2008-26865 ResoRESOLUTION NO. 2008-26865
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE NORMANDY
SHORES LOCAL GOVERNMENT NEIGHBORHOOD IMPROVEMENT
DISTRICT ADOPTING THE TENTATIVE AD VALOREM MILEAGE OF
0.7227 MILLS FOR FISCAL YEAR (FY) 2008/09 FOR THE NORMANDY
SHORES LOCAL GOVERNMENT DISTRICT, WHICH ISTHIRTY-ONE AND
ONE TENTH PERCENT (31.1%) LESS THAN THE "ROLLED-BACK"
RATE OF 1.0489 MILLS, SUBJECT TO A SECOND PUBLIC HEARING
SCHEDULED ON WEDNESDAY, SEPTEMBER 17, 2008 AT 5:02 P.M.
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, 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, on July 16, 2008, the City Commission adopted Resolution 2008-26862
which set the proposed operating millage rate for the District at 0.7227 mills forthe purpose of
providing security services within the District; and
WHEREAS, on September 8, 2008, a public hearing was held before the Mayor and
City Commission, acting as the Board, to discuss the tentative operating millage rate and
operating budget for the District for FY 2008/09.
NOW THEREFORE, BE IT DULY RESOLVED BY THE BOARD OF DIRECTORS OF
THE NORMANDY SHORES LOCAL GOVERNMENT NEIGHBORHOOD IMPROVEMENT
DISTRICT, that the Board hereby adopts the tentative operating millage rate of 0.7227 mills
for the District for FY 2008/09, which is less than the "Rolled-back" rate of 1.0489 mills by
thirty-one and one tenth percent (31.1 %), subject to a second public hearing scheduled on
Wednesday, September 17, 2008, at 5:02 P.M.
PASSED and ADOPTED this 8th day of September 2008.
ATTEST•
Secretary to the District
Robert Parcher
Chai person o e is rict
Matti Herrera Bower
APPROVED AS'TCI~
FORM 8~ LANGUAGE
COMMISSION ITEM SUMMARY
Condensed Title:
A resolution of the Board Of Directors of The Normandy Shores Local Government Neighborhood
Improvement District adopting the tentative Ad Valorem Millage Rate Of 0.7227 Mills For The Normandy
Shores Neighborhood Improvement District, which is thirty-one and one tenth percent (31.1 %) less than
the "rolled-back" rate of 1.0489 mills, subject to a second public hearing scheduled on Wednesday,
Se tember 17, 2008 At 5:02 P.M.
Ke Intended Outcome Su orted:
Increase resident ratings of public safety services; Maintain crime rates at or below national trends
Supporting Data (Surveys, Environmental Scan, etc.):
Safety across the City (preventing crime, drugs, gangs, speeding cars) was ranked number one by
residents as one of the most important areas affecting their quality of life and it was also mentioned as one
of the changes that would make Miami Beach a better place to live, work, play, or visit. Safety during the
day appeared as a key driver for resident's perceptions of Miami Beach as a place to live and overall
quality of life. Also, crime prevention was ranked number four by residents as one of the most important
areas that the Cit can address with re ards to ublic safe
Issue:
Shall the Mayor and City Commission, acting in its capacity as the Board of Directors for the Normandy
Shores Local Government Neighborhood Improvement District, adopt the attached resolution which sets
the tentative Ad Valorem Millage Rate; the Calculated Rolled-Back Rate; and sets the date, time and place
for the second public hearing?
Item Summa /Recommendation:
On July 1, 2008, the City received the 2008 Certification of Taxable Value from the Property Appraiser's
Office stating that the taxable value for Normandy Shores is $144,174,761 which includes a net new
taxable value decrease of $482,845. The preliminary value represents a decrease of 1.5 percent over
2007's final value of $146,410,255.
The proposed ad valorem millage recommended by the Administration is 0.7227 mills to provide the
current level of security required by this district. This tax levy will generate proceeds of $98,981. The total
operating expenditures to provide the current service level to this district is $152,278 for FY 2008/09. The
City of Miami Beach General Fund is required to provide 35% of the total operating expenditures
($53,297), and the City has funded the 35% for each of the fifteen years since the District was established.
The amount provided by the General Fund for this purpose in FY 2007/08 was $55,014. The rolled-back
rate is the millage rate required to produce the same level of property tax revenue in FY 2008/09 as
collected in FY 2007/08. The rate is calculated as 1.0489 or 0.0126 mills more than the millage rate
adopted for FY 2007/08.
