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2003-25306 ResoRESOLUTION A RESOLUTION NO. 2003-25306 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 RESOLUTION NO. 86-18677, WHICH ESTABLISHED A SCHEDULE OF FEES FOR RENTAL AND/OR USE OF CITY OF MIAMI BEACH PARKS AND RECREATION FACILITIES; AND ADOPTING THE SCHOLARSHIP SCHEDULE, AS DELINEATED IN "ATTACHMENT 2" HERETO, FOR ELIGIBLE YOUTH PARTICIPATING IN THE CITY'S RECREATIONAL PROGRAMS. WHEREAS, today's Miami Beach resident is more active and is seeking and willing to pay for high quality recreational experiences for himself/herself and his/her family members; and WHEREAS, this can be witnessed by the fact that in 1994 residents voted to approve a $15 million General Obligation Bond to improve their parks and recreation facilities, and further supported an additional $24.8 million General Obligation Bond in 1999 for additional improvements to their parks system; and WHEREAS, a direct result of this unprecedented growth and investment in the City's parks system is the increased cost of daily operations and maintenance, and the escalating costs of long-term preventative maintenance; and WHEREAS, in consideration of the new recreational 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; and the fact that the majority of City parks and recreation fees have not been adjusted since the late 1980's, the City retained (KPMG) LLP, to conduct a cost of service study and fee comparison of comparable markets throughout Miami-Dade and Broward County, and analyze the current recreational fee structure within the City; and WHEREAS, at the May 12, 2003 special meeting of the Finance and Citywide Projects 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; and WHEREAS, a major component of the current fee structure is the 100% fee scholarships offered to eligible youth participating in the City's recreational programs; and WHEREAS, at the conclusion of this discussion, the Committee directed the Administration to increase Parks and Recreation 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; and a review requirement for fees based on changes in the Consumer Price Index (CPI) to avoid the need for large increases when done infrequently; and WHEREAS, the Committee also required the Administration to take the fee recommendations to the Parks and Recreational Facilities Board for its recommendation prior to submitting them to the City Commission; and WHEREAS, in compliance with the directive to take fee recommendations to the Parks and Recreational Facilities Board, the Administration held meetings on May 28, June 4, and June 23, 2003, respectively; and WHEREAS, the Parks and Recreational Facilities Board approved to comprehensively modify Parks and Recreation 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; and WHEREAS, the Parks and Recreational Facilities Board further approved the Administration to adjust the established rates for all programs and services via the CPi escalation index, and recommended that a maximum scholarship of 75% should be made available to eligible youth participating in the City's recreational programs, stating that this should be a goal, but consideration should also be given on a case by case basis and no child should be denied access to recreational programs based on his inability to pay; and WHEREAS, "Attachment 2" hereto is a sliding scholarship schedule based on the U.S. Department of Housing and Urban Development's Median Income for the greater Miami-Dade County Metropolitan Area, developed in response to the Board's concern with ranges as guidelines that would be used to determine the appropriate scholarship awarded to a resident youth requesting one; the sibling discount of 50% of the established fee for the first child would also be applied for each additional child, when applicable. NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, that the Mayor and City Commission hereby establish 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, respectively, Resolution No. 86,18593, which established a schedule of membership and user fees for tennis centers, pools, community centers and playground recreation programs, and Resolution No. 86- 18677, which establish a schedule of fees for rental and/or use of City Parks and Recreation facilities; and adopting the scholarship schedule, as delineated in "Attachment 2" hereto, for eligible youth participating in the City's recreational programs. PASSED and ADOPTED this 30th ATTEST: t' CITY CLERK ~~,,, MAYOR 2003. T:\AGENDA~2003\jul3003\regular~Rec. Fees Resolution_Il A 7-25-03.doc APPROVED AS TO FORM & LANGUAGE & FOR EXECUTION r~lE ~ w ~ ~ z~ UJ %-- %-- I-- Z UJ Z 0 0 -0 >0 u~O LIJ _1 t- 1.1.1 0 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;a Ranae 1 $ 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 $ 257154 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. /Nrnount of Scholarship requested: $ Document(s) Presented: Percentage of scholarship approved: $. Applicant interviewed by: Date: Approved by: 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? B. 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 studywas 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 various 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 programmin~l. Advisory Board Recommendation: Recommended 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: I Sign-Offs: Ci~ Manager T:~AGENDA~2003\jul3003\regular\Rec. ASSiS~nt C~___.~ an a ger I Depa~ent Direct°r Fees.~sheet. DOc AGENDAITEM DATE CITY OF MIAMI BEACH CITY HALL 1700 CONVENTION CENTER DRIVE MIAMI BEACH, FLORIDA 33139 http:\~ci.mia mi-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"~ 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 3O, 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. City Commission Memorandum Juty30, 2003 Parks and Recreation Fees 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\regular\Recreation Fees Comm. Memo 7 30 03.doc ;I o 'o "o o Q) (~ 0 0 r-mm Ce) Q) z z E~ E~> ~-I~o =E oE ~..I , ,- :~ ,- ~g ~:g -, ,., = o ol EE-o_c = = ~ = = · e...= E' e' e'- o = · -- -... .I ~ '"'" =~'~'~' 'El .--I"'"E  =~ ~'e='- .- = o-.-. 0 0 ~.~_ --~ (~ ~1 a:l '" ~ e,~.O .-- '~ Z .= · m ~ ~ '5 = E=P '.- o' Z e~. O. e3 0 ~ 0', E ,+- ~' = o ~ 0 ~- "= '-'- =1 .-~ ~,.c='- o ,-.= =': _=~_= ~< cITY 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 t00% Scholarship Rankle Rant:le 1 $ 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: Percentage of scholarship approved: $ Applicant interviewed by: Date: Approved by: