Resolution 2021-31618R E S O LU T IO N NO . 2021-31618
A R E S O L U T IO N O F T H E M A Y O R A N D C IT Y C O M M IS S IO N O F TH E C ITY
O F M IA M I B E A C H , F L O R ID A A C C E P T IN G T H E R E C O M M E N D A T IO N O F
T H E FIN A N C E A N D EC O N O M IC R E S ILI E N C Y C O M M ITTE E A T ITS
F E B R U A R Y 19, 2021 M E E T IN G , A N D U R G IN G M IA M I-D A D E C O U N T Y
TO EN A C T M E A S U R E S T H A T PR IO R IT IZ E A T TRA C T IO N O F
T E C H N O L O G Y A N D FIN A N C IA L S E R V IC E S FIR M S ; A N D FU R T H E R
D IR E C T IN G TH E A D M IN IS T RA T IO N TO EN C O U RA G E A N D P R O M O T E
A T T RA C T IO N O F T H E S E TA R G E T E D IN D U S T R IE S .
W H E R E A S , Miami-Dade County is home to thirty-four incorporated municipalities,
cities, towns and villages; and
WHEREAS, the City of Miami Beach is one of Miami-Dade County's largest, and
most well-known tourist destinations, accounting for much of the regions' popularity
throughout the United States and around the world; and
WHEREAS, historically, the City of Miami Beach has contributed significantly to
the Miami-Dade County economy as an art, culture, leisure, recreation, and hospitality
center; and
WHEREAS, in recent years, the City of Miami Beach has become more
economically diverse with the establishment of headquarters and offices among the
technology and financial services industries; and
WHEREAS, median and average wages among the technology and financial
services industries are substantially higher than median and average wages in Miami-
Dade County; and
WHEREAS, current trends in wealth migration and the COVID-19 pandemic have
resulted in an increase in business relocations to South Florida, particularly to Miami-
Dade County; and
WHEREAS, the Mayor and City Commission recognize the benefits of a regional
approach to attracting technology and financial services firms to Miami-Dade County as
well as a local approach to growing these industries in the City of Miami Beach; and
WHEREAS, the Mayor and City Commission seek to further diversity the Miami
Beach economy by attracting, retaining and expanding businesses in these targeted
industries; and
WHEREAS, the Mayor and City Commission accept the recommendation of the
Finance and Economic Resiliency Committee to urge the Miami-Dade County Mayor and
Miami-Dade Board of County Commissioners to enact measures that prioritize attraction
of technology and financial services firms; and
WHEREAS, the Mayor and City Commission direct the Administration to
encourage and promote attraction of these targeted industries to the City of Miami Beach.
N O W , T H E R E FO R E , B E IT D U L Y R E S O LV E D BY T H E M A Y O R A N D C IT Y
C O M M IS S IO N O F TH E C ITY O F M IA M I B E A C H , FLO R ID A that the Mayor and City
Commission hereby accept the recommendation of the Finance and Economic Resiliency
Committee at its February 19, 2021 meeting, and urge Miami-Dade County to enact
measures that prioritize attraction of technology and financial services firms; and further
direct the Administration to encourage and promote attraction of these targeted industries
PASSED and ADOPTED THIS '_ day or (114cl
ATTEST:
RAFA
2021.
DAN GELBER, MA VOR
APPROVED AS TO
FOR M & LAN GUAGE
& FOR EXE CUTION
3-1o -2 )
City Attore! 43 Date
Resolutions - C7 E
MIAMI BEACH
COMMISSION MEMORANDUM
TO:
FROM:
DATE:
Honorable Mayor and Members of the City Commission
Raul J. Aguila, Interim City Manager
March 17, 2021
SUBJECT:A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY
OF MIAMI BEACH, FLORIDA ACCEPTING THE RECOMMENDATION OF
THE FINANCE AND ECONOMIC RESILIENCY COMMITTEE AT ITS
FEBRUARY 19, 2021 MEETING, AND URGING MIAMI-DADE COUNTY TO
ENACT MEASURES THAT PRIORITIZE ATTRACTION OF TECHNOLOGY
AND FINANCIAL SERVICES FIRMS; AND FURTHER DIRECTING THE
ADMINISTRATION TO ENCOURAGE AND PROMOTE ATTRACTION OF
THESE TARGETED INDUSTRIES.
RECOMMENDATION
This is a Consolidated Commission Memorandum related to targeted business attraction,
retention and expansion of firms within the technology and financial services industries, including
Resolutions urging Miami-Dade County and directing the Administration to prioritize attraction of
targeted industries (Agenda Item C7 E); authorizing the development and implementation of
inducements and services such as expedited plan review and permitting for targeted industries
(Agenda Item C7 F); as well as creating a Job Creation Incentive Program (Agenda Item C7
G).
Adopt Resolutions (Agenda Items C7 E, C7 Fand C7 G) to encourage and promote attraction,
retention and expansion of technology and financial services firms to and within the City of Miami
Beach.
BACKGROUND/HISTORY
The Mayor and City Commission have identified the need for making Miami Beach more
business and user-friendly as a key objective in the City's 2019 Strategic Plan. On September
17, 2020, the Land Use and Sustainability Committee discussed the migration of corporate
office tenants from locations outside of Florida to the greater Miami area, particularly in
correlation with the COVI D-19 pandemic.
As the pandemic has uncovered the economic vulnerabilities of the City, at the December 18,
2020 and January 22, 2021 Finance and Economic Resiliency Committee (FERC) meetings,
there were discussions pertaining to methods to diversify the economy and reduce the city's
dependency on the tourism and hospitality industries. The discussions surrounded identifying
targeted industries and establishing an approach to attracting these industries to Miami Beach
while continuing to support and strengthen core industries.
Page 260 of 2284
T he focus on technology and financial se rvi ces firm s em erg ed based on recent industry trends.
W ith current interest in M iam i-D ade C o unty fro m out -o f-state techno lo gy and financial serv ices
firm s and investors , M iam i B each is po ise d to attract firm s that create jo bs at above averag e
wa ges in industries pro ven to be resilient in the face of the C O VI D -19 pan demi c. A dd itionally, in
recent years and m o re so in recent m onth s, business own ers are changing their pers pective on
wh at a de sira ble business environm e nt lo o ks like.
C lass A O ff ice space is often a prerequisite fo r securing relocations wi th in these industri es. A s
dem and for C lass A O ff ice space has increased , M iam i Be ach has taken steps to create a
pipe line fo r this pro duct incl uding rece nt changes to zoning regulations and a R equest fo r
Letters of Interest to re develop certain city-o wn ed parki ng lots.
In recognition of the growi ng m igration of technology firm s to M iam i-D ade , and m o re particularly
to M iam i, on Ja nuary 21, 2021, the M iam i-D ade Board of C o unty C o m m issioners adopted a
R esoluti on (E xh ibit A ) directing the C o unty M ayor to develo p recom m endations for econom ic
developm e nt m easures to attra ct technolo gy com panies to relocate their head quarters to M iam i-
D ad e C o unty , to foster technology sta rt-ups to launch and rem ain in the C ounty , and to retain
and pro m ote th e developm ent of technolo gy com panies currently exi sting in th e C o unty .
R e c e n tl y, th e A d m in is tratio n has ta ken steps to bo lster the relatio nship betwe en the ci ty and th e
Beacon C o uncil, M iam i-D ade C o unty's off icial econom ic de velopm ent organiza tio n. T he
Beacon C o uncil has pro vi ded a sum m ary of busine ss attractio n and relocatio n conside rations
(E xh ibit B ) wh ich in general are likely to influence relocation decisio ns to the area.
ANALYSIS
With growing interest among financial services and technology firms and investors from the
Northeast and Silicon Valley and in a competitive market that includes nearby development
authorities and community redevelopment agencies, the City must be aggressive with business
recruitment efforts. On February 19, 2021, the Finance and Economic Resiliency Committee
discussed a three-pronged approach to business attraction focused on targeting technology and
financial services firms. The Administration identified a strategy to incorporate the following
elements:
1) Policy Direction and Relationship-building;
2) Inducements and Services; and
3) Public Relations and Marketing.
The Finance and Economic Resiliency Committee also recommended the following six (6)
tactics in furtherance of business attraction, retention, and expansion of businesses within the
identified targeted industries. The Administration seeks City Commission action on three (3) of
the six (6) tactics.
1) Affirmative Resolution (Agenda Item C7 E): A Resolution of the Mayor and
City Commission declaring an intent to attract technology and financial services
firms/businesses to Miami Beach. Additionally, the Resolution provides direction to
the Administration and urges Miami-Dade County to pursue steps to make this type
of business attraction a priority. This declaration sends the message to existing and
potential businesses that the city is committed to cultivating and supporting these
targeted industries.
Page 261 of 2284
2) Business Attr action Inducements and Services - Expedited Plan Review
and Permitting (Agenda Item C7 F): No-cost incentive offered to certain eligible
businesses and developers to encourage targeted relocations or expansions and
associated development. Efforts by the city to provide concierge and expedited
services are attractive to businesses seeking to relocate or expand.
3) B u siness Attr action Incentives - Job Creation Incentive Program
(Agenda Item C7 G): Business relocations are often spearheaded by site
selectors who do the legwork necessary for a relocation decision to be made, such
as evaluate and vet the various opportunities available to the prospective business.
Site selectors often inquire about financial incentives as part of their fact-finding and
decision-making process. The Job Creation Incentive Program (JCIP) (Exhibit C)
is a baseline financial incentive package that would ensure that the city has a greater
competitive advantage in the local market and the ability to leverage existing
incentives available from the State and County. The purpose of the JCI P is to
strategically attract companies and expand existing businesses within the City of
Miami Beach while increasing the number of quality, high-wage jobs in the
community. The applicant must create or relocate a minimum of ten (10) new,
fulltime equivalent jobs which average annual wages meeting or exceeding 125% of
the Miami-Dade County or State of Florida average wage, whichever is higher, at the
time of the application.
Fiscal Impact: The proposed incentive is performance-based. Job creation must be
demonstrated and/or sustained prior to disbursement of award. The JCI P proposes
a lengthy installment period in order to avoid shocking the General Fund without the
additional revenue generation that the incentive is intended to induce. JCIP
applications and awards will vary in quantity and amount based on the number of
applications and the application details. Applications may be accepted and awarded
at the discretion of the City Commission. A submitted application does not bind the
City Commission to grant an award. The maximum annual award for a single
company in a single year is $60,000 if all jobs are created or relocated during that
year. The maximum total award over a 3 to 4-year period is between $180,000 and
$240,000 for a single company. Award funding may be budgeted on an annual basis
or through a budget amendment.