Adviso Board Recommendation:
Financial Information:
Source of Amount Account Approved
Funds: ~
N/A 2
OBPI Total
Financial Impact Summary:
Citv Clerk's Office Legislative Tracking:
Department Director I Assistant City Manager I City Manager
I - I - Q I ~--- ~ ~-~
~~ /~ AGEPIDR ITEM ° /
m MIAMIBEACH
City of Miami Beach, 1700 Convention Center Drive, Miami Beach, Florida 33139, www.miamibeachA.gov
COMMISSION MEMORANDUM
To: Mayor Matti Herrera Bower and Members of the City Commission
FROM: Jorge M. Gonzalez, City Manager
DATE: September 8, 2008
SUBJECT: A RESOLUTION OF THE BOARD OF DIRECTORS OF THE NORMANDY
SHORES LOCAL GOVERNMENT NEIGHBORHOOD IMPROVEMENT DISTRICT
ADOPTING THE TENTATIVE AD VALOREM MILEAGE OF 0.7227 MILLS FOR
FISCAL YEAR (FY) 2008/09 FOR THE NORMANDY SHORES LOCAL
GOVERNMENT DISTRICT, WHICH IS THIRTY-ONE AND ONE TENTH
PERCENT (31.1%) LESS THAN THE "ROLLED-BACK" RATE OF 1.0489
MILLS, SUBJECT TO A SECOND PUBLIC HEARING SCHEDULED ON
WEDNESDAY, SEPTEMBER 17, 2008 AT 5:02 P.M.
ADMINISTRATION RECOMMENDATION
The Administration recommends that the Mayor and City Commission, acting in its capacity
as the Board of Directors for the Normandy Shores Local Government Neighborhood
Improvement District, adopt the attached resolution which sets the following:
1) The tentatively adopted millage rate of the Normandy Shores Neighborhood
Improvement District for FY 2008/09:
General Operating 0.7227 mills (1.0363 mills last year)
2) The tentatively adopted millage rate of 0.7227 mills is 31.1 % less than the
"Rolled-Back" Rate of 1.0489 mills
3) The second public hearing to consider the final Normandy Shores
Neighborhood Improvement District operating millage rate and tentative
budget for FY 2008/09 shall be held on Wednesday, September 17, 2008 at
5:02 P.M., in the City Commission Chambers, City Hall, 1700 Convention
Center Drive, Miami Beach, Florida.
BACKGROUND
The Normandy Shores Local Govemment 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 2008/09 represents its fifteenth year
of operation.
FY 2008/09 Normandy Shores Tentative Millage Rate
September 8, 2008
Page 2 of 3
ft 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 forsuch 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. It was further agreed that the City would continue to
supplement the District at current levels until both issues were resolved. On August 29,
2002, the Administration met with the Normandy Shores Local Government Neighborhood
Improvement District representatives and agreed to eliminate the $500 capon the highest
valued home in the District. The enabling legislation was adopted by the Commission on
September 25, 2002. This ensures that the City's contribution from the General Fund
remains at 35% of the operating budget of the District.
The FY 2007/08 millage rate required an increase above the FY 2006/07 millage rate to
address aMiami-Dade County Property Appraiser error with the Certified 2006 Taxable
Value. Therefore, property tax collections in FY 2006/07 resulted in a shortfall of $46,649
which needed to be advanced from the City and repaid by the Normandy Shores taxing
district in FY 2007/08. Accordingly, the Normandy Shores taxing district millage for FY
2007/08 was set at the level needed to cover FY 2007/08 expenditures (0.7115) as well as
repay the FY 2006/07 shortfall (0.3248) for a total Normandy Shores millage of 1.0363.
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 millage and budget of the principal taxing authority, i.e.,
City of Miami Beach.
It also prescribes that a tentative millage be adopted first. This is accomplished by adopting
a Resolution which states the percent increase or decrease over the "Rolled-back" rate, and
the date, time, and place of the second public hearing scheduled to adopt the final millage.
Following this, another Resolution which tentatively adopts the Normandy Shores District
operating budget must be approved. (See accompanying Agenda item R762 for details).
The statute requires the name of the taxing authority, the rolled-back rate, the percentage
increase, and the millage rate be publicly announced before adoption of the millage
resolution.
ANALYSIS
On July 1, 2008, the City received the 2008 Certification of Taxable Value from the Property
Appraiser's Office stating that the taxable value for Normandy Shores is $144,174,761
which includes a net new taxable value decrease of $482,845. The preliminary value
represents a decrease of 1.5 percent over 2007's final value of $146,410,255.
