Loading...
2016-29520 Reso RESOLUTION NO. 2016-29520 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ACCEPTING THE CITY MANAGER'S RECOMMENDATION OF AECOM TO MODIFY THE METHODOLOGY FOR CALCULATING THE EQUIVALENT RESIDENTIAL UNIT(ERU)FOR STORMWATER UTILITY USAGE,AND DIRECTING THE CITY ADMINISTRATION TO DRAFT AN ORDINANCE AMENDING CHAPTER 110 OF THE CITY CODE TO IMPLEMENT THE MODIFIED ERU CALCULATION FROM 791 TO 849 SQUARE FEET OF IMPERVIOUS AREA. WHEREAS, the City's utility rates are structured to collect the necessary revenues to meet operating and maintenance costs of the infrastructure, to cover debt service for bonds, and to maintain adequate operating fund reserves; and WHEREAS, at the September 10, 2014 City Commission meeting the Administration introduced the first reading of an ordinance to amend Chapter 110 of the City Code, seeking to adjust the stormwater utility rates; and WHEREAS, following the meeting, the City Commission advised the Administration of various communications they received from several residents questioning the veracity of the stormwater rate methodology;wondering whether the rates proposed were fairly apportioned(as some residents believed that homeowners should pay more,others believed that condominium owners should pay less,and others believed that persons living in high risk flood areas should pay a greater amount of the utility rate); and WHEREAS, during the discussion, the City Attorney advised the City Commission that the City's current stormwater rate methodology was established in 1996, and,at that time was supported by an analysis and rate report prepared by the City's consultant, CH2M Hill; and WHEREAS, at the second reading hearing of the Ordinance, on September 30, 2014, the City Commission approved Ordinance No. 2014-3898, and amended the stormwater utility rates for Fiscal Year 2014/15; and WHEREAS, despite adopting the stormwater utility rates, the City Commission continued the discussion as to the utility rate methodology, which is currently known as the Equivalent Residential Unit (ERU),which is calculated at 791 square feet of impervious area(the estimated 1996 calculation for charging private properties for the public drainage utilized by their property because of the impervious area that results in stormwater runoff); and WHEREAS,based upon the foregoing,the City enlisted the assistance of AECOM,the City's flooding and sea level rise consultant, to review the current stormwater rate methodology; and WHEREAS, the City Commission also directed that AECOM complete its report and to modify the appropriate ERU methodology, and for the City Administration to prepare an ordinance amending Chapter 110 to reflect the modified ERU methodology; and WHEREAS,on May 31,2016,the Mayor's Blue Ribbon Panel on Sea Level Rise was presented with AECOM's recommendation,which reviewed the present methodology and provided alternatives to modify the current method of calculating the ERU; and WHEREAS,on June 17, 2016,the Finance and Citywide Projects Committee was presented with the AECOM recommendation,and the Committee recommended that the methodology be reviewed with individual Commissioners and placed on the next City Commission agenda; and WHEREAS,AECOM recommended that the ERU calculation be modified from 791 square feet to 849 square feet of impervious area, as the impervious area of private property has increased in the past 20 years; and WHEREAS,the City Manager recommends accepting the recommendation of AECOM to modify the methodology for calculating the Equivalent Residential Unit (ERU) for stormwater utility usage; and also requests that the City Commission direct the City Administration to draft an ordinance amending Chapter 110 of the City Code to