Resolution 2022-32117 RESOLUTION NO. 2022-32117
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 MARCH 30,
2022 MEETING, AND APPROVING AN AMENDMENT TO THE JOB
CREATION INCENTIVE PROGRAM, CREATED PURSUANT TO
RESOLUTION NO. 2021-31620; SAID AMENDMENT INCREASING THE
INCENTIVE AWARD, BY $50 PER EMPLOYEE, WITHOUT INCREASING THE
$60,000 MAXIMUM ANNUAL AWARD, FOR QUALIFIED BUSINESSES
SPECIALIZING IN TECHNOLOGY AND/OR THE FINANCIAL SERVICES
INDUSTRY, WITH SUBCATEGORIES RELATED TO CRYPTOCURRENCY,
BLOCKCHAIN, WEB3, DECENTRALIZED FINANCE, SUSTAINABILITY,
RESILIENCY, HOSPITALITY, TOURISM, HEALTH AND WELLNESS, AND
ARTS AND CULTURE.
WHEREAS, on February 19, 2021,.the Finance and Economic Resiliency Committee
(FERC) unanimously recommended that the City Commission prioritize the attraction of
technology and financial services firms, and headquarters to the City in order to diversity the
economy and promote resiliency; 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 with the potential for a hub to develop; and
WHEREAS, in recent months and in correlation with the COVID-19 pandemic, Miami-
Dade County has seen an uptick in relocations of technology and financial services firms from
the Northeast and Silicon Valley; 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, 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; and
WHEREAS, the Mayor and City Commission recognize the benefits of a local approach
to growing these industries in the City of Miami Beach in consideration of the competitive
regional and national market; 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 through
the development-of inducements and services to promote growth; and
/-WHEREAS, financial incentives for projects or developments related to the attraction,
retention, or expansion of businesses in the technology and financial services industries
%promote economic diversification, resiliency, and an enhanced business climate; and
r
WHEREAS, on February 19, 2021, the Finance and Economic Resiliency Committee
("FERC") recommended the creation of a Job Creation Incentive Program ("JIP") for the
purpose of attracting targeted industries to Miami Beach; and
WHEREAS, on March 17, 2021, the Mayor and City Commission accepted, via
Resolution No. 2021-31620, the recommendation of the FERC, at its February 19, 2021
meeting, and authorized the Administration to create a JCIP for the purpose of attracting
targeted industries to the City of Miami Beach; and
WHEREAS, the JJCIP is a performance-based financial incentive available to
technology and financial services firms and headquarters relocating to or expanding in the City
of Miami Beach; and
WHEREAS, the purpose of the JCIP is to diversify the economy by strategically
increasing the number of quality, high-wage jobs in the community; and
WHEREAS, recipients of the JCIP must create or relocate a minimum of ten ( 10) new,
fulltime equivalent jobs which average annual wages meet or exceed 125% of the State of
Florida or Miami-Dade County average wage, whichever is higher, at the time of the application;
and
WHEREAS, the Administration created JCIP guidelines to ensure that the City has a
greater competitive advantage and the ability to leverage existing incentives available from the
State of Florida and Miami-Dade County; and
WHEREAS, the JCIP assists in attracting new and expanding businesses and has
increased the number of quality, high-wage jobs in technology and financial services, the
targeted industries; and
WHEREAS, the maximum financial incentive for new-to-market companies is $60,000
per year for up to four (4) years, and the maximum incentive for expanding companies is
$60,000 per year for up to three (3)years; and
WHEREAS, recommendations for award of this incentive must be reviewed by the
FERC and approved by the City Commission; and
WHEREAS, during the March 30, 2022 FERC meeting, the Administration
recommended that the JCIP program be amended to encourage businesses and entrepreneurs
in the following subsectors within the technology and financial services industries:
• Arts and Culture;
• Cryptocurrency, Blockchain, Web3, and decentralized finance;
• Health and Wellness;
• Hospitality and Tourism; and
• Sustainability and Resiliency; and
WHEREAS, the Administration recommended a $50.00 increase to the per employee
incentive amount for any businesses within the above-referenced targeted industry subsectors,
to gauge, in the short-term, whether JCIP could attract the interest of smaller and emerging
technology and financial services businesses that specifically focus on elements that are key to
the Miami Beach ethos; and
WHEREAS, the Administration is mindful that although the JCIP maximum annual award
