest on the Bonds when the moneys in the Fr-rnds and Accounts held pursuant to this Resolution and available for such pr-rrpose are insufhcient therefor. Any moneys in the Debt Service Reserve Account in excess of the Reserve Account Requirement for the Bonds Outstanding may, in the discretion of the Agency. be transferred to and deposited in the Interest Account, the Principal Account or the Bond Redemption Account as the Agency at its option may determine. Notw'ithstanding the tbregoing provisions, in lieu of or in substitute fbr the required deposits (including existing deposits therein) into the Debt Service Reserve Account, the Agency may cause to be deposited into the Debt Service Reserve Account a Reserve Account Insurance Policy or a Reserve Account Letter of Credit fbr the benefit of the Holders of the Bonds Outstanding, which Reserve Account Insurance Policy or Reserve Account Letter of Credit shall be payable or available to be drawn upon, as the case may be (upon the giving of notice as required thereunder). on any Interest Payment 003-4430-4561/4/AMERTCAS 21 430 Date on r,vhich a deficiency exists which cannot be cured by moneys in any other Fund or Account held pursuant to this Resolr.rtion and available for such purpose. If any such Reserve Account Insurance Policy or Reserve Account Letter of Credit is substituted for moneys on deposit in the Debt Service Reserve Account, the excess moneys in the Debt Service Reserve Account shall be transferred to and deposited in the Interest Account, the Principal Account or the Bond Redemption Acconnt as the Agency at its option may determine. If a disbursement is made under the Reserve Account Insurance Policy or the Reserve Account Letter of Credit, the Agency shall be obligated to either reinstate the maximum limits of such Reserve Account Insurance Policy or Reserve Account Letter of Credit following such disbursement or to deposit into the Debt Service Reserve Account tiom the Trust Fund Revenues, as herein provicled, funds in the amount of the disbursements made under such Reserve Account Insurance Policy or Reserve Account Letter of Credit, or a combination of such alternatives as shall equal the Reserve Account Requirement for the Bonds Outstanding. In the event tl-rat upon the occurrence of any deficiency in the Interest Account, the Principal Acconnt or the Bond Redemption Account, the Debt Service Reserve Account is then funded with one or more Reserve Account Insurance Policies and/or Reserve Account Letters of Credit, the Agency or the Paying Agent, as applicable, shall, on an interest or principal payment date or mandatory redemption date to which such deficiency relates, draw upon or caLlse to be paid under such facilities, on a pro-rata basis thereunder, an amount sufficient to remedy such deficiency, in accordance with the terms and provisions of such facilities and any corresponding reimbursement or other agreement governing such facilities; provided however, that if at the time of such deficiency the Debt Service Reserve Account is only partially funded with one or more Reserve Account Insurance Policies and/or Reserve Account Letters of Credit, prior to drawing on such facilities or causing payrnents to be made thereunder, the Agency shall first apply any cash and securities on deposit in the Debt Service Reserve Account to remedy the deficiency and, if after such application a deficiency still exists, the Agency or the Paying Agent, as applicable, shall make up the balance of the deficiency by drawing on such facilities or causing payments to be made thereunder, as provided in this paragraph. Amounts drawn or paid under a Reserve Account Insurance Policy or Reserve Account Letter of Credit shall be applied as set forth in the second paragraph of this Section 304(D)(3). Any amounts drawn or paid under a Reserve Account Insurance Policy or Reserve Account Letter of Credit shall be reimbursed to the issuer thereof in accordance ',vith the terms and provisions of the reimbursement or other agreement governing such tacility. The Debt Service Reserve Account shall be valued on the first day in each Fiscal Year and the value of securities on deposit therein shall be the lower of par, or if purchased at other than par, amortized value. Amortized value, r,vhen used with respect to securities purchased at a premium above or a discount below par, shall mean the value at any given date obtained by dividing the total premium or discount at r,vhich such securities r.vere purchased by the number of interest payment dates remaining to maturity on such securities after such purchase and by multiplying the amount so calculated by the number of interest payment dates having passed since the date of purchase; and (i) in the case of securities purchased at a premium, by dedr"rcting the product thus obtained from 003-4430-4561i4/AMERICAS 22 431 the purchase price, and (ii) in the case of securities purchased at a discot-tnt, by adding the product thus obtained to the purchase price. (4) Trust Fund Revenues shall next be used for the payment of any subordinated obligations hereafter issued by the Agency in accordance with Section 304(G) of this Resolution, which subordinate obligations shall have such lien on the Trust Fund Revenues as the Agency shall determine in the proceedings authorizing the issuance of such subordinated obligations. (5) Thereafter, the balance of any Trust Fund Revenues remaining in said Trust Fr"rnd shall, sr.rbject to Section 304(,4.), be used by the Agency fbr any lawful purposes, including payment of any f'ees and expenses of the Fiduciaries; provided, however, that none of such Trust Fund Revennes shall ever be r"rsed for the purposes provided in this paragraph (5) unless all payments required in paragraphs (1) tkough (4) above, including any deficiencies for prior payments and any amollnts due to the issuer of any Reserve Account Insurance Policy or Reserve Account Letter of Credit. have been made in fi.rll to the date of such use. Notwithstanding any.thing in Section 304(DXl) and (2) to the contrary, failure to make the scheduled payments specitied therein shall not constitute a breach of the Agency's obligations under this Resolution so long as, on the date that any interest or principal payment is due on the Bonds, monies sufficient to make such payment are on deposit in the Interest Account, Principal Account or the Bond Redemption Account, as the case may be. Notwithstanding the fbregoing or any other provision herein to the contrary, if any amount applied to the payment of principal of and premium, if any, and interest on the Bonds that i,vould have been paid [r'om an account in the Sinking Fund, is paid instead under a Credit Facility, amounts deposited in such relevant account may be paid, to the extent required, to the issuer of the Credit Facility having theretofore made said corresponding payment. E. REBATE FL[\D. There is hereby created and established the "Miami Beach Redevelopment Agency Rebate Fund (City Center/Historic Convention Village)" which fund shall be maintained by the Agency separate and aparl fiom all other funds and accounts of the Agency. Notwithstanding anlthing in this Resolution to the contrary, the Agency shall transfer or caLlse to be transferred from Pledged Funds to the Rebate Fund the amounts required to be transt-erred in order to comply with the arbitrage rebate covenants contained in a tax compliance certificate to be executed and delivered by the Agency in connection with the issuance of each Series of Tax-Exempt Bonds. 'I'he Agency shall make payments from the Rebate Fund of amounts required to be deposited therein to the United States of America in the amounts and at the times required by such arbitrage rebate covenants. The Agency covenants for the benefit of the Bondholders that it r,vill comply with the requirements of the arbitrage rebate covenants. There shall be excluded from the pledge and lien of this Resolution the Rebate Fund, together r.vith all moneys and securities from time to time held therein and all investment earnings derived therefrom. The Agency shall not be required to comply with the requirements of this Section 304(E) in the event that the Agency obtains an opinion of nationally recognized bond counsel that (i) such compliance is not required in order to maintain the exclusion from gross income for t'ederal income tax purposes of interest on Tax-Exempt Bonds and/or (ii) compliance r.vith some oo 3-44 30-456 r/4/AM E R ICA S 23 432 other requirement is necessary to maintain the exclusion from gross income lor federal income tax purposes of interest on Tax-Exempt Bonds. F. INVESTMENT OF FLTNDS. The Trust Fund, the Sinking Fund, including the Interest Account, Principal Account, Bond Redemption Account and Debt Service Reserve Account, and ail other special funds (other than the Rebate Fund) created and established by, or pursuant to, this Resolution shall constitute trust funds in favor of the Bondholders and shall be invested at the direction of the Agency as provided in this Section 304(F). Moneys on deposit in the Trust Fr-rnd, Interest Account, Principal Account and Bond Redemption Accolu-rt may' be invested at the direction of the Agency in Permitted Investments maturing not later than the dates on which such moneys r,vill be needed for the pllrposes of such firnd or account. Moneys on deposit in the Debt Service Reserve Account may be invested at the direction of the Agency in Permitted Investments maturing not later than the final maturity of any of the Bonds. All income and earnings received from the investment and reinvestment of moneys in the Interest Account, the Principal Account and the Bond Redemption Account in the Sinking Fund shall be retained in the respective accollnts and applied as a credit against the obligation of the Agency to transfer moneys to such accollnts pursuant to Section 304(DXl) and Section 304(DX2Xa) and Section 304(DX2Xb) of this Resolution, respectively. All income and earnings received from the investment and reinvestment of moneys in the Debt Service Reserve Account in the Sinking Fund shall be retained in the Debt Service Reserve Account and applied as a credit against the obligation of the Agency and the City to transfer moneys to such accolrnt, unless the amount in such accolrnt shall exceed the Reserve Account Requirement. in i,vhich event such excess may be applied in the manner set forth for excess amounts in the Debt Service Reserve Account, as described in Section 30a@)(3). For the pllrpose of investing or reinvesting, the Agency may commingle moneys in the funds and accounts created and established hereunder (other than the Rebate Fund) in order to achieve greater investment income; provided that the Agency shall separately account lor the amounts so commingled. The amounts required to be accounted fbr in each of the funds and accounts designated herein (other than the Rebate Fund) may be deposited in a single bank account provided that adeqr-rate accounting procedures are maintained to reflect and control the restricted allocations of the amounts on deposit therein for the various purposes of such fr.rnds and accounts as herein provided. G. ISSUANCE OF OTFIER OBLIGATIONS PAYABLE OUT OF PLEDGED FLINDS. Except upon the conditions and in the manner provided herein, the Agency '"vill not issue any other obligations payable from the Pledged Funds, nor voluntarily create or cause to be created any debt, lien, pledge, assignment, encumbrance or any other charge having priority to or being on a parity with the lien of the Bonds issued pursuant to this Resolution and the interest thereon, upon any of the Pledged Funds; provided that the Agency may enter into agreements r,vith issuers of Credit Facilities which involve liens on Pledged Funds on a parity with that of the 001 44 l0-456 r/4/AMERtCAS 24 433 Series of Bonds or portiorr thereof which is supporled by such Credit Facilities solely with respect to any reimbursement obligations due such issuers which evidence amoLrnts equai to the scheduled stated principal (including, without limitation, Amortization Requirements) and interest due on the Series of Bonds or portion thereof r,vhich is supported by such Credit Facilities. Any other obligations, in addition to the Bonds authorized by this Resolution or additional parity Bonds issued under the terms, restrictions and conditions contained in this Resolution and obligations to issuers of Credit Facilities as described above, shall provide that sr.rch obligations are junior, inferior and subordinate in all respects to the Bonds issued pursuant to this Resolution as to lien on and sollrce and security for payment from the Pledged Funds and in all other respects. Nothing in this Resolution shall be deemed to prohibit the Agency from entering into cLlrrency swaps or other arrangements fbr hedging interest rates on any indebtedness. H. ISSUANCE OF ADDITIONAL PARITY BONDS. No additional parity Bonds, as in this subsection defined, payable on a parity r,vith Bonds issued pursuant to this Resolution out of Pledged Funds, including, without limitation, Trust Fund Revenues, shall be issued after the issuance of any Bonds pursuant to this Resolution unless the follor,ving, among other conditions, are complied with: (1) The Agency must be current in all deposits into the various funds and accorints and all payments theretofore required to have been deposited or made by it under the provisions of this Resolution and the Agency must be currently in compliance with the covenants and provisions of this Resolution and any supplemental resolution hereafter adopted for the issuance of additional parity Bonds; unless upon the issuance of such additional parity Bonds the Agency r,vill be in compliance with all such covenants and provisions. (2) The aggregate of the Trust Fund Revenues (not including any porlion thereof which may be attributable to investment earnings) received by the Agency during the immediately preceding Fiscal Year were at least equal to one hundred fifty percent (150%) of the Maximum Annual Debt Service on (1) the Bonds originally issued plrrsllant to this Resolution and then Outstanding, (2) any additional parity Bonds theretofbre issued and then Outstanding, and (3) the additional parity Bonds then proposed to be issued. (3) The Agency need not comply with subparagraph (2) of this paragraph in the issuance of additional parity Bonds if and to the extent the Bonds to be issued are refunding Bonds, that is, delivered in lieu of or in substitution for Bonds originally issued under this Resolution or previously issued additional parity Bonds, if the Agency shall callse to be delil'ered a cerlit-rcate of the Executive Director of the Agency setting forth (i) the Maximum Annual Debt Service (A) r.vith respect to the Bonds of all Series Outstanding immediately prior to the date of authentication and delivery of such refunding Bonds. and (B) with respect to the Bonds of all Series to be Outstanding immediately thereafter, and (ii) that the Maximum Annual Debt Service set fbrth pLlrsLlant to (B) above is no greater than that set fbrth pursuant to (A) above. 001-44 l0-4 56 r/4/AM ER rCAS 25 434 Simr"rltaneously with the delivery of any Bonds issued pursuant to subparagraphs (2) and (3) above for the plrlpose of retundin-q any Bonds issued under this Resolution, the Agency may withdraw from the Sinking Fund amounts theretofore deposited which are allocable to the Bonds being refunded and shall transfer said amounts in accordance with the resolution providing tbr the issuance of the retunding Bonds, provided that after sr-rch withdrar.val the Agency shall be in compliance with the provisions of this Resolution. The term "additional parity Bonds" as used in this Resolr.rtion shall be deemed to mean additional obligations evidenced by Bonds issued upon the provisions and within the limitations of this sr"rbsection to flnance Redevelopment Projects payable from the Pledged Funds on a parity with Bonds originally authorized and issued purslrant to this Resolution. Such Bonds shall be deerned to have been issued pursuant to this Resolution the same as the Bonds originally ar-rthorized and issued pllrsLrant to this Resolution and all of the covenants and other provisions of this Resoh-rtion (except as to details of sr.rch Bonds evidencing such additional parity obligations inconsistent therer,vith) shall be tbr the equal beneflt, protection and security of the Holders of any Bonds originally authorized and issued pursuant to this Resolution and the Holders of any Bonds evidencing additional obligations subsequently issued within the limitations of and in compliance with this subsection. All of such Bonds, regardless of the time or times of their issuance shall rank equally with respect to their lien on the Pledged Funds and their sources and security for payment therefiom r,vithout preference of any Bonds over any other. The term "additional parity Bonds" as used in this Resolution shall not be deemed to include bonds, notes, certificates or other obligations subsequently issued in accordance with this Resolution, the lien of which on the Pledged Funds is subject to the prior and superior lien on the Pledged Fr-rnds of Bonds and the Agency shall not issue any obligations lvhatsoever payable from the Pledged Funds. which rank equally as to lien and solrrce and security for their payment from such Pledged Funds with Bonds except in the manner and under the conditions provided in subsection (G) above and this subsection. I. BOOKS AND RECORDS. The Agency will keep separately identifiable accor,rnting records for the receipt of the Trust Fund Revenues by the use of a fund established in accordance ,uvith generally accepted accounting principles, and any Holder of a Bond or Bonds issued pursuant to this Resolution, shall have the right at all reasonable times to inspect all records, accounts and data of the Agency relating thereto. The Agency shall promptly after the close of each Fiscal Year callse the books, records and accounts relating to the Trust Fund Revenues for such Fiscal Year to be properly audited by a qualified, recognized and nationally knor,vn independent firm of certitled public accountants and shall file the report of such certifled public accountants in the oft'ice of the Executive Director, and shall mail upon reqllest, and make available generally, said report, or a reasonable slrmmary thereof, to any Holder or Holders of Bonds issued plrrsllant to this Resolution. Such audited books, records and accolrnts shall contain the statements required by generally accepted accounting principles applicable to governmental entities, and a certificate of such certified public accountants disclosing any breach on the pafi of the Agency of any covenant herein. 00 3-44 30-4 56 1/4 /AME R rCAS 26 435 J. NO IMPAIRMEN'| OF CONTRACT. The Agency has full po\,ver and authority to irrevocably pleclge the Pleclgecl Fr,rncls to the payment of the principal of and interest on the Bonds. The pledge of sr-rch Pledged Funds, in the manner provided herein. shall not be subject to repeal, modification or in-rpairrnent by any subsequent resolution, ordinance or other proceedings of the Agency so long as any Bonds are Outstanding hereunder. The Agency shall take all actions necessary and pursue such legal remedies which may be available to it either in lar,v or in eqLrity to prevent or cure any impairment by any entity other than the Agency r.vithin the meaning o f this subsection. K. REMEDIES. Any Holder of Bonds issued under the provisions of this Resolution may either at lar,v or in eqr-rity, by suit, action, mandamus or other proceedings in any court of competent jurisdiction, protect and entbrce any and all rights under the laws of the State or granted and contained in this Resolution, and may enfbrce and compel the performance of all dr"rties required by this Resolution or by any applicable statr-rtes, including the Act, to be performed by the Agency or by any ofllcer thereot-. Nothing herein, however, shall be construed to grant any Holder of such Bonds any lien on any property of the Agency, except as provided herein. No Holder of Bonds, holvever, shall have any right in any manner r,vhatever to affect adversely, or prejr.rdice the security of this Resolution or to express any right hereunder except in the manner herein provided. and all proceedings at law or in equity shall be instituted and maintained for the benefit of all Holders ol Bonds. L. ENFORCEMENT OF COLLECTIONS. The Agency will diligently enforce and collect the Trust Fr.rnd Revenues and will take all steps, actions and proceedings for the enforcement and collection of such Trust Furnd Revenues to the full extent permitted or authorized by applicable laws, including the Act. All Trust Fund Revenues shall as collected be held in trust to be applied as herein provided and not otherwise. M. DISCHARGE AND SATISFACTION OF BONDS. The covenants, liens and pledges entered into, created or imposed pursuant to this Resolution may be fully discharged and satisfied with respect to all or a portion of the Bonds in any one or more of the following ways: (1) by paying the principal of and interest on such Bonds when the same shall become due and payable; or (2) by depositing in the Interest Account, the Principal Account and the Bond Redemption Account and/or in such other accounts which are irrevocably pledged to the payment of Bonds as the Agency may hereafter create and establish, cefiain moneys r,vhich together with other moneys lawfully available therefor, if any, shall be sufficient at the time of such deposit to pay when due the principal, redemption premium, if any, and interest due and to become due on said Bonds on or prior to the redemption date or maturity date thereof; or (3) by depositing in the Interest Account, the Principal Account and the Bond Redemption Account and/or such other accounts r,vhich are irrevocably pledged to the payment of Bonds as the Agency may hereafter create and establish, moneys which together with other moneys lawtully available therefor when invested in such Defeasance Obligations rvhich shall not be sr"rbject to redemption prior to their maturity other than at 003-4430-456 1/4/AlvlERlCAS 27 436 the option of the Holder thereof, will provide moneys which shall be sr"rffrcient to pay 'uvhen due the principal, redemption premium, if any, and interest due and to become due on said Bonds on or prior to the redernption date or maturity date thereof. Upon such payment or deposit in the amount and manner provided in this Section 304(M), Bonds shall be deemed to be paid and shall no longer be deemed to be Outstanding for the purposes of this Resolr,rtion and all liability of the Agency with respect to said Bonds shall cease, terminate and be completely discharged and extinguished, and the Holders thereof shali be entitled to payment solely out of the moneys or securities so deposited; provided that (i) in connection with any discharge and satisfaction pllrsLrant to subsection (2) or (3) above, the Agency shall concurrently with such deposit deliver (A) an opinion of nationally recognized bond counsel to the effect that interest on the Bonds being discharged will not, by reason of such discharge, become inclr.rdable in gross income tbr federal income tax purposes and that such Bonds have been discharged in accordance r,vith the provisior-rs of this Section, and (B) an accountant's veriflcation report showing the sr.rfficiency of such moneys and/or Defeasance Obligations to provide tbr the payment of said Bonds, and (ii) in the event said Bonds do not mature and are not to be redeemed within the next succeeding sixty (60) days, the Agency shall have given the Registrar irrevocable instructions to give, as soon as practicable, a notice to the Holders of said Bonds by first-class mail, postage prepaid, stating that the deposit of said moneys or Defeasance Obligations has been made with an appropriate fidr.rciary institution acting as escrow agent solely for the Holders of said Bond and other Bonds being defeased, and that said Bonds are deemed to have been paid in accordance with this Section and stating such maturity or redemption date upon r.vhich moneys are to be available fbr the payment of the principal of and premium, if any, and interest on said Bonds. (4) Notwithstanding the foregoing, all references to the discharge and satisfaction of Bonds shall include the discharge and satisfaction of any issue of Bonds, any portion of an issue of Bonds, any maturity or maturities of an issue of Bonds, any portion of a maturity of an issue of Bonds or any combination thereof. (5) If any portion of the moneys deposited fbr the payment of the principal of and redemption premium, if any, and interest on any portion of Bonds is not required for such purpose, the Agency may use the amount of such excess free and clear of any trust, lien, security interest, pledge or assignment securing said Bonds or otherwise existing under this Resolution. In the event that the principal and redemption price, if applicable, and interest due on the Bonds shall be paid by the issuer of a Credit Facility pursuant to the terms thereof, the assignment and pledge created hereunder and all covenants, agreements and other obligations of the Agency to the Bondholders shall continue to exist and the issuer of such Credit Facility shall be subrogated to the rights of such Bondholders. N. CONCERNING THE RESERVE ACCOL]NT INSURANCE POLICY, THE RESERVE ACCOUNT LETTER OF CREDIT AND/OR CREDIT FACILITY. As long as the Agency shall have a Reserve Account lnsurance Policy and/or a Reserl'e Account Letter of 00 3-4430-4 56 1/4/AM ERI CAS 28 437 Credit on deposit in the Debt Service Reserve Account, the Agency covenants that it wili comply with the provisions of the Reserve Account Insurance Policy and/or Reserve Account Letter of Credit and any reimbtusement or similar agreement with respect to any such Reserve Account Insurance Policy and/or Reserve Account Letter of Credit. As long as any Series of Bonds of the Agency are secured by a Credit Facility, (i) the Agency covenants to comply ',vith the requirements and conditions imposed on the Agency by the issuer of the Credit Facility and (ii) all rights hereunder gtanted to the Flolders of Bonds so secured shall be exercisable by the issuer of such Credit Facility in lier.r of the Holders of such Bonds. Notwithstanding anything in this Resolution to the contrary, the rights of any issuer of a Credit Facility created under this Resolution shall remain in full force and effect only so long as the applicable Credit Facility shall remain in efI'ect and the issuer of such Credit Facility shall not be in default in its payment obligations to the Holders of Bonds secured by such facility. IEND OF ARTICLE III] 001-4430-4s6u4/AMERTCAS 29 438 ARTICLE IV CONCITI{NING 1'l-lE FIDUCIARIES SECTION 401. ADDITIONAL PAYING AGENTS; APPOINTMENT AND ACCEPTANCE OF DUTIES. The Agency may at any time or from time to time appoint one or more other Paying Agents having the qualifications set tbrth in this Article IV for a successor Paying Agent; provided that nothing herein sl-rall prevent the Agency from appointing itself as the Paying Agent hereunder. Each Paying Agent shall signify its acceptance of the duties and obligations imposed upon it by this Resolution by executing and delivering to the Agency a written acceptance thereof. SECTION 402. RESPONSIBILITIES OF FIDUCIARIES. The recitals of facts herein and in the Bonds contained shall be taken as the statements of the Agency and no Fiduciary assumes any responsibility for the correctness of the same. No Fiduciary makes any representation as to the validity or suft-rciency of this Resolution or of any Bonds issued thereunder or as to the security afforded by this Resolution, and no Fiduciary shall incur any liability in respect thereof. The Registrar shall, hor,vever, be responsible for its representation contained in its certit-rcate of authentication of the Bonds. No Fiduciary shall be under any responsibility or duty' with respect to the application of any moneys paid by such Fiduciary in accordance with the provisions of this Resolution to or upon the order of the Agency or any other Fidr.rciary. No Fiduciary shall be under any obligation or duty to perform any act which would involve it in expense or liability or to institute or defend any suit in respect thereof, or to advance any of its own moneys, tmless properly indemnif-ied. No Fiduciary shall be liable in connection with the performance of its duties hereunder except for its o,uvn negligence, misconduct or default. SECTION 403. EVIDENCE ON WHICH FIDUCIARIES MAY ACT. (a) Each Fiduciary, upon receipt of any notice, resolution, request, consent, order, certificate, report, opinion, bond, or other paper or document furnished to it pursuant to any provision of this Resolution, shall examine such instrument to determine whether it conforms to the requirements of this Resoh-rtion and shall be protected in acting Llpon any such instrument believed by it to be genuine and to have been signed or presented by the proper party or parties. Each Fiduciary may reasonably consult with counsel, who may or may not be of counsel to the Agency, and the opinion of such counsel shall be full and complete authorization and protection in respect of any action taken or sr.rffered by it under this Resolution in good faith and in accordance therewith. (b) Whenever any Fiduciary shall deem it necessary or desirable that a matter be proved or established prior to taking or sr-rff'ering any action under this Resolution, such matter (unless other er,'idence in respect thereof be therein specifically prescribed) may be deemed to be conclusively proved and established by a certificate of the Chairperson, Executive Director or his designee, and such certihcate shall be full wanant for any action taken or suf-fered in good faith under the provisions of this Resolr.rtion upon the faith thereof; but in its discretion the Fiduciary may in lieu thereof accept other evidence of such fact or matter or may require such further or additional evidence as it mav deem reasonable. 30 003-4430-4s6 1/4/AM E RrCAS 439 (c) Except as otherwise expressly provided in this ResolLrtion, any reqLlest, order, notice or other direction required or permitted to be furnished pursuant to any provision thereof by the Agency to any F'idr-rciary shall be sufflciently executed in the name of the Agency by the Chairperson, Executive Director or designee of either of them. SECTION 404. COMPENSATION. 'Ihe Agency may agree with any Fiduciary to pay to such FidLrciary fiom time to time reasonable compensation for all services rendered r"rnder this Resolution, and also all reasonable expenses, charges, counsel lees and other disbursements, including those of its attorneys, agents and employees, incurred in and about the performance of their powers and duties under this Resolution. The Agency may also agree with any Fidr.rciary to indemnify any Fiduciary for any and all of its reasonable fees, costs and expenses resulting from any claim, liability or the like incurred in and about the performance of its powers and duties under this Resolution. SECTION 405. CERTAIN PERMITTED ACTS. Any Fiduciary, individually or otherwise, may become the owner of any Bonds, with the same rights it would have if it were not a Fiduciary. To the extent permitted by law, any Fiduciary may act as depositary for, and permit any of its olficers or directors to act as a member of, or in any other capacity with respect to, any committee fbrmed to protect the rights of Bondholders or to eff'ect or aid in any reorganization growing out of the enforcement of the Bonds or this Resolution, whether or not any such committee shall represent Holders of a majority in principal amount of the Bonds then Outstanding. SECTION 406. MERGER OR CONSOLIDATION. Any entity into which any Fiduciary may be merged or converled or with which it may be consolidated or any entity resulting from any merger, conversion or consolidation to r,vhich it shall be a party or any entity to which any Fidr"rciary may sell or transfer all or substantially all of its corporate trust business shall be a successor Fiduciary hereunder provided such entity shall be a bank or trust company organized under the laws of any state of the United States or a national banking association or shall be a successor entity to the Agency, if the Agency is acting as Fiduciary hereunder, shall be authorized by law to perform all duties imposed upon it by this Resolution, and shall be such sllccessor ',vithout the execution or filing of any paper or the performance of any further act. SECTION 407. ADOPTION OF AUTHENTICATION. In case any of the Bonds contemplated to be issued under this Resolution shall have been authenticated but not delivered, any sllccessor Registrar may adopt the certifrcate of authentication of any predecessor Registrar so authenticating such Bonds and deliver such Bonds so authenticated; and in case any of the said Bonds shall not have been authenticated, any successor Registrar may authenticate such Bonds in the name of the predecessor Registrar, or in the name of the successor Registrar, and in all such cases such certificate shall be fully effective. SECTION 408. RESIGNATION OR REMOVAL OF FIDUCIARY AND APPOINTMENT OF SUCCESSOR. Any Fidr.rciary may at any time resign and be discharged of the dr"rties and obligations created by this Resolution by giving at least 60 days' written notice to the issuer of a Credit Facility, the Agency', and the other Fiduciaries. Any Fiduciary may be removed at any time by an instrument fiied with such Fiduciary and the issuer of each Credit Facility and signed by the Chairperson, Executive Director or his designee. Any successor 00r-4430-456 1/4i ArvlER rCAS 31 440 Fidr:ciary shall be appointed by the Agency and shall be, if other than the Agency or its sllccessor entity, a bank or trust company organized under the laws of any state of the United States or a national banking association, r,villing and able to accept the ofllce on reasonable and customary terms and authorized by law to perform all the duties imposed upon it by this Resolution. The Agency shail notify the issuer of each Credit Facility of the appointment of any successor Fiduciary. In the event of the resignation or removal of any Fidr.rciary, such Fiduciary shall pay over, assign and deliver any moneys held by it as Fiduciary to its successor. SECTION 409. VACANCY. If at any time hereafter any Fiduciary shall resign, be removed, be dissolved, or otherlvise become incapable of acting, or if the bank or trust company acting as any Fiduciary shall be taken over by any governmental off-rcial, agency, department or board, the position of Fiduciary shall thereupon become vacant. If the position of such Fiduciary shall become vacant for any of the foregoing reasons or for any other reasons, the Agency shall appoint a successor Fiduciary. If no appointment of a successor Fiduciary shall be made pursuant to the foregoing provisions of this Section, the Holder of any Bond Outstanding hereunder or any retiring Fiduciary may apply to any court of competent jurisdiction to appoint a successor Fiduciary. Such court may thereupon, after such notice, if any, as such court may deem proper and prescribe, appoint a sllccessor Fiduciary. Any Fiduciary hereafter appointed, if not the Agency or its successor entity, shall be a bank or trust company authorized by law to exercise corporate trust powers and subject to examination by federal or state authority of good standing and having at the time of its appointment a combined capital and surplus aggregate not less than Fifty Million Dollars ($5o,ooo,ooo). IEND OF ARTICLE IV] 003,4430-4561/4i AM E RICAS 32 441 ARTICLE V EXECU'IION OF INSI'RUMENTS BY BONDHOLDERS AND PROOF OI-- OWNERSHIP OF BONDS SECTION 501. PROOF OF EXECUTION OF DOCUMENTS AND OWNERSHIP. (a) Any request, direction, consent or other instrument in writing required by this Resolr.rtion to be signed or executed by Bondholders may be in any number of concurrent instmments of similar tenor and may be signed or executed by such Bondholders in person or by their attorneys or le-eal representatives appointed by an instrument in writing. Proof of the execution of any sr"rch instrument and of the ownership of Bonds shall be suff,rcient for any purpose of this Resolution and shall be conclusive in favor of the Fiduciary with regard to any action taken by it under such instrument if made in the following manner: (l) The fact and date of the execution by any person of any such instrument may be proved by the verification of any officer in any jurisdiction who, by the laws thereof, has power to take affidavits within such jurisdiction, to the effect that such instrument was subscribed and sworn to before him, or by an affidavit of a r,vitness to such execution. Where such execution is in behalf of a person other than an individual, such verif-rcation shall also constitute sufficient approval of the authority of the signor thereof. (2) The ownership of Bonds shall be proved by the registration books required to be maintained pursuant to the provisions of this Resolution. Nothing contained in this Article shall be construed as limiting the Fiduciary to such proof-, it being intended that the Fiduciary may accept any other evidence of the matters herein stated which it may deem stifficient. (b) If the Agency shall solicit from the Holders any request, direction, consent or other instrument in writing required or permitted by this Resolution to be signed or executed by the Holders, the Agency may, at its option, fix in advance a record date tbr determination of Holders entitled to give each request, direction, consent or other instrument, but the Authority shall have no obligation to do so. If such a record date is fixed, such request, direction, consent or other instrument may be given before or after such record date, but only the Holders of record at the close of business on such record date shall be deemed to be Holders fbr the purposes of determining whether Holders of the requisite proportion of Bonds have authorized or agreed or consented to such request, direction, consent or other instrument, and for that purpose the Bonds shall be computed as of such record date. (c) Any request or consent of the Holder of any Bond shall bind every fr"rture Holder of the same Bond in respect of anything done by the Agency or any Fiduciary in pursuance of such request or consent. IEND OF ARTICLE V] oo3-4430-456 ri 4i AM E RICAS JJ 442 ARTICLE VI MISCELLANEOUS PROVISIONS SECTION601. MODII'ICATION OR AMENDMENT. Except as otherwise provided in the second paragraph hereof, no adverse material modiflcation or amendment of this Resolution, or of any resolution amendatory hereof or supplemental hereto, may be made without the consent in writing of (i) the Holders of more than fifty per centum (50%) in aggregate principal amount of the Bonds then Outstanding or (ii) in case less than all of the several Series of Bonds then Outstanding are aff'ected by the modification or amendment, the Holders of more than fifty per centum (50%) in aggregate principal amount of the Bonds of each Series so affected and Outstanding at the time such consent is given; provided, however, that no modification or amendment shall permit a change in the maturity of such Bonds or a reduction in the rate of interest thereon, or affecting the promise of the Agency to pay the principal of and interest on the Bonds, as the same mature or become due, from the Pledged Funds, or reduce the percentage of Holders of Bonds recl"rired above for such modification or amendment, withor-rt the consent of the Holders of allthe Bonds. For the pllrposes of this Section 601, to the extent any Series of Bonds is secured by a Credit Facility, then the consent of the issuer of the Credit Facility shall constitute the consent of the Holders of such Series. This Resolution may be amended, changed, modified and altered r,vithout the consent of the Holders of Bonds or any Credit Facility: (a) to cure any ambiguity or formal det-ect or omission in this Resolution or in any supplemental resolutions or to correct or supplement any provision contained herein which may be defective or inconsistent with any other provisions contained herein; or (b) to grant to or confer Lrpon the Bondholders any additional rights, remedies, powers, authority or security that may lawfully be granted to or conferred upon the Bondholders; or (c) to add to the conditions, limitations and restrictions on the issuance of Bonds under the provisions of this Resolution, other conditions, limitations and restrictions thereafter to be observed; or (d) to add to the covenants and agreements of the Agency in this Resolution other covenants and agreements thereafter to be observed by the Agency or to sttrrender any right or power herein reserved to or conferred upon the Agency; or (e) to qualify the Bonds or any of the Bonds for registration r.rnder the Securities Act of 1933. as amended, or the Securities Exchange Act of 1934, as amended; or (D to qualify this Resolution as an "indenture" under the Trust Indentr.rre Act of 1939. as amended; or 003-4430-4561/4/AMERTCAS 34 443 (g) to make such changes as n'ray be necessary to comply with the provisions of the Code relating to the exclusion of interest on Tax-Exempt Bonds from gross income thereunder: or (h) to make such changes as may evidence the interest herein of an issuer of a Credit Facility that secures any Series of Bonds. The Agency shall caLrse a notice of a proposed supplemental resolr"rtion requiring the consent of Bondholders to be mailed, postage prepaid, to all Holders of Bonds then Outstanding at their addresses as they appear on the registration books. Such notice shall briefly set forth the nature of the proposed supplemental resolr-rtion and shall state that a copy thereof is on file at the office of the Agency for inspection by all Bondholders. The Agency shall not, however, be subject to any liability to any Bondholder by reason of its failure to mail the notice recluired by this Section, and any such failure shall not affect the validity of such supplemental resolution when consented to or approved as provided in this Section. Whenever, at any time after the date of the maiiing of such notice, the Agency shall deliver to the Executive Director an instrument or instruments purporting to be executed by the Holders of at least a majority in aggregate principal amount of the Bonds then Outstanding, which instrument or instruments shall ref'er to the proposed supplemental resolutions described in such notice and shall specifically consent to and approve the adoption thereof, the Agency may adopt such supplemental resolutions in substantially such form without liability or responsibility to any Holder of any Bond, whether or not such Holder shall have consented thereto. It shall not be necessary for the consent of the Holders to approve the particular form of any proposed supplemental resolution, but it shall be suff-rcient if such consent shall approve the substance thereof . If the Holders of more than fifty per centum (50%) in aggregate principal amount of the Bonds of all Series afTected and Outstanding at the time of the adoption of such supplemental resolution shall have consented to and approved the adoption thereof as herein provided, no Holder shall have any right to object to the adoption of such supplemental resolution, or to object to any of the terms and provisions therein contained, or the operation thereof, or in any manner to cluestion the propriety of the adoption thereof, or to enjoin or restrain the Agency from adopting the same or from taking any action pursuant to the provisions thereof. The consent of the Holders of any additional Series of Bonds to be issued hereunder shall be deerned given if the undenvriters or initial Underwriters for resale consent in w'riting to such supplemental resolution and the nature of the amendment effected by such supplemental resolution is disclosed in the official statement or other offering document pursuant to which such additional Series of Bonds is otl'ered and sold to the public. SECTION 602. SEVERABILITY OF INVALID PROVISIONS. If any one or more of the covenants, agreements or provisions of this Resolution should be held contrary to any express provision of lar.v or contrary to the policy of express law, though not expressly prohibited, or against public policy, or shall for any reason r,vhatsoever be held invalid, then such covenants, agreements or provisions shall be null and void and shall be deemed separate from the 003-4430-4561/4/AMERtCAS 35 444 remaining covenants, agreements or provisions, and shall in no way aft'ect the validity of any of the other provisions of this Resolr"rtion or of the Bonds issued hereunder. SECTION 603. LNCLAIMED MONEY. Notwithstanding any provisions of this Resolution, any money held by any Fidr.rciary for the payment of the principal or redemption price of, or interest on, any Bonds and remaining unclaimed for five (5) years after the principal of all of the Bonds has become due and payable (whether at maturity or upon call for redemption), if such money were so held at such date, or five (5) years after the date of deposit of sr.rch money if deposited after such date when all of the Bonds became due and payable, shall be repaid to the Agency free from the provisions of this Resolution, and all liability of the Fiduciary with respect to such money shall thereupon cease. SECTION 604. PAYMENTS DUE ON SATURDAYS, SLTNDAYS AND HOLiDAYS. In any case r,vhere the date of maturity of interest on or principal of the Bonds or the date fixed for redemption of any Bonds shall be a Saturday, Sunday or a day on which any Paying Agent is required, or authorized or not prohibited, by lar,v (including executive orders) to close and is closed, then payn-rent of such interest or principal and any redemption premium need not be paid by the Paying Agent on such date but may be paid on the next succeeding business day on which the Paying Agent is open for business with the same force and effect as if paid on the date of maturity or the date fixed for redemption, and no interest shall accrue for the period after such date of maturity or redemption. SECTION 605. CONTROLLING LAW; MEMBERS OF GOVERNING BODY OF AGENCY NOT LIABLE. The provisions of this Resolution shall be governed by, and interpreted in accordance with, the lar,vs of the State, All covenants, stipulations, obligations and agreements of the Agency contained in this Resolution shall be deemed to be covenants, stipulations, obligations and agreements of the Agency to the full extent authorized by the Act and provided by the Constitution and laws of the State. No covenant, stipulation, obligation or agreement contained herein shall be deemed to be a covenant, stipulation, obligation or agreement of any present or future member, agent or employee of the Commission or the Agency in his individual capacity, and neither the members of the Commission nor any official executing the Bonds shall be liable personally on the Bonds or this Resolution or shall be subject to any personal liability or accountability by reason of the issuance or the execution by the Commission or such members thereof-. SECTION 606. FURTHER AUTHORIZATIONS. The Chairperson, the Executive Director and such other officers, employees and stafT members of the Agency as may be designated by the Chairperson and the Executive Director or either of them are each designated as agents of the Agency in connection with the issuance and delivery of the Bonds and are authorized and emporvered, collectively or individually, to take all action and steps and to execlite all instruments, documents and contracts on behalf of the Agency. that are necessarv or desirable in connection with the execution and delivery of the Bonds, and which are not inconsistent vl'ith the terms and provisions of this Resolution. SECTION 607. HEADINGS FOR CONVENIENCE ONLY. Any headings preceding the texts of the several articles and sections hereof shall be solely for convenience of reference 003-4430-456 i/4/ArvlE Rr CA5 36 445 and shall not constitute a part of this Resolution, nor shall they affect its meaning, construction or eft'ect. SECTION 608. TIME OF TAKING EFFECT. This Resolr-rtion shall take effect immediately upon its adoption. PASSED AND ADOPTED this _ day ,2015. Chairperson Attest: Secretary APPROVED AS TO FORM & LANGUAGE (__\ .& FBR EXECUTTON @1bz[5 Recjevelopment Aoreeiier.,i 6oi,ny.in", AAf Dote 003-4430-456 1/4/AM ERr CAS 1n)t 446 EXHIBIT A SERIES 2015 REDEVELOPMENT PROJECT L Renovation and expansion of the Miami Beach Convention Center to modernize and r-rpgrade the Convention Center facility and areas in the vicinity of the Convention Center. including but not limited to creation of a ner,v public park and related facilities, restoration of the Carl Fisher Clubhouse and Collins Canal seawall, and streetscape. landscape and other infrastructr-rre improvements. 2. Renovation of the Bass Museum to increase programmable space at the facility. 3. Improvements to 17tl' Street, Drexel Avenue, Pennsylvania Avenue and Meridian Avenue to enhance the pedestrian experience betr,veen the Miami Beach Convention Center and Lincoln Road. 4. Improvements to Lincoln Road from Washington Avenue to Lenox Avenue. 003-443D-4s6rl 4 IAMERTCAS A-1 447 EXHIBIT B BOND FORM No. R- LINITED STATES OF AMERICA STATE OF FLORIDA MIAMI BEACH REDEVELOPMENT AGENCY TAX INCREME,NT REVENUE BOND. SERIES (CITY CENTEzuFIISTORIC CONVENTION VILLAGE) Date of Interest Rate Maturity Date Oriqinal Issuance CUSIP REGISTERED OWNER: PRINCIPAL AMOT.TNT:DOLLARS KNOW ALL MEN BY THESE PRESENTS that the Miami Beach Redevelopment Agency (the "Agency"), for value received, hereby promises to pay to the registered owner specified above, or registered assigns, on the date specitied above, but solely from the solrrces hereinafter mentioned, upon presentation and surrender hereof at the designated corporate trust office of _ , as paying agent (said bank and/or any bank or trust company to become slrccessor paying agent being herein called the "Paying Agent"), the principal sum specified above i,vith interest thereon at the rate per annum specified above, payable on the first day of and of each year, commencing on Principal of this Bond is payable at the office of the Paying Agent in lawtul money of the United States of America. Interest on this Bond is payable by check or draft of the Paying Agent made payable to the registered owner as its name and address shall appear on the registry books of Registrar (said bank and any sLiccessor Registrar being herein called the "Registrar") at the close of business on the fifteenth day of the calendar month preceding each interest payment date (the "Regular Record Date"); provided, hor,vever, that (i) if or,vnership of the Bonds is maintained in a book-entry only s,vstem by' a securities depository, such payment may be made by automatic firnds transfer (wire) to such securities depository of its nominee or (ii) if such Bonds are not maintained in a book-entry only system by a securities depository, upon r,vritten request of the Holder of $1,000,000 or more in principal amount of Bonds, such payments may be made by r,vire transfer to the bank and bank account specified in r,vriting by such Holder (sr.rch bank being a bank r,vithin the continental United States), if such Holder has advanced to the Paying Agent the amount necessary to pay the cost of such r.vire transfer or authorized the Paying Agent to deduct the cost of such wire transfer from the payment due such Holder. Any interest not 00 3-4430-4 56 1/4/AMER rCAS B-l 448 pllnctLrally paid on an interest payment date shall forthrvith cease to be payable to the registered owner on the Regular Record Date ancl may be paid to the registerecl owner as of the close of business on a special record date tbr the payment of such defaulted interest to be fixed by the Paying Agent, notice'uvhereof shall be given not less than 10 days prior to such special record date to the registered owners. Sr"rch interest shall be payable from the most recent interest payment date next preceding the date of authentication to lvhich interest has been paid, unless the date of authentication is an lor 1 to ,,vhich interest has been paid, in which case from the date of authentication, or unless the date of authentication is prior to ,20- in which case from ,20 , or unless the date of authentication is between a Regular Record Date and the next succeeding interest payment date, in which case tiom such interest payment date. This Bond is one of an authorized issue of Bonds of the Increment Revenue Bonds, Series _ (City Center/Historic Agency designated as its "Tax Convention Village)" (herein Dollarscalled the "Bonds"), in the aggregate principal amount of ($ ) of like date, tenor, and effect, except as to number, date of maturity and interest rate, issued lor the purpose of under the authority of and in full compliance r,vith the Constitution and Statutes of the State of Florida, including particr-rlarly Chapter 163, Part III, Florida Statutes, as amended from time to time, and other applicable provisions ol lar,v, and a resolution duly adopted by the Agency on ,2015 thereinafter referred to as the "Resolution") and is subject to all the terms and conditions of the Resoh.rtion. This Bond is payable solely from and secured by a first lien on and pledge of the Trust Fund Revenues (as defined in the Resolution) collected by the Agency pllrsLrant to Section 163.387, Florida Statutes, as amended, and all moneys held in certain funds and accounts established under the Resolution (collectively, the "Pledged Funds"), all in the manner provided in the Resolution. Neither the Agency, the City, Miami-Dade County, Florida (the "County"), the State of Florida (the "State") nor any of its political subdivisions is obligated to pay this Bond or the interest hereon except from the Pledged Funds pledged thereto and neither the faith and credit nor the taxing power of the City, the County, the State or any of its political subdivisions is pledged to the payment of the principal of, or the interest on, this Bond. This Bond does not constitute an indebtedness of the Agency, the City, the County, the State or any political subdivision thereof within the meaning of any constitutional, statutory or other provision or limitation and it is expressly agreed by the Holder of this Bond that such Holder shall never have the right to require or compel the exercise of the ad valorem taxing power of the City, the County, the State or any political subdivision thereof or taxation in any form on any real or personal property therein, fbr the payment of the principal of and interest on this Bond and other payments provided for in the Resolurtion. It is fr-rrther agreed betrveen the Agency and the Holder of this Bond that this Bond and the obligation evidenced thereby shall not constitute a lien Llpon property owned by or situated r,vithin the corporate territory of the Agency or the City, but shall constitute a lien only on the Pledged Funds, all in the manner provided in the Resolution. Under the provisions of Section 163.387, Florida Statutes, as amended, the City and the County have established the City Center/Historic Convention Village Redevelopment and B-2 003-4430 4561/4/AMERTCAS 449 Revitalization Trust Fund into which the Cor.inty and the City have agreed to deposit on an annual basis their respective portior-rs of the Trust Fund Revenues (as defined in the Resolution) for so long as the Bonds are or.rtstanding. The Agency in the Resolution has established the Miami Beach Redevelopment Agency Sinking Fund (City Center/Historic Convention Village) and certain accounts therein and covenanted to deposit into said Sinking Fr"rnd and accounts therein solely from the Pledged Funds moneys to provide for the timely payment of principal of and interest on the Bonds and to create a reserve therefor, all to the extent and in the manner provided in the Resolution. Reference is hereby made to the Resolution for the specific provisions governing the Bonds. [nsert Redemption Provisions] Additional parity bonds may be issued by the Agency frorn time to time upon the conditions and within the limitations and in the manner provided in the Resolution. The original registered owner, and each successive registered owner of this Bond shall be conclusively deemed to have agreed and consented to the tbllorving terms and conditions: l. The Registrar shall keep books for the registration of Bonds and for the registration of transfers of Bonds as provided in the Resolution. The Bonds shall be transferable by the registered owner thereof in person or by his attorney duly authorized in writing only upon the books of the Agency kept by the Registrar and only upon surrender hereof together with a written instrument of transfer satisfactory to the Registrar duly executed by the registered or,vner or his duly authorized attorney. Upon the transfer of any such Bond, the Agency shall issue in the name of the transferee a new Bond or Bonds. 2. The Agency, the Registrar and the Paying Agent may deem and treat the person in whose name any Bond shall be registered upon the books kept by the Registrar as the absolute owner of such Bond, whether such Bond shall be overdue or not, for the pLlrpose of receiving payment of, or on account of, the principal of and interest on such Bond as the same becomes due, and for all other purposes. All such payments so made to any such registered owner or upon his order shall be valid and effectual to satisfy and discharge the liability upon such Bond to the extent of the sum or sums so paid, and neither the Agency, the Paying Agent, nor the Registrar shall be affected by any notice to the contrary. 3. At the option of the registered owner thereof and upon surrender hereof at the designated corporate trust office of the Registrar r,vith a written instrument of transfer satisfactory to the Registrar duly executed by the registered owner or his dr"rly authorized attorney and upon payment by such registered o\,vner of an,'- charges which the Registrar or the Agency may make as provided in the Resolr-rtion, the Bonds may be exchanged for Bonds of the same series and rnaturity of any other authorized denominations. 4. In all cases in which the privilege of exchanging Bonds or transferring Bonds is exercised, the Agency shall execute and the Registrar shall authenticate and deliver Bonds in accordance with the provisions of the Resolution. There shall be no charge for any such exchange or transfer of Bonds, but the Agency or the Registrar may require payment of a sum sufficient to pay any tax, fee or other governmental charge required to be paid with respect to B-3 003-4430-4561/4/AM E R rCAS 450 sLrch exchange or transf-er. Neither the Agency nor the Registrar shall be reqr"rired (a) to transfer or exchange Bonds fbr a period of 15 days next preceding an interest payment date on such Bonds or next preceding any selection of Bonds to be redeemed or thereafter until afier the mailing of any notice of reclemption; or (b) to transfer or exchange any Bonds called for redemption. It is hereby certified and recited that all acts, conditions and things required to exist, to happen, and to be performed, precedent to and in the issuance of this Bond exist, have happened and have been performed in regular and due form and time as required by the laws and Constitution of the State of Florida applicable thereto, and that the issuance of this Bond, and of the issue of Bonds of rvhich this Bond is one, is in full compliance r,vith all constitutional, statutory or charter limitations or provisions. IN WITNESS WHEREOF, the Miami Beach Redevelopment Agency has caused this Bond to be signed by its Chairperson, either manually or with his facsirnile signature, and the seal of the Miami Beach Redevelopment Agency or a f-acsimile thereof to be affixed hereto or imprinted or reproduced hereon, and attested by its Secretary, either manually or r,vith his facsimile signature. MIAMI BEACH REDEVELOPMENT AGENCY (sEAL) Attest: Chairperson Secretary By: 003-4430-4 56r./4/AMERICAS B-4 451 CER-IIF'ICATE OF AUTHENTI CATION This Bond is one of the Bonds clelivered plrrsllant to the within mentioned Resolution. Date o1' Ar.rthentication : as Registrar Authorized Signatory By: 003-4430-45 61/4/AMERICAS B-5 452 ABBREVIAl-IONS The following abbreviations, when used in the inscription on the face of the within Bond, shall be construed as though they were r,vritten out in full according to applicable laws, or regulations. TEN COM as tenants in common TEN ENT as tenants by the entireties iT TEN as joint tenants lvith the right of survivorship and not as tenants in common TINIFORM GIFT MIN ACT Custodian tbr (C,"t) (,\4*"r) under Uniform Gifts to Minors (State) Additional abbreviations may also be used though not in the above list. ASSIGNMENT For value received, the undersigned hereby sells, assigns and transfers unto the within Bond, and all rights thereunder, and hereby irrevocably constitutes and appoints attornev to transfer the said Bond on the bond register, with full power of substitution in the premises. Dated: Please insert Social Security or other identifying number of transferee: Signature guaranteed: NOTICE: The transferor's signature to this Assignment must correspond r,vith the name as it appears on the face of the within Bond in every particular without alteration or any change whatever. B-6 003-4430 4561/4/AMERICAS 453 SEB DRAFT - O9l2Il15 PRELIMINARY OFFICIAL STATEMENT DATED NOVEMBER -, 2OI5 NEW ISSUE - Book-Entry-Only Ratings: See "RATINGS" herein In the opinion of Squire Patton Boggs (US) LLP, Bond Connsel, tmder existing law, the Series 2015A Bonds and the income thereon are exemptfrom taxation under the laws of theitate of Florida, except estate taxes imposed by Chapter 198, Florida Statutes, as amended, and net income andfranchise taxes imposed by Chapter 220, Florida Statutes, as amended. NO ATTEM?T HAS BEEN MADE TO PROVIDE THAT INTEREST ON THE ^SERIE,S 20]54 BONDS IS EXCLUDED FROM GROSS INCOME OF THE HOLDERS THEfuEOF FOR FEDERAL INCOME TAX PURPOSES. For a more complete discttssion of the tax aspects relating to the Series 2015A Bonds, see the discussion under the heiding "TAX MATTERS" herein. In the opinion of Squire Patton Boggs (US) LLP, Boncl Counsel, under existing law (i) assuming contirudng compliance with certain covenants and the accuracy of certain representations, interest on the Series 20158 Bonds is excludedfrom gross incomeforfederal income taxpurposes and is not an item of tax preference for purposes of the federal alternative minimttm tax imposed on individnals and corporations and (ii) the Series 20158 Bonds and the income thereon are exemptfrom taxation tmder the laws of the State of Florida, except estate taxes imposed by Chapter 198, Ftorida Statntes, as amended, and net income andfranchise taxes imposed by Chapter 220, Florida Statutes, as amended. Interest on the Series 20158 Bonds may be subject to certainfederal taxes imposed only on certuin corporations, including the corporate alternative minimum tax on a portion of that interest. For a more complete discttssion of the tax aspects relating to the Series 20158 Bonds, see the discttssion ttnder the heidtng "TAX MATTERS" herein. s360,000,000* MIAMI BEACII REDEVELOPMENT AGENCYs--* Tax Increment Revenue and Revenue Refunding Bonds, Taxable Series 20lSA (City Center/Historic Convention Village) Dated: Date of Delivery The Miami Beach Redevelopment Agency Tax Increment Revenue and Revenue Refunding Bonds, Taxable Series 2015,A (City Center,tlistoric Convention Village) (the "series 20154 Bonds,') and the Miami Beach Redevelopment Agency Tax Increment Revenue and Revenue Refunding Bonds, Series 20158 (Cify Center/Historic Convention Village) (the "series 20158 Bonds" and, collectively with the Series 20154 Bonds, the "series 2015 Bonds") are being issued by the Miami Beach Redevelopment Agency (the "Agency") as fully registered bonds, without coupons, in denominations of $5,000 o. uny integral multiple thereof. When issued, the Series 2015 Bonds will be registered in the name of Cede & Co., as nominee of The Depository Trust Company, New York, New York ("DTC"), which will act as securities depository for the Series 2015 Bonds. Purchasers will not receive certificates representing their ownership interests in the Series 2015 Bonds purchased. See "DESCRIPTION OF THE SERIES 2015 BONDS - Book-Entry Only System" herein. Interest on the Series 2015 Bonds will accrue from their date Tax Increment Revenue and Revenue Refunding Bonds, Series 20158 (City Center/Historic Convention Village) Due: March 1, as shown on inside cover page 454 of delivery and will be payable on March 1, 2016 and semiannually on each September I and March l thereafter. U.S. Bank National Association, Jacksonville, Florida, will serve as the initial bond registrar and paying agent (the "Paying Agent") for the Series 2015 Bonds. While the Series 2015 Bonds are registered through the DTC book-entry only system, principal of and interest on the Series 2015 Bondswill be payable by the Paying Agent to DTC. The proceeds of the Series 2015A Bonds will be used, together with certain other legally available moneys of the Agency, to (i) provide for the advance refunding of all of the Agency's Tax Increment Revenue Bonds, Taxable Series 1998A (City CenterA{istoric Convention Village), cunently outstanding in the aggregate principal amount of $10,000,000 (the "Outstanding Series 19984 Bonds,,j; (ii) provide for the current refunding of all of the Agency's Tax Increment Revenue Refunding Bonds, Taxable Series 2005A (City Center,rHistoric Convention Village), currently outstanding in the aggregate principal amount of $27,815,000 (the "outstanding Series 20054 Bonds"); (iii) make a deposit to tle beUiservice Reserve Account (including the cost of any Reserve Account Insurance Policy or Reserve Account Letter of Credit determined by the Agency to be advisable) to satisfy the Reserve Account Requirement relating to the Series 2015A Bonds (as such terms are hereinafter defined); (iv) finance certain costs of acquiring and constructing renovations to the Convention Center and related improvements which constitute a portion of the Series 2015 Redevelopment Project (as such terms are hereinafter defined); and (v) pay costs of issuance of the Series 20154 Bonds and refunding the Outstanding Series 19984 Bonds and the Outstanding Series 20054 Bonds, including the portion of the premium allocable to the Series 2015A Bonds for any municipal bond insurance policy that may be obtained in connection with the issuance of the Series 2015 Bonds. See "INTRODUCTION,,herein. The proceeds of the Series 20158 Bonds will be used, together with cefiain orher legally available moneys of the Agency, to (i) provide for the current refunding of all of the Agency's Tax Increment Revenue Refunding Bonds, Series 2005B (City Center,/Historic Convention Village), cuirently outstanding in the aggregate principal amount of $17,175,000 (the "Outstanding Series 200JB Bonds,'j; (ii) make a deposit to the Debt Service Reserve Account (including the cost of any Reserve Account Insurance policy or Reserve Account Letter of Credit determined by the Agency to be advisable) to satisfli the ReservL Account Requirement relating to the Series 20158 Bonds; (iii) finance certain costs of acquiring and constructing public renovations to the Convention Center and related public improvements which constitute a portion of the Series 2015 Redevelopment Project; and (iv) pay costs of issuance of the Series 20158 Bonds and refunding the Outstanding Series 20058 Bonds, including the portion of the premium allocable to the Series 20158 Bonds for any municipal bond insurance policy that may be obtained in connection with the issuance of the Series 2015 Bonds. See "NTRoDUCTION,,herein. The Series 2015 Bonds are solely payable from and secured by a ptedge ofand first lien on the Pledged Funds derived by the Agency from (i) Trust Fund Revenues; and (ii) ull -or"yr, securities and instruments held in the funds and accounts created under the Bond Resolution, except the Rebate Fund (as such terms are hereinafter defined), on a parity with any additional Bonds that may be issued under the Bond Resolution. See "SECURITY AND souRCES oF PAYMENT,,herein. The Series 2015 Bonds are subject to optional and mandatory sinking fund redemption prior to maturity as described herein. THE SERIES 2OI5 BONDS SHALL NOT BE AND SHALL NOT BE DEEMED TO CONSTITUTE A DEBT, LIABILITY OR OBLIGATION OF THE AGENCY, THE CITY OF MIAMI BEACH, FLORIDA (THE "CITY"), MIAMI-DADE COLINTY, FLORIDA ("THE COLINTY"), THE STATE OF FLORIDA OR ANY POLITICAL SUBDIVISION THEREOF WITHIN THE MEANING OFANY CONSTITUTIONAL, STATUTORY OR CHARTER PROVISIONS OR LIMITATIONS. OR A 455 PLEDGE OF THE FAITH AND CREDIT OF THE AGENCY, THE CITY, THE COUNTY, THE STATE OF FLORIDA OR ANY POLITICAL SUBDIVISION THEREOF BUT SHALL BE PAYABLE SOLELY FROM THE PLEDGED FLINDS, AS PROVIDED IN THE BOND RESOLUTION. THE SERIES 2015 BONDS AND THE OBLIGATIONS EVIDENCED THEREBY SHALL NOT CONSTITUTE A LIEN UPON ANY PROPERTY OWNED BY OR SITUATED WITHIN THE CORPORATE TERzuTORY OF THE AGENCY OR THE CITY, BUT SHALL CONSTITUTE A LIEN ONLY ON THE PLEDGED FUNDS, ALL IN THE MANNER PROVIDED IN THE BOND RESOLUTION. The Agency may elect to purchase a municipal bond insurance policy to be delivered by a municipal bond insurance provider concurrently with the delivery of the Series 2015 Bonds to guarantee timely payment of the principal of and interest on the Series 2015 Bonds, or one or more maturities of the Series 2015 Bonds, and may elect to satisfy the Reserve Account Requirement, or any portion thereof, upon issuance of the Series 2015 Bonds with a Reserve Account Insurance Policy or Reserve Account Letter of Credit. This cover page contains certain information for quick reference only. It is not a summary of this issue. Investors must read the entire Official Statement to obtain information essential to the making of an informed investment decision. The Series 2015 Bonds are offered when, as and if issued by the Agency, stbject to the opinion on certain legal matters relating to their issuance of Squire Patton Boggs (US) LLP, Miami, Florida, Bond Cottnsel to the Agency, and certain other conditions. Certain legal matters will be passed upon for the Agency by Raul J. Agtrila, Esquire, Miami Beach, Florida, General Counsel to the Agency, and certain legal matters relating to disclosure will be passed upon for the Agency by the Law Offices of Steve E. Bullock, P.A., Miami, Florida, Disclosure Counsel to the Agency. Greenberg Trattrig, P.A., Miami, Florida, is serving as Counsel to the Underwriters and kBC Capital Markets, LLC, St. petersburg, Florida, is serving as Financial Advisor to the Agency in connection with the issttance of the Series 20 t 5 Bonds. It is expected that the Series 20I5 Bonds will be available for delivery through DTC in New york, New York on or about December , 2015. Morgan Stanley Wells Fargo Securities Raymond James & Associates, Inc. BofA Merrill Lynch Loop Capital Markets Dated: November _,2015 * Preliminary, subject to change. 456 Red herring: This Preliminary OJJicial Statement and the informqtion contuined herein are subject to amendment and completion w,ithout notice. The Series 201 5 Bonds ma)) not be sold and of/brs to bLty may not be accepted prior to the time the Offic'ial Stqtement is delivered in final .form. (Jnder no circttmstances shall this Preliminary O/ficial Statement constitute an r{Jbr to sell or the solicitation of an o/fer to buy, nor shall there be any sale of the Series 2015 Bonds in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification tmder the securities laws of any strc:h jurisdiction. 457 MATURITIES, PRINCIPAL AMOUNTS, INTEREST RATES, PRICES, YIELDS AND INITIAL CUSIP NUMBERS*t $ Principal Amount lnterest Rate Price Series 2015A Serial Bonds Due (March l) 2016 2017 201 8 20t9 2020 2021 2022 2023 2024 2025 2026 2027 2028 Yield o//o Initial CUSIP Number 593237 _ 593237 _ 593237 _ 593237 _ 593237 _ 593237 _ 593237 _ 593237 _ 593237 _ 593237 _ 593237 _ 593237 _ 593237 $_ _% Series 20154 Term Bonds Due March 1,20-- price: / yield: % Initial CUSIP Number: 59323i 458 $ Principal Amount s Interest Rate Price Series 20158 Serial Bonds Due (March 1) 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 2040 2041 2042 2043 2044 Initial CUSIP NumberYield o//oo//o s93237 _ 593237 _ 593237 _ 593237 _ 593237 _ 593237 _ 593237 _ 593237 _ 593237 _ 593237 _ 593237 _ 593237 _ 593237 _ 593237 _ 593237 _ 593237 _ 593237 _ 593237 _ s93237 _ 593237 _ 593237 _ 593237 _ s93237 _ 593237 _ 593237 _ 593237 _ 593237 _ 593237 _ 593237 % Series 20158 Term Bonds Due March 1,20- - Initial GUSIP Number: 593231 459 + Preliminary, subject to change. t Neither the Ciry nor the Underwtiters is responsible for the use of CUSIP Numbers, nor is any representation made as to their correctness. The CUSIP Numbers are included solely for the convenience of the readers of this Official Statement. 460 MIAMI BEACH REDEVELOPMENT AGENCY(I) CHAIRMAN PhiliP Levinet2) VICE CHAIRMAN Edward L. Tobine) MEMBERS Joy Malakoff, Member Jonah Wolfs or^, MemberQ) ADMINISTRATION Michael Grieco, Member Deede Weithorn, M e mb erQ) Executive Director Jimmy L. Morales, Esquire Interim Chief Financial Ofjicer John Woodruff Bond Counsel Squire Patton Boggs (US) LLP Miami, Florida Financial Advisor RBC Capital Markets, LLC St. Petersburg, Florida Micky Steinberg, Member Bruno A. Barreiro, Member General Counsel Raul J. Aguila, Esquire Secretary Rafael E. Granado, Esquire Disclosure Counsel Law Offices of Steve E. Bullock, P.A, Miami, Florida Independent Auditors Crowe Horwath LLP Fort Lauderdale, Florida Assistant Executive Director Kathie G. Brooks CONSULTANTS (1) The Mayor and each of the members of the City Commission of the City serve as the Chairman and members of the Agency, respectively, with the City Commissioner appointed as Vice Mayor serving as the Vice Chairman of the Agency. In addition, pursuant to the Third Amendment to the Interlocal Cooperation Agreement dated January 20,2015 among the Agency, the Cify and the County, the County Commissioner of District 5 on the Board of County Commissioners of Miami-Dade County, Florida also serves as a member of the Agency. Commissioner Bruno A. Barreiro currently serves in such capacity. (2) The Mayor is running against a single opponent in the general election of the City to be held on November 3, 201 5. In addition, a new commissioner will be elected in such general election for the City Commission seat for Districts IV, V and VI or, if required because a candidate did not receive more than fifty percent (50%) of the votes cast in the general election, in a run-off election. If required, the run-off election will be held on November 17,2015. The results of the election are expected to be certified by the current Mayor and City Commission in a meeting to be held sometime after the general election or, if a run-offelection is held, after the run-off election. The current Mayor and Ciry Commission are expected to serve until newly elected members have been seated. 461 UNSERT MAP OF MIAMIBEACH REDEVELOPMENT AGENCY SHOWING EACH OF THE AGENCY'S REDEVELOPMENT AREAS] 462 No dealer, broker, salesman or other person has been authorized by the Agency or the Underwriters to make any representations, other than those contained in this Official Statement, in connection with the offering contained herein, and if given or made, such other information or representations must not be relied upon as having been authorized.by any of the foregoing. This Official Statement does not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the Series 2015 Bonds by any person in any jurisdiction in which it is unlawful for such person to make such offer, solicitation or sale. The information contained in this Official Statement has been obtained from public documents, records and other sources considered to be reliable and, while not guaranteed as to completeness or accuracy, is believed to be correct. Any statement in this Official Statement involving estimates, assumptions and opinions, whether or not so expressly stated, are intended as such and are not to be construed as representations of fact, and the Underwriters and the Agency expressly make no representation that such estimates, assumptions and opinions will be realized orfulfilled. Any information, estimates, assumptions and matters of opinion contained in this Official Statement are subject to change without notice, and neither the delivery of this Official Statement, nor any sale hereunder, shall, under any circumstances, create any implication that there has been no change in the affairs of the Agency since the date hereof. The Underwriters have provided the following sentence for inclusion in this Official Statement. The Underwriters have reviewed the information in this Official Statement in accordance with, and as part of, their responsibilities to investors under the federal securities laws as applied to the facts and circumstances of this transaction, but the (lnderwriters do not guarantee the accuracy or completeness of such information. The order and placement of materials in this Official Statement, including the Appendices, are not to be deemed a determination of relevance, materiality or importance, and this Official Statement, including the Appendices, must be considered in its entirety. The captions and headings in this Official Statement are for convenience only and in no way define, limit or describe the scope or intent, or affect the meaning or construction, of any provisions or sections in this Official Statement. The offerins of the Series 2015 Bonds is made only by means of this entire official Statement. References to website addresses presented in this Official Statement are for informational purposes only and may be in the form of a hyperlink solely for the reader's convenience. Unless rp..ifi.d otherwise, such websites and the information or links contained therein are not incorporated into, and are not part of, this Official Statement. Certain statements included or incorporated by reference in this Official Statement constitute "forward-looking statements." Such statements generally are identifiable by the terminology used, such as "plan," "expect," "estimate," "project," "forecast," "budget" or other similar words. The achievement of certain results or other expectations contained in such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements described to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. The Agency does not plan to issue any updates or revisions to those forward-looking statements if or when its expectations or events, conditions or circumstances on which such statements are based occur. THE SERIES 20 I 5 BONDS HAVE NOT BEEN REGISTERED LINDER THE SECURITIES ACT OF 1933, AS AMENDED, OR ANY STATE SECURITIES LAW, NOR HAS THE RESOLUTION BEEN QUALIFIED LINDER THE TRUST INDENTURE ACT OF 1939, AS AMENDED, IN RELIANCE UPON EXEMPTIONS CONTAINED IN SUCH ACTS. THE EXEMPTION OF THE SERIES 2OI5 BONDS 463 FROM REGISTRATION OR QUALIFICATION IN CERTAIN STATES CANNOT BE REGARDED ASA RECOMMENDATION THEREOF. IN MAKING AN INVESTMENT DECISION, INVESTORS MUST RELY ON THEIR OWN EXAMINATION OF THE AGENCY AND THE TERMS OF THIS OFFERING, INCLUDING THE MERITS AND RISKS INVOLVED. NEITHER THE SECURITIES AND EXCHANGE COMMISSION NOR ANY OTHER FEDERAL, STATE OR GOVERNMENTAL ENTITY OR AGENCY WIL HAVE PASSED UPON THE ACCURACY OR ADEQUACY OF THIS OFFICIAL STATEMENT OR APPROVED OR RECOMMENDED THE SERIES 2015 BONDS FOR SALE. ANY REPRESENTATION TO THE CONTRARY MAY BE A CRIMINAL OFFENSE. IN CONNECTION WITH THIS OFFERING, THE LINDERWRITERS MAY OVERALLOT OR EFFECT TRANSACTIONS WHICH STABiLZE OR MAINTAIN THE MARKET PRICE OF THE SERIES 2015 BONDS AT A LEVEL ABOVE THAT WHICH MIGHT OTHERWISE PREVAIL IN THE OPEN MARKET, AND SUCH STABILTZING, IF COMMENCED, MAY BE DISCONTINUED AT ANY TIME. THE LINDERWRITERS MAY OFFER AND SELL THE SERIES 2015 BONDS TO CERTAIN DEALERS AND OTHERS AT PRICES LOWER THAN THE PUBLIC OFFERING PRICES STATED ON THE INSIDE COVER PAGE OF THIS OFFICIAL STATEMENT, AND SUCH PI-IBLIC OFFERING PRICES MAY BE CHANGED FROM TIME TO TIME BY THE LINDERWRITERS. THIS OFFICIAL STATEMENT SHALL NOT CONSTITUTE A CONTRACT BETWEEN THE AGENCY OR THE UNDERWRITERS AND ANY ONE OR MORE HOLDERS OF THE SERIES 2015 BONDS. THIS OFFICIAL STATEMENT IS BEING PROVIDED TO PROSPECTIVE PURCHASERS EITHER IN BOLTND PRINTED FORM ("ORIGINAL BOLTND FORMAT') OR IN ELECTRONIC FORMAT ON THE WEBSITE: WWW.MUNIOS.COM. THIS OFFICIAL STATEMENT MAY BE RELIED UPON ONLY IF IT IS IN ITS ORIGINAL BOTIND FORMAT OR IF IT IS PRINTED IN FULL DIRECTLY FROM SUCH V/EBSITE. THIS PRELIMINARY OFFICIAL STATEMENT IS IN A FORM DEEMED FINAL BY THE AGENCY FOR PURPOSES OF RULE 15c2-12 UNDER THE SECIIRITIES EXCI{ANGE ACT OF 1934, AS AMENDED, EXCEPT FOR CERTAIN FINANCIAL INFORMATION PERMITTED TO BE OMITTED PURSUANT TO RULE 1sc2-12(b)(t). 464 TABLE OF CONTENTS Page INTRODUCTION. I PURPOSE OF THE ISSUE. 3 General. ....... 3 Plan of Refunding. 3 Series 2015 Redevelopment Project. 4 ESTIMATED SOURCES AND USES OF FL]NDS. 7 THE SERIES 2015 BONDS. 7 General. ....... 7 Redemption Provisions. 8 Book-Entry-Only System i0 SECURITY AND SOURCES OF PAYMENT. 12 PtedgedFunds. . .. ... . 12 Flowof Funds. ... .... 15 Debt Service Reserve Account. 17 Additional Bonds. 18 OtherObligations SecuredbyPledgedFunds. ....... 19 Limitedliability. .....20 Modifications or SupplementstoBondResolution... ....... 20 MUNICIPALBONDINSURANCE..... ......21 DEBT SERVICE SCHEDULE ... 22 THE AGENCY. .. .. ... . 22 General. .......22 Creation of Agency and Redevelopment Areas.. . . . . . 23 RDAlnterlocalAgreement.... ......24 Powers. .......26 EminentDomainlegislation. ........2'7 Personnel. .....28 TRUSTFLINDREVENUES .....31 HistoricalTrustFundRevenues. .....31 HistoricalDebtServiceCoverage. ....39 RISKFACTORS.. ......39 LimitedObligationofAgency. .......40 TaxlncrementFinancing ......40 PENSION AND OTHERPOST EMPLOYMENT BENEFITS. . . . ... . 42 DefinedBenefitPlans.. ....." 42 OtherPostEmploymentBenefits.. ....42 LEGALMATTERS. .."".43 LITIGATION..... ......44 ENFORCEABILITYOFREMEDIES... ...."".44 TAXMATTERS.. ....".45 Series20l5ABonds.. ........45 Series20l5BBonds. .." 45 CONTINUINGDISCLOSURE.. .......48 FINANCIALSTATEMENTS.... ......49 RATINGS. ......49 FINANCIALADVISOR. .....".50 t1l 465 LINDERWRITING.. VERIFICATION OF MATHEMATICAL COMPUTATIONS. CONTINGENT FEES. DISCLOSURE REQUIRED BY FLORIDA BLUE SKY REGULATIONS. AUTHORTZATION CONCERNING OFFICIAL STATEMENT. . . . CONCLUDING STATEMENT. 50 5l 51 52 52 52 APPENDICES APPENDIX A APPENDX B APPENDIX C APPENDIX D APPENDIX E APPENDX F APPENDX G [APPENDIX H General Information and Economic Data Regarding the CityofMiami Beach, FloridaandMiami-Dade County, Florida. . . . . . . . A-1 Excerpts frorn Comprehensive Annual Financial Report of the City of Miami Beach, Florida for the Fiscal Year Ended September 30,2014. . . B-1 Financial Report of the Miami Beach Redevelopment Agency (A ComponentUnit of the City of Miami Beach, Florida) for the Fiscal Year Ended September 30,2014.. . . C-lTheBondResolution.. .... D-l Proposed Form of Opinion of Bond Counsel. . . . . E-l ProposedFormofOpinionofDisclosure Counsel.... .... F-l Form of Disclosure Dissemination Agent Agreement. . . . G-l Specimen Municipal Bond Insurance Policy. . . . . H-11 1V 466 OFFICIAL STATEMENT relating to $360,000,000* MIAMI BEACH REDEVELOPMENT AGENCY Tax Increment Revenue and Revenue Refunding Bonds, Taxable Series 2015A (City Center/Historic Convention Village) Tax Increment Revenue and Revenue Refunding Bonds, Series 20158 (City Center/Historic Convention Village) INTRODUCTION The purpose of this Official Statement, including the cover page and all appendices, is to set forth certain information relating to the Miami Beach Redevelopment Agency (the "Agency") and the issuance by the Agency of its $_* in aggregate principal amount of Tax Increment Revenue and Revenue Refunding Bonds, Taxable Series 2015,A. (City Center/Historic Convention Village) (the "series 2015A Bonds") and its $_* in aggregate principal amount of Tax Increment Revenue and Revenue Refunding Bonds, Series 20158 (City Center/Flistoric Convention Village) (the "series 20158 Bonds" and, collectivelywith the Series 2015A Bonds, the "Series 2015 Bonds"). The Series 2015 Bonds are being issued pursuant to and under the authority of the Constitution and laws of the State of Florida (the "State"), including particularly the Community Redevelopment Act of 1.969, as amended, being Chapter 163, Part III, Florida Statutes, as amended, and other applicable provisions of law (the "Act") and Resolution No. _-2015 adopted by the Chairman and members of the Agency (collectively, the "Commission") on October _, 2015 (the "Bond Resolution"). See "APPENDIX D - The Bond Resolution." Issuance of the Series 2015 Bonds has been approved by the Mayor and City Commission of the City of Miami Beach, Florida (collectively, the "City Commission") by Resolution No. 2015-- adopted by the City Commission on October _,2015. Issuance of the Series 2015 Bonds was further approved by the Agency pursuant to Resolution No. 607-2014 adopted by the Commission on November 19, 2014, by the City of Miami Beach, Florida (the "City") pursuant to Resolution No. 2014-28835 adopted by the City Commission on November 19, 2014 and by Miami-Dade County, Florida (the "County") pursuant to Resolution No. R-l 1 10-14 adopted by the Board of County Commissioners of the County on December 16, 2014, each authorizing the execution and delivery of the Third Amendment to the Interlocal Cooperation Agreement dated January 20,2015 among the Agency, the City and the County. See "THE AGENCY - RDA Interlocal Agreement" herein. The Series 2015 Bonds will be issued in book-entry only form and purchasers of the Series 2015 Bonds will not receive certificates representing their interest in the Series 2015 Bonds purchased. The Series 2015 Bonds will contain such other terms and provisions, including provisions regarding redemption, as described in "DESCRIPTION OF THE SERIES 2015 BONDS" herein. To finance and refinance projects in the Redevelopment Area in accordance with the Redevelopment PIan (as such terms are hereinafter defined), the Agency has heretofore issued multiple series of Bonds pursuant to Resolution No. 150-94, adopted by the Commission on January 5, 1994, as * Preliminary, subject to change. 467 supplemented (the "Prior Bond Resolution"). Frorn its prior issuances, the Agency has outstanding (i) the $29, 105,000 Miami Beach Redevelopment Agency Tax Increment Revenue Bonds, Taxable Series 1998A (City Center/Historic Convention Village), which are currently outsranding in the aggregate principal amount of $10,000,000 (the "Outstanding Series 1998A Bonds"); (ii) the $51,440,000 Miami Beach Redevelopment Agency Tax Increment Revenue Refunding Bonds, Taxable Series 20054 (City CenterAlistoric Convention Village), which are currently outstanding in the aggregate principal amount of $27,815,000 (the "Outstanding Series 20054 Bonds"); and (iii) the $29,930,000 Miami Beach Redevelopment Agency Tax Increment Revenue Refunding Bonds, Series 20058 (City Center/Historic Convention Village), which are currently outstanding in the aggregate principal amount of $17,175,000 (the "Outstanding Series 2005B Bonds" and, together with the Outstanding Series 1998A Bonds and the Outstanding Series 20054 Bonds, the "Outstanding Prior Bonds"). Proceeds of the Series 2015 Bonds will be used, together with certain other legally available moneys of the Agency, to (i) refund all of the Outstanding Prior Bonds; (ii) make a deposit to the Debt Service Reserve Account, including the cost of any Reserve Account Insurance Policy or Reserve Account Letter of Credit determined by the Agency to be advisable, to satisfy the Reserve Account Requirement relating to the Series 2015 Bonds (as such terms are defined in the Bond Resolution); (iii) finance certain costs of acquiring and constructing renovations to the Convention Center and related improvements which constitute a portion of the Series 2015 Redevelopment Project (as such terms are hereinafter defined); and (iv) pay costs of issuance of the Series 2015 Bonds and refunding the Outstanding Prior Bonds, including the premium for any municipal bond insurance policy that may be obtained in connection with the issuance of the Series 2015 Bonds. See "PURPOSE OF THE ISSUE" herein. The Series 2015 Bonds are solely payable from and secured by a pledge ofand first lien on the Pledged Funds derived by the Agency from (i) Trust Fund Revenues (as described herein); and (ii) except for moneys, securities and instruments in the Rebate Fund, all moneys, securities and instruments held in the funds and accounts established under the Bond Resolution. Additional Bonds may be issued, on a parity with the Series 2015 Bonds, upon satisfaction of the conditions described in the Bond Resolution. See "SECURITY AND SOURCES OF PAYMENT Additional Bonds" herein. The Series 2015 Bonds and any additional Bonds hereafter issued are collectively referred to herein as the "Bonds." The Series 2015 Bonds shall not be and shall not be deemed to constitute a debt, liability or obligation of the Agency, the City the County, the State or any political subdivision thereof within the meaning of any constitutional, statutory or charter provisions or limitations, or a pledge of the faith and credit of the Agency, the City, the County, the State or any political subdivision thereof but shall be payable solely from the Pledged Funds, and the obligations evidenced thereby shall not constitute a lien upon any properfy owned by or situated within the corporate territory of the Agency or the City, but shall constitute a lien only on the Pledged Funds, all in the manner provided in the Bond Resolution. See "SECURITY AND SOURCES OF PAYMENT - Limited Liability,,herein. The Agency may elect to purchase a municipal bond insurance policy (the 'oBond fnsurance Policy") to be delivered by a municipal bond insurance provider (the 'oBond Insurer") concurrently with the delivery of the Series 2015 Bonds to guarantee timely payment of the principal of and interest on the Series 2015 Bonds, or one or more maturities of the Series 2015 Bonds, and may elect to satisfy the Reserve Account Requirement, or any portion thereof, upon issuance of the Series 2015 Bonds with a Reserve Account Insurance Policy or Reserve Account Letter of Credit. This introduction is intended to serve as a brief description of this Official Statement and is expressly qualified by reference to this Official Statement as a whole. A full review should be made of 468 this entire Official Statement, as well as the documents and reports summarized or described herein. The description of the Series 2015 Bonds, the documents authorizing and securing the same, including, without limitation, the Bond Resolution, and the information from various reports contained herein are not comprehensive or de{initive. All references herein to such documents and reports are qualified by the entire, actual content of such documents and reports. Copies of such documents and reports may be obtained from the Agency by contacting the Agency's Interim Chief Financial Officer, 1700 Convention Center Drive, Miami Beach, Florida 33139, Telephone number: (305) 673-1466. Capitalized terms used but not defined in this Official Statement shall have the meanings ascribed to such terms in the Bond Resolution. See "APPENDIX D - The Bond Resolution." PURPOSE OF THE ISSUE General The Series 2015A Bonds are being issued by the Agency for the purpose of providing funds that will be used, together with certain other legally available moneys of the Agency, to (i) provide for the advance refunding of ail of the Outstanding Series 1998A Bonds; (ii) provide for the current refunding of all of the Outstanding Series 2005A Bonds; (iii) make a deposit to the Debt Service Reserve Account (including the cost of any Reserve Account Insurance Policy or Reserve Account Letter of Credit determined by the Agency to be advisable) to satis$r the Reserve Account Requirement reiating to the Series 20154 Bonds; (iv) finance certain costs of acquiring and constructing renovations to the Miami Beach Convention Center (the "Convention Center") and related improvements, as more particularly described below in "PURPOSE OF THE ISSUE - Series 2015 Redevelopment Project" (collectively, the "Series 2015 Redevelopment Project"); and (v) pay costs of issuance of the Series 2015A Bonds and refunding the Outstanding Series 1998A Bonds and the Outstanding Series 2005A Bonds, including the portion of the premium allocable to the Series 2015A Bonds for any municipal bond insurance policy that may be obtained in connection with the issuance of the Series 2015 Bonds. The proceeds of the Series 2015B Bonds will be used, together with certain other legally available moneys of the Agency, to (i) provide for the current refunding of all of the Outstanding Series 20058 Bonds; (ii) make a deposit to the Debt Service Reserve Account (including the cost of any Reserve Account lnsurance Policy or Reserve Account Letter of Credit determined by the Agency to be advisable) to satisf,i the Reserve Account Requirement relating to the Series 20158 Bonds; (iii) finance certain costs of acquiring and constructing public renovations to the Convention Center and related public improvements which constitute aportion of the Series 2015 Redevelopment Project; and (iv) pay costs of issuance of the Series 20158 Bonds and refunding the Outstanding Series 20058 Bonds, including the portion of the premium allocable to the Series 20158 Bonds for any municipal bond insurance policy that may be obtained in comection with the issuance of the Series 2015 Bonds. Plan of Refunding A portion of the proceeds of the Series 201 5.A. Bonds, together with certain other legally available moneys of the Agency, will be used to provide for the advance refunding of the Outstanding Series 19984. Bonds and for the current refunding of the Outstanding Series 20054 Bonds. A portion of the proceeds of the Series 20158 Bonds, together with certain other legally available moneys of the Agency, will be used to provide for the current refunding of the Outstanding Series 20058 Bonds. The Agency will call all of the Outstanding Series 20054 Bonds and all of the Outstanding Series 20058 Bonds for redemption on January _, 2016 at a redemption price equal to 100% of the outstanding principal amount of such 469 Bonds, without premium. The Outstanding Series 1998A Bonds are not subject to optional redemption. Such Bonds shall be defeased upon issuance ofthe Series 2015A Bonds, as described herein. To effect the advance refunding of the Outstanding Series 1 998A Bonds and the current refunding of the Outstanding Series 20054 Bonds, the Agency will enter into an Escrow Deposit Agreement (the "Taxable Bonds Escrow Agreement") on or prior to the delivery of the Series 2015A Bonds with U.S. Bank National Association, Jacksonville, Florida (the "Escrow Agent"). Pursuant to the terms of the Taxable Bonds Escrow Agreement, the Agency will deposit a portion of the proceeds of the Series 2015A Bonds, together with other legally available moneys of the Agency, into an escrow deposit trust fund to be maintained by the Escrow Agent (the "Taxable Bonds Escrow Deposit Trust Fund"). A portion of such proceeds and moneys will be applied on the date of delivery of the Series 2015A Bonds to the purchase of Government Obligations (as defined in the Taxable Bonds Escrow Agreement) maturing at such times and in such amounts so that the maturing principal, together with the interest income thereon and cash held uninvested in the Taxable Bonds Escrow Deposit Trust Fund, will be sufficient to pay the principal of and interest due on (i) the Outstanding Series 19984 Bonds on their scheduled dates ioi payment, until final maturity on December 1,2020, and (ii) the Outstanding Series 20054 Bonds to and including January _,2076, on which date the outstanding Series 2005A Bonds will be redeemed. To effect the current refunding of the Outstanding Series 20058 Bonds, the Agency will enter into an Escrow Deposit Agreement (the "Tax-Exempt Bonds Escrow Agreement") on or prior to the delivery of the Series 20158 Bonds with the Escrow Agent. Pursuant to the terms of the Tax-Exempt Bonds Escrow Agreement, the Agency will deposit a portion of the proceeds of the Series 20 l58 Bonds, together with other legally available moneys of the Agency, into an escrow deposit trust fund to be maintainea Uy the Escrow Agent (the "Tax-Exempt Bonds Escrow Deposit Trust Fund"). A portion of such proceeds and moneys will be applied on the date of delivery of the Series 20158 Bonds to the purchase of Government Obligations (as defined in the Tax-Exempt Bonds Escrow Agreement) maturing at such times and in such amounts so that the maturing principal, together with the interest income thereon and cash held uninvested in the Tax-Exempt Bonds Escrow Deposit Trust Fund, will be sufficient to pay the principal of and interest due on the Outstanding Series 20058 Bonds to and including January _ , 2016, on which date the Outstanding Series 20058 Bonds will be redeemed. Subsequent to the deposit of moneys into the Taxable Bonds Escrow Deposit Trust Fund and the Tax-Exempt Bonds Escrow Deposit Trust Fund and the investment of such moneys as described in the preceding paragraphs, all of the Outstanding Prior Bonds, in the opinion of Bond Counsel, rendered in reliance upon schedules verified as to accuracy by Integrity Public Finance Consulting LLC, Jacksonville, Florida (the "Verification Agent"), will no longer be Outstanding under the provisions of the prior Bond Resolution. See "vERIFICATION oF MATHEMATICAL CoMpuTATIoNS,, herein. The maturing principal of and interest on the Govemment Obligations and cash held uninvested in the Taxable Bonds Escrow Deposit Trust Fund and the Tax-Exempt Bonds Escrow Deposit Trust Fund will not be available to pay principal of and interest on the Series 2015 Bonds. Series 2015 Redevelopment Project Spanning four (4) city blocks and located in the heart of the South Beach area of the City, the Convention Center currently accommodates meetings, conventions, trade shows and consumer shows. The facility originally opened in 1957 and received a major expansion and renovation in 1989, doubling its original size. Currently the Convention Center encompasses over 1,000,000 square feet of flexible space, 470 including; over 500,000 square feet ofexhibit space and over 100,000 square feet ofversatile, pre-function area space. It currently has seventy (70) meeting rooms comprised of 127,000 square feet. The Series 2015 Redevelopment Project includes a major renovation and expansion of the Convention Center to transform the building to "Class A" standards, including Silver LEED certification upgrades and enhanced technology. The design modifications will include reorientation of the exhibit halls, facade upgrades, site improvements along the canal and roadways adjacent to the development, the addition of a grand ballroom, junior ballrooms and meeting rooms. The newly renovated Convention Center will be a L4 million square foot, state-of-the-art event facility, with new ballrooms, meeting rooms, versatile indoor/outdoor public spaces and a new 5.8 acre public park containing a flexible lawn area, a food pavilion and a public plazato honor the City's veterans. Such renovations and improvements related to the Convention Center upgrade are currently scheduled to be completed during Fiscal Year 2018 at a total cost of approximately $596 million, including the portion of $uch renovations and improvements which constitute the Series 2015 Redevelopment Project. The Series 2015 Redevelopment Project wiil consist of the Convention Center interior renovations, which will include the redistributed division of the four (4) main exhibition hall spaces and the additional programming of more flexible arrangements of private meeting rooms and additional indoor/outdoor versatile exhibition spaces. Currently, the four (4) main exhibit halls are divided into quadrants, two (2) accessible solely from Washington Avenue and the other two (2) accessible solely from Convention Center Drive. The new Convention Center will reorient the halls in an East/West direction, with the primary access from Convention Center Drive leading into a new grand, fully open, double story entry lobby. Washington Avenue will serve as a secondary means of pedestrian entry. The Series 2015 Redevelopment Project includes substantial improvements to the north of the Convention Center. Above a new enclosed ground floor parking area that will be separately financed will be a 60,000 square foot grand ballroom, offering vistas of the upgraded 21$ Street Park located along Collins Canal, featuring the to-be-restored, historic Carl Fisher Clubhouse, the oldest public structure in the City. ln addition, Convention Center Drive will become the main access point for vehicular access. Modifications will include a new median along Convention Center Drive and 19ft Street, increasing the attractiveness of the streetscape and creating a more sophisticated boulevard experience. The Canal walkway will undergo a significant upgrade to create a more attractive northern portion of the Convention Center properry. The Series 2015 Redevelopment Project also includes the demolition of the existing recreation center along Washington Avenue and replacement of an existing 800 vehicle surface parking lot with the new, 5.8 acre urban park, dining pavilion and VeteransPlaza. In addition to the renovations to the Convention Center and related improvements on the Convention Center property described above, certain ancillary projects related to the Convention Center improvements are also included in the Series 2015 Redevelopment Project. Set forth below is a brief description of such ancillary projects and the estimated cost of each project. $20,000,000 Lincoln Road improvements from Washington Avenue to Lenox Avenue The project will consist of refurbishment of Lincoln Road pedestrian mall, including new lighting, refurbishingpedestrian surfaces, street furnishings, healthy tree fertilization systems, milling and resurfacing pavement surfaces and cross walk enhancements. 471 $12,000,000 Improvements to lTth Street and connectors to Lincoln Roqd The Project will consist of enhancement of pedestrian experience from the Convention Center to Lincoln Road along Drexel Avenue, Pennsylvania Avenue and Meridian Avenue, including new lighting, sidewalk and road reconstruction, street furnishings, landscaping, healthy tree fertilization systems, irrigation and cross walk enhancements. $ 3,750,000 Bass Museum Interior Expansion Project The project will consist of improvements to increase programmable space by forty-seven percent (47 %). The Commission may determine by resolution to undertake other capttal improvements to the Convention Center property or related ancillary projects in addition to and/or in lieu of the improvements or any portion of the improvements described above; provided, however, that such other capital improvements are authorized under the Third Amendment to the Interlocal Cooperation Agreement dated January 20,2015 among the Agency, the City and the County. See "THE AGENCY - RDA Interlocal Agreement" herein. IREMAINDER OF PAGE INTENTIONALLY LEFT BLANK] 472 ESTIMATED SOURCES AND USES OF FTNDS The following table sets forth the estimated sources and uses of funds in connection with the issuance ofthe Series 2015 Bonds: Sources of Funds Series 2015,A. Series 20158 Bonds Bonds Total Par Amount of Series 2015 Bonds Net Original Issue Discount/Premium Other Legally Available Money5(r) Total Estimated Sources of Funds Uses of Funds Deposit to Taxable Bonds Escrow Deposit Trust Fund(2) Deposit to Tax-Exempt Bonds Escrow Deposit Trust Fund(2) Deposit to Series 2015 Construction Account(3) Deposit to Debt Service Reserve Account Cost of Issuance Deposit(a) Underwriters' Discount Total Estimated Uses of Funds (l) Constitutes amount held in the funds and accounts under the Prior Bond Resolution for the benefit of the Outstanding Prior Bonds. (2) See "PURPOSE OF THE ISSUE - Plan of Retunding" herein. (3) See "PURPOSE OF THE ISSUE - Series 2015 Redevelopment Project" herein. (4) To pay certain costs of issuance of the Series 2015 Bonds, including, without limitation, printing costs, bond counsel fees, disclosure counsel fees, fees ofthe financial advisor and any premium paid to the Bond Insurer for issuance ofthe Bond Insurance Policy and the Reserve Account Insurance Policy or Reserve Account Letter of Credit. DESCRIPTION OF THE SERIES 2015 BONDS General The Series 2015 Bonds will be dated the date of their delivery, will be issued in denominations of $5,000 or integral multiples thereof and will bear interest at the rates and mature on the dates and in the amounts set forth on the inside cover page of this Official Statement. lnterest on the Series 2015 Bonds is payable on March 1,2016 and semiannually thereafter on each September 1 and March I until maturity or earlier redemption. Such interest shall be calculated on the basis of a 360 day year consisting of twelve 30-day months. The Agency has appointed U.S. Bank National Association, Jacksonville, Florida, as the Paying Agent for the Series 2015 Bonds (the "Paying Agent") and as the registrar for the Series 2015 Bonds (the "Registrar"). 473 In any case where the maturity date of, or the date for the payment of the principal of or interest on the Series 2015 Bonds, or the date fixed for redemption of any Series 2015 Bonds shall be a Saturday, Sunday or a day on which any Paying Agent is required, or authorized or not prohibited, by law (including executive orders) to close and is closed, then payment of such interest or principal need not be paid by the Paying Agent on such date but may be paid on the next succeeding business day on which the Paying Agent is open for business with the same force and effect as if paid on the date of maturity or date fixed for redemption, and no interest shall accrue for the penod after such date of maturity or date fixed for redemption. The Series 2015 Bonds will be registered in the name of Cede & Co., as registered owner and nominee of The Depository Trust Company, New York, New York ("DTC"). Purchases of beneficial interests in the Series 2015 Bonds will be made in book-entry-only form, without certificates. Unless a securities depository other than DTC is selected by the Agency, so long as the Series 2015 Bonds shall be in book-entry-only form, the principal of and interest on the Series 20i5 Bonds will be payable to Cede & Co. (or such other nominee selected by DTC), as registered owner thereof, and will be distributed by DTC and the DTC Participants to the Beneficial Owners (as such terms are hereinafter defined). See "DESCRIPTION oF THE SERIES 2015 BONDS - Book-Entry only System" herein. Redemption Provisions Optional Redemption The Series 2015 Bonds maturing on or before March 1,20_are not subject to redemption prior to maturity. The Series 2015 Bonds maturing on or after March 1,20_are subject to redemption prior to maturity, at the option of the Agency, on or after 1,20- in whole or in part at any time, in any order of maturity selected by the Agency and by lot or by such other manner as the Registrar shall deem appropriate within a maturity, at a redemption price equal to one hundred percent (100%) of the principal amount of the Series 20i5 Bonds to be redeemed, together with accrued interest to the date fixed for redemption. Mandatory Sinking Fund Redemption The Series 2015 Bonds maturing on March 1,20- are subject to mandatory sinking fund redemption in part prior to maturity, by lot or by such other manner as the Registrar shall deem appropriate, through the application of Amortization Requirements, at a redemptionprice equal to one hundred percent (100%) of the principal amount thereof, plus accrued interest to the redemption date, on March 1 of each year in the following amounts and in the years specified: Due (March l) * Amortization Requirement $ x Final maturify. Moneys in the Bond Redemption Account shall be used solely for the purchase, redemption or payment at maturity of the Term Bonds payable therefrom at such times as the same are subject to 474 mandatory redemption or payment. However, the Agency may at any time use money held in the Bond Redemption Account for the payment of Amortization Requirements to purchase any Series 2015 Bonds that are Term Bonds at prices not greater than the then redemption price of said Term Bonds. If the Term Bonds are not then redeemable, the Agency may purchase said Term Bonds at prices not greater than the redemption price of such Term Bonds on the next ensuing redemption date. If, by the application of moneys in the Bond Redemption Account, the Agency shall purchase or call for redemption in any year Term Bonds in excess of the Amortization Requirements for such year, such excess of Term Bonds so purchased or redeemed shall be credited in such manner and at such times as the Executive Director shall determine over the remaining payment dates. Notice of Redemption Mailing of Notice of Redemption. Notice of redemption shall be given by deposit in the U.S. mails of a copy of a redemption notice, postage prepaid, at least thirty (30) and not more than sixty (60) days before the redemption date to all registered owners of the Series 20 I 5 Bonds or portions of the Series 2015 Bonds to be redeemed at their addresses as they appear on the registration books to be maintained in accordance with the provisions of the Bond Resolution. Failure to mail any such notice to a registered owner of a Series 2015 Bond, or any defect therein, shall not affect the validity of the proceedings for redemption of any Series 201 5 Bond or portion thereof with respect to which no failure or defect occurred. Such notice shall set forth the date fixed for redemption, the rate ofinterest borne by each Series 2015 Bond being redeemed, the date of publication, if any, of a notice of redemption, the name and address of the Registrar and the Paying Agent, the redemption price to be paid and, if less than all of the Series 2015 Bonds then Outstanding shall be called for redemption, the distinctive numbers and letters, including CUSIP numbers, if any, of such Series 2015 Bonds to be redeemed and, in the case of Series 2015 Bonds to be redeemed in part only, the portion of the principal amount thereof to be redeemed. If any Series 201 5 Bond is to be redeemed in part only, the notice of redemption which relates to such Series 201 5 Bond shall also state that on or after the redemption date, upon surrender of such Series 2015 Bond, a new Series 2015 Bond or Series 2015 Bonds in a principal amount equal to the unredeemed portion of such Series 2015 Bond will be issued. Any notice of redemption that is mailed in accordance with the provisions of the Bond Resolution shall be conclusively presumed to have been duly given, whether or not the owner of the Series 2015 Bond called for redemption receives such notice. ln the case of an optional redemption of Series 2015 Bonds, the redemption notice may state that (a) it is conditioned upon the deposit of moneys with the Paying Agent or with a bank, trust company or other appropriate fiduciary institution acting as escrow agent (the "escrow agent"), in amounts necessary to effect the redemption, no later than the redemption date, or (b) the Agency retains the right to rescind such notice on or prior to the scheduled redemption date (in either case, a "Conditional Redemption"), and such notice and optional redemption shall be of no effect if such moneys are not so deposited or if the notice is rescinded as described in this paragraph. Any such notice of Conditional Redemption shall be captioned "Conditional Notice of Redemption." Any Conditional Redemption may be rescinded at any time prior to the redemption date if the Agency delivers a written direction to the Registrar directing the Registrar to rescind the redemption notice. The Registrar shall give prompt notice of such rescission to the affected Bondholders. Any Bonds subject to Conditional Redemption where redemption has been rescinded shall remain Outstanding, and neither the rescission nor the failure by the Agency to make such moneys available shall constitute a default under the Bond Resolution. Effect of Redemptian. Notice having been given in the manner and under the conditions described above, and with respect to a Conditional Redemption, the Conditional Redemption not having been 475 rescinded, the Series 2015 Bonds or portions of Series 2015 Bonds so called for redemption shall, on the redemption date designated in such notice, become and be due and payable at the redemption price provided for redemption of such Series 2015 Bonds or portions of Series 2015 Bonds on such date. On the date so designated for redemption, moneys for payment of the redemption price being held in separate accounts by the Paying Agent in trust for the registered owners of the Series 2015 Bonds or portions thereof to be redeemed, all as provided in the Bond Resolution, interest on the Series 2015 Bonds or portions of Series 201 5 Bonds so called for redemption shall cease to accrue, such Series 20 I 5 Bonds and portions of Series 2015 Bonds shall cease to be entitled to any lien, benefit or security under the Bond Resolution and shall be deemed paid thereunder, and the registered owners of such Series 2015 Bonds or portions of Series 2015 Bonds shall have no right in respect thereof except to receive payment of the redemption price thereof and to receive Series 20 1 5 Bonds for any unredeemed portions of the Series 20 1 5 Bonds. Book-Entry-0nly System DTC will act as securities depository for the Series 2015 Bonds. The Series 2015 Bonds will be issued as fully-registered securities registered in the name of Cede & Co., as DTC's partnership nominee, or such other name as may be requested by an authorized representative of DTC. One fulIy-registered Series 2015 Bond certificate will be issued for each maturity of the Series 2015 Bonds, as set forth on the inside cover page of this Official Statement, each in the aggregate principal amount of such maturity, and will be deposited with DTC. DTC, the world's largest depository, is a limited-purpose trust company organized under the New York Banking Law, a "banking organization" within the meaning of the New York Banking Law, a member of the Federal Reserve System, a "clearing corporation" within the meaning of the New York Uniform Commercial Code, and a "clearing agency" registered pursuant to the provisions of Section 17A of the Securities Exchange Act of 1934. DTC holds and provides asset servicing for over 3.5 million issues of U.S. and non-U.S. equity issues, corporate and municipal debt issues, and money market instruments from over one hundred (100) countries that its participants ("Direct Participants") deposit with DTC. DTC also facilitates the post-trade settlement among Direct Participants of sales and other securities transactions in deposited securities, through electronic computerized book-entry transfers and pledges between Direct Participants' accounts, thereby eliminating the need for physical movement of securities certificates. Direct Participants include both U.S. and non-U.S. securities brokers and dealers, banks, ffust companies, clearing corporations, and certain other organizations. DTC is a wholly-owned subsidiary of The Depository Trust & Clearing Corporation ("DTCC"). DTCC is the holding company for DTC, National Securities Clearing Corporation and Fixed lncome Clearing Corporation, all of which are registered clearing agencies. DTCC is owned by the users of its regulated subsidiaries. Access to the DTC system is also available to others such as both U.S. and non-U.S. securities brokers and dealers, banks, trust companies and clearing corporations that clear through or maintain a custodial relationship with a Direct Participant, either directly or indirectly ("Indirect Participants" and, together with Direct Participants, "DTC Participants"). DTC has Standard & Poor's rating of AA+. The DTC rules applicable to the DTC Participants are on file with the Securities and Exchange Commission. More information about DTC can be found at www,d1cq.cq14 and www.dtc.org. Purchases of Series 2015 Bonds under the DTC system must be made by or through Direct Participants, which will receive a credit for the Series 2015 Bonds on DTC's records. The ownership interest of each actual purchaser of each Series 2015 Bond ("Beneficial Owner") is in turn to be recorded on the DTC Participants' records. Beneficial Owners will not receive written confirmation from DTC of their purchase but Beneficial Owners are expected to receive written confirmations providing details of l0 476 the transaction, as weil as periodic statements of their hoidings, from the DTC Participant through which the Beneficial Owner entered into the transaction. Transfers of ownership interests in the Series 2015 Bonds are to be accomplished by entries made on the books of DTC Participants acting on behalf of Beneficiai Owners. Beneficial Owners will not receive certificates representing their ownership interests in Series 2015 Bonds, except in the event that use of the book-entry system for the Series 2015 Bonds is discontinued. To facilitate subsequent transfers, all Series 2015 Bonds deposited by Direct Participants with DTC are registered in the name of DTC's partnership nominee, Cede & Co, or such other name as may be requested by an authorized representative of DTC" The deposit of Series 2015 Bonds with DTC and their registration in the name of Cede & Co., or such other DTC nominee, will not effect any change in beneficial ownership of the Series 2015 Bonds. DTC has no knowledge of the actual Beneficial Owners of the Series 2015 Bonds; DTC's records reflect only the identity of the Direct Participants to whose accounts such Series 2015 Bonds are credited, which may or may not be the Beneficial Owners. The DTC Participants will remain responsible for keeping account of their holdings on behalf of their customers. Conveyance of notices and other communications by DTC to Direct Participants, by Direct Participants to lndirect Participants, and by DTC Participants to Beneficial Owners, will be governed by arrangements among them, subject to any statutory or regulatory requirements as may be in effect from time to time. Beneficial Owners of the Series 2015 Bonds may wish to take certain steps to augment the transmission to them of notices of significant events with respect to the Series 2015 Bonds, such as redemptions, defaults and proposed amendments to the documents securing the Series 2015 Bonds. For example, Beneficial Owners of the Series 2015 Bonds may wish to ascertain that the nominee holding the Series 2015 Bonds for their benefit has agreed to obtain and transmit notices to Beneficial Owners. In the alternative, Beneficial Owners may wish to provide their names and addresses to the Registrar and request that copies of notices are provided directly to them. Redemption notices shall be sent by the Registrar to DTC. If less than all of the Series 2015 Bonds within an issue are being redeemed, DTC's practice is to determine by lot the amount of the interest of each Direct Participant in such issue to be redeemed. Neither DTC nor Cede & Co. (nor any other DTC nominee) will consent or vote with respect to Series 2015 Bonds unless authorized by a Direct Participant in accordance with DTC's Procedures. Under its usual procedures, DTC mails an Omnibus Proxy to the Agency as soon as possible after the record date. The Omnibus Proxy assigns Cede & Co.'s consenting or voting rights to those Direct Participants to whose accounts the Series 2015 Bonds are credited on the record date (identified in a listing attached to the Omnibus Proxy). Principal and interest payments on the Series 2015 Bonds will be made to Cede & Co., or to such other nominee as may be requested by an authorized representative of DTC. DTC's practice is to credit Direct Participants' accounts upon DTC's receipt of funds and corresponding detail information from the Agency or the Paying Agent on the payable date in accordance with their respective holdings shown on DTC's records. Payments by DTC Parlicipants to Beneficial Owners will be governed by standing instructions and customary practices, as is the case with securities held for the accounts of customers in bearer form or registered in "street name," and will be the responsibility of such Participant and not of DTC, its nominee, the Paying Agent or the Agency, subject to any statutory or regulatory requirements as may be in effect from time to time. Payment of principal and interest to Cede & Co. (or such other nominee as may be requested by an authorized representative of DTC) is the responsibility of the Agency or the Paying Agent, disbursement of such payments to Direct Participants shall be the responsibility of 1l 477 DTC, and disbursement of such payments to the Beneficial Owners shall be the responsibility of DTC Participants. When reference is made to any action which is required or permitted to be taken by the Beneficial Owners, such reference shall only relate to those permitted to act (by statute, regulation or otherwise) on behaif of such Beneficial Owners for such purposes. When notices are given, they shall be sent by the Agency only to DTC. DTC may discontinue providing its services as securities depository with respect to the Series 201 5 Bonds at any time by giving reasonable notice to the Agency or the Paying Agent. Under such circumstances, in the event that a successor securities depository is not obtained, bond certificates representing the Series 2015 Bonds are required to be printed and delivered. The Agency may decide to discontinue use ofthe system ofbook-entry transfers through DTC (or a successor securities depository). ln that event, bond certificates representing the Series 2015 Bonds will be printed and delivered. Thereafter, Series 2015 Bond certificates may be transferred and exchanged as described in the Bond Resolution. See "APPENDIX D - The Bond Resolution." SO LONG AS CEDE & CO., AS NOMINEE FOR DTC, IS THE SOLE REGISTERED OWNER OF TIIE SERIES 2015 BONDS, THE AGENCY, THE REGISTRARAND THE PAYING AGENT SHALL TREAT CEDE & CO. AS THE ONLY OWNER OF THE SERIES 2015 BONDS FOR ALL PURPOSES UNDER THE BOND RESOLUTION, INCLUDING RECEIPT OF ALL PRINCIPAL OF AND INTEREST ON THE SERIES 2015 BONDS, RECEIPT OF NOTICES, VOTING AND REQUESTING OR DIRECTING TIIE AGENCY, THE REGISTRAR AND TITE PAYING AGENT TO TAKE OR NOT TO TAKE, OR CONSENTING TO, CERTAIN ACTIONS IINDER THE BOND RESOLUTION. THE AGENCY, TIIE REGISTRAR AND THE PAYING AGENT HAVE NO RESPONSIBILITY OR OBLIGATION TO THE DTC PARTICIPANTS OR THE BENEFICIAL OWNERS WITH RESPECT TO (A) THE ACCURACY OF ANY RECORDS MAINTAINED BY DTC OR ANY DTC PARTICIPANT; (B) THE PAYMENT BY ANY DTC PARTICIPANT OF ANY AMOTINT DUE TO ANY BENEFICIAL OWNER IN RESPECT OF TIIE PRINCIPAL OF AND INTEREST ON THE SERIES 2015 BONDS; (C) TIIE DELIVERY OR TIMELINESS OF DELIVERY BY ANY DTC PARTICIPANT OF ANY NOTICE TO ANY BENEFICIAL OWNERWHICIIIS REQUIRED ORPERMITTED UNDERTHE TERMS OF TIIE BOND RESOLUTION TO BE GMN TO BONDHOLDERS; OR (D) OTHER ACTION TAKEN BY DTC OR CEDE & CO., AS THE REGISTERED OWNER OF THE SERIES 2015 BONDS. The information in this section concerning DTC and DTC's book-entry system has been obtained from sources that the Agency believes to be reliable, but the Agency and the Underwriters take no responsibility for the accuracy of such information. SECURITY AND SOURCES OF PAYMENT Pledged Funds The payment of the principal of, redemption premium, if any, and interest on all Bonds are secured equally and ratably by a first lien on and pledge of the Pledged Funds, which consist of (i) the Trust Fund Revenues and (ii) except for moneys, securities and instruments in the Rebate Fund, all moneys, securities and instruments held in the funds and accounts established under the Bond Resolution. "Trust Fund Revenues" means the revenues derived from the Redevelopment Area and received by the Agency for deposit into the Trust Fund pursuant to Section 163.387, Florida Statutes, as amended, and Ordinances of 12 478 the City and the County establishing the Trust Fund and providing for the deposit therein of tax increment revenues from each "taxing authority," in accordance with the provisions of the Act. Pursuant to such provisions of the Act and Ordinances of the City and the County, as of the issuance of the Series 2015 Bonds, "taxing authority" shall mean the City and the County. See "THE AGENCY - Creation of Agency and Redevelopment Areas" herein. "Redevelopment Area" means the "City Center/Ilistoric Convention Village Redevelopment and Revitalization Area" located within the City and found by the City to be a "blighted area" within the meaning of the Act and as described in the Redevelopment Plan, as the geographic boundaries of such area may be changed from time to time, as permitted under the Act. See "THE AGENCY - Creation of Agency and Redevelopment Areas" herein. Trust Fand. In accordance with Section 163.387 of the Act, annual funding of the Trust Fund must be in an amount not less than that increment in the income, proceeds, revenues and funds of each taxing authority derived from or held in connection with the undertaking or carrying out of the Redevelopment Plan. The increment is an amount equal to ninety-five percent (95%) of the difference between: (i) The amount of ad valorem taxes levied each year by each taxing authority, exclusive of any amount from any debt service millage, on taxable real property contained within the geographic boundaries of the Redevelopment Area; and (ii) The amount of ad valorem taxes which would have been produced by the rate upon which the tax is levied each year by or for each taxing authority, exclusive of any debt service millage, upon the total of the assessed value of the taxable real property in the Redevelopment Area, as shown on the most recent assessment roll used in connection with the taxation of such properfy by each taxing authority prior to the effective date of the ordinance establishing the Trust Fund (the "Base Year"). The Base Year for the Redevelopment Area is 1992. Each taxing authority must, by January I of each year, appropriate to the Trust Fund for so long as any Bonds are Outstanding a sum which is no less than the increment defined in the Act accruing to such taxing authority. Any taxing authority that does not pay the increment to the Trust Fund by January I must pay an amount equal to five percent (5%) of the amount of the increment and must pay interest on the amount of the increment equal to one percent (1%) for each month the increment is outstanding; provided, however, that the Agency may waive such penalty payments in whole or in part. The increment is used to measure the amount of the contribution which must be appropriated and contributed by each taxing authority that is required to make payments. The taxing authorities are not required and cannot be compelled to levy ad valorem taxes to generate any such increment to make such payments. The statutory obligation of a taxing authority to make the required payments to a community redevelopment trust fund continues for so long as a community redevelopment agency has indebtedness outstanding pledging tax increment revenues to the payment thereof, but not to exceed thirty (30) fiscal years from the date tax increment revenues were first deposited into the redevelopment trust fund or the fiscal year in which the redevelopment plan is subsequently amended and in no event later than sixty (60) years after the fiscal year in which the redevelopment plan was initially approved or adopted. Additionally, the obligation of the governing body which established a community redevelopment agency to fund the community redevelopment trust fund annually continues until all loans, advances and 13 479 indebtedness, if any, and interest thereon, of a community redevelopment agency incurred as a result of redevelopment in a community redevelopment area have been paid. The original Redevelopment Plan was adopted by the Agency and approved by the City on February 12,1993 and by the County on March 30, 1993. The Redevelopment Plan has been amended by the Agency since its original adoption. The Redevelopment Plan was most recently amended on November 19, 2014 to, among other things, extend the time period for the existence of the Agency from the Fiscal Year ending September 30, 2023 to the earlier of (i) the date no indebtedness pledging tax increment revenues of the Agency remains outstanding or (ii) March 30, 2044. Such amendment was approved by the Agency and the City on November 19,2014 and by the County on December 14,2074. See "THE AGENCY - Creation of Agency and Redevelopment Areas and - RDA Interlocal Agreement" herein- Exemptions from Trust Fund. Notwithstanding the foregoing description of the requirements imposed on each taxing authority to deposit tax increment revenues into the Trust Fund, Section 163.387(2)(c) of the Act exempts frompayment of the tax increment described above the following: (i) A special district that levies ad valorem taxes on taxable real property in more than one county; (ii) A special district for which, at the time the ordinance providing for the funding of the redevelopment trust fund is adopted, the sole available source of revenue such district has the authority to levy is ad valorem taxes; or any revenues or aid of such special district that may be dispensed or appropriated to a mosquito control district at the discretion of an entity other than such district; (iii) A library district, unless the community redevelopment agency had validated bonds as of April 30,1984; (iv) A neighborhood improvement district created by the laws of the State under the Safe Neighborhoods Act; (") A metropolitan transportation authority; or (vi) A water management district created under Section373.069, Florida Statutes. None of the taxing authorities of the Agency are exempt from the payment of tax increment pursuant to Section 163.387(2)(c) of the Act. In addition to the exemptions provided in Section 163.387(2)(c) of the Act, Section 163.387(2Xd) of the Act provides that the City may exempt from payment of the tax increment described above special districts that levy ad valorem taxes within the community redevelopment area of the Agency, either in the City's sole discretion or in response to a request from a special district. The Agency has entered into several lnterlocal Agreements relating to the use of Trust Fund Revenues. The most recent of such agreements is the Third Amendment to the Interlocal Cooperation Agreement dated January 20, 2015 (the "Third Amendment") among the Agency, the City and the County. The three (3) taxing authorities in the Redevelopment Area are the City, the County and The Children's Trust. However, pursuant to the terms of the Third Amendment, upon the refunding of all of the Outstanding Prior Bonds, The Children's Trust shall become exempt from the requirement to deposit tax increment revenues into the Trust Fund. As a 14 480 result of the Third Amendment, upon issuance of the Series 20i5 Bonds, The Children's Trust shall constitute a taxing authority that shall be exempt pursuant to Section 163.387(2Xd) of the Act. Each of the other provisions under the Third Amendment which have an impact on Trust Fund Revenues are obligations that are subordinate to the requirement to make deposits into the funds and accounts under the Bond Resolution to satisfy the Debt Service Requirement and the Reserve Account Requirement. See "SECURITY AND SOURCES OF PAYMENT - Flow of Funds" herein. Flow of Funds Creation of Funds and Accounls. Pursuant to the Act, the City and the County created the Trust Fund and established the Redevelopment Area. See "THE AGENCY - Creation of Agency and Redevelopment Areas" herein. The Bond Resolution created the "Miami Beach Redevelopment Agency Sinking Fund (City CenterAlistoric Convention Village)" (the "sinking Fund") and established four (4) separate accounts therein for the benefit of the Holders of all Outstanding Bonds. The accounts created in the Sinking Fund are the "Interest Account," the "Principal Account," the "Bond Redemption Account" and the "Debt Service Reserve Account." The Bond Resolution also created the "Miami Beach Redevelopment Agency Rebate Fund (City Center/flistoric Convention Village)" (the "Rebate Fund"), which fund shall be maintained by the Agency separate and apart from all other funds and accounts of the Agency and which fund shall not be subject to the lien of the Bond Resolution in favor of Holders of the Bonds. The Agency shall deposit pledged Funds into the Rebate Fund in the amounts required to be paid to the United States of America to satisfy the arbitrage rebate covenants made by the Agency in connection with the issuance of Tax-Exempt Bonds. In addition, the Bond Resolution created the "Miami Beach Redevelopment Agency Construction Fund (Ciry Center,rllistoric Convention Village)" (the "Construction Fund"). Separate accounts within the Construction Fund shall be created for the deposit of proceeds of each Series of Bonds and other available moneys to fund Redevelopment Projects being funded from proceeds of such Series of Bonds and other available moneys. Proceeds and other moneys on deposit in the Construction Fund shall be disbursed by the Agency to pay costs of the Redevelopment Project for which the applicable Series of Bonds was issued. If for any reason moneys in the Construction Fund, or any part thereol including any investment earnings on deposit therein, are not necessary for, or are not applied to the purposes provided for the applicable Series ofBonds, then such unappliedproceeds, upon certification ofa duly authorized official of the Agency that such surplus proceeds are not needed for such pu{poses, shall be applied to the redemption or purchase or payment of principal of Outstanding Bonds. Each of the funds and accounts created in the Bond Resolution shall be held and administered by the Agency. Such funds and accounts shall constitute trust funds (except for the Rebate Fund) held solely for the purposes provided in the Bond Resolution. Deposit and Use of Trust Fund Revenaes. As soon as the same are received by the Agency, all Trust Fund Revenues shall be deposited into the Trust Fund. The Trust Fund shall constitute a trust fund for the purposes provided in the Bond Resolution, shall be held by the Agency and shall be maintained separate and distinct from all other funds of the Agency and used only for the purposes and in the manner provided in the Bond Resolution and the Act. In each Fiscal Year, all Trust Fund Revenues deposited in the Trust Fund during such Fiscal Year shall be disposed of by the Agency only in the following manner: 15 481 (1) Trust Fund Revenues shall first be used, to the fuil extent required, for deposit into the lnterest Account in the Sinking Fund, immediately upon receipt of such Trust Fund Revenues, of such sums as shall be sufficient to pay the interest becoming due on the Bonds during the current calendar year (or if such Trust Fund Revenues are deposited in the Trust Fund during the first quarter of such Fiscal Year, to pay the interest becoming due on the Bonds through the end of the next succeeding calendar year); provided, however, that such deposit for interest shall not be required to be made into the Interest Account to the extent that money on deposit therein is sufficient for such purpose. The Agency shall, on the business day prior to each Interest Payment Date, transfer to the Paying Agent moneys in an amount equal to the interest due on such lnterest Payment Date or shall advise the Paying Agent of the amount of any deficiency in the amount on deposit in the Interest Account so that the Paying Agent may give appropriate notice required to provide for the payment of such deficiency from any Reserve Account Insurance Policy or Reserve Account Letter of Credit on deposit in the Debt Service Reserve Account. (2) (a) Trust Fund Revenues shall next be used, to the full extent required, for deposit into the Principal Account in the Sinking Fund, immediately upon receipt of such Trust Fund Revenues, of such sums as shall be sufficient to pay the principal amount of Serial Bonds which will mature during the current calendar year (or if such Trust Fund Revenues are deposited in the Trust Fund during the first quarter of such Fiscal Year, to pay the principal amount of Seria1 Bonds which will mature through the end of the next succeeding calendar year); provided, however, that such deposit for principal shall not be required to be made into the Principal Account to the extent that money on deposit therein is sufficient for such purpose. The Agency shall, on the business day prior to each principal payment date, transfer to the Paying Agent moneys in an amount equal to the principal due on such principal payment date or shall advise the Paying Agent of the amount of any deficiency in the amount on deposit in the Principal Account so that the Paying Agent may give appropriate notice required to provide for the payment of such deficiency from any Reserve Account lnsurance Policy or Reserve Account Letter of Credit on deposit in the Debt Service Reserve Account. (b) Trust Fund Revenues shall next be used, to the full extent required, for deposit into the Bond Redemption Account in the Sinking Fund, immediately upon receipt of such Trust Fund Revenues, of such Amortization Requirements as may be required for the payment of the Term Bonds payable from the Bond Redemption Account during the current calendar year (or if such Trust Fund Revenues are deposited in the Trust Fund during the first quarter of such Fiscal Year, for the payment of the Term Bonds payable from the Bond Redemption Account through the end ofthe next succeeding calendar year). (3) Trust Fund Revenues shall next be used, to the fuIl extent required, for deposit into the Debt Service Reserve Account, immediately upon receipt of such Trust Fund Revenues, of the difference between the amount on deposit in the Debt Service Reserve Account (including any Reserve Account Insurance Policy or Reserve Account Letter of Credit) and the Reserve Account Requirement for the Bonds Outstanding, and, provided further, that no payments shall be required to be made into the Debt Service Reserve Account whenever and as long as the amount deposited therein (including any Reserve Account Insurance Policy or Reserve Account Letter of Credit) shall be equal to the Reserve Account Requirement for the Bonds Outstanding. t6 482 (4) Trust Fund Revenues shall next be used for the payment of any subordinated obligations issued by the Agency under the Bond Resolution, which subordinate obligations shall have such lien on the Trust Fund Revenues as the Agency shall determine in the proceedings authorizing the issuance of such subordinated obligations. (5) Thereafter, the balance of any Trust Fund Revenues remaining in the Trust Fund shall, subject to the requirement to deposit moneys into the Rebate Fund, be used by the Agency for any lawful purposes, including payment ofany fees and expenses ofthe Fiduciaries; provided, however, that none of such Trust Fund Revenues shall ever be used for the purposes provided in this paragraph (5) unless all payments required in paragraphs (1) through (4) above, including any deficiencies for prior payments and any amounts due to the issuer of any Reserve Account Insurance Policy or Reserve Account Letter of Credit, have been made in full to the date of such use. Notwithstanding anything in the preceding paragraphs (1) and (2) to the contrary, failure to make the scheduled payments specified therein shall not constitute a breach of the Agency's obligations under the Bond Resolution so long as, on the date that any interest or principal payment is due on the Bonds, monies sufficient to make such payment are on deposit in the lnterest Account, Principal Account or the Bond Redemption Account, as the case may be. ln addition, if any amount applied to the payment of principal of, premium, if any, and interest on the Bonds that would have been paid from an account in the Sinking Fund, is paid instead under a Credit Facility, amounts deposited in such relevant account may be paid, to the extent required, to the issuer of the Credit Facility having therefore made said corresponding payment. Debt Service Reserve Account The Bond Resolution established the Debt Service Reserve Account for the benefit of the Bonds and requires that the amount held therein equal the Reserve Account Requirement. "Reserve Account Requirement" means the least of (i) the Maximum Annual Debt Service on all Bonds Outstanding, (ii) 125% of the Average Annual Debt Service on all Bonds Outstanding, or (iii) 10% of the proceeds of the Bonds within the meaning of the Code. Moneys in the Debt Service Reserve Account shall be used only for the purpose of making payments of principal of and interest on the Bonds when the moneys in the Funds and Accounts held pursuant to the Bond Resolution and available for such purpose are insufficient therefor. Any moneys in ih. p"bt Service Reserve Account in excess of the Reserve Account Requirement for the Bonds Outstanding may, in the discretion of the Agency, be transferred to and deposited in the Interest Account, the Principal Account or the Bond Redemption Account as the Agency at its option may determine' Notwithstanding the foregoing provisions, in lieu of or in substitute for the required deposits (including existing deposits therein) into the Debt Service Reserve Account, the Agency may cause to be deposited into the Debt Service Reserve Account a Reserve Account lnsurance Policy or a Reserve Account Letter of Credit for the benefit of the Holders of the Bonds Outstanding, which Reserve Account Insurance Policy or Reserve Account Letter of Credit shall be payable or available to be drawn upon, as the case may be (upon the giving of notice as required thereunder), on any Interest Payment Date on which a deficiency exists which cannot be cured by moneys in any other Fund or Account held pursuant to the Bond Resolution and available for such purpose. t1 483 If any such Reserve Account Insurance Policy or Reserve Account Letter of Credit is substituted for moneys on deposit in the Debt Service Reserve Account, the excess moneys in the Debt Service Reserve Account shall be transferred to and deposited in the Interest Account, the Principal Account or the Bond Redemption Account as the Agency at its option may determine. If a disbursement is made under the Reserve Account Insurance Policy or the Reserve Account Letter of Credit, the Agency shall be obligated to either reinstate the maximum limits of such Reserve Account Insurance Policy or Reserye Account Letter of Credit following such disbursement or to deposit into the Debt Service Reserve Account from the Trust Fund Revenues funds in the amount of the disbursements made under such Reserve Account Insurance Policy or Reserve Account Letter of Credit, or a combination of such alternatives as shall equal the Reserve Account Requirement for the Bonds Outstanding. In the event that upon the occurrence of any deficiency in the lnterest Account, the Principal Account or the Bond Redemption Account, the Debt Service Reserve Account is then funded with one or more Reserve Account Insurance Policies and,lor Reserve Account Letters of Credit, the Agency or the Paying Agent, as applicable, shall, on an interest or principal payment date or mandatory redemption date to which such deficiency relates, draw upon or cause to be paid under such facilities, on a pro-rata basis thereunder, an amount sufficient to remedy such deficiency, in accordance with the terms and provisions of such facilities and any corresponding reimbursement or other agreement governing such facilities; provided however, that if at the time of such deficiency the Debt Service Reserve Account is only partially funded with one or more Reserve Account Insurance Policies and/or Reserve Account Letters of Credit, prior to drawing on such facilities or causing payments to be made thereunder, the Agency shall first apply any cash and securities on deposit in the Debt Service Reserve Account to remedy the deficiency and, if after such application a deficiency still exists, the Agency or the Paying Agent, as applicable, shall make up the balance of the deficiency by drawing on such facilities or causing payments to be made thereunder. Amounts drawn or paid under a Reserve Account lnsurance Policy or Reserve Account Letter of Credit shall be applied only for the purpose of making payments of principal of and interest on the Bonds when the moneys in the Funds and Accounts held pursuant to the Bond Resolution and available for such purpose are insufficient therefor. Any amounts drawn or paid under a Reserve Account lnsurance Policy or Reserve Account Letter of Credit shall be reimbursed to the issuer thereof in accordance with the terms and provisions of the reimbursement or other agreement governing such facility. [The Agency will, on the date of issuance of the Series 2015 Bonds, deposit into the Reserve Account from proceeds of the Series 2015 Bonds an amount equal to the Reserve Account Requirement for the Series 2015 Bonds or, in lieu of such a deposit or any portion thereof, wili deposit a Reserve Account Insurance Policy and/or Reserve Account Letter of Credit.l Additional Bonds Pursuant to the Bond Resolution, no additional Bonds, payable out of the Pledged Funds, including, without limitation, Trust Fund Revenues, on a parity with the Series 2015 Bonds shall be issued unless certain conditions set forth in the Bond Resolution are met, including: (i) The Agency must be current in all deposits and payments required under the Bond Resolution and the Agency must be currently in compliance with the covenants and provisions of the Bond Resolution and any supplemental resolution hereafter adopted for the issuance of additional parity Bonds, unless upon the issuance of such additional parity Bonds the Agency will be in compliance with all such covenants and provisions, 18 484 (iD The aggregate of the Trust Fund Revenues (not including any portion thereof which may be attributable to investment earnings) received by the Agency during the immediateiy preceding Fiscal Year were at least equal to one hundred fifty percent (150%) of the Maximum Annual Debt Service on (a) the Bonds originally issued pursuant to the Bond Resolution and then Outstanding, (b) any additional parity Bonds theretofore issued and then Outstanding, and (c) the additional parity Bonds then proposed to be issued. The Agency need not comply with the requirement described in subparagraph (ii) above in the issuance of additional parity Bonds if and to the extent the Bonds to be issued are refunding Bonds delivered in lieu of or in substitution for Bonds originally issued under the Bond Resolution or previously issued additional parity Bonds, if the Agency shall cause to be delivered a certificate of the Executive Director of the Agency setting forth (1) the Maximum Annual Debt Service (a) with respect to the Bonds of all Series Outstanding immediately prior to the date of authentication and delivery of such refunding Bonds, and (b) with respect to the Bonds of all Series to be Outstanding immediately thereafter, and (2) that the Maximum Annual Debt Service set forth pursuant to (b) above is no greater than that set forth pursuant to (a) above. The term "additional parity Bonds" shall be deemed to mean additional obligations evidenced by Bonds issued under the provisions and within the limitations set forth in the Bond Resolution, as generally described herein, to finance Redevelopment Projects payable from the Pledged Funds on a parity with Bonds originally authorized and issued pursuant to the Bond Resolution. Such Bonds shall be deemed to have been issued pursuant to the Bond Resolution the same as the Bonds originally authorized and issued pursuant to the Bond Resolution and all of the covenants and other provisions of the Bond Resolution (except as to details of such Bonds evidencing such additional parity obligations inconsistent therewith) shall be for the equal benefit, protection and security of the Holders of any Bonds originally authorized and issued pursuant to the Bond Resolution and the Holders of any Bonds evidencing additional obligations subsequently issued within the limitations of and in compliance with the provisions herein describing the issuance of additional parity Bonds. All of such Bonds, regardless of the time or times of their issuance, shall rank equally with respect to their lien on the Pledged Funds and their sources and security for payment therefrom, without preference of any Bonds over any other Bonds. The term "additional parity Bonds" shall not be deemed to include bonds, notes, certificates or other obligations subsequently issued in accordance with the Bond Resolution, the lien of which on the Pledged Funds is subject to the prior and superior lien on the Pledged Funds of the Bonds. The Agency has covenanted in the Bond Resolution that it shall not issue any obligations whatsoever payable from the Pledged Funds which rank prior to or equally as to lien and source and security for their payment from the Pledged Funds with the Bonds, except in the manner and under the conditions provided in the Bond Resolution for the issuance of additional parity Bonds or pursuant to the provisions of the Bond Resolution relating to the issuance of other obligations thereunder. Also, see "THE AGENCY - RDA Interlocal Agreement" for a description of certain additional restrictions relating to the issuance of additional parity Bonds. Other Obligations Secured by Pledged Funds Except upon the conditions and in the manner provided in the Bond Resolution, the Agency has covenanted that it will not issue any other obligations payable from the Pledged Funds, nor voluntarily create or cause to be created any debt, lien, pledge, assignment, encumbrance or any other charge having priority to or being on a parity with the lien of the Bonds on the Pledged Funds; provided, however, that 19 485 the Agency may (i) enter into agreements with issuers of Credit Facilities which involve liens on the Pledged Funds on a parity with that of the Series of Bonds or portion thereof which is supported by such Credit Facilities solely with respect to any reimbursement obligations due such issuers which evidence amounts equal to the scheduled statedprincipal (including, without limitation, Amortization Requirements) and interest due on the Series of Bonds or portion thereof which is supported by such Credit Facilities. Any other obligations, in addition to the Bonds authorized by the Bond Resolution or additional parity Bonds issued under the terms, restrictions and conditions contained in the Bond Resolution, and obligations to issuers ofCredit Facilities as described above, shall provide that such obligations arejunior, inferior and subordinate in all respects to the Bonds issued pursuant to the Bond Resolution as to lien on and source and security for payment from the Pledged Funds and in all other respects. However, nothing in the Bond Resolution shall be deemed to prohibit the Agency from entering into currency swaps or other arrangements for hedging interest rates on any indebtedness. Also, see "THE AGENCY - RDA Interlocal Agreement" for a description of certain additional restrictions relating to the issuance of obligations payable from the Pledged Funds. Limited Liability The Series 2015 Bonds shall not be and shall not be deemed to constitute a debt, Iiability or obligation of the Agency, the City, the County, the State or any political subdivision thereof within the meaning of any constitutional, statutory or charter provisions or limitations, or a pledge of the faith and credit of the Agency, the City, the County, the State or any political subdivision thereof, but shall be payable solely from the Pledged Funds. No Holder or Holders of any Series 2015 Bonds shall ever have the right to compel the exercise of the ad valorem taxing power of the City, the County, the State or any political subdivision thereof, or taxation in any form of any real or personal property therein, or the application of any funds of the Agency, the City, the County, the State or any political subdivision thereof to pay the Series 2015 Bonds or the interest thereon or the making of any sinking fund or reserve payments provided for in the Bond Resolution, other than the Pledged Funds. The Series 2015 Bonds and the obligations evidenced thereby shall not constitute a lien upon any property owned by or siluated within the corporate territory of the Agency or the City, but shall constitute a lien only on the Pledged Funds, to the extent, in the manner, and with the priority of application provided in the Bond Resolution. See "APPENDIX D - The Bond Resolution." Modifications or Supplements to Bond Resolution No adverse material modification or amendment may be made to the Bond Resolution without the consent in writing of (a) the Holders of more than fifty percent (50%) in aggregate principal amount of the Bonds then Outstanding or (b) in case less than all of the several Series of Bonds then Outstanding are affected by the modification or amendment, the Holders of more than fifty percent (50%) in aggregate principal amount of the Bonds of each Series so affected and Outstanding at the time such consent is given. However, no modification or amendment shall permit (i) a change in the maturity of any of the Bonds or a reduction in the rate of interest thereon, (ii) a change in the promise of the Agency to pay the principal of and interest on any Bonds, as the same mature or become due, from the Pledged Funds, or (iii) a reduction in the required percentage of Holders of the Bonds, as described above, for modifications or amendments, without the consent of all of the Holders of the Bonds outstanding. For the purpose of Bondholders' voting rights or consents authorized by the Bond Resolution, the consent of the Holders of any additional Series of Bonds shall be deemed given if the underwriters or initial purchasers for resale consent in writing to such supplemental resolution and the nature of the 20 486 amendment effected by such supplemental resolution is disclosed in the official statement or other offering document pursuant to which such additional Series of Bonds is offered and sold to the public. In addition, for purposes of providing the written consent of the Holders of any Series of Bonds to any supplemental resolution modi$zing or amending any term or provision of the Bond Resolution, to the extent any Series of Bonds is secured by a Credit Facility, the consent of the issuer the Credit Facility for such Series of Bonds shall constitute the consent of the Holders of such Bonds. Notwithstanding the foregoing, the Agency may, from time to time, without the consent of the Holders of any Series of Bonds, amend, change, modiSr or alter the Bond Resolution for any of the specifically authorized reasons set forth in Sections 601(a) through (h) of the Bond Resolution. See "APPENDX D - The Bond Resolution." MT]NICIPAL BOND INSURANCE TO COME, IF NEEDED IREMAINDER OF PAGE INTENTIONALLY LEFT BLANK] 2t 487 DEBT SERVICE SCHEDULE The following table sets forth the Debt Service Requirement 2015 Bonds. for each Fiscal Year for the Series Total Outstanding Bonds Series 20 I 5A Bonds Series 20158 BondsFiscal Year 2016 2017 201 8 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 2040 204t 2042 2043 2044 Total Principal Interest $$ Principal Interest $$$ Total $ Total $: $: $- $: THE AGENCY s_$_ General The Agency is a public body corporate and politic, and a public instrumentality, created by the City in 1976 pursuant to the Act in order to pursue a program of community redevelopment within designated portions of the City, as permitted by the Act. The primary objective of the Agency is to formulate and implement a workable program for utilizing appropriate private and public resources to eliminate and prevent the development and spread of blighted conditions in the designated redevelopment areas. 22 488 The funding required to accomplish the objectives of the Agency may involve a variety of sources, but emphasis for such funding is placed primarily on tax increment revenue financings. Tax increment revenue financing provides a mechanism for tax revenues generated by properties within sium and blighted areas to effectively pay for redevelopment in the area, without reducing the amount of tax revenues received by taxing authorities in the area when the redevelopment trust fund is created. See "SECURITY AND SOURCES OF PAYMENT - Pledged Funds" herein. Creation of Agency and Redevelopment Areas On January 26, 1993, the Board of County Commissioners of Miami-Dade County, Florida (the "County Commission") adopted Resolution No. R-14-93, which among other things (i) found the area in the City bounded on the East by the Atlantic Ocean, on the North by 24th Street, on the West by West Avenue and on the South by 14th Lane (the "Redevelopment Area") to be a "blighted area," within the meaning of Section 163.340(8) of the Act, (ii) determined that the Redevelopment Area was in need of rehabilitation, conservation, redevelopment, or a combination of such activities and (iii) delegated to the City, pursuant to Section 163.410 of the Act, the power to (a) make findings and determine the Redevelopment Area to be a slum and/or blighted area, (b) make findings of necessity as to the rehabilitation, conservation, and/or redevelopment of the Redevelopment Area, (c) create a community redevelopment agency and delegate powers to the agency, or declare itself as the agency with the power to exercise such powers assigned to the agency, and (d) initiate, prepare and adopt a plan of redevelopment and any amendments thereto, subject to the review and approval of the County Commission. In response to the findings in Resolution No. R-14-93, on February 3, 1993 the City Commission adopted Resolution No. 93-20709, which among other things (i) declared the Redevelopment Area, known as the "City Center/llistoric Convention Village Redevelopment and Revitalization Area," to be a "blighted area," (ii) determined that the Redevelopment Area was in need of rehabilitation, conservation, redevelopment, or a combination of such activities, (iii) declared that the City's existing community redevelopment agency would serve as the community redevelopment agency for the Redevelopment Area, with all of the powers permitted a community redevelopment agency under the Act, and with the City Commission serving as the members of the Agency, and (iv) directed the initiation, preparation and adoption of a redevelopment plan for the Redevelopment Area. On February 3, 1993, the Agency adopted Resolution No. 126-93 accepting the findings and delegations of the City in Resolution No. 93-20709. As directed, the Agency caused the Redevelopment Plan to be prepared. The Redevelopment Plan provided for initiatives and objectives to revitalize the area surrounding the Convention Center and Lincoln Road and foster the development of a convention hotel and necessary linkages to the Convention Center. Pursuant to Resolution No. 93-2072 adopted by the City Commission on February 12, 1993, the City approved the Redeveiopment Plan and directed its implementation. The Redevelopment Plan and the Interlocal Cooperation Agreement between the City and the County, dated and executed on November 16, 1993 (the "RDA lnterlocal Agreement") providing for certain responsibilities related to operations in the Redevelopment Area, were approved by the County pursuant to Resolution No. R-317-93 adopted by the County Commission on March 30, 1993. ln accordance with Section 163.387 of the Act, on February 24,1993 the City Commission enacted Ordinance No. 93-2836 to create the Trust Fund. On April 27, 1993 the County Commission enacted Ordinance No. 93-28 approving the creation of the Trust Fund. Ordinance No. 93-2836 was amended by the City Commission's enactment of Ordinance No. 2014-3901 on November 8,2074 and Ordinance No. 93-28 was amended by the County Commission's enactment of Ordinance No. l4-133 on December 16, 20i4 Such amending Ordinances approved on behalf of the City and the County, respectively, amendments z-) 489 to the Trust Fund to provide for (i) extension of the Trust Fund to the earlier of March 31,2044 or the date the Agency lndebtedness is no longer outstanding and (ii) exemption of The Children's Trust from the obligation to deposit tax increment into the Trust Fund upon the earlier of March 31,2023 or the date the Outstanding Prior Bonds are no longer outstanding. The Redevelopment Area is located partly within and partly adjacent to the City's Art Deco District, and covers approximately fifty (50) city blocks, containing approximately three hundred thirty-t'wo (332) acres of land, [of which approximately twenty-nine percent (29%) is currently occupied by public space and approximately seventy-one percent (71%) by private use.l The Redevelopment Area includes the Lincoln Road Mall, the Convention Center, the Fillmore Miami Beach at the Jackie Gleason Theater, the Loews Miami Beach Hotel, the Royal Palm Crowne Plaza Resort Hotel and the Collins Park Cultural Center. The Redevelopment Area is the second area within the City to be designated for redevelopment by the Agency. The first of such areas included the redevelopment of South Shore, which is the area of the City South of Sixth Street. Such redevelopment area is known as the South Pointe Redevelopment District. As of September 30, 2005, the South Pointe Redevelopment District ceased to be a redevelopment area of the Agency. RDA Interlocal Agreement To provide for responsibilities and operations of the Agency and certain uses of Trust Fund Revenues, the City and the County have entered into various agreements, including amendments to the RDA Interlocal Agreement. The most recent of such agreements is the Third Amendment entered into by the Agency, the City and the County, which became effective on January 20,2015. Among other things, the Third Amendment provided for the following: (l) approval for the issuance of tax increment revenue bonds bythe Agency in one or more series in an aggregate principal amount not to exceed $430 million, maturing not later than March 37, 2044, for the purpose of: (a) refunding all of the Outstanding Prior Bonds (see "PIIRPOSE OF THE ISSUE - PIan of Refunding" herein); (b) providing approximately $275 million of proceeds to fund a portion of the estimated $582 million of the cost of the design, development and construction of renovations to the Convention Center (see "PURPOSE OF THE ISSUE - Series 2015 Redevelopment Proj ect" herein) ; (c) providing approximately $36 million of proceeds to fund the estimated cost of the design, development and construction of certain ancillary projects related to the renovations to be provided to the Convention Center (see "PURPOSE OF THE ISSUE - Series 2015 Redevelopment Project" herein); and (d) paying all costs of issuance and debt service reserves associated with the Series 2015 Bonds (see "ESTIMATED SOURCES AND USES OF FLINDS" herein); (2) extension of the period of time taxing authorities are required to deposit tax increment revenues into the Trust Fund pursuant to the Act to the earlier of March 31,2044 or ,,1 ^ 490 the date when all indebtedness secured by Trust Fund Revenues (hereinafter referred to as "Agency lndebtedness") is no longer outstanding; (3) after issuance of the Series 2015 Bonds, no additional Agency Indebtedness will be issued unless and until such issuance has been authorized by the County Commission; (4) upon the earlier of March 31,2023 or payment or defeasance of all of the Outstanding Prior Bonds, The Children's Trust shall become exempt from the requirement to deposit tax increment revenues into the Trust Fund (see "SECURITY AND SOURCES OF PAYMENT - Pledged Funds - Exemptions from Trust Fund" herein); (5) after the Outstanding Prior Bonds have been refunded or are no longer outstanding (see "PI-IRPOSE OF THE ISSUE - Plan of Refunding" herein), Trust Fund Revenues shall be distributed annually only as provided in the Third Amendment and in the following order of priority: (a) to pay debt service, reserve deposits and other costs and obligations associated with the 2015 Bonds and any other Agency lndebtedness; (see "SECURITY AND SOURCES OF PAYMENT - Flow of Funds" herein); (b) to remit to the City an operation and maintenance subsidy, to be used solely to fund operating and maintenance costs of the Convention Center, in an amount which shall equal $l million, beginning in the Fiscal Year ending September 30, 2018, increasing by $750,000 annually to equal $4 million in the Fiscal Year ending September 30,2022 through the Fiscal Year ending September 30,2025, and thereafter (until the earlier of the termination or expiration of the obligation to deposit Trust Fund Revenues or the date that the Convention Center is no longer in operation as a publicly owned convention center), the prior year's annual subsidy for such purpose, adjusted by the lesser of the consumer price index for the Miami urban area or four percent (4%r),which amount may be reduced in any year by the amount of convention development tax revenue received by the Agency or the City from the County for the purpose of funding operating and maintenance costs of the Convention Center; (c) to grant to the County by March 31 of each year (beginning in the Fiscal Year ending September 30,2024 and ending on the earlier of March 31,2044 or the date when all Agency Indebtedness is no longer outstanding), an amount equal to the County's proportionate share (based on the Trust Fund Revenues paid by the County divided by the total amount of Trust Fund Revenues deposited) of the total payments expended by the Agency in the prior fiscal year for Administration, Community Policing, and Capital Project Maintenance (as defined in the Third Amendment); (d) to pay expenses of the Agency for Administration, Community Policing, and Capital Project Maintenance up to $11.721 million for the Fiscal Year ended September 30,2015 and thereafter, up to an amount which shall not exceed the prior Fiscal Year's distribution for such expenses, adjusted by the lesser of the consumer price index for the Miami urban area or three percent (3%), plus an annual administrative fee (i) to the City of one and on-half percent (1 .5%) of Trust Fund Revenues paid by the City for such Fiscal Year and (ii) to the County of one and on-half percent (1.5%) of Trust Fund Revenues paid by the County for such Fiscal Year; 25 491 (e) to reimburse the City for the Bass Museum and Lincoln Road prior project costs of $1,286,464.26 for the Fiscal Year ending September 30,2016; and (0 within ninety (90) days of the end of each Fiscal Year, ending on the earlier of March 31,2023 or the termination or expiration of the obligation of taxing authorities to deposit tax increment revenues into the Trust Fund, deposit any unencumbered money held in the Trust Fund and all available revenues remaining after distribution of Trust Fund Revenues in the order, priority and amounts set forth in the immediately preceding subparagraphs (a) through (e), into a fund to be used to finance any shortfalls associated with the payment of the expenses described in subparagraph (d) of this Section (provided, however, that the deposit into the fund described in this subparagraph (f) shall only be made if it will not negatively affect the exclusion from gross income, for federal income tax purposes of interest on any tax-exempt Agency Indebtedness), with any amount remaining after payment of the expenses described in subparagraph (d) of this Section being used (beginning in the Fiscal Year ending September 30,2024) to extinguish Agency lndebtedness prior to maturity, to the extent such Agency lndebtedness is subject to prepayment or redemption prior to maturily at such time or, if such Agency Indebtedness is not then subject to prepayment or redemption prior to maturity, to establish an escrow for the prepayment or redemption prior to maturity of such Agency Indebtedness at such time as the Agency Indebtedness is subject to prepayment or redemption prior to maturity (provided, however, that such escrow shall only be established if it will not negatively affect the exclusion from gross income, for federal tax purposes, of interest on any tax-exempt Agency lndebtedness; and, provided further that, if the Agency lndebtedness is not subject to repayment or redemption prior to maturity, and an escrow cannot be established, then the Agency shall distribute annually any revenues remaining on deposit in the Trust Fund after the distributions descnbed in the immediately preceding subparagraphs (a) through (e), to the taxing authorities in the proportionate amount that the Trust Fund Revenues for such Fiscal Year were deposited into the Trust Fund; and (6) the County Commission shall appoint, in its sole and absolute discretion, the member of the County Commission that represents District 5 to serve as one of the members of the Agency. On November 19,2014, the Commission adopted Resolution No. 607-2014 approving execution and delivery by the Agency of the Third Amendment and the City Commission adopted Resolution No. 2014-28835 approving execution and delivery by the City of the Third Amendment. On December 16, 2014 the County Commission adopted Resolution No. R-11 10-14 approving execution and delivery by the County of the Third Amendment. Such Resolutions also approved amendments to the Redevelopment Plan on behalf of the Agency, the City and the County, respectively, to extend the Redevelopment Plan until the earlier of March 31,2044 or the date the Agency lndebtedness is no longer outstanding. Powers Pursuant to the Act, the Agency possesses certain powers that are necessary or convenient to carry out and effectuate redevelopment within its redevelopment areas, including, without limitation, the power: 26 492 (i) to acquire, dispose of, mortgage, pledge or otherwise encumber real property, subject to the iimitation that the acquisition of such property must be by purchase, lease, option, gift, grant, bequest, devise or other voluntary method of acquisition; (ii) to demolish or remove buildings or improvements or to carry out plans for the voluntary or compulsory repair or rehabilitation of buildings or improvements; (iii) to install, construct or reconstruct streets, utilities, parks, playgrounds or other improvements necessary for carrying out the community redevelopment objectives of the Agency; (iv) to provide, arrange or contract for the furnishing of services, privileges, works, streets, roads, public utilities or other facilities in connection with community redevelopment; (v) to borrow or invest money or to accept advances, loans, grants, contributions or other forms of financial assistance and to give such security as may be required therewith; and (ui) to prepare plans for and assist in the relocation of persons or entities displaced from the community redevelopment area and to make relocation payments to such persons or entities. Eminent Domain Legislation During the 2006 legislative session, the State legislature enacted Chapter 2006-11, Laws of Florida, among other things, which places certain limitations on the eminent domain power of governmental entities and agencies in the State. Specifically, Chapter 2006-11: (i) revised the Act to prohibit deiegation of the power of eminent domain from counties and municipalities to community redevelopment agencies; (ii) revised the Act to establish that the prevention or elimination of a slum or blighted area, as defined in the Act, and the preservation or enhancement of the tax base are not public uses or purposes for which private property may be taken by eminent domain; (iii) created Section 73.013, Florida Statutes, to provide that the power of eminent domain may not be exercised in the State to convey ownership or control of such property to any nafural person or private entity unless such property (a) will be limited to certain specifically enumerated purely public uses, such as providing: (l) common carrier services or systems, (2) road or other right-of-way access to the public for transportation, (3) public or private utility services or systems like electricity, natural gas, water and sewer or telephone, or (4) public infrastructure or an incidental part of a properry or facility that provides goods or services to the public, or (b) is the subject of a competitive bidding process, after notice to the public and certain rights have been granted to the person or entity owning the property prior to the institution of the eminent domain proceedings; and (i") created Section 73.014, Florida Statutes, to provide that the power of eminent domain may not be exercised to take private property for purpose of abating or eliminating a public nuisance or any slum or blight condition. 27 493 Personnel Originally created in 1976, the Agency was reorganized in 1983. Since its reorganization, the members of the City Commission have constituted the members of the Agency. Pursuant to the Third Amendment, the District 5 member of the County Commission also serves as a member of the Agency. In addition, the Mayor serves as the Chairman of the Agency, with the Vice Mayor serving as the Vice Chairman, the City Manager serves as the Executive Director of the Agency, with the Assistant City Manager in charge of Housing and Community Development serving as the Assistant Executive Director, the City's Chief Financial Officer serves as the Chief Financial Officer of the Agency, the City Attorney serves as the General Counsel of the Agency and the Clerk of the City serves as the Secretary of the Agency. Set forth below is a list which contains the current members of the Agency and the expiration of their respective terms of office: Miami Beach Redevelopment Agency Aqency Members Philip Levine, Chairman Edward L. Tobin, Vice Chairman Michael Grieco Joy Malakoff Micky Steinberg Deede Weithorn Jonah Wolfson Bruno A. Barreirox Date Term Ends November 2015 November 2015 November 2017 November 2017 November 2017 November 2015 November 2015 November 2016 * Serves as the District 5 member of the County Commission. Pursuant to the terms of the Third Amendment, such member of the Counly Commission also serves as a member of the Agency. The next general election of the City will be held on November 3, 2015. The Mayor is running against a single opponent in the upcoming election, as are two (2) of the three (3) City Commissioners. No City Commissioner whose term is expiring in November 2015 is running for reelection. In addition, if noone running for the seat that has more than two (2) candidates on the ballot receives more than fifty percent (50%) of the votes cast in the general election, a run-off election will be held to determine the winner of that race. If required, the run-off election will be held on November 17,2075. The results of the election are expected to be certified by the current Mayor and City Commission in a meeting to be held sometime after the general election or, if a run-off election is held, after the run-off election. The current Mayor and City Commission are expected to serve until newly eiected members have been seated. The Executive Director serves as the chief operating officer of the Agency, responsible for, among other things, the day-to-day administrative activities of the Agency, effectuation of its policies and programs and all other activities of the Agency. [Pursuant to an Interlocal Agreement entered into on by and between the City and the Agency, the City has agreed to make staff members available to provide to the Agency, as needed, general administrative and coordination services, 28 494 engineering services, financing services and pianning services, and the Agency has agreed to pay the City for the services provided by City employees.l On September 10, 2015 the Chief Financial Officer of the Agency and the Assistant Finance Director for the City resigned from their respective positions. The Chief Financial Officer had served in her position for eighteen (18) years and the Assistant Finance Director had been an employee of the City for seventeen (17) years. No explanations were provided by either employee in connection with the submittal of their resignations. However, the City Manager has stated that his decision to accept their resignations had nothing to do with the performance of the City's Finance Department nor the financial status of the City. Each position has been filled by the City Manager's appointment of experienced City employees who will serve in the position of Interim Chief Financial Officer and Interim Assistant Finance Director, respectively, until permanent replacements are selected. Set forth below is a description of certain management officials of the City who are responsible for the day-to-day operation of the Agency: Jimmy L. Morales, Esq., Executive Director. Mr. Morales became the Executive Director of the Agency when he was appointed City Manager for the City of Miami Beach, Florida in April 2013. Prior to accepting his position as City Manager, Mr. Morales was a shareholder and member of the Board of Directors of the law firm, Stearns Weaver Miller Weissler Alhadeff & Sitterson, P.A. from 2000-2013. Mr Morales also served as City Attorney for the City of Doral, Florida from 2009-2013 and as City Attorney for the City of Marathon, Florida from 2005-2009. In addition, Mr. Morales served as a member of the Board of County Commissioners of Miami-Dade County, Florida from1996-2004. He has received numerous professional awards, honors and recognitions, including the Greater Miami Chamber of Commerce Bill Colson Leadership Award for Outstanding Leadership and Superior Ability in 2000, the SAVE Dade Champion of Equality award in2006, and induction into the Miami Beach High School Hall of Fame in2004. He was selected as one of the Top Lawyers in South Florida by the Sottth Florida Legal Guide in2008-2009 and2011 and as one of the Florida Super Lawyers in 2006-2010. Mr. Morales received his Bachelor of Arts, Magna Cum Laude, from Harvard University and his Juris Doctorate, Magna Cum Laude, from Harvard Law School. John Woodruff, Interim Chief Financial Officer. Mr. Woodruff became the lnterim Chief Financial Officer of the Agency when he was appointed lnterim Chief Financial Officer for the City of Miami Beach, Florida in September 2015. Prior to accepting his position as lnterim Chief Financial Officer, Mr. Woodruff served as Director of the Office of Budget and Performance Improvement for the City from June 2013 to September 2015. Prior to joining the City, Mr. Woodruff served as co-owner of Panama Realtor Property Management Services from August 2012 to June 2013. He also served in various capacities for Pinellas County, Florida, including serving as Director of the Pinellas County Office of Management and Budget from April 2007 to July 2012 and as a Manager in such office from April2002 to April 2007 . Pior to employment in Florida, Mr. Woodruff served in various positions for the City of San Antonio, Texas, including serving as a Senior Budget and Management Analyst in the Office of Management and Budget for the City of San Antonio from February 2000 to April 2002 and as a Budget and Management Analyst in such office from January 1998 to February 2000. He also intemed with the U.S. Department of Commerce, the Intemational Affairs Department for the City of San Antonio and the Mayor's Office for the City of San Antonio. Mr. Woodruff received a Masters in Business Administration, in International Business, from the University of Texas at San Antonio and a Bachelor of Arts in History from the University of Texas at Austin. 29 495 Kathie G. Brooks, Assistant Executive Director. Ms. Brooks became the Assistant Executive Director of the Agency when he was appointed the Assistant City Manager in charge of the department responsible for community development within the City. Ms. Brooks was appointed Assistant City Manager of the City of Miami Beach, Florida in April 2013. She also served the City as its interim City Manager from July 2012 to April 2013 . Prior to accepting her position in the office of the City Manager, Ms. Brooks served as the City's Budget and Performance Improvement Director from 2004-2012. Pior to joining the City, Ms. Brooks served in various capacities and senior level positions for Miami-Dade County, Florida for two decades, including in the Miami-Dade County Budget Department from 2003- 2004, the Miami-Dade County Manager's Office of Performance lmprovement from 2001-2003, the Miami-Dade County Solid Waste Department from 1989-2001 and in the Miami-Dade County Transit Department from 1984-1989. Prior to her service in government, Ms. Brooks was a transportation planner for the firm of Schimpeler Corradino and Associates from 1980-1983. Ms. Brooks received her Bachelor and Master of Arts in Geography from the University of Miami. [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] 30 496 TRUST FUND REVENUES [THIS SECTION WILL BE UPDATED UPON RECEIPT OF ADDITIONAL INFORMATION] Ilistorical Trust Fund Revenues Upon issuance of the Series 2015 Bonds, the City and the County are the only two (2) taxing authorities that shall be required to make payments of tax increment into the Trust Fund. The Children's Trust is the other taxing authority that would be required under the Act to make payments of tax increment into the Trust Fund. However, The Children's Trust shall be exempt from such requirement upon issuance of the Series 2015 Bonds. See "THE AGENCY - Creation of Agency and Redevelopment Areas and - RDA Interlocal Agreement" herein. Set forth below is a table that shows the Trust Fund Revenues collected from the City and the County for the past ten (10) years. For more detailed information relating to the City and the County, see "APPENDIX A - General lnformation and Economic Data Regarding the City of Miami Beach, Florida and Miami-Dade County, Florida." Historical Trust Fund Revenues Tax Roll Fiscal Year Year As of Ended City of January 1 September 30 Miami Beach 200s 2006 $ 2006 2007 2007 2008 2008 2009 2009 2010 2010 20tt 20tt 2012 2012 2013 2013 2014 2014 2015 Source: City of Miami Beach Finance Department. Miami-Dade County $ Percentage Increase or Decrease Over Prior Year o//o Dollar Increase or Decrease Over Prior Year $ Total IREMAINDER OF PAGE INTENTIONALLY LEFT BLANK] 3l 497 Set forth below is a table that shows the assessed value of the taxable real property in Redevelopment Area that provided the basis for the amount of Trust Fund Revenues collected from City and the County for the past ten (10) years. Historical City Center/Historic Convention Village Real Property Assessed Values the the Tax Roll Year As of January 1 2005 2006 2007 2008 2009 2010 2011 2012 20r3 2014 Fiscal Year Ended September 30 2006 2007 2008 2009 2010 20tt 2012 2013 20t4 2015 A Final Gross Taxable Value Percentage Increase or Decrease Over Prior Year B Base Year Taxable Value(r) $292,572,271 292,572,271 292,572,271 292,572,271 292,572,271 292,572,271 292,572,271 292,572,271 292,572,2',71 292,572,271 =A-B Incremental Value (2) Percentage lncrease or Decrease Over Prior Year Dollar Increase or Decrease Over Prior Year $o/oo//o Source: City of Miami Beach Finance Department. ( I ) Represents taxable value of real property in the Redevelopment Area for the tax roll year as of January I, 7992, Fiscal Year ended September 30, 1993. See "SECURITY AND SOIIRCES OF PAYMENT - Pledged Funds - Trust Fund" herein.(2) Incremental Value equals the Final Gross Taxable Value minus the Base Year Taxable Value. [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] 32 498 Set forth below is a table that shows the taxable value of all new construction in the Redevelopment Area for the past five (5) years. The taxable value set forth in the table below was included in the final gross taxable value used in each year to determine the amount of Trust Fund Revenues collected from the city and the county for deposit into the Trust Fund. Ilistorical City Center/Historic Convention Village New Construction Taxable Values Tax Roll Fiscal New Construction Year Year lncrease or As of Ended (Decrease) in January 1 September 30 Taxable Value 2010 201r 2011 2012 2012 2013 2013 2014 2014 20ls Source: Ciry of Miami Beach Finance Department. IREMAINDER OF PAGE INTENTIONALLY LEFT BLANK] 33 499 Set forth below is a table that shows the top ten (10) principal taxpayers in the Redevelopment Area for Fiscal Year 2014, the taxable vaiue attributable to such taxpayers, the percentage of such value to the gross taxable value of all taxable properly in the Redevelopment Area and the type of property use attributed to each taxpayer. City Center/Historic Convention Village Principal Taxpayers Name of Taxpaver Use of Property Taxable Value $ Percentage of Fiscal Year 2014 Gross Taxable Value o//tl TOTAL Source: City of Miami Beach Finance Department and the Miami-Dade County Property Appraiser's Offrce. [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] o/-/o: 34 500 Set forth below is a table that shows the top ten Redevelopment Area for Fiscal Year 2074, based on the the percentage of the taxable value of such property or taxable property in the Redevelopment Area and the development. (10) properties or developments located in the taxable value of such property or development, deveiopment to the gross taxable value of all fype of use attributed to each properfy or Name of Development City Center/Historic Convention Village Principal Developments Use of Property Taxable Value (r) $ Percentage of Fiscal Year 2014 Gross Taxable Value % TOTAL 7o Source: Cify of Miami Beach Finance Department and the Miami-Dade County Property Appraiser's Office. (l) Taxable value represents the value for the entire development and not the taxable value attributable to any individual taxpayer (e.g., taxable value for condominiums is for entire complex, not any individual condominium owner or group of owners). [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] 35 501 Set forth below is a table that shows the operating millage rates levied during the past ten (10) years by the City and the County in the Redevelopment Area. Historical Millage Rates Tax Roll Year as of January I 2005 2006 2001 2008 2009 201 0 2011 2012 2013 2014 Fiscal Year Ended September 30 2006 2007 2008 2009 20r0 2011 2012 2013 2014 20t5 City of Miami Beach 7.4810 7.3740 5.6555 5.6555 5.6555 6.2155 6.1 655 6.0909 5.8634 Miami-Dade Countv 5.8350 4.5615 4.5796 4.8379 4.8379 5.4275 4.8050 4.703s 4.7035 Source: City of Miami Beach Finance Department. Set forth on the following page is a table that expenditures for the Redevelopment Area, the amount such amounts for the past five (5) Fiscal Years. reflects the historical statement of revenues and held in the Trust Fund and the annual changes in [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] 36 502 City Center/Historic Convention Village Statement of Revenues, Expenditures and Changes in Fund Balances Revenues Tax Increment City of Miami Beach Miami-Dade County Total Tax Increment Miscellaneous Resort Tax(r) Rents and Leases Interest Other Miscellaneous Revenues Total Miscellaneous Total Revenues Expenditures Debt Service(2) Debt Service Coverage Operations General Government Public Safety Economic Environment Transportation Culrural and Recreation Capital Outlay Total Operations Total Expenditures Sale of Capital Assets Transfers In Transfers Out Net Change in Fund Balances Fund Balances - Beginning Fund Balances Ending For the Fiscal Year Ended September 30, 2010 2011 20t2 2013 2014 $$$$$ $_s_$$ Source: City of Miami Beach Finance Department. )t 503 Footnotes below provided for table on immediately preceding page. (1) Footnote to be added. (2) Represents the Debt Service Requirement on the Outstanding Prior Bonds. See "INTRODUCTION,'and "PLAN OF REFLINDING" herein. Set forth below is a table that shows the rate of growth of taxable values and tax increment in City CenterAlistoric Convention Village for the past five (5) Fiscal years. City Center/Historic Convention Village Tax Increment Revenues and Growth For lhe Fiscal Year Ended September 30. 2010 2011 2rl2 2013 2014 Increase (Decrease) in Existing Value % % % % % Existing Value New Construction Final Gross Taxable Value Base Year Taxable Value lncremental Taxable Value (292.s7 2.27 1) (292.s7 2.27 t\ (292.57 2.27 1) (292,57 2.27 1\ (292,57 2 "27 t) $_$$_$$ City of Miami Beach* Millage Rate (City) 5,6555 6.2155 6.1655 6.0909 6.8634 GrosslncrementalRevenue $ $ $ $ $ Statutory Reduction (5.0%) (5.0%) (5.0%) (5.0%\ (5.0%\ City Tax Incremental Revenue Miami-Dade County* Millage Rate (county) 4.8379 5.4275 4.8050 4.7035 4.7035 Gross Incremental Revenue Statutory Reduction (5.0%) (5.0%) (S.O%\ (5.0%) (5.0%) County Tax Incremental Revenue Total Tax Incremental Revenue $_ $$_$$_ Source: City of Miami Beach Finance Department. * See "SECURITY AND SOURCES OF PAYMENT - Pledged Funds" for a description of the requirements imposed on each taxing authority for the determination of tax increment revenues. 38 504 Historical Debt Service Coverage. Set forth below is a table that shows the Trust Fund Revenues, debt service on the Outstanding Prior Bonds and the debt service coverage provided by the Trust Fund Revenues generated for the past five (5) Fiscal Years. Trust Fund Revenues, Debt Service on Bonds and Debt Service Coverage Fiscal Year 2010 2011 2012 2013 2014 Trust Fund Revenues $ Debt Service on Outstanding Prior Bonds $8,393,267 8,393,254 8,393,916 8,397,766 8,403,739 Debt Service Coverage on Outstanding Prior Bonds x Maximum Annual Debt Service on Series 2015 Bonds(t) s23,748,2s0 23,748,250 23,749,250 23,748,259 23,748,250 Coverage on MaximumAnnual Debt Service for Series 2015 Bonds(r) Source: City of Miami Beach Finance Department. (1) Represents the Maximum Annual Debt Service on the Series 2015 Bonds, assuming an aggregate principal amount of $358,495,000, a final maturity of March 1,2044, and a true interest cost of 4.319%. The assumed Maximum Annual Debt Service on the Series 2015 Bonds is included solely for purposes of showing the amount ofcoverage that would have been available ifthe Series 2015 Bonds had been issued prior to Fiscal Year 2010. The assumed Maximum Annual Debt Service on the Series 2015 Bonds occurs in Fiscal years 2025 and2028. All amounts are preliminary, subject to change. RISK FACTORS The following discussion provides information relating to certain risks that could affect payments of the principal of, redemption premium, if any, and interest on the Bonds. The order in which the following information is presented is not intended to reflect the relative importance of the risks discussed. The following information is not, and is not intended to be, exhaustive and should be read in conjunction with all of the other sections of this Official Statement, including its appendices. prospective purchasers of the Series 2015 Bonds should analyze carefully the information contained in this Official Statement, including its appendices (and including the additional information contained in the form of the complete documents referenced or summarized herein), for a more complete description of the investment considerations relevant to purchasing the Series 2015 Bonds. Copies of any documents referenced or summarized in this Official Statement are available from the Agency or the City. See "INTRODUCTION,' herein. 39 505 Limited Obligation of Agency Paymentfrom Pledged Funds Only. The ability of the Agency to make timely payments of the principal of, redemption premium, if any, and interest on the Bonds depends upon the ability of the Agency to collect Trust Fund Revenues which, together with earnings thereon and on amounts held in the funds and accounts created under the Bond Resolution, will be adequate to make such payments. The Bonds are not general obligations supported by the fulI faith and credit of the City, the Agency, the County or the State or any political subdivision ofthe foregoing, but are payable solely from the Pledged Funds. Neither the State, the County or the City, or any other political subdivision of the State has any obligation or power under the Bond Resolution or under Florida law to levy any taxes in order to pay debt service on the Bonds or to avail or cure any default in any such payments. The Agency does not have the power to lelry taxes. Limited Replenishment Of De/iciencies. Except for the Debt Service Reserve Account, there is no fund or account under the Bond Resolution which is required to contain amounts to make up for any deficiencies in the event of one or more defaults by the Agency in making payments of debt service on the Bonds. There is no source from which the Sinking Fund will be replenished, except the Trust Fund Revenues and investment income on moneys in the funds and accounts held under the Bond Resolution. There can be no representation or assurance that the Agency will realize sufficient Trust Fund Revenues to pay, when due, all required payments of debt service on the Bonds. Tax Increment Financing Concentration of Revenues. A significant portion of the Trust Fund Revenues received by the Agency are from large residential developments and commercial developments in the Redevelopment Area. See "TRUST FUND REVENUES - Historical Trust Fund Revenues" herein. The occurrence of any event that has a major negative impact on such developments, including, without limitation, natural disasters (such as hurricanes and other major tropical storms to which South Florida is generally subject), could significantly reduce the Trust Fund Revenues that can be collected by the Agency which could, in turn, have a material adverse impact on the ability of the Agency to pay debt service on the Bonds. Competition from Comparable Development Projects. The current growth strategy for the Redevelopment Area is in competition with other communities located outside the Redevelopment Area whose growth will not generate Trust Fund Revenues. The growth strategy for the Redevelopment Area is heavily dependent upon the development of commercial projects. In the event that a large number of commercial projects are constructed in the City outside the Redevelopment Area, the demand for commercial space within the Redevelopment Area could be reduced, thereby leading to a possible reduction in future development in the Redevelopment Area and a reduction in the collection of Trust Fund Revenues. Millage Rates. The addition of significant numbers of new taxpayers or an increase of property values outside the Redevelopment Area could result in an environment favorable to the reduction of the County and/or the City millage rate. The County and/or the City could determine that its millage rates should be reduced for other reasons as well. Any reduction in millage rates by the County or the City could reduce the amount of Trust Fund Revenues payable by the County and/or the City which, in turn, could negatively impact the ability of the Agency to pay debt service on the Bonds. Decreuses in Property Values. The amount of Trust Fund Revenues collected historically and expected to be collected in the future to pay debt service on the Bonds is dependent upon the strength of 40 506 the taxable value of real property in the Redevelopment Area. Such value has actually decreased in recent years as a result of the general downturn in the economy and specifically, in the real estate market throughout the State. Numerous events could occur that might further reduce or cause an extended stagnation in the value of real property within the Redevelopment Area, including, without limitation, natural disasters (such as hurricanes and other major tropical storms to which South Florida is generally subject), public acquisition of property within the Redevelopment Area by the State or political subdivisions exercising their respective rights of eminent domain, or social, economic or demographic factors (or adverse public perceptions related thereto) beyond the control of the Agency, the City or the taxpayers in the Redevelopment Area. Any or all of such events could materially, adversely affect the realization and collection of Trust Fund Revenues. State, Nationul and International Economic and Politicul Factors. Certain economic or political developments, such as new downturns in the State, national or international economy or an inability to recover fully from the most recent economic downturn, increased national or international barriers to tourism or trade or international currency fluctuations, could all materially, adversely affect the continued development of the Redevelopment Area, its attraction to businesses and investors and, as a result, its ability to produce sufficient Trust Fund Revenues to pay debt service on the Bonds. Appeals of Assessmenfs. The amount of Trust Fund Revenues collected annually is dependent upon the assessed value of taxable property in the Redevelopment Area.. See "SECURITY AND SOURCES OF PAYMENT - Pledged Funds" herein. State law allows taxpayers to dispute assessment valuations. Any successful appeals of assessment valuations will result in less Trust Fund Revenues being collected annually than is currently contemplated. If such appeals resulted in a significant reduction in the overall assessed value of the taxable propeffy in the Redevelopment Area, they could have a material adverse impact on the ability of the Agency to pay debt service on the Bonds. Adverse Legislative, Judicial or Administrative Action. The State legislature, the courts or an administrative agency with jurisdiction in the matter could enact new laws or regulations or interpret, amend, alter, change or modify the laws or regulations governing the collection, distribution, definition or accumulation of ad valorem tax revenues generally, or tax increment revenues specifically, in a fashion that would materially, adversely affect the ability of the Agency to receive Trust Fund Revenues in an amount sufficient to pay debt service on the Bonds. No Feasibility Consultanl. This Official Statement provides historical information to demonstrate that the Redevelopment Area generates sufficient Trust Fund Revenues to pay debt service on the Series 2015 Bonds. In connection with the issuance of the Series 2015 Bonds, the Agency determined that it would not engage an independent feasibility consultant to provide an analysis of projected growth in the Redevelopment Area or to calculate projected Trust Fund Revenues. As a result, while the Agency reasonably believes Trust Fund Revenues will be sufficient to meet Debt Service Requirements, no forecasts or projections of Trust Fund Revenues to pay debt service on the Bonds are included in this Official Statement. Requirement of Interlocal Agreement to Redeem Bonds. The Third Amendment establishes a requirement that excess Trust Fund Revenues be (i) held in escrow and (ii) beginning in the Fiscal Year ending September 30, 2024 or in any later year when such outstanding Agency Indebtedness can be redeemed, if redemption is not available during Fiscal Year 2024,used for the purpose of prepaying or redeeming outstanding Agency Indebtedness; provided such use of funds does not negatively affect the exclusion from gross income for federal income tax purposes of interest on any tax-exempt Agency lndebtedness. See "THE AGENCY - RDA lnterlocal Agreement" herein. The requirement use excess 41 507 Trust Fund Revenues to redeem Agency Indebtedness prior to maturity may make the optional redemption of the Series 2015 Bonds on the earliest date when the Series 2015 Bonds can be redeemed more likely than would be the case if such requirement did not exist. PENSION AND OTHER POST EMPLOYMENT BENEFITS Defined Benefit Plans AII of the employees providing services to the Agency are also employees of the City. The following is a brief description of the Agency employees' participation in the Miami Beach Employees' Retirement Plan and the City's Pension Fund for Firefighters and Police (the "Plans"). Pursuant to Modification 29 of the Florida State Social Security Agreement, effective January 1, 1955, the City does not participate in the federal Old-Age and Survivors lnsurance System embodied in the U.S. Social Security Act. Instead, it provides eligible employees a comprehensive defined benefit pension. The City does participate in the hospital insurance tax, also known as Medicare, and withholds taxes accordingly. All full-time employees of the City who work more than thirty (30) hours per week and hold classified or unclassified positions, except for policemen and firemen, are covered by the Miami Beach Employees' Retirement Plan (the "Employee Plan"). The Employee Plan provides retirement benefits as well as death and disability benefits at two (2) different tiers of employees, depending on when the employees entered the Employee Plan. All first tier employees who participate are required to contribute twelve percent (12%) of their salary to the Employee Plan. All second tier employees are required to contribute ten percent (10%) of their salary to the Employee Plan. The Employee Plan's funding policy provides for periodic employer contributions at actuarially determined rates that, expressed as percentages of annual covered payroll, are sufficient to accumulate sufficient assets to pay benefits when due. The City's Pension Fund for Police and Firefighters (the "Police and Firefighters' Plan) is a defined benefit pension plan covering substantially all police officers and firefighters of the City. Members of the Police and Firefighters'Plan contribute ten percent (10%) of their salary. The City is required to contribute an actuarially determined amount that, when combined with members' contributions, will fully provide for all benefits as they become payable. Based on a percentage of budgeted salary by position per department, the Agency is allocated a proportionate share of contributions by the City and hence contributes annually to the Plans. Contributions for 2014 were $946,000. At September 30, 2014 the Agency did not have a net pension obligation or a net pension asset. For more detailed information concerning the Plans, see "APPENDIX B - Excerpts from the Comprehensive Annual Financial Report of the City of Miami Beach, Florida for the Fiscal Year ended September 30,2014" and, in particular, Note IV of such Financial Report. Other Post Employment Benefits ln accordance with Section 112.0801, Florida Statutes, the City is required to permit eligible retirees and their eligible dependents to participate in the City's health insurance program at a cost to the retirees that is no greater than the cost at which coverage is available for active employees. Such requirement extends to employees of the City who provide services to the Agency. Although not required by law, the City pays a portion of such cost of participation for its retirees. The City also provides life insurance to the retirees. As with all governmental entities providing similar plans, the City is required 42 508 to comply with the Governmental Accounting Standard's Board Statement No. 45 - Accounting and Financial Reporting by Employers for Postemployment Benefits Other than Pensions ("GASB 45"). GASB 45 applies accounting methodology similar to that used for pension liabilities to other post employment benefits ("OPEB") and attempts to more fully reveal the costs of employment by requiring governmental units to include future OPEB costs in their financial statements. While GASB 45 requires recognition and disclosure of the unfunded OPEB liability, there is no requirement that the liability of such plan be funded. The City has the authority to establish and amend its OPEB funding policy. The annual cost of the City's OPEB PIan is calculated based on the annual required contribution (the "ARC"), an amount actuarially determined in accordance with the parameters of GASB 45. The ARC represents a level of funding that, if paid on an ongoing basis, is projected to cover the normal cost each year and amortize any unfunded actuarial liability over a period not to exceed thirty (30) years. As of September 30, 2008, the City established an OPEB Trust (the "OPEB Trust") and began funding its OPEB obligation. The Agency's ARC to the OPEB Trust for the Fiscal Year ended September 30,2014 was based on an actuarially determined amount for the City. The Agency was allocated its equitable share of the ARC, based on its covered payroll. The Agency contributed $197,318 to the OPEB Trust. At September 30, 2014, the Agency did not have a net OPEB obligation or a net OPEB asset. For more detailed information concerning OPEB, see "APPENDIX B - Excerpts from the Comprehensive Annual Financial Report of the City of Miami Beach, Florida for the Fiscal Year ended September 30,2014" and, in particular, Note IV(f; of such Financial Report. LEGAL MATTERS Certain legal matters incident to the issuance of the Series 2015 Bonds and with regard to the tax- exempt status of the interest on the Series 2015 Bonds (see "TAX MATTERS" herein) are subject to the legal opinion of Squire Patton Boggs (US) LLP, Bond Counsel to the Agency. The signed legal opinion of Bond Counsel, substantially in the form attached hereto as APPENDIX E, dated and premised on law in effect as of the date of issuance of the Series 2015 Bonds, will be delivered on the date of issuance of the Series 2015 Bonds. The actual legal opinion to be delivered may vary from the form attached hereto to reflect facts and law on the date of delivery. The opinion will speak only as of its date, and subsequent distribution of it by recirculation of this Official Statement or otherwise shall create no implication that Bond Counsel has reviewed or expresses any opinion concerning any of the matters referenced in the opinion subsequent to its date of issuance. While Bond Counsel has participated in the preparation of certain portions of this Official Statement, it has not been engaged by the Agency to confirm or verify such information. Except as may be set forth in an opinion of Bond Counsel delivered to the Underwriters, Bond Counsel expresses and will express no opinion as to the accuracy, completeness or fairness of any statements in this Official Statement, or in any other reports, financial information, offering or disclosure documents or other information pertaining to the Agency or the Series 2015 Bonds that may be prepared or made available by the Agency, the Underwriters or others to the Holders of the Series 2015 Bonds or other parties. Certain legal matters incident to the issuance of the Series 2015 Bonds relating to disclosure will be passed on for the Agency by the Law Offices of Steve E. Bullock, P.A., Miami, Florida, whose legal services as Disclosure Counsel have been retained by the Agency. The signed legal opinion, dated and 43 509 premised on law in effect as of the date of original delivery of the Series 2015 Bonds, wiil be delivered to the Agency by Disclosure Counsel at the time of original delivery of the Series 2015 Bonds. The proposed text of the form of the legal opinion of Disclosure Counsel is set forth as APPENDX F to this Official Statement. The actual legal opinion to be delivered may vary from that text if necessary to reflect facts and law on the date of delivery. The opinion will speak only as of its date, and subsequent distribution of it by recirculation of this Official Statement or otherwise shall create no implication that Disclosure Counsel has reviewed or expresses any opinion concerning any of the matters referenced in the opinion subsequent to its date of issuance. Certain legal matters will be passed on for the Agency by Raul J. Aguila, Esquire, Miami Beach, Florida, General Counsel to the Agency, and for the Underwriters by their counsel, Greenberg Traurig,, P.A., Miami, Florida. The legal opinions and other letters of counsel to be delivered concurrently with the delivery of the Series 2015 Bonds express the professional judgment of the attorneys rendering the opinions or advice regarding the legal issues and other matters expressly addressed therein. By rendering a legal opinion or advice, the giver ofsuch opinion or advice does not become an insurer or guarantor ofthe result indicated by that opinion, or the transaction on which the opinion or advice is rendered, or of the future performance of parties to the transaction. Nor does the rendering of an opinion guarantee the outcome of any legal dispute that may arise out of the transaction. LITIGATION There is no litigation pending that seeks to restrain or enjoin the issuance or delivery of the Series 2015 Bonds or contesting the proceedings or authority under which they are to be issued or the creation, organization or existence of the Agency or, if determined adversely to the Agency, would have a material adverse impact on the ability of the Redevelopment Area to generate sufficient Trust Fund Revenues to pay debt service on the Series 2015 Bonds. The Agency experiences routine litigation and claims incidental to the conduct of its affairs. In the opinion of General Counsel to the Agency, there are no lawsuits presently pending or, to the best of his knowledge, threatened, the adverse outcome of which would impair the Agency's ability to perform its obligations to the owners of the Series 2015 Bonds. ENFORCEABILITY OF REMEDIES The remedies available to the owners of the Series 2015 Bonds upon the occurrence of a default under the Bond Resolution are in many respects dependent upon judicial actions which are often subject to discretion and delay. Under existing constitutional and statutory law and judicial decisions, the remedies specified by the Bond Resolution and the Series 2015 Bonds may not be readily available or may be limited. The various legal opinions to be delivered concurrently with the delivery of the Series 2015 Bonds (including Bond Counsel's approving opinion) wiil be qualified, as to the enforceability of the various legal instruments, by limitations imposed by bankruptcy, reorganization, insolvency or other similar laws affecting the rights of creditors enacted before or after such delivery and to general principles of equity (whether sought in a court of law or equity). 44 510 TAX MATTERS Series 2005A Bonds General. NO ATTEMPT HAS BEEN MADE TO PROVIDE THAT INTEREST ON THE SERIES 2OI'ABONDS IS EXCLUDED FROM GROSS INCOME OF THE HOLDERS THEREOF FOR FEDERAL INCOME TAX PURPOSES. NO OPINION IS RENDERED WITH RESPECT TO THE FEDERAL TAX CONSEQUENCES OF OWNERSHIP OF THE SERIES 20154 BONDS AND EACH PITRCHASER SHOULD CONSULT ITS OWN TAX ADVISOR TO DETERMINE THE FEDERAL TAX CONSEQUENCES OF OWNTNG THE SERIES 2015A BONDS. Payments of principal of and interest on the Series 20154 Bonds may be subject to "backup withholding tax" under Section 3406 of the Internal Revenue Code of 1986, as amended (the "Code"), at a rate of twenty-eight percent (28%) if recipients of such payments (other than foreign investors who have properly provided required certifications) fail to properly provide to the payor certain information, including their taxpayer identification numbers, or otherwise fail to establish an exemption from such tax. Any amounts deducted and withheld from a payment to a recipient are allowed as a credit against the federal income tax of such recipient. Furthermore, certain penalties may be imposed by the lntemal Revenue Service on a recipient of payments who is required to supply information but does not do so in the proper manner. In the opinion of Sanders Patton Boggs (US) LLP, Bond Counsel, under existing law, the Series 2015A Bonds and the income thereon are exempt from taxation under the laws of the State of Florida, except estate taxes imposed by Chapter 198, Florida Statutes, as amended, and net income and franchise taxes imposed by Chapter 220,Florida Statues as amended. Bond Counsel will express no opinion as to any other federal or state tax consequences regarding the Series 2015A' Bonds. Series 20158 Bonds General. ln the opinion of Squire Patton Boggs (uS) LLP, Bond Counsel, under existing law: (i) interest on the Series 20158 Bonds is excluded from gross income for federal income tax pu{poses under Section 103 of the Intemal Revenue Code of 1986, as amended (the "Code"), and is not an item of tax preference for purposes of the federal alternative minimum tax imposed on individuals and corporations; and (ii) the Series 20158 Bonds and the income thereon are exempt from taxation under the laws of the State of Florida, except estate taxes imposed by Chapter 198, Florida Statutes, as amended, and net income and franchise taxes imposed by Chapter 22),Florida Statutes, as amended. Bond Counsel expresses no opinion as to any other tax consequences regarding the Series 20158 Bonds. The opinion on tax matters will be based on and will assume the accuracy of certain representations and certifications, and continuing compliance with certain covenants, of the Agency contained in the transcript of proceedings and that are intended to evidence and assure the foregoing, including that the Series 20158 Bonds are and will remain obligations the interest on which is excluded from gross income for federal income tax purposes. Bond Counsel will not independently verify the accuracy of the Agency's representations and certifications or the continuing compliance with the Agency's covenants. The opinion of Bond Counsel is based on current legal authority and covers certain matters not directly addressed by such authority. It represents Bond Counsel's legal judgment as to exclusion of interest on the Series 20158 Bonds from gross income for federal income tax purposes but is not a 45 511 guaranty of that conclusion. The opinion is not binding on the lnternal Revenue Service ("IRS") or any court. Bond Counsel expresses no opinion about (i) the effect of future changes in the Code and the applicable regulations under the Code or (ii) the interpretation and the enforcement of the Code or those regulations by the IRS. The Code prescribes a number of qualifications and conditions for the interest on state and local government obligations to be and to remain excluded from gross income for federal income tax purposes, some of which require future or continued compliance after issuance of the obligations. Noncompliance with these requirements by the Agency may cause loss of such status and result in the interest on the Series 20158 Bonds being included in gross income for federal income tax purposes retroactively to the date of issuance of the Series 20 15B Bonds. The Agency has covenanted to take the actions required of it for the interest on the Series 20158 Bonds to be and to remain excluded from gross income for federal income tax purposes, and not to take any actions that would adversely affect that exclusion. After the date of issuance of the Series 20158 Bonds, Bond Counsel will not undertake to determine (or to so inform any person) whether any actions taken or not taken, or any events occurring or not occurring, or any other matters coming to Bond Counsel's attention, may adversely affect the exclusion from gross income for federal income tax purposes of interest on the Series 20158 Bonds or the market value of the Series 20158 Bonds. A portion of the interest on the Series 20 158 Bonds earned by certain corporations may be subject to a federal corporate alternative minimum tax. In addition, interest on the Series 20158 Bonds *uy b. subject to a federal branch profits tax imposed on certain foreign corporations doing business in the United States and to a federal tax imposed on excess net passive income of certain S corporations. Under the Code, the exclusion of interest from gross income for federal income tax purposes may have certain adverse federal income tax consequences on items of income, deduction or credit for certain taxpayers, including financial institutions, certain insurance companies, recipients of Social Security and Railroad Retirement benefits, those that are deemed to incur or continue indebtedness to acquire or carry tax-exempt obligations, and individuals otherwise eligible for the earned income tax credit. The applicability and extent of these and other tax consequences will depend upon the particular tax status or other tax items of the owner of the Series 20158 Bonds. Bond Counsel will express no opinion regarding those consequences. Payments of interest on tax-exempt obligations, including the Series 20158 Bonds, are generally subject to IRS Form 1099-INT information reporting requirements. If a Series 20158 Bond owner is subject to backup withholding under those requirements, then payments of interest will also be subject to backup withholding. Those requirements do not affect the exclusion of such interest from gross income for federal income tax purposes. Bond Counsel's engagement with respect to the Series 20158 Bonds ends with the issuance of the Series 201 58 Bonds, and, unless separately engaged, Bond Counsel is not obligated to defend the Agency or the owners of the Series 2015B Bonds regarding the tax status of interest thereon in the event of an audit examination by the IRS. The IRS has a program to audit tax-exempt obligations to determine whether the interest thereon is includible in gross income for federal income tax purposes. If the IRS does audit the Series 20158 Bonds, under current IRS procedures, the IRS will treat the Agency as the taxpayer and the beneficial owners of the Series 20158 Bonds will have only limited rights, if any, to obtain and participate in judicial review of such audit. Any action of the IRS, including but not limited to selection of the Series 20 I 58 Bonds for audit, or the course or result of such audit, or an audit of other obligations presenting similar tax issues, may affect the market value of the Series 2015Ei Bonds. 46 512 Prospective purchasers of the Series 20158 Bonds upon their original issuance at prices other than the respective prices indicated on the inside cover of this Official Statement, and prospective purchasers of the Series 20158 Bonds at other than their original issuance, should consult their own tax advisers regarding other tax considerations such as the consequences of market discount, as to all of which Bond Counsel expresses no opinion. Risk of Future Legislative Changes and/or Court Decisiazs. Legislation affecting tax-exempt obligations is regularly considered by the United States Congress and may also be considered by the State legislature. Court proceedings may also be filed, the outcome of which could modify the tax treatment of obligations such as the Series 20158 Bonds. There can be no assurance that legislation enacted or proposed, or actions by a court, after the date of issuance of the Series 2015B Bonds will not have an adverse effect on the tax status of interest on the Series 20158 Bonds or the market value or marketability of the Series 20158 Bonds. These adverse effects could result, for example, from changes to federal or state income tax rates, changes in the structure of federal or state income taxes (including replacement with another type of tax), or repeal (or reduction in the benefit) of the exclusion of interest on the Series 20158 Bonds from gross income for federal or state income tax purposes for all or certain taxpayers. For example, recent presidential and legislative proposals would eliminate, reduce or otherwise alter the tax benefits currently provided to certain owners of state and local government bonds, including proposals that would result in additional federal income tax on taxpayers that own tax-exempt obligations if their incomes exceed certain thresholds. Investors in the Series 201 58 Bonds should be aware that any such future legislative actions (including federal income tax reform) may retroactively change the treatment of all or a portion of the interest on the Series 20158 Bonds for federal income tax purposes for all or certain taxpayers. In such event, the market value of the Series 20158 Bonds may be adversely affected and the ability of holders to sell their Series 20158 Bonds in the secondary market may be reduced. The Series 20158 Bonds are not subject to special mandatory redemption, and the interest rates on the Series 20158 Bonds are not subject to adjustment in the event of any such change. Investors should consult their own financial and tax advisers to analyze the importance of these risks. Original Issue Discount and Original Issue Premium. Certain of the Series 20158 Bonds ("Discount Bonds") as indicated on the inside cover page of this Official Statement were offered and soid to the public at an original issue discount ("OID"). OID is the excess of the stated redemption price at maturity (the principal amount) over the "issue price" of a Discount Bond. The issue price of a Discount Bond is the initial offering price to the public (other than to bond houses, brokers or similar persons acting in the capacity of underwriters or wholesalers) at which a substantial amount of the Discount Bonds of the same maturify is sold pursuant to that offering. For federal income tax purposes, OID accrues to the owner of a Discount Bond over the period to maturity based on the constant yield method, compounded semiannually (or over a shorter permitted compounding interval selected by the owner). The portion of OID that accrues during the period of ownership of a Discount Bond (i) is interest excluded from the owrer's gross income for federal income tax purposes to the same extent, and subject to the same considerations discussed above, as other interest on the Series 20158 Bonds, and (ii) is added to the owner's tax basis for purposes of determining gain or loss on the maturity, redemption, prior sale or other disposition of that Discount Bond. The amount of OID that accrues each year to a corporate owner of a Discount Bond is taken into account in computing the corporation's liability for federal alternative minimum tax. A purchaser of a Discount Bond in the initial public offering at the price for that Discount Bond stated on the inside cover page of this Official Statement who holds that Discount Bond to maturity will realize no gain or loss upon the retirement of that Discount Bond. 47 513 Certain of the Series 20158 Bonds ("PremiumBonds") as indicated on the inside coverpage of this Official Statement were offered and sold to the pubiic at a price in excess of their stated redemption price at maturity (the principal amount). That excess constitutes bond premium. For federal income tax purposes, bond premium is amortized over the period to maturity of a Premium Bond, based on the yield to maturity of that Premium Bond (or, in the case of a Premium Bond callable prior to its stated maturity, the amortization period and yield may be required to be determined on the basis of an earlier call date that results in the lowest yield on that Premium Bond), compounded semiannually. No portion of that bond premium is deductible by the owner of a Premium Bond. For purposes of determining the owner's gain or loss on the sale, redemption (including redemption at maturity) or other disposition of a Premium Bond, the owner's tax basis in the Premium Bond is reduced by the amount of bond premium that is amortized during the period of ownership. As a result, an owner may reaLize taxable gain for federal income tax purposes from the sale or other disposition of a Premium Bond for an amount equal to or less than the amount paid by the owner for that Premium Bond. A purchaser of a Premium Bond in the initial public offering at the price for that Premium Bond stated on the inside cover page of this Official Statement who holds that Premium Bond to maturity (or, in the case of a callable Premium Bond, to its earlier call date that results in the lowest yield on that Premium Bond) will realize no gain or loss upon the retirement of that Premium Bond. Owners of Discount Bonds and Premium Bonds should consult their own tax advisers as to the determination for federal income tax purposes of the amount of OID or bond premium properly accruoble or amortizable in any period with respect to the Discount Bonds or Premiam Bonds and as to other federal tux consequences and the treatment of OID and bond premiam for purposes of state and local toxes on, or based on, income. CONTINUING DISCLOSURE The Agency will covenant for the benefit of the holders of the Series 2015 Bonds to provide certain financial information and operating data relating to the Agency and the Trust Fund not later than rwo hundred torty (240) days following the end of each Fiscal Year, commencing with the Fiscal Year ended September 30, 2015 (the "Annual Report"), and to provide, or cause to be provided, notices of the occurrence of certain enumerated events. The Annual Report and notices of events will be filed with the Municipal Securities Rulemaking Board (the "MSRB"). Digital Assurance Certification,L.L.C. ("DAC") will act as the initial disclosure dissemination agent for the City. The specific nature of the information to be contained in the Annual Report and the notices of events is contained in "APPENDIX G - Form of Disclosure Dissemination Agent Agreement." These covenants have been made in order to assist the Underwriters in complying with Rule 15c2-12 of the Securities and Exchange Commission. On July 28,2014 Standard & Poor's Ratings Services ("S&P") announced that it had raised its rating on the City's general obligation debt trvo (2) notches to "AA+" from "AA-." The disclosure agreements entered into by the City in connection with the issuance of various series of bonds (the "Disclosure Agreements") require the City to provide, among other things, notice of rating changes affecting such series of bonds. Notice of the ratings increase announced by S&P on July 28,2014 was not provided by the City within the time periods established in the Disclosure Agreements. Such notice was filed by DAC, on behalf of the City, with the MSRB on April 29,2015. On April 4, 2011 S&P announced that it had raised its rating on the tax increment debt of the Agency by one (l) notch, to "A*" from "A." The disclosure agreements entered into by the City and the Agency in connection with the issuance of various series of tax increment bonds by the Agency (the "Tax lncrement Bonds Disclosure Agreements") require the Agency to provide, among other things, notice of 48 514 rating changes affecting such series of bonds. Notice of the ratings increase announced by S&P on April 4,2011 was not provided by the Agency in the manner set forth in the Tax Increment Bonds Disclosure Agreements. Documents required to be filed pursuant to the Disclosure Agreements are currently on file and availableelectronicallyfromtheMSRBathttp://emma.msrb.org/. InformationregardingtheSeries20l5 Bonds and other bonds previously issued by the Agency or the City may be found at the DAC internet site,"http//www.dacbon ." FINANCIAL STATEMENTS Excerpts from the Comprehensive Annual Financial Report of the City of Miami Beach, Florida for the Fiscal Year ended September 30, 2014 and the report of Crowe Horwath LLP, independent certified public accountants ("Crowe Horwath"), in connection therewith, dated March 30, 2015, arc included in APPENDIX B to this Official Statement as part of the public records of the City. In addition, the Financial Report of the Miami Beach Redevelopment Agency (A Component Unit of the City of Miami Beach, Florida) for the Fiscal Year ended September 30, 2014 and the report of Crowe Horwath in connection therewith, dated March 30, 2015, 2015, are included in APPENDD( C to this Official Statement as part of the public records of the Agency. Such financial statements and reports contain information relating to the City and the Agency. The consent of Crowe Horwath was not requested for the reproduction of its audit reports in this Official Statement. The auditor has performed no services in connection with the preparation of this Official Statement and is not associated with the offering of the Series 2015 Bonds. RATINGS [Moody's Investors Service, Inc. ("Moody's") and S&P are expected to assign ratings of "_,"witha..outIook,',and..,''witha..-outlook,',respectively,totheSeries20l5 Bonds insured by the Bond lnsurance Policy, with the understanding that upon delivery of such Series 2015 Bonds the Bond Insurance Policy insuring the payments, when due, of the principal of and interest on such Series 2015 Bonds will be issued by the Bond Insurer. See "MLTNICIPAL BOND INSURANCE" herein. In addition, Moody's has assigned to the Series 2015 Bonds a rating of "_," with a..-out1ook,,,andS&Phasassignedaratingof..-,,,witha..-out1ook,,,each without regard to the issuance of the Bond Insurance Policy.l Such ratings and outlooks reflect the view of such organizations. An explanation of the significance of such ratings and outlooks may be obtained only from Moody's and S&P, respectively. An explanation of the rating and outlook assigned by Moody's may be obtained from Moody's at 7 World Trade Center, 250 Greenwich Street, 23'd Floor, New york, New York 10007, (212) 553-0300. An explanation of the rating and outlook assigned by S&P may be obtained from S&P at 55 Water Street, 38h Floor, New York, New York 10041, (212) 438-2124. There is no assurance that the rating and outlook provided by Moody's and S&P, respectively, will continue for any given period of time or that they will not be revised downward or withdrawn entirely by such rating agencies if, in their judgment, circumstances so warrant. Any such downward revision or withdrawal of such ratings or outlooks may have an adverse effect on the market price of the Series 2015 Bonds. 49 515 FINANCIAL ADVISOR RBC Capital Markets, LLC, St. Petersburg, Florida, is serving as Financial Advisor to the City and has acted in such capacity with respect to the sale and issuance of the Series 2015 Bonds. The Financial Advisor is not obligated to undertake, and has not undertaken to make, an independent verification or to assume responsibility for the accuracy, completeness or fairness of the information in this Official Statement. RBC Capital Markets, LLC did not engage in any underwriting activities with regard to the issuance and sale of the Series 2015 Bonds. IINDERWRITING The Series 2015 Bonds are being purchased by Morgan Stanley & Co.LLC, Wells Fargo Bank, National Association, Merrill Lynch, Pierce, Fenner & Smith Incorporated, Raymond James & Associates, Inc. and Loop Capital Markets LLC (collectively, the "Underwriters"), subject to certain terms and conditions set forth in the purchase contract between the Agency and the Underwriters, including the delivery of opinions on certain legal matters relating to the issuance of the Series 2015 Bonds by Bond Counsel and the existence of no material adverse change in the condition of the Agency from that set forth in the Official Statement. The Series 2015 Bonds are being purchased at a purchase price of$(which represents the $principal amount of the Series 2015 Bonds, [plus / minus a net original issue premium / discount of $,] minus an Underwriters' discount of $ ). The Series 2015 Bonds are offered for sale to the public at the prices and yields setforthontheinsidecoverpageofthisOfficialStatement. TheSeries2015Bondsmaybeofferedand sold to certain dealers at prices lower than or yields higher than such offering prices and yields. After the initial public offering, such public offering prices and yields may be changed, from time to time, by the Underwriters. Morgan Stanley, parent company of Morgan Stanley & Co. LLC, the senior managing underwriter of the Series 2015 Bonds, has entered into a retail distribution arrangement with its affiliate Morgan Stanley Smith Bamey LLC. As part of the distribution arrangement, Morgan Stanley & Co. LLC may distribute municipal securities to retail investors through the financial advisor network of Morgan Stanley Smith Barney LLC. As part of this arrangement, Morgan Stanley & Co. LLC may compensate Morgan Stanley Smith Barney LLC for its selling efforts with respect to the Series 2015 Bonds. Wells Fargo Securities is the trade name for certain securities-related capital markets and investment banking services of Wells Fargo & Company and its subsidiaries, including Wells Fargo Bank, National Association. Wells Fargo Bank, National Association ("WFBNA"), one of the underwriters of the Series 2015 Bonds, has entered into an agreement (the "Distribution Agreement") with its affiliate, Wells Fargo Advisors, LLC ("WFA"), for the distribution of certain municipal securities offerings, including the Series 2015 Bonds. Pursuant to the Distribution Agreement, WFBNA will share a portion of its underwriting or remarketing agent compensation, as applicable, with respect to the Series 2015 Bonds with WFA. WFBNA also utilizes the distribution capabilities of its affiliate, Wells Fargo Securities, LLC ("WFSLLC"), for the distribution of municipal securities offerings, including the Series 2015 Bonds. ln connection with utilizing the distribution capabilities of WFSLLC, WFBNA pays a portion of WFSLLC's expenses based on its municipal securities transactions. WI'BNA, WFSLLC and WFA are each wholly-owned subsidiaries of Wells Fargo & Company. Certain subsidiaries of Wells Fargo & Company (parent company of Wells Fargo Bank, National Association), have provided, from time to time, investment banking services, commercial banking services or advisory services to the Agency, for 50 516 which they have received customary compensation. Wells Fargo & Company or its subsidiaries may, from time to time, engage in transactions with and perform services for the Agency in the ordinary course of their respective businesses. The Underwriters and their respective affrliates are full service financial institutions engaged in various activities, which may include sales and trading, commercial and investment banking, advisory, investment management, investment research, principal investment, hedging, market making, brokerage and other financial and non-financial activities and services. Il the course of their various business activities, the Underwriters and their respective affiliates, officers, directors and employees may purchase, sell or hold a broad array of investments and actively trade securities, derivativ"r, louor, commodities, currencies, credit default swaps and other financial instruments for their own account and for the accounts of their customers, and such investment and trading activities may involve or relate to assets, securities and/or instruments of the Agency (directly, as collateral securing other obligations or otherwise) and/or persons and entities with relationships with the Agency. The Underwriters and their respective affiliates may also communicate independent investment recommendations, market color or trading ideas and/or publish or express independent research views in respect of such assets, securities or instruments and may at any time hold, or recommend to clients that they should acquire, long and/or short positions in such assets, securities and instruments. The Underwriters, respectively, may have entered into agreements with other broker- dealers (that have not been designated by the City as Underwriters) for the distribution of the Series 2015 Bonds at the original issue prices. Such agreements generally provide that the relevant Underwriter will share a portion of its underwriting compensation or selling concession with such broker-dealers. VERIFICATION OF MATHEMATICAL COMPUTATIONS The arithmetical accuracy of certain computations included in the schedules provided by Morgan Stanley & Co. LLC relating to the computation of forecasted receipts of principal and interest on ih" Government Obligations and uninvested cash to pay and redeem the Outstanding prior Bonds and supporting the conclusion of Bond Counsel that the Series 2015 Bonds do not constitute "arbitrage bonds,' under Section 148 of the Internal Revenue Code of 1986, as amended, was verified by Integritypublic Finance Consulting LLC, Jacksonville, Florida, as the Verification Agent. Such computations were based solely upon assumptions and information supplied by Morgan Staniey & co. LLC The Verification Agent has restricted its procedures to examining the arithmetical accuracy of certain computations included in the schedules provided by Morgan Stanley & Co.LLC. The Verification Agent has not made any study or evaluation of the assumptions and information upon which the computations are based and, accordingly, has not expressed an opinion on the data used, the reasonableness of the assumptions, or the achievability of the forecasted results. CONTINGENT FEES The City has retained Bond Counsel, Disclosure Counsel and the Financial Advisor with respect to the authorization, sale, execution and delivery of the Series 2015 Bonds. Payment of the fees of such professionals and an underwriting discount to the Underwriters (including the fees of Underwriters, counsel) are each contingent upon the issuance of the Series 20r5 Bonds. 51 517 DISCLOSURE REQUIRED BY FLORIDA BLUE SKY REGULATIONS Section 517.051, Florida Statutes, and Rule 3E400.003, Florida Administrative Code, requires the Agency to disclose each and every default as to payment of principal and interest after December 3l , 197 5 with respect to obligations issued or guaranteed by the Agency. Rule 3E400.003 further provides, however, that if the Agency in good faith believes that such disclosure would not be considered material by reasonable investors, such disclosure may be omitted. The Agency is not in default and has not been in default since Decemb er 31, l9'75 in the payment of principal or interest with respect to any obligations issued or guaranteed by the Agency that would be considered material to a reasonable investor. AUTHORTZATION CONCERNING OFFICIAL STATEMENT The delivery of this Official Statement has been duly authorizedby the members of the Agency. At the time of the delivery of the Series 2015 Bonds, the Chairman of the Agency and the Executive Director of the Agency will furnish a certificate to the effect that nothing has come to their attention which would lead them to believe that this Official Statement, as of its date and as of the date of delivery of the Series 2015 Bonds, contains an untrue statement of a material fact or omits to state a material fact which should be included therein for the purpose for which this Official Statement is intended to be used, or which is necessary to make the statements contained herein, in the light of the circumstances under which they were made, not misleading. A limited number of copies of the final Official Statement will be provided, at the Agency's expense, on a timely basis. CONCLUDING STATEMENT All information included in this Official Statement has been provided by the Agency, except where attributed to other sources. The summaries of and references to all documents, statutes, reports, and other instruments referred to herein do not purpo( to be complete, comprehensive or definitive, and each such reference or summary is qualified in its entirety by reference to each such document, statute, report or other instrument. The information in this Official Statement has been compiled from official and other sources and, while not guaranteed by the Agency, is believed to be correct. To the extent that any statements made in this Official Statement and the appendices attached hereto involve matters of opinion or of estimates, whether or not expressly stated, they are set forth as such and not as representations of fact, and no representation is made that any of the estimates will be realized. This Official Statement has been duly executed and delivered by the Chairman and the Executive Director of the Miami Beach Redevelopment Agency. MIAMI BEACH REDEVELOPMENT AGENCY PHILIP LEVINE, Charrman 52 JIMMY L. MORALES, Executive Director 518 APPENDIXA General Information and Economic Data Regarding the City of Miami Beach, Florida and Miami-Dade County, Florida 519 GENERAL INFORMATION REGARDING THE CITY OF MIAMI BEACH AND MIAMI.DADE COUNTY, FLORIDA The following information pertaining to the City of Miami Beach, Florida (the "City") and Miami- Dade County, Florida (the "County") is set forth for purposes of providing background information only. The Senes 2015 Bonds are payable only from the Trust Fund Revenues and other amounts constituting Pledged Funds, as defined in this Official Statement. The Series 2015 Bonds do not constitute a debt, liability or obligation or a pledge of the faith, credit or taxing power of the City, the County, the State of Florida, or any political subdivision thereof. INTRODUCTION The City The City is located on a barrier island surrounded by the Atlantic Ocean to the east and Biscayne Bay to the west. The City comprises seven (7) square miles of land area and ten (10) square miles of Biscayne Bay. The City is connected to the mainland by four (4) causeways. The climate of the City is tropical, with an average annual temperature of 75 degrees Fahrenheit, 24 degrees Celsius. The City is the home of the Art Deco Historic District, consisting of one of the greatest concentrations of Art Deco architecture in the United States. Within the Art Deco Historic District is the world famous Ocean Drive, which has been called the "Riviera" of Florida. The economy of the area is based on tourism. For Fiscal Year 2014, hotel, food and beverage sales accounted for an estimated $2.2 billion in sales within the City. The demographics of the City have drastically changed over the last thirty-five (35) years. In the 1980 Census, the average age of the City's population was 65.3 years old. That average declined to 43.7 years of age by the 2000 Census and to 40.3 years of age by the 2010 Census. After the significant changes between 1980 and 2010, the City's demographics are beginning to stabilize with a younger, more affluent population. Based on information provided by the U.S. Census Bureau for 2013 (the most recent year for which City estimates are currently available from the U.S. Census Bureau), the median age in the City was estimated to be 39.3 years of age and the median family income was estimated to be $52,576. The County The County is the largest county in the southeastern United States in terms of population and one of the largest in terms of land area. The County consists of 2,209 square miles of land area. The population of the County is clustered mainly along the coastal, eastem areas, with the western area of the County comprising a part of the Florida Everglades. The County was created on January 18, 1836 under the Territorial Act of the United States. It included the land area now forming Palm Beach and Broward Counties, together with the land area of the present Miami-Dade County. In 1909, Palm Beach County was established from the northem portion of what was then Dade County. In 1915, Palm Beach County and then Dade County contributed nearly equal portions of land to create what is now Broward County. There have been no significant boundary changes to the County since 1915. There are thirty-five (35) incorporated municipalities in the County and the County serves as a municipal government for its unincorporated areas. In addition to the City, the municipalities in the County include the cities of Miami, Hialeah and Coral Gables. A-1 520 POPULATION The U.S. Census Bureau estimated the population of the City and of the County to be 91,026 and 2,641,866, respectively, in 2013. For 2014, the population in the County is estimated to be 2,662,874. The U.S. Census Bureau population estimates for the City for 2014have not been released. Projections by the Nielsen Company, a leading provider of demographic and economic data, provide for the City's population to grow to 96,484 by the year 2020. Set forth below are general population statistics for the City and the County and age data relating to the City's population growth. Population, City of Miami Beach and Miami-Dade County 1980 - 2014 City of Miami-Dade Calendat Year MTeSLBpASb Percent Change Countv Percent Change 1980 1990 2000 2010 2013* 20t4* 96,298 92,639 87,933 87,779 91,026 N/A 10.6% (3.8) (s.3) (0.1) 0.4 1,625,598 1,937,094 2,260,000 2,496,435 2,641,866 2,662,874 28.2% t9.2 16.7 10.5 5.8 6.7 Source: U.S. Department of Commerce, Bureau of Census. * Estimated as of July l, 2013 for City population and as of July 1, 2014 for County population. Population estimates for the City for 2014 are not yet available. Population Breakdown City of Miami Beach, 1990 - 2013 Age Group 1990 2000 2010 2013* Under 18 18 and over 21 and over 65 and over Median Age: 14.2% 85.8 83. 1 23.4 44.5 t3/% 86.6 84.1 19.2 39.0 123% 87.2 84.9 16.2 40.3 15.6% 84.4 82.1 16.0 39.3 Source: U.S. Department of Commerce, Bureau of Census. * 2013 is the most recent vear for which information is available. A-2 521 GOVERNMENT The City was incorporated as a municipal corporation on March 26, 1915. The City operates under a Commission/City Manager form of government. The City Commission consists of the Mayor and six (6) Commissioners who serve as the policy-making body of the City. Authority is vested in the City Commission to enact ordinances, hold public hearings, approve contracts, establish the City's budget and tax assessments, and authorize construction of all public improvements. The Mayor and City Commission are elected on a citywide, nonpartisan basis. Elections are held in odd numbered years, with the Mayor elected to serve two-year terms with a limit of three (3) consecutive terms. Commissioners are elected to serve four-year terms with a limit of two (2) consecutive terms. City Commission terms are staggered so that not all Commissioners are up for re-election at the same time. On a rotating basis, the City Commission selects one (1) of its members to serve as Vice Mayor for a three-month term. The Mayor, who is the presiding officer at City Commission meetings, may vote on all matters that come before the City Commission, but has no power of veto. The City Commission appoints the City Manager, the City Attorney and the City Clerk. All other department heads are appointed by the City Manager, with the consent of the City Commission. The City Manager is vested with the responsibility to ensure that policies, directives, resolutions, and ordinances adopted by the City Commission are enforced and implemented. As the City's Chief Executive Officer, the City Manager is responsible for providing executive level leadership, vision and guidance to the organization, providing recommendations to the City Commission and implementing policy directives in an efficient and effective manner. In addition, the City Manager is responsible for the daily operations of the City, preparing and administering the budget, planning the development of the City, supervising City employees, interacting with citizen groups and other units of government, and is otherwise responsible for the health, safety, and welfare of the residents of and visitors to the City. With the exception of the City Attomey's Office and the City Clerk's Office, the City Manager has the power to appoint or remove all heads of the various departments of the City. SCOPE OF SERVICES The City provides a full range of municipal services, including police and fire protection, recreational activities, parks, cultural events, sanitation services, water, sewer and storm water services, neighborhood and community services, and the construction and maintenance of streets and infrastrucfure. ECONOMIC AND DEMOGRAPHIC DATA Family Income The estimated median family income for the City has been consistently higher than the median family income for the County. During the last five years, the median family income for the City has ranged from being 9.6%higher than the median family income for the County in 2010 to being 20.7% higher in 2011. IREMAINDER OF PAGE INTENTIONALLY LEFT BLANK] A-3 522 Calendar Year City of Miami Beach Estimated Median Family Incomes, 2009 - 2013(t) Miami-Dade Percent Chanse Countv Percent Chanse 2009 2010 2011 2012 20t3Q) $54,643 50,758 57,318 56,457 52,576 Miami-Dade County % of U.S. State of Florida % of U.S. United States 2.3% (7.r) t2.9 (1.s) (6.e) $47,697 46,126 46,577 47,382 46,904 (7.8)% (3.3 ) 1.0 1.7 (1.0) Source: U.S. Department of Commerce, Bureau of Census. (1) Amounts are presented in dollars, adjusted for inflation.