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Resolution 2020-31187 RESOLUTION NO. 2020-31187 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, DIRECTING THE ADMINISTRATION TO PREPARE A CAPITAL BUDGET FOR ALL PROPOSED IMPROVEMENTS TO THE CITY'S STORMWATER SYSTEM, WATER & SEWER SYSTEM, AND PUBLIC SEAWALLS ANTICIPATED TO BE PERFORMED WITHIN THE NEXT TEN (10) YEARS OR MORE (THE "INFRASTRUCTURE RESILIENCE BUDGET"), WITH SUCH BUDGET LISTING EACH PROJECT, THE ANTICIPATED EXPENDITURES FOR EACH PROJECT BY YEAR, AND THE PROPOSED AND POTENTIAL SOURCES OF FUNDING FOR EACH PROJECT; FURTHER, REQUIRING THE ADMINISTRATION TO RELEASE ITS PROPOSED INFRASTRUCTURE RESILIENCE BUDGET VIA LETTER TO COMMISSION, AT LEAST TWO (2) WEEKS PRIOR TO CONSIDERATION OF THE PROPOSED BUDGET AT ANY CITY COMMISSION MEETING OR COMMISSION COMMITTEE MEETING; AND FURTHER REQUIRING CITY COMMISSION APPROVAL OF THE INFRASTRUCTURE RESILIENCE BUDGET, PRIOR TO ADOPTION OF ANY INCREASES IN FEES TO FUND THE PROPOSED IMPROVEMENTS, INCLUDING STORMWATER SYSTEM FEES OR WATER AND SEWER SYSTEM FEES. WHEREAS, a capital budget for infrastructure resilience projects with a long-term outlook over a period of ten years or more (the "Infrastructure Resilience Budget") would enable the City Commission to better understand the long-term impacts of its decision- making, and such a planning level budget will assist the City Commission in making difficult decisions regarding prioritization of projects, timing of projects, and scope of projects, while taking into account the City's limited and finite available financial resources; and WHEREAS, the Mayor and City Commission have taken a leadership role in addressing and planning for the City's response to climate change issues, and has committed to City-wide infrastructure resilience projects, including road elevation projects and new stormwater infrastructure incorporating pump systems, reducing flood risk due to sea level rise, high tides, rainfall, and storms; and WHEREAS, the goals for the City's infrastructure resilience projects include (1) reducing risk from storms, high tides, groundwater, and sea level rise by continuously improving our sea level rise adaptation and integrated stormwater program; to utilize the best science and technology, including green and blue infrastructure and mobility priorities while minimizing construction disruption, optimizing design aesthetics, and community engagement, keeping the entire stormwater program on-time, on-budget, and moving forward with adequate financing; (2) working regionally and nationally to protect Biscayne Bay water quality and to maintain a healthy dune and beach system that provides storm protection, recreation and vital habitat for the public good; (3) reducing greenhouse gas emissions and heat by strategically increasing energy efficiency, green space, tree canopy and pedestrian greenways, encouraging walkability and increasing stormwater retention; and (4) improving our aging drinking water and sewer infrastructure to protect drinking water quality, public health and fire protection; and WHEREAS, the City currently maintains 47 pump stations, 10 of which were added in the past year, and the City anticipates adding an additional 55 pump stations in the future, and the costs for which need to be fully identified and evaluated; and WHEREAS, in 2013-2014, the City estimated that its stormwater budget would be approximately$300 million, and in 2017, the AECOM Engineers Report estimated a total stormwater budget at $658 million dollars; and WHEREAS, Jacobs Engineering has been tasked by the City to help create a concept plan for integrated water management that will include project size and sequencing; the City anticipates that the Jacobs Engineering report will recommend prioritization of projects which will result in changes to the costs and timing of the 2017 AECOM Engineers Report; the Administration's capital and funding update, as presented to the City Commission at the January 27, 2020 resiliency workshop,is attached to this Resolution as Exhibit "A"; and WHEREAS, in addition to the neighborhood improvement projects, the City has successfully undertaken other infrastructure resilience projects, including raising portions of the City's public seawalls, which will include seawall projects funded by the General Obligation Bond, with much more work anticipated in the next decade requiring significant additional funding; and WHEREAS, separate from the AECOM Engineers Report identifying the City's stormwater needs, the City engaged Hazen and Sawyer to develop a report identifying projects and the capital required in order to make our water and sewer infrastructure more resilient; and WHEREAS, currently, the total costs and timing of the City's infrastructure resilience projects are uncertain; and WHEREAS, based on the latest timing of implementation provided by Jacobs Engineering, stormwater and/or water and sewer rate increases would be required in Spring 2020, otherwise projects may be delayed due to lack of funding; and WHEREAS, at the January 27, 2020 City Commission resiliency workshop, multiple Commission members inquired about the total costs of the infrastructure resilience projects, echoing concerns previously raised by Commissioner Samuelian during the September 12, 2018 City Commission Meeting, who had sponsored a referral to the Budget Advisory Committee, Agenda Item No. C4G (attached as Exhibit "B" to this Resolution), to review the City's forthcoming stormwater management budget due to the lack of clarity on the total costs for the City's stormwater management budget following projected dramatic increases in stormwater management costs; and WHEREAS, the planning of the General Obligation Bond projects, with a total program budget of $439 million, has demonstrated the benefits of a disciplined and transparent approach for the planning and