The URL can be used to link to this page

07-19-2007 City Commission Susan Gottlieb, Mayor A~e City of rl..Ventura City Manalfer Eric M. Soroka, ICMA-CM Zev Auerbach Bob Diamond Billy Joel T eri Holzberg Michael Stern Luz Urbaez Weinberg City Oerk Teresa M. Soroka, MMC City Attol71ev Weiss Serota HeHman Pastoriza Cole & Boniske AGENDA JULY 19, 2007 9 AM Aventura Government Center 19200 West Country Club Drive A ventura, Florida 33180 1. CALL TO ORDER/ROLL CALL 2. OVERVIEW AND REVIEW OF PROPOSED BUDGET A. GENERAL FUND . REVENUES . GENERAL GOVERNMENT DEPARTMENTS (CITY COMMISSION, OFFICE OF THE CITY MANAGER, FINANCE SUPPORT SERVICES, INFORMATION TECHNOLOGY, LEGAL, CITY CLERK) . PUBLIC SAFETY DEPARTMENT . COMMUNITY DEVELOPMENT DEPARTMENT . COMMUNITY SERVICES DEPARTMENT . NON-DEPARTMENT AL . CAPITAL OUTLAY B. MOTION TO ADOPT RESOLUTION TO ESTABLISH TENTATIVE MILLAGE RATE: A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF A VENTURA, FLORIDA, ESTABLISHING A PROPOSED MILLAGE RATE FOR THE 2007/08 FISCAL YEAR; PROVIDING FOR THE DATE, TIME AND PLACE OF THE PUBLIC HEARING TO CONSIDER THE PROPOSED MILLAGE July 19, 2tHl CnmmiBioo MeetiDg RATE AND TENTATIVE BUDGET; AND PROVIDING FOR AN EFFECTIVE DATE. C. POLICE EDUCATION FUND D. TRANSPORT A TION AND STREET MAINTENANCE FUND E. POLICE CAPIT AL OUTLAY IMP ACT FEE FUND F. PARK DEVELOPMENT FUND G. 911 FUND H. DEBT SERVICE FUNDS I. STORMW A TER UTILITY FUND J. POLICE OFF -DUTY SERVICES FUND 3. RESOLUTIONS - PUBLIC HEARING: A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF A VENTURA, FLORIDA, ACCEPTING AND ADOPTING IN PRINCIPLE, SUBJECT TO ANNUAL REVISION AND AUTHORIZATION, THE CITY OF A VENTURA CAPITAL IMPROVEMENT PROGRAM DOCUMENT FOR FISCAL YEAR 2007/08 TO 2011/12 AUTHORIZING THE CITY MANAGER TO DO ALL THINGS NECESSARY TO CARRY OUT THE AIMS OF THIS RESOLUTION; AND PROVIDING AN EFFECTIVE DATE. 4. ADJOURNMENT This meeting is open to the public. In accordance with the Americans with Disabilities Act of 1990, all persons who are disabled and who need special accommodations to participate in this meeting because of that disability should contact the Office of the City Clerk, 305-466-890 I, not later than two days prior to such proceeding. One or more members of the City of A ventura Advisory Boards may be in attendance. Anyone wishing to appeal any decision made by the Aventura City Commission with respect to any matter considered at such meeting or hearing will need a record of the proceedings and, for such purpose, may need to ensure that a verbatim record of the proceedings is made, which record includes the testimony and evidence upon which the appeal is to be based. Agenda items may be viewed at the Office of the City Clerk, City of Aventura Government Center, 19200 W. Country Club Drive, A ventura, Florida, 33180. Anyone wishing to obtain a copy of any agenda item should contact the City Clerk at 305-466- 8901. 2 CITY OF AVENTURA OFFICE OF THE CITY MANAGER MEMORANDUM DATE: July 11, 2007 TO: City Commission FROM: Eric M. Soroka, ICMA-CM, Cit SUBJECT: Resolution Establishing Proposed Millage Rate 2007/08 Fiscal Year July 19, 2007 City Commission Meeting Agenda Item ~ RECOMMENDATION It is recommended that the City Commission adopt a millage rate of 1.7261 for fiscal year 2007/08 compared to 2.2270 for fiscal year 2006/07. This rate implements the state imposed property tax reform legislation which is the roll back rate of 1.8968 less 9%. This will generate $15,758,236 based on an assessed value of $9,609,881,719. The following chart reflects the tax savings for Aventura Residents on City taxes: 2007 City Property Tax Savings to Aventura Resident with Homestead Exemption Assessed Value of I-bme $250,000 300,000 400,000 500,000 600,000 700,000 800,000 900,000 1,000,000 2006 Taxes $ 501 612 835 1058 1281 1503 1726 1949 2171 2007 Taxes $ 388 475 647 820 993 1165 1338 1510 1683 Savings $ 113 138 188 238 288 338 388 438 488 BACKGROUND Attached hereto is a Resolution that establishes the proposed millage rate for the 2007/08 fiscal year and public hearing date. State statutes require the City to establish a tentative millage rate and the first public hearing date that will be transmitted to the County Property Appraisal Department. The County Property Appraisal Department Memo to City Commission Page 2 issues a notice to all property owners in the City. The notice includes the proposed tax rates and public hearing dates for all government agencies imposing ad valorem taxes. A detailed discussion of the requirements for setting the millage rate contained in HB1 B is contained in the memorandum attached hereto from our Finance Support Services Director. If you have any questions, please feel free to contact me. EMS/act Attachment RESOLUTION NO. 2007-33 A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF AVENTURA, FLORIDA, ESTABLISHING A PROPOSED MILLAGE RATE FOR THE 2007/2008 FISCAL YEAR; PROVIDING FOR THE DATE, TIME AND PLACE OF THE PUBLIC HEARING TO CONSIDER THE PROPOSED MILLAGE RATE AND TENTATIVE BUDGET; AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, Chapter 200, Florida Statutes, Determination of Millage, sets forth the procedures that must be followed in establishing a millage rate and adopting an annual budget; and WHEREAS, the Miami Dade County Property Appraisal Department has certified the taxable value of property within the City of Aventura, as required by Chapter 200, Section 200.065(1) and Chapter 193, Section 193.023, Florida Statutes; and WHEREAS, pursuant to Chapter 200, Section 200.065(2)(b), the City of Aventura is required to establish its proposed millage rate and the date, time and place that the public hearing will be held to consider the proposed millage rate and tentative budget; and WHEREAS, the Florida Legislature met in Special Session in June 2007 to adopt a state-imposed property tax reform legislation, the results of which was the adoption of House Bill 1 B, signed into law by Governor Crist on June 21,2007; and WHEREAS, HB 1 B established detailed procedures for adoption of the tax rate by municipalities for the 2007 tax year (2007/08 fiscal year); and Resolution No. 2007-33 Page 2 WHEREAS, the calculation for the City of Aventura generates a rate of 1.7261 mills in order to comply with the tax reform required by HB 1 B. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF AVENTURA, FLORIDA, THAT: Section 1. The following is hereby established as the proposed millage rate for the 2007/2008 fiscal year: 1.7261 per $1,000.00 of taxable assessed value. Section 2. September 10, 2007 is hereby established as the date for a public hearing on the tentative budget and proposed millage rate, to be held at 6 p.m., at the Aventura Government Center, 19200 West Country Club Drive, Aventura, Florida. Section 3. The City Clerk be and is hereby authorized and directed to place all necessary advertisements in accordance with Chapter 200, Florida Statutes, the Truth in Millage (TRIM) Bill. Section 4. This Resolution shall become effective immediately upon its adoption. The foregoing resolution was offered by Commissioner , who moved its adoption. The motion was seconded by Commissioner , and upon being put to a vote, the vote was as follows: Commissioner lev Auerbach Commissioner Bob Diamond Commissioner Teri Holzberg Commissioner Billy Joel Commissioner Luz Urbaez Weinberg Vice Mayor Michael Stern Mayor Susan Gottlieb Resolution No. 2007-33 Page 3 PASSED AND ADOPTED this 19th day of July, 2007. SUSAN GOTTLIEB, MAYOR ATTEST: TERESA M. SOROKA, MMC CITY CLERK APPROVED AS TO LEGAL SUFFICIENCY CITY ATTORNEY CITY OF AVENTURA FINANCE SUPPORT SERVICES DEPARTMENT FROM: port Services Director TO: DATE: July 11,2007 SUBJECT: Certification of Taxable Value/Dates for Public Hearings We received the Certification of Taxable Value from Miami Dade's Department of Property Appraisal on Friday, June 29th. A copy of the form is included as Attachment I. Taxable Value and Mileage Rates The Total Taxable Value of $9,609,881,719 is somewhat higher than the $9.26 billion estimate, which we received from the Property Appraisal Department on June 1 st. The form includes a breakdown of the increase in taxable value into two segments. The first segment is the increase in taxable value due to new construction of $249,604,052 (line 5 of the form). The second segment is the portion of the total increase which is due to increases in taxable value on existing property. This increase