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ONE.

[00:00:01]

OKAY.

GOOD MORNING EVERYBODY.

WELCOME TO THE APRIL 1ST FINANCE ECONOMIC RESILIENCY COMMITTEE MEETING.

UH, THIS IS A PRETTY SERIOUS MEETING, SO I'M GOING TO ASK THAT ALL APRIL FOOLS DAY JOKES BE RESERVED UNTIL AFTERWARDS.

I DON'T WANT TO GET, UH, HALFWAY DOWN IN A FINANCE ITEM AND SOMEBODY PULLS THE APRIL FOOLS DAY CARD.

SO, UH, BUT AFTER THIS, HAVE AT IT.

LET'S HAVE SOME GREAT WARM HUMOR.

IT IS A BEAUTIFUL DAY IN THIS INCREDIBLE CITY.

WE JUST, UH, WE HAD AN INCREDIBLE MARCH.

SO PROUD OF THE CITY.

UH, I'M PROUD TO BE SERVING WITH MY COLLEAGUES.

UH, LET'S KEEP IT POSITIVE.

LET'S KEEP IT LIGHT.

UH, BUT WE HAVE A LOT OF, UH, AMAZING THINGS TO GET TO TODAY.

UM, SO I'LL HAND IT OFF TO OUR CITY ATTORNEY AND THEN TO OUR CFO.

JOINED BY MY LOVELY COLLEAGUES, UH, COMMISSIONER LAURA DOMINGUEZ, UH, MY, UH, COMMISSIONER MONICA MATEO SALINAS.

UH, PERHAPS WE'LL BE JOINED BY OUR COMM, UH, COLLEAGUE, COMMISSIONER DAVID SUAREZ LATER.

UM, AND LET'S GET THINGS STARTED.

THANK YOU.

GOOD MORNING.

UH, TODAY'S MEETING OF THE FINANCE AND ECONOMIC RESILIENCY COMMITTEE HAS BEEN SCHEDULED IN A HYBRID FORMAT WITH A QUORUM OF THE COMMITTEE PHYSICALLY PRESENT AND REMAINING MEMBERS, STAFF AND MEMBERS OF THE PUBLIC APPEARING EITHER IN PERSON OR VIRTUALLY VIA ZOOM.

IN ORDER TO PARTICIPATE IN TODAY'S MEETING, VIRTUALLY MEMBERS OF THE PUBLIC MAY NOW 1-888-475-FOUR 4 9 9, AND ENTER THE WEBINAR ID, WHICH IS 8 6 3 6 0 5 9 5 4 6 2 POUND, OR LOG INTO THE ZOOM APP AND ENTER THE WEBINAR ID, WHICH AGAIN IS 8 6 3 6 0 5 9 5 4 6 2.

ANY INDIVIDUAL WISHING TO SPEAK ON AN ITEM, MUST CLICK THE RAISE HAND ICON IF THEY ARE USING THE ZOOM APP, OR DIAL STAR NINE IF YOU'RE PARTICIPATING BY FULL.

UH, THANK YOU.

WE HAVE A, A FEW ANNOUNCEMENTS.

WE'RE GONNA SHOW, UH, MB FOUR WITHDRAWN BY THE SPONSOR, OB

[OB 1. DISCUSS THE POSSIBLE ACQUISITION OF CERTAIN OUTLOTS ALONG INDIAN CREEK DRIVE FOR THE CREATION OF BUS PULLOUT BAY/BUS STOPS TO AMELIORATE TRAFFIC.]

[OB 2. DISCUSS POTENTIAL SHORT-TERM IMPROVEMENTS AT MIAMI BEACH PROMENADE (FORMERLY KNOWN AS MIAMI BEACH DRIVE), SITUATED BETWEEN 24TH STREET AND 29TH STREET, INCLUDING REHABILITATION OF SIDEWALKS, LANDSCAPES, LIGHTING IMPROVEMENTS AND OTHER NECESSARY AESTHETICS]

[NB 2. DISCUSS EXPLORING WORKFORCE TRANSPORTATION SOLUTIONS AND EMPLOYER PARTNERSHIP INITIATIVES WITH THE CITY OF MIAMI BEACH.]

ONE, OB TWO, AND MB TWO WILL BE DEFERRED TO NEXT MONTH.

THE FIRST ITEM CHAIR.

EXCELLENT.

UH, WE HAVE A COUPLE OF DIFFERENT THINGS THAT WE'RE GONNA BE TALKING, UH, CONTRACT WISE, SO WHY DON'T WE HEAR THOSE IN ORDER.

OUR FIRST, UH, WE HAVE A TREMENDOUS PARTNER THAT WE HAVE HAD, UH, THAT IS REALLY SYNONYMOUS WITH MIAMI BEACH, UH, UNTITLED ART SHOW.

UM, SO LET'S, UH, HAVE THEM COME UP TO THE PODIUM.

THANK YOU.

SO,

[NB 17. DISCUSSION OF FEASIBILITY OF A LONG-TERM LICENSE AGREEMENT WITH UNTITLED ART FAIR. ]

WE'LL SHOW MB 17 DISCUSSION OF FEASIBILITY OF A LONG-TERM LICENSE AGREEMENT WITH UNTITLED ART FAIR, MB 17.

YEP.

COMMISSIONER LAURA DOMINGUEZ, WHY DON'T YOU, UH, TEE THIS UP? SURE.

THANK YOU.

SO I WAS APPROACHED, UM, BY, UH, ENTITLED ABOUT THIS ITEM, AND THEY'RE REQUESTING A LONG-TERM AGREEMENT.

I DID SOME DUE DILIGENCE AND INVESTIGATION.

UM, THEY HAVE BEEN A PARTNER FOR ABOUT 14 YEARS, AND UNLIKE SOME EVENTS THAT HAPPEN ON THE BEACH, THEY ACTUALLY CONTRIBUTE MONEY TOWARDS OUR CITY.

UM, PJ I EMAILED YOU A SLIDE.

I WONDER IF THAT, IF YOU'VE RECEIVED IT, AND THAT CAN BE SHOWN, UM, WHILE I'M TALKING, WHILE, UH, PJ'S LOOKING FOR THAT EMAIL, UM, SOME OF THE THINGS THAT THEY'VE PAID FOR INCLUDE, UH, THE COST OF, UM, THE PERMIT FEES, THE RENTAL FEES, THE DISPLACEMENT FEES, UH, TO THE VENDORS, UM, CITY SERVICES, OFF-DUTY, POLICE AND FIRE.

AND, UM, IT GENERATES JOBS.

I DO TAKE INTO ACCOUNT THAT, UM, WE HAVE RESIDENTS THAT LIVE ON OCEAN DRIVE AND THEY'RE LOOKING TO HAVE LESS EVENTS, NOT MORE, AND THIS WOULD NOT BE MORE EVENTS.

THIS IS AN EVENT THAT HAS BEEN AROUND AND BEEN A GOOD PARTNER FOR 14 YEARS.

AND I'LL LET, UH, ROBIN, IF YOU WANNA SHARE ANYTHING ELSE.

SURE.

THANK YOU SO MUCH.

GOOD MORNING, MR. CHAIRMAN, UH, MEMBERS OF THE COMMITTEE AND MEMBERS OF THE CITY ADMINISTRATION.

UH, I'M ROBIN EMBA.

I'M HERE ON BEHALF OF ENTITLED ART FAIR AND INFORMA MARKETS, AND I'M JOINED BY, UH, MR. JEFF LAWSON, WHO'S THE ORIGINAL FOUNDER OF ENTITLED ART FAIR.

AND OUR, OUR COLLEAGUE CHRISTOPHER PINELLAS LEGAL COUNSEL.

UM, SO THANK YOU SO MUCH FOR GIVING US THE CHANCE TO, UM, PARTICIPATE IN THE DISCUSSION AS YOU CONSIDER A RECOMMENDATION FOR A MULTI-YEAR AGREEMENT FOR THE ENTITLED ART FAIR.

AS, UM, COMMISSIONER DOMINGUEZ, UM, EXPLAIN THE SHOW.

IT'S IN ITS 15TH YEAR.

UM, I DO HAVE A COUPLE SLIDES IF YOU WANT ME TO RUN THROUGH REALLY QUICKLY THAT, UM, THAT WE CAN GIVE A QUICK OVERVIEW IF YOU'D LIKE ME TO RUN THROUGH THEM OR LET ME KNOW QUICKLY HOW ROBIN AND NOT DISMISSING, BUT I THINK WE'RE ALL VERY FAMILIAR.

YEAH.

OKAY, GREAT.

AND I'M HAPPY TO MOVE THE ITEM TO THE FULL COMMISSION.

I JUST HAVE ONE QUESTION AND NOT REALLY SPECIFICALLY ABOUT YOU, BECAUSE YOU'RE INCREDIBLE.

WE, WE HAD A GREAT DISCUSSION.

15 YEARS.

UM, I GUESS I'M JUST TALKING OUT INTO THE

[00:05:01]

ABYSS BECAUSE THIS ISN'T A QUESTION FOR YOU TO ANSWER, BUT, UH, I, I DON'T WANNA SAY I LINKED THEM, BUT I, WE HAD THIS DISCUSSION WHERE UNTITLED IN, UM, SCOPE, OR I DON'T WANNA SAY SYNONYMOUS WITH EACH OTHER, RIGHT? UH, I DON'T WANNA RUFFLE ANY FEATHERS, BUT THEY, THEY DO WORK IN TANDEM AS A PARTNERSHIP.

AND TO MY UNTRAINED EYE, OFTEN, I'M NOT EVEN SURE WHICH ONE OF THOSE I'M AT.

AND POINT BEING, IF WE'RE GOING TO DO THIS, DOES IT MAKE SENSE TO ALSO DO SOMETHING SIMILAR WITH, UH, SCOPE? AND PERHAPS THAT'S UP TO THEM.

PERHAPS THEY DON'T SEE THE NEED FOR IT.

UM, AGAIN, THAT'S NOT FOR YOU TO ANSWER.

MAYBE I'M, UH, ASKING CITY STAFF IF WE WANTED TO REACH OUT TO SCOPE AND SAY, YOU KNOW, WE'RE PROVIDING CERTAINTY TO UNTITLED HERE.

THEY WOULDN'T HAVE TO BE THE SAME TERMS. 'CAUSE I UNDERSTAND THERE, THEY'RE TWO DIFFERENT FAIRES, PERHAPS EVEN, UH, DIFFERENT QUALITY.

BUT I DO THINK THAT'S WORTH CONSIDERING.

GOOD MORNING.

UM, WE WILL DEFINITELY, UH, REACH OUT TO SCOPE.

UM, YOU KNOW, THE ADMINISTRATION DOES NOT RECOMMEND THAT WE DO THESE AGREEMENTS, BUT OF COURSE, WHATEVER WE DO WITH INFORMA, WE COULD ALSO DO WITH SCOPE IF THEY'RE INTERESTED.

YEAH, JUST, UH, POSE IT OUT THERE.

UM, OF COURSE, AGAIN, NOT THE SAME TERMS. I I'LL LEAVE IT UP TO STAFF TO, UH, CONSIDER THE NUANCES AND THINGS LIKE THAT, BUT OBVIOUSLY VERY SUPPORTIVE.

THANK YOU FOR YOUR COMMITMENT TO THE CITY.

UM, IT'S, I OFTEN TELL THE STORY THAT ART BASEL WAS VOTED, I BELIEVE JUST FOUR THREE TO BE ACCEPTED IN MIAMI BEACH.

AND NOW IT'S HARD PICTURING EITHER ART BASEL WITHOUT MIAMI BEACH OR MIAMI BEACH WITHOUT ART BASEL.

SAME WITH UNTITLED.

SO THANK YOU FOR YOUR COMMITMENT.

THANK YOU.

UH, LOOKING FORWARD TO, YOU KNOW, FIVE MORE YEARS AND, UH, AND BEYOND OF A GREAT PARTNERSHIP.

GREAT.

THANK YOU VERY MUCH.

GREAT.

THANK YOU.

THANK YOU VERY MUCH.

I MOVE THE ITEM, SO IF I, IF I CAN, I THINK, SO THIS IS THE RETURN TO THE COMMISSION WITH A FAVORABLE RECOMMENDATION.

DIRECT ADMINISTRATION NEGOTIATE A LONG-TERM AGREEMENT WITH UNTITLED ART FAIR AND FOR STAFF TO DISCUSS A SIMILAR AGREEMENT WITH SCOPE ART FAIR.

AND I THINK THE ATTACHMENT, UH, FOR THE AGREEMENT WAS THREE YEARS.

THREE YEARS.

OKAY.

SO WE'LL NEGOTIATE THREE YEAR, WE'LL PUT IT THE TERM.

SO YEAH, THE ATTACHMENT WAS, UH, FIVE YEAR, FIVE A FIVE YEAR, SORRY, IT WAS FIVE YEAR WITH A FIVE YEAR OPTION, WHICH, YOU KNOW, SO WE WANNA BE THE, THE RECOMMENDATION WANTS TO BE SPECIFIC ON THE, THE, THE TERM, UM, FIVE, THE FIVE YEAR, WHATEVER YOU THINK IS A GOAL.

YES.

OKAY.

AND, AND THERE'S LIKE COME HELL OR HIGH WATER OUTS FOR THE CITY.

CORRECT? YES.

ALL THOSE, OF COURSE, CONFIRMING ON RECORD DETERMINATION.

SO WE SHOULD, UH, DIRECT ADMINISTRATION TO NEGOTIATE A FIVE YEAR AGREEMENT WITH UNTITLED FAIR AND STAFF TO DISCUSS A SIMILAR AGREEMENT WITH SCOPE ART FAIR.

UM, WE WILL SHOW COMMISSIONER, UH, DOMINGUEZ IS MAKING THE MOTION.

SURE.

UH, SECONDED BY I SECOND.

COMMISSIONER SUAREZ.

ALL IN FAVOR? AYE.

AYE.

ITEM PASSES THREE.

NOTHING.

THANK YOU.

THANK YOU.

THANK YOU MUCH.

THANK YOU ALL.

THANK YOU VERY MUCH.

SEE YOU SOON.

UH, SO ON THE OPPOSITE SIDE OF THE ABYSS OF, INSTEAD OF SOMETHING THAT'S BEEN HERE FOR 15 YEARS, UH, SOMETHING THAT'S BEING NEWLY INTRODUCED THAT I'M EQUALLY AS EXCITED ABOUT, UH, MB 16.

THANK YOU.

UH, MB 16

[NB 16. DISCUSS POTENTIAL WAIVERS OF SPECIAL EVENT FEES AND RELATED PERMITTING COSTS FOR F1 MIAMI GRAND PRIX FAN FESTIVAL.]

DISCUSS POTENTIAL WAIVERS OF SPECIAL EVENT FEES AND RELATED PERMITTING COSTS FOR F1 MIAMI GRAND PRIX FAN FESTIVAL MB 16.

GOOD MORNING TO CHAIR LISA, DR.

ANTE, DIRECTOR EZ.

MY CULTURE, UM, EXCITED TO SHARE THIS ITEM WITH YOU TODAY.

UH, WE HAVE THE FIRST OFFICIAL F1 MIAMI GRAND PRIX OFFICIAL FAN FEST IN LOOMIS PARK.

WE HAVE HAD OTHER, YOU KNOW, VERSIONS OF FAN FEST, BUT THIS IS OFFICIAL WITH F1.

WE HAVE A REPRESENTATIVE TODAY HERE FROM THE F1 MIAMI GRAND PRIX, DORY GROGAN.

UH, THIS ASK IS FOR, UH, WAIVER OF SPECIAL EVENT RELATED FEES AND THE AMOUNT OF 41,000 FOR THE INAUGURAL MIAMI BEACH FAN FEST.

AND WE'RE HAPPY TO SHARE ANY SLIDES OR ANY OTHER FURTHER INFORMATION.

UH, MAYBE IF WE HAVE A VISUAL, UH, ABSOLUTELY.

I SAW IT ON ZOOM, BUT ONE THING OVER THE YEARS FOR F1, UH, WHICH HAS BECOME AN INCREDIBLE EVENT.

IN FACT, I WAS JUST READING IN A, A FINANCE PUBLICATION THAT, UH, THE OWNER OF THE DOLPHINS ACTUALLY SEES MORE ATTENDANCE DURING THAT F1 WEEKEND THAN HE DOES FOR THE ENTIRE DOLPHIN SEASON.

I'M NOT SURE IF IT SAYS MORE ABOUT F1 OR THE DOLPHINS.

I'LL, I'LL LEAVE THAT UP FOR INTERPRETATION .

UM, BUT I, I'VE OFTEN PONDERED WHY WE DON'T HAVE MORE OF A ACTIVATION HERE IN MIAMI BEACH.

RIGHT.

AND IT'S NOT JUST FOR F1.

I, I WANT, WHEN PEOPLE COME HERE FOR WORLD CLASS EVENTS, FOR THEM TO STEP INTO MIAMI BEACH AND SAY, WOW, IF I JUST GOT DROPPED OFF FROM MARS, I KNEW NOTHING.

I KNEW SOMETHING SPECIAL WAS HAPPENING THIS WEEKEND.

AND IT LOOKS LIKE THAT'S WHAT WE'RE SEEING HERE.

SO DO WE HAVE A VISUAL OF, UH, WE DO WHAT OUR CITY CAN ANTICIPATE AND NOT JUST VISITORS, BUT OUR RESIDENTS AS WELL.

SURE.

AND PJ, UH, IF YOU CAN PLEASE, UH, PUT THE SLIDE UP AND DORY CAN SPEAK A LITTLE BIT MORE TO THAT, BUT F1, WE CAN MOVE THROUGH THAT.

YEAH, JUST LET'S GET SOME VISUALS.

WE JUST EXTENDED THE CONTRACT WITH F1 UNTIL 2041, AND THAT'S WHY NOW THEY'RE

[00:10:01]

INVESTING.

BUT DORY? YEAH.

HI, MY NAME IS DORY GROGAN.

UM, I HAVE BEEN WITH THE MIAMI DOLPHINS AND HARD ROCK STADIUM FOR 30 YEARS, AND WE'RE EXCITED TO BRING THIS EVENT TO MIAMI BEACH BECAUSE WE JUST SIGNED THE DEAL THROUGH 2041 WITH FORMULA ONE.

UM, WE WANTED TO EXTEND THE FOOTPRINT OUTSIDE OF JUST BEING AT HARD ROCK STADIUM.

UM, SO WE WANT, WE SEE THIS AS A LONG-TERM THING, THIS BEING OUR FIRST YEAR, UM, DOING THIS TOGETHER.

SO THE IDEA IS THAT THIS WOULD BE WEDNESDAY THROUGH SUNDAY OF RACE WEEKEND.

UM, WE WANNA START ON WEDNESDAY BECAUSE THAT'S WHEN WE CAN GET DRIVER PARTICIPATION.

WE ALREADY HAVE LIKE EIGHT TO 10 DRIVERS THAT WILL BE COMING ON THAT WEDNESDAY TO DO Q AND A WITH FANS, GET TO KNOW THEM.

AND THEN, SO THE ACTUAL F1 DRIVERS, ACTUAL F1 DRIVERS, UM, AND, UM, CAN YOU GO BACK TO THE MAP? YOU WANT THE MAP? MM-HMM .

YEAH.

OKAY.

SO WE'RE LOOKING AT FROM 11TH THROUGH 13TH.

UM, WE SEE THIS AS THIS YEAR.

THIS IS THE FOOTPRINT, BUT WE SEE THIS AS AN OPPORTUNITY TO CONTINUE TO GROW TOGETHER, UM, INTO SOMETHING.

GREAT.

AND THIS WILL ACTUALLY BE IN THE SPOIL AREA IN BETWEEN THE BOARDWALK AND THE DUNES.

YES.

PERFECT.

WE ALMOST PART, YEP.

ED, MAYBE THIS ISN'T SPECIFIC, UH, TO THIS EVENT, BUT CAN YOU WALK THROUGH WHAT GOES INTO, WHEN WE TALK ABOUT SOME OF THESE FEES RIGHT, THAT THE CITY ESSENTIALLY IMPOSES OR APPLIES? WHAT, WHAT DO THEY CONSTITUTE? WHAT WHAT ARE THESE? SO THE FEES THAT ARE BEING REQUESTED TODAY ARE A SPECIAL EVENT APPLICATION FEE PERMITTING FEE, SQUARE FOOTAGE, FEES.

AND IT'S DETAILED IN THE MEMO BEFORE YOU, UH, THE SQUARE FOOTAGE IS BECAUSE IT'S FROM 11 TO 13TH.

SO THAT ALONE IS 38,000 FOR THE VEHICLE BEACH ACCESS PASSES.

THIS IS FOR TRUCKS TO GO WITH POLICE ESCORTS TO DROP OFF, YOU KNOW, ALL THE MATERIALS ABOUT $1,500.

UH, AND SO THE TOTAL COMES OUT TO 41,000, BUT IT'S NOT, SO WHERE I'M GOING WITH THAT IS THERE'S NO COST IN HER TO THE CITY.

CORRECT.

THAT ONLY HAPPENS WHEN WE'RE WAIVING, UH, PUBLIC SAFETY.

LIKE IF YOU'RE TRYING TO DO POLICE OR FIRE, WE DO HAVE TO PAY THOSE MAN HOURS.

YEAH.

SO THIS IS JUST FEES THAT THE CITY WOULD NOT MONEY THAT WE WOULD NOT BE BRINGING IN.

AND AND PRESUMABLY THE AMOUNT OF FEES FROM AN ACTIVATION LIKE THIS IS GOING TO PROVIDE MULTITUDES OF ROI VERSUS ANY TYPE OF COST THAT THE CITY BEARS.

ABSOLUTELY.

BECAUSE THE EVENT IS FREE.

SO IT'S A TICKETED BUT FREE EVENT.

YEP.

UH, SO IT'S SOMETHING THAT IS AMAZING FOR US TO BE ABLE TO HAVE THAT BRANDING.

AND THEY, THEY DID GO A LITTLE BIT FURTHER AND ADDED MIAMI BEACH TO THE LOGO, WHICH WE REALLY APPRECIATED.

UH, AND SO JUST TO HAVE THE BRAND OF F1 GRAND PRIX, MIAMI GRAND PRIX HERE SYNONYMOUS WITH MIAMI BEACH, YOU KNOW, THEY'VE EXTENDED THEIR CONTRACT TO 2041.

AND SO IT'D BE WONDERFUL TO HAVE THEM HERE.

AND THE EXCITEMENT, WE JUST ANNOUNCED THIS EVENT YESTERDAY, AND ON THE FIRST DAY YOU HAD TO REGISTER TO GET YOUR TICKETS.

AND IN THE FIRST SIX HOURS WE HAVE 18,000 PEOPLE WHO HAVE ALREADY SAID, RAISE THEIR HAND, HAND RAISERS AND SAY THEY WANT TICKETS.

SO THAT'S EXCITING.

UM, AND I WANNA MAKE A COMMENT TOO, UM, PJ IF YOU COULD PUT THAT MAP BACK ON PLEASE.

SO I KNOW THAT THE RESIDENTS THAT ARE NORTH OF 14TH STREET, UM, HAVE OFTEN VOICED THEIR CONCERN OF HAVING EVENTS, UM, IN THE AREA RIGHT BEHIND WHERE THEY LIVE.

SO THIS IS BELOW 12 AND ALSO THE TIMES EVERY DAY IT ENDS AT SIX.

CORRECT.

SO THAT'S FANTASTIC.

YEAH.

AND THIS IS A VERY LOW IMPACT ON, ON THE SOUND AS WELL.

THIS IS NOT LIKE A CONCERT, IT'S MORE ACTIVATIONS AND, YOU KNOW, SOME PANELS AND THINGS LIKE THAT.

SO IT'S NOT, IT'S NOT LIKE, YOU KNOW, LOUD MUSIC AND BASS AND ALL OF THAT.

YEAH.

THIS IS A VERY COMMUNITY EVENT AND FAMILY EVENT WHERE PEOPLE CAN COME AND EXPERIENCE THE F1.

SO, UM, THROUGH THE CHAIR.

YEAH.

LOOKS GREAT.

THE ONLY THING THAT I'M CONCERNED ABOUT IS THE, THE EQUIPMENT AT NIGHT.

I DON'T KNOW IF YOU GUYS ARE GONNA HAVE ANY LIGHTING, UH, THAT'S GONNA BE KEEPING FOR, FOR SAFETY REASONS, BUT IT'S SEA TURTLE SEASON AND CAN'T HAVE ANY LIGHT, UH, IN THE EVENING FOR SETUP OR TAKE DOWN.

WE ALL THE LIGHTS ARE AMBER PER PER COAT, AND NONE OF THEM ARE SHINING TOWARDS THE EAST.

EVERYTHING IS TOWARDS THE WEST.

SO, AND IT'S JUST SECURITY LIGHTS? THERE IS NO, BECAUSE ALL THE EVENTS STOP AT SIX WEEKS.

ARE THEY LIKE THE, ARE THEY THE GAS POWERED LIGHTS, VERY POWERED LIGHTS.

AND, AND AGAIN, THEY'RE MOTION SENSORS, SO IF SOMEBODY WALKS IN A SITE, THEY WOULD TURN ON, BUT THEY'RE ALL FACING, UH, WEST, THEY'RE ALL FACING OCEAN DRIVE.

NOTHING IS FACING EAST.

OKAY.

SO WHO, WHO, UM, I'M SORRY TO BE A PAIN, BUT WHO, WHO CHECKS THAT FROM THE CITY? WELL, WE, WE SUBMIT TO THE LIGHTING PLAN.

[00:15:01]

OKAY.

WE SUBMIT TO THE ENVIRONMENTAL, THE LIGHTING PLAN.

OKAY.

LIKE, SO FOR, YEAH.

ANY EVENT THAT HAPPENED DURING TURTLE SYSTEM, WE HAVE TO SUBMIT THE FULL ON LIGHTING PLAN.

SO YOU SAID THAT THEY SUBMIT THAT TO SUSTAINABILITY? YEAH, SO IT'S ALL PART OF THE SPECIAL EVENT PERMITTING PROCESS.

ALL EVENTS HAVE TO SUBMIT A SANITATION PLAN.

LIGHTING PLAN, AND IT GOES THROUGH ALL THE DIFFERENT DEPARTMENTS.

ENS.

THEY DO REVIEW THIS.

OKAY.

YEAH.

MM-HMM .

AND IF I'M COR UH, CORRECT, THAT PLAN ACTUALLY HAS TO BE SIGNED OFF BY FWC AT THE STATE LEVEL.

CORRECT? IT GOES THROUGH ALL THE PROCESSES.

YEAH.

ESPECIALLY NOW DURING TURTLE SEASON, LIKE ALL OF OUR EVENTS.

OKAY.

EXCELLENT.

UH, AND WE ARE ALSO, AND WE WANT TO BE, I WANT TO BE, I WANT YOU GUYS TO BE GOOD PARTNERS.

I JUST, YOU KNOW, I'M NO, NO, NO, ABSOLUTELY.

I MEAN, LOOK, THAT'S OUR BIG, WE, WE, I MEAN, THIS IS WEST OF THE DUNES, SO IT'S, IT'S EVEN LESS IMPACTED THAN IF WE WERE ON THE, ON THE EAST SIDE OF THE DUNE.

BUT, YOU KNOW, WE TAKE CARE OF ALL THE LIGHTING.

I MEAN, HONESTLY, ALL THE, UH, OCEAN DRIVE LIGHTING WAY OVERPOWERS WITH, YOU KNOW, COUPLE OF OUR SECURITY LIGHTS.

OKAY.

AND DO WE SOMEBODY SAY WE HAVE COMMISSIONER FERNANDEZ ON THE PHONE? NO, I WAS WONDERING IF HE WAS OH.

'CAUSE HE WAS A SPONSOR.

NO, I DON'T THINK SO.

OKAY.

SO WE HAVE A A WILL WE MOVING THIS BACK OR MOTION? YES.

UH, PERHAPS THE ONE ASK I'LL HAVE, UH, IT'D BE GREAT TO REALLY AMPLIFY SOCIAL MEDIA ON THIS, UH, WORK WITH OUR CITY'S COMMUNICATION TEAM.

'CAUSE THIS SOMETHING, UH, I THINK IS JUST INCREDIBLE.

NOT JUST FOR OUR VISITORS, BUT FOR OUR RESIDENTS AS WELL.

SO THANK ABSOLUTELY.

LOOK FORWARD TO IT.

AND SO WE'LL SHOW THIS RETURN TO COMMISSION WITH A FAVORABLE RECOMMENDATION TO WAIVE THE SPECIAL EVENT FEES AND RELATED PERMITTING COSTS RELATED TO THE F1 MIAMI GRAND PRIX, UH, FAN FESTIVAL.

UH, WHO, WHO ARE WE MAKING THE MOTION? I'LL MOVE IT.

I'LL SECOND COMMISSIONER PUBLIC COMMENT.

YEP.

JANE K.

CROP, PLEASE UNMUTE YOURSELF.

HELLO EVERYBODY.

UM, I'M REPRESENTING AETNA, THE ART DECO NEIGHBORHOOD ASSOCIATION, WHICH THIS IS ANOTHER, YET ANOTHER EVENT WE WERE PROMISED WE WEREN'T GONNA HAVE.

SO WE HAD, UM, A COMMISSIONER MAGAZINE, COMMISSIONER SUAREZ COMMISSIONER, THE MAYOR, UM, TANYA, ALL IN THEIR BID FOR ELECTION, SAID NO NEW EVENTS IN LOOMIS PARK TWO YEARS AGO.

SO THAT WAS TWO YEARS AGO.

NOW WE HAVE, THIS IS THE FOURTH NEW EVENT IN LOOMIS PARK.

SO I'D LIKE TO REMIND YOU THAT WE HAVE EIGHT MILES OF BEACH.

WHY IS IT ALL, WHY IS LOOMIS PARK THE EVENT DUMPING GROUND? BECAUSE THAT'S HOW WE'RE BEING TREATED.

THIS IS A GREAT EVENT.

IT'S A HUGE COMPANY.

IT'S A HUGE EVENT.

WHY ARE WE GIVING AWAY MONEY TO THESE PEOPLE? YOU KNOW, ADIDAS, $600,000 WHEN WE NEED A MILLION DOLLARS FOR TURF IN FLAMINGO PARK, AND WE CAN'T AFFORD THAT BECAUSE WE'RE GIVING $600,000 TO ADIDAS.

WHY ARE YOU WAIVING FEES WHEN THEY DO ULTRA, ULTRA GIVES $2 MILLION TO THE CITY OF MIAMI.

I DON'T UNDERSTAND WHY YOU KEEP WAIVING FEES AND DUMPING MORE EVENTS IN LOMAS PARK.

IT'S OUR GREEN SPACE.

WE HAVE BEGGED AETNA HAS BEGGED YOU FOR FOUR YEARS NOT TO DO THIS, AND YOU'RE DOING IT AGAIN.

SO I'M JUST VENTING HERE BECAUSE WE HAVE NO POWER.

AND I THANK LAURA FOR ACTUALLY MENTIONING THE FACT THAT THERE ARE 2000 RESIDENTS AROUND LMOS PARK WHO ENJOY THE PARK BESIDES THE VISITORS WHO COME FOR PEACE AND QUIET.

NOT EVERYBODY WANTS TO HEAR EVENTS AND COME BECAUSE THEY HAVE NOTHING TO DO.

THERE'S PLENTY TO DO HERE WITHOUT THESE EVENTS.

THERE'S THOUSANDS OF PEOPLE WALKING AROUND WITHOUT ANY EVENTS AND YET ANOTHER EVENT DURING TURTLE SEASON.

SO WHEN THE TRACTOR TRAILERS GO OVER THE BEACH WHERE THE EGGS ARE BURIED, IT'S NOT JUST THE LIGHTING.

WHAT ABOUT THE PRESSURE THAT'S PUT ON THESE EGG NESTS? I MEAN, THIS IS OUTRAGEOUS AND, UM, YOU KNOW, I'VE HAD ENOUGH OF LIZETTE'S IGNORANCE AND NOT LISTENING TO WHAT WE HAVE ASKED HER FOR FOUR YEARS IS TO NO NEW EVENTS.

THANK YOU.

UM, I'LL FOLLOW UP WITH, UH, TWO THINGS.

ONE, WORDS CERTAINLY DO MATTER, AND AS WE JUST, UH, CONFIRMED, WE'RE NOT GIVING A SINGLE DOLLAR AWAY.

IN FACT, WE'RE NOT EVEN GIVING A SERVICE AWAY THAT WON'T BE COMPENSATED FOR.

THIS IS A FEE WAIVER.

THOSE TERMS ARE VERY, VERY DIFFERENT.

MR. CFO, UH, SORRY TO PUT YOU ON THE SPOT, BUT OFF THE TOP OF YOUR HEAD.

UM, WHILE RESORT TAXES HAS BEEN RATHER STRONG, UH, CITYWIDE, WE'VE HAD SOME AREAS IN NEIGHBORHOODS WHERE WE'VE HAD NOTABLE, NOTABLE DECLINES, UH, SPECIFICALLY IN THE ARC DECO, UM, NOT ENTERTAINMENT DISTRICT ANYMORE, THE AC DCI WANNA SAY, RESORT TAXES WERE DOWN 25% YEAR OVER YEAR.

UH, I DON'T HAVE THE, THOSE SPECIFICS, BUT I KNOW I'VE HEARD ANECDOTALLY FROM, UH, SOME OF THE, THE FACILITATORS, UH, OPERA, THE OPERATORS ON OCEAN DRIVE THAT HAVE, UH, YOU KNOW, MADE STATEMENTS TO THAT EFFECT.

YEP.

[00:20:01]

AND, UH, I'LL USE FUTURE PROOF, UH, AS AN ANECDOTAL EXAMPLE.

I'M VERY INTERESTED, MARIA, MAYBE YOU COULD SHARE THE HOTEL.

UM, YOU SAID YOU WERE AT A-G-M-C-V-B MEETING ABOUT THIS YESTERDAY.

WERE, WERE THERE PRELIMINARY ESTIMATES, UH, DURING THAT TIMEFRAME? 'CAUSE THAT WAS AN EVENT THAT, UM, I, I GOT, YOU KNOW, BASHED, UH, FOR HAVING IN THE PARK, BUT PERHAPS WE CAN ENLIGHTEN US ABOUT WHAT THAT EVENT DID FOR OUR CITY.

