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R7B2-Adopt Final Operating Budget - Normandy Shores Loc Gov NIDCOMMISSION ITEM SUMMARY Gondensed Title: A RESOLUTION ADOPTING THE FINAL OPERATING BUDGET FOR THE NORMANDY SHORES LOCAL GOVERNMENT NEIGHBORHOOD IMPROVEMENT DISTRICT FOR FISCAL YEAR (FY) 2015116. lntended Outcome lncrease visibility of police; Maintain crime rates at or below national trends. Suppofting Data (Surveys, Environmental Scan, etc.): ln the 2014 Community Survey, both residents and businesses reported the following areas for the City to address in an effort to improve public safety:. Neighborhood safety during the day (Residents: 98%). Neighborhood safety during the evening/night (Residents: 88%) ltem Summarv/Recommendation : The total operating expenditures to provide the proposed budget to this district is $226,000 for FY 2015116. The City of Miami Beach General Fund is required to provide 35o/o of the total operating expenditures ($79,000), and the City has funded this amount since the District was established in 1994. The amount provided by the General Fund for this purpose in FY 2014115 was $77,700. The FY 2015/16 current service level budget is $226,000. The budget provides for continual 24- hour security and includes line items which were requested and approved by the Normandy District Homeowners'Association on July 17,2015. These include $10,000 for guard house upgrades and $3,700 for plastic poles and lines leading up to the guard gate. The budget is $4,000 (2%) higher than the FY 2014115 adopted budget. The first public hearing on the District's tentative millage rate and budget for FY 2015/16 was held on September 10,2015. The City Commission adopted the tentative millage of 1.0093 and the operating budget for the district in the amount of $226,000. Normandy Shores Local Government Neighborhood lmprovement Board meetings on April 13th. June 23'd and Julv 9th. 2015 Financial lnformation: Source of $ 147.000 Financial lmpact Summary The $79,000 impact to the General Fund from the FY 2015116 budget is $1,300 more than the FY 2014115 adopted budqet impact of $77,700. Assistant Gity Manager # MIAMIBEACH ltDA rrEM f41 B Z 247 r915. 2015 fu.{d",lffi.ffi/rrcw$ City of Miomi Beoch, l7O0 Convention Center Drive, Miomi Beoch, Florido 33139. www.miomibeochfl.gov COMMISSION MEMORANDUM Mayor Philip Levine and Members of City FROM:Jimmy L. Morales, City Manager DATE: September 30, 2015 SUBJECT: A RESOLUTION OF THE BOARD DIRECTORS OF THE NORMANDY SHORES LOCAL GOVERNMENT NEIGH IMPROVEMENT DISTRICT ADOPTING THE FINAL OPERATTNG BUDGET FOR FISGAL YEAR (FY) 2015/16. ADMINISTRATION RECOMMENDATION Adopt the Resolution which establishes the final operating budget for the Normandy Shores Local Government Neighborhood lmprovement District for FY 2015116 in the amount of $226,000. BACKGROUND The Normandy Shores Local Government Neighborhood lmprovement District (the District), a dependent taxing district of its principal, the City of Miami Beach, was established in 1994 to provide continual 24-hour security to this gated conrmunity; FY 2015/16 represents its twenty- second year of operation. The District was established by Ordinance 93-2881 , and has the authority "to levy an ad-valorem tax on real and personal property of up to two mills, provided that no parcel of property will be assessed more than $500 annually for such improvements". During FY 1998/99 the amount of annual funding to be provided by the City and the dependent status of the District were issues discussed by the Finance and Citywide Projects Committee. A determination was reached that the City would fund 35% of the annual cost of the operation of the community gate guard. This cost will eventually be funded from the golf course operation of the Normandy Shores Golf Course. lt was further agreed that the City would continue to supplement the District at current levelsuntiltheGolfCourseassumesthiscost. OnAugust29,2002,theAdministrationmetwith the Normandy Shores Local Government Neighborhood lmprovement District representatives and agreed to eliminate the $500 cap on the highest valued home in the District. The enabling legislation was adopted bythe Commission on September25, 2002. This ensures thatthe City's contribution from the General Fund remains at 35% of the operating budget of the District. PROCEDURE The operating millage and budget for this dependent special taxing district must be adopted in accordance with Florida Statutes. This procedure requires that this Resolution be considered immediately after the final millage for Normandy Shores District has been adopted (See accompanying District Millage Agenda ltem for details). 