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5- Miami-Dade County BCC Resolution No. 619-20 (7-8-20)MEMORANDUM Agenda Item No. 5(H) TO: Honorable Chairwoman Audrey M. Edmonson DATE: July 8, 2020 and Members, Board of County Commissioners FROM: Abigail Price-Williams SUBJECT: Resolution declaring and County Attorney finding, pursuant to section 163.355, Florida Statutes, and after a public hearing, certain geographic area in the City of Miami Beach, Florida, which area is generally described as bounded on the north by 87th Terrace, on the south by 65th Street, on the east by the Atlantic Ocean, and on the west by Rue Notre Dame and referred as the North Beach Community Redevelopment Area (Area), to be slum or blighted; declaring and finding the rehabilitation, conservation and redevelopment, or a combination thereof, of the Area to be in the interest of the public health, safety, morals and welfare of residents of Miami Beach and Miami-Dade County, Florida; finding a need for the creation of a community redevelopment agency; and delegating certain community redevelopment powers to the City of Miami Beach in accordance with chapter 163, part III, Florida Statutes The accompanying resolution was prepared by the Office of Management and Budget and placed on the agenda at the request of Prime Sponsor Commissioner Sally A. Heyman. _______________________________ Abigail Price-Williams County Attorney APW/smm 1 Resolution No. R-619-20 Recommendation It is recommended the Board of County Commissioners (Board) consider the attached resolution. Approval of this item will: •Accept the Finding of Necessity Study (Study), declaring and finding a geographic area in the Cityof Miami Beach (City), generally bounded on the north by 87th Terrace, on the west by Rue Notre Dame, on the south by 65th Street and on the east by the Atlantic Ocean, which is referred to as the North Beach Community Redevelopment Area (Area) and is specifically described in the Studyattached as Exhibit B to the Resolution to be a slum and blighted area in accordance with Chapter163, Part III, Florida Statutes, as amended (the Act); •Declare and find that the rehabilitation, conservation, redevelopment or a combination thereof, of the Area is necessary in the interest of the public health, safety, morals or welfare of the residentsof the City and the County as a whole; •Declare and find that there is a need for a community redevelopment agency to function and carryout the community redevelopment purposes of the Act; and •Delegate certain redevelopment powers to the City to create the North Beach CommunityRedevelopment Agency (Agency) and to prepare a community redevelopment plan to present tothe Board for its approval in accordance with the Act, but reserve the right to delegate furtherpowers to the Agency, pursuant to an interlocal cooperation agreement, which shall also be subject to the Board’s approval. The approval of this item will not create the trust fund for the Agency nor obligate the County or other taxing authorities to contribute funding. Should this item be approved, legislative items that establish the trust fund and approve a redevelopment plan and an interlocal cooperation agreement by and among the County, the City and the Agency will be presented at a later date to the Board for its consideration. Scope The Area encompasses approximately 315 acres, which lie entirely in Commission Districts 4 and 5 represented by Commissioners Sally A. Heyman and Eileen Higgins, respectively. Fiscal Impact / Funding Source A community redevelopment agency’s revenue source is generated through the incremental growth of ad valorem revenues generated on real property beyond an established base year, Tax Increment Financing (TIF), as defined in section 163.387 of the Act. As provided in the Study, should this area become a community redevelopment agency, the countywide and City revenues will be deposited into a trust fund and will be used within the redevelopment area to fund projects that will eradicate the slum and blight in the redevelopment area pursuant to the redevelopment plan that is approved by the Board. The table below Date: To: Honorable Chairwoman Audrey M. Edmonson and Members, Board of County Commissioners From: Carlos A. Gimenez County Mayor Subject: Resolution Declaring an Area in the City of Miami Beach to be a Slum or Blighted and Accepting the Finding of Necessity Study 2 July 8, 2020 Honorable Chairwoman Audrey M. Edmonson and Members, Board of County Commissioners Page 2 delineates the countywide and City TIF revenue projections at 95 and 50 percent for 30 years including the currently adopted millage or tax rates and roll growth consistent with the County’s FY 2019-20 Adopted Five-Year Plan. This projection does not include any new projects anticipated in the area but is likely to be adjusted downward as the impacts of the pandemic affect the local economy and property values. North Beach Proposed CRA Projection FY 2019-20 through FY 2050-51 County @ 95 % @ 50 % Nominal 174,335,939 91,755,705 Net Present Value 57,102,448 30,180,983 City Nominal 233,114,852 112,633,671 Net Present Value 70,095,461 37,048,323 Total TIF Revenues Nominal 388,339,815 204,389,376 Net Present Value 127,197,909 67,229,306 It is important to note that should the Board approve the creation of the Agency, and fund the Agency, the County’s Five-Year Plan includes revenues that will be transferred to the City. It is estimated that in the first five years, the proposed area will generate $2.4 million in countywide funding. Track Record / Monitor This resolution does not provide for contracting with any specific entity. It declares the Area as a slum or blighted. Background In 1969, the Florida Legislature enacted the Community Redevelopment Act of 1969, as it is presently codified in the Act. The Act, among other things, authorizes counties and municipalities in the State to create community redevelopment agencies, to prepare redevelopment plans for certain defined areas within their boundaries designed as community redevelopment areas, within which community redevelopment projects may be undertaken to eliminate and prevent the development and spread of slum and blighted areas through the use of creative financing mechanisms. Pursuant to the Act, the Board is the governing body over all community redevelopment agencies in the County, but the Board can delegate redevelopment powers at its discretion, after a finding has been made determining that slum or blight exists within a defined area. In order to implement the Act, the Board must adopt a resolution finding that: (1)One or more slum or blighted areas exists within the proposed Area; and(2)That rehabilitation, conservation, redevelopment or a combination thereof, of the redevelopmentarea is necessary in the interest of the public health, safety, morals or welfare of the residents of the County or City. On July 7, 2019, the City adopted Resolution No. 2019-30892 (Exhibit A to the Resolution) approving the Study, and subsequently submitted the item to the County for its approval by the Board. On October 31, 2019, the Miami-Dade County Tax Increment and Financing Committee discussed the Study and 3 Honorable Chairwoman Audrey M. Edmonson and Members, Board of County Commissioners Page 3 recommended the Board approve the Study and that the City include additional areas adjacent to the study area in order to provide an opportunity to incorporate public workforce housing initiatives. The City studied the additional area and decided to move forward with the original boundaries as detailed in the City Manager’s letter (Attachment 1 to this Memorandum). The Study (Exhibit B to the Resolution) prepared by Business Flare examined the conditions in the proposed redevelopment area and concluded that the Area meets nine conditions of blight as follows: •Predominance of defective or inadequate street layout, parking facilities, roadways, bridges or public transportation facilities; •Aggregate assessed values of real property in the area for ad valorem tax purposes have failed toshow any appreciable increase over the five years prior to the finding of such conditions; •Faulty lot layout in relation to size, adequacy, accessibility or usefulness; •Unsanitary or unsafe conditions; •Deterioration of site or other improvements; •Inadequate and outdated building density patterns; •Fire and emergency medical service calls to the area proportionately higher than in the remainderof the county or municipality; •Greater number of violations of the Florida Building Code in the area than the number of violations recorded in the remainder of the county or municipality; and •Diversity of ownership or defective or unusual conditions of title which