(2) 2013 is the most recent year for which information is available. Per Capita Personal Income Between 2009 and2073,the estimated per capita personal income for the County increased by 12.9 percent, from $35,329 in 2009 to $39,880 in 2013. Such increase is slightly higher than the rate of growth in the State of Florida, which experienced a per capita personal income growth rate of approximately I 1 . I percent during the same period, and generally consistent with the rate of growth in the United States, which experienced aper capitapersonal income growth rate of approximately 13.7 percent during the same period. Per Capita Personal Income, 2009 - 2013(t) Year@) 2009 2010 2011 2012 2013(3) $35,329 36,592 38,242 39,461 39,880 89.7% 91.2 90.3 89.3 89. I $37,350 38,478 40,215 44,041 4\,497 94.8% 9s.8 95.0 92.9 92.7 $39,379 40,144 L1 ?7) 44,200 44,7 65 Source: U.S. Department of Commerce, Bureau of Economic AnalysislRegional Economic Information System. ( 1) Information provided as of the last available update, dated Novemb er 20, 2014. (2) Estimates for 2013 are new estimates. Amounts for 2009 through 2012 are revised from estimates previously provided for such years. (3) 2013 is the most recent year for which information is available. A-4 523 EMPLOYMENT The following tables provide information relating to the City's labor force and the principal employers in the County for the fiscal year ended September 30, 2014 and comparative data for the fiscal year ended September 30,2005. City of Miami Beach Employment2009 - 2014* Labor Force 2009 2010 2011 2012 2011 2014 Labor Force Employed Labor Force Unemployed Total Labor Force Unemployment Rate 42,44',1 4,315 46,762 9.2% 44,129 4,099 48,217 8.s% 46,295 1)7'7 49,532 6.5% 46,992 3,042 50,034 6.r% 47,630 49,191 2,477 2,344 50,107 51,535 4.9% 4.5% Source: U.S. Department of Labor, Bureau of Labor Statistics. * Data provided for December of each year. Data for years 2010 to 2014 represents provisional data, which is subject to change. IREMAINDER OF PAGE INTENTIONALLY LEFT BLANK] A-5 524 Miami-Dade County Ten Largest Public Employers 2014 2005 Emplovers Miami-Dade County Public Schools Miami-Dade County Federal Government Florida State Government Jackson Health System City of Miami Florida lnternational University Homestead Air Force Base Miami VA Medical Center Miami-Dade College City of Miami Beach TOTAL Percentage of Total County Rank Employment | 2.74% 2 2.08 3 1.57 4 t.40 5 0.80 6 0.33 7 0.29 8 0.27 9 0.20 10 0.20 Emplovees Rank 54,387 I 32,265 2 20,100 3 18,900 4 1 1,700 5 3,954 8 5,000 7 2,018 9 7,500 6 1,839 10 t57.633 Employees 33,477 25,502 19,200 17,100 9,797 3,997 3,534 3,250 2,500 2,390 t20J_u_9.88% Source: City of Miami Beach Comprehensive Annual Financial Report for the Fiscal Year ended September 30,2014. [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] A-6 525 Miami-Dade County Ten Largest Private Employers 2014 2005 Employers University of Miami Baptist Health South Florida American Airlines Carnival Cruise Lines Miami Children's Hospital Mount Sinai Medical Center Florida Power & Light Co. Royal Caribbean lnternational Wells Fargo Bank Bank of America Menill Lynch United Parcel Service Bellsouth Winn-Dixie Stores Precision Response Corporation Publix Super Markets Burdines-Macy's TOTAL Employees 12,818 1 1,353 1 1,031 3,500 3,500 3,321 3,011 2,ggg 2,050 2,000 Percentage of Total County Employment 1.05% 0.93 0.90 0.29 0.29 0.27 0.25 0.24 0.17 0.16 Employees 9,079 10,300 9,000 3,665 5,000 4,900 4,616 4,196 4,000 3,368 53p24 Rank I 2 J 4 5 6 7 8 9 l0 Rank 2 I 3 9 4 5 6 7 8 l0 fi73 4t5% Source: City of Miami Beach Comprehensive Annual Financial Report for the Fiscal Year ended September 30,2014. [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] A-7 526 BUILDING PERMITS The following is a calculation of the total value of the Building Permits issued by the City during the past ten (10) years. City of Miami Beach, Florida Value of Building Permits Issued Fiscal Years 2005 - 2014 Fiscal Year Ended Septqmber 30, Number of Permits Total Value 2005 2006 2007 2008 2009 2010 2011 20t2 2013 2014 12,837 12,226 12,729 i 1,056 10,277 10,188 I 1,159 12,580 13,898 13,972 $ 1,235,909,151 1,177,266,349 1,165,346,179 1,109,923,131 567,660,721 299,508,079 3',73,852,763 417,811,132 506,646,472 818,831,235 Source: City of Miami Beach Building Department. [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] A-8 527 PROPERTY TAXES The following table summarizes the direct and overlapping tax (millage) rates for the past ten (10) years. The table reflects the fact that, except during the years when millage rates needed to increase in response to the significant reduction in assessed values experienced throughout Florida and the United States during the economic downturn, millage rates in the City have generally decreased during the past ten (10) years. City of Miami Beach, Florida Direct and Overlapping Tax Rates ($1 per $1,000 of Assessed Value) Fiscal Years 2005 - 2014 City of Miami Beach Direct Rates Overlappins Rates Tax Roll Year as of Fiscal Year Ended Debt Service School District Total Direc Millae County State Mil Milla Mil 8.0730 8.4380 7.0348 0.7355 24.28t3 7.6730 8.1050 6.8083 0.7355 233218 5.8970 7.9480 5.6711 0.6585 20.1746 5.8930 7 .7970 5.9263 0.6585 20.2748 5.9123 7.99s0 6.0051 0.6585 20.5709 6.s025 8.2490 6.6s65 0.6s85 22.066s 6.4s39 8.00s0 s.7695 0.4708 20.6992 6.3477 7.9980 5.6610 0.4634 20.4701 6.1163 7.9770 5.7980 0.4455 20.3368 6.0237 7.9740 5.9009 0.4187 20.31't3 Januarv I 200s 2006 2007 2008 2009 2010 2011 20t2 2013 2014 2006 2007 2008 2009 2010 20tt 2012 20t3 2014 2015 7.48t0 7.3740 5.6555 s.6555 5.65s5 6.2155 6.16s5 6.0909 5.8634 5.7942 Mi 0.5920 0.2990 0.2415 0.2375 0.2568 0.2870 0.2884 0.2568 0.2529 0.229s Source: City of Miami Beach Comprehensive Annual Financial Report for the Fiscal Year ended September 30,2014 and Miami-Dade County Property Appraiser's Millage Tables. IREMAINDER OF PAGE INTENTIONALLY LEFT BLANK] A-9 528 The following table summarizes the tax levies and collections in the City for the past ten (10) years. Tax Roll Year as of Fiscal Year Ended Taxes Levied for Fiscal Year Percentage Collections in Subsequent Years City of Miami Beach, Florida Property Tax Levies and Collections Fiscal Years 2005 - 2014 Collected within Fiscal Year of Lew Total Collections to Date Percentage Januarv I 2004 2005 2006 2007 2008 2009 2010 20tt 2012 2013 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 $110,739,153 135,910,295 165,759,439 1 50,41 9,073 150,599,329 138,703,567 136,549,296 134,753,401 139,133,369 143,266,670 ofLe $ 97,731,071 99.25% $1,096,1g3 132,487,342 97.49 7,974,064 163,120,494 gg.4t 2,145,935 145,433,239 96.69 4,646,716 144,321,499 95.94 4,633,049 131,355,903 94.70 3,550,990 128,719,932 94.27 290,254 129,572,373 96.16 125,152 134,849,797 95.62 3,403,910 741,551,552 97.53 N/A ofLe $ 98,817,254 89.23% 134,301,406 gg.g2 165,266,319 99.70 150,079,954 gg.7g 148,954,548 98.92 134,906,993 97.26 129,010,196 94.49 129,697,525 96.25 138,252,697 99.37 t41,551.552 98.80 Source: City of Miami Beach Comprehensive Annual Financial Report for the Fiscal year ended September 30, 2014 and Miami-Dade County Properfy Appraiser,s Office. IREMAINDER OF PAGE INTENTIONALLY LEFT BLANK] A-10 529 The following tables summarize the ten (10) largest taxpayers in the City, the type of property owned by such taxpayers and the assessed value of such property for the Fiscal Year ended September 30,2014 and, for comparison, for the Fiscal Year ended September 30, 2005. City of Miami Beach Ten Largest Taxpayers Fiscal Year 2014 Taxpayer Fountainbleau Florida Hotel LLC MB Redevelopment lnc. / Loews Hotel 2201 Collins Fee LLC Florida Power & Light Company Di Lido Beach Hotel Corp. 2377 Collins Resort LP VCP Lincoln Road LLC Eden Roc LLP MCZ lCentrum Flamingo II LLC MCZ lCentrum Flamingo III LLC TOTAL Tvpe ofPropefi Hotel Hotel Apartments Industrial Hotel Hotel Retail Hotel Apartments Apartments Taxable Assessed Value $ 327,513,062 229,900,000 200,811,436 186,802,731 112,860,000 110,925,385 98,000,000 97,429,200 95,590,000 79,860,000 $lJ3%9].E-14 Percentage of City's Certified Taxable Assessed Value 1.33% 0.93 0.81 0.76 0.46 0.45 0.40 0.40 0.39 0.32 625% Source: 2013 Miami-Dade County, Florida Ad Valorem Assessment Roll for the City of Miami Beach and City of Miami Beach, Florida Comprehensive Annual Financial Report for the Fiscal Year Ended September 30,2014. IREMAINDER OF PAGE INTENTIONALLY LEFT BLANK] A-11 530 Taxpaver Loews Miami Beach Hotel Morton Towers Fountainbleau Hotel Sandy Lane Residential LLC Di Lido Beach Hotel Corp. Eden Roc Acquisition LP Shore Club Morton Towers Expansion South Gate Apartments 2201 Collins Fee LLC City of Miami Beach Ten Largest Taxpayers Fiscal Year 2005 Type of Propertv Hotel Apartments Hotel Hotel Hotel Hotel Hotel Apartments Apartments Apartments Taxable Assessed Value $ 143,400,000 110,675,000 704,449,118 72,230,700 61,900,000 49,500,000 48,500,000 48,325,000 49,000,000 44,583,667 $23H53-48s Percentage of City's Certified Taxable Assessed Value r.02% 0.79 0.74 0.51 0.44 0.35 0.3s 0.34 0.34 0.32 5.20%TOTAL Source: 2004 Miami-Dade County, Florida Ad Valorem Assessment Roll for the Ciry of Miami Beach and City of Miami Beach, Florida Comprehensive Annual Financial Report for the Fiscal Year Ended Septembe; 30,2014. LOCAL ECONOMY Tourism is the largest sector of the City's economy, with over g2.2 billion in direct tourist spending on hotel, food and beverage, and constitutes a large portion of the City's $1 bilion retail marketplace. In Fiscal Year 2013, the City's hotels hosted more than 5 million overnight visitors, and approximately 7 million tourists visited South Beach and the Art Deco Historic district. Results reported for Fiscal Year 2014 evidence a continued upward trend. Hotel room sales in the City for Fiscal Year 2014 increased by 7o/o from Fiscal Year 2013, following the 9% increase a year earlier, demonstrating the continued strength of the City's lodging market and its major role in the robust tourist economy of South Florida. The City's hotel room occupancy rates remained stable in Fiscal Year 2014 at77Yo, as was the case in Fiscal Year 2013, reflecting continued absorption of an inventory of hotel rooms that has increased significantly in recent years, from 13,506 rooms at the beginning of 2008 to 17,751 in2014. This additional inventory has provided the City with additional hotel room resources and product that is expected to continue to attract future visitors to and investment in the City. Evidence of the strength of the local economy is the fact that, with the exception of a de minimis 1% decline in the first quarter of 2008, hotel room demand has increased every quarter from the third quarter of 2007 through the fourth quarter of 2014. A-12 531 The City is also a regional destination, with approximately 7 to 9 million day trips by residents of the surrounding area, making it one of the most popular destinations in Florida. However, in recent years, the City has diversified beyond its traditional tourism based economy to become a leading multi- industry business center, with entertainment, health care, culture, and professional services industries. The City serves as host for several major television shows, including Burn Notice (USA), Magic City (Starz) and Ballers (HBO), and has been the host for several recent feature productions, including Iron Man 3, Step Up Revolution, Pain & Gain and Ride Along 2. In addition, the City hosted the inaugural eMerge Americas Conference, showcasing the best and brightest technology innovators and entrepreneurs, including Rokk3rlabs, a tech hub that is based in the City. In December 2014, the world's most prestigious art fair, Art Basel, based in Switzerland, celebrated the thirteenth anniversary of its Miami Beach exhibition. Over 250 of the world's leading art galleries participate in Art Basel Miami Beach and an estimated 73,000 intemational visitors attended the 2014 event. Art Basel Miami Beach has increased in attendance and sales every year since inception. Retail tenants continue to open locations and expand in the City, joining established operations, such as Armani Exchange, Kenneth Cole, Urban Outfitters, Diesel, Nicole Miller, Forever 21, H&M and Gap, which recently opened its new two story location in the City. New retailers that joined the Miami Beach market in2014 included Athleta & Intermix, with Lululemon,Zadiqand Voltaire and Kiko Milano scheduledtojoinin20l5. AsofSeptember302014,ClassAofficespaceinprimelocationscontinues to generate interest, with a vacancy rate at the low level of approximately 9.9%. Such office space is anchored by corporate tenants, such as LNR Property Corporation, Terranova, and Benetton. Although there are factors beyond the City's control that have impacted the production of entertainment projects, the entertainment industry continues as an important part of the City's economy. The City remains a key location for the production of movies, fashion campaigns and television series. Many international talent and model agencies have established and continue operations in the City and the City continues to grow as an international destination for major events. ln addition to Art Basel Miami Beach, Design Miami, the South Beach Food and Wine Festival, the Miami Intemational Auto Show, the South Beach Comedy Festival, the Miami Beach lntemational Boat Show and the Winter Music Conference continue to provide a strong base for the special events, meeting and trade show segment of the City's economy. The City also remains a leader in the real estate industry, as the median price of homes and condominiums continued to stabilize through 2014. Development in the City continues to grow, specifically in North Beach, an area historically overlooked for significant projects by developers. GroMh management initiatives in the late 1990's resulted in more limited supply, somewhat reducing the exposure of excess new residential inventory that was experienced in some other cities. Since the end of 2008, as recessionary pressures eased on the economy, the City has experienced quarterly increases ofunits sold, and a decline in the number of condominium units for sale, from over 4,000 in early 2008, to 1,470 in December 2013. In 2014 however, due to rising prices and a strengthening dollar, the sales velocity of the market has eased, with the condo listing inventory increasing to 3,409 in2014 from record lows in 2013. MIAMI BEACH VISITOR AND CONVENTION ACTIVITY Miami-Dade County and the Miami Beach Convention Center host a large number of conventions and the City welcomes a large number of overnight visitors each year. Set forth below is information relating to convention center attendance and ovemight visitor activity. A-13 532 City of Miami Beach, Florida Convention Center Attendance and Overnight Visitors Fiscal Years 2005 - 2014 Convention Center Fiscal Year Attendance Overnight Visitors 5,300,000 5,143,740 4,894,053 4,863,569 5,383,091 5,558,408 5,539,010 5,841,672 5,697,053 6,967,200 Total Ovemight Visitor $ 7,200,000,000 7,889,609,756 7,344,719,992 7,468,633,914 7,524,151,559 8,t04,379,579 8,088,739,494 9,201,340,602 10,614,159,967 10,500,000,000 200s 2006 2007 2008 2009 2010 20r1 2012 2013 2014 N/A 649,671 707,133 889,695 632,700 708,875 661,625 661,327 589,663 737,954 Source: City of Miami Beach Finance Department. IREMAINDER OF PAGE INTENTIONALLY LEFT BLANK.] A-14 533 Tourism and Visitor Activity Domestic and International Overnight Visitors Miami-Dade County Fiscal Years 2010 - 2014 (in 000) Fiscal Year Ended September 30.Oriein 2010 20ll 20t2 2013 2014 Domestic Regions Northeast Southern Midwest Western Total Domestic Visitors International Regions South America Caribbean Central America Europe Canada Other Intemational Regions Total International Visitors Total Overnight Visitors Expenditures* Domestic Overnight Visitors International Overnight Visitors Total Expenditures 3,196.0 1,568.5 1,220.6 558.9 6,948.s 2,836.8 688.5 525.1 1,306.5 587.4 115.8 6,060.1 t2.604.1 $ 6,484.7 t2,428.6 $ 18.913.3 3,362.1 1,700.1 1,291"2 595.1 6,948.5 3,182.9 '702.8 537.6 1,324.7 62',/.9 I 19.8 6,495.7 J34442 $ 7,088.7 14,528.6 $L,6r1_3" ?4)7) 1,7 50.6 1,300.9 600.2 1,074.9 3,435.6 718.8 550.1 1,364.4 640.5 120.3 6,833.7 13.908-6 s 7,482.3 15,183.0 $2-565..3. 3,401.4 1,781.0 1,263.6 641.2 7,087.2 3,737.1 719.2 561.5 1,332.4 660.6 120.9 7 ,131.7 14.218.9 $ 7,839.9 15,954.1 $uJgL.g. 3,520.1 1,933.1 1,270.9 679.2 7.303.2 3,659.0 7 55.0 595.3 1,430.2 689.7 130.7 7,260.0 ./.J632 $ 8,206.3 16,528.2 $uJ345. Source: Greater Miami Convention and Visitors Bureau. * Average Daily Expenditures. [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK.] A-15 534 Overnight Visitors by Region Fiscal Years 2010 - 2014* Fiscal Year Ended September 30.Resion 2010 2011 2012 2013 2014 Miami Beach Downtown Miami Airport Area North Miami-Dade/Sunny Isle South Miami-Dade Coral Gables Key Biscayne Coconut Grove Doral Total 44.1% 18.7 13.8 9.5 5.8 5.4 2.5 1.3 N/A 100% 41.2% 21.7 13.0 9.8 5.8 5.7 2.4 0.8 0.7 r00% 42.0% 17.6 17.2 10.0 5.0 4.9 2.7 0.9 0.7 100% 43.2% 18.1 16.5 10.8 4.7 4.2 1.3 0.5 0.9 100% 41.8% 19.2 12.8 8.8 3.9 3.9 1.5 1.5 J.J 100% Source: Greater Miami Convention and Visitors Bureau. * Numbers may not add, due to rounding. TRANSPORTATION Surface Transportation The County has a comprehensive transportation network designed to meet the needs of residents, travelers and area businesses. The County's intemal transportation system includes (i) Metrorail , a24.8 mile above-ground, electric rail system connecting South Miami-Dade and the City of Hiaieah with the downtown Miami and civic center areas; (ii) Metromover, a fully automated, 4.4 mile above-ground, electric rail, double-loop people mover system that carries passengers around downtown Miami's central business center, south to the Brickell Avenue business and international banking centers and north to the Andrienne Arsht Performing Arts Center and Omni shopping center areas; and (iii) the County's Metrobus system, which operates over approximately 29.3 million revenue miles per year and provides over 76.8 million passenger trips annually. The County also provides para-transit services to qualified elderly and handicapped riders. The County's para-transit services supply over 1.68 million passenger trips annually. In addition, cargo rail service is available from both Miami International Airport and the Port of Miami, and Amtrak has a passenger station in the City of Miami. Tri-Rail, a72-mi\e train system, links the City of West Palm Beach, the Town of Boca Raton, the City of Fort Lauderdale, the City of Hollywood and Miami International Airport. Miami International Airport Miami Intemational Airport is one of the busiest airports in the world for both passenger and cargo traffic. It ranks twelfth (12ft) in the nation and twenty-fifth (25t) in the world in passenger traffic and has A-16 535 the second highest intemational passenger traffic in the United States. The airport ranks third (3d) in the nation and eleventh (1 lh) in the world in tonnage of domestic and internationui "urgo movement. During Fiscal Year 2014 Miami International Airport handled 40,844,964 passengers and2,187,943 tons of air freight. More than 88 airlines serve Miami International Airport, flying passengers to more than 150 destinations around the globe. Port of Miami The Port of Miami, known as the "cruise capital of the world," is an island port that encompasses 649 acres of land. It is the world's largest multi-day cruise port and is operated by the Seaport Department of Miami-Dade County. Embarkations and debarkations on cruise ships totaled over 4.7 million passengers at the Port of Miami during Fiscal Year 2014. The Port of Miami is currently home to twenty-eight (28) cruise ships that operate throughout the year. Such ships, owned by eight (8) separate cruise ship companies, include some of the largest cruise ships in the world. The Port of Miami is also a hub for Caribbean and Latin American commerce. These countries accounted for over one-half of the 7.6 million tons of cargo transferred through the Port of Miami during Fiscal Year 2014. The Port of Miami has also expanded its relationships inthe global community. Ai a result, trade with the Far East, Asia and the Pacific coast accounted for almost 39% of the total cargo handled at the Port of Miami during Fiscal Year 2014. ln August 2014, access to the Port of Miami was increased by the opening of the PortMiami Tunnel. The PortfuIiarni Tunnel consist of two (2) parallel tunnels (one in each direction) that travel underneath Biscayne Bay connecting MacArthur Causeway on Watson Island with the port of Miami on Dodge Island. The PortMiani Tunnel provides direct access from highways I-95 and i-395, creating a highly desired additional entrance to the Port of Miami and a major improvement in traffic flow in downtown Miami. ThePorrJ.'Iiani Tunnel is expected to be a significant catalyst for future development at the Port of Miami and in the downtown Miami area. RECREATION There are numerous parks and playgrounds in the City. Each park provides different amenities, from tennis and bocce courts to swimming pools and tot lots, to Vita courses and barbecue pits. There are four (4) Vita courses, trvo (2) public swimming pools, and numerous tennis courts, including the Holtz Tennis Stadium, which hosts championship, professional and amateur tournaments. Offshore, the Gulf Stream provides a variety of game fish, while the Miami Beach Marina provides an abundance of space to house boats as well as direct access to the Atlantic Ocean and the Gulf Stream. The Marina is a private development on City owned, bay front land in the South Pointe area of the City. Renovation has increased the number of boat slips to 388, making the Marina a first class facility and the largest marina in the area. In the north part of the City, the public can enjoy a leisurely sail in the quiet waters of Biscayne Bay from the Miami Beach Sailport. The facility, though open to all ages, was specially designed to teach young adults the basic art of sailing on small prams. The City owns two (2) championship golf courses that are open to the public. The rwo (2) championship courses, Miami Beach Golf Course and Normandy, offer a clubhouse complete with a restaurant, lounge and pro shop. A-17 536 APPENDIX B Excerpts from Comprehensive Annual Financial Report of the City of Miami Beach, Florida for the Fiscal Year Ended September 30r2014 537 APPENDIX C Financial Report of the Miami Beach Redevelopment Agency (A Component Unit of the City of Miami Beach, Florida) for the Fiscal Year Ended September 30,2014 538 APPENDIX D The Bond Resolution 539 APPENDIX E Proposed Form of Opinion of Bond Counsel 540 APPENDIX F Proposed Form of Opinion of Disclosure Counsel 541 Board of Commissioners Miami Beach Redevelopment Agency 1700 Convention Center Drive Miami Beach, Florida 33139 Tax Increment Revenue and Revenue Refunding Bonds, Taxable Series 2015A (City Center/Ilistoric Convention Village) Ladies and Gentlemen: Date of Delivery Tax Increment R"u.^re ,nd Revenue Refunding Bonds, Series 20158 (City Centerillistoric Convention Village) MIAMI BEACII REDEVELOPMENT AGENCY $ We have served as Disclosure Counsel in connection with the issuance by the Miami Beach Redevelopment Agency (the "Agency") of its $in aggregate principal amount of Tax Increment Revenue and Revenue Refunding Bonds, Taxable Series 2015A (City Center/flistoric Convention Village) (the "Series 2015,{ Bonds") and $in aggregate principal amount of Tax Increment Revenue and Revenue Refunding Bonds, Series 20158 (City Center,lHistoric Convention Village) (the "Series 20158 Bonds" and, collectively with the Series 2015A Bonds, the "series 2015 Bonds"). The Series 2015 Bonds are being issued with the terms, for the purposes and subject to the conditions set forth in Resolution No. _-201 5 adopted by the Chairman and members of the Board of Commissioners of the Agency on October_, 2015 (the "Bond Resolution") and by Resolution No. 2015- adopted by the Mayor and City Commission of the City of Miami Beach, Florida on October _, 2015, as described in the Official Statement dated November _r 2015 relating to the Series 2015 Bonds (the "Official Statement"). All capitalized terms used in this opinion that are not defined herein and not normally capitalized shall have the meaning ascribed to such terms in the Official Statement. ln connection with the issuance and delivery of this opinion, we have considered such rnatters of law and fact and have relied upon such certificates and other information furnished to us as we have deemed appropriate. We are not expressing any opinion or views herein on the authorization, issuance, delivery or validity of the Series 2015 Bonds. To the extent that the opinions expressed herein relate to or are dependent upon the determination that the proceedings and actions related to the authorization, issuance and sale of the Series 2015 Bonds are lawful and valid under the laws of the State of Florida, or that the Series 201 5 Bonds are valid and binding obligations of the Agency enforceable in accordance with their terms, or that interest on the Series 20158 Bonds is excluded from the gross income of the owners thereof for federal income tax purposes or that the Series 2015 Bonds and the interest thereon are exempt from taxation under the laws of the State of Florida, we understand that you are relying upon the opinions delivered on the date hereof of Squire Patton Boggs (US) LLP and no opinion is expressed herein as to such matters. The scope of our engagement with respect to the issuance of the Series 2015 Bonds was not to establish factual matters and, because of the wholly or partially non-legal character of many of the determinations involved in the preparation of the Official Statement, we are not passing on and do not assume any responsibility for, except as set forth in the last sentence of this paragraph, the accuracy or F-1 542 Board of Commissioners Miami Beach Redevelopment Agency Date of Delivery Page 2 completeness of the contents of the Official Statement (including, without limitation, its appendices) and we make no representation that we have independently verified the accuracy, completeness or fairness of such statements. As your counsel, we have participated in the preparation of the Official Statement and in discussions and conferences with officials of the Agency, Bond Counsel for the Agency, the Financial Advisor for the Agency, the Underwriters and Greenberg Traurig, P.A., Miami, Florida, Counsel to the Underwriters, in which the contents of the Official Statement and related matters were discussed. Solely on the basis of our participation in the preparation of the Official Statement, our examination of certificates, documents, instruments and records relating to the Agency and the issuance of the Series 2015 Bonds and the above-mentioned discussions, nothing has come to our attention which would lead us to believe that the Official Statement (except for the financial, statistical and demographic data and information in the Official Statement, including, without limitation, the appendices thereto and the information relating to DTC, its operations and the book-entry only system, ai io which no opinionis expressed) contains an untrue statement of a material fact or omits to state a material fact that is necessary in order to make the statements therein, in light of the circumstances under which they were made, not misleading. We are also of the opinion that the continuing disclosure undertaking set forth in the Bond Resolution and in the Disclosure Dissemination Agent Agreement of the Agency dated as of December -,2015 and delivered at the closing for the Series 2015 Bonds, satisfies the requirements set forth in Rule l5c2-12(b)(5) of the United States Securities and Exchange Commission, as such requirements apply to the issuance of the Series 2015 Bonds. In reaching the conclusions expressed herein we have, with your concurrence, assumed and relied on the genuineness and authenticity of all signatures not witnessed by us, the authenticity of all documents, records, instruments and letters submitted to us as originals, the conformity with originals of all items submitted to us as certified or photostatic copies, the legal capacity and authority oi the persons who executed such items, the accuracy of all warranties, representations and statements of fact contained in the documents and instruments submitted to us, and the continuing accuracy on this date of any certificates or other items supplied to us regarding the matters addressed herein, which assumptions we have notverified. As to questions of fact material to our opinions, we have relied upon and assumed the correctness of the public records and certificates by, and representations of, public offrcials and other officers, and representatives of the parties to this transaction. We have no actuai knowledge of any factual information that would lead us to form a legal opinion that the public records or certifrcates which we have relied upon contain any untrue statement of a material fact. This opinion may be relied upon by the Agency only, and only in connection with the transaction to which reference is made above, and may not be used or relied upon by any other person for any purpose whatsoever without our express prior written consent. Respectfully submitted, LAW OFFICES OF STEVE E. BULLOCK, P.A. F-2 543 APPENDIX G Form of Disclosure Dissemination Agent Agreement 544 [APPENDIX H Form of Specimen Municipal Bond Insurance policyl 545 $ MIAMI BEACH REDEVELOPMENT AGENCY Tax lncrement Revenue Bonds, Series 2015 (City Center/Historic Convention Village) BOND PURCHASE AGREEMENT ,2075 Board of Commissioners of the Miami Beach Redevelopment Agency 1700 Convention Center Drive Miami Beach, Florida 33139 Ladies and Gentlemen: Morgan Stanley & Co. LLC (the "Senior Managing Underwriter"), acting on behalf of itself and Wells Fargo Bank, National Association, Merrill Lynch, Pierce, Fenner & Smith Incorporated, Raymond James & Associates, Inc. and Loop Capital Markets LLC (collectively, with the Senior Managing Underwriter, the "Underwriters"), offer to enter into this Bond Purchase Agreement (this "Purchase Agreement") with the Miami Beach Redevelopment Agency (the "Agency"), for the sale by the Agency and the purchase by the Underwriters of the Agency's $Tax Increment Revenue Bonds, Series 2015 (City Center,{Historic Convention Village) (the "Series 2015 Bonds"). This offer is made subject to acceptance by the Agency prior to 5:00 p.m. (Eastern Time) on the date hereof. Upon such acceptance, this Purchase Agreement wiil be in full force and effect in accordance with its terms and will be binding on the Agency and the Underwriters. If this offer is not so accepted, it is subject to withdrawal by the Underwriters upon written notice delivered to the Agency at any time prior to such acceptance. In conformance with Section 218.385, Florida Statutes, as amended, the Underwriters hereby deliver the Disclosure and Truth-in-Bonding Statement attached hereto as Exhibit "A." Capitalized terms used in this Purchase Agreement, but not defined, are used with the meanings ascribed to them in the Bond Resolution hereinafter described. The Senior Managing Underwriter represents that it is authorized on behalf of itself and the other Underwriters to enter into this Purchase Agreement and to take any other actions that may be required on behalf of the Underwriters. SECTION 1. (a) Upon the terms and conditions and upon the basis of the representations and warranties herein set forth, the Underwriters hereby agree to purchase from the Agency, and the Agency hereby agrees to sell to the Underwriters all (but not less 546 (b) than all) of the Series 2015 Bonds for a purchase price equal to $ (which purchase pdce is the aggregate principal amount of the Series 2015 Bonds of$, plus/minus a net original issue premium/discount of $_ and less an Underwriters' discount of $ ). The purchase price for the Series 2015 Bonds shall be payable to the Agency in immediately available funds. In connection with the execution of this Purchase Agreement, the Senior Managing Underwriter, on behalf of the Underwriters, has delivered to the Agency a wire transfer credited to the order of the Agency in immediately available federal funds in the aggregate amount of _Do1lars($-)(the..GoodFaithDeposit,'),whichisbeingdeliveredto the Agency on account of the purchase price of the Series 2015 Bonds and as security for the performance by the Underwriters of their obligation to accept and to pay for the Series 2015 Bonds. If the Agency does not accept this offer, the Good Faith Deposit shall be immediately returned to the Senior Managing Underwriter by wire transfer credited to the order of the Senior Managing Underwriter in the amount of the Good Faith Deposit, in federal funds to the Senior Managing Underwriter. In the event the hereinafter defined Closing takes place, the amount of the Good Faith Deposit shall be credited against the purchase price of the Series 2015 Bonds pursuant to Section 1(a). In the event of the Agency's failure to deliver the Series 2015 Bonds at the Closing, or if the Agency shall be unable at or prior to the Closing to satisfy the conditions to the obligations of the Underwriters contained in this Purchase Agreement (unless such conditions are waived by the Senior Managing Underwriter), or if the obligations of the Underwriters shall be terminated for any reason permitted by this Purchase Agreement, the Agency shail immediately wire to the Senior Managing Underwriter in federal funds the Good Faith Deposit without interest, and such wire shall constitute a full release and discharge of all claims by the Underwriters against the Agency arising out of the transactions contemplated by this Purchase Agreement. In the event that the Underwriters fail other than for a reason permitted under this Purchase Agreement to accept and pay for the Series 2015 Bonds upon their tender by the Agency at the Closing, the amount of the Good Faith Deposit shall be retained by the Agency and such retention shall represent full liquidated damages and not a penalty, for such failure and for any and all defaults on the part of the Underwriters and the retention of such funds shall constitute a full release and discharge of all claims, rights and damages for such failure and for any and all such defaults. It is understood by both the Agency and the Underwriters that actual damages in the circumstances as described in the preceding sentence may be difficult or impossible to compute; therefore, the funds represented by the Good Faith Deposit are a reasonable estimate of the liquidated damages in this type of situation. The Series 2015 Bonds will be issued pursuant to Chapter 163, Part iII, Florida Statutes, as amended, and other applicable provisions of law (collectively, the "Act"), and pursuant and subject to the terms and conditions of Resolution No. (c) 2015-adopted by the Board of Commissioners of the Agency (the 547 (d) "Commission") on , 2015 (the "Bond Resolution"). The Series 2015 Bonds will be secured as provided in the Bond Resolution. The Series 2015 Bonds shall mature and have such other terms and provisions as are described on Exhibit "B" hereto. Proceeds of the Series 2015 Bonds will provide funds, together with other available funds, to (i) pay the costs of certain public improvements in accordance with the Redevelopment Plan (as defined in the Bond Resolution) and as described in Exhibit "A" of the Bond Resolution (the "Series 2015 Redevelopment Project"), (ii) refund the Outstanding Prior Bonds, as described in the Bond Resolution, (iii) fund the Debt Service Reserve Account, and (iv) pay costs of issuance of the Series 2015 Bonds. It shall be a condition to the obligation of the Agency to sell and deliver the Series 2015 Bonds to the Underwriters, and to the obligation of the Underwriters to purchase and accept delivery of the Series 2015 Bonds, that the entire aggregate principal amount of the Series 2015 Bonds shall be soid and delivered by the Agency and accepted and paid for by the Underwriters at the Closing. The Underwriters agree to make a bona fide public offering of substantially all of the Series 2015 Bonds to the public at initial public offering prices not greater than (or yields not less than) the initial public offering prices (or yields) set forth in the Official Statement; provided, however, that the Underwriters reserve the right to make concessions to certain dealers, certain dealer banks and banks acting as agents and to change such initial public offering prices as the Underwriters shall deem necessary in connection with the marketing of the Series 201 5 Bonds. At the Closing, the Underwriters shall deliver to the Agency a certificate, in a form acceptable to Bond Counsel, stating the facts of the sale of the Series 2015 Bonds in a manner such that the issue price can reasonably be established. The Official Statement shall be provided for distribution, at the expense of the Agency, in such quantity as may be requested by the Underwriters no later than the earlier of (i) seven (7) business days after the date hereof, or (ii) one (l) business day prior to the Closing date, in order to permit the Underwriters to comply with Rule 15c2-12 (the "Rule") of the Securities and Exchange Commission ("SEC"), and the applicable rules of the Municipal Securities Rulemaking Board ("MSRB"), with respect to distribution of the Official Statement The Senior Managing Underwriter agrees to file the Official Statement with the Electronic Municipal Market Access system ("EMMA") (accompanied by a completed Form G-32) by the date of Closing. The filing of the Official Statement with EMMA shall be in accordance with the terms and conditions applicable to EMMA. From the date hereof until the earlier of (i) ninety days from the "end of the underwriting period" (as defined in the Rule), or (ii) the time when the Official Statement is available to any person from the MSRB (but in no case less than twenty-five (25) days following the end of the underwriting period), if any event (e) (0 548 occurs or a condition or circumstance exists which may make it necessary to amend or supplement the Official Statement in order to make the statements therein, in the light of the circumstances under which they were made, not misleading, the party discovering such event, condition or occurrence shall notify the other party and if, in the reasonable opinion of the Agency or the reasonable opinion of the Senior Managing Underwriter, such event requires the preparation and publication of an amendment or supplement to the Official Statement, the Agency, at its expense, will promptly prepare an appropriate amendment or supplement thereto, in a form and in a manner reasonably approved by the Senior Managing Underwriter (and file, or cause to be filed, the same with the MSRB, and mail such amendment or supplement to each record owner of the Series 2015 Bonds) so that the statements in the Official Statement, as so amended or supplemented, will not, in light of the circumstances under which they were made, be misleading. Each party will promptly notify the other parties of the occurrence of any event of which it has knowledge or the discovery of such conditions or circumstance, which, in its reasonable opinion, is an event described in the preceding sentence. Notwithstanding the foregoing, if prior to the Closing either the Agency or the Underwriters hereto does not in good faith approve the form and manner of such supplement or amendment, the other may terminate this Purchase Agreement. The parties agree to cooperate in good faith with regard to the form and manner of the supplement or amendment to the Official Statement. Unless the Agency is otherwise notified by the Underwriters in writing on or prior to the date of Closing, the end of the underwriting period for the Series 2015 Bonds for all purposes of the Ruie and this Purchase Agreement is the date of Closing. In the event the written notice described in the preceding sentence is given by the Underwriters to the Agency, such written notice shall specify the date after which no participating underwriter, as such term is defined in the Rule, remains obligated to deliver Official Statements pursuant to paragraph (b)(a) of the Rule. (g) The Agency hereby approves and authorizes the delivery and distribution of the Preliminary Official Statement and the execution, delivery and distribution of the Official Statement in substantially the form of the Preliminary Official Statement, together with such other changes, amendments or supplements as shall be made and approved in writing by the Senior Managing Underwriter and the Agency prior to the Closing in connection with the public offering and sale of the Series 20i5 Bonds. SECTION 2. The Agency represents and warrants to and agrees with the Underwriters as follows: (a) The Bond Resolution was adopted by the Commission at meetings duly called and held in open session upon requisite prior pubiic notice pursuant to the laws of the State of Florida and the standing resolutions and rules of procedure of the Commission. The Agency has full right, power and authority to adopt the Bond Resolution. On the date hereof, the Bond Resolution is, and, at the Closing shall 549 (b) be, in full force and effect, and no portions thereof have been or shall have been supplemented, repealed, rescinded or revoked. The Bond Resolution constitutes the legal, valid and binding obligation of the Agency, enforceable in accordance with its terms. The Bond Resolution creates a iien upon and pledge of Pledged Funds, for the payment of principal and interest on the Series 2015 Bonds. As of their respective dates and, with respect to the Official Statement, at the time of Closing, the statements and information contained in the Preliminary Official Statement and the Official Statement are and will be accurate in all material respects for the purposes for which their use is authorized, and do not and will not contain any untrue statement of a material fact or omit to state any material fact necessary to make the statements therein, in the light of the circumstances under which they were made, not misleading. In addition, any amendments to the Preliminary Official Statement and the Official Statement prepared and furnished by the Agency pursuant hereto will not contain any untrue statement of a material fact or omit to state any material fact necessary to make the statements therein, in the light of the circumstances under which they were made, not misleading. The Series 2015 Bonds, the Bond Resolution, the Escrow Deposit Agreements relatingto the refunding of the Prior outstanding Bonds (the "Escrow Deposit Agreements") and the Disclosure Dissemination Agent Agreement relating to the Series 2015 Bonds (the "Continuing Disclosure Agreement") conform to the descriptions thereof set forth in the Official Statement. The Agency is not in breach of or default under any applicable constitutional provision, law or administrative regulation of the State of Florida or the United States, or any agency or department of either, or any applicable judgment or decree or any loan agreement, indenture, bond, note, resolution, agreement or other instrument to which the Agency is a party or to which the Agency or any of its properties or other assets is otherwise subject, and no event has occurred and is continuing which, with the passage of time or the giving of notice, or both, would constitute a default or event of default under any such instrument, in any such case to the extent that the same would have a material and adverse effect upon the business or properties or financial condition of the Agency, including the Agency's receipts of the Trust Fund Revenues (as defined in the Bond Resolution) in the amount contemplated by the official Statement; and the execution and delivery of the Series 2015 Bonds, the Continuing Disclosure Agreement, the Escrow Deposit Agreements and this Purchase Contract and the adoption of the Bond Resolution, and compliance with the provisions on the Agency's part contained in each, will not conflict with or constitute a breach of or default under any constitutional provision, Iaw, administrative regulation, judgment, decree, loan agreement, indenture, bond, note, resolution, agreement or other instrument to which the Agency is a party or to which the Agency or any of its properties or other assets is otherwise subject, nor will any such execution, delivery, adoption or compliance result in the creation or imposition of any lien, charge or other security interest or encumbrance of any nature whatsoever upon any of the properties or the assets of the Agency under the terms of any such law, (c) 550 regulation or instrument, except as provided or permitted by the Series 2015 Bonds and the Bond Resolution. (d) As of its date, the Preliminary Official Statement was deemed "final" (except for permitted omissions) by the Agency for purposes of paragraph (bX1) of the Rule. (e) On the date hereof, the Commission is the governing body of the Agency and the Agency is, and will be on the date of the Closing, duly organized and validly existing as a community Redevelopment agency under the Act, with the power and authority set forth therein. (0 The Agency has full right, power and authority to issue, sell and deliver the Series 2015 Bonds to the Underwriters as described herein; to provide funds to finance the Series 2015 Redevelopment Project and to refinance the Outstanding Prior Bonds; to enter into this Purchase Agreement, the Escrow Deposit Agreements and the Continuing Disclosure Agreement (collectively, the "Bond Documents"), to issue and deliver the Series 2015 Bonds as provided in this Purchase Agreement and the Bond Resolution, to apply the proceeds of the sale of the Series 2015 Bonds for the purposes described herein and in the Official Statement, to execute and deliver the Bond Documents, and to carry out and consummate the transactions contemplated by the aforesaid documents. (g) At meetings of the Commission that were duly called and at which a quorum was present and acting throughout, the Commission approved the execution and delivery of the Series 2015 Bonds and the Bond Documents; authorized the execution and delivery of the Official Statement; and authorized the use of the Official Statement in connection with the public offering of the Series 2015 Bonds. The Agency represents that it will have no bonds or other indebtedness outstanding that are secured by the Pledged Funds, other than as described in the Official Statement. All conditions and requirements of the Bond Resolution relating to the issuance of the Series 2015 Bonds have been complied with or fulfilled, or will be complied with or fulfilled on the date of closing. (h) Since September 30, 2074, there has been no material adverse change in the financial position, results of operations or condition, financial or otherwise, of the Agency other than as disclosed in the Official Statement and the Agency has not incurred liabilities that would materially adversely affect its ability to discharge its obligations under the Bond Resolution or the Bond Documents, direct or contingent, other than as disclosed in the Official Statement. (i) No authorization, approval, consent or license of any governmental body or authority, not already obtained, is required for the valid and lawful execution and delivery by the Agency of the Series 2015 Bonds, the Bond Documents, the Official Statement, the adoption of the Bond Resolution, and the performance of its obligations thereunder or as contemplated thereby; provided, however, that no representation is made concerning compliance with the registration requirements 551 C) (k) of the federal securities laws or the securities or Blue Sky laws of the various states. The Agency is not and has not been in default on any bond issued since December 31, 197 5 that would be considered material by a reasonable investor. Except as disclosed in the official Statement, there is no claim, action, suit, proceeding, inquiry or investigation, at law or in equity, before or by any court, governmental agency, or public board or body, pending or, to the best of its knowledge, threatened: (i) contesting the corporate existence or powers of the Agency or the commission, or the titles of the officers of the Agency or the Commission to their respective offices; (ii) seeking to prohibit, restrain or enjoin the sale, issuance or delivery of the Series 2015 Bonds or the collection of the Trust Fund Revenues, pledged to pay the principal of and interest on the Series 2015 Bonds in the manner and to the extent provided in the Bond Resolution, or the application of the proceeds of the Series 2015 Bonds or in which an unfavorable decision, ruling or finding would materially adversely affect the financial position of the Agency or the validity or enforceability of the Series 2015 Bonds, the Bond Resolution or the Bond Documents; (iii) contesting in any way the completeness or accuracy of the Official Statement; (iv) adversely affect the exclusion of interest on the Series 2015 Bonds from gross income for federal income tax purposes; or (v) challenging the Agency's ownership or operation of the Series 2015 Redevelopment Project or any Redevelopment Projects, nor, to the best knowledge of the Agency, is there any basis therefor. When duly executed and delivered, the Series 2015 Bonds, and the Bond Documents will have been duly authorized, executed, issued and delivered and will constitute valid and binding obligations of the Agency, enforceable in accordance with their respective terms, except insofar as the enforcement thereof may be limited by bankruptcy, insolvency or similar laws relating to the enforcement of creditors' rights. The Agency will furnish such information, execute such instruments and take such other action in cooperation with the Senior Managing Underwriter as the Senior Managing Underwriter may reasonably request to: (i) qualify the Series 2015 Bonds for offer and sale under the "blue sky" or other securities laws and regulations of such states and other jurisdictions of the United States of America as the Senior Managing Underwriter may designate; (ii) determine the eligibility of the Series 2015 Bonds for investment under the laws of such states and other jurisdictions; and (iii) continue such qualifications in effect so long as required for the distribution of the Series 2015 Bonds; provided that the Agency will not be required to qualify to do business or submit to service of process in any such jurisdiction. The Agency has not been notified of any listing or the proposed listing of the Agency by the Internal Revenue Service as an issuer whose arbitrage certifications may not be relied upon. (t) (m) (n) 552 (o) (p) (q) (s) (t) (u) (v) Any cefiificate signed by any official of the Agency and delivered to the Underwriters will be deemed to be a representation by the Agency to the Underwriters as to the statements made therein. The Agency will undertake, pursuant to the Continuing Disclosure Agreement, to provide or cause to be provided to the MSRB certain annual financial information and certain notices of material events, as more fully set forth in the Continuing Disclosure Agreement. A description of the undertaking will be set forth in the Official Statement. The Financial Statements included in the Official Statement have been prepared in accordance with generally accepted accounting principles applied on a consistent basis with that of the audited combined financial statements of the Agency and fairly present the financial condition and results of the operations of the Agency at the dates and for the periods indicated. (r) The Agency will provide to the rating agencies rating the Series 2015 Bonds appropriate periodic credit information necessary for maintaining the ratings on the Series 2015 Bonds. Except as disclosed in the official Statement, within the last five (5) years, the Agency has not failed to comply in all material respects with any continuing disclosure undertaking made by it pursuant to the Rule in connection with outstanding bond issues for which the Agency has agreed to undertake continuing disclosure obligations. At the time of Closing, the Agency will be in compliance in all respects with the covenants and agreements contained in the Bond Resolution and no Event of Default, nor an event which, with the lapse of time or giving of notice, or both, would constitute an Event of Default under the Bond Resolution will have occurred or be continuing. The Agency will not take or omit to take any action which action or omission will in any way cause the proceeds from the sale of the Series 2015 Bonds to be applied in a manner contrary to that provided for or permitted in the Bond Resolution and as described in the Official Statement. No representation or warranty by the Agency in this Purchase Agreement, nor any statement, certificate, document or exhibit furnished to or to be furnished by the Agency pursuant to this Purchase Agreement contains, or will contain on the Closing date, any untrue statement of material fact. Between the date of this Purchase Agreement and the date of Closing, the Agency will not, without the prior written consent of the Senior Managing Underwriter, offer or issue any bonds, notes or other obligations for borrowed money, and the Agency will not incur any material liabilities, direct or contingent, nor will there be any adverse change of a material nature in the financial position, results of (w) 553 operations or condition, financial or otherwise, of the Agency, other than (i) as contemplated by the Official Statement, or (ii) in the ordinary course of business. SECTION 3. On or before the acceptance by the Agency of this Purchase Agreement, the Underwriters shall receive from the Agency certified copies of the Bond Resolution. SECTION 4. At 10:00 a,m. (Eastem Time) on ,2015, or at such earlier or later time or date as the parties hereto mutually agree upon (the "Closing"), the Agency will cause to be delivered to the Underwriters, at the offices of Squire Patton Boggs (US) LLP ("Bond Counsel"), in the Agency of Miami, Florida or at such other place upon which the parties hereto may agree, the documents mentioned in Section 5(b) of this Purchase Agreement and shall release the Series 2015 Bonds, in the form of one typewritten, fully registered bond with a CUSIP identification number thereon for each maturity of the Series 2015 Bonds. duly executed and authenticated and registered in the name of Cede & Co., as nominee for DTC, through the DTC FAST System to the Underwriters. At the Closing, the Underwriters shall evidence their acceptance of delivery of the Series 2015 Bonds and pay the purchase price of the Series 2015 Bonds as set forth in Section 1(a) of this Purchase Agreement. SECTION 5. The Underwriters have entered into this Purchase Agreement in reliance upon the representations and agreements of the Agency herein and the performance by the Agency of its obligations hereunder, both as of the date hereof and as of the date of Closing. The Agency's and the Underwriters' obligations under this Purchase Agreement are and will be subject to the following further conditions : (a) at the time of Closing: (i) the Bond Resolution and the Bond Documents will be in full force and effect and will not have been amended, modified or supplemented, except as may have been agreed to in writing by the Senior Managing Underwriter; (ii) the proceeds of the sale of the Series 20i5 Bonds shall be applied as described in the Official Statement; and (iii) the Commission shall have duly adopted and there shall be in full force and effect, resolutions as, in the opinion of Bond Counsel, shall be necessary in connection with the transactions contemplated hereby; (b) at or prior to the Closing, the Underwriters shall receive the following documents: (i) the opinion of Bond Counsel with respect to the Series 2015 Bonds, dated the date of Closing, substantially in the form attached to the Official Statement as Appendi* _, either addressed to the Underwriters and the Agency or accompanied by a letter addressed to the Underwriters indicating that it may rely on said opinion as if it were addressed to them; 554 (ii) a supplemental opinion of Bond Counsel, dated the date of the Closing and addressed to the Underwriters to the effect that: (A) they have reviewed the statements in the Official Statement under the captions I',INTRODUCTION", ,,PURPOSE OF THE SERIES 2015 BONDS", "THE SERIES 2015 BONDS" (except for information under the subheading "Book-Entry Only System"), and "SECURITY FOR THE SERIES 2015 BONDS" (except for the information under the subheading "RESERVE ACCOUNT"),] and believe that, insofar as such statements purport to summarize certain provisions of the Series 2015 Bonds and the Bond Resolution, such statements present an accurate summary of such provisions; (B) they have reviewed the statements in the Official Statement under the caption "TAX MATTERS" and believe that such statements are accurate; and (C) the Series 2015 Bonds are exempt from the registration requirements of the Securities Act of 1933, as amended (the "1933 Act") and the Bond Resolution is exempt from qualification under the Trust Indenture Act of 1939, as amended (the "1939 Act"); (iii) the opinion of the Law Offices of Steve E. Bullock, P,A., Disclosure Counsel to the Agency, dated the date of Closing and either addressed to the Underwriters and the Agency or accompanied by a letter addressed to the Underwriters indicating that it may rely on said opinion as if it were addressed to them, in form and substance acceptable to the Agency and the Underwriters, (i) to the effect that nothing has come to its attention which leads it to believe that the Official Statement contains any untrue statement of a material fact or omits to state a material fact required to be stated therein or necessary to make the statements therein, in light of the circumstances under which they were made, not misleading, (ii) the Continuing Disclosure Agreement complies, in all material respects, with the requirements of Rule l5(c)2-12(b)(5), and (iii) the Series 2015 Bonds are exempt from the registration requirements of the 1933 Act and the Bond Resolution is exempt from qualification under the 1939 Act; (iv) the opinion of Raul Aguila, Esq., Counsel to the Agency, dated the date of Closing and addressed to the Underwriters and the Agency, to the effect that: (A) the Commission is the governing body of the Agency and the Agency is validly existing as a public agency created under the Act, with all corporate power necessary to conduct the operations described in the Official Statement and to cary out the transactions contemplated by this Purchase Agreement; (B) the Agency has obtained all governmental consents, approvals and authorizations necessary for execution and delivery of the Bond Documents, for issuance of the Series 2015 Bonds and for execution and delivery of the Official Statement and consummation of the transactions contemplated thereby and hereby; (C) the Agency has full legal right, power and authority to pledge and grant a lien on the Trust Fund Revenues, for the security of the Series 2015 Bonds on parity and equal status with any other Bonds issued pursuant to the l0 555 (v) Bond Resolution; (D) the Agency has duly adopted the Bond Resolution and approved the form, execution, distribution and delivery of the official statement and the other Bond Documents; (E) the Series 2015 Bonds and the Bond Documents have each been duly authorized, executed and delivered by the Agency and, assuming due authorization, execution and delivery thereof by the other parties thereto, if any, each constitutes a valid and binding agreement of the Agency, enforceable in accordance with its terms; (F) the information in the official Statement with respect to the Agency (excluding financial, statistical and demographic information and information relating to DTC, as to which no opinion need be expressed) is, to the best knowledge of such counsel after due inquiry with respect thereto, correct in all material respects and does not omit any matter necessary in order to make the statements made therein regarding such matters, in light of the circumstances under which such statements are made, not misleading, and, based on its participation as counsel to the Agency, such counsel has no reason to believe that the official Statement (excluding financial, statistical and demographic information (and information reiating to DTC) contained as of its date or contains any untrue statement of a material fact or omitted or omits to state any material fact necessary to make the statements therein, in light of the circumstances under which they were made, not misleading; (G) except as disclosed in the Official Statement under the caption "LITIGATION," there is no action, suit, proceeding or investigation at law or in equity before or by any court, public board or body pending or, to the best of knowledge of such counsel, threatened, against or affecting the Commission or the Agency challenging the validity of the Series 2015 Bonds, the Bond Resolution, the Bond Documents, or any of the transactions contemplated thereby or by the official Statement, or challenging the existence of the Agency or the respective powers of the several offices of the offrcials of the Agency or the titles of the officials holding their respective offices, or challenging the Agency's ownership or operation of the Redevelopment Projects or the pledge of the Trust Fund Revenues for the payment of the Series 2015 Bonds in the manner and to the extent provided in the Bond Resolution, nor is there any basis therefor; (H) the execution and delivery of the Bond Documents and the issuance of the Series 2015 Bonds, and compliance with the provisions thereof, under the circumstances contemplated thereby, do not and will not in any material respect conflict with or constitute on the part of the Agency a breach of or default under, or result in the creation of a lien on any property of the Agency (except as contemplated therein) pursuant to any note, mortgage, deed of trust, indenture, resolution or other agreement or instrument to which the Commission or the Agency is a party, or any existing law, regulation, court order or consent decree to which the Commission or the Agency is subject; a certificate, dated the date of Closing, signed on behalf of the Agency by the Chairman and Executive Director of the Agency, setting forth such 11 556 matters as the Senior Managing Underwriter may reasonably require, including that each of the representations of the Agency contained in Section 2 hereof were true and accurate in all material respects onthe date when made, has been true and accurate in all material respects at all times since, and continues to be true and accurate in all material respects on the date of Closing as if made on such date; and stating that to the best of their knowledge, flo event affecting the Agency, the Series 2015 Redevelopment Project or the Series 2015 Bonds has occurred since the date of the Official Statement which should be disclosed therein for the purpose for which it is used or which is necessary to disclose therein in order to make the statements and information therein not misleading in any material respect as of the date of Closing; (vi) a customary signature certificate, dated the date of Closing, signed on behalf of the Agency by the Secretary of the Agency: (vii) letters from Moody's Investors Service, Inc. ("Moody's") and Standard & Poor's Ratings Services ("S&P") addressed to the Agency, to the effect that the Series 2015 Bonds have been assigned ratings of"_" with a "_ outlook," respectively, which ratings effect as of the Closing date; (viii) a customary authorization and incumbency certificate, dated Closing, signed by authorized officers of the Bond Registrar; tt-" and shall be in the date of (ix) copies of the Blue Sky Survey and Legal Investment Survey, if any, prepared by Counsel to the Underwriters, indicating the jurisdictions in which the Series 2015 Bonds may be sold in compliance with the "blue sky" or securities laws of such jurisdictions; (x) such additional documents as may be required by the Bond Resolution to be delivered as a condition precedent to the issuance of the Series 2015 Bonds; (xi) such additional legal opinions, proceedings, instruments and other documents as the Senior Managing Underwriter, Underwriters' Counsel or Bond Counsel may reasonably request. All of the opinions, letters, certificates, instruments and other documents mentioned in this Purchase Agreement shall be deemed to be in compliance with the provisions of this Purchase Agreement if, but only if, in the reasonable judgment of the Senior Managing Underwriter and Underwriters' Counsel, they are satisfactory in form and substance. SECTION 6. If the Agency shali be unable to satisfy the conditions to the Underwriters' obligations contained in this Purchase Agreement or if the Underwriters' obligations are terminated for any reason permitted by this Purchase Agreement, this Purchase Agreement shall terminate and the t2 557 Underwriters and the Agency shall have no further obligation hereunder, except that the respective obligations of the parties hereto provided in Section 7 hereof shall continue in full force and effect and the Agency shall return the Good Faith Deposit as provided in Section l(b). SECTION 7. (a) The following costs and expenses relating to the transaction contemplated or described in this Purchase Agreement shall be borne and paid by the Agency regardless of whether the transaction contemplated herein shall close: printing of Series 2015 Bonds; printing or copying of closing documents (including the Preliminary Official Statement and the Official Statement) in such reasonable quantities as the Underwriters may request; fees and disbursements of Bond Counsel; fees and disbursements of the Financial Advisor; any accounting fees; the Bond Registrar fees; fees of the rating agencies; and any other fees as described in Schedule A-1 hereto. The Agency shall pay any expenses incurred by the Underwriters on behalf of the Agency and its staff in connection with the marketing, issuance and delivery of the Series 2015 Bonds, including, but not limited to, meals, transportation and lodging of the Agency's employees and representatives; the Agency's obligations in regard to these expenses survive even if the underlying transaction fails to close or consummate. (b) The Underwriters will pay: (i) the fees and disbursements of Underwriters' Counsel; (ii) all advertising expenses in connection with the public offering of the Series 2015 Bonds; and (iii) the cost of preparing, printing and distributing the Blue Sky and Legal Investment Surveys, if any, and the filing fees required by the "blue sky" laws of various jurisdictions. SECTION 8. The Agency acknowledges and agrees that: (i) the transactions contemplated by this Purchase Agreement are arm's length, commercial transactions between the Agency and the Underwriters in which the Underwriters are acting solely as a principal and are not acting as a municipal advisor, financial advisor or fiduciary to the Agency; (ii) the Underwriters have not assumed any advisory or fiduciary responsibility to the Agency with respect to the transactions contemplated hereby and the discr-rssions, undertakings and procedures leading thereto (inespective of whether the Underwriters or their affiliates have provided other services or are currently providing other services to the Agency on other matters); (iii) the only obligations the Underwriters have to the Agency with respect to the transaction contemplated hereby expressly are set forth in this Purchase Agreement; (iv) the Agency has consulted its own financial and/or municipal, legal, accounting, tax, and other advisors, as applicable, to the extent it has deemed appropriate and (v) the Underwriters have financial and other interests that differ from those of the Agency. The primary role of the Underwriters, is to purchase the Series 2015 Bonds, for resale to investors, in an arm's-length commercial transaction between the Agency and the Underwriters. 13 558 SECTION 9. The Underwriters shall have the right to cancel their obligations hereunder by if the Senior Managing Underwriter notifies the Agency in writing of their election to do so between the date hereof and the Closing if, at any time hereafter and on or prior to the Closing: (a) A committee of the House of Representatives or the Senate of the Congress of the United States shall have pending before it legislation, or a tentative decision with respect to legislation shall be reached by a committee of the House of Representatives or the Senate of the Congress of the United States of America, or legislation shall be favorably reported by such a committee or be introduced, by amendment or otherwise, in, or be passed by, the House of Representatives or the Senate, or recommended to the Congress of the United States of America for passage by the President of the United States of America, or be enacted by the Congress of the United States of America, or an announcement or a proposal for any such legislation shall be made by a member of the House of Representatives or the Senate of the Congress of the United States, or a decision by a court established under Article III of the Constitution of the United States of America or the Tax Court of the United States of America shall be rendered, or a ruling, regulation, or order of the Treasury Department of the United States of America or the Internal Revenue Service shall be made or proposed having the purpose or effect of imposing federal income taxation, or any other event shall have occurred which results in or proposes the imposition of federal income taxation, upon revenues or other income of the general character to be derived by the Agency, any of its affiliates, state and local governmental units or by any similar body or upon interest received on obligations of the general character of the Series 2015 Bonds which, in the Senior Managing Underwriter's opinion, materially and adversely affects the market price of the Series 2015 Bonds. (b) Any legislation, ordinance, rule, or regulation shall be introduced in or be enacted by any governmental body, department, or agency of the United States or of any state, or a decision by any court of competent jurisdiction within the United States or any state shall be rendered which, in the Senior Managing Underwriter's reasonable opinion, materially adversely affects the market price of the Series 2015 Bonds. (c) A stop order, ruling, regulation, or official statement by, or on behalf of, the SEC or any other governmental agency having jurisdiction of the subject matter shall be issued or made to the effect that the issuance, offering, or sale of obligations of the general character of the Series 2015 Bonds, or the issuance, offering, or sale of the Series 2015 Bonds, including all the underlying obligations, as contemplated hereby or by the Official Statement, is in violation or would be in violation of any provisions of the federal securities laws as amended and then in effect, including without limitation the registration provisions of the 1933 Act, or the registration provisions of the Securities Exchange Act of 1934 (the "1934 Act"), or the qualification provisions of the 1939 Act. 14 559 (d)Legislation shall be introduced by amendment or otherwise in, or be enacted by, the Congress of the United States of America, or a decision by a court of the United States of America shall be rendered to the effect that obligations of the general character of the Series 2015 Bonds, including aii the underlying obiigations, are not exempt from registration under or from other requirements of the 1933 Act or the 1934 Act, or with the purpose or effect of otherwise prohibiting the issuance, offering, or sale of obligations of the general character of the Series 2015 Bonds, as contemplated hereby or by the official Statement. Any event shall have occurred, or information shall have become known, which, in the Senior Managing Underwriter's reasonable opinion, makes untrue in any material respect any representation by or certificate of the Agency hereunder, or any statement or information furnished to the Underwriters by the Agency for use in connection with the marketing of the Series 2015 Bonds or any material statement or information contained in the Official Statement as originally circulated contains an untrue statement of a material fact or omits to state a material fact necessary in order to make the statements made, in light of the circumstances under which they were made, not misleading; provided, however, that the Agency shall be granted a reasonable amount of time in which to cure any such untrue or misleading statement or information. Additional material restrictions not in force as of the date hereof shall have been imposed upon trading in securities generally by any governmental authority or by any national securities exchange. The New York Stock Exchange or any other national securities exchange, or any governmental authority, shall impose, as to Series 2015 Bonds or obligations of the general character of the Series 2015 Bonds, any material restrictions not now in force, or increase materially those now in force, with respect to the extension of credit by, or a change to the net capital requirements of, the Underwriters. A general banking moratorium or suspension or limitation of banking services shall have been established by federal, Florida or New York authorities or a major financial crisis or material disruption in commercial banking or securities settlement or clearance services shall have occurred. Any proceeding shall be pending, or to the knowledge of the underwriters, threatened, to restrain, enjoin, or otherwise prohibit the issuance, sale, or delivery of the Series 2015 Bonds by the Agency or the purchase, offering, sale, or distribution of the Series 2015 Bonds by the Underwriters, or for any investigatory or other proceedings under any federal or state securities laws or the rules and regulations of the National Association of Securities Dealers, Inc. relating to the issuance, sale, or delivery of the Series 2015 Bonds by the Agency or the purchase, offering, sale, or distribution of the Series 2015 Bonds by the Underwriters. (e) (0 (g) (h) (i) 15 560 There shall have occurred any new outbreak or escalation of hostilities, any declaration by the United States of war or any national or intemational calamity or crisis, the effect of such outbreak, escalation, declaration, calamity or crisis being such as would cause a major disruption in the municipal bonds market and as, in the reasonable judgment of the Senior Managing Underwriter, would make it impracticable or inadvisable for the Underwriters to market the Series 2015 Bonds or to enforce contracts for the sale of the Series 2015 Bonds. Prior to Closing, any of the rating agencies which have rated the Series 2015 Bonds shall inform the Agency or the Underwriters that the Series 2015 Bonds will be rated lower than the respective rating published in the Official Statement or there shall have occurred or any notice shall have been given of any downgrading, suspension, withdrawal, or negative change of credit watch status by any national rating service to any Bonds. There shall have occurred, after the signing hereof, either a financial crisis with respect to the Agency or any agency or political subdivision thereof or proceedings under the bankruptcy laws of the United States or the State of Florida shall have been instituted by the Agency, in either case the effect of which, in the reasonable judgment of the Senior Managing Underwriter, is such as to materially and adversely affect the market price or the marketability of the Series 2015 Bonds or the ability of the Underwriters to enforce contracts of the sale of the Series 2015 Bonds. SECTION 10. Any notice or other communication to be given under this Purchase Agreement may be given by delivering the same in writing as follows: To the Agency at: Miami Beach Redevelopment Agency clo City of Miami Beach, Florida 1700 Convention Center Drive Miami Beach, FL 33139 Attention: John Woodruff, Interim Chief Financial Officer To the Underwriters (as the Senior Managing Underwriter, the representative on behalf of the Underwriters) at: Morgan Stanley & Co., LLC 1560 Sawgrass Corp Pkwy, Suite 479 Sunrise, Florida 33323 Attention: J.W. Howard 0) (k) (l) r6 561 SECTION 11. This Purchase Agreement is made solely for the benefit of the Agency and the Underwriters (including the successors or assigns of the Underwriters), and no other person, partnership, association or corporation shall acquire or have any right hereunder or by virtue hereof. SECTION 12. All the representations, warranties and agreements of the Underwriters and the Agency in this Purchase Agreement shall remain operative and in full force and effect and shall survive delivery of and payment for the Series 2015 Bonds hereunder regardless of any investigation made by or on behalf of the Underwriters. SECTION 13. This Purchase Agreement shall be governed by and construed in accordance with the laws of the State of Florida. SECTION 14. This Purchase Agreement may be executed in any number of counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same agreement; such counterparts may be delivered by facsimile transmission. [Signature Page to FollowJ t7 562 If the foregoing is acceptable to you, please sign below and this Purchase Agreement will become a binding agreement between the Agency and the underwriters. Very Truly Yours, MORGAN STANLEY &, CO. LLC, on behalf of itself and WELLS FARGO BANK, NATIONAL ASSOCIATION, MERRILL LYNCH, PIERCE, FENNER &, SMITH INCORPORATED, RAYMOND JAMES & ASSOCIATES, INC., and LOOP CAPITAL MARKETS LLC By: Name: Title: Accepted and confirmed as of the date first above written: MIAMI BEACH REDEVELOPMENT AGENCY By: Name: Title: APPROVED AS TO FORM & LANGUAGE & FOR EXECUTION Chairperson J-C''(- Redevelopment Agency Geneial Couniel 'y'13 i8 563 EXHIBIT A (Disclosure and Truth-in-Bonding Statement) (_ MIAMI BEACH REDEVELOPMENT AGENCY Tax Increment Revenue Bonds, Series 201 5 (City Center/Historic Convention Village) ,2015 Board of Commissioners of the Miami Beach Redevelopment Agency 1700 Convention Center Drive Miami Beach, Florida 33139 Ladies and Gentlemen: In connection with the proposed execution and delivery of the $Miami Beach Redevelopment Agency Tax Increment Revenue Bonds, Series 2015 (City Center/Historic Convention Viliage) (the "Series 2015 Bonds"), Morgan Stanley & Co. LLC (the "senior Managing Underwriter"), acting on behalf of itself Wells Fargo Bank, National Association, Merrill Lynch, Pierce, Fenner & Smith Incorporated, Raymond James & Associates, Inc., and Loop Capital Markets LLC (collectively, with the Senior Managing Underwriter, the "Underwriters"), has agreed to underwrite a public offering of the Series 2015 Bonds. Arrangements for underwriting the Series 2015 Bonds will include a Bond Purchase Agreement between the Miami Beach Redevelopment Agency (the "Agency") and the Underwriters which will embody the negotiations in respect thereof (the "Purchase Agreement"). The purpose of this letter is to furnish, pursuant to the provisions of Section 218.385, Florida Statutes, as amended, certain information in respect of the arrangements contemplated for the underwriting of the Series 2015 Bonds as follows: (a) The nature and estimated amounts of expenses to be incurred by the Underwriters in connection with the purchase and reoffering of the Series 2015 Bonds are set forth in schedule A-1 attached hereto. (b) No person has entered into an understanding with the Underwriters or, to the knowledge of the Underwriters, with the Agency for any paid or promised compensation or valuable consideration, directly or indirectly, expressly or impiied, to act solely as an intermediary between the Agency and the Underwriters or to exercise or attempt to exercise any influence to effect any transaction in connection with the purchase of the Series 2015 Bonds by the Underwriters. (c) The total underwriting spread is $($ Exhibit A-1 /$1,000 of Bonds). 564 (e) (f) (d) The Management Fee is $_ ($_/$1,000 of Bonds). The Underwriters' Expenses are $($-./$1,000 of Bonds). No other fee, bonus or other compensation has been or will be paid by the Underwriters in connection with the issuance of the Series 2015 Bonds to any person not regularly employed or retained by the Underwriters, except Underwriters' counsel, Greenberg Traurig, P.A., as shown on Schedule A-l hereto, including any "finder" as defined in Section 218.386(1)(a), Florida Statutes, as amended. The names and addresses of the Underwriters are: Morgan Stanley & Co. LLC 1560 Sawgrass Corp Pknry, Suite 479 Sunrise, Florida 33323 Attn: J.W. Howard Wells Fargo Bank, National Association 2363 Gulf-to-Bay Blvd, Suite 200 Clearwater, Florida 337 65 Attn: J. Michael Olliff Bank of America Merrill Lynch 355 Alhambra Circle, Suite 1360 Coral Gables, Florida 33134 Attn: Jose R. Pagan Raymond James & Associates, Inc. Attn: Loop Capital Markets LLC 111 West Jackson Blvd., Suite 1901 Chicago, Illinois 60604 Attn: Deborah Knox TheAgencyisproposingtoissue$-principalamountoftheSeries 2015 Bonds, as described in the Official Statement dated ,2015 relating to the Series 20i5 Bonds (the "Official Statement"). These obligations are expected to be repaid over a period of approximately _ years. At a true interest cost rate of -_-Yo,total interest paid over the life of the Series 2015 Bonds will be $_..----. Proceeds of the Series 2015 Bonds will provide funds, together with other available funds, to (i) pay the costs of certain redevelopment projects, (ii) refinance the outstanding Prior Bonds, (iii) [fund required reserves, and (iv)] pay costs of issuance of the Series 2015 Bonds. (e) (h) Exhibit A-2 565 (i) The anticipated source of repayment or security for the Series 2015 Bonds is the Trust Fund Revenues (as defined in the Bond Resolution, which in turn is defined in the Purchase Agreement). Authorizing these obligations will result in an annual amount of approximately $_ (total debt service divided by _years) of the aforementioned funds not being available each year to finance the other services of the Agency over a period of approximatery _ years. fRemainder of page intentionally left blank] Exhibit A-3 566 We understand that you do not require any further disclosure from the Underwriters pursuant to Section 218.385, Florida Statutes, as amended. Very Truly Yours, MORGAN STANLEY &. CO. LLC, on behalf of itself and WELLS FARGO BANK, NATIONAL ASSOCIATION, MERRILL LYNCH, PIERCE, FENNER &, SMiTH INCORPORATED, RAYMOND JAMES & ASSOCIATES, INC., and LOOP CAPITAL MARKETS LLC By: Name: Title: Exhibit A-4 567 SCHEDULE "A-1" DETAILED BREAKDOWN OF UNDERWRITERS' DISCOUNT MIAMI BEACH REDEVELOPMENT AGENCY Tax Increment Revenue Bonds Series 201 5 (City Center / Historic Convention Village) Spread Breakdown Underwrite r/Takedown : Expenses: Total Expense Breakdown Total $/$ 1.000 $/$ 1.000 Amount Amount Schedule A-1 568 EXHIBIT B s-- MIAMI BEACH REDEVELOPMENT AGENCY Tax Increment Revenue Bonds, Series 2015 (City Center / Historic Convention Village) MATURITIES, PRINCIPAL AMOUNTS, INTEREST RATES, YIELDS AND PRICES $ Serial Bonds Maturity Principal( 1) Amount Interest Rate yield price $_ _% Term Bond Due -- l, _t yield _yq price _o/o$_ _% Term Bond Due _ l, _-t yield %; pri"r-yo [Insert Redemption Provisions] MIA 184716594v2 Exhibit B-1 569 DISCLOSURE DISSEMINATION AGENT AGREEMENT This Disclosure Dissemination Agent Agreement (the "Disclosure Agreement"), dated as of , 2075, is executed and delivered by the Miami Beach Redevelopment Agency (the "Issuer") and Digital Assurance Certification, L.L.C., as exclusive Disclosure Dissemination Agent (the "Disclosure Dissemination Agent" or "DAC") for the benefit of the Holders (hereinafter defined) of the Bonds (hereinafter defined) and in order to provide certain continuing disclosure with respect to the Bonds in accordance with Rule I 5c2-12 of the United States Securities and Exchange Commission under the Securities Exchange Act of 1934, as the same may be amended from time to time (the "Rule"). The services provided under this Disclosure Agreement solely relate to the execution of instructions received from the Issuer through use ofthe DAC system and do not constitute "advice" within the meaning of the Dodd-Frank Wall Street Reform and Consumer Protection Act (the "Act"). DAC will not provide any advice or recommendation to the Issuer or anyone on the Issuer's behalf regarding the "issuance of municipal securities" or any "municipal financial product" as defined in the Act and nothing in this Disclosure Agreement shall be interpreted to the contrary. SECTION 1. Definitions . Capitalized terms not otherwise defined in this Disclosure Agreement shall have the meaning assigned in the Rule or, to the extent not in conflict with the Rule, in the Official Statement (hereinafter defined). The capitalized terms shall have the following meanings: "Annual Filing Date" means the date, set in Sections 2(a) and 2(f), by which the Annual Report is to be filed with the MSRB. "Annual Financial Information" means annual financial information as such term is used in paragraph (bX5Xi) of the Rule and specified in Section 3(a) of this Disclosure Agreement. "Annual Report" means an Annual Report described in and consistent with Section 3 of this Disclosure Agreement. "Audited Financial Statements" means the financial statements (if any) of the Issuer for the prior Fiscal Year, certified by an independent auditor as prepared in accordance with generally accepted accounting principies or otherwise, as such term is used in paragraph (bX5Xi) of the Rule and specified in Section 3(b) of this Disclosure Agreement. "Bonds" means the bonds as listed on the attached Exhibit A, with the 9-digit CUSIP numbers relating thereto. "Certification" means a written certification of compliance signed by the Disclosure Representative stating that the Annual Report, Audited Financial Statements, Voluntary Report, Notice Event notice or Failure to File Event notice delivered to the Disclosure Dissemination Agent is the Annual Report, Audited Financial Statements, Voluntary Report, Notice Event notice or Failure to File Event notice required to be submitted to the MSRB under this Disclosure Agreement. A Certification shall accompany each such document submitted to the Disclosure Dissemination Agent by the Issuer and include the full name of the Bonds and the 9-digit CUSIP numbers for all Bonds to which the document applies. 003-4430-47 28 I 3 /AM ER rCAS 570 "Disclosure Dissemination Agent" means Digital Assurance Cerlification, L.L.C, acting in its capacity as Disclosure Dissemination Agent hereunder, or any successor Disclosure Dissemination Agent designated in writing by the Issuer pursuant to Section t hereof. "Disclosure Representative" means the Executive Director of the Issuer or his or her designee, or such other person as the Issuer shall designate in writing to the Disclosure Dissemination Agent from time to time as the person responsible for providing Information to the Disclosure Dissemination Agent. "Failure to File Event" means the Issuer's t'ailure to file an Annual Report on or before the Annual Filing Date. "Force Majeure Event" means: (i) acts of God, war, orterroristaction; (ii) failure or shut- down of the Electronic Municipal Market Access system maintained by the MSRB; or (iii) to the extent beyond the Disclosure Dissemination Agent's reasonable control, intemrptions in telecommunications or utilities services, failure, malfunction or error of any telecommunications, computer or other electrical, mechanical or technological application, service or system, computer virus, interruptions in Internet service or telephone service (including due to a virus, electrical delivery problem or similar occurrence) that affect Internet users generally, or in the local area in which the Disclosure Dissemination Agent or the MSRB is located, or acts of any government, regulatory or any other competent authority the effect of which is to prohibit the Disclosure Dissemination Agent from performance of its obligations under this Disclosure Agreement. "Hoider" means any person (a) having the power, directly or indirectly, to vote or consent with respect to, or to dispose of ownership of, any Bonds (including persons holding Bonds through nominees, depositories or other intermediaries) or (b) treated as the owner of any Bonds for federal income tax purposes. "lnformation" means the Annual Financial Information, the Audited Financial Statements (if any), the Notice Event notices, the Failure to File Event notices and the Voluntary Reports. "MSRB" means the Municipal Securities Rulemaking Board established pursuant to Section 158(bX1) of the Securities Exchange Act of 1934. "Notice Event" means any of the events enumerated in paragraph (bXsXiXC) of the Rule and listed in Section 4(a) of this Disclosure Agreement. "Obligated Person" means any person, including the Issuer, who is either generally or through an enterprise, fund, or account of such person committed by contract or other arrangement to support payment of all, or part of the obligations on the Bonds (other than providers of municipal bond insurance,letters of credit, or other liquidity facilities). "Official Statement" means that Official Statement prepared by the Issuer in connection with the Bonds. "Voluntary Report" means the information provided to the Disclosure Dissemination Agent by the issuer pursuant to Section 7. 003-4430-47 28 / 3 lAM ERTCAS 571 SECTION 2. Provision of Annual Reporls. (a) The issuer shall provide, annually, an electronic copy of the Annual Report and Certification to the Disclosure Dissemination Agent, not later than 30 days prior to the Annual Filing Date. Promptly upon receipt of an electronic copy of the Annual Report and the Certification, the Disclosure Dissemination Agent shall provide an Annual Report to the MSRB not later than two hundred forty (240) days after the end of each Fiscal Year, commencing with the Fiscal Year ended September 30,2015. Such date and each anniversary thereof is the Annual Filing Date. The Annual Report may be submitted as a single document or as separate documents comprising a package, and may cross-reference other information as provided in Section 3 of this Disclosure Agreement. (b) If on the fifteenth (15th) day prior to the Annual Filing Date, the Disclosure Dissemination Agent has not received a copy of the Annual Report and Certification, the Disclosure Dissemination Agent shall contact the Disclosure Representative by telephone and in writing (which may be by e-mail) to remind the Issuer of its undertaking to provide the Annual Report pursuant to Section 2(a). Upon such reminder, the Disclosure Representative shall either (i) provide the Disclosure Dissemination Agent with an electronic copy of the Annual Report and the Certification no later than two (2) business days prior to the Annual Filing Date, or (ii) instruct the Disclosure Dissemination Agent in writing that the Issuer will not be able to file the Annual Report within the time required under this Disclosure Agreement, state the date by which the Annual Report for such year will be provided and instruct the Disclosure Dissemination Agent that a Failure to File Event has occurred and to immediately send a notice to the MSRB in substantially the form attached as Exhibit B. (c) If the Disclosure Dissemination Agent has not received an Annual Report and Certification by 10:00 a.m. Eastern Time on the Annual Filing Date (or if such Annual Filing Date falls on a Saturday, Sunday or holiday, then the first business day thereafter) for the Annual Report, a Failure to File Event shall have occurred and the Issuer irrevocably directs the Disclosure Dissemination Agent to immediateiy send a notice to the MSRB in substantially the form attached as Exhibit B, without reference to the anticipated filing date for the Annual Report. (d) If Audited Financial Statements of the Issuer are prepared but not available prior to the Annual Filing Date, the Issuer may provide an electronic copy of its unaudited financial statements to the Disclosure Dissemination Agent and shall, when the Audited Financial Statements are available, provide in a timely manner an electronic copy of the Audited Financial Statements to the Disclosure Dissemination Agent, accompanied by a Certification, in each case for filing with the MSRB. (e) The Disclosure Dissemination Agent shall: (i) verify the filing specifications of the MSRB each year prior to the Annual Filing Date; (ii) upon receipt, promptly file each Annual Report received under Sections 2(a) and 2(b) with the MSRB; 003-4430-47 28 / 3 /AMERTCAS 572 (iii) upon receipt, promptly file each of the unaudited financial statements and each of the Audited Financial Statements received under Section 2(d) with the MSRB; (iv) upon receipt, promptly file the text of each Notice Event received under Sections 4(a) and 4(bxii) with the MSRB, identifying the Notice Event as instructed by the Issuer pursuant to Section 4(a) or 4(bxii) (being any of the categories set forth below) when filing pursuant to the Section of this Disclosure Agreement indicated: 1. "Principal and interest payment delinquencies," pursuant to Sections 4(c) and a(a)(1); 2. "Non-Payment related defaults, if material," pursuant to Sections 4(c) and a@)Q); 3. "Unscheduled draws on debt service reserves reflecting financial difficulties," pursuant to Sections 4(c) and a@)e); 4. "Unscheduled draws on credit enhancements reflecting financial difficulties," pursuant to Sections 4(c) and a@)(); 5. "Substitution of credit or liquidity providers, or their failure to perform," pursuant to Sections 4(c) and a(a)(5); 6. "Adverse tax opinions, the issuance by the internal Revenue Service of proposed or final determinations of taxability, Notices of Proposed Issue (lRS Form 5701-TEB) or other material notices or determinations with respect to the tax status of the security, or other material events affecting the tax status of the security," pursuant to Sections 4(c) and a@)$); 7 . "Modifications to rights of securities holders, if material," pursuant to Sections 4(c) and a@)Q); 8. "Bond calls, if material, and tender offers" pursuant to Sections 4(c) and a(a)(8); 9. "Defeasances," pursuant to Sections 4(c) and 4(a)(9); 10. "Release, substitution, or sale of property securing repayment of the securities, if material," pursuant to Sections 4(c) and 4(a)(10); 1 1 . "Rating changes," pursuant to Sections 4(c) and a(a)( I 1), 12. "Bankruptcy, insolvency, receivership or similar event of the obligated person," pursuant to Sections 4(c) and a@)Q2); I 3. "The consummation of a merger, consolidation, or acquisition involving an obligated person or the sale of all or substantially all of the assets of the obligated person, other than in the ordinary course of business, the entry into a definitive agreement to undertake such an action or the termination of a definitive 003-4430-4728/3/ AM ER rCAS 573 agreement relating to any such actions, other than pursuant to its terms, if material," pursuant to Sections 4(c) and 4(a)(13); and 14. "Appointment of a successor or additional trustee or the change of name of a trustee, if material," pursuant to Sections 4(c) and a@)Q$. (v) upon receipt (or irrevocable direction pursuant to Section 2(c) of this Disclosure Agreement, as applicable), promptly file a completed copy of Exhibit B to this Disclosure Agreement with the MSRB, identifying the filing as "Failure to provide annual information as required" when filing pursuant to Section 2(bxii) or Section 2(c) of this Disclosure Agreement; (vi) upon receipt, promptly file the text of each Voluntary Report received under Section 7 with the MSRB. (vii) provide the Issuer evidence of the filings of each of the above when made, which shall be by means of the DAC system, for so long as DAC is the Disclosure Dissemination Agent under this Disclosure Agreement. (0 The Issuer may adjust the Annual Filing Date upon change of its Fiscal Year by providing written notice of such change and the new Annual Filing Date to the Disclosure Dissemination Agent and the MSRB, provided that the period between the existing Annual Filing Date and new Annual Filing Date shall not exceed one year. (g) Any Information received by the Disclosure Dissemination Agent before 10:00 a.m. Eastern time on any business day that it is required to file with the MSRB pursuant to the terms of this Disclosure Agreement and that is accompanied by a Certification and all other information required by the terms of this Disclosure Agreement will be filed by the Disclosure Dissemination Agent with the MSRB no later than 1l:59 p.m. Eastern time on the same business day; provided, however, the Disclosure Dissemination Agent shall have no liability for any delay in filing with the MSRB if such delay is caused by a Force Majeure Event, provided that the Disclosure Dissemination Agent uses reasonable efforts to make any such filing as soon as possible. SECTION 3. Content of Annual Reports. (a) Each Annual Report shall contain the following Annual Financial Information for the prior Fiscal Year: the information in the Official Statement [in the table under the caption "HISTORICAL AND PROJECTED DEBT SERVICE COVERAGE" and in the table entitled "Miami Beach Redevelopment Agency Historical and Projected Taxable Real Property and Tax Increment Revenues City Center Historic Convention Village" and issuance of additional debt payable from the Pledged Fundsl. (b) Audited Financial Statements prepared in accordance with generally accepted accounting principles ("GAAP") will be included in the Annual Report, but may be provided in accordance with Section 2(d). Any or all of the items listed above may be included by specific reference to other documents, including official statements of debt issues with respect to which the Issuer is an 5 003-4430-4728/3/AM ER r CAS 574 Obligated Person, which have been previously filed with the Securities and Exchange Commission or available to the public on the MSRB Internet Website. if the document incorporated by reference is a final official statement, it must be available from the MSRB. The Issuer will clearly identify each such document so incorporated by reference. Any Annual Financial Information containing modified operatin g data or financial information is required to explain, in narrative form, the reasons for the modification and the impact of the change in the type of operating data or financial information being provided. SECTION 4. Reportins of Notice Events. (a) The occurrence of any of the following events with respect to the Bonds constitutes a Notice Event: 1. Principal and interest payment delinquencies; 2. Non-payment related defauits, if material; 3. Unscheduled draws on debt service reserves reflecting financial difficulties; 4. Unscheduled draws on credit enhancements relating to the Bonds refl ecting fi nancial diffi culties; 5. Substitution of credit or liquidity providers, or their failure to perform; 6. Adverse tax opinions, the issuance by the Internal Revenue Service of proposed or final determinations of taxability, Notices of Proposed Issue (IRS Form 5701-TEB) or other material notices or determinations with respect to the tax status of the security, or other material events affecting the tax status of the Bonds; 7. Modifications to rights of Bond holders, if material; 8. Bond calls, if material, and tender offers; 9. Defeasances; 10. Release, substitution, or sale of property securing repayment of the Bonds, if material; 1 1. Rating changes on the Bonds; 12. Bankruptcy, insolvency, receivership or similar event of the Obligated Person; Note: forthepurposesoftheeventidentifiedinthissubsection4(a)(12),theeventisconsideredto occur when any of the following occur: the appointment of a receiver, fiscal agent or similar fficer for an Obligated Person in a proceeding under the U.S. Bankruptcy Code or in any other proceeding under state orfederal law inwhich a court or governmental authority has assumed jurisdiction over substantiatty all of the assets or bttsiness of the Obligated Person, or if such jurisdiction has been assumed by leaving the existing governmentql body and fficials or fficers in possession but subject to the superuision and orders 6 0o3 - 443 0 - 47 28 / 3 /AM ER rCAS 575 of a court or governmental authority, or the entry of an order confirming a plan of reorganization, drrangement or liqttidation b1t a cottrt or governmental authority having supervision or jurisdiction over substantially all of the assets or business of the Obligated Person. 13. The consummation of a merger, consolidation, or acquisition involving an Obligated Person or the sale of all or substantially all of the assets of the Obligated Person, other than in the ordinary course of business, the entry into a definitive agreement to undertake such an action or the termination of a definitive agreement relating to any such actions, other than pursuant to its terms, if material; and 14. Appointment of a successor or additional trustee or the change of name of a trustee, if material. The Issuer shall, in atimely manner not in excess of ten (10) business days after its occurrence, notify the Disclosure Dissemination Agent in writing of the occurrence of a Notice Event. Such notice shall instruct the Disclosure Dissemination Agent to report the occurrence pursuant to subsection (c) and shall be accompanied by a Certification. Such notice or Certification shall identify the Notice Event that has occurred (which shall be any of the categories set forth in Section 2(e)(iv) of this Disclosure Agreement), include the text of the disclosure that the Issuer desires to make, contain the written authorization of the Issuer for the Disclosure Dissemination Agent to disseminate such information, and identify the date the Issuer desires for the Disclosure Dissemination Agent to disseminate the information (provided that such date is not later than the tenth (l0th) business day after the occurrence of the Notice Event). (b) The Disclosure Dissemination Agent is under no obligation to notify the Issuer or the Disclosure Representative of an event that may constitute a Notice Event. In the event the Disclosure Dissemination Agent so notifies the Disclosure Representative, the Disclosure Representative will within two business days of receipt of such notice (but in any event not later than the tenth (10th) business day after the occuffence of the Notice Event, if the Issuer determines that a Notice Event has occurred), instruct the Disclosure Dissemination Agent that (i) a Notice Event has not occurred and no filing is to be made or (ii) a Notice Event has occurred and the Disclosure Dissemination Agent is to report the occurrence pursuant to Section 4(c), together with a Certification. Such notice or Certification shall identify the Notice Event that has occurred (which shall be any of the categories set forth in Section 2(e)(iv) of this Disclosure Agreement), include the text of the disclosure that the Issuer desires to make, contain the written authorization of the Issuer for the Disclosure Dissemination Agent to disseminate such information, and identify the date the Issuer desires for the Disclosure Dissemination Agent to disseminate the information (provided that such date is not later than the tenth (10th) business day after the occurrence of the Notice Event). (c) If the Disclosure Dissemination Agent has been instructed by the Issuer as prescribed in subsection (a) or (bxii) of this Section 4 to report the occurrence of a Notice Event, the Disclosure Dissemination Agent shall promptly file a notice of such occurrence with the MSRB in accordance with Section 2(e)(iv) hereof. SECTION 5. CUSIP Numbers. Whenever providing information to the Disclosure Dissemination Agent, including but not limited to Annual Reports, documents incorporated by reference to the Annual Reports, Audited Financial Statements, notices of Notice Events, Failure to File Events and Voluntary Reporls filed pursuant to Section 7(a), the Issuer shall indicate the 7 003-4 430 -41 28 / 3 /AM ERtCAS 576 full name of the Bonds and the 9-digit CUSIP numbers for the Bonds as to which the provided information relates. SECTION 6. Additional Disclosure Obligations. The Issuer acknowledges and understands that other state and federal laws, including but not limited to the Securities Act of 1933 and Rule 10b-5 promulgated under the Securities Exchange Act of 1934, may apply to the Issuer, and that the failure of the Disclosure Dissemination Agent to so advise the Issuer shall not constitute a breach by the Disclosure Dissemination Agent of any of its duties and responsibilities under this Disclosure Agreement. The Issuer acknowledges and understands that the duties of the Disclosure Dissemination Agent relate exclusively to execution of the mechanical tasks of disseminating information as described in this Disclosure Agreement. SECTION 7. Voluntary Reports. (a) The Issuer may instruct the Disclosure Dissemination Agent to file information with the MSRB, from time to time pursuant to a Certification of the Disclosure Representative accompanying such information (a "Voluntary Report"). (b) Nothing in this Disclosure Agreement shall be deemed to prevent the Issuer from disseminating any other information through the Disclosure Dissemination Agent using the means of dissemination set forth in this Disclosure Agreement or including any other information in any Annual Report, Audited Financial Statements, Voluntary Report, Notice Event notice or Failure to File Event notice, in addition to that required by this Disclosure Agreement. If the Issuer chooses to include any information in any Annual Report, Audited Financial Statements, Voluntary Report, Notice Event notice, or Failure to File Event notice in addition to that which is specifically required by this Disclosure Agreement, the Issuer shall have no obligation under this Disclosure Agreement to update such information or include it in any future Annual Report, Audited Financial Statements, Voluntary Report, Notice Event notice or Failure to File Event notice. SECTION 8. Termination of Reporting Obligation. The obligations of the Issuer and the Disclosure Dissemination Agent under this Disclosure Agreement shall terminate with respect to the Bonds upon the legal defeasance, prior redemption or payment in full of all of the Bonds, when the Issuer is no longer an Obligated Person with respect to the Bonds, or upon delivery by the Disclosure Representative to the Disclosure Dissemination Agent of an opinion of nationally recognized bond counsel to the effect that continuing disclosure is no longer required. SECTION 9. Disclosure Dissemination Agent. The Issuer has appointed Digital Assurance Certification, L.L.C. as exclusive Disclosure Dissemination Agent under this Disclosure Agreement. The Issuer may, upon thirty days written notice to the Disclosure Dissemination Agent, replace or appoint a successor Disclosure Dissemination Agent. Upon termination of DAC's services as Disclosure Dissemination Agent, whether by notice of the Issuer or DAC, the Issuer agrees to appoint a successor Disclosure Dissemination Agent or, aiternately, agrees to assume all responsibilities of Disclosure Dissemination Agent under this Disclosure Agreement for the benefit of the Holders of the Bonds. Notwithstanding any 003-4430-4728/3/ AM ER r CAs 577 replacement or appointment of a successor, the Issuer shall remain liable until payment in fr-rll for any and all sums owed and payable to the Disclosure Dissemination Agent. The Disclosure Dissemination Agent may resign al any time by providing thirty days' prior written notice to the Issuer. SECTION 10. Remedies in Event of Default. In the event of a failure of the issuer or the Disclosure Dissemination Agent to comply with any provision of this Disclosure Agreement, the Holders'rights to enforce the provisions of this Disclosure Agreement shall be limited solely to a right, by action in mandamus or for specific performance, to compel performance of the parties' obligation under this Disclosure Agreement. Any failure by a party to perform in accordance with this Disclosure Agreement shall not constitute a default on the Bonds or under any other document relating to the Bonds, including the Bond Resolution, and all rights and remedies shall be limited to those expressly stated herein. SECTION 1 1. Duties. Immunities and Liabilities of Disclosure Dissemination Aeent. (a) The Disclosure Dissemination Agent shall have only such duties as are specifically set forth in this Disclosure Agreement. The Disclosure Dissemination Agent's obligation to deliver the information at the times and with the contents described herein shall be limited to the extent the Issuer has provided such information to the Disclosure Dissemination Agent as required by this Disclosure Agreement. The Disclosure Dissemination Agent shall have no duty with respect to the content of any disclosures or notice made pursuant to the terms hereof. The Disclosure Dissemination Agent shall have no duty or obligation to review or verify any information or any other information, disclosures or notices provided to it by the Issuer and shall not be deemed to be acting in any fiduciary capacity for the Issuer, the Holders of the Bonds or any other party. The Disclosure Dissemination Agent shall have no responsibility for the Issuer's failure to report to the Disclosure Dissemination Agent a Notice Event or a duty to determine the materiality thereof. The Disclosure Dissemination Agent shall have no duty to determine, or liability for failing to determine, whether the Issuer has complied with this Disclosure Agreement. The Disclosure Dissemination Agent may conclusively rely upon certifications of the Issuer at all times. The obligations of the Issuer under this Section shall survive resignation or removal of the Disclosure Dissemination Agent and defeasance, redemption or payment of the Bonds. (b) The Disclosure Dissemination Agent may, from time to time, consult with legal counsel (either in-house or extemal) of its own choosing in the event of any disagreement or controversy, or question or doubt as to the construction of any of the provisions hereof or its respective duties hereunder, and shall not incur any liability and shall be fully protected in acting in good faith upon the advice of such legal counsel. The reasonable fees and expenses of such counsel shall be payable by the Issuer. (c) All documents, reports, notices, statements, information and other materials provided to the MSRB under this Disclosure Agreement shall be provided in an electronic format and accompanied by identifying information as prescribed by the MSRB. 003-4430-47 28 / 3 /AMERt CAS 578 SECTION 12. Amendment: Waiver. Notwithstanding any other provision of this Disclosure Agreement, the Issuer and the Disclosure Dissemination Agent may amend this Disclosure Agreement and any provision of this Disclosure Agreement may be waived, if such amendment or waiver is supported by an opinion of counsel expert in federal securities laws acceptable to both the Issuer and the Disclosure Dissemination Agent to the effect that such amendment or waiver does not materially impair the interests of Holders of the Bonds and would not, in and of itself, cause the undertakings herein to violate the Rule if such amendment or waiver had been effective on the date hereof but taking into account any subsequent change in or official interpretation of the Rule; provided neither the Issuer or the Disclosure Dissemination Agent shall be obligated to agree to any amendment modifying their respective duties or obligations without their consent thereto. Notwithstanding the preceding paragraph, the Disclosure Dissemination Agent shall have the right to adopt amendments to this Disclosure Agreement necessary to comply with modifications to and interpretations of the provisions of the Rule as announced by the Securities and Exchange Commission from time to time by giving not less than 20 days written notice of the intent to do so together with a copy of the proposed amendment to the Issuer. No such amendment shall become effective if the Issuer shall, within l0 days following the giving of such notice, send a notice to the Disclosure Dissemination Agent in writing that it objects to such amendment. SECTION 13. Sources of Paymentsl No Personal Liability. Notwithstanding anything to the contrary contained in this Disclosure Agreement, the Issuer shall be required to use only Trust Fund Revenues to pay any costs and expenses to be incurred in the performance of this Disclosure Agreement by it, and the performance of its obligations hereunder shall be subject to the availability of Trust Fund Revenues for that purpose. This Disclosure Agreement does not and shall not constitute a general obligation of the Issuer. No covenant, stipulation, obligation or agreement of the Issuer contained in this Disciosure Agreement shall be deemed to be a covenant, stipulation, obiigation or agreement of any present or future officer, agent or employee of the Issuer in other than that person's offrcial capacity. SECTION 14. Beneficiaries. This Disclosure Agreement shall inure solely to the benefit of the Issuer, the Disclosure Dissemination Agent, the Underwriters, and the Holders from time to time of the Bonds, and shall create no rights in any other person or entity. SECTION 15. Governins Law. This Disclosure Agreement shall be governed by the laws of the State of Florida. SECTION 16. Counterparts. This Disclosure Agreement may be executed in several counterparts, each of which shall be an original and all of which shall constitute but one and the same instrument. 003-4430-4728/31 AM ER rCAS l0 579 The Disclosure Dissemination Agreement to be executed, on the date authorized. Agent and the Issuer have first written above, by their caused this Disclosure respective officers duly DIGITAL AS SURANCE CERTIFICATION, L.L.C., as Disclosure Dissemination Agent By: Name: Title: MIAMI BEACH as Issuer REDEVELOPMENT AGENCY, By: Jimmy L. Morales Executive Director APFROVED AS TG FORM & LANGUAGE & FOR EXECUTTON P , C"t- Redeveloprnent Aoencv--G";;I;i couni"i'-ff t1 oo3-A430-4728/3/ AM E R rCAs 580 EXHIBIT A NAME AND CUSIP NUMBERS OF BONDS Name of Issuer: Miami Beach Redevelopment Agency Obligated Person: Miami Beach Redevelopment Agency Name of Bond Issue: Date of Issuance: Date of Official Statement: ,2075 20t5 CUSIP Numbers: A-1 o03 - 4 410 -47 28 / 3 / AM E R rCAS 581 EXHIBIT B NOTICE TO MSRB OF FAILURE TO FILE ANNUAL REPORT Issuer:Miami Beach Redevelopment Agency Obligated Person: Miami Beach Redevelopment Agency Name of Bond Issue: Date of Issuance: ,2015 NOTICE IS HEREBY GIVEN that the Issuer has not provided an Annual Report with respect to the above-named Bonds as required by the Disclosure Dissemination Agent Agreement, dated as of _, 2015, between the Issuer and Digital Assurance Certification, L.L.C., ut pit.lorr.. Oi*ination Agent. The Issuer has notified the Disclosure Dissemination Agent that it anticipates that the Annual Report will be hled by Dated: Digital Assurance Certification, L.L,C., as Disclosure Dissemination Agent, on behalf of the Issuer cc: Miami Beach Redevelopment Agency B-1 003-4430-4728/3/AM ER r CAS 582 MIAMI BEACH REDEVELOPMENT AGENCY and U.S. BANK NATIONAL ASSOCIATION, as Escrow Agent ESCROW DEPOSIT AGREEMENT Relating to TAX INCREMENT REVENUE BONDS, TAXABLE SERIES 19984 (CITY CENTER/HISTORIC CONVENTION VILLAGE) and TAX INCREMENT REVENUE REFLINDING BONDS, TAXABLE SERIES 2OO5A (CITY CENTEzuHISTORIC CONVENTION VILLAGE) DATED AS OF ,2015 003-4430-47 42 I 4 IAM ER rCAS 583 ESCROW DEPOSIT AGREEMENT ESCRow DEPoslr AGREEMENT (he "Agreement") made and entered into as , 2015, by and between the MIAMI BEACH REDEVELOPMENT AGENCY (the "Agency") and U.S. BANK NATIONAL ASSOCIATION, as Escrow Agent (the "Escrow Agent"). WITNESSETH: WHEREAS, the Agency has heretofore issued its (i) $29,105,000 aggregate principal amount of Miami Beach Redevelopment Agency Tax Increment Revenue Bonds, Taxabie Series 19984 (City Center/Historic Convention Village), dated as of July 29, 1998, presently outstanding in the principal amount of $10,000,000 (the "Outstanding Series 1998A Bonds"), and (ii) $51,440,000 aggregate principal amount of Miami Beach Redevelopment Agency Tax Increment Revenue Refunding Bonds, Taxable Series 20054 (City Center/Historic Convention Village), dated as of September 22, 2005, presently outstanding in the principal amount of $27,815,000 (the "Outstanding Series 20054 Bonds"), all pursuant to the provisions of Resolution No. 150-94 adopted by the Board of Commissioners of the Agency (the "Commission") on January 5,1994, as supplemented (collectively, the "Prior Bond Resolution"); and WHEREAS, the Agency desires to refund and defease (i) all of the Outstanding Series 19984 Bonds (the "Refunded Series 19984 Bonds"), and (ii) all of the Outstanding Series 2005A Bonds (the "Refunded Series 20054 Bonds," and together with the Refunded Series 1998,4 Bonds, the "Refunded Bonds"), ut more particularly described in Schedule A attached hereto and made apart hereof; and WHEREAS, the Agency has issued its $aggregate principal amount of Miami Beach Redevelopment Agency Tax Increment Revenue [and] Refunding Bonds, Series 2015- (City Center/Historic Convention Village) (the "Bonds"), pursuant to the provisions of Resoiution No. _-2015 adopted by the Commission on _,2075 (the "Bond Resolution"), a portion of the proceeds of which Bonds is to be deposited with the Escrow Agent to provide, with investment earnings thereon and certain other available moneys, for the refunding and defeasance of the Refunded Bonds; and WHEREAS, a portion of the proceeds derived from the sale of the Bonds, together with the other available moneys, will be applied to the purchase of Government Obligations (as such term is hereinafter defined), which will mature and produce investment income and eamings at such time and in such amount as will be sufficient, together with certain moneys remaining uninvested, to pay when due or upon the redemption thereof, the principal of and interest on the Refunded Bonds as more specifically set forth herein; and WHEREAS, in order to provide for the proper and timely application of the moneys deposited hereunder, the maturing principal amount of the Government Obligations purchased therewith, and investment income and earnings derived therefrom to the payment of the THIS of 003-4430-4742/4 lAM ER rCAS 584 Refunded Bonds, it is necessary for the Agency to enter into this Agreement with the Escrow Agent; NOW, THEREFORE, the Agency and the Escrow Agent, in consideration of the foregoing and the mutual covenants herein set forth and in order to secure the payment of the principal of and interest on all of the Refunded Bonds according to their tenor and effect, do hereby agree as follows: ARTICLE I CREATION AND CONVEYANCE OF TRUST ESTATE Section 1.01. Creation and Conveyance of Trust Estate. The Agency hereby grants, waffants, remises, releases, conveys, assigns, transfers, aliens, pledges, sets over and confirms unto the Escrow Agent and to its successors in the trust hereby created, and to it and its assigns forever, all and singular the property hereinafter described, to wit: DIViSION I Allright,titleandinterestinandto(i)$-inmoneysdepositeddirect1ywith the Escrow Agent and derived from the proceeds of the Bonds upon issuance and delivery of the Bonds and execution of and delivery of this Agreement, and (ii) $in moneys derived from the $ Account and allocable to the Refunded Series 19984 Bonds. and in moneys derived from the Account and allocable to the Refunded Series 20054 Bonds, each such account in the Sinking Fund created under the Prior Bond Resolution (such moneys described in (ii), the "Other Moneys"). DIVISION II All right, title and interest in and to the Government Obligations described in Schedule B attached hereto and made a part hereof, together with the income and earnings thereon. DIVISION III Any and all other property of every kind and nature from time to time hereafter, by delivery or by writing of any kind, conveyed, pledged, assigned or transferred as and for additional security hereunder by the Agency, or by anyone on behalf of the Agency to the Escrow Agent for the benefit of the Refunded Bonds. 003 -4 410 - 47 42 / 4 I AM ERTCAS 585 DIVISION IV All property which is by the express provisions of this Agreement required to be subject to the pledge hereof and any additional property that may, from time to time hereafter, by deiivery or by writing of any kind, by the Agency, or by anyone in its behalf, be subject to the pledge hereof. TO HAVE AND TO HOLD, all and singular, the Trust Estate (as such term is hereinafter defined), including all additional property which by the terms hereof has or may become subject to the encumbrances of this Agreement, unto the Escrow Agent, and its successors and assigns, forever in trust, however, for the sole benefit and security of the holders from time to time of the Refunded Bonds, but if the principal of and interest on all of the Refunded Bonds shall be fully and promptly paid when due, upon the maturity or redemption thereof, in accordance with the terms thereof, then this Agreement shall be and become void and of no further force and effect except as otherwise provided herein; otherwise the same shall remain in full force and effect, and upon the trusts and subject to the covenants and conditions hereinafter set forth. ARTICLE II DEFINITIONS Section2.01. Definitions. In addition to words and terms elsewhere defined in this Agreement, the following words and terms as used in this Agreement shall have the following meanings, unless some other meaning is plainly intended. Capitalized terms not otherwise defined in this Agreement shall have the meanings given to such terms in the Prior Bond Resolution. "Government Obligations" shall mean Defeasance Obligations (as defined in the Prior Bond Resolution with respect to the applicable Refunded Bonds) which are not subject to redemption prior to maturity. "Trust Estate," "trust estate" or "pledged properly" shall mean the property, rights and interests described or referred to under Divisions I, II, III and IV in Article I above. Words of the masculine gender shall be deemed and construed to include correlative words of the feminine and neuter genders. Words importing the singular number shall include the plural number and vice versa unless the context shall otherwise indicate. The word "person" shall include corporations, associations, natural persons and public bodies unless the context shall otherwise indicate. Reference to a person other than a natural person shall include its successors. ARTICLE III ESTABLISHMENT OF ESCROW DEPOSIT TRUST FUND; FLOW OF FLINDS Section 3.01. Creation of Escrow Deposit Trust Fund and Deposit of Moneys. There is hereby created and established with the Escrow Agent a special and irrevocable trust fund 003-4430-47 42 / 4 /AM ERTCAS 586 designated "Miami Beach Redevelopment Agency Tax Increment Revenue and Refunding Bonds, Series 19984 and Series 20054 (City Center/Historic Convention Village) Escrow Deposit Trust Fund" (the "Escrow Deposit Trust Fund"), to be held by the Escrow Agent for the sole benefit of the holders of the Refunded Bonds and accounted for separate and apart from the other funds of the Agency and, to the extent required by law, of the Escrow Agent. Concurrently with the delivery of this Agreement, the Agency herewith causes to be deposited with the Escrow Agent and the Escrow Agent acknowledges receipt of immediately availablemoneySfordepositintheEscrowDepositTrustFundintheamountof$-, consisting of $from the proceeds of the Bonds and $in Other Moneys, from the Otherall of which, when invested in Government Obligations (other than $ Moneys to be held uninvested), will provide moneys sufficient to pay the principal of and interest on the Refunded Bonds, upon the payment when due or upon redemption thereof, as more particularly described in Schedule C attached hereto and made a part hereof. Section 3.02. Payment of Refunded Bonds. The Bond proceeds and Other MoneysreceivedbytheEscrowAgentwillbesufficienttopurchase$-paramountof Government Obligations, all as listed in Schedule B attached hereto and made apart hereof, which will mature in principal amounts and earn income at such times so that sufficient moneys will be available to pay as the same are paid when due or redeemed all principal of and interest on the Refunded Bonds. Notwithstanding the foregoing, if the amounts deposited in the Escrow Deposit Trust Fund are insufficient to make said payments of principal and interest, the Agency shall cause to be deposited into the Escrow Deposit Trust Fund the amount of any deficiency immediately upon notice from the Escrow Agent. Section 3.03. Irrevocable Trust Created. The deposit of moneys and Government Obligations or other property hereunder in the Escrow Deposit Trust Fund shall constitute an irrevocable deposit of said moneys and Government Obligations and other property hereunder for the sole benefit of the holders of the Refunded Bonds, subject to the provisions of this Agreement. The holders of the Refunded Bonds, subject to the provisions of this Agreement, shall have an express lien on all moneys and principal of and earnings on the Government Obligations and other property in the Escrow Deposit Trust Fund. The moneys deposited in the Escrow Deposit Trust Fund and the matured principal of the Government Obligations and other properly hereunder and the interest thereon shall be held in trust by the Escrow Agent, and shall be applied for the payment of Refunded Bonds, as more specifically set forth in Schedule C hereto. Section 3.04. Purchase of Govemment Obliqations. The Escrow Agent is hereby directed immediately to purchase the Government Obligations listed in Schedule B from the proceeds of the Bonds and the Other Moneys described in Sections 3,01 and 3.02 hereof. The Escrow Agent shall purchase the Government Obligations solely from the moneys deposited in the Escrow Deposit Trust Fund as provided in this Agreement. The Escrow Agent shall apply the moneys deposited in the Escrow Deposit Trust Fund and the Government Obligations purchased therewith, together with all income or earnings thereon, in accordance with the provisions hereof. The Escrow Agent shall have no power or duty to invest any moneys held hereunder or to make substitutions of the Government 003 -4 430 -47 4 2 / 4 / AMERTC AS 587 Obligations held hereunder or to sell, transfer or otherwise dispose of the Govemment Obligations heid hereunder except as provided in this Agreement. The Escrow Agent is hereby directed not to invest $from the Other Moneys deposited in the Escrow Deposit Trust Fund simultaneously with the delivery of this Agreement. Section 3.05. Substitution of Certain Government Obligations. (a) If so directed in writing by the Agency on the date of delivery of this Agreement, the Escrow Agent shall accept in substitution for all or a portion of the Government Obligations listed in Schedule B, Government Obligations (the "substituted Securities"), the principal of and interest on which, together with any Govemment Obligations listed in Schedule B for which no substitution is made and moneys held uninvested by the Escrow Agent, will be sufficient to pay all principal of and interest of the Refunded Bonds as set forth in Schedule C hereof. The foregoing notwithstanding, the substitution of Substituted Securities for any of the Government Obligations listed in Schedule B may be effected only upon compliance with Section 3.05(bX1) and (2) below. (b) If so directed in writing by the Agency at any time during the term of this Agreement, the Escrow Agent shall sell, transfer, exchange or otherwise dispose of or request the redemption of, all or a portion of the Government Obligations then held in the Escrow Deposit Trust Fund and shall substitute for such Government Obligations other Government Obligations, designated by the Agency, and acquired by the Escrow Agent with the proceeds derived from the sale, transfer, disposition or redemption of or by the exchange of such Government Obligations held in the Escrow Deposit Trust Fund, but only upon the receipt by the Escrow Agent of: (1) an opinion of nationally recognized counsel in the field of law relating to municipal bonds stating that such substitution is not inconsistent with the statutes and regulations applicable to the Refunded Bonds and the Bonds; and (2) verification by a firm of independent certified public accountants stating that the principal of and interest on the substituted Govemment Obligations, together with any Government Obligations and any uninvested moneys remaining in the Escrow Deposit Trust Fund will be sufficient, without reinvestment, to pay the remaining principal of and interest on the Refunded Bonds as set forth in Schedule C hereof. Any moneys resulting from the sale, transfer, disposition or redemption of the Government Obligations held hereunder and the substitution therefor of other Government Obligations not required to be applied for the payment of such principal of and interest on the Refunded Bonds (as shown in the verification report described in Section 3.05(bX2) hereof delivered in connection with such substitution), shall be deposited in the Interest Account within the Sinking Fund established under the Bond Resolution. Upon any such substitution of Government Obligations pursuant to Section 3.05, Schedule B hereto shall be appropriately amended to refl ect such substitution. The Escrow Agent may rely on all specific directions in this Agreement providing for the investment or reinvestment of the Escrow Deposit Trust Fund. 003-443A-47421 4 IAM ERTCAS 588 Section 3.06. Transfers from Escrow Deposit Trust Fund. As the principal of the Government Obligations set forth in Schedule B shall mature and be paid, and the investment income and earnings thereon are paid, the Escrow Agent shall pay from such moneys to U.S. Bank National Association, in its capacity of Paying Agent with respect to the Refunded Bonds (as Trustee, Paying Agent and Registrar with respect to the Refunded Bonds, the "Refunded Bonds Trustee"), no later than the payment dates for the Refunded Bonds, as specified in Schedule C hereof, the amounts necessary to pay the principal of and interest on the Refunded Bonds, as specified in Schedule C hereof. The Agency hereby irrevocably determines, and instructs the Refunded Bonds Trustee and the Escrow Agent, to call for redemption prior to maturity, pursuant to their optional redemption provisions, the Refunded Series 2005A Bonds maturing December l, 2016 through and including Decemb er 1,2020 and December 1, 2022 on January _, 2076 at a redemption price of 100% of the principal amount thereof, in accordance with the Prior Bond Resolution. The Agency, the Refunded Bonds Trustee and the Escrow Agent shall perform the responsibilities, described in the Prior Bond Resolution, in connection with the redemption of such Refunded Bonds, including the giving of notice of redemption as required therein. The Agency shall mail, or cause to be mailed, a copy of such notice of redemption to National Public Finance Guarantee Corporation, as successor to MBIA Insurance Corporation ("NPFGC"). The Agency shall also file, or cause to be filed, a copy of such notice of redemption with the Municipal Securities Rulemaking Board (the "MSRB"). In addition, the Refunded Bonds Trustee shall publish such notice of redemption one time in The Bond Buyer, New York, New York, at least 30 days prior to January _,2076. Section 3.07. Investment of Certain Moneys Remaining in Escrow Deposit Trust Fund. Subject to the provisions of Section 3.04 of this Agreement, the Escrow Agent shall invest and reinvest, at the written direction of the Agency, in Government Obligations any moneys remaining from time to time in the Escrow Deposit Trust Fund until such time as they are needed. Such moneys shall be reinvested in such Government Obligations for such periods and at such interest rates, as the Escrow Agent shall be directed to invest by the Agency, which periods and interest rates shall be set forth in an opinion from nationally recognized counsel in the field of law relating to municipal bonds to the Agency and to the Escrow Agent, which opinion shall also be to the effect that such reinvestment of such moneys in such Government Obligations is not inconsistent with the statutes and regulations applicable to the Refunded Bonds and the Bonds. Any interest income resulting from reinvestment of moneys pursuant to this Section 3.07 not required to be applied for the payment of the principal of and interest on the Refunded Bonds shall be deposited in the Interest Account within the Sinking Fund established under the Bond Resolution. Section 3.08. Escrow Deposit Trust Fund Constitutes Trust Fund. The Escrow Deposit Trust Fund created and established pursuant to this Agreement shall be and constitute a trust fund for the purposes provided in this Agreement and shall be kept separate and distinct from all other funds of the Agency and, to the extent required by law, of the Escrow Agent and used only for the purposes and in the manner provided in this Agreement. Section 3.09. Transfer of Funds After All Pavments Required b), this Agreement are Made. After all of the transfers by the Escrow Agent to the payment of the principal of and interest on the Refunded Bonds provided in Schedule C have been made, all remaining moneys and securities, together with any income and interest thereon, in the Escrow Deposit Trust Fund 003-4430-4742/ 4 / AM ER rCAS 589 shall be deposited in the Interest Account within the Sinking Fund established under the Bond Resoiution; provided, however, that no such transfers (except transfers made in accordance with Sections 3.05 and 3.07 hereof) shall be made until all of the principal of, premium and interest on the Refunded Bonds have been paid. ARTICLE IV CONCERNING THE ESCROW AGENT Section4.01. Liability of Escrow Agent. The Escrow Agent shall not be liable in connection with the performance of its duties hereunder except for its own negligence, misconduct or default. The Escrow Agent shall not be liable for any loss resulting from any investments made pursuant to the terms of this Agreement. The Escrow Agent shall not be liable for the accuracy of the calculations as to the sufficiency of moneys and of the principal amount of the Govemment Obligations and the earnings thereon to pay the Refunded Bonds. So long as the Escrow Agent applies any moneys, Government Obligations and interest earnings therefrom to pay the Refunded Bonds as provided herein, and complies fully with the terms of this Agreement, the Escrow Agent shall not be liable for any deficiencies in the amounts necessary to pay the Refunded Bonds caused by such caiculations. The duties and obligations of the Escrow Agent shall be determined by the express provisions of this Agreement. The Escrow Agent may consult with counsel with respect to any matter reievant to this Agreement, who may or may not be counsel to the Agency, and be entitled to receive from the Agency reimbursement of the reasonable fees and expenses of such counsel, and in reliance upon the opinion of such counsel have full and complete authorization and protection in respect of any action taken, suffered or omitted by it in good faith in accordance therewith. Whenever the Escrow Agent shall deem it necessary or desirable that a matter be proved or established prior to taking, suffering or omitting any action under this Agreement, such matter may be deemed to be conclusively estabiished by a certificate signed by an authorized officer of the Agency and the Escrow Agent may in good faith conclusively rely upon such certificate. The Escrow Agent shall have no lien, security interest or right of set-off whatsoever upon any of the moneys or investments in the Escrow Deposit Trust Fund for the payment of fees or expenses for the services rendered by the Escrow Agent under this Agreement. Section 4.02. Permitted Acts. The Escrow Agent and its affiliates may become the owner of all or may deal in the Refunded Bonds as fully and with the same rights as if it were not the Escrow Agent. Section 4.03. Palzment to Escrow Aqent. The Agency shall pay to the Escrow Agent reasonable compensation for all services rendered by it hereunder and also its reasonable expenses incurred in and about the administration and execution of the trusts hereby created and the performance of its powers and duties hereunder, all as provided in Schedule D hereto. 003-4430-4742/4/AM ERTCAS 590 ARTICLE V MISCELLANEOUS Section 5.01. Amendments to this Agreement. This Agreement is made for the benefit of the holders from time to time of the Refunded Bonds and shall not be repealed, revoked, altered or amended without the written consent of all such holders of the Refunded Bonds, the Escrow Agent and the Agency; provided, however, that the Agency and the Escrow Agent may, without the consent of, or notice to, such holders enter into such agreements supplemental to this Agreement which shall not adversely affect the rights of such holders and shall not be inconsistent with the terms and provisions of this Agreement for any one or more of the following purposes: (a) to cure any ambiguity or formal defect or omission in this Agreement; or (b) to grant to or confer upon the Escrow Agent for the benefit of the holders of the Refunded Bonds any additional rights, remedies, powers or authority that may lawfully be granted to or conferred upon the Escrow Agent. The Escrow Agent shall be entitled to rely upon an unqualified opinion of a nationally recognized counsel in the field of law relating to municipal bonds with respect to compliance with this Section. Prior to any repeal, revocation, alteration or amendment of this Agreement, the Agency shall provide written notice of such proposed repeal, revocation, alteration or amendment to Standard & Poor's Ratings Services and Moody's Investors Service, Inc. at their addresses set forth below: Standard & Poor's Ratings Services 55 Water Street New York, New York 10041 Attn: Municipal Ratings Desk/Refunded Bonds Moody's Investors Service, Inc. 99 Church Street New York, New York 10007 Section 5.02. Severability. If any one or more of the covenants or agreements provided in this Agreement on the part of the Agency or the Escrow Agent to be performed should be determined by a court of competent jurisdiction to be contrary to law, such covenant or agreement shall be deemed and construed to be severable from the remaining covenants and agreements herein contained and shall in no way affect the validity of the remaining provisions of this Agreement. Section 5.03. Agreement Binding. All the covenants, proposals and agreements in this Agreement contained by or on behalf of the Agency or by or on behalf of the Escrow Agent shall bind and inure to the benefit of their respective successors and assigns, whether so expressed or not. 003-4430-47 42/ 4 IAMERTCAS 591 Section 5.04. Notices to Escrow Aeent and Aeency. Any notice, demand, direction, request or other instrument authorized or required by this Agreement to be given to or filed with the Escrow Agent or the Agency, shall be deemed to have been sufficiently given or filed for all purposes of this Agreement if personally deiivered and receipted for, or if sent by registered or certified United States mail, return receipt requested, addressed as follows: (a) As to the Agency - Miami Beach Redevelopment Agency 1700 Convention Center Drive Miami Beach, Florida 33 139 Attention: Executive Director (b) As to the Escrow Agent - U.S. Bank National Association 225 Water Street Suite 700 Jacksonville, Florida 32202 Attention: Corporate Trust Services Any party hereto may, by notice sent to the other parties hereto, designate a different or additional address to which notices under this Agreement are to be sent. Section 5.05. Termination. This Agreement shall terminate when all transfers and payments required to be made by the Escrow Agent under the provisions hereof shall have been made, Section 5.06. Execution by Countemarts. This Agreement may be executed in several counterparts, all or any of which shall be regarded for all purposes as one original and shall constitute and be but one and the same instrument. Section 5.07. Notice of Defeasance. The Agency hereby irrevocably instructs U.S. Bank National Association, in its capacity of Registrar with respect to the Refunded Bonds, to give to the Holders of the Refunded Bonds and NPFGC, by first class mail, postage prepaid, as soon as practicable, and to file with the MSRB, as soon as practicable, notice of the defeasance of the Refunded Bonds, substantially in the form attached hereto as Schedule E. Section 5.08. Governing Law. This Agreement shall be governed by the laws of the State of Florida. 003-4430-4742/4 /AM E RTCAS 592 IN WITNESS WHEREOF, each of the parties hereto has caused this Agreement to be executed by its duly authorized officers. MIAMI BEACH REDEVELOPMENT AGENCY By: Chairperson U.S. BANK NATIONAL ASSOCIATION, as Escrow Agent Assistant Vice President APPROVED AS TO FORM & LANGUAGE & FOR EXECUTION By: 3,"q-0r,F qlt 15 ReCe,.,'elonr^nent Actency Date r- ^- -.^ r a'^,.-.- ^l'-:- -_) .it irijLi j :: Et 003-4430-4742/4/AMER rCAS 10 593 Maturitlu Date 12101t2020 Maturi{z Date 12101t2016 12t0U20t7 12101120t8 1210112019 1210U2020 1210112022 SCHEDULE A REFLNDED SERIES 19984. BONDS Principal Amount $ 10,000,000 REFLINDED SERIES 2OO5A BONDS Principal Amount $ 2,465,000 2,595,000 2,730,000 2,990,000 3,645,000 11,155,000 Interest Rate 6.680% Interest Rate 4.930% 5.010 5.110 5.170 5.200 5.220 A-1 003-4410-47 42/ 4 /AMERTCAS 594 SCHEDULE B INVESTMENT OF BOND PROCEEDS AND OTHER MONEYS Type of Securit), Maturitlz Date Principal Amount Interest Rate $% B-1 003-4430-4742/4/ AM ER tCAS 595 SCHEDULE C SCHEDULE OF PAYMENTS ON REFTINDED BONDS PrincipalDate Principal Redeemed Interest Total c-1 003 -4 430-47 42 / 4 /AMERtCAS 596 (i) (ii) SCHEDULE D ESCROW AGENT FEES AND EXPENSES In consideration of the services to be rendered by the Escrow Agent under the Agreement, the Agency agrees to pay the Escrow Agent an annual fee of $_ payable on September 1 of each year until the Agreement has been terminated for all services to be incurred as Escrow Agent in connection with such services, and agrees to reimburse at cost all ordinary out-of-pocket expenses incurred by the Escrow Agent. The term "ordinary out-of-pocket expenses" means expenses of holding, investing and disbursing the Escrow Deposit Trust Fund as provided herein and includes, but is not lirnited to publication costs, postage and legal fees as incurred. The Agency also agrees to reimburse the Escrow Agent for any extraordinary expenses incurred by it in connection with the Agreement. The term "extraordinary expenses" includes (a) expenses arising out of the assertion of any third party to any interest in the Escrow Deposit Trust Fund or any challenge to the validity hereof, including reasonable attorneys' fees, (b) expenses relating to any substitution under Section 3.05 or reinvestment under Section 3.0J, and (c) expenses (other than ordinary expenses) not occasioned by the Escrow Agent's misconduct or negligence. The fees and expenses payable by the Agency under clause (i) or (ii) above shall not be paid from the Escrow Deposit Trust Fund, but shall be paid by the Agency from legally available funds of the Agency. (iii) 003-4430-474214 lAME Rr CA5 D-1 597 SCHEDULE E NOTICE OF DEFEASANCE Miami Beach Redevelopment Agency Tax Increment Revenue Bonds, Taxable Series 19984, (City Center/Flistoric Convention Village) Dated: July 29,1998 (the "Series 19984. Bonds") Maturity Date 12101/2020 Maturitv Date t2/01/2016 12/0112017 12/0112018 1210y2019 t2/0112020 t210112022 Principal Amount $ 10,000,000 Principal Amount $ 2,465,000 2,595,000 2,730,000 2,880,000 3,645,000 1 1,155,000 Interest Rate 6.680% Interest Rate 4.930%. 5.010 5.1t0 5.170 s.200 5.220 CUSIP Numbers. 593237CA6 CUSIP Numbers- s93237DM9 593237DN7 593237DPz s93237DQ0 593237DR8 593237D56 Miami Beach Redevelopment Agency Tax Increment Revenue Refunding Bonds, Taxable Series 20054 (City Center/Flistoric Convention Village) Dated: September 22, 2005 (the "Series 20054 Bonds") NOTICE IS HEREBY GIVEN that monies have been deposited with U.S. Bank National Association, as Escrow Agent, for the payment of the principal of and interest on the outstanding bonds identified above (collectively, the "Bonds"), and such monies, except to the extent maintained in cash, have been invested in direct obligations of the United States of America. U.S. Bank National Association, as Trustee, Paying Agent and Registrar for the Bonds, and the Escrow Agent have been irrevocably instructed to call for redemption prior to maturity, pursuant to their optional redemption provisions, the Series 2005A Bonds maturing December 1,2016 through and including December 1, 2020 and December l, 2022 on January _, 2016 at a redemption price of 100% of the principal amount thereof. The Series 19984, Bonds shall be paid on their maturity date. No representation is made as to the correctness of these CUSIP numbers either as printed on the Bonds or contained in this Notice. E-1 003-4430.47421 4 / AMERTCAS 598 The amount so deposited as aforesaid has been calculated to be adequate to pay, when due, the principal of and interest on the Bonds to and including their maturity or redemption date described above. The Bonds are therefore deemed to have been paid in accordance with Section 304(M) of Resolution No. 150-94 adopted by the Miami Beach Redevelopment Agency on January 5,1994. U.S. BANK NATIONAL ASSOCIATION, as Registrar Dated: _,2015 003-4430-4742/4/ AM ER tCAS E-2 599 MIAMI BEACH REDEVELOPMENT AGENCY and U.S. BANK NATIONAL ASSOCIATION, as Escrow Agent ESCROW DEPOSIT AGREEMENT Relating to TAX INCREMENT REVENUE REFLTNDING BONDS, SERIES 2OO5B (CITY CENTER/HISTORIC CONVENTION VILLAGE) DATED AS OF ,2015 003-4430-47 38 / 3 /AM ERTCAS 600 ESCROW DEPOSIT AGREEMENT THIS ESCROW DEPOSIT AGREEMENT (the "Agreement") made and entered into as of , 2015, by and between the MIAMI BEACH REDEVELOPMENT AGENCY (the "Agency") and U,S. BANK NATIONAL ASSOCIATION, as Escrow Agent (the "Escrow Agent"). WITNES$ETH: WHEREAS, the Agency has heretofore issued its $29,330,000 aggregate principal amount of Miami Beach Redevelopment Agency Tax Increment Revenue Refunding Bonds, Series 20058 (City Center/Historic Convention Village), dated as of September 22, 20A5, presently outstanding in the principal amount of $17,175,000 (the "Outstanding Series 20058 Bonds"), pLlrsuant to the provisions of Resolution No. 150-94 adopted by the Board of Commissioners of the Agency (collectively, the "Commission") on January 5, 1994, as supplemented (the "Prior Bond Resolution"); and WHEREAS, the Agency desires to refund and defease all of the Outstanding Series 20058 Bonds, as more particularly described in Schedule A attached hereto and made a part hereof (the "Refunded Bonds"); and WHEREAS, the Agency has issued its $aggregate principal amount of Miami Beach Redevelopment Agency Tax Increment Revenue [and] Refunding Bonds, Series 2015- (City Center/Historic Convention Viilage) (the "Bonds"), pursuant to the provisions of Resolution No. _-2015 adopted by the Commission on _,2015 (the "Bond Resolution"), a portion of the proceeds of which Bonds is to be deposited with the Escrow Agent to provide, with investment eamings thereon and certain other available moneys, for the refunding and defeasance of the Refunded Bonds; and WHEREAS, a portion of the proceeds derived from the sale of the Bonds, together with the other available moneys, will be applied to the purchase of Government Obligations (as such term is hereinafter defined), which will mature and produce investment income and eamings at such time and in such amount as will be sufficient, together with certain moneys remaining uninvested, to pay upon the redemption thereof, the principal of and interest on the Refunded Bonds as more specifically set forth herein; and WHEREAS, in order to provide for the proper and timely application of the moneys deposited hereunder, the maturing principal amount of the Government Obligations purchased therewith, and investment income and earnings derived therefrom to the payment of the Refunded Bonds, it is necessary for the Agency to enter into this Agreement with the Escrow Agent; NOW, THEREFORE, the Agency and the Escrow Agent, in consideration of the foregoing and the mutual covenants herein set forth and in order to secure the palrnent of the principal of and interest on all of the Refunded Bonds according to their tenor and effect, do hereby agree as follows: 003-4430-4738/3/AMERTCAS 601 ARTICLE I CREATION AND CONVEYANCE OF TRUST ESTATE Section i.0i. Creation and Conveyance of Trust Estate. The Agency hereby grants, warrants, remises, releases, conveys, assigns, transfers, aliens, pledges, sets over and confirms unto the Escrow Agent and to its successors in the trust hereby created, and to it and its assigns forever, all and singular the property hereinafter described, to wit: DIVISION I All right, title and interest in and to (i) S_ in moneys deposited directly with the Escrow Agent and derived from the proceeds of the Bonds upon issuance and delivery of the Bonds and execution of and delivery of this Agreement, and (ii) $in moneys derived from the Account in the Sinking Fund created under the Prior Bond Resolution and allocable to the Refunded Bonds (such moneys described in (ii), the "Other Moneys"). DIVISION II All right, title and interest in and to the Government Obligations described in Schedule B attached hereto and made apart hereof, together with the income and earnings thereon. DIVISION III Any and all other property of every kind and nature from time to time hereafter, by delivery or by writing of any kind, conveyed, pledged, assigned or transferred as and for additional security hereunder by the Agency, or by anyone on behalf of the Agency to the Escrow Agent for the benefit of the Refunded Bonds. DIVISiON IV All property which is by the express provisions of this Agreement required to be subject to the pledge hereof and any additional property that may, from time to time hereafter, by delivery or by writing of any kind, by the Agency, or by anyone in its behalf, be subject to the pledge hereof. TO HAVE AND TO HOLD, all and singular, the Trust Estate (as such term is hereinafter defined), including all additional property which by the terms hereof has or may become subject to the encumbrances of this Agreement, unto the Escrow Agent, and its successors and assigns, forever in trust, however, for the sole benefit and security of the holders from time to time of the Refunded Bonds, but if the principal of and interest on all of the Refunded Bonds shall be fully and promptly paid upon the redemption thereof in accordance with the terms thereof then this Agreement shall be and become void and of no further force and effect except as otherwise provided herein; otherwise the same shall remain in full force and effect, and upon the trusts and subject to the covenants and conditions hereinafter set forth. 003-4430-41 38 / 3 /AMERTCAS 602 ARTICLE II DEFINITIONS Section2.01. Definitions. In addition to words and terms elsewhere defined in this Agreement, the following words and terms as used in this Agreement shall have the following meanings, unless some other meaning is plainly intended. Capitalized terms not otherwise defined in this Agreement shall have the meanings given to such terms in the Prior Bond Resolution. "Government Obligations" shall mean Defeasance Obligations which are not subject to redemption prior to maturity. "Trust Estate," "trust estate" or "piedged property" shall mean the property, rights and interests described or referred to under Divisions I, II, III and IV in Article I above. Words of the masculine gender shall be deemed and construed to include correlative words of the feminine and neuter genders. Words importing the singular number shall include the plural number and vice versa unless the context shall otherwise indicate. The word "person" shall include corporations, associations, natural persons and public bodies unless the context shall otherwise indicate. Reference to a person other than a natural person shall include its successors. ARTICLE III ESTABLISHMENT OF ESCROW DEPOSIT TRUST FUND: FLOW OF FTINDS Section 3.01. Creation of Escrow Deposit Trust Fund and Deposit of Monevs. There is hereby created and established with the Escrow Agent a special and irrevocable trust fund designated "Miami Beach Redeveiopment Agency Tax Increment Revenue Refunding Bonds, Series 20058 (City Center/Historic Convention Village) Escrow Deposit Trust Fund" (the "Escrow Deposit Trust Fund"), to be held by the Escrow Agent for the sole benefit of the holders of the Refunded Bonds and accounted for separate and apart from the other funds of the Agency and, to the extent required by law, of the Escrow Agent. Concurrently with the delivery of this Agreement, the Agency herewith causes to be deposited with the Escrow Agent and the Escrow Agent acknowledges receipt of immediately available moneys for deposit in the Escrow Deposit Trust Fund in the amount of $_, consisting of $from the proceeds of the Bonds and $in Other Moneys, from the Otherall of which, when invested in Government Obligations (other than $ Moneys to be held uninvested), will provide moneys sufficient to pay the principal of and interest on the Refunded Bonds, upon the payment upon redemption thereof as more particularly described in Schedule C attached hereto and made aparthereof. Section 3.02. Payment of Refunded Bonds. received by the Escrow Agent will be sufficient to Government Obligations, all as listed in Schedule B The Bond proceeds and purchase $ Other Moneys par amount of 003-4 430-4738 / 3 lAMERTCAS attached hereto and made a part hereof, 603 which will mature in principal amounts and earn income at such times so that sufficient moneys will be available to pay as the same are paid when redeemed ali principal of and interest on the Refunded Bonds as set forth in Schedule C hereof. Notwithstanding the foregoing, if the amounts deposited in the Escrow Deposit Trust Fund are insufficient to make said payments of principal and interest, the Agency shall cause to be deposited into the Escrow Deposit Trust Fund the amount of any deficiency immediately upon notice from the Escrow Agent. Section3.O3. Irrevocable Trust Created. The deposit of moneys and Government Obligations or other property hereunder in the Escrow Deposit Trust Fund shall constitute an irrevocable deposit of said moneys and Government Obligations and other property hereunder for the sole benefit of the holders of the Refunded Bonds, subject to the provisions of this Agreement. The holders of the Refunded Bonds, subject to the provisions of this Agreement, shall have an express lien on all moneys and principal of and earnings on the Government Obligations and other property in the Escrow Deposit Trust Fund. The moneys deposited in the Escrow Deposit Trust Fund and the matured principal of the Govemment Obligations and other property hereunder and the interest thereon shall be held in trust by the Escrow Agent, and shall be applied for the payment of Refunded Bonds, as more specifically set forth in Schedule C hereto. Section 3.04. Purchase of Government Obligations. The Escrow Agent is hereby directed immediately to purchase the Government Obligations listed in Schedule B from the proceeds of the Bonds and the Other Moneys described in Sections 3.01 and 3.02 hereof. The Escrow Agent shall purchase the Government Obligations solely from the moneys deposited in the Escrow Deposit Trust Fund as provided in this Agreement. The Escrow Agent shall apply the moneys deposited in the Escrow Deposit Trust Fund and the Government Obligations purchased therewith, together with all income or earnings thereon, in accordance with the provisions hereof. The Escrow Agent shall have no power or duty to invest any moneys held hereunder or to make substitutions of the Government Obligations held hereunder or to sell, transfer or otherwise dispose of the Government Obligations held hereunder except as provided in this Agreement. The Escrow Agent is hereby directed not to invest $from the Other Moneys deposited in the Escrow Deposit Trust Fund simultaneousiy with the delivery of this Agreement. The Agency covenants to take no action in the investment, reinvestment or security of the Escrow Deposit Trust Fund in violation of this Agreement and recognizes that any such action in contravention of this Agreement might cause the Refunded Bonds or the Bonds to be classified as "arbitrage bonds" under the Internal Revenue Code of 1986, as amended, and the regulations promulgated thereunder (the "Code"). Section 3.05. Substitution of Certain Government Obligations. (a) If so directed in writing by the Agency on the date of delivery of this Agreement, the Escrow Agent shall accept in substitution for all or a portion of the Government Obligations listed in Schedule B, Government Obligations (the "substituted Securities"), the principal of and interest on which, together with any Government Obligations listed in Schedule B for which no substitution is made and moneys held uninvested by the Escrow Agent, will be 003 -4430-47 38 I 3 /AM ER r CAS 604 sufficient to pay all principal of and interest of the Refunded Bonds as set forth in Schedule C hereof. The foregoing notwithstanding, the substitution of Substituted Securities for any of the Govemment Obligations listed in Schedule B may be effected only upon compliance with Section 3.05(b)(1) and (2) below. (b) If so directed in writing by the Agency at any time during the term of this Agreement, the Escrow Agent shall sell, transfer, exchange or otherwise dispose of, or request the redemption of, all or a portion of the Government Obligations then held in the Escrow Deposit Trust Fund and shall substitute for such Government Obligations other Government Obligations, designated by the Agency, and acquired by the Escrow Agent with the proceeds derived from the sale, transfer, disposition or redemption of or by the exchange of such Government Obligations held in the Escrow Deposit Trust Fund, but only upon the receipt by the Escrow Agent of: (1) an opinion of nationally recognized counsel in the field of law relating to municipal bonds stating that such substitution will not adversely affect the exciusion from gross income for federal income tax purposes of interest on the Refunded Bonds and the Bonds and is not inconsistent with the statutes and regulations applicable to the Refunded Bonds and the Bonds; and (2) verification by a firm of independent certified public accountants stating that the principal of and interest on the substituted Government Obligations, together with any Government Obligations and any uninvested moneys remaining in the Escrow Deposit Trust Fund will be sufficient, without reinvestment, to pay the remaining principal of and interest on the Refunded Bonds as set forth in Schedule C hereof. Any moneys resulting from the sale, transfer, disposition or redemption of the Government Obligations held hereunder and the substitution therefor of other Government Obligations not required to be applied for the payment of such principal of and interest on the Refunded Bonds (as shown in the verif,cation report described in Section 3.05(b)(2) hereof delivered in connection with such substitution), shall be deposited in the Interest Account within the Sinking Fund established under the Bond Resolution. Upon any such substitution of Government Obligations pursuant to Section 3.05, Schedule B hereto shall be appropriately amended to refl ect such substitution. The Escrow Agent shall be under no duty to inquire whether the Government Obligations as deposited in the Escrow Deposit Trust Fund are properly invested under the Code. The Escrow Agent may rely on all specific directions in this Agreement providing for the investment or reinvestment of the Escrow Deposit Trust Fund. Section 3.06. Transfers from Escrow Deposit Trust Fund. As the principal of the Government Obligations set forth in Schedule B shall mature and be paid, and the investment income and earnings thereon are paid, the Escrow Agent shall pay from such moneys to U.S. Bank National Association, in its capacity of Paying Agent with respect to the Refunded Bonds (as Trustee, Paying Agent and Registrar with respect to the Refunded Bonds, the "Refunded Bonds Trustee"), no later than the payment dates for the Refunded Bonds, as specified in Schedule C hereof, the amounts necessary to pay the principal of and interest on the Refunded 003-4430-47 38 I 3 /AM ERTCAS 605 Bonds, as specified in Schedule C hereof. The Agency hereby irrevocably determines, and instructs the Refunded Bonds Trustee and the Escrow Agent, to call for redemption prior to maturity the Refunded Bonds maturing December 1,2076 through and including December 1, 2022 on January _, 2076 at a redemption price of 100% of the principal amount thereof, in accordance with the Prior Bond Resolution. The Agency, the Refunded Bonds Trustee and the Escrow Agent shall perform the responsibilities, described in the Prior Bond Resolution, in connection with the redemption of such Refunded Bonds, including the giving of notice of redemption as required therein. The Agency shall mail, or cause to be mailed, a copy of such notice of redemption to National Public Finance Guarantee Corporation, as successor to MBIA Insurance Corporation ("NPFGC"). The Agency shall also file, or cause to be filed, a copy of such notice of redemption with the Municipal Securities Rulemaking Board (the "MSRB"). In addition, the Refunded Bonds Trustee shall publish such notice of redemption one time in The Bond Buyer, New York, New York, at least 30 days prior to January _,2016. Section 3.07. Investment of Certain Moneys Remaining in Escrow Deposit Trust Fund. Subject to the provisions of Section 3.04 of this Agreement, the Escrow Agent shall invest and reinvest, at the written direction of the Agency, in Government Obligations any moneys remaining from time to time in the Escrow Deposit Trust Fund until such time as they are needed. Such moneys shall be reinvested in such Govemment Obligations for such periods and at such interest rates, as the Escrow Agent shall be directed to invest by the Agency, which periods and interest rates shall be set forth in an opinion from nationally recognized counsel in the field of law relating to municipal bonds to the Agency and to the Escrow Agent, which opinion shall also be to the effect that such reinvestment of such moneys in such Government Obligations for such period and at such interest rates will not, under the statutes and regulations applicable to the Reftinded Bonds and the Bonds, cause the interest on the Refunded Bonds or the Bonds to be included in gross income for federal income tax purposes and that such investment is not inconsistent with the statutes and regulations applicable to the Refunded Bonds and the Bonds. Any interest income resulting from reinvestment of moneys pursuant to this Section 3.07 not required to be applied for the payment of the principal of and interest on the Refunded Bonds shall be deposited in the Interest Account within the Sinking Fund established under the Bond Resolution. Section 3.08. Escrow Deposit Trust Fund Constitutes Trust Fund. The Escrow Deposit Trust Fund created and established pursuant to this Agreement shall be and constitute a trust fund for the purposes provided in this Agreement and shall be kept separate and distinct from all other funds of the Agency and, to the extent required by law, of the Escrow Agent and used only for the purposes and in the manner provided in this Agreement. Section 3.09. Transfer of Funds After All Payments Required by this Aereement are Made. After all of the transfers by the Escrow Agent to the payment of the principal of and interest on the Refunded Bonds provided in Schedule C have been made, all remaining moneys and securities, together with any income and interest thereon, in the Escrow Deposit Trust Fund shall be deposited in the Interest Account within the Sinking Fund established under the Bond Resolution; provided, however, that no such transfers (except transfers made in accordance with Sections 3.05 and 3.07 hereof) shall be made until ail of the principal of and interest on the Refunded Bonds have been paid. 003-4430-473813/ AM E RrCAS 606 ARTICLE IV CONCERNING THE ESCROW AGENT Section4.01. Liabilitlz of Escrow Agent. The Escrow Agent shall not be liable in connection with the performance of its duties hereunder except for its own negligence, misconduct or defauit. The Escrow Agent shall not be liable for any loss resulting from any investments made pursuant to the terms of this Agreement. The Escrow Agent shall not be liable for the accuracy of the calculations as to the sufficiency of moneys and of the principal amount of the Government Obligations and the earnings thereon to pay the Refunded Bonds. So long as the Escrow Agent applies any moneys, Government Obligations and interest earnings therefrom to pay the Refunded Bonds as provided herein, and complies fully with the terms of this Agreement, the Escrow Agent shall not be liable for any deficiencies in the amounts necessary to pay the Refunded Bonds caused by such calculations. The duties and obligations of the Escrow Agent shall be determined by the express provisions of this Agreement. The Escrow Agent may consult with counsel with respect to any matter relevant to this Agreement, who may or may not be counsel to the Agency, and be entitled to receive from the Agency reimbursement of the reasonable fees and expenses of such counsel, and in reliance upon the opinion of such counsel have full and complete authorization and protection in respect of any action taken, suffered or omitted by it in good faith in accordance therewith. Whenever the Escrow Agent shall deem it necessary or desirable that a matter be proved or established prior to taking, suffering or omitting any action under this Agreement, such matter may be deemed to be conclusively established by a certificate signed by an authorized officer of the Agency and the Escrow Agent may in good faith conclusively rely upon such certificate. The Escrow Agent shall have no lien, security interest or right of set-off whatsoever upon any of the moneys or investments in the Escrow Deposit Trust Fund for the payment of fees or expenses for the services rendered by the Escrow Agent under this Agreement. Section 4.02. Permitted Acts. The Escrow Agent and its affiliates may become the owner of all or may deal in the Refunded Bonds as fully and with the same rights as if it were not the Escrow Agent. Section 4.03. Payment to Escrow Agent. The Agency shall pay to the Escrow Agent reasonable compensation for all services rendered by it hereunder and also its reasonable expenses incurred in and about the administration and execution of the trusts hereby created and the performance of its powers and duties hereunder, all as provided in Schedule D hereto. ARTICLE V MISCELLANEOUS Section 5.01. Amendments to this Agreement. This Agreement is made for the benefit of the holders from time to time of the Refunded Bonds and shall not be repealed, revoked, altered or amended without the written consent of all such holders of the Refunded Bonds, the oo3-4430-473813 / AM E R rCAS 607 Escrow Agent and the Agency; provided, however, that the Agency and the Escrow Agent may, without the consent of, or notice to, such holders enter into such agreements supplemental to this Agreement which shall not adversely affect the rights of such holders and shall not be inconsistent with the terms and provisions of this Agreement for any one or more of the following purposes: (a) to cure any ambiguity or formal defect or omission in this Agreement; or (b) to grant to or confer upon the Escrow Agent for the benefit of the holders of the Refunded Bonds any additional rights, remedies, powers or authority that may lawfully be granted to or conferred upon the Escrow Agent. The Escrow Agent shall be entitled to rely upon an unqualified opinion of a nationally recognized counsel in the field of law relating to municipal bonds with respect to compliance with this Section. Prior to any repeal, revocation, alteration or amendment of this Agreement, the Agency shail provide written notice of such proposed repeal, revocation, alteration or amendment to Standard & Poor's Ratings Services and Moody's Investors Service, Inc. at their addresses set forth below: Standard & Poor's Ratings Services 55 Water Street New York, New York 10041 Attn: Municipal Ratings Desk/Refunded Bonds Moody's Investors Service, Inc. 99 Church Street New York, New York 10007 Section 5.02. Severabilitlz. If any one or more of the covenants or agreements provided in this Agreement on the part of the Agency or the Escrow Agent to be performed should be determined by a court of competent jurisdiction to be contrary to law, such covenant or agreement shall be deemed and construed to be severable from the remaining covenants and agreements herein contained and shall in no way affect the validity of the remaining provisions of this Agreement. Section 5.03. Aereement Bindine. All the covenants, proposals and agreements in this Agreement contained by or on behalf of the Agency or by or on behalf of the Escrow Agent shall bind and inure to the benefit of their respective successors and assigns, whether so expressed or not. Section 5.04. Notices to Escrow Agent and Agency. Any notice, demand, direction, request or other instrument authorized or required by this Agreement to be given to or filed with the Escrow Agent or the Agency, shall be deemed to have been sufficiently given or filed for all purposes of this Agreement if personally delivered and receipted for, or if sent by registered or certified United States mail, return receipt requested, addressed as follows: 0o3-4430-4138 /3 /AM ERICAS 608 (a) As to the Agency - Miami Beach Redevelopment Agency 1700 Convention Center Drive Miami Beach, Florida 33139 Attention: Executive Director (b) As to the Escrow Agent - U.S. Bank National Association 225 Water Street Suite 700 Jacksonville, Florida 32202 Attention: Corporate Trust Services Any party hereto may, by notice sent to the other parties hereto, designate a different or additional address to which notices under this Agreement are to be sent. Section 5.05. Termination. This Agreement shall terminate when all transfers and payments required to be made by the Escrow Agent under the provisions hereof shall have been made. Section 5.06. Execution blz Counterparts. This Agreement may be executed in several counterparts, all or any of which shall be regarded for all purposes as one original and shall constitute and be but one and the same instrument. Section 5.07. Notice of Defeasance. The Agency hereby irrevocably instructs U.S. Bank National Association, in its capacity of Registrar with respect to the Refunded Bonds, to give to the Holders of the Refunded Bonds and NPFGC, by first class mail, postage prepaid, as soon as practicable, and to file with the MSRB, as soon as practicable, notice of the defeasance of the Refunded Bonds, substantially in the form attached hereto as Schedule E. Section 5.08. Governing Law. This Agreement shall be governed by the laws of the State of Florida. 003-4430-47 38 / 3 /AME RTCAS 609 IN WITNESS WHEREOF, each of the parties hereto has caused this Agreement to be executed by its duly authorized officers. MIAMI BEACH REDEVELOPMENT AGENCY Chairperson U.S. BANK NATIONAL ASSOCIATION, as Escrow Agent By: Assistant Vice President A.PFROVED AS TO FORM & LANGUAGE & FOR EXECUTION By: ?',1-C*,? Jbil| Redevelopment AgencY Date General Counsel 0o3-4430-4738/3/AM E R r CAs r0 610 Maturity Date 1210U2016 1210U2017 12t0U2018 1210U2019 r2t0U2020 t210U2021 1210U2022 SCHEDULE A REFLTNDED BONDS Principal Amount $ 1,885,000 1,990,000 2,090,000 2,195,000 2,300,000 2,400,000 2,525,000 Interest Rate 5.000% s.000 5.000 s.000 4.000 5.000 5.000 003-4430-47 18 / 3 /AM ERTCAS A-1 611 SCHEDULE B INVESTMENT OF BOND PROCEEDS AND OTHER MONEYS T)rpe of Securit), Maturity Date Principal Amount Interest Rate S% B-1 o03- 4 430- 47 38 I 3 lAM E RrCAS 612 SCHEDULE C SCHEDULE OF PAYMENTS ON REFL]NDED BONDS Principal Date Principal Redeemed Interest Total $$$$ 003-4430-47 38 / 3 /AM ERTCAS c-1 613 (i) (ii) (iii) SCHEDULE D ESCROW AGENT FEES AND EXPENSES In consideration of the services to be rendered by the Escrow Agent under the Agreement, the Agency agrees to pay the Escrow Agent a one time fee of $_ for all services to be incurred as Escrow Agent in connection with such services, and agrees to reimburse at cost all ordinary out-of-pocket expenses incurred by the Escrow Agent. The term "ordinary out-of-pocket expenses" means expenses of holding, investing and disbursing the Escrow Deposit Trust Fund as provided herein and includes, but is not limited to publication costs, postage and legal fees as incurred. The Agency also agrees to reimburse the Escrow Agent for any extraordinary expenses incurred by it in connection with the Agreement. The term "extraordinary expenses" includes (a) expenses arising out of the assertion of any third party to any interest in the Escrow Deposit Trust Fund or any challenge to the validity hereof, including reasonable attorneys'fees, (b) expenses relating to any substitution under Section 3.05 or reinvestment under Section 3.0J, and (c) expenses (other than ordinary expenses) not occasioned by the Escrow Agent's misconduct or negligence. The fees and expenses payable by the Agency under clause (i) or (ii) above shall not be paid from the Escrow Deposit Trust Fund, but shall be paid by the Agency from legally available funds of the Agency. D-l 003-4 430-47 38 / 3 /AM ERTCAS 614 SCHEDULE E NOTICE OF DEFEASANCE Miami Beach Redevelopment Agency Tax Increment Revenue Refunding Bonds, Series 20058 (City Center/Historic Convention Village) Dated: September 22, 2005 Maturity Date Principal Amount Interest Rate CUSIP Numbers- t2t01t2016 $1,885,000 5.000% 593237ED8t2l0t/2017 1,980,000 5.000 59323788612/01/20t8 2,080,000 5.000 5932378F31210U2019 2,195,000 5.000 593237EG11210U2020 2,300,000 4.000 5932378H9t2l0t/202t 2,400,000 5.000 5932378J51210U2022 2,525,000 5.000 5932378K2 NOTICE IS HEREBY GIVEN that monies have been deposited with U.S. Bank National Association, as Escrow Agent, for the payment of the principal of and interest on the outstanding bonds identihed above (the "Bonds"), and such monies, except to the extent maintained in cash, have been invested in direct obligations of the United States of America. U.S. Bank National Association, as Trustee, Paying Agent and Registrar for the Bonds, and the Escrow Agent have been irrevocably instructed to call for redemption prior to maturity the Bonds maturing December 1,2016 through and including December 1,2022 on January _,2016, at a redemption price of 100% of the principal amount thereof. The amount so deposited as aforesaid has been calculated to be adequate to pay, when due, the principal of and interest on the Bonds to and including their redemption date described above. The Bonds are therefore deemed to have been paid in accordance with Section 30a(M) of Resolution No. 150-94 adopted by the Miami Beach Redevelopment Agency on January 5,1994. U.S. BANK NATIONAL ASSOCIATION, as Registrar Dated: _,2015 No representation is made as to the correctness of these CUSIP numbers either as printed on the Bonds or contained in this Notice. E-1 003-4 430-47 38 / 3 /AM ERTCAS 615 RESOLUTION NO. A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA AUTHORIZING THE ISSUANCE OF NOT TO EXCEED $24O,OOO,OOO IN AGGREGATE PRINCIPAL AMOLINT OF CITY OF MIAMI BEACH, FLORIDA RESORT TAX REVENUE BONDS, SERIES 2OI5 FOR THE PURPOSE OF FINANCING IMPROVEMENTS TO THE MIAMI BEACH CONVENTION CENTER; PROVIDING FOR THE ISSUANCE OF ADDITIONAL BONDS ON A PARITY THEREWITH; PROVIDING FOR THE SECURITY AND PAYMENT OF ALL BONDS ISSUED PURSUANT TO THIS RESOLUTION; PROVIDING CERTAIN DETAILS OF THE SERIES 2015 BONDS; DELEGATING CERTAIN MATTERS IN CONNECTION WITH THE ISSUANCE OF THE SERIES 2015 BONDS TO THE CITY MANAGE,R, INCLUDING WHETHER THE SERIES 2OI5 BONDS SHALL NOT BE SECURED BY THE DEBT SERVICE RESERVE ACCOUNT AND WHETHER TO SECURE A CREDIT FACILITY AND/OR A RESERVE ACCOUNT INSURANCE POLICY, WITHIN THE LIMITATIONS AND RESTRICTIONS STATED HEREIN; APPOINTING LINDERWRITERS, PAYING AGENT, REGISTRAR AND DISCLOSURE DISSEMINATION AGENT; AUTHORIZING THE NEGOTIATED SALE OF THE SERIES 2OI5 BONDS AND APPROVING THE FORM AND AUTHORIZING EXECUTION OF THE BOND PURCHASE AGREEMENT FOR THE SERIES 2015 BONDS; APPROVING THE FORM OF PRELIMINARY OFFICIAL STATEMENT FOR THE SERIES 2015 BONDS AND AUTHORIZING EXECUTION OF THE FINAL OFFICIAL STATEMENT FOR THE SERIES 2015 BONDS; COVENANTING TO PROVIDE CONTINUING DISCLOSURE IN CONNECTION WITH THE SERIES 2015 BONDS AND APPROVING THE FORM AND AUTHORIZING EXECUTION OF A CONTINUING DISCLOSURE AGREEMENT; AUTHORIZING OFFICERS AND EMPLOYEES OF THE CITY TO TAKE ALL NECESSARY ACTIONS IN CONNECTION WITH THE ISSUANCE OF THE SERIES 2015 BONDS; AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, pursuant to the Constitution and the laws of the State of Florida, in particular Chapter 67 -930, Laws of Florida, Acts of 7967 , as amended, and Chapter 766, Florida Statutes, as amended from time to time, and pursuant to the Miami Beach City Charter, as amended, and Chapter 102, Article IV of the Miami Beach City Code, as amended, including as amended upon enactment by the Mayor and City Commission of the City of Miami Beach, Florida (the "Commission") of an ordinance levying an additional one percent (l%)tax approved by the electorate in a special election held on August 14,2012 and set forth in Section 5.03 of the Miami Beach City Charter, as amended (collectively, the "Act"), the City of Miami Beach, Florida (the "City") imposes, levies and collects a municipal resort tax upon the rent of every occupancy of a room or rooms in any hotel, motel, rooming house or apartment house, and upon the total sales price of all items of food, beverages, alcoholic beverages and wine sold at retail of any restaurant, as more particularly set forth in the Act (the "Resort Tax"); and 0L0-81-26-07 7 7 I 2 /AMERTCAS 616 WHEREAS, the City desires to issue its Resort Tax Revenue Bonds, Series 2015 (the "Series 2015 Bonds") for the primary purpose of financing certain public improvements to the Miami Beach Convention Center, as more particularly described in Exhibit A attached hereto and made a part hereof (the "Series 2015 Project"); and WHEREAS, the City also desires to set forth the provisions pursuant to which it may issue bonds on a parity with the Series 2015 Bonds and to make provision for the rights and security ofthe holders ofall bonds issued hereunder; and WHEREAS, the Commission has determined that it is in the best interest of the City to delegate to the City Manager (hereinafter defined), who shall rely upon the recommendations of the Chief Financial Officer (hereinafter defined) and RBC Capital Markets, LLC, the City's financial advisor (the "Financial Advisor"), the determination of various terms of the Series 2015 Bonds, whether the Series 2015 Bonds shall not be secured by the Debt Service Reserve Account, whether to secure a Credit Facility and/or Reserve Account Insurance Policy (as such terms are hereinafter defined) with respect to the Series 2015 Bonds, the final award of the Series 2015 Bonds, and certain other actions in connection with the issuance of the Series 2015 Bonds, all as provided and subject to the limitations contained herein; and WHEREAS, the City has determined that due to the character of the Series 2015 Bonds, current favorable market conditions, the uncertainty inherent in a competitive bidding process and the recommendations of the Financial Advisor, it is in the best interest of the City to authorize the negotiated sale of the Series 2015 Bonds; and WHEREAS, in connection with the issuance of the Series 2015 Bonds, the requirements of Ordinance No. 2007 -3582, adopted by the Commission on November 27, 2007 , including the holding of two public hearings, have been complied with prior to the adoption of this Resolution; NOW THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA. ARTICLE I DEFINITIONS, AUTHORITY, FINDINGS, AND RESOLUTION CONSTITUTES A CONTRACT SECTION 101. DEFINITIONS. In addition to the terms defined elsewhere in this Resolution, as used in this Resolution, the following terms shall have the following meanings: "Accreted Value" shall mean, as of any date of computation with respect to any Capital Appreciation Bond, an amount equal to the principal amount of such Capital Appreciation Bond (the principal amount on the date of original issuance) plus the interest accrued on such Capital Appreciation Bond from the date of delivery to the original purchasers thereof to the Interest Payment Date next preceding the date of computation or the date of computation if an Interest Payment Date, such interest to accrue at a rate not exceeding the legal rate provided for in the resolution of the Commission providing for the issuance of such Bonds, compounded periodically at the times provided for in the resolution of the Commission providing for the issuance of such Bonds, plus, with respect to matters related to the payment upon redemption or acceleration of the Capital Appreciation Bonds, if such date of computation shall not be an ot0-8t26-0777 /2IAMERTCAS 617 Interest Payment Date, a portion of the difference between the Accreted Value as of the immediately preceding Interest Payment Date (or the date of original issuance if the date of computation is prior to the first Interest Payment Date succeeding the date of original issuance) and the Accreted Value as of the immediately succeeding Interest Payment Date, calculated based on the assumption that Accreted Value accrues in equal daily amounts on the basis of a year of twelve 30-day months. "Act" shall have the meaning ascribed to it in the recitals to this Resolution. "Amortization Requirements" shall mean such moneys required to be deposited in the Bond Redemption Account for the purpose of the mandatory redemption or payment at maturity of any Term Bonds, the specific amounts and times of such deposits to be determined in the Mayor's Certificate with respect to the Series 2015 Bonds or pursuant to a resolution of the Commission relating to any other Series of Bonds with respect to such Bonds. "Annual Debt Service Requirement" for any period, as applied to the Bonds of any Series, shall mean the respective amounts which are needed to provide: (a) for paying the interest on all Bonds of such Series then Outstanding which is payable on each Interest Payment Date in such period, (b) for paying the principal of all Serial Bonds of such Series then Outstanding which is payable upon the maturity of such Serial Bonds in such period, and (c) the Amortization Requirements, if any, for the Term Bonds of such Series for such period. For purposes of computing (a), (b) and (c) above, any principal, interest or Amortrzation Requirements due on October 1 in a Fiscal Year shall be deemed due in the preceding Fiscal Year. The following rules shall apply in determining the amount of the Annual Debt Service Requirement for any period: (a) With respect to Variable Rate Bonds, the interest rate shall be assumed to be the average rate of interest for all Variable Rate Bonds for the prior Fiscal Year or portion thereof while said Bonds were Outstanding or if there were no Variable Rate Bonds Outstanding during such prior Fiscal Year, then the lesser of (i) the initial rate of interest on such Variable Rate Bonds and (ii) the average rate of interest for the prior Fiscal Year under a published variable interest rate index selected by the then financial advisor to the City which is generally consistent with the rate of interest such Bonds shall bear; "average rate" with respect to Outstanding Variable Rate Bonds shall mean the rate determined by dividing the total annualized amount of interest paid on Variable Rate Bonds in such Fiscal Year or portion thereof by the average principal amount of Variable Rate Bonds Outstanding during such Fiscal Year or portion thereof. (b) In the case of Put Bonds, the "put" date or dates shall be ignored if the source for payment of said "put" is a Credit Facility or a Liquidity Facility and the stated dates for 0rc-8r26-07 7 7 / 2 /AMERTCAS 618 Amortization Requirements and principal payments shall be used, and in the case of Bonds secured by a Credit Facility or a Liquidity Facility, the terms of the reimbursement obligation to the issuers thereof shall be ignored and the stated dates for Amortization Requirements for Term Bonds and principal payments shall be used; provided, however, that during any period of time after the issuer of a Credit Facility or a Liquidity Facility has advanced funds thereunder, the reimbursement obligation of which is payable from and secured on a parity with the Bonds and before such amount is repaid, Annual Debt Service Requirements shall include the principal amount so advanced and interest thereon, in accordance with the principal repayment schedule and, interest rate or rates specified in the Credit Facility or Liquidity Facility, in lieu of the stated principal of and Amortization Requirements and interest on such Bonds; (c) In the case of Extendible Maturity Bonds, the Bonds shall be deemed to mature on the later of the stated maturity date or the date to which such stated maturity date has been extended; (d) In the case of Capital Appreciation Bonds, the principal and interest portions of the Accreted Value of Capital Appreciation Bonds becoming due at maturity or by virtue of an Amortization Requirement shall be included in the calculations of accrued and unpaid Annual Debt Service Requirements in the year in which said principal and interest portions are due and payable; (e) In the case of Capital Appreciation and Income Bonds, the principal and interest portions of the Appreciated Value of Capital Appreciation and Income Bonds shall be included in the calculations of accrued and unpaid Annual Debt Service Requirements in the year in which said principal and interest portions are due and payable; (f) In the case of Balloon Bonds or Interim Bonds, the debt service requirements of the Balloon Bonds or Interim Bonds may be excluded and in lieu thereof the Balloon Bonds or Interim Bonds shall be viewed, for purposes of the computation of Annual Debt Service Requirements, as debt securities having a comparable Federal tax status as such Balloon Bonds or Interim Bonds, hypothetically maturing in substantially equal annual payments of principal and interest over a period of not more than 30 years from the date of issuance thereof, bearing interest at a fixed rate per annum equal to the average interest rate per annum for such debt securities on the date of issuance of the Balloon Bonds or Interim Bonds and issued by issuers having a credit rating, issued by Moody's Investors Services, Inc. or any successors thereto or Standard & Poor's Ratings Services or any successors thereto comparable to that of the City, as shown by a certificate of an underwriting or investment banking firm experienced in marketing such securities; and (g) to the extent that the City has entered into an Interest Rate Swap with respect to any Bonds and notwithstanding the provisions of clauses (a) through (f) above, while the Interest Rate Swap is in effect and the Counterparty has not defaulted thereunder, the interest rate with respect to the principal amount of such Bonds equal to the "notional" amount specified in the Interest Rate Swap shall be assumed to be (i) if the City's payment obligations under the Interest Rate Swap are computed based upon a fixed rate of interest, the actual rate of interest upon which the City's payment obligations are computed under such Interest Rate Swap and (ii) if the City's payment obligations under the Interest Rate Swap are computed based upon a variable rate 070-8126-017 7 / 2 IAM ERTCAS 619 of interest, the average rate of interest for the City's payment obligations under the Interest Rate Swap for the prior Fiscal Year or portion thereof while the Interest Rate Swap was in effect or if the Interest Rate Swap was not in effect during such prior Fiscal Year, then the lesser of (x) the initial rate of interest for the City's payment obligations under the Interest Rate Swap and (y) the average rate of interest for the prior Fiscal Year under a published variable interest rate index agreed upon by the City and the Counterparty which is generally consistent with the formula which shall be used to determine the City's payment obligations; "average rate" with respect to the City's payment obligations for the prior Fiscal Year shall mean the rate determined by dividing the total annualized amount paid by the City under the Interest Rate Swap in such Fiscal Year or portion thereof by the "notional" amount specified in the Interest Rate Swap for such Fiscal Year; (h) If all or a portion of the principal of or interest on a Series of Bonds is payable from funds irrevocably set aside or deposited for such purpose, together with projected earnings thereon to the extent such earnings are projected to be from Permitted Investments, such principal or interest shall not be included in determining Annual Debt Service Requirements. "Appreciated Value" shall mean (i) as of any date of computation with respect to any Capital Appreciation and Income Bond up to the Interest Commencement Date provided for in the resolution of the Commission providing for the issuance of such Bond, an amount equal to the principal amount of such Bond (the principal amount at its initial offering) plus the interest accrued on such Capital Appreciation and Income Bond from the date of delivery to the original purchasers thereof to the Interest Payment Date next preceding the date of computation or the date of computation if an Interest Payment Date, .such interest to accrue at a rate not exceeding the legal rate provided for in the resolution of the Commission providing for the issuance of such Bonds, compounded periodically, plus, with respect to the payment upon redemption or acceleration of the Capital Appreciation and Income Bonds, if such date of computation shall not be an Interest Payment Date, a portion of the difference between the Appreciated Value as of the immediately preceding Interest Payment Date (or the date of original issuance if the date of computation is prior to the first Interest Payment Date succeeding the date of original issuance) and the Appreciated Value as of the immediately succeeding Interest Payment Date calculated based upon an assumption that Appreciated Value accrues in equal daily amounts on the basis of ayear of twelve 30-day months and (ii) as of any date of computation on and after the Interest Commencement Date, the Appreciated Value on the Interest Commencement Date. "Balloon Bonds" shall mean any Bonds issued under this Resolution, interest on which is payable periodically and twenty five percent (25%) or more of the original principal amount of which matures during any one Fiscal Year and for which maturing principal amount Amortization Requirements have not been designated in the resolution of the Commission authorizing the issuance of such Bonds. "Bond Counsel" shall mean Squire Patton Boggs (US) firm selected by the City of favorable national reputation for exempt municipal bonds. LLP, or another lawyer or law skill in matters relating to tax- 010-8126-077 7 / 2 IAM E RICAS 620 "Bonds" shall mean the Series 2015 Bonds, authorized to be issued pursuant to this Resolution, together with any additional parity Bonds hereafter issued pursuant to this Resolution. "Bondholder", "Holder", "Holder of Bonds" or "Owner" or any similar term, shall mean any person, who shall be the registered owner of any Outstanding Bond or Bonds. "Capital Appreciation Bonds" shall mean any Bonds issued under this Resolution as to which interest is compounded periodically on each of the applicable periodic dates designated for compounding and payable in an amount equal to the then current Accreted Value only at the maturity, earlier redemption or other payment date therefor, all as so provided for by subsequent proceedings of the Commission relating to the issuance thereof, and which may be either Serial Bonds or Term Bonds. "Capital Appreciation and Income Bonds" shall mean any Bonds issued under this Resolution as to which accruing interest is not paid prior to the Interest Commencement Date provided for in the resolution authorizing such Bonds and the Appreciated Value for such Bonds is compounded periodically on certain designated dates prior to the Interest Commencement Date for such Series of Capital Appreciation and Income Bonds, all as so provided for by subsequent proceedings of the Commission relating to the issuance thereof and which may be either Serial Bonds or Term Bonds. "Chief Financial Officer" shall mean the Chief Financial Officer of the City or his or her designee or the officer succeeding to his or her principal functions. "City" shall mean the City of Miami Beach, Florida, a municipal corporation duly organized and existing under the Constitution and laws of the State of Florida, and any successor thereto. "City Attorney" shall mean the City Attorney of the City, his or her designated assistant or the officer succeeding to his or her principal functions. "City Clerk" shall mean the Clerk of the City or his or her designee or the officer succeeding to his or her principal functions. "City Manager" shall mean the City Manager of the City or his or her designee or the officer succeeding to his or her principal functions. "Code" shall mean the Internal Revenue Code of 1986, as amended from time to time, and the regulations promulgated thereunder and applicable regulations promulgated under the Internal Revenue Code of 1954, as amended. "County" shall mean Miami-Dade County, Florida, a political subdivision of the State of Florida, and any successor thereto. "Credit Facility" shall mean an irrevocable letter of credit, policy of municipal bond insurance, guaranty, purchase agreement, credit agreement or similar facility in which the entity 0 t0-8L26-07 7 7 I 2 lA M E R I CAS 621 providing such facility irrevocably agrees to provide funds to make payment of the principal of and interest on Bonds. "Defeasance Obligations" shall mean to the extent permitted by law: (i) Direct general obligations of, or obligations the payment of the principal of which and the interest on which is unconditionally guaranteed by, the United States of America; and (ii) Evidences of indebtedness issued by the Bank for Cooperatives, Federal Home Loan Banks, Federal Home Loan Mortgage Corporation (including participation certificates), Federal Land Banks, Federal Financing Banks, or any other agency or instrumentality of the United States of America created by an act of Congress which is substantially similar to the foregoing in its legal relationship to the United States of America; provided that the obligations of such agency or instrumentality are unconditionally guaranteed by the United States of America or any other agency or instrumentality of the United States of America; and (iii) Evidences of ownership of proportionate interests in future interest and principal payments on specified obligations described in (i) above held by a bank or trust company as custodian, under which the owner of the investment is the real party in interest and has the right to proceed directly and individually against the obligor on the underlying obligations described in (i) above, and which underlying obligations are not available to satisfy any claim of the custodian or any person claiming through the custodian or to whom the custodian may be obligated; and (iv) Obligations described in Section 103(a) of the Internal Revenue Code of 1986, as amended, which do not permit redemption prior to maturity at the option of the obligor and provision for the payment of the principal of, premium, if any, and interest on which shall have been made by the irrevocable deposit with a bank or trust company acting as a trustee or escrow agent for holders of such obligations or securities described in clauses (i) or (ii) above, the maturing principal of and interest on which, when due and payable, will provide sufficient monies to pay when due the principal of, premium if any, and interest on such obligations, and which securities described in clauses (i) or (ii) above are not available to satisfy any other claim, including any claim of the trustee or escrow agent or of any person claiming through the trustee or escrow agent or to whom the trustee or escrow agent may be obligated, including in the event of the insolvency of the ffustee or escrow agent or proceedings arising out ofsuch insolvency. "Extendible Maturity Bonds" shall mean Bonds the maturities of which, by their terms, may be extended by and at the option of the Holders of the Bonds or the City. "Fiduciaries" shall mean the Paying Agent and the Registrar appointed and acting under this Resolution. "Fiscal Year" shall mean that period including the next succeeding September 30, by law or by the City in accordance with law. commencing on October l, and continuing to and or such other annual period as may be prescribed 7 oLo-8r26-077 7 /2 /AMERtCAS 622 "lnterest Commencement Date" shall mean, with respect to any particular Capital Appreciation and Income Bonds, the date provided for in the resolution providing for the issuance of such Bonds (which date must be prior to the maturity date for such Bonds) after which interest accruing on such Bonds shall be payable semi-annually or otherwise on a periodic basis prior to maturity, with the first such payment date being the applicable Interest Payment Date immediately succeeding such Interest Commencement Date. "lnterest Payment Date" shall mean such dates on which interest on the Bonds is payable on any Bonds that are Outstanding, as shall be established in the Mayor's Certificate with respect to the Series 2015 Bonds or pursuant to the resolution of the Commission providing for the issuance ofany other Series ofBonds. "Interest Rate Swap" shall mean an agreement in writing by and between the City and another entity (the "Counterparty") pursuant to which (i) the City agrees to pay to the Counterparty an amount, either at one time or periodically, which is determined by reference to a rate of interest or formula and a "notional" amount specified in such agreement, during the period specified in such agreement and (ii) the Counterparty agrees to pay to the City an amount, either at one time or periodically, which is determined by reference to a different rate of interest or formula but the same "notional" amount specified in such agreement, during the period specified in such agreement. "Interim Bonds" shall mean any Bonds issued under this Resolution on an interim basis which are expected to be repaid from the proceeds of Bonds or other indebtedness. "Liquidity Facility" shall mean a letter of credit, line of credit, policy of municipal bond insurance, guaranty, purchase agreement or similar facility in which the entity providing such facility agrees to provide funds to pay the purchase price of Put Bonds upon their tender by the Holders of Put Bonds. "Maximum Annual Debt Service" shall mean, at any time and with respect to all of the Bonds or any particular Series of the Bonds (as appropriate), the greatest Annual Debt Service Requirement in the then current or any succeeding Fiscal Year. "Mayor" shall mean the Mayor of the City or in the absence or disability of the Mayor of the City, the Vice Mayor of the City or the officers succeeding to their principal functions. "Mayor's Certificate" shall mean the certificate to be executed by the Mayor on or prior to the date of initial issuance of the Series 2015 Bonds, which certificate shall provide the details of the Series 2015 Bonds. "Outstanding" when used with reference to the Bonds, shall mean, as of any date of determination, all Bonds theretofore authenticated and delivered except; (i) Bonds theretofore cancelled by the Registrar or delivered to the Registrar for cancellation; (ii) Bonds which are deemed paid and no longer Outstanding as provided herein; oto-8126-07 7 7 I 2 /AMERTCAS 623 (iii) Bonds in lieu of which other Bonds have been issued pursuant to the provisions hereof relating to Bonds destroyed, stolen or lost, unless evidence satisfactory to the Registrar has been received that any such Bond is held by a bona fide purchaser; and (iv) For purposes of any consent or other action to be taken hereunder by the Holders of a specified percentage of principal amount of Bonds, Bonds held by or for the account of the City. "Paying Agent" shall mean the City or any bank or trust company or any successor bank or trust company appointed by the City to act as Paying Agent hereunder. "Permitted Investments" shall mean and include such obligations as shall be permitted to be legal investments of the City by the laws of the State. "Pledged Funds" shall mean, collectively, the Resort Tax Revenues and, except for moneys, securities and instruments in the Rebate Fund and with respect to any Series of Bonds not secured by the Debt Service Reserve Account, moneys, securities and instruments held in the Debt Service Reserve Account, all moneys, securities and instruments held in the Funds and Accounts created and established by this Resolution. "Put Bonds" shall mean the Bonds which by their terms may be tendered by and at the option of the owner thereof for payment by the City prior to the stated maturity thereof. "Registrar" shall mean the City or a bank or trust company appointed by the City, located within or without the State of Florida, who or which shall maintain the registration books of the City and be responsible for the transfer and exchange of the Bonds, and who or which may also be the Paying Agent for the Bonds. "Reserve Account Insurance Policy" shall mean the insurance policy, surety bond or other acceptable evidence of insurance, if any, deposited in the Debt Service Reserve Account in lieu of or in partial substitution for cash or securities on deposit there in. The issuer providing such facility shall be a municipal bond insurer rated, at the time of deposit in the Debt Service Reserve Account, in any of the three highest rating categories (without regard to any gradations within such categories) of Fitch Ratings Inc. or any successors thereof, Moody's Investors Service, Inc. or any successors thereof or Standard & Poor's Ratings Services or any successors thereof. "Reserve Account Letter of Credit" shall mean the irrevocable, transferable letter of credit, if any, deposited in the Debt Service Reserve Account in lieu of or in partial substitution for cash or securities on deposit therein. The issuer providing such letter of credit shall be a banking association, bank or trust company or branch thereof rated, at the time of deposit into the Debt Service Reserve Account, in any of the three highest rating categories (without regard to any gradations within such categories) of Fitch Ratings Inc. or any successors thereof, Moody's Investors Service, Inc. or any successors thereof or Standard & Poor's Ratings Services or any successors thereof. or0-8L26-0777 l2lAMERTCAS 624 "Reserve Account Requirement" shall mean the lesser of (a) Maximum Annual Debt Service for all Outstanding Bonds in the current or any subsequent Fiscal Year, or (b) the maximum amount allowed to be funded from proceeds of Bonds under the Code; provided that, if the Mayor's Certificate inthe case of the Series 2015 Bonds or if the supplemental resolution corresponding to any other Series of Bonds provides for the establishment of a separate subaccount in the Debt Service Reserve Account to secure only the Series 2015 Bonds or such other Series of Bonds (with such Series 2015 Bonds or other Series of Bonds having no claim on the other moneys deposited to the credit of the Debt Service Reserve Account), the Reserve Account Requirement for the Series 2015 Bonds or such other Series of Bonds shall be calculated as provided for in the Mayor's Certificate or in the corresponding supplemental resolution; and provided further that, if the Mayor's Certificate in the case of the Series 2015 Bonds or if the supplemental resolution corresponding to any other Series of Bonds provides that the Series 2015 Bonds or such other Series of Bonds shall not be secured by the Debt Service Reserve Account or any separate subaccount therein, the Reserve Account Requirement shall be calculated without taking into account the Series 2015 Bonds or such other Series of Bonds. The City shall be permitted to provide all or a portion of the Reserve Account Requirement by the execution and delivery of a Reserve Account Insurance Policy or a Reserve Account Letter of Credit. "Resolution" shall mean this Resolution as the same may from time to time be amended and supplemented in accordance with the terms hereof. "Resort Tax" shall mean the tax described in the recitals to this Resolution levied pursuant to the Act. "Resort Tax Revenues" shall mean the proceeds of the Resort Tax. "Serial Bonds" shall mean the bonds of an issue which shall be stated to mature in annual or semi-annual installments but not including Term Bonds. "Series" shall mean all of the Bonds authenticated and delivered on original issuance and pursuant to this Resolution or any supplemental resolution authorizing such Bonds as a separate Series of Bonds, or any Bonds thereafter authenticated and delivered in lieu of or in substitution for such Bonds pursuant to Article II hereof, regardless of variations in maturity, interest rate or other provisions. "Series 2015 Bonds" shall mean the Resort Tax Revenue Bonds, Series 2015 authorized to be issued under this Resolution in the aggregate principal amount not to exceed $240,000,000. "State" shall mean the State of Florida. "Taxable Bonds" shall mean Bonds the interest on which is not intended at the time of issuance thereof to be excluded from gross income of the holders thereof for federal income tax purposes. "Tax-Exempt Bonds" shall mean Bonds the interest on which is excludable from gross income of the holders thereof for federal income tax purposes. ot0-8126-077 7 / 2 IAM ERTCAS l0 625 "Term Bonds" shall mean the Bonds of any Series which shall be stated to mature on one date and for the amortization of which payments are required to be made into the Bond Redemption Account in the Sinking Fund. "Underwriters" shall mean Merrill Lynch, Pierce, Fenner & Smith Incorporated, Citigroup Global Markets Inc., Morgan Stanley & Co., LLC and Siebert Brandford Shank & Co., L.L.C. "Variable Rate Bonds" shall mean Bonds, which may be either Serial Bonds or Term Bonds, issued with a variable, adjustable, convertible or other similar rate which is not fixed in percentage for the entire term thereofat the date ofissue. Words of the masculine gender shall be deemed and construed to include correlative words of the feminine and neuter genders. Words importing singular number shall include the plural number in each case and vice versa. Words defined in Section 101 hereof that appear in this Resolution in lower case form shall have the meanings ascribed to them in the definitions in Section 101 unless the context shall otherwise indicate. The words "Bond", "Owner", "Holder" and "person" shall include the plural as well as the singular number unless the context shall otherwise indicate. The word "person" shall include corporations and associations, including public bodies, as well as natural persons, unless the context shall otherwise indicate. The word "may" shall mean "md!, but shall not be required to" and the word "including" shall mean "including, without limitation." The word "Bond" or "Bonds" and the words "revenue bond" or "revenue bonds" shall mean any Bond or Bonds or all of the Bonds, as the case may be, issued under the provisions of this Resolution. The word "Resolution" shall include this Resolution and each resolution supplemental hereto. SECTION 102. AUTHORITY FOR THIS RESOLUTION. This Resolution is adopted pursuant to the provisions of the Act. SECTION 103. FINDINGS. The recitals to this Resolution are incorporated herein as findings. In addition, it is hereby ascertained, determined and declared that: (a) The City is authorized to levy and collect the Resort Tax pursuant to the Act. (b) The principal of, premium, if any, and interest on the Bonds and all required sinking fund, reserve and other payments shall be payable solely from the Pledged Funds. None of the City, the County, or the State or any political subdivision thereof or governmental authority or body therein shall ever be required to levy ad valorem taxes to pay the principal of or interest on the Bonds or to make any of the sinking fund, reserve or other payments required by this Resolution or the Bonds, and the Bonds shall not constitute a lien upon any property owned by or situated within the corporate territory of the City, except as provided herein with respect to the Pledged Funds. (c) The estimated Pledged Funds will be sufficient to pay all principal of, premium, if any, and interest on the Bonds to be issued hereunder, as the same become due, and to make all sinking fund, reserve or other payments required by this Resolution. u 0to-8!26-07 7 7 I 2 lAMER rCAS 626 (d) Due to the character of the Series 2015 Bonds, prevailing market conditions, the uncertainty inherent in a competitive bidding process and the recommendations of the Financial Advisor that the sale of the Series 2015 Bonds be by negotiation, the sale of the Series 2015 Bonds on the basis of negotiated sale rather than a public sale by competitive bid is in the best interest of the City and is hereby authorized. SECTION 104. RESOLUTION CONSTITUTES CONTRACT. In consideration of the acceptance of the Bonds authorized to be issued hereunder by those who shall own the same from time to time, this Resolution shall be deemed to be and shall constitute a contract between the City and such Bondholders, and the covenants and agreements herein set forth to be performed by the City shall be for the equal benefit, protection and security of the Owners of any and all of such Bonds, all of which shall be of equal rank and without preference, priority, or distinction of any of the Bonds over any other thereof except as expressly provided therein and herein. IEND OF ARTICLE I] oLo-8t26-0777 I 2 /AM ERICAS t2 627 ARTICLE II AUTHORIZATION, TERMS, EXECUTION AND REGISTRATION OF BONDS SECTION 20r. AUTHORIZATION OF THE SERIES 2015 BONDS. Subject and pursuant to the provisions of this Resolution, Bonds of the City to be known as "City of Miami Beach, Florida Resort Tax Revenue Bonds, Series 2075" or such other designation as shall be set forth in the Mayor's Certificate (the "Series 2015 Bonds"), are hereby authorized to be issued in an aggregate principal amount not to exceed Two Hundred Forty Million Dollars ($240,000,000), for the purpose of providing funds to (i) finance the Series 2015 Project, (ii) fund as necessary the Debt Service Reserve Account and (iii) pay certain costs of issuance of the Series 2015 Bonds. Subject to the limitations contained herein, the Series 2015 Bonds shall be issued in such aggregate amount, shall be dated, shall mature on such dates and in such years, but not later than December 31,2045, and in such amounts, shall be issued as Tax-Exempt Bonds, shall be in the form of Serial Bonds or Term Bonds or a combination thereof, shall have such Interest Payment Dates, shall bear interest at such rates not to exceed the maximum rate permitted by law, shall have such Amortization Requirements, if any, shall be subject to redemption at such times, at such prices and pursuant to such notice provisions, as shall be determined by the City Manager, after consultation with the Chief Financial Officer and the Financial Advisor, and set forth in a Mayor's Certificate. The Commission hereby appoints U.S. Bank National Association, as Registrar and Paying Agent for the Series 2015 Bonds. If the City Manager determines, in reliance upon the recommendations of the Chief Financial Officer and the Financial Advisor, that there is an economic benefit to the City to secure and pay for a Credit Facility and/or a Reserve Account Insurance Policy with respect to all or a portion of the Series 2015 Bonds, the City Manager is authorized to secure a Credit Facility and/or a Reserve Account Insurance Policy with respect to all or a portion of the Series 2015 Bonds. The City Manager is authorized to provide for the payment of any premiums for such Credit Facility and/or Reserve Account Insurance Policy from the proceeds of the Series 2015 Bonds. The Mayor is authorized, after consultation with the City Attorney, to enter into, execute and deliver such agreements as may be necessary to secure such Credit Facility and/or Reserve Account Insurance Policy, the execution and delivery by the Mayor of any such agreements for and on behalf of the City to be conclusive evidence of the City's approval of securing such Credit Facility and/or Reserve Account Insurance Policy and of such agreements. Any agreements with any providers of a Credit Facility and/or Reserve Account Insurance Policy shall supplement and be in addition to the provisions of this Resolution. The Commission hereby approves the distribution of copies of the Preliminary Official Statement with respect to the Series 2015 Bonds (the "Preliminary Official Statement") in substantially the form presented at this meeting with such changes, modifications, insertions, omissions and filling-in of blanks as may be approved by the Mayor, after consultation with the Chief Financial Officer and the City Attorney. The Mayor or his designee, after consultation with the Chief Financial Officer and the City Attomey, is hereby authorized to deem the 0 70 -8126 -07 7 7 I 2 lAM E R r CAS 13 628 Preliminary Official Statement "final" for purposes of Securities and Exchange Commission Rule l5c2-12 (the "Rule") and to execute any certificates in connection with such finding. The Mayor and the City Manager are hereby authorized to execute the Official Statement with respect to the Series 2015 Bonds (the "Official Statement") on behalf of the City, in substantially the form of the draft of the Preliminary Official Statement presented at this meeting, with such changes, modifications, insertions, omissions and filling-in of blanks as may be approved by the Mayor, after consultation with the Chief Financial Officer and the City Attorney, with such execution to be deemed conclusive evidence of the City's approval of the Preliminary Official Statement and the Official Statement. The use of the Preliminary Official Statement and the final Official Statement in the marketing and sale of the Series 2015 Bonds is hereby approved. For the reasons contained in this Resolution, the negotiated sale of the Series 20i5 Bonds to the Underwriters is hereby authorized and approved. The Commission hereby approves the form of the Bond Purchase Agreement (the "Bond Purchase Agreement"), for the purchase of the Series 2015 Bonds by the Underwriters, a copy of which has been presented at this meeting. Upon compliance by the Underwriters with the requirements of Florida Statutes, Section 218.385, the Mayor is hereby authorized to execute the Bond Purchase Agreement in connection with the sale of the Series 2015 Bonds to the Underwriters, in substantially the form presented at this meeting, subject to such changes, modifications, insertions, omissions and filling-in of blanks therein as may be necessary to evidence the terms of the Series 2015 Bonds and such additional changes as may be approved by the City Manager, after consultation with the Chief Financial Officer and the City Attorney. The purchase price (not including original issue premium or original issue discount) at which the Series 2015 Bonds shall be awarded to the Underwriters shall be determined by the City Manager, after consultation with the Chief Financial Officer and the Financial Advisor, but shall not be less than 99o/o of the principal amount of the Series 2015 Bonds (the "Minimum Purchase Price") and at a true interest cost rate ("TIC") not to exceed 6.00% (the "Maximum TIC"). The execution and delivery by the Mayor of the Bond Purchase Agreement for and on behalf of the City shall be deemed conclusive evidence of the approval of the City of any such changes, modifications, insertions, omissions or filling-in of blanks. For the benefit of the Holders and beneficial owners from time to time of the Series 2015 Bonds, the City agrees, in accordance with and as the only obligated person with respect to the Series 2015 Bonds under the Rule, to provide or cause to be provided certain financial information and operating data, financial statements and notices, in such manner, as may be required for purposes of paragraph (b)(5) of the Rule. In order to describe and specify the terms of the City's continuing disclosure agreement, the Chief Financial Officer is hereby authorized and directed to enter into and deliver, in the name and on behalf of the City, a Disclosure Dissemination Agent Agreement (the "Continuing Disclosure Agreement"), with Digital Assurance Certification, L.L.C. ("DAC"), which is hereby appointed as disclosure dissemination agent with respect to the Series 2015 Bonds, in substantially the form presented at the meeting at which this Resolution was considered, subject to such changes, modifications, insertions, omissions and filling-in of blanks therein as may be determined and approved by the Chief Financial Officer, after consultation with the City Attomey. The execution of the Continuing Disclosure Agreement, for and on behalf of the City by the Chief Financial Officer, shall be deemed conclusive evidence of the City's approval of the Continuing Disclosure Agreement. Notwithstanding any other provisions of this Resolution, any failure by the City to comply with t4 010-81.26-077 7 / 2 lAM ERTCAS 629 any provisions of the Continuing Disclosure Agreement shall not constitute a default under this Resolution and the remedies therefor shall be solely as provided in the Continuing Disclosure Agreement. The Chief Financial Officer is further authorized to establish procedures in order to ensure compliance by the City with the Continuing Disclosure Agreement, including the timely provision of information and notices. Prior to making any filing in accordance with such agreement, the Chief Financial Officer may consult with, as appropriate, the City Attorney or Bond Counsel. The Chief Financial Officer, acting in the name and on behalf of the City, shall be entitled to rely upon any legal advice provided by the City Attomey or Bond Counsel in determining whether a filing should be made. SECTION 202. DESCRIPTION OF BONDS. Unless otherwise specified by the City in subsequent proceedings, any Bonds issued pursuant to this Resolution shall be issued in fully registered form and, if the Registrar issues notice of the availability of exchanging registered Bonds for coupon Bonds, in coupon form. If the Registrar receives an opinion of counsel of recognized standing in the field of law relating to municipal bonds to the effect that the issuance of any of the Bonds in coupon form will not adversely affect the exclusion from gross income for Federal income tax purposes of the interest on any Tax-Exempt Bonds, the Registrar may, at the written direction of the City, mail notice to the registered owners of the Bonds of the availability of exchanging registered Bonds for coupon Bonds. Registered Bonds may then be exchanged for an equal aggregate principal amount of coupon Bonds of the same Series, interest rate and maturity of any authorized denomination and coupon Bonds may be exchanged for an equal aggregate principal amount in the manner provided in this Resolution. Unless otherwise specified by the City in subsequent proceedings, the Bonds of a Series shall be dated as determined in a Mayor's Certificate as to the Series 2015 Bonds and by subsequent resolution of the City relating to the issuance of any other Series of Bonds; shall bear interest, which may be fixed or variable, from their date of initial issuance at a rate not exceeding the legal rate per annum, with interest paid to the registered Holder thereof on each Interest Payment Date by the Paying Agent at the address shown on the registration books of the City (held by the Registrar) at the close of business on the 15th day of the calendar month preceding an Interest Payment Date (in each case a "Regular Record Date"), except for (i) Capital Appreciation Bonds which shall bear interest as described under the defined term Accreted Value, payable only upon redemption, acceleration or maturity thereof and (ii) Capital Appreciation and Income Bonds which shall bear interest as described under the defined term Appreciated Value, payable on the amount due at maturity but only from and after the Interest Commencement Date; shall be in the denomination of $5,000 or any integral multiple thereof, except for (i) Capital Appreciation Bonds, which may be initially issued in any denomination so long as their Accreted Value at maturity shall be $5,000 or any integral multiple thereof, (ii) Capital Appreciation and Income Bonds, which may be initially issued in any denomination so long as their Appreciated Value at the Interest Commencement Date shall be $5,000 or any integral multiple thereof and (iii) any other Series of Bonds as provided for in a subsequent resolution of the City relating to any other Series of Bonds; and shall mature on such dates, in such years and in such amounts, as determined in a Mayor's Certificate as to the Series 2015 Bonds and as provided for by subsequent resolution of the City relating to any other Series of Bonds. Notwithstanding anl.thing in this paragraph to the contrary, any interest not punctually l5 0 t0-8L26 -07 7 7 / 2 lA M E R I CAS 630 paid on a Regular Record Date shall forthwith cease to be payable to the registered Holder on such Regular Record Date and may be paid at the close of business on a special record date for the payment of such defaulted interest to be fixed by the Paying Agent, notice of which shall be mailed, first-class postage prepaid, not less than 10 days prior to such special record date to such registered Holder. The principal of and redemption premium, if any, on the Bonds shall be payable upon presentation and surrender at the designated office of the Paying Agent. Interest on the Bonds shall be paid by check or draft drawn upon the Paying Agent and mailed to the registered owners of the Bonds on each Interest Payment Date; provided, however, that (i) if ownership of Bonds is maintained in a book-entry only system by a securities depository, such payment may be made by automatic funds transfer to the securities depository or its nominee or (ii) if such Bonds are not maintained in a book-entry only system by a securities depository, upon written request of the Holder of $1,000,000 or more in principal amount of Bonds, such payments may be made by wire transfer to the bank and bank account specified in writing by such Holder (such bank being a bank within the continental United States), if such Holder has advanced to the Paying Agent the amount necessary to pay the cost of such wire transfer or authorized the Paying Agent to deduct the cost of such wire transfer from the payment due to such Holder. The Bonds issued hereunder may be Serial Bonds or Term Bonds and may be Variable Rate Bonds, Capital Appreciation Bonds, Capital Appreciation and Income Bonds, Extendible Maturity Bonds, Balloon Bonds, Interim Bonds, Put Bonds and such other types of bonds as may be marketable from time to time, including, without limitation, Taxable Bonds and Bonds issued in book-entry form, as determined by subsequent proceedings of the City. SECTION 203. REDEMPTION PROVISIONS. The Bonds of each Series, other than the Series 2015 Bonds, may be subject to redemption prior to maturity at such times, at such redemption prices and upon such terms in addition to the terms contained in this Resolution as may be determined by subsequent resolutions of the City, which subsequent resolutions may contain redemption notice provisions. The redemption provisions for the Series 2015 Bonds shall be established in the manner described in the second paragraph of Section 201 of this Resolution. Unless otherwise provided in a supplemental resolution relating to any Series of Bonds with respect to such Bonds, at least thirty (30), but not more than sixty (60), days before the redemption date, a notice of any such redemption, either in whole or in part, signed by the Chief Financial Officer, (a) shall be filed by the City with the Registrar and (b) shall be mailed by the Registrar, first class mail, postage prepaid, to all registered owners of Bonds to be redeemed at their addresses as they appear on the registration books hereinabove provided for, but failure to mail any such notice to any registered owner shall not affect the validity of the proceedings for such redemption. Each such notice shall specify the redemption date and the place or places where amounts due upon such redemption will be payable and, if less than all of the Bonds are to be redeemed, the numbers or other distinguishing marks of such Bonds to be redeemed in part and the respective portions thereof to be redeemed. Subject to the next succeeding paragraph, such notice shall further state that on such date there shall become due and payable upon each of the Bonds to be redeemed the redemption price or the specified portions thereof in the case of Bonds to be redeemed in part only, together with interest accrued to the redemption date, and 0L0-8126-077 7 / 2 IAM ERTCAS 16 631 that from and after such date interest thereon shall cease to accrue and be payable on such Bonds or portions thereof so redeemed. In the case of an optional redemption of Bonds, the redemption notice may state that (a) it is conditioned upon the deposit of moneys with the Registrar or with a bank, trust company or other appropriate fiduciary institution acting as escrow agent (the "escrow agent"), in amounts necessary to effect the redemption, no later than the redemption date, or (b) the City retains the right to rescind such notice on or prior to the scheduled redemption date (in either case, a "Conditional Redemption"), and such notice and optional redemption shall be of no effect if such moneys are not so deposited or if the notice is rescinded as described in this Section. Any such notice of Conditional Redemption shall be captioned "Conditional Notice of Redemption." Any Conditional Redemption may be rescinded at any time prior to the redemption date if the City delivers a written direction to the Registrar directing the Registrar to rescind the redemption notice. The Registrar shall give prompt notice of such rescission to the affected Bondholders. Any Bonds subject to Conditional Redemption where redemption has been rescinded shall remain Outstanding, and neither the rescission nor the failure by the City to make such moneys available shall constitute a default under this Resolution. Notice having been given in the manner and under the conditions described in this Section, and with respect to a Conditional Redemption, the Conditional Redemption not having been rescinded, the Bonds or portions of Bonds so called for redemption shall, on the redemption date designated in such notice, become and be due and payable at the redemption price provided fbr redemption for such Bonds or portions of Bonds on such date. On the date so designated for redemption, moneys for payment of the redemption price being held in separate accounts by the Paying Agent in trust for the registered owners of the Bonds or portions thereof to be redeemed, all as provided in this Resolution, interest on the Bonds or portions of Bonds so called for redemption shall cease to accrue, such Bonds and portions of Bonds shall cease to be entitled to any lien, benef,rt or security under this Resolution and shall be deemed paid hereunder, and the registered owners of such Bonds or portions of Bonds shall have no right in respect thereof except to receive payment of the redemption price thereof and to receive Bonds for any unredeemed portions of the Bonds. Upon the payment of the redemption price of Bonds being redeemed, each check or other transfer of funds issued for such purpose shall bear a description of the issue and maturity of the Bonds being redeemed with the proceeds of such check or other transfer. The provisions concerning the manner of giving notice of redemption may be changed or varied or supplemented in any supplemental resolution applicable to any Series of Bonds issued under this Resolution for the purpose of complying with any governmental or industry standards from time to time in effect. SECTION 204. EXECUTION OF BONDS. The Bonds shall be executed in the name of the City by the Mayor, and the seal of the City or a facsimile thereof shall be affixed thereto or imprinted or reproduced thereon and attested by the City Clerk, either manually or with their facsimile signatures. In case any one or more of the officers who shall have signed or sealed any of the Bonds shall cease to be such officer before the Bonds so signed and sealed shall have been actually sold and delivered, such Bonds may nevertheless be sold and delivered as herein 0L0 -8 L26-07 7 7 / 2 IAM E R rCAS t7 632 provided and may be issued as if the person who signed and sealed such Bonds had not ceased to hold such office. Any Bond may be signed and sealed on behalf of the City by such person as at the actual time of the execution of such Bond shall hold the proper office, although at the date of such Bonds such person may not have held such office or may not have been so authorized. The Bonds of each Series shall bear thereon a certificate of authentication, in the form set forth in Exhibit B hereto, executed manually by the Registrar. Only such Bonds as shall bear thereon such certificate of authentication shall be entitled to any right or benefit under this Resolution and no Bond shall be valid or obligatory for any purpose until such certificate of authentication shall have been duly executed by the Registrar. Such certificate of the Registrar upon any Bond executed on behalf of the City shall be conclusive evidence that the Bond so authenticated has been duly authenticated and delivered under this Resolution and that the Holder thereof is entitled to the benefits of this Resolution. If the Bonds of a Series have been validated, the validation certificate on the back of each of the Bonds of such Series shall be signed with the facsimile signatures of the Mayor and City Clerk, and the City may adopt and use for that purpose the facsimile signature of any person who shall have been such Mayor and City Clerk at any time on or after the date of the Bonds, notwithstanding that he may have ceased to be such Mayor and City Clerk at the time when said Bonds shall be actually delivered. SECTION2O5. NEGOTIABILITY, REGISTRATION AND CANCELLATION. At the option of the registered Holder thereof and upon surrender thereof at the designated corporate trust office of the Registrar with a written instrument of transfer satisfactory to the Registrar duly executed by the registered Holder or his duly authorized attorney and upon payment by such Holder of any charges which the Registrar or the City may make as provided in this Section, the Bonds may be exchanged for Bonds of the same aggregate principal amount of the same Series, interest rate and maturity of any other authorized denominations. The Registrar shall keep books for the registration of Bonds and for the registration of transfers of Bonds. The Bonds shall be transferable by the Holder thereof in person or by his attorney duly authorized in writing only upon the books of the City kept by the Registrar and only upon surrender thereof together with a written instrument of transfer satisfactory to the Registrar duly executed by the Holder or his duly authorized attorney. Upon the transfer of any such Bond, the City shall cause to be issued in the name of the transferee a new Bond or Bonds of the same aggregate principal amount of the same Series, interest rate and maturity of any other authorized denominations. The City, the Paying Agent and the Registrar may deem and treat the person in whose name any Bond shall be registered upon the books kept by the Registrar as the absolute Holder of such Bond, whether such Bond shall be overdue or not, for the purpose of receiving payment of, or on account of, the principal of, premium, if any, and interest on such Bond as the same becomes due and for all other purposes. All such payments so made to any such Holder or upon his order shall be valid and effectual to satisfy and discharge the liability upon such Bond to the extent of the sum or sums so paid, and neither the City, the Paying Agent nor the Registrar shall be affected by any notice to the contrary. In all cases in which the privilege of exchanging Bonds or transferring Bonds exercised, the City shall execute and the Registrar shall authenticate and deliver Bonds is in 0 70-8126-07 7 7 I 2 lA M E R I CAS 18 633 accordance with the provisions of this Resolution. All Bonds surrendered in any such exchanges or transfers shall forthwith be delivered to the Registrar and cancelled by the Registrar in the manner provided in this Section. There shall be no charge for any such exchange or transfer of Bonds, but the City or the Registrar may require the payment of a sum sufficient to pay any tax, fee or other governmental charge required to be paid with respect to such exchange or transfer. Neither the City nor the Registrar shall be required (a) to transfer or exchange Bonds of any Series for a period of 15 days next preceding any selection of Bonds of such Series to be redeemed or thereafter until after the mailing of any notice of redemption; or (b) to transfer or exchange any Bonds of any Series called for redemption. Except as may otherwise be provided with respect to Put Bonds in the proceedings of the City providing for the issuance thereof, all Bonds paid or redeemed, either at or before maturity shall be delivered to the Paying Agent when such payment or redemption is made, and such Bonds, together with all Bonds purchased by the City, shall thereupon be promptly cancelled. Bonds so cancelled may at any time be destroyed by the Paying Agent, who shall execute a certification of destruction in duplicate by the signature of one of its authorized officers describing the Bonds so destroyed, and one executed certificate shall be filed with the City and the other executed certificate shall be retained by the Paying Agent. SECTION 206. BONDS MUTILATED, DESTROYED, STOLEN OR LOST. In case any Bond shall become mutilated, destroyed, stolen or lost, the City may execute and the Registrar shall authenticate and deliver a new Bond of like Series, date, maturity, denomination and interest rate as the Bond so mutilated, destroyed, stolen or lost; provided that, in the case of any mutilated Bond, such mutilated Bond shall first be surrendered to the City and, in the case of any lost, stolen or destroyed Bond, there shall first be furnished to the City and the Registrar evidence of such loss, theft, or destruction satisfactory to the City and the Registrar, together with indemnity satisfactory to them. In the event any such Bond shall be about to mature or have matured or have been called for redemption, instead of issuing a duplicate Bond, the City may direct the Paying Agent to pay the same without surrender thereof. The City and Registrar may charge the Holder of such Bonds their reasonable fees and expenses in connection with this transaction. Any Bond surrendered for replacement shall be cancelled in the same manner as provided in Section 205 hereof. Any such duplicate Bonds issued pursuant to this Section shall constitute additional contractual obligations on the part of the City, whether or not the lost, stolen or destroyed Bonds be at any time found by anyone, and such duplicate Bonds shall be entitled to equal and proportionate benefits and rights as to lien on and source and security for payment from the Pledged Funds, with all other Bonds issued hereunder. SECTION 207. PREPARATION OF DEFINITIVE BONDS; TEMPORARY BONDS. Unless otherwise specified by the City in subsequent proceedings, the definitive Bonds of each Series shall be lithographed, printed or typewritten. Until the definitive Bonds are prepared, the Mayor and City Clerk may execute and the Registrar may authenticate, in the same manner as is provided in Section204, and deliver, in lieu of definitive Bonds, but subject to the same provisions, limitations and conditions as the definitive Bonds, one or more printed, lithographed or typewritten temporary fully registered Bonds, substantially of the tenor of the definitive Bonds in lieu of which such temporary Bond or Bonds are issued, in authorized 070 -8726-07 7 7 / 2 lA M E R r CAS 19 634 denominations or any whole multiples thereof, and with such omissions, insertions and variations as may be appropriate to such temporary Bonds. The City at its own expense shall prepare and execute and, upon the surrender at the designated corporate trust office of the Registrar of such temporary Bonds for which no payment or only partial payment has been provided, the Registrar shall authenticate and, without charge to the Holder thereof, deliver in exchange therefor, at the principal corporate trust office of the Registrar, definitive Bonds of the same aggregate principal amount, Series and maturity as the temporary Bonds surrendered. Until so exchanged, the temporary Bonds shall in all respects be entitled to the same benefits and security as definitive Bonds issued pursuant to this Resolution. SECTION 208. FORM OF BONDS. The text of the Bonds shall be of the tenor set forth in Exhibit B to this Resolution, with such changes, modifications, insertions, omissions and filling-in of blanks as may be necessary and desirable and authorized or permitted by this Resolution or a Mayor's Certificate. SECTION 209. BOOK.ENTRY ONLY SYSTEM FOR THE BONDS; QUALIFICATION FOR THE DEPOSITORY TRUST COMPANY. The Series 2015 Bonds shall be issued, and any future Series of Bonds may be issued, as uncertificated securities through the book-entry only system maintained by The Depository Trust Company, New York, New York ("DTC") or, with respect to any Series of Bonds other than the Series 2015 Bonds, such other securities depository as may be selected by the City. The City, the Registrar and the Paying Agent are hereby authorized to take such actions as may be necessary to qualify the Bonds for deposit with DTC, including but not limited to those actions as may be set forth in a letter of representations with DTC, the execution and delivery of which with respect to the Series 2015 Bonds by the Mayor or the City Manager is hereby authorized. IEND OF ARTICLE II] 0 70 -8126-077 7 / 2 lA M E R r CAS 20 635 ARTICLE III COVENANTS, FUNDS AND APPLICATION THEREOF SECTION 301. BONDS NOT TO BE INDEBTEDNESS OF THE CITY. The Bonds shall not be and shall not constitute an indebtedness of the City, within the meaning of any constitutional, statutory or charter provisions or limitations; but shall be payable solely, as provided in this Resolution, from the Pledged Funds. No holder or holders of any Bonds issued hereunder shall ever have the right to compel the exercise of the ad valorem taxing power of the City, or taxation in any form of any real or personal property therein, or the application of any other funds of the City to pay the Bonds or the interest thereon or the making of any sinking fund or reserve payments provided for herein. SECTION 302. BONDS SECURED BY PLEDGE OF PLEDGED FUNDS. The payment of the principal of, interest and premium, if any, on all of the Bonds issued hereunder and any additional parity Bonds hereafter issued, as provided herein, shall be secured forthwith equally and ratably by a first lien on and pledge of the Pledged Funds. The Resort Tax Revenues in an amount sufficient to pay the principal of and interest on the Bonds herein authorized and to make the payments into the Sinking Fund (hereinafter created and established) and all other payments provided for in this Resolution, as well as moneys held in the funds and accounts created under this resolution (other than the Rebate Fund), are hereby irrevocably pledged to the payment of the principal of and interest on the Bonds authorized herein, and other payments provided for herein, as the same become due and payable. The Bonds and the obligation evidenced thereby shall not constitute a lien upon any property of or in the City, but shall constitute a lien only on the Pledged Funds all in the manner provided in this Resolution. SECTION 303. APPLICATION OF BOND PROCEEDS; CONSTRUCTION FUND; COST OF ISSUANCE FUND. (a) All moneys received by the City from the sale of the Series 2015 Bonds issued pursuant to this Resolution, together with other moneys lawfully available therefor, if any, shall be disbursed as provided in the Mayor's Certificate. (b) All moneys received by the City from the sale of any Series of Bonds, other than the Series 2015 Bonds, shall be disbursed in accordance with the provisions of a subsequent resolution of the Commission relating to such Series of Bonds. (c) There is hereby created and established a special fund designated as the "Construction Fund", which fund shall be held and administered by the City. There shall be created separate accounts within the Construction Fund for the deposit of proceeds of each Series of Bonds and other available moneys to fund projects being funded from proceeds of such Series of Bonds and other available moneys. Proceeds and other moneys on deposit in the Construction Fund shall be disbursed by the City to pay costs of projects for which the applicable Series of Bonds was issued, including, but not limited to, the payment of caprtahzed interest on such Bonds in such amounts as the City shall determine to be appropriate. If for any reason the moneys in the Construction Fund, or any part thereof including any investment earnings on or0-8t26-o777 /2/AM ER rCAS 2l 636 deposit therein, are not necessary for, or are not applied to the purposes provided in this Resolution or a supplemental resolution relating to a Series of Bonds for the Construction Fund, then such unapplied proceeds, upon certification of a duly authorized ofhcer of the City that such surplus proceeds are not needed for the purposes of the Construction Fund, shall be disbursed in the following order: First, to the Debt Service Reserve Account, hereinafter created and established, to the full extent necessary to make the amount then on deposit therein equal to the Reserve Account Requirement, as applicable, on the Bonds then Outstanding. Second, the balance, if any, to the redemption or purchase or payment of principal of Outstanding Bonds or for any other lawful purpose. Moneys on deposit in the Construction Fund may be invested and reinvested to the fullest extent practicable in Permitted Investments maturing not later than such date or dates on which such moneys will be needed for the purposes of the Construction Fund. The earnings and investment income derived from the moneys and investments on deposit in the Construction Fund shall be deposited and maintained in the Construction Fund and used for the purposes thereof. (d) There is hereby created and established a special fund designated as the "Cost of Issuance Fund", which fund shall be held and administered by the City. There shall be created separate accounts within the Cost of Issuance Fund for the deposit of proceeds of each Series of Bonds to pay the costs of issuance of such Series of Bonds as the City shall determine are appropriate. (e) The proceeds of the sale of the Bonds shall be and constitute trust funds for the purposes hereinabove provided and there is hereby created a lien upon such moneys, until so applied, in favor of the holders of said Bonds. SECTION 304. COVENANTS OF THE CITY. The City hereby covenants and agrees with the holders of any and all of the Bonds issued pursuant to this Resolution as follows: A. TAX COVENANTS. (1) The City will not take any action or omit to take any action which action or omission, if reasonably expected on the date of initial issuance and delivery of the Bonds, would result in inclusion in gross income for Federal income tax purposes under Section 103(a) of the Code, of interest on Tax-Exempt Bonds. Particularly, the City will not take any action or omit to take any action, which action or omission, if reasonably expected on the date of the initial issuance and delivery of the Tax-Exempt Bonds, would have caused any of the Tax- Exempt Bonds to be "arbitrage bonds" within the meaning of Section 148 of the Code. (2) The City shall comply with the arbitrage rebate covenants as provided in Section 304(E) hereof. B. LEVY AND COLLECTION OF RESORT TAX. The City does fuither hereby covenant and agree that as long as any of the principal of or interest on any Series of Bonds 0Lo-8t26-0777 /2 /AM ERTCAS 22 637 issued pursuant to this Resolution is unpaid, or payment thereof not duly provided for, it will not repeal the Miami Beach City Code provisions pursuant to which the Resort Tax is levied, will not reduce the rates of the Resort Tax, or amend or modify said City Code provisions, in any manner so as to impair or adversely affect the power and obligation of the City to levy and collect the Resort Tax, or impair or adversely affect in any manner the pledge of the Pledged Funds made herein, or the rights of holders of Bonds issued pursuant to this Resolution, and the City shall be unconditionally and irrevocably obligated, as long as any of the Bonds, or interest thereon, are Outstanding and unpaid, to levy and collect the Resort Tax at not less than the rates being levied by the City on the date of issuance of the Series 2015 Bonds, to the full extent necessary to pay the principal of and interest on the Bonds and any other payments provided herein. C. RESORT TAX FUND. As soon as the same are received by the City, all of the Resort Tax Revenues shall be forthwith deposited in a special fund designated as the "Resort Tax Fund". The Resort Tax Fund shall constitute a trust fund for the purposes provided in this Resolution and shall be held and administered by the City separate and distinct from all other funds of the City and used only for the purposes and in the manner provided in this Resolution. D. DISPOSITION OF RESORT TAX REVENUES. There is hereby created and established the "Resort Tax Sinking Fund" (hereinafter referred to as the "Sinking Fund"). There are also hereby created four (4) separate accounts in the Sinking Fund to be known as the "Interest Account," the "Principal Account," the "Bond Redemption Account" and the "Debt Service Reserve Account." The Resort Tax Fund and the Sinking Fund shall be held and administered by the City. All Resort Tax Revenues at any time on deposit in the Resort Tax Fund shall be disposed of only in the following manner: (1) Resort Tax Revenues shall first be used, to the full extent necessary, for deposit into the Interest Account in the Sinking Fund, on the fifteenth (15th) day of each month, beginning with the fifteenth (l5th) day of the first full calendar month following the date on which any or all of the Bonds are delivered to the purchaser thereof, of such sums as shall be sufficient to pay one-sixth (l/6th) of the interest becoming due on the Bonds on the next semi- annual Interest Payment Date; provided, however, that such monthly deposits for interest shall not be required to be made into the Interest Account to the extent that money on deposit therein is sufficient for such purpose and, provided further, that in the event the City has issued additional parity Variable Rate Bonds or entered into any Interest Rate Swaps pursuant to the provisions of this Resolution, Resort Tax Revenues shall be deposited at such other or additional times and amounts as necessary to pay the interest becoming due on the Variable Rate Bonds on the next Interest Payment Date or make the payments due under the Interest Rate Swaps on a parity with interest due on the Bonds, all in the manner provided in the applicable supplemental resolution. The City shall, on each Interest Payment Date, transfer to the Paying Agent moneys in an amount equal to the interest due on such Interest Payment Date or shall advise the Paying Agent of the amount of any deficiency in the amount so transferred so that the Paying Agent may give appropriate notice required to provide for the payment of such deficiency from 0L0 -8726-07 7 7 I 2 / AM E R rCAS L) 638 any Reserve Account Insurance Policy or Reserve Account Letter of Credit on deposit in the Debt Service Reserve Account. In the event that the period to elapse between the date of the delivery of the Bonds and the next semi-annual Interest Payment Date will be other than six (6) months, then such monthly payments shall be adjusted to provide the required interest amount becoming due and payable on the next Interest Payment Date. (2) (a) Resort Tax Revenues shall next be used, to the full extent necessary, for deposit in the Principal Account in the Sinking Fund, on the fifteenth (15th) day of each month in each year, of one-sixth (1/6th) of the next maturing principal amount of Serial Bonds which will mature and become due on such semi-annual maturity dates and one-twelfth (1ll2th) of the next maturing principal amount of Serial Bonds which will mature and become due on such annual maturity dates, beginning on such dates, as shall hereafter be determined by subsequent proceedings of the City; provided, however, that such monthly deposits for principal shall not be required to be made into the Principal Account to the extent that money on deposit therein is sufficient for such purpose. The City shall, on the business day prior to each principal payment date, transfer to the Paying Agent moneys in an amount equal to the principal due on such principal payment date or shall advise the Paying Agent of the amount of any deficiency in the amount so transferred so that the Paying Agent may give appropriate notice required to provide for the payment of such deficiency from any Reserve Account Insurance Policy or Reserve Account Letter of Credit on deposit in the Debt Service Reserve Account. In the event the period to elapse between the date of delivery of the Bonds and the next principal payment date will be other than six (6) months, in the case of Serial Bonds which mature semi-annually, or twelve (12) months, in the case of Serial Bonds which mature annually, then such monthly payments shall be increased or decreased, as appropriate, in sufficient amounts to provide the required principal amount maturing on the next principal payment date. Any monthly payment of Resort Tax Revenues to be deposited as set forth above for the pu{pose of meeting payments of principal of the Bonds, shall be adjusted, as appropriate, to reflect the frequency of principal payments applicable to such Series. (b) Resort Tax Revenues shall next be used, to the full extent necessary, for deposit into the Bond Redemption Account in the Sinking Fund on the hfteenth (15th) day of each month in each year, beginning on such date, of such Amortrzatron Requirements as may be required for the payment of the Term Bonds payable from the Bond Redemption Account, as shall hereafter be determined by subsequent proceedings of the City. The moneys in the Bond Redemption Account shall be used solely for the purchase or redemption of the Term Bonds payable therefrom. The City may at any time purchase any of said Term Bonds at prices not greater than the then redemption price of said Term Bonds. If the Term Bonds are not then redeemable, the City may purchase said Term Bonds at prices not greater than the redemption price of such Term Bonds on the next ensuing redemption date. The City shall be mandatorily obligated to use any moneys in the Bond Redemption Account for the redemption prior to maturity of such Term Bonds in such manner and at such times as shall be 010-8L26-0777 I 2 IAM ERICAS 24 639 determined by subsequent proceedings of the City. If, by the application of moneys in the Bond Redemption Account, the City shall purchase or call for redemption in any year Term Bonds in excess of the Amortization Requirements for such year, such excess of Term Bonds so purchased or redeemed shall be credited in such manner and at such times as the Chief Financial Officer shall determine over the remaining payment dates. No distinction or preference shall exist in the use of the moneys on deposit in the Resort Tax Fund for payment into the Interest Account, the Principal Account and the Bond Redemption Account, such accounts being on a parity with each other as to payment from the Resort Tax Fund. (3) Resort Tax Revenues shall next be used, to the full extent necessary, for deposit into the Debt Service Reserve Account on the fifteenth (15th) day of each month in each year, beginning with the fifteenth (15th) day of the first full calendar month following the date on which any or all of the Bonds issued hereunder are delivered to the purchaser thereof, such sums as shall be at least sufficient to pay an amount equal to one-sixtieth (l/60th) of the difference between the amount on deposit in the Debt Service Reserve Account (including any Reserve Account Insurance Policy or Reserve Account Letter of Credit) and the applicable Reserve Account Requirement for the Bonds Outstanding, and, provided, further, that no payments shall be required to be made into the Debt Service Reserve Account whenever and as long as the amount deposited therein (including any Reserve Account Insurance Policy or Reserve Account Letter of Credit) shall be equal to the applicable Reserve Account Requirement for the Bonds Outstanding. Notwithstanding the foregoing provisions, in lieu of or in substitute for the required deposits of Resort Tax Revenues (including existing deposits of Resort Tax Revenues) into the Debt Service Reserve Account, the City may cause to be deposited into the Debt Service Reserve Account a Reserve Account Insurance Policy or a Reserve Account Letter of Credit for the benefit of the holders of the Bonds Outstanding in an amount equal to the difference between the applicable Reserve Account Requirement for the Bonds Outstanding and the sums then on deposit in the Debt Service Reserve Account, if any, which Reserve Account Insurance Policy or Reserve Account Letter of Credit shall be payable or available to be drawn upon, as the case may be, (upon the giving of notice as required thereunder) on any Interest Payment Date on which a deficiency exists which cannot be cured by moneys in any other fund or account held pursuant to this Resolution and available for such purpose. If a disbursement is made under the Reserve Account Insurance Policy or the Reserve Account Letter of Credit, the City shall be obligated to either reinstate the maximum limits of such Reserve Account Insurance Policy or Reserve Account Letter of Credit immediately following such disbursement equal to the applicable Reserve Account Requirement for the Bonds Outstanding, or to deposit into the Debt Service Reserve Account from the Resort Tax Revenues, as herein provided, funds in the amount of the disbursements made under such Reserve Account Insurance Policy or Reserve Account Letter of Credit, or a combination of such alternatives as shall equal the applicable Reserve Account Requirement for the Bonds Outstanding. Moneys in the Debt Service Reserve Account shall be used only for the purpose of making payments of principal of and interest on the Bonds when the moneys in the Resort Tax o70-8L26-O77 7 / 2 lAM E R rCAS 25 640 Fund or any other fund or account held pursuant to this Resolution and available for such purpose are insufficient therefor. In the event that any moneys shall be withdrawn from the Debt Service Reserve Account for payments into the Interest Account, Principal Account and Bond Redemption Account, such withdrawals shall be subsequently restored in the manner described in the first paragraph of this clause (3), from the first Resort Tax Revenues or funds available after all required payments have been made into the Interest Account, Principal Account and Bond Redemption Account, including any deficiencies for prior payments unless restored by the reinstatement of the maximum limits of a Reserve Account Insurance Policy or Reserye Account Letter of Credit. Any moneys in the Debt Service Reserve Account in excess of the applicable Reserve Account Requirement for the Bonds Outstanding may, in the discretion of the City, be transferred to and deposited in the Interest Account, the Principal Account or the Bond Redemption Account as the City at its option may determine. The Debt Service Reserve Account shall be valued at least once in each Fiscal Year and the value of securities on deposit therein shall be the lower of par, or if purchased at other than par, amortized value. Amortized value, when used with respect to securities purchased at a premium above or a discount below par, shall mean the value at any given date obtained by dividing the total premium or discount at which such securities were purchased by the number of interest payment dates remaining to maturity on such securities after such purchase and by multiplying the amount so calculated by the number of interest payment dates having passed since the date of purchase; and (i) in the case of securities purchased at a premium, by deducting the product thus obtained from the purchase price, and (ii) in the case of securities purchased at a discount, by adding the product thus obtained to the purchase price. (4) Resort Tax Revenues shall next be used for the payment of any subordinated obligations hereafter issued by the City in accordance with Section 30a(G) of this Resolution, which subordinate obligations shall have such lien on the Resort Tax Revenues as the City shall determine in the proceedings authorizing the issuance of such subordinated obligations. (5) Resort Tax Revenues shall next be used to make payments required under Interest Rate Swap affangements which are not payable from amounts deposited therefor pursuant to Section 304(DXl). (6) Thereafter, the balance of any Resort Tax Revenues remaining in said Resort Tax Fund shall, subject to Section 304(,4.), be used by the City for any lawful pu{poses; provided, however, that none of such Resort Tax Revenues shall ever be used for the purposes provided in this paragraph (6) unless all payments required in paragraphs (1) through (5) above, including any deficiencies for prior payments and any amount due to the issuer of any Reserve Account Insurance Policy or Reserve Account Letter of Credit, have been made in full to the date of such use. Notwithstanding anlthing in Section 304(DX1) and (2) to the contrary, failure to make the scheduled payments specified therein shall not constitute a breach of the City's obligations 26 ot) -8t26-o7 7 7 I 2 lA M ER r CAS 641 under this Resolution so long as, on the date that any interest or principal payment is due on the Bonds, monies sufficient to make such payment are on deposit in the Interest Account, Principal Account or Bond Redemption Account, as the case may be. If the amounts deposited in any month pursuant to such sections shall be less than the amounts required, the requirement shall be cumulative and the amount of the dehciency in any month shall be added to the amount otherwise required to be deposited in each month thereafter until such time as all such deficiencies have been made up. Notwithstanding the foregoing or any other provision herein to the contrary, if any amount applied to the payment of principal of and premium, if any, and interest on the Bonds that would have been paid from an account in the Sinking Fund, is paid instead under a Credit Facility or a Liquidity Facility, amounts deposited in such relevant account may be paid, to the extent required, to the issuer of the Credit Facility or Liquidity Facility having theretofore made said corresponding payment. E. REBATE FUND. There is hereby created and established the "Rebate Fund," which fund shall be maintained separate and apart from all other funds and accounts held by the City. Notwithstanding anything in this Resolution to the contrary, the City shall transfer or cause to be transferred from Pledged Funds to the Rebate Fund the amounts required to be transferred in order to comply with the arbitrage rebate covenants contained in a certificate to be executed and delivered by the City in connection with the issuance of each Series of Tax-Exempt Bonds. The City shall make or cause to be made payments from the Rebate Fund of amounts required to be deposited therein to the United States of America in the amounts and at the times required by such arbitrage rebate covenants. The City covenants for the benefit of the holders of Tax- Exempt Bonds that it will comply with the requirements of the arbitrage rebate covenants. There shall be excluded from the pledge and lien of this Resolution the Rebate Fund, together with all moneys and securities from time to time held therein and all investment earnings derived therefrom. The City shall not be required to comply with the requirements of this Section 304(E) in the event that the City obtains an opinion of Bond Counsel that (i) such compliance is not required in order to maintain the exclusion from gross income for Federal income tax purposes of interest on Tax-Exempt Bonds and/or (ii) compliance with some other requirement is necessary to maintain the exclusion from gross income for Federal income tax purposes of interest on Tax-Exempt Bonds. F. INVESTMENT OF FUNDS. The Resort Tax Fund, the Sinking Fund, including the Interest Account, Principal Account, Bond Redemption Account and Debt Service Reserve Account and the Cost of Issuance Fund and all other special funds (other than the Rebate Fund) created and established by this Resolution shall constitute trust funds in favor of the Bondholders and shall be invested at the direction of the City as provided in this Section 304(F). Moneys on deposit in the Resort Tax Fund, Interest Account, Principal Account, Bond Redemption Account, Cost of Issuance Fund and Rebate Fund may be invested in Permitted Investments maturing not later than the dates on which such moneys will be needed for the purposes of such fund or account. Moneys on deposit in the Debt Service Reserve Account may be invested in Permitted Investments maturing not later than the final maturity of any of the Bonds. 