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Home My WebLink About2006-26420 ResoRESOLUTION NO. 2006-26420 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, APPROVING ON FIRST READING, IN ACCORDANCE WITH THE REQUIREMENTS OF SECTIONS 163.3220 - 163.3243, FLORIDA STATUTES, ALSO REFERRED TO AS THE "FLORIDA LOCAL GOVERNMENT DEVELOPMENT ACT", A FIRST ADDENDUM ("ADDENDUM") TO THE DEVELOPMENT AGREEMENT BETWEEN THE CITY OF MIAMI BEACH ("CITY") AND THE NEW WORLD SYMPHONY ("NWS"), DATED JANUARY 5, 2004, WHICH AGREEMENT PROVIDED FOR DEVELOPMENT OF THAT CERTAIN PROJECT REFERRED TO AS THE "NEW WORLD SYMPHONY CAMPUS EXPANSION", WHICH PROJECT PROVIDES FOR THE DESIGN, DEVELOPMENT AND CONSTRUCTION OF A NOT TO EXCEED 50,000 SQUARE FOOT EDUCATIONAL PERFORMANCE AND INTERNET BROADCAST FACILITY AND AN EXTERIOR SCREEN (FORMERLY KNOWN AS "SOUNDSPACE"), A PUBLIC PARKING GARAGE CONTAINING BOTH PARKING AND GROUND FLOOR RETAIL SPACE, AND CERTAIN OTHER PUBLIC STREETSCAPE IMPROVEMENTS, INCLUDING A PARK, AS SAME SHALL BE AGREED UPON BETWEEN THE CITY OF MIAMI BEACH AND NWS; SAID ADDENDUM PROVIDING FOR AN INCREASE IN THE CITY'S REQUIRED FUNDING CONTRIBUTION TOWARD THE DESIGN, DEVELOPMENT AND CONSTRUCTION OF THE PUBLIC PARKING GARAGE, TO A TOTAL AMOUNT NOT TO EXCEED $15,210,135; AND AUTHORIZING NWS TO PROCEED WITH THE FOLLOWING PUBLIC IMPROVEMENTS, FUNDED BUY THE CITY AND TO BE DESIGNED, DEVELOPED, AND CONSTRUCTED BY NWS (IN ACCORDANCE WITH THE DEVELOPMENT AGREEMENT AND THE ADDENDUM): THE PARK ADJACENT TO THE PROPOSED NEW WORLD SYMPHONY CAMPUS EXPANSION (THE PARK PROJECT), AT A TOTAL COST NOT TO EXCEED $13,810,000; AND CERTAIN OTHER ADDITIONAL PUBLIC STREETSCAPE IMPROVEMENTS (THE ADDITIONAL IMPROVEMENTS), AT A TOTAL COST NOT TO EXCEED $6,400,000. WHEREAS, on September 8, 2004, the Mayor and City Commission adopted Resolution No. 2004-25681, approving Concept Plan #4 presented by NWS; referring the issue of the Park design to the Finance and Citywide Projects Committee, recommending to maximize the number of parking spaces in the City's parking structure; and requesting the Design Review Board to conduct a preliminary design review of the Project; and WHEREAS, pursuant to the direction of the City Commission on September 8, 2004, and consistent with the Planning Board's August 24, 2004 recommendation that the entire two (2) blocks, including the Park, be designed as an integrated site, Gehry Partners LLP was asked to submit a proposal and cost estimate to undertake design services for the proposed Park; and WHEREAS, on October 26, 2004, the Finance and Citywide Projects Committee, upon reviewing NWS' proposal, recommended in favor of expanding NWS' scope of responsibilities to include the design and development of the Park; Drexel Avenue, between North Lincoln Lane and 17`h Street and improvements adjacent to the new garage, at the City's cost and expense, not to exceed $10,000,000; an area comprising the Theater of the Performing Arts entry landscaping, at the City's cost and expense, not to exceed $1,150,000; and an area comprising North Lincoln Lane improvements, atthe City's cost and expense, not to exceed $500,000; and WHEREAS, on December 8, 2004, the Mayor and Commission held a duly noticed public hearing to consider on first reading, a First Addendum to the Development Agreement relative to the City and Developer's respective responsibilities regarding the design and construction of the Park; and WHEREAS, the Mayor and City Commission expressed concerns about proceeding with the Park Project and the corresponding expenditure of funds for design services, without ensuring NWS commitment to proceed with its Soundspace Project; and WHEREAS, the proposed First Addendum was subsequently withdrawn until such time that the City Commission's concerns could be addressed; and WHEREAS, on January 9, 2006, in accordance with the timeline specified in the Development Agreement, NWS submitted preliminary plans and specifications for the Project ( Soundspace and the Garage), for review and comment by the Administration; and WHEREAS, since the plans did not substantially deviate from the Concept that was approved by the City Commission on September 8, 2004, the City Manager authorized NWS to proceed with design development, subject to comments and concerns submitted by Planning and Zoning and other departments which reviewed the plans; and WHEREAS, since that time, NWS and the City have been working together to define the processes and refine the scope for implementing NWS' plans, as well as the City's overall vision for developing the Park and the areas surrounding the entire development site; and WHEREAS, this process involved redefining the zones that were initially presented at the October 26, 2004 Finance Committee meeting, to better address the phasing and inter- relation of the various components (i.e., the Garage, Soundspace {now referred to as the Symphony Campus}, the Park, Lincoln Lane and Pennsylvania Avenue); defining the City's and NWS' respective scope and responsibilities relative to surrounding infrastructure and streetscape improvements; re-valuing the "build-to" cost estimates for the Garage, the Park Project and related infrastructure components; determining the not-to-exceed