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99-23271 RESO RESOLUTION NO. 99-23271 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, SETTING THE PROPOSED NORMANDY SHORES NEIGHBORHOOD IMPROVEMENT DISTRICT OPERATING MILLAGE RATE FOR FISCAL YEAR (FY) 1999/00, THE CALCULATED ROLLED-BACK RATE, AND THE DATE, TIME, AND PLACE OF THE FIRST PUBLIC HEARING; FURTHER AUTHORIZING THE CITY MANAGER TO TRANSMIT THIS INFORMATION TO THE MIAMI-DADE COUNTY PROPERTY APPRAISER IN THE FORM REQUIRED BY SECTION 200.065, FLORIDA STATUTES. WHEREAS, Section 200.065, Florida Statutes, has specified the method by which municipalities may fix the operating millage rate and adopt an annual budget for dependent taxing districts; and WHEREAS, the City of Miami Beach is required to advise the Miami-Dade County Property Appraiser of the Proposed Normandy Shores Neighborhood Improvement District Operating Millage Rate, the Rolled-Back Rate, and the date, time, and place of the first public hearing. NOW, THEREFORE BE IT DULY RESOLVED BY THE MAYOR AND THE CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the following recommendations of the Administration be and are hereby ratified for transmittal to the Miami-Dade County Property Appraiser, as specified in Section 200.065, Florida Statutes: (1) Proposed Normandy Shores Neighborhood Improvement District Operating Millage Rate for FY1999/00 General Operating 0.955 mills (2) Rolled-Back Rate 0.936 mills (3) The first public hearing on the proposed Normandy Shores Neighborhood Improvement District operating millage rate and tentative budget for FY1999/00 shall be held on Tuesday, September 14, 1999 at 5 :02 P.M., in the City Commission Chambers, City Hall, 1700 Convention Center Drive, Miami Beach, Florida. PASSED and ADOPTED this 21st day of.!l!lx, 1999. ~/1~ MAYOR ATTEST: ~ ~ QvA~ (0Adv- C TY CLERK APPROVED p,s TO FORM & LANGUAGE & FOR EXECUTION 14J!!:!-e 7//6/91 0018' CITY OF MIAMI BEACH CITY HALL 1700 CONVENTION CENTER DRIVE MIAMI BEACH, FLORIDA 33139 http:\\ci.miami-beach.f1.us COMMISSION MEMORANDUM NO. 58 Y..:8. ~ TO: Mayor Neisen O. Kasdin and Members of the City Co ission DATE: July 21,1999 FROM: Sergio Rodriguez City Manager SUBJECT: A RESOLU ON SETTING 1) THE PROPOSED OPERATING MILLAGE RATE FOR THE NORMANDY SHORES NEIGHBORHOOD IMPROVE- MENT DISTRICT; 2) THE CALCULATED ROLLED BACK RATE; AND, 3) THE DATE, TIME AND PLACE OF THE FIRST PUBLIC HEARING TO CONSIDER THE OPERATING MILLAGE RATE AND BUDGET FOR FISCAL YEAR (FY) 1999/00; FURTHER AUTHORIZING THE CITY MANAGER TO TRANSMIT TillS INFORMATION TO THE MIAMI-DADE COUNTY PROPERTY APPRAISER IN THE FORM REQUIRED BY SECTION 200.065, FLORIDA STATUTES. ADMINISTRATION RECOMMENDATION The Administration recommends that the Mayor and City Commission adopt the attached resolution which authorizes the City Manager to transmit the following information to the Miami-Dade County Property Appraiser: 1) Proposed Operating Millage Rate of the Normandy Shores Neighborhood Improvement District for FY 1999/00: General Operating 0.955 mills 2) Rolled Back Rate (Truth In Millage) 0.936 mills 3) The first public hearing to consider the proposed Normandy Shores Neighborhood Improvement District operating millage rate and tentative budget for FY 1999/00 shall be at 5:02 P.M., Tuesday, September 14, 1999 in the City Commission Chambers, City Hall, 1700 Convention Center Drive, Miami Beach, Florida. AGENDA ITEM RIM . ,- 2 \ - CJ4 459 DATE Normandy Shores FY 1999/00 Tentative Millage Page Two July 21, 1999 BACKGROUND The Normandy Shores Local Government Neighborhood Improvement District, a dependent taxing district of its principal, the City of Miami Beach, was established in 1994 to provide continual 24- hour security to this gated community; FY 1999/00 represents its sixth year of operation. It was established by Ordinance 93-2881, and has the authority "to levy an ad-valorem tax on real and personal property of up to two mills, provided that no parcel of property will be assessed more than $500 annually for such improvements". Based on the January 1, ~1999, "Certification of Taxable Values" for the district, determining the highest assessed property within the district is valued at $523,478, which requires a millage rate of 0.955; this millage yields an assessment of $499.92 (less than $500). Statutory Requirement FS 200.065, entitled "Method of Fixing Millage" establishes specific guidelines that must be used by all local government entities, including dependent taxing districts like Normandy Shores in setting its millage (Property tax) rates. Not unlike its