Thursday, December 13, 2007

City of Miami Commissioners passed the whole shebang! By Geniusofdespair

The City of Miami Commission Vote came in swifty at 4 to 1 on the items (Regalado was the "1"), such as the city contribution to the port tunnel and the Marlins. All projects were outlined in today’s Herald:

"Miami city and county leaders have forged a multibillion-dollar public-works bonanza that could alter the face of the downtown core -- affecting everything from a baseball stadium to a port tunnel to museums.

The plan, coming together with rare speed in the world of governmental red tape, envisions a holiday bounty of projects aimed at garnering support from constituencies ranging from sports fans to arts patrons.

Announced late Wednesday by Miami Mayor Manny Diaz, the deal would cover everything from a $914 million tunnel leading to the Port of Miami to finally transforming fallow Bicentennial Park into a waterfront jewel with new art and science museums."

(snip) See the Miami Herald for all the projects: Miami Mayor Diaz revealed a plan to build a stadium and tunnel -- and help museums and the arts center.

23 comments:

Anonymous said...

I trust someone will sue to enjoin this silliness. Doesn't even make any sense--how exactly will changing the CRA boundaries bring in more cash, especially enough to pay for all this? And to do it specifically by ignoring the voters? Florida shenanigans at their finest. Ugh.

Anonymous said...

Werent they all crying because of budget crunch. Where is all the money coming from? Or are this more of projects started but never finished?
Why cant we do like other cities ( Indianapolis is one) whose downtown looked like ours or worse 10 years ago and are now thriving.

Anonymous said...

Why were the citizens left out of this discussion and what is with Pepe Diaz's statement in today's Herald?

amo said...

Agree with anon: I don't get it. Six months ago, we were being told that schools, fire stations and libraries would be shut down because of budget limitations. Now, a billion dollar theme park? With what money? And instead of doing what?

Geniusofdespair said...

Aside from Pepe's Godfather statement which is not on line, what about Souto:

Of 10 commissioners reached by The Miami Herald, only Javier Souto committed to voting against the deal. He has been a vocal opponent of the tunnel and continued spending on the arts center.

''The Gucci-shoe and wine-and-cheese people will love it,'' Souto said.

For someone who has such contempt for rich people -- he make these statements all the time-- he sure takes a lot of their money at election time.

Anonymous said...

Government Funding 101

1. The museums on bicentenial park were largely funded through the issuance of the 30 year General Obligation Bond. This is a mechanism that lets the County get $2.9 billion up front for construction projects, and pay it back over 25-30 years. Total payback will probably be over $4.5 billion, but it's probably going to be a an annual amount of about $150 million. Some of this GOB funding will be used on the stadium also. (Remember: the money used to bay back the GOB Bonds comes out of the General Fund, of which Ad valorem "property" taxes are a main revenue stream.

2. The majority of ballpark money will come from taxes on tourists and large conventions that come to Miami and pay a little extra for hotel rooms and such. (Not a whole lot of property tax money going towards this project, except for the annual debt service on the $50 million GOB portion, which will probably equate to about $3 million per year over 30 years.

3. The port tunnel will get bout $400 million from the County, $450 million from the state, and $50 million from the City, plus about $5 million in donated land on Watson Island. The majority of local funding will come from the CRA and sources which won't really affect the average homeowner's tax base.

For the person who asked why we can't revive our downtown like Indianaplois. Do you think it didn't take large investments in Capital Construction Projects?

That's what's going on here. Lets just hope the money is not squandered and the prices for these projects don't shoot through the roof.

amo said...

Theoretically, what else could the money have been spent on? What type of construction projects, tourism taxes that typically go for what, etc.

Anonymous said...

A normal person would assume that Tourist Tax money would go into new and better convention centers or to new well located hotels to support them. Odd tourists money gets taken to pay for things they seldom if ever visit?