is computed as $1,387,874,403 by subtracting the $7,972,403,264 shown on line 7 from the $9,360,277,667 shown on line 6 of the form. The differentiation between the increase due to new taxable value (new construction) and the increase due to changes in taxable value of existing property is important because the latter determines the computation of the "rolled back tax rate". Section 200.065 (1), Florida Statutes, defines the "rolled back rate" as that millage rate "which, exclusive of new construction, additions to structures, deletions, increases in the value of improvements that have undergone a substantial rehabilitation... will provide the same ad valorem tax revenue... as was levied during the prior year". In simpler terms, the rolled back rate is the tax rate necessary to generate exactly the same dollar amount of tax levy as the previous year's levy had there been no growth or new construction in the City. The rolled back rate for Aventura for 2007 (the 2007/2008 fiscal year) is 1.8968 as shown on lines 15 and 24 of Attachment II. In past years, the rolled back rate was the most important number on the form because any levy above that rate requires us to publish a "Notice Of Proposed Tax Increase" in the Herald a few days before our second public hearing on the budget and property tax rate. The passage of House Bill 1 B (HB1 B) in June 2007 complicates the process of setting a millage rate. In addition, the State Department of Revenue (DOR) is still in the process of adopting rules and forms so I am not exactly sure what the advertisement before our second public hearing will look like. Page (2) Memo to City Manager Certification of Taxable Value/Dates for Public Hearings HB1 B was adopted by the Florida Legislature in Special Session in June 2007 and was enacted into Law by Governor Crist's signature on June 21,2007. This Legislation has been widely publicized as major property tax reform which will result in significant tax savings for all property taxpapers. While it will result in a significant reduction in the City, County Commission and most special districts millage rates, it excludes the School Board millage rate. I am, therefore, afraid most residents will be disappointed when they finally get the equivalent of the Notice to Proposed Property Taxes in late August. However, the City can only deal with its own tax rate. HB 1 B establishes that we can adopt any of three different millage rates. The rate that has been widely reported is the one which requires us to adopt a rate equal to the rolled back rate for 2007/08 (1.8968 per the Certification of Taxable Value) less a 9% reduction as a form of punishment for past years increases is taxable values. This tax rate is calculated on the "Municipality Maximum Millage Levy Calculation" form included as attachment 3 A. This rate (1.7261 mills) is the one used in our 2007108 Budget and requires only a majority vote of the City Commission to adopt. Attachments 3 Band 3 C show the other rates which the City could adopt pursuant to HB 1 B. The calculations on attachment 3 B is to adopt the roll back rate of 1.8968 mills and would require a super majority (5-2 in our case) vote of the City Commission. We could adopt our prior year rate of 2.2270 mills based on a unanimous rate of the City Commission as shown on attachment 3C. However based on the publicity surrounding the need for property tax reform and the expectations of our property taxpayers, the decision was made to propose the 1.7261 mills. After a 5% reduction to cover early payment discounts (up to 4% discount for November payments) plus possible Value Adjustment Board reductions, the proposed millage rate will generate the $15,758,236 of ad valorem taxes reflected on page 2-11 of the budget. You will note that this amount is $1,507,422 less than the $17,265,658 budgeted last year based on the rate of 2.2270 mills. Dates For Public Hearings Since we received the certification on June 30th (treated the same as July 1 st~ state law requires us to hold two public hearings between September 3rd and October 8 h. I spoke to the Property Appraisal Department today and they advised me that the County Commission's public hearings are scheduled for September 6th and 20th and that the School Board scheduled their hearing for September 5th. OUf meetings cannot conflict with these meeting dates. In addition, labor Day is observed on September 3rd, our regular Commission meeting is September 11th, Rosh Hashanah begins at Sundown on September 12th and Yom Kippur begins at Sundown on September 21st. Therefore, the most logical dates for our hearings are: Page (3) Memo to City Manager Certification of Taxable Value/Dates for Public Hearings First public hearing Second public hearing 6:00PM, Monday, September 10th 6:00PM, Wednesday, September 19th Since we need to include the date of the first meeting on the Certification of Taxable Value, we need to have a commitment from the Mayor and Commission by no later than the July 19th budget review meeting. The information contained in the preceding paragraphs is based on my review of the "Manual of Instructions for TRIM Compliance" published by the Division of Ad Valorem Tax of the Florida Department of Revenue and my review of the requirements of House Bill 1 B which was enacted in June 2007. Please feel free to call or stop by my office to discuss this matter. HMKljb SECTION I Certification of Taxable Value 2007 Year' County MIAMI-DADE Principal Authority CITY OF A VENTURA Taxing Authority: (1) Current Year Taxable Value of Real Property for Operating Purposes (2) Current Year Taxable Value of Personal Property for Operating Purposes (3) Current Year Taxable Value of Centrally Assessed Property for Operating Purposes (4) Current Year Gross Taxable Value for Operating Purposes (1) + (2) + (3) " (4) (5) Current Year Net New Taxable Value (New Construction + Additions + Rehabilitative Improvements Increasing Assessed Value By At Least 100% + Annexations + Total Tangible Personal Property Taxable Value In Excess of 115% of the Previous Year's Total Tangible Personal Property Taxable Value - Deletions) (6) Current Year Adjusted Taxable Value (4) - (5) (7) Prior Year FINAL Gross Taxable Value (From Prior Year Applicable Form DR-403 Series) (8) Enter number of Tax Increment Value Worksheets (DR-420TIF) attached (If none. enter 0) FOR OOR USE ONLY DR-420 R. 06/07 City TA: levy: ATTACHMENT 1 CITY OF A VENTlJRA $ $ $ $ 9,382,636,445 225,200,590 2,044,684 9,609,881,719 (1) (2) (3) (4) $ $ $ 249,604,052 9,360,277,667 7,972,403,264 (5) (6) (7) o 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 NIA or -0-. (9) Prior Year Operating Millage Levy (10) Prior Year Ad Valorem Proceeds (7) x (9) (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 (3)c or (4)a for all DR-420TIF forms (12) Adjusted Prior Year Ad Valorem Proceeds (10) - (11) (13) Dedicated Increment Value. if any Sum of either line (3)b or (4)e for all DR-420TIF forms (14) Adjusted Current Year Taxable Value (6) - (13) (15) Current Year Rolled-Back Rate (12) divided by (14) (16) Current Year Proposed Operating Millage Rate SECTION II (Month, and Year) $ $ per $1.000 (9) (10) $ $ $ $ $ $ (11) (12) (13) (14) (15) (16) per $1.000 per $1 ,000 (17) Check TYPE of Principal Authority (check one) D County D Municipality D Principal Authority DYes Dlndependent Sp Dist. Dwater Man. District DDep. Spec. Dist. DMSTU DNO (18) Check Applicable Taxing Authority (check one) (19) Is millage levied in more than one county? (check one) (20) Current Millage Levy for Voted Debt Service (21) Current Millage Levy for Other Voted Millage (22) Enter the Total Adjusted Prior Year Ad Valorem Proceeds of ALL Dependent Special Districts and MSTUs levying a millage. (The sum of Line (12) from each District's and MSTU's Form DR-420) (23) Total Adjusted Prior Year Ad Valorem Proceeds (12) + (22) (24) The Current Year Aggregate ROiled-Back Rate: (23) divided by (14) (25) Current Year Aggregate Rolled-Back Taxes (4) x (24) (26) Enter Total of all non-voted Ad Valorem Taxes proposed to be levied by the Principal Taxing Authority, all Dependent Districts, and MSTUs if any. Sum of line (16) x line (4) from all Form DR- 420s (27) Current Year Proposed Aggregate Millage Rate (26) divided by (4) (28) Current Year Proposed Rate as a Percent Change of Rolled-Back Rate: [(Line 27 divided by Line 24) - 1.00] x 100 Date, Time and Place of the First Public Budget