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Res. No. 086-01-11234RESOLUTION NO.86-01 -11234 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF SOUTH MIAMI,FLORIDA,APPROVING AN INTERLOCAL AGREEMENT WITH THE SOUTH MIAMI COMMUNITY REDEVELOPMENT AGENCY,AUTHORIZING A LOAN OF UP TO $400,000 FORTHE PURCHASE OF 5825 SW 68™STREET(MOBLEY PROPERTY),PROVIDING FOR A REPAYMENT SCHEDULE AND AN EFFECTIVE DATE. WHEREAS,theCity of SouthMiami(City)hascreatedaSouthMiamiCommunity Redevelopment Agency (SMCRA)pursuant to Chapter 163,PartHI,Florida Statutes;and WHEREAS,theCityandthe SMCRA desiretohave executed an interlocal agreement providing for SMCRA budgeted fundstobe applied toward the purchase of this building and property pursuant tothe South MiamiCommunity Redevelopment Plan. NOW,THEREFORE,BE IT RESOLVED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF SOUTH MIAMI: Section 1.TheCity Manager is authorized to execute an Interlocal Agreement with the South Miami Community Redevelopment Agencyin substantially theform attached as Exhibit "1." Section 2.TheCityManagerisauthorizedtoprovidealoanupto$400,000tothe South Miami Community Redevelopment Agency for the purchase of 5825 SW 68th Street pursuant to the Interlocal Agreement. Section 3.The South Miami Community Redevelopment Agency shall repay theCity of South Miami fortheloaninfour annual equal installment payments beginning inFY01-02. Page 2 of Res.No.86-01-11234 Section 4.The four annual equal installment payments made bythe South Miami Community Redevelopment Agency shallincludeany interest andorloanfeesthattheCity of South Miami incurs asa result of its loan tothe Agency. Section 5.This resolution shallbe effective upon adoption. PASSED AND ADOPTED this _12_day of June ,2001. ATTEST:APPROVED: CITY CLERK g^y^^£^ READ AND APPROVED AS TO FORM: <*W<£-.^^sT //*? CITY ATTORNEY MAYOR Commission Vote: Mayor Robaina: Vice Mayor Feliu: Commissioner Bethel: Commissioner Russell: Commissioner Wiscombe: 4-0 Yea Yea Yea out of room Yea CITY OF SOUTH MIAMI INTER-OFFICE MEMORANDUM JUMmiteaCtty I Finalist To:Honorable Mayor andCity Commission From:Charles Scurr /)/I CityManager CM? REQUEST Date:June 5,2001 Subject:Meeting 6/12/01—_it InterlocalAgreementwiththe SMCRAforthepurchase of 5825 SW 68 Street A RESOLUTION OFTHEMAYOR AND CITY COMMISSION OF THE CITY OF SOUTH MIAMI,FLORIDA,APPROVING AN INTERLOCAL AGREEMENT WITHTHE SOUTH MIAMI COMMUNITY REDEVELOPMENT AGENCY,AUTHORIZING ALOAN OF UP TO $400,000 FOR THE PURCHASE OF 5825 SW 68™STREET (MOBLEY PROPERTY),PROVIDING FOR A REPAYMENT SCHEDULE AND AN EFFECTIVE DATE. BACKGROUND AND ANALYSIS On March 5,2001,the South Miami Community Redevelopment Agency (SMCRA)Board adopted Resolution Number CRA 7-01-56,approving a contract for sale and purchase of 5825 SW 68th Street (the Mobley Property).In the staff memo attached to that resolution,staff indicated that it would bring the financing agreement to a subsequent meeting and identified the Florida League of Cities Florida Municipal Loan Council Program as the preferred financingmechanism. After working with the League and other lenders,SMCRA staff learned that there were concerns over the relative youth of the Agency and that the lenders would prefer to execute any financing agreements with the City and allow the City to pass the funding through to the SMCRA.5 The attached resolution and interlocal agreement would allow the City of South Miami to make a loan of up to $400,000 to the SMCRA for the purchase of the Mobley Property.Staff proposes to make the loan from the proceeds that it receives from its participation in the Loan Council Bond Program.The SMCRA would be responsible for repayment of the $400,000 and any interest and/or loan fees that the City incurs on the loan