prioritization of projects, which approach should be followed for the City's infrastructure resilience projects, the costs of which will be significantly higher than the General Obligation Bond program; and WHEREAS, in the past, the City's budget process has generally focused on a one- year budget horizon, with the City recently adopting a fiscal impact ordinance requiring agenda items to specify fiscal impacts of proposed measures, not only in current fiscal year, but the next two fiscal years; and WHEREAS, the Infrastructure Resilience Budget should include, at a minimum, an itemized list of all the proposed improvements to the City's stormwater system, water and sewer system, and public seawalls, providing the Administration's best estimates for anticipated expenditures for each project by year(based on all available information, such as the costs of prior similar projects), and concisely identifying the proposed and potential sources of funding for each of the projects; and WHEREAS, a long-term Infrastructure Resilience Budget for the. City's infrastructure resilience projects will serve as a roadmap to guide future decision making and ensure funds are allocated to the projects and areas with the greatest need and greatest return on investment; and WHEREAS, the Resilience Program Budget is intended to represent planning estimates which will inevitably be based on current data that will include significant uncertainties inherent in allocating resources for complex projects over such a long period of time, and the Resilience Program Budget will require modifications over time; and WHEREAS, to promote sound budgetary decision making, development of the Infrastructure Resilience Budget would assist the City Commission in assessing the City's infrastructure needs, and aid in the decision making process regarding prioritization of projects, timing of projects, and scope of projects, based on the limited resources available; and WHEREAS, in addition to the implementation of the Infrastructure Resilience Budget, in an effort to aid the Commission's decision making process, the Administration should circulate its proposed Infrastructure Resilience Budget via letter to commission, at least two (2)weeks prior to consideration of the proposed budget at any City Commission Meeting or Commission Committee meeting; and WHEREAS, to further promote informed decisions regarding the City's infrastructure resilience budget and funding sources, City Commission approval of the Infrastructure Resilience Budget should be required prior to the adoption of any increases in fees to fund the proposed improvements, including stormwater fees or water and sewer fees. NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND THE CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, the administration is directed to prepare a capital budget for all proposed improvements to the City's stormwater system, water and sewer system, and public seawalls anticipated to be performed within the next ten (10) years or more (the "Infrastructure Resilience Budget"), with such budget listing each project, the anticipated expenditures for each project by year, and the proposed and potential sources of funding for each project;further, requiring the administration to release its proposed Infrastructure Resilience Budget via letter to commission, at least two (2) weeks prior to consideration of the proposed budget at any City Commission Meeting or Commission Committee Meeting; and further requiring City Commission approval of the Infrastructure Resilience Budget, prior to adoption of any increases in fees to fund the proposed improvements, including stormwater system fees or water and sewer system fees. PASSED AND ADOPTED this 101 day of February, 2020. ATTEST: 441110 /, Dan Gelber, Mayor `! 2 /( /22a I.B .My,,I Raf el E. Granado, City Clerk g� •, ...op„,, .INCORPORATED , (Sponsored by Commissioner Mark Samuelian) ;,,;..... ,°..:4�: = APPROVED AS TO FORM&LANGUAGE &FOR EXECUTION ':''' . ...st-',1 :i- 4 '' Z 0 0 City Attorney (7 (v p Date "- Resolutions -R7 N MIAMI BEACH COMMISSION MEMORANDUM TO: Honorable Mayor and Members of the City Commission FROM: Raul J.Aguila, City Attorney DATE: February 12, 2020 SUBJECT:A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, DIRECTING THE ADMINISTRATION TO PREPARE A CAPITAL BUDGET FOR ALL PROPOSED IMPROVEMENTS TO THE CITY'S STORMWATER SYSTEM, WATER & SEWER SYSTEM, AND PUBLIC SEAWALLS ANTICIPATED TO BE PERFORMED WITHIN THE NEXT TEN (10) YEARS OR MORE (THE "INFRASTRUCTURE RESILIENCE BUDGET"), WITH SUCH BUDGET LISTING EACH PROJECT, THE ANTICIPATED EXPENDITURES FOR EACH PROJECT BY YEAR, AND THE PROPOSED AND POTENTIAL SOURCES OF FUNDING FOR EACH PROJECT; FURTHER, REQUIRING THE ADMINISTRATION TO RELEASE ITS PROPOSED INFRASTRUCTURE RESILIENCE BUDGET VIA LETTER TO COMMISSION, AT LEAST TWO (2) WEEKS PRIOR TO CONSIDERATION OF THE PROPOSED BUDGET AT ANY CITY COMMISSION MEETING OR COMMISSION COMMITTEE MEETING; AND FURTHER REQUIRING CITY COMMISSION APPROVAL OF THE INFRASTRUCTURE RESILIENCE BUDGET, PRIOR TO ADOPTION OF ANY INCREASES IN FEES TO FUND THE PROPOSED IMPROVEMENTS, INCLUDING STORMWATER SYSTEM FEES OR WATER AND SEWER SYSTEM FEES. ANALYSIS Pursuant to the request of Commissioner Mark Samuelian, the attached Resolution is submitted for consideration by the City Commission. FINANCIAL INFORMATION Pursuant to Section 2-12 of the City Code, the development of a proposed Infrastructure Resilience Budget would not in and of itself result in an anticipated increase or decrease in the budgeted revenues or expenditures of the City. Applicable Area Citywide Is this a"Residents Right Does this item utilize G.O. to Know" item, pursuant to Bond Funds? Page 1016 of 1185 City Code Section 2-14? Yes No Legislative Tracking Office of the City Attorney Sponsor Commissioner Mark Samuelian ATTACHMENTS: Description o Resolution Page 1017 of 1185