WELL, I DON'T HAVE THE NUM, I DON'T HAVE THE NUMBERS IN FRONT OF ME.

COMMISSIONER DOMINGUEZ WAS WITH ME IN THAT MEETING, BUT THE NUMBERS WERE AMAZING.

I MEAN, THEY WERE, THEY WERE SHOWING THAT, UM, EVERYTHING COMPARED TO LAST YEAR IS EVEN BETTER.

SO, BUT THE FINAL NUMBERS HAVEN'T, YOU KNOW, TOTALLY COME IN, BUT RIGHT NOW, PRELIMINARY NUMBERS THAT WERE SHARED WITH US SHOW THAT, UM, EVERYTHING IS GOING IN THE RIGHT DIRECTION, UM, ESPECIALLY FOR THE MONTH OF MARCH.

SO OF COURSE FUTUREPROOF HAD A LOT TO DO WITH THAT.

AND, AND FOR THAT, ON MONDAY EVENING AT FUTUREPROOF, I'M HAPPY TO SHARE A VIDEO WITH OUR RESIDENTS, WITH OUR COMMUNICATION TEAM.

I ACTUALLY TRIED FIVE DIFFERENT RESTAURANTS ON OCEAN DRIVE AT 6:00 PM 6:37 PM JUST TO WALK IN AND GET A RESERVATION.

AND I WASN'T ABLE TO, THE BETSY, UH, THE AVALON, RIGHT.

THERE WERE THREE DIFFERENT RESTAURANTS COMPLETELY BOOKED OUT.

UH, THIS WAS A GREAT CROWD.

YES.

UM, SO IT'S ABOUT A BALANCE, RIGHT? WE, WE CAN'T SIT THERE AND, UH, PONDER WHY OUR RESORT AND SALES TAXES ARE DOWN 25% IN SOME AREAS AND THEN JUST NOT DO ANYTHING ABOUT IT.

RIGHT.

WE, WE HAVE IDENTIFIED A PROBLEM MM-HMM .

AND WE'RE WORKING ON SOLUTIONS THAT STRIKE A VERY FINE BALANCE.

I THINK THESE ARE VERY TASTEFUL, LOW IMPACT EVENTS THAT PROVIDE TREMENDOUS BANG FOR THE BUCK.

AND, UM, ONE OF THE CALLER MENTIONED THAT THESE TRACTOR TRAILERS CRUSH, BUT I'M MY UNDERSTANDING IT'S WEST THE DUNES AND THAT'S RIGHT.

AND THAT, AND SEA TURTLES DON'T NEST WEST THE DUNES.

CORRECT.

RIGHT.

OKAY.

SO, MM-HMM .

THERE'S, THERE'S NO THREAT TO SEA TURTLE EGGS? NO.

OKAY.

EVERYBODY KNOWS SEA TURTLES DON'T NEST WEST OF THE DES IF I MAY SAY, APPARENTLY, UH, WE'VE DONE THIS.

THIS IS NOT A NEW EVENT.

WE'VE DONE THIS, UH, THREE TIMES BEFORE.

THIS IS JUST NOW, UH, UH, UPGRADED VERSION OF, OF THE EVENT THAT WE'VE DONE THREE TIMES ALREADY AT THAT SPOT.

PLEASE SPEAK INTO THE MICROPHONE.

YEAH.

CAN YOU SAY THAT AGAIN? SORRY.

THE, THIS IS THE THIRD.

WE ALREADY DONE THIS EVENT THREE TIMES.

THIS IS THE FIRST TIME, UH, WE ARE UPGRADING IT.

UH, F1 IS COMING ON.

I MEAN, MAMMOGRAM PRE IS COMING ON BOARD.

SO IT'S NOT A NEW EVENT.

WE'VE DONE THIS EVENT THREE TIMES ALREADY.

JUST TO CHAIR, UH, WE HAVE A, SO WE HAVE A MOTION, UH, BY, UH, COMMISSIONER SUAREZ, SECONDED BY YOURSELF.

YES.

DO YOU VOTE? YES.

OKAY.

ALL IN FAVOR? AYE.

ALL HEAR ALL IN FAVOR PASSES.

THREE, NOTHING.

UH, MB 16.

THANK YOU.

AND WE WILL HEAR NB 15, 16 91 MICHIGAN LEASE.

THANK YOU.

UH, MB 15 A DISCUSSION

[NB 15. A DISCUSSION REGARDING AMENDMENT NO. 1 TO THE LEASE AGREEMENT BETWEEN THE CITY OF MIAMI BEACH (OWNER), AND RK RIVANI LLC, (TENANT) IN CONNECTION WITH A PUBLIC/PRIVATE PARTNERSHIP, FOR THE PROPERTY LOCATED AT 1691 MICHIGAN AVENUE (PROPERTY).]

REGARDING AMENDMENT NUMBER ONE TO THE LEASE AGREEMENT BETWEEN THE CITY OF MIAMI BEACH OWNER AND RK ANI, LLC TENANT IN CONNECTION WITH THE PUBLIC PRIVATE PARTNERSHIP FOR THE PROPERTY LOCATED AT 1691 MICHIGAN AVENUE PROPERTY MB 15.

YEAH.

AND I'LL TEE THIS UP BEFORE I KICK IT OVER TO OZZY.

UH, ONE OF THE THINGS, WHEN WE TALK ABOUT SOME OF THESE GREAT ACTIVATIONS AND HAVING A DIFFERENT MARCH, WE'RE PRESENTED WITH THIS GENERATION OPPORTUNITY IN MIAMI BEACH TO REALLY, UH, HAVE A SHIFT IN OUR ECONOMY AWAY FROM A DANGEROUS CONCENTRATION ON TOURISM.

AND WE SAW WHAT DOUBLING AND TRIPLING DOWN ON THAT DOES, WHETHER IT BE EVENTS, WHETHER IT BE WHAT HAPPENED YEARS AGO IN MARCH.

AND ONE OF THE WAYS, UH, IS REALLY BY ATTRACTING, UH, WELL PAYING JOBS, BUILDING AN ECONOMY FOR EVERYBODY, WHERE OUR RESIDENTS ARE ABLE TO ACCESS WHITE COLLAR KNOWLEDGE BASED JOBS THAT PREVIOUSLY DIDN'T EXIST IN MIAMI, AND CERTAINLY NOT MIAMI BEACH BEFORE.

UH, I ACTUALLY GIVE A LOT OF THAT CREDIT TO COMMISSIONER MARK SAMWELL.

I, I BELIEVE, IF I REMEMBER CORRECTLY, HE WAS THE SPONSOR OF THE ALTON ROAD, SUNSET HARBOR, UH, OFFICE.

OVERLY INCENTIVES THAT HAVE JUST PROVIDED FRUIT FOR OUR CITY THAT TRANSFORMS US.

RIGHT NOW, WE HAVE AN INTERNATIONAL PUBLICLY TRADED CORPORATION THAT'S HEADQUARTERED IN SUNSET HARBOR.

THAT WAS DUE TO COMMISSIONER SAMUEL IAN'S VISION OF SEEING THAT FORWARD.

AND WE HAVE A UNIQUE OPPORTUNITY HERE.

UM, THIS IS A CITY OWNED, UH, LAND AND A PRIVATE OPERATOR OWNS THE ASSET ON TOP OF IT.

UH, HE HAS ALREADY PUT IN $50 MILLION FOR, UH, RENOVATIONS, AND I'LL LET THE DETAILS KIND OF SPEAK FOR THEMSELVES, BUT I WANT TO SAY WHEN HE INHERITED THE ASSET, IT HAD LIKE A 30%, UH, OCCUPANCY RATE.

AND AGAIN, THIS IS THE CITY'S ASSET, RIGHT, RIGHT OFF OF LINCOLN ROAD.

UM, AND NOW IT HAS, UH, 80 OR 90% OCCUPANCY.

UH, I'M EXCITED TO HEAR FROM THE TENANT OR THE, THE APPLICANT ABOUT SOME OF THE TENANTS THAT ARE IN THERE.

UM, SO

[00:25:01]

AS I UNDERSTAND THIS, THE APPLICANT AND OWNER OF THAT ASSET ESSENTIALLY WANTS TO PUT ANOTHER $50 MILLION OF HIS OWN PERSONAL MONEY IN THERE.

UH, BUT TO DO SO, HE NEEDS A LONGER TERM CERTAINTY, UH, FOR THE LEASE.

THAT'S OUTSTANDING.

IS, IS THAT IT IN A NUTSHELL, OZZY? YES.

GOOD MORNING, MR. CHAIR COMMISSIONERS.

OZZY DOMINGUEZ, DIVISION DIRECTOR OF ASSET MANAGEMENT.

THANK YOU FOR THE PRELUDE.

THAT WAS HALF OF WHAT I WAS GONNA SAY.

UH, SO TO ANSWER YOUR QUESTION, YES, UH, THEY ARE LOOKING FOR AN AMENDMENT.

IT WOULD BE AMENDMENT NUMBER ONE TO THE AGREEMENT, WHICH WOULD EXTEND THE TERM OF THE AGREEMENT FOR 30 YEARS.

UH, THE FINANCIAL, UH, COMPONENTS OF THE RENT STRUCTURE WILL CONTINUE AS IT CURRENTLY IS STATED IN THE AGREEMENT.

UM, THERE ARE SOME OTHER STIPULATIONS TO THE TERMS THAT WE ARE CURRENTLY WORKING ON, AND WE ARE, UH, EXPECTING TO COME BACK ON MAY 6TH WITH THE FULL AND FINAL TERM SHEET AND, UM, AND DRAFT THE AMENDMENT TO THEN TAKE TO COMMISSION.

I KNOW THAT THE, UH, THE TENANT IS HERE, UH, ANI WITH HIS TEAM, AND THEY HAVE SOME UPDATES ON THEIR PRESENTATION THAT THEY WANTED TO SHARE.

UH, THERE ARE SOME ADDITIONAL PUBLIC BENEFITS THAT ARE GONNA BE ADDED TO THIS AMENDMENT, WHICH WE'RE VERY EXCITED ABOUT.

UH, WE'RE ALSO WORKING WITH OUR PARKING DEPARTMENT ON THE, UH, THE, THE PUBLIC BENEFIT COMPONENTS OF PARKING, UM, TO HOPEFULLY WORK IN SOME, UH, WORKFORCE, UH, WORKFORCE PARKING PASSES.

UH, WHICH THE, THE CITY'S ENTITLED TO, I BELIEVE IT'S 100 PARKING SPACES.

UH, SO OVERALL I DON'T WANT TO STEAL THEIR THUNDER.

I'LL LET THEM SHOW THEIR PRESENTATION, THEN I CAN WRAP IT UP AFTERWARDS.

YEAH, SURE.

MAYBE WE CAN HEAR SOME OF THE PRESENTATION THEN.

WHO'S GONNA DISCUSS JUST KIND OF THE KEY ELEMENTS AND TERMS, UH, THAT ARE I GUESS UP FOR NEGOTIATION? UH, BIG COMBINATION OF ME, PATRICK, COREY, AND PROBABLY OZZY.

OKAY, PERFECT.

UH, GOOD MORNING, MR. CHAIRMAN, COMMISSIONERS MICHAEL LARKIN TURNER'S HELP PISCA BOULEVARD HERE REPRESENTING ROBERT ANI, WHO'S WITH ME TODAY.

ALONG PATRICK COREY AND, UH, MARK SHANDLER.

AND WE HAVE KEVIN CROWDER FROM BUSINESS PLAYER AND MY COLLEAGUE, UH, MITCHELL.

IAN, KEN PJ, CAN YOU PULL UP THE PRESENTATION? THANKS.

NEXT SLIDE.

SO THIS IS THE AERIAL PHOTOGRAPH OF, UH, THE PROPERTY WITH THE OFFICE BUILDING ALONG 17TH STREET LINCOLN LANE.

NORTH FORMS THE SOUTHERN BOUNDARY.

WE HAVE JEFFERSON ON THE EAST AND MICHIGAN ON THE WEST.

AND BEFORE I GO ANY FURTHER, JUST TO PICK UP ON WHAT, UH, CHAIRMAN MAGAZINE SAID, YOU KNOW, YOU ALL IN THE LAST FEW YEARS HAVE SOUGHT TO REALLY DIVERSIFY YOUR ECONOMY.

YOU'VE PUT INTO THE ZONING CODE.

SEVERAL INCENTIVES FOR OFFICE CONSTRUCTION AT BE HAS THE COMMISSIONER ILION AT FIRST, AND THAT'S ALREADY BORNE FRUIT IN SUNSET HARBOR.

YOU HAVE WAYNE BOIS WITH HIS OFFICE BUILDING, THEN OUR CLIENTS ON FIFTH AND MICHIGAN.

THAT OFFICE BUILDING IS NEARING COMPLETION.

SO YOU ALL HAVE ALREADY STARTED REDIRECTING OUR ECONOMY TO INCLUDE MORE A DIVERSE SET OF OFFICE USES, WHICH IS GREAT.

UM, IN 2024, ROBERT PURCHASED THIS OFFICE BUILDING.

IT WAS SOMEWHAT OUTDATED AT THE VERY BEGINNING AND HAD NOT REALLY SEEN A SIGNIFICANT LEVEL OF INVESTMENT SINCE HIS INITIAL CONSTRUCTION.

SO ROBERT IMMEDIATELY SOUGHT THE NECESSARY ZONING APPROVALS LAST YEAR, AND HE STARTED POURING MILLIONS OF DOLLARS INTO THE EXISTING BUILDING, WHICH, AS MR. MAGAZINE HAS ALREADY POINTED OUT, HAS ATTRACTED HIGH PROFILE TENANTS.

BUT ROBERT WANTS TO DO MORE.

HE WANTS TO DO AN ADDITION THAT WILL BE IN THE VALUE OF LIKE $50 MILLION.

THEY'LL ATTRACT EVEN MORE HIGH PROFILE TENANTS, BUT WE NEED SOME LEASE AMENDMENTS IN ORDER TO MAKE THAT COME TO FRUITION.

SO NEXT SLIDE.

THIS IS AN ELEVATION APPROVED BY THE DRB LAST YEAR.

YOU CAN SEE IT SOMEWHAT STREAMLINED THE ELEVATIONS.

UM, ON THE RIGHT HAND SIDE IS A PARKING GARAGE AND LINCOLN LANE NORTH ON THE LEFT HAND SIDE IS THE OFFICE BUILDING AND 17TH STREET.

NEXT SLIDE.

THIS IS JUST AN EXCERPT FROM THE ORIGINAL LEASE AGREEMENT THAT SHOWS EVEN BACK THEN THE CITY ADMINISTRATION AND THE COMMISSIONERS WERE LOOKING FOR SOME TYPE OF PUBLIC BENEFIT OFFERING.

BACK THEN PARKING WAS OF PARAMOUNT IMPORTANCE.

SO THEY ASKED US TO SET ASIDE OR THE ORIGINAL DEVELOPER TO SET ASIDE A HUNDRED PARKING SPACES FOR THE GENERAL PUBLIC.

NEXT SLIDE.

NOW I'M GONNA LET PATRICK COREY FROM THE R GROUP TAKE OVER AND HE'S GONNA TELL YOU ALL WHAT THE R GROUP HOPES TO DO WITH THIS OFFICE BUILDING.

I'LL SNEAK HERE.

NO, YEAH, I'LL TAKE OVER.

GOOD MORNING.

AND THANK YOU GUYS FOR HAVING US.

UM, AS MICHAEL MENTIONED, UH, WE PURCHASED THIS PROPERTY IN APRIL OF 2024.

AS THIS SLIDE NOTES, THERE WAS A PROJECTED 76.5 DECREASE IN THE REVENUES FOR BY 2029.

WHAT WE MEAN BY THAT IS THAT ALL OF THE EXISTING LEASES WERE EITHER EXPIRING FOR THE NEXT FIVE YEARS.

THERE WAS NO NEW LEASES SIGNED.

SO WHEN WE CAME IN AND WE PURCHASED THE BUILDING, WE ADDED THE RENOVATIONS TO IT.

WE'VE SIGNED A SIGNIFICANT NUMBER OF TENANTS TO THE BUILDING.

UM, SOME OF THOSE TENANTS ARE LISTED HERE, WHICH INCLUDES H WOOD, THE JILLS, AND MONARCH.

UM, SOME RECENT LEASES THAT WE JUST SIGNED IN THE LAST COUPLE OF WEEKS ARE A, AN EYE SURGEON DOCTOR, DR.

JENNIFER MURDOCH.

WE JUST SIGNED TWO DAYS AGO

[00:30:01]

A HEDGE FUND WHO'S RELOCATING CALLED MAPLE LANE.

WE RELOCATED ANOTHER, UM, FINANCIAL INSTITUTION FROM COCONUT GROVE CALLED DEVY ERO.

SO WE'RE ACTIVELY ATTRACTING THESE HIGH PROFILE FOLKS.

MANY OF THEM ARE ACTUALLY MOVING PHYSICALLY THEIR PERSONAL RESIDENCES TO MIAMI BEACH.

OUR OFFICE ALONE, UM, THE ANI OFFICE, OUR, OUR HEADQUARTERS IS LOCATED IN THE BUILDING AND WE'VE GOT ABOUT 20 TO 25% OF EMPLOYEES WHO WE'VE RELOCATED FROM EITHER NEW YORK, LAS VEGAS.

THOSE FOLKS HAVE MOVED TO MIAMI BEACH AND HAVE THE PRIVILEGE OF WALKING TO THE OFFICE EVERY DAY.

UH, GO TO THE NEXT SLIDE.

AND PATRICK, IF WE COULD GO BACK TO SLIDE.

IF I'M JOE VOTER, WHY WOULD I CARE WHAT YOUR, UH, OCCUPANCY IS? AND I GUESS I'LL ANSWER MY OWN QUESTION.

I WASN'T FAMILIAR WITH THIS UNTIL RECENTLY.

BECAUSE THIS IS A CITY GROUND LEASE.

WE ACTUALLY GET, WE AS A CITY, OUR TAXPAYERS GET 2.5% OF THE GROSS REVENUES THAT COME INTO THIS PROJECT.

SO WHEN YOU SIT HERE AND SAY THAT, UH, THE PROJECT WAS PROJECTED TO HAVE A DECREASE, WE ACTUALLY HAVE MONEY EACH YEAR THAT COMES IN THIS LARGELY BASED ON HOW MUCH LEASE REVENUE THAT YOU GET, CORRECT? THAT'S CORRECT.

SO THE WAY THAT THE LEASE IS STRUCTURED IS YOU DO HAVE A BASE RENT, BUT THEN THERE IS THE PERCENTAGE THAT YOU SPOKE ABOUT.

UM, WE CAN ASK OZZY FROM THE COMMISSIONER'S OFFICE FOR CONFIRMATION THAT 2025, I BELIEVE WAS THE HIGHEST GROSSING, UH, THAT THE CITY OF MIAMI BEACH HAS EVER, UM, ACHIEVED.

SO WE'RE VERY PROUD OF THAT ACCOMPLISHMENT AND NOTING THAT GOING FORWARD WITH THESE NEW LEASES THAT I JUST MENTIONED, 2026 AND ONWARD WILL BE SIGNIFICANTLY HIGHER REVENUE DIRECTLY FOR THE CITY OF MIAMI BEACH.

OKAY.

AND ALSO, PRESUMABLY YOU ADD THIS INCREMENTAL OFFICE SPACE ON TOP THAT FLOWS DIRECTLY TO THE CITY, RIGHT? SO, UH, I DON'T KNOW HOW MUCH LEASEABLE SPACE YOU'RE GOING TO HAVE AND WHAT RATE, BUT THAT SEEMS LIKE A PRETTY EASY PROFORMA NUMBER TO BACK INTO.

CORRECT.

AND THE CITY ESSENTIALLY GETS TWO AND A HALF PERCENT OF THE GROSS REVENUES, NOT JUST FROM THE EXISTING PROJECT, BUT FROM THE INCREMENTAL PROJECT AS WELL.

CORRECT? YEAH, THERE, THERE'S A SLIDE IN THE PRESENTATION THAT I'LL JUST JUMP TO FOR EASE.

SO YOU CAN SEE THAT WE CAN GO BACK TO THE OTHER SLIDES.

BUT, UM, AS WE PURCHASED THE PROPERTY, WHAT WE DID HERE IS WE TOOK A 30 YEAR, UH, LOOK FORWARD ON THE REVENUES THAT WERE ANTICIPATED FOR, FOR THE CITY, UM, AS YOU CAN SEE.

BUT THE PHASE ONE, WHICH IS WHAT WE REFER TO, IS A PROJECT THAT WE'RE DOING NOW THAT'S GONNA BE COMPLETED WITHIN THE NEXT 90 DAYS.

IT'S GENERATING AN ADDITIONAL $7 MILLION OF INCOME, BUT THE NEW PROPOSAL FOR THE PHASE TWO WOULD GENERATE AN ADDITIONAL 12 ON TOP OF THAT.

UM, ESSENTIALLY DERIVING AT 19 MILLION OF ADDITIONAL INCOME FOR THE CITY OF MIAMI BEACH OVER THE NEXT 30 YEARS.

SO 12 YEARS.

SO THE ADDITIONAL PROJECT IS GOING TO GENERATE ALMOST $400,000 PER YEAR INTO THE CITY.

IF I JUST LOOK AT, UH, THE DELTA BETWEEN PHASE ONE, PHASE TWO, THAT'S $12 MILLION DIVIDED BY THE 30 YEAR OUTLOOK.

UM, SO ABOUT IT'S EXACTLY.

YEAH.

YEAH.

IT'S SOMEWHERE BETWEEN, DEPENDING ON THE BASE HERE, BETWEEN 350 TO 400,000 A MONTH.

EXCELLENT.

AND, AND MAYBE GO BACK, UH, SORRY TO ABSOLUTELY NO PROBLEM.

JUST WANTED TO SHOW YOU THOSE, UH, SO YOU CAN SEE THOSE.

UM, OKAY.

SO WE, YOU KNOW, I SPOKE VERY BRIEFLY ABOUT, YOU KNOW, PHASE ONE, WHICH IS WHAT WE'RE ACTIVELY WORKING ON.

AS NOTED TO YOU, WE'VE GOT ABOUT 90 DAYS LEFT FOR THAT PROJECT TO BE COMPLETE.

THIS JUST KIND OF RECAPS, UM, THE DRB APPROVAL FOR THE FACADE.

WE ALSO HAD APPROVAL FOR H WOOD, WHO'S OPERATING THE SPEAKEASY, A WORLD CLASS OPERATOR WHO'S GONNA BE TAKING AN AMENITY SPACE IN THE BUILDING.

UM, AND THEN THE FINAL DRB APPROVAL WAS FOR THE VALET.

THIS WILL BE AS PICTURED ON THE BOTTOM RIGHT, THE ONLY 100% COVERED VALET, UM, IN ALL OF MIAMI BEACH.

UH, THIS IS GREAT FOR NOT ONLY TENANTS OF THE BUILDING TO ATTRACT THEIR CLIENTS, BUT ALSO FOR ANY F AND B COMPONENTS THAT WILL GO ON THE GROUND FLOOR.

ON BOTH THE, THE MICHIGAN AND THE JEFFERSON SIDE, ONE OF THE THINGS THAT WE TOOK INTO CONSIDERATION WAS THE, THE UNDER UTILIZATION, EXCUSE ME, OF THE PARKING GARAGE.

WE CURRENTLY HAVE 630 PARKING SPACES THAT ARE AVAILABLE TO THE PUBLIC, BUT BASED OFF OF A THREE YEAR TRANSIENT STUDY THAT WE CONDUCTED FROM OUR OWN PARKING GARAGE OPERATORS, WE NOTED THAT WE'RE AVERAGING ABOUT 5% OCCUPANCY FROM TRANSIENT PARKING.

WHY IS THAT? UM, BECAUSE JUST TO THE EAST AND WEST OF US ARE TWO LOTS, UH, THAT ARE MUCH MORE EASILY ACCESSIBLE.

THEY'RE EASIER FOR FOLKS WHO ARE GOING INTO LINCOLN ROAD TO JUST PARK ON STREET LEVEL, JUMP OUTTA THEIR CAR, PAY BY PHONE, RATHER THAN HAVE TO GO UP SEVERAL LEVELS IN THE PARKING GARAGE.

SO WE WERE FACED WITH TWO OPTIONS.

DO WE KEEP IT UNDER PERFORMING GARAGE THAT HAS, UH, AN ABUNDANT AMOUNT OF SPACES OR DO WE REDEVELOP A PORTION OF IT, UM, TO BE ABLE TO PROVIDE MORE OFFICE? UH, WE'VE SEEN, AS I NOTED, UM, ALL THOSE LEASES THAT I JUST MENTIONED TO YOU WERE REALLY SIGNED WITHIN THE LAST SIX MONTHS.

UH, THERE IS A, A FLIGHT TO THE ASSET.

THERE IS A VERY HIGH DEMAND.

WE DON'T AT THIS TIME HAVE ANY AVAILABLE SPACES WHO ARE READY FOR TENANTS TO COME IN.

AND SO BASED OFF THE DEMAND FOR MIAMI BEACH OFFICE SPACE, UH, WE ARE PROPOSING TO ADD NEW OFFICE SPACE AND SOME HEALTH AND WELLNESS COMPONENTS.

SO BASED

[00:35:01]

ON THE FLOOR AREA AVAILABILITY, WE HAVE THE EXISTING FAR 2.13 PERMANENT FAR 2.75, WHICH MEANS 387 PARKING SPACES IN EXCESS OF THE REQUIREMENT.

BASED OFF OF THAT, WE ARE PROPOSING, UM, EXCUSE ME, THERE IS AN AVAILABILITY FOR 47,000 SQUARE FEET OF AVAILABLE FLOOR AREA.

WHAT WE'RE, SO THIS WON'T CONSTITUTE ANY TYPE OF FAR INCREASE.

YOU'RE DOING THIS CORRECT WITHIN YOUR AS OF RIGHT TO BUILD.

SO REALLY THE ONLY REASON YOU'RE IN FRONT OF US IS BECAUSE THIS SITS ON CITY ON GROUND.

THAT'S CORRECT.

THAT'S CORRECT.

SO BASED OFF THAT 47,000 AVAILABLE SQUARE FEET, WHAT WE'RE PROPOSING TO DO IS 36,000 OF LEASEABLE OFFICE AND THEN 6,000 OF ROOFTOP RESTAURANT AS WELL AS PADEL COURTS.

UM, PART OF THE PREMISE OF THE RNI CLASS X BUILDING IS HEALTH AND WELLNESS AT THE FOREFRONT.

UH, WE SIGNED MONARCH GYM WHO'S TAKING 8,000 SQUARE FEET.

WE SIGNED, UM, PRIME LONGEVITY, WHO IS GOING TO BE THE FIRST STEM CELL, UM, TRANSPLANT DOCTOR IN MIAMI.

WE SIGNED PRIME, UH, PRIME HEALTH, WHO'S ALSO A CONCIERGE DOCTOR WHO'S MOVING OFFICES.

HE'S MOVED FROM, FROM, UH, MOUNT SINAI, EXCUSE ME, INTO OUR OFFICE.

SO HEALTH AND WELLNESS HAS ALWAYS BEEN A FOCUS ON US, SO THAT'S WHY WE'RE INCLUDING THE PADELL COURTS ON TOP OF HERE AS WELL.

THIS INVESTMENT, AS WE'VE NOTED SEVERAL TIMES, IS ANTICIPATED TO BE ABOUT $50 MILLION THAT'S GONNA COME OUT OF THE LANDLORD'S POCKET.

SO MICHAEL SHOWED AN AERIAL SHOT OF JUST UGLY PARKING, YOU KNOW, UGLY ROOFTOP PARKING, WHICH I THINK HAS BEEN KIND OF A KEY FOCUS ACROSS THE CITY TO MAYBE MAKE MORE AESTHETICALLY PLEASING.

SO IF THAT WAS AN AERIAL SHOT, THAT'S ESSENTIALLY THE SAME PICTURE THAT WE'RE LOOKING DOWN UPON.

CORRECT.

UH, THAT SITS RIGHT ON TOP OF THE GARAGE.

UH, IT'S A BUTTS ONTO, YOU KNOW, LINCOLN ROAD AND IT'S IN BETWEEN JEFFERSON AND MICHIGAN AVENUE.

IF YOU'D LIKE ME TO GO BACK TO THE MAP, I'M HAPPY TO NO, NO.

ALL GOOD.

I'VE GOT A COUPLE MORE RENDERINGS TO GIVE YOU A BETTER ANGLE.

YOU CAN SEE OUR OFFICE BUILDING SITS BEHIND IT JUST TO THE NORTH.

SO THIS ALL GOES ON TOP OF THE PARKING GARAGE.

YOU CAN SEE, UH, THE OFFICE SPACE TOWARDS THE EAST AND THE RIGHT HAND SIDE.

THE F AND B COMPONENT HAS AN OUTDOOR SPACE, AND THEN OF COURSE THE PINDELL.

YEAH, OF COURSE.

YEAH.

OKAY.

I HAVE A, A COMMENT ACTUALLY ON THE PARKING OR QUESTION TWO.

UM, WE'RE RUNNING INTO A SITUATION IN NORTH BEACH WHERE A BUILDING WAS BUILT WITH, UH, PLENTY OF PARKING AND THEY'RE CHARGING $4 AN HOUR.

AND SO THE BUILDING RESIDENTS ARE NOT PARKING THERE, UH, THEY'RE PARKING ON THE STREET AND MAKING A BIG PROBLEM IN THAT AREA.

WILL THERE BE PARKING AT RESIDENT RATE? UM, HOW IS THE PRICING STRUCTURE GOING TO BE? OR IS IT TOO EARLY? I THINK IT'S A BIT TOO EARLY, UNLESS IT'S SOMETHING THAT, YOU KNOW, ROBERT, I DON'T KNOW THE ULTIMATE, AND WHEN I SPOKE TO OUR PARKING DIRECTOR ON THIS, WILL, HE SPECIFICALLY SAID, FUTURE DEVELOPMENTS, YOU NEED TO BRING IT UP, UM, SO THAT THEY'RE AWARE, INCORPORATE, SO THAT WE DON'T CREATE A PROBLEM ON EXISTING PARKING, UM, AS THE PLANS ARE BEING DONE, WE'RE, WE'RE, WE'RE NOT OPEN HIGH, HIGH COMMISSIONERS.

WE'RE, WE'RE NOT OPEN AGAINST THE IDEA, WE'RE JUST WAITING FOR THE WORKFORCE HOUSING PROPOSAL OR THE WORKFORCE PARKING THAT, UM, OZZY MENTIONED.

SO WE'RE OPEN TO EITHER WAY, WHATEVER YOU GUYS DEEM IS MORE BENEFICIAL TO THE CITY, WE'RE OPEN TO, TO BOTH THE, THE ONE ISSUE THAT WE'RE RUNNING TO WITH OUR EXISTING OR OUR NEW PARKING IS WE'VE DONE THE GATE LIST ONE.

SO WE DON'T HAVE SOMEONE TO CHECK AN ID FOR SOMEBODY OR TO SEE IF THEY'RE RE A RESIDENT.

SO I DON'T KNOW HOW THAT WOULD WORK, BUT WE'RE OPEN TO THE IDEA.

UM, AGAIN, THE PARKING IS SO LITERALLY USED, SO WE'RE EITHER WAY TO MAKE THE CITY HAPPY, WE'RE MORE THAN HAPPY TO DO IT.

THANKS.

AND I THINK, UH, AGAIN, WE DON'T HAVE TO IRON THIS OUT HERE, BUT ANOTHER GOOD IDEA OR PROPOSAL WOULD BE TO HAVE, SIMILAR TO THE DESIGN DISTRICT, THE JUST PULL UP THE LINCOLN ROAD AND USE THE HUNDRED PUBLIC PARKING SPACES THAT THE CITY, UM, MAINTAINS IN HERE AS A VALLEY PARKING FOR LINCOLN ROAD IN ITS ENTIRETY.

I THINK IT'S A FANTASTIC IDEA AND I WOULD, WOULD DEFINITELY WANT THE VALE FOR LINCOLN ROAD.

GREAT, THANK YOU.

UH, THE LAST LINE FOR ME, AGAIN, JUST AS RECAPPING THE REVENUE, BUT YOU KNOW, WHAT'S NOT SHOWN HERE IS REALLY DRIVING HOME THE POINT THAT THIS IS MORE ABOUT, UH, THE DEMAND THAT WE'RE SEEING FOR FOLKS THAT WANT OFFICE SPACE IN MIAMI BEACH.

AND SO WE DON'T HAVE THE CAPACITY TO FILL THAT ANYMORE.

THERE'S NOT MANY OPTIONS.

THERE'S JUST REALLY THE FIFTH AND THERE'S, UM, IN SUNSET HARBOR, BUT THERE'S REALLY NOTHING ELSE.

AND SO WE WANT TO PROVIDE AND KEEP BRINGING BACK LINCOLN ROAD, KEEP BRINGING BACK MIAMI BEACH AND WE FEEL THAT THIS IS AN OPPORTUNITY FOR US TO CONTINUE TO DO SO.

THANK YOU COMMISSIONER.

UM, SO NEXT SLIDE.

I'LL LET HIM FINISH.

SO THIS IS A SUMMARY SLIDE OF THE DIFFERENT AMENDMENTS TO THE LEASE.

STARTING AT THE VERY TOP IS EXTENDING THE INITIAL LEASE TERM BY 30 YEARS TO 2082, AND THEN KEEPING IN PLACE THE TWO 20 YEAR EXTENSIONS.

THE NEXT, UH, THERE'S A UNIQUE ASPECT TO REEVALUATING THE FAIR MARKET RENT IN 2050.

AND IN 2070, WE'RE JUST ASKING TO PUT A CAP ON THE BASE RENT INCREASE BASED UPON THE PROCEDURE OUTLINED IN

[00:40:01]

THE LEASE NEXT YEAR.

AND MICHAEL, JUST FOR PEOPLE THAT LISTENING NOW OR IN THE FUTURE, SIMPLISTICALLY, WHY DO YOU NEED AN EXTENSION OF THE LEASE TERM? IT'S FOR FINANCING FOR FINANCE, BUT YOU'RE MAKING A BIG CAPITAL INVESTMENT OF $50 MILLION.

RIGHT.

