Resolution 2023-32787RESOLUTION NO: 2023-32787
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE NORMANDY
SHORES LOCAL GOVERNMENT NEIGHBORHOOD IMPROVEMENT DISTRICT
ADOPTING THE FINAL OPERATING BUDGET FOR FISCAL YEAR 2024.
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, for the purpose of providing security services within the District, a final budget
has been developed to fund projected Fiscal Year (FY) 2024 operating expenditures; and
WHEREAS, on September 13, 2023, pursuant to Section 200.065, Florida Statutes, the
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 FY 2024
for the District; 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 budget of $316,000 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 City
Commission, acting as the Board of Directors of the District, hereby adopts the final operating
budget for the District for FY 2024, as summarized below:
Revenues
Ad Valorem Tax $ 316,000
Total $ 316,000
Expenditures
Security Services
$ 227,000
Gate Maintenance and Repairs
40,500
Set -aside for Renewal and Replacement of Capital Assets
20,000
Guardhouse Utilities and Janitorial Services
11,000
Set -aside for Reserves for Future Projects
10,000
South Gate Entrance Project (One -Time)
6,000
OIG Internal Service Charges
1,000
Other Miscellaneous Operating Expenditures
500
Total
$ 316,000
PASSED AND ADOPTED this 27th day of September 2023.
ATTEST:
SEP 2 8 2023
Secr ary to the District
Chairperson of the District
APPROVED AS TO
FORM &LANGUAGE
T""' • :C y,
& FOR EXECUTION
ilCOhPORP,iE4�
City Affomey,,,f Dafd
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 OPERATING BUDGET FOR FISCAL
YEAR 2024.
RECOMMENDATION
See attached Memorandum.
SUPPORTING SURVEY DATA
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 2-14?
Yes No
Strategic Connection
Organizational Innovation - Ensure strong fiscal stewardship.
Legislative Tracking
Office of Management and Budget
ATTACHMENTS:
Description
o Memo - FY 2024 Final Normandy Shores Operating Budget
o Resolution
Page 200 of 550
MIA/\AIBEACH
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 OPERATING BUDGET FOR FISCAL YEAR 2024.
STRATEGIC PLAN SUPPORTED
Organizational Innovation — Ensure strong fiscal stewardship
ADMINISTRATION RECOMMENDATION
Adopt the Resolution which establishes the final operating budget for the Normandy Shores Local
Government Neighborhood Improvement District ("District") for Fiscal Year (FY) 2024 in the amount
of $316,000.
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
Page 201 of 550
FY 2024 Final Normandy Shores Budget
September 27, 2023
Page 2 of 3
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.
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 final millage for the District has been adopted (see accompanying District Millage agenda item
for details).
NORMANDY SHORES BUDGET
The FY 2024 budget for the District, as summarized below and further detailed in Attachment A, is
$316,000, which is an increase of $34,000, or 12.1 %, from the adopted FY 2023 budget of
$282,000.
Page 202 of 550
FY 2024 Final Normandy Shores Budget
September 27, 2023
Page 3 of 3
CoWiscrad Swvioaa for Gu millIm s vW 50% af Roves
227,000
Gate Maintenance and Repairs
40,500
SM-aside for Renewal mid Replaimew rtt of COW Aseebt
20,000
Guardhouse Utilities and Janitorial Services
11,000
8e4side for Resew* for FL*" Projects
10,000
South Gate Entrance Project (One -Time)
6,000
O#G hdmi M Setvioe Chirgss
1,000
Other Miscellaneous Operating Expenditures
500
Tort
$31400
To provide the current level of security required in the District an ad valorem millage of 0.8468 mills,
which was approved by the Normandy Shores Homeowners' Association, is recommended by the
Administration for FY 2024. This levy will 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.
CONCLUSION
The City Commission, acting in its capacity as the Board of Directors of the Normandy Shores Local
Government Neighborhood Improvement District, should adopt the attached Resolution which
establishes the final operating budget of $316,000 for the Normandy Shores Local Government
Neighborhood Improvement District for FY 2024.
