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Ordinance 2024-4580Accessory Dwelling Units (ADU) Revisions for Palm View Historic District ORDINANCE NO.� 2024-4580 AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AMENDING THE MIAMI BEACH RESILIENCY CODE, AT CHAPTER 7, ENTITLED "ZONING DISTRICTS AND REGULATIONS," ARTICLE 5, "SUPPLEMENTARY DISTRICT. REGULATIONS," DIVISION 4, "SUPPLEMENTARY .USE REGULATIONS," SECTION 7.5.4.13, ENTITLED "ACCESSORY USES," AT SUBSECTION D, ENTITLED "PERMITTED ACCESSORY USES IN SINGLE- FAMILY DISTRICTS," TO PERMIT THE RENTAL OF ACCESSORY DWELLING UNITS TO A FAMILY UNRELATED TO THE FAMILY OCCUPYING THE PRIMARY DWELLING UNIT WITHIN THE PALM VIEW HISTORIC DISTRICT IF SPECIFIC CRITERIA ARE MET; AND PROVIDING FOR CODIFICATION, REPEALER, SEVERABILITY, AND AN EFFECTIVE DATE. WHEREAS, the Land Use and Housing Elements of the Miami Beach Comprehensive Plan include policies to incentivize the development and retention of workforce and affordable housing; and WHEREAS, the City of Miami Beach (the "City") finds that there is a shortage of affordable rentals within the City limits; and WHEREAS, an "accessory dwelling unit" is an independent living quarter that is accessory to a single-family detached dwelling; and WHEREAS, the City hereby finds that allowing accessory dwelling units in single-family residential areas, subject to certain specified conditions, provides additional housing opportunities, including workforce and affordable housing, while providing an extra source of income to homeowners; and WHEREAS, the Palm View Neighborhood Study that was prepared in 2020 recommends allowing accessory dwelling units within the Palm View Neighborhood; and WHEREAS, the amendments set forth below are necessary to accomplish all of the above objectives. NOW THEREFORE, BE IT ORDAINED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA. SECTION 1. Chapter 7 of the Miami Beach Resiliency Code, entitled "Zoning Districts and Regulations, Article 5, . "Supplementary District Regulations," Division 4, "Supplementary Use Regulations," Section 7.5.4.13, entitled "Accessory Uses," at subsection d., entitled "Permitted accessory uses in single-family districts," is hereby amended as follows: CHAPTER 7 ZONING DISTRICTS AND REGULATIONS ARTICLE 5. — SUPPLEMENTARY DISTRICT REGULATIONS DIVISION 4, - SUPPLEMENTARY USE REGULATIONS Section 7.5.4.13 Accessory Uses d. Permitted accessory uses in single-family districts. Generally. Permitted accessory uses in single-family districts are those uses which are customarily associated with single-family houses and limited to the occupants of the home. Such uses include, but are not limited to, marine structures and decks for the storage of watercraft, swimming pools, spas, tennis courts and, where permitted, accessory dwelling units. ii. Permitted accessory uses. The following are permitted accessory uses in single-family districts: 3. An accessory dwelling unit (ADU) is permitted pursuant to the following requirements: I. Maximum number. No more than one ADU shall be permitted per single-family lot. II. Maximum area. The area of an ADU shall be included in the overall unit size calculation for the site. In no instance shall the total size of the ADU exceed 600 square feet or ten percent (10%) of the size of the main home on the subject site, whichever is greater. of Notwithstanding the foregoing, the maximum size of an ADU shall not exceed 1,500 square feet, WhiGheyer is less III. Minimum area. An ADU shall be a minimum of 200 square feet in area. However this subseGtien 7.E 4 13 above. if the miRiFnum area FequiremeRt of 200 feet PXr,ppr1c;#hen4 n A nt 7.5.4.13400.3, an flfll 1 shall�he- nrnhihited nn the site IV. Existing accessory structures. For existing accessory structures, built prior to January 1, 2019, the aforementioned maximum and minimum areas shall not be applicable to an ADU, unless the unit is expanded in size. V. Location. An ADU may be attached to the primary residence with a separate entrance that is secondary to the entrance to the main home net visible from p blip rinhts_nf_ way, subject to the any limitations on the primary structure as set forth in the land development regulations. Additionally, the entire site shall maintain the external appearance of a single-family home. Alternatively, an ADU may be located in an accessory building, subject to the requirements and limitations for accessory buildings in single-family districts identified in Section 7.2.2.3.b.xi.1. VI. Kitchens. An ADU may contain a full kitchen facility. VII. Utilities. A separate electric meter may be provided for an ADU. Vill. Lease. Any lease of an ADU shall be subject to the following requirements: [i] Unless otherwise provided herein, the use of an ADU shall be limited to the use of the family occupying the primary dwelling, temporary guests, or servants of the occupants of the primary dwelling, and shall not be rented or leased. [ii] The lease of an ADU to a family unrelated to the family occupying the primary dwelling unit shall only be permitted as follows: [11 wWithin an ADU that M was issued a certificate of occupancy on or before October 26, 2019, and shall ^niv be,permitted (2) is located on a piceperties Property that afe is owner -occupied and located between Dade Boulevard on the south and Pine Tree Drive Circle on the north. u Within an ADU located on a property that is owner -occupied and located in the Palm View Historic District. Each year, evidence of a property's homestead exemption ownership shall be provided to the planning director, subject to the director's approval, in order to confirm' the property's eligibility for the rental of an ADU. If a property ceases to be owner -occupied, the renewal of a lease for an ADU shall be prohibited, and residents of the ADU shall vacate the premises upon termination of the lease. It shall be the responsibility of the appiisan Property owner to satisfy the yearly requirement for providing evidence as to ownership and to notify the city of any change to the status, of the property's homestead exemptien ownership. [iii] The lease of an ADU to a family (as defined in Section 1.2.2) unrelated to the family occupying the primary dwelling unit for a period less than six (6) months and one (1) day, including extensions for lesser periods of leases permitted under Section 7.5.4.13.d.ii.3.11. to original leaseholders, shall be prohibited. [iv] Property owners seeking to allow for the lease of an ADU unit to a family unrelated to the family occupying the primary dwelling unit must obtain all applicable fire and building permits, and a certificate of use, as applicable, permitting the lease of the ADU, subject to the requirements listed above. The application shall provide proof of compliance with the requirements of this Section 7.5.4.13.d.ii.3., Additionally, the applicant shall provide an affidavit agreeing to and affirming the applicant's understanding of the requirements in this Section 7.5.4.13.d.ii.3. [v] A violation of these requirements shall be subject to the enforcement and enhanced penalty provisions for leases of single-family homes set forth in subsection 7.5.4.13.d.ii.5. [vi] Tracking. The planning director shall maintain a database of all approved ADUs in the city, including statistics relating to the number of certificates of use issued, and any violations issued pursuant to this Section 7.5.4.13.d.ii.3. SECTION 2. REPEALER. All ordinances or parts of ordinances and all section and parts of sections in conflict herewith are hereby repealed. SECTION 3. CODIFICATION. It is the intention of the City Commission, and it is hereby ordained that the provisions of this ordinance shall become and be made part of the Code of the City of Miami Beach as amended; that the sections of this ordinance may be renumbered or relettered to accomplish such intention; and that the word 'ordinance" may be changed to "section" or other appropriate word. SECTION 4. SEVERABILITY. If any section, subsection, clause or provision of this Ordinance is held invalid, the remainder shall not be affected by such invalidity. SECTION 5. EFFECTIVE DATE. This Ordinance shall take effect ten days following adoption. PASSED AND ADOPTED this P ATTEST: FEB 0 S 2024 Rafael V. Granado, City Clerk First Reading: September 13, 2023 Second Reading: October 18, 2023 Verified By: day of J-c"11(a , 2023.' Steven Meiner, Mayor � Planning Director + T:Wgenda\2023\7 -September 2023\Planning\NDU Regulations NLORPRO A'R'RIVED AS TO FORM AND LANGUAGE AND FOR EXECUTION (A/�� e-31— 23 City Attorney Date Sponsored by Commissioner Alex J, Femeedeg Co -Sponsored by Commissioner David Suarez Co -Sponsored by Commissioner Laura Dominguez Co -Sponsored by Commissioner Tanya K. Bhatt Co -Sponsored by Commissioner Joseph Magazine Co -Sponsored by Mayor Steven Meiner • 1. MIAMI BEACH COMMISSION MEMORANDUM TO: Honorable Mayor and Members of the City Commission FROM: Alina T. Hudak, City Manager DATE: January 31, 2024 10:25 a.m. Second Reading Public Hearing SUBJECT- ACCESSORY DWELLING UNITS (ADU) REVISIONS FOR PALM VIEW HISTORIC DISTRICT AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AMENDING THE MIAMI BEACH RESILIENCY CODE, AT CHAPTER 7, ENTITLED "ZONING DISTRICTS AND REGULATIONS," ARTICLE 5, "SUPPLEMENTARY DISTRICT REGULATIONS," DIVISION 4, "SUPPLEMENTARY USE REGULATIONS," SECTION 7.5.4.13, ENTITLED "ACCESSORY USES," AT SUBSECTION D, ENTITLED "PERMITTED ACCESSORY USES IN SINGLE FAMILY DISTRICTS," TO PERMIT THE RENTAL OF ACCESSORY DWELLING UNITS TO A FAMILY UNRELATED TO THE FAMILY OCCUPYING THE PRIMARY DWELLING UNIT WITHIN THE PALM VIEW HISTORIC 'DISTRICT IF SPECIFIC CRITERIA ARE MET, AND PROVIDING FOR CODIFICATION, REPEALER, SEVERABILITY,ANDAN EFFECTIVE DATE. RECOMMENDATION The Administration recommends that the City Commission adopt the subject ordinance. On February 22, 2023, at the request of Commissioner Ricky Arriola, the City Commission referred a discussion item (C4 D) regarding accessory dwelling units (ADU's) in the Palm View district to the Land Use and. Sustainability Committee (LUSC). On April 19, 2023, the item was deferred to the May 10, 2023 LUSO meeting, with no discussion. On May 10, 2023, the LUSC recommended that the City Commission refer the proposed ordinance to the Planning Board with the following amendments: 1. The size of an accessory dwelling unit (ADU) be increased from 400 square feet to 600 square feet, to better accommodate smaller lots. 2. The requirements for property ownership shall not be limited to homesteaded properties. 