Hearing: and telephone number: $ per $1.000 (20) $ per $1 ,000 (21) $ (22) $ (23) $ per $1 ,000 (24) $ (25) $ (26) $ per $1.000 (27) % (28) I do hereby certify the millages and rates shown herein to be correct to the best of my knowledge and belief. FURTHER, I certify that all millages comply with the provisions of Section 200.185 and 200.071 or 200.081, F.S. WITNESS my hand and official signature at ,Florida, this the day of Address of Physical location Signature and Title of Chief Administrative Officer (Month, and Year) Mailing Address Name of Contact Person City State Zip Phone # Fax# SEE INSTRUCTIONS ON REVERSE SIDE Instructions for Revised DR-420 DR-420 General Instructions: "Principal Authority" is a county, municipality, or independent special district (including water management districts). "Taxing Authority" is the entity levying the millage. This includes the principal authority, any special district dependent to the principal authority, and any county municipal service taxing unit (MSTU). Each taxing authority must submit to their property appraiser a DR-420 and the following forms as applicable: DR-420TIF - Tax Increment Financing DR-420C - Counties, including any dependent special districts and MSTUs DR-420M - Municipalities, including any dependent special districts DR-4201 - Independent special districts Section I: Property Appraiser Instructions A. Complete Section I for each county, municipality, independent special district, dependent special district, MSTU, and multi-county taxing authority. Send a signed original to each taxing authority and keep a copy. When the taxing authority returns the original signed DR-420 and their accompanying form(s), immediately send a copy to: Florida Department of Revenue Property Tax Administration Program - TRIM Section Post Office Box 3000 Tallahassee, Florida 32315-3000 B Complete lines (1) through (8). C. Use this form for all taxing authorities except school districts. D. Enter only taxable values that apply to the taxing authority indicated. Use a separate form for the principal authority and each dependent district and MSTU. Section II: Taxing Authority Instructions A. Complete Section II. Keep one copy, return your signed original to your Property Appraiser with the applicable DR-420TIF, C, M or I, within 35 days of certification. Send one copy to your tax collector. B. "Dependent special district" (ss. 200.001 (8)(d) and 189.403(2), F.S.) means a special district that meets at least one of the following criteria: (a) The membership of its governing body is identical to that of the governing body of a single county or a single municipality. (b) All members of its governing body are appointed by the governing body of a single county or a single municipality. (c) During their unexpired terms, members of the special district's governing body are subject to removal at will by the governing body of a single county or a single municipality. (d) The district has a budget that requires approval through an affirmative vote or can be vetoed by the governing body of a single county or a single municipality. C. "Independent special district" (ss. 200.001(8)(e) and 189.403(3), F.S.) means a special district that is not a dependent special district as defined above. A district thafincludes more than one county is an independent special district unless the district lies wholly within the boundaries of a single municipality. D. "Nonvoted millage" is any millage not defined as a "voted millage" in s. 200.001(8)(f), F.S. Additional Instructions for Lines: (5) Beginning in 2007, net new taxable value must include the total taxable value of tangible personal property within the jurisdiction over 115% of the previous year's total. See s. 200.065(1), F.S., as amended by chapter 2007-XXX, L.O.F., HB0001b. (8), (11) and (13) Beginning in 2007, adjustments to the calculation of the rolled-back rate must be made for tax increment values and payment amounts. See the instructions for form DR-420TIF, relating to Tax Increment Financing. Enter the number of DR-420TIF forms attached for the taxing authority on line (8). Enter 0 if none. On lines (11) and (13) carry forward values from the DR-420TIF forms. (21) Include voted levies over the 10 mill cap for a period not to exceed 2 years, (Article VII, Section 9(b), State Constitution). Do not include levies approved by referendum but not required under the State Constitution. (26) DO NOT include levies other than those derived from millage rates. DO NOT include voted debt service or other voted levies included on lines (20) or (21). SECTION I Certification of Taxable Value 2007 Year' County MIAMI-DADE Principal Authority CITY OF A VENTURA Taxing Authority (1) Current Year Taxable Value of Real Property for Operating Purposes (2) Current Year Taxable Value of Personal Property for Operating Purposes (3) Current Year Taxable Value of Centrally Assessed Property for Operating Purposes (4) Current Year Gross Taxable Value for Operating Purposes (1) + (2) + (3) = (4) (5) Current Year Net New Taxable Value (New Construction + Additions + Rehabilitative Improvements Increasing Assessed Value By At Least 100% + Annexations + Total Tangible Personal Property Taxable Value In Excess of 115% of the Previous Year's Total Tangible Personal Property Taxable Value - Deletions) (6) Current Year Adjusted Taxable Value (4) - (5) (7) Prior Year FINAL Gross Taxable Value (From Prior Year Applicable Form DR-403 Series) (8) Enter number of Tax Increment Value Worksheets (DR-420TIF) attached (If none, enter 0) FOR OOR USE ONLY City TA: Levy' A'ITACBMENT 2 CITY OF A VENTURA DR-420 R.06/07 $ $ $ $ 9,382,636,445 225,200,590 2,044,684 9,609,881,719 (1) (2) (3) (4) (5) (6) (7) I do hereby certify the values shown herein to be correct to the best of my knowledge and belief. Witness my hand and official signature at MIAMI-DADE COUNTY . Florida, this the 29th f JUNE, 200 (Month, and Year) "'-- $ $ $ 249,604,052 9,360,277 ,667 7 ,972,403,264 o TAXING AUTHORITY: If this portion of the fonn 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 NIA or -0-, (9) Prior Year Operating Millage Levy (10) Prior Year Ad Valorem Proceeds (7) x (9) (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 (3)c or (4)a for all DR-420TIF forms (12) Adjusted Prior Year Ad Valorem Proceeds (10) - (11) (13) Dedicated Increment Value. if any: Sum of either line (3)b or (4)e for all DR-420TIF forms (14) Adjusted Current Year Taxable Value (6) - (13) (15) Current Year Rolled-Back Rate (12) divided by (14) (16) Current Year Proposed Operating Millage Rate SECTION II $ $ 2, ~"2.. "10 ,'l,t;\..\- 5~;- I , -o- n . "l .; 'f- I S 4- 'Z.. -c- '-, ~\p (;. .)..,.., <.. to1 . . I \ .. 'ii'l\o~ per $1,000 \. .., ~b \ per $1.000 $ $ $ $ $ $ (17) Check TYPE of Principal Authority (check one) D County ~MuniciPality OOPnncipal Authority DYes Dlndependent Sp. Dist Dwater Man. District DDep. Spec. Dist DMSTU [1] No (18) Check Applicable Taxing Authority (check one) (19) Is millage levied in more than one county? (check one) per $1.000 (9) (10) (11 ) (12) (13) (14) (15) (16) (20) Current Millage Levy for Voted Debt Service (21) Current Millage Levy for Other Voted Millage (22) Enter the Total Adjusted Prior Year Ad Valorem Proceeds of ALL Dependent Special Districts and $ MSTUs levying a millage. (The sum of Line (12) from each District's and MSTU's Form DR-420) (23) Total Adjusted Prior Year Ad Valorem Proceeds: (12) + (22) $ (24) The Current Year Aggregate Rolled-Back Rate. (23) divided by (14) $ (25) Current Year Aggregate Rolled-Back Taxes (4) x (24) $ (26) Enter Total of all non-voted Ad Valorem Taxes proposed to be levied by the Principal Taxing Authority, all Dependent Districts. and MSTUs if any. Sum of line (16) x line (4) from all Form DR- 420s $ (27) Current Year Proposed Aggregate Millage Rate: (26) divided by (4) $ (26) Current Year Proposed Rate as a Percent Change of Rolled-Back Rate: [(Line 27 divided by Line 24) - 1.00] x 100 C. Date, Time and Place of the First Public Budget Hearing: and tele hone number: ~ i~^oc \tJ . ~-\.r Signature and Title of Chief Administrative Officer $ $ - 0- per $1.000 (20) -0 per $1.000 (21) -0 -- (22) \,1 , 'I c; '\ '5--+"1- (23) \.