R7A2-Adopt Tentative Budgets-General GO Debt RDA Enterprise-Internal ServiceCOMMISSION ITEM SUMMARY
Condensed Title:
A resolution of the Mayor and City Commission of the City Of Miami Beach, Florida, adopting tentative
budgets for the General, G.O. Debt Service, RDA Ad Valorem Taxes, Enterprise, and Internal Service
Funds for Fiscal Year 2012/13 subject to a second public hearing scheduled on Thursday, September 27,
2012 at 5:01 P.M.
Key Intended Outcome Supported:
Minimize taxes; Control Costs of payroll including salary and fringes; Ensure expenditure trends are
sustainable over the long term; Improve the City's overall financial health and maintain overall bond rating;
Increase community satisfaction with city services
Supporting Data (Surveys, Environmental Scan, etc.): The 2012 results continue to show the
community has a very favorable view of the City as an 'excellent' or 'good' place to live and 89% reported
their overall quality of life within the City as either 'excellent' or 'good' and 80% reported their standard of
living as good and improving compared to 53% in 2009. The City remained stable in most of the areas
measured. Residential respondents provided the highest positive ratings for the appearance and
maintenance of the city's public buildings and public schools, and the appearance of playgrounds and
recreational programs. In addition, residents continue to provide positive ratings for areas such as safety
during the day/evening and services from Fire, EMS and Ocean Rescue/Beach Patrol. Businesses
continue to rate the City of Miami Beach as 'one of the best' or an 'above average place' to run a business.
Improvement was seen in rating the City of Miami Beach as a place to run a business compared to past
years with over 80% indicating business was improving compared to 49% in 2009. Business ratings
showed the highest positive ratings for the overall quality of the beaches, the maintenance of parks, the
appearance and maintenance of the city's public buildings, and landscape maintenance in rights of way
and public places. Also, the majority of the businesses reported being 'very satisfied' or 'somewhat
satisfied' with the City's website overall.
The survey also identified areas where the City could improve. Foremost among these were storm
drainage, traffic, homelessness, parking, and management of special events, are areas that received
comparatively low ratings in the residential survey. Business owners rated storm drainage, public
transportation, parking, experience with the building department, and traffic low comparatively low.
Issue:
Shall the Mayor and City Commission adopt the attached resolution establishing the tentative budgets
above and settin the date for the second ublic hearin ?
Item Summary/Recommendation:
Advisory Board Recommendation:
Financial Information:
Source of Amount Account
Funds: 1 $256,975,000 General Fund Operating
D 2 $ 5,928,000 G.O. Debt Service
3 $ 17,385,000 RDA Funds-Ad Valorem Taxes
4 $161,088,000 Enterprise Funds
Total $441 ,376,000 *Net of Internal Service Funds
OBPI $ 59,328,000 Internal Service Funds
Financial Impact Summary: This budget represents more than $70 million in predominantly recurring
reductions over the last 6 years, and the General Fund Operating budget is $12.6 million (8 percent) more
than in FY 2006/07, in spite of 15 percent growth in the Consumer Price Index (CPI) in a similar period,
and a over 86 percent growth in pension costs, and many new facilities and projects coming on line.
City Clerk's Office Legislative Tracking:
s· Off s: lgn-
Department Director Assistant City Manager
MIAMI BEACH
41
Cit~nager
~
AGENDA ITEM
DATE
R7A2
1-·12~{2-.
MIAMI BEACH
City of Miami Beach, 1700 Convention Center Drive, Miami Beach, Florida 33139, www.miamibeachfl.gov
COMMISSION MEMORANDUM
TO:
FROM:
DATE:
Mayor Matti Herrera Bower and Members of the Citi Co/ission
Kathie G. Brooks, Interim City Manager~ A A ,
September 12, 2013
SUBJECT: A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE
CITY OF MIAMI BEACH, FLORIDA, ADOPTING TENTATIVE
BUDGETS FOR THE GENERAL, G.O. DEBT SERVICE, RDA AD
VALOREM TAXES, ENTERPRISE, AND INTERNAL SERVICE FUNDS
FOR FISCAL YEAR 2012/13 SUBJECT TO A SECOND PUBLIC
HEARING SCHEDULED ON THURSDAY, SEPTEMBER 27, 2012 AT
5:01P.M.
ADMINISTRATION RECOMMENDATION
The Administration recommends that the City Commission adopt the attached Resolution
which establishes tentative budgets for the General, G.O. Debt Service, RDA Ad Valorem
Taxes, Enterprise, and Internal Service Funds for Fiscal Year (FY) 2012/13.
PROCEDURE
As outlined in the companion General Operating Millage Agenda Item, Section 200.065,
Florida Statutes specifies the manner in which budgets are adopted. First, the tentative
millage rate for both the general operating and debt service is adopted, then immediately
thereafter, tentative budgets by fund are adopted. The attached Resolution adopting
tentative budgets for the General, G.O. Debt Service, RDA Ad Valorem Taxes, Enterprise,
and Internal Service Funds for FY 2012/13 is therefore presented to you at this time for
adoption.
Additional details are contained in my Budget Message which is attached, however,
highlights of that document are outlined below.
BACKGROUND
Over the last several years, the City of Miami Beach has adopted budgets that provided tax
and fee relief while at the same time providing improved services that address needs and
priorities identified by the community (primarily in public safety, cleanliness, landscaping and
beautification, recreation and cultural arts programming, renewal and replacement funding
for our facilities, and building/development functions); and providing structural changes that
enhanced capital funding and reserves. Exhibits A through F attached to my budget
message provide details of the efficiencies/reorganizations, service reductions, revenue
42
Adopting Tentative Budgets
September 12, 2012
Page 2
enhancements, and service enhancements considered as part of the development of the
proposed FY 2012/13 Work Plan and Budget. As a result of these initiatives, the proposed
budget continues our focus on providing "value of services for tax dollars paid" by continuing
to provide services to the community free of charge or at significantly reduced fees, including
free performance arts and movies in the parks, free access to pools and youth centers,
reduced fee recreation programming, enhanced maintenance of our newly renovated
facilities, etc. -the services that our residents and businesses told us yet again are
important to them during the 2012 Community Satisfaction Survey.
Between FY 2007/08 and FY 2011/12, the General Fund absorbed more than $41 million in
reductions (almost 17 percent of the $244 million FY 2011/12 General Fund budget) and
reductions of approximately $49 million and 269 positions across all funds. Combined with
more than $20 million in employee "give-backs" between FY 2009/10 and FY 2011/12, this
represents almost $69 million in combined "givebacks" and reductions over 5 years. The FY
2012113 budget adds $1 million in efficiencvreductions and anticipates $2.6 million in
additional employee givebacks in the General Fund.
FY 2012/13 Budget Development Process
As in past years, the Proposed Work Plan and Budget was developed through an intensive
review process with our City Commission. Preliminary budget information was provided to
the Commission at a Commission of the Whole meeting on July 6, 2012 where budget
strategies and priorities were established. Additional budget briefings were held with the
Finance and Citywide Projects Committee on July 9, July 10, July 25, and August 22,
including a discussion of capital project priorities, projected General Fund revenues and
expenditures, proposed efficiencies, impacts of service level alternatives, potential revenue
enhancements, and potential service enhancements.
At the time of adoption of the preliminary millage in July, it was estimated that the City had a
gap of $4.4 million, an improved position from the estimated gap of $5.4 million at the same
time in the development of the FY 2011/12 budget. Between setting the preliminary millage
in July and finalizing the Proposed Work Plan and Budget, as we committed to do, we
refined our projections. Our revenues, in particular, tend to have greater fluctuations than
expenditures, and we were conservative early in the process and refined these projections
over the summer. Changes since July include increased revenue estimates (primarily
building development process fees, and rents and leases, offset by decreased interest
earnings). As a result. the projected Current Service Level (CSL) gap was reduced to $3.3
million as discussed at the August 22 . 2012 meeting.
At the August 22 FCWPC meeting, an approach to balance the General Fund budget was
discussed. This approach included $2.6 million in employee givebacks; $932,000 in
efficiencies; bringing in an additional $4 million in Resort Tax revenues to the General Fund
to offset tourism-eligible expenditures, and modest increases in revenues. These were
offset by $2.1 million in additions for living wage, operating costs associated with bringing
capital projects on line, and various service enhancements -the majority of which was
related to Police service enhancements and Building service enhancements (due to
increased demand); and a transfer of $1.4 million to fund capital projects.
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Adopting Tentative Budgets
September 12, 2012
Page3
Changes After the Finance and Citywide Projects Budget Briefings
Since the August 22, 2012 meeting with the Finance and Citywide committee, the Proposed
Operating budget has continued to be refined. The following are the significant changes that
have been incorporated:
• Based on the final valuation for the Fire and Police pension, the City's annual
contribution for FY 2012/13 has been reduced by approximately $400,000 compared to
the preliminary estimate; resulting in a reduction of the pension allocation to Fire and
Police. As a result, the recommended level of employee givebacks, which has been
driven by increases in health and pension costs, is proposed to be similarly reduced from
$3 million to $2.6 million in the General Fund.
• Based on further discussions with the Finance Department regarding the accounting
treatment of the $2.5 million pension credit received in both plans in FY 2011/12, the
method of application of the credit to help offset pension increases has been changed.
Rather than applying the credit against expenditures in FY 2012/13, as had been
presented to the Committee of the Whole and to the FCWPC, the credit from FY2011/12
will be carried forward as revenues from FY 2011/12 to FY 2012/13, and the full pension
contribution will be reflected in expenditures for FY 2012/13. The net impact on
available funds, however, remains the same.
• Two positions which had been recommended for conversion from classified positions
(data entry clerk and administrative aide) to unclassified positions have been removed
from the proposed list of reductions as it was determined that the significant portion of
the savings was due solely to the turnover in each of the positions.
• General Fund operating costs have been reduced, offset by increases in the capital and
debt category, to reflect the savings anticipated from the initiatives implemented by
Amaresco, in which energy and operating cost savings are anticipated to be offset by
increased debt service issued to fund the cost of the initiatives.
Through these refinements and changes, the gap between General Fund CSL expenditures
and CSL revenues was reduced to $2.9 million, with revenues of $252.7 million and
expenditures of $255.6 million.
APPROACHES TO BALANCE
Based on direction provided by the Finance and Citywide Projects Committee meetings in
July and August 2012, the approximately $2.9 million shortfall between Current Service
Level revenues and expenditures has been almost fully addressed through employee
givebacks of $2.6 million, which partially offsets the additional employee health and pension
cost..
In addition, the total cost of additions and service enhancements in the General Fund ($3.7
million) has been more than offset by almost $1 million in efficiencies, an increase in the
resort tax transfer to the General Fund by $4 million for tourism eligible expenditures, and
small revenue enhancements, resulting in a surplus of $1.1 million which is recommended
for set aside for the FY 2013/14 budget. The resulting total Proposed General Fund
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Adopting Tentative Budgets
September 12, 2012
Page4
Operating Budget for FY 2012/13 is$ $256,975,000, which is $12.6 million or 5 percent
more than the FY 2012/12 Adopted Budget of $244,336,7 40. The $12.6 million is primarily
personnel cost increases (although offset by employee givebacks), increased internal
services charges backs including Police liability claims and increases in debt service for
replacement of vehicles and equipment, as well as proposed service enhancements.
The FY 2012/13 proposed General Fund Budget is about $20 million (8 percent) more than
the FY 2006/07 budget, despite pension contribution increases of $29 million during the
same period. Inflation from October, 2006 through June, 2012, a similar period, was
approximately 15 percent. This reflects a decrease across all other expenditures during that
time, and even offsetting increases in health and salaries, a growing concern to us, as there
is and should be a limit to the proportion of budget allocated to these costs. At this point,
annual contributions to the City's two pension plans alone represent more than $52 million
(20 percent) of the total General Fund budget. As a result, pension reform continues to be a
high priority for the City, with recommendations from the Budget Advisory Committee
presented to the Commission on August 29, 2012. This timing allows pension reform to be
incorporated into the current set of contract negotiations.
The Current Service Level expenditures reflect no additional transfers to the 11 percent
Emergency Reserve or towards the City's additional 6 percent contingency goal. Reserve
levels as of Se[tember 30, 2011 were $40.5 million, providing the required funding for the
City's 11 percent reserve at $27.7 million and $12.8 million (5.1 percent) towards the City's 6
percent contingency goal. The City's 11 percent reserve is projected to be fully funded in FY
2011/12 from reserve levels as of September 30, 2010 at $26.7 million, in addition to funding
$11.9 million or 4.9 percent towards the additional 6 percent contingency goal, for a total
fund balance reserve of almost $38.6 million, if there are no additional changes in fund
balance, and no additional transfers made.
In addition to reductions and employee givebacks, the FY 2012/13 General Fund Operating
Budget also reflects greater diversification of revenues since FY 2006/07. The Proposed
Work Plan and Budget includes resort taxes and a transfer of Parking Operations Fund
year-end surplus as well as Parking Operations Fund reimbursements and right-of-way fees
paid to the General Fund that total almost $37 million; approximately 15 percent of the
Proposed General Fund FY 2012/13 Budget. In large part due to these alternative sources,
property tax revenues represent less than half ( 45 percent) of the total funding for the
General Fund budget, as compared to 59 percent in FY 2006/07, a significant reduction
over the past several years.
Historically, the General Fund budget has increased between 6% and 8% annually, primarily
due to increases in salary and benefit costs. In FY 2012/13, the $12.6 million (5.2%)
increase in expenditures includes a $1.1 million reserve recommended to be set aside for
FY 2013/14, to help offset the loss of the carry forward of the FY 2012/13 one-time pension
credit of $2.5 million. Net of this reserve, the increase is $11.5 million (4.7%). It is important
to note that operating costs are approximately$1. 7 million less than the FY2011112 budget.
reflecting the continuation of various cost savings initiatives by the City such as re-bidding
contracts. and careful review of department line item expenditures.
Together, salaries and fringe represent 73 percent of CSL costs, with salaries and pension
representing approximately 67 percent of the total current service level (CSL) budget of
$255.5 million, (including the impacts of merit/steps increases, pension contributions, etc.)
45
Adopting Tentative Budgets
September 12, 2012
Page 5
Use of One-Time Revenues
The City's policy regarding use of one-time revenues states that "The City of Miami Beach
will use onetime, non-recurring revenue for capital expenditures or one time expenditures
and not subsidize recurring personnel, operations, and maintenance cost".
Similar to the FY 2010/11 and FY 2011/12 budgets, FY 2012/13 General Fund revenues
reflect the use of $3.4 million in prior year surplus (revenues in excess of expenditures)
specifically set aside for this purpose Building Department reserves of $1.5 million are also
included. As noted above, the carry-forward of the savings from the $2.2 million allocation of
the one-time pension credit to the General Fund is also reflected as a one-time revenue for
FY 2012/13. In total, the General Fund Operating Budget reflects a total of $7.1 million in
one-time revenues, offset by $1.4 million proposed transfer to capital.
OTHER OPPORTUNITIES TO REDUCE THE FY 2012/13 GENERAL FUND BUDGET
There has been discussion of additional reductions in millage rate. It is important to note
that the recommendations regarding the City's operating millage was made after a careful
review of expenditures.
The $1.1 million is the net surplus available after the recommended employee givebacks,
efficiencies, additions and enhancements, and revenue increased incorporated into the FY
2012/13 General Fund proposed operating budget. The equivalent millage for $1.1 million is
0.0585 which could be reduced for FY 2012/13. However given the loss on the one time
pension credit carried forward from FY 2011/12 to FY 2012/13, it is recommended that the
surplus be set aside to help offset this loss in FY 2013/14.
In addition, the millage could be significantly further reduced in lieu of providing $3.5 million
in General Fund enhancements. This is equivalent to a reduction of 0.1865 mills. However,
I believe it will provide greater value to our community to provide a return for the increased
values by increasing our service levels. These enhancements include:
• Increasing Building Department staff to prevent deterioration in services in response
to increase demand
• Enhancements to Police services, including 6 police officers for additional Patrol
along Washington Avenue, 4 police officers for a crime suppression team, 2 officers
for along the beaches in North Beach, additional overtime for homeless outreach
and additional staffing for our records unit and detention center
• Enhanced internal controls in Police Internal Affairs and though a regular outside
audit of high risk areas
• Additional staff to help manage leases and rental contract and monitor special
events and concessions; as well as providing for grants software and equipment
needs at the Colony Theatre
• $1.4 million provides a transfer for funding Pay-as-You Go funding for capital
projects.
