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CRA Resolution 007-2022 RESOLUTION NO, 007-2022 A RESOLUTION OF THE CHAIRPERSON AND BOARD OF DIRECTORS OF THE NORTH BEACH COMMUNITY REDEVELOPMENT AGENCY, ADOPTING THE FINAL OPERATING BUDGET FOR THE NORTH BEACH COMMUNITY REDEVELOPMENT AREA FOR FISCAL YEAR 2023. WHEREAS, on July 8, 2020, the Miami-Dade County Board of County Commissioners (the "BCC") approved Resolution No. R-619-20, delegating authority to the City of Miami Beach to create the North Beach Community Redevelopment Agency ("North Beach CRA"), including direction to draft the North Beach CRA Redevelopment Plan and negotiate an Interlocal Agreement among Miami-Dade County, the City of Miami Beach, and the North Beach CRA to govern the redevelopment process; and WHEREAS, on February 10, 2021, the Mayor and City Commission adopted Resolution No. 2021-31596, creating the North Beach CRA pursuant to section 163.357, Florida Statutes, and declared the Mayor and City Commission to be the governing body of the North Beach CRA; and WHEREAS, on May 12, 2021, pursuant to Resolution No. 003-2021, the North Beach CRA Board of Directors ("North Beach CRA Board") adopted the North Beach Community Redevelopment Plan (the "Plan") and transmitted the Plan to the City Commission for approval, with such approval granted by the Mayor and City Commission via Resolution No. 2021-31709, including authorization to transmit the Redevelopment Plan to Miami-Dade County; and WHEREAS, on July 20, 2021, pursuant to Resolution No. 696-21, the BCC approved the Plan and also approved Ordinance No. 21-70, establishing the North Beach CRA Trust Fund for purposes of allocating tax increment revenue for redevelopment purposes; and WHEREAS, on July 28, 2021, the North Beach CRA Board adopted Resolution No. 005- 2021 accepting the Interlocal Agreement as approved by Miami-Dade County via Resolution No. R-696-21 and the City of Miami Beach via Resolution No. 2021-31817; and WHEREAS, the base year of the North Beach CRA is 2021, and the 2022 Certification of Taxable Value provided by the Miami-Dade County Property Appraiser's Office on July 1, 2022 noted that property values in the North Beach Community Redevelopment Area (the "Redevelopment Area") increased by approximately 11.6%, or $165.3 million, compared to the 2021 Certification of Taxable Value of$1.42 billion; and WHEREAS, for Fiscal Year (FY) 2023, the City portion of the tax increment totals approximately $577,000, and the County portion of the tax increment totals approximately $458,000 with a combined tax increment financing total of$1,035,000; and WHEREAS, the Administration of the North Beach CRA has identified initiatives and programs proposed to be initiated in FY 2023, and supported by the Ad Hoc North Beach CRA Advisory Committee, created by the City Commission pursuant to Resolution No. 2021-31560 and amended by Resolution No. 2021-31594; and WHEREAS, project-related expenditures for FY 2023 account for approximately $204,000, including $188,000 allocated for community policing and code compliance services and initiatives throughout the Redevelopment Area to provide enhanced levels of staffing and services, and $16,000 to promote additional cleanliness; and WHEREAS, administrative expenditures include $9,000, providing for, among other expenditures, a satellite office within the Redevelopment Area, of which lease and maintenance costs are shared with the Miami Beach Building Department on a prorated basis; and WHEREAS, the budget also includes $110,000 for a Commercial Fagade Improvement Program in the Normandy Fountain/Rue Vendome Plaza area to embrace French architecture and improve business attraction and retention, $100,000 for a Residential Property Improvement Program to promote the maintenance of naturally occurring affordable housing stock and promote resiliency, $52,000 for Arts & Culture related tourism, and $49,000 for small business development; and WHEREAS, other expenditures include $7,000 for the County's administration fee, as stipulated by the Interlocal Agreement, which is equivalent to 1.5% of the County's FY 2023 tax increment payment; $9,000 for a contribution to the City, which is equivalent to 1.5% of the City's respective FY 2023 tax increment payment; a $104,000 set-aside for workforce and affordable housing based on 10% of the FY 2023 combined tax increment revenue; and a $391,000 set- aside for future projects; and WHEREAS, the Executive Director of the North Beach Community Redevelopment Agency recommends approval of the FY 2023 operating budget for the North Beach CRA. NOW, THEREFORE, BE IT DULY RESOLVED BY THE CHAIRPERSON AND BOARD OF DIRECTORS OF THE NORTH BEACH COMMUNITY REDEVELOPMENT AGENCY, that the Chairperson and Board of Directors of the North Beach Community Redevelopment Agency hereby adopt the final FY 2023 operating budget for the North Beach Community Redevelopment Area, as outlined below and further detailed in the attached Exhibit"A." Beautification: Commercial Fagade and Property Improvement Programs $210,000 Enhanced Services: Community Policing, Code Compliance and $204,000 Sanitation Arts and Culture branding and communications $52,000 Small Business Development $49,000 Administration $25,000 Set-aside for Workforce and Affordable Housing $104,000 Set-aside for future projects $391,000 Total FY 2023 Budget $1,035,000 PASSED AND ADOPTED this 28th day of September, 2022. ATTEST: 1I1I(ORPORATED.•0 Dan Gelber, Chairperson ......, R fael E. Granado, Secretary 'APPROVED AS TO FORM & LANGUAGE SEP 2 9 2022 -&FOR EXECUTION • ��adtdb.t. 4(tt City Attorney Date NBCRA 1. MIAMI BEA AM COMMISSION MEMORANDUM TO: Honorable Mayor and Members of the City Commission FROM: Alina T. Hudak, Executive Director DATE: September 28, 2022 SUBJECT:A RESOLUTION OF THE CHAIRPERSON AND MEMBERS OF THE NORTH BEACH COMMUNITY REDEVELOPMENT AGENCY (NORTH BEACH CRA), ADOPTING THE FINAL OPERATING BUDGET FOR THE NORTH BEACH CRA FOR FISCAL YEAR 2023. RECOMMENDATION The Administration recommends that the Chairperson and Board of Directors of the North Beach Community Redevelopment Agency adopt the attached Resolution which establishes the final budget for the North Beach Community Redevelopment Area (North Beach CRA) for Fiscal Year 2023. BACKGROUND/HISTORY On July 17, 2019, the Miami Beach City Commission adopted Resolution No. 2019-30892, accepting a preliminary report concerning a finding of necessity for the redevelopment of a certain area of North Beach, and requesting that Miami-Dade County delegate redevelopment powers to the City of Miami Beach. On July 8, 2020, the Miami-Dade County Board of County Commissioners ("BCC")approved Resolution No. R-619-20, delegating authority to the City to create the North Beach Community Redevelopment Agency (North Beach CRA), including direction to draft the North Beach CRA Redevelopment Plan and negotiate an I nterlocal Agreement among the City, North Beach CRA, and Miami-Dade County to govern the redevelopment process. Pursuant to the county's delegation of authority, the City undertook a significant public engagement effort to prepare the Redevelopment Plan. Simultaneous with the City's preparation of the Redevelopment Plan, to delineate their respective areas of responsibility with respect to the redevelopment of the Redevelopment Area, the City, North Beach CRA and Miami-Dade County administration negotiated an interlocal cooperation agreement (the "I nterlocal Agreement"). On February 10, 2021, by adopting Resolution No. 2021-31596, the Mayor and City Commission officially created the North Beach CRA pursuant to section 163.357, Florida Statutes and declared the Mayor and City Commission to be the governing body of the North Beach CRA. Page 480 of 508 On May 12, 2021, pursuant to Resolution No. 003-2021, the North Beach CRA Board adopted the North Beach. Community Redevelopment Plan (the "Plan") and transmitted the Plan to the City Commission for approval, with such approval granted by the Mayor and City Commission via Resolution No. 2021-31709, including authorization to transmit the Redevelopment Plan to Miami-Dade County. On July 20, 2021, pursuant to Resolution No. 696-21, the BCC approved the Plan and also approved Ordinance No. 21-70, establishing the North Beach CRA Trust Fund for purposes of allocating tax increment revenue for redevelopment purposes. On July 28, 2021, the North Beach CRA Board adopted Resolution No. 005-2021 accepting the I nterlocal Agreement as approved by Miami-Dade County via Resolution No. R-696-21 and the City of Miami Beach via Resolution No. 2021-31817. ANALYSIS North Beach CRA Revenues The base year for the North Beach CRA is 2021. Based on the 2022 Certification of Taxable Value provided by the Miami-Dade County Property Appraiser's Office, on July 1, 2022, property values in the North Beach CRA increased by approximately 11.6%, or $165.3 million, compared to the 2021 Certification of Taxable Value of $1.42 billion (base year). For Fiscal Year (FY) 2023, the City portion of the tax increment totals approximately $577,000, and the County portion of the tax increment totals approximately $458,000, with a combined tax increment revenue total of$1,035,000. North Beach CRA Expenditures The Administration of the North Beach CRA has identified initiatives and programs proposed to be initiated in FY 2023 and supported by the Ad Hoc North Beach CRAAdvisory Committee, created by the City Commission pursuant to Resolution No. 2021-31560 and amended by Resolution No. 2021- 31594. Project-related expenditures for FY 2023 account for approximately $204,000, including $188,000 allocated for community policing and code compliance services and initiatives throughout the Redevelopment Area to provide enhanced levels of staffing and services, and $16,000 to promote additional cleanliness. Administrative expenditures include$9,000, providing for, among other expenditures, a satellite office within the Redevelopment Area, of which lease and maintenance costs are shared with the Miami Beach Building Department on a prorated basis. The budget also includes $110,000 for a Commercial Façade Improvement Program in the Normandy Fountain/Rue Vendome Plaza area to embrace French architecture and improve business attraction and retention; $100,000 for a Residential Property Improvement Program to promote the maintenance of naturally occurring affordable housing stock and promote resiliency; $52,000 for Arts & Culture related tourism; and $49,000 for small business development. Other expenditures include $7,000 for the County's administration fee, as stipulated by the Interlocal Agreement, which is equivalent to 1.5% of the County's FY 2023 tax increment payment; $9,000 for a contribution to the City, which is equivalent to 1.5% of the City's respective FY 2023 tax increment payment; a $104,000 set-aside for workforce and affordable Page 481 of 508 housing based on 10% of the FY 2023 combined tax increment revenue; and a $391,000 set- aside for future projects. The proposed final FY 2023 operating budget for the North Beach Community Redevelopment Area, is outlined below and further detailed in the attached Exhibit"A." Beautification: Commercial Façade and Property Improvement $210,000 Programs Enhanced Services: Community Policing, Code Compliance and $204,000 Sanitation Arts and Culture branding and communications $52,000 Small Business Development $49,000 Administration $25,000 Set-aside for Workforce and Affordable Housing $104,000 Set-aside for future projects $391,000 Total FY 2023 Budget $1,035,000 SUPPORTING SURVEY DATA N/A FINANCIAL INFORMATION N/A CONCLUSION The FY 2023 North Beach CRA budget is $1.035 million. To promote economic investment, growth and revitalization within the North Beach Community Redevelopment Area, it is recommended that the North Beach CRA Board adopt the attached Resolution, which establishes the final budget for the North Beach CRA for FY 2023. Applicable Area Citywide Is this a "Residents Right Does this item utilize G.O. to Know" item, pursuant to Bond Funds? City Code Section 2-14? Yes No Strategic Connection Organizational Innovation- Ensure strong fiscal stewardship. Legislative Tracking Economic Development ATTACHMENTS: Description o Exhibit A- North Beach CRA Budget FY 2023 Page 482 of 508 Exhibit A Admin/Operating Expenditures FY 2020 FY 2021 FY 2022 FY 2023 FY 2023 Prop to Revenues and Other Sources of Income Actuals Actuals Adopted Proposed FY 2022 Adop Tax Increment - City 0 0 0 577,000 577,000 Proj Adjustment to City Increment 0 0 0 0 0 Tax Increment - County 0 0 0 458,000 458,000 Proj Adjustment to County Increment 0 0 0 0 0 TOTAL REVENUES $ $ - $ $ 1,035,000 $ 1,035,000 Admin/Operating Expenditures Small Business Development 0 0 0 49,000 49,000 Beautification 0 0 0 210,000 210,000 Arts & Culture Related Tourism 0 0 0 52,000 52,000 Administration 0 0 0 9,000 9,000 Total Admin/Operating Expenditures $ $ $ $ 320,000 $ 320,000 Project Expenditures Community Policing: Police 0 0 0 100,000 100,000 Code Compliance 0 0 0 88,000 88,000 Capital Projects Maintenance: Sanitation 0 0 0 16,000 16,000 Total Project Expenditures $ 0 $ 0 $ 0 $ 204,000 $ 204,000 Reserves, Debt Service and Other Obligations Reserve for County Admin Fee 0 0 0 7,000 7,000 Reserve for CMB Contribution 0 0 0 9,000 9,000 Transfer to Reserves/Project Set-aside 0 0 0 391,000 391,000 10% Set-aside for Affordable & Workforce Housing 0 0 0 104,000 104,000 Total Reserves, Debt, & Other Obligations $ $ $ $ 511,000 $ 511,000 TOTAL EXPENDITURES AND OBLIGATIONS $ $ $ $ 1,035,000 $ 1,035,000 SURPLUS / (GAP) $ 0 $ 0 $ 0 $ 0 $ 0 Expenditure Summary 600,000 500,000 400,000 . 300,000 - -- 200,000 100,000 - 0 Admin Expenditures Project Expenditures Debt Service & Other Obligations FY 2021 Actuals a FY 2022 Adopted FY 2023 Proposed NORTH BEACH COMMUNITY REDEVELOPMENT AGENCY NORTH BEACH COMMUNITY REDEVELOPMENT AGENCY North Beach Community Redevelopment Agency 1755 Meridian Avenue Miami Beach, FL 33139 Board of Directors Dan Gelber, Chair Kristen Rosen Gonzalez, Board member Alex J. Fernandez, Board member Steven Meiner, Board member Ricky Arriola, Board member David Richardson, Board member Vacant, Board member Executive Staff Alina T. Hudak, Executive Director Rafael Paz, General Counsel Rafael Granado, Secretary Ad Hoc North Beach CRA Advisory Committee Jose Smith, Chair Betsy Perez, Vice Chair John Bowes Ronnie lssenberg Romina Orozco-Encio Manning Salazar David Sexton 395 NORTH BEACH COMMUNITY REDEVELOPMENT AGENCY 396 MESSAGE FROM THE EXECUTIVE DIRECTOR ALINA T. HUDAK Honorable Chair Dan Gelber and Boar d of Directors: I am pleased and honored to present for your consideration the inaugural proposed budget for the North Beach Community Redevelopment Agency. ~ Following a tremendous collective effort to obtain Miami-Dade County approval of the North Beach CRA on July 20, 202 l, we are encouraged by the tremendous growth in the Redevelopment Area in the first year following the 202 l base year. The combined tax increment revenue (TIF) from the City of Miami Beach and Miami-Dade County totals appr oximately $1,035,000. We are also hopeful that the 11.6% growth in taxable values (from $1.42 billion to $ l .58 billion) is indicative of the potential for the area. 3 < The executive team, with input from the Ad Hoc North Beach CRA Advisory Committee, has identified early short- and long- term strategies, initiatives and programs based on the approved Redevelopment Plan, that should enhance the area and lay the foundation for future economic investment. W hile all are buoyed by the recent growth and immediate opportunities for en- hancement, the proposed budget recommends a prudent set aside of approximately 48% of tax increment financing revenue for future projects such as affordable and workforce housing and infrastructure that are essential to the community. The North Beach CRA district and North Beach co mmunity are at an inflection point with the completion of the Beachwalk and Rue Venderne Plaza renovation, progress on public improvements on Ocean Terrace and several other approved projects in the North Beach Town Center zoning district. The area is poised for significant economic investment which may include the re- development of the former Deauville Beach Resort site, development of the 72 Street Community Complex and major resiliency projects. We are confident that the tax increment revenue will be accelerated by direct and indirect economic development resulting from North Beach CRA progra ms and investments. The proposed operating budget and work plan for fiscal year 2023 herein, commencing on Octob er 1, 2022 and ending on September 30, 2023, is the first budget for the North Beach CRA, succeeding the preliminar y budget information that was provided at the City of Miami Beach budget workshop on July 15, 2022. The proposed budget contains allocations for a beautification program, including- but not limited to - commer cial façade and private property improvement progra ms; enhanced service s, including community policing, code compliance and sanitation; arts and culture-related branding; commu- nications and mar keting; small business development progra ms and services as well as administrative expenses, including the establishment of a Nor th Beach CRA office within the redevelopment area and administrative fees as required by Miami-Dade County. Creating a solid organizational and fiscal foundation for the North Beach CRA is essential to long-term success. I would like to thank the greater Miami Beach community, led by Chair Dan Gelber, North Beach CRA Boar d of Directors and the Ad Hoc North Beach CRA Advisory Committee, not only for their efforts to secure the creation and approval of the North Beach CRA, but also for continued leadership and guidance in the budget and planning process for one of the City's most unique and promising areas. It is our collective collaboration, innovation and fiscal conscientiousness that will elevate and invigorate North Beach. In addition to the Board of Directors and Advisory Committee, the North Beach CRA appreciates the contributions of Eric Carpenter, Deputy City Manager; John Woodruff, Chief Financial Officer; Rickelle W illiams, Economic Development Director; David Mar tinez, Capital Improvement Projects Director; Ta meka Otto Stewart, Budget Director; Richard Ajami, Budget Officer; Fernando Pestana, Senior Management and Budget Analyst; and Luis Wong, Administrative Services Manager. Respectfully submitted, J.:7'¡at Alina T. Hudak Executive Director 397 NORTH BEACH COMMUNITY REDEVELOPMENT AGENCY Chair and Board of Directors Secretary (City Clerk) Executive Director (City Manager) General Counsel (City Attorney) Finance Director (CFO) Economic Development Director CIP, Procurement, Planning, Building, Public W orks, Management and Budget BACKGROUND BACKGROUND CONT'D The City of Miami Beach is recognized and admired regionally, nationally, and internationally as a dynamic and vibrant destination. Between the warm climate, sprawling beach and various cultural and lifestyle amenities, Miami Beach has distinguished itself as a thriving hospitality and tourism mecca. The City's significant investment in the arts, culture, aesthetics, recreation, public safety and climate resiliency, coupled with the depth and quality of residential and educational offerings, have made the City an ideal live-work-play environment. With tremendous quality of life characteristics and strategic, measured development and preservation over the years, the City has, overall, maintained and improved its status as a major driver of the Miami-Dade County economy and brand. Notwithstanding, in comparison with other areas of the City, the North Beach area has trailed in the level of redevelopment, revitalization, economic growth, and investment. Substantial commercial vacancy, obsolete housing stock, limited new development, environmental and resiliency challenges, as well as depressed household income levels are among the challenges facing North Beach. There have been several efforts by the City of Miami Beach to encourage growth and investment in North Beach, including but not limited to the North Beach Revitalization Plan, the North Beach Master Plan (Plan NoBe), the West Lots Plan and other initiatives focusing on climate resiliency, environmental sustainability, transportation, economic development, affordable housing, historic preservation, and land development regulations. The residents, Mayor and City Commission have also approved General Obligation Bond (G.O. Bond) funding for major improvement projects in the North Beach area. On July 17, 2019, the City Commission adopted Resolution No. 2019-30892, accepting a preliminary report concerning a finding of necessity for the redevelopment of a certain area of North Beach, and requesting that Miami-Dade County delegate redevelopment powers to the City. On July 8, 2020, the Miami-Dade County Board of County Commissioners ("BCC") approved Resolution No. R-619-20, delegating authority to the City to create the North Beach Community Redevelopment Agency (North Beach CRA), including direction to draft the North Beach CRA Redevelopment Plan and negotiate an lnterlocal Agreement among the City, North Beach CRA, and Miami-Dade County to govern the redevelopment process. 398 NORTH BEACH COMMUNITY REDEVELOPMENT AGENCY BACKGROUND CONT'D PURPOSE STATEMENT Pursuant to the county's delegation of authority, the City undertook a significant public engagement effort to prepare the Redevelopment Plan. Simultaneous with the City's preparation of the Redevelopment Plan, in order to delineate their respective areas of responsibility with respect to the redevelopment of the Redevelopment Area, the City, North Beach CRA and county administration negotiated an interlocal cooperation agreement (the "Interlocal Agreement"). On February l O, 2021, by adopting Resolution No. 2021-31596, the Mayor and City Commission officially created the North Beach CRA pursuant to section 163.357, Florida Statutes and declared the Mayor and City Commission to be the governing body of the North Beach CRA. On May l 2, 2021, pursuant to Resolution No. 003-2021, the chairperson and members of the North Beach CRA Board adopted the Redevelopment Plan and transmitted the Plan to the City Commission for approval, as required by Section 163.360(5), Florida Statutes. Additionally, pursuant to Resolution No. 004-2021, the chairperson and board members approved the lnterlocal Agreement, authorized the chairperson and secretary to execute the lnterlocal Agreement and further, authorized the transmittal of the executed lnterlocal Agreement to the BCC for its consideration and approval. Likewise, on May 12,2021, pursuant to Resolution No. 2021-3 1709, the Mayor and City Commission approved the Redevelopment Plan for the North Beach CRA and authorized its transmittal to the county. Contemporaneously, pursuant to Resolution No. 2021-3171 O, the Mayor and City Commission approved the lnterlocal Agreement, authorized the Mayor and City Clerk to execute the lnterlocal Agreement, and further, authorized the City Manager to transmit the executed lnterlocal Agreement to the BCC for its consideration and approval. On July 20, 2021, the BCC approved Ordinance No. 21-70 establishing the North Beach CRA Trust Fund and Resolution No. R-696-21 approving the Redevelopment Plan and the final, negotiated lnterlocal Agreement, as amended. On July 28, 2021, the North Beach CRA Board adopted Resolution No. 005-2021 accepting the lnterlocal Agreement. The City Commission also approved the lnterlocal Agreement via Resolution No. 2021-31817. The North Beach CRA's governing documents and legislation may be accessed at its website: https://www.miamibeachfl.gov/northbeachcra. The North Beach CRA Redevelopment Plan envisions a vibrant, resilient community with a Town Center, increased housing density, preservation of historic structures, access to recreational amenities, available public parking and additional restaurant and retail offerings to support new and current residents. The Redevelopment Plan concepts and approaches cover a range of project types across several implementation dimensions such as scale, scope, cost, time duration and potential impact outcomes. The Redevelopment Plan presents goals and strategies which may be implemented using funding from tax increment revenue derived from within the designated boundary over the 30-year life of the North Beach CRA. REDEVELOPMENT PLAN GOALS l. Provide economic development opportunities for businesses, property owners, and residents 2. Invest in climate resilience, sustainability, and infrastructure 3. Strengthen cultural arts, branding, marketing, and communication 4. Protect and enhance the neighborhood character 5. Improve the quality of life of residents and visitors 6. Leverage resources for community redevelopment <( 0 u en z Comm unity Red evelopment Agency Redevelopment Plan May 2021 399 NORTH BEACH COMMUNITY REDEVELOPMENT AGENCY IN TE R LO C A L A G R E EM EN T IN TERLOCAL AGREEMENT CONT'D The adopted boundaries of the North Beach CRA Redevelopment Area delineate the area within which tax revenue will be generated and captured during the 30-year life of the North Beach CRA, for expenditure on investments and projects identified in the Redevelop- ment Plan. As negotiated and approved, the lnterlocal Agreement provides for material financial terms agreed upon by the City of Miami Beach, the North Beach CRA and Miami-Dade County. The lnterlocal Agreement contains the following provisions governing the use of TIF revenue: • One member of the County Commission, or a County Commis- sion designee, may be appointed to serve on the North Beach CRA Board of Commissioners (in addition to the other members appointed to the North Beach CRA Board of Commissioners (i.e., the City Commission). Said County Commissioner, or des- ignee, shall be vested with the same rights, duties and obliga- tions as any other North Beach CRA Board member; and • No more than 20% of the total tax increment funds deposited annually into the Trust Fund by the City and the county shall be • used for total administrative expenses (including indirect and overhead expenses which may not exceed 6% of the total con- templated administrative expenses to be spent under the Rede- velopm ent Plan); and • • The county shall charge, and the North Beach CRA shall pay to the county, no later than March 31, an annual administrative fee ("County Administrative Fee"). This County Administrative Fee shall be 1.5% of the county's payment to the North Beach CRA. The County Administrative Fee shall not be included in the 20% limit on administrative expenses defined in this section; and • The City and the county hereby agree to contribute 60% of the tax increment funds derived from the Redevelopment Area on an annual basis; and • • The North Beach CRA budget for expenditures funded by tax increment revenues shall be capped, so that an amount equal to the TIF revenues paid into the Trust Fund by the county and the City attributable to l 0% of the incremental value in the area, shall remain unappropriated and unexpended, except for the purpose of funding projects associated with affordable and workforce housing; and Commencing in the year in which the combined annual con- tribution into the Trust Fund by the county and the City is, or exceeds $ l million, this l 0% shall only be used for the purpose of funding projects associated with affordable and workforce housing, including but not limited to, the construction, preserva- tion, and rehabilitation of such housing; and The North Beach CRA shall not budget in any fiscal year more than l 0% of the value of the City and county tax increment payment for that year on capital maintenance activities or com- munity policing, respectively; and Beginning FY 2049-50, the county, North Beach CRA and the City will negotiate an interlocal agreement to account for the sunset of the North Beach CRA. Ocean Terrace Proposed Rendering 400 NORTH BEACH COMMUNITY REDEVELOPMENT AGENCY W O R K PLA N PRO G RA M A N D IN ITIATIVES CO N T'D The North Beach CRA Redevelopment Plan Goals and lmplemen- • talion Strategies include many initiatives derived from resident and stakeholder suggestions during the Redevelopment Plan develop- ment process, best practices and concepts recommended in previous studies, reports, and master plans. Implementation strategies vary in cost, duration, impact, complexity, and boldness. There are several strategies that may require significant costs to effect visible change. • The proposed immediate focus of the North Beach CRA during its initial years concentrates on actions that can be implemented at minimal cost, since long-term implementation strategies are typically ongoing or are projects for which funding is not currently available. • Short-term strategies will include actions addressing, for example, code compliance and marketing and branding initiatives, which in- volve less expenditure but are visible and impactful, nonetheless. PRO G RA M A N D IN ITIATIV ES • The Fiscal Year 2023 operating budget recommendation prioritizes six categories of expenditures: Section 6.2: Normandy lsles - The Normandy Fountain area, also known as Venderne Plaza, serves as the community and commercial center of Normandy Isle and could develop into a vibrant, pedestrian-oriented shopping district with a strategic combination of protection and enhancement. Section 8.3: Several initiatives, such as rehabilitation/ beautification grants, will provide funding for businesses and property owners in the CRA to make interior and exterior improvements to their properties. Section 9.1. l: Business Attraction and Retention- Develop incentive programs to help existing or new property and business owners with aesthetics, repairs, rehabilitations, improvements, land acquisition and resiliency modifications. Section 9.4.l: Normandy Isles - Fountain Area. Support redevelopment of sites around the fountain to include retail, Class A office space and