~~\'<6 per $1 ,000 (24) \ cg I '2,~"6 c :t. ~ (25) . J (26) Mailing Address tl. \ ~~E')l (.l 1] \. '1~lc \ per $1 ,000 (27) ~%(26) ~'Ct fYl)' QO (Month. and Year) City State Zip SEE INSTRUCTIONS ON REVERSE SIDE Address of Physical Location Name of Contact Person Phone # Fax# Instructions for Revised DR-420 DR-420 General Instructions: "Principal Authority" is a county, municipality, or independent special district (including water management districts). "Taxing Authority" is the entity levying the millage. This includes the principal authority, any special district dependent to the principal authority, and any county municipal service taxing unit (MSTU). Each taxing authority must submit to their property appraiser a DR-420 and the following forms as applicable: DR-420TIF - Tax Increment Financing DR-420C - Counties, including any dependent special districts and MSTUs DR-420M - Municipalities, including any dependent special districts DR-4201 - Independent special districts Section I: Property Appraiser Instructions A Complete Section I for each county, municipality, independent special district, dependent special district, MSTU, and multi-county taxing authority. Send a signed original to each taxing authority and keep a copy. When the taxing authority returns the original signed DR-420 and their accompanying form(s), immediately send a copy to: Florida Department of Revenue Property Tax Administration Program - TRIM Section Post Office Box 3000 Tallahassee, Florida 32315-3000 B. Complete lines (1) through (8). C. Use this form for all taxing authorities except school districts. D. Enter only taxable values that apply to the taxing authority indicated. Use a separate form for the principal authority and each dependent district and MSTU. Section II: Taxing Authority Instructions A Complete Section II Keep one copy, return your signed original to your Property Appraiser with the applicable DR-420TIF, C, M or I, within 35 days of certification. Send one copy to your tax collector. B. "Dependent special district" (ss. 200.001(8)(d) and 189.403(2), F.S.) means a special district that meets at least one of the following criteria: (a) The membership of its governing body is identical to that of the governing body of a single county or a single municipality. (b) All members of its governing body are appointed by the governing body of a single county or a single municipality. (c) During their unexpired terms, members of the special district's governing body are subject to removal at will by the governing body of a single county or a single municipality. (d) The district has a budget that requires approval through an affirmative vote or can be vetoed by the governing body of a single county or a single municipality. C. "Independent special district" (ss. 200.001(8)(e) and 189.403(3), F.S.) means a special district that is not a dependent special district as defined above. A district that includes more than one county is an independent special district unless the district lies wholly within the boundaries of a single municipality. D. "Nonvoted millage" is any millage not defined as a "voted millage" in s. 200.001 (8)(f), F.S. Additional Instructions for Lines: (5) Beginning in 2007, net new taxable value must include the total taxable value of tangible personal property within the jurisdiction over 115% of the previous year's total. See s. 200.065(1), F.S., as amended by chapter 2007-XXX, L.O.F., HB0001 b. (8), (11) and (13) Beginning in 2007, adjustments to the calculation of the rolled-back rate must be made for tax increment values and payment amounts. See the instructions for form DR-420TIF, relating to Tax Increment Financing. Enter the number of DR-420TIF forms attached for the taxing authority on line (8). Enter 0 if none. On lines (11) and (13) carry forward values from the DR-420TIF forms. (21) Include voted levies over the 10 mill cap for a period not to exceed 2 years, (Article VII, Section 9(b), State Constitution). Do not include levies approved by referendum but not required under the State Constitution. (26) DO NOT include levies other than those derived from millage rates. DO NOT include voted debt service or other voted levies included on lines (20) or (21). 2. 3. 4. 5. MUNICIPALITY MAXIMUM MILLAGE LEVY CALCULATION DR-420 M-P N 07trl7 PRELIMINARY DISCLOSURE ATTACHMENT 3A h 00"1 Municipality: e; r~ 0 ~ f:\,,~{c......r CA- '-- II e:"....l....J c c \ County fY\ \ ~ \ - \,.:)(... ,,,"- Taxing Authority: :..:..,J.. \' ~ -..3 ~ '\-V-f" 0... ;,.*i~!foii#..~.tQ#e)~~~p~~~~.~or~llmlJ~l~paI9b"l!f'"~el1~.'~J1d~p.Ci~J~.8~r1~~~P.~<I#~tt9.m~~I~i~iiW.~~~Ptthe~".(I~'~?~th,lt ~dqm'l1.m'I!.J1f?~'ql1<lf~i~!:l'lJ.~oprov!~. eme"gen~YIll~il;aiC)rflre~cUelJliIrviC;etl...'..;...;<i .......;.....<..i<.. ........... ..............i. ........ '.'. .;.<. ..;.;....... ;. 1. Has the municipality levied ad valorem taxes for less than five years? o YES: STOP HERE. Sign below and submit. Municipality is not subject to a limitation on millage in FY 2007-08. ~ NO: Go to line 2. Current Year Gross Taxable Value for Operating Purposes from Form DR-420, Line 4.................. ......$ 9. \., cq, "61. \ I ., \ '\ (2) Prior Year Operating Millage Levy from Form DR-420, Line 9.... .................................. .........$ ~. 2. ~ ., 0 per $1 ,000 (3) Current Year Rolled-Back Rate from Form DR420, Line 15 . ................................................ ..........$ \ ""'1 r. g per $1 ,000 (4) Compound annual growth rate in total per capita taxes levied of the municipality from FY 2001-02 to 2006-07. (see instructions) ......... .................... .............................. ................. 6. Percentage of rolled-back rate allowed to be levied by a majority vote of the governing body. (see instructions) 7. Is the municipality a "municipality of special financial concern"? (see instructions) (Check one) 0 YES ~ NO 8. Did the municipality first levy ad valorem taxes in FY 2002-03? t8J,.YES 0 NO 9. Current Year Proposed Operating Millage Rate from Form DR-420, Line 16...... ................ .........................$ 10. Current Year Proposed Taxes (multiply Line 9 by Line 2) ..... ............................ ................. ......$ 11. Current Year Proposed Operating Millage Rate to be adopted by: (Check one) ~ Majority vote of the governing body .Maximum millage rate on Line 12 equal to percentage on Line 6 times the rolled-back rate on Line 4 o Two-thirds vote of the governing body .Maximum millage rate on Line 12 equal to the rolled-back rate on Line 4 o Unanimous vote of the governing body (or 3/4 vote if governing body has nine or more members) .Maximum millage rate on Line 12 equal to the prior year's operating millage rate on Line 3 o By referendum .Maximum millage rate on Line 12 as approved by referendum You must provide a final Form DR-420 M with the final ordinance and voting record to the Department of Revenue after the final hearing. 12. The selection on Line 11 allows a maximum millage rate of: ............................... ........................................$ \ ., ,),.(0 \ per $1 ,000 (12) 13. Taxes levied at maximum millage rate (multiply Line 12 by Line 2) ................. .........................................$, \P, S"1l '1, '" 11 (13) NOTE: The proposed rate on Line 9 must be equal to or less than the maximum millage rate on Line 12, UNLESS: the sum of the proposed taxes to be levied by the and all of its dependent special districts is less than or equal to the sum of the maximum taxes that could be levied by the and its districts. See Line 19 of the Form DR420 M-P. . Year \'l.. S q, % (5) % (6) l .' "'~ \ per $1 ,000 (9) It,/~~ I b 1"1 (10) 14. Is the proposed millage rate to be approved by a referendum of the voters? Total Proposed Taxes Levied: 15. Enter the Current Year Proposed Taxes of ALL Dependent Special Districts levying a millage. (The sum of Line 10 from each District's Form DR420 M-P) ................................................. ................ .............$ 16. Total Current Year Proposed Taxes (add Line 10 and Line 15).................................................................. ..........$ Total Maximum Taxes: 17. Enter the Taxes at the Maximum Millage for ALL Dependent Special Districts levying a millage. (The sum of Line 13 from each District's Form DR-420 M-P) ............. .......................................................... ...$ 18. Total Taxes at Maximum Millage Rate (add Line 13 and Line 17) ..........................................................................