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Res. No. 125-08-12722A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF SOUTH MIAMI, FLORIDA, RELATING TO THE CITY'S 2008(2009 FISCAL YEAR BUDGET; ADVISING THE MIAMI -DADE COUNTY PROPERTY APPRAISER OF ITS PROPOSED MILLAGE RATE OF 5.2790 MILLS; ITS ROLL -BACK RATE OF 4.6079, AND ITS ROLL -BACK RATE ADJUSTED FOR CHANGE IN PER CAPITA FLORIDA PERSONAL INCOME OF 4.7991 MILLS; ANNOUNCING THE DATES OF PUBLIC HEARING TO CONSIDER THE PROPOSED MILLAGE RATE AND TENTATIVE BUDGET; PROVIDING AN EFFECTIVE DATE. WHEREAS, Florida Statute 200.065 requires; (1) that within 35 days of Certificate of Value; (2) "each taxing authority shall advise the property appraiser of its proposed millage rate, of it rolled -back rate computed pursuant to sub- section; (3) and of the date, time and place which a public hearing will be held to consider the proposed millage rate and tentative budget "; and WHEREAS, the Certification of Value was made on July 1, 2008; and WHEREAS, the City Administration has computed the proposed millage rate and the rolled - back rate; and WHEREAS, the Mayor and City Commission wish to comply with the aforesaid Statute. NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF SOUTH MIAMI, FLORIDA: Section l: That the City Administration advises the property appraiser that the proposed millage rate of City of South Miami, Florida for the 200812009 fiscal year budget is 5.2790 mills. The rolled -back rate of 4.6079 and the rolled -back rate adjusted for per capita Florida personal income computed pursuant to sub - section (1) of Florida Statute 200.065 is 4.7991 mills. Section 2: That date, time and place at which public hearing shall be held to consider the proposed millage rate are as follows: 3. First Budget Hearing- September 9, 2008 at 7:30 p.m., in the City Commission Chambers, 6130 Sunset Drive, South Miami, Florida. 4. Second Budget Hearing -, September 23, 2008 at 7:30 p.m., in the City Commission Chambers, 6130 Sunset Drive, South Miami, Florida. PASSED AND ADOPTED this 29`" day of July, 2008. ATTEST: APPROVED: CA CITY CIE AYOR READ _ • ASTOFORM it Commission Vote: J 5-0 Mayor Feliu: Vice Mayor Beasley: Yea Yea Commissioner Wiscombe: Yea Commissioner Palmer: Yea Commissioner Beckman: Yea MAXIMUM MILLAGE LEVY CALCULATION PRELIMINARY DISCLOSURE DEPARTMENT For municipal governments, counties, and special districts OF REVENUE DR-420 MM-P N. 06/08 Rule 12DER08 -18 Florida Administrative Code Effective 06/08 Year County 2008 Miami–Dade Principal Authority Taxing Authority CitLr of South Miami City of South Miami 1. Is your taxing authority a municipality or independent special district that has7— Yes El No 0 levied ad valorem taxes for less than 5 years? If Yes, G STOP HERE. Sign on page 2 and submit. You are not subject to a millage limit in FY2008-09. 2. Current year gross taxable value from Form DR-420, Line 4 $ 1,690,951,450 (2) -3. 1 Current year rolled-back rate from Form DR-420, Line 17 $ 4.6079 per $1,000 (3) Does prior year millage exceed majority-vote rate? 4. Is your taxing authority a municipality or independent special district that had Yes El No (4) levied ad valorem taxes for less than 5 years in 2007 and was not subject to a miflacie limit in FY2007-2008? If yes, go to line 16. If no, continue to line 5. 5. In 2007, was your taxing authority part of a group of a principal authority and its Yes ❑ No Z (5) dependent special districts and MSTLIs which levied taxes within the majority vote rate, but had at least one member adopt a higher rate? If yes, go to line 16. If no, continue to line 6. 6. Prior year operating millage levy from Form DR-420, Line 11 $ 4,818 per $1,000 (6) 7, Prior year rolled-back rate from 2007 Form DR-420, Line 15 $ 5.0716 per $1,000 (7) 8. Prior year percentage of rolled-back rate allowed to be levied by a majority vote (8) from 2007 Form DR-420 C, Line 5; Form DR-420 M, Line 6; or 9 5 Form DR-420 1, Line 6 - 9. Prior year maximum millage with a majority vote $ per $1,000 (9) (Line 7 multiplied by the percentage in Line 8) 4.818 Example: 5.3927 x 95% = 5.1231) IF LINE 9 IS EQUAL TO OR GREATER THAN LINE 6, GO TO LINE 16. IF NOT, CONTINUE TO LINE 10 Recalculate rolled-back rate based on prior year majority-vote millage rate 10. Prior year final gross taxable value from Form DR-420, Line 7 $ 1 rii,44-i,656 (10) 11. Prior year ad valorem proceeds with majority vote $ (11) - (multiply Line 9 by Line 10 and divide by 1,000) 7,763,945 12. Amount, if any, paid or applied in prior year because of an obligation measured $ (12) by a dedicated increment value from Form DR-420, Line 13 751,950 13. Adjusted prior year ad valorem proceeds with majority vote $ (13) (Line 11 minus Line 12) 7,011,995 14. Adjusted current year taxable value from Form DR-420, Line 16 $ 1,521,735,894 (14) 15. Adjusted current year rolled-back rate $ per $1,000 (15) ( Line 13 divided by Line 14, multiplied by 1,000) 4.6079 Calculate maximum millage levy for 2008 16, Rolled-back rate to be used for maximum millage levy calculation $ per $1,000 (16) (Enter Line 15 if calculated, or Line 3 if Line 15 is not calculated) 4.6079 17. Adjustment for growth in per capita Florida personal income 1,0415 (17) 18. Rolled-back rate adjusted for change in per capita Florida personal income $ 4.7991 per $1,000 (18) ,(Line 16 multiplied by Line 17) 19. Estimated current year gross taxable value for operating purposes without the (1 g) impact of Amendment 1 from Form DR-420, Line 10 1,766,902,869 20. Current year adjustments to taxable value from Form DR-420 $ 169,215,556 (20) - (Line 5, DR-420 plus Line 15, Form DR-420) CONTINUED ON PAGE 2 DR-420 MM-P N. 06/08 Page 2 21. Estimated current year adjusted taxable value without Amendment 1 impacts $ (21) (Line 19 minus Line 20) 1,597,687,313 200.185 and 200.071 or 200.08 , F. . 22, Adjusted current year taxable value from Form DR-420, Line 16 $ 1$ 5 21,735,894 (22) 23, Percentage adjustment to majority vote rolled-back rate for impact of % (23) Physical Address Amendment 1 (Line 22 divided by Line 21, multiplied by 100) 951.25 6130 Sunset Drive 9)o Nlai,Fl 3314-" 24. Majority vote maximum millage rate allowed $ per $1,000 (24) Mailing Address (Line 18 multiplied by the percentage on Line 23. Example: 4.6718 x 93.12% = 4.3504) 4.5711 6130 Sunset Drive 25.. Two-thirds vote maximum millage rate allowed (multiply Line 18 by 1.10) per $1,000 (25)1 26. Current year proposed millage rate: must equal rate entered on $ per $1,000 (26) 1 (305) 663-6346 Form DR-420, Line 18 5.2790 27, Current year proposed taxes (multiply Line 26 by Line 2, divided by 1,000) 1 J$ 8,926,533 (27) -28. Minimum vote required to levy proposed millage: (Check one) (28) F-1 . a. Majority vote of the governing body: Enter millage rate from Line 24 on Line 29, X b. Two-thirds vote of governing body: Enter millage rate from Line 26 on Line 29. F-1 c. Unanimous vote of.the governing body or 3/4 vote if nine members or more: Enter millage rate from Line 26 on Line 29. ❑ d. Referendum: Enter millage rate from Line 26 on Line 29. 29, The selection on Line 28 allows a maximum millage rate of: $ (29) (Enter rate indicated by choice on Line 28) 5.2790 per $1,000 30. ITotal taxes levied at the maximum millage rate: $ (30) (Line 29 multiplied by Line 2, divided by 1,000) 8,926,533 DEPENDENT SPECIAL DISTRICTS AND MSTUs. 0 STOP HERE - SIGN AND SUBMIT Total Current Year Taxes Levied 31. Enter the current year proposed taxes of all dependent special districts & $ (31) MSTUs levying a millage 0 he sum of all Lines 27 from each district's Form DR-420 MM-P) 32, Total current year proposed taxes (Line 27 plus Line 31) $ 8­926,533 (32) Total Maximum Taxes 33. Enter the taxes at the maximum millage of all dependent special districts & $ (33) MSTUs levying a millage 0 he sum of all Lines 30 from each district's Form DR-420 MM-P) 34. Total taxes at maximum millage (Line 30 plus Line 33) $ 3 9 26, 5 33 (34) Total Maximum Versus Total Taxes Levied 35, Are total current year proposed taxes on Line 32 equal to or less than total 9 El (35) taxes at proposed maximum millage on Line 34? (Check one) Yes No Complete and submit this Form DR-420MM-P, Maximum Millage Levy Calculation-Preliminary Disclosure, to your county property appraiser with Form DR-420, Certification of Compliance. Taxing Authority Certification I certify the millages and rates are correct to the best of my knowledge. The millages comply with the provisions of Section 200.185 and 200.071 or 200.08 , F. . W cc ;a oft Chl fAdministratke ice gnatu Ck Date 7/30108 LU X z Title Physical Address Mayor 6130 Sunset Drive 9)o Nlai,Fl 3314-" Mailing Address Name of Contact Person 6130 Sunset Drive Matilde G.Menendez Finance Dire-c-t City, State, ZIP Phone # I Fax # L South Miami, Fl. 33143 (305) 663-6343 1 (305) 663-6346 SEE INSTRUCTIONS ON PAGE 3 or ® FOR DOR USE ONLY City: TA: a Levy: DEPARTMENT OF REVENUE. DR -420 R. 06/08 Rule 12DER08 -18 Florida Administrative Code Effective 06108 SECTION 11: COMPLETED BY TAXING AUTHORITY Year County If this portion of the form is not completed in FULL your authority will be denied TRIM certification and possibly lose its millage levy privilege for the tax year. If any 2008 MIAMI -DADE Principal Authority Taxing Authority 4.818 per$1,000 (11) CITY OF SOUTH MIAMI $ CITY OF SOUTH MIAMI SECTION 1: COMPLETED BY PROPERTY APPRAISER 11 Amount, if any, paid or applied in prior year as a consequence of an obligation measured by a 1. Current year taxable value of real property for operating purposes $ 1,621,814,751 (1) 2. Current year taxable value of personal property for operating purposes $ 69,136,699 (2) 3. Current year taxable value of centrally assessed property for operating purposes $ 0 (3) 4. Current year gross taxable value for operating purposes (Line 1 plus Line 2 plus Line 3) $ 1,690,951,450 (4) $ Current year net new taxable value (Add new construction, additions, rehabilitative improvements (15) 5. increasing assessed value by at least 100 %, annexations, and tangible personal property value in $ 18,183,287 (5) (16) excess of 115% of the previous year's value. Subtract deletions.) $ 6. Current year adjusted taxable value (Line 4 minus Line 5) $ 1,672,768,163 (6) 7. Prior year FINAL gross taxable value (From prior year applicable Form DR-403 series) $ 1,611,445,656 (7) 8. Enter number of tax increment value worksheets (DR- 420TIF) attached (If none, enter 0) 1 (8) Does the taxing authority levy a voted debt service millage or a millage voted for 2 years or less 9, under s. 9(b), Article VII, State Constitution? (if yes, complete and attach form DR-420 VMA, Voted Yes 13 No ® (9) Millage Addendum.} 10 Information for maximum millage calculation: Current year gross taxable value for operating $ 1,766,902,869 (10) purposes without the impact of Amendment 1. Property Appraiser Certification W W I certify the taxable values shown above are correct to the best of my knowledge. zSignature of Property Appraiser Date N Rte" Ta'4.,-0 !!�-". ✓` ._` --_.__ July 1, 2008 _ SECTION 11: COMPLETED BY TAXING AUTHORITY If this portion of the form is not completed in FULL your authority will be denied TRIM certification and possibly lose its millage levy privilege for the tax year. If any line is inapplicable, enter N/A or -0 -. 11. Prior year operating millage levy $ 4.818 per$1,000 (11) 12. Prior year ad valorem proceeds (Line 7 multiplied by Line 11) $ 7,763,945 (12) 11 Amount, if any, paid or applied in prior year as a consequence of an obligation measured by a $ dedicated increment value (Sum of either Line 6c or Line 7a for all DR- 420TIF forms) 751,950 (13) 14. Adjusted prior year ad valorem proceeds (Line 12 minus Line 13) $ 7,011,995 (14) 15. Dedicated increment value, if any (Sum of either line 6b or Line 7e for all DR- 420TIF forms) $ 151,032,269 (15) 16. Adjusted current year taxable value (Line 6 minus Line 15) $ 1,521,735,894 (16) 17. Current year rolled -back rate (Line 14 divided by Line 16, multiplied by 1,000) $ 4.6079 per $1,000 (17) CONTINUED ON PAGE 2 DR-420TIF TAX INCREMENT ADJUSTMENT WORKSHEET R. 06108 R'vi Rule 12DERO8 -18 DEPARTMENT OF REVENUE Florida Administrative Code Year 2008 6. County MIAMI-DADE 6a. Enter the proportion on which the payment is based. Principal Authority CITY OF SOUTH MIAMI Taxing Authority CITY OF SOUTH MIAMI $ 151,032,269 (6b) Community Redevelopment Area: SOUTH MIAMI CRA $ 751,950 (6c) 7,] If the amount to be paid to the redevelopment trust fund IS NOT BASED on a specific proportion of the tax increment value: 7a. Amount of payment to redevelopment trust fund in prior year $ (7a) 7b. Prior year operating millage levy (Form DR-420, Line 11) $ per $1,000 (7b) SECTION 1: Completed by the Property Appraiser $ (7c) Prior year payment as proportion of taxes levied on increment value (Line 7d. 7a divided by Line 7c) % (7d) 1. Current year taxable value in the tax increment area $ 370,501,928 (1) 2. Base year taxable value in the tax increment area $ 68,437,390 (2) 3. Current year tax increment value (Line I minus Line 2) $ 302,064,538 (3) 4, Prior year taxable value $ 371,004,667 (4) 5. Prior year tax increment value (Line 4 minus Line 2) $ 302,567,277 (5) W Property Appraiser Certification W W I certify the values above are correct to the best of m _y knowledge. Z 0 I Signature of Property Appraiser i I i �m Ct,— Date July 1, 2008 SECTION 11 To be completed by taxing authority. Please complete either line 6 or line 7 as applicable. Do NOT complete both. 6. If the amount to be paid to the redevelopment trust fund IS BASED on a specific proportion of the tax increment value: 6a. Enter the proportion on which the payment is based. 50 % (6a) 6b. Dedicated increment value (Line 3 multiplied by the percentage on Line 6a) $ 151,032,269 (6b) 6c. Amount of payment to redevelopment trust fund in prior year $ 751,950 (6c) 7,] If the amount to be paid to the redevelopment trust fund IS NOT BASED on a specific proportion of the tax increment value: 7a. Amount of payment to redevelopment trust fund in prior year $ (7a) 7b. Prior year operating millage levy (Form DR-420, Line 11) $ per $1,000 (7b) 7c. Taxes levied on prior year tax increment value (Line 5 multiplied by Line 7b, divided by 1,000) $ (7c) Prior year payment as proportion of taxes levied on increment value (Line 7d. 7a divided by Line 7c) % (7d) 7e. Dedicated increment value (Line 7d multiplied by Line 3) 1$ - _j7je) SEE INSTRUCTIONS ON REVERSE SIDE Taxing Authority Certification I certify the calculations, millages, and rates are correct to the best of my knowledge. f_111 Signature Tf Chief Off er Administrati rp N � Date W W — I A, 7130/2008 W X T7 lt7j Physical Address Z Mayor 6130 Sunset Drive So Mia, F1 33143 Mailing Address Name of Contact Person 6130 Sunset Drive Matilde G. Menendez Finance Directo City, State, Zip Phone # Fax # South Miami, Florida 33143 1(305) 663-63Z..3 1 (305) 663-6346 SEE INSTRUCTIONS ON REVERSE SIDE South Miami All-Ameficaft CITY OF SOUTH MIAMI 11111, N4 �27 OFFICE OF THE CITY MANAGER V _1e INTER-OFFICE MEMORANDUM 2001 To: The Honorable Mayor Feliu and Members of the City Commission From: Ajibola W. Balog un, City Manager Date: July 29, 2008 Agenda Item: Subject: Tentative Millage Rate for FY 2008-09 Request: A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF SOUTH MIAMI, FLORIDA, RELATING TO THE CITY'S 2008/2009 FISCAL YEAR BUDGET; ADVISING THE MIAMI-DADE COUNTY PROPERTY APPRAISER • ITS PROPOSED MILLAGE RATE • 5.2790 MILLS; ITS ROLL-BACK RATE OF 4.6079, AND ITS ROLL- BACK RATE ADJUSTED FOR CHANGE IN PER CAPITA FLORIDA PERSONAL INCOME OF 4.7991 MILLS; ANNOUNCING THE DATES OF PUBLIC HEARING TO CONSIDER THE PROPOSED MILLAGE RATE AND TENTATIVE BUDGET; PROVIDING AN EFFECTIVE DATE. The procedures and timetables