010-8126-0777 /2/AMERTCAS 27 642 All income and earnings received from the investment and reinvestment of moneys in the Interest Account, the Principal Account and the Bond Redemption Account in the Sinking Fund shall be retained in the respective accounts and applied as a credit against the obligation of the City to transfer moneys from the Resort Tax Fund to such accounts pursuant to Section 304(DX1) and Section 304(D)(2Xa) and Section 304(DX2Xb) of this Resolution, respectively. All income and earnings received from the investment and reinvestment of moneys in the Debt Service Reserve Account in the Sinking Fund shall be retained in the Debt Service Reserve Account and applied as a credit against the obligation of the City to transfer moneys from the Resort Tax Fund to such account, unless the amount in such account shall exceed the applicable Reserve Account Requirement, in which event such excess may be applied in the manner set forth for excess amounts in the Debt Service Reserve Account, as described in Section 304(D)(3). All income and earnings received from the investment and reinvestment of moneys in the Cost of Issuance Fund shall be transferred to the Resort Tax Fund. All income and earnings received from the investment and reinvestment of moneys in the Rebate Fund shall be retained therein. For the purpose of investing or reinvesting, the City may commingle moneys in the funds and accounts created and established hereunder (other than the Rebate Fund) in order to achieve greater investment income; provided that the City shall separately account for the amounts so commingled. The amounts required to be accounted for in each of the funds and accounts designated herein (other than the Rebate Fund) may be deposited in a single bank account provided that adequate accounting procedures are maintained to reflect and control the restricted allocations of the amounts on deposit therein for the various purposes of such funds and accounts as herein provided. The designation and establishment of funds and accounts in and by this Resolution (other than the Rebate Fund) shall not be construed to require the establishment of any completely independent funds and accounts but rather is intended solely to constitute an allocation of certain revenues and assets for certain purposes and to establish such certain priorities for application ofcertain revenues and assets as herein provided. G. ISSUANCE OF OTHER OBLIGATIONS PAYABLE OUT OF RESORT TAX REVENUES. Except upon the conditions and in the manner provided in this Resolution, the City will not issue any other obligations payable from the Pledged Funds, nor voluntarily create or cause to be created any debt, lien, pledge, assignment, encumbrance or any other charge having priority to or being on a parity with the lien of the Bonds issued pursuant to this Resolution and the interest thereon, upon any of the Pledged Funds; provided that the City may enter into agreements with issuers of Credit Facilities and Liquidity Facilities which involve liens on Resort Tax Revenues on a parity with that of the Series of Bonds or portion thereof which is supported by such Credit Facilities or Liquidity Facilities and may enter into Interest Rate Swaps which involve a lien on the Resort Tax Revenues on a parity with the lien of the Bonds. Any other obligations in addition to the Bonds authorized by this Resolution or additional parity Bonds issued under the terms, restrictions and conditions contained in this Resolution, shall provide that such obligations are junior, inferior and subordinate in all respects 0r0 -$.26 -o7 7 7 / 2 lA M E R r CAS 28 643 to the Bonds issued pursuant to this Resolution as to lien on and source and security for payment from the Resort Tax Revenues and in all other respects. H. ISSUANCE OF ADDITIONAL PARITY BONDS. No additional parity Bonds, as in this subsection defined, payable on a parity with Bonds issued pursuant to this Resolution out of Pledged Funds shall be issued after the issuance of any Bonds pursuant to this Resolution unless the following, among other conditions, are complied with: (1) The City must be current in all deposits into the various funds and accounts and all payments theretofore required to have been deposited or made by it under the provisions of this Resolution and the City must be currently in compliance with the covenants and provisions of this Resolution and any supplemental resolution hereafter adopted for the issuance of additional parity Bonds; unless upon the issuance of such additional parity Bonds the City will be in compliance with all such covenants and provisions. (2) The amount of the Resort Tax Revenues during the immediately preceding Fiscal Year or any twelve (12) consecutive months selected by the City of the eighteen (18) months immediately preceding the issuance of said additional parity Bonds, as certified by an independent certified public accountant, were at least equal to one hundred fifty percent (150%) of the Maximum Annual Debt Service on (i) the Bonds originally issued pursuant to this Resolution and then Outstanding, (ii) any additional parity Bonds theretofore issued and then Outstanding, and (iii) the additional parity Bonds then proposed to be issued. (3) The City need not comply with subparagraph (2) above in the issuance of additional parity Bonds if and to the extent the Bonds to be issued are refunding Bonds, that is, delivered in lieu of or in substitution for Bonds originally issued under this Resolution or previously issued additional parrty Bonds, if the City shall cause to be delivered a certificate of the Chief Financial Officer setting forth (i) the Maximum Annual Debt Service (A) with respect to the Bonds of all Series Outstanding immediately prior to the date of authentication and delivery of such refunding Bonds, and (B) with respect to the Bonds of all Series to be Outstanding immediately thereafter, and (ii) that the Maximum Annual Debt Service set forth pursuant to (B) above is no greater than that set forth pursuant to (A) above. Simultaneously with the delivery of any Bonds issued pursuant to subparagraphs (2) and (3) above for the purpose of refunding any Bonds issued under this Resolution, the City may withdraw from the Sinking Fund amounts theretofore deposited which are allocable to the Bonds being refunded and shall transfer said amounts in accordance with the resolution providing for the issuance of the refunding Bonds, provided that after such withdrawal the City shall be in compliance with the provisions of this Resolution. The term "additional parity Bonds" as used in this Resolution shall be deemed to mean additional obligations evidenced by Bonds issued upon the provisions and within the limitations of this subsection payable from the Pledged Funds on a parity with Bonds originally authorized and issued pursuant to this Resolution. Such Bonds shall be deemed to have been issued pursuant to this Resolution the same as the Bonds originally authorized and issued pursuant to this Resolution and all of the covenants and other provisions of this Resolution (except as to details of such Bonds evidencing such additional parity obligations inconsistent therewith), shall 29 010-8126-07 7 7 / 2 IAMERICAS 644 be forthe equal benefit, protection and security of the holders of any Bonds originally authorized and issued pursuant to this Resolution and the holders of any Bonds evidencing additional obligations subsequently issued within the limitations of and in compliance with this subsection. All of such Bonds, regardless of the time or times of their issuance, shall rank equally with respect to their lien on the Pledged Funds and their sources and security for payment therefrom without preference of any Bonds over any other. The term "additional parity Bonds" as used in this Resolution shall not be deemed to include bonds, notes, certificates or other obligations subsequently issued in accordance with this Resolution, the lien of which on the Pledged Funds is subject to the prior and superior lien on the Pledged Funds of Bonds and the City shall not issue any obligations whatsoever payable from the Pledged Funds, which rank equally as to lien and source and security for their payment from such Pledged Funds, with Bonds except in the manner and under the conditions provided in subsection (G) above and this subsection. I. BOOKS AND RECORDS. The City will keep separately identifiable accounting records for the receipt of the Pledged Funds by the use of a fund established in accordance with generally accepted accounting principles, and any holder of a Bond or Bonds issued pursuant to this Resolution, shall have the right at all reasonable times to inspect all records, accounts and data of the City relating thereto. The City shall promptly after the close of each Fiscal Year cause the books, records and accounts relating to the Pledged Funds for such Fiscal Year to be properly audited by a qualified, recognized and nationally known independent firm of certified public accountants and shall file the report of such certified public accountants in the office of the Chief Financial Officer, and shall mail upon request, and make available generally, said report, or a reasonable summary thereof, to any holder or holders of Bonds issued pursuant to this Resolution. Such audited books, records and accounts shall contain the statements required by generally accepted accounting principles applicable to governmental entities, and a certificate of such certified public accountants disclosing any breach on the part of the City of any covenant herein. J. NO IMPAIRMENT OF CONTRACT. The City has full power and authority to irrevocably pledge the Pledged Funds to the payment of the principal of and interest on the Bonds. The pledge of such Pledged Funds, in the manner provided herein, shall not be subject to repeal, modification or impairment by any subsequent resolution, ordinance or other proceedings of the City so long as any Bonds are Outstanding hereunder. The City shall take all actions necessary and pursue such legal remedies which may be available to it either in law or in equity to prevent or cure any impairment by any entity other than the City within the meaning of this subsection. K. REMEDIES. Any Holder of Bonds issued under the provisions of this Resolution or any trustee acting for such Bondholders in the manner hereinafter provided, may either at law or in equity, by suit, action, mandamus or other proceedings in any court of competent jurisdiction, protect and enforce any and all rights under the laws of the State, or granted and contained in this Resolution, and may enforce and compel the performance of all oto -8 t26-01 7 7 / 2 lA M E R I CAS 30 645 duties required by this Resolution or by any applicable statutes to be performed by the City or by any officer thereof. Nothing herein, however, shall be construed to grant any Holder of such Bonds any lien on any property of or within the corporate boundaries of the City, except as provided herein. No Holder of Bonds, however, shall have any right in any manner whatever to affect adversely, or prejudice the security of this Resolution or to express any right hereunder except in the manner herein provided, and all proceedings at law or in equity shall be instituted and maintained for the benefit of all Holders of Bonds. The Holder or Holders of Bonds in an aggregate principal amount of more than twenty- five per centum (25%) of Bonds issued under this Resolution then Outstanding may by a duly executed certificate in writing appoint a trustee for Holders of Bonds issued pursuant to this Resolution with authority to represent such Bondholders in any legal proceedings for the enforcement and protection of the rights of such Bondholders. Such certificate shall be executed by such Bondholders or their duly authorized attorneys or representatives, and shall be filed in the office of the Chief Financial Officer. Notwithstanding anything in this Resolution to the contrary, so long as the issuer of a Credit Facility or a Liquidity Facility shall not be in default in its payment obligations under such Credit Facility or a Liquidity Facility, said issuer shall be deemed to be the holder of all Bonds so secured for all pu{poses of this Section 304(K). L. ENFORCEMENT OF COLLECTIONS. The City will diligently enforce and collect the Resort Tax Revenues and will take all steps, actions and proceedings for the enforcement and collection of such Resort Tax Revenues which shall become delinquent to the full extent permitted or authorized by applicable laws and regulations. All such Resort Tax Revenues shall, as collected, be held in trust to be applied as herein provided and not otherwise. M. DISCHARGE AND SATISFACTION OF BONDS. The covenants, liens and pledges entered into, created or imposed pursuant to this Resolution may be fully discharged and satisfied with respect to all or a portion of the Bonds in any one or more of the following ways: (1) by paying the principal of and interest on such Bonds when the same shall become due and payable; or (2) by depositing in the Interest Account, the Principal Account and the Bond Redemption Account and/or in such other accounts which are irrevocably pledged to the payment of Bonds as the City may hereafter create and establish by resolution, certain moneys which together with other moneys lawfully available therefor, if any, shall be sufficient at the time of such deposit to pay when due the principal, redemption premium, if any, and interest due and to become due on said Bonds on or prior to the redemption date or maturity date thereof; or (3) by depositing in the Interest Account, the Principal Account and the Bond Redemption Account and/or such other accounts which are irrevocably pledged to the payment of Bonds as the City may hereafter create and establish by resolution, moneys which together with other moneys lawfully available therefor when invested in such Defeasance Obligations which shall not be subject to redemption prior to their maturity other than at the option of the holder thereof, will provide moneys which shall be sufficient to pay when due the principal, 070-8126-077 7 /2 IAM ER rCAS 3l 646 redemption premium, if any, and interest due and to become due on said Bonds on or prior to the redemption date or maturity date thereof. Upon such payment or deposit in the amount and manner provided in this Section 304(M), Bonds shall be deemed to be paid and shall no longer be deemed to be Outstanding for the purposes of this Resolution and all liability of the City with respect to said Bonds shall cease, terminate and be completely discharged and extinguished, and the Holders thereof shall be entitled to payment solely out of the moneys or Defeasance Obligations so deposited; provided that in the event said Bonds do not mature and are not to be redeemed within the next succeeding sixty (60) days, the City shall have given the Registrar and Paying Agent irrevocable instructions to give, as soon as practicable, a notice to the Holders of said Bonds by first-class mail, postage pre-paid, stating that the deposit of said moneys or Defeasance Obligations has been made with an appropriate fiduciary institution acting as escrow agent solely for the Holders of said Bond and other Bonds being defeased, and that said Bonds are deemed to have been paid in accordance with this Section and stating such maturity or redemption date upon which moneys are to be available for the payment of the principal of and premium, if any, and interest on said Bonds. (4) As to Variable Rate Bonds, whether discharged and satisfied under the provisions of subsection (1), (2) or (3) above, the amount required for the interest thereon shall be calculated at the maximum rate permitted by the terms of the provisions which authorized the issuance of such Variable Rate Bonds; provided however, that if on any date, as a result of such Variable Rate Bonds having borne interest at less than such maximum rate for any period, the total amount of moneys and Defeasance Obligations on deposit for the payment of interest on such Variable Rate Bonds is in excess of the total amount which would have been required to be deposited on such date in respect of such Variable Rate Bonds in order to fully discharge and satisfy such Bonds pursuant to the provisions of this Section, the City may use the amount of such excess free and clear of any trust, lien, security interest, pledge or assignment securing said Variable Rate Bonds or otherwise existing under this Resolution. (5) Notwithstanding any of the provisions of this Resolution to the contrary, Put Bonds and Extendible Maturity Bonds may only be fully discharged and satisfied either pursuant to subsection (1) above or by depositing in the Interest Account, the Principal Account and the Bond Redemption Account, or in such other accounts which are irrevocably pledged to the payment of the Put Bonds as the City may hereafter create and establish by resolution, moneys which together with moneys lawfully available therefor, if any, shall be sufficient at the time of such deposit to pay when due the maximum amount of principal of and redemption premium, if any, and interest on such Put Bonds and Extendible Maturity Bonds which could become payable to the Holders of such Bonds upon the exercise of any options provided to the Holders of such Bonds; provided however, that if, at the time a deposit is made pursuant to this subsection (5), the options originally exercisable by the Holder of a Put Bond or Extendable Maturity Bond are no longer exercisable, such Bond shall not be considered a Put Bond or Extendible Maturity Bond for purposes of this subsection (5). (6) Notwithstanding the foregoing, all references to the discharge and satisfaction of Bonds shall include the discharge and satisfaction of any Series of Bonds, any portion of a Series of Bonds, any maturity or maturities of an issue of Bonds, any portion of a 0 10-8126-07 7 7 / 2 IAM ERTCAS )Z 647 maturity of a Series of Bonds or any combination thereof, provided that the provisions of this subsection (6) shall not affect the requirements regarding Put Bonds and Extendible Maturity Bonds set forth in subsection (5). In the event that the principal and redemption price, if applicable, and interest due on the Bonds shall be paid by the issuer of a Credit Facility or Liquidity Facility pursuant to the terms thereof, the assignment and pledge created hereunder and all covenants, agreements and other obligations of the City to the Bondholders shall continue to exist and the issuer of such Credit Facility or Liquidity Facility shall be subrogated to the rights of such Bondholders. (7) If any portion of the moneys deposited for the payment of the principal of and redemption premium, if any, and interest on any portion of Bonds is not required for such purpose, the City may use the amount of such excess free and clear of any trust, lien, security interest, pledge or assignment securing said Bonds or otherwise existing under this Resolution. N. CONCERNING THE RESERVE ACCOUNT INSURANCE POLICY, THE RESERVE ACCOUNT LETTER OF CREDIT, CREDIT FACILITY AND/OR LIQUIDITY FACILITY. As long as the City shall have a Reserve Account Insurance Policy and/or a Reserve Account Letter of Credit on deposit in the Debt Service Reserve Account, the City covenants that it will comply with the provisions of the Reserve Account Insurance Policy and/or the reimbursement or similar agreement with respect to the Reserve Account Letter of Credit. As long as any Series of Bonds of the City are secured by a Credit Facility or Liquidity Facility, the City covenants to comply with the requirements and conditions imposed on the City by the issuer of the Credit Facility or Liquidity Facility. Notwithstanding anything in this Resolution to the contrary, the right of any issuer of a Credit Facility or Liquidity Facility created under this Resolution shall remain in full force and effect only so long as the applicable Credit Facility or Liquidity Facility shall remain in effect and the issuer of such Credit Facility or Liquidity Facility shall not be in default in its payment obligations to the holders of Bonds secured by such facility. IEND OF ARTICLE III] oto-8126-07?7 /21 AM ERTCAS JJ 648 ARTICLE IV CONCERNING THE FIDUCIARIES SECTION 401. PAYING AGENTS; APPOINTMENT AND ACCEPTANCE OF DUTIES. The City may at any time or from time to time appoint one or more other Paying Agents having the qualifications set forth in Section 408 of this Resolution for a successor Paying Agent; provided that nothing herein shall prevent the City from appointing itself as the Paying Agent hereunder. Each Paying Agent shall signify its acceptance of the duties and obligations imposed upon it by this Resolution by executing and delivering to the City a written acceptance thereof. Unless otherwise provided, the designated corporate trust offices of the Paying Agents are designated as the respective offices or agencies of the City forthe payment of the interest on and principal or redemption price of the Bonds. SECTION 402. RESPONSIBILITIES OF FIDUCIARIES. The recitals of facts herein and in the Bonds contained shall be taken as the statements of the City and no Fiduciary assumes any responsibility for the correctness of the same. No Fiduciary makes any representation as to the validity or sufficiency of this Resolution or of any Bonds issued hereunder or as to the security afforded by this Resolution, and no Fiduciary shall incur any liability in respect thereof. The Registrar shall, however, be responsible for its representation contained in its certificate of authentication of the Bonds. No Fiduciary shall be under any responsibility or duty with respect to the application of any moneys paid by such Fiduciary in accordance with the provisions of this Resolution to or upon the order of the City or any other Fiduciary. No Fiduciary shall be under any obligation or duty to perform any act which would involve it in expense or liability or to institute or defend any suit in respect thereof, or to advance any of its own moneys, unless properly indemnified. No Fiduciary shall be liable in connection with the performance of its duties hereunder except for its own negligence, misconduct or default. SECTION 403. EVIDENCE ON WHICH FIDUCIARIES MAY ACT. (a) Each Fiduciary, upon receipt of any notice, resolution, request, consent, order, certificate, report, opinion, bond, or other paper or document furnished to it pursuant to any provision of this Resolution, shall examine such instrument to determine whether it conforms to the requirements of this Resolution and shall be protected in acting upon any such instrument believed by it to be genuine and to have been signed or presented by the proper party or parties. Each Fiduciary may reasonably consult with counsel, who may or may not be counsel to the City, and the opinion of such counsel shall be full and complete authorization and protection in respect of any action taken or suffered by it under this Resolution in good faith and in accordance therewith. (b) Whenever any Fiduciary shall deem it necessary or desirable that a matter be proved or established prior to taking or suffering any action under this Resolution, such matter (unless other evidence in respect thereof be therein specifically prescribed) may be deemed to be conclusively proved and established by a certificate of the Mayor or the City Manager and such certificate shall be full warrant for any action taken or suffered in good faith under the provisions of this Resolution upon the faith thereof; but in its discretion the Fiduciary may in lieu thereof 0 10-8L26-07 7 1 / 2 /A M E Rl CAs 34 649 accept other evidence of such fact or matter or may require such further or additional evidence as it may deem reasonable. (c) Except as otherwise expressly provided in this Resolution, any request, order, notice or other direction required or permitted to be furnished pursuant to any provision hereof by the City to any Fiduciary shall be sufficiently executed in the name of the City by the Mayor or the City Manager. SECTION 404. COMPENSATION. The City may agree with any Fiduciary to pay to such Fiduciary from time to time reasonable compensation for all services rendered under this Resolution, and also all reasonable expenses, charges, counsel fees and other disbursements, including those of its attorneys, agents and employees, incurred in and about the performance of their powers and duties under this Resolution. The City may also agree with any Fiduciary to indemnify any Fiduciary for any and all of its reasonable fees, costs and expenses resulting from any claim, liability or the like incurred in and about the performance of, its powers and duties under this Resolution, except for any such fees, costs and expenses incurred as a result of gross negligence or willful misconduct on the part of such Fiduciary. SECTION 405. CERTAIN PERMITTED ACTS. Any Fiduciary, individually or otherwise, may become the owner of any Bonds, with the same rights it would have if it were not a Fiduciary. To the extent permitted by law, any Fiduciary may act as depositary for, and permit any of its officers or directors to act as a member of, or in any other capacity with respect to, any committee formed to protect the rights of Bondholders or to effect or aid in any reorganization growing out of the enforcement of the Bonds or this Resolution, whether or not any such committee shall represent the Holders of a majority in principal amount of the Bonds then Outstanding. SECTION 406. MERGER OR CONSOLIDATION. Any entity into which any Fiduciary may be merged or converted or with which it may be consolidated or any entity resulting from any merger, conversion or consolidation to which it shall be a party or any entity to which any Fiduciary may sell or transfer all or substantially all of its corporate trust business, provided such entity shall be a bank or trust company organized under the laws of any state of the United States or a national banking association or shall be a successor entity to the City, if the City is acting as f,rduciary hereunder; and shall be authorized by law to perform all duties imposed upon it by this Resolution, shall be the successor to such Fiduciary without the execution or filing of any paper or the performance of any further act. SECTION 407. ADOPTION OF AUTHENTICATION. In case any of the Bonds contemplated to be issued under this Resolution shall have been authenticated but not delivered, any successor Registrar may adopt the certihcate of authentication of any predecessor Registrar so authenticating such Bonds and deliver such Bonds so authenticated; and in case any of the said Bonds shall not have been authenticated, any successor Registrar may authenticate such Bonds in the name of the predecessor Registrar, or in the name of the successor Registrar, and in all such cases such certificate shall be fully effective. SECTION 408. RESIGNATION OR REMOVAL OF PAYING AGENT AND APPOINTMENT OF SUCCESSOR. Any Paying Agent may at any time resign and be 01,0-8726-077 7 I 2 lAM ERICAS 35 650 discharged of the duties and obligations created by this Resolution by giving at least 60 days' written notice to the issuer of a Credit Facility or Liquidity Facility, the City, and the other Paying Agents. Any Paying Agent may be removed at any time by an instrument filed with such Paying Agent and the issuer of each Credit Facility or Liquidity Facility and signed by the Mayor or the City Manager. Any successor Paying Agent shall be appointed by the City and shall be, if other than the City or its successor entity, a bank or trust company organized under the laws of any state of the United States or a national banking association, willing and able to accept the office on reasonable and customary terms and authorized by law to perform all the duties imposed upon it by this Resolution. The City shall notify the issuer of each Credit Facility or Liquidity Facility of the appointment of any successor Paying Agent. In the event of the resignation or removal of any Paying Agent, such Paying Agent shall pay over, assign and deliver any moneys held by it as Paying Agent to its successor. SECTION 409. REGISTRAR. The Registrar for any Series of Bonds (other than the Series 2015 Bonds) shall be appointed by subsequent proceedings of the City. Any Registrar may at any time resign and be discharged of the duties and obligations created by this Resolution by giving at least 60 days' written notice to the issuer of each Credit Facility or Liquidity Facility and the City. The Registrar may be removed at any time by an instrument filed with such Registrar and the issuer of each Credit Facility or Liquidity Facility and signed by the Mayor, City Manager or his designee, provided that a successor Registrar has been appointed by the City. The resignation or removal of the Paying Agent as Registrar pursuant to this Section 409 shall not simultaneously constitute a resignation or removal of the Paying Agent. Any Paying Agent acting as Registrar, however, who resigns or is removed as Paying Agent pursuant to Section 408 of this Resolution shall automatically cease to be Registrar, and the City may, at its option, appoint a successor Registrar other than the successor Paying Agent. SECTION 410. VACANCY. If at any time hereafter any Fiduciary shall resign, be removed, be dissolved, or otherwise become incapable of acting, or if the bank or trust company acting as any Fiduciary shall be taken over by any governmental official, agency, department or board, the position of Fiduciary shall thereupon become vacant. If the position of such Fiduciary shall become vacant for any of the foregoing reasons or for any other reasons, the City shall appoint a successor Fiduciary, If no appointment of a successor Fiduciary shall be made pursuant to the foregoing provisions of this Section, the Holder of any Bond Outstanding hereunder or any retiring Fiduciary may apply to any court of competent jurisdiction to appoint a successor Fiduciary. Such court may thereupon, after such notice, if any, as such court may deem proper and prescribe, appoint a successor Fiduciary. Any Fiduciary hereafter appointed, if not the City or its successor entity, shall be a bank or trust company authorized by law to exercise corporate trust powers in the State and subject to examination by federal or state authority, of good standing and having at the time of its appointment a combined capital and surplus aggregate not less than Fifty Million Dollars ($50,oo0,ooo). IEND OF ARTICLE IV] 010-8726-0777 l2lAM E RICAS 36 651 ARTICLE V EXECUTION OF INSTRUMENTS BY BONDHOLDERS AND PROOF OF OWNERSHIP OF BONDS SECTION 501. PROOF OF EXECUTION OF DOCUMENTS AND OWNERSHIP. (a) Any request, direction, consent or other instrument in writing required by this Resolution to be signed or executed by Bondholders may be in any number of concurrent instruments of similar tenor and may be signed or executed by such Bondholders in person or by their attorneys or legal representatives appointed by an instrument in writing. Proof of the execution of any such instrument and of the ownership of Bonds shall be sufficient for any purpose of this Resolution and shall be conclusive in favor of the Fiduciary with regard to any action taken by it under such instrument if made in the following manner: (1) The fact and date of the execution by any person of any such instrument may be proved by the verification of any officer in any jurisdiction who, by the laws thereof, has power to take affidavits within such jurisdiction, to the effect that such instrument was subscribed and sworn to before him, or by an affidavit of a witness to such execution. Where such execution is on behalf of a person other than an individual, such verification shall also constitute sufficient approval of the authority of the signor thereof. (2) The ownership of Bonds shall be proved by the registration books required to be maintained pursuant to the provisions of this Resolution. Nothing contained in this Article shall be construed as limiting the Fiduciary to such proof, it being intended that the Fiduciary may accept any other evidence of the matters herein stated which it may deem sufficient. (b) If the City shall solicit from the Holders any request, direction, consent or other instrument in writing required or permitted by this Resolution to be signed or executed by the Holders, the City may, at its option, fix in advance a record date for determination of Holders entitled to give each request, direction, consent or other instrument, but the City shall have no obligation to do so. If such a record date is fixed, such request, direction, consent or other instrument may be given before or after such record date, but only the Holders of record at the close of business on such record date shall be deemed to be Holders for the purposes of determining whether Holders of the requisite proportion of Bonds have authorized or agreed or consented to such request, direction, consent or other instrument, and for that purpose the Bonds shall be computed as of such record date. (c) Any request or consent of the Holder of any Bond shall bind every future Holder of the same Bond in respect of anything done by the Fiduciary in pursuance of such request or consent. IEND OF ARTICLE V] o1.0 -8726-0? 7 7 / 2 IAM ERICAS 37 652 ARTICLE VI MISCELLANEOUS PROVISIONS SECTION 601. MODIFICATION OR AMENDMENT. Except as otherwise provided in the second paragraph hereof, no adverse material modification or amendment of this Resolution, or of any resolution amendatory hereof or supplemental hereto, may be made without the consent in writing of (i) the Holders of more than fifty (50%) per centum in aggregate principal amount of the Bonds then Outstanding or (ii) in case less than all of the several Series of Bonds then Outstanding are affected by the modification or amendment, the Holders of more than fifty (50%) per centum in aggregate principal amount of the Bonds of each Series so affected and Outstanding at the time such consent is given; provided, however, that no modification or amendment shall permit a change in the maturity or principal amount of such Bonds or a reduction in the rate of interest thereon, or affecting the promise of the City to pay the principal of and interest on the Bonds, as the same mature or become due, from the Pledged Funds, or reduce the percentage of Holders of Bonds required above for such modification or amendment, without the consent of the Holders of all the Bonds. For the purposes of this Section 601, to the extent any Series of Bonds is secured by a Credit Facility or Liquidity Facility, then the consent of the issuer of the Credit Facility or Liquidity Facility shall constitute the consent of the Holders of such Series. This Resolution may be amended, changed, modified and altered without the consent of the Holders of Bonds or any Credit Facility or Liquidity Facility: (a) to cure any ambiguity or formal defect or omission in this Resolution or in any supplemental resolutions or to correct or supplement any provision contained herein which may be defective or inconsistent with any other provisions contained herein; or (b) to grant to or confer upon the Bondholders any additional rights, remedies, powers, authority or security that may lawfully be granted to or conferred upon the Bondholders; or (c) to add to the conditions, limitations and restrictions on the issuance of Bonds under the provisions of this Resolution, other conditions, limitations and restrictions thereafter to be observed; or (d) to add to the covenants and agreements of the City in this Resolution other covenants and agreements thereafter to be observed by the City or to surrender any right or power herein reserved to or conferred upon the City; or (e) to permit the issuance of Bonds, the interest on which is intended to be excludible from gross income for Federal income tax purposes under the Code to the Holders thereof in coupon form, if as a condition precedent to the adoption of such supplemental resolution, there shall be delivered to the City an opinion of counsel of recognized standing relating to municipal bonds to the effect that the issuance of Bonds in coupon form is then permitted by law and that the issuance of such Bonds in coupon form would not cause interest on such Bonds to be included in gross income for Federal income tax purposes under the Code to the Holders thereof; or oL0-8L26-07? 7 I 2 lAM ERTCAS 38 653 (0 to qualify the Bonds or any of the Bonds for registration under the Securities Act of 1933, as amended, or the Securities Exchange Act of 1934, as amended; or (g) to qualify this Resolution as an "indenture" under the Trust Indenture Act of 1939, as amended; or (h) to make such changes as may be necessary to adjust the terms hereof so as to facilitate the issuance of Variable Rate Bonds, Capital Appreciation Bonds, Capital Appreciation and Income Bonds, Put Bonds, Extendible Maturity Bonds, Balloon Bonds, Interim Bonds and such other Bonds as may be marketable from time to time; or (i) to make such changes as may be necessary to comply with the provisions of the Code relating to the exclusion of interest on Tax-Exempt Bonds from gross income thereunder; or 0) to comply with the requirements of issuers of Credit Facilities, Liquidity Facilities, Reserve Account Insurance Policies or Reserve Account Letters of Credit or Counterparties. The City shall cause a notice of a proposed supplemental resolution requiring the consent of Bondholders to be mailed, postage prepaid, to all Holders of Bonds then Outstanding at their addresses as they appear on the registration books. Such notice shall briefly set forth the nature of the proposed supplemental resolution and shall state that a copy thereof is on file at the City for inspection by all Bondholders. The City shall not, however, be subject to any liability to any Bondholder by reason of its failure to mail the notice required by this Section, and any such failure shall not affect the validity of such supplemental resolution when consented to or approved as provided in this Section. Whenever, at any time after the date of the mailing of such notice, the City shall deliver to the City Clerk an instrument or instruments purporting to be executed by the Holders of at least a majority in aggregate principal amount of the Bonds then Outstanding, which instrument or instruments shall refer to the proposed supplemental resolutions described in such notice and shall specifically consent to and approve the adoption thereof, and the City shall deliver to the City Clerk a certificate signed by the Mayor that the Holders of such required percentage of Bonds have filed such consents, the City may adopt such supplemental resolutions in substantially such form without liability or responsibility to any Holder of any Bond, whether or not such Holder shall have consented thereto. It shall not be necessary for the consent of the Holders to approve the particular form of any proposed supplemental resolution, but it shall be sufficient if such consent shall approve the substance thereof. If the Holders of more than fifty per centum (50%) in aggregate principal amount of the Bonds of each Series as affected and Outstanding at the time of the execution of such supplemental resolution shall have consented to and approved the adoption thereof as herein provided, no Holder shall have any right to object to the adoption of such supplemental resolution, or to object to any of the terms and provisions therein contained, or the operation thereof, or in any manner to question the propriety of the adoption thereof, or to enjoin or 0ro-8t26-077 7 I 2 IAMERICAS 39 654 restrain the City from adopting the same or from taking any action pursuant to the provisions thereof. The consent of the Holders of any additional Series of Bonds to be issued hereunder shall be deemed given if the underuriters or initial purchasers for resale consent in writing to such supplemental resolution and the nature of the amendment effected by such supplemental resolution is disclosed in the official statement or other offering document pursuant to which such additional Series of Bonds is offered and sold to the public. SECTION 602. SEVERABILITY OF INVALID PROVISIONS. If any one or more of the covenants, agreements or provisions of this Resolution should be held contrary to any express provision of law or contrary to the policy of express law, though not expressly prohibited, or against public policy, or shall for any reason whatsoever be held invalid, then such covenants, agreements or provisions shall be null and void and shall be deemed separate from the remaining covenants, agreements or provisions, and shall in no way affect the validity of any of the other provisions of this Resolution or of the Bonds issued hereunder. SECTION 603. CAPITAL APPRECIATION BONDS; CAPITAL APPRECIATION AND INCOME BONDS. (a) For the purposes of (i) receiving payment of the redemption price if a Capital Appreciation Bond is redeemed prior to maturity, or (ii) computing the amount of Bonds held by the registered owner of a Capital Appreciation Bond in giving to the City any notice, consent, request or demand pursuant to this Resolution for any purpose whatsoever, the principal amount of a Capital Appreciation Bond shall be deemed to be its Accreted Value. (b) For the purpose of (i) receiving payment of the redemption price if a Capital Appreciation and Income Bond is redeemed prior to maturity, or (ii) computing the amount of Bonds held by the registered owner of a Capital Appreciation and Income Bond in giving to the City any notice, consent, request or demand pursuant to this Resolution for any purpose whatsoever, the principal amount of a Capital Appreciation and Income Bond shall be deemed to be its Appreciated Value. SECTION 604. UNCLAIMED MONEY. Notwithstanding any provisions of this Resolution, any money held by the Paying Agent for the payment of the principal or redemption price of, or interest on, any Bonds and remaining unclaimed for five (5) years after the principal of all of the Bonds has become due and payable (whether at maturity or upon call for redemption), if such money were so held at such date, or five (5) years after the date of deposit of such money if deposited after such date when all of the Bonds became due and payable, shall be repaid to the City free from the provisions of this Resolution, and all liability of the Paying Agent with respect to such money shall thereupon cease. SECTION 605. PAYMENTS DUE ON SATURDAYS, SUNDAYS AND HOLIDAYS. In any case where the date of maturity of interest on or principal of the Bonds or the date fixed for redemption of any Bonds shall be a Saturday, Sunday or a day on which any Paying Agent is required, or authorized or not prohibited, by law (including executive orders) to close and is closed, then payment of such interest or principal and any redemption premium need 0L0-8126-07 7 7 / 2 / AM E R r CAS 40 655 not be paid by the Paying Agent on such date but may be paid on the next succeeding business day on which the Paying Agent is open for business with the same force and effect as if paid on the date of maturity or the date fixed for redemption, and no interest shall accrue for the period after such date of maturity or redemption. SECTION 606. CONTROLLING LAW; MEMBERS OF GOVERNING BODY OF CITY NOT LIABLE. The provisions of this Resolution shall be govemed by, and interpreted in accordance with, the laws of the State. All covenants, stipulations, obligations and agreements of the City contained in this Resolution shall be deemed to be covenants, stipulations, obligations and agreements of the City to the full extent authorized by the Act and provided by the Constitution and laws of the State. No covenant, stipulation, obligation or agreement contained herein shall be deemed to be a covenant, stipulation, obligation or agreement of any present or future member, agent or employee of the Commission in his or her individual capacity, and neither the members of the Commission nor any official executing the Bonds shall be liable personally on the Bonds or this Resolution or shall be subject to any personal liability or accountability by reason of the issuance or the execution by the Commission or such members thereof. SECTION 607. FURTHER AUTHORIZATIONS. The officers and agents of the City are hereby authorized and directed, collectively or individually, to take all action and steps and to execute all instruments, documents and contracts on behalf of the City, that are necessary or desirable in connection with the execution and delivery of the Bonds, and which are not inconsistent with the terms and provisions of this Resolution. SECTION 608. HEADINGS FOR CONVENIENCE ONLY. Any headings preceding the texts of the several articles and sections hereof shall be solely for convenience of reference and shall not constitute a part of this Resolution, nor shall they affect its meaning, construction or effect. SECTION 609. TIME OF TAKING EFFECT. This Resolution shall take effect immediately upon its adoption. PASSED and ADOPTED this day of ,2015. Mayor (sEAL) Attest: ffi'ffiffi. ]FOREXECT'IPN City Clerk 0 ro-8L26-07 7 7 I 2 lAM E R I CAS 41 656 EXHIBIT A SERIES 2015 PROJECT Renovation and expansion of the Miami Beach Convention Center to modernize and upgrade the Convention Center facility and areas in the vicinity of the Convention Center, including but not limited to creation of a new public park and related facilities, restoration of the Carl Fisher Clubhouse and Collins Canal seawall, and streetscape, landscape and other infrastructure improvements. 070-8126-077 7 I 2 lAM ERTCAS A-1 657 No. R- Interest Rate % REGISTERED OWNER: PRINCIPAL AMOUNT: EXHIBIT B FORM OF BOND UNITED STATES OF AMERICA STATE OF FLORIDA CITY OF MIAMI BEACH, FLORIDA RESORT TAX REVENUE BOND, SERIES Maturity Date Date of Original Issuance CUSIP ,20- ,20- Dollars KNOW ALL MEN BY THESE PRESENTS that the City of Miami Beach, Florida (the "City"), a municipal corporation duly organized and existing under the Constitution and laws of the State of Florida, for value received, hereby promises to pay to the registered owner specified above, or registered assigns, on the date specified above, but solely from the sources hereinafter mentioned, upon presentation and surrender hereof at the designated corporate trust office of , as paying agent (said and/or any bank or trust company to become successor paying agent being herein called the "Paying Agent"), the principal sum specified above with interest thereon at the rate per annum specified above, payable on the first of each year, commencing onday of and . Principal of this Bond is payable at the designated office of the Paying Agent. Interest on this Bond is payable by check or draft of the Paying Agent made payable to the registered owner as its name and address shall appear on the registry books of as Registrar (said and any successor Registrar being herein called the "Registrar") at the close of business on the fifteenth day of the calendar month preceding each interest payment date or the date on which the principal of this Bond is to be paid (the "Regular Record Date"); provided, however, that (i) if ownership of the Bonds is maintained in a book-entry only system by a securities depository, such payment may be made by automatic funds transfer (wire) to such securities depository or its nominee or (ii) if such Bonds are not maintained in a book-entry only system by a securities depository, upon written request of the Holder of $1,000,000 or more in principal amount of Bonds, such payments may be made by wire transfer to the bank and bank account specified in writing by such Holder (such bank being a bank within the continental United States), if such Holder has advanced to the Paying Agent the amount necessary to pay the cost of such wire transfer or authorized the Paying Agent to ot0-8726-07 7 7 / 2 I AM E R r CAS B-1 658 deduct the cost of such wire transfer from the payment due such Holder. Any interest not punctually paid on a Regular Record Date shall forthwith cease to be payable to the registered owner on such Regular Record Date and may be paid at the close of business on a special record date for the payment of such defaulted interest to be fixed by the Paying Agent, notice whereof shall be given not less than 10 days prior to such special record date to such registered owner. Such interest shall be payable from the most recent interest payment date next preceding the date of authentication to which interest has been paid, unless the date of authentication is an lor 1 to which interest has been paid, in which case from the date of authentication, or unless the date of authentication is prior to 20_, in which case from , 20_, or unless the date of authentication is between a Regular Record Date and the next succeeding interest payment date, in which case from such interest payment date. All such payments shall be made in such coin or currency of the United States of America as at the time of payment is legal tender for payment of public and private debts. This Bond is one of an authorized issue of Bonds of the City designated as its "Resort Tax Revenue Bonds, Series _" (herein called the "Series _ Bonds"), in the aggregate principal amount of Dollars ($ ) of like date, tenor, and effect, except as to number, date of maturity and interest rate, issued for the purpose of ) under the authority of and in full compliance with the Constitution and Statutes of the State of Florida, including particularly Chapter 67-930, Laws of Florida, as amended, Chapter 166, Florida Statutes, as amended from time to time, and other applicable provisions of law, and a resolution duly adopted by the Mayor and City Commission of the City on , 2015 (hereinafter referred to as the "Resolution") and is subject to all the terms and conditions of the Resolution. This Bond is payable from and secured by a lien on and pledge of the Resort Tax levied by the City within its corporate limits and other moneys held in certain funds and accounts established under the Resolution (collectively, the "Pledged Funds"), all in the manner provided in the Resolution. The City is not obligated to pay this Bond or the interest hereon except from the Pledged Funds pledged thereto, and the full faith and credit of the City are not pledged for the payment of this Bond and this Bond does not constitute an indebtedness of the City within the meaning of any constitutional, statutory or other provision or limitation; and it is expressly agreed by the Holder of this Bond that such Holder shall never have the right to require or compel the exercise of the ad valorem taxing power of the City, or taxation in any form of any real or personal property therein, for the payment of the principal of and interest on this Bond or the making of any other Sinking Fund and other payments provided for in the Resolution. It is further agreed between the City and the Holder of this Bond that this Bond and the obligation evidenced hereby shall not constitute a lien upon property of or in the City, but shall constitute a lien only on the Pledged Funds, all in the manner provided in the Resolution. [Redemption Provisions] Additional parity bonds may be issued by the City from time to time upon the conditions and within the limitations and in the manner provided in the Resolution. 010-8L26-0777 /2 IAMERTCAS B-2 659 The original registered owner, and each successive registered owner of this Bond, shall be conclusively deemed to have agreed and consented to the following terms and conditions: 1. The Registrar shall keep books for the registration of Bonds and for the registration of transfers of Bonds as provided in the Resolution. The Bonds shall be transferable by the registered owner thereof in person or by his attorney duly authorized in writing only upon the books of the City kept by the Registrar and only upon surrender hereof together with a written instrument of transfer satisfactory to the Registrar duly executed by the registered owner or his duly authorized attorney. Upon the transfer of any such Bond, the City shall issue in the name of the transferee a new Bond or Bonds of the same series, interest rate and maturity of any other authorized denominations. 2. The City, the Paying Agent and the Registrar may deem and treat the person in whose name any Bond shall be registered upon the books kept by the Registrar as the absolute owner of such Bond, whether such Bond shall be overdue or not, for the purpose of receiving payment of, or on account of, the principal of and interest on such Bond as the same becomes due, and for all other purposes. All such payments so made to any such registered owner or upon his order shall be valid and effectual to satisfy and discharge the liability upon such Bond to the extent of the sum or sums so paid, and neither the City, the Paying Agent, nor the Registrar shall be affected by any notice to the contrary. 3. At the option of the registered owner thereof and upon surrender hereof at the principal corporate trust office of the Registrar with a written instrument of transfer satisfactory to the Registrar duly executed by the registered owner or his duly authorized attorney and upon payment by such registered owner of any charges which the Registrar or the City may make as provided in the Resolution, the Bonds may be exchanged for Bonds of the same series, interest rate and maturity of any other authorized denominations. 4. In all cases in which the privilege of exchanging Bonds or transferring Bonds is exercised, the City shall execute and the Registrar shall authenticate and deliver Bonds in accordance with the provisions of the Resolution. There shall be no charge for any such exchange or transfer of Bonds, but the City or the Registrar may require payment of a sum sufficient to pay any tax, fee or other governmental charge required to be paid with respect to such exchange or transfer. Neither the City nor the Registrar shall be required (a) to transfer or exchange Bonds for a period of 15 days next preceding an interest payment date on such Bonds or next preceding any selection of Bonds to be redeemed or thereafter until after the mailing of any notice of redemption; or (b) to transfer or exchange any Bonds called for redemption. It is hereby certified and recited that all acts, conditions and things required to exist, to happen, and to be performed, precedent to and in the issuance of this Bond exist, have happened and have been performed in regular and due form and time as required by the Laws and Constitution of the State of Florida applicable thereto, and that the issuance of this Bond, and of the issue of Bonds of which this Bond is one, is in full compliance with all constitutional, statutory or charter limitations or provisions. o L0 -8L2 6 -O7 7 7 / 2 / AM E R I CAS B-3 660 IN WITNESS WHEREOF, the City of Miami Beach, Florida has caused this Bond to be signed by the Mayor, either manually or with his facsimile signature, and the seal of the City of Miami Beach, Florida or a facsimile thereof to be affixed hereto or imprinted or reproduced hereon, and attested by the City Clerk, either manually or with his facsimile signature. CITY OF MIAMI BEACH, FLORIDA Mayor (sEAL) Attest: City Clerk oto -8 126 -O7 7 7 / 2 lA M E Rr CAS B-4 661 FORM OF CERTIFICATE OF AUTHENTICATION This Bond is one of the Bonds delivered pursuant to the within mentioned Resolution. as Registrar By: Authorized Signatory Date of Authentication: B-5 0L0 -8 L26-O7 7 7 I 2 /A M E R r CAS 662 IFORM OF ABBREVTATTONS FOR BONDS] The following abbreviations, when used in the inscription on the face of the within Bond, shall be construed as though they were written out in full according to applicable laws or regulations. TEN COM as tenants in common TEN ENT as tenants by the entireties JT TEN as joint tenants with the right of survivorship and not as tenants in common UNIFORM GIFT MIN ACT Custodian for (Cust) under Uniform Gifts to Minors (Minor) Act (State) Additional abbreviations may also be used though not in the above list. IFORM OF ASSIGNMENT FOR BONDS] For value received, the undersigned hereby sells, assigns and transfers unto. the within Bond, and all rights thereunder, and hereby irrevocably constitutes and appoints , attorney to transfer the said Bond on the bond register, with full power of substitution in the premises. Dated: Please insert Social Security or other identifying number of transferee: Signature guaranteed: NOTICE: The transferor's signature to this Assignment must correspond with the name as it appears on the face of the within Bond in every particular without alteration or any change whatever. 0L0 -8L26-O7 7 7 / 2 lA M E RI CAS B-6 663 SEB DRAFT - O9/21l15 PREt,tNIINARYOF'F'ICIAL STA'[E}IENT DA'I'ED NOVENTBER .20I5 NEW ISSUE - Book-Entry-Only Ratings: See "RATNGS" herein In the opinion of Squire Patton Boggs (US) LLP, Bond Counsel, under existing law (i) assuming continuing compliance with certain covenants and the accuracy ofcertain representations, interest on the Series 2015 Bonds is excludedfrom gross incomeforfederal income tax purposes and is not an item of tax preferencefor purposes of thefederal alternative minimum tar imposed on individuals and corporations and (ii) the Series 20I 5 Bonds and the income thereon are exempt from taxation under the laws of the State of Florida, except estate taxes imposed by Chapter 198, Florida Statutes, as amended, and net income and franchise taxes imposed by Chapter 220, Florida Statutes, as amended. Interest on the Series 2015 Bonds may be subject to certain federal taxes imposed only on certain corporations, including the corporate alternative minimum tax on a portion of that interest. For a more complete discussion of the tax aspects relating to the Series 2015 Bonds, see the discussion under the heading "TAX MATTERS" herein. ---, -. I--$200,000,000* CITY OF MIAMI BEACH, FLORIDA RESORT TAX REVENUE BONDS SERIES 2015 Dated: Date of Delivery Due: [December 1,] as shown on inside cover page The City of Miami Beach, Florida Resort Tax Revenue Bonds, Series 2015 (the "Series 2015 Bonds") will be issued by the City of Miami Beach, Florida (the "City'') as fully registered bonds, without coupons, in denominations of $5,000 or any integral multiple thereof. When issued, the Series 2015 Bonds will be registered in the name of Cede & Co., as nominee of The Depository Trust Company, New York, New York ("DTC"), which will act as securities depository for the Series 2015 Bonds. Purchasers will not receive certificates representing their ownership interests in the Series 2015 Bonds purchased. See "DESCRIPTION OF THE SERIES 2015 BONDS - Book-Entry Only System" herein. Interest on the Series 2015 Bonds will accrue from their date of delivery and will be payable on [June 1,2016 and semiannually on each December I and June ll thereafter. U.S. Bank National Association, Jacksonville, Florida, will serve as the initial bond registrar and payrng agent (the "Paying Agent") for the Series 2015 Bonds. While the Series 2015 Bonds are registered through the DTC book-entry only system, principal of and interest on the Series 2015 Bonds will be payable by the Payng Agent to DTC. The Series 20 I 5 Bonds are being issued for the purpose of providing funds to (i) finance a portion of the costs of acquiring and constructing renovations to the Convention Center and related improvements which constitute a portion of the Series 2015 Project (as such terms are hereinafter defined); (ii) fund a deposit to the Reserve Account, if necessary, including the cost of any Reserve Account lnsurance Policy or Reserve Account Letter of Credit determined by the City to be advisable (as such terms are hereinafter defined); and (iii) pay the costs of issuing the Series 2015 Bonds, including the premium for a municipal bond insurance policy, if any. See "PURPOSE OF THE ISSUE" herein. The Series 2015 Bonds are payable from and secured by a pledge of and first lien on the Pledged Funds derived by the City from (i) Resort Tax Revenues; and (ii) all moneys, securities and instruments held in the funds and accounts created under the Bond Resolution, except the Rebate Fund (as such terms are hereinafter defined), on a parity with any additional Bonds that may be issued under the Bond Resolution. See "SECURITY AND SOURCES OF PAYMENT" herein. 664 The Series 2015 Bonds are subject to optional and mandatory sinking fund redemption prior to maturity as described herein. THE CITY IS OBLIGATED TO PAY THE PRINCIPAL OF AND INTEREST ON THE SERIES 2OI5 BONDS SOLELY FROM THE PLEDGED FUNDS. THE SERIES 2OI5 BONDS SHALL NOT CONSTITUTE AN INDEBTEDNESS OF THE CITY, MIAMI-DADE COUNTY, FLORIDA, THE STATE OF FLORIDA ORANY POLITICAL SUBDIVISION THEREOF WITHIN THE MEANING OF ANY CONSTITUTIONAL OR STATUTORY PROVISION OR LIMITATION AND THE FAITH AND CREDIT OF THE CITY, MIAMI-DADE COUNTY, FLORIDA, THE STATE OF FLORIDA OR ANY POLITICAL SUBDIVISION THEREOF IS NOT PLEDGED TO THE PAYMENT OF THE PRINCIPAL OF OR INTEREST ON THE SERIES 2015 BONDS. ISSUANCE OF THE SERIES 2OI5 BONDS SHALL NOT DIRECTLY, INDIRECTLY OR CONTINGENTLY OBLIGATE THE CITY, MIAMI-DADE COUNTY, FLORIDA, THE STATE OF FLORIDA OR ANY POLITICAL SUBDIVISION THEREOF TO LEVY OR TO PLEDGE ANY TAXES WHATEVER THEREFOR, OR TO MAKE ANY APPROPRTATION FOR THE PAYMENT OF THE PRINCIPAL OF OR INTEREST ON THE SERIES 2OI5 BONDS, EXCEPT AS PROVIDED IN THE BOND RESOLUTION. The City may elect to purchase a municipal bond insurance policy to be delivered by a municipal bond insurance provider concurrently with the delivery of the Series 2015 Bonds to guarantee timely payment of the principal of and interest on the Series 2015 Bonds, or one or more maturities of the Series 2015 Bonds, and may elect to satisfy any Reserve Account Deposit Requirement upon issuance of the Series 2015 Bonds with a Reserve Account Insurance Policy or Reserve Account Letter of Credit. This cover page contains certain information for quick reference only. It is not a summary of this issue. Investors must read the entire Official Statement to obtain information essential to the making of an informed investment decision. The Seies 2015 Bonds are offered when, as and if issued by the City, subject to the opinion on certain legal matters relating to their issuance of Squire Patton Boggs (US) LLP, Miami, Florida, Bond Counsel. Certain legal matters will be passed upon for the City by Raul J. Aguila, Esquire, Miami Beach, Floridq, City Attorney, and certain legal matters relating to disclosure will be passed upon for the City by the Law Offices of Steve E. Bullock, P.A., Miami, Florida, Disclosure Counsel. Moskowitz, Mandell, Salim & Simowitz, P.A., Fort Lauderdale, Florida, is serving as Counsel to the Underwiters and RBC Capital Markets, LLC, St. Petersburg, Florida, is serving as Financial Advisor to the City in connection with the issuance of the Series 2015 Bonds. It is expected that the Seies 2015 Bonds will be availablefor delivery through DTC in Nan York, New York on or about December , 2015. BofA Merrill Lynch Citigroup Morgan Stanley Siebert Brandford Shank & Co., L.L.C. Dated: November ,2015 * Preliminary, subject to change. 665 llecl herring. 'l-his Preliminun'O/licial ,Stotentent und the infitnnntion L'orttctined herein ttre subjecl to rtmentltnerrt nncl c'ontpletion w'ithout noti('e. I'he Series 2015 tsonds tno-t' tlot be soltl ontl o.ffbr,s to btn' tnttl' not be ac.'epte(l prior to the time the O//it'iol Stutement is' cleliveretl in finol /orm. Llnder no cirt'Lrmstances shull thi.s Preliminory Ol/icial Stotement con.ttitute un o.fJbr to sell or the solicitation of'an ollbr to bu.1;, nor shull there be trry sale of'the Series 2015 Bonds in an1-.jurisdic'tion in rvhich such olfer, solicitation or sale yt'ould be unlcnt'ful prlor to registrcttion or tTuali/ication uncler the securities lav,s of ctnv such .jttrisdiction. 666 MATURITIES, PRINCIPAL AMOUNTS, INTEREST RATE S, PRICES, YIELDS AND INITIAL CUSIP NUMBERS*t $ Series 2015 Serial Bonds Due (OecemUer-t) 2016 2017 2018 20t9 2020 2021 2022 2023 2024 202s 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 2040 2041 2042 2043 2044 2045 Principal Amount Interest Rate Price Yield % Initial CUSIP Number % 667 $_ _% Series 2015 Term Bonds Due Decemb er l, 20-- Price: _ I Yield: _o/o Initial CUSIP Number: * Preliminary, subject to change. t Neither the City nor the Underwriters is responsible for the use of CUSIP Numbers, nor is any representation made as to their correctness. The CUSP Numbers are included solely for the convenience of the readers of this Official Statement. 668 CITY OF MIAMI BEACH, FLORIDA MAYOR Philip Levine * VICE MAYOR Edward L. Tobin * CITY COMMISSION Michael Grieco, Commissioner Joy Malakoff, Commissioner Micky Steinberg, Commissioner Deede Weithom, Commissioner * Jonah Wolfson, Commissioner * ADMINISTRATION City Manager Jimmy L. Morales, Esquire Interim Chief Financial Offtcer John Woodruff Financial Advisor RBC Capital Markets, LLC St. Petersburg, Florida City Attorney Raul J. Aguila, Esquire City Clerk Rafael E. Granado, Esquire Assistant City Manager Kathie G. Brooks CONSULTANTS Bond Counsel Disclosure Counsel Squire Patton Boggs (US) LLP Law Offices of Steve E. Bullock, P.A. Miami, Florida Miami, Florida Independent Auditors Crowe Horwath LLP Fort Lauderdale, Florida * The Mayor is running against a single opponent in the general election of the City to be held on November 3, 2015. In addition, a new commissioner will be elected in such general election for the City Commission seat for Districts IV, V and VI or, if required because a candidate did not receive more than fifty percent (50%) of the votes cast in the general election, in a run-offelection. If required, the run-offelection will be held on November l7 , 2015 . The results of the election are expected to be certified by the current Mayor and City Commission in a meeting to be held sometime after the general election or, if a run-offelection is held, after the run-offelection. The current Mayor and City Commission are expected to serve until newly elected members have been seated. 669 No dealer, broker, salesman or other person has been authorized by the City or the Underwriters to make any representations, other than those contained in this Official Statement, in connection with the offering contained herein, and if given or made, such other information or representations must not be relied upon as having been authorizedby any of the foregoing. This Official Statement does not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the Series 2015 Bonds by any person in any jurisdiction in which it is unlawful for such person to make such offer, solicitation or sale. The information contained in this Official Statement has been obtained from public documents, records and other sources considered to be reliable and, while not guaranteed as to completeness or accuracy, is believed to be correct. Any statement in this Official Statement involving estimates, assumptions and opinions, whether or not so expressly stated, are intended as such and are not to be construed as representations of fact, and the Underwriters and the City expressly make no representation that such estimates, assumptions and opinions will be realized or fulfilled. Any information, estimates, assumptions and matters of opinion contained in this Official Statement are subject to change without notice, and neither the delivery of this Official Statement, nor any sale hereunder, shall, under any circumstances, create any implication that there has been no change in the affairs of the City since the date hereof. The Underwriters have provided the following sentence for inclusion in this Official Statement. The Underwriters have reviqued the information in this Official Statement in accordance with, and as part of, their responsibilities to investors under the federal securities laws as applied to the facts and circumstances of this transaction, but the Underwriters do not guarantee the accuracy or completeness of such information. The order and placement of materials in this Official Statement, including the Appendices, are not to be deemed a determination of relevance, materiality or importance, and this Official Statement, including the Appendices, must be considered in its entirety. The captions and headings in this Official Statement are for convenience only and in no way define, Iimit or describe the scope or intent, or affect the meaning or construction, of any provisions or sections in this Official Statement. The offering of the Series 2015 Bonds is made only by means of this entire Official Statement. References to website addresses presented in this Official Statement are for informational purposes only and may be in the form of a hyperlink solely for the reader's convenience. Unless specified otherwise, such websites and the information or links contained therein are not incorporated into, and are not part ol this Official Statement. Certain statements included or incorporated by reference in this Official Statement constitute "forward-looking statements." Such statements generally are identifiable by the terminology used, such as "plan," "expect," "estimate," "project," "forecast," "budget" or other similar words. The achievement of certain results or other expectations contained in such forwardlooking statements involve known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements described to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. The City does not plan to issue any updates or revisions to those forward-looking statements if or when its expectations or events, conditions or circumstances on which such statements are based occur. THE SERIES 2OI5 BONDS HAVE NOTBEENREGISTERED UNDERTHE SECURITIES ACT OF 1933, AS AMENDED, OR ANY STATE SECURITIES LAW, NOR HAS THE BOND RESOLUTION BEEN QUALIFIED UNDER THE TRUST INDENTURE ACT OF 1939, AS AMENDED, IN RELIANCE UPON EXEMPTIONS CONTAINED IN SUCH ACTS. THE EXEMPTION OF THE SERIES 2OI5 BONDS FROM REGISTRATION OR QUALIFICATION IN CERTAIN STATES CANNOT BE 670 REGARDED AS A RECOMMENDATION THEREOF. IN MAKING AN INVESTMENT DECISION, INVESTORS MUST RELY ON THEIR OWN EXAMINATION OF THE CITY AND THE TERMS OF THIS OFFERING, INCLUDING THE MERITS AND RISKS INVOLVED. NEITHER THE SECURITIES AND EXCHANGE COMMISSION NOR ANY OTHER FEDERAL, STATE OR GOVERNMENTAL ENTITY OR AGENCY WILL HAVE PASSED UPON THE ACCURACY OR ADEQUACY OF THIS OFFICIAL STATEMENT OR APPROVED OR RECOMMENDED THE SERIES 2OI5 BONDS FOR SALE. ANY REPRESENTATION TO THE CONTRARY MAY BE A CRIMINAL OFFENSE. IN CONNECTION WITH THIS OFFERING, THE UNDERWRITERS MAY OVERALLOT OR EFFECT TRANSACTIONS WHICH STABILZE OR MAINTAIN THE MARKET PRICE OF THE SERIES 2OI5 BONDS AT A LEVEL ABOVE THAT WHICH MIGHT OTHERWISE PREVAIL IN THE OPEN MARKET, AND SUCH STABILIZING, IF COMMENCED, MAY BE DISCONTINUED AT ANY TIME. THE UNDERWRITERS MAY OFFER AND SELL THE SERIES 2OI5 BONDS TO CERTAIN DEALERS AND OTHERS AT PRICES LOWER THAN THE PUBLIC OFFERING PRICES STATED ON THE INSIDE COVER PAGE OF THIS OFFICIAL STATEMENT, AND SUCH PUBLIC OFFERING PRICES MAY BE CHANGED FROM TIME TO TIME BY THE UNDERWRITERS. THIS OFFICIAL STATEMENT SHALL NOT CONSTITUTE A CONTRACT BETWEEN THE CITY OR THE UNDERWRITERS AND ANY ONE OR MORE HOLDERS OF THE SERIES 2OI5 BONDS. THIS OFFICIAL STATEMENT IS BEING PROVIDED TO PROSPECTIVE PURCHASERS EITHER IN BOUND PRINTED FORM ("ORIGINAL BOUND FORMAT") OR IN ELECTRONIC FORMAT ON THE WEBSITE: IVIVW.NIUNIOS.CONI. THIS OFFICIAL STATEMENT MAY BE RELIED UPON ONLY IF IT IS IN ITS ORIGINAL BOUND FORMAT OR IF IT IS PRINTED IN FULL DIRECTLY FROM SUCH WEBSITE. THIS PRELIMINARY OFFICIAL STATEMENT IS IN A FORM DEEMED FINAL BY THE CITY FOR PURPOSES OF RULE l5c2-12 UNDER THE SECURITIES EXCHANGE ACT OF 1934, AS AMENDED, EXCEPT FOR CERTAIN FINANCIAL INFORMATION PERMITTED TO BE OMITTED PURSUANT TO RULE lsc2-12(b)(1). 671 TABLE OF CONTENTS Page INTRODUCTION. PURPOSE OF THE ISSUE. General. Series 2015 Project.. ESTIMATED SOURCES AND USES OF FUNDS. DESCRIPTION OF THE SERIES 2015 BONDS. General. Redemption Provisions.. Book-Entry-Only System Discontinuance of Book-Entry Only System. SECURITY AND SOURCES OF PAYMENT Pledged Funds. FlowofFunds. ... Debt Service Reserve Account. Additional Bonds. Other Obligations Secured by Pledged Funds. Limited Liability.. Modifications or Supplements to Bond Resolution. . . MUNICIPAL BOND INSURANCE. . . . . DEBT SERVICE SCHEDULE THE RESORT TAX. General. Summary Statement of Revenues and Expenses. . . . . HISTORICAL AND PROJECTED RESORT TAX REVENUES, DEBTSERVICEANDDEBTSERVICECOVERAGE ......20 THECITY. ......21 General. .......21 CityGovemment... ...21 Organization ....22 PENSION AND OTHERPOSTEMPLOYMENTBENEFITS. .. ..,,. 23 DefinedBenefitPlans.. .......23 Other Retirement and Compensation Plans. . . . 3l OtherPostEmploymentBenefits. .....32 TAXMATTERS.. ....,.34 General. .......34 Riskof FutureLegislativeChanges and/orCourtDecisions. .. ...... 36 Original Issue Discount and Original Issue Premium . . . 36 FINANCIAL STATEMENTS.. .. ....., 37 CONTINUINGDISCLOSURE.. .......37LrTrGATrON..... ......38 LEGALMATTERS. .....38 ENFORCEABILITYOFREMEDIES... .......39 RATINGS. ..... . 39 UNDERWRITING.. .....40 FINANCIALADVISOR. .......41 CONTINGENTFEES. ,..41 DISCLOSUREREQUIREDBYFLORIDABLUESKYLAWS ,.,,,.. 4I I 2 2 2 4 4 4 5 7 9 9 9 10 l3 l4 15 16 t6 t7 l8 19 t9 20 [1 672 AUTHORIZATION CONCERNINGOFFICIALSTATEMENT.. ..... 4I MISCELLANEOUS,. ..., 42 APPENDICES APPENDIX A APPENDX B APPENDX C APPENDX D APPENDX E APPENDIX F IAPPENDX G - General lnformation and Economic Data Regarding the City of Miami Beach, Florida and Miami-Dade County, Florida. - Excerpts from Comprehensive Annual Financial Report of the City of Miami Beach, Florida for the Fiscal Year Ended September 30,2014. A-l B-1 TheBondResolution. ..... C-l Proposed Form of Opinion of Bond Counsel.. . . . . D-l Proposed Form of Opinion of Disclosure Counsel. . . . E-l Form of Disclosure Dissemination Agent Agreement. . . . . . F-l Specimen Municipal Bond Insurance Policy. . . . . . G-l] lv 673 OFFICIAL STATEMENT relating to $200,000,000* CITY OF MIAMI BEACH, FLORIDA RESORT TAX REVENUE BONDS SERIES 2OI5 INTRODUCTION The purpose of this Official Statement, including the cover page and all appendices, is to set forth certain information relating to the City of Miami Beach, Florida (the "City'') and the sale by the City of its $200,000,000* aggregate principal amount of Resort Tax Revenue Bonds, Series 2015 (the "Series 2015 Bonds"). The Series 2015 Bonds are being issued pursuant to the Constitution and Laws of the State of Florida (the "State"), including Chapter 67-930, Laws of Florida, Acts of 1967, as amended, Chapter 166, Florida Statutes, as amended, the City of Miami Beach Charter, Chapter 102, Article IV of the Miami Beach City Code, as amended, including as amended by Ordinance No. 2015-_ enacted by the Mayor and City Commission of the City (collectively, the "City Commission") on October _, 2015 (collectively, the "Act") and other applicable provisions of law, and pursuant and subject to the terms and conditions of Resolution No. 2015- adopted by the City Commission on October _, 2015 (the "Bond Resolution"). For a complete description of the terms and conditions of the Series 2015 Bonds and the provisions of the Bond Resolution, see "APPENDIX C - The Bond Resolution." Enactment of Ordinance No. 2015-_ by the City Commission facilitates the levy of an additional one percent (1%) Resort Tax (as hereinafter described). Such additional one percent (1%) Resort Tax, as set forth in Section 5.03 of the City of Miami Beach Charter, as amended, was approved by the voters of the City in a special election held on August 14,2012. See "SECURITY AND SOURCES OF PAYMENT - Pledged Funds" herein. The Series 2015 Bonds will be issued in book-entry only form and purchasers of the Series 2015 Bonds will not receive certificates representing their interest in the Series 2015 Bonds purchased. The Series 2015 Bonds will contain such other terms and provisions, including provisions regarding redemption, as described in "DESCRIPTION OF THE SERIES 2015 BONDS" herein. The Series 2015 Bonds are solely payable from and secured by a pledge of and first lien on the Pledged Funds derived by the City from (i) Resort Tax Revenues (as described herein); and (ii) except for moneys, securities and instruments in the Rebate Fund, all moneys, securities and instruments held in the funds and accounts established under the Bond Resolution. Additional Bonds may be issued, on a parity with the Series 2015 Bonds, upon satisfaction of the conditions described in the Bond Resolution. See "SECURITY AND SOURCES OF PAYMENT - Additional Bonds" herein. The Series 2015 Bonds and any additional Bonds hereafter issued are collectively referred to herein as the "Bonds." The Series 2015 Bonds shall not be and shall not be deemed to constitute a debt, liability or obligation of the City, Miami-Dade County, Florida (the "County''), the State or any political subdivision thereof within the meaning of any constitutional, statutory or charter provisions or limitations, or a pledge of the faith and credit of the City, the County, the State or any political subdivision thereof but shall be * Preliminary, subject to change. 674 payable solely from the Pledged Funds, and the obligations evidenced thereby shall not constitute a lien upon any property owned by or situated within the corporate territory of the City, but shall constitute a lien only on the Pledged Funds, all in the manner provided in the Bond Resolution. See "SECURITY AND SOURCES OF PAYMENT - Limited Liability" herein. The City may elect to purchase a municipal bond insurance policy (the "Bond Insurance Policy") to be delivered by a municipal bond insurance provider (the 65Bond Insurer") concurrently with the delivery of the Series 2015 Bonds to guarantee timely payment of the principal of and interest on the Series 2015 Bonds, or one or more maturities of the Series 2015 Bonds, and may elect to satisfy any Reserve Account Deposit Requirement upon issuance of the Series 2015 Bonds with a Reserve Account Insurance Policy or Reserve Account Letter of Credit. This introduction is intended to serve as a brief description of this Official Statement and is expressly qualified by reference to this Official Statement as a whole. A full review should be made of this entire Official Statement, as well as the documents and reports summarized or described herein. The description of the Series 2015 Bonds, the documents authorizing and securing the same, including, without limitation, the Resolution, and the information from various reports contained herein are not comprehensive or definitive. All references herein to such documents and reports are qualified by the entire, actual content of such documents and reports. Copies of such documents and reports may be obtained from the City by contacting the City's Interim Chief Financial Officer, 1700 Convention Center Drive, Miami Beach, Florida 33139, Telephone number: (305) 673-7466. Capitalized terms used but not defined in this Official Statement shall have the meanings ascribed to such terms in the Bond Resolution. See "APPENDIX C - The Bond Resolution." PURPOSE OF THE ISSUE General The Series 2015 Bonds are being issued by the City for the purpose of providing funds to (i) finance a portion of the costs of acquiring and constructing renovations to the Miami Beach Convention Center (the "Convention Center") and related improvements, as more particularly described below in "PURPOSE OF THE ISSUE - Series 2015 Project" (collectively, the "Series 2015 Project"); (ii) fund a deposit to the Reserve Account, if necessary, including the cost of any Reserve Account Insurance Policy or Reserve Account Letter of Credit determined by the City to be advisable; and (iii) pay the costs of issuing the Series 2015 Bonds, including the premium for a municipal bond insurance policy, if any. Series 2015 Project Spanning four (4) city blocks and located in the heart of the South Beach area of the City, the Convention Center currently accommodates meetings, conventions, trade shows and consumer shows. The facility originally opened in 1957 and received a major expansion and renovation in 1989, doubling its original size. Currently the Convention Center encompasses over 1,000,000 square feet of flexible space, including; over 500,000 square feet of exhibit space and over 100,000 square feet of versatile, pre-function area space. It cunently has seventy (70) meeting rooms comprised of 127,000 square feet. The Series 2015 Project includes a major renovation and expansion of the Convention Center to transform the building to "Class A" standards, including Silver LEED certification upgrades and enhanced technology. The design modifications will include reorientation of the exhibit halls, facade upgrades, site improvements along the canal and roadways adjacent to the development, the addition of a grand ballroom, 675 junior ballrooms and meeting rooms. The newly renovated Convention Center will be a 1.4 million square foot, state-of+he-art event facility, with new ballrooms, meeting rooms, versatile indoor/outdoor public spaces and a new 5.8 acre public park containing a flexible lawn area, a food pavilion and a public plaza to honor the City's veterans. Such renovations and improvements related to the Convention Center upgrade are currently scheduled to be completed during Fiscal Year 2018 at a total cost of approximately $596 million, including the portion of such renovations and improvements which constitute the Series 2015 Redevelopment Project. The Series 2015 Project will consist of the Convention Center interior renovations, which will include the redistributed division of the four (4) main exhibition hall spaces and the additional programming of more flexible arrangements of private meeting rooms and additional indoor/outdoor versatile exhibition spaces. Currently, the four (4) main exhibit halls are divided into quadrants, two (2) accessible solely from Washington Avenue and the other two (2) accessible solely from Convention Center Drive. The new Convention Center will reorient the halls in an East/West direction, with the primary access from Convention Center Drive leading into a new grand, fully open, double story entry lobby. Washington Avenue will serve as a secondary means of pedestrian entry. The Series 2015 Project includes substantial improvements to the north of the Convention Center. Above a new enclosed ground floor parking area that will be separately financed will be a 60,000 square foot grand ballroom, offering vistas of the upgraded 21" Street Park located along Collins Canal, featuring the to-be-restored, historic Carl Fisher Clubhouse, the oldest public structure in the City. ln addition, Convention Center Drive will become the main access point for vehicular access. Modifications will include a new median along Convention Center Drive and l9s Street, increasing the attractiveness of the streetscape and creating a more sophisticated boulevard experience. The Canal walkway will undergo a significant upgrade to create a more attractive northem portion of the Convention Center property. The Series 2015 Project also includes the demolition of the existing recreation center along Washington Avenue and replacement of an existing 800 vehicle surface parking lot with the new, 5.8 acre urban park, dining pavilion and Veterans Plaza. The City Commission may determine by resolution to undertake other capital improvements to the Convention Center property or related ancillary projects in addition to and/or in lieu of the improvements or any portion of the improvements described above. [TO BE REVISED, AS NEEDED] 676 (l) (2) ESTIMATED SOURCES AND USES OF FUNDS The following table sets forth the estimated sources and uses of funds in connection with the issuance of the Series 2015 Bonds: Sources of Funds Par Amount of Series 2015 Bonds Net Original Issue DiscounVPremium Total Estimated Sources of Funds Uses of Funds Deposit to Series 2015 Construction Account'') Deposit to Debt Service Reserve Account Deposit to Series 2015 Cost of Issuance Account(2) Underwriters' Discount Total Estimated Uses of Funds $: See "PURPOSE OF THE ISSUE - Series 2015 Project" herein. To pay certain costs of issuance of the Series 2015 Bonds, including, without limitation, printing costs, bond counsel fees, disclosure counsel fees, fees ofthe financial advisor and any premiums paid to the Bond Insurer for issuance ofthe Bond Insurance Policy and the Reserve Account Insurance Policy or Reserve Account Letter of Credit. DESCRIPTION OF THE SERIES 2015 BONDS General The Series 2015 Bonds will be dated their date of delivery. The Series 2015 Bonds will bear interest at the rates and will mature on the dates and in the amounts set forth on the inside cover page of this Official Statement. Interest on the Series 2015 Bonds is payable semiannually commencing on [June 1,2016 and on each December I and June 1l thereafter. Such interest shall be calculated on the basis of a 360 day year consisting of twelve 30-day months. The City has appointed U.S. Bank National Association, Jacksonville, Florida, to serve as the paying agent for the Series 2015 Bonds (the "Paying Agent") and as the bond registrar for the Series 2015 Bonds (the "RegistraC'). In any case where the maturity date of, or the date for the payment of the principal of or interest on the Series 2015 Bonds, or the date fixed for redemption of any Series 2015 Bonds shall be a Saturday, Sunday or a day on which any Paying Agent is required, or authorized or not prohibited, by law (including executive orders) to close and is closed, then payment of such interest or principal need not be paid by the Payrng Agent on such date but may be paid on the next succeeding business day on which the Paying Agent is open for business with the same force and effect as if paid on the date of maturity or date fxed for redemption, and no interest shall accrue for the period after such date of maturity or date fixed for redemption. The Series 2015 Bonds will be issued as fully registered bonds, without coupons, in denominations of $5,000 or any integral multiple thereof, and when issued, will be registered in the name of Cede & Co., 677 as registered owner and nominee of The Depository Trust Company, New York, New York ("DTC"). Purchases of beneficial interests in the Series 2015 Bonds will be made in book-entry-only form, without certificates. Unless a securities depository other than DTC is selected by the City, so long as the Series 2015 Bonds shall be in book-entry-only form, the principal of and interest on the Series 2015 Bonds will be payable to Cede & Co. (or such other nominee selected by DTC), as registered owner thereof, and will be distributed by DTC and the DTC Participants to the Beneficial Owners (as such terms are hereinafter defined). See "THE SERIES 2015 BONDS - Book-Entry Only System" herein. Redemption Provisions Optional Redemption The Series 2015 Bonds maturing on or before December 1,20- are not subject to redemption prior to maturity. The Series 2015 Bonds maturing on or after December l, 20- are subject to redemption prior to maturity, at the option of the City, on or after December 1,20-, in whole or in part at any time, in any order of maturity selected by the City and by lot or by such other manner as the Registrar shall deem appropriate within a maturity, at a redemption price equal to one hundred percent (100%) of the principal amount of the Series 2015 Bonds to be redeemed, together with accrued interest to the date fixed for redemption and without premium. Mandatorv Sinkine Fund Redemption The Series 2015 Bonds maturing on December 1,20- are subject to mandatory sinking fund redemption prior to maturity, in part, by lot or by such other manner as the Registrar shall deem appropriate, through the application of Amortization Requirements, at a redemption price equal to one hundred percent (100%) of the principal amount thereof, on December 1 of each year in the following amounts and in the years specified: Due (December 1) * Amortization Requirement $ * Final maturity. Moneys in the Bond Redemption Account shall be used solely for the purchase, redemption or payment at maturity of the Term Bonds payable therefrom at such times as the same are subject to mandatory redemption or payment. However, the City may at any time use money held in the Bond Redemption Account for the payment of Amortization Requirements to purchase any Series 2015 Bonds that are Term Bonds at prices not greater than the then redemption price of said Term Bonds. If the Term Bonds are not then redeemable, the City may purchase said Term Bonds at prices not greater than the redemption price of such Term Bonds on the next ensuing redemption date. If, by the application of moneys in the Bond Redemption Account, the City shall purchase or call for redemption in any year Term Bonds in excess of the Amortization Requirements for such year, such excess of Term Bonds so purchased or redeemed shall be credited in such manner and at such times as the Chief Financial Officer shall determine over the remaining payment dates. 678 Notice of Redemption Mailing of Notice of Redemption. At least thirty (30) days, but not more than sixty (60) days, before the redemption date, a notice of redemption, signed by the Chief Financial Officer, shall be (a) filed by the City with the Registrar and (b) mailed by the Registrar, first class mail, postage prepaid, to all registered owners of Series 2015 Bonds (which, so long as DTC shall act as securities depository for the Series 2015 Bonds, shall be Cede & Co.) to be redeemed at their addresses as they appear on the registration books of the Registrar. Failure so to mail any such notice to any registered owner shall not affect the validity of the proceedings for such redemption. Each such notice shall specify the redemption date and the place or places where amounts due upon such redemption will be payable and, if less than all of the Series 2015 Bonds are to be redeemed, the numbers or other distinguishing marks of such Series 2015 Bonds to be redeemed in part and the respective portions thereof to be redeemed. Subject to the next succeeding paragraph, such notice shall further state that on such date there shall become due and payable upon each of the Series 2015 Bonds to be redeemed the redemption price or the specified portions thereof in the case of Series 2015 Bonds to be redeemed in part only, together with interest accrued to the redemption date, and that from and after such date interest thereon shall cease to accrue and be payable on such Series 2015 Bonds or portions thereof so redeemed. ln the case of an optional redemption of the Series 2015 Bonds, the redemption notice may state that (a) it is conditioned upon the deposit of moneys with the Registrar or with a bank, trust company or other appropriate fiduciary institution acting as escrow agent (the "escrow agent"), in amounts necessary to effect the redemption, no later than the redemption date, or (b) the City retains the right to rescind such notice on or prior to the scheduled redemption date (in either case, a "Conditional Redemption"), and such notice and optional redemption shall be of no effect if such moneys are not so deposited or if the notice is rescinded as described in this paragraph. Any such notice of Conditional Redemption shall be captioned "Conditional Notice of Redemption." Any Conditional Redemption may be rescinded at any time prior to the redemption date if the City delivers a written direction to the Registrar directing the Registrar to rescind the redemption notice. The Registrar shall give prompt notice of such rescission to the affected Bondholders. Any Series 2015 Bonds subject to Conditional Redemption where redemption has been rescinded shall remain Outstanding, and neither the rescission nor the failure by the City to make such moneys available shall constitute an event of default under the Bond Resolution. qfect of Calling for Redemption. Notice having been given in the manner and under the conditions described above, and with respect to a Conditional Redemption, the Conditional Redemption not having been rescinded, the Series 2015 Bonds or portions of Series 2015 Bonds so called for redemption shall, on the redemption date designated in such notice, become and be due and payable at the redemption price provided for redemption of such Series 201 5 Bonds or portions of Series 201 5 Bonds on such date. On the date so designated for redemption, moneys for payment of the redemption price being held in separate accounts by the Paying Agent in trust for the registered owners of the Series 2015 Bonds or portions thereof to be redeemed, all as provided in the Bond Resolution, interest on the Series 2015 Bonds or portions of Series 2015 Bonds so called for redemption shall cease to accrue, such Series 2015 Bonds and portions of Series 2015 Bonds shall cease to be entitled to any [ien, benefit or security under the Bond Resolution and shall be deemed paid thereunder, and the registered owners of such Series 2015 Bonds orportions of Series 2015 Bonds shall have no right in respect thereof except to receive payment of the redemption price thereof and to receive Series 2015 Bonds for any unredeemed portions of the Series 2015 Bonds. 679 Book-Entry Only System The following desciption of the procedures and record keeping with respect to beneficial ownership interests in the Series 2015 Bonds, payment of the principal of and interest on the Series 2015 Bonds to DTC Participants or Beneficial Owners (as such terms are hereinafter defined) of the Series 2015 Bonds, confirmation and transfer of beneficial ownership interest in the Seies 2015 Bonds and other related transactions by and between DTC, the DTC Participants and the Beneficial Owners of the Series 2015 Bonds is based solely on informationfurnished by DTC on its websitefor inclusion in this Official Statement. Accordingly, neither the City nor the Underwriters can make any representation concerning these matters or take any responsibility for the accuracy or completeness of such information. DTC will act as securities depository for the Series 2015 Bonds. The Series 2015 Bonds will be issued as fully-registered securities registered in the name of Cede & Co., as DTC's partnership nominee, or such other name as may be requested by an authorized representative of DTC. One fully-registered Series 2015 Bond certificate will be issued for each maturity of the Series 2015 Bonds, each in the aggregate principal amount of such maturity, as set forth on the inside cover page of this Official Statement, and will be deposited with DTC. DTC, the world's largest depository, is a limited-purpose trust company organized under the New York Banking Law, a "banking organization" within the meaning of the New York Banking Law, a member of the Federal Reserve System, a "clearing corporation" within the meaning of the New York Uniform Commercial Code, and a "clearing agency" registered pursuant to the provisions of Section 17A of the Securities Exchange Act of 1934. DTC holds and provides asset servicing for over 3.5 million issues of U.S. and non-U.S. equity issues, corporate and municipal debt issues, and money market instruments from over one hundred (100) countries that its participants ("Direct Participants") deposit with DTC. DTC also facilitates the post-trade settlement among Direct Participants of sales and other securities transactions in deposited securities, through electronic computerized book-entry transfers and pledges between Direct Participants' accounts, thereby eliminating the need for physical movement of securities certificates. Direct Participants include both U.S. and non-U.S. securities brokers and dealers, banks, trust companies, clearing corporations, and cercain other organizations. DTC is a wholly-owned subsidiary of The Depository Trust & Clearing Corporation ("DTCC"). DTCC is the holding company for DTC, National Securities Clearing Corporation and Fixed lncome Clearing Corporation, all of which are registered clearing agencies. DTCC is owned by the users of its regulated subsidiaries. Access to the DTC system is also available to others such as both U.S. and non-U.S. securities brokers and dealers, banks, trust companies and clearing corporations that clear through or maintain a custodial relationship with a Direct Participant, either directly or indirectly ("Indirect Participants" and, together with Direct Participants, "DTC Participants"). DTC has Standard & Poor's rating of AA+. The DTC rules applicable to the DTC Participants are on file with the Securities and Exchange Commission. More information about DTC can be found at www.dtcc.com. Purchases of Series 2015 Bonds under the DTC system must be made by or through Direct Participants, which will receive a credit for the Series 2015 Bonds on DTC's records. The ownership interest of each actual purchaser of each Series 2015 Bond ("Beneficial Owner") is in turn to be recorded on the DTC Panicipants' records. Beneficial Owners will not receive written confirmation from DTC of their purchase but Beneficial Owners are expected to receive written confirmations providing details of the transaction, as well as periodic statements of their holdings, from the DTC Participant through which the Beneficial Owner entered into the transaction. Transfers of ownership interests in the Series 2015 Bonds are to be accomplished by entries made on the books of DTC Participants acting on behalf of Beneficial Owners. Beneficial Owners will not receive certificates representing their ownership interests in Series 2015 Bonds, except in the event that use of the book-entry system for the Series 2015 Bonds is discontinued. 680 To facilitate subsequent transfers, all Series 2015 Bonds deposited by Direct Participants with DTC are registered in the name of DTC's partnership nominee, Cede & Co., or such other name as may be requested by an authorized representative of DTC. The deposit of Series 2015 Bonds with DTC and their registration in the name of Cede & Co., or such other DTC nominee, will not effect any change in beneficial ownership of the Series 2015 Bonds. DTC has no knowledge of the actual Beneficial Owners of the Series 2015 Bonds; DTC's records reflect only the identity of the Direct Participants to whose accounts such Series 2015 Bonds are credited, which may or may not be the Beneficial Owners. The DTC Participants will remain responsible for keeping account of their holdings on behalf of their customers. Conveyance of notices and other communications by DTC to Direct Participants, by Direct Participants to Indirect Participants, and by DTC Participants to Beneficial Owners, will be governed by arrangements among them, subject to any statutory or regulatory requirements as may be in effect from time to time. Beneficial Owners of Series 2015 Bonds may wish to take certain steps to augment the transmission to them of notices of significant events with respect to the Series 2015 Bonds, such as redemptions, defaults and proposed amendments to the documents securing the Series 2015 Bonds. For example, Beneficial Owners of the Series 2015 Bonds may wish to ascertain that the nominee holding the Series 2015 Bonds for their benefit has agreed to obtain and transmit notices to Beneficial Owners. In the alternative, Beneficial Owners may wish to provide their names and addresses to the Registrar and request that copies of notices are provided directly to them. Redemption notices shall be sent by the Registrar to DTC. If less than all of the Series 2015 Bonds within an issue are being redeemed, DTC's practice is to determine by lot the amount of the interest of each Direct Participant in such issue to be redeemed. Neither DTC nor Cede & Co. (nor any other DTC nominee) will consent or vote with respect to Series 2015 Bonds unless authorized by a Direct Participant in accordance with DTC's Procedures. Under its usual procedures, DTC mails an Omnibus Proxy to the City as soon as possible after the record date. The Omnibus Proxy assigns Cede & Co.'s consenting or voting rights to those Direct Participants to whose accounts the Series 2015 Bonds are credited on the record date (identified in a listing affached to the Omnibus Proxy). Principal and interest payments on the Series 2015 Bonds will be made to Cede & Co., or to such other nominee as may be requested by an authorized representative of DTC. DTC ' s practice is to credit Direct Participants' accounts upon DTC's receipt of funds and corresponding detail information from the City or the Paying Agent on the payable date in accordance with their respective holdings shown on DTC's records. Payments by DTC Participants to Beneficial Owners will be govemed by standing insffuctions and customary practices, as is the case with securities held for the accounts of customers in bearer form or registered in "street name," and will be the responsibility of such Participant and not of DTC, nor its nominee, the Paying Agent or the City, subject to any statutory or regulatory requirements as may be in effect from time to time. Payment of principal and interest to Cede & Co. (or such other nominee as may be requested by an authorized representative of DTC) is the responsibility of the City or the Paying Agent, disbursement of such payments to Direct Participants shall be the responsibility of DTC, and disbursement of such payments to the Beneficial Owners shall be the responsibility of DTC Participants. When reference is made to any action which is required or permitted to be taken by the Beneficial Owners, such reference shall only relate to those permitted to act (by statute, regulation or otherwise) on behalf of such Beneficial Owners for such purposes. When notices are given, they shall be sent by the City only to DTC. 681 NEITHER THE CITY, THE PAYING AGENT NOR THE REGISTRAR WILL HAVE ANY RESPONSIBILITY OR OBLIGATION TO ANY DTC PARTICIPANT OR TTIE PERSONS FOR WHOM THEY ACT AS NOMINEES WITH RESPECT TO THE SERIES 2015 BONDS IN RESPECT OF THE ACCURACY OF ANY RECORDS MAINTAINED BY DTC OR ANY DTC PARTICIPANT, THE PAYMENT BY DTC OR AIIY DTC PARTICIPANT OF ANY AMOUNT IN RESPECT OF THE PRINCIPAL OF OR INTEREST ON THE SERIES 2015 BONDS, A}[Y NOTICE WHICH IS PERMITTED ORREQUIRED TO BE GIVEN TO BONDHOLDERS UNDER THE BOND RESOLUTION, THE SELECTION BY DTC OR ANY DTC PARTICIPANT OR ANY PERSON TO RECEIVE PAYMENT IN THE EVENT OF A PARTIAL REDEMPTION OF THE SERIES 2015 BONDS, OR ANY CONSENT GIVEN OR OTHER ACTION TAKEN BY DTC AS BONDHOLDER. SO LONG AS CEDE & CO. IS THE REGISTER-ED OWNER OF THE SERIES 2015 BONDS, AS NOMINEE OF DTC, REFERENCES TN THIS OFFICIAL STATEMENT TO THE BONDHOLDERS OR R.EGISTERED OWNERS OF THE SERIES 2015 BONDS SHALL MEAII CEDE & CO., AND SHALL NOT MEAN THE BENEFICIAL OWNERS OF THE SERIES 2015 BONDS. Discontinuance of Book-Entry Only System In the event the City determines that it is in the best interest of the Beneficial Owners to obtain Series 2015 Bond certificates, the City may notify DTC and the Registrar, whereupon DTC will notify the DTC Participants, of the availability through DTC of Series 2015 Bond certificates. In such event, the City shall prepare and execute, and the Registrar shall authenticate, transfer and exchange, Series 2015 Bond certificates as requested by DTC in appropriate amounts and within the guidelines set forth in the Bond Resolution. DTC may also determine to discontinue providing its services with respect to the Series 2015 Bonds at any time by giving written notice to the City and the Registrar and discharging its responsibilities with respect thereto under applicable law. Under such circumstances (if there is no successor securities depository), the City and the Registrar shall be obligated to deliver Series 2015 Bond certificates as described herein. ln the event Series 2015 Bond certificates are issued, the provisions of the Bond Resolution shall apply to, among other things, the transfer and exchange of such certificate and the method of payment of principal of and interest on such certificates. Whenever DTC requests the City and the Registrar to do so, the City will direct the Registrar to cooperate with DTC in taking appropriate action after reasonable notice (i) to make available one or more separate certificates evidencing the Series 2015 Bonds to any DTC Participant having Series 2015 Bonds credited to its DTC account; or (ii) to arrange for another securities depository to maintain custody of certificates evidencing the Series 201 5 Bonds. SECURITY AND SOURCES OF PAYMENT Pledged Funds General. The payment of the principal of, redemption premium, if any, and interest on all Bonds are secured equally and ratably by a first lien on and pledge of the Pledged Funds, which consist of (i) the Resort Tax Revenues and (ii) except for moneys, securities and instruments in the Rebate Fund, all moneys, securities and instruments held in the funds and accounts established under the Bond Resolution. "Resort Tax Revenues" means the proceeds of the Resort Tax. "Resort Tax" means the municipal tax imposed, levied and collected by the City pursuant to the Act upon the rent of every occupancy of a room or roons in any hotel, motel, rooming house or apartrnent house in the City, and upon the total sales price of all items of food, beverages, alcoholic beverages and wine sold at retail of any restaurant in the City, as more particularly set forth in the Act. See "THE RESORT TAX" herein. 682 Resort Tax Levy and Collectio,r. Subject to the limitations provided in the Act, the City currently imposes, levies and collects a Resort Tax of three percent (3%) on rentals of rooms in any hotel, motel, rooming house or apartment house in the City and two percent (2%) on the total sales price of all items of food, beverages, alcoholic beverages and wine sold at retail of any restaurant in the City. "Restaurant" means any business or place for serving of food or refreshments required by law to be licensed by the Hotel and Restaurant Commission of the State or any premises licensed by the City for the sale of intoxicating liquor or wine. Subject to the limitations provided in the Act, the City Commission has the authority and power, by ordinance, to determine and fix the amount of the Resort Tax, after public hearing, not in excess of two percent (2Yo), except that an additional tax of up to two percent (2o/o) (hereinafter to as the "Additional Tax") may be imposed, levied and collected on rentals of rooms in any hotel, motel, rooming house or apartrnent house in the City. In addition to the Resort Tax currently collected, the City Commission enacted Ordinance No._ on October _,2015 to provide that an Additional Tax of one percent (l%) on rentals of rooms in any hotel, motel, rooming house or apartment house in the City be levied and collected. Levy of the Additional Tax of one percent (l%) will cornmence prior to issuance of the Series 2015 Bonds. With the imposition of the one percent (1%) Additional Tax, the Resort Tax is currently being imposed by the City in the maximum amount authorized under the Act to be imposed by the City. For more detailed information conceming the imposition, levy and collection of the Resort Tax, see "THE RESORT TAX" herein. The City covenants and agrees in the Bond Resolution that as long as any of the principal of or interest on any Series of Bonds is unpaid, or payment thereof not duly provided for, it will not repeal the Miami Beach City Code provisions pursuant to which the Resort Tax is levied, will not reduce the rates of the Resort Tax, or amend or modify the Miami Beach City Code provisions, in any manner so as to impair or adversely affect the power and obligation of the City to levy and collect the Resort Tax, or impair or adversely affect in any manner the pledge of the Pledged Funds made in the Bond Resolution, or the rights of holders of Bonds. Pursuant to the covenants of the Bond Resolution, the City is unconditionally and irrevocably obligated, as long as any of the Bonds, or the interest thereon, are Outstanding and unpaid, to levy and collect the Resort Tax at not less than the rates being levied by the City on the date of issuance of the Series 2015 Bonds, to the full extent necessary to pay the principal of and interest on the Bonds and any other payments provided in the Bond Resolution. Flow of Funds Creution of Funds and Accounrs. The Bond Resolution created a special fund for the deposit of Resort Tax Revenues (the "Resort Tax Fund"). The Bond Resolution also created the "Resort Tax Sinking Fund" (the "Sinking Fund") and established four (4) separate accounts therein for the benefit of the Holders of Bonds, provided in the Bond Resolution. The accounts created in the Sinking Fund are the "Interest Account," the "Principal Account," the "Bond Redemption Account" and the "Debt Service Reserve Account." The Bond Resolution also created the "Rebate Fund," which fund shall be maintained by the City separate and apart from all other funds and accounts held by the City and which fund shall not be subject to the lien of the Bond Resolution in favor of Holders of the Bonds. The City shall deposit Pledged Funds into the Rebate Fund in the amounts required to be paid to the United States of America to satisfr the arbitrage rebate covenants made by the City in connection with the issuance of Tax-Exempt Bonds. In addition, the Bond Resolution created a special fund designated the "Construction Fund" and a special fund designated the "Cost of Issuance Fund." Separate accounts within the Construction Fund 10 683 and the Cost of Issuance Fund shall be created for the deposit of proceeds of each Series of Bonds and other available moneys to fund projects being funded from proceeds of such Series of Bonds and other available moneys (with respect to the Construction Fund) and to pay costs of issuance of such Series of Bonds (with respect to the Cost of Issuance Fund). If for any reason moneys in the Construction Fund, or any part thereof, including any investment eamings on deposit therein, are not necessary for, or are not applied to the purposes provided for the applicable Series of Bonds, then such unapplied proceeds, upon certification of a duly authorized official of the City that such surplus proceeds are not needed for such purposes, shall be applied: (D First, to the Debt Service Reserve Account, to the full extent necessary, to make the amount then on deposit therein equal to the Reserve Account Requirement, as applicable, on the Bonds then Outstanding; and (iD Second, the balance, if any, to the redemption or purchase or payment of principal of Outstanding Bonds or for any other lawful purpose. Each of the funds and accounts created in the Bond Resolution shall be held and administered by the City. Such funds and accounts shall constitute trust funds (except for the Rebate Fund) held solely for the purposes provided in the Bond Resolution. Deposit and Use of Resort Tax Revenues. As soon as the same are received by the City, all Resort Tax Revenues shall be deposited into the Resort Tax Fund. All Resort Tax Revenues at any time on deposit in the Resort Tax Fund shall be disposed of only in the following manner: (l) Resort Tax Revenues shall first be used, to the full extent necessary, for deposit into the Interest Account in the Sinking Fund, on the fifteenth (15th) day of each month, beginning with the fifteenth (15th) day of the first (lst) full calendar month following the date on which any or all of the Bonds are delivered to the purchaser thereof, of such sums as shall be sufficient to pay one-sixth (l/6th) of the interest becoming due on the Bonds on the next semi-annual lnterest Payment Date; provided, however, that such monthly deposits for interest shall not be required to be made into the lnterest Account to the extent that money on deposit therein is sufficient for such purpose and, provided further, that in the event the City has issued additional parity Variable Rate Bonds or entered into any Interest Rate Swaps pursuant to the provisions of the Bond Resolution, Resort Tax Revenues shall be deposited at such other or additional times and amounts as necessary to pay the interest becoming due on the Variable Rate Bonds on the next lnterest Payment Date or make the payments due under the lnterest Rate Swaps on a parity with interest due on the Bonds, all in the manner provided in the applicable supplemental resolution. The City shall, on each lnterest Payment Date, transfer to the Payrng Agent moneys in an amount equal to the interest due on such lnterest Payment Date or shall advise the Payng Agent of the amount of any deficiency in the amount so transferred so that the Paying Agent may give appropriate notice required to provide for the payment of such deficiency from any Reserve Account Insurance Policy or Reserve Account Letter of Credit on deposit in the Debt Service Reserve Account. ln the event that the period to elapse between the date of the delivery of the Bonds and the next semi-annual Interest Payment Date will be other than six (6) months, then such monthly payments shall be adjusted to provide the required interest amount becoming due and payable on the next Interest Payment Date. 11 684 (2) (a) Resort Tax Revenues shall next be used, to the fulI extent necessary, for deposit in the Principal Account in the Sinking Fund, on the fifteenth (lsth) day of each month in each year, of one-sixth (1/6th) of the next maturing principal amount of Serial Bonds which will mature and become due on such semi-annual maturity dates and one-twelfth (ll|2th) of the next maturing principal amount of Serial Bonds which will mature and become due on such annual maturity dates, beginning on such dates, as shall be determined by the City; provided, however, that such monthly deposits for principal shall not be required to be made into the Principal Account to the extent that money on deposit therein is sufficient for such purpose. The City shall, on the business day prior to each principal payment date, transfer to the Paying Agent moneys in an amount equal to the principal due on such principal payment date or shall advise the Paying Agent of the amount of any deficiency in the amount so transferred so that the Paying Agent may give appropriate notice required to provide for the payment of such deficiency from any Reserve Account lnsurance Policy or Reserve Account Letter of Credit on deposit in the Debt Service Reserve Account. ln the event the period to elapse between the date of delivery of the Bonds and the next principal payment date will be other than six (6) months, in the case of Serial Bonds which mature semi-annually, or twelve (12) months, in the case of Serial Bonds which mature annually, then such monthly payments shall be increased or decreased, as appropriate, in sufficient amounts to provide the required principal amount maturing on the next principal payment date. Any monthly payment of Resort Tax Revenues to be deposited as set forth above for the purpose of meeting payments of principal of the Bonds, shall be adjusted, as appropriate, to reflect the frequency of principal payments applicable to such Series. (b) Resort Tax Revenues shall next be used, to the full extent necessary, for deposit into the Bond Redemption Account in the Sinking Fund on the fifteenth (lsth) day of each month in each year, beginning on such date, of such Amortization Requirements as may be required for the payment of the Term Bonds payable from the Bond Redemption Account. (3) Resort Tax Revenues shall next be used, to the full extent necessary, for deposit into the Debt Service Reserve Account on the fifteenth (lsth) day of each month in each year, beginning with the fifteenth (l5th) day of the first full calendar month following the date on which any or all of the Bonds are delivered to the purchaser thereof, such sums as shall be at least sufficient to pay an amount equal to one-sixtieth (l/60th) of the difference between the amount on deposit in the Debt Service Reserve Account (including any Reserve Account Insurance Policy or Reserve Account Letter of Credit) and the applicable Reserve Account Requirement for the Bonds Outstanding, and, provided, further, that no payments shall be required to be made into the Debt Service Reserve Account whenever and as long as the amount deposited therein (including any Reserve Account lnsurance Policy or Reserve Account Letter of Credit) shall be equal to the applicable Reserve Account Requirement for the Bonds Outstanding. (4) Resort Tax Revenues shall next be used for the payment of any subordinated obligations issued by the City in accordance with the provisions for the issuance of such obligations under the Bond Resolution, which subordinate obligations shall have such lien on the Resort Tax Revenues as the City shall determine in the proceedings authorizing the issuance of such subordinated obligations. t2 685 (5) Resort Tax Revenues shall next be used to make payments required under lnterest Rate Swap arrangements which are not payable from amounts deposited therefor into the lnterest Account. (6) Thereafter, the balance of any Resort Tax Revenues remaining in the Resort Tax Fund shall, subject to the requirement to make deposits into the Rebate Fund, be used by the City for any lawful purposes; provided, however, that none of such Resort Tax Revenues shall ever be used for the purposes provided in this paragraph (6) unless all payments required in paragraphs (l) through (5) above, including any deficiencies for prior payments and any amount due to the issuer of any Reserve Account Insurance Policy or Reserve Account Letter of Credit, have been made in full to the date of such use. Notwithstanding anything in paragraphs (l) and (2) above to the contrary, failure to make the scheduled payments specified therein shall not constitute a breach of the City's obligations under the Bond Resolution so long as, on the date that any interest or principal payment is due on the Bonds, monies sufficient to make such payment are on deposit in the lnterest Account, Principal Account or Bond Redemption Account, as the case may be. If the amounts deposited in any month pursuant to such provisions shall be less than the amounts required, the requirement shall be cumulative and the amount of the deficiency in any month shall be added to the amount otherwise required to be deposited in each month thereafter until such time as all such deficiencies have been satisfied. Notwithstanding the foregoing or any other provision in the Bond Resolution to the contrary, if any amount applied to the payment of principal of and premium, if any, and interest on the Bonds that would have been paid from an account in the Sinking Fund, is paid instead under a Credit Facility or a Liquidity Facility, amounts deposited in such relevant account may be paid, to the extent required, to the issuer of the Credit Facility or Liquidity Facility having therefore made said corresponding payment. Debt Service Reserve Account The Bond Resolution established the Debt Service Reserve Account for the benefit of the Bonds secured by such account and requires that funds be deposited therein, in the amounts and at the times established in the Bond Resolution, until the Reserve Account Requirement has been satisfied. See "SECURITY AND SOURCES OF PAYMENT - Flow of Funds - Deposit and Use of Resort Tax Revenues" herein. The Reserve Account Requirement under the Bond Resolution is an amount equal to the lesser of (i) the Maximum Annual Debt Service for all Outstanding Bonds in the current or any subsequent Fiscal Year, or (ii) the maximum amount allowed to be funded from proceeds of Bonds under the Code; provided that, if the Mayor's Certificate in the case of the Series 2015 Bonds or if the supplemental resolution corresponding to any other Series of Bonds provides for the establishment of a separate subaccount in the Debt Service Reserve Account to secure only the Series 2015 Bonds or such other Series of Bonds (with such Series 2015 Bonds or other Series of Bonds having no claim on the other moneys deposited to the credit of the Debt Service Reserve Account), the Reserve Account Requirement for the Series 2015 Bonds or such other Series of Bonds shall be calculated as provided for in the Mayor's Certificate or in the corresponding supplemental resolution; and provided further that, if the Mayor's Certificate in the case of the Series 2015 Bonds or if the supplemental resolution corresponding to any other Series of Bonds provides that the Series 2015 Bonds or such other Series of Bonds shall not be secured by the Debt Service Reserve Account or any separate subaccount therein, the Reserve Account Requirement shall be calculated without taking into account the Series 2015 Bonds or such other Series of Bonds. 13 686 Moneys in Debt Service Reserve Account shall be used only for the purpose of making payments of principal of and interest on the Bonds when the moneys in the Resort Tax Fund or any other fund or account held pursuant to the Bond Resolution and available for such purpose are insufficient therefor. Any moneys in the Debt Service Reserve Account in excess of the applicable Reserve Account Requirement for the Bonds Outstanding may, in the discretion of the City, be transferred to and deposited in the Interest Account, the Principal Account or the Bond Redemption Account as the City at its option may determine. Notwithstanding the provisions of the Bond Resolution providing for the deposit of funds into the Debt Service Reserve Account to satisft the Debt Service Reserve Requirement, in lieu of or in substitute for the required deposits of Resort Tax Revenues (including existing deposits of Resort Tax Revenues) into the Debt Service Reserve Account, the City may cause to be deposited into the Debt Service Reserve Account a Reserve Account lnsurance Policy or a Reserve Account Letter of Credit for the benefit of the Holders of the Bonds Outstanding in an amount equal to the difference between the applicable Reserve Account Requirement for the Bonds Outstanding and the sums then on deposit in the Debt Service Reserve Account, if any. The Reserve Account Insurance Policy or Reserve Account Letter of Credit so deposited shall be payable or available to be drawn upon, as the case may be (upon the giving of notice as required thereunder) on any lnterest Payment Date on which a deficiency exists which cannot be cured by moneys in any other fund or account held pursuant to the Bond Resolution and available for such purpose. If a disbursement is made under the Reserve Account lnsurance Policy or the Reserve Account Letter of Credit, the City shall be obligated to either reinstate the maximum limits of such Reserve Account Insurance Policy or Reserve Account Letter of Credit immediately following such disbursement equal to the applicable Reserve Account Requirement for the Bonds Outstanding, or to deposit into the Debt Service Reserve Account from the Resort Tax Revenues funds in the amount of the disbursements made under such Reserve Account lnsurance Policy or Reserve Account Letter of Credit, or a combination of such alternatives as shall equal the applicable Reserve Account Requirement for the Bonds Outstanding. In the event that any moneys shall be withdrawn from the Debt Service Reserve Account for payments into the Interest Account, Principal Account and Bond Redemption Account, such withdrawals shall be subsequently restored in the manner described in paragraph (3) under "SECUzuTY AND SOURCES OF PAYMENT - Flow of Funds - Deposit and Use of Resort Tax Revenues" in this Official Statement, from the first Resort Tax Revenues or funds available after all required payments have been made into the Interest Account, Principal Account and Bond Redemption Account, including any deficiencies for prior payments, unless restored by the reinstatement of the maximum limits of a Reserve Account Insurance Policy or Reserve Account Letter of Credit. [The City will, on the date of issuance of the Series 2015 Bonds, deposit into the Debt Service Reserve Account from proceeds of the Series 2015 Bonds an amount equal to the Reserve Account Requirement for the Series 2015 Bonds or, in lieu of such a deposit or any portion thereof, will deposit a Reserve Account Insurance Policy and/or Reserve Account Letter of Credit.] Additional Bonds Pursuant to the Bond Resolution, no additional Bonds, payable out of the Pledged Funds on a parity with the Series 201 5 Bonds shall be issued unless certain conditions set forth in the Bond Resolution are met, including: (i) The City must be current in all deposits and payments required under the Bond Resolution and the City must be currently in compliance with the covenants and provisions of the Bond Resolution and any supplemental resolution hereafter adopted for the issuance of additional t4 687 parity Bonds, unless upon the issuance of such additional parity Bonds the City will be in compliance with all such covenants and provisions; (ii) The amount of the Resort Tax Revenues during the immediately preceding Fiscal Year or any twelve (12) consecutive months selected by the City of the eighteen (18) months immediately preceding the issuance of the additional parity Bonds, as certified by an independent certified public accountant, were at least equal to one hundred fifty percent (150%) of the Maximum Annual Debt Service on (i) the Bonds originally issued pursuant to the Bond Resolution and then Outstanding, (ii) any additional parity Bonds theretofore issued and then Outstanding, and (iii) the additional parity Bonds then proposed to be issued. The City need not comply with the requirement described in subparagraph (ii) above in the issuance of additional parity Bonds if and to the extent the Bonds to be issued are refunding Bonds delivered in lieu of or in substitution for Bonds originally issued under the Bond Resolution or previously issued additional parity Bonds, if the City shall cause to be delivered a certificate of the Chief Financial Officer setting forth (1) the Maximum Annual Debt Service (a) with respect to the Bonds of all Series Outstanding immediately prior to the date of authentication and delivery of such refunding Bonds, and (b) with respect to the Bonds of all Series to be Outstanding immediately thereafter, and (2) that the Maximum Annual Debt Service set forth pursuant to (b) above is no greater than that set forth pursuant to (a) above. The term "additional parity Bonds" shall be deemed to mean additional obligations evidenced by Bonds issued under the provisions and within the limitations set forth in the Bond Resolution, as generally described herein, payable from the Pledged Funds on apaity with Bonds originally authorized and issued pursuant to the Bond Resolution. Such Bonds shall be deemed to have been issued pursuant to the Bond Resolution the same as the Bonds originally authorized and issued pursuant to the Bond Resolution and all of the covenants and other provisions of the Bond Resolution (except as to details of such Bonds evidencing such additional parity obligations inconsistent therewith) shall be for the equal benefit, protection and security of the Holders of any Bonds originally authorized and issued pursuant to the Bond Resolution and the Holders of any Bonds evidencing additional obligations subsequently issued within the limitations of and in compliance with the provisions herein describing the issuance of additionat parity Bonds. All of such Bonds, regardless of the time or times of their issuance, shall rank equally with respect to their lien on the Pledged Funds and their sources and security for payment therefrom, without preference ofany Bonds over any other Bonds. The term "additional parity Bonds" shall not be deemed to include bonds, notes, certificates or other obligations subsequently issued in accordance with the Bond Resolution, the lien of which on the Pledged Funds is subject to the prior and superior lien on the Pledged Funds of the Bonds. The City has covenanted in the Bond Resolution that it shall not issue any obligations whatsoever payable from the Pledged Funds which rank prior to or equally as to lien and source and security for their payment from the Pledged Funds with the Bonds, except in the manner and under the conditions provided in the Bond Resolution for the issuance of additional parity Bonds or pursuant to the provisions of the Bond Resolution relating to the issuance ofother obligations thereunder. Other Obligations Secured by Pledged Funds Except upon the conditions and in the manner provided in the Bond Resolution, the City will not issue any other obligations payable from the Pledged Funds, nor voluntarily create or cause to be created any debt, lien, pledge, assignment, encumbrance or any other charge having priority to or being on a parity with the lien of the Bonds and the interest thereon, upon any of the Pledged Funds; provided, however, that the City may enter into agreements with issuers of Credit Facilities and Liquidity Facilities which involve t5 688 liens on Resort Tax Revenues on a parity with that of the Series of Bonds or portion thereof which is supported by such Credit Facilities or Liquidity Facilities and may enter into Interest Rate Swaps which involve a lien on the Resort Tax Revenues on a parity with the lien of the Bonds. Any other obligations in addition to the Bonds authorized by the Bond Resolution or additional parity Bonds issued under the terms, restrictions and conditions contained in the Bond Resolution, shall provide that such obligations are junior, inferior and subordinate in all respects to the Bonds issued pursuant to the Bond Resolution as to lien on and source and security for payment from the Resort Tax Revenues and in all other respects. Limited Liability The Series 2015 Bonds shall not be and shall not be deemed to constitute a debt, liability or obligation of the City, the County, the State or any political subdivision thereof within the meaning of any constitutional, statutory or charter provisions or limitations, or a pledge of the faith and credit of the City, the County, the State or any political subdivision thereof, but shall be payable solely from the Pledged Funds. No Holder or Holders of any Series 2015 Bonds shall ever have the right to compel the exercise of the ad valorem taxing power of the City, the County, the State or any political subdivision thereof, or taxation in any form of any real or personal property therein, or the application of any funds of the City, the County, the State or any political subdivision thereof to pay the Series 2015 Bonds or the interest thereon or the making of any sinking fund or reserve payments provided for in the Bond Resolution, other than the Pledged Funds. The Series 2015 Bonds and the obligations evidenced thereby shall not constitute a lien upon any property owned by or situated within the corporate territory of the City, but shall constitute a lien only on the Pledged Funds, to the extent, in the manner, and with the priority of application provided in the Bond Resolution. See "APPENDIX D - The Bond Resolution." Modifications or Supplements to Bond Resolution No adverse material modification or amendment may be made to the Bond Resolution, or any resolution supplementing or amending the Bond Resolution, without the consent in writing of (a) the Holders of more than fifty percent (50%) in aggregate principal amount of the Bonds then Outstanding or (b) in case less than all of the several Series of Bonds then Outstanding are affected by the modification or amendment, the Holders of more than fifty percent (50%) in aggregate principal amount of the Bonds of each Series so affected and Outstanding at the time such consent is given. However, no modification or amendment shall permit (i) a change in the maturity or principal amount of any of the Bonds or a reduction in the rate of interest thereon, (ii) a change in the promise of the City to pay the principal of and interest on any Bonds, as the same mature or become due, from the Pledged Funds, or (iii) a reduction in the required percentage of Holders of the Bonds, as described above, for modifications or amendments, without the consent of all of the Holders of the Bonds outstanding. For the purpose of Bondholders' voting rights or consents authorized by the Bond Resolution, the consent of the Holders of any additional Series of Bonds shall be deemed given if the underwriters or initial purchasers for resale consent in writing to such supplemental resolution and the nature of the amendment effected by such supplemental resolution is disclosed in the offrcial statement or other offering document pursuant to which such additional Series of Bonds is offered and sold to the public. In addition, for purposes of providing the written consent of the Holders of any Series of Bonds to any supplemental resolution modifying or amending any term or provision of the Bond Resolution, to the extent any Series of Bonds is secured by a Credit Facility or Liquidity Facility, the consent of the issuer the Credit Facility or Liquidity Facility for such Series of Bonds shall constitute the consent of the Holders of such Bonds. t6 689 Notwithstanding the foregoing, the City may, from time to time, without the consent of the Holders of any Series of Bonds, amend, change, modify or alter the Bond Resolution for any of the specifically authorized reasons set forth in Sections 601(a) through O of the Bond Resolution. See "APPENDIX D - The Bond Resolution." MUNICIPAL BOND INSURANCE TO COME,IF NEEDED [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] t7 690 DEBT SERVICE SCHEDULE table sets forth the Annual Debt Service Requirement for each Fiscal Year for theThe following Series 2015 Bonds. Fiscal Year Ending September 30 2016 20t7 2018 20r9 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 2040 2041 2042 2043 2044 2045 Total Principal Interest Total l8 $: 691 THE RESORT TAX [THIS SECTION SHALL BE UPDATED, AS NEEDED] General l9 692 HISTORICAL AND PROJECTED RESORT TAX R-EVENUES, DEBT SERVICE AND DEBT SERVICE COVERAGE General The information in the following table sets forth the historical and projected collection of Resort Tax Revenues, Maximum Annual Debt Service for the Series 2015 Bonds and coverage provided, or projected to be provided, by the Resort Tax Revenues. Resort Tax Revenues, Debt Service and Debt Service Coverage Fiscal Year 2010 20tt 2012 2013 20t4 2015Q) 20t6 2017 2018 2019 2020 Resort Tax Revenues $ Maximum Annual Debt Service on Series 2015 Bonds(') $12,846,250 12,846,250 12,846,250 12,846,250 12,846,250 12,846,250 12,946,250 12,846,250 12,846,250 12,846,250 12,846,250 Coverage on Maximum Annual Debt Service for Series 2015 Bonds(r) Source: (l) City of Miami Beach Finance Department. Represents the Maximum Annual Debt Service on the Series 2015 Bonds, assuming an aggregate principal amount of $197,420,000, a final maturity of December 1,2045, and a true interest cost of 4.135Yo. The assumed Maximum Annual Debt Service on the Series 2015 Bonds is included in the historical years solely for purposes of showing the amount of coverage that would have been available if the Series 2015 Bonds had been issued prior to Fiscal Year 2010. The assumed Maximum Annual Debt Service occurs in Fiscal Year 2027. AII amounts are preliminary, subject to change. Unaudited.(2) 20 693 THE CITY General The City is located on a barrier island surrounded by the Atlantic Ocean to the east and Biscayne Bay to the west. The City comprises seven (7) square miles of land area and ten (10) square miles of Biscayne Bay. The City is connected to the mainland by four (4) causeways. The climate of the City is tropical, with an average annual temperature of 75 degrees Fahrenheit, 24 degrees Celsius. The City is the home of the Art Deco Historic District, consisting of one of the greatest concentrations of Art Deco architecture in the United States. Within the Art Deco Historic District is the world famous Ocean Drive, which has been called the "Riviera" of Florida. The economy of the area is based on tourism. For Fiscal Year 2014, hotel, food and beverage sales accounted for an estimated$2.2 billion in sales within the City. City Government The City was incorporated as a municipal corporation on March 26,1915. The City operates under a Commission/City Manager form of govemment. The City Commission consists of the Mayor and six (6) Commissioners who serve as the policy-making body of the City. Authority is vested in the City Commission to enact ordinances, hold public hearings, approve contracts, establish the City's budget and tax assessments, and authorize construction of all public improvements. The Mayor and City Commission are elected on a citywide, nonpartisan basis. Elections are held in odd numbered years, with the Mayor elected to serve two-year terms with a limit of three (3) consecutive terms. Commissioners are elected to serve four-year terms with a limit of two (2) consecutive terms. City Commission terms are staggered so that not all Commissioners are up for re-election at the same time. On a rotating basis, the City Commission selects one (1) of its members to serve as Vice Mayor for a three- month term. The Mayor, who is the presiding officer at City Commission meetings, may vote on all matters that come before the City Commission, but has no power of veto. The City Commission appoints the City Manager, the City Attomey and the City Clerk. All other department heads are appointed by the City Manager, with the consent of the City Commission. Philip Levine serves as the Mayor of the City. Mayor Levine was elected as Mayor on November 5,2013 and his current term of office will expire in November 2015. Set forth below is a list which contains the current members of the City Commission and the expiration of their respective terms of office: Miami Beach, Florida City Commission Ciw Commission Members Edward L. Tobin, Vice Mayor Michael Grieco Joy Malakoff Micky Steinberg Deede Weithom Jonah Wolfson Date Term Ends November 2015 November 2017 November 2017 November 2017 November 2015 November 2015 2t 694 The next general election of the City will be held on November 3,2015. The Mayor is running against a single opponent in the upcoming election, as are two (2) of the three (3) City Commissioners. No City Commissioner whose term is expiring in November 2015 is running for reelection. In addition, if noone running for the seat that has more than two (2) candidates on the ballot receives more than fifty percent (50%) of the votes cast in the general election, a run-off election will be held to determine the winner of that race. If required, the run-off election will be held on November 17 , 2015. The results of the election are expected to be certified by the current Mayor and City Commission in a meeting to be held sometime after the general election or, if a run-off election is held, after the run-off election. The current Mayor and City Commission are expected to serve until newly elected members have been seated. Organization On behalf of the City, the Resort Tax is managed by the City Manager, an Assistant City Manager and the Chief Financial Officer. Set forth below is a description of the management offrcials of the City who are responsible for the operation and control of the programs and initiatives relating to the City's Resort Tax Revenues: Jimmy L. Morales, Esq., City Manager. Mr. Morales was appointed City Manager for the City of Miami Beach, Florida in April 2013. Prior to accepting his position as City Manager, Mr. Morales was a shareholder and member of the Board of Directors of the law firm, Steams Weaver Miller Weissler Alhadeff & Sitterson, P.A. from 2000-2013. Mr Morales also served as City Attomey for the City of Doral, Florida ftom2009-2013 and as City Attomey for the City of Marathon, Florida from 2005-2009. In addition, Mr. Morales served as a member of the Board of County Commissioners of Miami-Dade County, Florida from 1996-2004. He has received numerous professional awards, honors and recognitions, including the Greater Miami Chamber of Commerce Bill Colson Leadership Award for Outstanding Leadership and Superior Ability in 2000, the SAVE Dade Champion of Equality award in 2006, and induction into the Miami Beach High School Hall of Fame in 2004. He was selected as one of the Top Lawyers in South Florida by the South Florida Legal Guide in 2008-2009 and,2011 and as one of the Florida Super Lawyers in 2006-2010. Mr. Morales received his Bachelor of Arts, Magna Cum Laude, from Harvard University and his Juris Doctorate, Magna Cum Laude, from Harvard Law School. John Woodruff, Interim Chief Financial Officer. Mr. Woodruff was appointed Interim Chief Financial Officer for the City of Miami Beach, Florida in September 2015. Prior to accepting his position as Interim Chief Financial Officer, Mr. Woodruff served as Director of the Office of Budget and Performance Improvement for the City from June 201 3 to September 2015 . Prior to joining the City, Mr. Woodruff served as co-owner of Panama Realtor Property Management Services from August 2012 to June 2013. He also served in various capacities for Pinellas County, Florida, including serving as Director of the Pinellas County Office of Management and Budget from April 2007 to July 2012 and as a Manager in such office from April2002 to April 2007. Prior to employment in Florida, Mr. Woodruff served in various positions for the City of San Antonio, Texas, including serving as a Senior Budget and Management Analyst in the Office of Management and Budget for the City of San Antonio from February 2000 to April 2002 and as a Budget and Management Analyst in such office from January 1998 to February 2000. He also intemed with the U.S. Department of Commerce, the Intemational Affairs Department for the City of San Antonio and the Mayor's Office for the City of San Antonio. Mr. Woodruff received a Masters in Business Administration, in Intemational Business, from the University of Texas at San Antonio and a Bachelor of Arts in History from the University of Texas at Austin. Kathie G. Brooks, Assistant City Manager. Ms. Brooks was appointed an Assistant City Manager for the City of Miami Beach, Florida in April 2013 and served the City as its interim City Manager from July 2012 to April 2013. Prior to accepting her position in the offrce of the City Manager, 22 695 Ms. Brooks served as the City's Budget and Performance Improvement Director from 2004-2012. Prior to joining the City, Ms. Brooks served in various capacities and senior level positions for Miami-Dade County, Florida for two decades, including in the Miami-Dade County Budget Department from 2003-2004, the Miami-Dade County Manager's Office of Performance lmprovement from 2001-2003, the Miami-Dade County Solid Waste Department from 1989-2001 and in the Miami-Dade County Transit Department from 1984-1989. Prior to her service in govemment, Ms. Brooks was a transportation planner for the firm of Schimpeler Corradino and Associates from 1980-1983. Ms. Brooks received her Bachelor and Master of Arts in Geography from the University of Miami. On September 10, 2015 the Chief Financial Officer and the Assistant Finance Director for the City resigned from their respective positions. The Chief Financial Officer had served in her position for eighteen (18) years and the Assistant Finance Director had been an employee of the City for seventeen (17) years. No explanations were provided by either employee in connection with the submittal of their resignations. However, the City Manager has stated that his decision to accept their resignations had nothing to do with the performance of the City's Finance Department nor the financial status of the City. Each position has been hlled by the City Manager's appointment of experienced City employees who will serve in the position of Interim Chief Financial Officer and Interim Assistant Finance Director, respectively, until permanent replacements are selected. For more detailed information relating to the City, see "APPENDX A - General Information and Economic Data Regarding the City of Miami Beach, Florida and Miami-Dade County, Florida." PENSION AND OTHER POST EMPLOYMENT BENEFITS Defined Benefit Plans The City provides separate defined benefit pension plans for general employees of the City and for the City's police and fire department personnel. Emplovees' Retirement Plan Plan Description All full-time employees of the City who work more than thirty (30) hours per week and hold classified and unclassified positions, except for policemen and firemen and persons who elected to join the defined contribution retirement plan sponsored by the City, are covered by the Miami Beach Employees' Retirement Plan (the "Employee Plan"). A classified employee and/or an unclassified employee is any person employed by the City on a regular basis who receives compensation from the City for personal services and who is within a group or classification of employees designated by the Board of Trustees of the Employee Plan as eligible for membership in the Employee Plan. The Employee Plan is a single employer defined benefit pension plan that was established by the City Commission under Ordinance number 2006-3504. Effective on March 18, 2006, the Employee Plan was created under and by the authority of Chapter I 8691 , Laws of Florida, Act of 1937 , as amended, by merging the Retirement System for General Employees of the City of Miami Beach, created by the City Commission pursuant to Ordinance number 1901, with the Retirement System for Unclassified Employees and Elected Officials of the City of Miami Beach, created by the City Commission pursuant to Ordinance number 88-2603, as amended. All full+ime classified and unclassified employees of the City, except those who joined the City's defined contribution plan, must participate in the Employee Plan. See "PENSION AND OTHER POST EMPLOYMENT BENEFITS - Other Retirement and Compensation Plans" herein. Membership in the Employee PIan consisted of the following as of October 1,2013, the date of the latest accrual valuation: 23 696 Employee Plan Membership lnactive plan members and beneficiaries currently receiving benefits Inactive plan members entitled to benefits but not yet receiving them Active plan members Total members 1,055 125* 1.014 2_J9A Source: City of Miami Beach, Florida Comprehensive Annual Financial Report for Fiscal Year Ended September 30,2014. * Includes members of the Employee Plan who are enrolled in DROP (as hereinafter defined). Plan Benefits. The Employee Plan provides retirement benefits as well as death and disability benefits at three (3) different tiers, depending on (i) whether an employee is a member of one of the unions representing employees of the City, (ii) which union the employee is a member of and (iii) when the employee entered the Employee Plan. The first tier membership of the Employee Plan (the "Employee Plan First Tier") includes any employee who became a member of the Employee Plan prior to the dates which constitute the Employee Plan Second Tier. The second tier membership of the Employee Plan (the "Employee Plan Second Tier") includes any employee who became a member of the Employee Plan on or after (i) April 30, 1993 (but prior to September 30, 2010) for members of the American Federation of State, County and Municipal Employees ("AFSCME") bargaining unit; (ii) August 1,1993 (but prior to September 30, 2010) for members of the Government Supervisors Association of Florida ("GSA1i"; bargaining unit and members of the Employee Plan who are not included in any collective bargaining unit; and (iii) February 21, 1994 (but prior to October 27,2010) for members of the Communications Workers of America ("CWA") bargaining unit. The third tier membership of the Employee Plan (the "Employee Plan Third Tier") includes any employee who became a member of the Employee Plan on or after (i) September 30,2010 for members of AISCME, GSAF and members of the Ernployee Plan who are not included in any collective bargaining unit; and (ii) October 27,2010 for members of CWA. Classified members under the Employee Plan First Tier are eligible for normal retirement at age fifty (50) and five (5) years of creditable service and are entitled to benefits of three percent (3%) of their final average monthly eamings, multiplied by the first fifteen (15) years of creditable service, plus four percent (4%) of their final average monthly earnings, multiplied by the years of creditable service in excess of fifteen (15) years, with the total not to exceed ninety percent (90%) of the employee's final average monthly eamings. Employee Plan First Tier unclassified members accrued four percent (4%) of their final average monthly eamings for creditable service before October 18, 1992 and three percent (3o/o) per year of creditable service after October 18,1992, with the total not to exceed eighty percent (80%) of their final average monthly earnings. Classified and unclassified members under the Employee Plan Second Tier are eligible for normal retirement at age fifty-five (55) and five (5) years of creditable service and are entitled to benefits of three percent (3%) of their final average monthly earnings multiplied by the employee's number of years of creditable service, subject to a maximum of eighty percent (80%) of such employee's final average monthly earnings. Classified and unclassified members under the Employee Plan Third Tier are eligible for normal retirement at age fifty-five (55) and at least thirty (30) years of creditable service, or age sixty-two (62) and at least five (5) years of creditable service and are entitledto benefits of two and one-half percent (2.5%) 24 697 of their final average monthly eamings multiplied by the employee's number of years of creditable service, subject to a maximum of eighty percent (80%) of such employee's final average monthly eamings. For elected officials of the City, the City Manager or the City Attorney, the benefit is four percent (4%) of their final average monthly earnings for each year of creditable service as an elected official, city manager or city attorney, plus the retirement benefit as defined above for any other period of City employment, subject to a maximum eighty percent (80%) of such employee's final average monthly earnings. Any Employee Plan First Tier member who terminates employment may either request a refund of their own contributions, plus interest, or receive their accrued benefit beginning at age fifty (50), if at least five (5) years of creditable service have been completed. Any Employee Plan Second Tier member who terminates employment after five (5) years of creditable service may either request a refund of their own contributions, plus interest, or receive their accrued benefit beginning at age fifty-five (55). Any Employee Plan Third Tier member who terminates employment after five (5) years of creditable service but prior to the normal or early retirement date shall be eligible to receive a normal retirement benefit at age sixty-two (62). A Deferred Retirement Option Plan ("DROP") for the Employee Plan was enacted by the City Commission on January 28,2009 pursuant to Ordinance 2009-3626. Under the DROP, first and second tier members of the Employee Plan who have attained eligibility for normal retirement may continue working with the City for up to three (3) years, while receiving a retirement benefit that is deposited into a DROP account. Employee Plan Third Tier members may participate in a DROP account for up to five (5) years. However, effectiveJuly 17,2013, Employee Planmembers of CWA who were hiredpriorto October 27 ,2010, and members of the Employee Plan not included in any bargaining unit who were hired prior to September 10, 2010, may elect to retire for the purposes of DROP but continue employment with the City for up to sixty (60) months and have their monthly retirement benefit paid into a DROP account during the DROP period. Effective October 1,2013, such benefit was also extended to Employee Plan members of GSAF and, effective April 23,2014, was extended to Employee Plan members of A-FSCME who were hired prior to September 30, 2010. The amount of the benefit is calculated as if the participant had retired on the date of DROP commencement. Upon termination with the City, the accumulated value of the DROP account is distributed to the participant and a member's creditable service, accrued benefit and compensation calculation shall be frozen. Employee Plan First Tier members and Employee Plan Second Tier members receive an annual cost-of-living adjustment of two and one-half percent (2.5%). The cost-of-living adjustment is not payable while members are in the DROP. For Employee Plan Third Tier members, the annual cost-ofJiving adjustment is one and one-half percent (1.5%). As of September 30,2014, there were ninety-four (94) members of the Employee Plan in the DROP and the value of the DROP investment was $7,434,014, which is included in the Plan's net position. The DROP also allows for member loans. Approximately $165,000 of DROP loans for the Employee Plan were outstanding as of September 30,2014. Contributions to the Emplovee Plan The City's policy is to contribute such amounts as are necessary to maintain the actuarial soundness of the Employee Plan and to provide assets sufficient to meet the benefits to be paid to the members of the Employee Plan. All first tier members are required to contribute twelve percent (12%) of their covered salary to the Employee Plan. All second and third tier members are required to contribute ten percent (10%\ of their covered salary to the Employee Plan. For the Fiscal Year ended September 30, 2014, the City was required to make contributions of $25,602,030 or 40.3Yo of covered payroll to the Employee Plan in accordance with actuarially determined requirements computed through an actuarial valuation performed as of October 1,2013. For the Fiscal Year ended September 30,2014, the employees contributed$7,373,407 and buybacks were $1,143,866. 25 698 Net Pension Liabili\t. The components of the City's net pension liability for the Employee Plan as of September 30, 2014 were as follows: Employee Plan Net Pension Liability Total Employee Plan liability Employee Plan's fiduciary net position City net Employee Plan liability s679,514,531 (516,387,785) st63.l25JA4 Percentage of Annual Pension Cost Contributed Source: City of Miami Beach, Florida Comprehensive Annual Financial Report for Fiscal Year Ended September 30,2014. Set forth below is the progress made by the City accumulating sufficient assets to pay benefits of the Employee Plan, when due. Employee Plan Schedule of Employer Contributions Fiscal Year Ended September 30 2012 2013 2014 Annual Required Contribution $16,243,133 21,222,051 25,602,030 Annual Pension Cost $ I 6,3 12,068 21,222,051 25,602,030 100% 100 100 for Fiscal Year Ended valuation dates, is as Source: City of Miami Beach, Florida Comprehensive Annual Financial Report September 30,2014. The funding status for the Employee Plan, as of the three (3) most recent follows: Employee Plan Funding Status Valuation Date t0/l/l I tullt2 tolUt3 Actuarial Value of Plan Assets $425,781,050 421,376,041 440,912,751 Actuarial Accrued Liabilitv $602,577,503 637,363,774 649,797,221 Unfunded Actuarial Accrued Liability (UAAL) s176,796,453 215,997,733 208,884,470 Funded Ratio Annual Covered Pawoll UAAL asa Percent of Covered Payroll 266.s% 332.0 328.8 70.7% $66,346,904 66.1 65,053,945 67.9 63,526,903 Source: City of Miami Beach, Florida Comprehensive Annual Financial Report for Fiscal Year Ended September 30,2014, City of Miami Beach Employees' Retirement PIan Actuarial Valuation Report as of October 1,2013 and City of Miami Beach Employees' Retirement Plan Actuarial Valuation Report as of October 1,2012. 26 699 Police and Firefighters' Retirement Plan Plan Description The pension fund for police officers and fire fighters employed by the City (he "Police and Firefighters' Plan") is officially named the City Pension Fund for Firefighters and Police Officers in the City of Miami Beach. The Police and Firefighters' Plan is a defined benefit pension plan covering substantially all police officers and firefighters of the City, as established by Chapter 23414, Laws of Florida, Special Acts of 1945, as amended. Members of the Police and Firefighters' Plan are divided into three (3) tiers, based on whether they were hired prior to July 14,2010 ("Police and Firefighters' Plan Tier One"), on or after July 14, 2010 but prior to September 30,2013 ("Police and Firefighters' Plan Tier Two") or on or after September 30, 2013 ("Police and Firefighters' Plan Tier Three"). Membership in the Police and Firefighters' Plan consisted of the following as of October l, 2013, the date of the latest accmal valuation: Police and Firefighters' Plan Membership Active members Deferred vested members Retired members a. Service b. Disabled c. Beneficiaries 458 15 540* 58 98 696 696 1.169Total members Source: City of Miami Beach, Florida Comprehensive Annual Financial Report for Fiscal Year Ended September 30,2014. * Includes members of the Police and Firefighters' Plan who are enrolled in DROP. Plan Benefits. Police and Firefighters' Plan Tier One members who were eligible to retire prior to September 30,2013 may retire on a service retirement pension upon the attainment of age fifty (50) or, ifearlier, the date when age and length ofcreditable service equals to at least seventy (70) years. Police and Firefighters' Plan Tier One members eligible to retire on or after September 30,2013 may retire on a service retirement pension upon the attainment of age fifty (50) or, if earlier, the date when the member attains the age offorty-seven (47) and the length ofcreditable service equals to at least seventy (70) years. Upon retirement, Police and Firefighters' Plan Tier One members who were eligible to retire prior to September 30, 2013 will receive a monthly pension, payable for life, equal to three percent (3%) of the member's average monthly salary, as defined in the Police and Firefighters' Plan ordinance, for each of the first fifteen (15) years of creditable service and four percent @%) of the member's average monthly salary for each year ofcreditable service in excess offifteen (15) years; provided, however, that the pension benefit shall not exceed ninety percent (90%) of the member's average monthly salary. Police and Firefighters' Plan Tier One members eligible to retire on or after September 30, 2013 will receive a monthly pension, payable for life, equal to three percent (3%) of the member's average monthly salary, as defined in the Police and Firefighters' Plan ordinance, for each of the first twenty (20) years of creditable service and four percent (4%) of the member's average monthly salary for each year of creditable service in excess of twenty (20) years; provided, however, that the pension benefit does not exceed eighty-five 27 700 percent (85%) of the member's average monthly salary. All Police and Firefighters' Plan members and beneficiaries receiving a monthly pension as of September 30, 2010 will receive a2.5Yo increase in benefits on October I of each year. Members that retire on or after September 30, 2010 will receive a 2.5Yo increase in benefits annually on the anniversary date of the member's retirement. Any Police and Firefighters' Plan Tier Two member may retire on a service retirement pension upon the attainment of age fifty (50) or, if earlier, the date when the member aftains age forty-eight (48) and the length of creditable service equals to at least seventy (70) years. Upon retirement, a Police and Firefighters' Plan Tier Two member will receive a monthly pension, payable for life, equal to three percent (3%) of the member's average monthly salary, as defined in the Police and Firefighters' Plan ordinance, for each of the first twenty (20) years of creditable service and four percent (4%) of the member's average monthly salary for each year of creditable service in excess of twenty (20) years; provided, however, that the pension benefit shall not exceed eighty-five percent (85%) of the member's average monthly salary. The average monthly salary of a Police and Firefighters' Plan Tier Two member is computed based on such member's salary for the three (3) highest paid years prior to the date of retirement or the average of the last three (3) paid years to such member prior to the date of retirement, whichever produces the greater benefit after consideration of overtime limitations. All Police and Firefighters' Plan Tier Two retirees and beneficiaries will receive a l.5o/o increase in benef,rts annually on the anniversary date of the member's retirement. The benefits for Police and Firefighters' Plan Tier Three members are the same as the ones described in the immediately preceding paragraph for Police and Firefighters' Plan Tier Two members, except the average monthly salary of a Police and Firefighters' Plan Tier Three member is computed based on such member's salary for the five (5) highest paid years prior to the date of retirement or the average of the last three (3) paid years to such member prior to the date of retirement, whichever produces the greater benefit after consideration of overtime limitations. Any member of the Police and Firefighters' Plan who becomes totally and permanently disabled at any time as a result of illness or injury suffered in the line of duty may be retired on an accidental disability pension. For a service connected disability, the minimum pension payable is eighty-five percent (85%) of the member's monthly salary at the time of disability retirement, less any offset for worker's compensation. Any Police and Firef,rghters' Plan member who becomes totally or permanently disabled after five (5) years of creditable service as a result of illness or injury not suffered in the line of duty may be retired on an ordinary disability retirement pension. Upon disability retirement, a Police and Firefighters' Plan member receives a monthly pension equal to such member's service retirement benefits. For a non-service connected disability, the pension benefit is the accrued benefit after five (5) years of the member's creditable service. The Police and Firefighters' Plan also provides death benefits for beneficiaries or members for service connected and non-service connected death. If a Police and Firefighters' Plan member resigns or is lawfully discharged before retirement, such member's contributions, with three percent (3%) interest per annum, are returned to that member. The Police and Firefighters' Plan also provides a special provision for vested benefits for members who terminate their employment after five (5) years of service. ln the altemative and in lieu of the normal form of benefit, the Police and Firefighters' Plan member may, at any time prior to retirement, elect to receive a lifetime retirement benefit with one hundred twenty (120) monthly payments guaranteed. If the Police and Firefighters' Plan member should die before one hundred twenty (120) monthly payments are made, benefits will continue to be paid to the member's designated beneficiary for the balance of the one hundred twenty (120) month period. If the retired Police and Firefighters' Plan member is living after one hundred twenty (120) monthly payments are made, the payments shall be continued for the member's remaining 28 701 lifetime. In case of termination of the Police and Firefighters' Plan, benefits accrued to members of the Police and Firef,rghters' Plan are not subject to forfeit. An active Police and Firefighters' Plan Tier One member may enter into a DROP on the first day of any month after becoming eligible to retire. Upon becoming eligible to participate in the DROP, a Police and Firefighters' Plan Tier One member may elect to enter that program for a period not to exceed thirty-six (36) months. Police and Firefighters' Plan Tier One members who enter the DROP on or after September 1,2012 shall be eligible to participate for a period not to exceed sixty (60) months. All Police and Firefighters' Plan Tier One members shall receive a2.5o/o cost of living adjustment increase in benefits annually on the anniversary date of the member's retirement. The exception is for Police and Firefighters' Plan Tier One members who entered the DROP on or after September 1,2012 and before September 30, 2013. Those members shall receive a zero percent (0%) cost of living adjustment for the third and fourth annual adjustment dates, regardless of whether the member remains in the DROP for the maximum sixty (60) month period. Further, any member who exits the DROP within six (6) months following the date of DROP entry shall be eligible to receive the 2.5Yo cost of living adjustment. An active Police and Firefighters' Plan Tier Two member or Police and Firefighters' Plan Tier Three member may enter into the DROP on the first day of any month after attainment of age fifty (50) or, if earlier, the date when the member attains age forty-eight (48) and the age and length of creditable service equals to at least seventy (70) years. Upon becoming eligible to participate in the DROP, a Police and Firefighters' Plan Tier Two member or Police and Firefighters' Plan Tier Three member may elect to enter that program for a period not to exceed sixty (60) months. All of such members shall receive a l.5oh cost of living adjustment increase in benefits annually on the anniversary date of the member's retirement. At September 30,2014, $15,135,801, the total amount of the DROP payable, represents the balance of the self-directed participants as all of the participants are now in the self-directed DROP. Contributions to the Police and Firefishters' Plan The City is required to contribute an actuarially determined amount to the Police and Firefighters' Plan that, when combined with members' contributions, will fully provide for all benefits as they become payable. All Police and Firefighters' Plan Tier One members and Police and Firefighters' Plan Tier Two members are required to contribute ten percent (10%) of their salary to the Police and Firefighters' Plan, while all Police and Firefighters' Plan Tier Three members are required to contribute ten and one-half percent (10.5%) of their salary to the Police and Firefighters' Plan. The actual contribution from the City and from the State of Florida for active employees for the Fiscal Year ended September 30, 2014, was $35,960,326 and covered payroll, excluding DROP members, was approximately $50,750,000. The contribution required from the City and the State of Florida for the Fiscal Year ended September 30, 2014 was actuarially determined by the October 1,2012 valuation to be $35,960,326. The actuarially computed annual covered payroll used in the October 1,2012 valuation was $46,313,650. The annual pension cost was $35,960,326 for the Fiscal Year ended September 30,2014. [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] 29 702 Police and Firefighters'Plan Net Pension Total Police and Firefighters' Plan liability Police and Firefighters' Plan's fiduciary net position City net Police and Firefighters' Plan liability Liability $991,506,019 (769,298,572) $222.207.447 Source: City of Miami Beach, Florida Comprehensive Annual Financial Report for Fiscal Year Ended September 30,2014. Set forth below is the progress made by the City accumulating sufficient assets to pay benefits of the Police and Firefighters' Plan, when due. Police and Firefighters' Plan Schedule of Employer Contributions Source: City of Miami Beach, Florida Comprehensive Annual Financial Report for Fiscal Year Ended September 30,2014. The funding status for the Police and Firefighters' Plan, as.of the three (3) most recent valuation dates, is as follows: Police and Firefighters'Plan Funding Status Fiscal Year Ended September 30 2012 20t3 20t4 Annual Required Contribution s36,297,459 39,492,050 35,960,326 Amual Pension Cost $36,297,459 39,492,050 35,960,326 Percentage of Annual Pension Cost Contributed t00% 100 100 Annual Covered Pawoll $49,186,724 46,313,650 47,164,032 Valuation Date r0lUtt t0lUt2 tolUt3 Actuarial Value of Plan Assets $53 I ,821 ,1 8l 545,067,653 663,233.4s4 Achrarial Accrued Liabilitv $871,118,629 902,778,465 955,238,606 Unfunded Actuarial Accrued Liability (UAAL) $339,297,448 357,710,812 292,005,152 Funded Ratio 6t.t% 60.4 69_4 UAAL asa Percent of Covered Pawoll 689.8% 772.4 619. I Source: City of Miami Beach, Florida Comprehensive Annual Financial Report for Fiscal Year Ended September 30,2014, September 30,2013 and September 30,2012. 30 703 Other Retirement and Compensation Plans Firemen's and Police Relief and Pension Funds The City's firefighters and police officers are members of two (2) separate non-contributory money purchase benefit plans established under the provisions of Florida Stafutes, Chapters 175 and 185, respectively. These plans are funded solely from proceeds of certain excise taxes levied by the City and imposed upon property and casualty insurance coverage within City limits. The excise taxes, which are collected from insurers by the State of Florida, are remitted to the Plans' Boards of Trustees. The City is under no obligation to make any further contributions to the plans. The excise taxes received from the State of Florida and remitted to the plans for the year ended September 30, 2014 was $ 1 ,704,136 for firefighters and $7 59,678 for police officers. These payments were recorded on the City's books as revenues and expenditures during the fiscal year. Plan benefits are allocated to participants based upon their service during the year and the level of funding received during the year. Participants are fully vested after ten (10) years of service with no benefits vested prior to ten (10) years of service, except those prior to June 1983. All benefits are paid in a lump sum format, except for the Police Relief Funds, where participants may also elect not to withdraw, or to partially withdraw, his or her retirement funds. Defined Contribution Retirement Plan - 401(a) The City has a defined contribution retirement plan (the "Defined Contribution Plan") that was created in accordance with Section 401(a) of the Intemal Revenue Code of 1986, as amended (the "Code"). The Defined Conkibution Plan provides retirement and other related benefits for eligible employees as an option to the other retirement systems sponsored by the City. However, effective March 19,2006, the Defined Contribution Plan was no longer offered to new employees of the City. Current employees are still participating in the Defined Contribution Plan. The Defined Contribution Plan is administrated by a Board of Trustees, which has the general responsibility for the Plan's proper operation and management. The Defined Contribution Plan complies with the provisions of section aOl (a) of the Code and may be amended by the City Commission. The City has no fiduciary responsibility for the Defined Contribution Plan. Consequently, amounts accrued for benefits are not recorded in the fiduciary fund. Employees in the Defined Contribution Plan hired prior to February 21, 1994 are required to contribute ten percent (10%) of their salary while employees hired after February 21, 1994 are required to contribute eight percent (8%) of their salary. The City matches the employee's contribution one hundred percent (100%). The Defined Contribution Plan of each employee is the immediate property of the employee. Employees have a choice of plan administrators and are responsible for the investment of their funds amongst choices of investment vehicles offered by their selected plan administrator. Defined Contribution Plan information, as of and for the Fiscal Year ended September 30, 2014, is as follows: [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] 31 704 Defined Contribution Plan Information Members in Defined Contribution Plan City's contribution Percentage of covered payroll Employees' contribution Percentage of covered payroll $149,422 149,109 32 8.20% 8.18 Source:F"l:ii.if ?Ti,'r',lila::T3ffi".i'd"ff il*"AnnuarFinancialReport Other Post Employment Benefits Plan Description ln accordance with Section 112.0801, Florida Statutes, the City is required to permit eligible retirees and their eligible dependents to participate in the City's health insurance program at a cost to the retirees that is no greater than the cost at which coverage is available for active employees. Although not required by law, the City pays a portion of such cost of participation for its retirees. The City also provides life insurance to the retirees. As with all govemmental entities providing similar plans, the City is required to comply with the Govemmental Accounting Standard's Board Statement No. 45 - Accounting and Financial Reporting by Employers for Postemployment Benefits Other than Pensions ("GASB 45"). GASB 45 applies accounting methodology similar to that used for pension liabilities to other post employment benefits ("OPEB") and attempts to more fully reveal the costs of employment by requiring govemmental units to include future OPEB costs in their financial statements. While GASB 45 requires recognition and disclosure of the unfunded OPEB liability, there is no requirement that the liability of such plan be funded. The City's single employer OPEB Plan (the "OPEB Plan") currently provides the following post employment benefits: (a) Health and Dental Insurance - Employees of the City hired prior to March 18, 2006 are eligible to receive a fifty percent (50%) health insurance contribution of the total premium cost. At age sixty-five (65), if the retiree is eligible for Medicare Part B, the City contributes fifty percent (50%) of the Medicare Part B payment. Employees hired after March 18, 2006, after vesting in City's retirement plans, are eligible to receive an offset to the retiree premium equal to $10 per year of credible service, up to a maximum of $250 per month until age sixty-five (65) and $5 per year of credible service up to a maximum of $125, thereafter. (b) Life Insurance - Employees of the City are eligible to receive a life insurance benefit of $1,000 towards the cost of such insurance. As of September 30, 2008, the City established an OPEB Trust (the "OPEB Trust") and began funding its OPEB obligation. Stand alone financial statements for the OPEB Trust are not prepared. As of October 1,2012, the date of the most recent actuarial valuation, OPEB Plan participation consisted of the following: 32 705 OPEB Plan Participation OPEB Plan Participants Retirees receiving benefits 1,941 1,175 Source: City of Miami Beach, Florida Comprehensive Annual Financial Report for Fiscal Year Ended September 30,2014. Fundins of OPEB Plan The City has the authority to establish and amend the funding policy of the OPEB Plan. For the Fiscal Year ended September 30, 2014, the City paid $7.9 million in OPEB benefits on a pay-as-go basis and $915,000 to the OPEB Trust. The City's net OPEB obligation as of September 30,2014 was $47.2 million. The City intends to base future OPEB Trust contributions on the annual required contribution in subsequent annual actuarial reports. However, no OPEB Trust contributions are legally or contractually required. The annual cost (expense) of the OPEB Plan is calculated based on the annual required contribution, an amount actuarially determined in accordance with the parameters of GASB 45. The annual required contribution represents a level of funding that, if paid on an ongoing basis, is projected to cover the normal cost each year and amortize any unfunded actuarial liability over a period not to exceed thirty (30) years. The following table shows the components of the City's annual OPEB cost for the year, the amount actually contributed and the change in the net OPEB obligation. OPEB Annual Costs and Net Obligation for Fiscal Year 2014 Annual Required Contribution lnterest on Net OPEB Obligation Adjustrnent to Annual Required Contribution Ar:nual OPEB Cost (expense) Contributions Made Net OPEB Obligation Net OPEB Obligation - Beginning of Year Net OPEB Obligation - End of Year $16,490,000 3,099,000 (2,238,000) 17,351,000 8,882.000 9,469,000 38,733,000 $!l202.000. Source: City of Miami Beach, Florida Comprehensive Annual Financial Report for Fiscal Year Ended September 30,2014. Set forth below is a description of the progress made by the City in accumulating sufficient assets to pay OPEB benefits, when due. 33 706 OPEB Annual Costs and Contributions Source: City of Miami Beach, Florida Comprehensive Annual Financial Report for Fiscal Year Ended September 30, 20t4. OPEB Funding Status Fiscal Year Ended September 30 2012 2013 20r4 Annual OPEB Cost $ 19,064,000 16,212,000 17,351,000 Contribution $11,104,000 9,314,000 8,882,000 $194,823,000 172,338,000 181,642,000 Percent of Annual OPEB Cost Contributed s8% 5l 5l Net OPEB Obligation $30,835,000 38,733,000 47,202,000 Valuation Date t0l,/tt t0llt2 tolt/13 Actuarial Value of Plan Assets $14,136,000 19,015,000 22,167,000 Actuarial Accrued Liabilitv $208,959,000 191,353,000 203,809,000 Participants Covered Pawoll $ 107,418,169 108,263,028 107,951,095 UAAL asa Percent of Participants Covered Pawoll 55 -lo/o 159.2 168.3 Unfunded Actuarial Accrued Liability Funded(UAAL) Ratio 6.8% 9.9 10.9 Source: Cify of Miami Beach, Florida Comprehensive Annual Financial Report for Fiscal Year Ended September 30,2014, September 30,2013 and September 30,2012. TAX MATTERS General ln the opinion of Squire Patton Boggs (US) LLP, Bond Counsel, under existing law: (i) interest on the Series 2015 Bonds is excluded from gross income for federal income tax purposes under Section 103 of the lntemal Revenue Code of 1986, as amended (the "Code"), and is not an item of tax preference for purposes of the federal altemative minimum tax imposed on individuals and corporations; and (ii) the Series 2015 Bonds and the income thereon are exempt from taxation under the laws of the State of Florida, except estate taxes imposed by Chapter 198, Florida Statutes, as amended, and net income and franchise taxes imposed by Chapter 220, Florida Statutes, as amended. Bond Counsel expresses no opinion as to any other tax consequences regarding the Series 2015 Bonds. The opinion on tax mafters will be based on and will assume the accuracy of certain representations and certifications, and continuing compliance with certain covenants, of the City contained in the transcript ofproceedings and that are intended to evidence and assure the foregoing, including that the Series 2015 Bonds are and will remain obligations the interest on which is excluded from gross income for federal 34 707 income tax purposes. Bond Counsel will not independently verify the accuracy of the City's representations and certifications or the continuing compliance with the City's covenants. The opinion of Bond Counsel is based on current legal authority and covers certain matters not directly addressed by such authority. It represents Bond Counsel's legal judgment as to exclusion of interest on the Series 2015 Bonds from gross income for federal income tax purposes but is not a guaranty of that conclusion. The opinion is not binding on the Intemal Revenue Service ("lRS") or any court. Bond Counsel expresses no opinion about (i) the effect of future changes in the Code and the applicable regulations under the Code or (ii) the interpretation and the enforcement of the Code or those regulations by the IRS. The Code prescribes a number of qualifications and conditions for the interest on state and local govemment obligations to be and to remain excluded from gross income for federal income tax purposes, some of which require future or continued compliance after issuance of the obligations. Noncompliance with these requirements by the City may cause loss of such status and result in the interest on the Series 2015 Bonds being included in gross income for federal income tax purposes retroactively to the date of issuance of the Series 2015 Bonds. The City has covenanted to take the actions required of it for the interest on the Series 2015 Bonds to be and to remain excluded from gross income for federal income tax purposes, and not to take any actions that would adversely affect that exclusion. After the date of issuance of the Series 2015 Bonds, Bond Counsel will not undertake to determine (or to so inform any person) whether any actions taken or not taken, or any events occurring or not occurring, or any other matters coming to Bond Counsel's attention, may adversely affect the exclusion from gross income for federal income tax purposes of interest on the Series 2015 Bonds or the market value of the Series 2015 Bonds. A portion of the interest on the Series 2015 Bonds earned by certain corporations may be subject to a federal corporate altemative minimum tax. In addition, interest on the Series 2015 Bonds may be subject to a federal branch profits tax imposed on certain foreign corporations doing business in the United States and to a federal tax imposed on excess net passive income of certain S corporations. Under the Code, the exclusion of interest from gross income for federal income tax purposes may have certain adverse federal income tax consequences on items of income, deduction or credit for certain taxpayers, including financial institutions, certain insurance companies, recipients of Social Security and Railroad Retirement benefits, those that are deemed to incur or continue indebtedness to acquire or carry tax-exempt obligations, and individuals otherwise eligible for the earned income tax credit. The applicability and extent of these and other tax consequences will depend upon the particular tax status or other tax items of the owner of the Series 2015 Bonds. Bond Counsel will express no opinion regarding those consequences. Payments of interest on tax-exempt obligations, including the Series 2015 Bonds, are generally subject to IRS Form 1099-INT information reporting requirements. If a Series 2015 Bond owner is subject to backup withholding under those requirements, then payments of interest will also be subject to backup withholding. Those requirements do not affect the exclusion of such interest from gross income for federal income tax purposes. Bond Counsel's engagement with respect to the Series 2015 Bonds ends with the issuance of the Series 2015 Bonds, and, unless separately engaged, Bond Counsel is not obligated to defend the City or the owners of the Series 2015 Bonds regarding the tax status of interest thereon in the event of an audit examination by the IRS. The IRS has a program to audit tax-exempt obligations to determine whether the interest thereon is includible in gross income for federal income tax purposes. If the IRS does audit the Series 2015 Bonds, under current IRS procedures, the IRS will treat the City as the taxpayer and the beneficial owners of the Series 2015 Bonds will have only limited rights, if any, to obtain and participate in judicial review of such audit. Any action of the IRS, including but not limited to selection of the Series 35 708 2015 Bonds for audit, or the course or result of such audit, or an audit of other obligations presenting similar tax issues, may affect the market value of the Series 2015 Bonds. Prospective purchasers of the Series 2015 Bonds upon their original issuance at prices other than the respective prices indicated on the inside cover page of this Official Statement, and prospective purchasers of the Series 2015 Bonds at other than their original issuance, should consult their own tax advisers regarding other tax considerations such as the consequences of market discount, as to all of which Bond Counsel expresses no opinion. Risk of Future Legislative Changes and/or Court Decisions Legislation affecting tax-exempt obligations is regularly considered by the United States Congress and may also be considered by the State legislature. Court proceedings may also be filed, the outcome of which could modifu the tax treatment of obligations such as the Series 2015 Bonds. There can be no assurance that legislation enacted or proposed, or actions by a court, after the date of issuance of the Series 2015 Bonds will not have an adverse effect on the tax status of interest on the Series 2015 Bonds or the market value or marketability of the Series 2015 Bonds. These adverse effects could result, for example, from changes to federal or state income tax rates, changes in the structure of federal or state income taxes (including replacement with another type of tax), or repeal (or reduction in the benefit) of the exclusion of interest on the Series 2015 Bonds from gross income for federal or state income tax purposes for all or certain taxpayers. For example, recent presidential and legislative proposals would eliminate, reduce or otherwise alter the tax benefits currently provided to certain owners of state and local government bonds, including proposals that would result in additional federal income tax on taxpayers that own tax-exempt obligations if their incomes exceed certain thresholds. lnvestors in the Series 2015 Bonds should be aware that any such future legislative actions (including federal income tax reform) may retroactively change the treatment of all or a portion of the interest on the Series 2015 Bonds for federal income tax purposes for all or certain taxpayers. In such event, the market value of the Series 2015 Bonds may be adversely affected and the ability of holders to sell their Series 201 5 Bonds in the secondary market may be reduced. The Series 2015 Bonds are not subject to special mandatory redemption, and the interest rates on the Series 2015 Bonds are not subject to adjustment in the event ofany such change. Investors should consult their own financial and tax advisers to analyze the importance of these risks. Original Issue Discount and Original Issue Premium Certain of the Series 2015 Bonds ("Discount Bonds") as indicated on the inside cover page of this Official Statement were offered and sold to the public at an original issue discount ("OID"). OID is the excess of the stated redemption price at maturity (the principal amount) over the "issue price" of a Discount Bond. The issue price of a Discount Bond is the initial offering price to the public (other than to bond houses, brokers or similar persons acting in the capacity of underwriters or wholesalers) at which a substantial amount of the Discount Bonds of the same maturity is sold pursuant to that offering. For federal income tax purposes, OID accrues to the owner of a Discount Bond over the period to maturity based on the constant yield method, compounded semiannually (or over a shorter permitted compounding interval selected by the owner). The portion of OID that accrues during the period of ownership of a Discount Bond (i) is interest excluded from the owner's gross income for federal income tax purposes to the same extent, and subject to the same considerations discussed above, as other interest on the Series 2015 Bonds, and (ii) is added to the owner's tax basis for purposes of determining gain or loss on the 36 709 maturity, redemption, prior sale or other disposition of that Discount Bond. The amount of OID that accrues each year to a corporate owner of a Discount Bond is taken into account in computing the corporation's liability for federal alternative minimum tax. A purchaser of a Discount Bond in the initial public offering at the price for that Discount Bond stated on the inside cover page of this Official Statement who holds that Discount Bond to maturity will realize no gain or loss upon the retirement of that Discount Bond. Certain of the Series 2015 Bonds ("Premium Bonds") as indicated on the inside cover page of this Official Statement were offered and sold to the public at a price in excess of their stated redemption price at maturity (the principal amount). That excess constitutes bond premium. For federal income tax purposes, bond premium is amortized over the period to maturity of a Premium Bond, based on the yield to maturity of that Premium Bond (or, in the case of a Premium Bond callable prior to its stated maturity, the amortization period and yield may be required to be determined on the basis of an earlier call date that results in the lowest yield on that Premium Bond), compounded semiannually. No portion of that bond premium is deductible by the owner of a Premium Bond. For purposes of determining the owner's gain or loss on the sale, redemption (including redemption at mahrrity) or other disposition of a Premium Bond, the owner's tax basis in the Premium Bond is reduced by the amount of bond premium that is amortized during the period of ownership. As a result, an owner may realize taxable gain for federal income tax purposes from the sale or other disposition of a Premium Bond for an amount equal to or less than the amount paid by the owner for that Premium Bond. A purchaser of a Premium Bond in the initial public offering at the price for that Premium Bond stated on the inside cover page of this Official Statement who holds that Premium Bond to maturity (or, in the case of a callable Premium Bond, to its earlier call date that results in the lowest yield on that Premium Bond) will realize no gain or loss upon the retirement of that Premium Bond. Owners of Discount Bonds and Premium Bonds should consult their own tax advisers as to the determination for federal income tqx purposes of the amount of OID or bond premium properly accrusble or amortiztble in any period with respect to the Discount Bonds or Premium Bonds and as to other federal tax consequences and the treatment of OID and bond premium for purposes of state and local taxes on, or based on, income. FINAI\CIAL STATEMENTS Excerpts from the Comprehensive Annual Financial Report of the City of Miami Beach, Florida for the Fiscal Year ended Septemb er 30, 2014 and the report of Crowe Horwath LLP, independent certified public accountants ("Crowe Horwath"), in connection therewith, dated March 30, 2015, are included in APPENDIX B to this Official Statement as part of the public records of the City. Such financial statements and report contain information relating to the City and the Resort Tax Revenues. The consent of Crowe Horwath was not requested for the reproduction of its audit report in this Official Statement. The auditor has performed no services in connection with the preparation of this Official Statement and is not associated with the offering of the Series 2015 Bonds. CONTINUING DISCLOSURE The City will covenant for the benefit of the holders of the Series 2015 Bonds to provide certain financial information and operating data relating to the City and the Resort Tax Revenues not later than two hundred fofi Qa$ days following the end of each Fiscal Year, commencing with the Fiscal Year ending September 30,2015 (the "Annual Report"), and to provide, or cause to be provided, notices of the occrurence of certain enumerated events. The Annual Report and notices of events will be filed with the 37 710 Municipal Securities Rulemaking Board (the "MSRB"). Digital Assurance Certification, L.L.C. ("DAC") will act as the initial disclosure dissemination agent for the City. The specific nature of the information to be contained in the Annual Report and the notices of events is contained in "APPENDX F - Form of Disclosure Dissemination Agent Agreement." These covenants have been made in order to assist the Underwriters in complying with Rule 15c2-12 of the Securities and Exchange Commission. On July 28,2014 Standard & Poor's Ratings Services ("S&P") announced that it had raised its rating on the City's general obligation debt two (2) notches ,o "rd{*" from "AA-." The disclosure agreements entered into by the City in connection with the issuance of various series of bonds (the "Disclosure Agreements") require the City to provide, among other things, notice of rating changes affecting such series of bonds. Notice of the ratings increase announced by S&P on July 28,2014 was not provided by the City within the time periods established in the Disclosure Agreements. Such notice was filed by DAC, on behalf of the City, with the MSRB on April 29, 2015 . Documents required to be filed pursuant to the Disclosure Agreements are currently on file and available electronically from the MSRB at http://emma.msrb.org/. Information regarding the Series 2015 Bonds and other outstanding bonds of the City may be found at the DAC intemet site, "http//www.dacbon ." LITIGATION There is no litigation or controversy of any nature now pending for which the City has received service of process or, to the actual knowledge of the City Attomey, threatened against the City that seeks to restrain or enjoin the issuance or delivery of the Series 2015 Bonds or contesting the proceedings or authority under which they are to be issued or the creation, organization or existence of the City or, if determined adversely to the City, would have a material adverse impact on the ability of the City to generate suff,rcient Resort Tax Revenues to pay debt service on the Series 2015 Bonds. LEGAL MATTERS Certain legal matters incident to the issuance of the Series 2015 Bonds and with regard to the tax- exempt status of the interest on the Series 2015 Bonds (see "TAX MATTERS" herein) are subject to the legal opinion of Squire Patton Boggs (US) LLP, Bond Counsel to the City. The signed legal opinion of Bond Counsel, substantially in the form attached hereto as APPENDIX D, dated and premised on law in effect as of the date of issuance of the Series 2015 Bonds, will be delivered on the date of issuance of the Series 2015 Bonds. The actual legal opinion to be delivered may vary from the form attached hereto to reflect facts and law on the date of delivery. The opinion will speak only as of its date, and subsequent distribution of it by recirculation of this Official Statement or otherwise shall create no implication that Bond Counsel has reviewed or expresses any opinion conceming any of the matters referenced in the opinion subsequent to its date ofissuance. While Bond Counsel has participated in the preparation of certain portions of this Official Statement, it has not been engaged by the City to confirm or verify such information. Except as may be set forth in an opinion of Bond Counsel delivered to the Underwriters, Bond Counsel expresses and will express no opinion as to the accuracy, completeness or faimess of any statements in this Official Statement, or in any other reports, financial information, offering or disclosure documents or other information pertaining to the City or the Series 2015 Bonds that may be prepared or made available by the City, the Underwriters or others to the Holders of the Series 2015 Bonds or other parties. 38 711 Certain legal matters incident to the issuance of the Series 2015 Bonds relating to disclosure will be passed on for the City by the Law Offices of Steve E. Bullock, P.A., Miami, Florida, whose legal services as Disclosure Counsel have been retained by the City. The signed legal opinion, dated and premised on law in effect as of the date of original delivery of the Series 2015 Bonds, will be delivered to the City by Disclosure Counsel at the time of original delivery of the Series 2015 Bonds. The proposed text of the form of the legal opinion of Disclosure Counsel is set forth as APPENDIX E to this Official Statement. The actual legal opinion to be delivered may vary from that text if necessary to reflect facts and law on the date of delivery. The opinion will speak only as of its date, and subsequent distribution of it by recirculation of this Official Statement or otherwise shall create no implication that Disclosure Counsel has reviewed or expresses any opinion concerning any of the matters referenced in the opinion subsequent to its date ofissuance. Certain legal matters will be passed on for the City by Raul J. Aguila, Esquire, Miami Beach, Florida, City Attomey. Moskowitz, Mandell, Salim & Simowitz, P.A., Fort Lauderdale, Florida, is serving as counsel to the Underwriters. The legal opinions and other letters of counsel to be delivered concurrently with the delivery of the Series 2015 Bonds express the professional judgment of the attorneys rendering the opinions or advice regarding the legal issues and other matters expressly addressed therein. By rendering a legal opinion or advice, the giver of such opinion or advice does not become an insurer or guarantor of the result indicated by that opinion, or the transaction on which the opinion or advice is rendered, or of the future performance of parties to the transaction. Nor does the rendering of an opinion guarantee the outcome of any legal dispute that may arise out of the transaction. ENFORCEABILITY OF REMEDIES The remedies available to the owners of the Series 2015 Bonds upon the occurrence of a default under the Resolution are in many respects dependent upon judicial actions which are often subject to discretion and delay. Under existing constitutional and statutory law and judicial decisions, the remedies specified by the Resolution and the Series 2015 Bonds may not be readily available or may be limited. The various legal opinions to be delivered concurrently with the delivery of the Series 2015 Bonds (including Bond Counsel's approving opinion) will be qualified, as to the enforceability of the various legal instruments, by limitations imposed by bankruptcy, reorganization, insolvency or other similar laws affecting the rights of creditors enacted before or after such delivery and to general principles of equity (whether sought in a court of law or equity). RATINGS [Moody's Investors Service, Inc. ("Moody's") and S&P are expected to assign ratings of "_," witha,,-outlook,',md..-,',witha,,-outloolg''respectively,totheSeries20l5 Bonds insured by the Bond Insurance Policy, with the understanding that upon delivery of such Series 2015 Bonds the Bond Insurance Policy insuring the payments, when due, of the principal of and interest on such Series 2015 Bonds will be issued by the Bond Insurer. See "MUNICIPAL BOND INSURANCE" herein. ln addition, Moody's has assigned to the Series 2015 Bonds a rating of "_," with a outlook,,,andS&Phasassignedaratingof..-,,'witha,,-outloolg,,eachwithoutregard to the issuance of the Bond Insurance Policy.l Such ratings and outlooks reflect the view of such organizations. An explanation of the significance of such ratings and outlooks may be obtained only from Moody's and S&P, respectively. An explanation of the rating and outlook assigned by Moody's may be obtained from Moody's at 7 World Trade Center, 250 Greenwich Street, 23'd Floor, New York, New York 39 712 10007, (212) 553-0300. An explanation of the rating and outlook assigned by S&P may be obtained from S&P at 55 Water Street, 38'h Floor, New York, New York 10041, (212) 438-2124. There is no assurance that the rating and outlook provided by Moody's and S&P, respectively, will continue for any given period of time or that they will not be revised downward or withdrawn entirely by such rating agencies if, in their judgment, circumstances so warrant. Any such downward revision or withdrawal of such ratings or outlooks may have an adverse effect on the market price of the Series 2015 Bonds. UNDERWRITING The Series 2015 Bonds are being purchased by Merrill Lynch, Pierce, Fenner & Smith lncorporated, Citigroup Global Markets Inc., Morgan Stanley & Co. LLC and Siebert Brandford Shank & Co., L.L.C. (collectively, the "Underwriters"), subject to certain terms and conditions set forth in the purchase contract between the City and the Underwriters, including the delivery of opinions on certain legal matters relating to the issuance of the Series 2015 Bonds by Bond Counsel and the existence of no material adverse change in the condition of the City from that set forth in the Official Statement. The Series 2015 Bonds are being purchased at a purchase price of $(which represents the $principal amount of the Series 2015 Bonds, [plus / minus a net original issue premium / discount of $minus an Underwriters' discount of $ ). The Series 2015 Bonds are offered for sale to the public at the prices and yields set forth on the inside cover page of this Official Statement. The Series 2015 Bonds may be offered and sold to certain dealers at prices lower than or yields higher than such offering prices and yields. After the initial public offering, such public offering prices and yields may be changed, from time to time, by the Underwriters. Citigroup Global Markets Inc., one of the Underwriters of the Series 2015 Bonds, has entered into a retail distribution agreement with each of TMC Bonds L.L.C. ("TMC") and UBS Financial Services Inc. ("UBSFS"). Under these disffibution agreements, Citigroup Global Markets lnc. may distribute municipal securities to retail investors through the financial advisor network of UBSFS and the electronic primary offering platform of TMC. As part of this arrangement, Citigroup Global Markets Inc. may compensate TMC (and TMC may compensate its electronic platform member firms) and UBSFS for their selling efforts with respect to the Series 2015 Bonds. Morgan Stanley, parent company of Morgan Stanley & Co. LLC, the senior managing underwriter of the Series 2015 Bonds, has entered into a retail distribution arrangement with its affrliate Morgan Stanley Smith Barney LLC. As part of the distribution arrangement, Morgan Stanley & Co. LLC may distribute municipal securities to retail investors through the financial advisor network of Morgan Stanley Smith Bamey LLC- As part of this arrangement, Morgan Stanley & Co. LLC may compensate Morgan Stanley Smith Bamey LLC for its selling efforts with respect to the Series 2015 Bonds. SiebertBrandford Shank & Co., L.L.C., one of the Underwriters of the Series 2015 Bonds, has entered into a separate agreement with Credit Suisse Securities USA LLC for retail distribution of certain municipal securities offerings, at the original issue prices. Pursuant to said agreement, if applicable to the Series 2015 Bonds, Siebert Brandford Shank & Co., L.L.C. will share a portion of its underwriting compensation with respect to the Series 2015 Bonds, with Credit Suisse Securities USA LLC. The Underwriters and their respective affiliates are full service financial institutions engaged in various activities, which may include sales and trading, commercial and investment banking, advisory, 40 713 investment management, investment research, principal investment, hedging, market making, brokerage and other financial and non-financial activities and services. In the course of their various business activities, the Underwriters and their respective affiliates, offrcers, directors and employees may purchase, sell or hold a broad array of investments and actively trade securities, derivatives, loans, commodities, currencies, credit default swaps and other financial instruments for their own account and for the accounts of their customers, and such investment and trading activities may involve or relate to assets, securities and/or instruments of the City (directly, as collateral securing other obligations or otherwise) and/or persons and entities with relationships with the Agency. The Underwriters and their respective affrliates may also communicate independent investment recommendations, market color or trading ideas and/or publish or express independent research views in respect of such assets, securities or instruments and may at any time hold, or recommend to clients that they should acquire, long and/or short positions in such assets, securities and instruments. The Underwriters, respectively, may have entered into agreements with other broker- dealers (that have not been designated by the City as Underwriters) for the distribution of the Series 2015 Bonds at the original issue prices. Such agreements generally provide that the relevant Underwriter will share a portion of its underwriting compensation or selling concession with such broker-dealers. FINANCIAL ADVISOR RBC Capital Markets, LLC, St. Petersburg, Florida, is serving as Financial Advisor to the City and has acted in such capacity with respect to the sale and issuance of the Series 2015 Bonds. The Financial Advisor is not obligated to undertake, and has not undertaken to make, an independent verification or to assume responsibility for the accuracy, completeness or faimess of the information in this Official Statement. RBC Capital Markets, LLC did not engage in any underwriting activities with regard to the issuance and sale of the Series 2015 Bonds. CONTINGENT FEES The City has retained Bond Counsel, Disclosure Counsel and the Financial Advisor with respect to the authoization, sale, execution and delivery of the Series 2015 Bonds. Payment of the fees of such professionals and an underwriting discount to the Underwriters (including the fees of Underwriters' Counsel) are each contingent upon the issuance ofthe Series 2015 Bonds. DISCLOSURE REQUIRED BY FLORIDA BLUE SKY LAWS Section 517.051, Florida Statutes, as amended, and Rule 38400.003, Florida Administrative Code, requires the City to disclose each and every default as to payment of principal and interest after December 31, 1975 with respect to obligations issued or guaranteed by the City. Rule 3E400.003 further provides, however, that if the City in good faith believes that such disclosure would not be considered material by reasonable investors, such disclosure may be omitted. The City has not defaulted on the payment of principal or interest with respect to obligations issued or guaranteed by the City after December 31,1975 that would be considered material by a reasonable investor. AUTHORIZATION CONCERNING OFFICIAL STATEMENT The delivery of this Official Statement has been duly authorizedby the City Commission. At the time of the delivery of the Series 2015 Bonds, the Mayor and the City Manager of the City will furnish a certificate to the effect that nothing has come to their attention which would lead them to believe that this Official Statement, as of its date and as of the date of delivery of the Series 2015 Bonds, contains an 4l 714 untrue statement of a material fact or omits to state a material fact which should be included therein for the purpose for which this Official Statement is intended to be used, or which is necessary to make the statements contained herein, in the light of the circumstances under which they were made, not misleading. A limited number of copies of the final Official Statement will be provided, at the City's expense, on a timely basis. MISCELLANEOUS All information included in this Official Statement has been provided by the City, except where attributed to other sources. The summaries of and references to all documents, statutes, reports, and other instruments referred to herein do not purport to be complete, comprehensive or definitive, and each such reference or summary is qualified in its entirety by reference to each such document, statute, report or other instrument. The information in this Official Statement has been compiled from oflicial and other sources and, while not guaranteed by the City, is believed to be correct. To the extent that any statements made in this Official Statement and the appendices attached hereto involve matters of opinion or of estimates, whether or not expressly stated, they are set forth as such and not as representations of fact, and no representation is made that any of the estimates will be realized. This Official Statement has been duly executed and delivered by the Mayor and the City Manager of the City of Miami Beach, Florida. CITY OF MIAMI BEACH, FLORIDA PHILIP LEVINE, Mayor JIMMY L. MORALES, City Manager 42 715 APPENDIXA General Information and Economic Data Regarding the City of Miami Beach, Florida and Miami-Dade County, Florida 716 GENERAL INFORMATION RE GARDING THE CITY OF MIAMI BEACH AND MIAMI-DADE COUNTY, FLORIDA The following information pertaining to the City of Miami Beach, Florida (the "City") and Miami- Dade County, Florida (the "County") is set forth for purposes of providing background information only. The Series 2015 Bonds are payable only from the Resort Tax Revenues collected by the City, and other amounts constituting Pledged Funds, as defined in this Official Statement. The Series 2015 Bonds do not constitute a debt, liability or obligation or a pledge of the faith, credit or taxing power of the City, the County, the State of Florida, or any political subdivision thereof. INTRODUCTION The City The City is located on a barrier island surrounded by the Atlantic Ocean to the east and Biscayne Bay to the west. The City comprises seven (7) square miles of land area and ten (10) square miles of Biscayne Bay. The City is connected to the mainland by four (4) causeways. The climate of the City is tropical, with an average annual temperature of 75 degrees Fahrenheit, 24 degrees Celsius. The City is the home of the Art Deco Historic District, consisting of one of the greatest concentrations of Art Deco architecture in the United States. Within the Art Deco Historic District is the world famous Ocean Drive, which has been called the "Riviera" of Florida. The economy of the area is based on tourism. For Fiscal Year 2014, hotel, food and beverage sales accounted for an estimated$2.2 billion in sales within the City. The demographics of the City have drastically changed over the last thirty- five (35) years. ln the 1980 Census, the average age of the City's population was 65.3 years old. That average declined to 43.7 years of age by the 2000 Census and to 40.3 years of age by the 2010 Census. After the significant changes between 1980 and 2010, the City's demographics are beginning to stabilize with a younger, more affluent population. Based on information provided by the U.S. Census Bureau for 2013 (the most recent year for which City estimates are crurently available from the U.S. Census Bureau), the median age in the City was estimated to be 39.3 years of age and the median family income was estimated to be $52,576. The County The County is the largest county in the southeastern United States in terms of population and one of the largest in terms of land area. The County consists of 2,209 square miles of land area. The population of the County is clustered mainly along the coastal, eastem areas, with the westem area of the County comprising a part of the Florida Everglades. The County was created on January 18, 1836 under the Territorial Act of the United States. It included the land area now forming Palm Beach and Broward Counties, together with the land area of the present Miami-Dade County. In 1909, Palm Beach County was established from the northern portion of what was then Dade County. ln 1915, Palm Beach County and then Dade County contributed nearly equal portions of land to create what is now Broward County. There have been no significant boundary changes to the County since 1915. There are thirty-five (35) incorporated municipalities in the County and the County serves as a municipal govemment for its unincorporated areas. In addition to the City, the municipalities in the County include the cities of Miami, Hialeah and Coral Gables. A-l 717 POPULATION The U.S. Census Bureau estimated the population of the City and of the County to be 91,026 and 2,641,866, respectively, in 2013. For 2014, the population in the County is estimated to be 2,662,874. The U.S. Census Bureau population estimates for the City for 2014 have not been released. Projections by the Nielsen Company, a leading provider of demographic and economic data, provide for the City's population to grow to 96,484 by the year 2020. Set forth below are general population statistics for the City and the County and age data relating to the City's population growth. Population, City of Miami Beach and Miami-Dade County 1980 -2014 Calendar Year City of Miami Beach Miami-Dade Percent Chanee CounW Percent Chanee l 980 l 990 2000 2010 20t3* 20t4* 96,298 92,639 87,933 87,779 91,026 N/A 10.6% (3.8) (s.3) (0.1) 0.4 1,625,598 1,937,094 2,260,ooo 2,496,435 2,641,966 2,662,974 28.20 19.2 16.7 10.5 5.8 6.7 Source: U.S. Department of Commerce, Bureau of Census. * Estimated as of July l, 2013 for City population and as of July l, 2014 for County population. Population estimates for the City for 2014 are not yet available. Population Breakdown City of Miami Beach, f 990 - 2013 Age Group 1990 2010 2013*2000 Under l8 l8 and over 2l and over 65 and over Median Age: t4.zyo 85.8 83.1 23.4 44.5 13.40h 86.6 84.1 19.2 39.0 12.8% 87.2 84.9 16.2 40.3 15.6% 84.4 82. I 16.0 39.3 Source: U.S. Department of Commerce, Bureau of Census. * 2013 is the most recent year for which information is available. A-2 718 GOVERNMENT The City was incorporated as a municipal corporation on March 26,1915. The City operates under a Commissionlcity Manager form of govemment. The City Commission consists of the Mayor and six (6) Commissioners who serve as the policy-making body of the City. Authority is vested in the City Commission to enact ordinances, hold public hearings, approve contracts, establish the City's budget and tax assessments, and authorize construction of all public improvements. The Mayor and City Commission are elected on a citywide, nonpartisan basis. Elections are held in odd numbered years, with the Mayor elected to serve two-year terms with a limit of three (3) consecutive terms. Commissioners are elected to serve four-year terms with a limit of two (2) consecutive terms. City Commission terms are staggered so that not all Commissioners are up for re-election at the same time. On a rotating basis, the City Commission selects one (1) of its members to serve as Vice Mayor for a three- month term. The Mayor, who is the presiding officer at City Commission meetings, may vote on all matters that come before the City Commission, but has no power of veto. The City Commission appoints the City Manager, the City Attomey and the City Clerk. All other department heads are appointed by the City Manager, with the consent of the City Commission. The City Manager is vested with the responsibility to ensure that policies, directives, resolutions, and ordinances adopted by the City Commission are enforced and implemented. As the City's Chief Executive Officer, the City Manager is responsible for providing executive level leadership, vision and guidance to the organization, providing recommendations to the City Commission and implementing policy directives in an effrcient and effective manner. ln addition, the City Manager is responsible for the daily operations of the City, preparing and administering the budget, planning the development of the City, supervising City employees, interacting with citizen groups and other units of govemment, and is otherwise responsible for the health, safety, and welfare of the residents of and visitors to the City. With the exception of the City Attomey's Office and the City Clerk's Office, the City Manager has the power to appoint or remove all heads of the various departments of the City. SCOPE OF SERVICES The City provides a full range of municipal services, including police and fire protection, recreational activities, parks, cultural events, sanitation services, water, sewer and storm water services, neighborhood and community services, and the construction and maintenance of sfreets and infrastructure. ECONOMIC AND DEMOGRAPHIC DATA Family Income The estimated median family income for the City has been consistently higher than the median family income for the County. During the last five years, the median family income for the City has ranged from being 9.6% higher than the median family income for the County in 2010 to being 20.70 higher in 2011. [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] A-3 719 Estimated Median Family Incomes, 2009 - 2013(') Calendar Year City of Miami Beach Percent Chanse Miami-Dade Countv Percent Change 2009 20t0 20tt 2012 2013Q) $54,643 50,758 57,318 56,457 52,576 2.3% (7.1) 12.9 (l.s) (6.e) $47,697 46,126 46,577 47,382 46,904 (7.8)% (3.3) 1.0 1.7 (1.0) Source: U.S. Department of Commerce, Bureau of Census. (l) Amounts are presented in dollars, adjusted for inflation.(2) 2013 is the most recent year for which information is available. Per Capita Personal Income Between 2009 and 2013, the estimated per capita personal income for the County increased by 12.9 percent, from $35,329 in2009 to $39,880 in 2013. Such increase is slightly higher than the rate of growth in the State of Florida, which experienced a per capita personal income growth rate of approximately 11.1 percent during the same period, and generally consistent with the rate of growth in the United States, which experienced a per capita personal income growth rate of approximately 13.7 percent during the same period. Per Capita Personal Income, 2009 - 2013(r) Miami-Dade State of Yeal2) County % of U.S. Florida % of U.S. United States 2009 2010 20tt 20t2 2013(3) $35,329 36,592 38,242 39,467 39,880 89.7% 91.2 90.3 89.3 89. l $37,350 38,478 40,215 44,041 41,497 94.80 95.8 95.0 92.9 92.7 $39,379 40,144 42,332 44,200 44,765 (l) (2) Source: U.S. Department of Commerce, Bureau of Economic Analysis/Regional Economic Information System. Information provided as of the last available update, dated November 20,2014. Estimates for 2013 are new estimates. Amounts for 2009 through 2012 are revised from estimates previously provided for such years. (3) 2013 is the most recent year for which information is available. A4 720 EMPLOYMENT The following tables provide information relating to the City's labor force and the principal employers in the County for the fiscal year ended September 30, 2014 and comparative data for the fiscal year ended September 30, 2005. City of Miami Beach Employment 2009 - 2014* Labor Force 2009 2010 201t 2012 2013 2014 Labor Force Employed Labor Force Unemployed Total Labor Force Unemployment Rate 42,447 4,315 46,762 9.2% 44,129 4,088 48,217 8.s% 46,295 3,237 49,532 6.s% 46,992 3,042 50,034 6.1% 47,630 49,191 2,477 2,344 50,107 51,535 4.9Yo 4.5o Source: U.S. Department of Labor, Bureau of Labor Statistics. * Data provided for December of each year. Data for years 2010 subject to change. to 2014 represents provisional data, which is [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] A-5 721 Miami-Dade County Ten Largest Public Employers 2014 2005 Employers Miami-Dade County Public Schools Miami-Dade County Federal Govemment Florida State Govemment Jackson Health System City of Miami Florida lntemational University Homestead Air Force Base Miami VA Medical Center Miami-Dade College City of Miami Beach TOTAL Employees 33,477 25,502 19,200 17,100 9,797 3,997 3,534 3,250 2,500 2,390 Percentage of Total County Employment 2.74% 2.08 1.57 1.40 0.80 0.33 0.29 0.27 0.20 0.20 Emplovees Rank 54,387 I 32,265 2 20,100 3 18,900 4 11,700 5 3,954 8 5,000 7 2,018 9 7,500 6 1,839 10 157.633. Rank I 2 J 4 5 6 7 8 9 l0 l2oJ47 9.88o/o Source: City of Miami Beach Comprehensive Annual Financial Report for the Fiscal Year ended September 30,2014. [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] A-6 722 Emplovers University of Miami Baptist Health South Florida American Airlines Camival Cruise Lines Miami Children's Hospital Mount Sinai Medical Center Florida Power & Light Co. Royal Caribbean Intemational Wells Fargo Bank Bank of America Merrill Lynch United Parcel Service Bellsouth Winn-Dixie Stores Precision Response Corporation Publix Super Markets Burdines-Macy's TOTAL Miami-Dade County Ten Largest Private Employers 20t4 2005 Emplovees Rank 9,079 2 10,300 I 9,000 3 3,665 9 Employees 12,818 1 1,353 1 1,031 3,500 3,500 3,321 3,01I 2,ggg 2,050 2,000 Percentage of Total County Emplovment 1.05% 0.93 0.90 0.29 0.29 0.27 0.25 0.24 0.17 0.16 5,000 4,800 4,616 4,196 4,000 3,368 58.44. Rank I 2 3 4 5 6 7 8 9 10 4 5 6 7 8 10 5s.s73 4.s5% Source: City of Miami Beach Comprehensive Annual Financial Report for the Fiscal Year ended September 30,2014. [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] A-7 723 BUILDING PERMITS The following is a calculation of the total value of the Building Permits issued by the City during the past ten (10) years. City of Miami Beach, Florida Value of Building Permits Issued Fiscal Years 2005 - 2014 Fiscal Year Ended Seotember 30.Number of Permits Total Value 2005 2006 2007 2008 2009 20t0 20ll 2012 2013 2014 12,837 12,226 12,729 I 1,056 10,277 10,188 I 1,159 12,580 13,898 13,972 $ 1,235,909,151 1,177,266,348 1,165,346,118 1,109,923,131 567,660,721 299,508,078 373,852,763 417,811,132 506,646,472 818,831,235 Source: City of Miami Beach Building Department. [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] A-8 724 PROPERTY TAXES The following table summarizes the direct and overlapping tax (millage) rates for the past ten (10) years. The table reflects the fact that, except during the years when millage rates needed to increase in response to the significant reduction in assessed values experienced throughout Florida and the United States during the economic downturn, millage rates in the City have generally decreased during the past ten (10) years. Tax Roll Fiscal Year Year as of Ended Januarv I September 30 City of Miami Beach, Florida Direct and Overlapping Tax Rates ($1 per $1,000 of Assessed Value) Fiscal Years 2005 - 2014 City of Miami Beach Direct Rates Debt Total School Operating Service Direct District Millaee Millaee Millaee Millaee County State Millaee Millaee Total Overlaonins Rates 2005 2006 2007 2008 2009 2010 20tt 2012 2013 2014 2006 2007 2008 2009 20to 20ll 2012 2013 2014 2015 7.48t0 7.3740 5.6555 5.6555 5.6555 6.2155 6. l 655 6.0909 5.8634 5.7942 0.5920 0.2990 0.24t5 0.2375 0.2568 0.2870 0.2884 0.2568 0.2529 0.2295 8.0730 7.6730 5.8970 s.8930 s.9123 6.5025 6.4s39 6.3477 6.1163 6.0237 8.4380 8.1050 7.9480 7.7970 7.9950 8.2490 8.0050 7.9980 7.9770 7.9740 7.0348 6.8083 5.6711 5.9263 6.0051 6.6565 5.7695 s.6610 5.7980 5.9009 0.7355 24.2813 o.73ss 23.3218 0.6585 20.t746 0.6585 20.2748 0.658s 20.s709 0.6585 22.0665 0.4708 20.6992 0.4634 20.4701 0.4455 20.3368 0.4t87 20.3t73 Source: City of Miami Beach Comprehensive Annual Financial Report for the Fiscal Year ended September 30,2014 ard Miami-Dade County Property Appraiser's Millage Tables. [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] A-9 725 The following table summarizes the tax levies and collections in the City for the past ten (10) years. City of Miami Beach, Florida Property Tax Levies and Collections Fiscal Years 2005 - 2014 Collected within Fiscal Year of Lew Tax Rol[ Fiscal Year Taxes Year as of Ended Levied for January I September 30 Fiscal Year Collections in Percentage Subsequent Amount of Levy Years Total Collections to Date Percentage Amount of Levy 2004 2005 2006 2007 2008 2009 2010 20tl 20t2 2013 2005 2006 2007 2008 2009 2010 20tr 2012 2013 2014 $110,739,153 135,910,285 165,759,439 150,418,073 150,588,328 138,703,567 136,549,286 134,753,401 139,r33,369 143,266,670 $ 97,731,071 132,497,342 163,120,484 145,433,238 144,321,499 131,355,903 128,719932 129,572,373 134,848,787 141,551,552 88.25Yo $1,086,183 97.48 1,814,064 98.41 2,145,835 96.69 4,646,716 95.84 4,633,049 94.70 3,550,990 94.27 290,254 96.t6 125,152 95.62 3,403,910 97.53 N/A $ 98,817,254 89.23% 134,301,406 98.82 165,266,3t9 99.70 150,079,954 99.78 148,954,548 98.92 134,906,893 97 .26 129,010,186 94.48 129,697,525 96.25 138,252,697 99.37 141,551,552 98.80 Source: City of Miami Beach Comprehensive Annual Financial Miami-Dade County Property Appraiser's Office. Report for the Fiscal Year ended September 30,2014 arrd IREMAINDER OF PAGE INTENTIONALLY LEFT BLANK] A-10 726 The following tables summarize the ten (10) largest taxpayers in the City, the type of property owned by such taxpayers and the assessed value ofsuch property for the Fiscal Year ended September 30, 2014 and, for comparison, for the Fiscal Year ended September 30, 2005. City of Miami Beach Ten Largest Taxpayers Fiscal Year 2Ol4 Taxpayer Fountainbleau Florida Hotel LLC MB Redevelopment Inc. / Loews Hotel 2201 Collins Fee LLC Florida Power & Light Company Di Lido Beach Hotel Corp. 2377 Collins Resort LP VCP Lincoln Road LLC Eden Roc LLP MCZ lCentrum Flamingo II LLC MCZ lCentrum Flamingo III LLC TOTAL Taxable Assessed Value s 327,5r3,062 229,900,000 200,811,436 186,802,731 112,960,000 I10,925,385 98,000,000 97,429,200 95,590,000 79,860,000 $IJl521,&14 Percentage of City's Certified Taxable Assessed ValueTwe of Propertv Hotel Hotel Apartments lndustrial Hotel Hotel Retail Hotel Apartments Apartments 1.33% 0.93 0.81 0.76 0.46 0.45 0.40 0.40 0.39 0.32 025% Source: 2013 Miami-Dade Counfy, Florida Ad Valorem Assessment Roll for the City of Miami Beach and City of Miami Beach, Florida Comprehensive Annual Financial Report for the Fiscal Year Ended September 30,2014. [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] A-11 727 Taxpayer Loews Miami Beach Hotel Morton Towers Fountainbleau Hotel Sandy Lane Residential LLC Di Lido Beach Hotel Corp. Eden Roc Acquisition LP Shore Club Morton Towers Expansion South Gate Apartments 2201 Collins Fee LLC City of Miami Beach Ten Largest Taxpayers Fiscal Year 2005 Twe of Propertv Hotel Apartments Hotel Hotel Hotel Hotel Hotel Apartments Apartments Apartments Taxable Assessed Value s143,400,000 I10,675,000 104,449,118 72,230,700 61,900,000 49,500,000 48,500,000 48,325,000 48,000,000 44.583.667 $23_!J53.485 Percentage of City's Certified Taxable Assessed Value 1.020h 0.79 0.74 0.51 0.44 0.35 0.35 0.34 0.34 0.32 s.20%TOTAL Source: 2004 Miami-Dade County, Florida Ad Valorem Assessment Roll for the City of Miami Beach and City of Miami Beach, Florida Comprehensive Annual Financial Report for the Fiscal Year Ended September 30,2014. LOCAL ECONOMY Tourism is the largest sector of the City's economy, with over $2.2 billion in direct tourist spending on hotel, food and beverage, and constitutes a large portion of the City's $l billion retail marketplace. In Fiscal Year 2013, the City's hotels hosted more than 5 million ovemight visitors, and approximately 7 million tourists visited South Beach and the Art Deco Historic district. Results reported for Fiscal Year 2014 evidence a continued upward trend. Hotel room sales in the City for Fiscal Year 2014 increased by 7% from Fiscal Year 2013, following the 9o/o increase a year earlier, demonstrating the continued strength of the City's lodging market and its major role in the robust tourist economy of South Florida. The City's hotel room occupancy rates remained stable in Fiscal Year 2014 at77Yo, as was the case in Fiscal Year 2013, reflecting continued absorption of an inventory of hotel rooms that has increased significantly in recent years, from 13,506 rooms at the beginning of 2008 to 17,751 in 2014. This additional inventory has provided the City with additional hotel room resources and product that is expected to continue to attract future visitors to and investment in the City. Evidence of the strength of the local economy is the fact that, with the exception of a de minimis 1% decline in the first quarter of 2008, hotel room demand has increased every quarter from the third quarter of 2007 through the fourth quarter of 2014. A-T2 728 The City is also a regional destination, with approximately 7 to 9 million day trips by residents of the surrounding area, making it one of the most popular destinations in Florida. However, in recent years, the City has diversified beyond its traditional tourism based economy to become a leading multi-industry business center, with entertainment, health care, culture, and professional services industries. The City serves as host for several major television shows, including Bum Notice (USA), Magic City (Starz) and Ballers (HBO), and has been the host for several recent feature productions, including Iron Man 3, Step Up Revolution, Pain & Gain and Ride Along 2. [n addition, the City hosted the inaugural eMerge Americas Conference, showcasing the best and brightest technology innovators and entrepreneurs, including Rokk3rlabs, a tech hub that is based in the City. In December 2014, the world's most prestigious art fair, Art Basel, based in Switzerland, celebrated the thirteenth anniversary of its Miami Beach exhibition. Over 250 of the world's leading art galleries participate in Art Basel Miami Beach and an estimated 73,000 intemational visitors attended the 2014 event. Art Basel Miami Beach has increased in attendance and sales every year since inception. Retail tenants continue to open locations and expand in the City, joining established operations, such as Armani Exchange, Kenneth Cole, Urban Outfitters, Diesel, Nicole Miller, Forever 21, H&M and Gap, which recently opened its new two story location in the City. New retailers that joined the Miami Beach market in 2014 included Athleta & Intermix, with Lululemon, Zadiq and Voltaire and Kiko Milano scheduled to join in 20 I 5. As of September 30 20 14, Class A office space in prime locations continues to generate interest, with a vacancy rate at the low level of approximately 9.9%. Such office space is anchored by corporate tenants, such as LNR Property Corporation, Terranova, and Benetton. Although there are factors beyond the City's control that have impacted the production of entertainment projects, the entertainment industry continues as an important part of the City's economy. The City remains a key location for the production of movies, fashion campaigns and television series. Many international talent and model agencies have established and continue operations in the City and the City continues to grow as an intemational destination for major events. In addition to Art Basel Miami Beach, Design Miami, the South Beach Food and Wine Festival, the Miami International Auto Show, the South Beach Comedy Festival, the Miami Beach lntemational Boat Show and the Winter Music Conference continue to provide a strong base for the special events, meeting and trade show segment of the City's economy. The City also remains a leader in the real estate industry, as the median price of homes and condominiums continued to stabilize through 2014. Development in the City continues to grow, specifically in North Beach, an area historically overlooked for significant projects by developers. Growth management initiatives in the late 1990's resulted in more limited supply, somewhat reducing the exposure of excess new residential inventory that was experienced in some other cities. Since the end of 2008, as recessionary pressures eased on the economy, the City has experienced quarterly increases of units sold, and a decline in the number of condominium units for sale, from over 4,000 in early 2008, to 1,470 in December 2013. In 2014 however, due to rising prices and a strengthening dollar, the sales velocity of the market has eased, with the condo listing inventory increasing to 3,409 in 2014 from record lows in 2013. MIAMI BEACH VISITOR AND CONVENTION ACTIVITY Miami-Dade County and the Miami Beach Convention Center host a large number of conventions and the City welcomes a large number of ovemight visitors each year. Set forth below is information relating to convention center attendance and overnight visitor activity. A-13 729 City of Miami Beach, Florida Convention Center Attendance and Overnight Visitors Fiscal Years 2005 - 2014 Fiscal Year Convention Center Attendance Ovemight Visitors Total Overnight Visitor Soendine 2005 2006 2007 2008 2009 20t0 20tl 2012 20t3 20t4 N/A 649,671 707,133 889,695 632,700 708,875 661,625 661,327 589,663 737,954 5,300,000 5,143,740 4,994,053 4,963,569 5,3g3,og l 5,558,408 5,539,010 5,841,612 5,697,053 6,961,200 s 7,200,000,000 7,889,608,756 7,344,7t9,992 7,468,633,814 7,524,151,558 8,104,378,579 8,088,739,484 9,201340,602 t0,614,t59,967 10,500,000,000 Source: City of Miami Beach Finance Department. [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK.] A-14 730 Orisin Tourism and Visitor Activity Domestic and International Overnight Visitors Miami-Dade County Fiscal Years 2010 - 2014 (in 000) Fiscal Year Ended Seotember 30. 20t0 20t1 20t2 2013 2014 Domestic Regions Northeast Southem Midwest Westem Total Domestic Visitors International Regions South America Caribbean Central America Europe Canada Other Intemational Regions Total International Visitors Total Overnight Visitors Expenditures* Domestic Ovemight Visitors lntemational Overnight Visitors Total Expenditures 3,196.0 1,568.5 1,220.6 558.9 6.948.s 2,836.8 688.5 525.1 1,306.5 587.4 11s.8 6.060.1 12.604) $ 6,484.7 12.428.6 $l_E.el33 3,362.1 1,700.1 1,291.2 595.1 6,948.5 3,182.9 702.8 537.6 1,324.7 627.9 I19.8 6,495.7 )3A442 $ 7,088.7 14,528.6 $2re!_2.3 3,423.2 1,750.6 1,300.9 600.2 7,074.9 3,435.6 718.8 550.1 1,364.4 640.5 120.3 6.833.7 13.908 6 s 7,482.3 15.183.0 $us55] 3,401.4 1 ,781 .0 1,263.6 641.2 7.087.2 3,737.1 719.2 561.5 1,332.4 660.6 120.9 7 ,131.7 ll2r8.e. s 7,839.9 15.954.1 $ru 3,520.1 1,833.1 1,270.8 679.2 7,303.2 3,659.0 755.0 59s.3 1,430.2 689.7 t30.7 7,260.0 1!.5632 $ 8,206.3 16,528.2 $2il34; Source: Greater Miami Convention and Visitors Bureau. * Average Daily Expenditures. [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK.] A-15 731 Overnight Visitors by Region Fiscal Years 2010 - 2014* Fiscal Year Ended Seotember 30. Resion 2010 20tt 2012 20t3 2014 Miami Beach Downtown Miami Airport Area North Miami-Dade/Sunny Isle South Miami-Dade Coral Gables Key Biscayne Coconut Grove Doral Total 44.1o 18.7 13.8 9.5 5.8 5.4 2.5 1.3 N/A )00% 4r.20 2t.7 13.0 9.8 5.8 5.7 2.4 0.8 0.7 190% 42.0% t7.6 17.2 10.0 5.0 4.9 2.7 0.9 0.7 190% 43.20 18.I 16.5 10.8 4.7 4.2 1.3 0.5 0.9 w% 47.8% t9.2 12.8 8.8 3.9 3.9 1.5 1.5 3.3 100% Source: Greater Miami Convention and Visitors Bureau. * Numbers may not add, due to rounding. TRANSPORTATION Surface Transportation The County has a comprehensive transportation network designed to meet the needs of residents, travelers and area businesses. The County's intemal transportation system includes (i) Metrorail , a24.8 mile above-ground, electric rail system connecting South Miami-Dade and the City of Hialeah with the downtown Miami and civic center areas; (ii) Metromover, a fully automated, 4.4 mile above-ground, electric rail, double-loop people mover system that carries passengers around downtown Miami's central business center, south to the Brickell Avenue business and international banking centers and north to the Andrienne Arsht Performing Arts Center and Omni shopping center areas; and (iii) the County's Metrobus system, which operates over approximately 29.3 million revenue miles per year and provides over 76.8 million passenger trips annually. The County also provides para-transit services to qualified elderly and handicapped riders. The County's para-transit services supply over 1.68 million passenger trips annually. In addition, cargo rail service is available from both Miami Intemational Airport and the Port of Miami, and Amtrak has a passenger station in the City of Miami. Tri-Rail, a 72-mile train system, links the City of West Palm Beach, the Town of Boca Raton, the City of Fort Lauderdale, the City of Hollywood and Miami lntemational Airport. Miami International Airport Miami International Airport is one of the busiest airports in the world for both passenger and cargo traffic. It ranks twetfth (12'h) in the nation and trventy-fifth (25'h) in the world in passenger traffic and has the second highest intemational passenger traflic in the United States. The airport ranks third (3'd) in the A-16 732 nation and eleventh (11'h) in the world in tonnage of domestic and international cargo movement. During Fiscal Year 2014 Miami lntemational Airport handled 40,844,964 passengers and 2,187,943 tons of air freight. More than 88 airlines serve Miami Intemational Airport, flying passengers to more than 150 destinations around the globe. Port of Miami The Port of Miami, known as the "cruise capital of the world," is an island port that encompasses 649 acres of land. It is the world's largest multi-day cruise port and is operated by the Seaport Department of Miami-Dade County. Embarkations and debarkations on cruise ships totaled over 4.7 million passengers at the Port of Miami during Fiscal Year 2014. The Port of Miami is currently home to twenty-eight (28) cruise ships that operate throughout the year. Such ships, owned by eight (8) separate cruise ship companies, include some of the largest cruise ships in the world. The Port of Miami is also a hub for Caribbean and Latin American commerce. These countries accounted for over one-half of the 7.6 million tons of cargo transferred through the Port of Miami during Fiscal Year 2014. The Port of Miami has also expanded its relationships in the global community. As a result, trade with the Far East, Asia and the Pacific coast accounted for almost 39Yo of the total cargo handled at the Port of Miami during Fiscal Year 2014. In August 2014, access to the Port of Miami was increased by the opening of the PortMiami Tunnel. The PortMiani Tunnel consist of two (2) parallel tunnels (one in each direction) that travel undemeath Biscayne Bay connecting MacArthur Causeway on Watson Island with the Port of Miami on Dodge Island. The PortMiami Tunnel provides direct access from highways I-95 and I-395, creating a highly desired additional entrance to the Port of Miami and a major improvement in traffic flow in downtown Miami. The PortMiarni Tunnel is expected to be a significant catalyst for future development at the Port of Miami and in the downtown Miami area. RECREATION There are numerous parks and playgrounds in the City. Each park provides different amenities, from tennis and bocce courts to swimming pools and tot lots, to Vita courses and barbecue pits. There are four (4) Vita courses, two (2) public swimming pools, and numerous tennis courts, including the Holtz Tennis Stadium, which hosts championship, professional and amateur toumaments. Offshore, the Gulf Stream provides a variety of game fish, while the Miami Beach Marina provides an abundance of space to house boats as well as direct access to the Atlantic Ocean and the Gulf Stream. The Marina is a private development on City owned, bay front land in the South Pointe area of the City. Renovation has increased the number of boat slips to 388, making the Marina a first class facility and the largest marina in the area. ln the north part of the City, the public can enjoy a leisurely sail in the quiet waters of Biscayne Bay from the Miami Beach Sailport. The facility, though open to all ages, was specially designed to teach young adults the basic art of sailing on small prams. The City owns two (2) championship golf courses that are open to the public. The two (2) championship courses, Miami Beach Golf Course and Normandy, offer a clubhouse complete with a restaurant, lounge and pro shop. A-t7 733 APPENDIX B Excerpts from Comprehensive Annual Financial Report of the City of Miami Beach, Florida for the Fiscal Year Ended September 34,2014 734 APPENDIX C The Bond Resolution 735 APPENDIX D Proposed Form of Opinion of Bond Counsel 736 APPENDIXE Proposed Form of Opinion of Disclosure Counsel 737 Date of Delivery City Commission of the City of Miami Beach, Florida 1700 Convention Center Drive Miami Beach, Florida 33139 City of Miami Beach, Florida Resort Tax Revenue Bonds Series 2015 Ladies and Gentlemen: We have served as Disclosure Counsel in connection with the issuance by the City of Miami Beach, Florida (the "City") of its $in aggregate principal amount of Resort Tax Revenue Bonds, Series 2015 (the "Series 2015 Bonds"). The Series 2015 Bonds are being issued with the terms, for the purposes and subject to the conditions set forth in Resolution No. No. 2015-_adopted by the Mayor and City Commission of the City on October _, 2015 (the "Bond Resolution"), as described in the Official Statement dated November _, 2015 relating to the Series 2015 Bonds (the "Official Statement"). All capitalized terms used in this opinion that are not defined herein and not normally capitalized shall have the meaning ascribed to such terms in the Official Statement. In connection with the issuance and delivery of this opinion, we have considered such matters of law and fact and have relied upon such certificates and other information furnished to us as we have deemed appropriate. We are not expressing any opinion or views herein on the authorization, issuance, delivery or validity of the Series 2015 Bonds. To the extent that the opinions expressed herein relate to or are dependent upon the determination that the proceedings and actions related to the authoization, issuance and sale of the Series 2015 Bonds are lawful and valid under the laws of the State of Florida, or that the Series 2015 Bonds are valid and binding obligations of the City enforceable in accordance with their terms, or that interest on the Series 2015 Bonds is excluded from the gross income of the owners thereof for federal income tax purposes, we understand that you are relying upon the opinions delivered on the date hereof of Squire Patton Boggs (US) LLP and no opinion is expressed herein as to such matters. The scope of our engagement with respect to the issuance of the Series 2015 Bonds was not to establish factual matters and, because of the wholly or partially non-legal character of many of the determinations involved in the preparation of the Official Statement, we are not passing on and do not assume any responsibility for, except as set forth in the last sentence of this paragraph, the accuracy or completeness of the contents of the Official Statement (including, without limitation, its appendices) and we make no representation that we have independently verified the accuracy, completeness or fairness of such contents. As your counsel, we have participated in the preparation of the Official Statement and in discussions and conferences with officials of the City, Bond Counsel for the City, the Consulting Engineers for the City in connection with the issuance of the Series 2015 Bonds, the Financial Advisors for the City, the Underwriters for the issuance of the Series 2015 Bonds and Moskowitz, Mandell, Salim & Simowitz, P.A., Counsel to the Underwriters, in which the contents of the Official Statement and related matters were discussed. Solely on the basis of our participation in the preparation of the Official Statement, our examination of certificates, documents, instruments and records relating to the City and the issuance of the Series 2015 Bonds and the above-mentioned discussions, nothing has come to our attention which would lead us to E-l 738 City Commission of the City of Miami Beach, Florida Date of Delivery Page 2 believe that the Official Statement (except for the financial, statistical and demographic data and information in the Official Statement, including, without limitation, the appendices thereto, and the information relating to DTC, its operations and the book-entry only system, as to which no opinion is expressed) contains an untrue statement of a material fact or omits to state a material fact that is necessary to make the statements therein, in light of the circumstances under which they were made, not misleading. We are also of the opinion that the continuing disclosure undertaking set forth in the Resolution and in the Disclosure Dissemination Agent Agreement of the City dated December _, 2015 and delivered at the closing for the Series 2015 Bonds, satisfies the requirements set forth in Rule l5c2-12(b)(5) of the United States Securities and Exchange Commission, as such requirements apply to the issuance of the Series 2015 Bonds. ln reaching the conclusions expressed herein we have, with your conculrence, assumed and relied on, without independent verification, the genuineness and authenticity of all signatures not witnessed by us, the authenticity of a[[ documents, records, instruments and letters submitted to us as originals, the conformity to originals of all items submitted to us as certified or photostatic copies, the legal capacity and authority of the persons who executed such items, the accuracy of all warranties, representations and statements of fact contained in the documents and instruments submitted to us, and the continuing accuracy on this date of any certificates or other items supplied to us regarding the matters addressed herein. As to questions of fact material to our opinions, we have relied upon and assumed the correctness of the public records and certificates by, and representations of, public officials and other officers, and representatives of the parties to this transaction. We have no actual knowledge of any factual information that would lead us to form a legal opinion that the public records or certificates which we have relied upon contain any untrue statement of a material fact. The opinions expressed herein are based upon existing law as of the date hereof and we express no opinion herein as of any subsequent date or with respect to any pending legislation. We assume no obligation to supplement this opinion if any applicable laws change after the date hereof or if we become aware of any facts that might change the opinions expressed herein after the date hereof. The opinions expressed herein represent our professional judgment, are not a guarantee of result, and are limited to the laws of the State of Florida and the United States of America. The opinions expressed herein are furnished by us as Disclosure Counsel to our client, the City, and solely for the use of the addressee named above. Such opinions shall not extend to, and may not be relied upon by, any other persons, firms, or corporations without our express prior written consent. The opinions expressed herein are limited to the matters set forth herein, and to the documents referred to herein, and do not extend to any other agreements, documents or instruments executed by the City. No other opinion should be infened beyond the matters expressly stated herein. Respectfully submitted, LAW OFFICES OF STEVE E. BULLOCK, P.A. E-2 739 APPENDIXF Form of Disclosure Dissemination Agent Agreement 740 [APPENDIX G Form of Specimen Municipal Bond Insurance Policyl 741 CITY OF MIAMI BEACH, FLORIDA Resort Tax Revenue Bonds, Series 2015 BOND PURCHASE AGREEMENT November -2015 Mayor and City Commission City of Miami Beactu Florida 1700 Convention Center Drive Miami Beactu Florida 33139 Ladies and Gentlemen: Merrill Ly..ku Pierce, Fenner & Smith Incorporated (the "Senior Managing Underwriter"), acting on behalf of itself and Citigroup Global Markets Inc., Morgan Stanley & Co., LLC and Siebert Brandford Shank & Co., LLC (collectively, with the Senior Managing Underwriter, the "lJnderwriters"), offer to enter into this Bond Purchase Agreement (this "Purchase Agreement") with the City of Miami Beach, Florida (the "City"), Ior the sale by the City and the purchase by the Underwriters of the City's $Resort Tax Revenue Bonds, Series 2015 (the "Series 2015 Bonds"). This offer is made subject to acceptance by the City prior to 5:00 p.m. (Eastern Time) on the date hereof. Upon such acceptance, this Purchase Agreement will be in full force and effect in accordance with its terms and will be binding on the City and the Underwriters. If this offer is not so accepted, it is subject to withdrawal by the Underwriters upon written notice delivered to the City at any time prior to such acceptance. In conformance with Section 218.385, Florida Statutes, as amended, the Underwriters hereby deliver the Disclosure and Truth-in-Bonding Statement attached hereto as Exhibit "A." Capitalized terms used in this Purchase Agreement, but not defined, are used with the meanings ascribed to them in the Bond Resolution hereinafter described. The Senior Managing Underwriter represents that it is authorized on behalf of itself and the other Underwriters to enter into this Purchase Agreement and to take any other actions that may be required on behalf of the Underwriters. SECTION 1. Upon the terms and conditions and upon the basis of the representations and warranties herein set forth, the Underwriters hereby agree to purchase from the (a) 742 (b) City, and the City hereby agrees to sell to the Underwriters all (but not less than all) of the Series 2015 Bonds for a purchase price equal to $100,431 ,270.05 (which purchase price is the aggregate principal amount of the Series 2015 Bonds of plus a net original issue premium of $and less an Underwriters,discountof$-).ThepurchasepricefortheSeries2015 Bonds shall be payable to the City in immediately available funds. In connection with the execution of this Purchase Agreement, the Senior Managing Underwriter, on behalf of the Underwriters, has delivered to the City a wire transfer credited to the order of the City in immediately available federal funds in the aggregate amount of Dollars ($-) (the "Good Faith Deposit"), which is being delivered to the City on account of the purchase price of the Series 2015 Bonds and as security for the performance by the Underwriters of their obligation to accept and to pay for the Series 2015 Bonds, if the City does not accept this offer, the Good Faith Deposit shall be immediately returned to the Senior Managing Underwriter by wire transfer credited to the order of the Senior Managing Underwriter in the amount of the Good Faith Deposit, in federal funds to the Senior Managing Underwriter. In the event the hereinafter defined Closing takes place, the amount of the Good Faith Deposit shall be credited against the purchase price of the Series 2015 Bonds pursuant to Section 1(a). ln the event of the City's failure to deliver the Series 20L5 Bonds at the Closing, or if the City shall be unable at or prior to the Closing to satisfy the conditions to the obligations of the Underwriters contained in this Purchase Agreement (unless such conditions are waived by the Senior Managing Underwriter), or if the obligations of the Underwriters shall be terminated for any reason permitted by this Purchase Agreement, the City shall immediately wire to the Senior Managing Underwriter in federal funds the Good Faith Deposit without interest, and such wire shall constitute a full release and discharge of ali claims by the Underwriters against the City arising out of the transactions contemplated by this Purchase Agreement. In the event that the Underwriters fail other than for a reason permitted under this Purchase Agreement to accept and pay for the Series 2015 Bonds upon their tender by the City at the Closing, the amount of the Good Faith Deposit shall be retained by the City and such retention shall represent full liquidated damages and not a penalty, for such failure and for any and all defaults on the part of the Underwriters and the retention of such funds shall constitute a full release and discharge of all claims, rights and damages for such failure and for any and all such defaults. It is understood by both the City and the Underwriters that actual damages in the circumstances as described in the preceding sentence may be difficult or impossible to compute; therefore, the funds represented by the Good Faith Deposit are a reasonable estimate of the liquidated damages in this type of situation. 