01-19-1988 Regular MeetingMIAMI SHORES VILLAGE
REGULAR COUNCIL MEETING
JANUARY 19, 1988
The regular meeting of the Miami Shores Village Council
was held on Tuesday, January 19, 1988, at Village Hall
commencing at 7:30 p.m. with the following members present:
Mayor Spero Canton
Stephen Loffredo
Robert S. Butler, Jr.
Karen Kirby
Marty Stofik
Also present Elly F. Johnson, Village Manager
William F. Fann, Jr., Village Attorney
The meeting began with Rev. John McLaughlin,
St. Martha's Catholic Church, giving the invocation followed
by the Pledge of Allegiance.
Mayor Canton with the assistance of Mobile Crime Watch
Coordinator, Lela Jacobson, and Crime Watch Coordinator,
Dottie Yates, presented hourly awards to Mobile Crime Watch
Patrollers.
MINUTES
a. Regular Council Meeting 1/5/88. Mrs. Stofik made a
motion to approve the minutes as written. Dr. Butler
second the motion and It passed unanimously.
b. PreCouncll Meeting 1/5/88. Mrs. Stofik corrected
the time of the meeting as 7:00 p.m. and made a motion to
approve the minutes as corrected. Dr. Butler second the
motion and it passed unanimously.
Receipt Acknowledged:
c. Recreation Advisory Committee 1/14/87.
d . Country Club Advisory Board 12/17/87.
e. Pension Board 11/25/87.
f. Downtown Revitalization Board 1/6/88.
g . Planning and Zoning Board (Incomplete Minutes)
1/14/88
PLANNING AND ZONING BOARD ITEM
a. Request for Approval of Plans for Elevations Altera-
t ions, Item 3, Minutes of 1/14/88.
Mr. John Militana, property owner, presented the plans
for a facelift for buildings 8945 through 8995 on Biscayne
B lvd. Mayor Canton Inquired about improvement to the worn
and pitted parking lots. Mr. Militana advised he was not
aware of any problem but would take care of it.
Mr. Loffredo moved to uphold the decision of the Plan-
Hing and Zoning Board which was to approve the plans. Dr.
Butler second the motion and it passed unanimously.
REQUEST FOR DESIGNATION OF HISTORIC LANDSITE
Margo Newton, Chairman of the Historic Preservation
Board, recommended the house at 389 N.E. 99th Street, for
designation as an historic landmark. The home was built In
1926 and Is Mediterranean Revival style In architecture.
Mrs. Newton stated the owners, Eric and Maria
Schottenheimer, had signed the standard covenant with the
Village.
Mrs. Stofik made a motion to designate 389 N.E. 99th
Street as an historic landmark of Miami Shores Village based
upon the recommendation of the Historic Preservation Board.
Dr. Butler second the motion and it passed unanimously.
NEGOTIATIONS WITH BOND COUNSEL
Mr. Johnson explained that the firm of Fine, Jacobson,
Schwartz, Nash, Black, and England had proposed a fee not to
exceed $8,000 for all work except an appeal to the Florida
Supreme Court. This proposal equaled the lowest bid
received. Mr. Loffredo made a motion to accept the bid. Mrs.
Stofik second the motion.
Mrs. Kirby preferred that negotiations with the bond
counsel appear after the discussion on the theater bond which
was the next Item on the agenda.
The motion passed unanimously.
RESOLUTION ON SPECIAL ELECTION REFERENCE THEATER BOND
Mr. Loffredo discussed the spread between a lease buy
out and a 1.7 million dollar bond issue of $100,000 a year
based on the quick figuring presented at the Council
workshop. He referred to his letter to the Council of Jan.
13. He stated it would cost $40,000 a year more to have the
building and pay the debt on the whole building then to buy
out the theater lease. (Minutes corrected at the Meeting of
2/16/88 to read $20,000 as an extra expense as against the
rents). Based on his study of the leases, the option to
purchase the prepaid 99 year lease still exists and there Is
a possibility of using the $120,000 In credits In the lease.
He did not think It was In the best interest of the Village
to purchase the building and recommended considering
alternatives. *Minutes were amended Meeting of 2/16/88 to
Include: Mr. Loffredo as a point of reference used a figure
of $850,000 as a preferred debt for purchasing the theater
lease as opposed to $1.7 million for the entire building.
