Ordinance 2023-4538 ORDINANCE NO. 2023-4538
AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF THE CITY OF
MIAMI BEACH, FLORIDA,AMENDING CHAPTER 102 OF THE CODE OF THE
CITY OF MIAMI BEACH, ENTITLED "TAXATION," BY AMENDING ARTICLE
V, ENTITLED "LOCAL BUSINESS TAX," BY AMENDING SECTION 102-373
THEREOF, ENTITLED "INVESTIGATION TO DETERMINE COMPLIANCE
WITH ARTICLE," BY REINFORCING THE AUTHORITY OF CITY
DEPARTMENTAL PERSONNEL TO ENTER PUBLIC AREAS OF BUSINESS
ESTABLISHMENTS IN ORDER TO INVESTIGATE OR DETERMINE
COMPLIANCE WITH THE CITY CODE, AND BY AMENDING SECTION 102-
377 THEREOF, ENTITLED "PENALTIES, ENFORCEMENT; COLLECTION OF
DELINQUENT FEES AND TAXES, AND CRIMINAL PENALTIES" BY
ENHANCING THE PENALTIES FOR BUSINESSES THAT REPEATEDLY
OPERATE WITHOUT PROCURING THE REQUIRED LOCAL BUSINESS TAX
RECEIPT; AND PROVIDING FOR REPEALER, SEVERABILITY,
CODIFICATION, AND AN EFFECTIVE DATE.
WHEREAS, the City consistently finds businesses that operate without first obtaining the
required local business tax receipt; and
WHEREAS, the current penalties, as set forth in the City Code, and Special Magistrate
proceedings, have not been effective in curtailing such businesses operating without a business
tax receipt; and
WHEREAS, the specter, and potential imposition, of more stringent penalties for those
businesses continuing to operate without a business tax receipt, despite having previously been
cited for doing so, is essential in remediating this ongoing issue; and
WHEREAS, it is also essential that personnel from appropriate City departments (Police,
Fire, Code, and Building) are authorized to enter the public areas and spaces contained within
commercial business establishments, for the purpose of determining compliance with this article
and chapter 18 of the City Code; and
WHEREAS, the City Administration believes that the proposed amendments will be
effective in deterring and curtailing the operation of businesses without first obtaining the required
business tax receipt, or otherwise operating in violation of this article or chapter 18 of the City
Code; and
WHEREAS, the amendments set forth below are necessary to accomplish the objectives
identified above, in order to protect the health, welfare, and safety of the City's residents and
visitors by ensuring that businesses are operating in a manner consistent with the City Code.
NOW, THEREFORE, BE IT ORDAINED BY THE MAYOR AND CITY COMMISSION OF
THE CITY OF MIAMI BEACH, FLORIDA, AS FOLLOWS:
SECTION 1. Those Sections of the City's Local Business Tax Ordinance, as such Ordinance is
codified in Sections 102-373 and 102-377 of the City Code, shall be amended as follows and
hereinafter set forth below:
CHAPTER 102
TAXATION
ARTICLE V. LOCAL BUSINESS TAX'
* * *• .
Sec. 102-373. — Investigation to determine:compliance with article. ,
The city manager,.or his the city manager's designee, may investigate persons and/or
establishments engaged in any business encompassed by this article and make such inquiry
as shall be necessary to determine whether or not such persons have procured a business tax
receipt as required by this article, or engaged in conduct which violates this article or chapter
18. City police, fire, code, and building department personnel shall be authorized to enter all
public areas and spaces of commercial business establishments operating in the city whenever
such areas and spaces are open to the public.
Sec. 102-377. — Penalties, enforcement; collection of delinquent fees and taxes, and
criminal penalties.
(a) Any person who shall carry on or conduct any business for which a tax receipt is required
by this article without first obtaining such tax receipt shall be issued a violation for the
offense, which shall The enhanced enforcement for this
violation shall be pursuant to subsection 102 377(d) herein be subject to the following
fines and.penalties: . .
(1) First offense within a 12-month period: punishable by a $1,000.00 civil fine,
and the business shall 'be prohibited from operating until the required -tax
receipt is obtained.
(2). Second offense within a 12-month period: punishable by a $3,500.00 civil fine,
and the business shall be prohibited from operating for a period of 10 days
from the date of the second violation or until the required tax receipt is obtained,
whichever is later.
(3) Third offense within a 12-month period: punishable by a $5,000.00 civil fine,
and the business shall be prohibited from operating and applying for a tax
receipt for a period of 13 months from the date of the third violation.
Additionally, no new tax receipt shall be issued during such 13-month period
to any other business, person, firm, corporation or entity in which the violator
(taxee), or any of its corporate officers in the immediately preceding 12-month
period, or any person owning, directly or indirectly, ten percent or more of the
violator (taxee) in the preceding 12-month period, have any monetary or
equitable interest.
(4) Any offense committed during a period of time in which the city manager, or
the ' city manager's designee, has declared a high impact period and
established any high impact measure(s) pursuant thereto, shall authorize the
city manager, or the city manager's designee, to prohibit the business from
operating and applying for a tax receipt for a period of 13 months from the date
of the violation. Additionally, the city manager, or the city manager's designee,
may prohibit the issuance of any new tax receipt during such 13-month period
to any other business, person, firm, corporation or entity in which the violator
(taxee), or any of its corporate officers in the immediately preceding 12-month
period, or any person owning, directly or indirectly, ten percent or more of the
violator (taxee) in the preceding 12-month period, have any monetary or
equitable interest.
set forth in s„bsection 102 386(c)M\and (3)
Businesses issued a notice of violation and prohibited from operating, pursuant to subsections
(a)(1)—(a)(4) herein, may request a prompt post-closure hearing, before a special magistrate,
by remitting a notice of appeal and request for hearing within 10 days of the issuance of the
notice of violation.
Enhanced enforcement for continuing violations shall be pursuant to subsection 102-377(d)
herein.
(b) Any person who violates any other provision of this article shall be cited with a notice of
violation as provided in section 102-322 of this Code, and may be
subject to one or more of the following enforcement/collection procedures:
(1) Suspension/revocation proceedings as set forth in sections 102-383 through
102-385.
(2) Suit for injunctive relief to enjoin operation of the business in violation of this
article.
(c) As an additional means of enforcement/collection and supplemental to the above, when a •
notice or record of any past-due business tax/fees and penalties that become due and
payable to the city after the effective date of this section is recorded in the public records
of the county, the notice shall constitute a special assessment lien upon all real and
personal property of the business owing such fees and penalties, and shall remain a lien
equal in rank and dignity with the lien of ad valorem taxes, and shall be superior in rank
and dignity to all other liens, encumbrances, titles and claims in, to or against the property
involved. Such liens may be foreclosed or levied upon in the manner provided by law.
(d) In addition to the above, a continued violation of subsection 102-377(a)for a period of 30
days or more without first obtaining a tax receipt, shall be punished .by imprisonment not
. to exceed 60 days or by imposition of a fine not to exceed $500.00 or both pursuant to
section 1-14 of the City Code.
(e) As an additional means of enforcement end s„pplemental to the above if any per on
cars on or conducts any b„siness for which a tax receipt is required by this article
vccr r r��iei
without first obtaining such tax receipt, then the city may prevent the business from
operating until the required tax receipt is.obtained
(f) An alcoholic beverage establishment that permits, allows, authorizes, grants, or approves
the use of its premises by a promoter, who has violated the provision(s) of section 102-
360, shall be subject to the immediate closure of its business operations for the event
duration.
SECTION 2. REPEALER.
All ordinances or parts of ordinances in conflict herewith be and the same are hereby
repealed.
SECTION 3. SEVERABILITY.
If any section, subsection, clause or provision of this Ordinance is held invalid, the
remainder shall not be affected by such invalidity.
SECTION 4. CODIFICATION.
It is the intention of the Mayor and City Commission of the City of Miami Beach, and it is
hereby ordained that the provisions of this ordinance shall become and be made part of the Miami
Beach City Code. The sections of this ordinance may be renumbered or relettered to accomplish
such intention, and the word "ordinance" may be changed to "section," "article," or other
appropriate word.
SECTION 5. EFFECTIVE DATE. /
This Ordinance shall take effect on the # day of Al rCIL.. , 2023.
PASSED AND ADOPTED this 22 day of F{brim/ 2023.
