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Resolution 2019-30976 RESOLUTION NO. 2019-30976 A RESOLUTION OF THE BOARD OF DIRECTORS OF THE NORMANDY SHORES LOCAL GOVERNMENT NEIGHBORHOOD IMPROVEMENT DISTRICT ADOPTING THE TENTATIVE AD VALOREM MILLAGE RATE OF 0.8161 MILLS FOR FISCAL YEAR 2020 FOR THE NORMANDY SHORES LOCAL GOVERNMENT NEIGHBORHOOD IMPROVEMENT DISTRICT, WHICH IS FOUR AND FIVE TENTHS PERCENT (4.5%) MORE THAN THE "ROLLED-BACK" RATE OF 0.7810 MILLS, SUBJECT TO A SECOND PUBLIC HEARING SCHEDULED ON WEDNESDAY, SEPTEMBER 25, 2019, AT 5:02 P.M. 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 majority (4/7th) vote is 0.8931 mills, and anything beyond this rate, up to 0.9824 mills, requires a two-thirds (5/7th) vote. for Fiscal Year 2020; and WHEREAS, on July 31, 2019, the City Commission, acting as the Board of Directors of the District, adopted Resolution 2019-30931 which set the proposed operating millage rate of the District at 0.8161 mills for the purpose of providing security services within the District for Fiscal Year 2020; and WHEREAS, on September 11, 2019, pursuant to Section 200.065, Florida Statutes, 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 for the District for Fiscal Year 2020. 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 11, 2019, the Board hereby adopts the Tentative Operating Millage rate of 0.8161 mills for the District for Fiscal Year 2020, which is four and five tenths percent (4.5%) more than the "Rolled-back" rate of 0.7810 mills, subject to a second public hearing scheduled on Wednesday, September 25, 2019, at 5:02 P.M. PASSED AND ADOPTED th_�i(i.Vcla90,:4;,7tember _ t ATTEST: =S`A.---Wo' % ' r' .:✓`r I 3.T kINCORP [RAT Ic - y. Wyo 2 h=irperson of the District APPROVED AS TO t� A� �/ ... FORM & LANGUAGE Secretary to the District �''n4;:0'H�'6�'.°',9? & F EX CUTION p N: u,� -Z() 1 1 C-9 g City Attorney 1a Resolutions - R7 G MIAMI BEACH COMMISSION MEMORANDUM TO: Honorable Mayor and Members of the City Commission FROM: Jininy L. Morales, City Manager DATE: September 11, 2019 5:02 p.m. First Reading Public Hearing SUBJECT:A RESOLUTION OF THE BOARD OF DIRECTORS OF THE NORMANDY SHORES LOCAL GOVERNMENT NEIGHBORHOOD IMPROVEMENT DISTRICT ADOPTING THE TENTATIVE AD VALOREM MILLAGE RATE OF 0.8161 MILLS FOR FISCAL YEAR 2020 FOR THE NORMANDY SHORES LOCAL GOVERNMENT NEIGHBORHOOD IMPROVEMENT DISTRICT, WHICH IS FOUR AND FIVE TENTHS PERCENT (4.5%) MORE THAN THE "ROLLED-BACK" RATE OF 0.7810 MILLS, SUBJECT TO A SECOND PUBLIC HEARING SCHEDULED ON WEDNESDAY, SEPTEMBER 25, 2019, AT 5:02 P.M. Legislative Tracking Office of Management and Budget ATTACHMENTS: Description ❑ 20-MEMO-1st PH-Normandy Shores' Millage ❑ Resolution o Ad Page 1331 of 2228 MI /\/VU BEACH City of Miami Beach,1700 Convention Center Drive,Miami Beach,Florida 33139,www.miamibeachfl.gov COMMISSION MEMORANDUM TO: Mayor Dan Gelber and Members of the City Commission FROM: Jimmy L. Morales, City Manager DATE: September 11, 2019 SUBJECT: A RESOLUTION OF THE BOARD OF DIRECTORS OF THE NORMANDY SHORES LOCAL GOVERNMENT NEIGHBORHOOD IMPROVEMENT DISTRICT ADOPTING THE TENTATIVE AD VALOREM MILLAGE RATE OF 0.8161 MILLS FOR FISCAL YEAR 2020 FOR THE NORMANDY SHORES LOCAL GOVERNMENT NEIGHBORHOOD IMPROVEMENT DISTRICT, WHICH IS FOUR AND FIVE TENTHS PERCENT (4.5%) MORE THAN THE "ROLLED-BACK" RATE OF 0.7810 MILLS, SUBJECT TO A SECOND PUBLIC HEARING SCHEDULED ON WEDNESDAY, SEPTEMBER 25, 2019, AT 5:02 P.M. • 