AND TO GO OUT AND GET FINANCING, YOU NEED LONGER, LONGER LEASE TERM.

YEP.

THANKS MR. CHAIRMAN.

THAT'S CORRECT.

UM, THE NEXT AMENDMENT IS REDUCING NUMBER OF REQUIRED PARKING SPACES DOWN TO 4 25, BUT OF COURSE, KEEPING THE HUNDRED SPACE MINIMUM FOR PUBLIC PARKING.

THE NEXT IS TO ALLOW THE CITY MANAGER TO APPROVE MAJOR ALTERATIONS THAT REDUCE THE NUMBER OF REQUIRED PARKING SPACES.

AGAIN, DOWN TO THAT 4 25 NUMBER, AND I CAN'T SEE THE LAST ONE, BUT I KNOW THAT IT'S, UH, AN, IT'S, THE DEVELOPMENT AGREEMENT HAS A SCRIBNERS ERROR IN THE EXHIBIT WHERE IT SAYS 80 FEET SHOULD BE A HUNDRED FEET AND WE WANT TO AMEND THAT TO GO TO A HUNDRED FEET.

'CAUSE THAT'S BASED UPON CURRENT CODE STANDARDS, SCRIVENER'S ERROR, MEANING WHAT? IT MEANS THAT IN THE DEVELOPMENT AGREEMENT ITSELF, IN THE BODY OF IT, IT SAYS A HUNDRED FEET IS THE MAXIMUM HEIGHT FOR THE GU ZONE PORTION OF THIS PROPERTY.

BUT IF YOU LOOK FURTHER INTO THE AGREEMENT, THERE'S AN EXHIBIT OF THE BUILDING ITSELF THAT SAYS IT'S 80 FEET AND THAT'S INCORRECT.

SO WE WANT TO, WE WANNA AMEND THAT TO BRING IT BACK TO A HUNDRED FEET TO MAKE IT CONSISTENT.

MY NINE YEAR OLDS BEAT ME THE LIST THREE TIMES IN SCRABBLE, SO I'M ALWAYS LOOKING FOR NEW WORDS, NOT GONNA KNOW WHAT HIT HER.

AND I DON'T KNOW IF ROBERT WANTS TO SAY ANYTHING.

YEAH, I THINK, I THINK I'VE SPOKEN TO, TO EVERYONE UP HERE THAT IT'S, IT'S A REALLY BIG PASSION OF MINE TO MAKE SURE THAT THIS PROJECT THAT WE'RE, THAT WE'RE PROPOSING IS UNDERSTOOD TO BE A PROJECT FOR A WORLD CLASS OPERATOR TO COME INTO AND MAKE MIAMI BEACH A CITY WHERE PEOPLE ARE NOT JUST LOOKING AT AS A VACATION DESTINATION, BUT ALSO AS A DESTINATION WHERE FORTUNE 500 COMPANIES CAN BRING THEIR OFFICE, THEIR RESIDENT, THEIR EMPLOYEES CAN LIVE IN THE CITY AND WALK TO THE CITY.

AND MY, MY OVERALL DREAM, WHICH IS BRINGING, CONTINUING, MAKING LINCOLN ROAD, THE AMAZING ROAD THAT IT IS, AND WITHOUT HAVING PEOPLE AND BODIES TO BE THERE ON A DAY-TO-DAY BASIS TO SUPPORT THAT, I DON'T THINK THAT DREAM EVER COMES ABOUT.

I THINK THIS OFFICE BUILDING IS A GREAT SHOT ON THE ARM, UH, TO BRING THAT ALL TOGETHER.

SO THANK YOU GUYS FOR ALL FOR LISTENING TO THIS.

THANK YOU ROBERT.

AND MR. CHAIRMAN, JUST, WE HAVE KEVIN CROWDER, HE IS OUR ECONOMIC CONSULTANT.

HE DID ECONOMIC STUDY.

IF YOU COULD ALLOW HIM JUST TO HAVE A BRIEF SUMMARY OF HIS STUDY SPEAK NOW OR AFTER.

YEAH, AFTER, AFTER.

GOOD MORNING, UH, KEVIN CROWDER WITH BUSINESS WAY, UM, WE TOOK A LOOK AT SPEAK BOTH THE FISCAL AND ECONOMIC IMPACT THAT THIS PROJECT CAN BRING.

SO LOOKING AT HOW THE BUILDING HAS BEEN REPOSITIONED ALREADY, IT'S GONE FROM JUST UNDER ABOUT 300 EMPLOYEES IN THE BUILDING TO ABOUT 845.

SO IT'S ALREADY BEEN REPOSITIONED WITHIN WHAT'S HAPPENING IN THE OFFICE MARKET IN SOUTH FLORIDA IN A REALLY POSITIVE WAY WITH THE ADDITION OF THE 36,000 SQUARE FEET.

AND I'LL MENTION THAT, THAT THAT'S UP TO ABOUT 110 IN CURRENT ECONOMIC OUTPUT BEING GENERATED OUT OF THE BUILDING NOW.

AND THEN THE ADDITIONAL ADDITION OF 36,000 SQUARE FEET WOULD ADD ANOTHER 269 IS OUR ESTIMATE OF THE EMPLOYEES THAT WILL BE THERE.

AND ABOUT ANOTHER $35 MILLION, 33 TO $35 MILLION ANNUALLY IN ECONOMIC OUTPUT THAT IT GENERATES ON THE FISCAL SIDE.

WHAT IT DOES IS YOU SAW THE SLIDE WITH THE, THE, THE STATUS QUO, 24 MILLION, 31 MILLION IN LEASE REVENUE TO THE CITY OVER, UH, IN THE CURRENT WITH THE PHASE ONE.

AND THEN PHASE TWO I THINK TOOK IT UP ANOTHER ABOUT $10 MILLION.

WE PROJECTED THAT WITH THE EXTENSION, THE, JUST THE PHASE TWO GROUND LEASE REVENUE OVER THE EXTENSION PERIOD WOULD BE $130 MILLION.

IN ADDITION TO THE, WHAT YOU WOULD RECEIVE FROM THE, THE CURRENT, FROM THE WHAT'S ALREADY BEEN DONE THERE.

THE AD VALOREM OF THE EXTENSION OF THE ADDITION WOULD BE OVER THE TERM OF THE LEASE $572 MILLION.

BUT IF WE LOOK AT WHAT'S ALREADY BEEN DONE RECENTLY AND THE PHASE TWO NET PRESENT VALUE IN 2020 $6 OF FISCAL IMPACT TO THE CITY WOULD BE $255 MILLION IS OUR ESTIMATE OF, OF ADDITIONAL BENEFIT TO THE CITY.

UM, THE OTHER THING I WOULD ADD IS JUST WHAT ARE SOME OF THE, THE SORT OF WHY THIS MATTERS? YOU, YOU'VE ALREADY HEARD SOME OF THAT TALKED ABOUT, YOU KNOW, THIS BUILDING WAS BUILT DURING REALLY THE LAST PERIOD OF OFFICE DEMAND IN MIAMI BEACH WHEN THERE WAS A LOT OF ENTERTAINMENT INDUSTRY, UM, TELEVISION STATIONS, MUSIC COMPANIES LOOKING HERE.

AND IT WAS A RESPONSE TO THAT.

BUT AT THE TIME THERE WAS, THERE WAS LAND THAT THE CITY HAD THAT WAS AVAILABLE.

YOU'VE NOW ALREADY BEEN DOING, AS WAS MENTIONED, THINGS TO RESPOND TO THE OFFICE DEMAND THAT WE'VE HAD IN SOUTH FLORIDA MUCH MORE RECENTLY.

THIS BUILDING ALREADY IS HELPING REPOSITION AND SHOW THAT NOT ONLY IS THE DEMAND THERE, BUT THAT MEETING THAT DEMAND IS VIABLE JUST THROUGH THE TENANTS HAVE THAT HAVE BEEN BEEN PUT INTO THE BUILDING.

ONE THING THAT WAS INTERESTING, H WOULD SPEAKEASY THAT'S ALREADY COMING IN THE BUILDING, THE, THE HEADLINE ON COSTAR TODAY IS WHY HAVE AN OFFICE LOUNGE WHEN YOU CAN HAVE A SPEAKEASY AND HOW SPEAKEASY ARE ONE OF THE THINGS HELPING TURN OFFICE BUILDINGS INTO MORE THAN SINGLE DESTINATION,

[00:45:01]

UH, BUILDINGS, BUT HOW THEY INTERFACE WITH OTHER INDUSTRIES, OTHER PARTS OF THE COMMUNITY, WHICH IS THE LAST PIECE THAT WE DID IS WE USED, UH, LOCATION ANALYTICS TO LOOK AT THE BUILDING AND SEE WHAT DO THE PEOPLE IN THIS BUILDING DO? 73% OF THE PEOPLE THAT EITHER VISIT AND WORK IN THE BUILDING VISIT LINCOLN ROAD ON A REGULAR BASIS, UM, 13% OF THEM SPECIFICALLY EVEN TO THE APPLE STORE.

THE MAJORITY OF THE VISITS ARE DURING THE WEEKDAYS, DURING THE FIVE, FIVE DAYS MONDAY THROUGH FRIDAY.

WHICH HELPS KIND OF EXTEND THAT IMPACT WHEN YOU, YOU KNOW, AWAY FROM JUST HAVING THAT WEEKEND VISIT THAT MAY BE COMING TO LINCOLN ROAD, UM, APPLE STORE, THE RESTAURANTS, AND OVERALL JUST SHOPPING ON LINCOLN ROAD, A A LOT OF DIFFERENT DESTINATIONS SHOWED UP IN, IN THAT.

SO YOU GET THAT, THAT, THINK OF IT AS A MIXED USE PROPERTY, EVEN THOUGH IT'S MAINLY AN OFFICE BUILDING.

YOU WILL HAVE THE ROOFTOP RESTAURANT AND SOME OF THESE OTHER ESTABLISHMENTS, BUT IT REALLY DOES GENERATE THAT OVERFLOW THAT YOU'RE LOOKING FOR FROM THE, FROM ATTRACTING THESE TYPES OF USES TO THE LINCOLN ROAD AREA.

GREAT.

THANK YOU KEVIN.

THAT'S ALL.

MR. CHAIRMAN, COMMISSIONERS, IF YOU ALL HAVE ANY QUESTIONS, PLEASE DO US KNOW.

I DO.

I'D LIKE TO SEE ROBERT LOVE THE PROJECT.

THANK YOU.

UM, MY DOCTOR OFFICE IS THERE, CENTER.

UM, BUT THIS IS SOMETHING THAT I'VE ALWAYS BROUGHT UP AN ISSUE WITH YOU MM-HMM .

ONE OF YOUR TENANTS.

UM, I DON'T WANT TO SEE A PLAYBOY LOGO AT THE TOP FOR THE NEXT 30 YEARS.

UNDERSTOOD.

IS THAT, IS THAT POSSIBLE? IF, IF I'M OKAY WITH THIS AGREEMENT THAT WE ALL AGREE TODAY THAT THAT'S NOT GONNA HAPPEN.

ON WHICH TOP ON THIS NEW BUILDING? YEAH.

ON THE NEW BUILDING WE CAN AGREE TO, OR, OR THE OLD BUILDING THAT I CANNOT AGREE TO.

THEY HAVE A TENTATIVE RIGHT TO PUT SIGNAGE ON THE BUILDING, BUT IT'S NOT BEEN FULLY NEGOTIATED OR AGREED TO.

CAN WE AGREE THAT IT'S GONNA BE AT THE BOTTOM FLOOR, NOT AT THE TOP FLOOR? I CAN'T AGREE WITH YOU.

I HAVE TO TALK WITH THEM ABOUT IT BECAUSE THEY HAVE ATTORNEYS AND A LOT OF PEOPLE THAT WOULD FIGHT ME ON IT.

BUT WE CAN TALK TO 'EM ABOUT IT.

I'M HAPPY TO HAVE YOU PART OF THAT MEETING TO TALK TO THEM ABOUT IT.

OKAY.

I JUST WANNA BE AS HONEST AS POSSIBLE AND NOT FEED YOU.

AND I'M JUST BEING HONEST HERE.

I UNDERSTAND WE'RE, WE'RE IN A COMMITTEE, WE'RE NOT A FULL COMMISSION, BUT THAT'S, THAT'S, NO, I UNDERSTAND.

I THINK THE IMPORTANT THING FOR A LOT OF PEOPLE TO NOTE AS WELL ABOUT THE TENANT IS THIS IS THEIR CORPORATE HEADQUARTERS.

IT IS NOT A PARTY, IT IS NOT A MEMBER'S CLUB.

IT IS NOTHING ALONG THOSE LINES.

IT IS, LISTEN, I I UNDERSTAND THAT, BUT WHEN YOU HAVE A FAMILY DRIVING BY ON 17TH STREET AND THEY SEE THE PLAYBOY LOGO AT THE VERY TOP OF THE BUILDING, YOU KNOW, I DON'T THINK THAT'S NECESSARILY THE BRAND THAT MIAMI BEACH WANTS.

AND SO IF YOU'RE COMING TO US ASKING FOR EXTRA SPECIAL FAVORS, AND I'M OKAY WITH GIVING YOU EVERYTHING, I'M JUST SIMPLY SAYING, I DON'T WANNA SEE A PLAYBOY LOGO AT THE TOP OF, OF A BUILDING.

AND YOU HAVE, AND YOU KNOW, YOU CAN CONTROL THAT.

SO I I HEAR YOU.

YOU KNOW, I MEAN, I I DON'T KNOW IT YOU'RE GONNA BE GETTING EXTRA BENEFITS OUT OF THIS.

I MEAN, OBVIOUSLY WE'RE GONNA BE GETTING GREAT BENEFITS TOO, BUT AT THE END OF THE DAY, I, I MEAN, I'M, I'M, I'M GONNA BE LIVID IF THERE'S A PLAYBOY LOGO AT THE TOP OF YOUR BUILDING, I UNDERSTAND.

AND THAT EVERY AND EVERYONE THAT GOES BY LINCOLN ROAD INTO OUR CITY IS GONNA SEE THAT.

AND I THINK THAT'S JUST GONNA BE AN EYESORE.

I HEAR WHAT YOU'RE SAYING.

I JUST, OKAY.

SO I'M, I'M MORE THAN HAPPY TO.

I JUST CAN'T AGREE TO SOMETHING THAT WOULD I UNDERSTAND.

LOOK, YOU KIND OF CAUGHT YOU OFF GUARD.

I'M MORE THAN WILLING TO MEET WITH YOU AND YOUR TENANT AND HAVE A DISCUSSION ABOUT IT AND HOPEFULLY FLESH SOMETHING OUT.

BUT LOOK, YOU'RE COMING TO US FOR SOMETHING AND I'M, AND I'M ASKING SOMETHING THAT'S NON-MONETARY AT ALL.

I THINK IT'S A VERY SIMPLE REQUEST.

UNDERSTOOD.

OKAY.

HAPPY TO MEET WITH YOU AND THE TENANT AND TALK WITH HIM ABOUT IT.

UM, BACK ON OTHER TENANTS, AND I'LL BRING THIS UP, AND WHEN WE TALK ABOUT HOW OFFICE BENEFITS THE CITY, I WAS HAVING THIS CONVERSATION UNRELATED THIS YESTERDAY, THAT NEIGHBORHOODS IN MIAMI AS A WHOLE ARE BECOMING MORE SELF-SUSTAINING.

PEOPLE THAT LIVE IN THE GROVE, STAY IN THE GROVE.

PEOPLE THAT LIVE IN BRICKELL, STAY IN BRICKELL.

PEOPLE THAT LIVE IN MIAMI BEACH, STAY IN MIAMI BEACH.

PART OF IT'S A TRAFFIC ISSUE, BUT SCHOOLS AND THINGS LIKE THAT, UM, I'M ACTUALLY AWARE OF TWO OF THE HEDGE FUNDS, UH, THAT MOVE IN.

THE ONE GENTLEMAN HAD HIS OFFICE IN COCONUT GROVE AND HIM AND HIS EMPLOYEES LIVE ON MIAMI BEACH, RIGHT.

ONE ON PINE TREE DRIVE.

AND THINK ABOUT WHAT THAT DOES FOR A CITY.

SO INSTEAD OF HIM DRIVING OVER OUR CAUSEWAYS EVERY SINGLE DAY, AND HIM AND HIS 20 EMPLOYEES BRING ALL OF THEIR DAYTIME ECONOMIC ACTIVITY TO COCONUT GROVE, THEY WILL NOW BE FREQUENTING LINCOLN ROAD.

THERE'S ANOTHER GENTLEMAN THAT LIVES ON COLLINS AVENUE THAT'S TAKING ONE OF YOUR SPACES.

AND THAT SAME ANALYSIS, HE WAS IN ANOTHER OFFICE BUILDING, I BELIEVE IN COCONUT GROVE, MAPLE

[00:50:01]

LINK CAPITAL.

MM-HMM .

UM, SO NOW THAT WON'T BE THE IMPACT ON OUR INFRASTRUCTURE OF PEOPLE LEAVING OUR CITIES DURING THE DAY.

AND JUST AS IMPORTANTLY, THEIR ENTIRE DAYTIME ECONOMIC ACTIVITY WILL NOW BE SHIFTED FROM COCONUT GROVE TO NOW NOT ONLY MIAMI BEACH, BUT HOPEFULLY, UH, TO LINCOLN ROAD HERE.

OZZY, WHAT ARE THE OUTSTANDING ITEMS THAT HAVE YOU, I, I GUESS I WANT TO TALK TWO THINGS.

ONE IS LOGISTICS, RIGHT? IF YOU COULD, AND IF IT'S YOU OR THE CITY ATTORNEY, WALK US THROUGH, BECAUSE IN OUR BRIEFING, I DON'T WANNA SAY IT'S COMPLICATED, BUT THERE'S SOME LOGISTIC, UH, CONSIDERATIONS.

THIS HAS TO GO TO PLANNING BOARD, THEN BACK TO FERC.

BUT WE ACTUALLY SHOULD MAKE A RECOMMENDATION HERE TO THE COMMISSION THAT THE FULL COMMISSION ESSENTIALLY ALLOWS STAFF TO CONTINUE NEGOTIATING.

SURE.

UM, SO, UH, THIS WILL NEED TO GO TO THE PLANNING BOARD.

THIS WILL NEED TO HAVE TWO PUBLIC HEARINGS AT, UH, THE COMMISSION.

AND THIS WILL GO TO THE VOTERS ON, ON A, ON A, ON A REFERENDUM IN NOVEMBER.

UM, WE NEED TO ACCOMPLISH ALL OF THIS BY THE JULY MEETING.

'CAUSE JULY IS THE DEADLINE FOR ANY BALLOT QUESTIONS.

UM, THE, THE NEXT STEP FROM HERE WOULD BE FOR THIS COMMITTEE TO MAKE A RECOMMENDATION TO THE COMMISSION, AND THEN THE COMMISSION WOULD CONSIDER THAT AND EITHER ADOPT THE RECOMMENDATION OR NOT.

UM, THE PLANNING BOARD MEETING, UH, I MEAN, I SUPPOSE COULD COME BEFORE THE COMMISSION ACCEPTS THE RECOMMENDATION, BUT PROBABLY MAKES SENSE FOR PLANNING BOARD TO, TO HEAR THIS.

AFTER THE COMMISSION, I'LL ADD THE TERMS THAT I WOULD LIKE TO SEE CONSIDERED OR INCLUDED.

AND YOU COULD TELL ME IF THESE HAVE ALREADY BEEN BROUGHT UP OR NEGOTIATED OR THINGS LIKE THAT.

UM, WHAT HAPPENS, WHAT SAFEGUARDS DO WE HAVE IF THE APPLICANT OR PROJECT SPONSOR DOESN'T COMPLETE THIS INVESTMENT WITH A CERTAIN AMOUNT OF TIME? RIGHT.

SO WHAT I WANT TO PREVENT IS THIS LEASE EXTENSION GETTING VOTED ON FAVORABLY, BUT THEN IF NOTHING WERE TO HAPPEN, THE OFFICE MARKET, UH, DRIES UP OR FINANCING COSTS GO UP, THAT DOESN'T MAKE IT VIABLE THAT THE EXTENSION DOESN'T HAPPEN UNLESS THIS WORK IS COMPLETED.

THAT IS CORRECT, MR. CHAIR.

THAT IS ONE OF THE FINAL TERMS THAT WE ARE STILL DISCUSSING WITH MR. ANI AND HIS TEAM, AND WE PLAN TO BRING THAT IN FINAL FORM TO THE MAY 6TH FERC WITH ALL OF ALL OF THE STIPULATIONS ON THAT.

OKAY.

AND THE OTHER, THIS ISN'T HUGE FOR ME.

UH, I JUST THINK IT READS A LOT BETTER.

RIGHT.

SO WE'RE ASKING RIGHT NOW THE, THE LEASE EXPIRES IN 2050, IN 20 52 52, AND THEN THERE'S TWO 20 YEAR LEASE OPTIONS.

CORRECT.

AND THEN WE'RE ASKING FOR A 30 YEAR LEASE EXTENSION.

I, I JUST THINK IT READS A LOT CRISPER AND SIMPLER IF WE WOULD SAY LET'S ADD, UH, A SIMILAR ANOTHER 20 YEAR EXTENSION, UH, AS OPPOSED TO COMPLICATING IT WITH 30 YEARS.

IT JUST LOOKS UNEVEN, JUST OPTICALLY.

WOULD THERE BE ANYTHING FROM A FINANCING PERSPECTIVE THAT, THAT WOULD PREVENT? UM, IT'S A LITTLE BIT, IT'S A LITTLE BIT SHORTER THAN WHAT WE WOULD PREFER.

MAYBE TWO 20.

YOUR OPTIONS WOULD BE MORE BENEFICIAL AND THEN THEY COULD BE TIED TO PERFORMANCE, LIKE YOU SAID, OR SOMETHING ALONG THOSE LINES.

UM, AND, AND WE'RE TOTALLY OKAY WITH MAKING SURE THAT WHATEVER RIGHTS WERE BEING GIVEN ARE TIED TO A NEW BUILDING BEING BUILT.

AND WE'RE NOT JUST PULLING A, A FAST ONE TO GET THIS WITHOUT, UH, KEEPING UP OUR END OF THE BARGAIN.

SO I HAVE NO ISSUE WITH THE FIRST PART.

COME BACK MAYBE WITH SOME DIFFERENT OPTIONS.

YEAH.

WHEN YOU GUYS NEGOTIATE BECAUSE IT'S NOT JUST US THAT YOU HAVE TO GET THIS PASSED AS THE VOTERS AS WELL, YOU KNOW, SO I, I, I AM CAUTIOUS SAYING, OKAY, HERE'S THESE TWO 20 YEAR OPTION EXTENSIONS.

I THINK IT, IT JUST READS A LOT SIMPLER WHERE IT'S OKAY.

YOU ALREADY HAVE TWO 20 YEAR OPTIONS, UH, YOU'RE DOING A $50 MILLION RENOVATION, AND IN FACT, THEN YOU'RE GONNA GIVE THE ASSET BACK TO US.

SO YOU'RE ACTUALLY RENOVATING AND IMPROVING OUR BUILDING.

UM, I JUST THINK IT'S, IT READS A LITTLE CRISPER TO HAVE A 20 YEAR OPTION, BUT YOU, YOU GUYS COME BACK TO THAT.

SURE.

AND THEN YOU ALSO TOUCHED HIGH LEVEL ON A PUBLIC BENEFIT.

I DON'T KNOW IF YOU WANNA SPEAK TO WHAT YOU HAVE IN MIND AND GET DIRECTION FROM US.

I KNOW FOR ME, WHAT I WOULD LOVE IS A PUBLIC BENEFIT THAT ESSENTIALLY, I MEAN, WE ALL TALK, ALL OF US, YOU KNOW, TALK ABOUT WANTING TO SEE IMPROVEMENTS IN LINCOLN ROAD.

UM, I SOMETIMES LOSE THAT ENTHUSIASM WHEN SOME OF THIS STUFF JUST GETS PUT INTO THIS ARBITRARY LOCKBOX AND GO, YOU KNOW WHAT? THIS IS GOING TO GO FOR A FUTURE PROJECT, OR THIS IS GOING TO GO TO SOME BUDGET SHORTFALL FOR A RESILIENCY PROJECT.

THIS IS THE VOTER'S ASSET, THE TAXPAYER'S ASSET.

I THINK THEY WANNA SEE EXCITEMENT FOR LINCOLN ROAD.

RIGHT? SO IF A PUBLIC BENEFIT WOULD BE DEDICATED TO IMMEDIATE ACTIVATIONS FOR LINCOLN ROAD

[00:55:01]

OR SOMETHING ALONG THOSE LINES, I, I'M NOT DOGMATIC ABOUT WHAT THAT IS, A PLAYGROUND, A BOTERO SCULPTURE ALONG LINCOLN ROAD.

I MEAN, HOW AMAZING ARE OUR ART ACTIVATIONS FOR THAT AREA? THIS IS, IT'S INTERESTING THAT YOU SAY THAT, MR. CHAIR, BECAUSE PART OF THIS PROGRAM ALSO WILL ACTIVATE THE ART IN PUBLIC PLACES WITH THE, UH, THE LARGE SCALE, UH, PROJECT THAT THEY'RE GONNA BE DOING AT.

AND AS I UNDERSTAND, IT'S TOTALLY SEPARATE THOUGH, CORRECT? IT'S, IT'S, IT'S SEPARATE FROM THE PUBLIC.

SO WE ALREADY GET THAT BENEFIT.

BUT IF WE WOULD SAY, YOU KNOW WHAT, ABOVE AND BEYOND YOU'RE GIVING A PUBLIC BENEFIT OF 500,000 OR $750,000, UM, AND THAT'S GOING TO GO TO A SCULPTURE PROJECT ON LINCOLN ROAD.

LIKE, I, I THINK THAT IS WHERE THE TRUE IMPACT IS.

YEAH.

IN OUR PRELIMINARY DISCUSSIONS, UH, CONTRIBUTION TO LINCOLN ROAD IMPROVEMENTS IS AT THE TOP OF OUR LIST.

THERE'S ALSO A SERIES OF OTHER PUBLIC BENEFITS THAT ARE BEING DISCUSSED AND PRESENTED BY THE ANI GROUP, UM, THAT WE'RE GONNA BE IRONING OUT OVER THE NEXT COUPLE OF WEEKS AND BE ABLE TO PRESENT SOMETHING SOLID.

YEAH.

YEAH.

I PREFER, I CAN MAKE A COMMENT WHEN YOU'RE PREFER TO KEEP THAT SIMPLE.

LIKE, I WANT SOMETHING TANGIBLE WHERE IT GOES, WOW, WE GIVE THIS, THIS IS WHAT WE GET.

NOT NEXT WEEK, BUT, YOU KNOW, NOT 10 YEARS DOWN THE LINE, A A PLAYGROUND ON LINCOLN ROAD, A SCULPTURE PROGRAM ON LINCOLN ROAD.

RIGHT.

ABSOLUTE.

LET, LET'S KEEP THOSE BENEFITS THERE.

ABSOLUTELY.

AND ONE THING I WANTED TO JUST TRACK BACK ON A LITTLE BIT, WHEN YOU WERE TALKING ABOUT OCCUPANCY AND THE TENANCY, UM, AT THE BUILDING, SOMETHING VERY IMPORTANT TO NOTE ALSO IS THAT IT'S NOT ONLY THE INCREASE IN OCCUPANCY, BUT IT'S THE QUALITY TENANTS AND THE MARKET RENTS THAT ARE BEING GENERATED.

SO IT'S NOT JUST ABOUT BRINGING IN A TENANT THAT IS PAYING A RENT.

THEY ARE, THEY'RE PAYING MARKET RENTS, WHICH IS A BENEFIT FOR ALL OF US.

THERE'S QUITE LITERALLY, AND I KNOW THIS FIRSTHAND EXPERIENCE, NO CLASS A OFFICE SPACE AVAILABLE RIGHT NOW IN MIAMI BEACH.

IN FACT, UH, I, I JUST, MY FIRM AND I JUST RENTED NEW CLASS A OFFICE SPACE, AND WE'RE PAYING RATES THAT ARE EQUIVALENT TO HUDSON YARDS AND ONE VANDERBILT, AND WE'RE ON THE CORNER OF 17TH AND ALTON.

RIGHT.

THE, THERE WAS NOWHERE ELSE TO GO.

NO OCCUPANCY IN, UM, UH, THE SUNSET HARBOR.

SORRY, WE PASSED UNDER YOUR BUILDING.

HOPEFULLY NO HARD FEELINGS, BUT YOU'VE DONE WELL FILLING IT UP, UH, AFTER THAT.

BUT OTHER THAN THAT, THERE'S NOWHERE TO GO.

THAT'S TRUE.

AND WE JUST MADE A BIG ANNOUNCEMENT THIS WEEK THAT, UH, DAMON JOHN IS MOVING HIS, UH, HEADQUARTERS FROM WYNWOOD DOWN TO MIAMI BEACH, UH, PART OF THE SHARK TANK GROUP.

SO THAT'S ANOTHER AMAZING ANNOUNCEMENT THAT JUST CAME OUT.

SO IT'S, IT'S, WE'RE HAVING, WE'RE SEEING A SNOWBALL EFFECT THAT YOU BUILD IT AND PEOPLE WILL COME.

AND THAT'S WHAT WHAT WE'RE LITERALLY SEEING EVERY SINGLE DAY.

THAT'S INCREDIBLE.

YEAH.

COMMISSION AND COMMISSION.

UM, SO I FULLY SUPPORT THE PROJECT.

THANK YOU FOR EVERYTHING THAT YOU'RE DOING HERE.

MIAMI BEACH.

I DO WANNA SAY THOUGH, TO COMMISSIONER DOMINGUEZ'S POINT EARLIER ABOUT THE PARKING ISSUE.

AND I WANNA TALK WITH YOU GUYS A LITTLE BIT MORE ABOUT THAT BECAUSE I UNDERSTAND THAT THAT GARAGE IS UNDERUTILIZED.

I GET IT.

I HAVE NO ISSUE WITH LOSING THE, YOU KNOW, FLOOR AND A HALF OF PARKING, NO ISSUE THERE.

BUT WITH THIS WONDERFUL INVESTMENT, WE ARE GONNA NEED MORE PARKING BECAUSE IF I GO TO YOUR PRIVATE CLUB TO HAVE DINNER AND MEET A FRIEND FOR DRINKS, I'M GONNA WANNA PARK RIGHT THERE.

AND SO I WANNA DO, I WANNA, UM, YOU KNOW, SPEAK WITH YOU ABOUT THAT FEE STRUCTURE THAT THE CITY HAS BECAUSE, YOU KNOW, LIKE WE'RE SEEING IN NORTH BEACH, IF WE'RE PAYING DOUBLE THEN WHAT THE CITY RATES ARE, IT'S GOING TO FORCE FOLKS TO PARK IN THE STREET OR, YOU KNOW, CIRCLE AROUND.

AND SO I JUST WANNA MAKE SURE THAT THAT'S A CITY PARKING GARAGE AND IT STAYS, THOSE RATES STAY RESIDENTIAL AND WE CAN SPEAK ABOUT THAT.

THANK YOU.

YEAH.

SO I'M, I, NOT A PROBLEM AT ALL.

AND I'M, I'M HAPPY TO COMMIT TO SOMETHING THAT THEY COME UP WITH THAT THEY THINK IS BEST IN TERMS OF PARKING.

BEING A, A FORMER RESTAURANT, STILL A RESTAURANT, UH, DEVELOPER, YOU'D BE SURPRISED FOR A 12,000 SQUARE FOOT RESTAURANT THAT WE HAVE.

SOUTH OF FIFTH PROBABLY ONLY TAKES 60 TO 70 CARS AT A SINGLE TIME.

AND OUR PARKING GARAGE IS ARGUABLY GONNA BE EMPTY AFTER SIX O'CLOCK.

'CAUSE ALL THE OFFICE CROWD IS GONE.

SO WHEN YOU HAVE 400 PLUS PARKING SPACES, I DON'T THINK WE'RE EVEN GONNA COME CLOSE TO FILLING IT UP OR AFFECTING THE TRANSIENT PARKING FOR PEOPLE OF LINCOLN ROAD.

BUT THEN YOU ALSO HAVE MULTIPLE LOTS, THE CITY LOT, I BELIEVE YOU GUYS HAVE LIKE A THOUSAND SPACES THAT CONCEPTS LIKE ME ARE USING FOR OVERFLOW PARKING.

SO, UM, I, I DON'T THINK, THINK THAT'LL BE AN ISSUE IN ADDITION TO HAVING THE, UH, THE SURFACE LOTS AT, AT THAT TIME ARE NOT THAT BUSY.

BUT IF WE NEED TO COMMIT SOMETHING TO, TO GUARANTEE THAT, I'M MORE THAN HAPPY TO DO THAT FOR THE RESIDENTS.

AND AS I READ THE MEMO, IT'S IN THE ORIGINAL LEASE THAT THE CITY MAINTAINS ACCESS TO A HUNDRED PUBLIC PARKING SPOTS AND THAT REMAINS FLAT.

YOU'RE REDUCING YOUR OWN PRIVATE PARKING.

CORRECT.

CORRECT.

AND THE CITY'S ACCESS FOR PUBLIC PARKING REMAINS EXACTLY THE SAME, RIGHT? YEAH.

I MEAN, WHEN, WHEN THIS PARKING GARAGE WAS DONE, IT WAS DONE IN A MUCH DIFFERENT TIME WHEN UBER AND A LOT OF THE, UM, PICKUP DROP OFF WEREN'T REALLY AS, AS INVOLVED.

AND NOW YOU'RE SEEING PEOPLE, LIKE WE HAVE PEOPLE THAT JUST WALK TO WORK OR THEY GOLF CART TO WORK, AND THEY'RE NOT USING PARKING SPACES.

SO I THINK PARKING

[01:00:01]

HAS, HAS CHANGED.

AND ONCE ROBO TAXIS AND ALL THOSE THINGS COME ALONG THE NEXT FIVE, 10 YEARS, IT'S GONNA GO DOWN EVEN FURTHER.

SO I THINK THE TRAJECTORY IS GOING IN THE, IN THE WAY OF LESS PARKING, BUT AGAIN, HAPPY TO COMMIT TO THE SAME A HUNDRED WE COMMITTED TO ORIGINALLY WHEN THE AGREEMENT WAS DONE.