FY 2008/09 Normandy Shores Tentative Millage Rate
September 8, 2008
Page 3 of 3
The proposed ad valorem millage recommended by the Administration is 0.7227 mills to
provide the current level of security required by this district. This tax levy will generate
proceeds of $98,981. The total operating expenditures to provide the current service level
to this district is $152,278 for FY 2008/09. The City of Miami Beach General Fund is
required to provide 35% of the total operating expenditures ($53,297), and the City has
funded the 35% for each of the fifteen years since the District was established. The amount
provided by the General Fund for this purpose in FY 2007/08 was $55,014. The $152,278 in
FY 2008/09 represents a $51,555 decrease (25%) from the FY 2007/08 budget of $203,833.
In FY 2007/08, the budget included a $46,649 one-time repayment to the City for a property
tax collection shortfall that occurred in FY 2006/07. The FY 2007/08 budget would have
been $157,184 net of the one-time repayment. Therefore, the FY 2008/09 budget reflects a
decrease of $4,906 or 3.1 percent from the FY 2007/08 budget for operations.
For the Normandy Shores taxing District, the value for each mill ($1.00 of ad valorem tax for
each $1,000 of property value) is determined by the 2008 Certification of Taxable Value and
has been set at $144,175. Florida Statutes permit a discount of up to five percent for early
payment discounts, delinquencies, etc. Therefore, the 95 percent value of the mill is
$136,966. Accordingly, 0.7227 mills are required to generate $98,981 in property tax
revenues by the district.
It must be noted that in accordance with State Statute, there is a 10 mill operating cap which
cannot be exceeded without voter approval. Combining both millages from the dependent
district (0.7227) and the principal taxing authority (5.6555) totals 6.3782 mills, which is
3.6218 mills less than the 10 mill cap.
CONCLUSION
The City Commission, acting in its capacity as the Board of Directors of the District, should
adopt the attached Resolution which establishes a tentative millage and schedules the
second and final public hearing.
JMG:KB:JC ,
i1:.ry.
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30 ~, ~ 1V1~~tV1~D~~~~..
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N CITY OF MIAMI BEACH
NOTICE OF SPECIAL COMMISSION MEETING AND PUBLIC HEARINGS
~, _
a ~ NOTICE IS HEREBY given that a Special Commission-Meeting and public hearings-will be held by the Mayor and City Commission of the
i ! City of Miami Beach, Florida, in the Commission Chambers, 3rd floor, C1ty Hall, 1700 Convention Center Drive, Miami Beach, Florida, on
Z i Monday, September 8, 2008, to consider the following:
~i
"' ! 5:01 p.m.
o i THE FIRST PUBLIC HEARING ADOPTING THE PROPOSED MILEAGE RATE AND BUDGET FOR FISCAL YEAR 2008/2009 FOR THE CITY OF
j MIAMI BEACH.
_ 5:02 p.m.
f THE FIRST PUBLIC HEARING ADOPTING THE PROPOSED MILEAGE RATE AND BUDGET FOR FISCAL YEAR 2008/2009 FOR THE
'a NORMANDY SHORES LOCAL GOVERNMENT NEIGHBORHOOD IMPROVEMENT DISTRICT. "
f
W
F=„ In addition, the City Commission may discuss other.City business and take other necessary action at this meeting.
Inquiries may be directed to the Budget Office at .(305) 673-7510.
0
ttdTERESTED PARTIES are invited to appear at this meeting, or be represented by an agent, or to express their views in writing addressed to the
Z City Commission, c/o the City Clerk, 1700. Convention Center Drive, 1st Floor, City Hall, Miami Beach, Florida 33139. Copies of these ordinances
E are available for public inspection during normal business hours in the City Clerk's Office, 1700 Convention Center Drive, 1st Floor, City Hall, and
o Miami Beach, Florida 33139. This meeting may be continued and under such circumstances additional legal notice would not be provided.
.D
. Robert E. Parcher, City Clerk
i City of Miami Beach
.~
', Pursuant to Section. 286.0105, Fla. Stat., the City hereby advises the. public that: if a person decides to appeal any decision made by the
City Commission with respect to any matter. considered at its meeting or its hearing, such person must ensure that a verbatim record of the
m proceedings is made, which record includes the testimony and evidence-upon which.the appeal is to be based. This notice does not constitute
~ consent by the City for the introduction or admission of otherwise inadmissible or irrelevant evidence, nor does it authorize challenges or appeals
not otherwise allowed by law,
iu request this material in accessible format, sign language interpreters, information on access for persons with disabilities, and/or
ar+y accommodation to review any document or participate in any city-sponsored proceeding, please contact (305) 604-2489 (voice}.
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Ad 6498 .