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 authorizes the City Manager to transmit the following information to the Miami-Dade County Property Appraiser: 1) The Tentatively Adopted Millage Rate for the Normandy Shores Neighborhood Improvement District for FY 2020: General Operating 0.8161 mills (same as last year) 2) The second public hearing to consider the proposed Normandy Shores Neighborhood Improvement District operating millage rate and final budget for Fiscal Year 2020 shall be Wednesday, September 25, 2019, at 5:02 p.m., in the City Commission Chambers, City Hall, 1700 Convention Center Drive, 3rd Floor, Miami Beach, Florida 33139. On July 1, 2019, the City received the 2019 Certification of Taxable Value from the Miami-Dade County Property Appraiser's Office indicating that the taxable value for the Normandy Shores Local Government Neighborhood Improvement District was $223.7 million, which includes $3.9 million in new construction. This represents an overall increase of $11.6 million, or 5.5%, over the certified July 1, 2018 taxable value of $212.1 million. It is important to note that the final 2018 tax roll for the Normandy Shores Local Government Neighborhood Improvement District of $210.3 million is approximately $1.8 million, or 0.8%, lower than the certified July 1, 2018 taxable value due to appeals, adjustments, etc. Page 1332 of 2228 FY 2020 Normandy Shores Tentative Millage Rate September 11, 2019 Page 2 of 4 July 2018 July 2019 Certified Certified Change Change Property Assessment Existing Values 209,647,105 219,807,591 10,160,486 4.8% New Construction 2,458,268 3,896,854 1,438,586 58.5% Total Normandy Shores 212,105,373 223,704,445 11,599,072 5,5% BACKGROUND The Normandy Shores Local Government Neighborhood Improvement 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; Fiscal Year 2020 represents its twenty-sixth 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 Fiscal Year 1999, 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 (FCWPC). 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 Normandy Shores Local Government Neighborhood Improvement District representatives and agreed to eliminate the $500 cap on the highest valued home in the District. This enabling legislation was adopted by the City Commission on September 25, 2002 and ensures that the City's contribution from the General Fund remains at 35% of the operating budget for 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., the 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 rate. • Following this, another Resolution which tentatively adopts the Normandy Shores District operating budget must be approved (see accompanying District Budget agenda item for details). Florida Statute requires that 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. Page 1333 of 2228 FY 2020 Normandy Shores Tentative Millage Rate September 11, 2019 Page 3 of 4 Proposed Budget& Millage The Normandy Shores Local Government Neighborhood Improvement District budget proposed for FY 2020, as reflected in Attachment A, is $297,000, which reflects an increase of$44,000, or 17.4 percent, over the FY 2019 adopted budget and is comprised of the following line-items: Items Included in Proposed FY 2020 Expenditures $ Contracted Security Guard Services for Guardhouse and Rover 204,000 Gate Maintenance and Repairs 30,000 'One-Time'Security Camera System Upgrades 30,000 Other Guardhouse and Gate Improvements 27,000 Janitorial Services 