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Resolution 2024-33221 RESOLUTION NO. 2024-33221 A RESOLUTION OF THE BOARD OF DIRECTORS OF THE NORMANDY SHORES LOCAL GOVERNMENT NEIGHBORHOOD IMPROVEMENT DISTRICT SETTING 1) THE PROPOSED GENERAL OPERATING MILLAGE RATE FOR THE NORMANDY SHORES LOCAL GOVERNMENT NEIGHBORHOOD IMPROVEMENT DISTRICT; 2) THE CALCULATED "ROLLED-BACK" RATE; AND 3) THE DATE, TIME, AND PLACE OF THE FIRST PUBLIC HEARING TO CONSIDER THE OPERATING MILLAGE RATE AND BUDGET FOR FISCAL YEAR 2025;AND, FURTHER,AUTHORIZING THE CITY MANAGER TO TRANSMIT THIS INFORMATION TO THE MIAMI-DADE COUNTY PROPERTY APPRAISER IN THE FORM REQUIRED BY SECTION 200.065, FLORIDA STATUTES. WHEREAS, Section 200.065, Florida Statutes, specifies the method by which municipalities may set the operating millage rate and adopt an annual budget for dependent taxing districts; and WHEREAS, the 2024 Certified Taxable Values from the Miami-Dade County Property Appraiser as of July 1, 2024 for the Normandy Shores Local Government Neighborhood Improvement District reflect an overall increase in taxable property values of $55.8 million, or 14.2%, from the 2023 Certified Taxable Values of $392.8 million to the 2024 Certified Taxable Values of$448.6 million; and WHEREAS, the Mayor and City Commission of the City of Miami Beach, acting in its capacity as the Board of Directors of the Normandy Shores Local Government Neighborhood Improvement District, propose that the Normandy Shores Local Government Neighborhood Improvement District's millage rate for general operating purposes be set at 0.7789 mills for Fiscal Year (FY) 2025, which is 0.0679 mills less than the millage rate adopted for FY 2024 of 0.8468 mills, and that the "Rolled-Back" rate be set at 0.7387 mills; and WHEREAS, the City of Miami Beach is required to notify the Miami-Dade County Property Appraiser of the millage rate proposed for the Normandy Shores Local Government Neighborhood Improvement District, the "rolled-back" rate, and the date, time, and place of the first public hearing within 35 days of receipt of the 2024 Certified Taxable Values received on July 1, 2024. NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ACTING IN ITS CAPACITY AS THE BOARD OF DIRECTORS OF THE NORMANDY SHORES LOCAL GOVERNMENT NEIGHBORHOOD IMPROVEMENT DISTRICT, that the following recommendations of the Administration be and are hereby ratified for transmittal to the Miami-Dade County Property Appraiser, as specified in Section 200.065, Florida Statutes: 1) Proposed Normandy Shores Local Government Neighborhood Improvement District Operating Millage Rate for FY 2025: General Operating 0.7789 mills (0.0679 mills less than prior year) 2) "Rolled-Back" Rate 0.7387 mills 3) The first public hearing to consider the proposed millage rate and budget for the Normandy Shores Local Government Neighborhood Improvement District for FY 2025 shall be held on Monday, September 16, 2024, at 5:02 p.m., in the City Commission Chambers at 1700 Convention Center Drive, 3rd Floor, Miami Beach, Florida 33139. PASSED and ADOPTED this 02y day of 7(€l , 2024. ATTEST: /" • 7I/1 JUL7 5 2024 en Meiner, Mayor Rafael E. Granado, City Clerk TINCORPRATED'1. / 1.1 "451;;•cH ,, ^g APPROVED AS TO FORM &LANGUAGE &FOR EXECUTION 71 r61z.v City Attorney Date 2 Resolutions - R7 F MIAMIBEACH COMMISSION MEMORANDUM TO: Honorable Mayor and Members of the City Commission FROM: Rickelle Williams, Interim City Manager DATE: July 24, 2024 TITLE: A RESOLUTION OF THE BOARD OF DIRECTORS OF THE NORMANDY SHORES LOCAL GOVERNMENT NEIGHBORHOOD IMPROVEMENT DISTRICT SETTING 1) THE PROPOSED GENERAL OPERATING MILLAGE RATE FOR THE NORMANDY SHORES LOCAL GOVERNMENT NEIGHBORHOOD IMPROVEMENT DISTRICT; 2) THE CALCULATED "ROLLED-BACK" RATE; AND 3) THE DATE, TIME, AND PLACE OF THE FIRST PUBLIC HEARING TO CONSIDER THE OPERATING MILLAGE RATE AND BUDGET FOR FISCAL YEAR 2024;AND, FURTHER,AUTHORIZING THE CITY MANAGER TO TRANSMIT THIS INFORMATION TO THE MIAMI-DADE COUNTY PROPERTY APPRAISER IN THE FORM REQUIRED BY SECTION 200.065, FLORIDA STATUTES. RECOMMENDATION See attached memorandum. BACKGROUND/HISTORY ANALYSIS FISCAL IMPACT STATEMENT See attached memorandum. Does this Ordinance require a Business Impact Estimate? (FOR ORDINANCES ONLY) The Business Impact Estimate (BIE)was published on . See BIE at: https://www.miamibeachfl.gov/city-hall/city-clerk/meetinq-notices/ FINANCIAL INFORMATION CONCLUSION Applicable Area Page 1374 of 1750 Citywide Is this a "Residents Right to Know" item. Is this item related