4) Messaging and Collateral: Communicating with the appropriate audience is
critical to being successful in efforts to recruit businesses and investors. With a
myriad of options both locally and nationally, it is essential that the city highlight the
strengths and opportunities that set us apart from other locales. The Administration
will develop and disseminate collateral and content through public relations and
marketing efforts. (To be implemented administratively)
5) Business Leadership Advi sory Coun cil : Development of a Business Leadership
Advisory Council in coordination with existing business groups. The Council is to be
comprised of relevant, top-tier industry leaders in order that the City Commission
and Administration may draw from the insights of the Council to develop policies
well suited to attract like businesses within the focus areas of technology and
financial services. (To be implemented administratively)
P age 262 of 2284
6) Access to Leadership: The Mayor and City Commission play a significant role in
the business attraction process. Many business owners and leaders make
relocation decisions, at least in part, based on the professional relationships built
with elected officials and their perception of whether the elected body is supportive.
The Mayor and City Commission serve as ambassadors for the city in this regard.
This tactic may be achieved by developing a structured, yet flexible method of
offering potential business owners access to the elected body which includes a
combination of the Mayor along with all or designated members of the City
Commission. (To be implem ented adm inistra tively in consultation with the Mayor
and City Commission)
S UPP O RTING SURVEY DATA
Taking steps to diversify the economy by improving the business climate is essential to the
resiliency of the city. According to the 2019 Miami Beach Community Satisfaction Survey, when
asked how you would currently rate the City of Miami Beach as a place to do business, 30% of
businesses reported that the City has improved. By implementing a multifaceted approach to
business attraction, retention and expansion, the City of Miami Beach will strengthen existing
businesses as well.
C ON CL U SI ON
Traditionally, the city has benefited from its international status in order to attract visitors and
investment. Today, it is imperative that the city enact a tailored approach and take proactive
measures to seek out and attract new industry. Attracting new business and investment to the
city is a top strategic priority and the tactics discussed above are necessary to promote and
increase awareness of Miami Beach's competitive strengths. The Administration supports the
recommendation of the Finance and Economic Resiliency Committee to enact the measures
outlined herein.
A pp lica ble Area
Citywi de
ls th is a "R esi de nts Right
to Know"" item , pursuant to
C ity C o de S e cti on 2-14 2
No
D oe s th is item utili ze G.O,
B on d Fun d s?
No
S trat e gi c Connection
Prosperity- Revitalize targeted areas and increase investment.
Legislative Tr ack in g
Economic Development
ATTA CH M ENT S:;
D escriptio n
Resolution
Exhi bi t A- Miami-Dade County Resolution
P age 263 of 2284
o E xh ibit B - Mi am i -Da de B eacon C ounci l Letter
o Exh ibit C - Job Incentive Program
Page 264 of 2284
M E M O RAN D U M
Agenda Item No. I I (A)(8)
TO: Honorable Chairman Jose "Pepe" Diaz
and Members, Board of County Corrnnissioners
FROM: Geri Bonzon-Keenan
Successor County Attorney
DATE: January 20, 2021
SUBJECT: Resolution directing the
County Mayor to develop
recommendations for economic
development measures on both
the local and state levels to
attract technology companies,
entrepreneurs, and investors
to relocate their headquarters
to Miami-Dade County, to
encourage and foster technology
start-ups to launch and remain in
the County, and to retain and
promote the development of
technology companies currently
existing in the County; and to
provide report
The accompanying resolution was prepared and placed on the agenda at the request of Prime Sponsor
Commissioner Danielle Cohen Higgins.
2.- . ~Jt .... ,. _
Geri Bonzon-Keenan
Successor County Attorney
GBK/smm
Page 267 of 2284
@ .
. MEMORANDUM
(Revised)
TO: Honorable Chairman Jose "Pepe" Diaz
and Members, Board of County Commissioners
DATE: January 20, 2021
FROM: @8%..
Successor County Attorney
SUBJECT: Agenda Item No. I I (A)(8)
Please note any items checked.
"3-Day Rule" for committees applicable if raised
6 weeks required between first reading and public hearing
4 weeks notification to municipal officials required prior to public
hearing
Decreases revenues or increases expenditures without balancing budget
Budget required
Statement of fiscal impact required
Statement of social equity required
Ordinance creating a new board requires detailed County Mayor's
report for public hearing
✓No committee review
Applicable legislation requires more than a majority vote (i.e., 2/3's
present __ , 2/3 membership __ , 3/5's __ , unanimous __ , CDMP
7 vote requirement per 2-116.1(3)(h) or (4)(c) __ , CDMP 2/3 vote
requirement per 2-116.1(3)(h) or (4)(c) or CDMP 9 vote
requirement per 2-116.1(4)(c)2) ) to approve
Current information regarding funding source, index code and available
balance, and available capacity (if debt is contemplated) required
Page 288 0f 2284
Approved ayor
Veto
Override
Agenda Item No. 11 (A)(8)
1-20-21
RESOLUTION NO.
