625-2017-RDA-1RESOLUTION NO, 625 -2017
A RESOLUTION OF THE CHAIRPERSON AND MEMBERS
OF THE MIAMI BEACH REDEVELOPMENT AGENCY
ADOPTING THE FINAL OPERATING BUDGETS FOR THE
CITY CENTER REDEVELOPMENT AREA, THE ANCHOR
SHOPS AND PARKING GARAGE, AND THE
PENNSYLVANIA AVENUE SHOPS AND PARKING
GARAGE FOR FISCAL YEAR 2017/18.
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
2017/18; and
WHEREAS, the proposed budgets for the Anchor Shops and Parking Garage and the
Pennsylvania Avenue Shops and Garage have been included as separate schedules to the City
Center Redevelopment Area Budget, reflecting projected revenues and operating expenses for
Fiscal Year 2017/18; and
WHEREAS, beginning in FY 2015/16, the Miami Dade County Interlocal agreement
stipulates that the use of tax increment revenues to fund the Miami Beach Redevelopment
Agency's expenses for Administration, Community Policing, and Capital Projects Maintenance
shall not exceed the prior fiscal year's distribution for such expenses, adjusted by the lesser of
the Miami Urban Area CPI or 3% annually to be calculated using the Miami Fort Lauderdale All
Urban Consumers CPI from July to June for the prior year; and
WHEREAS, the Executive Director of the Miami Beach Redevelopment Agency
recommends approval of the Fiscal Year 2017/18 tentative operating budget for the City Center
Redevelopment Area, as well as for the Anchor Shops and Parking Garage, and the
Pennsylvania Avenue Shops and Garage, as outlined in Exhibit A.
NOW, THEREFORE, BE IT DULY RESOLVED BY THE CHAIRPERSON AND
MEMBERS OF THE MIAMI BEACH REDEVELOPMENT AGENCY, that the Chairperson and
Members hereby adopt the final 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 2017/18.
City Center Redevelopment Area $52,641,000
Anchor Garage Parking Operations 3,906,000
Anchor Garage Retail Operations 1,433,000
Pennsylvania Avenue Garage Parking Operations 1,084,000
Pennsylvania Avenue Garage Retail Operations 490,000
PASSED and ADOPTED this 25th day of September, 2017.
ATTEST/ e,if i
Rafael E. Gra ado, ecretary
Philip L- v ne, Chairperson
APPROVED AS TO
FORM & LANGUAGE
& FOR EXEC :ION
/ City Attorney
760
Dote
Miami Beach Redevelopment Agency
City Center Redevelopment Area
Adopted FY2017/18 Operating Budget
EXHIBIT A
FY 2014/15 FY 2015/16 FY 2016/17 FY 2017/18 FY18to FY17
Actual Actual Adopted Adopted Variance
Revenues and Other Sources of Income
Tax Increment - City 21,435,094 24,564,503 28,856,000 29,411,000 555,000
Proj Adjustment to City Increment (1,381,292) (1,451,209) (1,723,000) (1,913,000) (190,000)
Tax Increment - County 17,264,754 20,079,885 23,588,000 23,986,000 398,000
Proj Adjustment to County Increment (1,066,658) (1,164,130) (1,388,000) (1,563,000) (175,000)
1/2 Mill Children's Trust Contribution 1,842,210 2,146,798 2,528,000 2,570,000 42,000
Interest Income 83,599 126,980 60,000 150,000 90,000
Other Income /Adjustments: 3,091 4,413 0 0 0
TOTAL REVENUES 38,180,798 44,307,241 51,921,000 52,641,000 720,000
Admin /Operating Expenditures
Management fee 972,000 981,996 984,000 390,000 (594,000)
Office supplies & equipment 533 0 0 0 0
Other Operating 200 0 0 0 0
Dues & subscriptions 0 175 0 0 0
Audit fees 18,999 34,077 23,000 23,000 0
Professional & related fees 316,133 0 0 0 0
Repairs and Maintenance 14,924 52,000 92,000 151,000 59,000
Internal Services 220,267 98,499 54,000 154,000 100,000
Total Admin /Operating Expenditures 1,543,056 1,166,747 1,153,000 718,000 (435,000)
Project Expenditures
Community Policing:
Police 4,438,935 4,239,564 4,468,000 4,581,000 113,000
