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08-18-98r° South Miami Community Redevelopment Agency Meeting Agenda August 18,1998 Location: 6130 Sunset Drive, South Miami, FL Time: 8:30 PM Call to Order A. Roll Call B. Staff Presentation C. Priority Projects /Programs Priority for FY 98 -99 Local Labor and Business Pool Business and Redeveloper Recruitment Coalition of Financial Institutions Quick Victory Clean -Up Landscaping/Streetscaping Public Trash Receptacles Entranceway Monument Signs Signage Park Improvement (Murray Park & Marshall Williamson) Trolley FP &L.Site Improvements Post Office Site Improvements Utilization and receipt of CRA funds to leverage maximum external development funds Bicycle Parking & Facilities Survey (Discussion and Distribution) D. Administrative Issues Discussion By -Laws Appointment of 2 additional Board Members (Advertisement) lnterlocal Agreement - Status Report Schedule of Meetings E. Financial Issues Contributions to Redevelopment Efforts Shops at Sunset Place Bank Atlantic FP &L I r F. General Discussion I SMCRA/City in Partnership SMCRAIPrivate Sector Partnerships SMCRA/Community Groups and Organizations Partnerships G. Public Comments H. General Comment from Staff I. General Comments from CRA Board J. Adjournment y U►. ID27 IMC T[D 1127 LOgt9 6'i�y pfJocc t4 vA vn i CHARLES D. SCURR 6130 SUNSET DRIVE CITY MANAGER SOUTH MIAMI, FLORIDA 33143 305/ 663 -6338 August 12, 1998 FAX 663.6345 Honorable Julio Robaina, Armando Oliveros, Jr., David Bethel, Horace Feliu, Mary Scott Russell Dear Mayor, Vice Mayor and Commissioners: 1998 -99 Community Redevelopment Agency Funding Recommendation During the past two. years, the elected officials, business owners, and citizens of this City have supported the creation of a Community Redevelopment Agency. The purpose of establishing a CRA is to implement and fund redevelopment programs that will bring economic equity to a community that is experiencing economic decline. More than a decade ago Dade County designated what is now our CRA area as an Urban Target Area. During the past several years the assessed property value for this area has declined which has reduced revenue for the City while increasing the demand for City services. The commercial ad valorem revenue for the entire City has also steadily decline over the past several years. This decline has created an imbalance between commercial and residential tax revenues, with residential property owners paying an increasingly high percentage of tax revenues to the City. The South Miami CRA can begin now to create the improvements needed to start an upward trend. Based only on the development currently in process within the CRA boundary (Shops at Sunset Place), the new revenue that will come back to the City through CRA is in excess of $11 million. This is revenue the county contributes to the TIF Trust Fund, which would have gone to the county's general fund for services throughout the county. There has been a great deal of public participation in the development of the CRA Plan. This public input is reflected in the programs that are included in the Plan, and the community is anxiously watching for these, promises to become a reality. It is important to view a CRA's budget as not simply an appropriation but as an investment of public funds upon which the Commission should expect to receive a return. The SMCRA has set a goal to generate $500,000 during this first year. It is clear that this amount will not be generated from the first -year TIF, but every effort should be made to pursue funds for the community from non - traditional sources through this agency. The implementation budget for the SMCRA should be set at $164,200. This amount would fund 50% of the salary of the Deputy City Manager; CRA related legal fees to the City Attorney; and professional services required to secure funds, set up programs and implement Quick Victories and other projects. First year TIF revenue is expected to be negligible. The exact amount will be determined prior to the adoption of the fiscal year 98199 budget. The estimated TIF revenue will need to be augmented by the City.to provide for a budget of $164,200 necessary to carry 4 the agency through its first year. It is important to note that the City could loan the agency additional funds if its activities are successful and be repaid from the SMCRA during the year that it captures a major increase in TIF revenues from the Shops at Sunset. A resolution has already been