to a G.O. Bond pursuant to City Code Section 2-17? Protect? Yes No Was this Agenda Item initially requested by a lobbyist which, as defined in Code Sec. 2-481, includes a principal engaged in lobbying? No If so, specify the name of lobbyist(s) and principal(s): Department Management and Budget Sponsor(s) Co-sponsors) Page 1375 of 1750 /V\ A/\/\ B EAC H City of Miami Beach,1700 Convention Center Drive,Miami Beach,Florida 33139,www.miamibeachfl.gov COMMISSION MEMORANDUM TO: Honorable Mayor Steven Meiner and Members of the City Commission FROM: Rickelle Williams, Interim City Manager DATE: July 24, 2024 SUBJECT: A RESOLUTION OF THE BOARD OF DIRECTORS OF THE NORMANDY SHORES LOCAL GOVERNMENT NEIGHBORHOOD IMPROVEMENT DISTRICT SETTING 1) THE PROPOSED GENERAL OPERATING MILLAGE RATE FOR THE NORMANDY SHORES LOCAL GOVERNMENT NEIGHBORHOOD IMPROVEMENT DISTRICT; 2) THE CALCULATED "ROLLED-BACK" RATE; AND 3) THE DATE, TIME, AND PLACE OF THE FIRST PUBLIC HEARING TO CONSIDER THE OPERATING MILLAGE RATE AND BUDGET FOR FISCAL YEAR 2025; AND, FURTHER, AUTHORIZING THE CITY MANAGER TO TRANSMIT THIS INFORMATION TO THE MIAMI-DADE COUNTY PROPERTY APPRAISER IN THE FORM REQUIRED BY SECTION 200.065, FLORIDA STATUTES STRATEGIC PLAN SUPPORTED Organizational Innovation— Ensure strong fiscal stewardship ADMINISTRATION RECOMMENDATION The Administration recommends that the Mayor and City Commission, acting in its capacity as the Board of Directors of the Normandy Shores Local Government Neighborhood Improvement District, adopt the attached Resolution authorizing the City Manager to transmit the following information to the Miami-Dade County Property Appraiser: 1) Proposed Normandy Shores Local Government Neighborhood Improvement District Operating Millage Rate for Fiscal Year(FY)2025: General Operating 0.7789 mills (0.0679 mills less than prior year) 2) "Rolled-Back" Rate (Truth-in-Millage) 0.7387 mills 3) The first public hearing to consider the millage rate and budget proposed for FY 2025 for the Normandy Shores Local Government Neighborhood Improvement District shall be held on Monday, September 16, 2024, at 5:02 p.m., in the City Commission Chambers at 1700 Convention Center Drive, 3rd Floor, Miami Beach, Florida 33139. Page 1376 of 1750 FY 2025 Normandy Shores Proposed Millage Rate July 24, 2024 Page 2 of 6 BACKGROUND The Normandy Shores Local Government Neighborhood Improvement District, which is a dependent taxing district of its principal taxing authority, the City of Miami Beach, was established in 1994 to provide continuous 24-hour security to this gated community. FY 2025 represents its thirty first(31 St) year of operation. The Normandy Shores Local Government Neighborhood Improvement District was officially established by Ordinance No. 93-2881 with the authority "to levy an ad-valorem tax on real and personal property of up to two (2)mills, provided that no parcel of property will be assessed more than $500 annually for such improvements." On September 23, 1998, Resolution No. 98-22902 adopted the Normandy Shores Local Government Neighborhood Improvement District's FY 1999 budget. The accompanying memorandum noted that a determination was reached that the City would fund 35%of the annual cost of the community guard gate. It also stated that this cost would eventually be funded by the Normandy Shores Golf Course,the City Attorney's Office would review the issue of the dependent status of the Normandy Shores Local Government Neighborhood Improvement District, and the City would continue supplementing the budget at current levels until both issues were resolved. On September 25, 2002, Ordinance No. 2002-3380 adopted the removal of the$500 annual cap per parcel. The accompanying memorandum noted that the City's 35% contribution would be maintained. In 2015, as part of a "clean up" Ordinance to repeal three other safe neighborhood districts that were no longer active, the Mayor and City Commission adopted Ordinance No. 2015-3928. With respect to the Normandy Shores Local Government Neighborhood Improvement District, because the prior versions of the Ordinance had not been codified, the 2015 Ordinance sought to codify the legislation that had been previously adopted. However, in so doing, the legislation codified the original 1993 Ordinance that included an ad valorem cap of$500 per property instead of the updated 2002 Ordinance that had removed the cap of$500 per property. In order to correct the inadvertent error in the 2015 Ordinance and eliminate the$500 per property