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Home My WebLink AboutItem #02 - Discussion ItemINFORMATION SHEET PROPOSED 2% FOOD AND BEVERAGE TAX AMEND.—INT s l: 3i TWO OF THE KEY REASONS WHY CHANGES iN THiS EXISTING LOCAL OPTION TAX ARE SO ESSENTIAL }� First, the proposed changes would remove a "glitch" in the existing state statute and enable the �i County Commission to enact an expanded version of the 2% Food and Beverage Tax WHICH WOULD EXEMPT N PACKAGE STORES, FRATERNAL ORGANIZATIONS. SERVICE CLUBS AND NON-PROFIT ORGANIZATIONS. f� Second, the statute would enable a significant part of the proceeds to form a DEDICATED FUNDING #( SOURCE FOR PROGRAMS ADDRESSING THE CAUSES OF HOMELESSNESS. .a t i THIS LOCAL OPTION TAX IS ALREADY "ON THE BOOKS" i Passed as a local option by the state legislature and enacted by the County Commission in 1989, the Food & Beverage Tax has been collected ONLY AT RESTAURANTS IN HOTELS AND MOTELS IN DADE COUNTY FOR THE PAST TWO YEARS. By improving and expanding a version of the tax currently In the state statute, the proposed changes to the existing law would eliminate certain inequities in the way this tax is applied. THESE CHANGES TO THE EXISTING STATUTE "WOULD MAKE THIS A MORE EQUITABLE TAX With the changes proposed by this amendment, restaurants and bars in Dade's Tourist Development Tax area licensed to serve alcoholic beverages could be covered by this tax. Right NOW, ALL RESTAURANTS #j ON MIAMI BEACH (Surfslde and Bal Harbour) and ONLY RESTAURANTS IN HOTELS AND MOTELS iN THE REST OF ? THE COUNTY charge a similar Food and Beverage Tax. SOME EXAMPLES MAY HELP ILLUSTRATE THE CURRENT SITUATION i .' Today, if you eat in any restaurant on Miami Beach (for instance, Joe's Stone Crabs or i Crawdaddy's), you pay a 2% Food and Beverage Tax on your bill. Right across the causeways, your bill at Chef Alien's or Red Lobster does NOT Include this tax. In addition, If you eat on the "malnland" at a restaurant in a hotel (for instance, at Doc Dammers or The Three Sisters In the Hyatt In Coral Gables), you now pay this 2% Food and Beverage Tax. Right in downtown Coral Gables at Charade or Chrlsty's,,your restaurant bill does NOT Include this tax. THiS WOULD PROVIDE A LOCAL OPTION TO HELP ADDRESS PRESSING LOCAL NEEDS If amended by the legislature, the statute would provide a more equitable, expanded local option version of the Food and Beverage Tax which could be adopted by a majority vote of the County Comm iSsion. If enacted by the Commission, current projections Indicate that at least $3 MILLION could be dedicated to solving the plight of Dade County's more than SIX THOUSAND HOMELESS Individuals. In addition, this tax would provide dedicated percentages to: increasing tourism advertising for the County's number one Industry and employer; stimulating economic improvement which could Include such Initiatives as attracting a new convention center hotel andlor strengthening International business development efforts; and stabitizlrlg Qade;s g�a�ing museums, historic preservation and cultural programs. u mltte into the public record in connection withbi S C N.rS/ od item NA on r 9 3 ,:;L, 9 2- 4 3.1 Matty Hirai City Clerk , A c ' METROPOLITAN DADE C ,NTY, FLORIDA t - METRODADE ��,,, METRO-DADE CENTER CULTURAL AFFAIRS COUNCIL SUITE 625 111 N.W. Ist STREET MIAMI. FLORIDA 33128.1964 MIchael Spring Executive Ditedor TELEPHONE: (305) 375.4634 MEMO TO: Dade County Cultural Organizations FAX: 375.3068 FROM: Pauline Winick, Chairman, Mietro-Dade Cultural Affairs Council DATE: January 15, 1992 RE: Dedicated Revenue Source: We Need Your Help TODAYI Yesterday, the legislative session began in Tallahassee and we are already at work on introducing our proposed dedicated revenue source. The expanded 2% food and beverage tax would raise millions of dollars to support cultural activities, the marketing efforts of the Greater Miami Convention and Visitors Bureau, and last but not least, to address the problems of homelessness in our community. What does this translate to in terms of individual cost? An additional fifty cents on a $25 restuarant bill. WHAT YOU CAN DO 1 Committee hearings are occurring this week in Tallahassee. it is imperative at this point that all _ members of the Dade Delegation be contacted and urged to support this measure. Attached Is a list Identifying who they are and how to contact them. To make this as simple as possible, we are also j including a brief, sample letter which you can use or adapt. PLEASE contact them today. Faxes are best. Your voice counts) The impact of constituents calling on their representatives on an 'important Issue can not be underestimated. if you need any further Information, feel free to contact the Cultural Affairs Council at 