PROCESS FOR FUTURE INCREASES IN FAR

AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AMENDING THE RESILIENCY CODE OF THE CITY OF MIAMI BEACH, BY AMENDING CHAPTER 7, ENTITLED "ZONING DISTRICTS AND REGULATIONS," ARTICLE I, ENTITLED "GENERAL TO ALL ZONING DISTRICTS," BY CREATING SECTION 7.1.10, ENTITLED "PROCEDURES FOR INCREASING ALLOWABLE FLOOR AREA AND FLOOR AREA RATIO (FAR)," TO ESTABLISH POLICIES, PROCEDURES AND REQUIREMENTS FOR THE REVIEW OF FUTURE INCREASES IN FLOOR AREA AND/OR FLOOR AREA RATIO (FAR); AND PROVIDING FOR REPEALER, CODIFICATION, SEVERABILITY, AND AN EFFECTIVE DATE.

On May 17, 2023, at the request of Commissioner Alex Fernandez, the City Commission referred a proposal pertaining to an enhanced process for future FAR increases (C4 B) to the Land Use and Sustainability Committee (LUSC) and the Planning Board. On July 19, 2023 the LUSC discussed and continued the item to the September 27, 2023, LUSC meeting with direction to study an exceptions provision based upon defined percentage and square footage thresholds, and the input and recommendations of the Planning Board.

After the ordinance was transmitted to the City Commission by the Planning Board, Mayor Steven Meiner and Commissioner Kristen Rosen Gonzalez became co-sponsors of the item.

On May 2, 2023, the Florida Legislature passed Senate Bill (SB) 718, which prohibits local governments from requiring an initiative or referendum process for amendments to land development regulations. On June 28, 2023, the bill was signed into law by the Governor and became effective on July 1, 2023. The law pre-empts certain provisions in the City Charter that currently require voter approval before increasing a property’s floor area ratio (FAR).

An increase in FAR requires an amendment to the Land Development Regulations of the City Code (LDRs). Currently, an LDR amendment can be sponsored by the Mayor or any member(s) of the City Commission but requires a 4/7ths vote for referral to the Planning Board. Also, a private applicant may file an application directly to the Planning Board.

In addition to the review and recommendation of the Planning Board, all LDR amendments require two (2) separate readings before the City Commission, and at least one these readings must be a public hearing. Also, a 5/7ths vote of the City Commission is required to adopt any LDR amendment.

The following is a summary of the proposed process for future FAR increases included in the draft ordinance approved at First Reading: 

Eligible Applicants:
• For FAR increases specific to private properties, the property owner would file an application directly to the Planning Board.
NOTE: Subsequent to the filing of a private application, a copy of the application and all exhibits shall be sent to any affected registered neighborhood association(s). Additionally, for applications located within a local historic district, a copy of the application and exhibits shall be sent to the Miami Design Preservation League (MDPL).

• For FAR increases that are intended to apply more broadly (e.g. citywide or within defined overlays), as well as modifications to FAR exceptions or creating FAR incentives, the amendment to the LDRs would need to be initiated by the City Commission. Such FAR increases would also require a 5/7th vote of the City Commission to refer a proposed ordinance to the Planning Board.

Planning Board Review
The proposed FAR increase or modification to an exception to the definition of floor area would require a 3-step process before the Planning Board, as follows:

Step One – Planning Board Preliminary Review:
The Planning Board, at a duly noticed public hearing, shall perform an initial review of the proposed LDR amendment pertaining to a FAR increase or modification to an FAR exception. Notice for the Planning Board preliminary review hearing shall be in accordance with the applicable provisions in the LDRs. The notice requirements for the preliminary Planning Board review of a private application filed by a property owner shall also include a minimum 30-day mail and published notice if the proposed amendment involves less than ten (10) contiguous acres.

Prior to the LDR amendment being considered by the Planning Board at the preliminary review stage, the Administration, either internally or with the assistance of an outside consultant, would perform an impact analysis of the proposed FAR change; such impact analysis would include, but not be limited to, the following:

1. Calculating the actual square footage increase for affected properties such as, for example, the maximum allowable square footage for residential, office, retail, hotel or other uses resulting from the FAR increase.
2. An infrastructure analysis regarding potential impacts on traffic/mobility, parking, water, sewer, resiliency, parks and open space, as well as any other area of concern identified by the City Commission or the Administration.
3. Massing studies, which illustrate the volume and location of the area associated with the proposed increase in FAR.

The findings of this impact analysis will be presented to the Planning Board at the preliminary review stage.

Step Two – Community Outreach Meeting:
Subsequent to the preliminary review meeting at the Planning Board, the City shall facilitate an advertised public meeting for all affected stakeholders, in order to solicit additional input and feedback, as well as for city staff to address any outstanding issues or questions. Such meeting shall be advertised in accordance with community meeting notice protocol.

Step Three – Planning Board Transmittal:
At a second duly noticed public hearing, which is separate and apart from the preliminary review hearing, the Planning Board shall consider and transmit the proposed LDR amendment pertaining to an FAR increase or modification to an FAR exception to the City Commission with a recommendation. Notice for the planning board transmittal hearing shall be in accordance with the applicable provisions in the LDRs.

City Commission Review
The proposed FAR increase or modification to an exception to the definition of floor area would require a 3-step process before the City Commission, as follows:

Step One – First Reading Public Hearing:
After transmittal of the amendment by the planning board, the City Commission shall hold a first reading public hearing. Notice for first reading shall be in accordance with the applicable provisions in the LDRs. Additionally, the notice for first reading public hearing of a private application filed by a property owner shall also include a minimum 30-day mail and published notice.

