R7A1-Adopt Final Ad Valorem Millage General Operating-Debt Serv Millage RateCOMMISSION ITEM SUMMARY
Gondensed Title:
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH,
FLORIDA, ADOPTING: 1) THE FINAL AD VALOREM MILLAGE OF 5.7942 MILLS FOR GENERAL
oPEMTING PURPOSES, WHICH ISTHIRTEENAND FOUR-TENTHS PERCENT (13.4%) MORETHAN
THE "ROLLED-BACK'RATE OF 5.1076 MILLS; AND 2) THE DEBT SERVICE MILLAGE RATE OF
0.2295 MILLS
lntended Outcome
Ensure expenditure trends are sustainable over the long term
Supporting Data (Surveys, Environmental Scan, etc.):
ln the 2014 Community Survey, both residents and businesses reported the following area for the City
related to value for taxes paid:. Percentage of residents rating the Overall Value of City services for tax dollars paid as excellent or
: 58%; Businesses 54%
Item Summary/Recommendation :
The Administration is recommending a total combined millage rate for the City of Miami Beach of 6.0237,
which represents a decrease of 0.0926 mills. The tentatively adopted operating millage decreased 0.0692
mills and includes a general operating millage rate of 5.7942 and a General Fund Capital Renewal and
Replacement millage of 0.1083. The tentatively adopted voted debt service millage rate is adjusted from
0.2529toO.2295, a decrease of 0.0234 mills. The tentativelyadopted millage rate decrease of 0.0926 mills
represents approximatelv half of the remaininq millaoe rate reduction qoal of 0.2079 and does not result in
a oropertv tax increase to median or averaqe propertv owners that oualifv for the homestead exemption
and the Save Our Homes cao.
The tentatively adopted combined millage rate of 6.0237 mills is 0.0926 mills less than the 6.1163
combined millage rate for FY 2013114. The tentatively adopted operating millage of 5.7942 mills for FY
2O14115 is 0.6866 mills more than the rolled-back rate of 5.1076, and thus, the City is required to publish a
Notice of Tax lncrease. The tentatively adopted operating millage rate of 5.7942 requires a majority
approval (4of 7 votes)of theCommission.
This item was originally adopted on September 30, 2014. On November 17, 2014, the Florida Department
of Revenue (DOR) officially notified the City of Miami Beach that we are not in compliance with Truth-in-
Millage (fHM bw due to an error in the Budget Summary advertisement posted in the Miami Herald on
September 25, 2014. Per DOR's requirements, this item will re-adopt the final ad valorem millage rate for
ge ne ral ope rati ng purposes.
Finance & Citywide Projects Committee on July 16'n, August 13'", and August 29'" 2014
Financial lnformation:
Source of
Fugdcl
Amount Account
1
2
Total
Financial lmpact Summary: lncluding the tentativelyadopted millage ratefor FY 2o14l15,the City has
decreased the millage by 0.4213 mills in the last four years and combined millage rates today remain more
than 2.6 mills lower, or 31 percent, than in FY 1999/00 and approximately 1 .6 mills lower than in FY
2006107. As a result, the tentativelv adooted prooertv tax lew is approximatelv $13 million less in FY
2014l15 than it was in FY 2006/07.
& MIAMIBTACH D^rE lL'L'ly8
g MIAMI BEACH
Cify of Miomi Beqch, 1700 Convenrion Cenler Drive, Miomi Beoch, Florido 33139, www.miomibeochfl.gov
COMMISSION MEMORANDUM
TO: Mayor Philip Levine and Members
FROM: Jimmy L. Morales, City Manager
DATE: December 2,2014
f the Citylpommission
BEACH, FLORIDA' ADOPTING: 1) THE FINAL AD VALOREM MILLAGE OF 5.7942
MILLS FOR GENERAL OPERATING PURPOSES, WHICH IS THIRTEEN AND FOUR.
TENTHS PERCENT (13.4yo1MORE THAN THE',ROLLED-BACK',RATE OF 5.1076
MILLS; AND 2) THE DEBT SERVICE MILLAGE RATE OF 0.2295 MILLS
TRIM COMPLIANCE
This item was originally adopted on September 30, 2014. On November 17, 2014, the Florida
Department of Revenue (DOR) officially notified the City of Miami Beach that we are not in
compliance with Truth-in-Millage (TRIM) law due to an error in the Budget Summary advertisement
posted in the Miami Herald on September 25,2014. Per DOR's requirements, this item will re-
adopt the final ad valorem millage rate for general operating purposes.
