02-20-1990 Regular Meeting MIAMI SHORES VILLAGE
REGULAR COUNCIL MEETING
FEBRUARY 20, 1990
The regular meeting of the Miami Shores Village Council
was held on Tuesday, February 20, 1990, at Village Hall
commencing at 7:33 with the following members present :
Herb Spahn
Spero Canton
Stephen Loffredo
Marty Stofik
Also present : Gail Macdonald
William F. Fann
Absent : Mayor Courtney
The invocation was delivered by Pastor Don Fiauchmeler from
the Advent Lutheran Church followed by the Pledge of
Allegiance.
ITEM *1 MINUTES
Ms. Stofik moved approval of the minutes from the Special
Council Meeting of 2/5/90 and the Regular Council Meeting of
2/6/90. Mr . Canton seconded the motion and the vote was
unanimous In favor . Mr . Spahn acknowledged receipt of the
minutes from the following meetings:
Country Club Advisory Board 1 /31 /90
Historic Preservation Board 1 /15/90 & 2/12/90
Fine Arts Commission 2/5/90
Planning and Zoning Board 1 /25/90
ITEM *2 PLANNING AND ZONING
a . Request for approval of existing sign. Mr . LuBlen
explained the situation with the sign. Mr . Canton stated
that he would like to see a uniform sign ordinance. Mr .
Loffredo stated that If the Village had an ordinance the sign
In question would be a model sign . Mr . Loffredo moved to
approve the request . Ms. Stofik seconded the motion . Mr .
Fann stated that the Council should see the sign first before
they approve the request . He said the Council should not set
precedent . The vote was as follows: Loffredo, Spahn And
Stofik - Yes, Canton - No. Mr . Loffredo stated that he has
seen the sign hundreds of times but In the future a picture
wouldn ' t hurt .
b. Request for approval of plans for dugouts.
Mr . LuBlen explained the background behind the request . He
stated that an aluminum roof is non conforming with the code.
Ms . Stofik asked If the dugouts will be very hot with an
aluminum roof . Mr . Varney replied that the dugout will get
ventilation through the sides. Mr . Loffredo asked if kids
could get on the roof . Mr . Varney stated that the staff will
supervise as much as possible to prevent that from happening.
Mr . Canton stated that the Council will leave the decision up
to Mr . Varney as to aluminum vs. fiberglass roof . Ms. Stofik
moved to uphold the decision of the P&Z Board . Mr . Canton
seconded the motion . Mr . Loffredo stated that the Council
has extended the approval for fiberglass material . The vote
was unanimous in favor .
C. Request for approval of division of land without plat .
Mr . LuBlen explained the background . Ms. Stofik so moved .
Mr . Canton seconded the motion and the vote was unanimous in
favor .
ITEM *3 APPOINTMENT TO THE DOWNTOWN REVITALIZATION BOARD.
Ms. Macdonald explained that there was one vacancy and one
applicant, Mr . R. Pierce Kelly. Ms. Stofik moved to appoint
Mr . Kelly. Mr . Canton seconded the motion and the vote was
unanimous in favor .
ITEM *4 A RESOLUTION OF MIAMI SHORES VILLAGE COUNCIL
AUTHORIZING THE VILLAGE MANAGER TO EXECUTE AN AGREEMENT FOR
OPERATION OF MIAMI SHORES COUNTRY CLUB, DATED AS OF MARCH 1 ,
1990, BETWEEN PROFESSIONAL COURSE MANAGEMENT II LTD. , A
FLORIDA LIMITED PARTNERSHIP AND MIAMI SHORES VILLAGE, FLORIDA
FOR MANAGEMENT OF THE MIAMI SHORES VILLAGE COUNTRY CLUB.
Mr . Spahn read the caption of the resolution . Ms. Macdonald
stated that she had distributed the proposed final draft of
the lease agreement . She said that it has been reviewed by
staff and outside attorneys and that the agreement that was
reached represents fair business terms for both parties.
