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Home My WebLink AboutBIE - Cost Recovery for Illegal Large Scale House Parties 2nd Rdg - (6/5/2026)MIAMI BEACH City of Miami Beach, 1700 Convention Center Drive. Miami Beach, Florido 33139 , www.miomibeochfl.gov TO: FROM: Mayor Steven Meiner and Members of the City Commission Eric Carpenter, City Manager MEETING DATE: June 24, 2026 SUBJECT: BUSINESS IMPACT ESTIMATE AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AMENDING CHAPTER 12 OF THE MIAMI BEACH CITY CODE, ENTITLED "ARTS, CULTURE AND ENTERTAINMENT," BY AMENDING ARTICLE II, ENTITLED "SPECIAL EVENTS," BY AMENDING SECTION 12-5.2THEREOF, ENTITLED "SPECIAL EVENT PERMIT REQUIRED FOR LARGE SCALE RESIDENTIAL PARTIES AND EVENTS" TO PROVIDE FOR RECOVERY OF CITY COSTS FOR VIOLATIONS; AND, PROVIDING FOR REPEALER, SEVERABILITY, CODIFICATION, AND AN EFFECTIVE DATE . Is a Business Impact Estimate Required? ~ Yes □ No (If no, please check one of the boxes below) If one or more boxes are checked below, this means the City of Miami Beach has determined that a Business Impact Estimate for the above-referenced Ordinance is not required by State law. □ The proposed Ordinance is required for compliance with Federa l or State law or regulation ; □ The proposed Ordinance relates to the issuance or refinancing of debt; □ The proposed Ordinance relates to the adoption of budgets or budget amendments , including revenue sources necessary to fund the budget; □ The proposed Ordinance is required to implement a contract or an agreemen t, including , but not limited to, any Federal , State, local , or private grant or other financial assistance accepted by the City; □ The proposed Ordinance is an emergency ordinance ; □ The Ordinance relates to procurement; or □ The proposed Ordinance is enacted to implement the following: a. Private applications for comprehensi ve plan amendments and land development regulation amendments; b . De velopment orders , development permits, and development agreements ; c . Sections 190.005 and 190.046, Florida Statutes, regarding commun ity development districts ; d . Section 553 .73 , Florida Statutes , relat ing to the Florida Building Code ; or e . Section 633 .202, Florida Statutes, relating to the Florida Fire Prevention Code . If none of the above exceptions apply, this Business Impact Estimate is hereb y provided in accordance with Section 166 .041 (4), Florida Statutes . Docusign Envelope ID: 8746545F-0B5A-8AA5-83E0-D08530A2AF99 Business Impact Estimate Page 2 1. A summary of the proposed Ordinance and its purpose is more fully set forth in the Commission Memorandum accompanying the Ordinance , as well as in the recitals to the Ordinance itself. The Commission Memorandum and Ordinance are attached hereto. 2 . The City of Miami Beac h estimates that the proposed Ordinance will have no direct economic impact on private , for-profit businesses in the City of Miami Beach; that the proposed Ordinance will have no direct compliance costs that businesses may reasonably incur; that the proposed Ordinance will not impose any new charge or fee for which businesses will be fina ncially responsible ; and that the proposed Ordinance will not impact the City of Miami Beach 's regulatory costs and will not generate any revenue from new charg es or fees . 3. Good faith estimate of the number of businesses likely to be impacted by the proposed Ordinance: The City of Miami Beach estimates that no businesses are likely to be impacted by the proposed Ordinance , except to the extent that they generate enforcement costs for the City. 1 4 . Additional comments: None . Docusign Envelope ID: 8746545F-0B5A-8AA5-83E0-D08530A2AF99 Ordinances -RS AD MIAMI BEACH COMMISSION MEMORANDUM TO: Honorable Mayor and Members of the City Commission FROM: City Attorney Ricardo J. Dopico DATE: TITLE: May 20 , 2026 10:55 a .m. First Read ing Public Hearing AN ORDINANCE OF THE MAYOR AND CITY COMM ISSI ON OF THE CITY OF MIAMI BEACH , FLORIDA, AMENDING CHAPTER 12 OF THE MIAMI BEACH CITY CODE , ENTITLED "ARTS , CULTURE AND ENTERTAINMENT," BY AMENDING ARTICLE II , ENTITLED "SPECIAL EV ENTS ," BY AMENDING SECTION 12- 5.2 THEREOF, ENTITLED "SPECIAL EVENT PERMIT REQUIRED FOR LARGE SCALE RESIDENTIAL PARTIES AND EV ENTS " TO PROVIDE FOR RECOVERY OF CITY COSTS FOR V IOLATIONS; AND , PR OVID ING FOR REPEALER , SEVERABILITY, CODIFICATION , AND AN EFFECTIV E DATE. RECOMMENDATION BACKGROUND/HISTORY ANALYSIS This proposed ordinance is presented at the request of the sponsor, Commissioner Alex J. Ferna ndez. Section 12-5.2 of the City Code establishes the City 's regulatory framework for Special Event Permits required for Large Scale Res ide ntial Parties and Events during enumerated periods. The enforcement of Section 12-5 .2 often requires substantial deployment of City resources , including Code Compliance , Police , Fire, Sanitation , and other personnel , to ensure public safety, neighborhood protection , and compliance with the limitations and requirements of the section. Violations of Section 12-5.2 routinely result in significant, unplanned municipal costs , including personnel time , equ ipment usage, logistical support, and other operational impacts directly attributable to enforcement actions taken to address unpermitted or noncompliant largescale residential events. The sponsor contends that it is appropriate , equitable , and in the public interest for the City to recover these enforcement-related costs from the responsible property owner when violations occur, rather than placing the financial burden on the City's taxpayers. If adopted , the creation of a clear cost-recovery mechanism within Section 12-5 .2-specifically, a new subsection (5)(E ) providing for billing , collection , and , when necessary , the imposition of a lien for unpaid enforcement costs-will allow the City to efficiently recover its expenditures, ensure fairness , and strengthen compliance with the Code . The sponsor therefore desires to amend Section 12-5.2 to add subsection (5)(E) to establi sh this Docusign Envelope ID: 8746545F-0B5A-8AA5-83E0-D08530A2AF99 cost-recovery pro cess. FISCAL IMPACT STATEMENT The adoption of this ordinance would charge non-compliant house party hosts additional compliance costs and would resu lt in a positive net economic impact to the City. Does this Ordinance require a Business Impact Estimate? No (FOR ORDINANCES ON LY) If applicable, the Business Impact Estimate (BIE) was published on : See BIE at: https ://www .miam ibeachfl.qov/city-hall/city-clerk/meeting-notices/ FINANCIAL INFORMATION CONCLUSION Applicable Area Is this a "Residents Right to Know" item, pursuant to City Code Section 2-17? Is th is item related to a G.O. Bond Project? Was this Agenda Item initially requested by a lobbyist which, as defined in Code Sec. 2-481, includes a principal engaged in lobbying? If so, specify the name of lobbyist(s) and principa l(s): Department City Attorney Sponsor(s) Commissioner Alex Fernandez Co-sponsor(s) Commissioner Tanya K. Bhatt Condensed Title Docusign Envelope ID: 8746545F-0B5A-8AA5-83E0-D08530A2AF99 NR-10:55 a.m. 1st Rdg , Cost Recovery for Illegal Large Scale House Parties . (AF/TB) CA Previous Action (For City Clerk Use Only) Not reached o n 4 /22/2026 -R5 A F Docusign Envelope ID: 8746545F-0B5A-8AA5-83E0-D08530A2AF99 ORDINANCE NO. _____ _ AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AMENDING CHAPTER 12 OF THE MIAMI BEACH CITY CODE, ENTITLED "ARTS, CULTURE AND ENTERTAINMENT," BY AMENDING ARTICLE II, ENTITLED "SPECIAL EVENTS," BY AMENDING SECTION 12-5.2 THEREOF, ENTITLED "SPECIAL EVENT PERMIT REQUIRED FOR LARGE SCALE RESIDENTIAL PARTIES AND EVENTS" TO PROVIDE FOR RECOVERY OF CITY COSTS FOR VIOLATIONS; AND, PROVIDING FOR REPEALER, SEVERABILITY, CODIFICATION, AND AN EFFECTIVE DATE. WHEREAS, Section 12-5.2 of the City Code establishes the Ci ty 's regulatory framework for Special Event Permits required for Large Scale Residential Parties and Events during enumerated periods; and WHEREAS, the enforcement of Section 12-5.2 often requires substantial deployment of City resources , including Code Compliance , Poli ce, Fire , Sanitation, and other personnel, to ensure public safety, neighborhood protection , and compliance with the limitations and requirements of the section ; and WHEREAS, violations of Section 12-5.2 routinely result in significant, unplanned municipal costs , including personnel time . equipment usage, logistical support, and other operational impacts directly attributable to enforcement actions taken to address unpermitted or non-compliant large-scale residential events; and