$ Total Maximum vs. Total Proposed Taxes Levied: 19. Are the total cu~t year proposed taxes on Line 16 less than or equal to the total taxes at maximum millage rate on Line 18? (Check one) ~ YES: Proposed taxes levied comply with law. o NO: Proposed taxes levied DO NOT comply with law. If Line 16 is more than Line 18 on your Form DR-420 M following your final hearing, you will lose the half-cent sales tax distribution. - <::) .- 1(, g S<b '? I (,. \~ (15) (16) -o.~ (17) (18) \"',~", '7, '- ,., Complete and submit this preliminary Form DR-420 M-P to the property appraiser. After you have adopted millage rates and budgets, you must give the Department of Revenue a final Form DR-420 M after the final hearing. I certify the millages and rates shown are correct to the best of my knowledge and belief. Signature and Title of Chief Administrative Officer Address of Physical Location Mailing Address Name of Contact Person City State Zip Phone # Fax # MUNICIPALITY MAXIMUM MILLAGE LEVY CALCULATION DR-420 M-P ,." 07/07 PRELIMINARY DISCLOSURE ATTACHKENT 3B Year :1..cc \, Municipality C:\':'Y... f ~..\.-.....r ~-" County fY'\,;:.....:" - \:)o...~ TaxingAuthority C'~~ \J ~ ~~......... J"'I~;1~rW.~t.p.~~;epfuB\&1e~;f,ol'i111' .!t'ltniCjPlll~6y~tllrnftri~....C1n~i~p.ei~l~j~!1'1.~~9~p~ncltlfj~itQlIn1~~i~ip~lity~xeelWtJ)o~~.d~tri(;~'the 'pre~pmirtilm"unl':tjprl.()fW!l~{1is;t.o:provi~eftIl1ElrQenI':Yl11e~h~1l1PrllremSellEl~ftl'\llcftlk . .' '. 1. Has the municipality levied ad valorem taxes for less than five years? D YES STOP HERE Sign below and submit. MUnicipality is not subject to a limitation on millage in FY 2007-08 D NO Go to line 2. Current Year Gross Taxable Value for Operating Purposes from Form DR-420. Line 4 . Prior Year Operating Millage Levy from Form DR-420, Line 9.. Current Year Rolled-Back Rate from Form DR-420, Line 15. Compound annual growth rate in total per capita taxes levied of the municipality from FY 2001-02 to 2006-07. (see instructions). 6. Percentage of rolled-back rate allowed to be levied by a majority vote of the governing body. (see instructions) 7. Is the municipality a "municipality of special financial concern"? (see instructions) (Check one) DYES D NO 8. Did the municipality first levy ad valorem taxes in FY 2002-03? DYES D NO 9. Current Year Proposed Operating Millage Rate from Form DR-420, Line 16. 10. Current Year Proposed Taxes (multiply Line 9 by Line 2) ..... 11. Current Year Proposed Operating Millage Rate to be adopted by (Check one) D Majority vote of the governing body .Maximum millage rate on Line 12 equal to percentage on Line 6 times the rolled-back rate on Line 4 ~ Two-thirds vote of the governing body .Maximum millage rate on Line 12 equal to the rolled-back rate on Line 4 D Unanimous vote of the governing body (or 3/4 vote if governing body has nine or more members) .Maximum millage rate on Line 12 equal to the prior year's operating millage rate on Line 3 D By referendum .Maximum millage rate on Line. 12 as approved by referendum You must provide a final Form DR-420 M with the final ordinance and voting record to the Department of Revenue after the final hearing. 12. The selection on Line 11 allows a maximum millage rate of: ....... ........ . ...... .......$ \, <belt..~ per $1,000 (12) 13. Taxes levied at maximum millage rate (multiply Line 12 by Line 2). ...$ \q 1"'2..'2.~. o;..'-l (13) NOTE: The proposed millage rate on Line 9 must be equal to or less than the maximum millage rate on Line 12. UNLESS: the sum of the proposed taxes to be levied by the municipality and all of its dependent special districts is less than or equal to the sum of the maximum taxes that could be levied by the municipality and its dependent special districts. See Line 19 of the municipality's Form DR-420 M-P. $ .. .. .. $ $ ~ , \" ~ ~ .~ ~ ) 11 i'1 (2) 2. .2-?" '70 per $1.000 (3) \.~'1'!o<;S per$1,000 (4) 2. 3. 4. 5. ,'2. .S ~\ % (5) % (6) . ..... . ... .........$ ..$ \.~ ~ to i per $1,000 (9) \<"6 -z.. L <6 0 ;,a. * (10) I J 14. Is the proposed millage rate to be approved by a referendum of the voters? Total Proposed Taxes Levied: 15. Enter the Current Year Proposed Taxes of ALL Dependent Special Districts levying a millage. (The sum of Line 10 from each District's Form DR-420 M-P) . ... . ......... 16. Total Current Year Proposed Taxes (add Line 10 and Line 15) .................... Total Maximum Taxes: 17. Enter the Taxes at the Maximum Millage for ALL Dependent Special Districts levying a millage. (The sum of Line 13 from each District's Form DR-420 M-P) 18. Total Taxes at Maximum Millage Rate (add Line 13 and Line 17).. Total Maximum vs. Total Proposed Taxes Levied: 19. Are the total current year proposed taxes on Line 16 less than or equal to the total taxes at maximum millage rale on Line 18? (Check one) D YES: Proposed taxes levied comply with law. D NO: Proposed taxes levied DO NOT comply with law. If Line 16 is more than Line 18 on your Form DR-420 M following your final hearing, you will lose the half-cent sales tax distribution. YES: STOP HERE. Sign below and submit. . .$ HH$ ~ 0'- \ <b I 'J... ~ 1) CJ'J.. '-\ I (15) (16) ....$ .HHH...$ -- 0- \ <tJ I 'J.. "}.- "b., ~ OJ,. * (17) (18) Complete and submit this preliminary Form DR-420 M-P to the property appraiser. After you have adopted millage rates and budgets, you must give the Department of Revenue a final Form DR-420 M after the final hearing. I certify the millages and rates shown are correct to the best of my knowledge and belief. Signature and Title of Chief Administrative Officer Address of Physical Location Mailing Address Name of Contact Person City State Zip Phone # Fax # 2. 3. 4. 5. MUNICIPALITY MAXIMUM MILLAGE LEVY CALCULATION PRELIMINARY DISCLOSURE . c ATTACIIMKNT 3C Year :Zcc 11 Municipality C: ".\y ., r ~.~ ,;..... County {Y\t;""":'l - ~o-,~ TaxingAuthority C',+y v~ ~~c'- th,~!f~!'\"Il~'t~'~~.cpOjpi#ti!df,Gri\llfIlurtle:jpa190"'~"llrll~ri~.'.i\n.d.~pijcilli.~i$tri~.~~p~~d~ri.:tg,j'i11ti~i~iPlllity9xc;i!pttIU)S~ldi$*l'i#~th~ pl'e~()mi'1ai!ttu~ti~l'!~fW!li9IlisJopr()vi~eemergell(:Ymedic.i\lorfjrerEl$t:ue.$~l'Vlt:e$; . .... .' 1. Has the municipality levied ad valorem taxes for less than five years? D YES STOP HERE Sign below and submit Municipality is not subject to a limitation on millage in FY 2007-08. D NO.Gotoline2 Current Year Gross Taxable Value for Operating Purposes from Form DR-420, Line 4. Prior Year Operating Millage Levy from Form DR-420, Line 9.. Current Year Rolled-Back Rate from Form DR-420. Line 15 .. Compound annual growth rate in total per capita taxes levied of the municipality from FY 2001-02 to 2006-07. (see instructions).. 6. Percentage of rolled-back rate allowed to be levied by a majority vote of the governing body. (see Instructions) 7. Is the municipality a "municipality of special financial concern"? (see instructions) (Check one) DYES D NO 8. Did the municipality first levy ad valorem taxes in FY 2002-03? DYES D NO 9. Current Year Proposed Operating Millage Rate from Form DR-420, Line 16. . 10. Current Year Proposed Taxes (multiply Line 9 by Line 2) . 11. Current Year Proposed Operating Millage Rate to be adopted by (Check one) D Majority vote of the governing body --Maximum millage rate on Line 12 equal to percentage on Line 6 times the rolled-back rate on Line 4 D Two-thirds vote of the governing body --Maximum millage rate on Line 12 equal to the rolled-back rate on Line 4 ~ Unanimous vote of the governing body (or 314 vote if governing body has nine or more members) ....Maximum millage rate on Line 12 equal to the prior year's operatmg millage rate on Line 3 D By referendum ....Maximum millage rate on Line 12 as approved by referendum You must provide a final Form DR-420 M with the final ordinance and voting record to the Department of Revenue after the final hearing. 12. The selection on Line 11 allows a maximum millage rate of ...........$ -z... d-~~ () per $1 ,000 (12) 13. Taxes levied at maximum millage rate (multiply Line 12 by Line 2) . ...... .................. ..$],,1, '+() \ . '2--0 ~7 (13) NOTE: The proposed millage rate on Line 9 must be equal to or less than the maximum millage rate on Line 12, UNLESS: the sum of the proposed taxes to be levied by the municipality and all of its dependent special districts is less than or equal to the sum of the maximum taxes that could be levied by the and its dependent special districts. See Line 19 of the municipality's Form DR-420 M-P. DR-420 M-P N 07107 $ .. .............$ $ 9 . '" <:; q ,~ ~ I,' ,q (2) 2. ,2.'2" "Tc per $1 ,000 (3) \ ,~'1'!>'6 per$1,000 (4) ,'z. .S <-'1\ % (5) % (6) ...