Code Compliance 182,121 194,215 196,000 201,000 5,000
Capital Projects Maintenance:
PropertyMgmt 1,279,683 1,467,541 1,526,000 1,553,000 27,000
Sanitation 3,061,000 3,339,000 3,339,000 3,914,000 575,000
Greenspace 644,273 615,413 877,000 828,000 (49,000)
Parks Maintenance 178,579 282,458 493,000 499,000 6,000
Total Project Expenditures 9,784,591 10,138,191 10,899,000 11,576,000 677,000
Reserves, Debt Service and Other Obligations
Debt Service Cost 7,074,060 27,067,937 21,678,000 21,676,000 (2,000)
City Debt Service - Lincoln Rd Project 832,000 516,000 0 0 0
City Debt Service - Bass Museum 548,000 806,000 0 0 0
Reserve for County Admin Fee 242,971 283,736 333,000 337,000 4,000
Reserve for CMB Contribution 300,807 346,699 407,000 414,000 7,000
Reserve for Children's Trust Contribution 1,842,210 2,146,798 2,528,000 2,570,000 42,000
Escrow for Debt Service Payoff 0 0 14,923,000 14,350,000 (573,000)
Transfer to Convention Center 0 0 0 1,000,000 1,000,000
Total Reserves, Debt Service and Other Obligations 10,840,048 31,167,171 39,869,000 40,347,000 478,000
TOTAL EXPENDITURES AND OBLIGATIONS 22,167,695 42,472,109 51,921,000 52,641,000 720,000
SURPLUS / (GAP) 16,013,103 1,835,132 0 0 0
EXHIBIT A
Adopted FY2017/18 Anchor Shops and Anchor Garage Operating Budget
Anchor Parking Garage FY 2014/15 FY 2015/16 FY 2016/17 FY 2017/18 FY18 to FY17
Revenues: Actual Actual Adopted Adopted Variance
Valet Parking 389,992 ,215,693 317,000 387,000 70,000
Monthly Permits 574,437 430,110 430,000 538,000 108,000
Attended Parking 2,631,829 2,893,965 3,004,000 2,892,000 (112,000)
Interest Income 45,720 47,721 43,000 72,000 29,000
Misc./ Other 16,158 29,598 17,000 17,000 0
Fund Balance - Retained Earnings 0 0 0 0 0
TOTAL REVENUES 3,658,135 3,617,088 3,811,000 3,906,000 95,000
Operating Expenditures:
Salaries & Benefits 0 0 0 0 0
Operating Expenses 2,803,205 2,915,944 3,494,000 3,407,000 (87,000)
Internal Services 266,582 176,918 198,000 351,000 153,000
Capital 0 0 0 58,000 58,000
Contingency /Reserve 0 0 119,000 90,000 (29,000)
TOTAL EXPENDITURES 3,069,788 3,092,861 3,811,000 3,906,000 95,000
Revenues Less Expenditures 588,347 524,227 0 0 0
Anchor Shops FY 2014/15 FY 2015/16 FY 2016/17 FY 2017/18 FY18to FY17
Revenues: Actual Actual Adopted Adopted Variance
Retail Leasing 754,327 864,198 1,100,000 1,255,000 155,000
Capital & Maintenance 27,209 93,776 154,000 148,000 (6,000)
Interest earned 29,500 32,926 30,000 30,000 0
TOTAL REVENUES 811,036 990,900 1,284,000 1,433,000 149,000
Operating Expenditures:
Salaries & Benefits 0 0 0 0 0
Operating Expenses 75,453 567,533 699,000 682,000 (17,000)
Internal Services 24,000 25,000 29,000 30,000 1,000
Capital 0 0 300,000 0 (300,000)
Contingency /Reserve 0 0 256,000 721,000 465,000
TOTAL EXPENDITURES 99,453 592,533 1,284,000 1,433,000 149,000
Revenues Less Expenditures 711,583 398,367 0 0 0
COMBINED REVENUES - EXPENDITURES 1,299,931 922,594 0 0 0
EXHIBIT A
Adopted FY2017/18 Pennsylvania Ave Shops and Pennsylvania Garage Operating Budget
Pennsylvania Parking Garage FY 2014/15 FY 2015/16 FY 2016/17 FY 2017/18 FY18 to FY17
Revenues: Actual Actual Adopted Adopted Variance
Transient 652,296 626,747 610,000 599,000 (11,000)
Monthly 187,422 296,336 272,000 372,000 100,000
Miscellaneous 4,273 5,336 0 3,000 3,000
Interest Income 196 224 3,000 0 (3,000)
Transfer In from RDA (Garage) 96,198 107,000 334,000 110,000 (224,000)
Retained Earnings 0 0 0 0 0
TOTAL REVENUES 940,385 1,035,644 1,219,000 1,084,000 (135,000)
Operating Expenses:
Salaries & Benefits 0 0 0 0 0