prevent the freealienability of land within the deteriorated or hazardous area. The attached resolution adopts the Study attached as Exhibit B and delegates to the City the powers to create a community redevelopment agency in the City and to develop a redevelopment plan, which shall be submitted to the Board for approval. The Board must approve a redevelopment plan that includes redevelopment strategies for the area and, in order to fund those improvements, the Board and the City must create a trust fund. The County, City and Agency will also enter into an interlocal cooperation agreement through which the County will delegate certain redevelopment powers to the City and the Agency. The interlocal cooperation agreement will also include certain terms required by the Board’s various resolution described above, including, but not limited to, the designation of a member of the Board or designee as a member of the Agency and the requirement that the Agency cannot spend funds without prior approval of the Agency’s budget by the Board. While I do not encourage limiting the use of countywide resources for County operations, the potential benefits derived from creating a community redevelopment agency are worth considering. We have seen several agencies that have surpassed expectations and turned around areas that have benefited the community and County as a whole, the City being a prime example. If the Board ultimately authorizes the creation of a community redevelopment agency, we must ensure that the proper safeguards are in place that will allow the County to step in and take corrective action should the Agency lose direction. The Board has provided this groundwork through several resolutions, including Resolution Nos. R-1382-09, R-871-11, R-611-15 and R-499-16, that require, among other things, newly created communityredevelopment agencies to include in their interlocal cooperation agreements, provisions that allow amember of the Board, or such other representative of the County, to serve as a commissioner on the Agency’s board, prior Board approval of budgets and several other requirements as set forth in the before-mentioned resolutions. These requirements will help the Board in the oversight of the Agency.Furthermore, by limiting the life of the Agency and the Area to an initial period of 10 or 15 years and 4 Honorable Chairwoman Audrey M. Edmonson and Members, Board of County Commissioners Page 4 requiring the Agency to fund transformative brick and mortar projects or placing benchmarks in the interlocal cooperation agreement, will allow greater oversight of the Agency. Furthermore, as noted in the fiscal impact section of this item, should the Board approve the creation of the Agency, and fund the Agency at the 95 percent level, in the first five years, the proposed area will draw $2.4 million in countywide funding. This funding has been identified in the Five-Year Plan for use by the County to fund services. Should the Agency be formed, and this funding go to the Agency, the County may need to adjust its service levels to account for the loss in anticipated funding. During the negotiation of the interlocal cooperation agreement with the City, the County should negotiate financial terms that will not impact the County’s budget in the next five years. Additionally, there should be a cap of 50 percent on the amount of revenue the County will contribute into the trust fund. As noted above, although this item accepts the findings in the Study, and delegates to the City the authority to create the Agency, it does not obligate the County to fund the Agency or the Area. ___________________ Jennifer Moon Deputy Mayor Attachments 5 MIAMIBFACH City of Mlomi Beach, 1700 Convention Center Drive, Miami Beach, Florida 33139, www.miamibeachfl.gov Jimmy L. Morales, City Manager Tel: 305-673-7010, Fax: 305-673-7782 June 3, 2020 Mr. Jorge Fernandez Office of Management and Budget Stephen P. Clark Center 111 NW 1st Street, 22nd Floor Miami, FL 33128-1984 Sent via e-mail to jjorge@miamidade.gov Re: Finding of Necessity for Community Redevelopment Area in North Beach, as adopted by City of Miami Beach Commission Resolution No. 2019-30892 Dear Mr. Fernandez: The COVID-19 public health pandemic and related emergency declarations have created significant economic duress in the City of Miami Beach, and particularly in the north end of the city that has not benefited from the past economic development in Mid-Beach and South Beach. The necessity of the proposed North Beach CRA is evident now, more than ever, in order to address the needs of the North Beach community. Accordingly, I respectfully request that the Board of County Commissioners proceed to consider the proposed CRA, as originally contained in the Finding of Necessity adopted by City Commission Resolution No. 2019-30892, dated July 7, 2019. ' We value the input provided by the Miami-Dade County Tax Increment Finance and Coordination Committee at its October 31, 2019 meeting, when it accepted the Finding of Necessity. The City continues to examine property contiguous to the proposed CRA's boundaries for additional opportunities to incorporate public workforce housing solution. Housing preservation will play an important role in the redevelopment plan developed jointly by the City and County. Thank you for your efforts to advance this important initiative to benefit the residents of North Beach. On behalf of the City of Miami Beach, we appreciate your support and commitment to our community. Please direct any questions concerning the foregoing to Ms. Amy Mehu, Economic Development De artment I rim Director, at (305) 673-7577 or AmyMehu@miamibeachfl.gov. ·my L. Morales y Manager Cc: Commissioner Sally Heyman ATTACHMENT 1 6 J u l y 8 , 2 0 2 0 7 5 ( H ) Approved Mayor Agenda Item No. 5(H) 7-8-20Veto __________ Override __________ RESOLUTION NO. ________________________ RESOLUTION DECLARING AND FINDING, PURSUANT TO SECTION 163.355, FLORIDA STATUTES, AND AFTER A PUBLIC HEARING, CERTAIN GEOGRAPHIC AREA IN THE CITY OF MIAMI BEACH, FLORIDA, WHICH AREA IS GENERALLY DESCRIBED AS BOUNDED ON THE NORTH BY 87TH TERRACE, ON THE SOUTH BY 65TH STREET, ON THE EAST BY THE ATLANTIC OCEAN, AND ON THE WEST BY RUE NOTRE DAME AND REFERRED AS THE NORTH BEACH COMMUNITY REDEVELOPMENT AREA (AREA), TO BE SLUM OR BLIGHTED; DECLARING AND FINDING THE REHABILITATION, CONSERVATION AND REDEVELOPMENT, OR A COMBINATION THEREOF, OF THE AREA TO BE IN THE INTEREST OF THE PUBLIC HEALTH, SAFETY, MORALS AND WELFARE OF RESIDENTS OF MIAMI BEACH AND MIAMI-DADE COUNTY, FLORIDA; FINDING A NEED FOR THE CREATION OF A COMMUNITY REDEVELOPMENT AGENCY; AND DELEGATING CERTAIN COMMUNITY REDEVELOPMENT POWERS TO THE CITY OF MIAMI BEACH IN ACCORDANCE WITH CHAPTER 163, PART III, FLORIDA STATUTES WHEREAS, the Florida Legislature during its 1969 Legislative Session enacted the Community Redevelopment Act of 1969 which is presently codified at part III, chapter 163, Florida Statutes, as amended (the “Act”); and WHEREAS, section 163.410 of the Act provides, in part, “the governing body of any…county which has adopted a home rule charter may, in its discretion, by resolution delegate the exercise of the powers conferred upon the county by [the Act] within the boundaries of a municipality to the governing body of such a municipality;” and WHEREAS, the Act further provides that “[s]uch a delegation to a municipality shall confer only such powers upon a municipality as shall be specifically enumerated in the delegating resolution;” and 8 R-619-20 Agenda Item No. 5(H) Page No. 2 WHEREAS, the City Commission of the City of Miami Beach (“City Commission”) adopted Resolution No. 2019-30892, which is attached hereto as Exhibit A, and which, among other things, declared an area within the municipal boundaries of the City of Miami Beach (the “City”), which area is generally described as bounded on the north by 87th Terrace, on the south by 65th Street, on the east by the Atlantic Ocean, and on the west by Rue Notre Dame, and which is referred as the North Beach Community Redevelopment Area (the “Area”) to be a “slum or blighted area”; and WHEREAS, the City Commission further made a finding of necessity as to the rehabilitation, conservation or redevelopment, or a combination of each, with respect to the Area; and WHEREAS, this Board has considered the “Finding of Necessity” Study (the “Study”), which is attached hereto as Exhibit B and incorporated herein by reference, concerning the existence of slum or blighted areas within the boundaries of the Area; and WHEREAS, this Board concurs with the City’s findings as set forth in the Study, and finds that one or more slum or blighted areas, as defined in section 163.340(7) and (8), respectively, of the Act exist within