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Resolution 2025-33856 RESOLUTION NO. 2025-33856 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, AT ITS JULY 16, 2025, MEETING TO: (1) SUSPEND THE FY2026 CONSUMER PRICE INDEX INCREASE TO RESIDENTIAL PARKING RATES; AND (2) SHIFT TO FULLY CASHLESS PAYMENTS AT ALL CITY OWNED GARAGES EFFECTIVE OCTOBER 1, 2025. WHEREAS, on September 25, 2019, the Mayor and City Commission adopted Ordinance No. 2019-4299, providing, among other things, for an annual adjustment by the City Manager to certain specified fees and charges in Appendix A to the City Code, entitled "Fee Schedule", to reflect increases in the Consumer Price Index ("CPI"); and WHEREAS, on November 20, 2024, the Mayor and City Commission adopted Ordinance No. 2024-4657, adjusting all parking fees to increase by CPI annually, with a 3% cap, with certain parking fees to be rounded to the nearest cent and other parking fees to be rounded to the nearest dollar starting in FY2026, as set forth in the Appendix A; and WHEREAS, on May 21, 2025, at the request of Commissioners Alexander Fernandez, the Mayor and City Commission ("City Commission") referred Item (C4 W) to the Finance and Economic Resiliency Committee (FERC), to discuss the suspension of the annual CPI increase to residential parking rates and evaluate the possibility of a cashless option at all city owned garages; and WHEREAS, at the July 16, 2025, FERC meeting, the administration presented the item and the members unanimously recommended going forward with both recommendations; and WHEREAS, the First Reading of the Ordinance amending Appendix A of the City Code to exclude the FY2026 CPI increase for residents registered in the Resident Parking Discount program is also included in this Commission agenda as a companion item; and WHEREAS, this proposed recommendation reinforces the City's commitment to affordability while preserving the flexibility to reinstate CPI-based increases in future fiscal years based on economic conditions and the City needs; and WHEREAS, the Administration is assessing the operational, financial, and technological feasibility of transitioning to a fully cashless payment model at all City- owned parking garages; and WHEREAS, this initiative reflects a broader industry trend toward modernized, digital payment systems and is intended to enhance both customer convenience and operational integrity; and WHEREAS, the benefits of a cashless system include faster transaction times and significant reductions in costs associated with cash collection, handling, and deposit; and WHEREAS, a cashless model aligns with public expectations for seamless and secure digital services, particularly as contactless and mobile payments become the norm across various sectors; and WHEREAS, the suspension of the annual CPI increase to residential parking rates is estimated to result in a revenue loss of$100,000; and WHEREAS, this revenue loss would be partially off-set by the $60,000 cost savings of shifting to fully cashless payment at garages; and WHEREAS, the Administration wishes to implement cashless payments at garages concurrent with the implementation of the FY2026 CPI increase on October 1, 2025. NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City Commission hereby accept the recommendation of the Finance And Economic Resiliency Committee, at its July 16, 2025 meeting to (1)suspend the FY2026 Consumer Price Index increase to residential parking rates; and (2) shift to fully cashless payments at all City- owned garages effective October 1, 2025. PASSED and ADOPTED this 3 day of s{�'��6�� , 2025. ATTEST: • , ,��� �j � �� en Meiner, �,tltl���,�,,,, -��. �,, :���'�� � ���ti'-, .��� ., Rafael E. Granado, City Clerk tikcon,�,oaarE�� � '-,: ,��� �.`�= ..)��) ft1 r� t '��"9.L� : ��r ' 4J � a'��!�5 �'4.����'r:ar':�C. — Sponsored by Commissioner Alex J, Fernandez APPROVED AS TO Co-Sponsored by Commissioner David Suarez FORM & LANGUAGE &FOR EXECUTION �j 261�rz�- C ttomey � Da�e Resolutions - C7 G MIA� IBEA� H COMMISSION MEM�RANDUM TO: Honorable Mayor and Members of the City Commission FROM: Eric Garpenter, City Manager DATE: September 3, 2025 TITLE: 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, AT ITS JULY 16, 2025, MEETING TO: (1) SUSPEND THE FY 2026 CONSUMER PRICE INDEX INCREASE TO RESIDENTIAL PARKING RATES; AND (2) SHIFT TO FULLY CASHLESS PAYMENTS AT ALL CITY-OWN�D GARAGES EFFECTIVE OCTOBER 1, 2025. RECOMMENDATION The Administration recommends that the Mayor and City Commission (City Commission) hereby accept the recommendation of the Finance and Economic Resiliency Committee (FERC), at its July 16, 2025 meeting to (1) suspend the FY2026 Consumer Price Index increase to residential parking rates; and (2) shift to fully cashless payments at all city-owned garages effective October 1, 2025 and adopt