2012-28015 ResoI
RESOLUTION NO. 2012-28015
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE
-NORMANDY SHORES LOCAL GOVERNMENT NEIGHBORHOOD
IMPROVEMENT DISTRICT ADOPTING THE"FINAL AD VALOREM
MILLAGE OF 1.1444 MILLS FOR FISCAL YEAR (FY) 2012/13 FOR
THE NORMANDY SHORES LOCAL GOVERNMENT DISTRICT, WHICH
IS THIRTEEN AND SEVEN-TENTH PERCENT (13.7%) MORE THAN
THE "ROLLED-BACK" RATE OF 1.0063 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 fix the operating millage rate and adopt an annual budget for dependent taxing
districts; and
WHEREAS, the maximum millage that can be approved by a simple majority (4/7) vote is
1.0513; anything beyond that requires a 5/7tns vote; and
WHEREAS, on July 18, 2012, the City Commission adopted Resolution 2012-27961 which
set the proposed operating millage rate for the District at 1.1478 mills for the purpose of providing
security services within the District; and
WHEREAS, subsequent to the July 18, 2012 meeting, the millage calculations were further
refined, resulting to a lower millage rate; and
WHEREAS, accordingly, on September 12, 2012, 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 2012/13)for the District.
WHEREAS, accordingly, on September 27, 2012, pursuant to Section 200.065 of the
Florida Statues, the City Commission, acting as the Board of Directors of the District, held its
second duly noticed public hearing to consider the Final Ad Valorem Millage and Final Operating
Budget (FY 2012/13)for the District; and
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, 2012, the Board hereby adopts the
Final Operating Millage rate of 1.1444 mills for the District for FY 2012/13, which is thirteen and
seven-tenth percent (13.7%) more than the "Rolled-back" rate of 1.0063 mills.
PASSED and ADOPTED this 27th day of September 2012.
Chairperson of the District �A==
0A==tZ,, Oov APPROVED AS C)
ATTEST: FORM &LANGUAGE
'.INCORI' ORATE; n $FOR EXECUTION
Sec Lary to the bistrict
,\ v
CH 2�
Oki 1 1 Z
City Attomeiw Date
COMMISSION ITEM SUMMARY
Condensed Title:
A resolution of the Board Of Directors of The Normandy Shores Local Government Neighborhood
Improvement District adopting the final Ad Valorem Millage Rate Of 1.1444 Mills For The Normandy
Shores Neighborhood Improvement District,which is thirteen and seven-tenth(13.7%)more than the
"rolled-back" rate of 1.0063 mills.
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 forthe Cityto
address in an effort to improve public safety:
• Preventing crime(Residents: 44.9%, Business: 43.9%)
Issue:
Shall the Mayor and City Commission, acting in its capacity as the Board of Directors for the
Normandy Shores Local Government Neighborhood Improvement District, adopt the attached
resolution which sets the final Ad Valorem Milla a Rate?
Item Summa /Recommendation:
The proposed ad valorem millage recommended by the Administration is 1.1444 mills to provide the
current level of security required by this district. For the Normandy Shores taxing District,the value for
each mill ($1.00 of ad valorem tax for each $1,000 of property value) is determined by the 2012
Certification of Taxable Value and has been set at$112,393. Florida Statutes permit a discount of up
to five percent for early payment discounts,delinquencies,etc. Therefore,the 95 percent value of the
mill is$106,773. The 1.1444 mills will generate proceeds of$122,200, 65 percent of the proposed
district budget. In addition,the City of Miami Beach General Fund is required to provide 35%of the
total operating expenditures($65,800). The City has funded the 35%for each of the nineteen years
since the District was established.
The increase of 0.0509 mills from the prior year millage represents an annual increase of$14.53 to
the City average 2012 homesteaded property of $285,517 taxable value (estimate based on Ad
Valorem Assessment Roll as of January, 2011), which is due to maintenance of homeowner-
requested cameras and security gates, the estimated impact of the living wage ordinance on the
security contract expenses,and Property Management charges primarily due to personnel increases.
The total levy to the average homeowner is$327 per year($27 per month).
The first public hearing on the tentative District millage rate and budget for FY 2012/13 was held on
September 12,2012.The millage rates presented herein are those which were tentatively adopted at
the end of the first public hearing held on that day. The FY 2012/13 proposed millage rate is above
the maximum millage rate of 1.0513 allowed to be adopted by a majority vote, and will therefore
require a 5/7 vote.
