Resolution 2022-32207 RESOLUTION NO. •2022-32207
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY
OF MIAMI BEACH, FLORIDA, ACCEPTING THE RECOMMENDATION
OF THE LAND USE AND SUSTAINABILITY COMMITTEE AT ITS MAY 13,
2022 MEETING, AND APPROVING THE ESTABLISHMENT OF THE
COMMERCIAL LEASE SUBSIDY PROGRAM TO PROMOTE ARTS AND
CULTURE BUSINESS ACTIVITY AND MOTIVATE PROPERTY AND
BUSINESS OWNERS TO CONVERT NUISANCE NON-CONFORMING
ESTABLISHMENTS IN THE EXPANDED ART DECO/MIAMI MODERN
COMMERCIAL CHARACTER OVERLAY DISTRICT, AND ENDORSING
AN APPROPRIATION OF $120,000 AS PART OF THE FISCAL YEAR
2023 BUDGET, SUBJECT TO ADOPTION OF THE FINAL BUDGET FOR
FY2023; AND FURTHER AUTHORIZING THE CITY MANAGER AND CITY
CLERK TO EXECUTE AGREEMENTS IN CONNECTION WITH THE
PROGRAM.
WHEREAS, on October 19, 2016, the City Commission adopted Ordinance No.
2016-4047, which prohibited package stores and package sales of alcoholic beverages
within the Mixed-use Entertainment District (the "MXE"), a high volume pedestrian and
vehicular traffic area where alcohol package sales encouraged the consumption of
alcohol in public; and
WHEREAS, on September 25, 2017, the City Commission adopted Ordinance No.
2017-4137, creating the Art Deco / Miami Modern Commercial Character Overlay District
(the "Overlay"), to limit commercial uses that detract from the historic character of the
MXE districts in South Beach and the Ocean Terrace / Harding Townsite area in North
Beach, such as check cashing stores, pawn shops, pharmacies, convenience stores,
occult science establishments, package stores, souvenir and t-shirt shops, tattoo studios,
grocery stores, and tobacco/vape dealers; and
WHEREAS, as a result of the enactment of Ordinances No. 2016-4047 and 2017-
4137, and pursuant to Chapter 118, Article IX (Nonconformances) of the Land
Development Regulations, many of the aforementioned legally established uses, which
existed at the time the prohibitions were enacted, are now considered legal
nonconforming uses within the MXE and Overlay districts; and
WHEREAS, up until recently, the potential existed for such nuisance
establishments to congregate in nearby commercial areas outside of the Overlay where
such regulations did not exist, particularly along the Washington Avenue corridor and
within the Collins Park neighborhood, on the periphery of the Overlay; and
WHEREAS, on December 8, 2021, the City Commission referred a proposed Code
amendment to the Land Use and Sustainability Committee ("LUSC") and the Planning
Board that would expand the Overlay to include properties along Washington Avenue and
Collins Avenue, from 5th Street to 23rd Street; and
WHEREAS, on March 4, 2022, the LUSC recommended that the Planning Board
transmit the item to the City Commission with a favorable recommendation; and
WHEREAS, on March 22, 2022, the Planning Board transmitted the proposed
ordinance to the City Commission with a unanimous favorable recommendation; and
WHEREAS, on April 6, 2022, the City Commission referred a discussion to the
LUSC regarding the development of a program to encourage and motivate property
owners to convert nuisance uses, including package liquor stores, smoke shops, and
tattoo parlors, into permitted uses; and
WHEREAS, on May 4, 2022, the City Commission unanimously approved
Ordinance No. 2022-4489, expanding the boundaries of the Overlay to include
Washington Avenue and portions of the Collins Park neighborhood; and
WHEREAS, in adopting Ordinance No. 2022-4489, the City Commission noted
that the Overlay regulations fall short of addressing grandfathered nuisance businesses
already in lawful existence, of which there are approximately 116 identified with business
tax receipts (BTRs) in the Overlay, not including souvenir or t-shirt shops, as depicted in
the Exhibit to the Commission Memorandum accompanying this Resolution; and
WHEREAS, the City Commission has expressed an interest in strengthening the
arts and culture, tourism, and hospitality industries while diversifying the City's economy
and its revenue sources, with a focus on promoting and attracting commercial activities
that support the City's cultural arts legacy; and
WHEREAS, on May 13, 2022, the LUSC unanimously recommended the
establishment of a Commercial Lease Subsidy Program (the "Program") to promote arts
and culture business activity, and motivate property owners to convert nuisance non-
conforming establishments in the newly expanded Overlay, and further, recommended
that the Mayor and City Commission appropriate $120,000 for Fiscal Year 2023 for the
Program; and
WHEREAS, the Fiscal Year 2022 Operating Budget, adopted by the City
Commission on September 30, 2021, included a $40,000 enhancement requested by the
Economic Development Department to pilot the Program as a means to encourage and
promote arts and culture establishments within the MXE / Art Deco Cultural District
(ADCD); and
WHEREAS, as envisioned, the Program closely aligns with the intent of the City
Commission's referral to develop an incentive program to address nuisance non-
conforming establishments, and therefore, the Administration incorporated elements in
the Program to address nuisance uses, including prioritizing the eligibility of existing
businesses that transition from legal nonconforming uses to permitted uses; and
WHEREAS, pursuant to the guidelines of the Program, which are more fully
explained in the Commission Memorandum accompanying this Resolution, participating
property owners/businesses will enter an agreement with the City, and will be eligible to
receive reimbursement of eligible rent, lease, or mortgage-related expenses, in an
amount up to $20,000 per year and a waiver of the annual BTR fee over a three (3) year
term; and
WHEREAS, the Fiscal Year 2023 budget enhancement request of $120,000,
coupled with the previously-approved Fiscal Year 2022 budget enhancement of$40,000,
provides funding to support the introduction of, at least eight (8) lawfully-permitted
business establishments into the ADCD; and
WHEREAS, Program participants must be approved by the City Commission, and
participation is contingent upon compliance with Program requirements throughout the
term of the agreement and annual funding appropriation by the City Commission; and
WHEREAS., in recognition of the Program's long-term potential to elevate the
character, brand, and image of the ADCD, the Administration recommends that the City
Commission authorize the Program, with the requested Fiscal Year 2023 budget
enhancement to be prioritized as part of the annual budget process.
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 recommendation of the Land Use and Sustainability
Committee at its May 13, 2022 meeting, and approve 'the establishment of .the
Commercial Lease Subsidy Program to promote arts and culture business activity, and
motivate property and business owners to convert nuisance non-conforming
establishments in the expanded.Art Deco/Miami'Modern Commercial Character Overlay
District, and endorse an appropriation of$120,000 as part of the Fiscal Year 2023 budget,
subject:to adoption of the final budget for FY2023; and further authorize the City Manager
and City Clerk to execute agreements in connection with the Program.
PASSED and ADOPTED THIS oV day of 34n1 2022.
ATTEST:
Rafael .:Gr nado City Clerk Dan Gelber, Mayor
IMCORP QRATED`
',;794 -� rk =. . APPROVED AS TO
o• `;41,.6;,_, FORM LANGUAGE
& FOR EXECUTION
City Attorney Dati
Resolutions -R7 A
MIAMI BEACH
COMMISSION MEMORANDUM
TO: Honorable Mayor and Members of the City Commission
FROM: Alina T. Hudak, City Manager
DATE: July 8, 2022
SUBJECT:A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY
OF MIAMI BEACH, FLORIDA, ACCEPTING THE RECOMMENDATION OF
THE LAND USE AND SUSTAINABILITY COMMITTEE AT ITS MAY 13, 2022
MEETING, AND APPROVING THE ESTABLISHMENT OF THE
COMMERCIAL LEASE SUBSIDY PROGRAM TO PROMOTE ARTS AND
CULTURE BUSINESS ACTIVITY AND MOTIVATE PROPERTY AND
BUSINESS OWNERS TO CONVERT NUISANCE NON-CONFORMING
ESTABLISHMENTS IN THE EXPANDED ART DECO/MIAMI MODERN
COMMERCIAL CHARACTER OVERLAY DISTRICT, AND ENDORSING AN
APPROPRIATION OF $120,000 AS PART OF THE FISCAL YEAR 2023
BUDGET, SUBJECT TO ADOPTION OF THE FINAL BUDGET FOR FY2023;
AND FURTHER AUTHORIZING THE CITY MANAGER AND CITY CLERK
TO EXECUTE AGREEMENTS IN CONNECTION WITH THE PROGRAM.
RECOMMENDATION
Approve the Resolution establishing a Commercial Lease Subsidy Program, designed with the
objectives of (1)converting nuisance, legal nonconforming uses into legal conforming uses and
(2) attracting arts and culture businesses within the Art Deco / Miami Modem (MiMo)
Commercial Character Overlay District. Additionally, the Resolution provides for a Fiscal Year
2023 budget enhancement of $120,000, subject to budget appropriation by the City
Commission, for the proposed program.
BACKGROUND/HISTORY
On October 19, 2016, the City Commission adopted Ordinance No. 2016-4047, which
prohibited package stores and package sales of alcoholic beverages by any retail store or
alcoholic beverage establishment within the Mixed-use Entertainment District (the "MXE").
"Package stores" are retail uses that primarily sell alcoholic beverages and "package sales" are
alcoholic beverage for take-out and off premises consumption. The MXE's commercial uses
attract a large volume of pedestrians and vehicular traffic, alcohol package sales in this area
encourage patrons to walk around the MXE with open containers and consume alcohol in the
public domain.
On September 25,2017,the City Commission adopted Ordinance No. 2017-4137, creating the
Art Deco / MiMo Commercial Character Overlay District (the "Overlay'), to limit commercial
Page 100 of 149
uses that detract from the historic character of the MXE districts in South Beach and the Ocean
Terrace / Harding Townsite area in North Beach. To improve the quality of businesses within the
district, the Overlay restricts nuisance uses either by prohibiting them outright or limiting the total
number, depending on location within the boundaries of the Overlay. These restricted uses
include check cashing stores, pawn shops, pharmacy stores, convenience stores, occult
science establishments, package stores, souvenir and t-shirt shops, tattoo studios, grocery
stores, and tobacco/vape dealers.
Legal Nonconforming Status
As a result of the enactment of these two ordinances, pursuant to Chapter 118, Article IX
(Nonconformances) of the Land Development Regulations ("LDRs"), which regulates
Nonconforming Uses, many of the aforementioned legally established uses, which existed at
the time the prohibitions were enacted, are now considered legal nonconforming within the MXE
and Overlay districts. Code Section 114-8 defines "nonconforming use" as a use which exists
lawfully prior to the effective date of these LDRs and maintained at the time of and after the
effective date of these LDRs, although the use does not conform,to the restrictions provided by
the LDRs.
As nuisance uses conformed to the Code at the time the uses were established, it can be
challenging to diminish the presence of these uses. The City may not lawfully adopt regulations
to prohibit certain uses and then immediately order those type(s) of existing uses to cease
operations because of the newly enacted prohibition. Consequently, legally existing nuisance
uses are grandfathered and permitted to remain active, continuing to negatively impact the
surrounding vicinity. The Code provides that legal nonconforming uses may continue to operate
as long as they are deemed active and are not abandoned, otherwise they are deemed
discontinued. The standards for whether a nonconforming use may continue are evaluated
pursuant to limited, specified criteria in the.City Code, including:
1. A nonconforming use may not be enlarged, extended, intensified, or changed, except for a
change to a use permitted in the zoning district in which the property is located.