And aren't the funds from the OMNI CRA supposed to be spent within the borders of the OMNI CRA to support new development? "Encourage economic development?" Not prop up the money losing financial black hole of the Carnival PAC Center? Already constructed?

How do the investors in the Island Gardens project feel about 3,000 containers driving by their multi-millionaire condo windows daily? How about a little truck exhaust with that latte?

Anonymous said...

To amo:

Stadiums are legal expenditures for Tourism Developement Tax Dollars. It's State Statute.

To Where is the fiscal responsibility:

The OMNI CRA's borders are being expanded to: 1. benefit from the tax base created by all the new condo construction 2. encompass the tunnel and museums.

Growing up, I was lucky enough to have a parent who worked for Eastern Airlines and Delta. It afforded us the ability to travel well beyond our middle class means. When we went to Seattle, we saw the Mariners Play. When we went to San Francisco, we saw the 49ers play. When we went to Baltimore, we watched an Orioles game.

Plenty of families who are on vacations would love to go to sporting events. Think about it, beach by day, Cubs in town by night.

I think baseball games would draw more tourists than "The Barber of Seville".

I'm not a big fan of the PAC, nor have I been there yet, but if you don't think the construction of that facility helped spur the economic revitalization and construction that is going on downtown, you're wrong.

Like the condos, or not, they beat empty lots with crackheads living on them.

Anonymous said...

I would rather have a vacant lot on the tax roll with its taxes being paid by a bona fide taxpayer. Vacant lots can eventually get developed by the private sector using private financing. I abhor supporting a money losing PAC Center, a money losing Jungle Island, a money losing Miami Art Museum or a money losing Miami Science Museum. Who do you thinks pays the taxes to support all these money losing statements propping up someones small "ego"?

Does anyone remember that jobs need to be created first? Permanent jobs? Not part-time construction worker jobs for workers who live in Homestead or Broward County. Who will want to move to Miami-Dade County if the Real Estate Taxes are so high there is no time to enjoy the proposed quality of life?

Anonymous said...

Ok idiot. What would you build in downtown Miami that would create Permanent jobs?

and after you built it, where would you like thise people to live?

after you say, out west, then don't also complain about sprawl.

Since you are not a fan of government building "money losing" projects, then I guess we should just pull the plug on any future Transit projects. There is not a transit agency in the country that doesn't lose money.

If you have to work 80 hours a week, you should have stayed in school longer and got a better degree.

By the way, those vacant lots didn't pay crap in taxes with their unimproved land status, and their value was crap before the condos were built.

Most of the people on here complain about sprawl, and then also complain about building condos on the urban core.

It's one or the other, you can't have it both ways.

I'm begining to think you guys would just complain about anything.

Typical liberals. Complain all day long and feel guilty about america's prosperity.

Anonymous said...

I am perplexed. Who will pay for all the money losing projects? PAC loses money. Jungle Island loses money. Marlins complain they are losing money. Miami Art Museum loses money. Miami Science Museum loses money. Residents of Overtown want free housing.

Who pays?

Geniusofdespair said...

Not a Moderate: don't call our readers "idiots." They are tying to understand and when you are being helpful it is good to see the other side, but it is not as though yours is the only opinion.

I have one thing to say:

Parrot/Jungle island: Boondoggle, and subsizing rich people. Was a very bad thing for the City of Miami. Of course we also subsidized Jorge Perez's "unaffordable" developments so what else is new.

And, Not a Moderate, I have a great love for the Yankees. I went to games in the Bronx all the time. I have Joltin' Joe's autograph. I have never gone to a game in New York (while on vacation a few times a year)since I moved to Florida. So, although I am happy your family visited stadiums all over the US, I think you are the exception not the rule. I don't think people will come from out of town to go to operas in Miami either but I think they might visit a museum. But who cares.

The problem with this deal as I see it, is not so much the deal, it is that the public was totally removed from the process on PURPOSE. That is not what should happen.

Geniusofdespair said...