the Area; and WHEREAS, this Board finds that rehabilitation, conservation, or redevelopment, or a combination thereof, of said slum or blighted area is necessary in the interest of the public health, safety, morals, and welfare of the residents of the City and of Miami-Dade County; and WHEREAS, accordingly this Board finds that there is a need for a community redevelopment agency to carry out the community redevelopment purposes of the Act; and WHEREAS, the City, pursuant to section 163.410 of the Act, requested that the County delegate powers to the City to create a community redevelopment agency (“Agency”); and 9 Agenda Item No. 5(H) Page No. 3 WHEREAS, this Board finds that the City has met all of its obligations as set forth in section 163.410 of the Act, including, but not limited to, submitting all documentation required by the County; and WHEREAS, this Board desires to delegate certain community redevelopment powers as set forth herein to the City pursuant to the Act; and WHEREAS, this Board desires to accomplish the purposes outlined in the accompanying memorandum, a copy of which is incorporated herein by reference, NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF COUNTY COMMISSIONERS OF MIAMI-DADE COUNTY, FLORIDA, that: Section 1. The foregoing recitations are incorporated as a part of this resolution by reference. Section 2. Pursuant to chapter 163, part III, Florida Statutes (the “Act”), specifically, section 163.355, Florida Statutes, this Board finds and declares, after a public hearing that based on findings of the City and the Study a slum or blighted area, as defined by section 163.340 (7) and (8), respectively, of the Act, exists in an area of the City described generally as bounded on the North by 87th Terrace, on the South by 65th Street, on the East by the Atlantic Ocean and on the West by Rue Notre Dame, which is specifically described in the Study and is referred to as the “North Beach Redevelopment Area” (the “Area”). Section 3. This Board finds and declares that the rehabilitation, conservation and redevelopment, or a combination thereof, of the Area is necessary and in the best interest of the public health, safety, morals, and welfare of the residents of the City and of Miami-Dade County as a whole. 10 Agenda Item No. 5(H) Page No. 4 Section 4. This Board finds there is a need for a community redevelopment agency to function in the Area to carry out the community redevelopment purposes of the Act. Section 5. This Board delegates to the City the power to create a community redevelopment agency to be known as the North Beach Community Redevelopment Agency (“Agency”) pursuant to the Act with the sole power initially to prepare and adopt a plan of redevelopment for the Area, to submit such plan to the County for review and upon the completion of such review, to submit such plan to this Board for approval after notice and public hearing. Section 6. This Board shall consider the delegation of additional community redevelopment powers to the community redevelopment agency in the form of an interlocal corporation agreement by subsequent resolution of this Board. Section 7. The Agency shall cease to exist within 12 months from the adoption of this resolution if: (1) the City has not approved a redevelopment plan and interlocal agreement acceptable to the County; and (2) the County has not approved same in accordance with the Act. The foregoing resolution was offered by Commissioner , who moved its adoption. The motion was seconded by Commissioner and upon being put to a vote, the vote was as follows: Audrey M. Edmonson, Chairwoman Rebeca Sosa, Vice Chairwoman Esteban L. Bovo, Jr. Daniella Levine Cava Jose “Pepe” Diaz Sally A. Heyman Eileen Higgins Barbara J. Jordan Joe A. Martinez Jean Monestime Dennis C. Moss Sen. Javier D. Souto Xavier L. Suarez 11 Sally A. Heyman Eileen Higgins nay aye aye aye aye aye aye aye aye aye aye aye aye Agenda Item No. 5(H) Page No. 5 The Chairperson thereupon declared this resolution duly passed and adopted this 8th day of July, 2020. This resolution shall become effective upon the earlier of (1) 10 days after the date of its adoption unless vetoed by the County Mayor, and if vetoed, shall become effective only upon an override by this Board, or (2) approval by the County Mayor of this resolution and the filing of this approval with the Clerk of the Board. MIAMI-DADE COUNTY, FLORIDA BY ITS BOARD OF COUNTY COMMISSIONERS HARVEY RUVIN, CLERK By:________________________ Deputy Clerk Approved by County Attorney as to form and legal sufficiency. _______ Leigh C. Kobrinski Terrence A. Smith 12 Melissa Adames RESOLUTION NO. 2019-30892 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ACCEPTING THE PRELIMINARY REPORT SET FORTH AS AN EXHIBIT TO THE COMMISSION MEMORANDUM ACCOMPANYING THIS RESOLUTION, CONCERNING A FINDING OF NECESSITY FOR THE REDEVELOPMENT OF A CERTAIN GEOGRAPHIC AREA LOCATED WITHIN THE CITY OF MIAMI BEACH, DESCRIBED GENERALLY AS BEING BOUNDED ROUGHLY BY 87TH TERRACE TO THE NORTH, 55TH STREET TO THE SOUTH, THE ATLANTIC OCEAN TO THE EAST, AND RUE NOTRE DAME TO THE WEST, AS SHOWN ON THE MAP SET FORTH IN "EXHIBIT A" HERETO, AND REQUESTING MIAMI-DADE COUNTY TO DECLARE SAID AREA AS SLUM AND BLIGHT AND DELEGATE REDEVELOPMENT POWERS TO THE CITY OF MIAMI BEACH IN ACCORDANCE WITH PART Ill OF CHAPTER 163, FLORIDA STATUTES, SO AS TO PERMIT THE CITY OF MIAMI BEACH TO ESTABLISH A COMMUNITY REDEVELOPMENT AGENCY FOR THE AFORESAID AREA. WHEREAS, the Mayor and City Commission of Miami Beach has adopted as a primary city-wide goal the economic development of the City and, in particular, the area north of 63rd Street generally referred to as "North Beach"; and WHEREAS, there exists a defined geographic area within the corporate limits of the City which contains a large number of commercial buildings which are deteriorated or deteriorating, as well as a large number of substandard housing units which contribute to ill health and pose other potential dangers to the residents, such area being described generally as being bounded by 87th Terrace to the north, the Atlantic Ocean to the east, 65th Street to the south, and Rue Notre Dame to the east, as set forth more particularly in "Exhibit A" hereto (the "Proposed Boundary"); and WHEREAS, pursuant to the Community Redevelopment Act, Chapter 163 of the Florida Statutes, a Community Redevelopment Area (CRA) means a slum area, a blighted area, or an area in which there exists a shortage of affordable housing, or a coastal and tourist area that is deteriorating and economically distressed due to outdated building density patterns, inadequate transportation arid parking facilities, faulty lot layout or inadequate street layout, or a combination thereof; and WHEREAS, in order to reverse the economic decline of said geographic area, it is necessary to consider redeveloping the defined area and establishing a community developm�nt agency as a catalyst to redeveloping such area, all in accordance with Chapter 163, Florida Statutes; and WHEREAS, on June 20, 2018, the Neighborhoods/Community Affairs Committee (NCAC) discussed creative funding options for the North Beach Master Plan and recommended that the Administration work with Miami-Dade County to move forward with the potential creation of a CRA in North Beach; and EXHIBIT A 13 WHEREAS, on July 25, 2018, the Mayor and City Commission adopted Resolution 2018-30432, accepting the recommendation of the NCAC to commence discussions with the County to create a CRA in North Beach; and WHEREAS, following adoption of the Fiscal Year 2019/20 Miami-Dade County budget, the Administration reached out to the County to discuss approach and steps for a potential CRA in North Beach, the first of which is a finding of necessity for the area; and WHEREAS, the City has retained BusinessFlare Economic Development Solutions (the "Consultant") to prepare a report concerning a finding of necessity with respect to the redevelopment bf the area set forth in the Proposed Boundary; and WHEREAS, the Consultant has prepared a "Preliminary Draft-Finding of Necessity" for the North Beach Redevelopment Area, dated April 2016 ("Preliminary Report") as set forth in "Exhibit B"; and WHEREAS, the Preliminary Report concludes that, within the defined target geographic area, there exist nine of fifteen criteria necessary to designate an area as blighted; and WHEREAS, pursuant to Section 163.410, Florida Statutes, the City is required to receive a delegation of authority from the County as a condition precedent to exercising redevelopment powers conferred under the Community Redevelopment Act, relative to the redevelopment area illustrated in the Proposed Boundary; and WHEREAS, the City Clerk has published notice of a public hearing with respect to a meeting of the City Commission to consider: (i) the acceptance of the Preliminary Report, (ii) the findings therein contained and other matters related to the establishment of a CRA and redevelopment agency pursuant to Part Ill of Chapter 163, Florida Statutes, and (iii) requesting delegation of authority from the County to exercise redevelopment powers within the geographic area set forth in the Proposed Boundary. NOW, THEREFORE, BE IT RESOLVED BY THE ,MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA: 1.The City Commission of the City of Miami Beach hereby accepts the. Preliminary Report ( a copy of which is attached to this Resolution as "Exhibit B") prepared by the Consultant, subject to final findings of necessity to be made subsequent to the delegation of authority referred to herein below. 