ADM I NISTRATION RECOMMEN DATION
The Administration recommends that the City Commission adopt the attached Resolution which
sets the following:
1) Final Millage Rates for FY 2014115:
General Operating 5.6859 mills (5.7551FY 2013114,0.0692 decrease)
Capital Renewal& Replacement 0.1083 mills
Sub-Total Operating Millage 5.7942 mills (5.8634FY 2013114, 0.0692 decrease)
Voted DebtService 0.2295 mills (0.2529FY2013114.0.0234decrease\
Total 6.0237 mills (6.1163 FY 2013114,0.0926 decrease)
2) The final combined millage rate of 6.0237 mills is 0.0926 mills less than the 6.1163 combined
millage rate for FY 2013114. The final operating millage of 5.7942 mills for FY 2014115 is
0.6866 mills more than the rolled-back rate of 5.1076, and thus, the City is required to publish
a Notice of Tax lncrease.
The "Rolled-Back" millage rate for FY 2014115 is the millage rate required to produce the same
level of property tax revenues in the General Fund in FY 2014115 as anticipated to be received in
FY 2013114. lt is important to note, that the January 1,2013, tax roll Citywide declined by almost
$1.02 billion (4.1o/o) between the July 1,2013 valuation and the July 1,2014 valuation due to
appeals, adjustments, etc, which is part of the reason the FY 2014115 "rolled-back rate" is 0.6866
mills lower than the FY 2013/14 current millage rate and lower than it would be if the rolled-back
rate was only adjusted for the increase in revenues generated by higher property values. The area
9
FY 2014115 Final Millage
December 2,2014
Page2
outside of City Center RDA, which impacts General Fund revenues, declined in value by
approximately $0.24 billion during the same period of time.
The Administration is recommending a total combined millage rate for the City of Miami Beach of
6.0237. The total final operating millage decreases to 5.7942 mills, which includes a General
Operating millage rate of 5.6859 and a General Fund Capital Renewal and Replacement millage of
0.1083. The finalvoted debt service millage rate is adjusted fromO.2529toO.2295, a decrease of
0.0234 mills.
The final adopted millage rate provides funding in the proposed budget to partially offset the
following:
o 3 percent Cost of Living Adjustment (COLA)
o 2 percent merit increases for employees to their maximum of pay ranges
. I percent increase in Health lnsurance and 7 percent increase in Dental lnsurance
o 3.9 percent increase in internal service charges
o $2.1 million in program and service levelenhancements
PROCEDURE
Florida Statutes 200.065 requires that at the conclusion of the second public hearing on the final
proposed tax rate and budget, the City Commission proceed in the following specific manner:
1. Adopt an ad valorem millage rate for FY 2013114 operating purposes. The statute requires
the name of the taxing authority, the "Rolled-Back" rate, the percentage increase or
decrease over the "Rolled-back" rate, and the millage rates be publicly announced before
adoption of the millage levy resolution.
State statute requires that only the title be read aloud.
2. Adopt a general operating budget for FY 2013114. Also included, are budgets for the
Enterprise and lnternal Service Funds. This is accomplished by adopting a companion
Resolution. (See accompanying City Budget Agenda ltem).
SUMMARY
!n FY 2010111 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 6.21 55, 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. lt should be remembered
that between FY 2009i 10 and FY 2010111 values declined by $2.0 billion driving the need for an
increase in the millage.
ln FY 201 1112the City took its first step in that direction with a reduction in the millage rate of 0.05
mills. The millage rate for FY 2012113 reduced the operating millage by an additional 0.0746 mills.
ln the FY 2013/14 budget, the millage rate was reduced 0.2275 mills. Over three years, this
reduction represents 63 percent of the goal to get back to a millage rate of 5.6555. The remaining
goalfor millage reduction is 0.2079.
10
FY 2014115 Final Millage
December 2,2014
Page 3
The Administration is recommending a total combined millage rate for the City of Miami Beach of
6.0237, which represents a decrease of 0.0926 mills. The final operating millage decreased
0.0692 mills and includes a general operating millage rate of 5.7942 and a General Fund Capital
Renewal and Replacement millage of 0.1083. The final voted debt service millage rate is adjusted
from 0.2529 to 0.2295, a decrease of 0.0234 mills. The final millage rate decrease of 0.0926 mills
represents approximately half of the remaining millage rate reduction goal of 0.2079 and does not
result in a property tax increase to median or average property owners that qualify for the
homestead exemption and the Save Our Homes cap.
It is important to remember that in prior years, the City of Miami Beach significantly reduced tax
rates as property values increased. Between FY 1999/00 and FY 2009110, total combined City of
Miami Beach propertytax rates declined approximately2.S mills. ln FY2007/08 alone, the millage
rate declined by approximately 1 .8 mills, with annual savings to the average homesteaded properly
of over $400. Further, despite an adjustment of 0.56 mills in the operating tax rate in FY 2010111,
City of Miami Beach final combined millage rates today remain more than 2.6743 mills lowerthan in
FY 1999/00 (31 percent), and 1 .6493 mills lower than 2006/07 (21.5oh).
ANALYSIS OF PROPERTY VALUES !N MIAMI BEACH
On July 1, 2014, the City received the "2014 Certification of Taxable Value" from the Property
Appraiser's Office stating thatthe taxable value forthe Cityof Miami Beach is $27.1 billion including
$152.2 million in new construction. The preliminary 2014 value represents an increase of $2.4
billion or 9.9 percent more than the July 1,2013, Certification of Taxable Value of $24.6 billion and
an increase of 9.3 percent, excluding new construction.
The comparative assessed values for the Miami Beach Redevelopment Agency City Center
redevelopment district increased from $3.9 billion to $4.2 billion an increase of $315 million or an
8.1 percent increase over 2013 certified values. ln addition, assessed values within the geographic
area formerly known as the South Pointe redevelopment district increased from $3.9 billion to $4.3
billion an increase of $413 million, or a 10.5 percent increase in values over 2013 certified values.
As a result, taxable values in the areas outside the City Center RDA/South Pointe area increased
by 10.2 percent, from $16.9 billion to $18.6 billion, an increase of $1.7 million.
Citywide values excluding City Center increased from $20.8 billion to $22.9 billion, an increase of
$2.1 billion or 10.3 percent. Values outside the City Center area determine General Fund
revenues.
11
FY 2014115 Final Millage
December 2,2014
Page 4
COMPARATIVE ASSESSED VALUES (in billions)
Jon. 1 2013 Volue lin billions]
%Cho
Jon.
,l,2014
Volue (in
billions)
Chonge from 20'l3
Volue lBudoetl
As of July I
2013
(For FY
2013/14
Budoetl
Revised
Volue (For
FY
2013/14
Proiection)
Chonge in
20r 3
Volues
As of July 1
20r 3
lFor 2O14/15
Budqetl
$
(in billions)%Chs
RDA - City Ch $ g.gztt $ 3.6341 $ (0.2323 4.1"1 $ 4.1867 $ 0.3153 8.1"/.
South Pointe 3.914€3.7692 10. r 4561 -3.7"/,4.327!$ 0.4127 lo-5"/"
Generol Fund excl
S.Pte
16.8703 16.2351 (0.634e1 -3.8"/,18.594i $ 1.7239 10.27,
Totol Citywide $ 24.6s6:$ 23.6387 (r.0r 781 -4.1"/,$ 27.108A $ 2.4s19 9.97,
Cirywide Net of
Citv Center $ 20.2851 $ 20.004($ (0.78051 -3.87,$ 22.9217 $ z.teoe 10.3%
DETERMINING THE OPERATING MILLAGE LEVY
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, the value for each mill is determined by the 2Q14 Cerlification
of Taxable Value and has been set at$27 .1 million. Florida Statutes permit a discount of up to five
percentforearlypaymentdiscounts,delinquencies,etc. Therefore,the95percentvalueofthemill
is $25.7 million. Net of Center City RDA tax increment available to the General Fund, the value of
one mill at 95 percent is $22.0 million.
IMPACTS OF CHANGES IN PROPERTY VALUES
The FY 2013114 operating millage rate for general City operations was 5.8634 based on July, 2013
Certification of Taxable Value. Based on the July 1 ,2014 Certification of Taxable Value, 5.8634
mills would generate approximately $165.1 million at 100% collection ($1SO.g million atg1o/o
collection) in general tax revenues, an increase of $14.3 million at 100% collection ($19.0 million at
95% collection) over FY 2013114 property tax revenues Citywide (General Fund, City Center RDA
and the South Pointe area). The General Fund property tax revenues would increase by $11.9
million, if the FY 2013114 millage rate was maintained.
Further, the January 1,2013 tax roll Citywide declined by $t.02 billion (4.1Yo) between the July 1,
2013 valuation and the July 1,2014 valuation due to appeals, adjustments, etc., which is part of the
reason that the FY 2014115 "rolled-back rate" is significantly less than the FY 2013/14 current
millage rate.