743 (c)The Series 2015 Bonds will be issued pursuant to the Constitution and the laws of the State of Florida, in particular Chapter 67-930, Laws of Florida, Acts of 1.967 , as amended, and Chapter 1.66, Florida Statutes, as amended from time to time, and pursuant to the Miami Beach City Charter, as amended, and Chapter 102, Article IV of the Miami Beach City Code, as amended, including as amended by an ordinance (the "Resort Tax Ordinance") to be enacted by the Mayor and City Commission of the City of Miami Beach, Florida (the "Commission") levying the additional tax provided for in Section 5.03, Article IV of the Miami Beach City Charter, as amended (collectively, the " Act"), and pursuant to the terms and conditions of Resolution No. 2000-3582 adopted by the Mayor and City Commission of the City of Miami Beach, Florida (the "Commission") on November 21, 2007, and by Resolution No. 201,5-- adopted by the Commission on October 21.,2015 (the "Bond Resolution"). The Series 2015 Bonds will be secured as provided in the Bond Resolution. The Series 2015 Bonds shall mafure and have such other terms and provisions as are described on Exhibit "B" hereto. Proceeds of the Series 2015 Bonds will provide funds, together with other available funds, to (i) pay the costs of certain capital improvements to the Miami Beach Convention Center as described in the Bond Resolution (the "Series 2015 Project"), and (ii) pay costs of issuance of the Series 2015 Bonds[, including the premium for a Reserve Account Insurance Policy]. It shall be a condition to the obligation of the City to sell and deliver the Series 2015 Bonds to the Underwriters, and to the obligation of the Underwriters to purchase and accept delivery of the Series 2015 Bonds, that the entire aggregate principal amount of the Series 2015 Bonds shall be sold and delivered by the City and accepted and paid for by the Underwriters at the Closing. The Underwriters agree to make a bona fide public offering of substantially all of the Series 2015 Bonds to the public at initial public offering prices not greater than (or yields not less than) the initial public offering prices (or yields) set forth in the Official Statement dated the date hereof (the "Official Statement"); provided, however, that the Underwriters reserve the right to make concessions to certain dealers, certain dealer banks and banks acting as agents and to change such initial public offering prices as the Underwriters shall deem necessary in connection with the marketing of the Series 2015 Bonds. At the Closing, the Underwriters shall deliver to the City a certificate, in a form acceptable to Bond Counsel, stating the facts of the sale of the Series 2015 Bonds in a manner such that the issue price can reasonably be established. The Official Statement shall be provided for distribution, at the expense of the City, in such quantity as may be requested by the Underwriters no later than the earlier of (i) seven (7) business days after the date hereof, or (ii) one (1) business day prior to the Closing date, in order to permit the Underwriters to comply with Rule 15c2-12 (the "Rule") of the Securities and Exchange Commission ("SEC"), and (d) (e) 744 (0 the applicable rules of the Municipal Securities Rulemaking Board ("MSRB"), with respect to distribution of the Official Statement The Senior Managing Underwriter agrees to file the Official Statement with the Electronic Municipal Market Access system ("EMMA") (accompanied by a completed Form G-32) by the date of Closing. The filing of the Official Statement with EMMA shall be in accordance with the terms and conditions applicable to EMMA. From the date hereof until the earlier of (i) ninety days from the "end of the underwriting period" (as defined in the Rule), or (ii) the time when the Official Statement is available to any person from the MSRB (but in no case less than twenty-five (25) days following the end of the underwriting period), if any event occurs or a condition or circumstance exists which may make it necessary to amend or supplement the Official Statement in order to make the statements therein, in the light of the circumstances under which they were made, not misleading, the party discovering such even! condition or occurrence shall notify the other party and if, in the reasonable opinion of the City or the reasonable opinion of the Senior Managing Underwriter, such event requires the preparation and publication of an amendment or supplement to the Official Statement, the City, at its expense, will promptly prepare an appropriate amendment or supplement thereto, in a form and in a metnner reasonably approved by the Senior Managing Underwriter (and file, or cause to be filed, the same with the MSRB, and mail such amendment or supplement to each record owner of the Series 2015 Bonds) so that the statements in the Official Statement, as so amended or supplemented, will not, in light of the circumstances under which they were made, be misleading. Each party will promptly notify the other parties of the occurrence of any event of which it has knowledge or the discovery of such conditions or circumstance, which, in its reasonable opinion, is an event described in the preceding sentence. Notwithstanding the foregoing, if prior to the Closing either the City or the Underwriters hereto does not in good faith approve the form and manner of such supplement or amendment, the other may terminate this Purchase Agreement. The parties agree to cooperate in good faith with regard to the form and manner of the supplement or amendment to the Official Statement. Unless the City is otherwise notified by the Underwriters in writing on or prior to the date of Closing, the end of the underwriting period for the Series 2015 Bonds for all purposes of the Rule and this Purchase Agreement is the date of Closing. In the event the written notice described in the preceding sentence is given by the Underwriters to the City, such written notice shall specify the date after which no participating underwriter, as such term is defined in the Rule, remains obligated to deliver Official Statements pursuant to paragraph (bX4) of the Rule. The City hereby approves and authorizes the delivery and distribution of the Preliminary Official Statement dated as of November 5, 2015 (the "Preliminary (g) 745 (a) Official Statement") and the execution, delivery and distribution of the Official Statement in substantially the form of the Preliminary Official Statement together with such other changes, amendments or supplements as shall be made and approved in writing by the Senior Managing Underwriter and the City prior to the Closing in connection with the public offering and sale of the Series 2015 Bonds. SECTION 2. The City represents and warrants to and agrees with the Underwriters as follows: The Bond Resolution and the Resort Tax Ordinance were adopted and/or enacted by the Commission at meetings duly called and held in open session upon requisite prior public notice pursuant to the laws of the State of Florida and the standing resolutions and rules of procedure of the Commission. The City has full right, power and authority to adopt and/or enact the Bond Resolution and the Resort Tax Ordinance. On the date hereof, the Bond Resolution and the Resort Tax Ordinance are, and, at the Closing shall be, in full force and effect, and no portions thereof have been or shall have been supplemented, repealed, rescinded or revoked. The Bond Resolution and Resort Tax Ordinance constitute the legal, valid and binding obligations of the City, enforceable in accordance with their terms. The Bond Resolution creates a lien upon and pledge of Resort Tax Revenues, for the payment of principal and interest on the Series 2015 Bonds on parity and equal status with any other Bonds hereinafter issued under the Bond Resolution (the "Parity Bonds"). As of their respective dates and, with respect to the Official Statement, at the time of Closing, the statements and information contained in the Preliminary Official Statement and the Official Statement are and will be accurate in all material respects for the purposes for which their use is authorized, and do not and will not contain any untrue statement of a material fact or omit to state any material fact necessary to make the statements therein, in the light of the circumstances under which they were made, not misleading. ln addition, any amendments to the Preliminary Official Statement and the Official Statement prepared and fumished by the City pursuant hereto will not contain any untrue statement of a material fact or omit to state any material fact necessary to make the statements therein, in the light of the circumstances under which they were made, not misleading. The Series 2015 Bonds, the Bond Resolution, the Resort Tax Ordinance and the Disclosure Dissemination Agent Agreement relating to the Series 2015 Bonds (the "Continuing Disclosure Agreement") conform to the descriptions thereof set forth in the Official Statement. The City is not in breach of or default under any applicable constitutional provision, law or administrative regulation of the State of Florida or the United (b) (c) 746 (d) States, or any agency or department of either, or any applicable judgment or decree or any loan agreement, indenture, bond, note, resolution, agreement or other instrument to which the City is a party or to which the City or any of its properties or other assets is otherwise subject, and no event has occurred and is continuing which, with the passage of time or the giving of notice, or both, would constifute a default or event of default under any such instrument, in any such case to the extent that the same would have a material and adverse effect upon the business or properties or financial condition of the City or the Resort Tax Revenues, including the City's receipts of the Resort Tax Revenues in the amount contemplated by the Official Statemen! and the execution and delivery of the Series 2015 Bonds and the Continuing Disclosure Agreement; and this Purchase Contract and the adoption of the Bond Resolution, the adoption and/or enactment of the Resort Tax Ordinance, and compliance with the provisions on the City's part contained in each, will not conflict with or constitute a breach of or default under any constitutional provision, law, administrative regulation, judgment, decree, loan agreement, indenfure, bond, note, resolution, agreement or other instrument to which the City is a party or to which the City or any of its properties or other assets is otherwise subject, nor will any such execution, delivery, adoption or compliance result in the creation or imposition of any lien, charge or other security interest or encumbrance of any nafure whatsoever upon any of the properties or the assets of the City under the terms of any such law, regulation or instrument, except as provided or permitted by the Series 2015 Bonds and the Bond Resolution. As of its date, the Preliminary Official Statement was deemed "final" (except for permitted omissions) by the City for purposes of paragraph (b)(1) of the Rule. On the date hereoi the Commission is the governing body of the City and the City is, and will be on the date of the Closing, duly organized and validly existing as a municipality under the Act, with the power and authority set forth therein. The City has full right, power and authority to issue, sell and deliver the Series 2015 Bonds to the Underwriters as described herein; to provide funds to finance the Series 2015 Project; to have enacted and/or adopted the ordinances and/or resolutions which established the rates, fees, charges and other tax income which comprise the Resort Tax Revenues; to enter into this Purchase Agreement, and the Continuing Disclosure Agreement (collectively, the "Bond Documents"), to issue and deliver the Series 2015 Bonds as provided in this Purchase Agreement and the Bond Resolution, to apply the proceeds of the sale of the Series 2015 Bonds for the purposes described herein and in the Official Statement, to execute and deliver the Bond Documents, and to carry out and consummate the transactions contemplated by the aforesaid documents. (e) (0 747 (e)At meetings of the Commission that were duly called and at which a quorum was present and acting throughout, the Commission approved the execution and delivery of the Series 2015 Bonds and the Bond Documents; authorized the execution and delivery of the Official Statemenf and authorized the use of the Official Statement in connection with the public offering of the Series 2015 Bonds. The City represents that it will have no bonds or other indebtedness outstanding that are secured by the Resort Tax Revenues, other than as described in the Official Statement. All conditions and requirements of the Bond Resolution relating to the issuance of the Series 2015 Bonds have been complied with or fulfilled, or will be complied with or fulfilled on the date of Closing. Since September 30, 201.4, there has been no material adverse change in the financial position, results of operations or condition, financial or otherwise, of the City or its Resort Tax Revenues other than as disclosed in the Official Statement and the City has not incurred liabilities that would materially adversely affect its ability to discharge its obligations under the Bond Resolution or the Bond Documents, direct or contingent, other than as disclosed in the Official Statement. No authorization, approval, consent or license of any govemmental body or authority, not already obtained, is required for the valid and lawful execution and delivery by the City of the Series 2015 Bonds, the Bond Documents, the Official Statement, the adoption of the Bond Resolution and the adoption and/or enactment of the Resort Tax Ordinance, and the performance of its obligations thereunder or as contemplated thereby; provided, however, that no representation is made concerning compliance with the registration requirements of the federal securities laws or the securities or Blue Sky laws of the various states. The City is not and has not been in default on any bond issued since December 31, 1975 that would be considered material by a reasonable investor, and the City has not served as a conduit issuer of bonds since such date. Except as disclosed in the Official Statement, there is no claim, action, suit, proceeding, inquiry or investigation, at law or in equity, before or by any court, govemmental agency, or public board or body, pending or, to the best of its knowledge, threatened: (i) contesting the corporate existence or powers of the Commission, or the titles of the officers of the Commission to their respective offices; (ii) seeking to prohibit, restrain or enjoin the sale, issuance or delivery of the Series 2015 Bonds or the collection of the Resort Tax Revenues, pledged to pay the principal of and interest on the Series 2015 Bonds in the manner and to the extent provided in the Bond Resolution, or the application of the proceeds of the Series 2015 Bonds or in which an unfavorable decision, ruling or finding would materially adversely affect the financial position of the City or the collections of its Resort Tax Revenues or the validity or enforceability of the Series 2015 Bonds, the (h) (i) (j) (k) 748 (l) Bond Resolution, the Resort Tax Ordinance or the Bond Documents; (iii) contesting in any way the completeness or accuracy of the Official Statement; or (iv) adversely affect the exclusion of interest on the Series 2015 Bonds from gross income for federal income tax purposes. When duly executed and delivered, the Series 2015 Bonds and the Bond Documents will have been duly authorized, executed, issued and delivered and will constitute valid and binding obligations of the City, enforceable in accordance with their respective terms, except insofar as the enforcement thereof may be limited by bankruptcy, insolvency or similar laws relating to the enforcement of creditors' rights. The City will fumish such information, execute such instruments and take such other action in cooperation with the Senior Managing Underwriter as the Senior Managing Underwriter may reasonably request to: (i) qualify the Series 2015 Bonds for offer and sale under the "blue sky" or other securities laws and regulations of such states and other jurisdictions of the United States of America as the Senior Managing Underwriter may designate; (ii) determine the eligibility of the Series 2015 Bonds for investment under the laws of such states and other jurisdictions; and (iii) continue such qualifications in effect so long as required for the distribution of the Series 2015 Bonds; provided that the City will not be required to qualify to do business or submit to service of process in any such jurisdiction. The City has not been notified of any listing or the proposed listing of the City by the Internal Revenue Service as an issuer whose arbitrage certifications may not be relied upon. A.y certificate signed by any official of the City and delivered to the Underwriters will be deemed to be a representation by the City to the Underwriters as to the statements made therein. The City will undertake, pursuant to the Continuing Disclosure Agreement, to provide or cause to be provided to the MSRB certain annual financial information and collection data as to the City and the Resort Tax Revenues, and certain notices of material events, as more fully set forth in the Continuing Disclosure Agreement. A description of the undertaking will be set forth in the Official Statement. The Financial Statements included in the Official Statement have been prepared in accordance with generally accepted accounting principles applied on a consistent basis with that of the audited combined financial statements of the City and fairly present the financial condition and results of the operations of the City at the dates and for the periods indicated. (m) (n) (o) (p) (q) 749 (.) (s) The City will provide to the rating agencies rating the Series 2015 Bonds appropriate periodic credit information necessary for maintaining the ratings on the Series 2015 Bonds. Except as disclosed in the Official Statement, within the last five (5) years/ the City has not failed to comply in all material respects with any continuing disclosure undertaking made by it pursuant to the Rule in connection with outstanding bond issues for which the City has agreed to undertake continuing disclosure obligations. At the time of Closing, the City will be in compliance in all respects with the covenants and agreements contained in the Bond Resolution and no event of default, nor an event which, with the lapse of time or giving of notice, or both, would constitute an event of default under the Bond Resolution will have occurred or be continuing. The City will not take or omit to take any action which action or omission will in any way cause the proceeds from the sale of the Series 2015 Bonds to be applied in a manner contrary to that provided for or permitted in the Bond Resolution and as described in the Official Statement. No representation or warranty by the City in this Purchase Agreement, nor any statement, certificate, document or exhibit furnished to or to be furnished by the City pursuant to this Purchase Agreement contains, or will contain on the Closing date, any untrue statement of material fact. Between the date of this Purchase Agreement and the date of Closing, the City will not, without the prior written consent of the Senior Managing lJnderwriter, offer or issue any bonds, notes or other obligations for borrowed money, and the City will not incur any material liabilities, direct or contingent, nor will there be any adverse change of a material nature in the financial position, results of operations or condition, financial or otherwise, of the City, other than (i) as contemplated by the Official Statement, or (ii) in the ordinary course of business. (t) (u) (v) (w) SECTION 3. On or before the acceptance by the City of this Purchase Agreement, the Underwriters shall receive from the City certified copies of the Bond Resolution and the Resort Tax Ordinance. SECTION 4. At 10:00 a.m. (Eastern Time) on December 17,2015, or at such earlier or later time or date as the parties hereto mutually agree upon (the "Closing"), the City will cause to be delivered to the Underwriters, at the offices of Squire Patton Boggs (US) LLP ("Bond Counsel"), in the City of Miami, Florida or at such other place upon which the parties hereto may agree, the documents 750 mentioned in Section 5(b) of this Purchase Agreement and shall release the Series 2015 Bonds, in the form of one typewritten, fully registered bond with a CUSIP identification number thereon for each maturity of the Series 2015 Bonds, duly executed and authenticated and registered in the name of Cede & Co., as nominee for DTC, through the DTC FAST System to the Underwriters. At the Closing, the Underwriters shall evidence their acceptance of delivery of the Series 2015 Bonds and pay the purchase price of the Series 2015 Bonds as set forth in Section 1(a) of this Purchase Agreement. SECTION 5. The Underwriters have entered into this Purchase Agreement in reliance upon the representations and agreements of the City herein and the performance by the City of its obligations hereunder, both as of the date hereof and as of the date of Closing. The City's and the Underwriters' obligations under this Purchase Agreement are and will be subject to the following further conditions: (a) at the time of Closing: (i) the Bond Resolution, the Resort Tax Ordinance and the Bond Documents will be in full force and effect and will not have been amended, modified or supplemented, except as may have been agreed to in writing by the Senior Managing Underwriter; (ii) the proceeds of the sale of the Series 2015 Bonds shall be applied as described in the Official StatemenU and (iii) the Commission shall have duly adopted and there shall be in fulI force and effect, resolutions as, in the opinion of Bond Counsel, shall be necessary in connection with the transactions contemplated hereby; (b) at or prior to the Closing, the Underwriters shall receive the following documents: (ii) the opinion of Bond Counsel with respect to the Series 2015 Bonds, dated the date of Closing, substantially in the form attached to the Official Statement as Appendix E, either addressed to the Underwriters and the City or accompanied by a letter addressed to the Underwriters indicating that it may rely on said opinion as if it were addressed to them; a supplemental opinion of Bond Counsel, dated the date of the Closing and addressed to the Underwriters to the effect that: (A) they have reviewed the statements in the Official Statement under the captions ,,INTRODUCTION", "PURPOSE OF THE SERIES 2015 BONDS", "THE SERIES 2015 BONDS" (except for information under the subheading "Book-Entry Only System"), and "SECURITY FOR THE SERIES 2015 BONDS", and believe that, insofar as such statements purport to summarize certain provisions of the Series 2015 Bonds and the Bond Resolution, such statements present an accurate summary of such provisions; (B) they have reviewed the statements in the Official Statement under the caption "TAX MATIERS" and believe that such statements are (i) 10 751 (iii) accurate; and (C) the Series 2015 Bonds are exempt from the registration requirements of the Securities Act of 1933, as amended (the "L933 Act") and the Bond Resolution is exempt from qualification under the Trust Indenture Act of 1.939, as amended (the "1939 Act"); the opinion of the Law Offices of Steve E. Bullock, P.A., Disclosure Counsel to the City, dated the date of Closing and either addressed to the Underwriters and the City or accompanied by a letter addressed to the Underwriters indicating that they may rely on said opinion as if it were addressed to them, in form and substance acceptable to the City and the Underwriters, (i) to the effect that nothing has come to its attention which leads it to believe that the Official Statement contains any untrue statement of a material fact or omits to state a material fact required to be stated therein or necessary to make the statements therein, in light of the circumstances under which they were made, not misleading, (ii) the Continuing Disclosure Agreement complies, in all material respects, with the requirements of Rule 15(c)2-12(b)(5), and (iii) the Series 2015 Bonds are exempt from the registration requirements of the L933 Act and the Bond Resolution is exempt from qualification under the 1939 Act; the opinion of Raul Aguila, Esq., Counsel to the City, dated the date of Closing and addressed to the Underwriters and the City, to the effect that: (A) the Commission is the governing body of the City and the City is validly existing as a municipality under the Act, with all corporate power necessary to conduct the operations described in the Official Statement and to carry out the transactions contemplated by this Purchase Agreement; (B) the City has obtained all govemmental consents, approvals and authorizations necessary for execution and delivery of the Bond Documents, for issuance of the Series 2015 Bonds and for execution and delivery of the Official Statement and consummation of the transactions contemplated thereby and hereby; (C) the City has full legal right power and authority to pledge and grant a lien on the Resort Tax Revenues, for the security of the Series 2015 Bonds on parity and equal status with the Parity Bonds; (D) the Commission has duly adopted the Bond Resolution and duly enacted and/or adopted the Resort Tax Ordinance and approved the form, execution, distribution and delivery of the Official Statemen! (E) the Series 2015 Bonds and the Bond Documents have each been duly authorized, executed and delivered by the City and, assuming due authorization, execution and delivery thereof by the other parties thereto, if any, each constitutes a valid and binding agreement of the City, enforceable in accordance with its terms; (F) the information in the Official Statement with respect to the City (excluding financial, statistical and demographic information and information relating to DTC, (iv) 11 752 (v) as to which no opinion need be expressed) is, to the best knowledge of such counsel after due inquiry with respect thereto, correct in all material respects and does not omit any matter necessary in order to make the statements made therein regarding such matters, in light of the circumstances under which such statements are made, not misleading, and, based on its participation as counsel to the City, such counsel has no reason to believe that the Official Statement (excluding financial, statistical and demographic information (and information relating to DTC) contained as of its date or contains any untrue statement of a material fact or omitted or omits to state any material fact necessary to make the statements therein, in light of the circumstances under which they were made, not misleading; (G) except as disclosed in the Official Statement under the caption "LITIGATION," there is no action, suit, proceeding or investigation at law or in equity before or by any cour! public board or body pending or, to the best of knowledge of such counsel, threatened, against or affecting the Commission or the City challenging the validity of the Series 2015 Bonds, the Bond Resolution, the Resort Tax Ordinance, the Bond Documents, or any of the kansactions contemplated thereby or by the Official Statement, or challenging the existence of the City or the respective powers of the several offices of the officials of the City or the titles of the officials holding their respective offices, or challenging the City's assessment or collection of the Resort Tax Revenues or the pledge of the Resort Tax Revenues for the payment of the Series 2015 Bonds in the manner and to the extent provided in the Bond Resolution, nor is there any basis therefor; (H) the execution and delivery of the Bond Documents and the issuance of the Series 2015 Bonds, and compliance with the provisions thereoi under the circumstances contemplated thereby, do not and will not in any material respect conflict with or constitute on the part of the City a breach of or default under, or result in the creation of a lien on any property of the City (except as contemplated therein) pursuant to any note, mortgage, deed of tmst, indenfure, resolution or other agreement or instrument to which the Commission or the City is a party, or any existing law, regulation, court order or consent decree to which the Commission or the City is subject; a certificate, dated the date of Closing, signed on behalf of the City by the Mayor and the City Manager of the City, setting forth such matters as the Senior Managing Underwriter may reasonably require, including that each of the representations of the City contained in Section 2 hereof were true and accurate in all material respects on the date when made, has been true and accurate in all material respects at all times since, and continues to be true and accurate in all material respects on the date of Closing as if made on such date; and stating that to the best of their knowledge, no 12 753 event affecting the City, the Series 2015 Project, the Resort Tax Revenues or the Series 2015 Bonds has occurred since the date of the Official Statement which should be disclosed therein for the purpose for which it is used or which is necessary to disclose therein in order to make the statements and information therein not misleading in any material respect as of the date of Closing; (vi) a customary signature certificate, dated the date of Closing, signed on behalf of the City by the City Clerk of the City; (vii) letters from Moody's lnvestors Service, Inc. ("Moody'r") and Standard & Poor's Ratings Services ("S&P") addressed to the City, to the effect that the Series 2015 Bonds have been assigned ratings of " _" (_ outlook) and " -" (- outlook), respectively, which ratings shall be in effect as of the Closing date; (viii) a customary authorization and incumbency certificate, dated the date of Closing, signed by authorized officers of the Bond Registrar; (ix) copies of the Blue Sky Survey and Legal lnvestment Survey, If any, prepared by Counsel to the Underwriters, indicating the jurisdictions in which the Series 2015 Bonds may be sold in compliance with the "blue sky" or securities laws of such jurisdictions; (x) such additional documents as may be required by the Bond Resolution to be delivered as a condition precedent to the issuance of the Series 2015 Bonds; the opinion of Moskowitz, Mandell, Salim & Simowitz, P.A., counsel to the Underwriters, dated the date of Closing and addressed to the Underwriters, and covering such matters as the Senior Managing Underwriter may reasonably request; (xii) Executed or certified copies of the Bond Documents; and (xiii) such additional legal opinions, proceedings, instruments and other documents as the Senior Managing Underwriter, IJnderwriters' Counsel or Bond Counsel may reasonably request. All of the opinions, letters, certificates, instruments and other documents mentioned in this Purchase Agreement shall be deemed to be in compliance with the provisions of this Purchase Agreement if, but only if, in the reasonable judgment of the Senior Managing Underwriter and Underwriters' Counsel, they are satisfactory in form and substance. (xi) 13 754 SECTION 5. If the City shall be unable to satisfy the conditions to the Underwriters' obligations contained in this Purchase Agreement or if the Underwriters' obligations are terminated for any reason permitted by this Purchase Agreement, this Purchase Agreement shall terminate and the Underwriters and the City shall have no further obligation hereunder, except that the respective obligations of the parties hereto provided in Section 7 hereof shall continue in full force and effect and the City shall return the Good Faith Deposit as provided in Section 1(b). SECTION 7. (a)The following costs and expenses relating to the transaction contemplated or described in this Purchase Agreement shall be borne and paid by the City regardless of whether the transaction contemplated herein shall close: printing of Series 2015 Bonds; printing or copying of closing documents (including the Preliminary Official Statement and the Official Statement) in such reasonable quantities as the Underwriters may request; fees and disbursements of Bond Counsel; fees and disbursements of the City's Financial Advisor; any accounting fees; the Bond Registrar fees; fees of the rating agencies; and any other fees as described in Schedule A-1 hereto. The City shall pay any expenses incurred by the Underwriters on behalf of the City and its staff in connection with the marketing, issuance and delivery of the Series 2015 Bonds, including, but not limited to, meals, transportation and lodging of the City's employees and representatives; the City's obligations in regard to these expenses survive even if the underlying transaction fails to close or consummate. The Underwriters will pay: (i) the fees and disbursements of Underwriters' Counsel; (ii) all advertising expenses in connection with the public offering of the Series 2015 Bonds; and (iii) the cost of preparing, printing and distributing the Blue Sky and Legal Investment Surveys, if any, and the filing fees, if any, required by the "blue sky" laws of various jurisdictions. (b) SECTION 8. The City acknowledges and agrees that: (i) the kansactions contemplated by this Purchase Agreement are arm's length, commercial transactions between the City and the Underwriters in which the Underwriters are acting solely as a principal and are not acting as a municipal advisor, financial advisor or fiduciary to the City; (ii) the Underwriters have not assumed any advisory or fiduciary responsibility to the City with respect to the transactions contemplated hereby and the discussions, undertakings and procedures leading thereto (irrespective of whether the Underwriters or their affiliates have provided other services or are currently providing other services to the City on other matters); (iii) the only obligations the Underwriters have to the City with respect to the transaction contemplated hereby expressly are set forth in this Purchase Agreemen| (iv) the City has consulted its own financial and/or t4 755 municipal, legal, accounting, tax, and other advisors, as applicable, to the extent it has deemed appropriate and (v) the Underwriters have financial and other interests that differ from those of the City, The primary role of the Underwriters is to purchase the Series 2015 Bonds for resale to investors, in an arm's-length commercial transaction between the City and the Underwriters. SECTION 9. The Underwriters shall have the right to cancel their obligations hereunder if the Senior Managing Underwriter notifies the City in writing of their election to do so between the date hereof and the Closing if, at any time hereafter and on or prior to the Closing: (a)A committee of the House of Representatives or the Senate of the Congress of the United States shall have pending before it legislation, or a tentative decision with respect to legislation shall be reached by a committee of the House of Representatives or the Senate of the Congress of the United States of America, or legislation shall be favorably reported by such a committee or be introduced, by amendment or otherwise, in, or be passed by, the House of Representatives or the Senate, or recommended to the Congress of the United States of America for passage by the President of the United States of America, or be enacted by the Congress of the United States of America, or .u-t announcement or a proposal for any such legislation shall be made by a member of the House of Representatives or the Senate of the Congress of the United States, or a decision by a court established under Article III of the Constitution of the United States of America or the Tax Court of the United States of America shall be rendered, or a ruling, regulation, or order of the Treasury Department of the United States of America or the lntemal Revenue Service shall be made or proposed having the purpose or effect of imposing federal income taxation, or any other event shall have occurred which results in or proposes the imposition of federal income taxation, upon revenues or other income of the general character to be derived by the City, any of its affiliates, state and local governmental units or by any similar body or upon interest received on obligations of the general character of the Series 2015 Bonds which, in the Senior Managing Underwriter's opinion, materially and adversely affects the market price of the Series 2015 Bonds. Any legislation, ordinance, rule, or regulation shall be introduced in or be enacted by any govemmental body, department, or agency of the United States or of any state, or a decision by any court of competent jurisdiction within the United States or any state shall be rendered which, in the Senior Managing lJnderwriter's reasonable opinion, materially adversely affects the market price of the Series 2015 Bonds. A stop order, ruling, regulation, or official statement by, or on behalf of, the SEC or any other govemmental agency having jurisdiction of the subject matter shall be issued or made to the effect that the issuance, offering, or sale of obligations of (b) (c) 15 756 (d) the general character of the Series 2015 Bonds, or the issuance, offering, or sale of the Series 2015 Bonds, including all the underlying obligations, as contemplated hereby or by the Official Statement, is in violation or would be in violation of any provisions of the federal securities laws as amended and then in effect, including without limitation the registration provisions of the 1933 Act, or the registration provisions of the Securities Exchange Act of 1934 (the "1934 Act"), or the qualification provisions of the 1939 Act. Legislation shall be introduced by amendment or otherwise in, or be enacted by, the Congress of the United States of America t or a decision by a court of the United States of America shall be rendered to the effect that obligations of the general character of the Series 2015 Bonds, including all the underlying obligations, are not exempt from registration under or from other requirements of the 1933 Act or the 1934 Act, or with the purpose or effect of otherwise prohibiting the issuance, offering, or sale of obligations of the general character of the Series 2015 Bonds, as contemplated hereby or by the Official Statement. Any event shall have occurred, or information shall have become known, which, in the Senior Managing Underwriter's reasonable opinion, makes untrue it u.y material respect any representation by or certificate of the City hereunder, or any statement or information fumished to the Underwriters by the City for use in connection with the marketing of the Series 2015 Bonds or any material statement or information contained in the Official Statement as originally circulated contains an untrue statement of a material fact or omits to state a material fact necessary in order to make the statements made, in light of the circumstances under which they were made, not misleading; provided, however, that the City shall be granted a reasonable amount of time in which to cure any such untrue or misleading statement or information. Additional material restrictions not in force as of the date hereof shall have been imposed upon trading in securities generally by any govemmental authority or by any national securities exchange. The New York Stock Exchange or any other national securities exchange, or any govemmental authority, shall impose, as to Series 2015 Bonds or obligations of the general character of the Series 2015 Bonds, any material restrictions not now in force, or increase materially those now in force, with respect to the extension of credit by, or a change to the net capital requirements of, the Underwriters. A general banking moratorium or suspension or limitation of banking services shall have been established by federal, Florida or New York authorities or a major financial crisis or material disruption in commercial banking or securities settlement or clearance services shall have occurred. (e) (0 (g) (h) t6 757 Any proceeding shall be pending, or to the knowledge of the Underwriters, threatened, to restrain, enjoin, or otherwise prohibit the issuance, sale, or delivery of the Series 2015 Bonds by the City or the purchase, offering, sale, or distribution of the Series 2015 Bonds by the Underwriters, or for any investigatory or other proceedings under any federal or state securities laws or the rules and regulations of the National Association of Securities Dealers, Inc. relating to the issuance, sale, or delivery of the Series 2015 Bonds by the City or the purchase, offering, sale, or distribution of the Series 20L5 Bonds by the Underwriters. There shall have occurred any new outbreak or escalation of hostilities, any declaration by the United States of war or any national or intemational calamity or crisis, the effect of such outbreak, escalation, declaration, calamity or crisis being such as would cause a major disruption in the municipal bonds market and as, in the reasonable judgment of the Senior Managing Underwriter, would make it impracticable or inadvisable for the Underwriters to market the Series 2015 Bonds or to enforce contracts for the sale of the Series 2015 Bonds. Prior to Closing, any of the rating agencies which have rated the Series 2015 Bonds shall inform the City or the Underwriters that the Series 2015 Bonds will be rated lower than the respective rating published in the Official Statement or there shall have occurred or any notice shall have been given of any downgrading, suspension, withdrawal, or negative change of credit watch status by any national rating service to any Bonds. There shall have occurred, after the signing hereof, either a financial crisis with respect to the City or any agency or political subdivision thereof or proceedings under the bankruptcy laws of the United States or the State of Florida shall have been instituted by the City, in either case the effect of which, in the reasonable judgment of the Senior Managing Underwriter, is such as to materially and adversely affect the market price or the marketability of the Series 20L5 Bonds or the ability of the Underwriters to enforce contracts of the sale of the Series 2015 Bonds. SECTION 1.0. Any notice or other communication to be given under this Purchase Agreement may be given by delivering the same in writing as follows: (i) 0) (k) (t) 77 758 To the City at: City of Miami Beach, Florida 1700 Convention Center Drive Miami Beactr, FL 33139 Attention: John Woodruff, Interim Chief Financial Officer To the Underwriters (as the Senior Managing Underwriter, the representative on behalf of the Underwriters) at: Merrill Ly..tu Pierce, Fenner & Smith Lrcorporated 355 Alhambra Circle, Suite 1360 Coral Gables, Florida 33134 Attention: Jose R. Pagan SECTION 1-1. This Purchase Agreement is made solely for the benefit of the City and the Underwriters (including the successors or assigns of the Underwriters), and no other person, partnership, association or corporation shall acquire or have any right hereunder or by virtue hereof. SECTION 12. All the representations, warranties and agreements of the Underwriters and the City in this Purchase Agreement shall remain operative and in full force and effect and shall survive delivery of and payment for the Series 2015 Bonds hereunder regardless of any investigation made by or on behalf of the Underwriters. SECTION 1-3. This Purchase Agreement shall be govemed by and construed in accordance with the laws of the State of Florida. SECTION 14. This Purchase Agreement may be executed i. *y number of counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same agreemen! such counterparts may be delivered by facsimile transmission. [Signature Page to Follow] 18 759 If the foregoing is acceptable to you, please sign below and this Purchase Agreement will become a binding agreement between the City and the Underwriters. Very Truly Yours, MERRILL LYNCH, PIERCE, FENNER & SMITH INCORPORATED, on behalf of itself and CITIGROUP GLOBAL MARKETS INC., MORGAN STANLEY & CO., LLC and SIEBERT BRANDFORD SHANK & CO., LLC Name:Jose R. Pagan Title : Authorized Representative Accepted and confirmed as of the date first above written: CITY OF MIAMI BEACH, FLORIDA Name: Philip Levine Title: Mayor By, APPRO/ED AS TO fOnr.ll &LANGUAGE &FOB DGCUNON f^o Cr'\-rst' DdoCltyAitotneY 19 760 EXHIBIT A (Disclosure and Truth-in-Bonding Statement) CITY OF MIAMI BEACH, FLORIDA Resort Tax Revenue Bonds Series 2015 November -2015 Mayor and City Commission City of Miami Beach, Florida 1700 Convention Center Drive Miami Beach, Florida 33139 Ladies and Gentlemen: In connection with the proposed execution and delivery of the $- City of Miami Beach, Florida Resort Tax Revenue Bonds, Series 2015 (the "Series 2015 Bonds"), Merrill Lynch, Pierce, Fenner & Smith lncorporated (the "Senior Managing Underwriter"), acting on behalf of itself and Citigroup Global Markets Inc., Morgan Stanley & Co., LLC and Siebert Brandford Shank & Co., LLC (collectively, with the Senior Managing Underwriter, the "I-Jnderwriters"), has agreed to underwrite a public offering of the Series 2015 Bonds. Arrangements for underwriting the Series 2015 Bonds will include a Bond Purchase Agreement between the City of Miami Beach, Florida (the "City") and the Underwriters which will embody the negotiations in respect thereof (the "Purchase Agreement"). The purpose of this letter is to furnish, pursuant to the provisions of Section 218.385, Florida Stafutes, as amended, certain information in respect of the arrangements contemplated for the underwriting of the Series 2015 Bonds as follows: (a) The nature and estimated amounts of expenses to be incurred by the Underwriters in connection with the purchase and reoffering of the Series 2015 Bonds are set forth in schedule A-1 attached hereto. No person has entered into an understanding with the Underwriters or, to the knowledge of the Underwriters, with the City for any paid or promised compensation or valuable consideration, directly or indirectly, expressly or implied, to act solely as an intermediary between the City and the Underwriters (b) Exhibit A-1 761 (d) (c) (e) (0 or to exercise or attempt to exercise any influence to effect any transaction in connection with the purchase of the Series 2015 Bonds by the Underwriters. The total underwriting spread is $_ ($__J$1,000 of Bonds). The Management Fee is $0 ($0/$1,000 of Bonds). TheUnderwriters,Expensesare$-($/$1,000ofBonds). No other fee, bonus or other compensation has been or will be paid by the Underwriters in connection with the issuance of the Series 2015 Bonds to any person not regularly employed or retained by the LJnderwriters, except Underwriters' Counsel, Moskowitz, Mandell, Salim & Simowitz, P.A., as shown on Schedule A-1 hereto, including any "finder" as defined in Section 218.386(1Xa), Florida Statutes, as amended. The names and addresses of the Underwriters are: Merrill Lynch, Pierce, Fenner & Smith Incorporated 355 Alhambra Circle, Suite 1360 Coral Gables, Florida 331,34 Attention: Jose R. Pagan Citigroup Global Markets Inc. 100 North Tampa Street, Suite 3750 Tampa, Florida 33602 Attn: Kevin Dempsey Morgan Stanley & Co., LLC 2400 East Commercial Blvd., Suite 1200 Fort Lauderdale, Florida 33308 Attn:J.W. Howard Siebert Brandford Shank & Co., LLC 1025 Connecticut Avenue NW, Suite 1202 Washington, DC 20036 Attn:Jon Kim (h)TheCityisproposingtoissue$-principalamountoftheSeries2015 Bonds, as described in the Official Statement dated November 5, 2015 relating to the Series 2015 Bonds (the "Official Statement"). These obligations are expected to be repaid over a period of approximately _ years. At a true interest cost rate of _"/q total interest paid over the life of the Series 2015 Bonds will be $_. Proceeds of the Series 2015 Bonds will provide funds, together with (g) Exhibit A-2 762 other available funds, to (i) pay the costs of certain capital improvements to the Miami Beach Convention Center, and (ii) pay costs of issuance of the Series 2015 Bonds. (i) The anticipated source of repayment or security for the Series 2015 Bonds is the Resort Tax Revenues (as defined in the Bond Resolution, which in turn is defined in the Purchase Agreement). Authorizing these obligations will result in an aVerageannualamountofapproximately$-(totaldebtservicedivided by _ years) of the aforementioned funds not being available each year to finance the other services of the City over a period of approximately _ years, with respect to the Series 2015 Bonds. [Remainder of page intentionally left blank] Exhibit A-3 763 We understand that you do not require any further disclosure from the Underwriters pursuant to Section 218.385, Florida Statutes, as amended. Very Truly Yours, MERRILL LYNCH, PIERCE, FENNER & SMITH INCORPORATED, on behaif of itself and CITIGROUP GLOBAL MARKETS INC., MORGAN STANLEY & CO., LLC and SIEBERTBRANDFORD SHANK & CO., LLC Name:Jose R. Pagan Title: Authorized Representative By, Exhibit A-4 764 SCHEDULE " A-1" DETAILED BREAKDOWN OF UNDERWRITERS' DISCOUNT $_ CITY OF MIAMI BEACH, FLORIDA Resort Tax Revenue Bonds Series 2015 Soread Breakdown+ Average Takedown Expenses Total Expense Breakdown Underwriter's Counsel DTC Ipreo CUSIP Miscellaneous Total s/$1,000 $ $/s1.000 $ Amount $ Amount Schedule A-1 765 EXHIBIT B $ CITY OF MIAMI BEACH, FLORIDA Resort Tax Revenue Bonds Series 2015 MATURITIES, PRINCIPAL AMOUNTS,INTEREST RATES, YIELDS AND PRICES $_ Serial Bonds Maturity Principal (Seotember 1) Amount lnterest Rate Yield Price $- -% Term Bond Due September 1,20 ; Yield -%; Price - * Yield and price to the first optional redemption date of September 1,20-. Exhibit B-1 766 Redemption Provisions Ootional Redemotion The Series 2015 Bonds maturing on or before September 1., 20- are not subject to redemption prior to maturity. The Series 2015 Bonds maturing on or after September 1,,20_are subject to redemption prior to maturity, at the option of the City, on or after September L,20 , in whole or in part at any time, in any order of maturity selected by the City and by lot or by such other manner as the Bond Registrar shall deem appropriate within a maturity, at a redemption price equal to one hundred percent (100%) of the principal amount of the Series 2015 Bonds to be redeemed, together with accrued interest to the date fixed for redemption and without premium. Mandatorv Sinkins Fund Redemotion The Series 2015 Bonds maturing on September 1, 20- are subject to mandatory sinking fund redemption prior to maturity, in part, by lot or by such other manner as the Bond Registrar shall deem appropriate, through the application of Amortization Requirements, at a redemption price equal to one hundred percent (100%) of the principal amount thereof, on September 1 of each year in the following amounts and in the years specified: Due (September 1) Amortization Reouirement+ * Final maturity. Exhibit B-2 767 -8 1 3 1 -5280 I 2t AMERTCAS DISCLOSURE DISSEMINATION AGENT AGREEMENT This Disclosure Dissemination Agent Agreement (the "Disclosure Agreement"), dated as of , 2015, is executed and delivered by the City of Miami Beach, Florida (the "Issuer") and Digital Assurance Certification, L.L.C., as exclusive Disclosure Dissemination Agent (the "Disclosure Dissemination Agent" or "DAC") for the benefit of the Holders (hereinafter defined) of the Bonds (hereinafter defined) and in order to provide certain continuing disclosure with respect to the Bonds in accordance with Rule 15c2-12 of the United States Securities and Exchange Commission under the Securities Exchange Act of 1934, as the same may be amended from time to time (the "Rule"). The services provided under this Disclosure Agreement solely relate to the execution of instructions received from the Issuer through use ofthe DAC system and do not constitute "advice" within the meaning of the Dodd-Frank Wall Street Reform and Consumer Protection Act (the "Act"). DAC will not provide any advice or recommendation to the Issuer or anyone on the Issuer's behalf regarding the "issuance of municipal securities" or any "municipal financial product" as defined in the Act and nothing in this Disclosure Agreement shall be interpreted to the contrary. SECTION 1. Definitions. Capitalized terms not otherwise defined in this Disclosure Agreement shall have the meaning assigned in the Rule or, to the extent not in conflict with the Rule, in the Official Statement (hereinafter dehned). The capitalized terms shall have the following meanings: "Annual Filing Date" means the date, set in Sections 2(a) and2(D,by which the Annual Report is to be filed with the MSRB. "Annual Financial Information" means annual financial information as such term is used in paragraph (bX5Xi) of the Rule and specified in Section 3(a) of this Disclosure Agreement. "Annual Report" means an Annual Report described in and consistent with Section 3 of this Disclosure Agreement. "Audited Financial Statements" means the financial statements (if any) of the Issuer for the prior Fiscal Year, certified by an independent auditor as prepared in accordance with generally accepted accounting principles or otherwise, as such term is used in paragraph (bx5)(i) of the Rule and specified in Section 3(b) of this Disclosure Agreement. "Bonds" means the bonds as listed on the attached Exhibit A, with the 9-digit CUSIP numbers relating thereto. "Certification" means a written certification of compliance signed by the Disclosure Representative stating that the Annual Report, Audited Financial Statements, Voluntary Report, Notice Event notice or Failure to File Event notice delivered to the Disclosure Dissemination Agent is the Annual Report, Audited Financial Statements, Voluntary Report, Notice Event notice or Failure to File Event notice required to be submitted to the MSRB under this Disclosure Agreement. A Certification shall accompany each such document submitted to the Disclosure Dissemination Agent by the Issuer and include the full name of the Bonds and the 9-digit CUSIP numbers for all Bonds to which the document applies. 768 -81 31 -5280 l2l AMERTCAS "Disclosure Dissemination Agent" means Digital Assurance Certification, L.L.C, acting in its capacity as Disclosure Dissemination Agent hereunder, or any successor Disclosure Dissemination Agent designated in writing by the Issuer pursuant to Section t hereof. "Disclosure Representative" means the Chief Financial Officer of the Issuer or his or her designee, or such other person as the Issuer shall designate in writing to the Disclosure Dissemination Agent from time to time as the person responsible for providing Information to the Disclosure Dissemination Agent. "Failure to File Event" means the Issuer's failure to file an Annual Report on or before the Annual Filing Date. "Force Majeure Event" means: (i) acts of God, war, or terrorist action; (ii) failure or shut- down of the Electronic Municipal Market Access system maintained by the MSRB; or (iii) to the extent beyond the Disclosure Dissemination Agent's reasonable control, intemrptions in telecommunications or utilities services, failure, malfunction or error of any telecommunications, computer or other electrical, mechanical or technological application, service or system, computer virus, intemrptions in Internet service or telephone service (including due to a virus, electrical delivery problem or similar occuffence) that affect Internet users generally, or in the local area in which the Disclosure Dissemination Agent or the MSRB is located, or acts of any government, regulatory or any other competent authority the effect of which is to prohibit the Disclosure Dissemination Agent from perfornance of its obligations under this Disclosure Agreement. "Holder" means any person (a) having the power, directly or indirectly, to vote or consent with respect to, or to dispose of ownership of, any Bonds (including persons holding Bonds through nominees, depositories or other intermediaries) or (b) treated as the owner of any Bonds for federal income tax purposes. "Information" means the Annual Financial Information, the Audited Financial Statements (if any), the Notice Event notices, the Failure to File Event notices and the Voluntary Reports. "MSRB" means the Municipal Securities Rulemaking Board established pursuant to Section 15B(b)(1) of the Securities Exchange Act of 1934. 'Notice Event" means any of the events enumerated in paragraph (bX5Xi)(C) of the Rule and listed in Section 4(a) of this Disclosure Agreement. "Obligated Person" means any person, including the Issuer, who is either generally or through an enterprise, fund, or account of such person committed by contract or other arangement to support payment of all, or part of the obligations on the Bonds (other than providers of municipal bond insurance, letters of credit, or other liquidity facilities). "Official Statement" means that Official Statement prepared by the Issuer in connection with the Bonds. "Voluntary Report" means the information provided to the Disclosure Dissemination Agent by the Issuer pursuant to Section 7" 769 -81 31 -5280/2/AMERtCAS SECTION 2. Provision of Annual Reports. (a) The Issuer shall provide, annually, an electronic copy of the Annual Report and Certification to the Disclosure Dissemination Agent, not later than 30 days prior to the Annual Filing Date. Promptly upon receipt of an electronic copy of the Annual Report and the Certification, the Disclosure Dissemination Agent shall provide an Annual Report to the MSRB not later than two hundred forty (240) days after the end of each Fiscal Year, commencing with the Fiscal Year ended September 30,2015. Such date and each anniversary thereof is the Annual Filing Date. The Annual Report may be submitted as a single document or as separate documents comprising a package, and may cross-reference other information as provided in Section 3 of this Disclosure Agreement. (b) If on the fifteenth (15th) day prior to the Annual Filing Date, the Disclosure Dissemination Agent has not received a copy of the Annual Report and Certification, the Disclosure Dissemination Agent shall contact the Disclosure Representative by telephone and in writing (which may be by e-mail) to remind the Issuer of its undertaking to provide the Annual Report pursuant to Section 2(a). Upon such reminder, the Disclosure Representative shall either (i) provide the Disclosure Dissemination Agent with an electronic copy of the Annual Report and the Certification no later than two (2) business days prior to the Annual Filing Date, or (ii) instruct the Disclosure Dissemination Agent in writing that the Issuer will not be able to file the Annual Report within the time required under this Disclosure Agreement, state the date by which the Annual Report for such year will be provided and instruct the Disclosure Dissemination Agent that a Failure to File Event has occurred and to immediately send a notice to the MSRB in substantially the form attached as Exhibit B. (c) If the Disclosure Dissemination Agent has not received an Annual Report and Certification by 10:00 a.m. Eastern time on Annual Filing Date (or, if such Annual Filing Date falls on a Saturday, Sunday or holiday, then the first business day thereafter) for the Annual Report, a Failure to File Event shall have occurred and the Issuer irrevocably directs the Disclosure Dissemination Agent to immediately send a notice to the MSRB in substantially the form attached as Exhibit B, without reference to the anticipated filing date for the Annual Report. (d) If Audited Financial Statements of the Issuer are prepared but not available prior to the Annual Filing Date, the Issuer may provide an electronic copy of its unaudited financial statements to the Disclosure Dissemination Agent and shall, when the Audited Financial Statements are available, provide in a timely manner an electronic copy of the Audited Financial Statements to the Disclosure Dissemination Agent, accompanied by a Certification, in each case for filing with the MSRB. (e) The Disclosure Dissemination Agent shall: (i) verify the filing specifications of the MSRB each year prior to the Annual Filing Date; (ii) upon receipt, promptly file each Annual Report received under Sections 2(a) and 2(b) with the MSRB; 770 -81 31 -5280/2/AMERtCAS (iiD upon receipt, promptly file each of the unaudited financial statements and each of the Audited Financial Statements received under Section 2(d) with the MSRB; (iv) upon receipt, promptly file the text of each Notice Event received under Sections 4(a) and 4(b)(ii) with the MSRB, identifying the Notice Event as instructed by the Issuer pursuant to Section 4(a) or 4(b)(ii) (being any of the categories set forth below) when filing pursuant to the Section of this Disclosure Agreement indicated: 1. "Principal and interest payment delinquencies," pursuant to Sections 4(c) and (a)(1); 2. "Non-Payment related defaults, if material," pursuant to Sections 4(c) and a@)Q); 3. "Unscheduled draws on debt service reseryes reflecting financial difficulties," pursuant to Sections 4(c) and a(a)(3); 4. "Unscheduled draws on credit enhancements reflecting financial difficulties," pursuant to Sections 4(c) and a@)@); 5. "Substitution of credit or liquidity providers, or their failure to perform," pursuant to Sections 4(c) and a(a)(5); 6. "Adverse tax opinions, the issuance by the Intemal Revenue Service of proposed or final determinations of taxability, Notices of Proposed Issue (IRS Form 5701-TEB) or other material notices or determinations with respect to the tax status of the security, or other material events affecting the tax status of the security," pursuant to Sections 4(c) and a@)$); 7 . "Modifications to rights of securities holders, if material," pursuant to Sections 4(c) and a@)Q); 8. "Bond calls, if material, and tender offers" pursuant to Sections 4(c) and a(a)(8); 9. "Defeasances," pursuant to Sections 4(c) and 4(a)(9); 10. "Release, substitution, or sale of property securing repa5rment of the securities, if material," pursuant to Sections 4(c) and a(a)(10); 1 1. "Rating changes," pursuant to Sections 4(c) and a(aX1 1); 12. "Bankruptcy, insolvency, receivership or similar event of the obligated person," pursuant to Sections 4(c) and a@)Q2); 13. "The consummation of a merger, consolidation, or acquisition involving an obligated person or the sale of all or substantially all of the assets of the obligated person, other than in the ordinary course of business, the entry into a definitive agreement to undertake such an action or the termination of a definitive 771 -81 31 -5280/2/AMERTCAS agreement relating to any such actions, other than pursuant to its terms, if material," pursuant to Sections 4(c) and 4(a)(13); and 14. "Appointment of a successor or additional trustee or the change of name of a trustee, if material," pursuant to Sections 4(c) and a(a)(l4). (v) upon receipt (or irrevocable direction pursuant to Section 2(c) of this Disclosure Agreement, as applicable), promptly file a completed copy of Exhibit B to this Disclosure Agreement with the MSRB, identiffing the filing as "Failure to provide annual information as required" when filing pursuant to Section 2(b)(ii) or Section 2(c) of this Disclosure Agreement; (vi) upon receipt, promptly file the text of each Voluntary Report received under Section 7 with the MSRB. (vii) provide the Issuer evidence of the filings of each of the above when made, which shall be by means of the DAC system, for so long as DAC is the Disclosure Dissemination Agent under this Disclosure Agreement. (0 The Issuer may adjust the Annual Filing Date upon change of its Fiscal Year by providing written notice of such change and the new Annual Filing Date to the Disclosure Dissemination Agent and the MSRB, provided that the period between the existing Annual Filing Date and new Annual Filing Date shall not exceed one year. (g) Any Information received by the Disclosure Dissemination Agent before 10:00 a.m. Eastern time on any business day that it is required to file with the MSRB pursuant to the terms of this Disclosure Agreement and that is accompanied by a Certification and all other information required by the terms of this Disclosure Agreement will be filed by the Disclosure Dissemination Agent with the MSRB no later than 11:59 p.m. Eastern time on the same business day; provided, however, the Disclosure Dissemination Agent shall have no liability for any delay in filing with the MSRB if such delay is caused by a Force Majeure Event, provided that the Disclosure Dissemination Agent uses reasonable efforts to make any such filing as soon as possible. SECTION 3. Content of Annual Reports. (a) Each Annual Report shall [with respect to Resort Tax Revenues] for contain the following Annual Financial Information the prior Fiscal Year: the information in the Official " and tt ".Statement under the captions " (b) Audited Financial Statements prepared in accordance with generally accepted accounting principles ("GAAP") will be included in the Annual Report, but may be provided in accordance with Section 2(d). Any or all of the items listed above may be included by specific reference to other documents, including official statements of debt issues with respect to which the Issuer is an Obligated Person, which have been previously filed with the Securities and Exchange Commission or available to the public on the MSRB Internet Website. If the document 772 -81 31 -5280/2iAMERtCAS incorporated by reference is a final official statement, it must be available from the MSRB. The Issuer will clearly identify each such document so incorporated by reference. Any Annual Financial Information containing modified operating data or financial information is required to explain, in narrative form, the reasons for the modification and the impact of the change in the type of operating data or financial information being provided. SECTION 4. Reporting of Notice Events. (a) The occurrence of any of the following events with respect to the Bonds constitutes a Notice Event: 1. Principal and interest payment delinquencies; 2. Non-payrnent related defaults, if material; 3. Unscheduled draws on debt service reserves reflecting financial difficulties; 4. Unscheduled draws on credit enhancements relating to the Bonds reflecting financial diffi culties; 5. Substitution of credit or liquidity providers, or their failure to perform; 6. Adverse tax opinions, the issuance by the Internal Revenue Service of proposed or final determinations of taxability, Notices of Proposed Issue (IRS Form 5701-TEB) or other material notices or determinations with respect to the tax status of the security, or other material events affecting the tax status of the Bonds; 7. Modifications to rights of Bond holders, if material; 8. Bond calls, if material, and tender offers; 9. Defeasances; 10. Release, substitution, or sale of property securing repayment of the Bonds, if material; I l. Rating changes on the Bonds; 12. Bankruptcy, insolvency, receivership or similar event of the Obligated Person; Note: for the purposes of the event identified in this subsection 4(a)(12), the event is considered to occur when any of the following occur: the appointment of a receiver, fiscal agent or similar fficer for an Obligated Person in a proceeding under the U.S. Banhuptcy Code or in any other proceeding under state or federal law in which a court or governmental authority has assumed jurisdiction over substantially all of the assets or business of the Obligated Person, or if such jurisdiction has been assumed by leaving the existing goyernmental body and fficials or oficers in possession but subject to the supervision and orders of a court or governmental authority, or the entry of an order confirming a plan of reorganization, arrangement or liquidation by a court or goyernmental authority having supervision or jurisdiction over substantially all of the assets or business of the Obligated Person. 773 -81 31 -5280/2/AMERtCAS 13. The consummation of a merger, consolidation, or acquisition involving an Obligated Person or the sale of all or substantially all of the assets of the Obligated Person, other than in the ordinary course of business, the entry into a definitive agreement to undertake such an action or the termination of a definitive agreement relating to any such actions, other than pursuant to its terms, if material; and 14. Appointment of a successor or additional trustee or the change of name of a trustee, if material. The Issuer shall, in a timely manner not in excess of ten (10) business days after its occurrence, notify the Disclosure Dissemination Agent in writing of the occurrence of a Notice Event. Such notice shall instruct the Disclosure Dissemination Agent to report the occurrence pursuant to subsection (c) and shall be accompanied by a Certification. Such notice or Certification shall identiff the Notice Event that has occurred (which shall be any of the categories set forth in Section 2(e)(iv) of this Disclosure Agreement), include the text of the disclosure that the Issuer desires to make, contain the written authorization of the Issuer for the Disclosure Dissemination Agent to disseminate such information, and identify the date the Issuer desires for the Disclosure Dissemination Agent to disseminate the information (provided that such date is not later than the tenth (10th) business day after the occurrence of the Notice Event). (b) The Disclosure Dissemination Agent is under no obligation to notify the Issuer or the Disclosure Representative of an event that may constitute a Notice Event. In the event the Disclosure Dissemination Agent so notifies the Disclosure Representative, the Disclosure Representative will within two business days of receipt of such notice (but in any event not later than the tenth (10th) business day after the occurrence of the Notice Event, if the Issuer determines that a Notice Event has occurred), instruct the Disclosure Dissemination Agent that (i) a Notice Event has not occurred and no filing is to be made or (ii) a Notice Event has occurred and the Disclosure Dissemination Agent is to report the occurrence pursuant to Section 4(c), together with a Certification. Such notice or Certification shall identify the Notice Event that has occurred (which shall be any of the categories set forth in Section 2(e)(iv) of this Disclosure Agreement), include the text of the disclosure that the Issuer desires to make, contain the written authorization of the Issuer for the Disclosure Dissemination Agent to disseminate such information, and identify the date the Issuer desires for the Disclosure Dissemination Agent to disseminate the information (provided that such date is not later than the tenth (10th) business day after the occurrence of the Notice Event). (c) If the Disclosure Dissemination Agent has been instructed by the Issuer as prescribed in subsection (a) or (bxii) of this Section 4 to report the occurrence of a Notice Event, the Disclosure Dissemination Agent shall promptly file a notice of such occurrence with the MSRB in accordance with Section 2(e)(iv) hereof. SECTION 5. CUSIP Numbers. Whenever providing information to the Disclosure Dissemination Agent, including but not limited to Annual Reports, documents incorporated by reference to the Annual Reports, Audited Financial Statements, notices of Notice Events, Failure to File Events and Voluntary Reports filed pursuant to Section 7(a), the Issuer shall indicate the full name of the Bonds and the 9-digit CUSIP numbers for the Bonds as to which the provided information relates. 774 -81 31 -5280/2/AMERtCAS SECTION 6. Additional Disclosure Obligations. The Issuer acknowledges and understands that other state and federal laws, including but not limited to the Securities Act of 1933 and Rule 10b-5 promulgated under the Securities Exchange Act of 1934, may apply to the Issuer, and that the failure of the Disclosure Dissemination Agent to so advise the Issuer shall not constitute a breach by the Disclosure Dissemination Agent of any of its duties and responsibilities under this Disclosure Agreement. The Issuer acknowledges and understands that the duties of the Disclosure Dissemination Agent relate exclusively to execution of the mechanical tasks of disseminating information as described in this Disclosure Agreement. SECTION 7.Voluntarlz Reports. (a) The Issuer may instruct the Disclosure Dissemination Agent to file information with the MSRB, from time to time pursuant to a Certification of the Disclosure Representative accompanying such information (a "Voluntary Report"). (b) Nothing in this Disclosure Agreement shall be deemed to prevent the Issuer from disseminating any other information through the Disclosure Dissemination Agent using the means of dissemination set forth in this Disclosure Agreement or including any other information in any Annual Report, Audited Financial Statements, Voluntary Report, Notice Event notice or Failure to File Event notice, in addition to that required by this Disclosure Agreement. If the Issuer chooses to include any information in any Annual Report, Audited Financial Statements, Voluntary Report, Notice Event notice, or Failure to File Event notice in addition to that which is specifically required by this Disclosure Agreement, the Issuer shall have no obligation under this Disclosure Agreement to update such information or include it in any future Annual Report, Audited Financial Statements, Voluntary Report, Notice Event notice or Failure to File Event notice. SECTION 8. Termination of Reportine Oblieation. The obligations of the Issuer and the Disclosure Dissemination Agent under this Disclosure Agreement shall terminate with respect to the Bonds upon the legal defeasance, prior redemption or payment in fulI of all of the Bonds, when the Issuer is no longer an Obligated Person with respect to the Bonds, or upon delivery by the Disclosure Representative to the Disclosure Dissemination Agent of an opinion of nationally recognized bond counsel to the effect that continuing disclosure is no longer required. SECTION 9. Disclosure Dissemination Agent. The Issuer has appointed Digital Assurance Certification, L.L.C. as exclusive Disclosure Dissemination Agent under this Disclosure Agreement. The Issuer may, upon thirty days written notice to the Disclosure Dissemination Agent, replace or appoint a successor Disclosure Dissemination Agent. Upon termination of DAC's services as Disclosure Dissemination Agent, whether by notice of the Issuer or DAC, the Issuer agrees to appoint a successor Disclosure Dissemination Agent or, altemately, agrees to assume all responsibilities of Disclosure Dissemination Agent under this Disclosure Agreement for the benefit of the Holders of the Bonds. Notwithstanding any replacement or appointment of a successor, the Issuer shall remain liable until payment in full for any and all sums owed and payable to the Disclosure Dissemination Agent. The Disclosure 775 -81 31 -5280/2/AMERtCAS Dissemination Agent may resign at any time by providing thirty days' prior written notice to the Issuer. SECTION 10. Remedies in Event of Default. In the event of a failure of the Issuer or the Disclosure Dissemination Agent to comply with any provision of this Disclosure Agreement, the Holders' rights to enforce the provisions of this Disclosure Agreement shall be limited solely to a right, by action in mandamus or for specific performance, to compel performance of the parties' obligation under this Disclosure Agreement. Any failure by a party to perform in accordance with this Disclosure Agreement shall not constitute a default on the Bonds or under any other document relating to the Bonds, including the Bond Resolution, and all rights and remedies shall be limited to those expressly stated herein. SECTION 11. Duties. Immunities and Liabilities of Disclosure Dissemination Agent. (a) The Disclosure Dissemination Agent shall have only such duties as are specifically set forth in this Disclosure Agreement. The Disclosure Dissemination Agent's obligation to deliver the information at the times and with the contents described herein shall be limited to the extent the Issuer has provided such information to the Disclosure Dissemination Agent as required by this Disclosure Agreement. The Disclosure Dissemination Agent shall have no duty with respect to the content of any disclosures or notice made pursuant to the terms hereof. The Disclosure Dissemination Agent shall have no duty or obligation to review or veriff any Information or any other information, disclosures or notices provided to it by the Issuer and shall not be deemed to be acting in any fiduciary capacity for the Issuer, the Holders of the Bonds or any other party. The Disclosure Dissemination Agent shall have no responsibility for the Issuer's failure to report to the Disclosure Dissemination Agent a Notice Event or a duty to determine the materiality thereof. The Disclosure Dissemination Agent shall have no duty to determine, or liability for failing to determine, whether the Issuer has complied with this Disclosure Agreement. The Disclosure Dissemination Agent may conclusively rely upon certifications of the Issuer at all times. The obligations of the Issuer under this Section shall survive resignation or removal of the Disclosure Dissemination Agent and defeasance, redemption or payment of the Bonds. (b) The Disclosure Dissemination Agent may, from time to time, consult with legal counsel (either in-house or extemal) of its own choosing in the event of any disagreement or controversy, or question or doubt as to the construction of any of the provisions hereof or its respective duties hereunder, and shall not incur any liability and shall be fully protected in acting in good faith upon the advice of such legal counsel. The reasonable fees and expenses of such counsel shall be payable by the Issuer. (c) All documents, reports, notices, statements, information and other materials provided to the MSRB under this Disclosure Agreement shall be provided in an electronic format and accompanied by identiffing information as prescribed by the MSRB. SECTION 12. Amendment: Waiver. Notwithstanding any other provision of this Disclosure Agreement, the Issuer and the Disclosure Dissemination Agent may amend this 9 776 -8 1 3 1 -5280 I 2t AMERTCAS Disclosure Agreement and any provision of this Disclosure Agreement may be waived, if such amendment or waiver is supported by an opinion of counsel expert in federal securities laws acceptable to both the Issuer and the Disclosure Dissemination Agent to the effect that such amendment or waiver does not materially impair the interests of Holders of the Bonds and would not, in and of itself, cause the undertakings herein to violate the Rule if such amendment or waiver had been effective on the date hereof but taking into account any subsequent change in or official interpretation of the Rule; provided neither the Issuer or the Disclosure Dissemination Agent shall be obligated to agree to any amendment modifying their respective duties or obligations without their consent thereto. Notwithstanding the preceding paragraph, the Disclosure Dissemination Agent shall have the right to adopt amendments to this Disclosure Agreement necessary to comply with modifications to and interpretations of the provisions of the Rule as announced by the Securities and Exchange Commission from time to time by giving not lqss than 20 days written notice of the intent to do so together with a copy of the proposed amendment to the Issuer. No such amendment shall become effective if the Issuer shall, within 10 days following the giving of such notice, send a notice to the Disclosure Dissemination Agent in writing that it objects to such amendment. SECTION 13. Sources of Payments: No Personal Liability. Notwithstanding anything to the contrary contained in this Disclosure Agreement, the Issuer shall be required to use only Resort Tax Revenues to pay any costs and expenses to be incurred in the performance of this Disclosure Agreernent by it, and the performance of its obligations hereunder shall be subject to the availability of Resort Tax Revenues for that purpose. This Disclosure Agreement does not and shall not constitute a general obligation of the Issuer. No covenant, stipulation, obligation or agreement of the Issuer contained in this Disclosure Agreement shall be deerned to be a covenant, stipulation, obligation or agreement of any present or future officer, agent or employee of the Issuer in other than that person's official capacity. SECTION 14. Beneficiaries. This Disclosure Agreement shall inure solely to the benefit of the Issuer, the Disclosure Dissemination Agent, the Underwriter, and the Holders from time to time of the Bonds, and shall create no rights in any other person or entity. SECTION 15. Governing Law. This Disclosure Agreement shall be governed by the laws of the State of Florida. SECTION 16. Countemarts. This Disclosure Agreement may be executed in several counterparts, each of which shall be an original and all of which shall constitute but one and the same instrument. 10 777 -81 31 -5280/2/AMERTCAS The Disclosure Dissemination Agent and the Issuer have caused this Disclosure Agreement to be executed, on the date first written above, by their respective officers duly authorized. DIGITAL ASSURANCE CERTIFICATION, L.L.C, as Disclosure Dissemination Agent By: Name: Title: CITY OF MIAMI BEACH, FLORIDA, as Issuer By: John Woodruff Interim Chief Financial Officer APPRO/EDASTO FORM & IANGUAGE & FOR EGCI.ITION CltyArbrnsy Rnf Dds - 11 778 -81 31 -5280/2/AMERtCAS EXHIBIT A NAME AND CUSIP NUMBERS OF BONDS Name of Issuer: City of Miami Beach, Florida Obligated Person: City of Miami Beach, Florida Name of Bond Issue: Resort Tax Revenue Bonds, Series 2015 Date of Issuance: Date of Official Statement: CUSIP Numbers: 2015 201s A-1 779 4131-5280t2tAMERtCAS EXHIBIT B NOTICE TO MSRB OF FAILURE TO FILE ANNUAL RE,PORT Issuer:City of Miami Beach, Florida Obligated Person: City of Miami Beach, Florida Name of Bond Issue: Resort Tax Revenue Bonds, Series 2015 Date of Issuance:,2015 NOTICE IS HEREBY GIVEN that the Issuer has not provided an Annual Report with respect to the above-named Bonds as required by the Disclosure Dissemination Agent Agreement, dated as of , 2015, between the Issuer and Digital Assurance Certification, L.L.C., as Disclosure Dissemination Agent. The Issuer has notified the Disclosure Dissemination Agent that it anticipates that the Annual Report will be filed by Dated: Digital Assurance Certification, L.L.C., as Disclosure Dissemination Agent, on behalf of the Issuer cc: City of Miami Beach, Florida B-1 780 RESOLUTION NO. A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA AUTHORIZING THE ISSUANCE OF NOT TO EXCEED $8O,OOO,OOO IN AGGREGATE PRINCIPAL AMOLINT OF CITY OF MIAMI BEACH, FLORIDA PARKING REVENUE BONDS, SERIES 2015, FOR THE PRINCIPAL PURPOSE OF PAYING THE COST OF CERTAIN IMPROVEMENTS TO THE PARKING SYSTEM, PURSUANT TO SECTION 209 OF RESOLUTION NO. 2010-27491 ADOPTED BY THE CITY ON SEPTEMBER 20, 2010; PROVIDING THAT SAID SERIES 2015 BONDS AND INTEREST THEREON SHALL BE PAYABLE SOLELY AS PROVIDED IN SAID RESOLUTION NO. 2OIO-27491 AND THIS RESOLUTION; PROVIDING CERTAIN DETAILS OF THE SERIES 2OI5 BONDS; DELEGATING OTHER DETAILS AND MATTERS IN CONNECTION WITH THE ISSUANCE OF THE, SERIES 2015 BONDS, INCLUDING WHETHER THE SERIES 2015 BONDS SHALL NOT BE SECURED BY THE RESERVE ACCOLINT AND WHETHER TO SECURE A CREDIT FACILITY AND/OR A RESERVE ACCOLINT INSURANCE POLICY, TO THE CITY MANAGER, WITHIN THE LIMITATIONS AND RESTRICTIONS STATED HEREIN; APPOINTING LINDERWzuTERS, A BOND REGISTRAR AND A DISCLOSURE DISSEMINATION AGENT; AUTHORIZING THE NEGOTIATED SALE OF THE SERIES 2015 BONDS AND APPROVING THE FORM OF AND AUTHORIZING THE EXECUTION OF A BOND PURCHASE AGREEMENT; AUTHORIZING AND DIRECTING THE BOND REGISTRAR TO AUTHENTICATE AND DELIVER THE SERIES 2OI5 BONDS; APPROVING THE FORM OF AND DISTRIBUTION OF A PRELIMINARY OFFICIAL STATEMENT AND AN OFFICIAL STATEMENT AND AUTHORIZING THE EXECUTION OF THE OFFICIAL STATEMENT; PROVIDING FOR THE APPLICATION OF THE PROCEEDS OF THE SERIES 2015 BONDS AND CREATING CERTAIN FUNDS, ACCOLINTS AND SUBACCOUNTS; AUTHORIZING A BOOK-ENTRY REGISTRATION SYSTEM WITH RESPECT TO THE SERIES 2015 BONDS; COVENANTING TO PROVIDE CONTINUING DISCLOSURE IN CONNECTION WITH THE SERIES 2OI5 BONDS AND APPROVING THE FORM OF AND AUTHORIZING THE EXECUTION AND DELIVERY OF A CONTINUING DISCLOSURE AGREEMENT; AUTHORIZING OFFICERS AND EMPLOYEES OF THE CITY TO TAKE ALL NECESSARY RELATED ACTIONS; AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the City of Miami Beach, Florida (the "City") currently owns, maintains and operates a Parking System (as such term and all other capitalized terms used in this resolution and not defined herein are defined in the hereinafter described Original Resolution); and WHEREAS, the City has heretofore issued its (i) $17,155,000 original principal amount of City of Miami Beach, Florida Parking Revenue Refunding Bonds, Series 2010A, currently Outstanding in the principal amount of $10,395,000, and (ii) $27,405,000 original principal 003 -4 43O -s4 4 6 I 2 lAM E R r CAS 781 amount of City of Miami Beach, Florida Parking Revenue Bonds, Series 2010B, all of which are currently Outstanding, pursuant to Resolution No. 2010-27491 adopted by the Commission on September 20,2010 (the "Original Resolution" and as amended and supplemented from time to time, the "Bond Resolution"); and WHEREAS, the City has determined that certain improvements to the Parking System as more particularly described in Exhibit A attached hereto and made a part hereof (the "Series 2015 Project") are necessary and desirable; and WHEREAS, Section 209 of the Original Resolution provides for the issuance of Additional Bonds under the Bond Resolution for the principal purpose of paying all or any part of the Cost of any Improvements, upon meeting certain conditions contained in said Section 209; and WHEREAS, the Series 2015 Project constitutes Improvements under the Bond Resolution; and WHEREAS, the City has determined that it is desirable to issue Additional Bonds (the "Series 2015 Bonds") pursuant to the provisions of Section 209 of the Original Resolution and this resolution, which constitutes a Series Resolution for the Series 2015 Bonds under the Bond Resolution, for the purpose of paying, together with any other available moneys of the City, the Cost of the Series 2015 Project and funding as necessary the Reserve Account; and WHEREAS, the Commission has determined that it is in the best interest of the City to delegate to the City Manager, who shall rely upon the recommendations of the Chief Financial Officer and RBC Capital Markets, LLC, formerly RBC Capital Markets Corporation, the City's Financial Advisor, the determination of various terms of the Series 2015 Bonds, whether the Series 2015 Bonds shall not be secured by the Reserve Account, whether to secure a Credit Facility and/or Reserve Account Insurance Policy with respect to the Series 2015 Bonds, the final award of the Series 2015 Bonds and certain other actions in connection with the issuance of the Series 2015 Bonds, all as provided and subject to the limitations contained herein; and WHEREAS, the City has determined that due to the character of the Series 2015 Bonds, current favorable market conditions, the uncertainty inherent in a competitive bidding process and the recommendations of the Financial Advisor, it is in the best interest of the City to authorize the negotiated sale of the Series 2015 Bonds; and WHEREAS, in connection with the issuance of the Series 2015 Bonds, the requirements of Ordinance No. 2007 -3582, adopted by the Commission on November 21, 2007 , including the holding of two public hearings, have been complied with prior to the adoption of this Series Resolution; NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA: SECTION 1. The above recitals are incorporated herein as findings. 003 -4 430 -5 4 46 / 2 IAM E R rCAS 782 SECTION 2. A Series of Additional Bonds of the City in an aggregate principal amount not to exceed $80,000,000 is authorizedto be issued pursuant to, and subject to the conditions of, Section 209 of the Original Resolution and the authority granted to the City by the Act, for the purpose of paying, togetherwith any other available moneys, the Cost of the Series 2015 Project and funding as necessary the Reserve Account. The Series 2015 Bonds shall be designated "City of Miami Beach, Florida Parking Revenue Bonds, Series 2015," shall be issued as Current Interest Bonds, shall be issued in fully registered form as provided in Section 202 of the Original Resolution, shall be in the denominations of $5,000 or any whole multiple thereof and shall be numbered R-1 upwards. The Series 2015 Bonds shall be issued in such aggregate principal amount, shall be dated and issued at such time or times, shall be in the form of Serial Bonds and/or Term Bonds, shall have such Interest Payment Dates, shall bear interest at such fixed rates, but not to exceed the maximum rate permitted by law, shall be stated to mature on such dates, but not later than September 30,2045, as to any Term Bonds, shall have Amortization Requirements payable in such amounts and on such dates, and shall be subject to redemption prior to maturity, all as shall be determined by the City Manager, after consultation with the Chief Financial Officer and the Financial Advisor, and specified in a certificate of the Mayor executed on or prior to the date of initial issuance of the Series 2015 Bonds (the "Series 2015 Mayor's Certificate"). Term Bonds, if any, will be subject to mandatory redemption at par, without premium, each year in amounts equal to the respective Amortization Requirements therefor. Principal of and interest and redemption premium, if any, on the Series 2015 Bonds shall be payable in accordance with the provisions of the Bond Resolution. The execution of the Series 2015 Mayor's Certificate shall be conclusive evidence of the City's approval of the details of the Series 2015 Bonds. If the City Manager determines, in reliance upon the recommendations of the Chief Financial Officer and the Financial Advisor, that there is an economic benefit to the City to secure and pay for a Credit Facility andlor a Reserve Account Insurance Policy with respect to all or a portion of the Series 2015 Bonds, the City Manager is authorized to secure a Credit Facility and/or a Reserve Account Insurance Policy with respect to all or a portion of the Series 2015 Bonds. The City Manager is authorized to provide forthe payment of anypremiums for such Credit Facility and/or Reserve Account Insurance Policy from the proceeds of the Series 2015 Bonds. The Mayor is authorized, after consultation with the City Attomey, to enter into, execute and deliver such agreements as may be necessary to secure such Credit Facility and,/or Reserve Account Insurance Policy, the execution and delivery by the Mayor of any such agreements for and on behalf of the City to be conclusive evidence of the City's approval of securing such Credit Facility and/or Reserve Account Insurance Policy and of such agreements. Any agreements with any providers of Credit Facility andlor Reserve Account Insurance Policy shall supplement and be in addition to the provisions of the Bond Resolution. SECTION 3. In accordance with the provisions of the Bond Resolution, the Series 2015 Bonds shall be limited obligations of the City payable solely from the Net Revenues and, to the extent provided in the Bond Resolution, from certain Funds and Accounts which are pledged to the payment thereof in the manner provided in the Bond Resolution, and nothing shall be construed as obligating the City to pay the principal, interest and premium, if any, thereon except from the Net Revenues and, to the extent provided in the Bond Resolution, said Funds and Accounts or as pledging the full faith and credit of the City or any form of taxation whatever to 003-4430-s446 /2 IAM ERTCAS 783 such payments; provided, however, that to the extent so determined by the City Manager, in reliance upon the recommendations of the Chief Financial Officer and the Financial Advisor, the Series 2015 Bonds shall not be secured by, nor payable from moneys, Reserve Account Insurance Policies or Reserve Account Letters of Credit on deposit in, the Reserve Account created under the Bond Resolution. SECTION 4. It is hereby found and determined that due to the character of the Series 2015 Bonds, current favorable market conditions, the uncertainty inherent in a competitive bidding process and the recommendations of the Financial Advisor, the negotiated sale of the Series 2015 Bonds is in the best interest of the City. The negotiated sale of the Series 2015 Bonds to J.P. Morgan Securities LLC (the o'Senior Managing Underwriter") on behalf of itself and SunTrust Robinson Humphrey, Inc. and Estrada Hinojosa & Company, Inc. (collectively with the Senior Managing Underwriter, the "Underwriters") is hereby authorized at a purchase price (not including original issue premium or original issue discount) of not less than 99Yo of the aggregate principal amount of the Series 2015 Bonds (the "Minimum Purchase Price") and at a true interest cost rate ("TIC") not to exceed 6.00% (the "Maximum TIC"). The City Manager, after consultation with the Chief Financial Officer and the Financial Advisor, is hereby authorized to award the Series 2015 Bonds to the Underwriters at a purchase price of not less than the Minimum Purchase Price and at a TIC not in excess of the Maximum TIC. The execution and delivery of the Series 2015 Bond Purchase Agreement (as hereinafter defined) for and on behalf of the City by the Mayor shall be conclusive evidence of the City's acceptance of the Underwriters' proposal to purchase the Series 2015 Bonds. SECTION 5. Upon compliance with the requirements of Section 278.385, Florida Statutes, by the Underwriters, the Commission hereby authorizes the Mayor to execute and deliver a Bond Purchase Agreement for the Series 2015 Bonds (the "Series 2015 Bond Purchase Agreement") for and on behalf of the City, in substantially the form presented at the meeting at which this Series Resolution was considered, subject to such changes, modifications, insertions and omissions and such filling-in of blanks therein as may be determined and approved by the City Manager, after consultation with the Chief Financial Officer and the City Attomey. The execution of the Series 2015 Bond Purchase Agreement for and on behalf of the City by the Mayor shall be conclusive evidence of the City's approval of the Series 2015 Bond Purchase Agreement. SECTION 6. The Bond Registrar is hereby authorized and directed to authenticate the Series 2015 Bonds and to deliver the Series 20i5 Bonds to or upon the order of the Underwriters upon pa).rnent of the purchase price, as shall be set forth in the Series 2015 Bond Purchase Agreement, and satisfaction of the conditions contained in Section 209 of the Original Resolution. SECTION 7. The proposed Preliminary Official Statement (the "Series 2015 Preliminary Official Statement") and Official Statement (the "Series 2015 Official Statement") in connection with the issuance of the Series 2015 Bonds are hereby approved in substantially the form of the Series 2015 Preliminary Official Statement presented at the meeting at which this Series Resolution was considered, subject to such changes, modifications, insertions and omissions and such filling-in of blanks therein as may be determined and approved by the City Manager, after consultation with the Chief Financial Officer and the City Attorney. The o03 -4 43O -54 46 / 2 / AM E R r CAS 784 execution of the Series 2015 Official Statement, for and on behalf of the City by the Mayor and the City Manager shall be conclusive evidence of the City's approval of the Series 2015 Preliminary Official Statement and the Series 2015 Official Statement. The distribution of said Series 2015 Preliminary Official Statement in connection with the marketing of the Series 2015 Bonds and the execution and delivery of the Series 201 5 Official Statement by the Mayor and the City Manager are hereby authorized. The Mayor or his designee, after consultation with the Chief Financial Officer and the City Attomey, is hereby authorized to make any necessary certifications to the Underwriters regarding a near final or deemed final preliminary official statement, if and to the extent required by Rule l5c2-12 of the United States Securities and Exchange Commission (the "Rule"). SECTION 8. The proceeds of the Series 2015 Bonds shall be applied in accordance with the provisions of Section 209 of the Original Resolution and this Series Resolution, all as specified in a certificate of the Chief Financial Officer delivered concurrently with the issuance of the Series 2015 Bonds, including, to the extent provided in such certificate, for the payment of interest accruing on the Series 2015 Bonds prior to, during and after construction of the Series 2015 Project. In accordance with the provisions of the Bond Resolution, there is hereby created within the Construction Fund a "Series 2015 Construction Account" and within said Series 2015 Construction Account, a "Series 2015 Construction Subaccount" for the deposit of proceeds of the Series 2015 Bonds to be applied to the payment of the Cost of the Series 2015 Project, other than the portion thereof representing expenses incurred in the issuance of the Series 2015 Bonds, and a "Series 2015 Cost of Issuance Subaccount" for the deposit of proceeds of the Series 2015 Bonds to be applied to the payment of expenses incurred in the issuance of the Series 2015 Bonds. The proceeds of the Series 2015 Bonds shall be invested in accordance with the provisions of Section 602 of the Original Resolution in Investment Obligations as determined by the Chief Financial Officer. SECTION9. In connection with the issuance of the Series 2015 Bonds and for the purpose of complying with the covenants contained in Section 605 of the Original Resolution, there is hereby created a special fund designated "Series 2015 Arbitrage Rebate Fund," which shall be held by the City and constitute an Arbitrage Rebate Fund under the Bond Resolution. SECTION 10. The Series 2015 Bonds shall be executed in the form and manner provided in the Bond Resolution. The Series 2015 Bonds are hereby authorized to be issued initially in book-entry form and registered in the name of The Depository Trust Company, New York, New York ("DTC"), or its nominee which will act as securities depository for the Series 2015 Bonds. The Chief Financial Officer is hereby authorized and directed to execute any necessary letters of representations with DTC and, notwithstanding the provisions of the Bond Resolution, to do all other things, comply with all requirements and execute all other such documents as are incidental to such book-entry system. In the event a book-entry system for the Series 2015 Bonds ceases to be in effect, the Series 2015 Bonds shall be issued in fully certificated form. 0o3 -4430-s446 / 2 lA M E R rCAS 785 SECTION I 1. For the benefit of the Holders and beneficial owners from time to time of the Series 2015 Bonds, the City agrees, in accordance with and as the only obligated person with respect to the Series 2015 Bonds under the Rule, to provide or cause to be provided certain financial information and operating data, financial statements and notices, in such manner as may be required for purposes of paragraph (b)(5) of the Rule. In order to describe and specify the terms of the City's continuing disclosure agreement, the Chief Financial Officer is hereby authorized and directed to enter into and deliver, in the name and on behalf of the City, a Disclosure Dissemination Agent Agreement (the "Series 2015 Continuing Disclosure Agreement"), with Digital Assurance Certif,rcation, L.L.C. ("DAC"), which is hereby appointed as disclosure dissemination agent with respect to the Series 2015 Bonds, in substantially the form presented at the meeting at which this Series Resolution was considered, subject to such changes, modifications, insertions and omissions and such filling-in of blanks therein as may be determined and approved by the Chief Financial Officer, after consultation with the City Attomey. The execution of the Series 2015 Continuing Disclosure Agreement, for and on behalf of the City by the Chief Financial Officer, shall be deemed conclusive evidence of the City's approval of the Series 2015 Continuing Disclosure Agreement. Notwithstanding any other provisions of the Bond Resolution, including this Series Resolution, any failure by the City to comply with any provisions of the Series 2015 Continuing Disclosure Agreement shall not constitute an Event of Default under the Bond Resolution and the remedies therefor shall be solely as provided in the Series 2015 Continuing Disclosure Agreement. The Chief Financial Officer is fuither authorized to establish procedures in order to ensure compliance by the City with the Series 2015 Continuing Disclosure Agreement, including the timely provision of information and notices. Prior to making any filing in accordance with such agreement, the Chief Financial Officer may consult with, as appropriate, the City Attorney or Bond Counsel. The Chief Financial Officer, acting in the name and on behalf of the City, shall be entitled to rely upon any legal advice provided by the City Attorney or Bond Counsel in determining whether a filing should be made. SECTION 12. U.S. Bank National Association is hereby appointed as Bond Registrar for the Series 2015 Bonds. SECTION 13. In any case where the date of maturity of interest on or principal of the Series 2015 Bonds or the date fixed for redemption of Series 2015 Bonds shall not be a business day, then payment of such interest or principal or redemption price need not be made by the Bond Registrar on such date but may be made on the next succeeding business day with the same force and effect as if made on the date of maturity or the date fixed for redemption, and no interest shall accrue for the period after such date of maturity or redemption. SECTION 14. The officers, agents and employees of the City, the Bond Registrar and DAC are hereby authorized and directed to do all acts and things and execute and deliver all documents, agreements and certificates required of them by the provisions of the Series 2015 Bonds, the Bond Resolution, the Series 2015 Bond Purchase Agreement, the Series 2015 Continuing Disclosure Agreement and this Series Resolution, for the full, punctual and complete performance of all the terms, covenants, provisions and agreements of the Series 2015 Bonds, the Bond Resolution, the Series 2015 Bond Purchase Agreement, the Series 2015 Continuing Disclosure Agreement and this Series Resolution. 003 -4 430 -s 446 / 2 lA M E RI CAS 786 SECTION 15. This Series Resolution shall become effective immediately upon its adoption. PASSED AND ADOPTED this day of October, 2015. Mayor (Seal) Attest: City Clerk APPROVEDASTCI FORM A LANGUAGE & FOR DGCUNON .!-I.J-1(,;.ls GltyAnmsy oo3-4 430 -5446 I 2 IAM ER I CAS 787 EXHIBIT A SERIES 2015 PROJECT The Series 2015 Project consists of a parking structure and improvements to a surface parking lot to service the Miami Beach Convention Center. The Commission may approve by resolution other Improvements as part of the Series 2015 Project in addition to and/or in lieu of the above Improvements. 003-4430-5446/ 2 IAMERTCAS A-t 788 SEB DRAFT - O9l21l15 PRf,LIMINARYOt'l'tcIAl,S'IATEiVIENTDATEDNOVENTBER .2015 NEW ISSUE - Book-Entry-Only Ratings: See "RATINGS" herein In the opinion of Squire Patton Boggs (US) LLP, Bond Counsel, under existing law (i) assuming continuing compliance with certain covenants and the accuracy ofcertain representations, interest on the Series 2015 Bonds is excludedfrom gross incomeforfederal income tax purposes and is not an item of tax preferencefor purposes of thefederal alternative minimum tax imposed on individuals and corporations and (ii) the Series 2015 Bonds and the income thereon are exemptfrom taxation under the laws of the State of Florida, except estate taxes imposed by Chapter 198, Florida Statutes, as amended, and net income and franchise taxes imposed by Chapter 220, Florida Statutes, as amended. Interest on the Series 2015 Bonds may be subiect to certain federal taxes imposed only on certain corporations, including the corporate alternative minimum tax on a portion of that interest. For a more complete discussion of the tax aspects relating to the Series 2015 Bonds, see the discussion under the heading "TAX MATTERS" herein. ---,.-,---$65,000,000* CITY OF MIAMI BEACH, FLORIDA PARIilNG REVENUE BONDS SERIES 2015 Dated: Date of Delivery Due: September l, as shown on inside cover page The City of Miami Beach, Florida Parking Revenue Bonds, Series 2015 (the "series 2015 Bonds") will be issued by the City of Miami Beach, Florida (the "City") as fully registered bonds, without coupons, in denominations of $5,000 or any whole multiple thereof. When issued, the Series 2015 Bonds will be registered in the name of Cede & Co., as nominee of The Depository Trust Company, New York, New York ("DTC"), which will act as securities depository for the Series 2015 Bonds. Purchasers will not receive certificates representing their ownership interests in the Series 2015 Bonds purchased. See "DESCRIPTION OF THE SERIES 2015 BONDS - Book-Entry Only System" herein. Interest on the Series 2015 Bonds will accrue from their date of delivery and will be payable on March l, 2016 and semiannually on each September 1 and March I thereafter. U.S. Bank National Association, Jacksonville, Florida, will serve as the initial bond registrar and paying agent (collectively, the "Bond Registrar") for the Series 2015 Bonds. While the Series 2015 Bonds are registered through the DTC book-entry only system, principal of and interest on the Series 2015 Bonds will be payable by the Bond Registrar to DTC. The Series 2015 Bonds are being issued for the purpose of providing funds to (i) finance a portion of the costs of acquiring and constructing a new parking garage as a component of the renovations to be made to the City's Convention Center; (ii) fund a deposit to the Reserve Account, if necessary, including the cost of any Reserve Account Insurance Policy or Reserve Account Letter of Credit determined by the City to be advisable (as such terms are hereinafter defined); and (iii) pay the costs of issuing the Series 2015 Bonds, including the premium for a municipal bond insurance policy, if any. See "PURPOSE OF THE ISSUE" herein. The Series 2015 Bonds are payable from and secured by a lien on and a pledge of the Net Revenues derived from the City's ownership or operation of the Parking System and certain other moneys held under the Resolution (as such terms are defined herein). Such lien on and pledge of Net Revenues and certain other moneys held under the Resolution, as described herein (the "Pledged Revenues"), shall be on a parity with the lien on and pledge of the Pledged Revenues (i) granted in favor of the City of Miami Beach, Florida Parking Revenue Refunding Bonds, Series 2010,{ and the City of Miami Beach, 789 Florida Parking Revenue Bonds, Series 20108, and (ii) that may be granted by the City in favor of Additional Bonds, Refunding Bonds, Alternative Parity Debt and parity Short-Term lndebtedness. See "SECURITY AND SOURCES OF PAYMENT" herein. The Series 2015 Bonds are subject to optional and mandatory sinking fund redemption prior to maturity as described herein. THE CITY IS OBLIGATED TO PAY THE PRINCIPAL OF AND INTEREST ON THE SERIES 2OI5 BONDS SOLELY FROM THE PLEDGED REVENUES. THE SERIES 2OI5 BONDS SHALL NOT CONSTITUTE AN INDEBTEDNESS OF THE CITY, MIAMI-DADE COUNTY, FLORIDA, THE STATE OF FLORIDA OR ANY POLITICAL SUBDIVISION THEREOF WITHIN THE MEANING OF ANY CONSTITUTIONAL OR STATUTORY PROVISION OR LIMITATION AND THE FAITH AND CREDIT OF THE CITY, MIAMI-DADE COUNTY, FLORIDA, THE STATE OF FLORIDA OR ANY POLITICAL SUBDIVISION THEREOF IS NOT PLEDGED TO THE PAYMENT OF THE PRINCIPAL OF OR INTEREST ON THE SERIES 2015 BONDS. ISSUANCE OF THE SERIES 2015 BONDS SHALL NOT DIRECTLY, INDIRECTLY OR CONTINGENTLY OBLIGATE THE CITY, MIAMI-DADE COUNTY, FLORIDA, THE STATE OF FLORIDA OR ANY POLITICA.L SUBDIVISION THEREOF TO LEVY OR TO PLEDGE ANY TAXES WHATEVER THEREFOR, OR TO MAKE ANY APPROPRIATION FOR THE PAYMENT OF THE PRINCIPAL OF OR INTEREST ON THE SERIES 2OI5 BONDS, EXCEPT AS PROVIDED IN THE RESOLUTION. The City may elect to purchase a municipal bond insurance policy to be delivered by a municipal bond insurance provider concurrently with the delivery of the Series 2015 Bonds to guarantee timely payment of the principal of and interest on the Series 2015 Bonds, or one or more maturities of the Series 2015 Bonds, and may elect to satisfy any Reserve Account Deposit Requirement upon issuance of the Series 2015 Bonds with a Reserve Account Insurance Policy or Reserve Account Letter of Credit. This cover page contains certain information for quick reference only. It is not a summary of this issue. Investors must read the entire Official Statement to obtain information essential to the making of an informed investment decision. The Series 2015 Bonds are offered when, as and if issued by the City, subject to the opinion on certain legal matters relating to their issuance of Squire Patton Boggs (US) LLP, Miami, Florida, Bond Counsel. Certain legal matters will be passed uponfor the City by Raul J. Aguila, Esquire, Miami Beach, Florida, City Attorney, and certain legal matters relating to disclosure will be passed upon for the City by the Law Offices of Steve E. Bullock, P.A., Miami, Florida, Disclosure Counsel. Greenberg Traurig, P.A., Miami, Florida, is serving as Counsel to the Underwriters. RBC Capital Markets, LLC, St. Petersburg, Florida, is serving as Financial Advisor to the City in connection with the issuance of the Series 2015 Bonds. It is expected that the Series 2015 Bonds will be availablefor delivery through DTC in New York, New York on or about December , 2015. J.P. Morgan SunTrust Robinson Humphrey Dated: November _,2015 Estrada Hinojosa & Company, Inc. 790 * Preliminary, subject to change. Red herring: This Preliminaty Olficictl Stqtement and the inJbnnation contctined herein are subject to amentlment and completion without notic'e. 'lhe Sefies 2015 Bontls may nol be sold and olfers to buy may,, nttt be trcc'epted prictr to the time lhe OlJic'ial Stotement is delivered in final form. Untler no circurnstqnces shall this Preliminttry OfJiciol Statement constitute an offer to sell or the solicitation o-f ttn rffir to buy, nor shall there be on-r- sale of'the Series 2015 Boncls in any jttrisdiction in vvhich such o.f./er, solicitation or strle ,,vould he unlau.,fiil prior to registration nr qualifi<:crtion under the securities /arvs of an.t, such jurisdiction 791 MATURITIES, PRINCIPAL AMOUNTS, INTEREST RATES, PRICES, YIELDS AND INITIAL CUSIP NUMBERS*I $ Series 2015 Serial Bonds Due GgptemUer_1) 2016 2017 2018 20t9 2020 202t 2022 2023 2024 202s 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 2040 2041 2042 2043 2044 2045 Principal Amount lnterest Rate % Price Yield % Initial CUSIP Number 593235- 593235- 59323s- 593235- 593235- s9323s_ 593235- 593235- 59323s- s93235- 593235- 593235- s9323s_ 593235- 593235- 593235- 593235- 593235- 593235- 593235- 59323s- s9323s_ 593235- 59323s- 593235- 593235- 593235- 593235- 593235- 593235 792 $_ _% Series 2015 Term Bonds Due Septemb er l, 20-- Price: _ I Yield: _o/o Initial CUSIP Number: 593235 * Preliminary, subject to change. t Neither the City nor the Underwriters is responsible for the use of CUSP Numbers, nor is any representation made as to their correctness. The CUSIP Numbers are included solely for the convenience of the readers of this Official Statement. 793 City Manager_ Jimmy L. Morales, Esquire Interim Chief Financial Officer John Woodruff Bond Counsel Squire Patton Boggs (US) LLP Miami, Florida Financial Advisor RBC Capital Markets, LLC St. Petersburg, Florida CITY OF MIAMI BEACH, FLORIDA MAYOR Philip Levine * VICE MAYOR Edward L. Tobin * CITY COMMISSION Michael Grieco, Commissioner Joy Malakoff, Commissioner Micky Steinberg, Commissioner Deede Weithom, Commissioner * Jonah Wolfson, Commissioner * ADMINISTRATION Assistant City Manager Kathie G. Brooks Parking Director Saul Frances CONSULTANTS City Attornelt Raul J. Aguila, Esquire City Clerk Rafael E. Granado, Esquire Disclosure Counsel Law Offices of Steve E. Bullock, P.A. Miami, Florida Independent Auditors Crowe Horwath LLP Fort Lauderdale, Florida * The Mayor is running against a single opponent in the general election of the City to be held on November 3, 2015. In addition, a new commissioner will be elected in such general election for the City Commission seat for Districts IV, V and VI or, if required because a candidate did not receive more than fifty percent (50%) of the votes cast in the general election, in a run-off election. If required, the run-off election will be held on November 17,2015. The results of the election are expected to be certified by the current Mayor and Cify Commission in a meeting to be held sometime after the general election or, if a run-off election is held, after the run-off election. The current Mayor and City Commission are expected to serve until newly elected members have been seated. 794 No dealer, broker, salesman or other person has been authorized by the City or the Underwriters to make any representations, other than those contained in this Official Statement, in connection with the offering contained herein, and if given or made, such other information or representations must not be relied upon as having been authorized,by any of the foregoing. This Official Statement does not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the Series 2015 Bonds by any person in any jurisdiction in which it is unlawful for such person to make such offer, solicitation or sale. The information contained in this Official Statement has been obtained from public documents, records and other sources considered to be reliable and, while not guaranteed as to completeness or accuracy, is believed to be correct. Any statement in this Official Statement involving estimates, assumptions and opinions, whether or not so expressly stated, are intended as such and are not to be construed as representations of fact, and the Underwriters and the City expressly make no representation that such estimates, assumptions and opinions will be realized or fulfilled. Any information, estimates, assumptions and matters of opinion contained in this Official Statement are subject to change without notice, and neither the delivery of this Official Statement, nor any sale hereunder, shall, under any circumstances, create any implication that there has been no change in the affairs of the City since the date hereof. The Underwriters have provided the following sentence for inclusion in this Official Statement. The Underwriters have reviewed the idormation in this Official Statement in accordance with, and as part of, their responsibilities to investors under the federal securities laws as applied to the facts and circumstances of this transaction, but the Underwriters do not guarantee the accuracy or completeness of such information. The order and placement of materials in this Official Statement, including the Appendices, are not to be deemed a determination of relevance, materiality or importance, and this Official Statement, including the Appendices, must be considered in its entirety. The captions and headings in this Official Statement are for convenience only and in no way define, limit or describe the scope or intent, or affect the meaning or construction, of any provisions or sections in this Official Statement. The offering of the Series 2015 Bonds is made only by means of this entire Official Statement. References to website addresses presented in this Official Statement are for informational purposes only and may be in the form of a hyperlink solely for the reader's convenience. Unless specified otherwise, such websites and the information or links contained therein are not incorporated into, and are not part ol this Official Statement. Certain statements included or incorporated by reference in this Official Statement constitute "forward-looking statements." Such statements generally are identifiable by the terminology used, such as "plan," "expect," "estimate," 'oproject," "forecast," "budget" or other similar words. The achievement of certain results or other expectations contained in such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements described to be materially different from any future results, performance or achievements expressed or implied by such forwardJooking statements. The City does not plan to issue any updates or revisions to those forward-looking statements if or when its expectations or events, conditions or circumstances on which such statements are based occur. THE SERIES 2OI5 BONDS HAVENOTBEENREGISTEREDUNDERTHE SECURITIES ACT OF 1933, AS AMENDED, OR ANY STATE SECURITIES LAW, NOR HAS THE RESOLUTION BEEN QUALIFIED UNDER THE TRUST INDENTURE ACT OF 1939, AS AMENDED, IN RELIANCE UPON EXEMPTIONS CONTAINED IN SUCH ACTS. THE EXEMPTION OF THE SERIES 2015 BONDS FROM REGISTRATION OR QUALIFICATION IN CERTAIN STATES CANNOT BE REGARDED AS 795 A RECOMMENDATION THEREOF. IN MAKING AN INVESTMENT DECISION, INVESTORS MUST RELY ON THEIR OWN EXAMINATION OF THE CITY AND THE TERMS OF THIS OFFERING, INCLUDING THE MERITS AND RISKS INVOLVED. NEITHER THE SECURITIES AND EXCHANGE COMMISSION NOR ANY OTHER FEDERAL, STATE OR GOVERNMENTAL ENTITY OR AGENCY WILL HAVE PASSED UPON THE ACCURACY OR ADEQUACY OF THIS OFFICIAL STATEMENT OR APPROVED OR RECOMMENDED THE SERIES 2OI5 BONDS FOR SALE. ANY REPRESENTATION TO THE CONTRARY MAY BE A CRIMINAL OFFENSE. IN CONNECTION WITH THIS OFFERING, THE LINDERWRITERS MAY OVERALLOT OR EFFECT TRANSACTIONS WHICH STABILIZE OR MAINTAIN THE MARKET PRICE OF THE SERIES 2OI5 BONDS AT A LEVEL ABOVE THAT WHICH MIGHT OTHERWISE PREVAIL IN THE OPEN MARKET, AND SUCH STABILZING,IF COMMENCED, MAY BE DISCONTINUED AT ANY TIME. THE UNDERWRITERS MAY OFFER AND SELL THE SERIES 2OI5 BONDS TO CERTAIN DEALERS AND OTHERS AT PRICES LOWER THAN THE PUBLIC OFFERING PRICES STATED ON THE INSIDE COVER PAGE OF THIS OFFICIAL STATEMENT, AND SUCH PUBLIC OFFERING PRICES MAY BE CHANGED FROM TIME TO TIME BY THE LTNDERWRITERS. THIS OFFICIAL STATEMENT SHALL NOT CONSTITUTE A CONTRACT BETWEEN THE CITY OR THE UNDERWRITERS AND ANY ONE OR MORE HOLDERS OF THE SERIES 2OI5 BONDS. THIS OFFICIAL STATEMENT IS BEING PROVIDED TO PROSPECTIVE PURCHASERS EITHER IN BOUND PRINTED FORM ("ORIGINAL BOUND FORMAT") OR IN ELECTRONIC FORMAT ON THE WEBSITE: IV}VW.MUNIOS.COM. THIS OFFICIAL STATEMENT MAY BE RELIED UPON ONLY IF IT IS IN ITS ORIGINAL BOUND FORMAT OR IF IT IS PRINTED IN FULL DIRECTLY FROM SUCH WEBSITE. THIS PRELIMINARY OFFICIAL STATEMENT IS IN A FORM DEEMED FINAL BY THE CITY FOR PURPOSES OF RULE l5c2-12 UNDER THE SECURITIES EXCHANGE ACT OF 1934, AS AMENDED, EXCEPT FOR CERTAIN FINANCIAL INFORMATION PERMITTED TO BE OMITTED PURSUANT TO RULE lsc2-12(b)(1). 796 TABLE OF CONTENTS INTRODUCTION. PURPOSE OF THE ISSUE. General. Series 2015 Project.. ESTIMATED SOURCES AND USES OF FUNDS. DESCRIPTION OF THE SERIES 2OI5 BONDS. General. Redemption Provisions.. Book-Entry-Only System Discontinuance of Book-Entry Only System SECURITY AND SOURCES OF PAYMENT General. FlowofFunds. ... Reserve Account. RateCovenant..... Additional Bonds. Refunding Bonds. Limited Liability.. Other Parity lndebtedness Subordinated Indebtedness Modifications or Supplements to Bond Resolution. . . MUNICIPAL BOND INSURANCE. . . . . THE PARKING SYSTEM General. Organization Operations. Parking Rates. . Current Developments. . . . . Future Plans for Parking Projects. Parking System Covenants. Summary Statement of Revenues and Expenses. . . . . HISTORICAL NETREVENUES, DEBT SERVICEAND DEBT SERVICE COVERAGE. . . . . . . . . General. Management Discussion of Parking System.. DEBT SERVICE SCHEDULE THE CITY. General. City Govemment. . . PENSION AND OTHER POST EMPLOYMENT BENEFITS. . . Defined Benefit Plans.. Other Retirement and Compensation Plans. Other Post Employment Benefits. TAX MATTERS. . General. Risk of Future Legislative Changes and/or Court Decisions. . . Original Issue Discount and Original Issue Premium FINANCIAL STATEMENTS.. . . Page 2 3 3 J 4 5 8 8 8 9 l1 t2 l3 l5 15 l5 l6 16 t7 t7 t7 l8 20 21 22 22 23 25 27 27 27 29 30 30 30 3l 3l 39 40 42 42 44 44 45 I 2 2 iii 797 CONTINUINGDISCLOSURE.. .......45LITIGATION,.... ...... 46 LEGALMATTERS. .....46ENFORCEABILITYOFREMEDIES... .......47RATINGS. ..... . 47 UNDERWRITING.. .....48FINANCIALADVISOR. .......49 CONTINGENTFEES. ..,49 DISCLOSUREREQUIREDByFLORIDABLUE SKyLAWS ....... 49 AUTHORZATIONCONCERNINGOFFICIALSTATEMENT..... .....,,. 49 MISCELLANEOUS.. .... 49 APPENDICES APPENDIX A APPENDIXB APPENDIX C APPENDX D APPENDX E APPENDX F [APPENDIX G General Information and Economic Data Regarding the CityofMiami Beach, Florida andMiami-Dade County, Florida. . . . . . . . A-l Excerpts from Comprehensive Annual Financial Report of the City of Miami Beach, Florida for the Fiscal Year Ended September 30,2014. . . . B-1 TheResolution.... ....... C-l Proposed Form of Opinion of Bond Counsel.. . . . . D-l Proposed Form of Opinion of Disclosure Counsel. . . . . . . E-l Form of Disclosure Dissemination Agent Agreement. . . . . . F-l Specimen Municipal Bond Insurance Policy. . . . . . G-ll tv 798 OFFICIAL STATEMENT relating to $65,000,000* CITY OF MIAMI BEACH, FLORIDA PARIflNG REVENUE BONDS SERIES 2OI5 INTRODUCTION The purpose of this Official Statement, including the cover page and all appendices, is to set forth certain information relating to the City of Miami Beach, Florida (the "City"), the facilities owned or leased by the City for public parking of automobiles and other motor vehicles upon payment of a fee or charge for the privilege of parking, excluding Separate Parking Facilities (as hereinafter defined) (the "Parking System") and the sale by the City of its $65,000,000* aggregate principal amount of Parking Revenue Bonds, Series 2015 (the "Series 2015 Bonds"). The Series 2015 Bonds are being issued pursuant to the Constitution and Laws of the State of Florida, including Chapter 166, Florida Statutes, as amended, the City of Miami Beach Charter (collectively, the "Act") and other applicable provisions of law, and pursuant and subject to the terms and conditions of Resolution No. 2010-27491 adopted by the Mayor and City Commission of the City (collectively, the "City Commission") on September 20, 2010 (the "Bond Resolution") and Resolution No. 2015-- adopted by the City Commission on October _, 2015 (the "Series 2015 Resolution" and, collectively with the Bond Resolution, the "Resolution"). For a complete description of the terms and conditions of the Series 201 5 Bonds and the provisions of the Resolution, see "APPENDIX C - The Resolution." The Series 2015 Bonds will be issued in book-entry only form and purchasers of the Series 2015 Bonds will not receive certificates representing their interest in the Series 2015 Bonds purchased. The Series 2015 Bonds will contain such other terms and provisions, including provisions regarding redemption, as described in "DESCRIPTION OF THE SERIES 2015 BONDS" herein. The City has previously issued pursuant to the Bond Resolution its (i) $17,155,000 original principal amount of City of Miami Beach, Florida Parking Revenue Refunding Bonds, Series 20104 (the "Series 2010A Bonds"), $10,395,000 of which are currently Outstanding; and (ii) $27,405,000 original principal amount of City of Miami Beach, Florida Parking Revenue Bonds, Series 20108 (the "Series 20108 Bonds" and, together with the Series 2010A Bonds, the "Outstanding Bonds"), all of which are currently Outstanding. The Series 2015 Bonds, the Outstanding Bonds and any Additional Bonds and Refunding Bonds hereafter issued are collectively referred to herein as the "Bonds." The principal of and interest on the Series 2015 Bonds will be secured by a lien on and pledge of the Pledged Revenues as described herein, on a parity with the Outstanding Bonds and any other Bonds, Altemative Parity Debt or parity Short-Term lndebtedness that may be issued from time to time under the Bond Resolution. See "SECURITY AND SOURCES OF PAYMENT - General and - Reserve Account" herein. The City may elect to purchase a municipal bond insurance policy (the 6Bond Insurance Policy") to be delivered by a municipal bond insurance provider (the 56Bond Insurer") concurrently * Preliminary, subject to change. 799 with the delivery of the Series 2015 Bonds to guarantee timely payment of the principal of and interest on the Series 2015 Bonds, or one or more maturities of the Series 2015 Bonds, and may elect to satisfy any Reserve Account Deposit Requirement upon issuance of the Series 2015 Bonds with a Reserve Account Insurance Policy or Reserve Account Letter of Credit. This introduction is intended to serve as a brief description of this Official Statement and is expressly qualified by reference to this Official Statement as a whole. A full review should be made of this entire Official Statement, as well as the documents and reports summarized or described herein. The description of the Series 2015 Bonds, the documents authorizing and securing the same, including, without limitation, the Resolution, and the information from various reports contained herein are not comprehensive or definitive. Al[ references herein to such documents and reports are qualified by the entire, actual content of such documents and reports. Copies of such documents and reports may be obtained from the City by contacting the City's lnterim Chief Financial Officer, 1700 Convention Center Drive, Miami Beach, Florida 33139, Telephone number: (305) 673-7466. Capitalized terms used but not defined in this Official Statement shall have the meanings ascribed to such terms in the Resolution. See "APPENDX C - The Resolution." PURPOSE OF THE ISSUE General The Series 2015 Bonds are being issued by the City for the purpose of providing funds to (i) finance a portion of the costs of acquiring and constructing a new parking garage as a component of the renovations to be made to the City's Convention Center (the "Series 2015 Project"); (ii) fund a deposit to the Reserve Account, if necessary, including the cost of any Reserve Account lnsurance Policy or Reserve Account Letter of Credit determined by the City to be advisable; and (iii) pay the costs of issuing the Series 2015 Bonds, including the premium for a municipal bond insurance policy, if any. Series 2015 Project The Improvements constituting the Series 2015 Project consist of new parking facilities to service the newly renovated 1.4 million square foot Miami Beach Convention Center (the "Convention Centet''). Renovations to the Convention Center are estimated to cost approximately $596 million, including the cost of constructing the Series 2015 Project, and are expected to provide a state-of-the-art event facility, including new ballrooms, meeting roons, versatile indoor/outdoor public spaces and a new 5.8 acre public park containing a flexible lawn area, a food pavilion and a public plazato honor the City's veterans. Such renovations are currently scheduled to be completed during Fiscal Year 2018. The improvements comprising the Series 2015 Project include the following: an 802-space parking garage; a seventy-two (72) space surface parking lot; and a new internalized loading area that will include enclosed ground floor parking, a truck loading and delivery area and two (2) helix ramping entrance accesses to roof level parking at the Convention Center. [TO BE REVISED BY THE CITY, AS NEEDED] 800 The Commission may determine by resolution to undertake authorized capital improvements to the Parking System in addition to and/or in lieu of the Improvements or any portion of the Improvements described above. The Series 2015 Project will be included among the facilities of the Parking System. See "THE PARKING SYSTEM" herein. ESTIMATED SOURCES AND USES OF FUNDS The following table sets forth the estimated sources and uses of funds in connection with the issuance of the Series 2015 Bonds: Sources of Funds Par Amount of Series 2015 Bonds Net Original Issue Discount/Premium Total Estimated Sources of Funds Uses of Funds Deposit to Series 2015 Construction Subaccount'') Deposit to Reserve Account Deposit to Series 2015 Cost of Issuance Subaccount'2) Underwriters' Discount Total Estimated Uses of Funds (l) See "PURPOSE OF THE ISSUE - Series 2015 Project" herein.(2) To pay certain costs of issuance of the Series 2015 Bonds, including, without limitation, printing costs, bond counsel fees, disclosure counsel fees, fees ofthe financial advisor and any premiums paid to the Bond Insurer for issuance of the Bond Insurance Policy and the Reserve Account Insurance Policy or Reserve Account Letter of Credit. DESCRIPTION OF THE SERIES 2015 BONDS General The Series 2015 Bonds will be dated their date of delivery. The Series 2015 Bonds will bear interest at the rates and will mature on the dates and in the amounts set forth on the inside cover page of this Official Statement. Interest on the Series 2015 Bonds is payable semiannually commencing on March 1,2016 and on each September I and March I thereafter. Such interest shall be calculated on the basis of a 360 day year consisting of twelve 30-day months. The City has appointed U.S. Bank National Association, Jacksonville, Florida, to serve as the paying agent and as the bond regisffar for the Series 201 5 Bonds (collectively, the "Bond Registrar"). In any case where the maturity date of, or the date for the payment of the principal of or interest on the Series 2015 Bonds, or the date fixed for redemption of the Series 2015 Bonds shall not be a business day, then payment of such interest or principal or redemption price need not be made by the Bond Registrar on such date but may be made on the next succeeding business day with the same force and effect as if 801 made on the date of maturity or the date fixed for redemption, and no interest shall accrue for the period after such date of maturity or redemption. The Series 2015 Bonds will be issued as fully registered bonds, without coupons, in denominations of $5,000 or any whole multiple thereof, and when issued, will be registered in the name of Cede & Co., as registered owner and nominee of The Depository Trust Company, New York, New York ("DTC"). Purchases of beneficial interests in the Series 2015 Bonds will be made in book-entry-only form, without certificates. Unless a securities depository other than DTC is selected by the City, so long as the Series 2015 Bonds shall be in book-entry-only form, the principal of and interest on the Series 2015 Bonds will be payable to Cede & Co. (or such other nominee selected by DTC), as registered owner thereof, and will be distributed by DTC and the DTC Participants to the Beneficial Owners (as such terms are hereinafter defined). See "THE SERIES 2015 BONDS - Book-Entry Only System" herein. Redemption Provisions Optional Redemption The Series 2015 Bonds maturing on or before September 1,20_are not subject to redemption prior to maturity. The Series 2015 Bonds maturing on or after September l, 20- are subject to redemption prior to maturity, at the option of the City, on or after September 1,20-, in whole or in part at any time, in any order of maturity selected by the City and by lot or by such other manner as the Bond Registrar shall deem appropriate within a maturity, at a redemption price equal to one hundred percent (100%) of the principal amount of the Series 2015 Bonds to be redeemed, together with accrued interest to the date fixed for redemption and without premium. Mandatorv Sinkins Fund Redemption The Series 2015 Bonds maturing on September I,20_are subject to mandatory sinking fund redemption prior to maturity, in part, by lot or by such other manner as the Bond Registrar shall deem appropriate, through the application of Amortization Requirements, at a redemption price equal to one hundred percent (100%) of the principal amount thereof, on September 1 of each year in the following amounts and in the years specified: Due (September l) {' Amortization Requirement s * Final maturity. Notice of Redemption Mailinq qf Notice of Redemption At least thirty (30) days, but not more than sixty (60) days, before the redemption date, a notice of redemption shall be (a) filed by the City with the Bond Registrar and (b) mailed by the Bond Registrar, ftrst class mail, postage prepaid, to all registered owners of Series 2015 Bonds (which, so long as DTC shall act as securities depository for the Series 2015 Bonds, shall be Cede & Co.) to be redeemed at their addresses as they appear on the registration books of the Bond 802 Registrar. Failure so to mail any such notice to any registered owner shall not affect the validity of the proceedings for such redemption. Each such notice shall specify the redemption date and the place or places where amounts due upon such redemption will be payable and, if less than all of the Series 2015 Bonds are to be redeemed, the numbers or other distinguishing marks of such Series 2015 Bonds to be redeemed in part and the respective portions thereof to be redeemed. Subject to the next succeeding paragraph, such notice shall further state that on such date there shall become due and payable upon each of the Series 2015 Bonds to be redeemed the redemption price or the specified portions thereof in the case of Series 2015 Bonds to be redeemed in part only, together with interest accrued to the redemption date, and that from and after such date interest thereon shall cease to accrue and be payable on such Series 2015 Bonds or portions thereof so redeemed. In the case of an optional redemption of the Series 2015 Bonds, the redemption notice may state that (a) it is conditioned upon the deposit of moneys with the Bond Registrar or with a bank, trust company or other appropriate fiduciary institution acting as escrow agent (the "escrow agent"), in amounts necessary to effect the redemption, no later than the redemption date, or (b) the City retains the right to rescind such notice on or prior to the scheduled redemption date (in either case, a "Conditional Redemption"), and such notice and optional redemption shall be of no effect if such moneys are not so deposited or if the notice is rescinded as described in this paragraph. Any such notice of Conditional Redemption shall be captioned "Conditional Notice of Redemption." Any Conditional Redemption may be rescinded at any time prior to the redemption date if the City delivers a written direction to the Bond Registrar directing the Bond Registrar to rescind the redemption notice. The Bond Registrar shall give prompt notice of such rescission to the affected Bondholders. Any Series 2015 Bonds subject to Conditional Redemption where redemption has been rescinded shall remain Outstanding, and neither the rescission nor the failure by the City to make such moneys available shall constitute an Event of Default under the Bond Resolution. E-ffect of Callinx for Redemption On the date so designated for redemption, notice having been filed and mailed in the manner and under the conditions described above, the Series 2015 Bonds so called for redemption shall become and be due and payable at the redemption price provided for redemption of such Series 2015 Bonds on such date and, moneys for payment of the redemption price being held in separate accounts by the Chief Financial Officer or by the Bond Registrar in trust for the Holders of the Series 2015 Bonds to be redeemed, all as provided in the Resolution, interest on the Series 2015 Bonds so called for redemption shall cease to accrue, such Series 2015 Bonds shall cease to be entitled to any lien, benefit or security under the Resolution and the Holders or registered owners of such Series 2015 Bonds shall have no rights in respect thereof except to receive payment of the redemption price thereof and accrued interest thereon. Book-Entry Only System The following description of the procedures and record keeping with respect to beneficial ownership interests in the Series 2015 Bonds, payment of the principal of and interest on the Series 2015 Bonds to DTC Participants or Beneficial Owners (as such terms are hereinafter defined) of the Series 2015 Bonds, confirmation and transfer of beneficial ownership interest in the Seies 2015 Bonds and other related transactions by and between DTC, the DTC Participants and the Beneficial Owners of the Seies 2015 Bonds is based solely on information furnished by DTC on its website for inclusion in this Official Statement. Accordingly, neither the City nor the Underwriters can make any representation concerning these matters or take any responsibility for the accuracy or completeness of such information. DTC will act as securities depository for the Series 2015 Bonds. The Series 2015 Bonds will be issued as fully-registered securities registered in the name of Cede & Co., as DTC's partnership nominee, 803 or such other name as may be requested by an authorized representative of DTC. One fully-registered Series 2015 Bond certificate will be issued for each maturity of the Series 2015 Bonds, each in the aggregate principal amount of such maturity, as set forth on the inside cover page of this Official Statement, and will be deposited with DTC. DTC, the world's largest depository, is a limited-purpose trust company organized under the New York Banking Law, a "banking organization" within the meaning of the New York Banking Law, a member of the Federal Reserve System, a "clearing corporation" within the meaning of the New York Uniform Commercial Code, and a "clearing agency" registered pursuant to the provisions of Section l7A of the Securities Exchange Act of 1934. DTC holds and provides asset servicing for over 3.5 million issues of U.S. and non-U.S. equity issues, corporate and municipal debt issues, and money market instruments from over one hundred (100) countries that its participants ("Direct Participants") deposit with DTC. DTC also facilitates the post-trade settlement among Direct Participants of sales and other securities transactions in deposited securities, through electronic computerized book-entry transfers and pledges between Direct Participants' accounts, thereby eliminating the need for physical movement of securities certificates. Direct Participants include both U.S. and non-U.S. securities brokers and dealers, banks, trust companies, clearing corporations, and certain other organizations. DTC is a wholly-owned subsidiary of The Depository Trust & Clearing Corporation ("DTCC"). DTCC is the holding company for DTC, National Securities Clearing Corporation and Fixed lncome Clearing Corporation, all of which are registered clearing agencies. DTCC is owned by the users of its regulated subsidiaries. Access to the DTC system is also available to others such as both U.S. and non-U.S. securities brokers and dealers, banks, trust companies and clearing corporations that clear through or maintain a custodial relationship with a Direct Participant, either directly or indirectly ("Indirect Participants" and, together with Direct Participants, "DTC Participants"). DTC has Standard & Poor's rating of AA+. The DTC rules applicable to the DTC Participants are on file with the Securities and Exchange Commission. More information about DTC can be found at rvww.dtcc.com. Purchases of Series 2015 Bonds under the DTC system must be made by or through Direct Participants, which will receive a credit for the Series 2015 Bonds on DTC's records. The ownership interest of each actual purchaser of each Series 2015 Bond ("Beneficial Owner") is in turn to be recorded on the DTC Participants' records. Beneficial Owners will not receive written confirmation from DTC of their purchase but Beneficial Owners are expected to receive written confirmations providing details of the transaction, as well as periodic statements of their holdings, from the DTC Participant through which the Beneficial Owner entered into the transaction. Transfers of ownership interests in the Series 2015 Bonds are to be accomplished by entries made on the books of DTC Participants acting on behalf of Beneficial Owners. Beneficial Owners will not receive certificates representing their ownership interests in Series 2015 Bonds, except in the event that use of the book-entry system for the Series 2015 Bonds is discontinued. To facilitate subsequent transfers, all Series 2015 Bonds deposited by Direct Participants with DTC are registered in the name of DTC's partnership nominee, Cede & Co., or such other name as may be requested by an authorized representative of DTC. The deposit of Series 2015 Bonds with DTC and their registration in the name of Cede & Co., or such other DTC nominee, will not effect any change in beneficial ownership of the Series 2015 Bonds. DTC has no knowledge of the actual Beneficial Owners of the Series 2015 Bonds; DTC's records reflect only the identity of the Direct Participants to whose accounts such Series 2015 Bonds are credited, which may or may not be the Beneficial Owners. The DTC Participants will remain responsible for keeping account of their holdings on behalf of their customers. Conveyance of notices and other communications by DTC to Direct Participants, by Direct Participants to lndirect Participants, and by DTC Participants to Beneficial Owners, will be govemed by arrangements among them, subject to any statutory or regulatory requirements as may be in effect from 804 time to time. Beneficial Owners of Series 2015 Bonds may wish to take certain steps to augment the transmission to them of notices of significant events with respect to the Series 2015 Bonds, such as redemptions, defaults and proposed amendments to the documents securing the Series 2015 Bonds. For example, Beneficial Owners of the Series 2015 Bonds may wish to ascertain that the nominee holding the Series 2015 Bonds for their benefit has agreed to obtain and transmit notices to Beneficial Owners. In the alternative, Beneficial Owners may wish to provide their names and addresses to the Bond Registrar and request that copies of notices are provided directly to them. Redemption notices shall be sent by the Bond Registrar to DTC. If less than all of the Series 2015 Bonds within an issue are being redeemed, DTC's practice is to determine by lot the amount of the interest of each Direct Participant in such issue to be redeemed. Neither DTC nor Cede & Co. (nor any other DTC nominee) will consent or vote with respect to Series 2015 Bonds unless authorized by a Direct Participant in accordance with DTC's Procedures. Under its usual procedures, DTC mails an Omnibus Proxy to the City as soon as possible after the record date. The Omnibus Proxy assigns Cede & Co.'s consenting or voting rights to those Direct Participants to whose accounts the Series 2015 Bonds are credited on the record date (identified in a listing attached to the Omnibus Proxy). Principal and interest payments on the Series 2015 Bonds will be made to Cede & Co., or to such other nominee as may be requested by an authorized representative of DTC. DTC's practice is to credit Direct Participants' accounts upon DTC's receipt of funds and corresponding detail information from the City or the Bond Registrar on the payable date in accordance with their respective holdings shown on DTC's records. Payments by DTC Participants to Beneficial Owners will be govemed by standing instructions and customary practices, as is the case with securities held for the accounts of customers in bearer form or registered in "street name," and will be the responsibility of such Participant and not of DTC, nor its nominee, the Bond Registrar or the City, subject to any statutory or regulatory requirements as may be in effect from time to time. Payment of principal and interest to Cede & Co. (or such other nominee as may be requested by an authorized representative of DTC) is the responsibility of the City or the Bond Registrar, disbursement of such payments to Direct Participants shall be the responsibility of DTC, and disbursement of such payments to the Beneficial Owners shall be the responsibility of DTC Participants. When reference is made to any action which is required or permitted to be taken by the Beneficial Owners, such reference shall only relate to those permitted to act (by statute, regulation or otherwise) on behalf of such Beneficial Owners for such purposes. When notices are given, they shall be sent by the City only to DTC. NEITHER TIIE CITY NOR THE BOND REGISTRAR WILL HAVE ANY RESPONSIBILITY OR OBLIGATION TO ANY DTC PARTICIPAIIT OR THE PERSONS FOR WHONI TIIEY ACT AS NOMINEES WITH R.ESPECT TO THE SERIES 2015 BONDS IN RESPECT OF THE ACCURACY OF AIIY RECORDS MAINTAINED BY DTC OR ANY DTC PARTICIPAIIT, THE PAYMENT BY DTC OR ANY DTC PARTICIPAIIT OF ANY AMOUNT IN RESPECT OF THE PRTNCTPAL OF OR TNTEREST ON THE SERTES 2015 BONDS, ANy NOTICE WHICH IS PERMITTED OR REQUIRED TO BE GIVEN TO BONDHOLDERS UNDER THE BOND RESOLUTION, THE SELECTION BY DTC OR ANY DTC PARTICIPAIIT OR ANY PERSON TO RECEIVE PAYMENT IN THE EVENT OF A PARTIAL REDEMPTION OF THE SERIES 2015 BONDS, OR ANY CONSENT GIVEN OR OTHER ACTION TAKEN BY DTC AS BONDHOLDER. SO LONG AS CEDE & CO. IS THE REGISTERED OWNER OF THE SERIES 2015 BONDS, AS NOMINEE OF DTC, REFERENCES IN THIS OFFICIAL STATEMENT TO 805 THE BONDHOLDERS OR REGISTERED OWNERS OF THE SERIES 2015 BONDS SHALL MEAN CEDE & CO., A}tD SHALL NOT MEAN THE BENEFICIAL OWNERS OF THE SERIES 2015 BONDS. Discontinuance of Book-Entry Only System ln the event the City determines that it is in the best interest of the Beneficial Owners to obtain Series 2015 Bond certificates, the City may notify DTC and the Bond Registrar, whereupon DTC will notify the DTC Participants, of the availability through DTC of Series 2015 Bond certificates. ln such event, the City shall prepare and execute, and the Bond Registrar shall authenticate, transfer and exchange, Series 2015 Bond certificates as requested by DTC in appropriate amounts and within the guidelines set forth in the Bond Resolution. DTC may also determine to discontinue providing its services with respect to the Series 2015 Bonds at any time by giving written notice to the City and the Bond Registrar and discharging its responsibilities with respect thereto under applicable law. Under such circumstances (if there is no successor securities depository), the City and the Bond Registrar shall be obligated to deliver Series 2015 Bond certificates as described herein. ln the event Series 2015 Bond certificates are issued, the provisions of the Bond Resolution shall apply to, among other things, the transfer and exchange of such certificate and the method of payment of principal of and interest on such certificates. Whenever DTC requests the City and the Bond Registrar to do so, the City will direct the Bond Registrar to cooperate with DTC in taking appropriate action after reasonable notice (i) to make available one or more separate certificates evidencing the Series 2015 Bonds to any DTC Participant having Series 2015 Bonds credited to its DTC account; or (ii) to arange for another securities depository to maintain custody of certificates evidencing the Series 2015 Bonds. SECURITY AND SOURCES OF PAYMENT General The Bonds issued under the Bond Resolution are limited obligations of the City, payable solely from and secured by a lien upon and pledge of Net Revenues, and all moneys held in the respective Funds and Accounts established under the Bond Resolution other than the Subordinated Indebtedness Account and the Arbitrage Rebate Fund (collectively, the "Pledged Revenues"). See "APPENDIX C - The Resolution" for a further description of the sources of funds pledged as security for the Bonds and referred to herein as the Pledged Revenues. The Series 2015 Bonds are payable from and secured by the Pledged Revenues on a parity with the Outstanding Bonds and any other Bonds, Altemative Parity Debt or parity Short-Term Indebtedness that may be issued from time to time under the Bond Resolution. "Net Revenues" is defined in the Bond Resolution as being, for any particular period, the amount ofRevenues for such period less Current Expenses for such period. "Revenues" is defined in the Bond Resolution as all moneys received by the City in connection with or as a result of its ownership or operation of the Parking System, including, but not limited to, the income derived by the City from the direct fees and charges made for parking, all indirect revenues received through the supplying of any other services legally suppliable by the City to users of the Parking System, all rents received by the City from the rental of space comprising any part of the Parking System, including receipts from concessionaires, all fees received by the City from the management by other parties of all or any part of the Parking System, income received by the City from parking violation fines imposed upon users of the Parking System which under State law may be applied to purposes consistent with the Bond Resolution, Federal Direct Payments received by the City, any proceeds of use and occupancy 806 insurance on the Parking System or any part thereof, payments made to the City under Interest Rate Swap arrangements, and income from investments made under the Bond Resolution; provided, however, Revenues shall not include grants, contributions or donations, investment income from investments of moneys on deposit in the Constmction Fund and the Subordinated lndebtedness Account, proceeds of insurance (except use and occupancy insurance) and condemnation awards, moneys held in the Subordinated Indebtedness Account and in any Arbitrage Rebate Fund created pursuant to the Bond Resolution, proceeds of sales of property constituting a part of the Parking System, and the proceeds of Bonds or other System Debt; and provided further, however, Revenues shall not include Federal Direct Payments for purposes of the calculations of Net Revenues in connection with the issuance of Additional Bonds and Refunding Bonds and in connection with the rate covenant. No Federal Direct Payments will be received by the City with respect to the Series 2015 Bonds. "Current Expenses" is defined in the Bond Resolution as the City's reasonable and necessary current expenses of maintenance, repair and operation of the Parking System and shall include, without limiting the generality of the foregoing, all ordinary and usual expenses of maintenance, repair and operation, which may include expenses not annually recurring, any reasonable payments to pension or retirement funds properly chargeable to the Parking System, insurance premiums, engineering expenses relating to maintenance, repair and operation, management fees paid by the City to any independent operators or managers of any part of the Parking System, fees and expenses of the Bond Registrar and Escrow Agent, legal and accounting expenses, expenses incurred in the collection of parking violation fines imposed on users of the Parking System which under State law may be applied to purposes consistent with the Bond Resolution, costs of complying with the continuing disclosure requirements under the Rule, any fees, fines, or penalties lawfully imposed on the Parking System, any taxes which may be lawfully imposed on the Parking System or its income or operations and reserves for such taxes, annual fees for the maintenance of Credit Facilities, Liquidity Facilities, Reserve Account lnsurance Policies, Reserve Account Letters of Credit or Interest Rate Swaps (other than payments due under an lnterest Rate Swap on a parity with interest due on the Bonds and termination payments thereunder), and any other expenses required to be paid by the City in connection with the Parking System under the provisions of the Bond Resolution or by law, including any amounts required from time to time to pay artitrage rebate to the United States of America directly or to fund the Arbitrage Rebate Fund, but shall not include any reserves for extraordinary maintenance or repair, or any allowance for depreciation, or any administrative expenses payable to the City's General Fund, or any deposits or transfers to the credit of the Debt Service Account, the Reserve Account, or the Subordinated Indebtedness Account. "Parking System" is defined in the Bond Resolution as the City's parking system pursuant to which parking facilities are made available by the City for public parking of automobiles and other motor vehicles upon payment of a fee or charge for the privilege of parking, whether such facilities are owned by the City, leased by the City as lessor or lessee, or consist of parking spaces on public streets (whether such streets are City streets, County roads or State roads) for which the City lawfully charges a parking fee by meter or otherwise, and shall (i) include the Project, any Improvements and any Separate Parking Facilities consolidated with the Parking System pursuant to Section 709 of the Bond Resolution, and (ii) exclude any Separate Parking Facilities not so consolidated with the Parking System. Flow of Funds The City maintains a special fund designated the "Parking System Enterprise Fund" (the "Enterprise Fund"). The Bond Resolution establishes within the Enterprise Fund the Debt Service Account (and within the Debt Service Account, the Bond Service Subaccount and Redemption Subaccount), Reserve Account and Subordinated Indebtedness Account. The Bond Resolution also establishes the Construction 807 Fund. All such funds and accounts are held by the City; no independent trustee has been appointed to hold the moneys in such funds for the benefit of the Bondholders. The City deposits all Revenues collected from the operation of the Parking System into the Enterprise Fund. Not later than the twentieth (20'h) day of each month, the City withdraws from the Enterprise Fund (except for an amount equal to the next two (2) month's Current Expenses under the Annual Budget, which amount shall be held for the payment of Current Expenses) the amounts required to make the deposits described below, or if the available amounts on deposit in the Enterprise Fund are less than the required amounts, the entire balance of the Enterprise Fund (other than the amount required to be retained therein for the payment of Current Expenses) and deposits the funds withdrawn in the following order; (a) To the Bond Service Subaccount of the Debt Service Account, an amount which will equal one-sixth (l/6) of the interest payable on the Bonds of each Series on the next Interest Payment Date, plus one-twelfth (lll2) or, if principal is payable semiannually, one-sixth (1/6), of the next maturing installment of principal on all Serial Bonds then Outstanding; provided, however, that in each month intervening between the date of delivery of Bonds and the next succeeding Interest Payment Date or principal payment date, respectively, the amount specified in this subparagraph shall be the amount which, when multiplied by the number of deposits to the credit of the Bond Service Subaccount required to be made during such respective periods, as provided above, will equal the amounts required (taking into account any amounts received as accrued interest or capitalized interest from the proceeds of the Bonds) for such next succeeding interest payment and next maturing installment of principal, respectively; (b) To the Redemption Subaccount of the Debt Service Account, an amount which will equal one-twelfth (1/12) or, if any Bonds are required to be retired semiannually, one-sixth (1/6), of the principal amount of Term Bonds of each Series required to be retired in satisfaction of the Amortization Requirements, if any, for such Fiscal Year; (c) To the Reserve Account, the amount, if any, as may be required to make the amount deposited to the credit of the Reserve Account in such month equal to the Reserve Account Deposit Requirement for such month; provided, however, that if the Reserve Account Deposit Requirement is being satisfied by the restoration of any amounts drawn or paid under a Reserve Account Insurance Policy or a Reserye Account Letter of Credit, there shall be paid to the provider thereof such amount, if any, of any balance remaining after the deposits under clauses (a) and (b) above, as may be required to cause the Reserve Account Deposit Requirement to be satisfied; and (d) To the Subordinated Indebtedness Account, an amount, if any, equal to the sum of one-twelfth (1/12) of the principal, redemption premium, if any, and interest coming due on any Subordinated Indebtedness during the succeeding twelve (12) month period and the amount, if any, required to be deposited in any special reserve subaccount established within the Subordinated lndebtedness Account. If the amount deposited in any month to the credit of any of the Accounts or subaccounts created under the Bond Resolution shall be less than the amount required to be deposited under the foregoing provisions of this Section, the requirement therefor shall nevertheless be cumulative and the amount of any deficiency in any month shall be added to the amount otherwise required to be deposited in each month thereafter until such time as all such deficiencies have been satisfied. l0 808 Reserve Account Under the Bond Resolution, the City has established the Reserve Account within the Enterprise Fund. The Reserve Account is held for the benefit of all Bonds Outstanding, except (i) for a Series of Bonds that is not secured by the Reserve Account, and (ii) that the Series Resolution for one or more particular Series of Bonds may establish a separate subaccount within the Reserve Account for such particular Series of Bonds and, in such event, such Series of Bonds shall be secured only by the moneys held for the credit of such subaccount and by no other amounts held for the credit of the Reserve Account, and the Bonds Outstanding of any other Series will have no claim whatsoever on the moneys held for the credit of such separate subaccount in the Reserve Account. No separate subaccount is being established within the Reserve Account for the benefit of the Series 2015 Bonds. The Reserve Account Requirement under the Bond Resolution is an amount equal to the lesser of (i) the Maximum Principal and Interest Requirements for all Bonds Outstanding secured by the Reserve Account in the current or any subsequent Fiscal Year, or (ii) the maximum amount allowed to be funded from Bond proceeds under the Code; provided, however, that if the Series Resolution corresponding to a Series of Bonds provides for the establishment of a separate subaccount in the Reserve Account to secure only such Series of Bonds (with such Series of Bonds having no claim on the other moneys deposited to the credit of the Reserve Account), the Reserve Account Requirement for such Series of Bonds shall be calculated as set forth in the corresponding Series Resolution; and provided fuither that, if the Series Resolution corresponding to a Series of Bonds provides that such Series of Bonds shall not be secured by the Reserve Account or any separate subaccount therein, the Reserve Account Requirement shall be calculated without taking into account such Series of Bonds. Upon the issuance of a Series of Bonds, unless funded from the proceeds of such Series of Bonds, the City is required to provide for the funding of the Reserve Account in equal monthly installments over a period of twelve (12) months (the "Reserve Account Deposit Requirement") in an amount equal to the increase in the Reserve Account Requirement resulting from the issuance of such Series of Bonds, unless the Series Resolution for such Series of Bonds establishes a separate subaccount in the Reserve Account to secure only such Series of Bonds (with such Series of Bonds having no claim on the other moneys deposited to the credit of the Reserve Account). If the Reserve Account contains less than the Reserve Account Requirement, then the City is required to make deposits therein from the Enterprise Fund each month (after making deposits to the Debt Service Account), of one-twelfth (lll2) of the deficiency, until the Reserve Account Requirement is met. Moneys held for the credit of the Reserve Account will first be used for the purpose of paying the interest on and the principal of the Bonds which are secured by the Reserve Account whenever and to the extent that the moneys held for the credit of the Bond Service Subaccount shall be insufficient for such purpose and thereafter for the purpose of making deposits to the credit of the Redemption Subaccount in respect of such Bonds whenever and to the extent that withdrawals from the Enterprise Fund are insuflicient for such purposes; provided, however, that moneys held for the credit ofa separate subaccount in the Reserve Account shall be applied to the foregoing purposes and in the foregoing manner, but only for the benefit of the Series of Bonds for which such separate subaccount was established. Unless otherwise specified by a Series Resolution, if the moneys held in the Reserve Account exceed the Reserve Account Requirement, such excess is required to be withdrawn and deposited to the credit of the Enterprise Fund. The Bond Resolution permits the City to provide all or a portion of the Reserve Account Requirement by depositing in the Reserve Account (or any subaccount therein) an insurance policy, surety bond, letter of credit or other acceptable evidence of insurance maintained by the City, in lieu of or in ll 809 partial substitution for cash or securities on deposit in the Reserve Account (or the applicable subaccount therein), covering such amount of the Reserve Account Requirement; provided, however, that the entity providing such facility is, at the time of so providing, of sufficient credit quality to enable debt backed by its facilities to be rated in one of the two highest rating categories (without regard to any gradations within such categories) by Fitch Rating Inc., Standard & Poor's Ratings Services or Moody's lnvestors Service, Inc. In the event that upon the occurrence of any deficiency in the Debt Service Account, the Reserve Account is then funded with one or more Reserve Account Insurance Policies and/or Reserve Account Letters of Credit, the City or the Bond Registrar, as applicable pursuant to the provisions of any such facilities, shall, on the lnterest Payment Date or principal payment date or redemption date to which such deficiency relates, draw upon or cause to be paid under such facilities, on a pro-rata basis thereunder, an amount sufficient to remedy such deficiency, in accordance with the terms and provisions of such facilities and any corresponding reimbursement or other agreement goveming such facilities; provided however, that if at the time of such deficiency the Reserve Account is only partially funded with one or more Reserve Account Insurance Policies and/or Reserve Account Letters of Credit, prior to drawing on such facilities or causing payments to be made thereunder, there shall first be applied any cash and securities on deposit in the Reserve Account to remedy the deficiency and, if after such application a deficiency still exists, the City or the Bond Registrar, as applicable, shall make up the balance of the deficiency by drawing on such facilities or causing payments to be made thereunder, as provided in this paragraph. Notwithstanding anything to the contrary contained in the Bond Resolution, the Series Resolution for a Series of Bonds may provide that such Series of Bonds shall not be secured by the Reserve Account or any subaccount therein and, in such event, such Series of Bonds shall not be secured by the Reserve Account or any subaccount therein and shall not have a claim upon any moneys held for the credit of the Reserve Account or any subaccount therein and such moneys shall not be applied for the benefit of such Series of Bonds. [The City will, on the date of issuance of the Series 2015 Bonds, deposit into the Reserve Account from proceeds of the Series 2015 Bonds an amount equal to the Reserve Account Requirement for the Series 2015 Bonds or, in lieu of such a deposit or anyportion thereof will deposit a Reserve Account lnsurance Policy and/or Reserve Account Letter of Credit.l Rate Covenant The City has covenanted in the Bond Resolution that it will fix, charge and collect reasonable rates and charges for the use of the services and facilities furnished by the Parking System and that from time to time, and as often as it shall appear necessary, it will adjust such rates and charges by increasing or decreasing the same or any selected categories of rates and charges so that the Net Revenues (excluding from the computation of Current Expenses for any Fiscal Year any amount received from any source other than Revenues and applied to the payment of Current Expenses in such Fiscal Year) will be sufficient to provide an amount in each Fiscal Year at least equal to one hundred thirty-five percent (135%) of the Principal and lnterest Requirements on all Bonds then Outstanding for such Fiscal Year and one hundred percent (100%) of all amounts required to be deposited to the Reserve Account (or paid to the provider of a Reserve Account Insurance Policy or Reserve Account Letter of Credit) and Subordinated Indebtedness Account for such Fiscal Year. If in any Fiscal Year the Net Revenues are less than the amount required under the preceding paragraph, within thirty (30) days of the receipt of the audit report for such Fiscal Year (which may be the City's Consolidated Audited Financial Report relating to the Parking System), the City is required to t2 810 employ a Rate Consultant, to review and analyze the financial status and operations of the Parking System, and to submit, within sixty (60) days thereafter, a written report to the City recommending revisions of the rates, fees and charges of the Parking System and the methods of operation of the Parking System that will result in producing the amount so required in the following Fiscal Year. Promptly upon its receipt of such recommendations, the City is required to transmit copies thereof to the City Manager, the Parking Director and the Chief Financial Officer and to revise its rates, fees and charges, or alter its methods of operation and take such other action as will conform with such recommendations. If the City fails to comply with the recommendations of the Rate Consultant, the registered owners of not less than ten percent (10%) in principal amount of all Bonds then Outstanding may institute and prosecute an action or proceeding in any court or before any board or commission having jurisdiction to compel the City to comply with the recommendations and the requirements of the preceding paragraph. If the City complies with all recommendations of the Rate Consultant in respect to its rates, fees, charges and methods of operation, the failure of Net Revenues to meet the rate covenant described above shall not constitute an Event of Default so long as the Revenues, together with available moneys in the Funds and Accounts created under the Bond Resolution, other than the Construction Fund and the Arbitrage Rebate Fund, are sufficient to pay in cash the Current Expenses and to pay the Principal and lnterest Requirements on all Bonds Outstanding under the Bond Resolution and other System Debt for such Fiscal Year. Additional Bonds Additional Bonds of the City may be issued from time to time under and secured by the Bond Resolution, on a parity as to the pledge of the Net Revenues with the Bonds and any Altemative Parity Debt and parity Shot-Term lndebtedness that may be issued and then Outstanding under the Bond Resolution, subject to the conditions described below, for the purpose of paying all or any part of the Cost of any [mprovements and the funding, as necessary, of the Reserve Account. Before any Additional Bonds are permitted to be issued under the Bond Resolution, the City Commission shall adopt a Series Resolution authorizing the issuance of such Additional Bonds and there shall be filed with the City, among other things, the following: (a) a certif,tcate of the Chief Financial Officer, an Accountant or the Rate Consultant demonstrating that either (D (A) the percentage derived by dividing the Net Revenues for any period of twelve (12) consecutive months selected by the City out of the eighteen (18) months preceding the delivery of such certificate by the Maximum Principal and Interest Requirements, including the Principal and Interest Requirements with respect to the Additional Bonds then to be delivered, for any future Fiscal Year is not less than one hundred ten per centum (ll0%\ and (B) the percentage derived by dividing the Net Revenues projected for the Parking System for the Fiscal Year following the Fiscal Year in which the Completion Date of the Improvements to be financed by the Additional Bonds then to be delivered is expected to occur, including the Net Revenues attributable to the lmprovements, as certified by the Rate Consultant, adjusted as permitted below, by the Maximum Principal and lnterest Requirements, including the Principal and Interest Requirements with respect to the Additional Bonds then to be delivered, for any future Fiscal Year is not less then one hundred fifty per centum (150%); or (ii) the percentage derived by dividing the Net Revenues for any period of twelve (12) consecutive months selected by the City out of the eighteen (18) months preceding the delivery of such certificate, by the Maximum Principal and lnterest Requirements, including the Principal and lnterest Requirements with respect to the Additional Bonds then to be delivered, for any future Fiscal Year is not less than one 13 811 hundred fifty per centum (150%) (the period during which Net Revenues are determined being referred to hereinafter as the "Measurement Period"); and (b) if the certificate described in (a)(i) above is being delivered, a certificate of the Rate Consultant setting forth the projected Net Revenues for the Fiscal Year following the Fiscal Year in which the Completion Date of the Improvements to be financed by the Additional Bonds then to be delivered is expected to occur; (c) a certificate of the Chief Financial Officer to the effect that no event of default under the Bond Resolution and no event which with the passage of time, the giving of notice or both would become an event of default, has occurred within the twelve (12) consecutive calendar months prior to the date of such certificate and is continuing, or, if any such event or event of default has occurred and is continuing, that the issuance of such Series of Additional Bonds witt cure the same; and (d) an opinion of the City Attomey or Bond Counsel that the issuance of such Additional Bonds has been duly authorized and that all conditions precedent to the delivery of such Additional Bonds have been fulfilled. ln determining whether to execute and deliver the certificate mentioned in paragraph (a) above, the following adjustments to Net Revenues may be made: (l) If the City, prior to the issuance of the proposed Additional Bonds, shall have increased the rates, fees, rentals or other charges for the services of the Parking System, the Net Revenues for the Measurement Period shall be adjusted to show the Net Revenues which would have been derived from the Parking System in such Measurement Period as if such increased rates, fees, rentals or other charges for the services ofthe Parking System had been in effect during all of such Measurement Period. (2) If the City shall have acquired or has contracted to acquire any privately or publicly owned existing automobile parking facilities, then the Net Revenues derived from the Parking System during the Measurement Period shall be increased by addition to the Net Revenues for the Measurement Period of the Net Revenues which would have been derived from said existing automobile parking facilities as if such existing automobile parking facilities had been a part of the Parking System during the Measurement Period. For the purposes of this paragraph, the Net Revenues derived from said existing automobile parking facilities during the Measurement Period shall be adjusted by deducting the cost of operation and maintenance of said existing automobile parking facilities from the gross revenues of said existing automobile parking facilities in the same Inanner provided in the Bond Resolution for the determination of Net Revenues. (3) If the City, in connection with the issuance of Additional Bonds, shall enter into a contract (with a duration not less than the final maturity of such Additional Bonds) with any public or private entity whereby the City agrees to furnish services in connection with any automobile parking facilities, then the Net Revenues of the Parking System during the Measurement Period shall be increased by the least amount which said public or private entity shall guarantee to pay in any one year for the furnishing of said services by the City, after deducting therefrom the proportion of operating expenses and repair, renewal and replacement cost attributable in such year to such services. Such payments shall be deemed to be Net Revenues of the Parking System and pledged for the Bonds in the same manner as other Net Revenues of the Parking System. t4 812 For a more detailed description of the conditions required to be satisfied in connection with the issuance of Additional Bonds and the effect of issuing such Bonds, see "APPENDX C - The Resolution" and, in particular, Sections 209 of the Bond Resolution. The Series 2015 Bonds are being issued as Additional Bonds. Refunding Bonds Under the provisions of the Bond Resolution, Refunding Bonds of the City may be issued under and secured by the Bond Resolution, on a parity as to the pledge of the Net Revenues with the Bonds and any Altemative Parity Debt and parity Short-Term Indebtedness that may be issued under the Bond Resolution, for the purpose of refunding all or a portion of any Bonds Outstanding of any one or more Series, funding the Reserve Account, if necessary, and paying any expenses in connection with such refunding. Before any Refunding Bonds are permitted to be issued under the Bond Resolution, the City Commission shall adopt a Series Resolution authorizing the issuance of such Refunding Bonds and there shall be filed with the City, among other things, (A) either: (i) a certificate of the Chief Financial Officer that the issuance of the Refunding Bonds will result in a decrease in total Principal and lnterest Requirements for all Bonds Outstanding, or (ii) the certificates required by (a), (b) and (c) under the caption "Additional Bonds" above; provided, however, that with respect to the certificates required by (a)(i) and (b), the projected Net Revenues shall be computed for the Fiscal Year immediately following the issuance of the Refunding Bonds; (B) an opinion relating to the Refunding Bonds required by (d) under the caption "Additional Bonds" above and (C) an opinion of Bond Counsel to the effect that upon the issuance of such Refunding Bonds and the application of the proceeds thereof, the Bonds to be refunded will no longer be deemed to be Outstanding under the Bond Resolution and that the issuance of the Refunding Bonds will not adversely affect the exclusion of interest on any Bonds then Outstanding from gross income for federal income tax purposes. For a more detailed description of the conditions required to be satisfied in connection with the issuance of Refunding Bonds and the effect of issuing such Bonds, see "APPENDIX C - The Resolution" and, in particular, Sections 210 of the Bond Resolution. Limited Liability The City is not obligated to pay the Series 2015 Bonds or the interest thereon except from the Pledged Revenues and neither the faith and credit nor any physical properties of the City are pledged to the payment of the Series 2015 Bonds. The issuance of the Series 2015 Bonds does not directly or indirectly or contingently obligate the City to levy any form of taxation whatever therefor or to make any appropriation for their payment except from the Pledged Revenues. Neither the full faith and credit nor the taxing power of the City, Miami-Dade County, Florida (the "County''), the State of Florida or any political subdivision thereof is pledged to the payment of the Series 2015 Bonds. Other Parity Indebtedness In addition to the issuance of Additional Bonds and Refunding Bonds, the City may issue other obligations on a parity with the Series 2015 Bonds and other Bonds Outstanding under the Bond Resolution as long as such obligations are issued in accordance with the provisions of the Bond Resolution authorizing their issuance as parity indebtedness. Such obligations include the issuance of Convertible Bonds and Alternative Parity Debt that satisff the conditions established in the Bond Resolution for the issuance of t5 813 Additional Bonds or Refunding Bonds. Such obligations also include the issuance of Short-Term lndebtedness without the delivery of the certificates described under the caption "Additional Bonds" above as long as immediately following the issuance of such Short-Term Indebtedness, the outstanding principal amount of all Short-Term Indebtedness does not exceed ten per cent (10%) of the Net Revenues of the Parking System, as shown on the Annual Budget for the current Fiscal Year. For a more detailed description of the other types of indebtedness that may be issued from time to time on a parity with the Series 2015 Bonds and other Bonds Outstanding under the Bond Resolution, in addition to Additional Bonds and Refunding Bonds, and the tests applicable to the issuance of such other types of indebtedness, see "APPENDIX C - The Resolution" and, in particular, Section 211 of the Bond Resolution. Subordinated Indebtedness The City may issue obligations under the Bond Resolution that are secured by the Net Revenues without satisfying the conditions for the issuance of Additional Bonds, Refunding Bonds or Altemative Parity Debt so long as such obligations are issued as Subordinated lndebtedness. Subordinated Indebtedness is payable solely from amounts on deposit in the Subordinated lndebtedness Account. Net Revenues may be deposited in the Subordinated Indebtedness Account only after the deposit of amounts required to be made to the accounts securing the Bonds or Altemative Parity Debt. As a result, the lien on Net Revenues in favor of Subordinated lndebtedness is junior and subordinate to the pledge of and lien on Net Revenues in favor of the Outstanding Bonds, the Series 2015 Bonds and any other Bonds or Altemative Parity Debt issued under the Bond Resolution. Modifications or Supplements to Resolution Except as set forth in the third (3'u) succeeding paragraph below, no supplemental resolution may be adopted by the City Commission for the purpose of modifying, altering, amending, adding to or rescinding, in any particular, any of the terms or provisions of the Bond Resolution or of any resolution supplemental thereto without the consent in writing of the Holders of not less than a majority in aggregate principal amount of the Bonds then Outstanding; provided, however, that no such supplemental resolution shall permit, or be construed as permitting (i) an extension of the maturity of the principal of or the interest on any Bond, (ii) a reduction in the principal amount of any Bond or the redemption premium or the rate ofinterest thereon, (iii) the creation ofa superior or parity pledge or lien to the pledge and lien created by the Bond Resolution, other than as permiued by the Bond Resolution, (iv) a preference or priority of any Bond or Bonds over any other Bond or Bonds, or (v) a reduction in the aggregate principal amount of the Bonds required for consent to such supplemental resolution. The consent of the Holders of any Additional Bonds or Refunding Bonds issued under the Bond Resolution shall be deemed given if the underwriters or initial purchasers for resale consent in writing to such supplemental resolution and the nature of the amendment effected by such supplemental resolution is disclosed in the offrcial statement or other offering document pursuant to which such Additional Bonds or Refunding Bonds are offered and sold to the public. ln addition, for purposes of providing the written consent of the Holders of any Series of Bonds to any supplemental resolution modifring, altering, amending, adding to or rescinding, in any particular, any of the terms or provisions of the Bond Resolution or of any resolution supplemental thereto, to the extent any Series of Bonds is secured by a Credit Facility, so long as the issuer of such Credit Facility shall not be in default in its obligations under such Credit Facility, the consent of the Credit Facility Issuer for such Series of Bonds shall constitute the consent of the Holders of such Bonds. l6 814 Notwithstanding the foregoing, the City may, from time to time, without the consent of the Holders of any Series of Bonds or providers of Credit Facilities, Liquidity Facilities, Reserve Account Insurance Policies or Reserve Account Letters of Credit, amend, change, modify or alter the Bond Resolution for any of the specifically authorized reasons set forth in Sections l00l(a) through (l) of the Bond Resolution. See "APPENDIX C - The Resolution." MUNICIPAL BOND INSURANCE TO COME,IF NEEDED TTIE PARIilNG SYSTEM [THIS SECTION SHALL BE UPDATED, AS NEEDED, AS MORE SPECIFIC INFORMATION IS PROVIDEDI General The Parking System includes all parking facilities made available by the City for public parking of automobiles and other motor vehicles upon payment of a fee or charge for the privilege of parking, whether such facilities are owned by the City, leased by the City as lessor or lessee, or consist of parking spaces on public streets (whether such streets are City streets, County roads or State roads) for which the City lawfully charges a parking fee by meter or otherwise, and any space within such parking facilities which is intended to be used as retail space as of the date of issuance of the Series 2015 Bonds, and shall (i) include the Series 2015 Project, any Improvements and any Separate Parking Facilities consolidated with the Parking System pursuant to the Bond Resolution and (ii) exclude any Separate Parking Facilities not so consolidated with the Parking System. At the time of issuance of the Series 2015 Bonds, the excluded Separate Parking Facilities consist of the three (3) parking facilities located at (i) Seventh Street and Collins Avenue, (ii) Sixteenth Street between Washington Avenue and Collins Avenue and (iii) Fifth Street and Alton Road. In addition to the Separate Parking Facilities described above, the City Commission may by resolution determine to own or operate additional Separate Parking Facilities; provided, however, that prior to the adoption of any such resolution designating any facility as a Separate Parking Facility, there shall be delivered to the City Manager a certificate of the Chief Financial Officer containing such officer's determination that the ownership and operation of such Separate Parking Facility will not have a material adverse impact on the Net Revenues of the Parking System and stating the Chief Financial Officer's reasons for such determination. The City may incur debt to acquire or improve Separate Parking Facilities without compliance with any test or limit contained in the Bond Resolution so long as such debt is payable solely from the revenues generated by such Separate Parking Facilities and the holders ofsuch debt have no recourse and are in no way payable from the Revenues of the Parking System. The revenues, current expenses and debt service associated with the Separate Parking Facilities and any debt of the City incurred therefor shall not be included in Revenues, Current Expenses and Principal and lnterest Requirements under the Bond Resolution. t7 815 Any of the Separate Parking Facilities may be consolidated with the Parking System upon demonstration of compliance with the tests for the incurrence of Additional Bonds contained in the Bond Resolution. In determining such compliance, the revenues and current expenses of the Separate Parking Facility shall be included in computing Net Revenues and the debt service on any debt payable from revenues of such Separate Parking Facility shall be included in Principal and Interest Requirements. [The City's Parking Department (the "Department") is the single largest provider of parking in the City, serving residential, commercial, visitor and tourist parking needs. The Department is comprised of three (3) divisions: administration, on-street parking and off-street parking. The Departrnent manages and operates 66 surface parking lots and 10 garages. There are 17 residential parking permit zones within the City. The Department is also responsible for ensuring that the regulations governing parking within the City are followed and operates a parking enforcement unit for such purpose. Aso|-,2015theParkingSystemconsistedofl3,377parkingspaces.ofthistotal, 8,447 were metered spaces on streets and in off-steet lots and 4,930 were spaces contained in ten (10) garages. Currently, of the ten ( 1 0) garages have metered spaces and _ of the ten ( I 0) garages have an attendant collecting a flat fee at entry. The remaining _ garages have state-of-the-art revenue control systems and collect the rate of $ 1 .75 per hour. The City is in the process of converting the _ garages without state-of-the-art revenue control systems to ticket dispenser, card reader and cashier operations.l Organization The City exercises exclusive jurisdiction, control and supervision over the Parking System. The City Commission has the legal authority to fix rates, fees and charges, and to acquire, construct, finance and operate the Parking System and any additions thereto, without supervision or regulation by the County or the State or any other political subdivision thereof, or by any other commission, board, bureau or agency. The City uses the concept of private sector expertise with public sector oversight. The City has a parking management team consisting of an Assistant Director, an Operations (Project) Manager, and seven (7) parking operations supervisors, all of whom are employees of the City. The City has competitively bid for contract services, including, but not limited to cashiers, attendants, supervisors, security services, janitorial services and landscaping services, with the objective being to obtain the best value for such contract services at the lowest cost. The City manages and operates all municipal parking facilities by retaining all operating controls. All contracts are based on a unit price - either through an hourly rate or set unit price - and all contracts may be terminated at the convenience of the City, with thirty (30) days' prior notice. Contractors are not entitled to terminate their contracts. Other services that have been successfully outsourced include parking meter collections and towing. The Department is managed by the City Manager, the Assistant City Manager in charge of the Department, the Chief Financial Officer, the Director and the Assistant Director of the Department. In addition to overseeing the office of the Assistant Director, the Director of the Department specifically manages the Department's finances, revenue collections, purchasing and payroll matters. He also specifically oversees the Department's human resources, labor relations, organizational development, customer relations, public information, meter rentals, sales and marketing activities. The Assistant Director of the Department specifically manages all (i) aspects of (a) on-street parking operations, including meter installations, repairs, maintenance and collections, and (b) off-street parking operations, including issues relating to safety, cleanliness and affordable service; (ii) matters relating to (a) enforcement of parking rules and regulations and traffic flow and (b) private contracts to provide services for the Parking System; and l8 816 (iii) parking-related sign installations, maintenance and removals, light maintenance, painting, striping and pressure cleaning. In addition to being in charge of the Department, the Assistant City Manager overseeing the Department is also responsible for the following departments of the City: Transportation, Traffic Management, Tourism, Culture and Real Estate, Housing and Community Development and Education. On September 10, 2015 the Chief Financial Officer and the Assistant Finance Director for the City resigned from their respective positions. The Chief Financial Officer had served in her position for eighteen ( 1 8) years and the Assistant Finance Director had been an employee of the City for seventeen ( I 7) years. No explanations were provided by either employee in connection with the submittal of their resignations. However, the City Manager has stated that his decision to accept their resignations had nothing to do with the performance of the City's Finance Department nor the financial status of the City. Each position has been filled by the City Manager's appointment of experienced City employees who will serve in the position of Interim Chief Financial Officer and Interim Assistant Finance Director, respectively, until permanent replacements axe selected. Set forth below is a description of the management officials of the City who are responsible for the operation of the Parking System: Jimmy L. Morales, Esq., City Manager. Mr. Morales was appointed City Manager for the City of Miami Beach, Florida in April20l3. Prior to accepting his position as City Manager, Mr. Morales was a shareholder and member of the Board of Directors of the law firm, Steams Weaver Miller Weissler Alhadeff & Sitterson, P.A. from 2000-2013. Mr Morales also served as City Attomey for the City of Doral, Florida from2009-2013 and as City Attomey for the City of Marathon, Florida from 2005-2009. ln addition, Mr. Morales served as a member of the Board of County Commissioners of Miami-Dade County, Florida from1996-2004. He has received numerous professional awards, honors and recognitions, including the Greater Miami Chamber of Commerce Bill Colson Leadership Award for Outstanding Leadership and Superior Ability in 2000, the SAVE Dade Champion of Equality award in 2006, and induction into the Miami Beach High School Hall of Fame in 2004. He was selected as one of the Top Lawyers in South Florida by the South Florida Legal Guide in 2008-2009 and 20ll and as one of the Florida Super Lawyers in 2006-2010. Mr. Morales received his Bachelor of Arts, Magna Cum Laude, from Harvard University and his Juris Doctorate, Magna Cum Laude, from Harvard Law School. John Woodruff, Interim Chief Financial Officer. Mr. Woodruff was appointed Lrterim Chief Financial Officer for the City of Miami Beach, Florida in September 2015. Prior to accepting his position as lnterim Chief Financial Officer, Mr. Woodruff served as Director of the Office of Budget and Performance Improvement for the City from June 2013 to September 2015. Prior to joining the City, Mr. Woodruff served as co-owrer of Panama Realtor Property Management Services from August 2012 to June 2013. He also served in various capacities for Pinellas County, Florida, including serving as Director of the Pinellas County Office of Management and Budget from April 2007 to luly 2012 and as a Manager in such office from April2002 to April 2007. Prior to employment in Florida, Mr. Woodruff served in various positions for the City of San Antonio, Texas, including serving as a Senior Budget and Management Analyst in the Office of Management and Budget for the City of San Antonio from February 2000 to April 2002 and as a Budget and Management Analyst in such office from January 1998 to February 2000. He also intemed with the U.S. Departrnent of Commerce, the lntemational Affairs Department for the City of San Antonio and the Mayor's Office for the City of San Antonio. Mr. Woodruff received a Masters in Business Administration, in Intemational Business, from the University of Texas at San Antonio and a Bachelor of Arts in History from the University of Texas at Austin. 19 817 Kathie G. Brooks, Assistant City Manager. Ms. Brooks was appointed an Assistant City Manager for the City of Miami Beach, Florida in April 2013 and served the City as its interim City Manager from July 2012 to April 201 3. Prior to accepting her position in the office of the City Manager, Ms. Brooks served as the City's Budget and Performance Improvement Director from 2004-2012. Pi,'or to joining the City, Ms. Brooks served in various capacities and senior level positions for Miami-Dade County, Florida for two decades, including in the Miami-Dade CountyBudget Departrnent from2003-2004, the Miami-Dade County Manager's Office of Performance Improvement from 2001-2003, the Miami-Dade County Solid Waste Department from 1989-2001 and in the Miami-Dade County Transit Department from 1984-1989. Prior to her service in government, Ms. Brooks was a transportation planner for the firm of Schimpeler Corradino and Associates from 1980-1983. Ms. Brooks received her Bachelor and Master of Arts in Geography from the University of Miami. Saul Frances, Parking Director. Mr. Frances was appointed Parking Director for the City of Miami Beach, Florida in October 2000. Prior to such appointment, Mr. Frances served as Assistant Parking Director for the City from December 1993 to October 2000. Prior to joining the City, Mr Frances served as Director of Planning and Development for the City of Miami Parking System from April 1987 to December 1993. Mr. Frances has received several professional awards, honors and recognitions. He has been designated a Certified Administrator of Public Parking by the International Parking Institute and is also a Certified Parking Enforcement Specialist in the State of Florida. Mr. Frances received his Bachelor of Science in Business Administration from Florida Intemational University. Monica Beltran, Assistant Parking Director. Monica Beltran was appointed Assistant Parking Director for the City of Miami Beach, Florida in December 2014. Prior to joining the City, Ms. Beltran served in various capacities with the Miami-Dade County Aviation Department in a career that spanned over thirty-five (35) years. During her tenure with County government, Ms. Beltran served as Landside Operations Supervisor from 1987 -2006 and as Director of Landside Operations from 2006-2014. Ms. Beltran also served as the American with Disabilities Act Coordinator for the Miami Intemational Airport. Ms. Beltran received her Bachelor of Arts in French and Spanish and her Master in Public Administration from Florida Intemational University. Operations Parking meters are the main collection devices for the Parking System and a major portion of the Revenues collected annually is received from Parking System meter operations. Any on-street and off- street parking spaces that are currently operated with a single space parking meter and not scheduled to be converted to multi-space pay stations will be upgraded with new single space meters, including a new "In- car Meter" option, known as "iPark." An iPark is a device that can be preloaded and reloaded with a value of time that may be purchased via telephone or on-line. All functions of the device can be accomplished remotely from the comfort of the user's home or vehicle. In addition, monthly parking permits, with respect to off-street parking, and semi-annual and annual parking permits, with respect to ovemight on-sfreet parking for residents, provide permit holders identification emblems to park within designated parking locations. A limited number of spaces are also leased to private organizations, provided such an arrangement is legally permissibte and practical, from a financial and operational perspective. Collections for most of the meters of the Parking System are conducted on a rotating, five-day basis by a private contractor retained by the City. However, the most active meters are collected more frequently. Collections involve scheduling of routes, removing the meter coin boxes, which remain locked upon removal, and depositing contents into a larger locked container for transport. The containers are then 20 818 transferred to a secure central site, which offers the capability of close supervision, before they are unlocked. The collections are then counted and delivered to the Parking System's bank depository. ln a continuing effort to strengthen monetary controls, a modern, automated coin counting operation has been established. The standard hours of parking enforcement are from 8:00 a.m. to either 6:00 p.m. or midnight, depending on location, daily. Parking Rates Historical debt service coverage for the Parking System has been at ample levels, which has allowed the City to fund several projects from revenues of the Parking System. One notable example of the strength of revenues of the Parking System historically is the City Hall Garage ("CHG") located on Meridian Avenue and lTth Street. The CHG supports the City Center area of the City and was fully funded without debt. Construction of the CHG was funded with impact fees, excess Net Revenues and funds provided by the Miami Beach Redevelopment Agency. An internal review of the Parking System's rates is conducted annually as a component of the Department's budget process. Rates of the Parking System are reviewed from various perspectives, including, without limitation: (1) Revenues versus Current Expenses and the overall financial position of the Enterprise Fund; (2) local private and public sector rates; and (3) other communities with similar economic generators and land uses. If the intemal review warrants further examination, a rate analysis is conducted by a reputable and nationally recognized firm, which is typically, an engineering firm with experience as a parking consultant. The firm's recommendations are analyzed by City staffand thereafter, provided to the City Commission. The last increase in rates of the Parking System occurred in Fiscal Year 2012, when the hourly meter rate was increased from $1.50 to $1.75 in the South Beach area of the City. Additionally, the Parking System receives parking fine revenue from the Miami-Dade County Clerk of Courts, the entity that performs all processing, collection and adjudication of parking fines for all jurisdictions in the County. The City receives two-thirds (213) and the State receives one-third (l/3) of all revenues collected for parking fines assessed within the City. On-Street Meters: The rates at on-street meters are $1.00 per hour in the Middle and North Beach areas of the City and $1.75 per hour in the South Beach area of the City. Similarly, time limits at the meters range from one (l) hour to twelve (12) hours, depending on rate and location. ln general, the short- term meters are located to serve customers of nearby businesses and promote turnover of the parking spaces, while the longer-term meters serve employees and visitors to some beach areas. Parkins Lots: The rates at metered parking lots are $1.00 per hour north of 23'd Street and $1.50 per hour south of 23'd Street. The lower rates are usually at the long-term lots and the higher rates at the short-term lots. Generally, when lots are used for special events, a flat rate of $15.00 per vehicle is charged upon entry. Parking lots have both transient revenues and monthly permit parking revenues. Monthly parking revenues are at the rate of $70.00 per month, plus tax, for all municipal parking lots. Garages: The l2'h Street and l3'h Street Municipal Parking Garages charge for parking at the rate of $1.00 per hour or any part thereof, up to fifteen (15) hours. A maximum rate of $20.00 per 24-hour maximum is charged. The 4Td Street Garage charges $1.00 per hour up to twenty-fow Q$ hours, with a maximum of $8.00 for the entire day. The l7'h Street Garage charges $1.00 per hour for up to six (6) hours, $8.00 for six (6) hours to seven (7) hours, $10.00 for seven (7) hours to eight (8) hours, $15.00 for eight (8) hours to fifteen (15) hours and $20.00 for fifteen (15) hours to twenty (20) hours. Monthly 2t 819 parking revenues are at the rate of $70.00 per month, plus tax, for all garages. [Rates charged generally for other garages will be provided by the City.l Storage in municipal parking garages is prohibited. Current Developments The current capital budget plan approved by the City for the Parking System includes funding for parking garage expansions, construction of new parking garages, surface lot improvements and technology enhancements. The City engaged Walker Parking Consultants, lnc. ("Walker Parking Consultants"), a nationally recognized consulting firm, to perform a parking supply and demand analysis for the three (3) major geographic areas of the City (South Beach, Middle Beach and North Beach) to plan for anticipated growth within the City. Walker Parking Consultants performed a citywide analysis in 2003, which is still being used to identiff priority areas and sites for parking development and/or enhancements. The City is currently in the process of developing the Collins Park Garage, located on 23'd Street and Liberty Avenue. Architectural and engineering services were awarded to Zaha Hadid Architects. The new garage is expected to be a multi-level structure with 470 parking spaces and 17,000 square feet of retail space on the ground floor. Construction of the Collins Avenue Garage is scheduled to commence soon, with construction anticipated to be completed by the end of Fiscal Year 2016 or early in Fiscal Year 2017. In addition to its development of new parking facilities, the City has several initiatives that were recently developed or are in the process of being developed to increase mobility for residents and visitors of the City. Such initiatives help to reduce the pressure to access limited parking resources in ceratin areas of the City and during peak hours of demand. The initiatives include: (i) Citibike, formerly known as "Deco Bike," which is a point to point, self-service bicycle sharing program that allows users to rent bicycles at their discretion at kiosks throughout the City, and (ii) Car2Go, which is a car sharing service providing for car rentals in a manner similar to the bicycle rentals facilitated by Citibike. The City is also conducting a pilot program for the installation of electric vehicle charging stations within one of its current parking garages. The City recently implemented the first fully integrated license plate enabled parking payment platforms in the country. The platforms include: (i) payment for parking by license plate at multi-space pay stations (currently 750 units throughout the City); (ii) ParkMobile pay by phone services; (iii) commercial and residential virnral parking permits; and (iv) LPR (License Plate Recognition) enabled mobile and handheld enforcement devices. Future Plans for Parking Projects The City approved the Proposed Fiscal Years 20l4ll5 - 20l8ll9 Capital Improvement PIan and Fiscal Years 20l4ll5 Capital Budget (the "CIP") on December 2,2014. The CIP includes capital projects designed to upgrade and enhance the Parking System. The CIP contemplates funding for parking garage improvements, construction of new parking garages, surface lot maintenance and improvements and technology enhancements. Parking structures are contemplated for the North Beach and Middle Beach areas of the City. Municipal Parking Lot No. P55, located on Collins Avenue and 27h Street, has been preliminarily identified as a suitable location for a multiJevel parking structure as well. The City owns the land at this site and is considering it for future development to increase access to parking in the area. Except for issuance ofthe Series 2015 Bonds to finance the Series 2015 Project, no issuance of Bonds is currently planned to finance the projects in the CIP. Future development of parking facilities by the City will be determined based on demand, by location, and identification of available funding sources. 22 820 As a result, funding for the development of future Parking System projects may involve the issuance of obligations secured by Net Revenues. However, such issuance would be required to comply with the provisions of the Bond Resolution. See "SECURITY AND SOURCES OF PAYMENT" herein. Reference is made to the CIP for more specific information conceming the various improvements currently planned for the Parking System, the time period provided for the implementation of such improvements and the sources of funding anticipated to be utilized to acquire, construct and install such improvements. A copy of the CIP is available on the website for the City at rvrvrv.miamibeachfl.qov. Parking System Covenants The Bond Resolution contains the following covenants of the City: Construction of Proiect and Improvements; Operation o-f Parkins SJ)stem. The City covenants that it will construct the Project and all other Improvements for the construction or acquisition of which Bonds or other System Debt shall be issued under the provisions of the Bond Resolution, or for which moneys repayable from the proceeds of Bonds or other System Debt issued under the provisions of the Bond Resolution shall have been advanced to the City, in accordance with the plans theretofore approved by the Consulting Engineers and that, upon the completion of the Project or any such other Improvements, it will operate and maintain the same as a part of the Parking System. Any contract with any person for the construction of all or a portion of the Project or any other Improvements shall provide for such performance and payment bonds or security in lieu thereof and for such ratings as shall be in compliance with the laws of the State of Florida and the normally established practices of the City from time to time in effect. The City further covenants that it will establish and enforce reasonable rules and regulations governing the use of the Parking System and the operations thereof, that all compensation, salaries, fees and wages paid by it in connection with the maintenance, repair and operation of the Parking System will be reasonable, that it will operate the Parking System in an efficient and economical manner, that it will at all times maintain the Parking System or any part thereof in good repair and in sound operating condition and will make all necessary repairs, renewals and replacements, that it will duly observe and comply with all valid requirements of any municipal or governmental authority relative to the Parking System, that, except as permitted by the Bond Resolution, the City will not create or suffer to be created any lien or charge upon the Parking System or any part thereof or upon the Net Revenues ranking equally with or prior to the Bonds, and that, out of the Net Revenues, it will pay or cause to be discharged, within sixty (60) days after the same shall accrue, all lawful claims and demands for labor, materials, supplies or other objects which, if unpaid, might by law become a lien upon the Parking System or any part thereof or upon the Revenues; provided, however, that nothing contained in this paragraph shall require the City to pay or cause to be discharged, or make provision for, any such lien or charge so long as the validity thereofshall be contested in good faith and by appropriate legal proceedings. No Free Parkins. To the extent permitted by law, the City will not permit free parking or services to be supplied by the Parking System, except that (i) the City Commission, officers and employees may use facilities of the Parking System free of charge only while on official City business, (ii) the City may establish the hours during which meter charges shall be applicable and (iii) the City may permit free parking during hours when the volume of parking business does not justify the expense of collecting parking charges. Enforcement qf Collections. The City will diligently enforce and collect, or cause to be enforced and collected, the rates, fees and other charges for the use of the Parking System, will take, or cause to be 23 821 taken, all steps, actions and proceedings for the enforcement and collection ofsuch rates, fees and charges to the fulI extent permitted or authorized by law, and will maintain accurate records with respect thereto. All such rates, fees, charges and revenues pledged under the Bond Resolution shall, as collected, be held in trust to be applied as provided in the Bond Resolution and not otherwise. Manasement bv Others of the Parkins System. All or any part of the Parking System may be managed by independent managers or operators or by any authority created by the City for such purpose under such provisions as are acceptable to the City Commission; provided, however, that prior to the approval of any such management arrangement, there shall be delivered to the City Manager (i) a certificate of the Chief Financial Officer containing the Chief Financial Officer's determination that such management arrangements will not have a material adverse impact on the Net Revenues of the Parking System and stating the Chief Financial Officer's reasons for such determination and (ii) an opinion of Bond Counsel to the effect that such management arrangement will have no adverse impact on the exclusion of interest on any of the Bonds or other System Debt from gross income for federal income tax purposes. Any and all financial considerations received by the City by reason of such management arrangement shall be regarded as Revenues for purposes of the Bond Resolution. Sale or Other Disposition of the Parkinq Svstem. Except as otherwise provided in the Bond Resolution, the City shall not sell, lease or otherwise dispose of all or any part of the Parking System. (a) To the extent permitted by law, the City, without restriction, may in any Fiscal Year sell, lease or otherwise dispose of assets forming a part of the Parking System, the aggregate value of which in each such Fiscal Year does not exceed the lesser of $1,000,000 or one half of one per centum (ll2 of l%) of the book value of the net property, plant and equipment of the Parking System, as shown on the Financial Statements for the latest Fiscal Year for which such Financial Statements are available. (b) To the extent permitted by law, the City may in any Fiscal Year sell, lease or otherwise dispose of assets forming a part of the Parking System in excess of the amount set forth in clause (a) above if, before any such transfer, there is delivered to the City Manager a report of the Consulting Engineers or Rate Consultant demonstrating that the sale, lease or other disposition of such property will not have a material adverse impact on the Net Revenues and stating such consultant's reasons therefor. In determining whether to render such report, the Consulting Engineers or the Rate Consultant shall consider the usefulness of the assets to be disposed of to the operations of the Parking System, the uses to be made of any proceeds of a sale and the rental income to be received with respect to any lease thereof. (c) To the extent permiued by law, the City may in any Fiscal Year sell, lease or otherwise dispose of any assets forming a part of the Parking System, without regard to the limitations and conditions in clauses (a) and (b) above, if the City Commission by resolution declares that such assets are not needed or serve no useful purpose in connection with the maintenance and operation of the Parking System. The proceeds of any disposition pursuant to immediately preceding subparagraphs (a), (b) or (c) above shall be applied as described in "SECURITY AND SOURCES OF PAYMENT - Flow of Funds" herein or to the defeasance of Bonds pursuant to the Bond Resolution. (d) To the extent permitted by law, the City may sell, lease or otherwise dispose of the assets of the entire Parking System if, upon application of the proceeds of any such disposition as hereinafter described, there shall be no Bonds deemed to be Outstanding under the provisions 24 822 of the Bond Resolution and the City shall have paid or made full provision for the payment of all other obligations of the City payable from the Revenues of the Parking System, including but not limited to, Current Expenses then due and payable or to become due and payable, and all other System Debt payable in any way from the Revenues of the Parking System and all fees then due and owing or to become due in the future with respect to Credit Facilities. The proceeds of any sale, lease or other disposition permitted by this clause (d) shall be applied first to the payment or provision for payment of the obligations, including the Bonds, set forth above, and only after all such obligations shall have been paid or full provision for their payment been made, shall the City apply any of such proceeds to any other lawful purpose of the City. No sale, lease or any other disposition of assets of the Parking System pursuant to immediately preceding subparagraphs (a) through (d) above shall be consunmated, nor shall the proceeds ofany such disposition be applied, unless prior to such consummation or application there shall be delivered an opinion of Bond Counsel to the effect that such disposition and the application of the proceeds as described in such immediately preceding subparagraphs will have no adverse impact on the exclusion of interest on any of the Bonds or other System Debt from gross income for federal income tax purposes. The Bond Resolution provides that without complying with the above provisions but subject to compliance with the rate covenant and the tax covenants contained in the Bond Resolution, to the extent permitted by law, the City may permit at such rates as the City shall deem reasonable (i) the exclusive use of parking lots or structures, or any portion thereof, which are part of the Parking System in connection with special events or occasions for periods of no more than one (l) week, including renewals; (ii) the exclusive use of spaces in parking lots or structures which are part of the Parking System by individuals who are members of the general public for periods of no more than one (l) month (however, such use may be renewed for successive periods of no more than one (l) month each); (iii) the exclusive use of parking lots or structures, or any portion thereof, which are part of the Parking System during periods (e.g., at night) when there is little or no reasonably expected demand for use of such lots or structures by members of the general public and when such exclusive use for such periods will not prevent any foreseeable use of such lots or structures by members of the general public; or (iv) the rental of retail space within parking structures that are part of the Parking System and intended, upon initial acquisition or construction by the City of such structures, to be used as retail space. The income from such use as described in this paragraph shall be deposited in the Enterprise Fund and applied as described in "SECURITY AND SOURCES OF PAYMENT - Flow of Funds" herein. Summary Statement of Revenues and Expenses A summary of historical and current comparative financial information of the Enterprise Fund is presented below. [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] 25 823 STATEMENT OF REVENUES, EXPENSES AND CHANGES IN NET ASSETS OF THE ENTERPRISE FUND Fiscal Year Ended September 30. Nine Month July I Total Period Ended through (Unaudited) Iune 30, September 30, and(Unaudited) (Budeet) (Budget) 2013(tl Operating revenues: Charges for services $ 34,876,171 S 36,821,147 $ 38,600,651 Permits, rentals, and other 5,231,823 5,521,507 1,702,093 Total operating revenues 40,107,994 42,342,654 40,302,744 Operating expenses: Personal services Operating supplies Contrachral services Utilities Insurance Intemal services charges Depreciation Administrative fees Amortization(r) Other operating Total operating expenses Operating income (loss) Non-operating revenues (expenses): Intergovemmental revenues Interest and fiscal charges Gain on disposition of capital assets Unrealized gains (losses) on investments Interest income Total non-operating revenues (expenses) Income (loss) before transfers and capital contributions Capital Contributions Transfers in Transfers out Change in net position Net position - beginning Net position - ending 23,878 14,188 (103,764t (302,070) 3,277,5s4 tt,487 ,990 -0- 3,468,295 (8,264,833) 6,69t,452 t40,794,267 $llL!![U $-tl!Jr1.337 $llz4l3) $14J4t.r82) $1_13161,8_12 Source: Comprehensive Annual Financial Report of the City of Miami Beach, Florida for Fiscal Years ended September 30, 2011 through September 30,2014. Source: City of Miami Beach, Florida, Department of Finance. Represents actual totals for the period indicated. As a result of the implementation of GASB 67, beginning in Fiscal Year 2014, amortization expenses are included with interest expenses and fiscal charges. 201l(t)2012(') 9,952.848 10,342,637 252,28t 225,343 6,220,925 6,363,160 999,985 969,466 271,253 t52,791 2,996,270 3,372,560 3,254,856 3,181,804 3,270,868 3,147,440 24,794 t3,240 323,094 435,036 27.567,174 28,203,477 12,540,820 t4,t39,177 -0- -0- (77 t,se4) (815,935) -0- -0- 643,952 499,677 12,437,056 13,837,107 24s,834 (4,8tt,624) 374,837 4,970,954 (5,363,864) (8,652,304) 7,693,863 5,344,t33 127,756,271 135,450,134 $l_31t5!.r34 $!!u.2.!@- 9,704,448 207,870 7,013,483 t,770,790 48,298 4,459,650 4,977,984 3,425,000 20,780 464,005 32,092,308 8,2t0,436 3,5t9,248 (750,090) 16,440 (9,22r) 501,t77 20t44\ $ 38,483,390 t,565923 40,049,313 11,591,813 56,823 8,107,560 1,728,924 217,s38 3,375,776 6,9t7,62t 1,863,000 -0- 2,308,523 36,t67,578 3,88 I ,735 2,973,729 (666,3 ss) 27,438 18,066 4t7,423 2,770,30t 6,652,036 (5 17,53 8) 4,627,530 (9,010.1 59) t,75t,869 147,003,468 20ls?l $ 30,s23,r37 I,498,288 32,02t,425 8,944,155 t93,124 5,564,467 t,472,t50 118,184 2,450,047 4,866,54t 1,308,751 -0- 1.838,1 53 26,755,572 5,265.853 t,59t,092 (986,653) 35,r44 2,898 179,390 821 ,871 6,087,724 (164,374) r77,007 (7,345,500) (1,245,143) 2015Q) s 9,668,863 523,7 t2 10,192,575 4,310,845 4,276 4,388, l 33 356,850 34,816 913,953 t,632,459 436,249 -0- 607.847 t2,685,428 (2,492,853) 1,3 10,908 (460,347) -0- -0- 67,6t0 9 18, 171 (t,s74,682) -0- -0- (2,470,s00). (4,045,182) 20l5Ql $ 40.192,000 2,022,000 42,2t4,000 13,255,000 t97,400 9,9s2,600 1,829,000 153,000 3,364,000 6,499,000 1,745,000 -0- 2,446,000 39,441,000 2,773,000 2,902,000 ( 1,447,000) 35,144 2,898 247,000 t,740,042 4,5t3,042 (164,374) 177,007 (9.816,000) (5,290,32s) t48,755,337 (l) (2) (3) 26 824 HISTORICAL NET REVENUES, DEBT SERVICE AND DEBT SERVICE COVERAGE General The information in the following table sets forth the historical revenues, expenditures and debt service coverage of the Parking System. Fiscal Year Ended September 30. 201l(')2012t') Revenues(') Current Expenses(n) Net Revenues Available for Debt Service Debt Service(') Debt Service Coverage Ratio $40,7 51,946 $42,842,331 21,016,656 21,960,993 19,735,290 20,991,339 3,789,417 4,030,601 5.21x 5.21x 2014(t)2015(2\ $40,466,736 $42,461,000 27,386,957 31,187,000 4!1"' $40,803,921 23,668,544 17,135,377 13,079,779 11,274,000 4,022,564 4.26x 4,026,993 4,022,s72 3.25x 2.80x (l) Source: Comprehensive Annual Financial Report of the City of Miami Beach, Florida for Fiscal Years ended September 30, 2010 through September 30,2014.(2) Source: City of Miami Beach, Florida, Department of Finance, based on actual totals for the nine month period ended June 30, 2015 (unaudited) and amounts budgeted for the period ended July 1,2015 through September 30, 2015. (3) Revenues include operating revenues and non-operating interest income.(4) Current Expenses do not include interest, depreciation, amortization or administrative fees. (5) Represents Principal and Interest Requirements on the Outstanding Bonds, plus debt service on any other System Debt. Upon issuance of the Series 2015 Bonds, the only other System Debt Outstanding will be the Outstanding Bonds. See "HISTORICAL NET REVENUES, DEBT SERVICE AND DEBT SERVICE COVERAGE - Management Discussion of Parking System" and "DEBT SERVICE SCHEDULE' herein. Management Discussion of Parking System [ADDITIONAL INFORMATION FOR THIS SECTION, AS NEEDED, TO BE PROVIDED BY THE CITYI The Enterprise Fund had a change in net position for Fiscal Year 2014 of $ 1.8 million. Operating revenues of the Parking System decreased by $253,43 I or O.60/o and operating expenses increased by $a. I million or 12.7o/o from Fiscal Year 2013. Net non-operating revenues were $2.7 million and consisted of $666,355 in interest and fiscal charges, $27,438 in gain on disposal ofcapital assets, $18,066 in unrealized gain on investments and $417,423 in interest income. For Fiscal Year 2014 $3.0 million in intergovemmental revenues were received as the City's share in parking ticket revenue from the County. lntergovemmental revenues decreased by $545,519 or 15.5o/o from Fiscal Year 2013. The decrease in revenues were, in part, the result of construction related projects that occupied many parking areas. 27 825 In the past the City has executed loan agreements with the City of Gulf Breeze, Florida Local Government Pool to borrow funds for various purposes. Repayment of the portion of the $22,445,000 Gulf Breeze Note, Series 1985C which was used to finance costs related to the construction of a parking garage was allocated to the Enterprise Fund. The principal of such Note was required to be repaid in fourteen (14) annual installments, commencing December 1,2002, with interest paid semiannually. As of September 30, 2014, the outstanding amount of the Gulf Breeze Note payable from the Enterprise Fund was $1,494,728. Such amount is expected to be paid in full prior to the issuance of the Series 2015 Bonds. [REMAINDEROF PAGE INTENTIONALLY LEFT BLANK] 28 826 DEBT SERVICE SCHEDULE Set forth below are the debt service requirements of the Series 2015 Bonds, all other Bonds Outstanding upon issuance of the Series 2015 Bonds and the total combined debt service on all Bonds Outstanding immediately following issuance of the Series 2015 Bonds. Fiscal Year Ending September 30 20t6 2017 201 8 20t9 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 2040 2041 2042 2043 2044 2045 Total Series 2015 Bonds Total Series 2015 Bonds Outstanding and Outstanding Principal $ Interest S Total Bonds $ 3,243,462.50 3,244,862.s0 3,239,t12.50 3,245,5t2.50 3,244,112.50 3,242,862.50 3,132,362.50 2,230,762.50 2,231,162.50 2,233,662.50 2,234,018.76 2,233,375.00 2,230,418.76 2,230,150.00 2,232,337.50 2,231,750.00 2,233,250.00 2,231,250.00 2,230,750.00 2,23 I,500.00 2,233,250.00 2,230,750.00 2,234,000.00 2,232,500.00 2,231,250.00 -0- -0- -0- -0- -0- s:$: 29 $: $62J-68.425.U 827 THE CITY General The City is located on a barrier island surrounded by the Atlantic Ocean to the east and Biscayne Bay to the west. The City comprises seven (7) square miles of land area and ten (10) square miles of Biscayne Bay. The City is connected to the mainland by four (4) causeways. The climate of the City is tropical, with an average annual temperature of 75 degrees Fahrenheit, 24 degrees Celsius. The City is the home of the Art Deco Historic District, consisting of one of the greatest concentrations of Art Deco architecture in the United States. Within the Art Deco Historic District is the world famous Ocean Drive, which has been called the "Riviera" of Florida. The economy of the area is based on tourism. For Fiscal Year 2014, hotel, food and beverage sales accounted for an estimated$2.2 billion in sales within the City. City Government The City was incorporated as a municipal corporation on March 26,1915. The City operates under a Commissionlcity Manager form of govemment. The City Commission consists of the Mayor and six (6) Commissioners who serve as the policy-making body of the City. Authority is vested in the City Commission to enact ordinances, hold public hearings, approve contracts, establish the City's budget and tax assessments, and authorize construction of all public improvements. The Mayor and City Commission are elected on a citywide, nonpartisan basis. Elections are held in odd numbered years, with the Mayor elected to serve two-year terms with a limit of three (3) consecutive terms. Commissioners are elected to serve four-year terms with a limit of two (2) consecutive terms. City Commission terms are staggered so that not all Commissioners are up for re-election at the same time. On a rotating basis, the City Commission selects one (1) of its members to serve as Vice Mayor for a three- month term. The Mayor, who is the presiding officer at City Commission meetings, may vote on all matters that come before the City Commission, but has no power of veto. The City Commission appoints the City Manager, the City Attomey and the City Clerk. All other department heads are appointed by the City Manager, with the consent of the City Commission. Philip Levine serves as the Mayor of the City. Mayor Levine was elected as Mayor on November 5,2013 and his current term of office will expire in November 2015. Set forth below is a list which contains the current members of the City Commission and the expiration of their respective terms of office: Miami Beach, Florida City Commission CiW Commission Members Edward L. Tobin, Vice Mayor Michael Grieco Joy Malakoff Micky Steinberg Deede Weithorn Jonah Wolfson Date Term Ends November 2015 November 2017 November 2017 November 2017 November 2015 November 2015 30 828 The next general election of the Citywill be held on November 3,2015. The Mayor is running against a single opponent in the upcoming election, as are two (2) of the three (3) City Commissioners. No City Commissioner whose term is expiring in November 2015 is running for reelection. In addition, if noone running for the seat that has more than two (2) candidates on the ballot receives more than fifty percent (50%) of the votes cast in the general election, a run-off election will be held to determine the winner of that race. If required, the run-off election will be held on November 17,2015. The results of the election are expected to be certified by the current Mayor and City Commission in a meeting to be held sometime after the general election or, if a run-off election is held, after the run-off election. The current Mayor and City Commission are expected to serve until newly elected members have been seated. For more detailed information relating to the City, see "APPENDX A - General lnformation and Economic Data Regarding the City of Miami Beach, Florida and Miami-Dade County, Florida." PENSION AIID OTHERPOST EMPLOYMENT BENEFITS Defined Benefit Plans The City provides separate defined benefit pension plans for general employees of the City and for the City's police and fire department personnel. Emplovees' Retirement Plan Plan Description All full-time employees of the City who work more than thirty (30) hours per week and hold classified and unclassified positions, except for policemen and firemen and persons who elected to join the defined contribution retirement plan sponsored by the City, are covered by the Miami Beach Employees' Retirement Plan (the "Employee Plan"). A classified employee and/or an unclassified employee is any person employed by the City on a regular basis who receives compensation from the City for personal services and who is within a group or classification of employees designated by the Board of Trustees of the Employee Plan as eligible for membership in the Employee Plan. The Employee Plan is a single employer defined benefit pension plan that was established by the City Commission under Ordinance number 2006-3504. Effective on March 18, 2006, the Employee Plan was created under and by the authority of Chapter 18691, Laws of Florida, Act of 1937 , as amended, by merging the Retirement System for General Employees of the City of Miami Beach, created by the City Commission pursuant to Ordinance number 1901, with the Retirement System for Unclassified Employees and Elected Officials of the City of Miami Beach, created by the City Commission pursuant to Ordinance number 88-2603, as amended. All full-time classified and unclassified employees of the City, except those who joined the City's defined contribution plan, must participate in the Employee Plan. See "PENSION AND OTHER POST EMPLOYMENT BENEFITS - Other Retirement and Compensation Plans" herein. Membership in the Employee Plan consisted of the following as of October 1,2013, the date of the latest accrual valuation: [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] 3l 829 Employee Plan Membership Inactive plan members and beneficiaries currently receiving benefits lnactive plan members entitled to benefits but not yet receiving them Active plan members Total members 1,055 125* 1,014 2.r94 Source: City of Miami Beach, Florida Comprehensive Annual Financial Report for Fiscal Year Ended September 30,2014. * Includes members of the Employee Plan who are enrolled in DROP (as hereinafter defined). Plan Benefrts. The Employee Plan provides retirement benefits as well as death and disability benefits at three (3) different tiers, depending on (i) whether an employee is a member of one of the unions representing employees of the City, (ii) which union the employee is a member of and (iii) when the employee entered the Employee Plan. The first tier membership of the Employee PIan (the "Employee Plan First Tier") includes any employee who became a member of the Employee Plan prior to the dates which constitute the Employee Plan Second Tier. The second tier membenhip of the Employee Plan (the "Employee Plan Second Tier') includes any employee who became a member of the Employee Plan on or after (i) April 30, 1993 (but prior to September 30, 2010) for members of the American Federation of State, County and Municipal Employees ("AFSCME") bargaining unit; (ii) August l, 1993 (but prior to September 30, 2010) for members of the Government Supervisors Association of Florida ("GSAII"; bargaining unit and members of the Employee Plan who are not included in any collective bargaining unit; and (iii) February 21, 1994 (but prior to October 27, 2010) for members of the Communications Workers of America ("CWA") bargaining unit. The third tier membership of the Employee Plan (the "Employee Plan Third TieC') includes any employee who became a member of the Employee Plan on or after (i) September 30, 2010 for members of AISCME, GSAF and members of the Employee Plan who are not included in any collective bargaining unit; and (ii) October 27, 2010 for members of CWA. Classified members under the Employee Plan First Tier are eligible for normal retirement at age fifty (50) and five (5) years of creditable service and are entitled to benefits of three percent (3%) of their final average monthly eamings, multiplied by the first fifteen (15) years of creditable seryice, plus four percent (4%) of their final average monthly eamings, multiplied by the years of creditable service in excess of fifteen (15) years, with the total not to exceed ninety percent (90%) of the employee's final average monthly eamings. Employee Plan First Tier unclassified members accrued four percent (4%) of their final average monthly eamings for creditable service before October 18, 1992 and three percent (3%) per year of creditable service after October 18,1992, with the total not to exceed eighty percent (80%) of their f,rnal average monthly eamings. Classified and unclassified members under the Employee Plan Second Tier are eligible for normal retirement at age fifty-five (55) and five (5) years of creditable service and are entitled to benefits of three percent (3%) of their final average monthly eamings multiplied by the employee's number of years of creditable service, subject to a maximum of eighty percent (80%) of such employee's final average monthly eamings. Classified and unclassified members under the Employee Plan Third Tier are eligible for normal retirement at age fifty-five (55) and at least thirty (30) years of creditable service, or age sixty-two (62) and, at least five (5) years of creditable service and are entitledto benefits of two and one-half percent (2.5%) 32 830 of their final average monthly earnings multiplied by the employee's number of years of creditable service, subject to a maximum of eighty percent (80%) of such employee's final average monthly earnings. For elected officials of the City, the City Manager or the City Attorney, the benefit is four percent (4%) of their final average monthly eamings for each year of creditable service as an elected official, city manager or city attomey, plus the retirement benefit as defined above for any other period of City employment, subject to a maximum eighty percent (80%) of such employee's final average monthly earnings. Any Employee Plan First Tier member who terminates employment may either request a refund of their own contributions, plus interest, or receive their accrued benefit beginning at age fifty (50), if at least five (5) years of creditable service have been completed. Any Employee Plan Second Tier member who terminates employment after five (5) years of creditable service may either request a refund of their own contributions, plus interest, or receive their accrued benefit beginning at age fifty-five (55). Any Employee Plan Third Tier member who terminates employment after five (5) years of creditable service but prior to the normal or early retirement date shall be eligible to receive a normal retirement benefit at age sixty-two (62). A Deferred Retirement Option Plan ("DROP") for the Employee Plan was enacted by the City Commission on January 28,2009 pursuant to Ordinance 2009-3626. Under the DROP, first and second tier members of the Employee Plan who have attained eligibility for normal retirement may continue working with the City for up to three (3) years, while receiving a retirement benefit that is deposited into a DROP account. Employee Plan Third Tier members may participate in a DROP account for up to five (5) years. However, effective July 17, 2013, Employee Plan members of CWA who were hired prior to October 27,2010, and members of the Employee Plan not included in any bargaining unit who were hired prior to September 10, 2010, may elect to retire for the purposes of DROP but continue employment with the City for up to sixty (60) months and have their monthly retirement benefit paid into a DROP account during the DROP period. Effective October l, 2013, such benefit was also extended to Employee Plan members of GSAF and, effective April 23,2014, was extended to Employee Plan members of A-FSCME who were hired prior to September 30, 2010. The amount of the benefit is calculated as if the participant had retired on the date of DROP commencement. Upon termination with the City, the accumulated value of the DROP account is distributed to the participant and a member's creditable service, accrued benefit and compensation calculation shall be frozen. Employee Plan First Tier members and Employee Plan Second Tier members receive an annual cost-of-living adjustrnent of two and one-half percent (2.5%). The cost-of-living adjustment is not payable while members are in the DROP. For Employee Plan Third Tier members, the annual cost-of-living adjustment is one and one-half percent (1.5%)- As of September 30, 2014, there were ninety-four (94) members of the Employee Plan in the DROP and the value of the DROP investment was $7,434,014, which is included in the Plan's net position. The DROP also allows for member loans. Approximately $165,000 of DROP loans for the Employee Plan were outstanding as of September 30, 2014. Contributions to the Emplqtee Plan The City's policy is to contribute such amounts as are necessary to maintain the actuarial soundness of the Employee Plan and to provide assets sufficient to meet the benefits to be paid to the members of the Employee Plan. All first tier members are required to contribute twelve percent (12%) of their covered salary to the Employee Plan. All second and third tier members are required to contribute ten percent (10%) of their covered salary to the Employee Plan. For the Fiscal Year ended September 30, 2014, lhe City was required to make contributions of $25,602,030 or 40.3%o of covered payroll to the Employee Plan in accordance with actuarially determined requirements computed through an actuarial valuation performed as of October 1,2013. For the Fiscal Year ended September 30,2014, the employees contributed$7,373,407 and buybacks were $1,143,866. 33 831 Net Pension Liabiliy. The components of the City's net pension liability for the Employee Plan as of September 30,2014 were as follows: Source: City of Miami Beach, Florida Comprehensive Annual Financial Report for Fiscal Year Ended September 30,2014. Set forth below is the progress made by the City accumulating sufficient assets to pay benefits of the Employee Plan, when due. Employee Plan Schedule of Employer Contributions Employee Plan Net Pension Liability Total Employee Plan liability Employee Plan's fiduciary net position City net Employee Plan liability $679,514,531 (516,387,785) $163.126.744 Percentage of Annual Pension Cost Contributed 100% 100 100 Financial Report for Fiscal Year Ended (3) most recent valuation dates, is as Fiscal Year Ended September 30 2012 2013 2014 Annual Required Contribution $t6,243,133 21,222,051 25,602,030 Annual Pension Cost $16,312,068 21,222,051 25,602,030 Source: City of Miami Beach, Florida Comprehensive Annual September 30,2014. The funding status for the Employee Plan, as of the three follows: Employee Plan Funding Status Valuation Date Actuarial Value of Plan Assets $425,781,050 421,376,041 440,912,7st Actuarial Accrued Liabilitv $602,577,503 637,363,774 649,797,221 Unfunded Actuarial Accrued Liability (UAAL) $176,796,453 215,987,733 208,884,470 Funded Ratio Annual Covered Pawoll UAAL asa Percent of Covered Pawoll 266.5Yo 332.0 328.8 tolUtt tulUt2 r0lUt3 70.7% $66,346,904 66.1 65,053,945 67.9 63,526,903 Source: City of Miami Beach, Florida Comprehensive Annual Financial Report for Fiscal Year Ended September 30,2014, City of Miami Beach Employees' Retirement Plan Actuarial Valuation Report as of October l, 2Ol3 and City of Miami Beach Employees' Retirement Plan Actuarial Valuation Report as of October 1,2012. 34 832 Police and Firefishters' Retirement Plan Plan Description The pension fund for police officers and fire fighters employed by the City (the "Police and Firefighters' Plan") is officially named the City Pension Fund for Firefighters and Police Officers in the City of Miami Beach. The Police and Firefighters' Plan is a defined benefit pension plan covering substantially all police officers and firefighters of the City, as established by Chapter 23414,Laws of Florida, Special Acts of 1945, as amended. Members of the Police and Firefighters' Plan are divided into three (3) tiers, based on whether they were hired prior to July 14,2010 ("Police and Firefighters' Plan Tier One"), on or after July 14, 2010 but prior to September 30,2013 ("Police and Firefighters' Plan Tier Two") or on or after September 30, 2013 ("Police and Firefighters' Plan Tier Three"). Membership in the Police and Firefighters' Plan consisted of the following as of October l, 2013, the date of the latest accrual valuation: Police and Firefighters' Plan Membership Active members Deferred vested members Retired members a. Service b. Disabled c. Beneficiaries 458 l5 540* 58 98 696 696 1 169Total members Source: City of Miami Beach, Florida Comprehensive Annual Financial Report for Fiscal Year Ended September 30,2014. * Includes members of the Police and Firefighters' Plan who are enrolled in DROP. Plan Benefits. Police and Firefighters' Plan Tier One members who were eligible to retire prior to September 30, 2013 may retire on a service retirement pension upon the attainment of age fifty (50) or, if earlier, the date when age and length of creditable service equals to at least seventy (70) years. Police and Firefighters' Plan Tier One members eligible to retire on or after September 30,2013 may retire on a service retirement pension upon the attainment of age fifty (50) or, if earlier, the date when the member attains the age offorty-seven (47) and the length ofcreditable service equals to at least seventy (70) years. Upon retirement, Police and Firefighters' Plan Tier One members who were eligible to retire prior to September 30, 2013 will receive a monthly pension, payable for life, equal to three percent (3%) of the member's average monthly salary, as defined in the Police and Firefighters' Plan ordinance, for each of the first fifteen (15) years of creditable service and four percent @%) of the member's average monthly salary for each year ofcreditable service in excess offifteen (15) years; provided, however, that the pension benefit shall not exceed ninety percent (90%) of the member's average monthly salary. Police and Firefighters' Plan Tier One members eligible to retire on or after September 30, 2013 will receive a monthly pension, payable for life, equal to three percent (3%) of the member's average monthly salary, as defined in the Police and Firefighters' Plan ordinance, for each of the first twenty (20) years of creditable service and four percent (4%) of the member's average monthly salary for each year of creditable service in excess of twenty (20) years; provided, however, that the pension benefit does not exceed eighty-five 35 833 percent (85%) of the member's average monthly salary. All Police and Firefighters' Plan members and benelrciaries receiving a monthly pension as of September 30, 2010 will receive a2.5Yo increase in benefits on October 1 of each year. Members that retire on or after September 30, 2010 will receive a 2.5Yo increase in benefits annually on the anniversary date of the member's retirement. Any Police and Firefighters' Plan Tier Two member may retire on a service retirement pension upon the attainment of age fifty (50) or, if earlier, the date when the member attains age forty-eight (48) and the length of creditable service equals to at least seventy (70) years. Upon retirement, a Police and Firefighters' Plan Tier Two member will receive a monthly pension, payable for [ife, equal to three percent (3%) of the member's average monthly salary, as defined in the Police and Firefighters' Plan ordinance, for each of the first twenty (20) years of creditable service and four percent (4Yo) of the member's average monthly salary for each year of creditable service in excess of twenty (20) years; provided, however, that the pension benefit shall not exceed eighty-five percent (85%\ of the member's average monthly salary. The average monthly salary of a Police and Firefighters' Plan Tier Two member is computed based on such member's salary for the three (3) highest paid years prior to the date of retirement or the average of the last three (3) paid years to such member prior to the date of retirement, whichever produces the greater benefit after consideration of overtime limitations. All Police and Firefighters' Plan Tier Two retirees and beneficiaries will receive a 1.5%o increase in benefits annually on the anniversary date of the member's retirement. The benefits for Police and Firefighters' Plan Tier Three members are the same as the ones described in the immediately preceding paragraph for Police and Firefighters' Plan Tier Two members, except the average monthly salary of a Police and Firefighters' Plan Tier Three member is computed based on such member's salary for the five (5) highest paid years prior to the date of retirement or the average of the last three (3) paid years to such member prior to the date of retirement, whichever produces the greater benefit after consideration of overtime limitations. Any member of the Police and Firefighters' Plan who becomes totally and permanently disabled at any time as a result of illness or injury suffered in the line of duty may be retired on an accidental disability pension. For a service connected disability, the minimum pension payable is eighty-five percent (85%) of the member's monthly salary at the time of disability retirement, less any offset for worker's compensation. Any Police and Firefighters' Plan member who becomes totally or permanently disabled after five (5) years of creditable service as a result of illness or injury not suffered in the line of duty may be retired on an ordinary disability retirement pension. Upon disability retirement, a Police and Firefighters' Plan member receives a monthly pension equal to such member's seryice retirement benefits. For a non-seryice connected disability, the pension benefit is the accrued benefit after five (5) years of the member's creditable service. The Police and Firefighters' Plan also provides death benefits for beneficiaries or members for service connected and non-service connected death. If a Police and Firefighters' Plan member resigns or is lawfully discharged before retirement, such member's contributions, with three percent (3%) interest per annum, are returned to that member. The Police and Firefighters' Plan also provides a special provision for vested benefits for members who terminate their employment after five (5) years of service. In the altemative and in lieu of the normal form of benefit, the Police and Firefighters'Plan member may, at any time prior to retirement, elect to receive a lifetime retirement benefit with one hundred twenty (120) monthly payments guaranteed. If the Police and Firefighters' Plan member should die before one hundred twenty (120) monthly payments are made, benefits will continue to be paid to the member's designated beneficiary for the balance of the one hundred twenty (120) month period. If the retired Police and Firefighters' Plan member is living after one hundred twenty (120) monthly payments are made, the payments shall be continued for the member's remaining 36 834 lifetime. In case of termination of the Police and Firefighters' Plan, benefits accrued to members of the Police and Firefighters' Plan are not subject to forfeit. An active Police and Firefighters' Plan Tier One member may enter into a DROP on the first day of any month after becoming eligible to retire. Upon becoming eligible to participate in the DROP, a Police and Firefighters' Plan Tier One member may elect to enter that program for a period not to exceed thirty-six (36) months. Police and Firefighters' Plan Tier One members who enter the DROP on or after September 1,2012 shall be eligible to participate for a period not to exceed sixty (60) months. All Police and Firefighters' Plan Tier One members shall receive a2.5o/o cost of living adjustment increase in benefits annually on the anniversary date of the member's retirement. The exception is for Police and Firefighters' Plan Tier One members who entered the DROP on or after September 1,2012 and before September 30, 201 3 . Those members shall receive a zero percent (0%) cost of living adjustment for the third and fourth annual adjustment dates, regardless of whether the member remains in the DROP for the maximum sixty (60) month period. Further, any member who exits the DROP within six (6) months following the date of DROP entry shall be eligible to receive the 2.5Yo cost of living adjustment. An active Police and Firefighten' Plan Tier Two member or Police and Firefighters' Plan Tier Three member may enter into the DROP on the first day of any month after attainment of age fifty (50) or, if earlier, the date when the member attains age forty-eight (48) and the age and length of creditable service equals to at least seventy (70) years. Upon becoming eligible to participate in the DROP, a Police and Firefighters' Plan Tier Two member or Police and Firefighters' Plan Tier Three member may elect to enter that program for a period not to exceed sixty (60) months. All of such members shall receive a l.5Yo cost of living adjustment increase in benefits annually on the anniversary date of the member's retirement. At September 30,2014, $15,135,801, the total amount of the DROP payable, represents the balance of the self-directed participants as all of the participants are now in the self-directed DROP. Contributions to the Police and Firefishters' Plan The City is required to contribute an actuarially determined amount to the Police and Firefighters' Plan that, when combined with members' contributions, will fully provide for all benefits as they become payable. All Police and Firefighters' Plan Tier One members and Police and Firefighters' Plan Tier Two members are required to contribute ten percent (10%) of their salary to the Police and Firefighters' Plan, while all Police and Firefighters' Plan Tier Three members are required to contribute ten and one-half percent (10.5%) of their salary to the Police and Firefighters' Plan. The actual contribution from the City and from the State of Florida for active employees for the Fiscal Year ended September 30, 2014, was $35,960,326 and covered payroll, excluding DROP members, was approximately $50,750,000. The contribution required from the City and the State of Florida for the Fiscal Year ended September 30, 2014 was actuarially determined by the October 1,2012 valuation to be $35,960,326. The actuarially computed annual covered payroll used in the October 1,2012 valuation was $46,313,650. The annual pension cost was $35,960,326 for the Fiscal Year ended September 30,2014. [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] 37 835 Police and Firefighters'Plan Net Pension Total Police and Firefighters' Plan liability Police and Firefighters' Plan's fiduciary net position City net Police and Firefighters' Plan liability Liability $991,506,019 (769,298,572) $222.207.447 Source: City of Miami Beach, Florida Comprehensive Annual Financial Report for Fiscal Year Ended September 30,2014. Set forth below is the progress made by the City accumulating sufficient assets to pay benefits of the Police and Firefighters' Plan, when due. Police and Firefighters' Plan Schedule of Employer Contributions Source: City of Miami Beach, Florida Comprehensive Annual Financial Report for Fiscal Year Ended September 30,2014. The funding status for the Police and Firefighters' Plan, as of the three (3) most recent valuation dates, is as follows: Police and Firefighters'Plan Funding Status Fiscal Year Ended September 30 2012 20t3 2014 Annual Required Contribution $36,297,459 39,492,050 35,960,326 Annual Pension Cost $36,297,459 39,492,050 35,960,326 Percentage of Annual Pension Cost Contributed 100% 100 100 Annual Covered Pawoll $49,186,724 46,313,650 47,164,032 Valuation Date tolUtt tLlUt2 rotyt3 Actuarial Value of Plan Assets $531,821,181 545,067,653 663,233,454 Actuarial Accrued Liabiliw $871 , I 18,629 902,778,465 955,238,606 Unfunded Actuarial Accrued Liability (UAAL) $339,297,448 357,710,812 292.00s.1s2 Funded Ratio 6t.r% 60.4 69.4 UAAL asa Percent of Covered Pawoll 689.8Y. 772_4 6t9.1 Source: City of Miami Beach, Florida Comprehensive Annual Financial Report for September 30,2013 and September 30,2012. 