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2017-29885 Reso RESOLUTION NO. 2017-29885 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ACCEPTING THE RECOMMENDATION OF THE FINANCE AND CITYWIDE PROJECTS COMMITTEE AT IT'S MAY 19, 2017 MEETING TO PURSUE THE GOAL OF FOCUSING ON FUNDING ONE-TIME ENHANCEMENTS AND SETTING ASIDE A RESERVE IN THE FY 2017/18 GENERAL FUND OPERATING BUDGET IN ORDER TO PREPARE FOR THE POTENTIAL IMPACT OF HIGHER HOMESTEAD EXEMPTIONS ON THE PROPERTY TAX REVENUES FOR THE CITY OF MIAMI BEACH. WHEREAS, on May 2, 2017, the Florida House of Representatives voted to pass HJR 7105, which proposes an amendment to the Florida Constitution to create an additional $25,000 exemption for homesteaded properties with an assessed value between $100,000 and $125,000 for non-school property taxes; and WHEREAS, the proposed constitutional amendment will be placed on the 2018 General Election Ballot and will require a 60% voter approval; and WHEREAS, the Miami-Dade Property Appraiser's Office projects that, if passed, this could have an impact of approximately $1.6 million on Property Tax revenues in the City's General Fund Operating Budget based on FY 2016/17 Property Tax values and millage rates as noted in Attachment A; and WHEREAS, at its meeting on May 19, 2017, the Finance and Citywide Projects Committee recommended that during the FY 2017/18 budget development process, the City Commission should pursue the goal of focusing on funding one-time enhancements and setting aside a reserve in the Budget in order to prepare for the potential impact of the potential reduction in revenues to the General Fund. NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City Commission hereby accept the Finance and Citywide Projects Committee's recommendation to pursue the goal of focusing on funding one-time enhancements and setting aside a reserve in the FY 2017/18 Budget in order to prepare for the impact of this potential reduction in revenues to the General Fund Operating Budget. PASSED AND ADOPTED this 7th day of June, 2017. , ATTEST: ' F �����..�B�Ev���t�ILIP LEVIN �,t AYOR ,...;\\\ c � RAF , L E. RANA'O, '- , ,••••''-774;01....... =.A G licr..... NIL � • APPROVED AS TO ' ` p. �RP1E1 i • FORM & LANGUAGE it .�NC,0 r : FOP XE UTION p� (1�� 6 �— • City Attorney Dote ATTACHMENT A P ROCOUNTY PROPERTY APPRAISER Face!hnpac1 of the AddialneI Homestead Binding m the$100,000 to 0120,00 Range in Aateaud Vali APRIL 27,1017 Estimated Fiscal Impact of an Additional Homestead Exemption(Banding)to$100,000 and$125,000 Range of Assessed Value Values based on the 2016 Preliminary Assessment Roll Additional 05,000 Homestead Banding Operating Debt Service Total tnpact 2816 Taxable Value Value Rodin Total Tuabte Alin Reduction for Due to Addroortal MIlage Revenue Viltage Reveout Siege Revenue Homestead Properties MOO 73.01303 ALIT 888ff? Value Additional Exemption