94-21164 RESO
RESOLUTION NO.
94-21164
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY
OF MIAMI BEACH, FLORIDA, FIXING A TIME AND PLACE AT WHICH
THE OWNERS OF PROPERTY SPECIALLY BENEFITTED BY THE
CREATION OF A SPECIAL ASSESSMENT DISTRICT TO BE KNOWN AS
THE LINCOLN ROAD MANAGEMENT DISTRICT NO 1, FOR THAT AREA
OF LINCOLN ROAD BOUNDED ON THE WEST BY ALTON COURT,
BOUNDED ON THE EAST BY COLLINS AVENUE, BOUNDED ON THE
SOUTH BY 16TH STREET, AND BOUNDED ON THE NORTH BY 17TH
STREET, ALL WITHIN THE CORPORATE LIMITS OF THE CITY OF MIAMI
BEACH, FLORIDA, OR ANY OTHER PERSONS INTERESTED THEREIN
MAY APPEAR BEFORE THE MAYOR AND CITY COMMISSION TO BE
HEARD AS TO THE PROPRIETY, ADVISABILITY, AND COST FOR THE
PROVISION OF THE PROPOSED SERVICES THEREIN, AS TO THE
MANNER OF PAYMENT THEREFOR AND AS TO THE AMOUNT
THEREOF TO BE ASSESSED AGAINST EACH PROPERTY SO
BENEFITED, IN ACCORDANCE WITH CHAPTER 170, FLORIDA
STATUTES.
WHEREAS, on May 18, 1994, the Mayor and City Commission adopted Resolution
No. 94-21163, entitled, "A Resolution of the Mayor and City Commission of the City
of Miami Beach, Florida, creating a special assessment district for a period of one (1) year,
to be known as the Lincoln Road Management District No.1; providing for the levying for
special assessments; indicating the location, nature and estimate cost of those services
whose costs is to be defrayed in part by the special assessments; providing the portion of
the estimated cost of the services to be partially defrayed by the special assessments;
providing the manner in which such special assessments shall be made; providing when
such special assessments shall be made; designating lands upon which the special
assessments shall be levied; providing for publication of this resolution; and authorizing
related actions"; and
WHEREAS, in accordance with Resolution No. 94-21163 ,a preliminary
assessment roll has been prepared and all of the conditions precedent set forth in Chapter
170, Florida Statutes, as to the holding of the aforementioned public hearing have been
satisfied, and are available for public inspection at the Office of the City Clerk, 1700
Convention Center Drive, Miami Beach, Florida.
NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY
COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA:
SECTION 1.
There is hereby declared a public hearing to be held at the
Commission Chambers in the City of Miami Beach City Hall, at the hour of 4: 00 p.m. on
the 15th day of
June
, 1994, for the purpose of hearing public comment
and objections to the proposed special assessment district to be known as the "Lincoln
Road Management Services District No.1", as identified in the preliminary assessment
roll, a copy of which is attached and made a part hereof.
SECTION 2.
Notice of the hearing shall be advertised in accordance with
Chapter 170, Florida Statutes, and the City Clerk is hereby authorized to place the Notice
in a newspaper of general circulation within the City of Miami Beach.
SECTION 3.
This resolution shall come in effective upon its adoption.
PASSED and ADOPTED this 18th
,1994.
ATTEST:
~~s~
CITY CLERK
RJAdsk2\a:dist1 hg2.res
5/12/94
fORM APPROV[lJ
LEGAL DEPT.