ATTEST:
FEB Dark`Qglber, Mayor
Z07.3 -;fir` 8 '',,,,
Rafa E. Granado, City ClerkINCURP ORATED = APPROVED A6
`"= FORM & LANGUAGE
eH 26;,_,-- &FOR EXECUTION
(Sponsored by Commissioner Alex J. Fernandez)
Underline denotes additions /-5 2-3
Striketh-reughdenotes deletions City Attorney Date
Ordinances-R5 A
MIAMI BEACH
COMMISSION MEMORANDUM
TO: Honorable Mayor and Members of the City Commission
FROM: Alina T. Hudak, City Manager
DATE: February 22, 2023
10:15 a.m. Second Reading Public Hearing
SUBJECT:AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF THE CITY
OF MIAMI BEACH, FLORIDA, AMENDING CHAPTER 102 OF THE CODE
OF THE CITY OF MIAMI BEACH, ENTITLED "TAXATION," BY AMENDING
ARTICLE V, ENTITLED "LOCAL BUSINESS TAX," BY AMENDING
SECTION 102-373 THEREOF, ENTITLED "INVESTIGATION TO
DETERMINE COMPLIANCE WITH ARTICLE," BY REINFORCING THE
AUTHORITY OF CITY DEPARTMENTAL PERSONNEL TO ENTER PUBLIC
AREAS OF BUSINESS ESTABLISHMENTS IN ORDER TO INVESTIGATE
OR DETERMINE COMPLIANCE WITH THE CITY CODE, AND BY
AMENDING SECTION 102-377 THEREOF, ENTITLED "PENALTIES,
ENFORCEMENT; COLLECTION OF DELINQUENT FEES AND TAXES,AND
CRIMINAL PENALTIES" BY ENHANCING THE PENALTIES FOR
BUSINESSES THAT REPEATEDLY OPERATE WITHOUT PROCURING
THE REQUIRED LOCAL BUSINESS TAX RECEIPT;AND PROVIDING FOR
REPEALER, SEVERABILITY, CODIFICATION,AND AN EFFECTIVE DATE.
BACKGROUND/HISTORY
This item was referred to the Public Safety and Neighborhoods Quality of Life Committee
(PSNQLC)at the April 21, 2021 City Commission meeting and is sponsored by Commissioner
Fernandez. The purpose of the referral was to discuss the business tax receipt (BTR) criteria
and propose modifications to vetting BTR renewals for businesses that routinely pose public
safety and/or code enforcement concerns.
As a result of the referral, the Administration established a cross-departmental BTR working
group that included staff from the City Attorney's Office, Code Compliance Department, Police
Department, Fire Department, Building Department, Planning Department and Finance
Department. The group met regularly to address the issues and come up with recommended
solutions to address the concerns.
The cross-departmental BTR team proposed two changes to the City Code to (1) specifically
allow police, fire, code, and building department personnel to enter all public areas and spaces
of commercial business establishments that are open to the public and (2) to progressively
increase the fines for BTR code violations to deter negative behavior.
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This item has been heard at the PSNQLC on September 20, 2021, March 29, 2022,
September 21, 2022, and November 30, 2022. At the November 30, 2022 PSNQLC meeting,
the committee further refined the recommended fine schedule.
At the last meeting on November 30, 2022, the Committee directed the Administration to bring
the recommend changes to the City Code to the full Commission for a first reading.
This item was passed on first reading at the February 1, 2023 Commission meeting.
ANALYSIS
Proposed Changes to the City Code
The first proposed change to the City Code is to add specific language in Section 102-373 to
allow the City's regulatory departments access to public areas of businesses with a BTR.
Currently, Police and Fire have no issues entering businesses, but on occasion, it can be
problematic for Code and Building to gain access.
The proposed change to the City Code now specifically mentions that Police, Fire, Code and
Building department personnel are authorized to enter all public areas and spaces of
commercial business establishments that are open to the public.
The second proposed change is to increase the fines in Section 102-377 as currently the fine
for operating without a BTR is$1,000 for first offense and $500 thereafter and does not appear
to be a sufficient deterrent. The proposed changes are in the attached draft ordinance and
highlighted below.
• First offense within a 13-month period: punishable by a$1,000 civil fine, and the business shall
be prohibited from operating until the required tax receipt is obtained.
-Second offense within a 13-month period: punishable by a $3,500 civil fine, and the business shall
be prohibited from operating for a period of 10 days from the date of the second violation or until the
required tax receipt is obtained, whichever is later.
•Third offense within a 13-month period: punishable by a $5,000 civil fine, and the business shall be
prohibited from applying for a tax receipt for a period of 13-months from the date of the third violation.
•Any offense committed during a period in which the City establishes High Impact Measures, may
result in the City Manager, or her designee, prohibiting the applicant from applying for a tax receipt
for a period of 13-months from the date of the violation.
-Businesses issued a notice of violation and prohibited from operating, pursuant to subsections (a)(1)
(a)(4)herein, may request a prompt post-closure hearing, to be held before a special magistrate, by
remitting a notice of appeal and request for hearing within 10 days of the issuance of the notice of
violation.
SUPPORTING SURVEY DATA
NA
FINANCIAL INFORMATION
Page 396 of 1109
NA
CONCLUSION
The PSNQLC recommended changes to the City Code to (1) specifically allow police, fire,
code, and building department personnel to enter all public areas and spaces of commercial
business establishments that are open to the public and (2) to progressively increase the fines
for BTR code violations to deter negative behavior.
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
Legislative Tracking
Finance
Sponsor
Commissioner Alex Fernandez
ATTACHMENTS:
Description
o Ordinance
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