2009-27210 ResoRESOLUTION NO. 2009-27210
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF
THE CITY OF MIAMI BEACH, FLORIDA, AUTHORIZING THE
ADMINISTRATION TO CHARGE CUSTOMERS $75.00 FOR AN
ONLINE LIEN SEARCH, $113.00 FOR A CONDOMINIUM
ONLINE LIEN SEARCH, $100.00 FOR A CERTIFIED LIEN
SEARCH AND $150.00 FOR A CERTIFIED CONDOMINIUM
LIEN.
WHEREAS, the City of Miami Beach processes approximately 2,250 lien
searches annually; and
WHEREAS, on September 26, 2007, the City of Miami Beach established the
current fee structure for lien searches, in conjunction with, the release of a new web-
based lien search system; and
WHEREAS, the web-based lien search system will allow customers to conduct
lien searches on line, and at their convenience, 24 hours a day, from a home or
business computer and obtain the results in minutes; and
WHEREAS, the customer may request from the City of Miami Beach, by and
through the Finance Department, either a certified or non-certified lien search; and,
WHEREAS, the City of Miami Beach's certified lien search utilizes data that is
acquired from several City of Miami Beach Departments in order to validate the accuracy
of the information; and
WHEREAS, the City of Miami Beach Finance and Citywide Projects Committee,
at their July 8, 2009 meeting, recommended the implementation of the following fees
that must be charged for these lien searches: $75.00 for an online lien search, $113.00
for a condominium online lien search, $100.00 for a certified lien search and $150.00 for
a certified condominium lien; and
WHEREAS, the Administration is proposing that the fees be established and
effective October 1, 2009.
NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND CITY
COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City
Commission hereby authorize the Administration to charge customers $75.00 for an
online lien search, $113.00 for a condominium online lien search, $100.00 for a certified
lien search and $150.00 for a certified condominium lien.
PASSED AND ADOPTED THIS 24th DAY OF September , 2009.
ATTEST:
M~(TTI HERRERA BOWER, MAYOR
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ROBERT PARCHER, CITY CLERK ~ ~'~ ~~C~T~E?~'J
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T:WGENDA\2009\September 24\Regular\Lien Fee Increase Reso 9-24-20 f .doc„ ~~~
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COMMISSION ITEM SUMMARY
Condensed Title:
Resolution of the Mayor and City Commission of the City of Miami Beach, Florida, authorizing the Administration
to charge customers $75.00 for an online lien search, $113.00 for a condominium online lien search, $100.00 for
a certified lien search and $150 for a certified condominium lien search.
Intended Outcome 5u
• Enhance external~nternal communication from and within the City;
• Increase resident satisfaction with employee contact;
• Improve process through Information Technology;
• Improve the City's overall financial health and maintain overall bond rating;
• Ensure expenditure trends are sustainable over the long term; and
• Make City More Business Friendly.
Supporting Data (Surveys, Environmental Scan, etc.): The 2009 Community Satisfaction Survey states
that 65% of residents and 55% of businesses ranked the City either excellent or good for the overall value of City
Services received for tax dollars paid. 67% of business respondents would recommend Miami Beach to others as
a place to run a business. 66% of residents and 55% of businesses felt they received the right amount of
information from the City.
Issue:
Shall the City Commission Adopt the Resolution?
Item Summary/KecommenaaUOn:
The City of Miami Beach processes approximately 2,250 lien searches annually. Current fees for lien searches
range from $50 to $75, with approximate revenues at $118,750. Customers are able to conduct a lien search
online, 24 hours a day, from the comforts of their home or business computer and receive the results in minutes.
If a customer requires a certified lien search, they are able to file a request with the Finance Department.
In October 2007, the City of Miami Beach established the current fee structure for lien searches, as well as,
released aweb-based lien search system (System). When conducting a lien search, the System researches
open building permits, code violations, building violations, in addition to unpaid amounts for City charges (i.e.
water, sewer, stormwater, waste, resort tax, special assessments, business tax, and miscellaneous City bills).
The System receives daily uploads of account information compiled by the City's Information Technology
Department from the City's various information systems. The account information is sorted by address and folio
number and is retrieved from the System by customers inputting the property's address and/or folio number on-
line.
Customers are able to conduct a lien search online, 24 hours a day, from the comfort of their home or business
computer and receive the results in minutes. If a customer requires a certified lien search, they are able to file a
request with the Finance Department.
The Finance Department has analyzed its costs to process lien searches. This analysis takes into account the
labor costs, as well as, related materials and overhead associated with processing searches,
Adviso Board Recommendation:
The City of Miami Beach Finance and Citywide Projects Committee, at their July 8, 2009 meeting,
recommended the proaosed fees be charoed.