2. If there is an intentional and voluntary abandonment of a nonconforming use for a period of
more than 183 consecutive days, or if a nonconforming use is changed to a conforming use,
said use shall lose its nonconforming status. Thereafter, subsequent occupancy and use of the
land, building, and/or structure shall conform to the regulations of the districts in which the
property is located and any structural alterations necessary to make the structure or building
conform to the regulations of the district in which the property is located shall be required.
Intentional and voluntary abandonment of the use includes, but is not limited to, vacancy of the
building or structure in which the nonconforming use was conducted, or discontinuance of the
activities consistent with or required for the operation of such nonconforming use.
3. In cases of abandonment of the use, the planning director shall evaluate the evidence of an
intentional and voluntary abandonment of a nonconforming use and determine the status of the
nonconforming use. In order for a nonconforming use to retain legal nonconforming status, the
evidence, collectively, shall at a minimum demonstrate at least one of the following: (1) Continual
operation of the use or (2) Continual possession of any necessary and valid state and local
permits, building permits, licenses, or active/pending applications for approval related to
prolonging the existence of the use.
Expansion of Overlay
Page 101 of 149
-Up until recently, based on the prior regulations of the Overlay district, including its geographic
boundary, the potential existed for such nuisance establishments to congregate in nearby
commercial areas outside of the Overlay where such regulations did not exist. The potential was
particularly prevalent in South Beach along the Washington Avenue corridor and within the
Collins Park neighborhood, which were on the periphery of the Overlay. As it originally existed,
Collins Avenue served as the Overlay's western boundary in South Beach, and the Overlay
spanned between 5th and 16th Streets.
On December 8, 2021, at the request of Commissioner Alex Fernandez, the City Commission
made a dual referral of the proposed Code amendment to the Land Use and Sustainability
Committee ("LUSC") and Planning Board. The amendment proposed to expand the Overlay to
include properties along Washington Avenue and Collins Avenue, from 5th Street to 23rd
Street. Although the Overlay includes the MXE district in North Beach, the proposed
amendment limits the expansion of the Overlay to South Beach, where the proliferation of these
nuisance establishments is reducing economic opportunities for the unique businesses that
have traditionally defined the character and fabric of the historic Art Deco commercial district.
On March 4, 2022, the LUSC recommended that the Planning Board transmit the item to the
City Commission with a favorable recommendation. The Planning Board held a public hearing
on March 22, 2022 and transmitted the Ordinance to the City Commission with a favorable
recommendation by a vote of 6-0.
On April 6, 2022, the City Commission referred a discussion item to the LUSC regarding
development of a program to encourage and motivate property owners to convert nuisance
uses, including package liquor stores, smoke shops, and tattoo parlors, into permitted
conforming uses.
On May 4, 2022, the City Commission unanimously approved Ordinance No. 2022-4489 at
Second Reading, expanding the boundaries of the Overlay to include Washington Avenue and
portions of the Collins Park neighborhood.
On May 13, 2022, the LUSC unanimously recommended that the City Commission approve the
establishment of a Commercial Lease Subsidy Program to promote arts and culture business
activity and motivate property owners to convert nuisance non-conforming establishments in the
newly expanded Art Deco / MiMo Commercial Character Overlay District. The LUSC also
favorably recommended the City Commission approve an appropriation of $120,000 for Fiscal
Year 2023.
ANALYSIS
Miami Beach is home to several commercial hubs including two business districts recognized
as landmark destinations and local economic engines, Lincoln Road and Ocean Drive. Tourists,
visitors, and seasonal residents drive consumer spending in these areas, where Miami Beach
residents account for a fraction of retail spending. Due to our tourist- and visitor-centric
economic base, the initial impact of the COVID-19 pandemic was significant. However, the
retail sector has rebounded, as has the leisure travel industry, the real estate sector, and the
local economy overall.