Operating Expenses 963,445 994,575 1,219,000 986,000 (233,000)
Internal Services 0 58,546 0 98,000 98,000
Capital 0 0 0 0 0
TOTAL EXPENDITURES 963,445 1,053,121 1,219,000 1,084,000 (135,000)
Revenues Less Expenditures (23,060) (17,477) 0 0 0
Pennsylvania Shops FY 2014/15 FY 2015/16 FY 2016/17 FY 2017/18 FY18 to FY17
Revenues: Actual Actual Adopted Adopted Variance
Retail Leasing 103,676 0 0 0 0
Capital & Maintenance 27,643 0 0 0 0
Interest earned 790 245 0 0 0
Miscellaneous 0 0 0 0 0
Prior Years' Adjustment 0 (59,232) 0 0 0
Transfers In 0 449,000 389,000 490,000 101,000
TOTAL REVENUES 132,108 390,013 389,000 490,000 101,000
Operating Expenses:
Salaries & Benefits 0 0 0 0 0
Operating Expenses 360,107 358,867 389,000 490,000 101,000
Internal Services 0 0 0 0 0
Capital 0 0 0 0 0
TOTAL EXPENDITURES 360,107 358,867 389,000 490,000 101,000
Revenues Less Expenditures (227,999) 31,146 0 0 0
COMBINED REVENUES EXPENDITURES (251,059) 13,669 0 0 0
MIAMI BEACH
Redevelopment Agency - RDA 1.
COMMISSION MEMORANDUM
TO: Honorable Mayor and Members of the City Commission
FROM: Jimmy L. Morales, City Manager
DATE: September 25, 2017
SUBJECT: A RESOLUTION OF THE CHAIRPERSON AND MEMBERS OF THE MIAMI
BEACH REDEVELOPMENT AGENCY ADOPTING THE FINAL OPERATING
BUDGETS FOR THE CITY CENTER REDEVELOPMENT AREA, THE ANCHOR
SHOPS AND PARKING GARAGE, AND THE PENNSYLVANIA AVENUE SHOPS
AND PARKING GARAGE FOR FISCAL YEAR 2017/18.
Legislative Tracking
Tourism, Culture and Economic Development
ATTACHMENTS:
Description
o FY18 2nd PFI Budget "EMO-RDA
Ci Resolution
Page 154 of 183
City of Miami Beach, 1700 Convention Center Drive, Miami Beach, Florida 33139, www.miamibeachfl.gov
COMMISSION MEMORANDUM
TO: Mayor Philip Levine and Members of the City Commission
FROM: Jimmy L. Morales, City Manager
DATE: September 25, 2017
SUBJECT: A RESOLUTION OF THE CHAIRPERSON AND MEMBERS OF THE MIAMI BEACH
REDEVELOPMENT AGENCY, ADOPTING AND APPROPRIATING THE
OPERATING BUDGETS FOR THE CITY CENTER REDEVELOPMENT AREA THE
ANCHOR SHOPS AND PARKING GARAGE AND THE PENNSYLVANIA AVENUE
SHOPS AND GARAGE FOR FISCAL YEAR (FY) 2017/18.
ADMINISTRATION RECOMMENDATION
The Administration recommends that the City Commission adopt the attached Resolution which
establishes final budget for the City Center Redevelopment Agency (RDA), the Anchor Shops
and Garage, and the Pennsylvania Avenue Shops and Garage for Fiscal Year (FY) 2017/18.
ANALYSIS
The proposed budget for the City Center Redevelopment Area (RDA) for Fiscal Year 2017/18
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.
Beginning in FY 2015/16 and each year thereafter, the amended Miami Dade County Interlocal
agreement stipulates that the use of tax increment revenues to fund the Miami Beach
Redevelopment Agency's expenses for Administration, Community Policing, and Capital
Projects Maintenance shall not exceed the prior fiscal year's distribution for such expenses,
adjusted by the lesser of the Miami Urban Area CPI or 3 % annually to be calculated using the
Miami Fort Lauderdale All Urban Consumers CPI from July to June for the prior year.
Revenues
Based on the 2017 Certificate of Taxable Value from the Property Appraiser's Office, the
preliminary value of property in City Center is $5,702,556,459; an increase of 1.6% over 2016,
marking the seventh 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 2015/16, reflects a
decrease from the preliminary valuation for the same year and will result in a corresponding
adjustment /reduction in TIF revenues totaling $3.5 million for FY 2017/18.