Value ErempttnValue Rate Loss Rate Loss Rate Loon: Properties Affected 01 MIAMI 44,60,305,542 43990 111,02 614,193,550 7.5465 4,596,431 05435 396234 8.2900 5,77017065 42,425 26.080 DOWNTOWN DEV AUTH 15481346.744 18,512 60,945 83 ,798 0.46E1 32.233 0 9.4681 33233 3179 2840 02 MWAIBEACH 34,687,157108 '34421202,185 271400123 5.7093 1,550130 01786 48,761 5.8888 1.508:791 ;14,,338 11.419 ME NC0MANDY SHORES /70050811 170234,811 5,825,000 10003 5178 0 1.0393 5118 233 233 02 CORAL GABLES 14.389.13.612 14,134,405452 254321,153 5.590 1410028 0 5.090 1416128 11521 10,260 04 HIALEAH: 8,533,640.696 0103,611,202 338.838487 6.3018 2,141,594 0 6.3018 2141,504 33,405 18,217 05 MIAMI SPRINGS 1150351,138 980740170 70015,166 75000 525,114 0 75000 525114 3011 2862 06 NORTH MIAMI 2,603,435,134 2,553,32.113 50,113.021 7.5000 375,948 0 7.5000 375,848 7,949 2,590 07 N.MLAMIBCH 2,330,810,734 2.288 347,01 42.572244 6.5000 276,720 03350 35,590 7.3367 312.310 6,513 2,107 06 OPALOCKA 751,530507 750,394,555 1,138122 10.0100 11,380 0 10.0002 11.360 1,467 71 00 S011111 MIAMI 1,077,412228 1,640,60,082 51,747.245 43000 222,513 0 4.30102 222513 2,364 2.160 10 HOMESTEAD 2,310513,457 2245,186,509 71,327,948 5.9215 422.360 05934 42.326 6.5140 161584 7299 3,585 11 111/44I SHORES 974,780048 914,323,154 60472,892 7880 477,736 0.53.54 30.563 84054 .503,208 2,92 2,545 12 SAL HARBOUR 4,433,731,550 4,416.917,721 16,813.838 19664 33,046 0 19854 33,040 702 679 13 BAY HARBOR ISLAND 800,111.32 862,707,044 17,404278 4.4000 76,579 0 4.4007 70570 1,064 764 m 14 SURFSIDE 1489430,338 1,057,630487 31,802,851 59144 159,472 0 59144 159.472 1,314 1.294 E 15 WEST M0021 388,140,163 343,578,821 24,570.342 0.8858 161118 0 0885E 109,181 1,157 1,124 16 01.06109CT. 480,482,467 460,093,146 306.321 7.1858 2.848 0 7.185E 2848 786 23 E 17 BISCAYNE PARA 176,844.410 150,703,170 17,101,240 07000 165.882 0 9.7000 165,862 792 758 12 1B EL PORTAL 129,81,872 120,002,380 8,928,492 03000 74,106 0 82000 74.106 568 415 j 19 GOLDEN BEACH 952,54,585 040614,565 5,950100 73060 44,006 19040 5,074 8.4000 40.080 239 238 ▪ 2D PINECREST 4,360,870,840 4271.578,373 100,292,476 2.3000 251,373 0 2.3300 251,373 4,537 4,381 21 INDIAN CREEK 547,80727 547.612,077 375.000 68500 2006 0 0.9501 2.808 15 15 22 MEDLEY 1,933,100744 1,985853,082 253,662 55000 1,305 0 55000 1.395 58 12 23 NORTH BAY VILLAGE 954,707,508 944,122,059 15,584,540 49432 75,479 0.7108 11,077 5.5540 86.557 1.029 694 24 KEY BISCAYNE 8,339284,877 8274,437,060 84,840,011 3.0200 194,541 0 30000 194.541 2,615 2,603 25 SWEETWATER 1,557,673,000 1,538,788,489 17,884,401 45000 _ 80460 0 45000 63.48D 1,001 897 28 VIRGINIA GARDENS 243,865,483 235,741,374 7,324,100 5.1500 37.718 0 5.150 37710 403 340 27 HIALEAH GARDENS 1.041.423,081 1150,180,751 41242,330 5.1613 212,864 0 5.1612 212.814 3,915 2.214 20 AVENTLRA 9,901,624.244 9346,070,078 154,714206 1.7211 207.052 0 1.721 267,052 8.405 6,020 31 SUNNYI3LES 10,111,425,845 10040121,372 71,407,523 2.4008 171,370 0 2.4007 171,378 3,836 3,099 32 MIAMI LAKES 2,809,60232 2,666,4115200 143,197,032 23353 334,408 0 23353 334.418 0.492 5,939 33 PALMETTO BAY 2,659,717,359 2,509,332,963 150,384,396 2.3202 350.275 0 2.3792 350.275 5,313 0,102 34 MIAMI GARDENS 3540,502.830 335083200334 83,060,751 6.9313 530,359 1.1571 60,834 8.0934 C77.173 19,036 5,088 35 00000. 