12
FY 2014115 Final Millage
December 2,2014
Page 5
STATE LEGISLATED OPERATING MILLAGE REQUIREMENTS
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 10 mills subject to the following votes by the
Commission or referendum:
. Option l: A majorityof the approvalof the Commission Millage is required to approve a millage
up to 7 .2121 (equivalent to 3.1 5 percent increase in property tax revenues). The 3. 1 5 percent
increase is the state per capita personal income gain for the prior calendar year.
. Option !l: A twothirds approval (5 of 7 votes) of the Commission is required to approve a
millage up to 7.9333 (equivalent to a 10% increase in the ad valorem revenues above Option l).
. Option lll: A unanimous approval of the Commission or referendum is required to approve a
millage above 7.9333 up to the 10 mill cap
The final operating millage rate of 5.7942 therefore requires a majority approval (4 ot7 votes) of the
Commission.
DETERMINING THE VOTED DEBT SERVICE MILLAGE LEVY
The general obligation debt service paymentforFY 2014115 is approximately $5.9 million. Based
on the July 1 ,2014 Certified Taxable Value from the PropertyAppraiser, these bonds would require
the levy of a voted debt service millage of 0.2295 mills. This represents a decrease of 0.0234 mills.
COMBINING THE OPERATING AND VOTED DEBT SERVICE MILLAGE LEVY
At the July 23,2014 Commission meeting, the Commission set the operating millage at the same
level as FY 2013114 and the voted debt service millage decreased by 0.0234 mills. This represents
a total decrease in the operating millage rate of 0.0234 mills.
On August 29h, the Finance and Citywide Projects Committee voted to reduce the operating
millage rate an additional 0.0692 mills for a combined millage rate reduction of 0.0926 mills
compared to FY 2013114.
The combined millage rate reduction of 0.0926 mills was tentatively adopted by the City
Commission at the first public hearing on September 10, 2014.
lllustrated below is a comparison of the combined millage rates and ad valorem revenues to the
City of Miami Beach for FY 2013114 and FY 2014115, including RDA. lt is recommended that in the
General Fund,0.1083 mills of the totaloperating millage continue to be dedicated to renewaland
replacement, resulting in approximately $2.18 million in renewal and replacementfunding. The
final millage rate is 1 .5% less than FY 2013114 and 21.5o/o less than FY 2006107 .
13
FY 2014115 Final Millage
December 2,2014
Page 6
o/o lncl(Decl
City of Miami Beach Millage Rates
Operating
Capital Renewal & Replacement
Sub-total Operating Millage
Debt Service
Total
FY 06/07
7.1920
0.1820
FY 13t14
5.7551
0.1083
47:a::::,r,:.:
ffi
#HXffiJ
ffiffi
rnc/(Dec)
ffi -0.06e2
s$ffi 0.000c
rrom rrom
FY13l14 FY 06/07
7.3740
0.2990
5.8634
0.2529
-0.0692
-0.0234
-1.2% -21.40/<
-9.3% -23.204
7.6730 6.1163 -0.0926 -1 .50 -21.50/.
IMPACT OF PROPOSED MILLAGE ON PROPERW OWNERS
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
(CPl) or three percent (3%), whichever is less. For 2014, the CPI has been determined to be 1 .5
percent and therefore, the increase is capped at1.5o/o for increased values as of January 1,2014.
Overall, based on the homesteaded properties in the January 1,2013 homestead values as of July
1, 2013 valuation, the median value of homesteaded property in Miami Beach for 2013 was
$132,371, and the average $317,086. Applying the increase to the market value of all existing
homesteaded properties from the 2013 tax roll, and the 1.5 percent CPI adjustment, the impact of
the millage rate adjustment to homesteaded properties would be no increase in property taxes as
shown in the following table.
Homesteaded Prooerties
FY 2013t11
FY 2ot4lts
with 1.5% CPI
Median Averaqe Median Averaoe
2013 Preliminary Taxable Value i 132,371 $ 317,086 $ 134,3s7 I 321,812
City of Miami Beach
Operating
Voted Oebt
Total Miami Beach
$ 776
33
$ 1,859
80
$778
31
$ 1,865
74
$ 809 $ 1,939 $ 809 $ 1,939
I Change in Taxes
Operating
Voted Debt
Total Miami Beach
t 2a
t2l
6
r6'
$t
'Source: Miami-Dade County Property Appraise/s - 2013-average-medlan-homestead-residential-values file
Non-Homesteaded Properties
The annual increase in market value of a non-homestead property is capped at 10 percent (does
not apply to school millages). The city-wide average increase in property values is 9.9 percent.
The property value of individual properties may increase more or less than 9.9 percent, but not
more than 10 percent.
