City of Miami City Hall 3500 Pan American Drive Miami, FL 33133 www.miamigov.com Meeting Minutes Thursday, July 28, 2011 12:00 PM or thereafter CITY HALL 3500 PAN AMERICAN DRIVE MIAMI, FL. OMNI Community Redevelopment Agency Marc David Sarnoff, Chairman Francis Suarez, Vice-Chairman Wifredo (Willy) Gort, Commissioner Frank Carollo, Commissioner Richard P. Dunn II, Commissioner ************************** CRA OFFICE ADDRESS: 49 NW 5th ST, SUITE 100, Miami, FL 33128 Phone: (305) 679-6800, Fax: (305) 679-6835 OMNI Community Redevelopment Agency Meeting Minutes July 28, 2011 Present: Commissioner Gort, Commissioner Dunn II, Chair Sarnoff, Vice Chair Suarez and Commissioner Carollo On the 28th day of July 2011, the Board of Commissioners of the Omni Community Redevelopment Agency of the City of Miami met in regular session at Historic Miami City Hall, 3500 Pan American Drive, Miami, Florida. The meeting was called to order by Chair Sarnoff at 12:29 p.m., recessed at 1:41 p.m., reconvened at 11:15 p.m., and was adjourned at 11:20 p.m. ALSO PRESENT: Pieter Bockweg, Executive Director, CRA H. Bert Gonzalez, Assistant Executive Director, CRA Veronica Xiques, Assistant General Counsel, CRA Todd Hannon, Assistant Clerk of the Board FINANCIALS 1. CRA REPORT 11-00673 FINANCIAL SUMMARY FOR PERIOD ENDING JUNE 30, 2011. File # 11-00673 07-28-2011 Financial Summary.pdf NO ACTION TAKEN RESOLUTIONS 2. CRA RESOLUTION 11-00674 A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE OMNI REDEVELOPMENT DISTRICT COMMUNITY REDEVELOPMENT AGENCY ("CRA") AUTHORIZING THE EXECUTIVE DIRECTOR TO ALLOCATE FUNDS IN THE AMOUNT OF $1,087,268.00 FROM THE SALE TO FLORIDA DEPARTMENT OF TRANSPORTATION OF A PORTION OF THE CRA OWNED MIAMI ENTERTAINMENT COMPLEX ("MEC") PROPERTY, LOCATED AT 29 NORTHWEST 13TH STREET, MIAMI, FLORIDA, FOR THE PLANNING, DESIGN, CONSTRUCTION, AND DEVELOPMENT OF THE MEC STUDIO. File # 11-00674 07-28-2011 Cover Memo.pdf File # 11-00674 07-28-2011 Financial Form.pdf File # 11-00674 07-28-2011 Backup.pdf File # 11-00674 07-28-2011 Legislation.pdf File # 11-00674 - 07-28-2011 Signed Legislation.pdf Motion by Board Member Dunn II, seconded by Board Member Gort, that this matter be ADOPTED PASSED by the following vote. Votes: Ayes: Commissioner Gort, Commissioner Dunn II, Chair Sarnoff, Commissioner Carollo and Vice Chair Suarez CRA-R-11-0043 Chair Sarnoff: I'd like to open up the July 28, Omni Board of Commissioners meeting, the Omni City of Miami Page 2 Printed on 8/29/2011 OMNI Community Redevelopment Agency Meeting Minutes July 28, 2011 CRA (Community Redevelopment Agency). I'd like to go directly to item number 4, and I'd ask the CRA director to present. Pieter Bockweg (Executive Director, Community Redevelopment Agency): Thank you, Mr. Chair. The item number 2 before your agenda we'll be introducing to you momentarily. What I'd like to take this opportunity is kind of give you a brief PowerPoint presentation related to the Miami Entertainment Complex, which is of course a building which we purchased from the School Board this previous -- this year. Just to give everybody some history, the Miami Entertainment Complex was purchased from Miami-Dade School Board for $3.1 million by the CRA, which came out to about $25 per square foot. As part of those negotiations, FDOT (Florida Department of Transportation) was also interested in that piece of property. And what we had negotiated with FDOT is to sell them the back portion of that lot, making sure that that piece of property isn't torn down and used as a staging site for a possible 395 alignment in the future. With the Board approval, we did sell that back portion of the lot, which came out to about $26 a square foot and a million dollar -- a million, eighty-seven thousand, two hundred and sixty-eight dollars. In that negotiations we also agreed that the CRA will be -- have access to that back portion and will be leasing that back portion of the property for a dollar per year . And just to orient everybody, this piece of property is located on 14th Street, directly across from the Ice Palace, which is directly in the middle of the Miami Entertainment District. And you will see in the future we have some -- in the future of the presentation that we have some serious plans for that area as a whole. This year and the year before, the Florida Legislature had significant incentives in place to attract the movie industry down to South Florida. They had a total of $242 million in incentives for that movie industry to come in, as well as a separate $3 million available for job creation. With that vision in mind, the CRA