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BIE - Ocean Terrace MXE District Change to CD2 - FLUM Amendment (3/19/2025) 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: Eric Carpenter, City Manager MEETING DATE: April 23, 2025 SUBJECT: BUSINESS IMPACT ESTIMATE OCEAN TERRACE MXE ZONING DISTRICT CHANGE TO CD-2 – FLUM AMENDMENT AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AMENDING THE FUTURE LAND USE MAP OF THE COMPREHENSIVE PLAN BY CHANGING THE FUTURE LAND USE CATEGORY PURSUANT TO SECTION 2.4.1 OF THE MIAMI BEACH RESILIENCY CODE, AND PURSUANT TO SECTIONS 163.3181 AND SECTION 163.3187, FLORIDA STATUTES, FOR THE MXE (MIXED-USE ENTERTAINMENT) DISTRICT IN NORTH BEACH LOCATED ALONG OCEAN TERRACE BETWEEN 73RD AND 75TH STREETS, AND WHICH IS COMPRISED OF LESS THAN 10 ACRES, FROM THE CURRENT DESIGNATION OF MXE, “MIXED USE ENTERTAINMENT,” TO THE FUTURE LAND USE CATEGORY OF CD-2, “COMMERCIAL, MEDIUM INTENSITY”; AND PROVIDING FOR INCLUSION IN THE COMPREHENSIVE PLAN, TRANSMITTAL, REPEALER, SEVERABILITY, AND AN EFFECTIVE DATE. Is a Business Impact Estimate Required? X 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. Private applications for comprehensive plan amendments and land development regulation amendments; b. Development orders, development permits, and development agreements; Docusign Envelope ID: C40604E1-5E24-4D64-81E0-CDCCB723B7C3 Business Impact Estimate Page 2 c. Sections 190.005 and 190.046, Florida Statutes, regarding community development districts; d. Section 553.73, Florida Statutes, relating to the Florida Building Code; or e. Section 633.202, Florida Statutes, relating to the Florida Fire Prevention Code. If none of the above exceptions apply, this Business Impact Estimate is hereby provided in accordance with Section 166.041(4), Florida Statutes. 1. Summary 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, provided at First Reading and 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 does not apply to existing, legally established businesses. (b) Any new charge or fee imposed by the proposed Ordinance or for which businesses will be financially responsible; The proposed ordinance does not apply to existing, legally established businesses. (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 administration activities by applicable City departments. 3. Good faith estimate of the number of businesses likely to be impacted by the proposed Ordinance: The proposed ordinance does not apply to existing, legally established businesses. 4. Additional comments: Docusign Envelope ID: C40604E1-5E24-4D64-81E0-CDCCB723B7C3 Ordinances - R5 Y COMMISSION MEMORANDUM TO:Honorable Mayor and Members of the City Commission FROM:Eric Carpenter, City Manager DATE:February 26, 2025 5:01 p.m. First Reading Public Hearing** TITLE:OCEAN TERRACE MXE DISTRICT CHANGE TO CD-2 – FLUM AMENDMENT AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AMENDING THE FUTURE LAND USE MAP OF THE COMPREHENSIVE PLAN BY CHANGING THE FUTURE LAND USE CATEGORY PURSUANT TO SECTION 2.4.1 OF THE MIAMI BEACH RESILIENCY CODE, AND PURSUANT TO SECTIONS 163.3181 AND SECTION 163.3187, FLORIDA STATUTES, FOR THE MXE (MIXED-USE ENTERTAINMENT) DISTRICT IN NORTH BEACH LOCATED ALONG OCEAN TERRACE BETWEEN 73RD AND 75TH STREETS, AND WHICH IS COMPRISED OF LESS THAN 10 ACRES, FROM THE CURRENT DESIGNATION OF MXE, “MIXED USE ENTERTAINMENT,” TO THE FUTURE LAND USE CATEGORY OF CD-2, “COMMERCIAL, MEDIUM INTENSITY”; AND PROVIDING FOR INCLUSION IN THE COMPREHENSIVE PLAN, TRANSMITTAL, REPEALER, SEVERABILITY, AND AN EFFECTIVE DATE. RECOMMENDATION The Administration recommends that the Mayor and City Commission (City Commission) approve the subject ordinance at First Reading and schedule a Second Reading public hearing for April 23, 2025. BACKGROUND/HISTORY On May 15, 2024, at the request of Commissioner Tanya K. Bhatt, the City Commission referred a proposal to modify the zoning classification of the Ocean Terrace area (C4 AD) to the Land Use and Sustainability Committee (LUSC) and the Planning Board. On June 10, 2024 the item was deferred to the July 9, 2024 LUSC meeting with no discussion and on July 9, 2024, the item was deferred to the September 5, 2024 meeting, with no discussion. On September 5, 2024, the LUSC discussed the item and recommended that the Planning Board transmit the proposed ordinances to the City Commission with favorable recommendations. ANALYSIS The City’s zoning and future land use maps includes two Mixed-Use Entertainment (MXE) districts – one in South Beach, along Collins Avenue and Ocean Drive; and the other in North Beach, along Ocean Terrace. The MXE designation was created, in part, to incentivize redevelopment, especially for hotel and entertainment uses. The properties to the west of the North Beach MXE district are currently zoned CD-2 (commercial, medium intensity district). To ensure consistency and compatibility of future development, the attached ordinance proposes to change the future land use classification of this district in North Beach from MXE to CD-2. A separate, companion amendment will change the zoning classification from MXE to CD-2. For reference, maps illustrating the existing and proposed zoning and future land use designations are attached. Docusign Envelope ID: C40604E1-5E24-4D64-81E0-CDCCB723B7C3 4 4 1 5 This change will not result in more intense development than is currently permitted in the subject area. The redevelopment projects underway along Ocean Terrace would not be impacted by a re-zoning from MXE to CD-2. The existing Mixed Use Entertainment (MXE) future land use designation in the 2040 Comprehensive Plan provides for the following: POLICY RLU 1.1.13 MIXED USE ENTERTAINMENT (MXE) Purpose: To provide development opportunities for and to enhance the desirability and quality of existing and/or new mixed use areas which