principal taxing authority (City of Miami Beach), Normandy Shores is also required to transmit within 35 days from receipt of the "Certification of Taxable Value" (received July 1, 1999), to the Miami-Dade County Property Appraiser, a proposed operating millage rate, the calculated rolled back rate and the date, time, and place of the first public hearing to consider the proposed operating millage rate and tentative budget for Fiscal Year 1999/00. After setting the proposed operating millage rate for Normandy Shores, the City Commission may, at any time prior to the final adoption, lower the millage rate; however any increase above the 0.955 millage rate would require an expensive mailing and advertising process to each an every property owner of Miami Beach. Therefore, this proposed millage rate is viewed as the ceiling. ANALYSIS On July 1, 1999, the City received the "1999 Certification of Taxable Value" from the Property Appraiser's Office stating that the taxable value for Normandy Shores is $55,956,579, which included $17,655 in new construction. The preliminary value represents an increase of 3.1 percent over 1998's final value of $54,263,743. Alternately, the increase is 2.5 percent over 1998's preliminary value of $54,605,463. The difference of$341,720 between 1998's preliminary and final values represents the equalization loss of less than one percent due to appeals. Operating Millage and Budget The tentative ad valorem millage recommended by the Administration is 0.955 mills to provide the level of security required by this district. At this millage, no property owners tax will exceed $500. This tax levy will generate proceeds of $51,568. The total operating budget to provide security services to this district is $91,250. This is comparable to the current year end projections. The gap 460 Normandy Shores FY 1999/00 Tentative Millage Page Three July 21, 1999 between the revenues which will be generated from ad-valorem tax proceeds and the total budgetary requirement of the district must be supplemented by a contribution from the General Fund in the amount of$39,682 or 44% of the total operating budget. The General Fund has funded this gap for each of the five years since the District was established. The amount provided by the General Fund for this purpose in FY1998/99 was $40,400. During the year the amount of annual funding to be provided by the City and the dependent status of the District were issues discussed by the Finance and Citywide Projects Committee. A determination was reached that the City would fund 35% of the annual cost of the operation of the community gate guard. This cost will eventually be funded from the golf course operation of the Normandy Shores Golf Course. The City Attorney's Office is reviewing the issue regarding the dependent status of the District. It was further agreed that the City would continue to supplement the District at current levels until both issues were resolved. It must be noted that in accordance with State Statute, there is a 10 mill operating cap which cannot be exceeded without voter approval. Combining both millages from the dependent district (0.955) and the principal taxing authority (7.499) totals 8.454 mills, which is 1.546 mills less than the 10 mill cap. First Public Hearing The first public hearing on the proposed operating millage rate and tentative budget for FY 1999/00 must be held no later than 80 days (September 18th) or earlier than 65 days (September 3rd) from the start of the TRIM calendar (July 1st). Other guidelines are: 1) The public hearing cannot be scheduled on a Sunday or on those days utilized by Miami Dade-County or the Dade County School Board for their public hearing; 2) If on a day other than Saturday, it must be held after 5:00 P.M.; and 3) must be held immediately following discussion of the tentative millage and budget of its principal taxing authority (City of Miami Beach). Based on these guidelines, the first hearing must be held between September 3rd and September 18th. These dates are unavailable for the following reasons: September 5, 12 September 6 or 9 and 16 September 8 Sundays Miami-Dade County Public Hearings Miami-Dade County School Board Public Hearing Of the remaining days, it is recommended that the first public hearing be set for 5:02 P.M., Tuesday, September 14, 1999 in the City Commission Chambers, City Hall, 1700 Convention Center Drive, immediately following the City of Miami Beach's public hearing. Because no Commission meeting is set for that date, this will be a special meeting of the Commission. S{;j:Jrf6~ 461