File Name: DEVELOPING NEW HOTEL AT MIAMI INTERNATIONAL AIRPORT
Introduced: 2/5/2020
Requester:
NONE
Cost:
Final Action:
Agenda Date:
Agenda Item Number:
Notes:
Title:
DISCUSSION ITEM REGARDING DEVELOPING A NEW HOTEL AT MIAMI INTERNATIONAL AIRPORT
Indexes:
NONE
Sponsors:
Esteban L. Bovo, Jr., Prime Sponsor
Sunset Provision:
No
Effective Date:
Expiration Date:
Registered Lobbyist:
None Listed
Legislative History
Acting Body
Date
Agenda Item
Action
Sent To
Due Date
Returned
Pass/Fail
Chairwomans Policy Council
4/20/2020
1F1
Presented
REPORT:
Pursuant to Mayor Gimenez’ question regarding whether Chairwoman Edmonson wished to stop the negotiations process and delay the proposal thirty (30) days, Chairwoman Edmonson asked that the proposal negotiations be halted.
Commissioner Bovo commented on the proposal made at an airport committee meeting to build a hotel at Miami International Airport (MIA) and questioned if the airport director believed there was a critical need to build an additional hotel at the airport. He asked if the initial procurement work done on that proposal could be continued or whether a new procurement process needed to be started; and questioned the ownership of design and plans rights.
County Attorney David Murray advised state law did not require a competitive process for airport facilities; therefore, a competitive procurement process was not necessary to develop the proposed airport facility that would include an airport hotel. He stated it would be the Board’s policy determination to decide whether to consider using some or all of the work done up to this point, and the Board could direct staff to review existing proposals.
Commissioner Bovo advised he was respectful of the committee process; therefore, he would like to give Chairwoman Edmonson or the airport committee discretion to determine the best process to have this proposal move forward due to current circumstances and lack of knowledge as to whether the committees would be able to meet. He stated that needed guidance on how this process could be moved forward.
Vice Chairwoman Sosa commented on the issue that there were companies interested in moving forward with the Airport City proposal; and an airport master plan had already been approved by the Board, which included the construction of two (2) hotels. She stated she strongly believed the airport master plan concept should be continued with the inclusion of an expanded transportation system. She noted Miami-Dade County assets should remain under the ownership of the County since she believed public assets should not be sold. Therefore, she encouraged Commissioner Bovo to continue with the approved master plan, which already included feedback from the public; and she asked Commissioner Bovo to allow the continuance of the procurement process.
Commissioner Bovo clarified he was unsupportive of the Airport City proposal. He noted that he was referring to the need to develop a hotel and modernized hotels at the airport and was referring to the design plans for building a hotel.
Chairwoman Edmonson agreed the need to build a hotel existed, but the Airport City proposal was not under consideration.
Commissioner Martinez referenced a resolution the Board enacted in 1999 addressing hospitality service at MIA.
Commissioner Moss commented on the issues of minority participation as it related with the 2003 Request for Proposal (RFP) for the airport hotel redevelopment, noting the concerns raised. He provided an overview of the airport hotel redevelopment process over several years and noted he hoped progress could be made on the development of the airport hotel rather than the Airport City proposal.
Commissioner Heyman advised it was important to construct a hotel at the airport, but building two (2) hotels may no longer be a viable idea due to the recent land redevelopment within the adjacent area.
Mr. Lester Sola, Airport Director, Miami-Dade Aviation Department, provided an overview of the redevelopment changes within the area and noted economics supported the construction of two (2) hotels. He stated the airport’s economics had changed as a consequence of the Coronavirus disease 2019 (COVID-19) situation; but if the economy improved again and passenger traffic increased, it would demonstrate the significant need to build both hotels, particularly due to the age of the existing hotel. He noted it would be financially correct to build both hotels.
Mr. Sola provided an overview of the history of the Airport City proposal and the development proposal. He noted the County Administration rejected the proposal after reviewing it; but in 2019, the Board approved a master plan for the airport and a competition procurement process for the construction of two (2) hotels with the agreement that a proposed design plan from the concept of Airport City could be included, or the Board could direct the County Administration to do a competitive procurement process or engage in negotiations with any proposal.
Pursuant to Commissioner Moss’ comments regarding the need to build a hotel with Federal Aviation Administration (FAA) approval, Mr. Sola responded a request for re-approval would have to be resubmitted in conjunction with the developer.
Pursuant to Commissioner Moss’ question regarding whether the process could be expedited, Mr. Sola advised the designers of the hotel had completed sufficient work to have the County engage directly with them; but there were also contractors willing to purchase the design and negotiate the terms of the contract.
Commissioner Moss commented there was a need for a world-class airport and hotel with convention space at MIA, and he wished to have this development reviewed and under development before the expiration of the County office seat terms of Board members so that footprints could be left behind.
Chairwoman Edmonson commented she also wished to have one (1) or two (2) hotels built at the airport with convention space, and she wished to have the process expedited.
Commissioner Bovo asked the County Attorney to prepare a legislative item creating a procurement process for the development of the hotels and that the item allow all of the design and planning work previously completed to be considered in the procurement review process. He also asked the legislative item be brought back before the Board within thirty to sixty (30-60) days and noted this legislative item was necessary due to the Board’s inability to convene committee meetings at this time due to COVID-19.
Assistant County Attorney Murray clarified Commissioner Bovo’s motion would direct the County Administration to develop a process and bring it back before the Board for consideration and approval and would request that the County Attorney draft an appropriate legislation in that respect, and also allows for an open competitive process without precluding the introduction of design plans or contract terms previously contemplated in prior hotel discussions.
Commissioner Bovo pointed out it was important to allow other developers to compete in a transparent competitive procurement process and he believed it would be inappropriate to allow a contractor, who had purchased the design plans from another developer, to build the hotel.
It was moved by Commissioner Bovo that the Chairwoman’s Policy Council (CPC) direct the County Administration to develop an open competitive procurement process for the development of a hotel at Miami International Airport (MIA) without precluding the introduction of design plans or contract terms previously contemplated in prior discussions for the development of the proposed hotel, and that the County Attorney’s Office draft appropriate legislation in that respect, and that the item be presented before the Board within thirty to sixty (30-60) days for consideration and approval. This motion was seconded by Chairwoman Edmonson; and upon being put to a vote, the motion passed by a vote of 13-0.
Tourism and the Ports Committee
3/11/2020
1F1
No action taken due to cancellation of meeting
Tourism and the Ports Committee
2/12/2020
1F1
No action taken due to cancellation of meeting
Legislative Text
There is no text currently available online for this item.
