2011-27749 Reso RESOLUTION NO. 2011 -27749
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE
NORMANDY SHORES LOCAL GOVERNMENT
NEIGHBORHOOD IMPROVEMENT DISTRICT ADOPTING
THE FINAL OPERATING BUDGET FOR FISCAL YEAR (FY)
2011/12.
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 FY 2011/12 operating expenses; and
WHEREAS, accordingly, on September 14, 2011, pursuant to Section 200.065 of
the Florida Statues, 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 (FY 2011/12) for the District; and
WHEREAS, accordingly on September 27, 2011, pursuant to Section 200.065 of
the Florida Statutes, a public hearing was held before the Mayor and City Commission,
acting as the Board, to discuss the operating millage rate and operating budget for the
District for FY 2011/12.
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, 2011, the Board hereby adopts the Final Operating Budget
(FY 2011/12) for the Normandy Shores Local Government Improvement District, as
summarized and listed below:
Budget
1.0935 Mills
Revenues
Ad Valorem Tax $ 108,469
City's Genaral Fund 58,406
Total $ 166,875
Expenses
Security Service $ 156,724
Maintenance 10,151
Total $ 166,875
PASSED : nd:A s'y} %, Isis e 7th day of September, 2011
INCORP GRATED:
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Condensed Title:
A resolution adopting the final operating budget for the Normandy Shores Local Government Neighborhood
Improvement District for Fiscal Year (FY) 2011/12.
Key Intended Outcome Supported:
Increase visibility of police; Maintain crime rates at or below national trends.
Supporting Data (Surveys, Environmental Scan, etc.):
In 2009 Community Survey, both residents and businesses reported the following areas for the City to address in an
effort to improve public safety:
• Preventing crime (Residents: 44.9 %, Business: 43.9 %)
• Increasing police visibility (Residents: 32.4 %, Business: 33.1%)
Issue:
Shall the Mayor and City Commission, acting in its capacity as the Board of Directors forthe Normandy Shores Local
Government Neighborhood Improvement District, approve the final operating budget forthe District for FY 2011/12 in
the amount of $166,875?
1
el Item Summary /Recommendation:
The total operating expenditures to provide the current service level to this district is $166,875 for FY 2011/12. The
City of Miami Beach General Fund is required to provide 35% of the total operating expenditures ($58,406), and the
City has funded the 35% for each of the eighteen years since the District was established. The amount provided by
the General Fund for this purpose in FY 2010/11 was $57,161. The $166,875 in FY 2011/12 represents a $3,558
increase (2.2 %) from the FY 2010/11 budget of $163,317, primarily due to the estimated impact of the living wage
ordinance on the security contract expenses.
To provide the current level of security required by this district, the Administration recommends the proposed ad
valorem millage of 1.0935 mills. This tax levy will generate proceeds of $108,469. The increase of 0.0560 mills from
the prior year millage represents an annual increase of $15.17 to the City average 2010 homesteaded property of
$271,000 taxable value (estimate based on Ad Valorem Assessment Roll received from the Miami Dade County
Property Appraiser on August 17, 2010), a total of approximately $296 per year ($25 per month).
It must be noted that in FY 2010/11, the adopted millage rate of 1.0375 resulted in a budget shortfall of $8,674. In
order to close this gap, the Commission voted to waive the City's policy of not utilizing one -time, non - recurring
revenue to subsidize recurring personnel, operating and maintenance costs and allowed the use of $5,639 Normandy
Shores stash site dollars which resulted from the sale of the stash site in 1993, matched by an additional $3,035 in
City dollars. Since this was a one -time action, the FY 2011/12 proposed millage rate includes 0.0568 mills to fund
this amount.
The first public hearing on the tentative District millage rate and budget for FY 2011/12 was held on September 14,
2011. The City Commission adopted the tentative operating millage of 1.0935 and the operating budget forthe district
in the amount of $166,875.
