2003-25307 ResoRESOLUTION B
RESOLUTION NO. 2003-25307
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF
THE CITY OF MIAMI BEACH, FLORIDA, AUTHORIZING THE
ADMINISTRATION TO INCLUDE, IN ITS NEGOTIATION FOR
OUTSIDE SERVICE PROVIDER RECREATION PROGRAMS, A
REVENUE SHARING FORMULA NOT TO BE LESS THAN 20%,
BASED ON ECONOMIC VIABILITY AND MARKET ANALYSIS;
AND AUTHORIZING THE ADMINISTRATION TO DEVELOP
AND OFFER SPECIAL PACKAGES AND ANNUAL PASSES
FOR RESIDENTS TO CITY RECREATIONAL FACILITIES,
INCLUDING BUT NOT LIMITED TO, SWIMMING POOLS, THE
ICE RINK, AND YOUTH CENTERS.
WHEREAS, the residents of Miami Beach are taking advantage of the
newly constructed recreational facilities, such as the Flamingo Pool, and soon
will be enjoying the North Beach Youth Center and the Scott Rakow Ice Rink as
well; and
WHEREAS, residents are requesting special packages and annual
passes to such facilities; and
WHEREAS, residents are also seeking diversified recreational
programs and services such as specialized dance instruction, ice skating and
roller hockey instruction, nature and rowing instruction; and
WHEREAS, in consideration of the new facilities coming on line; the
increased cost of their operation; the growing number of new facility users; and
the demand for more and higher quality services, as indicated by the May 14,
2002 report by the Parks & Recreation Programs Blue Ribbon Citizens'
Committee, the Administration is seeking customer service friendly means to
offer the fore stated services and programs, that are comparable to the other
municipal service markets throughout Miami-Dade and Breward County; and
WHEREAS, at the May 12, 2003 special meeting of the Finance and
Citywide Projects Committee, the Administration presented the concept of
contractually provided recreation services and programs, and annual passes for
residents; and
WHEREAS, in compliance with the directive to take these
recommendations to the Parks and Recreational Facilities Board, Parks and
Recreation staff held Advisory Board meetings on May 28, June 4, and June 23,
2003, respectively; and
WHEREAS, the Parks and Recreational Facilities Board approved
allowing the administration the ability to negotiate for outside recreational service
providers and programs, with a revenue sharing formula not to be less than 20%
to the City, based on economic viability and market analysis; and also approval
giving the Administration the authorization to develop and offer special packages
and annual passes for residents to enable more affordable multiple use of
facilities; and
NOW, THEREFORE, BE IT DULY RESOLVED THAT THE MAYOR
AND CITY COMMISSION OF THE CITY OF MIAMI BEACH that the Mayor and
City Commission herein authorize the Administration to negotiate for outside
service provider recreation programs and service with a revenue sharing formula
not to be less than 20%, based on economic viability and market analysis; and
authorizing the Administration to develop and offer special packages and annual
passes for residents to City recreational facilities, including but not limited to
swimming pools, the ice rink and youth centers.
PASSED and ADOPTED this 30th ~
ATTEST:
ITY CLERK~~~¢~''
2003.
MAYOR
T:~,GENDA~003\jul3003\regular~Rec. Fees Resolution_Il B 7-25-03.doc
APPROVED ~ TO
FORM & LANGUAGE
& FOR EXECUTION
CITY OF MIAMI BEACH
COMMISSION ITEM SUMMARY
Condensed Title:
A. A resolution establishing a schedule of user fees for parks and recreation programs and
services, facility admissions and rentals and other related activities effective October 1,
2003 and repealing previous fee resolutions and adopting a scholarship schedule for
eligible youth participating in the city's programs.
B. A resolution authorizing the administration to include in its negotiations for recreation
provider fees minimum revenues of 20% and to allow special fee packages and annual
passes to be issued.
ISSUe.'
A.
