Resolution 2025-33844 i
RESOLUTION NO. 202533844
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF
MIAMI BEACH, PLORIDA, SETTING 1) THE PROPOSED OPERATING
MILLAGE RATE; 2) THE REQUIRED DEBT SERVICE MILLAGE RATE; 3) THE
CALCULATED "ROLLED-BACK" RATE; AND, 4) THE DATE, TIME, AND
PLACE OF THE FIRST PUBLIC HEARING TO CONSIDER THE MILLAGE
RATES AND BUDGETS FOR FISCAL YEAR 2026; AND, 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, specifies the method by whlch
municipalities set the millage rate and adopt an annual budget; and
WHEREAS, development of the Fiscal Year (FY) 2026 budget began in December 2024
and has included numerous discussions and meetings with the Mayor and City Commission to
review priorities, economic indicators, and their impacts on the overall budget, as well as projected
revenues and ezpenditures; and
WHEREAS, over the last several years, the City of Miami Beach has adopted budgets
that have provided enhanced levels of services that address the needs and priorities identifed by
the community; and
WHEREAS, the 2025 Certlfied Tazable Values received from the Miami-Dade County
Property Appraiser on July 1, 2025 reflect an overall increase of 6.9% in taxable property values
citywide from the 2024 Certified Taxable Values, a 27% increase in taxable property values within
the City Center Redevelopment Area, a 37% increase in taxable property values within the North
Beach Community Redevelopment Area, and a 7.6% increase in taxable property values outside
of the City Center and North Beach Community Redevelopment Areas, which directly impacts
General Fund property tax revenues; and
WHEREAS, based on the 2025 Certifed Taxable Values, it is proposed Ihat the City's
Total General millage rate for FY 2026 be adjusted by 0.0�80 mills from the adopted FY 2025
millage rate of 5.8522 mills to 5.8702 mills, while the Voted Debt Service millage rate proposed
be decreased by 0.0180 miils from the adopted FY 2025 rate of 0.2959 mills to 02779 milis,
based on the overall increase of 6.9% in taxable property values citywide and the recommended
realignment of the reduction in the required Voted Debt Service millage to the Capital Renewal
and Replacement (CRR) and Capital Pay-As-You-Go (PayGo) components of the City's Total
General millage rate that was approved by the Finance and Economic Resiliency Committee
(PERC) at its July 11, 2025 Budget Briefng; and
WHEREAS, the City's Total General millage rate proposed for FY 2026 of 5.8702 mills is
comprised of a General Operating millage that funds operating expenditures in the General Fund,
a Capital Pay-As-You-Go (PayGo)millage thatfunds General Fund capital projects, and a Capital
Renewal and Replacement(CRR) millage that provides a dedicated source offunding for renewal
and replacement projects that extend the useful life of existing General Fund capital assets; and
WHEREAS, the City's Voted Debt Service millage rate proposed for FY 2026 of 0.2779
mills, which is a decrease of 0.0180 mills from the adopted FY 2025 millage rate of 02959 mills,
based on the 2025 Certifed Taxable Values is necessary to fund General Obligation (G.O.) debt
service expenditures totaling approximately $16.3 million in FY 2026 for the first tranche (Series
2019) of the G.O. Bonds that were approved by the voters on November 6, 2018, as well as the
first tranche (Series 2023 A&B) of the Arts and Culture G.O. Bonds that were approved by the
voters on November 8, 2022; and
WHEREAS, the January 1, 2024 citywide tax roll decreased by approximately $0.7 billion
from the certified July 1, 2024 valuation of$56.4 billion to the fnal July 1, 2025 valuation of$55.7
billion due to appeals and adjustments, which is part of the reason the FY 2026 "rolled-back" rate
is 5.5114, or 0.3408 mills lower than Ihe adopted FY 2025 Total General millage rate of 5.8522
mills; and
WHEREAS, the City of Miami Beach is required to notify the Miami-Dade County Property
Appraiser of ihe proposed millage rates, the "rolled-back" rate, and the date, time, and place of
the first public hearing within 35 days of receipt of the 2025 Certified Taxable Values that were
received on July 1, 2025.