residential. Revenues Percentage Amount City of Miami Beach TIF contribution 55.7 % 577.,000 Miami-Dade County TlF contribution 44.3 % 458,000 Total Revenues 100 % $ 1,035,000 Expenditures Percentage Amount I Be autification 20.3% 210,000 2. Enhanced Services 19.7% 204,000 3 Ats and Culture 5.0% 52,000 d Small Business Development 4.7 %, 49,000 5 Administration 2.4% 25,000 6 Sel-aside: Affordable and Workforce lousing 10.0% 104,000 7 Set-aside. Future Project s 37.8% 391.,000 Total Expenditures 100 .0% $ 1,035,000 1. Beautification a. Com m ercial Façade Im provem ent Program : The North Beach CRA will develop a commercial façade improvement program (via matching grant) available to businesses located within the Normandy Isles/Rue Venderne Plaza section of the Redevelopment Area. The purpose is to substantially improve the visible appearance and street presence of properties as well as enhance the functionality and sustainability of businesses within this main commercial area. The program will focus on cultivation of French-themed architecture and aesthetics to leverage the history and infrastructure of the area which includes French street names. Redevelopment Plan Goal l: Provide economic development opportunities for businesses, property owners and residents. b. Residential Property Im provem ent Program : The North Beach CRA will develop a residential property improvement program (matching grant) available to residential property owners to promote resiliency, beautification, and historic preservation. The program will fund renovation and rehabilitation of multifamily residential properties to encourage sustainable features, housing affordability and age-in-place opportunities for residents. Redevelopment Plan Goal 4: Protect and enhance the neighborhood character. • Section 7.5.3: Building Adaptation - Resilient design can also be implemented through residential, commercial, and business façade improvement programs. The programs would aim to help the Redevelopment Area to address façades and building systems to properly anticipate and accommodate future extreme weather patterns and natural events. This incentive-based pro- gram could also encourage building owners to invest in green infrastructure. • Section 8.3: Several initiatives, such as rehabilitation/beautifi- cation grants, will provide funding for businesses and property owners in the CRA to make interior and exterior improvements to their properties. • Section 9.1.2: Real Estate Establish protective measures to safeguard housing for existing residents within the CRA consis- tent with federal requirements. 401 NORTH BEACH COMMUNITY REDEVELOPMENT AGENCY PROGRAM AND INITIATIVES CONT'D PROGRAM AND INITIATIVES CONT'D • Section 9.2. l: Resiliency and Sustainability - Develop a climate resiliency incentive program to assist residential and commercial property owners with applicable capital improvements. • Section 9 .4: Develop incentive programs to rehabilitate and preserve existing housing stock and/or develop new housing stock; Create programs and incentives to mitigate the costs of historic preservation and rehabilitation; and create programs and incentives to promote age in place opportunities for existing and new housing stock. • Section 9.4. l: North Shore Partner with multifamily property owners to retain affordable and workforce housing offerings. 2 . En h a n ce d S erv ices a . C o m m u n ity Po lici ng : The North Beach CRA is empowered to provide funding to support the development and implementation of community policing innovations, subject to the budgetary limitation set forth in the lnterlocal Agreement. Through additional shifts/over time, the Miami Beach Police Department (MBPD) will augment and promote relationship building and trust among officers and residents lo increase engagement and encourage the development and effectiveness of crime watch groups and programs. Community policing initiatives will include "park and walks" foot patrols to increase visibility in parks and commercial corridors and proactive police activities, including quality-of-life sweeps and drug and traffic enforcement. Redevelopment Plan Goal 5: Improve the quality of life for residents and visitors. • Section 9.5.2: Safety- Work with the Miami Beach Police Department or ambassador programs to develop and implement community policing innovations. b. Cod e Com plia nce: The North Beach CRA, in cooperation with the MBPD, Miami Beach Fire Department and Code Compliance Department, will work to creale a safe, quality environment for residents and businesses. The CRA will fund Iwo additional l O-hour Code Compliance Officer shifts per week to provide opportunities for community engagement, education, outreach, and enforcement efforts. Normandy Fountain Rue Vendome Plaza Ribbon-cutting February 27, 2022 402 NO RTH BEACH CO MMUNITY REDEVELO PMENT AGENCY PROGRAM AND INITIATIVES CONT'D PROGRAM AND INITIATIVES CONT'D Redevelopment Plan Goal 4: Protect and enhance the neighborhood 3. A rts and Culture character. • Section 9.4: Work with the City to ensure property owners are meeting code compliance standards and implement remedies. • Section 9.5.2: Safety - Work with the Miami Beach Code Compliance Department to highlight opportunities and address code-related concerns. With cultural anchors and assets within the North Beach CRA, there is an opportunity to promote arts and culture through cultural tourism by leveraging these resources. Art galleries, the Miami Beach Bandshell, Rue Vendome Plaza and other public spaces attract tourists and improve quality of life of residents. The North Beach CRA has already achieved some success in terms of branding with the development of a logo. Further development of the brand strategy is needed to propel the Redevelopment Area. c. Sa n itatio n : Maintaining clean streets and public and private spaces ore critical elements for enhancing a community. The North Beach CRA will supplemental sanitation services to keep corridors vibrant, storefronts free of debris and