Mayor Canton advised the Council that If the resolu-
tion Is to be placed on the March 8 ballot, it must be
received by the Elections Department by Jan. 25.
Mrs. Kirby stated the Importance of taking control of
the theater property and supported the Idea of take over of
the 99 year lease but not to acquire the rest of the build-
ing.
Mrs. Stofik identified operating costs and the Impor-
tance of the non-profit group to raise monies as theater
enterprises do not run in the black. The current rents
'ncluding the theater are $143,441. Deductions Include
$20,000 which the theater Is paying results In $123,441.
.;osts not included to run the theater Include space for a
wardrobe area, set storage, production office area. Buying
the entire building would provide Income to offset the cost
of the bonds. She questioned the amount of $450,000 for
renovation as not enough and the time for renovations. Her
calculations Indicate the loss Is less If the entire building
is purchased. She also mentioned that Barry University was
interested In using the theater.
Franklin Grau of Miami Shores Mainstreet, Inc. at the
request of Dr. Butler stated Ruth Forman Is currently paying
about $40,000 for 300 seats. Present maintenance costs for
the proposed buldling are about $38,000 which Includes about
$5,000 for the theater.
Mayor Canton stated basically the plan was to purchase
the building and then In a few years to sell the building but
keep the theater. He expressed concern over the yearly bond
payments. His research Indicates that the bond payment with
the revenue from the leases would be less If the
building were purchased. Mr. Bennett explained that the
maximum annual debt service occurs In 1997 and Is $205,872.
Maximum annual debt service for only the theater Is $126,572.
Dr. Butler expressed concern over renovation expenses.
These expenses may result In the need for additional funds.
He thinks It economically feasible to purchase the building
as building and theater can be sold at a later date at a
higher appraisal. He feels purchase of the building Is a
more stable approach.
Mrs. Kirby requested a copy of the financial statement
of the Ruth Forman Theater. She stated a profit could be
made from a lease purchase.
Mr. Grau stated the property Includes the theater,
attached office building, a small office building on 99th
Street and a house on 99th Street. The property Is appraised
at $1.1 million, however with the assumption of the theater
lease the property Is appraised at $1.5 million.
After much discussion with Mr. Pendleton of Ernest Jones
& Company and Barbara North Burton, Mrs. Stofik made a motion
to adopt the Resolution as presented with the following
changes: Page 1, add the address 9802 thru 9840 N.E. 2nd
Avenue and 160 thru 180 N.E. 99th Street and delete (b) In
the last paragraph and change (c) to (b). Page 2, delete
under Section 1, the words "of using certain of the adjacent
stores and offices for the municipal purposes of the Village"
and inserting in Section 2 the name "The Miami Review". Page
3, to Include the Resolution number and date of adoption, the
addresses as on page 1 and deleting that portion of (c) which
reads "utilizing certain of the offices and stores for
municipal purposes". Page 4, Include the addresses of the
polling places. Page 5, Include the name of the Village
Clerk. Page 6, Include the addresses as page 1 and delete
that portion of Item (c) which reads "utilizing certain of
the offices and stores for municipal purposes".
The motion was second by Dr. Butler and passed by a 3/2
vote with Mr. Loffredo and Mrs. Kirby dissenting.
The Resolution being entitled:
RESOLUTION NO. 827-88
A RESOLUTION EXPRESSING THE INTENT OF THE VILLAGE OF
MIAMI SHORES, FLORIDA, TO ISSUE GENERAL OBLIGATION
BONDS OF THE VILLAGE IN AN AGGREGATE PRINCIPAL AMOUNT
NOT TO EXCEED $2,000,000 AT AN INTEREST RATE NOT TO
EXCEED THE MAXIMUM RATE PERMITTED BY STATE LAW IN
ORDER TO PAY THE COSTS OF CERTAIN CAPITAL ACQUISITIONS
AND IMPROVEMENTS, IF SUCH ISSUANCE IS APPROVED BY A
MAJORITY OF THE QUALIFIED ELECTORS OF THE VILLAGE;
AUTHORIZING THE PLACEMENT OF SUCH ISSUE ON THE BALLOT
TO BE USED IN THE MUNICIPAL ELECTION SCHEDULED FOR
MARCH 8, 1988; PROVIDING THE METHOD AND MANNER FOR
NOTICE OF SAID REFERENDUM; AND APPROVING THE FORM OF
SAID BALLOT.