made to the SMCRA. The remaining balance on the purchase of the Mobley Property is $430,000.Thus with the $400,000 loan from the City,the SMCRA could utilize funding appropriated'for land acquisition in its FY 00-01 Budget to successfully close the purchase of the Mobley Property. The proposed resolution and interlocal agreement provide the SMCRA's most viable and cost efficient option to successfully finance the purchase of the Mobley Property and would allow us to work together to fully implement our Murray Park Master Plan.There is no significant risk to the City because the only reason the SMCRA would default is if it ceased to exist,in which case the City would receive increased tax revenues to cover the repayment schedule.' The proposed interlocal agreement was approved by the SMCRA Board on June 4,2001. RECOMMENDATION Your approvalis recommended. -4/17/01 INTERLOCAL COOPERATION AGREEMENT THIS INTERLOCAL COOPERATION AGREEMENT (Agreement)is made this I^C day of 'T^O^^A 2002,between the City of South Miami,Florida,a municipal corporation(City)andtheSouthMiami Community Redevelopment Agency,an agencycreatedpursuanttoChapter 163,FloridaStatutes(Agency). WHEREAS,theBoard of CountyCommissioners of Miami-DadeCounty,Florida (Board)adoptedResolutionNo.R-1374-96 onDecember3,1996,which,amongotherthings, declared thataslumorblightedareaexistedina geographic area,described generally as bounded by S.W.62nd Avenue on the West,S.W.62nd Street on the North,S.W.57th Avenue on the East and S.W.72nd Street on the South,(Redevelopment Area),determined that it was necessarytoredeveloptheRedevelopmentAreainaccordancewiththeprovisions of PartIII of Chapter163,FloridaStatutes(Act),anddelegatedtotheCityCommission of theCity of South Miami,Florida(CityCommission)theauthoritytoexercisetheredevelopmentpowersconferred upontheBoardwithintheRedevelopmentAreainaccordancewiththeActtoenabletheCity Commissiontodeclaretheneedfor,createanddelegatepowerstoacommunityredevelopment agencyandtoinitiate,prepareandadoptaplan of redevelopmentforfinalapprovalbythe Board;and WHEREAS,the City Commission,pursuant to Ordinance No.12-97-1633 enacted on April 15,1997,accepted a delegation of powers from the Board,found a need forand created the Agency,declared the members of theCity Commission tobe members of the Agency,granted theAgencythe power toexerciseallpowerspermittedbytheActwhichweredelegatedbythe BoardtotheAgencyanddirectedtheinitiation,preparation and adoption of acommunity redevelopment plan by the Agency;and WHEREAS,Chapter163,FloridaStatutes,provides forthe provision of community- oriented services;and WHEREAS,the City and the Agency wish to enter into this Agreement in order to provideforthe purchase of property inthe Redevelopment Area. NOW,THEREFORE,theCityandthe Agency agree as follows: Section 1.The City shallfund money forthe acquisition of property located at5825 S.W.68 Street,South Miami,Florida,such property tobe titled inthe Agency for purposes of a City/SMCRA Multi-Purpose Center.The principal loan provided bytheCityforthis purpose shall be an amount not to exceed $400,000. Section 2.The Agency shall repay theCityforthe acquisition infour annual equal installment payments. Section 3.This Agreement maybe amended onlyby written agreement signed bythe Cityandthe Agency. Section 4.This Agreement shallbe effective upon execution of the parties andshall be subject toany required review andapprovalby Miami-Dade County. IN WITNESS WHEREOF,the parties executed this Agreement this /day of ,20C£-rn^R CITY OF SOUTH MIAMI,FLORIDA City Manager ATTEST: By k#uU2> City Clerk APPROVED AS TO FORM City Attorney SOUTH MIAMI COMMUNITY REDEVELOPMENT AGENCY Executive Director ATTEST: By:f)/!LAuaZKZ; Secretary APPROVED AS TO FORM General Counsel