4,000 Utilities 2,000 Total $297,000 The proposed ad valorem millage, approved by the Normandy Shores Homeowners' Association on July 10, 2019 and recommended by the Administration for FY 2020, is 0.8161 mills and reflects no change from the millage rate adopted for FY 2019. Based on the 2019 Certification of Taxable Value provided by the Miami-Dade Property Appraiser as of July 1, 2019, this proposed tax levy would generate proceeds of $182,565, which will be budgeted at approximately 95.3 percent, or $174,000, to account for early payment discounts, delinquencies, etc. This millage rate will fund the FY 2020 budget proposed for the District, including other guardhouse and gate improvements requested by the Homeowners' Association. It is important to note that the "one-time" security camera system upgrades requested for FY 2020 are not recommended to be funded by the ad valorem millage of 0.8161 proposed for FY 2020. Instead, it is proposed and recommended that this "one-time" expenditure of$30,000 be funded through the use of prior year fund balance. As set forth by Resolution No. 2006-26341, the City can use one-time non-recurring revenue for capital expenditures or one-time expenditures and not to subsidize recurring personnel, operational and maintenance costs. This request for FY 2020 is considered one-time in nature, and as such, can be funded utilizing fund balance. Statutory Requirement Florida Statute 200.065, entitled "Method of Fixing Millage," establishes specific guidelines that must be used by all local government entities, including dependent taxing districts like Normandy Shores in setting its millage (property tax) rates. Not unlike its principal taxing authority, the City of Miami Beach, Normandy Shores is also required to transmit within 35 days from receipt of the Certification of Taxable Value (received July 1, 2019), to the Miami-Dade County Property Appraiser, a proposed operating millage rate, the calculated "rolled-back" rate and the date, time, and place of the first public hearing to consider the proposed operating millage rate and budget for Fiscal Year 2020. The "rolled-back" rate is the millage rate required to produce the same level of property tax revenue in Fiscal Year 2020 as collected in Fiscal Year 2019. The rate is calculated at 0.7810 mills, which is 0.0351 mills less than the millage rate of 0.8161 adopted for Fiscal Year 2019. The "rolled-back" millage rate tax levy would generate proceeds of $174,713. The difference Page 1334 of 2228 FY 2020 Normandy Shores Tentative Mil/age Rate September 11, 2019 Page 4 of 4 between the proposed millage rate for Fiscal Year 2020 and the "rolled-back" rate levy is $7,852. After setting the proposed operating millage rate for Normandy Shores, the City Commission may, at any time prior to the final adoption, lower the millage rate; however, any increase above the proposed rate of 0.8161 mills, if adopted, would require an expensive mailing and advertising process to each property owner in the Normandy Shores Local Government Neighborhood Improvement District. Therefore, this proposed millage rate is viewed as the ceiling. Further, per State Statute, the City may elect to approve millage rates above the "rolled-back" rate up to the constitutional cap of 10 mills, subject to the following votes by the Commission or referendum: • Option I: A majority approval of the Commission is required to approve a millage up to 0.8931 mills (equivalent to a 3.39% increase in Property Tax revenues). The 1.0339 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 0.9824 mills (equivalent to a 10% increase in Property Tax revenues above Option I). • Option III: A unanimous approval of the Commission or referendum is required to approve a millage above 0.9824 mills. Adoption of the proposed Fiscal Year 2020 rate of 0.8161 mills for the Normandy Shores Local Government Neighborhood Improvement District would require majority approval (4 of 7 votes) by the City Commission per the State of Florida's Truth-in-Millaqe (TRIM)requirements. It must be noted that, in accordance with Florida Statutes, there is an operating cap of 10 mills which cannot be exceeded without voter approval. Combining both millage rates from the dependent district (0.8161) and its principal taxing authority (5.7288) totals 6.5449 mills, which is 3.4551 mills less than the statutory cap of 10 mills. 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 a tentative millage rate of 0.8161 mills and schedules the second and final public hearing on Wednesday, September 25, 2019, at 5:02 p.m. JLM/JW/TOS Page 1335 of 2228 Attachment A 7 FY 2020 Normandy Shores District Budget $Variance %Variance FY 2017 FY 2018 FY 2019 FY 2020 FY 2020 Proposed FY 2020 Proposed Actuals Actuals Adopted Proposed vs vs FY 2019 Adopted FY 2019 Adopted REVENUES Residents 65% - 167,050 180,050 165,000 174,000 9,000 5.5%_ City 35% 89,950 96,950 88,000 93,000 5,000 5.7% - Restitutions 1,876 6,207 0 0 0 - Miscellaneous 01 176 0 0 0 - Fund Balance/Retained Earnings 0 0 0 30,000 30,000 100.0% Total 258,876 283,383 253,000 297,000 44,000 17.4% EXPENDITURES Security Guard Services 176,000 210,000 198,000 204,000 6,000 3.0% Janitorial Services 0 0 3,000 4,000 1,000 33.3% Gate Repairs(AAA Repairs) _ 20,878 22,428 25,000 25,000 0 0.0% Internal Service-Other Repairs 2,663 0 5,000 5,000 0 0.0% Utilities-Electricity,etc. 1,386 1,260 2,000 2,000 0 0.0% AED Guardhouse Defibrillator _ 0 1,404 0 0i 0 - Video Camera System Upgrade 0 0 0 30,000.1 30,000 100.0% Other Expenditures(Concrete curb 225 16,400 20,000 27,000 7,000 35.0% relocation and gate replacement,etc.) Total 201,152 251,493 253,000 297,000 44,000 17.4% Surplus/(Shortfall) 1 57,724 I 31,890 I 0j 0 I REQUIRED MILLAGE 1.0093 0.9564 0.8161 0.8161 0.0000 0.0%j Existing Values 173,001,492 196,441,992 209,647,105 219,807,591 10,160,486 4.8% New Construction 3,058,319 1,719,766 2,458,268 3,896,854 1,438,586 58.5% Total 176,059,811 198,161,758 212,105,373 223,704,445 11,599,072 5.5% • Value of 1 Mill 176,060 198,162 212,105 223,704 11,599 5.5% 95%of 1 Mill 167,257 188,254 201,500 212,519 11,019 5.5%, Page 1336 of 2228 24NE NEIGHBORS SUNDAY AUGUST 25 2019 MUIMINERALD.COM MAM ! BEACH CITY OF MIAMI BEACH NOTICE OF PUBLIC HEARINGS SEPTEMBER 11, 2019 NOTICE IS HEREBY given that the following public hearings will be heard by the Mayor and City Commissioners of the City of Miami Beach,Florida,in the Commission Chamber, Third Floor, City Hall, 1700 Convention Center Drive, Miami Beach, Florida, on September 11, 2019, at the time listed, or as soon thereafter as the matter can be heard: 5:01 e.m.First ReadIna Public Hearing A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH,FLORIDA,ADOPTING:1)THE TENTATIVE AD VALOREM MILLAGE OF 5.7288 MILLS FOR FISCAL YEAR(FY)2020 FOR GENERAL OPERATING PURPOSES,WHICH IS THREE AND TWO TENTHS PERCENT(3.2%)MORE THAN THE"ROLLED-BACK"RATE OF 5.5522 MILLS;AND 2)THE DEBT SERVICE MILLAGE RATE OF 0.2933 MILLS,SUBJECT TO A SECOND PUBLIC HEARING TO CONSIDER THE MILLAGE RATE FOR FY 2020 ON WEDNESDAY,SEPTEMBER 25,2019,AT 5:01 P.M.This Resolution is being heard pursuant to Sections 166.041 and 200.065 F.S.Inquiries may be directed to the Budget and Performance improvement Office at 305.673.7510. 