WHEREAS , the Mayor and City Commission find that it is appropriate, equ itable, and in the public interest for the City to recover these enforcement-related costs from the responsible property owner when violations occur, rather than placing the financial burden on the City's taxpayers; and WHEREAS, the creation of a clear cost-recovery mecha nism within Section 12-5.2- specifically, a new su bsection (5)(E) provid ing for bi lli ng, collection , and , when necessa ry, the imposition of a lien for unpaid enforcement costs-will allow the City to efficien tl y re cover its expenditures, ensure fairness, and strengthen compliance with the Code; and WHEREAS, the Mayor and City Commission therefore desire to amend Section 12-5.2 to add subsecti on (5)(E) to establish this cost-recovery process. NOW, THEREFORE, BE IT ORDAINED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA: SECTION 1. Section 12-5.2 of Article 11 , of Chapter 12 of the City Code , entitled "Special Event Permit Required for Large Scale Residential Parties and Events Du ri ng Enumerated Periods" is hereby amended as follows: CHAPTER 12 ARTS, CULTURE AND ENTERTAINMENT Docusign Envelope ID: 8746545F-0B5A-8AA5-83E0-D08530A2AF99 * * * ARTICLE II. SPECIAL EVENTS * * * Sec. 12-5.2 . Special Eve nt Perm it Required for La rge Scale Res ide ntial Part ies a nd Eve nts Du ring Enumerated Periods . (a) Crea ted. A Special Event Permit system for large scale residen tial parties and events during specified pe riods is hereby cre ated in order to allow residents to en tertain friends and family at large pa rties and events in the ir homes wh ile mitigating the negative impacts to neighboring residents and neighborhoods . (b) Parties and Events Requiring a Special Event Permit for Large Scale Residential Parties and Events. ( 1) Qualifying Parties and Eve nts. A Special Event Permit for Large Scale Residential Parties and Events shall be requi red whenever a party or event is held in or on the grounds of a residence during one of the enumerated periods set forth in this section and: A. Where fireworks will be involved ; B. More than 100 attendees may reasonably be expected to attend ; C. Where more than 50 vehicles are expected to pick up /drop off passengers (or park) at the party or event; D. Where institutional/commercial grade speakers , lighting , and/o r generators a re to be utilized ; or E. Where institutional/commercial grade bars that are large enough to allow more than one bartender to wo rk behin d each bar or the use of more tha n three (3) single -bartende r ba rs are to be utilized . (2) Enum erated Periods. A qualifying party or event shall require a Special Event Permit fo r Large Scale Resid ential Parties and Even ts on the following dates: A. February 1 -March 31 [Super Bowl Week and Spring Break]; B. May 1 -May 31 [Formula 1 Race Week and Memorial Day]; C. Ju ne 25 -July 15 [Independence Day]; D. O ctober 15 -Novemb er 10 [H alloween]; and E. November 1 -December 31 [Latin Grammys, Art Basel , the Holidays, NYE]. (3) Requirements. A non-exha ust ive list of requirements to obta in a Specia l Event Pe rmit for Large Scale Residential Parties and Eve nts shall be: Docusign Envelope ID: 8746545F-0B5A-8AA5-83E0-D08530A2AF99 A. Agreement by the property owner to the ability of City personne l to enter the private property for comp liance inspections prior to (acco mpan ied by the owner or agent with mutually agreeable scheduling) and during the party (at any time ); .!i_ Property owner must obtain all relevant permits from all relevant City departments, such as, for example, obtain any required building permits where required ; C. Property owner shall be required to comply with the special event guidelines and prov ide required documents, which include Certificate of Insurance and Indemnification; and Q.,_ Any requirements or restrictions imposed by the city manager to protect the health , safety, and welfare of residents , visito rs, and surrounding neighborhoods' residents and visitors. ( 4) Time frame for Applications for a Special Event Permit for Large Scale Residential Parties and Events. Applications for a Special Event Permit for Large Scale Residential Parties and Events required by this section shall be submitted no later than ninety (90) days before the party or