14
FY 2014115 Final Millage
December 2,2014
PageT
H istorical Perspective
It is important to remember that in prior years, the City of Miami Beach significantly reduced tax
rates as propertyvalues increased. Between FY 1999/00 and FY2009/10, propertytax rates
declined approximately 2.8 mills. !n FY 2007108 alone, the property tax rate declined by
approximately 1.8 mills, with annual savings to the average homesteaded propertyof over$400. ln
addition, in FY 2005/06 and FY 2OOO1O7, the City funded $200 and $300 homeowner dividends
paid to homesteaded property owners in the City.
TOTAT COMBINED MI LI.AGE
ll fll
60746rc
FlslY€aE
Although the City increased the operating tax rate by 0.56 mills in FY 2010111, the City has
decreased the millage by 0.4213 mills in the last four years and combined millage rates today
remain more than 2.6 mills lower, or 31 percent, than in 1999/00 and approximately 1 .6 mills lower
than in 2006107. As a result. the proposed prooeftv tax lew is approximatelv $13 million less in FY
2014/15than itwas in FY 2006/07.
8"oc
=
E: 2403 220i 200-9 1Bo.6 160; 14oE 120E 1oo
o
Mr Property Values
303
!o
=20:
A)
co102
=6'oa
-r-Tax Levy including Debt
'07 '08 '09 '10 '11 ',12 '13 '.14 '.15
15
FY 2014115 Final Millage
December 2,2014
Page 8
Property Value, Millage, and Propefi Tax Levy
Toxoble Volues Toxoble Properq
Volues lbillionsl
Finol/Revised
Toxoble
Volues
Ihilli^n<1
Mriloce (oles ,Ibx Lew lin milllons)
Tolol Combined
Cityride
Gnerol
FundlRDA Totol Tu levy
includinq Debl
Generol Fund
Tolol
(including S.
Pointe, ond
Renewol &
FY1997 /98 $ 646 $ 6.40 I 2tOO 749 57.45 46.78
rY1998/99 $ 6.97 $ 6.87 8.9830 7.4990 $ 6032 $ 44.66
FYt 999/OO 7.66 $ 7.54 8.6980 7.4990 $ 6a.29 $ 47.36
FY2W/Ol $8.37 $2 8 5550 739 69 08 49 75
FYzC0t /O2 $ 9.40 $ 9.22 8 3760 7.2990 $ 7597 $ 54.37
tY2A)2/03 $o.56 $ Io4l 8.3220 7 2990 $ 84 81 $ 610s
FY?rN3 /OA $2 Cv)$il.85 8. I 730 95.39 $ 68.1
rY2N4/05 $4.O4 $ 13 86 8. r 730 7.4250 10 74 79 38
tY2C/;.5/06 $7.45 $17 t5 8.0730 7.A810 $35.91 $r 1.69
FY2CXb/O7 22.74 s 22.26 7.6730 7.3740 $68.38 $40.3
tY2@7 /O8 $ 2685 $ 26.14 5 897(J 5 6555 504 25.33
rY2C/]8/@ $ 2690 $ 2589 s.8930 5.6555 $50.59 $25.94
FY2009 o 24.74 $ 23.24 5.9123 5.6555 $38.70 $I5.7
FY?O o/s 221()$ 20.97 6.5025 6.2155 36.55 12.14
FY20 2 $ 21 .98 $ 20.75 6.4539 6. r 655 34 75 11 29
FY20 2 3 $ 23.07 $ 22.02 6.3477 6.0909 $39.10 $14.32
tY2()4 24.66 $23.64 6.1 1 63 5.8634 $43.26 $17.4
tY20 a/5 $ 27.14 6 0237 5 7942 55 tC 27.76
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, Okeechobee Basin, Everglades Project, and the Florida lnland NavigationalDistrict. These
taxing authorities represent 70 percent of a Miami Beach property owner's tax bill.
The countywide tax rate for Miami-Dade County decreased by 0.0345 mills to 4.6690; the library tax
rate increased 0.11 15 mills to 0.2840 mills; and the debt service millage increased 0.0280 mills to
0.4500 mills.
The tax rate for the Miami-Dade School District decreased slightly from 7 .9770 mills to 7.9740 mills.
The Children's Trust millage is maintained at 0.5000 mills. As a whole, the millage rates for the
South Florida Water Management District, Okeechobee Basin, Everglades Project, and Florida
lnland Navigational District decreased 0.0174 mills to 0.4187 mills.