RESOLUTION DIRECTING THE COUNTY MAYOR OR
COUNTY MAYOR'S DESIGNEE TO DEVELOP
RECOMMENDATIONS FOR ECONOMIC DEVELOPMENT
MEASURES ON BOTH THE LOCAL AND STATE LEVELS TO
ATTRACT TECHNOLOGY COMPANIES, ENTREPRENEURS,
AND INVESTORS TO RELOCATE THEIR HEADQUARTERS
TO MIAMI-DADE COUNTY, TO ENCOURAGE AND FOSTER
TECHNOLOGY START-UPS TO LAUNCH AND REMAIN IN
THE COUNTY, AND TO RETAIN AND PROMOTE THE
DEVELOPMENT OF TECHNOLOGY COMPANIES
CURRENTLY EXISTING TN THE COUNTY; AND TO
PROVIDE REPORT
WHEREAS, for years, Silicon Valley in California has been at the center of the technology
industry; and
WHEREAS, in recent years, the technology community in Miami-Dade County has been
growing, including the creation of local start-up technology companies, coworking spaces, and
technology incubators, and the migration of venture capitalists and entrepreneurs; and
WHEREAS, Miami-Dade County is home to the Latin American headquarters of major
technology companies, and its geography as well as diverse population make it an ideal location
for technology companies and executives seeking to launch or expand their international presence;
and
WHEREAS, recently, technology investors and executives as well as technology
companies and venture capital firms have relocated, or announced plans to relocate, from Silicon
Valley and elsewhere to Miami-Dade County; and
Page 289 0f 2284
Agenda Item No. 11 (A)(8)
Page No.2
WHEREAS, the attraction of the technology industry and the creation of a technology hub
in Miami-Dade County will create higher paying jobs, opportunities for employment for graduates,
and an increase in economic prosperity for all of Florida; and
WHEREAS, indeed, the technology industry employs approximately 12.1 million workers
throughout the United States, has grown by 2.3 million workers over the past decade and is
anticipated to continue to steadily grow as technology fuels and supports almost all other
industries; and
WHEREAS, the technology sector has a high productivity output: while technology
workers make up approximately 7.7 percent of the overall United States workforce, they account
for an estimated 10 percent of the total United States economy; and
WHEREAS, many of the jobs in the technology industry are high-paying jobs; and
WHEREAS, the estimated median wage in the United States for technology jobs is
$84,284 compared to the median wage for the United States labor force for all jobs at $44,432;
and
WHEREAS, the City of Miami has initiated a campaign, spearheaded by Mayor Francis
Suarez, to attract technology companies to Miami; and
WHEREAS, it is in the best interests of Miami-Dade County to promote the relocation of
the technology industry, professionals, companies, and investors to Miami-Dade County and the
launch of new technology start-ups in Miami-Dade County in order to create new jobs and
strengthen the County's economy; and
WHEREAS, in section I 25.045, Florida Statutes, the Florida Legislature recognized that
this state faces increasing competition from other states for the location of private enterprises, and
that there is a need to enhance and expand economic activity by attracting business enterprises to
this state; and
Page 2p of 2284
Agenda Item No. 11 (A)(8)
Page No.3
WHEREAS, pursuant to section 125.045, the County may employ measures to attract
business enterprises, including but not limited to developing local infrastructure, and leasing or
conveying real property directly to individuals and entities to attract such business enterprises; and
WHEREAS, this Board seeks to create an economic development plan in order to attract
the technology industry from Silicon Valley and elsewhere to Miami-Dade County-specifically,
for technology companies to relocate their headquarters to Miami-Dade County, to foster and
encourage technology start-ups to launch their business and remain in Miami-Dade County, to
retain and promote the development of technology companies currently existing in Miami-Dade
County, and to promote the creation of a technology hub; and
WHEREAS, this Board desires to direct the County Mayor or County Mayor's designee
to develop recommendations for economic development measures on both the state and local
levels, in collaboration with the Beacon Council, Inc. ("Beacon Council"), as the official economic
development agency for Miami-Dade County, to attract technology companies to relocate their
headquarters, to launch start-ups in Miami-Dade County, and to promote the development of
existing technology companies; and
WHEREAS, this Board further desires to direct the County Mayor or County Mayor's
designee to present a report including such recommendations to this Board for its consideration
and approval,
NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF COUNTY
COMMISSIONERS OF MIAMI-DADE COUNTY, FLORIDA, that this Board:
Section l.
Section 2.
Approves the foregoing recitals and incorporates them herein by reference.
Directs the County Mayor or County Mayor's designee to develop
recommendations for economic development measures on both the state and local levels to: (1)
attract technology companies, entrepreneurs, and investors to relocate, and to relocate their
Page 2$ of 2284
A gend a It em N o. 11 (A )(8)
P age N o .4
headquart ers, to M iam i-D ade C ounty ; (2) encoura ge and fo ster techno lo gy start -u ps to launch and
re m ain in the C ounty; an d (3) ret ain and pro m ote the develo pm en t of techn olog y com p anies
curr ently existin g in the C ounty. Such recom m endations m ay be develop ed in coll ab ora tion w ith
the B eacon C ouncil.
Section 3. Directs the County Mayor or County Mayor's designee to prepare a written
report relating to such recommendations. The report should include, but not be limited to, an
identification of proposed economic development measures on both the state and local levels, real
property which could be made available to serve as a large-scale campus for headquarters and
offices for technology companies and start-ups, advertising and promotional strategies to market
Miami-Dade County as a technology hub, and an implementation schedule.
Section 4. Directs the County Mayor or County Mayor's designee to present the report
to this Board for its consideration no later than 60 days from the effective date of this resolution,
and to place the report on an agenda of this Board pursuant to Ordinance No. 14-65.
The Prime Sponsor of the foregoing resolution is Commissioner Danielle Cohen Higgins.
It was offered by Commissioner
was seconded by Commissioner
was as follows:
, who moved its adoption. The motion
and upon being put to a vote, the vote
Jose "Pepe" Diaz, Chairman
Oliver G. Gilbert, III, Vice-Chairman
Sen. René García Keon Hardemon
Sally A. Heyman Danielle Cohen Higgins
Eileen Higgins Joe A. Martinez
Kionne L. McGhee Jean Monestime
Raquel A. Regalado Rebeca Sosa
Sen. Javier D. Souto
Page 2¿2 of 2284
Agenda Item No. 11 (A)(8)
Page No.5
The Chairperson thereupon declared this resolution duly passed and adopted this 20" day
of January, 2021. This resolution shall become effective upon the earlier of ( 1) I O days after the
date of its adoption unless vetoed by the County Mayor, and if vetoed, shall become effective only
upon an override by this Board, or (2) approval by the County Mayor of this resolution and the
filing of this approval with the Clerk of the Board.
MIAMI-DADE COUNTY, FLORIDA
BY ITS BOARD OF
COUNTY COMMISSIONERS
HARVEY RUVIN, CLERK
By: -----------
Deputy Clerk
Approved by County Attorney as f LJ /
to form and legal sufficiency. I/!!.£!:._
Debra Herman
Monica Rizo Perez
Page 273 of 2284
P.~-:,.:, MIAMI-DADE
BEACON
COUNCIL
The O'fic'al Economic
Development Partnership
March 10, 2021
The Honorable Mayor Dan Gelber and Miami Beach City Commissioners
City of Miami Beach
1700 Convention Center Dr
Miami Beach, FL 33139
RE: Business Relocation Factors
Dear Mayor and Commissioners:
Following the request of Commissioner Richardson, we are detailing in this letter a summary of
business relocation factors that are considered as a company evaluates expansion into, or
relocation to, a new community. We look forward to continuing to work with you, in coordination
with Miami-Dade County and the State of Florida, to expand investment and job creation across
the City of Miami Beach.
Business recruitment is a multifaceted effort that requires participation from the public and
private sectors and is most successful when applied over a sustained, often multi-year, period.
There is no single factor that drives business relocation but rather a matrix of interrelated
considerations that are analyzed to define markets that offer the highest probability of success
for a business.
Following are key business relocation decision criteria:
• Available Talent - This is a key driver for most businesses. Without access to the
required skill sets for a business, long term success is unlikely. Available talent is
broadly understood as talent in the current workforce; access to recruit talent from area
competitors; graduates from regional colleges, universities, and trade schools; and the
ability to recruit talent from out of market.
• Available Real Estate - Depending on the need, available commercial, industrial, or
green space for build-to-suit requirements may be the primary location factor.
Availability and cost of residential real estate is often a leading consideration as well.
Markets with limited surplus or capacity will have higher real estate costs decreasing the
competitiveness of a market.
o Commercial real estate analysis will include quality of available facilities, parking
ratios, ingress/egress, area amenities, utilities, etc.
Page 274 of 2284
è&5e.
The Olfic'al Economic
Development Partnership
• Cost of Doing Business - The overall costs of doing business will be thoroughly
analyzed in a location decision. This includes state and local tax, cost of talent
acquisition, cost of real estate, and the costs associated with access to markets for the
company's goods and services.
o Tax rebate incentives, training grants, and other financial offsets are used by
successful communities to lower the initial costs of doing business to compete
with other markets. An incentive program, however minor, is often perceived by a
business as a welcoming gesture, especially at the municipal level.
• Cost of Relocation - Often a secondary decision factor that includes the costs of
relocating equipment and inventory and executive relocation costs (e.g. community
visits, moving expenses, down payment support)
• Access to markets - Key to a company's success is access to their primary markets.
These markets may include customers, suppliers, partners, financers, and competitors.
Consideration can include what is available locally and what can be easily accessed via
transit, roadways, airports and seaports.
• Regulatory Environment - A community's regulatory environment may create
limitations and challenges for a company to achieve success. A company may seek local
legislative changes to make a location more sustainable for their growth.
• Political Environment- Many businesses favor communities that are seen as
'Welcoming' and 'Open for Business." A well-managed, aptly led local government that
is accessible will provide a relocating business a level of confidence that commitments
made will be honored and issues raised will be addressed. On the contrary, a
challenging local political environment can quickly turn a company away.
o A welcoming political environment includes maintaining an Economic
Development team that is empowered to provide direct support services that
includes business research and data, permit facilitation, and 'concierge' access
to local support needs.
o As well, political leadership that is available, or proactive in outreach, to
prospective companies can greatly influence the location decision.
• Business Community - A dynamic business community that includes industry peers
(clusters) and related sectors will be more competitive in a location consideration.
o Local business leader can act as strong influencers in a location decision and
successful communities strategically engage local CEOs in their business
recruitment efforts.
• Public Perception - This can be an early decision factor that could remove a community
for consideration even before a formal analysis begins.
o Effective marketing campaigns to a targeted business audience can influence
perceptions of community's competitiveness for business recruitment.
• Infrastructure/Utilities - A community's ability to offer key business infrastructure at a
competitive rate is a major location decision factor. Infrastructure can include:
Page 275 of 2284
ri éicöN F öÜñCii
The Ofical Economic
Development Partnership
water/sewer, natural gas, broadband, redundant electrical service, access to highways,
and access to ports.
• Quality of Place - This is a bit more intangible but is an increasingly important location
factor. This includes community dynamism, access to a creative/arts community, quality
of local cuisine, access to museums and other cultural institutions, parks and public
spaces, and local environment.
• Quality of Life - Related to quality of place but often considered as the level of
accessibility to local lifestyle offerings. Quality of life includes an analysis of average
wages, cost of living, cost of accessible community amenities, access to healthcare and
healthy environments, well as public safety and crime.
o Quality and accessible K-12 schools both public and private may be a leading
location factor.
• Risk - All of the above factors, and other considerations, will be evaluated by a company
as to the real or perceived risk in selecting a community for business relocation.
Lowering or eliminating risk considerations will elevate a community's profile in location
decisions.
o Issues of risk related to our region are the considerations of hurricane, sea level
rise and climate change impacts. Local resiliency plans and investments are a
mitigation factor.
• CEO Preference - After all the data capture, analysis and review, a business location
may simply come down to the preference of the CEO - or their spouse.
Following is a graphic that illustrates the typical formal site selection process. It is common for a
community to not know that they are in consideration for location until the company defines their
short list - step 5. As well, if a community is removed from selection prior to making the short list
the community is most likely never informed. Therefore, maintaining an accessible community
website with available and relevant market data is important to position a community in the early
site selection stages.
While effective marketing and proactive engagement with targeted businesses and the
professional site selection/consultant community will aid a community in the early stages of site
selection. A professional economic development team that can properly manage public and
private sector support for sites-visits, incentive negotiation/approval, and myriad local support
services will ensure a community in highly competitive in the final stages of a location decision.
P age 276 of 2284
0 i%
The Oficial Fconomic
Development Partnership
IHE SIIE SELECTION PROCESS
EXPLAINED
ASSESSMENT
(Clint pr+ty ht·+a '.s, 'it+el p4. so 3e, d ;until·s
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ASSIGNMENT
3 RESEARCH
Staffer/C onsultaw visit community websites ad other data sou!es, eiimtirig
loaliOn Ott:ling u!ply need
APPROVAL
SHORTLIST
SCOUTING
7 DUE DILIGENCE
Final due diligence and incentve negotiations begin for top 2 -- 3 locations
that meet operational goals.
- --
9 NEGOT IATIONS
Final du e diligence and negotiations are completed
1 SELECT ION
✓
Contributors
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The Ofic'al Economic
Development Partnership
Thank you.
James C. Kohnstamm, CEcD
Executive Vice President
Economic Development
The Miami-Dade Beacon Council
786-202-3542
jkohnstamm@beaconcouncil.com
Copy: Ms. Rickelle Williams, Economic Development Director, City of Miami Beach
Page 278 of 2284
EX H IB IT C
JOB CREATION INCENTIVE PROGRAM
1. Background and Purpose
The City of Miami Beach is invested in economic resiliency through economic diversification. New or existing
businesses in the City of Miami Beach may be eligible for a performance-based incentive known as the Job Creation
Incentive Program (JCIP). The purpose of the JCIP is to strategically attract companies and expand existing businesses
within the City of Miami Beach while increasing the number of quality, high-wage jobs in the community. The applicant
must create or relocate a minimum of ten (10) new, fulltime equivalent jobs which average annual wages meeting or
exceeding 125% of the County's average wage at the time of the application.
2. Eligibility
The City of Miami Beach JCIP will be available to new-to-market businesses or expanding businesses that will either
hire or relocate, a minimum of ten (10) new employees to the City of Miami Beach within a four (4) year period fo r
New-to-Market businesses or three (3) year period for existing businesses.
The Program is available to the following industries:
a. Financi al/Profession al Services
b. Technology
c. Headquarters including regional headquarters
The City Commission, at its discretion, may waive the eligible industry requirement at the request and
recommendation of the City Manager.
a. Companies applying for the JCIP Program must be "new-to-market" or an "expanding" business already operating
within the City of Miami Beach. New-to-market businesses may relocate from anywhere outside of the City of
Miami Beach.
b. Requirements for Expanding Businesses at the time of application:
• An expanding business must either own its office space property or have an executed multi-year lease (3-
year minimum) for the office location within the City of Miami Beach.
• An expanding business must have a valid Miami Beach business tax receipt (BTR) and may not have any
pending City fees or fines, or be involved in any litigation with the City of Miami Beach.
• An expanding business must be properly licensed and approved by the State and County as applicable.
c. All awarded Expanding businesses and New-to-Market businesses must meet the requirements above when the
incentive will be claimed and disbursed for each eligible fiscal year.
d. Businesses that do not report employees' wages are not eligible for assistance under the JCI P Program.
The JICP is contingent on annual funding availability, City Com mission app roval, and the execution and continued
compliance with the requirements of an agreement between the City and the applicant, and is not to be construed
as an entitlement or right of an applicant or property owner.
3. Requirements
a. New Job Category: A New Job must be a fulltime equivalent position (minimum of 2,080 hours annually) and shall:
o be created in the City of Miami Beach and add to the City's total job base;
o add incrementally to the company's payroll;
o result in a net increase in the number of employees of the applicant company; and
o involve only a new employee working on-site (at least partially) at the company's facility located in the
City of Miami Beach.