46
Adopting Tentative Budgets
September 12, 2012
Page 6
VACANT POSITIONS
At the request of the Finance at Citywide Projects Committee on August 22, 2012,
Attachment 2 provides a listing of vacant positions distributed the Letter to the Commission
July 31, 2012. At that time, there were a total of 44 vacant positions in the General Fund,
with an annual value of $2.8 million. However, several of these vacant positions were
already identified for elimination as part of our $1 million in efficiencies reductions. Further
some critical positions have been hired in the interim, including the Urban Forrester, Police
positions, and School Crossing Guards. This leaves a balance of 30 positions on the list
with a value of $1.9 million. I consider the remaining positions to be critical to our ongoing
operations and would not recommend them for elimination.
PROPOSED FY 2012/13 ENTERPRISE FUND BUDGETS
Enterprise Funds are comprised of Sanitation, Water, Sewer, Stormwater, Parking, and
Convention Center Departments. The Proposed FY 2012/13 Enterprise Funds Budget is
$161.1 million .. This represents an increase of $4.4 million (2.8 percent) from the FY 2011/12
budget of $156.7 million, primarily due to:
• increases in salary, pension and health cost similar to those described in the General
Fund, although in the Sanitation Department Proposed Budget incorporated reduced
personnel costs and increased use of temporaries based on historical information ($2.1
million)
• Increases in Sewer treatment and DERM fees charged by Miami-Dade County ($4.6
million) -with associated increases sewer revenues collected by the City
• Increases in funding for future renewal and replacement projects and equipment which is
determined by prior year depreciation amounts ($2.2 million)
These increases area offset by decreases in debt service payments by the Stormwater Fund
($2 million)as the debt service for bonds sold in FY 2011/12 along with the associated
refinancing of existing bonds resulted in lower than budgeted debt service costs; reduced
operating costs in the Convention Center offset by reduced revenues due to an accounting
treatment change of electrical revenues ($1.2 million); reduced funding needed to be
transferred for the Stormwater Rate Stabilization Fund ($1 million); and other miscellaneous
reductions ($0.3 million).
PROPOSED FY 2012/131NTERNAL SERVICE FUND BUDGETS
Internal Service Funds are comprised of the Central Services, Fleet Management,
Information Technology, Risk Management and Property Management Divisions. The
Proposed FY 2012/13 Internal Service Fund budget is $59.3 million. This represents an
increase of $5.0 million (9.2 percent) from the FY 2011/12 budget of $54.3 million, primarily
due to increases in salary, pension and health cost similar to those described in the General
Fund as well as increases in Police liability claims ($0.75 million) and debt service for
replacement of vehicles and equipment ($1.1 million). These costs are completely allocated
to the General Fund and Enterprise Fund departments, and the Risk Management Fund
reimburses the General Fund for the cost of legal services.
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Adopting Tentative Budgets
September 12, 2012
Page 7
CONCLUSION
In summary, the FY 2011/12 General Fund Proposed Work Plan and Budget maintains
current service priorities for the community, despite property tax rates set at 1.2 mills (16
percent) lower than FY 2006/07 when property values were similar to the 2011 certified
values.
The Administration recommends adoption of the attached Resolution which establishes
tentative budgets for General, G.O. Debt Service, RDAAd Valorem Taxes, Enterprise, and
Internal Service Funds for FY 2011/12, subject to a second public hearing scheduled on
Thursday, September 27, 2012 at 5:01 P.M.
Attachment
48
City of Miami Beach, 1700 Convention Center Drive, Miami Beach, Florida 33139, www.miomibeochfl.gov
Kathie G. Brooks, Interim City Manager
Tel: 305-673-7010, Fox: 305-673-7782
September 12, 2012
Honorable Mayor Matti Herrera Bower and Members of the City Commission:
I am pleased to transmit the Proposed Work Plan and Operating Budget for Fiscal Year (FY)
2012/13, commencing on October 1, 2012 and ending on September 30, 2013 (Proposed Work
Plan and Budget), including the Proposed Work Plan, the Proposed Operating Budget, the
Proposed Capital Budget, and the associated Capital Improvement Program for FY 2013/14
through FY 2016/17. The total Proposed General Fund Operating Budget is $256,975,000,
which is $12.6 million or 5 percent more than the FY 2011/12 adopted budget of
$244,336,7 40.
Further, General Fund reserve levels as of September 30, 2011 for the 11 percent emergency
reserve and the 6 percent contingency goal were a total of $40.5 million. The General Fund 11
percent requirement for FY 2012/13 based on the proposed operating budget net of capital
transfers and reserves for FY 2013/14 is $27.7 million, resulting in $12.8 million (a 5.1 percent
additional contingency), if there are no additional changes in fund balance, and no additional
transfers made.
Budget Highlights
• The FY 2012/13 budget acids $1 million in reductions and $2.6 million in
employee givebacks to almost $69 million in reductions in predominantly
recurring expenditures over the last 5 years
• General operating millage rate is reduced by .0533 mills (and more than 0.1
mills since FY 2010/1 1), which together with the 0.316 mills decline in debt
service results in a total decline of 0.849 mills
• The proposed millage is 1.3 mills below FY 2006/07 when property values
were at a similar level
• The General Fund Operating budget is 8 percent more than in FY 2006/07,
in spite of 15 percent growth in the Consumer Price Index (CPI} in a similar
period, 126 percent growth in pension costs, and many new facilities and
projects coming on line
• General Fund enhancements of $3.5 million provide improved services to the
community providing a return to the community for the increase in property
tax levy
49
FY 2012/13 Proposed Work Plan and Budget Message
September 12, 2012
Page 2
The City's Proposed Operating Budget in total for FY 2012/13 is $441,376,000 including the
General Fund, General Obligation Debt Service, Enterprise Funds and Transfers to the
Redevelopment District. This reflects an increase of $17.3 million, or 4.1 percent over the prior
year total Adopted Operating Budget of $424,062,635. In addition, the budget for Internal
Service Funds, which are wholly supported by transfers from the General Fund, Enterprise Funds
and the Redevelopment District, is $59,328,000, an increase of $5 million, or 9.3 percent, over
the prior year total adopted operating budget of $54,280,445.
The City of Miami Beach has experienced significant change in the last several years, due to
changes in property tax legislation, property values that first increased and then declined, and
increasing pension plan contributions due to the downturn in the investment market. Today,
property values in FY 2012/13 are similar to FY 2006/07, $23.1 billion versus $22.7 billion.
Since their peak in FY 2007/08, property values Citywide have declined almost $3.8 billion
(approximately 14 percent) through FY 2012/13, despite almost $3 billion in new construction
added to the roll. Without the new construction, the decline in values would be even greater, at 29
percent. Outside the City Center RDA, which impacts General Fund Property Tax revenues, the
decline in values is even more significant at 20 percent, even after new construction.
In FY 2010/11 the city's approach to addressing the then deficit of $32 million included a
distribution of the shortfall between taxpayers and employees. Taxpayers had their tax rate
increased from 5.6555 to 6.2155, an increase of 0.56 mills. The goal of the Commission has been
to bring them back to that level as property values increase over time. It should be remembered that
between FY 2009/10 and FY 2010/11 values declined by $2.6 billion which, together with
pension cost increases, drove the need for an increase in the millage. FY 2012/13 values are still
short of FY 2009/10 values by $1.6 billion. As values approach FY 2009/10 values, through
further increases in the future, this will provide the opportunity to bring the millage down to 5.6555.
In FY 2011/12 the City took its first step in that direction with a reduction in the millage rate of
0.05 mills. The proposed millage rate for FY 2012/13 reduces the operating millage by an
additional 0.0533 mills and a total reduction of 0.0849 mills including the reduction in debt
service millage. The total operating millage reduction between FY 201 0/11 and the proposed FY
2012/13 millage is 0.1033. Over two years, this reduction represents 18% of the goal to get back
to a millage rate of 5.6555.
The Proposed Budget recommends a total combined millage rate for the City of Miami Beach of
6.3690 which is comprised of a general operating millage rate of 6.0039 (a decrease of 0.0533
mills), a General Fund Capital Renewal and Replacement millage of 0.1083, and a voted debt
service millage rate of 0.2568 (a decrease of 0.0316 mills).
As shown in the table below, in prior years the City of Miami Beach significantly reduced tax rates
as property values increased. Between FY 1999/00 and FY 2009/10, total combined City of
Miami Beach millage rates declined approximately 2.8 mills. In FY 2007/08 alone, the millage
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FY 2012/13 Proposed Work Plan and Budget Message
September 12, 2012
Page 3
rate declined by approximately 1 .8 mills, with annual savings to the average homesteaded
property of over $400.
Property Value, Millage and Property Tax Levy
Millage Rates Tax Levy (in millions)
General Fund
Final/ Total
Taxable Revised (including S.
Property Taxable Total General Total Pointe, and
Values Value Citywide Fund/RDA including Renewal &
Budget Year (billions) (billions) Millage Millage Debt Replcmnt)
FY1997/98 $ 6.46 $ 6.40 9.2100 7.4990 $ 57.45 $ 46.78
FY1998/99 6.97 $ 6.87 8.9830 7.4990 $ 60.37 $ 44.66
FY1999/00 7.66 $ 7.54 8.6980 7.4990 $ 64.29 $ 47.36
FY2000/01 8.37 $ 8.22 8.5550 7.3990 $ 69.08 $ 49.75
FY2001/02 9.40 $ 9.22 8.3760 7.2990 $ 75.97 $ 54.37
FY2002/03 10.56 $ 10.41 8.3220 7.2990 $ 84.81 $ 61.05
FY2003/04 12.09 $ 11.85 8.1730 7.2990 $ 95.39 $ 68.17
FY2004/05 14.04 $ 13.86 8.1730 7.4250 $ 110.74 $ 79.38
FY2005/06 17.45 $ 17.15 8.0730 7.4810 $ 135.91 $ 111.69
FY2006/07 22.74 $ 22.26 7.6730 7.3740 $ 168.38 $ 140.31
FY2007/08 26.85 $ 26.14 5.8970 5.6555 $ 150.42 $ 125.33
FY2008/09 26.90 $ 25.89 5.8930 5.6555 $ 150.59 $ 125.94
FY2009/10 24.70 $ 23.24 5.9123 5.6555 $ 138.70 $ 115.73
FY2010/11 22.10 $ 20.97 6.5025 6.2155 $ 136.55 $ 112.14
FY2011/12 21.98 $ 20.76 6.4539 6.1655 $ 135.80 $ 111.29
FY2012/13 23.10 6.3690 6.1122 $ 140.91 $ 114.72
Further, despite an increase of 0.56 mills in the operating tax rate in FY 2010/11, City of Miami
Beach proposed combined millage rates today remain more than 2.3 mills lower than in FY
1999/00 (25 percent), and approximately 1 .3 mills lower than 2006/07 when property values
similar to today's values. As a result, the proposed property tax levy is approximately $27 million
lower in FY 2012/13 than it was in FY 2006/07.
Total Combined Millage
98 99 '00 '01 '02 '03 '04 'OS '06 '07 'OS '09 '10 11 12 13
Fiscal Years
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FY 2012/13 Proposed Work Plan and Budget Message
September 12, 2012
Page 4
Property Values and Tax Levy
'07 '08 '09 '10 '11 '12 '13
''''"'''"'Property Values -iii-Tax Levy including Debt
Today' s General Fund Operating Budget also reflects greater diversification of revenues since FY
2006/07. The Proposed Work Plan and Budget includes resort taxes and a transfer of Parking
Operations Fund year-end surplus as well as Parking Operations Fund reimbursements and right-of-
way fees paid to the General Fund that total almost $37 million; approximately 15 percent of the
Proposed General Fund FY 2012/13 Budget. In large part due to these alternative sources,
property tax revenues represent less than half (45 percent) of the total funding for
the General Fund budget, as compared to 59 percent in FY 2006/07, a significant reduction
over the past several years.
Between FY 2007/08 and FY 2011/12, the General Fund absorbed more than $41 million in
reductions (almost 17 percent of the $244 million FY 2011/12 General Fund budget) and
reductions of approximately $49 million and 269 positions across all funds. Combined with more
than $20 million in employee "give-backs" between FY 2009/10 and FY 2011/12, this represents
almost $69 million in combined "givebacks" and reductions over 5 years.
Total 5-Year Reductions through FY 2011/12
General Fund $Impacts FT PT
Public Safety $ {7,635,095) (69.0) 1.0
Operations (5,805,867) (61.0) (23.0)
Administrative Support (2,858,694) (33.0) 1.0
Econ & Cultural Dev (1,193,426) (17.0) -
Citywide (1,467,642) - -
Subtotal Reductions $ (18,960,724) (180.0) (21.0)
Transfers $ (22, 734,851) --
Total General Fund Reductions $ (41,695,575) (180.0) (21.0)
Internal Service Funds $ (3,498,225) (37) -
Enterprise Funds (3,333,021) (39) 8.0
GRAND TOTAL REDUCTIONS** $ (48,526,821) {256.0) {13.0)
Estimated Employee Givebacks $ 120,349 36Ql_
GRAND TOTAL REDUCTIONS AND GIVEBACKS $ (68,876,181) (256.0) (13.0)
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FY 2012/13 Proposed Work Plan and Budget Message
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Page 5
The FY 20 12/13 budget adds $1 million in eHiciency reductions and anticipates
$2.6 million in employee givebacks.
Of note, the FY 2012/13 proposed General Fund Budget is about $20 million (8 percent) more
than the FY 2006/07 budget, despite pension contribution increases of $29 million during the
same period. Inflation from October, 2006 through June, 2012, a similar period, was
approximately 15 percent. This reflects a decrease across all other expenditures during that time,
and even offsetting increases in health and salaries, a growing concern to us, as there is and
should be a limit to the proportion of budget allocated to these costs. At this point, annual
contributions to the City's two pension plans alone represent more than $52 million (20 percent) of
the total General Fund budget. As a result, pension reform continues to be a high priority for the
City, with recommendations from the Budget Advisory Committee presented to the Commission on
August 29, 2012. This timing allows pension reform to be incorporated into the current set of
contract negotiations.
FY 2012/13 PROP()SED W()RKPLAN AND BOI)GET OVERVIEW I
As in past years, the Proposed Work Plan and Budget was developed through an intensive review
process with our City Commission. Preliminary budget information was provided to the
Commission at a Commission of the Whole meeting on July 6, 2012 and budget strategies and
priorities were established. Additional budget briefings were held with the Finance and Citywide
Projects Committee on July 9, July 10, July 25, and August 22, including a discussion of capital
project priorities, projected General Fund revenues and expenditures, proposed efficiencies,
impacts of service level alternatives, potential revenue enhancements, and potential service
enhancements.
At the time of adoption of the proposed millage in July, it was estimated that the City had a gap of
$4.4 million, an improved position from the estimated gap of $5.4 million at the same time in the
development of the FY 2011/12 budget. Between setting the preliminary millage in July and
finalizing the Proposed Work Plan and Budget, as we committed to do, we refined our projections.
Our revenues, in particular, tend to have greater fluctuations than expenditures, and we were
conservative early in the process and refine these projections over the summer. Changes since July
include increased revenue estimates (primarily building development process fees, and rents and
leases, offset by decreased interest earnings). As a result, the pro;ected Current Service Level (CSL)
gap was reduced to $3.3 million as discussed at the August 22 , 20 7 2 meeting.
At the August 22 FCWPC meeting, an approach to balance the General Fund budget was
discussed. This approach included $2.6 million in employee givebacks; $932,000 in efficiencies;
$bringing in an additional $4 million in Resort Tax revenues to the General Fund to offset tourism-
eligible expenditures, and modest increases in revenues. These were offset by $2.2 million in
additions for living wage, operating costs associated with bringing capital projects on line, and
various service enhancements -the majority of which was related to Police service enhancements
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FY 2012/13 Proposed Work Plan and Budget Message
September 12, 2012
Page 6
and Building service (due to increased demand); and a transfer of $1 .4 million to fund capital
projects.
Since the August 22, 2012 meeting with the Finance and Citywide committee, the Proposed
Operating budget has continued to be refined. The following are the significant changes that have
been incorporated:
• Based on the final valuation for the Fire and Police pension, the City's annual contribution
for FY 2012/13 has been reduced by approximately $400,000 compared to the
preliminary estimate initially received; resulting in a reduction of the pension allocation to
Fire and Police. As a result, the recommended level of employee givebacks, which has
been driven by increases in health and pension costs, is proposed to be similarly reduced
from $3 million to $2.6 million in the General Fund.
