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BIE - Stop the Pause (8/21/2024)MIAMI BEACH City of Miami Beach,1700 Convention Center Drive,Miami Beach,Florida 33139,www.miamibeachtl.gov TO:Mayor Steven Meiner and Members of the City Commission FROM:Eric Carpenter,City Manager CZ,~~~ MEETING DATE:September 11,2024 SUBJECT:BUSINESS IMPACT ESTIMATE FOR: AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH,FLORIDA,AMENDING CHAPTER 2 OF THE CODE OF THE CITY OF MIAMI BEACH,ENTITLED "ADMINISTRATION,"BY AMENDING ARTICLE II,ENTITLED "CITY COMMISSION,"AND CREATING SECTION 2-18 ENTITLED "STOP THE PAUSE POLICY"TO ESTABLISH MINIMUM VOTING THRESHOLDS RELATING TO CRITICAL INFRASTRUCTURE PROJECTS HAVING AN ESTIMATED CONSTRUCTION COST ABOVE A STATED THRESHOLD;AND PROVIDING FOR REPEALER,SEVERABILITY, CODIFICATION,AND AN EFFECTIVE DATE. Is a Business Impact Estimate Required? 0 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. D 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 D 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 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. Business Impact Estimate Page 2 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.The City of Miami Beach estimates that the proposed Ordinance will have no direct economic impact on private,for-profit businesses in the City of Miami Beach,that the proposed Ordinance will have no direct compliance costs that businesses may reasonably incur;that the proposed Ordinance will not impose any new charge or fee for which businesses will be financially responsible,and that the proposed Ordinance will not impact the City of Miami Beach's regulatory costs and will not generate any revenue from new charges or fees. 3.Good faith estimate of the number of businesses likely to be impacted by the proposed Ordinance: The City of Miami Beach estimates that no businesses are likely to be impacted by the proposed Ordinance. 14.Additional comments:None. Ordinances -RS AJ MIAMI BEACH COMMISSION MEMORANDUM TO:Honorable Mayor and Members of the City Commission FROM:Commissioner Alex Fernandez DATE: TITLE: July 24,2024 First Reading AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH,FLORIDA,AMENDING CHAPTER 2 OF THE CODE OF THE CITY OF MIAMI BEACH,ENTITLED "ADMINISTRATION,"BY AMENDING ARTICLE II, ENTITLED "CITY COMMISSION,"AND CREATING SECTION 2-18 ENTITLED "STOP THE PAUSE POLICY"TO ESTABLISH MINIMUM VOTING THRESHOLDS RELATING TO CRITICAL INFRASTRUCTURE PROJECTS HAVING AN ESTIMATED CONSTRUCTION COST ABOVE A STATED THRESHOLD;AND PROVIDING FOR REPEALER,SEVERABILITY,CODIFICATION,AND AN EFFECTIVE DATE. RECOMMENDATION BACKGROUND/HISTORY ANALYSIS At the request of the Commissioner Alex J.Fernandez,the proposed Ordinance is presented to the Mayor and City Commission for consideration. The City of Miami Beach recognizes the importance of critical infrastructure projects that are essential to the health,safety,and well-being of its residents,commuters,and visitors. As recognized by the Mayor and City Commission in Resolution No.2024-33144 and by the Office of the Inspector General in OIG Opinion Nos.24-05 and 24-12,it is in the best interest of the City to ensure that such critical infrastructure projects proceed without unnecessary interruptions or modifications once they have reached advanced stages of design or are shovel-ready. The proposed Ordinance would codify more stringent voting thresholds necessary to take any action that would have the effect of pausing,delaying,stopping or materially modifying critical infrastructure projects at advanced stages to ensure continuity and completion,while allowing for exceptions in the case of unforeseen site conditions that materially impact the cost of the project, funding limitations,and/or funding emergencies,and provided,the Ordinance would not in any way limit the Commission's ability to accept the recommendation of the City Manager to reject all bids,to take any action the Commission deems necessary to protect the City's rights under a contract with a design consultant or contractor.In addition,the Ordinance contemplates that the approval of (a)material changes to increase the scope of a critical infrastructure project having an estimated construction cost of $1,000,000 or more or (b)to approve an increase to the contract price relating to such a critical infrastructure project shall continue to require only a simple majority (i.e.417th)vote of the City Commission. The proposed Ordinance also clarifies its scope by defining "critical infrastructure projects"as only the following: (i)Projects relating to fire flow,stormwater systems,potable water,and sanitary sewer projects deemed by the city manager to be critical due to risk of failure; (ii)Utility projects to replace and/or upgrade systems that are at or near capacity;and (iii)Neighborhood Improvement Projects ("NIPs")that have been approved by the city commission,that may include resiliency-related improvements such as road raising and harmonization. FISCAL IMPACT STATEMENT NIA Does this Ordinance require a Business Impact Estimate?Yes (FOR ORDINANCES ONLY) If applicable,the Business Impact Estimate (BIE)was published on . See BIE at:https://www.miamibeachfl.gov/city-hall/city-clerk/meeting-notices/ FINANCIAL INFORMATION CONCLUSION Applicable Area Citywide Is this a "Residents Right to Know"item, pursuant to City Code Section 2-17? Yes Is this item related to a G.O.Bond Project? 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 City Attorney Sponsor(s) Commissioner Alex Fernandez Co-sponsor(s) Condensed Title 1°Rdg,Ch.2,Stop the Pause Policy.