Attachment A — FY 2024 Normandy Shores Budget
ATH/JDG/TOS
Page 203 of 550
ATTACHMENT A
FY 2024 Normandy Shores District Budget
FY 2020
Actuals
FY 2021
Actuals I'f
i FY 2022
Actuals Ial
�
RAW
}y�4
pIttpeeg/
$Varlance
FY 2024 Proposed
vs
FY 2023 Adopted
Variance
FY 2024 Proposed
vs
FY 2023 Adopted
REVENUES
Residents
173,550
17,900
252,000
-NA
33A1000
34,000
12.1%
City
93,450
93,100
0
- 0
0
0
0.0%
Restitutions Isi
1,662
1,677
3,740
0
0
0
0.0%
Miscellaneous/Interest
1,131
80
0
0
0
0
O.G%
Total
S 269,793
S 112,757
$ 255,740
f
'j 'J3•tAN
$ 34,000
12.1%
EXPENDITURES
Internal Service - Security Guard Sem ces isl
217,000
210,000
214,000
114AM
227AW
13,D00
6.1%
Janitorial Services
3,892
3,877
3,907
4rd�q
4p00
0
0.0%
Gate Repairs (AAA Repairs)
31,099
24,291
37,073,
504
$,Sit•
15,000
73.2%
Other Repairs and Maintenance
0
0
0
SAM
5,O00
0
0.0%
Internal Service - OIG Set -Aside Isi
0
0
1,000
f IM
LOW
0
0.0%
Utilities (Electricity & Telephone) Isl
5,835
5,655
6,666
7,OOD
7,•00
0
0.0%
RFID System
42,199
0
0
D
0
0
0.0%
LPR Camera System
0
35,554
0
0
0
0
0.0%
South Entrance Ggte Project
0
0
0
0
g00O
6,000
100.0%
Renewal & Replacement Set -Aside
0
0
0
14000
�i,000
0
0.0%
Other Expenciltures tf'
936
4,367
1,111
SO0
500
0
0.0%
Transfer to Reserve i'i
0
0
D
1Or000
1A
0
0.0%
Taal
S 300,961
S 283,744
S 263,763
= 3WAW
is slow
$ 34,000
12.1%
Surplus/(Shortfall) $ (31,168) S (170,987) S (8,023)! • • $ o
REQUIRED NIJUAGE 0.8161 0.0773 1,0659 0.9717 0.8468
Footnotes;
"' The FY 2021 millage and budget was adopted to comply with the $500 cap codified on the levy of property taxes per parcel for operations of the Normandy Shores Local Government Neighborhood
Improvement District, which resulted in a significant reduction in revenue of $155,000 based on the decrease In the FY 2021 millage rate from the proposed millage of 0.7497 mills to 0.0773 mills. To offset
the reduction in revenue in FY 2021, available fund balance projected In the Normandy Shores Fund of $135,000 was appropriated, the budget reduced by $20,000, and the City's original 35.0% subsidy of
$93,100 was maintained for FY 2021.
'rl Effective FY 2022, the City Commission adopted Ordinance 2020-4236 eliminating the $500 per parcel cap and Resolution No. 2021-31819 eliminating the City's annual subsidy of 35.0% for operations of
the Normandy Shores Local Government Neighborhood Improvement District, while maintaining the City's 50.0% contribution towards the cost of the security rover.
UI Per the Facilities and Fleet Management Department, additional necessary gate repairs were funded outside of the District's operating budget and restitutions totaling $8,828.56 that were collected during
FY 2022 for applicable gate repairs was reimbursed to the funding source used to fund these gate repairs.
14) FY 2024 security guard costs are based on current year projections for security guard services per the Facilities and Fleet Management Department, which include the cost of the security rover and golf cart
rental that is split -funded between the Normandy Shores (50%) District and the City (50%). plus applicable citywide increase in Irving wage of 3% proposed for FY 2024.
"Based on the Office of the Inspector General's FY 2024 budget and Internal services allocations for FY 2024.
161 Utilities for FY 2024 based on current year projections.
In FY 2024 Renewal and Replacement Set -Aside based on Adopted FY 2023 set -aside for future renewal and replacement funding.
In Other Expenditures for FY 2024 based on annual Special Taxing District state fee paid to the Department of Economic Opportunity.
Isl FY 2024 Transfer to Reserve based on Adopted FY 2023 Transfer to Reserve to be used for future needs.
lsol FY 2024 property values based on Certified values recP__QGyZ0*30JOM6QmI-Dade County Property Appraiser