cap, as intended since 2002,the Mayor and City Commission adopted Ordinance No. 2020-4386 on December 9, 2020. On July 28, 2021, the City Commission, based on the recommendation of the Finance and Economic Resiliency Committee at its July 31, 2021 meeting, adopted Resolution No. 2021- 31819 eliminating the City's 35% subsidy, while continuing to fund 50% of the total cost of the security rover for the District and Normandy Shores Golf Course. Since then, the annual budget for the Normandy Shores Local Government Neighborhood Improvement District has been fully funded through a dedicated ad valorem tax levied on property within the Normandy Shores Local Government Neighborhood Improvement District to provide continuous 24-hour security to this gated community with the City continuing to fund 50% of the total cost of the security rover shared between the Normandy Shores Local Government Neighborhood Improvement District and the Normandy Shores Golf Course. Page 1377 of 1750 FY 2025 Normandy Shores Proposed Millage Rate July 24, 2024 Page 3 of 6 NORMANDY SHORES PROPERTY VALUES • On July 1,2024,the City received the 2024 Certified Taxable Values from the Miami-Dade County Property Appraiser for the Normandy Shores Local Government Neighborhood Improvement District indicating that the overall taxable property values increased approximately $55.8 million, or 14.2%, from the 2023 Certified Taxable Values of$392.8 million to the 2024 Certified Taxable Values of$448.6 million,which is comprised of a$50.7 million,or 12.9%, increase in the District's existing values and a $5.1 million increase in new construction values. July 2023 July 2024 $ Certified Certified Change Change Property Values: Existing Values $392,785,688 $443,527,813 $50,742,125 12.9% New Construction - 5,135,349 5,135,349 100.0% Total Normandy Shores $392,785,688 $448,663,162 $55,877,474 14.2% PROPOSED MILLAGE & BUDGET Based on the 2024 Certified Taxable Values for the Normandy Shores Local Government Neighborhood Improvement District, the ad valorem millage proposed for FY 2025 for the Normandy Shores Local Government Neighborhood Improvement District, which was approved by the Normandy Shores Homeowners' Association and is recommended by the Administration for FY 2025, is 0.7789 mills. The millage proposed for FY 2025 is 0.0679 mills, or 8.0%, less than the millage rate adopted for FY 2024 of 0.8468 mills. The proposed levy would generate property tax revenues of$349,464, which will be budgeted at approximately 95.0%, or$331,991 (rounded to $332,000), to account for early payment discounts, delinquencies, etc. and will fund the FY 2025 budget proposed for the Normandy Shores Local Government Neighborhood Improvement District. FY 2024 FY 2025 Inc/(Dec) Adopted Proposed Normandy Shores Millage 0.8468 0.7789 (0.0679) Property Tax Revenues $316,000 $332,000 $16,000 The proposed Normandy Shores Local Government Neighborhood Improvement District budget for FY 2025, as summarized below, is$336,000, which reflects an increase of$20,000, or 6.3%, from the adopted FY 2024 budget of$316,000. Page 1378 of 1750 FY 2025 Normandy Shores Proposed Mil!age Rate July 24, 2024 Page 4 of 6 Expenditures in FY 2025 Budget $ Contracted Security Guard Services for Guardhouse and 50%of Rover $237,100 Gate and Guardhouse Maintenance/Repairs 40,100 Set-aside for Renewal and Replacement of Capital Assets 20,000 CMB Internal Service Charges and Fees 17,000 Guardhouse Utilities 7,300 Set-aside for Reserve for Future Projects 5,000 Guardhouse Technology Upgrades 5,000 Guardhouse Janitorial Services 4,000 Other Miscellaneous Operating Expenditures 500 Total $336,000 TRUTH-IN-MILLAGE PROCESS Florida Statute 200.065, entitled "Method of Fixing Millage," establishes specific guidelines that must be used by all local government entities, including dependent taxing districts like the Normandy Shores Local Government Neighborhood Improvement District, in setting its millage (property tax) rates. Like its principal taxing authority, the City of Miami Beach, the Normandy Shores Local Government Neighborhood Improvement District is also required to advise the Miami-Dade County Property Appraiser within 35 days from receipt of the"Certification of Taxable Value"(received July 1, 2024)of the proposed operating millage rate, the calculated"rolled-back" rate and the date, time, and place of the first public hearing to consider the proposed operating millage rate and budget for FY 2025. Maximum Millage Determination The millage rate proposed