Additional sources of revenue include a 1/2 mill levy in the amount of $2.5 million, to be set aside
for the Children's Trust pursuant to an Interlocal Agreement, dated August 16, 2004 between the
RDA, the City of Miami Beach and Miami -Dade County; and an estimated $150,000 in interest
income. Page 155 of 183
Redevelopment Agency Memorandum
Operating Budget for City Center for FY 2017/18
September 25, 2017
Page 2 of 3
Expenditures
Project- related expenses account for approximately $11.6 million which includes $4.5 million to
be allocated for community policing initiatives in City Center to continue to provide enhanced
levels of staffing and services throughout the area, and $6.8 million for maintenance of RDA
capital assets. There is no additional funding for on -going and planned capital projects in City
Center in the FY 2017/18 Budget due to the RDA extension for the renovation and expansion of
the convention center.
Administrative Expenses total $718,000, which includes a management fee of $390,000 which is
allocated to the General Fund to pay for direct and indirect staff support for the RDA; $23,000 for
audit fees; and $151,000 for capital renewal and replacement projects under $25,000.
The budget includes $21.6 million in debt service payments to cover debt service costs related to
the Convention Center bonds, which were issued in 2015. $14.3 million is budgeted in Reserve
for Contingency /Debt Service. Funds in the reserve over and above the annual debt payment
can be used to finance any potential shortfalls in the RDA fund or pay down the Convention
Center bonds early, but not prior to FY 2023/24.
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 1.5% of its respective TIF
payment; and the corresponding contribution to the City's General Fund, equivalent to 1.5% of
the City's share of its TIF payment; and the remittance of the 1/2 mill tax levy back to the
Children's Trust.
The revenues and expenditures associated with operations of the City Center area Shops and
Garages are presented as separate schedules in order to 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 $3.9 million, with
operating expenses, (including contractual revenue- sharing obligations with Loews and general
fund administrative fees) of approximately $3.9 million. The Anchor retail operation is expected
to generate approximately $1.4 million in revenues, with operating expenses totaling
approximately $682,000, resulting in a projected reserve of $721,000, after accounting for a
$490,000 budgeted transfer to the Pennsylvania Avenue Garage /Retail to offset the RDA's
estimated costs associated with the retail and parking operations. The Anchor Shops and
Parking Garage funds are not constrained by the stipulations of the RDA interlocal agreement.
Pennsylvania Avenue Shops and Garage
In consideration of the fact that the Pennsylvania Avenue Shops and Garage was built by the
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 on 2010 retail market cap rates. The retail operations also include
revenue sharing between the City and the RDA. The Pennsylvania Avenue Shops and Parking
Garage funds are not constrained by the stipulations of the RDA interlocal agreement.
Page 156 of 183
Redevelopment Agency Memorandum
Operating Budget for City Center for FY 2017/18
September 25, 2017
Page 3 of 3
The facility is anticipated to generate $1,076,000 in revenues in FY 2017/18, comprising totally
of parking revenues. In 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 2017/18, so the Anchor Garage /Retail plans to
subsidize its operations through a transfer of $490,000 to the Pennsylvania operations.
Expenses for the facility are budgeted at $1.6 Million, comprising $1.1 million in direct operating
costs for the garage and $490,000 in lease term - related obligations.
CONCLUSION
The proposed FY 2017/18 City Center Redevelopment Area Budget is $52,641,000. The Anchor
Garage & Shops is $5,339,000 and the Pennsylvania Avenue Garage & Shops is $1,566,000.
In 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 2017/18.
JLM /ES
Page 157 of 183
EXHIBIT A
MIAMI BEACH REVELOPMENT AGENCY
CITY CENTER REDEVELOPMENT AREA
FY 2017/18 OPERATING BUDGET AND STATUS REPORT
Background
On March 20, 1996, the Mayor and City Commission adopted resolution No. 96 -21927
authorizing the creation of an Interlocal Agreement between the City and Miami -Dade
County with respect to the Convention Development Tax (levied and collected pursuant to
section 212.0305, Florida Statutes), the Performing Arts, and other issues. This
agreement was last amended in 2014 via resolution No. 2014 - 28836, which extends
the term of the City Center RDA to the earlier of March 31, 2044 or the date the
Agency's indebtedness approved by the County is no longer outstanding. Beginning
2015/16 and each year thereafter, the use of tax increment revenues to fund the Miami
Beach Redevelopment Agency's expenses for Administration, Community Policing, and
Capital Projects Maintenance shall not exceed the prior fiscal year's distribution for such
expenses, adjusted by the lesser of the Miami Urban Area CPI or 3 % annually to be
calculated using the Miami Fort Lauderdale All Urban Consumers CPI from July to June for
the prior year.