And another thing, has anyone been to the refurbished FEC yard in downtown? I remember when the developers got oodles of tax abatements (for about 25 years) to "revitalize" the area. And all those thousands of jobs they would create! Yes sir, this would change forever mid city...

I was there during Art Basel. Most of the stores are empty and all the restaurants are closed. It is a ghost town now. The Target store seems to be doing okay...not much else and there were people everywhere because of Art Basel. They just skirted around the FEC area. I walked through it to check it out.

Be careful what you buy into...this former FEC yard is a classic example of a redevelopment gone sour. The only restaurant there, hamburger joint, was closed at about 6 pm.

Anonymous said...

The City and County gave $169 Mil in public tax dollars to the developers of Midtown Miami. Only 3 of 8 towers have been built. No other towers will be built for many years. If ever. Many condos will be lost to foreclosure. Many stores are empty. Much of the property is still vacant and blighted, but now the City and County have no control. And the developers who got the $169 Mil have either sold out or they are trying to sell. As usual, the taxpayers get screwed and insiders make money. Typical Miami story...

When will Manny Diaz show respect to the taxpayers?

Anonymous said...

so should we just have done nothing with the old FEC yard?

sometimes you try and fail. but at least they are trying to revitalize the area.

remember this saying: PRIVATE INVESTMENT FOLLOWS PUBLIC INVESTMENT

I guess the only thing you guys think we should spend money on are environmental issues.

Downtown and Midtown Miami are both much better places than they were 10 years ago.

South Beach is a thriving community, and you wouldn't want to have been caught dead there after dark in the mid eighties.

How did that revitalization start?

Government incentive programs like Enterprise Zones and Historic Preservation Grants.

I think the tourism and industry revitilization has been a wonderful economic success for our community. It started with public money.

Geniusofdespair said...

Genius of Despair said...
No not a moderate it was the vision of a couple of women and developers that transformed South Beach -- one in particular but I can't recall his name. Tony Goldman maybe...yes.

"Thirty years ago Tony Goldman helped turn SoHo, then a down-at-the-heels ... Between his success in SoHo and South Beach and his foray in Wynwood, ...
fredbernstein.com/articles/display.asp?id=88 - 11k "

I remember when the Omni was a hot spot in the late 70's. It has taken...hmmm almost 30 years and it is almost safe to walk around at night again.

Here is a hint not a moderate, when you find yourself saying "you people" or "you guys" maybe you are being judgmental rather than informative. You can build the city up and load it with museums and stadiums and whatever, you can keep throwing money at it, but if the bay is polluted the city ain't worth a dime. If I wanted culture I would still be in New York. I am here for the envrionment and I think a lot of others are too.

If people were throwing rocks at the Met in New York...there would be a riot. But people throw a lot worse on the environment and many don't see this as just as detrimental to Miami's life blood. See my Sunday post on Rock mining.

Anonymous said...

Maybe Not a Moderate is abrasive and less than respectful, but his analysis of the tax financing is spot-on.

As to the revitalization of South Beach, GoD is right that it was started by citizen preservationists. BUT without the creation of a CRA, which essentially is a tool for capturing tax funds and forcing their reinvestment within the CRA boundaries, much of the public investment in the Beach wouldn't have happened.

I don't mind investments in the cultural arts. My issue with the PAC is that it was too much space. Instead of one grand hall, we had to have two. Is it a surprise to anyone that the thing is deep in the red in a culturally starved community like Miami? Here's a google research question for everyone: Is there a concert hall in the country that was built without taxpayer support?

The ballpark is another story. MLB makes plenty of money and should pay their own way. Joe Robbie managed to do it for the Dolphins. As far as I'm concerned, the funds already earmarked for the renovation of the Orange Bowl and the land that the stadium occupies should be the taxpayer's only contribution to this. If the Marlins melt in the rain (I never understood why they can't play if they get wet), let them pay for a roof. If the OB can't handle a roof, which I'm sure it can't, then let MLB pay for the rest.