is $60,000 for new-to-market and expanding firms, it may be challenging for smaller businesses
to earn a substantial incentive based on the number of jobs created and therefore a higher per
employee incentive amount, smaller businesses may identify the JCIP as a worthwhile benefit;
and
WHEREAS, the Administration is exploring various types of technology and financial
services firms, and an added incentive for specific subsector categories could promote
awareness of the City as eager to cultivate technology hubs, which leads to added interest from
the business community; and
WHEREAS, by refining and amending the JCIP, the City could continue to attract high
paying jobs, contribute to the diversification of our economy, and add to and develop our
international reputation; and
WHEREAS, the Administration proposed refining the JCIP and amending the JCIP
Program Guidelines as follows:
Incentive Award
Applicants specializing in technology and/or financial services industry subcategories
related to cryptocurrency, blockchain, web3, decentralized finance, sustainability,
resiliency, hospitality, tourism, health and wellness, and arts and culture are eligible for
additional incentives, and may not exceed:
a. $650 per employee for the first 50 jobs (minimum of 10)
b. $450 per employee for each job added between 51 — 100
c. $300 per employee for each job added above 100
Applicants specializing in technology and/or financial services industry subcategories
related to cryptocurrency, blockchain, web3, decentralized finance, sustainability,
resiliency, hospitality, tourism, health and wellness, and arts and culture are eligible for
additional bonuses for new hires and relocated employees:
a. An additional $175 per employee if a business is located within the North Beach
area, as defined by the City of Miami Beach
b. An additional $175 per employee if new hire received a degree from a university,
college, or technical school located within Miami-Dade County
c. An additional $175 per employee if previously unemployed or employed below
the Living Wage Rate immediately preceding employment with Applicant
d. An additional $200 per employee if their primary residence is within the City of
Miami Beach; and
WHEREAS, during the March 30, 2022 FERC meeting, the Committee recommended
the amendments proposed by the Administration to focus outreach on targeted sectors within
the technology industry.
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 accept the recommendation of the Finance and Economic Resiliency
Committee, at its March 30, 2022 meeting, and approve an amendment to the Job Creation
Incentive Program, created pursuant to Resolution No. 2021-31620; said amendment increasing
the incentive award, by $50 per employee, without increasing the $60,000 maximum annual
award, for qualified businesses specializing in technology and/or the financial services industry,
with subcategories related to cryptocurrency, blockchain, web3, decentralized finance,
sustainability, resiliency, hospitality, tourism, health and wellness, and arts and culture.
PASSED and ADOPTED this G day of Airs I , 2022.
ATTEST:
DAN GELBER, MAYOR
./41
RAFAEL E. GRANADO, CITY �LERK
IN[OAP OAATED`
oi
APPROVED AS to
FORM& LANGUAGE
&FOR EXECUTION
•
City Attorney Dote
Resolutions-C7 X
MIAMI BEACH
COMMISSION MEMORANDUM
TO: Honorable Mayor and Members of the City Commission
FROM: Alina T.Hudak,City Manager
DATE: April 6,2022
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 MARCH 30, 2022 MEETING,AND APPROVING AN AMENDMENT TO THE JOB CREATION INCENTIVE
PROGRAM AUTHORIZED PURSUANT TO RESOLUTION NO. 2021-31620 FOR THE PURPOSE OF
RETAINING AND ATTRACTING TARGETED INDUSTRIES TO MIAMI BEACH.
RECOMMENDATION
See attached memorandum.
SUPPORTING SURVEY DATA
FINANCIAL INFORMATION
Applicable Area
Citywide
Is this a"Residents Right Does this item utilize G.O.
to Know"item.pursuant to Bond Funds?
City Code Section 2-14?
No No
Strategic Connection
Prosperity-Revitalize targeted areas and increase investment.
Legislative Tracking
Economic Development
ATTACHMENTS:
Description
o Commission Memorandum
MIAMIBEACH
City of Miami Beach, 1700 Convention Center Drive, Miami Beach, Florida
33139, www.miamibeachfl.gov
COMMISSION MEMORANDUM
TO: Honorable Mayor Dan Gelber and Members of the City Commission
FROM: Alina T. Hudak, City Manager
DATE: April 6, 2022
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 MARCH 30, 2022
MEETING, AND APPROVING AN AMENDMENT TO THE JOB
CREATION INCENTIVE PROGRAM AUTHORIZED
PURSUANT TO RESOLUTION NO. 2021-31620 FOR THE
PURPOSE OF RETAINING AND ATTRACTING TARGETED
INDUSTRIES TO MIAMI BEACH.