With the final rates for FY 2014115, the Miami Beach portion of the FY 2014115 tax bill is
approximately 30 percent of the total bill. Of note. the Countv millaoe is 0.9830 mills less than their
millaqe in FY 2006/07. as compared to the Citv's final adopted millaqe which is 1.6493 mills less
than the Citv millaoe in FY 2006/07. Further, the School Board millage is only minimally below the
FY 2006107 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.
16
FY 2014115 Final Millage
December 2,2014
Page 9
OVERI.APPING TAX MII.TAGE FY06107 Ft Ltl74 Variance
lroml!14
Variance
lrom 06107
t4hs
Total
CiW of Miami Beach Millage Rates
Operating 7.1921 5.755 {rfif,qr -0.069 -1.505
Capital Renewal & Replacement 0.1821 0.108:0i[08:0.000({.073
Subtotal Operatinr Millage 7.3741 5.863 5tt94:.0.069i .1.579t
Voted Debt Service 0.299r 0.2521 'i :32!-0.023r {.059!
Tota 7.57?t 6.116:1A -{l.(xr2(-1.549!3&
vliami Dade County
Countvwide 5.615r 4.703 a 9t -0.034!{.946(
Iibrary 0.485(o.r77l A:r1Ml 0.111:4.202(
Debt Service 0.285(o.4221 0380(0.028(0.165(
Subtota 5.385t 5.298{5,40:}0.105t -0.983(27"1
;chool Board 8.10sr 7.9771 7$744 -0.003r .{1.131(t*,t
:hildren's Trun 0-4221 0.500(0;!0O 0.000{0.078(a
)ther 0.736r 0.445!0.rt18l -0.025r 4.317i 2,
Tota 2r.3221 20.336t . -,at,,Ll 4.017/-3.m2r lov/,
lmpact of Gombined Tax Rates of Overlapping Jurisdictions on Homesteaded Properties
The median and average January 1,2013 taxable values of $132,371 and $317,086, respectively,
willincreasebyl.So/oCPlinFY2014/15duetotheSaveOurHomesCapwhichonlyallowstaxable
values to increase by 3.0% or CPl, whichever is lower.
Applying the final combined millage rates to the median and average taxable values results in an
additional $38 for the median and a $92 increase for the average. These increases are mitigated
by no increase in property taxes for the median or the average from the reduction in millage in the
City of Miami Beach's portion of the property tax bill.
Median properties would pay approximately $2,729 for all taxing jurisdictions combined, while the
average taxes generated would be approximately $6,540 per homesteaded property. Of these
taxing jurisdictions, the highest component is the Miami-Dade School Board, at $1,071 for a
median value property, and $2,566 for an average valued property.
The following table provides examples of changes in property taxes for homesteaded properties
using the proposed tax rates and potential changes from 2013 values.
17
FY 2014115 Final Millage
December 2,2014
Page 10
lmpact on Homesteaded Properties Assuming
Chanoes ln Taxable Value from Januarv 1. 2014
FY 2013114
FY 2014t15
with 1.5% CPI
Median Average Median Average
l0l3 Preliminary Taxabls value J 132,311 $ 317,085 E 134,357 $ 321,842
City of Miami Beach
Op€rating
Voted Debt
Total Miami Beach
Miami Dade County
Schools
Other
$ 776 $ 1.859
33 80
s n8 $ 1.865
31 74
$ 809 $ 1.939 $ 809 S 1.939
701
1,056
125
1,680
2,529
300
7m
1,071
123
1,739
2,566
296
Tota $ 2.691 $ 6.448 $ 2.729 $6,540
lhanoe in Taxes
City of Miami Beach
Operating
Voted Debt
Total Miami Beach
Miami Dade County
Schools
Other
$ 2$ 6
(2) (61
$-$
25
15
(2)
59
37
(4,
Total $ 38$92
As with the City of Miami Beach millage rates, impacts of the combined jurisdictional millage rates
for non-homesteaded properties are based on the individual property values.
CONCLUSION
The Administration recommends adoption of the attached Resolution which adopts final operating
and debt service millage rates for FY 2014115.
LM/JW
e,
J
18
RESOLUTION NO.
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF
MIAMI BEACH, FLORIDA, ADOPTING:1) THE FINAL AD VALOREM
MILLAGE OF 5.7942 MILLS FOR GENERAL OPERATING PURPOSES,
wHrcH rs THTRTEEN AND FOUR-TENTHS PERCENT (13.4%) MORE THAN
THE "ROLLED-BACK" RATE OF 5.1076 MILLS; AND 2) THE DEBT SERVICE
MTLLAGE RATE OF 0.2295 MTLLS FOR FTSCAL YEAR (Fyl2014t15.