sidewalks clear for pedestrians. As the City plans for additional North Beach staffing for the Public • Works Department Sanitation Division, the North Beach CRA will provide support for waste processing fees associated with the removal of solid waste attributed to illegal dumping within the district. Redevelopment Plan Goal 5: Improve the quality of life for residents and visitors. • Section 9.5.1: Community Spaces- Work with the City to ensure streets are maintained and cleaned regularly. Redevelopment Plan Goal 3: Strengthen cultural arts, branding, marketing, and communication. Section 9.3.1: Cultural Tourism - Leverage arts and culture as a key community development strategy and a core sector of comprehensive community planning and development; Encourage and support the recruitment of cultural partners and performing arts organizations; Invest and assist in cultivating, preserving and enhancing the artist community; Explore opportunities to partner or collaborate with cultural organizations with emphasis on those based in Miami Beach; and promote hotels, restaurants and retailers with area cultural tours and food fairs or other similar programs. Miami Beach Beachwalk Ribbon-cutting - June 29, 2022 403 NORTH BEACH COMMUNITY REDEVELOPMENT AGENCY PROGRAM AND INITIATIVES CONT'D PROGRAM AND INITIATIVES CONT'D • Section 9.3.2: Branding Develop a logo, campaign strategy and signage, including for outreach and relationship-building to multilingual stakeholders and residents. 4 . S m a ll Busin ess D e v e lo p m e nt The North Beach CRA business community is strengthened by the various small businesses and entrepreneurs operating within commercial and residential districts. Small business development programs and services will enhance business success and provide resources to encourage business attraction, retention and creation. North Beach CRA business development programs will directly service businesses in North Beach and develop events and other efforts to spread awareness of the cultural vitality and attractiveness of the community to businesses, investors, and the general public. Redevelopment Plan Goal l : Provide economic development opportunities for businesses, property owners and residents. • Section 9.1. l: Business Attraction and Retention - Inventory existing businesses to identify complementary businesses for attraction to fill the retail gap identified in the market analysis; Engage with existing business owners to assess and support small business needs, including marketing, rehabilitation, resiliency improvements, labor needs and employment training; Work with the City to allow temporary uses, pop-up activations, retail and restaurants, whether in vacant storefronts or on vacant lots; Implement a "shop local" program and host banker/ broker/developer events to highlight available land, retail and office space. S. A d m in istration Administrative expenses for the North Beach CRA are limited by the lnterlocal Agreement which stipulates that no more than 20% of TIF revenue may be used for such costs. The Interlocal Agreement also provides for and Administrative Fee to Miami-Dade County in the amount of 1.5% of its TIF contribution to the Trust Fund. Other administrative expenses include a corresponding l .5% contribution to the Miami Beach General Fund to cover general costs for internal services. The North Beach CRA will also contribute to the Miami Beach Building Department's lease of commercial office space to allow for a physical presence within the district. The North Beach CRA administration will: • Manage the day-to-day operations including developing and implementing programs; • • • • • • • Assist in monitoring and revisions to the Redevelopment Plan; Prepare all required annual reports as required by state law; Assist with the development and management of the annual budget, work plan, and financial reports; Assist in the development of grant applications; Coordinate data and information tracking for verification of economic impact of North Beach CRA initiatives and private sector activities; Assist in the preparation of solicitations and coordinating small and large-scali purchases; Monitor contracts, agreements, engagements, partnerships and projects; Miami Beach Bandshell 404 NORTH BEACH COMMUNITY REDEVELOPMENT AGENCY PROGRAM AND INITIATIVES CONT'D PROGRAM AND INITIATIVES CONT'D • Monitor the operotion ond performonce of projects and Redevelopment Plan Goal 4: Protect and enhance the neighborhood programs; character. • Provide staff support to the Ad Hoc North Beach CRA Advisory Committee; • • • • Assist private parties in helping to implement Redevelopment Plan goals; Conduct technical research and prepares studies, reports, and other materials on community redevelopment and economic development related issues for Board of Directors, various committees, as well as community/advisory groups; Develop and maintain strong working relationships with business associations; Attend public meetings of various boards, organizations, and committees; • • • Provide professional technical advice to development professionals; Interpret, apply, and enforce the provisions of environmental regulations and other applicable federal, state, and local codes, laws, rules and regulations, specifications, standards, policies and procedures; Assist in the enforcement of local ordinances ond in interpreting City codes and master plans relevant to the North Beoch CRA; and • Attend professional development workshops and conferences to keep abreast of trends and developments in the field of community redevelopment, planning, public-private partnerships. 