Financial Information:
Source of Amount Account Approved
Funds: ~
N/A 2
OBPI Total
Financial Impact Summary:
ci clerk's Office Le islative Trackin
Trish Walker, ext. 6461 ~
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Depa nt Director Assi ant Manager City Manager
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m MIAMIBEACH
City of Miami Beach, 1700 Convention Center Drive, Miami Beach, Florida 33139, www.miamibeachfl.gov
COMMISSION MEMORANDUM
TO: Mayor Matti Herrera Bower and Members of the City Commission
FROM: Jorge M. Gonzalez, City Manager
DATE: September 24, 2009
SUBJECT: RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF
MIAMI BEACH, FLORIDA, AUTHORIZING THE ADMINISTRATION TO CHARGE
CUSTOMERS $75.00 FOR AN ONLINE LIEN SEARCH, $113.00 FOR A
CONDOMINIUM ONLINE LIEN SEARCH, $100.00 FOR A CERTIFIED LIEN
SEARCH AND $150 FOR A CERTIFIED CONDOMINIUM LIEN SEARCH.
ADMINISTRATION RECOMMENDATION
Adopt the Resolution
KEY INTENDED OUTCOMES SUPPORTED
• Enhance external/internal communication from and within the City;
• Increase resident satisfaction with employee contact;
• Improve process through Information Technology;
• Improve the City's overall financial health and maintain overall bond rating;
• Ensure expenditure trends are sustainable over the long term; and
• Make City More Business Friendly.
BACKGROUND
The City of Miami Beach processes approximately 2,250 lien searches annually. Current
fees for lien searches range from $50 to $75, with approximate revenues at $118,750
(Figure 1).
Figure 1 - FY 2009 Lien Revenues
September 24, 2009 City Commission Memo
Lien Fee Resolution
Page 2 of 3
In October 2007, the City of Miami Beach established the current fee structure for lien
searches, as well as, released aweb-based lien search system (System). When conducting
a lien search, the System researches open building permits, code violations, building
violations, in addition to unpaid amounts for City charges (i.e. water, sewer, stormwater,
waste, resort tax, special assessments, business tax, and miscellaneous City bills).
The System receives daily uploads of account information compiled by the City's Information
Technology Department from the City's various information systems. The account
information is sorted by address and folio number and is retrieved from the System by
customers inputting the property's address and/or folio number on-line.
Customers are able to conduct a lien search online, 24 hours a day, from the comfort of their
home or business computer and receive the results in minutes. If a customer requires a
certified lien search, they are able to file a request with the Finance Department.
The Finance Department has analyzed its costs to process lien searches. This analysis
takes into account the labor costs, as well as, related materials and overhead associated
with processing searches.
There are 1.5 Finance Department staff members dedicated to lien searches, for a total of
2,340 productive hours annually. 2,340 productive hours at the Finance Department's
Revenue Division's blended hourly rate of $90 equates to $210,600 in all costs (including
labor, materials and overhead). In addition to these costs, the City pays $8 per lien search
for searches conducted on the System. With an average 2,000 on-line lien searches
conducted at $8 per search, System charges equate to $16,000. In addition to these costs,
approximately 14 hours per month, for a total of 168 hours per year, are spent reconciling
lien revenues and expenditures, updating and backing up various City databases, as well as
reconciling customer accounts that have pre-purchased on-line lien searches. The 168
hours at the Finance Department's Revenue Division's blended hourly rate of $90 equates to
$15,120 in costs. Therefore, total costs for maintaining and operating the lien's section is
approximately $241,720.
As a result of this intensive effort, the City of Miami Beach Finance and Citywide Projects
Committee (Committee), at their July 8, 2009 meeting, concurred with staff
recommendations and moved the proposed fees for lien searches to City Commission for
review:
• On-Line Lien Search: $75;
• On-Line Lien Search -Condominium: $113;
• Certified Lien Search : $100; and
• Certified Lien Search -Condominium: $150.
Alien search for a condominium unit is more complex and requires 1.5 times the effort of a
single property search, as it involves conducting a search for common areas associated with
the condominium unit in addition to the unit.
The Finance Department and Office of Budget and Performance Improvement have
conducted an analysis of the proposed revenue impacts to the City. The proposed lien
search fee structure would result in an additional $122,650 in revenues to the City (Figure 2).
September 24, 2009 City Commission Memo
Lien Fee Resolution
Page 3 of 3
.-
On-Line Lien Searches -Condos
1,500
$50.00
$63.00
$113.00
$94,500.00
$169,500.00
On-Line Lien Searches -Other 500 $50.00 $25.00 $75.00 $12,500.00 $37,500.00
Certified Lien Searches -Condos 188 $75.00 $75.00 $150.00 $14,100.00 $28,200.00
Certified lien Searches -Other 62 $75.00 $25.00 $100.00 $1.550.00 $6,200.00
Totai Z,~il! ~'t~Stl15C9b ;3~tt~9t9E1
CONCLUSION
The City Administration recommends that the Mayor and City Commission of the City of
Miami Beach, Florida, adopt the attached resolution, authorizing the Administration to charge
customers $75.00 for an online lien search, $113.00 for a condominium online lien search,
$100.00 for a certified lien search and $150 for a certified condominium lien search.
JMG/PDW/GE/MM
T:WGENDA\2009\September 24\Lien Fee increase Memo 9-24-2009.doc
Figure 2 - FY 2010 Proposed Lien Revenues