implement the modified ERU calculation from 791 to 849 square feet of impervious area. NOW,THEREFORE,BE IT DULY RESOLVED BY THE MAYOR AND THE CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City Commission hereby accepts the City Manager's recommendation to modify the methodology for calculating the Equivalent Residential Unit(ERU) for stormwater utility usage,and direct the City Administration to draft an ordinance amending Chapter 110 of the City Code to implement the modified ERU calculation from 791 to 849 square feet of impervious area. PASSED AND ADOPTED this d0 day of July, 2016. ATT 7/ZfA PhilipiLev./ =, Mayor Rafael Granado, City Clerk . APPROVED AS TO FORM &LANGUAGE . &FOR E EC 7N << <L . City Attomeyl „ to T:\AGENDA\2016WuIy\Public Works\AECOM-Reso amending ERU calculation.doc Resolutions - R7 E MIAMI COMMISSION MEMORANDUM TO: Honorable Mayor and Members of the City Commission FROM: Jimmy L. Morales, City Manager DATE: July 20, 2016 SUBJECT: A RESOLUTION ACCEPTING THE CITY MANAGER'S RECOMMENDATION OF AECOM TO MODIFY THE METHODOLOGY FOR CALCULATING THE EQUIVALENT RESIDENTIAL UNIT (ERU) FOR STORMWATER UTILITY USAGE, AND DIRECTING THE CITY ADMINISTRATION TO DRAFT AN ORDINANCE AMENDING CHAPTER 110 OF THE CITY CODE TO IMPLEMENT THE MODIFIED ERU CALCULATION FROM 791 TO 849 SQUARE FEET OF IMPERVIOUS AREA. RECOMMENDATION Adopt the Resolution. ANALYSIS The City's utility rates are structured to collect the necessary revenues to meet operating and maintenance costs of the infrastructure, to cover debt service for bonds, and to maintain adequate operating fund reserves. At its September 10, 2014 meeting, the City Commission adopt an ordinance, on first reading, to amend Chapter 110, of the Miami Beach City Code adjusting the stormwater utility rates. Following the first reading of the aforesaid ordinance, the City Commission discussed having received e-mails from several residents questioning the veracity of the City's stormwater rate methodology, while others wondered whether the rates proposed were fairly apportioned (Some thought that single family homeowners should pay more, while others thought condominiums should pay less or that those living in mostly flooded areas should pay more). The City Attorney stated that the City's current rate calculation was calculated in 1996 and, at that time, based upon an analysis and report prepared by the City's Consultant (at that time CH2M Hill). At its September 30, 2014 meeting, the City Commission approved on second reading and public hearing, Ordinance No. 2014-3898, amending stormwater utility rates for Fiscal Year 2014/15. As a result of these discussions, the City has enlisted the assistance of AECOM, the City's flooding and sea level rise consultant, to review the current stormwater rate methodology. The current stormwater methodology utilizes an allocation of the Equivalent Residential Unit (ERU). One ERU presently equates to 791 square feet of impervious area and is the base unit of all residential units throughout the City. This measurement serves as the common index to Page 157 of 216 compare runoff generated by each property. The ERU is developed using a statistical sampling of residential parcels which totals the impervious area including the building footprint and any additional impervious areas such as driveways, walkways, porches, decks, etc. For billing purposes, residential units are considered the same regardless of whether it is a condominium or a single family dwelling. Each residential property is assessed equally. Non-residential customers are charged a stormwater fee by taking the actual impervious area and dividing it by the 791 square feet. The total number of current ERU's is 110,265. The annual revenue requirement