• Based on further discussions with the Finance Department regarding the accounting
treatment of the $2.5 million pension credit received in both plans in FY 2011/12, the
method of application of the credit to help offset pension increases has been changed.
Rather than applying the credit against expenditures in FY 2012/13, as had been
presented to the Committee of the Whole and to the FCWPC, the credit from FY2011 /12
will be carried forward as revenues from FY 2011/12 to FY 2012/13, and the full
pension contribution will be reflected in expenditures for FY 2012/13. The net impact on
available funds, however, remains the same.
• Two positions which had been recommended for conversion from classified positions (data
entry clerk and administrative aide) to unclassified positions have been removed from the
proposed list of reductions as it was determined that the significant portion of the savings
was due solely to the turnover in each of the positions.
• General Fund operating costs have been reduced, offset by increases in the capital and
debt category, to reflect the savings anticipated from the initiatives implemented by
Amaresco, in which energy and operating cost savings are anticipated to be offset by
increased debt service issued to fund the cost of the initiatives.
Historically, the General Fund budget has increased between 6% and 8% annually, primarily due
to increases in salary and benefit costs. In FY 2012/13, the $12.6 million (5.2%) increase in
expenditures includes a $1 .1 million reserve recommended to be set aside for FY 2013/14, to help
offset the loss of the carry forward of the FY 2012/13 one-time pension credit of $2.5 million. Net
of this reserve, the increase is $11 .5 million (4.7%), and is similarly driven by increases in salary
and benefit costs (primarily pension and health).
Employee Givebacks
As noted above, a primary driver of increases between the FY 2011/12 adopted operating budget
and the FY 2012/1 3 proposed operating budget are personnel costs increases, primarily increases
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FY 2012/13 Proposed Work Plan and Budget Message
September 12,2012
Page 7
in health insurance and pension costs. In the General Fund the estimated combined increase is
approximately $7.4 million is direct allocations to the General Fund as well as an additional
Internal Service Fund charges which are due to pension and health increases in those funds. The
increase citywide is $9.1 million. The proposed employee givebacks of $2.6 million are intended
to partially offset the employee health and pension cost increase in the General Fund. While not
specifically budgeted, the intent is to negotiate similar levels of givebacks in all funds for a total of
$3.5 million in givebacks citywide.
It should be noted that the FY 2012/13 Proposed Operating Budget assumes status quo for all
bargaining agreements until new agreements are negotiated. As a result, the Proposed Operating
Budget assumes no merit increases for the Communications Workers of America bargaining unit.
The impact of this is approximately $0.25 million in the General Fund which is in addition to the
employee givebacks noted above.
Efficiencies, Reductions and Revenue Enhancements
As with the preparation of budgets for the last five years, departments are continuing to analyze
and present their budget from two perspectives: 1) reviewing for potential efficiencies,
reorganizations to reduce cost, etc., without impacting services; and 2) performing a modified zero-
based analysis of each department budget, identifying potential service reduction alternatives
versus core functions. For each of the potential service reductions, departments provided the type of
impact and the magnitude of the impact. Core functions were defined as those functions which, if
cut, render it impossible for the department to provide basic service at a reasonable level.
In spite of the significant reductions in the General Fund over the last 5 years, we continue to be
proactive in locating additional efficiencies in the General Fund. For FY 2012/13 almost $7
million of efficiencies are built into the proposed General Fund budget. However, the focus of the
FY 2012/13 budget was to provide service enhancements in areas of need, rather than identify
areas for reducing service levels.
Proposed revenue enhancements for FY 2012/1 3, projected to generate additional revenue
totaling $263,000, as shown in Attachment D, including Police Department false alarm fees, Fire
Department transport fee increases to mirror the Miami-Dade charge rates, Parks and Recreation
will increase pavilion rental rate fees, and Colony theater rental fees.
Service Enhancements
Potential service enhancements for FY 2012/13 are proposed at a cost of $3.5 million in the
General Fund, providing a return on value for the increased property tax levy. There are also
$200,00 in additions related to living wage increases and the operating cost of capital projects
coming on-line, as well as $1.8 million in service enhancements in other funds.
The $3.5 million of enhancements in the General Fund provides for the following:
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FY 2012/13 Proposed Work Plan and Budget Message
September 12, 2012
Page 8
• Just under one million Enhancements in the Police Department are proposed to address
crime suppression and beach closure activities
• Over $700,000 of the enhancements to add contract based staffing to the Building
Department to address increased activity in that area and ensure customer responsiveness
• $200,000 for strengthening internal controls
• $200,000 for additional staff to help manage leases and rental contract and monitor
special events and concessions; as well as providing for grants software and equipment
needs at the Colony Theatre
• $1.4 million provides a transfer for funding Pay-as-You Go funding for capital projects
Increased Use of Resort Taxes to offset Tourism Eligible Expenditures in the
General Fund
Based on an outside consultant study conducted in 2010 using FY 2007/08 actual costs, it is
estimated that there are approximately $50.5 million in eligible resort tax expenditures in the
General Fund.
These include expenses associated with police officers serving entertainment areas; a portion of fire
rescue services from Fire Stations 1 &2; ocean rescue services; enhanced code compliance provided
to respond to evening entertainment area violations and staffing of special events; other code
compliance activities in tourism and visitor related facilities/ areas; Tourism and Culture Department
and the Cultural Arts Council; museums and theaters (Garden Center, Bass Museum, and Colony
Theater); golf courses (net of revenues); Memorial Day and other special event costs; homeless
services; July 4 1h; Visitor Center funding; holiday lights; Jewish Museum; Miami Design Preservation
League (MDPL); Orange Bowl; monuments; etc. However, $8.8 million of these costs were
estimated as being addressed by dedicated funding for the South Pointe area pursuant to the
Miami-Dade County Convention Development Tax interlocal agreement, thereby resulting in
approximately $4 7.7 million in eligible Resort Tax expenses in the Genera/ Fund.
Based on FY 2011/12 resort tax collections to date, it is estimated that there will be an additional
$4 million available in resort tax collections to provide additional funding for these General Fund
activities in FY 2012/13. The total proposed Resort Tax Fund transfer to the General Fund for FY
2012/13 is approximately $31 million.
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FY 2012/13 Proposed Work Plan and Budget Message
September 12, 201 2
Page 9
Use of One-Time Revenues
The City's policy regarding use of one-time revenues states that "The City of Miami Beach will use
onetime, non-recurring revenue for capital expenditures or one time expenditures and not subsidize
recurring personnel, operations, and maintenance cost".
Similar to the FY 2010/11 and FY 2011/12 budgets, FY 2012/13 General Fund revenues reflect
the use of $3.4 million in prior year surplus (revenues in excess of expenditures) specifically set
aside for this purpose Building Department reserves of $1 .5 million are also included. As noted
above, the carry-forward of the savings from the $2.2 million allocation of the one-time pension
credit to the General Fund is also reflected as a one-time revenue for FY 2012/13. In total, the
General Fund Operating Budget reflects a total of $7. 1 million in one-time revenues, offset by $1 .4
million proposed transfer to capital.
In addition, the $7.2 million in prior year Parking Fund operating surplus, as was initiated in FY
2010/11, budget is also included.
While this is generally not a recommended financial practice, it is being recommended at this time
so as to allow for a gradual decline in the use of one-time revenues for recurring expenditures over
the next few years. As in prior year budgets, the intent will be to expend these dollars last during
the fiscal year, so that if any savings are achieved throughout the year, the amount of funds needed
from this source will be reduced, in which event the funds will be available to be used in
subsequent fiscal years.
Use of Remaining Surplus
The FY 2012/13 budget includes the set aside of a reserve of $1.1 million for FY 2013/14 to help
offset the loss of the onetime pension credit of $2.2 million for FY 2012/13 that will not be
available in FY 2013/14.
The $1.1 million is the net surplus available after the recommended employee givebacks,
efficiencies, additions and enhancements, and revenue increased incorporated into the FY
2012/13 General Fund proposed operating budget. The equivalent millage for $1.1 million is
0.0585.
Exhibits A through E provide a summary of the efficiencies/reorganizations, service reductions,
revenue enhancements, and service enhancements considered as part of the development of the
proposed FY 2012/13 Work Plan and Budget. As a result of these initiatives, the proposed budget
continues our focus on providing "value of services for tax dollars paid" by continuing to provide
services to the community free of charge or at significantly reduced fees, including free arts and
movies in the parks, free access to pools and youth centers, reduced fee recreation programming,
enhancement maintenance of our newly renovated facilities, etc. -the services that our residents
and businesses told us yet again are important to them during the 2012 Community Satisfaction
Survey.
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FY 2012/13 Proposed Work Plan and Budget Message
September 12, 2012
Page 10
In 2012, the City of Miami Beach conducted its fourth set of comprehensive statistically valid
community satisfaction surveys. The Community Survey was designed to provide resident input on
quality of life, city services, and taxes; and to identify key drivers for improvement.
Overall, when compared to the 2009 residential survey, the City remained stable in most of the
areas measured. Residential respondents provided the highest positive ratings for the appearance
and maintenance of the city's public buildings and public schools, the appearance of playgrounds
and recreation programs. A record high 89% of residents rated Miami Beach excellent or good as
a place to live and the standard of living outlook improved 80% in 2012 compared to 53% in
2009. Business results also remained stable in many of the survey items from the 2009 survey.
Businesses continue to rate the City of Miami Beach as 'one of the best' or an 'above average
place' to run a business. These results indicate a stable level of satisfaction with Quality of Life in
Miami Beach and services provided by the City, although there is need for improvement in specific
areas.
Detailed survey results are available on the City's website and in the Strategic Planning section of
the FY 2012/13 Proposed Work Plan and Budget in Brief document.
CITYWIDE WORK PLAN
A summary of our Citywide Work Plan is attached (Exhibit F) for your review along with the
highlights presented on the following pages.
CLEANER AND SAFER
Cleanliness of our City continues to be a priority for our residents and
businesses. We will maintain expanded services that have been implemented
in recent years. The City uses a quantitative index to assess the impact of these
efforts and results have shown significant overall improvement. Between FY
2005/06 and FY 2010/11, 85.5 percent of public areas Citywide were
rated as clean or very clean as compared to 65.2 percent in FY 2005/06.
None-the-less, our residents continue to view cleanliness as an important
service area, and in the 2012 survey, it was cited as the most important
service to retain. As a result, no reductions in service levels are recommended
in existing sanitation services, and additional funding is proposed for
enhanced pressure cleaning on Lincoln Road, Washington Avenue, and
Ocean Drive.
Provides
funding for an
enhanced
level of
pressure
cleaning in
the City's
entertainment
areas
The resident surveys in 2005, 2007, 2009, and 2012 confirmed that safety is one of the top
quality of life factors for our residents and increasing the visibility of police in neighborhoods as
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FY 2012/13 Proposed Work Plan and Budget Message
September 1 2, 201 2
Page 11
one of the most important areas for the City to address to improve public safety. Recent trends
reflect an increase in Part I crimes and in 2011 the City of Miami Beach experienced an increase
(9 percent) in total violent crimes and non-violent crimes combined, when compared to 201 0. Of
significance, however, while non-violent crimes (which include burglary, larceny and auto theft)
increased 9.6 percent, violent crimes increased 2.66 percent. Despite the recent increase, there
has been a 7 percent decline in total violent crimes and non-violent crimes since 2001 in spite of
the 30 percent increase in daily population and special events since 2001. However, the Miami
Beach crime rate is slightly below the latest total nationwide violent crimes and non-violent crimes
reported by the FBI for the first six months of 2012 by 5.2 percent and 5.7 percent, respectively.
Nationwide, violent crime declined by 6.4 percent and property crimes declined by 3.7 percent.
The Proposed Work Plan and Budget adds two ATV officers to the North
area for working the night shift to enforce beach closures, four Police Officers
in the South and Citywide to form an additional Crime Suppression team, six
Police Officers in the South area for a walking beat along Washington Ave,
one Detention Officer to augment current staffing levels, an enhancement to
the Records Unit, and additional overtime for the Neighborhood Resource
Officer Homeless Outreach Program. The Proposed Budget and Work Plan
also increases security coverage on Lincoln Road between the hours of 1 am
and 6 am, allowing for 24 hour coverage between the security services and
Police Officers.
Adds l2
police oHicers
to the
Proposed
Work Plan
and Budget
MORE BEAUTIFUL AND VIBRANT; MATURE AND STABLE; UNIQUE HISTORIC AND
URBAN ENVIRONMENT
The maintenance and appearance of our residential neighborhoods and business districts continues
to be a priority, along with protecting the quality of life enjoyed by all members of our community.
In addition to maintaining initiatives implemented in recent years, the Proposed Work Plan and
budget converts a shared position in Real Estate, Housing and Community Development with the
Tourism and Culture Department into two full-time positions to provide enhanced monitoring of
concessions and special events. Funding is also provide through the Resort Tax fund to provide the
enhanced level of staffing for Spring Break and Memorial Day as was implemented in FY
2011/12.
The Proposed Work Plan and Budget maintains $219,000 in funding for reforestation, replacement
of landscaping, pavers, up-lighting, etc. through the Capital Investment Upkeep Account.
The availability of quality recreation programs continues to be one of the highest priorities for our
community. As a result, the Proposed Work Plan and Budget reflects no reductions in our offering of
recreation programs. Successful recreation programs for teens and seniors also continue to be a
priority, along with weekly classes in visual or performing arts in after school programs and summer
camps
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FY 2012/13 Proposed Work Plan and Budget Message
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CULTURAL, ENTERTAINMENT AND TOURISM CAPITAL AND AN INTERNATIONAL
CENTER FOR INNOVATION AND BUSINESS
The City's business and tourism sectors are an integral part of our City as reflected in our vision
statement, and has demonstrated significant improvement over the last two years including record
increases in Resort Taxes in the last two years, increases in Parking department revenues, and
increases in Building development activity. In order to continue to enhance customer service in the
Building Department, the Proposed Work Plan and Budget adds approximately $700,000 in
positions to the Building department in response to the increased activity. However, in order to
remain flexible and responsive to changes in demand levels, these resources are added through
contracted services rather than as full time positions. A condominium ombudsman function will also
be created though the use of existing resources in the Building Department.
In addition, enhancements funded through the Resort Tax Fund intended to enhance economic
development though tourism initiatives that include enhanced marketing for Washington Avenue
marketing similar to other marketing initiatives currently funded through the Greater Miami
Convention and Visitors Bureau for the City; funding for a grant to the FIU-Wolfsonian over two
years to provide a master plan for the Museum site that will be used to access $1 0 million in
Miami-Dade County General Obligation Bond funding for expanding and revitalizing their facilities
on Washington Avenue and Lennox Avenue, and funding for re-instatement of the Festival of the
Arts in North Beach. Further, the Proposed Work Plan and Budget maintains funding through the
Resort Tax Fund for tourism-related economic development activities in North Beach that were
initiated in FY 2011/12.
WELL-IMPROVED INFRASTRUCTURE
The proposed Budget and Work Plan provides for continued improvements and maintenance of our
facilities and neighborhoods infrastructure by appropriating $1 .2 million in our capital budget to
address shortfalls in funding for the above ground portions of our neighborhood right of way
projects (primarily for milling and resurfacing). Together with the transfer of 1 .4 million from the
General Fund, $2.7 million in pay-as you go funding is included in the Proposed FY 2012/13
budget to fund seawall repairs at Muss Park as well as the addition of a potential Kayak Launch at
that facility (subject to community input), improvements to our Park facilities (irrigation at Fisher
Park, Stillwater Park Sports Field, Crespi Park Field Renovation, Flamingo Park Madvac System,
Tatum Park Outdoor Sand Volleyball) and the additional above ground funding for the following
neighborhood projects:
• Bayshore Central Bid Pack A
• Bayshore, Lower North Bay Road Bid Pack B
• Bayshore Lake Pancoast Bid Pack C
• Bayshore Neighborhood Sunset Isles I and II
• Bayshore Neighborhood Sunset Isles Ill and IV
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FY 2012/13 Proposed Work Plan and Budget Message
September 12, 2012
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Funding for the Resort Tax dedicated to tourism-eligible quality of life projects and funding received
through the Convention Development tax lnterlocal Agreement with Miami-Dade County. These
projects include:
• Middle Beach Recreation Corridor Phase II
• Baywalk Phase I
• Flamingo Park
• Par 3 Golf Course Master Plan
• 6th Street Restrooms
• North Shore Open Space Park Replacement Fitness Circuit/Trail
• Beach Access Gates
• Citywide Dune Restoration and Enhancement
• Alton Road Irrigation System from Sh Street to Michigan
• Collins Ave, Sh Street to Lincoln Rd.