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 Millage Rates for FY 2026:
General Millage 5.6636 mills
Capital Renewal & Replacement Millage 0.0912 mills
Pay-As-You-Go (PayGo) Millage 0.1154 mills
Total General Operating Millage 5.8702 mills
Voted Debt Service Millage 02779 mills
Total Combined Millage 6.1481 mills (same as last vear)
2) "Rolled-Back" Rate 5.5114 mills
3) The first public hearing to consider the proposed millage rates and budgets for FY
2026 shall be held on Wednesday, September 17, 2025, at 5:01 P.M., in Ihe City
Commission Chambers at 1700 Convention Center Drive, 3rd Fioor, Miami Beach,
Florida 33139.
PASSED and ADOPTED, this a3 day of JU�, 2025.
ATTEST: G�(�
lUL 2 5 �0�`i Steven Meiner, Mayor
Rafael E. Granado, City Clerk
APPROVED AS TO
FORM &LANGUAGE
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Resolutions -R7 F
MIAMI BEACH
COMMISSION MEMORANDUM
TO: Honorable Mayor and Members of the City Commission
FROM: Eric Carpenter, City Manager
DATE: July 23, 2025
TITLE: A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF
MIAMI BEACH, FLORIDA, SETTING 1) THE PROPOSED OPERATING MILLAGE
RATE; 2)THE RE�UIRED DEBT SERVICE MILLAGE RATE; 3)THE CALCULATED
"ROLLED-BACK" RATE; AND, 4) THE DATE, TIME, AND PLACE OF THE FIRST
PUBLIC HEARING TO CONSIDER THE MILLAGE RATES AND BUDGETS FOR
FISCAL YEAR 2026; AND, 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.
RECOMMENDATION
The Administration recommends thal the Mayor and City Commission adopt the attached
Resolution, which authorizes the Ciry Manager to transmit Me following infortnation to Me Miami-
Dade County Property Appraiser:
1) Proposed Millage Rates for Fiscal Year(FY) 2026:
Operating Millage 5.6636 mills
Capital Renewal & Replacemenf Millage 0.0912 mills
Pay-As-You-Go (PayGo) Millage 0.1154 mills
Total General Millage 5.8702 mills
Voted Debt Service Millage 02779 mills
Total Combined Millage 6.1481 mills (same as last vear)
2) "Rolled-Back" Rate (Truth-in-Millage) 5.5114 mills
3) The first public hearing to consider the millage rates and budgets proposed tor FY 2026
shall be held on Wetlnesday, September 17, 2025, at 5:01 p.m., in the City Commission
Chambers at 1700 Convention Center Drive, 3r° Floor, Miami Beach, Florida 33139.
BACKGROUNDIHISTORY
See analysis below.
ANALYSIS
PROPERTYVALUES
On July 1,2025,the City received the 2025 Certified Taxable Values from the Miami-Dade Counry
Property Appraiser. As summarized below, the City's overall taxable property values increased
approzimately $3.9 billion, or 6.9%, 6om the 2024 Certified Taxable Values of$56.4 billion to the
2025 Certified Taxable Values of$60.3 billion, which included a $2.9 billion, or 5.1°/a, increase in
the City's existing values and a$1.0 billion increase in new wnstruction values.Within the overall
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increase, however, property values within the City Center Redevelopment Area and the North
Beach Community Redevelopment Area increased by 27% and 3.7%, respectfvely, compared to
the previous year.
P�qierry Values
Existingvm..es $Sfi39ti94],099 559251456309 $28S1S09.010 ��"_
Ne�.rConS.n�d�on 1,OdB.123B55 �.0�8.123855 1000°��
Total CirywiEe f58}98,919,099 f�.Z99.5A0,5W f0.903,61],465 6.9X
CrtyCen�nReGevelopmmtAiee 59,'l02.447.439 f8.B93.8�3,/ea f181.196.0P5 2]X
Nat�BeaMCummur�iyReEevebpmarRArea 1,8M,020.001 1913,3t9.e27 BB.B95.B25 31%
TolalCitywitle—NetotRDABCRA Sd],BdJ.0i5,658 151A92,61),Y13 50.649.501.615 ].6°k
VALUE OF ONE MILL OF TAXABLE VALUE
7he first building block in developing a municipal budget is the establishment of the value of one
mill of tazation, where a mill is defined as $1.00 of ad valorem tax for every $1,000 of taxable
property value. For the City of Miami Beach, the value of each mill (or the FY 2026 budget is
detertnined by the 2025 Certified Tazable Values that is set at approximately $60.3 million per
mill levied. Per Section 200.065, Flonda Statutes, a discount of up to 5% may be applied to
account for early payment discounts, delinquencies, etc. Therefore, the value of one mill citywide
at 95% is approximately$57.3 million.