According to Marcus & Millichap's 2Q 2022 Retail Market'Report for Miami-Dade (available at
https://www.marcusmillichap.com/research/market-report/miami- lade/miami-dade-2g22-retail-
market-report), "retailers have shown a willingness to pay a premium to set up shop in affluent,
Page 102 of 149
urban areas in metro Miami-Dade like Coconut Grove, Brickell, and Miami Beach." This is
demonstrated in Colliers International's 2022 Q1 Retail Market Report (available at
https://cloud.usa.colliers.com/sf1-2022-q1-retail-miamidade-marketreport), which reported an
average asking rental rate of $86.48 for retail in Miami Beach, which is more than double the
Miami-Dade County market average of $40.82 and the highest rental rate among any of the
major Miami submarkets (Brickell, Downtown, Wynwood, etc.).According to real estate analytics
firm CoStar, market rents for retail properties within the Overlay / MXE / Art Deco Cultural
District ("ADCD") are currently around $76.10, an 8.7% increase above $70.01 about a year
ago.
Notwithstanding the post-pandemic economic rebound, the MXE / Art Deco Cultural District
("ADCD") has faced increasing challenges associated with its commercial character well before
COVI D-19. In response, the City has endeavored to revitalize the historic Architectural District
and highlight the City's Art Deco cultural heritage. Arts and culture are the pillars of Miami
Beach, having played a vital role in the 1990s renaissance, and continuing to reaffirm the city's
relevance today.Arts and culture attract visitors, tourists, and new residents to Miami Beach and
should be nourished as a source of our identity.
The City Commission has expressed an interest in strengthening the arts and culture, tourism,
and hospitality industries, while diversifying the City's economy and its revenue sources. In
addition to a citywide post-pandemic effort at economic diversification, a focus must be placed
on promoting and attracting commercial activities that support the City's cultural arts legacy. A
nuanced approach to curating desirable commercial activities and reducing the prevalence of
nuisance uses could help improve the retail character of the MXE / Art Deco / MiMo
Commercial Character Overlay District and enrich the City's existing tourism, hospitality, and
entertainment industries.
Upon adoption of Ordinance No. 2022-4489, which expanded geographically the prohibition on
nuisance establishments, Commissioner Fernandez noted that the Overlay's regulations fall
short of addressing the grandfathered businesses already in lawful existence. The
Commissioner pointed to existing efforts by the Administration to incentivize targeted
businesses in the MXE, which could be leveraged to accelerate the transition away from
undesirable business models.
In 2020, the Economic Development Department originally developed a lease subsidy program
concept in furtherance of the City Commission's objectives for revitalizing the MXE / ADCD.
One way of addressing existing retail conditions in the MXE is to attract unique retail activity that,
at a minimum, eliminates legal nonconforming uses and, ideally, accentuates arts and culture.
The type of activity the City desires to promote would be characterized by vibrant placemaking,
promoting wholesome and family-friendly activity, and improving quality of life of residents while
also enhancing the tourist/visitor experience.
Commercial Lease Subsidy Program
On September 30, 2021, the City Commission approved the Fiscal Year 2022 Budget,
including a$40,000 enhancement request from the Economic Development Department to pilot
a Commercial Lease Subsidy Program to encourage and promote arts and culture
establishments within the MXE /ADCD.
The Administration has identified that the concept of the Commercial Lease Subsidy Program
Page 103 of 149
(the "Program"), as envisioned, is in close alignment with the intent of the City Commission's
referral item regarding establishing an incentive program to address nuisance nonconforming
establishments. Given this similarity in objectives, the Program is now being contemplated to
incorporate elements to also address nuisance uses. Based on the City's Business Tax Receipt
("BTR") records, there are approximately 116 nuisance establishments (not including souvenir
or t-shirt shops) in the Overlay, as shown on the map (Exhibit A)and described as below:
Nuisance Uses -Art Deco/MiMo Overlay
Food Sales 38
Liquor Sales 33
Money Order Agency 1
Occult Science/Fortune Teller 9
Pawnbroker 3
Pharmacy 4
Tattoo Establishment 28
Total Nuisance Uses 116
a. Program Purpose and Goals.
