215-2001 LTC CITY OF MIAMI BEACH
Office of the City Manager
Letter to Commission No.
To:
Mayor and Commissioners
Date: September 18, 2001
Subject: September 5, 2001 Agenda Item R9N - Discussion of Historic Tax Credit
There is currently a proposal by Commissioner Liebman to provide some tax relief to
owners who complete qualifying restorations to their single-family residential property.
The tax relief provided, if approved, would be in the form of a ten-year ad valorem tax
exemption on the value of the improvements made to their historic property. This
exemption would only be granted for qualifying improvements to single family residential
properties. Other increases in value would remain subject to ad valorem tax, as limited by
Amendment 10 for homestead property and assessed values for the purpose of debt
service would not be impacted.
The economic impact of the proposal on the annual ad valorem tax is limited based on the
number of historic single-family residential properties (130) and the cap placed on
qualifying improvements.
The amount of ad valorera tax reduction would be as follows:
Amount of Cap
Annual Ad Valorem Impact (@7.299)
Number of homes
10% 50% 100%
$25,000 $2,372 $11,861 $23,722
$50,000 $4,744 $23,722 $47,444
$75,000 $7,116 $35,582 $71,165
$100,000 $9,488 $47,444 $94,887
$150,000 $14,233 $71,165 $142,331
$200,000 $18,977 $94,887 $189,774
Should you have questions or require additional information please contact me.