Mission /Purpose Statement
• To assure continued economic viability of the City Center Redevelopment Area and
the City as a whole, through the implementation of the objectives and projects defined
in the Redevelopment Plan and the amendment thereto.
• To incur minimum relocation and condemnation.
• To involve community residents in the redevelopment process.
• To establish the necessary linkages to tie in the Convention Center, area hotels,
cultural amenities, entertainment, residential and business uses in the district.
• To enhance diversity of form and activity through the use of established planning and
design principles.
• To create a traffic system to serve local and through traffic needs.
• To recognize the historic structures and designations within the historic districts and
facilitate development accordingly.
Page 158 of 183
MIAMI BEACH REVELOPMENT AGENCY
CITY CENTER REDEVELOPMENT AREA
Status Report
The 332 -acre City Center /Historic Convention Village
Redevelopment and Revitalization Area (CC /HCVRRA or
City Center) was established in 1993 in order to provide
the funding mechanism to foster the development of new
convention hotel development within proximity of the
Miami Beach Convention Center and to establish the
necessary linkage between the City's many core area
civic, cultural and entertainment uses in order to create
the fabric of a true urban downtown.
Since its inception, the City Center Redevelopment Area
has undergone dynamic change through a combination of
public and private investment initiatives.
Exciting projects which have transformed the area include:
• Two convention - quality hotels, both of which were the result of public /private
partnerships between the Redevelopment Agency (RDA) and the respective Developers
- the 800 -room Loews Miami Beach Hotel and the 425 -room Royal Palm Crowne
Plaza Hotel, the latter of which had the distinction of being the first African- American
owned hotel in the United States;
• The development of an 800 -space public parking garage (Anchor Garage) to
accommodate the parking needs for the Loews Miami Beach Hotel, the Crowne Plaza
Hotel and other service and retail businesses in the area;
• A $20 million overhaul of Lincoln Road, partially funded with the participation of
businesses on Lincoln Road;
• An award - winning Beachwalk extending from 21st Street to
Lummus Park, comprising an at- grade, landscaped pedestrian
walkway;
• Implementation of a Cultural Arts Campus Master Plan for
the area east of the Miami Beach Convention Center, which
includes a new regional library, the headquarters of the
Miami City Ballet, the expansion and renovation of the Bass
Museum of Art, the re- landscaping of Collins Park, including
the restoration of the Rotunda and extensive streetscape
improvements throughout the area.
Page 159 of 183
MIAMI BEACH REVELOPMENT AGENCY
CITY CENTER REDEVELOPMENT AREA
• The completion of the much heralded New World
Campus, including the new state -of -the art Gehry-
designed headquarters facility for the New World
Symphony and two publicly- funded components,
including a $15 million municipal Gehry-
designed parking garage and a $21 million
world - class park.
Other important projects include the 650 -space
mixed -use parking facility built on the surface
parking lot on the west side of City Hall, which
includes 35,000 square feet of municipal office
space; the implementation of major street and
infrastructure improvements throughout City
Center, valued at more than $26 million; and
the acquisition and renovation of three multi-
family buildings (Barclay, Allen House, The
London House) to maintain the stock of
affordable housing in the area.
Page 160 of 183
MIAMI BEACH REVELOPMENT AGENCY
CITY CENTER REDEVELOPMENT AREA
Tax Increment Financing (TIF) through the sale of bonds has been a major tool for
financing redevelopment activities. To date, four bond issues have occurred in City
Center: one in 1994 for $25 million, to acquire land for the hotel development
initiatives; one in 1996, in the amount of $43.2
million to fund contractual obligations and capital
improvements related to the Loews Hotel and Crowne
Plaza Hotel projects; one in 1998, in the amount of
$38.2 million to finance capital expenditures related to
the convention hotel projects, the Cultural Campus
project and to repay the $21.5 million debt obligation
to the City; and the most recent, which occurred in 2005,
in the amount of $80.7 million to refinance the
outstanding debt service on prior bond issues.
The City and Redevelopment Agency's commitment to
upgrading and improving the area's infrastructure,
addressing parking and circulation issues, and
facilitating new development has fueled significant new
private - sector investment in the area, evidenced by more
than $600 million in new building permit activity since
the area's inception.
Work Plan
Since its success in attracting two convention - quality hotels, the Redevelopment Agency
has been focusing its efforts on a number of initiatives aimed at upgrading the area's
infrastructure, streets and parks, alleviating traffic and parking congestion and
encouraging the production and presentation of arts and cultural activities in the area. In
2003, the Redevelopment Agency amended its Redevelopment Plan for City Center to
specifically address these objectives in the context of the New World Symphony's
expansion plans involving the 17th Street surface lots and the resulting impact to the
Convention Center and businesses in the area.