for taxation and the establishment of the Budget are governed by a series of rules of the State of Florida. These rules are generally referred to as TRIM (Truth in Millage). This resolution deals with the establishment of the maximum millage rate, rollback millage rate, and scheduling formal budget public hearings in accordance with TRIM. A primary source of revenue for municipal government is the property or ad valorem tax. Property taxes apply to commercial and residential real property and also for commercial personal property. The rate at which property is taxed is referred to as the millage rate. The amount of taxes paid by a property owner is determined by multiplying the millage rate times each $1,000.00 of assessed property value. Local jurisdictions are required, at the beginning of the budget process, to establish a maximum millage rate. This rate will be advertised by the City and also delivered to the Miami-Dade Property Appraiser. The rate can be decreased by the Commission during the budget process, but it can-not be increased except under extraordinary circumstances. The proposed millage rate being put forth at this time is 5.2790 mills. The Miami-Dade County Property Appraiser has certified the Taxable Value within the City of South Miami at $1,672,768,163. This valuation represents a 1.88 % increase over the FY 2007-08 level of $1,641,875,823. It is important to highlight that while the total assessed value of property increased; this is not reflected in an individual homeowner's assessment. Homeowners are taxed based on the assessed Page 1 of 2 value of their home, not the appraised or fair market value of their home. State law protects homeowners from rapidly increasing property values. The amount of the annual increase in assessed value is limited to 3% for those homeowners with the Save Our Homes cap. Homeowners who have owned their property for any length of the time are taxed at their assessed value, which is much less than the fair market value of their home. The slight increase in the overall assessment is due primarily to these factors: new construction, resale of existing homes, increased value of commercial property and an increase in the homestead exemption. Commercial property is not subject to the 3% cap. On the average a homeowner may see only a 1.88% increase in the value of their home this past year; however those that do not have the Save Our Homes cap may see a higher percentage increase. It is therefore recommended that we begin the budget process with a proposed millage rate of 5.2790 mills. This level will allow this City to continue with on-going projects. The Commission will still have the ability to re-consider the rate during the budget hearings. Rollback Millage Rate Cities are also required to calculate what is known as the "Rollback Millage Rate". This is the tax rate at which the City would receive the same revenue as in the previous year. In areas such as South Miami where there has been an overall increase in the total assessed property value, the rollback millage rate is lower. The rollback millage rate is 4.6079 and the rollback millage rate adjusted for per capital Florida personal income for South Miami is 4.7991 mills. Budget Hearing Schedule The City is required to hold two formal Budget Public Hearings. There are guidelines on when these hearings must be held. Additionally, a local municipality cannot hold a budget hearing on the same date as either the County or the School Board. There are also special advertising requirements for these hearings. It is recommended, given these constraints, that the following schedule be established: First Budget Hearing Tuesday September 9, 2008 City of South Miami City Hall 7:30 PM Commission Chambers 6130 Sunset Drive South Miami, FL 33143 Second Budget Hearing Tuesday, September 23, 2008 7:30 PM Page 2 of 2 City of South Miami City Hall Commission Chambers 6130 Sunset Drive South Miami, FL 33143