$ . . ..$ z .2.:A -Z 0 per $1 ,000 (9) 2.1, % 1)2-0'1 (10) 14. Is the proposed millage rate to be approved by a referendum of the voters? Total Proposed Taxes Levied: 15. Enter the Current Year Proposed Taxes of ALL Dependent Special Districts levying a millage. (The sum of Line 10 from each District's Form DR-420 M-P). .... ....... ............. 16. Total Current Year Proposed Taxes (add Line 10 and Line 15).. Total Maximum Taxes: 17. Enter the Taxes at the Maximum Millage for ALL Dependent Special Districts levying a millage. (The sum of Line 13 from each District's Form DR-420 M-P) ................. ................ .. $ - 0 - 18. Total Taxes at Maximum Millage Rate (add Line 13 and Line 17)...... ............. . ..$ A'. ~(j \ I )...0 .., Total Maximum vs. Total Proposed Taxes Levied: 19. Are the total current year proposed taxes on Line 16 less than or equal to the total taxes at maximum millage rate on Line 18? (Check one) D YES: Proposed taxes levied comply with law. D NO: Proposed taxes levied DO NOT comply with law. If Line 16 is more than Line 18 on your Form DR-420 M following your final hearing, you will lose the half-cent sales tax distribution. Sign below and submit. NO: Go to Line 15. ...$ ~ 0- ....$ '''2...\ I ~ \, ')..<0 '( (15) (16) (17) (18) Complete and submit this preliminary Form DR-420 M-P to the property appraiser. After you have adopted millage rates and budgets, you must give the Department of Revenue a final Form DR-420 M after the final hearing. I certify the millages and rates shown are correct to the best of my knowledge and belief. Signature and Title of Chief Administrative Officer Address of Physical Location Mailing Address Name of Contact Person City State Zip Phone # Fax# CITY OF AVENTURA OFFICE OF THE CITY MANAGER MEMORANDUM TO: City Commission FROM: Eric M. Soroka, ICMA-CM, Ci r DATE: July 13, 2007 SUBJECT: Resolution Adopting in Principle the Capital Improvement Program Document 2007/08 to 2011/12 July 19, 2007 City Commission Meeting Agenda Item ~ RECOMMENDATION It is recommended that the City Commission adopt the attached Resolution adopting, in principle, subject to annual revision and authorization, the Capital Improvement Program for 2007/08 to 2011/12 BACKGROUND The 2007/08 to 2011/12 Capital Improvement Program document was reviewed at the May Commission Workshop Meeting. At that time due to the uncertainly regarding the tax reform legislation a detailed financing plan was not submitted with the original document. The attached document now includes the financing plan based on the recently enacted tax reform legislation. If you have any questions, please feel free to contact me. EMS/act Attachment RESOLUTION NO. 2007-34 A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF AVENTURA, FLORIDA, ACCEPTING AND ADOPTING IN PRINCIPLE, SUBJECT TO ANNUAL REVISION AND AUTHORIZATION, THE CITY OF A VENTURA CAPITAL IMPROVEMENT PROGRAM DOCUMENT FOR FISCAL YEAR 2007/08 TO 2011/12 AUTHORIZING THE CITY MANAGER TO DO ALL THINGS NECESSARY TO CARRY OUT THE AIMS OF THIS RESOLUTION; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the Capital Improvement Program document for fiscal years 2007/08 to 2011/12, attached hereto was presented and recommended to the City Commission of the City of Aventura by the City Manager as a long term plan of proposed capital expenditures, the means and methods of financing the projects and an action plan for the implementation of the projects; and WHEREAS, the City Commission recognizes the need to adopt a Capital Improvement Program to address Beautification and Parks, Transportation, Drainage and Infrastructure Improvements, Public Buildings and Facilities, Information Technology and Capital Equipment Purchase and Replacement which represents a commitment by the community toward achievement and maintenance of a desirable high quality of life for all residents; and WHEREAS, the City Commission recognizes the need to formulate a Capital Improvement Program which adopts a sound financing plan. WHEREAS, the City Commission has reviewed the Capital Improvement Program document at a public meeting of the City Commission and wishes to adopt said document in concept. Resolution No. 2007-34 Page 2 NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF AVENTURA, FLORIDA, THAT: Section 1. The City Commission hereby accepts and adopts in principle, subject to annual revisions and authorization, the City of Aventura Capital Improvement Program document for fiscal years 2007/08 to 2011/12 attached hereto and incorporated herein as specifically as if set out at length herein. Section 2. The City Manager be and the same is hereby authorized to do all things necessary and expedient in order to carry out the aims of this Resolution. Section 3. This Resolution shall take effect immediately upon adoption. The foregoing resolution was offered by Commissioner , who moved its adoption. The motion was seconded by Commissioner , and upon being put to a vote, the vote was as follows: Commissioner lev Auerbach Commissioner Bob Diamond Commissioner Teri Holzberg Commissioner Billy Joel Commissioner Luz Urbaez Weinberg Vice Mayor Michael Stern Mayor Susan Gottlieb Resolution No. 2007-34 Page 3 PASSED AND ADOPTED this 19th day of July, 2007. SUSAN GOTTLIEB, MAYOR ATTEST: TERESA M. SOROKA, MMC CITY CLERK APPROVED AS TO LEGAL SUFFICIENCY CITY ATTORNEY City of Aventura FUNDING PLAN INTRODUCTION In order for a Capital Improvement Program to be an effective management planning tool, the program must include not only a compilation of major capital needs and their costs but also a financing plan for the entire life of the program. This financing plan must include an analysis of the available resources which will be used to fund not only the Capital Improvement Program itself but the required operating expenses and debt service requirements of the City. In order to ensure that the financing plan is complete in every respect, the plan formulation process must include: 1. A projection of revenues and resources which will be available to fund operating and capital expenditures during the life of the Capital Improvement Program. 2. A projection of future years' operating expenditure levels which will be required to provide ongoing services to City residents. 3. Once the Capital Improvement Program projects have been evaluated, a determination is made of the projects to be funded and the timing of the cash outflow for each project. The information is then tabulated to determine the amounts required to fund the Capital Improvement Program for each year. 4. From the information obtained in 1 through 3 above, the additional resources required to fund the CIP will be determined and a decision will be made on whether the program is to be financed by the issuance of debt, on a pay-as-you-go basis or some combination of the two. The financing plan prepared in such a manner will be as accurate as possible and should be an informative document to all City residents. However, due to the uncertainty involved in projecting operating cost increases, the community's desire for service increases and the inflow of resources over a five year period, the financing plan presented should be viewed as a theoretical framework to be adjusted each year based on the most recent information available at that time. This will be accomplished by updating the financing plan each year, adopting operating and capital budgets, and ordinances to implement fee structures which will be required to fund the program each year. DEBT VS PAY-AS-YOU-GO FINANCING Debt financing through the issuance of long term bonds is most appropriate when: 1. There are a small number of relatively large dollar value projects. Capital Improvement Program 2007-2012 Page 9 City of Aventura - 2. The large projects cannot be broken into segments and the costs distributed over a larger time frame without impairing the usefulness of the project. 3. The projects are non-recurring. 4. Assets acquired have a relatively long useful life which equals or exceeds the life of the debt. Through long term bond financing, the costs of a project having a long useful life can be shared by future residents who will benefit from the projects. In contrast, pay-as-you-go financing is most appropriate for a Capital Improvement Program which includes: 1. A large number of projects having a relatively small dollar value. 