Page 279 of 2284
A New Job excludes an existing employee on current payroll of the business at the time of the application.
b. Relocated Job Category: A Relocated Job includes fulltime equivalent positions (minimum of 2,080 hours annually)
currently identified on the company's payroll at the time of application.
o Only New-to-Market companies (moving to Miami Beach) can utilize relocated jobs as part of the incentive
application.
o Existing Miami Beach companies seeking to expand operations in Miami Beach may not utilize relocated
jobs as part of the job creation requirement.
c. Job Creation Ti meline: Approval of the JCIP application and agreement by the City Commission must occur before
the jobs are added or relocated. A business that enters into an incentive agreement with the City of Miami Beach
and is located in or relocating to existing office space that does not require significant tenant improvements must
add the minimum number of jobs (10) within an agreed to number of months after the effective date of the
incentive award. The company and the City of Miami Beach will negotiate a job creation/relocation timeframe.
d. Living Wage Requirement: The JCIP will not be available to companies that pay any of their employees less than
the Living Wage Rate as defined by Section 2-8.9 of the Code of Miami-Dade County, as adjusted annually by the
Department of Small Business Development or its successor department, or as defined by Section 2-408 of the
Code of the City of Miami Beach and by choosing the higher rate of both. Companies receiving JCIP awards must
continue to pay all its employees no less than the Living Wage Rate to remain eligible for the Program.
e. Wages of New Jobs Created or Relocated: New Jobs or Relocated Jobs must pay an estimated Average Annual
Wage at least equal to 125% the average of wages in Miami-Dade County or the State of Florida (across all
industries or occupations) as determined by Miami-Dade County or the State of Florida using the most currently
available data as determined by the City of Miami Beach and by choosing the higher rate.
f. Job Creation: Participating businesses must create at least ten (10) New Jobs within four (4) years for New-to-
Market Businesses or within three (3) years for Expanding Businesses. The time begins to toll once the business
begins operation in the City of Miami Beach (designated by issuance of a BTR) or once the Agreement is executed,
whichever is later.
g. New or Relocated Jobs must be maintained for a minimum of one (1) additional year. City of Miami Beach staff
will verify compliance with New Job creation and wage requirements as specified in the City Commission approved
JCIP application/agreement prior to any disbursement of City of Miami Beach incentives. The Company must agree
to furnish all documents necessary for City of Miami Beach staff to verify the Company's compliance with the New
Job or Relocated Job salary requirements pursuant to the City of Miami Beach JCIP application/agreement.
h. Taxes, Fines or other Fees: Where a Company is delinquent in paying its taxes, fines, or any other fees due to the
City of Miami Beach, the City of Miami Beach shall withhold Incentive funds until the Company is current. Where
a Company is more than one (1) year delinquent, the Company's City of Miami Beach incentive award shall be
canceled, and the Company shall be disqualified from participating in the Program.
i. Media Announcement: Applicant must (a) mention the City of Miami Beach by name within its initial press release
announcing the new office location, (b) at least forty-eight (48) hours in advance, provide the exact date and time
of when the press release will be published, and (c) at least forty-eight (48) hours in advance, provide a copy of
the press release. The City's Marketing and Communications Department will also issue a press release and media
coverage.
j. Media Appearances: The company must provide an employee representative, of at a minimum a senior level
executive position, for a minimum of four (4) engagements in year 1, two (2) engagements year 2, two (2)
engagements in year 3, and if applicable, two (2) engagements in year 4, to assist with recruitment efforts of the
P age 280 of 2284
City of Miami Beach to attract additional companies to the City. Required engagements will consist of a
presentation, panel discussion, interview, quote for media story, or comparable engagement.
4 . In c e n tiv e A w a rd
T h e a m o u n t o f th e JC IP a w a r d is d e te rm in e d b a s e d o n th e in fo rmation pro vided and verified in the application process
a n d re q u ire s a p p ro v a l b y th e C ity C o m mission. The actual award will be determined after the Company has begun
o p e ra tio n s, a n d a t th e e n d o f e a c h C ity o f M ia m i B e a ch fiscal year, upon the verification of New Jobs or Relocated Jobs
as specified in the City Commission-appro ved application/agreement, and all other obligations set forth in the
a p p li c a tio n /a g re e m e n t a n d th e R e s o lu tio n a p p ro v in g a u th o riz in g th e a w a rd .
The maximum award amount is based on the number of employees brought or relocated to the City of Miami Beach
d u rin g th e in itia l m o v e , a n d a n y su b s e q u e n t n e w h ire s . Fo r e x p a n d in g companies already located in the city, the
m a x im u m a w a rd is b a s e d o n th e N e w Jo b s c re a te d . T h e in c e n tiv e s o v e r th e fo u r (4 ) y e ar o r th re e (3 ) y e ar p e rio d a ft e r
th e a p p lic a n t's sta rt o f o p e ra tio n s o r th e e x e c u tio n o f th is a g reement, whichever is later, may not exceed:
a . $600 per employee for the first 50 jobs (minimum of 10)
b. $400 per employee for each job added between 51- 100
c. $250 per employee for each job added above 10 0
Applicant may be eligible for the following bonuses for new hires only:
a. An additional $125 per employee if a company is located within the North Beach area, as defined by the City
of Miami Beach
b. An additional $125 per employee if new hire received a degree from a public university, private university, or
technical school located within Miami-Dade County and graduated within three (3) years of the hire date
c. An additional $125 per employee if previously unemployed or employed below the Living Wage Rate
immediately preceding employment with company
d. An additional $150 per employee if their primary residence is within the City of Miami Beach
A Company may not receive more than $60,000 in incentive awards in any single fiscal year, even if all the New Jobs
are created or relocated in one (1) year. A Company may not receive more than $240,000 in award payments over the
four (4) year period for new-to-market or $180,000 in award payments over the three (3) year period for expansions.