COMMISSIONER? YEAH.

UM, SO THE PUBLIC BENEFIT OF A MILLION DOLLARS, I I DO AGREE THAT, UM, THE BULK OF IT SHOULD GO TOWARDS, UM, LINCOLN ROAD.

I KNOW THAT THERE'S CONCESSION AGREEMENTS, UM, THAT ARE BEING DONE THAT ARE NOT, UH, HAVE NOTHING TO DO WITH LINCOLN ROAD.

I MADE TWO SMALL REQUESTS.

UM, ONE OF THEM IS, UM, $6,000 A YEAR FOR THREE YEARS FOR SENIOR PROGRAMS. THE SENIORS ARE IMPORTANT.

THEY'RE VOTERS.

UH, THEY'VE MADE REQUESTS THAT I'VE BEEN TRYING TO FIND FUNDING FOR.

SO THAT'S SOMETHING THAT I WILL NO PROBLEM.

UM, AS THE NEGOTIATIONS GO.

UH, THE OTHER REQUEST I HAD WAS, UM, FUNDING FOR THE SISTER CITIES PROGRAM LAST YEAR.

WE HAD A BEAUTIFUL EVENT IN DECEMBER AT ANDREAS CARRE.

UH, THE SISTER CITIES BRING INTERNATIONAL EXCHANGE AND ECONOMIC DEVELOPMENT TO THE AREA.

SO IF THE PRIORITY WOULD BE THAT FOR THE FUNDING THAT'S BEING REQUESTED, UM, HAPPENED ON LINCOLN ROAD, THAT'S PERFECTLY FINE.

BUT, UM, THAT'S THE INTENT, UM, FOR, IS IT THE JAPANESE CITY ECONOMIC DEVELOPMENT? AND IF IT NEEDS TO BE FOCUSED ON LINCOLN ROAD, A HUNDRED PERCENT.

THIS IS FOR THE JAPANESE CITY.

UH, I ACTUALLY ACTUALLY WENT TO JAPAN IN JANUARY.

I PAID FOR IT MYSELF.

GET DIRECT FLIGHT FROM TOKYO TO HERE.

I I DO IT.

UM, AND JAPAN IS, JI IS ACTUALLY OUR OLDEST SISTER CITY.

I KNOW THAT'S, WE HAVE OVER 67 YEARS OF, UH, PARTNERSHIP.

UM, WE NEED DIRECT FLIGHT FROM THERE TO HERE SO YOU CAN GET MORE OF THEIR BUSINESS.

YEAH.

SO IT'S, UM, SO MORE TO DISCUSS.

BUT I DID JUST WANNA THROW THAT OUT THERE.

THOSE WERE TWO TINY REQUESTS OUT OF THE $1 MILLION POT.

UM, BUT I AGREE WITH COMMISSIONER MAGAZINE THAT THE FOCUS SHOULD BE, UM, LINCOLN ROAD.

AMAZING.

HAPPY TO ACCOMMODATE.

THANK YOU.

AND SOMETHING YOU CAN SEE, RIGHT? I, I DON'T WANT THIS TO SAY, WELL, THE CITY'S, UH, RESILIENCY PROJECT RAN OVER BUDGET, SO WE'RE GOING TO FUND THAT BUDGET GAP, RIGHT? I WANT OUR RESIDENTS TO SAY, WOW, THIS IS, THIS IS AN IMPROVEMENT THAT WE CAN SEE THAT'S GONNA HAPPEN IN THE NEXT 12, 18 MONTHS.

THAT'S GREAT.

ABSOLUTELY.

UM, MR. CHAIRMAN, JUST A QUICK LOGISTICS.

THE CITY ATTORNEY WAS KIND ENOUGH TO CALL ME YESTERDAY, TRY TO WALK THROUGH THIS CONFUSING FUTURE HEARING SCHEDULE.

AND APRIL 22ND, I THINK HE AND I WOULD AGREE WITH THE NEXT STOP BEFORE THE CITY COMMISSION WHERE THEY WOULD AUTHORIZE CITY ADMINISTRATION TO GO FORWARD.

WE WOULD LIKE TO TRY TO GO TO MAY 5TH PLANNING BOARD, UM, ON AN ACCELERATE.

'CAUSE WE WANT A MONTH CUSHION AT THE END.

IF WE GO TO MAY 5TH PLANNING BOARD, THAT'S MEANINGFUL FOR OUR SCHEDULE.

MM-HMM .

AND THEN WE'LL GO MAY 6TH FERC.

UM, BUT I JUST WANTED TO PUT THAT OUT THERE AND MAKE SURE THAT WOULD BE OKAY, OR WE CAN TALK ABOUT IT SURE.

LATER.

GREAT.

THANK YOU.

THAT'S ALL, MR. CHAIRMAN.

SO THIS WILL BE RETURNING TO COMMISSION, NOT RETURNING TO FERC ORIGINALLY AS MS. BOOK.

SO BOTH, IT'LL, IT'LL GO TO COMM .

IT IS WHERE IT GETS LOGISTICALLY WEIRD.

SO WE, WE SEND THIS WITH A RECOMMENDATION TO COMMISSION AND COMMISSION DIRECT STAFF TO NEGOTIATE.

AND WHAT WE PRETEND YOU HAVEN'T BEEN NEGOTIATED .

HOW DOES THAT WORK? WE'RE GONNA COME BACK ON MAY, ON MAY 6TH WITH A FINAL TERMS TO FERC.

YEAH.

UH, WITH A RECOMMENDATION TO COMMISSION IN MAY, UH, TO PRESENT, UH, SUBSTANTIALLY COMPLETE AMENDMENT NUMBER ONE.

BUT ALL, LIKE, WE CAN DISCUSS THIS OFFLINE, BUT THERE, THERE MAY NOT BE A NEED TO COME BACK TO FERC, BUT WE CAN DISCUSS THAT OFFLINE.

RIGHT.

BUT WE NEED TO ACTUALLY MAKE A REFERRAL, A RECOMMENDATION FOR COMMISSION TO DIRECT CITY STAFF TO PREPARE A FINALIZED TERM SHEET.

CORRECT.

YEAH.

COMMISSION NEEDS TO ACCEPT THE TERMS AS NEGOTIATED AND TO DIRECT STAFF TO NEGOTIATE AND DRAFT A, AN ACTUAL AMENDMENT TO THE LEASE.

SO WE'RE 95% OF THE WAY THERE.

IN BETWEEN NOW AND APRIL 22ND, YOU CAN GET THE OTHER 5% AND THEN COMMISSION CAN VOTE ON THAT.

CORRECT? THAT WOULD BE IDEAL, YES.

OKAY.

SO COMING BACK TO COMMISSION APRIL 22ND.

YES, THE RECOMMENDATION.

OKAY.

IS THAT ENOUGH TIME TO FINALIZE THE NEGOTIATIONS? I'LL START TALKING RIGHT AFTER.

OKAY.

UH, SO I'LL SCRATCH WHAT I ORIGINALLY HAD HERE, BUT I THINK THEN IT WOULD BE RETURNING TO COMMISSION WITH A FAVORABLE RECOMMENDATION TO DIRECT THE ADMINISTRATION TO, UM, ACCEPT THE, THE FINAL TERM OR, OR SORRY, RETURN TO COMMISSION WITH A FAVORABLE RECOMMENDATION TO APPROVE THE FINAL, UH, TERM, UH, TERM SHEET.

UM, AND, UH, AND INCLUDING, UM, INCLUDING THE INPUT FROM FERC ON OPTIONAL EXTENSIONS, SPECIFIC PUBLIC BENEFIT PROJECTS.

UH, $6,000 PER YEAR TIME,

[01:05:01]

UH, FOR THREE YEARS FOR SENIOR PROGRAMMING AND FUNDING FOR SISTER CITY PROGRAMS. THAT'S WHAT I HAVE.

AND I BELIEVE YOUR SPEAKEASY IS JAPANESE, SO PERHAPS THE SISTER CITY DELEGATION.

CAN I SAID JAPANESE? YEAH, .

IT'S HIS FAVORITE COUNTRY.

MY FAVORITE COUNTRY.

MINE'S AMERICA, BUT OUTSIDE OF AMERICA.

JOE, WILL THANK YOU FOR JUST LOOKING ACTIVATED.

UH, WE TALKED LAST TIME AND SAVE YOU THE RUN FROM THE BACK CORNER.

UM, I LOVE IT.

I LOVE IT.

ALRIGHT.

THANK YOU ALL.

THANK YOU.

SO, UH, IF I CAN, WHO'S MAKING THAT MOTION? I'LL MOVE IT.

I'LL SECOND.

OKAY.

THANK YOU ALL.

APPRECIATE THE TIME.

AND YOUR MAGEE ALL IN FAVOR? NO, THANK YOU.

I DON'T DUNNO IF WE CAN ASK RICK IF WE CAN OH, YES.

UH, ALL ALL IN FAVOR.

HEARING NONE AGAINST WILL SHOW THE UNPASSED THREE, NOTHING MB 15.

THANK YOU.

YES, RICK, IF WE CAN, SINCE IT'S A FUTURE ITEM, IT'S NOT ON THE AGENDA, IF WE CAN PROCEDURE, UH, LET'S HEAR MB 14, MB 14

[NB 14. WATER, SEWER, AND STORMWATER RATE ORDINANCE]

WATER, SEWER AND STORM RATE, STORM WATER RATE ORDINANCE MB 14 MORNING COMMISSION.

I'D LIKE TO WELCOME A FEW PEOPLE THAT ARE JOINING ME TODAY.

BRIAN MANZ, WHO IS OUR RATE CONSULTANT FROM GOV RATES.

WE ALSO HAVE DR.

KARA BOLES, WHO'S OUR ASSISTANT DIRECTOR OF CITY ENGINEER.

AND TRACY HILL, WHO IS OUR ADMIN SERVICES MANAGER, WHO DOES A LOT OF OUR FINANCES IN PUBLIC WORKS.

I DON'T EVEN WANT TO ASK ABOUT YOUR CREDENTIALS IF YOU'RE AN ENGINEER AND A DOCTOR.

I, I'M ALREADY FEELING INADEQUATE.

YES, SHE IS.

, IF YOU DON'T MIND, I'LL START WITH THE PRESENTATION TO GO OVER, UM, WHAT WE'RE PROPOSING.

SO IT'S TIME.

AND JOHN, IS THIS A CONTINUATION OF OUR ROBUST DISCUSSION AT COMMISSION LAST MONTH OR IS THIS SEPARATE? NO, THIS IS TOTALLY SEPARATE.

LAST MONTH WE WERE TALKING ABOUT ADDING CPI TO THE WATER SEWER IMPACT FEES FOR NEW CONSTRUCTION AND OR INCREASING THE SIZE OF A METER AT A NEW DEVELOPMENT.

SO THIS IS COMPLETELY SEPARATE.

THESE ARE RATES THAT ARE CUSTOMERS WILL PAY TO GET THEIR WATER AND SEWER THROUGH THE CITY.

I STILL USE THIS.

OKAY.

SO WHY ARE WE HERE TODAY? THE MAIN REASON WE ARE HERE TODAY IS ABOUT WATER QUALITY.

WE HAVE BEEN FACING WATER QUALITY ISSUES IN MIAMI BEACH OVER MANY YEARS, AND THAT'S DUE TO OUR AGING INFRASTRUCTURE.

WHAT MAKES OUR CITY A DESTINATION ALSO MAKES OUR INFRASTRUCTURE EXTREMELY CHALLENGING TO MAINTAIN.

AND THAT IS THE FACT THAT WE ARE A COMBINATION OF MANMADE ISLANDS AND NATURAL ISLANDS THAT ARE CONNECTED TO MAKE AN EXTREMELY DENSE COMMUNITY WITH VERY LITTLE PERVIOUS AREA.

WHAT THAT MEANS IS WE HAVE TO GET WATER AND SEWER FROM ONE ISLAND TO ANOTHER.

THE WAY WE DO THAT IS SUB ACQUIESCE LINES, BASICALLY LINES THAT RUN UNDER THE WATER AND COME BACK UP FROM PUMP STATION TO PUMP STATION.

WE ALSO HAVE AERIAL LINES THAT GO ACROSS BRIDGES.

WHAT THIS CREATES IS AN OPPORTUNITY FOR AN ENVIRONMENTAL DISASTER IF WE DO GET A BREAK IN ONE OF THESE LINES.

CITY COMMISSION AS S SAID REPEATEDLY THAT WE WANT TO REPLACE INFRASTRUCTURE THAT'S A TOP PRIORITY OF THE CITY.

SO THAT IS WHY WE ARE HERE TODAY TO DISCUSS WHY THAT IS A TOP PRIORITY.

THESE LINES THAT RUN UNDER THE WATERWAYS.

BACK IN THE DAY, THEY WERE DONE WITH DUCTILE IRON PIPE, WHICH WAS A VERY LONG LASTING PIPE.

NOW WE HAVE DIFFERENT, MORE MODERN MATERIALS.

WE HAVE HDPE, WHICH IS A PLASTIC PIPE WHICH HAS FUSED JOINTS, WHICH BASICALLY TAKES AWAY THE AREAS WHERE THESE PIPES CAN FAIL.

YOU MIGHT HAVE SEEN A RECENT PROJECT, JOHN, CAN CAN I ASK YOU A QUICK QUESTION? YES.

ARE WE TALKING ABOUT JUST THE SUBSET OF OUR PIPES IN THIS, THE ONES THAT ARE JUST FLOWING THROUGH UNDERWATER? OR SHOULD I BE THINKING ABOUT THIS AS CITYWIDE? THIS IS CITYWIDE, BUT THOSE ARE OUR MOST VULNERABLE PLACES RIGHT NOW BECAUSE THEY'RE OUT OF SIGHT.

AND IF WE DID GET A BREAK IN ONE OF THOSE, THERE WILL BE A TIME LAPSE BETWEEN WHEN WE REALIZE THERE'S A BREAK AND WE HAVE TO RESPOND AND THEN

[01:10:01]

WE HAVE TO FIGURE OUT HOW TO GET THE SEWAGE FROM ISLAND TO ISLAND OR HOW TO GET THE WATER FROM ISLAND TO ISLAND.

SO IT'S A VERY CHALLENGING PROBLEM THAT MOST CITIES DON'T HAVE.

EVEN OTHER ISLANDS UP AND DOWN THE FLORIDA COAST DON'T HAVE THE MULTITUDE OF ISLANDS THAT WE HAVE AND THE CONNECTIONS THAT WE HAVE.

IT'S NOT A MATTER OF IF WE'RE GOING TO HAVE A FAILURE.

WE'VE HAD FAILURES IN THE PAST.

WE HAVE A CURRENT CONSENT DECREE THAT WE'RE WORKING UNDER, BUT IT'S WHEN IT WILL FAIL AND IT'S HOW BIG OF DISASTER IT WILL BE.

WE ALSO HAVE STORM WATER ISSUES.

WE HAVE VERY FEW OPTIONS TO TREAT STORM WATER PRIOR TO DISCHARGE BECAUSE WE ARE A VERY HIGHLY DENSE COMMUNITY.

WE ARE COMPRISED OF HIGH RISE CON, HIGH-RISE CONDOS AND SINGLE FAMILY HOMES.

AND WHILE WE HAVE BEAUTIFUL PARKLAND, IT IS LIMITED.

I LIVE IN NORTH BEACH, I DON'T HAVE A DOG.

MY KIDS WANT ONE, BUT IF I HAD A DOG, I WOULD'VE VERY LIMITED OPTIONS AS FAR AS WHERE TO WALK THAT DOG.

AND ESSENTIALLY YOU GET DOGS GO INTO THE BATHROOM NEAR THE STREET, WASHES OFF GOES INTO THE BAY.

JOHN, NOT TO DERAIL THIS, BUT THANK YOU FOR WORKING OUR CITY AND ALSO CHOOSING TO MAKE MIAMI BEACH YOUR HOME.

THANK YOU.

AND ALSO KARA BOYLE'S JUST RECENTLY MOVED VERY CLOSE TO ME IN NORTH BEACH.

SO THE CITY HAS BEEN AN INNOVATOR IN SUNNY DAY FLOODING.

WE'VE SEEN IT IN ALL THESE NEIGHBORHOOD IMPROVEMENT PROJECTS AND THE RESULTS ARE PROOF THAT IT WORKS.

YOU CAN DRIVE AROUND THE CITY, LET'S TAKE SUNSET HARBOR INDIAN CREEK.

THOSE PROBLEMS HAVE BEEN SOLVED.

THAT'S REALLY IMPORTANT BECAUSE THAT FLOODING NOT ONLY AFFECTS THE STORM WATER QUALITY, BUT IT ALSO CAUSES INFLOW AND INFILTRATION INTO THE SANITARY SEWER SYSTEM, WHICH INCREASES OUR COST TO TREAT SEWAGE.

SO THE WATER AND SEWER, WATER SEWER AND STORM WATER UTILITY FUNDS ARE ENTERPRISE FUNDS.

IT'S IMPORTANT TO NOTE THAT THESE OPERATE INDEPENDENTLY FROM THE GENERAL FUND AND RESORT TAX REVENUES.

ANYTHING AT THE STATE LEVEL THAT TOUCHES ON ANY ENTERPRISE FUNDS FROM A TAXATION PERSPECTIVE? WELL, WE CANNOT USE ENTERPRISE FUNDS.

I SORRY, I JUST MEAN LIKE WHAT'S HAPPENING WITH THE HOMESTEAD PROPERTY TAX? WILL ANY OF THAT IMPACT? OH, I'VE HEARD OF NO, NO, NO.

SO THESE FUNDS MUST OPERATE PRETTY MUCH LIKE A PRIVATE BUSINESS.

THE REVENUES THAT WE TAKE IN MUST PAY FOR OUR EXPENSES.

QUICK QUESTION.

YES SIR.

MAYBE IT'S FOR JASON.

I UNDERSTAND THAT YOU CAN'T GO FROM ENTERPRISE FUNDS TO GENERAL FUNDS, BUT CAN YOU GO THE OTHER WAY AROUND? CAN GENERAL FUNDS FUND AN ENTERPRISE FUND IF NEED BE? I'M GONNA ASK, UH, SERGIO, WHO IS OUR FINANCIAL ADVISOR TO WEIGH IN ON WHAT THE READING AGENCY IMPACTS OF SUCH A SUBSIDY WOULD BE? THANK YOU JASON.

THANK YOU COMMITTEE.

SERGIO MA, PFM FINANCIAL ADVISORS.

UH, SO, SO TO THE QUESTION, YES, THE FUNDS COULD BE, UH, I GUESS CO-MINGLED IN, YOU KNOW, IN A SENSE WHERE THE GENERAL FUND COULD, UH, SUPPORT AN ENTERPRISE FUND.

HOWEVER, THAT IS FROWNED UPON BY THE AGENCIES AS WELL.

MAYBE NOT LIKE, YOU KNOW, NOT NOT MOVING FORWARD, BUT SPECIFIC PROJECTS.

SO FOR EXAMPLE, THESE AGING PIPES.

AND IF WE CAME UP WITH A PLAN TO SAY THERE'S A BUNCH OF, YOU KNOW, THERE THERE'S A CERTAIN NUMBER OF AGING PLA UH, PIPES.

CAN THE GENERAL FUND SUBSIDIZE THAT ENTERPRISE TO PAY FOR THAT PROJECT? YEAH, I THINK THERE'S CERTAINLY A DISTINCTION THAT COULD BE MADE VERSUS, UH, WHEN YOU CONSIDER KIND OF ONGOING OPERATION MAINTENANCE AND SUPPORT FROM THE GENERAL FUND VERSUS ONE TIME SUPPORT FROM THE GENERAL FUND FOR SPECIFIC PROJECTS.

THAT'S CERTAINLY A DISTINCTION I THINK THAT CAN BE MADE WITH CREDIT AGENCIES.

UH, BUT AGAIN, JUST AT A FUNDAMENTAL LEVEL, THE CREDIT AGENCIES LIKE TO SEE THAT THESE UTILITIES CAN STAND ALONE ON THEIR BY THEMSELVES.

YEAH.

IF I COULD ADD TO THAT, I THINK IT'S SOMETHING THAT'S NOT GENERALLY DONE, BUT IT SOUND LIKE IT IS POSSIBLE.

BUT TO, TO NOTE THAT WE ARE, IT, IT'S NOT POSSIBLE THE OTHER WAY AROUND IS WHAT YOU'RE SAYING.

THAT IS A LOCKED FUND.

YEAH.

YOU WOULD NOT USE WATER AND SEWER FUNDS.

SO I'M GONNA LET JOHN CONTINUE.

LIKE I AM KNOWN FOR MY DAD JOKES.

SO, UH, I WOULD SAY IT'S KIND OF MORE OF A RAINY DAY SCENARIO THAN SOMETHING THAT WE SHOULD KIND OF BAKE IN.

YOU DIDN'T LIKE THAT ONE? COMMISSIONER Y YEAH, I, NO, I MEAN, JUST THAT'S NOT A HAHA.

OKAY.

I JUST, I I'M JUST, I YEAH, I JUST, I ALL RIGHT.

LOOK, PLEASE CONTINUE, JOHN.

YEAH, NO PROBLEM.

SO, INCREASE IN PROPERTY VALUES, AD VALOREM TAXES, THEY DON'T BENEFIT THE UTILITY FUNDS.

SO AS OUR COST RISE, WHICH ALL COST RISE, WE ONLY SEE AN INCREASE IN REVENUE WHEN RATES ARE INCREASED

[01:15:02]

AND OUR EXPENSES GO UP.

CONSTRUCTION PRICES HAVE GONE UP DOUBLE DIGITS SINCE COVID ALMOST EVERY SINGLE YEAR.

CONTRACTORS DON'T ASK US FOR A RATE INCREASE.

THEY BID BASED ON MARKET VALUE AND WE ESSENTIALLY HAVE TO TAKE THE LOWEST RESPONSIVE BIDDER.

SO WE ARE ESSENTIALLY WORKING WITH LESS EVERY SINGLE YEAR.

LAST FORMAL WATER SEWER RATE STUDY WAS COMPLETED AT THE END OF 2020.

LAST FORMAL STORM WATER RATE ANALYSIS WAS COMPLETED AS PART OF THE TWO SEVEN 2017 BOND ISSUANCE.

WE NEED MULTI-YEAR RATE AND FINANCIAL PLANS THAT REFLECT THE CURRENT CONDITIONS AND ADDRESS THE SUBSTANTIALLY HIGHER UTILITY INFRASTRUCTURE NEEDS AND COSTS.

SO THE FUNDING CHALLENGES, WATER, SEWER, AND STORM WATER IMPROVEMENTS SHOULD BE PERFORMED AT THE SAME TIME IF POSSIBLE.

THAT'S WHY WE HAVE THE NEIGHBORHOOD IMPROVEMENT PROJECTS THROUGHOUT THE CITY.

IT'S LESS DISRUPTION TO THE RESIDENTS, OR, I'M SORRY, A SHORTER TERM OF DISRUPTION TO THE RESIDENTS.

WE REPLACE EVERYTHING.

WE BASICALLY REMODEL THE STREET AT ONE TIME AND IT'S DONE ABOUT, UH, 62 MILLION OF THE WATER AND SEWER OPERATING EXPENSES ARE UNCONTROLLED TREATMENT AND REGULATION COSTS FROM MIAMI-DADE COUNTY.

WE BUY OUR POTABLE WATER FROM MIAMI-DADE COUNTY AND WE SEND OUR WASTEWATER BACK TO MIAMI-DADE COUNTY TO BE TREATED INFLOW AND INFILTRATION, WHICH IS THE GROUNDWATER GOING INTO OUR SANITARY SEWER PIPES, OR IT'S AN OPEN, CLEAN OUT CAP AND FLOODING WATER POURING INTO THERE, OR A MANHOLE COVER LEAKING AND GETTING STORM WATER INTO IT.

WE HAVE ABOUT 38% OF OUR SEWAGE TREATMENT COST COMES FROM INFLOW AND INFILTRATION.

AND THE WAY WE KNOW THAT IS WE METER ALL THE RESIDENTS USAGE, BUT THEN THE COUNTY ALSO METERS.

WHAT WE ARE SENDING BACK TO THE WASTEWATER TREATMENT PLANT, THAT ACCOUNTS FOR ABOUT $13.2 MILLION A YEAR IN COST TO THE CITY.

BY IMPROVING THE INFRASTRUCTURE, WE ARE BASICALLY SEALING UP THOSE PIPES AND REDUCING THAT INFLOW AND INFILTRATION.

IT TAKES TIME, BUT EVENTUALLY WE CAN GET THAT NUMBER DOWN SUBSTANTIALLY.

MOST GRANTS AWARDED THE CITY REQUIRE 50% MATCH AND THE PROJECTS MUST BE COMPLETED WITHIN A CERTAIN PERIOD OF TIME.

WE CURRENTLY HAVE QUITE A FEW GRANTS THAT ARE FUNDING SOME OF OUR CURRENT PROJECTS AND FUTURE PROJECTS.

WE HAVE A LOT OF SHOVEL-READY PROJECTS IN THE NEXT FEW YEARS BECAUSE WE'VE BEEN DESIGNING THESE PROJECTS AND WE NEED TO HAVE ADEQUATE FUNDING TO BUILD THESE AND WE MUST CHARGE ENOUGH END USER FEES TO MAINTAIN THIS INFRASTRUCTURE AND DO THESE PROJECTS.

WHEN WE GO FOR GRANT MONEY OR STATE REVOLVING FUND MONEY, THEY WANNA MAKE SURE THAT WE ARE CHARGING ENOUGH FOR OUR UTILITIES.

IF WE'RE CHARGING HALF OF WHAT WE SHOULD, THEY'RE GONNA WANT TO GIVE THAT MONEY TO A UTILITY THAT'S ACTUALLY CHARGING THE RIGHT PRICE.

IT'S NOT MEANT TO SUBSIDIZE THE UTILITY.

SO THAT'S ONE REQUIREMENT WHEN WE'RE LOOKING AT GRANTS AND REVOLVING FUNDS, THEY HAVE TO MAKE SURE THAT WE ARE CHARGING MARKET VALUE FOR OUR UTILITIES.

AND THAT'S ANOTHER REASON THAT WE ARE HERE.

JOHN, ANY INCOME STATEMENT HAS TWO SIDES, RIGHT? REVENUE, WHICH WE'RE TALKING ABOUT HERE.

HOW MUCH REVENUE'S GONNA GO INTO THE SYSTEM? WHAT CONSTITUTES SOME OF OUR EXPENSES? AND IS THERE ANYTHING THAT WE COULD DO TO BE MORE EFFICIENT, UH, ON THE EXPENSE SIDE TO OFFSET SOME OF THE REVENUES THAT WOULD NEED TO BE RAISED? MOST OF OUR EXPENSES ARE GONNA COME FROM THE CAPITAL IMPROVEMENT PLAN.

AS YOU'LL SEE, WE DO HAVE OPERATING EXPENSES.

IN MY OPINION, WE RUN EXTREMELY LEAN AS FAR AS DEMANDS THAT ARE PUT ON THE DEPARTMENT.

WE RUN 24 7 CONTROL ROOM THAT'S READY TO RESPOND AT ANY TIME.

I'VE NEVER SEEN ANOTHER CITY THAT HAS THAT LEVEL OF SERVICE.

I THINK WE COULD REDUCE THE LEVEL OF SERVICE THAT WE PROVIDE AND TRIM THAT DOWN SLIGHTLY.

BUT I WOULD SAY WE ARE EXTREMELY LEAN RIGHT NOW AS FAR AS OPERATING EXPENSES.

BUT ALL THOSE EXP, ALL THE EXPENSES FOR PERSONNEL GO INTO THAT PENSION COST, HEALTH INSURANCE COSTS, ALL OF THOSE ITEMS ARE INCLUDED.

AND, UH, THE EXPENSES FOR THE UTILITIES.

YES, SIR.

AND LEMME JUST ADD, ADD ONTO THE, THE BIGGEST COMPONENT

[01:20:01]

OF THE OPERATING EXPENSES IS THE PASS THROUGH CAL AND MIAMI-DADE COUNTY, OF WHICH WE UNFORTUNATELY HAVE NO CONTROL OVER.

UM, SO THE BUYING THE WATER IN BULK AND THEN, UM, HAVING, PAYING MAADE COUNTY TO TREAT IT AT THE, THE CENTRAL DISTRICT WASTEWATER TREATMENT PLAN ON VIRGINIA KEY TAKES UP A MAJORITY OF THOSE COSTS.

SO WHEN WE'RE TALKING ABOUT THINGS LIKE OUR INCREASE, IT'S REALLY RELATED TO THE THINGS THAT WE HAVE CONTROL OVER, UM, AT THE END OF THE DAY.

AND AND THAT'S AN ENTERPRISE FUND FROM THEM? UH, YES.

'CAUSE MY CONCERN WOULD BE THE HOMESTEAD, UH, EXEMPTION PASSES.

IT COULD IMPACT 30% OF THEIR REVENUE.

NO, THIS, THIS IS JUST, I I'M NOT AWARE REALLY OF ANY, UM, MUNICIPAL GENERAL FUND RUN UTIL WATER AND SEWER UTILITY STORM WATER.

THEY'RE ALMOST ALWAYS AN ENTERPRISE FUND.

AND MIAMI-DADE COUNTY IS THAT WAY.

AS A MANY, MANY YEARS AGO, I USED TO BE A CIVIL ENGINEER WORKING, UH, CONSULTING WITH MIAMI-DADE COUNTY ON THIS BACK IN THE NINETIES.

AND THEY ARE AN ENTERPRISE FUND.

THEY DO HAVE CONTROL OVER THE RATES AND THEY DO REGULARLY SET RATE ORDINANCES, UM, TO FUND THEIR CAPITAL PROGRAM.

AND THEY DO HAVE, I BELIEVE, A MULTI-BILLION DOLLAR CAPITAL PROGRAM.

'CAUSE THEY ARE IN THE SAME SITUATION, KIND OF, THEY WERE 30 YEARS AGO WHEN I GOT STARTED OF DEFERRED MAINTENANCE AND HAVING TO GET A LOT OF WORK DONE.

SO THEY ARE, ARE INCREASING THE RATES.

AND THE OTHER LAST THING ABOUT CONTROL OF OUR EXPENSES IS WE WERE RECENTLY IN OCTOBER UPGRADED BY STANDARD AND POOR FROM AA MINUS TO AA RATING.

AND THAT HIGHER THAT RATING, YOU KNOW, YOU'RE GONNA S MAY BE SMALL, BUT YOU'LL HAVE A, A, UH, A DECREASE IN YOUR INTEREST COST.

WE'RE GONNA GET BETTER RATES.

SO HAVING A FINANCING PLAN, WHICH WAS THE MODEL THAT IS BEING PRESENTED TO MAINTAIN OUR AA RATING, WILL LIMIT OUR EXPOSURE ON INTEREST RATE.

UH, THAT'S, AND THESE ENTERPRISE FUNDS, THEY CAN GO BAD RIGHT OFF THE TOP OF MY HEAD, I BELIEVE JACKSON, MISSISSIPPI.

JJ YOU'RE THINKING OF JEFFERSON COUNTY.

JEFFERSON COUNTY, ALABAMA, RIGHT.

UH, YEAH.

WAS, UH, A VERY WELL KNOWN ONE THAT, UM, ISSUED, UH, TOO MUCH DEBT.

AND THEY, THEY'RE ONE OF THE FEW THAT I CAN THINK OF OTHER THAN THE OTHER REVENUE BOND I CAN THINK OF IS, UH, I THINK SANTA ROSA BRIDGE, UH, SOMEWHERE IN FLORIDA WAS ANOTHER EXAMPLE.

BUT THEY ARE EXTRAORDINARILY RARE BECAUSE YOU HAVE THE ABILITY TO, UH, INCREASE RATES.

AND I JUST WANNA READ ONE THING REAL QUICK, RIGHT FROM THE STANDARD AND POOR STATEMENT, WHEN WE GOT THIS READING INCREASE AND THEIR STABLE OUTLOOK REFLECTS OUR EXPECTATION THAT THE UTILITIES RATE SETTING PRACTICES WILL SUPPORT ROBUST COVERAGE AND MAINTAIN STRONG LIQUIDITY LEVELS WHILE ADDRESSING CAPITAL IMPROVEMENT PROJECTS RELATED TO REPLACEMENT REHABILITATION AND CLIMATE HARDENING.

SO WE ARE KNOWN, UM, THROUGH THE RATING AGENCIES THAT WE ARE A PROACTIVE, UH, CITY THAT ARE ADDRESSING OUR CLIMATE CHANGE.

AND ONE LAST THING I'LL SAY BEFORE I TURN IT BACK TO JOHN WAS WHEN I CAME HERE TO THE CITY THREE YEARS AGO AND, YOU KNOW, BEEN A LONG TERM RESIDENT, ONE THING I WAS VERY PROUD OF THAT I WAS SEMI SURPRISED WAS THAT THERE ARE ENTITIES THAT COME FROM AROUND THE WORLD.

WE WERE, UH, HOSTING, UH, PEOPLE FROM DENMARK, I THINK, UH, FROM THE NETHERLANDS, AUSTRALIA THAT CAME FROM AROUND THE WORLD TO SEE WHAT ARE WE DOING TO ADDRESS CLIMATE CHANGE AS IT RELATES TO OUR, UH, HARDENING INFRASTRUCTURE.

AND I WAS VERY IMPRESSED THAT PEOPLE ARE SPENDING THOUSANDS OF DOLLARS TO SEND THEIR EXPERTS TO OUR LITTLE CITY TO SEE WHAT WE'RE DOING THAT.

SO WE'RE GLOBALLY KNOWN FOR, FOR, FOR DOING THE RIGHT THING AT THE END OF THE DAY.

SO THANKS JOHN.

YOU CAN CONTINUE.

ABSOLUTELY.

OKAY.

SO WE CREATE A CAPITAL IMPROVEMENT PLAN THAT'S REQUIRED FOR THIS RATE STUDY.

AND THESE ARE THE COMPONENTS WE LOOK AT WHEN WE'RE CREATING THAT PLAN.

CRITICALITY OF NEED, WE CURRENTLY HAVE ONE CONSENT ORDER.

THOSE PROJECTS HAVE TO HAPPEN.

WE HAVE NO CHOICE BECAUSE IT IS A COURT ORDERED PRO, UH, CONSENT TO ORDER GRANT FUNDING TIMEFRAMES.

