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Resolution 2025-33719 RESOLUTION NO. z02533719 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ACCEPTING THE RECOMMENDATION OF THE FINANCE AND ECONOMIC RESILIENCY COMMITTEE ("FERC"), AT ITS JUNE 11, 2025 MEETING, TO CONSIDER FUNDING, AS PART OF THE FISCAL YEAR 2026 BUDGET PROCESS, A ONE-TIME RESIDENT GRANT PROGRAM TO ASSIST IN FUNDING REPAIRS/SPECIAL ASSESSMENTS TO SURROUNDING RESIDENTIAL BUILDINGS IN AN AMOUNT EQUAL TO 30% OF THE AVAILABLE FINES FROM THE DEAUVILLE SETTLEMENT, TOTALING $1,289,052. WHEREAS, on April 23, 2025, Commissioner Tanya Bhatt sponsored a resolution (item C7AU)to approve the Deauville Fines and Lawsuit Settlement,which was pulled from the consent agenda for discussion; and WHEREAS, during the discussion, Commissioner pominguez requested that 30% of fnes be utilized for a one-time resident grant program to assist in funding repairs/special assessments to surrounding residential buildings; and WHEREAS, the Mayor and Ciry Commission ("City Commission") referred the item to the Finance and Economic Resiliency Committee ("FERC") for discussion; and WHEREAS, on June 11, 2025, FERC heard the item and motioned for the item to retum to the Commission with a favorable recommendation to considerfunding a one-time resident grant program to assist in funding repairs/special assessments to surrounding residential buildings as part of the FY 2026 budget process in an amount equal to 30% of the available fines, which would total $1,289,052. NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND CITY COMMISSION OF THE qTY OF MIAMI BEACH, FLORIDA, that the Mayor and City Commission hereby accept the recommendation of the Finance and Economic Resiliency Committee ("FERC'), at its June 11, 2025 meeting, to consider funding, as part of the Fiscal year 2026 budget process, a one-time resident grant program to assist in funding repairs/special assessments to surrounding residential buildings in an amount equal to 30% of the available fines from the Deauville settlement, totaling $1,289,052. PASSED AND ADOPTED this .�S day of June 2025. ATTEST: J�//O� ,/ /��� i� lUN ? p 202` %(t-�-G1`- �—_ Steven Meiner, Mayor .!_'. � Granado CityClerk �rM!-e����", APPROVEDASTO �t� REGISBARB�U ���'^��!,�/ �_^y FoaMsuw�uncE . - Sponsored by Commissioner Laura Dominguez j � �"'{'�" ,` 8 f-0R E%ECUTION � � i '.IN oPP00AAiF�;y CoSponsored by CommissionerTanya K.Bhatl �34 yq� , ,9 '��1 *�RCH26 � -, �' ,�. � 23JZ02Z GIYA�meY �ate Resolutions -C7 J MIAMI BEACH COMMISSION MEMORANDUM TO: Honorable Mayor and Members of the City Commission FROM: Eric Carpenter, City Manager DATE: June 25, 2025 TITLE: A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF CIN OF MIAMI BEACH, FLORIDA, ACCEPTING THE FINANCE AND ECONOMIC RESILIENCV COMMITTEE RECOMMENDATION FOR PARTIAL USE OF THE FINES COLLECTED FROM THE DEAUVILLE SETTIEMENT FOR A ONE-TIME GRANT PROGRAM TO ASSIST IN FUNDING REPAIRS AND SPECIAL ASSESSMENTS AT SURROUNDING RESIDENTIAL BUILDINGS. RECOMMENDATION The City Administration ("Administration")recommends that the Commission accepts the Finance and Economic Resilienq Commitlee's ("FERC" or 'Committee") recommendation to consider funding a one-time resident grant program lo assist in funding repairs/special assessments to surrounding residential buildings as part of the FY 2026 budget process. The recommendation was to utilize 30% of the available fines which would tofal $1,289,052. The Administration recommends that while the Commission evaluates a one-time qrant program to utilize 30% of the fnes collected from the Deauville settlement, it also carefully considers several cntical tactors that will signifcantly impact the General Fund budget, beginning in FY 2026: 1. The City's increasing unfunded capital improvement progrem 2. Long-lerm General Fund fnancial projections indicating a potential shortfall in upcoming fsral years 3. The passage of Amendment 5 in November 2024, which increases the homestead exemption and furlher constrains the growth of taxable property values These considerations are essential to ensure that decisions regarding a one-time grant program to utilize 30% of the fnes collected from the Deauville settlement align with ihe Cily's broader long-term financial stability and strategic priorities. If the Commission recommends funding a one- time grant progrem to utilize 30% of lhe fines collectetl from the Deauville setllement, Ihe Administration recommends it be considered as part of the FY 2026 budget process. BACKGROUNDIHISTORY On April 23, 2025, Commissioner Tanya Bhatl sponsoretl a resolution (item C7AU) to approve the Deauville Fines and Lawsuit Settlement. The item was pulled from the consent agenda for discussion. Amongst several discussion topics, Commissioner pominguez requested ihat 30% of fnes be utilized for a one-time residenl g�ant program to assist in funding repairs/special assessments to surrounding residential buildings. The Mayor and City Commission ("City Commission")referred the item to FERC for diswssion. On June 11, 2025, FERC heard the item and motionetl for the item to retum to the Commission with a recommendation to consider funtling a one-lime resident grant program to assist in tunding s4$ repairs/special assessments to surrountling residential builtlings as part of the FV 2026 budget process in an amount equal to 30%of the available fines which would total $1,289,052. ANALYSIS The Deauville settlement was for $6.3 million. Of this amount $841,797 will cover outstanding utility bills and $87,409 will cover ou[standing city invoices/licensing, court fees, e[a The remaining amount of$5,371,052 of the settlement is related to ihe special magisirete fnes. See attached Exhibit A Deauville Setllemenl Agreement Financial Breakdown. Per Resolution 2016-29500, attachetl as Ezhibit B, no less than twenty percent (20%)of all one- time unresMcted capital payments to the Ciry of$500,000 or more, including, but not limited to, payments received through lease renegotiations, moneyjudgements(rom lawsuits,audit findings, or any olher lump sum payments shall be deposited to a Irust fund for capilal or acquisition costs associated with mass transit excluding reasonable cosis and any capital replacement costs associated with the transaction that resulted in the receipt of the one-time cash payment. Twenry percent (20%) of the f nes of$5,371,052 is$1,074,210, leaving a remaining $4,296,841. If FERC recommends thirty percent (30%) of the fines be utilized for a one-time resident grant program to assist in funding repairs/special assessments to surrountling residenlial buildings,this will amount to $7,289,052. These fines would be recognized as revenue to [he Ciry in FY 2025 and would become a surplus for the General Fund. Any General Fund surplus, according to the City of Miami Beach Comprehensive Financial Policies under consideration, states: Use of General Fund Fiscal Year Entl Surolus—After fully funding the General Fund resene goals, the City shall transfer b the Capital Reserve Fund 50°/ of the annual General Fund revenues in excess of expenditures with the remaining 50°/ to be transfertetl to either the Capital Renewal and Replacement Funtl or Pay-As-You-Go Capital Fund. The Administralion wants to remind the Commission of the large unfunded capital program that could use this funding infusion. FISCAL IMPACT STATEMENT $1,289,052 Doea this Ordinance reauire a Business Imoact Ealimate? (FOR ORDINANCES ONLY) If applicahle, the Business Impact Estimata (BIE)was puhlished on: See BIE at: https:llwww.miamibeachfl.aovlciN-halUciNtlerk/meetino-notices/ FINANCIAL INFORMATION CONCLUSION The Ciry Administration("Administration")recommends that the Commission accepts Ihe Finance and Economic Resiliency Committee's ("FERC" or "Comminee") recommendation to consider (unding a one-time resident grant program to assist in funding repairs/special assessments to 646 surtounding residential buildings as part of the FY 2026 budget process in an amount equal to 30% of the available fines which would tofal $1,289,052. Aoolica6le Area Middle Beach Is this a "Residents Riaht to Know" item. Is this item related to a G.O. Bond pursuant to Citv Code Section 2-17? Proiect? No No Was this Aoenda Item initiallv reouestad bv a lobbvist which. as defined in Code Sac. 2�81. inclutles a orincioal enaasted in Iobbvinp4 No If so, specify the name of lobbyist(s)and principal(s): Deoartment Finance Soonsorlsl Commissioner Lawa Dominguez Co-soonsor(sl Commissioner Tanya K. Bhatt Condensed Title Accep[ReUUse Collected Fines from Deauville Settlement, Repair Surrounding 81dgs. (LDlTB) FN Previous Action IFor Citv Clerk Use Onivl s4� Exhibit A Deauville Settlement Agreement Financtal Breakdown 66251ndian 6701 Collins Creek Drive Avenue To[als Utiliry Bills Due $ 126,567 $ 714,972 $ 841,539 City Invoices/Lirensing/Misc. 3,855 83,555 87,409 Sub-total $ 130,422 $ 798,527 $ 928,949 Special Magistrate Fines/Other $ 117,064 $ 5,253,988 $ 5,371,052 $ 247,485 $ 6,052,515 $ 6,300,000 20%ofFinesforTransit: $ 1,074,210 'perPesoluLon1016�19500 Net Fines Available: S 4,2%,841 30%offines: S 1,289,052 648 Exhibit R RESOLUTION NO. 2016-29500 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ACCEPTING THE RECOMMENDATION OF THE FINANCE AND CITYWIDE PORJECTS COMMITTEE ESTABLISHING A REQUIREMENT THAT NO LESS THAN TWENTY PERCENT (20°k) OF ALL ONE-TIME UNRESTRICTED CAPITAL PAYMENTS TO TXE CITV OF E500,000.00 OR MORE, INCLUDING, BUT NOT LIMITED TO, PAYMENTS RECEIVED THROUGH LEASE RE-NEGOTIATIONS, MONEY JUDGEMENTS FROM LAWSUITS, AUDIT FINDINGS, OR ANY OTHER LUMP SUM PAYMENTS SHALL BE DEPOSITED TO A TRUST FUND FOR CAPITAL OR ACQUISITION COSTS ASSOCIATED WITH MASS TRANSIT, EXCLUDING REASONABLE COSTS AND ANY CAPITAL � REPLACEMENT COSTS ASSOCIATED WITH THE TRANSACTION THAT RESULTED IN THE RECEIPT OF THE ONE-TIME CASH PAYMENT. WHEREAS, Transportation Tmst Funds are established by govemmental entities in order to facilitate the creation, operetion, and maintenance, inclutling capital and operating costs, of mass iransit and other transportation facilities within an area, including fixed mass ' transit routes, local circulalodfrolley routes, waterbome mass transit, and puWic parking garages for transit enhancement purposes�, and WHEREAS, TranspoAation Trust Fund monies can be expended as a local share of the cost of an eligi6le project undertaken or developed by other governmental entities or through public-private partnerships�, and WHEREAS, funding for trenspoAation projects in the Ciry, both in terms of capital and operating budgets, is curtently provided from various souroes; antl WHEREAS, for Fiscal Year 2D15/16, the ezisting funding sources tor transportation projects are projected to generate approximately $132 Million in revenues towards Ihe Transportation DepartmenPs budgeC and WHEREAS, the existing funding sources alone are not suffcient to fund future transportation projects identifed in the City's Transportation Master Plan Project Bank adopted by the Ciry Commission on April 13, 2016; and WHEREAS, pursuant to Resolution No. 2006-26341, the Ciry will use one-time, non- recurring revenue for capital ezpenditures or one-time ezpendiWres and not to subsidize rewrrinq personnel, operations, antl maintenance cosF, antl WHEREAS, creating new funding sources for transportation woWC retluce the need to use non-Vansportatioo-related funding sources such as Parking Fees (Year End Surplus) and, as a result make those monies available to address the need for additional parking gareges throughout the City�, and WHEREAS, given the needs of the Parking Department for parking garages, especially at inlercept lowtions, it is not recommended that Fees in Lieu of Parking (i.e. similar to funds 649 collected through parking ratio reductions) be committed to the Transportation Trust Fund, but rather that [he use of these funds be reviewed each year as part of the review of competing pnorities dunng the annual butlget development process; and WHEREAS, creating a TrenspoAation Fund was discussed at the May 17, 2016 Finance and Ci�ywide ProjeC�s Committee (FCWPC); and � WHEREAS, at the Finance and Citywlde Pmjects Committee (FCWPC) meeting, the I Committee passed a motion recommenGing that the Administretion create a City of Miami Beach TranspoAation Trust Fund to provide funtling for public iransportation improvements in the City; and WHEREAS, this item was further discussed at the June 17, 2016 FCWPC meeting; and WHEREAS, at ihe meeting, the FCWPC made a motion to require ihat 20% of one-time capital contributions should be deposited to a Trensportation Capital Trust Fund; and WHEREAS, the FCWPC recognizeG that the funds generated on an annual 6asis may not be large, but over time, the funds would accumulate, with other existinq sources that woultl provide funding for projects over time-, and WHEREAS, in addition, the FCWPC directeG that dedicating a percentage of the general fund budget tor Transportation operating and maintenance ezpenses should be considered as part of the FV2016/17 budget development process: and WHEREAS, at ihe July 13, 2016 City Commission meeting, the Mayor and City Commission adopted the recommendation of ihe FCWPC NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND CITV COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City Commission hereby accept the recommendation oi Ihe FCWPC establishing a requiremeM that no less than twenty percent (20%) of all one-time unrestricted capital payments to the City of $500,000.00 or more, including, but not limited to, payments received through lease re- negotiations, money judgements from lawsuits, audit findings, or any other lump sum payments shall be deposited ro a trust fund for capital or acquisition costs associatetl with mass transit excluding reasonable wsts and any capital replacement costs associated with the transadion that resWted in the receipt ot the one-time cash payment. PASSED and ADOPTED this 13'"day of July, 2016. ATTEST: Philip ev , yor 2. Le 5. Rafae E. Gren do, City lerk .M�E.�.,�,a�.�..�..��,.a.�....ma.�..�„w..,,.,,.��.��.. AppRpVEDASTO FpRM yIqNGUAGE d FOR E%EC /��iy CMVAn�y � 650 COMMISSION ITEM SUMMARY co�ao..e rm: � RESOLUTIOH �CCEPTING THE RECOMNEN�ATqN OF TME FINANCE N10 CITYWIDE PORJECT9 COMMffTEE ESTABLISHING�REpUIRflEHTTHAT NO LE53 TWW iWEIrtY VEqCENT�20%�OF�LL ONE-TME UNRESTRICTED C�FRAL PAYMENTS TO TIE Gltt OF 25W,000 00 OR NORE,INCLUOIHG,BUT NO�LMIREO TO,PAVNENTS RELENED THROUGN LEIL4E RE�NE60TU110NS, MONEY JUDGEMENTS FROM LAWSUAS, AUDR FlNDWG9. OR NIY OTXER LUMV SUM PAYMEHTS SMALL BE DEPOSRED TO A TRUST FUHD FOR CMR�L OfIAC0Ul91Tlp1 COSTS�SSOCIATED WIIII W1SS TRANSR EXCLUdNG RFl50NABLE CMTS RND ANY C�PITAL qEPUCEMENT COSTS ASSOCI�TED NnTM THE TRANSAGTION TMAT RESULTE�IN TXEAEQEPT OF TME ONE�TME CASX p�YMENT Wy innnMO Oulcan�SuppoME: Ensure CanpreM1enaive Mo�iliry AEOrcssrtg NI MOCes TNdq�oW TM Clly DuppDf4ny Dala(lurwy�,EnvlronmaNal Scan,N[:WA Ibm Summery: GwreMy,Nrqinq for Vansporlation D�pns I�fM Ciy,pWn in terms ol ce0ilel arq operstvg EUEpeb,u pewEeE hvm vemip aourcq 119�M bllqV�. • CilJss�areofpKOpunfyHetlCeMTransXSutlet�People'sTrenspo�elionPlcn(PTP�qoupp�. • 1%Reaop Tu OuiHy oi Ltle - PehugFees�Yee�EnCSurplus) • Transpo�elpnConwrtenryMApaGon • Fppp in Lqu oi PeRing • nEro�isirg Revenues • Grenb For Fiscal Vnr 201 L16,I�a above/unEinp sauras am Omjesetl to genenle appm�imet<y St31 Million in revenues mwar0s Ilie TonSpoNtion DpplRmanfa OuOgN. T�eSe saurcaa�bne.