Ms. Macdonald recommended that the Council authorize the
Village Manager to execute the lease document and the
operation agreement . She stated that she was In contact with
Mayor Courtney and that he had two messages for the Village
Council . First, there Is no letter of credit after the third
year offered In the final lease document and there should be
a letter of credit for the term of the lease. Mayor Courtney
also disagreed with having three 5 year options all in the
same terms. He favors a ten year lease with no options and If
the Council chooses to have options the terms should be
renegotiated at the option time. Ms. Macdonald reviewed the
changes reflected in the proposed final draft . She asked
that the Council pass the resolution based upon any required
fine tuning of the contract . Mr . Spahn spoke about possible
future ad valorem taxes that may have to be paid for the
Country Club. Mr . Fann stated that the Village will not pay
any taxes. Mr . Mark Stone, attorney representing PCM, stated
that the lease reflects that currently the Club is not taxed
by the County. He explained renegotiation events that may
occur . In Section 161 Mr . Loffredo stated that with a long
term lease the Council doesn ' t know what will happen and the
Council should have some provision in the agreement dealing
with taxes In the future. Mr . Canton stated that In no way
should the Village pay if the County Imposes taxes. He
suggested that after 10 years the Village can renegotiate the
tax Issue. It was the consensus of the Council that the
Village will indemnify PCM on the Village charging them tax
and that would be the limit on how far the Village would go.
County, State or any other tax that may develop has to be
handled like any other additional cost by any other business.
Mr . Loffredo stated that the agreement is not clear as to
the tax matter . At Section 511A Mr . Loffredo stated this
Section is not an escrow agreement . He said It is a time to
release schedule. Mr . Spahn stated that money could be
attached by creditors or used as collateral . Mr . Fann stated
that it should be that funds shall belong to the Village and
payable to PCM If they comply with the lease agreement . Mr .
Stone suggested a third party escrow account . Mr . Loffredo
suggested that the Village become a secured creditor under
the bankruptcy code. With reference to page 7d Mr . Loffredo
spoke about the Club employees and workers compensation claim
exposure. Ms. Macdonald stated that PCM will lease the
employees and reimburse the Village for all costs relating to
employees but not workers comp. claims. Mr . Spahn stated
that negotiating with the union requires handling the
employees in this way. Mr . Loffredo asked for a written
opinion from Jim Linn clarifying reasons to lease employees.
Mr . Spahn stated that the Council should wait for an opinion
from the labor lawyer and go with what Jim Linn says to do.
On page 6c Mr . Loffredo stated that exhibit 6 should have
figures before a vote Is taken. Mr . Dick Thornton spoke
about Improvements to the Club. Mr . Stone stated that
$300,000 Is the minimum and maximum PCM will spend on
Improvements. Mr . Edward Swan spoke about fairness of lack
of notice for residents to come to Village Hall to review the
draft lease agreement . Mr . Fann stated that the Village
Manager is seeking adoption of a resolution authorizing her
to sign documents with minor revisions. He said that If there
Is a significant departure from the draft document he will
advise the Village Manager not to sign it and to resubmit it
to the Council at a Special Council Meeting.
LEASE
On P3(201 ) Ms. Stofik asked that November be replaced with
October . Mr . Canton spoke about renegotiation of the lease with
reference to property being taxed by Dade County, (P5a) . Mr .
Fann advised that the renegotiation language should be deleted.
Mr . Charles Leeds spoke about taxes being passed on to the
consumer . Ms. Stofik stated that if the Village was charged
taxes it would be passed on to the members. Mr . Fann stated
that negotiations were made with the Idea that there would be no
taxes. Mr . Ron Von Wedel spoke about renegotiations due to
hardships and he said taxes may be construed as a hardship In
the future. At Section 5.01 Mr . Spahn stated that there Is no
cap on deductible for Insurance and he suggested $10,000. At
Section 7.01 Ms. Stofik stated that there is no reference to
demolition of facilities. Mr . Stone stated PCM would agree to
seek approval if they want to demolish any buildings. At page
22 Article 21 Mr . Spahn objected to PCM's right to first
refusal . Mr . Fann stated that Article 21 should be deleted . On
page 13 Section 8.01 Mr . Loffredo asked about parking for the
pool . Mr . Fann stated parking should be around the pool area.
Mr . Loffredo asked If Village special events will still occur at
the Club. Mr . Fann replied that the lease can' t get too
specific. He said that the Village has assurances from PCM that
they will still be held at the Club. Mr . Loffredo asked about
subletting of the Club. Mr . Fann stated that the basic
qualifications are listed in the lease. Mr . Joe Davis spoke
about subletting. He suggested striking everything in Article
10 after the first sentence. Mr . Fann stated that he has no
problem with the way it is. On page 20 Mr . Loffredo spoke
about about waiver of claim to personal property. Mr . Fann
stated that he will not agree to waive the village's right to
distrain . He said the lease must be changed .