RECOMMENDATION
The Administration recommends amending the Job Creation Incentive Program
(JCIP) to allow for a $50 incentive increase per employee for applicants
specializing in technology and/or financial services industry subcategories
related to cryptocurrency, blockchain, Web3, decentralized finance,
sustainability, resiliency, hospitality, tourism, health and wellness, and arts and
culture.
BACKGROUND
In an effort to strengthen economic resiliency in the wake of the COVID-19
pandemic and to diversify the Miami Beach economy, during the December 18,
2020 Finance and Economic Resiliency Committee (FERC) meeting, the
Administration identified several methods to attract and retain businesses,
including businesses in the technology and financial services industries. The
methods identified and outlined below are all in some phase of implementation
and have already yielded successful results.
• Tradeshows/industry marketing events; '
• Recruitment visits;
• Contact and coordination with national site selectors and advance teams;
• Development and circulation of marketing collateral;
• Promotion of relocation assistance programs and incentives;
• Development of job creation incentive;
• Expedited licensing and permitting; and
• Relocation concierge services.
On February 19, 2021, the FERC discussed the Administration's recommended
three (3) pronged approach to attract technology and financial services
businesses through relationship building, incentives and services, and a
strategic marketing and public relations campaign.
The FERC and City Commission considered six(6)targeted business attraction
and retention methods to appeal to technology and financial services-industries.
Three (3) tactics required legislative approval and three (3) tactics were
intended to be implemented administratively.
Targeted Business Attraction and Status
Retention Tactic
1. Affirmative Resolution declaring targeted Resolution No. 2021-31618
industries and providing direction to the
Administration Completed
2. Business Attraction Inducements and Resolution No. 2021-31619
Services — Expedited Plan Review and Ongoing
Permitting Incentive
3. Business Attraction Incentives— Resolution No. 2021-31620
Job Creation Incentive Program Ongoing
4. Messaging and Collateral Ongoing
5. Business Leadership Advisory Council Under discussion /
In progress
6. Access to Leadership - ; Ongoing
At the recommendation of the FERC, on March 17, 2021, the Mayor and City
Commission took action to prioritize the attraction and retention of businesses
within the targeted industries (technology and financial services) including
adopting Resolution No. 2021-31618, directing the Administration to encourage
and promote attraction of these industries.
Additionally, the Mayor and City Commission adopted Resolution No. 2021-
31619, authorizing the Administration to develop and implement an expedited
plan review and permitting incentive as an inducement for the targeted
industries. The Economic Development Department subsequently launched the
Expedited Plan Review and Permitting Incentive Program, which is marketed to
businesses, property owners, developers, and brokers, and is implemented
administratively at no additional budgetary expense to the City. The incentive is
offered to eligible businesses to encourage targeted relocations or expansions
and associated development. Developments or renovations supporting the
targeted industries are eligible for a 10-business day plan review and permitting
process for building permits. The Administration is currently supporting a
number of companies in locations including, but not limited to, the Starwood
global headquarters building in Collins Park and the Lincoln Road commercial
corridor.
Job Creation Incentive Program
Further,the Mayor and City Commission also approved a Job Creation Incentive
Program (JCIP) on March 17, 2021 via Resolution No. 2021-31620. The JCIP
is a performance-based financial incentive package that ensures that the city
has a greater competitive advantage and the ability to leverage existing
incentives available from the State and County. The JCIP assists in attracting
new and expanding businesses and will increase the number of quality, high-
wage jobs in the targeted industries.
The JCIP participant must create or relocate a minimum of ten (10) new, fulltime
equivalent jobs with 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. The maximum incentive for new-to-market
companies is $60,000 per year for up to four(4) years. The maximum incentive
for expanding companies is $60,000 per year for up to three (3) years. The per
employee incentive is greater for businesses locating into North Beach, those
hiring Miami Beach residents and employees with education or training received
at local institutions. Recommendations for award of this incentive must be
reviewed by the FERC and approved by the City Commission.
To date, the City Commission has approved two (2) financial services and two
(2) technology firms for the JCIP, a program award anticipated to create
approximately 215 new or relocated jobs in the next four(4) years with average
salaries estimated between $69,000 and $150,000.
At its March 30, 2022 meeting, the FERC recommended approval of a JCIP
application for an additional financial services business, which anticipates
adding twenty (20) new-jobs with average salaries of $350,000 over four (4)
years.
The Administration is currently preparing to collaborate with Miami Beach United
(MBU) and exploring how to accelerate efforts to bring more technology jobs to
Miami Beach. In a November 2021 MBU resolution, MBU encouraged the
Administration to focus outreach on targeted sectors within the technology
industry to build more momentum. The Resolution was discussed by the FERC
at its February 25, 2022 meeting.
The MBU resolution specifically recommended the Administration consider
refining the City's current strategy to attract technology companies and attain
the sector and job growth the business community needs, by identifying the
specific technology company profiles to pursue (e.g.,, technology verticals,
organizational structure, and size). In addition, MBU suggested that the
Administration build upon existing technology sectors and appeal to businesses
that align with the Miami Beach brand.
ANALYSIS
As the Administration continues to research, implement, and analyze strategies that
appeal to various emerging technology and financial services business models and
sectors to the city, an amendment to the JCIP could serve two purposes:
1. entice and encourage smaller businesses with a more attractive incentive
award; and
2.. promote the city's brand position and ideals.
It is advantageous that, as we recover from the impact of the pandemic, Miami Beach
and the South Florida region are experiencing an influx of industry leaders, innovators,
investors, and talent. The Miami Beach Convention Center(MBCC) is attracting global
and national fin-tech clients, such as the Bitcoin 2022 and eMerge Americas
conferences and other industry events, thereby exposing potential businesses and
talent to Miami Beach assets and amenities. By expanding Miami Beach business
retention programs, more small businesses and start-up entrepreneurs, who attend
MBCC and other local events, may choose Miami Beach to launch or expand an
enterprise.
To capitalize on this opportunity, the Administration is recommending that the JCIP
program be amended'to encourage businesses and entrepreneurs in the following
subsectors, within the technology and financial services industries:
• Arts and Culture;
• Cryptocurrency, Blockchain, Web3, and decentralized finance;
• Health and Wellness;
• Hospitality and Tourism; and
• Sustainability and Resiliency
The Administration is recommending a $50.00 increase to the per employee incentive
amount for any businesses within the above-referenced targeted industry subsectors.
The rationale is, in the short term, to gauge whether the incentive will interest smaller
and emerging technology and financial services businesses that specifically focus on
elements that are key to the Miami Beach ethos. Although the JCIP maximum annual
award is $60,000 for new-to-market and expanding firms, it may be challenging for
smaller businesses to earn a substantial incentive based on the number of jobs
created. With a higher per employee incentive amount, smaller businesses may
identify the JCIP as a worthwhile benefit.
The Administration is receptive and welcoming to various types of technology and
financial services firms, and an added incentive for specific subsector categories could
promote awareness of the city as eager to cultivate technology hubs, which leads to
added interest from the business community.
By refining the JCIP, the city would continue to attract high paying jobs, contribute to
the diversification of our economy, and add to and develop our international reputation.
Accordingly, the Administration proposes refining the JCIP as follows, with detailed
Program Guidelines and proposed updates outlined in Exhibit A.
Incentive Award Update
Applicants specializing in technology and/or financial services industry subcategories
related to cryptocurrency, blockchain, web3, decentralized finance, sustainability,
resiliency, hospitality, tourism, health and wellness, and arts and culture are eligible
for additional incentives, and may not exceed:
a. $650 per employee for the first 50 jobs (minimum of 10)
b. $450 per employee for each job added between 51 — 100
c. $300 per employee for each job added above 100
Applicants specializing in technology and/or financial services industry subcategories
related to cryptocurrency, blockchain, web3, decentralized finance, sustainability,
resiliency, hospitality, tourism, health and wellness, and arts and culture are eligible
for additional bonuses for new hires and relocated employees:
a. An additional $175 per employee if a business is located within the North Beach
area, as defined by the City of Miami Beach
b. An additional $175 per employee if new hire received a degree from a
university, college, or technical school located within Miami-Dade County
c. An additional $175 per employee if previously unemployed or employed below
the Living Wage Rate immediately preceding employment with Applicant
d. An additional $200 per employee if their primary residence is within the City of
Miami Beach
SUPPORTING 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 the Miami Beach business community was asked to rate
the City of Miami Beach as a place to do business, 30% of businesses reported that
the City has improved. By implementing a strategic approach to business attraction,
retention and expansion, the City of Miami Beach will strengthen the existing business
community as well.