248 FY 2015/16 Normandy Shores Final Budget September 30, 2015 Page 2 of 2 ANALYSIS The total operating expenditures to provide the proposed budget to this district is $226,000 for FY 2015116. The City of Miami Beach General Fund is required to provide 35% of the total operating expenditures ($79,000), and the City has funded the 35% foreach of the twenty-one years since the District was established. The amount provided by the General Fund for this purpose in FY 2014115 was $77,700. The proposed FY 2015116 current service level budget is $226,000. This budget includes line items which were requested and approved by the Normandy District Homeowners'Association on July 17,2015. These include $10,000 forguard house upgrades and $3,700 for plastic poles and lines leading up to the guard gate: The budget is $4,000 (2%) higher than the FY 2014115 adopted budget. The $79,000 impact to the General Fund from the FY 2015116 proposed budget is $1,300 more than the FY 2014115 adopted budget impact of $77,700. To provide the current level of security required by this district, the Administration recommends the final ad valorem millage of 1.0093 mills. This tax levy will generate proceeds of $154,636. The decrease of 0.1212 mills from the prior year millage represents an annual decrease of $40.00 to the City averag e 2Q15 homesteaded property of $353,999 taxable value. On September 10, 2015, the Mayor and City Commission adopted the tentative operating budget for the District in the amount of $226,000 and the operating millage rate of 1.0093. The final operating budget for the District is as follows: Revenues Ad Valorem Tax $ 147,000 City's General Fund 79,000Total $ 226,000 Expenses Security Service $ 171,000Maintenance 41,300 Guard House Upgrades & Poles 13.700Total $ 226,000 CONCLUSION The City Commission, acting in its capacity as the Board of Directors of the Normandy Shores Local Government Neighborhood Improvement District, should adopt the attached Resolution which establishes the final operating budget of $226,000. JW e, JLM/ 249 RESOLUTION NO. A RESOLUTION OF THE BOARD OF DIRECTORS OF THE NORMANDY SHORES LOCAL GOVERNMENT NEIGHBORHOOD IMPROVEMENT DISTRICT ADOPTING THE FINAL OPERATING BUDGET FOR FTSCAL YEAR (FY) 201sl16. WHEREAS, for the purpose of providing security services within the Normandy Shores neighborhood area, the Mayor and City Commission adopted Ordinance No. 93- 2881 on October 20, 1993, which authorized the creation of the Normandy Shores Local Government Neighborhood Improvement District (District); and WHEREAS for the purpose of providing security services within the District, a final budget has been developed to fund projected FY 2015/16 operating expenses; and WHEREAS, accordingly, on September 10,2015, pursuant to Section 200.065 of the Florida Statutes, the City Commission, acting as the Board of Directors of the District, held its first duly noticed public hearing to consider the Tentative Ad Valorem Millage and Tentative Operating Budget (FY 2015/16) for the District; and WHEREAS, accordingly, on September 30, 2015, pursuant to Section 200.065 of the Florida Statues, the City Commission, acting as the Board of Directors of the District, held its second duly noticed public hearing to consider the Final Ad Valorem Millage and Final Operating Budget (FY 2015/16) for the District. NOW, THEREFORE, BE IT DULY RESOLVED BY THE BOARD OF DIRECTORS OF THE NORMANDY SHORES LOCAL GOVERNMENT NEIGHBORHOOD IMPROVEMENT DISTRICT, that, following a duly noticed public hearing on September 30, 2015, the Board hereby adopts the final operating budget for the District for FY 2015116 as summarized and listed below: Revenues Ad Valorem Tax City's General Fund Expenses $ 147,000 79.000 $ 226,000Total Security Service $ 171,000Maintenance 41,300 Guard House Upgrades & Poles 13.700Total $ 226,000 PASSED and ADOPTED this 30th day of September,2015. 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