81.,134,85+2,588 10,086,390,114 148,552,574 1.9000 292269 0 1.9006 282269 0,536 6,137 36 CUTLER BAY 22234,635,286 2982458,875 152,379.311 2.3907 304283 0 2207 364.203 9,354 7,017 TOTAL MUNICIPAL IMPACT 10,085,472 460335 18751,611 COUNTY-W1DE 251,337,011,475 245,157,773,408 6,179237,877 46668 28,837.686 01000 2471,805 5.0782 31,309,581 419,523 272.047 = 30 0.30:5A. 60,613,480.754 63,540,718,732 3,072,751.022 18283 5,825,186 0 1.083 5.025.186 207,482 135,011 a FRE-RESCUE 140,871393.400 136237,640,078 4,034,152,821 2.4207 11217,804 0.€3 5 34,756 2.4232 11,252,650 317,510 204,543 tl LIBRARY 231877,177,404 25238,982132_ 5,035,108272 02946 1,601245 0 02840 1,601245 367,710 245,558 TOTAL COUNTY IMPACT 47,512211 2,504451 50011142 S.F.W.M.D. 253,337,152,718 247,03105,551 6,305,290187 1.1352 856,890 0 0.1352 650800 419,533 278.9228 m EVERGLADES CONS PRG. 253,337,152,718 247,031,856,551 0,315,298,167 09471 20,970 0 0.0474 296,970 419,523 778,928 gf OKEECHOBEEBASN 253,337,152,718 247231,850561 8.305290187 0.147 931202 0 0.1477 931202 419,523 278,928 FIND. 253,337,152,718 247931,858,551 6,385296,167 00320 201,769 0 09320 201,760 419,523 278,028 O THE CHILDREN'S.TRUST 253.337,152.718 247931156.51 6,305201,107 05000 3,152,648 0 0.5000 3,152.640 419.523 278,028 SCHOOL BOARD 284545124126 284,845124,026 0 7.1380 0 0.1940 0 7.3220 0 410,523 0 ASSUMPTIONS AND UMITAT1ONS: 1 Ae addoxal Honesteai Eley r,.is appied to rears between 1123,800 and 1125.180.Conte*,the edema!exerotor,apples to values beMeen 35190 au 05 000.Tues e7 be pad so va4es betel,$75,003 aid SIC09D 2)Al Maher exenybns re appie3 m ter 2016 values eacepticr trie Vezas and Mata!Depb}ment Ume hens Ouch are based or a occ mage of me pe-kate-ent tarabie vaix..Those abasements wi be beer as tlz percertvp vel bt poled ageism bwxtauab4 value. 3;Tho lei-stator a9 apples to eam9es,nv nc9ales,wtr dst cts,and edepee4er8 special discicts.N 6 ra speed to So8oal Boad values. Resolutions - C7 M MAJ\A BEACH COMMISSION MEMORANDUM TO: Honorable Mayor and Members of the City Commission FROM: Jimmy L. Morales, City Manager DATE: June 7, 2017 SUBJECT: A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ACCEPTING THE RECOMMENDATION OF THE FINANCE AND CITYWIDE PROJECTS COMMITTEE AT IT'S MAY 19, 2017 MEETING TO PURSUE THE GOAL OF FOCUSING ON FUNDING ONE-TIME ENHANCEMENTS AND SETTING ASIDE A RESERVE IN THE FY 2017/18 GENERAL FUND OPERATING BUDGET IN ORDER TO PREPARE FOR THE POTENTIAL IMPACT OF HIGHER HOMESTEAD EXEMPTIONS