MILLAGE RATES PROPOSED
There are lwo (2) main componenls to the Citys Total Combined millage rate, which are the
Generel millage rate and the Voted Debt Service millage rate. The General millage rate, which is
comprised of a General Operating, Capital Renewal and Replacement (CRR), and Capital Pay-
As-You-Go (PayGo) millage, funds General Fund operating and capital expenditures, while the
Voted Debt Service millage rate funds the annual debt service for outstanding General Obligation
(G.O.) bonds.
The Generel millage rate proposed for FY 2026 of 5.8702 mills provides funding to offset
increases in personnel costs, such as the City's annual required pension contnbutions, a five (5)
and four (4) percent (°h) step increase (where applicable) for all Fratemal Order of Police (FOP)
and Intemational Association of Fire Fighters (IAFF) positions and a 03°/ performance-based
merit increase for all other positions, an increase in the Ciry's health insurance premiums for
active employees and retirees, as well as increases in other General Fund operating ezpenditures
and detlicated funtling for General Fund capital projects.
The Voted Debt Service millage rate provides (unding for the annual debt service of ihe frst
trenche (Senes 2019) of the G.O. Bond that was approved by Me voters on November 6, 2018
and the annual debt service for the first tranche (Series 2023 A&B) of the Arts and Gulture G.O.
Bond that was approved by the voters on November 8, 2022.
Based on the 2025 Certfied Taxable Values, the debt service payments totaling approximately
$16.3 million in FY 2026 require the levy of a voted debt service millage rate of 02845 mills for
FY 2026, which is 0.0114 mills less lhan the adopted FY 2025 Voted Debt Service millage rate of
02959 mills.
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Unfunded CapiWlNeeds
As presented at the Finance and Economic Resiliency Comminee (FERC) Budget Briefings on
June 13, 2025 antl Jufy 11, 2025, ihe City's FY 2026-2030 Caprtai Improvement Plan (CIP)
reAected over $12 billion of unfunded capital project needs over lhe next five (5) years.
In an effort to meet the City Commission's goal of funding 5% of the annual General Fund
operating budget tor rapital needs in accordance with ResoWtion No. 2006-26347, the
Atlministration at the July 1 t, 2025 FERC Budget Briefing recommended realigning the reduction
in the required Voted Debt Service millage rate of 0.0114 mills to the City's dedicated CRR and
PayGo millage rates. This adjustment resWted in an estimated additional $0.6 million allocatetl to
dedicated CRR antl PayGo in FY 2026.
In addition,based on the finalization of the City's Annual Comprehensive Financial Report(ACFR)
for the fscal year ending September 30, 2024 (FY 2024), approximateiy $0.3 million in pnor year
fund balance in the General Obligation (G.O.)Debt Service Fund is available for appropnaGon. At
the July 11, 2025 FERC Budget Bnefing, the Administrallon recommended that the availaWe
funding be appropnated in FY 2026 that woultl further increase the reduction in the Votetl Debt
Service millage rate for FY 2026 by O.QO66 mills, from 0.0114 mills to 0.0780 mills, and realign
the additional reduction in the Voted Debt Service millage to the Ciry's dedicated PayGo millage.
This resulted in an estimated additional increase in dedicated PayGo P�nding of approzfmately
$0.3 million.
The Total Combined millaae rate oroposed for FY 2026 would remain Flat at 6.1481 mills.
as summarized in the table below if the recommendations above are aooroved.
These recommendations,which were aooroved bv the FERC at the July 11 2025 Budqet Briefinq,
would move the budget closer to the Ciry Commissfon's goal of funding 5% of the annuai General
Fund opereting budget for capital needs, hom aoprozimatelv 515.0 million.or 3.3°k. in FY 2025
to $19.4 miilion, or 4.0%, of the FY 202fi General Fund budget. With these additional capital
do'�'ars Ihe o 1o��rist�3ti r rrrommen�".s '�.nd�ng the r^�os; r,ntic I .0 �i;�dea .acrta' �ro�eC needs.