• Citywide Dune Restoration and Enhancement
Further Enterprise and special revenue funds such as the Redevelopment Agency, South Pointe
Capital, Convention Center, Parking and People's Transportation Tax (PTP)will provide funding for:
• Collins Park Parking Garage
• Collins Canal Enhancement Project
• Seawall-Botanical Garden/Collins Canal
• Lincoln Road Landscaping
• Aluminum Street Lighting Pole Replacement-City Center
• Beachwalk Lighting Retrofit
• Euclid Ave Improvements at Lincoln Rd
• Flamingo 6th Street ROW improvements
• South Pointe Pier
• South Point Park Playground Fence
• 54 Inch Diameter Sewer Main Rehabilitation, Alton South of Sh
• Convention Center -Replace various disconnects/bus ducts/electrical panels. Exhibit Hall
Chairs, Ballroom C&D Carpet, and two 1 00 ton chilled water air handlers, interior bus ducts,
C & D ballroom disconnects, chilled water valves.; and install ADA Automatic Doors,
• Sunset Harbor Parking Garage AIPP Funding
• Surface lots at Harding Ave & 71 St., North Shore Youth Center, 6972 Bay Drive, 7061
Bonita Drive, 4001 Prairie Avenue and Bass Museum Surface Lot
• Relocation of Parking Meter Sign and Shop to accommodate Relocation of the Property
Management Facility
• License Plate Recognition Software for Parking Enforcement
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FY 2012/13 Proposed Work Plan and Budget Message
September 12, 2012
Page 14
• Continued Replacement of Master Meters and Revenue Control Equipment Upgrades
• Street Infrastructure Improvements -Crosswalks, Mast Arm Painting, Pedestrian Crossings,
Speed Radar Units
• Additional Funding for the West Avenue Bridge
VALUE OF SERVICES FOR TAX DOLLARS PAID
As noted earlier, between FY 2007/08 and FY 2011/12, the General Fund absorbed more than
$41 million in reductions (almost 17 percent of the $244 million FY 2011/12 General Fund
budget) and reductions of approximately $49 million and 269 positions across all funds.
Further, a total of approximately $15 million in employee "give-backs" were achieved
between FY 2009/10 and FY 2010/11, and $20 million through FY 2011/12, through a
combination of freezing cost of living adjustments for all employees for two and one-half
years, elimination of merit increases for all employee except members of the Fraternal
Order of Police (FOP) and International Association of Firefighters) IAFF, increased
contribution to pension for all employees except members of FOP and IAFF, pension plan
changes for the Miami Beach Employees Retirement Plan, increased contributions for take-
home vehicles by FOP members for 18 months, reduced holiday pay for IAFF members,
and increased contributions to health insurance by members of the FOP and IAFF for 18
months. Combined with more than $20 million in employee "give-backs" between FY 2009/10
and FY 2011/12, this represents almost $69 million in combined "givebacks" and reductions over
5 years, with no significant impacts to the services provided to our community.
Although the economy appears to have stabilized, the impact of the recent recession impacted both
property tax revenues as well as pension costs through FY 2012/13 and likely further into the
future. Therefore, the City's strategy continues to consider the long term financial sustainability of
the City. Beginning with the development of the FY 2009/10 budget, a strategy was developed to
address short-term, mid-term and long-term financial needs.
• Strategies to address short-term financial needs included ongoing efficiencies and wage
concessions by employees.
• Mid-term financial sustainability was addressed by pension concessions from current
employees in the Miami Beach Employees Retirement Plan
• Longer term financial sustainability is enhanced by the pension plan restructures that have
been put in place for new employees in the Miami Beach Employee Retirement Plan. For
example, for General Employees, the plan restructure proposed for new employees is
projected by the City's actuary to reduce the City's ann.ual required contribution by almost
$1 million in FY 2012/13, with additional reductions annually as the number of employees
in the Miami Beach Employees Retirement Plan hired after October 1, 2010 continues to
increase. Further, additional pension plan reform recommendations have been developed
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FY 2012/13 Proposed Work Plan and Budget Message
September 12, 2012
Page 15
by the City's Budget Advisory Committee for the Fire and Police Pension Plan which were
presented to the City Commission on August 29, 2012.
All of the givebacks achieved, except the 18 month increased contribution to health by FOP and
IAFF and the increased contributions for take-home vehicles by FOP members for 18 months,
represent ongoing, recurring savings to the City and the employee give-backs contribute
significantly towards the City's strategic goal (key intended outcome) to control payroll costs.
With the planned $1.16 million in efficiencies and $2.6 million in employee "givebacks"
incorporated in the Proposed Work Plan and Budget for FY 2012/13, the 6 year total of reductions
and employee Givebacks is almost $73 million.
FY2012/13 Proposed
General Fund $Impacts Ff PT
Public Safety ($136,000) 1.0 1.0
Operations (135,000) (3.0) (4.0)
Administrative Support (189,000) (1 .0) -
Econ & Cultural Dev ---
Citywide (152,000) --
Subtotal $ (612,000) (3.0) (3.0)
Transfers (320,000) --
Total $ (932,000} (3.0} (3.0}
Internal Service Funds (30,000) --
Enterprise Funds (196,000) (12.0) 8.0
GRAND TOTAL $ (1 ,158,000} (15.0} 5.0
Despite the dramatic impact of five years of reductions due to property tax reform exacerbated by a
dramatic downturn in property values and dramatic increases in pension costs, the Proposed Work
Plan and Budget preserves benefits specifically for City of Miami Beach residents, including:
• Our free "Culture in the Parks" series;
• Access to free cultural arts programs (theater, dance, music and visual arts) for children
involved in after school and summer camps;
• Scholarship specialty camps in the summer, in addition to children participating in day
camps; and programs for traveling athletic leagues.
• Free access to City pools on weekends and during non-programmed hours;
• Free general admission to our Youth Centers on weekends and during non-programmed
hours;
• Free Learn-to-Swim programs for 3 to 4 year old residents;
• Reduced resident rates for recreation programs
• Free "family friendly" Movies in the Park;
• Free admission to museums on Miami Beach, including the Bass and Wolfsonian Museums
every day and the Jewish Museum on Wednesdays, Fridays and Saturdays;
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FY 2012/13 Proposed Work Plan and Budget Message
September 12, 2012
Page 16
• Free access to the majority of our senior citizen programs and special populations programs,
including several free dances that take place throughout the year;
• Free of charge play at the Par 3 golf course for all residents;
• Free crime analysis of residents' homes by our Police Department; and
• Free child safety seat checks by our Fire Department.
We have also prioritized Key Intended Outcomes to ensure the long-term sustainability of our City
government, including improved communications with our residents, ensuring financial sustainability
and ensuring that we have the best possible employees to deliver services to our community.
ENVIRONMENTAL SUSTAINABILITY, COMMUNICATIONS, CUSTOMER SERVICE AND
INTERNAL SUPPORT FUNCTIONS
Regarding environmental sustainability, the City established a permanent committee in FY 2007/08
called the Sustainability Committee, with the objective of providing a mechanism to discuss green
(environmental) issues of concern to the community. In FY 2011/12, based on recommendations
from the Sustainability Committee, the City implemented a recycling ordinance. The FY 2012/13
budget includes funding for an intensive education and outreach campaign and after six months,
beginning in January 2013, warnings will be issued. The sustainability Officer will be responsible
for conducting outreach, recycling guidance, and if necessary, issue warnings. Once the recycling
program has been implemented, the Sustainability Officer can address other sustainability issues
(greening restaurants, etc. Administration will go back to the Commission before issuing any fines.
This enhancement has been funded from the Waster haulers Additional Services Public Benefit
Fund.
To promote transparency of City operations and strengthen internal controls, the City has posted on-
line all expenditures and Committee referrals and, in FY 2009/10, the City also began posting on-
line Internal Audit and Performance Improvement reports. The Proposed Work Plan and Budget
provides funding for initiative that will help strengthen our internal controls and help promote
transparency, including funding for a review/audit of one area of the city's operations per year,
beginning to restructure the Internal Affairs division in the Police Department with the conversion of
a supervisor position to become permanently assigned to the division rather than rotating personnel
for this position, and by providing Automated Vehicle Locator (AVL) technology in Parks and
Recreation vehicles, additional Fire Department vehicles, and Public Works General Fund vehicles.
Proposed revenue enhancement initiatives include the purchase of grants research software to be
used by six city departments and the addition of a full-time leasing specialist to help manage leases
in the City as lease revenues have grown from $3.4 million to $5.4 million in the last 3 years.
The Proposed Work Plan and Budget continues funding to enhance communications with our
residents, enhance the availability of city services and processes that can be accessed and
transacted via the internet, and preserve our technology infrastructure. To that end, the Proposed
Work Plan and Budget continues to fund the City's MB Magazine, and MB TV.
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FY 2012/13 Proposed Work Plan and Budget Message
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Page 17
Further, the Proposed Work Plan and Budget includes a $0.4 million transfer to the Information and
Communications Technology Fund. Projects to be funded in FY 2012/13 include:
• Technology Enhancements for New Accela Permitting System: replaces or enhances the
ticketing, queuing and calling system for the permit application and walk-thru plan review
process. Includes portable printers for inspectors and Code Compliance Officers, a payment
kiosk for the Code Compliance Division. Includes an improved plans management and
tracking system and a mechanism to obtain feedback on the Accela Citizen Access portal.
• Enhancement to Eden Accounts Payable module: will allow documents to be attached to
invoices providing easy acc3ess to backup information and eliminating the need for
departments to maintain multiple copies of the same document. _Upgrade of Automated
Cleanliness Assessment: to streamline the workflow and process with a new user interface
for field data collection, allowing direct data upload into the cleanliness database and
generation of reports from the central database.
• Off-Duty Job Tracking Application replaces the existing outdated application at the Police
Department with a program that can interface with the City's payroll system, which will
streamline the process of processing off-duty pay.
• Development of Mobile Applications: recommended by the City focus group Technology
Charette: for development of mobile applications such as Report It! And a parking
application to locate garages with available parking.
• License Plate Recognition: (Funded by the Police confiscation Fund and the Parking Fund)
includes the purchase of two mobile Automatic License Plate Reader systems to enhance
public safety and crime prevention efforts. The Parking Department is pursuing the same
technology for its parking payment system.
• Gated Revenue Control System Upgrade: (Funded by the Parking Fund) includes
centralized processing of all data for all of the City's parking garages with a central
monitoring station. The work will be completed in three phases.
• Master Meter Replacement: (Funded by the Parking Fund) will purchase and install 750 new
multi space pay stations for on-street and off-street parking locations. This will replace 500
existing pay stations and expand the use of pay stations in Middle and North beach.
• There are other projects that do not require funding but are planned to be under
development next year with in-house staffing resources: re-writing of the pending City
Commission documents log and lobbyist and board and committee programs, in the Office
of The City Clerk, complete a historic buildings database and GIS map and provide hotel
and restaurant information for the Visitor and Convention Authority (VCA) for the
development of a visitor information website and data aggregation portal.
In FY 2005/06, the City established a financial goal of funding at least 5% of the General Fund
operating budget as transfers for capital projects and capital projects contingency. The purpose of
this goal was multi-faceted:
1. To provide flexibility in the operating budget that would allow the budget to be reduced
without impacting services during difficult economic times;
2. To ensure that the City funded needed upkeep on our General Fund facilities, and right-of-
way landscaping, lighting, etc.
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FY 2012/13 Proposed Work Plan and Budget Message
September 1 2, 201 2
Page 18
3. To provide a mechanism to address additional scope of small new projects prioritized by
the community and the Commission instead of having to delay these for a larger General
Obligation Bond issue; and
4. To provide contingency funding so that projects where bids were higher than budgeted did
not have to be delayed, especially during a heated construction market where delays often
lead to further increases in costs.
In recent years this funding was dramatically reduced due to funding constraints, and at the same
time, reflecting declines in construction industry pricing in those years. The Proposed Work Plan
and Budget incorporates an increase of 0 .5% from 1% in FY 2011/12 bringing the total to almost
1.5% in FY 2012/13 for capital components,
GENERAL FUND FINANCIAL SUMMARY
The General Fund is the primary source of funding for the majority of City services. Revenues are
derived from ad valorem property taxes, franchise and utility taxes, business license and permit
fees, revenue sharing from various statewide taxes, user fess for services, fines, rents and
concession fees and interest income. Additionally, intergovernmental revenues from Miami-Dade
County and Resort Taxes contribute funding for tourist-related activities provided by General Fund
departments.
The first step in preparing the FY 2011/12 budget is an evaluation of Current Service Level (CSL)
revenues and expenditures. CSL revenues represent the amount of revenues that would be
generated based on existing tax rate, fees and charges. CSL expenditures represent the
expenditures associated with providing the same level of service next year as in the current budget
year.
ANALYSIS OF PROPERTY VALUES IN MIAMI BEACH
On July 1, 2012, the City received the "2012 Certification of Taxable Value" from the Property
Appraiser's Office stating that the taxable value for the City of Miami Beach is $23,072,321,980
including $96,864,87 4 in new construction. The preliminary 2012 value represents an increase of
$ 1.1 billion or 5.0 percent more than the July 1, 2011 Certification of Taxable Value of
$21,978,289,928, and an increase of 5.0 percent excluding new construction.
The comparative assessed values for the Miami Beach Redevelopment Agency City Center
redevelopment district increased from $3,423,353,944 to $3,608,71 8,451, an increase of
$0.1854, billion or a 5.4 percent increase in values over 2011 certified values. In addition,
assessed values within the geographic area formerly known as the South Pointe redevelopment
district increased from $3,446,036,913 to $3,618,097,360, an increase of $0.172 billion, or a
5 percent increase in values over 2011 certified values. As a result, taxable values in the areas
outside the City Center RDA/South Pointe area increased by 4.9 percent, from $15.1089 billion to
$15.8455 billion, an increase of $0.7366 billion.
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FY 2012/13 Proposed Work Plan and Budget Message
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Page 19
Citywide values excluding City Center increased from $18.555 billion to $19.463 billion, an
increase of $0.9086 billion or 4.9 percent. Values outside the City Center area determine General
Fund revenues.
COMPARATIVE ASSESSED VALUES (in billions)
1 Jan. 1 LUI L
Value (in Change from 201 1
Jan. 1 201 1 Value (in billions) billions) Value (Budget)
AS ot July I Kev•sea AsotJuy
2011 Value (For 2011
(For FY FY Change in (For
2011/12 2011/12 2011 2011/12 $
Budget) Projection) Values %Chg. Budget) (in billions) % Chg
RDA-City Ctr $ 3.4234 $ 3.1299 $ (0.2935) -9% $ 3.6087 $ 0.1854 5.4%
South Pointe * 3.4460 3.2393 (0.2067) -6% 3.6181 $ 0.1721 5.0%
General Fund excl S.Pte 15.1089 14.3860 (0.7229) -5% 15.8455 $ 0.7366 4.9%
Total Citywide $ 21.9783 $ 20.7552 $ (1.2231) -6% $ 23.0723 $ 1.0940 5.0%
Citywide Net of City Ctr -5%
$ 18.555 $ 17.625 $ (0.930) $ 19.464 $ 0.9087 4.9%
* Revised values for South Pomte not avmlable, but are assumed to be impacted by the same percentage as citywide.
Value of One Mill
The first building block in developing a municipal budget is the establishment of the value of one
mill of taxation, wherein the mill is defined as $1 .00 of ad valorem tax for each $1,000 of
property value. For the City of Miami Beach, this value for each mill is determined by the 2012
Certification of Taxable Value and has been set at $23,072,322. Florida Statutes permit a
discount of up to five percent for early payment discounts, delinquencies, etc. Therefore, the 95
percentvalueofthe mill is $21,918706.
Impacts of Declines in Property Values
In FY 2011/12, the operating millage rate for general City operations was adopted at 6.1655.
Based on the July 1, 2012 Certification of Taxable Value, 6.1655 mills would generate
approximately $ 135,139781 in general tax revenues, an increase of $6A07,992 over FY
201 1/12 budgeted property tax revenues Citywide (General Fund, City Center RDA and the South
Pointe area). The General Fund property tax revenues will increase by $5.76 million, if the FY
2011/12 millage rate is maintained.
