| | | | | | | | TO: | Public Safety and Neighborhood Quality of Life Committee Members |
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| FROM:
| Alina T. Hudak, City Manager
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| DATE: | March 22, 2023
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| SUBJECT: | DISCUSSION REGARDING ESTABLISHING A RESTRICTED NORTH BEACH HISTORIC PRESERVATION FUND TO BE USED TO SUPPORT THE RENOVATION OF CONTRIBUTING BUILDINGS LOCATED IN LOCAL HISTORIC DISTRICTS WITHIN NORTH BEACH AND DEDICATING ALL MONIES COLLECTED BY THE CITY IN CONNECTION WITH THE PENDING SPECIAL MAGISTRATE CASE FOR THE VIOLATIONS ISSUED TO THE PROPERTY LOCATED AT 6701 COLLINS AVENUE TO THE NORTH BEACH HISTORIC PRESERVATION FUND. |
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| | | | | | | | HISTORY:
| HISTORY
On February 9, 2022, at the request of Commissioner Alex Fernandez, the City Commission referred the discussion item (R7O) to the Public Safety, Neighborhoods and Quality of Life Committee (PSNQLC). On March 29, 2022, the PSNQLC discussed the item and continued the discussion to the May 17, 2022 meeting.
BACKGROUND
Multiple violations of the City’s building, zoning, and fire codes have been issued to the property owner of the Deauville Hotel located at 6701 Collins Avenue. These violations, which include the failure to maintain the contributing building in accordance with the City’s demolition by neglect regulations, have resulted in cases pending before the City’s Special Magistrate and resulting in outstanding fines, and recorded liens on the property in excess of $2.6 million, as of March 2022.
These fines are anticipated to continue to accrue until the violations are brought into compliance and the City intends to vigorously pursue the collection of such fines. Should the City be successful, these monies could be used to establish a fund to assist property owners of contributing or historic buildings.
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| | | | | | | | ANALYSIS
| ANALYSIS
The Deauville Hotel is a contributing structure and located within the North Beach Resort Local Historic District. For more than four and a half years, the vacant and unsafe condition of this nearly 4-acre oceanfront property has negatively impacted surrounding businesses and residences. Additionally, there are four additional local historic districts in proximity to the Deauville site, including the North Shore, Normandy Isles, Altos del Mar, and Harding Townsite/South Altos del Mar historic districts. Collectively, these historic districts contain 287 contributing buildings.
In 2019, the firm of KCI was retained by the City to research best practices and provide the City with recommendations for the creation of a historic preservation fund. The study, completed in March 2020, could be used to assist in the creation of a framework for implementation of a North Beach historic preservation fund. Similarly, regarding the Miami Beach Resiliency Fund adopted by the City on November 18, 2020, the KCI report recommended a matching grant structure and an independent committee to review and rank applications for the distribution of funds.
The framework needed to administer these types of programs would have fiscal implications, as additional staff and monetary support would be needed to ensure the program is well-run, can meet demand, and can comply with all anticipated audit requirements. Should the fund be established, and monies collected, the Administration can develop more specific details regarding the administration of the program for the consideration of the City Commission.
UPDATE (May 17, 2022 PSNQLC)
Since the March PSNQLC meeting, staff has developed a more specific structure for how any monies the City may receive as a result of the violations issued to the Deauville Hotel could be disbursed. In this regard, a matching grant program, consistent with recommendations made by KCI in 2019, is recommended. The following is a summary of how the matching grant program could be structured:
Eligibility
The property must be located within the North Beach Resort, Altos del Mar, Harding Townsite/South Altos del Mar North Shore or Normandy Isles local historic district and must contain at least one building classified as Contributing. The application shall be submitted by either the property owner of record, for individually owned properties, or the condominium association, for properties with multiple owners.
Types of Improvements Eligible for Funding
All proposed improvements shall comply with the Certificate of Appropriateness Criteria as outlined in section 118-564 of the City Code and shall include at least one the following:
1. Exterior painting of the entire building, which may include stucco repair.
2. Improvements to street or water facing yards that must include, at a minimum, the removal of non-pervious paving and the introduction of resilient landscape materials and pervious hardscape.
3. Modifications to existing original and/or architecturally significant exterior railings to satisfy current Building/Life Safety regulations.
4. Replacement of existing exterior railings, in a manner as consistent as possible with the original design and in accordance with the MiMo Design Guidelines.
5. Removal of street and/or waterway facing through-the-wall and/or through-the-window air conditioning units and replacement with new equipment that is not located within the front yard or side facing a street yard.
6. Restoration of missing or damaged exterior architectural features consistent with historical documentation including, but not limited to, architectural planter features, decorative property walls, façade ornamentation, decorative roof eaves, decorative exterior materials such as brick or stone, projecting window frames, eyebrows, breeze block & signage.
7. Window and/or door replacement as consistent as possible with the historic configuration.
Disbursement of Funds
The Historic Preservation Fund would allow for 1:1 matching grants from $5,000 to $50,000, or 50% of the project cost, whichever is less. For projects that are awarded funding, the grant funds would be disbursed on a reimbursement basis, after the completion of all approved, and after the contractor has been paid for the work.
The completed work must satisfy all of the following:
1. All work shall be within the grant project’s scope, budget, and schedule.
2. All work shall be done in full accordance with an approved Certificate of Appropriateness.
3. All work shall be done in full accordance with all applicable planning and/or building permits and all permits shall be finaled (all final inspections passed).
Once the work has been completed and inspected, a copy of the paid invoice from the Contractor, with a request for disbursement of the grant funds, would then be submitted to the City for processing. The grant may be considered income for tax purposes.
Administration
The program would need to be administered by a City Department other than Planning or Building. Depending upon the Department identified to administer the program, additional staffing may be needed.
Implementation
The framework needed to administer this type of program will have fiscal implications, as additional staff and monetary support will likely be needed to ensure the program is well-run, can meet demand, and can comply with all anticipated audit requirements. Should the fund be established, and monies collected, the Administration recommends that a procurement process be established for the selection of a pool of architects, engineers and contractors who would be responsible for the work and reporting necessary budgets and receipts to the City. Additionally, in order to streamline the application process, the Administration would recommend the establishment of a ranking committee comprised of City staff members who would review applications on a yearly cycle.
SUMMARY
The creation of a North Beach historic preservation fund would enhance the City’s commitment to the retention and restoration of contributing buildings and could help mitigate the negative impacts that the vacant and unsafe condition of the Deauville Hotel have had on the surrounding historic districts. If there is consensus on exploring such a fund, it is recommended that it be considered as part of the FY 2023 budget process.
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| | | | | | | | CONCLUSION: The Administration recommends that the Public Safety, Neighborhoods and Quality of Life Committee discuss the item and provide a recommendation to the City Commission.
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| | | | | | | | Applicable Area
| North Beach |
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| | | | | | | | Is this a "Residents Right to Know" item, pursuant to City Code Section 2-14? | | Does this item utilize G.O. Bond Funds? | | Yes | | No | |
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