Shall the recreation program fees be modified to reflect current service costs and the
current market for comparable programs and services being provided by other
municipalities in the South Florida area and to include a revised scholarship schedule for
eligible participants?
Shall the administration be allowed to negotiate recreation provider fees and to issue
special fee packages and annual passes to parks and park programs?
Item Summary/Recommendation:
Due to new facilities coming on line, the increased cost of their operation, the demand for more
and higher quality services as indicated by the May 14, 2002 report by the Parks & Recreation
Programs Blue Ribbon Citizens' Committee and the fact that the majority of parks and recreation
fees have not been adjusted since the late 1980's the City retained KPMG to conduct a cost study
and fee comparison of comparable markets throughout Dade and Broward. The KPMG study was
supplemented with a thorough analysis of other cities program costs. At the May 12, 2003 special
meeting of the Finance and Citywide Projects Commission Committee the results of the KPMG
report and a review of Parks and Recreation fees as well as various scenarios and fee structure
modifications were presented. The impact of the 100% fee scholarships offered to qualified
families was also discussed. The Committee required the Administration to take the fee
recommendations to the Parks and Recreational Facilities Board for discussion and approval prior
to submitting them to the full Commission.
As directed, the Administration held Advisory Board meetings to discuss increasing fees for all
Recreation programs and services with the Board approving the fee modifications and
scholarship as proposed.
Resolution A sets the vadous fees, rental rates for facilities and establishes the new scholarship
rates, while resolution B grants the administration the authority to negotiate recreation provider
rates and to create and issue special packages and annual passes for parks and park
programming, i
Advisory Board Recommendation:
rRecommended for approval by the Parks and Recreational Facilities Advisory Board at meetings
held on May 28, June 4, and June 23, 2003.
City Clerk's Office Legislative Tracking:
Sign-Offs:
I Department Director Assistant C~anager
T:V~,GEN DA~2003\jul3003\reg ular\Rec. Fees,'~~a ~ ~v sheet. DOC
City Manager
AGENDA ITEM
CITY OF MIAMI BEACH
CITY HALL 1700 CONVENTION CENTER DRIVE MIAMI BEACH, FLORIDA 33139
http:\~i.rniami-beach.fl.us
To:
From:
Subject:
Subject:
COMMISSION MEMORANDUM
Mayor David Dermer and Date: July 30, 2003
Members of the City Commission
Jorge M. Gonzalez ~-~ ~.~j~"~
City Manager
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF
MIAMI BEACH, FLORIDA, ESTABLISHING A SCHEDULE OF USER FEES
FOR VARIOUS PARKS AND RECREATION PROGRAMS AND SERVICES,
FACILITY ADMISSIONS AND RENTALS, AND OTHER RELATED ACTIVITIES,
AS SET FORTH IN ATTACHMENT "1" HERETO; SAID FEES EFFECTIVE ON
OCTOBER 1, 2003; REPEALING RESOLUTION NO. 86,18593, WHICH
ESTABLISHED A SCHEDULE OF MEMBERSHIP AND USER FEES FOR
TENNIS CENTERS, POOLS, COMMUNITY CENTERS AND PLAYGROUND
RECREATION PROGRAMS, AND FURTHER RESOLUTION NO. 86-18677
WHICH ESTABLISHED A SCHEDULE OF FEES FOR RENTAL AND/OR USE
OF CITY OF MIAMI BEACH PARKS AND RECREATION FACILITIES;
FURTHER ADOPTING THE SCHOLARSHIP SCHEDULE, AS DELINEATED IN
"ATTACHMENT 2" HERETO, FOR ELIGIBLE YOUTH PARTICIPATING IN
THE CITY'S RECREATIONAL PROGRAMS.