To this end, the Redevelopment Agency's mission is to coordinate, implement and fund
the Plan's objectives. The Redevelopment Agency's objective over the next five years will
focus on the planning and implementation of capital projects associated with, but not
limited to the Master Plan for the expansion of the Convention Center, upgrading
streetscapes and related infrastructure throughout City Center and increasing the
inventory of parking facilities, including the pending construction of a new 450 -space
parking garage to be located on 23rd Street and Collins Avenue. The RDA will also
continue to fund public service enhancements provided for under the Community Policing
Program as well as ensure the on -going maintenance of capital assets funded with TIF. It
Page 161 of 183
MIAMI BEACH REVELOPMENT AGENCY
CITY CENTER REDEVELOPMENT AREA
should be noted that that a majority of the capital enhancements set forth in the
Redevelopment Plan and the 2002 Amendment thereto, have been completed and /or are
currently underway, including the City Center Right -of -Way improvements, the City Hall
Expansion Garage, the Collins Park improvements and the development of the 17'h Street
surface lots into the New World Campus.
Miami Beach Convention Center Renovation and Expansion
Spanning four city blocks and located in the heart of the South Beach, the Miami Beach
Convention Center (MBCC) 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 million square feet of flexible space, including over 500,000 square feet of exhibit
space, 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 existing Miami Beach Convention Center includes
the re- orientation of the exhibit halls, facade modifications, site improvements along the
canal, and along all roadways, the addition of a multi -story ballroom and meeting rooms,
and two levels of 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 East /West direction with the primary access from Convention
Center Drive, although Washington Avenue will serve as a secondary means of entry.
Page 162 of 183
MIAMI BEACH REVELOPMENT AGENCY
CITY CENTER REDEVELOPMENT AREA
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 grand multi- story
ballroom is proposed offering vistas of the beautified 21St 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 -off 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
visitor 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.
In association with the renovations to the Miami Beach Convention Center, a new urban
park, 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 lawn.
Page 163 of 183
MIAMI BEACH REVELOPMENT AGENCY
CITY CENTER REDEVELOPMENT AREA
Budget Highlights
• Based on the 2017 Certificate of Taxable Value from the Property Appraiser's Office
released on July 1st, the certified value of property in City Center increased by 1.60%
over 2016 to $5.7 billion, marking the 7th year in a row that values are on the rise.
The City portion of the tax increment totals $29.5 million and $24 million in the
County portion of the tax increment. 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 2015, reflects a significant decrease from the
preliminary valuation for the same year and will result in a corresponding
adjustment /reduction in TIF revenues totaling $3.5 million for 2017/18.
• Additional sources of revenue include a '/2 mill levy in the amount of $2.57 million, to
be set aside for the Children's Trust pursuant to an Interlocal Agreement between the
RDA, the City of Miami Beach and Miami -Dade County, as well as an estimated
$150,000 in interest income.
• Project - related expenditures account for approximately $11.6 million, which include
$4.8 million to be allocated for community policing initiatives in City Center to
continue to provide enhanced levels of staffing and services throughout the area, and
$6.8 million for maintenance of RDA projects. There is no additional funding for on-
going and planned capital projects in City Center in the FY 2017/18 budget due to
the RDA extension for the renovation and expansion of the Miami Beach Convention
Center.
• Administrative expenditures total $718,000, which include a management fee of
$390,000 allocated to the General Fund to pay for direct and indirect staff support;
$23,000 for auditing fees; $154,000 for internal services; and $151,000 for
general repairs and maintenance.
• $21.7 million is budgeted for debt service costs related to the Convention Center
bonds. On December 15, 2015, the RDA Agency issued $286,245,000 in Tax
Increment Revenue and Revenue Refunding Bonds, Series 2015A, and $35,850,000
in Tax Increment Revenue Refunding Bonds, Taxable Series 2015B. The Series 2015A
bonds will be used, together with certain other legally available monies of the Agency
to (i) provide for the current refunding of all the outstanding Series 2005B bonds, (ii)
finance certain costs of acquiring and constructing renovations to the Miami Beach
Convention Center and certain other improvements, and (iii) pay costs of issuance of
the Series 2015 bond and refunding the outstanding Series 2005E bonds. The Series
2015B will be used to (i) provide for the advance refunding of all the outstanding
Series 1998 bonds, (ii) provide for the current refunding of all the outstanding Series
Page 164 of 183
MIAMI BEACH REVELOPMENT AGENCY
CITY CENTER REDEVELOPMENT AREA
2005A bonds, and (iii) pay costs of issuance of the Series 2015E bonds and
refunding the outstanding Series 1998A bonds and the outstanding Series 2015A
bonds, including the portion of the premium allocable to the Series 2015B bonds for
the reserve policy.