�oxeveq�rc nol suNtlentro Nntl fWunt2n�pMY4on pmjeUs ia�pfipE Ip Me Ciy's Tnnspotleiian Masta Plan Prqect Banx adopleC Dyt�e CRy Cwmmission an Npnl 13 20t6,inUtling IM1e Miami Beach Lg�t Rail TransNMOE<m ShlHu�propct antl potenlul fuWre Ctlensiana o(I�e cys[em antl IM InM1lgOnl TrarapaMan Syaleml5mart PaAirrg Sysbm Prqpp. qypitwnelry,crcati�g new(unEing sourcea for Venapon�tan v.vuk mJum tle roM io uu r�m�tnmpona�an- relateE/unEirg sou¢es suM aa Pading Feea(Year EnG Surylusl an0,ea a reautt,make ttwae monbsavalaCb batlOreas Ihe neeE for a000�onal paAinp gara9as Nmuq�oN Me Clly. TlieLttyo�MumirettnllydCOp�EEpnoMinant<eateEluNrgaT��mpoMtionTruYFunE StaXmnEuWpanamlyeisotl�eCiryof Miimi OrCinarwe xTiCli cOn4uh d�. • CaµlalconlnDutionsolnolexstl�en20pmconlofaeryunrealnqMoneiimecaahpaymenbtoUecilyolS500,000.00or more,ir¢Liding pul nol limitetl lo,paymanla nunetl 0mug�lea6!ra�MgoOations,moMyjuEgmenbhom IawsuiU, aueX 6nCiigs,or any aner Wmo sum Oayments. • OpereWnanEmainlenanmwnlMulqnearlifivalyearofnoCv��an025% • Geragecontnoutans Firunce aM GiM1w Oe Prontic LommMee TM1u Ilem wes tlixussM at ihe Jone 1),]Ot8 Finanm an0 Giyw�Ee Pra�eqs Commillx meeting(FCVJPG).Tne FCWPL made e motan to iepuirt Inat 20X olonotimv unnsUipap u0�al conttibutqm spoul0 Ge JepositeE�o e TmmpoRilron Capilal Tmal Funa.I! as�ewgnizeE 11ut t�e NMs genenteE on an annual Oasis mry ml h large,Eut over time,IM lunds woul�e�ymulate,wiP IXMr uaGng sources Net wouk pavAe hntling br propck ow�tim0.FUMm,Ne FCWPC EirotlW Inal0e0�t'atirg a perceMaqe o1 t�e 9l11[l811YIM�U'�p�i0f Tq�9p01�811011 OPRIB�1IIg YM TBlllbllO�C!lllpMfE9 SMYW OB tl1115iCC2E!9 poll O�M!FYj�I$/1)DIMaN 4velopmen(OroopSs Grven ine ngepp ol iM1e PaM1up DepaNnenl(or pa,ki�p Barayac,ecpeciaip at Interupt lafaliwu,il k not iecanmanGeA iM1at Fas in L'ieu oi P�ekrtg(i e fimilartolurMs rnlbcteE ihrwg�o�*irg nt'io retluCione�Ee�arvnilbtl m IM TnnspMalion T�u�l iund Eul ra1Mr Nal tne use o/Ciese fuMs pe revinwC eacn year n Oert IN Ne�eview ol competiig o�mKs Eumg I�e ennual CUCpelOavela0��� ��OC<65 AEvlw BMM WcqnmmtlHlOn: Fin�ncl�Ilnfo�maUon: Sourc�M NnouM �ccWM Funb: OBPI Tofel � FinanWl Ynpact Summary: --, Ciry CMrR'e Olf�rw Lpi�l�tlw Tr�ckMp: Jase R.Gwvekz.P.E. sro�ons: MwntDirocW �fNsbmC ana r C' r JRG� KGB JL mMIAMIBEACH AGENOA ATE 3- � 651 MIAMIBEACH City ei Miami Meah, I J00 Comemio�Ceme.Drive,Miami deodi,Flor�do 3J 139.ww.m�am�beochA.gav COM SSION MEMORANDUM 70: Mayor Philip Levine and Members o the City Co ission FeoM�. Jimmy L. Morales, City Manager �nie- July 13, 2016 SUe1eCr. A RESOLUTION ACCEPTING TH RECOMMENDATION OF THE FINANCE AND CITYWIDE PORJECTS COM ITTEE ESTABLISHING A REOUIREMENT THAT NO LESS THAN TWENTV PERCENT (20%) OF ALL ONE-TIME UNRESTRICTED CAPITAL PAYMENTS TO THE CITY OF 5500,000.00 OR MORE, INCLUDING, BUT NOT LIMITED TO, PAYMENTS RECEIVED THROUGH LEASE RE-NEGOTIATIONS, MONEY JUDGEMENTS FROM LAWSUITS, AUDIT FINDINGS, OR ANY OTHER LUMP SUM PAYMENTS SHALL BE DEPOSITED TO A TRUST FUND FOR CAPITAL OR ACQUISITION COSTS ASSOCIATED WITH MASS iRANS1T EXCLUDING REASONABLE COSTS AND ANY CAPITAL REPLACEMENT COSTS ASSOCIATED WITH THE TRANSACTION THAT RESULTED IN THE RECIEPT OF THE ONE-TIME CASH PAVMENT BACKGROUND TranspoAation Trust Funds are established by govemmeMal entities in ortler to facililate the creation, operetion, and maintenance, including capital and operating costs, of mass transit aM other transportation facilities within an area, inclutling fi:ed mass transit routes, local circulator/trolley routes, waterborne mass transit, and public parking gareges for trensit enhancement