Advisory Board Recommendation:
Financial Information:
Source of Amount Account Approved
Funds: 1 $ 108,469 Normandy Shores
District
2 58,406 General Fund
OBPI Total $ 166,875
Financial Impact Summary:
City Clerk's Office Legislative Tracking:
Sin -Offs:
Department Errector Assistant City Manager City Manager
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A I AGENDA STEM
R181
_` , DATE 9.--27-/1
MIAMIBEACH
City of Miami Beach, 1700 Convention Center Drive, Miami Beach, Florida 33139, www.miamibeachfl.gov
COMMISSION MEMORANDUM
TO: Mayor Matti Herrera Bower and Members of the City Commission
FROM: Jorge M. Gonzalez, City Manager
DATE: September 27, 2011
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 (FY) 2011/12.
ADMINISTRATION RECOMMENDATION
Adopt the Resolution which establishes the final operating budget for the Normandy Shores
Local Government Neighborhood Improvement District for FY 2011/12 in the amount of
$166,875.
BACKGROUND
The Normandy Shores Local Government Neighborhood Improvement District (the District), 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 2011/12 represents its eighteenth
year of operation.
The District was established by Ordinance 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 ". During FY 1998/99 the amount of
annual funding to be provided by the City and the dependent status of the District were issues
discussed by the Finance and Citywide Projects Committee. A determination was reached that
the City would fund 35% of the annual cost of the operation of the community gate guard. This
cost will eventually be funded from the golf course operation of the Normandy Shores Golf
Course. It was further agreed that the City would continue to supplement the District at current
levels until both issues were resolved. On August 29, 2002, the Administration met with the
Normandy Shores Local Government Neighborhood Improvement District representatives and
agreed to eliminate the $500 cap on the highest valued home in the District. The enabling
legislation was adopted by the Commission on September 25, 2002. This ensures that the City's
contribution from the General Fund remains at 35% of the operating budget of the District.
PROCEDURE
The operating millage and budget for this dependent special taxing district must be adopted in
accordance with Florida Statutes. This procedure requires that this Resolution be considered
immediately after the final millage for Normandy Shores District has been adopted (See
accompanying District Millage Agenda Item for details).
FY 2011/12 Normandy Shores Adopted Budget
September 27, 2011
Page 2 of 2
ANALYSIS
The total operating expenditures to provide the current service level to this district is $166,875 for
FY 2011/12. The City of Miami Beach General Fund is required to provide 35% of the total
operating expenditures ($58,406), and the City has funded the 35% for each of the eighteen
years since the District was established. The amount provided by the General Fund for this
purpose in FY 2010/11 was $57,161. The $166,875 in FY 2011/12 represents a $3,558 increase
(2.2 %) from the FY 2010/11 budget of $163,317, primarily due to the estimated impact of the
living wage ordinance on the security contract expenses.
To provide the current level of security required by this district, the Administration recommends
the proposed ad valorem millage of 1.0935 mills. This tax levy will generate proceeds of
$108,469. The increase of 0.0560 mills from the prior year millage represents an annual
increase of $15.17 to the City average 2010 homesteaded property of $271,000 taxable value
(estimate based on Ad Valorem Assessment Roll received from the Miami Dade County Property
Appraiser on August 17, 2010 a total of approximately $296 per year ($25 per month).
9 ), PP Y$ P Y ($ P h) .
It must be noted that in FY 2010/11, the adopted millage rate of 1.0375 resulted in a budget
shortfall of $8,674. In order to close this gap, the Commission voted to waive the City's policy of
not utilizing one -time, non - recurring revenue to subsidize recurring personnel, operating and
maintenance costs and allowed the use of $5,639 Normandy Shores stash site dollars which
resulted from the sale of the stash site in 1993, matched by an additional $3,035 in City dollars.
Since this was a one -time action, the FY 2011/12 proposed millage rate includes 0.0568 mills to
fund this amount.
On September 14, 2011, the Mayor and City Commission adopted the tentative operating budget
for the District in the amount of $166,875 and an operating millage of 1.0935.
The final operating budget for the District is as follows:
Revenues
Ad Valorem Tax $ 108,469
City's General Fund 58,406
Total $ 166,875
Expenses
Security Service $ 156,724
Maintenance 10,151
Total $ 166,875
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.
JMG:KGB:JC