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R5S-Stay Against Issuance Of Demolition Orders Or Permits -City Commission-COMMISSION ITEM SUMMARY First Reading to consider an Ordinance Amendment establishing a stay against issuance of demolition orders or ermits for architecturally si nificant homes outside of historic districts. Maintain strong growth management policies. Supporting Data (Surveys, Environmental Scan, etc 48% of residential respondents and 55% of businesses rate the effort ut forth b the Cit tore ulate develo mentis "about the ri ht amount." Item Summa /Recommendation: FIRST READING The proposed Ordinance would establish a stay against issuance of demolition orders or permits for architecturally significant homes outside of historic districts. The Administration recommends that the City Commission approve the Ordinance at First Reading and set a Second Reading Public Hearing for October 16, 2013. Adviso Board Recommendation: On August 27, 2013, the Planning Board transmitted the subject Ordinance to the City Commission by a vote of 5 in favor and 2 against (Frank Kruszewski & Jonathon Bel off) .. Financial Information: Source of Funds: D OBPI 1 2 3 Total Financial Impact Summary: Amount Account In accordance with Charter Section 5.02, which requires that the "City of Miami Beach shall consider the long term economic impact (at least 5 years) of proposed legislative actions," this shall confirm that the City Administration evaluated the long term economic impact (at least 5 years) of this proposed legislative action. The proposed Ordinance is not expected to have any tangible fiscal im act. T:\AGENDA\2013\September 11\Stay Against Demo 1!1on-SUM 1st R MIAMI BEACH 689 Ao~NDA ITIM Rss fkATr. 9-1/·13 MIAMI BEACH City of Miami Beach, 1700 Convention Center Drive, Miami Beach, Florida 33139, www.miomibeachfl.gav COMMISSION MEMORANDUM TO: Mayor Matti Herrera Bower and Me FROM: Jimmy L. Morales, City Manager DATE: September 11, 2013 FIRST READING SUBJECT: STAY AGAINST ISSUANCE OF DE OLITION ORDERS OR PERMITS- ARCHITECTURALLY SIGNIFICANT HOMES OUTSIDE OF HISTORIC DISTRICTS AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, TO ADOPT A STAY ON THE ISSUANCE OF ORDERS OR PERMITS FOR THE SUBSTANTIAL OR TOTAL DEMOLITION OF ARCHITECTURALLY SIGNIFICANT HOMES LOCATED OUTSIDE OF HISTORIC DISTRICTS, TO ALLOW FOR THE REVIEW OF CURRENT AND PROPOSED ORDINANCES THAT WOULD PROTECT AGAINST DEMOLITION, AND FOR REVIEW OF INCENTIVE PROGRAMS TO ENCOURAGE RETENTION AND RESTORATION OF SUCH HOMES, PROVIDING FOR DURATION OF STAY THROUGH NOVEMBER 28, 2013, PROVIDING FOR EXTENSIONS, PROVIDING FOR EXCEPTIONS AND REVIEW PROCEDURES, AND PROVIDING FOR REPEALER, SEVERABILITY AND AN EFFECTIVE DATE. ADMINISTRATION RECOMMENDATION Approve the Ordinance at First Reading and schedule a Second Reading Public Hearing for October 16, 2013. BACKGROUND On July 17, 2013, the City Commission referred the subject Ordinance to the Planning Board for consideration. On August 27, 2013 the Planning Board reviewed the Ordinance and recommended in favor. ANALYSIS In recognition of Miami Beach's extraordinary inventory of architecturally significant single family homes, the City Commission adopted amendments to the City Code in 2002 and in 2004, intended to provide incentives for property owners to retain and rehabilitate, rather than demolish architecturally significant single family homes constructed prior to 1942. These legislative actions established criteria for the Planning Director or designee to make a determination as to whether a single-family home constructed before 1942 is architecturally significant, and provided a clearly defined process for the review of new homes proposed to replace architecturally significant single-family homes. Specifically, any requests for the total demolition of an 690 Commission Memorandum Stay Against Demolition September 11, 2013 Page 2 of 3 architecturally significant pre-1942 home would require Design Review Board approval for the proposed new construction, as well as the issuance of a building permit for the approved home, prior to the issuance of a demolition permit. The ORB review of new construction where architecturally significant homes are proposed to be demolished has been highly successful in ensuring the successful integration of new construction within the established scale, character and context of existing single family residential neighborhoods. However, over the past few years, staff has seen a very significant increase in the number of total demolition requests for architecturally significant single family homes. Specifically, in 2012 there were 20 requests for total demolition and new construction, while only 21 such requests were submitted over the 7 year period from 