~
By '- \ U9
Date )- \ >-&:1-1
2
CITY HALL 1700 CONVENTION CENTER DRIVE MIAMI BEACH FLORIDA 33139
CITY OF MIAMI BEACH
OFFICE OF THE CITY MANAGER
TELEPHONE: (305) 673-7010
FAX: (305) 673-7782
COMMISSION MEMORANDUM NO. ~ 7 2. -9~
TO:
Mayor Seymour Gelber and
Members of the City Commission
DATE: May 18, 1994
FROM:
Roger M. Carlto
City Manager
SUBJECT:
A) A RESOLUTION OF THE MAYOR AND CITY COHNISSION OF THE
CITY OF MIAXI BEACH, FLORIDA, CREATING, SUBJECT TO THE
APPROVAL OF A MAJORITY OF THE AFFECTED PROPERTY OWNERS,
A SPECIAL ASSESSMENT DISTRICT FOR A PERIOD OF ONE (1)
YEAR, TO BE KNOWN AS THE LINCOLN ROAD KANAGEKENT DISTRICT
NO.1; PROVIDING FOR THE LEVYING OF SPECIAL ASSESSMENTS;
INDICATING THE LOCATION, NATURE AND ESTIMATED COST OF
THOSE SERVICES WHOSE COSTS ARE TO BE DEFRAYED IN PART BY
THE SPECIAL ASSESSMENTS; PROVIDING THE PORTION OF THE
ESTIMATED COST OF THE SERVICES TO BE PARTIALLY DEFRAYED
BY THE SPECIAL ASSESSMENTS; PROVIDING THE KANNER IN WHICH
SUCH SPECIAL ASSESSMENTS SHALL BE HADE; PROVIDING WHEN
SUCH SPECIAL ASSESSMENTS SHALL BE HADE; DESIGNATING LANDS
UPON WHICH THE SPECIAL ASSESSMENTS SHALL BE LEVIED;
PROVIDING FOR PUBLICATION OF THIS RESOLUTION; AND
AUTHORIZING RELATED ACTIONS.
B) A RESOLUTION OF THE MAYOR AND CITY COHNISSION OF THE
CITY OF MIAXI BEACH, FLORIDA, FIXING A TIME AND PLACE AT
WHICH THE OWNERS OF PROPERTY SPECIALLY BENEFITTED BY THE
CREATION OF A SPECIAL ASSESSMENT DISTRICT TO BE KNOWN AS
THE LINCOLN ROAD KANAGEMENT DISTRICT NO.1, FOR THAT AREA
OF LINCOLN ROAD BOUNDED ON THE WEST BY ALTON COURT,
BOUNDED ON THE EAST BY COLLINS AVENUE, BOUNDED ON THE
SOUTH BY 16TH STREET, AND BOUNDED ON THE NORTH BY 17TH
STREET, ALL WITHIN THE CORPORATE LIMITS OF THE CITY OF
MIAXI BEACH, FLORIDA, OR ANY OTHER PERSONS INTERESTED
THEREIN MAY APPEAR BEFORE THE MAYOR AND CITY COHNISSION
TO BE HEARD AS TO THE PROPRIETY, ADVISABILITY, AND COST
FOR THE PROVISION OF THE PROPOSED SERVICES THEREIN, AS TO
THE KANNER OF PAYMENT THEREFOR AND AS TO THE AXOUNT
THEREOF TO BE ASSESSED AGAINST EACH PROPERTY SO
BENEFITTED, IN ACCORDANCE WITH CHAPTER 170, FLORIDA
STATUTES.
