Is this the end of North Miami’s CRA?

r-i-pFormer North Miami Councilman Jean Monestime made history by becoming the first Haitian American Miami-Dade County Commissioner in 2010.  He did it again when his colleagues on the Commission elected him as Chairman in 2014.  Members of the Haitian community, especially those in North Miami, were rightly proud of his accomplishments.

And yet, Jean Monestime appears to be hell-bent on destroying the very city that launched his political career.

The future of North Miami’s economy, which relies heavily on its CRA, all depends on Chairman Jean Monestime’s next move.

The City of North Miami’s Community Redevelopment Agency (CRA) was established on June 7, 2005 by the City of North Miami and Miami-Dade County for the purpose of “eliminating conditions of blight that exist within the City and helping to improve the quality of life by revitalizing the City’s physical, economic, educational and social resources,” as described on its website.  This independent government agency operates “on a budget generated by an increase in property taxes within the area. Once the CRA is established, a percentage of the increase in real property taxes goes to the CRA. This tax increment is used to finance the redevelopment projects outlined in the Community Redevelopment Plan.”

Section 1.1 of the CRA’s Redevelopment Plan Phase I states [emphasis mine]:

“The City of North Miami is a City of 5,600 acres located in northern Miami Dade County. Except for 193 acres (the Munisport Site) located within the Interama Site, the City is 100% built-out. Between 1940 and 1980, 19,550 housing units of the City’s total 22,281 units were developed. Much of the City’s commercial property was also built in the same era. A significant portion of this housing stock and commercial property has deteriorated, is now underdeveloped or functionally obsolete. This underdevelopment has led to severely low taxable values in large areas of the City and consequently affects the City’s ability to deliver services in response to demands.

From 1980 to date, the City’s population grew by almost 18,000 people with only 2,400 housing units constructed. More remarkably, in the last 13 years, the population grew by 10,000 people and only 646 new units were built. This census data does not take into account the existence of possibly 18,000 – 20,000 people not officially counted in the 2000 Census. The overcrowded, substandard, and deteriorating housing conditions combined with the lack of business vitality of the City’s commercial core, land use conflicts, infrastructure deficiencies, and the City’s lack of decent affordable housing for its residents has lead to an effective taxable value stagnation in over 50% of the City’s properties and necessitated a major response. Due to the magnitude of these problems, the City focused on creating a Community Redevelopment Area (CRA) and later an Agency to oversee its redevelopment activities.”

In accordance with the Plan, an Interlocal Cooperation Agreement between the City of North Miami and Miami-Dade County was signed on September 1, 2005, and amended on August 18, 2009, created the “North Miami Community Redevelopment Trust Fund (the “Fund”) which provides for the calculation and appropriation of tax increment funds.”  This Fund is financed by both the City and the County in an amount equal to 95% of the increment and ad valorem taxes collected within the CRA boundaries.  Each annual budget prepared by the CRA must be approved by the County.

The CRA was also granted numerous powers to acquire, redevelop, rehabilitate and/or demolish properties, construct parks and playgrounds, eliminate blight and unsafe conditions, use eminent domain, plan or replan public roadways, make capital improvements, among other things, primarily for the benefit of “families and individuals of low and moderate income.”  The Agency was also given the power to help relocate individuals who would be displaced by redevelopment.

Beginning in January of 2015, the Mayor and Council sought to update and amend the 2005 Redevelopment Plan.  Many public CRA workshops and meetings with the County Commission Chairman and his staff were held.  On February 23, 2016, the Mayor and Council passed Resolution 2016-R-23 to approve the Amendment to North Miami CRA Plan (2016).  The idea was to provide “provides an extension to the life of the CRA until October 01, 2046, as provided by Florida State Statutes.”

The Amendment also points out several important items:

  • “The Florida Housing Data Clearinghouse identifies 21,577 housing units within the City of North Miami.  Of these, almost all (95.9%) were constructed before the year 2000, and 92.9% was constructed prior to 1990. Only 1,537 units have been constructed since 1990, although the population of the City increased by 10,634 from 49,998 in 1990 to 60,632 today.”
  • “For purposes of housing affordability, households that spend more than 30% of income on housing are considered to be “cost burdened”, and those that spend more than 50% of income on housing considered severely cost burdened.”  As such, “more than 60% of all North Miami households are cost burdened (as compared to 54% for Miami-Dade County), 34% severely cost burdened (31% for Miami-Dade County).”
  • “Since the 2007 adoption of the Comprehensive Plan, a number of challenges have emerged in the City’s local environment including, but not limited to, the threat of sea level rise, the redevelopment of the City’s Downtown and major corridors, the upgrading of the City’s aging infrastructures, as well as the growing demands for new housing, employment, transportation, entertainment, food, health and other community needs. In general, the City’s tax base has not kept pace with growing service demands.”