Step Two – Community Workshop:
Subsequent to the approval of the amendment at first reading, and prior to second reading, at least one additional community workshop, which is separate and apart from the first reading public hearing, shall be held. This additional community workshop shall be considered a courtesy meeting, and open for participation by all affected stakeholders, including any adjacent areas, neighborhoods and properties that may be affected by the proposed FAR increase, as determined by the City Commission. Such community workshops may consist of virtual, in-person or hybrid formats, at the discretion of the City Commission, and shall be noticed in a manner to be determined by the City Commission.

Step Three – Second Reading / Adoption Public Hearing:
After the community workshop described above, the City Commission shall hold a second reading public hearing to consider final adoption of the proposed amendment. Notice for second reading shall be in accordance with the applicable provisions in the LDRs.

SUMMARY
The current process for considering an LDR amendment is robust, as it requires planning board review at a public hearing, as well as two (2) readings before the City Commission, at least one (1) of which must be a public hearing. Also, the City Commission already has the authority to seek supplementary review from the planning board, and to require applicable impact analysis and community outreach in the form of courtesy meetings and workshops.

Codifying a more elaborate process as proposed herein would create a longer process for future LDR amendments that pertain to FAR, although the proposal herein would likely entail a shorter process than a voter referendum. The process proposed herein could also have potential staffing and budget implications, depending on the number of requests for FAR increases, and the extent of public outreach that may be required. Community workshops require a significant amount of staff resources in terms of advertising, identifying locations, setting up AV equipment, preparing workshop materials, and staffing the workshop.

Finally, some proposals to increase FAR may have significant public policy benefits (e.g., workforce housing and historic preservation) or may be more minor in nature (e.g., amending an exception to the definition of floor area). As such, the Administration recommended a waiver provision to provide the City Commission with discretion to allow, at its discretion, a shorter timeframe consistent with the current LDR amendment process.

PLANNING BOARD REVIEW
On July 25, 2023, the Planning Board held a public hearing and transmitted the proposed ordinance to the City Commission with a favorable recommendation (7-0). The Planning Board also recommended the following:

1. An exceptions provision should be included for smaller increases in FAR and limited exceptions to the definition of floor area. The exception should be based on a specific square footage and/or percentage of floor area and include an upper limit.

2. The notice provisions for Planning Board review and First Reading City Commission review should be clarified to include a minimum mail notice radius of 375’ from properties associated with a private application involving less than 10 acres, as well as ensuring notice for affected neighborhood associations.

3. Include a requirement that community workshops be held no later than 45 days from the first review by the Planning Board.

The draft ordinance approved at First Reading included the mail notice clarification noted above. The remainder of the recommendations have been incorporated into the Second Reading ordinance.

UPDATE
The subject ordinance was approved at First Reading on December 13, 2023, subject to the inclusion of the recommendations of the Planning Board. The following is a summary of the inclusion of the Planning Board recommendations:

1. The recommendation pertaining to the mail notice radius was previously addressed and included in the text of the ordinance at First Reading.

2. To address the recommendation regarding community workshops being held no later than 45 days from the first review by the Planning Board, the following text has been added to the ordinance:

A reasonable effort shall be made to ensure that such public meeting is held no later than 45 days from the date of the preliminary review by the Planning Board.

3. To address the recommendation regarding a limited exception provision, the following text has been added:

7.1.10.5 EXCEPTIONS
The city commission, by an affirmative five-sevenths vote, may waive the requirements set forth in Section 7.1.10.1-4 for the following types of amendments:
a. An FAR increase or modification to a floor area exception resulting in an increase in floor area that is no more than 10% of the allowable floor area for an individual property or site, not to exceed a total of 5,000 additional square feet of floor area per property or site.
b. A modification to a floor area exception that applies citywide and would not result in a substantial increase in allowable floor area, as determined by the city commission at the city commission’s sole discretion.
If the city commission waives the requirements set forth in Section 7.1.10.1-4, the amendment shall otherwise be subject to the applicable notice and amendment provisions in Chapter 2, Article IV of the Land Development Regulations.

All the above noted amendments are included in the revised ordinance for Second Reading. Additionally, at First Reading, and in accordance with section 2.4.1.c.1 of the Land Development Regulations of the City Code, the City Commission waived the applicable fees based on circumstances unique to the proposed amendment. Additionally, at First Reading, and in accordance with section 2.4.1.c.1 of the Land Development Regulations of the City Code, the City Commission waived the applicable fees based on circumstances unique to the proposed amendment.

BUSINESS IMPACT ESTIMATE
In accordance with Section 166.041(4), Florida Statutes, the City of Miami Beach is required to assess whether a Business Impact Estimate is required for the subject ordinance. As noted in the attached and as published on the City's website on January 11, 2024, a Business Impact Estimate is not required for the subject ordinance as it implements an amendment to the Land Development Regulations.

LOBBYIST DISCLOSURE
In accordance with Resolution No. 2023-32857, adopted by the City Commission on December 13, 2023, the following information has been provided by the primary sponsor as it relates to the subject ordinance amendment:

1. Was the Agenda Item initially requested by a lobbyist which, as defined in Code Sec. 2-481, includes a principal engaged in lobbying? No

2. If so, specify name of lobbyist(s) and principal(s).  Not Applicable

The Administration recommends that the City Commission adopt the subject ordinance.