96-21962 RESO
RESOLUTION NO.
96-21962
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE
CITY OF MIAMI BEACH, FLORIDA REQUESTING THE BOARD OF
COUNTY COMMISSIONERS OF METROPOLITAN DADE COUNTY,
FLORIDA TO WAIVE THE COUNTY ROAD IMP ACT FEE AND
AMORTIZE OVER A TERM OF 30 YEARS THE PAYMENT OF THE
WATER AND SEWER IMPACT FEE, WITH REGARD TO THE PROPOSED
LOEWS MIAMI BEACH HOTEL PROJECT.
WHEREAS, the City of Miami Beach, Florida (the "City") currently is negotiating with
representatives of Loews Corporation for the development and operation of the proposed Loews
Miami Beach Hotel; and
WHEREAS, the Miami Beach Redevelopment Agency anticipates disbursing approximately
$50 million in incentives to facilitate the development of the hotel; and
WHEREAS, the proposed hotel will be the first new convention hotel built in Miami Beach
in approximately 30 years; and
WHEREAS, the proposed hotel is expected to have a significant positive impact on the
convention and tourism business of the county as a whole, as well as on numerous related economic
factors; and
WHEREAS, it is in the best interest of the City as well as Metropolitan Dade County to
promote the development of a major convention center hotel in Miami Beach; and
WHEREAS, Loews's budget for the hotel project is under pressure due to escalating costs
associated with the impact of inflation over the last two years, new and more costly building codes
and compliance with historic preservation issues; and
WHEREAS, due to the need to effect savings in the development budget for the hotel
project, representatives ofthe City and Loews Corporation are requesting that the County waive and
amortize certain fees relating to the development of the proposed hotel project; and
WHEREAS, a road impact fee in the amount of approximately $610,000 and a water and
sewer impact fee in the amount of approximately $357,000 are two of the fees that would be
imposed by the County on the Loews Miami Beach Hotel project; and
WHEREAS, the waiver of the County road impact fee and the amortization over a term of
30 years of the payment of the County water and sewer impact fee will facilitate the development
and construction of the Loews Miami Beach Hotel.
NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND CITY
COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA that:
1. The City hereby respectfully requests that the Board of County Commissioners of
Metropolitan Dade County waive the County road impact fee and amortize over a
term of 30 years the payment of the County water and sewer impact fee, with regard
to the proposed Loews Miami Beach Hotel project.
2. This Resolution shall take effect immediately upon its adoption.
PASSED AND ADOPTED this 17th
ATTEST:
Ro~~ fiA^~
CITY CLERK
FORM APPROVED
LEGAL NPT
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CITY OF
MIAMI BEACH
CITY HALL 1700 CONVENTION CENTER DRIVE MIAMI BEACH FLORIDA 33139
COMMISSION MEMORANDUM NO. ~ 3-g (..
TO:
Mayor Seymour Gelber and
Memben of the City Commission
DATE:
April 17, 1996
FROM:
Jose Garcia_pedro,/!
City Manager
A RESOLUTIO OF THE MAYOR AND CITY COMMISSION OF THE
CITY OF MIAMI BEACH, FLORIDA, REQUESTING THE BOARD OF
COUNTY COMMISSIONERS OF METROPOLITAN DADE COUNTY TO
WAIVE THE COUNTY ROAD IMP ACT FEE, AND TO AMORTIZE THE
THE COST OF THE WATER AND SEWER IMPACT FEES RELATED TO
THE LOEWS MIAMI BEACH PROJECT, FOR AN AGREED-UPON
TERM.
SUBJECT:
ADMINISTRATION RECOMMENDATION:
The City Commission should request a waiver of the Metro Dade County Road Impact fee and the
amortization of the cost of the Dade County Water and Sewer Impact fee for the Loews St. Moritz
Hotel Project for an agreed-upon term.
BACKGROUND:
On March 13, 1996, a meeting was held between Metro-Dade County Commissioner, Arthur Teele,
Mayor Seymour Gelber, Jonathan Tisch and Jack Adler of Loews Hotels, Michael Meyer of
Tishman Hotel Corporation and Luis Reiter of Squire, Sanders and Dempsey. The purpose of the
meeting was to discuss the possibility of waiving the Metro Dade County road impact fee and the
water and sewer impact fee for the Loews St. Mortiz Hotel Project. Commissioner Teele requested
that the City of Miami Beach pass a resolution requesting the waiver of the road impact fee and the
amortization of the water and sewer impact fee from the Board of County Commissioners.
ANALYSIS
As negotiations are progressing towards a development agreement, Loews's budget for the hotel
project is under pressure due to escalating costs associated with the impact of inflation over the
last two years, new and more costly building codes and compliance with historic preservation
issues. In order to prevent potential overspends, which will adversely impact the City's financial
position under the lease, certain measures need to be taken including but not limited to waiving the
County's road impact fee and amortizing the cost of the water and sewer impact fees over a 3D-year
period. Collectively, the fees amount to approximately $1 million. These fees. are as follow:
AGENDA ITEM~
DATE '--l:Jl-qt:,
Type of Fee:
Road Impact fee
Water & Sewer Impact fee
Total County fees:
Manner of Assessment:
$1,042/room
100 gallons/day X Number of rooms X $5.44
Cost to Project:
$ 610,000
357.000
$ 967,000
Note: Both fee structures aI/ow credit for pre-existing rooms.
CONCLUSION
Passage of this resolution will provide Commissioner Teele with a basis for recommending a waiver
of the County's fees before the Board of County Commissioners. This action is necessary in order
help prevent overspends in the budget.
JGP/HM:kob
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