C) A RESOLUTION OF THE MAYOR AND CITY COHNISSION OF THE
CITY OF MIAXI BEACH, FLORIDA, CREATING A SPECIAL
ASSESSMENT DISTRICT TO BE KNOWN AS THE LINCOLN ROAD
CAPITAL IMPROVEMENTS DISTRICT NO.1; PROVIDING FOR THE
LEVYING OF SPECIAL ASSESSMENTS; INDICATING THE LOCATION,
NATURE AND ESTIMATED COST OF THOSE IMPROVEMENTS WHOSE
COSTS ARE TO BE DEFRAYED IN PART BY THE SPECIAL
ASSESSMENTS; PROVIDING THE PORTION OF THE ESTIMATED COST
OF THE IMPROVEMENTS TO BE PARTIALLY DEFRAYED BY THE
SPECIAL ASSESSMENTS; PROVIDING THE KANNER IN WHICH SUCH
SPECIAL ASSESSMENTS SHALL BE HADE; PROVIDING WHEN SUCH
SPECIAL ASSESSMENTS SHALL BE HADE; DESIGNATING LANDS UPON
WHICH THE SPECIAL ASSESSMENTS SHALL BE LEVIED; PROVIDING
FOR PUBLICATION OF THIS RESOLUTION; AND AUTHORIZING, 5
RELATED ACTIONS. ~ 0
DATE
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5-/~~9'-1
-1-
AGENDA
ITEM
D) A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE
CITY OF MIAMI BEACH, FLORIDA, FIXING A TIME AND PLACE AT
WHICH THE OWNERS OF PROPERTY SPECIALLY BENEFITTED BY THE
CREATION OF A SPECIAL ASSESSMENT DISTRICT TO BE KNOWN AS
THE LINCOLN ROAD CAPITAL IMPROVEMENTS DISTRICT NO.1, FOR
THAT AREA OF LINCOLN ROAD BOUNDED ON THE WEST BY WEST
AVENUE, BOUNDED ON THE EAST BY COLLINS AVENUE, BOUNDED ON
THE SOUTH BY 16TH STREET, AND BOUNDED ON THE NORTH BY
17TH STREET, ALL WITHIN THE CORPORATE LIMITS OF THE CITY
OF MIAMI BEACH, FLORIDA, OR ANY OTHER PERSONS INTERESTED
THEREIN MAY APPEAR BEFORE THE MAYOR AND CITY COMMISSION
TO BE HEARD AS TO THE PROPRIETY, ADVISABILITY, AND COST
OF MAKING THE PROPOSED IMPROVEMENTS THEREIN, AGAINST EACH
PROPERTY SO IMPROVED, IN ACCORDANCE WITH CHAPTER 170,
FLORIDA STATUTES.
ADMINISTRATION RECOMMENDATION:
It is recommended that the City Commission adopt the above
captioned four Resolutions which establish the two assessment
districts necessary to accomplish the objectives of the Lincoln
Road Task Force and set a time and place for" a future public
hearing to finalize the special districts.
BACKGROUND:
This item was deferred from the April 20, 1994, City Commission
meeting in order to allow the Task Force more time to work with
. property owners and businesses to finalize the assessment formula.
Since that meeting, numerous meetings have occurred with property
owners, a coordinating council meeting was held on April 28, 1994,
and a City Commission workshop was held on May 3, 1994. At the
City Commission workshop, the Commission was presented with a cost
and funding analysis. The formula, boundaries and length of bond
pay back were discussed and an approximate $100,000 shortfall in
the Management District was identified. After more than two years
of study, debate, and planning, the Lincoln Road Task Force,
representative of all interests in the Lincoln Road area and the
City of Miami Beach, have reached consensus on a revitalization
plan. The purpose of the revitalization efforts is to maintain the
redevelopment momentum and to realize the promise that many
business and property owners are beginning to realize, as well as
to increase the sense of ownership and pride the citizens of Miami
Beach have for "their" Lincoln Road.
Many proposals and attempts to improve Lincoln Road have been
advanced and abandoned. The City Commission has before ita
partnership process that establishes the foundation for continued
growth and realization of benefit both to the City and to the
property and business owners of Lincoln Road, who make up an
important part of the City. In order to make this happen, the
commitment of government and the empowerment of the private sector
is needed to establish two special assessment districts. The
following is an analysis of the process and purpose of the
district.
ANALYSIS:
A) Physical Improvements:
The plan includes physical improvements, both aesthetic
enhancement and infrastructure. Scheduled to be done in two
phases, Phase 1 includes approximately $800,000 of work to be
done between Al ton Road and Washington Avenue. The plan
includes the removal of defunct and/or extraneous signage,
low-level lighting and mismatched fixtures and is in the
process of construction now.