cost estimate to develop schematics and the BODR for the Park Project; and establishing terms and conditions relative to the development of the Park Project; and WHEREAS, on November 30, 2006, a revised First Addendum to the Development Agreement was presented to the Finance and Citywide Projects Committee (the Committee) for its consideration and approval, in addition to a request by NWS for a Grant-in-Aid, in the amount of $15 Million for operational and non-capital costs anticipated by NWS as necessary in order to sustain the viability of its overall Project and NWS in the future; and WHEREAS, the Committee also expressed concern with approving a higher budget for the Garage than the City's maximum per-space cost that was originally committed to in the Development Agreement, ($12,250 per space for hard costs and 12.5% of the hard cost per space for soft costs), which also includes a provision for a CPI adjustment to address cost escalations at the time the building permit is issued; and WHEREAS, an additional concern of the Committee was with approving the $15 Million Grant-in-Aid request, without the benefit of further review by the City Commission and input from the public; and WHEREAS, with respect to the Garage, the Committee recommended that, pending further evaluation of the additional cost requested, NWS should abide by the numbers in the Development Agreement as noted above and proceed with the design of the Garage accordingly; and WHEREAS, the Committee accepted the City Manager's recommendation to re-visit the requested increased Garage costs at a later date, but to allow NWS to proceed with the Park Project at a total not to exceed cost of $13,810,000, and certain streetscape and other improvements (Additional Improvements), at a total not to exceed cost of $6,400,000; and WHEREAS, the Committee also determined to add TOPA's entry way landscaping back into the scope for the Park Project, at an estimated additional cost of $1,150,000; and WHEREAS, the Committee also recommended that, as an option, or in lieu of the City requiring NWS to reimburse the City for its soft costs, in the event the Symphony Campus Project failed to proceed, NWS should secure a full right-of-assignment, from Gehry Partners, LLP and the Project's General Contractor, which would allow the City, at its option, to assume the agreements and allow the City to proceed with completion of the Park and Garage portions of the Project (in the event NWS elected not to, or could not proceed); and WHEREAS, the Committee also accepted the City Manager's recommendation to schedule a Commission Workshop for January, 2007 to further discuss the Symphony Campus Project (particularly the Park Project), the increased cost for the Garage, and the request for the Grant-in-Aid; and WHEREAS, notwithstanding the Committee's recommendation, as set forth in the Resolution, the attached First Addendum represents the negotiations between the NWS and the City to date, which contemplates the City funding the Park, the Additional Improvements and the increased cost for the Garage, subject to the terms and conditions contained in the Development Agreement and the First Addendum. 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 approve on first reading, in accordance with the requirements of Sections 163.3220 - 163.3243, Florida Statutes ,also referred to as the "Florida Local Government Development Act," a First Addendum to the Development Agreement between the City of Miami Beach ("Owner")and the New World Symphony ("Developer"), dated January 5, 2004, which Agreement provided for development of that certain Project referred to as the "New World Symphony Campus Expansion", which Project provides for the design, development, and construction of a not to exceed 50,000 square foot educational performance and Internet broadcast facility and an exterior screen (formerly known as "Soundspace"), a public parking garage containing both parking and ground floor retail space, and certain other public streetscape improvements, including a Park, as same shall be agreed upon between the City of Miami Beach and NWS; said Addendum providing for an increase in the City's required funding contribution toward the design, development and construction of the public parking garage, to a total amount not to exceed $15,210,135; and authorizing NWS to proceed with the following public improvements, to be funded by the City and designed, developed, and constructed by NWS (in accordance with the Development Agreement and the Addendum); the Park adjacent to the proposed NWS Campus Expansion (the Park Project), at a total cost not to exceed $13,810,000; and certain other additional public streetscape improvements (the Additional Improvements), at a total cost not to exceed $6,400,000; and, further setting a second public hearing required pursuant to Section 82-36 through 82-40 of the code of the City of Miami Beach, on January 17, 2007, for approval of said First Addendum to the Development Agreement between the City of Miamj Beach and the New World Symphony. PASSED and ADOPTED this 6th day of VID DERMER, MAYOR A EST: C' BERT PARC ER, CITY CLERK T: WGENDA@DWbeWG06\Regular\NW$ A,mantlmeM Reso tloc APPROVED A3 TO FORM 8 LANGUAGE