• Strengthen and transform commercial corridors within the MXE /ADCD /Overlay Districts
by encouraging the transition of legal nonconforming uses to permitted uses and attracting
targeted businesses in the arts and cultural industries.
• Encourage property owners/businesses to transition to permitted uses.
• Promote arts and culture.
b. Financial Incentive.
• Property owners/businesses selected to participate in the Program are eligible to receive
reimbursement of eligible expenses of up to $20,000 per year, over a three (3) year
Program term.
• These funds may only be used to reimburse payments related to rent, lease-related
expenses, or mortgage payments and must support an establishment's transition from a
nonconforming nuisance use to a use permitted in the Overlay.
• The participating property owner/business would also receive a waiver or reimbursement
of the annual BTR fee for a three (3)year period.
c. Program Funding.
• Total Program funding:
o $40,000 (FY 2022—approved)
o $120,000 (FY 2023—enhancement request)
• Current funding would permit at least two (2) property owners/businesses to participate
once the Program is authorized and operational. Creation and term of the Program is
dependent upon City Commission authorization and annual budget appropriation.
d. Targeted Businesses.
• Priority 1 Eligibility: Existing businesses transitioning from legal nonconforming uses such
as: check cashing stores, pawn shops, pharmacies, convenience stores, occult science
Page 104 of 149
establishments, package stores, souvenir and t-shirt shops, tattoo studios, grocery stores,
and tobacco/vape dealers).
• Priority 2 Eligibility: New businesses which promote arts and culture and create an
immersive and shareable experience that prioritizes customer engagement and leverages
onsite activities and events, such as:
• experiential and artisanal retailers
o e.g., technology, design, art and/or culture-driven retail and incubator-inspired
artisan experiences, such as offering an opportunity for patrons to learn how to
make, design or craft their own artistic, decorative, musical, beauty, wellness,
gastronomic, culinary, or sensory product, and low-scale performing arts and
cultural spaces.
• interactive and activity-based spaces
O e.g., social media museums and artistic installations (such as ARTECHOUSE
art exhibition on Collins Avenue, Van Gogh Immersive Experience on Lincoln
Road, and Museum of Ice Cream in the Faena District) and activity-based and
curated destinations of art, culture, design, recreation, leisure, wellness, and/or
amusement.
e. Eligibility Criteria.
• Businesses must operate a physical location in the Overlay.
• Applications will be evaluated and recommended by the Administration on criteria
approved by the City Commission, including but not limited to, whether the business's
activities:
o transition from a nuisance to a permitted use;
o enhance the city's reputation as a family-friendly destination for cultural arts, leisure,
and wellness;
o provide a unique opportunity for experiential activities compatible with the City's
brand positioning; and/or
• appeal to residents, tourists, and visitors; increase and diversify employment
opportunities; attract economic investment; and enhance real property values.
• The City Commission, at its discretion, may consider any criteria at the request and
recommendation of the City Manager.
• Property owners/businesses applying for the Program may be an existing nuisance use
(Priority 1) or new-to-district(Priority 2). Existing Priority 2 businesses operating within the
Overlay district would not be eligible.
f. Participant Subsidy Payments.
• After transition to a permitted use or establishment of an arts and culture focused
business (as evidenced by a BTR and/or Certificate of Use ("CU") and determined by the
Administration) and upon verification of eligible expenses (rent, lease, or mortgage), valid
payments will be reimbursed up to 50%of the monthly rent, lease, or mortgage payment in
an amount not to exceed $2,500 per month.
o Reimbursements may be adjusted at the City's discretion if rental/lease/mortgage
payments are paid for periods in excess of one (1)month.