for the Normandy Shores Local Government Neighborhood Improvement District is 0.7789 mills for FY 2025. Based on the 2024 Certified Taxable Values received from the Miami-Dade County Property Appraiser on July 1, 2024, the proposed levy of 0.7789 mills would generate approximately $332,000 in property tax revenues for the Normandy Shores Local Government Neighborhood Improvement District, which is an increase of$16,000 over the budgeted FY 2024 property tax revenues of$316,000. Adoption of the FY 2025 millage rate of 0.7789 mills proposed for the Normandy Shores Local Government Neighborhood Improvement District, therefore, requires a majority approval (4 of 7 votes) by the Mayor and City Commission per the State of Florida's Truth-in-Millage (TRIM) requirements. By August 4, 2024, taxing authorities are required to certify the proposed millage rates to the Miami-Dade County Property Appraiser. The millage rates proposed will be included in the TRIM notices that will be mailed by the Property Appraiser by August 24, 2024. The purpose of the TRIM notice is to notify property owners of how much their property taxes could potentially increase or decrease, and which governmental entity is responsible for the taxes levied. After setting the proposed millage rate for FY 2025, the Mayor and City Commission, acting in its capacity as the Board of Directors of the Normandy Shores Local Government Neighborhood Page 1379 of 1750 FY 2025 Normandy Shores Proposed Millage Rate July 24, 2024 Page 5 of 6 Improvement District, may, at any time prior to final adoption, lower the proposed millage rate throughout the remainder of the budget development process until the final millage rate is adopted by the Mayor and City Commission at the second public hearing scheduled to be held on Wednesday, September 25, 2024, at 5:02 p.m. First Public Hearing The first public hearing on the Normandy Shores Local Government Neighborhood Improvement District operating millage rate and budget proposed for FY 2025 must be held no later than 80 days, or earlier than 65 days, from the start of the TRIM calendar (July 1st). Other requirements are: 1. The public hearing cannot be scheduled on a Sunday or on those days utilized by Miami- Dade County or the Miami-Dade County School Board for their public hearings 2. The public hearing must be held after 5:00 P.M., if on a day other than Saturday 3. The public hearing must be held immediately following discussion and adoption on the tentative millage and budget of its principal taxing authority, the City of Miami Beach Based on these requirements, the first public hearing must be held between September 3, 2024 and September 18, 2024. The following dates are unavailable for the following reasons: September 5th Miami-Dade County 1st Public Hearing September 8th and 15th Sundays September 11th Miami-Dade County School Board 2nd Public Hearing Of the remaining days available, it is recommended that the first public hearing be held on Monday, September 16, 2024, at 5:02 P.M., in the City Commission Chambers at 1700 Convention Center Drive, 3rd Floor, Miami Beach, Florida 33139. Second Public Hearing The second public hearing to adopt the final FY 2025 operating millage rate and budget for the Normandy Shores Local Government Neighborhood Improvement District must be held no later than 100 days, or earlier than 97 days, from the start of the TRIM calendar(July 1st). In addition, it must be advertised no later than 15 days after the first public hearing and must be held two (2) to five (5)days after the advertisement appears in the newspaper. For this reason,the second public hearing is recommended to be held on Wednesday, September 25, 2024, at 5:02 p.m., in the City Commission Chambers at 1700 Convention Center Drive, 3rd Floor, Miami Beach, Florida 33139. CONCLUSION The Administration recommends that the Mayor and City Commission, acting in its capacity as the Board of Directors of the Normandy Shores Local Government Neighborhood Improvement District, adopt the attached Resolution authorizing the City Manager to transmit the proposed operating millage rate, the calculated "rolled-back"rate, and the date, time, and place of the first public hearing to consider the proposed millage rate and budget for FY 2025 for the Normandy Shores Local Government Neighborhood Improvement District to the Miami-Dade County Property Appraiser. Page 1380 of 1750 FY 2025 Normandy Shores Proposed Millage Rate July 24, 2024 Page 6 of 6 RW/JDG/TOS/RA Page 1381 of 1750