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Ordinance 2025-4694 Hotel Approval Process (As Adopted at Second Reading) ORDINANCE NO. 2025-4694 AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AMENDING THE MIAMI BEACH RESILIENCY CODE, BY AMENDING CHAPTER 2, ENTITLED "ADMINISTRATION AND REVIEW PROCEDURES," ARTICLE VII, ENTITLED "COMMISSION WARRANT," TO CREATE SECTION 2.7.2, ENTITLED "HOTEL APPROVAL PROCEDURE," TO REQUIRE THE APPROVAL OF A WARRANT BY THE CITY COMMISSION PRIOR TO THE REVIEW OF A LAND USE BOARD APPLICATION OR BUILDING PERMIT FOR A HOTEL, SUITE HOTEL, APARTMENT HOTEL, OR HOSTEL, SUBJECT TO EXCEPTIONS, AND ESTABLISH PROCEDURAL REQUIREMENTS AND REVIEW CRITERIA; AND PROVIDING FOR CODIFICATION, REPEALER, SEVERABILITY, AND AN EFFECTIVE DATE. WHEREAS, hotels are permitted in a number of zoning districts throughout the City; and WHEREAS, if not appropriately regulated, hotel development has the potential to adversely impact the availability of existing affordable and workforce housing, city infrastructure, and the quality of life of nearby residents; and WHEREAS, the City of Miami Beach ("City")recognizes that more thorough review of new hotel projects is necessary to mitigate these potential adverse impacts; and WHEREAS,on September 5, 2024, the Land Use and Sustainability Committee discussed this proposal and issued a favorable recommendation; and WHEREAS, the City has the authority to enact laws which promote the public health, safety, general welfare, and morals of its citizens; 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 2, entitled "Administration and Review Procedures," Article VII, entitled "Commission Warrant", is hereby amended as follows: CHAPTER 2. ADMINISTRATION AND REVIEW PROCEDURES ARTICLE VII. Commission Warrant 2.7.2 HOTEL APPROVAL PROCEDURE. In zoning districts or overlay districts where hotels suite hotels apartment hotels or hostels are permitted and in accordance with all applicable regulations set forth in such zoning district or overlay district the City Commission shall first be required to approve a warrant for a hotel, suite hotel apartment hotel or hostel use subject to the following requirements. a. Applicability. Approval of a warrant from the City Commission shall be required prior to the review of any Land Use Board application or the approval of any building permit for a hotel, suite hotel apartment hotel or hostel (hereinafter, "hotel") that includes new construction and/or the conversion to transient hotel use of existing floor area that is associated with non-transient use. b. Exemptions Notwithstanding Section 7.7.2(a) in a zoning district or overlay district where hotel use is permitted review under this section shall not be required if the hotel is proposed to be located on an oceanfront property. c. Voting requirement notice and procedure. The warrant may be approved by resolution of the City Commission and an affirmative vote of five-sevenths of all members of the Citv Commission shall be required in order to approve the resolution. The City Commission shall be required to hold a quasi-judicial Public hearing subject to the requirements in Section 2.2.4 of the Resiliency Code and Chapter 2 Article VIII of the City Code. The public hearing by the City Commission shall be (i) held prior to the acceptance of an application to the Planning Board Design Review Board or Historic Preservation Board as applicable and (ii) noticed in accordance with the notice requirements for land development applications before the Planning Board Design Review Board or Historic Preservation Board. d. Review criteria In reviewing an application for a warrant the City Commission's decision shall be based upon the following review criteria except as otherwise provided: 1. Whether the proposed hotel use is consistent and compatible with the comprehensive plan and any applicable neighborhood or redevelopment Pans, 2. Whether the hotel will negatively affect the availability of existing affordable and work force housing This criteria shall be considered for tracking purposes and to inform future policy discussions of the City Commission but may not serve as a basis for the approval or denial of a warrant application. 3. Whether the proximity of the proposed hotel to residential uses will create adverse impacts (including noise traffic queuing and deliveries) and how such impacts will be mitigated. 