WHEREAS, on July 23, 2014, the City Commission following a duly noticed public
hearing, adopted Resolution No. 201 4-28674, which set the proposed general operating millage
rates at 5.8634 mills (excluding debt service) for general operating purposes, and 0-2295 mills for
debt service, a reduction of 0.0234 mills from the FY 2013114 debt service rate; and
WHEREAS, on August 29, 2014, the Finance and Citywide Projects Committee
recommended a reduction of the general operating millage rate of 0.0692 for a proposed general
operating millage rate at 5.7942 mills (excluding debt service), for a total reduction of 0.0926 mills
from the FY 2013114 rate for general operating purposes, and 0.2295 mills for debt service; and
WHEREAS, at the first public hearing on September 10, 2014, the Mayor and Commission
tentatively adopted the operating millage rate of 5.7942 mills for general operating purposes, and
0.2295 mills for debt service; and
WHEREAS, at the second public hearing on September 30, 2014, the Mayor and City
Commission passed and adopted Resolution No. 2014-28759 which adopted the final operating
millagerateof S.T942millsforgeneral operatingpurposes, and0.2295 millsfordebtservice; and
WHEREAS, on November 17,2014, the City of Miami Beach received the Florida
Department of Revenue's (DOR) notice that the City of Miami Beach was not in compliance with
Truth-in-Millage (TRIM) law due to an error in the Budget Summary advertisement published in
the Miami Herald on September 25,2014; and
WHEREAS, a special City Commission meeting to hold the new final hearing as provided
in DOR's notice has been scheduled for December 2,2014 and has been duly advertised; and
WHEREAS, Section 200.065, Florida Statutes, requires that at the conclusion of the
special public hearing on the City's proposed tax rate and budget, the City Commission: 1) adopt
the final ad valorem millage rate for FY 2014115 operating purposes; and 2) the required Debt
Service millage rate; this is accomplished by adopting a Resolution that includes the percentage
increase or decrease over the "rolled-back" rate; and
NOW THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND THE CITY
COMMISSION OF THE Clry OF MIAMI BEACH, FLORIDA, that pursuant to Section 200.065,
Florida Statutes, there is hereby levied a tax for FY 2014115, on all taxable and non-exempt real
and personal property located within the corporate limits of the City of Miami Beach, Florida, as
follows:
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(a)For the purpose of operating the government of the City, the rate assigned
amounts to 5.7942 mills. Also included are appropriate reserves and
contingencies, which are not limited to reserves for tax discounts and
abatements of uncollected taxes.
The millage rate reflected is thirteen and four-tenths percent (13.4%) more
than the "Rolled-back" rate of 5.1076 mills.
For the purpose of providing payment on the principal and interest
portions of the General Obligation Bond Debt outstanding, the rate
assigned amounts to 0.2295 mills.
PASSED and ADOPTED this 2nd day of December. 2014.
Philip Levine, Mayor
(b)
ATTEST:
Rafael Granado, City Clerk
APPROVED AS TO
ronu & IANGUAGE
& FoR ExEcuTlPN / IWr W''r
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i-? l. iAlll$.p,is,$-v,{Ygr$l;, #!1_H]ta_qa,L,s$:ar€Iliarnillsald.e*n I l-llAHl HERAD
:"...-,
CITY OF
'TIIAMI
BEACH
NOTICE OF PUBLIC HEAHNGS
NOTICEtS HEREBY oiven thalPublicHearinqswill be held bythe Mayorand
City Commission ofthe City of Miami Beaefr, Florida,jn the-C-ommission
rs, 3rd {loor, City }tail, 1700 Convrention Canter Driv8, Miami Beach,
on Tuesday, De&mber 2,2014, to considerthe following:
5:{n &m.
A BElolutionAdopting: tlThs FinalAdValorem Millage Of 5'?942 Mills Fot
Ganerax ooehtinh Prirnae<. whl*r lsThineen AndFour-Tenths Peroent
Ralael E. Granado, Ciry Clerk
City of MiamiEeach
General Ooerati n o Pu rooses, ll1rhi*l ls Thinean And Four-Tenths Peroent
tle.a!6t M;refnariTne'Rotted-gac*' Fate Ot 5,t076 Mills; And 2)The Debt
Servicd Millaoe Rsre Ot0.2295 Milk For FiscalYear IFY) 201#15. lnquiries
may be direiaed rc the Sudgel & Pertormance lmprovemenl. Oflbe at
3&.673.7514.
5:01 $m.