Board approved a film and entertainment job creation program for the CRA, which is in direct correlation with that of the state. The basis of that program is, of course, job creation. The limit is $50,000 for a minimum of 15 jobs. And these incentives have really played a huge role in attracting film industry down to South Florida. Currently, as you will see, the Burn Notice, Charlie's Angels, Rock of Ages, of course, which has totally redone 14th Street and Miami Avenue for -- as a movie set, Magic City, and The Glades are currently filming within South Florida and I should even say Dade County, with the exception of Rock of Ages. They do do some shooting in Broward County. Step Up 4 is expected to be -- start shooting in South Florida, actually in the Ice Palace, later this year. And again, these are perfect examples of how the state incentives and their foresight, along with the Chairman's and the CRA to really attract this industry down to South Florida and the significance it will have for the community as a whole. This year, to show the commitment of the Legislature, they have allocated an extra $30 million in incentives for the movie industry on top of that 242 which was previously approved. Now once we start looking into this vision of the MEC (Miami Entertainment Complex), the first thing we did 'cause, of course, the CRA does not have that type of expertise to really kind of see how to move along and move the process forward -- the first thing the CRA did was create a SMAK (Skills Media Arts Kimplex) panel. Now that SMAK panel is made up of various people from various industries in the media and entertainment industry, as well as some areas of -- as well as the union as far as the carpentry union, who, of course, will play a big role in any movie industry. To go down the list very quickly, Mr. Winick, from the Miami Beach Film Entertainment -- Film and Events Production for Miami Beach; Jeff Peel, who is the previous director of the Miami-Dade County Film Office; CAMACOL (Latin Chamber of Commerce) was on there; Eugene Rodriguez, who, of course, owns Big Time Productions and the Ice Palace, where a significant number of movies have been shot in the past, including Fast and the Furious, Miami Vice, et cetera; M.E.D.A, of course, 'cause we are in the Entertainment District. They are a significant stakeholder. Terry Darling, who is the carpenters' representative for the carpenters union; Ted Lucas, the record executive; Gustavo, who is an events promoter and is also in connection with G Force; Greg Hauptner, who has been a huge participant and help to us, who is the president and founder of G-Star. And I'd like to point this out specifically because we really relied heavily on Mr. Hauptner and his expertise because as of today, the G-Star Studios, which is in West Palm Beach, will be the closest resemblance to what we're hoping to become in the future at the Miami Entertainment City of Miami Page 3 Printed on 8/29/2011 OMNI Community Redevelopment Agency Meeting Minutes July 28, 2011 Complex. We had Ken Harris, the chief operating officer of the PAC (Performing Arts Center), the Arsht Center, of course; James Stamatis, who's the vice president of operations for Telemundo Studios; Luis Choter, who is the -- from MPA (Miami Parking Authority). Parking, of course, is always significant when attracting movie industry and people. Principle of -- Michael [sic] de Bokay, and I apologize if I mispronounced that name. And of course, a representative from your office, Mr. Chairman, along with your vision. We met with the SMAK panel regularly for about six months, if not longer. And the recommendations that they came before us are as follows. First is raise the roof to at least 50 feet. Currently, the roof is not 50 feet, but that is necessary to make sure that we provide that space to shoot the movies, hopefully. To provide flex office space. Currently, we are -- there is 12,000 square feet of office space in the facility itself. We have the possibility of even extending that to -- double it to 24,000 square feet. The third recommendation was to build two fully operational sound stages of approximately 10,000 or 12,000 square feet. This is important because movies like we all know, like Avatar, Jurassic Park III, Ironman, and many, many other blockbusters all shot their feature films in sound stages of that size, so we're right along the industry standard as far as the size of the sound stage. Other things that the SMAK panel recommended which has been lacking within South Florida and there's no place like this is, of course, a motion capture stage.