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY
OF MIAMI BEACH, FLORIDA, AUTHORIZING THE ADMINISTRATION TO
INCLUDE, IN ITS NEGOTIATION FOR OUTSIDE SERVICE PROVIDER
RECREATION PROGRAMS, A REVENUE SHARING FORMULA NOT TO
BE LESS THAN 20%, BASED ON ECONOMIC VIABILITY AND MARKET
ANALYSIS; FURTHER PROVIDING THAT THE CITY MANAGER OR HIS
DESIGNEE MAY OFFER SPECIAL PACKAGES AND ANNUAL PASSES
FOR RESIDENTS TO FACILITIES, INCLUDING BUT NOT LIMITED TO
SWIMMING POOLS, THE ICE RINK, AND YOUTH CENTERS.
ADMINISTRATION RECOMMENDATION:
Adopt the Resolutions.
ANALYSIS
Due to concerns associated with new facilities coming on line, the increased cost of their
operation, the growing number of new facility users, the demand for more and higher
quality services as indicated by the May 14, 2002 report by the Parks & Recreation
Programs Blue Ribbon Citizens' Committee, a comprehensive revenue/cost and fee
analysis was undertaken by the City.
City Commission Memorandum
July 30, 2003
Parks and Recreation Fees
Page2
The City retained KPMG LLP to conduct a cost of service study and fee comparison of
comparable markets throughout Dade and Broward and analyze the current fee structure
within the City as the initial effort of the review.
In addition to the KPMG analysis, the City undertook a thorough review of the City's various
programs. The City review evaluated fees charged by other cities and assessed the
specific elements of each program to assure that the KPMG cost data was realistic and
fair. The review indicated that fees have not been raised since the 1980's and that our City
fees were significantly less than those charged by other cities.
An example of the City's increased costs of operation is the new Flamingo Pool facility.
When the old Flamingo Pool was operational it was costing the City approximately
$175,000 annually to staff, operate and maintain. Based on a cost study recently
completed by KPMG, the new annual cost of the Flamingo Pool for FY 2002-03 is
estimated at $598,541. This represents an increase of 342% increase in cost and a
projected per user cost of $8.50, with a total user base of 70,408 swimmers annually.
At the current admission fee of $1.25 for adults and .75 per child the KPMG study
projected total annual revenue of $88,010, which represents only 15% of the operational
cost. This increased operational cost scenario will be duplicated repeatedly as the new
facilities such as North Shore Park and Youth Center, the new Normandy Park and Pool,
the new Scott Rakow Youth Center improvements (new much larger ice rink, gymnastics
area etc.), and North Shore Open Space Park all come on line. The operating budget for
2003-04 will include new costs for the new facilities in the amount of approximately $1.1
million.
At the May 12, 2003 special meeting of the Finance and Citywide Projects Commission
Committee the Administration presented the results of the KPMG report and a thorough
review of Parks and Recreation fees as well as various scenarios and fee structure
modifications to the members. A major component of the current fee structure is the 100%
fee scholarships offered to qualified families.
At the conclusion of this discussion the Commission Committee directed the Administration
to implement the following actions;
· Draft an amendment to the Parks and Recreation User Fees legislation, increasing
the fees in order to recover some of the costs associated with operations and
maintenance.
· Maintain fees in line with what other comparable municipalities and Miami-Dade
County are charging for like amenities and programs.
· To require a review of user fees whenever the change in the Consumer Price Index
(CPI) between the latest CPI and the date of the CPI used for the last fee
adjustment is 5% or greater.
· Bring back the updated legislation to the full Commission for approval once the
recommended amendments have been drafted.
City Commission Memorandum
July30, 2003
Parks and Recreation Fees
Page 3
Additionally, the Committee required the Administration to take the fee recommendations
to the Parks and Recreational Facilities Board for discussion and approval prior to
submitting them to the full Commission.