After a 15 minute break, the meeting reconvened at 9:45
p.m. Mrs. Kirby was not present.
REQUEST FOR PARTICIPATION IN FIU STUDENT INTERN PROGRAM
Mr. Johnson requested $1,800 be transferred from the
Repair and Maintenance budget of the Police Department to the
Village Manager's budget to cover expenses for a graduate
student Intern from Florida International Universlty. The
Intern would assist In reviewing and updating personnel rules
and regulations. The internship will be completed In April.
Dr. Butler made a motion to approve the transfer of
$1,800. Mrs. Stoflk second and it passed unanimously.
VILLAGE MANAGER'S REPORT
Country Club Financial Report
For month to date, the total operating revenue is up
from $153,865 last year to $186,026 this year. For December
to date the net profit last year was $24,131 and this year Is
$10,385. Year to date, this year Is a plus $4,919 as compared
to last year's negative of $1,502.
Country Club Membership Report
Membership Is higher than last year: 1,367 compared to
1,230. There are some problems with the Corporate Member-
ships and the Business and Professional Special Memberships
which will be reviewed before the next budget year.
Mrs. Stofik expressed concern that there are more func-
tions and more members but less money. Mr. Johnson stated he
would review and advise.
Investment Report
The value of portfolio Is $3,462,340.06 with an Increase
from November's $2,691,978.08. The average return Is 5.80%.
ANNOUNCEMENTS
As noted on the agenda.
COUNCIL COMMENTS
Mrs. Stofik suggested putting together a fact sheet on
the theater Issue for publication In the Chamber Newsletter
and the Village Hall News.
Dr. Butler thanked all those who donated items, attended
and worked on the Miami Shores Country Club Foundation
Auction.
Mr. Loffredo stated he met with a Hialeah Councllmember
and the President of the Hialeah PTA due his continuing
Interest In the school system. He encouraged residents to
attend the Chamber of Commerce meeting on February 10 to
listen to Dr. Fernandez.
Mayor Canton commended Dr. Butler for his work In the
community. He expressed concern about the lack of code
enforcement In neighboring cities and Is meeting with 5
mayors on January 28 to discuss what can be done to stiffen
the county's code enforcement regulations. He Is also
concerned about the high school options for the Village and
commended Mr. Loffredo for his efforts In trying to find a
solution.
PUBLIC COMMENTS
At the request of Mr. Loffredo, Robert J. Rossi,
Chairman of the Planning and Zoning Board, spoke about the
Council's request for change of zoning to mixed use zoning on
N.E. 2nd Avenue from 95th to 91st Street. The Board felt it
could not adopt as presented due setbacks and parking In
relation to other ordinances. The Board also questioned the
need to rezone In this area and the Impact on neighboring
residences.
Dr. Butler stated the Intent was to maintain positive
visual continuity while at the same time making It more
viable to maintain property values and even stabilize the
Impact of the neighboring south.
Mr. Loffredo stated he had received some negative com-
ments from neighboring residences and was concerned about Its
Impact on vacancies In the designated revitalization area.
Mrs. Stofik was concerned about the Board's reacting to
the proposal versus planning for this area.
Mayor Canton recommended a public hearing on the Issue
to hear all sides of the Issue. He stated the Council would
review and present again to the Board.
Edward P. Swan, 1099 N.E. 99th Street, commended Dr.
Butler and Barbara North Burton for their work on the Founda-
tion Auction. He expressed concern about the condition of
the golf course particularly the spread of crab grass.
Arthur Leeds, 53 N.W. 93rd Street, stated the Village's
debt if theater bond issue is approved will be approximately
$6.8 millon.
The meeting adjourned at 10:35 p.m.
ATTEST: Elly F. Johnson
Village Manager
BY:
Aria Clayton
Deputy Village CI
Sp-ro Can
Mayor