Further, the January, 1 201 1 tax roll Citywide declined by $1 .2 billion between the July 1, 2011
valuation and the July 1, 2012 valuation due to appeals, adjustments, etc., which is part of the
reason that the FY 2012/13 "roll-back rate" is significantly less than the FY 2011/12 current
millage rate. The area outside of City Center RDA declined by almost $1 billion.
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FY 2012/13 Proposed Work Plan and Budget Message
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Page 20
State Legislated Operating Millage Requirements
Further, pursuant to recently enacted State legislation, the City may elect to approve millage rates
above the roll-back rate up to the constitutional cap of 1 0 mills subject to the following votes by the
Commission or referendum:
• Option 1: A majority of the Commission is required to approve a millage up to 8.0844
(equivalent to 100.447% of prior year maximum ad valorem proceeds allowed by a majority
vote, net of the impact of the Tax Increment Districts). The adjustment of 100.447% reflects the
statewide per capita personal income increase for the prior year
• Option II: A two-thirds approval (5 of 7 votes) of the Commission is required to approve a
millage up to 8.8928 (equivalent to a 1 0% increase in the ad valorem revenues above Option
1).
• Option Ill: A unanimous approval of the Commission or referendum is required to approve a
millage above 8.8928 up to the 10 mill cap
Determining the Voted Debt Service Millage Levy
The general obligation debt service payment for FY 2012/13 is approximately $5.9 million.
Based on the July 1, 2012 Certified Taxable Value from the Property Appraiser, these bonds would
require the levy of a voted debt service millage of 0.2568 mills. This represents a decrease of
0.0316 mills.
Combining the Operating and Voted Debt Service Millage Levy
Illustrated below is a comparison of the combined millage rates and ad valorem revenues to the
City of Miami Beach for FY 2011/12 (final) and FY 2012/13 (preliminary) including RDA. It is
recommended that in the General Fund, 0.1 083 mills of the total operating millage continue to be
dedicated to renewal and replacement.
% lnc/(Dec}
From From FY
City of Miami Beach Millage Rates FY 06/07 FY 11/12 FY 12/13 lnc/(Dec) FY10/11 06/07
Operating 7.1920 6.0572 6.0039 -0.0533
Capital Renewal & Replacement 0.1820 0.1083 0.1083 0.0000
Sub-total Operating Millage 7.3740 6.1655 6.112t' ·0.0533 -0.9% -17%
Debt Ser\ice 0.2990 0.2884 0.2568 -0.0316
Total 7.6730 6.4539 6.3690 ·0.0849 -1.3% -17%
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FY 2012/13 Proposed Work Plan and Budget Message
September 12,2012
Page 21
If these recommended millage rates are tentatively adopted, then the City of Miami Beach's total
operating millage will decrease by .0533 from the current year, and the voted debt service millage
will decrease by 0.0316 mills. This represents a total decrease of 0.0849 mills.
Impact on Homesteaded Properties
Amendment 10 to the State Constitution took effect on January 1, 1995 and limited the increase in
assessed value of homesteaded property to the percentage increase in the consumer price index
(CPI) or three percent (3%), whichever is less. For 2011, the CPI has been determined to be 3.2
percent and therefore, the increase is capped at 3% for increased values as of January 1, 2012.
Overall, based on an analysis of the homesteaded properties in the 201 0 tax roll (the latest
available from the Miami-Dade County Property Appraiser at this time), the median value of
homesteaded property in Miami Beach for 201 2 (as of August 2011) was $11 9 ,461, and the
average $277,201 . Applying the increase to the market value of all existing homesteaded
properties from the 2011 tax roll, and the 3 percent CPI adjustment, the impact of the millage rate
adjustment to homesteaded properties would be as shown in the following table.
Homesteaded Properties
FY 2011/12 (as of
January 1 2011 )* with 3% CPI
Median Average Median Average
Taxable Value $ 119,461 $ 277,201 $ 123,045 $ 285,517
City of Miami Beach
Taxes
Operating $ 737 $ 1,709 $ 752 $ 1,745
Voted Debt 34 71 32 73
Total Miami Beach $ 771 $ 1,780 $ 784 $ 1,818
$ Change in Taxes
Operating $ 15 $ 36
Voted Debt (2) 2
Total Miami Beach $ 13 $ 38
*Source: Miami-Dade County Property Appraiser File as of 8/17/10
Overlapping Jurisdictional Operating and Debt Service Millages
City of Miami Beach property owners must also pay property taxes to Miami-Dade County, the
Miami-Dade County School Board, the Children's Trust, the South Florida Water Management
District, and the Florida Inland Navigation District.
The countywide tax rate for Miami-Dade County is proposed to decrease from 4.8050 mills to
4.7035 mills; the library tax rate is proposed to decrease from 0.1795 mills to 0.1725 mills; and
the debt service millage stayed the same at 0.2850.
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FY 2012/13 Proposed Work Plan and Budget Message
September 12,2012
Page 22
The proposed tax rate for the Miami-Dade School District is 8.0050; 0.2440 mills less than the
prior year millage of 8.2490. The Children's Trust millage is maintained at 0.5 mills. The
proposed tax rate for the South Florida Water Management District is 0.3928; which is the same
as the current year. The proposed tax rate for the Florida Inland Navigation District is 0.0345;
unchanged from the FY 2010/11 millage.
With the Proposed millage rates for FY 2012/13, the Miami Beach portion of the FY 2012/13 tax
bill is approximately 31 percent of the total bill. Of note, even with the recently proposed millage
decreases by the County, the County millage is 7.2 mills less than their millage in FY 2006/07, as
compared to the City's proposed millage which is 7.3 mills less than the City millage in FY
2006/07. Further, the School Board millage is only minimally below the FY 2006/07 millage
rate, despite the recently proposed decrease. The significant difference in the total overlapping
millage rate is a direct result of the City's effort to keep the millage rates as low as possible
A summary of the tax rate changes is provided in the following table.
%ofFY
Variance Variance 12/13
OVERLAPPING TAX MILLAGE FY 06/07 FY11/12 FY 12/13 from 11/12 from 06/07 Total
City of Miami Beach Millage Rates
Operating 7.1920 6.0572 6.0039 -0.0533 -1.1881
Capital Renewal & Replacement 0.1820 0.1083 0.1083 0.0000 -0.0737
Subtotal Operating Millage 7.3740 6.1655 6.1122 -0.0533 -1.2618
Voted Debt Service 0.2990 0.2884 0.2568 -0.0316 -0.0422
Total 7.6730 6.4539 6.3690 -0.0849 -1.3040 31%
Miami Dade County
Countywide 5.6150 4.8050 4.7035 -0.1015 -0.9115
Library 0.4860 0.1795 0.1725 -0.0070 -0.3135
Debt Service 0.2850 0.2850 0.2850 0.0000 0.0000
Subtotal 6.3860 5.2695 5.1610 -0.1085 -1.2250 25%
School Board 8.1050 8.0050 8.0040 -0.0010 -0.1010 39%
Children's Trust 0.4220 0.5000 0.5000 0.0000 0.0780 2%
Other 0.7360 0.4708 0.4634 -0.0074 -0.2726 3%
Total 23.3220 20.6992 20.4974 -0.2018 -2.8246 100%
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FY 2012/13 Proposed Work Plan and Budget Message
September 12, 2012
Page 23
Impact of Combined Tax Rates of Overlapping Jurisdictions on
Homesteaded properties
Applying the proposed millage rates to the median and average January 1, 201 1 taxable values of
$119,461 and $277,201, respectively, half of the homesteaded properties would pay less than
$2,478 for all taxing jurisdictions combined, while the average taxes generated would be
approximately $5,753 per homesteaded property. Of these taxing jurisdictions, the highest
component is the Miami-Dade School Board, at $956 for a median value property, and $2,219 for
an average valued property.
The following table provides examples of changes in property taxes for homesteaded properties as
a result of these declines in values, using the proposed tax rates and potential changes from 2010
values.
Impact on Homesteaded Properties Assuming Changes in Taxable Value
from .January 1, 2012
FV 2011/12 (as of .January FV 2012/13
1 2011)* with 3% CPI
Median I Average Median I Average
201 0 Taxable Value $ 119,461 $ 277,201 $ 123,045 $ 285,517
City of Miami Beach
Operating $ 743 $ 1,723 $ 752 $ 1,745
Voted Debt $ 34 $ 80 $ 32 73
Total Miami Beach $ 777 $ 1,802 $ 784 $ 1,818
Miami Dade County $ 735 $ 1,707 $ 635 $ 1,473
Schools $ 985 $ 2,287 $ 984 $ 2,284
Other $ 138 $ 321 $ 119 $ 275
Total $ 2,635 $ 6,117 $ 2,522 $ 5,850
Change in Taxes
City of Miami Beach
Operating $ 9 $ 22
Voted Debt $ (2) $ (7)
Total Miami Beach $ 7 $ 16
Miami Dade County $ (100) $ (234)
Schools $ (1) $ (3)
Other $ (19) $ (46)
Total $ (113) $ (267)
As with the City of Miami Beach millage rates, impacts of the combined jurisdictional millage rates
for non-homesteaded properties will likely reflect declines in property values, although individual
properties may vary.
GENERAL FUND CURRENT SERVICE LEVEL INITIAL BUDGET GAP
General Fund Revenues
On the revenue side for FY 2012/13, based on the July 1, 2012 Certification of Taxable Value
from the Miami-Dade County Property Appraiser, values of existing properties increased by 5
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FY 2012/13 Proposed Work Plan and Budget Message
September 12, 2012
Page 24
percent from the July 1, 2011 tax roll certification. This increase compares to taxable value
increases of at least 8 percent per year from July 1, 2001 through July 1, 2007, but decreases of
an average of 6.4% per year belween FY 2008/09 and FY 2011/12.
In total, Current Service Level (CSL) revenues are expected to increase by $8.4 million for FY
2012/13, principally due to an increase of $4.3 million property tax as a result of higher property
value, $2.2 million in carry forward of a one-time pension credit from FY 2011/12 as well as $3.3
million in increased licenses and permits revenue, reflecting the increases in building development
activity. These increases are offset by decreases across a number of categories. These decrease
include decreases in the following categories: other taxes due to declining telephone utility tax
revenue, intergovernmental revenue due to trends in gas tax revenue and revenues received for
911 costs which have been moved to a separate fund, charges for services due to fire transport
fees, fines & forfeits due to lower than expected red light camera revenue, investment interest due to
market conditions, and decreases in the miscellaneous revenue category due to corporate
sponsorship one-time signing bonus revenue in FY 2011/12.
The total CSL revenue estimate at this time is $252.7 million, an increase of $8.4 million from the
FY 2011 /1 2 adopted budget.
... ·. < ·.·· •...•.•. ···~ :. <L • ... F~2~~;~}1~· •
• ... •. •. F¥2o12i13: •·o/Joft=V .. lti<;l(Q~Q}ov~r
X '""' • ...... .c.c ·····~/. :> L:{ ;.>\~.~f3:~i·~··} :~d1~13. · FY 2011112 .·· .· ...
•. ~ ·•··. .... t<~ven.1.1e~ · .. sil~~~t? <. · ··~$[;·· ...... J::tifilt e~d.g¢t
,, <-'••>"'··"' '
Operating Millage
Property Tax Citywide 98,198,923 102,042,000 40% 3,843,077
Property Tax South Pointe 10,439,424 10,850,000
Capital Renewal/Replacement 1,755,752 1,825,000 1% 69,248
Normandy Shores 108,469 129,000 0% 20,531
Subtotal 11 0, 502,568 114, 846, 000 45% 4,343,432
Other Taxes 24,278,385 24,023,000 1% (255,385)
Licenses & Permits 17,074,053 20,328,000 8% 3,253,947
Intergovernmental Revenue 10,091,000 9,827,000 4% (264,000)
Charges for Services 4,879,252 4,458,000 2% (421 ,252)
Golf Courses 5,805,119 5,979,000 2% 173,881
Fines & Forfeits 2,574,000 2,192,000 1% (382,000)
Interest 3,430,000 2,983,000 1% (447,000)
Rents & Leases 6,034,143 6,439,000 3% 404,857
Miscellaneous 12,423,449 11,830,000 5% (593,449)
Other-Resort Taxes 26,965,440 26,965,000 11% (440)
Other -Reserves -Bldg Dept 1,546,709 1,500,000 1% (46,709)
Other -parking Surplus Transfer 7,200,000 7,200,000 3% -
OTHER-Prior Year Setaside 3,551,120 3,400,000 1% (151,120)
Prior Yr Set Aside Pension Credit -2,210,000 1% 2,210,000
All Other 7,981,502 8,532,000 3% 550,498
subtotal 133,834,172 137,866,000 55% 4,031,828
Total $ 244,336,740 $ 252,712,000 100% $ 8,375,260
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FY 2012/13 Proposed Work Plan and Budget Message
September 12, 2012
Page 25
GENERAL FUND CURRENT SERVICE LEVEL EXPENDITURES
On the expenditure side, CSL expenditures typically have increased between 6% and 8% annually
due to salary and benefit increases and other normal cost of living adjustments. In FY 2012/13,
increases are estimated to result in an approximately $11 .2 million (4.6%) increase in
expenditures, the majority of which is due to the following:
• A $1 .4 million increase to reflect previously bargained salary adjustments for employees,
including the impact of 5% step increases for employees not at the maximum of their range in
the FOP and IAFF bargaining units; and a maximum of 2 percent performance-based merit
increase for employees in the Government Supervisor's Association (GSA) bargaining unit, the
American Federation of State, County and Municipal Employees bargaining unit (AFSCME) and
unclassified employees. There is no COLA included for any employees nor are there merits for
CWA employees consistent with the status quo of their current agreement.
• A $0.2 million increase primarily due to Fire Department overtime cost, although the Fire
Department overtime budget is projected at a level below prior year actual costs.
• A $5.7 million increase in pension plan contribution costs which will be partially offset in FY
2011/12 by the carryforward of year end fund balance due to a one-time credit of $2.2
million ($2.5 million city wide), as well as $0.1 million increases in other pension costs.
• A $1 .6 million increase in health care costs which reflect both an anticipated 10% increase in
health insurance costs as well as the impact of the expiration of the IAFF and FOP 5 percent of
salaries to reduce city health costs.
• A $0.3 million increase in Other Benefits, primarily due to leave payouts associated with
employees leaving employment with the City.
• A $3.2 million Increase in Internal Service Fund charge-backs to Departments primarily due to
similar increases in salary and pension costs as described above that are then charged back to
the General Fund, as well as equivalent increases in health insurance costs for retirees,
increases in Police liability claims and increases in debt service for fleet vehicles. It is important
to note that fuel prices in FY 2012/13 are budgeted at current prices. Should prices increase
further, the General Fund will need to fund these increases.
• A $1.7 million decrease in other operating costs primarily due to the offsetting move of 911
expenditures to a separate fund, decreased rent as Fire Prevention is now in a city facility,
decreased copier rental costs associated with the new contract, energy and maintenance
savings anticipated from initiatives implemented by Amaresco, as well as continued refinement
and efficiencies in operating needs.
• A $.3 million increase in capital costs due to increased transfers to the Renewal and
Replacement Fund as a result of the increased values and the dedicated millage, as well as
increases in debt service resulting from off-setting debt related to the Amaresco initiative.
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FY 2012/13 Proposed Work Plan and Budget Message
September 12, 2012
Page 26
,, ·, , .•• , •. ,,·.. <. , .... ''··' ,:a;~~o;a.~-t~ .:.:,o/cJ.of~¥ Jnol(P&e}ovE)r
,,·,,. '· · .,., .•
1 '~v8\20•. ud., •..•. 1.~1 .• e·.·.,.~.•t1.; .. ~~. ·i;', ,· , · ;. c8i. {~z2.~: .•. u.,.c'.' .. 1.····S2 .... f ...... ·.l· ,'~. :.,.!., .•• tya·········21'.:.o8,·:·1
0
'1.'d11
9
2e· ···t>
Salaries
Overtime/Other Wages
Benefits
Pension -F&P
Pension-MBERP
Other Pension Costs
Health and Life
Other Benefits
Total Benefits
Total Salary and Benefits
Operating
Internal Service Funds
Capital & Debt
Total
c'·.<· • ·. • . . . · .. · ~ , . · ; ~~il.l~lg~t . . . .·. """ .... . .·· .. ·. . , .. .
