Loading...
Res. No. 074-01-11222RESOLUTION NO.74-01-11222 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF SOUTH MIAMI,FLORIDA,RELATING TO LIENS;PROVIDING FORASSIGNMENTOFCITYLIENSON MARSHALL WILLIAMSON APARTMENTS PROPERTY TO HABITAT FOR HUMANITY OF GREATER MIAMI,INC.; PROVIDING AN EFFECTIVE DATE. WHEREAS,theCityof South Miami holds liens valued in excess of $100,000 onproperty commonly known asthe Marshall Williamson Apartment Property;and, WHEREAS,the property is located between S.W.61st Avenue,S.W.66th Street and S.W.62nd Avenue,and, WHEREAS,theCityhas initiated alien foreclosure action styled,City of South Miami v.Williamson,et ai,Case No.97-6837-CA-03 (Fla.11th Cir.Ct. 1997),andthelitigationisalmostcomplete;and, WHEREAS,HabitatforHumanity of GreaterMiami,Inc.hasreceived assignments of liensonthepropertyfromthree commercial lendersandtheliens willsurvivethe City's lienforeclosureaction;and, WHEREAS,theMayorandCityCommissiondesiretoincreasethesupply of affordablehousingintheCityandHabitatforHumanity of Greater Miami,Inc. desiresto construct singlefamilyresidencesonthe property;and, WHEREAS,toaccomplishtheobjective of increasing thesupply of affordablehousing,thecitycommissioniswillingtoassignitslienstoHabitaton the conditions that:(1)Habitat commence construction onat least onehomeon thepropertywithinoneyear,andcompleteconstruction of allthehomeswithin twoyears,fromtheeffectivedate of thisresolution;and(2)thehomesbedesigned witharchitecturalenhancements,asapprovedbytheCRAgoverningboardwith theadvice of theCRAAdvisoryBoard. NOW THEREFORE BE IT RESOLVED BY THE MAYOR AND CITY COMMISSION OFTHECITYOFSOUTHMIAMI,FLORIDA; Additions shown by underlining and deletions shown by ovorstriking. Section 1.TheCityAttorneyisauthorizedanddirectedtoeffectthe assignment of the City's liensontheMarshallWilliamsonApartmentPropertyto HabitatforHumanity of Greater Miami,Inc.Toaccomplishthisdirection,the CityAttorneyshallpreparean Assignment of Lienswhichshallbedeliveredto HabitatonlyuponHabitat entering intoagrant agreement withthe South Miami CommunityRedevelopmentAgencyprovidingthat(1)Habitatshall commence constructiononatleastonehomeonthepropertywithinoneyear,andshall complete construction ofallthe homes within two years,fromthe effective dateof the agreement;and(2)the homes shall be designed with architectural enhancements,as approved bythe CRA governing boardwiththe advice ofthe CRAAdvisoryBoard.TheCityManagerandtheCityAttorneyshallcooperate withHabitatintheexecutionofany documents necessarytocompletethis assignment.TheCityAttomeyshallassistcounselforHabitat,totheextent necessary,in concluding the foreclosure litigation. Section 2.AcopyofthisresolutionshallbetransmittedbytheCity ClerktotheCityof South Miami Community Redevelopment Agency andthe Code Enforcement Board. Section 3.This resolution shalltakeeffect immediately uponapproval. PASSED AND ADOPTED this5thday of June,2001 ATTEST:APPROVED: CITY CLERK TO FORM: %44&s MAYOR COMMISSION VOTE:5-0 Mayor Robaina:Yea Vice Mayor Feliu:Yea Commissioner Wiscombe:Yea Commissioner Bethel:Yea Commissioner Russell:Yea \\Dell_6100\Documents\City of SouthMiami\0022-001\9764.doc Additions shown by underlining and deletions shown by overstriking. Page2 of2 Res.No.74-01-11222 CITY OF SOUTH MIAMI INTER-OFFICE MEMORANDUM To:MayorandCity Comm'n. CharlesScurr,CityManager Greg Oravec,CRA Director From:EarlG.Gallop,CityAttorney Date:May 11,2001 d</ Re:Resolution Assigning Lienson Marshall Williamson Apt.Property toHabitfor Humanity (Sponsored by Vice-mayor Feliu) Subject:Aresolutionapprovingthe assignment ofCitycodeenforcementliensonthe Marshall Williamson Apartment Property to Habitat for Humanity of Greater Miami,Inc.. Discussion:The property is located between S.W.61st Avenue,S.W.66th Street and S.W. 62n Avenue.Many years ago,the owners granted a 99-year lease toa corporation to construct and operate apartments.The property was heavily mortgaged.The building became a slum.Eventually,it was declared an unsafe structure.The City spent approximately $24,000 to demolish the building.The money spent by the City,as well as numerous code violation fines,hasa current value in excess of$100,000.There were many other liens