Anonymous said...

To Moderate and others: So many people do not know the history of South Beach and how the renovations started in the early 1980's. There as no CRA in the core of South Beach. (South of Sixth Street had a CRA where $30 Mil in CRA money disappeared and almost no development took place until after the CRA was dissolved.) South Beach was renovated one building at a time, one lot at a time, one block at a time. 96% of the renovation money came from private investors. The developers were Jerry Sanchez, Tony Goldman, Saul Gross, Mel Schlesser and many others, all from New York. Floridians were the sellers. There was little or no government support until many years after the politicians were brought kicking and screaming to the table. In fact, the City of Miami Beach authorized the demolition for dozens of incredibly beautiful Art Deco buildings having no idea they were gold waiting to be polished. As we all know, the Art Deco District is the engine that powers South Florida. And it came close to be being completely destroyed by stupid small minded corrupt politicians.

Why does the City of Miami and Miami-Dade County have to waste the taxpayers money on projects no private investor would consider? Two performing arts halls? Money for a privately owned baseball team? A baseball team that sells 3,000 tickets per game? Money for two museums that will also create massive operating losses? $28 Mil in losses for Jungle Island? All projects that benefit a few at the expense of the many.

When do the taxpayers get a chance to say No?

amo said...

Asi es, WDTTKGS.

As a taxpayer who's "trying to understand" all of this alternate spending and simultaneous budget cutting, I have to think that if so many in the industry and in public office believe so much in the magic hand of the market, then where is the private sector in all these projects? Has private investment actually followed public expenditures?

Geniusofdespair said...

thank you thank you
Why do the taxpayers keep getting screwed

Your comment is what we needed on this post. I am glad you found our blog and I hope you come back often. I learned a lot from your posting.

Anonymous said...

To GOD,
You are welcome.
I learn a lot reading your reports.

To amo,
What "budget cutting"? We hear talk from politicians, but do they actually ever vote to reduce budgets? We saw the City of Miami Commissioners commit to $2 Bil plus in expenses and Miami-Dade County Commissioners will probably follow them Tuesday December 18th.

Who makes the money to pay the taxes..that get demanded by weak willed politicians?

Anonymous said...

REMEMBER THIS................


The Interstate 5 freeway is closed in both directions at the Newhall Pass Saturday Oct. 13, 2007, as the truck route tunnel still smolders after a 15-truck pileup on the rain-slicked Golden State Freeway in northern Los Angeles County in Santa Clarita, Calif., late Friday.
» More Photos
• Los Angeles County Fire Inspector Jason Hurd says it was a horrific scene.
• 5 trucks burn in Calif. freeway tunnel
SANTA CLARITA, Calif. --
A late-night crash in a Southern California freeway tunnel quickly turned into a fiery, chain-reaction pileup that mangled several trucks, killed at least two people and shut down the key north-south route as the wreckage burned into Saturday.
The crash late the night before involved an estimated 15 big rigs and possibly one or more passenger cars and sent people fleeing for their lives from the flaming tunnel. At least five of the trucks burst into flames, and the fire spread to the others. Ten people were injured.
"It looked like a bomb went off," said Los Angeles County firefighter Scott Clark, one of about 300 firefighters who battled the blaze through the night.
The bodies of two crash victims were found in the tunnel Saturday, said California Highway Patrol Officer David Porter. He couldn't immediately say whether one of them was a trucker listed as missing.
Firefighters could find more bodies as they explored the charred tunnel Saturday, said Los Angeles County Fire Department Inspector Ron Haralson.
The pileup in the southbound truck tunnel of Interstate 5 began about 11 p.m. Friday when two big rigs collided on the rain-slickened highway about 30 miles north of downtown Los Angeles. As crashes continued throughout the tunnel, which is about an eighth of a mile long, five tractor-trailers burst into flames, and the fire quickly spread.