GcncialOper,3t�ng 5.6636 56636 C0000
Cepital Renewal 8 Replacement �CRRi OD866 OA972 O.00b6
Capitel Pay-As-You-Co(PayGo) D.1020 0.1154 0.0134
To[al General Mlllage 5.8522 5.8702 0.0180
Voted DeDt Service 0.2959 02779 (0.0180)
7otal Combinetl Millage 6.1481 6.1481 0.0000
IMPACT OF PROPOSED MILLAGE LEW IMPACT ON PROPERTY OWNERS
Homesteaded Properties
In 1992, voters approved an amendmeM to ihe Flonda Constitution known as Amendment 10,
also known as Save Our Homes (SOH). SOH is an assessment limitation, or"cap," on increases
in the assessed value of a homestead residence. Those increases are limited to 3.0°/, or the
percent change in the CPI (Consumer Pnce Index), whichever is less. The `cap"gces into ef(ect
6eginning Me year aRer a homestead exempfion is granted.
Based on last year's taxable property values from the Miami-Dade County Property Appraiser as
of July 1, 2024, ttie metlian homesteadetl property value in the City was $290,600 while fhe
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average homesteaded property value was $837,571. For an ezistinq homesteaded prooertv in
lhe Citv that was not sold antl/or did not have anv imorovements or additions comoleted in the
last vear the imoact of the Citv's Total Combined millaqe rate of 6.1481 mills pr000sed for FY
2026 would be an increase of approximatelv$51 for the median homesteaded prooertv,while the
imoact for the averaae homesteaded orooeM woultl be $149 pursaant to Me SON rao that is
2 9% for the current vear.
Preliminary Taxable Value" S�9q600 58J7.571 SZ99.027 f887,861
CRy o/Miami Beach:
Operetmg 51]01 �4,902 St755 SS 059
Votetl �ebl 86 24B 83 240
Tafal AiYrnf Beaeli i1.7l7 f5,150 St,l3E f6,2Y9
S Change in Tazes:
Operating fb4 5157
Va[ed Debt �3) (B)
TOLIMWniBeaeh S51 S1�B
"Source:Miami-Dade County Property Appreiser's-2024 averege-metlian-homestead-resitlentia!-
values/iles
Nistorical Perspective
The table below outlines the City's historical millage rate trend. For FY 2026, the Citv's Total
Combined millaae rate is oroaosed to remain flat at 6.1481 milla which is the same rate that was
adooted for FY 2025.
Millaoe Rate History
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aZA6 � p�3J 03a) n2W fl21EB
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oiuea �osm nown ute�ca
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FY FV FV FV IY FV IY F1 IY f� VY fV FV FV
V�
201'2 20ll 201] 20t5 'tDio 20i] Lutq �uL 20?9' Rv2i div.� lu?� 202J" 2025 20?6
•Opei�ungMlla2e CaplelMillaQe�PayGo&CRR� � Vote�DeOiServmetGOBonds�
'Increase in FY 2020 millage attnbuted ro issuance ol irancM 1(Senes 20/9J ol General 061ga0ar(GAJ Bonds appmved Dy
tM wters on Novem�er 6. 2018
^Increase in FY 2024 millaga attn�u(etl M iuuance olTranche 1(Senes 2023A86)ol Arts end Cutture(G O.)Bontls approvad
by tAe vofers on No✓emAes B 202�
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TRUTH-IN-MILLAGE PROCESS
Florida Statute 200.065, entitled "Method of Fixing Millage," establishes specific guidelines lhat
must be used by all local govemment entities in setting millage its mitlage (property tax) rates.
Under the StaNte, the City is required, within 35 days of receipt of the "Certification of Taxable
Value"(received July 7, 2025), ro advise the Miami-Dade County Property Appraiser of the 7otal
General millage rate proposed, the calculated "rolled-back" rate, and the date, 6me, and place of
the first public heanng to consider the proposed millage rates 2nd budgets for FY 2026. The
requiretl Voted Debt Service millage rate must also be set at the same time as the Total General
millage rate.
Maximum Millage Determination
The FY 2026 Total General millage rate is proposed at 5.8702 mills. Based on the 2025 Certified
Taxable Values that were received hom the Miami-Dade Counry Property Appraiser on July 1,
2025, the proposed levy of 5.8702 mills, which includes the recommendetl realignment of the
reduction in the Voted Debt Service miifage to the City's detlicated CRR and PayGo millage rates
for FY 2026,would generate approzimately$299.6 million in General Fund property tax revenues,
which is an increase of approximately $21 4 million over the budgeted FY 2025 General Fund
property tax revenues of$278.2 million (excludes the City Center Redevelopment Area and North
Beach Community Redevelopment Area).