$ 101,126,813 $102,540,000 40.1% $ 1,413,187
10,419,043 10,658,000 4.2% 238,957
35,602,142 38,532,000 15.1% 2,929,858
10,964,684 13,756,000 5.4% 2,791,316
5,802,867 5,913,000 2.3% 110,133
9,147,658 10,782,000 4.2% 1,634,342
4,043,146 4,333,000 1.7% 289,854
65,560,497 73,316,000 28.7% 7,755,503
177,106,353 186,514,000 73.0% 9,407,647
26,983,687 25,300,000 9.9% (1 ,683,687)
36,131,881 39,312,000 15.4% 3,180,119
4,114,819 4,447,000 1.7% 332,181
$ 244,336,7 40 $ 255,573,000 100% $ 11,236,260
The resulting gap between General Fund CSL expenditures and CSL revenues 1s approximately
$2.9 million.
It is important to note that operating costs are approximately $1.7 million less than the FY 2011/12
budget, reflecting the continuation of various cost savings initiatives by the City such as re-bidding
contracts, and careful review of department line item expenditures.
Together, salaries and fringe represent 73 percent of CSL costs, with salaries and pension
representing approximately 67 percent of the total current service level (CSL) budget of $255.6
million, (including the impacts of merit/ steps increases, pension contributions, etc.)
APPROACHES TO BALANCE
Based on direction provided by the Finance and Citywide Projects Committee meetings in July and
August 2012, the approximately $2.9 million shortfall between Current Service Level revenues and
expenditures has been addressed through employee givebacks of $2.6 million, which partially
offsets the additional employee health and pension cost ..
The total cost of additions and service enhancements in the General Fund ($3 .7 million) has been
more than offset by departmental efficiencies, an additional resort tax transfer, and revenue
enhancements, resulting in a surplus of $1 .1 million to be used as a set aside for the FY13/14
budget, to offset the loss of the one time carryforward of the $2.1 million FY 2011/12 pension
credit savings to FY 2012/13.
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FY 2012/13 Proposed Work Plan and Budget Message
September 12, 2012
Page 27
The resulting total Proposed General Fund Operating Budget for FY 2012/13 is$ $256,975,000,
which is $12.6 million or 5 percent more than the FY 2012/12 Adopted Budget of
$244,336,7 40.
Proposed CSL Budget
Revenues $ 252,712,000
Expenditures $ 255,573,000
Net CSL Gap $ (2,861,000)
:-:~; .. -.:_ ,_. _:,~: ~ ::·:; .<:.'-··. , r··;: :~.:·; .. ·· ·-~?<·~ .: .··:~·::·<·\, .. : · . ··;;,.>(:: .:·,::0.:.:~·~ ~ :.:~~::\ ~:.~ S: .;~-~:\· :.~,::~ : .. :: :~~~ <-::·:~::~:::.::;~ .. :.:.~ ~: .~ ;~/:.;~:,:::·'3;··\· :}~:~:\~~;.~~~:a;~\~·:·:~.:·.~{~,:::· .;_:F: :·::~.?<·~· .: } ,;0 :'.:' .
$7.2 million in pension increases across all funds prior to a one time credit and $5.7 million in
the General Fund. $1.9 million health increase citywide and $1.6 million in the General Fund,
including the $.86 million impact of the expiration of the five percent of salaries giveback
toward health insurance for Police and Fire
General Fund Employee Givebacks
Potential· A~ditional Changes in.E:xpendi~ures
Living Wage FY2012/131ncrease
Landscape Maintenance Impact of New Capital Projects
Minimal Impact Reductions/Efficiencies
Service Reductions
Additions and Enhancements
Additional Building Positions in Response to Increased Demand
Enhancements for Internal Affairs and Ouside Audits
Transfer to Pay As You Go
Other Service Enhancements
General Fund Impact of Change to Health Insurance Start Date for New Employees
General Fund Impact of Internal Service Fund Enhancements
$
Impact of Efficiencies/Enhancements $
Ottt.er ~~aqges in Revenues
Resort Tax-Transfer to GF
Additional CIP Chargeback Revenues
Revenue Enhancements
75
Revised Net Gap $
$
$
$
$
Tot.al ~e.t StlrPI.us/Set A.Side $ ··
2,600,000
(2,600,000)
62,000
81,000
(932,000)
702,000
200,000
1,400,000
1,253,000
(24,000)
134,000
2,876,000
(3,137,000)
4,000,000
263,000
4,263,000
1;c126,000
FY 2012/13 Proposed Work Plan and Budget Message
September 12, 2012
Page 28
Options for Further Reducing the Millage
An analysis was performed to determine what the impact on property tax revenue would be with
further millage reductions. The following table illustrates the corresponding millage rate for reducing
the operating property tax revenue by $1 million as well as the impact of reducing the millage to
the roll-back rate.
Proposed Proposed Proposed Proposed Proposed Proposed
General
Fund Renewal & Operating Debt Total Change In
Millage Replmnt Millage Millage Millage Total Millage
Revenue Impact Rate Rate Rate Rate Rate Rate
Decrease of $1 million from GF
revenue at proposed millage rate $ 1,000,000 6.0039 0.1083 6.1122 0.2568 6.3690 0.0533
Reducing millage rates would also impact revenues to the Redevelopment District by $180,000 and
$1,640,000 respectively for the two scenarios.
Enterprise Funds are comprised of Sanitation, Water, Sewer, Stormwater, Parking, and Convention
Center Departments. The Proposed FY 2012/13 Enterprise Funds Budget is $161 .1 million. . This
represents an increase of $4.4 million (2.8 percent) from the FY 2011/12 budget of $156.7 million,
primarily due to:
• increases in salary, pension and health cost similar to those described in the General Fund,
although in the Sanitation Department Proposed Budget incorporated reduced personnel costs
and increased use of temporaries based on historical information ($2.1 million)
• Increases in Sewer treatment and DERM fees charged by Miami-Dade County ($4.6 million)-
with associated increases sewer revenues collected by the City
• Increases in funding for future renewal and replacement projects and equipment which is
determined by prior year depreciation amounts ($2.2 million)
These increases area offset by decreases in debt service payments by the Stormwater Fund ($2
million)as the debt service for bonds sold in FY 2011/12 along with the associated refinancing of
existing bonds resulted in lower than budgeted debt service costs; reduced operating costs in the
Convention Center offset by reduced revenues due to an accounting treatment change of electrical
revenues ($1 .2 million); reduced funding needed to be transferred for the Stormwater Rate
Stabilization Fund ($1 million); and other miscellaneous reductions ($0.3 million).fee impact is 37
cents per household per month.
76
FY 2012/13 Proposed Work Plan and Budget Message
September 12, 2012
Page 29
Internal Service Funds are comprised of the Central Services, Fleet Management, Information
Technology, Risk Management and Property Management Divisions. The Proposed FY 2012/13
Internal Service Fund budget is $59.3 million. This represents an increase of $5.0 million (9.3
percent) from the FY 2011/12 budget, primarily due to increases in salary, pension and health cost
similar to those described in the General Fund as well as increases in Police liability claims ($.75
millionL and debt service for replacement of vehicles and equipment ($1 .1 million). These costs are
completely allocated to the General Fund and Enterprise Fund departments, and the Risk
Management Fund reimburses the General Fund for the cost of legal services.
··.·I
The Proposed FY 2012/1 3 Resort Tax budget is $54.2 million, an increase of $6.6 million ( 14
percent) from FY 2011/12. This reflects the continued increase in resort tax revenues, consistent
with other tourism indicators throughout the County, but especially in Miami Beach. Of the $6.6
million increase:
• $4 million is transferred to the General Fund for tourism-related services provided by
General Fund departments for a total transfer of $30.47 million.
• $0.72 million is used to increase funding for Memorial Day and Spring Break to levels
deployed in FY 2011/12 as well as provide for enhanced holiday decorations
• $0.05 million is for the contractual CPI adjustment in the transfer to the Greater Miami
Convention and Visitors Bureau, for a total of $5.31 million.
• $0.39 million and $0.30 million are transferred for quality of life capital projects and the
arts and the Miami Beach Visitors Convention Authority based on funding formulas, for a
total of $4.68 million and $2.11 million, respectively.
The Debt service is increased by $0.38 million from $5.52 million to $5.90 million, and
administrative expense are increased by $0.1 0 million
Further, $100,000 continues to be funded for a Miami Beach marketing campaign and $83,000
for tourism related economic development activities in North Beach. In addition $148,000 was
added in FY 2012/13 for a Washington Ave Tourism Enhancement Initiative; and $100,000
towards attracting a major event such as the Miss USA pageant and places $.48 million in
contingency.
Although the development of our budget this year has been challenging, through rigorous review
and good leadership, the Proposed Work Plan and Budget for FY 2012/13 is balanced and
enables the City of Miami Beach to continue delivering outstanding, enhanced services to our
residents, businesses and visitors, providing fee relief in our Enterprise Funds, and continuing
structural enhancements to ensure the long-term sustainability of the City.
77
FY 2012/13 Proposed Work Plan and Budget Message
September 12, 2012
Page 30
In summary, the Proposed FY 2012/13 General Fund operating budget maintains current service
priorities for the community, despite property tax rates set at 1.3 mills (17 percent) lower than FY
2006/07. Further, I am also recommending keeping water, sewer, and stormwater rates flat, other
than the sewer pass through for increases in the Miami-Dade County wholesale sewer rate.
The development of this year's Proposed Work Plan and Budget has challenged our City staff and
the Commission as we sought to balance a budget in spite of high pension increases, particularly in
the Fire and Police Pension system, as well as a significant increase in health insurance. I would
like to thank Mayor Matti Herrera Bower, and the Members of the Miami Beach City Commission,
for your continued guidance, support and leadership with the budget process and in helping to
accomplish so much on behalf of our residents and for the entire Miami Beach community. I would
also like to recognize those bargaining units that previously agreed to employee "give-backs" so
that we can begin to control personnel costs as well as our employees for their continued
commitment to the City's mission of providing excellent public services and working so hard to help
accomplish so many positive results that benefit the entire community despite the challenges and
uncertainty of the past several months.
Finally, I would like to thank all staff from throughout the City who worked so hard to identify every
opportunity for cost reductions in their departments, as well as itemize alternatives with a wide
range of service impacts to meet the required cost reductions. I would particularly like to thank my
Assistant City Managers, Chief Financial Officer, and all Department and Division Directors. I
appreciate all of us working together towards a reduced budget that still allows us to accomplish
our goals. In particular, I would like to recognize and thank Tim Finch, Budget Officer; Dr. Leslie
Rosenfeld, Director of Organizational Development, Georgette Daniels, Glen Hall, T ameka Otto-
Stewart, and Paula Rodriquez, Management and Budget Analysts; and Office Associate Jennifer
White.
Respectfully submitted,
Kathie G. Brooks
Interim City Manager
78
...... c,g ATTACHMENT A· FY 2012113 BUDGET· PRIOR YEAR REDUCTIONS, PRELIMINARY CSL PRELIMINARY CSL INCLUDES 10% Increase in Health Insurance Does not include increases to livinq waqe 5-Year Prior Reductions (Adjusted For FY 2010/11 PLAN B*) PROPOSED FY 2012113 CSL CSL Budget Prior to Pension and Internal Service Adjustments $ Impact/% of Adjusted FY Positions/% of Adjusted (rounded to the 2010/11 Budget FY 2010/11 Budget FY 2011112 Adopted Bud et OOO"s) $ chanoe %Chg General Fund Prior to Pension and Internal Service Ad'ustments $'s % FT PT % $'s FT PT $'s $"s $'s M~_c:>r & Commission $ (142,801) -9% -2.3 0.0 -13% $ 1,583,448 18.6 $ 1,639,000 $ 55,552 3.5% $ City Manager $ 348,867) -15% -3.3 0.0 -34% $ 2,335,776 9.7 $ 2,388,000 $ 52,224 2.2% $ Communications $ 367,859) -42% -4.0 0.0 -80% $ 909,730 5.0 $ 913,000 $ 3,270 0.4% $ OBPI $ (298,449) -16% -3.0 0.0 -25% $ 1,917,136 12.0 $ 1,951,000 $ 33,864 1.8% $ Finance $ (588,321) -14% -10.0 0.0 -31% $ 4,275,284 32.5 $ 4,255,000 $ (20,284) -0.5% $ Procurement $ (127,405) -13% -1.0 0.0 -11% $ 962,664 8.0 1.0 $ 1,022,000 $ 59,336 6.2% $ Human Resources/Labor Relations $ (429,538 -25% -5.5 1.0 -29% $ 1,772,358 21.0 1.0 $ 1,798,000 $ 25,642 1.4% $ City Clerk $ (79,899) -5% -1.4 0.0 -15% $ 1,560,178 9.6 $ 1,528,000 $ (32,178 -2.1% $ City Attorney $ (475,555) -12% -3.3 -1.0 -23% $ 4,159,498 18.7 $ 4,204,000 $ 44,502 1.1% $ Real Estate, Housing & Community Dev $ 281,910 -14% -4.0 0.0 -40% $ 2,171,769 17.1 $ 2,374,000 $ 202,231 9.3% $ incl. Community Services) Building $ (601,165) -6% -8.0 0.0 -11% $ 9,975,047 73.0 $ 10,065,000 $ 89,953 0.9% $ Planning $ (310,351) -10% -4.0 0.0 -16% $ 3,187,333 25.0 $ 3,366,000 $ 178,667 5.6% $ TCD $ (550,900 -21% -2.0 0.0 -15% $ 2,426,925 5.5 $ 2,511,000 $ 84,075 3.5% $ Code Compliance $ 843,827) -20% -13.0 3.0 -21% $ 4,355,491 37.0 2.0 $ 4,454,000 $ 98,509 2.3% $ Parks & Recreation (including Golf courses $ (2,900,743 -10% -27.0 -26.0 -18% $ 28,092,835 173.0 134.0 $ 27,856,000 $ (236,835) -0.8% $ Public Works $ 1,446,535 -23% -17.5 0.0 -42% $ 6,378,093 41.4 $ 6,373,000 $ 5,093 -0.1% $ CIP $ (_63,863) -1% 1.0 0.0 3% $ 4,744,094 38.0 $ 4,699,000 $ (45,094) -1.0% $ Police $ 5,266,901) -6% -62.0 1.0 -12% $ 91,992,541 508.0 14.0 $ 93,088,000 $ 1,095,459 1.2% $ Fire $ (2,368,194) -4% -7.0 0.0 -2% $ 58,942,391 303.0 48.0 $ 59,866,000 $ 923,609 1.6% $ Ci~de $ (1,689,544 -15% 0.0 0.0 0% $ 10,041,012 $ 9,637,000 $ (404,012) -4.0% -------__ Subtotal _L_ (19,1!Jb627) -8% ___-1_77.4 -22.