on the property that are held by private persons or entities.In 1997,the City initiated a long and complicated foreclosure action to wipe out the inferior liens.The inferior liens have been extinguished.The litigation is almost completed.During the litigation,three commercial lenders assigned their liens to Habitat.The City and Habitat agreed,according to controlling principles of Florida law,thatthe commercial liensare superiortothe City's liensbecausethecommerciallienswererecordedfirst. Habitat would like to acquire the property to build affordable single family homes.Members of the pastand the present city commission have expressed an interest to assist Habitat in constructing affordable housing on the property.The CRA governing board is considering granting Habitat $20,000 per home for each home to be constructed on the property. Several years ago,Mr.Lee Perry paid the annual ad valorem tax on the property.The cost to him was between $6,000 and $8,000.Representatives of Habitat have stated that it will reimburse Mr.Perry for the amount he paid for the taxes. Mayorand City Comm'n Charles Scurr,City Manager Greg Oravek,CRA Director May 10,2001 Page2 of2 Vice-mayor Feliu suggests that the assignment of the City's interest in the property be conditioned onan agreement by Habitat thatitwillcommence construction onatleastone home on the property within one year.He further suggests that the homes be designed with architectural enhancements,as approved by the CRA governing board with the advice ofthe CRA Advisory Board.TheCRAis considering granting Habitat $20,000 for each home to be constructed on the property.The grant agreement can provide for the requirement to design the homes with architectural enhancements.The resolution makes the delivery of release of liens dependent on Habitat entering into the grant agreement withthe CRA. Recommendation:Approval of theresolution. \\Dell_6100\Documents\City of South Miami\0022-001\9766.doc DRAFT-5/17/01 AGREEMENT BETWEEN THE CITY OF SOUTH MIAMI COMMUNITY REDEVELOPMENT AGENCY AND HABITAT FOR HUMANITY OF GREATER MIAMI,INC.FOR COMMUNITY REDEVELOPMENT AGENCY GRANT FUNDING THISGRANT AGREEMENT ("Agreement")isenteredintothisday of June,2001 between Habitat for Humanity of GreaterMiami,Inc.,aFloridanot-for-profitcorporation (Contractor)whoseaddressis:P.O.Box560994,Miami Floridaandthe City of SouthMiami CommunityRedevelopmentAgency (Agency),whoseaddressis6130SunsetDrive,South Miami,Florida 33143. WITNESSETH: WHEREAS,theAgencyhasallocatedCommunityRedevelopmentGrantFunds designedtoencouragetheconstruction of infill housingandprovide financial assistanceto qualifiedindividualsinordertoprovidesingle family owneroccupiednewhomesinthe Agency's Redevelopment Area(theProject);and WHEREAS,theAgencyand Contractor haveagreedtoperformthe Project in accordancewiththeAgency's specifications;and WHEREAS,itisacknowledgedandagreedbetweentheAgencyandthe Contractor that thefundstobeprovidedderivefromtax increment funds appropriated bytheAgencyforthe usesandpurposesreferredtointhisAgreement;and WHEREAS,inconnectionwiththe performance of this Agreement,thepartieshave agreedtocomplywithall applicable provisions of Federal,Stateandlocallaws,statutes,rules andregulationsastheymayapplytothis Agreement. NOW,THEREFORE,in consideration of the mutual promises andin consideration of thegrant monies which aretobe paid by Agency,the receipt and sufficiency of which are acknowledged,thepartiesagreeas follows: Section 1.The following documents shall comprise the Agreement betweentheparties and shall constitute collectively the"ContractDocuments": a)ThisAgreement(andallattachments). b)Building Specifications (Exhibit1). Section2.The Agency agrees to provide tothe Contractor funds inan amount upto Twenty Thousand ($20,000)per single family home,uptothetotal amount of $120,000 forthe Project (Project Funds).The Project Funds shall be disbursed bythe Agency to Contractor pursuant to Exhibit A.The Contractor agrees to provide uptosix(6)newly constructed,single family owneroccupiedhomes,eachhometobeconstructedonthe"Marshall Williamson Property"as identified in Exhibit B.Any material variation by Contractor from constructing homes onthe property