adopted by the City Commission to establish a mechanism for the CRA to gradually repay the city for allowable expenses incurred prior to the agency receiving TIF funds. It would be normal procedure for a City to cover the minor overhead fees that will be associated with the additional workload generated by the CRA within its general budget. This amount will be minimal and will occur in areas such as copying, telephone and postage. The Deputy City Manager will serve as administrator, with approximately 50% of her time per week devoted to CRA activities An aggressive approach to achieve visible'Quick Victory Projects is currently being pursued by the Deputy Manager and the CRA Consultant. The CRA Plan includes several Quick Victory Projects that can be achieved very early in the first year of operation, such as Quick Victory Clean -Up, Public Trash Receptacles, Paint -Up /Fix -Up projects, Signage, Site improvements at the U.S. Post Office, and the FP &L Substation. Arrangements have been negotiated with Shops at Sunset Place to prepay their obligation to fund a specified number of hours for a city - operated shuttle service. It is our goal to have a CRA trolley route established and operational at the time of the opening of the Shops. Alternate funding sources such as, corporations, foundations, and state and federal,grants are being pursued to enhance and supplement program funding. Additionally, the agency will generate non -TIF revenues through such things as development review fees. As stated above, it is anticipated that the CRA will generate $500;000 in non -TIF revenues the first year through this aggressive and innovative approach to reaching our goals. Additionally, it is important and essential that the programs outlined in the Plan are properly established in the beginning to insure that they are in compliance with the interlocal agreement with Miami Dade County, and with Florida Statutes. The CRA Board will establish the priority programs and projects for the first year of operation and each year thereafter. Quick Victory Projects (pending. approval of CRkBoard) that could be implemented by the end of the fiscal year are: • Local Labor and Business Pool • Business and Redeveloper Recruitment • Coalition of Financial Institutions • Quick Victory Clean -Up Projects • Landscaping /Streetscaping Projects • Public Trash Receptacles • Entranceway Monument Signs • Signage • Park Improvements (Murray Park and /or Marshall Williamson Park) • Trolley System • Redevelopment Advocacy Projects (Florida Power and Light and U.S. Post Office) • Utilization of CRA funds to leverage maximum external development funds -1 EO Potential Projects for Upcoming Fiscal Year: • Front and Rear Facade Improvements (Commercial • Paint -up /Fix -up (Residential) • Senior Park (Murray Park) • Marketing Research • Land Acquisition • Bicycle Parking and Facilities Budget Requirements Deputy City Manager (as CRA Administrator @ 50% of week) $34,000 City Attorney $15,000 Reduction of existing Consultant Contract for set -up and implementation of CRA programs, quick victory project implementation, and other projects related to Community Redevelopment Agency. $115,200 Projected Revenue The CRA expects to generate $500,000 in non -TIF revenue for projects and program implementation during its first year of operation. This conservative budget is presented for your consideration. We have established a mechanism for the South Miami Community Redevelopment Agency to repay the City for funds forwarded to that agency prior to receiving Tax Increment revenue. It is important for this City to begin to turnaround the declining tax revenue situation we are experiencing. The CRA provides us with the tools, and the revenue to start an upward trend. I recommend your approval. Charles Scurr City Manager • r � O South M..iami Community Redevelopment Agency 1998 -99 Project/Program Priority Survey NAME Please rank from 1 to 14 with #1 being top priority and 14 being the lowest Local Labor. and Business Pool Business and Redeveloper Recruitment Coalition of Financial Institutions Quick Victory Clean -Up Landscaping/Streetscaping Public Trash Receptacles Entranceway Monument Signs Signage Park Improvement (Murray Park & Marshall Williamson) 1 Trolley FP &L Site Improvements Post Office Site Improvements Utilization and receipt of CRA funds.to leverage maximum extemal development funds Bicycle Parking & Facilities Additional Comments: Please return SURVEY to Diana Morris by 8130198