The City Commission, at its discretion, may waive the applicable $180,000 or $240,000 total award cap at the request
and recommendation of the City Manager.
5. Application Process
• A company wishing to participate in the Program will apply to the City of Miami Beach. Upon request, a Company's
confidentiality will be protected, to the best of the city's ability, for any information regarding a project's location
and/or expansion evaluation of any Miami Beach site.
• The application will be evaluated by City of Miami Beach staff and approved by the City Commission.
• An application must be signed by an executive officer or owner of the applying company.
• Any New-to-Market company that commits the Company to a location within the City of Miami Beach prior to City
Commission approval of the Application/Agreement will render a Company ineligible to participate in the JCIP.
The City Manager may waive this prior decision rule and forward the Company's Application to the City
Commission for consideration upon the written request by the Company to preserve the incentive for a limited
time. However, the City Commission retains the sole and absolute discretion to approve or deny the Company's
Application. This prior business decision rule waiver shall not be available to a Company that has already publicly
disclosed the intent to locate or expand its operations in the City of Miami Beach.
• Within thirty (30) days of application receipt and initial review, City of Miami Beach Administration shall inform
the City Commission and schedule an application presentation at the following available Finance and Economic
Resiliency Committee (FERC) meeting (applicable public notice and agenda deadlines apply). Staff will notify the
Applicant when the application is scheduled for consideration at any public meeting.
Page 281 of 2284
• Pending recommendation from the FERC, City of Miami Beach Administration shall prepare its recommendation
on the A pplication to the City Com m ission, including an economic impact analysis.
• Each City Commission approved Application shall serve as the written Agreement between City of Miami Beach
and the Com pany, and shall incl ude all A pplication requirem ents outlined in this Section and, at a minimum,
specify :
a. The total num ber of New Jobs to be created or relocated and that w ill be dedicated to the pro ject;
b. the A verage A nnual W age of those jobs, any capital investment, and a time schedule or plan for when such
jobs will be in place and active;
c. The fiscal impact to the City of Miami Beach;
d. The m axim um am ount of JCIP awards which the Company is eligible to receive and the maximum amount of
JCIP awards that the Company is eligible to receive for each fiscal year;
e. That the City of M iam i Beach m ay review and verify the financial and personnel records of the Company
and/or perform onsite visits to verify employment relating to the New or Relocated Jobs, wages paid, and
determine whether the Company is in compliance with the terms of the Application/ Agreement;
f. The date by which, in each fiscal year, the Company must file a claim to be considered to
receive a JCIP award for the following fiscal year (October 1 - September 30);
g. That compliance with the terms and conditions of the approved Application/Agreement is a conditional
requirement for the receipt of any JCIP award in a fiscal year and that the Company's failure to comply with
the terms and conditions of the approved Application/ Agreement results in the loss of eligibility for receipt of
JCI P awards and the revocation by the City Commission of the certification of the Company as a City of Miami
Beach eligible business;
h. That payment of JCIP incentives is conditioned on and subject to specific annual appropriations by the City of
Miami Beach sufficient to pay amounts under the approved Application/Agreement; and
i. That the amount of the Incentives received will be based on the Incentive levels specified.
6. Award Disbursement
a. Annual disbursements will be contingent on the verification of the new jobs created and retained.
b. Disbursement will begin in the City of Miami Beach fiscal year following the Project's start of operations. The
City of Miami Beach's fiscal year runs from October 1 through September 30 of the following calendar year.
c. Companies will be monitored annually to ensure compliance with the projected number of new jobs and the
wages associated with the new jobs. Disbursements to the Company will only be made after it has met all
commitments as set forth in the City of Miami Beach application/agreement and the City Commission
approved Resolution,
d. Disbursement amounts are set forth and limited in each year of the disbursement schedule approved in the
Agreement and Resolution.
e. To be eligible to claim any award under the JCIP, an Applicant that has entered into an approved
application/agreement must annually apply to the City of Miami Beach for such award by July 1". An
appropriation, if made by the City Commission, will be paid in the City of Miami Beach fiscal year that begins
on October 1 following the claims-submission date.
f. The City of Miami Beach shall designate staff, or a third party, to administer the JCIP and determine Company
compliance. Any awards determined to be due to Companies and processed by said designated staff shall
require written approval and authorization of the City of Miami Beach.
Page 282 of 2284
Sample Annual Incentive Award
Company A Company B CompanyC
75 110
Number of 25 50 jobs x $600 = $30,000 50 jobs x $600 = $30,000
50 jobs x $400 = $20,000 New Jobs 25 jobs x $600 = $15,000 25 jobs x $400 = $10,000 10 jobs x $250= $ 2,500 Subtotal: $40,000 Subtotal: $52,500
Company Yes Yes No
Located in 25 jobs x $125 = $3,125 75 jobs x $125 = $9,375 110 jobs x $0=$0
North Beach
Degree from Yes Yes Yes
Local Institution 10 employees x $125= $1,250 25 employees x$125= $3,125 SO employees x $125 = $6,250
Below Living Yes No No Wage 2 employees x $125 = $250
Residence in Yes Yes Yes
City 10 employees x $150= $1,500 20 employees x $150= $3,000 25 employees x $150= $3,750
Total Less
Amount Above $21,125 $55,500 $62,500 - $2,500 = $60,000 $60kAnnual
Cap
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