• 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 have been paid off.
• $14.4 million is budgeted in Escrow for Debt Service to provide a reserve over and
above the annual required debt service payment that can be used to finance any
potential shortfalls in the RDA fund or pay down the Convention Center bonds early,
but not prior to FY 2023/24.
• Other 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 a $1.0 million transfer to the Miami Beach Convention
Center, $337,000 for the County's administrative fees, which are equivalent to 1.5%
of its respective TIF payment, and the corresponding $414,000 contribution to the
City's General Fund, which is equivalent to 1.5% of the City's share of its TIF
payment. Lastly, the remittance of the 'h mill tax levy back to the Children's Trust
totaling $2.6 million.
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Miami Beach Redevelopment Agency
City Center Redevelopment Area
Proposed FY2017/18 Operating Budget
FY 2014/15 FY 2015/16 FY 2016/17 FY 2017/18 FY18 to FY17
Actual Actual Adopted Proposed Variance
Revenues and Other Sources of Income
Tax Increment - City 21,435,094 24,564,503 28,856,000 29,411,000 555,000
Proj Adjustment to City Increment (1,381,292) (1,451,209) (1,723,000) (1,913,000) (190,000)
Tax Increment- County 17,264,754 20,079,885 23,588,000 23,986,000 398,000
Proj Adjustment to County Increment (1,066,658) (1,164,130) (1,388,000) (1,563,000) (175,000)
1/2 Mill Children's Trust Contribution 1,842,210 2,146,798 2,528,000 2,570,000 42,000
Interest Income 83,599 126,980 60,000 150,000 90,000
Other Income /Adjustments: 3,091 4,413 0 0 0
TOTAL REVENUES 38,180,798 44,307,241 51,921,000 52,641,000 720,000
Admin /Operating Expenditures
Management fee 972,000 981,996 984,000 390,000 (594,000)
Office supplies & equipment 533 0 0 0 0
Other Operating 200 0 0 0 0
Dues & subscriptions 0 175 0 0 0
Audit fees 18,999 34,077 23,000 23,000 0
Professional & related fees 316,133 0 0 0 0
Repairs and Maintenance 14,924 52,000 92,000 151,000 59,000
Internal Services 220,267 98,499 54,000 154,000 100,000
Total Admin /Operating Expenditures 1,543,056 1,166,747 1,153,000 718,000 (435,000)
Project Expenditures
Community Policing:
Police 4,438,935 4,239,564 4,468,000 4,581,000 113,000
Code Compliance 182,121 194,215 196,000 201,000 5,000
Capital Projects Maintenance:
Property Mgmt 1,279,683 1,467,541 1,526,000 1,553,000 27,000
Sanitation 3,061,000 3,339,000 3,339,000 3,914,000 575,000
Greenspace 644,273 615,413 877,000 828,000 (49,000)
Parks Maintenance 178,579 282,458 493,000 499,000 6,000
Total Project Expenditures 9,784,591 10,138,191 10,899,000 11,576,000 677,000
Reserves, Debt Service and Other Obligations
Debt Service Cost 7,074,060 27,067,937 21,678,000 21,676,000 (2,000)
City Debt Service - Lincoln Rd Project 832,000 516,000 0 0 0
City Debt Service - Bass Museum 548,000 806,000 0 0 0
Reserve for County Admin Fee 242,971 283,736 333,000 337,000 4,000
Reserve for CMB Contribution 300,807 346,699 407,000 414,000 7,000
Reserve for Children's Trust Contribution 1,842,210 2,146,798 2,528,000 2,570,000 42,000
Escrow for Debt Service Payoff 0 0 14,923,000 14,350,000 (573,000)
Transfer to Convention Center 0 0 0 1,000,000 1,000,000
Total Reserves, Debt Service and Other Obligations 10,840,048 31,167,171 39,869,000 40,347,000 478,000
TOTAL EXPENDITURES AND OBLIGATIONS 22,167,695 42,472,109 51,921,000 52,641,000 720,000
SURPLUS / (GAP) 16,013,103 1,835,132 0 0
Page 166 of 183
Proposed FY2017/18 Anchor Shops and Anchor Garage Operating Budget
Anchor Parking Garage FY 2014/15 FY 2015/16 FY 2016/17 FY 2017/18 FY18 to FY17
Revenues: Actual Actual Adopted Proposed Variance
Valet Parking 389,992 215,693 317,000 387,000 70,000
Monthly Permifs 574,437 430,110 430,000 538,000 108,000
Attended Parking 2,631,829 2,893,965 3,004,000 2,892,000 (112,000)
Interest Income 45,720 47,721 43,000 72,000 29,000
Misc./ Other 16,158 29,598 17,000 17,000 0
Fund Balance - Retained Earnings 0 0 0 0 0
TOTAL REVENUES 3,658,135 3,617,088 3,811,000 3,906,000 95,000
Operating Expenditures:
Salaries & Benefits 0 0 0 0 0
Operating Expenses 2,803,205 2,915,944 3,494,000 3,407,000 (87,000)
Internal Services 266,582 176,918 198,000 351,000 153,000
Capital 0 0 0 58,000 58,000
Contingency /Reserve 0 0 119,000 90,000 (29,000)
TOTAL EXPENDITURES 3,069,788 3,092,861 3,81 1,000 3,906,000 95,000
Revenues Less Expenditures 588,347 524,227 0 0 0
Anchor Shops FY 2014/15 FY 2015/16 FY 2016/17 FY 2017/18 FY18 to FY17
Revenues: Actual Actual Adopted Proposed Variance
Retail Leasing 754,327 864,198 1,100,000 1,255,000 155,000
Capital & Maintenance 27,209 93,776 154,000 148,000 (6,000)
Interest earned 29,500 32,926 30,000 30,000 0
TOTAL REVENUES 811,036 990,900 1,284,000 1,433,000 149,000
Operating Expenditures:
Salaries & Benefits 0 0 0 0 0
Operating Expenses 75,453 567,533 699,000 682,000 (17,000)
Internal Services 24,000 25,000 29,000 30,000 1,000
Capital 0 0 300,000 0 (300,000)
Contingency /Reserve 0 0 256,000 721,000 465,000
TOTAL EXPENDITURES 99,453 592,533 1,284,000 1,433,000 149,000
Revenues Less Expenditures 711,583 398,367 0 0 0
COMBINED REVENUES - EXPENDITURES 1,299,931 922,594 0 0
Page 167 of 183
Proposed FY2017/18 Pennsylvania Ave Shops and Garage Operating Budget
Pennsylvania Parking Garage FY 2014/15 FY 2015/16 FY 2016/17 FY 2017/18 FY18 to FY17
Revenues: Actual Actual Adopted Proposed Variance
Transient 652,296 626,747 610,000 599,000 (11,000)
Monthly 187,422 296,336 272,000 372,000 100,000
Miscellaneous 4,273 5,336 0 3,000 3,000
Interest Income 196 224 3,000 0 (3,000)
Transfer In from RDA (Garage) 96,198 107,000 334,000 102,000 (232,000)
Retained Earnings 0 0 0 0 0
TOTAL REVENUES 940,385 1,035,644 1,219,000 1,076,000 (143,000)
Operating Expenses:
Salaries & Benefits 0 0 0 0 0
Operating Expenses 963,445 994,575 1,219,000 978,000 (241,000)
Internal Services 0 58,546 0 98,000 98,000
Capital 0 0 0 0 0
TOTAL EXPENDITURES 963,445 1,053,121 1,219,000 1,076,000 (143,000)
Revenues Less Expenditures (23,060) (17,477) 0 0 0
Pennsylvania Shops FY 2014/15 FY2015/16 FY 2016/17 FY 2017/18 FY18 to FY17
Revenues: Actual Actual Adopted Proposed Variance
Retail Leasing 103,676 0 0 0 0
Capital & Maintenance 27,643 0 0 0 0
Interest earned 790 245 0 0 0
Miscellaneous 0 0 0 0 0
Prior Years' Adjustment 0 (59,232) 0 0 0
Transfers In 0 449,000 389,000 490,000 101,000
TOTAL REVENUES 132,108 390,013 389,000 490,000 101,000
Operating Expenses:
Salaries & Benefits 0 0 0 0 0
Operating Expenses 360,107 358,867 389,000 490,000 101,000
Internal Services 0 0 0 0 0
Capital 0 0 0 0 0
TOTAL EXPENDITURES 360,107 358,867 389,000 490,000 101,000
Revenues Less Expenditures (227,999) 31,146 0 0 0
COMBINED REVENUES - EXPENDITURES (251,059) 13,669 0 0 0
Page 168 of 183