5:01 Dm.First Reading Public Hearing A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH,FLORIDA,ADOPTING TENTATIVE BUDGETS FOR THE GENERAL, G.O.DEBT SERVICE,RDA AD VALOREM TAXES,ENTERPRISE,INTERNAL SERVICE,AND SPECIAL REVENUE FUNDS FOR FISCAL YEAR(FY)2020,SUBJECT TO A SECOND PUBLIC HEARING SCHEDULED ON WEDNESDAY, SEPTEMBER 25, 2019,AT 5:01 P.M. This Resolution is being heard pursuant to Sections 166.041 and 200.065 F.S.Inquiries maybe directed to the Budget and Performance improvement Office at 305.673.7510. 5:02 D.m,First Reading Public Hearing A RESOLUTION OF THE BOARD OF DIRECTORS OF THE NORMANDY SHORES LOCAL GOVERNMENT NEIGHBORHOOD IMPROVEMENT DISTRICT ADOPTING THE TENTATIVE AD VALOREM MILLAGE RATE OF 0.8161 MILLS FOR FISCAL YEAR (FY) 2020 FOR THE NORMANDY SHORES LOCAL GOVERNMENT NEIGHBORHOOD IMPROVEMENT DISTRICT,WHICH IS FOUR AND FIVE TENTHS PERCENT(4.5%)LESS THAN THE"ROLLED-BACK"RATE OF 0.7810 MILLS, SUBJECT TO A SECOND PUBLIC HEARING SCHEDULED ON WEDNESDAY,SEPTEMBER 25,2019,AT 5:02 P.M. This Resolution is being heard pursuant to Sections 166.041 and 200.065 F.S.Inquiries may be directed to the Budget and Performance Improvement Office at 305.673.7510. 5:02 p.m.First Reatipg Public Hearing A RESOLUTION OF THE BOARD OF DIRECTORS OF THE NORMANDY SHORES LOCAL GOVERNMENT NEIGHBORHOOD IMPROVEMENT DISTRICT ADOPTING THE TENTATIVE OPERATING BUDGET FOR FISCAL YEAR(FY)2020,SUBJECT TO A SECOND PUBLIC HEARING SCHEDULED ON WEDNESDAY, SEPTEMBER 25,2019,AT 5:02 P.M.This Resolution is being heard pursuant to Sections 166.041 and 200.065 F.S.Inquiries may be directed to the Budget and Performance Improvement Office at 305.673.7510. 5:03 o.m,First Reading Public Hearing A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH,FLORIDA,ADOPTING THE TENTATIVE CAPITAL IMPROVEMENT PLAN FOR FISCAL YEARS(FY) 2020-2024 AND ADOPTING THE CITY OF MIAMI BEACH TENTATIVE CAPITAL BUDGET FOR FY 2020, SUBJECT TO A SECOND PUBLIC HEARING SCHEDULED ON WEDNESDAY,SEPTEMBER 25,2019 AT 5:03 P.M.This Resolution is being heard pursuant fo Sections 166.041 and 200.065 F.S.Inquiries maybe directed to the Budget and Performance improvement Office 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 addressed to the City Commission, c/o the City Clerk, 1700 Convention Center Drive, 1"Floor, City Hall, Miami Beach, Florida 33139. Copies of these items are available for public inspection during normal business hours in the Office of the City Clerk, 1700 Convention Center Drive, 1'Floor,City Hall,Miami Beach,Florida 33139.This meeting,or any item herein,may be continued,and under such circumstances,additional legal notice need not be provided. 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 alternate format,sign language interpreter(five-day notice required),information on access for persons with disabilities,and/or any accommodation to review any document or participate in any City-sponsored proceedings,call 305.604.2489 and select 1 for English or 2 for Spanish,then option 6;TTY users may call via 711 (Florida Relay Service). Rafael E.Granado,City Clerk City of Miami Beach Ad 091119-05 "age : o