007-2000 LTC
CITY OF MIAMI BEACH
CITY HALL 1700 CONVENTION CENTER DRIVE MIAMI BEACH, FLORIDA 33139
http:\\ci,miami-beach,fl.us
7-2000
L.T.C. No.
LETTER TO COMMISSION
January 24, 2000
TO: Mayor Neisen O. Kasdin and
Members of the City Commission
FROM: Lawrence A. Levy ~
City Manager
SUBJECT: THE STATE OF FLORIDA BUDGET PROPOSALS
Attached hereto is a press release that we received from the Office of the Governor with regard to
the Fiscal Year 2000-200 I Budget for the State of Florida. The Budget can be accessed on the
internet at www.flgov.com. By copy of this memorandum, I am furnishing this information to the
Executive Staff and the Finance Director so that they will have up to date budget information from
the State in the event that it may be useful to us.
LAL:jah
Attachment
c: Christina M. Cuervo, Assistant City Manager
Mayra Diaz Buttacavoli, Assistant City Manager
Janet Gavarrete, Assistant City Manager
Matthew Schwartz, Assistant City Manager
Ronnie Singer, Executive Assistant to the City Manager
Mary Greenwood, Executive Assistant to the City Manager/Labor Relations
Judy Hoanshelt, Special Projects Coordinator
Robert E. Parcher, City Clerk
Richard Barreto, Police Chief
Patricia D. Walker, Finance Director
F\CMGR\$ALLIL TC-OO\ST A TEFLABUD
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STATE OF FLORIDA
@ffic~ of tq.e <'iuUttnOr
THE CAPITOL
TAllAHASSEE. FLORlDA 323~~-OOO 1
FOR IMMEDIATE RELEASE
JANUARY 19,2000
CONTACT: ELIZABETH HIRST
(850) 488-5394
GOVERNOR BUSH UNVEILS TAXPAYER-FRIENDLY
STATE BUDGET PROPOSAL
--Florida 's First e-Budget Accessible Online at www.jlgov_com--
TALLAHASSEE - Continuing his commitment to Florida's public education
system, safer neighborhoods, our most vulnerable citizens, and Florida's working
families, Governor Jeb Bush today announced his Executive Budget for Fiscal Year
20aO-2001-the state's fIrst e-budget.
"Florida is poised with a great opportunity provided by the citizens of this state
and a gwwing economy," Governor Bush said during a morning news conference at the
state capitol. "Our redesigned budget format will result in a taxpayer-friendly budget
process that is policy-based, priority-driven, information-rich and openly accountable.
This budget allows us to fund our highest priorities and restore tax dollars to the people
of Florida."
TIle Governor's $49.8 billion budget includes a 6.5 percent education funding
increase and the second largest tax cut in state history.
In addition, the budget returns fiscal responsibility to state government by limiting
general revenue spending growth to just 3.8 percent~ and total spending growth to just 2.2
percent.
FIRST EVER E - RUDGET
Reflecting the belief that to properly serve the people of Florida, state government
must be at the forefront of the Internet revolution, today's announcement unveils the first
e-budget in Florida history. The e-Budget is dynamic, web-based and fully-hyper-linked
placing Florida at the forefront of using technology to provide citizens with greater
access to infonnation.
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E-BUDGET 2000/2001- -Page Two
NEW USER FRIENDLY BUDGET FORMAT
In addition to being available online in a dynam.ic, hyper-linked form, the
Executive Budget fonnat itself has been completely redesigned to make it more
accessible and user-friendly. The primary goal of the budget redesign is to present
Executive Budget information in a manner consistent with the Governor's aspiration of
having a policy-based, priority-driven and fully accolmtable budget.
To enhance accountability in the expenditure of tax dollars, the redesigned budget
format lists accountability criteria next to each line item in the budget for the fIrst time
ever. Another new feature is that this year's costs are compared to those recommended
by the Governor for the next fiscal year. In addition, the budget lists activity or "unitt!
costs for performing a specific function or service,
Also, unlike the old budget format, the infonnation in the dynamically formatted
e-budgct can be easily accessed in a variety of useful ways. For example, under the old
budget format, because drug control spending took place in a number of state agencies, it
was literally impossible to determine the state's total spending on drug control efforts.
Under the new user-friendly budget format, the Governor's budget recommendations can
now be aggregated into program areas. For example, One can easily determine how much
the Governor is recommending on Drug Control and Substance Abuse, even though these
dollars are spread across many agencies,
GOVERNOR BUSH'S 2000-2001 FUNDING RECOMMENDATIONS
Highlights of to day's Executive Budget announcement include:
· A $720 million, 6.5 percent increase in funding for K-12 public schools.
· $578 million in new tax cuts, including savings for homeowners, growing
businesses and working families.
· $3.3 billion in reserves to provide integrity, strength and stability to Florida's
economy _
· An additional $134 million, a 60 percent increase in only two years, for our child
welfare system.
· $154 million, including family premiums of $5.8 million, to serve all 260,000
Florida children eligible for KldCare, and another $60 million to provide or
enhance dental care for more than one million children.
· An additional $136 million to serve our developmentally disabled citizens in our
couummities.
· An additional $12.1 million to meet the entire need of the estimated 6,214 seniors
who are expected to request aging in place services this year, thus eliminating the
waiting list for services_
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EMBUDGET 200012001- -Page Three
· $442.3 million for drug control, a $35 million or 8.4 percent increase over last
year, to confront both the supply of and demand for illegal drugs and to follow the
initiatives outlined in the Governor's 1999 Florida Drug Control Strategy.
· $1.25 billion over the next 10 years to fully fund the state's commitment to
Everglades restoration.
Governor Bush also stressed the fact that the state will now have $3.3 billion in
reserves to protect our schools and social services against future economic downturns.
This compares to only $3 million in reserves prior to Florida's last economic recession.
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STATE OF FLORIDA
(@ffiL~ of tly~ Oio(x~rnor
THE CAPITOL
TAllAHASSEE, FLOR.IDA 32399-0001
]EB BUSH
GOVERNOK
FOR IMMEDIATE RELEASE
JANUARY 19,2000
CONTACT: ELIZABETH HIRST
(850) 488-5394
GOVERNOR BUSH PROPOSES MORE TAX RELIEF FOR
FLORIDA'S ELDERS, FAMILIES AND BUSINESSES
TALLAHASSEE - While unveiling his Fiscal Year 2000-200 I Executive
Budget, Govemor Jeb Bush today announced $578 million in new tax cuts that will
further ease the tax burden on Florida's families and businesses.
"OW' quality of life and the prosperity of our state depend On allowing taxpayers
to keep more of what they earn," said Govemor Bush, "Businesses and families, and
especially Florida's seniors should be free to invest, spend and save their hard earned
money. 'I
The tax relief package contains the following:
. Repeal of Intan~ibles Tax Over 2 Years - State Tax. on the Elderly and
Savers - Florida is still the only state with a substantial tax on intangible personal
property. This tax has is especially onerous in that it punishes people who make
the sacrifice to save and invest their earnings to provide a better life for
themselves and their families. In addition, the tax diminishes the only source of
current income fo:r many I:eti:n:c;:; living in the state, posing a hardship for those
depending on a modest life savings to support them in their later years, In fact, of
those individuals affected by the intangibles tax, 72 percent are aged 60 or older,
Governor Bush's proposal would work in the following manner: Over the next
two years, the intangibles tax will be repealed and over 799,000 taxpayers will be
dropped from the tax rolls_ In the first year, the tax rate will be reduced from 1.5
mills to 0.5 mill and the tax will be repealed altogether in the year that follows. It
will also apply the I mill reduction in the first year to the "first mill" of the tax
therefore bringing savings to the broadest possible group.
. Sales Tax Holiday - Families from throughout the state will be able to take
advantage of a sales tax holiday in preparation for the school year. Under
Governor Bush's proposal, from July 29, 2000, through August 6, 2000, items of
clothing having a taxable value of under $100 or less will be exempt from sales
taxes,
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TAX RELIEF - -Page Two
. Beverage Surtax Repeal - This tax has become too costly and burdensome for
taxpayers and the state to administer_ Under Governor Bush's proposal, the
surcharge for alcoholic beverages sold for on-premise consumption will be
reduced by 50 percent in the first year and eliminated altogether in the next year,
Governor Bush is proposing that the $9.7 million of the surcharge that is
transferred to the Children and Adolescents Substance Abuse Trust Fund will
remain unchanged. If Governor Bush's surcharge repeal proposal is adopted by
the Legislature, the trust fund will be funded by an additional 2 percent
distribution from the beverage wholesale tax.
The repeal of this tax would affect 20,000 Florida businesses and save them $32
million in the first year and over twice that in the next year for use in illvestment
and job creation.
. Fee Holiday for Selected Professions - Over the last several years, regulatory
fees paid by some professionals have been too high resulting in an accumulation
of unneeded balances in regulatory funds. The Professional Fee Holiday will
provide a 6 month, one year, or two year waiver of professional license renewal
fees affecting close to 250,000 professionals.
. End Inspection Fees in Four Counties - The Florida Department of
Environmental Protection has found that Broward, Dade, Duval, and Palm Beach
Counties are in compliance with new federal air quality standards, therefore
vehicle emissions inspections are no longer needed there, Governor Bush is
proposing the repeal of the emissions testing in these counties, which would save
vehicle owners in those counties the $19 biennial inspection fee.
. Repeal of Sales Tax Annual Re1!;istration Fee - This annual sales tax
registration fee is not a user fee for regulation but instead a "tax" that businesses
are required to pay for being the state's tax collection agency. This fee is no
longer needed and is harmful to many small businesses in our state,
. ChanK.e Current Film Indu!ltry Sales Tax Refund to Up-Front Exemption ~
This change increases the competitiveness of Florida's film industry by making
the use of the current exemption less cumbersome for film companies. It allows
the current sales tax exemption for qualified production companies to be taken at
the point-ofwsale (up front) instead of a refund some time after the sale.
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