is then divided by the total number of ERU's to determine the required rate. At the Mayor's Blue Ribbon Panel on Sea Level Rise meeting on May 31, 2016, a presentation was provided by AECOM reviewing the present methodology and providing alternatives to modify the current method. The Panel voiced concerns with the proposed method and offered suggestions to be incorporated prior to the method moving forward. At the Finance and Citywide Projects Committee (FCWPC) meeting on June 17, 2016, a presentation was made by AECOM on the current and proposed methodologies. The basis for the change was the revised value of the ERU from 791 square feet to 849 square feet, which was derived by an analysis of residential properties including condominiums. Therefore, due to the increase in the square footage, the stormwater fees would result in some shift of revenue requirements from non-residential properties to residential properties. Several tiers of residential properties were presented from small to very large properties and their subsequent calculated annual fee based on current rates. There was concern expressed by the Committee that there appeared to be too large an increase on the medium single family residence. The recommendation of the FCWPC was to review the methodology that was presented taking into account the concerns discussed, for staff to meet individually with each Commissioner prior to the next Commission meeting; and put an item on the agenda for the City Commission's consideration. AECOM has modified their recommendations to address the concerns raised at the FCWPC. The proposed ERU remains the same at 849 square feet of impervious area. However, the single family home class has been reduced from four tiers to only two tiers. This means that the majority of the single family homes will remain as a single ERU while those with the largest impervious footprint will be measured and calculated. CONCLUSION The Administration recommends that the Mayor and City Commission adopt the Resolution. Legislative Tracking Public Works ATTACHMENTS: Description ❑ Resolution ❑ Attachment Page 158 of 216 c JwJ ® �7 C/3 LL E E Di CO ® Di °! 1 CO Di O 0 E Di Di ® C� • C-.1 Page 161 of 216 N 0 D Q.\ 0 \ W C n/ /1 W . aJ CC g)) ® -0 = co ,(1) 0 CC (I) .® C 0 �0 CO c� co o C E E !4•;:-: ti)) U) o c,., o CD ® E z (11.) 0 12 0 -5' E (n ■a la = o c� 2. x 0 • • • • • • Page 162 of 216 co W 2 ® 0 Co n D CO x–I w W eina 0) N- 0 r•-- — ® I • n 2 II ® Lo (0 ®, IX .c Q CD D (5 - w ® u) ® E •c E D ,I, ® -� E (1) w 14=1 c � 4 II O � O -Ir ..v ® II .-) co 1--0 43 C CD (y) 117_,- c CD 4—") C- to -8 C 0_ = R (7) .E °8 •7) = C.) To 4 ..7) 0 ® a cni n> 0 a) 05 Go 11>ii 0- 2 ---- 0 ma) CC (13 = 5 ®c c D 0 Nia.® w 2 Q z 4- w ICJ U v • • • • • • Page 163 of 216 d- 1 Ir. O D N �/ li a) .. o U O co O L ■•... :F-, (n co t` N E N (I UO -o x — ■. CZ •V) W co .1... 4O CO O C >< 0 a) •— c ID O P33 < ,,-§: ' r�,� N Q) �. — U) _ 1 , 0. co p > > — — cr Vo 0 0 C — + II . N W ' .-7-e— •0 ',.., -0 �, -0 c1 Q) Q N \ n 0 1:i+ij C_.+:0>7, .4--isi ..ou...1 2:0 ...c(:.00(1:, ..:. ; _ \ , i in V): (1 2 O w c0 co m -0 iic Page 164 of 216 LU IN w y/ m CO-C3 rj."7.',5 ,e.:,:rti.,,r44....„:1074 c .0 , U) i i -/ a-----7.•i .i :: lceam E , 4-- ``0 (W iii E 0 ^= C O c O p s = 73 a) u) . . ......, cu .... CO CO 2 •_, -0 1 CIS _ (CD i i s• ' Q. (/) ct a) L- -05 O _ 0 4) i CD 11� U C. W . . .... ...... Page 165 of 216 co N N O CO > O •c O a O N E 0 a) x 4( II N ,, d' o 0 d' LO O 00 L -o(Ni Cr - N © 2 ° (0 -EA- N kft a) c6 aimmi 00 (0 II co 0.4 C E cpc 4+ �o N E > 8 o Q > N- to - c6 c6 E O C p N C C 0- o 1- d. © z Li- fx(jr) .7a c° c \---1 (./)te. _ > O O 0 CD m cI3 w II ii = N N N N i U) co n m O .