Mr . Spahn called for a recess at 9:27 pm.
The meeting was reconvened at 9:43 pm.
Ms. Macdonald explained the sample closing proration sheet which
was an example of what Exhibit VI will look like In the lease.
Mr . Loffredo asked about $70,000 payout to the employees. Ms.
Macdonald explained that the $70,000 will be a rent credit . Mr .
Loffredo stated that the Village is giving PCM 6 months of free
rent . Ms. Macdonald replied yes in exchange for imdemnification
from PCM for the anticipated current year loss. Mr . Spahn stated
that the lease Is a fair deal . Mr . Charlie Leeds asked about
the payout to PCM. Mr . Ed Swan spoke about the status of PCM
II as a corporation . He also spoke about the percentage rent
and that there is no cap on dues in the lease. Mr . Spahn
reread the caption of the resolution . He suggested that It
should be written in the resolution that approval is contingent
on the negotiating team coming to terms with all of the Items
that were discussed at tonights meeting and recorded by the
Deputy Clerk . Mr . Canton moved to approve. Ms. Stofik
seconded the motion and stated that the action is not taken
lightly. She complimented Mr . Fann on the Job he has done on
the lease. Mr . Loffredo stated that this is a bad deal for the
citizens of Miami Shores.
The Vote was as follows: Canton,Spahn,Stofik - Yes, Loffredo -
No.
ITEM *5 DISCUSSION AND POSSIBLE ACTION REGARDING ANNEXATION
STUDY. Mr . Steve Pitkin, from Robert K. Swarthout Incorporated,
reviewed the annexation study. Mr . Spahn asked about code
enforcement for newly annexed areas. Mr . Fann stated that our
code would be applicable to new areas. Mr . Loffredo spoke about
sub-standard conditions In the West area. Mr . Harrigan spoke
about public utility franchise taxes. Mr . Canton asked when
staff would respond on the study. Ms. Macdonald stated It would
be a minimum of 60 days.
ITEM *6 AUTHORIZATION TO SET DATE FOR PUBLIC HEARING ON LAND
DEVELOPMENT AND ZONING CODE CHANGES. Ms. Macdonald reviewed the
background and recommended incorporating in the Regular Council
Meeting, public hearings on the land development and zoning
changes. Mr . Canton so moved . The motion was seconded by Ms.
Stofik and the vote was unanimous in favor . Mr . Pitkin spoke
about what 's Involved in the zoning changes. He said that the
changes were not extensive.
ITEM * 7 DISCUSSION AND POSSIBLE ACTION REGARDING A TURN SIGNAL
AT 96TH AND BISCAYNE BOULEVARD. Mr . Canton reviewed the Item.
He spoke about traffic on Biscayne Boulevard. Mr . Canton moved
that the Village Manager ask the County to put up a turn signal
at 96 and Biscayne Boulevard for Northbound for a west turn.
Ms. Stofik seconded the motion . Mr . Condit suggested monitoring
the area before making changes. Mr . Loffredo suggested that the
Council request from the County but also ask for their
professional advice on the situation. The vote was unanimous In
favor .
ITEM *8 DISCUSSION AND POSSIBLE ACTION REGARDING VILLAGE
MANAGER'S REQUEST TO TERMINATE COUNTRY CLUB INTEREST PAYMENTS ON
INTERFUND LOAN. Ms. Macdonald reviewed the request . Mr .
Loffredo moved to approve the request . Mr . Canton seconded the
motion . Mr . Loffredo stated that the Village should not charge
Interest on Its own department . He said the Country Club Is an
enterprise fund . The vote was unanimous in favor .
ITEM *9 VILLAGE MANAGER'S REPORT.
Ms. Macdonald reviewed the report and stated that revenue is up
5% over last year . She said that there is a $28,000 YTD toss
compared to $70,000 last year .
ITEM *10 ANNOUNCEMENTS
Mr . Spahn read the announcements.
ITEM *11 COUNCIL COMMENTS
Ms. Stofik spoke about the entrance sign to EI Portal .
Mr . Canton spoke about the annexation study.
ITEM *12 PUBLIC COMMENTS
There were no public comments.
ITEM *13 ADJOURNMENT
The meeting was adjourned at 10:48 pm.
enryCourtney
Mayor
/.
Attest : Gall Macdonald
Village Clerk
1
By:
Scott W. Davis
Deputy Village Clerk