(!_ -13% $ 241,783,603 1356.0 200.0 $ 243,987,000 $ 2,203,397 0.9% $ General Fund Transfers $ Capital Reserve $ (2,500,000) $ $ $ -Pay-As-You-Go Capital $ (7,500,000) $ $ $ -Info & Comm. Tech Fund $ 714,115) $ 600,885 $ 601,000 $ 115 0.0% C<ljlitallnvestment Uokeep Ace! $ (1,618,000 $ 196,500 $ 219,000 $ 22,500 11.5% Renewal and Replacement Fund $ 1,056,529) $ 1,755,752 $ 1,859,000 $ 103,248 5.9% Homeowners Dividend $ (4,900,000) $ Transfer to Risk Fund $ (1,000,000) $ Transfer to 11% Reserve $ (3,338,419 $ PRELIMINARY PENSION INCREASE EST. Fire & Police $ 2,929,000 $ 2,929,000 MBERP $ 2,791,000 $ 2,791,000 FY2011/12 Credit ($1.7M F&P, $0.5M MBERP) $ INTERNAL SERVICE FUNDS INCREASE $ 3,187,000 $ 3,187,000 Total General Fundll $ (41,809,690) -18% -177.4 -22.0 -13% $ 244,336,740 1356.0 200.0 $ 255,573,000 11 $ 11,236,260 4.6% $ . Neigborhood Services Department was split into various functions and significantly reduced in FY 2007/08-Chart reflects reductions as part of Code Compliance •• FY 2010/11 Budget included reductions for contracting out/converting positions to part-time, resulting in $221,901 in deparment Plan B savings offset by increased contingency. These were not implemented and the FY 2010/11 Department budget have been adjusted to reflect the impact. CSL with Pension and Internal Service Internal Alloactions Addtl. Pension Service (rounded to the Efficiency Allocation Allocations OOO"s) Reorg. Etc. $'s $'s 23,028 $ (4,889) $ 1,657,000 $ -46,115 $ 29,558 $ 2,464,000 $ (132,000) 13,809 $ (27,167) $ 899,000 $ 41,835 $ 27,386 $ 2,021,000 $ 72,084 $ 133,085 $ 4,461,000 $ 51,182 $ 631) $ 1,073,000 $ 28,625 $ 16,228 $ 1,843,000 $ 22,708 $ 20,589 $ 1,572,000 $ 57,000) 108,091 $ 43,841 $ 4,356,000 $ 97,352 $ (32,918) $ 2,438,000 $ 197,755 $ 87,406 $ 10,350,000 $ 74,951 $ 9,520 $ 3,451,000 $ (15,524 $ (35,645) $ 2,460,000 $ 118,354 $ 87,877 $ 4,660,000 $ 386,378 $ 606,281 $ 28,849,000 $ (64,000) 118,904 $ 152,431 $ 6,645,000 $ (71,000) 140,231 $ 47,288 $ 4,886,000 $ 1,647,946 $ 719,287 $ 95,455,000 $ (136,000) 2,546,145 $ 849,682 $ 63,262,000 $ $ 457,491 $ 10,092,000 $ 152,000) 5,719,969 II $ 3,186,700 $ 252,894,000 $ (612,000) $ 601,000 $ (320,000) $ 219,000 $ 1,859,000 5,719,969 $ 3,186,700 $ 255,573,000 $ (932,000)
00 0 PRELIMINARY CSL INCLUDES 10% Increase in Health Insurance Does not include increases to living wage 5-Year Prior Reductions (Ad'usted For FY 2010/11 PLAN B*) PROPOSED FY 2012113 CSL CSL Budget Prior CSL with Pension to Pension and and Internal Internal Service Service Adjustments Internal Alloactions Addtl, $ Impact/% of Adjusted FY Positions/% of Adjusted (rounded to the Pension Service (rounded to the Efficiency 2010/11 Budget FY 2010/11 Budget FY 2011/12 Adopted Budget OOO's) $change %Chg Allocation Allocations OOO'sl Reorg, Etc. Internal Service Funds Information Technology $ 1,421 ,977) -10% -10,0 0.0 -28% $ 15,229,854 35.5 $ 16,157,000 $ 927,146 6.1% $ 124,231 $ $ 16,281,000 $ Risk Management $ (325,443) -2% -0.5 0.0 -7% $ 21,750,296 6.7 $ 23,482,000 $ 1,731,704 8.0% $ 12,362 $ 152 $ 23,494,000 $ Central Services $ (82,064) -10% -1.6 0.0 -36% $ 886,490 4,4 $ 904,000 $ 17,510 2.0% $ 9,390 $ (7,207) $ 906,000 $ Property Management-Non RDA $ 1 ,469,437) -18% -22.0 0,0 -50% $ 8,234,369 44.0 $ 8,647,000 $ 412,631 5.0% $ 90,458 $ 56,512 $ 8,794,000 $ Fleet Management $ (199,304) -2% -3.0 0,0 -14% $ 8,179,436 20.0 2.0 $ 9,653,000 $ 1,473,564 18.0% $ 59,893 $ 12,474 $ 9,700,000 $ PENSION INCREASE MBERP 10% of$3.6M CityvMe) $ 297,000 $ 297,000 INTERNAL SERVICE FUNDS INCREASE $ 37,000 $ 37,000 ROUNDING $ 2,000 $ 2,000) Total Internal Service Funds $ (3,498,225 -7% -37.1 0,0 -41% $ 54,280,445 110,6 2.0 $ 59,175,000 $ 4,896,555 12.6% $ 296,334 $ 36,983 $ 59,175,000 $ SUB-TOTAL GENERAL FUND+ INTERNALS $ (45,307,915) -16%11 -214,5 -22.0 -14%11 $ 298,617,185 1466,6 202,011 $ 314,748,000 16,132,815 0.211 3,223,683 314,748,000 $ (932,000) Enterprise Funds Convention Center $ (403,781 -3% 0.0 Q,Q 0% $ 13,478,680 2.50 $ 12,702,000 $ (776,680) -5.8% $ 28,184 $ 4,958 $ 12,702,000 $ Water $ 654,713 -2% -13.0 Q,Q -23% $ 33,519,573 52.15 $ 33,555,000 $ 35,427 0.1% $ 83,780 $ 280,923 $ 33,919,000 $ Sewer $ 232,969) -1% -7.0 0.0 -20% $ 34,458,433 35.15 $ 37,323,000 $ 2,864,567 8.3% $ 68,739 $ _(_80,570 $ 37,311,000 $ (47,000 Stormwater $ 650,175) -4% -0.5 0.0 -2% $ 14,586,215 21.30 $ 11,926,000 $ (2,660,215) -18.2% $ 25,378 $ 10,521 $ 11,962,000 $ Sanitation $ (473,232) -3% -3,0 0,0 -2% $ 15,929,943 179.00 $ 17,064,000 $ 1,134,057 7.1% $ 295,632 $ 184,404 $ 17,544,000 $ 111,000) Parking_ $ 918,151 -2% -8.0 8.0 0% $ 44,720,629 116.00 21.00 $ 47,204,000 $ 2,483,371 5.6% $ 273,997 $ 901,049 $ 47,204,000 $ (38,000) PENSION INCREASE MBERP (10% of$3.6M Cit\"Mde) $ 776,000 $ 776,000 INTERNAL SERVICE FUNDS INCREASE $ 1,302,000 $ 1,302,000 RENEWAL & REPLACEMENT FUNDING $ (1 ,210,000) $ (1 ,210,000) Total Enterprise Funds $ (3,333,021) -2% -31.5 8,0 -6% $ 156,693,473 406,1 21.0 $ 160,642,000 $ 3,080,527 2.8% $ 775,710 $ 1,301,285 $ 160,642,000 $ (196,000) GRAND TOTAL*']L!__ (48,640,936)! -11% -246JlJ -1~-13%IU_ 455,310,658 1 _1872.71 223,011 $ 475,390,000 II $ 19,213,342 1 6.5%11 $ 6,792,01311 $ 4,524,968 11 $ 475,390,000 1 $ (1,128,000)1 In addition, in FY 2009/10 there are 23 Police and Property Management positions budgeted in the City Center RDA and 19.6 FT positions budgeted through grants and special revenue funds, The FY 2010/11 Proposed Budget for the RDA recommends reducing 1F1 FT positions through PContracting Out as shown in Exhibits B-D. '~~**The City Center RDA budget also includes the reduction of 1 full time position as part of minimal service impact
ATTACHMENT B
POSITIVE IMPACT OR MINIMAL SERVICE IMPACT, EFFICIENCIES, ETC.
I Position Impacts
Cumulative Full Part Proj. Mgt.& Non
GENERAL FUND Impact Dept. Impact Time Time Vacant Filled Admin Mgt.
Police
Community Policing Reconfiguration-Eliminate 1 Police Commander in
Technical Svcs plus 1 Administrative Aide I position in CID and replace
with 3 Crime Analyst positions (67,000 (67,000 1.0 1.0 (2.0 3.0
Information Technology Enhancement-Add 1 Senior Systems Analyst,
offset by $80,000 reduction in overtime (8,000 (75,000 1.0 1.0
Convert Emergency Manager from full-time to part-time effective 1/1/13
(filled Major position to be vacated 1/1/13) (61,000\ (136,000 (1.0 1.0 (1.0
Parks & Recreation
Eliminate (5) vacant positions (1 MSW I and 4 MSW II) for FY12 and utilize
a portion of the funds, to obtain contractual professional irrigation services
utilizing a contracted irrigation service provider for $80,000. Assumes
implementation October, 2013. Add list of positions (43,000) (43,000 (2.0 (3.0 (5.0 (5.0
Eliminate ( 1) MSW Ill part-time _(21 ,000 (64,000 (1.0 (1.0
Public Works
Eliminate 1 Street Operations Supervisor position (71,000)1 (71,000)1 (1.0) (1.0ll (1.0
City Manager's Office
Freeze one (1) Assistant City Manager (ACM) position and one (1)
assistant for 6 months during interim transitional period -Assistant
incumbent to be placed in existing vacancy (132,000 (132,000)
lcitv Ch.rk
Transfer passport service function to the Customer Service Center
eliminate 1 Office Associate II position (57,000 (57,000 (1.0 (1.0 (1.0
ICitvwid<>
Replace CAC supplemental funding from General Fund with an increase in Quality
of Life Funding (estimated increase of $200,000 from FY12 to FY13) (152,000) (152,000
Total General Fund Without Transfers $ (612 OOOll $ (612,000)1 (3.0ll (3.0ll (6.0ll (1.0ll (2.0ll (4.01
Reduced funding for IT Technology projects based on department requests (320,000) $ (320,000
Total General Fundi $ (932,000!1 $ (932,000)1 (3.0)1 (3.0)1 (6.0)1 (1.0)1 (2.0)1 (4.0
Cumulative
INTERNAL SERVICE FUNDS Impact Dept. Impact
Risk Mam1_g_ement -Insurance
on .. .I
iA meaisal iAs~raAse ~laA~0IRis is IRe sam~' as wRal s~rreAIIy eJ<isls fer Aewly Rire~ I
slassiliea em~leyees. {$:JQ,QQQ) $ -
Property_ Management
Reslassify Qata !>Airy Glerl~ !JesitieA !e Gffise Asseeiate IV !e iAGFease
e#isieney I:Jy eemi:JiAiAg data eA!ry duties aAd admiAistmtive su!)!)ert
neeEieEI ($€l,QQQ) $ -
Total Internal Services Funds $ -$ -
81
I
Cumulative Full
GENERAL FUND Impact Dept. Impact Time
Cumulative Full
ENTERPRISE FUNDS Impact Dept. Impact Time
Sewer I I
Eliminate 1 Assistant Pumping Mechanic l (47,000)1 (47,000)1 (1.0)1
Sanitation
Eliminate 1 Vacant Waste Driver Supervisor (49,000 (49,000 (1.0
Reelassify -t Administrati•1e Aide l aRd fej3laGe witA aR -t GfllGe AsseGiate V-
te J*9Vlde aR enllaReed level ef Administrative WW9fl f9{jUifed by rnvisieR
"" """' (49,000
Outsource Maintenance of Beachfront restrooms -2 MSW II and 2 MSW
Ill (Sanitation) $ (62,000) $ (111,000 _(_4.0
Parking
SIGN SHOP & METER SHOP UNITS -Convert 1 Parking Operations
Supervisor from full time to part time. No decrease in Level of Service
$ (18,000 $ (18,000\ (1.0
SIGN SHOP & METER SHOP UNITS-Convert 1full-time Meter Tech II
and 1 full-time Meter Tech I TO 3 PT Meter Tech Is No decrease in Level
of Service
$ (4,000 $ (22,000\ (2.0\
ENFORCEMENT-Convert 3 full-time Pkg Enforcement Specialist Is to 4
part-time Pkg Enforcement Specialist Is. No decrease in Level of Service
$ _{16,000 $ (38,000\ (3.0\
Total Enterp_rise Fund!>)_$ J196,ooo)L $ (196,000)1 (12.0)1
OTHER FUNDS
Health Insurance Fund
Implement a 90 day waiting period for newly hired unclassified employees enrolling
in medical insurance plans this is the same as what currently exists for newly hired
classified employees.
82
Position Impacts
Part Proj. Mgt.& Non
Time Vacant Filled Admin Mgt.
Position Impacts
Part Proj. Mgt.& Non
Time Vacant Filled Admin Mgt.
I I I I
I I I I (1.0
(1.0 (1.0
. (4.0 (4.0
-
1.0
3.0
4.0
8.0 (5.0)1 o.o I o.o I (6.0l
ATTACHMENT C
POTENTIALSERVICE ADJUSTMENTS
GENERAL FUND Impact
Police
!'ilimif>ate 4 8GAool biaisGfl GffiBefs & + 8GAool biaisGfl ~ +Aese f'9Silioos seFVe as
liawf\s 19 tf\e f*ll>li6 elemefllafy aFid miGGie sffieels ifl Miami Beaffi. €limiflatioo will rest!ll ifl f\G
elfiGefS beif1!1 assi§ReG 19 tf\e f*ll>li6 sffieels ifl Miami Beaffi. wfliGfl lea<ls 19 a §fOOlef
<lissatisfastieA IFGA1 witeiA tee GCA1A1"Aily. ($~~8.GQQ)
!'ilimif>ate GAe + -Safety Sj>eGialisl assi§ReG 19 GfifAiRal IAvesti§atieA Qivisoo
(CID)/AdmiAistmtieA. +Ae aSHity 19 review aFid ellllaAGe vi<loo IFeA1 GFime SOOAe& will l>e
~ aFid may rest!ll ifl ~ ~ tim&. This will <lelay tf\e sel¥al>ilily laslaFs el
Gef!aiA ty~es el sFimes. ($§Q,QQQ)
Re-assigR Gllieef assi§ReG 19 tf\e Pelire AtAleli6 beagoo aFid elimiRale + vasaRl Gllieef pesitielt
Tee im~aat •Nill sea less iA FelatieAseip with ye"th ~Fe§FaA1S withiA the City (ee,GGG).
Fire
Reduce the Overtime Budgets (1210, 1220) by amending the minimum staffing ordinance to set
staffing levels to a minimum of 42 personnel when there are more than 3 unscheduled absences
at the start of the shift. Note: There are no reductions to the number of firefighters assigned to
shifts. Projection based on 07/08, 08/09 and 09/10 OT costs for 43rd and 44th person and shift PENDING STUDY
strength of 184 (the same as the last three Fiscal Year). Annual estimated impact is $800,000 but AND CONTRACT
requires collective barqanninq with the union. Implementation 7/1/12 is assumed. NEGOTIATIONS
Fire {Ocean Rescue)
P€NQING-
~
n IOVAbbi+A+Iml
Total $ -
83
Position Impacts
Cumulative
Department Full Part Proj. Mgt& Non
Impact Time Time Vacant Filled Admin Mgt.
$ -
$
$ -
I~ -I --I -
ATTACHMENT E
POTENTIAL REVENUE ENHANCEMENTS
Cumulative
Fiscal Impact Department Cumulative Impact Fund Impact
GENERAL FUND
Police
Charge for commercial false alarms consistent with Miami-Dade County which is to not start charging the $100
! penalty until the forth violation, and having it raise with additional violations and capped $500. $ 7,000 $ 7,000 $ 7,000
Fire
Increase Fire Transport Fees to Miami Dade County Levels for FY 12012/13 and
add charges similar to Hialeah and Coral Gables
SERVICES AND TRANSPORT Miami Beach Miami-Dade
ADVANCED LIFE SUPPORT (ALS) N/A N/A
ALS 1 TRANSPORT 1 $600.00 $800.00
ALS 2 TRANSPORT 2 $800.00 $800.00
SPECIALTY CARE TRANSPORT (ALS SCT) $0.00 $900.00
BASIC LIFE SUPPORT (BLS) TRANSPORT $500.00 $800.00
PROCEDURES AND EQUIPMENT
BACKBOARD $25.00 $25.00
CARDIAC MONITORING $25.00 $25.00
CERVICAL COLLAR $25.00 $25.00
IV SOLUTIONS $25.00 $25.00
MILEAGE PER MILE OR FRACTION $10.00 $15.00
OXYGEN PER TANK OR FRACTION $30.00 $30.00
SPECIAL HANDLING (EXTRICATION, ETC.) $25.00
Coral Gables!
CARDIAC ARREST RATES Hialeah
AUTO PULSE LIFEBANDS $175.00
RESCUE POD $100.00
DEFIBRILLATION PADS $100.00
EZ-10 $100.00 $ 192,000 $ 192,000 $ 199,000
Parks and Recreation
Increase Staff Rental Rates. Example below show est. rental revenues collected in FY11 & compare them to
est. proposed rates for the total est. increases in revenues. Staffing: $63,000 est. collected in FY 11; Proposed
40% Increase (from $25 to $35 o/hr) in FY 13 is $88,000. Difference (Est. Revenue Increase)= $25,000 $25,000 $ 25,000
IAerease ResiEieA! PavilieA ReA!al Rates feF 4 lleuF ReA!al, iAeluEiiA§ NeHRaAEI~' Isle, Muss PaFI(, Palm lslaAEI.
lo. '"' · c:" '" ,; .,., · ·
Fe'IOAUeS.
ln. '""'"" ., • ..,, · , c:" • ., .,. nnn $ 25,000
Proposed Increase in Resident North Shore Open Space Pavilion Rental Rates. Examples below show est.
rental revenues collected in FY11 & compared to est. proposed rates for the total estimated increases in
revenues.