IF WE HAVE GRANTS, THERE'S A DEADLINE TO COMPLETE THAT PROJECT.

WE HAVE QUITE A FEW GRANTS RIGHT NOW.

UTILITY MASTER PLANS, THE UTILITY MASTER PLAN WAS BROUGHT TO CITY COMMISSION.

THAT MASTER PLAN OUTLINES ALL THE PROJECTS THAT ARE RECOMMENDED AND THE PRIORITY OF THOSE PROJECTS THAT THE MASTER PLANS WERE ADOPTED BY CITY COMMISSION, CITY COMMISSION DIRECTION ON WHICH PROJECTS TO COMPLETE.

WE KNOW THERE ARE OTHER COMPETING INTERESTS THAT MIGHT MOVE A PROJECT UP ON THE SCHEDULE CONSIDERATION OF HOW MUCH COULD PHYSICALLY BE ACCOMPLISHED DURING A GIVEN TIME PERIOD.

THAT'S A HUGE CHALLENGE IN MIAMI BEACH.

ONE OF MY MOST COMMON COMPLAINTS IS TRAFFIC CALLS FROM LANE CLOSURES.

SO WE CAN ONLY DO SO MANY PROJECTS AT A TIME.

WE ONLY HAVE THE PERSONNEL TO MANAGE SO MANY PROJECTS AT A TIME.

SO WE HAVE TO LOOK AT THIS.

IF YOU SAID YOU WERE GONNA GIVE US ALL THE MONEY NEEDED FOR CIP PROJECTS TODAY, THERE'S NO WAY WE COULD DO IT.

WE HAVE TO ALSO MAKE SURE IF THAT'S WHERE THIS CONVERSATION'S GOING.

.

THANK YOU, SIR.

UM, THE ABILITY TO FINANCE THE IMPROVEMENTS WHILE MAINTAINING THE METRICS SUITABLE FOR THE AA UTILITY

[01:25:01]

BOND RATING TO MINIMIZE THAT INTEREST AND THE RATE AFFORDABILITY TO THE CUSTOMERS.

SO I, I KNOW YOU CAN'T READ THIS, BUT THIS IS THE CIP PLAN.

YOU CAN SEE HOW THINGS ARE SPREAD OUT ACROSS THE YEARS.

THIS IS A, UH, SEVEN YEAR CIP PLAN.

THAT'S REMAIN WHAT'S REMAINING FROM THIS RATE STUDY.

HOW MANY PROJECTS ARE THERE? THERE ARE 50, 57 PROJECTS AND THOSE WOULD BE AFFECTED WITHOUT THIS.

SO I'M GLAD YOU ASKED THAT QUESTION.

IF WE DO NOT INCREASE THE RATE STRUCTURE, CURRENT PROJECTS THAT ARE UNDER CONSTRUCTION, THEY'RE FUNDED, THEY WOULD CONTINUE PROJECTS THAT ARE PLANNED IN THE FUTURE.

LET'S TAKE FUTURE PHASES OF WEST AVENUE FIRST STREET, NORTH SHORE D, WHICH NORTH SHORE D IS A GREATLY NEEDED PROJECT FOR WATER QUALITY IN THE NORTH PART OF THE CITY.

THAT PROJECT IS 135 MILLION ESTIMATED BETWEEN WATER, SEWER AND STORMWATER.

THERE IS NOT ANY FUNDING FOR THAT PROJECT WITHOUT BOND ISSUANCE.

SO THIS IS A BREAKDOWN OF THE PROJECTS AND THE TYPE OF PROJECTS BASED ON THE FUND.

THIS IS WATER AND SEWER CAPITAL IMPROVEMENTS.

AND THEN THE STORM WATER SIDE.

SO WE HAVE ASSUMED THE NEED FOR MULTIPLE BOND ISSUANCES THROUGH FISCAL YEAR 34 FOR ABOUT 400 MILLION FOR WATER SEWER AND 235 MILLION FOR STORM WATER PROJECTS.

THE WAY THIS RATE STRUCTURE HAS BEEN FORMULATED, WE HAVE NOT ONLY DEBT FUNDING, BUT WE ALSO HAVE PAY AS YOU GO FUNDING.

SO THERE IS A BLEND.

A HIGHER BOND RATING TRANSLATES INTO LOWER INTEREST RATES.

AS WE'VE DISCUSSED, LOWER ISSUANCE COST AND LOWER RATES OVER THE LONG TERM.

$85 MILLION IN WATER AND SEWER BOND ISSUE AUTHORIZED BY A CITY COMMISSION IN 24 HAS NOT YET BEEN ISSUED.

THERE IS AN INTENT TO ISSUE AND SINCE A MULTI-YEAR RATE AND FINANCIAL PLAN HAS NOT BEEN ADOPTED, THIS WILL ESSENTIALLY GIVE US THE MECHANISM TO ISSUE THAT DEBT.

THIS IS A RATE INCREASE HISTORY, AND WE'VE TALKED ABOUT THE PASS THROUGH RATE FROM MIAMI-DADE COUNTY.

ON THE BLUE CHART, IF YOU GO TO THE RIGHT, THE FOURTH COLUMN IS THE MIAMI-DADE COUNTY PASS THROUGH FOR WATER.

THAT IS WHAT MIAMI-DADE IS INCREASING.

OUR, OUR WATER COST THAT IS PASSED ON DIRECTLY TO THE CUSTOMER, THAT INCREASES NOT ON THE WHOLE BILL, THAT IS ON THE VALUE METRIC COST FOR THE WATER.

THE SAME APPLIES FOR THE SEWER.

WHY IS IT NEGATIVE IN 25? THEY ACTUALLY REDUCED RATES AND, AND THERE IS POTENTIAL FOR REDUCTION IN RATES.

IF WE SEE A RECESSION AND CONSTRUCTION COSTS GO DOWN, THERE IS CERTAINLY AN OPPORTUNITY TO RE-LOOK AT THE RATE STUDY AND REDUCE RATES.

WE HAVEN'T SEEN THAT IN A LONG TIME WITH CONSTRUCTION COST, IF YOU LOOK AT THE SECOND COLUMN ON THE BLUE CHART, THAT'S ACTUALLY WHAT THE CITY HAS INCREASED RATES AND MOST OF 'EM ARE CPI OR LOWER.

JOHN, I HAVE A QUESTION.

SO ON THE FOURTH COLUMN, THOSE RATES ARE AUTOMATIC.

THE COUNTY COMMISSION DOESN'T VOTE ON IT.

THE THE RESIDENTS AREN'T GIVING ADVANCED NOTICE.

IT'S JUST PUT ON THE BILL.

I BELIEVE THE COUNTY COMMISSION DOES VOTE ON IT.

OKAY.

BECAUSE THEY DO ACT AS A GOVERNING BODY OF THE UTILITY, BUT THEY DON'T CALL US AND SAY, HEY, WHAT DO YOU WANT YOUR RATE INCREASE TO BE? NO, IT'S, WE, WE GET A LETTER AND THAT'S WHAT IT IS.

IF THE, IF, IF, IF IT'S, IF WE HAD A NEGATIVE THREE AND A A THIRD, WHY DID IT GO UP FOR THE CITY INCREASE IN 2025 IF THE COUNTY PASS THROUGH DECREASE? WELL, BECAUSE, SO THE MIAMI-DADE COUNTY PASS THROUGHS DO NOT HELP OUR OPERATING COSTS AT ALL.

SO OUR OPERATING COSTS HAVE INCREASED SIGNIFICANTLY.

WE HAVE EMPLOYEE RAISES, WE HAVE INCREASE IN PENSION COSTS, WE HAVE INCREASE IN HEALTH INSURANCE EQUIPMENT, MATERIALS.

THAT'S THE SECOND COLUMN.

THAT'S WHAT SUPPORTS OUR OPERATING COST.

BUT YOU'RE ASKING US NOT TO INCREASE IT BY 3.6%.

WHAT ARE YOU ASKING ME TO INCREASE IT BY? I'M GETTING INTO THAT IF YOU DON'T MIND.

THAT'S IN A COUPLE SLIDES HERE.

OKAY.

AND THAT IS TO MAKE UP FOR THE INCREASES SINCE 2017 THAT REALLY HAVE NOT BEEN ENOUGH TO KEEP UP WITH THE

[01:30:01]

INFLATION INDICES FOR CONSTRUCTION AND FOR UTILITIES.

JOHN, DO YOU HAVE A MIX OF WHERE THAT REVENUE COMES FROM? UH, SPECIFICALLY COMMERCIAL VERSUS RESIDENTIAL? I DO NOT HAVE THAT BREAKDOWN.

BRIAN, DO YOU HAVE THAT? UH, FOR THE RECORD, BRIAN MANZ FROM, UH, FROM GOV RATES ABOUT 40% OF YOUR OVERALL UTILITY REVENUE COMES FROM COMMERCIAL CUSTOMERS.

60% IS FROM RESIDENTIAL.

SAY THAT AGAIN PLEASE? ABOUT 40% OF THE UTILITY REVENUES COME FROM, UH, COMMERCIAL AND 60% COMES FROM RESIDENTIAL.

AND DOES COMMERCIAL MEAN MULTI-UNIT CONDO? NO, NO.

I'M, I'M MULTI-UNIT.

IS IS, UH, INCLUDED COMMERCIAL IS A BTR BASED BUSINESS.

.

THAT WOULD BE OFFICE, OFFICE HOTEL, YES.

UH, RETAIL.

GOT IT.

TRUE COMMERCIAL.

OKAY.

AND MR. CITY ATTORNEY, UH, ARE THERE LEGAL STIPULATIONS THAT WOULD NOT ALLOW US TO BIFURCATE, UH, RATE LEVIES BETWEEN RESIDENTIAL AND COMMERCIAL? AS I UNDERSTAND, WE CAN'T CHARGE DIFFERENT RATES FOR, FOR COMMERCIAL AND OR, OR VERSUS RESIDENTIAL.

YES.

SO THAT QUESTION WAS ASKED WHEN WE WERE FORMULATING THIS PLAN AND UH, WE CANNOT CHARGE DIFFERENT RATES.

SO WE DID ADVISE WITH LEGAL.

AND SO THE PRESENTATION LAST YEAR FOR THIS SAME TOPIC INCLUDED THIS GRAPH HERE OR THIS CHART HERE, WHICH IS THE IMPACT FOR A SINGLE FAMILY RESIDENT.

I CHANGED THIS AND WE DID SOME ESTIMATES THIS YEAR BECAUSE APPROXIMATELY 90% OF OUR RESIDENTS LIVE IN MULTIFAMILY CONDOMINIUMS. I DO.

KARA DOES.

THAT'S PR, JASON DOES.

THAT'S PRETTY MUCH THE STANDARD FOR MIAMI BEACH.

ABOUT 10% OF THE RESIDENTS LIVE IN SINGLE FAMILY HOMES.

SO WE DID THIS EXERCISE.

WHAT WE DID IS A CONDOMINIUM HAS A MASTER METER AS A CONDO RESIDENT, I DON'T GET A WATER BILL.

THE HOA GETS A WATER BILL, THEY PAY THIS WHOLE WATER BILL AND THEN THEY DIVIDE IT UP AMONGST ALL OF THE UNITS AND THEY CHARGE IT IN THEIR HOA FEES.

SO WHAT WE DID IS WE DID AN ESTIMATE.

WE TOOK UNITS RANGING OR BUILDINGS RANGING FROM FOUR UNITS UP TO OVER A HUNDRED UNITS.

IT WAS A SAMPLE SIZE OF ABOUT 1200 UNITS AND ESTIMATED WHAT OUR PROPOSED INCREASE, HOW THAT WOULD LOOK ON THE BILL OF THE AVERAGE RESIDENT.

YOU CAN SEE IN 2027 IT EQUATES TO $11 AND 77 CENTS PER CONDO UNIT.

THAT'S AN ESTIMATE THAT WOULD VARY BASED ON USAGE OF THE ACTUAL CONDOMINIUM.

THEN IT WOULD GO UP TO 1351 AND 28, I'M SORRY, GO UP $13 AND 51 CENTS AND 28, 13 21 AND 29 $11 AND 17 CENTS AND 30 11, 51 AND 31 AND $5 AND 16 CENTS AND 32.

AND TO THE RIGHT OF THOSE NUMBERS IS THE ASSOCIATED PERCENTAGE.

THIS IS A COMBINED ESTIMATE BASED ON WATER, SEWER, AND STORM WATER.

SO THIS IS THE IMPACT OVER THIS SIX YEAR PERIOD THAT THE AVERAGE RESIDENT IN THE CITY WOULD SEE.

THE NEXT SLIDE IS GOING TO BE CAN'T SEE.

I'M SORRY, I CAN'T SEE THAT.

YEAH, JUST BREAK THAT DOWN SIMPLISTICALLY, JOHN, SHOW US, UH, PICK OUT AN EXAMPLE A YEAR, UH, 2027.

TELL US.

2027.

YEP.

WE ARE LOOKING AT AN INCREASE OF ABOUT $11 AND 77 CENTS FOR THE AVERAGE CONDOMINIUM RESIDENT PER PER MONTH, WHICH WOULD BRING THEIR BILL FROM 104 14 TO A HUNDRED FIFTEEN NINETY ONE PER MONTH.

AND I SAY THEIR BILL, BUT REALLY THEIR PORTION OF THE HOAS BILL PER MONTH.

PER MONTH.

YES SIR.

SO 11, $11 IS THE DELTA FOR 26 BETWEEN 26 AND 27.

AND THEN BETWEEN 27 28 IT WOULD BE 13.

YES SIR.

SO THE BILL OVER THE SIX YEAR PERIOD WOULD GO FROM, OR SEVEN YEAR PERIOD GO FROM $104 AND 14 CENTS TO $170 AND 46 CENTS.

I WANNA POINT OUT SOMETHING VERY IMPORTANT HERE.

THE EPA HAS A THRESHOLD FOR AFFORDABILITY AND THAT IS 4.5% OF MEDIAN HOUSEHOLD INCOME.

BELOW 4.5% IS CONSIDERED AFFORDABLE.

THAT IS ONLY FOR WATER AND SEWER.

THIS BILL

[01:35:01]

THAT WE'RE TALKING ABOUT IS FOR WATER, SEWER AND STORM WATER.

FLORIDA IS A LITTLE UNIQUE THAT WE HAVE STORM WATER UTILITY FUNDS PRETTY MUCH IN PRETTY MUCH EVERY CITY FOR OBVIOUS REASONS.

WE'RE COASTAL CITIES.

WE HAVE DIFFERENT CHALLENGES, SUNNY DAY FLOODING, SEA LEVEL RISE.

BUT IF YOU LOOK ON THE FAR RIGHT COLUMN, THE EXISTING, WE ARE AT 1.7%, WE ARE LESS THAN HALF OF THE AFFORDABILITY THRESHOLD THAT THE EPA OUTLINES EVEN GOING INTO YOUR 2032, WE ARE JUST ABOVE HALF OF THEIR THRESHOLD.

SO THE CITY OF MIAMI BEACH HAS VERY REASONABLE WATER AND SEWER RATES AND THESE ARE ESSENTIAL SERVICES.

NOBODY CARES ABOUT WATER AND SEWER UNTIL YOU TURN ON YOUR FAUCET AND THERE'S NO WATER OR YOU FLUSH YOUR TOILET AND IT'S BACKING UP IN YOUR CONDO OR YOUR HOUSE.

AND JOHN, I KNOW YOU LIKELY DON'T HAVE UH, THIS ANALYSIS NOW, BUT WHEN WE HEAR THIS AGAIN, PERHAPS IN FULL COMMISSION, MAYBE MR. CFO YOU CAN HELP OUT HERE.

CAN WE HAVE THOSE INCREASES? X JUST CUSTOMARY INFLATION, RIGHT? SO OH, WHAT, WHAT INFLATION WOULD BE AS COMPARED TO WHAT OUR RATING IS? NO, IF IF YOU YEAH, IF YOU STRIP OUT INFLATION, YOU KNOW, LET'S CALL IT 3% UNDERSTOOD.

CPI.

SO I COULD SEE ABOVE AND BEYOND WHAT THOSE INCREASES ARE ABOVE AND BEYOND INFLATION.

YEAH, WE COULD, THEY COULD ADD A COLUMN, UH, YOU KNOW, STRIPPING OUT ESTIMATED 3% YEAH.

CPI, WHICH WOULD BE, YOU KNOW, BASICALLY 3% LESS THAN WHAT'S THERE.

BUT YEAH, THEY CAN PREPARE THAT BECAUSE YOU KNOW, THAT MAY LOOK LIKE A HUGE DELTA NOW AND IT DOES.

RIGHT.

BUT I, I'D BE INTERESTED TO SEE JUST, YOU KNOW, IF WE WOULD BUILD ON THE ONE 15 YEAH.

AND 3% EACH YEAR, WHAT THAT NUMBER WOULD BE.

AND CHAIR, IF I COULD JUST ADD ON, AND, AND I THINK JOHN TOUCHED ON A LITTLE BIT EARLIER, BUT WE WERE SET IN A SET, A SET OF RATE STRUCTURES BASED ON THE BLAST STUDY THAT WAS SET WAY BELOW WHAT BASIC INFLATION WAS.

AND JUST ON THE LAST RATE STRUCTURE BY DOING THE SUBSIDIZED, UH, RATE INCREASES INSTEAD OF CPI, UH, I THINK IT WAS OVER 10% WE LOST OUT JUST ON THAT.

SO WHEN YOU'RE LOOKING AT THOSE RATES, PART OF THE FACT IS THAT A PRIOR COMMISSION SET RATES SO ARTIFICIALLY LOW ON THE INCREASE SIDE THAT UM, YOU KNOW, WE LOST OUT OVER 10% JUST ON CPI.

AND AS JOHN ALSO MENTIONED, CONSTRUCTION HAS BEEN RUNNING AT PROBABLY DOUBLE, UH, CPI IF NOT MUCH MORE ON THAT, WHICH AGAIN, MOST OF THE COSTS OF THE FUND ARE COMING FROM THIS $1.2 BILLION, 10 YEAR CAPITAL IMPROVEMENT PROGRAM.

YES, SIR.

SO I WOULD ALSO RECOMMEND, DOES THIS INCLUDING A CONSTRUCTION INDICES THAT WOULD KIND OF SHOW HOW MUCH CONSTRUCTION IS INCREASED IN THAT, DOES THIS INCLUDE THE COUNTY'S PASS THROUGH THESE NUMBERS? NO, THIS DOES NOT INCLUDE WHATEVER FUTURE PASS THROUGH INCREASES THE COUNTY WOULD GIVE US.

SO THIS IS STRICTLY WHAT THE UTILITY NEEDS FOR THEIR OPERATING EXPENSES MINUS THE PASS THROUGH COST.

RIGHT.

SO THIS INCREASE IS JUST ON OUR PORTION OF IT.

SO IT'S NOT A TOTAL ADDING THE TWO TOGETHER.

WE DON'T KNOW, UH, THE COUNTY DOESN'T GIVE US THOSE NUMBERS UNTIL JUNE OR JULY OF EVERY, EVERY YEAR.

UM, YOU CAN SEE THEY ARE NOT EVEN PREDICTABLE WHEN THEY SHOWED THE PRIOR RATES.

SOMETIMES IT WENT DOWN, SOMETIMES IT WENT UP 10%.

IT'S BASED ON WHATEVER THEIR BONDING NEEDS ARE FOR PAYING THEIR OPERATING EXPENSES AND THEIR CAPITAL PROGRAM ON AVERAGE.

WHAT IS IT? I ACTUALLY HAVE TABLE IN THE FUTURE SLIDE.

OH, OKAY.

YEAH.

SO IF LOOKING AT THIS, IF WE WOULD APPLY A THREE AND A HALF PERCENT CPI FROM THAT ONE 15 NUMBER IN 2027, IN 2032, WE'D BE AT ABOUT $145.

SO THE COUNTY'S PASS THROUGH DOES NOT AFFECT THE TOTAL BILL AMOUNT.

THAT'S THE VOLUMETRIC USAGE.

SO EVEN THOUGH THE PASS THROUGH MIGHT LOOK LIKE A LOT WHEN WE GET TO THAT SLIDE, IT'S NOT THE WHOLE BILL.

THIS WHOLE BILL INCLUDES STORM WATER, IT INCLUDES BASE CHARGES.

THERE, THERE MANY COMPONENTS TO THE BILL.

AND WE CAN CERTAINLY DO THAT IN A FUTURE PRESENTATION.

BREAK THAT DOWN A LITTLE FURTHER IF THAT'S WHAT THE COMMISSION WISHES.

SO THIS IS THE SAME CHART JUST FOR SINGLE FAMILY.

SO INSTEAD OF $11 AND CHANGE THE FIRST YEAR, WE'RE LOOKING AT $15 AND SO ON AND SO FORTH.

AND THERE'S AN ASSUMPTION THAT AFTER 2032, THIS WILL SETTLE DOWN AND GO TO MORE, UM, INCREASES THAT ARE MORE CLOSELY TIED TO CPI DID.

WHAT, WHAT, WHAT, WHAT USAGE DID YOU FACTOR INTO THIS MODEL? THIS IS 5,000 GALLONS A MONTH, WHICH IS A TYPICAL USAGE DONE WHEN WE DO THESE PRESENTATIONS.

[01:40:03]

DID YOU DO 5,000 A MONTH FOR THE INDIVIDUAL CONDO UNITS? SO NO, WE DID NOT, BECAUSE WE ACTUALLY TOOK THEIR USAGE BECAUSE IT WAS VERY DIFFICULT TO DO THAT EXERCISE.

WE ACTUALLY HAD TO GO IN AND TAKE ACTUAL BILLS AND DIVIDE IT BY THE NUMBER OF UNITS.

SO YOU USED AN ACTUAL BUILDING, I BELIEVE, RIGHT? YEAH, WE USED ACTUAL BUILDINGS.

AND IF I, I'VE GOT A SPREADSHEET FULL OF BUILDINGS AND IF I CAN, I'VE DONE THIS BEFORE.

ANOTHER, DID YOU USE THE AVERAGE OF ALL THE BUILDINGS IN MIAMI BEACH OR DID YOU JUST SAMPLE JUST A SAMPLE? UH, IT WAS A TOTAL OF 1200 UNITS TOTAL.

IF YOU, IF YOU KNOW, I'VE RUN THIS EXERCISE IN A SMALLER CITY, A HANDFUL OF BUILDINGS THOUGH, BUT HOUSES TYPICALLY USE MORE WATER THAN A UNIT IN A CONDOMINIUM.

SO THAT'S WHY IT WOULD BE, IT WOULD MAKE SENSE TO HAVE YOUR VOLUMES, UH, LOWER ON A CONDO VERSUS A HOUSE.

SO WHAT, SO WHAT, WHAT AVERAGE USAGE DID YOU USE FOR CONDOS? I DON'T HAVE THAT, BUT I CAN COME BACK WITH THAT.

BECAUSE YOU'RE USING 5,000 GALLONS PER, FOR ON AVERAGE FOR SINGLE FAMILY HOMES.

MM-HMM .

I'M CURIOUS TO KNOW WHAT USAGE YOU USE FOR.

SO THAT'S THE 5,000 GALLONS IS AN INDUSTRY STANDARD WHEN YOU'RE DOING A PRESENTATION.

IT'S AN AVERAGE USAGE FOR SINGLE FAMILY HOME.

I WOULD ESTIMATE THAT THE USAGE IN MIAMI BEACH COULD BE POTENTIALLY HIGHER DUE TO THE LARGER METER SIZES ON SOME OF THE VERY LARGE HOMES.

AND WE DO HAVE MODEST SIZE HOMES, BUT WE'RE ALL SEEING WHAT THEY'RE BEING REPLACED WITH.

SO THAT COULD VARY, BUT YOU CAN INCLUDE THAT IN THE, THE MEMO IF THIS GOES BACK TO COMMISSION WHERE IT MENTIONS THE, FOR THE MODEL PERSPECTIVE, JUST, YOU KNOW, THE MODEL USED 5,000 GALLONS ASSUMED USAGE ON WATER FOR, UH, UH, UH, SINGLE FAMILY HOMES AND X FOR THE CONDOS.

BUT I, IT WOULD ABSOLUTELY SHOULD BE LESS THAN 5,000 WHEN IT COMES TO PER CONDO.

BUT THEY CAN PUT THAT NUMBER IN THE MEMO AND, AND MR. CITY ATTORNEY, JUST TRYING TO PUT MY THINKING CAP ON ABOUT HOW WE CAN PROTECT THE RESIDENTS THAT LIKELY NEED IT THE MOST.

THERE'S NO WAY TO HAVE THIS USAGE TAX SOMEWHAT PROGRESSIVE, FOR LACK OF A BETTER WORD.

SO IF YOUR USAGE GETS THE 7,500, UM, GALLONS PER MONTH, THAT AN EXTRA SURCHARGE WOULD KICK IN.

I DON'T BELIEVE THAT WE WOULD BE ABLE TO DO THAT.

I THINK TO PROVIDE, WELL JASON IS IS SUGGESTING OTHERWISE I THINK FOR PUBLIC WORKS THEY CAN LOOK, I BELIEVE WE HAVE A, A TIERED, UM, USAGE MODEL.

UM, SO, SO YOU CAN SPEAK A LITTLE BIT ABOUT OUR, OUR OUR CHARGE MODEL.

YES, WE COULD DO THAT.

WE COULD HAVE LIKE A CONSERVATION USE MODEL WHERE HIGH VOLUME USERS ARE GOING TO PAY MORE.

THAT IS TYPICAL IN INDUSTRIAL SETTINGS.

I WHERE YOU'VE GOT AN INDUSTRY THAT'S USING A VERY HIGH VOLUME OF WATER.

BRIAN, DO YOU WANNA SPEAK ON THAT? YES.

UH, CURRENTLY THE, THE, UH, THE, THE WATER RATE STRUCTURE IS A, UH, I GUESS A, A, UM, INCLINING TIERED RATE STRUCTURE WHERE YOU HAVE CERTAIN BLOCKS AND AS YOU USE MORE WATER, YOU GET INTO THE MORE EXPENSIVE BLOCKS.

SO THAT'S, UH, THAT'S VERY TYPICAL AND, AND IT'S EXPECTED.

UH, THAT'S, THAT'S THE EXPECTED RATE STRUCTURE AND UH, AND WHAT FLEXIBILITY DO WE HAVE AROUND INCREASING RATES AT THE HIGHER USAGE TIER, BUT KEEPING RATES LOWER FOR THE LOWER USAGE TIERS.

AND WHERE I'M GOING WITH THAT IS IF THERE'S LOWER USAGES FOR, UH, OUR LOWER IMPACT USERS THAT PROBABLY ARE LEAST ABLE TO, UH, TAKE ON SOME OF THE, UM, IMPACT FEES HERE.

IT'S VERY DIFFERENT THAN MAYBE A, UM, LARGE HOTEL THAT IS GOING TO HAVE, UH, VERY HIGH USAGES.

AND IF WE COULD MAKE THE MORE IMPACTFUL TIERS SCALE A LITTLE MORE EXPENSIVE THAN PERHAPS THAT COULD OFFSET SOME OF THE NEEDED.

YEAH, AND I LIKE WHERE YOU'RE GOING WITH THAT COMMISSIONER, MR. CHAIR, BECAUSE THAT ALSO GIVES A, GIVES HAS A MINDSET FOR USERS TO BE MORE COGNIZANT OF THEIR WATER USE AND NOT HAVE TO, UM, PROBABLY CONSUME AS MUCH AS THEY NORMALLY WOULD.

AND THEN THERE'S ARE PROBABLY BELIEVE IN CHANGING SOME OF THEIR FAUCETS, YOU KNOW, WHERE IT'S HAS A, A LITTLE BIT LESS OF A A RATE OF OF FLOW IF I CAN.

YES.

'CAUSE OUR EXISTING RATE STRUCTURE, WHICH AGAIN IS VERY COMMON TO ALLOW FOR THINGS LIKE THAT.

SO THE COMMERCIAL MASSIVE USERS ARE PAYING MORE, THE, IF I'M LOOKING CORRECTLY ARE, IT'S A DOLLAR 18 FOR A THOUSAND GALLONS FOR THE FIRST 8,000, THEN IT JUMPS TO 3 26 FOR THE NEXT 8,000.

AND THEN THE NEXT, THEN ABOVE THAT IT GOES TO 4 83.

UM, SO WHAT, AND THEN OVER 24,000 GALLONS, WHICH IS GONNA BE YOUR LARGEST BUILDINGS, UH, COMMERCIAL, YOU'RE PAYING 6 59 IF I'M READING THIS RATE STRUCTURE CORRECTLY.

SO IT IS EXACTLY SET TO THAT WHERE THE

[01:45:01]

SMALLEST USERS WILL PAY THE LEAST.

RIGHT.

AND, AND I GUESS WHERE I'M GOING WITH THIS IS, IS THERE A WAY TO ESSENTIALLY INCREASE BY A MORE INCREMENTAL AMOUNT THE HIGHER USAGE TIERS AT RIGHT, SO WE WOULD KEEP THE, UM, FOR EXAMPLE, RIGHT, FOR EXAMPLE, THE LOWEST USE USAGE TIER, WE KEEP FLAT, THE NEXT USAGE TIER INCREASED BY 1%.

THE NEXT USAGE TIER ABOVE THAT YOU INCREASE BY 3%.

AND IT'S KIND OF A BACK DOORWAY OF ALSO, UM, BIFURCATING RESIDENTIAL VERSUS COMMERCIAL.

AND WHAT DID THE LTC ON THIS MOMENT, WHAT DID YOU USE AS THE BASELINE? I'M SORRY, FOR WHAT? THE UTILITY RATES? NO, THE USAGE ON THE LTCI DIDN'T, IT WOULD'VE BEEN EITHER 4,000 OR 5,000, 7,000.

AND THAT'S BECAUSE HISTORICALLY, HISTORICALLY ON THE LTC IT HAD ALWAYS BEEN DONE 7,000.

SO WE KEPT THAT CONSISTENT.

SO IF, BUT YOUR MODEL, YOU JUST SAID THIS MODEL USES 5,000, 5,000 IS WHAT WE USED ON THE RATE STUDY.

BUT IF YOUR LTC IS USING SEVEN, WHY, WHY IS THERE A DELTA THERE? YEAH, I, I DON'T HAVE A GOOD ANSWER FOR THAT.

FIVE, 5,000 GALLONS IS, IS KIND OF A TYPICAL 7,000 GALLONS PER MONTH IS KIND OF HIGH AS FAR AS A AVERAGE RESIDENTIAL USAGE.

5,000 IS MORE TYPICAL IN, IN FLORIDA.

SO WE'RE KIND OF, UH, USING A A LEVEL THAT'S MORE CONSISTENT WITH, WITH, UH, WITH FLORIDA.

NOW, AS FAR AS THE, THE RACE STRUCTURE, CERTAINLY WE COULD PUT MORE, UM, MORE, UH, OF, AND THE ONLY REASON I ASK IS BECAUSE IF WE'RE ACTUALLY, IF, IF, IF MIAMI BEACH USERS ARE USING LESS WATER, 'CAUSE I MEAN, I JUST DID A SIMPLE AI SEARCH AND IT SAYS KEY WATER USAGE DATA FOR, FOR THE MIAMI AREA, TWO, TWO TO 3000 GALLONS PER MONTH.

AVERAGE IS FOUR TO NINE, HIGH IS 10,000.

AND THAT'S PER UNIT OBVIOUSLY.

SO, YOU KNOW, I I I JUST WANNA MAKE SURE THAT WE'RE NOT CHARGING BECAUSE OF, OF, OF AN INFLATED USAGE THAT WE DON'T TYPICALLY USE ANYWAYS.

NO, I CAN, THIS IS JUST, THEY WERE JUST USING IT AS AN EXAMPLE.

YEAH, IT WAS JUST TO SHOW, TO ILLUSTRATE A A A POINT, IT HAS NOTHING TO DO WITH WHAT PEOPLE WOULD ACTUALLY BE BILLED.

PEOPLE GET BILLED ON WHAT THEY ACTUALLY USE.

SO IF YOU HAVE A, OF COURSE A HUGE HOME, YOU'RE GONNA BE USING MASSIVE AMOUNTS OF WATER.

THIS IS JUST AN EXAMPLE.

YEAH.

AND WE COULD GET THE AVERAGE, THE ACTUAL AVERAGE USAGE FROM THE PAST 12 MONTHS FOR A SINGLE FAMILY RESIDENTIAL, AND WE COULD DO THAT EXERCISE FOR CONDOS.

IT MIGHT BE A LITTLE MORE DIFFICULT BECAUSE WE DO HAVE TO BREAK THAT DOWN PER UNIT.

I, I AM A LITTLE CONCERNED ABOUT CHANGING THE GRADUATE OF RATE STRUCTURE BECAUSE THE BULK, THERE'S GONNA BE A SMALL PERCENTAGE THAT ARE GONNA BE HIGH VOLUME USERS AND LIKE BRIAN SAID, 60% OF THE WATER REVENUE IS COMING FROM RESIDENTIAL AND 40% IS COMING FROM COMMERCIAL.

SO YOU ALREADY HAVE THE MAJORITY BEING RESIDENTIAL.

MOST RESIDENTIAL, EVEN IN THESE SUPER LARGE HOUSES, THEY PROBABLY AREN'T GONNA HAVE A VERY HIGH USAGE BECAUSE A LOT OF THESE HOUSES MIGHT HAVE TWO OR THREE PEOPLE LIVING IN THEM.

THEY'RE JUST VERY LARGE HOUSES.

SO I THINK WE CAN CERTAINLY GO THROUGH THAT EXERCISE.

YEAH.

BUT THEY ALSO HAVE A LOT OF LANDSCAPING TO TAKE CARE OF.

THEY DO.

THAT'S TYPICALLY GONNA BE IN AN IRRIGATION METER, WHICH WON'T HAVE A SEWER COMPONENT.

SO IT DOES SAVE THEM QUITE A BIT OF MONEY ON THE WATER BILL.

WE CAN DO THE EXERCISE, BUT I THINK WHAT WOULD HAPPEN TO REALLY MAKE AN IMPACT ON THE LOWER VOLUME USERS, YOU WOULD HAVE TO INCREASE IT SIGNIFICANTLY ON THE HIGHER VOLUME USERS JUST BASED ON THE BREAKDOWN.