2005 thru 2011, as shown below: Year: 2012 2011 2010 2009 2008 2007 2006 2005 Homes Proposed for Total Demolition: 20 3 4 0 5 1 4 4 As more and more of the homes that define very large and significant portions of the City are lost, the character, identity and brand that makes Miami Beach a very special place will, unfortunately, begin to erode. Currently, section 142-108 of the City Code, which governs the review procedures for new construction on properties containing architecturally significant homes, provides some limited incentives for retaining such homes. Through 2011, these incentives seemed to be adequate; however, as has been evidenced by the spike in demolition requests for architecturally significant homes in 2012, more is needed in order to encourage the retention of these homes. In this regard, staff has drafted revisions to Section 142-1 08(g) of the code, in order to create more substantial and tangible incentives for the retention of architecturally significant single family homes. This Ordinance has been endorsed by the Land Use and Development Committee and referred to the Planning Board for consideration on September 23, 2013. In order to try and limit the demolition of Architecturally Significant single family homes, the City Commission referred the proposed Ordinance pertaining to a Temporary Stay on Demolition Permits for 'Architecturally Significant' homes. As proposed, this stay went into effect immediately upon the endorsement of the Planning Board on August 27, 2013 and would stay in effect until November 28, 2013, subject to the approval of the City Commission. Staff believes that the proposed stay is a reasonable mechanism to help ensure that the process for amending the pre-1942 incentive ordinance moves forward without undue delay. PLANNING BOARD REVIEW The Planning Board reviewed the subject Ordinance on August 27, 2013, and transmitted it to the City Commission with a favorable recommendation by a vote of 5 in favor and 2 against (Frank Kruszewski & Jonathon Beloff). FISCAL IMPACT In accordance with Charter Section 5.02, which requires that the "City of Miami Beach shall consider the long term economic impact (at least 5 years) of proposed legislative actions," this shall confirm that the City Administration evaluated the long term economic 691 Commission Memorandum Stay Against Demolition September 11, 2013 Page 3 of 3 impact (at least 5 years) of this proposed legislative action. The proposed Ordinance is not expected to have any tangible fiscal impact. CONCLUSION The Administration recommends that the City Commission approve the Ordinance at First Reading and schedule a Second Reading Public Hearing for October 16, 2013. JLMIJMJ/RGUTRM T:\AGENDA\2013\September 11\Stay Against Demolition-MEM 1st Read.docx 692 STAY AGAINST ISSUANCE OF DEMOLITION ORDERS OR PERMITS- ARCHITECTURALLY SIGNIFICANT HOMES OUTSIDE OF HISTORIC DISTRICTS ORDINANCE NO.------ AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, TO ADOPT A STAY ON THE ISSUANCE OF ORDERS OR PERMITS FOR THE SUBSTANTIAL OR TOTAL DEMOLITION OF ARCHITECTURALLY SIGNIFICANT HOMES LOCATED OUTSIDE OF HISTORIC DISTRICTS, TO ALLOW FOR THE REVIEW OF CURRENT AND PROPOSED ORDINANCES THAT WOULD PROTECT AGAINST DEMOLITION, AND FOR REVIEW OF INCENTIVE PROGRAMS TO ENCOURAGE RETENTION AND RESTORATION OF SUCH HOMES, PROVIDING FOR DURATION OF STAY THROUGH NOVEMBER 28, 2013, PROVIDING FOR EXTENSIONS, PROVIDING FOR EXCEPTIONS AND REVIEW PROCEDURES, AND PROVIDING FOR REPEALER, SEVERABILITY AND AN EFFECTIVE DATE. WHEREAS, the City of Miami Beach wishes to preserve its unique architectural history and to maintain the structural, historical and architectural integrity of existing structures in the City's residential neighborhoods; and WHEREAS, a significant number of architecturally significant single family homes within the City are located outside of historic districts, and have limited protection from demolition in the current City Code; and WHEREAS, while the City's Design Review Board is authorized to review applications for the demolition of architecturally significant homes built prior to 1942, it does not have the authority to deny a request for demolition of such homes; and WHEREAS, over the past year the number of architecturally significant homes built prior to 1942 that have received approval from the Design Review Board to be demolished has increased dramatically; and WHEREAS, the City Commission has directed the Administration to draft amendments to the land development regulations that provide incentives to encourage the preservation of architecturally significant homes in the City; and WHEREAS, the City Commission has directed the Administration to explore other ways in which the number of architecturally significant