2.The Mayor and City Commission of the City of Miami Beach hereby requestthat the Board of County Commissioners for Miami-Dade County delegate to the City of Miami Beach broad authority to exercise redevelopment powers within the geographic area set forth in "Exhibit A" in accordance with Chapter 163, Florida Statutes. 14 PASSED AND ADOPTED this_!!_ day of _✓1_u_7 ____ , 2019. ATTEST: m__.11=., l 'I 1 1'-liRafali.Granado, City Clerk �a_y?__§,o-r --�¢�--- APPROVED AS TO FORM & LANGUAGE & FOR EXECUTION �l a�,\- 'l\�\1\ City Attorney 62..AP Date 15 Finding of Necessity Proposed North Beach Community Redevelopment Area City of Miami Beach Prepared by April 23, 2019 Page 620 of 1502 EXHIBIT B 16 Finding of Necessity for a Potential North Beach CRA 2 TABLE OF CONTENTS Executive Summary................................................................................................ 3 Legal Requirements............................................................................................... 9 Street Layout, Parking Facilities, and Roadways................................................... 11 Faulty Lot Layout ................................................................................................. 14 Unsanitary or Unsafe Conditions ......................................................................... 15 Deterioration of Site or Other Improvements...................................................... 16 Inadequate and Outdated Building Density Patterns........................................... 18 Residential and Commercial Vacancy Rates......................................................... 20 Fire and Emergency Medical Service Calls............................................................ 22 Florida Building Code Violations .......................................................................... 23 Diversity of Ownership......................................................................................... 22 Appendix – Additional Information...................................................................... 24 Page 621 of 150217 Finding of Necessity for a Potential North Beach CRA 3 Executive Summary The North Beach neighborhood of Miami Beach has lagged the redevelopment, revitalization, and economic growth experienced throughout other parts of the City. There have been numerous efforts by the City to promote growth and change in North Beach, most recently including the North Beach Master Plan, the Ocean Terrace Plan, the West Lots Plan, as well as other citywide planning tools such as the Transportation Master Plan and planning initiatives focusing on sustainability, economic development and land development regulation amendments. A Community Redevelopment Area (CRA) is a tool created pursuant to State Law which designates an area for redevelopment and authorizes the governing body to exercise certain powers to implement redevelopment. The North Beach area is an district which would benefit from the public and private investment that accompanies CRA designation. The City of Miami Beach has significant experience with redevelopment success through implementation of CRAs: the Miami Beach Redevelopment Agency was created in 1973, followed by two of the most successful CRAs in the State of Florida, the South Pointe Redevelopment Area and the City Center/Historic Convention Village Community Redevelopment Area. Pursuant to the direction of the Miami Beach City Commission, the City Administration has implemented steps to conduct a Finding of Necessity (FoN) to evaluate the North Beach area for designation as a Community Redevelopment Area. The Community Redevelopment Act of 1969, Florida Statutes Chapter 163, identifies fifteen (15) criteria indicative of blight within a community, of which two (2) must be present to conclude that an area is blighted. Nine of these criteria were found in the North Beach area: •Predominance of defective or inadequate street layout, parking facilities, roadways, bridges, or public transportation facilities. •Aggregate assessed values of real property in the area for ad valorem tax purposes have failed to show any appreciable increase over the five (5) years prior to the finding of such conditions. •Faulty lot layout in relation to size, adequacy, accessibility, or usefulness. •Unsanitary or unsafe conditions. •Deterioration of site or other improvements. •Inadequate and outdated building density patterns. •Fire and emergency medical service calls to the area proportionately higher than in the remainder of the county or municipality. •Greater number of violations of the Florida Building Code in the area than the number of violations recorded in the remainder of the county or municipality. •Diversity of ownership or defective or unusual conditions of title which prevent the free alienability of land within the deteriorated or hazardous area. Page 622 of 150218 Finding of Necessity for a Potential North Beach CRA 4 This firm has conducted research as well as site visits to confirm the presence of blight in the area, as defined by Florida Statutes. This document includes supporting information for each criterion listed here, with visual, descriptive, and/or research-based information that supports the finding of blight. The proposed boundaries of the North Beach CRA are identified on the map on the following page: Page 623 of 150219 Finding of Necessity for a Potential North Beach CRA 5 Figure 1: Proposed Boundary for a Community Redevelopment in North Beach Page 624 of 150220 Finding of Necessity for a Potential North Beach CRA 6 Our evaluation identified the following blight conditions, which are detailed in the appendices to this report: Predominance of defective or inadequate street layout, parking facilities, roadways, bridges or public transportation facilities. The street layout in the area is faulty in a number of ways, many of which were identified in Section2oftheNorthBeachMasterPlan.Thisincludestheone-waystreetpattern,characteristic of major roadways, as well as mobility challenges in the area. Additionally, only one roadway connects the North and South ends of the City, and only one roadway connects the area to the mainland to the West.Publicparkingisinadequate,with theparkingdeficit demonstrated bythe recent Walker Parking Study commissioned by the City. Addressing parking needs is a priority goal of the North Beach Master Plan. Unlike other parts of the City, there are no City-owned parking garages in the area, and manyprivate parking lotsin North Beachare poorly maintained. The“TownCenter”coreofNorthBeachhas90%parkingoccupancy,andthelackofloadingzones along Collins Avenue creates traffic backups and pedestrian safety challenges. Trafficcountsintheareaarehigh,roadwaysaresignificantlycongested,andNorthBeach’smajor thoroughfares operate at failing Level of Service (F) during peak periods. The forecasted traffic volumes in 2025 and 2035 are projected to grow at a higher rate than in Mid Beach and South Beach, and North Beach is an area afflicted with significant vehicle-pedestrian conflicts. Connectivity is a challenge, especially to Parkview Island, at the Indian Creek and 71st Street intersection, to the Normandy Fountain area and between Collins and Harding Avenues. Public Transportation is heavily utilized, with additional improvements in the planning stage. Faulty lot layout in relation to size, adequacy, accessibility, or usefulness. One of the findings in the North Beach Master Plan was that the prevalence of small lot sizes in the North Beach Town Center pose an obstacle to redevelopment and revitalization. This also creates a challenge to lot assemblage, which is necessary in order to achieve efficient land areas that attract feasible investment and redevelopment. The challenges in attracting investment in this area are part of the reason that voters have approved zoning incentives like FAR and density increases, but the zoning envisions