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HomeMy WebLinkAboutSummary FormAGENDA ITEM SUMMARY FORM FILE ID: 14-00569 Date: 7/03/2014 Commission Meeting Date: 7/24/2014 Requesting Department: Management & Budget District Impacted: Various Type: Resolution 1 1 Ordinance Emergency Ordinance 1 1 Discussion Item I 1 Other Subject: Setting FY 2014-15 Millage Cap Purpose of Item: Law Department Matter Ill No. To establish treillage rate caps for the fiscal year ending September 30, 2015 (FY 20 4-15) at: General Operating 7.6465 Debt Service 0.7385 Total Millage Rate 8.3850 And to set the Budget Hearing dates as follows: First Budget Hearing — September 9, 2014 at 5:05prn Second Budget Hearing — September 23, 2014 at 5:05pm Background Information: See attached. Budget Impact Analysis YES Is this item related to revenue? NO Is this item an expenditure? If so, please identify funding source below. General Account No: Special Revenue Account No: CIP Project No: NO Is this item funded by Homeland Defense/Neighborhood Improvement Bonds? Start Up Capital Cost: Maintenance Cost: Total Fiscal Impact: Final Approvals (SIGN AND DA] CIP Bu If using or receiving capital funds Grants Risk Management Purchasing Dept. Director Chief City Managec>4, Page 1 of 2 Background Information: The City of Miami FY 2014-15 Proposed Operating Budget as presented on July 9, 2014 contains the following recommended millage rates. • General Operating 7.6465 • Debt Service 0.7385 • Total Millage Rate 8,3850 A four-year history of millage rates shows a steady overall decline: • General Operating • Debt Service • Total Millage Rate FY 2011-12 7,5710 0.9300 8.5010 FY 2012-13 7.5710 0.9000 8.4710 FY 2013-14 7.6148 0.8162 8.4310 FY 2014-15 proposed 7.6465 0.7385 8.3850 For the City Commission's reference, every tenth of a mill will generate approximately $3.1 million for the City of Miami General Fund in the next fiscal year. Florida statute Section 200.065, governs the setting of millage rates, adoption of budget, and the timeframes required of each. It requires that the City of Miami advise the Property Appraiser of its proposed millage within. 35 days of the July 1 certification of value so that the information can be included in the notice of proposed property taxes mailed to property owners in August. The same statute governs the timeframes for the first and second budget hearings. The first hearing must be held between 65 and 80 days of the same July 1 certification of value, which is no earlier than September 4 and no later than September 19. The City must then hold a second budget hearing with enough time to provide the final budget and millage rates to the property appraiser, tax collector, and State of Florida Department of Revenue by October 1. Effectively, the tentative millage adopted in July represents the upper limit for the millage rates to be considered in September. The Commission may lower the general operating millage rate at either of the two budget hearings, but effectively cannot raise it above what is adopted in July. State law allows for this possibility, but it cannot be practically achieved within the timeframes provided in state law. According to the Property Appraiser's Office, this re -noticing of millage rates has not been accomplished even once in the history of the State of Florida. Page 2 of 2