homes in the City threatened with demolition can be reduced; and WHEREAS, the City Commission finds that in order to protect the architecturally 693 significant homes that remain from demolition prior to the above legislation being drafted and considered by the various land use boards, affected property owners, the Planning Board and the City Commission, a temporary stay for a period of approximately four months through November 28, 2013 against the issuance of demolition permits for the demolition of such homes, is required; and WHEREAS, the City Commission has considered at its hearing on the request by the Honorable Mayor Matti Herrera Bower's referral to the City Planning Board of the proposed stay, that certain persons and property should be excluded from the stay, to account for recent actions taken without knowledge of this proposed action, and such consideration is included in the amendment below; and WHEREAS, the City of Miami Beach continually seeks to update and clearly define the requirements of the Land Development Regulations of the Code of the City of Miami Beach as they pertain to the consideration and issuance of permits for demolition; and WHEREAS, the amendments set forth below are necessary to accomplish all ofthe above objectives. NOW THEREFORE, BE IT ORDAINED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA. SECTION 1. A. Establishment of temporary stay in RS-1, RS-2, RS-3 and RS-4 zoning districts. A temporary stay through November 28, 2013 shall be imposed as of the earlier of a favorable recommendation by the Planning Board establishing zoning in progress under City Code section 118-168, or adoption by the City Commission of this ordinance on second reading after public hearing, against the issuance of orders or permits for the substantial or total demolition of architecturally significant homes outside of historic districts, which satisfy the criteria of section 142-1 08 (a) of the City Code, without regard to year of construction. The stay shall be in effect in the RS-1, RS-2, RS-3 and RS-4 zoning districts. The stay shall automatically dissolve on November 28, 2013, unless extended by the City Commission by ordinance. Substantial demolition as used in this Ordinance shall mean that the following portions of a building are proposed to be demolished or removed: 1. More than 25 percent of the front, waterfront side or rear, and/or street side walls; or 2. More than 25 percent of an original concrete first floor slab; or 3. More than 34 percent of the interior side walls. 2 694 B. Exceptions. The stay does not apply to: (1) Anyone who filed an application for development approval with the Planning Department or for permit with the Building Department on or before July 17, 2013; or (2) Anyone who purchased property within the three months prior to July 17, 2013; or (3) Anyone who entered into a contract to purchase property with a deposit in escrow prior to July 17, 2013; or (4) Anyone who establishes equitable estoppel as stated in Florida case law as proven by affidavit and documentation, evidencing the expenditure of funds prior to July 17, 2013 for development of the property, to the satisfaction of the City Attorney; or (5) Anyone who establishes equitable estoppel as provided in City Code Section 118-168, by obtaining a building permit or Design Review Board approval prior to zoning in progress or City Commission adoption of this Ordinance; or (6) Orders of the Building Official for emergency demolition of unsafe structures. C. Review Procedures. In the event the property owner does not qualify under subsection B above for an exception to avoid enforcement of this Ordinance, then the property owner may seek a determination from a court of competent jurisdiction as to whether equitable estoppel otherwise exists. lf, however, a property owner fails to seek a determination from the court, or if the court has made a determination unfavorable to the property owner and such determination is not reversed on appeal, then the City shall fully enforce this Ordinance against the property owner's project. SECTION 2. REPEALER. All ordinances or parts of ordinances in conflict herewith be and the same are hereby repealed. SECTION 3. SEVERABILITY. If any section, subsection, clause or provision of this Ordinance is held invalid, the remainder shall not be affected by such invalidity. SECTION 4. EFFECTIVE DATE. This Ordinance shall take effect ten days following adoption. 3 695 PASSED AND ADOPTED this __ day of _______ , 2013. ATTEST: CITY CLERK First Reading: Second Reading: \ September 11, 2013 October 16, 2013 Verified by: ________ _ Richard Lorber, AICP Acting Planning Director MAYOR APPROVED AS TO T:'AGENDA\2013\SEPTEMBER 11\STAY AGAINST DEMOLITION-ORD FIRST READ.DOCX 4 696