YEAH.

IF I COULD ADD A, A 10% INCREASE ON, YOU KNOW, A DOLLAR IS 10%, BUT THE, THE, YOU KNOW, IT'S 10 CENTS VERSUS ON THE $6 60 CENTS.

SO BY THAT PERCENTAGE INCREASE, YOU ARE PUTTING A MAJORITY OF THE INCREASE ON THE, ON THE HIGHER END USERS.

BUT LET, LET JOHN CONTINUE AND, AND IF, IF I CAN, UH, MAKE A, A COMMENT ON THAT, IF WE DO PUT MORE BURDEN ON THE, THE, THE, UH, THE HIGHER, UH, VOLUMETRIC RATES, THERE IS A RISK THAT THERE WOULD BE SO MUCH CONSERVATION THAT WE, THAT WOULD SIGNIFICANTLY LOWER OUR BILLABLE WATER UNITS AND THEN WE WOULDN'T HAVE ENOUGH REVENUE AND THEN WE WOULD HAVE TO COME BACK AND RAISE THE RATES EVEN MORE.

WELL, A LOT OF CONSERVATION OF WATER ISN'T NECESSARILY A BAD THING.

IT IT'S NOT, BUT THEY'RE ALSO THERE.

BUT WE ALSO HAVE TO CONSIDER THAT WE HAVE THIS, UH, A LARGE INFRASTRUCTURE.

WELL, TECHNICALLY THEN YOU'D HAVE LESS IMPACT ON YOUR SEWER, RIGHT? BECAUSE, WELL, THAT WOULD JUST BE ON THE CONSUMPTION SIDE.

YOU, YOU STILL HAVE THE BA THAT'S WHY THEY HAVE THE BASE CHARGE, THE BASE INFRASTRUCTURE, UH, WILL ALWAYS BE THERE, WHATEVER THE USAGE IS.

BUT UM, I THINK JOHN DID YOU, YOU HAD A COUPLE MORE SLIDES.

YES.

AND JUST TO THAT POINT, I WOULD ALSO SAY THAT A USER IN A CONDO IN NORTH BEACH OR FLAMINGO PARK, IF THEY SEE THEIR WATER

[01:50:01]

RATES INCREASE, THEY'RE LIKELY TO COLLECTIVELY PARTICIPATE IN REDUCED CONSUMPTION TO A MUCH GREATER EXTENT THAN A HOME ON 15,000 SQUARE FOOT HOME ON NORTH BAY ROAD OR THE FOUNTAIN BLUE HOTEL.

YEAH.

IF I COULD ADD TO THAT, UM, AS A FORMER BOARD MEMBER AT MY CONDOMINIUM, WHICH IS 361 UNITS IN, IN THE BEACH, UM, WE DID LOOK AT THAT WHEN I WAS ON THE BOARD AND WE FUNDED A, A CONSERVATION WITH, UM, DOING, UM, SOME LOW FLOW TOILETS AND, AND WE AS AN ASSOCIATION DID FUND SOME WATER CONSERVATION EFFORTS ACROSS THE WHOLE BUILDING TRYING TO MITIGATE COSTS LIKE THAT.

SO THE IDEA THAT IF YOU GIVE AN INCENTIVE FOR MORE WATER CONSERVATION ACTUALLY WORKS.

YES.

AND THAT'S WHY THE RATE STRUCTURE IS THE WAY IT'S THAT YEAH, THAT'S TAKEN INTO ACCOUNT.

BUT, BUT JOHN, OKAY, EXCUSE ME.

SO UTILITY INFRASTRUCTURE ISSUES ARE NOT GOING AWAY AND THEY WILL WORSEN OVER TIME.

THIS PRESENTATION WAS GIVEN ABOUT A YEAR AGO AND THE COST OF INCREASE SINCE THAT POINT, FUTURE ADDITIONAL CONSENT ORDERS, FINES AND ASSOCIATED LEGAL EXPENSES.

ONE THING I WANNA MENTION, WE'RE TALKING ABOUT THE POTENTIAL FOR SANITARY SEWER OVERFLOWS.

WE HAVE AN OPPORTUNITY RIGHT NOW TO START ADDRESSING THESE ISSUES.

IF WE ARE PLACED UNDER CONSENT ORDER, IT WILL BE A VERY, VERY PAINFUL PROCESS.

AND I WHY IS THAT? DON'T SAY THAT LIGHTLY.

WHY IS THAT? BECAUSE THERE WILL BE A PR SIDE TO THAT WHERE YOU HAVE ON THE FRONT PAGE, WELL NOT REALLY A NEWSPAPER ANYMORE, BUT BLAST IT ALL OVER FACEBOOK.

WHAT HAPPENED? AND OUR REPUTATION AS A CITY, AS A DESTINATION DEPENDS ON TOURISM AND WATER AND NOTHING COULD BE WORSE FOR OUR CITY.

I I WAS WORKING FOR THE CITY OF ST.

PETE IN STORMWATER WHEN THEY HAD A 200 MILLION GALLON DISCHARGE IN THE TAMPA BAY.

THAT WAS PROBABLY IN 2015.

AND THAT IS STILL SPOKEN ABOUT TODAY.

FROM THAT SPILL, FORT LAUDERDALE HAD 212 MILLION GALLON DISCHARGE THAT IS STILL SPOKEN ABOUT TILL TODAY.

WE HAVE AN OPPORTUNITY TODAY WITH AN INCREASE OF ABOUT 50 CENTS PER DAY FOR SINGLE FAMILY HOMES TO BE PROACTIVE AND ADDRESS THESE ISSUES SO THAT WE CAN AT LEAST SAY WE ARE TRYING OUR BEST TO MAINTAIN THE REPUTATION OF THE CITY AND FIX OUR INFRASTRUCTURE.

SO WHAT WE'RE RECOMMENDING RIGHT NOW IS ADOPTING THIS PROPOSED MULTI-YEAR SCHEDULE OF WATER, SEWER, AND STORM WATER RATES TO BASICALLY ENSURE THE FUTURE OF THE CITY TO IMPROVE WATER QUALITY.

AND THAT IS THE CLOSE OF MY PRESENTATION.

I'M OPEN TO QUESTIONS AND ANSWERS NOW.

SO JOHN, YOU, YOU, YOU BRING UP SOME GOOD POINTS WITH, UM, YOU CAN PUT THE SLIDE DOWN.

PJ YOU BRING UP SOME GOOD POINTS WITH, UM, AN IMPENDING, IT'S NOT IF IT'S WHEN WELL, WHERE, LIKE, WHERE, WHERE IS IT? YOU KNOW, 'CAUSE UM, I MEAN IF WE'RE, IF, IF THERE IS AN, AN A PENDING THREAT OF A, OF A BREAK, WHERE IS IT? THAT'S A GREAT QUESTION.

THE SANITARY SEWER OVERFLOW WE HAD AT BIS GAME BEACH ELEMENTARY WAS A PIPE THAT WAS INSTALLED IN 1984.

THESE PIPES HAVE AN ESTIMATED LIFE OF 80 PLUS YEARS.

THAT PIPE WAS 40 YEARS OLD AND IT HAD SIGNIFICANT CORROSION DUE TO THE ENVIRONMENT THAT THAT PIPE SITS IN.

AND THAT PIPE WAS NOT UNDERWATER WHERE IT FAILED, IT DOES GO UNDERWATER.

SO WE'RE DOING AN EMERGENCY REPLACEMENT RIGHT NOW WITH AN HDP RUNNING FROM HAWTHORNE TO THE STREET AND AT 75TH.

SO THAT PREMATURELY FAILED.

AND THAT SAME MATERIAL IS WHAT'S RUNNING UNDER EVERY WATERWAY IN OUR CITY.

NOT EVERY WATERWAY, BUT RUNNING UNDER MANY ISLAND CONNECTIONS THROUGHOUT THE CITY.

MEANING IS THERE A PLAN TO ADDRESS THAT PARTICULAR TYPE OF PIPE NOW? ABSOLUTELY.

ABSOLUTELY.

THAT'S WHAT'S IN OUR CIP PLAN.

THAT'S HOW WE'RE PRIORITIZING THESE PROJECTS.

A COMBINATION OF STORM WATER, WATER QUALITY, AND THE MOST VULNERABLE FORCE MAINS.

SO THE FORCE MAINS ARE MORE VULNERABLE BECAUSE THEY'RE PRESSURIZED, THEY'RE BEING PUMPED.

WE HAVE TWO 30 INCH FORCE MAINS RUNNING NORTH THE SOUTH.

I I I YOU'RE, YOU'RE PRIORITIZING WHAT IS IN MOST NEED, CORRECT? CORRECT.

YES, SIR.

AND THEN AS A FINANCE MEMBER, WE'RE PR WE HAVE, WE'RE TASKED WITH PRIORITIZING WE TO SPEND OUR MONEY.

[01:55:02]

AND, YOU KNOW, I, UH, I'M TYPICALLY AGAINST RAISING RATES ON, UH, ON THE RESIDENTS BECAUSE EVERY YEAR THERE'S A, A RAISING OF RATES.

I MEAN, YOU KNOW, FPL JUST RAISED THE RATES ON US.

UM, ALMOST, ALMOST EVERY ASPECT OF GOVERNMENT IS RAISING THE RATES ON THE RESIDENTS.

AND IT'S JUST, IT'S REALLY STARTING TO SQUEEZE OUT A LOT OF PEOPLE.

BUT WHERE I'M GETTING AT WITH THIS IS, AND WHY I ASKED THE QUESTION EARLIER IS IF WE HAVE A PARTICULAR PROJECT THAT IS IN NEED, WHY ARE WE ASKING THE RESIDENTS TO PAY MORE TO FIX SOMETHING WHEN WE HAVE MONEY ELSEWHERE THAT COULD BE DEDICATED AND PRIORITIZED TO PAY A PARTICULAR PROJECT THAT HAS AN IMPENDING INFRASTRUCTURE FAILURE? MEANING LIKE, LOOK, WE'RE WE HAVE A BILLION DOLLAR BUDGET, RIGHT? OR, OR 600 MILLION IN, IN OPERATING.

I'M SURE THERE'S PLENTY OF THINGS THAT WE CAN CUT BACK ON TO PAY FOR THE DELTA OF WHAT THIS WOULD'VE PAID FOR, OF THIS INCREASE.

BECAUSE AT THE END OF THE DAY, RESIDENTS ARE STILL GONNA PAY.

THEY'RE JUST GONNA PAY MORE.

BUT CAN WE FIND FUNDING FROM SOMETHING ELSE THAT IS MORE OF A LUXURY AND PAY THIS, UH, TOWARD THIS PROJECT INSTEAD? SO WE HAVE ALMOST A BILLION DOLLAR OPERATING BUDGET WITHIN THE CITY OPERATING ON CIP, I THINK, AND WE'VE GOT ALMOST A BILLION DOLLARS IN WATER SEWER NEEDS.

SO YOU CAN SEE WE, WE CAN'T CUT A HUNDRED PERCENT OF THE BUDGET IN THE CITY AND DEDICATE IT TOTALLY TO WATER AND SEWER.

NO, BUT WHAT I'M SAYING IS THE, THE, YOU KNOW, YOU'RE ASKING THE RESIDENTS, YOU'RE ASKING US TO PASS RATE INCREASES WHERE IT WOULD INCREASE THE DELTA A CERTAIN AMOUNT.

MM-HMM .

FOR, FOR, FOR EVERY YEAR.

AND WHAT I'M SAYING IS, CAN WE, AND, AND THIS IS MORE OF A QUESTION FOR US, CAN WE FIND FUNDING FROM OTHER SOURCES THAT ARE MORE OF A LUXURY? AND, YOU KNOW, IT, IT'S, IT'S A HARD, IT'S A HARD, YOU KNOW, QUESTION TO ASK ALL OF US TO, TO PAY FOR SOME OF THESE CAPITAL IMPROVEMENT PROJECTS THAT ARE, ARE OBVIOUSLY THEY NEED ATTENTION.

'CAUSE I CERTAINLY DON'T WANNA SEE ANY, YOU KNOW, WATER SEWER BREAKS IN, IN THE BISCAYNE BAY, LIKE HAPPENED IN FORT LAUDERDALE.

BUT, YOU KNOW, I, I WANT, YOU KNOW, I, I WANT TO HAVE A SORT OF A ZERO SUM GAME OF LOOK, YOU KNOW, MAYBE WE HAVE TO CUT BACK ON SOMETHING ELSE TO PAY FOR THE DELTA OF WHAT THIS IS.

THAT WAY THE RESIDENTS AREN'T PAYING EXTRA IN RATES, UH, EVERY YEAR.

BUT I FEEL LIKE IF WE DO THAT, AND I GET IT, I HEAR YOU.

IF WE DO THAT, THEN IN TWO OR THREE YEARS, WE'RE AT THE SAME POINT BECAUSE WE NEVER RAISE THE RATES, UM, TO BE WHERE THEY SHOULD BE.

THAT'S A GOOD POINT.

BUT MAYBE WE CAN RAISE IT WHERE IT'S NOT AS MATIC OVER THE COURSE OF WHAT, HOW MANY YEARS IS IT? SIX, UH, SIX YEAR PLAN.

SIX YEARS.

CPI IT.

THE CP.

YEAH.

SO WHAT I'M SAYING IS MAYBE WE, WE RAISE IT CPI FROM HERE ON OUT, AND THEN WHATEVER THE DELTA IS FOR THAT SIX YEARS INCREASE, WE WILL HAVE TO, YOU KNOW, ROLL UP OUR SLEEVES AND FIND OUT WHAT CAN WE CUT TO PAY FOR THAT DELTA SIX YEAR INCREASE SO THAT WE'RE CAUGHT UP AND THEN WE CAN CATCH UP WITH CPI.

RIGHT.

NOW, I, I COMPLETELY AGREE WITH THAT, BUT, YOU KNOW, AND THEN AGAIN, THAT'S NOT AN, THAT'S A POLICY DECISION, AND THAT'S SOMETHING THAT, YOU KNOW, WE AS A, AS A, AS A BODY REALLY HAVE TO DECIDE IF THAT'S WHAT WE WANT TO DO.

UM, AND IF WE DO, THEN, YOU KNOW, MAYBE THAT'S A LONGER DISCUSSION, OBVIOUSLY FOR MAYBE STAFF CAN BRING US SOME PROPOSALS OF, OF WHAT WE CAN, YOU KNOW, HOPEFULLY ACCOMPLISH.

YEAH, GO AHEAD.

I WAS JUST GONNA SAY, I'M HAPPY TO MOVE THIS ITEM AS IS FOR FULL DISCUSSION THAT THE COMMISSION TO BREAK IT DOWN AND, UM, SEE, YEAH, THAT DID DAWN ON ME A FEW MINUTES AGO AFTER JOHN WAS ALREADY QUITE WELL INTO IT.

I GO, WE'RE LIKELY GONNA HAVE TO REPEAT THIS ENTIRE DISCUSSION AT THE COMMISSION BECAUSE EVERYBODY'S GOING, WANNA CHIME IN.

BUT COMMISSIONER SUAREZ, I'M COMPLETELY CONCEPTUALLY ALIGNED WITH YOU.

GIVEN THIS IS AN ENTERPRISE FUND, I THINK IT'S KIND OF A TWO STEP PROCESS, AND IT'S VERY MUCH ALIGNED WITH WHAT WE'VE BEEN DOING FOR THE PAST TWO YEARS, ACCELERATED LAST YEAR, WHERE WE CUT IN THIS BUCKET, RIGHT? AND IT, IT MAY BE PARTIALLY OFFSET WITH SOME MUCH NEEDED INCREASES IN THIS ENTERPRISE FUND.

UM, BUT I DON'T KNOW IF THOSE TWO THINGS GO IN TANDEM

[02:00:01]

BECAUSE WHERE I GET HESITANT AND I'VE SPENT MY WHOLE LIFE LOOKING AT ENTERPRISE FUNDS, I KNOW HOW EXCITING THAT SOUNDS, UM, IS YOU DON'T WANNA BECOME RELIANT ON ALWAYS GETTING THAT SUBSIDY FROM THE GENERAL FUND.

THESE SHOULD BE SELF-SUSTAINING.

SO IT MAY NOT BE SOMETHING THAT COULD BE DIRECTLY LINKED, BUT IF WE KNOW, OKAY, THE ENTERPRISE FUND IS APPLYING THIS INCREASE THAT'S GOING TO HIT OUR RESIDENTS, THEN WE NEED TO BE EVEN MORE PROACTIVE IN REDUCING OUR, UM, OUR GENERAL OPERATING BUDGET.

BECAUSE TO RESIDENTS, IT'S A ZERO SUM GAME, RIGHT? IT COMES FROM SOMEWHERE.

THEY DON'T CARE WHAT LINE ITEM IS TAXED.

BUT I DON'T WANT TO GET INTO A SITUATION WHERE OUR GENERAL FUND IS SUBSIDIZING 'CAUSE WE DON'T, UH, RAISE RATES TO THE ADEQUATE AMOUNT HERE.

IT SHOULD BE OKAY IF WE KNOW RESIDENTS ARE GETTING HIT FOR AN EXTRA 12 BUCKS A MONTH HERE, WE NEED TO SAVE THEM $12 A MONTH IN THIS BUCKET.

YEAH.

BUT I THINK, I THINK WE'RE, MAYBE I'M UNCLEAR ON IS WHAT STAFF IS RECOMMENDING IS TO FUND A PROJECT THAT IS A CIP PROJECT.

IT'S NOT NECESSARILY, UM, YOUR, YOUR THE TAXES OR RATES THAT YOU WOULD PAY FOR JUST UTILITIES, YOUR NORMAL UTIL EVERYDAY UTILITIES.

THIS IS ABOVE AND BEYOND THAT.

AND WHAT I'M SAYING IS REALLY THE GENERAL FUND SHOULD BE TAKING CARE OF THAT BECAUSE THAT'S A RESPONSIBILITY OF GOVERNMENT WITH THE MONEY THAT WE TAKE IN TO PRIORITIZE WHAT PROJECTS NEED TO BE SPENT ON.

SO IF THERE ARE, IF THERE'S INFRASTRUCTURE AND FAILING PIPES THAT ARE ONLY HALF THE SPAN OF THEIR LIFE, THAT SHOULDN'T COME OUT OF THE WATER AND SEWER RATES, AND WE SHOULD, I DON'T THINK THAT WE SHOULD BE RAISING RATES TO FIX SOMETHING LIKE THAT.

I THINK THAT SHOULD COME OUT OF A SPECIAL FUND, PERHAPS A GENERAL FUND, AND WHERE WE ALL HAVE TO HAVE THE UNCOMFORTABLE DISCUSSION TO SAY, OKAY, THESE PIPES ARE STARTING TO FAIL HALF YEAR INTO THEIR LIFESPAN.

WE'RE GONNA HAVE TO CUT FUNDING FROM, FROM THIS TO PAY THIS, OR WE RAISE TAXES.

YOU KNOW, THAT'S BECAUSE YOU KNOW THAT, THAT, LIKE I SAID, THIS IS A, THIS IS A A, IT'S A POLICY CALL.

AND SO, YOU KNOW, I I DON'T THINK RAISING RATES TO FIX CAPITAL IMPROVEMENT PROJECTS IS, IS THE RIGHT NOW LOOK, HAVE WE NOT INCREASED THE RATES PROPORTIONALLY? I GET IT.

I'M OKAY WITH, YOU KNOW, CPI INCREASES MOVING FORWARD.

I'VE SAID THAT I, BUT, YOU KNOW, TAKING INTO CONSIDERATION ALL THE RATE INCREASES FOR EVERYTHING THAT'S, YOU KNOW, HOA FEES INSURANCE, UM, FPL NOW IT'S, IT'S COMING ALL AT ONCE.

AND IF YOU'RE JUST AN AVERAGE DAY PERSON ON MIAMI BEACH, UH, YOU KNOW, THIS IS JUST ANOTHER RATE INCREASE.

SO I WOULD RATHER NOT RAISE RATES AND FIND OUT, YOU KNOW, FIND AREAS THAT WE MAY NOT, WE, IT'S NICE TO HAVE, BUT IT'S ALSO NICE TO HAVE CLEAN WATERWAYS.

AND THAT'S A PRIORITY THAT I THINK SHOULD BE, UM, GIVEN FIRST THAN, THAN ANYTHING ELSE.

SO HOW DO OTHER CITIES DO IT? SO EVERY OTHER UTILITY FUNDS, THERE'S CIP RELATED WATER AND SEWER THROUGH THE WATER SEWER ENTERPRISE FUND AND STORMWATER FUND.

SO IT IS TYPICAL BECAUSE WHEN YOU THINK OF IT AS A BUSINESS, WE'RE PROVIDING OUR SERVICE.

SO WHAT IS REQUIRED TO PROVIDE THAT SERVICE, JUST LIKE FP AND L IS INSTALLING NEW TRANSMISSION LINES ACROSS THE CITY.

WE AS RATE PAYERS TO FP AND L ARE PAYING FOR THAT WORK.

AND THAT'S WHY THEY RAISE VERY, ALMOST EXACTLY THE SAME SITUATION.

SO IT IS THE INDUSTRY STANDARD.

AND MY CONCERN IS THAT OUR FUTURE EFFORTS TO GO OUT FOR BOND ISSUANCES COULD BE AFFECTED AS OUR CREDIT, CREDIT RATING COULD BE REDUCED BECAUSE WE'RE SUPPLEMENTING AND WE'RE NOT A FINANCIALLY SELF-SUSTAINING UTILITY.

IF I CAN HAVE TO THAT, I THINK OF SERGIO HAD MENTIONED EARLIER, OBVIOUSLY WE WOULD HAVE, UH, CONCERN WITH THAT, THAT APPROACH.

UM, AND THE MARKETS WOULD DEFINITELY HAVE CONCERN WITH THAT APPROACH.

AND JUST TO NOTE, UM, ON THE NEIGHBORHOOD IMPROVEMENT PROJECTS, WHICH ARE APPROVED BY COMMISSION, AND WE HAVE I THINK SEVERAL RESOLUTIONS DIRECTING, UH, THEM TO BE COMPLETED AND, AND MOVE FORWARD POST HASTE SPECIFIC IN NORTH SHORE D WEST AVENUE AND FIRST STREET, UM, THOSE DO HAVE A GENERAL FUND FUNDED, UH, COMPONENT TO IT.

THE, UH, I BELIEVE IT'S 10% FOR THE ABOVE GROUND RESTORATION, UM, IS COMMITTED, UH, OR PROGRAMMED TO COME FROM, UH, GENERAL FUND OR CAPITAL DOLLARS IN THAT AREA.

BUT THE WATER, STORM WATER COMPONENTS, THEY ARE TECHNICALLY NOT, UH, YOU KNOW, FROM THE TAX PERSPECTIVE, THEY ARE, THEY'RE A USER FEE.

UH, YOU KNOW, JUST LIKE YOUR ELECTRICITY BILL OR IT'S, IT'S A RESIDENCE, IT'S ALL THE SAME THING, RIGHT? I MEAN, THAT'S JUST MONEY COMING OUT OF A POCKET .

SO I MEAN, I I, WHETHER YOU KNOW, HOWEVER YOU WANNA CALL IT,

[02:05:01]

IT'S, IT'S STILL MONEY COMING OUT, RIGHT? RIGHT.

BUT I GUESS THAT'S WHAT I'M SAYING IS IF WE KNOW THAT RESIDENTS, YOU KNOW, THIS WILL BE A CHARGE FROM THIS BUCKET, THEN IT'S INCUMBENT ON US TO REDUCE, IF WE WANNA KEEP THINGS FLAT, OUR GENERAL OPERATING BUDGET REDUCE THAT BY ESSENTIALLY AN OFFSETTING AMOUNT, WHICH I THINK WE'RE ESSENTIALLY HAVE A GOAL TO DO WITH THE, WITH THE ROLLBACK, RIGHT? YEAH.

I MEAN, AND THAT WOULD ACTUALLY BE COUNTER TO WHAT WE'RE TALKING ABOUT AS FAR AS THE HIGHER USAGE CUSTOMERS PAYING MORE, THEN IT'S ALMOST LIKE EVERYBODY, EVERY RESIDENT'S PAYING THE SAME.

SO OUR RATE STRUCTURE IS BASED ON USAGE.

SO IT WOULD, YOU KNOW, IF YOU'RE USING MORE, YOU'RE PAYING MORE INTO THE SYSTEM.

SO, JOHN, I, LET'S MOVE THIS ALONG THE COMMISSION FOR A FULL DISCUSSION.

WHAT I'D LIKE YOU AND YOUR TEAM TO COME BACK WITH IS A MORE PROGRESSIVE TIERING FOR USAGE.

RIGHT.

AND PERHAPS I THINK THAT, UH, ADDITIONAL BUCKET KICKED IN AT WHAT, 8,000 GALLONS? I, I BELIEVE THAT'S, YEAH.

SO WHAT WE WILL, WHAT WE WILL DO IS WE'LL LOOK AT AVERAGE USAGE THROUGHOUT THE CITY.

I THINK WE CAN DO THAT, UH, THROUGH THE, UH, WATER BILLING PROGRAM YEAH.

AND MAYBE REDO THOSE CHARTS.

YES.

ACCORDING TO WHAT THE AVERAGE USAGE IS.

WHAT I'LL PROBABLY DO IS COME BACK WITH A CHANGE TO THE PROGRESSIVE RATE STRUCTURE.

YEAH.

BUT ALSO COME WITH OUR RECOMMENDED AS WELL, BECAUSE I THINK WE MIGHT FIND THAT THE PROGRESSIVE STRUCTURE REALLY IS GONNA HELP THE LOWER USAGE CUSTOMERS AS MU AS MUCH AS WE'RE THINKING.

SO I JUST WANNA, I WANNA, LET'S JUST SEE THE OPTIONS.

YEP.

YES, SIR.

ALL RIGHT.

I THINK COMMISSIONER DOMINGUEZ AND WAS MAKING A MOTION TO RETURN THIS TO COMMISSION.

I'LL SECOND WITH A FAVORABLE RECOMMENDATION TO APPROVE, OBVIOUSLY TO DISCUSS THE UTILITY RATE ORDINANCES PRESENTED.

SO THIS WOULD COME BACK AS A, UH, THE ORDINANCE DIRECTLY, AND THEN WE'LL DISCUSS IT AT THE ORDINANCE LEVEL.

YEAH.

SO COMMISSIONER DOMINGUEZ, UH, MADE THE MOTION.

COMMISSIONER SUAREZ, SECONDED.

UH, ALL IN FAVOR, AYE.

AYE.

THANK YOU.

AND B 14 AND COLLEAGUES, WE DO HAVE, UM, IF YOU HAVE THIS AGENDA, SOME ITEMS IN RED THAT'LL FALL OFF.

IF WE DON'T HEAR TODAY, DO WE HAVE ANY PRIORITIES THAT PEOPLE WANT TO HEAR OF THOSE? UM, AND JASON, MAYBE EVEN AS A WORKAROUND, CAN I SEE YOURS? YEP.

YEAH, I COULD.

IF YOU WANT, UM, I COULD MENTION THOSE, UH, THAT ARE AT THE SIX MONTH OR BEYOND.

UH, MB SIX.

YEAH.

ON SPEED.

MR. CFO, MAYBE FOR MB 12, CAN WE JUST OPEN THAT AND AGREE TO HEAR THAT IN TWO MONTHS TIME? UH, WELL, WE CAN, JUST SO IT DOESN'T FALL OFF, WHAT WE CAN DO IN READING THE, THE RULES THAT WERE, UH, PROVIDED BY THE, THE COMMISSION, THERE'S A, UH, A ONETIME DEFERRAL REQUEST THAT CAN BE, UH, DONE.

AND I DON'T THINK THAT THAT'S BEEN UTILIZED.

SO WE COULD DO THE ONETIME DEFERRAL REQUEST, DO THAT FOR MB 12.

MB 12 WILL SHOW A DEFERRED AND TO BE HEARD IN JUNE, I BELIEVE IS WHAT I WAS HEARING.

WHY ARE WE NOT GONNA HEAR THAT RED? YEAH, JOE.

HUH? WHY ARE WE NOT HEARING THAT? I JUST DON'T KNOW WHERE WE'RE GONNA GO WITH THAT.

I WANTED IT, I JUST, I DON'T KNOW.

FUNDING.

UM, LET'S HEAR IT JUST REAL QUICK.

THE MUSCLE BEACH.

YEAH.

I MEAN, LET'S SEE.

JUST GET AN UPDATE.

WHAT IS IT GONNA COST? OKAY.

BECAUSE I GOT SOME IDEAS THAT WE CAN PROBABLY GET OUTSIDE FUNDING FOR.

OKAY.

LET ME READ IN.

WE WON'T BE DEFERRING, WE'LL BE HEARING NOW.

MB

[NB 12. DISCUSS ESTABLISHING A MUSCLE BEACH IN NORTH BEACH, CONSIDERING THE WIDELY RECOGNIZED POSITIVE IMPACT ON HEALTH, COMMUNITY, AND QUALITY OF LIFE OBSERVED AT MUSCLE BEACH IN SOUTH BEACH, WITH SPONSORSHIP SUPPORT TO OFFSET PROJECT COSTS AND REDUCE FINANCIAL IMPACT ON THE CITY.]

12 DISCUSSED ESTABLISHING A MUSEL BEACH IN NORTH BEACH, CONSIDERING THE WIDELY RECOGNIZED POSITIVE IMPACT ON HEALTH, COMMUNITY, AND QUALITY OF LIFE OBSERVED AT MUSCLE BEACH IN SOUTH BEACH WITH SPONSORSHIP SUPPORT TO OFFSET PROJECT COST AND REDUCE FINANCIAL IMPACT TO THE CITY.

MB 12.

GOOD MORNING.

CINDY CASANOVAS, DIRECTOR PARKS FACILITIES, FLEET BEACHES.

UM, THIS ITEM IS TO DISCUSS ESTABLISHING A MUSSEL BEACH IN NORTH BEACH IN ALTO.

SOMAR PARK WOULD BE SIMILAR IN NATURE TO THE ONE THAT WE CURRENTLY HAVE.

UH, MUSSEL BEACH, SOUTH BEACH IN LOOMIS PARK.

THIS ITEM WAS PREVIOUSLY HEARD HERE AT FERC, UH, WHERE IT RECEIVED A FAVORABLE RECOMMENDATION.

IT WAS MOVED TO THE CITY COMMISSION TO INCLUDE AS, UM, FUNDING FOR THE FISCAL YEAR 26 BUDGET PROCESS.

ULTIMATELY, IT WAS INCLUDED IN OUR, UM, BUDGET PRESENTATION, BUT IT WASN'T, UM, INCLUDED AS A PROJECT FOR THIS FISCAL YEAR.

UM, WE'RE INCLUDING IT AGAIN AS PART OF OUR REQUEST FOR FISCAL YEAR 27.

AND JUST AS A REFRESHER, THE FUNDING NEEDED FOR THE PROJECT WHEN WE FIRST RAN THESE NUMBERS WAS $300,000.

UM, TO KIND OF GET A REPLICA OF WHAT WE HAVE EXISTING AT MUSEL BEACH SOUTH BEACH.

UM, WE WERE ABLE TO INCLUDE AS PART OF THE PACKAGE, UM, THE VENDOR THAT WE WORK WITH, WHICH WAS MY LIBRIA AT MUSEL BEACH, SOUTH BEACH, CAME BACK WITH, UM, A LOT OF DISCOUNTS OFF OF THE PRICE OF THE, UM, THE FURNISHINGS FOR THE EQUIPMENT.

SO, AND ON TOP OF THAT, WE INCORPORATED, UM, A HUNDRED, I THINK IT WAS A HUNDRED THOUSAND DOLLARS FROM THE G-M-C-V-B THAT COULD GO TOWARD, UM, THIS PROJECT.

SO WE'RE

[02:10:01]

LOOKING AT AN OVERALL COST OF 300,000 IF WE WANTED TO MOVE FORWARD WITH THIS PROJECT.

I JUST THREW THE CHAIR.

I, I JUST FIND THAT'S WHY IS IT SO MUCH? BECAUSE, YOU KNOW, THE, THE ONE IN SOUTH BEACH JUST HAS A COUPLE CONTAINERS, SOME, SOME EQUIPMENT, UM, HUGHES EQUIPMENT, AND I ACTUALLY, YOU KNOW, OUR LOCAL GYM, UH, THE, THE CROSSFIT, THEY GOT ALL BRAND NEW STUFF FROM TECHNO GYM, AND THEY WERE SELLING THEIR EQUIPMENT, AND IT WAS ONLY LIKE 3000 BUCKS.

AND I CALLED ERIC AND I'M LIKE, HEY, LOOK, THIS IS A STEAL.

YOU SHOULD, YOU SHOULD DEFINITELY GET THIS.

AND IT'S ALL IN PRETTY GOOD CONDITION.

I MEAN, AND THAT WAS LIKE THOUSANDS AND THOUSANDS OF POUNDS OF WEIGHT.

I THINK THERE WAS LIKE 30 BARS, UM, AND ALL THE WEIGHT THAT YOU COULD NEED FOR TO AT LEAST START THAT GYM.

AND I CAN'T IMAGINE THOSE, THOSE WORK CONTAINERS COSTING MORE THAN 30, $40,000 A PIECE.

GRANTED, YOU'RE NOT GONNA HAVE COOL STRUCTURE, BUT THAT CAN COME LATER.

I MEAN, I DON'T SEE WHY THIS WOULD COST NO MORE THAN A HUNDRED GRAND.

SO WHEN WE ORIGINALLY GOT THESE QUOTES, IT WAS TO BASE IT OFF OF BASICALLY A REPLICA OF WHAT EXISTS AT MUSSEL BEACH SOUTH BEACH, WHICH IS THE, IT'S SUPER HIGH END, IT'S ICONIC, IT'S WORLD CLASS.

IT'S, WE WORKED WITH THE ITALIAN DESIGNERS TO, YOU KNOW, PUT WHAT WE PUT IN MUSSEL BEACH IN SOUTH BEACH.

SO WE BASED IT OFF OF THAT TO GIVE THE NORTH BEACH PRETTY MUCH THE SAME.

NO, I GET IT.

WE, WE DON'T, YEAH, YEAH, YEAH.