purposes. Further, it is mtended that transportation trust fund monies can be expended as a local share of the cost of an ellgible projed undedaken or developed by other govemmental entities or through public-pnvate partnerships. This item was Criefly tliscussetl at the May i t, 2016 Finance and Citywide Projects Committee (FCWPC). At the meeting, the Committee passed a motion recommending that the AdminisVation create a City of Miami Beach Transporlation Fund to provide funding tor public transportation improvements in the City. Cuaently, funding for transportation projecls m the City, both in terms of wptal and operating butlgets, is provitleG (rom vanous sources. Pursuant to Resolution No. 2006-26341 (Attachment A), the City will use one-time, non-recurring revenue for capital ezpenditures or one-time expenditures and not to subsidize recurting personnel, operations, and maintenance cost. Curcent fun0ing sources for transportation projects and whether the funds are used for capital or opereting expenses are listed below: • City's share of the County HaK Cent Trensit SuRaz (People's Transportation Plan (PTP) proceeds. Approximately $3.8 Million per year are proviCetl on a rewmng basis and are used to fund a poAion of the operalions of trolley services in Miami Beach. In adddion lo the North Beach Loop, once ihe Mid-Beach Loop, Collins Link, and South Beaeh Trolley are 6S2 Commission Mprrpran0um—Accepl'mg fM1e RemmmerMatian o/fhe FCWPC esteblis��n9 a TronspoRafion Trust FunO Ju/y73, Mi6 Fage 1 oI5 implemented, trolley services are aMicipated to cost approximately$12.5 Million per year. With the implementation of the Light RaillModem Streetwr projecl, it is anticipated that approximately$3 Million per year wlll be usad for the Streetcar project. • 1% Resort Tax Qualdy of Life —TrensportaGon (45% split): The i% Resort Tax �uality of Life Funds are split behveen South Beach/Mid BeachlNorth Beach Capdal projeds, the Arts, and Trensportation with 45% of the 1% going to Transportation (approzimately $ 5J Million per year). These funds are recurring on an annual basis and used to fund the balance of trolley operatlons; Professional Services (i.e., rotational contracts for traffic engineenng and transportation planning services on an as-needed basis at approximately $300,00 per yeaq; Traflic Management and Monitoring Services at approximately 8540,000 per year; other Contractual Services such as, Mystery Rider program, Special Event shuttle service, trolley customer urvice, antl the Transportation Department's personnel opereting budget (i.e., salaries/wages, insurances, pension, o(fice supplies, etc.), It should be noted that once the IMelligent Trensportation System/Smart Parking System is fully implemented over the next couple of years, the operation and maintenance costs are projected up to$2 Million per year. • Parking Fees (Year End Surplus): Approximately $4 Million from excess parking funds (revenues - expenditures) at the end of each year are used to augment the TranspoAation Department's annual opereting budget for the following year. . Transportation Conwrrency Mitiqation: These are one-time/non-recurring revenues limited to use for Trensponation capital expenditwes that increase Transportation capacity, inGuding the Miami Beach LigM Rail/Modern Streetcar Environmental Malysis. • Fees in Lieu of Parking: These are fees that can be used for increasing parking capacity and, after 201Q for transportation improvements. Pursuant to the Cdy Code, funds genereted by the fee-in-lieu program collected atler March 20, 2010, wn be used for transpoRation improvements including: • Trensit capital funGing for buses, bus shettere aM transit infrestructure • Traffic improvements for signals, signal timing and lane modfications • Bicycle facilities • Intelligent transportation