higher intensity and larger-scale full-block development. The number of small lots in the Town Center is antithetical to full-block redevelopment; as such, a significant amount of effort is needed to aggregate property, which may not be financially feasible without additional tools, namely, a CRA. Unsanitary or unsafe conditions. Weidentifiedanumberofsanitationandsafetyrelatedconditions.Theseincludedover757Code violations within the proposed boundaries in 2018, of which 205 were sanitation related. Calls for service due to unsafe conditions were disproportionately higher than other parts of the City and included shorting/arcing electrical equipment, malicious false alarms, extraction of victims from vehicles, HazMat investigations, natural vegetation fires, and passenger vehicle fires. Page 625 of 150221 Finding of Necessity for a Potential North Beach CRA 7 According to the City’s Transportation Master Plan, 71st Street is one of the traffic corridors with thehighestdensityofvehicularcrashesintheCityinvolvingabicyclistorpedestrian.Additionally, the North Beach Master Plan identifies how the area is susceptible to flooding and sea level rise. Deterioration of site or other improvements. An on-the-ground inspection of the properties within the proposed CRA boundary identified significant deterioration of buildings, sites, and property. This includes crumbling concrete, broken windows, cracked pavers and tiles, and derelict property. Unmaintained vacant lots were observed, including a number of unsecured buildings that are not boarded up, with exposed electrical conduit and unshielded from the elements. Inadequate and outdated building density patterns. There exists an erratic scale of buildings in the target area in both height and density. As properties become aggregated and redeveloped, this problem may become more apparent until redevelopment of the Town Center occurs on a district-wide scale. The goal of the City and that of the community (as validated in the FAR referendum) is to develop the area with much greater intensity. This inconsistent building scale and lack of continuity was observed and documented as part of this analysis but was also highlighted asa salient issue in the North Beach Master Plan. Residential and commercial vacancy rates higher in the area than in the remainder of the county or municipality. This firm conducted research both online, analyzing data through CoStar and Loopnet, as well as manual survey of real estate and vacancies in the target area. CoStar identified nine (9) vacant properties in the area, measuring 36,382 square feet. The in-person inspection identified those properties, as well as an additional 12 vacant properties, measuring 23,000 square feet. There is currently a total of 60,000 square feet of vacant retail space in the proposed boundary, representing some 6.6% of the 904,000 total retail square feet. This is higher than the Citywide vacancy rate of 6.2%, and the Countywide rate of 3.9%. Residential vacancy rates measure 23.0% within the proposed boundary compared with a Countywide residential vacancy rate of 11.4%. Fire and emergency medical service calls to the area proportionately higher than in the remainder of the county or municipality. Fire and emergency medical service calls are disproportionately higher than in the rest of Miami Beach. Furthermore, as previously indicated, calls for emergency services due to unsafe conditions are disproportionately higher than throughout other parts of the City, for conditions such as shorting/arcing electrical equipment, malicious false alarms, extraction from vehicles, HazMat investigations, natural vegetation fires, and passenger vehicle fires. Page 626 of 150222 Finding of Necessity for a Potential North Beach CRA 8 Greater number of violations of the Florida Building Code in the area than the number of violations recorded in the remainder of the County or municipality. Of 2,696 total building violations reported Citywide during a test period, 605 of the building violations occurred in the proposed CRA boundary. The concentrated hotspots in North Beach for these types of violations are within the proposed CRA boundary. Diversity of ownership or defective or unusual conditions of title which prevent the free alienability of land within the deteriorated or hazardous area. There is significant diversity of ownership in North Beach, although some assemblage has begun to take place in the Town Center.However, thereremainsmanysmaller, historicbuildings,many of which are condominiums, that would be difficult to assemble. The North Beach area includes 4,321 properties that are not condominiums, which are owned by some 3,549 property-owners, further demonstrating a diversity of ownership that may prove difficult to overcome for successful redevelopment. Conclusion Although as little as two conditions of blight must be present in order to designate an area as “blighted,”thisanalysishasidentifiedthepresenceofnine(9)outof15conditions.Despitepublic andprivate initiativesand interest,theNorth Beach areahaslonglaggedthe redevelopmentand economic success experienced by other areas of Miami Beach. The City has implemented thoughtful planning strategies through community engagement, resulting in the North Beach Master Plan, the West Lots Plan, the Ocean Terrace Master Plan, and the Transportation Plan, which have identified initiatives that could successfully revitalize North Beach, provided that the necessary tools for implementation are present. Designation as a Community Redevelopment Area is one of the most effective government tools for such implementation, as demonstrated by the previous success achieved by the City of Miami Beach with previous Community Redevelopment Areas. Thisfirmfindsthattheconditionsofblight,asdefinedbyFloridalaw,arepresentintheproposed target area, and that the subject area is appropriate for designation as a Community Redevelopment Area. Page 627 of 150223 Finding of Necessity for a Potential North Beach CRA 9 Legal Requirements Section 163.340, Florida Statutes, establishes the requirements for a CRA Finding of Necessity. This firm’s analysis examined the criteria enumerated below and, accordingly, it is our final recommendation that the finding of blight exists. Slum Determination - Chapter 163.340 (7), Florida Statutes (1 condition must be present) (7)“Slum area” means an area having physical or economic conditions conducive to disease, infant mortality, juvenile delinquency, poverty, or crime because there is a predominance of buildings or improvements, whether residential or nonresidential, which are impaired by reason of dilapidation, deterioration, age, or obsolescence, and exhibiting one or more of the following factors: (a)Inadequate provision for ventilation, light, air, sanitation, or open spaces; (b)High density of population, compared to the population density of adjacent areas within the county or municipality; and overcrowding, as indicated by government-maintained statistics or other studies and the requirements of the Florida Building Code; or (c)The existence of conditions that endanger life or property by fire or other causes. Blight Determination - Chapter 163.340 (8), Florida Statutes (2 conditions must be present) (8)“Blighted area” means an area in which there are a substantial number of deteriorated or deteriorating structures; in which conditions, as indicated by government-maintained statistics or other studies, endanger life or property or are leading to economic distress; and in which two or more of the following factors are present: (a)Predominance of defective or inadequate street layout, parking facilities, roadways, bridges, or public transportation facilities. (b)Aggregate assessed values of real property in the area for ad valorem tax purposes have failed to show any appreciable increase over the 5 years prior to the finding of such conditions. (c)Faulty lot layout in relation to size, adequacy, accessibility, or usefulness. (d)Unsanitary or unsafe conditions. (e)Deterioration of site or other improvements. (f)Inadequate and outdated building density patterns. Page 628 of 150224 Finding of Necessity for a Potential North Beach CRA 10 (g)Falling lease rates per square foot of office, commercial, or industrial space compared to the remainder of the county or municipality. (h)Tax or special assessment delinquency exceeding the fair value of the land. (i)Residential and commercial vacancy rates higher in the area than in the remainder of the county or municipality. (j)Incidence of crime in the area higher than in the remainder of the county or municipality. (k)Fire and emergency medical service calls to the area proportionately higher than in the remainder of the county or municipality. (l)A