Pavilions: $21,000 est. collected in FY 11; Proposed 100% Increase (from $75 to $125) in FY 13 is $35,000.
Difference (Est. Revenue Increase)= $14,000 $14,000 $ 39,000 $ 238,000
TCD
Add a $1 facility processing fee for all tickets at the Colony Theatre POTENTIAL
$ 5,000 $ 5,000 GENERAL
!;;slal:llisf1 a $Q.2a "eemf)" Iiske! ei'EieF flFeeessiA§ fee $3,Q(J(J FUND
$ 5,000 REVENUES
Co· produce events charging 30% of ticket sales rather than theatre and equipment rental
$ 20,000 $ 25,000 $ 263,000
84
ATTACHEMENT D
PROPOSED ADDITIONS AND SERVICE ENHANCEMENTS Positions
Cumulative
IPT Fiscal Impact Impact FT
GENERAL FUND
Potential Additions
Living Wage -existing contracts with living wage 62,000 62,000
Living wage -potential impact for expiration of current golf course management agreement
1$150,000-pending contract negotiation/re-bid) TBD 62,000
Additions Since FY 2011/12 Budget
Locations added to the Parks & Recreation's Greenspace Management Division's areas of
responsibility after the completion of the budget process with additional costs identified at the
following locations:
CITYWIDE MOWING:
• Dickens & Tatum Waterway 21 Bum pouts & Medians (CIP)-$22,140
• Bonita Drive South -$768
• North Shore Park & Youth Center (Sports Field) increase for Bermuda -$34,001
• Miami Beach High School Swale, Dade Blvd N. to Par 3-$7,350
• Hibiscus Island Hurricane Evacuation Site -$2,250
GROUNDS MAINTENANCE:
• Flamingo Neighborhood Streetscape Swales & Bum pouts-$3,500
• Washington Avenue Dog Park Increase-$1,250
• Normandy Business District (FDOT/CIP)-$3,000
• 71st Street Sidewalk Planters (FDOT/CIP)-$6,000
In addition the following will be added to the RDA budget
• Bass Museum (Renovated Site) CITY CENTER /RDA $8,100
• Soundscape Park Special Events (additional service required to facilitate the 38 plus events
held at this Park: Movies, Wallcasts, Opera Nights, etc)-$19,200 81,000 81,000
Total Additions 143,000 143,000
Potential Enhancements
Police
Internal Affairs Reorganization -Add 1 Investigator Supervisor and eliminate a Major position
after 5 months in FY 2012/13 through attrition-currently the Police Department has one
Lieutenant position underfilling a vacant Major position due to Reorganization --when a
Lieutenant position is vacated in February 2013, the Major position can be eliminated. 50,000 50,000
IAtemal ,AJfaiFs ReeF§aAi<:atieA AEIEiiA!J a swem iAvesti§ateFs aAEI ~ Q,£W.. ~ SeF!JeaAt t:las
aiFeaEiy beeA assi§AeEI te tt:le ~BI. ~ SeF§eaAt will be assi§AeEI te tt:le GFiFAe Sll!}flFessieA
+eaFA feF tt:le E;AtertaiAFAeAt blistFiGt, :1 will be EleEiiGateEI te GFiFAe IAvesti§atieAs. +t:tese
eAAaAGeFAeAts well lEI be e#set by tt:le eliFAiAatieA ef ~ PllbliG Safety Sf)eGialist, as well as a
$79,000 mEillGtieA iA evertiFAe aAEI ~ SeF§eaAt welliEI be eliFAiAateEI tAFell!JA aUFitieA befuFe ~y
:10~2,1q3 fur a tetal ef $3q3,QQQ 50,000
Add 2 ATV Police Officers in the North area working 2200 to 0800 hours (10pm to Sam) to
implement and enforce the beach closure. This number has been refined to exclude new
vehicles, fuel, maintenance and depreciation costs for the additional Police Department
union positions being proposed, as they will not impact the FY 2012113 budget. These
vehicle costs of $76,200 will impact subsequent years. 165,000 215,000 2.0
Add 4 Police Officers in the South and Citywide to form an additional Crime Suppression
Team (Sergeant for the squad would be assigned from the lA reorg). This enhancement will
be offset by the elimination of $100,000 in overtime. This number has been refined to
exclude new vehicles, fuel, maintenance and depreciation costs for the additional
Police Department union positions being proposed, as they will not impact the FY
2012113 budget. These vehicle costs of $152,400 will impact subsequent years. 230,000 445,000 4.0
Add 6 Police Officers in the South area for a walking beat along Washington Avenue. 461,000 906,000 6.0
Add 1 Detention Officer to augment current staffing levels in all three shifts including
weekends. This number has been refined to exclude new vehicles, fuel, maintenance
and depreciation costs for the additional Police Department union positions being
proposed, as they will not impact the FY 2012113 budget. These vehicle costs of
$38,100 will impact subsequent years. 66,000 972,000 1.0
Records Unit Enhancement-additional Records Technician and Data Entry Clerk will reduce
the need for overtime in the unit by $80,000. 5,000 977,000 2.0
Additional Overtime for the Neighborhood Resource Officer for additional Homeless Outreach 20,000 997,000
Fire/Ocean Rescue
CeAEillGt stllEiy te beUeF EleteFFAiAe beaGA llsage by tiFAe Elf Elay, Elay ef week aAEI tiFAe ef yeaF
iA 9FEieF te FA9Fe effiGieAIIy alleGate FeS9llFGeS $:1a,OQO
85
Cumulative Total
Building Fiscal Impact Impact FT PT
Increase temporary labor to provide support in the violations section of department to
become more proactive in addressing construction without permits and unsafe structures. 106,000 106,000
Improve inspection and plan review services by adding an inspector due to increased demand 149,000 255,000
Add plan review position to continue to evaluate where permit fees appear to be in excess of
10 percent of the job value -this position will be done on contract rather than hiring a full-time
employee 149,000 404,000
Add a contracted Sr. Mechanical inspector and a contracted Sr. Building inspector to respond
to increasing demand -contracting these positions rather than hiring full time employees
provides for improved flexibility in response to market demands 298,000 702,000
REHCD
Add a full-time Leasin!l Specialist 66,000 66,000 1.0
Convert part-time position shared with TCD for field monitoring to a full time position in each
department. Also impacts TCD -see below 12,000 78,000 1.0 _(0.5
TCD
Convert part-time position shared with REHCD for field monitoring to a full time position in
each department. Also impacts REHCD -see above 32,000 32,000 1.0 (0.5
Installation of exterior lighting at the Colony Theater 15,000 47,000
Purchase of cleaning equipment, carpet cleaner/extractor, wet-vac and burnisher for the
Colony Theater which currently does not have its own equipment 4,000 51,000
OBPI
Utilize outside audit contractor to review/audit one area of the city's operations per year, CIP
and Planning anticipated for FY 2013. 150,000 150,000
Procure Grants research software (6 city departments; including 2 licenses for OBPI, and 1 for
Community Services who also requested similar software)-(based on 3yr contract) 8,000 158,000
City Manager's Office
Community Outreach -Condominium Ombudsman-reassign duties to utilize existing
resources to provide service and carrv out functions q,7 . '"'" -
Ci~de
Increased Transfer to Pay-As-You-Go Fund 1,400,000 1,400,000
Reinstate Festival of the Arts 55,000 1,455,000
Additional Information Technology Funding For Automated Vehicle Locator (AVL) technology
in Parks and Recreation vehicles, additional Fire vehicles and Public Works General Fund
vehicles 114,000 $1,569,000
Total General Fund Enhancements $ 3,555,000 $3,555,000 18.0 (1.Q}
Total General Fundi $ 3,698,000 I 18.o I (1.0l I
Cumulative I Total
INTERNAL SERVICE FUNDS Fiscal Impact Impact FT PT
Potential Additions
Living Wage -existing contracts with living wage in Property Management 9,000 9,000
Potential Enhancements
Property Management
Hand Sanitizers at City Facilities $ 29,000 29,000
AVL Fundingfor Public Works Property Management Vehicles 30,000 59,000
Information Technology
Special Project Coordinator/Business Analyst to facilitate the review of business process
requirement and data gathering for departments in order to identify technoly improvements,
focusing on customer solutions. 85,000 85,000 1.0
Total Internal Service Funds $ 153,000 $ 153,000 1.0 0.0
86
I I Cumulative I Total
ENTERPRISE FUNDS Fiscallmpact Impact 1FT IPT
Potential Additions
Living Wage-existing contracts with living wage in Public Works Stormwater, Sewer, I 253,0001 253.000 I I Sanitation, Parking and Convention Center
Potential Enhancements
Sanitation
Washington Avenue Tourism Enhancement Initiative-Increased pressure cleaning from bi-
1$ 115.000 I$ 115.000 I 2.0 I weekly to weekly-(1 MSW I & 1 MSWII; includes $34,000 for vehicle & equipment costs)
Sewer
AVL Funding for Public Works Sewer Vehicles I$ 1s.ooo I $ 18,ooo I I
Water
AVL Funding for Public Works Water Vehicles 1$ 25,000.1 $ 25.ooo I I
Stormwater
AVL Funding for Public Works Stormwater Vehicles 1$ 6,000 I $ 6.ooo I I
Total Enterprise Funds $ 417,ooo I $ 417,ooo I 2.0 I 0.0
I Grand Total All City Funds $ 4,268,ooo I $ s1o,ooo I 21.o I (1.o>l
Cumulative Total
RDA Fiscal Impact Impact 1FT IPT
Potential Additions
Living Wage-existing contracts with living wage 20,000 20,000
Increase Security coverage on Lincoln Road between the hours of 1am-6am, allowing for 24
hour coverage between security and Police Officers. 35,000 55,000
AElElitien sf a Lincoln Road Mall Manager /"Point Person"-reassign duties to utilize existing
resources to orovide service and carrv out functions ""· "''" $ 55,000
Lincoln Road Tourism Enhancement Initiative-Increased pressure cleaning from bi-weekly to
weekly-(1 MSW I & 1 MSWII; includes $34,000 for vehicle & equipment costs) 101,000 $ 156,000 2.0
Locations added to the Parks & Recreation's Greenspace Management Division's areas of
responsibility:
In the RDA
• Bass Museum (Renovated Site) CITY CENTER /RDA $8,100
• Soundscape Park Special Events (additional service required to facilitate the 38 plus events
held at this Park: Movies, Wallcasts, Opera Nights, etc)-$19,200 28,000 $ 83,000
!Total RDA $184,ooo I $ 83,ooo I 2.o I o.o I
Cumulative Total
Resort Tax Fiscal Impact Impact FT PT
Potential Additions
Increased funding for Overtime for Spring Break and Memorial Day Weekend consistent with
levels deployed in FY 2011/12 680,000 680,000
Washington Avenue Tourism Enhancement Initiative-Marketing ($73,000) and FlU-
Wolfsonian ($75,000 funded over 2 years) 148,000 $ 828,000
Enhance Holiday Decorations 40,000 $ 868,000
Sponsorship fee to help offset marketing and advertising expenses associated with the Ms.
USA event. If the event that Ms. USA is not held in Miami Beach, this funding will be used for
other events. 100,000 $ 968,000
I Total Resort Tax $968,ooo I $ 968,ooo I o.o I o.o I
87
Cumulative I Total
Special Revenue Fiscal Impact Impact FT PT
Potential Enhancements
Sustainability Fund
Enhance the environmental sustainability of the community through comprehensive citywide
Recycling Program .
First year includes an intensive education and outreach campaign and after six months,
beginning January 2013, warnings will be issued .
Sustainability Officer will be responsible for conducting outreach, recycling guidance, and if
necessary, issue warnings, .
Once the Recycling Program has been implemented, the Sustainability Officer can address
other sustainability issues (greening restaurants, etc), .
Administration will go back to Commission before issuing fines, .
Enhancement funded from the Waste haulers Additional Services an Public Benefit Fund
95,000 95,000 1.0
!Total Sustainability $95,ooo I $95,ooo I 1.o I o.o I
88
ATTACHMENT 2
LISTING OF POSITIONS VACANT AND NOT FILLED BY CONTRACT OR
TEMPORARY
as of 7/23/12; updated for Proposed Efficiency Reductions & Recent Hires
Number of
Number of Months
Department Position Name Positions Vacant
GENERAL FUND
Budget & Performance Improvement
OBPI Director 1 1
OBPI Sr. Management Consultant 1 1
Code Compliance Code Compliance Administrator 1 10
Code Compliance Code Compliance Officer 1 2
Code Compliance Code Compliance Officer -PT 1 1
Human Resources/Labor HR Assistant Director 1 3
PlanninQ Planning Director 1 34
Public Works City Engineer 1 3
Parks Rec Leader I 1 2
Parks Rec Leader I PT Year Round 1 2
Police Police Captain 1 9
Police Security Specialist 1 7
Police IT Specialist II 1 4
Police Crime Scene Technician II 1 4
Police School Crossin!=! Guard (PT) 5 1-23
Police Police Officer 3 1-3
Police Complaint O_perator 1 3
Procurement Procurement Division Director 1 4
Fire Fire Inspector I 1 1
Fire Clerk Typist PT 1 5
CIP Assistant Director-CIP 1 34
CIP Special Assistant to City Manager 1 21
CIP Capital Projects Coordinator 1 3
Real Estate, Housing and
Community Dev incl. Office
of Community Services Administrative Aide I 1 12
Total General Fund 30
89
Annual Salary
of Vacancy
184,870
71,652
55,588
69,394
31,200
124,488
170,000
92,316
32,471
13,299
92,316
56,076
62,964
55,588
66,273
161,267
64,168
148,776
49,713
16,484
92,316
92,316
78,194
25,225
$ 1,906,954
(,0 0 16NE I THURSDAY, AUGUST 23, 2012 NE --·~-·-··-·-... . """'·-·-~-···-·· ·---·-· """ ·-··· --···-·-·" MIAMI BEACH CITY OF MIAMI BEACH NOTICE OF PUBLIC HEARINGS MiamiHerald.com I THE MIAMI HERALD NOTiCE IS HEREBY given that public hearings will be held by the Mayor and City Commission of the City of Miami Beach, Florida, in the Commission Chambers, 3rd Floor, City Hall, 1700 Convention Center Drive, Miami Beach, Florida, on Wednesday, September 12, 2012, to consider the following: ~~p~ ' THE FIRST PUBLIC HEARING ADOPTING THE PROPOSED MILLAGE RATES AND BUDGETS FOR FISCAL YEAR 2012/2013 FOR THE CITY OF MIAMI BEACH. 5:02p.m. THE FIRST PUBLIC HEARING ADOPTING THE PROPOSED MILLAGE RATE AND BUDGET FOR FISCAL YEAR 2012/2013 FOR THE NORMANDY SHORES LOCAL GOVERNMENT NEIGHBORHOOD IMPROVEMENT DISTRICT. Inquiries may be directed to the Office of Budget and Performance Improvement (305) 673-7510. INTERESTED PARTIES are invited to appear at this meeting, or be represented by an agent, or·to express their views in writing ·addressed ~o the City Commission, c/o the City Clerk, 1700 Convention Center Drive, 1st Floor, City Hall, Miami Beach, Florida 33139. · Copies of the::;e items are available for public inspection during normal ·business hours in the City Clerk's Office, 1700 Convention Center Drive, 1st Floor, City Hall, Miami Beach, Florida 33139. This meeting may be continued, and under such circumstances additional legal notice will not be provided. Rafael E. Granado, City Clerk City of Miami Beach Pursuant to Section 286.0105, Fla. Stat., the City hereby advises the public that: if a person decides to appeal any decision made by the City Commission with respect to any matter considered at its meeting or its hearing, -such person must ensure that a verbatim record of the proceedings is made, which record includes the testimony and evidence upon which the appeal is to be based. This notice does not constitute consent by the City for the introduction or admission of otherwise inadmissible or irrelevant evidence, nor does it authorize challenges or appeals not otherwise allowed by law. To request this material in accessible format, sign language interpreters, into,.mation on access for persons with disabilities, and/or any accommodation to review any document or participate in any City-sponsrxed proceeding. please contact us five days in advance at (305) 673-7 411 (voice) or TTY users may also ·call the Florida Relay Ser;ice at 711. Ad #725 . --------~··l-:l':"''"f":"'"!T~'"1"~1~"f"?'": N '
RESOLUTION TO BE SUBMITTED
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