4. Whether adequate off-street parking and loading spaces will be provided. 5. The impact of the employees of the hotel development on the demand in the city for housing public transit childcare and other social services, taking into consideration the impact of the part-time or seasonal nature of work at the hotel and the hotel employees' classifications. 6. The impact of the hotel on existing infrastructure based on its operational plan including the number of employees, number of guests, and proposed accessory uses. 7. Whether the applicant will take measures to employ residents of neighborhoods adioining the hotel development project in order to minimize increased demand for regional transportation and to reduce demand for vehicle trips and vehicle miles traveled. 8. Whether the applicant will take measures to encourage hotel workers and guests to use public transportation, micromobility, and other non-automotive means of transportation. 9. Whether the hotel development will support small businesses in the immediate vicinity and whether the applicant will adopt any measures to increase demand for local goods and services. e. Appeal. A decision to approve or deny a warrant by the City Commission shall be final and there shall be no further review thereof except by resort to a court of competent jurisdiction by petition for writ of certiorari. SECTION 2. REPEALER. All ordinances or parts of ordinances and all section and parts of sections in conflict herewith be and the same 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 maybe 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. APPLICABILITY, This Ordinance shall not apply to the following properties: a. Properties fronting Washington Avenue that have an active land use board application with a hearing file number and where a notice to proceed to public hearing has been issued by the City prior to July 1, 2024. b. Properties fronting the west side of Collins Avenue between 77 Street and 79 Street for which a property owner applied for a joint pre-application meeting with Transportation Staff and Planning Department Staff before November 26, 2024. c. Properties fronting the west side of Collins Avenue between 13th Street and 14th Street, with a contributing building with less than 50 residential units, if the contributing structure was originally constructed as a hotel and then later converted to residential apartments. SECTION 6. EFFECTIVE DATE, This Ordinance shall take effect ten days following adoption. PASSED AND ADOPTED this 3 day of Ftiru4'y 2025.// -IS Leven Meiner, Mayor ATTEST: Rafael E. Granado, City Clerk APPROVED AS TO FORM AND LANGUAGE AND FOR EXECUTION i zl /OlZ�zs- City Attorn �� Date First Reading: December 11, 2024 Second Reading: February 3, 202 Verified by: T mas Fr. Moon&fAICP _ Planning Director T:Wgenda\2025\01 Febanary 03,2025\Planning\Hotel Approval Process-Second Reading ORD,docx Ordinances -IRS H MIAMI BEACH COMMISSION MEMORANDUM TO: Honorable Mayor and Members of the City Commission FROM: Eric Carpenter, City Manager DATE: February 3, 2025 9:50 a.m. Second Reading Public Hearing TITLE: HOTEL APPROVAL PROCESS AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AMENDING THE MIAMI BEACH RESILIENCY CODE, BY AMENDING CHAPTER 2, ENTITLED "ADMINISTRATION AND REVIEW PROCEDURES," ARTICLE VII, ENTITLED "COMMISSION WARRANT," TO CREATE SECTION 2.7.2, ENTITLED "HOTEL APPROVAL PROCEDURE," TO REQUIRE THE APPROVAL OF A WARRANT BY THE CITY COMMISSION PRIOR TO THE REVIEW OF A LAND USE BOARD APPLICATION OR BUILDING PERMIT FOR A HOTEL, SUITE HOTEL, APARTMENT HOTEL, OR HOSTEL, SUBJECT TO EXCEPTIONS, AND ESTABLISH PROCEDURAL REQUIREMENTS AND REVIEW CRITERIA; AND PROVIDING FOR CODIFICATION, REPEALER, SEVERABILITY, AND AN EFFECTIVE DATE. RECOMMENDATION The Administration recommends that the Mayor and City Commission (City Commission) adopt the ordinance. BACKGROUNDIHISTORY On December 13, 2023, at the request of Commissioner Joseph Magazine,the City Commission referred a discussion regarding the hotel approval process, pursuant to item R9 G, to the Land Use and Sustainability Committee(LUSC). Commissioners Tanya K. Bhaft, Aex Fernandez and Kristen Rosen Gonzalez were co-sponsors of the item. On March 5, 2024, the LUSC combined and discussed the item with other