greater number of violations of the Florida Building Code in the area than the number of violations recorded in the remainder of the county or municipality. (m)Diversity of ownership or defective or unusual conditions of title which prevent the free alienability of land within the deteriorated or hazardous area. (n)Governmentally owned property with adverse environmental conditions caused by a public or private entity. (o)A substantial number or percentage of properties damaged by sinkhole activity which have not been adequately repaired or stabilized. Additional information regarding the existence of the conditions of blight are provided on the following pages. Page 629 of 150225 Finding of Necessity for a Potential North Beach CRA 11 Street Layout, Parking Facilities, and Roadways Thestreetlayoutintheareaisfaultyinanumberofways, many of which were identified in Section 2 of the North Beach Master Plan. This includes the one-way street pattern characteristic of major roadways as well as mobility challenges in the area. Additionally, only one road connects the North and South ends of the City, and only one road connects the area to the mainland to the West. Public parking is inadequate and is a priority goal of the North Beach Master Plan. The parking deficit is further demonstrated by the recent Walker Parking Study. Unlike other areas of the City, there are no City- owned parking garages in the area, and many private parking lots are poorly maintained. The Town Center has 90% parking occupancy, and the lack of loading zones along Collins Avenue creates traffic backups and pedestrian safety challenges. Traffic counts in the area are high, and roadways are significantly congested. The traffic volumes in 2025 and 2035 are projected to grow at a higher rate than in Mid and South Beach, and North Beach is an area with significant vehicle-pedestrian conflicts. Connectivity poses a challenge, especially to Parkview Island, and also at the Indian Creek and 71st Street Intersection, to the Normandy Fountain area and between Collins and Harding Avenues.PublicTransportation is heavilyutilized but under-provided. Figure 1: The North Beach Master Plan identified one-way streets as an issue. Figure 2: the NBMP identified Mobility as a significant challenge and need. Page 630 of 150226 Finding of Necessity for a Potential North Beach CRA 12 The existing condition in the proposed CRA includes deficient pedestrian safety and connectivity. Contrary to the City’s Modal Prioritization adopted by Resolution of the City Commission in 2015, the streets in the North Beach area are currently designed to prioritize vehicles over pedestrians, bicyclists, and public transit. North Beach streets lack pedestrian safetyamenities,suchaswide sidewalkswithapathclearofobstructions,pedestrian curbramps that meet ADA standards, an adequate number of pedestrian crosswalks that are signalized or enhanced with flashing beacons, and the area does not have protected bicycle lanes. The intersection of Indian CreekDrive/Abbott Avenue is a critical intersection in the North Beach roadway network that is substandard and lacks capacity. Currently, six (6) southbound lanes (three (3)on Indian CreekDrive andthree (3)onAbbott Avenue)are constricted toonlythree (3) southbound lanes along Indian Creek Drive. This intersection is a source of frequent congestion in North Beach. Additionally, the major thoroughfares in North Beach (i.e. Collins Avenue, Harding Avenue/Abbott Avenue/Indian Creek Drive corridors) currently operate at a failing Level of Service (F) during morning and afternoon weekday peak periods. In addition to the County Figure 5: Blighted Parking Lot Figure 6: Congestion due to lack of loading zones Figure 4: Google Map showing congestion Figure 3: Traffic backup between Normandy Island and the Town Center Page 631 of 150227 Finding of Necessity for a Potential North Beach CRA 13 transitservice,theCityprovidestheNorthBeachTrolleyLoopwithservicethatextendsfrom88th Street to 65th Street and which serves 71st Street and Normandy Drive. In 2014, the City of Miami Beach engaged Walker Parking Consultants to perform a Parking Demand Analysis for North Beach. The Study found that there are 20,859 total parking spaces in the area, of which 65% are private and on-street parking accounts for 27%. Only approximately 6% of the spaces were in city-owned and operated surface lots and that there are no parking garages operated by the city in the study area. In the Town Center, there were a total of 9,817 parking spaces. On-Street 758 City Lots 676 Private Garage Open to the Public 428 Private Lot Open to the Public 11 Private Spaces 7,944 Threegrowthscenarioswereconductedfortheanalysis,utilizinggrowthratesof2.5%,3.9%,and 6.8%, and included any known developments applied to the observed parking demand for the Town Center core. Scenario 1 Scenario 2 Scenario 3 Demand Adequacy Demand Adequacy Demand Adequacy 2015 8,999 197 9,028 168 9,086 110 2016 9,054 142 9,115 81 9,241 -45 2017 9,110 86 9,205 -9 9,407 -211 2018 9,168 28 9,299 -103 9,584 -388 2019 9,227 -31 9,396 -200 9,773 -577 2020 9,288 -92 9,497 -301 9,975 -779 2021 9,350 -154 9,602 -406 10,190 -994 2022 9,414 -218 9,711 -515 10,420 -1224 2023 9,479 -283 9,824 -628 10,666 -1470 2024 9,456 -260 9,942 -746 10,928 -1732 Source: Walker Parking Consultants Page 632 of 150228 Finding of Necessity for a Potential North Beach CRA 14 Faulty Lot Layout One of the findings of the North Beach Master Plan was that the prevalence of small lots in the Town Center poses a challenge to redevelopment and revitalization is. This impedes lot assemblage, which in turn creates efficient land areas that can attract feasible investment and redevelopment. The challenges in attracting investment in this area are part of the reason that voters have approved FAR and density increases, and zoning in the Town Center reflects that, but the zoning envisions higher intensity and larger scale full-block development. The numberofsmalllotsintheTownCenter is antithetical to full-block redevelopment; as such, a significant amountofeffortisneededtoaggregate property, which may not be financially feasible without additional tools, such as those provided through the CRA mechanism.Figure 7: The NBMP identified ownership and layout as an impediment to revitalization Page 633 of 150229 Finding of Necessity for a Potential North Beach CRA 15 Unsanitary or Unsafe Conditions Weidentifiedanumberofsanitationandsafetyrelatedconditions.Theseincludedover757code violations within the proposed boundaries in 2018, of which 205 were sanitation related. Calls for service due to unsafe conditions were disproportionately higher than other parts of the City, includingreasonssuch asshorting/arcingelectrical equipment,maliciousfalse alarms,extraction of victims from vehicles HazMat investigations, natural vegetation fires, and passenger vehicle fires. 71st Street is one of the traffic corridors with the highest density of vehicular crashes in the City involving a bicyclist or pedestrian. Additionally, the proposed boundary area is vulnerable to flooding and sea level rise, as identified in the North Beach Master Plan. Figure 8: Unsanitary and unsafe conditions were observed within the proposed CRA boundaries Page 634 of 150230 Finding of Necessity for a Potential North Beach CRA 16 Figure 9: Heat map of code violations (red=hotspots) Deterioration of Site or Other Improvements An on-the-ground inspection of the properties within the proposed boundary identified significant deterioration of buildings, sites, and property. This includes crumbling concrete, broken windows, cracked pavers and tiles, and derelict property. Exposed electrical conduit was observed, as well as unmaintained vacant lots. There are a number of buildings that are not boarded up or secured, and are exposed to the elements. Figure 11: Crumbling eyebrow along Collins Avenue Figure 10: Vacant lot on Collins Avenue Page 635 of 150231 Finding of Necessity for a Potential North Beach CRA 17 Figure 14: Dilapidated Building Figure 15: Vacant hotel property along Collins Avenue Figure 13: Vacant building exposed to the elements Figure 12: Fenced in vacant lot on Harding Avenue Figure 16: Broken Tiles Figure 17: Dilapidated Property Page 636 of 150232 Finding of Necessity for a Potential North Beach CRA 18 Inadequate and Outdated Building Density Patterns The target area is characterized by an erratic scale of buildings in both height and density. As properties get aggregated and redeveloped, this issue may become more apparent until redevelopment of the Town Center occurs on a district-wide scale. The intent of both the City’s and residential community (as validated in the FAR referendum) is to redevelop the area with