FISCAL IMPACT
The JCIP is funded at$180,000 per year to support new and existing award recipients
over a three or four-year period. A modest increase to the per employee incentive
amount, as proposed, would not significantly impact the City's ability to offer and
maintain the Program to support new and existing participants.
CONCLUSION
The Administration recommends amending the JCIP program to allow for a $50
incentive increase for applicants specializing in technology and/or financial services
industry subcategories related to cryptocurrency, blockchain, Web3, decentralized
finance, sustainability, resiliency, hospitality, tourism, health and wellness, and arts
and culture.
Attachments:
Exhibit A - JCIP Program Guidelines (proposed)
I
EXHIBIT A
JOB CREATION INCENTIVE PROGRAM GUIDELINES
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
(Program). The purpose of the Program 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 with average annual
wages meeting or exceeding 125%of Miami-Dade County or State of Florida average
wage at the time of the application.
2. Eligibility
The Program will be available to New-to-Market businesses or Existing Businesses
within the City that are expanding their operations, and 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 for New-to-Market businesses or three (3) year period for Existing
business expansions ("Expansions" or"Expanding businesses").
The Program is available to the following industries:
a. Financial/Professional 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 Program must be "New-to-Market" relocations 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 Program .
The Program is contingent on annual funding availability, City 'Commission
approval, and the execution and continued compliance with the requirements of
the Agreement is not to be construed as an entitlement or right of the Participant
to receive Incentive funds.
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 Applicant's payroll;
o result in a net increase in the number of employees of the Applicant; and
o involve only' a new employee working on-site (at least partially) at the
Applicant's facility located in the City of Miami Beach.
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) existing on the Applicant'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 Timeline: Approval of the Program application and agreement by the
City Commission must occur before the jobs are added or relocated. A business
that enters into an 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 Applicant
and the City of Miami Beach negotiate a job creation/relocation timeframe for the
Project.
d. Living Wage Requirement: The Program 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. During the Performance Period, Participant shall be required to
continue paying all of 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 run 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)full year. City
of Miami Beach staff will verify compliance with New Job creation and wage
requirements as specified in the City Commission approved Program
application/agreement prior to any disbursement of any Incentive payments. The
Applicant shall furnish all personnel and financial records related to the Program
that is requested by City of Miami Beach staff to verify the Applicant's compliance
with the New Job or Relocated Job salary requirements pursuant to the
Agreement. As such, the City may request personnel and financial records
including, without limitation, payroll records; Paystubs; Form 941; and worker's
compensation reporting forms.
. h. Taxes, Fines or other Fees: Where Applicant is delinquent in paying its taxes, fine,
or any other fees due to the City of Miami Beach, the City of Miami Beach shall
withhold Incentive payments until Applicant is current. Where Applicant is more
than one (1) year delinquent, Applicant's Incentive award shall be canceled; future
Incentive payments shall be cancelled; and Applicant shall be disqualified from
participating in the Program.
i. Media Announcement: Participant 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 to encourage media coverage.
j. Media Appearances: Applicant 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
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. Incentive Award
The amount of the Incentive award is determined based on the information provided
and verified in the application process and requires approval by the City Commission.
The actual amount of the Incentive will be determined after the Applicant has begun
operations, and at the end of each City of Miami Beach fiscal year, upon the
verification of New Jobs or Relocated Jobs, as specified in the Agreement, and all
other obligations set forth in the Agreement.