hotel related items referred by the City Commission on December 13, 2023 (C4 0 and C4 S) and continued the discussion pertaining to the regulation of future hotels to May 1, 2024, with direction to the Administration to explore different options for City Commission approval of future hotels, where permitted.On May 1, 2024,the LUSC deferred the discussion pertaining to the regulation of future hotels to the June 10, 2024 meeting. On June 10, 2024, the LUSC discussed and continued the item to the July 9, 2024 LUSC meeting with direction to draft an ordinance in accordance with the following: 1. City Commission review should occur at the beginning of the approval process. 2. City Commission approval would apply to non-oceanfront and non-waterfront hotel projects, with option 2 in the LUSC memo used as a framework. 3. Commission review criteria should include impacts on residential uses. On July 9, 2024, the item was deferred to a future dale. On September 5, 2024, the LUSC recommended that the proposed draft ordinance be referred to the Planning Board. On October 30, 2024, at the request of Commissioner Joseph Magazine, the City Commission referred the subject ordinance to the Planning Board (item C4 J). Page 1090 of 1859 ANALYSIS Currently,any new hotel development consisting of ground up construction or additions to existing structures, requires the review and approval of the Design Review Board (DRB) or Historic Preservation Board (HPB). In those instances where a separate conditional use permit (CUP) may be required, Planning Board approval is also needed. The attached draft ordinance establishes a City Commission warrant process for future hotel approvals. The following is a summary of the proposal: • Approval from the City Commission would be required prior to the review of any Land Use Board application or the approval of any building permit for a hotel project. Hotel developments located on oceanfront properties are exempt and would not require a City Commission Warrant. • The warrant for hotel use, if applicable, would be granted by resolution of the City Commission, and an affirmative vote of five-sevenths of all members of the City Commission would be required. • The procedure for granting a warrant for a hotel would require a public hearing that must be noticed in accordance with the notice requirements of the applicable land use board. • Review criteria for the City Commission to consider in reviewing warrant applications for hotel uses has been established. • An applicability provision is included, which provides an exception for properties fronting Washington Avenue that have an active land use board application with a hearing file number and where a notice to proceed to public hearing has been issued by the City prior to July 1, 2024. The Administration has no objection to the proposal, as it is largely ministerial. However, the proposed warrant process would add another layer of review, as part of the overall development review process. PLANNING BOARD REVIEW On November 26, 2024, the Planning Board transmitted the proposed ordinance to the City Commission with a favorable recommendation (6-0). UPDATE The subject ordinance was approved at First Reading on December 11, 2024, with no changes. Additionally, the City Commission referred a separate, companion amendment to the Land Development Regulations of the City Code (LDRs),to the Planning Board, to identify each zoning district that the new warrant process will apply to. FISCAL IMPACT STATEMENT No Fiscal Impact Does this Ordinance require a Business Impact Estimate? Yes (FOR ORDINANCES ONLY) If applicable, the Business Impact Estimate(BIE)was published on: 1/612025 Page 1091 of 1859 See BIE at htips Owww miamibeachfl qo /city-hall/city-clerk/meeting-notices/ FINANCIAL INFORMATION Not Applicable CONCLUSION The Administration recommends that the City Commission adopt the ordinance. Applicable Area 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? Project? Yes No Was this Agenda Item initially requested by a lobbyist which as defined in Code Sec. 2481, includes a principal engaged in lobbying? No If so, specify the name of lobbyist(s) and principal(s). Department Planning Sponsor(s) Commissioner Joseph Magazine Co-sponsor(s) Condensed Title 9 50 a . 2nd Rdg PH. Hotel Approval Process. (Magazine) PL 5/7 Page 1092 of 1859