identified in Exhibit B shall require written approval of the Agency. TheAgency shall pay Contractor towardsthe completion of each of thehomestobe constructed,pursuant tothe Construction Timetable and Project Funding Schedule on Exhibit C. Failure of Contractor tomeetany deadlines set forth in Exhibit C shall result intheAgency withholding all further funding forthespecifichomeunder construction. Section3.This Agreement shall terminate one year from the execution date.Uponthe expiration ofthis Agreement,the Contractor shall return totheAgency any Project Funds delivered to Contractor which have not been used in connection with the construction of the Project. Section 4.The Project shall be performed in accordance withthe applicable codes, ordinances andstatutes of theState of Florida,theCity of SouthMiamiand Miami-Dade County. Section5.Any amendments,alterations,or variations tothisAgreementwillonlybe valid whentheyhavebeen reduced to writing and duly signed bythe parties. Section6.In addition totheAgency's provision of upto$20,000perhome,theAgency also expresses its willingness to request thattheCity of South Miami forgive liens held bythe City onthe Marshall Williamson Property,located at 6580 S.W.60th Avenue,South Miami. Section7.InreturnfortheAgency contribution of $20,000perhouse and itsbestefforts torequestthattheCity of South Miami forgive and release the above-mentioned liens,the Contractor agrees to build architecturally enhanced projects,plans for which shall be subject to the approval of the SMCRA,after recommendation bytheSMCRA Advisory Board,as reflected on Exhibit 1. Section8.TheAgency desires to enter intothis agreement only if insodoingthe Agency can place a limit ontheAgency's liability for any cause of action arising out of this agreement,sothatits liability never exceeds its maximum potential monetary contribution of $120,000.The Contractor expresses its willingness to enter into this Agreement with recovery from theAgency for any action arising out of this Agreement tobe limited toa maximum amount of One Hundred Twenty Thousand Dollars ($120,000).Accordingly,the Contractor agrees that the Agency shall notbe liable for any claim or damage in connection with the Project in excess of theAgency's maximum potential monetary contribution of $120,000 under the Agreement,for any action or claim arising out ofthis Agreement.Nothing contained in this paragraph or elsewhere inthis Agreement isinanyway intended tobeawaiver ofthe limitation placed ontheAgency's liability asset forth in Chapter 768,Florida Statutes.Additionally,the Agency does not waive sovereign immunity,and no claim or award against theCity shall include attorney's fees,investigative costsor pre-judgment interest. Section 9.After anypaymentismadebytheAgencyandappliedaccordingtothe requirements set forth,theAgency shall be automatically discharged fromanyandall obligations,liabilities andcommitmentsto Contractor oranythird person orentity provided, however,thatthisSection shall notexcusethecontinued compliance byContractorwiththe terms of this Agreement andtheprogram requirements. Section 10.The Agency maywithhold,inwholeorinpart,final paymentorany progress payment tosuch extent asmaybenecessarytoprotect itself fromlossonaccount of mattersincludingbutnotlimitedtothe following: a)Claims of lienagainsttheContractor regarding theProject,providedsuchliens are not bonded off asallowedbylaw. b)Failure of theContractortomakepayment(s)tosubcontractorsorsuppliersfor materialsorlaborregardingtheProject. c)Reasonableevidencethatanyportion of theProjectcannotbecompletedfor theunpaidbalance of theagreedcompensation. d)Failure tocarryoutanyportion of theProjectinaccordancewiththeContract Documents. e)FailurebyContractorto complete allhomeson Attachment "A"andreceive final certificates of occupancy within twelve (12)months of the execution of this Agreement. Section 11.Intheevent of a termination bytheAgency,theAgency shall additionally beentitledto bring any and all legal and/or equitable actions in Miami-Dade County,Florida,in order to enforce theAgency's right and remedies against the Contractor.TheAgency shall be entitled torecover all costs of such actions including a