AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AMENDING CHAPTER 102 OF THE CODE OF THE CITY OF MIAMI BEACH, ENTITLED “TAXATION,” BY AMENDING ARTICLE V, ENTITLED “LOCAL BUSINESS TAX,” BY AMENDING SECTION 102-379, “SCHEDULE OF TAXES,” BY CREATING THE BUSINESS TAX CATEGORY OF “SHORT TERM RENTALS,” AND UPDATING THE “SCHEDULE OF TAXES;” PROVIDING FOR REPEALER, SEVERABILITY, CODIFICATION, AND AN EFFECTIVE DATE.

The City of Miami Beach currently has the following Business Tax Receipt (BTR) categories for businesses engaged in transient short-term rentals (STR):

         • Bed and Breakfast Inn;
         • Boardinghouse;
         • Hotel; and
         • Rooming Houses, Lodging Houses, Boarding Houses or Hostels.

With an increase in the number of individuals and businesses wishing to engage in legal STR, a need has arisen for a BTR classification for transient rental business endeavors in multi-family residential properties where such activities are legally permissible.

Administration is proposing an amendment to Section 102-379 of the City Code with the creation of the STR BTR category and an update to the schedule of taxes to include the STR category and Fiscal Year 2016/17 rates (Exhibit A), as approved by the City Commission during last year’s budget cycle.

Creating this category would assist in monitoring STR businesses, as well as, give the City the data needed to publish a listing of approved STR on-line for visitors to Miami Beach to view.

Since the creation of the STR BTR classification will greatly assist City departments, such as, Finance, Planning, Building, Fire and Code Compliance with the regulation of STR activities in the City, the Administration recommends approving the Ordinance on First Reading and setting a Second Reading Public Hearing.