38 Fiscal Year Ended September 30,2014, 836 Other Retirement and Compensation Plans Firemen's and Police Relief and Pension Funds The City's firefighters and police officers are members of two (2) separate non-contributory money purchase benefit plans established under the provisions of Florida Statutes, Chapters 175 and 185, respectively. These plans are funded solely from proceeds of certain excise taxes levied by the City and imposed upon property and casualty insurance coverage within City limits. The excise taxes, which are collected from insurers by the State of Florida, are remitted to the Plans' Boards of Trustees. The City is under no obligation to make any further contributions to the plans. The excise taxes received from the State of Florida and remitted to the plans for the year ended September30,2014was$l,704,136forfirefightersand$.759,678forpoliceofficers. Thesepaymentswere recorded on the City's books as revenues and expenditures during the fiscal year. Plan benefits are allocated to participants based upon their service during the year and the level of funding received during the year. Participants are fully vested after ten (10) years of service with no benefits vested prior to ten (10) years of service, except those prior to June 1983. All benefits are paid in a lump sum format, except for the Police Relief Funds, where participants may also elect not to withdraw, or to partially withdraw, his or her retirement funds. Defined Contribution Retirement Plan - 401(a) The City has a defined contribution retirement plan (the "Defured Contribution Plan") that was created in accordance with Section 401(a) of the lntemal Revenue Code of 1986, as amended (the "Code"). The Defined Contribution Plan provides retirement and other related benefits for eligible employees as an option to the other retirement systems sponsored by the City. However, effective March 19, 2006, the Defined Contribution Plan was no longer offered to new employees of the City. Current employees are still participating in the Dehned Contribution Plan. The Defined Contribution Plan is administrated by a Board of Trustees, which has the general responsibility for the Plan's proper operation and management. The Defined Contribution Plan complies with the provisions of section a0l(a) of the Code and may be amended by the City Commission. The City has no fiduciary responsibility for the Defined Contribution Plan. Consequently, amounts accrued for benefits are not recorded in the fiduciary fund. Employees in the Defined Conkibution Plan hired prior to February 21, 1994 are required to contribute ten percent (10%) of their salary while employees hired after February 21, 1994 are required to contribute eight percent (8%) of their salary. The City matches the employee's contribution one hundred percent (100%). The Defined Contribution Plan of each employee is the immediate property of the employee. Employees have a choice of plan administrators and are responsible for the investment of their funds amongst choices of investment vehicles offered by their selected plan administrator. Defined Contribution Plan information, as of and for the Fiscal Year ended September 30, 2014, is as follows: [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] 39 837 Defined Contribution Plan Information Members in Defined Contribution Plan City's contribution Percentage of covered payroll Employees' contribution Percentage of covered payroll $149,422 149,109 32 8.20o/o 8.18 Source:3li,iY?T".""',lih::Tlffi".i'dT;il:"'AnnuarFinanciarReport Other Post Employment Benefits Plan Description In accordance with Section 112.0801, Florida Statutes, the City is required to permit eligible retirees and their eligible dependents to participate in the City's health insurance program at a cost to the retirees that is no greater than the cost at which coverage is available for active employees. Although not required by law, the City pays a portion of such cost of participation for its retirees. The City also provides life insurance to the retirees. As with all govemmental entities providing similar plans, the City is required to comply with the Govemmental Accounting Standard's Board Statement No. 45 - Accounting and Financial Reporting by Employers for Postemployment Benefits Other than Pensions ("GASB 45"). GASB 45 applies accounting methodology similar to that used for pension liabilities to other post employment benefits ("OPEB") and attempts to more fully reveal the costs of employment by requiring governmental units to include future OPEB costs in their financial statements. While GASB 45 requires recognition and disclosure of the unfunded OPEB liability, there is no requirement that the liability of such plan be funded. The City's single employer OPEB Plan (the "OPEB Plan") currently provides the following post employment benefits: (a) Health and Dental Insurance - Employees of the City hired prior to March 18, 2006 are eligible to receive a fifty percent (50%) health insurance contribution of the total premium cost. At age sixty-hve (65), if the retiree is eligible for Medicare Part B, the City contributes fifty percent (50%) of the Medicare Part B payment. Employees hired after March 18, 2006, after vesting in City's retirement plans, are eligible to receive an offset to the retiree premium equal to $10 per year of credible service, up to a maximum of $250 per month until age sixty-five (65) and $5 per year of credible service up to a maximum of $125, thereafter. (b) Life lnsurance - Employees of the City are eligible to receive a life insurance benefit of $1,000 towards the cost of such insurance. As of September 30, 2008, the City established an OPEB Trust (the "OPEB Trust") and began funding its OPEB obligation. Stand alone financial statements for the OPEB Trust are not prepared. As of October 1,2012, the date of the most recent actuarial valuation, OPEB Plan participation consisted of the following: 40 838 OPEB Plan Participation OPEB Plan Participants Retirees receiving benefits 1,941 1,17 5 Source: City of Miami Beach, Florida Comprehensive Annual Financial Report for Fiscal Year Ended September 30,2014. Funding of OPEB Plan The City has the authority to establish and amend the funding policy of the OPEB Plan. For the Fiscal Year ended September 30, 2014, the City paid $7.9 million in OPEB benefits on a pay-as-go basis and$915,000totheOPEBTrust. TheCity'snetOPEBobligationasofSeptember30,2014was$47.2 million. For Fiscal Year 2014, the Parking System contributed $171,079 to the OPEB Trust, which was allocated based on the covered payroll of the Department as a percentage of the City's total covered payroll. The City intends to base future OPEB Trust contributions on the annual required contribution in subsequent annual actuarial reports. However, no OPEB Trust contributions are legally or contractually required. The annual cost (expense) of the OPEB Plan is calculated based on the annual required contribution, an amount actuarially determined in accordance with the parameters of GASB 45. The annual required contribution represents a level of funding that, if paid on an ongoing basis, is projected to cover the normal cost each year and amortize any unfunded actuarial liability over a period not to exceed thirty (30) years. The following table shows the components of the City's annual OPEB cost for the year, the amount actually contributed and the change in the net OPEB obligation. OPEB Annual Costs and Net Obligation for Fiscal Yezr 2014 Annual Required Contribution lnterest on Net OPEB Obligation Adjustment to Annual Required Contribution Annual OPEB Cost (expense) Contributions Made Net OPEB Obligation Net OPEB Obligation - Beginning of Year Net OPEB Obligation - End of Year $16,490,000 3,099,000 (2.238.000) 17,351,000 8.882.000 9,469,000 38.733.000 $fl-292J,00. Source: City of Miami Beach, Florida Comprehensive Annual Financial Report for Fiscal Year Ended September 30,2014. Set forth below is a description of the progress made by the City in accumulating sufficient assets to pay OPEB benefits, when due. 4t 839 OPEB Annual Costs and Contributions Source: City of Miami Beach, Florida Comprehensive Annual Financial Report for Fiscal Year Ended September 30, 2014. OPEB Funding Status Fiscal Year Ended September 30 2012 2013 2014 Annual OPEB Cost $19,064,000 16,212,000 17,351,000 Contribution $ I I ,104,000 8,314,000 8,882,000 Unfunded Actuarial Accrued Liability (UAAL) $ 194,823,000 172,338,000 181,642,000 Percent of Annual OPEB Cost Contributed s8% 51 5l Net OPEB Oblieation $30,835,000 38,733,000 47,202,000 Valuation Date to/t/tt to/t/t2 r0lUt3 Actuarial Value of Plan Assets $14,136,000 19,015,000 22,167,000 Actuarial Accrued Liabiliw $208,959,000 191,353,000 203,809,000 Funded Ratio 6.8% 9.9 10.9 Participants Covered Pawoll $ 107,418,169 108,263,028 107,951,095 UAAL asa Percent of Participants Covered Pawoll 55.lYo 159.2 168.3 Source: City of Miami Beach, Florida Comprehensive Annual Financial Report for Fiscal Year Ended September 30,2014, September 30,2013 and September 30,2012. TAX MATTERS General ln the opinion of Squire Patton Boggs (US) LLP, Bond Counsel, under existing law: (i) interest on the Series 2015 Bonds is excluded from gross income for federal income tax purposes under Section 103 of the Intemal Revenue Code of 1986, as amended (the "Code"), and is not an item of tax preference for purposes of the federal altemative minimum tax imposed on individuals and corporations; and (ii) the Series 2015 Bonds and the income thereon are exempt from taxation under the laws of the State of Florida, except estate taxes imposed by Chapter 198, Florida Statutes, as amended, and net income and franchise taxes imposed by Chapter 220, Florida Statutes, as amended. Bond Counsel expresses no opinion as to any other tax consequences regarding the Series 2015 Bonds. The opinion on tax matters will be based on and will assume the accuracy of certain representations and certifications, and continuing compliance with certain covenants, of the City contained in the transcript of proceedings and that are intended to evidence and assure the foregoing, including that the Series 2015 Bonds are and will remain obligations the interest on which is excluded from gross income for federal 42 840 income tax purposes. Bond Counsel will not independently verify the accuracy of the City's representations and certifications or the continuing compliance with the City's covenants. The opinion of Bond Counsel is based on current legal authority and covers certain matters not directly addressed by such authority. It represents Bond Counsel's legal judgment as to exclusion of interest on the Series 2015 Bonds from gross income for federal income tax purposes but is not a guaranty of that conclusion. The opinion is not binding on the Intemal Revenue Service ("IRS") or any court. Bond Counsel expresses no opinion about (i) the effect of future changes in the Code and the applicable regulations under the Code or (ii) the interpretation and the enforcement of the Code or those regulations by the IRS. The Code prescribes a number of qualifications and conditions for the interest on state and local govemment obligations to be and to remain excluded from gross income for federal income tax purposes, some of which require future or continued compliance after issuance of the obligations. Noncompliance with these requirements by the City may cause loss of such status and result in the interest on the Series 2015 Bonds being included in gross income for federal income tax purposes retroactively to the date of issuance of the Series 2015 Bonds. The City has covenanted to take the actions required of it for the interest on the Series 2015 Bonds to be and to remain excluded from gross income for federal income tax purposes, and not to take any actions that would adversely affect that exclusion. After the date of issuance of the Series 2015 Bonds, Bond Counsel will not undertake to determine (or to so inform any person) whether any actions taken or not taken, or any events occurring or not occurring, or any other matters coming to Bond Counsel's attention, may adversely affect the exclusion from gross income for federal income tax purposes of interest on the Series 2015 Bonds or the market value of the Series 2015 Bonds. A portion of the interest on the Series 2015 Bonds eamed by certain corporations may be subject to a federal corporate altemative minimum tax. In addition, interest on the Series 2015 Bonds may be subject to a federal branch profits tax imposed on certain foreign corporations doing business in the United States and to a federal tax imposed on excess net passive income of certain S corporations. Under the Code, the exclusion of interest from gross income for federal income tax purposes may have certain adverse federal income tax consequences on items of income, deduction or credit for certain taxpayers, including financial institutions, certain insurance companies, recipients of Social Security and Railroad Retirement benefits, those that are deemed to incur or continue indebtedness to acquire or carry tax-exempt obligations, and individuals otherwise eligible for the eamed income tax credit. The applicability and extent of these and other tax consequences will depend upon the particular tax status or other tax items of the owner of the Series 2015 Bonds. Bond Counsel will express no opinion regarding those consequences. Payments of interest on tax-exempt obligations, including the Series 2015 Bonds, are generally subject to IRS Form 1099-INT information reporting requirements. If a Series 2015 Bond owner is subject to backup withholding under those requirements, then payments of interest will also be subject to backup withholding. Those requirements do not affect the exclusion of such interest from gross income for federal income tax purposes. Bond Counsel's engagement with respect to the Series 2015 Bonds ends with the issuance of the Series 2015 Bonds, and, unless separately engaged, Bond Counsel is not obligated to defend the City or the owners of the Series 2015 Bonds regarding the tax status of interest thereon in the event of an audit examination by the IRS. The IRS has a program to audit tax-exempt obligations to determine whether the interest thereon is includible in gross income for federal income tax purposes. If the IRS does audit the Series 2015 Bonds, under current IRS procedures, the IRS will treat the City as the taxpayer and the beneficial owners of the Series 201 5 Bonds will have only limited rights, if any, to obtain and participate in judicial review of such audit. Any action of the IRS, including but not limited to selection of the Series 43 841 2015 Bonds for audit, or the course or result of such audit, or an audit of other obligations presenting similar tax issues, may affect the market value of the Series 2015 Bonds. Prospective purchasers of the Series 2015 Bonds upon their original issuance at prices other than the respective prices indicated on the inside cover page of this Official Statement, and prospective purchasers of the Series 2015 Bonds at other than their original issuance, should consult their own tax advisers regarding other tax considerations such as the consequences of market discount, as to all of which Bond Counsel expresses no opinion. Risk of Future Legislative Changes and/or Court Decisions Legislation affecting tax-exempt obligations is regularly considered by the United States Congress and may also be considered by the State legislature. Court proceedings may also be filed, the outcome of which could modify the tax treatment of obligations such as the Series 2015 Bonds. There can be no assurance that legislation enacted or proposed, or actions by a court, after the date ofissuance ofthe Series 2015 Bonds will not have an adverse effect on the tax status of interest on the Series 2015 Bonds or the market value or marketability of the Series 2015 Bonds. These adverse effects could result, for example, from changes to federal or state income tax rates, changes in the structure of federal or state income taxes (including replacement with another type of tax), or repeal (or reduction in the benefit) of the exclusion of interest on the Series 2015 Bonds from gross income for federal or state income tax purposes for all or certain taxpayers. For example, recent presidential and legislative proposals would eliminate, reduce or otherwise alter the tax benefits currently provided to certain owners of state and local government bonds, including proposals that would result in additional federal income tax on taxpayers that own tax-exempt obligations if their incomes exceed certain thresholds. Investors in the Series 2015 Bonds should be aware that any such future legislative actions (including federal income tax reform) may retroactively change the treatment of all or a portion of the interest on the Series 2015 Bonds for federal income tax purposes for all or certain taxpayers. In such event, the market value of the Series 2015 Bonds may be adversely affected and the ability of holders to sell their Series 201 5 Bonds in the secondary market may be reduced. The Series 20 I 5 Bonds are not subject to special mandatory redemption, and the interest rates on the Series 2015 Bonds are not subject to adjustment in the event ofany such change. lnvestors should consult their own financial and tax advisers to analyze the importance of these risks. Original Issue Discount and Original Issue Premium Certain of the Series 2015 Bonds ("Discount Bonds") as indicated on the inside cover page of this Official Statement were offered and sold to the public at an original issue discount ("OID"). OID is the excess of the stated redemption price at maturity (the principal amount) over the "issue price" of a Discount Bond. The issue price of a Discount Bond is the initial offering price to the public (other than to bond houses, brokers or similar persons acting in the capacity of underwriters or wholesalers) at which a substantial amount of the Discount Bonds of the same manrrity is sold pursuant to that offering. For federal income tax purposes, OID accrues to the owner of a Discount Bond over the period to maturity based on the constant yield method, compounded semiannually (or over a shorter permitted compounding interval selected by the owner). The portion of OID that accrues during the period of ownership of a Discount Bond (i) is interest excluded from the owner's gross income for federal income tax purposes to the same extent, and subject to the same considerations discussed above, as other interest on the Series 2015 Bonds, and (ii) is added to the owner's tax basis for purposes of determining gain or loss on the 44 842 maturity, redemption, prior sale or other disposition of that Discount Bond. The amount of OID that accmes each year to a corporate owner of a Discount Bond is taken into account in computing the corporation's liability for federal alternative minimum tax. A purchaser of a Discount Bond in the initial public offering at the price for that Discount Bond stated on the inside cover page of this Oflicial Statement who holds that Discount Bond to maturity will realize no gain or loss upon the retirement of that Discount Bond. Certain of the Series 2015 Bonds ("Premium Bonds") as indicated on the inside cover page of this Official Statement were offered and sold to the public at a price in excess of their stated redemption price at maturity (the principal amount). That excess constitutes bond premium. For federal income tax purposes, bond premium is amortized over the period to maturity of a Premium Bond, based on the yield to maturity of that Premium Bond (or, in the case of a Premium Bond callable prior to its stated maturity, the amortization period and yield may be required to be determined on the basis of an earlier call date that results in the lowest yield on that Premium Bond), compounded semiannually. No portion of that bond premium is deductible by the owner of a Premium Bond. For purposes of determining the owner's gain or loss on the sale, redemption (including redemption at maturity) or other disposition of a Premium Bond, the owner's tax basis in the Premium Bond is reduced by the amount of bond premium that is amortized during the period of ownership. As a result, an owner may rcalize taxable gain for federal income tax purposes from the sale or other disposition of a Premium Bond for an amount equal to or less than the amount paid by the owner for that Premium Bond. A purchaser of a Premium Bond in the initial public offering at the price for that Premium Bond stated on the inside cover page of this Official Statement who holds that Premium Bond to maturity (or, in the case of a callable Premium Bond, to its earlier call date that results in the lowest yield on that Premium Bond) will realize no gain or loss upon the retirement of that Premium Bond. Owners of Discount Bonds and Premium Bonds should consult their own tax advisers as to the determination for federal income tax purposes of the amoant of OID or bond premium properly accruable or amortizable in any period with respect to the Discount Bonds or Premium Bonds and as to other federal tax consequences and the treatment of OID and bond premium for purposes of state and local toxes on, or based on, income. FINANCIAL STATEMENTS Excerpts from the Comprehensive Annual Financial Report of the City of Miami Beach, Florida for the Fiscal Year ended September 30, 2014 and,the report of Crowe Horwath LLP, independent certified public accountants ("Crowe Horwath"), in connection therewith, dated March 30, 2015, are included in APPENDIX B to this Official Statement as part of the public records of the City. Such financial statements and report contain information relating to the City and the Parking System. In addition, the Financial Report of the Parking System Enterprise Fund of the City of Miami Beach, Florida for the Fiscal Year ended September 30, 2014 and the report of Crowe Horwath in connection therewith, dated March 30, 2015, may be obtained from the Chief Financial Officer for the City. See "INTRODUCTION" herein. The consent of Crowe Horwath was not requested for the reproduction of its audit report in this Official Statement. The auditor has performed no services in connection with the preparation of this Official Statement and is not associated with the offering of the Series 2015 Bonds. CONTINUING DISCLOSURE The City will covenant for the benefit of the holders of the Series 2015 Bonds to provide certain financial information and operating data relating to the Parking System not later than two hundred forty 45 843 (240) days following the end of each Fiscal Year, commencing with the Fiscal Year ending September 30, 2015 (the "Annual Report"), and to provide, or cause to be provided, notices of the occurrence of certain enumerated events. The Annual Report and notices of events will be filed with the Municipal Securities Rulemaking Board (the "MSRB"). Digital Assurance Certification,L.L.C. C'DAC') will act as the initial disclosure dissemination agent for the City. The specific nature of the information to be contained in the Annual Report and the notices of events is contained in "APPENDIX F - Form of Disclosure Dissemination Agent Agreement." These covenants have been made in order to assist the Underwriters in complying with Rule l5c2-12 of the Securities and Exchange Commission. On July 28,2014 Standard & Poor's Ratings Services ("S&P") announced that it had raised its rating on the City's general obligation debt two (2) notches ,o "r4r{*" from "AA-." The disclosure agreements entered into by the City in connection with the issuance of various series of bonds (the "Disclosure Agreements") require the City to provide, among other things, notice of rating changes affecting such series of bonds. Notice of the ratings increase announced by S&P on July 28,2014 was not provided by the City within the time periods established in the Disclosure Agreements. Such notice was filed by DAC, on behalf of the City, with the MSRB on April 29,2015. Documents required to be filed pursuant to the Disclosure Agreements are currently on file and available electronically from the MSRB at http://emma.msrb.ors/. lnformation regarding the Series 2015 Bonds and other outstanding bonds of the City may be found at the DAC intemet site, "http//www.dacb0 ." LITIGATION There is no litigation or controversy of any nature now pending for which the City has received service of process or, to the actual knowledge of the City Attomey, threatened against the City that seeks to restrain or enjoin the issuance or delivery of the Series 2015 Bonds or contesting the proceedings or authority under which they are to be issued or the creation, organization or existence of the City or, if determined adversely to the City, would have a material adverse impact on the ability of the Parking System to generate sufficient Net Revenues to pay debt service on the Series 2015 Bonds. LEGAL MATTERS Certain legal matters incident to the issuance of the Series 2015 Bonds and with regard to the tax- exempt status of the interest on the Series 2015 Bonds (see "TAX MATTERS" herein) are subject to the legal opinion of Squire Patton Boggs (US) LLP, Bond Counsel to the City. The signed legal opinion of Bond Counsel, substantially in the form attached hereto as APPENDIX D, dated and premised on law in effect as of the date of issuance of the Series 2015 Bonds, will be delivered on the date of issuance of the Series 2015 Bonds. The actual legal opinion to be delivered may vary from the form attached hereto to reflect facts and law on the date of delivery. The opinion will speak only as of its date, and subsequent distribution of it by recirculation of this Official Statement or otherwise shall create no implication that Bond Counsel has reviewed or expresses any opinion concerning any of the matters referenced in the opinion subsequent to its date ofissuance. While Bond Counsel has participated in the preparation of certain portions of this Official Statement, it has not been engaged by the City to confirm or verify such information. Except as may be set forth in an opinion of Bond Counsel delivered to the Underwriters, Bond Counsel expresses and will express no opinion as to the accuracy, completeness or fairness of any statements in this Official Statement, or in any other reports, financial information, offering or disclosure documents or other information 46 844 pertaining to the City or the Series 2015 Bonds that may be prepared or made available by the City, the Underwriters or others to the Holders of the Series 2015 Bonds or other parties. Certain legal matters incident to the issuance of the Series 2015 Bonds relating to disclosure will be passed on for the City by the Law Offices of Steve E. Bullock, P.A., Miami, Florida, whose legal services as Disclosure Counsel have been retained by the City. The signed legal opinion, dated and premised on law in effect as of the date of original delivery of the Series 2015 Bonds, will be delivered to the City by Disclosure Counsel at the time of original delivery of the Series 2015 Bonds. The proposed text of the form of the legal opinion of Disclosure Counsel is set forth as APPENDIX E to this Official Statement. The actual legal opinion to be delivered may vary from that text if necessary to reflect facts and law on the date of delivery. The opinion will speak only as of its date, and subsequent distribution of it by recirculation of this Official Statement or otherwise shall create no implication that Disclosure Counsel has reviewed or expresses any opinion concerning any of the matters referenced in the opinion subsequent to its date of issuance. Certain legal matters will be passed on for the City by Raul J. Aguila, Esquire, Miami Beach, Florida, City Attomey. Greenberg Traurig, P.A., Miami, Florida, is serving as counsel to the Under"writers. The legal opinions and other letters of counsel to be delivered concurrently with the delivery of the Series 2015 Bonds express the professional judgment of the attomeys rendering the opinions or advice regarding the legal issues and other matters expressly addressed therein. By rendering a legal opinion or advice, the giver ofsuch opinion or advice does not become an insurer or guarantor ofthe result indicated by that opinion, or the transaction on which the opinion or advice is rendered, or of the future performance of parties to the transaction. Nor does the rendering of an opinion guarantee the outcome of any legal dispute that may arise out of the transaction. ENFORCEABILITY OF REMEDIES The remedies available to the owners of the Series 2015 Bonds upon the occurrence of a default under the Resolution are in many respects dependent upon judicial actions which are often subject to discretion and delay. Under existing constitutional and statutory law and judicial decisions, the remedies specified by the Resolution and the Series 2015 Bonds may not be readily available or may be limited. The various legal opinions to be delivered concurrently with the delivery of the Series 2015 Bonds (including Bond Counsel's approving opinion) will be qualified, as to the enforceability of the various legal instruments, by limitations imposed by bankruptcy, reorganization, insolvency or other similar laws affecting the rights of creditors enacted before or after such delivery and to general principles of equity (whether sought in a court of law or equity). RATINGS [Moody's lnvestors Service, Inc. ("Moody's") and S&P are expected to assign ratings of "_:' witha..-outlook,',and..-,',witha,,-out[oolg''respectively,totheSeries20l5 Bonds insured by the Bond lnsurance Policy, with the understanding that upon delivery of such Series 2015 Bonds the Bond Insurance Policy insuring the payments, when due, of the principal of and interest on such Series 2015 Bonds will be issued by the Bond Insurer. See "MUNICIPAL BOND INSURANCE" herein. In addition, Moody's has assigned to the Series 2015 Bonds a rating of "_," with a out[ook,''andS&Phasassignedaratingof,,-,,,witha,,-outlook,''eachwithoutregard to the issuance of the Bond Insurance Policy.l Such ratings and outlooks reflect the view of such organizations. An explanation of the significance of such ratings and outlooks may be obtained only from 47 845 Moody's and S&P, respectively. An explanation of the rating and outlook assigned by Moody's may be obtained from Moody's at 7 World Trade Center, 250 Greenwich Street, 23'd Floor, New York, New York 10007, (212) 553-0300. An explanation of the rating and outlook assigned by S&P may be obtained from S&P at 55 Water Street, 38'h Floor, New York, New York 10041, (212) 438-2124. There is no assurance that the rating and outlook provided by Moody's and S&P, respectively, will continue for any given period of time or that they will not be revised downward or withdrawn entirely by such rating agencies if, in their judgment, circumstances so warrant. Any such downward revision or withdrawal of such ratings or outlooks may have an adverse effect on the market price of the Series 2015 Bonds. UNDERWRITING The Series 2015 Bonds are being purchased by J.P. Morgan Securities LLC, SunTrust Robinson Humphrey, lnc. and Estrada Hinojosa & Company, Inc. (collectively, the "Underwriters"), subject to certain terms and conditions set forth in the purchase contract between the City and the Underwriters, including the delivery of opinions on certain legal matters relating to the issuance of the Series 2015 Bonds by Bond Counsel and the existence of no material adverse change in the condition of the City or the Parking System from that set forth in the Official Statement. The Series 2015 Bonds are being purchased at a purchase price of$(which represents the $principal amount of the Series 2015 Bonds, [plus / minus a net original issue premium / discount of $,l minus an Underwriters' discount of $ ). The Series 2015 Bonds are offered for sale to the public at the prices and yields set forth on the inside cover page of this Official Statement. The Series 2015 Bonds may be offered and sold to certain dealers at prices lower than or yields higher than such offering prices and yields. After the initial public offering, such public offering prices and yields may be changed, from time to time, by the Underwriters. J.P. Morgan Securities LLC ("JPMS"), one of the Underwriters of the Series 2015 Bonds, has entered into negotiated dealer agreements (each, a "Dealer Agreement") with each of Charles Schwab & Co., Inc. ("CS&Co.") and LPL Financial LLC ("LPL") for the retail distribution of certain securities offerings at the original issue prices. Pursuant to each Dealer Agreement, each of CS&Co. and LPL may purchase Series 2015 Bonds from JPMS at the original issue price less a negotiated portion of the selling concession applicable to any Series 2015 Bonds that such firm sells. SunTrust Robinson Humphrey, lnc. ("STRH"), one of the Underwriters of the Series 2015 Bonds, has entered into an agreement (the "Distribution Agreement") with SunTrust Investment Services, Inc. ("STIS") for the retail distibution of certain municipal securities offerings, including the Series 2015 Bonds. Pursuant to the Distribution Agreement, STRH will share a portion of its underwriting compensation with respect to the Series 2015 Bonds with STIS. STRH and STIS are both subsidiaries of SunTrust Banks, Inc. SunTrust Robinson Humphrey is the trade name for certain capital markets and investment banking services of SunTrust Banks and its subsidiaries. The Underwriters, respectively, may have entered into agreements with other broker- dealers (that have notbeendesignatedbythe Cityas Underwriters) forthe distributionof the Series 2015 Bonds at the original issue prices. Such agreements generally provide that the relevant Underwriter will share a portion of its underwriting compensation or selling concession with such broker-dealers. 48 846 FINANCIAL ADVISOR RBC Capital Markets, LLC, St. Petersburg, Florida, is serving as Financial Advisor to the City and has acted in such capacitywith respect to the sale and issuance of the Series 2015 Bonds. The Financial Advisor is not obligated to undertake, and has not undertaken to make, an independent verification or to assume responsibility for the accuracy, completeness or fairness of the information in this Official Statement. RBC Capital Markets, LLC did not engage in any underwriting activities with regard to the issuance and sale of the Series 2015 Bonds. CONTINGENT FEES The City has retained Bond Counsel, Disclosure Counsel and the Financial Advisor with respect to the authorization, sale, execution and delivery of the Series 2015 Bonds. Payment of the fees of such professionals and an underwriting discount to the Underwriters (including the fees of Underwriters' Counsel) are each contingent upon the issuance of the Series 2015 Bonds. DISCLOSURE REQUIRED BY FLORIDA BLUE SKY LAWS Section 517.051, Florida Statutes, as amended, and Rule 3E400.003, Florida Administrative Code, requires the City to disclose each and every default as to payment of principal and interest after December 31, 1975 with respect to obligations issued or guaranteed by the City. Rule 3E400.003 further provides, however, that if the City in good faith believes that such disclosure would not be considered material by reasonable investors, such disclosure may be omitted. The City has not defaulted on the payment of principal or interest with respect to obligations issued or guaranteed by the City after December 31,1975 that would be considered material by a reasonable investor. AUTHORIZATION CONCERNING OFFICIAL STATEMENT The delivery of this Official Statement has been duly authorizedby the City Commission. At the time of the delivery of the Series 2015 Bonds, the Mayor and the City Manager of the City will furnish a certificate to the effect that nothing has come to their attention which would lead them to believe that this Official Statement, as of its date and as of the date of delivery of the Series 2015 Bonds, contains an untrue statement of a material fact or omits to state a material fact which should be included therein for the purpose for which this Official Statement is intended to be used, or which is necessary to make the statements contained herein, in the light of the circumstances under which they were made, not misleading. A limited number of copies of the final Official Statement will be provided, at the City's expense, on a timely basis. MISCELLANEOUS All information included in this Official Statement has been provided by the City, except where attributed to other sources. The summaries of and references to all documents, statutes, reports, and other instruments referred to herein do not purport to be complete, comprehensive or definitive, and each such reference or surunary is qualified in its entirety by reference to each such document, statute, report or other instrument. The information in this Official Statement has been compiled from offrcial and other sources and, while not guaranteed by the City, is believed to be correct. To the extent that any statements made in this Official Statement and the appendices attached hereto involve matters of opinion or of estimates, whether or not expressly stated, they are set forth as such and not as representations of fact, and no representation is made that any of the estimates will be realized. 49 847 This Official Statement has been duly executed and delivered by the Mayor and the City Manager of the City of Miami Beach, Florida. CITY OF MIAMI BEACH, FLORIDA PHILIP LEVINE, Mayor JIMMY L. MORALES, City Manager 50 848 APPENDIXA General Information and Economic Data Regarding the City of Miami Beach, Florida and Miami-Dade County, Florida 849 GENERAL INFORMATION REGARDING THE CITY OF MIAMI BEACH AltD MIAMI-DADE COUNTY, FLORIDA The following information pertaining to the City of Miami Beach, Florida (the "City") and Miami- Dade County, Florida (the "County") is set forth for purposes of providing background information only. The Series 2015 Bonds are payable only from the Net Revenues of the City's Parking System, and other amounts constituting Pledged Revenues, as defined in this Official Statement. The Series 2015 Bonds do not constitute a debt, liability or obligation or a pledge of the faith, credit or taxing power of the City, the County, the State of Florida, or any political subdivision thereof. INTRODUCTION The City The City is located on a barrier island surrounded by the Atlantic Ocean to the east and Biscayne Bay to the west. The City comprises seven (7) square miles of land area and ten (10) square miles of Biscayne Bay. The City is connected to the mainland by four (4) causeways. The climate of the City is tropical, with an average annual temperature of 75 degrees Fahrenheit, 24 degrees Celsius. The City is the home of the Art Deco Historic District, consisting of one of the greatest concentrations of Art Deco architecture in the United States. Within the Art Deco Historic District is the world famous Ocean Drive, which has been called the "Riviera" of Florida. The economy of the area is based on tourism. For Fiscal Year 2014, hotel, food and beverage sales accounted for an estimated$2.2 billion in sales within the City. The demographics of the City have drastically changed over the last thity- five (35) years. ln the 1980 Census, the average age of the City's population was 65.3 years old. That average declined to 43.7 years of age by the 2000 Census and to 40.3 years of age by the 2010 Census. After the significant changes between 1980 and 2010, the City's demographics are beginning to stabilize with a younger, more affluent population. Based on information provided by the U.S. Census Bureau for 2013 (the most recent year for which City estimates are crrrently available from the U.S. Census Bureau), the median age in the City was estimated to be 39.3 years of age and the median family income was estimated to be $52,576. The County The County is the largest county in the southeastern United States in terms of population and one of the largest in terms of land area. The County consists of 2,209 square miles of land area. The population of the County is clustered mainly along the coastal, eastem areas, with the western area of the County comprising a part of the Florida Everglades. The County was created on January 18, 1836 under the Tenitorial Act of the United States. It included the land area now forming Palm Beach and Broward Counties, together with the land area of the present Miami-Dade County. In 1909, Palm Beach County was established from the northem portion of what was then Dade County. In 1915, Palm Beach County and then Dade County contributed nearly equal portions of land to create what is now Broward County. There have been no significant boundary changes to the County since 1915. There are thirty-five (35) incorporated municipalities in the County and the County serves as a municipal govenrment for its unincorporated areas. ln addition to the City, the municipalities in the County include the cities of Miami, Hialeah and Coral Gables. A-l 850 POPULATION The U.S. Census Bureau estimated the population of the City and of the County to be 91,026 and 2,641,866, respectively, in 2013. For 2014, the population in the County is estimated to be 2,662,874. The U.S. Census Bureau population estimates for the City for 2014 have not been released. Projections by the Nielsen Company, a leading provider of demographic and economic data, provide for the City's population to grow to 96,484 by the year 2020. Set forth below are general population statistics for the City and the County and age data relating to the City's population groMh. Population, City of Miami Beach and Miami-Dade County 1980 -2014 City of Calendar Year Miami Beach Percent Chanse Miami-Dade Countv Percent Chanse 1980 1990 2000 2010 2013* 2014* 96,298 92,639 87,933 87,779 91,026 N/A 10.6% (3.8) (s.3 ) (0.1) 0.4 1,625,598 1,937,094 2,260,000 2,496,435 2,641,866 2,662,974 28.2% t9.2 16.7 10.5 5.8 6.7 Source: U.S. Department of Commerce, Bureau of Census. * Estimated as of July l, 2013 for City population and as of July l, 2014 for County population. Population estimates for the City for 2014 are not yet available. Population Breakdown City of Miami Beach, 1990 - 2013 Age Group 1990 2010 2013*2000 Under 18 l8 and over 2l and over 65 and over Median Age: t4.2% 85.8 83.1 23.4 44.5 13.4% 86.6 84. I 19.2 39.0 12.8% 87.2 84.9 t6.2 40.3 t5.6% 84.4 82.1 16.0 39.3 Source: U.S. Department of Commerce, Bureau of Census. * 2013 is the most recent year for which information is available. A-2 851 GOVERNMENT The City was incorporated as a municipal corporation on March 26,1915. The City operates under a Commission/City Manager form of govemment. The City Commission consists of the Mayor and six (6) Commissioners who serve as the policy-making body of the City. Authority is vested in the City Commission to enact ordinances, hold public hearings, approve contracts, establish the City's budget and tax assessments, and authorize construction of all public improvements. The Mayor and City Commission are elected on a citywide, nonpartisan basis. Elections are held in odd numbered years, with the Mayor elected to serve two-year terms with a limit of three (3) consecutive terms. Commissioners are elected to serve four-year terms with a limit of two (2) consecutive terms. City Commission terms are staggered so that not all Commissioners are up for re-election at the same time. On a rotating basis, the City Commission selects one (1) of its members to serve as Vice Mayor for a three- month term. The Mayor, who is the presiding officer at City Commission meetings, may vote on all matters that come before the City Commission, but has no power of veto. The City Commission appoints the City Manager, the City Attomey and the City Clerk. All other department heads are appointed by the City Manager, with the consent of the City Commission. The City Manager is vested with the responsibility to ensure that policies, directives, resolutions, and ordinances adopted by the City Commission are enforced and implemented. As the City's Chief Executive Officer, the City Manager is responsible for providing executive level leadership, vision and guidance to the organization, providing recommendations to the City Commission and implementing policy directives in an efficient and effective manner. In addition, the City Manager is responsible for the daily operations of the City, preparing and administering the budget, planning the development of the City, supervising City employees, interacting with citizen groups and other units of govemment, and is otherwise responsible for the health, safety, and welfare of the residents of and visitors to the City. With the exception of the City Attomey's Office and the City Clerk's Office, the City Manager has the power to appoint or remove all heads of the various departments of the City. SCOPE OF SERVICES The City provides a full range of municipal services, including police and fire protection, recreational activities, parks, cultural events, sanitation services, water, sewer and storm water services, neighborhood and community services, and the construction and maintenance of streets and infrastructure. ECONOMIC AND DEMOGRAPHIC DATA Family Income The estimated median family income for the City has been consistently higher than the median family income for the County. During the last five years, the median family income for the City has ranged from being 9.6% higher than the median family income for the County in 2010 to being 20.7% higher in 2011. [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] A-3 852 Estimated Median Family Incomes, 2009 - 2013(') Calendar Year City of Miami Beach Miami-Dade Percent Chanse Countv Percent Chanee 2009 2010 20tt 2012 2013e) $54,643 50,758 57,318 56,457 52,576 23% (7.1) t2.9 (1.5) (6.e) $47,697 46,126 46,577 47,382 46,904 (7.8)% (3.3) 1.0 1.7 (1.0) Source: U.S. Department of Commerce, Bureau of Census. (l) Amounts are presented in dollars, adjusted for inflation.(2) 2013 is the most recent year for which information is available. Per Capita Personal Income Between 2009 and 2013, the estimated per capita personal income for the County increased by 12.9 percent, from 535,329 in2009 to $39,880 in 2013. Such increase is slightly higher than the rate of growth in the State of Florida, which experienced a per capita personal income growth rate of approximately I l.l percent during the same period, and generally consistent with the rate of growth in the United States, which experienced a per capita personal income growth rate of approximately 13.7 percent during the same period. Per Capita Personal Income, 2009 - 2013(t) Miami-Dade Yeal2) Countv % of U.S. State of Florida % of U.S. United States 2009 2010 20tt 2012 2013(3) $35,329 36,592 38,242 39,467 39,880 89.7% 91.2 90.3 89.3 89.1 $37,350 38,478 40,215 44,041 41,497 94.8% 95.8 95.0 92.9 92.7 $39,379 40,144 42,332 44,200 44,765 (l) (2) (3) Source: U.S. Department of Commerce, Bureau of Economic Analysis/Regional Economic Information System. lnformation provided as of the last available update, dated November 20,2014. Estimates for 2013 are new estimates. Amounts for 2009 through 2012 are revised from estimates previously provided for such years. 2013 is the most recent year for which information is available. A4 853 EMPLOYMENT The following tables provide information relating to the City's labor force and the principal employers in the County for the fiscal year ended September 30, 2014 and comparative data for the fiscal year ended September 30, 2005. City of Miami Beach Employmentz00g -2014* Labor Force 2009 2010 20ll 2012 2013 2014 Labor Force Employed 42,447 44,129 46,295 46,992 47,630 49,191 Labor Force Unemployed 4,315 4,088 3,237 3,042 2,477 2,344 Total Labor Force 46,762 48,217 49,532 50,034 50,107 51,535 Unemployment Rate 9.2% 8.5% 6.5% 6.1% 49% 4.5% Source: U.S. Department of Labor, Bureau of Labor Statistics. * Data provided for December of each year. Data for years 201 0 to 20 14 represents provisional data, which is subject to change. [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] A-5 854 Miami-Dade County Ten Largest Public Employers 20t4 2005 Emplovers Miami-Dade County Public Schools Miami-Dade County Federal Govemment Florida State Govemment Jackson Health System City of Miami Florida lntemational University Homestead Air Force Base Miami VA Medical Center Miami-Dade College City of Miami Beach TOTAL Percentage of Total County Rank Emplovment | 2.74o/o 2 2.08 3 1.57 4 1.40 5 0.80 6 0.33 7 0.29 8 0.27 9 0.20 10 0.20 Employees Rank 54,387 I 32,265 2 20,100 3 18,900 4 11,700 5 3,954 8 5,000 7 2,018 9 7,500 6 I,839 l0 L51.633. Emplovees 33,477 25,502 19,200 17,100 9,797 3,997 3,534 3,250 2,500 2,390 LNJ47 9.88% Source: City of Miami Beach Comprehensive Annual Financial Report for the Fiscal Year ended September 30,2014. IREMAINDER OF PAGE INTENTIONALLY LEFT BLANK] A-6 855 Miami-Dade County Ten Largest Private Employers 2014 2005 Employers University of Miami Baptist Health South Florida American Airlines Camival Cruise Lines Miami Children's Hospital Mount Sinai Medical Center Florida Power & Light Co. Royal Caribbean Intemational Wells Fargo Bank Bank of America Merrill Lynch United Parcel Service Bellsouth Winn-Dixie Stores Precision Response Corporation Publix Super Markets Burdines-Macy's TOTAL 5,000 4 4,800 5 4,616 6 4,196 7 4,000 8 3.368 l0 58p24 Emplovees 12,818 11,353 I 1,031 3,500 3,500 3,321 3,011 2,ggg 2,050 2,000 Percentage of Total County Employment t.05% 0.93 0.90 0.29 0.29 0.27 0.25 0.24 0.17 0.16 Emplovees Rank 9,079 2 10,300 1 9,000 3 3,665 9 Rank I 2 3 4 5 6 7 8 9 10 55.573 4.ss% Source: City of Miami Beach Comprehensive Annual Financial Report for the Fiscal Year ended September 30,2014- [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] A-7 856 BUILDING PERMITS The following is a calculation of the total value of the Building Permits issued by the City during the past ten (10) years. City of Miami Beach, Florida Value of Building Permits Issued Fiscal Years 2005 - 2014 Fiscal Year Ended September 30, Number of Permits Total Value 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 12,837 12,226 12,729 I 1,056 10,277 10,1 88 1 1 ,159 12,580 13,898 13,972 $ 1,235,909,151 1,177,266,348 1,165,346,118 1,109,923,131 567,660,721 299,508,078 373,852,763 417,81t,132 506,646,472 818,831,235 Source: Cify of Miami Beach Building Department. [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] A-8 857 PROPERTY TAXES The following table summarizes the direct and overlapping tax (millage) rates for the past ten (10) years. The table reflects the fact that, except during the years when millage rates needed to increase in response to the significant reduction in assessed values experienced throughout Florida and the United States during the economic downturn, millage rates in the City have generally decreased during the past ten (10) years. City of Miami Beach, Florida Direct and Overlapping Tax Rates ($1 per $1,000 of Assessed Value) Fiscal Years 2005 - 2014 City of Miami Beach Direct Rates Tax Roll Fiscal Year Year as of Ended January I Seotember 30 Millaee Millase Millase Overlappinq Rates School District County State Millase Millaee Millaee Total Operating Debt Total Service Direct 2005 2006 2007 2008 2009 20t0 20tt 2012 2013 2014 2006 2007 2008 2009 2010 20tt 2012 2013 2014 20t5 7.4810 7.3740 5.6555 5.6555 5.6555 6.2155 6.1655 6.0909 5.8634 5.7942 0.5920 0.2990 0.2415 0.2375 0.2568 0.2870 0.2884 0.2568 0.2529 0.2295 8.0730 7.6730 5.8970 5.8930 s.9123 6.5025 6.4s39 6.3477 6.1 1 63 6.0237 8.4380 8.1050 7.9480 7.7970 7.99s0 8.2490 8.0050 7.9980 7.9770 7.9740 7.0348 6.8083 5.67tt s.9263 6.00s 1 6.6s6s 5.7695 5.6610 5.7980 s.9009 0.7355 24.2813 0.7355 23.3218 0.6585 20.1746 0.6585 20.2748 0.6s8s 20.s709 0.6s85 22.0665 0.4708 20.6992 0.4634 20.470r 0.44ss 20.3368 0.4187 20.3173 Source: City of Miami Beach Comprehensive Annual Financial Report for the Fiscal Year ended September 30, 2014 and Miami-Dade County Property Appraiser's Millage Tables. [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] A-9 858 The following table summarizes the tax levies and collections in the City for the past ten (10) years. City of Miami Beach, Florida Property Tax Levies and Collections Fiscal Years 2005 - 2014 Tax Roll Fiscal Year Taxes Year as of Ended Levied for Januarv I Seotember 30 Fiscal Year Collected within Fiscal Year of Lew Collections in Percentage Subsequent Amount of Lew Years Total Collections to Date Percentage Amount of Levy 2004 2005 2006 2007 2008 2009 2010 20tl 2012 2013 2005 2006 2007 2008 2009 2010 20tt 2012 2013 2014 $110,739,153 135,910,285 165,759,439 150,418,073 150,588,328 138,703,567 136,549,286 134,753,401 139,133,369 143,266,670 $ 97,731,071 132,487,342 163,120,484 145,433,238 144,321,499 131,355,903 128,719,932 129,572,373 134,848,787 t41,551,552 88.25% $1,086,183 97.48 1,814,064 98.41 2,145,835 96.69 4,646,716 95.84 4,633,049 94.70 3,550,990 94.27 290,254 96.16 t25,t52 95.62 3,403,910 97.53 N/A Report for the Fiscal Year s 98,817,254 89.23% 134,30r,406 98.82 165,266,319 99.70 150,079,954 99.78 148,954,548 98.92 t34,906,893 97.26 129,010,186 94.48 t29,697,525 96.25 138,252,697 99.37 141,551,552 98.80 ended September 30, 2014 andSource: City of Miami Beach Comprehensive Annual Financial Miami-Dade County Property Appraiser's Office. [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] A-10 859 The following tables summarize the ten (10) largest taxpayers in the City, the type of property owned by such taxpayers and the assessed value ofsuch property for the Fiscal Year ended September 30, 2014 and, for comparison, for the Fiscal Year ended September 30, 2005. City of Miami Beach Ten Largest Taxpayers Fiscal Year 2014 Taxpayer Fountainbleau Florida Hotel LLC MB Redevelopment [nc. / Loews Hotel 2201 Collins Fee LLC Florida Power & Light Company Di Lido Beach Hotel Corp. 2377 Collins Resort LP VCP Lincoln Road LLC Eden Roc LLP MCZ lCentrum Flamingo II LLC MCZ lCentrum Flamingo III LLC TOTAL Taxable Assessed Value $ 327,513,062 229,900,000 200,811,436 186,802,731 112,960,000 I10,925,385 98,000,000 97,429,200 95,590,000 79,860,000 $1J3tr9.!,E-!4 Percentage of City's Certified Taxable Assessed ValueTvpe ofPropertv Hotel Hotel Apartments lndustrial Hotel Hotel Retail Hotel Apartments Apartments 1.33% 0.93 0.81 0.76 0.46 0.45 0.40 0.40 0.39 0.32 6.25Yo Source: 2013 Miami-Dade County, Florida Ad Valorem Assessment Roll for the City of Miami Beach and City of Miami Beach, Florida Comprehensive Annual Financial Report for the Fiscal Year Ended September 30.2014. [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] A-11 860 Taxpayer Loews Miami Beach Hotel Morton Towers Fountainbleau Hotel Sandy Lane Residential LLC Di Lido Beach Hotel Corp. Eden Roc Acquisition LP Shore Club Morton Towers Expansion South Gate Apartments 2201 Collins Fee LLC TOTAL City of Miami Beach Ten Largest Taxpayers Fiscal Year 2005 Type ofProperty Hotel Apartments Hotel Hotel Hotel Hotel Hotel Apartments Apartments Apartments Taxable Assessed Value $143,400,000 110,675,000 104,449,118 72,230,700 61,900,000 49,500,000 48,500,000 48,325,000 48,000,000 44583.667 $731.s63.48s Percentage of City's Certified Taxable Assessed Value 1.02o/o 0.79 0.74 0.51 0.44 0.3s 0.35 0.34 0.34 0.32 5.20% Source: 2004 Miami-Dade County, Florida Ad Valorem Assessment Roll for the City of Miami Beach and City of Miami Beach, Florida Comprehensive Annual Financial Report for the Fiscal Year Ended September 30,20t4. LOCAL ECONOMY Tourism is the largest sector of the City's economy, with over $2.2 billion in direct tourist spending on hotel, food and beverage, and constitutes a large portion of the City's $l billion retail marketplace. In Fiscal Year 2013, the City's hotels hosted more than 5 million ovemight visitors, and approximately 7 million tourists visited South Beach and the Art Deco Historic district. Results reported for Fiscal Year 2014 evidence a continued upward trend. Hotel room sales in the City for Fiscal Year 2014 increased by 7% from Fiscal Year 2013, following the 9o/o increase a year earlier, demonstrating the continued strength of the City's lodging market and its major role in the robust tourist economy of South Florida. The City's hotel room occupancy rates remained stable in Fiscal Year 2014 at77o/o, as was the case in Fiscal Year 2013, reflecting continued absorption of an inventory of hotel rooms that has increased significantly in recent years, from 13,506 rooms at the beginning of 2008 to 17,751 in 2014. This additional inventory has provided the City with additional hotel room resources and product that is expected to continue to attract future visitors to and investment in the City. Evidence of the strength of the local economy is the fact that, with the exception of a de minimis l% decline in the first quarter of 2008, hotel room demand has increased every quarter from the third quarter of2007 through the fourth quarter of2014. A-12 861 The City is also a regional destination, with approximately 7 to 9 million day trips by residents of the surrounding area, making it one of the most popular destinations in Florida. However, in recent years, the City has diversified beyond its traditional tourism based economy to become a leading multi-industry business center, with entertainment, health care, culture, and professional services industries. The City serves as host for several major television shows, including Bum Notice (USA), Magic City (Starz) and Ballers (HBO), and has been the host for several recent feature productions, including Iron Man 3, Step Up Revolution, Pain & Gain and Ride Along 2. In addition, the City hosted the inaugural eMerge Americas Conference, showcasing the best and brightest technology innovaton and entrepreneurs, including Rokk3rlabs, a tech hub that is based in the City. In December 2014, the world's most prestigious art fair, Art Basel, based in Switzerland, celebrated the thirteenth anniversary of its Miami Beach exhibition. Over 250 of the world's leading art galleries participate in Art Basel Miami Beach and an estimated 73,000 international visitors attended the 2014 event. Art Basel Miami Beach has increased in attendance and sales every year since inception. Retail tenants continue to open locations and expand in the City, joining established operations, such as Armani Exchange, Kenneth Cole, Urban Outfitters, Diesel, Nicole Miller, Forever 21, H&M and Gap, which recently opened its new two story location in the City. New retailers that joined the Miami Beach market in2014 included Athleta & Intermix, with Lululemon,Zadiq and Voltaire and Kiko Milano scheduled to join in 2015. As of September 30 2014, Class A offrce space in prime locations continues to generate interest, with a vacancy rate at the low level of approximately 9.9%. Such office space is anchored by corporate tenants, such as LNR Property Corporation, Terranova, and Benetton. Although there are factors beyond the City's control that have impacted the production of entertainment projects, the entertainment industry continues as an important part of the City's economy. The City remains a key location for the production of movies, fashion campaigns and television series. Many intemational talent and model agencies have established and continue operations in the City and the City continues to grow as an international destination for major events. In addition to Art Basel Miami Beach, Design Miami, the South Beach Food and Wine Festival, the Miami lnternational Auto Show, the South Beach Comedy Festival, the Miami Beach Intemational Boat Show and the Winter Music Conference continue to provide a stong base for the special events, meeting and trade show segment of the City's economy. The City also remains a leader in the real estate industry, as the median price of homes and condominiums continued to stabilize through 2014. Development in the City continues to grow, specifically in North Beach, an axea historically overlooked for significant projects by developers. Growth management initiatives in the late 1990's resulted in more limited supply, somewhat reducing the exposure of excess new residential inventory that was experienced in some other cities. Since the end of 2008, as recessionary pressures eased on the economy, the City has experienced quarterly increases ofunits sold, and a decline in the number of condominium units for sale, from over 4,000 in early 2008, to 1,470 in December 2013. In 2014 however, due to rising prices and a strengthening dollar, the sales velocity of the market has eased, with the condo listing inventory increasing to 3,409 in20l4 from record lows in 2013. MIAMI BEACH VISITORAIID CONVENTION ACTIVITY Miami-Dade County and the Miami Beach Convention Center host a large number of conventions and the City welcomes a large number of ovemight visitors each year. Set forth below is information relating to convention center attendance and ovemight visitor activity. A-13 862 City of Miami Beach, Florida Convention Center Attendance and Overnight Visitors Fiscal Years 2005 - 2014 Convention Center Ovemight Total Ovemight Fiscal Year Attendance Visitors Visitor Snendins 2005 2006 2007 2008 2009 2010 20tt 20t2 20t3 20t4 N/A 649,671 707,133 889,695 632,700 708,875 661,625 661,327 589,663 737,954 5,300,000 5,143,740 4,894,053 4,963,569 5,383,091 5,558,408 5,539,010 5,941,612 5,697,053 6,961,200 $ 7,200,000,000 7,889,608,756 7,344,719,992 7,468,633,814 7,524,151,558 8,104,378,579 9,088,739,484 9,201,340,602 10,614,159,967 10,500,000,000 Source: City of Miami Beach Finance Department. [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK.] A-14 863 Oriein Tourism and Visitor Activity Domestic and International Overnight Visitors Miami-Dade County Fiscal Years 2010 - 2014 (in 000) Fiscal Year Ended Sentember 30. 2010 20tt 2012 20t3 2014 Domestic Regions Northeast Southem Midwest Westem Total Domestic Visitors International Regions South America Caribbean Cental America Europe Canada Other lntemational Regions Total International Visitors Total Overnight Visitors Expenditures* Domestic Overnight Visitors lnternational Ovemight Visitors Total Expenditures 3,196.0 1,568.5 1,220.6 558.9 6.948.s 2,936.9 688.5 525.1 1,306.5 587.4 115.8 6,060.1 t2.604) $ 6,484.7 12,428.6 $18.913.3 3,362.1 1,700.1 1,291.2 595.1 6.948.s 3,182.9 702.8 537.6 1,324.7 627.9 1 19.8 6,495.7 13,4442 $ 7,088.7 14.s28.6 $21.6.!_73 3,423.2 1,750.6 1,300.9 600.2 7,074.9 3,435.6 718.8 550.1 1,364.4 640.5 t20.3 6.833.7 13.908.6 $ 7,482.3 15,183.0 $22.66s.3 3,401.4 1,781.0 t,263.6 64t.2 7,087.2 3,737.1 7t9.2 561.5 1,332.4 660.6 r20.9 7 ,131.7 !4218s. $ 7,839.9 15,954.I $23.794.0 3,520.1 1,933.1 1,270.8 679.2 7.303.2 3,659.0 755.0 595.3 1,430.2 689.7 t30.7 7.260.0 !1s632 $ 8,206.3 16,528.2 $24.734.s Source: Greater Miami Convention and Visitors Bureau. * Average Daily Expenditures. [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK.] A-15 864 Reeion Overnight Visitors by Region Fiscal Years 2010 - 2014* Fiscal Year Ended Septembe 2010 2011 2012 20t3 2014 Miami Beach Downtown Miami Airport Area North Miami-Dade/Sunny Isle South Miami-Dade Coral Gables Key Biscayne Coconut Grove Doral Total 44.t% 18.7 13.8 9.5 5.8 5.4 2.5 1.3 N/A 1000 41.2% 21.7 13.0 0.8 0.7 1000h 42.00h 43.2% 17.6 18.1 17.2 16.5 47.8yo t9.z 12.8 9.8 10.0 5.8 5.0 5.7 4.9 2.4 2.7 r0.8 8.8 4.7 3.9 4.2 3.9 1.3 1.5 0.9 0.5 1.5 0.7 0.9 3.3 1000h 1000h t00% Source: Greater Miami Convention and Visitors Bureau. * Numbers may not add, due to rounding. TRANSPORTATION Surface Transportation The County has a comprehensive transportation network designed to meet the needs of residents, travelers and area businesses. The County's internal transportation system includes (i) Metrorail, a24.8 mile above-ground, electric rail system connecting South Miami-Dade and the City of Hialeah with the downtown Miami and civic center areas; (ii) Metromover, a fully automated, 4.4 mile above-ground, electric rail, double-loop people mover system that carries passengers around downtown Miami's central business center, south to the Brickell Avenue business and intemational banking centers and north to the Andrienne Arsht Performing Arts Center and Omni shopping center areas; and (iii) the County's Metrobus system, which operates over approximately 29.3 million revenue miles per year and provides over 76.8 million passenger trips annually. The County also provides para-transit services to qualified elderly and handicapped riders. The County's para-transit services supply over 1.68 million passenger trips annually. In addition, cargo rail service is available from both Miami lntemational Airport and the Port of Miami, and Amtrak has a passenger station in the City of Miami. Tri-Rail, a 72-mie train system, links the City of West Palm Beach, the Town of Boca Raton, the City of Fort Lauderdale, the City of Hollywood and Miami Intemational Airport. Miami International Airport Miami lntemational Airport is one of the busiest airports in the world for both passenger and cargo traffic. It ranks twelfth (12'h) in the nation and twenty-fifth (25'h) in the world in passenger traffic and has the second highest international passenger traflic in the United States. The airport ranks third (3'd) in the A-16 865 nation and eleventh (l l'h) in the world in tonnage of domestic and intemational cargo movement. During Fiscal Year 2014 Miami International Airport handled 40,844,964 passengers and2,187,943 tons of air freight. More than 88 airlines serve Miami Intemational Airport, flying passengers to more than 150 destinations around the globe. Port of Miami The Port of Miami, known as the "cruise capital of the world," is an island port that encompasses 649 acres of land. It is the world's largest multi-day cruise port and is operated by the Seaport Department of Miami-Dade County. Embarkations and debarkations on cruise ships totaled over 4.7 million passengers at the Port of Miami during Fiscal Year 2014. The Port of Miami is currently home to twenty-eight (28) cruise ships that operate throughout the year. Such ships, owned by eight (8) separate cruise ship companies, include some of the largest cruise ships in the world. The Port of Miami is also a hub for Caribbean and Latin American commerce. These countries accounted for over one-half of the 7.6 million tons of cargo transferred through the Port of Miami during Fiscal Year 2014. The Port of Miami has also expanded its relationships in the global community. As a result, trade with the Far East, Asia and the Pacific coast accounted for almost 39o/o of the total cargo handled at the Port of Miami during Fiscal Year 2014. In August 2014, access to the Port of Miami was increased by the opening of the PortMiami Tunnel. The PortMiarni Tunnel consist of two (2) parallel tunnels (one in each direction) that travel underneath Biscayne Bay connecting MacArthur Causeway on Watson Island with the Port of Miami on Dodge Island. The PortMiani Tunnel provides direct access from highways I-95 and I-395, creating a highly desired additional entrance to the Port of Miami and a major improvement in traffic flow in downtown Miami. The PortMiarni Tunnel is expected to be a signihcant catalyst for future development at the Port of Miami and in the downtown Miami area. RECREATION There are numerous parks and playgrounds in the City. Each park provides different amenities, from tennis and bocce courts to swimming pools and tot lots, to Vita courses and barbecue pits. There are four (4) Vita courses, two (2) public swimming pools, and numerous tennis courts, including the Holtz Tennis Stadium, which hosts championship, professional and amateur tournaments. Offshore, the Gulf Stream provides a variety of game fish, while the Miami Beach Marina provides an abundance of space to house boats as well as direct access to the Atlantic Ocean and the Gulf Stream. The Marina is a private development on City owned, bay front land in the South Pointe area of the City. Renovation has increased the number of boat slips to 388, making the Marina a first class facility and the largest marina in the area. ln the north part of the City, the public can enjoy a leisurely sail in the quiet waters of Biscayne Bay from the Miami Beach Sailport. The facility, though open to all ages, was specially designed to teach young adults the basic art of sailing on small prams. The City owns two (2) championship golf courses that are open to the public. The two (2) championship courses, Miami Beach Golf Course and Normandy, offer a clubhouse complete with a restaurant, lounge and pro shop. A-t7 866 APPENDIXB Excerpts from Comprehensive Annual Financial Report of the City of Miami Beach, Florida for the Fiscal Year Ended September 30,2014 867 APPENDIX C The Resolution 868 APPENDIXD Proposed Form of Opinion of Bond Counsel 869 APPENDIXE Proposed Form of Opinion of Disclosure Counsel 870 Date of Delivery City Commission of the City of Miami Beach, Florida 1700 Convention Center Drive Miami Beach, Florida 33139 City of Miami Beach, Florida Parking Revenue Bonds Series 2015 Ladies and Gentlemen: We have served as Disclosure Counsel in connection with the issuance by the City of Miami Beach, Florida (the "City'') of its $in aggregate principal amount of Parking Revenue Bonds, Series 2015 (the "Series 2015 Bonds"). The Series 2015 Bonds are being issued with the terms, for the purposes and subject to the conditions set forth in Resolution No. 2010-27491 adopted by the Mayor and City Commission of the City (collectively, the "City Commission") on September 20, 2010 (the "Bond Resolution"), and Resolution No. 2015-_ adopted by the City Commission on October _, 2015 (the "Series 2015 Resolution" and, collectively with the Bond Resolution, the "Resolution"), as described in the Official Statement dated November _,2015 relating to the Series 2015 Bonds (the "Official Statement"). All capitalized terms used in this opinion that are not defined herein and not normally capitalized shall have the meaning ascribed to such terms in the Official Statement. ln connection with the issuance and delivery of this opinion, we have considered such matters of law and fact and have relied upon such certificates and other information fumished to us as we have deemed appropriate. We are not expressing any opinion or views herein on the authorization, issuance, delivery or validity of the Series 201 5 Bonds. To the extent that the opinions expressed herein relate to or are dependent upon the determination that the proceedings and actions related to the authorization, issuance and sale of the Series 2015 Bonds are lawful and valid under the laws of the State of Florida, or that the Series 2015 Bonds are valid and binding obligations of the City enforceable in accordance with their terms, or that interest on the Series 2015 Bonds is excluded from the gross income of the owners thereof for federal income tax purposes, we understand that you are relying upon the opinions delivered on the date hereof of Squire Patton Boggs (US) LLP and no opinion is expressed herein as to such matters. The scope of our engagement with respect to the issuance of the Series 2015 Bonds was not to establish factual matters and, because of the wholly or partially non-legal character of many of the determinations involved in the preparation of the Official Statement, we are not passing on and do not assume any responsibility for, except as set forth in the last sentence of this paragraph, the accuracy or completeness of the contents of the Official Statement (including, without limitation, its appendices) and we make no representation that we have independently verified the accuracy, completeness or fairness of such contents. As your counsel, we have participated in the preparation of the Official Statement and in discussions and conferences with officials of the City, Bond Counsel for the City, the Consulting Engineers for the City in connection with the issuance of the Series 2015 Bonds, the Financial Advisors for the City, the Underwriters for the issuance of the Series 2015 Bonds and Greenberg Traurig, P.A., Counsel to the Underwriters, in which the contents of the Official Statement and related matters were discussed. Solely on the basis of our participation in the preparation of the Official Statement, our examination of certificates, documents, instruments and records relating to the City and the issuance of the Series 2015 E-1 871 City Commission of the City of Miami Beach, Florida Date of Delivery Page 2 Bonds and the above-mentioned discussions, nothing has come to our attention which would lead us to believe that the Official Statement (except for the financial, statistical and demographic data and information in the Official Statement, including, without limitation, the appendices thereto, and the information relating to DTC, its operations and the book-entry only system, as to which no opinion is expressed) contains an untrue statement of a material fact or omits to state a material fact that is necessary to make the statements therein, in light of the circumstances under which they were made, not misleading. We are also of the opinion that the continuing disclosure undertaking set forth in the Resolution and in the Disclosure Dissemination Agent Agreement of the City dated December _, 2015 and delivered at the closing for the Series 2015 Bonds, satisfies the requirements set forth in Rule l5c2-12(b)(5) of the United States Securities and Exchange Commission, as such requirements apply to the issuance of the Series 2015 Bonds. ln reaching the conclusions expressed herein we have, with your concurrence, assumed and relied on, without independent verification, the genuineness and authenticity of all signatures not witnessed by us, the authenticity of all documents, records, instruments and letters submitted to us as originals, the conformity to originals of all items submitted to us as certified or photostatic copies, the legal capacity and authority of the persons who executed such items, the accuracy of all warranties, representations and statements of fact contained in the documents and instruments submitted to us, and the continuing accuracy on this date of any certificates or other items supplied to us regarding the matters addressed herein. As to questions of fact material to our opinions, we have relied upon and assumed the correctness of the public records and certificates by, and representations of public oflicials and other officers, and representatives of the parties to this transaction. We have no actual knowledge of any factual information that would lead us to form a legal opinion that the public records or certificates which we have relied upon contain any untrue statement of a material fact. The opinions expressed herein are based upon existing law as of the date hereof and we express no opinion herein as of any subsequent date or with respect to any pending legislation. We assume no obligation to supplement this opinion if any applicable laws change after the date hereof or if we become aware of any facts that might change the opinions expressed herein after the date hereof. The opinions expressed herein represent our professional judgment, are not a guarantee of result, and are limited to the laws of the State of Florida and the United States of America. The opinions expressed herein are furnished by us as Disclosure Counsel to our client, the City, and solely for the use of the addressee named above. Such opinions shall not extend to, and may not be relied upon by, any other persons, firms, or corporations without our express prior written consent. The opinions expressed herein are limited to the matters set forth herein, and to the documents referred to herein, and do not extend to any other agreements, documents or instruments executed by the City. No other opinion should be infened beyond the matters expressly stated herein. Respectfully submitted, LAW OFFICES OF STEVE E. BULLOCK, P.A. E-2 872 APPENDIXF Form of Disclosure Dissemination Agent Agreement 873 IAPPENDIX G Form of Specimen Municipal Bond Insurance Policyl 874 $_ CITY OF MIAMT BPACU, FLORIDA Parking Revenue Bonds, Series 2015 BOND PURCHASE AGREEMENT ,2075 Mayor and City Commission City of Miami Beach, Florida 1700 Convention Center Drive Miami Beach, Florida 33139 Ladies and Gentlemen: J.P. Morgan Securities LLC (the "Senior Managing Underwriter"), acting on behalf of itself and SunTrust Robinson Humphrey, and Estrada Hinojsa & Company, Inc. (collectively, with the Senior Managing Underwriter, the "Underwriters"), offer to enter into this Bond Purchase Agreement (this "Purchase Agreement") with the City of Miami Beach, Florida (the..City,,),forthesalebytheCityandthepurchasebytheUnderwritersoftheCity,s$- Parking Revenue Bonds, Series 2015 (the "Series 2015 Bonds"). This offer is made subject to acceptance by the City prior to 5:00 p.m. (Eastern Time) on the date hereof. Upon such acceptance, this Purchase Agreement will be in full force and effect in accordance with its terms and will be binding on the City and the Underwriters. If this offer is not so accepted, it is subject to withdrawal by the Underwriters upon written notice delivered to the City at any time prior to such acceptance. In conformance with Section 218.385, Florida Statutes, as amended, the Underwriters hereby deliver the Disclosure and Truth-in-Bonding Statement attached hereto as Exhibit "A." Capitalized terms used in this Purchase Agreement, but not defined, are used with the meanings ascribed to them in the Bond Resolution hereinafter described. The Senior Managing Underwriter represents that it is authorized on behalf of itself and the other Underwriters to enter into this Purchase Agreement and to take any other actions that may be required on behalf of the Underwriters. SECTION I. (a) Upon the terms and conditions and upon the basis of the representations and warranties herein set forth, the Underwriters hereby agree to purchase from the City, and the City hereby agrees to sell to the Underwriters all (but not less than all) of the Series 2015 Bonds for apurchase price equal to $(which purchase price is the aggregate principal amount of the Series 2015 Bonds of 875 , plus/minus a net original issue premium/discount of and less an Underwriters' discount of $ ). The purchase price for the Series 2015 Bonds shall be payable to the City in immediately available funds. In connection with the execution of this Purchase Agreement, the Senior Managing Underwriter, on behalf of the Underwriters, has delivered to the City a wire transfer credited to the order of the City in immediately available federal funds in the aggregate amount of Dollars ($_) (the "Good Faith Deposit"), which is being delivered to the City on account of the purchase price of the Series 2015 Bonds and as security for the performance by the Underwriters of their obligation to accept and to pay for the Series 2015 Bonds. If the City does not accept this offer, the Good Faith Deposit shall be immediately returned to the Senior Managing Underwriter by wire transfer credited to the order of the Senior Managing Underwriter in the amount of the Good Faith Deposit, in federal funds to the Senior Managing Underwriter. In the event the hereinafter defined Closing takes place, the amount of the Good Faith Deposit shall be credited against the purchase price of the Series 2015 Bonds pursuant to Section 1(a). In the event of the City's failure to deliver the Series 2015 Bonds at the Closing, or if the City shall be unable at or prior to the Closing to satisfy the conditions to the obligations of the Underwriters contained in this Purchase Agreement (unless such conditions are waived by the Senior Managing Underwriter), or if the obligations of the Underwriters shall be terminated for any reason permitted by this Purchase Agreement, the City shall immediately wire to the Senior Managing Underwriter in federal funds the Good Faith Deposit without interest, and such wire shall constitute a full release and discharge of all claims by the Underwriters against the City arising out of the transactions contemplated by this Purchase Agreement. In the event that the Underwriters fail other than for a reason permitted under this Purchase Agreement to accept and pay for the Series 2015 Bonds upon their tender by the City at the Closing, the amount of the Good Faith Deposit shall be retained by the City and such retention shall represent full liquidated damages and not a penalty, for such failure and for any and all defaults on the part of the Underwriters and the retention of such funds shall constitute a full release and discharge of all claims, rights and damages for such failure and for any and all such defaults. It is understood by both the City and the Underwriters that actual damages in the circumstances as described in the preceding sentence may be difficult or impossible to compute; therefore, the funds represented by the Good Faith Deposit are a reasonable estimate of the liquidated damages in this type of situation. (c) The Series 2015 Bonds will be issued pursuant to Chapter 166, Florida Statutes, as amended, the City of Miami Beach Charter, and other applicable provisions of law (collectively, the "Act"), and pursuant and subject to the terms and conditions of Resolution No. 2010-27491 adopted by the Mayor and City Commission of the City of Miami Beach, Florida (the "Commission") on September 20,2010, as amended and supplemented from time to time, and as particularly $ $ (b) 876 (d) supplemented by Resolution No. 2015-adopted by the Commission on ,2075 (collectively, "Bond Resolution"). The Series 2015 Bonds will be secured as provided in the Bond Resolution. The Series 2015 Bonds shall mature and have such other terms and provisions as are described on Exhibit "B" hereto. Proceeds of the Series 2015 Bonds will provide funds, together with other available funds, to (i) pay the costs of certain capital improvements, including as described in the Bond Resolution (the "Series 2015 Project"), (ii) [fund required reserves, and (iii)] pay costs of issuance of the Series 2015 Bonds. It shall be a condition to the obligation of the City to sell and deliver the Series 2015 Bonds to the Underwriters, and to the obligation of the Underwriters to purchase and accept delivery of the Series 2015 Bonds, that the entire aggregate principal amount of the Series 2015 Bonds shall be sold and delivered by the City and accepted and paid for by the Underwriters at the Closing. The Underwriters agree to make a bona fide public offering of substantially all of the Series 2015 Bonds to the public at initial public offering prices not greater than (or yields not less than) the initial public offering prices (or yields) set forth in the Official Statement; provided, however, that the Underwriters reserve the right to make concessions to certain dealers, certain dealer banks and banks acting as agents and to change such initial public offering prices as the Underwriters shall deem necessary in connection with the marketing of the Series 2015 Bonds. At the Closing, the Underwriters shall deliver to the City a certificate, in a form acceptable to Bond Counsel, stating the facts of the sale of the Series 2015 Bonds in a manner such that the issue price can reasonably be established. The Official Statement shall be provided for distribution, at the expense of the City, in such quantity as may be requested by the Underwriters no later than the earlier of (i) seven (7) business days after the date hereof, or (ii) one (1) business day prior to the Closing date, in order to permit the Underwriters to comply with Rule l5c2-12 (the "Rule") of the Securities and Exchange Commission ("SEC"), and the applicable rules of the Municipal Securities Rulemaking Board ("MSRB"), with respect to distribution of the Official Statement The Senior Managing Underwriter agrees to file the Official Statement with the Electronic Municipal Market Access system ("EMMA") (accompanied by a completed Form G-32) by the date of Closing. The filing of the Official Statement with EMMA shall be in accordance with the terms and conditions applicable to EMMA. From the date hereof until the earlier of (i) ninety days from the "end of the underwriting period" (as defined in the Rule), or (ii) the time when the Official Statement is available to any person from the MSRB (but in no case less than twenty-five (25) days following the end of the underuriting period), if any event (e) (f) 877 occurs or a condition or circumstance exists which may make it necessary to amend or supplement the Official Statement in order to make the statements therein, in the light of the circumstances under which they were made, not misleading, the party discovering such event, condition or occurrence shall notify the other party and if, in the reasonable opinion of the City or the reasonable opinion of the Senior Managing Underwriter, such event requires the preparation and publication of an amendment or supplement to the Official Statement, the City, at its expense, will promptly prepare an appropriate amendment or supplement thereto, in a form and in a manner reasonably approved by the Senior Managing Underwriter (and file, or cause to be filed, the same with the MSRB, and mail such amendment or supplement to each record owner of the Series 2015 Bonds) so that the statements in the Official Statement, as so amended or supplemented, will not, in light of the circumstances under which they were made, be misleading. Each party will promptly notify the other parties of the occulrence of any event of which it has knowledge or the discovery of such conditions or circumstance, which, in its reasonable opinion, is an event described in the preceding sentence. Notwithstanding the foregoing, if prior to the Closing either the City or the Underwriters hereto does not in good faith approve the form and manner of such supplement or amendment, the other may terminate this Purchase Agreement. The parties agree to cooperate in good faith with regard to the form and manner of the supplement or amendment to the Official Statement. Unless the City is otherwise notified by the Underwriters in writing on or prior to the date of Closing, the end of the underwriting period for the Series 2015 Bonds for all purposes of the Rule and this Purchase Agreement is the date of Closing. In the event the written notice described in the preceding sentence is given by the Underwriters to the City, such written notice shall specify the date after which no participating underwriter, as such term is defined in the Rule, remains obligated to deliver Official Statements pursuant to paragraph (bX4) of the Rule. (g) The City hereby approves and authorizes the delivery and distribution of the Preliminary Official Statement and the execution, delivery and distribution of the Official Statement in substantially the form of the Preliminary Official Statement, together with such other changes, amendments or supplements as shall be made and approved in writing by the Senior Managing Underwriter and the City prior to the Closing in connection with the public offering and sale of the Series 2015 Bonds. SECTION 2. The City represents and warrants to and agrees with the Underwriters as follows: (a) The Bond Resolution was adopted by the Commission at meetings duly called and held in open session upon requisite prior public notice pursuant to the laws of the State of Florida and the standing resolutions and rules of procedure of the Commission. The City has full right, power and authority to adopt and/or enact the Bond Resolution and the Rate Instrument. On the date hereof, the Bond Resolution is, and, at the Closing shall be, in full force and effect, and no portions 878 (b) thereof have been or shall have been supplemented, repealed, rescinded or revoked. The Bond Resolution constitutes the legal, valid and binding obligation of the City, enforceable in accordance with its terms. The Bond Resolution creates a lien upon and pledge of Net Revenues, for the payment of principal and interest on the Series 2015 Bonds on parity and equal status with the City's (i)$17,155,000 original aggregate principal amount of Parking Revenue Refunding Bonds, Series 2010A, currently outstanding in the aggregate principal amount of $11,800,000, (ii) $27,405,000 original aggregate principal amount of Parking Revenue Bonds, Series 2010B, all of which are currently outstanding, and (iii) any other Bonds hereinafter issued under the Bond Resolution (the "Parity Bonds"). As of their respective dates and, with respect to the Official Statement, at the time of Closing, the statements and information contained in the Preliminary Official Statement and the Official Statement are and will be accurate in all material respects for the purposes for which their use is authorized, and do not and will not contain any untrue statement of a material fact or omit to state any material fact necessary to make the statements therein, in the light of the circumstances under which they were made, not misleading. In addition, any amendments to the Preliminary Official Statement and the Official Statement prepared and furnished by the City pursuant hereto will not contain any untrue statement of a material fact or omit to state any material fact necessary to make the statements therein, in the light of the circumstances under which they were made, not misleading. The Series 20i5 Bonds, the Bond Resolution and the Disclosure Dissemination Agent Agreement relating to the Series 2015 Bonds (the "Continuing Disclosure Agreement") conform to the descriptions thereof set forth in the Official Statement. The City is not in breach of or default under any applicable constitutional provision, law or administrative regulation of the State of Florida or the United States, or any agency or department of either, or any applicable judgment or decree or any loan agreement, indenture, bond, note, resolution, agreement or other instrument to which the City is a party or to which the City or any of its properties or other assets is otherwise subject, and no event has occurred and is continuing which, with the passage of time or the giving of notice, or both, would constitute a default or event of default under any such instrument, in any such case to the extent that the same would have a material and adverse effect upon the business or properties or financial condition of the City, including the City's receipts of the Net Revenues in the amount contemplated by the Official Statement; and the execution and delivery of the Series 2015 Bonds, the Continuing Disclosure Agreement, and this Purchase Contract and the adoption of the Bond Resolution, the adoption and/or enactment of the Rate Instrument, and compliance with the provisions on the City's part contained in each, will not conflict with or constitute a breach of or default under any constitutional provision, law, administrative regulation, judgment, decree, loan agreement, indenture, bond, note, resolution, agreement or other instrument to which the City is a party or to which the City or any of its properties or other assets is otherwise (c) 879 (d) subject, nor will any such execution, delivery, adoption or compliance result in the creation or imposition of any lien, charge or other security interest or encumbrance of any nature whatsoever upon any of the properties or the assets of the City under the terms of any such law, regulation or instrument, except as provided or permitted by the Series 2015 Bonds and the Bond Resolution. As of its date, the Preliminary Official Statement was deemed "final" (except for permitted omissions) by the City for purposes of paragraph (bX1) of the Rule. On the date hereof, the Commission is the governing body of the City and the City is, and will be on the date of the Closing, duly organized and validly existing as a municipality under the Act, with the power and authority set forth therein. The City has full right, power and authority to issue, sell and deliver the Series 2015 Bonds to the Underwriters as described herein; to provide funds to finance the Series 2015 Project; to have enacted and/or adopted the ordinances and/or resolutions which established the rates, fees, rentals, charges and other income which comprise Revenues of the Parking System, (collectively, the "Rate Instrument"); to enter into this Purchase Agreement, and the Continuing Disclosure Agreement (collectively, the "Bond Documents"), to issue and deliver the Series 2015 Bonds as provided in this Purchase Agreement and the Bond Resolution, to apply the proceeds of the sale of the Series 2015 Bonds for the purposes described herein and in the Official Statement, to execute and deliver the Bond Documents, and to carry out and consummate the transactions contemplated by the aforesaid documents. At meetings of the Commission that were duly called and at which a quonrm was present and acting throughout, the Commission approved the execution and delivery of the Series 2015 Bonds and the Bond Documents; authorized the execution and delivery of the Official Statement; and authorized the use of the Official Statement in connection with the public offering of the Series 2015 Bonds. The City represents that it will have no bonds or other indebtedness outstanding that are secured by the Net Revenues, other than as described in the Official Statement. All conditions and requirements of the Bond Resolution relating to the issuance of the Series 2015 Bonds have been complied with or fulhlled, or will be complied with or fulfilled on the date of Closing. Since September 30, 2014, there has been no material adverse change in the financial position, results of operations or condition, financial or otherwise, of the City or its Parking System other than as disclosed in the Official Statement and the City has not incurred liabilities that would materially adversely affect its ability to discharge its obligations under the Bond Resolution or the Bond Documents, direct or contingent, other than as disclosed in the Official Statement. No authorization, approval, consent or license of any governmental body or authority, not already obtained, is required for the valid and lawful execution and delivery by the City of the Series 2015 Bonds, the Bond Documents, the Official (e) (0 (e) (h) (i) 880 (j) (k) Statement, the adoption of the Bond Resolution, and the performance of its obligations thereunder or as contemplated thereby; provided, however, that no representation is made concerning compliance with the registration requirements of the federal securities laws or the securities or Blue Sky laws of the various states. The City is not and has not been in default on any bond issued since December 31, 1975 that would be considered material by a reasonable investor. Except as disclosed in the Official Statement, there is no claim, action, suit, proceeding, inquiry or investigation, at law or in equity, before or by any court, goverrrmental agency, or public board or body, pending or, to the best of its knowledge, threatened: (i) contesting the corporate existence or powers of the Commission, or the titles of the officers of the Commission to their respective offices; (ii) seeking to prohibit, restrain or enjoin the sale, issuance or delivery of the Series 2015 Bonds or the collection of the Net Revenues, pledged to pay the principal of and interest on the Series 2015 Bonds in the manner and to the extent provided in the Bond Resolution, or the application of the proceeds of the Series 2015 Bonds or in which an unfavorable decision, ruling or finding would materially adversely affect the financial position of the City or the operations of its Parking System or the validity or enforceability of the Series 2015 Bonds, the Bond Resolution or the Bond Documents; (iii) contesting in any way the completeness or accuracy of the Official Statement; (iv) adversely affect the exclusion of interest on the Series 2015 Bonds from gross income for federal income tax purposes; or (v) challenging the City's ownership or operation of the Parking System, nor, to the best knowledge of the City, is there any basis therefor. When duly executed and delivered, the Series 2015 Bonds, and the Bond Documents will have been duly authorized, executed, issued and delivered and will constitute valid and binding obligations of the City, enforceable in accordance with their respective terms, except insofar as the enforcement thereof may be limited by bankruptcy, insolvency or similar laws relating to the enforcement of creditors' rights. The City will furnish such information, execute such instruments and take such other action in cooperation with the Senior Managing Underwriter as the Senior Managing Underwriter may reasonably request to: (i) qualify the Series 2015 Bonds for offer and sale under the "blue sky" or other securities laws and regulations of such states and other jurisdictions of the United States of America as the Senior Managing Underwriter may designate; (ii) determine the eligibility of the Series 2015 Bonds for investment under the laws of such states and other jurisdictions; and (iii) continue such qualifications in effect so long as required for the distribution of the Series 2015 Bonds; provided that the City will not be required to qualify to do business or submit to service of process in any such jurisdiction. (l) (m) 881 (")The City has not been notified of any listing or the proposed listing of the City by the Internal Revenue Service as an issuer whose arbitrage certifications may not be relied upon. Any certificate signed by any ofhcial of the City and delivered to Underwriters will be deemed to be a representation by the City to Underwriters as to the statements made therein. The City will undertake, pursuant to the Continuing Disclosure Agreement, to provide or cause to be provided to the MSRB certain annual financial information and operating data of the Parking System, and certain notices of material events, as more fully set forth in the Continuing Disclosure Agreement. A description of the undertaking will be set forth in the Official Statement. The Financial Statements included in the Official Statement have been prepared in accordance with generally accepted accounting principles applied on a consistent basis with that of the audited combined financial statements of the City and fairly present the financial condition and results of the operations of the City and the Parking System at the dates and for the periods indicated. the the (o) (p) (q) (r) The City will provide to the rating agencies rating the Series 2015 Bonds appropriate periodic credit information necessary for maintaining the ratings on the Series 2015 Bonds. Except as disclosed in the Official Statement, within the last five (5) years, the City has not failed to comply in all material respects with any continuing disclosure undertaking made by it pursuant to the Rule in connection with outstanding bond issues for which the City has agreed to undertake continuing disclosure obligations. At the time of Closing, the City will be in compliance in all respects with the covenants and agreements contained in the Bond Resolution and no Event of Default, nor an event which, with the lapse of time or giving of notice, or both, would constitute an Event of Default under the Bond Resolution will have occurred or be continuing. The City will not take or omit to take any action which action or omission will in any way cause the proceeds from the sale of the Series 2015 Bonds to be applied in a manner contrary to that provided for or permitted in the Bond Resolution and as described in the Official Statement. No representation or warranty by the City in this Purchase Agreement, nor any statement, certificate, document or exhibit furnished to or to be furnished by the City pursuant to this Purchase Agreement contains, or will contain on the Closing date, any untrue statement of material fact. (s) (0 (u) (v) 882 (w) Between the date of this Purchase Agreement and the date of Closing, the City will not, without the prior written consent of the Senior Managing Underwriter, offer or issue any bonds, notes or other obligations for borrowed money, and the City will not incur any material liabilities, direct or contingent, nor will there be any adverse change of a material nature in the financial position, results of operations or condition, financial or otherwise, of the City, other than (i) as contemplated by the Official Statement, or (ii) in the ordinary course of business. SECTION 3. On or before the acceptance by the City of this Purchase Agreement, the Underwriters shall receive from the City certified copies of the Bond Resolution. SECTION 4. At l0:00 a.m. (Eastern Time) on 2075, or at such earlier or later time or date as the parties hereto mutually agree upon (the "Closing"), the City will cause to be delivered to the Underwriters, at the offices of Squire Patton Boggs (US) LLP ("Bond Counsel"), in the City of Miami, Florida or at such other place upon which the parties hereto may agree, the documents mentioned in Section 5(b) of this Purchase Agreement and shall release the Series 2015 Bonds, in the form of one typewritten, fully registered bond with a CUSIP identification number thereon for each maturity of the Series 2015 Bonds, duly executed and authenticated and registered in the name of Cede & Co., as nominee for DTC, through the DTC FAST System to the Underwriters. At the Closing, the Underwriters shall evidence their acceptance of delivery of the Series 2015 Bonds and pay the purchase price of the Series 2015 Bonds as set forth in Section 1(a) of this Purchase Agreement. SECTION 5. The Underwriters have entered into this Purchase Agreement in reliance upon the representations and agreements of the City herein and the performance by the City of its obligations hereunder, both as of the date hereof and as of the date of Closing. The City's and the Undenvriters' obligations under this Purchase Agreement are and will be subject to the following further conditions: (a) at the time of Closing: (i) the Bond Resolution and the Bond Documents will be in full force and effect and will not have been amended, modified or supplemented, except as may have been agreed to in writing by the Senior Managing Underwriter; (ii) the proceeds of the sale of the Series 2015 Bonds shall be applied as described in the Official Statement; and (iii) the Commission shall have duly adopted and there shall be in full force and effect, resolutions as, in the opinion of Bond Counsel, shall be necessary in connection with the transactions contemplated hereby; (b) at or prior to the Closing, the Underwriters shall receive the following documents: (i) the opinion of Bond Counsel with respect to the Series 2015 Bonds, dated the date of Closing, substantially in the form attached to the Official 883 Statement as Appendi* _, either addressed to the Underwriters and the City or accompanied by a letter addressed to the Underwriters indicating that it may rely on said opinion as if it were addressed to them; (ii) a supplemental opinion of Bond Counsel, dated the date of the Closing and addressed to the Undenvriters to the effect that: (A) they have reviewed the statements in the Official Statement under the captions [,'INTRODUCTION", "PURPOSE OF THE SERIES 2015 BONDS", "THE SERIES 2015 BONDS" (except for information under the subheading "Book-Entry Only System"), and .'SECURITY FOR THE SERIES 2015 BONDS" (except for the information under the subheading "RESERVE ACCOUNT"),I and believe that, insofar as such statements purport to summarize certain provisions of the Series 2015 Bonds and the Bond Resolution, such statements present an accurate summary of such provisions; (B) they have reviewed the statements in the Official Statement under the caption "TAX MATTERS" and believe that such statements are accurate; and (C) the Series 2015 Bonds are exempt from the registration requirements of the Securities Act of 1933, as amended (the "1933 Act") and the Bond Resolution is exempt from qualification under the Trust Indenture Act of 1939, as amended (the "1939 Act"); (iii) the opinion of the Law Offices of Steve E. Bullock, P.A., Disclosure Counsel to the City, dated the date of Closing and either addressed to the Underwriters and the City or accompanied by a letter addressed to the Underwriters indicating that it may rely on said opinion as if it were addressed to them, in form and substance acceptable to the City and the Underwriters, (i) to the effect that nothing has come to its attention which leads it to believe that the Official Statement contains any untrue statement of a material fact or omits to state a material fact required to be stated therein or necessary to make the statements therein, in light of the circumstances under which they were made, not misleading, (ii) the Continuing Disclosure Agreement complies, in all material respects, with the requirements of Rule 15(c)2-12(b)(5), and (iii) the Series 2015 Bonds are exempt from the registration requirements of the 1933 Act and the Bond Resolution is exempt from qualification under the 1939 Act; (iv) the opinion of Raul Aguila, Esq., Counsel to the City, dated the date of Closing and addressed to the Underwriters and the City, to the effect that: (A) the Commission is the governing body of the City and the City is validly existing as a municipality under the Act, with all corporate power necessary to conduct the operations described in the Official Statement and to carry out the transactions contemplated by this Purchase Agreement; (B) the City has obtained all governmental consents, approvals and authorizations necessary for execution and delivery of the Bond Documents, for issuance of the Series 2015 Bonds and for execution and delivery of the Official Statement and consummation of the 10 884 transactions contemplated thereby and hereby; (C) the City has full legal right, power and authority to pledge and grant a lien on the Net Revenues, for the security of the Series 2015 Bonds on parity and equal status with the Parity Bonds; (D) the Commission has duly adopted the Bond Resolution and duly enacted and/or adopted the Rate Instrument and approved the form, execution, distribution and delivery of the Official Statement; (E) the Series 2015 Bonds and the Bond Documents have each been duly authorized, executed and delivered by the City and, assuming due authorization, execution and delivery thereof by the other parties thereto, if any, each constitutes a valid and binding agreement of the City, enforceable in accordance with its terms; (F) the information in the Official Statement with respect to the City (excluding financial, statistical and demographic information and information relating to DTC, as to which no opinion need be expressed) is, to the best knowledge of such counsel after due inquiry with respect thereto, correct in all material respects and does not omit any matter necessary in order to make the statements made therein regarding such matters, in light of the circumstances under which such statements are made, not misleading, and, based on its participation as counsel to the City, such counsel has no reason to believe that the Official Statement (excluding financial, statistical and demographic information (and information relating to DTC) contained as of its date or contains any untrue statement of a material fact or omitted or omits to state any material fact necessary to make the statements therein, in light of the circumstances under which they were made, not misleading; (G) except as disclosed in the Official Statement under the caption "LITIGATION," there is no action, suit, proceeding or investigation at law or in equity before or by any court, public board or body pending or, to the best of knowledge of such counsel, threatened, against or affecting the Commission or the City challenging the validity of the Series 2015 Bonds, the Bond Resolution, the Rate Instrument, the Bond Documents, or any of the transactions contemplated thereby or by the Official Statement, or challenging the existence of the City or the respective powers of the several offices of the officials of the City or the titles of the officials holding their respective offices, or challenging the City's ownership or operation of the Parking System or the pledge of the Net Revenues for the payment of the Series 2015 Bonds in the manner and to the extent provided in the Bond Resolution, nor is there any basis therefor; (H) the execution and delivery of the Bond Documents and the issuance of the Series 2015 Bonds, and compliance with the provisions thereof, under the circumstances contemplated thereby, do not and will not in any material respect conflict with or constitute on the part of the City a breach of or default under, or result in the creation of a lien on any property of the City (except as contemplated therein) pursuant to any note, mortgage, deed of trust, indenture, resolution or other agreement or instrument to which the Commission or the City is a party, or any existing 11 885 law, regulation, court order or consent decree to which the Commission or the City is subject; (v) a certificate, dated the date of Closing, signed on behalf of the City by the Mayor and the City Manager of the City, setting forth such matters as the Senior Managing Underwriter may reasonably require, including that each of the representations of the City contained in Section 2 hereof were true and accurate in all material respects on the date when made, has been true and accurate in all material respects at all times since, and continues to be true and accurate in all material respects on the date of Closing as if made on such date; and stating that to the best of their knowledge, no event affecting the City, the Series 2015 Project, the Parking System or the Series 2015 Bonds has occurred since the date of the Ofhcial Statement which should be disclosed therein for the purpose for which it is used or which is necessary to disclose therein in order to make the statements and information therein not misleading in any material respect as of the date of Closing; (vi) a customary signature certificate, dated the date of Closing, signed on behalf of the City by the City Clerk of the City; (vii) evidence satisfactory to the Senior Managing Underwriter that the requirements of Section209 of the Bond Resolution have been satisfied; (viii) letters from Moody's Investors Service, Inc. ("Moody's") and Standard & Poor's Ratings Services ("S&P") addressed to the City, to the effect that the Series 2015 Bonds have been assigned ratings of "_" and "_" with a "_ outlook," respectively, which ratings shall be in effect as of the Closing date; (ix)a customary authorization and incumbency certificate, dated the date of Closing, signed by authorized officers of the Bond Registrar; (x) copies of the Blue Sky Survey and Legal Investment Survey, if any, prepared by Counsel to the UnderwTiters, indicating the jurisdictions in which the Series 2015 Bonds may be sold in compliance with the "blue sky" or securities laws of such jurisdictions; (xi)such additional documents as may be required by the Bond Resolution to be delivered as a condition precedent to the issuance of the Series 2015 Bonds; (xii) [one executed copy of a letter from the Consulting Engineers consenting to the references to them in the Official Statement and inclusion of its Report of Consulting Engineer as Appendix _ to the Official Statementl; t2 886 (xiii) one executed copy of certificates of each of the Public Works Director and the Consulting Engineers to the effect that the information contained in the Official Statement under the caption "THE PARKING SYSTEM" is accurate and does not omit to state a material fact necessary in order to make the statements made therein, in light of the circumstances under which they were made, not misleading; (xiv) [a true and correct copy of the 2015 Reserve Account Insurance Policy; l (xv) [an opinion, dated the date of the Closing and addressed to the Issuer and the Underwriters, of counsel for the Insurer and/or a certificate or certificates of the Insurer, in such form as is mutually and reasonably acceptable to the Issuer and the Underwriters; and] such additional legal opinions, proceedings, instruments and other documents as the Senior Managing Underwriter, Underwriters' Counsel or Bond Counsel may reasonably request. All of the opinions, letters, certificates, instruments and other documents mentioned in this Purchase Agreement shall be deemed to be in compliance with the provisions of this Purchase Agreement il but only if, in the reasonable judgment of the Senior Managing Underwriter and Underwriters' Counsel, they are satisfactory in form and substance. SECTION 6. If the City shall be unable to satisS, the conditions to the Underwriters' obligations contained in this Purchase Agreement or if the Underwriters' obligations are terminated for any reason permitted by this Purchase Agreement, this Purchase Agreement shall terminate and the Underwriters and the City shall have no further obligation hereunder, except that the respective obligations of the parties hereto provided in Section 7 hereof shall continue in fulI force and effect and the City shall return the Good Faith Deposit as provided in Section 1(b). SECTION 7. (a) The following costs and expenses relating to the transaction contemplated or described in this Purchase Agreement shall be borne and paid by the City regardless of whether the transaction contemplated herein shall close: printing of Series 2015 Bonds; printing or copying of closing documents (including the Preliminary Official Statement and the Ofhcial Statement) in such reasonable quantities as the Underwriters may request; fees and disbursements of Bond Counsel; fees and disbursements of the City's Financial Advisor; any accounting fees; the Bond Registrar fees; fees of the rating agencies; and any other fees as described in Schedule A-1 hereto. The City shall pay any expenses incurred by the Underwriters on behalf of the City and its staff in connection with the marketing, issuance and delivery of the Series 2015 Bonds, including, but not limited to, meals, transportation and lodging of the City's employees and (x) 13 887 representatives; the City's obligations in regard to these expenses survive even if the underlying transaction fails to close or consummate. (b) The Underwriters will pay: (i) the fees and disbursements of Underwriters' Counsel; (ii) all advertising expenses in connection with the public offering of the Series 2015 Bonds; and (iii) the cost of preparing, printing and distributing the Blue Sky and Legal Investment Surveys, if any, and the filing fees required by the "blue sky" laws of various jurisdictions. SECTION 8. The City acknowledges and agrees that: (i) the transactions contemplated by this Purchase Agreement are arm's length, commercial transactions between the City and the Underwriters in which the Underwriters are acting solely as a principal and are not acting as a municipal advisor, financial advisor or fiduciary to the City; (ii) the Undennriters have not assumed any advisory or fiduciary responsibility to the City with respect to the transactions contemplated hereby and the discussions, undertakings and procedures leading thereto (irrespective of whether the Underwriters or their affiliates have provided other services or are currently providing other services to the City on other matters); (iii) the only obligations the Underwriters have to the City with respect to the transaction contemplated hereby expressly are set forth in this Purchase Agreement; (iv) the City has consulted its own financial and/or municipal, legal, accounting, tax, and other advisors, as applicable, to the extent it has deemed appropriate and (v) the Underwriters have financial and other interests that differ from those of the City. The primary role of the Underwriters, is to purchase the Series 2015 Bonds, for resale to investors, in an arm's-length commercial transaction between the City and the Underwriters. SECTION 9. The Underwriters shall have the right to cancel their obligations hereunder by if the Senior Managing Underwriter notifies the City in writing of their election to do so between the date hereof and the Closing if, at any time hereafter and on or prior to the Closing: (a) A committee of the House of Representatives or the Senate of the Congress of the United States shall have pending before it legislation, or a tentative decision with respect to legislation shall be reached by a committee of the House of Representatives or the Senate of the Congress of the United States of America, or legislation shall be favorably reported by such a committee or be introduced, by amendment or otherwise, in, or be passed by, the House of Representatives or the Senate, or recommended to the Congress of the United States of America for passage by the President of the United States of America, or be enacted by the Congress of the United States of America, or an announcement or a proposal for any such legislation shall be made by a member of the House of Representatives or the Senate of the Congress of the United States, or a decision by a court established under Anicle III of the Constitution of the United States of America or the Tax Court of the United States of America shall be rendered, or a ruling, regulation, or order of the Treasury Department of the United States of America or the Internal Revenue Service shall be made or proposed having the purpose or L4 888 (b) (c) effect of imposing federal income taxation, or any other event shall have occurred which results in or proposes the imposition of federal income taxation, upon revenues or other income of the general character to be derived by the City, any of its affiliates, state and local govemmental units or by any similar body or upon interest received on obligations of the general character of the Series 2015 Bonds which, in the Senior Managing Underwriter's opinion, materially and adversely affects the market price of the Series 2015 Bonds. Any legislation, ordinance, rule, or regulation shall be introduced in or be enacted by any governmental body, department, or agency of the United States or of any state, or a decision by any court of competent jurisdiction within the United States or any state shall be rendered which, in the Senior Managing Underwriter's reasonable opinion, materially adversely affects the market price of the Series 2015 Bonds. A stop order, ruling, regulation, or official statement by, or on behalf ol the SEC or any other governmental agency having jurisdiction of the subject matter shall be issued or made to the effect that the issuance, offering, or sale of obligations of the general character of the Series 2015 Bonds, or the issuance, offering, or sale of the Series 2015 Bonds, including all the underlying obligations, as contemplated hereby or by the Official Statement, is in violation or would be in violation of any provisions of the federal securities laws as amended and then in effect, including without limitation the registration provisions of the 1933 Act, or the registration provisions of the Securities Exchange Act of 1934 (the "1934 Act"), or the qualification provisions of the 1939 Act. Legislation shall be introduced by amendment or otherwise in, or be enacted by, the Congress of the United States of America, or a decision by a court of the United States of America shall be rendered to the effect that obligations of the general character of the Series 2015 Bonds, including all the underlying obligations, are not exempt from registration under or from other requirements of the 1933 Act or the 1934 Act, or with the purpose or effect of otherwise prohibiting the issuance, offering, or sale of obligations of the general character of the Series 2015 Bonds, as contemplated hereby or by the Official Statement. Any event shall have occurred, or information shall have become known, which, in the Senior Managing Underwriter's reasonable opinion, makes untrue in any material respect any representation by or certificate of the City hereunder, or any statement or information fumished to the Underwriters by the City for use in connection with the marketing of the Series 2015 Bonds or any material statement or information contained in the Official Statement as originally circulated contains an untrue statement of a material fact or omits to state a material fact necessary in order to make the statements made, in light of the circumstances under which they were made, not misleading; provided, however, that the City shall be granted a reasonable amount of time in which to cure any such untrue or misleading statement or information. (d) (e) 15 889 (0 (s) (h) (i) (j) (k) (l) Additional material restrictions not in force as of the date hereof shall have been imposed upon trading in securities generally by any governmental authority or by any national securities exchange. The New York Stock Exchange or any other national securities exchange, or any governmental authority, shall impose, as to Series 2015 Bonds or obligations of the general character of the Series 2015 Bonds, any material restrictions not now in force, or increase materially those now in force, with respect to the extension of credit by, or a change to the net capital requirements of, the Underwriters. A general banking moratorium or suspension or limitation of banking services shall have been established by federal, Florida or New York authorities or a major financial crisis or material disruption in commercial banking or securities settlement or clearance services shall have occurred. Any proceeding shall be pending, or to the knowledge of the Underwriters, threatened, to restrain, enjoin, or otherwise prohibit the issuance, sale, or delivery of the Series 2015 Bonds by the City or the purchase, offering, sale, or distribution of the Series 2015 Bonds by the Underwriters, or for any investigatory or other proceedings under any federal or state securities laws or the rules and regulations of the National Association of Securities Dealers, Inc. relating to the issuance, sale, or delivery of the Series 2015 Bonds by the City or the purchase, offering, sale, or distribution of the Series 2015 Bonds by the Underwriters. There shall have occurred any new outbreak or escalation of hostilities, any declaration by the United States of war or any national or intemational calamity or crisis, the effect of such outbreak, escalation, declaration, calamity or crisis being such as would cause a major disruption in the municipal bonds market and as, in the reasonable judgment of the Senior Managing Underwriter, would make it impracticable or inadvisable for the Underwriters to market the Series 2015 Bonds or to enforce contracts for the sale of the Series 2015 Bonds. Prior to Closing, any of the rating agencies which have rated the Series 2015 Bonds shall inform the City or the Undenzvriters that the Series 2015 Bonds will be rated lower than the respective rating published in the Official Statement or there shall have occurred or any notice shall have been given of any downgrading, suspension, withdrawal, or negative change of credit watch status by any national rating service to any Bonds. There shall have occurred, after the signing hereof, either a financial crisis with respect to the City or any agency or political subdivision thereof or proceedings under the bankruptcy laws of the United States or the State of Florida shall have been instituted by the City, in either case the effect of which, in the reasonable judgment of the Senior Managing Underwriter, is such as to materially and adversely affect the market price or the marketability of the Series 2015 Bonds or 16 890 the ability of the Underwriters to enforce contracts of the sale of the Series 2015 Bonds. (m) [The Insurer shall inform the City or the Underwriters that it will not deliver the 2015 Reserve Account Insurance Policy at Closing.l SECTION 10. Any notice or other communication to be given under this Purchase Agreement may be given by delivering the same in writing as follows: To the City at: City of Miami Beach, Florida 1700 Convention Center Drive Miami Beach, FL 33139 Attention: John Woodruff, Interim Chief Financial Officer To the Underwriters (as the Senior Managing Underwriter, the representative on behalf of the Underwriters) at: J.P. Morgan Securities LLC 1450 Brickell Avenue, 33'd Floor Miami, Florida 33131 Attention: T.J. Whitehouse SECTION 11. This Purchase Agreement is made solely for the benefit of the City and the Underwriters (including the successors or assigns of the Underwriters), and no other person, partnership, association or corporation shall acquire or have any right hereunder or by virtue hereof. SECTION 12. All the representations, warranties and agreements of the Underwriters and the City in this Purchase Agreement shall remain operative and in full force and effect and shall survive delivery of and payment for the Series 2015 Bonds hereunder regardless of any investigation made by or on behalf of the Underwriters. SECTION 13. This Purchase Agreement shall be governed by and construed in accordance with the Iaws of the State of Florida. SBCTION 14. This Purchase Agreement may be executed in any number of counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same 17 891 agreement; such counterparts may be delivered by facsimile transmission. [Signature Page to Follow] 18 892 If the foregoing is acceptable to you, please sign below and this Purchase Agreement will become a binding agreement between the City and the Underwriters. Very Truly Yours, J.P. MORGAN SECURITIES LLC, on behalf of itself and SUNTRUST ROBINSON HUMPHREY, AND ESTRADA HINOJOSA & COMPANY,INC. By: Name: Title: Accepted and confirmed as of the date first above written: CITY OF FLORIDA By: MIAMI BEACH, Name: Philip Levine Title: Mayor APPROVED ASTO rONU & TANGUAGE &FORE(EOLmOT{ -.Q-OrtF t9 893 EXHIBIT A (Disclosure and Truth-in-Bonding Statement) CITY OF MIAMI BEACH, FLORIDA Parking Revenue Bonds Series 2015 ,2015 Mayor and City Commission City of Miami Beach, Florida 1700 Convention Center Drive Miami Beach, Florida 33139 Ladies and Gentlemen: In connection with the proposed execution and delivery of the $City of Miami Beach, Florida Parking Revenue Bonds, Series 2015 (the "Series 2015 Bonds"), J.P. Morgan Securities LLC (the "Senior Managing Underwriter"), acting on behalf of itself and SunTrust Robinson Humphrey, and Estrada Hinojosa & Company, Inc. (collectively, with the Senior Managing Underwriter, the "Underwriters"), has agreed to underwrite a public offering of the Series 2015 Bonds. Arrangements for underwriting the Series 2015 Bonds will include a Bond Purchase Agreement between the City of Miami Beach, Florida (the "City") and the Underwriters which will embody the negotiations in respect thereof (the "Purchase Agreement"). The purpose of this letter is to fumish, pursuant to the provisions of Section 218.385, Florida Statutes, as amended, certain information in respect of the arrangements contemplated for the underwriting of the Series 2015 Bonds as follows: (a) The nature and estimated amounts of expenses to be incurred by the Underwriters in connection with the purchase and reoffering of the Series 2015 Bonds are set forth in schedule A-l attached hereto. No person has entered into an understanding with the Underwriters or, to the knowledge of the Underwriters, with the City for any paid or promised compensation or valuable consideration, directly or indirectly, expressly or implied, to act solely as an intermediary between the City and the Underwriters or to exercise or attempt to exercise any influence to effect any transaction in connection with the purchase of the Series 2015 Bonds by the Underwriters. (c)The total underwriting spread is $($ (d) The Management Fee is $_ ($_/$1,000 of Bonds). (b) Exhibit A-1 /$1,000 of Bonds). 894 (0 (e) The Underwriters' Expenses are $($/$1,000 of Bonds). No other fee, bonus or other compensation has been or will be paid by the Underwriters in connection with the issuance of the Series 2015 Bonds to any person not regularly employed or retained by the Undenvriters, except Underwriters' Counsel, Bryant Miller Olive P.A., as shown on Schedule A-1 hereto, including any "finder" as defined in Section 218.386(1)(a), Florida Statutes, as amended. The names and addresses of the Underwriters are: J.P. Morgan Securities LLC 1450 Brickell Ave, 33rd Floor Miami, Florida 33131 Attn: T.J. Whitehouse SunTrust Robinson Humphrey 3333 Peachtree Road, I lth Floor Atlanta, Georgia 30326 Attn: Doug McCuean Estrada Hinojosa & Company, Inc. 2937 SW 27th Avenue, Suite 2008 Miami, Florida 33131 Attn: Lourdes Reyes Abadin TheCityisproposingtoissue$-principalamountoftheSeries2015 Bonds, as described in the Official Statement dated , 2015 relating to the Series 2015 Bonds (the "Official Statement"). These obligations are expected to be repaid over a period of approximately _ years. At a true (g) (h) interest cost rate of Bonds will be $ Yo,total interest paid over the life of the Series 2015 . Proceeds of the Series 2015 Bonds will provide funds, together with other available funds, to (i) pay the costs of certain improvements to the City's Parking System, (ii) [fund required reserves, and (iii)l pay costs of issuance of the Series 2015 Bonds. (i) The anticipated source of repayment or security for the Series 2015 Bonds is the Net Revenues (as defined in the Bond Resolution, which in turn is defined in the Purchase Agreement). Authorizing these obligations will result in an annual amount of approximately $(total debt service divided by _ years) of the aforementioned funds not being available each year to finance the other services of the City over a period of approximately _ years, with respect to the Series 2015 Bonds. fRemainder of page intentionally left blank] Exhibit A-2 895 We understand that you do not require any further disclosure from the Underwriters pursuant to Section 218.385, Florida Statutes, as amended. Very Truly Yours, J.P. MORGAN SECURITIES LLC, on behalf of itself and SUNTRUST ROBINSON HUMPHREY, AND ESTRADA HINOJOSA & COMPANY, INC. By: Name: Title: Exhibit A-3 896 SCHEDULE "A.l" DETAILED BREAKDOWN OF UNDERWRITERS' DISCOUNT CITY OF MIAMI BEACH, FLORIDA Parking Revenue Bonds Series 2015 Spread Breakdown Underwriter/Takedown: Expenses: Total Expense Breakdown Total $/$1.000 Amount $ $/$1.000 Amount 59 IOO loo987 622.DOCv5Schedule A-1 897 EXHIBIT B q_ CITY OF MIAMI BEACH, FLORIDA Parking Revenue Bonds Series 2015 MATURITIES, PRINCIPAL AMOUNTS, INTEREST RATES, YIELDS AND PRICES $ Serial Bonds Maturity Principal (September 1) Amount Interest Rate Yield Price Yo Term Bond Due September 1, _t Yield _Yq Pnce _oh o/o Term Bond Due September 1, _; Yield o/o; Prrce Yo [Insert Redemption Provisions] MIA 184733517v1 Exhibit B-1 898 of DISCLOSURE DISSEMINATION AGENT AGREEMENT This Disclosure Dissemination Agent Agreement (the "Disclosure Agreement"), dated as , 2015, is executed and delivered by the City of Miami Beach, Florida (the "Issuer") and Digital Assurance Certification, L.L.C., as exclusive Disclosure Dissemination Agent (the "Disclosure Dissemination Agent" or "DAC") for the benefit of the Holders (hereinafter defined) of the Bonds (hereinafter defined) and in order to provide certain continuing disclosure with respect to the Bonds in accordance with Rule 15c2-12 of the United States Securities and Exchange Commission under the Securities Exchange Act of 1934, as the same may be amended from time to time (the "Rule"). The services provided under this Disclosure Agreement solely relate to the execution of instructions received from the Issuer through use ofthe DAC system and do not constitute "advice" within the meaning of the Dodd-Frank Wall Street Reform and Consumer Protection Act (the "Act"). DAC will not provide any advice or recommendation to the Issuer or anyone on the Issuer's behalf regarding the "issuance of municipal securities" or any "municipal financial product" as defined in the Act and nothing in this Disclosure Agreement shall be interpreted to the contrary. SECTION 1. Definitions. Capitalized terms not otherwise defined in this Disclosure Agreement shall have the meaning assigned in the Rule or, to the extent not in conflict with the Rule, in the Official Statement (hereinafter defined). The capitalized terms shall have the following meanings: "Annual Filing Date" means the date, set in Sections 2(a) and 2(D,by which the Annual Report is to be filed with the MSRB. "Annual Financial Information" means annual financial information as such term is used in paragraph (b)(5)(i) of the Rule and specified in Section 3(a) of this Disclosure Agreement. "Annual Report" means an Annual Report described in and consistent with Section 3 of this Disclosure Agreement. "Audited Financial Statements" means the financial statements (if any) of the Issuer for the prior Fiscal Year, certified by an independent auditor as prepared in accordance with generally accepted accounting principles or otherwise, as such term is used in paragraph (bxs)(i) of the Rule and specified in Section 3(b) of this Disclosure Agreement. "Bonds" means the bonds as listed on the attached Exhibit A, with the 9-digit CUSIP numbers relating thereto. "Certification" means a written certification of compliance signed by the Disclosure Representative stating that the Annual Report, Audited Financial Statements, Voluntary Report, Notice Event notice or Failure to File Event notice delivered to the Disclosure Dissemination Agent is the Annual Report, Audited Financial Statements, Voluntary Report, Notice Event notice or Failure to File Event notice required to be submitted to the MSRB under this Disclosure Agreement. A Certification shall accompany each such document submitted to the Disclosure Dissemination Agent by the Issuer and include the full name of the Bonds and the g-digit CUSIP numbers for all Bonds to which the document applies. 344305450t2tAMERtCAS 899 "Disclosure Dissemination Agent" means Digital Assurance Certification, L.L.C, acting in its capacity as Disclosure Dissemination Agent hereunder, or any successor Disclosure Dissemination Agent designated in writing by the Issuer pursuant to Section t hereof. "Disclosure Representative" means the Chief Financial Officer of the Issuer or his or her designee, or such other person as the Issuer shall designate in writing to the Disclosure Dissemination Agent from time to time as the person responsible for providing Information to the Disclosure Dissemination Agent. "Failure to File Event" means the Issuer's failure to file an Annual Report on or before the Annual Filing Date. "Force Majeure Event" means: (i) acts of God, war, or terrorist action; (ii) failure or shut- down of the Electronic Municipal Market Access system maintained by the MSRB; or (iii) to the extent beyond the Disclosure Dissemination Agent's reasonable control, intemrptions in telecommunications or utilities services, failure, malfunction or eror of any telecommunications, computer or other electrical, mechanical or technological application, service or system, computer virus, intemrptions in Intemet service or telephone service (including due to a virus, electrical delivery problem or similar occuffence) that affect Internet users generally, or in the local area in which the Disclosure Dissemination Agent or the MSRB is located, or acts of any goveflrment, regulatory or any other competent authority the effect of which is to prohibit the Disclosure Dissemination Agent from perforrnance of its obligations under this Disclosure Agreement. "Holder" means any person (a) having the power, directly or indirectly, to vote or consent with respect to, or to dispose of ownership of, any Bonds (including persons holding Bonds through nominees, depositories or other intermediaries) or (b) treated as the owner of any Bonds for federal income tax purposes. "Information" means the Annual Financial Information, the Audited Financial Statements (if any), the Notice Event notices, the Failure to File Event notices and the Voluntary Reports. "MSRB" means the Municipal Securities Rulemaking Board established pursuant to Section 15B(bXl) of the Securities Exchange Act of 1934. "Notice Event" means any of the events enumerated in paragraph (bX5Xi)(C) of the Rule and listed in Section 4(a) of this Disclosure Agreement. "Obligated Person" means any person, including the Issuer, who is either generally or through an enterprise, fund, or account of such person committed by contract or other arrangement to support payment of all, or part of the obligations on the Bonds (other than providers of municipal bond insurance, letters of credit, or other liquidity facilities). "Official Statement" means that Official Statement prepared by the Issuer in connection with the Bonds. "Voluntary Report" means the information provided to the Disclosure Dissemination Agent by the Issuer pursuant to Section 7. 344305450t2lAMERtCAS 900 SECTION 2. Provision of Annual Reports. (a) The Issuer shall provide, annually, an electronic copy of the Annual Report and Certification to the Disclosure Dissemination Agent, not later than 30 days prior to the Annual Filing Date. Promptly upon receipt of an electronic copy of the Annual Report and the Certification, the Disclosure Dissemination Agent shall provide an Annual Report to the MSRB not later than two hundred forty (240) days after the end of each Fiscal Year, commencing with the Fiscal Year ended S eptember 30 , 2015 . Such date and each anniversary thereof is the Annual Filing Date. The Annual Report may be submitted as a single document or as separate documents comprising a package, and may cross-reference other information as provided in Section 3 of this Disclosure Agreement. (b) If on the fifteenth (15th) day prior to the Annual Filing Date, the Disclosure Dissemination Agent has not received a copy of the Annual Report and Certification, the Disclosure Dissemination Agent shall contact the Disclosure Representative by telephone and in writing (which may be by e-mail) to remind the Issuer of its undertaking to provide the Annual Report pursuant to Section 2(a). Upon such reminder, the Disclosure Representative shall either (i) provide the Disclosure Dissemination Agent with an electronic copy of the Annual Report and the Certification no later than two (2) business days prior to the Annual Filing Date, or (ii) instruct the Disclosure Dissemination Agent in writing that the Issuer will not be able to file the Annual Report within the time required under this Disclosure Agreement, state the date by which the Annual Report for such year will be provided and instruct the Disclosure Dissemination Agent that aFailure to File Event has occurred and to immediately send a notice to the MSRB in substantially the form attached as Exhibit B. (c) If the Disclosure Dissemination Agent has not received an Annual Report and Certification by 10:00 a.m. Eastern Time on the Annual Filing Date (or, if such Annual Filing Date falls on a Saturday, Sunday or holiday, then the first business day thereafter) for the Annual Report, a Failure to File Event shall have occurred and the Issuer irrevocably directs the Disclosure Dissemination Agent to immediately send a notice to the MSRB in substantially the form attached as Exhibit B, without reference to the anticipated filing date for the Annual Report. (d) If Audited Financial Statements of the Issuer are prepared but not available prior to the Annual Filing Date, the Issuer may provide an electronic copy of its unaudited financial statements to the Disclosure Dissemination Agent and shall, when the Audited Financial Statements are available, provide in a timely manner an electronic copy of the Audited Financial Statements to the Disclosure Dissemination Agent, accompanied by a Certification, in each case for filing with the MSRB. (e) The Disclosure Dissemination Agent shall: (i) verify the filing specifications of the MSRB each year prior to the Annual Filing Date; (ii) upon receipt, promptly file each Annual Report received under Sections 2(a) and 2(b) with the MSRB; 34430545012lAMERtCAS 901 (iii) upon receipt, promptly file each of the unaudited financial statements and each of the Audited Financial Statements received under Section 2(d) with the MSRB; (iv) upon receipt, promptly file the text of each Notice Event received under Sections 4(a) and 4(bxii) with the MSRB, identiffing the Notice Event as instructed by the Issuer pursuant to Section 4(a) or 4(b)(ii) (being any of the categories set forth below) when filing pursuant to the Section of this Disclosure Agreement indicated: 1. "Principal and interest payment delinquencies," pursuant to Sections 4(c) and a(aX1); 2. 'Non-Payment related defaults, if material," pursuant to Sections 4(c) and a@)Q); 3. "Unscheduled draws on debt service reserves reflecting financial difficulties," pursuant to Sections 4(c) and a(aX3); 4. "Unscheduled draws on credit enhancements reflecting financial difficulties," pursuant to Sections 4(c) and a@)(9; 5. "substitution of credit or liquidity providers, or their failure to perform," pursuant to Sections 4(c) and a(a)(5); 6. "Adverse tax opinions, the issuance by the Internal Revenue Service of proposed or final determinations of taxability, Notices of Proposed Issue (IRS Form 5701-TEB) or other material notices or determinations with respect to the tax status of the security, or other material events affecting the tax status of the security," pursuant to Sections 4(c) and a@)6); 7. "Modifications to rights of securities holders, if material," pursuant to Sections 4(c) and a@)0); 8. "Bond calls, if material, and tender offers" pursuant to Sections 4(c) and a(aX8); 9. "Defeasances," pursuant to Sections 4(c) and a(ax9); 10. "Release, substitution, or sale of property securing repayment of the securities, if material," pursuant to Sections 4(c) and 4(a)(10); 11. "Rating changes," pursuant to Sections 4(c) and a(a)(l1); 12. "Bankruptcy, insolvency, receivership or similar event of the obligated person," pursuant to Sections 4(c) and a@)02); 13. "The consummation of a merger, consolidation, or acquisition involving an obligated person or the sale of all or substantially all of the assets of the obligated person, other than in the ordinary course of business, the entry into a definitive agreement to undertake such an action or the termination of a definitive 34430545012lAMERlCAS 902 agreement relating to any such actions, other than pursuant to its terms, if material," pursuant to Sections 4(c) and a(a)(l3); and 14. "Appointment of a successor or additional trustee or the change of name of a trustee, if material," pursuant to Sections 4(c) and 4(a)(14). (v) upon receipt (or irrevocable direction pursuant to Section 2(c) of this Disclosure Agreement, as applicable), promptly file a completed copy of Exhibit B to this Disclosure Agreement with the MSRB, identifying the filing as "Failure to provide annual information as required" when filing pursuant to Section 2(b)(ii) or Section 2(c) of this Disclosure Agreement; (vi) upon receipt, promptly file the text of each Voluntary Report received under Section 7 with the MSRB. (vii) provide the Issuer evidence of the filings of each of the above when made, which shall be by means of the DAC system, for so long as DAC is the Disclosure Dissemination Agent under this Disclosure Agreement. (0 The Issuer may adjust the Annual Filing Date upon change of its Fiscal Year by providing written notice of such change and the new Annual Filing Date to the Disclosure Dissemination Agent and the MSRB, provided that the period between the existing Annual Filing Date and new Annual Filing Date shall not exceed one year. (g) Any Information received by the Disclosure Dissemination Agent before 10:00 a.m. Eastern time on any business day that it is required to file with the MSRB pursuant to the terms of this Disclosure Agreement and that is accompanied by a Certification and all other information required by the terms of this Disclosure Agreement will be filed by the Disclosure Dissemination Agent with the MSRB no later than 1 1:59 p.m. Eastem time on the same business day; provided, however, the Disclosure Dissemination Agent shall have no liability for any delay in filing with the MSRB if such delay is caused by a Force Majeure Event, provided that the Disclosure Dissemination Agent uses reasonable efforts to make any such filing as soon as possible. SECTION 3. Content of Annual Reports. (a) Each Annual Report shall contain the following Annual Financial Information with respect to the Parking System for the prior Fiscal Year: Number of parking spaces, parking rates, Revenues, Current Expenses, Net Revenues, Principal and Interest Requirements, debt service coverage ratio, incurrence of additional Parking System debt, major expansion of the Parking System and changes in the senior management of the Parking System. (b) Audited Financial Statements prepared in accordance with generally accepted accounting principles ("GAAP") will be included in the Annual Report, but may be provided in accordance with Section 2(d). 344305450t2lAMERrCAS 903 Any or all of the items listed above may be included by specific reference to other documents, including official statements of debt issues with respect to which the Issuer is an Obligated Person, which have been previously filed with the Securities and Exchange Commission or available to the public on the MSRB Internet Website. If the document incorporated by reference is a final official statement, it must be available from the MSRB. The Issuer will clearly identiff each such document so incorporated by reference. Any Annual Financial Information containing modified operating data or financial information is required to explain, in narrative form, the reasons for the modification and the impact of the change in the type of operating data or financial information being provided. SECTION 4. Reporting of Notice Events. (a) The occurrence of any of the following events with respect to the Bonds constitutes a Notice Event: 1. Principal and interest payment delinquencies; 2. Non-payment related defaults, if material; 3. Unscheduled draws on debt service reserves reflecting financial difficulties; 4. Unscheduled draws on credit enhancements relating to the Bonds reflecting financial diffi culties; 5. Substitution of credit or liquidity providers, or their failure to perform; 6. Adverse tax opinions, the issuance by the Internal Revenue Service of proposed or final determinations of taxability, Notices of Proposed Issue (IRS Form 5701-TEB) or other material notices or determinations with respect to the tax status of the security, or other material events affecting the tax status of the Bonds; 7. Modifications to rights of Bond holders, if material; 8. Bond calls, if material, and tender offers; 9. Defeasances; 10. Release, substitution, or sale of property securing repayrnent of the Bonds, if material; 11. Rating changes on the Bonds; 12. Bankruptcy, insolvency, receivership or similar event of the Obligated Person; Note: for the purposes ofthe event identified in this subsection 4(a)(12), the event is considered to occur when any of the following occur: the appointment of a receiver, fiscal agent or similar fficer for an Obligated Person in a proceeding under the U.S. Banhuptcy Code or in any other proceeding under state 34430545012lAMERlCAS 904 or federal law in which a court or governmental authority ltas assumed jurisdiction over substctntially all of the assets or business of the Obligated Person, or if such jurisdiction has been assumed by leaving the existing governmental body and fficials or fficers in possession but subject to the superttision and orders of a court or governmental authority, or the entry of an order conJirming a plan of reorganization, qrrangement or liquidation by a court or governmental authority having supertision or jurisdiction over substantially all of the assets or business of the Obligated Person. 13. The consummation of a merger, consolidation, or acquisition involving an Obligated Person or the sale of all or substantially all of the assets of the Obligated Person, other than in the ordinary course of business, the entry into a definitive agreement to undertake such an action or the termination of a definitive agreement relating to any such actions, other than pursuant to its terms, if material; and 14. Appointment of a successor or additional trustee or the change of name of a trustee, if material. The Issuer shall, in a timely manner not in excess of ten (10) business days after its occurrence, notify the Disclosure Dissemination Agent in writing of the occurrence of a Notice Event. Such notice shall instruct the Disclosure Dissemination Agent to report the occurrence pursuant to subsection (c) and shall be accompanied by a Certification. Such notice or Certification shall identify the Notice Event that has occured (which shall be any of the categories set forth in Section 2(e)(iv) of this Disclosure Agreement), include the text of the disclosure that the Issuer desires to make, contain the written authorization of the Issuer for the Disclosure Dissemination Agent to disseminate such information, and identify the date the Issuer desires for the Disclosure Dissemination Agent to disseminate the information (provided that such date is not later than the tenth (1Oth) business day after the occurrence of the Notice Event). (b) The Disclosure Dissemination Agent is under no obligation to notiff the Issuer or the Disclosure Representative of an event that may constitute a Notice Event. In the event the Disclosure Dissemination Agent so notifies the Disclosure Representative, the Disclosure Representative will within two business days of receipt of such notice (but in any event not later than the tenth (10th) business day after the occurrence of the Notice Event, if the Issuer determines that a Notice Event has occurred), instruct the Disclosure Dissemination Agent that (i) a Notice Event has not occurred and no filing is to be made or (ii) a Notice Event has occurred and the Disclosure Dissemination Agent is to report the occurrence pursuant to Section 4(c), together with a Certification. Such notice or Certification shall identify the Notice Event that has occurred (which shall be any of the categories set forth in Section 2(e)(iv) of this Disclosure Agreement), include the text of the disclosure that the Issuer desires to make, contain the written authorization of the Issuer for the Disclosure Dissemination Agent to disseminate such information, and identiff the date the Issuer desires for the Disclosure Dissemination Agent to disseminate the information (provided that such date is not later than the tenth (10th) business day after the occurrence of the Notice Event). (c) If the Disclosure Dissemination Agent has been instructed by the Issuer as prescribed in subsection (a) or (b)(ii) of this Section 4 to report the occurrence of a Notice Event, the Disclosure Dissemination Agent shall promptly file a notice of such occulrence with the MSRB in accordance with Section 2(e)(iv) hereof. 344305450/2/AMERTCAS 905 SECTION 5. CUSIP Numbers. Whenever providing information to the Disclosure Dissemination Agent, including but not limited to Annual Reports, documents incorporated by reference to the Annual Reports, Audited Financial Statements, notices of Notice Events, Failure to File Events and Voluntary Reports filed pursuant to Section 7(a), the Issuer shall indicate the full name of the Bonds and the 9-digit CUSIP numbers for the Bonds as to which the provided information relates. SECTION 6. Additional Disclosure Obligations. The Issuer acknowledges and understands that other state and federal laws, including but not limited to the Securities Act of 1933 and Rule 10b-5 promulgated under the Securities Exchange Act of 1934, may apply to the Issuer, and that the failure of the Disclosure Dissemination Agent to so advise the Issuer shall not constitute a breach by the Disclosure Dissemination Agent of any of its duties and responsibilities under this Disclosure Agreement. The Issuer acknowledges and understands that the duties of the Disclosure Dissemination Agent relate exclusively to execution of the mechanical tasks of disseminating information as described in this Disclosure Agreement. SECTION 7. Voluntary Reports. (a) The Issuer may instruct the Disclosure Dissemination Agent to file information with the MSRB, from time to time pursuant to a Certification of the Disclosure Representative accompanying such information (a "Voluntary Report"). (b) Nothing in this Disclosure Agreement shall be deemed to prevent the Issuer from disseminating any other information through the Disclosure Dissemination Agent using the means of dissemination set forth in this Disclosure Agreement or including any other information in any Annual Report, Audited Financial Statements, Voluntary Report, Notice Event notice or Failure to File Event notice, in addition to that required by this Disclosure Agreement. If the Issuer chooses to include any information in any Annual Report, Audited Financial Statements, Voluntary Report, Notice Event notice, or Failure to File Event notice in addition to that which is specifically required by this Disclosure Agreement, the Issuer shall have no obligation under this Disclosure Agreement to update such information or include it in any future Annual Report, Audited Financial Statements, Voluntary Report, Notice Event notice or Failure to File Event notice. SECTION 8. Termination of Reportine Obligation. The obligations of the Issuer and the Disclosure Dissemination Agent under this Disclosure Agreement shall terminate with respect to the Bonds upon the legal defeasance, prior redemption or payment in full of all of the Bonds, when the Issuer is no longer an Obligated Person with respect to the Bonds, or upon delivery by the Disclosure Representative to the Disclosure Dissemination Agent of an opinion of nationally recognized bond counsel to the effect that continuing disclosure is no longer required. SECTION 9. Disclosure Dissemination Agent. The Issuer has appointed Digital Assurance Certification, L.L.C. as exclusive Disclosure Dissemination Agent under this Disclosure Agreement. The Issuer may, upon thirty days written notice to the Disclosure Dissemination Agent, replace or appoint a successor Disclosure Dissemination Agent. Upon 344305450t2lAMERrCAS 906 termination of DAC's services as Disclosure Dissemination Agent, whether by notice of the Issuer or DAC, the Issuer agrees to appoint a successor Disclosure Dissemination Agent or, alternately, agrees to assume all responsibilities of Disclosure Dissemination Agent under this Disclosure Agreement for the benefit of the Holders of the Bonds. Notwithstanding any replacement or appointment of a successor, the Issuer shall remain liable until payment in full for any and all sums owed and payable to the Disclosure Dissemination Agent. The Disclosure Dissemination Agent may resign at any time by providing thirty days' prior written notice to the Issuer. SECTION 10. Remedies in Event of Default. In the event of a failure of the Issuer or the Disclosure Dissemination Agent to comply with any provision of this Disclosure Agreement, the Holders' rights to enforce the provisions of this Disclosure Agreement shall be limited solely to a right, by action in mandamus or for specific performance, to compel performance of the parties' obligation under this Disclosure Agreement. Any failure by a party to perform in accordance with this Disclosure Agreement shall not constitute a default on the Bonds or under any other document relating to the Bonds, including the Bond Resolution, and all rights and remedies shall be limited to those expressly stated herein. SECTION 11. Duties. Immunities and Liabilities of Disclosure Dissemination Agent. (a) The Disclosure Dissemination Agent shall have only such duties as are specifically set forth in this Disclosure Agreement. The Disclosure Dissemination Agent's obligation to deliver the information at the times and with the contents described herein shall be limited to the extent the Issuer has provided such information to the Disclosure Dissemination Agent as required by this Disclosure Agreement. The Disclosure Dissemination Agent shall have no duty with respect to the content of any disclosures or notice made pursuant to the terms hereof. The Disclosure Dissemination Agent shall have no duty or obligation to review or verify any Information or any other information, disclosures or notices provided to it by the Issuer and shall not be deemed to be acting in any fiduciary capacity for the Issuer, the Holders of the Bonds or any other party. The Disclosure Dissemination Agent shall have no responsibility for the Issuer's failure to report to the Disclosure Dissemination Agent a Notice Event or a duty to determine the materiality thereof. The Disclosure Dissemination Agent shall have no duty to determine, or liability for failing to determine, whether the Issuer has complied with this Disclosure Agreement. The Disclosure Dissemination Agent may conclusively rely upon certifications of the Issuer at all times. The obligations of the Issuer under this Section shall survive resignation or removal of the Disclosure Dissemination Agent and defeasance, redemption or payment of the Bonds. (b) The Disclosure Dissemination Agent may, from time to time, consult with legal counsel (either in-house or external) of its own choosing in the event of any disagreement or controversy, or question or doubt as to the construction of any of the provisions hereof or its respective duties hereunder, and shall not incur any liability and shall be fully protected in acting in good faith upon the advice of such legal counsel. The reasonable fees and expenses of such counsel shall be payable by the Issuer. 344305450/2/AMERICAS 907 (c) All documents, reports, notices, statements, information and other materials provided to the MSRB under this Disclosure Agreement shall be provided in an electronic format and accompanied by identifying information as prescribed by the MSRB. SECTION 12. Amendment: Waiver. Notwithstanding any other provision of this Disclosure Agreement, the Issuer and the Disclosure Dissemination Agent may amend this Disclosure Agreement and any provision of this Disclosure Agreement may be waived, if such amendment or waiver is supported by an opinion of counsel expert in federal securities laws acceptable to both the Issuer and the Disclosure Dissemination Agent to the effect that such amendment or waiver does not materially impair the interests of Holders of the Bonds and would not, in and of itself, cause the undertakings herein to violate the Rule if such amendment or waiver had been effective on the date hereof but taking into account any subsequent change in or official interpretation of the Rule; provided neither the Issuer or the Disclosure Dissemination Agent shall be obligated to agree to any amendment modiffing their respective duties or obligations without their consent thereto. Notwithstanding the preceding paragraph, the Disclosure Dissemination Agent shall have the right to adopt amendments to this Disclosure Agreement necessary to comply with modifications to and interpretations of the provisions of the Rule as announced by the Securities and Exchange Commission from time to time by giving not less than 20 days written notice of the intent to do so together with a copy of the proposed amendment to the Issuer. No such amendment shall become effective if the Issuer shall, within 10 days following the giving of such notice, send a notice to the Disclosure Dissemination Agent in writing that it objects to such amendment. SECTION 13. Sources of Payments: No Personal Liability. Notwithstanding anything to the contrary contained in this Disclosure Agreement, the Issuer shall be required to use only Revenues to pay any costs and expenses to be incurred in the performance of this Disclosure Agreement by it, and the performance of its obligations hereunder shall be subject to the availability of Revenues for that pulpose; provided, that any such costs and expenses shall constitute Current Expenses under the Bond Resolution. This Disclosure Agreement does not and shall not constitute a general obligation of the Issuer. No eovenant, stipulation, obligation or agreonent of the Issuer contained in this Disclosure Agreernent shall be deemed to be a covenant, stipulation, obligation or agreement of any present or future officer, agent or employee of the Issuer in other than that person's official capacity. SECTION 14. Beneficiaries. This Disclosure Agreement shall inure solely to the benefit of the Issuer, the Disclosure Dissemination Agent, the Underwriters, and the Holders from time to time of the Bonds, and shall create no rights in any other person or entity. SECTION 15. Governing Law. This Disclosure Agreement shall be governed by the laws of the State of Florida. SECTION 16. Counterparts. This Disclosure Agreement may be executed in several counterparts, each of which shall be an original and all of which shall constitute but one and the same instrument. 9 344305450t2tAMERtCAS 908 The Disclosure Dissemination Agent Agreement to be executed, on the date first authorized. and the Issuer have written above, by their caused this Disclosure respective officers duly DIGITAL AS SURANCE CERTIFICATION, L.L.C' as Disclosure Dissemination Agent By: Name: Title: CITY OF MIAMI BEACH, FLORIDA, as Issuer By: John Woodruff Interim Chief Financial Officer APPRO\GDAS TO FOHM & LANGUAGE & FOR EGCUTION Maba,lv -Effi'y aAf Dato 344305450/2/AMERICAS 10 909 a EXHIBIT A NAME AND CUSIP NUMBERS OF BONDS Name of Issuer: City of Miami Beach, Florida Obligated Person: City of Miami Beach, Florida Name of Bond Issue: Parking Revenue Bonds, Series 2015 Date of Issuance: Date of Official Statement: CUSIP Numbers: 20t5 20t5 A-1 344305450/2/AMERtCAS 910 EXHIBIT B NOTICE TO MSRB OF FAILURE TO FILE ANNUAL REPORT Issuer: City of Miami Beach, Florida Obligated Person: City of Miami Beach, Florida Name of Bond Issue: Parking Revenue Bonds, Series 2015 Date of Issuance:,2015 NOTICE IS HEREBY GIVEN that the Issuer has not provided an Annual Report with respect to the above-named Bonds as required by the Disclosure Dissemination Agent Agreement, dated as of , 2075, between the Issuer and Digital Assurance Certification, L.L.C., as Disclosure Dissemination Agent. The Issuer has notified the Disclosure Dissemination Agent that it anticipates that the Annual Report will be filed by Dated: Digital Assurance Certification, L.L.C., as Disclosure Dissemination Agent, on behalf of the Issuer cc: City of Miami Beach, Florida B-1 344305450t2tAMERtCAS 911 sSPEEEE iE 3;€eEfZliE ^Jca.>:vooCr s m \ Y >5 0 0E-0- 9: E 3z B!;E H.e E Ei i gEfiEEEtI ;tsEiEfr€ sEHEtEE:Io E6E b:.: g! ; AEtEE€E!EL-= o -:-.!u )ox :'2 ! 6 # S z NE::6.9 c 9 cX! ie8?3:;! EiEEEI€Ii :s:i3,u [ 5E EfEE;fg5*'EE=3e.,E3:'E EEEiEgE EE P€Sdc,sddeo:t.E:l-s;A EOo:!i iFS o 3 *-e'3 ad,F E.iEEE=6!;a:l =-if {Ei H gE '6oEi*=;.=< cENFEF!:-Etni'=69-i,! 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E*ig;E B??E X-d:.?==--oq Ei-EE-EeiHE6{ = rli a;E!5 HE EE$EE5iEEEE sEfaa.:e?EIsI Ep{;Eti=E;:A : S EE i:i {:iE FEEEgEEiEEgg t=: E.Y-Sr(),c -u.}oco9'.8 Eu.9E ot3fo sa€ Foo ,g iE c =ao E.!Euli E< \ 6HE ; o.iqou CN'='r >1L99o! d Fi.g 96 dYPSiool!cq E:H;'< Eo o'4:.9.';6:JqiE:1 ?6d 9ls Ex:tsu: ol F=->l ;rd agBce ^i oo G<ao :co; f,.2 E* !.1*o#* ou>CEo o< E Eea1E6:.=o:- '=YO EFL =!Ee3<F gic EE;G -.E oN P e 9X6 3tr9 =< -6E;.eBs^Et F o: co6: o -!=o b.!> - $ 9ts"Q < oEs. i9 o €s:HE= q; Eci6: c?:-P;3tE;#:r -. :o 6 9! = Eo ! >x: o(€at tro 4 ocE EEI aoQ E:i o E= 6 Xe t -EEJ = o o::E 5EE; oleo - o € B {S ';L c"!oo >: .: ia6 tr YE sf .9 E '; d -9qE; aB =E E<ts o :EOs Fo>-E AAi5: 3€o o u).=E O <E ! * E; o O o=OY9E q{ @o ,a \o o: 3E =E'iP T:o- cF GD A! ;N t!) =sd {.E ;o ch = 3 ii.:>E -u!i o^ o O --rEE6 B_E - = f - =!3i o< oo !.:.Etr =iio> :JT PE.FJ"EE E{RP5 FgN.= t;;:e ?EX !; EfiEt= :< arA gE i , a -@: E 3 s,s,!2 c .=.=<3: aEi6 6 eEUHg <o.8t e-. .i5 dui E*-:tso+ ;; o! -_ _ii =UFi9d6o Zo rii<Oi U)(, -1otr=({o IJJ ]U Nr!Ed =(J(Y)Z-i*<6fi =?g^ r.l tU ;SEh9(/) oz -T- t1\Jdut #ffi? 4 6 6N oFo t!zN cn Hz e E= ad c= =-))v 912 COMMISSION ITEM SUMMARY Condensed Titles: A resolution authorizing the City Manager, to enter into certain independent contractor agreements for professional and other services, as required and as the City Manager deems in the best interest of the City, subject to and contingent upon the following parameters: 1) The City Manager shall only enter into contracts to provide services orwork related to vacant budgeted positions, as identified in the city's approved fiscal year (FY) 20151201 6 budget; 2) the amount of the fee or other compensation under such contract(s) shall not exceed the authorized amount for the respective classification, as set forth in the City's classified or unclassified salary ordinance (as the case may be); 3) The term of any independent contractor agreement authorized herein shall not extend beyond the end of FY 2015120'16 (September 30, 2016); 4) at a minimum, the City Manager shall require that any independent contractor agreement entered into pursuant to this resolution shall utilize the City's standard form for independent contractors (as attached to this resolution), provided that the City Manager may incorporate additional terms, which may be more stringent, but not more lenient; and 5) providing that the authority granted to the City Manager pursuant to this resolution shall be brought to the City Commission for renewal as part of the annual operating budget approvals. A resolution authorizing the City Manager, to enter into certain independent contractor agreements for the following services, as required and as the City Manager deems in the best interest of the City, including but not limited to: athletics instruction/coaching/refereeing, baseball,'softball, soccer, gymnastics, cheerleading, volleyball; ice skating, hockey, swimming, ice guards, aerobics instruction; fitness instruction; arts/music/cultural/drama instruction and or instrument repair; computer/media services, including but not limited to, instruction and repair; summer camp instruction; cotillion; speech, debate, social skills, literacy, math and sat; fitness classes, including but not limited to, aerobics, zumba dancing, weight room, weight loss, general fitness instruction, adult, youth and baby boot camp; school liaison officers; resident project representatives (RPR); community/public information services; construction cost estimating/consulting services; video production services; photography/videography services; graphic design services; program monitor services; cost allocation services; job audits; step iii grievance hearing officer; auditors; historical research; latent examiner services; medical director and accreditation services/support; psychological and testing services; professional trainlng services including but not limited to sexual harassment, diversity and team building; provided further that the City Manager shall be authorized to negotiate, enter into, and execute the aforestated agreements subject to the same in the resolution.. lntended Outcome S (1) Streamline the delivery of services through all departments, (2) ensure expenditure trends are sustainable over the lndependent contractor agreements differ from professional services agreements in that they apply to an individual in lieu of a legally constituted entity. Under the City Charter, the City Manager has the authority to make appointments to vacant, budgeted positions at a salary within the established ranges. Sometimes, when positions are vacated, the City retains independent contractors to provide the services or work. ln addition, the City regularly uses independent contractors for specialty services such as recreational classes, communication services, etc. As has been done since FY 200912010, the Administration recommends that the City Commission authorize the City Manager to negotiate, enter and execute independent contractor agreements, including those in an amount exceeding $25,000, to provide services or work related to vacant, budgeted positions, and to enter and execute independent contractor agreements to provide specific services or work reflected in departmental budgets. The Manager will continue to provide the Commission with contracts whose value exceeds $25,000. Financial lnformation: Source of Funds: Amount Account 1 2 OBPI Total Financial lmpact Summary: Funds are already included in the FY 2015116 operating budget, in either salaries or orofessional services line items in various departments Sylvia Crespo-Tabak, Human Resources Director AGEI{DA MrT,I RI F(F MIAAATBEACH 6*rE q40-l{913 E MIAMIBEACH City of Miomi Beoch, 1700 Convention Center Drive, Miomi Beoch, Florido 33139, www.miomibeochfl.gov COMMISSION MEMORANDUM TO: FROM: DATE: SUBJECT: Mayor Philip Levine and Members Jimmy L. Morales City Manager September 30, 2015 A RESOLUTION OF THE MAYORhND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AUTHORIZING THE CITY MANAGER, ON BEHALF OF THE CITY, TO ENTER INTO CERTAIN INDEPENDENT CONTRACTOR AGREEMENTS FOR PROFESSIONAL AND OTHER SERVICES, AS REQUIRED, AND AS THE CITY MANAGER DEEMS IN THE BEST INTEREST OF THE GITY, SUBJECT TO AND CONTINGENT UPON THE FOLLOWING PARAMETERS: 1)THE CITY MANAGERSHALL ONLY ENTER INTO CONTRACTS TO PROVIDE SERVICES OR WORK RELATED TO VACANT BUDGETED POSITIONS, AS IDENTIFIED IN THE CITY'S APPROVED FISCAL YEAR (FY) 2015/2016 BUDGET; 2) THE AMOUNT OF THE FEE OR OTHER COMPENSATION UNDER SUCH GoNTRACT(S) SHALL NOT EXCEED THE AUTHORIZED AMOUNT FOR THE RESPECTIVE CLASSIFICATION, AS SET FORTH IN THE CITY'S CLASSTFTED OR UNCLASSTFTED SALARY ORDINANCE (AS THE CASE MAY BE); 3) THE TERM OF ANY INDEPENDENT CONTRACTOR AGREEMENT AUTHORIZED HEREIN SHALL NOT EXTEND BEYOND THE END OF FY 201512016 (SEPTEMBER 30, 2016); 4) AT A MINIMUM, THE CITY MANAGER SHALL REQUIRE THAT ANY INDEPENDENT CONTRACTOR AGREEMENT ENTERED INTO PURSUANT TO THIS RESOLUTION SHALL UTILIZE THE CITY'S STANDARD FORM FOR TNDEPENDENT CONTRACTORS (AS ATTACHED TO THIS RESOLUTION), PROVIDED THAT THE CITY MANAGER MAY INGORPORATE ADDITIONAL TERMS, WHICH MAY BE MORE STRINGENT, BUT NOT MORE LENIENT; 5) REQUIRING THE CITY MANAGER TO ISSUE A LETTER TO COMMISSION EACH FISCAL QUARTER COMMENCING ON JANUARY 1,2O16,WHICH DELINEATES THOSE INDEPENDENT CONTRACTOR AGREEMENTS THAT EXCEED $25,000 AND 6) PROVIDING THAT THE AUTHORITY GRANTED TO THE CITY MANAGER PURSUANT TO THIS RESOLUTION SHALL BE BROUGHT TO THE CITY COMMISSION FOR RENEWAL AS PART OF THE ANNUAL OPERATING BUDGET APPROVAL. A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AUTHORIZING THE CITY MANAGER, ON BEHALF OF THE CITY, TO ENTER INTO CERTAIN INDEPENDENT CONTRACTOR AGREEMENTS FOR THE FOLLOWING SERVICES, AS REQUIRED, AND AS THE CITY MANAGER DEEMS IN THE BEST INTEREST OF THE CITY:ATHLETICS !NSTRUCT!ON/COACHING/REFEREEING, INCLUDING BUT NOT 914 Commission Agenda ltem, lndependent Contractor Agreements September 30, 2015 Page2 LIMITED TO THE FOLLOWING CATEGORIES: BASEBALL, SOFTBALL, SOCCER, GYMNASTIGS, CHEERLEADING, VOLLEYBALL; ICE SKATING, HOCKEY, SWIMMING, ICE GUARDS, AEROBICS INSTRUGTION;FITNESS INSTRUGTION; ARTS/MUSIC/CULTURAUDRAMA INSTRUCTION AND OR INSTRUMENT REPAIR; COMPUTER/MEDIA SERVICES, INCLUDING BUT NOT LIMITED TO INSTRUCTTON AND REPAIR; RECREATIONAL PROGRAMMING AND INSTRUCTION; INSTRUCTION AND THERAPY FOR PARTIGIPANTS WITH SPECIAL NEEDS, INCLUDING BUT NOT LIMITED TO EDUGATION, HEALTH AND WELLNESS; INSTRUCTION/TUTORING, INCLUDING BUT NOT LIMITED, TO EDUCATION; COTILLION; SPEECH, DEBATE, SOCIAL SKILLS, LITERACY, MATH AND SAT; FITNESS CLASSES, INCLUDING BUT NOT LIMITED TO AEROBICS, ZUMBA, WEIGHT ROOM, WEIGHT LOSS, GENERAL FITNESS INSTRUCTION, ADULT, YOUTH, AND BABY BOOT CAMP; ; CARE COORDINATION SERVICES; MENTAL HEALTH SERVICES; INTAKE (ASSESSMENT) SERVIGES; FAMILY GROUP CONFERENGING; MENTORING SERVIGES; BEHAVIOR MODIFICATION SERVICES; EMPLOYMENT SESSIONS; FAMILY FUNGTIONAL THERAPY; FAMILY HOME VISITATION SERVICES; PARENTING GROUP SERVICES; ALTERNATIVE SUSPENSION SERVICES; RESTORATIVE JUSTICE TECHNIQUES; ONE-ON-ONE SHADOWS TO WORK WITH YOUTH WITH SPECIAL NEEDS; STEM (SCIENCE, TECHNONOLGY, ENGINEERING AND MATHEMATICS) ACTIVITIES; SCHOOL LIAISONS FOR REFERRAL OF CARE COORDINATION SERVICES; RESIDENT PROJECT REPRESENTATIVES (RPR); REPORTING REQUIREMENTS ASSOCIATED WITH THE PATIENT PROTECTION AND AFFORDABLE CARE AGT; ACTUARIAL SERVICES; COMMUNITY/PUBLIC INFORMATION SERVICES;CONSTRUCTION COST ESTIMATING/CONSULTING SERVICES; VIDEO PRODUCTION SERVICES; PHOTOGRAPHYTIDEOGRAPHY SERVICES; GRAPHIC DESIGNER SERVIGES; PROGRAM MONITOR SERVICES; GOST ALLOGATION SERVICES; JOB AUDITS; STEP lll DISCIPLINARY GRIEVANCE HEARING OFFICER; AUDITORS; HISTORICAL RESEARCHER; LATENT EXAMINER SERVICES; MEDICAL DIRECTOR AND ACCREDITATION SERVICES/SUPPORT; PSYCHOLOGICAL AND TESTING SERVICES; ORGANIZATIONAL DEVELOPMENT MEETING FACILITATION SERVIGES; PROFESSIONAL TRAINING SERVICES, INCLUDING BUT NOT LIMITED TO, APPLICATION SYSTEMS INSTRUCTION, METHODOLOGIES FOR APPLICATION SYSTEMS DEVELOPMENT, SEXUAL HARASSMENT, DIVERSITY AND TEAM BUILDING; HOME VISITORS FOR THE PARENT-CHILD HOME PROGRAM; INSTRUGTORS FOR THE MORNINGS ALL.STAR PROGRAMS AND HUD GOMPLIANCE; APPLICATION SYSTEMS CONSULTING SERVICES, INCLUDING BUT NOT LIMITED TO, APPLICATION SYSTEMS, ARCHITECTURE, APPLICATION DEVELOPMENT BEST PRACTICES, APPLICATION SECUR!TY, APPLIGATIONS QUALITY ASSURANCE, APPL!CATION MONITOR!NG, MOBILE APPLICATION DEVELOPMENT; CONSULTING SERVICES FOR WEBSITE AND DIGITAL MEDIA STRATEGY; WEB DESIGN; GRAPHIC DESIGN; AFTER-AGTION SERVIGES; PROVIDED FURTHER THAT THE CITY MANAGER SHALL BE AUTHORIZED TO NEGOTIATE, ENTER 915 Commission Agenda ltem, lndependent Contractor Agreements September 30, 2015 Page 3 INTO, AND EXECUTE THE AFORESTATED AGREEMENTS SUBJECT TO THE FOLLOWING PARAMETERS: 1) THE AMOUNT OF THE FEE OR OTHER COMPENSATION UNDER SUCH AGREEMENT(S) SHALL NOT EXCEED THE AUTHORIZED AMOUNT FOR THE RESPECTIVE SERVICES, AS SET FORTH IN THE CITY'S APPROVED FISCAL YEAR (FY) 2015/2016 ANNUAL BUDGET; 2l THE TERM OF ANY SERVIGE AGREEMENT AUTHORIZED HEREIN SHALL NOT EXTEND BEYOND THE END OF FY 201512016 (SEPTEMBER 30, 2016); 3) AT A MINIMUM, THE CITY MANAGER SHALL REQUIRE THAT ANY AGREEMENT ENTERED INTO PURSUANTTOTHIS RESOLUTION SHALL UTILIZETHE C ITY'S STAN DARD FORM IN DEPEN DENT CONTRACTOR AG REEM ENT (AS ATTACHED TO THIS RESOLUTION), PROVIDED THAT THE ClrY MANAGER MAY INCORPORATE ADDITIONAL TERMS, WHIGH MAY BE MORE STRINGENT, BUT NOT MORE LENIENT; AND 4) PROVIDING THAT THE AUTHORITY GRANTED TO THE CITY MANAGER PURSUANT TO THIS RESOLUTION SHALL BE BROUGHT TO THE CITY COMMISSION FOR RENEWAL AS PART OF THE ANNUAL OPERATING BUDGET APPROVAL. ADM!NISTRATION RECOMMEN DATION Adopt both resolutions. BACKGROUND/ANALYSIS The first resolution pertains to independent contractor agreements for individuals hired to perform a specific function, who are usually compensated on an hourly or project specific rate. Under the City Charter, the City Manager has the authority to appoint an employee into a vacant, budgeted position with a salary that falls within the range established by the City Commission for the subject classification. Sometimes, when positions have been vacated the City has retained independent contractors to provide the services or work. ln an effort to save on costs, such as pension and health benefits, the Administration is recommending that for FY 2015116, the City Commission reauthorize the City Manager to negotiate, enter into, and execute independent contractor agreements, including some at an amount exceeding $25,000, subject to all of the following provisions: o The independent contractor agreements authorized under the proposed resolution will be limited to services or work related to a vacant, budgeted position, as approved in the City's FY 2015/16 operating budget; . The value of the agreement will not exceed the amount already authorized in the City's Classified and Unclassified Salary Ordinances (as applicable), and will not extend beyond September 30,2016. Any agreement entered into will contain, at a minimum, the provisions outlined in the City's standard form independent contractor agreement, which, among other things, requires the issuance of a purchase order. (Attachment A). . The authority granted the City Manage will be subject to monitoring through periodic Letters to the Commission (LTC), identifying any independent contractor agreement that exceeds the $25,000 threshold. 916 Commission Agenda ltem, lndependent Contractor Agreements September 30, 2015 Page 4 A resolution requesting the initial authorization for the City Manager to enter into these agreements was first heard at the September 24,2009, City Commission meeting, where it was referred to the Finance and Citywide Projects Committee (FCWPC). At its October29, 2009, meeting, as part of the discussion, the Administration clarified that the purpose of this item was not to replace current employees or eliminate positions and lay off employees to hire independent contractors to perform the same functions. The independent contractors were to be used to perform the functions of vacant, budgeted positions where former employees separated from the City. The City Commission approved the resolution at its December 9, 2009, meeting forthe fiscal year ending September 30, 2010, renewed it on September 20, 2010 for the fiscal year ending September 30,2011; on September 27,2011 for the fiscal year ending on September 30, 2012; on September 27 , 2012 for the fiscal year ending on September 30, 2013, and on September 30,2014, for the fiscal year ending September 30,2015. This matter is presented on an annual basis as part of the budget process, as authorization expires at the end of each fiscal year. This updated resolution is for FY 2015116. The second resolution also pertains to independent contractors who will be providing specific services or work reflected in departmental budgets. Some of the services include: baseball, softball, soccer, gymnastics, cheerleading, volleyball; ice-skating, skating, hockey, swimming, ice guards, aerobics instruction; fitness instruction; arts/music/cultural/drama instruction and or instrument repair; computer/media services, including but not limited to, instruction, and repair; recreational programming and instruction; instruction and therapyfor participants with special needs, including but not limited to, education, health and wellness; instructionitutoring, including but not limited to education; cotillion; speech; debate, social skills, literacy, math and SAT; fitness classes, including but not limited to, aerobics, zumba, weight room, weight loss, general fitness instruction, adult and youth boot camp and baby boot camp; school liaison officers; resident project representatives (RPR);community/public information services; construction cost estimating/consulting services; video production services; photography/videography services; graphic designer services; program monitor services; cost allocation services;job audits; step lll disciplinary grievance hearing officer; auditors; historical researcher; latent examiner services; medical director and accreditation services/support; psychological and testing services; organizational development meeting facilitation services; professional training services, including but not limited to, sexual harassment, diversity and team building; home visitors for the parentchild home program; instructors for the Mornings all-star program and HUD compliance. To coordinate the execution of agreements for the kinds of services or work referenced in the second resolution, the Administration also recommends that the City Manager be authorized to negotiate, enter into, and execute agreements, including those in an amount greater than $25,000, subject to all of the following provisions: . The agreements will be limited to the services or work specifically listed in the second resolution; o The value of the agreement will not exceed the authorized amount for the respective services or work, as set forth in the City's approved FY 2015/16 operating budget; . The term of the agreement shall not extend beyond the end of FY 2015/16 (September 917 Commission Agenda ltem, lndependent Contractor Agreements September 30, 2015 Page 5 30, 2016); and . Any agreement entered into will contain, at a minimum, the provisions outlined in the City's standard form agreement for independent contractors (Attachment A). . The authority granted the City Manage be subject to monitoring through periodic Letters to the Commission (LTC), identifying any independent contractor agreement that exceeds the $25,000 threshold. CONCLUS!ON The City Commission has approved both resolutions on an annual basis since December 9, 2009, with the requirement that the Administration bring back the item on an annual basis as part of the budget process. The authority granted the City Manage is subject to monitoring through periodic Letters to the Commission (LTC), identifying any independent contractor agreement that exceeds the $25,000 threshold. This updated resolution is for FY 2015116. The Administration recommends adopting both Resolutions. Attachment JLM/MT/SC-T 918 RESOLUTION NO. A RESOLUTION OF THE MAYOR AND CIry COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AUTHORIZING THE CITY MANAGER, ON BEHALF OF THE CITY, TO ENTER INTO CERTAIN INDEPENDENT CONTRACTOR AGREEMENTS FOR PROFESSIONAL AND OTHER SERVICES, AS REQUIRED, AND AS THE CITY MANAGER DEEMS IN THE BEST INTEREST OF THE CIry, SUBJECT TO AND CONTINGENT UPON THE FOLLOWING PARAMETERS: 1) THE CITY MANAGER SHALL ONLY ENTER INTO CONTRACTS TO PROVIDE SERVICES OR WORK RELATED TO VACANT BUDGETED POSITIONS, AS IDENTIFIED IN THE CIW'S APPROVED FISCAL YEAR (FY) 2015/2016 BUDGET; 2) THE AMOUNT oF THE FEE oR OTHER GOMPENSATTON UNDER SUCH CONTRACT(S) SHALL NOT EXCEED THE AUTHORIZED AMOUNT FOR THE RESPECTIVE CLASSIFICATION, AS SET FORTH IN THE CITY'S CLASSIFIED OR UNCLASSIFIED SALARY ORDINANGE (AS THE GASE MAY BE); 3) THE TERM OF ANY INDEPENDENT GONTRACTOR AGREEMENT AUTHORIZED HEREIN SHALL NOT EXTEND BEYOND THE END OF FY 2015t2016 (SEPTEMBER 30, 2016); 4) AT A MINIMUM, THE CITY MANAGER SHALL REQUIRE THAT ANY INDEPENDENT CONTRAGTOR AGREEMENT ENTERED INTO PURSUANT TO THIS RESOLUTION SHALL UTILIZE THE CITY'S STANDARD FORM FOR TNDEPENDENT CONTRACTORS (AS ATTACHED TO THIS RESOLUTION), PROVIDED THAT THE CIry MANAGER MAY INCORPORATE ADDITIONAL TERMS, WHICH MAY BE MORE STRINGENT, BUT NOT MORE LENIENT; 5) REQUIRING THE CITY MANAGER TO ISSUE A LETTER TO GOMMISSION EAGH FISCAL QUARTER COMMENCING ON JANUARY 1, 2016, WHICH DELINEATES THOSE INDEPENDENT GONTRAGTOR AGREEMENTS THAT EXCEED $25,000 AND 6) PROVIDING THAT THE AUTHORTW GRANTED TO THE CITY MANAGER PURSUANT TO THIS RESOLUTION SHALL BE BROUGHT TO THE CITY COMMISSION FOR RENEWAL AS PART OF THE ANNUAL OPERATING BUDGET APPROVAL. WHEREAS, under the City Charter, the City Manager has the authority to appoint an employee into a vacant, budgeted position with a salary within the range established by the City Commission for the classification; and WHEREAS, the City has eliminated positions in its annual budget since FY 2007/08; and the City has restricted hiring for vacant positions where appropriate; and WHEREAS, these vacant positions are carefully analyzed for the purpose of identifying mission critical positions that should be filled, while allowing other positions to remain vacant; and 919 WHEREAS, the City needs to utilize independent contractors to replace those employees whose positions may have been eliminated, and to prevent hiring employees that might result in having to lay them off at the end of the fiscal year if their positions are eliminated; and WHEREAS, in some instances where positions are vacant, the City has retained independent contractors to provide services or work; and WHEREAS, because the City Code requires contracts in excess $25,000 to be approved by the City Commission, these agreements have typically been limited to less than the maximum amount; and WHEREAS, on rare occasions, independent contractor agreements for amounts over $25,000 have been brought to the City Commission for approval; and WHEREAS, in an effort to save costs, such as pension and health benefits, the Administration is recommending that the City Commission authorize the City Manager to negotiate, enter into, and execute certain independent contractor agreements, including those having an amount that may exceed $25,000, subject to the following parameters: . The independent contract agreements authorized under this Resolution will be limited to services or work related to a vacant, budgeted position, as approved in the City's FY 201512016 operating budget; and . The value of the agreement will not exceed the amount already authorized in the City's Classified or Unclassified Salary Ordinances, and the term of the agreement will not go beyond September 30, 2016; and . Any agreement entered into will contain, at minimum, the provisions outlined in the City's standard form independent contractor agreement (a copy of which is attached hereto and incorporated herein); and o The City Manager must issue a Letter to Commission ("LTC") each fiscal quarter, commencing on January 1, 2016, which delineates those lndependent Contractor Agreements that exceed the $25,000 threshold; WHEREAS, the City Commission granted similar authority to the City Manager on September 20,2010, for FY 201012011 and renewed such authority on September 27,2011 for FY 201112012; and on September 27 , 2012 for FY 201212013, on September 30, 2013 for FY 2013114; on September 30, 2014 for FY 2014115; and WHEREAS, during the discussions for the initial authority, it was said that this request for authority would be brought back for renewal on an annual basis as part of the budget process. lTHrs sECTtoN TNTENTIONALLY LEFT BLANKI 920 NOW, THEREFORE, BE !T DULY RESOLVED BY THE MAYOR AND THE GITY COMMISSION OF THE Glry OF MIAMI BEACH, FLORIDA, authorizing the City Manager, on behalf of the City, to enter into independent contractor agreements for professional and other services, as required, and as the City Manager deems in the best interest of the City, subject to and contingent upon the following parameters: 1) the City Manager shall only enter into contracts to provide services or work related to vacant budgeted positions, as identified in the City's approved FY 201512016 budget; 2) the amount of the fee or other compensation under such contract(s) shall not exceed the authorized amount for the respective classification, as set forth, in the City's Classified or Unclassified Salary Ordinance (as the case may be); 3) the term of any independent contractor agreement authorized herein shall not extend beyond the end of FY 201512016 (September 30, 2016); 4) at a minimum, the City Manager shall require that any independent contractor agreement entered into pursuant to this resolution shall utilize the City's standard form for independent contractors, provided that the City Manager may incorporate additional terms, which may be more stringent but not more lenient; and 5) providing that the authority granted to the City Manager pursuant to this Resolution shall be brought to the City Commission for renewal as part of the annual operating budget approval. PASSED and ADOPTED this day of 2015. ATTEST: Rafael E. Granado, City Clerk Philip Levine, Mayor ,8Ff,i8frR8f,I8, & FOR EXECUiOil 921 RESOLUTION NO. A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEAGH, FLORIDA, AUTHORIZING THE CITY MANAGER, ON BEHALF OF THE CITY, TO ENTER INTO CERTAIN INDEPENDENT CONTRACTOR AGREEMENTS FOR THE FOLLOWING SERVICES, AS REQUIRED, AND AS THE CITY MANAGER DEEMS IN THE BEST INTEREST OF THE GITY: ATHLETICS INSTRUCTION/COACHING/REFEREEING, INCLUDING BUT NOT LIMITED TO THE FOLLOWING CATEGORIES: BASEBALL, SOFTBALL, SOCCER, GYMNASTICS, CHEERLEADING, VOLLEYBALL; ICE SKATING, HOCKEY, SWIMMING, ICE GUARDS, AEROBICS INSTRUCTION; FITNESS INSTRUCTION; ARTS/MUSIC/CULTURAL/DRAMA INSTRUCTION AND OR INSTRUMENT REPAIR; COMPUTER/MEDIA SERVICES, INCLUDING BUT NOT LtMITED TO !NSTRUGTION AND REPAIR; RECREATIONAL PROGRAMMING AND INSTRUCTION; INSTRUCTION AND THERAPY FOR PARTICIPANTS WITH SPECIAL NEEDS, INCLUDING BUT NOT LIMITED TO EDUCATION, HEALTH AND WELLNESS; INSTRUCTION/TUTORING, INCLUDING BUT NOT LIMITED, TO EDUCATION; COTILLION; SPEECH, DEBATE, SOCIAL SKILLS, LITERACY, MATH AND SAT; FITNESS CLASSES, INCLUDING BUT NOT LIMITED TO AEROBICS, ZUMBA, WEIGHT ROOM, WEIGHT LOSS, GENERAL FITNESS INSTRUGTION, ADULT, YOUTH, AND BABY BOOT CAMP; ; CARE COORDINATION SERVICES; MENTAL HEALTH SERVICES; INTAKE (ASSESSMENT) SERVIGES; FAMILY GROUP CONFERENCING; MENTORING SERVICES; BEHAVIOR MODIFICATION SERVICES; EMPLOYMENT SESSIONS; FAMILY FUNCTIONAL THERAPY; FAMILY HOME VISITATION SERVICES; PARENTING GROUP SERVIGES; ALTERNATIVE SUSPENSION SERVICES; RESTORATIVE JUSTICE TECHNIQUES; ONE-ON-ONE SHADOWS TO WORK WITH YOUTH WITH SPECIAL NEEDS; STEM (SCIENCE, TECHNOLOGY, ENGINEERING AND MATHEMATIGS) ACTIVITIES; SCHOOL LIAISONS FOR REFERRAL OFCARE COORDINATION SERVICES; RESIDENT PROJECT REPRESENTATIVES (RPR); REPORTING REQUIREMENTS ASSOGIATED WITH THE PATIENT PROTEGTION AND AFFORDABLE CARE ACT; ACTUARIAL SERVICES; COMMUNITY/PUBLlc INFORMATION SERVIGES; CONSTRUCTION COST ESTIMATING/CONSULTING SERVICES; VIDEO PRODUCTION SERVICES; PHOTOGRAPHYA/IDEOGRAPHY SERVIGES; GRAPHIC DESIGNER SERVIGES; PROGRAM MONITOR SERVICES; COST ALLOCATION SERVIGES; JOB AUDITS; STEP lll DISCIPLINARY GRIEVANCE HEARING OFFICER; AUDITORS; HISTORIGAL RESEARCHER; LATENT EXAMINER SERVICES; MEDICAL DIREGTOR AND ACCREDITATION SERVICES/SUPPORT; PSYCHOLOGICAL AND TESTING SERVICES; ORGANIZATIONAL DEVELOPMENT MEETING FACILITATION SERVICES; PROFESSIONAL TRAINING SERVICES, INCLUDING BUT NOT LIMITED TO, APPLICATION SYSTEMS INSTRUCTION, METHODOLOGIES FOR APPLICATION SYSTEMS DEVELOPMENT, SEXUAL HARASSMENT, DIVERSITY AND TEAM BUILDING; HOME VISITORS FOR THE PARENT- CHILD HOME PROGRAM; INSTRUCTORS FOR THE MORNINGS ALL-STAR PROGRAMS AND HUD GOMPLIANCE; APPLICATION SYSTEMS CONSULTING SERVICES, INCLUDING BUT NOT LIMITED TO, APPLIGATION SYSTEMS, ARGHITEGTURE, APPLICATION DEVELOPMENT BEST PRACTICES, APPLICATION SEGURITY, APPLICATIONS QUALITY 922 ASSURANCE, APPL!CATION MONITORING, MOBILE APPLICAT!ON DEVELOPMENT; CONSULTING SERVIGES FOR WEBSITE AND DIGITAL MEDIA STRATEGY; WEB DESIGN; GRAPHIC DESIGN; AFTER.ACTION SERVICES; PROVIDED FURTHER THAT THE CIry MANAGER SHALL BE AUTHORIZED TO NEGOTIATE, ENTER INTO, AND EXECUTE THE AFORESTATED AGREEMENTS SUBJECT TO THE FOLLOWING PARAMETERS: 1) THE AMOUNT OF THE FEE OR OTHER COMPENSATTON UNDER SUGH AGREEMENT(S) SHALL NOT EXCEED THE AUTHORTZED AMOUNT FOR THE RESPEGTIVE SERVIGES, AS SET FORTH !N THE CITY'S APPROVED FISCAL YEAR (FY) 2015t2016 ANNUAL BUDGET; 2) THE TERM OF ANY SERVICE AGREEMENT AUTHORIZED HEREIN SHALL NOT EXTEND BEYOND THE END OF FY 2015t2016 (SEPTEMBER 30, 20{6}; 3) AT A MINIMUM, THE CITY MANAGER SHALL REQUIRE THAT ANY AGREEMENT ENTERED INTO PURSUANT TO THIS RESOLUTION SHALL UTILIZE THE CITY'S STANDARD FORM INDEPENDENT CONTRAGTOR AGREEMENT (AS ATTAGHED TO THIS RESOLUTION), PROVIDED THAT THE C!ry MANAGER MAY INCORPORATE ADDITIONAL TERMS, WHICH MAY BE MORE STRINGENT, BUT NOT MORE LENIENT; AND 4) PROVIDING THAT THE AUTHORITY GRANTED TO THE CITY MANAGER PURSUANT TO THIS RESOLUTION SHALL BE BROUGHT TO THE CITY COMMISSION FOR RENEWAL AS PART OF THE ANNUAL OPERATING BUDGET APPROVAL. WHEREAS, the City budgets for certain services are to be provided each year in its annual operating budget for those respective departments; and WHEREAS, some of the budgeted services include, but are not limited to: dance instruction, ice skating instruction, athletics instruction/coaching, aerobics instruction, fitness instruction, computer (lT) services and literacy, math and SAT tutoring for the Parks and Recreation Department; latent examiner services, medical examiner and accreditation services/support for the Police Department; resident prolect representatives (RPR); community information services; construction cost estimating/consulting services for the Capital lmprovement Projects (ClP) Office; video production services, photography/videography services, and graphic design services for the Office of Communications; Homeless Outreach; Housing Services; tutoring services and program monitoring services; cost allocation services for the Finance Department; auditing services for the Office of Budget and Performance lmprovement; job audiVsurveys and Step lll grievance hearing officer for the Human Resources Department; and historical research services for the Planning Department; and WHEREAS, the City Code requires contracts in excess $25,000 to be approved by the City Commission and agreements for these services have typically been limited to that maximum amount; and WHEREAS, independent contractor agreements for amounts over 925,000 which are very limited circumstances have been brought to the City Commission for approval; and WHEREAS, effort to coordinate the execution of these agreements for those services or work referenced herein, the Administration is recommending that the City Commission authorize 923 the City Manager to negotiate, enter into, and execute certain independent contractor agreements, including those having an amount that may exceed $25,000, subject to the following parameters: . The agreements will be limited to the services or work specifically listed in this Resolution; The value of the agreement will not exceed the authorized amount for the respective services or work, as set forth in the approved FY 201512016 annual budget; The term of the agreement shall not extend beyond FY 201512016 (September 30, 2016); and Any agreement entered into will contain, at minimum, the provisions outlined in the City's standard form agreement for independent contractors (a copy of which is attached hereto and incorporated herein); and The City Manager must issue a Letter to Commission ("LTC") each fiscal quarter, commencing on January 1, 2016, which delineates those lndependent Contractor Agreements that exceed the $25,000; WHEREAS, the City Commission granted similar authority to the City Manager on September 20,2010, for FY 201012011, and renewed such authority on September 27,2011, for FY 201112012: and September 27,2012, for FY 201212013; and September 30, 2013 for FY 201312014; and September 30, 2014tor FY 201412015; and WHEREAS, during the discussions for the initial authority, it was said that this request for authority would be brought back for renewal on an annual basis as part of the budget process. NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND THE CIry COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, to enter into independent contractor agreements for the following services, as required and as the City Manager deems in the best interest of the City: baseball, softball, soccer, gymnastics, cheerleading, volleyball; ice skating, hockey, swimming, ice guards, aerobics instruction; fitness instruction; arts/music/cultural/drama instruction and or instrument repair; computer/media services, including but not limited to instruction and repair; recreational programming and instruction; instruction and therapy for participants with special needs, including but not limited to education, health and wellness; instruction/tutoring, including but not limited to, education, cotillion, speech, debate, social skills, literacy, math and SAT; fitness classes, including but not limited to aerobics, Zumba, weight room, weight loss, general fitness instruction, adult ,youth and baby boot camp; care coordination services; mental health services; intake (assessment) services; family group conferencing; mentoring services; behavior modification services; employment sessions; family functional therapy; family home visitation services; parenting group services; alternative suspension services: restorative justice techniques; one-on-one shadows to work with youth with special needs; STEM ( science, technology engineering and mathematics) activities; school liaisons for referral or care coordination services; resident project representatives (RPR); reporting requirements associated with the Patient Protection and 924 Affordable Care Act; Actuarial services; community/public information services; construction cost estimating/consulting services; video production services: photography/videography services; graphic designer services; program monitor services; cost allocation services; job audits; step iii disciplinary grievance hearing officer; auditors; historical researcher; latent examiner services; medical director and accreditation services/support; psychological and testing services; organizational development meeting facilitation services; professional training services, including but not limited to, application systems instruction, methodologies for application systems development, sexual harassment, diversity and team building; home visitors for the parent-child home program; instructors for the mornings all-star programs and hud compliance; application systems consulting services, including but not limited to, application systems, architecture, application development best practices, application security, applications quality assurance, application monitoring, mobile application development; consulting services for website and digital media strategy; web design; graphic design; after-action services; provided further that the City Manager shall be authorized to negotiate, enter into, and execute the aforestated agreements subject to the following minimum parameters: 1) the amount of the fee or other compensation under such agreement(s) shall not exceed the authorized amount for the respective services, as set forth in the City's approved FY 201512016 budget; 2) the term of any service agreement authorized herein shall not extend beyond the end of FY 201512016 (September 30, 2016); 3) at a minimum, the City Manager shall require that any agreement entered into pursuant to this resolution shall utilize the City's standard form independent contractor agreement (as attached to this resolution), provided that the City Manager may incorporate additional terms, which maybe more stringent but not more lenient; and 4) providing that the authority granted to the City Manager pursuant to this resolution shall be brought to the City Commission for renewal as part of the annual operating budget approvals. PASSED and ADOPTED this ATTEST: day of 2015. Rafael E. Granado, City Clerk Philip Levine, Mayor ,6Fffi8TiR68T3, & FORIXECUIiON ffir 925 INDEPENDENT CONTRAGTOR AGREEMENT This Agreement is entered into on this _ day of between TENTER FULL NAME OF CONTRACTORI (Contractor), and the City of Miami Beach, Florida (City), for a period of TENTER DURATION/TERM OF AGREEMENTI, with an effective starting date of t I, and an end date of I I (the Term). 1. Scope of WorUServices. This Agreement is for the purpose of providing lPRovtDE BRTEF DESGRIPTION/SUMMARY oF WHAT coNTRAcroR wlLL Dot to the city's I Department. Specifically, throughout the Term of this Agreement, Contractor shall provide and/or perform the following minimum services: TINSERT DETAILED AND/OR ITEMIZED DESCRIPTION OF WORK AND/OR SERVICES CONTRACTOR WILL PROVIDEI 2.Fee. ln consideration of the work and/or services to be provided pursuant to this Agreement, the City agrees to pay Contractor a fee, in the not to exceed amount of I FILL lN TOTAL $AMOUNfl, which shall be paid as follows: ]INSERT. IN DETAIL. HOW FEE WILL BE PAID. INCLUDE WHETHER FEE WILL BE PAID HOURLY. WEEKLY. MONTHLY. ETC.: WHETHER IT'S SUBJECT TO CONTRACTOR PROVIDING TIME SHEETS. OR WORK SCHEDULE. ETC.I The total fee paid to Contractor pursuant to this Agreement shall not exceed IFILL lN A NOT TO EXCEED AMOUNfl for the Term provided herein. 3. Work Schedule. During the Term of the Agreement, Contractor shall provide the work and/or services in accordance with the following minimum work schedule: IINSERT WORK SCHEDULE (EXAMPLE: MON - FRl. 9 AM TO SPM. EXCLUDING REGOGNIZED CITY HOLIDAYS). !F IT'S ANOTHER TYPE OF SCHEDULE SUGH AS ON AN HOURLY BASIS OR ONLY ON SPECIFIC DAYS. BE SPEGIFIC AS TO MINIMUM HOURS OR DAYS CONTRACTOR IS EXPECTED TO WORK IN ORDER TO GET PAID THE FEE SET FORTH HERE.I Contractor's work and/or services shall be overseen by the following City DepartmenUlndividual: tINSERT TITLE. DEPARTMENT OF CITY (INDIVIDUAL OVERSEEING SERVICES}.I 4. Termination. This Agreement may be terminated for convenience of either party, with or without cause, by giving written notice to the other party of such termination, which shall become effective upon fourteen (14) days following receipt by the other party of the written termination notice. Upon termination in accordance with this paragraph, the Contractor shall be paid a sum equal to all payments due to him/her up to the date of termination; provided Contractor is satisfactorily continuing to satisfactorily perform all work and/or services up to the date of 926 termination. Thereafter, the City shall be fully discharged from any further liabilities, duties, and terms arising out of, or by virtue of, this Agreement. 5. lndemnification/Hold Harmless. Contractor agrees to indemnify, defend, and hold harmless the City of Miami Beach and its officers, employees and agents, from and against any and all actions, claims, liabilities, Iosses and expenses, including but not limited to, attorney's fees, for personaleconomic or bodily injury, wrongful death, loss of or damage to property, at law or in equity, which may arise or be alleged to have arisen from the negligent acts or omissions or other wrongful conduct of Contractor, and/or any and all subcontractors, employees, agents, or any other person or entity acting under Contractor's control, in connection with the Contractor's performance of the work and/or services pursuant to this Agreement. Contractor shall pay all such claims and losses and shall pay all costs and judgments which may arise from any lawsuit arising from such claims and losses, and shall pay all costs and attorney's fees expanded by the City in defense of such claims and losses, including appeals. The parties agree that one percent (1%) of the total compensation to Contractor for performance of the work and/or services under this Agreement is the specific consideration from the City to Contractor for the Contractor's agreement to indemnify and hold the City harmless, as provided herein. Contractor and the City hereby agree and acknowledge thatthis indemnity provision is intended to and shall survive the termination (or earlier expiration) of this Agreement. 6. Limitation of Liabilitv. The City desires to enter into this Agreement only if in so doing the City can place a limit on City's liability for any cause of action for money damages due to an alleged breach by the City of this Agreement, so that its liability for any such breach never exceeds the sum of the compensation/fee to be paid to Contractor pursuant to this Agreement, less any amounts actually paid by the City as of the date of the alleged breach. Contractor hereby expresses his willingness to enter into this Agreement with Contractor's recovery from the City for any damage action for breach of contract to be limited to a maximum amount equal to the compensation/fee to be paid to Contractor pursuant to this Agreement, less any amounts actually paid by the City as of the date of the alleged breach. Accordingly, and notwithstanding any other term or condition of this Agreement, Contractor hereby agrees that the City shall not be liable to Contractor for damages in the amount in excess of the compensation/fee to be paid to Contractor pursuant to this Agreement, less any amounts actually paid by the City as of the date of the alleged breach, for any action or claim for breach of contract arising out of the performance or non-performance of any obligations imposed upon the City by this Agreement. Nothing contained in this subparagraph or elsewhere in this Agreement is in any way intended to be a waiver of the limitation placed upon City's liability as set forth in Section 768.28, Florida Statutes. 7. Notices. All notices and communications in writing required or permitted hereunder may be delivered personally to the representatives of the Contractor and the City listed below or may be mailed by registered mail, postage prepaid (or airmailed if addressed to an address outside of the city of dispatch). Until changed by notice in writing, allsuch notices and communications shall be addressed as follows: 927 CITY: CONTRACTOR:IINSERT NAME OF CONTRACTORI ITNSERT ADDRESS OF CONTRACTORI [INSERT PHONE NUMBERI [INSERT DEPARTMENT DIREGTOR] City of Miami Beach [INSERT DEPARTMENT NAME] 1700 Convention Center Drive Miami Beach, FL 33139 (305) Notices hereunder shall be effective. lf delivered personally, on delivery; if mailed to an address in the city of dispatch, on the day following the date mailed; and if mailed to an address outside the city of dispatch on the seventh day following the date mailed. 8. Venue. This Agreement shall be governed by, and construed in accordance with, the laws of the State of Florida, both substantive and remedial, without regard to principles of conflict of laws. The exclusive venue for any litigation arising out of this Agreement shall be Miami-Dade County, Florida, if in state court, and the U.S. District Court, Southern District of Florida, if in federal court. BY ENTERING ]NTO THIS AGREEMENT, CITY AND CONTRACTOR EXPRESSLY WAIVE ANY RIGHTS EITHER PARTY MAY HAVE TO A TRIAL BY JURY OF ANY CIVIL LITIGATION RELATED TO, ORARISING OUT OF, THIS AGREEMENT 9. Dutv of Care/Compliance with Applicable Laws. With respect to the performance of the work and/or service contemplated herein, Contractor shall exercise that degree of skill, care, efficiency and diligence normally exercised by reasonable persons and/or recognized professionals with respect to the performance of comparable work and/or services. ln its performance of the work and/or services, Contractor shall comply with all applicable laws, ordinances, and regulations of the City, Miami-Dade County, the State of Florida, and the federal government, as applicable. The Contractor agrees to adhere to and be governed by the Miami-Dade County Conflict of lnterest Ordinance, as same may be amended from time to time; and by any and all ethics/standards of conducts as referenced in Chapter 2 of the City of Miami Beach Code (as may be amended from time to time). Contractor covenants that it presently has no interest and shall not acquire any interest, direct or indirectly which should conflict in any manner or degree with the performance of the work and/or services. Contractor further covenants that in the performance of work and/or services under this Agreement, no person having any such interest shall knowingly be employed by the Contractor. No member of or delegate to the Congress of the United States shall be admitted to any share or part of this Agreement or to any benefits arising there from. IO. CONTRACTOR'S COMPLIANCE WITH FLORIDA PUBLIC RECORDS LAW Pursuant to Section 119.0701of the Florida Statutes, if the Contractor meets the definition of "Contracto/' as defined in Section 119.0701(1Xa), the Contractor shall: 928 a) Keep and maintain public records that ordinarily and necessarily would be required by the public agency in order to perform the service; b) Provide the public with access to public records on the same terms and conditions that the public agency would provide the records and at a cost that does not exceed the cost provided in this chapter or as otherwise provided by law; c) Ensure that public records that are exempt or confidential and exempt from public records disclosure requirements are not disclosed except as authorized by law; and d) Meet all requirements for retaining public records and transfer to the City, at no City cost, all public records created, received, maintained and/or directly related to the performance of this Agreement that are in possession of the Contractor upon termination of this Agreement. Upon termination of this Agreement, the Contractor shall destroy any duplicate public records that are exempt or confidential and exempt from public records disclosure requirements. All records stored electronically must be provided to the City in a format that is compatible with the information technology systems of the City. For purposes of this section, the term "public records" shall mean all documents, papers, letters, maps, books, tapes, photographs, films, sound recordings, data processing software, or other material, regardless of the physical form, characteristics, or means of transmission, made or received pursuant to law or ordinance or in connection with the transaction of official business of the City. Contractor's failure to comply with the public records disclosure requirement set forth in Section 119.0701of the Florida Statutes shall be a breach of this Agreement. ln the event the Contractor does not comply with the public records disclosure requirement set forth in Section 119.0701 of the Florida Statutes, the City may, at the City's sole discretion, avail itself of the remedies set forth under this Agreement and available at law. 11. Ownership of Documents/Patents and Gopvrights. Any and all documents prepared by Contractor pursuant to this Agreement are related exclusively to the work and/or services described herein, and are intended or represented for ownership by the City. Any re-use distribution, or dissemination of same by Contractor, other than to the City, shall first be approved in writing by the City Manager, which approval, if granted at all, shall be at the City Manager's sole and absolute discretion. Any patentable and/or copyrightable result arising out of this Agreement, as well as all information, specifications, processes, data and findings, shall be made available to the City, in perpetuity, for public use. No reports, other documents, articles or devices produced in whole or in part under this Agreement shall be the subject of any application for patent or copyright by or on behalf of the Contractor (or its employees or sub-contractors, (if any) without the prior written consent of the City Manager, which consent, if given at all, shall be at the Manager's sole and absolute discretion. 12. No AssiqnmenUTransfer. This section intentionally left blank. 929 13. LiabilitvforSub-contractors. Contractor shall be liable for its work and/or services, responsibilities and liabilities under this Agreement and the services, responsibilities and liabilities of any sub-contractors (if any), and any other person or entity acting under the direction or control of Contractor (if any). When the term "Contractor" is used in this Agreement, it shall be deemed to include any sub-contractors (if any) and/or any other person or entity acting under the direction or control of Contractor (if any). All sub-contractors (if any) must be approved in writing by the City Manager prior to their engagement by Contractor, which approval, if granted at all, shall be at the City Manager's sole and absolute discretion. 14. lndependent Contractor/No Joint Venture. THIS AGREEMENT SHALL NOT CONSTITUTE OR MAKE THE PARTIES A PARTNERSHIP OR JOINT VENTURE. FOR THE PURPOSES OF THIS AGREEMENT, THE CONTRACTOR SHALL BE DEEMED TO BE AN INDEPENDENT CONTRACTOR, AND NOT AN AGENT OR EMPLOYEE OF THE CITY, AND SHALL NOT ATTAIN ANY RIGHTS OR BENEFITS UNDER THE CIVIL SERVTCE OR PENSION ORDINANCE OF THE CITY, OR ANY RIGHT GENERALLY AFFORDED CLASSIFIED OR UNCLASSIFIED EMPLOYEES INCLUDING ANNUAL AND SICK DAY ACCRUAL. FURTHER, THE CONTRACTOR SHALL NOT BE DEEMED ENTITLED TO FLORIDA WORKER'S COMPENSATION BENEFITS AS AN EMPLOYEE OF THE CITY ORACCUMULATION OF SICK OR ANNUAL LEAVE. 15. Waiver of Breach. A party's failure to enforce any provision of this Agreement shall not be deemed a waiver of such provision or modification of this Agreement. A party's waiver of any breach of a provision of this Agreement shall not be deemed a waiver of any subsequent breach and shall not be construed to be a modification of the terms of this Agreement. 16. Severance. ln the event this Agreement or a portion of this Agreement is found by a court of competent jurisdiction to be invalid, the remaining provisions shall continue to be effective unless City elects to terminate this Agreement. 17. Joint Preparation. The parties hereto acknowledge that they have sought and received whatever competent advice and counsel as was necessary for them to form a full and complete understanding of all rights and obligations herein and that the preparation of this Agreement has been a joint effort of the parties, the language has been agreed to by parties to express their mutual intent and the resulting document shall not, solely as a matter of judicial construction, be construed more severely against one of the parties than the other. 18. Purchase Order Requirement. This agreement shall not be effective until executed by the parties hereto and until the City has issued a Purchase Order for this agreement. 19. Entire Agreement. This writing and any exhibits and/or attachments incorporated (and/or otherwise referenced 930 for incorporation herein) embody the entire Agreement and understanding between the parties hereto, and there are no other agreements and understandings, oral or written, with reference to the subject matter hereof that are not merged herein and superseded hereby. lN WITNESS WHEREOF, the parties hereto have caused these presentsto be executed by the respective officials thereunto duly authorized, this date and year first above written. FOR CITY: CITY OF MIAMI BEACH, FLORIDA ATTEST: City Clerk City Manager By: FOR CONTRACTOR: WITNESS: By. Print Name By: Print Name Approved: Department Director Office of Budget and Performance lmprovement tI NSERT CONTRACTOR NAMEI Signature Print Name / Title Approved as to form & language & for execution. City Attorney Date Human Resources 931 THIS PAGE INTENTIONALLY LEFT BLANK 932 dD tt!, OFFICE I\,tlA,\AIBEACH OF THE CIry ATTORNEY RAULJ. AGUILA, CITY ATTORNEY MAYOR PHILIP LEVINE MEMBERS OF THE CITY COMMISSION CITY MANAGER JIMMY MORALES COMMISSION MEMORANDUM TO: F'ROM: DATE: RAUL J. AGUTLA } *-!* 0 *' \-' CITY ATTORNEY SEPTEMBER 30,2015 SUBJECT: CANYASSING BOARD MEMBERSHIP NOVEMBER 3, 2015 GENERAL, SPECIAL (AND, IF RUNOFF) ELECTTONS. APPOINTMENTS FOR CITY'S NEEDED, NOVEMBER 17, 2015 The City of Miami Beach's General Election and Special Election is scheduled for November 3, 2015, with any Runoff Election to occur on November 17, 2015. The City is required by State Election law to designate a Canvassing Board for its November 2015 Elections, which Board has the responsibility of canvassing absentee ballots as well as overseeing the conduct of said Elections. The Board is statutorily composed of the City Clerk, the City's Mayor (or a member of the City Commission), and a County Court Judge to be appointed by the Chief Judge of the 11ft Judicial Circuit. Canvassing Board members may not be candidates with opposition in the City's General or Run-Off Elections, nor may they be active participants in the campaign or candidacy of any candidate with opposition in said Elections. Inasmuch as the Mayor is a candidate with opposition in the City's General Election, he may not serve on the City's Canvassing Board, nor may any of the City Commissioners if they are active participants in the campaign or candidacy of any candidate with opposition in the City's General/Runoff Elections. If none of the members of the City Commission are able to serve on the Canvassing Board, the Chief Judge of the 1ltr Judicial Circuit must appoint a qualified electorl of the City to serve as a "substitute member." Additionally, as a result of 2013 Legislative changes to State law concerning composition of the Canvassing Board, two additional persons must be selected to serve as "alternative" Canvassing Board members. One "alternative" Canvassing Board member must be I A "qualified elector" is a resident of the City of Miami Beach, over the age of 18, who is a registered voter with the Miami-Dade County Elections Department. Agenda tHm R7 G oate 730- l{933 appointed by the Mayor (selecting either a member of the City Commission or, if none available, a qualified elector); one other "alternative" member must be appointed by the Chief Judge of the 1lth Judicial Circuit (selecting a County Court Judge).2 Accordingly, I recommend that the following City Commission actions occur today: . Appointment by the City Commission of one City Commissioner to serve as a oosubstitute" member of the Canvassing Board (City Commissioner cannot be active participant in the campaign or candidacy of any candidate with opposition in the General/Runoff Elections). In the event no member of the City Commission is able to serve on the Canvassing Board, Chief Judge Bertila Soto shall select a qualified elector of the City to serve thereon;3 and . Appointment by the Mayor of an 'oalternative" member of the Canvassing Board, a consisting of either a member of the City Commission or (if none available to serve) a qualified elector of the City (neither of whom may be candidates with opposition in the City's General/Runoff Elections, or may be active participants in the campaign or candidacy of any candidate with opposition in said Elections). Once the above actions have been taken, I will contact Chief Judge Soto in order to frnalize Canvassing Board appointments, after which I will provide the City Commission, via Letter to Commission, with the final list of persons appointed to the City's Canvassing Board for the City's November 201 5 Elections. 2 ulf a member of the [City] canvassing board is unable to participate in a meeting of the board, the chair of the [City] canvassing board or his or her designee shall designate which alternate member will serve as a member of the board in the place of the member who is unable to participate at that meeting." $ 102. 1 4 l(1)(e)3, Fla. Stat. 3 Although not binding, the City Commission may provide suggested names of "qualified electors" to the Judge. o In the event the Mayor does not select such alternative member, the Chief Judge shall select a qualified elector of the City to serve in such capacity. 934 COMMISSION IIEM SUMMARY Condensed Title: A Resolution Approving and Authorizing the Mayor and City Clerk to execute an Agreement, substantially in the form attached to this Resolution, between the City and Skidata, lnc., pursuant to lnvitation to Negotiate (lTN) 2014-170-SW, for a Gated Revenue Control System forthe City's Parking Garages, for an initial term of ten (10) years, with two (2) five (5) year options, atthe Citv's sole discretion. lntended Outcome Su Ensure expenditure trends are sustainable over the long term. Supporting Data (Surveys, EnvironmentalScan, etc.): N/A June 10,2015, the Mayor and Commission referred ltem No. R7M, lnvitation to Negotiate ITN) No. 2014-170-SW for a gated revenue control system for the City's Parking Garages to the inance and Citywide Projects Committee (FCWPC) for discussion. July 1 , 2015, the FCWPC discussed the item and approved gated revenue control as the by which to operate municipal parking garages. Additionally, the FCWPC endorsed the tendation of the City Manager, pursuant to ITN 2014-170-SW for a gated revenue control for the City's parking garages to Skidata, lnc. July 8, 2015, the Mayor and Commission authorized the Administration to finalize negotiations Skidata, lnc. pursuant to invitation to negotiate (lTN) 2014-170-SW for a Gated Revenue System for the City's Parking Garages and bring the Agreement to the City Commission September 2,2015, for ratification. ln addition, the Administration was directed to engage lker Parking Consultants and have them perform an analysis analyze and recommend revenue systems for the City's parking garages, including but not limited to gated, metered, or ive technologies deployed in industry today. Walker recommends a gated system in the s ten garages and their analysis is attached. Also, the proposed Agreement between the City Skidata is attached. Administration Recommendation: Adopt the Resolution. Financial lnformation : Source of Funds: Amount Account 1 $303,000 142-6176-000674 2 362,000 463-6176-000674 3 471,OOO 467-6176-000674 4 2,696,000 480-6176-000674 5 400,000 480-0463-000349 OBPI Total $4,232,000 Financial lmoact Summarv: Saul Frances 2014-170 Revenue MIAMIBEACH AGENoA ien R1H D^tE ?4o - l5935 1915.2015 the City Cityof Miomi Beoch, l700ConventionCenterDrive,Miomi Beoch,Florido33,l39,www.miomibeochfl.gov COMMISSI N MEMORANDUM MIAMIBEACH TO: FROM Mayor Philip Levine and Members Jimmy L. Morales, City Manager DATE: September 30, 2015 SUBJECT: A RESOLUTION OF THE MA AND CITY COMMISSION OF THE THE MAYOR AND CITY CLERK TO EXECUTE AN AGREEMENT, SUBSTANTIALLY IN THE FORM ATTACHED TO THIS RESOLUTION, BETWEEN THE CITY AND SKIDATA, INC., PURSUANT TO INVITATION TO NEGOTIATE (tTN) 2014-170-SW, FOR A GATED REVENUE CONTROL SYSTEM FOR THE CITY'S PARKING GARAGES, FOR AN rNrTrAL TERM OF TEN (10) YEARS, WrrH TWO (2) FIVE (5) YEAR OPTIONS, AT THE CITY'S SOLE DISCRETION. BACKGROUND On June 10,2015, the Mayor and Commission referred ltem No. R7M, lnvitation to Negotiate (lTN) No. 2014-170-SW for a gated revenue control system for the City's Parking Garages to the Finance and Citywide Projects Committee (FCWPC) for discussion. The item was referred to the FCWPC seeking guidance on whetherto operate municipal garages with a gated revenue control system or as metered parking. On July 8, 2015, the Mayor and Commission authorized the Administration to finalize negotiations with Skidata, lnc. pursuant to invitation to negotiate (lTN) 2014- 170-SW for a Gated Revenue Control System for the City's Parking Garages and bring the Agreement to the City Commission on September 2,2015, for ratification. ACTIONS ON JULY 8. 2015 The Administration was directed to engage Walker Parking Consultants and have them perform an analysis and recommend revenue control systems for the City's parking garages, including but not limited to gated, metered, or alternative technologies deployed in industry today. 936 September 30, 2015 City Commission Memo ITN 2014-170-SW Gated Revenue ControlSysfem for Municipal Garages Page2of11 ANALYSIS The following are the results of each of the two directives issued by the City Commission. Citv of Miami Beach & Skidata Aqreement The Agreement between the City and Skidata, lnc. is attached. All goods and services are consistentwith the Term Sheet, pursuantto the July 8,2015, City Commission Agenda ltem No. R7N. The ITN documents and Skidata's proposal documents are also incorporated into the Agreement. The following are key elements of the Agreement: Scope of Services !n consideration of the Fee to be paid to Consultant by the City, Consultant shall provide the Citywith the equipment, work, and services necessaryfor a state of the art gated parking revenue controlsystem including realtime centralized processing of data for all of the City's parking garages and a central monitoring station for intercoms, CCTV at all entrance and exit lanes, and access control for the garage equipment (the "SKIDATA Project"), as described in Exhibit "A" hereto (the "Services" or "Scope of Work"). Additional equipment, services or garage facilities may be added to the existing Scope of Work. Although this ITN and resultant Agreement identifies specific equipment, services or garage facilities ("items") within the Services or Scope of Work being provided by Contractor, it is hereby agreed and understood that the City, through the approval of the City Manager (for additional items up to $50,000) or the City Commission (for additional items greater than $50,000), may require additional items to be added to the Agreement, based upon the PARCS pricing list contained herein. The pricing list contained herein shall remain in effect from the Effective Date of this Agreement though Year 3. Thereafter, the pricing list may be adjusted annually by CPI (Consumer Price lndex). Term: The term of this Agreement ("Term") shall commence upon execution of this Agreement by all parties hereto, and shall have an initial term of ten (10) Years, with two consecutive five (5) year renewal options, to be exercised at the City Manager's sole option and discretion, by providing Consultant with written notice of same no less than One Hundred and Twenty (120) days prior to the expiration of the initial term. 937 September 30, 2015 City Commission Memo ITN 2014-170-SW Gated Revenue ControlSysfem for Municipal Garages Page3of11 Fees: Consultant shall be paid its fee in connection with the Services being performed for each garage during the following stages of performance: . Phase l: 60% of the fee shall be due upon receipt of the equipment, installation of the equipment and software and written acceptance by the City, in its sole, absolute, and reasonable discretion, of all the Services;. Phase ll 20o/o within thirty (30) days from completion of Phase l, upon the City's confirmation that any punch list items have been completed satisfactorily and the Skidata System is operating as intended in the sole, absolute, and reasonable discretion of the City;o Phase lll: 20% within ninety (90) days from the completion of Phase l, upon the City's acceptance, in its sole, absolute, and reasonable discretion, that the Services have been completed satisfactorily and the Skidata System is operating as intended; ando The Maintenance costs for each garage shall be paid, commencing as of Phase ll of the installation of the Services for each garage, on a monthly basis, based upon the agreed upon Maintenance Cost set forth herein. Obsolescence - Performance Bond or Alternate Security. As we know, the existing system provider has notified the City that it will no longer be in the business of gated revenue control systems. Since these systems are proprietary, there is no option other than full system replacement. This raised concerns with the City Commission as to how to address the issue of obsolescence. To this end, a performance bond or alternate security provides an instrument by which to address obsolescence. Skidata has indicated that it is willing to secure a performance bond or alternate security, as prescribed below. Because it was not identified as a requirement through the ITN process, the City cannot require Skidata to absorb this cost. However, Skidata is willing to absorb 50o/o of the annual expense, with the City paying the remainder in an amount not to exceed $12,500, annually. Walker Parking was posed the question below related to the issue of obsolescence and the following is their opinion: The useful life of most pafuing equipment is rated at eight to ten years depending upon frequency of use, climate, and how well it's maintained. This is similar for both meters and for gated PARCS; however, there are many instances of parking equipment lasting far longer. Maintenance and repair cosfs typically increase as the equipmenf ages. Obso/escence is rare. For example, conventional parking meters have been around for 80 years, and while they are extremely limited in their features and functionality, Walker estimates that 4 million are still installed in the 938 September 30, 2015 City Commission Memo ITN 2014-170-SW Gated Revenue ControlSysfem for Municipal Garages Page4of11 United Sfafes alone. Gated PARCS have been in existence for almost as long, and although there is a tot of tatk about gafes "going away" due to cett phone, apps and license plate recognition technology, only a handful of garages have removed their gates to date. During the kick-off meeting concerns were raised about the demise of Federal APD, once a leading PARCS manufacturer. There was some concern about the industry overall. Federal APD was in decline when 3M acquired them, and while Walkerdoes not know why or what happened intemally, we view it as an anomaly rather than a sign of things to come. PARCS has become big busrness, attracting the likes of 3M, Xerox and other large corporations. While this creates greater competition, it also shouzs that there is opportunity for growth potential in the U.S. parking market. ln Walker"s estimation, Skidata and T2 are examples of two companies poised for growth. Skidata has agreed to the aforementioned terms and conditions related to the Performance Bond and the contract provision below is recommended. Consultant shall, within thirty (30) days from execution of this Agreement, furnish to the City Manager or his designee a Pefformance Bond in the penalsums stated below for the payment of which Consultant shall bind itself for the faithful performance of the terms and conditions of this Agreement. A Perfonnance Bond, in the amount of Three Million One Hundred Thousand ($3,100,000.00) Dollars ("Security"), shall be provided by the Consultant in faithful obseruance of this Agreement for the first year of the Agreement. Thereafter, upon each renewal of the Secuity, the total amount of the Security shall be reduced by ten percent (10%d per year, i.e. the amount bf tne Security foi tne second year of lhe Agreement shalt be no /ess than $2,790,000.00. A cash deposit, irrevocable letter of credit, or ceftificate of deposit may also suffice to comply with the requirement of providing Security, as determined by the City Manager or his designee, in his sole and reasonable discretion. The form of the Pertormance Bond or altemate security shall be approved by the City's Chief Financial Officer. ln the event that a Cerlificate of Deposit is approved, it shall be for the amounts of the Security required in this Section, in favor of the City, which shall be automatically renewed for an amount no /ess than the required Security amount set forth in this Section, the original of which shall be held by the City's Chief Financial Officer. Consultant shall be so required to maintain said Pefformance Bond or alternate security in full force and effect throughout the Term of this Agreement. Consultant shall have an affirmative duty to notify the City Manager or his designee, in writing, in the event said Pertormance Bond or alternate security /apses or otherwise expires. All interest that accrues in connection with any financial instrument or sum of money referenced above shall be the propefty of Consultant, except in an event of default, in which case the City shall be entitled to all interest that accrues after the date of default. 939 September 30, 2015 City Commission Memo ITN 2014-170-SW Gated Revenue ControlSystem for Municipal Garages Page 5 of 11 Performance Standards : This section defines requirements for minimum performance levels forWarranty and Post Warranty Maintenance Agreement Period Performance. Written notifications under this section may be provided in electronic form. A Warranty and Maintenance Agreement payments shall be made monthly to the Contractor. B Each month, within fifteen (15) days following the end of a month, the Firm and City staff shall meet to review the System performance and Firm's maintenance staff performance results for the prior month. Minutes of these meetings shall become part of the permanent Contract file and shall be available to the Performance Bond lnsurance Company throughout the maintenance period, if requested. C The City shall review the System performance and the Firm's performance based on the standards outlined belowfor Preventative Maintenance (PM) and Repair Services Maintenance (RS). D The Firm shall submit monthly invoices that itemize the total invoice cost into scheduled PM task effort (set amount each month) and RS response effort (amount will vary based on actual effort performed each month) E Preventative Maintenance Performance Requirements: 1. The Firm shall provide a detailed report of the maintenance items performed in each visit to each location. This report shall be accepted by the City supervisor at the end of each visit. The report shall provide a means of tracking the preventative maintenance tasks performed. 2. The Firm shall complete no less than ninety-eight percent (98%) of all Preventative Maintenance scheduled during the month based on a schedule previously provided by Firm. Percentages shallbe calculated on the total number of Preventative Maintenance tasks scheduled for just that month and the total number of Preventative Maintenance tasks fully completed in the month even if the scheduled maintenance is a monthly, quarterly, or annual maintenance requirement. Partial completion of a scheduled Preventative Maintenance item shall not meet this requirement and shall not meet the City's standards of fully completed. Any month that falls below this level shall require a written justification from the Firm and with measures implemented to assure City staff that performance will improve. For each percentage point below ninety-eight percent (98%) of total scheduled maintenance tasks that the Contractor does not complete, the Contractor's monthly invoice amount shall be reduced by five percent (SYo) A percentage of ninety 940 September 30, 2015 City Commission Memo ITN 2014-170-SW Gated Revenue ControlSysfem for Municipal Garages Page6of11 (90%) or below, without written justification accepted by the City, may be considered reason for default of contract. 3. Factors beyond the control of the Firm, such as unexpected delays in parts, delays due to accidents or damage created at no fault of the Firm, severe weather and unusual traffic volume during the holiday seasons shall be thoroughly documented in the Maintenance work order system and reported to the City the next business day. The City retains the right to determine if the non-performance was beyond the Firm's control and is a valid reason for non-performance. F Repair Service Maintenance and System Performance Requirements: 1. The Firm shall provide three methods of notification to be used for repair contact information. The methods of notification shall provide a means of tracking the date and time the message was delivered. Examples of some documented communication include online customer portal, cell phone, and email. The time of arrival shall be documented by the technician's access to the garage by an access card or QR/bar code. Completion time of the repair work shall have written confirmation by a City supervisor. 2. The Firm shall respond in accordance with the two (2) hour response times defined in this lnvitation to Negotiate (lTN). Performance shall be calculated as the number of response calls returned to the City within the response time, divided by the total number of response calls for the month. For each percentage point (below 98%) of total repair maintenance calls that the Contractor does not respond to within two (2) hours, the Firm's monthly invoice shall be reduced by five percent (5%) of the amount. A percentage of ninety (90%) or below, without written justification accepted by the City, may be considered reason for default of contract. 3. Any repair items that result in a reduction in the level of service or operation, including but not limited to, lane closures, inoperable payment devices, etc. shall be considered critical repair items. Resolution of any critical repair items within four (4) hours after notification is required in all situations. A temporary solution is acceptable in the event replacement parts are not available in inventory. Penalties for non-compliance will be assessed according to the following table, unless the City agrees that there were factors beyond the Firm's control that prevented them from completing the work within the time specified: 941 September 30, 2015 City Commission Memo ITN 2014-170-SW Gated Revenue ControlSysfem for Municipal Garages Page 7 of 11 Completion time of repair Penalty per reoair 0 to 4 hours 4 to 6 hours 6 to 24 hours 24 to 36 hours 36 to 48 hours 48 to 72 hours N/A $50.00 $100.00 $150.00 $200.00 $250.00 Any work exceeding 72 hours, without written justification accepted by the City, may be considered reason for default of contract.5. Factors beyond the controlof the Firm, such as unexpected delays in parts, accidents, severe weather, and unusual traffic, shall be thoroughly documented in the Maintenance work order system and reported to the City the next business day. The City may grant relief for the service hour requirement after reviewing these factors. The City shall cooperate with the Firm to fully explore any concerns regarding service and performance standards.6. The City shall notify the Firm in writing of performance problems with respect to the service standards within twenty (20) days after the end of each month based on the performance reports from the maintenance tracking system.7. The Firm shall be given thirty (30) days from receipt of notification to take corrective actions with respect to the problem identified by the City or request relief. All other terms and conditions are substantively consistent with the City's customary contract provisions. Garaqe Revenue Control Analvsis - Walker Parkinq Consultants On July 8,2015, the City Commission held significant discussion regarding whether to operate municipal parking garage with a "Gated" or "Metered/Enforcement" revenue control system. To this end, the Mayor and Commission directed the Administration to engage "Walker Parking" to perform an analysis. Walker was engaged and charged with the following tasks: Review and opine on City Commission Memorandum - Parking Garage Revenue Control Systems (dated June 10,2015), including the following areas in memo: a. Comment on most common garage revenue controlsystems and best practices based on Walker's experience and project database. b. Revenue control systems for parking garages deployed in public and private systems within the last two years, 942 September 30, 2015 City Commission Memo ITN 2014-170-SW Gated Revenue ControlSysfem for Municipal Garages Page I of 11 c. Cost of Equipment - actual cost comparison of gated revenue control systems like Skidata and Amano versus pay stations like T2, analyzed over a ten-year period, including service contracts. d. Cost of Labor - operational cost comparison of labor associated with gated revenue control systems like Skidata and Amano versus pay stations like T2. e. Technological advancements - What is the trend of equipment being installed in new construction municipal/university garages? Will the equipment the City is contemplating purchasing from Skidata be obsolete five years from now? Will the trending increase in pay-by- phone users diminish the need and utility of the equipment the City is contemplating purchasing from Skidata? f. Comparison & Capture Rate - compare both technologies during large special events and major impact periods. What is the capture rate of T2 pay stations? Users of the app? g. Cost of Enforcement - additional labor cost of adding garages to parking enforcement officers' routes? Additional revenue to City above and beyond average parking fee resulting from parking citations being issued? Also, most pay station users payfor more time than they actually use, adding to the bottom line. Additional revenue to City above and beyond average parking fee with gated revenue control systems versus T2 pay station where users over-pay for parking? h. Adjustment of Parking Rates -Which system provides more flexibility based on what level of the garage you park in? Which system allows for readily distinguishing between residents and non-residents allowing for different price structures for each? i. Pre-paid Parking Reservations - which system is more effective? j Revenue and Expense lmpacts of Metered vs. proposed PARCS replacement or other alternative system. k. Calculate, project and compare the total purchase, installation, service and repair costs of the Skidata equipment being considered by the City versus the T2 pay stations over a 10 year period, including service contracts. l. Using salary data provided by the City, project and compare the labor savings (excluding parking enforcement) associated with installing the Skidata equipment being considered by the City versus installing T2 pay stations. 943 September 30, 2015 City Commission Memo ITN 2014-170-SW Gated Revenue ControlSysfem for Municipal Garages Page 9 of 11 m. Recommend the number of parking enforcement officers required to patrol the 10 garages if the City installs T2 pay stations, and using salary data provided by the City, estimate the associated costs. n. Using on-street data provided by the City, extrapolate the projected citation revenue for the 10 garages generated from non-payment and/or overtime parking if T2 pay stations are installed. o. Opine on installing license plate recognition technology at the garage entrances and integrating with the T2 pay stations to improve enforcement. ls a 100% capture rate possible? p. Opine on increased pay-by-phone and similar pay-in-advance technologies and if they potentially undermine the justification of using gated revenue control systems. q. Using on-street data provided by the City, extrapolate the projected citation revenue for violations other than non-payment or overtime parking rt T2 pay stations are installed in the 10 garages (i.e. handicap violations, expired tags, etc.). r. Opine on the potential useful life of the Skidata equipment being considered by the City. ls obsolescence a relevant issue in comparing Skidata and T2 systems? s. Based on anecdotal evidence gleaned from our expertise, and experience, project the revenue potential generated by the over- payment of parking if the City installs T2 pay stations in the 10 garages. t. Opine on which of the two systems is better equipped to distinguish between residents and non-residents in setting different rate structures. u. Recommendation Walker Parking completed the analysis and it is attached foryou review. Forease of reference, Section U, entitled, "Recommendation" is below. U. Recommendation: Walker recommends a gated PARCS in the ten garages for the following reasons: 1. While the metered system is less expensive to procure, install and maintain, the labor required to effectively enforce the garages make the T2 metered system more expensive to operate by $3.5 million over ten years. !f the City desires a metered setting, Walker recommends contracting with the City's operator to provide enforcement (and maintenance) services, as the payroll costs would be significantly lower. 944 September 30, 2015 City Commission Memo ITN 2014-170-SW Gated Revenue ControlSysfem for Municipal Garages Page 10 of 11 2. 3. Metered revenue projections are $500,000 less than a gated PARCS over ten years. This is due to the City netting just 33% of enforcement revenue and no way of verifying ADA driver's licenses. Metered systems do not provide facility count systems. Some of the garages fill up on a regular basis 'in season', requiring staff to monitor garage occupancy, and close the garage to transient parkers, in orderto'hold'some parking for monthly parkers. Gates are also required to control (close or open entry and exit lanes). lf the City desires a metered system, Walker recommends procuring a gated count system, which would add significant cost to the project. We typically recommend maintaining existing count systems and gates; however, the existing PARCS is no longer being manufactured and support is being phased out. Note that mobile LPR provides car counts as enforcement is conducted; however, the counts will only be conducted on an hourly basis, compared to a count system that counts vehicles as they enter and exit the facility (in real time). The gated PARCS provides a higher level of customer service than a metered system: . As the City knows from implementing pay-by-plate on-street, there is a learning curve with motorists needing to enter their license plates at the meters. ln a garage setting, motorists who neglect to note their license plate number will need to return to their car, which could be farther away than in an on-street setting. lf the City desires a metered setting, Walker recommends installing significant signage on allfloors and elevators, advising people to note their license plates for the meter payment. Suggest that motorists take photos of their license plates, or write their plate numbers down. Walker also recommends promoting pay-by-cell as a payment tool, thereby eliminating the need to enter the license plate at the meter. o Motorists won't want to worry about receiving a citation if their plans change and/or they are delayed, and they will resent needing to overpay the meter to avoid this. They also won't enjoy overpaying for parking if they decide to leave earlier than they planned. lf the City selects a metered setting, Walker recommends promoting pay-by-cell services, thereby enabling motorists to add time remotely (Parkmobile will text motorists when their time is about to expire). Walker further recommends offering pay-by-cell customers the option of 'stopping' their parking session when they return to their car. This will prevent overpayments, thereby reducing revenue; however, it will be very well received by the public and will help the City win acceptance for metered garages. Walker projected $480,000 in annualoverpayment revenue. Walker estimates that fewer than half of the patrons will 4. 945 September 30, 2015 City Commission Memo ITN 2014-170-SW Gated Revenue ControlSysfem for Municipal Garages Page 11 of 11 uti I ize pay-by-cel I services (the C ity's cu rrent usage is 20%); therefore the potential annual cost in revenue is estimated at $240,000. . Metered systems do not have intercoms for customer assistance. lf the City selects a metered setting, Walker recommends installing intercoms in all of the garages. This could be done for less than $100,000. o Meters will not provide change; however, eliminating cash transactions is a best practice, as credit card transactions are typically faster than cash transactions, and reducing cash is more efficient for collections and improves audit control. lf the City selects the gated PARCS, Walker recommends committing fullyto pay-on-foot. Walker understands that the City's staffing recommendations significantly reduces the number of cashiers by expanding POFs and implementing'centralized remote monitoring (via intercoms and audio/video) for customer interactions. Walker recommends eliminating all cashiers, as the ultimate goals of a POF system are to fully automate transactions and to remove as many transactions from the exit lanes as possible. When any cashiers are present, some motorists will ignore the POFs and utilize the cashiers. We understand that a human presence will still be required and desired; however, an attendant who is free to walk around and assist customers at the POFs and/or the exit lanes can be more effective than a cashier sitting in a cashier booth. This may also result in further reductions in labor costs, as well as increased audit control and operational efficiencies (no fee computers, cashier reports or cashier drawers). CONCLUSION The Administration recommends the Mayor and Commission approve and authorize the Mayor and City Clerk to execute an Agreement, substantially in the form attached to this Resolution, between the City and Skidata, lnc., pursuant to lnvitation to Negotiate (lTN) 2014-170-SW, for a Gated Revenue Control System for the city's parking garages, for an initial term of ten (10) years, with two (2) five (5) year options, at the city's sole discretion. 946 EXHIBIT L CITY COMMISSION AGENDA ITEM NO. R7N JULY 8, 201 5 947 COMMISSION ITEM SUMMARY Condensed Title: A RESOLUTION OF THE MAYOR AND CITY COMMISSTON OF THE CITY OF MIAMI BEACH FLORIDA, ACCEPTING THE RECOMMENDATION OF THE CITY MANAGER PURSUANT TO INVITATION TO NEGOTIATE ITN) 2014-17O.SW FOR A GATED REVENUE CONTROL SYSTEM FOR THE CITY'S PARKING GARAGES. Ensure ex iture trends are over the lonq term. Su Data Environmental Scan. etc: N/A TheCity'sParkingDepartmentisseekingastateoftheartgatedparkingrevenu@ centralized processing of data for all of the City's parking garages, a cenbal monitoring station for: intercoms, CCTV at all entrance and exit lanes, and access control for all garage equipment. This will allow for operational savings as well as enhanced audit controls. ln order to achieve this service level, all garages must have compatible hardware, software, firmware, and equipment, meaning that one system (vendor) must equip and service all garages. The City's municipal parking garages are currently operated with on-site cashiers/parking attendants and a gated revenue control system, provided by 3M (manufacturer). The equipment runs along several model lines ranging from several years to over a decade old. Additionally, 3M notified its customers, including the City, of its intent to discontinue its gated parking revenue control subdivision and related equipment and services. At the Septem beilI 0, 2014 City Commission meeting, the Mayor and City Commission adopted Resolution No. 2012$- 28720 accepting the recommendation of the City Manager pertaining to the ranking of proposers pursuant to lnvitation To Negotiate (lTN)2014-170-SW for a Parking Garage Gated Revenue Control System. Further, the Resolution authorized the Administration to enter into negotiations with all the proposers. The Administration was requested to present the final contract forthe Commission's review prior to entering into an agreement with the parking equipment companies. The details of the contract negotiation phase and comparative analysis of final replies is attached. The City Manager, after carefully considering the results of the negotiation process and staff recommendation, recommends that the Mayor and City Commission of the City of Miami Beach, Florida, accept the recommendation of tle City Manager, pursuant to lnvitation To Negotiate (lTN) 2014-170-SW for a gated revenue control system for the City's parking garages; approving the material terms of an agreement between the City and Skidata, lnc-., as setforth in the term sheet attached as Exhibit "A" hereto; authorizing the City Manager and the City Attorney's ffice to finalize the Agreement based upon the material terms approved herein; provided that they may make any non-substantive and non-material revisions and/or additions to the Agreement, as they deem necessary; authorizing the Mayor and City Clerk to execute the final Agreement; and, in the event that the City is unable to finalize successful negotiations with Skidata, lnc., authorizing the City Manager and the City Attorney's Office to negotiate an Agreement with Amano McGann, lnc. based upon the material terms approved in Exhibit'A' herein (provided that they may make any non- substantive and non-material revisions and/or additions to the Agreement). RECOMMENDATION the Resolution. Source of Funds: Amount Account 1 $ 303,000 142-6176-000674 @ 2 362,000 463-61 76-000674 3 471,000 467-61 76-000674 1 2,696,000 480-6176{00674 '4.$.v OBPI 5 400,000 480-0463{00349 Total s4.232.000 Financial lmpact Summary: Alex Extension 6641 'D .- Agenda ttem R7ru Date ?-8'lSMIAMIBEACH769948 E MIAMIBEACH City oI Miomi Beoch, 17OO Convention Center Drive, Miomi Beoch, Florido 33139, www.miomibeochfl.gov COMMISSION MEMORANDUM Mayor Philip Levine and Members Jimmy L. Morales, City Manager f the City Cgfnmission DATE: June 10,2015 SUBJECT: A RESOLUTION OF THE MAYOR AND CITY COMMISSTON OF THE CtTy OF MIAMI BEACH' FLORIDA' ACCEPTING THE RECOMMENDATTON OF'THEclw MANAGER, PURSUANT TO INVITATION TO NEGOTTATE (lTN) 2014- 17O.SW FOR A GATED REVENUE CONTROL SYSTEM FOR Ti{E CITY'S PARKING GARAGES; APPROVING THE MATERIAL TERMS oF AN AGREEMENT BETWEEN THE CITY AND SKIDATA, tNC., AS SET FORTH IN THE TERM SHEET ATTACHED AS ExHrBrr ..A', HERETO; AUTHoRtztNG THE CITY MANAGER AND THE CITY ATTORNEY'S OFFTCE TO FINALIZETHE AGREEMENT BASED UPON THE MATERIAL TERMS APPROVED HEREIN; PROVIDED THAT THEY MAY MAKE ANY NON.SUBSTANTIVE AND NON.MATERIAL REVISIONS AND/OR ADDTTIONS TO THE AGREEMENT,As rHEY DEEM NECESSARy; AUTHoRtztNG THE MAyoR AND ctw CLERK TO EXECUTE THE FINAL AGREEMENT; AND, IN THE EVENT THAT THE CITY IS UNABLE TO FINALIZE SUCCESSFUL NEGOTTATTONS WITH SKIDATA, INC., AUTHORIZTNG THE CITY MANAGER AND THE CITY ATTORNEY'S OFFICE TO NEGOTIATE AN AGREEMENT WITH AMANO MCGANN, INC. BASED UPON THE MATERIAL TERMS APPROVED tN EXHIBIT "A" HEREIN (PROVIDED THAT THEY MAY MAKE ANY NON. SUBSTANTIVE AND NON.MATERIAL REVISIONS AND/OR ADDITIONS TO THE AGREEMENT). ADMINISTRATION RECOM MEN DATION Adopt the resolution. KEY INTENDED OUTCOME SUPPORTED Ensure expenditure trends are sustainable over the long term. FUNDING Funding for the one-time capital cost is available as follows: Funding for the annual maintenance costs will be subject to appropriation in the annual budgetprocess. TO: FROM: Amount Account 1 $ 303,000 142-617&|000674 2 362,000 463-617&000674 3 471,000 467-61 76-000674 4 2,696,000 480-61 76-000674 5 400,000 480-046&000349 Total $4,232,000 770949 city commission Memorandum - Parking Garage Gated Revenue controlsystem June 10,2015 Page2of15 BACKGROUND The City's Parking System currently has ten (10) municipal parking garages, totaling 6,100 parking spaces. An 11th facility, Collins Avenue Garage is funded and currently in design with an estimated 470 parking spaces, for a grand total of 6,576 parking spaces. The City's Parking Department is seeking a state of the art gated parking revenue control system, including centralized processing of data for all of the City's parking garages, a central monitoring stationfor: intercoms, CCTV at all entrance and exit lanes, and access epntrol for all garage equipment. This would allow for operational savings as well as enhanced audit controls. ln order to achieve this service level, all garages must have compatible hardware, software, firmware, and equipment, meaning that one system (vendor) must equip and service all garages. The City's municipal parking garages are cutrently operated with on-site cashiers/parking attendants and a gated revenue control system, provided by 3M (manufacturer). The equipment runs along several model lines ranging from several years to over a decade old. Additionally, 3M notified its customers, including the City, of its intent to discontinue its gated parking revenue control subdivision and related equipment and services. On May 21, 2014, the Mayor and City Commission approved the issuance of lnvitation to Negotiate (lTN) No. 2014-170 for a Parking Garage Gated Revenue Control System. ln response to the lTN, the City received proposals from the following five (5) firms: o Amano McGann, lnc.o Consolidated Parking Equipmento Scheidt & Bachmann USA, lnc.o Skidata lnc.. WPS USA Corp. At the September 10,2014 City Commission meeting, the Mayor and City Commission adopted Resolution No. 2014-28720 accepting the recommendation of the City Manager pertaining to the ranking of proposers pursuant to lnvitation To Negotiate (lTN) 2014-170-SW for a Parking Garage Gated Revenue Control System. Further, the Resotution authorized the Administration to enter into negotiations with all the proposers. The Administration was requested to present the final contract for the Commission's review prior to entering into an agreement with the parking equipment companies. CONTRACT NEGOTIATIONS On December 10, 2Q14, the Parking and Procurement Departments convened negotiation session No. 1 with all proposers and attended the meeting with Skidata, tnc., Amano MCGann, lnc., LCN, lnc. D/B/A Consolidated Parking Equipment, WPS USA Corp., and Scheidt & Bachmann USA, lnc. The intent of negotiation session No. 1 was to: 1) provide an overview of the ITN negotiation process and clarify any questions proposers may have; 2) discuss and review with proposers the Term Sheet and Cost Proposal Sheets which would form the basis of negotiation discussions; and, 3) schedule site visits will all proposers for December 22 and 23, 2O14,lo evaluate equipment and inspect all parking garages. On December 17, 2014, the City was notified by Consolidated Parking Equipment that it had withdrawn its proposal pursuant to the ITN because it had been informed by 3M, the manufacturer of the equipment proposed, that 3M would no longer be producing the proposed equipment. Following this notification from Consolidated, the City ceased further negotiations with Consolidated. 771950 City Commission Memorandum - Parking Garage Gated Revenue Control Syslem June 10, 201 5 Page 3 of 15 On Decembet 22, and December 23, 2014, site visits were held and attended by the remaining four (4) Proposers: Amano McGann, lnc., Scheidt & Bachmann USA, lnc., Skidata, lnc., and WPS USA Corp. Proposers were given until December 30, 2014, to submit their questions relating to the cost proposal, As a result of questions arising from evaluating the equipment, the Procurement Department issued Response 1, 2, and 3, on January 15, January 28, and January 30, 2015, respectively. On January 30, the City requested cost proposals, for which a due date of February 6, 2015, was established. On February 6,2015, cost proposals from Amano McGann, lnc., Skidata, lnc., and WPS USA Corp. were received. At this time, Scheidt & Bachmann USA, lnc., notified the City that, due to schedule conflicts, it had withdrawn its proposal pursuant to the lTN. The following is a brief summary, from the information provided in each firm' proposals, of the final three (3) proposers: o Amano McGann, lnc. is headquartered in Roseville, Minnesota, with approximately 290 employees across the United States. With over 290 employees, 20 branch offices and over 40 distribution partners throughout the U.S., according to Amano McGann, it has performed over 6,000 installations worldwide along with its parent company Amano Corporation. Amano provides parking, time and access solutions to universities, hotel chains, airports, sports complex and municipalities. Recent clients include the City of West Palm Beach, City of Portland Smart Park Garages, and the City of Detroit. r SKIDATA, lnc., a wholly-owned subsidiary of SKIDATA, AG (founded in Austria in 1977), was established in North America in January 2000 to serve the off-street parking and revenue control system market segment. According to SKIDATA, it has built over 750 systems in Canada, USA and Mexico. Their products and services are found in airports, municipalities, shopping centers, universities and medical centers across North America. Recent clients include the City of Oklahoma City, City of Beverly Hills, City of St. Louis and Downtown Salt Lake City. Their services include consulting, integration, direct support, documentation and training. o WPS USA Corp. has over twenty (20) years of experience using bar code technology in their parking access systems. According to WPS, it introduced the first "Credit Car lniCredit Card Out" solution back in the early 1990's. Recent clients have been the City of Norfolk, the Los Angeles Department of Transportation, Rockville Town Square and the Union Station Parking Garage in Washington, D.C. Several negotiation sessions with all three (3) proposers were scheduled, as well as a request for best and final cost proposals offers. The Administration received final replies to the referenced negotiations on May 19, 2015. ANALYS!S Parking gated revenue control system is necessary for the operation of the City's parking facility, as well as the management of over $16 million in annual revenue at these facilities, A system with robust functionality and reporting/audit capabilities, as well as a partnership with a qualified service provider is critical for the effective management of a system that serves over 3.3M customers annually and through which significant revenue is yielded. For these reasons, the Administration believes that, in the best interest of the City, functionality, prior performance record and cost of the system are critically important considerations. With that in mind, a comparative analysis follows with the purpose of illustrating major differences among the three finalist with whom the City has negotiated. 772951 city commission Memorandum - Parking Garage Gated Revenue controlsystem June 10,2015 Page4ofl5 1. System Functionality. The three (3) proposed systems offer basic access and revenue control functionality. The major differences among the three (3) firms are in the areas of ticket technology (barcode vs. magnetic stripe), and validation of disabled permits. a. Ticket Technology. The major difference in the area of functionality is the technology utilized for ticket transactions (vs card access), which is typically either a barcode ticket or magnetic stripe ticket. Historically, each type has been lauded by the industry as the prefened methodology over years. Currently, barcode tickets are the most widely accepted and enjoys a substantial portion of the market share. While all indications seem to point towards continued use and growth of barcode tickets, there is no clear indication of either taking the full market share. The following are the options available for each of the three (3) proposers in the barcode vs. magnetic stripe technologies: c Amano McGann, lnc. offers both barcode and magnetic stripe fickef sysfems; however, both systems cannot be deployed simultaneousty in each garage.o Skidata offers both barcode and magnetic stripe fibkef sysfems which may be deployed sim ultaneou sly.. WPS offers bar code system only. While staff believes that either barcode or magnetic stripe methodologies are acceptable, it is important to note that once a decision on bar code or magnetic stripe is made, future changes in technology will require major system upgrades. b. EMV (Europay Mastercard & Visa) - Chip embedded credit card technology, which provides users added protection against fraud, is quickly approaching, if not already here. o Both Skidata and Amano have solutions for EMV and committed to providing their solution at no additionalcosf fo the City. WPS has advised the City that they are devetoping an EMV solution; however, its avaitabitity and cbsf is contingent upon various factors. The following is an excerpt from an emait sent by Mr. Garrett Coleman, Manufacturerb Representative, on March 17, 2015. "Please understand that there are a number of requirements that companies like WPS are not responsrb/e for completing. Ihese need to be resolved by the credit card industry. until these are resolved, it is nof possib/e to state for sure there will not be any added cosfs uyhen the regulations are released and enforced.' c. Validation of Disabled Permits. The process to confirm legitimate disabled parking transactions, typically processed as exception validations, requires human interaction. Disabled parking permits are issued and directly linked to an individual. A disabled parking permit with matching user information on a government issued identification, such as a drive/s license or state identification card must be presented to an attendant (at a remote location) for confirmation. Once confirmed, a validation may be processed for a parking fee waiver (the exception), as required by Code. The following are the exception validation solution provided by each proposer: 773952 City Commission Memorandum - Parking Garage Gated Revenue Controlsysfem June 10,2015 Page5of15 . Amano's solution provides individual components; however, the solution is not currently integrated resulting in a very labor intensive process to audit and reconcile validations. Amano offered to further develop their solution, if requested to do so at no additional cost to the City. o Skidata provides an automated audit feature to specifically confirm, track, and retrieve at any point in the future, all validations through a single source, the transient ticket transaction number. The following ls a brief description of the Skid ata autom ated sol ution for val id ation s (exception s). A customer provides their credentials (diabled parking permit and identification) for viewing by an attendant at a remote centralized monitoring location. The attendant can view the credentials and an image of the credentials is stored as an aftachment (electronic file) to the specific transaction number for that customer. At a later date, any or all validations, including disabled parking validations, may be easily retrieved by referencing a single source (ticket transaction number) for auditing purposes. The images of the disabled parking permit and identification are easily retrieved, viewed, and confirmed. o WPS proffered to develop (and preliminarily tested) a similar functionality through their license plate recognition (LPR) sysfem. However, their proposed solution is in the developmental stage. ln FY 2013114, there were a total of 26,968 disabled parking permit exception validation transactions, at all ten municipal parking garages, with a value of $254,766. Without an effective exception validation system, the validation process for these transactions is vulnerable to manipulation/fraud. The Skidata solution closes this loophole with a proven, efficient, and user-friendly auditable feature for validated exception transactions. Amano and WPS proposed to enhance their current functionality; however, the proposed solutions are, to date, either unbuilt or untested. It is important to note gated revenue control systems may also be used in municipal parking lots with high demand providing greater audit controls and preserving the integrity of disabled parking. 2. References. The City contacted references provided by each proposer and conducted a survey/questionnaire. All references for Skidata were deemed satisfactory; however, there were issues brought to the City's attention with regard to the past performance of Amano and WPS. The following are excerpts from responses received to the s u rveyiq u estion na i re: Amano Reference - Citv of West Palm Beach:r System does not work off-line. Monthly access cards do not work off-line due to different facility codes at garages. Previous equipment from Federal APD would batch credit card. This equipment does not batch. Unable to process credit card transactions when there is a power outage, as evidenced in a recent lightning strike. 774953 city commission Memorandum - Parking Garage Gated Revenue control Systern June 10,2015 Page 6 of 15 . Credit card jams on insertion. Recommends swipe.. No capabality to send information to spitter or exit gates. Example: when a ticket jams and the machine is turned off, the device does not reset itself and requires on-site reprogramming (cannot be reprogrammed remotely from central station).o lntercoms go on and off-line. Currently, four are off-line (system is only two years old). Amano is quick to respond but intercoms are still down. WPS Reference - Citv of Norfolk Q, Are you satisfied with the audiUaccounting capabilities of the software? Please explain system capabilities. A. Not satisfied. Cash does not match shift report. Cash received via Pay-ln-Lane (PlL) devices are not tallying correctly. ' PIL cash refunds are inaccurate due to issuance of same amount of change due to customer in both bills and coins resulting in a duplicate refund.. WPS was not aware of this issue until advised by Reference. ' Reference has been thorough in providing WPS documentation regarding these malfunctions. ' This is particularly of concern in remote centralized motoring, since there is no cashier present to witness this occurrence. Reference personally witnessed this malfunction.. This was discovered at their third busiest garage. ' Reference attempted unsuccessfully to have WPS provide replacement equipment; consulted with their legal department; and was advised to allow WPS to address the issue.. New software update is required. been issues resulting in delays. 2015.. Reference stated that it is prepared to pursue legal action. 3. COST PROPOSALS. The final cost proposals are itemized into three major areas: (1) cost of installed equipment; (2) rebate and removal of existing equipment; and (3) ten ( 1 0) year maintenance/support. *These figures represent the final costs negotiated with and confirmed by each Proposer. As noted in Exhibit C, the City and the Proposers engaged in several rounds of cost negotiations to assure best pricing, address certain errors and omissions in Proposer's cost proposals and create a functional system baseline so that all proposals could be compared equitably. For example, Amano's original cost proposals inadvertently omitted the required dedicated employees (at a cost of $821 ,197.52 over the ten year term) and Skidata,s omitted the required training (at a cost of $12,000.00 as an initiat cost). Additionally, all proposers offered extra goods and services (above and beyond what is required for a fully functional system) that could enhance system operation and is available to the City for future consideration. Update was scheduled last year. There have Update is now scheduled for Spring/Summer Amano Skidata wPs Equipment and lnstallation $3.418.950.00 $3,667.412.00 $2.769.205.00 Rebate on Existino Eouioment $(273,100.00)$(32,s00.00)$1 1.470.00 Maintenance and Support (10 Year)$3.823.237.52 $3.158.266.60 $2,478,461.00 Total 10 Year Costs $6.969.087.52.s6.793.178.60 $5.259,136.00. 