Adoption of the Total General millaqe rate of 5.8702 mills proposed for FY 2026 therefore
reouires a hvo-Ihirtls aoDroval (5 of 7 votes) bv the Mavor and Ciri Commission oer the Sfate of
Florida's Truth-in-Miliaae (TRIMI reouirements.
By August 4, 2025, taxing authorities are required to certiry Ne proposed millage rates to the
Miami-Dade County Property Appraiser. The millage rates proposed wiil be included in the TRIM
notices that will 6e mailed by the Property Appraiser by August 24, 2025. The purpose of the
TRIM notice is to notiry property owners of how much their property taxes could potentially
increase or decrease, and which govemmental entity is responsible for the taxes levied.
After setting the proposed millage rates for FY 2026,the Mayor and City Commission may, at any
time prior to final adoption, lower the proposed millage rates fhroughout the remaintler of the
budget development process until Me fnal millage rates are adopted by the Mayor and City
Commission at the second public heanng scheduled to be held on Tuesday, September 30, 2025,
at 5:01 p.m.
First Public Hearing
The first public heanng on the proposed operating millage rate and budget for FY 2026 must be
held no later than 80 days, or earlier than 65 days, from the slart of the TRIM calendar (July 1�').
Other requirements are:
1. The public heari�g cannot be scheduled on a Sunday or o� those days utilized by Miami-
Dade County or the Miami-Dade County School Board for their public hearings
2. The public hearing must be held after 5:00 P.M., if on a tlay other than Saturday
3. The principal taxing authority (City of Miami Beach) must adopt its tentative millage rate
prior to adopting its tentative annual budget
Based on these requirements, ihe first public hearing must be held behveen September 3, 2025
and September 18, 2025. The following dates are unavailable for the following reasons:
September 4'^ Miami-Dade County 1�'Public Hearing
September 7'"and 14�^ Sundays
September 10'" Miami-Dade Coonty School Board 2"°Public Hearing
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September 18"� Miami-Datle Counry 2nd Public Heanng
Ot the remaining days available, it is recommended that the first public heafing be held on
Wednesday, September 17, 2025, at 5�.01 P.M., in the City Commission Chambers af 1700
Convention Center Drive, 3rtl Floor, Miami Beach, Florida 33139.
Second Pu61ic Hearing
The second public hearing to adopt the final m8lage rate and budget for FY 2026 must be held
no later than 100 days, or earlier than 97 days, irom the start of tbe TRIM calentlar (July 1°'). In
addition, it must be advertised no later Man 15 tlays afler the first public hearing and must be held
hvo (2)to five (5) days after the advertisement appears fn the newspaper.
For this reason, the second public hearing is recommended to be held on Tuesday, September
30, 2025, at 5:01 p.m., in the Ciry Commission Chambers at 1700 Convention Center Drive, 3re
Floor, Miami Beach, Florida 33139.
FISCAL IMPACT STATEMENT
See analysis above.
Dces this Ordinance reauire a 8usiness Imuact Estimate?
(FOR ORDINANCES ONLY)
If applicable, the Business Impact Estimate (BIE) was published on:
See BIE at: https;//www.miamibeachfl.00v/citv-hall/citv-clerk/meetinq-notices/
FINANCIAL INFORMATION
See analysis above.
CONCLUSION
The Administration recommends that the Mayor and City Commission adopt the attached
Resolution authonzing the Ciry Manager to trensmit the proposed opereting millage rate, the
required debt service millage, the calculated "rolled-back" rate, and the date, time, and place ot
the first public hearing to consider the proposed millage rates and budgefs tor FY 2026 to the
Miami-Dade County Praperty Appraiser.
ECIJDG/TOSIRA
AooliCable Area
Citywitle
Is this a "Residents Rioht to Know" item. Is this item related to a G.O. Bond
pursuant to Ciri Code Section 2-17? Proiect7
Yes No
Was this Aaenda Item initialN renuested bv a lobbvist which. as deTined in Code Sec. 2d81.
indudes a orincioal ennaned in lobbving? No
If so, specify the name ot lobbyist(S) and principal(s)�.
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Deoartment
Managementand Budget
S onsor s
Co-soonsor(sl
Condensed 7itle
Set Proposed FY 2026 Millage RatelDebt Servlce Rate and Rolled Back Rate. OMB
Previous Action (For Citv Clerk Use Onlv)
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