2. Projects which can be broken into phases with a portion completed each year without impairing the overall effectiveness of the project. 3. Projects which are of a recurring nature. 4. Projects where the assets acquired will have relatively short useful lives. The primary advantage of pay-as-you-go financing is that the interest costs and costs of bringing a bond issue to market can be avoided. However, if inappropriately used, this financing plan may cause tax rates and fee structures to increase suddenly and may result in current residents paying a greater portion of projects which benefit future residents. In summary, the choice of the appropriate financing plan will be contingent upon an analysis of the projects to be included in a Capital Improvement Program. REQUIRED SEPARATION OF FUNDING SOURCES In order to comply with accepted governmental accounting practices and to ensure compliance with City Codes and any related Bond Indentures, the analysis and financing plan contained herein will be presented within their respective funds. Projects funded on a pay-as-you-go basis will directly relate to the Capital Fund Budget from where the source of funding is derived. Each of these Budgets will appear in the Annual Operating and Capital Improvement Budget, which is adopted each year. Those funds are currently represented as follows: 1 . General Fund 2. Transportation and Street Maintenance Fund Capital Improvement Program 2007-2012 Page 10 City of Aventura 3. Police Impact Fee Fund 4. Park Development Fund 5. Stormwater Utility Fund In accordance with accounting, legal and internal revenue requirements, all projects to be completed with the proceeds received from the sale of Bonds or loans will be accounted for in a Capital Construction Fund or Stormwater Utility Fund. In addition, capital outlay for the Charter School is included in a separate Budget adopted by the City Commission. SUMMARY OF FINANCING PLAN MODEL Detailed funding plans for individual funds of the City are enclosed herein in the following sections. The following represents an overview of the major points of the recommended funding plan: 1. Utilize "pay - as - you - go" financing through annual appropriations to fund the total five year amount of $17,327,909. No additional debt is recommended. 2. Utilize funding from impact fees in the amount of $1,237,181 to assist in the funding of the park projects and police equipment. 3. Rolls back property tax revenues based on recently enacted tax reform proposals by the State legislature. Capital Improvement Program 2007-2012 Page 11 City of Aventura . PROPOSED FINANCING PLAN GENERAL FUND After evaluating the nature of the various projects that are included in the City's General Capital Improvement Program, it was decided that pay-as-you-go would be most appropriate for funding the program. FINANCING PLAN TABLES Based on this decision, the analysis which follows is aimed at developing a financing plan which will allow the City to fund General Government Services operating expenditures and all projects recommended for funding in the General Capital Improvement Program for each year of the program. Table 1 presents a five (5) year projection of resources which will be available for General Government Services. Unless shown by an asterisk (*), the amount projected for each revenue is based on the tax rate or fee structure in effect during the 2006/07 fiscal year. Revenue descriptions followed by an asterisk (*) were computed based on a projected increase in the rate structure as discussed in the assumption of projections. Table 2 presents a five (5) year projection of required operating expenses for General Government Services which utilize the cost data as outlined in the assumption of projections. Table 3 is a recap of resources available to fund the General Capital Improvement Program based on projected revenues and expenditures and the proposed Capital Improvement Program appropriations for the five (5) years of the program. Please note that this analysis assumes that all available resources not needed to fund current operating expenditures will be transferred to the Capital Improvement Program Fund and that any balance in the Capital Improvement Program Fund will remain in the Capital Improvement Program. Through this process, the City will be able to accumulate a reserve which would be used to fund unexpected capital outlays or to fund future years' programs. Capital Improvement Program 2007-2012 Page 12 City of Aventura TABLE 1 PROJECTION OF RESOURCES AVAILABLE FOR GENERAL GOVERNMENT SERVICES 2006/2007 2007/2008 200812009 2009/10 2010/11 2011/12 CURRENT YEAR REVENUES AVAILABLE FOR GENERAL GOVERMENT SERVICES AD VALOREM TAXES $17.272,658 $15,758.236 $14.888,565 $15,335,222 $15.795.279 $16.269.137 (a) FPL FRANCHISE FEES 2,191.840 2,406,000 2,478,180 2.552,525 2,629,101 2.707,974 (b) FPL FRANCHISE FEES Back Payment 550,000 550,000 FRANCHISE FEES 374.000 450,000 463,500 477,405 491,727 506.479 (e) UTILITY TAXES 5.849,710 6.025.201 6,205.957 6.392,136 6,583.900 6,781.417 (d) CITY BUSINESS LICENSES 650.000 656,500 663,065 669,696 676.393 683,157 (e) BUILDING RELATED REVENUE 1.200,000 1,100.000 800,000 500,000 500,000 500.000 (I) STATE SHARED REVENUES.UNRESTRICTED 345,500 454,000 469,890 486.336 503,358 520,975 (g) HALF CENT SALES TAX 1,654,000 1,900,000 1,966,500 2.035.328 2,106.564 2.180,294 (h) CHARGES FOR SERVICES 1.025,000 1,060.875 1,098,006 1,136,436 1,176.211 1.217,378 (i) FINES AND FORFEITURES 215.000 260.000 267.800 275,834 284,109 292,632 U) BILLBOARD REVENUES 150,000 150,000 150,000 150,000 150,000 MISC. REVENUES 40,000 150,000 150.000 150.000 150.000 150,000 INTEREST ON INVESTMENTS 450.000 550,000 569,250 589.174 609,795 631,138 COUNTY OCCUPATIONAL LICENSES 25,000 32.000 32 000 32.000 32.000 32,000 TOTAL CURRENT YEAR REVENUES $31,842.708 $31,502,812 $30.202,713 $30,782.092 $31.688,437 $32,622,582 TRANSFERS FROM E911 FUND 51,000 52,785 54.632 56.545 58,524 60,572 TRANSFERS FROM TRANSPORTATION FUND 651,203 TRANSFERS FROM SCHOOL FUND 30.000 30,000 31,050 282,137 292,012 302.232 TOTAL AVAILABLE $ 32,574.911 $ 31.585,597 $ 30.288.396 $ 31 ,120,773 $ 32,038.972 $ 32,985.386 NOTES TO ASSUMPTION OF PROJECTIONS (a) Ad valorem Tax revenue will reflect state property tax reform legislation and will grow at the rate of 3%. (b) FPL Franchise Fees from Dade County will grow at the rate of 3% per year. (c) Franchise fees will grow at the rate of 3 % per year. (d) Utility taxes will grow at the rate of 3% per year. (e) Business License Tax will grow at the rate of 1.0% per year. (f) Building related revenues will decrease beginning in 2007/08 and level off at $500,000 per year in 2011. (g) State shared revenues will grow at the rate of 3.5% per year. (h) Half-cent sales tax will grow at the rate of 3.5% per year. (i) Charges for services will grow at the rate of 3.5% per year. U) Fines & forfeitures will grow at the rate of 3% per year. Capital Improvement Program 2007-2012 Page 13 City of Aventura TABLE 2 PROJECTION OF OPERATING EXPENDITURES FOR GENERAL GOVERNMENT SERVICES DEPARTMENT 2006/07 2007/08 2008/09 2009/10 2010/11 2011/12 City Commission $115,188 115,404 $ 117,712 $ 120,066 $ 122,467 $ 124,916 Office of the City Manager 825,567 845,152 912,764 985,785 1,064,647 1,149,819 Finance Support Services 824,916 820,279 885,901 956,773 1,033,315 1,115,981 Information Technology 670,501 719,712 784,486 855,090 932,048 1,015,933 Legal 280,000 280,000 285,600 291.312 297,138 303,081 City Clerk 287,986 259,965 318,162 300,434 361,464 386,766 Pu bllc Safety 12,002,038 12,372,193 13,485,690 14,699,402 16,022,348 17,464,360 Community Development 1,796,423 1 ,643,469 1,466,729 1,525,399 1,586,414 1,649,871 Community Services 4,953,864 4,161,763 4,536,321 4.944,590 5,389,603 5,874.668 Non - Departmental 2,172,517 1 ,661.000 1 ,810.490 1.973,434 2,131,309 2,301.814 TOTAL PROJECTED OPERATING EXPENDITURES GENERAL GOVERNMENTAL SERVICES $ 23,929,000 $ 22,878,936 $ 24,603,856 $ 26,652,285 $ 28,940,755 $ 31.387.208 General Fund Transfer to 1999 Debt Service 1,365,000 1,365,000 1,365,000 1,365,000 1,365,000 1,365,000 General Fund Transfer to 2000 Debt Service 485,000 485,000 485,000 485,000 485,000 485,000 General Fund Transfer to 2002 Debt Service 400,000 400.000 400 , 000 400,000 400,000 400.000 TOTAL PROJECTED DEBT SERVICE REQUIREMENTS 2,250,000 2,250,000 2,250,000 2,250,000 2,250,000 2,250,000 TOTAL PROJECTED EXPENDITURES $ 26,179,000 $ 25,128,936 $ 26,853,856 $ 28,902,285 $ 31,190,755 $ 33,637.208 NOTES TO ASSUMPTION OF PROJECTIONS Operating expenditures will decrease by 4.4% in 2007/08 and increase between 7.5% to 8.5% thereafter. Capital Improvement Program 2007-2012 Page 14 City of Aventura TABLE 3 RECAP OF AVAILABLE RESOURCES vs PROPOSED APPROPRIATIONS GENERAL FUND CAPITAL IMPROVEMENT PROGRAM 2007/08 2008/09 2009/10 2010/11 2011/12 TOTAL PROJECTED AVAILABLE RESOURCES $31,585,597 $30,288,396 $31,120,773 $32,038,972 $32,985,386 PROJECTED OPERATING EXPENDITURES 22,878.936 24,603,856 26,652,285 28,940,755 31,387,208 DEBT SERVICE REQUIREMENTS 2,250,000 2.250.000 2,250,000 2,250,000 2,250.000 SUBTOTAL - EXPENDITURES 25,128,936 26,853,856 28,902,285 31,190,755 33,637,208 PAY-AS-YOU-GO PROPOSED APPROPRIATION - CIP 1,097,868 842,700 884,760 1,260,000 943,900 TOTAL EXPENDITURES 26,226,804 27,696,556 29,787,045 32,450,755 34,581,108 BALANCE 5,358,794 2,591,840 1,333,728 (411,783) (1,595,723) BEGINNING RESERVE 11,190,764 16,549,558 19,141,398 20,475,126 20,063.343 BALANCE IN RESERVE - END OF YEAR $16,549,558 $19,141,398 $20,475,126 $20,063,343 $18,467,620 $40,000,000 $35,000,000 .. .. -:::- ... ~ ... .. .. - .. .. $30,000,000 .. - - - - --- ....