Advisory Board Recommendation:
Financial Information:
Source of Amount Account Approved
Funds: I
N/A 2
OBPI Total
Financial Impact Summary:
City Clerk's Office Legislative Tracking:
Sign-Offs:
Department Director Assistant City Manager City Malpger
i
AGENDA ITEM R7 BI
MIAMIBEACH DATE 9-d 7-/Z
MIAMI BEACH
City of Miami Beath, 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: Kathie G. Brooks, Interim City Manager
DATE: September 27, 2012
SUBJECT:A RESOLUTION OF THE BOARD OF DIRECTORS OF THE NORMANDY
SHORES LOCAL GOVERNMENT NEIGHBORHOOD IMPROVEMENT.
DISTRICT ADOPTING THE FINAL AD VALOREM MILLAGE OF 1.1444 MILLS
FOR FISCAL YEAR (FY) 2012/13 FOR THE NORMANDY SHORES LOCAL
GOVERNMENT DISTRICT, WHICH IS THIRTEEN AND SEVEN-TENTH
PERCENT (13.7%) MORE THAN THE "ROLLED-BACK" RATE OF 1.0063
MILLS.
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, adopt the attached resolution which sets the following:
1) The final adopted millage rate of the Normandy Shores Neighborhood
Improvement District for FY 2012/13:
General Operating 1.1444 mills (1.0935 mills last year)
2) The final adopted millage rate of 1.1444 mills is 13.7% more than the
"Rolled-Back" Rate of 1.0063 mills
The first public hearing on the tentative District millage rate and budget for FY 2012/13 was
held on September 12, 2012. The millage rates presented herein are those which were
tentatively adopted at the end of the first public hearing held on that day.
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 2012/13 represents its
nineteenth 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
FY 2012/13 Normandy Shores Final Millage Rate
September 27, 2012
Page 2 of 3
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 the Golf Course assumes the cost.
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 millage and budget of the principal taxing authority, i.e.,
City of Miami Beach.
It also prescribes that a tentative millage be adopted first.This is accomplished by adopting
a Resolution which states the percent increase or decrease over the"Rolled-back"rate,and
the date,time, and place of the second public hearing scheduled to adopt the final millage.
Following this, another Resolution which tentatively adopts the Normandy Shores District
operating budget must be approved. (See accompanying District Budget Agenda item for
details).
The statute requires 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.
ANALYSIS
On July 1,2012,the City received the 2012 Certification of Taxable Value from the Property
Appraiser's Office stating that the taxable value for Normandy Shores is $112,393,414,
which includes a reduction of$283,196 for construction, renovation, etc. The preliminary
value represents an increase of$7,981,561 from the July 1, 2011 Certification of taxable
Value of$104,411,853(7.6 percent)and an increase of 8.4 percent over 2011's July 2011
value of$103,688,864.
The proposed ad valorem millage recommended by the Administration is 1.1444 mills to
provide the current level of security required by this district. This tax levy will generate
proceeds of $122,200. The increase of 0.0509 mills from the prior year millage, due to
maintenance of homeowner-requested cameras and security gates,the estimated impact of
the living wage ordinance on the security contract expenses, and Property Management
charges primarily due to personnel increases, represents an annual increase of$14.53 to
the City average 2012 homesteaded property of$285,517 taxable value(estimate based on .
Ad Valorem Assessment Roll as of January, 2011), and a total of approximately$327 per
year($27 per month).
For the Normandy Shores taxing District,the value for each mill($1.00 of ad valorem tax for
each$1,000 of property value)is determined by the 2012 Certification of Taxable Value and
has been set at$112,393. Florida Statutes permit a discount of up to five percent for early
payment discounts, delinquencies, etc. Therefore, the 95 percent value of the mill is
FY 2012/13 Normandy Shores Final Millage Rate
September 27, 2012
Page 3of3
$106,773. The required millage without the homeowner-requested additional security
camera maintenance and the living wage increase is 1.0592 (0.0343 mills below the FY
2011/12 rate). The proposed millage of 1.1444 is required to generate$122,200 in property
tax revenues by the district.
The rolled-back rate is the millage rate required to produce the same level of property tax
revenue in FY 2012/13 as collected in FY 2011/12. The rate is calculated as 1.0063 or
0.0872 mills less than the millage rate adopted for FY 2011/12.