ON THE PROPERTY TAX REVENUES FOR THE CITY OF MIAMI BEACH. RECOMMENDATION See memorandum attached. CONCLUSION Legislative Tracking Budget and Performance Improvement ATTACHMENTS: Description o Memo o Attachment Page 720 of 1414 MIAMI BEACH City of Miami Beach, 1700 Convention Center Drive,Miami Beach, Florida 33139,www.miamibeachfl.gov COMMISSION MEMORANDUM TO: Mayor Philip Levine and Members of the City Commission FROM: Jimmy L. Morales, City Manager DATE: June 7, 2017 SUBJECT: A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ACCEPTING THE RECOMMENDATION OF THE FINANCE AND CITYWIDE PROJECTS COMMITTEE AT IT'S MAY 19, 2017 MEETING TO PURSUE THE GOAL OF FOCUSING ON FUNDING ONE-TIME ENHANCEMENTS AND SETTING ASIDE A RESERVE IN THE FY 2017/18 GENERAL FUND OPERATING BUDGET IN ORDER TO PREPARE FOR THE POTENTIAL IMPACT OF HIGHER HOMESTEAD EXEMPTIONS ON THE PROPERTY TAX REVENUES FOR THE CITY OF MIAMI BEACH. KEY INTENDED OUTCOMES SUPPORTED Ensure expenditure trends are sustainable over the long term BACKGROUND On May 2, 2017, the Florida House of Representatives voted to pass HJR 105, which proposes an amendment to the Florida Constitution to create an additional $25,000 exemption for homesteaded properties with assessed value between $100,000 and $125,000 for non-school property taxes. The proposed constitutional amendment will be placed on the 2018 General Election Ballot and will require a 60% voter approval. At its May 19`h, 2017 meeting, the Finance and Citywide Projects Committee (FCWPC) requested an analysis on the potential impact of this amendment. The Office of Budget and Performance Improvement (OBPI) presented the attached fiscal impact analysis (Attachment A), which was prepared by the Miami Dade County Property Appraiser's office. The analysis projects a potential $1.6 million reduction in the City's Property Tax revenues. The FCWPC recommended that during the FY 2017/18 budget development process, the City Commission should pursue the goal of funding one-time enhancements and setting aside a reserve in the budget in order to prepare for the potential impact of this reduction in revenues to the General Fund. Page 721 of 1414 Resolution To Accept Finance and Citywide Projects Committee's May 19, 2017 Recommendation June 7, 2017 Page 2 of 3 CONCLUSION As endorsed and recommended by the Finance and Citywide Projects Committee, Staff recommends that the City Commission should pursue the goal of focusing on funding one- time enhancements and setting aside a reserve in the FY 2017/18 budget in order to prepare for the potential impact in this reduction in revenues to the General Fund. ADMINISTRATION RECOMMENDATION Adopt the Resolution. JLM/TOS ATTACHMENT A Page 722 of 1414 Resolution To Accept Finance and Citywide Projects Committee's May 19, 2017 Recommendation June 7, 2017 Page 3 of 3 MIAMIPROPERTY CPRNTY IS PROPERTY APPRAISER Fiscal knpact or