- --- .. - .. .....- --- - - Revenues $25,000,000 Expend itures - $3>,000,000 CIP .. .... $15,000,000 $10,000,000 $5,000,000 ----- -. -- ----. ----- . - . -------- --. - $0 , 3>0708 2008109 2009/1 0 201 G'11 2011/12 Capital Improvement Program 2007-2012 Page 15 City of Aventura PROPOSED FINANCING PLAN TRANSPORTATION FUND CAPITAL IMPROVEMENTS This fund was established to account for restricted revenues and expenditures which by State Statute and County Transit System Surtax Ordinance are designated for transportation enhancements, street maintenance and construction costs. This year maintenance costs which were previously accounted for in the General Fund by designating specific expenditure accounts in the Community Services Department and transferring a like amount to the General Fund will be accounted for solely in this fund. This table reflects the anticipated revenues available and the proposed appropriations. TABLE 4 TRANSPORT A nON AND SlREET MAINTENANCE FUND RECAP OF AVAILABLE RESOURCES AND PROPOSED APPROPRIATIONS SUMMARY BY YEAR 2006/2007 2007/2008 200812009 2009/2010 2010/2011 2011/2012 REVENUES LOCAL OPTION GAS TAX. 491,000 480,000 496,800 514,188 532,185 550,811 SALE OF PROPERTY 0 R ROW 1,900,000 INTEREST EARNINGS 7,500 1 0,000 10,000 10,000 10,000 10,000 STATE SHARED REVENUES-RESTRICTED 151,043 175,000 181,125 187,464 194,026 200,817 CARRYOVER 457,469 170,000 0 49,355 216,058 315,589 COUNTY TRANSIT SYSTEM SURTAX. 875,500 955,000 983,650 1,013,160 1,043,554 1,074,861 TOTAL REVENUES 1,982,512 3,690,000 1,671,575 1,774,167 1,995,823 2, 152,078 EXPENDITURES Maintenance Operating Expenditures 651,203 6n,000 704 ,080 732,24 3 761,533 791,994 Transit Services 365,933 366,000 380,640 395,866 411,700 428,168 TOTAL EXPENDITURES 1,017,136 1,043,000 1,084,720 1,128,109 1,173,233 1,220,162 Total For Capital 965,376 2,64 7,000 586,855 646,058 822,589 931,915 CAPITAL EXPEN DITU RES Project Title 2006/2 007 2007/2008 200812009 2009/2010 2010/2011 2011/2012 Transportation System and Traffic ImplOveme 151,050 2,387,000 72,500 115,000 0 0 Street Ughtlng Improvements 331,607 Road Resurfacing Program 482,719 260,000 465,000 315,000 507,000 490,000 TOTAL CAPITAL EXPENDITURES $ 965,376 $ 2,64 7,000 $ 537,500 $ 430,000 $ 507,000 $ 490,000 Capital Improvement Program 2007-2012 Page 16 City of Aventura PROPOSED FINANCING PLAN PARK DEVELOPMENT FUND The Park Development Fund is used to account for revenues specifically earmarked for capital improvements to the City's park system. Impact fees from new development become a funding source for future park development plans. For purposes of this five year plan, impact fees will be utilized to assist in funding the Waterways Dog Park improvements and Veterans Park modifications. Table 5 Recap of Available Resources and Proposed Appropriations Park Development Fund CIP 2007/08-2011/12 Revenues Carryover 2007/08 $862,764 862,764 Total Available Resources for CIP Proposed Appropriations $706,000 $166,764 Balance Capital Improvement Program 2007-2012 Page 17 City of Aventura PROPOSED FINANCING PLAN POLICE IMPACT FEE FUND This fund was created to account for impact fees derived from new development and restricted by Ordinance for Police Capital Improvements. This fund will provide a funding source to assist the City in providing police capital improvements required by growth. The proposed revenues derived from the Police Impact Fee Fund for the five year period is $568,010. Major capital outlay items include new equipment purchases required by growth in the police department. Table 6 reflects the anticipated revenues available and the proposed appropriations for these fund for the five year period. Table 6 Recap of Available Resources and Proposed Appropriations Police Impact Fee Fund CIP 2007/08 -2011/12 Revenues 2007/08 2008/09 2009/10 2010/11 2011/12 Police Impact Fees $140,300 $71,800 $82,300 $159,010 $77,771 Total Available Resources $140,300 $71,800 $82,300 $159,010 $77,771 for CIP Proposed Appropriations $140.300 $71 ,800 $82.300 $159.010 $77.771 Balance $0 $0 $0 $0 $0 Capital Improvement Program 2007-2012 Page 18 City of Aventura PROPOSED FINANCING PLAN STORMWATER UTILITY FUND The City of Aventura is responsible for stormwater management activities within the corporate boundaries. In order to address deficiencies and develop an ongoing maintenance program, a Stormwater Utility Fund was created. The Fund generates revenues for stormwater management costs, permitting, maintenance and capital improvements from a source other than the General Fund, gas taxes or ad valorem taxes. The Utility relies on user fees charged to residents and businesses for generating revenues. The City has recognized the need and importance of taking a pro-active approach toward stormwater management. The stormwater drainage improvements contained in the five year Capital Improvement Program were based on a complete survey of all areas of the City conducted by the Community Services Department together with the City's consulting engineers. The Fund will be responsible for ongoing operation and maintenance costs, as well as capital improvements. Table 7 reflects the anticipated revenues available and the proposed appropriations for the Stormwater Utility Fund for the five year period. A total of $1 ,160,000 worth of stormwater drainage projects will be completed during the five year period. The monthly rate charged to users per unit was $2.50 for 2006/07. It is not recommended that the fee be increased during the next five years. DADE COUNTY MUNICIPALITIES STORMWATER UTILITY RATES Coral Gables $3.50 Golden Beach $12.00 Hialeah $2.50 Homestead $ 1.25 Key Biscayne $5.00 Medley $ 2.50 Miami $3.50 Miami Beach $ 2.50 Miami Shores $2.50 North Miami $ 2.50 North Miami Beach $2.50 South Miami $ 2.50 Sweetwater $2.50 Capital Improvement Program 2007-2012 Page 19 City of Aventura TABLE 7 RECAP OF AVAILABLE RESOURCESvs PROPOSED APPROPRlAnONS STORMWATER UnLlTY FUND 2006/07 2007108 2008/09 2009/10 2010/11 2011/12 Customer Dala: Projected No. of Billable ERUs (1) 28,500 28,928 29,361 29,802 30,249 30,703 Monthly Rate Per ERU $2.50 $2.50 $2.50 $2.50 $2.50 $2.50 Revenues: Gross Stormwater Utility Billings (2) $855,000 $867,825 $880,842 $894,055 $907,466 $921,078 Less: Uncolledibles (3) -25,650 -26,035 -26,4 25 -26,822 -27,224 -27,632 Carry Over of Surplus 70,000 38,907 120,697 359,114 593,708 824,004 $ 899,350 $ 880,697 $ 975,114 $ 1,226,348 $ 1,473,950 $ 1,717,449 Ope rating Expenses: (4) 220,443 400,000 416,000 432,640 449,946 467,943 Available for CIP & Debt Service $ 678,907 $ 480,697 $ 559,114 $ 793,708 $ 1,024,004 $ 1,249,506 Annual CIP Expenditures: 640,000 360,000 200,000 200 ,000 200,000 200,000 Annu al Surplusl(Deficit): $ 38,907 $ 120,697 $ 359,114 $ 593,708 $ 824,004 $ 1,049,506 NOTES TO ASSUMPTION OF PROJECTIONS (1) Projected to grow at an annual rate of 1.5%. (2) Equals Projected No. of Billable ERUs multiplied by the Monthly Rate Per ERU, with the result annualized. (3) Equals 3% of Gross Stormwater Utility Billings in Year Shown. (4) Includes Operation and Maintenance, EngineerngAdministration, Review of Existing Account Data Costs. Projected to continue to grow at an annual rate of 4%. Capital Improvement Program 2007-2012 Page 20