Further, pursuant to State Statute,the City may elect to approve millage rates above the roll-
back rate up to the constitutional cap of 10 mills subject to the following votes by the
Commission or referendum:
• Option I: A majority of the approval of the Commission Millage is required to approve a
millage up to 1.0513 (equivalent to a 4.47% increase in Property Tax revenues). The
4.47% increase is the state per capita personal income gain for the prior calendar year.
• Option II:A two-thirds approval(5 of 7 votes)of the Commission is required to approve a
millage up to 1.1564 (equivalent to a 10% increase in Property Tax revenues above
Option 1).
• Option III: A unanimous approval of the Commission or referendum is required to
approve a millage above 1.1564 mills
The proposed rate of 1.1444 requires therefore a two-thirds approval (5 of 7 votes)of the
Commission.
It must be noted that in accordance with State Statute,there is a 10 mill operating cap which
cannot be exceeded without voter approval. Combining both millages from the dependent
district (1.1444) and the principal taxing authority (6.0909) totals 7.2353 mills, which is
2.7647 mills less than the 10 mill cap.
The first public hearing on the tentative District millage rate and budget for FY 2012/13 was
held on September 12, 2011. The millage rates presented herein are those which were
tentatively adopted at the end of the first public hearing held on that day.
CONCLUSION
The City Commission, acting in its capacity as the Board of Directors of the District, should
adopt the attached Resolution which establishes a final millage.
MiamiHera d.com I TKNIAW HERALD
J'R Ei� ,THURSOAY,SEPTEMBER 1�3,2012 -NE _.._._. ____._....
MIAMIBEACH
CITY OF'MIAMI BEACH
NOTICE OF A SPECIAL
CITY COMMISSION MEETING AND PUBLIC HEARINGS
NOTICE IS HEREBY given that a Special Commission Meeting regarding the Second Public Hearings to consider the adoption of the Millage
Rate and Budget for FY 2012/2013 will be held by the Cify Commission of the City of Miami Beach,Florida,on Thursday,September 27,
2012,commencing at 5:00 p.m.,in the Commission Chambers,3rd Floor,City Hall,1700 Convention Center Drive,Miami Beach,Florida.
5:01 p.m.
THE SECOND PUBLIC HEARING TO CONSIDER THE ADOPTION OF THE MILLAGE RATES AND BUDGETS FOR FISCAL YEAR (FY)
2012/2013 FOR THE CITY OF MIAMI BEACH.
5:02 p.m. -
THE SECOND PUBLIC HEARING TO CONSIDER THE ADOPTION OF THE OPERATING MILLAGE RATE AND BUDGET FOR FISCAL YEAR
(FY)2012/2013 FOR THE NORMANDY SHORES LOCAL GOVERNMENT NEIGHBORHOOD IMPROVEMENT DISTRICT.
In addition,.the City Commission may be discussing other City related business at this meeting.
Inquiries concerning this meeting should be directed to the Office of Budget and Performance Improvement at 305.673.7510.
INTERESTED PARTIES are invited to appear at this meeting,or be represented by an agent,or to express their views in writing ad d
dresse
to the City Commission,c/o the City Clerk,1700 Convention Center Drive,1st Floor,City Hall;Miami Beach,Florida 33139.Copies of these
items are available for public inspection-during normal business hours in the City Clerk's Office, 1700 Convention Center Drive,1st Floor,
City Hall,Miami Beach,Florida 33139..
Rafael E.Granado,City Clerk
City of Miami Beach
Pursuant to Section 286.0105,Fla.Stat.,the City hereby advises the public that:if a person decides to appeal any decision made by the
City Commission with respect to any matter considered at its meeting or its hearing,such person must ensure that a verbatim record of
the proceedings is made,which record includes the testimony and evidence upon which the appeal is to be based.This notice does not
constitute consent by the City for the introduction or admission of otherwise inadmissible or irrelevant evidence, nor does it authorize
challenges or appeals not otherwise allowed by law.
To request this material in accessible format, sign language interpreters, information on access for persons with disabilities and/or any
accommodation to review any document or participate in any City-sponsored proceeding,:please contact us five days in advance at
305.673.7411 (voice)or TTY users may also call the Florida Relay Service at 711.
Ad#726