A fieiioluriort Adopting Fiffit Sudgets furThe Generat, G.O' Oebt Service"
HOAna Vitore*rax5s, Enterpriie, lnrernal Service Funds, and Special
Renenue funds For FisialYeai {FY) 201,U15. lnquiries may be direaad to
rfi€ 8!rd$et & Ferfor}?arre lmprovemeal Ottie at 305,6737510.
5:(E p.m"
A Heiolution OfThe Soard Of Direaors OfThe Normandy Shoros Local
Governm€nt Neiqhborhood lmDrovement Districr Adopting The Fiflal Ad
Valorem MillaseEate Ot 1.1305 Mills For FiscalYear {FYi 2014115 ForThe
Normandv Sh6res Local Government Oistrict,Which ls One Percent (t.ffi61
LessThanthe -Bolled-8ack" Rate Of 1.1391 Mills. ,nquiries m ay be direaed
tr dre Sudgsr * Performanm lmprovement Oftice a? 305.673,7510.
5:@ p-rn.
A Relolution OfThe Board Of Directors OfThc NormandY Shores Loral
GsverRment Neighborhood lmprovement District Adopling The Finsl
Operating BudgeiFor FiscalYear {FY} 2O1.U15. tnquiries may be direded to
the Budget & forformane lfiprovement Offix at 305.673.7510.
SrSl p.m.
A Bdsolution Adopting The Final Capital lmprovernent F,an for fiscal
Years {FY} 201411}201Eng And AdopiinsThe.City OJ Miami Beach Final
Capitai Brioget for {FY} 201rv15. rrqrr;iiesrray be.rire6ts.t ro I&e SuCger&
Pe io r m a ncb I m p ro ve m e nt 0 flice at 3A5.67 3. 7 5 fi .
5:04 p.m.
A Bdsolution Of The Chairperson And Members Of The Miami Beadt
Redevelopment Agency, A-dopting And APpropriating The Operating
Eudget For The Ciry Center ileddvelopmeni Area, The Atthor-Shopr
And-Parkirts Garage, AndThe Penrsylvania Avenue Shops And Parting
GaraEe Foriiscal Yejr 201#15. lnquiries may tu directld to the Budget &
Ferlormarrce lmprotement Oltice at 305.673,7514,
5:6 p.m,
A Rdsolution Ol The Chairn*rtan And Members Of The Miami Seach
Redevelopment Agencv IRDA). Adopting And Appropriating The Miami
Beach Releveiopnient Agency Caphil Btrdger For Fiscal Year {FY, ?g]{!9And Adopting *re Cepjial lmprdvement Flan For Fiscal Yeats 2014115
Through 2ot&t9, loqut'xes ,",ay be dbected to the Eudget & Ferfarmance
I n provement Oflice at 3*5.673"7 510.
5:06 pJn.
A Risolution Adiontiffi Thc First Amcndmenl To The Capital BudEei
For RscalYear (fYl 20i4lt5. lnquiiles may be directed to the Sudget &
Pe rlofina rlr,e !fi p rovene nt O ffice at 3a5.673.75 1 o.
lnterested Darties are invited to appear at this meeting, or be represented
by an agenr, or to express rheir'views in wrhing addressed to the Ciry
Cimmisii*n. rlo the City CIerlL 't700 Convontion Center Drive,'ln floar,
Ciw Hatl. Miami Beach. Florida 33139. Cooies of these items are available
for'oublic insoefiion Surino normal buiiness hours in the CitY Clerk's
Offiie, 1700 Convention Center Drive, 1* FIoor, C;ry Hall, M;ami Bea&,
Florida 3139.This meeting, or any hem therein, may be continued, and
under sudr circumstances, additiorEl legal notice need not be provrded.
fursuam to Secrion 286.0105, Fla. Stat, rhe Ciry hereby advises ihe public
$atita person decidesto appeal any decision mbda byrh* ChyComrnissicn
wkh respect to any mauer onsidered at its meeting ar its hearing, suefi
oerson must ensure lhat a verbatim record of the proc€edings is made,
iarhich record includes the testimony and evidence upon which lhe appeal
is to be based. This notice does nof constittrte consint by the CitY for the
introdustion ol admission of otienirrise inadmissible or irrdlevam ervidence,
nor does it authorire *tallenges or apt€*ls ncl *ther'.Irise allow€d by law.
To reauest this material in aharnate format. sign language interprder {tive-
day nbtice required!, information on access for persons with disabilides,
anil/or anv aciommodation to review any document or panicipate in anY
Ciw.sponiored proceedinqs, call 305.604.2it89 and select 1 for English
or 2 firr Spanish, then option 6;TTY users may call via 711 (Florids RelaY
$erviceJ.
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