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Business Impact Estimate - Alcohol Hours March 2024MIAMI BEACH City of Miami Beach, 1700 Convention Center Drive, Miami Beach, Florida 33139, www.miamibeachfl.gov TO: Mayor Dan Gelber and Members of the City Commission FROM: Alina T. Hudak, City Manag~ MEETING DATE: October 25, 2023 \J , .. , SUBJECT: BUSINESS IMPACT ESTIMATE FOR: AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AMENDING CHAPTER 6 OF THE CODE OF THE CITY OF MIAMI BEACH, FLORIDA, ENTITLED "ALCOHOLIC BEVERAGES," BY AMENDING ARTICLE I, ENTITLED "IN GENERAL," BY AMENDING SECTION 6-3 THEREOF, ENTITLED "HOURS OF SALENIOLATIONS," TO ESTABLISH HOURS FOR THE SALE AND CONSUMPTION OF ALCOHOLIC BEVERAGES AT ALCOHOLIC BEVERAGE ESTABLISHMENTS DURING SPECIFIED DATES IN MARCH OF 2024, ESTABLISH A VESTED RIGHTS PROCEDURE, AND PROVIDE FOR SUNSET AND AUTOMATIC REPEALER; AND PROVIDING FOR REPEALER, SEVERABILITY, CODIFICATION, AND AN EFFECTIVE DATE. Is a Business Impact Estimate Required? ~ Yes □No (If no, please check one of the boxes below) If one or more boxes are checked below, this means the City of Miami Beach has determined that a Business Impact Estimate for the above-referenced Ordinance is not required by State law. □The proposed Ordinance is required for compliance with Federal or State law or regulation; □The proposed Ordinance relates to the issuance or refinancing of debt; □The proposed Ordinance relates to the adoption of budgets or budget amendments, including revenue sources necessary to fund the budget; □The proposed Ordinance is required to implement a contract or an agreement, including, but not limited to, any Federal, State, local, or private grant or other financial assistance accepted by the City; □The proposed Ordinance is an emergency ordinance; □The Ordinance relates to procurement; or □The proposed Ordinance is enacted to implement the following: a. Part II of Chapter 163, Florida Statutes, relating to growth policy, county and municipal planning, and land development regulation, including zoning, development orders, development agreements and development permits; b. Sections 190.005 and 190.046, Florida Statutes, regarding community O c to b e r 25, 2023 Page 3 If none of the above exceptions apply, this Business Impact Estimate is hereby provided in accordance with Section 166.041 ( 4 ), Florida Statutes. 1. A summary of the proposed Ordinance and its purpose is more fully set forth in the Commission Memorandum accompanying the Ordinance, as well as in the recitals to the Ordinance itself, which are attached hereto. 2. An estimate of the direct economic impact of the proposed Ordinance on private, for- profit businesses in the City of Miami Beach, if any: (a) An estimate of direct compliance costs that businesses may reasonably incur; The proposed ordinance will result in a loss of revenue to alcoholic beverage establishments licensed to serve until 2:00 a.m. or 5:00 a.m. It would be highly speculative for the city to estimate the exact amount, as this will depend on each alcoholic beverage establishment's actual revenue and business model (including what percentage of its revenue is generated by alcohol sales after midnight). The proposed ordinance does not prohibit continued food sales after 12:00 a.m., so there would be no loss of revenue as it pertains to food sales. (b) Any new charge or fee imposed by the proposed Ordinance or for which businesses will be financially responsible; The proposed ordinance does not impose any new charges or fees to any business. (c) An estimate of the City's regulatory costs, including estimated revenues from any new charges or fees to cover such costs. The proposed ordinance would generate no more than nominal additional regulatory costs, which may be associated with increased enforcement activities by applicable City departments. 3. Good faith estimate of the number of businesses likely to be impacted by the proposed Ordinance: a. 106 Businesses are licensed to sell alcohol until 2:00 a.m. b. 135 Businesses are licensed to sell alcohol until 5:00 a.m. c. 31 hotels containing at least 200 units are exempt from the proposed regulation. The City of Miami Beach estimates that 210 businesses are likely to be impacted by the proposed Ordinance. 4. Additional comments: The subject ordinance is very limited in duration (a total of eleven days from March 8, 2024, through Monday, March 18, 2024) and automatically sunsets on March 19, 2024. O c to b e r 2 5 , 2 0 2 3 P a g e 2 development districts; c. Section 553.73, Florida Statutes, relating to the Florida Building Code; or d. Section 633.202, Florida Statutes, relating to the Florida Fire Prevention Code.