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98-22856 RESO RESOLUTION NO. 98-22856 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, SETTING THE PROPOSED NORMANDY SHORES NEIGHBORHOOD IMPROVEMENT DISTRICT OPERATING MILLAGE RATE FOR FY 1998/99, THE CALCULATED ROLLED-BACK RATE, AND THE DATE, TIME, AND PLACE OF THE FIRST PUBLIC HEARING; FURTHER AUTHORIZING THE CITY MANAGER TO TRANSMIT THIS INFORMATION TO THE MIAMI-DADE COUNTY PROPERTY APPRAISER IN THE FORM REQUIRED BY SECTION 200.065, FLORIDA STATUTES. WHEREAS, Section 200.065, Florida Statutes, has specified the method by which municipalities may fix the operating millage rate and adopt an annual budget for dependent taxing districts; and WHEREAS, the City of Miami Beach is required to advise the Miami-Dade County Property Appraiser of the Proposed Normandy Shores Neighborhood Improvement District Operating Millage Rate, the Rolled-Back Rate, and the date, time, and place of the first public hearing. NOW, THEREFORE BE IT DULY RESOLVED BY THE MAYOR AND THE CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the following recommendations ofthe Administration be and are hereby ratified for transmittal to the Miami-Dade County Property Appraiser, as specified in Section 200.065, Florida Statutes: (1) Proposed Normandy Shores Neighborhood Improvement District Operating Millage Rate for FY1998/99 General Operating 0.965 mills (2) Rolled-Back Rate 0.934 mills (3) The first public hearing on the proposed Normandy Shores Neighborhood Improvement District operating millage rate and tentative budget for FY1998/99 shall be held on Thursday, September 10, 1998 at 5 :02 P.M., in the City Commission Chambers, City Hall, 1700 Convention Center Drive, Miami Beach, Florida. PASSED and ADOPTED this 15th day of 8ili', 1998. 11 ~ MAYOR ATT~ p~ CITY CLERK APPROVED /4S TO FORM & LANGUAGE & FOR EXECUTION -111 ~ 7 h/OJ8 Ci ttomey ~ ~ITY OF MIAMI BEACH :ITY HALL 1700 CONVENTION CENTER DRIVE MIAMI BEACH, FLORIDA 33139 ttp:\\cLm iam i-beach. fl. us COMMISSION MEMORANDUM NO. S lto-~<(; TO: Mayor Neisen O. Kasdin and Members of the City Co mission DATE: July 15, 1998 FROM: Sergio Rodriguez City Manager SUBJECT: A RESOL 10 SETTING 1) THE PROPOSED OPERATING MILLAGE RATE FOR THE NORMANDY SHORES NEIGHBORHOOD IMPROVEMENT DISTRICT; 2) THE CALCULATED ROLLED BACK RA TE; AND, 3) THE DATE, TIME AND PLACE OF THE FIRST PUBLIC HEARING TO CONSIDER THE OPERATING MILLAGE RATE AND BUDGET FOR FISCAL YEAR 1998/99; FURTHER AUTHORIZING THE CITY MANAGER TO TRANSMIT THIS INFORMATION TO THE MIAMI- DADE COUNTY PROPERTY APPRAISER IN THE FORM REQUIRED BY SECTION 200.065, FLORIDA STATUTES. ADMINISTRA TION RECOMMENDATION The Administration recommends that the Mayor and City Commission adopt the attached resolution which authorizes the City Manager to transmit the following information to the Miami-Dade County Property Appraiser: 1) Proposed Operating Millage Rate of the Normandy Shores Neighborhood Improvement District for FY 1998/99: General Operating 0.965 mills 2) Rolled Back Rate (Truth In Millage) 0.934 mills 3) The first public hearing to consider the proposed Normandy Shores Neighborhood Improvement District operating millage rate and tentative budget for FY 1998/99 shall be at 5:02 P.M., Thursday, September 10, 1998 in the City Commission Chambers, City Hall, 1700 Convention Center Drive, Miami Beach, Florida. BACKGROUND The Normandy Shores Local Government Neighborhood Improvement 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 community; FY 1998/99 represents its fifth year of operation. AGENDA ITEM K-i K. DATE l-lS-9~ Normandy Shores FY 1998/99 Tentative Millage Page Two July 15, 1998 It 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", Based on the January 1, 1998, "Certification of Taxable Values" for the district, determining the highest assessed property within the district is valued at $518,108, which requires a millage rate of 0.965; this millage yields an assessment of $499.97 (less than $500). Statutory Requirement FS 200.065, entitled "Method of Fixing Millage" establishes specific guidelines that must be used by all local government entities, including dependent taxing districts like Normandy Shores in setting its millage (Property tax) rates. Not unlike its principal taxing authority (City of Miami Beach), Normandy Shores is also required to transmit within 35 days from receipt of the "Certification of Taxable Value" (received July 1, 1998), to the Miami-Dade County Property Appraiser, a proposed operating millage rate, the calculated rolled back rate and the date, time, and place of the first public hearing to consider the proposed operating millage rate and tentative budget for Fiscal Year 1998/99. After setting the proposed operating millage rate for Normandy Shores, the City Commission may, at any time prior to the fmal adoption, lower the millage rate; however any increase above the 0.965 millage rate would require an expensive mailing and advertising process to each an every property owner of Miami Beach. Therefore, this proposed millage rate is viewed as the ceiling. ANAL YSIS: On July 1, 1998, the City received the "1998 Certification of Taxable Value" from the Property Appraiser's Office stating that the taxable value for Normandy Shores is $54,605,463, which included $116,039 in new construction. The preliminary value represents an increase of3.6 percent over 1997's final value of $52,686,163. Alternately, the increase is 3.2 percent over 1997's preliminary value of $52,922,971. The difference of $236,808 between 1997's preliminary and final values represents the equalization loss of less than one-half of one percent due to appeals. Operating Millage and Budget The tentative ad valorem millage recommended by the Administration is 0.965 mills to provide the level of security required by this district. At this millage, no property owners tax will exceed $500. This tax levy will generate proceeds of $52,694. The total operating budget to provide security services to this district is $91,250. This is comparable to the current year end projections. The gap between the revenues which will be generated from ad-valorem tax proceeds and the total budgetary requirement of the district must be supplemented by a contribution from the General Fund in the amount of $38,556 or 42% of the total operating budget. Normandy Shores FY 1998/99 Tentative Millage Page Three July 15, 1998 The proposed rate of 0.965 mills is 0.001 mills less than the current millage rate of 0.966 mills, 0.031 mills or 3.3% greater than the rolled-back rate of 0.934 mills, and will generate ad-valorem tax proceeds of $50,850. This is solely due to the manner in which the millage must be calculated, given the $500 limitation. First Public Hearing The first public hearing on the proposed operating millage rate and tentative budget for Fiscal Year ] 998/99 must be held no later than 80 days (September 18th) or earlier than 65 days (September 3rd) from the start of the TRIM calendar (July 1 st). Other guidelines are: I) The public hearing cannot be scheduled on a Sunday or on those days utilized by Metropolitan Dade County or the Dade County School Board for their public hearing; 2) If on a day other than Saturday, it must be held after 5:00 P.M.; and 3) must be held immediately following discussion of the tentative millage and budget of its principal taxing authority (City of Miami Beach). Based on these guidelines, the first hearing must be held between September 3rd and September 18th. These dates are unavailable for the following reasons: September 6, 13 September 9 September 3,17 Sundays Dade County School Board Public Hearings Metropolitan Dade County Public Hearings Of the remaining days, it is recommended that the first public hearing be set for 5:02 P.M., Thursday, September 10, 1998 in the City Commission Chambers, City Hall, 1700 Convention Center Drive, immediately following the City of Miami Beach's public hearing. Because no Commission meeting is set for that date, this will be a special meeting of the Commission. SR~~C