reasonable attorney's fee,at trial and appellate levels,totheextent allowed by law.Intheeventanysuitor legal proceeding is brought for the enforcement of any provision ofthis Agreement,the parties agree thatthe prevailing party or parties shall be entitled to recover from theother party or parties upon final judgment reasonable attorneys'fees,including attorneys'fees for any appeal,and costs incurred in bringing thesuitor proceeding. Section 12.Contractor agrees tousebest efforts to complete the Project within twelve (12)months ofthe date of this Agreement.Inthe event the Project isnot completed within this time frame,and this Agreement isnot extended accordingly,this Agreement shall terminate and all Project Funds not granted to Contractor by Agency shall remain inthe custody and control of Agency,and all unexpendedAgency funds inthe possession of Contractor shall be returned to theAgency. Section 13.All notices,demands,correspondence and communications betweenthe Agency and Contractor shall be deemed sufficiently given under the terms ofthis Agreement if dispatched by registered or certified mail,postage prepaid,return receiptrequested,addressed as follows: If tothe Agency:Executive Director SouthMiamiCommunity Redevelopment Agency 6130 Sunset Drive Miami,Florida 33143 If toContractor:HabitatforHumanity of GreaterMiami,Inc. P.O.Box 560994 Miami,FL 33156 Section 14.Itisagreedthat Contractor will require anybuyertorecorda purchase money mortgage and shared-appreciation mortgageloannotesatisfactorytotheContractorand AgencyandenforceablebytheContractorandAgency,whichwillrequirethat if anyhome listedonAttachment "A"issold all suchnew purchasers andoccupants shall satisfythe standards forownershiporoccupancyadoptedbytheContractorforthedevelopment of homes intheadoptedRedevelopment Plan fortheCommunityRedevelopmentArea. Section 15.The Contractor agreestomaintain books,records,documents andother evidence pertaining to all costsandexpenses incurred andrevenues acquired underthis Agreement tothe extent andinsuch detail as required bytheAgency.The books andaccounts, filesandotherrecords of theContractor,whichare applicable tothisAgreement,shall be available forinspection,reviewandauditbytheAgencyandits representatives todeterminethe proper application anduse of all funds paid toorfortheaccountorthebenefit ofthe Contractor. Section 16.Contractor shall indemnify,defend,saveandhold harmless theAgency,its officers,agentsandemployees,fromoronaccount of all claims,damages,losses,liabilities and expenses,direct,indirect or consequential including,butnotlimitedto,feesand charges of purchasers,engineers,architects,attorneys,consultants andother professionals andcourtcosts arising out of orin consequence ofthe performance ofthis Agreement at all trial and appellate levels.Indemnification shall specifically include,butnot limited to,claims,damages,losses, liabilities and expenses arising out of or from (a)the negligent or defective design of the Project andwork ofthe Contractor;(b)any negligent actor omission ofthe Contractor,its subcontractors,agents servants or employees,(c)any damages,liabilities,or losses received or sustained byany person or persons during oron account of any negligent operations by Contractor connected withthe construction of this Project;(d)theuse of any improper materials; (e)any construction defect including both patent and latent defects;(0 failure to timely complete the work;(g)the violation of any federal,state,or county orcity laws,ordinances or regulations by Contractor,its subcontractors,agents,servants,independent contractors or employees;(h)the breach or alleged breach by Contractor of anyterm ofthis Agreement. Section 17.Neither party shall assign its interest inthis Agreement without express writtenconsent oftheother party.Any violation of this provision shall constitutea default inthe Agreement. m WITNESS WHEREOF,the Agency andContractorhave caused this Agreement to beexecutedthedayandyearfirstabovewritten. WITNESS: Name: Name: APPROVED AS TO FORM: General Counsel CONTRACTOR: HABITAT FOR HUMANITY OF GREATER MIAMI,INC. By: Name: Title: AGENT: SOUTH MIAMI COMMUNITY REDEVELOPMENT AGENCY By: Name: Title:Executive Director