� C Ln +� ,�, 0 0 0 0 c N N w (n u) 4-- 0 E C C CCS LE LE LE LL" 2 2 0 Q � o .U) C C X ,x U U U 0 73 a2 g IR. 4_ N 2 2 N N N = 0 N o >9 '- I_ 0. 0. •O O . -0 C o Li)d U Q Q CL 0- L O U a)E® o Cii) a • • • • • • • • • ac Page 166 of 216 0 0 0 0 0 o O o • N CO N- co 0 O = .,-1 CNi m-I r I co O co f` 00 O ei c a) t) L wa) LL O co d' N N d' 000 0 CO t r-I OD CO O) Lf) 'OA ti O 6 CO rl 4 00 C = O I� d' CO 0 CO N vi CO CO CO N CO d- CO M m CO Co N CO N am d' L~f) To 0 CO N CO d• CO 0 = co. E1) ti 06 r-I nj = ER. 69- ER ER ER N Cl) a N alia C N CO H LC) O O N ,- 0 0 0 0 6 m CO N 0) CO 00 CO 10 0 CO O O 1-1 O O N- M eOi N r-I N d- co N 00 ++ C N LO CO COO H c1 OMO V O N} Et Efl . ER ER 2 tiD E N a) o. C ■® mom mom •NM LU 0) CO CO CO H CO u) N O) 0 CO CO LS) I� O CO l0 d• N N CO �= CO N (0 to Ca (f/ H ci CO H N N = co N CO N • H \--1 CO d1' 00 .4 (0 00 .�-I e-I c `-1 o ~ C l- .12 ams 0 to ikm c 0 0 C.) - _ o _ 0 +7, = N a) bll °' O ■. N a) c ^ N :� o O C a) 0 r. U N 6 - 1r NM ,�} N 0 ES c a) 2 c 0 To a�i a) .�a +I co U �a ro ■s = E C a`) x C7 ai c o o c0 ai ac) ac) CO) C7 E m 3 a i 0 O -0 m a o O a o o o * = y +31 c c N C Q < 0 0 0 0 = cc 10- V Z 0 W. Z cc i H Page 167 of 216 00 C 0 CC E '- wV Ca CO 4) C 2 +-, co ® Co 0 ■- CQ ® +� C •■® a) (7) ® .g =a) 2 m ( E 8 to'-0 > V 76 =eE ® a. -0 a) a O +-, p O TD ozu co co a)a) o a) ® D 0 1 1 1 4, • • • . Page 168 of 216 rn C ` i Q) 0 E 1 ® cca `n > ID E 75 co ® L a. cn = co o 73 o_ :O i c co cu 42 _o a) CO 0 O (n O 4- o � O 4- 4.- 0 o. c6 c6 ' U cn a) Q) n > CO c fl can =To CO co E u) E ,� °' C W co a) to a) E :E 0 O a U °� N E Q C i) a) -a v = .� CO 0 U) ' — = U) U) Q. D V MO (13 > ® ca am (B C CO 10 a) = N N 0 a) I 1 E " C6 0 • •• 0 C.) • pp0 • sm. tull I I am (1) a Q U Page 169 of 216 O -o a) co C B® U em. co tZ = N w II N 2 N `- - II ® 00 0) ® N d- (NI 00 -CI 6 c4 (i) N = "C 0 10 > 4 —0- A D a) 0 0 CC 2 a 2(0 To bu0 sa0 w co co 2 a) (13 cI3 o ,—) C 7 1 3 cn CD It. 0 (a .- = 0- Q CO II 0 0 LL. E ca LL. LL p LL p -F; 0 E m E --r 7 1 _ "0 a) kT‘b to xi° .— 76 �_ 0 -c I I I m m ®) w 2 I-- f— ®C • • • • Page 170 of 216 F mat 1 ' t 5.. 1 n i f ; d I a z ,..1, d p s !•i P - �I@ jt , .a - g 3 I L 1 �ki, '34� Ir `:Ie r .' '::f"•:-.•�•X16 , ' kit`t; t a l ..kr S"' ,,1) _. 3 ', far � ir s xL,y ua ia° ■ ■NMI �" 97q �'s� r^ u 7; a d.I� X`1 .p4 t CD iii p. re �. a =k CO , CO›% If::"1:1;i4:11.'7::.."•:.'!,`.i1"7":'1t,- ,.'' f 1' /:' #41, iiiNV ' f �I . .,_, ,..) Lim 9 d � 1-t ' t L IL JiF { .,y C Ar5 Q N y i ■ I II III1I ii�!��Li�+5� '1 t 'I--1 " 0 r"` Page 171 of 216 c-I 9- 4) 0 a O m 7 O O? d) > O G) c LO O IX 4) I` d O O LU c-i N v-I of N O N CC 06 ti Lo - .= N R 00 FO fF)- (j. .0 O > C) N M CO ti U) CC (0 (0 W 4 01 CIC— R r/ _. S W � = w bA N ®® Q ai ■— ° a> o °moo ° as ~ m 2 a rn a LIEc 00 cO CO (0 N OO ic co ®® UI) 1.6 N I N N O L I° Page 172 of 216 co o, o 0 v) N 0 00 0) 0 00 LC) LS O O 0') N CO LS) O O `.. d rri ■ O Ttl O = i C >•13 CI- a O i ai U- c c O 0 L w o a v a, o N i -a -0 73 -d CL t _ _ lL Z C U Z U 'vi 22 L U O m ■ El MI_ N O N c) n 00 c 4 I` N co NH 0) E ti C\1 0 00 -E d' d' o C= O ce C o`^ 4) W cu ,,)' csi cc E E ,_� F. 0 ,, A° m g 0 0 o V o0 cn ._ h- O O 00 O W `c'• O ti O ef' N O fY Imo ... . .. D d' O N N 0 . .. . s G Lc) 00 0 N G ++ O • O CI. CC C O N. 00 O co 00 Lt) CO N CO N C) N DD d� I-I TD o_ a' C CF3 WI. C O W m o 0) 0 o U) .5 ° U ��� a-) c Z X 0 17•75 Ts O "0 C S✓ O Lam.. CD 73 ` o 0 o 2 >, ._ • C N o " N c C) OztoCt I— Page 173 of 216 ct 4-) c W co L._ (3) � u^J' CO (NI Cr?, -609- 0 (0 L co ...c (0 .609- 61) •=1® O c E ( N- a) 00 co 00 00 e w © 76 a) 4-) u„ II cn w w < ® -0 -0 .2 Cr a) a) c co 0 -E51 c0 cO co 4> < w 2 • • • • Page 174 of 216 LU C- _0 C 0 _o 0 o -o o _c 0 !o -0 `- o E SS 4(15 +J 1>N C 0 E (n U 4- 0 o 0 4, U .� Z U) C +J U o •!2 Q E CC cC5 CO CO 4- INC +(;) .4a)j w w Page 175 of 216