77s954 City Commission Memorandum - Parking Garage Gated Revenue Control System June 10,2015 Page 7 of 15 CITY MANAGER'S DUE DILIGENCE The City's ten parking garages are currently operated with on-site cashiers/parking attendants and a gated revenue control system, provided by 3M (manufacturer). Collectively, all garages generate over $16M in revenues with a labor expense for cashiers/attendants of $3M, annually. As you know, a Request for Proposals (RFP) for Parking Attendants was issued and an award is anticipated by the July 2015 City Commission meeting. A critical component required to manage and operate our municipal garages is a state-of-the-art revenue control system with remote monitoring. Remote monitoring will automate cashier operations at all parking garages reducing cashier labor expenses from $3M to $1.8M, a savings of $1.2M (40yo), annually. Therefore, a robust and reliable gated revenue control system is essential to process, collect, and audit transactions and their related revenues. While the City has considered a metered operations approach (see Exhibit B) to a gated system, the Administration has concluded that such approach is not cost effective. Skidata's PARCS solution is composed of gated entrance and exit control systems with the ability to accept credit card payment in-lane and access credentials such as access cards, pay by mobile phone applications, or validations; automated pay stations with the ability of accepting credit card and cash payments; garage offices and central monitoring work stations composedof desktop computers, monitors and audio/video (intercoms); and software system that integrates with all revenue control devices at all garages and interfaces with the City's permit and financial management systems. More importantly, the system allows for Remote Monitoring reducing the need for cashier (labor) functions. This is anticipated to reduce parking attendanUcashier labor cost by 40o/o. ln addition, remote monitoring allows for a variety of technology enhancements, including real time utilization, ability to change rates based on utilization, grant gate access, diagnose, troubleshoot, and potentially resolve a variety of alarms related to in-lane or peripheral equipment. The City Manager, after carefully considering the results of the negotiation process and staff recommendations, recommends that the Mayor and City Commission authorize the Administration to finalize negotiations on final contract terms with Skidata, tnc.; and, upon successful conclusion of the negotiation terms by the Administration, authorize the Mayor and City Clerk to execute an Agreement for a gated revenue control system for the City's parking garages with Skidata. In support of this recommendation, the City Manager finds as follows: Functionality While Amano, Skidata, and WPS are very competitively matched in terms of general system functionality, the review and analysis conducted by staff indicate some significant differences in a few areas. Of greatest concern is the need to efficiently and effectively process transactions through remote monitoring while maintaining a user-friendly and reliable auditable trail, of validated transactions, most notable are disabled parking permit exemptions with an annual value exceeding $250,000. 776955 City Commission Memorandum - Parking Garage Gated Revenue Control Sysfem June 10,2015 Page I of 15 References Section 2-369 of the City Code requires that, in the award of contracts, the following be considered: (1) The ability, capacity and skill of the bidder to perform the contract. (2) Whether the bidder can perform the contract within the time specified, without delay or interference. (3) The character, integrity, reputation, judgment, experience and efficiency of the bidder. (4) The quality of performance of previous contracts. (5) The previous and existing compliance by the bidder with laws and ordinances relating to the contract. Skidata client references indicate that it has a satisfactory history of past performance. Past clients of both Amano and WPS expressed some concerns of each firm's respective systems and response to system issues. Especially concerning is the experience shared by a past client of WPS in which it stated that the system was unable to accurately record and reconcile cash balances. This is a very dangerous scenario when one considers the amount of revenue ($lGttt annually) flowing through the City's gated revenue control system. Gost While system costs for all proposed systems are significant, the current estimated annual revenue yielded through the parking operations at which the reference equipment will be utilized is approximately $16M. The following tables indicate costs as a percentage of revenue over the contract term for the new proposed systems, both in terms of overall project cost as well as yearly maintenance costs. While cost is clearly an important consideration, the gated parking revenue control system is a major system for the City through which nearly $16M is processed each year. System functionality and prior performance of the contractor is as critical as is the cost of the system. Remote Monitoring Savings and Resulting Net Cost The following is a comparison of current staffing cost versus proposed (reduced) staffing levels; new equipmenUremote monitoring, including maintenance costs, over a ten year period. & lnstallation Amano Skidata wPs Eouioment and lnstallation s3.418.950.00 $3,667,412.00 $2,769,205.00 Rebate for Existing Equipment and/or Cost of Removino Existino Eouioment ($273.100.00)($32.500.00)$11.470.00 Totallnitial Costs $3,145,850.00 s3.634.912.00 s2.780.675.00 Annual Maintenance Amano Skidata wPs Total Maintenance Costs Over 10 Years $3.823.237.s2 $3.158.266.60 $2.478.461.00 Estimated Revenue (10 Years)$160,000,000.00 $160,000.000.00 $160,000,000.00 Maintenance Only Cost as a Percentaoe of Revenue 2.39%1.97o/o 1.55o/o 777956 City Commission Memorandum - Parking Garage Gated Revenue Control System June 10,2015 Page 9 of 15 The proposed reduction in attendant labor hours may be achieved as follows:. Elimination of the second and third Parking Attendant I (cashier), if applicable, from all locations, Monday through Friday, dayshifts; ando Elimination of all Parking Attendant I during off-peak (overnight) hours.o Reduction of Parking Attendant ll during off-peak hours. Remote monitoring is anticipated to reduce cashier labor hours by 4Oo/o. This is attributed to a centralized remote monitoring consolidating cashier functions and tasks at one centralized location. Each workstation is equipped with data acress control to process parking transactions; intercoms and video monitors for audio/video interactions with the customers; and will interface with the security camera system to be deployed in all garages under a separate formal competitive procurement process for security system. Additionally, annual maintenance costs over the next ten (10) years are less than current annual maintenance costs. YEAR 1 CURRENT PROPOSED DIFFERENCE Staffing Equipment Cost Equipment Maintenance TOTAL $2,943,000' $225,000. 33.168.000 $1,800,000- $3,635,000 $132,000 $s.567.000 $ (1,143,000) $3,635,000 $(e3,000) s2,399,000 YEAR 2 Staffing Equipment Maintenance TOTAL $2,943,000' $22s,000' 33.168.000 $1,800,000' $173,000 31.973.000 $ (1,143,000) $ (52,000) $ (1.r95.000) YEAR 3 Staffing Equipment Maintenance TOTAL $2,943,000' $225,000' $3.168.000 $1,800,000' $331,000 t2.131.000 $ (1,143,000) s106,000 $ (1.037.000) YEAR 4 Staffing Equipment Maintenance TOTAL $2,943,000' $225,000' $3,16E,000 $1,800,000' $342,000 $2.142,000 $(1,143,000) $117,000 $(1,026,000) YEAR 5 Staffing Equipment Maintenance TOTAL $2,943,000' $225,000' $3.168.000 $1,800,000. $3s3,000 32.153.000 $(1,143,000) $128,000 3(1,015.000) YEAR 6 Staffing Equipment Maintenance TOTAL $2,943,000' $22s,000. 33,16E.000 $1,800,000' $364,000 32.164.000 $ (1,143,000) $139,000 s (1.0M.000) YEAR 7 Staffing Equipment Maintenance TOTAL $2,943,000* $22s,000' 33,168.000 $1,800,000- $376,000 $2.176.000 $(1,143,000) $151,000 $(992,000) YEAR 8 Staffng Equipment Maintenance TOTAL $2,943,000. $22s,000' 33.168.000 $1,800,000" $388,000 32.188.000 $(1,1€,000) $163,000 3(980.000) YEAR 9 778957 City Commission Memorandum - Pafuing Garage Gated Revenue Contrcl Sysfem June 10, 2015 Page 10 of 15 'Assumes No lncrease The proposed solution results in an estimated total cost savings of $6,773,000, over a ten year period. Therefore, based on a combination of factors that includes equipment and comparable installations, past performance on previous public sector contracts and cost savings (especially when compared to the current system), the City Manager recommends that the Mayor and City Commission authorize the Administration to finalize negotiations on final contract terms with Skidata, lnc. The City Manager further recommends that in the event that the City is unable to finalize successful negotiations with Skidata, lnc., to finalize negotiations on final contract terms with Amano McGann, lnc. As a side note, the City Manager notes that during phase 1 evaluation of proposals, Skidata was recommended as the first-ranked Proposer by every Evaluation Committee member. Amano McGann followed Skidata with one second-place rank, one third-place rank and one fourth-place rank as scored by the Evaluation Committee. CONCLUSION The Administration recommends that the Mayor and City Commission of the City of Miami Beach, Florida, accept the recommendation of the City Manager, pursuant to lnvitation To Negotiate (lTN) 2014-170-SW for a gated revenue control system for the City's parking garages; approving the material terms of an agreement between the City and Skidata, lnc., as set forth in the term sheet attached as Exhibit "A" hereto; authorizing the City Manager and the City Attorney's Office to finalize the Agreement based upon the material terms approved herein; provided that they may make any non-substantive and non-material revisions and/or additions to the Agreement, as they deem necessary; authorizing the Mayor and City Clerk to execute the final Agreement; and, in the event that the City is unable to finalize successful negotiations with Skidata, lnc., authorizing the City Manager and the City Attorney's Office to negotiate an Agreement with Amano McGann, lnc. based upon the material terms approved in Exhibit "A" herein (provided that they may make any non-substantive and non-material revisions and/or additioRt to the Agreement). wn$mvsrio T:\AGENDA\20'!SUune\PROCUREMENT\ITN 2014-170-SW Parking Garage Gated Revenue Control System for the City of Miami Beach MEMO (20150526 KGB).doc $(1,143,000) $17s,000 YEAR ,lO Staffing Equipment Maintenance $2,943,000' $225,000. $1,800,000' $413,000 $(1,143,000) $188,000 TOTAL.IO YRS $r 779958 TERM SHEET (EXHIBIT BRIEF SCOPE OF WORK AMANO SKIDATA WPS Removal/buy back of existing equipment, new equipment at allgarages, installation, hardware/software, 10 years maintenance/support. PROPOSED EQUIPMENT AMANO SKIDATA WPS Submitted Electronicallv Submitted Electronicallv Submitted Electronicallv NEW EQUIPMENT COST. INSTALLED AMANO SKIDATA WPS Equipment lnstallation Software lnstallation Other 2,885,500.00 227,975.00 305,475.00 2,830,004.00 143,7s0.00 331,579.00 362,079.00 2,332,315.00 76,630.00 29,800.00 330,460.00 TOTAL $3.418.9s0.00 s3.667.412.00 $2.769.205.00 Skidata is $248.462 than Amano and 7(7%) higher $898,207 (32o/o) higher than WPS. MAINTENANC Skidata is $664,970.92 (170/0) lower than Amano and $679,805.60 (27Yo) higher than WPS. SUMMARY/GRANDTOT Over a ten (10) year period, including all maintenance and support, the grand fotal cost of Skidata is $175,908 .92 (3Yo) lower than Amano and $1,534,042.60 (29Yo) higher than WPS. REBATE/BUYBACK OF EXISTING EQUIPMENT EXISTING EQUIPMENT AMANO SKIDATA wPs Rebate/Buy back for existing equipment Cost to remove existing eouioment (288,100.00) 15.000.00 (s0,000.00) 17,500.00 11.470.00 TOTAL 3(273.100.00)$(32.s00.00)$11.470.00 E/SUPPORT TEN (10) YEARS 10 YEAR MANTENANCE AMANO SKIDATA WPS Maintenance - Year 1 Maintenance -Year 2 Maintenance - Year 3 Maintenance - Year 4 Maintenance - Year 5 Maintenance - Year 6 Maintenance -Year 7 Maintenance - Year 8 Maintenance - Year 9 Maintenance - Year 10 206,462.00 299,881.00 325,159.75 350,527.25 375,986.61 401,543.04 427,142.87 452,948.55 478,808.63 504,777.81 122,192.10 163,241.70 320,446.30 330,844.20 341,553.70 352,583.40 363,944.50 375,646.40 387,699.70 400,114.60 138,420.00 205,900.00 218,254.00 229,985.00 248,384.00 270,698.00 276,107.00 284,391.00 295,767.00 310.555.00 TOTAL $3,823.237.52 $3.158.266.60 s2.478.461.00 AL OF ALL COSTS - TEN 10) YEARS: AMANO SKIDATA wPs Equipment Cost Additional I nstallation Cost Software Cost Existing Equipment Maintenance Cost - 10 YEARS Other 2,885,s00.00 227,975.00 (273,100.00) 3,823,237.52 305,475.00 2,830,004.00 '143,750.00 331,579.00 (32,500.00) 3,158,266.60 362.079.00 2,332,315.00 76,630.00 29,800.00 11,470.00 2,478,461.00 330,460.00 TOTAL $6.969.087.s2 $6,793,178.60 $5.259.136.00 780959 City Commission Memorandum - Parking Garage Gated Revenue Control Sysfem June 10,2015 Page 12 of 1 5 GATED REVENUE CONTROL SYSTEMS v. METERED OPERATIONS ALTERNATIVE OPTION ANALYSIS (EXHTBIT B) Recently, the concept of operating municipal garages as metered operations in lieu of gated revenue control systems was suggested. The Parking Department evaluated these two altemative methods of operating the City's parking garages and the following are the results. Metered (pay station) parking is the standard in the industry for operating on-street parking and surface parking lots. This is predominantly due to parking spaces being dispersed over large geographic areas in these settings. Based on the concept presented, staff evaluated the potential impacts of converting garage operations in the City to metered operations. The following are high level impacts of operating garages with meters:. Parking gated revenue control systems gamers 100o/o of parking revenues as users must pay for their parking session prior to exit. Metered operations are based on enforcement levels and would require more intensive staffing levels.o The City's metered system has a compliance ratio of 85o/o, meaning 8.5 of 10 users pay for their parking. Therefore, 15o/o ($2.+tvl of $16M) in garage revenues would stand to be lost, if operated with meters.o ln order to achieve the 85% compliance level 2417 for all 10 garages, an estimated 50 additional enforcement officers would be needed, at an estimated cost of $2,818,400, including salaries, health and pension benefits.o Forthe remaining 15% who do not pay, the City's citation capture rate is 10%, which could generate approximately $972,000 in citation revenue (assuming a 90% collection rate), but the County retains $611,820 of this, which represents the County's portion of 113 of citation revenue, as well as contributions to school crossing guards and technology (Autocite) fund. o Citations and related fines derived from parking enforcement often have negative implications with the public. The City's portion of revenue generated from an $18 overtime parking citation equates to $6.67 per citation, after the County's fees are assessed. o Diminished revenues related to potential disabled placard abuse. ldentity of placard owner is not verified in metered facilities but is verified in statfed/gated garages. ln closing, the current cost of operating the gated revenue control systems in the City's 10 garages is $2,985,500. With technology enhancements and remote monitoring, labor hours/costs are estimated to decrease by 40o/o to $1,800,000. Even taking the capital costs of new equipment for all garages into account, the gated revenue control system would appear more cosurevenue effective. Additiona! detail is provided in the analysis below, including increased capital expenses and other recurring operational expenses incuned with metered operations as compared to gated revenue control systems. 78L960 City Commission Memorandum - Parking Garage Gated Revenue Controt System June 10,2015 Page 13 of 15 GATED REVENUE CONTROL SYSTEMS . METER COMPARISON Equipment Staffing Maintenance $3,635,000 $1,800,000 $123,000 $0 $1,800,000 $164,000 $0 $1,800,000 $321,000 $3,63s,000 $5,400,000 $608,000 TOTAL:$5,558,000 $1,964,000 $2,121,000 $9,643,000 137 METERS Staffing License Plate Recognition Vehicles Maintenance Meter Collections $1,027,s00 $2,818,400 $767,3s0 $43,200 $220,000 $2,874,768 $0 $43,200 $220,000 $1,027,s00 $2,932,263 $8,625,431 $0 s767,350 $43,200 $129,600 $220,000 $660,000 TOTAL:$4,876,450 $3,137,968 $3,195,463 $11,209,881 CONCLUSION: Even taking the capital costs of new equipment for all garages into account, the gated revenue control system would appear more cosUrevenue effective. Technology enhancements and remote monitoring available with the new gated revenue control system result in a reduction of labor hours/costs of approximately 40o/o to $1,800,000 (currently at $2,985,500). Furthermore, the cost of contracted labor at living wage rates is significantly lower than City employee labor expense (salary/benefiUpension). 782961 City Commission Memorandum - Pafuing Garage Gated Revenue Control System June 10,2015 Page 14 of 1 5 EXHIBIT C SUMMARY OF COST NEGOTIATIONS Below please find original cost proposal submittal from each proposer due by February 6, 2015. The chart below provides a chronology of negotiations and their respective results. Please note the FINAL offer for each firm was confirmed as follows: Amano: April 23, 2015; Skidata: May 19, 2015; and WPS: March 19, 2015. * After negotiation discussions with each Proposer to understand the cost proposals, staff requested revised Cost Proposals which were received on March 12,2015. proposals equipment Original Cost Proposal After Site Visits - Received February 6, 2015 AMANO SKIDATA wPs Equipment Cost Additional I nstallation Cost Software Cost Equipment Removal and Rebate Maintenance Cost Other $2,883,500.00 $0.00 $227,975.00 -$213,100.00 $3,252,260.00 $655.500.00 $2,906,329.00 $143,750.00 $331,579.00 $17,500.00 $3,518,161,00 s257.102.00 $2,370,745.00 $76,630.00 s29,800.00 $11,470.00 $2,390,041.00 s476.704.00 PRELIMINARY TOTAL $6.806.135.00'$7,174.421.00',$5.355,390.00* Revised Cost Proposal- Received March 12.2015 AMANO SKIDATA WPS Equipment Cost Additional lnstallation Cost Software Cost Equipment Removal and Rebate Maintenance Cost Other $2,883,500.00 $0.00 $227,975.00 -$273,100.00 $3,002,040.00 $699,900.00 $2,906,329.00 $143,750.00 $331,579.00 -$32,500.00 $3,280,512.00 s217.102.00 $2,332,315.00 $76,630.00 $29,800.00 $1 1,470.00 $2,478,461.00 $444.070.00 TOTAL $6.540.315.00 s6.846.772.00 35.372.746.00 * Staff determined that the revised cost orooosals contained errors and omissions or not requested by the City as follows. Errorc and Omissions AMANO SKIDATA wPs Corrections for Mathematical Errors on Cost Prooosal -$346.975.00 Reduction for Supplemental ltems (Table 1)-$45.450.00 Add Cost of Dedicated Employee Omifted from Amano's Cost Proposal $821,197.52 Corrections for Mathematical Errors on Cost Prooosal $72.743.56 Reduction for Supplemental ltems (Table 1)-$126.337.00 Corrections for Mathematical Enors on Cost Proposal s28.200.00 Reduction for Supplemental ltems (Table 1)-$141,810.00 TOTAL $428,772.52 -$53.590.44 -s1{3.610.00 783962 City Commission Memorandum - Parking Garage Gated Revenue Contrcl System June 10,2015 Page 15 of 15 Final Adjustments Confirmed by Prooosers AMANO SKIDATA WPS Date Conflrmed by Proposer Equipment Cost Additional lnstallation Cost Software Cost Equipment Removal and Rebate Maintenance Cost *Other 4t23t2015 $2,885,500.00 $0.00 $227,975.00 -$273,100.00 $3,823,237.52 $305.475.00 51'.t912015 $2,830,004.00 $143,750.00 $331,579.00 -$32,s00.00 $3,158,266.60 $362.079.00 3119t2015 $2,332,315.00 $76,630.00 $29,800.00 $11,470.00 $2,478,461.00 $330.460.00 FINAL TOTAL 36.969.087.52 36.793.178.60 s5.259.{36.00 Items not necessary for imptementation/operation of system but available to the City in the future on AMANO G7 Bollards ($150 x 8 = $1,200) G8 Bollards ($150 x 1 - $150) G10 Bollards ($150 x 2 = $300) Booth Removal (per booth) Online Validation Software (eParcVal) Daily pass online software (eFlexPass) Bulk Validation Software (eFlexPrint) Pedestrian Warning System (per system)($SO0 x 10 garages) $1,200.00 $150,00 $300.00 $2,000.00 $4,000.00 $10,000.00 $6,000.00 $5,000.00 TOTAL SKIDATA WEBKey Managed System (annualfee year 1) WEBKey Managed System (annualfee maintenance years 2-10) Pedestrian Alert signage (Per Garagex$1,349 x 10 garages) $9,500.00 $98,617.00 $13,490.00 TOTAL .00 WPS Pedestrian warning light & buzzer at each exit Printed graphic static signage: Budget Additional protective bollard if required: (Each) Electronic locks for accessing equipment housings (Lump sum) Booth Removal: Not to exceed $3,000.00 per booth Budget Level Counting, Exterior Monument Sign: (Budget Each) Floor Space Available Sign: (Budget Each) Ramp counter for level counting using camera detection: (Each) LPR Cameras, housing, and installation: (Each) LPR site infrastructure where possible per lane: $8,160.00 $20,000.00 $450.00 $85,000.00 $3,000.00 $9,500.00 $2,800.00 $4,500.00 $3,400.00 TOTAL $141,810.00 784963 RESOLUTION NO. A RESOLUTION OF THE MAYOR AND CITY COMiiISSION OF THE CITY OF iIIAM! BEACH, FLORIDA, ACCEPTING THE RECOMilIENDATION OF THEctw MANAGER, PURSUANT TO INV|TATION TO NEGOTIATE (tTN) 2014- 170€W FOR A GATED REVENUE CONTROL SYSTEM FOR THE CITY'S PARKING GARAGES; APPROVING THE ilIATERIAL TERMS OF AN AGREEMENT BETWEEN THE GITY AND SKIDATA, INC., AS SET FORTH IN THE TERM SHEET ATTACHED AS EXHTBIT "A" HERETO; AUTHORTZTNG THE CITY MANAGER AND THE CITY ATTORNEY'S OFFICE TO FINALIZE THE AGREETIiENT BASED UPON THE IIATERTAL TERi'IS APPROVED HEREIN; PROVIDED THAT THEY MAY iIAKE ANY NON€UBSTANTIVE AND NON-TIATERIAL REVISIONS ANO'OR ADDITIONS TO THE AGREEMENT, AS THEY DEEilI NECESSARY; AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE THE FINAL AGREEMENT; AND, tN THE EVENT THAT THE CITY IS UNABLE TO FINALIZE SUCCESSFUL NEGOTIATIONS WTH SKIDATA, INC., AUTHORIZING THE CITY IIANAGER AND THE CITY ATTORNEY'S OFFICE TO NEGOTIATE AN AGREENiENT WITH ATUANO MCGANN, INC. BASED UPON THE MATERIAL TERMS APPROVED IN EXHIBIT "A" HERETN (PROV|DED THAT THEY MAy tUtAKE ANy NON- SUBSTANTIVE AND NON.TUIATERIAL REVISIONS AND/OR ADDITIONS TO THE AGREEMENT). WHEREAS, on May 21,2014, the Mayor and City Commission authorized the issuance of lnvitation to Negotiate (lTN) 2014-170-SW for a Gated Revenue Control System for the City's parking garages, including centralized processing of data for all of the City's parking garages; a central monitoring station for intercoms and CCTV at all entrance and exit lanes; and centralized access controlfor all garage equipment; and WHEREAS, on May 22, 2014,lTN 2014-17G.SW was issued with an opening date of July 10, 2014; and WHEREAS, on September 10, 2014, the Mayor and City Gommission approved Resolution 2014-28720, accepting the recommendation of the City Manager and authorizing the Administration to enter into negotiations with all the proposers; to wit: Skidata lnc.; Amano McGann, lnc.; LCN, lnc. d/b/a Consolidated Parking Equipment; WPS USA Corp.; and Scheidt & Bachmann USA, lnc.;and WHEREAS, on December 17, 2014, the City was notffied by Consolidated Parking Equipment that it had withdrawn its proposal pursuant to the ITN; and WHEREAS, on February 6, 2015, Scheidt & Bachmann USA, lnc. notified the City that it had withdrawn its proposal pursuant to the ITN; and WHEREAS, staff held several negotiation sessions with alt three (3) proposers, as well as a request for best and final cost proposals offers; and the Administration received final replies to the referenced negotiations on May 19, 2015. 745964 NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND CITY COilIMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, accept the recommendation of the City Manager, pursuant to lnvitation To Negotiate (lTN) 2014-170-SW for a gated revenue control system for the City's parking garages; approving the material terms of an agreement between the City and Skidata, lnc., as set forth in the term sheet attached as Exhibit "A" hereto; author2ing the City Manager and the City Attorney's Office to finalize the Agreement based upon the material terms approved herein; provided that they may make any non-substantive and non-material revisions and/or additions to the Agreement, as they deem necessary; authorizing the Mayor and City Clerk to execute the final Agreement; and, in the event that the City is unable to finalize succ.essful negotiations with Skidata, lnc., authorizing the City Manager and the City Attorney's ffice to negotiate an Agreement with Amano McGann, lnc. based upon the material terms approved in Exhibit "A" herein (provided that they may make any non- substantive and non-material revisions and/or additions to the Agreement). PASSED AND ADOPTED this -- day of 2015. ATTEST: Rafael E. Granado, City Clerk Philip Levine, Mayor T:\AGENOA\201SUune\PROCUREMENTUTN 201+170-SW Parking Garage cated Revenue Control System for the City of Miami Beach RESO.doc APPROVED AS TO FORM & LANGUAGE & FOR EXECUTION 786965 TERM SHEET {!Bt BRIEF SCOPE OF WORK AMANO SKIDATA WPS Removal/buy back of existing equipment, new equipment at allgarages, installation, hardware/software, 10 years maintenance/suooort. PROPOSED EQUIPMENT AMANO SKIDATA wPs Submitted Electronicallv Submitted Electronicallv Submitted Electronicallv NEW EQUIPMENT COST. INSTALLED AMANO SKIDATA WPS Equipment lnstallation Software lnstallation Other 2,885,500.00 227,975.00 305.475.00 2,830,004.00 143,750.00 331,579.00 362.079.00 2,332,315.00 76,630.00 29,800.00 330.460.00 TOTAL $3,418.950.00 $3.667.412.00 $2.769.20s.00 Skidata is $248,462 (7%) higher than Amano and $898,207 (32o/o\ higher than WPS.higher (32o/o) higher REBATE/BUYBACK OF EXISTING EQUIPMENT MAINTENANCE/SU Skidata is $664,970.92 (17Y0) lower than Amano and $679,805.60 (27o/o) higher than WPS. Over a ten (10) year period, including all maintenance and support, the grand total cost of Skidata is $175,908 .92 (3o/o\ lower than Amano and $1 ,534,042.60 (29o/o) higher than WPS. T:\AGENDA\2015Uune\PROCUREMENnITN 2014-170-SW Parking Garage Gated Revenue Control System for the City of Miami Beach MEMO (20150526 KGB).doc EXISTING EOUIPIT/IENT AMANO SKIDATA wPs Rebate/Buy back for existing equipment Cost to remove existing eouioment (288,100.00) 15,000.00 (50,000.00) 17,500.00 11.470.00 TOTAL s(273.100.00)$(32.500.00)t11.470.00 PPORT TEN (10} YEARS 1O YEAR MAINTENANCE AMANO SKIDATA wPs Maintenance - Year 1 Maintenance - Year 2 Maintenance - Year 3 Maintenance -Year 4 Maintenance - Year 5 Maintenance - Year 6 Maintenance -Year 7 Maintenance - Year 8 Maintenance - Year 9 Maintenance - Year 10 206,462.00 299,881.00 325,159.75 350,527.25 375,986.61 401,543.04 427,142.87 452,948.55 478,808.63 504.777.81 122,192.10 163,241.70 320,446.30 330,844.20 341,553.70 352,583.40 363,944.50 375,&16.40 387,699.70 400,114.60 138,420.00 205,900.00 218,254.0O 229,985.00 248,384.00 270,698.00 276,107.00 284,391.00 295,767.00 310.555.00 TOTAL s3.823.237.52 s3.158.266.60 s2,478,461.00 SUMMARY/GRANDTOTAL OF ALL COSTS - TEN 10) YEARS: AMANO SKIDATA WPS Equipment Cost Additional lnstallation Cost Software Cost Existing Equipment Maintenance Cost - 10 YEARS Other 2,885,500.00 227,975.00 (273,100.00) 3,823.237.52 305,475.00 2,830,004.00 143,750.00 331,s79.00 (32,s00.00) 3,1s8,266.60 362.079.00 2,332,315.00 76,630.00 29,800.00 11,470.00 2,478,461.00 330.460.00 TOTAL s6.96S.087.52 $6.793.178.60 $5.259.136.00 787966 THIS PAGE INTENTIONALLY LEFT BLANK 788967 EXHIBIT 2 WALKER PARKING CONSULTANTS REPORT GATED V. METERED 968 WALI(EF PTI(ING iCNSLTIANIS 20 Pork Plozo, Suite 1202 Boston. MA 021 I6 Office: 617.350.5040 www.wolkerporkin g.com August 10, 20.l5 Mr. Soul Fronces City of Miomi Beoch, Porking Deportment 1755 Meridion Avenue, Suite 200 Miomi Beoch, FL 33,l39 Re: Porking Revenue ControlSystem Finonciol ond Operotionol Anolysis Deor Mr. Fronces: The City of Miomi Beoch (the City) osked Wolker Porking Consultonts (Wolker) to compore (ond controst) goted ond ungoted revenue control systems for controlling porking in the City's ten porking goroges. The City hod conducted on lnvitotion to Negotiote (lTN) for o goied porking occess ond revenue control system (PARCS), ond provided o comporotive onolysis of the proposols ond finol pricing thot wos negotioted. We were osked to compore the costs, revenu,e ond operoting expenses ossocioted wiih the goted systems proposed by Amono McGonn ond Skidoto (in response to the City's request for proposols), with on ungoted, poy-by-plote multi-spoce meter system thot would be provided by T2 systems (the City's multi-spoce meter vendor), ond to opine on the differences. Wolker reviewed the relevont documents provided b!' ihe City, met with the relevont stoff members ond toured the City's ten porking goroges to ossess potentiol meter quontities, locotions ond enforcement. Following ore Wolker's findings ond recommendotions, per the controcted Scope of Services: A. Commenl on the most common goroge revenue control systems ond best proctices (bosed on Wolker's experience ond projecl dotobose): Goted PARCS ore by for the most common type of revenue control system for porking goroges. Wolker estimotes thot more thon g0% of oll poid porking goroge systems in the U.S. ore goted. There ore mony odvontoges ond disodvontoges of eoch type of system; however, the two primory reosons thot goted systems ore preferred is 'copture rote' ond public relotions. Goted systems ore designed to 'copture' poyments from oll the cors thot enter the goroge, os cors would need to physicolly drive through o gote to exit without poying. Metered lots rely on the honor system ond/or enforcement. Good ond honest people thot would never steol from o store (or drive through o porking gote) often think nothing of 'steoling' porking by not poying of o porking meter. 969 Enforcement needs to be on every street on on hourly bosis (or more frequently) in order to 'copture' ollviolotors, which is often perceived os cost-prohibitive. To moke motters worse, when people get 'cought' ond receive citotions, enforcement is often viewed os 'punitive' ond considered unfoir. Note thot citotions, by their very noture, ore punitive, which often leods to poor public relotions. Enforcement is often thought of os the enemy (hiding behind o iree woiting to pounce). Consider the nome of the successful reolity show obout on- street porking meter enforcement: "Pqrking Wors". Furthermore, there is o certoin omount of onxiety ossocioted with pre-poying for porking of o porking meter. The motorist needs to occurotely predict how long they will be porking, ond if they're wrong, they risk receiving thot punitive citotion. Motorists moy elect to 'overpoy' for porking to ovoid o ticket, but this con leod to resentment (no-one likes to overpoy for goods or services). Note thot the City hos implemented o poy-by-cell phone option thot notifies motorists when time is expiring; ond enobles motorists to odd time remotely. Another reoson goted focilities ore so predominont is becouse conventionol porking meters ore extremely limited in functions, feotures ond oudit control. New meter technologies hove oddressed most of these issues; however these technologies ore still perceived os relotively new. Conventionol porking meters ore still controlling the mojority of metered spoces throughout the country. Most municipoliiies seem to go with the stotus quo, either for finonciol or politicol reosons, lock of oworeness, ond/or becouse the public is generolly resistont to chonge. Most system upgrodes remoin os they were (either goted or ungoted). Goted goroges reploce coshiers with poy-on-foot stotions, ond ungoted goroges reploce single-spoce meters with multi-spoce meters. The City of Miomi Beoch hos olreody proven to be forword thinking in this regord, hoving olreody implemented poy-by-plote multi-spoce meters on-street ond in its surfoce lots, POF stotions in iis goroges, ond by considering meters for the goroges. Multi-spoce meters (MSMs) ore consistent with severol best proctices in on-street porking: . MSMs provide more woys to poy (credit cords ond/or bills).. They dromoticolly improve oudit control.. They provide voluoble stotisticol doto for plonning purposes. Goted poy-on-foot (POF) systems ore olso consistent with those best proctices, ond both systems olso keep troffic moving of the exits ond reduce or eliminote the need for coshiers in o goroge (best proctices). Following is o list of comporotive odvontoges, disodvontoges ond differences between goted POF ond ungoted metered goroge systems: 970 3. l. As previously stoted, goted systems copture o higher percentoge of poid porking tronsoctions. Metered systems rely on the honor system ond enforcement. 2. Goted porking systems offer o higher level of customer service o) Goted equipment includes intercoms for customer ossistonce (meters do not). b) Goted equipment provides chonge for cosh tronsoctions (meters do not). c) As previously stoted, motorists don't need to worry obout receiving o citotion if their plons chonge ond they ore deloyed, or overpoying for porking if they decide to leove eorlier thon they plonned. Goted systems ore more expensive to purchose, instoll, mointoin ond operote thon metered systems. There is for more equipment required for o goted system, os oll entry ond exit lones need to be controlled. There ore for more moving porls, requiring more mointenonce ond repoir thon metered systems. lnstollotion requires equipment islonds, power ond communicotion infrostructure, ond plonning for vehiculor queuing of both the entronces ond exit lones os cors will need to woit for the entry or exit tronsoction to be conducted. This con reduce the porking supply. Throughput of entry ond exit lones is foster in o goteless (metered) scenorio, os vehicles ore not required to stop of the entronce or exit to occess the gote. ln the event of o moss entronce or exit (event porking), the tronsoction times ot the gotes con couse bock-ups, reducing customer service levels. Poy-on-foot stotions remove the poyment process from ihe exit lone, expediting the exit process, but bock-ups con still occur os people locote the porking ticket ond insert it into the exit verifier. Unfortunotely, one cor struggling of the exit verifier couses o ripple effect of deloys during moss exits. Poy-on-foot (or poy-in-lone) goted systems enoble the system to run without o stoff presence. There will still be the need for humon intervention when o motorist loses or domoges their porking ticket, is unoble or unwilling to poy the required fee, or if the sysiem molfunctions; however, on intercom system is utilized to ollow motorists io communicote with stoff remotely. ldeolly stoff will be close enough to respond in person, but it's olso possible to roise thb gote remotely if stoff is unoble to respond in person. Metered systems do not require o stoff presence either. ond require even less customer ossistonce, os there ore no tickets or gotes involved (hence on intercoms instolled in meters). Note thot in comporing stoffing needs, the ongoing cost to enforce on ungoted system is significont, ond con eventuolly surposs the purchose ond instollotion cost of o goted system, depending on stoffing levels, mointenonce ond service controcts. Goted sysiems occommodote monthly porkers vio cord occess, outomotic vehicle identificotion or license plote recognition technology. Poy-by-plote metered systems use the license plote os the monthly credentiol. Goted systems come with focility count systems, enobling the owner to know goroge occuponcy ond plon occordingly for monthly porkers or other pre- poid/reserved porking. Metered systems do not include count systems. Goted systems ore typicolly posi-poy, ollowing for on eosy volidoted porking process, including on-line volidotion systems. Metered systems ore pre-poy, 4. 5. 6. 7. 8. 9. 971 B. moking the volidotion process more chollenging. The motorist needs to receive the volidotion in odvonce..l0. Metered systems connot verify driver licenses for Americon with Disobility Act (ADA) eligibility. The Ciiy's POF system coptures o photogrophic imoge. I l. Goted systems reduce the incidence of stolen vehicles, os the entry ticket needs to be processed io exit the goroge. While not foolproof, ii is o disincentive. Revenue control systems for porking goroges deployed in public ond privole systems within lhe lost two yeors: Wolker hos been involved in forty-five goroge revenue control projects in the post two yeors. Forty-two involved goted PARCS ond three involved meters. The following three projects involved the instollotion of multi-spoce porking meters: . Stomford Town Center, o privote shopping moll in Connecticut, is in the process of upgroding from conventionol porking meters to poy-by-spoce multi-spoce meters. Monogement wos concerned obout queuing issues if they instolled o goted system. Pre-existing meter poles ore being used to instoll spoce number signs. The moll hos o pre-existing orrongement whereby the City of Stomford conducts enforcement for o portion of the citotion revenue.. Union Stotion, o tronsit center in Springfield, MA, is building o goroge thot will utilize poy-by-spoce multi-spoce meiers. Poy-by-spoce meters were chosen due to lower copitol costs, concerns obout bock-ups of the exit ond becouse the City of Springfield hos o pre-existing enforcement deporiment. Tronsit center goroges typicolly hove moss exits when troins orrive; therefore, o goteless system is viewed os more efficient ond user- friendly in regord to exiting troffic.. The Government of Alberto, Conodo, is building o goroge in Edmonton thot will utilize gotes for monthly porkers but poy-by-spoce multi-spoce meters for tronsient porking. Monogement felt o goteless system for tronsient porkers would be eosier to monoge. This is remorkobly consistent with the City's survey, os93% of our PARCS goroge projects involved goted systems, ondg3% of the l2l goroges surveyed by Miomi Beoch were goted. While oll three of these meter projects involve poy-by-spoce, Wolker hos been involved in severol poy-by-plote projects for on-street systems. It should be noted thot Wolker hos olso worked on severol projects involving single- spoce smort meters; however they were olso for on-street systems. This study will focus on poy-by-plote multi-spoce meters, os the City currently employs this technology on-street, which is why it is being considering it in the l0 goroges. Cost of equipmenl - octuol cost comporison of goled revenue contro! systems like Skidoto ond Amono vs. poy stotions like T2, onolyzed over o ten yeor period, including service controcts: As stoted previously, goted systems ore significontly more expensive to purchose thon ungoted (metered) systems. This is porticulorly true for the City's ten porking c. 972 goroges. A goted system replocement will exceed $3 million, compored with $1.8 million for o goteless metered system. Wolker estimotes o totol of 95 cosh ond credit cord multi-spoce meters will be required for o goteless metered system, of o cost of $7,200 per meter, or $231,500. This ossumes locoting the meters in groupings, on the ground floor (or other floors thot connect to significont ingress or egress from the focility). Considerotion wos given to locoting meters on individuol floors; however, motorists typicolly pork on the lowest ovoiloble floor, so thot demond would be 'floor by floor'. This could couse lines of the meters. Locoting them oll on the ground floor (or other floors thot connect to significont ingress or egress from the focility) will enoble fewer totol meters to serve more motorists. This olso eliminotes the incidence of someone moking o meter poyment in on isoloted oreo on on upper floor of o goroge, which could be o sofety/security concern, ond it reduces the potentiol of o motorist wolking up to on isoloted meter ond finding it out of service ond needing to locote onother meter. lt is olso more efficient for mointenonce ond collections. Meter Quontiiies Gor Noie thot four units ore designoted os spores, to be determined ofter reviewing meter poyment potterns, in the event thot o goroge or goroges ore underserved. One of the chollenges with poy-by-plote meters is the leorning curye for people who don't know their license ploie number. lf the meters were locoted on oll floors (ot the elevotors), people would hove o shorter trip bock to their cors (to retrieve the license plote number). Wolker recommends instolling significont signoge on oll floors ond elevotors, odvising people to note their license plotes for the meter poyment. Wolker olso recommends promoting poy-by-cell os o poyment tool, thereby eliminoting the need to enter the license plote of the meter. Name Location Spaces Daily Transactions POFs MSMS Spaces per MSM Transactions per Meter G1 7th Street 646 8s8 4 10 55 86 G2 l-2th Street t34 2L6 L 3 45 72 G3 13th Street 286 452 2 5 57 90 G4 15th Street 803 80s 4 10 80 81 G5 17th Street 1460 2,375 1.4 24 61 99 G5 42nd Street 620 29s 3 8 78 37 G7 City Hall 550 726 8 5 130 25 G8 5th & Alton 1050 t67 6 8 131 2L G9 Penn. Ave.550 318 5 10 56 32 G10 Sunset Harbor 430 542 6 8 54 68 Soares - TBD 4 TOTATS 6539 6,155 53 95 70 65 973 ln the event thot the City decides to locote meters on eoch floor, the totol number of meters would increose from 95 to 137. The cost would increose from $Z3l .500 to $l million. Metered systems olso require vigilont enforcement, or meter poyments decreose ond motorists become less concerned obout overstoying the time on meter. The City's on-street enforcement teom commonds on impressive 85% complionce rote. Wolker recommends mobile license plote recognition (LPR) for goroge enforcement ond recommends o totol of ten enforcement vehicles be purchosed for the ten goroges ot o cost of $25,000 per vehicle, or $250,000. Note thot only eight or nine vehicles will be in use of ony given time (see Section D); however o bock-up vehicle is recommended in the event of o breokdown or occident. Ten mobile LPR enforcement systems will olso be required of o cost of $45,000 per unit, or $450,000. Note thot no more thon nine vehicles will be in service of ony given time, ond only 3 vehicles will be utilized during the slowest overnight periods, ollowing vehicles to be rototed out of service periodicolly to preserve their service life. Thot being soid, the vehicles ond units will still experience significont use (170 hours per doy). Wolker budgeted f or 507o of the vehicles ond LPR sysiems to be reploced within ten yeors. Ten citotion hondheld units ore olso required, of o cost of $95,000. Purchose Costs: AMANO GATED PARCS SKIDATA GATED PARCS T2 UNGATED MSMs PARCS Equipment lnsta!led s3,14s,8s0 Sg,sg+,grz Multi-Space Meters lnstalled S731,500 Mobile LPR Svstem/Handhelds s1,130,000 TOTAL PURCHASE PRICE s3,145,950 s3,634,912 s1,961,500 The complexity of the goted PARCS requires significont mointenonce. Mointenonce controcts double the PARCS equipment cost over o ten yeor period. Goted systems olso require seryers ond workstotions, while the T2 meter system is hosted, requiring ongoing monthly monogement, communicotion ond tronsoction fees (included os mointenonce costs). Wolker olso included mobile LPR ond hondheld mointenonce ond worronty costs, os well os T2's 'Digitol Connect' tronsoction fees ($0.02 per tronsoction in excess of 2.000 per meter per month) os ongoing mointenonce costs. We olso included estimotes for vehicle mointenonce ond gosoline. 974 Service Controcl ond Moinlenonce Costs The lorgest operoting expense for both systems is lobor. Lobor costs ore detoiled below, followed by o recop of oll expenses over o ten yeor period. D. Cosl of lobor - Operotionol cost comporison of lobor ossocioted wilh goted revenue controlsyslems like Skidoto ond Amono vs. poy slotions like 12: The City hos determined thot by implementing ihe new goted PARCS, onnuol stoffing costs con be reduced significontly; from $2.985,500 to $1,800,000, soving olmost $1.2 million per yeor. All but one coshier/ottendont will be eliminoted during most shifts by exponding POFs ond implementing centrolized remote monitoring (vio intercoms ond oudio/video) for cusiomer interoctions. The metered system eliminotes oll ottendonts ond coshiers, similor to on-street; however, os previously stoted, vigilont enforcement is required. Enforcement stoffing will cost $2.2 million per yeor, or $22 million over ten yeors. Stoff is olso required for mointenonce ond collections; odding on odditionol $300,000 per yeor, or $3 million over ten yeors. The totol cost of lobor for o goted PARCS is $1.8 million per yeor, or $18 million over ten yeors. The totol cost for the T2 metered system is estimoted of $2.5 million per yeor, or $25.2 million over ien yeors. en o AMANO GATED PARCS SKIDATA GATED PARCS T2 UNGATED MSMs PARCS Maintenance and Warranty s3,923,239 s3,L58,257 SO T2 Meter Warrantv s361,000 Metered EMS Hosted Services s570,000 T2 Dieital Connect Transaction Fees S95,zoo Enforcement Maintenance and Warrantv s378,ooo Enforcement Licensins and Supoort S118,800 Vehicle Maintenance and Gasoline s332.33s TOTAL TEN MAINTENANCE YEAR COST s3,823,238 st,158,267 s1,523,000 975 Ten Yeor Lobor Costs: AMANO GATED PARCS SKIDATA GATED PARCS T2 UNGATED MSMs PARCS Staffins s18,000,000 s18,000,000 Meter Enforcement 522,099,7O5 Meter Maintenance S1,483,978 Meter Collections s1,591,583 TOTAL TEN YEAR LABOR COSTS s18,000,000 s18,000,000 525,175,265 Wolker ossumes the following stoff requirements for enforcement, mointenonce ond collections: . Eight enforcement stoff driving LPR vehicles from 9:00 om through 3:00 om Mondoy through Thursdoy.. Nine enforcement stoff driving LPR vehicles from 9:00 om through 3:00 om Fridoy through Sundoy (busier tronsient octivity).. Three enforcement stoff driving LPR vehicles 3:00 om through 9:00 om every doy (reduced octivity).o Two 8-hour mointenonce lechnicions on-duty eoch doy.. Eoch meter will be collected every other doy. Enforcement ond mointenonce stoff ore City employees. Poyroll is estimoted ot o blended rote of $25 per hour plus 43%for toxes ond benefits. Collections ore done by the City's operotor of o rote of $9.70 per meter. A recop of oll costs over o ten yeor period follows: TotolTen Yeor Costs AMANO GATED PARCS SKIDATA GATED PARCS T2 UNGATED MSMs TOTAT PURCHASE PRICE s3,14s,8s0 s3,534,912 S1,622,s00 TEN YEAR MAINTENANCE COST 53,823,238 s3,158,267 s1,523,000 TEN YEAR STAFFING COST s18,000,000 S18,ooo,ooo Szs.t7s.26s TOTALTEN YEAR COST S24,969,08s $24,793,L79 s28,320,755 976 Enforcement stoffing for the T2 metered system overshodows the higher priced purchose ond mointenonce costs of o goted PARCS system. moking the costs for the T2 goted system $3.4 million higher thon the Amono PARCS over ten yeors, ond $3.5 million higher thon the Skidoto PARCS over ten yeors. E. Iechnologicol odvoncements/trends. Whoi is the lrend of equipmenl being instolled in new construction municipoUuniversity goroges? Will the equipmenl the City is contemploting purchosing from Skidolo be obsolete five yeors from now? Will the trending increose in poy-by-phone users diminish the need ond utility of the equipment the City is contemploting purchosing from Skidoto? Technologies such os poy-by-cell, mobile opps ond license plote recognition ore trending os cutting edge solutions; however, the most common type of PARCS being instolled in goroges todoy is o goted poy-on-foot system. Poy-by-cell, poy-by-plote, mobile opps ond license plote recognition moy eventuolly threoten to reploce goted systems, but for now they simply compliment them or offer on olternotive. As stoted previously. poy-by-cell tronsoctions typicolly represent less thon 20% of oll tronsoctions, ond therefore ore not significont enough to reploce infrostruciure; however, poy-by-cell use is increosing, olreody ol20% in Miomi Beoch. Wolker is owore of o hondful of goroges in the United Stotes thot hove gone goteless; however. they represent for less thon 1% of oll PARCs instollotions. We expect to see more goteless focilities os technologies improve ond more owners consider these options; however, it is more likely thot goteless goroges will become o common olternotive thon thot goted sysiems, ond/or Skidoto will become obsolete. Skidoto is o lorge, modern ond well estoblished PARCS monufocturer. Skidoto's morket shore hos been growing in the United Stotes. F. Comporison ond copture role - compore both technologies during lorge specio! events ond mojor impoct periods. Whot is the copture rote of 12 poy stoiions? Users of the opp? Goted systems ore chollenging during events, os moss entronces ond exits creote bock-ups in the drive lones. Most porking goroges convert to pre-poy during events, os the troffic bock-ups thot occur while vehicles ore exiting the goroge ore longer thon while entering. Most goroges olso roise the exit gotes during moss exits to expedite the exit process. When potrons ore woiting in o line of vehicles, they frequently blome the focility for not hoving o foster exit process. The deloy moy be reloted to troffic congestion on lhe street rother thon in the goroge; however, in some people's minds, perception is reolity. Goteless systems ore olwoys pre-poy, ond the entry ond exit is olwoys unobstructed, unless lhe moss entronce or exii couses congesiion. ln this scenorio it is usuolly more obvious lo the motorists thot the goroge is not responsible for the deloy (olthough some will wonder why there oren't more lones). Copture rotes ore typicolly tied to enforcement; however, if there ore not enough meters to occommodote o moss entronce, some people will get frustroted ond risk o citotion rother thon being lote for the event becouse they hove to woit in 977 line to poy o meter. This type of citotion invoriobly leods to on oppeol, bloming the goroge for not hoving enough meters ond contributing to poor public relotions. Apps thot enoble the prepoyment of porking help to expedite the entry ond/or exit process, os the motorists con byposs the POFs or MSMS completely. Wolker does not hove stotisticol doto on usoge; however, pre-poid opps represent o smoll percenioge of overoll tronsoctions ond ore typicolly included with poy-by-cell phone opps, which represent less thon 20% of oll tronsoctions of most focilities, olthough 20%in Miomi Beoch. G. Cost of Enforcement - odditionol lobor cost of odding goroges to porking enforcement officers' roules? Addiiionol revenue to City obove ond beyond overoge porking fee resulting from porking cilotions being issued? Also, most poy stotion users poy for more lime lhon they octuolly use, odding to lhe botlom line. Additionol revenue to City obove ond beyond overoge porking fee with goted revenue control systems versus T2 poy slolion where users over-poy for porking? . Enforcement costs ore detoiled in Section D.. Citotion revenue is detqiled in Sections N ond Q.o Revenue from prepoying of the meters is oddressed in Section S. H. Adjustment of Porking Roles - Which system provides more flexibility bosed on whol level of the goroge you pork in? Which system ollows for reodily distinguishing between residents ond non-residenls ollowing for differenl price structures for eoch? Goted PARCS connot independently distinguish where o vehicle wos porked; however, porking guidonce system vendors such os Pork Assist offer comero bosed guidonce systems thot con integrote wiih the PARCS system to identify where the vehicle porked when colculoiing the fee. Amono hos done ihis with Pork Assist in o poy-on-foot goted system. We hove no doubt thot Skidoto could do this os well, ond there ore other porking guidonce vendors os well. Poy-by-license plote meters olso connot independently distinguish where o vehicle wos porked. Mobile LPR provides GPS softwore thot con identify vehicle locotions, so theoreticolly on integrotion is possible whereby locotion-bosed rote structures ore possible; however, we ore not owore of ony current instollotions. It moy be possible to try io restrict meter poyments to the level thot the vehicle porked on in order to conduct locotion-bosed porking rotes; however this would be lorgely unenforceoble ond would simply rely on motorists poying for porking on the level where they porked. Note thot Wolker recommends locoting most porking meters on the ground floors (or other floors with significont ingress or egress from the focility). Poy-by-spoce meter systems ollow for locotion-bosed porking rotes; however Wolker believes the benefits of license plote enforcement outweigh the benefits of locotion-bosed pricing, ond poyment modes ore restricted to either one or the other. 10 978 Resident ond non-resident porking is oddressed on Section T. l. Pre-poid porking reservolions - which syslem is more effective? Reservotion systems, mobile opplicotions (opps) ond poy-by-cell (PbC) ollow potrons to reserve ond poy for porking prior to orriving of the Goroge. Benefits of o reservotion system include receiving the porking poyment in odvonce, which helps insure the motorist will not pork elsewhere, enhoncing revenue, os well os contoct ond trovel informotion obout the motorist for doto collection ond morketing purposes. Perhops most importontly, pre-poid reservotions eliminote the need to conduct o tronsoction in the goroge, reducing congestion in the entry ond exit lones of o goted system, ond reducing foot troffic ot the MSM of POF. Most reservotion systems will offer cloud bosed solutions, reducing copitol outloy ond/or infrostruclure costs, ond most providers will host the system os well. ln order for the system to be successful it needs to integrote with the PARCS softwore to control ond mointoin inventory ond revenue. Since these systems ore relotively new to the U.S., there moy be costs ossocioted with customizing the PARCS softwore to integrote with the reservotion system. Metered systems do not include focility counts, consequently the goroge runs the risk of filling before o reseryed/prepoid customer orrives. A focility count system con be inslolled independently, or o stotionory or mobile LPR system con provide focility stotus to insure thot the goroge mointoins porking ovoilobility for pre-poid porkers - including monthly porkers. J. Revenue ond Expense lmpocts of Metered vs. proposed PARCS replocement or other olternotive syslem: Annuol goroge revenue is cunently $16 million (in o goted PARCS setting). ln o metered scenorio the City hos experienced on 85% complionce roie, reducing onnuol revenue by 157o, or $2.4 million. In the current PARCS setting, ADA motorists ore required to show their driver's license in order to receive volidoted porking. ln o metered setting, ADA motorists will not need to show their driver's licenses, which will leod to obuse. Wolker estimotes thot ihe number of (unpoid) ADA porking sessions will double, costing the City on odditionol $255,000 per yeor (the current onnuol volue of ADA volidoied porking in the goroges). Citotion revenue will generote $5.7 million; however, the County retoins 33% of citotion revenue ond 30% goes to the school crossing guords ond technology (Auiocite) fund. This leoves $2.1 million for the City We estimote o3% ($480,000) revenue bump from overpoyments due to prepoying of the meters. Citotion revenue is discussed in Sections N ond Q. Overpoyments ore discussed in Section S. 11 979 K. The net impoct from the obove is on onnuol loss of $55,000 with the T2 metered system, or $550,000 over ten teors. Ten Yeor Revenues Expenses were detoiled in Sections C ond D. Following ore the ten yeor totol costs: Ien Yeor Net Colculote, project ond compore the lotol purchose, instollolion, service ond repoir cosls of lhe Skidoto equipment being considered by the Ciiy vs. the T2 poy slolions over ol0-yeor period, including service conlrocls. This onolysis wos conducted olong with Amono equipment, in detoil, under sections C ond D. The totol costs ore recopped in Section J obove. Using solory doto provided by the City, projecl ond compore the lobor sovings (excluding porking enforcemenl) ossocioted wiih instolling the Skidoto equipmenl being considered by the City vs. inslolling T2 poy stolions: The City hos determined thot by implementing the new goted PARCS, onnuol stoffing costs con be reduced significontly; from $2,985,500 to $1,800,000, soving olmost $1.2 million per yeor. While significoni, the T2 metered system eliminoies goroge stoff except for enforcement, mointenonce ond collections; similor to on- street meters. lf we exclude enforcement, the T2 metered stoffing costs ore just $307,000 per yeor (compored to $,l.8 million per yeor with Skidoto). AMANO GATED PARCS SKIDATA GATED PARCS T2 UNGATED MSMs Transaction Revenue 5r,60,000,000 s160,000,000 SlGo,ooo,ooo Loss Due to Non-Pavment $26,547,6701 Citation Revenue 557,425,027 Citation Revenue to Countv/Crossi ne G uards/Autocite $36,777,7671 Meter Overpavments s4,900,000 TOTAL ANNUAL REVENUE Sloo,ooo,ooo S160,ooo,ooo S159,499,590 AMANO GATED PARCS SKIDATA GATED PARCS T2 UNGATED MSMs TOTALTEN YEAR NET s13s.030.912 S13s,206,821 sL}t,L78,824 12 980 The ten-yeor difference is stoggering ($18 million for PARCS vs. $1.5 million for meters); however note thot meter enforcement costs ore $2.2 million per yeor, or $22 million over ten yeors. M. Recommend the number of porking enforcemenl officers required to polrolthe l0 goroges if the City instolls the T2 poy stotions, ond using solory dolo provided by the City, estimole lhe ossocioted cosls: Wolker recommends implementing mobile license plote recognition to enforce the l0 porking goroges. The City currently uses mobile LPR to enforce permit porking. Mobile LPR utilizes vehicle mounted comeros thot reod ond record license plote numbers os the vehicle is driven through porking lots, goroges or on-street. A processor is typicolly instolled in the trunk, ond o touch screen computer is instolled between the driver seot ond the possenger seot. All doto is downlooded ond stored in o seporote stotionory workstotion/server. The LPR softwore receives reol-time dotoboses ond updotes of poid license plotes from porking meter, poy-by cell, ond permit/monthly softwore. lf the LPR comero reods o plote thot is not recorded os registered or poid, on oudible olorm ("ping") olerts the enforcement officer, who verifies the license plote ond ciies the vehicle. As stoted in Section D, Wolker recommends the following stoffing levels for enforcement, mointenonce ond collections: Eight enforcement stoff driving 8 LPR vehicles from 9:00 om through 3:00 om Mondoy through Thursdoy. Seven vehicles hove goroge ossignments (see below) ond one vehicle is o 'flooter', providing supplementol coveroge, bosed on porking ond troffic conditions. Nine enforcement sioff driving 9 LPR vehicles from 9:00 om through 3:00 om Fridoy ihrough Sundoy (odding o second 'flooter' vehicle for supplementol coveroge during busier tronsient ociivity). Three enforcement stoff driving 3 LPR vehicles 3:00 om through 9:00 om every doy (reduced octivity). Two 8-hour mointenonce technicions on-duty eoch doy. Eoch meter will be collected every other doy. Following is o breokdown of recommended mobile LPR coveroge per goroge: LPR Coveroge: Mondoy through lhursdoy 9:00 om - 3:00 om LPR GARAGE LOCATION TOTAL SPACES TRANSIENT SPACES Vehicle 1 G1 7th Street 646 549 G2 12th Street L34 87 G3 l.3th Street 286 258 SPACES 1,066 894 a a 981 Vehicle 2 G4 16th Street 803 591 SPACES 803 591 Vehicles 3 & 4 G5 15th Street 1.460 L,037 G9 Penn. Ave,550 446 SPACES 2,020 1,483 Vehicle 5 G6 42nd Street 620 312 SPACES 620 312 Vehicle 6 G7 Citv Hall 650 231 G10 Sunset Harbor 430 359 SPACES 1,080 s90 Vehicle 7 G8 5th & Alton 1,050 988 SPACES 1,050 988 Vehicle 8 Supplemental coverage based on activity. On Fridoys, Soturdoys ond Sundoys, o second 'flooter' vehicle is odded to provide supplementol coveroge during busier tronsient octivity on weekends. tPR C ihrouqh lhursdoy 3:00 om - 9:00 om LPR GARAGE rocATtoN TOTAL SPACES TRANSIENT SPACES Vehicle 1 G1 7th Street 646 549 G2 12th Street t34 87 G3 13th Street 286 2s8 G4 16th Street 803 591 SPACES 1,869 1.485 Vehicle 2 G5 LTth Street 7,460 7.O37 G7 Citv Hall 650 312 G9 Penn. Ave.550 446 SPACES 2,670 L.795 Vehicle 3 G5 42nd Street 620 237 G8 5th & Alton 1,050 988 G10 Sunset Harbor 430 359 SPACES 2,too t,578 The totol hours required hours per yeor. Using o for enforcement overogeslT0 hours fully looded, blended hourly rote of per doy, ot 62,000 $35.67, the onnuol 14 982 N. poyroll for enforcemeni is projected to be $2.2 million per yeor, or $22 million over ten yeors. Note thot this does not include hourly rote increoses during the ten yeor period. Wolker recommends utilizing Go-4 three-wheel vehicles for mobile LPR enforcement. These vehicles ore smoller thon regulor cors (52.5" wide), ollowing them to stop to write o citotion without blocking troffic, os cors will be oble to drive oround them. Pricing ($25,000) is comporoble to the Ford C-Mox Hybrid vehicle currently being recommended by ihe Fleet Monogement Division. Using on-slreel doto provided by lhe City, extropoloie the projected ciiotion revenue for the l0 porking goroges generoled from non-poymenl ond/or overlime porking if 12 poy stolions ore instolled: The Ciiy's existing meter system hos on 85% complionce rote, meoning thot 85% of oll porkers poy for their porking. The City's citotion copture rote is just 10%, which meons thot only 10% of oll unpoid porkers ore cited. The City overoges o 90% collection rote for citotions. The porking goroges generoted 2.2million poid tronsoctions lost yeor. lf 15% of those tronsoctions were unpoid, thot would represeni 337,000 unpoid tronsoctions. lf the City cited 10% ot those porkers ond collected the $18.00 fine from 90% of them, the revenue generoted would totol olmost $5.5 million; however, the City only retoins 37% of the citotion revenue. The County retoins 33% ond 30% goes to the school crossing guords ond technology (Autocite) fund. This leoves opproximotely $2,000,000 for the City; however we need to foctor in the unpoid meter revenue in order to determine the net result. The overoge porking goroge tronsociion is equol to $7.00. This meons thot the opproximote volue of the 332,000 unpoid porking tronsoctions is $2.4 million, leoving o net loss of $400.000 per yeor. Note thot this ossumes o 90% citotion collection roie. While not oddressed in our finonciol projections, Wolker is concerned obout the current $18.00 fine for o porking meter violotion. The doily moximum rote in most goroges is $20.00; therefore it would be less expensive to receive o citotion thon to poy the doily moximum rote. Some motorists would risk on $18.00 citotion for shorter time fromes os well. The fine omount will need to be increosed or meter complionce will be significontly reduced Opine on inslolling license plole recognilion (LPR) lechnology of lhe goroge enlronces ond integroting with the T2 poy stolions to improve enforcement. !s o 100% coplure rote possible? Stotionory LPR uses stotionory comeros of the entronces (ond/or exits) of o focility to copture ihe license plote imoges of cors os they enter ond/or exit the focility. System softwore soves the license plote imoges. converts them into text records ond records the times the vehicles entered (ond/or exited) the focility. o. 983 ln o metered porking focility, the softwore con integrote with multi-spoce meter, poy-by cell phone ond/or permit/monthly softwore to identify unpoid vehicles for enforcement purposes. Theoreticolly, this could creote o 100% copture rote; however, this is predicoted upon the comeros copturing 100% of oll license plotes, which rorely occurs. Mobile LPR is not perfect. LPR comeros con only reod whot they con see. Bicycle rocks ond similor things in tow con obscure the plote. Older, foded or dirty plotes ore tougher to reod. The percentoge of license plotes thot ore reod by the system is considered the copture rote. Wolker conducted o study ond found the overoge copture rote for stotionory comeros to be 91.7%, which meons thot olmost l0% of the license plotes were not coptured by the system. Furthermore, every stote hos different types, colors, fonts ond plote designs, moking it more chollenging for the softwore to identify some numbers ond letters, ond the softwore sometimes confuses similor numbers ond letters, such os O ond Q, or S ond 5, or B ond 8, etc. The percentoge of license plotes ihot ore reod 100% occurotely is colled the reod rote. Wolker's study found on overoge occurocy rote of 91.57o; however, note thot 6 of 7 digits were reod occurotely 97.1% of the time, 5 of 7 digits were reod occurotely 98.6% of the time ond 4 of 7 digits were reod occurotely 99.1% of the time. These portiol reods would still enoble the system to identify the vehicle os poid or unpoid with enforcement stoff providing visuol confirmotion. Thot being soid, 10% of the vehicles will not be coptured by the system. Todoy's technology connot provide o lOO% copture rote. However, on-street enforcement reportedly coptures just 10% of the meter violotions on-street; therefore, 90% would be o significont improvement. There ore olso consideroble operoting cost sovings thot moy or moy not be higher thon o l0% loss in revenue. Note thot LPR technology is constontly improving. A few yeors ogo 80% wos considered o high copture or reod rote. Todoy, severol monufocturers report ochieving ?5% lo 98% copture ond/or occurocy rotes; however we hove not confirmed this level of occurocy. Note thot Wolker is recommending mobile (vehicle mounted) license plote recognition rother ihon stotionory LPR, os mobile LPR enobles enforcement stoff to cite the vehicle when the system identifies the vehicle. Stotionory LPR identifies the vehicle when it is in violotion but does nol know where the vehicle is locoted. LPR technology hos mode the post-processing of citotions o new ond potentiolly efficient method for issuing citotions. Rother thon plocing citotions on the windshields of vehicles, oll photogrophic imoges of potentiolly citoble vehicles would be reviewed ofter the foct (bock of the office), in o processing center. Confirmed citotions would be delivered to motorists vio U.S. moil. This is similor to red-light comero enforcement, but is not yet outhorized for porking enforcement in most municipolities, including Miomi Beoch. Post-processing could significonlly reduce or even eliminote stoffing costs for mobile LPR, os stotionory LPR (ot the entronces ond exits) would moke driving through the goroges for meter enforcement unnecessory. Note thot visuol inspections would no longer be possible for portiol plote reods, ond thot portiol reods would probobly not be considered o volid citotion upon oppeol; however, 75 984 P. the onnuol enforcement sovings of olmost $1.4 million per yeor would more thon cover the lost citotion revenue. This is similor to the SunPoss toll sysiem, which debits SunPoss holder's occounts ond moils out citotions for non-complionce. SunPoss is now being offered of severol oirports. SunPoss is olso storting to offer the technology to porking goroges (for o smoll percentoge of eoch tronsoction). Opine on increosed poy-by-phone ond similor poy-in-odvonce technologies ond if they polenliolly undermine the juslificotion of using goled revenue control systems: Poy-by-cellis for more common in metered settings thon goted settings; however, poy-by-cell con be used in o goted setting if bor code reoders ore employed. Proof of poyment(or volidotion) in the form of o bor code (either poper or on o smortphone or other computerized device) con be sconned by o borcode reoder of on entronce gote if the fee hos been prepoid or pre-volidoted, ond/or of the exit gote if the ticket wos volidoted or poid ofter the vehicle entered the focility. The impoct of poy-by-cell is o reduction in poy-on-foot or multi-spoce meter tronsoctions, os poy-by-cell byposses ihe poyment mochine. This is considered o customer service omenity, os the porking poyment is typicolly more convenient when conducted vio cellphone, porticulorly if the license plote is pre-registered ond doesn't need to be entered for eoch porking session. As stoted previously, poy-by-cell tronsoctions ore typicolly fewer thon 20% of oll tronsoctions, ond therefore not significont enough to reduce infrostructure; however, poy-by-cell use is increosing, olreody of 20% in Miomi Beoch. Poy-by-cell requires on odditionol loyer of integrotion for o metered system, os the enforcement system (such os LPR) needs to receive the poy-by-cell poyment doto. Using on-slreet doto provided by the City, extropolote lhe projected citotion revenue forviololions otherlhon no-poyment or overtime porking itT2poy stolions ore instolled in the 10 goroges (i.e. hondicop viololions, expired togs, etc.): Approximolely 64% of oll porking citotions ore for unpoid (overtime) meters. This meons lhot 36% of oll porking citotions ore for other offences, such os restricted or prohibited porking, stotute violotions, on involid license plote or unouthorized porking in o hondicop porking spoce. There ore fewer occosions for motorists to pork illegolly in o goroge thon on-street. lt does occur, but for less frequently. Wolker extropoloted the percentoges of vorious porking citotions issued lost yeor in relotion to the number of spoces enforced, in order to determine the potentiol for citotion revenue from non-metered porking violotions in the goroges. Note thot only police personnel cite for involid togs (5% of oll citotions), so we eliminoted these citotions. We ossumed 80% of on-street percenioges for ADA violotions ond l0% for other infroctions. Wolker estimotes thot citotion revenue from non-meier porking violotions will generote opproximotely $500,000. Note thot this ossumes o90% citotion collection rote. Also note thoi os stoted previously, o. 17 985 R. the City will only receive opproximolely 37% of the citotion revenue, or opproximotely $223,000 per yeor. Opine on the potentio! useful life of the Skidoto equipment being considered by the City. Is obsolescence o relevonl issue in comporing Skidoto ond 12 syslems? The useful life of most porking equipment is roted of eight to ten yeors depending upon frequency of use, climote, ond how well it's mointoined. This is similor for both meters ond for goted PARCS; however, there ore mony instonces of porking equipment losting for longer. Mointenonce ond repoir costs typicolly increose os the equipment oges. Obsolescence is rore. For exomple, conventionol porking meters hove been oround for 80 yeors, ond while they ore extremely limited in their feotures ond functionolity, Wolker estimotes thot 4 million ore still instolled in the United Stotes olone. Goted PARCS hove been in existence for olmost os long, ond olthough there is o lot of tolk obout gotes "going owoy" due to cellphone, opps ond license plote recognition technology, only o hondful of goroges hove removed their gotes to dote. During the kick-off meeiing concerns were roised obout the demise of Federol APD, once o leoding PARCS monufocturer. There wos some concern obout the industry overoll. Federol APD wos in decline when 3M ocquired them, ond while Wolker does not know why or whot hoppened internolly, we view it os on onomoly rother thon o sign of things to come. PARCS hos become big business, ottrocting the likes of 3M, Xerox ond other lorge corporotions. While this creotes greoter competition, it olso shows ihot there is opportunity for growth potentiol in the U.S. porking morket. ln Wolker's estimotion, Skidoto ond T2 ore exomples of two componies poised for growth. Bosed on onecdotol evidence gleoned from our expertise ond experience, project the revenue potenliol generoted by the overpoymenl of porking if the City instolls 12 poy slolions in lhe l0 goroges: One of the benefits of prepoymenis to the City is thot people frequently poy for more time lhon they need to insure thot they do not overstoy their time ond receive o citotion. ln on-street scenorios it is estimoted thot 10%to 20% of porking meter revenue is derived from overpoyments. ln o poy-ot-exit setting people ossume they ore only poying for the octuol time they porked, bul porking rotes ore typicolly set by the hour, meoning thot if you porked for seventy minutes you would poy the some omount os if you porked for two hours. This is similor to poying for two hours of o porking meter ond leoving ofter 70 minutes, but becouse porking meters ollow motorists to insert coins ond poy for froctions of on hour, ii is deemed on overpoyment. Furthermore, on-street porking hos limited hours, ond multi-spoce meters hove the convenience button thot typicolly purchoses two or three hours moximum. Motorists will be for less likely to press the 'mox' button when the moximum fee is equivolent to $20.00. Motorists will try to plon their time more reolisticolly. s. 986 T. Wiihout question, some people will prepoy for porking ond hove their plons chonge, ond consequently leove eorlier thon they hod plonned; however, Wolker does not hove enough doto or onecdotol evidence to stote with confidence whot the revenue potentiol is for overpoyments. Wolker recommends o conservotive projection of 37o (of $,l6 million), which is equivolent to $480,000 per yeor. Opine on which of the two syslems is better equipped to distinguish between residents ond non-residents in setling differenl rote structures. Wolker understonds thot the City offers porking discounts to residents through its poy-by-cell vendor, Porkmobile. This is eosy to do in o poy-by-plote setting, os Porkmobile eosily integrotes with poy-by-plote porking. ln o poy-by-plote setting the license plote seryes os o permit. enobling residents to register their license plotes in order to receive o discounted porking rote. The resident willolso be oble to receive o discounted porking rote of the poy-by-plote meter once they hove pre-registered their license plote. When the resident enters the plote number ot the meler, the discounted rote would be enobled. As previously stoted, poy-by-cell con work in o goted system os well; however o bor code reoder is typicolly required, os o borcode is disployed on the cellphone ond sconned to pulse the gote. Note thot Skidoto's PARCS utilizes borcode tickets ond reoders ond con therefore support this type of poy-by-cell option. At leost one vendor poy-by-cellvendor (QuickPoy) offers o cell phone integrotion thot involves hoving the cell phone pulse the gote; however, this requires o Bluetooth gote kit be instolled in the gote box. Trodilionolly, pre-poid stored volue memory cords ("Smort Cords") ore offered to residents for goted scenorios. The cords ore pre-looded with o dollor volue, ond when inserted into o poy-on-fool mochine, ihe porking fee is deducted from the cord. The cords ore sold of discounts to residents. Newer versions include softwore thot recognizes the cord ond ossigns o discounted rote structure to the cord - so the cord octs like o volidotion. Another option is to reploce the smort cord with o proximity cord. The cord would be prelooded ond sold of o discount, ond the user would be oble to use it of the entronce ond exit, bypossing the poy-on-foot mochine ond providing foster ingress ond egress to ond from the goroge. Another option is offering residents volidoted porking vio o web-bosed volidotion system. Residents would be given possword protected occess to on online volidotion progrom, where they could print out o unique borcode volidotion (discount). Recommendotion: Wolker recommends o goted PARCS in the ten goroges for the following reosons: U. 19 987 3. l. While the metered system is less expensive to procure, instoll ond mointoin, the lobor required to effectively enforce the goroges moke the T2 metered system more expensive to operote by $3.5 million over ten yeors. lf the City desires o metered setting, Wolker recommends controcting with the City's operotor to provide enforcement (ond mointenonce) services, os the poyroll costs would be significontly lower. 2. Metered revenue projections ore $500,000 less thon o goied PARCS over ten yeors. This is due to the City netting just 33% of enforcement revenue ond no woy of verifying ADA driver's licenses. Metered systems do not provide focility count systems. Some of the goroges fill up on o regulor bosis 'in seoson', requiring stoff to monitor goroge occuponcy, ond close the goroge to tronsient porkers, in order to 'hold' some porking for monthly porkers. Gotes ore olso required to control (close or open entry ond exit lones). lf the City desires o metered system, Wolker recommends procuring o goted count system, which would odd significont cosi to the project. We typicolly recommend mointoining existing count systems ond gotes; however, the exisiing PARCS is no longer being monufoctured ond support is being phosed out. Note thot mobile LPR provides cor counts os enforcement is conducted; however, the counts will only be conducted on on hourly bosis, compored to o count system thot counts vehicles os they enter ond exit the focility (in reol time). The goted PARCS provides o higher level of customer service thon o metered system: As the City knows from implementing poy-by-plote on-street, there is o leorning curve with motorists needing to enter their license plotes of the meters. ln o goroge setting, motorists who neglect to note their license plote number will need to return to their cor, which could be forther owoy thon in on on-street setting. lf the City desires o metered setting, Wolker recommends instolling significont signoge on oll floors ond elevotors, odvising people to note their license plotes for the meter poyment. Suggest thot motorists toke photos of their license plotes, or write their plote numbers down. Wolker olso recommends promoting poy-by-cell os o poyment tool, thereby eliminoting the need to enter the license plote of the meier. Motorists won't wont to worry obout receiving o citotion if their plons chonge ond/or they ore deloyed, ond lhey will resent needing to overpoy the meter to ovoid this. They olso won't enjoy overpoying for porking if they decide to leove eorlier thon they plonned. 4. 20 988 lf the City selects o metered setting, Wolker recommends promoting poy-by-cell services, thereby enobling motorists to odd time remotely (Porkmobile will text motorists when their time is obout to expire). Wolker further recommends offering poy-by-cell customers the option of 'stopping' their porking session when they return to their cor. This will prevent overpoyments, thereby reducing revenue; however, it will be very well received by the public ond will help the City win occeptonce for metered goroges. Wolker projected $480,000 in onnuol overpoyment revenue. Wolker estimotes thot fewer thon holf of the potrons will utilize poy-by-cell services (the City's current usoge is 2OT): therefore the potentiol onnuol cost in revenue is estimoted of $240,000. Metered systems do noi hove intercoms for customer ossistonce. lf the City selects o metered setting, Wolker recommends instolling intercoms in oll of the goroges. This could be done for less thon $100,000. Meters will not provide chonge; however, eliminoting cosh tronsoctions is o best proctice, os credit cord tronsoctions ore typicolly foster thon cosh tronsoctions, ond reducing cosh is more efficient for collections ond improves oudit control. lf the City selects the goted PARCS, Wolker recommends committing fully to poy- on-foot. Wolker understonds thot the City's stoffing recommendotions significontly reduces the number of coshiers by exponding POFs ond implementing centrolized remote monitoring (vio intercoms ond oudio/video) for customer interoctions. Wolker recommends eliminoting ollcqshiers, os the ultimote gools of o POF system ore to fully outomote tronsoctions ond to remove os mony tronsoctions from the exit lones os possible. When ony coshiers ore present, some motorists will ignore the POFs ond utilize the coshiers. We understond thot o humon presence willstill be required ond desired; however, on ottendont who is free to wolk oround ond ossist customers of the POFs ond/or the exit lones con be more effective thon o coshier sitting in o coshier booth. This moy olso result in further reductions in lobor costs, os well os increosed oudit control ond operotionol efficiencies (no fee computers, coshier reports or coshier drowers). Pleose let me know if you hove ony questions, or when you'd like to discuss. Thonk you. Sincerely, WALKER PARKING CONSULTANTS QuK-J*' Don Kupfermon, CAPP Director of Cor Pork Monogement Systems 989 RESOLUTION TO BE SUBMITTED 990 COMMISSION ITEM SUMMARY Condensed Title: A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, APPROVING OPTION A FOR THE PROPOSED DESIGN, DEVELOPMENT, AND CONSTRUCTION OF AWELLNESS CENTER lN ALLISON PARK; APPROVING THE PARKING PLAN !N OPTION 3; AND AUTHORIZING THE CITY MANAGER AND CITY ATTORNEY,S OFFICE TO NEGOTIATE A NINETY.NINE (99) YEAR GROUND LEASE AGREEMENT BETWEEN THE CITY AND THE SABRINA COHEN FOUNDATION, INC (THE FOUNDATTON), FOR AppROXtMATELy 5,100 SQUARE FEET OF CITY.OWNED LAND AT ALLISON PARK FOR THE PROPOSED WELLNESS CENTER, WHICH FINAL NEGOTIATED LEASE SHALL, AT A MINIMUM, CONTAIN THE ESSENTIAL TERMS CONTAINED IN THE TERM SHEET SET FORTH AS EXHIBIT "A'' TO THIS RESOLUTION, AND WHICH FINAL NEGOTIATED LEASE SHALL BE SUBJECT TO APPROVAL BY THE CITY COMMISSION, AND BY A MAJORITY OF THE VOTERS IN A CITY.WIDE REFERENDUM, PURSUANT TO SECTION 1.03(b) OF THE CITY'S CHARTER. Build and maintain infrastructure with full accountabi Supporting Data (Surveys, EnvironmentalScan, etc.): The 2014 Customer Satisfaction Survey indicated that over 77o/o of residents rated recehtly completed capital improvement projects as Item Summary/Recommendation : At the July 8, 2015 City Commission Meeting, the Sabrina Cohen Foundation (the Foundation) requested that the City grant the Foundation a lease for the use of City-owned land, in Allison Park (the Park), to develop, construct, maintain and manage a Wellness Center at the Foundation's sole cost and expense. At the September 2,2015 City Commission Meeting, three (3) concepts shown in Exhibit B were presented by the Foundation, proposing to utilize the center, the southern portions of the Park or a combination of both locations. Since the September 2, 2015 City Commission Meeting, staff has met to evaluate the three concepts and formulate its recommendation as to the best concept and location for the Wellness Center at Allison Park in addition to parking options, regulations and other mobility opportunities Staff is recommending Option A which covers approximately 5,1 00 square feet of City-owned land at Allison Park, as it is the concept which preserves the most of the natural greenspace and allows for the relocation of the tree canopy currently at the Park, and is the least obstructive of the proposed concepts. ln addition to preserving greenspace, staff also recommends for the Wellness Center to follow CPTED (Crime Prevention Through Environmental Design) guidelines, preserve the existing walkways to and from the beach, include restrooms and showers forthe public, and conserve the Park's historic properties, such as the existing coral wall and turtle sculptures. As addressed in the past, parking is a challenge at this park and it is presumed that this situation will worsen with the additional development being proposed. For this reason, staff has developed several strategies to maximize the amount of parking spaces, while still maintaining the natural greenspace and tree canopy at the Park. Staff is recommending Parking Option 3. This option allows for the most parking spaces with the least amount of impact. Administration Recommendation: The Administration recommends that the City Commission approve conceptual Option A, Parking Option 3 and the proposed parking regulations. lt is also recommended forthe City Commission to authorize the City Managerto negotiate a ground lease for the use of the City-Owned land forthe development of the Wellness Center, based upon the essential terms set forth in the term sheet attached hereto and incorporated herein as Exhibit A. The final negotiated ground lease shall be subject to approval by the City Commission and by a majority of the voters in a City-wide referendum, pursuant to Section 1 .03(b) of the City's Cha(er. The approval of the lease shall be on the March 15.2016 election ballot. Financial lnformation: Source of Funds: Amount Account 1 OBPI Total Financial lmoact Summarv: Clerk's Office S Bepartment pirector Assistant City Manager City fnager JRUJL DMYINX sF K EC -/JLryfl:_ ,/M R1TAGENDAMIAMIBEACHo^rE q-u'l{991 9i5.20r., City of Miomi Beoch, I 700 Convention Center Drive, Miomi Beoch, Florido 331 39, www.miomibeochfl.gov COMMISS MEMORANDUM TO: FROM: DATE: Mayor Philip Levine and Members Jimmy L. Morales, City Manager September 30, 2015 the City SUBJECT: A RESOLUTION OF THE MAYOR A[.lD CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, APPROVING OPTION A FOR THE PROPOSED DESIGN, DEVELOPMENT, AND CONSTRUCTION OF A WELLNESS CENTER !N ALLISON PARK; APPROVING THE PARKING PLAN lN OPTION 3; AND AUTHORIZING THE CITY MANAGER AND CITY ATTORNEY'S OFFICE TO NEGOTIATE A NINETY.NINE (99) YEAR GROUND LEASE AGREEMENT BETWEEN THE CITY AND THE SABRINA COHEN FOUNDATTON, tNC (THE FOUNDATION), FOR APPROXIMATELY 5,100 SQUARE FEET OF CITY.OWNED LAND AT ALLISON PARK FOR THE PROPOSED WELLNESS CENTER, WHICH FINAL NEGOTIATED LEASE SHALL, AT A MINIMUM, CONTAIN THE ESSENTIAL TERMS CONTAINED IN THE TERM SHEET SET FORTH AS EXHIBIT 'IA" TO THIS RESOLUTION, AND WHICH FINAL NEGOTIATED LEASE SHALL BE SUBJECT TO APPROVAL BY THE CITY COMMISSION, AND BY A MAJORITY OF THE VOTERS IN A CITY.WIDE REFERENDUM, PURSUANT TO SECTION 1.03(b) OF THE CITY'S CHARTER. BACKGROUND At the July 8, 2015 City Commission Meeting, the Sabrina Cohen Foundation (the "Foundation") requested that the City grant the Foundation a lease for the use of City-owned land, in Allison Park (the "Park"), to develop, construct, maintain and manage a Wellness Center at the Foundation's sole cost and expense. At the September 2, 2015 City Commission Meeting, three (3) concepts, as reflected in the attached Exhibit B, were presented by the Foundation, proposing to utilize the center, the southern portion of the Park or a combination of both locations, as follows: Option A proposed a circular shaped building, located at the center of the Park; Option B consisted of the conceptual plan proposed for Option A plus reserving the southern portion of the Park for future expansion; and Option C proposed a rectangular building to be constructed at the southern portion of the Park. Currently, the southern portion of the Park is not being utilized and does not contain any structures. The center of the Park currently houses three pre-cast replicas of life-size sea turtles of varying species with interpretive signage. The turtle sculptures were erected pursuant to a Caribbean Conservation Corporation Sea Turtle Grants Program Grant Agreement dated August 17,2OOG (the "Grant"). The Grant requires that the sculptures be placed west of the dune and along the Allison Park Eco-Walk, but does not contain any prohibition from relocating them to a different location consistent with the requirements of the Grant; therefore, said sculptures may be relocated within the Park, freeing up the center for the development of the Wellness Center. 992 Since the September 2, 2015 City Commission Meeting, staff has met to evaluate the three concepts and formulate its recommendation as to the best concept and location for the Wellness Center at Allison Park in addition to parking options, regulations and other mobility opportunities. CONCEPTUAL ANALYSIS Staff is recommending Option A which covers approximately 5,100 square feet of City-owned land at Allison Park. Option A is the concept which preserves the most of the natural greenspace, allows for the relocation of the tree canopy currently at the Park, and is the least obstructive of the proposed concepts. ln addition to preserving greenspace, staff also recommends for the Wellness Center to follow CPTED (Crime Prevention Through Environmental Design) guidelines, preserve the existing walkways to and from the beach, include restrooms and showers for the public, and conserve the Park's historic properties, such as the existing coral wall and turtle sculptures. PARKING ANALYSIS Staff is recommending Parking Option 3. This option allows for the most parking spaces with the least amount of impact. The option preserves the greenspace south of the Park and also gives an opportunity to relocate the existing tree canopy by incorporating the public restrooms into the Wellness Center. As addressed in the past, parking is a challenge at the Park and it is presumed that this situation will worsen with the additional development being proposed. For this reason, staff has developed several strategies to maximize the amount of parking spaces, while still maintaining the natural greenspace and tree canopy at the Park. Allison Park is served by Municipal Parking Lot No. P81, which is located at6475 Collins Avenue. It is a metered parking lot with 74 conventional parking spaces and four (4) ADA accessible parking spaces, for a total of 78 parking spaces. Meters are enforced 8:00 a.m. to 6:00 p.m. and have an hourly rate of $1.00. This parking lot is highly used as it supports various users including neighboring businesses, recreational (beach) goers, and area residents (particularly overnight when meters are not enforced.) Expanded Parking I nve ntory Options ln the interest of preserving the historic value of the coral wall, and the original park boundaries in the southern section, the following options are available for Wellness Center Conceptual Option A: Option 1 - Maintain Existino Parkinq Plan Beinq Proposed with the Accessible Plavqround and Fitness Circuit As described above, Municipal Parking Lot No. P81 currently has 74 standard parking spaces and 4 ADA accessible parking spaces, which totals 78 parking spaces. With the upcoming accessible playground and fitness circuit, it is planned for the Parking Department to reconfigure the parking spaces to serve the ADA parking demand. The reconfiguration will modify the existing spaces to 17 ADA accessible parking spaces with 51 standard parking spaces for a new total 68 parking spaces in all (Exhibit C). 51 Standard Parking Spaces 17 ADA Accessible Parking Spaces Total: 68 Parking Spaces Ootion 2 - lncrease Amount of Parkinq Soaces with Ootimum Traffic Flow bv Expandinq Parkinq West: This option would provide 78 standard parking spaces and 17 ADA accessible parking 2 993 spaces for a total of 95 parking spaces. This would be achieved by expanding parking into the West greenspace and adding approximately 13,000 square feet of paved area. This option would preserve the existing restrooms and would require the relocation of mature existing trees to the South end of the Park. This option provides a safe and optimal traffic flow (Exhibit C). 78 Standard Parking Spaces 17 ADA Accessible Parking Spaces Total: 95 Parking Spaces Ootion 3 - Demolition of Existinq Restrooms and Construction of Public Restrooms on 1st Floor of the Wellness Center: This option would provide approximately 103 standard parking spaces and 17 ADA accessible parking spaces for a total of 120 parking spaces. This would be achieved by expanding approximately 21,000 sq. ft. into the West area adjacent to the existing parking lot. This option requires the Foundation to demolish the existing restrooms and provide public restrooms within the Wellness Center development. This option would also require the relocation of mature existing trees to the South end of the Park (Exhibit D). 103 Standard Parking Spaces 17 ADA Accessible Parking Spaces Total: 120 Parking Spaces Option 4 - Demolition of Existino Restrooms with a Public Restroom Buildino Constructed on South Side of Allison Park: This option mirrors Option 3 with the exception that it proposes for a restroom building of approximately 500 sq. ft. to be constructed at the South end of the Park, independent of the Wellness Center. However, this is not a favorable option as it impacts the only greenspace remaining in the park (Exhibit D). 103 Standard Parking Spaces 17 ADA Accessible Parking Spaces Total:'120 Parking Spaces The Foundation is responsible for covering the cost of the relocation of the turtle sculptures. ln the case that parking Option 1 is selected, the City will cover the expenses for the parking plan in place to cover the ADA accessible playground and fitness circuit. lf any of the parking Options 2-4 are selected, the Foundation will assume the expenses for the parking expansion and the construction of the public restrooms and showers. The City; however, will maintain the public restrooms and showers. Proposed Parking Regul ations The following are proposed parking regulations being recommended to serve the operational needs of the aforementioned parking generators as well as the proposed Wellness Center. Parking space turnover is critical to maximizing parking availability; therefore, the following regulations are recommended: o A maximum time limit of four (4) hours for metered parking during meter enforcement hours and Wellness Center operational hours even if beyond the established hours of enforcement.o Additional disabled parking spaces (17) to meet the demand generated by the Wellness Center. (Provided in all parking plans) . Maximum time limits may be lifted when the Wellness Center is dark to allow for residential parking opportunities. 3 994 Other Mobility Options The City may also consider adding Citi Bike stations and a Car2Go space to have additional options of transportation to and from the Park. Additionally, the trolley loop could be extended one block south to 63'd Street, and an additional stop provided in front of Allison Park. This would help facilitate access to other parking facilities in the North Beach (e.g.72nd Street site and the parking garage at 67th Street and lndian Creek Drive.) ENVIRONMENTAL ANALYSIS All construction located east of the Coastal Construction Control Line (CCCL) is regulated by the Florida Department of Environmental Protection (FDEP) and the Florida Fish and Wildlife Conservation Commission. The Wellness Center is being proposed east of the CCCL and therefore development will require obtaining a Construction General Permit from FDEP. The project will need to demonstrate that it will not negatively impact the beach and dune system and sea turtle nesting habitat. The Foundation will be responsible for obtaining this permit and any modifications required by these agencies for the development will be the responsibility of the Foundation after approvalfrom the City. RECOMMENDATION The Administration recommends that the City Commission approve conceptual Option A, Parking Option 3 and the proposed parking regulations. lt is also recommended for the City Commission to authorize the City Manager to negotiate a ground lease for the use of the City-Owned land for the development of the Wellness Center, based upon the essential terms set forth in the term sheet attached hereto and incorporated herein as Exhibit A. The final negotiated ground lease shall be subject to approval by the City Commission and by a majority of the voters in a City-wide referendum, pursuant to Section 1.03(b) of the City's Charter. The approval of the ground lease shall be placed on the March 15, 2016 election ballot. Attachments: Exhibit A "Sabrina Cohen Foundation Adaptive Wellness Center Term Sheet" Exhibit B "Proposed Wellness Center Conceptual Options" Exhibit C "Parking Options I and 2" Exhibit D "Parking Option 3 and 4" ^,, Jt- rr-uv#U\hrorvusr U T:\AGENDA\201S\SeptembeAParks and Recreation (September 3O)\Memoradum - Resolution Approving Wellness Center Concept Lease Agreement in Allison Park (FINAL).docx 4 995 RESOLUTION NO. A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, APPROVING OPTION A FOR THE PROPOSED DESIGN, DEVELOPMENT, AND CONSTRUCTION OF A WELLNESS CENTER lN ALLISON PARK; APPROVING THE PARKING PLAN lN OPTION 3; AND AUTHORIZING THE CITY MANAGER AND CITY ATTORNEY'S OFFICE TO NEGOTTATE A NrNETY-NINE (99) YEAR GROUND LEASE AGREEMENT BETWEEN THE CITY AND THE SABRINA COHEN FOUNDATION, INC (THE FOUNDATION), FOR APPROXIMATELY 5,100 SQUARE FEET OF CITY- OWNED LAND AT ALLISON PARK FOR THE PROPOSED WELLNESS CENTER, WHICH FINAL NEGOTIATED LEASE SHALL, AT A MINIMUM, CONTAIN THE ESSENTIAL TERMS CONTAINED IN THE TERM SHEET SET FORTH AS EXHIBIT IiA" TO THIS RESOLUTION, AND WHICH FINAL NEGOTIATED LEASE SHALL BE SUBJECT TO APPROVAL BY THE CITY COMMISSION, AND BY A MAJORry OF THE VOTERS IN A CITY.WIDE REFERENDUM, PURSUANT TO SEGTION 1.03(b) OF THE CITY',S CHARTER. WHEREAS, at the July 8, 2015 City Commission Meeting, the Sabrina Cohen Foundation (the Foundation), requested that the City grant it a lease for use of City-owned land in Allison Park (the Park), to develop, construct, maintain, and manage a Wellness Center, at the sole cost and expense of the Foundation; and WHEREAS, at the September 2,2015 City Commission Meeting, three (3) concepts for the Wellness Center were presented by the Foundation: (i) Option A proposed a circular shaped building, located at the center of the Park; (ii) Option B consisted of the conceptual plan proposed for Option A, plus reserving the southern portion of the Park for future expansion; and (iii) Option C proposed a rectangular building to be constructed at the southern portion of the Park; and WHEREAS, the Administration recommends approval of Option A, which covers approximately 5,100 square feet of City-owned land in the Park, as it is the concept which preserves the most of the natural greenspace and allows for the relocation of the tree canopy currently at the Park, and which is the least obstructive of the proposed concepts; and WHEREAS, the Park is served by Municipal Parking Lot No. P81, which currently has 74 standard parking spaces and 4 ADA accessible parking spaces, totaling 78 parking spaces (Existing Parking Plan); and WHEREAS, in the interest of preserving the historic value of the coral wall, and the original Park boundaries in the southern section, the following parking options were considered by staff for the Wellness Center Concept A:. Option 1 - Reconfigure the Existing Parking Plan to serve the ADA parking demand by modifying the existing spaces to 17 ADA accessible parking spaces (Proposed ADA Spaces) with 51 standard parking spaces for a new total 68 parking spaces;. Option 2 - lncrease the standard parking spaces plus Proposed ADA spaces, for a total of 95 parking spaces, with optimum traffic flow by expanding parking west, adding approximately 13,000 square feet of paved area, preserving the existing restrooms, but requiring the relocation of mature existing trees to the south end of the Park;. Option 3 - lncrease the standard parking spaces to 103 plus the Proposed ADA spaces, for a total of 12Q parking spaces, by demolishing the existing restrooms, and requiring the Foundation to construct public restrooms, having approximately 500 sq. ft., on the 1"t Floor of the Wellness Center, by expanding approximately 21,000 sq. ft. into the West area adjacent to the existing parking lot and requiring the relocation of mature existing trees to the south end of the Park; and 996 . Option 4 - Demolish existing public restrooms and increase the total parking spaces to 120 parking spaces, as required in Option 3; however, requiring the construction of said restrooms at the south side of Park, instead of adjacent to the Wellness Center; and WHEREAS, staff recommends Parking Option 3, which maximizes parking at the Park, and preserves the greenspace south of the Park; and WHEREAS, staff additionally is recommending the following implementation of parking regulations at the Park to include:. a maximum time limit of four (4) hours for metered parking during meter enforcement hours and Wellness Center operational hours even if beyond the established hours of enforcement;. additional disabled parking spaces (17) to meet the demand generated by the Wellness Center; ando maximum time limits may be lifted when the Wellness Center is dark to allow for residential parking opportunities; and WHEREAS, the Administration recommends that the City Commission approve conceptual Option A, Parking Option 3, and the proposed parking regulations; and WHEREAS, the Administration recommends authorizing the City Manager to negotiate a ground lease for the use of the City-owned land for the development of the Wellness Center, based upon the essential terms set forth in the Term Sheet attached and incorporated herein as Exhibit "A" hereto, which final negotiated ground lease shall be subject to approval by the City Commission and by a majority of the voters in a City-wide referendum, pursuant to Section 1.03(b) of the City's Charter. NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND GITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City Commission hereby approve Option A for the proposed design, development, and construction of a Wellness Center in Allison Park; approve the parking plan in Option 3; and authorize the City Manager and City Attorney's Office to negotiate a ninety-nine (99) year ground lease agreement between the City and the Sabrina Cohen Foundation, lnc. (the Foundation), for approximately 5,100 square feet of City-owned land at Allison Park for the proposed Wellness Center, which final negotiated lease shall, at a minimum, contain the essential terms contained in the Term Sheet set forth as Exhibit "A" to this Resolution, and which final negotiated lease shall be subject to approval by the City Commission, and by a majority of the voters in a City-wide referendum, pursuant to Section 1.03(b) of the City's Charter. PASSED and ADOPTED this 30th day of September,2015. ATTEST: Philip Levine, Mayor Rafael E. Granado, City Clerk F:\T_Drive\AGENDA\201s\SeptembeAParks and Recreation (September 30[Resolution - Approving Wellness Center Concept & Lease Agreement in Allison Park.doc APPROVED AS TO FORM & LANGUAGE 997 Exhibit A Term Sheet 998 TERM SHEET GROUND LEASE BETWEEN THE CITY OF MIAMT BACH (LESSOR OR THE C|TY) AND THE SABRTNA COHEN FOUNDATTON, tNC. (LESSEE OR THE FOUNDATTON) LEASED PREMISES Approximately 5,100 square feet of land, located at Allison Park,6475 Collins Avenue, plus an easement for any cantilevered elements, if approved as part of the regulatory design review board process. 99 years, no renewal options $18.00 per year (a) a state of the art public health and Wellness Center catering primarily for individuals living with physical and cognitive disabilities, seniors, and able bodied individuals with temporary injuries; and including a physicaltherapy room, aqua- therapy room, adaptive gym, treadmill training, research & product testing room, Office of the Foundation, conference room, library, and healing room, for yoga, meditation, and art therapy; (b) any revenue-generating uses conducted from the premises must be in accordance with the approved uses; revenue- generating uses shall be used to fund the maintenance, management and operation of the Wellness Center. 8:00 A.M. to 8:00 P.M. Monday through Sundays the Foundation shall be responsible for all expenses relating to the operation and maintenance of the Wellness Center including, without limitation, utilities, any applicable taxes (personaland ad valorem). The Foundation, at its sole expense, shall maintain any insurance which may be required by the City including, without limitation, General Liability Property All Risk EXHIBIT I'i DURATION AND TERM AMOUNT OF RENT USE OF LEASED PREMISES HOURS OF OPERATION NET LEASE INSURANGE 999 IMPROVEMENTS Goverage, Workers' Gompensation required by Florida law; any construction work will additionally require a Work Letter and Escrow Agreement for the value of the construction work; Payment and Performance Bond (Gity as additional obligee); Builder's Risk lnsurance; and Automobile Liability !nsurance. The Foundation accepts the Leased Premises in "As Is" condition. The Foundation shall be responsible for the design, permitting and construction of the Wellness Center at its sole cost and expense, subject to City's approval of the concept, design and plans and specifications, and pursuant to all requisite governmental approvals (including without limitation, any City regulatory boards and departments, the Florida Department of Environmental Protection and Florida Fish and Wildlife Gonservation Gommission). The contractor shall be subject to approval by the Gity. The Foundation shall be responsible for any site and underground studies and remediation which may be needed in connection with the development of the Wellness Genter at the Leased Premises. The Development of the Wellness Genter shall neither impact the surrounding areas nor compromise or modify access to the beach from its current condition. As part of the development of the Wellness Center at the Park, the Foundation shall be also be responsible for the design, permitting, development and construction costs related to the following: (a) the relocation of the turtle exhibits; and if City approves the expansion of the existing parking plan (Expanded Parking Plan), (b) the cost of said Expanded Parking Plan, including the demolition and construction of the public showers and restrooms, similar in quality and size to the existing ones at the Park, if required by said Expanded Parking Plan. The Foundation shall have the right to terminate the Lease without cause at any time prior to obtaining the ful! building permit for 2 FOUNDATION RIGHT TO TERMINATE 1000 DEED RESTRICTIONS CONCERNING THE USE OF THE PROPERTY SIGNAGE/NAMING RIGHTS the construction of the Wellness Genter, each party to bear their own costs and fees. Following termination, the Gity shall have no further obligation and/or liability to Foundation with regard to the Lease. (a) The Foundation shall remain a not-for-profit corporation; (b) the Foundation shall not discriminate; (c) no assignment, transfer, sublease, subconcession or license agreement shall be valid without the City's consent (at City's sole discretion), which consent, if given, may require the lessee to pay fair market renUvalue for the Leased Premises(the Foundation will be permitted to subcontract for services consistent with the permitted uses, subject to approvat by the Gity Manager, which approval shall not be unreasonably withheld); (d) all property insurance and maintenance costs shall be the responsibility of the Foundation; (e) Security must be maintained at the Foundation's expense; (f) all signage shall be subject to approval by the Gity and applicable governmental approvals; and (g) any violation of the restrictive covenants shall be an event of default. lnterior/Exterior Signage/Sponsorship: the Foundation shall have the right to erect interior signage, including, without limitation, temporary banners (temporary signage is subject to City Manager's approval) and exterior signage; provided, however, that the names affixed thereon (including, without Iimitation, any sponsorship names) shall be subject to approval as required by the Gity's Naming Ordinance, as codified in Chapter 82, Article V!, Sections 82-501 through 82-505 of the City Code, as shall be amended from time to time. !f approved, any exterior or interior signage shall be subject to review by the Gity. ln no event may any approved interior or exterior signage include the names of any company selling the following types of products ("Prohibited Names"): guns, 3 1001 LESSEE'S DUTY TO KEEP PREMISES IN GOOD REPAIR AUDIT AND FINANCIAL RECORDS DELIVERABLES OTHER PROVISIONS tobacco or sexual products. the Foundation shall be responsible for the operation, maintenance and repair of the Wellness Center, including roof, structure, mechanical, plumbing, electrical, and general maintenance and upkeep, as well as all utilities. the Foundation shall be required to maintain financial records and records of the services and programs it provides to the general public; said records shall be subject to audit by the City; within one hundred twenty (120) days from the end of each calendar year, the Foundation shal! provide audited financial statements for the previous year. within sixty days from the end of each calendar year, the Foundation shall provide the Gity with the following deliverables: (a) annual budget for previous year; (b) proposed budget for the following year; (c) annual report with respect to the program and services provided at the Wellness Center and the number of people who participated or received assistance for each program or service; and (d) programmatic plan for the upcoming year. The programmatic plan shal! include discounted rates for Miami Beach residents, as well as a preference for veterans and Miami Beach residents. additional provisions including, without limitation, default clause, indemnification clause, and other typical provisions contained in the City's ground leases. 1002 Exhibit B Propose d Wellness Cenfer Con ceptuol Opfions 1003 3.FUTURE GROWTH OPEN 2.MAIN LEVEL 8075 SO. FT L=J PRELIMINARY BUDGET: 9.531 SF/S350 SF. S3.335.8s0 WMffiMErcUT@R I BNIrc I A-CENTRAL C I RCU LAR/PLANS l.GROUND LEVEL 1456 SQ. FT SEPTEMBER 2015 re 1004 PERSPECTIVE FROM BEACH PERSPECTIVE FROM PARKING t r I I h e e A-CENTRAL CI RCU LARA/I EWS SEPTEMBER 201 5 1005 1006 PERSPECTIVE FROM BEACH PERSPECTIVE FROM PARKING 2.SECOND LEVEL 4,350 SQ, FT PRELIMINARY CONSTRUC BTJDGET: 8.950 SF/S300 SF. $2.685.000 C.SOUTH SIDE LINEAR l.GROUND LEVEL 4.600 SQ. FT SEPTEMBER 201 5 A--*'u u-- --t'=' ---'i"::-:.._- -.- - _-u-" --!--..fu-.:-:::...t...--....,--4='_-l::*....-l]-]-- --,/-:#t=l1'Q:--/)i 1007 Exhibit C Porking Options I ond 2 1008 o -. -coallllL colliliJorq .cc(trE.ltf - ) I)z ) Ilz 5 lz ; ; ! Fazo oI x z 6 !uo!o I =oz o ! d o o I {{!! , o I ) g II\- "--tu__ .. - l!I: , I .4\wGl)Yilt ;d' a I a lYlo lfl9 Ir lF1! l{ i__) mrcta oEt*&u ooilo.ltG+ ,-:ttl ffitfiil; z ,Xi"ni" oPrroNS cITy oF MIAM1 geAfihEXHIBITC ALLISON PARK i:R= 1009 Exhibit D Porking Option 3 &4 1010 i -ir @,l> '.la' lp l+ IE l! lr le.l*li Itlql;ti ti I jr :t I tl J zza zz*2!+it:aoztr6d zz:r: 'ji > aa_l 6tr tlryv !2AV trE€orz, =tr --zJI+d z I tr i6 I z eo ! Iz ; I - =2o i =Izo ? u !o 0 ? oo Ioz , ! , ! I -i ffiIIffiI; J o z il*il*oo"rro*r clry oF MIAMI BEAiiEXHIBIT n 4LLISON pARK iiRE 1011 THIS PAGE INTENTIONALLY LEFT BLANK 1012 COMMISSION ITEM SUMMARY Gondensed Title: A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ACCEPTING THE RECOMMENDATION OF THE CITY MANAGER PERTAININGTO THE RANKTNG OF FIRMS, pURSUANT TO REQUEST FOR PROPOSAL (RFP) NO.2015-178- WG FOR INSTALLATION AND OPERATION OF CITYWIDE AUTOMATED TELLER MACHINES ATM) AT VARIOUS CITY.OWNED PROPERTIES AND FACILITIES. lntended Outcome Ensure ex ture trends are sustainable over the long term Data Environmental Scan. etc: N/A Item Summarv/Recommendation : On May 6, 2015, the City Commission approved the issuance of the subject Request for Proposal. The RFP was released on May 1 4,2015. A pre-proposal conference to provide information to the proposers submitting a response was held on June 11,2015. On August 7,2015, the City received four (4) proposals from Communitel, lnc., City Cash, LLC., Cord Financial Services and Payment Alliance lnternational. The proposals submitted by City Cash, LLC., Cord Financial Services and Payment Alliance lnternational failed to meet to the minimum requirements and were therefore deemed non-responsive. On July 6, 2015, the City Manager appointed, via letter to Commission (LTC) No. 274-2015, an Evaluation Committee which convened on September 18, 2015, to considerthe proposal received. The Committee was instructed to score and rank the proposal pursuant to the evaluation criteria established in the RFP. The results of the evaluation committee process were presented to the City Manager for his recommendation to the City Commission. After reviewing the submission and the Evaluation Committee's ranking of the proposal, the City Manager recommends that the Mayor and the City Commission of the City of Miami Beach, Florida, authorize the Administration to enter into negotiations with Communitel, lnc., and furtherauthorize the Mayor and City Clerk to execute an agreement with Communitel, lnc., upon completion of successful negotiations by the Administration. RECOMMENDATION ADOPT THE RESOLUTION. At its March 11,2015, meeting, the Finance and Citywide Projects Committee recommended releasing an RFP for qualified companies to bid on placement of ATM machines throughout the Financial I nformation : Source of Funds: Amount Account 1 2 Financial lmpact Summary: This RFP is intended to be revenue generating and should not create any operational costs for the City. Clerk's Office Alex Denis, Extension 6641 Siqn -Offs: Dfhartment ffector Alsiftant City ler City M nager Ms/!u AD ry K8.ry7 Ml JLM/\_ t 15-178-WG ATM:.doc \/ T:\AGE AGEIIDArrEili nJ f# MIAMIBTACH axrry- ?-fu-l{1013 4 MIAMIBEACH Cify of Miomi Beoch, .l700 Convention Center Drive, Miomi Beoch, Florido 33139, www.miomibeochfl.gov COMMISSI MEMORANDUM TO:Mayor Philip Levine and Members of City Commi FROM: Jimmy L. Morales, City Manager DATE: September 30, 2015 MIAMI BEACH, FLORIDA, ACCEPTING THE RECOMMENDATION OF THE CITY MANAGER PERTAINING TO THE RANKING OF FIRMS, PURSUANT TO REQUEST FOR PROPOSAL (RFP) NO. 2015-178-WG FOR INSTALLATION AND oPERATTON OF CTTYWTDE AUTOMATED TELLER MACHINES (ATM) AT VARIOUS CITY.OWNED PROPERTIES AND FACILITIES. ADMIN ISTRATION RECOMMENDATION Adopt the resolution. KEY INTENDED OUTCOME SUPPORTED Build and maintain priority infrastructure with full accountability. FUNDING This RFP is intended to be revenue generating and should not create any operational costs for the City. BACKGROUND At its March 11,2015, meeting, the Finance and Citywide Projects Committee recommended releasing an RFP for qualified companies to bid on placement of ATM machines throughout the City. The Administration issued RFP 2015-178-WG to seek proposals from qualified firms interested in partnering with the City for the installation and operation of citywide automated teller machines (ATM) at various city-owned properties and facilities. RFP PROCESS On May 6,2015, the City Commission approved the issuance of the subject Request for Proposal. The RFP was released on May 14,2015. A pre-proposal conference to provide information to the proposers submitting a response was held on June 11,2015. On August 7,2015, the City received four (4) proposals from Communitel, lnc., City Cash, LLC., Cord Financial Services and Payment Alliance lnternational. The proposals submitted by City Cash, LLC., Cord Financial Services and Payment Alliance lnternational failed to meet to the minimum requirements and were therefore deemed non- responsive. On July 6, 2015, the City Manager appointed, via letter to Commission (LTC) No. 274-2015, an Evaluation Committee (the Committee), consisting of the following individuals: . Raul Gonzalez, Leasing Specialist, Office of Real Estate, City of Miami Beach . Matt Hollander, GM of the Convention Center. Manny Marquez, Revenue Manager, Finance Department, City of Miami Beach The following Alternates were also appointed:o Bruce Lamberto, Engineering Assistant, Public Works Department, City of Miami Beach . Allison Williams, Chief Accountant, Finance Department, City of Miami Beach 1014 Commission Memorandum - RFP 2015-178-WG lnstallation and Operation of Citywide Automated Teller Machines (ATM) at Various City-Owned Properties and Facilities September 30, 2015 Page 2 The Committee convened on September 18,2015, to consider the sole responsive proposal received. The Committee was provided an overview of the project, information relative to the City's Cone of Silence Ordinance and the Government in the Sunshine Law. The Committee was also provided general information on the scope of services, references, and a copy of each proposal. The Committee was instructed to score and rank the proposal pursuant to the evaluation criteria established in the RFP. Proposer Experience and Qualifications, including Financial Capability Approach and Methodology Scope of Services Public Benefit 25 15 15 15 The RFP also stipulated that additional points would be applied, if applicable pursuant to the City's Veteran's Preference Ordinance. However, the proposer was not eligible for the veteran's preference. The Committee discussed the proposer's qualifications, experience, and competence, and further scored the proposer accordingly. The final ranking is as follows: ln determining responsiveness and responsibility of the firm, the Procurement Department verified compliance with the minimum requirements established in the RFP, financial capacity as contained in the Dun & Bradstreet Supplier Qualifier Report, and past performance through client references submitted by each proposer. MANAGER'S DUE DILIGENCE After reviewing the submission and the Evaluation Committee's ranking of the proposal, the City Manager exercised his due diligence and is recommending that the Mayor and the City Commission authorize the Administration to enter into negotiations with Communitel, lnc. The RFP is revenue generating and should not create any operational costs for the City. Communitel, lnc., has proposed 42o/o o'f gross revenues be provided to the City. CONCLUSION The Administration recommends that the Mayor and City Commission of the City of Miami Beach, Florida, approve the resolution accepting the recommendation of the City Manager, pursuant to Request for Proposal (RFP) No.2015-178-WG, for lnstallation and Operation of Citywide Automated Teller Machines (ATM) at Various City-owned Properties and Facilities, authorizing the Administration to enter into negotiations with Commmunitel, lnc.; and further authorizing the Mayor and City Clerk to execute an :i#i:,*ffi::::::::::::::"n'''*'"sbvheAdmnsra"n 1015 RESOLUTION NO. A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MTAMI BEACH, FLORIDA, ACCEPTING THE RECOMMENDATION OF THE CITY MANAGER, PURSUANT TO REQUEST FOR PROPOSAL (RFp) NO. 2015-178-WG FOR INSTALLATION AND OPERATION OF CITYWIDE AUTOMATED TELLER MAGHINES (ATM) AT VARTOUS CITY-OWNED PROPERTTES AND FACTLTTTES, AUTHORIZING THE ADMINISTRATION TO ENTER INTO NEGOTIATIONS WITH COMMUNITEL, INC., AS THE SOLE RESPONSIVE PROPOSER; AND FURTHER AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE AN AGREEMENT WITH GOMMUNITEL, INC., UPON CONCLUSION OF SUCGESSFUL NEGOTIATIONS BY THE ADMINISTRATION. WHEREAS, Request for Proposal No. 2015-178-WG (the RFP) was issued on May 14,2015, with an opening date of August 7,2015; and WHEREAS, a voluntary pre-proposal meeting was held on June 11,2015; and WHEREAS, the City received four (4) proposals from Communitel, lnc., City Cash, LLC., Cord FinancialServices and PaymentAlliance lnternational, lnc. ; and WHEREAS, the proposals submitted by City Cash, LLC., Cord Financial Services and Payment Alliance lnternational, lnc., failed to meet to the minimum requirements and were therefore deemed non- responsive.; and WHEREAS, on July 6, 2015, the City Manager via Letter to Commission (LTC) No. 274-2015, appointed an Evaluation Committee which convened on May 20,2015 to consider the proposal received by Communitel, lnc.; and WHEREAS, the Committee was provided an overview of the pQect, information relative to the City's Cone of Silence Ordinance and the Government Sunshine Law; general information on the scope of services, references, and a copy of the proposal; and WHEREAS, the Committee was instructed to score and rank the proposal pursuant to the evaluation criteria established in the RFP; and WHEREAS, after reviewing all the submission and the Evaluation Committee's rankings, the City Manager exercised his due diligence and is recommending that the Administration be authorized to enter into negotiations with Communitel, lnc., as the sole responsive proposer NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City Commission hereby accept the recommendation of the City Manager, pursuant to Request for Proposals No. 2015-178-WG (the RFP), for the lnstallation and Operation of Citywide Automated Teller Machines (ATM) at Various City-owned Properties and Facilities; authorizing the Administration to enter into negotiations with Communitel, lnc., as the sole responsive proposer; and further authorizing the Mayor and City Clerk to execute an Agreement with Communitel, lnc., upon conclusion of successful negotiations by the Administration. PASSED AND ADOPTED this day of ATTEST: 2015. Rafael E. Granado, City Clerk Philip Levine, Mayor APPI?OVED AS TO FORM & LANGUAGE T:\AGENDAt201S\SeptembeAPROCUREMENT\RFP 2015-178-WG lnstallation and Operation Automated Teller Machines (ATM) at Various City-owned Properties and Facilities - Resolution.doc 1016 COMMISSION ITEM SUMMARY Condensed Title: A Resolution Of The Mayor And City Commission Of The City Of Miami Beach, Florida, Approving And Authorizing The City Manager And City Clerk To Execute A Settlement Agreement Between The City Of Miami Beach And Bermello Ajamil & Partners, lnc., (BAP) ln The Negotiated Amount Of $80,000 For Extended Professional Construction Engineering And lnspection Services (CEl) For The Florida Department Of Transportation (FDOT) Roadway lmprovements Along lndian Creek Drive Between 26th And 41st Streets Build and maintain infrastructure with full Supporting Data (Surveys, Environmental Scan, etc.): The 2014 Customer Satisfaction Survey indicated that over 77% of residents rated recentlv completed capital improvement proiects as "excellent" or "qood". The Florida Department of Transportation (FDOT) identified the need to perform roadway milling and resurfacing along lndian Creek Drive from 26tn to 4lstStreets as part of its five (5) year transportation plan. The FDOT work consisted of roadway milling and resurfacing, guardrail replacements, sidewalk replacement and bump-out construction at certain intersections. At the time, the City had planned two (2) capital project elements which consisted of the installation of a new 12-inch diameter water transmission main from 26th to 41st Street, along lndian Creek Drive, as well as the replacement of an existing wastewater interceptor pipe along lndian Creek Drive, between 28th and 41"tStreets. On March 18, 2009, the City Commission, pursuant to lnvitation to Bid 28-07/08, awarded a contract to proceed with the construction services for the installation of water mains, sanitary sewer mains, milling, and resurfacing improvements along lndian Creek Drive from 26th to 41't Streets. On September 9, 2009, the City Commission approved Resolution No. 2009-27169, to enter into a professional services agreement with the firm Bermello Ajamil & Partners, lnc. (BAP) for professional CEI services for the FDOT work along lndian Creek Drive from 26'n to 41'' Street in the amount of $129,942.74. On July 13, 2011 , the City Commission through Resolution No. 201 1-27703, approved a settlement agreement between the City and the Contractor in the amount of $1 ,197,966 for additional work related to water service transfers and side street service connections to the newly installed 12-inch watertransmission main and the work associated with an FPL duct bank in conflict with the proposed sewer main. The original project substantial completion date was August 23,2010. Due to the additional scope of work, the contract's completion date was extended to May 2012. During this additional time, BAP was required to perform extended CEI services, above and beyond the services contemplated under the original negotiated professional services agreement. The additional costforthe extended CEI services submitted by BAP was $1 17,213.58. AAP provided substantial documents supporting this amount. Staff reviewed the documentation and was able to substantiate $73,000 in additional costs for the extended services provided. On or about April 10, 2015, BAP filed a law suit against the City seeking damages of $108,997.35 plus prejudgment interest; plus costs; and for such further relief as the court may deem just and fair pertaining to the Project. ln an effort to resolve this issue, the City negotiated a settlement in the amount of $80,000. BAP has accepted the City's negotiated amount for the additional costs incurred and has executed the attached settlement agreement. It is recommended that the and Citv Commission adoot the resolution. 424-2949-061357 Water and Sewer Bonds 20005 Financial lmpact Summary: N/A David Martinez, Ext. 6972 ptember\ClP - Seplember 3C,Be.me:lJ S?lilenie.',iSer:1el!. Setllsrneni SUM[4ARY dccx ,DU AGENDA "'U frl I< olr;e 1-30-lSMIAMIBEACH1017 tlf- A r*"1 iLJLA\"-[i City of Miomi Beoch, .l700 Convenlion Center Drive. Miomi Beoch, Florido 33I39, www.miomibeochfl.gov COMMISSION MORANDUM TO:Mayor Phillip Levine and Members City FRoM: Jimmy L. Morales, City Manager DATE: September 30, 2015 SUBJECT: A RESOLUTION OF THE MAYOR IND CITY COMMISSION OF THE CITY OF MIAMI BEAGH, FLORIDA, APP AND AUTHORIZING THE CITY MANAGER AND CITY CLERK TO EXECUTE A SETTLEMENT AGREEMENT BETWEEN THE CITY OF MIAMI BEACH AND BERMELLO AJAMIL & PARTNERS, lNC., (BAP) IN THE NEGOTIATED AMOUNT OF $8O,OOO FOR EXTENDED PROFESSIONAL CONSTRUCTION ENGTNEERTNG AND TNSPECTTON SERVTCES (GEr) FOR THE FLORIDA DEPARTMENT OF TRANSPORTATTON (FDOT) ROADWAY IMPROVEMENTS ALONG INDIAN CREEK DRIVE BETWEEN 26TH AND 41ST STREETS ADMINISTRATION RECOMM EN DATION Adopt the Resolution. KEY INTENDED OUTCOME Build and maintain priority infrastructure with full accountability. FUNDING Funding for this additional professional construction engineering inspection services has been previously appropriated from the following fund: $80,000 424-2949-061357 Water and Sewer Bonds 20003 BACKGROUND The Florida Department of Transportation (FDOT) identified the need to perform roadway milling and resurfacing along lndian Creek Drive from 26th to 41"1 Streets as part of its five (5) year transportation plan. The FDOT work consisted of roadway milling and resurfacing, guardrail replacements, sidewalk replacement and bump-out construction at certain intersections. At the time, the City had planned two (2) capital project elements which consisted of the installation of a new 12-inch diameter water transmission main from 26th to 41't Street, along lndian Creek Drive, as well as the replacement of an existing wastewater interceptor pipe along lndian Creek Drive, between 28th and 41't Streets. On October 31, 2007 , the City entered into a Joint Participation Agreement (JPA) with the FDOT for the construction of roadway improvements along lndian Creek Drive between 26th and 41't Street. FDOT provided the City with construction plans prepared by Corradino Group and 1018 Commission Memorandum - Bermello Ajamil Settlement Agreement September 30, 201 5 Page 2 agreed to contribute with project funding in the amount of $1,501,000. The agreed upon funding for the FDOT portion of the work under the JPA between the City and FDOT was as follows: . Project Construction. Project Construction Engineering and lnspection (CEl) Services. Total Project Estimate $1,365,000$ 136.000 $1,501,000 Pursuant to section 2C oI the JPA, the City was to advertise for bids, let the CEI and construction contracts, administer, supervise, and inspect all aspects of FDOT's portion of the project. The City was required to retain the services of a CEl, which supervised the roadway improvements. FDOT allocated $136,000 for such services. On September 9, 2009, the City Commission approved Resolution No. 2009-27169, to enter into a professional services agreement with the firm Bermello Ajamil & Partners, lnc. (BAP) for professional CEI services for the FDOT work along lndian Creek Drive from 26th to 41't Street in the amount of $129,942.74. ANALYSIS On March 18, 2009, the City Commission, pursuant to lnvitation to Bid 28-07108, awarded a contract to proceed with the construction services for the installation of water mains, sanitary sewer mains, milling, and resurfacing improvements along lndian Creek Drive from 26th to 41't Streets. On July 13, 2011, the City Commission through Resolution No. 201 1-27703, approved a settlement agreement between the City and the Contractor in the amount of $1,197,966 for additional work related to water service transfers and side street service connections to the newly installed 12-inch water transmission main and the work associated with an FPL duct bank in conflict with the proposed sewer main. The original project substantial completion date was August 23, 2010. Due to the additional scope of work, the contract's completion date was extended to May 2012. During this additional time, BAP was required to perform extended CEI services, above and beyond the services contemplated under the original negotiated professional services agreement. The additional cost for the extended CEI services submitted by BAP was $1 17,213.58. BAP provided substantial documents supporting this amount. Staff reviewed the documentation and was able to substantiate $73,000 in additional costs for the extended services provided. On or about April 10,2015, BAP filed a law suit against the City seeking damages of $108,997.35 plus prejudgment interest; plus costs; and for such further relief as the court may deem just and fair pertaining to the Project. ln an effort to resolve this issue, the City negotiated a settlement in the amount of $80,000. BAP has accepted the City's negotiated amount for the additional costs incurred and has executed the attached settlement agreement. (Attached) CONCLUSION The Administration recommends approval of the Resolution. Attachment: Settlement Agreement JLM/ETC/A$\ l:\T*DrivelAGENDA\201S\Seplemler\ClP - Seplember 30\Sermeilo Settlerent\Bermello Selllerent - l;1El,lO.docx 1019 RESOLUTION NO. A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAM! BEACH, FLORIDA, APPROVING AND AUTHORIZING THE CITY MANAGER AND CITY CLERK TO EXECUTE THE ATTACHED SETTLEMENT AGREEMENT AND RELEASE BETWEEN THE CITY OF MIAM| BEACH AND BERMELLO AJAMIL & PARTNERS, !NC. (BAP), tN THE NEGOTIATED AMOUNT OF $8O,OOO, FOR EXTENDED PROFESSIONAL CONSTRUCTION ENGINEERING AND INSPEGTION SERVICES (CEr) FOR THE FLORTDA DEPARTMENT OF TRANSPORTATION (FDOT) ROADWAY TMPROVEMENTS tN THE CITY ALONG INDIAN CREEK DRIVE BETWEEN 26TH AND 41ST STREETS. WHEREAS, the State of Florida Department of Transportation (FDOT) identified the need to perform roadway milling and resurfacing along lndian Creek Drive from 26th to 41tt Streets as part of its five year transportation plan; and WHEREAS, the City had two (2) capital project elements which consisted of the installation of a new 12-inch diameter water transmission main from 26th to 41st Street, along lndian Creek Drive, as well as the replacement of an existing 1S-inch diameter wastewater interceptor along lndian Creek Drive, between 28th and 41tt-Streets; and WHEREAS, on October 31 ,2007, the City entered into a Joint Partnership Agreement (JPA) with the Florida Department of Transportation (FDOT) forthe construction of roadway improvements along lndian Creek Drive between 26th and 41't Street (the Project); and WHEREAS, the Project's original substantial completion date was scheduled for August 23, 2010. As a result of the water service transfers and side street service connections to the newly installed 12-inch watertransmission main and the FPL sewer main conflict, contract final completion was achieved May 2012; and WHEREAS, BermelloAjamil& Partners, lnc. (BAP) continued providing construction, engineering, and inspection (CEl) services forthe Project perthe original agreement beyond August 23,2010; and WHEREAS, on or about April 10,2015, BAP filed a lawsuit against the City, styled Bermello Ajamil and Pafiners, lnc. v. The City of Miami Beach, Florida, Case No.2015- 006980-CA-01, in the Eleventh Judicial Circuit Court in and for Miami-Dade County, Florida, seeking damages of $108,997.35, plus prejudgment interest, costs, and for such further relief as the Court may deem just and fair pertaining to the Project; and WHEREAS, City staff reviewed the proposal and documentation submitted by BAP and was able to substantiate some of the additional costs for the extended CEI services provided by BAP; and WHEREAS, the City negotiated a settlement in the amount of $80,000 for the disputed claims; and WHEREAS, the City and BAP desire to resolve, compromise, and settle any and all claims and disputes regarding the Project; and 1020 WHEREAS, BAP has accepted the City's negotiated amount of $80,000 for the additional costs it incurred, and BAP has executed the attached Settlement Agreement and Release. NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAM! BEACH, FLORIDA, that the Mayor and City Commission hereby approve and authorize the City Manager and City Clerk to execute the attached Settlement Agreement and Release between the City of Miami Beach and Bermello Ajamil& Partners, lnc., (BAP) in the negotiated amount of $80,000, for extended professional construction engineering and inspection services (CEl) performed by BAP for the Florida Department of Transportation roadway improvements in the City along lndian Creek Drive between 26th and 41st Streets. PASSED and ADOPTED this day of 2015. Philip Levine, Mayor ATTEST: Rafael E. Granado, City Clerk APPROVED AS TO FORM & LANGUAGE & FOR EXECUTION!L-A'\- q(ag - CityAttorney { Dote \,5 JLM/ETC/DM F:\T_Drive\AGENDA\201s\September\ClP - September 30\Bermello Settlement\Bermello Settlement - RESO.doc 1021 SETTLEMENT AGREEMENT AIID.RELEASE This Settlement Ageement and Release ("settlement Agreemenf') is made and entered into this day of , 20l5,by and between BERMELLO AJAMIL & PARTNERS, INC., a Florida corporation, (hereinafter "BAP") and the CITY OF MIAMI BEACH, FLORIDA, a municipal oorporation (hereinafter, the "CITY'). BAP and the CITY may also be referred to individually as a "Party," and collectively as the "Parties."l RECITALS WHEREAS, the CITY retained BAP to perform professional certified engineer inspection (CED services, in connection with the Florida Departnent of Transportation (FDOT) work included in the water mains and sanitary sewer mains, and milling and resurfacing improvements along tedian Creek Drive, between 266 and 41st Streets, in Miarni Beach, Florida (hereinafter the "Proj ect'); WHEREAS, pursuant to Resolution No. 2009-27169, on September 9,2009, the CITY entered into an agreement with BAP for said CEI services for the Project (the "Contract"); WIilREAS, during the course of the Project, numerous construction issues arose with respect to water main installation and other additionai work, which extended the completion time of the hoject. As a resulg BAP was required to perform extended CEI services above and beyond the services contemplated under the Contact; WEEREAS, BAP asserted claims for additional compensation pertaining to the Project, of which the CITY disputed the value of such additional services; WIIEREAS, on or about April 10, 2015, BAP filed that certain action styled as, Bermello Ajamil and Partners, Irrc. v. The City of Miami Beach, Florida, Case No. 2015-006980- CA-01, in the Eleventh Judicial Circuit in and for Miarni-Dade County, Florida (the "Action"), against the CITY, seeking damages pertaining to the Project; WHEREAS, the Panies desire to resolve, compromise and settle any and all claims and disputes, past, present or future, regarding the Project, regardless of responsibility, which were, or could have been, asserted in the Action based upon the terms set forttr in this Settlement Agreement; WHEREAS, the Parties believe it would be in their best interests and the interests of their respective citizens to agree to the provisions of tlis Settlement Ageement. ' Wherever used herein, th€ tenm '?arqy'' or "Parties" shall include singular and phual officers, directors, officers, heirs, legal representatives, assigns of individuals, and the successors and assips of corporations, and the use of any gender shall be held to include every other and all genders, wherever the context so admits or requires, 1022 NOW THEREFORE, in consideration of the mutual covenants, agreements, rurdertakings and representations contained herein and other good and valuable consideration, the receipt and sufEciency of which are hereby acknowledged by the Parties, the CITY and BAP agree as follows: 1. Recitals: The above Recitals are true and correct and are hereby made a material part of this Settlement Agreement and are binding upon the Parties. 2. Settlement: The Parties hereby settle and compromise all claims of any kind or nature (including any claims for attomey's fees and costs), relating, arising out of and/or in connection with the Project, except as set forth herein. 3. Settlement Terms: ln consideration for the releases executed herein, the Parties agr€e: (a) The CITY agrees to pay BAP the sum of Eighty Thousand Dollars and No Cents ($ 8 0,000. 0 0) (the " Settlement Palment"). O) The CITY will seek to place this item on the Agenda for the CITY Commission Meeting following the approval of the Settlement Agreement in form and correctness by the CITY Attomey and execution of the Settlement Agreement by BAP. (c) Subject to the CITY Commission's approval of this Settlement Agreement the Settlement Payment shall be made to BAP within thirty (30) days following CITY Commission approval of the Settlement Agreement, execution by the CITY of the associated Resolution approving such settlement and execution of the Settlement Agreement by the Parties. (d) Wi&in ten (10) days of the CITY's payment of the Settlement Payment to BAP pursuant to the terms and conditions set forth herein, BAP shall fi.le with the Court a Notice of Dismissal with Prejudice of the Action, each party to bear its own attorney's fees and costs. 4, Limited Releases: In furttrer consideration of the execution of this Settlement Agreement, the Parties for themselves and their respective parent companies, subsidiaries, divisions, affrliates, unit owners, insurers, officers, directors, agents, employees, subcontractors, representatives, successors and assigns (the "CITY Releasors" or "BAP Releasors," as the case may be), hereby execute, subject to the conditions and exclusions set forth in this Settlement Agreement the following Releases: (a) The BAP Releasors' Release of the CITY Releasors: Upon paynent of the Settlement Payment by the CITY, the BAP Releasors hereby remise, release, acquit, satisff and forever discharge the CITY Releasors, which throughout this Settlement Agreement includes, but is not limited to, its affiliates, Commissioners, insslsrs, sureties, 1023 directors, officers, employees, agents and attomeys, together with its hets, execu0ors, administators, associates, representatives, successors and assigns, of and from any and all manner of past, present and futtre slsims, action and actions, suits, debts, dues, sums of money, accounts, reckonings, bonds, bills, specialties, covenants, contacts, controversies, agreements, promises, variances, ffespasses, obligations, damages, judgments, costs, expenses, cause and causes of action, executions, claims, liabilities, and demands whatsoever, in law or in equity, whether for compensatory, punitive, or other damages (collectively referred to in this Paragraph as the "Claims"), whieh the BAP Releasors have held or now hold, ever had, now have, or which the BAP Releasors hereinafter can, shall or may have against the CITY Releasors, for any and all Claims, whether known or unknown, arising from, pertaining to and/or in any way relating to the Project including, without limitation, Claims arising from or relating to demands for additional compensation for additional services, which were made or could have been made inthe Action. (b) The CITY Releasors' Release of the BAP Releasors: Upon dismissal of the Action with prejudice by BAP, the CITY Releasors hereby remise, release, acquit, satisff and forever discharge the BAP Releasors, which throughout this Settlement Agreement includes, but is not limited to, its affrliates, insurers, sureties, directors, officers, employees, agents and attorneys, together with its heirs, executors, administators, associates, representatives, successors and assigns, of and from any and all manner of past, present and future sl6ims, action and actions, suits, debts, dues, sums of money, accountsn rcckonings, bonds, bills, specialties, covenants, contracts, controversies, agreements, promises, variances, trespasses, obligations, damages, judgments, costs, expenses, cause and causes of action, executions, claims and liabilities, and demands whatsoever, in law or in equity, whether for compensatory, puritive, or other damages (collectively referred to in this Paragraph as the "Claims"), which the CITY Releasors have held or now hold, ever had, now have, or which the CITY Releasors hereinafter caru shall or may have against the BAP Releasors, for any and all Claims, whether known or unknown, arising from, pertaining to and/or in any way relating to the Project including, without limitation, Claims arising from or relating to demands or claims for additional compensation for additional services, which were made or could have been made in the Action. 5. No Admission of Liabilitv: It is rmderstood and agreed that the claims in the Action, which are the subject of this Settlement Agreement, are disputed claims and that the execution of this Settlement Agreement by the Parties, and any exclusions set forth herein, are not intended to, and shnll not in any way, constitute or be deemed an express or implied admission or acceptance of any negligence, misconduct, responsibility or liability by the Parties or an admission against interest by the Parties, and that the Parties expressly and specifically deny all such claims. Such consideration is being glven to reduce the expense, uncertainties and hazards of litigation and to 1024 mitigate damages to each of the Parties. There shall not be any implication by any trier of fact or law of any admission or acceptance of liability or admission against interest by the Parties and it shall not be used agains the Parties in any attempt to prove any future liability claims. 6. Bindins Effect: CITY Commission Approval as Condifion Precedent: Subject to the following conditions set forth herein including without limitation, CITY Commission approval and execution and notarization by the Parties, this Settlement Agreement shall be binding upon the Parties and their respective successors and assigns. (a) The Parties hereto understand and agree that as a condition precedent to the effectiveness of this Settlement Agreement, the Settlement Agreement shall not be binding on the Parties and their respective successors and assigus until such time as the CITY Commission has approved same, and the Settlement Agreement is fully executed and notarized by the Parties to the Settlement Agreement. (b) CITY Commission approval is a material condition precedent to the execution and enforceability of this Settlement Agreement, without which the CITY does not agree to, and is not subject to, the terms and conditions contained herein and the Settlement Agreement shall be deemed null and void and of no force and effect. 7. Consideration; Leeal Representation: The Parties acknowledge that this Settlement Agreement is fully and adequately supported by sufficient and adequate consideration and is fair and reasonable. The Parties further acknowledge and agree that (i) each Party has had the opportunity to consult with, and has in fact consulted with such professionals, experts and legal counsel of its choice as such Party may have desired with respect to all matters settled and resolved herein; (ii) each Party has participated firlly in the negotiation and preparation of this Settlement Agreement; (iii) each Party has carefully reviewed this Settlement Agreement and is entering into same freely; and (1v) this Settlement Agreement is entered into in good faith and was not obtained by fraud, misrepresentation, or deceit. Accordingly, this Settlement Agreement shall not be more stictly construed against any Party. 8. Authoritv: Each Party represents and warrants to the other that the execution and delivery of this Settlement Agreement has been duly approved by all requisite and corporate or parhrership action (as applicable) required to be taken by zuch Party and each of the signatories hereto has the authority to execute this Settlement Agreement and to bind the Party on whose behalfhe or she has signed. 9. Severabilitv: [n the event any term or provision of this Settlement Agreement is determined by appropriate judicial authority to be illegal or otherwise invalid, such provision shall be considered separate and severable from this Settlement Agreement and the remaining provisions of the Settlement Agreement shall remain in fuIl force and eflect and bind the Parties as though the illegal or unenforceable provision had never been included in the Settlement Agreement. 1025 10. Modificatiou Waiver: This Settlement Agreement may only be modified in uriting signed by both Parties. No waiver or modification of the Settlernent Agreement or of any covsnant, condition or limitation contained herern, shall be valid unless in writing and signed by all Parties to the Settlement Agreement, or their authorized counsel. If the CITY or BAP excuses or condones any breach or default by the other Party of any obligation under this Settlement Agreement this shall not be a waiver of such obligation with respect to any continuing obligation or subsequent breach or default and no such waiver shall be implied. 11. Choice of Law: This Settlement Agreement is being consummated in the State of Florida, and the performance by the Parties hereto is in the State of Florida. This Settlement Agreement shall be consbrued and governed in accordance withthe laws of the State of Florida. 12. Yenue: The sole and exclusive venue for any dispute or lawsuit arising out of, or in connection with, this Settlement Agreement iasluding, without limitation, its interpretation and effect, and any action to enforce any provision contained herer4 shall be in a court of compctent jr.risdiction in and for Miami-Dade County, Florida. The Parties expressly agree to waive trial by jury to enforce this Settlement Agreement. 13. Entire Agreement: This Settlement Agreement constitutes the full and entire agreement and understanding between the Parties as related to the Project and there are no agreements, representations or warranties except as specifically set forth herein. The terms of this Settlement Agreement are contactual and not a mere recital. This Settlement Agteement replaces any prior or contempoftmeous written or oral representation or understanding about the terms of this Settlement Agreement. All prior agreements, discussions, negotiations, letters, demands and writings of any kind are fully merged into this Settlement Agreement and are to be construed to be of no further force or effect, it being the intention of the Parties that this Settlement Agreement shall ssrvg as the sole and entire expression of their agreement and understanding. This Settlement Agreement shall be binding on, and shall insure to the benefit of, the respective successors and assigns, rf any, of each Party. However, CITY Commission approval and execution and notarization by all Parties shall be a condition precedent to the effectiveness ofthis Settlement Agreement as binding against any Party. 14. Captions and Headinesl R.ef.prences: The captions and headings of this Settlement Agreement are for the purpose of convenience of reference only and in no way define, limit or describe the scope or intent of the Settlement Agreement or in any way affect the terms and conditions of this Settlement Agreement. All references in the Settlement Agreement to the terms "herein," "hereunder," 'tereof' and words of similar import shall refer to this Settlement Agreement as distinguished from the Paragraph, Section and/or Subsection within which such term is located. 15. Counterparts: This Settlement Agreement may be executed in counterparts with the sarne force and effect as if any signatures appeared on the same document. The Parties further 1026 a$ee that facsimile, digitally transmitted and electonic copies of an original signature shall be accepted as an authentic original signature. 16. Third Parties: Nothing express or implied in this Settlement Agreement is intended or should be construed to confer upon or grve any percon or entity, other than the CITY and BAP, any rights or remedies under, or by reason of, this Settlement Agreement. IN WITNESS WHEREOF, the Parties have set their hands and seals on the day and date first uritten above: lRemainder of page left intentionally blonk Signatures on the following pages.f 6 1027 BERMELLO AJAMIL & PARTNERS,INC. Attest: 5ut+ A. Bnrcos PrintName STATE OF FLORIDA COUNTY OF MIAMI-DADE The foregoing instnrment was acknowledged before me rhrs,QTTVday of Ald Oaf z}ls,Ay At)i "{ntq)t- ut PCest-D*ii of Bermello Ajam-it & Partners,Inc., who is personally known to me or who has produced .---*_-_ identification). (type of Notary Public - State of Florida My Commission Expires: 1028 THE CITY OF MIAMI BEACH,TLORIDA9 a Municipal Corporation of the State of Florida Print Name: Title: By: ATTEST: CITY CLERK SEAL: APPROVED AS TO FORM A}ID CORRECTNESS: -L 0"F l(ztI15 CITY ATTORNEY 1029 THIS PAGE INTENTIONALLY LEFT BLANK 1030 R7 - Resolutions R7L A Resolution Approving And Authorizing The Mayor And City Clerk To Execute Change Order No. 4 To Lanzo Construction Co., For Design And Construction Of Remaining Street lmprovements For The Sunset Harbour Pump Stations Retrofit And Drainage lmprovements Project, To Bring Purdy Avenue, West Avenue And 18th Street To A 3.7 Feet NAVD Elevation, And The Replacement Of The 20-lnch Water Main Along Dade Boulevard From Alton Road To The Bridge West Of Purdy Avenue For A Total Construction Cost Of $6,437,131 Plus A $643,713 Contingency. (Sponsored by Commissioner Michael Grieco) (Legislative Tracking: Public Work) (On September 2,2015 item R9N was requested to be brought back to September 30, 2015) (ltem to be Submitted in Supplemental) Agenda rtem RJ L oate ?40'lS1031 THIS PAGE INTENTIONALLY LEFT BLANK 1032 R9 NEW BUSINESS AND COMMISSION REQUESTS 1033 E MIAMI BEACH OFFICE OF TTIE MAYORAND COMMISSION To: Jimmy Morales, City Manager From: Jonah Wolfson, Commissioner Date: September 30,2015 MEMORANDUM Re: Resolution to Rescind Resolution No. 2015-29124 and Discuss Simultaneous Nesotiations with LAZ Florida Parkine and SP Plus Corporation for the Parkine Attendants Contract Please place on the September 30,2015 City Commission Agenda a resolution to rescind Resolution 20t5-29t24. On September 2,2015,the Commission voted in favor of the Manager's recommendation to award andnegotiatewith SP fortheprovision ofparking attendants pursuantto RFP 2015-146-YG, and, if unsuccessful in negotiating an agreement \ rith SP, to negotiate withLAZ, (Item R7M). However, Resolution No. 2015-29124 inconectly provides that if the Administration is unsuccessful in negotiating an agreement with SP, the Administration is authorized to issue a new RFP. Thus, Resolution 2015-29124 must be rescinded, and a new resolution passed to reflect the approved motion to negotiate urith SP, and, if unsuccessful, to negotiate withLAZ. Further, I was recently advised by Staff that the total 2014 budgeted cost ofthe City's contract with SP is $2,943,488. The following chart reveals the total annual cost of SP's current proposal is $2,763,354.60 (not including reimbursable expenses). Even though LAZmade a mistake in their proposal and listed the total cost of performing the contact at $2,699,532 (including reimbursable expenses), rather than just their proposed management fee, this mistake reveals LAZ canperform the contract for approximately 245k less annually than SP. This would save the City approximately $1,225,000 over the 5 year contract term. This demonstrates why simultaneous negotiations with both proposers would save the City money. Clearly, SP has been significantly overcharging the City for parking attendant services. Fortunately, the Commission is in a position to do what we were elected to do - save our residents hard eamed taxpayer dollars wherever and however we can. For this reason, I would like to discuss authorizing the Manager to enter into simultaneous negotiations with SP andLAZ for the parking attendant contract to obtain the best service for the lowest total cost. Please feel free to contact me atx6437, if you have any questions. IW We ore connilled lo providing exce/bnl public service ond safety to ol/ who /ive, wor( ond p/oy in our vibronl, lropical, hisloric connunily. Agenda ltem R?A Date O-k)'lJ1034 PARKING ATTENDANT COSTS sP+ COST BREAKDOWN rAI lt.l'Ll Total Payroll Cost Attendant I Total Payroll Cost Attendant II Supervisor Parking Manager Cost EICA Only Cost Total Annual Payroll Cost I zg,zoz Houns x $ts.sr 1,060,900.17 I z+,ozo.s xouns x $tg.ga 1,03s,s89.47 I Rrp $ss,ooo-$es,ooo 55.000.00 NATIONAL 7.55o/o 164,s88.96 2,3L6,O78.60 MANAGEMENT FEE Total Annual Management Fee 447,276.00 TOTAL ANilUAL COST (Not Includino Relmbursablesl J2.763.35,4.60 REIMBURSABLE EXPENSES Cost of Vehicle Leases Repair and Maintenance of Vehicles Gasoline for Vehicles Time Clock Rentals Mystery Shop Programs MAP Cost Uniforms Garage Office Supplies Signage Office Copier Lease Postage and Freight Background Checks CPR certification Insurance Deductible On the Job Traininq Total Contract Reimbursable Cost ? TOTAL ANNUAL COST (Including R.eimbursables)? 1035 lrltHf,IilIG September 22,2015 Honorable Mayor Philip Levine Members of the City Commission City of Miami Beach 1700 Convention Center Drive Miami Beach, Florida 33139 Re: RFP 2015-146-YG Parking Attendants for City Parking Garages ("RFP') Honorable Mayor and City Commission: This correspondence shall confirm that the amount of $2,699,532 listed in Appendix E of our proposal includes the total cost of performing the contract, including payroll, management fees and reimbursable expenses. This amount is based on the number of parking attendant hours (153,783.5) provided in Addendum 3, Exhibit A of the RFP. Further, this correspondence shall confirm that the Public Benefits listed in Tab 5 of our proposal are to be provided at our sole cost and expense. The Public Benefits offered axe as follows: o Computer Carts - 3 computer carts to be donated to Miami Beach Senior High School, and replaced as necessary; o Scholarship - $2,500 annual scholarship to a Miami Beach Senior High School graduating senior, as determined by the principal and faculty. tn the alternative, a $2,500 annual conkibution to an organization of the Mayor and City Commission's choice; o Management Training Program - hire a graduating senior annually and train them in our management training program (LAZ University); and, o Summer Work Program - provide summer jobs for students seeking employment. If I can be of any further assistance, please do not hesitate to contact me. Sincerely, , /t. /. ./ .:: /t , ,lL Christopher B. Walsh Regional Vice-President 1036 RESOLUTION NO. A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, RESCINDING RESOLUTION NO. 2015-29124; AND ACCEPTING THE RECOMMENDATION OF THE CITY MANAGER PERTAINING TO THE RANKING OF PROPOSALS PURSUANT TO REQUEST FOR PROPOSALS NO. 2015-146-yc (THE RFP), FOR PARKING ATTENDANTS FOR CITY PARKING GARAGES; AUTHORIZING THE ADMINISTRATION TO ENTER INTO NEGOTIATIONS WITH THE TOP.RANKED PROPOSER, SP PLUS CORPORATION; SHOULD THE ADMINISTRATION NOT BE SUCCESSFUL IN NEGOTIATING AN AGREEMENT WITH SP PLUS CORPORATION, AUTHORIZING THE ADMINISTRATION TO NEGOTIATE WITH LAZ FLORIDA PARKING, LLC; AND FURTHER AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE AN AGREEMENT UPON GONCLUSION OF SUCCESSFUL NEGOTIATIONS BY THE ADMINISTRATION. WHEREAS, the RFP was issued on April 21, 2015 with an opening date of July 10,2015 (the RFP); and WHEREAS, a pre- proposal conference was held on April 27,2015; and WHEREAS, the City received four (4) proposals from EYSA USA, LLC, LM Florida Parking, LLC, Republic Parking System, lnc., and SP Plus Corporation; and WHEREAS, on August 3, 2015 an Evaluation Committee appointed by the City Manager convened to consider all proposals; and WHEREAS, the Committee was provided an overview of the project, information relative to the City's Cone of Silence Ordinance and the Government Sunshine Law; general information on the scope of services, references, and a copy of the proposal; and engaged in a question and answer session after the presentation of each proposer; and WHEREAS, the Committee was instructed to score and rank the proposals pursuant to the evaluation criteria established in the RFP; and WHEREAS, the Committee's ranking was as follows: SP Plus Corporation, top- ranked; Republic Parking System, lnc., second highest ranked firm; LM Florida Parking, LLC, third highest ranked; and EYSA USA, LLC, fourth highest ranked; and WHEREAS, Republic Parking System, Inc., was deemed non-responsive to the RFP's Minimum Requirements; and 1037 WHEREAS, as a result of Republic Parking System, lnc., being deemed non- responsive and disqualified from consideration, LAZ Florida Parking, LLC, is the second highest ranked firm; and WHEREAS, after reviewing all the submissions and the Evaluation Committee's rankings, the City Manager exercised his due diligence and is recommending that the Administration be authorized to enter into negotiations with SP Plus Corporation, and should the Administration not be successful in negotiating an agreement with SP Plus Corporation, authorizing the Administration to negotiate with LAZ Florida Parking, LLC; and WHEREAS, on September 2, 2015, the City Commission adopted Resolution No. 2015-29124 which incorrectly provided that should the Administration not be successful in negotiating an agreement with SP Plus Corporation, the Administration was authorized to issue a new RFP; and WHEREAS, the purpose of this resolution is to rescind Resolution No. 2015- 29124, and have it correctly reflect the motion made and passed by the Mayor and City Commission on September 2,2015. NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City Commission hereby rescind Resolution No. 2015-29124; and accept the recommendation of the City Manager pertaining to the ranking of proposals pursuant to Request for Proposals No. 2O15-146-YG for Parking Attendants for City Parking Garages; and authorize the Administration to enter into negotiations with the top-ranked proposer, SP Plus Corporation; should the Administration not be successful in negotiating an agreement with SP Plus Corporation, authorize the Administration to negotiate with LAZ Florida Parking, LLC; and further authorize the Mayor and City Clerkto execute an agreement upon conclusion of successful negotiations by the Administration. PASSED AND ADOPTED this _ day of September 2015. ATTEST: Rafael E. Granado, City Clerk Philip Levine, Mayor 1038 RESOLUTION NO. A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, RESCINDING RESOLUTION 2015-29124; AND AUTHORIZING THE ADMINISTRATION TO ENTER INTO SIMULTANEOUS NEGOTIATIONS WITH LAZ FLORIDA PARKING, LLG AND SP PLUS CORPORATION PURSUANT TO REQUEST FOR PROPOSALS NO. 2015.146-YG FOR PARKING ATTENDANTS FOR clTY PARKING GARAGES (THE RFP) TO OBTATN THE BEST SERVTCE FOR THE LOWEST TOTAL GOST; AND FURTHER DIRECTING THE CITY MANAGER TO PLACE THE RESULTS OF THE NEGOTIATIONS WITH LAZ FLORIDA PARKING, LLC AND SP PLUS CORPORATION ON THE OCTOBER 14, 2015, CITY COMMISSION AGENDA FOR SELECTION OF A PROPOSER. WHEREAS, the RFP was issued on April 21, 2015 with an opening date of July 10,2015 (the RFP); and WHEREAS, a pre-proposal conference was held on April 27,2015; and WHEREAS, the City received four (4) proposals from EYSA USA, LLC, LM Florida Parking, LLC, Republic Parking System, Inc., and SP Plus Corporation; and WHEREAS, on August 3, 2015 an Evaluation Committee appointed by the City Manager convened to consider all proposals; and WHEREAS, the Committee was provided an overview of the project, information relative to the City's Cone of Silence Ordinance and the Government Sunshine Law; general information on the scope of services, references, and a copy of the proposal; and engaged in a question and answer session after the presentation of each proposer; and WHEREAS, the Committee was instructed to score and rank the proposals pursuant to the evaluation criteria established in the RFP; and WHEREAS, the Committee' s ranking was as follows: SP Plus Corporation, top- ranked; Republic Parking System, !nc., second highest ranked firm; LM Florida Parking, LLC, third highest ranked; and EYSA USA, LLC, fourth highest ranked; and WHEREAS, Republic Parking System, lnc., was deemed non-responsive to the RFP's Minimum Requirements; and WHEREAS, as a result of Republic Parking System, lnc., being deemed non- responsive and disqualified from consideration, LM Florida Parking, LLC, is the second highest ranked firm; and WHEREAS, after reviewing all the submissions and the Evaluation Committee's rankings, the City Manager exercised his due diligence and is recommending that the Administration be authorized to enter into negotiations with SP Plus Corporation, and 1039 should the Administration not be successful in negotiating an agreement with SP Plus Corporation, authorizing the Administration to negotiate with LAZ Florida Parking, LLC; WHEREAS, on September 2,2015, the City Commission adopted Resolution No. 2015-29124 which incorrectly provided that should the Administration not be successful in negotiating an agreement with SP Plus Corporation, the Administration was authorized to issue a new RFP; and WHEREAS, the purpose of this resolution is to rescind Resolution No. 2015- 29124; and WHEREAS, after reviewing the City Manager's recommendation, the Mayor and City Commission find that it is in the best interest of the City for the Administration to enter into simultaneous negotiations with LAZ Florida Parking, LLC, and SP Plus Corporation to obtain the best service for the lowest total cost; and NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City Commission hereby rescind Resolution 2015-29124, and, pursuant to Request for Proposals No. 2015-146-YG for Parking Attendants for City Parking Garages, authorize the Administration to enter into simultaneous negotiations with LAZ Florida Parking, LLC and SP Plus Corporation to obtain the best service for the lowest total cost; and further direct the City Manager to place the results of the negotiations with SP Plus Corporation and LAZ Florida Parking, LLC, on the October 14,2015 City Commission agenda for selection of a proposer. PASSED AND ADOPTED this day of September 2015. ATTEST: Rafael E. Granado, City Clerk Philip Levine, Mayor 1040 RESOLUTION TO BE SUBMITTED 1041 RDA 1042 REDEVELOPMENI AGENCY ITEM SUMMARY Condensed Title: A resolution of the Chairperson and Members of the Miami Beach Redevelopment Agency, adopting and appropriating the Miami Beach Redevelopment Agency Capital Budget for Fiscal Year (FY) 2015t16, iect to bond issuance. and the Capital I Plan for FY 2015116-2019120 Ensure well designed quality capital projects -- lncrease Community Satisfaction with City Services Supporting Data (Surveys, Environmental Scan, etc.): Based on the 2014 community survey, recently completed capital projects were highly rated by both residents and businesses. ln the 2014 survey, arts and culture were identified as services the city should strive not to reduce; and availability of public parking, was one of the factors identified as key drivers of overall satisfaction levels. Item S ummary/Recommendation : The CIP was created as a plan for projects that require significant capital investment and is intended to serve as an official statement of public policy regarding long-range physical development in the City of Miami Beach and the Miami Beach RDA, establishing priorities for the upcoming five year period, FY 2015116 - 2019120. The first year of the CIP is recommended for approval as the FY 2015t16 Capitat Budget. The Proposed City Center RDA Capital Budget for FY 2015116 therefore totals $310,050,000 miilion, which is subject to bond issuance, and the Proposed FY 2015116 Capital Budget for the RDA Garage Fund totals $46,000. The FY 2015116 proposed Capital Budget includes: Miami Beach Convention Center Expansion & Renovation; Convention Center Lincoln Rd Connectors; 17th Street North lmprovements; Refurbishment of Lincoln Road pedestrian mallfrom Washington Avenue to LenoxAvenue; and the Bass Museum lnterior Board Recommendation: Financial lnformation : Source of Funds: Amount Account 1 $310,050,000 Proposed Future RDA Bonds (Subject to Bond lssuance) 2 $ 46,000 RDA Garage Fund OBP!Tota!$310,096,000 Financial lmpact Summary: Max Sklar and John Woodruff RDA , co6/ainJor Budget Director ^, A , ll AssistlDirector Execu ye Director MAS I L-/t .{ ,---JW \YUNI,,{. I T KGB ./ftn JLM (, T:\AGENDA\2014\September\September 30\RDA Capitat Budget Summary 14_15.doc AGEIiIDA ITEI. trATE (9 MIAMIBEACH 1043 g MIAMIBEACH City of Miomi Beoch, 1200 Convention Center Drive, Miomi Beoch, Florido 33,l39, www.miomibeochfl.gov COMMISSION MEMORANDUM Chairperson and Members of the DATE Jimmy L. Morales, Executive Director September 30, 2015 SUBJECT: A RESOLUTION OF THE CHAIRPER AND MEMBERS OF THE MIAMI BEACH REDEVELOPMENT AGENCY, ADOPTING AND APPROPRIATING THE MIAM! BEACH REDEVELOPMENT AGENCY CAPITAL BUDGET FOR FISCAL YEAR (Fy) 2015/16, SUBJEGT TO BOND ISSUANCE, AND ADOPT|NG THE CAPITAL IMPROVEMENT PLAN FOR FY 2015116 _2019120. ADM!NISTRATION RECOMMENDATION Adopt the Resolution. BACKGROUND Planning for capital improvements is an ongoing process; as needs change within the City's Redevelopment District ("RDA"), capital programs and priorities must be adjusted. The Capital lmprovement Plan ('ClP') serves as the primary planning tool for systematically identifying, prioritizing and assigning funds to critical City and RDA capitaldevelopment, improvements and associated needs. The RDA capital improvement plan process began in the spring when all departments are asked to prepare capital improvement updates and requests on the department's ongoing and proposed capital projects. lndividual departments prepare submittals identifying potential funding sources and requesting commitment of funds for their respective projects. The proposed document is reviewed by the City Manager, and upon approval, is submitted to the Finance and Citywide Projects Committee and the City Commission/Redevelopment Agency Board for final approval and adoption. The CIP was created as a plan for projects that require significant capital investment and is intended to serve as an official statement of public policy regarding long-range physical development in the City of Miami Beach. The CIP specifies and describes the City's capital project plan and establishes priorities for the upcoming five year period. lndividual projects within neighborhood areas have been combined to create "packages" of projects that address the neighborhood needs for infrastructure upgrades, traffic flow, enhancements, etc. This comprehensive approach minimizes disruptions and generates costs savings. The projects address many needs in different areas of the City including: neighborhood enhancements such as landscaping, sidewalk restoration, traffic calming, lighting, parking, waterand sewersystem improvements, drainage improvements and roadway resurfacing/reconstruction; park renovation and upgrades; and construction or renovation of public facilities. TO: FROM: Agency 1044 City Commission Memorandum Resolution Adopting FY 201 5/1 6 Capital Budget and FY 201 5/1 6 - 2019/20 CIP for the RDA September 30, 201 5 Page 2 The Administration is presenting the proposed FY 2015116 Capital Budget and the updated CIP for FY 2015116 -2019120, following a comprehensive review of the CIP to insure that the Plan accurately reflects all project budgets, funding sources and commitments, for adoption by the City Commission. ANALYS!S Capital lmprovement Plan The FY 2015116 -2019120 CIP for the City of Miami Beach and the RDA is a five year plan for public improvements and capital expenditures by the City and the RDA. This document is an official statement of public policy regarding long-range physical development in the City of Miami Beach and the RDA. The approved Capital lmprovement Plan has been updated to include projects that will be active during FY 2015116 -2019120. The Plan has been updated to include additionalfunding sources that have become available, changes in project timing, and other adjustments to ongoing projects as they have become better defined. Certain adjustments have been made to reflect projects that have been reconfigured, re-titled, combined with or separated from other projects and/or project groupings and are the result of a comprehensive review of the program to insure that our plan accurately reflects all project budgets, funding sources and commitments. Available Capital Funding Funding for capital projects in the City Center RDA will come from Proposed Future RDA Bonds and the RDA Garage Fund. Proposed RDA Capital Budget The City Center RDA FY 2015116 proposed Capital Budget, which is subject to bond issuance, includes: Bass Museum lnterior Space Expansion Convention Center Lincoln Rd Connectors & 17th St N. lmprovement Penn Ave to Wash Lincoln Rd / Washington Ave to Lenox Ave Convention Center Expansion & Renovation S3,75o,ooo S12,ooo,ooo S2o,ooo,ooo S274,3oo,ooo The RDA Garage Fund, which is separate because it is not part of the Tax increment funding of the RDA, has proposed capital needs totaling $46,000. CONGLUSION: The Administration recommends adoption of the attached Resolution, which establishes the Capital prudget for the RDA for FY 2015/16 and the Capital lmprovement Program for FY 2015t1ffi201et20. JLM/KGd/MAS T:\AGENDA\201S\september\september 30 Meeting\RDA\RDA capitat budget memo l5_16.doc 1045 RESOLUTION NO. A RESOLUTION OF THE CHAIRPERSON AND MEMBERS OF THE MIAM! BEACH REDEVELOPMENT AGENCY (RDA) ADOPTING AND APPROPRIATING THE MIAM! BEACH REDEVELOPMENT AGENCY CAPITAL BUDGET FOR FrscAL YEAR (FY) 2015/16, SUBJECT TO AND GONTTNGENT UPON ISSUANGE BY THE RDA OF TAX INCREMENT REVENUE BONDS (CrTy CENTER/HISTORIC coNVENTtON VILLAGE) (THE *SERIES 20{5 BONDS"}, AND ADOPTING THE CAPITAL IMPROVEMENT PLAN FOR FISCAL YEARS 2015/16 THROUGH 2019t20. WHEREAS, the 201 5116-2019120 Capital lmprovement Plan (ClP) forthe Miami Beach RedevelopmentAgency (RDA) is a five year plan for public improvements and capital expenditures by the RDA; and WHEREAS, the CIP is an officialstatement of public policy regarding long-range physical development in the City of Miami Beach; and WHEREAS, the Proposed Capital Budget for FY 2015116 itemizes project funds to be committed during the upcoming Fiscal Year detailing expenses for project components which include architects and engineers, construction, equipment, Art in Public Places, and other project costs; and WHEREAS, the proposed RDA Capital Budget for FY 2015116 totals $310,050,000 million and is subject to and contingent upon the issuance of the Series 2015 Bonds; and WHEREAS, the proposed RDA Garage Fund Capital Budget for FY 2015116 totals $46,000; and WHEREAS, the proposed projects to be appropriated with the FY 2015116 Capital Budget and the CIP for FY's 2015/16 through 2019120 are set forth in Attachment "A" which is attached hereto and incorporated herein by reference. NOW, THEREFORE, BE IT RESOLVED BY THE GHAIRPERSON AND MEMBERS OF THE MIAMI BEACH REDEVLOPMENT AGENCY, that the Chairperson and Members of the Miami Beach RedevelopmentAgency hereby adopt and appropriate the Miami Beach RDA Capital Budget for FY 2015116, subject to and contingent upon issuance by the Miami Beach Redevelopment Agency of the Series 2015 Bonds, and hereby adopt the Capital lmprovement Plan for FiscalYears 201 51 1 6 through 2019120. PASSED AND ADOPTED this 30thday of September, 2015. Philip Levine, Chairperson Attest: Rafael E. Granado, Secretary T:\AGENDAU0I5\September\September 30 Meeting\RDA\RDA Capital budget Reso l5_l6.doc APPROVED AS TO FORM & LANGUAGE & FOR EXECUTION vl6,u il,/u,,- de'ielopment Agency /_ Date 1046 oooooooo .uooooooooo<odooooodFs+o()000ro'orr)ooo NC.r.+OOdF-rNNCO oooooo oooooo oooooo oooooo oooooo oooooo 0) lt g) oo oN oN o) oN (, l\ oN (Ooooooooooooooooo F(o@OOOOOOA\t!to()OOOU) .i o- F-_ co- o- o- o- Nr)TtOOO FFN N6 (0 o6t t ==lo OYf;Eo3 =, l!1oi i-o.b3 oNo$(o o6t ooo (!q, o LI E e9SE IX E>ooo=BE E6 O :ooJ-<,i o9 EEB i:o>(, 5.!J<EA EgE:PEEEgEE,g.g: EEqEEPrfr>85.@!a>>QR= H 5 5 Ea- c0 o o =eo. -ts _oo. o)tr CIJJ €5s e> ==6 . ahEF A-Ao o-IJJ E or?(Do)O rS* -83 c9<i ot OE,6 =Bsu-rl= z IIJ =o cBsE$:EiIEEooXEoE.E-.E.IE€ltr 1047 THIS PAGE INTENTIONALLY LEFT BLANK 1048 MIAMI BEACH REDEVELOPMENT AGENCY ITEM SUMMARY Gondensed Title: A Resolution of the Chairperson and Members of the Miami Beach RedevelopmentAgency adopting and appropriating the operating budgets for the City Center Redevelopment Area, the Anchor Shops and Parking Garage and the Avenue Shoos and for Fiscal Year 2015116. The proposed budget for the City Center Redevelopment Area for Fiscal Year 2015116 has been prepared to coincide with the overall City budget process, and is being presented to assist in providing a comprehensive overview of the district. Additionally, the revenues and expenses associated with the operations of the Anchor Shops and Parking Garage as well as the Pennsylvania Avenue Shops and Garage are presented as separate schedules so as to eliminate any perception that proceeds from the Facility's operations are pooled with TIF and other Trust Fund revenues. Based on the 2015 Certificate of Taxable Value from the Property Appraiser's Office, the preliminary value of property in City Center is $4,821 ,643,185; an increase of 15o/o over 2014, marking the fifth year in a row values have increased following two years of decline. However, as in previous years, the City has received correspondence from the County, advising of the finalization of the tax roll for the prior year, which in the case of FY 2013114, reflects a decrease from the preliminary valuation for the same year and will result in a corresponding adjustmenUreduction in TIF revenues totaling $2,617,000 for 2015116, versus $2,291,000 for FY 2014115; $168,000 for 2013t14 and $3.5 miilion tor 2012t13. Additionalsourcesof revenueincludeaTzmilllevyintheamountof $2.1 million,tobesetasidefortheChildren'sTrust pursuant to an lnterlocal Agreement, dated August 16,2004 between the RDA, the City of Miami Beach and Miami- Dade County, and an estimated $60,000 in interest income. The total proposed FY 2014115 City Center Redevelopment Area Budget is $44,240,000. ln order to address the existing and future obligations of the Redevelopment Area, it is recommended that the Redevelopment Agency adopt the attached Resolution which establishes the operating budgets for the City Center Redevelopment Area, the Anchor Shops and Parking Garage and the Pennsylvania Avenue Shops and Garage for FY 2015t16. Enhance Beauty and Vibrancy of Urban And Residential Neighborhoods; Focusing on Cleanliness, Historic Assets, ln Select Neighborhoods And Redevelopment Areas. Data (Surveys, Environmental Scan, etc.): One out of ten residents (10%) feels the best way to improve the overall quality of life in Miami Beach is to increase City beautification and cleanliness. Item S ummary/Recommendation : Financial lnformation : Source of Funds: Amount Account 1 $44,240,000 City Center Redevelopment Area Fund 2 $ 4,927,000 Anchor Shops and Parking Garage Operations 3 $ 1,685,000 Pennsylvania Avenue Shops and Garage Operations OBPI Total $50,852,000 Financial lmpact Summary: Clerk's Office Max Sklar and John Woodruff AGENDA ITEII DATEE MIAMIBEACH 1049 r915.2015 City of Miomi Beoch, 1700 Convention Center Drive, Miomi Beoch, Florido 33,l39, www.miomibeochfl.gov COMMISSION MEMORANDUM TO: FROM: DATE: SUBJECT: Mayor Philip Levine and Members the City Jimmy L. Morales, City Manager September 30, 2015 A RESOLUTION OF THE CHAIR AND MEMBERS OF THE MIAMI BEACH REDEVELOPMENT AGENCY, ADOPTING AND APPROPRIATTNG THE OPERATING BUDGETS FOR THE CITY CENTER REDEVELOPMENT AREA THE ANCHOR SHOPS AND PARKING GARAGE AND THE PENNSYLVANIAAVENUE SHOPS AND GARAGE FOR FTSCAL YEAR (Fy) 2015/16. ADMINISTRATION REGOMMENDATION Adopt the Resolution. ANALYS!S The proposed budget for the City Center Redevelopment Area (RDA) for Fiscal Year 2015t16 has been prepared to coincide with the overall City budget process, and is being presented today to assist in providing a comprehensive overview of the district. Please refer to the attached Exhibit A for the proposed budget details. Revenues Based on the 2015 Certificate of Taxable Value from the Property Appraiser's Office, the preliminary value of property in City Center is $4,821,643,185; an increase of 15% over 2014, marking the fifth year in a row values have increased following two years of decline. However, as in previous years, the City has received correspondence from the County, advising of the finalization of the tax roll for the prior year, which in the case of FY 2013114, reflects a decrease from the preliminary valuation for the same year and will result in a corresponding adjustmenUreduction in TIF revenues totaling $2,617,000 for 2015/16, versus $2,291 ,000 for FY 2014115; $168,000 for 2013114 and $3.5 million for 2012t13. Additional sources of revenue include aTzmill levy in the amount of $2.1 million, to be set aside for the Children's Trust pursuant to an lnterlocal Agreement, dated August 16,2004 between the RDA, the City of Miami Beach and Miami-Dade County; and an estimated $60,000 in interest income. Expenditures Project-related expenses account for approximately $10.6 million, which includes 94.5 million to be allocated for community policing initiatives in the City Center to continue providing enhanced levels of staffing and services throughout the area, and $5.9 million for maintenance of RDA capital projects. 1050 Redevelop me nt Age ncy Me m o rand u m Operating Budget for City Center for FY 2015/16 September 30, 2015 Page 2 of 3 Administrative Expenses total $1,223,000 comprising a management fee of $982,000 which is allocated to the General Fund to pay for direct and indirect staff support for the RDA; $241,000,000 for actual operating expenses; and $25,000 for capital renewal and replacement projects under $25,000. lt should be noted that the Management Fee allocation is reflective of actual city resources applied to the operation of the RDA, as supported by the RSM McGladrey Cost Allocation Study, dated July 20, 2009. lt should further be noted that Administrative and Operating expenses account for less than three percent (2.8%o) of the total budget, which is well below the29o/o threshold level established (and permitted) in the lnterlocalAgreement between the City and the County. Per the Third Amendment to the lnterlocal Agreement between Miami Dade County and City of Miami Beach dated January 20, 2015, requires the Agency's expenses for Administration, Community Policing, and Capital Expenses not exceed the prior year's distribution for such expenses adjusted by the lesser of the Miami Urban Area CPI from July to June or 3 percent. The CPI increase from2014to2015 was 1.2o/o andthe FY 2015116 budget includes an increase to these expenses of 1.2o/o. The current combined debt service on the 2005 Series Bonds and the Parity Bonds accounts for approximately $8.S million annually. City Center also continues assuming debt service payments on the portion of the Gulf Breeze Loan used to pay for the Bass Museum expansion and renovation, and the portion of the Sunshine State Loan Program used for Lincoln Road improvements, which collectively account for approximately $1.3 million. The FY 2015t16 budget also includes $2.1 million for the first year of interest payment and debt issuance cost of the proposed new RDA bond. Reserve line item expenditures include those items that, pursuant to the existing Bond Covenants, may only be expended once the annual debt service obligations have been met. These include the County's administrative fees, equivalent to 1 .5o/o of its respective TIF payment; and the corresponding contribution to the City's General Fund, equivalent to 1.5o/o of the City's share of its TIF payment; and the remittance of the %mill tax levy back to the Children's Trust. ln addition, the proposed budget includes $17,723,000 in funding towards the new debt service anticipated for the remaining projects in the City Center Capital Plan, as well as for $274 million in debt for the Convention Center Expansion and Renovation Project, consistent with the terms being negotiated with Miami-Dade County. The revenues and expenses associated with operations of the City Center area Shops and Garages are presented as separate schedules in orderto eliminate any perception that proceeds from the facilities' operations are pooled with TIF and other Trust Fund revenues: Anchor Shops and Parking Garage Garage revenues at the Anchor Garage are projected at approximately $4 million, with operating expenses, (including depreciation, contractual revenue-sharing obligations with Loews and general fund administrative fees) of approximateV $g.Z million, and an allocation of $46,000 for window replacement in the facility. The Anchor retail operations is expected to generate $847,000 in revenues, including interest, with operating expenses and depreciation totating $265,000, as well as projected reserves of $56,000. Additionally, $526,000 in transfers to the Pennsylvania Avenue Garage/Retail is budgeted to offset the RDA's estimated costs associated with the retail and parking operations. Pennsylvania Avenue Shops and Garage ln consideration of the fact that the Pennsylvania Avenue Shops and Garage was built by the 1051 Redevelop me nt Ag e ncy M e mora nd u m Operating Budget for City Center for FY 2015/16 September 30, 2015 Page 3 of 3 RDA on City-owned property, the operation of the facility has been structured in the form of a ground lease between the City and the RDA, providing terms for both the Garage and Retail operations. The garage operations include base rent and an administrative fee, consistent with that of the Anchor Garage, Parking's operational fee, and revenue sharing between the City and the RDA. The Retail operations also include base rent and an administrative fee, as well as a retail lease rate based on2010 retail market cap rates. The retail operations also include revenue sharing between the City and the RDA. The facility is anticipated to generate $1 ,108,000 in revenues in FY 2015/16, comprising totally of parking revenues. ln light of the fact that the retail space is currently not rented, we have taken the conservative approach of not projecting retail rental income. The facility is still anticipated to operate at a loss during FY 2015/16, so the Anchor Garage/Retail plans to subsidize its operations through a transfer of $526,000 to the parking operations. Expenses for the facility are budgeted at $1.6 Million, comprising $1,158,000 in direct operating costs for the garage and $527,000 in lease term-related obligations. CONCLUSION The proposed FY 2015116 City Center RedevelopmentArea Budget is$44,240,000. TheAnchor Garage & Shops is $4,927,000 and the Pennsylvania Avenue Garage & Shops is $1,685,000. ln order to address the existing and future obligations in the Redevelopment Area, it is recommended that the Redevelopment Agency adopt the attached Resolution, which establishes the operating budgets for the City Center Redevelopment Area, the Anchor Shops and Parking Garage, and the Pennsylvania Avenue Shops and Garage for Fy 201st16.ttw JLM/KqBIMAS T:\AGENDA\201s\September\September 30 Meeting\RDA\16-MEMO-2nd pH-RDA Budget.doc 1052 RESOLUTION NO. A RESOLUTION OF THE CHAIRPERSON AND MEMBERS OF THE MIAMI BEACH REDEVELOPMENT AGENCY ADOPTING AND APPROPRIATING THE OPERATING BUDGET FOR THE CITY CENTER REDEVELOPMENTAREA, THE ANCHOR SHOPS AND PARKING GARAGE, AND THE PENNSYLVANIA AVENUE SHOPS AND PARKING GARAGE FOR FISCAL YEAR 2015116. WHEREAS, the proposed City Center Redevelopment Area Budget has been prepared to coincide with the overall City budget process; and WHEREAS, the proposed City Center Redevelopment Area Budget reflects anticipated construction project costs in addition to operating and debt service costs for Fiscal Year 2015t16; and WHEREAS, the proposed budgets for the Anchor Shops and Parking Garage and the Pennsylvania Avenue Shops and Garage have been included as separate scheduleJto the City Center RedevelopmentArea Budget, reflecting projected revenues and operating expensesforthe fiscal year; and WHEREAS, the Executive Director of the Miami Beach Redevelopment Agency recommends approval of the proposed Fiscal Year 2015/16 budgets for the City Center Redevelopment Area, as well as for the Anchor Shops and Parking Garage and the Pennsylvania Avenue Shops and Garage. NOW, THEREFORE, BE IT DULY RESOLVED BY THE CHAIRPERSON AND MEMBERS OF THE MIAMI BEAGH REDEVELOPMENTAGENCY, thatthe Chairperson and Members hereby adopt and appropriate the operating budget for the City Center Redevelopment Area, the Anchor Shops and Parking Garage, and the Pennsylvania Avenue Shops and Garage for Fiscal year 2015116, as follows: PASSED AND ADOPTED this 30rH day of September,2OlS. City Center Redevelopment Area Anchor Garage Parking Operations Anchor Garage Retail Operations Pennsylvania Avenue Garage Parking Operations Pennsylvania Avenue Garage Retail Operations $44,240,000 $4,080,000 $847,000 $1 ,158,000 $527,000 Philip Levine, Ghairperson APPROVED AS TO FORM & LANGUAGE & FOR EXECUTION ATTEST: Rafael E. Granado, Secretary 1053 MIAMI BEACH REVETOPMENT AGENCY CITY CENTER REDEVETOPMENT AREA To ossure continued economic viobility of the City o whole, through the implementotion of the Redevelopment Plon ond the omendment thereto. To incur minimum relocotion ond condemnotion. Center Redevelopment Areo ond the City os obiectives ond proiects defined in the To involve community residents in the redevelopment process. To estoblish the necessory linkoges to tie in the Convention Center, oreo hotels, culturol omenities, entertoinment, residentiol ond business uses in the district. To enhonce diversity of form ond octivity through the use of estoblished plonning ond design principles. To creote o troffic system to serve locol ond through troffic needs. To recognize the historic structures ond designotions within the historic districts ond focilitote development occord in gly. Stotus Report The 332-ocre City Center/Historic Convention Villoge Redevelopment ond Revitolizotion Areo (CC/HCVRRA or City Center) wos estoblished in 1993, in order to provide the funding mechonism to foster the development of new convention hotel development within proximity of the Miomi Beoch Convention Center ond to estoblish the necessory linkoges between the City's mony core oreo civic, culturol ond entertoinment uses in order to creote the fobric of o true urbon downtown. Since its inception, the City Center Redevelopment Areo hos undergone dynomic chonge through o combinotion of public ond privote investment initiotives. 1054 MIAMI BEACH REVELOPMENT AGENCY CITY CENTER REDEVELOPMENT AREA Exciting proiects which hove tronsformed the oreo include: . Two convention-quolity hotels, both of which were the result of publicr/privote portnerships between the Redevelopment Agency (RDA) ond the respective Developers - the 8OO-room Loews Miomi Beoch Hotel ond the 425-room Royol Polm Crowne Plozo Hotel, the lotter of which hod the distinction of being the first Africon-Americon owned hotel in the United Stotes; . The development of on 800-spoce public porking goroge {Anchor Goroge) to occommodote the porking needs for the Loews Miomi Beoch Hotel, the Crowne Plozo Hotel ond other seryice ond retoil businesses in the oreo; . ln I 994 o $20 million overhoul of Lincoln Rood, portiolly funded with the porticipotion of businesses on Lincoln Rood; An oword-winning Beochwolk extending from 2l st Street to Lummus Pork, comprising on ot-grode, londscoped pedestrion wolkwoy; lmplementotion of o Culturol Arts Compus Moster Plon for the oreo eost of the Miomi Beoch Convention Center, which includes o new regionol librory, the heodquorters of the Miomi City Bollet, the exponsion ond renovotion of the Boss Museum of Art, the re-londscoping of Collins Pork, including the restorotion of the Rotundo ond extensive streetscope improvements throughout the oreo. The completion of the much herolded New World Compus, including the new stote-of-the ort Gehry- designed heodquorters focility for the New World Symphony ond two publicly-funded components, including o $,l5 Million municipol Gehry- designed porking goroge ond o $2.l Million worldcloss pork. 1055 MIAMI BEACH REVELOPMENT AGENCY CITY CENTER REDEVETOPMENT AREA Other importont proiects include the 650- spoce mixed-use porking focility built on the surfoce porking lot on the west side of City Holl, which includes 35,000 squore feet of municipol office spoce; the implementotion of moior street ond infrostructure improvements throughout City Center, volued ot more thon $26 Million; ond the ocquisition ond of three multiJomily buildings (Borcloy, Allen House, The London House) to mointoin the stock of offordoble housing in the oreo. Tox lncrement Finoncing (TlF) through the sole of bonds hos been o moior tool for finoncing redevelopment octivities. To dote, four bond issues hove occurred in Ciiy Center: one in 1994 for $25 million, to ocquire lond for the hotel development initiotives; one in 1996, in the omount of $ll.Z million to fund controctuol obligotions ond copitol improvements reloted to the Loews Hotel ond Crowne Plozo Hotel proiects; one in .l998, in the omount of $38.2 million to finonce copitol expenditures reloted to the convention hotel proiects, the Culturol Compus proiect ond to repoy the $2.| .5 million debt obligotion to the City; ond the most recent, which occurred in 2005, in the omount of $80.2 million to refinonce the outstonding debt service on prior bond issues. The City ond Redevelopment Agency's commitment to upgroding ond improving the oreo's infrostructure, oddressing porking ond circulotion issues, ond focilitoting new development hos fueled significont new privote-sector investment in the oreo, evidenced by more thon $OOO million in new building permit octivity since the oreo's inception. Work Plon Since its success in ottrocting two convention-quolity hotels, the Redevelopment Agency hos been focusing its efforts on o number of initiotives oimed ot upgroding the oreo's infrostructure, streets ond porks, ollevioting troffic ond porking congestion ond encouroging the production ond presentotion of orts ond culturol octivities in the oreo. ln 2003, the Redevelopment Agency omended its Redevelopment Plon for City Center to specificolly oddress these oblectives in the context of the New World Symphony's exponsion plons involving the 'lZ'h Street surfoce lots ond the resulting impoct to the Convention Center ond businesses in the oreo. To this end, the Redevelopment Agency's mission is to coordinote, implement ond fund the Plon's obiectives ond to compliment the City's estoblished vision: 1056 MIAMI BEACH REVELOPMENT AGENCY CITY CENTER REDEVETOPMENT AREA . Policing Culture; Monogement ond Service Delivery; lnfrostructure; o lnternotionol Center for Tourism ond Business; ond . EducotionolExcellence. The Redevelopment Agency's obiective over the next five yeors will focus on the plonning ond implementotion of copitol proiects ossocioted with, but not limited to the Moster Plon for the exponsion of the Convention Center, upgroding streetscopes ond reloted infrostructure throughout City Center ond increosing the inventory of porking focilities, including the pending construction of o new 450-spoce porking goroge to be locoted on 23'd street ond Collins Avenue, designed by world-renowned orchitect Zoho Hodid. The RDA will olso continue to fund public service enhoncements provided for under the Community Policing Progrom os well os ensure the on-going mointenonce of copitol ossets funded with TlF. lt should be noted thot fhot o moiority of the copitol enhoncements set forth in the Redevelopment Plon ond lhe 2OO2 Amendment thereto, hove been completed including the City Center Right-of-Woy improvements, the City Holl Exponsion Goroge, the Collins Pork improvements ond the development of the 'lZ'h Street surfoce lots into the New World Compus. Miomi Beoch Convention Cenler Renovotion ond Exponsion Sponning four city blocks ond locoted in the heort of South Beoch, the Miomi Beoch Convention Center (MBCCI currently occommodotes meetings, conventions, trodeshows ond consumer shows. The Convention Center originolly opened in 1957 ond received o moior exponsion ond focelift in 1989, doubling it in size. Currently the MBCC boosts over I ,000,000 SF of flexible spoce, including; over 500,000SF of exhibit spoce, ond over l00,00OSF of versotile pre-function oreo spoce ond70 meeting rooms comprised of 122,000SF. The exponsion ond renovotion of the Miomi Beoch Convention Center proiect will tronsform the building to "Closs A" stondords which sholl include Silver LEED certificotion upgrodes ond enhonced technology. The design modificotions will include the re-orientotion of the exhibit holls, fogode upgrodes, site improvements olong the conol, ond olong oll roodwoys, the oddition of o grond bollroom, junior bollrooms ond meeting rooms, ond two levels of rooftop porking. The interior renovotion work focuses on the redistributed division of the four moin exhibition holl sPoces, ond the odditionol progromming of more flexible orrongements of privote meeting rooms ond odditionol indoor/outdoor versotile exhibition spoces. Currently, the four moin exhibit holls ore divided into quodronts-two occessible solely from Woshington Avenue (Holls A ond B) ond the other two solely occessed from Convention Center Drive (Holls C ond D). The new Convention Center re-orients the holls in on Eost/West direction with the primory occess from Convention Center Drive leoding into o new grond, open double height entry lobby.Woshington Avenue will serye os o secondory meons of pedestrion entry. 1057 MIAMI BEACH REVETOPMENT AGENCY CITY CENTER REDEVETOPMENT AREA The proiect will olso include substontiol improvements to the north of the property. The new oddition ot the northern portion of the property feotures on enclosed ground floor porking oreo ond truck looding ond delivery oreo. Above this, o 60,000 squore foot grond bollroom is proposed offering vistos of the beoutified 2l't Street Pork thot will spon olong Collins Conol ond feoture the to-be-restored Historic Corl Fisher Clubhouse. This oddition will creote o new internolized looding oreo ond will include iwo helix romping entronce occesses to the roof level porking. The Woshington Avenue elevotion will become predominotely pedestrion in noture with the eliminoiion of the visitor drop-off ond cob cueing oreos. The streetscope modificotions will include o green edge olong the ovenue with notive shode trees to promote o more pedestrion friendly experience. Convention Center Drive will in turn become the moin occess point for vehiculor occess ond for the visitor drop-off oreo. Modificotions will include o new medion olong Convention Center Drive ond '19'h Street creoting o more sophisticoted streetscope ond o more celebroted boulevord experience. The Conol wolk will be substontiolly improved ond will creote o softer northern edge to the MBCC. The proiect olso includes the demolition of the existing Recreotion Center olong Woshington Avenue ond the creotion of o neighborhood pork. Another orchitecturol feoture of the proiect is the proposed rooftop indoor ond outdoor meeting spoce locoted in the southwestern corner of the roof. This will offer the potrons exponsive views out onto the new Civic pork proposed to reploce the surfoce porking lot. ln ossociotion with the renovotions to the Miomi Beoch Convention Center, o new urbon pork, dining povilion ond Veterons Plozo is being creoted to reploce o surfoce porking lot thot currently contoins spoces for opproximotely 800 vehicles. Convention Center Pork hos been envisioned os o neighborhood pork. The pork includes o series of six clustered 'shoded edges' thot will line the perimeter of the 6-ocre pork ond surround on internol greot flexible lown. Heodquorler Holel On Jonuory 27, 2Ol5, the City Commission outhorized the issuonce of Request for Proposols No. 20.l5-.l03-ME (the RFP) for the Development of o Convention Heodquorter Hotel Adiocent to the Miomi Beoch Convention Center ("MBCC"). On April 1O,2015, the City received proposols from Portmon Holdings, LLC ond Oxford Copitol Group/RLB Swerdling ("Oxford Copitol"). On April 21,2015, the City Monoger notified Oxford Copitol thot its proposol wos not responsive to the RFP's minimum requirements. On Apri|29,2015, the City Monoger, vio Letter to Commission (LIC) No. 176-2015, oppointed on Evoluotion Committee, which convened on Moy 7,2015, to interview the Portmon Holdings teom ond score the proposol, consistent with the evoluotion criterio outlined in the RFP. On Moy 20,2015, the Moyor ond City Commission opproved Resolution No. 20,l 5-29029, outhorizing the Administrotion to negotiote o Development ond Ground Leose Agreement, including o Room Block Agreement (collectively, the "Leose") with Portmon Holdings, LLC, with soid Leose subiect to prior opprovol by the Moyor ond City Commission before the finol execution 1058 MIAMI BEACH REVETOPMENT AGENCY CITY CENTER REDEVELOPMENT AREA thereof. On June 3,2015, the Administrotion submitted the proposed Leose for the Finonce ond Citywide Proiects Committee's review ond input, in occordonce with the requirements of Section 82-37loll1) of the City Code. The City Commission opproved the Ground Leose on First Reoding ond Public Heoring on July 31 ,2015 ond is scheduled to heoring the item on Second Reoding on September2,2Ol5. The Leosed Property generolly consists of on opproximolely 2.65 ocres on the lZO0 block of Convention Center Drive, bounded roughly by the Miomi Beoch Convention Center to the North, I Zth Street to the South, the Fillmore Miomi Beoch ot the Jockie Gleoson Theoter to the Eost, ond Convention Center Drive to the West. The proiect includes the development, design, construction, equipping ond operotion of o full-service convention heodquorter hotel with opproximotely (but not-to-exceed) 800 hotel rooms ond reloted improvements ("Hotel"), including the design, construction ond operotion of on enclosed overheod pedestrion wolkwoy or "skybridge" connecting the Hotel ond the MBCC. The Leose is contingent upon sixty percent (60%) voter opprovol in occordonce with Section L03(b)(3) of the City Chorter. The referendum is contemploted to occur on November 3, 2O15. lf the site is developed with o hotel onnuol (yeor 4) leose ond tox revenue generoted is estimoted to be $20.4 million. Ancillory Proiects Boss Museum lnterior Spoce Exponsion: Renovotion of Boss Museum interior to increose progrommoble spoce by 47%, with on estimoted cost of $3,250,000. Convention Center Lincoln Rd Connectors & I Zth St N. lmprovement Penn Ave to Wosh: Enhonce the pedestrion experience from the Conveniion Center complex to Lincoln Rood olong Drexel Avenue, Pennsylvonio Avenue ond Meridion Avenue. Work to consist of new lighting, sidewolk reconstruction, street furnishings, londscoping, heolthy tree fertilizotion systems, rood reconstruction, cross wolk enhoncements. lmprovements to I Zth Street from Pennsylvonio Avenue to Woshington Avenue will consist of londscoping, irrigotion, pedestrion lighting ond sidewolk replocement. This proiect hos on estimoted cost of $12,000,000. Lincoln Rd / Woshington Ave to Lenox Ave: Refurbishment of Lincoln Rood pedestrion moll from Woshington Avenue to Lenox Avenue. Work to consist of new lighting, refurbishing pedestrion surfoces, street furnishings, heolthy tree fertilizotion systems, milling ond resurfocing povement surfoces ond cross wolk enhoncements. This proiect hos on estimoted cost of $20,000,000. 2014 City Center Plon Amendment (Third Amendment) The City ond County ogreed to terms of o third omendment to the City Center RDA (the Third Amendment), which extended the life of the City Center RDA from FY 2022-23 to FY 2043/44 ot the 95 percent 195%l tox increment funding level. This ollows the RDA to fund, through the issuonce of CRA bonds, the odditionol funding needed for construction costs of the new ond exponded Convention Center ond io fund $36 million of previously opproved City Center RDA 1059 MIAMI BEACH REVETOPMENT AGENCY CITY CENTER REDEVETOPMENT AREA copitol proiects (described obove), provide increosed operoting ond mointenonce expenses for the Convention Center, os well os City Center RDA odministrotive costs, community policing, ond copitol proiect mointenonce within the RDA. However, otter FY 2022/23, when the existing RDA would hove expired, City returns o pro-roto shore of odministrotive costs, community policing, ond copitol project mointenonce to the Couniy. The Third Amendment olso includes o provision which ollows the Boord of County Commissioners the right, in its sole ond obsolute discretion, to oppoint o member of the Agency, who sholl be the Commissioner of County Commission District 5. Pursuont to on existing Convention Development Tox (CDT) lnterlocol ogreement, the City receives o flot $4.5 million per yeor from Convention Development Toxes to operote ond mointoin the Convention Center, plus on onnuol yeor-end revenue shore bosed on CDT exceeding collection omounts thot increose eoch yeor. The Third Amendment ollowed for on odditionol onnuol operoting ond mointenonce subsidy storting ot $l million in 2017 ond growing to $4 million by 2021 , which will then escolote ot 4 percent or Consumer Price lndex (CPl) onnuolly (whichever is less) stortingin 2026 over the life of the Convention Center, funded either through RDA funds or through Convention Development Toxes, depending on the ovoilobility of the lotter. Thot funding will remoin in ploce until 2048. Finolly, once the currently existing debt is refinonced, the Third Amendment exempts the Children's Trust, on independent toxing district, with respect to the pledging of onnuol tox increment revenues ottributoble to The Children's Trust, to conform with the generol exemption provided to The Children's Trust in Section 2-1742 of the Miomi-Dode County Code. Budget Highlights . Bosed on the 2015 Certificote of Toxoble Volue from the Property Approiser's Office, the preliminory volue of property in City Center is estimoted to increose by 15.2% over 2014, prior to oppeols ond odjustments, morking the 5'h yeor in o row thot volues ore bock on the rise. However, os in previous yeors, the City hos received correspondence from the County, odvising of the finolizotion of the tox roll for the prior yeor, which in the cose of FY 20l 3/14, reflects o significont decreose from the preliminory voluotion for the some yeor ond will result in o corresponding odiustment/reduction in TIF revenues totoling $Z.O Mlllion for 20,l 5/16. . Additionol sources of revenue include o Vz mill levy in the omount of $2.,l5 million, to be sei oside for the Children's Trust pursuont to on lnterlocol Agreement, doted August 16,2004 between the RDA, the City of Miomi Beoch ond Miomi-Dode County; ond on estimoted $60,OOO in interest income. o Prolect-reloted expenses occount for opproximotely $tO.a million which includes $4.4 million to be ollocoted for community policing initiotives in City Center to continue to provide enhonced levels of stoffing ond services throughout the oreo, ond $6 Million for mointenonce of RDA copitol proiects. There is no odditionol funding for on-going ond plonned copitol 1060 MIAMI BEACH REVETOPMENT AGENCY CITY CENTER REDEVETOPMENT AREA proiects in City Center in the FY 2015/16 Budget due to the RDA extension for the renovotion ond exponsion of the convention center. Administrotive Expenses totol $t,20t,000, comprising o monogement fee of $960,000 which is ollocoted to the Generol Fund to poy for direct ond indirect stoff support for the RDA; opproximotely $40,000 set oside for on-going plonning ond consulting work reloted to the Convention Center exponsion moster plon; ond $8,000 for copitol renewol ond replocement proiects under $25,000. $Zg.S million is budgeted in Reserve for Contingency/Debt Service to cover debt service costs reloted to the Convention Center bonds. The bonds ore onticipoted to be sold in November, 20.l5 ond it is onticipoted thot there will be ot leost one interest poyment during FY 2015/16. The necessory debt seryice omount will be moved from the Reserve to Debt Service once the finol debt service schedule is determined. Debt service poyments on both principol ond interest will commence in FY 20.l 6/17. Funds in this reserye over ond obove the onnuol debt poyment con be used to finonce ony potentiol shortfolls in the RDA fund or poy down the Convention Center bonds eorly, but not prior to FY 2023/24. City Center olso conlinues ossuming debt service poyments on the portion of the Gulf Breeze Loon used to poy for the Boss Museum exponsion ond renovotion, ond the portion of the Sunshine Stote Loon Progrom used for Lincoln Rood improvements, which collectively occount for opproximotely $1.3 million ond will be poid off in FY 20.l 5/16. Reserve line item expenditures include those items thot, pursuont to the existing Bond Covenonts, moy only be expended once the onnuol debt service obligotions hove been met. These include the County's odministrotive fees, equivolent to 1 5% of its respective TIF poyment; ond the corresponding contribution to the Clty's Generol Fund, equivolent to I .5% of the City's shore of its TIF poyment; ond the remittonce of the Yz mill tox levy bock to the Children's Trust. 1061 Miami Beach Redevelopment Agency City Center Redevelopment Area Proposed FY 2015116 Operating Budget FY 2012t13 Actual FY 2013114 Actual FY 2014115 Adopted Budget FY 2015116 Variance Proposed From FY 14115 $ 19,188,399 $ (1,870,542) 14,817,619 (1,633,395) 5,546,756 1,570,405 27,925 0 19,934,948 $ (94,491) 15,991,409 (73,641) 5,885,927 1,698,337 90,904 0 21,43s,000 $ (1,225,000) 17,400,000 (1,066,000) 0 1,850,000 25,000 24,56s,000 $ (1,4s2,000) 20,080,000 (1,165,000) 0 2,152,000 60,000 0 0 0 3,130,000 (227,000) 2,680,000 (e9,000) 0 302,000 35,000 0 0 ('100.000) 00 0 0 999.791 114.748 100.000 $ 38,646,958 $ 43,548,140 $ 38,519,000 $ 1,043,000 71,006 0 o 1,701 655 0 175 972,000 $ 0 50,000 1,000 2,000 1,000 1,000 2,000 60,000 23,000 213,000 25,000 53.000 44,240,000 $ 982,000 $ 0 50,000 1,000 2,000 1,000 1,000 2,000 60,000 23,000 40,000 8,000 53,000 5,721,000 10,000 0 0 0 0 0 0 0 0 0 (173,000) (17,000) 0 976,000 $ 46,614 0 0 1,563 753 0 200 128,729 56,028 20,500 21,000 529,447 32,487 98,655 24,141 108.143 79.645 Revenues and Other Sources of lncome Tax lncrement - City Proj Adjustment to City lncrement Tax lncrement - County Proj Adjustment to County lncrement 50% Contribution from Resort Tax ' 1 P Mil Children's Trust Contribution lnterest lncome Fund Balance Fund Balance Renewal and Replacement Other lncome/Adjustments: TOTAL REVENUES Admin/Operating Expenses Management fee Salaries and Benefits Advertising & promotion Postage & mailing Office supplies & equipment Other Operating Meetings & conferences Dues & subscriptions Licences & Taxes Audit fees Professional & related fees Repairs and Maintenance lnternal Services Total Admin/Operating Expenses Project Expenses Community Policing Capital Projects Maintenance: Code Property Mgmt Sanitation Greenspace Parks Maintenance Transfer to Penn Garage Parking Transfer to Penn Garage Retail Transfer to Renewal and Replacement Transfer to Capital Projects Total Project Expenses Reserves, Debt Service and Other Obligations Debt Service Cost - 2005 + Parity Bonds City Debt Service - Lincoln Rd Project City Debt Service - Bass Museum Reserve for County Admin Fee Reserve for CMB Contribution Reserve for Children's Trust Contribution Reserve -Prior Year Fund Balance/Future Capital Projects Repayment-Prior Yr Fund Balance Reserve Debt Service/ Contingency Total Reserves, Debt Service and Other Obligati< TOTAL EXPENSES AND OBL]GATIONS REVENUES. EXPENSES 1,U4,435 $ $ 3,702,342 $ 0 1,061,027 2,536,108 556,555 0 225,055 0 705,000 14.238.000 1,396,016 $ 4,019,542 $ 68,527 937,890 2,905,911 774,512 0 142,765 0 67,000 16.56't.28s 4,522,000 174,000 1,392,000 3,061,000 896,000 274,000 0 0 0 0 4,502,000 182,000 1,319,500 3,339,000 864,500 432,000 0 0 0 0 1,403,000 $ 1,223,000 $(180,000) (20,000) 8,000 (72,s00) 278,000 (31,500) 158,000 0 0 0 0 $ 23,024,087 $ 8,524,O81 785,000 503,000 197,718 260,774 1,570,405 8,533,'119 825,000 547,000 238,767 297,607 't,698,337 8,432,000 832,000 548,000 245,000 303,000 1,850.000 14.587.000 $ 10,550,000 $ 806,000 516,000 284,000 347,000 2,152,000 0 0 17.723.000 320,000 2,1 1 8,000 (26,000) (32,000) 39,000 44,000 302,000 (0) (0) 3.136.000 25,477,431 $10,319,000 $ 10,639,000 $ 0 0 0 0 0 0 0 0 $ 11,840,978 $12,139,829 $ 26,797,000 $ 32,379,000 $5,581,000 $ $ 36,709,500 1,937,458 39,013,275 4,534,864 38,519,000 (0) 44,240,000 (0) 5,721,000 (0) $ $ $ $ $ $ $ $ 1062 Proposed FY 201 5/1 6 Anchor Shops and Parking Garage Operating Budget FY 2012113 Actual FY 2013114 Actual FY 2014t1s Adopted FY 2015/16 Variance Proposed From FY'14/15 3,365,518 $ $o 766,10s 33.480 3,747,955 $ $o 845,905 75,554 3,518,000 $ 1,973,000 876,000 28,000 4,026,000 0 817,000 84,000 508,000 (1,973,000) (59,000) 56,000 $ $ $ $ Revenues: Parking Operations Parking Fund Balance Retail Leasing lnterest Pooled Cash TOTAL REVENUES Operating Expenses: Parking Operations Garage Use Fee (To Loews) Garage Repairs and Maintenance Garage Depreciation Retail Leasing Operating Retail Leasing Repair & Maintenance Retail lntemal Service Charges Retail Operations Depreciation Admin Fee to General Fund Parking Operations Admin Fee to GF Retail Leasing Admin Fee to GF Transfers Transfer to Renewal and Replacement Transfer to Capital Projects/RDA Garages Transferto RDA Retail Reserve for Future Capital - Parking Operations Reserve for Future Capital - Retail Operations TOTAL EXPENSES REVENUES. EXPENSES 4,165,103 $ 2,062,967 $ 570,038 106,281 0 52,109 0 35,232 55,396 223,000 14,000 0 0 0 0 0 0 4,669,414 $ 1,452,223 $ 669,88'l 18,227 457,716 u,232 0 20,000 55,396 224,000 0 0 0 0 0 0 0 6,395,000 $ 1,689,000 $ 591,000 128,000 470,000 32,000 2s,000 19,000 55,000 224,000 10,000 0 650,000 2,407,000 0 0 9s,000 4,927,000 $(1,468,000) 32,000 72,000 0 0 35,000 75,000 5,000 0 6,000 (3,000) 0 (650,000) (2,361,000) 526,000 822,000 (27,000) 1,721,000 663,000 128,000 470,000 67,000 100,000 $24,000 $55,000 230,000 7,000 $o $o 46,000 526,000 822,000 68,000 $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ 3,119,023 1,046,080 2,931,676 1,737,738 6,395,000 $ 0$ 4,927,000 $ 0$ (1,468,000) 0 Proposed FY 2015116 Pennsylvania Ave Shops and Garage FY 2012J13 FY 2013114 FY 2014115 Actual Proiected AdoPted FY 2015n4 Proposed Variance From FY 14/15 $ 702,181 $ 371,640 0 812,922 $ 703,000 $627,000 640,000 00 1 ,108,000 $ 526,000 47,000 4,000 405,000 (640,000) 526,000 (291,000) 4,000 225,055 142,765 338,000 1.044 2,983 Revenues: Parking Operations Retail Leasing Retail Transfer ln Parking Transfers ln lnterest Pooled Cash TOTAL REVENUES Operating Expenses: Parking Operations Expenditures Parking Base Fee Parking Base Rent Addt'l/Percentage Rent Garage Management Fee/ Admin Fee to GF Retail Additional Base Rent Retail base Rent Retail Admin Fee Depreciation Leasing Commissions & Operating Admin Fee (GF) Retail Contingency TOTAL EXPENSES REVENUES. EXPENSES $ 1,299,920 $ 1,585,670 $ $ 729,259 53,302 22,731 0 47,476 $ 818,3s4 $ 56,000 23,000 0 60,000 0 5't,000 1,681,000 $ 896,000 $ 57,000 23,000 0 1,685,000 $ 4,000 963,000 $ 67,000 70,000 13,000 0 (23,000) 00 2,970 200,932 277,269 229,000 0 11,851 0 52,418 65,000 125,000 229,000 250,000 205,000 0 60,000 21,000 (205,000) 0 0 29,000 29,000 0000 0 248,000 248,000 59,000 0 (59,000) 0 146,068 147,000 0 (147,000) $ 102,6U $1,316 $0$0$ 0 1063 THIS PAGE INTENTIONALLY LEFT BLANK 1064 AUTHORIZING THE ISSUANCE OF NOT MORE THAN $43O,OOO,OOO IN AGGREGATE PRINCIPAL AMOUNT OF MIAMI BEACH REDEVELOPMENT AGENCY TAX TNCREMENT REVENUE BONDS (C!TY CENTER/H|STORTC GONVENTTON VTLLAGE) (THE "SER|ES 2015 BONDS"), FOR THE PURPOSE OF REFUNDTNG THE AGENCY'S OUTSTANDTNG PR|OR BONDS AND FINANCING CERTAIN PUBLIC IMPROVEMENTS; PROVIDING FOR THE ISSUANCE OF AoDITIONAL BONDS ON A PARIry THEREWITH; PROVIDING FOR THE SECURITY AND PAYMENT OF ALL BONDS ISSUED PURSUANT TO THIS RESOLUTION; PROVIDING CERTAIN DETAILS OF THE SERIES 2015 BONDS; DELEGATING CERTAIN MATTERS lN CONNECTION WITH THE ISSUANCE OF THE SERIES 2015 BONDS TO THE EXECUTIVE DIRECTOR OF THE AGENCY, INCLUDING WHETHER TO SECURE A CREDIT FACILIry AND/OR A RESERVE ACCOUNT INSURANCE POLICY, WITHIN THE LIMITATIONS AND RESTRICTIONS STATED HEREIN; APPOINTING UNDERWRITERS, PAYING AGENT, REGISTRAR, ESCROW AGENT AND DISCLOSURE DISSEMINATION AGENT; APPROVING THE FORM OF THE PRELIMINARY OFFICIAL STATEMENT FOR THE SERIES 2015 BONDS AND AUTHORIZING EXECUTION OF THE FINAL OFF]CIAL STATEMENT FOR THE SERIES 2015 BONDS; AUTHORIZING THE NEGOTIATED SALE OF THE SERIES 2015 BONDS AND APPROVING THE FORM AND AUTHORIZING EXECUTION OF THE BOND PURCHASE AGREEMENT FOR THE SERIES 2015 BONDS; APPROVING THE FORMS AND AUTHOR]ZING EXECUTION OF ESCROW DEPOSIT AGREEMENTS FOR THE OUTSTANDING PRIOR BONDS; COVENANTING TO PROVIDE CONTINUING DISCLOSURE lN CONNECTION wlTH THE SERIES 2015 BONDS AND APPROVING THE FORM AND AUTHORIZING EXECUTION OF A CONTINUING DISCLOSURE AGREEMENT; AUTHORIZING OFFICERS AND EMPLOYEES OF THE AGENCY TO TAKE ALL NECESSARY ACTIONS lN CONNECTION wlTH THE ISSUANCE OF THE SERIES 2015 BONDST AND PROVIDING FOR AN EFFECTIVE DATE. REDEVELOPMENT AGENCY ITEM SUMMARY Condensed Title:FIRST READING / PUBLIC HEARING lntended Outcome Item Summary/Recommendation: FIRST READING PUBLIC HEARING The RDA Bonds will be issued in a par amount of approximately $359 million based on current market conditions to produce project proceeds of approximately $309 million which will include the $36 million of ancillary projects as well as a funded debt service reserve. The RDA bonds will provide proceeds for the renovation of the Convention Center and creation of the park but will also provide for other RDA projects in the City's adopted Construction lmprovement Plan. These projects are the following:. $3.75 million programmed for the second half of the funding for the Bass Museum lnterior Expansion Project;. $12 million programmed for the improvements to 1 7th Street and Connectors to Lincoln Road; and. $20 million programmed for Lincoln Road lmprovements from Washington Avenue to Lenox Avenue, which will be based on the Lincoln Road Master Plan currently underway. ln addition to the Convention Center Project and the additional RDA projects, all of the outstanding RDA bonds will be refinanced. Currently, outstanding bonds total $54,990,000 ($10 million for the Series 1998A, $27,81 5,000 for the Series 2005A, and $1 7,1 75,000 for the Series 20058). The 1998A, 2005A & 20058 bonds are currently projected to have a combined net present value refinancing savings of $3,268,002. The security for the repayment of these amounts will be the Tax lncrement Funds of the RDA. Advisory Board Recommendation : Financial Information : . lmprove alliance with key business sectors, namely hospitality, arts, and international business with a focus on enhanced culture, entertainment, and tourismo Maximize the Miami Beach brand as a world-class destination Supporting Data (Surveys, Environmental Scan, etc.): . Environmental Scan - Convention Center Attendance: 54% increase since 2004 o Communitv Survev - Averaqe resident attends events at the Convention Center twice oer vear @.rrFunds:v6-epl Amount Account Approved To be appropriated from the TIF Revenues and the RDA bond proceeds. Total John Woodruff, lnterim Chief Financial Officer RDA Bonds 2015 Summary Memo.docx aU AGENDA ITEMMIAMIBEACHDATE1065 g MIAMI BEACH City of Miomi Beoch, ,l700 Convention Center Drive, Miomi Beoch, Florido 33,l39, www.miomibeochfl.gov MIAMI BEACH REDEVELOPMENT AGENCY REDEVELOPMENT A Chairperson and Members of the Miami ENCY MORANDUM Agencll_ Jimmy L. Morales, Executive Directof September 30, 2015 SUBJECT: A RESOLUTION OF THE CHAI AND MEMBERS OF THE MIAMI BEACH REDEV AGENCY AUTHORIZING THE ISSUANCE OF NOT MORE THAN $43O,OOO,OOO IN AGGREGATE PRINCIPAL AMOUNT OF MIAMI BEACH REDEVELOPMENT AGENCY TAX TNCREMENT REVENUE BONDS (CITY CENTER/HISTORIC coNVENTtON VTLLAGE) (THE "SERIES 2015 BONDS"), FOR THE PURPOSE OF REFUNDING THE AGENCY'S OUTSTANDING PRIOR BONDS AND FINANCING CERTAIN PUBLIC IMPROVEMENTS; PROVIDING FOR THE ISSUANCE OF ADDITIONAL BONDS ON A PARITY THEREWITH; PROVIDING FOR THE SECURIW AND PAYMENT OF ALL BONDS ISSUED PURSUANT TO THIS RESOLUTION; PROVIDING CERTAIN DETAILS OF THE SERIES 2015 BONDS; DELEGATING CERTAIN MATTERS lN CONNECTION WITH THE ISSUANCE OF THE SERIES 2015 BONDS TO THE EXECUTIVE DIRECTOR OF THE AGENCY, INCLUDING WHETHER TO SECURE A CREDIT FACILITY AND/OR A RESERVE ACCOUNT INSURANCE POLICY, WITHIN THE LIMITATIONS AND RESTRICTIONS STATED HEREIN; APPOINTING UNDERWRITERS, PAYING AGENT, REGISTRAR, ESCROW AGENT AND DISCLOSURE DISSEMINATION AGENT; APPROVING THE FORM OF THE PRELIMINARY OFFICIAL STATEMENT FOR THE SERIES 2015 BONDS AND AUTHORIZING EXECUTION OF THE FINAL OFFICIAL STATEMENT FOR THE SERIES 2015 BONDS; AUTHORIZING THE NEGOTIATED SALE OF THE SERIES 2015 BONDS AND APPROVING THE FORM AND AUTHORIZING EXECUTION OF THE BOND PURCHASE AGREEMENT FOR THE SERIES 2015 BONDS; APPROVING THE FORMS AND AUTHORIZING EXECUTION OF ESCROW DEPOSIT AGREEMENTS FOR THE OUTSTANDING PRIOR BONDS; COVENANTING TO PROVIDE CONTINUING DISCLOSURE IN CONNECTION WITH THE SERIES 2015 BONDS AND APPROVING THE FORM AND AUTHORIZING EXECUTION OF A CONTINUING DISCLOSURE TO: FROM: DATE: READING PUBLIC HEARING 1066 Commission Memorandum Convention Center Bonds September 30, 2015 Page2 of 7 AGREEMENT; AUTHORIZTNG OFFICERS AND EMPLOYEES OF THE AGENCY TO TAKE ALL NECESSARY ACTIONS IN GONNECTION WITH THE ISSUANCE OF THE SERIES 2015 BONDS; AND PROVIDING FOR AN EFFECTIVE DATE. BACKGROUND Spanning four city blocks and located in the heart of South Beach, the Miami Beach Convention Center (MBCC) currently accommodates meetings, conventions, tradeshows and consumer shows. The Convention Center originally opened in 1957 and received a major expansion and facelift in 1989, doubling it in size. Currently the MBCC boasts over 1,000,000 square feet of flexible space, including over 500,000 square feet of exhibit space, and over 100,000 square feet of versatile pre-function area space and 70 meeting rooms comprised of 127,000 square feet. The expansion and renovation of the Miami Beach Convention Center project will transform the building to "Class A" standards which shall include Silver LEED certification upgrades and enhanCed technology. The design modifications will include the re-orientation of the exhibit halls, fagade upgrades, site improvements along the canal, and along all roadways, the addition of a grand ballroom, junior ballrooms and meeting rooms, and two levels of rooftop parking. The interior renovation work focuses on the redistributed division of the four main exhibition hall spaces, and the additional programming of more flexible arrangements of private meeting rooms and additional indoor/outdoor versatile exhibition spaces. Currently, the four main exhibit halls are divided into quadrants-two accessible solely from Washington Avenue (Halls A and B) and the other two solely accessed from Convention Center Drive (Halls C and D). The new Convention Center re-orients the halls in an EastMest direction with the primary access from Convention Center Drive leading into a new grand, open double height entry lobby. Washington Avenue will serve as a secondary means of pedestrian entry. The project will also include substantial improvements to the north of the property. The new addition at the northern portion of the property features an enclosed ground floor parking area and truck loading and delivery area. Above this, a 60,000 square foot grand ballroom is proposed offering vistas of the beautified 21't Street Park that will span along Collins Canal and feature the to-be-restored Historic Carl Fisher Clubhouse. This addition will create a new internalized loading area and will include two helix ramping entrance accesses to the roof level parking. The Washington Avenue elevation will become predominately pedestrian in nature with the elimination of the visitor drop-otf and cab cueing areas. The streetscape modifications will include a green edge along the avenue with native shade trees to promote a more pedestrian friendly experience. Convention Center Drive will in turn become the main access point for vehicular access and for the visitors' drop-off area. Modifications will include a new median along Convention Center Drive and 19th Street creating a more sophisticated streetscape and a more celebrated boulevard experience. The Canal walk will be substantially improved and will create a softer northern edge to the MBCC. 1067 Commission Memorandum Convention Center Bonds September 30, 2015 Page 3 of 7 The project also includes the demolition of the existing Recreation Center along Washington Avenue and the creation of a neighborhood park. Another architectural feature of the project is the proposed rooftop indoor and outdoor meeting space located in the southwestern corner of the roof. This will offer the patrons expansive views out onto the new Civic Park proposed to replace the surface parking lot. ln association with the renovations to the Miami Beach Convention Center, a new urban park, dining pavilion and Veterans Plaza is being created to replace a surface parking lot that currently contains spaces for approximately 800 vehicles. Convention Center Park has been envisioned as a neighborhood park. The park includes a series of six clustered 'shaded edges' that will line the perimeter of the 6-acre park and surround an internal great flexible lawn. ANALYSIS ln November 2007, the Mayor and City Commission approved Ordinance 2007-3582 which amended the procedures that the City followed in connection with the approval of a bond issue and added the following Section to Chapter 2 of the Miami Beach City Code, entitled "Administration"; Article V entitled "Finance"; Sec. 2-278, entitled "Procedures governing the issuance of bonds. Sec. 2-278. Procedures governing the issuance of bonds. (a) Prior to the adoption by the city commission of the final resolution approving the issuance of any bonds by the city, the following requiremenfs sha// be complied with: (1) ln order for the city commission and the public to be fully informed on all matters relating to the proposed issuance of bonds, the city manager shall prepare, or cause to be prepared, a fiscal analysis of the economic impact of the proposed bond issuance using the following criteria: a) The estimated cost of the project or projects on account of which such bonds are fo De issued; b) The estimated annual revenues, if any, to be generated by such project or projects; and c) The estimated annual cost of maintaining, repairing and operating such project or projects. (2) Upon completion of the fiscal analysis in subsection (a)(1), the proposed issuance of bonds shall be first considered and reviewed by the city's finance and citywide projects committee. (3) The city commission shall hold two public hearings, each advertised nof /ess than 15 days prior to the hearing, in order to obtain citizen input into the proposed bond l'ssuance. At the August 28, 2015, meeting of the Finance and Citywide Projects Committee, the Committee voted to recommend approval of the issuance of the Series 2015 Bonds to finance the construction of the Convention Center project in accordance with Sec. 2-278(aX2). lf approved by you today, in accordance with Sec.2-278(aX3), a second public hearing will be held for this proposed bond issue on October 14, 2015, and will be advertised at least fifteen (15) days prior to the public hearing date. 1068 Commission Memorandum Convention Center Bonds September 30, 2015 Page 4 ot 7 FINANCING PLAN The City is planning to issue three different series of bonds for the financing of the Convention Center project in addition to the $55 million of the Miami-Dade County General Obligation Bonds funding provided by the County. One of these series is the Miami Beach Redevelopment Agency Tax lncrement Revenue Bonds, Series 2015. Below is a summary of the sources and uses of the different types of funding sources for this project. Convention Center Funding Plan Sources of Funds Addional RDA Projects 36,000,000 Total RDA Bonds with Additional Projects -3d6"6-62657 County GO 1% ResortTax Bonds Parking Bonds RDA Bonds Total Convention Center Projects Total Fundlng Sources Uses of Funds Convention Center Convention Center Parking Total Convention Center Cost Additional RDA Projects Total Funding Uses Based on 8/1215 budget. $54,400,000 204,500,000 64,811,756 272,667,631 596,379,387 $632,379,387 $531,567,631 64,811,756 596,379,387 RDA Bonds The RDA Bonds will be issued in a par amount of approximately $359 million based on current market conditions to produce project proceeds of approximately $309 million which will include the $36 million of ancillary projects as well as a funded debt service reserve. The RDA bonds will provide proceeds for the renovation of the Convention Center and creation of the park but will also provide for other RDA projects in the City's adopted Construction lmprovement Plan. These projects are the following:. $3.75 million programmed for the second half of the funding for the Bass Museum lnterior Expansion Project;. $12 million programmed forthe improvements to 17th Street and Connectors to Lincoln Road; and. $20 million programmed for Lincoln Road lmprovements from Washington Avenue to Lenox Avenue, which will be based on the Lincoln Road Master Plan currently underway. 1069 Commission Memorandum Convention Center Bonds September 30, 2015 Page 5 of 7 The City intends to develop a six-acre surface parking lot at the front door of the Convention Center into a park amenity for both convention center users and local residents. Following the trend of convention centers in Boston, Houston, Chicago, Washington DC, Orlando and Atlanta, the City plans to develop the park as an extension of the convention center into the outdoors. The park area is planned to be used for convention opening night gatherings and local social events, as well as a place for local residents to enjoy. The park at the convention center is envisioned to include an open lawn, shaded areas, meandering paths, and plaza spaces. The park is also planned to include a Veterans Plaza and a restaurant pavilion in the theme of Tavern on the Green in New York City or The Grove in Houston's Discovery Green Park. The park will have the necessary underground utilities to accommodate the needs of virtually any type of event. Construction costs for the park are estimated to be approximately $14 million and are included in the costs above. ln addition to the Convention Center Project and the additional RDA projects, all of the outstanding RDA bonds will be refinanced. Currently, outstanding bonds total $54,990,000 ($10 million for the Series 1998A, $27,815,000 for the Series 2005A, and $17,175,000 for the Series 20058). The 1998A, 2005A & 20058 bonds are currently projected to have a combined net present value refinancing savings of $3,268,002. (Exhibit A) The County and the City have negotiated and agreed to establish that from FY 2014-15 through FY 2021-22, any operating RDA funding not used for debt service and operating expenses will go into a fund to be used for shortfalls and eventually prepayment of debt. The County and the City have also agreed that from FY 2022-23 until FY 2043-44, the County will receive a refund of City Center (RDA) operating expenses based on its pro rata share of revenues contributed to the Trust Fund, and that any remaining funding will be used to extinguish debt early. Please see attached Exhibit B City Center CRA Revenue Projection and Funds Flow Schedule and preliminary RDA bond analysis Exhibit A. Proiect Fiscal Analvsis The total cost of the Convention Center project is estimated to be $596.4 million, and will take approximately 30 months to complete. !n accordance with the provisions of Section 2-278 Procedures governing the issuance of bonds, the Administration prepared the required fiscal analysis which included the following breakdown of the proposed Convention Center Bond issue. ln response to Sec. 2-278 (a)1(a): the estimafed cosf of the project on account of which such bonds are to be lssued. The total Convention Center project is estimated to cost $596.4 million. (Exhibit E) ln response to Sec. 2-278 (a)1(b): the estimated revenues to be generated by the projects.o The projected revenue to be received by the RDA in Tax lncrement Revenues will be $40 million in FY2016 up to $54 million in FY 2023. (Exhibit B). Upon the completion of the project, the projected gross event revenues in the first five years of operation will be approximately $104 million which will include revenue 1070 Commission Memorandum Convention Center Bonds September 30, 2015 Page 6 of 7 generated from trade shows, conventions, consumer shows, banquets, meetings and special events. However, the Convention Center is expecting to generate an average net operating loss for the first five year after the renovation of approximately $3 8 million per year. (Exhibit F) Additionally we have provided a schedule of estimated revenue coverage of Debt Service for Convention Center Pro.lect financing. (Exhibit J) !n response to Sec. 2-278 (a)1(c): the estimated annual cosf of maintaining, repairing and operating such projects.o The County and the City have agreed that the RDA will provide for an ongoing adequate operating and maintenance subsidy for the Convention Center, in addition to the existing $4.5 million per year and annual year-end revenue sharing that the City currently receives from Convention Development Taxes through 2048. The Third Amendment to the Convention Development Tax (CDT) lnterlocalAgreement will allow for an additional annual operating and maintenance subsidy starting at $1 million in 2017 and increasing each year by $750,000 until it equals $4 million by 2021 and remain at $4 million until 2025, or a total of $8.5 million. lt will then escalate at 4 percent or Consumer Price lndex (CPl) annually (whichever is less) starting in 2026 over the life of the Convention Center, funded either through RDA funds or through Convention Development Taxes, depending on the availability of the latter. That funding will remain in place until 2048. (Exhibit B & l) The Commission may approve by resolution other improvements as part of the Series 2015 Project in addition to and/or in lieu of one or more of the above improvements. The security for the repayment of these amounts will be the Tax lncrement Funds of the RDA. Because of the character of this Series 2015 Bonds, the current favorable market conditions, the uncertainty inherent in a competitive bidding process and the recommendations of the Financial Advisor, it is in the best interest of the RDA to authorize the negotiated sale of this Series 2015 Bonds. Debt Compliance The attached Resolution delegates to the Executive Director, relying upon the recommendation of the Chief Financial Officer and RBC Capital Markets (the City's and RDA's Financial Advisor), the determination of various terms of this Series 2015 Bonds, including whetherto secure one or more Credit Facilities and/or Reserve Account lnsurance Policies with respect to this Series 2015 Bonds, the final award of this Series 2015 Bonds, and certain other actions in connection with the issuance of the Series 2015 Bonds and the refunding of the Outstanding Prior Bonds, all as provided and subject to the limitations contained herein. The Chief Financial Officer is further authorized to establish procedures in order to ensure compliance by the RDA with this Series 2015 Continuing Disclosure Agreement, including the timely provision of information and notices. Prior to making any filing in accordance with such agreement, the Chief Financial Officer may consult with, as appropriate, the City Attorney or 1071 Commission Memorandum Convention Center Bonds September 30, 2015 PageT of 7 Bond Counsel. The Chief Financial Officer, acting in the name and on behalf of the RDA, shall be entitled to rely upon any legal advice provided by the City Attorney or Bond Counsel in determining whether a filing should be made. ln order to describe and specify the terms of the RDA's continuing disclosure agreement, the Chief Financial Officer is hereby authorized and directed to enter into and deliver, in the name and on behalf of the RDA, a Disclosure Dissemination Agent Agreement (the "Series 2015 Continuing Disclosure Agreements"), with Digital Assurance Certification, L.L.C. ('DAC"), which is hereby appointed as disclosure dissemination agent with respect to this Series 2015 Bonds, in substantially the form presented at the meeting at which this Series Resolution was considered, subject to such changes, modifications, insertions and omissions and such filling-in of blanks therein as may be determined and approved by the Chief Financial Officer, after consultation with the City Attorney. The execution of this Series 2015 Continuing Disclosure Agreement, for and on behalf of the RDA by the Chief Financial Officer, shall be deemed conclusive evidence of the RDA's approval of the Series 2015 Continuing Disclosure Agreement. U.S. Bank National Association is hereby appointed as Bond Registrar for this Series 2015 Bonds. The officers, agents and employees of the RDA, the Bond Registrar and DAC are hereby authorized and directed to do all acts and things and execute and deliver all documents, agreements and certificates required of them by the provisions of this Series 2015 Bonds, the Bond Resolution, the Series 2015 Bond Purchase Agreement, the Series 2015 Continuing Disclosure Agreement and this Series Resolution, for the full, punctual and complete performance of all the terms, covenants, provisions and agreements of this Series 20't5 Bonds, the Bond Resolution, the Series 2015 Bond Purchase Agreement, the Series 2015 Continuing Disclosure Agreement and this Series Resolution. Conclusion The Administration recommends that the Chairperson and Member of the Miami Beach Redevelopment Agency approve the resolution on first reading and schedule a second reading public hearing on October 14,2015. JLM/JWjr@ Attachments (presented in draft form): Prelim i nary Official Statement-RDA Bond Purchase Agreement-RDA Disclosure Dissemination Agreement-RDA Escrow Deposit Agreements-RDA 1072 EXHIBITS Toble of Contents EXHIBIT A RDA Bonds Anolysis EXHIBII B RDA ProFormo ExH{BtT+ perkinsBends^n is EXHIBIT+I @ EXHIBIT E Convention Center Proiect Budget EXHIBIT F Convention Center 8-Yeor ProFormo EXH+BIT€, EXH{BIT+ EXHIBIT I Convention Center ond Pork Operoting Proiections EXHIBIT J Convention Center Finoncing Debt Service Coveroge 1073 I-- I.?.l5 . 20J E M*A$,A[ffiffi@ffiM 1074 Aug 25, 2AL5 7:42 pm Prepared by Morgan Stanley / {1,9 EXHIBIT A pue" r SOURCES AND USES OF FUNDS Miami Beach City CenterRDA Combined 20 I 5 Financings Dated Date Delivery Date taND0[S lurcn0ts RDA Convention Center Financing, Series 2015 (NewMoney) Series 2015 Taxable Refunding of Series 19984 Non-Callables Series 2015 To<able Refunding of Series 20054 Series 2015 Tax-Exompt Cunent Refinding of Series 20058 Bond Pmceeds: Par Amount Premium 308,765,000.00 25,813,867.05 9,970,000.00 25,650,000.00 14,110,000.00 1,354,705.20 3s8,495,000.00 27,L68,572.25 334,578,867.05 9,970,000.00 25,650,000.00 75,464,705.20 385,663,572.25 RDAConvention Series2015 Center Taxable Financing, Refunding of Series 2015 Series 19984 (NewMoney) Non{allables Series 2015 Series 2015 Tax-ExemptTaxable Current Retunding of Retunding of Series 2005A Series 20058 Project Fund Deposits: Project Fund Refirnding Escrow Deposit : Cash Deposit SLGS Purchases Other Fund Deposits: Debt Service Reserve Fund Delivery Date Expenses: Cost oflssuance UnderwriterJs Discount Other Uses ofFunds: Additional Proceeds t0.23 9,896,968.00 9,896,978.23 308,667,631.00 308,667,631.00 40,835,030.23 9,896,968,00 50,731,998.23 23,748,375.00 25,470,010,00 15,365,010.00 25,470,010.00 15,365,010.00 23,748,375.00 612530.00 19,940.00 51,300.00 28,220.00 716,990.00 1,543,825.00 49,850.00 128,250.00 70,550.00 1,792,475.0A 2,161,355.00 1,506.05 69,790.00 179,550.00 3,231.77 440.00 98,770.00 2,509,465.00 92s.20 6,103,02 334,s78,867.05 9,970,000.00 25,650,000.00 15,464,705.20 385,663,572.25 MorganStanley 1075 :>rd, E(\, 6) 6PoE EXHIBIT A ss<€\O .nd C-lNOa'- cO\Jq -.: 6lr Io6!i tgg, S'*e s6S EH \oh.ioe 00\o 6,1 m o €o\€o\ GI o 6 oqooq ho\t€ (n ro6i$ c,l 6 o\€6hohclcloo€o6061 NH o rioo\ ooo\o so€..: rrFOOq\q(.l\o*ornoo!tNvlc.I-f 6 HM ssssOt-.OO\ts €\O€qc?qqoNoel oooooooooooooooooooouiddd\Ot'\h<t\Ch\Oi €ah$o (\lio Br aoxoa2 'E attuaN;GHxe8; 6FN E.9 o q'3 .E.H H.E$rr&.=o6PI uouoH .E€€ Erq g E9b55EEil&A3-ee I;€€F3oxxxE*#fl 9n,an Xooor'i c'l N N /ooo HOOOXv)u10 2! a >€oo Hi; t4 9toEE 80574 >lotrobI)v1 .EHEEO a Es2 EH EEg EtE Fa)' A -bnA eH E fr.doo '9.E EH3 0q ES E p cl) o ov, 6l iOudA u-l o Ev) dbo o a E6o hao A EA e.li+ t- oN hrl b0a 1076 Aug 25, 2015 7:42 pm Prepared by Morgan Stanley / ALC EXHIBIT A pue": BOND SUMMARY STATISTICS Miami Beach City Center RDA Combined 20t5 Financings DatedDate Delivery Date First Coupon IlstMaErity Artitrage Yield True lnterest Cost (flC) Net Interest Cost (NIC) All-In TIC Average Coupon Average Life (yearc) Weighted Average Maturity (years) Duration of Issue (years) ParAmount Bond Proceeds Total Interest Net Interest Total Debt Service Maximum Annual Debt Service Average Annual Debt Service Underwritels Fees (per $1000) Average Takedoun OtherFee Total Undenvrirc/s Discount Bid Price 5.000000 107.078508 Average Average MafllrityLife Dato wl0n0$ tarcDo15 06t01D016 0l0tnu3 2.672164% 4.319196% 4.5463240/o 4.335531% 4.9485t9% 17.500 17.563 I 1.698 358,495,000.00 38s,663,s72.25 312,221510.60 286,84s113.3s 670,716,510.60 23,748,37s.00 23,975,567.85 s.000000 Bond Component Par Value Price Average Coupon Duration PVoflbp change Serial Bonds (faxable) Sorial Bonds (Tax-Exenrpt) Term Bond I (Tax-Exempt) Term Bond 2 (fax-Exempt) 35,620,000.00 100.000 165285,000.00 110.721 90,430,000.00 t06.2t2 66,160,000.00 105.628 4.068 01n3n020B.ln 09119n029 23.075 01106D039 27.008 tAw2042 2.939% 4.989% 5.00tr/o 5.000% 3.826 3.867 t4.214 15.423 13213.60 t37,834.s5 7s,96120 s4,912.80 3s8,495,000.00 17.600 281,922.15 All-In TIC Arbitage Yield Par Value +Accned Interest + Premium (Discount) - Underwrite/s Discount - Cost oflssuance Expense - OtherAmounts TargetValue TargetDate Yield 358,495,000.00 27,168,572.25 (t:792A?s,00) 3s8y'9sp00.00 n,168,57225 0Jn,47s.00) (716,990.00) 49J30,000.00 1,354,705.20 383,871,097.25 rarcDal.s 4.319196% 383,154,107,25 tu1012015 4_335531% 51,084,705.20 turcD0$ 2.672164% MorganStantey 1077 Aug 25, 2015 7:42pm Prepared by Morgan Stanley / ALC EXHIBIT A pase4 BONDPRICING Miami Beach City Center RDA Combined 20 I 5 Financings Mahrity BondCompooent D8t€Amoml Rare Yicld to Yicld Price Maturity Call Prio Csll Date Prcmim (-Discoud Saial Bmds Cf q-E:.smpt): nlotn016 Dl01n0v nntn0tS w0tn0$ tu01n020 nntn02t ,2I01n022 ,?,01n023 Dntn0z4 nrcln025 laotn026 luo1no27 nnln028 1A0lno29 nJotn$0 nfitn$t DfiIN$? orcln$3 Dnv2034 Dnln$5 Tcm Bond I (fu-Exempt): nt0ln$6 t2loy2037 12t0112038 ,2ntn039 lzl0vzuo Term Bond 2 Cfu-ExeEpt): Dnuz04t 1210w042 l2l0v2u3 1A0ln$M Saial Bonds (taxable): tao1n0rc la01n0n LU01t20t8 t2l0v20t9 tavtn020 tu1tD02l ta1tD022 1,795,000 t,840,000 1,905,000 1,990,000 2,090,000 2,190,000 2J00,000 t,520,000 8,960,000 9,4I5,000 9,900,000 10,410,000 10,940,000 1 1J05,000 12,095,000 12,715,000 13,365,000 1,t,050,000 14,?70,000 15,530,000 166,285,000 16,325,000 17,160,000 1E,040,000 1E,965,000 19,940,000 90,430,000 20,960,000 22,035,O00 23,165,000 66,16-'0,000 4,765,000 4,845,000 4,945,000 5,065,000 5230,000 5385,000 5,485,000 35,620,000 2.00e/o 0.640% 3.0oV/o 1.130% 4.00v/o 1.500% 4.0000/o t.no% 5.000% 2.M0% 5.00tr/6 2.360%5.0Wc 2.62V/o 5.000P/6 2.800o/o 5.00070 3.000% 5.000% 3)10yot,@f/6 3.35V/o 5.000% 3.52OYo 5.000% X.66V/o 5.000% 3.730o/o 5.000% 3.800% 5.000% 3.8600/" s.000% 391v/. 5.000% 3.960% 5.000% 4.0OOYo 5.000% 4.u0% 5.000% 4.230Yo 5.000% 4.2?0% 5.000% 4.230% 5.000% 4.230% 5.000% 4.2300/o 5.00v/o 4300% 5.00e/6 4.3N% 5.008/o 4.3No/" 5.000% 4.300% 101.3 l9 t03.641 to7.217 t08.522 1t3.833 l14.63l I 15.081 tts.625 I r5.633 I t5.544 113.892 C 3.467% 112.358 C 3.7t2Yo l1l.ll3 c 3.9000/o 110.,196 C 4.0llc/o 109.884 C 4.1t0% 109.363 C 4.t9lo/o 108.930 C 4.256% 108.500 c 4.3150/o 108.157 C 1.3630/0 107_816 C 1.107% 23,676.05 66,994.40 138,055.35 169,587.80 2t9,t09.70 320,418.90 346,E63.00 1,331250.00 1,400,715.80 1,463,467.60loo.oo0 l375,3oE.oo 100.000 1286,467.80 100.000 l,2ls:t62.20 100.000 1207,564.80 100.000 1,195,469,t0 t00.000 1,190,50J.45 100.000 1,193,494.50t00.000 1,194,250.00 100.000 1,204,788.90 100.000 1,213,E24.80 17,t27,575.E5 taotn02s tuotn0z5 taotn02s la0l12025 t2r'0v2025 t?r'0t2025 w01n0z5 tu0tn025 DJOLn025 1?/01n025 106.2t2 c 106.212 c t05.2t2 c 106.212 c 106.2t2 C 4.5800/o lA01nO25 100.000 1,014,109.00 4.5800/o luoln025 100.000 1,065,979.20 4.580% lAcfn0ZS 100.000 1,120,644.80 4.580% 12J01n025 100.000 1,17E,105.E0 4.580% w01n0?s l0o.00o __123@!9 5,617,5 I 1.60 105.628 C 4.645% tA0tn025 105.62t c 4.645% t?!Otn025 105.628 C 4,645% t70ln0?5 105.62E C 4.645% ta0tn025 100.000 i,179,628.80 100.000 1,240,129.E0 100.000 1,3$,n620 100.000 _ 3,723,48/..80 1,426% 1,42,6% 100.000 t.576% t,s760h 100.000 2.7140/o 2.1t4yo 100.000 2.693% 2.693Vo 100,000 2.941% 2.943% 100300 3.332o/o 3.332Yo 100.000 3.582% 3.582Yo 100.000 358,495,000 27,t68,572.2s Datcd Datc Delivery Dato Fint Coupon ParAmout hcmim koduction Undmite/sDiwt Purchroe Prie Aconed Iltorcst NetPrc@ds r2Jfinor5 luL0D0l5 06rc1n016 358,495p00.00 27,168,572.25 385,663,572.25 (1,792,475.00\ t07j75508% (0.5000007o) 107.07850E7o383,871,0972s 383,871,497.25 MorganStantey 1078 Atg 25, 2015 7 :42 pm Prepared by Morgan Stanley / ALC EXHIBIT A pug.s SUMMARY OF REFT,NDING RESULTS Miami Beach City Center RDA Combined 201 5 Financings Dated Date Delivery Date Arbitrage yield Escrow yield Value of Negative Arbituage Bond ParAmouot True Interest Cost Net Interest Cost Average Coupon Average Life Par amount ofrefunded bonds Average coupon ofrefunded bonds Average life of refunded bonds PV of prior debt:o l?/fiD0ls @2.672164% Net PV Savings Percentage savings of refunded bonds Percentage sayings of refirnding bonds ,2lrcnols taL020r5 2.672t640/o l L80238o/o 398,985.10 49,730,000.00 2.8009460/o 2.859322% 3.4031070/o 4.090 49,355,000.00 5.258257% 4.t9s 54,348,1 10.79 3,268,002.56 6.62142r% 6.571491o/o Morgan$tantey 1079 Aug25,2015 7:42pm PreparerlbyMorganstanley/AlC EXHIBIT A Page6 SAVTNGS Miami Beach City Center RDA Combined 2015 Financings Prior Refunding Date Debt Servic.e Debt Service Present Value to l2l10D0l5 Savings @ 2.6721641% 0980nlrc 09R012017 wl30l20t8 09R0/2019 09t3012020 09R012021 09R012022 09t3012023 1,261,649.65 8,400,323.75 8,403,379.75 8,4A9,722.50 8,418,064.00 8,443,743.00 8,451,948.50 8,467,678.00 1A6,625.04 7,995,707.21 E,003,004.16 8,011,856,91 8,018,488.03 8,046,278.35 7,929,270.80 7,940,736.35 555,024,61 404,616.54 400,375.59 397,865.59 399,575.97 397,464.65 522,677;10 526,94t.65 547,426.05 388,364.39 3?5,484.58 364,452.13 357,465.98 346,956.54 445,377.85 437,878.08 60,256,509.15 56,651,966.85 3,604,542.30 3,263,405.59 Savings Summary PV ofsavings ftom cash flow Plus: Refunding funds on hand NetPV Savings 3,263,405.59 4,596.91 3,268,002.56 MorgarrStantey 1080 Aug 25, 2Al5 7;42 pm Prepared by Morgan Stanley / ALC EXHIBIT A pw"t BONDDEBT SERVICE Miarri Beach City Center RDA Combined 201 5 Financings Period Ending Dated Date 1211012015 Delivery Date 1211012015 Principal Coupon Debt Service 09/30/2016 09R0D017 0913012018 09n0t20t9 09R0DO20 0913012021 0913012022 09/30t2023 09130D024 0913012025 09/30D026 09130D027 09/30D028 09/30DA29 09RU2A30 09n0n$t 09R0r2$2 09R0t2033 0913012034 09R0D035 09R012036 09i3012031 09R012038 09/3012039 09/3AD040 09t30Do4l 09R0/2042 09/30DA43 09/3012044 6,560,000 6,685,000 6,850,000 7,055,000 7320,000 7,475,000 7,795,000 8,520,0@ 8,960,000 9,415,000 9,900,000 10,410,000 10,940,000 11,505,000 12095,000 12,715,000 13,365,000 14,050,000 14,770,000 15,530,000 16,325,000 17,160,000 18,040,000 18,965,000 19,940,000 20,960,000 22,035,000 23,165,000 ** o//o t' Yo ** o//o '* Yo** Yo ** o/o a* O//o 5.000% 5.000% 5.000% 5.000% 5.000% 5.000%o 5,A000/o 5,000% 5.000% 5.000% 5.000Yo 5.000% 5.00OY" 5.000% 5.000% 5.00OYo 5.000% 5.000% 5.000% 5,000% 5.000% 8,039,793.79 16,873,9s7.21 16,756,254.16 16,600,106.91 16,40r,738.03 t6,l@,5ut.3s 15,892,520.80 15,593,986.35 15,225,250,00 14,788,250.00 14,328,875.00 13,846,000,00 13,338,250.00 12,804,500.00 12,243,375.00 11,653,375.00 I 1,033,125.00 10,381,125.00 9,69s,7s0.00 8,975,250.00 8217,750.00 7A21,375,00 6,584250.00 s,7442s0.00 4,119,725.00 3,806,500.00 2,784,000.00 1,709,125,00 579,125.00 8,039,793.79 23,433,957.21 23,44t,254.16 23,450,106.91 23,456,738.03 23,484,528.35 23,367,520.80 23,378,986,35 23,745,250.00 23,748,250.00 23,143,875,00 23,746,400.00 23,748250.00 23,144,500.00 23,748,375.00 23,148375.00 23,148,125.00 23,746,125.00 23,145,750.00 23,745,250,00 23,747,750.00 23,',|46,375.00 23,744,250.00 23,7M,250.00 23,744,125,00 23,146,500.00 23,744,000.00 23,744,125.00 23,144,125.00 358,495,000 312,221,510.60 670,716,510.60 MorganStantey 1081 Aug 25, 2015 7:42 pa Prepared by Morgan Stanley / ALC EXHIBIT A Page8 Period Ending Principal NETDEBTSERVICE Miami Beach City Center RDA Combined 201 5 Financings Toial Interest Debt Service Debt Service Net Reserve Fund Debt Service 09130t2016 09t30t2017 0913012018 09R0t20t9 09R0no20 09R0n02t 09/30n022 09130D023 09/30n024 a9/3012025 09t30D026 09t30D027 09B0DA28 09t30D029 09130D030 09t3012031 0913012032 09/30/2033 0913012034 09130D035 0913012036 09130/2037 09t30/2038 09/30D039 09R012040 09/30t2041 09/30/2042 09/3012043 09/30t2044 6,560,000 6,6g5,ooo 6,850,000 7,055,000 7,32o,ooo 7,475,000 7,785,000 9,520,000 8,960,000 9,415,000 9,900,000 1oy'10,000 10,940,000 I 1,505,000 12,095,000 12,715,000 13J65,000 14,050,000 14,770,000 15,530,000 16,325,000 17,160,000 I 8,040,000 I 8,965,000 19,940,000 20,960,000 22,035,000 23,165,000 E,039,793.79 16,873,957.21 76,756,254.16 16,600,106.91 16,401,738.03 16,164,52E.35 15,892,520.80 15,593,986.35 15,225,250.00 14,788,250,00 14,328,875.00 13,846,000.00 13,338,250.00 12,804,500.00 12,243,375.00 1L,653,375.00 I 1,033,125.00 10,381,125.00 9,695,750.00 8,975,250.00 8,217,750.00 7,421,375.00 6,584,250.00 5,704,250.00 4,779,125.00 3,E06,500.00 2,784,000.00 1,709,125.00 579,125.00 E,039,793.79 23,433,957.21 23,441,254,16 23,450,106.91 23,456,738.03 23,484,528,35 23,36',t,520.80 23,378,986.35 23,745,250.00 23,748,250.00 23,743,875.00 23,746,000.00 23,748,250.00 23,744,500.00 23,748,375,00 23,748,375.00 23,748,125.00 23,746,125.00 23,745,750,00 23,145,250,00 23,747,750.00 23,146,375.00 23,744,250.00 23,744,250.00 23,744,125.00 23,746,500.00 23,'.|44,000.00 23,7U,125.00 23,744,125.00 t12,804.78 237,483.76 237,4E3.76 237,4E3.76 23',1,483,76 237483,76 237,483.76 237,483.76 237,483.76 237,483.76 237,4E3.76 237,483.76 237,483,76 237A83,76 237,483.76 237,483.76 237,483.76 237,483.76 237,483.76 237,483.76 237,483.76 237,483.76 237,483.76 237,483.76 237,483.76 237,483.76 237,483.76 237,483.76 23,857,1 16.88 7,926,989.01 23,196,4',t3.45 23,203,770.40 23,212,623.15 2321e2s4.27 23,247,044.59 23,130,037.04 23,141,542.59 23,507,766.24 23,510,766.24 23,506,391.24 23,508,516.24 23,510,'.|66.24 23,507,016.24 23,510,891.24 23,510,891.24 23,510,641.24 23,508,641.24 23,508,266.24 23,507,766.24 23,510,266.24 23,508,891.24 23,506,766.24 23,506,766.24 23,506,641.24 23,509,016.24 23,506,516.24 23,506,641.24 (122,991.88) 358,495,000 3t2,221,510.60 670,716,510,60 30,39I,983.18 640,324,527.42 MorganStantey 1082 Aug 25, 2015 7t42pm Prepared by Morgan Stanley / ALC EXHIBIT A rug.e Period Ending RDA Convention Center Financing, Series 2015 (NewMoney) AGGRBGATEDEBT SERVICE Miami Beach City CenterRDA Combined 2015 Financings Series 2015Taxable Series 2015 Refunding of Taxable Series 19984 Retunding of Non-Callables Series 2005A Series 2015 Tax-Exempt Current Refunding of Aggregate Series2005B DebtService 09/30D016 09/30/20t7 09/30t2018 09/30D019 09130/2020 09t3012021 0913012022 091302,023 09R0n024 09R0t2025 09R0/2026 09t3un27 09t30/2028 09R012029 09i30n0ts0 09/301203t 09/3012032 09/30t2033 0913012034 09/3012035 09/30/2036 09/30n0a7 09t30t2038 09i30nc39 0913012040 09t30/2041 09130/2042 09t30t2043 09t3012044 7,333,168,75 15,438,250,00 15,438,250,00 15,438,250.00 15,438,250.00 I5,438"250.00 15,438,250.00 15,438,250.00 23,745250.00 23,148250.00 23,743,875.00 23,746,000.00 23,748,250.00 23,744,500.00 23,748,375.00 23,748,375,00 23,748,125.00 23,746,t25.00 23,745,750.00 23,',|45,250.40 23,747,750.00 23,',|46,375.00 23,744250.00 23,744,250,00 23,744,t25.00 23,746,500.00 23,744,000.00 23,744,125.00 23,744,t25.00 100,563.30 2,222273,95 2,226,602.90 2,233,120.25 2,226,920.65 1,653,985,45 332,509.24 3,420,483.26 3,424,001.26 3,427,036.66 3,432,767.38 4,025,542.90 5,569,520.80 5,s83,236.3s 273,552.50 L3sL950.00 L352,400,00 2,351,700.00 2,358,800.00 2,366,750.00 2,359,750.00 2,357,s04.00 8,039,793.79 23,433,957.21 23,441,254.16 23,450,106.91 23,456,738.03 23,484,528.35 23,367,520.80 23,378,986.35 23,745,250.00 23,748,250.00 23,743,875.00 23,746,00,0.00 23,748,250.00 23,744,500.00 23,?48,375.00 23,748,375.00 23,748,125.00 23,746,125.00 23,745,750.00 23,745,250.40 23,747,750.00 23,746,375.00 23,7U,250.00 23,7M,250.00 23,744,125.00 23,?46,500.00 23,744,000,00 23,744,125.00 23,744,125.00 614,064,543.75 10,663,466.50 29,215,097.85 16,7n,4A250 670,716,510.60 MorganStailtey 1083 Alrig 25 , 2015 7 :42 pm Prepared by Morgan Stanley / ALC EXHIBIT A page to ESCROW STAfiSTICS Miami Beaoh City Center RDA Combined 2015 Financings Modifisd Yicldto Yieldto Psrfc't Vahreof Total Duatim Fyoflbp Reipt Disburcmt eryw I=P* ^ 9":,t:l-6,*, -' ;i;;; - ii; Dato cort Arbitage Dcadrimc Sorie 2015 Tuablc Rofmdingof Saics 198ANon{rllabls, Global Procec'& Escrow 9,8g6g7s.2321E32,753.321.18U23E%|.1802360/o9,4n991.'u398p85.10|.29 Sdes 2Ol5 Tmblc Rcfimdirg of Scrics 20054 Global Procccds Essotr 25,470p10.00 Ssics 2015 To.-ExatrPt C\EatRofiEding of Scries 20058, Global Prccccds Esmw: 15,365p10.00 25,470,010.00 15,365,010,00 50J3L998.2'2,753.32 50,333,0il.84 398,985.10 129 Dclivory dEto Artitngo yiold Corposito Modified Durrtion tu10a015 2.672164% 2.783 MorganStanteY 1084 Aug25,2015 1:42pm Prepared by Morgan Stanley I ALC EXHIBIT APage lr SOI]RCES AND USES OF FUNDS Miami Beach City Center RDA RDA Convention Center Financing, Series 2015 (New Money) Dated Date tv10l20t5 Delivery Date lAfin|ls Bond Proceeds: Par Amount Premium 308,765,000.00 25,8 13,867.05 334,578,867.05 Uses: Project Fund Deposits: Project Fund Other Fund Deposits: Debt Service Reserve Fund Delivery Date Expenses: Cost oflssuance Underwriter's Discormt Other Uses of Funds: Additional Proceeds 308,667,63 1.00 23,748,375.00 6 I 7,530.00 1,543,825.00 2,161,355.00 1,505.05 334,578,867.05 MorganStantey 1085 4n925,2015 7:42 pm Prepared by Morgan Stanley / ALC EXHIBIT A Paget| BOND SUMMARY STATISTCS Miami Beach City Center RDA RDA Convention Center Financing, Series 2015 (NewMoney) Dated Date Delivery Date First Coupon I,st fv{aturity Arbihage Yield True Interest Cost (IIC) Net Interest Cost (MC) All-In TIC Average Coupon Average Life(years) Weighted Average Maerity (years) Duration of I5sue (years) ParAmount Bond Proceeds Total Interest Net Intercst Total Debt Service Maximum Annual Debt Service Average Annual Debt Service Underwritet's Fees (per $1000) Average Takedown O0rer Fee Total Underwrite/s Discount Bid Price l2ll0D0r5 tul0Dot5 06l0tD0t6 t2l0tD043 3.9696240/o 4.t86t$% 4.6025210/o 4.400978% 5.0000000/o 19.776 19.615 12.791 308,765,000.00 334578,867.05 30s299,543.75 281,029,501:10 614p64,543.75 23,748,375.00 21,950,475.20 s.000000 5.000000 107.860360 Bond Component ParValue Price Average Average Coupou Ltfe Average Matrrity Date Duration PVof i bp change Serial Bonds (fax-Exempt) Term Boad I (fax-E:<empt) Term Bond 2 (fax-Exempt) 152,175,000.00 110.82s 9oy'3o,o0o.0o 106.212 66,160,000.00 105.528 S.N@/o 14.670 5.000% 23.0755.000% 27.008 08/n2030 oy06n$9 DtDnuz 10.693 14.214 15.423 l^31,n2.90 75,961.20 54,912.80 308,76sp00.00 t9,776 262,846.90 TIC All-In flc tubitsage Yield Par Value + Accrued Interest + Premirun @iscount) - Unden/dtet's Discount - Cost oflssuance Erqense - Other Amounts Target Yalue Targethe Yield 308,765,000.00 2s,813,867.05 (1,543,82s.00) 308,765,000.00 25,813,867.05 (1,543,82s.00) (617,530.00) 30&76s,000,00 25,813,857.05 333,035942.05 tzlt0D0t5 4.186144% 332A17,512.05 12t10120t5 4.4$978o/o 334,578,867.05 tarcD0$ 3.9696240/o Morganstantey 1086 4ag25,2015 7:42pm Prepared by Morgan Stanley / ALC EXHIBIT APage 13 BoodComponmt Mahrity Date BONDPRICING Miami Beach City Center RDA RDA Convention Center Financing Series 2015 (New Money) Amount Rste Yiold prisc ,;ffi #cdl Price Prmiu (-Diecount) Serial Bonds (Tax-Exarpt): LZntD023 Dlotna[ laolD0z5 w0tn0z6 t2l0u2027 Drctn028 l2l0tn029 12t0y2010 Dtotn$l 12t0v2032 1u0112033 1A0tDoy luotn$s TmBond I (Iu-Exeml): 12101D016 LUotn$7 t2t0tD038 tu0tn$9 tu0y2040 TmBoad 2 (Iax-Exompt)t L2l0tn04r w01nuz w01n043 1U01n044 8,52q000 5.w0%' 8,960,000 s.crJoyo 9,415,000 5.000% 9,900,000 5.000vo 10,410,000 5.m0% 10,940,000 5.@0% 11,505,000 5.000% 12.095,000 5.m0% 12,715,000 5.000% 13,365,000 5.000% 14,050,000 5.000%u,n0,o00 5.000% 15,530,000 5.000% 152,t75,000 15,325,000 5,000% 17,160,000 s,000% 18,(M0,000 5.000% 18,965,000 5.000% 19,940,000 5.000% 90,430,000 20,960,000 5.00u/o 22,035,00A 5.0000/0 23,t65,000 5.000% 5.000% 66,160,000 tt5.625 I 15.533 1t5.544 113.89 C 3.167% 112.358 C 3.7l2Yo lll.I13 c 3.9000/o 110.496 C 4.0llo/o 109.884 C 4.110% 109.363 C 4,190% 108.930 C 4.2s6% 108.500 c 4.3t5% t08.157 C 4.363% t07.816 c 4.407% lM.2L2 C 1.580% t06.2t2 c 4.5800h 106.212 c 4s80% t06.zt2 c 4.5800A 1062t2 c 1.s80% 105.628 C 4.61504 105.628 C 4.645Yo 105.628 C 4.61s% 10s.628 C 4.6150/t 1331r50.00 t,400,716.80 1,463,467.60 100.000 1J75,308.00 100.000 1,u6,467.80 100.000 1215,70.20 100.0@ 12r7,s64.80 100.000 1,195369.80 100.000 1,190,505.45 100.000 I,193,494.50 100.000 1,194,250.00 100.000 1204,78E.90 100.000 1213,824.80 16,472,870.65 100.000 1,014,109.00 100.000 r,065,979.?0 100.000 1,120,6{4.80 100.000 I,u8,105.80 100.000 Jl!@!q 5,617,511.60 100.000 1,179,628.80 100.000 1340,129.80 100.000 1,303,726.20 100.000 -- 3,721,484,80 2.t00o/o 3.000c/o 3.1700/o 3.3s0% 3.520% 3.660% 3.730% 3.800% 3.864% 3s10% 3.960% 4.000% 1.M0% 1.230% 42300/. 4230o/o 423A% 4230/o 4.300% 4.300% 4300% 4.3000/" ra0rn02s pl0tn025 taou2025 laoll2025 ta0Ln025 12t0U2025 w0tn025 12t0v2025 0l0tn02s 1?r'01nA25 ra)tn025 t210112025 ta0Ln0?5 tu0tn02s raitn025 ta0tn025 lu01n02s l2t0tD025 lu01n02s 308,765,000 25.813.867.05 Dated Date DelivcryDae Firrt Coupon PtrAEqlt Prcuiu Production UndEm't!1s Disomt Prebase Pricc Accrucd Iotemt NctPreee& wrcnot5 turcnots 06larnlrc 308,765,000.00 2s,913,867.05 334,578,867.05 108.360360% (r,s43,825.00) (0.500000vo) 333,035,042.05 101.8603600/c 333,035,042.05 MorganStantey 1087 A,tg25,2015 7t42 pm Prepored by Morgan Stanley I ALC EXHIBIT A Peset4 BOND DEBT SERVICE Miami Beach City Center RDA RDA Convention Center Financing, Series 2015 (NewMoney) D6r€d Datc LA!0n015DeliveryDatc L2ll0n0l5 Pdod Erding Prircipal Coupol Arnual Debt Smice Dsbt Swicc 06ntn016 09B0n0$ 12rcln0rc 06101n0n 0980n0t7 w0tn0n 06Nln0$ 0980D0t8 ,2frtno$ 06101t2019 09B0tzot9 t2fiv2019 o6/0tD020 09f,0n020 Dnvz0?0 o6nlno2t 09BAn@r vntn02t 06ntn022 0980n022 Dnlnozz 06nln023 09R0n023 Dnln023 06101no24 09b0na4 Dnw024 o6fitnv25 09/l,0r202s w,tnv2s 05t0w026 09R012026 LU|VZ026 0610u2027 09/t0n027 oJ0tnon 06t0w028 0913012028 12t0tn028 o6t0tnt29 09/3,0n029 t2t01t2029 0610tnoao 09R1nBo ra01n0* 06t0tn$l 09n0D031 tavy203l 06ntn$2 09130n$2 ta|tn$z 06t0112033 09B0nB3 tu0ln013 06101n034 09R0n034 tultn$4 a6t0112035 09Bon$s lu0tn$5 06nln$6 09i30n066 tavln$6 06t01n037 09130n037 tztttD037 06/01n03E 09t30n$8 ta0v2038 06101n$9 8,520,000 E,960,000 9,415,000 9,900,000 10,4I0,000 10940,000 I 1,505,000 12,095,000 t2,7t5,000 13,365,000 14,050,000 14,770,000 15,530,000 16,325,000 17,160,000 18,040,000 7 331,168.75 7:ilg,rzs.00 7J19,12s.00 7:119.125.00 7;t19,125.00 7 Jl9,l2s.N 7 ,719,125.00 7,719,125.00 7,719,125.00 7,719,125.00 7,719,r25.00 7,719,rzs.00 7,719,125..00 7 ,719 ,125 .00 7,719,125.00 5.000% ?J19,12s.00 7,506,125.00 5.000% 7,506,125.00 7,282,125,00 5.000% 7 282,125.N 7,046,750.00 5.000% 7,046,750.00 6J9925o.00 5.000% 5J99,250.00 6,539,000.00 5.000% .5,539,000,00 6r65,500.00 5.0@% 6265,500.00 5,W,t75,00 5.000% 5977,E75.00 5,675,500.00 5.000% 5,675,500.00 5,357,625.00 5.000% 5357,62s,00 5,023,500.00 5.000% ,,023,500.00 4,672,750,N 5.Q00o/o 4,612,250.00 4,303,000.00 5.000% ,+,303,000.00 3,914,7s0.00 5.000% 3914,750.00 3,506,625.00 5.000% 3,506,625.00 3,077,625.00 5.000% 3,077,625.00 2,626,625.W 7,333,168.75 7,7 t9,t25.00 7J19,12s.00 7:119,125.00 7,719,125.00 7J19,125.00 7,7r9,r25.00 7,719,12s.00 7,7t9,t25.o0 7,719,125.00 7,719,125.00 7319,12s.00 7,719,125.00 7,719,125.00 7,719,125.00 16,239,t2.5.00 7,506,125.00 16,466,125.00 7,282,125.00 16,697,125.00 7,046,750.00 t6,946,750.00 6,7992s0.00 17209,2,50.00 6J39,000.00 17,479,000.00 6265,500.00 17J70,500.o0 5,977,875.00 Lt,072,t75.00 5,675,500,00 18J90,500.00 5357,625,00 r8,722,62s.00 5,023,500.00 19,073,500.00 4,6722s0.00 19,142,250.00 4,303,000.00 19,833,000.00 3914J50.00 ?;0,239Js0.00 3,506,625.00 20,666,625.00 3,077,625.00 2t,117,625.00 2,626,625.00 7,333,168.75 15,438,250.00 15,138r50.00 15,t38,250.00 15,438,250.00 15,438250.00 15,{38250.00 15,138250.00 23,745,250.O0 23,74E,250.00 23,743,87s.00 23,746,000.00 23,748,250.00 21,7U,5W.O0 21,748,375.00 23J48,375.00 23,748,125.00 23,746,12s.00 21,14s,750.00 23,745,250.O0 23,?47,750.00 21,746375.00 23,744,250.00 MorgarrrStantey 1088 Alg 25, 2015 7 :42 pm Prepared by Morgau Stanley / ALC EXHIBIT APag" ls BOND DEBTSERVICE Marni Beach City Center RDA RDA Convention Center Financing, Series 2015 (New Money) pcriod Amual Eading Principal Corpon lflterrst Dcbt Seiloe Dcbt Smie 09B0n019 23,7{/.250.00 12t01D039 18,965,000 5.000% \625,6U.00 2t,591,62s.00 0610tD040 2,152,500.00 2,152,s00.0009B0nu0 73,7U,125.00tu0Lauo 19p40,0{n 5.0007o 2,152,500.00 22,092,500.00 0510tn04t 1,554,000.00 1,654,000.00 09t30auLtaotrzo4l 20,950,000 s.000% 1,554,000.00 22,614,000.00 23,715,500.00 o6t0rD012 1,130,000.00 1,130,000.0009R0D042 23.714,000.00 lUilnW2 22,035,000 5.000c/o 1,130,000.00 23,165,000.