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j51
Phase II includes approximately $5.5 million of under-the-
pavement infrastructure replacement which the city of Miami
Beach is providing, including drainage and sewer lines, and
some electrical work. Improvements will occur from West
Avenue to Collins Avenue, and roughly from 17th street to 16th
street. Coordinating these needed improvements with the
construction that is planned for the Road will eliminate the
need to dig again in two or three years. An additional $1.5
million will come from city revenue sources to improve the
north-south cross-streets, including new curbs, gutters,
paving, traffic and pedestrian lights, etc. $9.0 million will
pay for the enhancement of the pedestrian environment on
'Lincoln Road and cross streets. Phase 1 improvements are
included in this amount as well as all new pavement, signage,
pedestrian directories, benches, refurbishing, new fountains,
more street trees and paving for cross street areas, etc.
Money advanced to the Task Force for the planning effort thus
far, including staff, planning and design consultants totaling
approximately $400,000 will be included in this budget.
LINCOLN ROAD CAPITAL IMPROVEMENT COSTS
Source
Infrastructure
$ 5.5 million
City - Water, Sewer, Storm
Water Fees
Road Work (off mall)
$ 1.5 million
$ 9.0 million
city - Gas Tax
Mall "enhancements"
50% City: Resort Tax,Other
50% Property Owners:
Assessment Dist.
Total Costs:
$16.0 million
ODerational Costs:
Annual (1st year only)
$759,000.00
66% City: Resort Tax
34% Property Owners:
Assessment Dist.
Phase II improvements are scheduled to be started in April of
1995, and completed within fourteen to eighteen months.
The Lincoln Road Task Force has supported the concept of
property owners paying for $4.5 million or half of the
enhancement portion of the project. The action before the
City Commission today is to consider the formation of a
special assessment district for the purpose of funding these
improvements in accordance with the provisions of Florida
Statutes Chapter 170. The concept is to provide $4.5 million
(plus loan costs) with interest capitalized during
construction with a 17 year amortization at 8% interest,
requiring a debt service of approximately $538,500 annually.
No assessments will be assessed against property owners until
the physical improvements are certified "DONE," which is
expected to be accomplished by November 1995.
After consideration of many methods of assessment, consensus
was reached by the Lincoln Road Task Force on an equitable
formula. The agreed upon assessment formula is a blended one,
charging for linear front footage, linear side footage, and a
rate per square foot for space above ground level. The method
of assessment and dollar amounts assessed per street and
property category are presented in Exhibit "A". The
assessment will be based upon information gathered from Dade
County, as well as field verification done by the engineering
firms of Bermello Ajamil and Partners, ,Inc., and Post Buckley
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j~2
Schuh and Jernigan, Inc. (See attached preliminary assessment
roll Exhibit liB".) Condominium owners included in the
district must be assessed individually. The anticipated
annual cost per unit will be similar to the Ocean Drive
Special Assessment District in which the condominium owners
are assessed based on the percentage of ownership of common
area. That roll is listed separately in the City Clerk's
office and at the Task Force Office. A map and legal
description of the Capital Improvement District is included
as Exhibit C-l.
B) Manaqement Services
In order to maintain the significant physical improvements
planned for Lincoln Road, and to provide other important
elements for a successful residential, business and cultural
district, a multi-purpose management plan is proposed. The
purpose of the management plan, which will be funded by this
District, is to facilitate property and business owner's
leadership and involvement in the improvement and enhancement
of the Lincoln Road area and most specifically, their own
property and business interests. The management program will
enhance and expand otherwise unavailable services or service
levels, facilities and improvements within the district.
Participation and baseline services provided by the City will
continue.
upgraded sanitation and garbage collection, sidewalk cleaning,
litter and graffiti control, security, operation of the Tram,
landscape maintenance, a marketing program for the district,
special event management, and other long range planning needs
will be included. The Lincoln Road revitalization plan allows
for these needs to be met and, in essence, determined by the
constituents of the district subject to annual review by the
City commission.