(Fernandez)CA ORDINANCE NO._ AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH,FLORIDA,AMENDING CHAPTER 2 OF THE CODE OF THE CITY OF MIAMI BEACH,ENTITLED "ADMINISTRATION,"BY AMENDING ARTICLE II,ENTITLED "CITY COMMISSION,"AND CREATING SECTION 2-18 ENTITLED "STOP THE PAUSE POLICY"TO ESTABLISH MINIMUM VOTING THRESHOLDS RELATING TO CRITICAL INFRASTRUCTURE PROJECTS HAVING AN ESTIMATED CONSTRUCTION COST ABOVE A STATED THRESHOLD;AND PROVIDING FOR REPEALER, SEVERABILITY,CODIFICATION,AND AN EFFECTIVE DATE. WHEREAS,the City of Miami Beach recognizes the importance of critical infrastructure projects that are essential to the health,safety,and well-being of its residents,commuters,and visitors;and WHEREAS,such critical infrastructure projects,which for purposes of this Section,shall be defined to include: •Projects relating to fire flow,stormwater systems,potable water,and sanitary sewer projects deemed critical due to risk of failure. •Utility projects to replace and/or upgrade systems that are at or near capacity. •Neighborhood Improvement Projects (NIPs)that have been approved by the city commission,that may include resiliency-related improvements such as road raising and harmonization;and WHEREAS,it is in the best interest of the City to ensure that such critical infrastructure projects proceed without unnecessary interruptions or modifications once they have reached advanced stages of design or are shovel-ready;and WHEREAS,the City Commission believes it is prudent to establish a higher threshold of approval to pause,delay,stop,or materially modify critical infrastructure projects at advanced stages to ensure continuity and completion,while allowing for exceptions in the case of unforeseen site conditions that materially impact the cost of the project,funding limitations,and/or funding emergencies,and provided,this policy shall not in any way limit the Commission's ability to accept the recommendation of the City Manager to reject all bids or to take any action the Commission deems necessary to protect the City's rights under a contract with a design consultant or contractor;and WHEREAS,establishing such higher thresholds of approval to pause,delay,stop or materially modify projects will also result in substantial cost savings to taxpayers. NOW,THEREFORE,BE IT ORDAINED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH,FLORIDA,AS FOLLOWS: SECTION 1.Article II of Chapter 2 of the Code of the City Miami Beach is hereby amended to create Section 2-18 as follows: CHAPTER 2 ADMINISTRATION ARTICLE II.CITY COMMISSION Sec.2-18.Stop the Pause Policy. (1 Definitions. For purposes of this section only: # l t * (a)critical infrastructure projects shall be defined to include. (i)Projects relating to fire flow,stormwater systems,potable water,and sanitary sewer projects deemed by the city manager to be critical due to risk of failure; (ii)Utility projects to replace and/or upgrade systems that are at or near capacity; and (iii)Neighborhood Improvement Projects ("NIPs")that have been approved by the city commission,that may include resiliency-related improvements such as road raising and harmonization. (2)Voting Requirements to Pause,Delay,Stop or Materially Modify Critical Infrastructure Projects. (a)A 517th vote of the City Commission shall be required before the City Commission may take any action that has the effect of pausing.delaying.stopping or materially modifying a critical infrastructure project (as defined herein)haying an estimated construction cost of $1,QQQ,QQQ or more that is at least at 60%design. (b)A 617th vote of the City Commission shall be required before the City Commission may take any action that has the effect of pausing,delaying.stopping or materially modifying a critical infrastructure project having an estimated construction cost of $1,000,000 or more that has obtained all permits and is shovel-ready. (c)_Notwithstanding the requirements of subsections (a)and (b)only a 4 7 vote shall_be required for the Commission to take any action that has the effect of pausing,delaying,stopping or materially modifying a critical infrastructure project having an estimated construction cost of $1,000,000 or more in the event of (il unforeseen site conditions that materially impact the cost of construction,(ii)funding limitations,and/or (iii)funding emergencies.and provided,the provisions of this section shall_not in any way limit the Commission's ability,on_a4/7 vote_to accept the recommendation of the City Manager to reject all bids or to take any action the Commission deems necessary to protect the City's rights under a contract with a design consultant or contractor. (g]Notwithstanding anything_to the contrary_n this section,_with regard to crtical infrastructure projects haying an estmated construction cost of1,QQ QQQ gr_more,the approval gf [iymateray changes to increase the scope of any such critical infrastructure project or _[ii]an increase to the contract price for any such project shall continue to require a simple majority (i.e. 417th)vote of the commission. 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. lt 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 Code of the City of Miami Beach.Florida.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 approprate word SECTION 5.EFFECTIVE DATE. Thus Ordinance shall take effect on the day of,2024 PASSED AND ADOPTED thus day of 2024 ATT EST: Steven Meiner.Mayor Rafael E.Granado.City Clerk (Sponsored by Commissioner Alex J Fernandez) Underline denotes additions Strike through denotes deletions A P P R O V ED A S T O FO R M &LA N G UAG E &FOR EXECUTION City Automey J,lo24 Date