systems • PedeSlrian improvements antl faciBties • Other parking, transportation and mohiliry related capital projects as may be specifwlly approved by the Ciry Commission • In aCdition, transit operational funding for newly introduced hanspotlation enhancements and program expansion pimited to operetional, nonadministrative costs only, i.e., tlnvere, fuel, maintenance antl insurance) may be inGuded if expressly approvetl by the CRy Commission. A portion of these funds are recurring annually but most are one-time payments used for one-time expentlitures only. Use of these funtls for transportation competes with the need for parking gareges throughoul the Ciry. • AdveAising Revenues� Approximatety $78,000 per year is generated by the sale of advertising space on the interior and e�tenor of the Citys Trolley vehicles. ACdrtionally, approximately $700,000 per year are generated by bus shelter advertising through a revenue shanng wntract with Clear Channel, Inc. 653 Com/rNssion Menrorarrtlum—Acc¢pfing Me RBcomnreiMation W(he fCWPC establis�ug a Tiar6tpoRafion Tuct Furrtl JWy 13, 2076 PeAe 3 0/5 • Grents: Capdal and Operating funds received from federal and state discretionary grant programs are used to oif-set funding imm vanous sources above, as appropriate. For Fiswl Year 2015/16, the above funding sources are projecYed to generate approximately $13.2 Million in revenues towards the Transportation Department's budget. These sources alone, however, are not sufficient to fund future transportation projec[s itlentfied in the City's Transportation Master Plan Projed Bank adapted by the Ciry Commission on April 73, 2016 (Attachment B), including the Miami Beach Light Rail TransiUModem Streetcar project and potential future extensions of the system and the Intelligent Transportation System/Smatl Parking System Projecl Adddionally, creating new funding sources for transportation would reduce the nead to use non- trenspoRation-related funding sources such as Parking Fees (Year End Surplus) and, as a result, make those monies available to address the need for additional parking garages thraughout the Cdy. ANALYSIS The City of Miami recently adopted an ordinance establishing a Transportation Tmst Fund (Attachment 8). Staff conducted an analysis of the City of Miami Ortlinance. Below is a synopsis of the City of Miami Ordinance. City of Miami Ordinanee (Ord. No. 13568, § 1, 10-22-15) a. Capital No less than 20 percent oi any unrestricted one-time cash payments Contribution to the city of $500,000.00 or more, including, but not limitetl [o, ��. � payments receiveA through lease re-negotiations, money judgmerHs i hom lawsuits, audit findings, or any other lump sum payments, shall be reserved in this trust fund for capital or acquisition costs associated wRh mass VansiL The one-time payments for purposes of this seCion shall not include reasonable costs and any capital replacement costs associated with tha trensaction that resulted in the receipt of the one- time cash payment Additionally, 20 percent of all unrestricted wsh contributions to the public benefits trust fund, as def ned in chaoter 62, article XIV of the Clty Code antl Section 3.14 of ihe Miami 21 Code, t�e zonirg ortlinance of the city, as amentled, shall be reserved fw the same trust fund purpose, with the exception of the cash contnbutions to the public ben�t trust fund(or affordable/workforce housing as delnetl in subsection 62-642(c) oi the Ciry Code and Se�tion 3.14.4(a)(3) of the Miami 21 Coda. If any unreshictetl one-time cash payment to the city of $500,000.00 or more is to be paid in ' inslallments, the capital contnbution shall be no less than 20 perceM of each installment as it is received by the city. These funds may be carried over to the suCceedi �scal ear. 654 Commissinn Memorentlum—Accepfirg Me