6 . A ff o rd ab l e a n d Wo rkf o rce H o u sin g The lnterlocal Agreement stipulates that the North Beach CRA must dedicate at least l 0% of TIF revenue for affordable ond workforce housing. The funding may be used for renovation, construction or preservation efforts. The l 0% set aside for fiscal year 2023 will serve as a foundation for funding housing-related projects and initiatives in future years. Although funding is not slated to be expended in fiscal year 2023, planning efforts will focus on preservation and renovation of naturally occurring affordable housing units, development of new multifamily affordable and workforce housing inventory and homeownership opportunities. • Section 9.1.2: Real Estate - Identify priority areas for redevelopment and associated property acquisition needs related to replacement housing, infill redevelopment, parks, greenspace, parking and resiliency efforts. • Section 9 .4: Develop incentive programs to rehabilitate and preserve existing housing stock and/ or develop new housing stock; Create infill housing programs to increase residential projects on existing residential sites; Support affordable homeownership opportunities through first-time homebuyer, down-payment, and utility assistance programs; Create programs and incentives to increase affordable and workforce housing, mixed-income projects, mixed-use projects; Create programs and incentives to mitigate the costs of historic preservation and rehabilitation and partner with the Miami Beach Housing Authority and the City's Office of Housing and Community Services to protect existing residents and provide affordable housing and homeownership opportunities. 7. Future Pro je ct s The Redevelopment Plan contemplates projects of varying complexity and costs. As TIF revenue grows, the North Beach CRA will be better able to leverage resources to implement large-scale projects and programs, including infrastructure, environmental, and parks and recreation projects. Additionally, the North Beach CRA will be able to use revenue to supplement grant-funded projects and have the capacity to bond TIF revenue for even greater impact. N O R TH BEA C H COMMUNITY REDEVELOPMENT AGENCY 405 NORTH BEACH COMMUNITY REDEVELOPMENT AGENCY BUDGET HIGHLIGHTS CRITICAL SUCCESS FACTORS CONT'D • $3,000 for a satellite office within the North Beach CRA district, • of which lease and maintenance costs are shared with the Miami Beach Building Department on a prorated basis • • $110,000 for o Commercial Façade Improvement Program in the Normandy Fountain/ Vendome Plaza area to embrace French architecture and improve business attraction and • retention • $100,000 for a Residential Property Improvement Program • to promote the maintenance of naturally occurring affordable housing stock and promote resiliency Ability to secure external funding sources, including grants Ability to network and interact with the business and development communities to encourage new and expanding private investment in the area Access to local/ZIP code level market information, especially with respect to the real estate and job markets Improved website and data development to ensure more and detailed information is instantly available to the public, site selection consultants and potential business owners • $100,000 allocated for MBPD community policing initiatives to continue to provide enhanced levels of staffing and services throughout the areo • $88,000 for enhanced Code Compliance services, including additional levels of staffing each week • $16,000 to cover cost for solid waste dumping fees to promote additional cleanliness and beautification • $7,000 for the county's administrative fees, which is equivalent to l .5% of the county's respective TIF payment for FY 2023 • $9,000 corresponding contribution to the City's General Fund, which is equivalent to 1 .5% of the City's TIF payment for FY 2023 CRITICAL SUCCESS FACTORS • Adoption and adherence to the Redevelopment Plan and other economic development and revitalization strategy plans for various areas of the North Beach CRA district and the City as a whole • Enhance networking and communication opportunities with the local community including, but not limited to, residents, property owners, business owners/operators and visitors to gauge interest in various economic development initiatives, programs and incentives • Progress on planned public infrastructure and facility projects FUTURE OUTLOOK Economic development and growth opportunities are found throughout the Redevelopment Area. While early growth in property values experienced since the 2021 base year suggests that the North Beach CRA is on the fast track to overcoming the conditions that led to its creation, e.g., blight, deterioration, and economic stagnation, redevelopment efforts must be balanced with both aggressive and measured initiatives. The Redevelopment Plan outlines bold, local approaches that will raise community awareness of the CRA and invoke visible change without the tremendous financial expenditure associated with many capital projects. Following the adoption of an initial operating budget and work plan, the North Beach CRA will develop a five-year implementation strategy with corresponding funding projections to help ste er planning for the redevelopment program. New development projects, economic revitalization programs, and creative financing for commercial and entrepreneurial endeavors ore critical to the pathway forward. The implementation of short-term and immediate redevelopment strategies should be followed by a critical mass of development improvements in key commercial oreas that are necessary to accelerate revitalization and signal progress by the North Beach CRA. These areas include Town Center, Normandy Isles/Rue Venderne Plaza, North Shore and the West Lots. For redevelopment to occur in these parts of North Beach, CRA program initiatives must be accomplished with community participation and the leveraging of available resources. Using the Redevelopment Plan as a guide for strategies that preserve and enhance what residents value most in their neighborhoods, the North Beach CRA will work to improve on existing elements and create new elements essential for promoting a vibrant community. • Progress on approved private development projects • Development of partnerships and opportunities for collaboration with local, regional and national partners 406