@06n1D041 579,125.00 579,t25.4009R0D041 23,744,125.00 nfitnu3 23,165,000 5.000% 579,t25,00 2?,744,125.W09R0n044 23,744,12s.00 30&765,000 305,299,543.7s 614,064,s43.75 614,064,543.75 MorganStantey 1089 4ug25,2015 7:42pm Prepared by Morgan Stanley / ALC Period Ending EXHIBIT A page 16 NETDEBTSERVICE Miami Beach City CentorRDA RDA Convention Center Financing, Series 2015 (New Money) Total Debt Service Net Principal Interest Debt Service Reserve Fund Debt Service 09t30t20t6 09R0/2017 09/30D018 09B0n0t9 09R0/2020 09/3012021 09/3012022 0913012023 09130t2024 09130/2025 09/3012026 09/3012027 09t3012028 09/3012029 09/30n030 09l30D03l 09130D032 09t30D033 @130D034 09t30D035 09/30D036 09/30D037 091301203E 09/3012039 09130D040 0913012041 09t30D042 09/34D043 09t3012044 8,520,000 8,960,000 9,415,000 9,900,000 10,410,000 10,940,000 I 1,505,000 12,095,000 12,715,000 13,365,000 14,050,000 14,770,000 15,530,000 16,325,000 17,160,000 18,040,000 1E,965,000 19,940,000 20,960,000 22,035,000 23,165,000 7,333,168.75 15,438,250.00 15,438,250.00 15,438,250.00 15,438,250.00 15,438,250.00 15,439,250.00 15y'38,250.00 15,225,250.00 14,788,250.00 14,328,875.00 13,E46,000.00 13,338,250.00 12,804,500.00 12,243,375.A0 11,653,375.00 1 1,033,125.00 10,38 l,125.00 9,695,750.00 8,975,250.00 8,217,750,00 7,421,375.00 6,584,250.00 5,704,250.00 4,779,125.00 3,E06,500.00 2,784,000.00 1,709,125.00 579,125.00 7,333,168.75 15,438,250.00 15,438,250.00 15,438,250.00 15,438,250.00 15,438,250.00 15,438,250,00 15,438,250.00 23,745250.00 23,748,250,00 23,743,875.00 23,746,000.00 23,748,250.00 23,744,5N.00 23,748,375.00 23,748,375.00 23,74E,t25.00 23,746,125.00 23,745,750.00 23,745,250.00 23,747,750,A0 23,746,375,00 23,744,250.00 23,744,250.00 23,744,125.40 23,',|46,500.00 23,744,000.00 23,744,125.00 23,744,125.00 112,804.78 237,483.76 237,483.76 237,483.76 237,483.76 237,483.76 237,483.76 237,483.76 237,483.76 237,483.76 237,483,76 237,483.76 237,483:16 237,483.76 237,483.76 237,483.76 237,483.76 237,483.76 237,483.76 237,483.76 237,483.76 237,483.76 237,483,76 237,483.76 237,483.76 237,483.76 231,483.76 237,483,76 23,867,116.88 7220,363.97 15,2W,766.24 t5,200,766.24 15,20n.,166.24 t5200,766.24 $,240,766.24 t5,2W,766.24 15,20n.,766.24 23,507,766.24 23,510,766.24 23,506,391.24 23,508,516.24 23,510,766.24 23,507,016.24 23,510,89t.24 23,510,891.24 23,510,641.24 23,508,641.24 23,508,266.24 23,507,766.24 ?3,510,266.24 23,508,897.24 23,506,766.24 23,506,766.24 23,5M,641.24 23,5W,016.24 23,506,516.24 23,506,641.24 (t22,99t.E8) 308,765,000 305,299,543.75 614,064,543.75 30,391,9E3.18 583,672,560.57 MorganStanley 1090 Aug 25,2015 7:42pm Prepared by Morgan Stanley / ALC EXHIBIT AvaserT SOURCES AND USES OF FT'NDS Miami Beach City Center RDA Series 2015 Taxable Refunding of Series 1998A Non-Callables Dated Date ta70l20t5 Delivery Date 1ArcD0l5 Bond Proceeds: Par Amorrnt 9,970,000.00 9,970,000.00 Refunding Escrow DeposiB: Cash Deposit SLGS Purohases Delivery Date Expenses: Cost oflssuance Underwriteds Discount Other Uses ofFunds: Additional Proceeds 10.23 9,896,968.00 9,896,978.23 19,940.00 49,850.00 69,790.00 3231.77 9,970,000.00 MorEanStantey 1091 Aug25, 2Al5 7 :42 pm Prepared by Morgan Staoley / ALC EXHIBIT A Page 18 BOND SUMMARY STATISTICS Miami Beaoh City Center RDA Series 2015 Taxable Refunding of Series 19984 Non-Callables Dated Date Delivery Date First Coupon Last lvlaturity Arbitrage Yield True Interest Cost (TIC) Net Interest Cost (NIC) All-InTIC Average Coupon Avemge Life (years) rtreighted Average Maturity (years) Duration of Issuc (years) Par Amount Bond Proceeds Total Interest Net InterDst Tobl Debt Service Maximum Annual Dobt Service Avenge Annual Debt Service Underwriter's Fees (per $ I m0) Avorage Takedown Other Fee Total Undenwite/s Discouat BidPrice 5.000000 99.500000 Average Average Average Maturity Coupon Life Date lurcn0$ tut0a0l5 0610112016 t2t0tD020 2.672164% 2.56768V/o 2.56ffi34% 2.640289% 239454s% 2.945 2.905 2.808 9,970,000.00 9870,000.00 69t.166.s0 743,316.50 10,663,466.50 2233,120.2s 2,t43Al0.ls 5.000000 Bond Component Par Value Prise PVof l bp change Serial Bonds (Iaxable)9,970,000.@ r00.000 2.395Yo 2.905 1ln4n0l8 2.81I 2J08.3s 9,970,000.00 L708.35 TIC All-In TIC Arbitage Yield ParValue + Acsrued Intercst + Premiurn (Discount) - Undervritels Discount - Cost oflssuanoe Expense - Other Amounb TargetValue Target Date Yield 9,970p00.00 (49,850.00) 9,970,000,00 (49,850.00) (19,940.00) 9,970,000.00 9,920,150,00 12lloa't5 2.567680% 9800210.00 t2/1012015 2.6/]0289% 9,970,000.00 tarcn0t5 2.6n1&% MorganStantey 1092 4ug25,2075 7:42pm Prepared by Morgan Stanley / ALC EXHIBIT Arage le BONDPRICING Miami Beach City CenierRDA Series 2015 Taxable Refunding ofSeries 19984 Non-Callables Maturity Bond Component Date Amount Rate Yield Prioe Serial Bonds (Taxable): Wolnorc 2,025,000 1.426% 1.4260/o 100.000lA01D0l7 2,060,000 1.5760/o 1,5760/o 100.000l?0ll20l8 2,105,000 2.ll4o/o 2.174o/o 100.000l2l0l/2019 2,150,000 2.6930/o 2.6930/o 100.000taov2020 1,630,000 2.9430/o 2.9430/o 100.000 g,g70,ooo Dated Date Delivery Date First Coupon ParAmount Original Issue Discount Production Underwritefs Disoount Purchase Price Accrued lnterest Net Proseeds tullzots tut0t20t5 o6t0tnorc 9,970,000.00 9,970,000.00 100.000000% (49,850.00) (0.5000000/0) 9,920,150,00 99.500000% 9,920.r50.00 Morgan$tantey 1093 Aug 25, 2Ql5 7 :42 pm Prepared by Morgan Stanley / ALC EXHIBIT A Pase2o ST'MMARY OF REFUNDING RESULTS Miami Beach City Center RDA Series 2015 Ta:rable Refirnding of Series 1998A Non{allables DatedDate Delivery Date Arbitage yield Escrow yield Value of Negative Arbitrage Bond Par Amount True Interest Cost Net Interest Cost Average Coupon AverageLife Par anrount ofrefiraded boods Average coupon ofrefunded bonds Average life of refunded bonds PV of prior debt to la10a0l5 @2.6721640/o Net PV Savings Percentage saviogs of refinded bonds Percentage savings of refunding bonds tafintt5 turcDats 2.672164% 1.180238yo 398,985.10 9,970,000.00 2.56?680% 2.566634% 2.394505o/o 2.905 8,520,000.00 6.6800007o 2.979 9,497,983.08 (390,259A7) (4.5805107o) (3.914338{/0) Morgan $tantey 1094 Aug 25, 2015 7:42 pm Prepued by Morgan Stanley / ALC EXHlBlr Apaeezr SAVINGS Miami Beach City Center RDA Series 2015 Taxable Refunding of Series 19984 Non-Callables Present Value Prior Refunding b 12'/rc12015 DebtService DebtService Savings @ 2,6721641% 09t30D016 09t30D017 0913012018 09/30120,9 0913012020 091302021 284568.00 2,101,197.00 2,101,64s.00 2,109,2M.00 2,103,660.00 r,529,432.00 100,563.30 2,222,273.95 2,226,602.94 2,233,120.25 2,226,920.65 1,653985.45 184004.70 (12r,076.9s) (124,9s7.90) (123,876.25) (t23,260.65) (124,553.45) 781,699.20 (119,784.96) (1 19,824.65) (11s,216.74) (1 l 1,219.33) o49J44.76\ 10,229,746.00 10,663,466.50 (433,720.s0) (393,49t.24) Savings Summarv PV ofsavings fiom cash flow Plus: Refunding funds on hand NetPV Savings (393,491.24) 3,231.17 (390259.47) Morgan$tantey 1095 Aug 25, 2015 7:42 pm Prepared by Morgan Stanley I ALC EXHIBIT A pase21 BONDDEBTSERVICE Miami Beach City Center RDA Series 2015 Taxable Refunding of Series 1998A Non-Callables Dated Date lAl0D015 Delivery Date 12110/2015 ?eriod Annud Ending Principal Coupon Interest Debt Service Deb't Service 100,563.30 100,563.3006t0tr20M 0913012016QrcU20l6 2,025,000 1.4260/o 105,856'10 2,130'856.10 0610u20t1 09t30120t7 12/0112011 2,060,000 1.5760/o 9U17.85 2,151'411.85 06t0tno18 75,185.05 75,185.05 09/3012018t2l0u20l8 2,105,000 2.114% 75,185.05 2,180,185.05 06/0y2019 09BAD0I9 52935.20 52,935.20 l2l}l/2019 2,150,000 2.6930/o 52,935.20 2,202'935.20 91,417.85 91,417.85 06101n020 09f0/2020DrclnOzO 1,630,000 2.943o/o 23,985.45 1,653,985.45 09t30D02l 100,563.30 2222273.95 2226,602.90 2233,120.25 2226,920.65 1,653,985.45 23,985.45 23,985.45 9,970,000 693,466.50 10,663,466.50 10,663,466.50 Morganstantey 1096 At825,2015 7t42pm Prepared by Morgan Stanley / N-C EXHIBIT Aragezl NETDEBT SERVICE Miami Beach City Center RDA Series 2015 Taxable Refunding of Series 1998A' Non{allables Perioil Ending Principal Total Net Lrterest Debt Service Debt Service 09/30t2016 09/3UzAfi 09t30D018 a9B0D0t9 09/30D020 09/30D021 2,025,000 2,060,000 e105,000 2,l5o,oo0 1,630,000 I00,563.30 197,273.9s 166,602.90 t28,t20.2s 76,920.65 23,985.45 100,563.30 2,222273.9s 2,226,602.90 2,233,120.25 2,226,v20.6s r,653,985.45 100,563.30 2,222,273.95 2,226,602.90 2,233,120.25 2,226,920.65 1,653,985.45 9,970,000 693,466.50 10,663,466.50 70,663,466.50 Morgan$tailley 1097 Aug 25, 2015 7:42pm Prepared by Morgan Stanley / ALC EXHIBIT A Page24 SUMMARY OF BONDS REFI.JNDED Miami Beach City Center RDA Series 2015 Taxable Refunding of Series 19984 Non-Callables Call Prioe Par Call Amount Date Meturity lnterest Date Rate Series I998 (Taxable), 1998:BOND t2t0u20t6 ta|t/2017 tu0U20t8 . 12t0112019 l2l0tDmi 6.680% 6.6E0% 6.6800/o 6.680% 6.6800/o 1,585,000.00 1,695,000.00 1,820,000.00 1,940,000.00 I,480,000.00 8,520,000.00 hlorganStantey 1098 Ang25,2015 7:42pm Prepared by Morgan Stanley / ALC EXHIBIT APag"2s SOI]RCES AND USES OF FTINDS Miami Beach City CenterRDA Series 2015 Taxable Refunding ofSeries 20054 Dated Date l2ll0l20l5 Delivery Date l2y'l0l20l5 Bond Proceeds: ParAmount 25,650,000.00 25,650,000.00 Refunding Escrow Deposits: Cash Deposit Delivery Date Expenses: Cost of Iszuance Other Uses ofFunds: Additional Proceeds 25,470,010,00 51,300.00 Underrryriter's Discount 128,250,00 179,550.00 25,650,000.00 Morgan$tantey 1099 Aug25,2015 7:42 pm Prepared by Morgan Stanley/AIC EXHIBIT A Page26 BOND SUMMARY STATISTICS Miami Beach City Center RDA Series 2015 Taxable Refunding ofSeries 20054 Dated Date Delivery Date First Coupon Last Ivlatrrity Arbjrage Yield True Interest Cost(fIC) Not Intcrest Cost (NIC) All-InTIC Average Coupon Average Life (years) WeighGd Average Maturity (years) Duration of Issue (years) ParAmount Bond Proceeds Total Interest . Net IntLerest Total Debt Service Maximum Aanual Deb't Service Average Amual Debt Service Underwrib/s Fees (pet $1000) Average Takedown OtherFee Tobl Undemritet's Discount Bid Price 5.000000 99.500000 Average Average MatudtyLife Dat€ tarcn0$ turcn0t5 0610lD016 Qfrtno22 2.6721@% 3.181152Yo 3.18s191% 3_229665% 3.074586% 4.s21 1.521 4215 25,650,000.00 25,650,000.00 3,s65,097.8s 3,693,347.85 2921s,09?.8s s,s83236.35 4,188,544.49 5.000000 Bond Component PV of1 bP Duration change Par Value Price Average Coupon Serial Bonds (Iaxable)25,650,000.00 100.000 1.075%4.s21 061fit2020 10,50s.25 25,650,000.00 10,505.25 All-In TICTIC tubitrage Yield Par Value + Accrued Int€rest + Premium @iscount) - Undernritet's Discount - Cost of Issuance E4ense - Other Amounts Trget Value Target Date Yield 25,650,000.00 (128,2s0.00) 2s,6s0p00.00 (128,2s0.00) (51,300.00) 25,650,000.00 2s,s2t;750.N 0/rcn9ts 3.181152% 25,470,450.00 tunn0rs 3229665o/o 25,650,000.00 lal0a0l5 2.672164% Mor,ganStantey 1100 Ang25,2015 7:42pm Prepared by Morgan Stanley / AJ-C EXHIBIT Apaezt BONDPRICING Miami Beach City CenterRDA Series 2015 Taxable Refunding ofSeries 2005A Bond Component Maturity Date Amount Rate Yield Serial Bonds (Taxable): raotDaM ra0tD017 tauDafi ta0tno19 lAUn020 1A0tD02t tu0y2022 1.426% 1.s76% 2.1r4% 2.693% 2.943% 3.3320/" 3.5820/o 100.000 r00.000 100.000 r00.000 100.000 100.000 100.000 2,740,000 1.426% 2,785,000 1.576% 2,840,000 2.114% 2,915,000 2.693% 3,600,000 2.943o/o 5,285,000 3.332% 5,485,000 3.582% 25,650,000 Dated Date Delivery Date First Coupon ParAmount Original Issue Discount Production Underwriter's Discount Purchase Price Accrued Interest Net Proceeds 1AfiD0ts 12n0D015 06101D016 25,650,000.00 25,650,000,00 100.000000% (128,250.00) (0.50000070) 25,521,750.00 99.500000% 25,521,750.00 Morgan$tantey 1101 Artg 25,2015 7 :42 prn Prepared by Morgan Stanley / AL,C EXHIBIT A paee28 SUMMARY OF REFT]NDING RESULTS Miami Beach City Center RDA Series 2015 Taxable Refuuding ofSeries 20054 Dated Date Delivery Date Arbitrage yield Esuowyield Value of Negative Arbitage Bond Par Amount True Interest Cost Net Interest Cost Average Coupon Average Life Par amount ofreflmded bonds Average coupon ofrefunded bonds Average life of refunded bonds PV of prior debtto 12fi01015 @2.672164% Net PV Savings Percentage savings of refirnded bonds Percentage savings of refirnding bonds 1ArcDots tunnots 2.672164% 0.000000% 25,650,000.00 3.t81152% 3.185191% 3_074586% 4.52t 25,470,000.00 5.1893770/o 4.618 28,206,3;09.11 2,138208.20 8.395007% 8.33609,40/o NtorganSlantey 1102 Aag25, 2015 7:42pm Prcpared by Morgan Stanley / ALC EXHIBIT Atugeze SAVINGS Miami Beach City Center RDA Series 2015 Taxable Retunding ofSedes 2005A Prior Refunding Debt Service Debt Service Present Value to 1211012015 Savings @ 2.67216410/o 09t30t2016 09B0nafi 09130D0t8 o9l30D0t9 0913012020 09/30n02t 09t3012022 09R02,023 623,087.90 3,716,001.75 3,720234.75 3,720,478.50 3,726,279.00 4,322,061.00 5,865,698.50 5,879.553.00 332,509.24 3,420,483.26 3,424,001.26 3,427,036.66 3,432,767.38 4,025,542.90 5,569,520.80 5,583,236.35 290,578.66 295,518.49 296,233.49 293,441.84 293,511.62 296,s1 8.10 296,17?.70 296,316.65 286,526.94 284,568. l5 278,330.95 268,944.35 262,379.61 258,623.88 252,161.05 246,233.27 37,573,394.40 29,215,097.85 2,358,296.55 2,137,768.20 Savines Summary PV ofsavings from oash flow Plus: Refimding firnds on hand Net PV Savings 2,137,768,20 440.00 2,138,208.20 MorganStanley 1103 Aug 25, 2075 7:42 pm Prepared by Morgan Stanley / ALC EXHIBIT A Page3o BOND DEBT SERVICE Miami Beach City Center RDA Series 2015 Ta.rable Refinding of Series 2005A DatedDate l2/fin015 Delivory Date lZrclz0ls period Annual Ending Principal Coupon lnterest Debt Service Debt Service o6l0u20t6 wl30/2016lzrctnorc 2,740,000 1.4260/o 350,009.73 3,090,009.73 06t07D01't 330,473.53 330,473.53 09B0n$nl2l0ta0t7 2,785,000 1.576% 330,473.53 3,115,473.53 332,509.24 332,509.24 06t0tD0t8 09130D0t8l2l}llz}lE 2,840,000 2.ll4o/o 308,527.73 3,148'527.73 06totD0L9 0913012019t2l0u20t9 2,915,000 2.693% 278,508.93 3,193,508.93 06l0tna20 0913012020 1210112020 3,600,000 2.943% 239,258.45 3,839,258.45 06t0tD02t 09t3012021l70ll202l 5,285,000 3.332o/o 186,284.45 5,471,284.45 06/0r/2022 09/30/2022l2/Oll2022 5,485,000 3.582o/o 98,236.35 5'583'236.35 09/3012023 332,509.24 3,420,483.26 3,424,001.26 3,427,036.66 3,432,767.38 4,025,5O.90 5,569,520.80 5,583,236.35 308,527.73 308,527.73 278,508.93 218,508.93 239,2s8.45 239258.45 186,284.45 186,284.45 98,236.35 98,236.35 25,650,000 3,565,097.E5 29,215,091.85 29,215,097.85 Morgan$tantey 1104 Atg25,2015 7:42pm Prepared by Morgan Stanley / ALC EXHIBIT Apae,3t NETDEBTSERVICE Miami Beach City C-enter RDA Series 2015 Taxable Refunding ofSeries 2005A Period Endiag Principal Total Net Interest Debt Service Debt Service 09/30t2016 09/30120t7 09/30D018 09/3012019 09R04'020 09R0D021 09R012022 09/30D023 2,740,000 2,785,000 2,940,000 2,915,000 3,600,000 5,295,000 5,485,000 33Ls09.24 680,483.26 639,001.26 587,036.66 517,767.38 425,542.90 284,520.80 98,236.35 332,509.24 3,420483.26 3,424p07.26 3,427,036.66 3,432,767.38 4,025,542,90 5,569,520.80 5,583,236.35 332,509.24 3,420,483.26 3424,00t.26 3,427,036.66 3,432,767.38 4,025,542,90 5,569,520.80 5,583,236.35 25,650,000 3,565,097.85 29,215,097.85 29,215,097.85 MorganStantey 1105 Aug 25, 2Ol 5 7 :42 pm Prepared by Morgan Stanley / ALC EXHIBIT A pase31 SI'MMARY OF BONDS REFT]NDED Miaoi Beach City CentorRDA Series 2015 Taxable Refunding ofSeries 20054 Matudty Interest Par Date Raie Amount Call Price Call Date Series 20054 (Taxable), 2005A_frCBOND tuotn|rc 1u01t2017 luotD0tS railn0t9 LAUD020IBRM tU0y202t laotD022 4.930o/o 5.010% 5.tttr/o 5.170% s.2a0% 5.220% 5.220% 2,465,000.00 2,595,000.00 2,730,000.00 2,890,000.00 3,645,000.00 5,425,000.00 5,730,000.00 turcn0t5 r2n0t2015 12fi0n015 tut0r2075 tafinu5 tut0t20t5 tafin0t5 100.000 100.000 100.000 100.000 100.000 100,000 100.000 2s,470,000.00 MorganStan 1106 Aug 25, 2075 7:42pm Prepared by Morgan Stanley / ALC EXHIBIT Apageas SOURCES AND USES OF FI]NDS Miami Beach City Center RDA Series 2015 Ta:<-Exempt Cunent Refrrnding of Series 20058 Dated Date tarcD|ts Defivery Date 1211012015 Bond Proceeds: Par Amouat Premium 14,110,000.00 1,354,705.20 15,464,705.20 Refunding Escrow Deposit: Cash Deposit Delivery Date Expenses: Cost oflssuance Underwriter's Discount OtherUses of Funils: Additional Proceeds 15,365,010.00 28,220.00 70,550.00 98,770.00 925,20 15,464,745.20 MorganStantey 1107 Aug?5,2015 7:42pm Prepared by Morgan Stanley I ALC EXHIBIT A Pase34 BOND SUMMARY STATISTICS Miqmi B€ach City Center RDA Series 2015 Tat-Exempt Cunent Refunding ofSeries 20058 Bond Component Dated Date Delivery Date First Coupon Last Matrrity Arbitrage Yield True Interost Cost (TIC) Netlntercst Cost(NIC) All-InTIC Average Coupon Average Life (years) rr)ireighted Average Maturity (yeam) Duration of Issue (yean) Par Amount Bond Proceeds Total Interest Net Interest Total Debt Service Maximum Aonual Debt Service Average Annual Debt Service Underwritels Fees (per $1000) Average Takedown Other Fee Total Underrryrite/s Discouat Bid Price Par Value Price 5.000000 109.101029 Average Average Average MaturityCoupon Life Date tut0t20t5 taL0D0t5 Mn12orc l2t0tD022 2.6721640/o 2.2082560/o 2.358202% 2.2s5304% 4.5538t?o/o 4.145 4.2)5 3.862 14,1 I 0,000.00 15,464,705.20 2,663,402.s0 1,3',19247.30 16,7'.13,402.s0 2,366Js0.00 2JMJ88.89 s.000000 PVoflbp change Serial Bonds (fax-Exempt)t4,110,000.00 109.601 4.554%4.145 0113112020 1.867 5,861.65 14,1 10,000.00 5,861.65 All-In TIC fubibage Yield Par Value + Accrued Interest + Premium @iscount) - Underuritels Discount - Cost oflssuance Expense - OtherAmounts Targot Value TErget Date Yield 15,394,155.20 12r'fiD015 2.208256% t4,1 t0,000.00 1,354Jos.20 (70,s50.00) 14,1 10,000.00 1354:705.20 (70,5s0.00) (28220.00) 14,1 10,000.00 1,354,705.20 15,36sp3s.20 r2lfin0$ 2.256304% t5,464,705.20 t2lt0D0t5 2.6721640/o MorganStantey 1108 Aug 25, 2015 7:42 pm Prepared by Morgan Stanley / ALC EXHlBlr APaeels Bond Component Matuity Date BONDPRICING Miami Beach City CentcrRDA Series 2015 Tax-Exempt Current Refunding ofSeries 20058 Amount Rate Yield Price Premium (-Discount) Serial Bonds (Tax-Exempt): tuov20t6 0/01r20n tuou20t8 tu$tn0t9 lu0y2020 ta0u202t" 12n1n022 1,795,000 2.0000/, 1,840,000 3.000o/o 1,905,000 4.00tr/o 1,990,000 4.0000/o 2,090,000 5.000p/o 2,190,000 5.000% 2,300,000 5.00070 0.640% l.l30o/o 1.500a/o 1,7700/o 2.060% 2.360% 2.6200/o 101,3 19 103.641 fi7.247 10E.522 I 13.833 l14.63l 115.081 23,676.05 66,994.40 138,055.35 169,587.80 289,109.70 320,418.90 346,863.00 14,110,000 1,354,705.20 DatedDate Delivery Date First Coupon ParAmount Premium Pmduction Underwriter's Discount Purchase Price Accrued Interest Net Proceeds tut0l20l5 tarcl2ot5 0610U20L6 14,1 10,000.00 t,3s4,70s20 15,464,705,20 (70,550.00) 109.60t029% (0.500000%) 15,394,155.20 t09.101029% t 5,394,155.20 MorEan $antey 1109 Aug 25, 2015 7 :42 pm Prepared by Morgan Stanley / ALC EXHIBIT A page36 SI.]MMARY OF REFUNDING RESIJLTS Miami Beach City CenterRDA Series 2015 Tax-Exempt Cunent Refinding ofSeries 20058 Dated Date Delivery Dab Arbitrage yield Escrowyield Value of Negative Arbihage BondParAmormt True Interest Cost Net Interest Cost Average Coupon Average Life Par amount ofrefunded bonds Average coupon ofrefunded bonds Average life ofrefunded bonds PV ofprior debt b l?rcn}$ @2.672164r/' Net PV Savings Percentage savings of refunded bonds Percentage savings of refuntling bonds wrcnols tut0l20t5 2.672t640/o 0.000000/o 14,110,000.00 22082560/o 2.3582020/o 4.5538170/o 4.145 15,365,000.00 4.E213670/o 4.169 16,643,818.60 1,520,053.83 9.892963% 10.772883% MorganStantey 1110 Aug 25, 2015 7 :42 pm Prepared by Morgan Stanley / ALC EXHIBIT Arage:z SAVINGS Mismi leso6 gitY Center RDA Series 2015 Tax-Exempt Current Refirnding ofSeries 20058 Present Value Prior Refimding b 1?rc12015 Debt Service Debt Service Savings @ 2.6721641% wR0D016 09l30D0t7 09130D0t8 0913012019 09t30D020 09/30D021 09/302022 09t30D023 353,993.75 2,583,125.00 2,581,500.00 2,580,000.00 2,588,125.00 2,592,250.00 2,586,250.00 2,588,125.00 273,552.50 2,35\950.00 2,352,400.00 2,351,700.00 2,358,800.00 2,366,750.A0 2,359,750.00 2,357,500.00 80,441.25 230,175.00 229,100.00 228,300.00 229,325.00 225,500.00 226,500.00 230,625.00 79,199.91 223,581.20 216,978.28 210,724.52 206,305.70 197,47',1,41 193,216.80 191,644,81 18,453,368.75 16,773,402.50 1,679,966.25 1,519,128.63 Savines Summary PV ofsavings from oash flow Plus: Refunding funds on hand Net PV Savings r,519,128.63 925.20 1,520,053.83 Morgan$anley 1111 Aug 25, 2075 7:42 pm Prepared by Morgan Stanley / ALC EXHIBIT A page 38 Period Endiag BONDDEBTSERVTCE Miami Beach City Center RDA Series 2015 Tax-Exempt CuuentRefunding ofSeries 20058 Dated Date lUl0l20l5 Delivery Date l?l0l20l5 Principal Coupon Debt Service Annual Debt Service a6t0tt20t6 09130D016 t2l0tD0l6 06t0tD0t7 09130D0t7 taou20t7 06lolDot8 09130t2018 t2t0u20t8 06t0tn0t9 09R0/2019 tzt0u20t9 06t0tDo20 09t30D020 tuot/2020 o6t0tD02l 09t3012021 12t0y2021 06/0lDazz 09/3012022 taolD022 09/3012023 1,795,000 1,840,000 1,905,000 1,990,000 2,090,000 2,190,000 2,300,000 3.000o/o 4.000% s.000% 5.0007o 273,s52.50 287,950"00 270,000.00 270,000.00 242,440.00 242,4A0.00 204,300.00 204,300.00 164,500.00 164,500.00 112,250.00 112,250.00 57,500.00 57,s00.00 n3,552.50 2,082,950.00 270,000.00 2,1 10,000.00 242,400.00 2,147,400.00 204,300.00 2,194,300.00 164,500.00 2,254,500.00 I12,250.00 273,552.50 2,352,950.00 2,352,400.00 2,351,700.00 2,358,800.00 2,366,750.00 2,302,250.00 57,500,00 2,359,750.00 2,357,500.00 2,357,500.00 l4.l 10,000 2,663,402.50 16,773,402,50 16,7'.13,402.50 MorganStantey 1112 Aug25,2Al5 7:42pm Prepared by Morgan Stanley / ALC EXHlBlr Apaee gs Period Ending NETDEBTSERVICE Miami Beach City C€nter RDA Series 2015 Ta:<-Exempt Current Refunding of Series 20058 Total Net Principal Intercst Debt Service Debt Service 09t30t2016 09/30t2017 09/30D0t8 09/30D019 09/30n020 09i30n021 09/3A12022 09/30D023 1,795,000 1,840,000 I,905,ooo l,ggo,ooo 2,090,000 2,l9o,ooo 2,300,000 273,552.50 557,950.00 512,400.00 446,700.00 368,800.00 276,750.00 169,750.00 57,500.00 213,552.50 2,352,9s0.00 2,352,400.00 2,351,700.00 e358,800.00 2,366,750.00 2,359,750.00 2,357,500.00 273,552.50 2,352,950.00 2,352,404.04 2,351,700.00 2,358,800,00 2,366,750.00 2,359,750.00 2,357,500.00 14,1 10,000 2,663402.50 16,773,402.50 16,773,402.50 MorganStantey 1113 Aug 25, 2015 7:42 pm Prepared by Morgan Stanley / ALC EXHIBIT A page4o SUMMARY OF BONDS REFI]NDED Miami Beach City Center RDA Series 2015 Tax-Exempt Current Refunding ofSeries 20058 Bond Maturity Date lnterest Rate Par Call Amount Date Call Price Series 20058 @xempt), 2005B:BOND tA0tD0t6 7U0tn0r7 l2/0ll20tE. t2l0y20t9 1?,0rn020 12l0rD02t 1210112022 5.000% 5.000o/o 5.000% 5.000% 4.000o/o 5.000% 5.000% 1,885,000.00 1,980,000.00 2,080,000.00 2,195,000.00 2,300,000.00 2,400,000.00 2,525,000.00 tul0l20ls tanDot5 tanDot5 tzlt0l20t5 121t0t2015 tana0t5 rut02;0t5 100.000 100.000 100.000 100.000 100.000 100.000 100.000 15,365,000.00 NlorganStantey 1114 oooElo oooElo @ooqloOFOLIN;s661-'l ( ooo6oNFor$6roodooooNNooNoooNooo@N, @ i6oNOoAa+6N66d6ovto@FONNNN@o@@Oi- t-F-@o6@66Fo@oo@NNoo66o@Foo@o@-@srjci o o @ @ N o ^id N.i6 i6@@@@ oo.j@n d@oooF:Ni.i@ @o o 6 0 6a d d @ a- oNoo6i@@tsNNso60@oooo @- N- @- N- O- O- O- 6- @- @- 6- @- @- O- @- N- O_ @- O- @- @- 6- 6" O- N- N_ N- @- @- @- O- O_ O- N @6 ts o N 6 o @ @ N o s oN@tsooOONNosoooOleoFi o \i o @ @ o ; N N -, C, @ 6oao6oooo@OoNNoaoSQSF i FidNNNOOOooStlooa@@N oooooo oooo@iN@ts@ FN@ol o90N@tsoooooo 6ooo6oFFNts *NFNo oNNQ@QO- O" O- 6- O- 6- 6- O- O- i- {- S- @- N- ts- N- N- o- o- ?: N- N- N- o- @- N- o- oooooo ooo@oo@Fot ooNso @9Ei!?t:o60600 606aoN6@@N oNoo@ NooooN6-N-6-qo-6 o 6; di@66Nt @oFs@ oqlN-n- --qovs- t'+t'{{+{dutd dod@d dsrjrjd@ oooo @$oooo @NryryN N N-r @@@@ i@6000 {6o_o_o-o- 6lN- oooo eF@ FoooNots F6@o6@ooO @onNNoFN@i 6NooF iOOQ!tsNo6 <aa@NNo 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E E" H, H. S E E H A e -. e. H. .. E E E E g" H,x x F IsxF F xFx x E ssx sN p px E I ssssF f,E r.- S\tor-q(o (oo o)- e 59 EUE t6'ooovapE 5saFII, t,teo tDo =g{, otxt6F oooE oa',c(, t5:c TL Lo o(J o tr6 co(, o{ o.c eoq o C] o o cng al, ooo o, ot E{, .E E r,l IIJ ,oS(oo6)O(oo(o @- $Ne E_ go$EEe gE'P ollIoo .l!ocl Lo|o3 .pE -o8trOxF.UF t! 0EI C' o CD =o Eo.oo o!oE I 1123 Ir r! - t?15.2015 tu\r&ffirffiffi&ffiM 1124 RESOLT]TION NO. A RESOLUTION OF THE CHAIRPERSON AND MEMBERS OF THE MIAMI BEACH REDEVELOPMENT AGENCY AUTHORIZING THE ISSUANCE OF NOT MORE THAN $43O,OOO,OOO IN AGGREGATE PRINCIPAL AMOLTNT OF MIAMI BEACH REDEVELOPMENT AGENCY TAX INCREMENT REVENUE BONDS (CITY CENTER/HISTORIC CONVENTION VILLAGE) (THE "SERIES 2015 BONDS"), FOR THE PURPOSE OF REFLINDING THE AGENCY'S OUTSTANDING PRIOR BONDS AND FINANCING CERTAIN PUBLIC IMPROVEMENTS; PROVIDING FOR THE ISSUANCE OF ADDITIONAL BONDS ON A PARITY THEREWITH; PROVIDING FOR THE SECURITY AND PAYMENT OF ALL BONDS ISSUED PURSUANT TO THIS RESOLUTION; PROVIDING CERTAIN DETAILS OF THE SERIES 2OI5 BONDS; DELEGATING CERTAIN MATTERS IN CONNECTION WITH THE ISSUANCE OF THE SERIES 2015 BONDS TO THE EXECUTIVE DIRECTOR OF THE AGENCY, INCLUDING WHETHER TO SECURE A CREDIT FACILITY AND/OR A RESERVE ACCOUNT INSURANCE POLICY, WITHIN THE LIMITATIONS AND RESTRICTIONS STATED HEREIN; APPOINTING TINDERWRITERS, PAYING AGENT, REGISTRAR, ESCROW AGENT AND DISCLOSURE DISSEMINATION AGENT; APPROVING THE FORM OF THE PRELIMINARY OFFICIAL STATEMENT FOR THE SERIES 2OI5 BONDS AND AUTHORIZING EXECUTION OF THE FINAL OFFICIAL STATEMENT FOR THE SERIES 2OI5 BONDS; AUTHORIZING THE NEGOTIATED SALE OF THE SERIES 2OI5 BONDS AND APPROVING THE FORM AND AUTHORIZING EXECUTION OF THE BOND PURCHASE. AGREEMENT FOR THE SERIES 2OI5 BONDS; APPROVING THE FORMS AND AUTHORIZING EXECUTION OF ESCROW DEPOSIT AGREEMENTS FOR THE OUTSTANDING PRIOR BONDS, COVENANTING TO PROVIDE CONTINUING DISCLOSURE IN CONNECTION WITH THE SERIES 2015 BONDS AND APPROVING THE FORM AND AUTHORIZING EXECUTION OF A CONTINUING DISCLOSURE AGREEMENT; AUTHORIZING OFFICERS AND EMPLOYEES OF THE AGENCY TO TAKE ALL NECESSARY ACTIONS IN CONNECTION WITH THE ISSUANCE OF THE SERIES 2015 BONDS; AND PROVIDING FOR AN EFFECTIVE DATE,. WHEREAS, the Miami Beach Redevelopment Agency (the "Agency"), a public body corporate and politic, has been duly created and established to transact business and exercise powers under and pursuant to the Florida Community Redevelopment Act, Chapter 163, Part III, Florida Statutes, as amended (together with other applicable provisions of law, the "Act"), including the issuance of revenue bonds, in order to achieve the purposes of redevelopment as set forth in the Act; and WHEREAS, all the requirements of law have been complied with in the creation of the Agency, the adoption and amendment of a redevelopment plan (the "Redevelopment Plan") under the Act for that portion of the City of Miami Beach described in the Redevelopment Plan and known as the "City Center/Historic Convention Village Redevelopment and Revitalization 003-4430-4561/ 4 lAMERTCAS 1125 Area" (the "Redevelopment Area") and the creation and funding of the City Center/Historic Convention Village Redevelopment and Revitalization Trust Fund (the "Trust Fund") in accordance with the Act; and WHEREAS, in connection with the Redevelopment Plan, the Agency has heretofore issued multiple series of bonds, of which the following are currently outstanding: (i) $29,105,000 Miami Beach Redevelopment Agency Tax Increment Revenue Bonds, Taxable Series 1998A (City Center/Historic Convention Village), outstanding in the principal amount of $10,000,000 (the "Outstanding Series 1998,4. Bonds"), (ii) $51,440,000 Miami Beach Redevelopment Agency Tax Increment Revenue Refunding Bonds, Taxable Series 2005A (City Center/Historic Convention Village), outstanding in the principal amount of $27,815,000 (the "Outstanding Series 20054 Bonds"), and (iii) $29,930,000 Miami Beach Redevelopment Agency Tax Increment Revenue Refunding Bonds, Series 20058 (City Center/Historic Convention Village), outstanding in the principal amount of $17,175,000 (the "Outstanding Series 20058 Bonds" and, together with the Outstanding Series 19984. Bonds and the Outstanding Series 20054 Bonds, the "Outstanding Prior Bonds"), pursuant to Resolution No. 150-94, adopted by the Board of Commissioners of the Agency (the "Commission") on January 5, 7994, as supplemented (the "Prior Bond Resolution"); and WHEREAS, the Agency desires to finance certain public improvements in accordance with the Redevelopment Plan, as more particularly described in Exhibit A attached hereto and made a part hereof (collectively, the "Series 2015 Redevelopment Project"); and WHEREAS, pursuant to that certain Third Amendment to Interlocal Agreement dated January 20,2015, among Miami-Dade County, Florida, the City of Miami Beach, Florida, (the "City") and the Agency, entered into in connection with the financing of the Series 2015 Redevelopment Project, it is necessary to refund the Outstanding Prior Bonds; and WHEREAS, in order to refund the Outstanding Prior Bonds and finance the Series 2015 Redevelopment Project, the Agency desires to issue its Tax Increment Revenue Bonds, as more particularly described in this Resolution (the "Series 2015 Bonds"); and WHEREAS, the Agency also desires to set forth the provisions pursuant to which it may issue bonds on a parity with the Series 2015 Bonds and to make provision for the rights and security of the Holders of all bonds issued hereunder; and WHEREAS, the Commission has determined that it is in the best interest of the Agency to delegate to the Executive Director of the Agency, who shall rely upon the recommendations of the Chief Financial Officer of the City (the "Chief Financial Officer") and RBC Capital Markets, LLC, the Agency's financial advisor (the "Financial Advisor"), the determination of various terms of the Series 2015 Bonds, whether to secure a Credit Facility and/or Reserve Account Insurance Policy (as such terms are hereinafter defined) with respect to the Series 2015 Bonds, the final award of the Series 2015 Bonds, and certain other actions in connection with the issuance of the Series 2015 Bonds and the refunding of the Outstanding Prior Bonds, all as provided and subject to the limitations contained herein; and o03-4430-456L/ 4 /AMERtCAS 1126 WHEREAS, the Agency has determined that due to the character of the Series 2015 Bonds, current favorable market conditions, the uncertainty inherent in a competitive bidding process and the recommendations of the Financial Advisor, it is in the best interest of the Agency to authorize the negotiated sale of the Series 2015 Bonds; and WHEREAS, in connection with the issuance of the Series 2015 Bonds, the requirements of Ordinance No. 2007-3582, adopted by the Mayor and City Commission of the City on November 21,2007, including the holding of two public hearings, have been complied with prior to the adoption of this Resolution; NOW, THEREFORE, BE IT DULY RESOLVED BY THE CHAIRPERSON AND ME,MBERS OF THE MIAMI BEACH REDEVELOPMENT AGENCY: ARTICLE I DEFINITIONS, AUTHORITY AND FINDINGS; RESOLUTION CONSTITUTES A CONTRACT SECTION l0l. DEFINITIONS. In addition to the terms defined elsewhere in this Resolution, as used in this Resolution, the following terms shall have the following meanings: "Act" shall mean the Florida Community Redevelopment Act, Chapter 163, Part III, Florida Statutes, as amended, and other applicable provisions of law. "Agency" shall mean the Miami Beach Redevelopment Agency, a body corporate and politic, created pursuant to the Act. "Amortization Requirements" shall mean such moneys required to be deposited in the Bond Redemption Account for the purpose of the mandatory redemption or payment at maturity of any Term Bonds, the specific amounts of such deposits to be determined by the Chairperson in the Chairperson's Certificate with respect to the Series 2015 Bonds and pursuant to any resolution authorizing any other Series of Bonds with respect to such other Series of Bonds. "Average Annual Debt Service" shall mean, at any time and with respect to all of the Bonds or any particular Series of Bonds (as appropriate), the sum of the Debt Service Requirements for the then current and every succeeding Fiscal Year divided by the number of such Fiscal Years. "Bonds" shall mean the Series 2015 Bonds, authorized to be issued pursuant to this Resolution, together with any additional parity Bonds hereafter issued pursuant to this Resolution. "Bondholder", "Holder", "Holder of Bonds" or "Owner" or any similar term, shall mean any person, who shall be the registered owner of any Outstanding Bond or Bonds. "Chairperson" shall mean the Chairperson of the Agency or in the absence or disability of the Chairperson, the Vice Chairperson of the Agency or the officers succeeding to their principal functions. 003-4430-4561/ 4 lAMERtCAS 1127 "Chairperson's Certificate" shall mean the Certificate to be executed by the Chairperson on or prior to the date of initial issuance of the Series 2015 Bonds, which Certificate shall provide the details of the Series 2015 Bonds. "City" shall mean the City of Miami Beach, Florida. "Code" shall mean the Intemal Revenue Code of 1986, as amended from time to time, and the regulations promulgated thereunder and applicable regulations promulgated under the Internal Revenue Code of 1954, as amended. "Commission" shall mean the Board of Commissioners of the Agency, being the Chairperson and members of the Agency. "County" shall mean Miami-Dade County, Florida. "Credit Facility" shall mean an irrevocable letter of credit, policy of municipal bond insurance, guaranty, purchase agreement, credit agreement or similar facility in which the entity providing such facility irrevocably agrees to provide funds to make payment of the principal of and interest on Bonds. "Debt Service Requirement" for any period, as applied to all of the Bonds or all of the Bonds of any Series (as appropriate), shall mean the respective amounts which are needed to provide: (a) for paying the interest on all Bonds or all Bonds of such Series (as appropriate) then Outstanding which is payable on each Interest Payment Date in such period, (b) for paying the principal of all Serial Bonds or all Serial Bonds of such Series (as appropriate) then Outstanding which is payable upon the maturity of such Serial Bonds in such period, and (c) the Amortizatton Requirements, if any, for all Term Bonds or the Term Bonds ofsuch Series (as appropriate) for such period. If all or a portion of the principal of (including, without limitation, Amortization Requirements) or interest on a Series of Bonds is payable from funds irrevocably set aside or deposited for such purpose, together with projected earnings thereon to the extent such earnings are projected to be from Permitted Investments, such principal or interest shall not be included in determining Debt Service Requirements if such funds and/or Permitted Investments will provide moneys which shall be sufficient to pay when due such principal or interest. 003- 4 430 - 456L / 4 / AM E R rCAS 1128 "Defeasance Obligations" shall mean to the extent permitted by law: (a) Direct general obligations of, or obligations the timely payment of the principal of and the interest on which is unconditionally guaranteed by, the United States of America; and (b) Evidences of indebtedness issued by the Bank for Cooperatives, Federal Home Loan Banks, Federal Home Loan Mortgage Corporation (including participation certificates), Federal Land Banks, Federal Financing Banks, or any other agency or instrumentality of the United States of America created by an act of Congress which is substantially similar to the foregoing in its legal relationship to the United States of America; provided that the obligations of such agency or instrumentality are unconditionally guaranteed by the United States of America or any other agency or instrumentality of the United States of America; and (c) Evidences of ownership of proportionate interests in future interest and principal payments on specified obligations described in (a) above held by a bank or trust company as custodian, under which the owner of the investment is the real party in interest and has the right to proceed directly and individually against the obligor on the underlying obligations described in (a) above, and which underlying obligations are not available to satisfy any claim of the custodian or any person claiming through the custodian or to whom the custodian may be obligated; and (d) Obligations described in Section 103(a) of the Code which do not permit redemption prior to maturity at the option of the obligor and provision for the payment of the principal of, premium, if any, and interest on which shall have been made by the irrevocable deposit with a bank or trust company acting as a trustee or escrow agent for the holders of such obligations, direct general obligations of the United States of America, the maturing principal of and interest on which, when due and payable, will provide sufficient monies to pay when due the principal of, premium if any, and interest on such obligations, and which direct general obligations of the United States of America are not available to satisfy any other claim, including any claim of the trustee or escrow agent or of any person claiming through the trustee or escrow agent or to whom the trustee or escrow agent may be obligated, including in the event of the insolvency of the trustee or escrow agent or proceedings arising out ofsuch insolvency. "Executive Director" shall mean the Executive Director of the Agency. "General Counsel" shall mean the General Counsel of the Agency, currently the City Attorney of the City. "Fiduciaries" shall mean the Paying Agent and the Registrar appointed and acting under this Resolution. "Fiscal Year" shall mean that period commencing on October 1, and continuing to and including the next succeeding September 30, or such other annual period as may be prescribed by law or by the Agency in accordance with law. 003 - 4 430 -456r / 4 / AM ER r CAS 1129 "lnterest Payment Date" shall mean for each Series of Bonds such dates on which interest on the Bonds is payable on such Bonds that are Outstanding, as set forth in the proceedings of the Agency providing for the issuance of such Series of Bonds. "Maximum Annual Debt Service" shall mean, at any time and with respect to all of the Bonds or any particular Series of the Bonds (as appropriate), the greatest Debt Service Requirement in the then current or any succeeding Fiscal Year. "Outstanding" when used with reference to the Bonds, shall mean, as of any date of determination, all Bonds theretofore authenticated and delivered except: (a) Bonds theretofore cancelled by the Registrar or delivered to the Registrar for cancellation; (b) Bonds which are deemed paid and no longer Outstanding as provided herein; (c) Bonds in lieu of which other Bonds have been issued pursuant to the provisions hereof relating to Bonds destroyed, stolen or lost, unless evidence satisfactory to the Registrar has been received that any such Bond is held by a bona fide purchaser; and (d) For purposes of any consent or other action to be taken hereunder by the Holders of a specified percentage of principal amount of Bonds, Bonds held by or for the account of the Agency. "Paying Agent" shall mean any bank or trust company or any successor bank or trust company appointed by the Agency to act as Paying Agent hereunder. "Permitted Investments" shall mean and include such obligations as shall be permitted to be legal investments of the Agency by the laws of the State. "Pledged Funds" shall mean, collectively, (i) the Trust Fund Revenues, and (ii) except for moneys, securities and instruments in the Rebate Fund, all moneys, securities and instruments held in the funds and accounts created and established by this Resolution. "Redevelopment Area" shall mean the "City Center/Historic Convention Village Redevelopment and Revitalization Area" located within the City and found by the City to be a "blighted area" within the meaning of the Act and described in the Redevelopment Plan, as the geographic boundaries of such area may be changed from time to time as permitted under the Act. "Redevelopment Plan" shall mean the redevelopment plan for the Redevelopment Area originally adopted by the Agency by Resolution No. 128-93 adopted on February 72,1993 and approved by the City by Resolution No. 93-20721 adopted on February 12, 1993 and by the County by Resolution No. 317-93 adopted on March 30, 1993, as the same has been and may be amended from time to time. 003 -4 430 -4s6 t / 4 /A M E R rCAS 1130 "Redevelopment Projects" shall mean the particular community redevelopment projects undertaken by the Agency pursuant to the Redevelopment Plan within the Redevelopment Area in accordance with the Act, including the Series 2015 Redevelopment Project. "Registrar" shall mean the officer of the Agency or a bank or trust company appointed by the Agency, located within or without the State of Florida, who or which shall maintain the registration books of the Agency and be responsible for the transfer and exchange of the Bonds. "Reserve Account Insurance Policy" shall mean the insurance policy, surety bond or other acceptable evidence of insurance, if any, deposited in the Debt Service Reserve Account in lieu of or in partial substitution for cash or securities on deposit therein. The issuer providing such insurance shall be rated, at the time of deposit in the Debt Service Reserve Account, in one of the two highest rating categories of Fitch Ratings Inc. or any successors thereof, Moody's Investors Service, Inc. or any successors thereof or Standard & Poor's Ratings Services or any successors thereof. "Reserve Account Letter of Credit" shall mean the irrevocable, transferable letter of credit, if any, deposited in the Debt Service Reserve Account in lieu of or in partial substitutiqn for cash or securities on deposit therein. The issuer providing such letter of credit shall be rated, at the time of deposit into the Debt Service Reserve Account, in one of the two highest rating categories of Fitch Ratings Inc. or any successors thereof, Moody's Investors Service, Inc. or any successors thereofor Standard & Poor's Ratings Services or any successors thereof. "Reserve Account Requirement" shall mean the least of (i) Maximum Annual Debt Service on all Bonds Outstanding, (ii) 125% of Average Annual Debt Service on all Bonds Outstanding, or (iii) 10% of the proceeds of the Bonds within the meaning of the Code. "Resolution" shall mean this Resolution as the same may from time to time be amended and supplemented in accordance with the terms hereof. "Secretary" shall mean the Secretary of the Agency. "Serial Bonds" shall mean the Bonds of any Series which shall be stated to mature in annual installments but not including Term Bonds. "Series" shall mean all of the Bonds authenticated and delivered on original issuance and pursuant to this Resolution or any supplemental resolution authorizing such Bonds as a separate Series of Bonds, or any Bonds thereafter authenticated and delivered in lieu of or in substitution for such Bonds pursuant to Article II hereof, regardless of variations in maturity, interest rate or other provisions. "series 2015 Bonds" shall mean the Bonds authorized to be issued under Section 201 of this Resolution. "Series 2015 Redevelopment Project" shall mean the construction of certain public improvements within the Redevelopment Area being financed with proceeds of the Series 2015 Bonds and more particularly described in Exhibit A hereto. 003-4430 -456t / 4 lAM ERTCAS 1131 "State" shall mean the State of Florida. "Taxable Bonds" shall mean Bonds the interest on which is not intended at the time of issuance thereof to be excluded from gross income of the holders thereof for federal income tax purposes. "Tax-Exempt Bonds" shall mean Bonds the interest on which is excludable from gross income of the holders thereof for federal income tax purposes. "Term Bonds" shall mean the Bonds of any Series which shall be stated to mature on one date and for the amortrzation of which payments are required to be made into the Bond Redemption Account in the Sinking Fund. "Trust Fund" shall mean the City Center/Historic Convention Village Redevelopment and Revitalization Trust Fund established by Ordinance No. 93-2836 adopted by the City on February 24, 1993 and by Ordinance No. 93-28 enacted by the County on April 27, 1993 rn accordance with the Act. "Trust Fund Revenues" shall mean the revenues derived from the Redevelopment Area and received by the Agency for deposit in the Trust Fund pursuant to Section 163.387, Florida Statutes, as amended, Ordinance No. 93-2836 adopted by the City on February 24, 7993, as amended from time to time, including Ordinance No. 2014-3901 adopted by the City on November 8,2074, and Ordinance No. 93-28 enacted by the County on April 27, 7993, as amended from time to time, including Ordinance No. 14-133 enacted by the County on December 16,2014. "Underwriters" shall mean Morgan Stanley & Co. LLC, Wells Fargo Bank, National Association, Merrill Lynch, Pierce, Fenner &, Smith Incorporated, Raymond James & Associates, Inc. and Loop Capital Markets LLC. Words importing singular number shall include the plural number in each case and vice versa, and words importing persons shall include firms and corporations. Words that appear in this Resolution in lower case form shall have the meanings ascribed to them in the definitions unless the context shall otherwise indicate. The words "Bond", "Owner", "Holder" and "person" shall include the plural as well as the singular number unless the context shall otherwise indicate. SECTION 102. AUTHORITY FOR THIS RESOLUTION. This Resolution is adopted pursuant to the provisions of the Act. SECTION 103. FINDINGS. The recitals to this Resolution are incorporated herein as findings. In addition, it is hereby ascertained, determined and declared that: (a) The Agency is authorized to receive, deposit and apply the Trust Fund Revenues pursuant to the Act. (b) It is necessary and desirable to issue the Series 2015 Bonds in order to refund the Outstanding Prior Bonds and finance the Series 2015 Redevelopment Project. 003-4430-4561/ 4 lAMERTCAS 1132 (c) The principal of and interest on the Bonds and all required sinking fund, reserve and other payments shall be payable solely from the Pledged Funds. None of the City, the County, or the State of Florida or any political subdivision thereof or governmental authority or body therein shall ever be required to levy ad valorem taxes to pay the principal of or interest on the Bonds or to make any of the sinking fund, reserve or other payments required by this Resolution or the Bonds, and the Bonds shall not constitute indebtedness of the Agency, the City, the County, the State or any political subdivision thereof within the meaning of any constitutional, statutory or other provision or limitation or a lien upon any property owned by or situated within the corporate territory of the Agency or the City, except as provided herein with respect to the Pledged Funds. SECTION 104. RESOLUTION CONSTITUTES CONTRACT. In consideration of the acceptance of the Bonds authorized to be issued hereunder by those who shall own the same from time to time, this Resolution shall be deemed to be and shall constitute a contract between the Agency and such Bondholders, and the covenants and agreements herein set forth to be performed by the Agency shall be for the equal benefit, protection and security of the owners of any and all of such Bonds, all of which shall be of equal rank and without preference, priority, or distinction of any of the Bonds over any other thereof except as expressly provided therein and herein. IEND OF ARTICLE I] 003 -4 430 -456 L / 4 /A M E R I CAS 1133 ARTICLE II AUTHORIZATION, TERMS, EXECUTION AND REGISTRATION OF BONDS SECTION 201. AUTHORIZATION OF THE SERIES 2015 BONDS. Subject and pursuant to the provisions of this Resolution, one or more Series of Bonds of the Agency to be known as Tax Increment Revenue Bonds, Series (City Center/Historic Convention Village) (the "Series 2015 Bonds"), or such other designation as shall be set forth in the Chairperson's Certificate, are hereby authorized to be issued in an aggregate principal amount not to exceed Four Hundred Thirty Million Dollars ($430,000,000), for the purpose of providing funds, together with any other available moneys, to refund the Outstanding Prior Bonds, to finance the Series 2015 Redevelopment Project, to fund the Debt Service Reserve Account and to pay costs of issuance of the Series 2015 Bonds, which Bonds may be issued all at one time or from time to time, and designated as to Series, as shall be determined by the Executive Director, after consultation with the Chief Financial Officer and the Financial Advisor, and set forth in the Chairperson's Certificate. The refunding of the Outstanding Prior Bonds and the financing of the Series 2015 Redevelopment Project and its acquisition is hereby authorized. Subject to the limitations contained herein, the Series 2015 Bonds shall be issued in such aggregate principal amount, shall be dated, shall mature on such dates and in such years, but not later than March 31., 2044, and in such amounts, shall be issued as Tax-Exempt Bonds or Taxable Bonds or a combination thereof, shall be in the form of Serial Bonds or Term Bonds or a combination thereof, shall have such Interest Payment Dates, shall bear interest at such fixed rates not to exceed the maximum rate permitted by law, shall have such Amortization Requirements, if any, and shall be subject to redemption at such times and at such prices, all as shall be determined by the Executive Director, after consultation with the Chief Financial Officer and the Financial Advisor, and set forth in the Chairperson's Certificate. The Commission hereby appoints U.S. Bank National Association as Registrar and Paying Agent for the Series 2015 Bonds. If the Executive Director determines, in reliance upon the recommendations of the Chief Financial Officer and the Financial Advisor, that there is an economic benefit to the Agency to secure and pay for a Credit Facility andlor a Reserve Account Insurance Policy with respect to all or a portion of the Series 2015 Bonds, the Executive Director is authorized to secure a Credit Facility and/or a Reserve Account Insurance Policy with respect to all or a portion of the Series 2015 Bonds. The Executive Director is authorized to provide for the payment of any premiums for such Credit Facility and/or Reserve Account Insurance Policy from the proceeds of the Series 2015 Bonds. The Chairperson is authorized, after consultation with the General Counsel, to enter into, execute and deliver such agreements as may be necessary to secure such Credit Facility andlor Reserve Account Insurance Policy, the execution and delivery by the Chairperson of any such agreements for and on behalf of the Agency to be conclusive evidence of the Agency's approval of securing such Credit Facility and/or Reserve Account Insurance Policy and of such agreements. Any agreements with any providers of a Credit Facility and/or Reserve Account Insurance Policy shall supplement and be in addition to the provisions of this Resolution. 003 - 4 43o-4s6rl 4 / AM E R r CA5 10 1134 The Commission hereby approves the distribution of copies of the Preliminary Official Statement with respect to the Series 2015 Bonds (the "Preliminary Official Statement") in substantially the form presented at this meeting, subject to such changes, modifications, insertions and omissions and such filling-in of blanks therein as may be approved by the Executive Director, after consultation with the Chief Financial Officer and the General Counsel. The Chairperson or his designee, after consultation with the Chief Financial Officer and the General Counsel, is hereby authorized to deem the Preliminary Official Statement "final" for purposes of Securities and Exchange Commission Rule I 5c2-12 (the "Rule") and to execute any certificates in connection with such finding. The Chairperson and the Executive Director are hereby authorized to execute the Official Statement with respect to the Series 2015 Bonds (the "Official Statement") on behalf of the Agency, in substantially the form of the Preliminary Official Statement presented at this meeting with such changes, modifications, insertions and omissions and such filling-in of blanks therein as shall be necessary to evidence the terms of the Series 2015 Bonds or as may be approved by the Executive Director, with such execution to constitute conclusive evidence of the Agency's approval of the Preliminary Official Statement and the Official Statement. The use of the Preliminary Official Statement and the Official Statement in the marketing and sale of the Series 2015 Bonds is hereby approved. For the reasons stated in the recitals to this Resolution, the negotiated sale of the Series 2015 Bonds to the Underwriters is hereby authorized at a purchase price (not including original issue premium or original issue discount) of not less than 99o/o of the aggregate principal amount of the Series 2015 Bonds (the "Minimum Purchase Price") and at a true interest cost rate ("TIC") not to exceed 6.50% (the "Maximum TIC"). The Executive Director, after consultation with the Chief Financial Officer and the Financial Advisor, is hereby authorized to award the Series 2015 Bonds to the Underwriters at a purchase price of not less than the Minimum Purchase Price and at a TIC not in excess of the Maximum TIC. The Chairperson is hereby authorized to execute the Bond Purchase Agreement (the "Bond Purchase Agreement") for the purchase of the Series 2015 Bonds by the Underwriters, upon compliance by the Underwriters with any and all requirements of Florida Statutes, Section 218.385, in substantially the form presented at this meeting, subject to such changes, modifications, insertions and omissions and such filling-in of blanks therein as may be necessary to evidence the terms of the Series 2015 Bonds or as may be approved by the Executive Director, after consultation with the Chief Financial Officer and the General Counsel. The execution and delivery of the Bond Purchase Agreement by the Chairperson for and on behalf of the Agency shall be conclusive evidence of the Agency's acceptance of the Underwriters proposal to purchase the Series 2015 Bonds and approval of the Bond Purchase Agreement. The Chairperson is hereby authorized to execute and deliver two Escrow Deposit Agreements to provide for the defeasance, payment and, as applicable, redemption of the Outstanding Prior Bonds (collectively, the "Escrow Deposit Agreements"), each with U.S. Bank National Association, which is hereby appointed escrow agent thereunder (the "Escrow Agent"), in substantially the forms presented at this meeting, subject to such changes, modifications, insertions and omissions and such filling-in of blanks therein as may be determined and approved by the Executive Director, after consultation with the Chief Financial Officer and the General Counsel. To the extent provided in the Escrow Deposit Agreements, the purchase of Defeasance Obligations (as defined in the Prior Bond Resolution) from the proceeds of the Series 11 003-4 430-4561 / 4 lAMERtCAS 1135 2015 Bonds and any other available moneys in order to provide for the defeasance, payment and, as applicable, redemption of the Outstanding Prior Bonds is hereby authorized and approved. The execution and delivery of the Escrow Deposit Agreements by the Chairperson for and on behalf of the Agency shall be conclusive evidence of the Agency's approval of the redemption prior to maturity of any Outstanding Prior Bonds, the Escrow Deposit Agreements and the purchase of any such Defeasance Obligations. In accordance with the provisions of the Prior Bond Resolution, there is created pursuant to each of the Escrow Deposit Agreements a separate Escrow Deposit Trust Fund (as defined in each of the Escrow Deposit Agreements) to be held by the Escrow Agent, for the deposit of proceeds of each such Series of Series 2015 Bonds and any other available moneys to be applied as provided in each of the Escrow Deposit Agreements. For the benefit of the holders and beneficial owners from time to time of the Series 2015 Bonds, the Agency agrees, in accordance with the Rule, to provide or cause to be provided such annual financial information and operating data, financial statements and notices, in such manner, as may be required for purposes of paragraph (b)(5) of the Rule. In order to describe and specify certain terms of the Agency's continuing disclosure agreement, the Executive Director is hereby authorized and directed to enter into, execute and deliver, in the name and on behalf of the Agency, a Disclosure Dissemination Agent Agreement (the "Continuing Disclosure Agreement") with Digital Assurance Certification, L.L.C., which is hereby appointed as disclosure dissemination agent with respect to the Series 2015 Bonds, in substantially the form presented at this meeting, subject to such changes, modifications, insertions and omissions and such filling-in of blanks therein as may be determined and approved by the Executive Director, afrer consultation with the General Counsel. The execution and delivery of the Continuing Disclosure Agreement by the Executive Director for and on behalf of the Agency shall be conclusive evidence of the Agency's approval of the Continuing Disclosure Agreement. Notwithstanding any other provisions of this Resolution, any failure by the Agency or the City to comply with any provisions of the Continuing Disclosure Agreement shall not constitute a default under this Resolution and the remedies therefor shall be solely as provided in the Continuing Disclosure Agreement. The Executive Director is further authorized and directed to establish, or cause to be established, procedures in order to ensure compliance by the Agency with the Continuing Disclosure Agreement, including the timely provision of information and notices. Prior to making any filing in accordance with such agreement, the Executive Director may consult with, as appropriate, the General Counsel or the Agency's disclosure counsel. The Executive Director, acting in the name and on behalf of the Agency, shall be entitled to rely upon any legal advice provided by General Counsel of the Agency or the Agency's disclosure counsel in determining whether a filing should be made. SECTION 202. DESCRIPTION OF BONDS. Unless otherwise specified by the Agency in subsequent proceedings, any Bonds issued pursuant to this Resolution shall be issued in fully registered form and, if the Registrar issues notice of the availability of exchanging registered Bonds for coupon Bonds, in coupon form. If the Registrar receives an opinion of counsel of recognized standing in the field of law relating to municipal bonds to the effect that the issuance of any of the Bonds in coupon form will not adversely affect the exclusion from gross income for 003-4430-456t/ 4 lAM ERICAS t2 1136 f'ederal income tax purposes of the interest on any Tax-Exempt Bonds, the Registrar may, at the written direction of the Agency, mail notice to the registered owners of the Bonds of the availability of exchanging registered Bonds for coupon Bonds. Registered Bonds may then be exchanged for an equal aggregate principal amount of coupon Bonds of the same Series and maturity of any authorized denomination and coupon Bonds may be exchanged for an equal aggregate principal amount in the manner provided in this Resolution. Unless otherwise specihed by the Agency in subsequent proceedings, the Bonds of a Series shall be dated as set forth in a Chairperson's Certificate as to the Series 2015 Bonds and pursuant to subsequent resolution of the Agency as to the issuance of any other Series of Bonds; shall be payable in any coin or currency of the United States of America that is legal tender at the time of such payment; shall bear interest from their date at a fixed rate not exceeding the legal rate per annum, with interest paid to the registered Holder thereof on each Interest Payment Date by the Paying Agent at the address shown on the registration books of the Agency (held by the Registrar) at the close of business on the l5th day of the calendar month preceding an Interest Payment Date or any other date with respect to any Series of Bonds as may be determined pursuant to subsequent resolution of the Agency (in each case a "Regular Record Date"); shall be in denominations of $5,000 or any integral multiples thereof as to the Series 2015 Bonds and as determined pursuant to subsequent resolution of the Agency relating to the issuance of any other Series of Bonds; and shall mature on such dates, in such years and in such amounts, as set forth in a Chairperson's Certificate as to the Series 2015 Bonds and as provided for pursuant to subsequent resolution of the Agency relating to any other Series of Bonds. Notwithstanding anything in this paragraph to the contrary, any interest not punctually paid on an Interest Payment Date shall forthwith cease to be payable to the registered Holder on the Regular Record Date and may be paid to the registered Holder as of the close of business on a special record date for the payment of such defaulted interest to be fixed by the Paying Agent, notice of which shall be given not less than 10 days prior to such special record date to the registered Holders. The principal of and redemption premium, if any, on the Bonds shall be payable upon presentation and surrender at the designated office of the Paying Agent. Interest on the Bonds shall be paid by check or draft drawn upon the Paying Agent and mailed to the registered owners of the Bonds on each Interest Payment Date; provided, however, that (i) if ownership of Bonds is maintained in a book-entry only system by a securities depository, such payment may be made by automatic funds transfer to the securities depository or its nominee or (ii) if such Bonds are not maintained in a book-entry only system by a securities depository, upon written request of the Holder of $ 1,000,000 or more in principal amount of Bonds, such payments may be made by wire transfer to the bank and bank account specified in writing by such Holder (such bank being a bank within the continental United States), if such Holder has advanced to the Paying Agent the amount necessary to pay the cost of such wire transfer or authorized the Paying Agent to deduct the cost of such wire transfer from the payment due to such Holder. SECTION 203. REDEMPTION PROVISIONS. The Bonds of each Series, other than the Series 2015 Bonds, may be subject to redemption prior to maturity at such times, at such redemption prices and upon such terms in addition to the terms contained in this Resolution as may be determined pursuant to subsequent resolutions of the Agency, which subsequent resolutions may contain different redemption notice provisions than those contained in this 13 001-4430-4561/ 4 IAMERTCAS 1137 Resolution. The redemption provisions for the Series 2015 Bonds shall be established in the manner described in the second paragraph of Section 201 of this Resolution. Notice of redemption for Bonds being redeemed shall be given by deposit in the U.S. mails of a copy of a redemption notice, postage prepaid, at least thirty (30) and not more than sixty (60) days before the redemption date to all registered owners of the Bonds or portions of the Bonds to be redeemed at their addresses as they appear on the registration books to be maintained in accordance with the provisions hereof. Failure to mail any such notice to a registered owner of a Bond, or any defect therein, shall not affect the validity of the proceedings for redemption of any Bond or portion thereof with respect to which no failure or defect occurred. Such notice shall set forth the date fixed for redemption, the rate of interest borne by each Bond being redeemed, the date of publication, if any, of a notice of redemption, the name and address of the Registrar and Paying Agent, the redemption price to be paid and, if less than all of the Bonds then outstanding shall be called for redemption, the distinctive numbers and letters, including CUSIP numbers, if any, of such Bonds to be redeemed and, in the case of Bonds to be redeemed in part only, the portion of the principal amount thereof to be redeemed. If any Bond is to be redeemed in part only, the notice of redemption which relates to such Bond shall also state that on or after the redemption date, upon surrender of such Bond, a new Bond or Bonds in a principal amount equal to the unredeemed portion of such Bond will be issued. Any notice mailed as provided in this Section shall be conclusively presumed to have been duly given, whether or not the owner of such Bond receives such notice. In the case of an optional redemption of Bonds, the redemption notice may state that (a) it is conditioned upon the deposit of moneys with the Paying Agent or with a bank, trust company or other appropriate fiduciary institution acting as escrow agent (the "escrow agent"), in amounts necessary to effect the redemption, no later than the redemption date, or (b) the Agency retains the right to rescind such notice on or prior to the scheduled redemption date (in either case, a "Conditional Redemption"), and such notice and optional redemption shall be of no effect if such moneys are not so deposited or if the notice is rescinded as described in this Section. Any such notice of Conditional Redemption shall be captioned "Conditional Notice of Redemption." Any Conditional Redemption may be rescinded at any time prior to the redemption date if the Agency delivers a written direction to the Registrar directing the Registrar to rescind the redemption notice. The Registrar shall give prompt notice of such rescission to the affected Bondholders. Any Bonds subject to Conditional Redemption where redemption has been rescinded shall remain Outstanding, and neither the rescission nor the failure by the Agency to make such moneys available shall constitute a default under this Resolution. Notice having been given in the manner and under the conditions described in this Section, and with respect to a Conditional Redemption, the Conditional Redemption not having been rescinded, the Bonds or portions of Bonds so called for redemption shall, on the redemption date designated in such notice, become and be due and payable at the redemption price provided for redemption for such Bonds or portions of Bonds on such date. On the date so designated for redemption, moneys for payment of the redemption price being held in separate accounts by the Paying Agent in trust for the registered owners of the Bonds or portions thereof to be redeemed, all as provided in this Resolution, interest on the Bonds or portions of Bonds so called for redemption shall cease to accrue, such Bonds and portions of Bonds shall cease to be entitled to any lien, benefit or security under this Resolution and shall be deemed paid hereunder, and the oo3-4430-456t/ 4 IAMERTCAS 14 1138 registered owners of such Bonds or portions of Bonds shall have no right in respect thereof except to receive payment of the redemption price thereof and to receive Bonds for any unredeemed portions of the Bonds. SECTION 204. EXECUTION OF BONDS. The Bonds shall be executed in the name of the Agency by the Chairperson, and the seal of the Agency or a facsimile thereof shall be affixed thereto or imprinted or reproduced thereon and attested by the Secretary, either manually or with their facsimile signatures. In case any one or more of the officers who shall have signed or sealed any of the Bonds shall cease to be such officer before the Bonds so signed and sealed shall have been actually sold and delivered, such Bonds may nevertheless be sold and delivered as herein provided and may be issued as if the person who signed and sealed such Bonds had not ceased to hold such office. Any Bond may be signed and sealed on behalf of the Agency by such person as at the actual time of the execution of such Bond shall hold the proper offrce, although at the date of such Bonds such person may not have held such office or may not have been so authorized. The Bonds of each Series shall bear thereon a certificate of authentication, in the form set forth in Exhibit B hereto, executed manually by the Registrar. Only such Bonds as shall bear thereon such certificate of authentication shall be entitled to any right or benefit under this Resolution and no Bond shall be valid or obligatory for any purpose until such certificate of authentication shall have been duly executed by the Registrar. Such certificate of the Registrar upon any Bond executed on behalf of the Agency shall be conclusive evidence that the Bond so authenticated has been duly authenticated and delivered under this Resolution and that the Holder thereof is entitled to the benefits of this Resolution. If the Bonds of a Series have been validated, the validation certificate on each of the Bonds of such Series shall be signed with the manual or facsimile signatures of the present or any future Chairperson, and the Agency may adopt and use for that purpose the manual or facsimile signature of any person who shall have been such Chairperson at any time on or after the date of the Bonds, notwithstanding that he may have ceased to be such Chairperson at the time when said Bonds shall be actually delivered. SECTION 205. NEGOTIABILITY, REGISTRATION AND CANCELLATION. At thc option of the registered Holder thereof and upon surrender thereof at the designated corporate trust office of the Registrar with a written instrument of transfer satisfactory to the Registrar duly executed by the Holder or his duly authorized attorney and upon payment by such Holder of any charges which the Registrar or the Agency may make as provided in this Section, the Bonds may be exchanged for Bonds of the same aggregate principal amount of the same Series and maturity of any other authorized denominations. The Registrar shall keep books for the registration of Bonds and for the registration of transfers of Bonds. The Bonds shall be transferable by the Holder thereof in person or by his attorney duly authorrzed in writing only upon the books of the Agency kept by the Registrar and only upon surrender thereof together with a written instrument of transfer satisfactory to the Registrar duly executed by the Holder or his duly authorized attorney. Upon the transfer of any such Bond, the Agency shall cause to be issued in the name of the transferee a new Bond or Bonds. o03 - 4 430 -456 r / 4 IAM E R I CAS l5 1139 The Agency, the Paying Agent and the Registrar may deem and treat the person in whose name any Bond shall be registered upon the books kept by the Registrar as the absolute Holder of such Bond, whether such Bond shall be overdue or not, for the purpose of receiving payment of, or on account of, the principal of, premium, if any, and interest on such Bond as the same becomes due and for all other purposes. All such payments so made to any such Holder or upon his order shall be valid and effectual to satisfy and discharge the liability upon such Bond to the extent of the sum or sums so paid, and neither the Agency, the Paying Agent nor the Registrar shall be affected by any notice to the contrary. In all cases in which the privilege of exchanging Bonds or transferring Bonds is exercised, the Agency shall execute and the Registrar shall authenticate and deliver Bonds in accordance with the provisions of this Resolution. All Bonds surrendered in any such exchanges or transfers shall forthwith be delivered to the Registrar and cancelled by the Registrar in the manner provided in this Section. There shall be no charge for any such exchange or transfer of Bonds, but the Agency or the Registrar may require the payment of a sum sufficient to pay any tax, fee or other governmental charge required to be paid with respect to such exchange or transfer. Neither the Agency nor the Registrar shall be required (a) to transfer or exchange Bonds of any Series for a period of 15 days next preceding any selection of Bonds of such Series to be redeemed or thereafter until after the mailing of any notice of redemption; or (b) to transfer or exchange any Bonds of any Series called for redemption. All Bonds paid or redeemed, either at or before maturity shall be delivered to the Paying Agent when such payment or redemption is made, and such Bonds, together with all Bonds purchased by the Agency, shall thereupon be promptly cancelled. Bonds so cancelled may at any time be destroyed by the Paying Agent, who shall execute a certification of destruction in duplicate by the signature of one of its authorized officers describing the Bonds so destroyed, and one executed certificate shall be filed with the Agency and the other executed certificate shall be retained by the Paying Agent. SECTION 206. BONDS MUTILATED, DESTROYED, STOLEN OR LOST. In case any Bond shall become mutilated, destroyed, stolen or lost, the Agency may execute and the Registrar shall authenticate and deliver a new Bond of like Series, date, maturity, denomination and interest rate as the Bond so mutilated, destroyed, stolen or lost; provided that, in the case of any mutilated Bond, such mutilated Bond shall first be surrendered to the Agency and, in the case of any lost, stolen or destroyed Bond, there shall first be furnished to the Agency and the Registrar evidence of such loss, theft, or destruction satisfactory to the Agency and the Registrar, together with indemnity satisfactory to them. In the event any such Bond shall be about to mature or have matured or have been called for redemption, instead of issuing a duplicate Bond, the Agency may direct the Paying Agent to pay the same without surrender thereof. The Agency and Registrar may charge the Holder of such Bonds their reasonable fees and expenses in connection with this transaction. Any Bond surrendered for replacement shall be cancelled in the same manner as provided in Section 205 hereof. Any such duplicate Bonds issued pursuant to this Section shall constitute additional contractual obligations on the part of the Agency, whether or not the lost, stolen or destroyed Bonds be at any time found by anyone, and such duplicate Bonds shall be entitled to equal and 0o3- 4 430-456 U 4 I AM ER r CAs 16 1140 proportionate benefits and rights as to lien on and source and security for payment from the Pledged Funds, with all other Bonds issued hereunder. SECTION 207. PREPARATION OF DEFINITIVE BONDS; TEMPORARY BONDS. Unless otherwise specified by the Agency in subsequent proceedings, the definitive Bonds of each Series shall be lithographed, printed or typewritten. Until the definitive Bonds are prepared, the Chairperson and Executive Director may execute and the Registrar may authenticate, in the same manner as is provided in Section 204 hereof, and deliver, in lieu of definitive Bonds, but subject to the same provisions, limitations and conditions as the definitive Bonds, one or more printed, lithographed or typewritten temporary fully registered Bonds, substantially of the tenor of the definitive Bonds in lieu of which such temporary Bond or Bonds are issued, in authorized denominations or any whole multiples thereof, and with such omissions, insertions and variations as may be appropriate to such temporary Bonds. The Agency at its own expense shall prepare, execute and, upon the surrender at the designated corporate trust office of the Registrar of such temporary Bonds for which no payment or only partial payment has been provided, the Registrar shall authenticate and, without charge to the Holder thereof, deliver in exchange therefor, at the designated corporate trust office of the Registrar, definitive Bonds of the same aggregate principal amount, Series and maturity as the temporary Bonds surrendered. Until so exchanged, the temporary Bonds shall in all respects be entitled to the same benefits and security as definitive Bonds issued pursuant to this Resolution. SECTION 208. FORM OF BONDS. The text of the Bonds shall be of the tenor set forth in Exhibit B to this Resolution, with such omissions, insertions and variations as may be necessary and desirable and authorized or permitted by this Resolution or a Chairperson's Certificate. SECTION 209. BOOK-ENTRY ONLY SYSTEM FOR THE BONDS; QUALIFICATION FOR THE DEPOSITORY TRUST COMPANY. The Series 2015 Bonds shall be issued, and any future Series of Bonds may be issued, as uncertificated securities through the book-entry only system maintained by The Depository Trust Company, New York, New York ("DTC") or, with respect to any Series of Bonds other than the Series 2015 Bonds, such other securities depository as may be selected by the Agency. The Agency, the Registrar and the Paying Agent are hereby authorized to take such actions as may be necessary to qualify the Bonds for deposit with DTC, including but not limited to those actions as may be set forth in a letter of representations with DTC, the execution and delivery of which with respect to the Series 2015 Bonds by the Chairperson or Executive Director of the Agency is hereby authorized. IEND OF ARTICLE III 0o3 -4 43O -456 L / 4 lA M E R rCAS t7 1141 ARTICLE III COVENANTS, FLINDS AND APPLICATION THEREOF SECTION3Ol. BONDS NOT TO BE INDEBTEDNESS OF THE AGENCY OR THE CITY. The Bonds shall not be and shall not constitute an indebtedness of the Agency, the City, the County, the State or any political subdivision thereof, within the meaning of any constitutional, statutory or charter provisions or limitations, or a pledge of the faith and credit of the Agency, the City, the County, the State or any political subdivision thereof, but shall be payable solely, as provided in this Resolution, from the Pledged Funds. No Holder or Holders of any Bonds issued hereunder shall ever have the right to compel the exercise of the ad valorem taxing power of the City, the County, the State or any political subdivision thereof or taxation in any form of any real or personal property therein, or the application of any funds of the Agency or the City, the County, the State or any political subdivision thereof to pay the Bonds or the interest thereon or the making of any sinking fund or reserve payments provided for herein other than the Pledged Funds as provided in this Resolution. SECTION 302. BONDS SECURED BY PLEDGE OF PLEDGED FLINDS. The payment of the principal of, interest and premium, if any, on all of the Bonds issued hereunder and any additional parity Bonds hereafter issued, as provided herein, shall be secured forthwith equally and ratably by a first lien on and pledge of the Pledged Funds. The Pledged Funds in an amount sufficient to pay the principal of and interest on the Bonds herein authorized and to make the payments into the Sinking Fund (hereinafter created and established) and all other payments provided for in this Resolution, as well as moneys held in the funds and accounts created under this Resolution (other than the Rebate Fund), are hereby irrevocably pledged to the payment of the principal of and interest on the Bonds authorized herein, and other payments provided for herein, as the same become due and payable. The Bonds and the obligation evidenced thereby shall not constitute a lien upon any property owned by or situated within the corporate territory of the Agency or the City, but shall constitute a lien only on the Pledged Funds all in the manner provided in this Resolution. SECTION 303. APPLICATION OF BOND PROCEEDS; CONSTRUCTION FUND. (a) All moneys received by the Agency from the sale of the Series 2015 Bonds shall be disbursed as provided in a certificate of the Executive Director executed on the date of delivery of the Series 2015 Bonds. (b) All moneys received by the Agency from the sale of any Series of Bonds, other than the Series 2015 Bonds, shall be disbursed in accordance with the provisions of a subsequent resolution of the Agency relating to such Series of Bonds. (c) There is hereby created and established a special fund designated the "Miami Beach Redevelopment Agency Construction Fund (City Center/Historic Convention Village)" (hereinafter referred to as the "Construction Fund") to be held and administered by the Agency. There shall be created separate accounts within the Construction Fund for the deposit of proceeds of each Series of Bonds and other available moneys to fund Redevelopment Projects being oo3 -4430- 4 567 / 4 lA M E R r CAS l8 1142 funded from proceeds of such Series of Bonds and other available moneys. Proceeds and other moneys on deposit in the Construction Fund shall be disbursed by the Agency to pay costs of the Redevelopment Project for which the applicable Series of Bonds was issued. If for any reason the moneys in the Construction Fund, or any part thereof including any investment eamings on deposit therein, are not necessary for, or are not applied to the purposes provided for the applicable Series of Bonds, then such unapplied proceeds, upon certification of a duly authorized official of the Agency that such surplus proceeds are not needed for such pu{poses, shall be applied to the redemption or purchase or payment of principal of Outstanding Bonds. Moneys on deposit in the Construction Fund may be invested and reinvested by the Agency to the fullest extent practicable in Permitted Investments maturing not later than such date or dates on which such moneys shall be needed for the purposes of the Construction Fund. The earnings and investment income derived from the moneys and investments on deposit in the Construction Fund shall be deposited and maintained in the applicable account within the Construction Fund and used for the purposes thereof. (d) The proceeds of the sale of the Bonds shall be and constitute trust funds for the purposes hereinabove provided and there is hereby created a lien upon such moneys, until so applied, in favor of the Holders of said Bonds. SECTION 304. COVENANTS OF THE AGENCY. The Agency hereby covenants and agrees with the Holders of any and all of the Bonds issued pursuant to this Resolution as follows: A. TAX COVENANTS. (l) The Agency will not take any action or omit to take any action, which action or omission would result in interest on the Tax-Exempt Bonds being includable in gross income of the holders thereof for federal income tax purposes under the Code. Particularly, the Agency will not take any action or omit to take any action which would have caused any of the Tax-Exempt Bonds to be "arbitrage bonds" within the meaning of Section 148 of the Code. (2) The Agency shall comply with the arbitrage rebate covenants as provided in Section 304(E) hereof. B. REDEVELOPMENT PLAN. The Agency will carry out the purposes of the Redevelopment PIan within the Redevelopment Area all in accordance with the Act and will take all such actions as are required to carry out the full intent of the Redevelopment Plan. C. TRUST FUND. As soon as the same are received by the Agency, all of the Trust Fund Revenues shall be forthwith deposited into the Trust Fund. The Trust Fund shall constitute a trust fund for the purposes provided in this Resolution, shall be held by the Agency and shall be maintained separate and distinct from all other funds of the Agency and used only for the purposes and in the manner provided in this Resolution and the Act. D. DISPOSITION OF TRUST FLrND REVENUES. There is hereby created and established a special fund designated the "Miami Beach Redevelopment Agency Sinking Fund (City Center/Historic Convention Village)" (hereinafter referred to as the "Sinking Fund"). 003-4430-456114/AM E R rCAS t9 1143 There are also hereby created four (4) separate accounts in the Sinking Fund to be known as the "lnterest Account", the "Principal Account," the "Bond Redemption Account" and the "Debt Service Reserve Account". The Sinking Fund and the accounts therein shall be held and administered by the Agency. In each Fiscal Year, all Trust Fund Revenues deposited in the Trust Fund during such Fiscal Year shall be disposed of by the Agency only in the following manner: (1) Trust Fund Revenues shall first be used, to the full extent required, for deposit into the Interest Account in the Sinking Fund, immediately upon receipt of such Trust Fund Revenues, of such sums as shall be sufficient to pay the interest becoming due on the Bonds during the current calendar year (or if such Trust Fund Revenues are deposited in the Trust Fund during the first quarter of such Fiscal Year, to pay the interest becoming due on the Bonds through the end of the next succeeding calendar year); provided, however, that such deposit for interest shall not be required to be made into the Interest Account to the extent that money on deposit therein is sufficient for such purpose. The Agency shall, on the business day prior to each Interest Payment Date, transfer to the Paying Agent moneys in an amount equal to the interest due on such Interest Payment Date or shall advise the Paying Agent of the amount of any deficiency in the amount on deposit in the Interest Account so that the Paying Agent may give appropriate notice required to provide for the payment of such deficiency from any Reserve Account Insurance Policy or Reserve Account Letter of Credit on deposit in the Debt Service Reserve Account. (2) (a) Trust Fund Revenues shall next be used, to the full extent required, for deposit into the Principal Account in the Sinking Fund, immediately upon receipt of such Trust Fund Revenues, of such sums as shall be sufficient to pay the principal amount of Serial Bonds which will mature during the current calendar year (or if such Trust Fund Revenues are deposited in the Trust Fund during the first quarter of such Fiscal Year, to pay the principal amount of Serial Bonds which will mature through the end of the next succeeding calendar year); provided, however, that such deposit for principal shall not be required to be made into the Principal Account to the extent that money on deposit therein is sufficient for such purpose. The Agency shall, on the business day prior to each principal payment date, transfer to the Paying Agent moneys in an amount equal to the principal due on such principal payment date or shall advise the Paying Agent of the amount of any def,rciency in the amount on deposit in the Principal Account so that the Paying Agent may give appropriate notice required to provide for the payment of such deficiency from any Reserve Account Insurance Policy or Reserve Account Letter of Credit on deposit in the Debt Service Reserve Account. (b) Trust Fund Revenues shall next be used, to the full extent required, for deposit into the Bond Redemption Account in the Sinking Fund, immediately upon receipt of such Trust Fund Revenues, of such Amortization Requirements as may be oo3-4430-456t/ 4 /AM ERTCAS 20 1144 required for the payment of the Term Bonds payable from the Bond Redemption Account during the current calendar year (or if such Trust Fund Revenues are deposited in the Trust Fund during the first quarter of such Fiscal Year, for the payment of the Term Bonds payable from the Bond Redemption Account through the end of the next succeeding calendar year). The moneys in the Bond Redemption Account shall be used solely for the purchase or redemption of the Term Bonds payable therefrom. The Agency may at any time purchase any of said Term Bonds at prices not greater than the then redemption price of said Term Bonds. If the Term Bonds are not then redeemable, the Agency may purchase said Term Bonds at prices not greater than the redemption price of such Term Bonds on the next ensuing redemption date. The Agency shall be mandatorily obligated to use any moneys in the Bond Redemption Account for the redemption prior to maturity of such Term Bonds at such times as the same are subject to mandatory redemption. If, by the application of moneys in the Bond Redemption Account, however, the Agency shall purchase or call for redemption in any year Term Bonds in excess of the Amortization Requirements for such year, such excess of Term Bonds so purchased or redeemed shall be credited in such manner and at such times as the Executive Director shall determine over the remaining payment dates. (3) Trust Fund Revenues shall next be used, to the full extent required, for deposit into the Debt Service Reserve Account, immediately upon receipt of such Trust Fund Revenues, of the difference between the amount on deposit in the Debt Service Reserve Account (including any Reserve Account Insurance Policy or Reserve Account Letter of Credit) and the Reserve Account Requirement for the Bonds Outstanding, and, provided further, that no payments shall be required to be made into the Debt Service Reserve Account whenever and as long as the amount deposited therein (including any Reserve Account Insurance Policy or Reserve Account Letter of Credit) shall be equal to the Reserve Account Requirement for the Bonds Outstanding. Moneys in the Debt Service Reserve Account shall be used only for the purpose of making payments of principal of and interest on the Bonds when the moneys in the Funds and Accounts held pursuant to this Resolution and available for such purpose are insufficient therefor. Any moneys in the Debt Service Reserve Account in excess of the Reserve Account Requirement for the Bonds Outstanding may, in the discretion of the Agency, be transferred to and deposited in the Interest Account, the Principal Account or the Bond Redemption Account as the Agency at its option may determine. Notwithstanding the foregoing provisions, in lieu of or in substitute for the required deposits (including existing deposits therein) into the Debt Service Reserve Account, the Agency may cause to be deposited into the Debt Service Reserve Account a Reserve Account Insurance Policy or a Reserve Account Letter of Credit for the benefit of the Holders of the Bonds Outstanding, which Reserve Account Insurance Policy or Reserve Account Letter of Credit shall be payable or available to be drawn upon, as the case may be (upon the giving of notice as required thereunder), on any Interest Payment 003-4430-456L/ 4 lAMERrCAS 2l 1145 Date on which a deficiency exists which cannot be cured by moneys in any other Fund or Account held pursuant to this Resolution and available for such purpose. If any such Reserve Account Insurance Policy or Reserve Account Letter of Credit is substituted for moneys on deposit in the Debt Service Reserve Account, the excess moneys in the Debt Service Reserve Account shall be transferred to and deposited in the Interest Account, the Principal Account or the Bond Redemption Account as the Agency at its option may determine. If a disbursement is made under the Reserve Account Insurance Policy or the Reserve Account Letter of Credit, the Agency shall be obligated to either reinstate the maximum limits of such Reserve Account Insurance Policy or Reserve Account Letter of Credit following such disbursement or to deposit into the Debt Service Reserve Account from the Trust Fund Revenues, as herein provided, funds in the amount of the disbursements made under such Reserve Account Insurance Policy or Reserve Account Letter of Credit, or a combination of such alternatives as shall equal the Reserve Account Requirement for the Bonds Outstanding. In the event that upon the occurrence of any deficiency in the Interest Account, the Principal Account or the Bond Redemption Account, the Debt Service Reserve Account is then funded with one or more Reserve Account Insurance Policies and/or Reserve Account Letters of Credit, the Agency or the Paying Agent, as applicable, shall, on an interest or principal payment date or mandatory redemption date to which such deficiency relates, draw upon or cause to be paid under such facilities, on a pro-rata basis thereunder, an amount sufficient to remedy such deficiency, in accordance with the terms and provisions of such facilities and any corresponding reimbursement or other agreement governing such facilities; provided however, that if at the time of such deficiency the Debt Service Reserve Account is only partially funded with one or more Reserve Account Insurance Policies and/or Reserve Account Letters of Credit, prior to drawing on such facilities or causing payments to be made thereunder, the Agency shall first apply any cash and securities on deposit in the Debt Service Reserve Account to remedy the deficiency and, if after such application a deficiency still exists, the Agency or the Paying Agent, as applicable, shall make up the balance of the deficiency by drawing on such facilities or causing payments to be made thereunder, as provided in this paragraph. Amounts drawn or paid under a Reserve Account Insurance Policy or Reserve Account Letter of Credit shall be applied as set forth in the second paragraph of this Section 304(DX3). Any amounts drawn or paid under a Reserve Account Insurance Policy or Reserve Account Letter of Credit shall be reimbursed to the issuer thereof in accordance with the terms and provisions of the reimbursement or other agreement governing such facility. The Debt Service Reserve Account shall be valued on the first day in each Fiscal Year and the value of securities on deposit therein shall be the lower of par, or if purchased at other than par, amortized value. Amortized value, when used with respect to securities purchased at a premium above or a discount below par, shall mean the value at any given date obtained by dividing the total premium or discount at which such securities were purchased by the number of interest payment dates remaining to maturity on such securities after such purchase and by multiplying the amount so calculated by the number of interest payment dates having passed since the date of purchase; and (i) in the case of securities purchased at a premium, by deducting the product thus obtained from 003-4430-456t/ 4 lAMERTCAS 22 1146 the purchase price, and (ii) in the case of securities purchased at a discount, by adding the product thus obtained to the purchase price. (4) Trust Fund Revenues shall next be used for the payment of any subordinated obligations hereafter issued by the Agency in accordance with Section 304(G) of this Resolution, which subordinate obligations shall have such lien on the Trust Fund Revenues as the Agency shall determine in the proceedings authorizing the issuance of such subordinated obligations. (5) Thereafter, the balance of any Trust Fund Revenues remaining in said Trust Fund shall, subject to Section 304(,4.), be used by the Agency for any lawful purposes, including payment of any fees and expenses of the Fiduciaries; provided, however, that none of such Trust Fund Revenues shall ever be used for the purposes provided in this paragraph (5) unless all payments required in paragraphs (1) through (4) above, including any deficiencies for prior payments and any amounts due to the issuer of any Reserve Account Insurance Policy or Reserve Account Letter of Credit, have been made in full to the date of such use. Notwithstanding anything in Section 304(DX1) and (2) to the contrary, failure to make the scheduled payments specified therein shall not constitute a breach of the Agency's obligations under this Resolution so long as, on the date that any interest or principal payment is due on the Bonds, monies sufficient to make such payment are on deposit in the Interest Account, Principal Account or the Bond Redemption Account, as the case may be. Notwithstanding the foregoing or any other provision herein to the contrary, if any amount applied to the payment of principal of and premium, if any, and interest on the Bonds that would have been paid from an account in the Sinking Fund, is paid instead under a Credit Facility, amounts deposited in such relevant account may be paid, to the extent required, to the issuer of the Credit Facility having theretofore made said corresponding payment. E. REBATE FLIND. There is hereby created and established the "Miami Beach Redevelopment Agency Rebate Fund (City Center/Historic Convention Village)" which fund shall be maintained by the Agency separate and apart from all other funds and accounts of the Agency. Notwithstanding anything in this Resolution to the contrary, the Agency shall transfer or cause to be transferred from Pledged Funds to the Rebate Fund the amounts required to be transferred in order to comply with the arbitrage rebate covenants contained in a tax compliance certificate to be executed and delivered by the Agency in connection with the issuance of each Series of Tax-Exempt Bonds. The Agency shall make payments from the Rebate Fund of amounts required to be deposited therein to the United States of America in the amounts and at the times required by such arbitrage rebate covenants. The Agency covenants for the benefit of the Bondholders that it will comply with the requirements of the arbitrage rebate covenants. There shall be excluded from the pledge and lien of this Resolution the Rebate Fund, together with all moneys and securities from time to time held therein and all investment earnings derived therefrom. The Agency shall not be required to comply with the requirements of this Section 304(E) in the event that the Agency obtains an opinion of nationally recognized bond counsel that (i) such compliance is not required in order to maintain the exclusion from gross income for federal income tax purposes of interest on Tax-Exempt Bonds and/or (ii) compliance with some 003-4430-456714/AM E R rCAS 23 1147 other requirement is necessary to maintain the exclusion from gross income for federal income tax purposes of interest on Tax-Exempt Bonds. F. INVESTMENT OF FLINDS. The Trust Fund, the Sinking Fund, including the Interest Account, Principal Account, Bond Redemption Account and Debt Service Reserve Account, and all other special funds (other than the Rebate Fund) created and established by, or pursuant to, this Resolution shall constitute trust funds in favor of the Bondholders and shall be invested at the direction of the Agency as provided in this Section 304(F). Moneys on deposit in the Trust Fund, Interest Account, Principal Account and Bond Redemption Account may be invested at the direction of the Agency in Permitted Investments maturing not later than the dates on which such moneys will be needed for the purposes of such fund or account. Moneys on deposit in the Debt Service Reserve Account may be invested at the direction of the Agency in Permitted Investments maturing not later than the final maturity of any of the Bonds. All income and eamings received from the investment and reinvestment of moneys in the Interest Account, the Principal Account and the Bond Redemption Account in the Sinking Fund shall be retained in the respective accounts and applied as a credit against the obligation of the Agency to transfer moneys to such accounts pursuant to Section 304(DX1) and Section 304(DX2Xa) and Section 304(DX2Xb) of this Resolution, respectively. All income and earnings received from the investment and reinvestment of moneys in the Debt Service Reserve Account in the Sinking Fund shall be retained in the Debt Service Reserve Account and applied as a credit against the obligation of the Agency and the City to transfer moneys to such account, unless the amount in such account shall exceed the Reserve Account Requirement, in which event such excess may be applied in the manner set forth for excess amounts in the Debt Service Reserve Account, as described in Section 30a(D)(3). For the purpose of investing or reinvesting, the Agency may commingle moneys in the funds and accounts created and established hereunder (other than the Rebate Fund) in order to achieve greater investment income; provided that the Agency shall separately account for the amounts so commingled. The amounts required to be accounted for in each of the funds and accounts designated herein (other than the Rebate Fund) may be deposited in a single bank account provided that adequate accounting procedures are maintained to reflect and control the restricted allocations of the amounts on deposit therein for the various purposes of such funds and accounts as herein provided. G. ISSUANCE OF OTHER OBLIGATIONS PAYABLE OUT OF PLEDGED FUNDS. Except upon the conditions and in the manner provided herein, the Agency will not issue any other obligations payable from the Pledged Funds, nor voluntarily create or cause to be created any debt, lien, pledge, assignment, encumbrance or any other charge having priority to or being on a parity with the lien of the Bonds issued pursuant to this Resolution and the interest thereon, upon any of the Pledged Funds; provided that the Agency may enter into agreements with issuers of Credit Facilities which involve liens on Pledged Funds on a parity with that of the o03-4430-4561/4 I AM ERTCAS 24 1148 Series of Bonds or portion thereof which is supported by such Credit Facilities solely with respect to any reimbursement obligations due such issuers which evidence amounts equal to the scheduled stated principal (including, without limitation, Amortization Requirements) and interest due on the Series of Bonds or portion thereof which is supported by such Credit Facilities. Any other obligations, in addition to the Bonds authorized by this Resolution or additional parity Bonds issued under the terms, restrictions and conditions contained in this Resolution and obligations to issuers of Credit Facilities as described above, shall provide that such obligations are junior, inferior and subordinate in all respects to the Bonds issued pursuant to this Resolution as to lien on and source and security for payment from the Pledged Funds and in all other respects. Nothing in this Resolution shall be deemed to prohibit the Agency from entering into currency swaps or other arrangements for hedging interest rates on any indebtedness. H. ISSUANCE OF ADDITIONAL PARITY BONDS. No additional parity Bonds, as in this subsection defined, payable on a parity with Bonds issued pursuant to this Resolution out of Pledged Funds, including, without limitation, Trust Fund Revenues, shall be issued after the issuance of any Bonds pursuant to this Resolution unless the following, among other conditions, are complied with: (l) The Agency must be current in all deposits into the various funds and accounts and all payments theretofore required to have been deposited or made by it under the provisions of this Resolution and the Agency must be currently in compliance with the covenants and provisions of this Resolution and any supplemental resolution hereafter adopted for the issuance of additional parity Bonds; unless upon the issuance of such additional parity Bonds the Agency will be in compliance with all such covenants and provisions. (2) The aggregate of the Trust Fund Revenues (not including any portion thereof which may be attributable to investment earnings) received by the Agency during the immediately preceding Fiscal Year were at least equal to one hundred fifty percent (150%) of the Maximum Annual Debt Service on (1) the Bonds originally issued pursuant to this Resolution and then Outstanding, (2) any additional parity Bonds theretofore issued and then Outstanding, and (3) the additional parity Bonds then proposed to be issued. (3) The Agency need not comply with subparagraph (2) of this paragraph in the issuance of additional parity Bonds if and to the extent the Bonds to be issued are refunding Bonds, that is, delivered in lieu of or in substitution for Bonds originally issued under this Resolution or previously issued additional parity Bonds, if the Agency shall cause to be delivered a certificate of the Executive Director of the Agency setting forth (i) the Maximum Annual Debt Service (A) with respect to the Bonds of all Series Outstanding immediately prior to the date of authentication and delivery of such refunding Bonds, and (B) with respect to the Bonds of all Series to be Outstanding immediately thereafter, and (ii) that the Maximum Annual Debt Service set forth pursuant to (B) above is no greater than that set forth pursuant to (A) above. oo3-4430-456t/ 4 /AMERtCAS 25 1149 Simultaneously with the delivery of any Bonds issued pursuant to subparagraphs (2) and (3) above for the purpose of refunding any Bonds issued under this Resolution, the Agency may withdraw from the Sinking Fund amounts theretofore deposited which are allocable to the Bonds being refunded and shall transfer said amounts in accordance with the resolution providing for the issuance of the refunding Bonds, provided that after such withdrawal the Agency shall be in compliance with the provisions of this Resolution. The term "additional parity Bonds" as used in this Resolution shall be deemed to mean additional obligations evidenced by Bonds issued upon the provisions and within the limitations of this subsection to finance Redevelopment Projects payable from the Pledged Funds on a parity with Bonds originally authorized and issued pursuant to this Resolution. Such Bonds shall be deemed to have been issued pursuant to this Resolution the same as the Bonds originally authorized and issued pursuant to this Resolution and all of the covenants and other provisions of this Resolution (except as to details of such Bonds evidencing such additional parity obligations inconsistent therewith) shall be for the equal benefit, protection'and security of the Holders of any Bonds originally authorized and issued pursuant to this Resolution and the Holders of any Bonds evidencing additional obligations subsequently issued within the limitations of and in compliance with this subsection. All of such Bonds, regardless of the time or times of their issuance shall rank equally with respect to their lien on the Pledged Funds and their sources and security for payment therefrom without preference of any Bonds over any other. The term "additional parity Bonds" as used in this Resolution shall not be deemed to include bonds, notes, certificates or other obligations subsequently issued in accordance with this Resolution, the lien of which on the Pledged Funds is subject to the prior and superior lien on the Pledged Funds of Bonds and the Agency shall not issue any obligations whatsoever payable from the Pledged Funds, which rank equally as to lien and source and security for their payment from such Pledged Funds with Bonds except in the manner and under the conditions provided in subsection (G) above and this subsection. I. BOOKS AND RECORDS. The Agency will keep separately identifiable accounting records for the receipt of the Trust Fund Revenues by the use of a fund established in accordance with generally accepted accounting principles, and any Holder of a Bond or Bonds issued pursuant to this Resolution, shall have the right at all reasonable times to inspect all records, accounts and data of the Agency relating thereto. The Agency shall promptly after the close of each Fiscal Year cause the books, records and accounts relating to the Trust Fund Revenues for such Fiscal Year to be properly audited by a qualified, recognized and nationally known independent firm of certified public accountants and shall file the report of such certified public accountants in the office of the Executive Director, and shall mail upon request, and make available generally, said report, or a reasonable summary thereof, to any Holder or Holders of Bonds issued pursuant to this Resolution. Such audited books, records and accounts shall contain the statements required by generally accepted accounting principles applicable to governmental entities, and a certificate of such certified public accountants disclosing any breach on the part of the Agency of any covenant herein. 003-4430-456t/ 4 IAMERTCAS 26 1150 J. NO IMPAIRMENT OF CONTRACT. The Agency has full power and authority to irrevocably pledge the Pledged Funds to the payment of the principal of and interest on the Bonds, The pledge of such Pledged Funds, in the manner provided herein, shall not be subject to repeal, modification or impairment by any subsequent resolution, ordinance or other proceedings of the Agency so long as any Bonds are Outstanding hereunder. The Agency shall take all actions necessary and pursue such legal remedies which may be available to it either in law or in equity to prevent or cure any impairment by any entity other than the Agency within the meaning of this subsection. K. REMEDIES. Any Holder of Bonds issued under the provisions of this Resolution may either at law or in equity, by suit, action, mandamus or other proceedings in any court of competent jurisdiction, protect and enforce any and all rights under the laws of the State or granted and contained in this Resolution, and may enforce and compel the perfornance of all duties required by this Resolution or by any applicable statutes, including the Act, to be performed by the Agency or by any officer thereof. Nothing herein, however, shall be construed to grant any Holder of such Bonds any lien on any property of the Agency, except as provided herein. No Holder of Bonds, however, shall have any right in any manner whatever to affect adversely, or prejudice the security of this Resolution or to express any right hereunder except in the manner herein provided, and all proceedings at law or in equity shall be instituted and maintained for the benefit of all Holders of Bonds. L. ENFORCEMENT OF COLLECTIONS. The Agency will diligently enforce and collect the Trust Fund Revenues and will take all steps, actions and proceedings for the enforcement and collection of such Trust Fund Revenues to the full extent permitted or authorized by applicable laws, including the Act. All Trust Fund Revenues shall as collected be held in trust to be applied as herein provided and not otherwise. M. DISCHARGE AND SATISFACTION OF BONDS. The covenants, liens and pledges entered into, created or imposed pursuant to this Resolution may be fully discharged and satisfied with respect to all or a portion of the Bonds in any one or more of the following ways: (1) by paying the principal of and interest on such Bonds when the same shall become due and payable; or (2) by depositing in the Interest Account, the Principal Account and the Bond Redemption Account and/or in such other accounts which are irrevocably pledged to the payment of Bonds as the Agency may hereafter create and establish, certain moneys which together with other moneys lawfully available therefor, if any, shall be sufficient at the time of such deposit to pay when due the principal, redemption premium, if any, and interest due and to become due on said Bonds on or prior to the redemption date or maturity date thereof; or (3) by depositing in the Interest Account, the Principal Account and the Bond Redemption Account and/or such other accounts which are irrevocably pledged to the payment of Bonds as the Agency may hereafter create and establish, moneys which together with other moneys lawfully available therefor when invested in such Defeasance Obligations which shall not be subject to redemption prior to their maturity other than at 003-4430-4567 I 4 IAM ERTCAS 27 1151 the option of the Holder thereof, will provide moneys which shall be sufficient to pay when due the principal, redemption premium, if any, and interest due and to become due on said Bonds on or prior to the redemption date or maturity date thereof. Upon such payment or deposit in the amount and manner provided in this Section 304(M), Bonds shall be deemed to be paid and shall no longer be deemed to be Outstanding for the purposes of this Resolution and all liability of the Agency with respect to said Bonds shall cease, terminate and be completely discharged and extinguished, and the Holders thereof shall be entitled to payment solely out of the moneys or securities so deposited; provided that (i) in connection with any discharge and satisfaction pursuant to subsection (2) or (3) above, the Agency shall concurrently with such deposit deliver (A) an opinion of nationally recognized bond counsel to the effect that interest on the Bonds being discharged will not, by reason of such discharge, become includable in gross income for federal income tax purposes and that such Bonds have been discharged in accordance with the provisions of this Section, and (B) an accountant's verification report showing the sufficiency of such moneys and/or Defeasance Obligations to provide for the payment of said Bonds, and (ii) in the event said Bonds do not mature and are not to be redeemed within the next succeeding sixty (60) days, the Agency shall have given the Registrar irrevocable instructions to give, as soon as practicable, a notice to the Holders of said Bonds by first-class mail, postage prepaid, stating that the deposit of said moneys or Defeasance Obligations has been made with an appropriate fiduciary institution acting as escrow agent solely for the Holders of said Bond and other Bonds being defeased, and that said Bonds are deemed to have been paid in accordance with this Section and stating such maturity or redemption date upon which moneys are to be available for the payment of the principal of and premium, if any, and interest on said Bonds. (4) Notwithstanding the foregoing, all references to the discharge and satisfaction of Bonds shall include the discharge and satisfaction of any issue of Bonds, any portion of an issue of Bonds, any maturity or maturities of an issue of Bonds, any portion of a maturity of an issue of Bonds or any combination thereof. (5) If any portion of the moneys deposited for the payment of the principal of and redemption premium, if any, and interest on any portion of Bonds is not required for such purpose, the Agency may use the amount of such excess free and clear of any trust, lien, security interest, pledge or assignment securing said Bonds or otherwise existing under this Resolution. In the event that the principal and redemption price, if applicable, and interest due on the Bonds shall be paid by the issuer of a Credit Facility pursuant to the terms thereof, the assignment and pledge created hereunder and all covenants, agreements and other obligations of the Agency to the Bondholders shall continue to exist and the issuer of such Credit Facility shall be subrogated to the rights of such Bondholders. N. CONCERNING THE RESERVE ACCOLINT INSURANCE POLICY, THE RESERVE ACCOUNT LETTER OF CREDIT AND/OR CREDIT FACILITY. As long as the Agency shall have a Reserve Account Insurance Policy and/or a Reserve Account Letter of o03-4430-456t/ 4 lAMERTCAS 28 1152 Credit on deposit in the Debt Service Reserve Account, the Agency covenants that it will comply with the provisions of the Reserve Account Insurance Policy and/or Reserve Account Letter of Credit and any reimbursement or similar agreement with respect to any such Reserve Account Insurance Policy and/or Reserve Account Letter of Credit. As long as any Series of Bonds of the Agency are secured by a Credit Facility, (i) the Agency covenants to comply with the requirements and conditions imposed on the Agency by the issuer of the Credit Facility and (ii) all rights hereunder granted to the Holders of Bonds so secured shall be exercisable by the issuer of such Credit Facility in lieu of the Holders of such Bonds. Notwithstanding anything in this Resolution to the contrary, the rights of any issuer of a Credit Facility created under this Resolution shall remain in full force and effect only so long as the applicable Credit Facility shall remain in effect and the issuer of such Credit Facility shall not be in default in its payment obligations to the Holders of Bonds secured by such facility. [END OF ARTICLE III] 003-4430-456L/ 4 /AM ERTCAS 29 1153 ARTICLE IV CONCERNING THE FIDUCIARIES SECTION 40I. ADDITIONAL PAYING AGENTS; APPOINTMENT AND ACCEPTANCE OF DUTIES. The Agency may at any time or from time to time appoint one or more other Paying Agents having the qualifications set forth in this Article IV for a successor Paying Agent; provided that nothing herein shall prevent the Agency from appointing itself as the Paying Agent hereunder. Each Paying Agent shall signify its acceptance of the duties and obligations imposed upon it by this Resolution by executing and delivering to the Agency a written acceptance thereof. SECTION 402. RESPONSIBILITIES OF FIDUCIARIES. The recitals of facts herein and in the Bonds contained shall be taken as the statements of the Agency and no Fiduciary assumes any responsibility for the correctness of the same. No Fiduciary makes any representation as to the validity or sufficiency of this Resolution or of any Bonds issued thereunder or as to the security afforded by this Resolution, and no Fiduciary shall incur any liability in respect thereof. The Registrar shall, however, be responsible for its representation contained in its certificate of authentication of the Bonds. No Fiduciary shall be under any responsibility or duty with respect to the application of any moneys paid by such Fiduciary in accordance with the provisions of this Resolution to or upon the order of the Agency or any other Fiduciary. No Fiduciary shall be under any obligation or duty to perform any act which would involve it in expense or liability or to institute or defend any suit in respect thereof, or to advance any of its own moneys, unless properly indemnified. No Fiduciary shall be liable in connection with the performance of its duties hereunder except for its own negligence, misconduct or default. SECTION 403. EVIDENCE ON WHICH FIDUCIARIES MAY ACT. (a) Each Fiduciary, upon receipt of any notice, resolution, request, consent, order, certificate, report, opinion, bond, or other paper or document fumished to it pursuant to any provision of this Resolution, shall examine such instrument to determine whether it conforms to the requirements of this Resolution and shall be protected in acting upon any such instrument believed by it to be genuine and to have been signed or presented by the proper party or parties. Each Fiduciary may reasonably consult with counsel, who may or may not be of counsel to the Agency, and the opinion of such counsel shall be full and complete authorization and protection in respect of any action taken or suffered by it under this Resolution in good faith and in accordance therewith. (b) Whenever any Fiduciary shall deem it necessary or desirable that a matter be proved or established prior to taking or suffering any action under this Resolution, such matter (unless other evidence in respect thereof be therein specifically prescribed) may be deemed to be conclusively proved and established by a certificate of the Chairperson, Executive Director or his designee, and such certificate shall be full warrant for any action taken or suffered in good faith under the provisions of this Resolution upon the faith thereof; but in its discretion the Fiduciary may in lieu thereof accept other evidence of such fact or matter or may require such further or additional evidence as it may deem reasonable. 003 - 4430-45 6 Ll 4 / AM ERI CAS 30 1154 (c) Except as otherwise expressly provided in this Resolution, any request, order, notice or other direction required or permitted to be furnished pursuant to any provision thereof by the Agency to any Fiduciary shall be sufficiently executed in the name of the Agency by the Chairperson, Executive Director or designee of either of them. SECTION 404. COMPENSATION. The Agency may agree with any Fiduciary to pay to such Fiduciary from time to time reasonable compensation for all services rendered under this Resolution, and also all reasonable expenses, charges, counsel fees and other disbursements, including those of its attorneys, agents and employees, incurred in and about the performance of their powers and duties under this Resolution. The Agency may also agree with any Fiduciary to indemnify any Fiduciary for any and all of its reasonable fees, costs and expenses resulting from any claim, liability or the like incurred in and about the performance of its powers and duties under this Resolution. SECTION 405. CERTAIN PERMITTED ACTS. Any Fiduciary, individually or otherwise, may become the owner of any Bonds, with the same rights it would have if it were not a Fiduciary. To the extent permitted by law, any Fiduciary may act as depositary for, and permit any of its officers or directors to act as a member of, or in any other capacity with respect to, any committee formed to protect the rights of Bondholders or to effect or aid in any reorganization growing out of the enforcement of the Bonds or this Resolution, whether or not any such committee shall represent Holders of a majority in principal amount of the Bonds then Outstanding. SECTION 406. MERGER OR CONSOLIDATION. Any entity into which any Fiduciary may be merged or converted or with which it may be consolidated or any entity resulting from any merger, conversion or consolidation to which it shall be a party or any entity to which any Fiduciary may sell or transfer all or substantially all of its corporate trust business shall be a successor Fiduciary hereunder provided such entity shall be a bank or trust company organized under the laws of any state of the United States or a national banking association or shall be a successor entity to the Agency, if the Agency is acting as Fiduciary hereunder, shall be authorized by law to perform all duties imposed upon it by this Resolution, and shall be such successor without the execution or filing of any paper or the performance of any further act. SECTION 407. ADOPTION OF AUTHENTICATION. In case any of the Bonds contemplated to be issued under this Resolution shall have been authenticated but not delivered, any successor Registrar may adopt the certificate of authentication of any predecessor Registrar so authenticating such Bonds and deliver such Bonds so authenticated; and in case any of the said Bonds shall not have been authenticated, any successor Registrar may authenticate such Bonds in the name of the predecessor Registrar, or in the name of the successor Registrar, and in all such cases such certificate shall be fully effective. SECTION 408. RESIGNATION OR REMOVAL OF FIDUCIARY AND APPOINTMENT OF SUCCESSOR. Any Fiduciary may at any time resign and be discharged of the duties and obligations created by this Resolution by giving at least 60 days' written notice to the issuer of a Credit Facility, the Agency, and the other Fiduciaries. Any Fiduciary may be removed at any time by an instrument filed with such Fiduciary and the issuer of each Credit Facility and signed by the Chairperson, Executive Director or his designee. Any successor 0o3.4430-4561. / 4 lAM ERTCAS 3l 1155 Fiduciary shall be appointed by the Agency and shall be, if other than the Agency or its successor entity, a bank or trust company organized under the laws of any state of the United States or a national banking association, willing and able to accept the office on reasonable and customary terms and authorized by law to perform all the duties imposed upon it by this Resolution. The Agency shall notify the issuer of each Credit Facility of the appointment of any successor Fiduciary. In the event of the resignation or removal of any Fiduciary, such Fiduciary shall pay over, assign and deliver any moneys held by it as Fiduciary to its successor. SECTION 409. VACANCY. If at any time hereafter any Fiduciary shall resign, be removed, be dissolved, or otherwise become incapable of acting, or if the bank or trust company acting as any Fiduciary shall be taken over by any governmental official, agency, department or board, the position of Fiduciary shall thereupon become vacant. If the position of such Fiduciary shall become vacant for any of the foregoing reasons or for any other reasons, the Agency shall appoint a successor Fiduciary. If no appointment of a successor Fiduciary shall be made pursuant to the foregoing provisions of this Section, the Holder of any Bond Outstanding hereunder or any retiring Fiduciary may apply to any court of competent jurisdiction to appoint a successor Fiduciary. Such court may thereupon, after such notice, if any, as such court may deem proper and prescribe, appoint a successor Fiduciary. Any Fiduciary hereafter appointed, if not the Agency or its successor entity, shall be a bank or trust company authorized by law to exercise corporate trust powers and subject to examination by federal or state authority of good standing and having at the time of its appointment a combined capital and surplus aggregate not less than Fifty Million Dollars ($50,000,000). IEND OF ARTICLE IV] 003 -4 430-4 561 I 4 / AM E R rCAS 32 1156 ARTICLE V EXECUTION OF INSTRUMENTS BY BONDHOLDERS AND PROOF OF OWNERSHIP OF BONDS SECTION 501. PROOF OF EXECUTION OF DOCUMENTS AND OWNERSHIP. (a) Any request, direction, consent or other instrument in writing required by this Resolution to be signed or executed by Bondholders may be in any number of concurrent instruments of similar tenor and may be signed or executed by such Bondholders in person or by their attorneys or legal representatives appointed by an instrument in writing. Proof of the execution of any such instrument and of the ownership of Bonds shall be suff,rcient for any purpose of this Resolution and shall be conclusive in favor of the Fiduciary with regard to any action taken by it under such instrument if made in the following manner: (1) The fact and date of the execution by any person of any such instrument may be proved by the verification of any officer in any jurisdiction who, by the laws thereof, has power to take affidavits within such jurisdiction, to the effect that such instrument was subscribed and sworn to before him, or by an affidavit of a witness to such execution. Where such execution is in behalf of a person other than an individual, such verification shall also constitute sufficient approval of the authority of the signor thereof. (2) The ownership of Bonds shall be proved by the registration books required to be maintained pursuant to the provisions of this Resolution. Nothing contained in this Article shall be construed as limiting the Fiduciary to such proof, it being intended that the Fiduciary may accept any other evidence of the matters herein stated which it may deem sufficient. (b) If the Agency shall solicit from the Holders any request, direction, consent or other instrument in writing required or permitted by this Resolution to be signed or executed by the Holders, the Agency may, at its option, fix in advance a record date for determination of Holders entitled to give each request, direction, consent or other instrument, but the Authority shall have no obligation to do so. If such a record date is fixed, such request, direction, consent or other instrument may be given before or after such record date, but only the Holders of record at the close of business on such record date shall be deemed to be Holders for the purposes of determining whether Holders of the requisite proportion of Bonds have authorized or agreed or consented to such request, direction, consent or other instrument, and for that purpose the Bonds shall be computed as of such record date. (c) Any request or consent of the Holder of any Bond shall bind every future Holder of the same Bond in respect of any.thing done by the Agency or any Fiduciary in pursuance of such request or consent. IEND OF ARTICLE V] 003-4430-4551 I 4 lAM ERTCAS JJ 1157 ARTICLE, VI MISCELLANEOUS PROVISIONS SECTION 601. MODIFICATION OR AMENDMENT. Except as otherwise provided in the second paragraph hereof, no adverse material modification or amendment of this Resolution, or of any resolution amendatory hereof or supplemental hereto, may be made without the consent in writing of (i) the Holders of more than fifty per centum (50%) in aggregate principal amount of the Bonds then Outstanding or (ii) in case less than all of the several Series of Bonds then Outstanding are affected by the modification or amendment, the Holders of more than fifty per centum (50%) in aggregate principal amount of the Bonds of each Series so affected and Outstanding at the time such consent is given; provided, however, that no modification or amendment shall permit a change in the maturity of such Bonds or a reduction in the rate of interest thereon, or affecting the promise of the Agency to pay the principal of and interest on the Bonds, as the same mature or become due, from the Pledged Funds, or reduce the percentage of Holders of Bonds required above for such modification or amendment, without the consent of the Holders of all the Bonds. For the purposes of this Section 601, to the extent any Series of Bonds is secured by a Credit Facility, then the consent of the issuer of the Credit Facility shall constitute the consent of the Holders of such Series. This Resolution may be amended, changed, modified and altered without the consent of the Holders of Bonds or any Credit Facility: (a) to cure any ambiguity or formal defect or omission in this Resolution or in any supplemental resolutions or to correct or supplement any provision contained herein which may be defective or inconsistent with any other provisions contained herein; or (b) to grant to or confer upon the Bondholders any additional rights, remedies, powers, authority or security that may lawfully be granted to or conferred upon the Bondholders; or (c) to add to the conditions, limitations and restrictions on the issuance of Bonds under the provisions of this Resolution, other conditions, limitations and restrictions thereafter to be observed; or (d) to add to the covenants and agreements of the Agency in this Resolution other covenants and agreements thereafter to be observed by the Agency or to surrender any right or power herein reserved to or conferred upon the Agency; or (e) to qualify the Bonds or any of the Bonds for registration under the Securities Act of 1933, as amended, or the Securities Exchange Act of 1934, as amended; or (D to qualify this Resolution as an "indenture" under the Trust Indenture Act of 1939, as amended; or 003-4430-4561/ 4 lAMERTCAS 34 1158 (g) to make such changes as may be necessary to comply with the provisions of the Code relating to the exclusion of interest on Tax-Exempt Bonds from gross income thereunder; or (h) to make such changes as may evidence the interest herein of an issuer of a Credit Facility that secures any Series of Bonds. The Agency shall cause a notice of a proposed supplemental resolution requiring the consent of Bondholders to be mailed, postage prepaid, to all Holders of Bonds then Outstanding at their addresses as they appear on the registration books. Such notice shall briefly set forth the nature of the proposed supplemental resolution and shall state thata copy thereof is on file at the office of the Agency for inspection by all Bondholders. The Agency shall not, however, be subject to any liability to any Bondholder by reason of its failure to mail the notice required by this Section, and any such failure shall not affect the validity of such supplemental resolution when consented to or approved as provided in this Section. Whenever, at any time after the date of the mailing of such notice, the Agency shall deliver to the Executive Director an instrument or instruments purporting to be executed by the Holders of at least a majority in aggregate principal amount of the Bonds then Outstanding, which instrument or instruments shall refer to the proposed supplemental resolutions described in such notice and shall specifically consent to and approve the adoption thereof, the Agency may adopt such supplemental resolutions in substantially such form without liability or responsibility to any Holder of any Bond, whether or not such Holder shall have consented thereto. It shall not be necessary for the consent of the Holders to approve the particular form of any proposed supplemental resolution, but it shall be sufficient if such consent shall approve the substance thereof. If the Holders of more than fifty per centum (50%) in aggregate principal amount of the Bonds of all Series affected and Outstanding at the time of the adoption of such supplemental resolution shall have consented to and approved the adoption thereof as herein provided, no Holder shall have any right to object to the adoption of such supplemental resolution, or to object to any of the terms and provisions therein contained, or the operation thereof, or in any manner to question the propriety of the adoption thereof, or to enjoin or restrain the Agency from adopting the same or from taking any action pursuant to the provisions thereof. The consent of the Holders of any additional Series of Bonds to be issued hereunder shall be deemed given if the underwriters or initial Underwriters for resale consent in writing to such supplemental resolution and the nature of the amendment effected by such supplemental resolution is disclosed in the official statement or other offering document pursuant to which such additional Series of Bonds is offered and sold to the public. SECTION 602. SEVERABILITY OF INVALID PROVISIONS. If any one or more of the covenants, agreements or provisions of this Resolution should be held contrary to any express provision of law or contrary to the policy of express law, though not expressly prohibited, or against public policy, or shall for any reason whatsoever be held invalid, then such covenants, agreements or provisions shall be null and void and shall be deemed separate from the 003-4430-4561 I 4 / AM ERTCAS 35 1159 remaining covenants, agreements or provisions, and shall in no way affect the validity of any of the other provisions of this Resolution or of the Bonds issued hereunder. SECTION 603. LINCLAIMED MONEY. Notwithstanding any provisions of this Resolution, any money held by any Fiduciary for the payment of the principal or redemption price of, or interest on, any Bonds and remaining unclaimed for five (5) years after the principal of all of the Bonds has become due and payable (whether at maturity or upon call for redemption), if such money were so held at such date, or five (5) years after the date of deposit of such money if deposited after such date when all of the Bonds became due and payable, shall be repaid to the Agency free from the provisions of this Resolution, and all liability of the Fiduciary with respect to such money shall thereupon cease. SECTION 604. PAYMENTS DUE ON SATURDAYS, SLTNDAYS AND HOLIDAYS. In any case where the date of maturity of interest on or principal of the Bonds or the date fixed for redemption of any Bonds shall be a Saturday, Sunday or a day on which any Paying Agent is required, or authorized or not prohibited, by law (including executive orders) to close and is closed, then payment of such interest or principal and any redemption premium need not be paid by the Paying Agent on such date but may be paid on the next succeeding business day on which the Paying Agent is open for business with the same force and effect as if paid on the date of maturity or the date fixed for redemption, and no interest shall accrue for the period after such date of maturity or redemption. SECTION 605. CONTROLLING LAW; MEMBERS OF GOVERNING BODY OF AGENCY NOT LIABLE. The provisions of this Resolution shall be governed by, and interpreted in accordance with, the laws of the State. All covenants, stipulations, obligations and agreements of the Agency contained in this Resolution shall be deemed to be covenants, stipulations, obligations and agreements of the Agency to the full extent authorized by the Act and provided by the Constitution and laws of the State. No covenant, stipulation, obligation or agreement contained herein shall be deemed to be a covenant, stipulation, obligation or agreement of any present or future member, agent or employee of the Commission or the Agency in his individual capacity, and neither the members of the Commission nor any official executing the Bonds shall be liable personally on the Bonds or this Resolution or shall be subject to any personal liability or accountability by reason of the issuance or the execution by the Commission or such members thereof. SECTION 606. FURTHER AUTHORIZATIONS. The Chairperson, the Executive Director and such other officers, employees and staff members of the Agency as may be designated by the Chairperson and the Executive Director or either of them are each designated as agents of the Agency in connection with the issuance and delivery of the Bonds and are authorized and empowered, collectively or individually, to take all action and steps and to execute all instruments, documents and contracts on behalf of the Agency, that are necessary or desirable in connection with the execution and delivery of the Bonds, and which are not inconsistent with the terms and provisions of this Resolution. SECTION 607. HEADINGS FOR CONVENIENCE ONLY. Any headings preceding the texts of the several articles and sections hereof shall be solely for convenience of reference 003-4430-456L/ 4 /AMERtCAS 36 1160 and shall not constitute a part of this Resolution, nor shall they affect its meaning, construction or effect. SECTION 608. TIME OF TAKING EFFECT. immediately upon its adoption. PASSED AND ADOPTED this day Attest: Secretary This Resolution shall take effect ,2015. Chairperson APMOVED AS TO FORM & LANGUAGE &,OR EXECUTION-(),,\- ,IM 003-4 430-456r I 4 /AMERTCAS 37 1161 EXHIBIT A SERIES 2OI5 REDEVELOPMENT PROJECT l. Renovation and expansion of the Miami Beach Convention Center to modernize and upgrade the Convention Center facility and areas in the vicinity of the Convention Center, including but not limited to creation of a new public park and related facilities, restoration of the Carl Fisher Clubhouse and Collins Canal seawall, and streetscape, landscape and other infrastructure improvements. 2. Renovation of the Bass Museum to increase programmable space at the facility. 3. Improvements to 17th Street, Drexel Avenue, Pennsylvania Avenue and Meridian Avenue to enhance the pedestrian experience between the Miami Beach Convention Center and Lincoln Road. 4. Improvements to Lincoln Road from Washington Avenue to Lenox Avenue. 003-4 430-456u 4 lAMERTCAS A-l 1162 No. R- EXHIBIT B BOND FORM UNITED STATES OF AMERICA STATE OF FLORIDA MIAMI BEACH REDEVELOPMENT AGENCY TAX INCREMENT REVENUE BOND, SERIES (CITY CENTER/HISTORIC CONVENTION VILLAGE) Date of Maturity Date Original IssuanceInterest Rate CUSIP REGISTERED OWNER: PRINCIPAL AMOUNT:DOLLARS KNOW ALL MEN BY THESE PRESENTS that the Miami Beach Redevelopment Agency (the "Agency"), for value received, hereby promises to pay to the registered owner specified above, or registered assigns, on the date specified above, but solely from the sources hereinafter mentioned, upon presentation and surrender hereof at the designated corporate trust office of , as paying agent (said bank and/or any bank or trust company to become successor paying agent being herein called the "Paying Agent"), the principal sum specified above with interest thereon at the rate per annum specified above, payable on the first day of of each year, commenclng on Principal of this Bond is payable at the office of the Paying Agent in lawful money of the United States of America. Interest on this Bond is payable by check or draft of the Paying Agent made payable to the registered owner as its name and address shall appear on the registry books of ,oS Registrar (said bank and any successor Registrar being herein called the "Registrar") at the close of business on the fifteenth day of the calendar month preceding each interest payment date (the "Regular Record Date"); provided, however, that (i) if ownership of the Bonds is maintained in a book-entry only system by a securities depository, such payment may be made by automatic funds transfer (wire) to such securities depository of its nominee or (ii) if such Bonds are not maintained in a book-entry only system by a securities depository, upon written request of the Holder of $1,000,000 or more in principal amount of Bonds, such payments may be made by wire transfer to the bank and bank account specified in writing by such Holder (such bank being a bank within the continental United States), if such Holder has advanced to the Paying Agent the amount necessary to pay the cost of such wire transfer or authorized the Paying Agent to deduct the cost of such wire transfer from the payment due such Holder. Any interest not B-1 003 -4 430- 456 1, / 4 / AM ER I CAS 1163 punctually paid on an interest payment date shall forthwith cease to be payable to the registered owner on the Regular Record Date and may be paid to the registered owner as of the close of business on a special record date for the payment of such defaulted interest to be fixed by the Paying Agent, notice whereof shall be given not less than 10 days prior to such special record date to the registered owners. Such interest shall be payable from the most recent interest payment date next preceding the date of authentication to which interest has been paid, unless the date of authentication is an 1or I to which interest has been paid, in which case from the date of authentication, or unless the date of authentication is prior to ,20- in which case from , 20-, or unless the date of authentication is between a Regular Record Date and the next succeeding interest payment date, in which case from such interest payment date. This Bond is one of an authorized issue of Bonds of the Agency designated as its "Tax Increment Revenue Bonds, Series _ (City Center/Historic Convention Village)" (herein called the "Bonds"), in the aggregate principal amount of Dollars ($ ) of like date, tenor, and effect, except as to number, date of maturity and interest rate, issued for the purpose of under the authority of and in full compliance with the Constitution and Statutes of the State of Florida, including particularly Chapter 163, Part III, Florida Statutes, as amended from time to time, and other applicable provisions of law, and a resolution duly adopted by the Agency on ,2015 (hereinafter referred to as the "Resolution") and is subject to all the terms and conditions of the Resolution. This Bond is payable solely from and secured by a first lien on and pledge of the Trust Fund Revenues (as defined in the Resolution) collected by the Agency pursuant to Section 163387 , Florida Statutes, as amended, and all moneys held in certain funds and accounts established under the Resolution (collectively, the "Pledged Funds"), all in the manner provided in the Resolution. Neither the Agency, the City, Miami-Dade County, Florida (the o'County"), the State of Florida (the "State") nor any of its political subdivisions is obligated to pay this Bond or the interest hereon except from the Pledged Funds pledged thereto and neither the faith and credit nor the taxing power of the City, the County, the State or any of its political subdivisions is pledged to the payment of the principal of, or the interest on, this Bond. This Bond does not constitute an indebtedness of the Agency, the City, the County, the State or any political subdivision thereof within the meaning of any constitutional, statutory or other provision or limitation and it is expressly agreed by the Holder of this Bond that such Holder shall never have the right to require or compel the exercise of the ad valorem taxing power of the City, the County, the State or any political subdivision thereof or taxation in any form on any real or personal property therein, for the payment of the principal of and interest on this Bond and other payments provided for in the Resolution. It is further agreed between the Agency and the Holder of this Bond that this Bond and the obligation evidenced thereby shall not constitute a lien upon property owned by or situated within the corporate territory of the Agency or the City, but shall constitute a lien only on the Pledged Funds, all in the manner provided in the Resolution. Under the provisions of Section 163.387, Florida Statutes, as amended, the City and the County have established the City Center/Historic Convention Village Redevelopment and B-2 o03-4430-456U 4 lAMERTCAS 1164 Revitalization Trust Fund into which the County and the City have agreed to deposit on an annual basis their respective portions of the Trust Fund Revenues (as defined in the Resolution) for so long as the Bonds are outstanding. The Agency in the Resolution has established the Miami Beach Redevelopment Agency Sinking Fund (City Center/Historic Convention Village) and certain accounts therein and covenanted to deposit into said Sinking Fund and accounts therein solely from the Pledged Funds moneys to provide for the timely payment of principal of and interest on the Bonds and to create a reserve therefor, all to the extent and in the manner provided in the Resolution. Reference is hereby made to the Resolution for the specific provisions goveming the Bonds. flnsert Redemption Provisions] Additional parity bonds may be issued by the Agency from time to time upon the conditions and within the limitations and in the manner provided in the Resolution. The original registered owner, and each successive registered owner of this Bond shall be conclusively deemed to have agreed and consented to the following terms and conditions: 1. The Registrar shall keep books for the registration of Bonds and for the registration of transfers of Bonds as provided in the Resolution. The Bonds shall be transferable by the registered owner thereof in person or by his attorney duly authorized in writing only upon the books of the Agency kept by the Registrar and only upon surrender hereof together with a written instrument of transfer satisfactory to the Registrar duly executed by the registered owner or his duly authorized attorney. Upon the transfer of any such Bond, the Agency shall issue in the name of the transferee a new Bond or Bonds. 2. The Agency, the Registrar and the Paying Agent may deem and treat the person in whose name any Bond shall be registered upon the books kept by the Registrar as the absolute owner of such Bond, whether such Bond shall be overdue or not, for the purpose of receiving payment of, or on account of, the principal of and interest on such Bond as the same becomes due, and for all other purposes. A11 such payments so made to any such registered owner or upon his order shall be valid and effectual to satisfy and discharge the liability upon such Bond to the extent of the sum or sums so paid, and neither the Agency, the Paying Agent, nor the Registrar shall be affected by any notice to the contrary. 3. At the option of the registered owner thereof and upon surrender hereof at the designated corporate trust office of the Registrar with a written instrument of transfer satisfactory to the Registrar duly executed by the registered owner or his duly authorized attorney and upon payment by such registered owner of any charges which the Registrar or the Agency may make as provided in the Resolution, the Bonds may be exchanged for Bonds of the same series and maturity of any other authorized denominations. 4. In all cases in which the privilege of exchanging Bonds or transferring Bonds is exercised, the Agency shall execute and the Registrar shall authenticate and deliver Bonds in accordance with the provisions of the Resolution. There shall be no charge for any such exchange or transfer of Bonds, but the Agency or the Registrar may require payment of a sum sufficient to pay any tax, fee or other governmental charge required to be paid with respect to 003-4430-4s6r/ 4 IAMERTCAS B-3 1165 such exchange or transfer. Neither the Agency nor the Registrar shall be required (a) to transfer or exchange Bonds for a period of 15 days next preceding an interest payment date on such Bonds or next preceding any selection of Bonds to be redeemed or thereafter until after the mailing of any notice of redemption; or (b) to transfer or exchange any Bonds called for redemption. It is hereby certified and recited that all acts, conditions and things required to exist, to happen, and to be performed, precedent to and in the issuance of this Bond exist, have happened and have been performed in regular and due form and time as required by the laws and Constitution of the State of Florida applicable thereto, and that the issuance of this Bond, and of the issue of Bonds of which this Bond is one, is in full compliance with all constitutional, statutory or charter limitations or provisions. IN WITNESS WHEREOF, the Miami Beach Redevelopment Agency has caused this Bond to be signed by its Chairperson, either manually or with his facsimile signature, and the seal of the Miami Beach Redevelopment Agency or a facsimile thereof to be affixed hereto or imprinted or reproduced hereon, and attested by its Secretary, either manually or with his facsimile signature. MIAMI BEACH REDEVELOPMENT AGENCY (sEAL) Attest: By: Chairperson Secretary 003-4430-456L/ 4 IAM ERTCAS B-4 1166 CERTIFICATE OF AUTHENTICATION This Bond is one of the Bonds delivered pursuant to the within mentioned Resolution. Date of Authentication: as Registrar Authorized Signatory By: B-5 003-4 430-456L/ 4 IAM ERICAS 1167 ABBREVIATIONS The following abbreviations, when used in the inscription on the face of the within Bond, shall be construed as though they were written out in full according to applicable laws, or regulations. TEN COM as tenants in common TEN ENT as tenants by the entireties JT TEN as joint tenants with the right of survivorship and not as tenants in common LINIFORM GIFT MIN ACT -Custodian for (Cust) under Uniform Gifts to Minors (Minor) Act (State) Additional abbreviations may also be used though not in the above list. ASSIGNMENT For value received, the undersigned hereby sells, assigns and transfers unto the within Bond, and all rights thereunder, and hereby irrevocably constitutes and appoints attorney to transfer the said Bond on the bond register, with full power of substitution in the premises. Dated: Please insert Social Security or other identifying number of transferee: Signature guaranteed: NOTICE: The transferor's signature to this Assignment must correspond with the name as it appears on the face of the within Bond in every particular without alteration or any change whatever. 003-4430-456Ll 4 lAMERTCAS B-6 1168 SEB DRAFT - O9/21l15 PREI-IMINARY OFF-ICIAL S'I'ATEMENT DATED NOVEMBER ,20I5 NEW ISSUE - Book-Entry-Only Ratings: See "RATINGS" herein In the opinion of Squire Patton Boggs (US) LLP, Bond Counsel, under existing law, the Series 2015A Bonds and the income thereon are exemptfrom taxation under the laws of the State of Florida, except estqte taxes imposed by Chapter 198, Florida Statutes, qs amended, and net income and franchise taxes imposed by Chapter 220, Florida Statutes, as amended. NO ATTEMPT HAS BEEN MADE TO PROVIDE THAT INTEREST ON THE SERIES 2OI5A BONDS IS EXCLUDED FROM GRO^S.S INCOME OF THE HOLDERS THEREOF FOR FEDERAL INCOME TAX PURPOSES. For a more complete discussion ofthe tax qspects relating to the Series 2015A Bonds, see the discussion under the heading "TAX MATTERS" herein. In the opinion of Squire Patton Boggs (US) LLP, Bond Counsel, under existing law (i) assuming continuing compliance with certain covenants and the accuracy ofcertain representations, interest on the Series 20158 Bonds is excludedfrom gross incomeforfederal income tax purposes and is not an item of tax preference for purposes of the federal alternative minimum tax imposed on individuals and corporations and (ii) the Series 20158 Bonds and the income thereon are exemptfrom taxation under the laws of the State of Florida, except estate taxes imposed by Chapter 198, Florida Statutes, as qmended, and net income andfranchise taxes imposed by Chapter 220, Florida Statutes, as amended. Interest on the Series 20158 Bonds may be subject to certainfederal taxes imposed only on certain corporations, including the corporate alternative minimum tqx on a portion of that interest. For a more complete discussion ofthe tax aspects relating to the Series 20158 Bonds, see the discussion under the heading "TAX MATTERS" herein. $360,000,000* MIAMI BEACH REDEVELOPMENT AGENCY Tax Increment Revenue and Revenue Refunding Bonds, Taxable Series 2015A (City Center/Historic Convention Village) Dated: Date of Delivery Tax Increment Revenue and Revenue Refunding Bonds, Series 20158 (City Center/Historic Convention Village) Due: March l, as shown on inside cover page The Miami Beach Redevelopment Agency Tax Increment Revenue and Revenue Refunding Bonds, Taxable Series 2015A (City Center/Historic Convention Village) (the "Series 2015,A. Bonds") and the Miami Beach Redevelopment Agency Tax Increment Revenue and Revenue Refunding Bonds, Series 20158 (City Center/llistoric Convention Village) (the "Series 20158 Bonds" and, collectively with the Series 2015A Bonds, the "Series 2015 Bonds") are being issued by the Miami Beach Redevelopment Agency (the "Agency") as fully registered bonds, without coupons, in denominations of $5,000 or any integral multiple thereof. When issued, the Series 2015 Bonds will be registered in the name of Cede & Co., as nominee of The Depository Trust Company, New York, New York ("DTC"), which will act as securities depository for the Series 2015 Bonds. Purchasers will not receive certificates representing their ownership interests in the Series 2015 Bonds purchased. See "DESCRIPTION OF THE SERIES 2015 BONDS - Book-Entry Only System" herein. Interest on the Series 2015 Bonds will accrue from their date 1169 of delivery and will be payable on March 1,2016 and semiannually on each September 1 and March I thereafter. U.S. Bank National Association, Jacksonville, Florida, will serve as the initial bond registrar and paying agent (the "Paying Agent") for the Series 2015 Bonds. While the Series 2015 Bonds are registered through the DTC book-entry only system, principal of and interest on the Series 2015 Bonds will be payable by the Paying Agent to DTC. The proceeds of the Series 201 5A Bonds will be used, together with certain other legally available moneys of the Agency, to (i) provide for the advance refunding of all of the Agency's Tax Increment Revenue Bonds, Taxable Series 1998,4. (City Center/Historic Convention Village), currently outstanding in the aggregate principal amount of $10,000,000 (the "Outstanding Series 1998A Bonds"); (ii) provide for the current refunding of all of the Agency's Tax Increment Revenue Refunding Bonds, Taxable Series 20054 (City Center/flistoric Convention Village), currently outstanding in the aggregate principal amount of $27,815,000 (the "Outstanding Series 2005A Bonds"); (iii) make a deposit to the Debt Service Reserve Account (including the cost of any Reserve Account Insurance Policy or Reserve Account Letter of Credit determined by the Agency to be advisable) to satisfy the Reserve Account Requirement relating to the Series 2015A Bonds (as such terms are hereinafter defined); (iv) finance certain costs of acquiring and constructing renovations to the Convention Center and related improvements which constitute a portion of the Series 2015 Redevelopment Project (as such terms are hereinafter defined); and (v) pay costs of issuance of the Series 2015,4. Bonds and refunding the Outstanding Series 1998,{ Bonds and the Outstanding Series 20054 Bonds, including the portion of the premium allocable to the Series 2015A Bonds for any municipal bond insurance policy that may be obtained in connection with the issuance of the Series 2015 Bonds. See "INTRODUCTION" herein. The proceeds of the Series 201 58 Bonds will be used, together with certain other legally available moneys of the Agency, to (i) provide for the current refunding of all of the Agency's Tax Increment Revenue Refunding Bonds, Series 20058 (City Center/Historic Convention Village), currently outstanding in the aggregate principal amount of $17,175,000 (the "Outstanding Series 20058 Bonds"); (ii) make a deposit to the Debt Service Reserve Account (including the cost of any Reserve Account Insurance Policy or Reserve Account Letter of Credit determined by the Agency to be advisable) to satisfy the Reserve Account Requirement relating to the Series 20158 Bonds; (iii) finance certain costs of acquiring and constructing public renovations to the Convention Center and related public improvements which constitute a portion of the Series 2015 Redevelopment Project; and (iv) pay costs of issuance of the Series 20158 Bonds and refunding the Outstanding Series 20058 Bonds, including the portion of the premium allocable to the Series 2015B- Bonds for any municipal bond insurance policy that may be obtained in connection with the issuance of the Series 2015 Bonds. See "INTRODUCTION" herein. The Series 2015 Bonds are solely payable from and secured by a pledge of and first lien on the Pledged Funds derived by the Agency from (i) Trust Fund Revenues; and (ii) all moneys, securities and instruments held in the funds and accounts created under the Bond Resolution, except the Rebate Fund (as such terms are hereinafter defined), on a parity with any additional Bonds that may be issued under the Bond Resolution. See "SECURITY AND SOURCES OF PAYMENT" herein. The Series 2015 Bonds are subject to optional and mandatory sinking fund redemption prior to maturity as described herein. THE SERIES 2OI5 BONDS SHALL NOT BE AND SHALL NOT BE DEEMED TO CONSTITUTE A DEBT, LIABILITY OR OBLIGATION OF THE AGENCY, THE CITY OF MIAMI BEACH, FLORIDA (THE "CITY"), MIAMI-DADE COUNTY, FLORIDA ("THE COUNTY"), THE STATE OF FLORIDA OR ANY POLITICAL SUBDIVISION THEREOF WITHIN THE MEANING OF ANY CONSTITUTIONAL, STATUTORY OR CHARTER PROVISIONS OR LIMITATIONS, OR A 1170 PLEDGE OF THE FAITH AND CREDIT OF THE AGENCY, THE CITY, THE COUNTY, THE STATE OF FLORIDA OR ANY POLITICAL SUBDIVISION THEREOF BUT SHALL BE PAYABLE SOLELY FROM THE PLEDGED FLINDS, AS PROVIDED IN THE BOND RESOLUTION. THE SERIES 2OI5 BONDS AND THE OBLIGATIONS EVIDENCED THEREBY SHALL NOT CONSTITUTE A LIEN UPON ANY PROPERTY OWNED BY OR SITUATED WITHIN THE CORPORATE TERRITORY OF THE AGENCY OR THE CITY, BUT SHALL CONSTITUTE A LIEN ONLY ON THE PLEDGED FUNDS, ALL IN THE MANNER PROVIDED IN THE BOND RESOLUTION. The Agency may elect to purchase a municipal bond insurance policy to be delivered by a municipal bond insurance provider concurrently with the delivery of the Series 2015 Bonds to guarantee timely payment of the principal of and interest on the Series 2015 Bonds, or one or more maturities of the Series 2015 Bonds, and may elect to satisfy the Reserve Account Requirement, or any portion thereot upon issuance of the Series 2015 Bonds with a Reserve Account Insurance Policy or Reserve Account Letter of Credit. This cover page contains certain information for quick reference only. It is not a summary of this issue. Investors must read the entire Official Statement to obtain information essential to the making of an informed investment decision. The Series 2015 Bonds are offered when, as and if issued by the Agency, subject to the opinion on certain legal matters relating to their issuance of Squire Patton Boggs (US) LLP, Miami, Florida, Bond Counsel to the Agency, and certain other conditions. Certain legal matters will be passed upon for the Agency by Raul J. Aguila, Esquire, Miami Beach, Florida, General Counsel to the Agency, and certain legal matters relating to disclosure will be passed upon for the Agency by the Law Offices of Steve E. Bullock, P.A., Miami, Florida, Disclosure Counsel to the Agency. Greenberg Traurig, P.A., Miami, Florida, is serving as Counsel to the Underwriters and kBC Capilal Markets, LLC, St. Petersburg, Florida, is serving as Financial Advisor to the Agency in connection with the issuance of the Series 2015 Bonds. It is expected that the Series 2015 Bonds will be availablefor delivery through DTC in New York, New York on or about December , 2015. Morgan Stanley Wells Fargo Securities Raymond James & Associates, Inc. Dated: November _,2015 BofA Merrill Lynch Loop Capital Markets * Preliminary, subject to change. 1171 Rerl herring: Thi.; Preliminary Ollit'ial Stotemetrt utrtl llte ittforntaliott cottlained herein etrc subfec't to umendtnent ond c'omstletion without notit'e. The Series 20I -5 Bottds mor) nol be .sold and o//crs lo bL,r' mat, not be accepted prior to the time the Ol/ic'ial Statetnent i.s tlelit,ered in linal /orm. Llnder no c'irc'utnstanc'es shull this Preliminar.t' O/ficial Statentent c'otrstitute an o//ar to sell or the sct/it'itcttion oJ'an of/br to but,, nor shall there be anr sele o.f'the Series 2015 Bonds 1,1 71n1, jurisdiction in v,hic'lt suc'h offer, solic'itation or sale u'ould be unlaw,/hl prior to registration or qualifit'ation under the securities la--s of any such jLrrisdic'tion. 1172 MATURITIES, PRINCIPAL AMOUNTS, INTEREST RATES, PRICES, YIELDS AND INITIAL CUSIP NUMBERS*t Due (March l) 2016 20t7 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 $ Initial CUSIP Number 593237 _ 593237 _ 593237 _ 593237 _ s93237 _ 593237 _ 593237 _ 593237 _ 593237 _ 593237 _ s93237 _ s93237 _ 593237 _ $ Principal Amount Series 2015A Serial Bonds Interest Rate % oZ Series 20 15A Term Bonds Due March I , 20 Initial CUSIP Number: 593237 Price Yield % - Price: / Yield: 1173 $ Principal Amount Interest Rate Price Series 20158 Serial Bonds Due (March l) 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 203t 2032 2033 2034 2035 2036 203',7 2038 2039 2040 2041 2042 2043 2044 Yield o//o Initial CUSIP Number 593237 _ 593237 _ 593237 _ s93237 _ 593237 _ 593237 _ s93237 _ 593237 _ 593237 _ s93237 _ 593237 _ s93237 _ 593237 _ s93237 _ s93237 _ 593237 _ s93237 _ 593237 _ 593237 _ s93237 _ 593237 _ 593237 _ 593237 _ 593237 _ 593237 _ 593237 _ s93237 _ 593237 _ s93237 _ $--%Series20l5BTermBondsDueMarch1,20--Price:-lYield: Initial CUSIP Number: 593237 % 1174 * Preliminary, subject to change. t Neither the City nor the Underwriters is responsible for the use of CUSIP Numbers, nor is any representation made as to their correctness. The CUSP Numbers are included solely for the convenience of the readers of this Official Statement. 1175 MIAMI BEACH REDEVELOPMENT AGENCY(I) CHAIRMAN PhiliP Levinet2) VICE CHAIRMAN Edward L. Tobin(2) MEMBERS Joy Malakoff, Member Jonah Wolfs on, MemberQ) ADMINISTRATION Michael Grieco, Member Deede Weithorn, MemberQ) Executive Director Jimmy L. Morales, Esquire Interim Chief Financial Offtcer John Woodruff Bond Counsel Squire Patton Boggs (US) LLP Miami, Florida Financial Advisor RBC Capital Markets, LLC St. Petersburg, Florida Micky Steinberg, Member Bruno A. Barreiro, Member General Counsel Raul J. Aguila, Esquire Secretary Rafael E. Granado, Esquire Disclosure Counsel Law Offices of Steve E. Bullock, P.A. Miami, Florida Independent Auditors Crowe Horwath LLP Fort Lauderdale, Florida Assistunt Executive Director Kathie G. Brooks CONSULTANTS (l)The Mayor and each of the members of the City Commission of the City serve as the Chairman and members of the Agency, respectively, with the City Commissioner appointed as Vice Mayor serving as the Vice Chairman of the Agency. In addition, pursuant to the Third Amendment to the Interlocal Cooperation Agreement dated January 20,2015 among the Agency, the City and the County, the County Commissioner of District 5 on the Board of County Commissioners of Miami-Dade County, Florida also serves as a member of the Agency. Commissioner Bruno A. Barreiro currently serves in such capacity. The Mayor is running against a single opponent in the general election of the City to be held on November 3, 2015. In addition, a new commissioner will be elected in such general election for the City Commission seat for Districts IV, V and VI or, if required because a candidate did not receive more than fifty percent (50%) of the votes cast in the general election, in a run-off election. If required, the run-off election will be held on November 17,2015. The results of the election are expected to be certified by the current Mayor and City Commission in a meeting to be held sometime after the general election or, if a run-off election is held, after the run-off election. The current Mayor and City Commission are expected to serve until newly elected members have been seated. (2) 1176 IINSERT MAP OF MIAMI BEACH REDEVELOPMENT AGENCY SHOWING EACH OF THE AGENCY'S REDEVELOPMENT AREAS] 1177 No dealer, broker, salesman or other person has been authorized by the Agency or the Underwriters to make any representations, other than those contained in this Official Statement, in connection with the offering contained herein, and if given or made, such other information or representations must not be relied upon as having been authorizedby any of the foregoing. This Official Statement does not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the Series 2015 Bonds by any person in any jurisdiction in which it is unlawful for such person to make such offer, solicitation or sale. The information contained in this Official Statement has been obtained from public documents, records and other sources considered to be reliable and, while not guaranteed as to completeness or accuracy, is believed to be correct. Any statement in this Official Statement involving estimates, assumptions and opinions, whether or not so expressly stated, are intended as such and are not to be construed as representations of fact, and the Underwriters and the Agency expressly make no representation that such estimates, assumptions and opinions will be realized or fulfilled. Any information, estimates, assumptions and matters of opinion contained in this Official Statement are subject to change without notice, and neither the delivery of this Official Statement, nor any sale hereunder, shall, under any circumstances, create any implication that there has been no change in the affairs of the Agency since the date hereof. The Underwriters have provided the following sentence for inclusion in this Official Statement. The Underwriters have reviewed the information in this Official Statement in accordance with, and as part of, their responsibilities to investors under the federal securities laws as applied to the facts and circumstances of this transaction, but the Underwriters do not guarqntee the accuracy or completeness of such information. The order and placement of materials in this Official Statement, including the Appendices, are not to be deemed a determination of relevance, materiality or importance, and this Official Statement, including the Appendices, must be considered in its entirety. The captions and headings in this Official Statement are for convenience only and in no way define, limit or describe the scope or intent, or affect the meaning or construction, of any provisions or sections in this Official Statement. The offering of the Series 2015 Bonds is made only by means of this entire Official Statement. References to website addresses presented in this Official Statement are for informational purposes only and may be in the form of a hyperlink solely for the reader's convenience. Unless specified otherwise, such websites and the information or links contained therein are not incorporated into, and are not part of, this Official Statement. Certain statements included or incorporated by reference in this Official Statement constitute "forward-looking statements." Such statements generally are identifiable by the terminology used, such as "plan," "expect," 'oestimate," "project," "forecast," "budget" or other similar words. The achievement of certain results or other expectations contained in such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements described to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. The Agency does not plan to issue any updates or revisions to those forward-looking statements if or when its expectations or events, conditions or circumstances on which such statements are based occur. THE SERIES 20 I 5 BONDS HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR ANY STATE SECURITIES LAW, NOR HAS THE RESOLUTION BEEN QUALIFIED UNDER THE TRUST INDENTURE ACT OF 1939, AS AMENDED, IN RELIANCE UPON EXEMPTIONS CONTAINED IN SUCH ACTS. THE EXEMPTION OF THE SERIES 2015 BONDS 1178 FROM REGISTRATION OR QUALIFICATION IN CERTAIN STATES CANNOT BE REGARDED AS A RECOMMENDATION THEREOF. IN MAKING AN INVESTMENT DECISION, INVESTORS MUST RELY ON THEIR OWN EXAMINATION OF THE AGENCY AND THE TERMS OF THIS OFFERNG,INCLUDING THE MERITS AND RISKS INVOLVED. NEITHER THE SECURITIES AND EXCHANGE COMMISSION NOR ANY OTHER FEDERAL, STATE OR GOVERNMENTAL ENTITY OR AGENCY WIL HAVE PASSED UPON THE ACCURACY ORADEQUACY OF THIS OFFICIAL STATEMENT OR APPROVED OR RECOMMENDED THE SERIES 2OI5 BONDS FOR SALE. ANY REPRESENTATION TO THE CONTRARY MAY BE A CRIMINAL OFFENSE. IN CONNECTION WITH THIS OFFERING, THE UNDERWRITERS MAY OVERALLOT OR EFFECT TRANSACTIONS WHICH STABILZE OR MAINTAIN THE MARKET PRICE OF THE SERIES 2OI5 BONDS AT A LEVEL ABOVE THAT WHICH MIGHT OTHERWISE PREVAIL IN THE OPEN MARKET, AND SUCH STABILIZING, IF COMMENCED, MAY BE DISCONTINUED AT ANY TIME. THE UNDERWRITERS MAY OFFER AND SELL THE SERIES 2OI5 BONDS TO CERTAIN DEALERS AND OTHERS AT PRICES LOWER THAN THE PUBLIC OFFERING PRICES STATED ON THE INSIDE COVERPAGE OF THIS OFFICIAL STATEMENT, AND SUCH PUBLIC OFFERING PRICES MAY BE CHANGED FROM TIME TO TIME BY THE LINDERWRITERS. THIS OFFICIAL STATEMENT SHALLNOT CONSTITUTE A CONTRACT BETWEEN THE AGENCY OR THE UNDERWRITERS AND ANY ONE OR MORE HOLDERS OF THE SERIES 2015 BONDS. THIS OFFICIAL STATEMENT IS BEING PROVIDED TO PROSPECTIVE PURCHASERS EITHER IN BOUND PRINTED FORM ("ORIGINAL BOUND FORMAT") OR IN ELECTRONIC FORMAT ON THE WEBSITE: WWW.MUNIOS.COM. THIS OFFICIAL STATEMENT MAY BE RELIED UPON ONLY IF IT IS IN ITS ORIGINAL BOLIND FORMAT OR IF IT IS PRINTED IN FULL DIRECTLY FROM SUCH WEBSITE. THIS PRELIMINARY OFFICIAL STATEMENT IS IN A FORM DEEMED FINAL BY THE AGENCY FOR PURPOSES OF RULE l5c2-12 UNDER THE SECURITIES EXCHANGE ACT OF 1934, AS AMENDED, EXCEPT FOR CERTAIN FINANCIAL INFORMATION PERMITTED TO BE OMITTED PURSUANT To RULE 1sc2-12(b)(l). 1179 TABLE OF CONTENTS Page INTRODUCTION. I PURPOSE OF THE ISSUE. 3 General.. 3 Plan of Refunding. 3 Series 2015 Redevelopment Project. 4 ESTIMATED SOURCES AND USES OF FLINDS. 7 THE SERIES 2OI5 BONDS. 7 General.. 7 Redemption Provisions. 8 Book-Entry-Only System l0 SECURITY AND SOURCES OF PAYMENT 12 PledgedFunds. ....... 12 Flowof Funds. ... 15 Debt Service Reserve Account. 17 Additional Bonds. 18 OtherObligations SecuredbyPledgedFunds. ....... 19 Limitedliability. .....20 Modifications or SupplementstoBondResolution... ....... 20 MUNICIPALBONDINSURANCE..... .....,21 DEBTSERVICESCHEDULE ...22 THEAGENCY... .,....22 General.. ......22 Creationof AgencyandRedevelopmentAreas. ...... 23 RDAlnterlocalAgreement.... ......24 Powers. .......26 EminentDomainlegislation. ........27 Personnel. -.... 28 TRUSTFUNDREVENUES ..... 31 HistoricalTrustFundRevenues. ..... 3l HistoricalDebtServiceCoverage. ....39 RISKFACTORS.. ......39 LimitedObligationofAgency. .......40 TaxlncrementFinancing ......40 PENSIONANDOTHERPOSTEMPLOYMENTBENEFITS... ..... 42 DefinedBenefitPlans.. ...... 42 OtherPostEmploymentBenefits.. ....42 LEGALMATTERS. ...,.43 LITIGATION..... .,.... 44 ENFORCEABILITYOFREMEDIES... .......44 TAX MATTERS. . .. .. . . 45 Series20l5ABonds.. ........45 Series 20158 Bonds.. ....... . 45 CONTINUINGDISCLOSURE.. .......48 FINANCIALSTATEMENTS.... ......49 RATINGS. ...... 49 FINANCIALADVISOR. ....... 50 ul 1180 LINDERWRITING.. ..... 50 VERIFICATIONOFMATHEMATICALCOMPUTATIONS. ....... 51 CONTINGENTFEES. ...5I DISCLOSURE REQUIRED BY FLORIDA BLUE SKY REGULATIONS. . . . 52 AUTHORZATIONCONCERNINGOFFICIAL STATEMENT. . .... 52 CONCLUDING STATEMENT. . ..... . 52 APPENDICES APPENDIX A APPENDIX B APPENDIX C APPENDIX D APPENDIX E APPENDIX F APPENDIX G [APPENDIX H General Information and EconomicData Regarding the City ofMiamiBeach, Florida andMiami-Dade County, Florida. . . . . . . . A-l Excerpts from Comprehensive Annual Financial Report of the City of Miami Beach, Florida for the Fiscal Year Ended September 30,2014. . . B-l Financial Report of the Miami Beach Redevelopment Agency (A Component Unit of the City of Miami Beach, Florida) for the Fiscal Year Ended September 30,2014.. . . C-l TheBondResolution.. .... D-l Proposed Form of Opinion of Bond Counsel. E-l ProposedFormof OpinionofDisclosureCounsel. ....... F-l Form of Disclosure Dissemination Agent Agreement. . . . G-l Specimen Municipal Bond Insurance Policy. . . . . H-11 lv 1181 OFFICIAL STATEMENT relating to $360,000,000* MIAMI BEACH REDEVELOPMENT AGENCY $_* Tax Increment Revenue and Revenue Refunding Bonds, Taxable Series 2015A (City Center/Historic Convention Village) Tax Increment Revenue and Revenue Refunding Bonds, Series 20158 (City Center/Historic Convention Village) INTRODUCTION The purpose of this Official Statement, including the cover page and all appendices, is to set forth certain information relating to the Miami Beach Redevelopment Agency (the "Agency") and the issuance by the Agency of its $* in aggregate principal amount of Tax Increment Revenue and Revenue Refunding Bonds, Taxable Series 2015A (City Center/Historic Convention Village) (the "Series 2015A Bonds") and its $* in aggregate principal amount of Tax Increment Revenue and Revenue Refunding Bonds, Series 20158 (City CenterAlistoric Convention Village) (the "Series 20158 Bonds" and, collectively with the Series 2015A Bonds, the "Series 2015 Bonds"). The Series 2015 Bonds are being issued pursuant to and under the authority of the Constitution and laws of the State of Florida (the o'State"), including particularly the Community Redevelopment Act of 1969, as amended, being Chapter 163, Part III, Florida Statutes, as amended, and other applicable provisions of law (the "Act") and Resolution No. _-2015 adopted by the Chairman and members of the Agency (collectively, the "Commission") on October _, 2015 (the "Bond Resolution"). See "APPENDIX D - The Bond Resolution." Issuance of the Series 2015 Bonds has been approved by the Mayor and City Commission of the City of Miami Beach, Florida (collectively, the "City Commission") by Resolution No. 2015-- adopted by the City Commission on October _,2015. Issuance of the Series 2015 Bonds was further approved by the Agency pursuant to Resolution No. 607-2014 adopted by the Commission on November 19, 2014, by the City of Miami Beach, Florida (the "City") pursuant to Resolution No. 2014-28835 adopted by the City Commission on November 19, 2014 and by Miami-Dade County, Florida (the o'County") pursuant to Resolution No. R-l I l0-14 adopted by the Board of County Commissioners of the County on December 16, 2014, each authorizing the execution and delivery of the Third Amendment to the Interlocal Cooperation Agreement dated January 20,2015 among the Agency, the City and the County. See "THE AGENCY - RDA Interlocal Agreement" herein. The Series 2015 Bonds will be issued in book-entry only form and purchasers of the Series 2015 Bonds will not receive certificates representing their interest in the Series 2015 Bonds purchased. The Series 2015 Bonds will contain such other terms and provisions, including provisions regarding redemption, as described in "DESCRIPTION OF THE SERIES 2015 BONDS" herein. To finance and refinance projects in the Redevelopment Area in accordance with the Redevelopment Plan (as such terms are hereinafter defined), the Agency has heretofore issued multiple series of Bonds pursuant to Resolution No. 150-94, adopted by the Commission on January 5, 1994, as * Preliminary, subject to change. 1182 supplemented (the "Prior Bond Resolution"). From its prior issuances, the Agency has outstanding (i) the $29,105,000 Miami Beach Redevelopment Agency Tax Increment Revenue Bonds, Taxable Series 1998A (City Center/flistoric Convention Village), which are currently outstanding in the aggregate principal amount of $10,000,000 (the "Outstanding Series 1998A Bonds"); (ii) the $51,440,000 Miami Beach Redevelopment Agency Tax Increment Revenue Refunding Bonds, Taxable Series 2005A (City Center,t{istoric Convention Village), which are currently outstanding in the aggregate principal amount of $27,815,000 (the "Outstanding Series 2005A Bonds"); and (iii) the $29,930,000 Miami Beach Redevelopment Agency Tax Increment Revenue Refunding Bonds, Series 20058 (City Center/Historic Convention Village), which are currently outstanding in the aggregate principal amount of $17,175,000 (the "Outstanding Series 20058 Bonds" and, together with the Outstanding Series 1998A Bonds and the Outstanding Series 20054 Bonds, the "Outstanding Prior Bonds"). Proceeds of the Series 2015 Bonds will be used, together with certain other legally available moneys of the Agency, to (i) refund all of the Outstanding Prior Bonds; (ii) make a deposit to the Debt Service Reserve Account, including the cost of any Reserve Account Insurance Policy or Reserve Account Letter of Credit determined by the Agency to be advisable, to satis$r the Reserve Account Requirement relating to the Series 2015 Bonds (as such terms are defined in the Bond Resolution); (iii) finance certain costs of acquiring and constructing renovations to the Convention Center and related improvements which constitute a portion of the Series 2015 Redevelopment Project (as such terms are hereinafter defined); and (iv) pay costs of issuance of the Series 2015 Bonds and refunding the Outstanding Prior Bonds, including the premium for any municipal bond insurance policy that may be obtained in connection with the issuance of the Series 2015 Bonds. See "PURPOSE OF THE ISSUE" herein. The Series 2015 Bonds are solely payable from and secured by a pledge of and first lien on the Pledged Funds derived by the Agency from (i) Trust Fund Revenues (as described herein); and (ii) except for moneys, securities and instruments in the Rebate Fund, all moneys, securities and instruments held in the funds and accounts established under the Bond Resolution. Additional Bonds may be issued, on a parity with the Series 2015 Bonds, upon satisfaction of the conditions described in the Bond Resolution. See "SECURITY AND SOURCES OF PAYMENT Additional Bonds" herein. The Series 2015 Bonds and any additional Bonds hereafter issued are collectively referred to herein as the "Bonds." The Series 2015 Bonds shall not be and shall not be deemed to constitute a debt, liability or obligation of the Agency, the City the County, the State or any political subdivision thereof within the meaning of any constitutional, statutory or charter provisions or limitations, or a pledge of the faith and credit of the Agency, the City, the County, the State or any political subdivision thereof but shall be payable solely from the Pledged Funds, and the obligations evidenced thereby shall not constitute a lien upon any property owned by or situated within the corporate territory of the Agency or the City, but shall constitute a lien only on the Pledged Funds, all in the manner provided in the Bond Resolution. See "SECURITY AND SOURCES OF PAYMENT - Limited Liability" herein. The Agency may elect to purchase a municipal bond insurance policy (the "Bond Insurance Policy") to be delivered by a municipal bond insurance provider (the "Bond Insurer") concurrently with the delivery of the Series 2015 Bonds to guarantee timely payment of the principal of and interest on the Series 2015 Bonds, or one or more maturities of the Series 2015 Bonds, and may elect to satisfy the Reserve Account Requirement, or any portion thereof, upon issuance of the Series 2015 Bonds with a Reserve Account Insurance Policy or Reserve Account Letter of Credit. This introduction is intended to serve as a brief description of this Official Statement and is expressly qualified by reference to this Officiat Statement as a whole. A full review should be made of 1183 this entire Official Statement, as well as the documents and reports summarized or described herein. The description of the Series 20 I 5 Bonds, the documents authorizing and securing the same, including, without Iimitation, the Bond Resolution, and the information from various reports contained herein are not comprehensive or definitive. All references herein to such documents and reports are qualified by the entire, actual content of such documents and reports. Copies of such documents and reports may be obtained from the Agency by contacting the Agency's Interim Chief Financial Officer, 1700 Convention Center Drive, Miami Beach, Florida 33139, Telephone number: (305) 673-7466. Capitalized terms used but not defined in this Official Statement shall have the meanings ascribed to such terms in the Bond Resolution. See "APPENDIX D - The Bond Resolution." PURPOSE OF THE ISSUE General The Series 2015A Bonds are being issued by the Agency for the purpose of providing funds that will be used, together with certain other legally available moneys of the Agency, to (i) provide for the advance refunding of all of the Outstanding Series 1998,4' Bonds; (ii) provide for the current refunding of all of the Outstanding Series 20054 Bonds; (iii) make a deposit to the Debt Service Reserve Account (including the cost of any Reserve Account Insurance Policy or Reserve Account Letter of Credit determined by the Agency to be advisable) to satisfy the Reserve Account Requirement relating to the Series 2015A Bonds; (iv) finance certain costs of acquiring and constructing renovations to the Miami Beach Convention Center (the "Convention Center") and related improvements, as more particularly described below in "PUMOSE OF THE ISSUE - Series 2015 Redevelopment Project" (collectively, the "Series 2015 Redevelopment Project"); and (v) pay costs of issuance of the Series 2015,{ Bonds and refunding the Outstanding Series 1998,4. Bonds and the Outstanding Series 20054 Bonds, including the portion of the premium allocable to the Series 2015,A, Bonds for any municipal bond insurance policy that may be obtained in connection with the issuance of the Series 2015 Bonds. The proceeds of the Series 20158 Bonds will be used, together with certain other legally available moneys of the Agency, to (i) provide for the current refunding of all of the Outstanding Series 20058 Bonds; (ii) make a deposit to the Debt Service Reserve Account (including the cost of any Reserve Account Insurance Policy or Reserye Account Letter of Credit determined by the Agency to be advisable) to satisff the Reserve Account Requirement relating to the Series 20158 Bonds; (iii) finance certain costs of acquiring and constructing public renovations to the Convention Center and related public improvements which constitute aportion of the Series 2015 Redevelopment Project; and (iv) pay costs of issuance of the Series 20158 Bonds and refunding the Outstanding Series 20058 Bonds, including the portion of the premium allocable to the Series 20158 Bonds for any municipal bond insurance policy that may be obtained in connection with the issuance of the Series 2015 Bonds. Plan of Refunding A portion of the proceeds of the Series 201 5,A, Bonds, together with certain other legally available moneys of the Agency, will be used to provide for the advance refunding of the Outstanding Series 1998,{ Bonds and for the current refunding of the Outstanding Series 20054 Bonds. A portion of the proceeds of the Series 20158 Bonds, together with certain other legally available moneys of the Agency, will be used to provide for the current refunding of the Outstanding Series 20058 Bonds. The Agency will call all of the Outstanding Series 20054 Bonds and all of the Outstanding Series 20058 Bonds for redemption on January _,2016 at a redemption price equal to 100% of the outstanding principal amount of such 1184 Bonds, without premium. The Outstanding Series 1998A Bonds are not subject to optional redemption. Such Bonds shall be defeased upon issuance ofthe Series 2015A Bonds, as described herein. To effect the advance refunding of the Outstanding Series 1998A Bonds and the current refunding of the Outstanding Series 20054 Bonds, the Agency will enter into an Escrow Deposit Agreement (the "Taxable Bonds Escrow Agreement") on or prior to the delivery of the Series 2015,{ Bonds with U.S. Bank National Association, Jacksonville, Florida (the "Escrow Agent"). Pursuant to the terms of the Taxable Bonds Escrow Agreement, the Agency will deposit a portion of the proceeds of the Series 2015A Bonds, together with other legally available moneys of the Agency, into an escrow deposit trust fund to be maintained by the Escrow Agent (the "Taxable Bonds Escrow Deposit Trust Fund"). A portion of such proceeds and moneys will be applied on the date of delivery of the Series 2015.{ Bonds to the purchase of Government Obligations (as defined in the Taxable Bonds Escrow Agreement) maturing at such times and in such amounts so that the maturing principal, together with the interest income thereon and cash held uninvested in the Taxable Bonds Escrow Deposit Trust Fund, will be sufficient to pay the principal of and interest due on (i) the Outstanding Series 1998.4. Bonds on their scheduled dates for payment, until final maturity on December 1,2020, and (ii) the Outstanding Series 2005A Bonds to and including January _,2016, on which date the Outstanding Series 20054 Bonds will be redeemed. To effect the current refunding of the Outstanding Series 20058 Bonds, the Agency will enter into an Escrow Deposit Agreement (the "Tax-Exempt Bonds Escrow Agreement") on or prior to the delivery of the Series 20158 Bonds with the Escrow Agent. Pursuant to the terms of the Tax-Exempt Bonds Escrow Agreement, the Agency will deposit a portion of the proceeds of the Series 20158 Bonds, together with other legally available moneys of the Agency, into an escrow deposit trust fund to be maintained by the Escrow Agent (the "Tax-Exempt Bonds Escrow Deposit Trust Fund"). A portion of such proceeds and moneys will be applied on the date of delivery of the Series 20158 Bonds to the purchase of Government Obligations (as defined in the Tax-Exempt Bonds Escrow Agreement) maturing at such times and in such amounts so that the maturing principal, together with the interest income thereon and cash held uninvested in the Tax-Exempt Bonds Escrow Deposit Trust Fund, will be sufficient to pay the principal of and interest due on the Outstanding Series 20058 Bonds to and including January _ , 2016, on which date the Outstanding Series 20058 Bonds will be redeemed. Subsequent to the deposit of moneys into the Taxable Bonds Escrow Deposit Trust Fund and the Tax-Exempt Bonds Escrow Deposit Trust Fund and the investment of such moneys as described in the preceding paragraphs, all of the Outstanding Prior Bonds, in the opinion of Bond Counsel, rendered in reliance upon schedules verified as to accuracy by Integrity Public Finance Consulting LLC, Jacksonville, Florida (the "Verification Agent"), will no longer be Outstanding under the provisions of the Prior Bond Resolution. See "VERIFICATION OF MATHEMATICAL COMPUTATIONS" herein. The maturing principal of and interest on the Government Obligations and cash held uninvested in the Taxable Bonds Escrow Deposit Trust Fund and the Tax-Exempt Bonds Escrow Deposit Trust Fund will notbe available to payprincipal of and interest on the Series 2015 Bonds. Series 2015 Redevelopment Project Spanning four (4) city blocks and located in the heart of the South Beach area of the City, the Convention Center currently accommodates meetings, conventions, trade shows and consumer shows. The facility originally opened in 1957 and received a major expansion and renovation in 1989, doubling its original size. Currently the Convention Center encompasses over 1,000,000 square feet of flexible space, 1185 including; over 500,000 square feet ofexhibit space and over 100,000 square feet ofversatile, pre-function area space. It currently has seventy (70) meeting rooms comprised of 127,000 square feet. The Series 2015 Redevelopment Project includes a major renovation and expansion of the Convention Center to transform the building to "Class A" standards, including Silver LEED certification upgrades and enhanced technology. The design modifications will include reorientation of the exhibit halls, facade upgrades, site improvements along the canal and roadways adjacent to the development, the addition of a grand ballroom, junior ballrooms and meeting rooms. The newly renovated Convention Center will be a 1.4 million square foot, state-of-the-art event facility, with new ballrooms, meeting rooms, versatile indoor/outdoor public spaces and a new 5.8 acre public park containing a flexible lawn area, a food pavilion and a public plaza to honor the City's veterans. Such renovations and improvements related to the Convention Center upgrade are currently scheduled to be completed during Fiscal Year 2018 at a total cost of approximately $596 million, including the portion of such renovations and improvements which constitute the Series 2015 Redevelopment Project. The Series 2015 Redevelopment Project will consist of the Convention Center interior renovations, which will include the redistributed division of the four (4) main exhibition hall spaces and the additional programming of more flexible arrangements of private meeting rooms and additional indoor/outdoor versatile exhibition spaces. Currently, the four (4) main exhibit halls are divided into quadrants, two (2) accessible solely from Washington Avenue and the other two (2) accessible solely from Convention Center Drive. The new Convention Center will reorient the halls in an EasVWest direction, with the primary access from Convention Center Drive leading into a new grand, fully open, double story entry lobby. Washington Avenue will serve as a secondary means of pedestrian entry. The Series 2015 Redevelopment Project includes substantial improvements to the north of the Convention Center. Above a new enclosed ground floor parking area that will be separately financed will be a 60,000 square foot grand ballroom, offering vistas of the upgraded 2l$ Street Park located along Collins Canal, featuring the to-be-restored, historic Carl Fisher Clubhouse, the oldest public structure in the City. In addition, Convention Center Drive will become the main access point for vehicular access. Modifications will include a new median along Convention Center Drive and 19ft Street, increasing the attractiveness of the streetscape and creating a more sophisticated boulevard experience. The Canal walkway will undergo a significant upgrade to create a more attractive northern portion of the Convention Center property. The Series 2015 Redevelopment Project also includes the demolition of the existing recreation center along Washington Avenue and replacement of an existing 800 vehicle surface parking lot with the new, 5.8 acre urban park, dining pavilion and Veterans Plaza. In addition to the renovations to the Convention Center and related improvements on the Convention Center property described above, certain ancillary projects related to the Convention Center improvements are also included in the Series 2015 Redevelopment Project. Set forth below is a brief description of such ancillary projects and the estimated cost of each project. $20,000,000 Lincoln Road improvements from Washington Avenue to Lenox Avenue The project will consist of refurbishment of Lincoln Road pedestrian mall, including new lighting, refurbishing pedestrian surfaces, street furnishings, healthy tree fertilization systems, milling and resurfacing pavement surfaces and cross walk enhancements. 1186 $12,000,000 Improvements to l/ Street and connectors to Lincoln Road The Project will consist of enhancement of pedestrian experience from the Convention Center to Lincoln Road along Drexel Avenue, Pennsylvania Avenue and Meridian Avenue, including new lighting, sidewalk and road reconstmction, street furnishings, landscaping, healthy tree fertilization systems, irrigation and cross walk enhancements. $ 3,750,000 Bass Museum Interior Expansion Project The project will consist of improvements to increase programmable space by forty-seven percent (47 %). The Commission may determine by resolution to undertake other capital improvements to the Convention Center property or related ancillary projects in addition to andlor in lieu of the improvements or any portion of the improvements described above; provided, however, that such other capital improvements are authorized under the Third Amendment to the Interlocal Cooperation Agreement dated January 20,2015 among the Agency, the City and the County. See "THE AGENCY - RDA Interlocal Agreement" herein. [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] 1187 ESTIMATED SOURCES AND USES OF FUNDS The following table sets forth the estimated sources and uses of funds in connection with the issuance of the Series 2015 Bonds: Sources of Funds Series 2015A Series 20158 Bonds Bonds Total Par Amount of Series 2015 Bonds Net Original Issue Discount/Premium Other Legally Available Moneys(r) Total Estimated Sources of Funds Uses of Funds Deposit to Taxable Bonds Escrow Deposit Trust Fund(2) Deposit to Tax-Exempt Bonds Escrow Deposit Trust Fund@) Deposit to Series 2015 Construction Account(3) Deposit to Debt Service Reserve Account Cost of Issuance Deposit(a) Underwriters' Discount Total Estimated Uses of Funds $: $: $- (l) Constitutes amount held in the frmds and accounts under the Prior Bond Resolution for the benefit of the Outstanding Prior Bonds. (2) See "PURPOSE OF THE ISSUE - Plan of Refunding" herein. (3) See "PURPOSE OF THE ISSUE - Series 2015 Redevelopment Project" herein. (4) To pay certain costs of issuance of the Series 2015 Bonds, including, without limitation, printing costs, bond counsel fees, disclosure counsel fees, fees ofthe financial advisor and any premium paid to the Bond Insurer for issuance ofthe Bond Insurance Policy and the Reserve Account Insurance Policy or Reserve Account Letter of Credit. DESCRIPTION OF THE SERIES 2015 BONDS General The Series 2015 Bonds will be dated the date of their delivery, will be issued in denominations of $5,000 or integral multiples thereof and will bear interest at the rates and mature on the dates and in the amounts set forth on the inside cover page of this Official Statement. Interest on the Series 2015 Bonds is payable on March 1,2016 and semiannually thereafter on each September I and March I until maturity or earlier redemption. Such interest shall be calculated on the basis of a 360 day year consisting of twelve 30-day months. The Agency has appointed U.S. Bank National Association, Jacksonville, Florida, as the Paying Agent for the Series 2015 Bonds (the "Paying Agent") and as the registrar for the Series 2015 Bonds (the "Registrar"). $: 1188 In any case where the maturity date of, or the date for the payment of the principal of or interest on the Series 2015 Bonds, or the date fixed for redemption of any Series 2015 Bonds shall be a Saturday, Sunday or a day on which any Paying Agent is required, or authorized or not prohibited, by law (including executive orders) to close and is closed, then payment of such interest or principal need not be paid by the Paying Agent on such date but may be paid on the next succeeding business day on which the Paying Agent is open for business with the same force and effect as if paid on the date of maturity or date fixed for redemption, and no interest shall accrue for the period after such date of maturity or date fixed for redemption. The Series 2015 Bonds will be registered in the name of Cede & Co., as registered owner and nominee of The Depository Trust Company, New York, New York ("DTC"). Purchases of beneficial interests in the Series 2015 Bonds will be made in book-entry-only form, without certificates. Unless a securities depository other than DTC is selected by the Agency, so long as the Series 2015 Bonds shall be in book-entry-only form, the principal of and interest on the Series 2015 Bonds will be payable to Cede & Co. (or such other nominee selected by DTC), as registered owner thereof, and will be distributed by DTC and the DTC Participants to the Beneficial Owners (as such terms are hereinafter defined). See "DESCRIPTION OF THE SERIES 2015 BONDS - Book-Entry Only System" herein. Redemption Provisions Optional Redemption The Series 2015 Bonds maturing on or before March 1,20_are not subject to redemption prior to maturity. The Series 2015 Bonds maturing on or after March 1,20_are subject to redemption prior to maturity, at the option of the Agency, on or after 1,20_ in whole or in part at any time, in any order of maturity selected by the Agency and by lot or by such other manner as the Registrar shall deem appropriate within a maturity, at a redemption price equal to one hundred percent (100%) of the principal amount of the Series 2015 Bonds to be redeemed, together with accrued interest to the date fixed for redemption. Mandatory Sinking Fund Redemption The Series 2015 Bonds maturing on March 1,20- are subject to mandatory sinking fund redemption in part prior to maturity, by lot or by such other manner as the Registrar shall deem appropriate, through the application of Amortizalion Requirements, at a redemption price equal to one hundred percent (100%) of the principal amount thereof, plus accrued interest to the redemption date, on March I of each year in the following amounts and in the years specified: Due (March l) :t Amortization Requirement $ * Final maturity. Moneys in the Bond Redemption Account shall be used solely for the purchase, redemption or payment at maturity of the Term Bonds payable therefrom at such times as the same are subject to 1189 mandatory redemption or payment. However, the Agency may at any time use money held in the Bond Redemption Account for the payment of Amortization Requirements to purchase any Series 2015 Bonds that are Term Bonds at prices not greater than the then redemption price of said Term Bonds. If the Term Bonds are not then redeemable, the Agency may purchase said Term Bonds at prices not greater than the redemption price of such Term Bonds on the next ensuing redemption date. If, by the application of moneys in the Bond Redemption Account, the Agency shall purchase or call for redemption in any year Term Bonds in excess of the Amortization Requirements for such year, such excess of Term Bonds so purchased or redeemed shall be credited in such manner and at such times as the Executive Director shall determine over the remaining payment dates. Notice of Redemption Mailing of Notice of Redemptiaz. Notice of redemption shall be given by deposit in the U.S. mails of a copy of a redemption notice, postage prepaid, at least thirty (30) and not more than sixty (60) days before the redemption date to all registered owners of the Series 2015 Bonds or portions of the Series 2015 Bonds to be redeemed at their addresses as they appear on the registration books to be maintained in accordance with the provisions of the Bond Resolution. Failure to mail any such notice to a registered owner of a Series 2015 Bond, or any defect therein, shall not affect the validity of the proceedings for redemption of any Series 20 I 5 Bond or portion thereof with respect to which no failure or defect occurred. Such notice shall set forth the date fixed for redemption, the rate of interest borne by each Series 2015 Bond being redeemed, the date of publication, if any, of a notice of redemption, the name and address of the Registrar and the Paying Agent, the redemption price to be paid and, if less than all of the Series 2015 Bonds then Outstanding shall be called for redemption, the distinctive numbers and letters, including CUSIP numbers, if any, of such Series 2015 Bonds to be redeemed and, in the case of Series 2015 Bonds to be redeemed in part only, the portion of the principal amount thereof to be redeemed. If any Series 201 5 Bond is to be redeemed in part only, the notice of redemption which relates to such Series 2015 Bond shall also state that on or after the redemption date, upon surrender of such Series 2015 Bond, a new Series 2015 Bond or Series 2015 Bonds in a principal amount equal to the unredeemed portion of such Series 2015 Bond will be issued. Any notice of redemption that is mailed in accordance with the provisions of the Bond Resolution shall be conclusively presumed to have been duly given, whether or not the owner of the Series 2015 Bond called for redemption receives such notice. In the case of an optional redemption of Series 2015 Bonds, the redemption notice may state that (a) it is conditioned upon the deposit of moneys with the Paying Agent or with a bank, trust company or other appropriate fiduciary institution acting as escrow agent (the "escrow agent"), in amounts necessary to effect the redemption, no later than the redemption date, or (b) the Agency retains the right to rescind such notice on or prior to the scheduled redemption date (in either case, a "Conditional Redemption"), and such notice and optional redemption shall be of no effect if such moneys are not so deposited or if the notice is rescinded as described in this paragraph. Any such notice of Conditional Redemption shall be captioned "Conditional Notice of Redemption." Any Conditional Redemption may be rescinded at any time prior to the redemption date if the Agency delivers a written direction to the Registrar directing the Registrar to rescind the redemption notice. The Registrar shall give prompt notice of such rescission to the affected Bondholders. Any Bonds subject to Conditional Redemption where redemption has been rescinded shall remain Outstanding, and neither the rescission nor the failure by the Agency to make such moneys available shall constitute a default under the Bond Resolution. Effect of Redemption. Notice having been given in the manner and under the conditions described above, and with respect to a Conditional Redemption, the Conditional Redemption not having been 1190 rescinded, the Series 2015 Bonds or portions of Series 2015 Bonds so called for redemption shall, on the redemption date designated in such notice, become and be due and payable at the redemption price provided for redemption of such Series 2015 Bonds or portions of Series 2015 Bonds on such date. On the date so designated for redemption, moneys for payment of the redemption price being held in separate accounts by the Paying Agent in trust for the registered owners of the Series 2015 Bonds or portions thereof to be redeemed, all as provided in the Bond Resolution, interest on the Series 2015 Bonds or portions of Series 201 5 Bonds so called for redemption shall cease to accrue, such Series 2015 Bonds and portions of Series 2015 Bonds shall cease to be entitled to any lien, benefit or security under the Bond Resolution and shall be deemed paid thereunder, and the registered owners of such Series 2015 Bonds or portions of Series 2015 Bonds shall have no right in respect thereof except to receive payment of the redemption price thereof and to receive Series 2015 Bonds for any unredeemed portions of the Series 2015 Bonds. Book-Entry-Only System DTC will act as securities depository for the Series 2015 Bonds. The Series 2015 Bonds will be issued as fully-registered securities registered in the name of Cede & Co., as DTC's partnership nominee, or such other name as may be requested by an authorized representative of DTC. One fully-registered Series 2015 Bond certificate will be issued for each maturity of the Series 2015 Bonds, as set forth on the inside cover page of this Official Statement, each in the aggregate principal amount of such maturity, and will be deposited with DTC. DTC, the world's largest depository, is a limited-purpose trust company organized under the New York Banking Law, a "banking organization" within the meaning of the New York Banking Law, a member of the Federal Reserve System, a "clearing corporation" within the meaning of the New York Uniform Commercial Code, and a "clearing agency" registered pursuant to the provisions of Section l7A of the Securities Exchange Act of 1934. DTC holds and provides asset servicing for over 3.5 million issues of U.S. and non-U.S. equity issues, corporate and municipal debt issues, and money market instruments from over one hundred (100) countries that its participants ("Direct Participants") deposit with DTC. DTC also facilitates the post-trade settlement among Direct Participants of sales and other securities transactions in deposited securities, through electronic computerized book-entry transfers and pledges between Direct Participants' accounts, thereby eliminating the need for physical movement of securities certificates. Direct Participants include both U.S. and non-U.S. securities brokers and dealers, banks, trust companies, clearing corporations, and certain other organizations. DTC is a wholly-owned subsidiary of The Depository Trust & Clearing Corporation ("DTCC"). DTCC is the holding company for DTC, National Securities Clearing Corporation and Fixed Income Clearing Corporation, all of which are registered clearing agencies. DTCC is owned by the users of its regulated subsidiaries. Access to the DTC system is also available to others such as both U.S. and non-U.S. securities brokers and dealers, banks, trust companies and clearing corporations that clear through or maintain a custodial relationship with a Direct Participant, either directly or indirectly ("Indirect Participants" and, together with Direct Participants, "DTC Participants"). DTC has Standard & Poor's rating of AA+. The DTC rules applicable to the DTC Participants are on file with the Securities and Exchange Commission. More information about DTC can be found at wry1r-dlqc.com and www.dtc.org. Purchases of Series 2015 Bonds under the DTC system must be made by or through Direct Participants, which will receive a credit for the Series 2015 Bonds on DTC's records. The ownership interest of each actual purchaser of each Series 2015 Bond ("Beneficial Owner") is in turn to be recorded on the DTC Participants' records. Beneficial Owners will not receive wriffen confirmation from DTC of their purchase but Beneficial Owners are expected to receive written confirmations providing details of l0 1191 the transaction, as well as periodic statements of their holdings, from the DTC Participant through which the Beneficial Owner entered into the transaction. Transfers of ownership interests in the Series 2015 Bonds are to be accomplished by entries made on the books of DTC Participants acting on behalf of Beneficial Owners. Beneficial Owners will not receive certificates representing their ownership interests in Series 2015 Bonds, except in the event that use of the book-entry system for the Series 2015 Bonds is discontinued. To facilitate subsequent transfers, all Series 2015 Bonds deposited by Direct Participants with DTC are registered in the name of DTC's partnership nominee, Cede & Co, or such other name as may be requested by an authorized representative of DTC. The deposit of Series 2015 Bonds with DTC and their registration in the name of Cede & Co., or such other DTC nominee, will not effect any change in beneficial ownership of the Series 2015 Bonds. DTC has no knowledge of the actual Beneficial Owners of the Series 2015 Bonds; DTC's records reflect only the identity of the Direct Participants to whose accounts such Series 2015 Bonds are credited, which may or may not be the Beneficial Owners. The DTC Participants will remain responsible for keeping account of their holdings on behalf of their customers. Conveyance of notices and other communications by DTC to Direct Participants, by Direct Participants to Indirect Participants, and by DTC Participants to Beneficial Owners, will be governed by arrangements among them, subject to any statutory or regulatory requirements as may be in effect from time to time. Beneficial Owners of the Series 2015 Bonds may wish to take certain steps to augment the transmission to them of notices of significant events with respect to the Series 2015 Bonds, such as redemptions, defaults and proposed amendments to the documents securing the Series 2015 Bonds. For example, Beneficial Owners of the Series 2015 Bonds may wish to ascertain that the nominee holding the Series 2015 Bonds for their benefit has agreed to obtain and transmit notices to Beneficial Owners. In the alternative, Beneficial Owners may wish to provide their names and addresses to the Registrar and request that copies of notices are provided directly to them. Redemption notices shall be sent by the Registrar to DTC. If less than all of the Series 2015 Bonds within an issue are being redeemed, DTC's practice is to determine by lot the amount of the interest of each Direct Participant in such issue to be redeemed. Neither DTC nor Cede & Co. (nor any other DTC nominee) will consent or vote with respect to Series20l5BondsunlessauthorizedbyaDirectParticipantinaccordancewithDTC'sProcedures. Under its usual procedures, DTC mails an Omnibus Proxy to the Agency as soon as possible after the record date. The Omnibus Proxy assigns Cede & Co.'s consenting or voting rights to those Direct Participants to whose accounts the Series 2015 Bonds are credited on the record date (identified in a listing attached to the Omnibus Proxy). Principal and interest payments on the Series 2015 Bonds will be made to Cede & Co., or to such other nominee as may be requested by an authorized representative of DTC. DTC's practice is to credit Direct Participants' accounts upon DTC's receipt of funds and corresponding detail information from the Agency or the Paying Agent on the payable date in accordance with their respective holdings shown on DTC's records. Payments by DTC Participants to Beneficial Owners will be governed by standing instructions and customary practices, as is the case with securities held for the accounts of customers in bearer form or registered in "street name," and will be the responsibility of such Participant and not of DTC, its nominee, the Paying Agent or the Agency, subject to any statutory or regulatory requirements as may be in effect from time to time. Payment of principal and interest to Cede & Co. (or such other nominee as may be requested by an authorized representative of DTC) is the responsibility of the Agency or the Paying Agent, disbursement of such payments to Direct Participants shall be the responsibility of ll 1192 DTC, and disbursement of such payments to the Beneficial Owners shall be the responsibility of DTC Participants. When reference is made to any action which is required or permitted to be taken by the Beneficial Owners, such reference shall only relate to those permitted to act (by statute, regulation or otherwise) on behalf of such Beneficial Owners for such purposes. When notices are given, they shall be sent by the Agency only to DTC. DTC may discontinue providing its services as securities depository with respect to the Series 201 5 Bonds at any time by giving reasonable notice to the Agency or the Paying Agent. Under such circumstances, in the event that a successor securities depository is not obtained, bond certificates representing the Series 2015 Bonds are required to be printed and delivered. The Agency may decide to discontinue use ofthe system ofbook-entry transfers through DTC (or a successor securities depository). ln that event, bond certificates representing the Series 2015 Bonds will be printed and delivered. Thereafter, Series 2015 Bond certificates may be transferred and exchanged as described in the Bond Resolution. See "APPENDIX D - The Bond Resolution." SO LONG AS CEDE & CO., AS NOMINEE FOR DTC, IS THE SOLE REGISTERED OWNER OF THE SERIES 2015 BONDS, THE AGENCY, THE REGISTRARAND THE PAYING AGENT SHALL TREAT CEDE & CO. AS THE ONLY OWNER OF THE SERIES 2015 BONDS FOR ALL PURPOSES UNDER TIIE BOND RESOLUTION, INCLUDING RECEIPT OF ALL PRINCIPAL OF AND INTEREST ON THE SERIES 2015 BONDS, RECEIPT OF NOTICES, VOTING AND REQUESTING OR DIRECTING THE AGENCY, THE REGISTRAR AND THE PAYING AGENT TO TAKE OR NOT TO TAKE, OR CONSENTING TO, CERTAIN ACTIONS UNDER THE BOND RESOLUTION. THE AGENCY, THE REGISTRAR AND THE PAYING AGENT HAVE NO RESPONSIBILITY OR OBLIGATION TO THE DTC PARTICIPANTS OR THE BENEFICIAL OWNERS WITII RESPECT TO (A) THE ACCURACY OF ANY RECORDS MAINTAINED BY DTC OR ANY DTC PARTICIPANT; (B) THE PAYMENT BY ANY DTC PARTICIPANT OF ANY AMOTINT DUE TO ANY BENEFICIAL OWNER IN RESPECT OF THE PRINCIPAL OF AND INTEREST ON THE SERIES 2015 BONDS; (C) THE DELMRY OR TIMELINESS OF DELIVERY BY ANY DTC PARTICIPANT OF ANY NOTICE TO ANY BENEFICIAL OWNER WHICH IS REQUIRED OR PERMITTED UNDER THE TERMS OF THE BOND RESOLUTION TO BE GMN TO BONDHOLDERS; OR (D) OTHER ACTION TAKEN BY DTC OR CEDE & CO., AS THE REGISTERED OWNER OF THE SERIES 2015 BONDS. The information in this section concerning DTC and DTC's book-entry system has been obtained from sources that the Agency believes to be reliable, but the Agency and the Underwriters take no responsibility for the accuracy of such information. SECURITY AND SOURCES OF PAYMENT Pledged Funds The payment of the principal of, redemption premium, if any, and interest on all Bonds are secured equally and ratably by a first lien on and pledge of the Pledged Funds, which consist of (i) the Trust Fund Revenues and (ii) except for moneys, securities and instruments in the Rebate Fund, all moneys, securities and instruments held in the funds and accounts established under the Bond Resolution. "Trust Fund Revenues" means the revenues derived from the Redevelopment Area and received by the Agency for deposit into the Trust Fund pursuant to Section 163.387, Florida Statutes, as amended, and Ordinances of 12 1193 the City and the County establishing the Trust Fund and providing for the deposit therein of tax increment revenues from each "taxing authority," in accordance with the provisions of the Act. Pursuant to such provisions of the Act and Ordinances of the City and the County, as of the issuance of the Series 2015 Bonds, "taxing authority" shall mean the City and the County. See "THE AGENCY - Creation of Agency and Redevelopment Areas" herein. "Redevelopment Area" means the "City Center/llistoric Convention Village Redevelopment and Revitalization Area" located within the City and found by the City to be a "blighted area" within the meaning of the Act and as described in the Redevelopment Plan, as the geographic boundaries of such area may be changed from time to time, as permitted under the Act. See "THE AGENCY - Creation of Agency and Redevelopment Areas" herein. Trust Fund. In accordance with Section 163.387 of the Act, annual funding of the Trust Fund must be in an amount not less than that increment in the income, proceeds, revenues and funds of each taxing authority derived from or held in connection with the undertaking or carrying out of the Redevelopment Plan. The increment is an amount equal to ninety-five percent (95%) of the difference between: (i) The amount of ad valorem taxes levied each year by each taxing authority, exclusive of any amount from any debt service millage, on taxable real property contained within the geographic boundaries of the Redevelopment Area; and (ii) The amount of ad valorem taxes which would have been produced by the rate upon which the tax is levied each year by or for each taxing authority, exclusive of any debt service millage, upon the total of the assessed value of the taxable real property in the Redevelopment Area, as shown on the most recent assessment roll used in connection with the taxation of such property by each taxing authority prior to the effective date of the ordinance establishing the Trust Fund (the "Base Year"). The Base Year for the Redevelopment Area is 1992. Each taxing authority must, by January I of each year, appropriate to the Trust Fund for so long as any Bonds are Outstanding a sum which is no less than the increment defined in the Act accruing to such taxing authority. Any taxing authority that does not pay the increment to the Trust Fund by January I must pay an amount equal to five percent (5%) of the amount of the increment and must pay interest on the amount of the increment equal to one percent (l%) for each month the increment is outstanding; provided, however, that the Agency may waive such penalty payments in whole or in part. The increment is used to measure the amount of the contribution which must be appropriated and contributed by each taxing authority that is required to make payments. The taxing authorities are not required and cannot be compelled to levy ad valorem taxes to generate any such increment to make such payments. The statutory obligation of a taxing authority to make the required payments to a community redevelopment trust fund continues for so long as a community redevelopment agency has indebtedness outstanding ptedging tax increment revenues to the payment thereof, but not to exceed thirty (30) fiscal years from the date tax increment revenues were first deposited into the redevelopment trust fund or the fiscal year in which the redevelopment plan is subsequently amended and in no event later than sixty (60) years after the fiscal year in which the redevelopment plan was initially approved or adopted. Additionatty, the obligation of the governing body which established a community redevelopment agency to fund the community redevelopment trust fund annually continues until all loans, advances and r3 1194 indebtedness, if any, and interest thereon, of a community redevelopment agency incurred as a result of redevelopment in a community redevelopment area have been paid. The original Redevelopment Plan was adopted by the Agency and approved by the City on February 12, 1993 and by the County on March 30, 1993. The Redevelopment Plan has been amended by the Agency since its original adoption. The Redevelopment Plan was most recently amended on November 19,2014 to, among other things, extend the time period for the existence of the Agency from the Fiscal Year ending September 30,2023 to the earlier of (i) the date no indebtedness pledging tax increment revenues of the Agency remains outstanding or (ii) March 30, 2044. Such amendment was approved by the Agency and the City on November 19,2014 and by the County on December 14,2014. See "THE AGENCY - Creation of Agency and Redevelopment Areas and - RDA Interlocal Agreement" herein. Exemptions from Trust Fund. Notwithstanding the foregoing description of the requirements imposed on each taxing authority to deposit tax increment revenues into the Trust Fund, Section 163.387(2)(c) of the Act exempts from payment of the tax increment described above the following: (i) A special district that levies ad valorem taxes on taxable real property in more than one county; (ii) A special district for which, at the time the ordinance providing for the funding of the redevelopment trust fund is adopted, the sole available source of revenue such district has the authority to levy is ad valorem taxes; or any revenues or aid of such special district that may be dispensed or appropriated to a mosquito control district at the discretion of an entity other than such district; (iii) A library district, unless the community redevelopment agency had validated bonds as of April 30, 1984; (iv) A neighborhood improvement district created by the laws of the State under the Safe Neighborhoods Act; (v) A metropolitan transportation authority; or (vi) A water management district created under Section 373.069, Florida Statutes. None of the taxing authorities of the Agency are exempt from the payment of tax increment pursuant to Section 163.387(2)(c) of the Act. In addition to the exemptions provided in Section 163.387(2)(c) of the Act, Section 163.387(2)(d) of the Act provides that the City may exempt from payment of the tax increment described above special districts that levy ad valorem taxes within the community redevelopment area of the Agency, either in the City's sole discretion or in response to a request from a special district. The Agency has entered into several Interlocal Agreements relating to the use of Trust Fund Revenues. The most recent of such agreements is the Third Amendment to the Interlocal Cooperation Agreement dated January 20,2015 (the "Third Amendment") among the Agency, the City and the County. The three (3) taxing authorities in the Redevelopment Area are the City, the County and The Children's Trust. However, pursuant to the terms of the Third Amendment, upon the refunding of all of the Outstanding Prior Bonds, The Children's Trust shall become exempt from the requirement to deposit tax increment revenues into the Trust Fund. As a l4 1195 result of the Third Amendment, upon issuance of the Series 2015 Bonds, The Children's Trust shall constitute a taxing authority that shall be exempt pursuant to Section 163.387(2)(d) of the Act. Each of the other provisions under the Third Amendment which have an impact on Trust Fund Revenues are obligations that are subordinate to the requirement to make deposits into the funds and accounts under the Bond Resolution to satisfy the Debt Service Requirement and the Reserve Account Requirement. See "SECURITY AND SOURCES OF PAYMENT - Flow of Funds" herein. Flow of Funds Creation of Funds and Accounfs. Pursuant to the Act, the City and the County created the Trust Fund and established the Redevelopment Area. See "THE AGENCY - Creation of Agency and Redevelopment Areas" herein. The Bond Resolution created the "Miami Beach Redevelopment Agency Sinking Fund (City CenterAlistoric Convention Village)" (the "Sinking Fund") and established four (4) separate accounts therein for the benefit of the Holders of all Outstanding Bonds. The accounts created in the Sinking Fund are the "Interest Account," the "Principal Account," the "Bond Redemption Account" and the "Debt Service Reserve Account." The Bond Resolution also created the "Miami Beach Redevelopment Agency Rebate Fund (City Center/Ilistoric Convention Village)" (the "Rebate Fund"), which fund shall be maintained by the Agency separate and apart from all other funds and accounts of the Agency and which fund shall not be subject to the lien of the Bond Resolution in favor of Holders of the Bonds. The Agency shall deposit Pledged Funds into the Rebate Fund in the amounts required to be paid to the United States of America to satisfy the arbitrage rebate covenants made by the Agency in connection with the issuance of Tax-Exempt Bonds. In addition, the Bond Resolution created the "Miami Beach Redevelopment Agency Construction Fund (City Center/I{istoric Convention Village)" (the "Construction Fund"). Separate accounts within the Construction Fund shall be created for the deposit ofproceeds ofeach Series ofBonds and other available moneys to fund Redevelopment Projects being funded from proceeds of such Series of Bonds and other available moneys. Proceeds and other moneys on deposit in the Construction Fund shall be disbursed by the Agency to pay costs of the Redevelopment Project for which the applicable Series of Bonds was issued. If for any reason moneys in the Construction Fund, or any part thereof, including any investment earnings on deposit therein, are not necessary for, or are not applied to the purposes provided for the applicable Series ofBonds, then such unapplied proceeds, upon certification ofa duly authorized official of the Agency that such surplus proceeds are not needed for such purposes, shall be applied to the redemption or purchase or payment of principal of Outstanding Bonds. Each of the funds and accounts created in the Bond Resolution shall be held and administered by the Agency. Such funds and accounts shall constitute trust funds (except for the Rebate Fund) held solely for the purposes provided in the Bond Resolution. Deposit and Use of Trust Fund Revenzes As soon as the same are received by the Agency, all Trust Fund Revenues shall be deposited into the Trust Fund. The Trust Fund shall constitute a trust fund for the purposes provided in the Bond Resolution, shall be held by the Agency and shall be maintained separate and distinct from all other funds of the Agency and used only for the purposes and in the manner provided in the Bond Resolution and the Act. In each Fiscal Year, all Trust Fund Revenues deposited in the Trust Fund during such Fiscal Year shall be disposed of by the Agency only in the following manner: l5 1196 (1) Trust Fund Revenues shall first be used, to the full extent required, for deposit into the Interest Account in the Sinking Fund, immediately upon receipt of such Trust Fund Revenues, of such sums as shall be sufficient to pay the interest becoming due on the Bonds during the current calendar year (or if such Trust Fund Revenues are deposited in the Trust Fund during the first quarter of such Fiscal Year, to pay the interest becoming due on the Bonds through the end of the next succeeding calendar year); provided, however, that such deposit for interest shall not be required to be made into the Interest Account to the extent that money on deposit therein is sufficient for such purpose. The Agency shall, on the business day prior to each Interest Payment Date, transfer to the Paying Agent moneys in an amount equal to the interest due on such Interest Payment Date or shall advise the Paying Agent of the amount of any deficiency in the amount on deposit in the Interest Account so that the Paying Agent may give appropriate notice required to provide for the payment of such deficiency from any Reserve Account Insurance Policy or Reserve Account Letter of Credit on deposit in the Debt Service Reserve Account. (2) (a) Trust Fund Revenues shall next be used, to the full extent required, for deposit into the Principal Account in the Sinking Fund, immediately upon receipt of such Trust Fund Revenues, of such sums as shall be sufficient to pay the principal amount of Serial Bonds which will mature during the current calendar year (or if such Trust Fund Revenues are deposited in the Trust Fund during the first quarter of such Fiscal Year, to pay the principal amount of Serial Bonds which will mature through the end of the next succeeding calendar year); provided, however, that such deposit for principal shall not be required to be made into the Principal Account to the extent that money on deposit therein is sufficient for such purpose. The Agency shall, on the business day prior to each principal payment date, transfer to the Paying Agent moneys in an amount equal to the principal due on such principal payment date or shall advise the Paying Agent of the amount of any deficiency in the amount on deposit in the Principal Account so that the Paying Agent may give appropriate notice required to provide for the payment of such deficiency from any Reserve Account Insurance Policy or Reserve Account Letter of Credit on deposit in the Debt Service Reserve Account. (b) Trust Fund Revenues shall next be used, to the full extent required, for deposit into the Bond Redemption Account in the Sinking Fund, immediately upon receipt of such Trust Fund Revenues, of such Amortization Requirements as may be required for the payment of the Term Bonds payable from the Bond Redemption Account during the current calendar year (or if such Trust Fund Revenues are deposited in the Trust Fund during the first quarter of such Fiscal Year, for the payment of the Term Bonds payable from the Bond Redemption Account through the end ofthe next succeeding calendar year). (3) Trust Fund Revenues shall next be used, to the full extent required, for deposit into the Debt Service Reserve Account, immediately upon receipt of such Trust Fund Revenues, of the difference between the amount on deposit in the Debt Service Reserve Account (including any Reserve Account Insurance Policy or Reserve Account Letter of Credit) and the Reserve Account Requirement for the Bonds Outstanding, and, provided further, that no payments shall be required to be made into the Debt Service Reserve Account whenever and as long as the amount deposited therein (including any Reserve Account Insurance Policy or Reserve Account Letter of Credit) shall be equal to the Reserve Account Requirement for the Bonds Outstanding. t6 1197 (4) Trust Fund Revenues shall next be used for the payment of any subordinated obligations issued by the Agency under the Bond Resolution, which subordinate obligations shall have such lien on the Trust Fund Revenues as the Agency shall determine in the proceedings authorizing the issuance of such subordinated obligations. (5) Thereafter, the balance of any Trust Fund Revenues remaining in the Trust Fund shall, subject to the requirement to deposit moneys into the Rebate Fund, be used by the Agency for any lawful purposes, including payment of any fees and expenses of the Fiduciaries; provided, however, that none of such Trust Fund Revenues shall ever be used for the purposes provided in this paragraph (5) unless all payments required in paragraphs (1) through (4) above, including any deficiencies for prior payments and any amounts due to the issuer of any Reserve Account Insurance Policy or Reserve Account Letter of Credit, have been made in full to the date of such use. Notwithstanding anything in the preceding paragraphs (l) and (2) to the contrary, failure to make the scheduled payments specified therein shall not constitute a breach of the Agency's obligations under the Bond Resolution so long as, on the date that any interest or principal payment is due on the Bonds, monies sufficient to make such payment are on deposit in the Interest Account, Principal Account or the Bond Redemption Account, as the case may be. In addition, if any amount applied to the payment of principal of, premium, if any, and interest on the Bonds that would have been paid from an account in the Sinking Fund, is paid instead under a Credit Facility, amounts deposited in such relevant account may be paid, to the extent required, to the issuer of the Credit Facility having therefore made said corresponding payment. Debt Service Reserve Account The Bond Resolution established the Debt Service Reserve Account for the benefit of the Bonds and requires that the amount held therein equal the Reserve Account Requirement. "Reserve Account Requirement" means the least of (i) the Maximum Annual Debt Service on all Bonds Outstanding, (ii) l25oh of the Average Annual Debt Service on all Bonds Outstanding, or (iii) 10% of the proceeds of the Bonds within the meaning of the Code. Moneys in the Debt Service Reserve Account shall be used only for the purpose of making payments of principal of and interest on the Bonds when the moneys in the Funds and Accounts held pursuant to the Bond Resolution and available for such purpose are insufficient therefor. Any moneys in the Debt Service Reserve Account in excess of the Reserve Account Requirement for the Bonds Outstanding may, in the discretion of the Agency, be transferred to and deposited in the Interest Account, the Principal Account or the Bond Redemption Account as the Agency at its option may determine. Notwithstanding the foregoing provisions, in lieu of or in substitute for the required deposits (including existing deposits therein) into the Debt Service Reserve Account, the Agency may cause to be deposited into the Debt Service Reserve Account a Reserve Account Insurance Policy or a Reserve Account Letter of Credit for the benefit of the Holders of the Bonds Outstanding, which Reserve Account Insurance Policy or Reserve Account Letter of Credit shall be payable or available to be drawn upon, as the case may be (upon the giving of notice as required thereunder), on any lnterest Payment Date on which a deficiency exists which cannot be cured by moneys in any other Fund or Account held pursuant to the Bond Resolution and available for such purpose. t7 1198 If any such Reserve Account Insurance Policy or Reserve Account Letter of Credit is substituted for moneys on deposit in the Debt Service Reserve Account, the excess moneys in the Debt Service Reserve Account shall be transferred to and deposited in the Interest Account, the Principal Account or the Bond Redemption Account as the Agency at its option may determine. If a disbursement is made under the Reserve Account Insurance Policy or the Reserve Account Letter of Credit, the Agency shall be obligated to either reinstate the maximum limits of such Reserve Account Insurance Policy or Reserve Account Letter of Credit following such disbursement or to deposit into the Debt Service Reserve Account from the Trust Fund Revenues funds in the amount of the disbursements made under such Reserve Account Insurance Policy or Reserve Account Letter of Credit, or a combination of such alternatives as shall equal the Reserve Account Requirement for the Bonds Outstanding. In the event that upon the occurrence of any deficiency in the lnterest Account, the Principal Account or the Bond Redemption Account, the Debt Service Reserve Account is then funded with one or more Reserve Account Insurance Policies and/or Reserve Account Letters of Credit, the Agency or the Paying Agent, as applicable, shall, on an interest or principal payment date or mandatory redemption date to which such deficiency relates, draw upon or cause to be paid under such facilities, on a pro-rata basis thereunder, an amount sufficient to remedy such deficiency, in accordance with the terms and provisions of such facilities and any corresponding reimbursement or other agreement governing such facilities; provided however, that if at the time of such deficiency the Debt Service Reserve Account is only partially funded with one or more Reserve Account Insurance Policies and/or Reserve Account Letters of Credit, prior to drawing on such facilities or causing payments to be made thereunder, the Agency shall first apply any cash and securities on deposit in the Debt Service Reserve Account to remedy the deficiency and, if after such application a deficiency still exists, the Agency or the Paying Agent, as applicable, shall make up the balance of the deficiency by drawing on such facilities or causing payments to be made thereunder. Amounts drawn or paid under a Reserve Account Insurance Policy or Reserve Account Letter of Credit shall be applied only for the purpose of making payments of principal of and interest on the Bonds when the moneys in the Funds and Accounts held pursuant to the Bond Resolution and available for such purpose are insufficient therefor. Any amounts drawn or paid under a Reserve Account Insurance Policy or Reserve Account Letter of Credit shall be reimbursed to the issuer thereof in accordance with the terms and provisions of the reimbursement or other agreement governing such facility. [The Agency will, on the date of issuance of the Series 2015 Bonds, deposit into the Reserve Account from proceeds of the Series 2015 Bonds an amount equal to the Reserve Account Requirement for the Series 2015 Bonds or, in lieu of such a deposit or any portion thereof, will deposit a Reserve Account Insurance Policy and/or Reserve Account Letter of Credit.] Additional Bonds Pursuant to the Bond Resolution, no additional Bonds, payable out of the Pledged Funds, including, without limitation, Trust Fund Revenues, on a parity with the Series 2015 Bonds shall be issued unless certain conditions set forth in the Bond Resolution are met, including: (i) The Agency must be current in all deposits and payments required under the Bond Resolution and the Agency must be currently in compliance with the covenants and provisions of the Bond Resolution and any supplemental resolution hereafter adopted for the issuance of additional parity Bonds, unless upon the issuance of such additional parity Bonds the Agency will be in compliance with all such covenants and provisions; l8 1199 (iD The aggregate of the Trust Fund Revenues (not including any portion thereof which may be attributable to investment earnings) received by the Agency during the immediately preceding Fiscal Year were at least equal to one hundred fifty percent (150%) of the Maximum Annual Debt Service on (a) the Bonds originally issued pursuant to the Bond Resolution and then Outstanding, (b) any additional parity Bonds theretofore issued and then Outstanding, and (c) the additional parity Bonds then proposed to be issued. The Agency need not comply with the requirement described in subparagraph (ii) above in the issuance of additional parity Bonds if and to the extent the Bonds to be issued are refunding Bonds delivered in lieu of or in substitution for Bonds originally issued under the Bond Resolution or previously issued additional parity Bonds, if the Agency shall cause to be delivered a certificate of the Executive Director of the Agency setting forth (1) the Maximum Annual Debt Service (a) with respect to the Bonds of all Series Outstanding immediately prior to the date of authentication and delivery of such refunding Bonds, and (b) with respect to the Bonds of all Series to be Outstanding immediately thereafter, and (2) that the Maximum Annual Debt Service set forth pursuant to (b) above is no greater than that set forth pursuant to (a) above. The term "additional parity Bonds" shall be deemed to mean additional obligations evidenced by Bonds issued under the provisions and within the limitations set forth in the Bond Resolution, as generally described herein, to finance Redevelopment Projects payable from the Pledged Funds on a parity with Bonds originally authorized and issued pursuant to the Bond Resolution. Such Bonds shall be deemed to have been issued pursuant to the Bond Resolution the same as the Bonds originally authorized and issued pursuant to the Bond Resolution and all of the covenants and other provisions of the Bond Resolution (except as to details of such Bonds evidencing such additional parity obligations inconsistent therewith) shall be for the equal benefit, protection and security of the Holders of any Bonds originally authorized and issued pursuant to the Bond Resolution and the Holders of any Bonds evidencing additional obligations subsequently issued within the limitations of and in compliance with the provisions herein describing the issuance of additional parity Bonds. Al1 of such Bonds, regardless of the time or times of their issuance, shall rank equally with respect to their lien on the Pledged Funds and their sources and security for payment therefrom, without preference of any Bonds over any other Bonds. The term "additional parity Bonds" shall not be deemed to include bonds, notes, certificates or other obligations subsequently issued in accordance with the Bond Resolution, the lien of which on the Pledged Funds is subject to the prior and superior lien on the Pledged Funds of the Bonds. The Agency has covenanted in the Bond Resolution that it shall not issue any obligations whatsoever payable from the Pledged Funds which rank prior to or equally as to lien and source and security for their payment from the Pledged Funds with the Bonds, except in the manner and under the conditions provided in the Bond Resolution for the issuance of additional parity Bonds or pursuant to the provisions of the Bond Resolution relating to the issuance of other obligations thereunder. Also, see "THE AGENCY - RDA Interlocal Agreement" for a description of certain additional restrictions relating to the issuance of additional parity Bonds. Other Obligations Secured by Pledged Funds Except upon the conditions and in the manner provided in the Bond Resolution, the Agency has covenanted that it will not issue any other obligations payable from the Pledged Funds, nor voluntarily create or cause to be created any debt, lien, pledge, assignment, encumbrance or any other charge having priority to or being on a parity with the lien of the Bonds on the Pledged Funds; provided, however, that t9 1200 the Agency may (i) enter into agreements with issuers of Credit Facilities which involve liens on the Pledged Funds on a parity with that of the Series of Bonds or portion thereof which is supported by such Credit Facilities solely with respect to any reimbursement obligations due such issuers which evidence amounts equal to the scheduled stated principal (including, without limitation, Amortization Requirements) and interest due on the Series of Bonds or portion thereof which is supported by such Credit Facilities. Any other obligations, in addition to the Bonds authorized by the Bond Resolution or additional parity Bonds issued under the terms, restrictions and conditions contained in the Bond Resolution, and obligations to issuers of Credit Facilities as described above, shall provide that such obligations are junior, inferior and subordinate in all respects to the Bonds issued pursuant to the Bond Resolution as to lien on and source and security for payment from the Pledged Funds and in all other respects. However, nothing in the Bond Resolution shall be deemed to prohibit the Agency from entering into currency swaps or other arrangements for hedging interest rates on any indebtedness. Also, see "THE AGENCY - RDA Interlocal Agreement" for a description of certain additional restrictions relating to the issuance ofobligations payable from the Pledged Funds. Limited Liability The Series 2015 Bonds shall not be and shall not be deemed to constitute a debt, liability or obligation of the Agency, the City, the County, the State or any political subdivision thereof within the meaning of any constitutional, statutory or charter provisions or limitations, or a pledge of the faith and credit of the Agency, the City, the County, the State or any political subdivision thereof, but shall be payable solely from the Pledged Funds. No Holder or Holders of any Series 2015 Bonds shall ever have the right to compel the exercise of the ad valorem taxing power of the City, the County, the State or any political subdivision thereof, or taxation in any form of any real or personal property therein, or the application of any funds of the Agency, the City, the County, the State or any political subdivision thereof to pay the Series 2015 Bonds or the interest thereon or the making of any sinking fund or reserve payments provided for in the Bond Resolution, other than the Pledged Funds. The Series 2015 Bonds and the obligations evidenced thereby shall not constitute a lien upon any property owned by or situated within the corporate territory of the Agency or the City, but shall constitute a lien only on the Pledged Funds, to the extent, in the manner, and with the priority of application provided in the Bond Resolution. See "APPENDIX D - The Bond Resolution." Modifications or Supplements to Bond Resolution No adverse material modification or amendment may be made to the Bond Resolution without the consent in writing of (a) the Holders of more than fifty percent (50%) in aggregate principal amount of the Bonds then Outstanding or (b) in case less than all of the several Series of Bonds then Outstanding are affected by the modification or amendment, the Holders of more than fifty percent (50%) in aggregate principal amount of the Bonds of each Series so affected and Outstanding at the time such consent is given. However, no modification or amendment shall permit (i) a change in the maturity of any of the Bonds or a reduction in the rate of interest thereon, (ii) a change in the promise of the Agency to pay the principal of and interest on any Bonds, as the same mature or become due, from the Pledged Funds, or (iii) a reduction in the required percentage of Holders of the Bonds, as described above, for modifications or amendments, without the consent of all of the Holders of the Bonds outstanding. For the purpose of Bondholders' voting rights or consents authorized by the Bond Resolution, the consent of the Holders of any additional Series of Bonds shall be deemed given if the underwriters or initial purchasers for resale consent in writing to such supplemental resolution and the nature of the 20 1201 amendment effected by such supplemental resolution is disclosed in the official statement or other offering document pursuant to which such additional Series of Bonds is offered and sold to the public. In addition, for purposes of providing the written consent of the Holders of any Series of Bonds to any supplemental resolution modifuing or amending any term or provision of the Bond Resolution, to the extent any Series of Bonds is secured by a Credit Facility, the consent of the issuer the Credit Facility for such Series of Bonds shall constitute the consent of the Holders of such Bonds. Notwithstanding the foregoing, the Agency may, from time to time, without the consent of the Holders of any Series of Bonds, amend, change, modify or alter the Bond Resolution for any of the specifically authorized reasons set forth in Sections 601(a) through (h) of the Bond Resolution. See "APPENDIX D - The Bond Resolution." MUNICIPAL BOND INSURANCE TO COME,IF NEEDED [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] 2l 1202 DEBT SERVICE SCHEDULE The following table sets forth the Debt Service Requirement for each Fiscal Year for the Series 2015 Bonds. Fiscal Year 2016 2017 201 8 20t9 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 203s 2036 2037 2038 2039 2040 2041 2042 2043 2044 Total Series 2015,A. Bonds Series 20158 Bonds Principal Interest $$$ Total Total Total Outstanding BondsPrincipal Interest $$ $: $: $: $: $: THE AGENCY $: $: General The Agency is a public body corporate and politic, and a public instrumentality, created by the City in 1976 pursuant to the Act in order to pursue a program of community redevelopment within designated portions of the City, as permitted by the Act. The primary objective of the Agency is to formulate and implement a workable program for utilizing appropriate private and public resources to eliminate and prevent the development and spread of blighted conditions in the designated redevelopment areas. 