even t and shall be subjected to review by all relevant City departments, review committees, and to advisory review and comment by any applicable recognized neighborhood association . (5) Penalties. Any qualifying party or event requiring a Special Event Permit for Large Scale Residential Part ies and Events requ ire d by this section that proceeds without the homeowner first obtaining a special event permit and complying with all of its terms, conditions , limitations, and requirements: A. Shall cease and desist and end the party or gathering upon demand by the City and a code compliance violation shall be issued under all applicable provis ions of the City Code, including , without limitation, this section. B. If the owner, manager, director, or resident of the property does not comply with the cease and desist demand , the Miami Beach Police Department may arrest each owner, manager, director, o r resident for, without limitation , resisting arrest without vio lence or any other applicable charge, or for violation of this section pursuant to Section 1-14 of this Code. C. Additionally, no No special event permit shall be granted for any event at any property owned by the homeowner for a period of the next thirteen ( 13) months if a party or event occurs without first obtain ing and complying with a Special Event Permit for Large Scale Residential Parties and Events, where required , at any property. D. Finally, the The following fines shall be imposed if a party or event is announced to invitees, promoted , or occurs w ithout first obtaining and complying with a Special Event Permit for Large Scale Residential Parties and Events, where required , at any property: (i) $1 ,000.00 per day for a first violation; Docusign Envelope ID: 8746545F-0B5A-8AA5-83E0-D08530A2AF99 (ii) $5 ,000.00 per day for a second or subsequent violation ; and (iii) $15,000.00 for any violation if the special magistrate finds the vio lation to be irreparable or irreversible in nature. For purposes of this subsection , a violation shall be irreparable or irreversible in nature if an unpermitted party or event has already begun or occurred . E. Cost Recovery: Lien for Unpaid Costs. (i) In addition to any fines imposed pursuant to this section. any costs incurred by the City in enforcing the requirements of this section- including, but not limited to, enforcement personnel costs. equipment costs. administrative costs. and any other direct or incidental municipal expenditures-shall be billed to the property owner. All such costs shall be paid within thirty (30) days of the date of the City's invoice. (ii) If such cost(s) remain unpaid after the thirty (30) day payment period. the unpa id amount shall become a lien against the property thirty (30) days after: (i) the City's bill of costs is issued; or (ii) the date on which the City prevails in any appeal filed by the property owner, whichever is later. (iii) Said lien shall be of equal dign ity with a lien for special assessments, and shall carry the same penalties, and be subject to the same rights of collection. foreclosure. sale, and forfeiture as provided for special assessment liens under applicable law. SECTION 2. CODIFICATION. It is the intention of the Mayor and City Commission of the City of Miami Beach , and it is hereby ordained that the provisions of this ordinance shall become and be made part of the Miam i Beach City Code. The sections of this ordinance may be renumbered or relettered to accomplish such intention, and the word "ordinance" may be changed to "section ," "article," or other appropriate word. SECTION 3. REPEALER. All ordinances or parts of ordinances in conflict herewith be and the same are hereby repealed. SECTION 4 . SEVERABILITY. If any section , subsection , clause or provision of th is Ordinance is held invalid , the remainder shall not be affected by such invalidity. Docusign Envelope ID: 8746545F-0B5A-8AA5-83E0-D08530A2AF99 SECTION 5. EFFECTIVE DATE . This Ordinance shall take effect 10 days after passage. PASSED AND ADOPTED this __ day of ______ , 2026. ATTEST: Rafael E. Granado, City Clerk (Sponsored by Commissioner Alex Fernandez) Steven Meiner, Mayor APPROVED AS TO FORM & LANGUAGE &~UTION ~ +) J~)"WU, City Attorney ;t?;I; Date Docusign Envelope ID: 8746545F-0B5A-8AA5-83E0-D08530A2AF99