much more intensity. The erratic scale of buildings was observed and documented as part of this analysis, but also identified in the North Beach Master Plan. Figure 18: Alley conditions Figure 19: Exposed electrical Page 637 of 150233 Finding of Necessity for a Potential North Beach CRA 19 Figure 20: The NBMP identified the need to address building scale to improve walkability Figure 22: High density residential adjacent to low rise multifamily buildingsFigure 21: AT&T facility in multifamily neighborhood on Harding Avenue Figure 23: Erratic building scale near and along 71st Street Page 638 of 150234 Finding of Necessity for a Potential North Beach CRA 20 Residential and Commercial Vacancy Rates According to ESRI, residential vacancy rates are 23.0% within the proposed boundary compared with a Countywide residential vacancy rate of 11.4%. This firm conducted both online research through CoStar and Loopnet, as well as an on the ground, manual survey of building vacancies in the target area. CoStar identified nine (9) vacant properties in the area measuring some 36,382 square feet. The in-person inspection identified those properties,as well as an additional 12 vacant propertiestotaling 23,000 square feet. There iscurrentlya totalof60,000 squarefeet of vacant retail space intheproposed boundary,of 6.6% of the 904,000 total retail square feet. This is higher than the Citywide vacancy rate of 6.2%, and the Countywide rate of 3.9%. Figure 244: Proposed CRA Retail Real Estate Market Figure 25: Vacant Retail space identified in CoStar Page 639 of 150235 Finding of Necessity for a Potential North Beach CRA 21 Vacant Retail Spaces Included in CoStar 1.666 71st Street 7,600 2.701 71st Street 700 3.1101 71st Street 3,000 4.7145 Abbot Avenue 2,750 5.6782 Collins Avenue 2,040 6.7100 Collins Avenue 550 7.7300 Collins Avenue 12,652 8.7426 Collins Avenue 5,200 9.7441 Collins Avenue 1,890 Total 36,382 Vacant Properties Not in CoStar but Identified during Photo Survey 1.6960 71st Street 1,500 2.216 71st Street 5,000 3.6980 Carlyle Avenue 1,369 4.7443 Collins Avenue 1,000 5.7424 Collins Avenue 3,000 6.7405 Collins Avenue 1,000 7.7314 Collins Avenue 1,000 8.7319 Collins Avenue 1,200 9.7349 Collins Avenue 1,000 10.235 Collins Avenue 2,400 11.7124 Collins Avenue 1,000 12.740 71st Street 3,937 Total 23,406 Total Vacant Space 59,788 Total Space 904,000 Vacancy Rate 6.6% Citywide Vacancy Rate 6.2% Countywide Vacancy Rate 3.9% Page 640 of 150236 Finding of Necessity for a Potential North Beach CRA 22 Figure 26: Vacancy along 71st Street Fire and Emergency Medical Service Calls Fire and emergency medical service calls are proportionately higher than in the rest of Miami Beach. Furthermore, as previously mentioned calls for service due to unsafe conditions which were proportionately higher that other parts of the City included shorting/arcing electrical equipment, malicious false alarms, extraction of victims from vehicles HazMat investigations, natural vegetation fires, and passenger vehicle fires. Calls for service due to unsafe conditions are higher in the proposed boundary, representing a disproportionally high percentage of total calls Citywide: o 31% of calls for Shorting/Arcing Electrical Equipment o 44% of Malicious/False Alarms o 50% of Extraction of Victims from Vehicles o 75% of HazMat Release Investigations o 38% of Natural Vegetation Fires o 31% of Passenger Vehicle Fires Diversity of Ownership There is significant diversity of ownership in North Beach, although some assemblage has taken place in the Town Center. However, there remain many smaller, older and historic buildings, many of which are condominiums that would be difficult to assemble. The North Beach area includes 4,321 properties that are not condominiums, with 3,549 owners of those 4,321 properties,further demonstratingadiversityof ownershipthat mayposedifficultyfor successful redevelopment. Figure 25: Vacancy along Collins Avenue: Page 641 of 150237 Finding of Necessity for a Potential North Beach CRA 23 Florida Building Code Violations While the total number of Building Violations in the Proposed CRA Boundary were 605, out of 2,696 citywide, the hotspots in the North Beach area for these types of violations are in the proposed CRA Boundaries. Figure 27: Heat Map showing location of building code violation hotspots (red) Page 642 of 150238 Finding of Necessity for a Potential North Beach CRA 24 Appendix – Additional Information The following systems, reports and data were utilized in the development of this finding of necessity and are available upon request. ArcGIS Online ESRI Business Analyst CoStar Loopnet Microsoft Access North Beach Master Plan (2016) Ocean Terrace Master Plan (2018) West Lots Plan (2018) Miami Beach Transportation Master Plan Miami-Dade Transit Development Plan FY 2018 2014 through 2018 Miami Beach Property Tax Rolls (Miami-Dade Property Appraiser) Building Code Violations (City of Miami Beach) Code Violations (City of Miami Beach) Fire/Emergency Service Calls (City of Miami Beach) 2017 compared to 2018 Crime Statistics (City of Miami Beach) Attached to this report as Exhibit A is the Finding of Necessity Criteria Tracking Document which contains notes and observations regarding the criteria that was observed in the area that is consistent with the blight criteria established in Chapter 163, Florida Statutes. Page 643 of 150239 Exhibit A Potential North Beach CRA Finding of Necessity – Criteria Tracking Document Figure 1: Proposed Boundary for a Community Redevelopment in North Beach Page 644 of 150240 Finding of Necessity for a Potential North Beach CRA Criteria Tracking Document Summary of Blight Criteria Predominance of defective or inadequate street layout, parking facilities, roadways, bridges, or public transportation facilities. •Street Layout – Only one road in from each direction. o 2.36 NBMP – One-Way Streets o 2.14 NBMP – Mobility o Only one road connects the north and south ends of the City. •Public parking supply is inadequate and a deficit is demonstrated by the Walker Parking Study. Increased parking supply is a goal of the North Beach Master Plan (NBMP). o Zero City-owned garages o 1,267 public parking in surface lots (676) o 5,678 public parking spaces on-street (758) o 20,859 total parking spaces in North Beach, of which majority are private (7,944) o Town Center has 90% occupancy o Many parking lots are poorly maintained o Lack of loading zones – double parking exists in 73rd & Collins district •Roadways are significantly congested o Traffic Counts o Google Maps/Traffic Screenshots o Transportation Master Plan – Miami Beach and Miami-Dade County o 2025 and 2035 traffic volume projected to grow 1.4% annually, compared to 1.0% in Mid Beach and South Beach. •Connectivity o Parkview Island o Intersection of Indian Creek and 71st Street o Collins Avenue and Harding Avenue •Public Transportation o Heavily used but inadequate service levels o Bus service is planned from the Northside Metrorail station to the convention center along JFK Causeway. Does this indicate deficit of transit? o Collins Express Trolley from 88th Street to 65th Street, including 71st Street and Normandy Drive. Page 645 of 150241 Finding of Necessity for a Potential North Beach CRA Criteria Tracking Document Faulty lot layout in relation to size, adequacy, accessibility, or usefulness. •2.4 NBMP – Small lot sizes characterize the Town Center •Voters have approved density and FAR increases, and the Town Center core has been rezoned to incentivize development, but the zoning envisions higher intensity and larger scale block development than currently exists. This zoning favors half- and full block development projects, but the preponderance of smaller lots in the Town Center is antithetical to such redevelopment. Therefore, significant effort is needed to aggregate property, which may not be financially feasible for smaller scale investors. Unsanitary or unsafe conditions. •There were 757 code violations in 2017/2018 within the proposed CRA boundary: o 205 for sanitation o 277 for Code violations o 119 for property maintenance o 127 for zoning violations •Flooding and sea level rise (NBMP) •Calls for service related to unsafe conditions are proportionately higher in the proposed boundaries than elsewhere in the City. o 31% of all calls for shorting/arcing electrical equipment o 44% of malicious/false alarms o 50% of extraction of victims from vehicles o 75% of HazMat release investigations o 38% of natural vegetation fires o 31% of passenger vehicle fires •71st Street corridor is one of the City thoroughfares with the highest density of vehicular crashes and crashes involving bicyclists or pedestrians. Page 646 of 150242 Finding of Necessity for a Potential North Beach