WE DON'T WANT TO, I'M NOT TRYING TO CUT NORTH BEACH SHORT, BUT I DON'T ALSO WANT TO DELAY THIS BECAUSE THEY DON'T HAVE A COOL STRUCTURE.

I THINK AT THE END OF THE DAY, PEOPLE JUST WANNA WORK OUT ON THE BEACH AND WE HAVE PLENTY OF EQUIPMENT, APPARENTLY.

AND ONLY THING, ONLY THING WE'RE MISSING IS JUST A COUPLE OF CONTAINERS.

IS THAT EQUIPMENT STILL FOR SALE? NO, WE, WE BOUGHT IT.

OH, I WAS GONNA ASK YOU IF YOU WANNA SPLIT IT.

? NO, ACTUALLY, WELL, I ACTUALLY TOOK SOME FOR MYSELF, BUT, OH, .

BUT, YOU KNOW, NO, ERIC GOT PROBABLY A BUNCH OF EQUIPMENT ENOUGH FOR, ENOUGH FOR A GYM TO START.

OKAY.

AND I DON'T THINK THERE'S ANY COST WHATSOEVER RIGHT NOW FOR EQUIPMENT OTHER THAN THE CONTAINER AND PERHAPS, YOU KNOW, BUILDING ON THE CONTAINER, UH, PULL UP RACKS AND, AND BENCH RACKS.

BUT THAT, THAT CAN'T BE MORE THAN MAYBE $20,000, UM, IN A COST.

AND LIKE I SAID, I'M, I'M JUST SAYING, I, I THINK THE TWO CONTAINERS AND THE FACT THAT WE HAVE THE EQUIPMENT, I THINK WE CAN DEFINITELY GET BY WITH A HUNDRED THOUSAND DOLLARS.

AND IN THE FUTURE, IF WE WANNA FUND LIKE A COOL SCULPTURE, WE CAN CERTAINLY DO THAT.

BUT I THINK THE PEOPLE OF NORTH BEACH JUST WANNA HAVE A COOL GYM TO WORK WORKOUT AND NOT NECESSARILY SOMETHING TO LOOK AT.

I, I HEAR YOU.

UM, JUST SO FOR CLARIFICATION, THE, I THINK THE CONTAINERS THAT YOU'RE REFERRING TO ARE THE BEAVER FIT LOCKERS AND TWO BEAVER FIT LOCKERS ARE $175,000 JUST FOR TWO.

SO IF YOU SPLIT THAT IN HALF, YOU'LL KNOW WHAT THE COST FOR ONE WOULD BE.

AND WE WERE PROPOSING TWO AS PART OF THIS PROJECT.

THEY'RE CALLED WHAT? BEAVER FITS, BEAVER FIT LOCKERS.

THESE ARE THE ONES THAT WE HAVE DOWN IN SOUTH POINT, UH, THAT WE HAVE AT MUSCLE BEACH.

YEAH.

SOUTH BEACH BEAVER.

I GOTTA GET INTO THE BUSINESS OF SELLING TO GOVERNMENT .

I, I MEAN, THEY'RE JUST, THEY'RE STORAGE LOCKERS, RIGHT? THEY'RE, WELL, THEY, NO, THEY COME CONTAINED WITH WEIGHTS, WITH THE BARS, WITH EVERYTHING.

THEY'RE NOT JUST THE CONTAINER, IT'S EVERYTHING THAT GOES INTO THE CONTAINER AS WELL LIKE THAT.

BUT I GUESS WE HAVE PART OF THE EQUIPMENT NOW IS WHAT YOU'RE SAYING.

I MEAN, I, I'M LOOKING RIGHT HERE.

I SEE MRS. BEAVER FIT BOXES SUCH AS TACTICAL GYM BOXES GENERALLY START AROUND 3,600 TO 4,900 TO FULLY EQUIPPED SMALLER CONFIGURATIONS.

LARGER UNITS LIKE THE BEYOND TRAILER START ROUGHLY $32,000 PRICE DEPENDS ON CONFIGURATIONS, OBVIOUSLY.

BUT WI MEAN, THAT SAYS IT'S 32,000, NOT 175.

AGAIN, THE CONTAINER, IF YOU WANT ALL THE ACC MAS THAT COME IN THE CONTAINER WITH THE WEIGHTS, THE BARS AND WHATNOT, THAT'S WHERE THE PRICES START GOING UP IN THE, WE ALREADY HAVE ALL THE WEIGHTS AND THE BARS IF, IF WE HAVE IT THAT WE CAN CERTAIN WE, IF WE HAVE ALL THAT, WE CAN CERTAINLY TAKE A LOOK AT.

THAT.

IS JOHN, WHERE, WHERE'S MR. NORRIS? IS HE HERE? JOHN HERE? NOT JOHN, UH, REBAR.

OKAY.

YEAH.

WELL, HE HAS IT.

UM, IN FACT, WE HAD, WE HAD, THERE WAS SO MUCH GIVEN THAT I THINK EVEN THE FIRE DEPARTMENT TOOK SOME, 'CAUSE THERE WAS SO MUCH TO GIVE AWAY.

BUT I MEAN, IF I'M LOOKING AT THIS, IT SAYS IT'S 32,000 AND THAT'S COMING FROM THEIR, FROM THEIR WEBSITE, NOT 175,000.

SO, AND BY THE WAY, YOU KNOW, WE CAN ALSO JUST BUY A REGULAR, UM, SHIPPING BOX OR A CONTAINER AND THEN RETROFIT, YOU KNOW, WHERE TO PUT THE, THE BARS AND THE, UH, EQUIPMENT.

I DON'T THINK IT HAS TO BE, YOU KNOW, JUST GET OUTTA THE BOX.

WE CAN CERTAINLY HAVE SOMEONE JUST WELD THAT IN THERE.

[02:15:02]

LET US COME BACK.

CAN CAN WE JUST TAKE SOME TIME TO GO THROUGH WHAT WE HAVE? UM, WHATEVER IT THE EQUIPMENT IS THAT YOU'RE REFERRING TO SURE.

IS DONATED.

AND LET US TAKE ANOTHER STAB AT IT.

AND ALSO JUST ALSO PIVOTING HERE, I'M, I'M SURE THERE ARE COMPANIES OUT THERE SUCH AS LIKE ROGUE OR EVEN, YOU KNOW, TECHNO GYM STARTED GETTING INTO SORT OF THIS FUNCTIONAL, UH, FITNESS WHERE THEY MIGHT JUST BE GIVE IT FOR FREE.

UM, SO FOR EXAMPLE, YOU KNOW, THE, THE CROSSFIT THAT I MENTIONED, THEY GOT AWAY, THEY, THEY SOLD ALL THEIR STUFF AND TECHNO GYM CAME IN AND GAVE, IT GAVE $900,000 OF, OF EQUIPMENT FOR FREE TO THEIR GYM JUST BECAUSE THEY WANTED TO GET INTO THE SPACE AND, AND SORT OF HAVE THIS BRAND RECOGNITION OF THEIR NEW LINE.

CAN WE POSSIBLY GO TO A COUPLE OF THESE VEN UH, THESE, THESE BRANDS AND ASK, HEY, ARE YOU WILLING TO HAVE, YOU KNOW, YOUR EQUIPMENT HERE, BE THE PREMIER EQUIPMENT? AND, UM, YOU CAN HAVE BRANDING AROUND IT.

UM, AND AS LONG AS YOU, YOU KNOW, FULLY, YOU KNOW, BUILD IT OUT FOR US ABSOLUTELY.

THROUGH THE CHAIR.

YEP.

PLEASE, COMMISSIONER.

SO COMMISSIONER, THAT WAS THE ITEM THAT WE VOTED ON LAST COMMISSION MEETING ABOUT NAMING RIGHTS AND SPONSORSHIPS.

THAT WAS EXACTLY MY INTENTION TO DO SO.

I HOPE WE DO EXPLORE MORE OF THESE OPPORTUNITIES BECAUSE THERE ARE A LOT OF BRANDS THAT WANT TO MARKET TO OUR RESIDENTS, OUR VE VISITORS IN OUR SPACES.

AND IT'S GOOD BRANDS, IT'S GOOD MARKETING FOR THEM.

YEAH.

AND BY THE WAY, IT'S NOT LIKE AN ALCOHOL BRAND, RIGHT? EXACTLY.

LIKE IT'S A TOBACCO MARKET.

EXACTLY.

AND THAT IT'S FITNESS, IT'S WELLNESS, AND IT'S A WIN-WIN FOR EVERYONE.

IT'S A WIN-WIN FOR THE BRAND.

IT'S A WIN-WIN FOR US.

IT JUST, IT WORKS.

AND THAT WAS EXACTLY THE INTENT BEHIND MY ITEM, AND I'M, I'M GRATEFUL THAT WE ALL SUPPORTED IT TOO.

SO LET'S, YOU KNOW, PLEASE PROCEED.

YEAH, IT'S PERFECT.

PROCEEDS A PERFECT, IT'S A PERFECT PROJECT.

'CAUSE AT THE END OF THE DAY, THANK YOU, CINDY, THE EQUIPMENT, IF WHAT IF WE BUY THE EQUIPMENT NEW, THE, THE BRAIN IS GONNA BE ON THERE ANYWAYS.

IT'S RIGHT.

SO WE MIGHT AS WELL JUST, YOU KNOW, IF THEY HAVE TO, IF THEY WANNA PUT THEIR, LIKE, LOGO ON THE CONTAINER AND THEY FUND EVERYTHING FOR IT, I'M OKAY WITH THAT.

I THINK THE RESIDENTS WOULD BE TOTALLY OKAY WITH THAT TOO.

SO GUESSING, UH, PLAYBOYS OFF THE TABLE .

UM, BUT IT COULD ALSO EVEN BE IF SOMEBODY'S ALLOWED TO OPEN A SMALL COFFEE SHOP, LIKE OUT THERE, YOU KNOW, IN THE, IN THE PARK OR SOMETHING LIKE THAT.

AND THEN IN TURN THEY PAY FOR IT.

YEAH.

WHO I, I'M OPEN TO IDEAS.

YEAH, YEAH, YEAH.

IT JUST, I, I DON'T WANNA DELAY ANY FURTHER ON, ON GIVING NORTH BEACH, UM, A COOL OUTDOOR GYM BECAUSE I MEAN, I GO TO THAT SOUTH BEACH GYM ALL THE TIME WITH MY FAMILY, AND IT'S A GREAT, IT'S A GREAT MEETUP SPOT.

I MEAN, PEOPLE FROM ALL OVER THE WORLD GO TO THESE PLACES JUST TO TAKE SELFIES THERE.

I MEAN, I DON'T THINK THE ONLY, THE ONLY PLACE THAT DOES THIS IS CA CALIFORNIA.

WHERE, WHERE, WHAT BEACH IS THAT? VENICE BEACH.

VENICE BEACH, YEAH.

VENICE BEACH.

I MEAN, IF WE CAN HAVE ANOTHER ONE HERE IN MIAMI BEACH, IT'S AWESOME.

YEAH.

IF YOU GIVE US ANOTHER MONTH, UH, MONTH OR TWO TO REWORK THIS, AND WE'LL COME BACK WITH SOMETHING ELSE SO WE COULD SHOW THIS ITEM, UH, THIS ITEM WAS HEARD AND THE RETURN TO FERC WITH ADDITIONAL OPTIONS, WITH SPONSORSHIP OPPORTUNITIES WHEN APPROPRIATE.

YEAH.

OKAY.

THANKS.

ALSO, APPRECIATE YOU, UH, ACCELERATING US HEARING THAT.

UM, , LET'S HEAR, UH, OB FOUR AND COMMISSIONER MATEO SALINAS.

UH, HOW ABOUT THE FUTURE ONE? ARE WE NOT ABLE TO HEAR THAT? OR WE ARE.

WE CAN.

OKAY.

THANK YOU.

SO O WE'LL, UH, HEAR OB FOUR NEXT.

YEP.

OKAY.

OB FOUR.

[OB 4. DISCUSS THE PLACEMENT OF ADDITIONAL OR IMPROVED WAYFINDING THAT WOULD DIRECT GUESTS/ CUSTOMERS/ RESIDENTS FROM THE MIAMI BEACH CONVENTION CENTER TO THE LINCOLN ROAD MALL.]

DISCUSS THE PLACEMENT OF ADDITIONAL OR IMPROVED WAY FINDING THAT COULD DIRECT GUESTS, CUSTOMERS, RESIDENTS FROM THE MIAMI BEACH CONVENTION CENTER TO LINCOLN ROAD MALL.

OV FOUR.

WELCOME TEAM.

GOOD MORNING.

SO THIS ITEM WAS TO BASICALLY BRING WAY FINDING FROM THE CONVENTION CENTER AND CONVENTION CENTER HOTEL TO LINCOLN ROAD.

AND THERE'S BEEN QUITE A LOT OF ACTIVITY, INCLUDING THE 17TH STREET GARAGE REP, UH, WHICH ARE FRIENDS, UH, COMPLETED.

AND IT LOOKS GREAT.

AND LIZETTE HAS BROUGHT SOME OTHER IDEAS FROM OTHER PROJECTS THAT ARE GOING AROUND THE CITY THAT MIGHT COMPLIMENT THIS ITEM.

SO I'LL TURN IT OVER TO HER.

THANK YOU, JOHN.

GOOD AFTERNOON, COMMISSIONERS.

UM, YEAH, WAY FINDING IS NOT OUR THING, BUT THE REQUEST IS TO DO AN ARTISTIC WAY FINDING SIGN, AND THERE'S SO MANY THINGS THAT ARE HAPPENING RIGHT NOW, WHICH ARE EXCITING IN THE CITY CENTER.

YEP.

UH, INCLUDING CONVERSATIONS WITH THE BASS AND THEY'RE DOING A SCULPTURE PARK THAT WILL INFORM, CONNECT TO CON, UH, CANAL, UH, PARK THAT ALSO HAS SCULPTURES TO THE BOTANICAL GARDENS THAT WOULD LEAD FOLKS TO THE

[02:20:01]

CONVENTION CENTER BACK AND FORTH AT THE SAME TIME.

YOU KNOW, THERE'S A LOT OF ACTIVITY HAPPENING ON LINCOLN ROAD.

UH, THERE HAS BEEN A PLAN IN THE PAST JAMES CORNER FIELD.

UH, THERE IS AN ITEM TO DO A PERMANENT MURAL AT THE 17TH STREET GARAGE.

RIGHT NOW.

WE HAVE IT WRAPPED WITH THE SPORTS.

I LOVE THIS.

IT'S INCREDIBLE.

UH, THERE'S ALSO, YOU KNOW, THEN THE WAY FINDING SIGN, BUT WE HAVE, THERE'S NO SIDEWALK THERE RIGHT NOW.

THERE'S A CONSTRUCTION PROJECT.

WE HAVE ALSO SPOKEN TO TARA AND TURNBERRY.

AND IN YOUR PACKAGE YOU'LL SEE THAT THERE'S A COUPLE OF EXAMPLES OF WHERE WE CAN GO TO TIE EVERYTHING IN.

BECAUSE THE MORE YOU KNOW, YOU TALK ABOUT IT AND YOU CAN SEE THAT THERE IS COHESIVENESS WITH DIFFERENT PROJECTS THAT ARE HAPPENING IN THE CITY THAT COULD REALLY, UH, PROVIDE A WAY FINDING FROM LINCOLN ROAD ALL THE WAY TO COLLINS PARK.

AND, AND THOSE ARE THE SOME WHERE WE'RE AT RIGHT NOW.

SO WE'RE STILL WORKING ON IT.

THERE'S NOTHING NOW, BUT WE ARE SHARING WITH YOU TWO OPTIONS.

UH, THERE IS A JAMES CORNER FIELD, UM, PLAN THAT SHOWS SOME TRADITIONAL WAY FINDING SIGNS THAT REFERENCE THE PIANO KEYS THAT EVERYONE KNOWS LINCOLN.

AND DO YOU HAVE A VISUAL OF ANYTHING I AVAILABLE? NOT SURE, BUT IT'S IN YOUR PACKAGE.

I DIDN'T SHARE THIS ONE.

AND THEN THERE'S A ART, UH, TARA AND TURNBERRY FOR THE MIAMI BEACH CONVENTION CENTER HOTEL SHARED SOME EXAMPLES OF HOW YOU CAN BE CREATIVE WITH WAY FINDING SIGNS.

AND SO THOSE ARE THERE.

SO WE COULD DO A COMBINATION.

UH, WE FEEL THAT TYING IN, YOU KNOW, MAYBE THE PIANO KEYS, BUT HAVING SOME TYPE OF VISUAL RECOGNITION TO ENGAGE PEDESTRIAN CONNECTIVITY BETWEEN ALL THESE DIFFERENT CORRIDORS WOULD BE THE WAY TO GO.

UM, THEN JUST, YOU KNOW, GOING FURTHER THAN WHAT THE ITEM IS ASKING FOR THAT'S ASKING FOR ONE MONUMENTAL PIECE.

WE'RE TRYING TO TIE IN ALL THESE DIFFERENT THINGS TOGETHER.

OKAY.

SO I SEE THE JAMES CORNER FIELD, OR THE BLACK AND WHITE CORNER FIELD SIGN.

AND THEN THE OTHER ONE HAS EXAMPLES OF WHAT TARA AND TURNBERRY, UH, LOCAL, UM, FROM.

SO, I MEAN, LET'S LISTEN, THIS IS JUST MY IDEA.

MAYBE WE'LL SIT DOWN JUST TOGETHER.

UM, THIS ISN'T NECESSARILY HOW I WAS THINKING ABOUT IT FOR SOMEBODY WALKING OUT THE CONVENTION CENTER TO BE LIKE, OH, PENNSYLVANIA AVENUE'S THIS WAY.

RIGHT.

IT'S MORE LIKE A WOW.

LIKE, OH, UNDERSTOOD.

THAT'S REALLY COOL.

UM, UNDERSTOOD.

BUT WE FEEL ALL THESE THINGS AESTHETICALLY HAVE TO COMPLIMENT EACH OTHER.

RIGHT.

SO ONCE THE HOTEL IS READY, ONCE WE HAVE A DESIGN, WE ALSO HAVE TO DO A PERMANENT MURAL OR SOME TYPE OF THING THAT WILL GUIDE FOLKS TO CROSS THE STREET TO JAMES.

UH, IN THE JAMES CORNER FIELD PLAN, THERE'S ALSO A LINCOLN ROAD SIGN THAT WAS CUT FROM THE BUDGET.

I KNOW THAT WE HAVE A REPRESENTATIVE HERE FROM LINCOLN ROAD, BUT THERE'S MULTIPLE PARTIES.

WE'D LOVE TO SIT DOWN WITH YOU.

WE DID SIT DOWN WITH YOUR EIGHT, BUT WE'D LOVE TO HAVE A CHANCE TO TALK TO YOU.

WALK THIS DOG WITH YOU, HOW THEY SAY.

YEAH, LET, LET'S DO THAT.

UM, MAYBE SIGN IS LIKE THE WRONG WORD.

I'M SENDING THE WRONG MESSAGE.

AN ARTISTIC PIECE LEADING INTO LINCOLN ROAD.

UNDERSTOOD.

UM, I, THERE IS STILL ALSO THE ARTWORK THAT'S GONNA BE IN THE PORT CASHIER OF THE HOTEL.

THAT IS GONNA BE A MONUMENTAL PIECE BY THE HAAS BROTHERS.

UH, IT'S THE ENTIRE PORTIER OF THE HOTEL.

SO ONCE, LIKE, I'M, THE WAY I'M SPEAKING FOR MYSELF, I GUESS THE WAY I'M ENVISIONING IS ONCE THE HOTEL IS READY AND IT'S BEAUTIFUL, WE WANNA THEN ADD ELEMENTS TO ENHANCE THAT, NOT CLASH.

SO THAT'S KIND OF LIKE WHAT WE'RE WAITING ON.

AND WE HAVE BEEN ENGAGING WITH ALL THE DIFFERENT STAKEHOLDERS THAT I MENTIONED TO HELP INFORM THIS PROJECT.

OKAY.

UH, THIS MEET BEFORE, UH, WE WILL JUST KIND OF KEEP THIS HERE, MR. CFO, UM, AND WE'LL SIT DOWN MEET.

I APPRECIATE IT.

THANK YOU.

SO WE'LL JUST SERVE THE ITEM HEARD AND TO RETURN.

YEP.

MM-HMM .

UM, MR. CHAIR.

YEAH.

UH, FOR THE LAST ITEM, THE MUSCLE BEACH ONE, I ASKED TO BE A CO-SPONSOR ON THAT, IF YOU, SO ACTUALLY WHAT I DO, I HAVE DISCRETION ON THAT.

MR. CFO ACTUALLY, WHAT I'D LIKE TO, IF THE'RE POSSIBLE, I'D LIKE TO BE A BE A PRIME SPONSOR WITH YOU BECAUSE I'M GONNA, I'M GONNA TRY TO WORK WITH TECHNO GYM TO GET THIS GYM FULLY FUNDED.

UM, IT'S UP TO YOU.

I I'LL GO SPENCER.

I I JUST THINK IT WOULD PROBABLY BE MORE IMPACTFUL IF TECHNO GYM HEARD FROM THE FITNESS COMMISSIONER, UH, FITNESS COMMISSIONERS DON'T, DON'T PLACE LAST IN, UH, IN A COMPETITION.

YEAH.

WELL, YOU KNOW, WHEN, WHEN YOU LOAD THE DECK WHERE YOUR PARTNER IS FROM THE SWAT TEAM THAT TRAINS THE NEW SNIPER ACADEMY STUDENTS, IT'S, UH, BUT SURE.

YOU KNOW, YOU DO YOU BRA.

SO, SO IF I CAN, I BELIEVE COMMISSIONER SU SUAREZ WILL BE CO-PRO AND COMMISSIONER MATEO, THIS IS ASKED TO BE CO-SPONSOR, SO WE'LL SHOW THAT.

OKAY.

PERFECT.

[02:25:03]

COMMISSIONER MATEO SALINAS, UH, WHICH ITEM WAS IT? UH, YOU'D LIKE TO, SO ACTUALLY I WAS, UM, ADVISED BY, UM, STAFF THAT THEY'RE NOT READY TO HEAR THIS.

IT WAS, UM, YOU WANNA BE, DO YOU WANNA BE A PRIME? SURE.

YEAH.

T WELL, IT WANTS TO TO BE A PRIME TOO ON THE, YEAH.

MONICA WANTS TO BE PRIME TWO ON THE, UH, FIELD SHOW COMMISSIONER.

I WILL GIVE HER A SHOUT OUT.

SHE WAS AN INCREDIBLE PARTNER AT THE WOODA PALOOZA AND HAD A LOT OF FUN AND GETTING OUT THERE.

YOU DID AMAZING, MONICA.

THANKS.

IT WAS, IT WAS FUN.

AND THANK YOU FOR CARRYING THE WEIGHT OF OUR TEAM BECAUSE I I DIDN'T SHE THE WEIGHT OF THE TEAM.

IT'S AMAZING.

YOU DID.

SHE, UH, PUN INTENDED.

SHE COMPLAINED A LOT LESS THAN THAN YOU, MR. CHAIR AT, AT THE EVENT I HAD FUN.

IF, IF SHE HAD A GREAT TIME PULLING OUT YOUR SHORT SHORTS IS COMPLAINING, THEN COLOR ME GUILTY.

WE'LL SHOW FOR THE RECORD, WE'LL SHOW MB 12 TO HAVE THREE CO CO PRIMES.

THANK YOU.

NORTH BEACH BEACH DESERVES A GYM.

SO HOW ABOUT NB NINE? NINE? YOU WANNA HEAR THAT FOR THE LIGHTING AT THE SECOND STREET DOG PARK? SURE.

UH, MB NINE DISCUSSIONS

[NB 9. DISCUSSION ON INSTALLATION OF ENHANCED LIGHTING AT THE DOG PARK LOCATED AT 201 2ND STREET.]

ON INSTALLATION OF ENHANCED LIGHTING AT THE DOG PARK LOCATED AT 2 0 1 SECOND STREET.

WHAT MD NINE LOUIS.

IT'S THE, IT'S THE TURF, THE PEN.

HI CINDY.

HI AFTERNOON.

ALRIGHT, SO THIS ITEM WAS, UH, TALKED ABOUT, I THINK IT WAS A DUAL REFERRAL TO NEIGHBORHOODS.

AND WE TALKED ABOUT IT BRIEFLY THERE.

AND THE IDEA WAS JUST TO PUT SOME WRAP LIGHTING ON THE TREES.

UM, BECAUSE THAT DOG PARK IS QUITE DARK AND, YOU KNOW, IN, AT NIGHT WHEN YOU GO IT CAN BE INTIMIDATING 'CAUSE IT'S A LARGE DOG, DOG PARK.

AND WHEN YOU WALK IN, YOU CAN'T REALLY SEE WHO'S SITTING IN THE BACK.

SO IT'S SCARY.

UM, AND YOU KNOW, AGAIN, IN THE WINTER MONTHS IT GETS DARK AT 6, 6 37, EXCUSE ME.

AND PEOPLE WANNA BE ABLE TO USE THE DOG PARK WHEN THEY GET OUTTA WORK.

SO CINDY, I'D LOVE TO HEAR WHAT YOU HAVE TO SAY ABOUT WRAPPING THE TREES.

A TREE OR TWO, I MEAN, NOTHING, IT DOESN'T HAVE TO BE THE FULL, YOU KNOW, BUT JUST A TREE OR TWO TO CREATE SOME LIGHTING IN THE BACK THERE, SO IT SEEMS A BIT SAFER.

OKAY.

THANK YOU FOR THE TEE UP.

UH, CINDY CASANOVAS, ASSISTANT DIRECTOR, PARKS, FACILITIES, FLEET AND BEACHES.

YES, YOU ARE CORRECT.

THIS, UM, ITEM WAS ORIGINALLY HEARD HERE, UM, IN FEBRUARY.

AND, UM, YOU ASKED US TO COME BACK, SHARPEN OUR PENCIL, SEE IF WE COULD COME BACK WITH A CHEAPER, UM, COST EFFECTIVE OPTION.

SO WHAT WE DID WAS WE WORKED WITH OUR, WITH OUR VENDOR AND WHAT WE HAVE BEFORE YOU IS A PROPOSAL TO WRAP, DO TREE, UM, WRAP LIGHTS ON 11 OF THE TREES IN THE DOG PARK.

UM, AND TOTAL ALL IN WRAPPING THE TREES.

THE INSTALLATION FOR THE INFRASTRUCTURE TO POWER THE LIGHTS.

UM, WE'RE LOOKING AT A TOTAL COST OF 75,630 BUCKS.

UM, IF WE GET A FAVORABLE RECOMMENDATION TODAY, WE WILL ADD IT TO OUR FIVE YEAR CIP PLAN AND WE'LL MOVE IT THROUGH, UM, AS PART OF THE BUDGET PROCESS FOR FISCAL YEAR 27.

IS, IS THIS GONNA, IS IT GONNA WRAP SIMILAR TO LIKE HOW THE LIGHTS ON MERIDIAN ARE LEFT? CORRECT.

WHAT COLOR? UH, IT WOULD BE THAT SAME WHITE, UM, COLOR.

WANNA DO AMBER? SURE.

YEAH.

I I MEAN AMBER, AMBER IS SO MUCH NICER.

IT'S SOFTER.

IT'S SWAY SOFTER BECAUSE I THINK THE LIGHTS, I THINK THE OTHER LIGHTS THERE ARE AMBER ALREADY, SO IT'D KIND OF BE OFF PLACE IF IT'S JUST LIKE A, A VERY HIGH TEMPERATURE WHITE.

YEAH, YEAH, WE CAN DO THAT.

I'M FINE WITH THAT.

AND ALSO YOU SAID 11 TREES, CINDY, 11, YOU KNOW, SO NICE.

IT, IT WILL LOOK NICE, BUT I'M FINE WITH REDUCING THAT TO A LITTLE BIT LESS JUST TO SAVE SOME COST, WHICH I KNOW THAT WE'RE ALL, YOU KNOW, VERY AWARE OF.

SO, YOU KNOW, ARE PALM TREES? SORRY, NO, THERE A VARIETY OF DIFFERENT TREES.

I I WILL SAY THIS IS THE ONLY DOG PARK THAT IS NOT WITHIN A PARK PROPER.

IT'S ITS OWN SEPARATE SPACE.

I MEAN, THE OTHER DOG PARKS THAT WE HAVE DON'T NECESSARILY HAVE, UM, LIGHTING WITHIN THE DOG PARKS AND THEY'RE LIT BY AMBIENT LIGHTS, WHICH IS MM-HMM .

THE ACORN LIGHTS OR SPILL OVER FROM OUR SPORTS LIGHTS.

SO, I MEAN, WE CAN DO 11, WE COULD DO FIVE, WE COULD DO SPLIT THE BABY AND DO HALF MM-HMM .

IT'S FINE.

YEAH.

'CAUSE I'M, I'M LOOKING ON HERE.

THERE'S BASICALLY THREE MAIN TREES HERE.

THERE'S ONE TO THE EAST OF THE WEST AND TO THE NORTH.

AND, AND THAT ONE TO THE, ON THE SOUTHWEST CORNER IS A BIG ONE.

YEAH.

IF I REMEMBER CORRECTLY.

MM-HMM.

UM, THAT ONE AND THE ONE ON THE SOUTHEAST CORNER IS ALSO FAIRLY LARGE.

AND THEN THERE'S UH, I THINK IT'S AN OAK TREE ON THE NORTH.

I MEAN, I THINK JUST THOSE THREE TREES NEED TO BE LIT UP.

I DON'T THINK WE NEED TO LIT UP, LET UP ANY, I DON'T SEE ANY PALM TREES HERE, BUT THE SMALLER TREES I DON'T THINK NEED TO BE LIT UP AS MUCH.

AND SOMETIMES LESS IS MORE, YOU KNOW, I THINK, UM, AND I THINK YOU'RE GONNA HAVE THE INTENT OF, UH, OF WHAT YOU'RE TRYING TO DO, WHICH IS MORE FOR, YOU KNOW, VISIBILITY.

OKAY.

SO WE'LL LOOK AT AMBER COLOR FOR THE LIGHTS AND WE'LL LOOK AT THE THREE BIGGER TREES IN THE, IN THE, IN THE PARK.

AND CINDY, I'M HAPPY TO DO A SITE VISIT WITH YOU.

WE CAN GO OVER THERE.

UM, IT DOESN'T HAVE TO BE AT NIGHT, BUT WE CAN JUST MAYBE

[02:30:01]

IDENTIFY AND BECAUSE FAIR POINT.

BUT I JUST WANNA MAKE SURE THAT BACK AREA IS LIT BECAUSE THAT'S WHERE IT GETS SCARY WHEN YOU CAN'T SEE TO THE BACK OF THE PARK.

BUT WE, WE CAN JUST DO A SITE VISIT AND FIGURE THIS OUT.

OKAY.

THANK YOU.

THAT'S GOOD.

AND WHAT WOULD ALSO HELP WITH SAFETY IS IT'LL LOOK BEAUTIFUL NEXT TO, UH, THE ABANDONED HOSTEL THAT THE HPB WOULD LIKE US TO KEEP INSTEAD OF ACTUALLY HAVING, UH, AMENITIES FOR SCHOOLS THAT, THAT'S, THAT'S JUST GREAT FOR THE NEIGHBORHOOD.

RIGHT.

SAY THAT IN DISCUSSED.

OKAY.

IF I CAN JUST TO, TO, TO LAND IT HERE.

UM, 'CAUSE IT WOULDN'T BE CAPITAL, IT WOULD BE OPERATING ON THIS COST.

SO, UM, WOULD THIS BE THROUGH THE BUDGET PROCESS? IS THIS TO BE ADDED AS AN ENHANCEMENT OR TO BE A BUDGET PRIORITY AS A BUDGET ENHANCEMENT? I WOULD JUST NEED TO KNOW FROM THE COMMITTEE FOR THE PUBLIC WHAT IS, WHAT'S THE DIFFERENCE? WELL, WE TRY, WE DO, WE DO OUR BEST, UH, WHEN WE ARE AVAILABLE DOLLARS TO FUND A BUDGET PRIORITY, IT JUST KIND OF GIVES US A LITTLE MORE EMPHASIS TO TRYING TO FUND THAT ITEM.

UH, 'CAUSE AS OF RIGHT NOW, THE BUDGET ENHANCEMENT DOESN'T EVEN EXIST.

SO THE FIRST STEP WOULD BE IS IF WE SAY WE'RE OKAY WITH IT BEING A BUDGET ENHANCEMENT TO BE CONSIDERED THE BUDGET PROCESS.

OR DO YOU WANNA BE A BUDGET PRIORITY? BUDGET ENHANCEMENT KIND OF GIVES A LITTLE BIT MORE, UH, WEIGHT.

WELL, I THINK I, I MEAN I WANNA SEE THE RIGHT THERE.

I WOULD LOVE, I THINK THE, THE PEOPLE THERE WOULD LOVE TO SEE THE LIGHTS.

UM, I MEAN IT'S SOMETHING, A SPONSOR.

YEAH, I, I'D LIKE IT TO BE A BUDGET PRIORITY AS WELL.

UM, AND I, I'LL TRY, YOU KNOW, I THINK WE CAN REDUCE THE COST TO EVEN MAKE IT EVEN MORE, YOU KNOW, MODERATE.

SO YEAH.

A BUDGET PRIORITY, JASON.

OKAY.

SO WE SHOW IT AS A RETURN TO COMMISSION OF FAVOR RECOMMENDATION TO FUND LIGHTING AT THE, AT THE 2 0 1 SECOND STREET DOG PARK, UH, AS A BUDGET PRIORITY AS PART OF THE 27 BUDGET PROCESS.

AND I NEED A, A MEMBER TO MAKE THE MOTION A SECOND.

I'LL MOVE IT.

COMMISSIONER SU SUAREZ SECOND.

I'LL SECOND.

ALL IN FAVOR? AYE.

AYE.

ITEM PASSES THREE.

NOTHING.

THANK YOU.

THANK YOU.

AND I'M

[NB 10. DISCUSS CHANGING THE SURFACE TO ARTIFICIAL GRASS AT THE DOG PARK LOCATED AT SOUTH POINTE PARK, AS RECOMMENDED BY THE PARKS AND RECREATIONAL FACILITIES ADVISORY BOARD (LTC 542-2025), AND TO ALSO DISCUSS CHANGING THE SURFACE TO ARTIFICIAL GRASS AT THE DOG PARK LOCATED AT MAURICE GIBB PARK FOR THE SAME REASONS, INCLUDING REDUCING MAINTENANCE FREQUENCY AND ASSOCIATED COSTS.]