The maximum Incentive amount for Relocated Jobs is based on the number of
employees brought or relocated to the City of Miami Beach during the initial move,
and any subsequent new hires. For Expanding businesses already located in the City,
the maximum award is based on the New Jobs created. The Incentives over the four
(4) year or three (3)year period, as applicable, after the applicant's start of operations
or the execution of this Agreement, 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 100
Applicants specializing in technology and/or financial services industry subcategories
related to cryptocurrency, blockchain, Web3, decentralized finance, sustainability,
resiliency, hospitality, tourism, health and wellness, and arts and culture are eligible
for additional incentives, and may not exceed:
a. $650 per employee for the first 50 jobs (minimum of 10)
b. $450 per employee for each job added between 51 — 100
c. $300 per employee for each job added above 100
Applicant may be eligible for the following bonuses for new hires only and relocated
employees:
a. An additional $125 per employee if a business 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, college, or technical school located within Miami-
Dad e County
c. An additional $125 per employee if previously unemployed or employed below
the Living Wage Rate immediately preceding employment with Applicant
d. An additional $150 per employee if their primary residence is within the City of
Miami Beach
Applicants specializing in technology and/or financial services industry subcategories
related to cryptocurrency, blockchain, Web3, decentralized finance, sustainability,
resiliency, hospitality, tourism, health and wellness, and arts and culture are eligible
for additional bonuses for new hires and relocated employees:
a. An additional$175 per employee if a business is located within the North Beach
area, as defined by the City of Miami Beach
b An additional $175 per employee if new hire received a degree from a
university, college, or technical school located within Miami-Dade County
c. An additional $175 per employee if previously unemployed or employed below
the Living Wage Rate immediately preceding employment with Applicant
d. An additional $200 per employee if their primary residence is within the City of
Miami Beach
Applicant 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. Applicant may
not receive more than $240,000 in Incentive payments over the four (4) year period
for New-to-Market businesses or $180,000 in Incentive 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
• An Applicant wishing to participate in the Program will apply to the City of Miami
Beach. Upon request, an Applicant's confidentiality will be protected, in
accordance with Section 288.075, Florida Statutes, 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
business.
• Any New-to-Market business that commits the Applicant to a location within the
City of Miami Beach prior to City Commission approval of the
Application/Agreement will render an Applicant ineligible to participate in the
Program. The City Manager may waive this prior decision rule and forward the
Applicant's Application to the City Commission for consideration upon the written
request by the Applicant to preserve the Incentive for a limited time. However, the
City Commission retains the.sole and absolute discretion to approve or deny the
Applicant's Application. This prior business decision rule waiver shall not be
available to an Applicant 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 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.
• Upon receipt of a favorable recommendation from the FERC, City of Miami Beach
Administration shall prepare its recommendation on the Application to the City
Commission, including an economic impact analysis.
• Upon approval by the City Commission of an application, the City of Miami Beach
and Applicant may execute an agreement, authorizing Applicant's participation in
the Program, which agreement shall include all Application requirements outlined
in this Section and, at a minimum, specify:
a. The total number of New Jobs to be created or relocated and that will be
dedicated to the project;
b. The Average Annual Wage 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 maximum amount of Incentive awards which the Applicant is eligible to
receive over the three (3) or four (4) year term and the maximum amount of
Incentive awards that the Applicant is eligible to receive annually;
e. That the City of Miami Beach may review and verify the financial and personnel
records of the Applicant and/or perform onsite visits to verify employment
relating to the New or Relocated Jobs, wages paid, and determine whether the
Applicant is in compliance with the terms of the Application/Agreement;
f. The date by which, in each fiscal year, the Applicant must file a claim to be
considered to receive an Incentive 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
Incentive award in a fiscal year and that the Applicant's failure to comply with
the terms and conditions of the approved Application/Agreement results in the
loss of eligibility for receipt of Program awards and the revocation by the City
Commission of the certification of the Applicant as a City of Miami Beach
eligible business;
h. That payment of 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 Applicant will only be made after it has met all commitments as set forth in
the City of Miami Beach application/agreement.
d. Disbursement amounts are set forth and limited in each year of the disbursement
schedule approved in the Agreement.
e. To be eligible to claim any Incentive award under the Program, an Applicant that
, has entered into an approved application/agreement must annually apply to the
City of Miami Beach by submitting a Disbursement Request from to the City
Manager's designee by July 1st. 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
Program and determine Applicant compliance. Any awards determined to be due
to Applicant and processed by said designated staff shall require written approval
and authorization by the City Manager or City Manager's designee.
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