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Resolution No. 2025-28 Revising Stormwater Utility Fee - April 8, 2025CITY OF AVENTURA RESOLUTION NO. 2025-28 A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF AVENTURA, FLORIDA, AMENDING RESOLUTION NO. 2016-49 WHICH REVISED THE STORMWATER UTILITY FEE TO BE CHARGED FOR EACH EQUIVALENT RESIDENTIAL UNIT; AUTHORIZING THE CITY MANAGER TO ALL THINGS NECESSARY TO CARRY OUT THE AIMS OF THIS RESOLUTION; AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, Ordinance No. 97-18, the Stormwater Utility System Ordinance, adopted by the City Commission on August 5, 1997, places upon the City Commission the responsibility to establish and revise the rate of the fee to be charged for each Equivalent Residential Unit, as the City's Stormwater Utility Fee; and WHEREAS, the City Commission adopted Resolution No. 98-85 establishing rates effective October 1, 1998 and revised these rates by adopting Resolution 2016-49, which took effect on October 1, 2016; and WHEREAS, there is a need to provide additional funding to make future storm water- related capital improvements as outlined in the City Manager's Memorandum attached hereto as Exhibit "A"; and WHEREAS, the current Equivalent Residential Unit rate of $3.50 per month (unchanged since 2016) is insufficient to fund these critical storm water- related capital improvement projects; and WHEREAS, the City Commission has held a public hearing hereon and finds this rate increase is in the best interest and welfare of the residents of the City. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF AVENTURA, FLORIDA: Section 1. That Section 1 of Resolution No. 2016-49 is hereby amended to provide that the rate to be charged for the Stormwater Utility Fee for each Equivalent Residential Unit ("ERU") shall be $6.175 per month. Section 2. That ERUs are assigned and calculated for Single Family Dwelling Units, Multi -Family Dwelling Units and Non -Residential Developed Property pursuant to City of Aventura Resolution No. 2025-28 Sections 4 and 5 of the Stormwater Utility Ordinance, in accordance with the rate established in Section 1 of this Resolution. Section 3. That the foregoing Stormwater Utility Fee rates shall become effective on and be applied to all bills for Stormwater Management issued after October 1, 2025. Section 4. That the City Manager is hereby authorized to do all things necessary to carry out the aims of this Resolution. Section 5. That this Resolution shall become effective immediately upon its adoption. The foregoing Resolution was offered by Commissioner Kruss, who moved its adoption. The motion was seconded by Commissioner Orlinsky, and upon being put to a vote, the vote was as follows: Commissioner Clifford B. Ain Yes Commissioner Gustavo Blachman Yes Commissioner Amit Bloom Yes Commissioner Paul A. Kruss Yes Commissioner Cindy Orlinsky Yes Vice Mayor Rachel S. Friedland Yes Mayor Howard S. Weinberg Yes PASSED AND ADOPTED this 8th day of April, 2025. Page 2 of 3 City of Aventura Resolution No. 2025-28 HOWARD S. WEINBERG, ES MAYOR C-'r5' q ATTEST: ELLISA L. HORVA , MMC CITY CLERK APPROVED AS TO LEGAL SUFFICIENCY: .-. ROBERT MEYERS CITY ATTORNEY WEISS SEROTA HELFMAN COLE + BIERMAN, P.L. Page 3 of 3 CITY OF AVENTURA OFFICE OF THE CITY MANAGER MEMORANDUM TO: City Commission FROM: Bryan Pegues, City Manager DATE: April 4, 2025 SUBJECT: Stormwater Utility Fund Rate Recommendation of 1 ERU = $6.175 A stormwater utility fund operates on a fee structure rather than taxes. Property owners are charged fees based on specific criteria: 1 Equivalent Residential Unit (ERU) per residential dwelling and 1 ERU for every 1,548 square feet of impervious area for non- residential properties. This distinguishes it from property taxes, which are tied to property value. The fee system ensures that the financial contribution aligns more closely with the property's impact on stormwater runoff, creating a more equitable funding mechanism for stormwater management efforts. To properly evaluate the effectiveness of a stormwater utility fund, it is essential to accurately record all related expenditures and revenues within the fund. This ensures a clear understanding of the fund's financial status, helps pinpoint inefficiencies, and informs decisions about future improvements. Expenditures includes items such as infrastructure maintenance, equipment, personnel costs, and regulatory compliance. Fund Performance and Five -Year Projection Table 1 below provides a summary of the fund's five-year projection and its performance from FY26 through FY30, based on the current fee schedule of 1 ERU = $3.50. Key expenditure categories include: 1- Professional Services: This category covers consulting services for National Pollutant Discharge Elimination System (NPDES) permitting, Community Rating System (CRS) compliance and upkeep, and stormwater-related engineering. 