The cost for these services, including administration, is
estimated to be $759,000 for the first year. The proposed
budget is attached at Exhibit D. The City Attorney's Office
will require approval of the majority of property owners in
the district. This vote must take place prior to the final
reading of the Ordinance. As the district is initiated and
programs are established, the budget will be adjusted and
approved every year, so that services may be added or changed
and assessments changed accordingly. Other revenue sources
will include resort tax revenues and eventually table fees
from outdoor dining, revenue from lease of city property and
increased parking revenues. Here again, the City is asked to
be a partner in this district, paying $500,000/year for the
first two years. Future allocations from the City of Miami
Beach will be subject to availability of funds and the overall
City budget process.
The district will be managed by the Lincoln Road Partnership
Inc., the successor organization to the Lincoln Road Task
Force, which will have representatives from all interests that
make up Lincoln Road. An agreement with the organization,
similar to the Ocean Drive Management Agreement, between the
City and the entity, will be prepared. By-laws for the
organization have been drafted and will be available for
review by the time of the second public hearing.
Again, the assessment formula, which will provide $282,854 the
first year, is a blended formula based upon linear front
footage, side footage and a per square foot fee for area above
the ground floor. As indicated previously, the method of
assessment and dollar amounts assessed per street and property
category are presented in Exhibit A. Assessments for these
purposes would be collected later this year. Again, the
assessment to property will be based upon information gathered
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j53
from Dade County, as well as some field verification done by
the engineering firms of Bermello Ajamil, and Post Buckley.
Unlike the capital Improvements District, the east and west
boundaries for the Management District were amended to only
extend to Alton Court on the east and Collins Avenue on the
West thereby limi ting the impact on residential property
owners. A map and legal description of the Management
District is included as Exhibit C-2.
FINANCING:
The . Lincoln Road proj ect consists of three components,
infrastructure improvements of approximately $5.5 million,
construction of the road portions north and south of Lincoln Road
at an approximate cost of $1.5 million and the enhancement
improvements 50% of which will be recovered through special
assessments of approximately $9 million. The combined project cost
of $16 million will be financed through a loan from the Sunshine
State Municipal Loan Pool. This Loan Pool is on a variable rate
basis with the rate payable on the loan tied to the tax exempt
thirty day rate. This thirty day rate is currently at
approximately 3.25 percent and the loan will ha~e a final maturity
of twenty years. Anticipated debt service is $1.5 million
annually.
The funds that will be used to repay this loan come from various
sources. The portion attributable to infrastructure improvements
(approximately $500,000 annually) will be repaid from a combination
of water and sewer funds, storm water funds and proceeds of the
gasoline tax. The balance of the project will be financed from the
special assessment and from Resort Tax.
Finally, the City'S share of the costs for the
maintenance/management district ($500,000) will come from the
Resort Tax the first two years. Beyond that time frame, the City
share will be generated by revenues from the table tax on Lincoln
Road and increased revenue from other sources on Lincoln Road,
including revenues from the lease of city property and increased
parking revenues.
CONCLUSION:
Lincoln Road is making a dramatic comeback, stimulated by
improvements in the South Beach area, but primarily based on the
anticipation of an improved business environment that is physically
improved and managed well. Owners of Lincoln Road property
recognize this and have proposed a plan to accomplish that vision.
It is fair for the City of Miami Beach to provide basic
infrastructure needs as well as a portion of the aesthetic
enhancements. It is further appropriate for the City to provide
basic operational services. Service enhancements are being funded
by the owners and their tenants similar to Ocean Drive. This
innovative approach will ensure that this Lincoln Road effort
creates long-term success.
The city commission should adopt the attached Resolutions on first
reading after the public hearing.
RMC: jph
Attachments
154
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