the resolution. BACKGROUND/HISTORY On September 25, 2019, the City Commission adopted Ordinance No. 2019-4299, providing, among other things, for an annual adjustment by the City Manager to certain specified fees and charges in Appendix A to the City Code, entitled "Fee Schedule", to reflect increases in the Consumer Price Index ("CPI"). On Navember 20, 2024, the City Commission adopted Ordinance No. 2024-4657, adjusting all parking fees to increase by CPI annually, with a 3% cap, with certain parking fees to be rounded to the nearest cent and other parking fees to be rounded to the nearest dollar starting in FY2026, as set forth in the Appendix A. On May 21, 2025, at the request of Commissioner Alex Fernandez, the City Commission referred Item (C4 W) to the Finance and Economic Resiliency Committee (FERC), to discuss the suspension of the annual CPI increase to residential parking rates and evaluate the possibility of a cashless option at all city owned garages. At the July 16, 2025, FERC meeting, the administration presented the item and the members unanimously recommended going forward with both recommendations. The First Reading of the Ordinance amending Appendix A of the City Code to exclude the FY2026 CPI increase for residents registered in the Resident Parking Discount program is also included in this Commission agenda as a companian item. ANALYSIS This proposed recommendation reinforces the City's commitment to affordability while preserving the flexibility to reinstate CPI-based increases in future fiscal years based on economic conditions 458 of 1750 and City needs. Concurrently, the Administration is assessing the operational, financial, and technological feasibility of transitioning to a fully cashless payment model at all Ciry-owned parking garages. This initiative reflects a broader industry trend toward modernized, digital payment systems and is intended to enhance both customer convenience and operational integrity. The benefits of a cashless system include faster transaction times and significant reductions in costs associated with cash collection, handling, and deposit. Additionally, a cashless model aligns with public expectations for seamless and secure digital services, particularly as contactless and mobile payments become the norm across various sectors. The suspension of the annual CPI increase to residential pa�king rates is estimated to result in a revenue loss of $100,000. However, this revenue loss would be partialty off-set by the $60,000 cost savings of shifting to fully cashless payment at garages. The Administration wishes to implement cashless payments at garages concurrent with the implementation of the FY2026 CPI increase for all non-residential rates on October 1, 2025. FISCAL IMPACT STATEMENT The Administration has determined that the proposed one-year freeze will result in an estimated revenue loss of approximately $100,000. While the transition to fully cashless operations is expected to yield $60,000 in cost savings, the projected net fiscal impact remains a $40,000 shortfall. Although modest in the context of the overall budget, this shortfall warrants close monitoring to ensure the continued financial stability of the Parking Department. Does this Ordinance require a Business Impact Estimate? (FOR ORDI�IANCES ONLY) If applicable, the Business Impact Estimate (BIE) was published on: See BIE at: https:/lwww.miamibeachfl.qov/city-hall/city-clerk/meetin_y-notices/ FINANCIAL INFORMATION NIA CONCLUSION The Administration recommends that the Mayor and City Commission hereby accept the recommendation of the Finance and Economic Resiliency Committee (FERC), at its July 16, 2025 meetin� to (1) suspend the FY2026 Consumer Price Index increase to residential parking rates; and (2} shift to fully cashless payments at all city-owned garages effective October 1, 2025 and adopt the resolution. Applicable Area Citywide Is this a "Residents Riqht to Know" item, Is this item related to a G.O. Bond pursuant to City Code Section 2-17? Proiect? Yes No 459 of 1750 Was this Aaenda Item initially requested by a lobbvist which, as defined in Code Sec. 2-481, includes a principal enqaqed in lobbying? No If so, specify the name of lobbyist(s) and principal(s): Department Parking Sponsor(s) Commissioner Alex Fernandez Co-sponsor(s) Condensed Title Suspend FY26 CPI tncrease to Paricing Rates/Shift to Cashless Payments at All Garages. (AF) PK Previous Action (For City Clerk Use Onlv) 460 of 1750 NEW BUSINESS 20 �/IIA�/11 BEACH COMMITTEE MEMORANDUM TO: Finance and Economic Resiliency Committee Members FROM: Eric Carpenter, City Manager DATE: July 16, 2025 TI7LE: DISCUSS THE SUSPENSION OF THE ANNUAL CONSUMER PRICE INDEX INCREASE TO RESIDENTIAL PARKING RATES AND EVALUATE THE POSSIBILITY OF A CASHLESS OPTION AT ALL CITY OWNED GARAGES. RECOMMENDATION The City Administration ("Administration")recommends that the Finance and Economic Resiliency Committee ("FERC" or "Committee") proceed with the ternporary suspension of the Consumer Price Index (CPI) increase to residential parking rates for Fiscal Year 2026 and encourages a shift to fully cashless payments at all city-owned garages. This move is part of a broader trend toward digital convenience and operational e�ciency. BACKGROUND/HISTORY On May 21, 2025, at the request of Commissioner Alexander Fernandez, the Mayor and City Commission ("City Commission") referred Item C4 W tc� the FERC, to discuss the suspension of the annual consumer price index increase to residential parking rates and evaluate the possibility of a cashless option at all city-awned garages ANALYSIS In accordance with the Appendix A of the City Code entitled "Fee Schedule", residential parking rates are subject to annual adjustments base�i on changes in the CPI. While these acijustments support fiscal sustainability and accounts for inflationary cost increases, the Administration recognizes the growing financial burden faced by residents amid escalating housing and utility costs. To provide targeted relief and maintain public trust, the Administration recommends suspending the CPI increase for residential parking rates for FY 2026. The projected rEvenue impact of this suspension is estimated at approximately $100,000 and can be absorbed within the Parking DepartmenYs current budget without compromising service delivery or operations. This proposed action reinforces the City's commitment to affordability. However, we must preserve the flexibility to reinstate CPI-based increases in future fiscal years based on economic conditions and the City's needs. Concurrently, the Administration is assessing the operational, financial, and technological feasibility of transitioning to a fully cashless payment model at all City-owned parking garages. This initiative reflects a broader industry trend toward modernized, digital payment systems and is intended to enhance both customer convenience and operational integrity. The benefits af a cashless system include faster transaction times and significant reductions in costs associated with cash collection, handling, and deposit. Additionally, a cashless model aligns with public expectations for seamless and secure digital services, particularly as contactless and 461 of 1750 mobile payments become the norm across various sectors. The removal of cash options at garages would represent an annual savings of approximately $60,000. Additionally, it is important to note that the FY2026 proposed CPI rate increase is not rounding up to the nearest dollar. Consequently, the new rates at garages would require change in coins. While this option is available at our cash pay on foot stations, the equipment that handles coins needs to be tested and potentially repaired. This would be an additional expense of approximately $11,000 without including the cost of any parts that need to be replaced. Since the industry standard is leaning towards cashless/contactless solutions, the coin handling equipment is slated for end-of-life production in September 2026. FISCAL IMPACT STATEMENT The suspension of the annual CPI increase to residential parking rates is estimated to result in a revenue loss of approximately $100,000. Meanwhile, implementing a cashless payment system at all City-owned garages is projected to yield operating cost savings of roughly $60,000 annually. Additionally,when evaluating future parking equipment purchases, it's important to note that cash- accepting terminals carry an approximate unit cost of $20,000. Equipping all City garages with such terminals would represent an ongoing capital expense totaling several hundred thousand dollars. Does this Ordinance require a Business Impact Estimate? (FOR ORDINANCES ONLY) The Business Impact Estimate (BIE) was published on . See BIE at: https://www.miamibeachfl.gov/city-hall/city-clerk/meetinA-notices/ FINANCIAL INFORMATION N/A CONCLUSION The Administration recommends that the Finance and Economic Resiliency Committee proceed with the temporary suspension of the CPI increase to residential parking rates for Fiscal Year 2026 and encourages a shift to fully cashless payments at all city-owned garages. Apalicable Area Citywide Is this a "Residents Riqht to Know" item, Is this item related to a G.O. Bond pursuant to Citv Code Section 2-17? Proiect? Yes No Was this Aqenda Item initiallv requested bv a lobbvist which, as defined in Code Sec. 2-481, includes a principal enQaqed in lobbvinq? No If so, specify the name of lobbyist(s) and p�incipal(s): Deaartment 462 of 1750 Parking Sponsor(s1 Commissioner Alex Fernandez Co-sponsor(s) Condensed Title SUSPEND CPI FOR RESIDENT PARKING RATES AND GO CAHSLESS AT GARAGES. (Fernandez) PK � -�,? Y} ;�� y; . � 463 of 1750