accommodate residential, hotel and commercial development. Uses which may be permitted: Apartments, apartment hotels, hotels and various types of commercial uses including, business and professional offices (but not medical or dental offices), retail sales and service establishments, and eating and drinking establishments.. Other uses which may be permitted are accessory uses specifically authorized in this land use category, as described in the Land Development Regulations, which are required to be subordinate to the main use; and conditional uses specifically authorized in this land use category, as described in the Land Development Regulations, which are required to go through a public hearing process as prescribed in the Land Development Regulations of the Code of the City of Miami Beach. Density Limits: 100 dwelling units per acre. Intensity Limits: a floor area ratio of 2.0 The proposed Medium Intensity Commercial Category (CD-2) future land use designation in the 2040 Comprehensive Plan provides for the following: POLICY RLU 1.1.9 MEDIUM INTENSITY COMMERCIAL (CD-2) Purpose: To provide development opportunities for and to enhance the desirability and quality of existing and/or new medium intensity commercial areas which serve the entire City. Uses which may be Permitted: Various types of commercial uses including business and professional offices, retail sales and service establishments, eating and drinking establishments; apartment residential uses; apartment hotels; and hotels. Other uses which may be permitted are accessory uses specifically authorized in this land use category, as described in the Land Development Regulations, which are required to be subordinate to the main use; and conditional uses specifically authorized in this land use category, as described in the Land Development Regulations, which are required to go through a public hearing process as prescribed in the Land Development Regulations of the Code of the City of Miami Beach. Density Limits: 100 dwelling units per acre. Intensity Limits: a floor area ratio of 1.5 for commercial; 2.0 for residential or mixed use; 3.25 in the Wolfsonian Arts District. COMPREHENSIVE PLAN AMENDMENT AND REVIEW PROCESS The total land area involved in this application is approximately 2.41 acres (105,000 SF), not including portions within a right-of-way. Under Section 163.3187 F.S., land use map amendments of less than 10 acres in size may be considered “small-scale” amendments, which require only Docusign Envelope ID: C40604E1-5E24-4D64-81E0-CDCCB723B7C3 4 4 1 5 one public hearing before the City Commission, which shall be an adoption hearing. Upon adoption, the local government shall send a copy of the adopted small-scale amendment to the State Land Planning Agency so that the Agency can maintain a complete and up-to-date copy of the City’s Comprehensive Plan. The proposed FLUM amendment is required to be processed concurrently with the companion Zoning Map amendment, as they are interrelated; however, separate motions must be made for each ordinance. PLANNING BOARD REVIEW On January 7, 2025, the Planning Board held a public hearing and transmitted the proposed ordinance to the City Commission with a favorable recommendation (7-0). APPLICATION FEE WAIVER The subject amendment is proposed on a comprehensive, citywide basis, and not on behalf of a private applicant or third party. Pursuant to section 2.4.1.c of the Land Development Regulations of the City Code, amendments to the City Code require the payment of the applicable fees in section 2.2.3.5, 2.2.3.6, and appendix A to the City Code. These fees may be waived by a five- sevenths (5/7ths) vote of the City Commission, based upon one or more of the following circumstances: 1. The City Commission determines that the proposed amendment is necessary due to a change in federal or state law, or to implement best practices in urban planning, or based on circumstances unique to the proposed amendment. 2. Upon the written recommendation of the City Manager acknowledging a documented financial hardship of a property owner(s) or developer(s). 3. If requested, in writing, by a non-profit organization, neighborhood association, or homeowner's association for property owned by any such organization or association, so long as the request demonstrates that a public purpose is achieved by enacting the applicable amendment. The Administration recommends that the City Commission waive the applicable fees based on circumstances unique to the proposed amendment. 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: See BIE at: https://www.miamibeachfl.gov/city-hall/city-clerk/meeting-notices/ FINANCIAL INFORMATION Not Applicable CONCLUSION The Administration recommends the following: 1. The City Commission approve the subject ordinance at First Reading and schedule a Second Docusign Envelope ID: C40604E1-5E24-4D64-81E0-CDCCB723B7C3 4 4 1 5 Reading public hearing for April 23, 2025. 2. In accordance with section 2.4.1.c.1 of the Land Development Regulations of the City Code, the City Commission waive the applicable fees based on circumstances unique to the proposed amendment. Applicable Area North Beach Is this a “Residents Right to Know” item, pursuant to City Code Section 2-17? Is this item related to a G.O. Bond Project? 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 Planning Sponsor(s) Commissioner Tanya K. Bhatt Co-sponsor(s) Condensed Title 5:01 p.m. 1st Rdg PH, Ocean Terrace MXE District Change to CD-2–FLUM Amendment. (Bhatt) PL Previous Action (For City Clerk Use Only) Docusign Envelope ID: C40604E1-5E24-4D64-81E0-CDCCB723B7C3 Docusign Envelope ID: C40604E1-5E24-4D64-81E0-CDCCB723B7C3 Docusign Envelope ID: C40604E1-5E24-4D64-81E0-CDCCB723B7C3 Docusign Envelope ID: C40604E1-5E24-4D64-81E0-CDCCB723B7C3 Docusign Envelope ID: C40604E1-5E24-4D64-81E0-CDCCB723B7C3