Page 105 of 149
• The total cumulative amount of the annual incentive award should not exceed $20,000
annually per participant, over a three (3)year period.
• Notwithstanding an executed agreement, the Program is contingent upon annual budgeted
funding availability and appropriation, City Commission approval of a participant's
application, and compliance with all Program requirements.
g.Application Requirements.
• As an application requirement, property owners/businesses must submit:
• Completed application form;
O Current BTR and CU documentation for a permitted use;
o Executed lease agreement or mortgage documentation or, for Priority 2 businesses,
a Letter of Intent(LOI)summarizing lease terms and use may be accepted;
• Prior to the execution of the Program contractual agreement, Applicant must provide an
executed lease agreement; and
o Business plan with narrative detailing the current/proposed business activities.
• The Administration will evaluate and recommend potential business applications to the
City Commission for consideration.Approval for participation in the Program is at the sole
and absolute discretion of the City Commission.
h, Program Guidelines.
• Approved applicants enter into a written agreement with the City that sets forth the terms
and conditions. For example, the leased premises must be "rent ready" prior to
commencement of the leasing rental period for which the subsidy would apply and
reimbursements are contingent on the business obtaining and maintaining a valid and
active Certificate of Occupancy, CU, and BTR.
• Award payments will be disbursed by the City on a reimbursement basis, requiring the
property owner/tenant business to first submit documentation of the payment of mortgage
or rent for the rental period to be reimbursed by the City.
• The agreement will require the business to agree to repay the value of any disbursed
reimbursement funds if the business violates the terms of the agreement.
SUPPORTING SURVEY DATA
Even though 90.9% of residents feel safe in business commercial areas at nighttime according
to the 2019 Resident Satisfaction Survey, the City Commission's 2019 Strategic Plan: Through
the Lens of Resilience prioritizes strict enforcement against bad operators and finding creative
solutions to improve resident appeal, public safety perceptions, and business vibrancy. As
evidenced by implementation of the South Beach Comprehensive Strategy, public safety
remains the Administration's top priority within the Overlay district. The 2019 Resident
Satisfaction Survey notes that 85% of residents believe that cultural activities positively
contribute to their quality of life. The proposed policy approach supports enhanced public safety
by incorporating arts and culture to appeal to residents and visitors alike.
FINANCIAL INFORMATION
The City Commission previously approved an enhancement request of$40,000 for Fiscal Year
2022 The Administration now seeks an enhancement of $120,000 for Fiscal Year 2023. If the
Fiscal Year 2023 budget enhancement is approved, the Program could accommodate at least
Page 106 of 149
eight (8) businesses when combined with the approved Fiscal Year 2022 appropriation. As
proposed, Program participants would also receive a waiver or reimbursement of the annual
BTR fee for a three-year period during the Program term. The Program may yield a significant
return on investment in the medium-to long-term by promoting investment by the private sector,
eradicating bad actors, reducing public safety expenditures, and elevating the character, brand,
and image of the ADCD.
CONCLUSION
The Administration recommends that the City Commission accept the recommendation of the
LUSC and, subject to any additional policy direction, authorize creation of the Commercial
Lease Subsidy Program. To supplement the City Commission's $40,000 Fiscal Year 2022
budget appropriation, the Administration recommends the City Commission approve an
enhancement of$120,000 for Fiscal Year 2023 to enable the Program to have a greater impact.
Applicable Area
South Beach
Is this a"Residents Right Does this item utilize G.O.
to Know" item, pursuant to Bond Funds?
City Code Section 2-14?
No No
Strategic Connection
Prosperity - Market and promote Miami Beach as a world class arts, culture, and quality
entertainment destination.
Legislative Tracking
Economic Development
Sponsor
Commissioner Alex Fernandez
ATTACHMENTS:
Description
o Exhibit A: Map- Nonconforming Uses in Overlay
o Resolution
Page 107 of 149
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