the Addiaomi4omes:Fad Banding to the 8100.0 0 to 0125,000 Range in Assessed I:1. APRIL 27,2917 Estimated Fiscal Impact of an Additional Homestead Exemption(Bancfing)to 6100,000 and 6125,000 Range of Assessed Value Values based on the 2016 Preliminary Assessment Roll Additional 625,000 Homestead Banding Operating Debt Service Total Impact 2916 Taxable'Value Value Reduction Total Taxable After Reduction lot Due to Addihooal MAlage Revenue NAtage Revenue Village Revenue Homestead Properties NUN TWIG AUTHORITY Value Additional Eaemp4ou Value Exempuoo Value Rale Loss Rate Loss Rile Loss Properties AAeegd 01 MIAMI 44821,355,-0.42 43,088,111,002 614,103,050 7.£465 4,608.431 0.0435 395,.2.34 6.2900 5,001,665 42425 26,942 DOWNTOWN DEV AUTH 10,681,748,744 18,412803,94E 08,859.703 04031 3'_2333 0 0,4841 32,233. 3070 3,10 02 MIAMI BEACH 34807.757,108 34,426241,185 271496423 5 7902 1,550:030 01706 48361 5.8863 1, 8791. 14038 11419 MB NORMANDY SHORES 178050,811 17023481'. 0825,080 1.;043 5,870 0 1.0093 5,879 233 233 03 CORAL GABLES I4,38,132,812 14,134405,4E; 254,727,153 5,6590 1,410,028 C 5.5690 1,416,022 10,521 18268 04 HIALEAH 8,533,649,600 8,193911,203 330938487 ^:.013 2,141504 0 0:3918 2,141 594, 32,405 16217 35 MIAMI SPRINGS 1,083.758,130 080,740,070 70,015,163 7 50C 525,114 0 7.5303 525.114 3,011 2,862 08 020TH 8110811 2,603,435,134 2,553,322.113 50113,021 7 0000 375,848 0 7.5000 375.849 7,949 2,590 07 N.MIAMI BCH 2330019,734 2289 347460 43572,244 850403 270,720 0.8309 35.500 7 336 313310 4,513 2,197 03.CPALOCKA 754,530807 750.304,58.5 1,136,1122 100030 11.360 0 10.0704 11,380 1.467 71 09 SOUTH MIAMI 1002,410228 1540,402,992 51,747.248 43000 222.513 0 43603 _122..513 2.39+4 3160 10 HOMESTEAD 2318513,457 2245185.509 71,327,048 5.9216 422,388 0,5934 42.326 85149 404094 7,209 3.585 11 MIAMI SHORES 374,796,046 914,323,154 00,472802 7.9000 47,736 9.5054 330.563 8.4054 ?.2@'0 2,022 2,545 12 BAL HARBOUR 4,433,731556 4418017,721 16,313,038 1,8654 33,040 C 1,9854 33.046 702 879 13 BAY HARBOR ISLAND 090,111,322 .682707,044 17,401.278 4.4000 76,570 0 4.4000 78.579 1,084 764 .:s 14 SURFSIDE 1,849,439:338 1:553836,487 31,802,861 5.0144 150.472 0 50144 ,73472 1,314 1194 E 15 WESTMIALE 388,149,163 343,578,821 24570,342 68858 889.186 0 8.9955 t 9,,06 1,157 1,124 .a. 16 FLORIDA CITY 460439,407 400.003,146 380,321 7.1858 2,648 0 7.1856: :543 780 23 f. 17 BISCAYNE PARK 176,504,419 150,703,170 17,101240 97000 145,882 0 47001 ".35082 722 750 0 t3 EL PORTAL 128,830,872 120902,300 .8928,402 83000 74,103 0 9_300 74 lee 758 415 4 F9 GOLDEN BEACH 052.544,565 34;614,565 5,950,000 7.3060 4,003 1.0040 5,974 8.4000 49.902 239 238 5. 