2- Street Maintenance/Drainage: This includes services required to clean 100% of the city -owned drainage infrastructure, such as catch basins, manholes, pipes, outfalls, drainage wells, as well as street sweeping. 3- Landscape/Vegetation Maintenance: This encompasses maintenance of the city's rights -of -way and vegetated swales. Page 1 of 3 4- Salary Share: This accounts for the proportion of salaries allocated to personnel involved in work related to the stormwater system. 5- NE 191 st Street System Stormwater Project: This expenditure line item pertains to the construction of the NE 191 st Street System, including stormwater infrastructure and right-of-way improvements. 6- NE 185th Street Outfall Repair Project: This expenditure line item covers the reconstruction of the collapsed outfall at NE 185th Street. 7- Emergency Repair Reserve: This expenditure line item establishes a reserve fund to address unexpected projects requiring urgent repairs. Table 1- Five -Year Projection, 1 ERU= $3.50 .Total Stormwater Utility Fees @95% Collection $ 1,385,448 $ 1,427,011 $ 1,469,821 $ 1,513,916 $ 1,559,334 $ 7,355,530 Interest 20,000 20,600 21,218 21,855 22,510 106,183 Revenue Total $ 1,405,448 $ 1,447,611 $ 1,491,039 $ 1,535,771 $ 1,581,844 $ 7,461,713 . . Professional Services 150,000 154,500 159,135 163,909 168,826 796,370 LandscapeNegetation Maintenance 385,000 396,550 408,447 420,700 433,321 2,044,017 Street Maintenance/Drainage 550,000 566,500 583,495 601,000 619,030 2,920,025 Subscriptions & Memberships 1,500 1,545 1,591 1,639 1,688 7,964 Conferences & Seminars 3,500 3,605 3,713 3,825 3,939 18,582 Training 3,000 3,090 3,183 3,278 3,377 15,927 Salary Share -Public Works 298,000 306,940 316,148 325,633 335,402 1,582,122 SalaryShare- Administration 20,000 20,600 21,218 21,855 22,510 106,183 Operating Cost Total $ 1,411,000 $ 1,453,330 $ 1,496,930 $ 1,541,838 $ 1,588,093 $ 7,491,191 NE 191 st Street System Stormwater Project 2,500,000 4,000,000 6,500,000 NE 185th Street Outfall Repair Project 300,000 300,000 Emergency Repair Reserve 300,000 309,000 318,270 327,818 337,653 1,592,741 Capital Cost Total $ 3,100,000 $ 4,309,000 $ 318,270 $ 327,818 $ 337,653 $ 8,392,741 Expenditure Total $ 4,511,000 $ 5,762,330 $ 1,815,200 $ 1,869,656 $ 1,925,746 $ 15,883,931 Change in Fund Balance $ (3,105,552) $ (4,314,719) $ (324,160) $ (333,885) $ (343,902) $ (8,422,219) Beginning Fund Balance 3,014,937 (90,615) (4,405,334) (4,729,495) (5,063,380) 3,014,937 Ending Fund Balance (90,615) (4,405,334) (4,729,495) (5,063,380) (5,407,282) (5,407,282) As illustrated in Table 1, maintaining the current ERU rate of $3.50 will result in a projected deficit of $5,407,282 for the stormwater fund at the end of the five-year period. The staff recommends increasing the ERU rate to $6.12 city to ensure the existing system operates at 100% o funding for major capital projects, and establish a robust and future capital initiatives. A five-year projection with 1 in Table 2 below. Page 2 of 3 5 . This adjustment will allow the f its intended capacity, secure reserve for emergency repairs ERU set at $6.125 is presented Table 2 - Five -Year Projection, 1 ERU= $6.175 Revenue -1 . mFY2027 FY2028 m FY2029 FY2030 Total Stormwater Utility Fees @95% Collection $ 2,424,533 $ 2,497,269 $ 2,572,188 $ 2,649,353 $ 2,728,834 $ 12,872,177 Interest 20,000 20,600 21,218 21,855 22,510 106,183 Revenue Total $ 2,444,533 $ 2,517,869 $ 2,593,406 $ 2,671,208 $ 2,751,344 $ 12,978,360 Expenditures Professional Services 150,000 154,500 159,135 163,909 168,826 796,370 LandscapeNegetation Maintenance 385,000 396,550 408,447 420,700 433,321 2,044,017 Street Maintenance/Drainage 550,000 566,500 583,495 601,000 619,030 2,920,025 Subscriptions & Memberships 1,500 1,545 1,591 1,639 1,688 7,964 Conferences & Seminars 3,500 3,605 3,713 3,825 3,939 18,582 Training 3,000 3,090 3,183 3,278 3,377 15,927 Salary Share -Public Works 298,000 306,940 316,148 325,633 335,402 1,582,122 SalaryShare- Administration 20,000 20,600 21,218 21,855 22,510 106,183 Operating Cost Total $ 1,411,000 $ 1,453,330 0,496,930 0,541,838 $ 1,588,093 $ 7,491,191 NE 191 st Street System Stormwater Project 2,500,000 4,000,000 6,500,000 NE 185th Street Outfall Repair Project 300,000 300,000 Emergency Repair Reserve 300,000 309,000 318,270 327,818 337,653 1,592,741 Capital Cost Total $ 3,100,000 $ 4,309,000 $ 318,270 $ 327,818 $ 337,653 $ 8,392,741 Expenditure Total $ 4,511,000 $ 5,762,330 $ 1,815,200 $ 1,869,656 $ 1,925,746 $ 15,883,931 Change in Fund Balance_"qff-$ (2,066,467) $ (3,244,461) $ 778,206 $ 801,552 $ 825,598 $ (2,905,571) Beginning Fund Balance 3,014,937 948,470 (2,295,990) (1,517,784) (716,233) 3,014,937 Ending Fund Balance 948,470 (2,295,990) (1,517,784) (716,233) 109,366 109,366 Page 3 of 3