3. Entrance visibility on comer lots shall be further studied. Page 1041 of 2002 On June 28, 2023, the City Commission referred the proposed ordinance pertaining to ADU's in the Palm View district to the Planning Board (Item C41). Subsequent to the item being referred to the Planning Board, Commissioner Alex Fernandez became a co-sponsor of the proposal. On October 16, 2019, the City Commission adopted Ordinance No. 2019-4305, which amended the Land Development. Regulations of the City Code (LDRs) to allow for the development of ADUs in single family districts. Previously, the LDRs authorized the construction of "guest/servant quarters" that were similar in nature to ADUs. The amendment also authorized the lease of ADUs to families unrelated to the family occupying the primary dwelling if the primary dwelling is owner -occupied and located between Dade Boulevard and Pine Tree Circle and provided the AD U received a certificate of occupancy prior to October 26,. 2019. ANALYSIS ADUs are small living units that have their own kitchen and bathroom facilities and are on the same property as a single-family home. They are often rented out to provide a family with extra income or made available to a relative looking for additional privacy. Such units can either be attached or detached from the home, and they are sometimes referred to as granny flats, cottage houses, or secondary dwelling units. It was popular to include such units as part of single-family homes in the early 20th century, including within Miami Beach. However, ADUs fell into disfavor after World War I I whendevelopment patterns shifted to a more suburban style, and many cities began to prohibit them. With rising housing costs in urban areas, many cities are reintroducing the ability to build ADUs in single family areas. This is intended to provide housing that is more attainable to the workforce and to provide homeowners an extra source of income which can help them maintain their homes. The following cities in the United States currently allow ADUs in some form: • Austin, TX; • Boulder, CO; • Miami, FL; • Miami -Dade County, FL (Unincorporated area); • Minneapolis, MN; • Portland, OR; • Seattle, WA; and • Tampa, FL Additionally, all cities in California are required to allow for the construction of ADUs. The Florida Legislature authorizes local governments to permit ADUs, pursuant Florida Statute 163.31771, and has recognized the benefits of ADUs as it relates to providing housing for low to moderate income persons. As mentioned in the background section, although the City of Miami Beach LDRs allow for the construction of ADUs, for much of the City, ADUs are for the exclusive use of the family that occupies the primary dwelling unit and cannot be rented out to another family. The proposed ordinance would add the Palm View Historic District to the list of areas where the rental of an AD to a family unrelated to the family in the primary dwelling unit would be allowed. The ordinance would require that the primary dwelling be owner occupied; however, it would allow for the lease of existing or newly constructed ADUs. The property owner would be Page 1042 of 2002 required to comply with all other applicable regulations related to ADUs. As short-term rentals are already prohibited in single family zoning districts, the subject ordinance would not allow for short-term rentals of ADUs. This proposal is consistent with the recommendations in the 2020 Palm View Neighborhood Study, which encourage allowing ADUs for the purpose of providing property owners with an extra income stream that could be utilized to make resiliency improvements to the primary dwellings. Miami -Dade County recently approved legislation permitting accessory dwelling units and guesthouses in certain residential zoning districts under certain circumstances, while prohibiting the use of accessory dwelling units and guesthouses as vacation or short-term rentals. Under the current regulations in the LDR's of the City Code, ADUs may only be developed on lots where the primary dwelling is 2,000 square feet or larger. This is due to the current requirement that an ADU not exceed ten percent (10%) of the size