As such, the City of North Miami updated its Comprehensive Plan by Ordinance, which was approved last year.  As required by Florida Statute, the Amendment to the CRA Plan is consistent with the City’s Comprehensive Plan.

The CRA Amendment also lists fourteen Redevelopment Goals, two of which specifically include the recruitment of new businesses for economic development, and a home beautification program designed to reduce blighted conditions in the city’s residential neighborhoods.  The Plan projects spending between $30 to $50 million for economic development projects and $30 million for housing/residential development.

After negotiating with the County Commission, Mayor and Staff for nearly two years, on September 13, 2016, the North Miami Mayor and Council proposed the final draft of a Second Amendment to the Interlocal Agreement in connection with the Amendment to CRA Redevelopment Plan (2016).

This Second Amendment specifically states that “the housing component of the Plan shall serve an income mix of extremely low, very low, low, moderate, and workforce housing up to 140 percent of the area median income…”  and that “up to 10% of the Agency’s annual budget will be allocated for housing projects…”

This Amendment also extends the CRA Trust fund until July 13, 2044, with several conditions that must be met by September 20, 2023, including the rehabilitation of at least seventy residences of “very low and low income” families.

In order to present a final amended CRA Plan to the County, the North Miami Mayor, Council and staff have spent nearly two years negotiating with County officials, making the recommended changes and concessions.  They have met all of the County’s requirements.  In order to keep the North Miami Community Redevelopment Agency alive, the County must approve the Second Amendment to the Interlocal Agreement by no later than December 20, 2016.  If this Agreement is not approved, the entire Agency will be forced to close up shop, or “sunset.”

The County Commission’s stamp of approval should be merely ministerial.  The City of North Miami has incorporated all the recommendations made by the County.  All Chairman Monestime needs to do is place this item on the County Commission’s Agenda for the next meeting, and it’s a done deal.

By refusing to do so, however, the painstaking two year process has come to a screeching halt.

At the eleventh hour, Jean Monestime is demanding that the city redraw the CRA boundaries, specifically to exclude the rehabilitation of all single family homes.

Unfortunately, doing so will also abolish the residential home beautification program, thereby depriving “very low and low income” families of the assistance they need to repair and maintain their homes according to code.  Most of these residents live 200% to 300% below poverty level.

Redrawing the CRA boundaries at this late date is a major problem.  In order to do so, the entire CRA area would have to be resurveyed.  Amended legal descriptions would then have to be submitted to the county appraiser in order to recalculate the tax base back to 2005, the date the Plan was adopted.  Even if the City did agree to these changes, this time consuming procedure would never be completed by December 20, 2016 – the final deadline for the approval of the CRA Plan.

Chairman Monestime had nearly two years to require these changes.  Why did he wait until now?

It certainly appears to be vindictive.  And very, very personal.

If the County Commission does not approve the Second Amendment to the Interlocal Agreement by December 20, 2016, the dissolution of the entire North Miami Community Redevelopment Agency is inevitable.

Not only will all the CRA funding for beautification, infrastructure, and parks cease, but the city will also lose its ability to subsidize existing businesses and offer incentives to new ones.  The death of the CRA will economically cripple the City of North Miami.

Despite support from the rest of the County Commissioners, Chairman Jean Monestime’s stubborn refusal to place this critical item on the Agenda is absolutely mind-boggling.

I’d ask him why, but he hasn’t returned my call.

The real irony, however, is that Jean Monestime may end up destroying the very agency he helped create.

cra-planCounty Commission Chairman Jean Monestime must set aside whatever his personal agenda may be, and do the right thing for the residents of North Miami.

The same North Miami residents who put him in office.

Just saying.

Stephanie

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4 thoughts on “Is this the end of North Miami’s CRA?

  1. What a shame. No wonder people have such a bad impression of politicians. Yet they keep electing the same inept, megalomaniac and narcissistic characters to public office

  2. As per resolution R-499-16, the BCC recommends that steps are taken to (1) ensure that community redevelopment agencies increase the number of affordable housing opportunities, (2) protect existing neighborhoods from gentrification due to redevelopment activities, (3) ensure job creation and economic growth (4) ensure that community redevelopment agencies comply with the County’s policies.

    These are very important for many of us in the community.

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