375-+4634. SAMPLE LETTER January 15, 1992 The Honorab I e Street Address City, State Zip Dear Mr./Ms.' , Submitted into the public record in connection with item-- 3 A —_on Z Matty I3ircti City Clerk On behalf of (the name of your organization here), please SUPPORT THE INITIATIVE TO AMEND THE 2% FOOD AND BEVERAGE TAX. The proceeds from this local option tax will help support our organization and the thousands of audience members that we serve. We are counting on your support. Thank you. Sincerely, 1991 COUNCIL MEMBERS Pauline Minick. Chairman Alan H. Fein. First Vice Chairman .j Thomas L. Battles. Vice Chat rman\Community Relations Cathy Leff. Vice Chairman\Planning Maria (Lull) Rodriguez. Vice Chairman\Public Affairs _ Donald 0. Slesnick. Vice ChairmanlInter-Governmental Relations Alejandro J. Aguirre Bettie B. earkdull Wilfredo Borroto Mikki Canton Pan Courtelis Barbara Gothard Robert J. Jensen Ronald L. Levitt Dwayne Austin Wynn FORMER CHAIRMEN A.J. Barranco. Jr. 1988-90 Luis J. Lauredo 1986-88 Alan G. Greer 1984-86 Raul Masvidal 1982.84 David Wollard 1980-82 Tina Hills 1979-80 Parker Thomson 1977-79 Commissioner Mary Collins. Ex-Officio Commissioner Harvey Ruvin. Ex-Officio J2-- 43.1 Amended Agenda Ztem No. 7 (a) (8) (i) • 12-19-`. RESOLUTION NO. 1514-91 RESOLUTION RELATING TO THE ALLOCATION OF ANTICIPATED INCREASED REVENUE FROM THE j FOOD AND BEVERAGE TAX WHEREAS, the Cultural Resources Committee has put forth a proposal to the allocation of the anticipated increased ; ro opal relating revenue from the food and beverage tax; and WHEREAS, the Manager has set forth his proposal relating to the allocation in Agenda Item No. 7 (a) (8) from the December 170 i 1991, County Commission agenda; and WHEREAS, this Board is desirous of including a proposal for ti 1 the utilization of these food and beverage tax revenues in the '14 ountyls state legislative package; and WHEREAS, the Manager's recommendation should be approved by m *� his Board; and x M r U WHEREAS, this Board is desirous of the Manager forming b appropriate task forces to implement his recommendations, 0 U NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF COUNTY •4 2 ,d COMMISSIONERS OF DADE COUNTY, FL0RIDA: Section 1._ That the County's state legislation package j W E, . allocate the anticipated increased revenues from the food and beverage tax as follows: I. Twenty-five percent for cultural programs that would also include marketing funds for MetroZoo and Vizcaya. 2. Forty-five percent to the Greater Miami Convention and Visitors Bureau to be used, pursuant to an interlocal agreement, for tourism promotion, marketing, and advertising activities. Amended Agenda Wpm No. 7 (a) (8) (i) 3. Thirty percent to local economic improvement activities, which shall include, but not be limited to, programs alleviating the causes of homelessness, the redevelopment of blighted areas, development of newiexpanded businesses. and other projects, which stimulate new employment opportunities; provided that not less than fifty-one percent of this thirty percent be dedicated to the homeless. Section 2. That the Manager establish a task force to explore the possibility of constructing a new "convention headquarters" hotel on Miami Beach. Section 3- That the Manager establish a task force to develop a comprehensive strategy on dealing with the homeless problem. The foregoing resolution was offered by Commissioner Arthur E. Teele, Jr. , who moved its adoption. The motion was seconded by Commissioner Larry Hawkins , and upon being put to a vote, the vote was as follows: Mary Collins aye Charles Dusseau aye Joseph M. Gersten aye Larry Hawkins aye Alexander Penelas aye Harvey Ruvin aye Arthur.E. Teele, Jr. aye Sherman S. Winn absent Stephen P. Clark aye Submitted into the public record in connection with item N' A on ' / 2 3 Matty` Hirai City Clerk 92- 43.1 ME t E `� Amender Agenda .em No. 7(a) (8) (1) The Mayor thereupon declared the resolution duly passed and adopted this 19th day of December, 1991. Approved by County Attorne form and legal sufficiency. DADE COUNTY, FLORIDA BY ITS BOARD OF COUNTY.COMMISSIONERS MARSHALL ADER, CLERK By: RAYMOND REED Deputy Clerk Submitted into the public record in connection with item ^I A on 1 3 9 ;L . Matty Hirai City Clerk 3- 92- 43-L 1EXPANDED 2% FOOD & BEVERAGE TAX BENEFICIARIES ICULTURE Center for the Fine Arts Cultural Grants Historic Preservation Historical Museum of Southern Florida Miami Museum of Science ECONOMIC DEVELOPMENT [County Commission Determination] Potential Examples Convention Headquarter Hotel on Miami Beach World Trade Center Development HOMELESS PROGRAMS Submitted into the publiQ record in connection With M ETROZOO item N.:_,__ NOy Hirai City Q@rk TOURISM ADVERTISING AND PROMOTION VIZCAYA