CRA Criteria Tracking Document Page 647 of 150243 Finding of Necessity for a Potential North Beach CRA Criteria Tracking Document Deterioration of site or other improvements. Page 648 of 150244 Finding of Necessity for a Potential North Beach CRA Criteria Tracking Document Page 649 of 150245 Finding of Necessity for a Potential North Beach CRA Criteria Tracking Document Inadequate and outdated building density patterns. •Scale comparisons, as depicted in the NBMP, are erratic and incohesive. •There is an erratic scale of buildings in the target area both in height and density. If properties are aggregated and redeveloped on a piecemeal basis, this problem may worsen unless redevelopment of the Town Center can take place on a districtwide scale. The goal is to redevelop the area with heightened intensity. Residential and commercial vacancy rates higher in the area than in the remainder of the county or municipality. •Commercial Vacancy Rates o CoStar identified nine (9) vacant properties within the proposed boundary, totaling 36,382 square feet. o Photo survey of the target area identified an additional 12 properties, totaling 23,406 square feet. o Vacancy data: Total target area vacant space – 59,788 square feet Total target area retail space – 904,000 square feet Target area vacancy rate – 6.6% Citywide vacancy rate – 6.2% Countywide vacancy rate – 3.9% •Residential Vacancy Rates o 11.4% residential vacancy rate in Miami-Dade County o 23.0% residential vacancy in the proposed CRA boundary Page 650 of 150246 Finding of Necessity for a Potential North Beach CRA Criteria Tracking Document Fire and emergency medical service calls to the area proportionately higher than in the remainder of the County or City. •The fire and emergency medical service calls are proportionately higher than in the rest of Miami Beach - 4.8% compared with 4.0% Citywide. •Calls for service due to unsafe conditions are higher in the proposed boundaries o 31% of all calls for shorting/arcing electrical equipment o 44% of malicious/false alarms o 50% of extraction of victims from vehicles o 75% of HazMat release investigations o 38% of natural vegetation fires o 31% of passenger vehicle fires Page 651 of 150247 Finding of Necessity for a Potential North Beach CRA Criteria Tracking Document A greater number of violations of the Florida Building Code within the area than the number of violations recorded in the remainder of the County or municipality. •While the total number of building violations in the Proposed CRA boundary was 605, out of 2,696 citywide. However, within North Beach, these types of violations are concentrated within the proposed CRA boundary. Diversity of ownership or defective or unusual conditions of title which prevent the free alienability of land within the deteriorated or hazardous area. •Significant diversity of ownership exists in North Beach; however, some assemblage has begun to take place in the Town Center. Nevertheless, there remains many smaller, historic buildings, many of which are condominiums—all characteristics that serve as barriers or impede the assembly of lots. •North Beach o 11,175 properties – majority of multiple owners are condominium owners o 4,321 properties that are not condominiums o 3,549 property owners Page 652 of 150248 RESOLUTION NO. A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ACCEPTING THE PRELIMINARY REPORT SET FORTH AS AN EXHIBIT TO THE COMMISSION MEMORANDUM ACCOMPANYING THIS RESOLUTION, CONCERNING A FINDING OF NECESSITY FOR THE REDEVELOPMENT OF A CERTAIN GEOGRAPHIC AREA LOCATED WITHIN THE CITY OF MIAMI BEACH, DESCRIBED GENERALLY AS BEING BOUNDED ROUGHLY BY 87TH TERRACE TO THE NORTH, 65TH STREET TO THE SOUTH, THE ATLANTIC OCEAN TO THE EAST, AND RUE NOTRE DAME TO THE WEST, AS SHOWN ON THE MAP SET FORTH IN "EXHIBIT A" HERETO, AND REQUESTING MIAMI-DADE COUNTY TO DECLARE SAID AREA AS SLUM AND BLIGHT AND DELEGATE REDEVELOPMENT POWERS TO THE CITY OF MIAMI BEACH IN ACCORDANCE WITH PART III OF CHAPTER 163, FLORIDA STATUTES, SO AS TO PERMIT THE CITY OF MIAMI BEACH TO ESTABLISH A COMMUNITY REDEVELOPMENT AGENCY FOR THE AFORESAID AREA. WHEREAS, the Mayor and City Commission of Miami Beach has adopted as a primary city-wide goal the economic development of the City and, in particular, the area north of 63rd Street generally referred to as "North Beach"; and WHEREAS, there exists a defined geographic area within the corporate limits of the City which contains a large number of commercial buildings which are deteriorated or deteriorating, as well as a large number of substandard housing units which contribute to ill health and pose other potential dangers to the residents, such area being described generally as being bounded by 87th Terrace to the north, the Atlantic Ocean to the east, 65th Street to the south, and Rue Notre Dame to the east, as set forth more particularly in "Exhibit A" hereto (the "Proposed Boundary"); and WHEREAS, pursuant to the Community Redevelopment Act, Chapter 163 of the Florida Statutes, a Community Redevelopment Area (CRA) means a slum area, a blighted area, or an area in which there exists a shortage of affordable housing, or a coastal and tourist area that is deteriorating and economically distressed due to outdated building density patterns, inadequate transportation and parking facilities, faulty lot layout or inadequate street layout, or a combination thereof; and WHEREAS, in order to reverse the economic decline of said geographic area, it is necessary to consider redeveloping the defined area and establishing a community development agency as a catalyst to redeveloping such area, all in accordance with Chapter 163, Florida Statutes; and WHEREAS, on June 20, 2018, the Neighborhoods/Community Affairs Committee (NCAC) discussed creative funding options for the North Beach Master Plan and recommended that the Administration work with Miami-Dade County to move forward with the potential creation of a CRA in North Beach; and Page 653 of 150249 WHEREAS, on July 25, 2018, the Mayor and City Commission adopted Resolution 2018-30432, accepting the recommendation of the NCAC to commence discussions with the County to create a CRA in North Beach; and WHEREAS, following adoption of the Fiscal Year 2019/20 Miami-Dade County budget, the Administration reached out to the County to discuss approach and steps for a potential CRA in North Beach, the first of which is a finding of necessity for the area; and WHEREAS, the City has retained BusinessFlare Economic Development Solutions (the "Consultant") to prepare a report concerning a finding of necessity with respect to the redevelopment of the area set forth in the Proposed Boundary; and WHEREAS, the Consultant has prepared a "Preliminary Draft—Finding of Necessity" for the North Beach Redevelopment Area, dated April 2016 ("Preliminary Report") as set forth in "Exhibit B"; and WHEREAS, the Preliminary Report concludes that, within the defined target geographic area, there exist nine of fifteen criteria necessary to designate an area as blighted; and WHEREAS, pursuant to Section 163.410, Florida Statutes, the City is required to receive a delegation of authority from the County as a condition precedent to exercising redevelopment powers conferred under the Community Redevelopment Act, relative to the redevelopment area illustrated in the Proposed Boundary; and WHEREAS, the City Clerk has published notice of a public hearing with respect to a meeting of the City Commission to consider: (i) the acceptance of the Preliminary Report, (ii) the findings therein contained and other matters related to the establishment of a CRA and redevelopment agency pursuant to Part Ill of Chapter 163, Florida Statutes, and (iii) requesting delegation of authority from the County to exercise redevelopment powers within the geographic area set forth in the Proposed Boundary. NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA: 1. The City Commission of the City of Miami Beach hereby accepts the Preliminary Report (a copy of which is attached to this Resolution as "Exhibit B") prepared by the Consultant, subject to final findings of necessity to be made subsequent to the delegation of authority referred to herein below. 2. The Mayor and City Commission of the City of Miami Beach hereby request that the Board of County Commissioners for Miami-Dade County delegate to the City of Miami Beach broad authority to exercise redevelopment powers within the geographic area set forth in "Exhibit A" in accordance with Chapter 163, Florida Statutes. Page 654 of 150250 PASSED AND ADOPTED this day of , 2019. ATTEST: Dan Gelber, Mayor Rafael E. Granado, City Clerk APPROVED AS TO FORM & LANGUAGE & FOR EXECUTION XAli Dtill--. elMIC‘ City Attorney j2.4r ii) Date Page 655 of 150251