In compliance with the directive to take fee recommendations to the Parks and
Recreational Facilities Board the Parks and Recreation Administration held Advisory Board
meetings on May 28, June 4, and June 23, 2003. At these meetings discussions related to
increasing fees for all areas of Recreation programs and services were held. At the
conclusion of the discussions the members of the Parks and Recreational Facilities Board
approved the following recommendations:
A) Comprehensively modify program, activity and rental fees to reasonably reflect the
findings of the KPMG analysis and/or to be in line with the current market for
South Florida. Such modification will consider fees for both residents and non-
residents. See "Attachment 1" for a comprehensive listing of fee recommendations
as approved by the Parks and Recreational Facilities Board. (Resolution A sets the
fees upon approval by the Commission)
B) Charge facility use rental fees to allow the administration to recover, at minimum
all direct cost and be able to charge over and above direct costs as market allows.
(Provided in Resolution A)
C) Allow the administration the ability to negotiate for outside service provider
programs with a revenue sharing formula not to be less than 20% to the City. Fee
establishment would be based on economic viability and market analysis.
(Provided in Resolution B).
D) Give the administration authorization to develop and offer special packages and
annual passes for residents to enable more affordable multiple use of facilities.
For example - annual pool pass. (Provided in Resolution B).
E) The Administration is required to review user fees whenever the change in the
Consumer Price Index (CPI) between the latest CPI and the date of the CPI used
for the last fee adjustment is 5% or greater.
F) Recommended that a maximum scholarship of 75% should be made available to
eligible youth participating in the City's programs. The Board further recommended
that this should be a goal, however, consideration should be given on a case by
case basis and no child should be denied access to programs based on their
inability to pay.
"Attachment 2" incorporates the recommendation of the Parks and Recreation
Board but also adds a category for very Iow income full scholarship and a sliding
scholarship schedule based on the U.S. Department of Housing and Urban
Development's Median Income guidelines. This schedule is sensitive to our lower
income resident while still accomplishing the goal of some fee payment for
programs based on ability to pay. The ranges are guidelines that would be used to
determine the appropriate scholarship awarded to a resident (youth).
G) The sibling discount of 50% of the established fee for the first child would also be
applied for each additional child, when applicable.
Ci~ Cornm~onMemorandum
July3~ 2003
Parks andRecreationFees
Page 4
The Administration recommends the attached resolution be adopted to permit fees to be
established that are comparable to other municipalities in the area, and provides for
regulated attendance to maximize safety and availability of quality customer services for all
citizens of Miami Beach.
JMG/RCM/KS
T:~AGENDA~003\jul3003\regula~Recreation Fees Comm. Memo 7 30 03.doc
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Cl OF MIAMI BEACH PARKS AND RECREATION DEPARTMENT
SCHOLARSHIP WORKSHEET
(For use by Recreation Staff Only)
Moderate Income Low Income Very Low Income
Household Size 50% Scholarship 75% Scholarship 100% Scholarship
Ranl:le Ran,qe
I $ 20,221 to $ 27,000 $15,165 to $ 20,220 $ 15,164
2 $ 23,161 to $ 30,850 $17,370 to $ 23,160 $ 17,369
3 $ 26,041 to $ 34,700 $19,530 to $ 26,040 $ 19,529
4 $ 28,921 to $ 38,550 $ 21,690 to $ 28,920 $ 21,689
5 $ 31,261 to $ 41,650 $ 23,445 to $ 31,260 $ 23,444
6 $ 33,541 to $ 44,750 $ 25,155 to $ 33,540 $ 25,154
7 $ 35,881 to $ 47,800 $ 26,910 to $ 35,880 $ 26,909
8 $ 38,161 to $ 50,900 $ 28,620 to $ 38,160 $ 28,619
(Source: U.S. Department of Housing and Urban Develo ~ment)
OR
Other Criterion:
Free or reduced Price Lunch, Medicaid, AFDC or Food Stamps
Other Financial Verification:
Will be handled on an individual need basis as determined by a Recreation Supervisor.
Amount of Scholarship requested: $
~Document(s) Presented:
iPercentage of scholarship approved: $
.Applicant interviewed by: Date:
Approved by: