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Res. No. 052-04-11831RESOLUTION NO.52-04-11 831 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF SOUTH MIAMI,FLORIDA,AUTHORIZING THE CITY MANAGER TO TAKE THE NECESSARY STEPS TO FORM A NOT-FOR-PROFIT MUNICIPAL CORPORATION FOR THE SOLICITATION OF OTHERWISE UNAVAILABLE FUNDS FOR PUBLIC NEEDS AND PROGRAMS;PROVIDING AN EFFECTIVE DATE. WHEREAS,theMayorandCity Commission wishto promote and support public purposes benefiting theresidents of theCity of SouthMiami,Florida including continuation and/or initiation of education,recreation,law enforcement,social services, arts,cultural,and economic development programs,construction and/or restoration of publicfacilities,andcapitalandsocialexpenses necessitated by damage caused by hurricanes and/or other public emergencies astheymayarise;and WHEREAS,the Mayor andCity Commission wish to establish an endowment fundforthepurpose of generatingapermanentdedicatedrevenuesourceforgenerating welldefinedpublicbenefitsandothersimilarpurposes,generally supplementing or complementing other resources availabletotheCity,and/or accomplishing needed projectswhich cannot be undertaken withotherrevenuesorfor which available revenues are insufficient;and WHEREAS,theBoard of Directors of the not-for-profit corporation shallbe comprised of theduly elected Mayor and members of the City Commission of South Miami,Florida,thus being representative of the community at large;and WHEREAS,the Mayor andCity Commission desire the City Manager to execute the process of forming said not-for-profit municipal corporation,i.e.drafting the articles of incorporation,by-laws,and preparation of necessary taxforms,etc.;andto present those items to this body for approval prior to submission. NOW THEREFORE BE IT RESOLVED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF SOUTH MIAMI,FLORIDA; Section1.ThattheMayorandCityCommissionauthorizetheCityManager totakethe necessary stepstopreparethe documentation toformthe South Miami Foundation,a municipal not-for-profit corporation. Section 2.ThattheCityManageristopresentthe completed documentation tothe Mayor and City Commission for approval prior to submission tothe State andthe Internal Revenue Service. Section3.Thisresolutionshalltakeeffectimmediatelyuponapproval. Res.No.52-04-11831 PASSED AND ADOPTED this 16lh day of March,2004. ATTEST:APPROVED: OTYXLERK READ AND APPROVED AS TO FORM: C-/// CITY ATTORNEY 'A COMMISSION VOTE:5-0 Mayor Russell:Yea Vice Mayor Palmer:Yea Commissioner Wiscombe:Yea Commissioner Marie Birts-Cooper:Yea Commissioner Sherar:Yea J:\CBIazckon McGruftWRESOLUTION Authorizing Formation ofNot-for Profit Corp.FY2003 Page 2 of2 CITY OF SOUTH MIAMI OFFICE OF THE CITY MANAGER INTER-OFFICE MEMORANDUM To:Honorable Mayor,Vice Mayor and City Commission Date:March 16,2004 From:Maria V.Davis City Manager REQUEST Subject:Agenda Item #_ Commission Meeting 03/16/04 Re:Formation of a Not-for- Profit Municipal Corporation South Miami •SJuuu AD-AmericaCfty Mlllf 2001 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF SOUTH MIAMI,FLORIDA,AUTHORIZING THE CITY MANAGER TO TAKE THE NECESSARY STEPS TO FORM A NOT- FOR-PROFIT MUNICIPAL CORPORATION FOR THE SOLICITATION OF OTHERWISE UNAVAILABLE FUNDS FOR PUBLIC NEEDS AND PROGRAMS;PROVIDING AN EFFECTIVE DATE. BACKGROUND AND ANALYSIS The City of South Miami sponsors and supports awide variety of programs to serve public needs,in addition totheservicessupportedbytaxpayerdollarsandfor which a municipality is routinely responsible.The amount of taxanduser-feebasedfunding available to support these programs and services islimitedbylawandbypracticality.Thereare other sources of funding (bothpublicandprivate)availableforsocialwelfareprojectsandthewidevariety of public needs,including capitalprojects,expansion of policeservices,youthand educational programs, Senior services,etc.,forwhichacitydoesnotqualify.The establishment of anIRSCode501c (3)qualifyingentity,whichgenerallyallowsdonationstobetaxdeductible,wouldallowtheCity topursuethoseotherappropriatesources of fundingandto distribute themoneytothose programs it wishes to support. Thetype of foundationwhichweareseekingpermissiontoformwouldbeaseparateentityfrom theCity,but could besetupsothattheMayorandCity Commission constitute its Board of Directors(asisreflectedintheproposedresolution).Inaddition,anadvisoryboard of people withexpertisein grants-seeking and funding of non-profits canbesetupalongwithanhonorary board of influentialpersonalitiestohelpthefoundationachieveitsgoals.Thosetwoboards wouldbenon-votingentities,leavingalltheactualdecisionmakingtotheBoard of Directorsand the personnel selected toruntheday-to-day operations of the foundation. One of the primary funding tools utilized by afoundationisthe establishment of endowment fundstogeneratepermanentdedicatedsources of revenuetosupportthe well-defined public benefits for which they are formed. The type of foundationproposed would beavaluableassettothe City of South Miami, eventually enablingustoserveourresidents'needsonascalethatis just not possible with existing taxes and user-fees,through theother limited sources currently available tous. RECOMMENDATION Approval is recommended.