GOING TO HEAR NB 10.

UM, IT IS FROM COMMISSIONER FERNANDEZ.

I DON'T KNOW IF HE'S OUT THERE IN THE ABYSS SOMEWHERE.

I TYPICALLY WOULDN'T HEAR YOUR ITEM WITHOUT YOU HERE.

BUT WE DO HAVE MEMBERS OF THE PUBLIC AND I THINK WE'RE ALL VERY MUCH ALIGNED, UH, WITH THIS.

I GUESS FOR THE OBVIOUS QUESTION, IT SEEMS LIKE WE'RE MOVING TOWARDS THIS AT EACH OF THE PARKS, RIGHT? I KNOW IT STARTED AT BELL ISLE, VERY SUCCESSFUL.

AND I KNOW YOU WERE AN INSTRUMENTAL PART IN THAT.

COMMISSIONER DOMINGUEZ, I LOVE THAT WE'VE DONE IT AT FIVE PARK.

UH, IS THIS SOMETHING THAT WE SHOULD BE THINKING ABOUT IMPLEMENTING FROM JUST THE ONSET FOR SOME OF OUR NEW PARKS? BECAUSE FIVE PARKS ARE RELATIVELY NEW.

MAKI PARK IS NEW AND NOW WE'RE KIND OF CHANGING.

SHOULD I THINK WE EVEN HAVE AN, UH, AND I KNOW YOU'RE YELLING AT ME 'CAUSE WE DIDN'T INTRODUCE IT.

YOU CAN INTRODUCE, I FEEL THE PRESSURE, UM, , I, I SEE YOUR ANXIETY, UH, BAYSHORE PARK EVEN.

BUT SHOULD WE THINK ABOUT HAVING A POLICY, IF THIS IS THE DIRECTION WE'RE MOVING, THAT THIS IS JUST HOW, UH, DOG PARKS ARE COMPLETED FROM THE BEGINNING.

MR. CFO ALLOW YOU TO INTRODUCE.

THANK YOU.

UH, TWO.

SO YES, I WILL INTRODUCE THE OTHER IS, UM, THE COMMISSIONER YES, I KNOW WASN'T, NOT ABLE TO BE PRESENT AND HE DID, UH, EMAIL A FEW THAT HE WANTED DEFERRED AND THIS WASN'T ONE OF THE ONES HE MENTIONED.

SO I ASSUME THAT IT WAS OBVIOUSLY HE WAS OKAY WITH THAT.

UM, BUT MB 10 DISCUSSED CHANGING THE SURFACE, UH, TO ARTIFICIAL GRASS AT THE DOG PARK LOCATED AT SOUTH POINT PARK, AS RECOMMENDED THE PARK BY THE PARKS AND RECREATION FACILITIES ADVISORY BOARD LTC 5 42 DASH 2025.

AND TO ALSO DISCUSS CHANGING THE SURFACE OF ARTIFICIAL GRASS AT THE DOG PARK LOCATED AT MAURICE GIBB PARK FOR THE SAME REASONS, INCLUDING REDUCING MAINTENANCE FREQUENCY AND ASSOCIATED COSTS.

AND B 10.

GOOD MORNING, CINDY CASANOVAS AND DIRECTOR OF PARKS FACILITIES, FLEET AND BEACHES.

UM, UH, CHAIR TO YOUR POINT, YES.

UM, THERE IS ACTUALLY A COMPANION ITEM THAT IS IN, UM, COMMITTEE OR IS WILL BE HEARD AT COMMITTEE SOON TO LOOK AT CHANGING THE SURFACE AT ALLISON PARK, AT DOG PARK OVER AT ALLISON PARK TO ARTIFICIAL GRASS.

AND THE, UM, THE GREEN SPACE ON, I THINK IT'S RU VAN DOME BURS AND BREAST ESPLANADE TOO.

SO YES, THERE IS A MOTION NOW TO MOVE FORWARD TO HAVE MORE OF THESE DOG PARKS CONVERTED TO ARTIFICIAL GRASS.

BUT FOR THE SAKE OF THIS ITEM, THIS IS TO DISCUSS CHANGING THE SURFACE OVER AT THE SOUTH POINT PARK DOG PARK AND THE MARIE SKIP, UH, DOG PARK TO ARTIFICIAL TURF.

AS YOU ALL ARE AWARE, DOG PARKS ARE ONE OF OUR HIGHEST, UM, UTILIZED AMENITIES IN OUR PARK SYSTEM.

THEY GET A LOT OF WEAR AND TEAR.

UM, AND WITH NATURAL SOD COMES, YOU KNOW, THE UNINTENDED CONSEQUENCES OF HAVING SOD YOU HAVE TO SHUT IT DOWN FOR PERIODS OF TIME BECAUSE IT NEEDS TO, YOU NEED TO RECEDE, YOU NEED TO RECRE SOD.

THERE'S A LOT OF MAINTENANCE COSTS, UM, IN TRYING TO UPKEEP NATURAL SOD.

SO WE'RE, WE'RE ALIGNED IN MOVING FORWARD WITH, UM, MOVING TOWARD, UH, ARTIFICIAL TURF.

WE'VE SEEN THE SUCCESS OF IT AT BELL ISLE PARK, ALSO AT CANOPY

[02:35:01]

PARK.

UM, SO WHEN WE LOOKED AT THESE TWO PROJECTS, WHAT WE'RE LOOKING AT FOR THE REPLACEMENT OF THE TURF AT SOUTH POINT PARK, WE'RE LOOKING AT AN OVERALL COST OF $203,000 AND WE'RE LOOKING AT A COST TO REPLACE THE TURF AT MARIE SKID PARK.

UM, IT'S A LITTLE OVER $151,000.

UM, THIS IS THE SMALL OPEN UNFENCED DOG PARK? CORRECT.

AND IT'S 200, WHAT'S THE LIFESPAN ON IT? I'M SORRY? WHAT'S THE LIFESPAN OR WHAT'S THE, ON ARTIFICIAL TURF, YEAH.

OH, QUITE SOME TIME.

UM, AND OUR O AND M COSTS, ONCE YOU HAVE IT IN PLACE, UM, IT'S MINIMAL.

IT'S MAYBE ABOUT 4,000, 5,000 A YEAR.

SO THE ONLY, AND I, I SHOULD HAVE RAISED THIS BEFORE, BUT, AND, AND I'M FULLY SUPPORTIVE, I THINK THIS IS A GREAT IDEA BECAUSE, YOU KNOW, WHAT HAPPENS IS YOU, YOU HAVE TO WAIT LIKE ALMOST TWO WEEKS FOR THE, THE REPLACEMENT OF GRASS.

UM, BUT THE ARTIFICIAL TURF ITSELF, IS THERE A MATERIAL THAT WE CAN USE THAT DOESN'T, I GUESS, COME OFF BECAUSE, YOU KNOW, DOGS LIKE TO SCRATCH THE FLOOR AND THAT'S PLASTIC AND IT COULD END UP IN THE WATERWAY.

SO WHAT DO WE, IS IS THERE A MATERIAL THAT IS I GUESS, ENVIRONMENTALLY FRIENDLY THAT WE CAN OPT IN FOR? I THINK WHAT WE HAVE, UM, I THINK WHAT WE HAVE CURRENTLY MEETS THAT CRITERIA, UM, I'LL USE THE BELL PARK, UH, DOG PARKS, UH, AS AN EXAMPLE.

UM, SO IT IS THE ARTIFICIAL TURF AND UNDERNEATH THE TURF SYSTEM, UM, THERE'S AN ACTUAL IRRIGATION AND A SANITIZATION SYSTEM.

SO NOT ONLY DOES IT, YOU KNOW, CLEAN ITSELF, YOU KNOW, PERIODICALLY AT NIGHT, UM, BUT THE ACTUAL MATERIAL ITSELF DOESN'T, DOESN'T, DOESN'T HAVE THOSE GRANULES THAT YOU'RE THINKING OF, LIKE WHEN YOU LOOK AT AN ARTIFICIAL TURF FOR THE SOCCER FIELD OR A FOOTBALL FIELD.

SO I THINK WE ACCOMPLISH THAT WITH WHAT WE'RE PROPOSING, UM, WITH THESE CHANGEOVERS.

OKAY.

SO THERE'S A CERTAIN STANDARD YES.

FOR NEXT TO MARINE WATERWAYS.

WE, WE CAN LOOK AT THAT WITH THE VENDOR.

I DON'T KNOW SPECIFICALLY IF THERE'S, YOU KNOW, I, I BELIEVE SO, BUT WE'LL CHECK WITH THE VENDOR THAT WE'VE BEEN WORKING WITH TO MAKE SURE THAT THAT'S NOT AN ISSUE.

OKAY.

YEAH.

'CAUSE I DON'T WANT TO, YOU KNOW, I DON'T WANNA SEE RESIDENTS COMPLAIN LIKE, OH, WELL YOU'RE JUST PUTTING PLASTIC INTO THE, INTO THE WATERWAY.

UNDERSTOOD.

SO, SO THEY, THEY ACTUALLY, THERE, THERE, IT'S, IT'S, IT'S, IT CLEANS ITSELF.

MM-HMM .

YEAH.

THERE'S A, LIKE, IT'S A UNDERGROUND SYSTEM THAT SHOOTS UP AND SANITIZES THE, THE DOG PARK CLEANS IN WATER.

IT'S NOT JUST, SO IT'S NOT JUST YOU'RE LAYING ON, UH, TURF.

IT'S, THERE'S LIKE, THERE'S, THERE'S INFRASTRUCTURE MM-HMM .

YES.

OKAY.

COOL.

GREAT.

ALRIGHT, WELL, I'LL MOVE THE ITEM.

I'LL SECOND IF I, IF I CAN ASK, JUST BECAUSE THESE WOULD BE TWO SEPARATE CAPITAL PROJECTS, RIGHT.

FOR THESE TWO LOCATIONS, UM, AS WE OFTEN TALK ABOUT WITH THE CAPITAL PROJECTS, I KNOW WE DID THIS WITH, UM, I SAY PICKLEBALL COURTS WAS, AS OF RIGHT NOW, THEY'RE NOT PART OF OUR CAPITAL PROGRAM.

UH, SO WOULD THE MOTION BE TO ADD IT TO OUR CAPITAL PROGRAM, WHICH WOULD BE AS TYPICAL TO BE ADDED INTO OUR, OUR FIFTH YEAR AS WE ADD NEW AS WE TYPICALLY ADD, UH, CAPITAL PROJECTS? OR IS THIS TO MOVE TO THE FRONT OF THE LINE AND TO BE A BUDGET PRIORITY AS PART OF THE, UH, THE 27, UH, PROGRAM? WHETHER IT'S A PRIORITY OR NOT, LET'S AT LEAST HEAR IT AS PART OF THIS YEAR'S BUDGET PROCESS.

ALL RIGHT.

SO WE'LL SHOW IT.

I, I DON'T THINK WE HAVE TO GET OVERLY, UH, DEEP ON I UNDERSTAND LABELING THINGS A PRIORITY OR NOT.

AT THE END OF THE YEAR, WE'RE GONNA HAVE A SMORGASBOARD OF ITEMS. YEAH.

AND WE'RE GONNA SAY WHATEVER, IT DOESN'T MATTER.

WHAT WAS THE PRIORITY OF MARCH VERSUS, YOU KNOW, WHEN WE GO THROUGH THE BUDGET, WE'LL SAY WE HAVE 50 PROJECTS, WE HAVE FUNDING FOR 10.

YEAH.

AND IT DOESN'T MATTER WHAT WAS THE PRIORITY AND WHAT'S NOT.

OKAY.

SO WE'LL, WE'LL SHOW THIS.

THE RETURN TO COMMISSION WITH A FAVORABLE RECOMMENDATION TO FUND, UH, UH, CAPITAL PROJECTS, UH, FOR THE INSTALLATION OF ARTIFICIAL GRASS AT DOG PARKS AS PRESENTED AS PART OF THE 27 BUDGET PROCESS.

UH, WHO'S MAKING THAT MOTION? I BELIEVE COMMISSIONER SUAREZ DIDN'T.

COMMISSIONER DOMINGUEZ SECONDED.

OKAY.

ALL IN FAVOR? AYE.

PASSES THREE OUT.

THANK YOU.

SARAH.

I KNOW THAT THE PARKS DEPARTMENT WANTED TO PUT THE, THE ASTROTURF IN MAURICE GI, BUT WE COULD NOT DO IT BECAUSE WE HAD THE PERMITS AND EVERYTHING THAT WAS GOING ON.

THEY DIDN'T WANNA PUT CHANGE ORDERS AT THAT TIME.

AND STILL, WE STILL HAVE THE DURHAM ISSUE.

THAT IS A ONE YEAR NOW IN APRIL, ONCE IT'S CLOSED, THEN ABLE TO DO OTHER PROJECTS IN THE PARK.

OKAY.

BUT I KNOW THAT THAT WAS THE TOTAL INTENT TO HAVE THAT BECAUSE WE REQUESTED AND THE ONE IN BELL ISLAND, IT'S GREAT.

I'VE VISITED, I VISITED WITH THE DOGS.

THEY, AND HE'S BEEN THERE FOR A WHILE.

THERE'S NO HOLES OR ANYTHING.

AND HE KEEPS VERY, VERY CLEAN.

IT'S ACTUALLY WOULD BE REALLY GREAT.

IT WOULD BE SOMETHING ADOPTED FOR ALL THE PARKS WOULD BE MAYBE WE COULD HAVE SOME LIVE DJ PERFORMANCES OUT THERE.

YEAH.

.

EVEN THOUGH I HAVE CATS, I GO THERE.

OR NOT.

THANK YOU SARAH, AS ALWAYS.

UM, OKAY.

SO WE'LL SEE THAT CLOSED OUT.

LET, LET'S DO, UH, MB 13 STAYING ON THE, UH, CATS AND DOGS THEME.

SURE.

MB

[NB 13. DISCUSS AND TAKE ACTION REGARDING THE POTENTIAL CREATION OF A PROGRAM FOR MIAMI BEACH RESIDENTS TO ADOPT DOGS AND CATS FROM MIAMI-DADE SHELTERS, WHERE ADOPTEES CAN BE REIMBURSED OR PROVIDED VOUCHERS FOR CERTAIN VETERINARY BILLS AND FOOD FOR THE FIRST YEAR]

[02:40:01]

13, DISCUSS AND TAKE ACTION REGARDING THE POTENTIAL CREATION OF A PROGRAM FOR MIAMI BEACH RESIDENTS TO ADOPT CATS AND DOGS FROM IV SHELTERS WHERE ADOPTEES CAN BE REIMBURSED OR PROVIDED VOUCHERS FOR CERTAIN VETERINARIAN BILLS AND FOOD FOR THE FIRST YEAR AND B 13.

SO, UM, I THINK, YOU KNOW, WE, WE DID THIS PROGRAM AND I ACTUALLY TOOK IT OUT OF A, OF A FUND FROM, UH, MY OFFICES, UM, EXPENSES.

AND I, I, I DON'T HAVE A PROBLEM JUST UTILIZING THAT FUND AS, AS, UM, AS A, AS A MEANS TO FUND THIS PROJECT SO WE DON'T HAVE TO YEAH, IT'S A ACTUALLY GREAT POINT.

SO WE DO HAVE, UH, LIKE OUR OFFICE EXPENSE FUND, RIGHT? AND PART OF THAT COULD BE, I THINK IT WAS COMMISSIONER ROSE GONZALEZ'S INITIATIVE, WHERE IT'S LIKE, FOR CONTINUED TRAINING OR CONFERENCES, MAYBE WE COULD THINK ABOUT USING THAT FOR LAKE PUBLIC BENEFIT PROJECTS AROUND TOWN INSTEAD OF FLYING TO YEAH.

SWITZERLAND FOR OUR BASEL, YOU KNOW, I'D RATHER PUT IT TOWARDS MUSSEL BEACH AND, YOU KNOW, SOME SORT OF EQUIPMENT.

I DID THAT LAST YEAR, SO, WELL, I WENT TO ART PUZZLE, BUT I PAID FOR IT MYSELF.

OH NO, I DIDN'T.

BUT, UM, I SPENT $1,500 FOR FEDERATION TOWERS TO HAVE BINGO LAST YEAR, AND I TOOK IT FROM THAT ACCOUNT.

YEP.

AND I ALSO DID, UM, AN EVENT FOR THE F UH, APPRECIATION EVENT FOR THE SANITATION DEPARTMENT, AND IT CAME OUT OF THAT ACCOUNT TOO.

YEAH, THAT'S A COOL IDEA, RIGHT? YEAH.

AND THAT, AND, AND THAT'S WHAT I DID FOR THE LAST PET ADOPTION WE DID, UM, IN MAURICE GIBB.

WELL, ONLY UNFORTUNATELY, ONE DOG GOT ADOPTED, BUT, YOU KNOW, IT IS WHAT IT IS.

YEAH, NO, IT WAS, IT WAS ONE DOG.

IT WAS BY MY AIDE.

.

UH, VALENTINA.

UM, BUT YEAH, I, I DON'T NEED TO, I'M NOT, I DON'T WANT TO RAISE TAXES OR, OR FUND THIS.

I'LL JUST USE IT FOR MY OWN OFFICE THAT GETS MONEY AND, UM, YOU KNOW, ANYONE ELSE WHO WANTS TO KIND OF, IT'S, IT'S, IT'S NOT, I I IT'S NOT, IT VERY UNFORTUNATELY, IT'S VERY HARD TO, UH, GET PEOPLE TO ADOPT DOGS.

UM, SO I DON'T REALLY THINK IT'S GONNA SORT OF BREAK THE BANK.

OKAY.

SO WE CAN JUST SHARE THE ITEM.

NO, I, I HAVE A COMMENT.

I'M SORRY, JASON, REAL QUICK.

UM, AGAIN, YET AGAIN, I WANNA POINT OUT THAT THIS IS ANOTHER GREAT, ONE OF MY, THE IDEA THAT I HAD THAT ITEM, WHY AREN'T WE REACHING OUT TO CHEWY TO SAY, HEY, CHEWY DOG FRUIT, YOU KNOW, THEY'RE A PET SUPPLY OR PETCO, DO YOU WANNA DO THIS EVENT IN MIAMI BEACH? AND AGAIN, IT'S A WIN-WIN.

IT'S MARKETING FOR THEM.

IT HELPS, YOU KNOW, AND I, AND I WISH, AND I HATE TO SUGGEST THAT WE HIRE SOMEONE TO DO THIS, BUT YOU KNOW, THIS IS A GREAT MARKETING CAMPAIGN WHERE WE CAN HAVE ALL THESE, YOU KNOW, PARTNERSHIPS, THESE CORPORATE PARTNERSHIPS WHERE WE'RE, YOU KNOW, GETTING THEM TO INVEST IN OUR CITY AND OUR PROGRAMS AND OUR, YOU KNOW, IN, IN WHATEVER WAY.

AND IT'S ALWAYS WIN-WIN.

SO THERE'S JUST SO MANY OPPORTUNITIES HERE.

AND I JUST WANNA REITERATE THAT TWO, TWO P'S AND A POD COMMISSIONER.

'CAUSE UM, TOTALLY, TOTALLY AGREE WITH YOU.

UH, THE WAY I STRUCTURED THE, THE, THE ONE EVENT THAT HAPPENED AT MURRAY'S GIBB, I THINK YOU WERE ALSO THERE, IS THAT, UH, I HAD ROYAL VET MATCH MM-HMM .

UM, ON A THREE TO ONE OR A THREE TO TWO BASIS.

SO FOR EVERY, UM, $2 THAT I MATCHED FROM MY OFFICE'S FUND, THEY WOULD MATCH $3 OF VETERINARY CARE UP TO, I BELIEVE IT WAS LIKE $500.

AND SO WHAT HAPPENS, UH, YOU KNOW, UM, OUR, OUR LOCAL VET TOOK PART.

THEY'RE WILLING TO GIVE, I THINK, UH, YOU KNOW, UP TO $500 IN VETERINARY CARE AS A VOUCHER.

AND, UM, YOU KNOW, THEY, THEY COVER, THEY MATCH SOME OF THE COSTS FOR IT.

SO IT'S A GREAT IDEA.

I LOVE THE IDEA FOR IT'S PERFECT.

YEAH, IT'S PERFECT.

UM, AND THERE'S NATIONAL BRANDS THAT WE CAN USE AS WELL AS OUR LOCAL VETERINARIANS AND, AND STUFF LIKE THAT.

BUT, BUT I'M, THE MISSING PIECE HERE THOUGH IS THAT WE DON'T HAVE A POINT PERSON ON CITY STAFF WHERE WE'RE LIKE, YOU KNOW, YOU GO TO THEM AND YOU SAY, HEY, I WANNA DO THIS, CAN YOU REACH OUT TO CHEWY? AND THEY NEGOTIATE THAT.

WE DON'T HAVE THAT YET, BUT THAT IS WHAT I WAS HOPING THAT MY ITEM WOULD DO.

AND I, I'VE UNDER, I'VE SPEAKING WITH MELISSA BURIER ABOUT SOME WAYS, YOU KNOW, BECAUSE THEN, YOU KNOW, DO WE HIRE A CONSULTANT THAT TAKES A FEE OUT OF WHATEVER WE BROKER, BROKER, OR DO WE HAVE SOMEONE ON STAFF? SO IT'S VERY COMPLICATED.

AND I'VE BEEN SPEAKING WITH MELISSA ABOUT IT A LITTLE BIT, BUT I THINK I WANNA DO MORE OF THESE ALMOST LIKE A BRAND LIAISON FOR, OR A PARTNERSHIP, A CORPORATE PARTNERSHIP MANAGER OR, YOU KNOW, BUT I MEAN, WE COULD REALLY GENERATE SOME REVENUE FOR US IF WE DO THIS WITH MULTIPLE DIFFERENT EVENTS AND, YOU KNOW, MARKETING OPPORTUNITIES.

AND THEN, YOU KNOW, AGAIN, WHAT IF CHEWY, WHAT IF WE WERE ABLE TO WORK OUT SOMETHING WITH CHEWY WHERE THEY SAID, YOU KNOW WHAT, WE'RE GONNA GIVE YOU $50,000 TO REACH HER, ALL OF OUR DOG PARK OR WHATEVER.

I DON'T KNOW THE NUMBER.

AND YOU KNOW, WE JUST WANT TO HAVE A SIGN THAT SAYS, THIS PARK WAS BROUGHT TO YOU BY CHEWY.

I DON'T KNOW.

YEAH.

OR BARKBOX.

YEAH.

YEAH.

OR ANY OF 'EM.

I MEAN, YOU KNOW, PETCO, SO HOW DO WE START THAT? WELL, WE DO HAVE THE CAT PROGRAM WITH THE CAT PROGRAM COORDINATOR.

THAT'S

[02:45:01]

NOT A STAFF MEMBER.

YEAH.

WE DON'T WANNA TALK ABOUT THE CATS AND I, I WILL SAY, I SAW IN THE MEMO, UH, COMMISSIONER SUAREZ, YOUR SUGGESTION TO TAKE THE STORAGE CONTAINER FROM THE CAT LADIES FOR MUSEL BEACH.

I'M ADAMANTLY AGAINST THAT , I SUPPORT OUR CAT LADIES.

UH, APPARENTLY YOU DO NOT, BUT I JUST WANT TO HAVE THAT ON RECORD.

UH, COMMISSIONER, UH, I'M SORRY.

UH, ASSISTANT CITY MANAGER, MARIA, UH, DO YOU WANT TO LET US KNOW WHO THE POINT PERSON IS FOR SPONSORSHIPS? I KNOW YOU WEAR A LOT OF HATS, UM, FOR SPONSORSHIPS.

WELL, I MEAN, UH, WE HAVE A LOT OF SPONSORSHIPS THROUGH OUR ECONOMIC DEVELOPMENT DEPARTMENT, AND WE ALSO HAVE THEM THROUGH TOURISM AND CULTURE.

BUT I THINK THIS, UM, THIS, UH, FOR CHEWY, YOU MEAN? UM, NO, JUST IN GENERAL.

YEAH.

AND, AND, AND COMMUNICATIONS ALSO GETS INVOLVED SOMETIMES IN THESE THINGS, BUT, UM, I WOULD HAVE TO THINK ABOUT THIS ONE.

UM, MAYBE IT WOULD BE MORE ECONOMIC DEVELOPMENT.

SOMEONE'S TEXTING ME.

, UH, , UM, ECO EITHER ECONOMIC DEVELOPMENT OR MARKETING.

OKAY.

UM, YEAH, MAYBE, UH, YEAH, LIKE EVEN THE, EVEN THE, EVEN THE ITEM WITH THE LIGHTING OF THE DOG PARK.

YEAH.

THE DOG PARK IS PARKS USUALLY, UH, IS INVOLVED WITH THE DOG PARKS.

WE WOULD HAVE TO KIND OF THINK WHERE THIS WOULD APPROPRIATELY AND IF I, THERE SHE IS.

YEAH.

I MEAN, I SAW HER OUTSIDE, SO I KNEW SHE WAS GONNA JUMP IN .

I JUST LIKE WHERE COMMISSIONER MATEO SALINAS IS GOING IS LET'S, THE KNEE JERK REACTION IS TO JUST, YOU KNOW, LET'S, LET'S TAX AND HAVE THE RESIDENTS PAY FOR THING.

BUT I'M SURE THERE'S, YOU KNOW, SITUATIONS OUT THERE WHERE OTHER COMPANIES ARE MORE THAN WILLING TO, YOU KNOW, MAYBE HAVE A LITTLE PLAQUE JUMP ON BOARD THAT IS BROUGHT TO YOU BY, YOU KNOW, CHEWY OR BARKBOX AND, UM, I THINK THEY, THEY WOULD LOVE THAT OPPORTUNITY AT LEAST.

MM-HMM .

WHAT, WHAT DO YOU WANNA SAY, MELISSA? YES, DEFINITELY.

SORRY.

UH, YEAH, I'M, I AM GONNA BE MEETING WITH THE CITY MANAGER ECONOMIC DEVELOPMENT DEPARTMENT.

UM, AND IT DEPENDS ON THE LOCATION.

'CAUSE I KNOW THERE'S SOME AREAS LIKE PARKS FOR EXAMPLE, THAT I BELIEVE ARE EXEMPT.

UM, BUT WE'LL LOOK INTO THAT AND WE'RE GONNA BE MEETING SHORTLY, MAYBE LIKE THE BEGINNING OF THE PARK, MAYBE WHEN THEY, BEFORE THEY EVEN GET THE, IF I MAY YOU THE CHAIR THERE, THERE ARE ALSO PROBABLY SOME LEGAL CONSIDERATIONS IN TERMS OF WHO CAN DO WHAT, WHETHER COMMISSIONERS SHOULD BE REACHING OUT, WHETHER IT SHOULD BE THROUGH THE CITY, WHAT DIRECTION.

SO I'D, I'D LIKE TO, AND UH, THIS CAME UP IN CONNECTION WITH THE, THE TECHNO GYM ITEM AS WELL.

I WANT TO HAVE MY STAFF LOOK INTO, UH, THE, THE APPROPRIATE LEGAL MECHANISMS TO DO ANY OF THESE SPONSORSHIPS.

THANK YOU.

AND ALL I ASK IS THAT, YOU KNOW, AS YOU EXPLORE THIS WITH THE CITY MANAGER, JUST A POINT PERSON, ONE POINT PERSON, SO THAT WAY, YOU KNOW, IT ALL FUNNELS THROUGH THAT PERSON, WHETHER IT'S TOURISM OR ECONOMIC DEVELOPMENT OR MARKETING OR PARKS OR WHEREVER MM-HMM .

BUT THAT WAY, YOU KNOW, AS THESE COME, YOU KNOW, MAYBE I WANNA SAY, HEY, THE FLAMINGO PARK TURF, YOU KNOW, LET'S APPROACH ADIDAS TO SEE IF THEY WANNA HELP FUND THAT.

AND WE CAN, YOU KNOW, SO JUST A POINT PERSON IS REALLY WHAT I'M LOOKING FOR SO WE CAN EXPLORE THESE WONDERFUL IDEAS.

AGREED.

THANK YOU, MELISSA.

THANK, I THINK CHAIR, I THINK, AND MARIA, YOU THINK THERE, I THINK THERE IS A, A, A STANDING RES THAT WAS APPROVED BY COMMISSION, UH, PREVIOUSLY ON THIS SPECIFIC TOPIC.

SO I DON'T THINK A, AN ADDITIONAL ONE IS, IS IS FINE, BUT OBVIOUSLY YOU REVISIT.

BUT I THINK FOR THE PURPOSE OF THIS ITEM, I THINK, UH, IN HEARING THE SPONSOR, I THINK WE CAN SHOW THE ITEM HEARD AND CLOSED, BUT I THINK THAT THE STAFF HAS HEARD THE REINFORCEMENT OF THAT PRIOR COMMISSION RESO.

SO WE'LL SHOW THE ITEM HEARD AND CLOSED.

THANK YOU.

AND, AND I THINK WE'RE GONNA WRAP UP HERE, MR. CFO, BUT DO JUST WANT TO, UM, THERE'S SOME THAT'LL FALL OFF, UH, PARTICULARLY SOME OF THE PARKING INITIATIVES, UH, BY COMMISSIONER FERNANDEZ, BUT WATCHING THE NEIGHBORHOOD AND PUBLIC SAFETY MEETING THE OTHER DAY, I BELIEVE HE HAS AN ITEM THAT WOULD ALMOST SUPERSEDE, UH, SOME OF THAT.

IS THAT YOUR UNDERSTANDING? MY UNDERSTAND, UH,

[NB 4. DISCUSS AND CONSIDER A REDUCED PARKING RATE FOR MIAMI BEACH WORKFORCE, INCLUDING HOSPITALITY EMPLOYEES.]

HE HAS WITHDRAWN MB FOUR, WHICH WAS THE WORKFORCE PARKING SOLUTIONS.

THE ONLY ONE THAT WOULD FALL OFF RELATED TO PARKING WOULD BE THE C FREE CITY HALL PARKING, WHICH HAS BEEN BEEN ON THE, UH, JENNIFER QUITE A WHILE.

YEAH.

UM, AND THAT ONE WOULD FALL OFF.

'CAUSE I KNOW WE'VE DISCUSSED THAT BEFORE ABOUT THE INABILITY TO DO THAT.

REALLY.

YEAH.

YEAH.

OKAY.

AND I THINK THAT'S THE ONLY PARKING RELATED ONE THAT WOULD, UH, FALL OFF.

SO CAN WE OPEN AND CONTINUE NB SIX? UH, WHERE DOES THAT STAND LEGALLY? THERE WERE SOME LEGAL CONSIDERATIONS THERE.

WERE THEY NOT? UH,

[NB 6. DISCUSS EARMARKING FUNDS COLLECTED BY THE CITY FROM SPEED DETECTION SYSTEMS IN SCHOOL ZONES, PURSUANT TO SECTION 316.1896, FLORIDA STATUTES, FOR THE USE OF PUBLIC/PEDESTRIAN/BICYCLIST SAFETY INITIATIVES.]

MB SIX, UH, FOR THE CITY ATTORNEYS, UH, IS THE SPEED ZONE, UH, DETECTION FUNDING? UH, I THINK THERE IS DIRECTION, MY UNDERSTANDING TO MOVE FORWARD WITH THAT.

AND, UH, BUT THIS PARTICULAR ITEM WAS IF AND WHEN IT DOES EVER GET IMPLEMENTED, WHAT TO DO WITH THE FUNDING.

THE FUNDING, UH, DOESN'T THINK HAVE TO BE RELATED TO PUBLIC SAFETY.

UM, AND THE ADMINISTRATION'S RECOMMENDATION ON THIS ITEM, AND THIS ISN'T MY REPRESENT TECHNICALLY, BUT IF I RECALL CORRECTLY, WAS IF WE WERE GONNA DO, UH, GET ANY FUNDING FOR THIS, WE COULD DIRECT IT TOWARDS, UM, SCHOOL CROSSING GUARDS FUNDING, WHICH ALSO COMES OUTTA THE GENERAL FUND, BUT

[02:50:01]

AT THE END OF THE DAY, IT, IT WOULD JUST BE GENERAL FUND MONEY.

SO THERE DOESN'T NEED TO BE A DIRECTION FROM THE COMMISSION ON WHAT TO DO, UH, NECESSARILY WITH THESE, THESE REVENUES IF AND WHEN THEY EVER COME IN.

WELL, IF I MAY THROUGH THE CHAIR, UM, THE, THE STATUTE DOES LIMIT WHAT THE REVENUES COULD BE USED FOR.

SO AS LONG AS WE ARE KEEPING TRACK OF THAT, THEN YOU'RE RIGHT.

MONEY IS FUNGIBLE.

SO AS, BUT AS LONG AS WE'RE KEEPING TRACK THAT WE'RE EXPENDING, UH, THE FUNDS THAT ARE COLLECTED FOR THE PURPOSES OF FORTH IN THE STATUTE, WE YES.

AND WE'VE LOOKED AT THAT AND WE BELIEVE THAT WE, WE SPEND SIGNIFICANTLY MORE THAN WHAT WOULD BE ALLOWED OF THE STATUTES.

SO WE WOULD HAVE NO KIND OF MATCHING ISSUE, UH, I THINK IS THE CITY ATTORNEY MENTIONED.

SO, UM, THAT ONE WOULD BE FINE.

BUT IF, ARE WE, IF WE'RE GONNA CLOSE OUT, LEMME KNOW.

I THINK SO.

COLLEAGUES, ANYTHING THAT ANYBODY HAS A BURNING DESIRE TO HEAR.

JUST SOMETHING LOOK NOTHING ELSE.

SORRY RICK.

COME ON.

PLEASE TRY TRYING TO WRAP UP YOUR PHONE.

, GO ON IN APRIL.

FOOL'S DAY.

.

GOT IT.

THANKS.

RIGHT, SO CHAIR, WE'LL SHOW THE, THE MEETING ADJOURNED.

IS THAT OKAY? APRIL FOOLS .

LET'S DO IT.

OKAY.

SO WE'LL SHOW THE MEETING ADJOURNED.

THANK YOU.

THANK.