Resolution 2023-32786RESOLUTION NO. 2023-32786
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE NORMANDY
SHORES LOCAL GOVERNMENT NEIGHBORHOOD IMPROVEMENT
DISTRICT ADOPTING THE FINAL AD VALOREM MILLAGE RATE OF
0.8468 MILLS FOR FISCAL YEAR 2024 FOR THE NORMANDY SHORES
LOCAL GOVERNMENT NEIGHBORHOOD IMPROVEMENT DISTRICT,
WHICH IS ELEVEN AND THREE TENTHS PERCENT (11.3%) MORE
THAN THE "ROLLED -BACK" RATE OF 0.7610 MILLS.
WHEREAS, for the purpose of providing security services within the Normandy
Shores neighborhood area, the Mayor and City Commission adopted Ordinance No. 93-
2881 on October 20, 1993, which authorized the creation of the Normandy Shores Local
Government Neighborhood Improvement District ("District"); and
WHEREAS, Section 200.065, Florida Statutes, specifies the method by which
municipalities may establish the operating millage rate and adopt an annual budget for
dependent taxing districts; and
WHEREAS, the maximum millage rate for the District that can be approved by a
majority (4/7th) vote is 0.7826 mills; anything beyond this rate, up to 0.8609 mills, requires
a two-thirds (5/7th) vote and a unanimous approval is required to approve a millage rate
above 0.8609 mills for Fiscal Year (FY) 2024; and
WHEREAS, on July 26, 2023, the Mayor and City Commission, acting as the
Board of Directors for the District, adopted Resolution No. 2023-32718, which set the
proposed operating millage rate of the District at 0.8468 mills for the purpose of providing
security services within the District for FY 2024; and
WHEREAS, on September 13, 2023, pursuant to Section 200.065, Florida
Statutes, the Mayor and City Commission, acting as the Board of Directors of the District,
held its first duly noticed public hearing to consider the Tentative Ad Valorem Millage and
Tentative Operating Budget for the District for FY 2024; and
WHEREAS, at the first public hearing on September 13, 2023, in accordance with
Section 200.065, Florida Statutes, the Mayor and City Commission, acting as the Board
of Directors of the District, tentatively adopted the operating millage of 0.8468 mills for the
District for FY 2024.
NOW, THEREFORE, BE IT DULY RESOLVED BY THE BOARD OF
DIRECTORS OF THE NORMANDY SHORES LOCAL GOVERNMENT
NEIGHBORHOOD IMPROVEMENT DISTRICT that, following a duly noticed public
hearing on September 27, 2023, the Mayor and City Commission hereby adopt the Final
Operating Millage rate of 0.8468 mills for the District for FY 2024, which is eleven and
three tenths percent (11.3%) more than the "Rolled -back" rate of 0.7610 mills.
PASSED AND ADOPTED this 27th day of September 2023.
ATTEST:
SEP 2 8 2023 Chairperson of the District
Secretary to the District
'IlICORPhO�piED
2
APPROVED AS TO
FORM & LANGUAGE
& FOR EXECUTION
9 —1 S ;,-3
CRYAttamryy Date --
Resolutions - R7 C
MIAMI BEACH
COMMISSION MEMORANDUM
TO: Honorable Mayor and Members of the City Commission
FROM: Alina T. Hudak, City Manager
DATE: September 27, 2023
5:02 p.m. Second Reading Public Hearing
SUBJECT.A RESOLUTION OF THE BOARD OF DIRECTORS OF THE NORMANDY
SHORES LOCAL GOVERNMENT NEIGHBORHOOD IMPROVEMENT
DISTRICT ADOPTING THE FINAL AD VALOREM MILLAGE RATE OF
0.8468 MILLS FOR FISCAL YEAR 2024 FOR THE NORMANDY SHORES
LOCAL GOVERNMENT NEIGHBORHOOD IMPROVEMENT DISTRICT,
WHICH IS ELEVEN AND THREE TENTHS PERCENT (11.3%) MORE THAN
THE "ROLLED -BACK" RATE OF 0.7610 MILLS.
RECOMMENDATION
See attached Memorandum.
SUPPORTING SURVEY QATA
See attached Memorandum.
FINANCIAL INFORMATION
See attached Memorandum.
Applicable Area
Citywide
Is this a "Residents Right Does this item utilize G.O.
to Know" item, pursuant to Bond Funds?
City Code Section 2-147
Yes No
Strategic Connection
Organizational Innovation- Ensure strong fiscal stewardship.
Legislative Tracking
Office of Management and Budget
ATTACHMENTS:
Page 191 of 550
Description
Memo - FY 2024 Final Normandy Shores Millage
Resolution
Page 192 of 550
MIAMI BEACH
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: September 27, 2023
SUBJECT: A RESOLUTION OF THE BOARD OF DIRECTORS OF THE NORMANDY SHORES
LOCAL GOVERNMENT NEIGHBORHOOD IMPROVEMENT DISTRICT ADOPTING
THE FINAL AD VALOREM MILLAGE RATE OF 0.8468 MILLS FOR FISCAL YEAR
2024 FOR THE NORMANDY SHORES LOCAL GOVERNMENT NEIGHBORHOOD
IMPROVEMENT DISTRICT, WHICH IS ELEVEN AND THREE TENTHS PERCENT
(11.3%) MORE THAN THE "ROLLED -BACK" RATE OF 0.7610 MILLS.
STRATEGIC PLAN SUPPORTED
Organizational Innovation — Ensure strong fiscal stewardship
ADMINISTRATION RECOMMENDATION
The Administration recommends that the Mayor and City Commission, acting in its capacity as
the Board of Directors for the Normandy Shores Local Government Neighborhood Improvement
District ("District"), adopt the attached Resolution which authorizes the City Manager to transmit
the following information to the Miami -Dade County Property Appraiser:
1) The Final Adopted Millage Rate for the District for Fiscal Year (FY) 2024:
General Operating 0.8468 mills (0.1249 decrease from last year)
The first public hearing to adopt the District's tentative millage rate and budget for FY 2024 was
held on Wednesday, September 13, 2023. The millage rate herein is that which was tentatively
adopted at the first public hearing.
The FY 2024 millage rate for the District of 0.8468 mills is 0.1249 mills, or 12.9%, less than the
adopted FY 2023 millage rate of 0.9717 mills.
Page 193 of 550
FY 2024 Final Normandy Shores Millage Rate
September 27, 2023
Page 2 of 5
BACKGROUND
The Normandy Shores Local Government Neighborhood Improvement District, which is a
dependent taxing district of its principal, the City of Miami Beach, was established in 1994 to
provide continual 24-hour security to this gated community. FY 2024 represents its thirtieth year
of operation.
The District was established by Ordinance No. 93-2881 and has the authority "to levy an ad -
valorem tax on real and personal property of up to two mills, provided that no parcel of property
will be assessed more than $500 annually for such improvements."
On September 11,1997, Resolution No. 97-22522 adopted the District's Tentative FY 1998
millage rate. The accompanying memorandum noted that the City had been funding the gap
between the revenues generated from the ad valorem taxes and the budget, that the City could
not continue to subsidize this budget and that the District should be self-sustaining. This
memorandum also noted that Resolution No. 97-22487 included the City Commission's direction
to the City Clerk to take such steps as may be necessary to hold a special referendum for the
purpose of authorizing special assessments to raise $41,915 for operating purposes within the
District for FY 1998.
On September 23, 1998, Resolution No. 98-22902 adopted the District's FY 1999 budget. The
accompanying memorandum noted that the City had been funding the gap between the revenues
generated from the ad valorem taxes and the budget and that a determination was reached that
the City would fund 35% of the annual cost of the community guard gate. It also stated that the
cost would eventually be funded by the golf course and that the City Attorney's Office would review
the issue of the dependent status of the District, and the City would continue supplementing the
budget at current levels until both issues are resolved.
On September 25, 2002, Ordinance No. 2002-3380 adopted the removal of the $500 annual cap
per parcel. The accompanying memorandum noted that the City's 35% contribution would be
maintained.
In 2015, as part of a "clean up" Ordinance to repeal three other safe neighborhood districts that
were no longer active, the Mayor and City Commission enacted Ordinance No. 2015-3928. With
respect to the Normandy Shores District, because the prior versions of the ordinance had not
been codified as part of the consolidated legislation of the City, the 2015 Ordinance sought to
codify the legislation, but in doing so, inadvertently re -adopted the original 1993 Ordinance that
included an ad valorem cap of $500 per property and not the correct, most recent, version of the
legislation, the 2002 Ordinance, which deleted the cap of $500 per property.
In order to correct the inadvertent error in the 2015 Ordinance and eliminate the $500 per property
cap, as intended since 2002, the Mayor and City Commission adopted Ordinance No. 2020-4386
on December 9, 2020.
On July 28, 2021, the City Commission, based on the recommendation of the Finance and
Economic Resiliency Committee at its July 31, 2021 meeting, approved Resolution No. 2021-
31819 eliminating the City's 35% subsidy, while continuing to fund 50% of the total cost of the
security rover for the District and Normandy Shores golf course.
Page 194, of 550
FY 2024 Final Normandy Shores Millage Rate
September 27, 2023
Page 3 of 5
Since then, the annual budget for the Normandy Shores Local Government Neighborhood
Improvement District has been funded through a dedicated ad valorem tax levied on property
within the District with the City continuing to fund 50% of the total cost of the security rover for the
District and Normandy Shores golf course.
PROCEDURE
The operating millage and budget for this dependent taxing district must be adopted in
accordance with Florida Statutes. This procedure requires that this Resolution be considered
immediately after the millage and budget of the principal taxing authority (i.e., the City of Miami
Beach).
It also requires that a final millage for the District be adopted first. This is accomplished by
adopting a Resolution which states the percent increase or decrease over the "rolled -back" rate.
Following this, another Resolution which adopts the District's operating budget must be approved
(see accompanying District Budget agenda item for details).
Florida Statute requires that the name of the taxing authority, the rolled -back rate, the percentage
increase, and the millage rate be publicly announced before adoption of the millage Resolution.
NORMANDY SHORES PROPERTY VALUES
On July 1, 2023, the City received the 2023 Certification of Taxable Value from the Miami -Dade
County Property Appraiser for the Normandy Shores Local Government Neighborhood
Improvement District indicating that the taxable value was approximately $392.8 million, including
$3.4 million of new construction. Overall, this represents an increase of approximately $87.3
million, or 28.6%, over the 2022 Certification of Taxable Value of approximately $305.5 million.
NORMANDY SHORES MILLAGE & BUDGET
Based on the 2023 Certification of Taxable Value from the Miami -Dade County Property Appraiser
for the Normandy Shores Local Government Neighborhood Improvement District, the ad valorem
millage, which was approved by the Normandy Shores Homeowners' Association and is
recommended by the Administration for FY 2024, is 0.8468 mills. The millage recommended for
FY 2024 is 0.1249 mills, or 12.9%, less than the adopted FY 2023 millage rate of 0.9717 mills.
This millage would generate tax proceeds of $332,611, which will be budgeted at approximately
95.0%, or $315,980 (rounded to $316,000), to account for early payment discounts,
delinquencies, etc. and will fund the FY 2024 budget for the District that includes a project for the
south gate entrance that was requested by the Normandy Shores Homeowners' Association.
Page 195 of 550
FY 2024 Final Normandy Shores Millage Rate
September 27, 2023
Page 4 of 5
The FY 2024 budget for the District, as summarized below, is $316,000, which is an increase of
$34,000, or 12.1%, from the adopted FY 2023 budget of $282,000.
u!Y SpSal�r attotae rid 50�K 6fiRover;''i?t!>
Gate Maintenance and Repairs
40,500
R1'et1 RBme�tt d i;p31lW 14sseta
20,Qtf
Guardhouse Utilities and Janitorial Services
11,000
:Future,itt
South Gate Entrance Project (One -Time)
6,000
+rdair o cis _
rtio
Other Miscellaneous Operating Expenditures
500
Tal[;1�Oif9
STATUTORY REQUIREMENTS
Florida Statute 200.065, entitled "Method of Fixing Millage," establishes specific guidelines that
must be used by all local government entities, including dependent taxing districts like the
Normandy Shores Local Government Neighborhood Improvement District in setting its millage
(property tax) rates. Not unlike its principal taxing authority, the City of Miami Beach, the
Normandy Shores Local Government Neighborhood Improvement District is also required to
transmit within 35 days from receipt of the Certification of Taxable Value (received by July 1,
2023), to the Miami -Dade County Property Appraiser, a proposed operating millage rate, the
calculated "rolled -back" rate and the date, time, and place of the first public hearing to consider
the proposed operating millage rate and budget for FY 2024.
After setting the proposed operating millage rate, the Mayor and City Commission, acting in its
capacity as the Board of Directors for the Normandy Shores Local Government Neighborhood
Improvement District, may, at any time prior to final adoption, lower the proposed millage rate.
However, any increase above the rate of 0.8468 mills for FY 2024, if adopted, would require an
expensive mailing and advertising process to each property owner in the District. Therefore, this
proposed millage rate is viewed as the ceiling.
Adoption of the final FY 2024 millage rate of 0.8468 mills for the District would therefore require
a two-thirds aooroval (5 of 7 votes) by the City Commission Der the State of Florida's Truth-in-
Millage (TRIM) requirements.
It must be noted that, in accordance with Florida Statutes, there is an operating cap of 10 mills
which cannot be exceeded without voter approval. Combining both millage rates from the
dependent district (0.8468 mills) and its principal taxing authority (5.8155 mills) totals 6.6623 mills,
which is 3.3377 mills less than the statutory cap of 10 mills.
Page 196 of 550
FY 2024 Final Normandy Shores Millage Rafe
September 27, 2023
Page 5 of 5
On September 13, 2023, the Mayor and City Commission tentatively adopted the operating
millage rate of 0.8468 mills and tentative operating budget of $316,000 for the District for FY 2024.
CONCLUSION
The City Commission, acting in its capacity as the Board of Directors for the Normandy Shores
Local Government Neighborhood Improvement District, should adopt the attached Resolution
which establishes the final millage rate of 0.8468 mills for the Normandy Shores Local
Government Neighborhood Improvement District for FY 2024.
ATH/JDG/TOS
Page 197 of 550
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