of the primary dwelling. Although the minimum area requirement for an ADU is 200 square feet, such threshold can only be attained, under the current code, if the main home is greater than 2,000 square feet. This restriction limits the effectiveness of the ADU regulations, in particular due to the relatively small size of existing residences in the historic Palm View neighborhood. To address this issue, the attached draft ordinance has been revised to allow for the construction of ADUs on sites where the primary dwelling is smaller than 2,000 square feet. Pursuant this proposal, property owners would be allowed to build at least a 600 square foot ADU regardless of the size of the primary dwelling and provided there is available unit size within the site. On lots with primary dwellings that exceed 4,000 square feet, larger ADUs could be built, but the maximum size of an AD U, as a percentage of the lot size, cannot exceed 1,500 square feet. PLANNING BOARD REVIEW On July 25, 2023, the Planning Board held a public hearing and transmitted the proposed ordinance to the City Commission with a favorable recommendation (7-0). UPDATE The subject ordinance was approved at First Reading on December 13, 2023, with no changes. BUSINESS IMPACT ESTIMATE In accordance with Section 166.041(4), Florida Statutes, the City of Miami Beach is required to assess whether a Business Impact Estimate is required for the subject ordinance. As noted in the attached and published on the City's website on January 11, 2024, a Business Impact Estimate is not required for the subject ordinance as it implements an amendment to the Land Development Regulations. LOBBYIST DISCLOSURE In accordance with Resolution No. 2023-32857, adopted by the City Commission on December 13, 2023, the following information has been provided by the primary item sponsor as it relates to the subject ordinance amendment: 1. Was the Agenda Item initially requested by a lobbyist which, as defined in Code Sec. 2-481, includes a principal engaged in lobbying? No Page 1043 of 2002 2. If so, specify name of lobbyist(s) and principal(s): Not Applicable SUPPORTING SURVEY DATA The Mayor and City Commission identified the need for workforce and affordable housing as a key objective in the City s 2019 Strategic Plan Through the Lens of Resilience. The City's 2040 Comprehensive Plan prioritizes affordable housing, with the express goal "to encourage redevelopment that provides workforce and affordable housing" within the City. FINANCIAL INFORMATION No Fiscal Impact Expected CONCLUSION The Administration recommends that the City Commission adopt the subject ordinance. Applicable Area South Beach Is this a "Residents Right to Know" itempursuant to City Code Section 2-14? Yes Does this item utilize G.O. Bond Funds? No Strategic Connection Mobility - Support affordable, compatible workforce housing. Legislative Tracking Planning Sponsor Commissioner Femandez/Co-sponsored: Commissioners Suarez, Dominguez, Bhatt, Magazine, Mayor Meiner ATTACHMENTS: Description D Ordinance D BIE Statement SIGNED Page 1044 of 2002 MIAMI BEACH City of Miami Beach, 1700 Convention Center Drive, Miami Beach, Florida 33139, www.miamibeachfl.gov TO: Mayor Steven.Meiner and Members of the City Commission FROM: Alina T. Hudak, City Manager MEETING DATE: January 31, 2024 SUBJECT: BUSINESS IMPACT ESTIMATE FOR: ACCESSORY DWELLING UNITS (ADU) REVISIONS FOR PALM VIEW HISTORIC DISTRICT AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AMENDING THE MIAMI BEACH RESILIENCY CODE, AT CHAPTER 7, ENTITLED -ZONING DISTRICTS AND REGULATIONS,- ARTICLE 5, "SUPPLEMENTARY DISTRICT REGULATIONS,- DIVISION 4, -SUPPLEMENTARY USE REGULATIONS, - SECTION 7.5.4.13, ENTITLED -ACCESSORY USES," AT SUBSECTION D, ENTITLED "PERMITTED ACCESSORY USES IN SINGLE FAMILY DISTRICTS," TO PERMIT THE RENTAL OF ACCESSORY DWELLING UNITS TO A FAMILY UNRELATED TO THE FAMILY OCCUPYING THE PRIMARY DWELLING UNIT WITHIN THE PALM VIEW HISTORIC DISTRICT IF SPECIFIC CRITERIA ARE MET; AND PROVIDING FOR CODIFICATION, REPEALER, SEVERABILITY, AND AN EFFECTIVE DATE. Is a Business Impact Estimate Required? ❑ Yes X 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, Page 1049 of 2002 January 31, 2024 Page 2 development orders, development agreements and development permits; b. Sections 190.005 and 190.046, Florida Statutes, regarding community 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. Page 1050 of 2002 January 31, 2024 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; (b) Any new charge or fee imposed by the proposed Ordinance or for which businesses will be financially responsible; and (c) An estimate of the City's regulatory costs, including estimated revenues from any new charges or fees to cover such costs. Not Applicable 3. Good faith estimate of the number of businesses likely to be impacted by the proposed Ordinance: Not Applicable 4. Additional comments: Page 1051 of 2002