20 PINECRE3T 4,380970,840 4271,578,373 102,292,476 23007 251,373 0 2.3000 1073 4,637 4,381 21 INDIAN CREEK 547,x;7,07 547.612,077 375,000 09500 2,600 0 811500 2E25 15 15 22 MEDLEY 1900,16474 1085.853,092 253862 55000 1,395 0 5.5003 133.35 58 12 23 NORTH BAY 311.4100 004,737,508 94122,959 15,564,549 4.5432 75.471 95108 11,077 5.554;, 50.577 1029 694 24 KEYBSCAYNE 8.338224,877 8274,437,480 84,044617 300073 104541 0 38000 124.541 2,815 2,603 25 SWEETWATER 1,587,673,000 1.530,780,493 17,884,401 4.5003 90,480 C 4.5000 SO480 1401 837 28 VIRGINIA GARDENS 243,065,483 235,741.374 7,324,109 5.1500 37,719 0 5.1503 7719 433 340 27 HIALEAH GARDENS 1.091,42,081 1050,100,751 41.242,330 5,1613 212,804 0 5.1013 :12,804 2214 29 AVENTURA 8901,684,24 6,740979,978 154,714,260 1.7201 2677,052 0 17281. :577 051 4 4:5 8,825 31 SUNNY1SLES 10,111.428,895 10040,021,372 71,47,5723 2,4003 171,378 0 24000 71373 ,839 3,009 32 MIAMI LAKES 2,806,502232 2,604,405200 143,107,032 23353 334,408 0 2,3353 331,40:, 5,939 33 PALMETTO BAY 2850,717,359 2500,332,003 150,384,396 2.3202 350275 0 2,3202 250272 0,313 8,102 34 MIAMI GARDENS 3,84,502,830 3,756,833,060 53,880,761 6.9363 580,350 1.1571 00,814 8.0034 377.173 19,036 5,668 35 042411 11,134952688 10085,390,114 148,562 574 1.0000 .25,260 0 1.9000 2x2.269 6,538 0,137 38 CUTLER BAY 2,234,838286 2,082,458975 153379 311 23007 304,273 0 23907 304243 6,304 7.017 TOTAL MUNICIPAL IMPACT 16,015.472 666,339 16,751,811 C60INTY-'WIDE 251,337,011,475 245,157,773,49e 8,170,237,977 47380 28,837,880 04;000 2,471 595 5.2009 13 31,709 501 410,523 272047 30 U.M..3A. 06,613,486,754 6304,718732 3,072.751922 10283. . 0425.160 0 1 23. 5,725,106 207,492 135,011 mF1RERESC'E 140,871.783.406 136237,64,678 4,634,152,821 24207 11,217,604 00070 34,750 24222 11,252,650 317014 204,543 u LIERARY 230,87,177404 225238 08 0,132 .53838,188272 02840 1801245 0 0.2840 1605,245 367,713 240556 TOTAL COUNTY IMPACT 47,562211 2.506.451 50,068,662 S.F,W.M,0. 253,337,162,718 247031,850,561 6,335,204:187 01350 8043,600 0 31359 i58 8,,C 272,928 , EVERGLADES CONS PROJ 250337,152,718 247031,856581 6,305146,107 00471 208979 0 0,0477 1c.3072 278,928 OKEECHOBEE BASIN 253,337,153718 '247031,856,551 0,305200,187 01477 931202 0 0.147 0312x: + 279,923 FIN,D. 253,337,153718 247001,850541 4305,204107 0.0320 201,780 0 01320 01702 733 272.928 0 THE CHILDREN'S TRUST 253,337.152718 247031,806.501 8,305204167 05004 3,152,648 0 0.5000 ?.643- 72 229 SCHOOL BOARD 284,845,024,626 284,845.924,620 0 7.1380. 0 0,1940 0 7 20 C 3 ASSUMPTIONS AND MI7471O113: 11M additional Homestead Exe pt°,s apsied to ualtes between 31020J0 and SL25300.Or400),5.addax,U heroine wits to osis bde:x S50,D00 and S:5,_200.7ues oil be paidm ta4es Set men 671500u.00192300. 21 Al other eaempolm are apoiee al Agee 7.110 values?wept tor Me Ve:ews and Wry Deplero.R abatements.fiich are based an a percentage al Me pe-abatement taxable rape.Thu aeagnOents a41 he bre es the pereenoga rA De sseled agaesta Icer laaule ratr. 38104 49atasn oyapples to counts 0000 s,rater i szets,.xx 00epel40 0 specal 30108,70 Kt acp:4ed 10 School Boat rales. 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