Recromme�Metion o/fhe FCWPC este0lishmg e Trarrsportafion Trusf Fund JuN 73, P016 Page a W 5 b. Operation 8 Each fiscal year, no less than onequarter of one percent (025�0) of Maintenance the city's general fund opereting budget shall be reserved in ihls ConMb. trust fund tor opera�ion and main[enance costs associa[ed with mass transit These funds shall, to the extent possible to meet the one- quarter of one percent (025°k) minimum, pnmarily consist of transportation related restncled tunds eligible for said purpose not already allocated for other expenditures. The adminisiretion shall look to eartnarked transportation tunding, inclusive of Local Option Gas Tax ("LOGT')funding. These funds may be cavied over to the succeeding fiscal ear. a Garage fUl funds collected through parking ratio reductions pursuant to Article Coniribution 4, Ta61e 4 of the Miami 21 Code, as amended, shall be reservetl in ihis trust fund for capital or acquisition cosis associated wdh the creation of new public parkinq gareges opereted by the departmeM of off-street parking. These funds may be wrned over to the succeeding fiscal ear. The City of Miami Ordinance also provides that "Nothing in this section shall be construed as limiting the ability to reurve funds in excess of the abovementioned minimums. ExpendiWres from this tmst fund shall require a 4/Sths vote of the entire memberehip of the Ciry Commission upon a written recommendation from the City Manager. This article shall not be wnstmed to take funds from any of the established parking tmst funds in this article.' Finance and Citvwide Proiects Committee This item was disassed at the June 77, 2016 Finance and Citywide Projects Committee meeting (FCWPC). The FCWPC made a motion to require that 20°h of one-time capital wntnbutions should be deposRed to a Transportation Capital Trust Fund. It was recognized that the funds generetetl on an annual basis may not be large, but over time, the funds would accumulate, with other existing sources that would provitle funding (or projeds over time. Further, the FCWPC directed that dedicating a percentage of the general fund budget for Transportation operating and maintenance expenses should be considered as part of the FV2016/17 budget development process. Given the needs of the Parking Department fa parking garages, especially at intercept locations, it is not recommentletl that Fees in Lieu of Parking (i.e. similar to funtls collecletl through parking ratio redudions) be committed to the Trensportation Trust Fund, but rether that the use of these funds be reviewed each year as paA of the review o(competing priorilies tluring the annual budget development process. CONCLUSION The Administretion recommends approval ot the resolution accepting the recommendation of the FinanCe and Citywide Projeets Committee establishing a requirement that no less than twenty percent (20°k) ot all one-time unrestricted wpital payments to the City of $500,000.00 or more, including, but no limited to, payments received through lease re-negotiations , money judgements from lawsuds, audH finding, or any other iump sum payments shall be deposited to a trust fund �or capital or acquisition costs associated with mass trensit excluding reasonable costs anC any capilal 655 Commission MemoreMum—Accaptirg the Recmm�renOatlon ol the FCWPC establishing a TianspoRaGon Trust FurM July 13. 2018 Page 5 0/5 replacement costs assodated wRh the transaction ihat resulted in ihe receipt o(the one-time cash payment. Attachments: A: City ot Miami Ordinance B: City of Miami Beach Resolution No, 2006-26341 C: TrenspoAation Master Plan Project Bank JLM/K�/CGR/JRG r�.�ncErvonvwsu�irrlrao�aw�u.�o�re�re rewnm.�mue�m m.vcwvic ewusn.re a rew�remem um�o ieaa ma�e.wmr oam���a an c„e. ore rme um.aui�aa uo�wvm.nro enen oo aewsnea w a oui�uiw mu 656