22 1203 The funding required to accomplish the objectives of the Agency may involve a variety of sources, but emphasis for such funding is placed primarily on tax increment revenue financings. Tax increment revenue financing provides a mechanism for tax revenues generated by properties within slum and blighted areas to effectively pay for redevelopment in the area, without reducing the amount of tax revenues received by taxing authorities in the area when the redevelopment trust fund is created. See "SECURITY AND SOURCES OF PAYMENT - Pledged Funds" herein. Creation of Agency and Redevelopment Areas On January 26, 1993, the Board of County Commissioners of Miami-Dade County, Florida (the "County Commission") adopted Resolution No. R-14-93, which among other things (i) found the area in the City bounded on the East by the Atlantic Ocean, on the North by 24th Street, on the West by West Avenue and on the South by l4th Lane (the "Redevelopment Area") to be a "blighted area," within the meaning of Section 163.340(8) of the Act, (ii) determined that the Redevelopment Area was in need of rehabilitation, conservation, redevelopment, or a combination of such activities and (iii) delegated to the City, pursuant to Section 163.410 of the Act, the power to (a) make findings and determine the Redevelopment Area to be a slum and/or blighted area, (b) make findings of necessity as to the rehabilitation, conservation, and/or redevelopment of the Redevelopment Area, (c) create a community redevelopment agency and delegate powers to the agency, or declare itself as the agency with the power to exercise such powers assigned to the agency, and (d) initiate, prepare and adopt a plan of redevelopment and any amendments thereto, subject to the review and approval of the County Commission. In response to the findings in Resolution No. R-14-93, on February 3, 1993 the City Commission adopted Resolution No. 93-20709, which among other things (i) declared the Redevelopment Area, known as the "City CenterAlistoric Convention Village Redevelopment and Revitalization Area," to be a "blighted area," (ii) determined that the Redevelopment Area was in need of rehabilitation, conservation, redevelopment, or a combination of such activities, (iii) declared that the City's existing community redevelopment agency would serve as the community redevelopment agency for the Redevelopment Area, with all of the powers permitted a community redevelopment agency under the Act, and with the City Commission serving as the members of the Agency, and (iv) directed the initiation, preparation and adoption of a redevelopment plan for the Redevelopment Area. On February 3,1993, the Agency adopted Resolution No. 126-93 accepting the findings and delegations of the City in Resolution No. 93-20709. As directed, the Agency caused the Redevelopment Plan to be prepared. The Redevelopment Plan provided for initiatives and objectives to revitalizethe area surrounding the Convention Center and Lincoln Road and foster the development of a convention hotel and necessary linkages to the Convention Center. Pursuant to Resolution No. 93-2072 adopted by the City Commission on February 12, 1993, the City approved the Redevelopment Plan and directed its implementation. The Redevelopment Plan and the Interlocal Cooperation Agreement between the City and the County, dated and executed on November 16, 1993 (the "RDA Interlocal Agreement") providing for certain responsibilities related to operations in the Redevelopment Area, were approved by the County pursuant to Resolution No. R-317-93 adopted by the County Commission on March 30,1993. In accordance with Section 163.387 of the Act, on February 24,1993 the City Commission enacted Ordinance No. 93-2836 to create the Trust Fund. On April 27, 1993 the County Commission enacted Ordinance No. 93-28 approving the creation of the Trust Fund. Ordinance No. 93-2836 was amended by the City Commission's enactment of Ordinance No. 2014-3901 on November 8,2014 and Ordinance No. 93-28 was amended by the County Commission's enactment of Ordinance No. 14-133 on December 16, 2014 Such amending Ordinances approved on behalf of the City and the County, respectively, amendments 23 1204 to the Trust Fund to provide for (i) extension of the Trust Fund to the earlier of March 31,2044 or the date the Agency Indebtedness is no longer outstanding and (ii) exemption of The Children's Trust from the obligation to deposit tax increment into the Trust Fund upon the earlier of March 31, 2023 or the date the Outstanding Prior Bonds are no longer outstanding. The Redevelopment Area is located partly within and partly adjacent to the City's Art Deco District, and covers approximately fifty (50) city blocks, containing approximately three hundred thirty-two (332) acres of land, [of which approximately twenty-nine percent (29%) is currently occupied by public space and approximately seventy-one percent (71%) by private use.l The Redevelopment Area includes the Lincoln Road Mall, the Convention Center, the Fillmore Miami Beach at the Jackie Gleason Theater, the Loews Miami Beach Hotel, the Royal Palm Crowne Plaza Resort Hotel and the Collins Park Cultural Center. The Redevelopment Area is the second area within the City to be designated for redevelopment by the Agency. The first of such areas included the redevelopment of South Shore, which is the area of the City South of Sixth Street. Such redevelopment area is known as the South Pointe Redevelopment District. As of September 30, 2005, the South Pointe Redevelopment District ceased to be a redevelopment area of the Agency. RDA Interlocal Agreement To provide for responsibilities and operations of the Agency and certain uses of Trust Fund Revenues, the City and the County have entered into various agreements, including amendments to the RDA Interlocal Agreement. The most recent of such agreements is the Third Amendment entered into by the Agency, the City and the County, which became effective on January 20,2015. Among other things, the Third Amendment provided for the following: (l) approval for the issuance of tax increment revenue bonds by the Agency in one or more series in an aggregate principal amount not to exceed $430 million, maturing not later than March 31, 2044, for the purpose ofl (a) refunding all of the Outstanding Prior Bonds (see "PURPOSE OF THE ISSUE - Plan of Refunding" herein); (b) providing approximately $275 million of proceeds to fund a portion of the estimated $582 million of the cost of the design, development and construction of renovations to the Convention Center (see "PURPOSE OF THE ISSUE - Series 2015 Redevelopment Project" herein); (c) providing approximately $36 million of proceeds to fund the estimated cost of the design, development and construction of certain ancillary projects related to the renovations to be provided to the Convention Center (see "PURPOSE OF THE ISSUE - Series 2015 Redevelopment Project" herein); and (d) paying all costs ofissuance and debt service reserves associated with the Series 2015 Bonds (see "ESTIMATED SOURCES AND USES OF FUNDS" herein); (2) extension of the period of time taxing authorities are required to deposit tax increment revenues into the Trust Fund pursuant to the Act to the earlier of March 31,2044 ot 24 1205 the date when all indebtedness secured by Trust Fund Revenues (hereinafter referred to as "Agency Indebtedness") is no longer outstanding; (3) after issuance of the Series 2015 Bonds, no additional Agency Lrdebtedness will be issued unless and until such issuance has been authorized by the County Commission; (4) upon the earlier of March 31, 2023 or payment or defeasance of all of the Outstanding Prior Bonds, The Children's Trust shall become exempt from the requirement to deposit tax increment revenues into the Trust Fund (see "SECURITY AND SOURCES OF PAYMENT - Pledged Funds - Exemptions from Trust Fund" herein); (5) after the Outstanding Prior Bonds have been refunded or are no longer outstanding (see "PURPOSE OF THE ISSUE - Plan of Refunding" herein), Trust Fund Revenues shall be distributed annually only as provided in the Third Amendment and in the following order of priority: (a) to pay debt service, reserve deposits and other costs and obligations associated with the 2015 Bonds and any other Agency Indebtedness; (see "SECURITY AND SOURCES OF PAYMENT - Flow of Funds" herein); (b) to remit to the City an operation and maintenance subsidy, to be used solely to fund operating and maintenance costs of the Convention Center, in an amount which shall equal $l million, beginning in the Fiscal Year ending September 30, 2018, increasing by $750,000 annually to equal $4 million in the Fiscal Year ending September 30, 2022 through the Fiscal Year ending September 30, 2025, and thereafter (until the earlier of the termination or expiration of the obligation to deposit Trust Fund Revenues or the date that the Convention Center is no longer in operation as a publicly owned convention center), the prior year's annual subsidy for such purpose, adjusted by the lesser of the consumer price index for the Miami urban area or four percent (4%), which amount may be reduced in any year by the amount of convention development tax revenue received by the Agency or the City from the County for the purpose of funding operating and maintenance costs of the Convention Center; (c) to grant to the County by March 3l of each year (beginning in the Fiscal Year ending September 30,2024 and ending on the earlier of March 31,2044 or the date when all Agency Indebtedness is no longer outstanding), an amount equal to the County's proportionate share (based on the Trust Fund Revenues paid by the County divided by the total amount of Trust Fund Revenues deposited) of the total payments expended by the Agency in the prior fiscal year for Administration, Community Policing, and Capital Project Maintenance (as defined in the Third Amendment); (d) to pay expenses of the Agency for Administration, Community Policing, and Capital Project Maintenance up to $11.721 million for the Fiscal Year ended September 30, 2015 and thereafter, up to an amount which shall not exceed the prior Fiscal Year's distribution for such expenses, adjusted by the lesser of the consumer price index for the Miami urban area or three percent (3%), plus an annual administrative fee (i) to the City of one and on-hatf percent (l 5%) of Trust Fund Revenues paid by the City for such Fiscal Year and (ii) to the County of one and on-half percent (1.5%) of Trust Fund Revenues paid by the County for such Fiscal Year; 25 1206 (e) to reimburse the City for the Bass Museum and Lincoln Road prior project costs of $1,286,464.26 for the Fiscal Year ending September 30, 2016; and (0 within ninety (90) days of the end of each Fiscal Year, ending on the earlier of March 31, 2023 or the termination or expiration of the obligation of taxing authorities to deposit tax increment revenues into the Trust Fund, deposit any unencumbered money held in the Trust Fund and all available revenues remaining after distribution of Trust Fund Revenues in the order, priority and amounts set forth in the immediately preceding subparagraphs (a) through (e), into a fund to be used to finance any shortfalls associated with the payment of the expenses described in subparagraph (d) of this Section (provided, however, that the deposit into the fund described in this subparagraph (f) shall only be made if it will not negatively affect the exclusion from gross income, for federal income tax purposes of interest on any tax-exempt Agency Indebtedness), with any amount remaining after payment of the expenses described in subparagraph (d) of this Section being used (beginning in the Fiscal Year ending September 30,2024) to extinguish Agency lndebtedness prior to maturity, to the extent such Agency lndebtedness is subject to prepayment or redemption prior to maturity at such time or, if such Agency Indebtedness is not then subject to prepayment or redemption prior to maturity, to establish an escrow for the prepayment or redemption prior to maturity of such Agency Indebtedness at such time as the Agency Indebtedness is subject to prepayment or redemption prior to maturity (provided, however, that such escrow shalt only be established if it will not negatively affect the exclusion from gross income, for federal tax purposes, of interest on any tax-exempt Agency lndebtedness; and, provided further that, if the Agency Indebtedness is not subject to repayment or redemption prior to maturity, and an escrow cannot be established, then the Agency shall distribute annually any revenues remaining on deposit in the Trust Fund after the distributions described in the immediately preceding subparagraphs (a) through (e), to the taxing authorities in the proportionate amount that the Trust Fund Revenues for such Fiscal Year were deposited into the Trust Fund; and (6) the County Commission shall appoint, in its sole and absolute discretion, the member of the County Commission that represents District 5 to serve as one of the members of the Agency. On November 19,2014, the Commission adopted Resolution No. 607-2014 approving execution and delivery by the Agency of the Third Amendment and the City Commission adopted Resolution No. 2014-28835 approving execution and delivery by the City of the Third Amendment. On December 16, 2014 the County Commission adopted Resolution No. R-l1 10-14 approving execution and delivery by the County of the Third Amendment. Such Resolutions also approved amendments to the Redevelopment Plan on behalf of the Agency, the City and the County, respectively, to extend the Redevelopment Plan until the earlier of March 31,2044 or the date the Agency lndebtedness is no longer outstanding. Powers Pursuant to the Act, the Agency possesses certain powers that are necessary or convenient to carry out and effectuate redevelopment within its redevelopment areas, including, without limitation, the power: 26 1207 (i) to acquire, dispose of, mortgage, pledge or otherwise encumber real property, subject to the limitation that the acquisition of such property must be by purchase, lease, option, gift, grant, bequest, devise or other voluntary method of acquisition; (ii) to demolish or remove buildings or improvements or to carry out plans for the voluntary or compulsory repair or rehabilitation of buildings or improvements; (iii) to install, construct or reconstruct streets, utilities, parks, playgrounds or other improvements necessary for carrying out the community redevelopment objectives of the Agency; (i") to provide, arange or contract for the furnishing of services, privileges, works, streets, roads, public utilities or other facilities in connection with community redevelopment; (v) to borrow or invest money or to accept advances, loans, grants, contributions or other forms of financial assistance and to give such security as may be required therewith; and (vi) to prepare plans for and assist in the relocation of persons or entities displaced from the community redevelopment area and to make relocation payments to such persons or entities. Eminent Domain Legislation During the 2006 legislative session, the State legislature enacted Chapter 2006-ll, Laws Florida, among other things, which places certain limitations on the eminent domain power governmental entities and agencies in the State. Specifically, Chapter 2006-ll: (i) revised the Act to prohibit delegation of the power of eminent domain from counties and municipalities to community redevelopment agencies; (ii) revised the Act to establish that the prevention or elimination of a slum or blighted area, as defined in the Act, and the preservation or enhancement of the tax base are not public uses or purposes for which private property may be taken by eminent domain; (iii) created Section 73.013, Florida Statutes, to provide that the power of eminent domain may not be exercised in the State to convey ownership or control of such property to any natural person or private entity unless such property (a) will be limited to certain specifically enumerated purely public uses, such as providing: (1) common carrier services or systems, (2) road or other right-of-way access to the public for transportation, (3) public or private utility services or systems like electricity, natural gas, water and sewer or telephone, or (4) public infrastructure or an incidentalpart ofa property or facility that provides goods or services to the public, or (b) is the subject of a competitive bidding process, after notice to the public and certain rights have been granted to the person or entity owning the property prior to the institution of the eminent domain proceedings; and (ir) created Section 73.014, Florida Statutes, to provide that the power of eminent domain may not be exercised to take private property for purpose of abating or eliminating a public nuisance or any slum or blight condition. of of 27 1208 Personnel Originally created in 1976, the Agency was reorganized in 1983. Since its reorganization, the members of the City Commission have constituted the members of the Agency. Pursuant to the Third Amendment, the District 5 member of the County Commission also serves as a member of the Agency. In addition, the Mayor serves as the Chairman of the Agency, with the Vice Mayor serving as the Vice Chairman, the City Manager serves as the Executive Director of the Agency, with the Assistant City Manager in charge of Housing and Community Development serving as the Assistant Executive Director, the City's Chief Financial Officer serves as the Chief Financial Officer of the Agency, the City Attorney serves as the General Counsel of the Agency and the Clerk of the City serves as the Secretary of the Agency. Set forth below is a list which contains the current members of the Agency and the expiration of their respective terms of office: Miami Beach Redevelopment Agency Agencv Members Philip Levine, Chairman Edward L. Tobin, Vice Chairman Michael Grieco Joy Malakoff Micky Steinberg Deede Weithorn Jonah Wolfson Bruno A. Barreiro* Date Term Ends November 2015 November 2015 November 2017 November 2017 November 2017 November 2015 November 2015 November 2016 * Serves as the District 5 member of the County Commission. Pursuant to the terms of the Third Amendment, such member of the County Commission also serves as a member of the Agency. The next general election of the City will be held on November 3,2015. The Mayor is running against a single opponent in the upcoming election, as are two (2) of the three (3) City Commissioners. No City Commissioner whose term is expiring in November 2015 is running for reelection. In addition, if noone running for the seat that has more than two (2) candidates on the ballot receives more than fifty percent (50%) of the votes cast in the general election, a run-off election will be held to determine the winner of that race. If required, the run-off election will be held on November 17, 2015. The results of the election are expected to be certified by the current Mayor and City Commission in a meeting to be held sometime after the general election or, if a run-off election is held, after the run-off election. The current Mayor and City Commission are expected to serve until newly elected members have been seated. The Executive Director serves as the chief operating officer of the Agency, responsible for, among other things, the day-to-day administrative activities of the Agency, effectuation of its policies and programs and all other activities of the Agency. [Pursuant to an Interlocal Agreement entered into on by and between the City and the Agency, the City has agreed to make staff members provide to the Agency, as needed, general administrative and coordination services,available to 28 1209 engineering services, financing services and planning services, and the Agency has agreed to pay the City for the services provided by City employees.l On September 10, 2015 the Chief Financial Officer of the Agency and the Assistant Finance Director for the City resigned from their respective positions. The Chief Financial Officer had served in her position for eighteen (18) years and the Assistant Finance Director had been an employee of the City for seventeen (17) years. No explanations were provided by either employee in connection with the submittal of their resignations. However, the City Manager has stated that his decision to accept their resignations had nothing to do with the performance of the City's Finance Department nor the financial status of the City. Each position has been filled by the City Manager's appointment of experienced City employees who will serve in the position of Interim Chief Financial Officer and lnterim Assistant Finance Director, respectively, until permanent replacements are selected. Set forth below is a description of certain management officials of the City who are responsible for the day-to-day operation of the Agency: Jimmy L. Morales, Esq., Executive Director. Mr. Morales became the Executive Director of the Agency when he was appointed City Manager for the City of Miami Beach, Florida in April 2013. Prior to accepting his position as City Manager, Mr. Morales was a shareholder and member of the Board of Directors of the law firm, Stearns Weaver Miller Weissler Alhadeff & Sitterson, P.A. from 2000-2013. Mr Morales also served as City Attorney for the City of Doral, Florida from 2009-2013 and as City Attomey for the City of Marathon, Florida from 2005-2009. In addition, Mr. Morales served as a member of the Board of County Commissioners of Miami-Dade County, Florida from1996-2004. He has received numerous professional awards, honors and recognitions, including the Greater Miami Chamber of Commerce Bill Colson Leadership Award for Outstanding Leadership and Superior Ability in 2000, the SAVE Dade Champion of Equality award in2006, and induction into the Miami Beach High School Hall of Fame in2004. He was selected as one of the Top Lawyers in South Florida by the South Florida Legal Guide in 2008-2009 and 20ll and as one of the Florida Super Lawyers in 2006-2010. Mr. Morales received his Bachelor of Arts, Magna Cum Laude, from Harvard University and his Juris Doctorate, Magna Cum Laude, from Harvard Law School. John Woodruff, Interim Chief Financial Officer. Mr. Woodruff became the Interim Chief Financial Officer of the Agency when he was appointed Interim Chief Financial Officer for the City of Miami Beach, Florida in September 2015. Prior to accepting his position as Interim Chief Financial Officer, Mr. Woodruff served as Director of the Office of Budget and Performance Improvement for the City from June 2013 to September 2015. Prior to joining the City, Mr. Woodruff served as co-owner of Panama Realtor Property Management Services from August 2012to June 2013. He also served in various capacities for Pinellas County, Florida, including serving as Director of the Pinellas County Office of Management and Budget from April 2007 to July 2012 and as a Manager in such office from April2002 to April 2007. Pior to employment in Florida, Mr. Woodruff served in various positions for the City of San Antonio, Texas, including serving as a Senior Budget and Management Analyst in the Office of Management and Budget for the City of San Antonio from February 2000 to April 2002 and as a Budget and Management Analyst in such office from January 1998 to February 2000. He also interned with the U.S. Department of Commerce, the Intemational Affairs Department for the City of San Antonio and the Mayor's Office for the City of San Antonio. Mr. Woodruff received a Masters in Business Administration, in International Business, from the University of Texas at San Antonio and a Bachelor of Arts in History from the University of Texas at Austin. 29 1210 Kathie G. Brooks, Assistant Executive Director. Ms. Brooks became the Assistant Executive Director of the Agency when he was appointed the Assistant City Manager in charge of the department responsible for community development within the City. Ms. Brooks was appointed Assistant City Manager of the City of Miami Beach, Florida in April2013. She also served the City as its interim City Manager from July 2012 to April 2013. Prior to accepting her position in the office of the City Manager, Ms. Brooks served as the City's Budget and Performance Improvement Director from2004-2012. Prior to joining the City, Ms. Brooks served in various capacities and senior level positions for Miami-Dade County, Florida for two decades, including in the Miami-Dade County Budget Department from 2003- 2004, the Miami-Dade County Manager's Office of Performance Improvement from 2001-2003, the Miami-Dade County Solid Waste Department from 1989-2001 and in the Miami-Dade County Transit Department from 1984-1989. Prior to her service in government, Ms. Brooks was a transportation planner for the firm of Schimpeler Corradino and Associates from 1980-1983. Ms. Brooks received her Bachelor and Master of Arts in Geography from the University of Miami. [REMAINDEROF PAGE INTENTIONALLY LEFT BLANK] 30 1211 TRUST FUND REVENUES TTHIS SECTION WILL BE UPDATED UPON RECEIPT OF ADDITIONAL INFORMATION] Historical Trust Fund Revenues Upon issuance of the Series 2015 Bonds, the City and the County are the only two (2) taxing authorities that shall be required to make payments of tax increment into the Trust Fund. The Children's Trust is the other taxing authority that would be required under the Act to make payments of tax increment into the Trust Fund. However, The Children's Trust shall be exempt from such requirement upon issuance of the Series 2015 Bonds. See "THE AGENCY - Creation of Agency and Redevelopment Areas and - RDA lnterlocal Agreement" herein. Set forth below is a table that shows the Trust Fund Revenues collected from the City and the County for the past ten (10) years. For more detailed information relating to the City and the County, see "APPENDIX A - General Information and Economic Data Regarding the City of Miami Beach, Florida and Miami-Dade County, Florida." llistorical Trust Fund Revenues Tax Roll Year As of January I 2005 2006 2007 2008 2009 2010 20tt 2012 2013 2014 Fiscal Year Ended City of September 30 Miami Beach 2006 2007 2008 2009 2010 20tl 2012 2013 2014 20r5 Miami-Dade County $ Percentage Increase or Decrease Over Prior Year Dollar Increase or Decrease Over Prior Year $ Total % Source: City of Miami Beach Finance Department. [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] 3r 1212 Set forth below is a table that shows the assessed value of the taxable real property in Redevelopment Area that provided the basis for the amount of Trust Fund Revenues collected from City and the County for the past ten (10) years. Historical City Center/Historic Convention Village Real Property Assessed Values the the Tax Roll Year As of January 1 2005 2006 2007 2008 2009 2010 20lt 20t2 2013 20t4 Fiscal Year Ended September 30 2006 2007 2008 2009 2010 2011 2012 20t3 20r4 2015 A Percentage Final Increase or Gross Decrease Taxable Over Value Prior Year B =A-B Base Year Taxable Incremental Value(l) Value @) Percentage Increase or Decrease Over Prior Year Do11ar lncrease or Decrease Over Prior Year $%%$292,572,271 292,572,271 292,572,271 292,572,271 292,572,271 292,572,271 292,572,271 292,572,271 292,572,271 292,572,271 Source:City of Miami Beach Finance Department. Represents taxable value of real property in the Redevelopment Area for the tax roll year as of January 7,7992, Fiscal Year ended September 30, 1993. See "SECURITY AND SOURCES OF PAYMENT - Pledged Funds - Trust Fund" herein' Incremental Value equals the Final Gross Taxable Value minus the Base Year Taxable Value. [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] (l) (2) 32 1213 Set forth below is a table that shows the taxable value of all new construction in the Redevelopment Area for the past five (5) years. The taxable value set forth in the table below was included in the final gross taxable value used in each year to determine the amount of Trust Fund Revenues collected from the City and the County for deposit into the Trust Fund. Historical City Center/Historic Convention Village New Construction Taxable Values Tax Roll Fiscal New Construction Year Year Increase or As of Ended (Decrease) in Januarv I Seotember 30 Taxable Value 2010 20l l 20tl 2012 2012 2013 2013 2014 2014 2015 Source: City of Miami Beach Finance Department. [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] JJ 1214 Set forth below is a table that shows the top ten (10) principal taxpayers in the Redevelopment Area for Fiscal Year 2014,the taxable value attributable to such taxpayers, the percentage of such value to the gross taxable value of all taxable property in the Redevelopment Area and the type of property use attributed to each taxpayer. City Center/Historic Convention Village Principal Taxpayers Percentage of Fiscal Year Taxable 2014 Gross Name of Taxpayer Use of Propertv Value Taxable Value TOTAL Source: City of Miami Beach Finance Department and the Miami-Dade County Property Appraiser's Office. IREMAINDER OF PAGE INTENTIONALLY LEFT BLANK] % % 34 1215 Set forth below is a table that shows the top ten (10) properties or developments located in the Redevelopment Area for Fiscal Year 2014, based on the taxable value of such property or development, the percentage of the taxable value of such property or development to the gross taxable value of all taxable properry in the Redevelopment Area and the type of use atkibuted to each property or development. City Center/Historic Convention Village Principal Developments Percentage of Fiscal Year Taxable 2014 Gross Narne dDgvg.lgpmen! use of Property value (t) Taxable value TOTAL Source: City of Miami Beach Finance Department and the Miami-Dade County Property Appraiser's Office. (1) Taxable value represents the value for the entire development and not the taxable value attributable to any individual taxpayer (e.g., taxable value for condominiums is for entire complex, not any individual condominium owner or group of owners). [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] % o//o 35 1216 Set forth below is a table that shows the operating millage rates levied during the past ten (10) years by the City and the County in the Redevelopment Area. Historical Millage Rates Tax Roll Year as of Januarv 1 2005 2006 2007 2008 2009 2010 20tr 2012 2013 2014 Fiscal Year Ended September 30 2006 2007 2008 2009 2010 20tt 2012 2013 2014 2015 City of Miami Beach 7.48t0 7.3740 5.6555 5.655s 5.6555 6.2155 6.1655 6.0909 5.8634 Miami-Dade County 5.8350 4.5615 4.5796 4.8379 4.8379 5.42',75 4.80s0 4.7035 4.7035 Source: City of Miami Beach Finance Department. Set forth on the following page is a table that reflects the historical statement of revenues and expenditures for the Redevelopment Area, the amount held in the Trust Fund and the annual changes in such amounts for the past five (5) Fiscal Years. [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] 36 1217 City Center/Historic Convention Village Statement of Revenues, Expenditures and Changes in Fund Balances For the Fiscal Year Ended September 30, 2010 $ 20lt 2012 2013 Revenues Tax Increment City of Miami Beach Miami-Dade County Total Tax Increment Miscellaneous Resort Tax(t) Rents and Leases Interest Other Miscellaneous Revenues Total Miscellaneous Total Revenues Expenditures Debt Service(2) Debt Service Coverage Operations General Govemment Public Safety Economic Environment Transportation Cultural and Recreation Capital Outlay Total Operations Total Expenditures Sale of Capital Assets Transfers In Transfers Out Net Change in Fund Balances Fund Balances - Beginning Fund Balances Ending $_ 2014 $ *: {: Source: City of Miami Beach Finance Department. )t 1218 Footnotes below provided for table on immediately preceding page. (l) Footnote to be added. (2) Represents the Debt Service Requirement on the Outstanding Prior Bonds. See "INTRODUCTION" and "PLAN OF REFUNDING" herein. Set forth below is a table that shows the rate of growth of taxable values and tax increment in City CenterAlistoric Convention Village for the past five (5) Fiscal Years. City Center/Historic Convention Village Tax Increment Revenues and Growth For the Fiscal Year Ended September 30, 2010 2011 2012 2013 2014 lncrease (Decrease) in Existing Value % % % % % $$$$$ (292.57 2.27 t\ (292.57 2.27 r) (292.s72.27 l) (292,57 2.27 1) (292,57 2.27 l\ Incremental Taxable Value $- $- $- $- $- Existing Value New Construction Final Gross Taxable Value Base Year Taxable Value City of Miami Beach* Millage Rate (City) Gross Incremental Revenue Statutory Reduction City Tax Incremental Revenue Miami-Dade County* Millage Rate (Counfy) Gross Incremental Revenue Statutory Reduction County Tax Incremental Revenue 5.65ss 6.2155 6.1655 6.0909 6.8634 $$$$$ (s.0%) 6.0%) (s.0%) (s.0%) (5.0%) 4.8379 5.4275 4.8050 4.7035 4.7035 (5.0o/o\ 6.0%) (s.0%) (s.0%) (s.0%) Total Tax Incremental Revenue $- $- $- $- $- Source: City of Miami Beach Finance Department. * See "SECUzuTY AND SOURCES OF PAYMENT - Pledged Funds" for a description of the requirements imposed on each taxing authority for the determination of tax increment revenues. 38 1219 Historical Debt Service Coverage. Set forth below is a table that shows the Trust Fund Revenues, debt service on the Outstanding Prior Bonds and the debt service coverage provided by the Trust Fund Revenues generated for the past five (5) Fiscal Years. Trust Fund Revenues, Debt Service on Bonds and Debt Service Coverage Fiscal Year Trust Fund Revenues Debt Service on Outstanding Prior Bonds $8,393,267 8,393,254 8,393,8 r 6 8,397,766 9,403,739 Debt Service Coverage on Outstanding Prior Bonds x Maximum Annual Debt Service on Series 2015 Bonds(t) $23,748,250 23,748,250 23,748,250 23,748,259 23,748,250 Coverage on MaximumAnnual Debt Service for Series 201 5 Bonds(r) 2010 2011 2012 2013 2014 Source: City of Miami Beach Finance Department. (l) Represents the Maximum Annual Debt Service on the Series 2015 Bonds, assuming an aggregate principal amountof $358,495,000,afinalmaturityofMarch l,2044,andatrueinterest costof 4.319oh. Theassumed Maximum Annual Debt Service on the Series 2015 Bonds is included solely for purposes of showing the amount of coverage that would have been available if the Series 2015 Bonds had been issued prior to Fiscal Year 2010. The assumed Maximum Annual Debt Service on the Series 2015 Bonds occurs in Fiscal Years 2025 and 2028. All amounts are preliminary, subject to change. RISK FACTORS The following discussion provides information relating to certain risks that could affect payments of the principal of, redemption premium, if any, and interest on the Bonds. The order in which the following information is presented is not intended to reflect the relative importance of the risks discussed. The following information is not, and is not intended to be, exhaustive and should be read in conjunction with all of the other sections of this Official Statement, including its appendices. Prospective purchasers of the Series 2015 Bonds should analyze carefully the information contained in this Official Statement, including its appendices (and including the additional information contained in the form of the complete documents referenced or summarized herein), for a more complete description of the investment considerations relevant to purchasing the Series 2015 Bonds. Copies of any documents referenced or summarized in this Official Statement are available from the Agency or the City. See "NTRODUCTION" herein. 39 1220 Limited Obligation of Agency Payment from Pledged Funds Only. The ability of the Agency to make timely payments of the principal of, redemption premium, if any, and interest on the Bonds depends upon the ability of the Agency to collect Trust Fund Revenues which, together with earnings thereon and on amounts held in the funds and accounts created under the Bond Resolution, will be adequate to make such payments. The Bonds are not general obligations supported by the full faith and credit of the City, the Agency, the County or the State or any political subdivision of the foregoing, but are payable solely from the Pledged Funds. Neither the State, the County or the City, or any other political subdivision of the State has any obligation or power under the Bond Resolution or under Florida law to levy any taxes in order to pay debt service on the Bonds or to avail or cure any default in any such payments. The Agency does not have the power to levy taxes. Limited Replenishment Of Deftciencies. Except for the Debt Service Reserve Account, there is no fund or account under the Bond Resolution which is required to contain amounts to make up for any deficiencies in the event of one or more defaults by the Agency in making payments of debt service on the Bonds. There is no source from which the Sinking Fund will be replenished, except the Trust Fund Revenues and investment income on moneys in the funds and accounts held under the Bond Resolution. There can be no representation or assurance that the Agency will realize sufficient Trust Fund Revenues to pay, when due, all required payments of debt service on the Bonds. Tax Increment Financing Concentration of Revenues. A significant portion of the Trust Fund Revenues received by the Agency are from large residential developments and commercial developments in the Redevelopment Area. See "TRUST FLfND REVENUES - Historical Trust Fund Revenues" herein. The occurrence of any event that has a major negative impact on such developments, including, without limitation, natural disasters (such as hurricanes and other major tropical storms to which South Florida is generally subject), could significantly reduce the Trust Fund Revenues that can be collected by the Agency which could, in turn, have a material adverse impact on the ability of the Agency to pay debt service on the Bonds. Competition from Comparable Development Projects. The current growth strategy for the Redevelopment Area is in competition with other communities located outside the Redevelopment Area whose growth will not generate Trust Fund Revenues. The growth strategy for the Redevelopment Area is heavily dependent upon the development of commercial projects. In the event that a large number of commercial projects are constructed in the City outside the Redevelopment Area, the demand for commercial space within the Redevelopment Area could be reduced, thereby leading to a possible reduction in future development in the Redevelopment Area and a reduction in the collection of Trust Fund Revenues. Millage Rates. The addition of significant numbers of new taxpayers or an increase of property values outside the Redevelopment Area could result in an environment favorable to the reduction of the County and/or the City millage rate. The County and/or the City could determine that its millage rates should be reduced for other reasons as well. Any reduction in millage rates by the County or the City could reduce the amount of Trust Fund Revenues payable by the County and/or the City which, in turn, could negatively impact the ability of the Agency to pay debt service on the Bonds. Decreases in Property Values. The amount of Trust Fund Revenues collected historically and expected to be collected in the future to pay debt service on the Bonds is dependent upon the strength of 40 1221 the taxable value of real property in the Redevelopment Area. Such value has actually decreased in recent years as a result of the general downtum in the economy and specifically, in the real estate market throughout the State. Numerous events could occur that might further reduce or cause an extended stagnation in the value of real property within the Redevelopment Area, including, without limitation, natural disasters (such as hurricanes and other major tropical storms to which South Florida is generally subject), public acquisition of property within the Redevelopment Area by the State or political subdivisions exercising their respective rights of eminent domain, or social, economic or demographic factors (or adverse public perceptions related thereto) beyond the control of the Agency, the City or the taxpayers in the Redevelopment Area. Any or all of such events could materially, adversely affect the realization and collection of Trust Fund Revenues. State, National and International Economic and Political Factors. Certain economic or political developments, such as new downturns in the State, national or international economy or an inability to recover fully from the most recent economic downtum, increased national or international barriers to tourism or trade or intemational currency fluctuations, could all materially, adversely affect the continued development of the Redevelopment Area, its attraction to businesses and investors and, as a result, its ability to produce sufficient Trust Fund Revenues to pay debt service on the Bonds. Appeals of Assessments. The amount of Trust Fund Revenues collected annually is dependent upon the assessed value of taxable property in the Redevelopment Area.. See "SECURITY AND SOURCES OF PAYMENT - Pledged Funds" herein. State law allows taxpayers to dispute assessment valuations. Any successful appeals of assessment valuations will result in less Trust Fund Revenues being collected annually than is currently contemplated. If such appeals resulted in a significant reduction in the overall assessed value of the taxable property in the Redevelopment Area, they could have a material adverse impact on the ability of the Agency to pay debt service on the Bonds. Adverse Legislative, Judicial or Administrative Action. The State legislature, the courts or an administrative agency with jurisdiction in the matter could enact new laws or regulations or interpret, amend, alter, change or modify the laws or regulations governing the collection, distribution, definition or accumulation of ad valorem tax revenues generally, or tax increment revenues specifically, in a fashion that would materially, adversely affect the ability of the Agency to receive Trust Fund Revenues in an amount sufficient to pay debt service on the Bonds. No Feasibility Consultant. This Official Statement provides historical information to demonstrate that the Redevelopment Area generates sufficient Trust Fund Revenues to pay debt service on the Series 2015 Bonds. In connection with the issuance of the Series 2015 Bonds, the Agency determined that it would not engage an independent feasibility consultant to provide an analysis of projected growth in the Redevelopment Area or to calculate projected Trust Fund Revenues. As a result, while the Agency reasonably believes Trust Fund Revenues will be sufficient to meet Debt Service Requirements, no forecasts or projections of Trust Fund Revenues to pay debt service on the Bonds are included in this Official Statement. Requirement of Interlocal Agreement to Redeem Bonds. The Third Amendment establishes a requirement that excess Trust Fund Revenues be (i) held in escrow and (ii) beginning in the Fiscal Year ending September 30, 2024 or in any later year when such outstanding Agency Indebtedness can be redeemed, if redemption is not available during Fiscal Year 2024,used for the purpose of prepaying or redeeming outstanding Agency Indebtedness; provided such use of funds does not negatively affect the exclusion from gross income for federal income tax purposes of interest on any tax-exempt Agency Indebtedness. See "THE AGENCY - RDA Interlocal Agreement" herein. The requirement use excess 4t 1222 Trust Fund Revenues to redeem Agency Indebtedness prior to maturity may make the optional redemption of the Series 2015 Bonds on the earliest date when the Series 2015 Bonds can be redeemed more likely than would be the case if such requirement did not exist. PENSION AND OTHER POST EMPLOYMENT BENEFITS Defined Benefit Plans All of the employees providing services to the Agency are also employees of the City. The following is a brief description of the Agency employees'participation in the Miami Beach Employees' Retirement Plan and the City's Pension Fund for Firefighters and Police (the "Plans"). Pursuant to Modification 29 of the Florida State Social Security Agreement, effective January l, 1955, the City does not participate in the federal Old-Age and Survivors Insurance System embodied in the U.S. Social Security Act. Instead, it provides eligible employees a comprehensive defined benefit pension. The City does participate in the hospital insurance tax, also known as Medicare, and withholds taxes accordingly. All fult-time employees of the City who work more than thirty (30) hours per week and hold classified or unclassified positions, except for policemen and firemen, are covered by the Miami Beach Employees' Retirement Plan (the "Employee Plan"). The Employee Plan provides retirement benefits as well as death and disability benefits at two (2) different tiers of employees, depending on when the employees entered the Employee Plan. All first tier employees who participate are required to contribute twelve percent (12%) of their salary to the Employee Plan. Al1 second tier employees are required to contribute ten percent (10%) of their salary to the Employee Plan. The Employee Plan's funding policy provides for periodic employer contributions at actuarially determined rates that, expressed as percentages of annual covered payroll, are sufficient to accumulate sufficient assets to pay benefits when due. The City's Pension Fund for Police and Firefighters (the "Police and Firefighters' Plan) is a defined benefit pension plan covering substantially all police officers and firefighters of the City. Members of the Police and Firefighters' Plan contribute ten percent (10%) of their salary. The City is required to contribute an actuarially determined amount that, when combined with members' contributions, will fully provide for all benefits as they become payable. Based on a percentage of budgeted salary by position per department, the Agency is allocated a proportionate share of contributions by the City and hence contributes annually to the Plans. Contributions for 2014 were $946,000. At September 30, 2014 the Agency did not have a net pension obligation or a net pension asset. For more detailed information concerning the Plans, see "APPENDIX B - Excerpts from the Comprehensive Annual Financial Report of the City of Miami Beach, Florida for the Fiscal Year ended September 30,2014" and, in particular, Note IV of such Financial Report. Other Post Employment Benefits In accordance with Section 112.0801, Florida Statutes, the City is required to permit eligible retirees and their eligible dependents to participate in the City's health insurance program at a cost to the retirees that is no greater than the cost at which coverage is available for active employees. Such requirement extends to employees of the City who provide services to the Agency. Although not required by law, the City pays a portion of such cost of participation for its retirees. The City also provides life insurance to the retirees. As with all governmental entities providing similar plans, the City is required 42 1223 to comply with the Governmental Accounting Standard's Board Statement No. 45 - Accounting and Financial Reporting by Employers for Postemployment Benefits Other than Pensions ("GASB 45"). GASB 45 applies accounting methodology similar to that used for pension liabilities to other post employment benefits ("OPEB") and attempts to more fully reveal the costs of employment by requiring governmental units to include future OPEB costs in their financial statements. While GASB 45 requires recognition and disclosure of the unfunded OPEB liability, there is no requirement that the liability of such plan be funded. The City has the authority to establish and amend its OPEB funding policy. The annual cost of the City's OPEB Plan is calculated based on the annual required contribution (the "ARC"), an amount actuarially determined in accordance with the parameters of GASB 45. The ARC represents a level of funding that, if paid on an ongoing basis, is projected to cover the normal cost each year and amortize any unfunded actuarial liability over a period not to exceed thirty (30) years. As of September 30, 2008, the City established an OPEB Trust (the "OPEB Trust") and began funding its OPEB obligation. The Agency's ARC to the OPEB Trust for the Fiscal Year ended September 30, 2Ol4 was based on an actuarially determined amount for the City. The Agency was allocated its equitable share of the ARC, based on its covered payroll. The Agency contributed $ 197,318 to the OPEB Trust. At September 30, 2014, the Agency did not have a net OPEB obligation or a net OPEB asset. For more detailed information concerning OPEB, see "APPENDIX B - Excerpts from the Comprehensive Annual Financial Report of the City of Miami Beach, Florida for the Fiscal Year ended September 30,2014" and, in particular, Note IV(f) of such Financial Report. LEGAL MATTERS Certain legal matters incident to the issuance of the Series 2015 Bonds and with regard to the tax- exempt status of the interest on the Series 2015 Bonds (see "TAX MATTERS" herein) are subject to the legal opinion of Squire Patton Boggs (US) LLP, Bond Counsel to the Agency. The signed legal opinion of Bond Counsel, substantially in the form attached hereto as APPENDIX E, dated and premised on law in effect as of the date of issuance of the Series 2015 Bonds, will be delivered on the date of issuance of the Series 2015 Bonds. The actual legal opinion to be delivered may vary from the form attached hereto to reflect facts and law on the date of delivery. The opinion will speak only as of its date, and subsequent distribution of it by recirculation of this Official Statement or otherwise shall create no implication that Bond Counsel has reviewed or expresses any opinion concerning any of the matters referenced in the opinion subsequent to its date of issuance. While Bond Counsel has participated in the preparation of certain portions of this Official Statement, it has not been engaged by the Agency to confirm or verify such information. Except as may be set forth in an opinion of Bond Counsel delivered to the Underwriters, Bond Counsel expresses and will express no opinion as to the accuracy, completeness or fairness of any statements in this Official Statement, or in any other reports, financial information, offering or disclosure documents or other information pertaining to the Agency or the Series 2015 Bonds that may be prepared or made available by the Agency, the Underwriters or others to the Holders of the Series 2015 Bonds or other parties. Certain legal matters incident to the issuance of the Series 2015 Bonds relating to disclosure will be passed on for the Agency by the Law Offices of Steve E. Bullock, P.A., Miami, Florida, whose legal services as Disclosure Counsel have been retained by the Agency. The signed legal opinion, dated and 43 1224 premised on law in effect as of the date of original delivery of the Series 2015 Bonds, will be delivered to the Agency by Disclosure Counsel at the time of original delivery of the Series 2015 Bonds. The proposed text of the form of the legal opinion of Disclosure Counsel is set forth as APPENDIX F to this Official Statement. The actual legal opinion to be delivered may vary from that text if necessary to reflect facts and law on the date of delivery. The opinion will speak only as of its date, and subsequent distribution of it by recirculation of this Official Statement or otherwise shall create no implication that Disclosure Counsel has reviewed or expresses any opinion concerning any of the matters referenced in the opinion subsequent to its date of issuance. Certain legal matters will be passed on for the Agency by Raul J. Aguila, Esquire, Miami Beach, Florida, General Counsel to the Agency, and for the Underwriters by their counsel, Greenberg Traurig,, P.A., Miami, Florida. The legal opinions and other letters of counsel to be delivered concurrently with the delivery of the Series 2015 Bonds express the professional judgment of the attorneys rendering the opinions or advice regarding the legal issues and other matters expressly addressed therein. By rendering a legal opinion or advice, the giver ofsuch opinion or advice does not become an insurer or guarantor ofthe result indicated by that opinion, or the transaction on which the opinion or advice is rendered, or of the future performance of parties to the transaction. Nor does the rendering of an opinion guarantee the outcome of any legal dispute that may arise out of the transaction. LITIGATION There is no litigation pending that seeks to restrain or enjoin the issuance or delivery of the Series 2015 Bonds or contesting the proceedings or authority under which they are to be issued or the creation, organization or existence of the Agency or, if determined adversely to the Agency, would have a material adverse impact on the ability of the Redevelopment Area to generate sufficient Trust Fund Revenues to pay debt service on the Series 2015 Bonds. The Agency experiences routine litigation and claims incidental to the conduct of its affairs. In the opinion of General Counsel to the Agency, there are no lawsuits presently pending or, to the best of his knowledge, threatened, the adverse outcome of which would impair the Agency's ability to perform its obligations to the owners of the Series 2015 Bonds. ENFORCEABILITY OF REMEDIES The remedies available to the owners of the Series 2015 Bonds upon the occulrence of a default under the Bond Resolution are in many respects dependent upon judicial actions which are often subject to discretion and delay. Under existing constitutional and statutory law and judicial decisions, the remedies specified by the Bond Resolution and the Series 2015 Bonds may not be readily available or may be limited. The various legal opinions to be delivered concurrently with the delivery of the Series 2015 Bonds (including Bond Counsel's approving opinion) will be qualified, as to the enforceability of the various legal instmments, by limitations imposed by bankruptcy, reorganization, insolvency or other similar laws affecting the rights of creditors enacted before or after such delivery and to general principles of equity (whether sought in a court of law or equity). 44 1225 TAX MATTERS Series 2005A Bonds General. NO ATTEMPT HAS BEEN MADE TO PROVIDE THAT INTEREST ON THE SERIES 2015A BONDS IS EXCLUDED FROM GROSS INCOME OF THE HOLDERS THEREOF FOR FEDERAL INCOME TAX PURPOSES. NO OPINION IS RENDERED WITH RESPECT TO THE FEDERAL TAX CONSEQUENCES OF OWNERSHIP OF THE SERIES 2OI5A BONDS AND EACH PURCHASER SHOULD CONSULT ITS OWN TAX ADVISOR TO DETERMINE THE FEDERAL TAX CoNSEQUENCES OF OWNTNG THE SERTES 2015A BONDS. Payments of principal of and interest on the Series 2015,{ Bonds may be subject to "backup withholding tax" under Section 3406 of the Internal Revenue Code of 1986, as amended (the "Code"), at a rate of twenty-eight percent (28%) if recipients of such payments (other than foreign investors who have properly provided required certifications) fail to properly provide to the payor certain information, including their taxpayer identification numbers, or otherwise fail to establish an exemption from such tax. Any amounts deducted and withheld from a payment to a recipient are allowed as a credit against the federal income tax of such recipient. Furthermore, certain penalties may be imposed by the Internal Revenue Service on a recipient of payments who is required to supply information but does not do so in the proper manner. ln the opinion of Sanders Patton Boggs (US) LLP, Bond Counsel, under existing law, the Series 2015A Bonds and the income thereon are exempt from taxation under the laws of the State of Florida, except estate taxes imposed by Chapter 198, Florida Statutes, as amended, and net income and franchise taxes imposed by Chapter 220, Florida Statues as amended. Bond Counsel will express no opinion as to any other federal or state tax consequences regarding the Series 2015,4' Bonds. Series 20158 Bonds General In the opinion of Squire Patton Boggs (US) LLP, Bond Counsel, under existing law: (i) interest on the Series 20158 Bonds is excluded from gross income for federal income tax purposes under Section 103 of the Internal Revenue Code of 1986, as amended (the "Code"), and is not an item of tax preference for purposes of the federal alternative minimum tax imposed on individuals and corporations; and (ii) the Series 20158 Bonds and the income thereon are exempt from taxation under the laws of the State of Florida, except estate taxes imposed by Chapter 198, Florida Statutes, as amended, and net income and franchise taxes imposed by Chapter 22\,Florida Statutes, as amended. Bond Counsel expresses no opinion as to any other tax consequences regarding the Series 20158 Bonds. The opinion on tax matters will be based on and will assume the accuracy of certain representations and certifications, and continuing compliance with certain covenants, of the Agency contained in the transcript of proceedings and that are intended to evidence and assure the foregoing, including that the Series 20158 Bonds are and will remain obligations the interest on which is excluded from gross income for federal income tax purposes. Bond Counsel will not independently verify the accuracy of the Agency's representations and certifications or the continuing compliance with the Agency's covenants. The opinion of Bond Counsel is based on current legal authority and covers certain matters not directly addressed by such authority. It represents Bond Counsel's legal judgment as to exclusion of interest on the Series 20158 Bonds from gross income for federal income tax purposes but is not a 45 1226 guaranty of that conclusion. The opinion is not binding on the lntemal Revenue Service ("IRS") or any court. Bond Counsel expresses no opinion about (i) the effect of future changes in the Code and the applicable regulations under the Code or (ii) the interpretation and the enforcement of the Code or those regulations by the IRS. The Code prescribes a number of qualifications and conditions for the interest on state and local government obligations to be and to remain excluded from gross income for federal income tax purposes, some of which require future or continued compliance after issuance of the obligations. Noncompliance with these requirements by the Agency may cause loss of such status and result in the interest on the Series 20158 Bonds being included in gross income for federal income tax purposes retroactively to the date ofissuance ofthe Series 20158 Bonds. The Agency has covenanted to take the actions required of it for the interest on the Series 20158 Bonds to be and to remain excluded from gross income for federal income tax purposes, and not to take any actions that would adversely affect that exclusion. After the date of issuance of the Series 20158 Bonds, Bond Counsel will not undertake to determine (or to so inform any person) whether any actions taken or not taken, or any events occurring or not occurring, or any other matters coming to Bond Counsel's attention, may adversely affect the exclusion from gross income for federal income tax purposes of interest on the Series 20158 Bonds or the market value of the Series 20158 Bonds. A portion of the interest on the Series 20158 Bonds earned by certain corporations may be subject to a federal corporate alternative minimum tax. In addition, interest on the Series 20158 Bonds may be subject to a federal branch profits tax imposed on certain foreign corporations doing business in the United States and to a federal tax imposed on excess net passive income of certain S corporations. Under the Code, the exclusion of interest from gross income for federal income tax purposes may have certain adverse federal income tax consequences on items of income, deduction or credit for certain taxpayers, including financial institutions, certain insurance companies, recipients of Social Security and Railroad Retirement benefits, those that are deemed to incur or continue indebtedness to acquire or carry tax-exempt obligations, and individuals otherwise eligible for the earned income tax credit. The applicability and extent of these and other tax consequences will depend upon the particular tax status or other tax items of the owner of the Series 20158 Bonds. Bond Counsel will express no opinion regarding those consequences. Payments of interest on tax-exempt obligations, including the Series 20158 Bonds, are generally subject to IRS Form 1099-INT information reporting requirements. If a Series 20158 Bond owner is subject to backup withholding under those requirements, then payments of interest will also be subject to backup withholding. Those requirements do not affect the exclusion of such interest from gross income for federal income tax purposes. Bond Counsel's engagement with respect to the Series 20158 Bonds ends with the issuance of the Series 2015E} Bonds, and, unless separately engaged, Bond Counsel is not obligated to defend the Agency or the owners of the Series 20158 Bonds regarding the tax status of interest thereon in the event of an audit examination by the IRS. The IRS has a program to audit tax-exempt obligations to determine whether the interest thereon is includible in gross income for federal income tax purposes. If the IRS does audit the Series 20158 Bonds, under current IRS procedures, the IRS will treat the Agency as the taxpayer and the beneficial owners of the Series 20158 Bonds will have only limited rights, if any, to obtain and participate in judicial review of such audit. Any action of the IRS, including but not limited to selection ofthe Series 20158 Bonds for audit, or the course or result ofsuch audit, or an audit ofother obligations presenting similar tax issues, may affect the market value of the Series 20158 Bonds. 46 1227 Prospective purchasers ofthe Series 20158 Bonds upon their original issuance at prices other than the respective prices indicated on the inside cover of this Official Statement, and prospective purchasers of the Series 20158 Bonds at other than their original issuance, should consult their own tax advisers regarding other tax considerations such as the consequences of market discount, as to all of which Bond Counsel expresses no opinion. Risk of Future Legislative Changes snd/or Court Decisiazs. Legislation affecting tax-exempt obligations is regularly considered by the United States Congress and may also be considered by the State legislature. Court proceedings may also be filed, the outcome of which could modiff the tax treatment of obligations such as the Series 20158 Bonds. There can be no assurance that legislation enacted or proposed, or actions by a court, after the date of issuance of the Series 20158 Bonds will not have an adverse effect on the tax status of interest on the Series 201 58 Bonds or the market value or marketability of the Series 20158 Bonds. These adverse effects could result, for example, from changes to federal or state income tax rates, changes in the structure of federal or state income taxes (including replacement with another type of tax), or repeal (or reduction in the benefit) of the exclusion of interest on the Series 20158 Bonds from gross income for federal or state income tax purposes for all or certain taxpayers. For example, recent presidential and legislative proposals would eliminate, reduce or otherwise alter the tax benefits currently provided to certain owners of state and local government bonds, including proposals that would result in additional federal income tax on taxpayers that own tax-exempt obligations if their incomes exceed certain thresholds. Investors in the Series 20158 Bonds should be aware that any such future legislative actions (including federal income tax reform) may retroactively change the treatment of all or a portion of the interest on the Series 20158 Bonds for federal income tax purposes for all or certain taxpayers. In such event, the market value of the Series 20158 Bonds may be adversely affected and the ability of holders to sell their Series 20158 Bonds in the secondary market may be reduced. The Series 20158 Bonds are not subject to special mandatory redemption, and the interest rates on the Series 20158 Bonds are not subject to adjustment in the event ofany such change. Investors should consult their own financial and tax advisers to analyze the importance of these risks. Original Issue Discount and Original Issue Premium. Certain of the Series 20158 Bonds ("Discount Bonds") as indicated on the inside cover page of this Official Statement were offered and sold to the public at an original issue discount ("OID"). OID is the excess of the stated redemption price at maturity (the principal amount) over the "issue price" of a Discount Bond. The issue price of a Discount Bond is the initial offering price to the public (other than to bond houses, brokers or similar persons acting in the capacity of underwriters or wholesalers) at which a substantial amount of the Discount Bonds of the same maturity is sold pursuant to that offering. For federal income tax purposes, OID accrues to the owner of a Discount Bond over the period to maturity based on the constant yield method, compounded semiannually (or over a shorter permitted compounding interval selected by the owner). The portion of OID that accrues during the period of ownership of a Discount Bond (i) is interest excluded from the owner's gross income for federal income tax purposes to the same extent, and subject to the same considerations discussed above, as other interest on the Series 2015I} Bonds, and (ii) is added to the owner's tax basis for purposes of determining gain or loss on the maturity, redemption, prior sale or other disposition of that Discount Bond. The amount of OID that accrues each year to a corporate owner of a Discount Bond is taken into account in computing the corporation's liability for federal altemative minimum tax. A purchaser of a Discount Bond in the initial public offering at the price for that Discount Bond stated on the inside cover page of this Official Statement who holds that Discount Bond to maturity will realize no gain or loss upon the retirement of that Discount Bond. 47 1228 Certain of the Series 20158 Bonds ("PremiumBonds") as indicated onthe inside coverpage of this Official Statement were offered and sold to the public at a price in excess of their stated redemption price at maturity (the principal amount). That excess constitutes bond premium. For federal income tax purposes, bond premium is amortized over the period to maturity of a Premium Bond, based on the yield to maturity of that Premium Bond (or, in the case of a Premium Bond callable prior to its stated maturity, the amortization period and yield may be required to be determined on the basis of an earlier call date that results in the lowest yield on that Premium Bond), compounded semiannually. No portion of that bond premium is deductible by the owner of a Premium Bond. For purposes of determining the owner's gain or loss on the sale, redemption (including redemption at maturity) or other disposition of a Premium Bond, the owner's tax basis in the Premium Bond is reduced by the amount of bond premium that is amortized during the period of ownership. As a result, an owner may realize taxable gain for federal income tax purposes from the sale or other disposition of a Premium Bond for an amount equal to or less than the amount paid by the owner for that Premium Bond. A purchaser of a Premium Bond in the initial public offering at the price for that Premium Bond stated on the inside cover page of this Official Statement who holds that Premium Bond to maturity (or, in the case of a callable Premium Bond, to its earlier call date that results in the lowest yield on that Premium Bond) will realize no gain or loss upon the retirement of that Premium Bond. Owners of Discount Bonds and Premium Bonds should consult their own tax advisers as to the determination for federal income tox purposes of the amount of OID or bond premium properly accruable or amortizable in any period with respect to the Discount Bonds or Premium Bonds and as to other federal tax consequences and the treatment of OID and bond premium for purposes of state and local taxes on, or based on, income. CONTINUING DISCLOSURE The Agency will covenant for the benefit of the holders of the Series 2015 Bonds to provide certain financial information and operating data relating to the Agency and the Trust Fund not later than two hundred forty (240) days following the end of each Fiscal Year, commencing with the Fiscal Year ended September 30, 2015 (the "Annual Report"), and to provide, or cause to be provided, notices of the occurrence of certain enumerated events. The Annual Report and notices of events will be filed with the Municipal Securities Rulemaking Board (the "MSRB"). Digital Assurance Certification,L.L.C. ("DAC") will act as the initial disclosure dissemination agent for the City. The specific nature of the information to be contained in the Annual Report and the notices of events is contained in "APPENDIX G - Form of Disclosure Dissemination Agent Agreement." These covenants have been made in order to assist the Underwriters in complying with Rule 15c2-12 of the Securities and Exchange Commission. On July 28,2014 Standard & Poor's Ratings Services ("S&P") announced that it had raised its rating on the City's general obligation debt two (2) notches to "AA+" from "AA-." The disclosure agreements entered into by the City in connection with the issuance of various series of bonds (the "Disclosure Agreements") require the City to provide, among other things, notice of rating changes affecting such series of bonds. Notice of the ratings increase announced by S&P on July 28, 2014 was not provided by the City within the time periods established in the Disclosure Agreements. Such notice was filed by DAC, on behalf of the City, with the MSRB on April 29,2015. On April 4, 2011 S&P announced that it had raised its rating on the tax increment debt of the Agency by one (l) notch, to "A+" from "A." The disclosure agreements entered into by the City and the Agency in connection with the issuance of various series of tax increment bonds by the Agency (the "Tax Increment Bonds Disclosure Agreements") require the Agency to provide, among other things, notice of 48 1229 rating changes affecting such series of bonds. Notice of the ratings increase announced by S&P on April 4,2}ll was not provided by the Agency in the manner set forth in the Tax Increment Bonds Disclosure Agreements. Documents required to be filed pursuant to the Disclosure Agreements are currently on file and available electronically from the MSRB at http://emma.msrb.org/. Information regarding the Series 2015 Bonds and other bonds previously issued by the Agency or the City may be found at the DAC internet site, "http//www.dacbond.com." FINANCIAL STATEMENTS Excerpts from the Comprehensive Annual Financial Report of the City of Miami Beach, Florida for the Fiscal Year ended September 30, 2014 and the report of Crowe Horwath LLP, independent certified public accountants ("Crowe Horwath"), in connection therewith, dated March 30,2015, are included in APPENDIX B to this Officiat Statement as part of the public records of the City. In addition, the Financial Report of the Miami Beach Redevelopment Agency (A Component Unit of the City of Miami Beach, Florida) for the Fiscal Year ended September 30, 2014 and the report of Crowe Horwath in connection therewith, dated March 30, 2015, 2015, are included in APPENDIX C to this Official Statement as part of the public records of the Agency. Such financial statements and reports contain information relating to the City and the Agency. The consent of Crowe Horwath was not requested for the reproduction of its audit reports in this Official Statement. The auditor has performed no services in connection with the preparation of this Official Statement and is not associated with the offering of the Series 2015 Bonds. RATINGS [Moody's Investors Service, Inc. ("Moody's") and S&P are expected to assign ratings of o'_," witha,,-out1ook,,'and..-,,,withaoutlook,,'respectively,totheSeries2015 Bonds insured by the Bond Insurance Policy, with the understanding that upon delivery of such Series 2015 Bonds the Bond Insurance Policy insuring the payments, when due, of the principal of and interest on such Series 2015 Bonds will be issued by the Bond Insurer. See "MTINICIPAL BOND INSURANCE" herein. ln addition, Moody's has assigned to the Series 2015 Bonds a rating of "-," with a outlook," and S&P has assigned a rating of "-," with a "outlook," each without regard to the issuance of the Bond Insurance Policy.l Such ratings and outlooks reflect the view of such organizations. An explanation of the significance of such ratings and outlooks may be obtained only from Moody's and S&P, respectively. An explanation of the rating and outlook assigned by Moody's may be obtained from Moody's at7 World Trade Center, 250 Greenwich Street, 23d Floor, New York, New York 10007, (212) 553-0300. An explanation of the rating and outlook assigned by S&P may be obtained from S&P at 55 Water Street, 38ft Floor, New York, New York 10041, (212) 438-2124. There is no assurance that the rating and outlook provided by Moody's and S&P, respectively, will continue for any given period of time or that they will not be revised downward or withdrawn entirely by such rating agencies if, in their judgment, circumstances so warrant. Any such downward revision or withdrawal of such ratings or outlooks may have an adverse effect on the market price of the Series 201 5 Bonds. 49 1230 FINANCIAL ADVISOR RBC Capital Markets, LLC, St. Petersburg, Florida, is serving as Financial Advisor to the City and has acted in such capacity with respect to the sale and issuance of the Series 2015 Bonds. The Financial Advisor is not obligated to undertake, and has not undertaken to make, an independent verification or to assume responsibility for the accuracy, completeness or fairness of the information in this Official Statement. RBC Capital Markets, LLC did not engage in any underwriting activities with regard to the issuance and sale of the Series 2015 Bonds. UNDERWRITING The Series 2015 Bonds are being purchased by Morgan Stanley & Co. LLC, Wells Fargo Bank, National Association, Merrill Lynch, Pierce, Fenner & Smith Incorporated, Raymond James & Associates, Inc. and Loop Capital Markets LLC (collectively, the "Underwriters"), subject to certain terms and conditions set forth in the purchase contract between the Agency and the Underwriters, including the delivery of opinions on certain legal matters relating to the issuance of the Series 2015 Bonds by Bond Counsel and the existence of no material adverse change in the condition of the Agency from that set forth in the Official Statement. The Series 2015 Bonds are being purchased at a purchase price of $(which represents the $principal amount of the Series 2015 Bonds, [plus / minus a net original issue premium / discount of $_,1 minus an Underwriters' discount of $ ). The Series 2015 Bonds are offered for sale to the public at the prices and yields set forth on the inside cover page of this Official Statement. The Series 2015 Bonds may be offered and sold to certain dealers at prices lower than or yields higher than such offering prices and yields. After the initial public offering, such public offering prices and yields may be changed, from time to time, by the Underwriters. Morgan Stanley, parent company of Morgan Stanley & Co. LLC, the senior managing underwriter of the Series 2015 Bonds, has entered into a retail distribution arrangement with its affiliate Morgan Stanley Smith Bamey LLC. As part of the distribution arrangement, Morgan Stanley & Co. LLC may distribute municipal securities to retail investors through the financial advisor network of Morgan Stanley Smith Barney LLC. As part of this arrangement, Morgan Stanley & Co. LLC may compensate Morgan Stanley Smith Barney LLC for its selling efforts with respect to the Series 2015 Bonds. Wells Fargo Securities is the trade name for certain securities-related capital markets and investment banking services of Wells Fargo & Company and its subsidiaries, including Wells Fargo Bank, National Association. Wells Fargo Bank, National Association ("WFBNA"), one of the underwriters of the Series 2015 Bonds, has entered into an agreement (the "Distribution Agreement") with its affiliate, Wells Fargo Advisors, LLC (.'WFA"), for the distribution of certain municipal securities offerings, including the Series 2015 Bonds. Pursuant to the Distribution Agreement, WFBNA will share a portion of its underwriting or remarketing agent compensation, as applicable, with respect to the Series 2015 Bonds with WFA. WFBNA also utilizes the distribution capabilities of its affiliate, Wells Fargo Securities, LLC ("WFSLLC"), for the distribution of municipal securities offerings, including the Series 2015 Bonds. In connection with utilizing the distribution capabilities of WFSLLC, WFBNA pays a portion of WFSLLC's expenses based on its municipal securities transactions. WFBNA, WFSLLC and WFA are each wholly-owned subsidiaries of Wells Fargo & Company. Certain subsidiaries of Wells Fargo & Company (parent company of Wells Fargo Bank, National Association), have provided, from time to time, investment banking services, commercial banking services or advisory services to the Agency, for 50 1231 which they have received customary compensation. Wells Fargo & Company or its subsidiaries may, from time to time, engage in transactions with and perform services for the Agency in the ordinary course of their respective businesses. The Underwriters and their respective affiliates are full service financial institutions engaged in various activities, which may include sales and trading, commercial and investment banking, advisory, investment management, investment research, principal investment, hedging, market making, brokerage and other financial and non-financial activities and services. In the course of their various business activities, the Underwriters and their respective affiliates, officers, directors and employees may purchase, sell or hold a broad array of investments and actively trade securities, derivatives, loans, commodities, currencies, credit default swaps and other financial instruments for their own account and for the accounts of their customers, and such investment and trading activities may involve or relate to assets, securities and/or instruments of the Agency (directly, as collateral securing other obligations or otherwise) and/or persons and entities with relationships with the Agency. The Underwriters and their respective affiliates may also communicate independent investment recommendations, market color or trading ideas and/or publish or express independent research views in respect of such assets, securities or instruments and may at arly time hold, or recommend to clients that they should acquire, long and./or short positions in such assets, securities and instruments. The Underwriters, respectively, may have entered into agreements with other broker- dealers (that have not been designated by the City as Underwriters) for the distribution of the Series 2015 Bonds at the original issue prices. Such agreements generally provide that the relevant Underwriter will share a portion of its underwriting compensation or selling concession with such broker-dealers. VERIFICATION OF MATHEMATICAL COMPUTATIONS The arithmetical accuracy of certain computations included in the schedules provided by Morgan Stanley & Co. LLC relating to the computation of forecasted receipts of principal and interest on the Government Obligations and uninvested cash to pay and redeem the Outstanding Prior Bonds and supporting the conclusion of Bond Counsel that the Series 2015 Bonds do not constitute "arbitrage bonds" under Section 148 of the Internal Revenue Code of 1986, as amended, was verified by Integrity Public Finance Consulting LLC, Jacksonville, Florida, as the Verification Agent. Such computations were based solely upon assumptions and information supplied by Morgan Stanley & Co. LLC The Verification Agent has restricted its procedures to examining the arithmetical accuracy of certain computations included in the schedules provided by Morgan Stanley & Co. LLC. The Verification Agent has not made any study or evaluation of the assumptions and information upon which the computations are based and, accordingly, has not expressed an opinion on the data used, the reasonableness of the assumptions, or the achievability of the forecasted results. CONTINGENT FEES The City has retained Bond Counsel, Disclosure Counsel and the Financial Advisor with respect to the authorization, sale, execution and delivery of the Series 2015 Bonds. Payment of the fees of such professionals and an underwriting discount to the Underwriters (including the fees of Underwriters' Counsel) are each contingent upon the issuance ofthe Series 2015 Bonds. 5l 1232 DISCLOSURE REQUIRED BY FLORIDA BLUE SKY REGULATIONS Section 5 17.05 I , Florida Statutes, and Rule 38400.003, Florida Administrative Code, requires the Agency to disclose each and every default as to payment of principal and interest after December 31,1975 with respect to obligations issued or guaranteed by the Agency. Rule 3E400.003 further provides, however, that if the Agency in good faith believes that such disclosure would not be considered material by reasonable investors, such disclosure may be omitted. The Agency is not in default and has not been in default since December 31,1975 in the payment of principal or interest with respect to any obligations issued or guaranteed by the Agency that would be considered material to a reasonable investor. AUTHORIZATION CONCERNING OFFICIAL STATEMENT The delivery of this Official Statement has been duly authorizedby the members of the Agency. At the time of the delivery of the Series 2015 Bonds, the Chairman of the Agency and the Executive Director of the Agency will furnish a certificate to the effect that nothing has come to their attention which would lead them to believe that this Official Statement, as of its date and as of the date of delivery of the Series 2015 Bonds, contains an untrue statement of a material fact or omits to state a material fact which should be included therein for the purpose for which this Official Statement is intended to be used, or which is necessary to make the statements contained herein, in the light of the circumstances under which they were made, not misleading. A limited number of copies of the final Official Statement will be provided, at the Agency's expense, on a timely basis. CONCLUDING STATEMENT All information included in this Official Statement has been provided by the Agency, except where attributed to other sources. The summaries of and references to all documents, statutes, reports, and other instruments referred to herein do not purport to be complete, comprehensive or definitive, and each such reference or summary is qualified in its entirety by reference to each such document, statute, report or other instrument. The information in this Official Statement has been compiled from official and other sources and, while not guaranteed by the Agency, is believed to be correct. To the extent that any statements made in this Official Statement and the appendices attached hereto involve matters of opinion or of estimates, whether or not expressly stated, they are set forth as such and not as representations of fact, and no representation is made that any of the estimates will be realized. This Official Statement has been duly executed and delivered by the Chairman and the Executive Director of the Miami Beach Redevelopment Agency. MIAMI BEACH REDEVELOPMENT AGENCY PHILIP LEVINE, Charrman 52 JIMMY L. MORALES, Executive Director 1233 APPENDIXA General Information and Economic Data Regarding the City of Miami Beach, Florida and Miami-Dade County, Florida 1234 GENERAL INFORMATION REGARDING THE CITY OF MIAMI BEACH AND MIAMI-DADE COUNTY, FLORIDA The following information pertaining to the City of Miami Beach, Florida (the "City") and Miami- Dade County, Florida (the "County") is set forth for purposes of providing background information only. The Series 2015 Bonds are payable only from the Trust Fund Revenues and other amounts constituting Pledged Funds, as defined in this Official Statement. The Series 2015 Bonds do not constitute a debt, liability or obligation or a pledge of the faith, credit or taxing power of the City, the County, the State of Florida, or any political subdivision thereof. INTRODUCTION The City The City is located on a barrier island surrounded by the Atlantic Ocean to the east and Biscayne Bay to the west. The City comprises seven (7) square miles of land area and ten (10) square miles of Biscayne Bay. The City is connected to the mainland by four (4) causeways. The climate of the City is tropical, with an average annual temperature of 75 degrees Fahrenheit, 24 degrees Celsius. The City is the home of the Art Deco Historic District, consisting of one of the greatest concentrations of Art Deco architecture in the United States. Within the Art Deco Historic District is the world famous Ocean Drive, which has been called the 'oRiviera" of Florida. The economy of the area is based on tourism. For Fiscal Year 2014, hotel, food and beverage sales accounted for an estimated $2.2 billion in sales within the City. The demographics of the City have drastically changed over the last thirty-five (35) years. In the 1980 Census, the average age of the City's population was 65.3 years old. That average declined to 43.7 years of age by the 2000 Census and to 40.3 years of age by the 2010 Census. After the significant changes between 1980 and 2010, the City's demographics are beginning to stabilize with a younger, more affluent population. Based on information provided by the U.S. Census Bureau for 2013 (the most recent year for which City estimates are currently available from the U.S. Census Bureau), the median age in the City was estimated to be 39.3 years of age and the median family income was estimated to be $52,576. The County The County is the largest county in the southeastern United States in terms of population and one of the largest in terms of land area. The County consists of 2,209 square miles of land area. The population of the County is clustered mainly along the coastal, eastern areas, with the western area of the County comprising a part of the Ftorida Everglades. The County was created on January 18, 1836 under the Territorial Act of the United States. It included the land area now forming Palm Beach and Broward Counties, together with the land area of the present Miami-Dade County. In 1909, Palm Beach County was established from the northem portion of what was then Dade County. In 1915, Palm Beach County and then Dade County contributed nearly equal portions of land to create what is now Broward County. There have been no significant boundary changes to the County since 1915. There are thirty-five (35) incorporated municipalities in the County and the County serves as a municipal government for its unincorporated areas. In addition to the City, the municipalities in the County include the cities of Miami, Hialeah and Coral Gables. A-l 1235 POPULATION The U.S. Census Bureau estimated the population of the City and of the County to be 91,026 and 2,64l,866,respectively,in20l3. For2014,thepopulationintheCountyisestimatedtobe2,662,ST4. The U.S. Census Bureau population estimates for the City for 2014have not been released. Projections by the Nielsen Company, a leading provider of demographic and economic data, provide for the City's population to grow to 96,484 by the year 2020. Set forth below are general population statistics for the City and the County and age data relating to the City's population growth. Population, City of Miami Beach and Miami-Dade County 1980 -2014 City of Miami-Dade Calendar Year Miami Beach Percent Change Co@ 1980 1990 2000 2010 2013* 2014* 96,298 92,639 87,933 87,779 91,026 N/A 10.60/0 (3.8) (s.3 ) (0.1) 0.4 1,625,598 1,937,094 2,260,000 2,496,435 2,641,866 2,662,874 28.2% 19.2 16.'7 10.5 5.8 6.7 Source: U.S. Department of Commerce, Bureau of Census' * Estimated as of July l,2Ol3 for City population and as of July l, 2014 for County population. Population estimates for the City for 2014 are not yet available. Population Breakdown City of Miami Beach, 1990 - 2013 Age Group 1990 2010 20t3*2000 Under 18 l8 and over 2l and over 65 and over Median Age: 13.4% 86.6 84.1 19.2 39.0 Bureau ofCensus. information is available. t4.2% 8s.8 83. l 23.4 44.5 12.8% 87.2 84.9 16.2 40.3 15.6% 84.4 82.1 16.0 39.3 Source: U.S. Department of Commerce, * 2013 is the most recent year for which A-2 1236 GOVERNMENT The City was incorporated as a municipal corporation on March 26, 1915. The City operates under a Commissior/City Manager form of govemment. The City Commission consists of the Mayor and six (6) Commissioners who serve as the policy-making body of the City. Authority is vested in the City Commission to enact ordinances, hold public hearings, approve contracts, establish the City's budget and tax assessments, and authorize construction of all public improvements. The Mayor and City Commission are elected on a citywide, nonpartisan basis. Elections are held in odd numbered years, with the Mayor elected to serve two-year terms with a limit of three (3) consecutive terms. Commissioners are elected to serve four-year terms with a limit of two (2) consecutive terms. City Commission terms are staggered so that not all Commissioners are up for re-election at the same time. On a rotating basis, the City Commission selects one (l) of its members to serve as Vice Mayor for a three-month term. The Mayor, who is the presiding officer at City Commission meetings, may vote on all matters that come before the City Commission, but has no power of veto. The City Commission appoints the City Manager, the City Attorney and the City Clerk. All other department heads are appointed by the City Manager, with the consent of the City Commission. The City Manager is vested with the responsibility to ensure that policies, directives, resolutions, and ordinances adopted by the City Commission are enforced and implemented. As the City's Chief Executive Officer, the City Manager is responsible for providing executive level leadership, vision and guidance to the organizatiorr,providing recommendations to the City Commission and implementing policy directives in an efficient and effective manner. In addition, the City Manager is responsible for the daily operations of the City, preparing and administering the budget, planning the development of the City, supervising City employees, interacting with citizen groups and other units of government, and is otherwise responsible for the health, safety, and welfare of the residents of and visitors to the City. With the exception of the City Attomey's Office and the City Clerk's Office, the City Manager has the power to appoint or remove all heads of the various departments of the City. SCOPE OF SERVICES The City provides a full range of municipal services, including police and fire protection, recreational activities, parks, cultural events, sanitation services, water, sewer and storm water services, neighborhood and community services, and the construction and maintenance of streets and infrastructure. ECONOMIC AND DEMOGRAPHIC DATA Family Income The estimated median family income for the City has been consistently higher than the median family income for the County. During the last five years, the median family income for the City has ranged from being g.6Yohigher than the median family income for the County in 2010 to being 20.7% higher in 2011. [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] A-3 1237 Estimated Median Family Incomes, 2009 - 2013(t) City of Miami-Dade Calendar Year Miami Beach Percent Change Countv Percent Change 2009 2010 20tt 20t2 20l3Q) $54,643 50,758 57,318 56,457 52,576 2.3% (7.r) 12.9 (l.s) (6.e) $47,697 46,126 46,577 47,382 46,904 (7.8)% (3.3) 1.0 1.7 (1.0) Source: U.S. Department of Commerce, Bureau of Census. (l) Amounts are presented in dollars, adjusted for inflation. (2) 2013 is the most recent year for which information is available. Per Capita Personal Income Between 2009 and 2013, the estimated per capita personal income for the County increased by 12.9 percent, from $35,329 in 2009 to $39,880 in 2013. Such increase is slightly higher than the rate of growth in the State of Florida, which experienced a per capita personal income growth rate of approximately 1l.l percent during the same period, and generally consistent with the rate of growth in the United States, which experienced a per capita personal income growth rate of approximately I 3.7 percent during the same period. Per Capita Personal Income, 2009 - 2013(r) Miami-Dade State of Year(2) Countv % of U.S. Florida % of U.S. United States 2009 2010 20ll 20t2 2013€) $35,329 36,592 38,242 39,467 39,880 89.7% 91.2 90.3 89.3 89. I $37,350 38,478 40,215 44,041 41,497 94.8% 95.8 95.0 92.9 92.7 $39,379 40,144 42,332 44,200 44,765 Source: U.S. Department of Commerce, Bureau of Economic Analysis/Regional Economic Information System. (1) Information provided as of the last available update, dated November 20,2014. (2) Estimates for 2013 are new estimates. Amounts for 2009 through 2012 are revised from estimates previously provided for such years. (3) 2013 is the most recent year for which information is available. A4 1238 EMPLOYMENT The fotlowing tables provide information relating to the City's labor force and the principal employers in the County for the fiscal year ended September 30, 2014 and comparative data for the fiscal year ended September 30, 2005. City of Miami Beach Employment 2009 - 2014* [.abor Force 2009 2010 20ll 2012 2013 2014 Labor Force Employed Labor Force Unemployed Total Labor Force Unemployment Rate 42,447 4,315 46,762 9.2% 44,129 4,088 48,217 8.s% 46,295 )rzJ I 49,532 6.5% 46,992 3,042 50,034 6.1% 47,630 49,191 2,477 2,344 50,107 51,535 4.9% 4.5% Source: U.S. Departrnent of Labor, Bureau of Labor Statistics * Data provided for December of each year. subject to change. Data for years 2010 to 2014 represents provisional data, which [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] A-5 1239 Miami-Dade County Ten Largest Public Employers 20r4 2005 Emplovers Miami-Dade County Public Schools Miami-Dade County Federal Government Florida State Government Jackson Health System City of Miami Florida International University Homestead Air Force Base Miami VA Medical Center Miami-Dade College City of Miami Beach TOTAL Percentage of Total County Rank Emplovment I 2.74% 2 2.08 3 1.57 4 1.40 5 0.80 6 0.33 7 0.29 I 0.27 9 0.20 l0 0.20 Emplovees Rank 54,387 I 32,265 2 20,100 3 18,900 4 11,700 5 3,954 8 5,000 7 2,018 9 7,500 6 1.839 l0 )s7.633. Emplovees 33,477 25,502 19,200 1 7,1 00 9,',797 3,997 3,534 3,250 2,500 2,390 t20.747 9.88% Source: City of Miami Beach Comprehensive Annual Financial Report for the Fiscal Year ended September 30,2014. [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] A-6 1240 Employers University of Miami Baptist Health South Florida American Airlines Carnival Cruise Lines Miami Children's Hospital Mount Sinai Medical Center Florida Power & Light Co. Royal Caribbean International Wells Fargo Bank Bank of America Merrill Lynch United Parcel Service Bellsouth Winn-Dixie Stores Precision Response Corporation Publix Super Markets Burdines-Macy's TOTAL Miami-Dade County Ten Largest Private Employers 2014 200s Employees Rank 9,079 2 10,300 I 9,000 3 3,665 9 Emplovees 12,818 I1,353 I 1,031 3,500 3,500 3,321 3,011 2,989 2,050 2,000 Percentage of Total County Emplovment t.0s% 0.93 0.90 0.29 0.29 0.27 0.25 0.24 0.17 0.16 5,000 4,800 4,616 4,196 4,000 3.368 58.0U" Rank I 2 3 4 5 6 7 8 9 l0 4 5 6 7 8 l0 55.573 4.55% Source: Cify of Miami Beach Comprehensive Annual Financial Report for the Fiscal Year ended September 30,2014. IREMAINDER OF PAGE INTENTIONALLY LEFT BLANK] A-7 1241 BUILDING PERMITS The following is a calculation of the total value of the Building Permits issued by the City during the past ten (10) years. City of Miami Beach, Florida Value of Building Permits Issued Fiscal Years 2005 - 2014 Fiscal Year Ended Sentember 30. Number of Permits Total Value 2005 2006 2007 2008 2009 20r0 20ll 2012 2013 2014 12,837 12,226 12,729 I 1,056 10,277 10,188 I 1,159 12,580 13,898 13,972 $ l,23s,909,l5l 1,177,266,348 I,165,346,1 l8 1,109,923,131 567,660,721 299,508,078 373,852,763 417,811,132 506,646,472 gl8,83I,235 Source: City of Miami Beach Building Department. [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] A-8 1242 PROPERTY TAXES The following table summarizes the direct and overlapping tax (millage) rates for the past ten (10) years. The table reflects the fact that, except during the years when millage rates needed to increase in response to the significant reduction in assessed values experienced throughout Florida and the United States during the economic downturn, millage rates in the City have generally decreased during the past ten (10) years. City of Miami Beach, Florida Direct and Overlapping Tax Rates ($1 per $1,000 of Assessed Value) Fiscal Years 2005 - 2014 City of Miami Beach Direct Rates Overlaooine Rates Tax Roll Fiscal Year Debt Total School Year as of Ended Operating Service Direct District County State January I September 30 Millage Millage Millage Millage Millage Millage Total 2005 2006 2007 2008 2009 2010 20ll 2012 2013 2014 2006 2007 2008 2009 2010 20tt 2012 2013 20t4 2015 7.4810 7.3740 5.6555 5.6555 5.6555 6.2155 6. l 655 6.0909 5.8634 5.7942 0.s920 0.2990 0.2415 0.2375 0.2568 0.2870 0.2884 0.2568 0.2s29 0.229s 8.0730 7.6730 s.8970 s.8930 5.9123 6.s02s 6.4539 6.3477 6.1 I 63 6.0237 8.4380 8.1050 7.9480 7.7970 7.9950 8.2490 8.0050 7.9980 7.9770 7.9740 7.0348 6.8083 5.6711 5.9263 6.0051 6.6s65 5.7695 5.6610 s.7980 s.9009 0.7355 24.2813 0.7355 23.3218 0.6585 20.1746 0.6s85 20.2748 0.6585 20.5709 0.6s8s 22.066s 0.4708 20.6992 0.4634 20.470t 0.4455 20.3368 0.4187 20.3173 Source: Cify of Miami Beach Comprehensive Annual Financial Report for the Fiscal Year ended September 30, 2014 and Miami-Dade County Property Appraiser's Millage Tables. [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] A-9 1243 The following table summarizes the tax levies and collections in the City for the past ten (10) years. City of Miami Beach, Florida Property Tax Levies and Collections Fiscal Years 2005 - 2014 Tax Roll Fiscal Year Taxes Year as of Ended Levied for Januarv 1 Seotember 30 Fiscal Year Collected within Fiscal Year of Lew colections in Percentage Subsequent Amount of Levy Years Total Collections to Date Percentage Amount of Levy 2004 200s 2006 2007 2008 2009 2010 20tl 2012 20t3 2005 2006 2007 2008 2009 2010 20tt 2012 2013 2014 $110,739,1s3 135,910,285 165,759,439 150,418,073 150,588,328 138,703,567 136,549,286 134,753,401 139,133,369 143,266,670 $ 97,731,071 132,487,342 163,120,484 145,433,238 144,321,499 131,355,903 128,719,932 129,572,373 134,848,787 r4r,55r,552 88.25% $1,086,183 97.48 1,814,064 98.41 2,145,835 96.69 4,646,716 95.84 4,633,049 94.70 3,550,990 94.27 290,254 96.t6 125,152 95.62 3,403,910 97.s3 N/A $ 98,817,254 89.23% 134,30r,406 98.82 165,266,319 99.70 150,079,954 99.78 t48,954,548 98.92 134,906,893 97 .26 129,010,186 94.48 t29,697,525 96.25 138,252,697 99.37 141,551,552 98.80 Source: City of Miami Beach Comprehensive Annual Financial Miami-Dade County Property Appraiser's Office. Report for the Fiscal Year ended September 30,2014 and [REMAINDEROF PAGE INTENTIONALLY LEFT BLANK] A-10 1244 The following tables summarize the ten (10) largest taxpayers in the City, the type of property owned by such taxpayers and the assessed value of such property for the Fiscal Year ended September 30,2014 and, for comparison, for the Fiscal Year ended September 30, 2005. City of Miami Beach Ten Largest Taxpayers Fiscal Year 2014 Percentage of City's Certified Taxable Assessed ValueTaxpayer Fountainbleau Florida Hotel LLC MB Redevelopment Inc. / Loews Hotel 2201 Collins Fee LLC Florida Power & Light Company Di Lido Beach Hotel Corp. 2377 Collins Resort LP VCP Lincoln Road LLC Eden Roc LLP MCZ lCentrum Flamingo II LLC MCZ lCentrum Flamingo III LLC TOTAL Twe of Propertv Hotel Hotel Apartments Industrial Hotel Hotel Retail Hotel Apartments Apartments Taxable Assessed Value s 327,513,062 229,900,000 200,811,436 186,802,731 l r2,860,000 110,925,385 98,000,000 97,429,200 95,s90,000 79.860.000 $1139-69.!3!4 r.33% 0.93 0.81 0.76 0.46 0.45 0.40 0.40 0.39 0.32 625% Source: 2013 Miami-Dade County, Florida Ad Valorem Assessment Roll for the City of Miami Beach and City of Miami Beach, Florida Comprehensive Annual Financial Report for the Fiscal Year Ended September 30,2014. [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] A-l I 1245 Taxpayer Loews Miami Beach Hotel Morton Towers Fountainbleau Hotel Sandy Lane Residential LLC Di Lido Beach Hotel Corp. Eden Roc Acquisition LP Shore Club Morton Towers Expansion South Gate Apartments 2201 Collins Fee LLC City of Miami Beach Ten Largest Taxpayers Fiscal Year 2005 Tvpe of Propertv Hotel Apartments Hotel Hotel Hotel Hotel Hotel Apartments Apartments Apartments Taxable Assessed Value $143,400,000 I10,675,000 104,449,118 72,230,700 61,900,000 49,500,000 48,500,000 48,325,000 48,000,000 44,583.667 $731563.48s. Percentage of City's Certified Taxable Assessed Value 1.02% 0.79 0.74 0.51 0.44 0.35 0.35 0.34 0.34 0.32 s20%TOTAL Source: 2004 Miami-Dade County, Florida Ad Valorem Assessment Roll for the City of Miami Beach and City of Miami Beach, Florida Comprehensive Annual Financial Report for the Fiscal Year Ended September 30,2014. LOCAL ECONOMY Tourism is the largest sector of the City's economy, with over $2.2 billion in direct tourist spending on hotel, food and beverage, and constitutes a large portion of the City's $l billion retail marketplace. ln Fiscal Year 2013, the City's hotels hosted more than 5 million overnight visitors, and approximately 7 million tourists visited South Beach and the Art Deco Historic district. Results reported for Fiscal Year 2014 evidence a continued upward trend. Hotel room sales in the City for Fiscal Year 2014 increased by 7% from Fiscal Year 2013, following thegYo increase a year earlier, demonstrating the continued strength of the City's lodging market and its major role in the robust tourist economy of South Florida. The City's hotel room occupancy rates remained stable in Fiscal Year 2014 at77o/o, as was the case in Fiscal Year 2013, reflecting continued absorption of an inventory of hotel rooms that has increased significantly in recent years, from 13,506 rooms at the beginning of 2008 to 17,751 in20l4. This additional inventory has provided the City with additional hotel room resources and product that is expected to continue to attract future visitors to and investment in the City. Evidence of the strength of the local economy is the fact that, with the exception of a de minimis 1% decline in the first quarter of 2008, hotel room demand has increased every quarter from the third quarter of 2007 through the fourth quarter of 2014. A-12 1246 The City is also a regional destination, with approximately 7 to 9 million day trips by residents of the surrounding area, making it one of the most popular destinations in Florida. However, in recent years, the City has diversified beyond its traditional tourism based economy to become a leading multi- industry business center, with entertainment, health care, culture, and professional services industries. The City serves as host for several major television shows, including Bum Notice (USA), Magic City (Starz) and Ballers (HBO), and has been the host for several recent feature productions, including Iron Man 3, Step Up Revolution, Pain & Gain and Ride Along 2. In addition, the City hosted the inaugural eMerge Americas Conference, showcasing the best and brightest technology innovators and entrepreneurs, including Rokk3rlabs, a tech hub that is based in the City. In December 2014, the world's most prestigious art fair, Art Basel, based in Switzerland, celebrated the thirteenth anniversary of its Miami Beach exhibition. Over 250 of the world's leading art galleries participate in Art Basel Miami Beach and an estimated 73,000 international visitors attended the 2014 event. Art Basel Miami Beach has increased in attendance and sales every year since inception. Retail tenants continue to open locations and expand in the City, joining established operations, such as Armani Exchange, Kenneth Cole, Urban Outfitters, Diesel, Nicole Miller, Forever 21, H&M and Gap, which recently opened its new two story location in the City. New retailers that joined the Miami Beach market in20l4 included Athleta & Intermix, with Lululemon,Zadiqand Voltaire and Kiko Milano scheduled to join in 2015. As of September 30 2014, Class A office space in prime locations continues to generate interest, with a vacancy rate at the low level of approximately 9.9%. Such office space is anchored by corporate tenants, such as LNR Property Corporation, Terranova, and Benetton. Although there are factors beyond the City's control that have impacted the production of entertainment projects, the entertainment industry continues as an important part of the City's economy. The City remains a key location for the production of movies, fashion campaigns and television series. Many international talent and model agencies have established and continue operations in the City and the City continues to grow as an international destination for major events. In addition to Art Basel Miami Beach, Design Miami, the South Beach Food and Wine Festival, the Miami lnternational Auto Show, the South Beach Comedy Festival, the Miami Beach International Boat Show and the Winter Music Conference continue to provide a strong base for the special events, meeting and trade show segment of the City's economy. The City also remains a leader in the real estate industry, as the median price of homes and condominiums continued to stabilize through 2014. Development in the City continues to grow, specifically in North Beach, at area historically overlooked for significant proj ects by developers. Growth management initiatives in the late 1990's resulted in more limited supply, somewhat reducing the exposure of excess new residential inventory that was experienced in some other cities. Since the end of 2008, as recessionary pressures eased on the economy, the City has experienced quarterly increases ofunits sold, and a decline in the number of condominium units for sale, from over 4,000 in early 2008, to 1,470 in December 2013. In 2014 however, due to rising prices and a strengthening dollar, the sales velocity of the market has eased, with the condo listing inventory increasing to 3,409 in 2014 from record lows in 2013. MIAMI BEACH VISITOR AND CONVENTION ACTIVITY Miami-Dade County and the Miami Beach Convention Center host a large number of conventions and the City welcomes a large number of overnight visitors each year. Set forth below is information relating to convention center attendance and overnight visitor activity. A-13 1247 City of Miami Beach, Florida Convention Center Attendance and Overnight Visitors Fiscal Years 2005 - 2014 Convention Center Overnight Total Ovemight Fiscal Year Attendance Visitors Visitor Spending 2005 2006 2007 2008 2009 20r0 201 I 2012 2013 2014 N/A 649,671 707,133 889,695 632,700 708,875 661,625 661,327 589,663 737,954 5,300,000 5,143,740 4,894,053 4,863,569 5,393,091 5,558,408 5,539,010 s,841,612 5,697,053 6,961,200 $ 7,200,000,000 7,889,608,756 7,344,719,992 7,468,633,814 7,524,151,558 8,104,378,579 8,088,739,484 9,201,340,602 10,614,159,967 10,500,000,000 Source: City of Miami Beach Finance Department. [REMAINDEROF PAGE INTENTIONALLY LEFT BLANK.] A-14 1248 Tourism and Visitor Activity Domestic and International Overnight Visitors Miami-Dade County Fiscal Years 2010 - 2014 (in 000) Fiscal Year Ended September 30. Oriein 2010 20ll 2012 2013 2014 Domestic Regions Northeast Southern Midwest Western Total Domestic Visitors International Regions South America Caribbean Central America Europe Canada Other Intemational Regions Total International Visitors Total Overnight Visitors Expenditures* Domestic Ovemight Visitors International Overnight Visitors Total Expenditures 3,196.0 1,568.5 1,220.6 558.9 6,948.s 2,836.8 688.5 525.r 1,306.5 587.4 I15.8 6.060.1 p.604r s 6,484.7 12.428.6 $l&913.3 3,362.1 1,700.1 1,291.2 595. I 6.948.5 3,182.9 702.8 537.6 1,324.7 627.9 119.8 6,495.7 13.4442 $ 7,088.7 14,528.6 $W 3,423.2 1,750.6 1,300.9 600.2 7.074.9 3,435.6 718.8 550. I 1,364.4 640.5 120.3 6.833.',l 13.e08.6 $ 7,482.3 I 5. I 83.0 $W 3,401.4 1,781.0 1,263.6 641_2 7.087.2 3,737.1 719.2 561.5 1,332.4 660.6 120.9 7 ,131.7 142r89 $ 7,839.9 t5,954.1 $ru 3,520.1 1,833.1 1,270.8 679.2 7.303.2 3,659.0 '755.0 595.3 1,430.2 689.7 130.7 7.260.0 t4.5632 $ 8,206.3 t6,528.2 $243345 Source: Greater Miami Convention and Visitors Bureau, * Average Daily Expenditures. [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK.] A-15 1249 Overnight Visitors by Region Fiscal Years 20f0 - 2014* Fiscal Year Ended September 30, Resion 2010 20ll 2012 2013 2014 Miami Beach Downtown Miami Airport Area North Miami-Dade/Sunny Isle South Miami-Dade Coral Gables Key Biscayne Coconut Grove Doral Total 44.t% 18.7 13.8 9.5 5.8 5.4 2.5 1.3 N/A 100% 4t.zvo 21.7 13.0 9.8 r00% 42.0Yo 17.6 17.2 10.0 5.0 4.9 2.7 0.9 0.7 100% 43.2% 18.1 16.5 r0.8 4.7 4.2 1.3 0.5 0.9 r00% 47.8% 19.2 12.8 8.8 3.9 3.9 1.5 1.5 J.J r00% 5.8 5.7 2.4 0.8 0.7 Source: Greater Miami Convention and Visitors Bureau. * Numbers may not add, due to rounding. TRANSPORTATION Surface Transportation The County has a comprehensive transportation network designed to meet the needs of residents, travelers and area businesses. The County's internal transportation system includes (i) Metrorail , a24.8 mile above-ground, electric rail system connecting South Miami-Dade and the City of Hialeah with the downtown Miami and civic center areas; (ii) Metromover, a fully automated, 4.4 mile above-ground, electric rail, double-loop people mover system that carries passengers around downtown Miami's central business center, south to the Brickell Avenue business and international banking centers and north to the Andrienne Arsht Performing Arts Center and Omni shopping center areas; and (iii) the County's Metrobus system, which operates over approximately 29.3 million revenue miles per year and provides over 76.8 million passenger trips annually. The County also provides para-transit services to qualified elderly and handicapped riders. The County's para-transit services supply over 1.68 million passenger trips annually. In addition, cargo rail service is available from both Miami International Airport and the Port of Miami, and Amtrak has a passenger station in the City of Miami. Tri-Rail, a 72-mile train system, links the City of West Palm Beach, the Town of Boca Raton, the City of Fort Lauderdale, the City of Hollywood and Miami Intemational Airport. Miami International Airport Miami International Airport is one of the busiest airports in the world for both passenger and cargo traffic. It ranks twelfth (12ft) in the nation and twenty-fifth (259 in the world in passenger traffic and has A-16 1250 the second highest international passenger traffic in the United States. The airport ranks third (3d) in the nation and eleventh (11ft) in the world in tonnage of domestic and international cargo movement. During Fiscal Year 2014 Miami International Airport handled 40,844,964 passengers and 2,187,943 tons of air freight. More than 88 airlines serve Miami International Airport, flying passengers to more than 150 destinations around the globe. Port of Miami The Port of Miami, known as the "cruise capital of the world," is an island port that encompasses 649 acres of land. It is the world's largest multi-day cruise port and is operated by the Seaport Department of Miami-Dade County. Embarkations and debarkations on cruise ships totaled over 4.7 mitlion passengers at the Port of Miami during Fiscal Year 2014. The Port of Miami is currently home to twenty-eight (28) cruise ships that operate throughout the year. Such ships, owned by eight (8) separate cruise ship companies, include some of the largest cruise ships in the world. The Port of Miami is also a hub for Caribbean and Latin American commerce. These countries accounted for over one-half of the 7.6 million tons of cargo transferred through the Port of Miami during Fiscal Year 2014. The Port of Miami has also expanded its relationships in the global community. As a result, trade with the Far East, Asia and the Pacific coast accounted for almost 39%o of the total cargo handled at the Port of Miami during Fiscal Year 2014. In August 2014, access to the Port of Miami was increased by the opening of the PortMiami Tunnel. The PorlMiani Tunnel consist of two (2) parallel tunnels (one in each direction) that travel undemeath Biscayne Bay connecting MacArthur Causeway on Watson Island with the Port of Miami on Dodge Island. The PortMiarui Tunnel provides direct access from highways I-95 and I-395, creating a highly desired additional entrance to the Port of Miami and a major improvement in traffic flow in downtown Miami. ThePortltliami Tunnel is expected to be a significant catalyst for future development at the Port of Miami and in the downtown Miami area. RECREATION There are numerous parks and playgrounds in the City. Each park provides different amenities, from tennis and bocce courts to swimming pools and tot lots, to Vita courses and barbecue pits. There are four (4) Vita courses, t'wo (2) public swimming pools, and numerous tennis courts, including the Holtz Tennis Stadium, which hosts championship, professional and amateur tournaments. Offshore, the Gulf Stream provides a variety of game fish, while the Miami Beach Marina provides an abundance of space to house boats as well as direct access to the Atlantic Ocean and the Gulf Stream. The Marina is a private development on City owned, bay front land in the South Pointe area of the City. Renovation has increased the number of boat slips to 388, making the Marina a first class facility and the largest marina in the area. In the north part of the City, the public can enjoy a leisurely sail in the quiet waters of Biscayne Bay from the Miami Beach Sailport. The facility, though open to all ages, was specially designed to teach young adults the basic art of sailing on small prams. The City owns two (2) championship gotf courses that are open to the public. The two (2) championship courses, Miami Beach Golf Course and Normandy, offer a clubhouse complete with a restaurant, lounge and pro shop. A-17 1251 APPENDIX B Excerpts from Comprehensive Annual Financial Report of the City of Miami Beach, Florida for the Fiscal Year Ended September 30,2014 1252 APPENDIX C Financial Report of the Miami Beach Redevelopment Agency (A Component Unit of the City of Miami Beach, Florida) for the Fiscal Year Ended September 30,2014 1253 APPENDIX D The Bond Resolution 1254 APPENDIX E Proposed Form of Opinion of Bond Counsel 1255 APPENDIX F Proposed Form of Opinion of Disclosure Counsel 1256 Board of Commissioners Miami Beach Redevelopment Agency 1700 Convention Center Drive Miami Beach, Florida 33139 Tax Increment Revenue and Revenue Refunding Bonds, Taxable Series 2015A (City Center/Historic Convention Village) Ladies and Gentlemen: MIAMI BEACII REDEVELOPMENT AGENCY S Date of Delivery Tax Increment Revenue and Revenue Refunding Bonds, Series 2015B (City Center/Historic Convention Village) We have served as Disclosure Counsel in connection with the issuance by the Miami Beach Redevelopment Agency (the "Agency") of its $in aggregate principal amount of Tax Increment Revenue and Revenue Refunding Bonds, Taxable Series 2015A (City Center/flistoric Convention Village) (the "Series 2015,A. Bonds") and $in aggregate principal amount of Tax Increment Revenue and Revenue Refunding Bonds, Series 20158 (City Center/Historic Convention Village) (the "series 20158 Bonds" and, collectively with the Series 2015A Bonds, the "Series 2015 Bonds"). The Series 2015 Bonds are being issued with the terms, for the purposes and subject to the conditions set forth in Resolution No. _-2015 adopted by the Chairman and members of the Board of Commissioners of the Agency on October _, 2015 (the "Bond Resolution") and by Resolution No. 2015- adopted by the Mayor and City Commission of the City of Miami Beach, Florida on October -,2015, as described in the Official Statement dated November _, 2015 relating to the Series 2015 Bonds (the "Official Statement"). All capitalized terms used in this opinion that are not defined herein and not normally capitalized shall have the meaning ascribed to such terms in the Official Statement. In connection with the issuance and delivery of this opinion, we have considered such matters of law and fact and have relied upon such certificates and other information furnished to us as we have deemed appropriate. We are not expressing any opinion or views herein on the authorization, issuance, delivery or validity of the Series 2015 Bonds. To the extent that the opinions expressed herein relate to or are dependent upon the determination that the proceedings and actions related to the authorization, issuance and sale of the Series 2015 Bonds are lawful and valid under the laws of the State of Florida, or that the Series 2015 Bonds are valid and binding obligations of the Agency enforceable in accordance with their terms, or that interest on the Series 20158 Bonds is excluded from the gross income of the owners thereof for federal income tax purposes or that the Series 2015 Bonds and the interest thereon are exempt from taxation under the laws of the State of Florida, we understand that you are relying upon the opinions delivered on the date hereof of Squire Patton Boggs (US) LLP and no opinion is expressed herein as to such matters. The scope of our engagement with respect to the issuance of the Series 2015 Bonds was not to estabtish factual matters and, because of the wholly or partially non-legal character of many of the determinations involved in the preparation of the Official Statement, we are not passing on and do not assume any responsibility for, except as set forth in the last sentence of this paragraph, the accuracy or F-l 1257 Board of Commissioners Miami Beach Redevelopment Agency Date of Delivery Page 2 completeness of the contents of the Official Statement (including, without limitation, its appendices) and we make no representation that we have independently verified the accuracy, completeness or fairness of such statements. As your counsel, we have participated in the preparation of the Official Statement and in discussions and conferences with officials of the Agency, Bond Counsel for the Agency, the Financial Advisor for the Agency, the Underwriters and Greenberg Traurig, P.A., Miami, Florida, Counsel to the Underwriters, in which the contents of the Official Statement and related matters were discussed. Solely on the basis of our participation in the preparation of the Official Statement, our examination of certificates, documents, instruments and records relating to the Agency and the issuance of the Series 2015 Bonds and the above-mentioned discussions, nothing has come to our attention which would lead us to believe that the Official Statement (except for the financial, statistical and demographic data and information in the Official Statement, including, without limitation, the appendices thereto and the information relating to DTC, its operations and the book-entry only system, as to which no opinion is expressed) contains an untrue statement of a material fact or omits to state a material fact that is necessary in order to make the statements therein, in light of the circumstances under which they were made, not misleading. We are also of the opinion that the continuing disclosure undertaking set forth in the Bond Resolution and in the Disclosure Dissemination Agent Agreement of the Agency dated as of December _,2015 and delivered at the closing for the Series 2015 Bonds, satisfies the requirements set forth in Rule l5c2-12(bX5) of the United States Securities and Exchange Commission, as such requirements apply to the issuance of the Series 2015 Bonds. In reaching the conclusions expressed herein we have, with your concurrence, assumed and relied on the genuineness and authenticity of all signatures not witnessed by us, the authenticity of all documents, records, instruments and letters submitted to us as originals, the conformity with originals of all items submitted to us as certified or photostatic copies, the legal capacity and authority of the persons who executed such items, the accuracy of all warranties, representations and statements of fact contained in the documents and instruments submitted to us, and the continuing accuracy on this date of any certificates or other items supplied to us regarding the matters addressed herein, which assumptions we have not verified. As to questions of fact material to our opinions, we have relied upon and assumed the correctness of the public records and certificates by, and representations of, public officials and other officers, and representatives of the parties to this transaction. We have no actual knowledge of any factual information that would lead us to form a legal opinion that the public records or certificates which we have relied upon contain any untrue statement of a material fact. This opinion may be relied upon by the Agency only, and only in connection with the transaction to which reference is made above, and may not be used or relied upon by any other person for any purpose whatsoever without our express prior written consent. Respectfully submitted, LAW OFFICES OF STEVE E. BULLOCK, P.A. F-2 1258 APPENDIX G Form of Disclosure Dissemination Agent Agreement 1259 [APPENDIX H Form of Specimen Municipal Bond Insurance Policyl 1260 MIAMI BEACH REDEVELOPMENT AGENCY Tax increment Revenue Bonds Series 201 5 (City Center/Historic Convention Village) BOND PURCHASE AGREEMENT ,2015 Board of Commissioners of the Miami Beach Redevelopment Agency 1700 Convention Center Drive Miami Beach, Florida 33139 Ladies and Gentlemen: Morgan Stanley & Co. LLC (the "Senior Managing Underwriter"), acting on behalf of itself and Wells Fargo Bank, National Association, Merrill Lynch, Pierce, Fenner & Smith Incorporated, Raymond James & Associates, Inc. and Loop Capital Markets LLC (collectively, with the Senior Managing Underwriter, the "Underwriters"), offer to enter into this Bond Purchase Agreement (this "Purchase Agreement") with the Miami Beach Redevelopment Agency (the "Agency"), for the sale by the Agency and the purchase by the Underwriters of the Agency's $Tax Increment Revenue Bonds, Series 2015 (City Center/Historic Convention Village) (the "Series 2015 Bonds"). This offer is made subject to acceptance by the Agency prior to 5:00 p.m. (Eastern Time) on the date hereof. Upon such acceptance, this Purchase Agreement will be in full force and effect in accordance with its terms and will be binding on the Agency and the Underwriters. If this offer is not so accepted, it is subject to withdrawal by the Underwriters upon written notice delivered to the Agency at any time prior to such acceptance. In conformance with Section 218.385, Florida Statutes, as amended, the Underwriters hereby deliver the Disclosure and Truth-in-Bonding Statement attached hereto as Exhibit "A." Capitalized terms used in this Purchase Agreement, but not defined, are used with the meanings ascribed to them in the Bond Resolution hereinafter described. The Senior Managing Underwriter represents that it is authorized on behalf of itself and the other Underwriters to enter into this Purchase Agreement and to take any other actions that may be required on behalf of the Underwriters. SECTION 1. (a) Upon the terms and conditions and upon the basis of the representations and warranties herein set forth, the Underwriters hereby agree to purchase from the Agency, and the Agency hereby agrees to sell to the Underwriters all (but not less 1261 (b) than all) of the Series 2015 Bonds for a purchase price equal to $ (which purchase price is the aggregate principal amount of the Series 2015 Bonds ofS , plus/minus a net original issue premium/discount of $-andlessanUnderwriters,discountof$).Thepurchase price for the Series 2015 Bonds shall be payable to the Agency in immediately available funds. In connection with the execution of this Purchase Agreement, the Senior Managing Underwriter, on behalf of the Underwriters, has delivered to the Agency a wire transfer credited to the order of the Agency in immediately available federal funds in the aggregate amount of _ Dollars ($_) (the "Good Faith Deposit"), which is being delivered to the Agency on account of the purchase price of the Series 2015 Bonds and as security for the performance by the Underwriters of their obligation to accept and to pay for the Series 2015 Bonds. If the Agency does not accept this offer, the Good Faith Deposit shall be immediately retumed to the Senior Managing Underwriter by wire transfer credited to the order of the Senior Managing Underwriter in the amount of the Good Faith Deposit, in federal funds to the Senior Managing Underwriter. In the event the hereinafter defined Closing takes place, the amount of the Good Faith Deposit shall be credited against the purchase price of the Series 2015 Bonds pursuant to Section 1(a). In the event of the Agency's failure to deliver the Series 2015 Bonds at the Closing, or if the Agency shall be unable at or prior to the Closing to satisfy the conditions to the obligations of the Underwriters contained in this Purchase Agreement (unless such conditions are waived by the Senior Managing Underwriter), or if the obligations of the Underwriters shall be terminated for any reason permitted by this Purchase Agreement, the Agency shall immediately wire to the Senior Managing Underwriter in federal funds the Good Faith Deposit without interest, and such wire shall constitute a full release and discharge of all claims by the Underwriters against the Agency arising out of the transactions contemplated by this Purchase Agreement. In the event that the Underwriters fail other than for a reason permitted under this Purchase Agreement to accept and pay for the Series 2015 Bonds upon their tender by the Agency at the Closing, the amount of the Good Faith Deposit shall be retained by the Agency and such retention shall represent full liquidated damages and not a penalty, for such failure and for any and all defaults on the part of the Underwriters and the retention of such funds shall constitute a full release and discharge of all claims, rights and damages for such failure and for any and all such defaults. It is understood by both the Agency and the Underwriters that actual damages in the circumstances as described in the preceding sentence may be difficult or impossible to compute; therefore, the funds represented by the Good Faith Deposit are a reasonable estimate of the liquidated damages in this type of situation. The Series Statutes, as "Act"), and 2015- 2015 Bonds will be issued pursuant to Chapter 163,Part III, Florida amended, and other applicable provisions of law (collectively, the pursuant and subject to the terms and conditions of Resolution No. (c) adopted by the Board of Commissioners of the Agency (the 1262 (d) "Commission") on , 2015 (the "Bond Resolution"). The Senes 2015 Bonds will be secured as provided in the Bond Resolution. The Series 2015 Bonds shall mature and have such other terms and provisions as are described on Exhibit "B" hereto. Proceeds of the Series 2015 Bonds will provide funds, together with other available funds, to (i) pay the costs of certain public improvements in accordance with the Redevelopment Plan (as defined in the Bond Resolution) and as described in Exhibit "A" of the Bond Resolution (the "Series 2015 Redevelopment Project"), (ii) refund the Outstanding Prior Bonds, as described in the Bond Resolution, (iii) fund the Debt Service Reserve Account, and (iv) pay costs of issuance of the Series 2015 Bonds. It shall be a condition to the obligation of the Agency to sell and deliver the Series 2015 Bonds to the Underwriters, and to the obligation of the Underwriters to purchase and accept delivery of the Series 2015 Bonds, that the entire aggregate principal amount of the Series 2015 Bonds shall be sold and delivered by the Agency and accepted and paid for by the Underwriters at the Closing. The Underwriters agree to make a bona fide public offering of substantially all of the Series 2015 Bonds to the public at initial public offering prices not greater than (or yields not less than) the initial public offering prices (or yields) set forth in the Official Statement; provided, however, that the Undenvriters reserve the right to make concessions to certain dealers, certain dealer banks and banks acting as agents and to change such initial public offering prices as the Underwriters shall deem necessary in connection with the marketing of the Series 2015 Bonds. At the Closing, the Underwriters shall deliver to the Agency a certificate, in a form acceptable to Bond Counsel, stating the facts of the sale of the Series 2015 Bonds in a manner such that the issue price can reasonably be established. The Official Statement shall be provided for distribution, at the expense of the Agency, in such quantity as may be requested by the Underwriters no later than the earlier of (i) seven (7) business days after the date hereof, or (ii) one (1) business day prior to the Closing date, in order to permit the Underwriters to comply with Rule l5c2-12 (the "Rule") of the Securities and Exchange Commission ("SEC"), and the applicable rules of the Municipal Securities Rulemaking Board ("MSRB"), with respect to distribution of the Official Statement The Senior Managing Underwriter agrees to file the Official Statement with the Electronic Municipal Market Access system ("EMMA") (accompanied by a completed Form G-32) by the date of Closing. The filing of the Official Statement with EMMA shall be in accordance with the terms and conditions applicable to EMMA. From the date hereof until the earlier of (i) ninety days from the "end of the underwriting period" (as defined in the Rule), or (ii) the time when the Official Statement is available to any person from the MSRB (but in no case less than twenty-five (25) days following the end of the underwriting period), if any event (e) (0 1263 occurs or a condition or circumstance exists which may make it necessary to amend or supplement the Official Statement in order to make the statements therein, in the light of the circumstances under which they were made, not misleading, the party discovering such event, condition or occurrence shall notify the other party and if, in the reasonable opinion of the Agency or the reasonable opinion of the Senior Managing Underwriter, such event requires the preparation and publication of an amendment or supplement to the Official Statement, the Agency, at its expense, will promptly prepare an appropriate amendment or supplement thereto, in a form and in a manner reasonably approved by the Senior Managing Underwriter (and file, or cause to be filed, the same with the MSRB, and mail such amendment or supplement to each record owner of the Series 2015 Bonds) so that the statements in the Official Statement, as so amended or supplemented, will not, in light of the circumstances under which they were made, be misleading. Each party will promptly notify the other parties of the occurrence of any event of which it has knowledge or the discovery of such conditions or circumstance, which, in its reasonable opinion, is an event described in the preceding sentence, Notwithstanding the foregoing, if prior to the Closing either the Agency or the Underwriters hereto does not in good faith approve the form and manner of such supplement or amendment, the other may terminate this Purchase Agreement. The parties agree to cooperate in good faith with regard to the form and manner of the supplement or amendment to the Official Statement. Unless the Agency is otherwise notified by the Underwriters in writing on or prior to the date of Closing, the end of the underwriting period for the Series 2015 Bonds for all purposes of the Rule and this Purchase Agreement is the date of Closing. In the event the written notice described in the preceding sentence is given by the Underwriters to the Agency, such written notice shall specify the date after which no participating underwriter, as such term is defined in the Rule, remains obligated to deliver Official Statements pursuant to paragraph (b)(a) of the Rule. (g) The Agency hereby approves and authorizes the delivery and distribution of the Preliminary Official Statement and the execution, delivery and distribution of the Official Statement in substantially the form of the Preliminary Official Statement, together with such other changes, amendments or supplements as shall be made and approved in writing by the Senior Managing Underwriter and the Agency prior to the Closing in connection with the public offering and sale of the Series 2015 Bonds. SECTION 2. The Agency represents and warrants to and agrees with the Underwriters as follows: (a) The Bond Resolution was adopted by the Commission at meetings duly called and held in open session upon requisite prior public notice pursuant to the laws of the State of Florida and the standing resolutions and rules of procedure of the Commission. The Agency has full right, power and authority to adopt the Bond Resolution. On the date hereof, the Bond Resolution is, and, at the Closing shall 1264 (b) be, in full force and effect, and no portions thereof have been or shall have been supplemented, repealed, rescinded or revoked. The Bond Resolution constitutes the legal, valid and binding obligation of the Agency, enforceable in accordance with its terms. The Bond Resolution creates a lien upon and pledge of Pledged Funds, for the payment of principal and interest on the Series 201 5 Bonds. As of their respective dates and, with respect to the Official Statement, at the time of Closing, the statements and information contained in the Preliminary Official Statement and the Official Statement are and will be accurate in all material respects for the purposes for which their use is authorized, and do not and will not contain any untrue statement of a material fact or omit to state any material fact necessary to make the statements therein, in the light of the circumstances under which they were made, not misleading. In addition, any amendments to the Preliminary Official Statement and the Official Statement prepared and furnished by the Agency pursuant hereto will not contain any untrue statement of a material fact or omit to state any material fact necessary to make the statements therein, in the light of the circumstances under which they were made, not misleading. The Series 2015 Bonds, the Bond Resolution, the Escrow Deposit Agreements relating to the refunding of the Prior Outstanding Bonds (the "Escrow Deposit Agreements") and the Disclosure Dissemination Agent Agreement relating to the Series 2015 Bonds (the "Continuing Disclosure Agreement") conform to the descriptions thereof set forth in the Official Statement. The Agency is not in breach of or default under any applicable constitutional provision, law or administrative regulation of the State of Florida or the United States, or any agency or department of either, or any applicable judgment or decree or any loan agreement, indenture, bond, note, resolution, agreement or other instrument to which the Agency is a party or to which the Agency or any of its properties or other assets is otherwise subject, and no event has occurred and is continuing which, with the passage of time or the giving of notice, or both, would constitute a default or event of default under any such instrument, in any such case to the extent that the same would have a material and adverse effect upon the business or properties or financial condition of the Agency, including the Agency's receipts of the Trust Fund Revenues (as defined in the Bond Resolution) in the amount contemplated by the Official Statement; and the execution and delivery of the Series 2015 Bonds, the Continuing Disclosure Agreement, the Escrow Deposit Agreements and this Purchase Contract and the adoption of the Bond Resolution, and compliance with the provisions on the Agency's part contained in each, will not conflict with or constitute a breach of or default under any constitutional provision, law, administrative regulation, judgment, decree, loan agreement, indenture, bond, note, resolution, agreement or other instrument to which the Agency is a party or to which the Agency or any of its properties or other assets is otherwise subject, nor will any such execution, delivery, adoption or compliance result in the creation or imposition of any lien, charge or other security interest or encumbrance of any nature whatsoever upon any of the properties or the assets of the Agency under the terms of any such law, (c) 1265 (d) (e) regulation or instrument, except as provided or permitted by the Series 2015 Bonds and the Bond Resolution. As of its date, the Preliminary Official Statement was deemed "final" (except for permitted omissions) by the Agency fbr purposes of paragraph (b)(1) of the Rule. On the date hereof, the Commission is the governing body of the Agency and the Agency is, and will be on the date of the Closing, duly organized and validly existing as a community Redevelopment agency under the Act, with the power and authority set forth therein. The Agency has full right, power and authority to issue, sell and deliver the Series 2015 Bonds to the Underwriters as described herein; to provide funds to finance the Series 2015 Redevelopment Project and to refinance the Outstanding Prior Bonds; to enter into this Purchase Agreement, the Escrow Deposit Agreements and the Continuing Disclosure Agreement (collectively, the "Bond Documents"), to issue and deliver the Series 2015 Bonds as provided in this Purchase Agreement and the Bond Resolution, to apply the proceeds of the sale of the Series 2015 Bonds for the purposes described herein and in the Official Statement, to execute and deliver the Bond Documents, and to carry out and consummate the transactions contemplated by the aforesaid documents. At meetings of the Commission that were duly called and at which a quorum was present and acting throughout, the Commission approved the execution and delivery of the Series 2015 Bonds and the Bond Documents; authorized the execution and delivery of the Official Statement; and authorized the use of the Official Statement in connection with the public offering of the Series 2015 Bonds. The Agency represents that it will have no bonds or other indebtedness outstanding that are secured by the Pledged Funds, other than as described in the Official Statement. All conditions and requirements of the Bond Resolution relating to the issuance of the Series 2015 Bonds have been complied with or fulfilled, or will be complied with or fulfilled on the date of Closing. Since September 30, 2014, there has been no material adverse change in the financial position, results of operations or condition, hnancial or otherwise, of the Agency other than as disclosed in the Official Statement and the Agency has not incurred liabilities that would materially adversely affect its ability to discharge its obligations under the Bond Resolution or the Bond Documents, direct or contingent, other than as disclosed in the Official Statement. No authortzation, approval, consent or license of any governmental body or authority, not already obtained, is required for the valid and lawful execution and delivery by the Agency of the Series 2015 Bonds, the Bond Documents, the Official Statement, the adoption of the Bond Resolution, and the performance of its obligations thereunder or as contemplated thereby; provided, however, that no representation is made concerning compliance with the registration requirements (0 (e) (h) (i) 1266 of the states. federal securities laws or the securities or Blue Sky laws of the various The Agency is not and has not been in default on any bond issued since December 31,1975 that would be considered material by a reasonable investor. Except as disclosed in the Official Statement, there is no claim, action, suit, proceeding, inquiry or investigation, at law or in equity, before or by any court, governmental agency, or public board or body, pending or, to the best of its knowledge, threatened: (i) contesting the corporate existence or powers of the Agency or the Commission, or the titles of the officers of the Agency or the Commission to their respective offices; (ii) seeking to prohibit, restrain or enjoin the sale, issuance or delivery of the Series 2015 Bonds or the collection of the Trust Fund Revenues, pledged to pay the principal of and interest on the Series 2015 Bonds in the manner and to the extent provided in the Bond Resolution, or the application of the proceeds of the Series 2015 Bonds or in which an unfavorable decision, ruling or finding would materially adversely affect the financial position of the Agency or the validity or enforceability of the Series 2015 Bonds, the Bond Resolution or the Bond Documents; (iii) contesting in any way the completeness or accuracy of the Official Statement; (iv) adversely affect the exclusion of interest on the Series 2015 Bonds from gross income for federal income tax purposes; or (v) challenging the Agency's ownership or operation of the Series 2015 Redevelopment Project or any Redevelopment Projects, nor, to the best knowledge of the Agency, is there any basis therefor. When duly executed and delivered, the Series 2015 Bonds, and the Bond Documents will have been duly authorized, executed, issued and delivered and will constitute valid and binding obligations of the Agency, enforceable in accordance with their respective terms, except insofar as the enforcement thereof may be limited by bankruptcy, insolvency or similar laws relating to the enforcement of creditors' rights. The Agency will furnish such information, execute such instruments and take such other action in cooperation with the Senior Managing Underwriter as the Senior Managing Underwriter may reasonably request to: (i) qualify the Series 2015 Bonds for offer and sale under the "blue sky" or other securities laws and regulations of such states and other jurisdictions of the United States of America as the Senior Managing Underwriter may designate; (ii) determine the eligibility of the Series 2015 Bonds for investment under the laws of such states and other jurisdictions; and (iii) continue such qualifications in effect so long as required for the distribution of the Series 2015 Bonds; provided that the Agency will not be required to qualify to do business or submit to service of process in any such jurisdiction. The Agency has not been notified of any listing or the proposed listing of the Agency by the Internal Revenue Service as an issuer whose arbitrage certifications may not be relied upon. 0) (k) (l) (m) (n) 1267 (o) Any certificate signed by any official of the Agency and delivered Underwriters will be deemed to be a representation by the Agency Underwriters as to the statements made therein. (u) The Agency will undertake, pursuant to the Continuing Disclosure Agreement, to provide or cause to be provided to the MSRB certain annual financial information and certain notices of material events, as more fully set forth in the Continuing Disclosure Agreement. A description of the undertaking will be set forth in the Official Statement. The Financial Statements included in the Official Statement have been prepared in accordance with generally accepted accounting principles applied on a consistent basis with that of the audited combined financial statements of the Agency and fairly present the financial condition and results of the operations of the Agency at the dates and for the periods indicated. The Agency will provide to the rating agencies rating the Series 2015 Bonds appropriate periodic credit information necessary for maintaining the ratings on the Series 2015 Bonds. Except as disclosed in the Official Statement, within the last five (5) years, the Agency has not failed to comply in all material respects with any continuing disclosure undertaking made by it pursuant to the Rule in connection with outstanding bond issues for which the Agency has agreed to undertake continuing disclosure obligations. At the time of Closing, the Agency will be in compliance in all respects with the covenants and agreements contained in the Bond Resolution and no Event of Default, nor an event which, with the lapse of time or giving of notice, or both, would constitute an Event of Default under the Bond Resolution will have occurred or be continuing. The Agency will not take or omit to take any action which action or omission will in any way cause the proceeds from the sale of the Series 2015 Bonds to be applied in a manner contrary to that provided for or permitted in the Bond Resolution and as described in the Official Statement. No representation or warranty by the Agency in this Purchase Agreement, nor any statement, certificate, document or exhibit fumished to or to be furnished by the Agency pursuant to this Purchase Agreement contains, or will contain on the Closing date, any untrue statement of material fact. Between the date of this Purchase Agreement and the date of Closing, the Agency will not, without the prior written consent of the Senior Managing Underwriter, offer or issue any bonds, notes or other obligations for borrowed money, and the Agency will not incur any material liabilities, direct or contingent, nor will there be any adverse change of a material nature in the financial position, results of to the to the (p) (q) (r) (s) (t) (v) (w) 1268 operations or condition, financial or otherwise, of the Agency, other than (i) as contemplated by the Oftrcial Statement, or (ii) in the ordinary course of business. SECTION 3. On or before the acceptance by the Agency of this Purchase Agreement, the Underwriters shall receive from the Agency certified copies of the Bond Resolution. SECTION 4. At l0:00 a.m. (Eastern Time) on ,2015, or at such earlier or later time or date as the parties hereto mutually agree upon (the "Closing"), the Agency will cause to be delivered to the Underwriters, at the offices of Squire Patton Boggs (US) LLP ("Bond Counsel"), in the Agency of Miami, Florida or at such other place upon which the parties hereto may agree, the documents mentioned in Section 5(b) of this Purchase Agreement and shall release the Series 2015 Bonds, in the form of one typewritten, fully registered bond with a CUSIP identification number thereon for each maturity of the Series 2015 Bonds, duly executed and authenticated and registered in the name of Cede & Co., as nominee for DTC, through the DTC FAST System to the Underwriters. At the Closing, the Underwriters shall evidence their acceptance of delivery of the Series 2015 Bonds and pay the purchase price of the Series 2015 Bonds as set forth in Section 1(a) of this Purchase Agreement. SECTION 5. The Underwriters have entered into this Purchase Agreement in reliance upon the representations and agreements of the Agency herein and the performance by the Agency of its obligations hereunder, both as of the date hereof and as of the date of Closing. The Agency's and the Underwriters' obligations under this Purchase Agreement are and will be subject to the following further conditions : (a) at the time of Closing: (i) the Bond Resolution and the Bond Documents will be in full force and effect and will not have been amended, modified or supplemented, except as may have been agreed to in writing by the Senior Managing Underwriter; (ii) the proceeds of the sale of the Series 2015 Bonds shall be applied as described in the Official Statement; and (iii) the Commission shall have duly adopted and there shall be in full force and effect, resolutions as, in the opinion of Bond Counsel, shall be necessary in connection with the transactions contemplated hereby; (b) at or prior to the Closing, the Underwriters shall receive the following documents: (i) the opinion of Bond Counsel with respect to the Series 2015 Bonds, dated the date of Closing, substantially in the form attached to the Offrcial Statement as Appendi* _, either addressed to the Underwriters and the Agency or accompanied by a letter addressed to the Underwriters indicating that it may rely on said opinion as if it were addressed to them; 1269 (ii)a supplemental opinion of Bond Counsel, dated the date of the Closing and addressed to the Underwriters to the effect that: (A) they have reviewed the statements in the Official Statement under the captions ["INTRODUCTION", "PURPOSE OF THE SERTES 2015 BONDS", "THE SERIES 2015 BONDS" (except for information under the subheading "Book-Entry Only System"), and "SECURITY FOR THE SERIES 2015 BONDS" (except for the information under the subheading "RESERVE ACCOUNT"),] and believe that, insofar as such statements purport to summarize certain provisions of the Series 2015 Bonds and the Bond Resolution, such statements present an accurate summary of such provisions; (B) they have reviewed the statements in the Official Statement under the caption "TAX MATTERS" and believe that such statements are accurate; and (C) the Series 2015 Bonds are exempt from the registration requirements of the Securities Act of 1933, as amended (the "1933 Act") and the Bond Resolution is exempt from qualification under the Trust Indenture Act of 1939, as amended (the "1939 Act"); the opinion of the Law Offices of Steve E. Bullock, P.A., Disclosure Counsel to the Agency, dated the date of Closing and either addressed to the Underwriters and the Agency or accompanied by a letter addressed to the Underwriters indicating that it may rely on said opinion as if it were addressed to them, in form and substance acceptable to the Agency and the Underwriters, (i) to the effect that nothing has come to its attention which leads it to believe that the Official Statement contains any untrue statement of a material fact or omits to state a material fact required to be stated therein or necessary to make the statements therein, in light of the circumstances under which they were made, not misleading, (ii) the Continuing Disclosure Agreement complies, in all material respects, with the requirements of Rule 15(c)2-12(b)(5), and (iii) the Series 2015 Bonds are exempt from the registration requirements of the 1933 Act and the Bond Resolution is exempt from qualification under the 1939 Act; the opinion of Raul Aguila, Esq., Counsel to the Agency, dated the date of Closing and addressed to the Underwriters and the Agency, to the effect that: (A) the Commission is the governing body of the Agency and the Agency is validly existing as a public agency created under the Act, with all corporate power necessary to conduct the operations described in the Official Statement and to carry out the transactions contemplated by this Purchase Agreement; (B) the Agency has obtained all governmental consents, approvals and authorizations necessary for execution and delivery of the Bond Documents, for issuance of the Series 2015 Bonds and for execution and delivery of the Official Statement and consummation of the transactions contemplated thereby and hereby; (C) the Agency has full legal right, power and authority to pledge and grant a lien on the Trust Fund Revenues, for the security of the Series 2015 Bonds on parity and equal status with any other Bonds issued pursuant to the (iii) (iv) 10 1270 Bond Resolution; (D) the Agency has duly adopted the Bond Resolution and approved the form, execution, distribution and delivery of the Official Statement and the other Bond Documents; (E) the Series 2015 Bonds and the Bond Documents have each been duly authorized, executed and delivered by the Agency and, assuming due authorization, execution and delivery thereof by the other parties thereto, if any, each constitutes a valid and binding agreement of the Agency, enforceable in accordance with its terms; (F) the information in the Official Statement with respect to the Agency (excluding financial, statistical and demographic information and information relating to DTC, as to which no opinion need be expressed) is, to the best knowledge of such counsel after due inquiry with respect thereto, correct in all material respects and does not omit any matter necessary in order to make the statements made therein regarding such matters, in light of the circumstances under which such statements are made, not misleading, and, based on its participation as counsel to the Agency, such counsel has no reason to believe that the Official Statement (excluding financial, statistical and demographic information (and information relating to DTC) contained as of its date or contains any untrue statement of a material fact or omitted or omits to state any material fact necessary to make the statements therein, in light of the circumstances under which they were made, not misleading; (G) except as disclosed in the Official Statement under the caption "LITIGATION," there is no action, suit, proceeding or investigation at law or in equity before or by any court, public board or body pending or, to the best of knowledge of such counsel, threatened, against or affecting the Commission or the Agency challenging the validity of the Series 2015 Bonds, the Bond Resolution, the Bond Documents, or any of the transactions contemplated thereby or by the Official Statement, or challenging the existence of the Agency or the respective powers of the several offices of the officials of the Agency or the titles of the officials holding their respective offices, or challenging the Agency's ownership or operation of the Redevelopment Projects or the pledge of the Trust Fund Revenues for the payment of the Series 2015 Bonds in the manner and to the extent provided in the Bond Resolution, nor is there any basis therefor; (H) the execution and delivery of the Bond Documents and the issuance of the Series 2015 Bonds, and compliance with the provisions thereof, under the circumstances contemplated thereby, do not and will not in any material respect conflict with or constitute on the part of the Agency a breach of or default under, or result in the creation of a lien on any property of the Agency (except as contemplated therein) pursuant to any note, mortgage, deed of trust, indenture, resolution or other agreement or instrument to which the Commission or the Agency is a party, or any existing law, regulation, court order or consent decree to which the Commission or the Agency is subject; a certificate, dated the date of Closing, signed on behalf of the Agency by the Chairman and Executive Director of the Agency, setting forth such 11 (r) 1271 matters as the Senior Managing Underwriter may reasonably require, including that each of the representations of the Agency contained in Section 2 hereof were true and accurate in all material respects on the date when made, has been true and accurate in all material respects at all times since, and continues to be true and accurate in all material respects on the date of Closing as if made on such date; and stating that to the best of their knowledge, ro event affecting the Agency, the Series 2015 Redevelopment Project or the Series 2015 Bonds has occurred since the date of the Official Statement which should be disclosed therein for the purpose for which it is used or which is necessary to disclose therein in order to make the statements and information therein not misleading in any material respect as of the date of Closing; a customary signature certificate, dated the date of Closing, signed on behalf of the Agency by the Secretary of the Agency; (vi) (ix) (vii) letters from Moody's Investors Service, Inc. ("Moody's") and Standard & Poor's Ratings Services ("S&P") addressed to the Agency, to the effect that the Series 2015 Bonds have been assigned ratings of "_" and "_" with a "_ outlook," respectively, which ratings shall be in effect as of the Closing date; (viii) a customary authorization and incumbency certificate, dated the date of Closing, signed by authorized officers of the Bond Registrar; copies of the Blue Sky Survey and Legal Investment Survey, if any, prepared by Counsel to the Underwriters, indicating the jurisdictions in which the Series 2015 Bonds may be sold in compliance with the "blue sky" or securities laws of such jurisdictions; (x) such additional documents as may be required by the Bond Resolution to be delivered as a condition precedent to the issuance of the Series 2015 Bonds; (xi)such additional legal opinions, proceedings, instruments and other documents as the Senior Managing Underwriter, Underwriters' Counsel or Bond Counsel may reasonably request. All of the opinions, letters, certificates, instruments and other documents mentioned in this Purchase Agreement shall be deemed to be in compliance with the provisions of this Purchase Agreement ii but only if, in the reasonable judgment of the Senior Managing Underwriter and Underwriters' Counsel, they are satisfactory in form and substance. SECTION 6. If the Agency shall be unable to satisfy the conditions to the Underwriters' obligations contained in this Purchase Agreement or if the Underwriters'obligations are terminated for any reason permitted by this Purchase Agreement, this Purchase Agreement shall terminate and the t2 1272 Underwriters and the Agency shall have no further obligation hereunder, except that the respective obligations of the parties hereto provided in Section 7 hereof shall continue in full force and effect and the Agency shall return the Good Faith Deposit as provided in Section l(b). SECTION 7. The following costs and expenses relating to the transaction contemplated or described in this Purchase Agreement shall be bome and paid by the Agency regardless of whether the transaction contemplated herein shall close: printing of Series 2015 Bonds; printing or copying of closing documents (including the Preliminary Official Statement and the Official Statement) in such reasonable quantities as the Underwriters may request; fees and disbursements of Bond Counsel; fees and disbursements of the Financial Advisor; any accounting fees; the Bond Registrar fees; fees of the rating agencies; and any other fees as described in Schedule A-1 hereto. The Agency shall pay any expenses incurred by the Underwriters on behalf of the Agency and its staff in connection with the marketing, issuance and delivery of the Series 2015 Bonds, including, but not limited to, meals, transportation and lodging of the Agency's employees and representatives; the Agency's obligations in regard to these expenses survive even if the underlying transaction fails to close or consummate. The Underwriters will pay: (i) the fees and disbursements of Underwriters' Counsel; (ii) all advertising expenses in connection with the public offering of the Series 2015 Bonds; and (iii) the cost of preparing, printing and distributing the Blue Sky and Legal Investment Surveys, if any, and the filing fees required by the "blue sky" laws of various jurisdictions. SECTION 8. The Agency acknowledges and agrees that: (i) the transactions contemplated by this Purchase Agreement are arm's length, commercial transactions between the Agency and the Underwriters in which the Underwriters are acting solely as a principal and are not acting as a municipal advisor, financial advisor or fiduciary to the Agency; (ii) the Underwriters have not assumed any advisory or fiduciary responsibility to the Agency with respect to the transactions contemplated hereby and the discussions, undertakings and procedures leading thereto (irrespective of whether the Underwriters or their affiliates have provided other services or are currently providing other services to the Agency on other matters); (iii) the only obligations the Underwriters have to the Agency with respect to the transaction contemplated hereby expressly are set forth in this Purchase Agreement; (iv) the Agency has consulted its own financial and/or municipal, legal, accounting, tax, and other advisors, as applicable, to the extent it has deemed appropriate and (v) the Underwriters have financial and other interests that differ from those of the Agency. The primary role of the Underwriters, is to purchase the Series 2015 Bonds, for resale to investors, in an arm's-length commercial transaction between the Agency and the lJnderwriters. (a) (b) 13 1273 SECTION 9. The Underwriters shall have the right to cancel their obligations hereunder by if the Senior Managing Underwriter notifies the Agency in writing of their election to do so between the date hereof and the Closing if, at any time hereafter and on or prior to the Closing: (a)A committee of the House of Representatives or the Senate of the Congress of the United States shall have pending before it legislation, or a tentative decision with respect to legislation shall be reached by a committee of the House of Representatives or the Senate of the Congress of the United States of America, or legislation shall be favorably reported by such a committee or be introduced, by amendment or otherwise, in, or be passed by, the House of Representatives or the Senate, or recommended to the Congress of the United States of America for passage by the President of the United States of America, or be enacted by the Congress of the United States of America, or an announcement or a proposal for any such legislation shall be made by a member of the House of Representatives or the Senate of the Congress of the United States, or a decision by a court established under Article III of the Constitution of the United States of America or the Tax Court of the United States of America shall be rendered, or a ruling, regulation, or order of the Treasury Department of the United States of America or the Internal Revenue Service shall be made or proposed having the purpose or effect of imposing federal income taxation, or any other event shall have occurred which results in or proposes the imposition of federal income taxation, upon revenues or other income of the general character to be derived by the Agency, any of its affiliates, state and local governmental units or by any similar body or upon interest received on obligations of the general character of the Series 2015 Bonds which, in the Senior Managing Underwriter's opinion, materially and adversely affects the market price of the Series 2015 Bonds. Any legislation, ordinance, rule, or regulation shall be introduced in or be enacted by any governmental body, department, or agency of the United States or of any state, or a decision by any court of competent jurisdiction within the United States or any state shall be rendered which, in the Senior Managing Underwriter's reasonable opinion, materially adversely affects the market price of the Series 2015 Bonds. A stop order, ruling, regulation, or official statement by, or on behalf of, the SEC or any other governmental agency having jurisdiction of the subject matter shall be issued or made to the effect that the issuance, offering, or sale of obligations of the general character of the Series 2015 Bonds, or the issuance, offering, or sale of the Series 2015 Bonds, including all the underlying obligations, as contemplated hereby or by the Official Statement, is in violation or would be in violation of any provisions of the federal securities laws as amended and then in effect, including without limitation the registration provisions of the 1933 Act, or the registration provisions of the Securities Exchange Act of 1934 (the "1934 Act"), or the qualihcation provisions of the 1939 Act. (b) (c) t4 1274 (d)Legislation shall be introduced by amendment or otherwise in, or be enacted by, the Congress of the United States of America, or a decision by a court of the United States of America shall be rendered to the effect that obligations of the general character of the Series 2015 Bonds, including all the underlying obligations, are not exempt from registration under or from other requirements of the 1933 Act or the 1934 Ac! or with the purpose or effect of otherwise prohibiting the issuance, offering, or sale of obligations of the general character of the Series 2015 Bonds, as contemplated hereby or by the Official Statement. Any event shall have occurred, or information shall have become known, which, in the Senior Managing Underwriter's reasonable opinion, makes untrue in any material respect any representation by or certificate of the Agency hereunder, or any statement or information furnished to the Underwriters by the Agency for use in connection with the marketing of the Series 2015 Bonds or any material statement or information contained in the Official Statement as originally circulated contains an untrue statement of a material fact or omits to state a material fact necessary in order to make the statements made, in light of the circumstances under which they were made, not misleading; provided, however, that the Agency shall be granted a reasonable amount of time in which to cure any such untrue or misleading statement or information. Additional material restrictions not in force as of the date hereof shall have been imposed upon trading in securities generally by any governmental authority or by any national securities exchange. The New York Stock Exchange or any other national securities exchange, or any governmental authority, shall impose, as to Series 2015 Bonds or obligations of the general character of the Series 2015 Bonds, any material restrictions not now in force, or increase materially those now in force, with respect to the extension of credit by, or a change to the net capital requirements of, the Underwriters. A general banking moratorium or suspension or limitation of banking services shall have been established by federal, Florida or New York authorities or a major financial crisis or material disruption in commercial banking or securities settlement or clearance services shall have occurred. Any proceeding shall be pending, or to the knowledge of the Underwriters, threatened, to restrain, enjoin, or otherwise prohibit the issuance, sale, or delivery of the Series 2015 Bonds by the Agency or the purchase, offering, sale, or distribution of the Series 2015 Bonds by the Underwriters, or for any investigatory or other proceedings under any federal or state securities laws or the rules and regulations of the National Association of Securities Dealers, Inc. relating to the issuance, sale, or delivery of the Series 2015 Bonds by the Agency or the purchase, offering, sale, or distribution of the Series 2015 Bonds by the Underwriters. (e) (0 (e) (h) (i) 15 1275 (k) There shall have occurred any new outbreak or escalation of hostilities, any declaration by the United States of war or any national or international calamity or crisis, the effect of such outbreak, escalation, declaration, calamity or crisis being such as would cause a major disruption in the municipal bonds market and as, in the reasonable judgment of the Senior Managing Underwriter, would make it impracticable or inadvisable for the Underwriters to market the Series 2015 Bonds or to enforce contracts for the sale of the Series 2015 Bonds. Prior to Closing, any of the rating agencies which have rated the Series 2015 Bonds shall inform the Agency or the Underwriters that the Series 2015 Bonds will be rated lower than the respective rating published in the Official Statement or there shall have occurred or any notice shall have been given of any downgrading, suspension, withdrawal, or negative change of credit watch status by any national rating service to any Bonds. There shall have occurred, after the signing hereof, either a financial crisis with respect to the Agency or any agency or political subdivision thereof or proceedings under the bankruptcy laws of the United States or the State of Florida shall have been instituted by the Agency, in either case the effect of which, in the reasonable judgment of the Senior Managing Underwriter, is such as to materially and adversely affect the market price or the marketability of the Series 2015 Bonds or the ability of the Underwriters to enforce contracts of the sale of the ,Series 2015 Bonds. SECTION 10. Any notice or other communication to be given under this Purchase Agreement may be given by delivering the same in writing as follows: To the Agency at: Miami Beach Redevelopment Agency c/o City of Miami Beach, Florida 1700 Convention Center Drive Miami Beach, FL 33139 Attention: John Woodruff, Interim Chief Financial Officer To the Underwriters (as the Senior Managing Underwriter, the representative on behalf of the Underwriters) at: Morgan Stanley & Co., LLC 1560 Sawgrass Corp Pkwy, Suite 479 Sunrise, Florida 33323 Attention: J.W. Howard 0) 0) t6 1276 SECTION 11. This Purchase Agreement is made solely for the benefit of the Agency and the Underwriters (including the successors or assigns of the Underwriters), and no other person, partnership, association or corporation shall acquire or have any right hereunder or by virtue hereof. SECTION 12. All the representations, warranties and agreements of the Underwriters and the Agency in this Purchase Agreement shall remain operative and in full force and effect and shall survive delivery of and payment for the Series 2015 Bonds hereunder regardless of any investigation made by or on behalf of the Underwriters. SECTION 13. This Purchase Agreement shall be governed by and construed in accordance with the laws of the State of Florida. SECTION 14. This Purchase Agreement may be executed in any number of counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same agreement; such counterparts may be delivered by facsimile transmission. [Signature Page to FollowJ t7 1277 If the foregoing is acceptable to you, please sign below and this Purchase Agreement will become a binding agreement between the Agency and the Underwriters. Very Truly Yours, MORGAN STANLEY & CO. LLC, on behalf of itself and WELLS FARGO BANK, NATIONAL ASSOCIATION, MERzuLL LYNCH, PIERCE, FENNER & SMITH INCORPORATED, RAYMOND JAMES & ASSOCIATES, INC., and LOOP CAPITAL MARKETS LLC By: Name: Title: Accepted and confirmed as of the date first above written: MIAMI BEACH REDEVELOPMENT AGENCY By: Name: Title:Chairperson APPROVED AS TO FORM & LANGUAGE & FOR EXECUTION Au-C,(- :EP Redevelopment Agency - Date ' Gene'ral Couniel 'y'?.f 18 1278 EXHIBIT A (Disclosure and Truth-in-Bonding Statement) $_ MIAMI BEACH REDEVELOPMENT AGENCY Tax Increment Revenue Bonds, Series 201 5 (City Center/Historic Convention Village) ,2015 Board of Commissioners of the Miami Beach Redevelopment Agency 1700 Convention Center Drive Miami Beach, Florida 33139 Ladies and Gentlemen: In connection with the proposed execution and delivery of the $Miami Beach Redevelopment Agency Tax Increment Revenue Bonds, Series 2015 (City Center/Historic Convention Village) (the "series 2015 Bonds"), Morgan Stanley & Co. LLC (the "Senior Managing Underwriter"), acting on behalf of itself Wells Fargo Bank, National Association, Merrill Lynch, Pierce, Fenner & Smith Incorporated, Raymond James & Associates, Inc., and Loop Capital Markets LLC (collectively, with the Senior Managing Underwriter, the "Underwriters"), has agreed to underwrite a public offering of the Series 2015 Bonds. Arrangements for underwriting the Series 2015 Bonds will include a Bond Purchase Agreement between the Miami Beach Redevelopment Agency (the "Agency") and the Underwriters which will embody the negotiations in respect thereof (the "Purchase Agreement"). The purpose of this letter is to furnish, pursuant to the provisions of Section 218.385, Florida Statutes, as amended, certain information in respect of the arangements contemplated for the underwriting of the Series 2015 Bonds as follows: (a) The nature and estimated amounts of expenses to be incurred by the Underwriters in connection with the purchase and reoffering of the Series 2015 Bonds are set forth in schedule A-1 attached hereto. No person has entered into an understanding with the Underwriters or, to the knowledge of the Underwriters, with the Agency for any paid or promised compensation or valuable consideration, directly or indirectly, expressly or implied, to act solely as an intermediary between the Agency and the Underwriters or to exercise or attempt to exercise any influence to effect any transaction in connection with the purchase of the Series 2015 Bonds by the Underwriters. (b) The total underwriting spread is $($(c) Exhibit A-1 /$1,000 of Bonds). 1279 (e) (0 (d) The Management Fee is $_ ($_/$1,000 of Bonds). The Underwriters' Expenses are $($/$i,000 of Bonds). No other fee, bonus or other compensation has been or will be paid by the Underwriters in connection with the issuance of the Series 2015 Bonds to any person not regularly employed or retained by the Underwriters, except Underwriters' Counsel, Greenberg Traurig, P.A., as shown on Schedule A-l hereto, including any "finder" as defined in Section 218.386(1)(a), Florida Statutes, as amended. The names and addresses of the Underwriters are: Morgan Stanley & Co. LLC 1560 Sawgrass Corp Pkurry, Suite 479 Sunrise, Florida 33323 Attn: J.W. Howard Wells Fargo Bank, National Association 2363 Gulf-to-Bay Blvd, Suite 200 Clearwater, Florida 337 65 Attn: J. Michael Olliff Bank of America Merrill Lynch 355 Alhambra Circle, Suite 1360 Coral Gables, Florida 33134 Attn: Jose R. Pagan Raymond James & Associates, Inc. Attn: (e) (h) Loop Capital Markets LLC 1l I West Jackson Blvd., Suite 1901 Chicago, Illinois 60604 Attn: Deborah Knox The Agency is proposing to issue $- principal 2015 Bonds, as described in the Official Statement dated amount of the Series 2015 relating to the Series 2015 Bonds (the "Official Statement"). These obligations are expected to be repaid over a period of approximately - years. At a true interest cost rate of _Yo,total interest paid over the life of the Series 2015 Bonds will be $. Proceeds of the Series 2015 Bonds will provide funds, together with other available funds, to (i) pay the costs of certatn redevelopment projects, (ii) refinance the Outstanding Prior Bonds, (iii) [fund required reserves, and (iv)l pay costs of issuance of the Series 2015 Bonds. Exhibit A-2 1280 (i)The anticipated source of repayment or security for the Series 2015 Bonds is the Trust Fund Revenues (as defined in the Bond Resolution, which in turn is defined in the Purchase Agreement). Authorizing these obligations will result in an annual amount of approximately $(total debt service divided by _ years) of the aforementioned funds not being available each year to finance the other services of the Agency over a period of approximately _ years. [Remainder of page intentionally left blank] Exhibit A-3 1281 We understand that you do not require any further disclosure from the Underwriters pursuant to Section 218.385, Florida Statutes, as amended. Very Truly Yours, MORGAN STANLEY & CO. LLC, on behalf of itself and WELLS FARGO BANK, NATIONAL ASSOCIATION, MERRILL LYNCH, PIERCE, FENNER &, SMITH INCORPORATED, RAYMOND JAMES & ASSOCIATES, INC., and LOOP CAPITAL MARKETS LLC By: Name: Title: Exhibit A-4 1282 SCHEDULE "A-1" DETAILED BREAKDOWN OF UNDERWRITERS' DISCOUNT MIAMI BEACH REDEVELOPMENT AGENCY Tax Increment Revenue Bonds, Series 2015 (City Center / Historic Convention Village) Spread Breakdown Underwriter/Takedown : Expenses: Total Exoense Breakdown Total $/$ I "000 $/$ 1.000 Amount Amount $ $ Schedule A-l 1283 EXHIBIT B $ MIAMI BEACH REDEVELOPMENT AGENCY Tax Increment Revenue Bonds, Series 2015 (City Center / Historic Convention Village) MATURITIES, PRINCIPAL AMOUNTS, INTEREST RATES, YIELDS AND PRICES $ Serial Bonds Maturity Principal( 1) Amount Interest Rate Yield Price $_ _% Term Bond Due _ 1, _i Yield _Yq Pnce _oh$_ _% Term Bond Due _ 1, _; Yield _Yq Price _o/o [Insert Redemption Provisions] MIA 184716594v2 Exhibit B-l 1284 DISCLOSURE DISSEMINATION AGENT AGREEMENT This Disclosure Dissemination Agent Agreement (the "Disclosure Agreement"), dated as of , 2015, is executed and delivered by the Miami Beach Redevelopment Agency (the "Issuer") and Digital Assurance Certification, L.L.C., as exclusive Disclosure Dissemination Agent (the "Disclosure Dissemination Agent" or "DAC") for the benefit of the Holders (hereinafter defined) of the Bonds (hereinafter defined) and in order to provide certain continuing disclosure with respect to the Bonds in accordance with Rule l5c2-12 of the United States Securities and Exchange Commission under the Securities Exchange Act of 1934, as the same may be amended from time to time (the "Rule"). The services provided under this Disclosure Agreement solely relate to the execution of instructions received from the Issuer through use ofthe DAC system and do not constitute "advice" within the meaning of the Dodd-Frank Wall Street Reform and Consumer Protection Act (the "Act"). DAC will not provide any advice or recommendation to the Issuer or anyone on the Issuer's behalf regarding the "issuance of municipal securities" or any "municipal financial product" as defined in the Act and nothing in this Disclosure Agreement shall be interpreted to the contrary. SECTION L Definitions. Capitalized terms not otherwise defined in this Disclosure Agreement shall have the meaning assigned in the Rule or, to the extent not in conflict with the Rule, in the Official Statement (hereinafter defined). The capitalized terms shall have the following meanings: "Annual Filing Date" means the date, set in Sections 2(a) and2(f),by which the Annual Report is to be filed with the MSRB. "Annual Financial Information" means annual financial information as such term is used in paragraph (bX5Xi) of the Rule and specified in Section 3(a) of this Disclosure Agreement. "Annual Report" means an Annual Report described in and consistent with Section 3 of this Disclosure Agreement. "Audited Financial Statements" means the financial statements (if any) of the Issuer for the prior Fiscal Year, certified by an independent auditor as prepared in accordance with generally accepted accounting principles or otherwise, as such term is used in paragraph (bxsxi) of the Rule and specified in Section 3(b) of this Disclosure Agreement. "Bonds" means the bonds as listed on the attached Exhibit A, with the 9-digit CUSIP numbers relating thereto. "Certification" means a written certification of compliance signed by the Disclosure Representative stating that the Annual Report, Audited Financial Statements, Voluntary Report, Notice Event notice or Failure to File Event notice delivered to the Disclosure Dissemination Agent is the Annual Report, Audited Financial Statements, Voluntary Report, Notice Event notice or Failure to File Event notice required to be submitted to the MSRB under this Disclosure Agreement. A Certification shall accompany each such document submitted to the Disclosure Dissemination Agent by the Issuer and include the full name of the Bonds and the 9-digit CUSIP numbers for all Bonds to which the document applies. 003 -4 430 -47 28 / 3 lA M E R r CA5 1285 "Disclosure Dissemination Agent" means Digital Assurance Certification, L.L.C, acting in its capacity as Disclosure Dissemination Agent hereunder, or any successor Disclosure Dissemination Agent designated in writing by the Issuer pursuant to Section t hereof. "Disclosure Representative" means the Executive Director of the Issuer or his or her designee, or such other person as the Issuer shall designate in writing to the Disclosure Dissemination Agent from time to time as the person responsible for providing Information to the Disclosure Dissemination Agent. "Failure to File Event" means the Issuer's failure to file an Annual Report on or before the Annual Filing Date. "Force Majeure Event" means: (i) acts of God, war, orterrorist action; (ii) failure or shut- down of the Electronic Municipal Market Access system maintained by the MSRB; or (iii) to the extent beyond the Disclosure Dissemination Agent's reasonable control, interruptions in telecommunications or utilities services, failure, malfunction or error of any telecommunications, computer or other electrical, mechanical or technological application, service or system, computer virus, interruptions in Internet service or telephone service (including due to a virus, electrical delivery problem or similar occurrence) that affect Internet users generally, or in the local area in which the Disclosure Dissemination Agent or the MSRB is located, or acts of any government, regulatory or any other competent authority the effect of which is to prohibit the Disclosure Dissemination Agent from performance of its obligations under this Disclosure Agreement. "Holder" means any person (a) having the power, directly or indirectly, to vote or consent with respect to, or to dispose of ownership of, any Bonds (including persons holding Bonds through nominees, depositories or other intermediaries) or (b) treated as the owner of any Bonds for federal income tax purposes. "lnformation" means the Annual Financial Information, the Audited Financial Statements (if any), the Notice Event notices, the Failure to File Event notices and the Voluntary Reports. "MSRB" means the Municipal Securities Rulemaking Board established pursuant to Section 15B(bXl) of the Securities Exchange Act of 1934. "Notice Event" means any of the events enumerated in paragraph (bXsXi)(C) of the Rule and listed in Section 4(a) of this Disclosure Agreement. "Obligated Person" means any person, including the Issuer, who is either generally or through an enterprise, fund, or account of such person committed by contract or other arrangement to support payment of all, or part of the obligations on the Bonds (other than providers of municipal bond insurance, letters of credit, or other liquidity facilities). "Official Statement" means that Official Statement prepared by the Issuer in connection with the Bonds. "Voluntary Report" means the information provided to the Disclosure Dissemination Agent by the Issuer pursuant to Section 7. 003 - 4 430- 47 28 / 3 /AM E R r CAS 1286 SECTION 2. Provision of Annual Reports. (a) The Issuer shall provide, annually, an electronic copy of the Annual Report and Certification to the Disclosure Dissemination Agent, not later than 30 days prior to the Annual Filing Date, Promptly upon receipt of an electronic copy of the Annual Report and the Certification, the Disclosure Dissemination Agent shall provide an Annual Report to the MSRB not later than two hundred forty (240) days after the end of each Fiscal Year, commencing with the Fiscal Year ended September 30,2075. Such date and each anniversary thereof is the Annual Filing Date. The Annual Report may be submitted as a single document or as separate documents comprising a package, and may cross-reference other information as provided in Section 3 of this Disclosure Agreement. (b) If on the fifteenth (15th) day prior to the Annual Filing Date, the Disclosure Dissemination Agent has not received a copy of the Annual Report and Certification, the Disclosure Dissemination Agent shall contact the Disclosure Representative by telephone and in writing (which may be by e-mail) to remind the Issuer of its undertaking to provide the Annual Report pursuant to Section 2(a). Upon such reminder, the Disclosure Representative shall either (i) provide the Disclosure Dissemination Agent with an electronic copy of the Annual Report and the Certification no later than two (2) business days prior to the Annual Filing Date, or (ii) instruct the Disclosure Dissemination Agent in writing that the Issuer will not be able to file the Annual Report within the time required under this Disclosure Agreement, state the date by which the Annual Report for such year will be provided and instruct the Disclosure Dissemination Agent that a Failure to File Event has occurred and to immediately send a notice to the MSRB in substantially the form attached as Exhibit B. (c) If the Disclosure Dissemination Agent has not received an Annual Report and Certification by 10:00 a.m. Eastern Time on the Annual Filing Date (or if such Annual Filing Date falls on a Saturday, Sunday or holiday, then the hrst business day thereafter) for the Annual Report, a Failure to File Event shall have occurred and the Issuer irrevocably directs the Disclosure Dissemination Agent to immediately send a notice to the MSRB in substantially the form attached as Exhibit B, without reference to the anticipated filing date for the Annual Report. (d) If Audited Financial Statements of the Issuer are prepared but not available prior to the Annual Filing Date, the Issuer may provide an electronic copy of its unaudited financial statements to the Disclosure Dissemination Agent and shall, when the Audited Financial Statements are available, provide in a timely manner an electronic copy of the Audited Financial Statements to the Disclosure Dissemination Agent, accompanied by a Certification, in each case for filing with the MSRB. (e) The Disclosure Dissemination Agent shall: (i) verify the filing specifications of the MSRB each year prior to the Annual Filing Date; (ii) upon receipt, promptly file each Annual Report received under Sections 2(a) and 2(b) with the MSRB; 003-4430-47 28 /3 lAME R rCAS 1287 (iii) upon receipt, promptly file each of the unaudited financial statements and each of the Audited Financial Statements received under Section 2(d) with the MSRB; (iv) upon receipt, promptly file the text of each Notice Event received under Sections 4(a) and 4(bxii) with the MSRB, identifying the Notice Event as instructed by the Issuer pursuant to Section 4(a) or 4(bxii) (being any of the categories set forth below) when filing pursuant to the Section of this Disclosure Agreement indicated: 1. "Principal and interest payment delinquencies," pursuant to Sections 4(c) and a(a)(l); 2. "Non-Payment related defaults, if material," pursuant to Sections 4(c) and a@)Q); 3. "Unscheduled draws on debt service reserves reflecting financial difficulties," pursuant to Sections 4(c) and a@)Q); 4. "Unscheduled draws on credit enhancements reflecting financial difficulties," pursuant to Sections 4(c) and a@)(); 5. "Substitution of credit or liquidity providers, or their failure to perform," pursuant to Sections 4(c) and a(a)(5); 6. "Adverse tax opinions, the issuance by the Internal Revenue Service of proposed or final determinations of taxability, Notices of Proposed Issue (lRS Form 5701-TEB) or other material notices or determinations with respect to the tax status of the security, or other material events affecting the tax status of the security," pursuant to Sections 4(c) and a@)(6); 7 . "Modifications to rights of securities holders, if material," pursuant to Sections 4(c) and a@)Q); 8. "Bond calls, if material, and tender offers" pursuant to Sections 4(c) and a(a)(8); 9. "Defeasances," pursuant to Sections 4(c) and 4(aX9); 10. "Release, substitution, or sale of property securing repayment of the securities, if material," pursuant to Sections 4(c) and 4(a)(10); 1 1. "Rating changes," pursuant to Sections 4(c) and a(aXl 1); 12. "Bankruptcy, insolvency, receivership or similar event of the obligated person," pursuant to Sections 4(c) and a@)Q,2); 13. "The consummation of a merger, consolidation, or acquisition involving an obligated person or the sale of all or substantially all of the assets of the obligated person, other than in the ordinary course of business, the entry into a definitive agreement to undertake such an action or the termination of a definitive 003 - 4 43O - 47 28 / 3 /AM E R r CAS 1288 agreement relating to any such actions, other than pursuant to its terms, if material," pursuant to Sections 4(c) and 4(a)(13); and 14. "Appointment of a successor or additional trustee or the change of name of a trustee, if material," pursuant to Sections 4(c) and a@)Q\. (v) upon receipt (or irrevocable direction pursuant to Section 2(c) of this Disclosure Agreement, as applicable), promptly file a completed copy of Exhibit B to this Disclosure Agreement with the MSRB, identifying the filing as "Failure to provide annual information as required" when filing pursuant to Section 2(bxii) or Section 2(c) of this Disclosure Agreement; (vi) upon receipt, promptly file the text of each Voluntary Report received under Section 7 with the MSRB. (vii) provide the Issuer evidence of the filings of each of the above when made, which shall be by means of the DAC system, for so long as DAC is the Disclosure Dissemination Agent under this Disclosure Agreement. (f) The Issuer may adjust the Annual Filing Date upon change of its Fiscal Year by providing written notice of such change and the new Annual Filing Date to the Disclosure Dissemination Agent and the MSRB, provided that the period between the existing Annual Filing Date and new Annual Filing Date shall not exceed one year. (g) Any Information received by the Disclosure Dissemination Agent before 10:00 a.m. Eastern time on any business day that it is required to file with the MSRB pursuant to the terms of this Disclosure Agreement and that is accompanied by a Certification and all other information required by the terms of this Disclosure Agreement will be filed by the Disclosure Dissemination Agent with the MSRB no later than 11:59 p.m. Eastern time on the same business day; provided, however, the Disclosure Dissemination Agent shall have no liability for any delay in filing with the MSRB if such delay is caused by a Force Majeure Event, provided that the Disclosure Dissemination Agent uses reasonable efforts to make any such filing as soon as possible. SECTION 3. Content of Annual Reports. (a) Each Annual Report shall contain the following Annual Financial Information for the prior Fiscal Year: the information in the Official Statement [in the table under the caption "HISTORICAL AND PROJECTED DEBT SERVICE COVERAGE" and in the table entitled "Miami Beach Redevelopment Agency Historical and Projected Taxable Real Property and Tax Increment Revenues City Center Historic Convention Village" and issuance of additional debt payable from the Pledged Fundsl. (b) Audited Financial Statements prepared in accordance with generally accepted accounting principles ("GAAP") will be included in the Annual Report, but may be provided in accordance with Section 2(d). Any or all of the items listed above may be included by specific reference to other documents, including official statements of debt issues with respect to which the Issuer is an oo3-4 430-47 28 / 3 /AM ERTCAS 1289 Obligated Person, which have been previously filed with the Securities and Exchange Commission or available to the public on the MSRB Internet Website. If the document incorporated by reference is a final official statement, it must be available from the MSRB, The Issuer will clearly identify each such document so incorporated by reference. Any Annual Financial Information containing modified operating data or financial information is required to explain, in narrative form, the reasons for the modification and the impact of the change in the type of operating data or financial information being provided. SECTION 4. Reportine of Notice Events. (a) The occurrence of any of the following events with respect to the Bonds constitutes a Notice Event: l. Principal and interest payment delinquencres; 2. Non-payment related defaults, if material; 3. Unscheduled draws on debt service reserves reflecting financial difficulties; 4. Unscheduled draws on credit enhancements relating to the Bonds refl ecting financial diffi culties ; 5. Substitution of credit or liquidity providers, or their failure to perform; 6. Adverse tax opinions, the issuance by the Internal Revenue Service of proposed or final determinations of taxability, Notices of Proposed Issue (IRS Form 5701-TEB) or other material notices or determinations with respect to the tax status of the security, or other material events affecting the tax status of the Bonds; 7. Modifications to rights of Bond holders, if material; 8. Bond calls, if material, and tender offers; 9. Defeasances; 10. Release, substitution, or sale of property securing repayment of the Bonds, if material; i 1. Rating changes on the Bonds; 12. Bankruptcy, insolvency, receivership or similar event of the Obligated Person; Note; forthepurposesoftheeventidentifiedinthissubsection4(a)(12),theeventisconsideredto occurwhen any o/thefollowingoccur: the appointment of areceiver,fiscal agenl or similar fficerfor an Obligated Person in a proceeding under the U.S. Bankruptcy Code or in any other proceeding under state or federal law in which q court or governmental authoriQ has assumed jurisdiction over substantially all of the assets or business of the Obligated Person, or if such jurisdiction has been assumed by leaving the existing governmental body and fficials or fficers in possession but subject to the super-'tision and orders 6 003-4430-47 28 / 3 IAM ERTCAS 1290 of a court or goyernmental authority, or the entry of an order confirming a plan of reorganization, arrangement or liquidation by a court or governmentctl aulhority having super-tision or jurisdiction over substantially all of the assets or business of the Obligated Person. 13. The consummation of a merger, consolidation, or acquisition involving an Obligated Person or the sale of all or substantially all of the assets of the Obligated Person, other than in the ordinary course of business, the entry into a definitive agreement to undertake such an action or the termination of a definitive agreement relating to any such actions, other than pursuant to its terms, if material; and 14. Appointment of a successor or additional trustee or the change of name of a trustee, if material. The Issuer shall, in a timely manner not in excess of ten (10) business days after its occurrence, notify the Disclosure Dissemination Agent in writing of the occurence of a Notice Event. Such notice shall instruct the Disclosure Dissemination Agent to report the occurrence pursuant to subsection (c) and shall be accompanied by a Certification. Such notice or Certification shall identify the Notice Event that has occurred (which shall be any of the categories set forth in Section 2(e)(iv) of this Disclosure Agreement), include the text of the disclosure that the Issuer desires to make, contain the written authorization of the Issuer for the Disclosure Dissemination Agent to disseminate such information, and identi$ the date the Issuer desires for the Disclosure Dissemination Agent to disseminate the information (provided that such date is not later than the tenth (10th) business day after the occurrence of the Notice Event). (b) The Disclosure Dissemination Agent is under no obligation to notify the Issuer or the Disclosure Representative of an event that may constitute a Notice Event. In the event the Disclosure Dissemination Agent so notifies the Disclosure Representative, the Disclosure Representative will within two business days of receipt of such notice (but in any event not later than the tenth (10th) business day after the occurrence of the Notice Event, if the Issuer determines that a Notice Event has occurred), instruct the Disclosure Dissemination Agent that (i) a Notice Event has not occurred and no filing is to be made or (ii) a Notice Event has occurred and the Disclosure Dissemination Agent is to report the occurrence pursuant to Section 4(c), together with a Certification. Such notice or Certification shall identify the Notice Event that has occurred (which shall be any of the categories set forth in Section 2(e)(iv) of this Disclosure Agreement), include the text of the disclosure that the Issuer desires to make, contain the written authorization of the Issuer for the Disclosure Dissemination Agent to disseminate such information, and identify the date the Issuer desires for the Disclosure Dissemination Agent to disseminate the information (provided that such date is not later than the tenth (1Oth) business day after the occurrence of the Notice Event). (c) If the Disclosure Dissemination Agent has been instructed by the Issuer as prescribed in subsection (a) or (bxii) of this Section 4 to reportthe occurrence of aNotice Event, the Disclosure Dissemination Agent shall promptly file a notice of such occurrence with the MSRB in accordance with Section 2(e)(iv) hereof. SECTION 5. CUSIP Numbers. Whenever providing information to the Disclosure Dissemination Agent, including but not limited to Annual Reports, documents incorporated by reference to the Annual Reports, Audited Financial Statements, notices of Notice Events, Failure to File Events and Voluntary Reports filed pursuant to Section 7(a), the Issuer shall indicate the 0o3 -4 430 -47 28 / 3 lA M ER r CA5 1291 full name of the Bonds and the 9-digit CUSIP numbers for the Bonds as to which the provided information relates. SECTION 6. Additional Disclosure Obligations. The Issuer acknowledges and understands that other state and federal laws, including but not limited to the Securities Act of 1933 and Rule 10b-5 promulgated under the Securities Exchange Act of 1934, may apply to the Issuer, and that the failure of the Disclosure Dissemination Agent to so advise the Issuer shall not constitute a breach by the Disclosure Dissemination Agent of any of its duties and responsibilities under this Disclosure Agreement. The Issuer acknowledges and understands that the duties of the Disclosure Dissemination Agent relate exclusively to execution of the mechanical tasks of disseminating information as described in this Disclosure Agreement. SECTION 7.Voluntarv Reports. (a) The Issuer may instruct the Disclosure Dissemination Agent to file information with the MSRB, from time to time pursuant to a Certification of the Disclosure Representative accompanying such information (a "Voluntary Report"). (b) Nothing in this Disclosure Agreement shall be deemed to prevent the Issuer from disseminating any other information through the Disclosure Dissemination Agent using the means of dissemination set forth in this Disclosure Agreement or including any other information in any Annual Report, Audited Financial Statements, Voluntary Report, Notice Event notice or Failure to File Event notice, in addition to that required by this Disclosure Agreement. If the Issuer chooses to include any information in any Annual Report, Audited Financial Statements, Voluntary Report, Notice Event notice, or Failure to File Event notice in addition to that which is specifically required by this Disclosure Agreement, the Issuer shall have no obligation under this Disclosure Agreement to update such information or include it in any future Annual Report, Audited Financial Statements, Voluntary Report, Notice Event notice or Failure to File Event notice. SECTION 8. Termination of Reportine Oblieation. The obligations of the Issuer and the Disclosure Dissemination Agent under this Disclosure Agreement shall terminate with respect to the Bonds upon the legal defeasance, prior redemption or payment in full of all of the Bonds, when the Issuer is no longer an Obligated Person with respect to the Bonds, or upon delivery by the Disclosure Representative to the Disclosure Dissemination Agent of an opinion of nationally recognized bond counsel to the effect that continuing disclosure is no longer required. SECTION 9. Disclosure Dissemination Agent. The Issuer has appointed Digital Assurance Certihcation, L.L.C. as exclusive Disclosure Dissemination Agent under this Disclosure Agreement. The Issuer may, upon thirty days written notice to the Disclosure Dissemination Agent, replace or appoint a successor Disclosure Dissemination Agent. Upon termination of DAC's services as Disclosure Dissemination Agent, whether by notice of the Issuer or DAC, the Issuer agrees to appoint a successor Disclosure Dissemination Agent or, alternately, agrees to assume all responsibilities of Disclosure Dissemination Agent under this Disclosure Agreement for the benefit of the Holders of the Bonds. Notwithstanding any 003-4430-47 28 / 3 lAM ERTCAS 1292 replacement or appointment of a successor, the Issuer shall remain liable until payment in full for any and all sums owed and payable to the Disclosure Dissemination Agent. The Disclosure Dissemination Agent may resign at any time by providing thirty days' prior written notice to the Issuer. SECTION 10. Remedies in Event of Default. In the event of a failure of the Issuer or the Disclosure Dissemination Agent to comply with any provision of this Disclosure Agreement, the Holders' rights to enforce the provisions of this Disclosure Agreement shall be limited solely to a right, by action in mandamus or for specific performance, to compel performance of the parties' obligation under this Disclosure Agreement. Any failure by a party to perform in accordance with this Disclosure Agreement shall not constitute a default on the Bonds or under any other document relating to the Bonds, including the Bond Resolution, and all rights and remedies shall be limited to those expressly stated herein. SECTION 11. Duties. Immunities and Liabilities of Disclosure Dissemination Aeent. (a) The Disclosure Dissemination Agent shall have only such duties as are specifically set forth in this Disclosure Agreement. The Disclosure Dissemination Agent's obligation to deliver the information at the times and with the contents described herein shall be limited to the extent the Issuer has provided such information to the Disclosure Dissemination Agent as required by this Disclosure Agreement. The Disclosure Dissemination Agent shall have no duty with respect to the content of any disclosures or notice made pursuant to the terms hereof. The Disclosure Dissemination Agent shall have no duty or obligation to review or verify any Information or any other information, disclosures or notices provided to it by the Issuer and shall not be deemed to be acting in any fiduciary capacity for the Issuer, the Holders of the Bonds or any other party. The Disclosure Dissemination Agent shall have no responsibility for the Issuer's failure to report to the Disclosure Dissemination Agent a Notice Event or a duty to determine the materiality thereof. The Disclosure Dissemination Agent shall have no duty to determine, or liability for failing to determine, whether the Issuer has complied with this Disclosure Agreement. The Disclosure Dissemination Agent may conclusively rely upon certifications of the Issuer at all times. The obligations of the Issuer under this Section shall survive resignation or removal of the Disclosure Dissemination Agent and defeasance, redemption or payment of the Bonds. (b) The Disclosure Dissemination Agent may, from time to time, consult with legal counsel (either in-house or external) of its own choosing in the event of any disagreement or controversy, or question or doubt as to the construction of any of the provisions hereof or its respective duties hereunder, and shall not incur any liability and shall be fully protected in acting in good faith upon the advice of such legal counsel. The reasonable fees and expenses of such counsel shall be payable by the Issuer. (c) All documents, reports, notices, statements, information and other materials provided to the MSRB under this Disclosure Agreement shall be provided in an electronic format and accompanied by identifying information as prescribed by the MSRB. 003-4430-4728 /3 /AM ERTCAS 1293 SECTION 12. Amendmentl Waiver. Notwithstanding any other provision of this Disclosure Agreement, the Issuer and the Disclosure Dissemination Agent may amend this Disclosure Agreement and any provision of this Disclosure Agreement may be waived, if such amendment or waiver is supported by an opinion of counsel expert in federal securities laws acceptable to both the Issuer and the Disclosure Dissemination Agent to the effect that such amendment or waiver does not materially impair the interests of Holders of the Bonds and would not, in and of itself, cause the undertakings herein to violate the Rule if such amendment or waiver had been effective on the date hereof but taking into account any subsequent change in or official interpretation of the Rule; provided neither the Issuer or the Disclosure Dissemination Agent shall be obligated to agree to any amendment modifying their respective duties or obligations without their consent thereto. Notwithstanding the preceding paragraph, the Disclosure Dissemination Agent shall have the right to adopt amendments to this Disclosure Agreement necessary to comply with modifications to and interpretations of the provisions of the Rule as announced by the Securities and Exchange Commission from time to time by giving not less than 20 days written notice of the intent to do so together with a copy of the proposed amendment to the Issuer. No such amendment shall become effective if the Issuer shall, within 10 days following the giving of such notice, send a notice to the Disclosure Dissemination Agent in writing that it objects to such amendment. SECTION 13. Sources of Payments: No Personal Liability. Notwithstanding any'thing to the contrary contained in this Disclosure Agreement, the Issuer shall be required to use only Trust Fund Revenues to pay any costs and expenses to be incurred in the performance of this Disclosure Agreement by it, and the performance of its obligations hereunder shall be subject to the availability of Trust Fund Revenues for that purpose. This Disclosure Agreement does not and shall not constitute a general obligation of the Issuer. No covenant, stipulation, obligation or agreement of the Issuer contained in this Disclosure Agreement shall be deemed to be a covenant, stipulation, obligation or agreement of any present or future officer, agent or employee of the Issuer in other than that person's official capacity. SECTION 14. Beneficiaries. This Disclosure Agreement shall inure solely to the benefit of the Issuer, the Disclosure Dissemination Agent, the Underwriters, and the Holders from time to time of the Bonds, and shall create no rights in any other person or entity. SECTION 15. Governing Law. This Disclosure Agreement shall be governed by the laws of the State of Florida. SECTION 16. Counterparts. This Disclosure Agreement may be executed in several counterparts, each of which shall be an original and all of which shall constitute but one and the same instrument. oo3 - 4 430-47 28 / 3 lA M E R I CAS t0 1294 The Disclosure Dissemination Agent and the Issuer have caused this Disclosure Agreement to be executed, on the date first written above, by their respective officers duly authorized. DIGITAL AS SURANCE CERTIFICATION, L.L.C., as Disclosure Dissemination Agent Name: Title: MIAMI BEACH REDEVELOPMENT AGENCY, as Issuer Jimmy L. Morales Executive Director APPROVED AS TO FORM & LANGUAGE & FOR EXECUTION By: By: C",L :Jr^!,' Redevelopment Agency- ^ fiaie General Counsel K1- 1l 003- 4 430 - 47 28 / 3 lAM E R r CAS 1295 EXHIBIT A NAME AND CUSIP NUMBERS OF BONDS Name of Issuer: Miami Beach Redevelopment Agency Obligated Person: Miami Beach Redevelopment Agency Name of Bond Issue: Date of Issuance: Date of Official Statement: CUSIP Numbers: ,2075 ,2015 A-1 0o3 - 4430-47 28 / 3 /A M E R ICAS 1296 EXHIBIT B NOTICE TO MSRB OF FAILURE TO FILE ANNUAL REPORT Miami Beach Redevelopment AgencyIssuer: Obligated Person: Miami Beach Redevelopment Agency Name of Bond Issue: Date of Issuance:20t5 NOTICE IS HEREBY GIVEN that the Issuer has not provided an Annual Report with respect to the above-named Bonds as required by the Disclosure Dissemination Agent Agreement, dated as of , 2075, between the Issuer and Digital Assurance Certification, L.L.C., as Disclosure Dissemination Agent. The Issuer has notified the Disclosure Dissemination Agent that it anticipates that the Annual Report will be filed by Dated: Digital Assurance Certification, L.L.C., as Disclosure Dissemination Agent, on behalf of the Issuer cc: Miami Beach Redevelopment Agency B-l 003 -4 430 - 47 28 / 3 lA M E R rCAS 1297 MIAMI BEACH REDEVELOPMENT AGENCY and U.S. BANK NATIONAL ASSOCIATION, as Escrow Agent ESCROW DEPOSIT AGREEMENT Relating to TAX INCREMENT REVENUE BONDS, TAXABLE SERIES 19984 (CITY CENTER/HISTORIC CONVENTION VILLAGE) and TAX INCREMENT REVENUE REFUNDING BONDS, TAXABLE SERIES 2OO5A (CITY CENTER/HISTORIC CONVENTION VILLAGE) DATED AS OF ,2075 003-4430-47 42/ 4 IAMERtCAS 1298 THIS of ESCROW DEPOSIT AGREEMENT ESCROW DEPOSIT AGREEMENT (the "Agreement") made and entered into as , 2015, by and between the MIAMI BEACH REDEVELOPMENT AGENCY (the "Agency") and U.S. BANK NATIONAL ASSOCIATION, as Escrow Agent (the "Escrow Agent"). WITNESSETH: WHEREAS, the Agency has heretofore issued its (i) $29,105,000 aggregate principal amount of Miami Beach Redevelopment Agency Tax Increment Revenue Bonds, Taxable Series 19984 (City Center/Historic Convention Village), dated as of July 29, 1998, presently outstanding in the principal amount of $10,000,000 (the "Outstanding Series 19984. Bonds"), and (ii) $51,440,000 aggregate principal amount of Miami Beach Redevelopment Agency Tax Increment Revenue Refunding Bonds, Taxable Series 2005A (City Center/Historic Convention Village), dated as of September 22, 2005, presently outstanding in the principal amount of 927,815,000 (the "Outstanding Series 20054 Bonds"), all pursuant to the provisions of Resolution No. 150-94 adopted by the Board of Commissioners of the Agency (the "Commission") on January 5,1994, as supplemented (collectively, the "Prior Bond Resolution"); and WHEREAS, the Agency desires to refund and defease (i) all of the Outstanding Series 1998A Bonds (the "Refunded Series 19984 Bonds"), and (ii) all of the Outstanding Series 2005A Bonds (the "Refunded Series 20054 Bonds," and together with the Refunded Series 1998,{ Bonds, the "Refunded Bonds"), ur more particularly described in Schedule A attached hereto and made apart hereof; and WHEREAS, the Agency has issued its $aggregate principal amount of Miami Beach Redevelopment Agency Tax Increment Revenue [and] Refunding Bonds, Series 2015_ (City Center/Historic Convention Village) (the "Bonds"), pursuant to the provisions of Resolution No. _-2015 adopted by the Commission on _,2075 (the "Bond Resolution"), a portion of the proceeds of which Bonds is to be deposited with the Escrow Agent to provide, with investment earnings thereon and certain other available moneys, for the refunding and defeasance of the Refunded Bonds; and WHEREAS, a portion of the proceeds derived from the sale of the Bonds, together with the other available moneys, will be applied to the purchase of Government Obligations (as such term is hereinafter defined), which will mature and produce investment income and eamings at such time and in such amount as will be sufficient, together with certain moneys remaining uninvested, to pay when due or upon the redemption thereof, the principal of and interest on the Refunded Bonds as more specifically set forth herein; and WHEREAS, in order to provide for the proper and timely application of the moneys deposited hereunder, the maturing principal amount of the Government Obligations purchased therewith, and investment income and earnings derived therefrom to the payment of the 003-4430-47 421 4 IAMERtCAS 1299 Refunded Bonds, it is necessary for the Agency to enter into this Agreement with the Escrow Agent; NOW, THEREFORE, the Agency and the Escrow Agent, in consideration of the foregoing and the mutual covenants herein set forth and in order to secure the payment of the principal of and interest on all of the Refunded Bonds according to their tenor and effect, do hereby agree as follows: ARTICLE I CREATION AND CONVEYANCE OF TRUST ESTATE Section 1.01. Creation and Conveyance of Trust Estate. The Agency hereby grants, warrants, remises, releases, conveys, assigns, transfers, aliens, pledges, sets over and confirms unto the Escrow Agent and to its successors in the trust hereby created, and to it and its assigns forever, all and singular the property hereinafter described, to wit: DIVISION I All right, title and interest in and to (i) $in moneys deposited directly with the Escrow Agent and derived from the proceeds of the Bonds upon issuance and delivery of the Bonds and execution of and delivery of this Agreement, and (ii) $in moneys derived from the $ Account and allocable to the Refunded Series 19984 Bonds, and in moneys derived from the Account and allocable to the Refunded Series 2005A Bonds, each such account in the Sinking Fund created under the Prior Bond Resolution (such moneys described in (ii), the "Other Moneys"). DIVISION II All right, title and interest in and to the Government Obligations described in Schedule B attached hereto and made apart hereof, together with the income and earnings thereon. DIVISION III Any and all other property of every kind and nature from time to time hereafter, delivery or by writing of any kind, conveyed, pledged, assigned or transferred as and additional security hereunder by the Agency, or by anyone on behalf of the Agency to Escrow Agent for the benefit of the Refunded Bonds. by for the 003-4430-47 42 I 4 /AMERTCAS 1300 DIVISION IV All property which is by the express provisions of this Agreement required to be subject to the pledge hereof and any additional property that may, from time to time hereafter, by delivery or by writing of any kind, by the Agency, or by anyone in its behalf, be subject to the pledge hereof. TO HAVE AND TO HOLD, all and singular, the Trust Estate (as such term is hereinafter defined), including all additional property which by the terms hereof has or may become subject to the encumbrances of this Agreement, unto the Escrow Agent, and its successors and assigns, forever in trust, however, for the sole benefit and security of the holders from time to time of the Refunded Bonds, but if the principal of and interest on all of the Refunded Bonds shall be fully and promptly paid when due, upon the maturity or redemption thereof, in accordance with the terms thereof, then this Agreement shall be and become void and of no further force and effect except as otherwise provided herein; otherwise the same shall remain in full force and effect, and upon the trusts and subject to the covenants and conditions hereinafter set forth. ARTICLE II DEFINITIONS Section2.0l. Definitions. In addition to words and terms elsewhere defined in this Agreement, the following words and terms as used in this Agreement shall have the following meanings, unless some other meaning is plainly intended. Capitalized terms not otherwise defined in this Agreement shall have the meanings given to such terms in the Prior Bond Resolution. "Government Obligations" shall mean Defeasance Obligations (as defined in the Prior Bond Resolution with respect to the applicable Refunded Bonds) which are not subject to redemption prior to maturity. "Trust Estate," "trust estate" or "pledged property" shall mean the property, rights and interests described or referred to under Divisions I, II, III and IV in Article I above. Words of the masculine gender shall be deemed and construed to include correlative words of the feminine and neuter genders. Words importing the singular number shall include the plural number and vice versa unless the context shall otherwise indicate. The word "person" shall include corporations, associations, natural persons and public bodies unless the context shall otherwise indicate. Reference to a person other than a natural person shall include its successors. ARTICLE III ESTABLISHMENT OF ESCROW DEPOSIT TRUST FTIND; FLOW OF FUNDS Section 3.01. Creation of Escrow Deposit Trust Fund and Deposit of Moneys. There is hereby created and established with the Escrow Agent a special and irrevocable trust fund 003-4430-47 42 / 4 lAM ERTCAS 1301 designated "Miami Beach Redevelopment Agency Tax Increment Revenue and Refunding Bonds, Series 1998,4. and Series 20054 (City Center/Historic Convention Village) Escrow Deposit Trust Fund" (the "Escrow Deposit Trust Fund"), to be held by the Escrow Agent for the sole benefit of the holders of the Refunded Bonds and accounted for separate and apart from the other funds of the Agency and, to the extent required by law, of the Escrow Agent. Concurrently with the delivery of this Agreement, the Agency herewith causes to be deposited with the Escrow Agent and the Escrow Agent acknowledges receipt of immediately available moneys for deposit in the E,scrow Deposit Trust Fund in the amount of $_, consisting of $from the proceeds of the Bonds and $in Other Moneys, from the Otherall of which, when invested in Government Obligations (other than $ Moneys to be held uninvested), will provide moneys sufficient to pay the principal of and interest on the Refunded Bonds, upon the payment when due or upon redemption thereof, as more particularly described in Schedule C attached hereto and made apart hereof. Section 3.02. Payment of Refunded Bonds. The Bond proceeds and Other Moneys received by the Escrow Agent will be sufficient to purchase $par amount of Government Obligations, all as listed in Schedule B attached hereto and made a part hereof, which will mature in principal amounts and earn income at such times so that sufficient moneys will be available to pay as the same are paid when due or redeemed all principal of and interest on the Refunded Bonds. Notwithstanding the foregoing, if the amounts deposited in the Escrow Deposit Trust Fund are insufficient to make said payments of principal and interest, the Agency shall cause to be deposited into the Escrow Deposit Trust Fund the amount of any deficiency immediately upon notice from the Escrow Agent. Section 3.03. Irrevocable Trust Created. The deposit of moneys and Government Obligations or other property hereunder in the Escrow Deposit Trust Fund shall constitute an irrevocable deposit of said moneys and Government Obligations and other property hereunder for the sole benefit of the holders of the Refunded Bonds, subject to the provisions of this Agreement. The holders of the Refunded Bonds, subject to the provisions of this Agreement, shall have an express lien on all moneys and principal of and earnings on the Government Obligations and other property in the Escrow Deposit Trust Fund. The moneys deposited in the Escrow Deposit Trust Fund and the matured principal of the Govemment Obligations and other property hereunder and the interest thereon shall be held in trust by the Escrow Agent, and shall be applied for the payment of Refunded Bonds, as more specifically set forth in Schedule C hereto. Section 3.04. Purchase of Government Oblieations. The Escrow Agent is hereby directed immediately to purchase the Govemment Obligations listed in Schedule B from the proceeds of the Bonds and the Other Moneys described in Sections 3.01 and 3.02 hereof. The Escrow Agent shall purchase the Government Obligations solely from the moneys deposited in the Escrow Deposit Trust Fund as provided in this Agreement. The Escrow Agent shall apply the moneys deposited in the Escrow Deposit Trust Fund and the Government Obligations purchased therewith, together with all income or earnings thereon, in accordance with the provisions hereof. The Escrow Agent shall have no power or duty to invest any moneys held hereunder or to make substitutions of the Government oo3-4 430-47 42 I 4 lAMERTCAS 1302 Obligations held hereunder or to Obligations held hereunder except as directed not to invest $ sell, transfer or otherwise dispose of the Government provided in this Agreement. The Escrow Agent is hereby from the Other Moneys deposited in the Escrow Deposit Trust Fund simultaneously with the delivery of this Agreement. Section 3.05. Substitution of Certain Govemment Obligations. (a) If so directed in writing by the Agency on the date of delivery of this Agreement, the Escrow Agent shall accept in substitution for all or a portion of the Government Obligations listed in Schedule B, Government Obligations (the "Substituted Securities"), the principal of and interest on which, together with any Govemment Obligations listed in Schedule B for which no substitution is made and moneys held uninvested by the Escrow Agent, will be sufficient to pay all principal of and interest of the Refunded Bonds as set forth in Schedule C hereof. The foregoing notwithstanding, the substitution of Substituted Securities for any of the Government Obligations listed in Schedule B may be effected only upon compliance with Section 3.05(bXl) and (2) below. (b) If so directed in writing by the Agency at any time during the term of this Agreement, the Escrow Agent shall sell, transfer, exchange or otherwise dispose of, or request the redemption of, all or a portion of the Government Obligations then held in the Escrow Deposit Trust Fund and shall substitute for such Government Obligations other Govemment Obligations, designated by the Agency, and acquired by the Escrow Agent with the proceeds derived from the sale, transfer, disposition or redemption of or by the exchange of such Government Obligations held in the Escrow Deposit Trust Fund, but only upon the receipt by the Escrow Agent of: (1) an opinion of nationally recognized counsel in the field of law relating to municipal bonds stating that such substitution is not inconsistent with the statutes and regulations applicable to the Refunded Bonds and the Bonds; and (2) verification by a firm of independent certified public accountants stating that the principal of and interest on the substituted Government Obligations, together with any Govemment Obligations and any uninvested moneys remaining in the Escrow Deposit Trust Fund will be sufficient, without reinvestment, to pay the remaining principal of and interest on the Refunded Bonds as set forth in Schedule C hereof. Any moneys resulting from the sale, transfer, disposition or redemption of the Government Obligations held hereunder and the substitution therefor of other Govemment Obligations not required to be applied for the payment of such principal of and interest on the Refunded Bonds (as shown in the verification report described in Section 3.05(bX2) hereof delivered in connection with such substitution), shall be deposited in the Interest Account within the Sinking Fund established under the Bond Resolution. Upon any such substitution of Government Obligations pursuant to Section 3.05, Schedule B hereto shall be appropriately amended to refl ect such substitution. The Escrow Agent may rely on all specific directions in this Agreement providing for the investment or reinvestment of the Escrow Deposit Trust Fund. 5 003 -4 43O -47 42 / 4 lA M E R r CAS 1303 Section 3.06. Transfers from Escrow Deposit Trust Fund. As the principal of the Government Obligations set forth in Schedule B shall mature and be paid, and the investment income and earnings thereon are paid, the Escrow Agent shall pay from such moneys to U.S. Bank National Association, in its capacity of Paying Agent with respect to the Refunded Bonds (as Trustee, Paying Agent and Registrar with respect to the Refunded Bonds, the "Refunded Bonds Trustee"), no later than the payment dates for the Refunded Bonds, as specified in Schedule C hereof, the amounts necessary to pay the principal of and interest on the Refunded Bonds, as specified in Schedule C hereof. The Agency hereby irrevocably determines, and instructs the Refunded Bonds Trustee and the Escrow Agent, to call for redemption prior to maturity, pursuant to their optional redemption provisions, the Refunded Series 20054 Bonds maturing December 1,2016 through and including December 1,2020 and December 1, 2022 on January _,2016 at a redemption price of 100% of the principal amount thereof, in accordance with the Prior Bond Resolution. The Agency, the Refunded Bonds Trustee and the Escrow Agent shall perform the responsibilities, described in the Prior Bond Resolution, in connection with the redemption of such Refunded Bonds, including the giving of notice of redemption as required therein. The Agency shall mail, or cause to be mailed, a copy of such notice of redemption to National Public Finance Guarantee Corporation, as successor to MBIA Insurance Corporation ("NPFGC"). The Agency shall also file, or cause to be filed, a copy of such notice of redemption with the Municipal Securities Rulemaking Board (the "MSRB"). In addition, the Refunded Bonds Trustee shall publish such notice of redemption one time in The Bond Buyer, New York, New York, at least 30 days prior to January _,2016. Section 3.07. Investment of Certain Mone),s Remainins in Escrow Deposit Trust Fund. Subject to the provisions of Section 3.04 of this Agreement, the Escrow Agent shall invest and reinvest, at the written direction of the Agency, in Government Obligations any moneys remaining from time to time in the Escrow Deposit Trust Fund until such time as they are needed. Such moneys shall be reinvested in such Government Obligations for such periods and at such interest rates, as the Escrow Agent shall be directed to invest by the Agency, which periods and interest rates shall be set forth in an opinion from nationally recognized counsel in the field of law relating to municipal bonds to the Agency and to the Escrow Agent, which opinion shall also be to the effect that such reinvestment of such moneys in such Government Obligations is not inconsistent with the statutes and regulations applicable to the Refunded Bonds and the Bonds. Any interest income resulting from reinvestment of moneys pursuant to this Section 3.07 not required to be applied for the payment of the principal of and interest on the Refunded Bonds shall be deposited in the Interest Account within the Sinking Fund established under the Bond Resolution. Section 3.08. Escrow Deposit Trust Fund Constitutes Trust Fund. The Escrow Deposit Trust Fund created and established pursuant to this Agreement shall be and constitute a trust fund for the purposes provided in this Agreement and shall be kept separate and distinct from all other funds of the Agency and, to the extent required by law, of the Escrow Agent and used only for the purposes and in the manner provided in this Agreement. Section 3.09. Transfer of Funds After All Payments Required by this Agreement are Made. After all of the transfers by the Escrow Agent to the payment of the principal of and interest on the Refunded Bonds provided in Schedule C have been made, all remaining moneys and securities, together with any income and interest thereon, in the Escrow Deposit Trust Fund 003-4430-47 42/ 4 IAMERTCAS 1304 shall be deposited in the Interest Account within the Sinking Fund established under the Bond Resolution; provided, however, that no such transfers (except transfers made in accordance with Sections 3.05 and 3.07 hereof) shall be made until all of the principal of, premium and interest on the Refunded Bonds have been paid. ARTICLE IV CONCERNING THE ESCROW AGENT Section4.Ol. Liability of Escrow Agent. The Escrow Agent shall not be liable in connection with the performance of its duties hereunder except for its own negligence, misconduct or default. The Escrow Agent shall not be liable for any loss resulting from any investments made pursuant to the terms of this Agreement. The Escrow Agent shall not be liable for the accuracy of the calculations as to the sufficiency of moneys and of the principal amount of the Government Obligations and the earnings thereon to pay the Refunded Bonds. So long as the E,scrow Agent applies any moneys, Government Obligations and interest earnings therefrom to pay the Refunded Bonds as provided herein, and complies fully with the terms of this Agreement, the Escrow Agent shall not be liable for any deficiencies in the amounts necessary to pay the Refunded Bonds caused by such calculations. The duties and obligations of the Escrow Agent shall be determined by the express provisions of this Agreement. The Escrow Agent may consult with counsel with respect to any matter relevant to this Agreement, who may or may not be counsel to the Agency, and be entitled to receive from the Agency reimbursement of the reasonable fees and expenses of such counsel, and in reliance upon the opinion of such counsel have full and complete authorization and protection in respect of any action taken, suffered or omitted by it in good faith in accordance therewith. Whenever the Escrow Agent shall deem it necessary or desirable that a matter be proved or established prior to taking, suffering or omitting any action under this Agreement, such matter may be deemed to be conclusively established by a certificate signed by an authorized officer of the Agency and the Escrow Agent may in good faith conclusively rely upon such certificate. The Escrow Agent shall have no lien, security interest or right of set-off whatsoever upon any of the moneys or investments in the Escrow Deposit Trust Fund for the payment of fees or expenses for the services rendered by the Escrow Agent under this Agreement. Section 4.02. Permitted Acts. The Escrow Agent and its affiliates may become the owner of all or may deal in the Refunded Bonds as fully and with the same rights as if it were not the Escrow Agent. Section 4.03. Payment to Escrow Agent. The Agency shall pay to the Escrow Agent reasonable compensation for all services rendered by it hereunder and also its reasonable expenses incurred in and about the administration and execution of the trusts hereby created and the performance of its powers and duties hereunder, all as provided in Schedule D hereto. 003-4430-47 42 I 4 lAMERTCAS 1305 ARTICLE V MISCELLANEOUS Section 5.01. Amendments to this Agreement. This Agreement is made for the benefit of the holders from time to time of the Refunded Bonds and shall not be repealed, revoked, altered or amended without the written consent of all such holders of the Refunded Bonds, the Escrow Agent and the Agency; provided, however, that the Agency and the Escrow Agent may, without the consent of, or notice to, such holders enter into such agreements supplemental to this Agreement which shall not adversely affect the rights of such holders and shall not be inconsistent with the terms and provisions of this Agreement for any one or more of the following purposes: (a) to cure any ambiguity or formal defect or omission in this Agreement; or (b) to grant to or confer upon the Escrow Agent for the benefit of the holders of the Refunded Bonds any additional rights, remedies, powers or authority that may lawfully be granted to or conferred upon the Escrow Agent. The Escrow Agent shall be entitled to rely upon an unqualified opinion of a nationally recognized counsel in the field of law relating to municipal bonds with respect to compliance with this Section. Prior to any repeal, revocation, alteration or amendment of this Agreement, the Agency shall provide written notice of such proposed repeal, revocation, alteration or amendment to Standard & Poor's Ratings Services and Moody's Investors Service, Inc. at their addresses set forth below: Standard & Poor's Ratings Services 55 Water Street New York, New York 10041 Attn: Municipal Ratings Desk/Refunded Bonds Moody's Investors Service, Inc. 99 Church Street New York, New York 10007 Section 5.02. Severability. If any one or more of the covenants or agreements provided in this Agreement on the part of the Agency or the Escrow Agent to be performed should be determined by a court of competent jurisdiction to be contrary to law, such covenant or agreement shall be deemed and construed to be severable from the remaining covenants and agreements herein contained and shall in no way affect the validity of the remaining provisions of this Agreement. Section 5.03. Agreement Binding. All the covenants, proposals and agreements in this Agreement contained by or on behalf of the Agency or by or on behalf of the Escrow Agent shall bind and inure to the benefit of their respective successors and assigns, whether so expressed or not. 003-4430-47 42/ 4 IAMER rCAS 1306 Section 5.04. Notices to Escrow Aeent and Agency. Any notice, demand, direction, request or other instrument authorized or required by this Agreement to be given to or filed with the Escrow Agent or the Agency, shall be deemed to have been sufficiently given or filed for all purposes of this Agreement if personally delivered and receipted for, or if sent by registered or certified United States mail, return receipt requested, addressed as follows: (a) As to the Agency - Miami Beach Redevelopment Agency 1700 Convention Center Drive Miami Beach, Florida 33139 Attention: Executive Director (b) As to the Escrow Agent - U.S. Bank National Association 225 Water Street Suite 700 Jacksonville, Florida 32202 Attention: Corporate Trust Services Any party hereto may, by notice sent to the other parties hereto, designate a different or additional address to which notices under this Agreement are to be sent. Section 5.05. Termination. This Agreement shall terminate when all transfers and payments required to be made by the Escrow Agent under the provisions hereof shall have been made. Section 5.06. Execution by Counterparts. This Agreement may be executed in several counterparts, all or any of which shall be regarded for all purposes as one original and shall constitute and be but one and the same instrument. Section 5,07. Notice of Defeasance. The Agency hereby irrevocably instructs U.S. Bank National Association, in its capacity of Registrar with respect to the Refunded Bonds, to give to the Holders of the Refunded Bonds and NPFGC, by first class mail, postage prepaid, as soon as practicable, and to file with the MSRB, as soon as practicable, notice of the defeasance of the Refunded Bonds, substantially in the form attached hereto as Schedule E. Section 5.08. Goveming Law. This Agreement shall be governed by the laws of the State of Florida. 003-4430-47 42 / 4 IAM ERTCAS 1307 IN WITNESS WHEREOF, each of the parties hereto has caused this Agreement to be executed by its duly authorized officers. MIAMI BEACH REDEVELOPMENT AGENCY Chairperson U.S. BANK NATIONAL ASSOCIATION, as Escrow Agent Assistant Vice President APPROVED AS TO FORM & LANGUAGE & FOR EXECUTION By: By: 3,"q-Or'F qllel$ l?ede',clrDn.entAOenCy Date r.'2'r-1; Cot:n:;el 003-4430-47 42/ 4 IAM ERTCAS 10 1308 Maturity Date 1210v2020 SCHEDULE A REFI]NDED SERIES 19984 BONDS Principal Amount $ 10,000,000 REFLINDED SERIES 2OO5A BONDS Principal Amount $ 2,465,000 2,595,000 2,730,000 2,990,000 3,645,000 I1,155,000 Interest Rate 6.680Yo Interest Rate 4.930% 5.010 5.1 l0 5.r70 5.200 5.220 Maturity Date t2101120t6 t2l0U20t7 t210112018 12t0U2019 1210U2020 t210v2022 A-1 003-4430 -41 42 / 4 IAM ERTCAS 1309 SCHEDULE B INVESTMENT OF BOND PROCEEDS AND OTHER MONEYS T)rpe of Security Maturit), Date Principal Amount Interest Rate S% B-1 003-4 430-47 42 / 4 lAM ERTCAS 1310 SCHEDULE C SCHEDULE OF PAYMENTS ON REFUNDED BONDS Principal Date Principal Redeemed Interest Total c-1 003-4430-4742/4/ AM E RrCAS 1311 (i) (ii) SCHEDULE D ESCROW AGENT FEES AND EXPENSES In consideration of the services to be rendered by the Escrow Agent under the Agreement, the Agency agrees to pay the Escrow Agent an annual fee of $_ payable on September I of each year until the Agreement has been terminated for all services to be incurred as Escrow Agent in connection with such services, and agrees to reimburse at cost all ordinary out-of-pocket expenses incurred by the Escrow Agent. The term "ordinary out-of-pocket expenses" means expenses of holding, investing and disbursing the Escrow Deposit Trust Fund as provided herein and includes, but is not limited to publication costs, postage and legal fees as incurred. The Agency also agrees to reimburse the Escrow Agent for any extraordinary expenses incurred by it in connection with the Agreement. The term "extraordinary expenses" includes (a) expenses arising out of the assertion of any third party to any interest in the Escrow Deposit Trust Fund or any challenge to the validity hereof, including reasonable attorneys' fees, (b) expenses relating to any substitution under Section 3.05 or reinvestment under Section 3.07 , and (c) expenses (other than ordinary expenses) not occasioned by the Escrow Agent's misconduct or negligence, The fees and expenses payable by the Agency under clause (i) or (ii) above shall not be paid from the Escrow Deposit Trust Fund, but shall be paid by the Agency from legally available funds of the Agency. (iii) 003-4430-47 42 I 4 lAM E RrCAS D-1 1312 SCI_IEDULE E NOTICE OF DEFEASANCE Miami Beach Redevelopment Agency Tax Increment Revenue Bonds, Taxable Series 1998A (City Center/flistoric Convention Village) Dated: July 29,7998 (the "Series 1998A Bonds") Maturit), Date Principal Amount Interest Rate CUSIP Numbers- 1210U2020 $10,000,000 6.680% 593237CA6 Miami Beach Redevelopment Agency Tax Increment Revenue Refunding Bonds, Taxable Series 20054 (City Center/Flistoric Convention Village) Dated: September 22, 2005 (the "Series 20054 Bonds") Maturity Date Principal Amount Interest Rate CUSIP Numbers- 12101120t6 $ 2,465,000 4.930% 593237DM9 t2l0u20t7 2,595,000 5.010 593237DN7 1210U20t8 2,730,000 5.110 593237DP2 1210U2019 2,880,000 5.170 593231DQ0 12t0U2020 3,645,000 5.200 593237DR8 1210v2022 11,155,000 5.220 593237D56 NOTICE IS HEREBY GIVEN that monies have been deposited with U.S. Bank National Association, as Escrow Agent, for the payment of the principal of and interest on the outstanding bonds identified above (collectively, the "Bonds"), and such monies, except to the extent maintained in cash, have been invested in direct obligations of the United States of America. U.S. Bank National Association, as Trustee, Paying Agent and Registrar for the Bonds, and the Escrow Agent have been irrevocably instructed to call for redemption prior to maturity, pursuant to their optional redemption provisions, the Series 2005A Bonds maturing December 1,2016 through and including December 1, 2020 and December 1,2022 on January _,2016 at a redemption price of 100% of the principal amount thereof. The Series 1998,{ Bonds shall be paid on their maturity date. - No representation is made as to the correctness of these CUSIP numbers either as printed on the Bonds or contained in this Notice. 003- 4 430- 47 42 / 4 lA M E R I CAS E-1 1313 The amount so deposited as aforesaid has been calculated to be adequate to pay, when due, the principal of and interest on the Bonds to and including their maturity or redemption date described above. The Bonds are therefore deemed to have been paid in accordance with Section 304(M) of Resolution No. 150-94 adopted by the Miami Beach Redevelopment Agency on January 5,1994. U.S. BANK NATIONAL ASSOCIATION, as Registrar Dated:_,2015 003-4430-47 42/ 4 lAMERtCAS E-2 1314 MIAMI BEACH REDEVELOPMENT AGENCY and U.S. BANK NATIONAL ASSOCIATION, as Escrow Agent ESCROW DEPOSIT AGREEMENT Relating to TAX INCRE,MENT REVENUE REFLINDING BONDS, SERIES 2OO5B (CITY CENTER/HISTORIC CONVENTION VILLAGE) DATED AS OF ,2015 003-4430-47 381 3 IAM ERTCAS 1315 THIS of ESCROW DEPOSIT AGREEMENT ESCROW DEPOSIT AGREEMENT (the "Agreement") made and entered into as , 2015, by and between the MIAMI BEACH REDEVELOPMENT AGENCY (the "Agency") and U.S. BANK NATIONAL ASSOCIATION, as Escrow Agent (the "Escrow Agent"). WITNES$ETH: WHEREAS, the Agency has heretofore issued its $29,330,000 aggregate principal amount of Miami Beach Redevelopment Agency Tax Increment Revenue Refunding Bonds, Series 20058 (City Center/Historic Convention Village), dated as of September 22, 2005, presently outstanding in the principal amount of $17,175,000 (the "Outstanding Series 20058 Bonds"), pursuant to the provisions of Resolution No. 150-94 adopted by the Board of Commissioners of the Agency (collectively, the "Commission") on January 5, 1994, as supplemented (the "Prior Bond Resolution"); and WHEREAS, the Agency desires to refund and defease all of the Outstanding Series 20058 Bonds, as more particularly described in Schedule A attached hereto and made a part hereof (the "Refunded Bonds"); and WHEREAS, the Agency has issued its $aggregate principal amount of Miami Beach Redevelopment Agency Tax Increment Revenue [and] Refunding Bonds, Series 2015- (City Center/Historic Convention Village) (the "Bonds"), pursuant to the provisions of Resolution No. _-2015 adopted by the Commission on , 2075 (the "Bond Resolution"), a portion of the proceeds of which Bonds is to be deposited with the Escrow Agent to provide, with investment earnings thereon and certain other available moneys, for the refunding and defeasance of the Refunded Bonds; and WHEREAS, a portion of the proceeds derived from the sale of the Bonds, together with the other available moneys, will be applied to the purchase of Government Obligations (as such term is hereinafter defined), which will mature and produce investment income and earnings at such time and in such amount as will be sufficient, together with certain moneys remaining uninvested, to pay upon the redemption thereof, the principal of and interest on the Refunded Bonds as more specifically set forth herein; and WHEREAS, in order to provide for the proper and timely application of the moneys deposited hereunder, the maturing principal amount of the Government Obligations purchased therewith, and investment income and earnings derived therefrom to the payment of the Refunded Bonds, it is necessary for the Agency to enter into this Agreement with the Escrow Agent; NOW, THEREFORE, the Agency and the Escrow Agent, in consideration of the foregoing and the mutual covenants herein set forth and in order to secure the payment of the principal of and interest on all of the Refunded Bonds according to their tenor and effect, do hereby agree as follows: 003-4430-4738/3lAM E R rCAS 1316 ARTICLE I CREATION AND CONVEYANCE OF TRUST ESTATE Section 1.01. Creation and Conveyance of Trust Estate. The Agency hereby grants, warrants, remises, releases, conveys, assigns, transfers, aliens, pledges, sets over and confirms unto the Escrow Agent and to its successors in the trust hereby created, and to it and its assigns forever, all and singular the property hereinafter described, to wit: DIVISION I All right, title and interest in and to (i) $in moneys deposited directly with the Escrow Agent and derived from the proceeds of the Bonds upon issuance and delivery of the Bonds and execution of and delivery of this Agreement, and (ii) $in moneys derived from the Account in the Sinking Fund created under the Prior Bond Resolution and allocable to the Refunded Bonds (such moneys described in (ii), the "Other Moneys"). DIVISION II All right, title and interest in and to the Government Obligations described in Schedule B attached hereto and made a part hereof, together with the income and earnings thereon. DIVISION III Any and all other property of every kind and nature from time to time hereafter, delivery or by writing of any kind, conveyed, pledged, assigned or transferred as and additional security hereunder by the Agency, or by anyone on behalf of the Agency to Escrow Agent for the benefit of the Refunded Bonds. DIVISION IV All property which is by the express provisions of this Agreement required to be subject to the pledge hereof and any additional property that may, from time to time hereafter, by delivery or by writing of any kind, by the Agency, or by anyone in its behalf, be subject to the pledge hereof. TO HAVE AND TO HOLD, all and singular, the Trust Estate (as such term is hereinafter defined), including all additional property which by the terms hereof has or may become subject to the encumbrances of this Agreement, unto the Escrow Agent, and its successors and assigns, forever in trust, however, for the sole benefit and security of the holders from time to time of the Refunded Bonds, but if the principal of and interest on all of the Refunded Bonds shall be fully and promptly paid upon the redemption thereof in accordance with the terms thereof, then this Agreement shall be and become void and of no further force and effect except as otherwise provided herein; otherwise the same shall remain in full force and effect, and upon the trusts and subject to the covenants and conditions hereinafter set forth. by for the 003-4430-4738 I 3 IAM ERTCAS 1317 ARTICLE II DEFINITIONS Section2.0l. Definitions. In addition to words and terms elsewhere defined in this Agreement, the following words and terms as used in this Agreement shall have the following meanings, unless some other meaning is plainly intended. Capitalized terms not otherwise defined in this Agreement shall have the meanings given to such terms in the Prior Bond Resolution. "Government Obligations" shall mean Defeasance Obligations which are not subject to redemption prior to maturity. "Trust Estate," "trust estate" or "pledged property" shall mean the property, rights and interests described or referred to under Divisions I, II, III and IV in Article I above. Words of the masculine gender shall be deemed and construed to include correlative words of the feminine and neuter genders. Words importing the singular number shall include the plural number and vice versa unless the context shall otherwise indicate. The word "person" shall include corporations, associations, natural persons and public bodies unless the context shall otherwise indicate. Reference to a person other than a natural person shall include its successors. ARTICLE III ESTABLISHMENT OF ESCROW DEPOSIT TRUST FI.IND: FLOW OF FUNDS Section 3.01. Creation of Escrow Deposit Trust Fund and Deposit of Moneys. There is hereby created and established with the Escrow Agent a special and irrevocable trust fund designated "Miami Beach Redevelopment Agency Tax Increment Revenue Refunding Bonds, Series 20058 (City Center/Historic Convention Village) Escrow Deposit Trust Fund" (the "Escrow Deposit Trust Fund"), to be held by the Escrow Agent for the sole benefit of the holders of the Refunded Bonds and accounted for separate and apart from the other funds of the Agency and, to the extent required by law, of the Escrow Agent. Concurrently with the delivery of this Agreement, the Agency herewith causes to be deposited with the Escrow Agent and the Escrow Agent acknowledges receipt of immediately availablemoneySfordepositintheEscrowDepositTrustFundintheamountof$-, consisting of $from the proceeds of the Bonds and $in Other Moneys, from the Otherall of which, when invested in Govemment Obligations (other than $ Moneys to be held uninvested), will provide moneys sufficient to pay the principal of and interest on the Refunded Bonds, upon the payment upon redemption thereof as more particularly described in Schedule C attached hereto and made apart hereof. Section 3.02. Payment of Refunded Bonds. received by the Escrow Agent will be sufficient to Government Obligations, all as listed in Schedule B The Bond proceeds and Other Moneys par amount ofpurchase $ 003-4430-47 38 / 3 lAM ERTCAS attached hereto and made a part hereof, 1318 which will mature in principal amounts and earn income at such times so that sufficient moneys will be available to pay as the same are paid when redeemed all principal of and interest on the Refunded Bonds as set forth in Schedule C hereof. Notwithstanding the foregoing, if the amounts deposited in the Escrow Deposit Trust Fund are insufficient to make said payments of principal and interest, the Agency shall cause to be deposited into the Escrow Deposit Trust Fund the amount of any deficiency immediately upon notice from the Escrow Agent. Section 3.03. Irrevocable Trust Created. The deposit of moneys and Government Obligations or other property hereunder in the Escrow Deposit Trust Fund shall constitute an irrevocable deposit of said moneys and Govemment Obligations and other property hereunder for the sole benefit of the holders of the Refunded Bonds, subject to the provisions of this Agreement. The holders of the Refunded Bonds, subject to the provisions of this Agreement, shall have an express lien on all moneys and principal of and eamings on the Government Obligations and other property in the Escrow Deposit Trust Fund. The moneys deposited in the Escrow Deposit Trust Fund and the matured principal of the Government Obligations and other property hereunder and the interest thereon shall be held in trust by the Escrow Agent, and shall be applied for the payment of Refunded Bonds, as more specifically set forth in Schedule C hereto. Section 3.04. Purchase of Government Obligations. The Escrow Agent is hereby directed immediately to purchase the Government Obligations listed in Schedule B from the proceeds of the Bonds and the Other Moneys described in Sections 3.01 and 3.02 hereof. The Escrow Agent shall purchase the Govemment Obligations solely from the moneys deposited in the Escrow Deposit Trust Fund as provided in this Agreement. The Escrow Agent shall apply the moneys deposited in the Escrow Deposit Trust Fund and the Government Obligations purchased therewith, together with all income or eamings thereon, in accordance with the provisions hereof. The Escrow Agent shall have no power or duty to invest any moneys held hereunder or to make substitutions of the Govemment Obligations held hereunder or to sell, transfer or otherwise dispose of the Government Obligations held hereunder except as provided in this Agreement. The Escrow Agent is hereby directed not to invest S from the Other Moneys deposited in the Escrow Deposit Trust Fund simultaneously with the delivery of this Agreement. The Agency covenants to take no action in the investment, reinvestment or security of the Escrow Deposit Trust Fund in violation of this Agreement and recognizes that any such action in contravention of this Agreement might cause the Refunded Bonds or the Bonds to be classified as "arbitrage bonds" under the Internal Revenue Code of 1986, as amended, and the regulations promulgated thereunder (the "Code"). Section 3.05. Substitution of Certain Government Oblisations. (a) If so directed in writing by the Agency on the date of delivery of this Agreement, the Escrow Agent shall accept in substitution for all or a portion of the Government Obligations listed in Schedule B, Govemment Obligations (the "Substituted Securities"), the principal of and interest on which, together with any Government Obligations listed in Schedule B for which no substitution is made and moneys held uninvested by the Escrow Agent, will be 003 - 4 430- 47 38 / 3 /AM ER r CAS 1319 sufficient to pay all principal of and interest of the Refunded Bonds as set forth in Schedule C hereof. The foregoing notwithstanding, the substitution of Substituted Securities for any of the Government Obligations listed in Schedule B may be effected only upon compliance with Section 3.05(bX1) and (2) below. (b) If so directed in writing by the Agency at any time during the term of this Agreement, the Escrow Agent shall sell, transfer, exchange or otherwise dispose of, or request the redemption of, all or a portion of the Government Obligations then held in the Escrow Deposit Trust Fund and shall substitute for such Government Obligations other Govemment Obligations, designated by the Agency, and acquired by the Escrow Agent with the proceeds derived from the sale, transfer, disposition or redemption of or by the exchange of such Government Obligations held in the Escrow Deposit Trust Fund, but only upon the receipt by the Escrow Agent of: (1) an opinion of nationally recognized counsel in the field of law relating to municipal bonds stating that such substitution will not adversely affect the exclusion from gross income for federal income tax purposes of interest on the Refunded Bonds and the Bonds and is not inconsistent with the statutes and regulations applicable to the Refunded Bonds and the Bonds; and (2) verification by a firm of independent certified public accountants stating that the principal of and interest on the substituted Government Obligations, together with any Government Obligations and any uninvested moneys remaining in the Escrow Deposit Trust Fund will be sufficient, without reinvestment, to pay the remaining principal of and interest on the Refunded Bonds as set forth in Schedule C hereof. Any moneys resulting from the sale, transfer, disposition or redemption of the Government Obligations held hereunder and the substitution therefor of other Government Obligations not required to be applied for the payment of such principal of and interest on the Refunded Bonds (as shown in the verification report described in Section 3.05(bX2) hereof delivered in connection with such substitution), shall be deposited in the Interest Account within the Sinking Fund established under the Bond Resolution. Upon any such substitution of Government Obligations pursuant to Section 3.05, Schedule B hereto shall be appropriately amended to refl ect such substitution. The Escrow Agent shall be under no duty to inquire whether the Government Obligations as deposited in the Escrow Deposit Trust Fund are properly invested under the Code. The Escrow Agent may rely on all specific directions in this Agreement providing for the investment or reinvestment of the Escrow Deposit Trust Fund. Section 3.06. Transfers from Escrow Deposit Trust Fund. As the principal of the Government Obligations set forth in Schedule B shall mature and be paid, and the investment income and earnings thereon are paid, the Escrow Agent shall pay from such moneys to U.S. Bank National Association, in its capacity of Paying Agent with respect to the Refunded Bonds (as Trustee, Paying Agent and Registrar with respect to the Refunded Bonds, the "Refunded Bonds Trustee"), no later than the payment dates for the Refunded Bonds, as specified in Schedule C hereof, the amounts necessary to pay the principal of and interest on the Refunded 003-4430-47 38/ 3 lAM ERTCAS 1320 Bonds, as specified in Schedule C hereof. The Agency hereby irrevocably determines, and instructs the Refunded Bonds Trustee and the E,scrow Agent, to call for redemption prior to maturity the Refunded Bonds maturing December 1,2016 through and including December 1, 2022 on January _,2016 at a redemption price of 100% of the principal amount thereof, in accordance with the Prior Bond Resolution. The Agency, the Refunded Bonds Trustee and the Escrow Agent shall perform the responsibilities, described in the Prior Bond Resolution, in connection with the redemption of such Refunded Bonds, including the giving of notice of redemption as required therein. The Agency shall mail, or cause to be mailed, a copy of such notice of redemption to National Public Finance Guarantee Corporation, as successor to MBIA Insurance Corporation ("NPFGC"). The Agency shall also file, or cause to be filed, a copy of such notice of redemption with the Municipal Securities Rulemaking Board (the "MSRB"). In addition, the Refunded Bonds Trustee shall publish such notice of redemption one time in The Bond Buyer, New York, New York, at least 30 days prior to January _,2016. Section 3.07. Investment of Certain Moneys Remaining in Escrow Deposit Trust Fund. Subject to the provisions of Section 3.04 of this Agreement, the Escrow Agent shall invest and reinvest, at the written direction of the Agency, in Government Obligations any moneys remaining from time to time in the Escrow Deposit Trust Fund until such time as they are needed. Such moneys shall be reinvested in such Government Obligations for such periods and at such interest rates, as the Escrow Agent shall be directed to invest by the Agency, which periods and interest rates shall be set forth in an opinion from nationally recognized counsel in the field of law relating to municipal bonds to the Agency and to the Escrow Agent, which opinion shall also be to the effect that such reinvestment of such moneys in such Government Obligations for such period and at such interest rates will not, under the statutes and regulations applicable to the Refunded Bonds and the Bonds, cause the interest on the Refunded Bonds or the Bonds to be included in gross income for federal income tax purposes and that such investment is not inconsistent with the statutes and regulations applicable to the Refunded Bonds and the Bonds. Any interest income resulting from reinvestment of moneys pursuant to this Section 3.07 not required to be applied for the payment of the principal of and interest on the Refunded Bonds shall be deposited in the Interest Account within the Sinking Fund established under the Bond Resolution. Section 3.08. Escrow Deposit Trust Fund Constitutes Trust Fund. The Escrow Deposit Trust Fund created and established pursuant to this Agreement shall be and constitute a trust fund for the purposes provided in this Agreement and shall be kept separate and distinct from all other funds of the Agency and, to the extent required by law, of the Escrow Agent and used only for the purposes and in the manner provided in this Agreement. Section 3.09. Transfer of Funds After All Payments Required by this Agreement are Made. After all of the transfers by the Escrow Agent to the payment of the principal of and interest on the Refunded Bonds provided in Schedule C have been made, all remaining moneys and securities, together with any income and interest thereon, in the Escrow Deposit Trust Fund shall be deposited in the Interest Account within the Sinking Fund established under the Bond Resolution; provided, however, that no such transfers (except transfers made in accordance with Sections 3.05 and 3.07 hereof) shall be made until all of the principal of and interest on the Refunded Bonds have been paid. 003-4430-47 38 I 3 IAM ERTCAS 1321 ARTICLE IV CONCERNING THE ESCROW AGENT Section4.01. Liability of Escrow Aeent. The Escrow Agent shall not be liable in connection with the performance of its duties hereunder except for its own negligence, misconduct or default. The Escrow Agent shall not be liable for any loss resulting from any investments made pursuant to the terms of this Agreement. The Escrow Agent shall not be liable for the accuracy of the calculations as to the sufficiency of moneys and of the principal amount of the Government Obligations and the earnings thereon to pay the Refunded Bonds. So long as the Escrow Agent applies any moneys, Government Obligations and interest earnings therefrom to pay the Refunded Bonds as provided herein, and complies fully with the terms of this Agreement, the Escrow Agent shall not be liable for any deficiencies in the amounts necessary to pay the Refunded Bonds caused by such calculations. The duties and obligations of the Escrow Agent shall be determined by the express provisions of this Agreement. The Escrow Agent may consult with counsel with respect to any matter relevant to this Agreement, who may or may not be counsel to the Agency, and be entitled to receive from the Agency reimbursement of the reasonable fees and expenses of such counsel, and in reliance upon the opinion of such counsel have full and complete authorization and protection in respect of any action taken, suffered or omitted by it in good faith in accordance therewith. Whenever the Escrow Agent shall deem it necessary or desirable that a matter be proved or established prior to taking, suffering or omitting any action under this Agreement, such matter may be deemed to be conclusively established by a certificate signed by an authorized officer of the Agency and the Escrow Agent may in good faith conclusively rely upon such certificate. The Escrow Agent shall have no lien, security interest or right of set-off whatsoever upon any of the moneys or investments in the Escrow Deposit Trust Fund for the payment of fees or expenses for the services rendered by the Escrow Agent under this Agreement. Section 4.02. Permitted Acts. The Escrow Agent and its affiliates may become the owner of all or may deal in the Refunded Bonds as fully and with the same rights as if it were not the Escrow Agent. Section 4.03. Payment to Escrow Agent. The Agency shall pay to the Escrow Agent reasonable compensation for all services rendered by it hereunder and also its reasonable expenses incurred in and about the administration and execution of the trusts hereby created and the performance of its powers and duties hereunder, all as provided in Schedule D hereto. ARTICLE V MISCELLANEOUS Section 5.01. Amendments to this Agreement. This Agreement is made for the benefit of the holders from time to time of the Refunded Bonds and shall not be repealed, revoked, altered or amended without the written consent of all such holders of the Refunded Bonds, the o03-4 430-47 38/ 3 IAMERICAS 1322 Escrow Agent and the Agency; provided, however, that the Agency and the Escrow Agent may, without the consent of, or notice to, such holders enter into such agreements supplemental to this Agreement which shall not adversely affect the rights of such holders and shall not be inconsistent with the terms and provisions of this Agreement for any one or more of the following purposes: (a) to cure any ambiguity or formal defect or omission in this Agreement; or (b) to grant to or confer upon the Escrow Agent for the benefit of the holders of the Refunded Bonds any additional rights, remedies, powers or authority that may lawfully be granted to or conferred upon the Escrow Agent. The Escrow Agent shall be entitled to rely upon an unqualified opinion of a nationally recognized counsel in the field of law relating to municipal bonds with respect to compliance with this Section. Prior to any repeal, revocation, alteration or amendment of this Agreement, the Agency shall provide written notice of such proposed repeal, revocation, alteration or amendment to Standard & Poor's Ratings Services and Moody's Investors Service, Inc. at their addresses set forth below: Standard & Poor's Ratings Services 55 Water Street New York, New York 10041 Attn: Municipal Ratings Desk/Refunded Bonds Moody's Investors Service, Inc. 99 Church Street New York, New York 10007 Section 5.02. Severabilitv. If any one or more of the covenants or agreements provided in this Agreement on the part of the Agency or the Escrow Agent to be performed should be determined by a court of competent jurisdiction to be contrary to law, such covenant or agreement shall be deemed and construed to be severable from the remaining covenants and agreements herein contained and shall in no way affect the validity of the remaining provisions of this Agreement. Section 5.03. Agreement Binding. All the covenants, proposals and agreements in this Agreement contained by or on behalf of the Agency or by or on behalf of the Escrow Agent shall bind and inure to the benefit of their respective successors and assigns, whether so expressed or not. Section 5.04. Notices to Escrow Agent and Agency. Any notice, demand, direction, request or other instrument authorized or required by this Agreement to be given to or filed with the Escrow Agent or the Agency, shall be deemed to have been sufficiently given or filed for all purposes of this Agreement if personally delivered and receipted for, or if sent by registered or certified United States mail, return receipt requested, addressed as follows: o03 -4 430-41 38/ 3 lAMERICAS 1323 As to the Agency - Miami Beach Redevelopment Agency 1700 Convention Center Drive Miami Beach, Florida 33139 Attention: Executive Director (b) As to the Escrow Agent - U.S. Bank National Association 225 Water Street Suite 700 Jacksonville, Florida 32202 Attention: Corporate Trust Services Any party hereto may, by notice sent to the other parties hereto, designate a different or additional address to which notices under this Agreement are to be sent. Section 5.05. Termination. This Agreement shall terminate when all transfers and payments required to be made by the Escrow Agent under the provisions hereof shall have been made. Section 5.06. Execution by Counterparts. This Agreement may be executed in several counterparts, all or any of which shall be regarded for all purposes as one original and shall constitute and be but one and the same instrument. Section 5.07. Notice of Defeasance. The Agency hereby irrevocably instructs U.S. Bank National Association, in its capacity of Registrar with respect to the Refunded Bonds, to give to the Holders of the Refunded Bonds and NPFGC, by first class mail, postage prepaid, as soon as practicable, and to file with the MSRB, as soon as practicable, notice of the defeasance of the Refunded Bonds, substantially in the form attached hereto as Schedule E. Section 5.08. Governing Law. This Agreement shall be governed by the laws of the State of Florida. (a) oo3 - 4 43O- 47 38 I 3 lA M ER I CA5 1324 IN WITNESS WHEREOF, each of the parties hereto has caused this Agreement to be executed by its duly authorized officers. MIAMI BEACH REDEVELOPMENT AGENCY Chairperson U.S. BANK NATIONAL ASSOCIATION, as Escrow Agent Assistant Vice President APPI{OVED AS TO FORM & LANGUAGE & FOR EXECUTION By: By: 3,rI-0*,? qltalts Redevelopment AgencY Date General Counsel 003-4430-47 38 / 1 lAM ERTCAS l0 1325 Maturitlr Date t2l0U20t6 12101120t7 t2l0U20\8 tzl0U20t9 t210v2020 1210v2021 1210U2022 SCHEDULE A REFTINDED BONDS Principal Amount $ 1,885,000 1,980,000 2,090,000 2,195,000 2,300,000 2,400,000 2,525,000 Interest Rate s.000% s.000 5.000 s.000 4.000 5.000 5.000 A-1 o03 - 4 430 -47 38 / 3 /A M E R ICAS 1326 SCHEDULE B INVESTMENT OF BOND PROCEEDS AND OTHER MONEYS Type of Securit], Maturit), Date Principal Amount Interest Rate $% B-1 003-4430-47 38/ 3 lAMERICAS 1327 SCHE,DULE C SCHEDULE OF PAYMENTS ON REFLINDED BONDS Principal Date Principal Redeemed Interest Total $$$$ c-l 003-4430-47 38 I 3 lAM ERTCAS 1328 (i) SCHEDULE D ESCROW AGENT FEES AND EXPENSES In consideration of the services to be rendered by the Escrow Agent under the Agreement, the Agency agrees to pay the Escrow Agent a one time fee of $_ for all services to be incurred as Escrow Agent in connection with such services, and agrees to reimburse at cost all ordinary out-of-pocket expenses incurred by the Escrow Agent. The term "ordinary out-of-pocket expenses" means expenses of holding, investing and disbursing the Escrow Deposit Trust Fund as provided herein and includes, but is not limited to publication costs, postage and legal fees as incurred. (ii) The Agency also agrees to reimburse the Escrow Agent for any extraordinary expenses incurred by it in connection with the Agreement. The term "extraordinary expenses" includes (a) expenses arising out of the assertion of any third party to any interest in the Escrow Deposit Trust Fund or any challenge to the validity hereof, including reasonable attorneys'fees, (b) expenses relating to any substitution under Section 3.05 or reinvestment under Section 3.07, and (c) expenses (other than ordinary expenses) not occasioned by the Escrow Agent's misconduct or negligence. (iii)The fees and expenses payable by the Agency under clause (i) or (ii) above shall not be paid from the Escrow Deposit Trust Fund, but shall be paid by the Agency from legally available funds of the Agency. oo3 -4 430-47 38 I 3 lA M ER I CAS D-1 1329 SCHEDULE E NOTICE OF DEFEASANCE Miami Beach Redevelopment Agency Tax Increment Revenue Refunding Bonds, Series 20058 (City Center/Historic Convention Village) Dated: September 22, 2005 Maturity Date tzl0U20t6 12101120t7 1210v2018 1210v2019 1210U2020 t210U2021 t210v2022 Principal Amount $ i,885,000 1,980,000 2,080,000 2,195,000 2,300,000 2,400,000 2,525.000 Interest Rate 5.000% 5.000 5.000 5.000 4.000 s.000 5.000 CUSIP Numbers. 593237ED8 593237F-F,6 5932378F3 s932378G1 593231EH9 5932378J5 593237EK2 NOTICE IS HEREBY GIVEN that monies have been deposited with U.S. Bank National Association, as Escrow Agent, for the payment of the principal of and interest on the outstanding bonds identified above (the "Bonds"), and such monies, except to the extent maintained in cash, have been invested in direct obligations of the United States of America. U.S. Bank National Association, as Trustee, Paying Agent and Registrar for the Bonds, and the Escrow Agent have been irrevocably instructed to call for redemption prior to maturity the Bonds maturing December 1,2016 through and including December 1,2022 on January _,2016, at a redemption price of 100% of the principal amount thereof. The amount so deposited as aforesaid has been calculated to be adequate to pay, when due, the principal of and interest on the Bonds to and including their redemption date described above. The Bonds are therefore deemed to have been paid in accordance with Section 30a(M) of Resolution No. 150-94 adopted by the Miami Beach Redevelopment Agency on January 5,1994. U.S. BANK NATIONAL ASSOCIATION, as Registrar Dated:_,2075 " No representation is made as to the correctness of these CUSIP numbers either as printed on the Bonds or contained in this Notice. 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