The Administration recommends that the Mayor and City Commission approve the subject Ordinance at First Reading and schedule a Second Reading/Public Hearing for May 15, 2024.

On September 25, 2019, the Mayor and City Commission adopted Ordinance No. 2019-4299 which, in pertinent part, provides that all fees and charges established by the City Commission shall be set forth in Appendix “A” to the City Code, entitled “Fee Schedule” and provides for an annual adjustment for certain specified fees and charges to reflect increases in the Consumer Price Index (“CPI”).

The purpose of this Ordinance is to standardize the rate structure for garages and reduce the number of rate structures in the Code from four (4) to two (2): one (1) rate structure for all garages in South Beach, and a reduced rate structure for the 42nd Street garage. The Ordinance also provides for certain fees to be indexed to CPI – rounded to the nearest dollar, every five (5) years (beginning in Fiscal Year 2025). This Ordinance also clarifies rate increments and maximum daily rates following CPI adjustments.

This Ordinance also serves to eliminate the CPI requirement from the permanent space removal fee. According to Miami Beach City Code, Section 106-55, Parking rates, fees, and penalties, (h)(2):

“When permitted, the fee for the private permanent removal of a parking space or loading zone shall be the same rate as the fee in lieu of required parking…”

Consequently, the five (5)-year CPI requirement must be eliminated from Appendix A to ensure the fee is in accordance with the fee in lieu of required parking under section 118-7 (L).

The tables below illustrate the proposed rate structure for the South Beach garages and the 42nd Street garage with the FY 2025 CPI applied.

South Beach

42nd Street Garage

Added to this requested change to Appendix A is modifying the verbiage regarding the permanent parking space removal fee, to be in accordance with the Planning section of the Code. Section 106-55(h)(2) of the City Code states that the fee for the permanent removal of a parking space or loading zone (by private parties) shall be the same rate as the fee in lieu of required parking. The Parking section of Appendix A includes the permanent removal fee (currently $40,000 per space) with an adjustment at five (5) years. However, the corresponding fee in lieu of required parking in Appendix A for the Planning section of the Code (Section 5.4.1 RC) does not have an automatic adjustment as an evaluation of costs is required to determine the need to adjust the fee. To be consistent with the Planning section of Appendix A, the Parking section should be amended by removing the five (5)-year adjustment.

The Administration is proposing a new parking rate structure that would reduce the current number of parking rate structures and provide for a feasible application of the CPI increase. The proposed ordinance would streamline the City’s parking rates and fees in “Appendix A – Fee Schedule” of the Miami Beach City Code.

The Administration is requesting that these changes go into effect on October 1, 2024, the start of FY 2025.

LOBBYIST DISCLOSURE
In accordance with Resolution No. 2023-32857, adopted by the City Commission on December 13, 2023, the following information has been requested from the primary item 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

Rate Structure: The amendment to this ordinance will not result in a substantial impact on projected revenue within the Parking Fund.

Permanent Parking Space Removal Fee: As established in the Planning section of Appendix A in the Code (Section 5.4.1 RC), rather than an automatic CPI adjustment, an evaluation of current costs is required to determine the need to adjust the fee. Eliminating the five (5)-year CPI adjustment in the Parking section of the Code promotes equivalency and consistency with the fee in lieu of parking rate ($40,000 per space). Although the fiscal impact of the proposed change to the permanent parking space removal fee is approximately $10,320 per space removed, this fee is so rarely applied pursuant to the Parking section of the Code that the overall annual fiscal impact is negligible.

The Administration recommends that the Mayor and City Commission approve the subject Ordinance at First Reading and schedule a Second Reading/Public Hearing for May 15, 2024.