HomeMy WebLinkAboutAnnexation Feasibility StudyCity of Miami
Annexation Feasibility Study
August 14, 2014
Prepared for:
The City of Miami
Prepared by:
Metropolitan
Center
Project Team:
Maria Ilcheva, Ph.D.
Ebony Johnson, M.A.
Richard Benitez, M.A.
TABLE OF CONTENTS
BOUNDARIES OF PROPOSED COMMUNITIES
GENERAL REVENUE DATA SUMMARY TABLE
GENERAL EXPENDITURES z
General Government Services
Planning and Development
Public Works
Public Safety 11
Public Facilities 1 z
Pensions and Risk Management 1
NON -GENERAL FUND EXPENDITURES le
NON -GENERAL FUND REVENUES 15
APPENDICES 2C
Appendix A: Assumptions on General Expenditures and Revenues 2C
Appendix B: Demographics and Area Profiles 21
Appendix C: Acreage Summary 2�
Appendix D: Projected Population Growth 2E
Appendix E: Maintenance Impacts 27
Appendix F: Land use maps 2E
Page I 1
BOUNDARIES OF PROPOSED COMMUNITIES
Palmer Lake & Melrose Park
• East NW 27 Avenue (following the City of Miami boundary)
■ West NW 42 Avenue (following the City of Miami Springs and City of Hialeah boundaries)
■ North NW 36 Street (following the City of Miami boundary)
• South NW 20 Street (following the City of Miami boundary)
Blue Lagoon West
• East NW 69 Avenue
■ West Palmetto Expressway (State Road 836)
• North NW 12 Street east to Perimeter Road; Perimeter Road east to NW 69 Avenue
■ South City of Miami boundary
Blue Lagoon & Waterford
• East NW 42 Avenue
• West NW 69 Avenue
• North NW 12th Street east to Perimeter Road; Perimeter Road east to NW 42 Avenue
■ South City of Miami boundary
36th Street North
• East NW 19 Avenue (following City of Miami boundary)
• West Airport Expressway (State Road 112)
■ North Airport Expressway (State Road 112)
• South City of Miami boundary
Page 12
GENERAL REVENUE DATA SUMMARY TABLE
GENERAL REVENUE: Below is a breakdown of the general revenue that the proposed annexation areas
are expected to generate under the current millage rate. All revenue categories, except property
taxes, were determined using a per capita calculation. The per capita revenue figures used to
calculate revenues for the proposed annexation areas were based on actual revenues generated in
FY 2013 by the City of Miami as reported in the City's Comprehensive Annual Financial Report (CAFR).
For the purposes of revenue and expenditure calculations the proposed annexation areas of Blue
Lagoon West and Blue Lagoon and Waterford were combined due to the lack of population in the
Blue Lagoon and Waterford area (please see Appendix B for the demographics information of each
area).
Property Taxes
In 2013 there were approximately 3,328 properties in the proposed annexation communities. The net
taxable property value in 2013 was $1,330,305,063. The revenue that is generated from property taxes
will depend on the millage rate that the City of Miami will utilize. The estimates in the table below are
calculated at the current millage rate of 7.6148.
lage 7.6148
Revenues
Taxes*
Franchise and
Other Taxes
Current
City of
Miami
Blue Melrose
Lagoon Park
West & Palmer
Waterford Lake
$208,999,000 $6,756,677 $2,977,099
$103,975,000 $1,204,051 $1,370,291
Licenses & Permits $35,794,000
Intergovernmental
Revenues
Charge for
Services
Fines & Forfeitures
Interest Earnings
Misc. Revenues
Total Revenues
Bottom Line
$58,259,000 $56,488 $64,287
$104,604,000
$1 1,459,000
36th
Street
North
Proposed
Areas
$396,231 $10,130,007
$106,314 $2,680,656
New
City of Miami
$219,129,007
$106, 655,656
$418,884 $476,718 $36,986 $932,588 $36,726,588
$4,988 $125,763 $58,384,763
$106,073,323
$659,965 $751,085 $58,273 $1,469,323
$1,073,924 $1,222,198
$94,824 $2,390,946
($2,547,000) ($30,663) ($34,846) ($2,703) ($68,212)
$17,846,000 $133,621 $152,070 $1 1,798 $297,489
$538,389,000 $10,272,947 $6,978,902 $706,711 $17,958,560
$13,849,946
($2,615,212)
$18,143,489
$556,347,560
$32,585,000 $4,183,652 $58,961 $169,830 $4,412,443
$36,997,443
Source: Revenue information for the City of Miami was obtained from the City of Miami Comprehensive Annual Financial
Report for the year ended September 30, 2013. Additional information was provided by various City of Miami departments.
*Revenues from taxes for the proposed annexation areas are based on the property taxable value for year 2013 from the
county's tax roll as provided by the City of Miami/Miami-Dade County Property Appraiser's Office.
* The per capita revenue figures used to calculate revenues for the proposed annexation areas were based on actual
revenues generated in FY 2013 by the City of Miami as reported in the City's Comprehensive Annual Financial Report
(CAFR).
Please see the General Assumptions section in the Appendix for a detailed explanation of superscript notations.
GENERAL EXPENDITURES
GENERAL EXPENDITURES: The total operating expenditures for the proposed annexation communities
based on per capita calculations for Blue Lagoon West and Waterford are estimated at $6,089,295; for
Melrose Park and Palmer Lake at $6,919,941; and for 36th Street North at $536,881. Should the
proposed communities be annexed, the City of Miami's general operating costs would total
$519,350.117. The following table follow provides a breakdown of the general expenditures by
category as well as a detailed explanation of each section.
Expenditures
Current
City of
Miami
Blue
Lagoon
West &
Waterford
Melrose
Park
Palmer
Lake
36th
Street
North
Proposed New
Areas City of Miami
General
Government'
Planning and
Development2
Public Works3
Public Safety'
Public Facilities5
Parks and
Recreation6
Risk
Management?
Pensions8
Total
Expenditures`
$95,458,000 $1,149,204 $1,305,968
$11,819,000 $142,287 $161,697
$62,538,000 $752,885 $855,587
$275,521,000 $3,316,954 $3,769,423
$5,651,000 $68,032 $77,312
$29,268,000 $352,353 $400,418
$101,323 $2,556,495 $98,014,495
$12,545 $316,529 $12,135,529
$66,380 $1,674,852 $64,212,852
$292,449 $7,378,826 $282,899,826
$5,998 $151,341 $5,802,341
$31,066 $783,837 $30,051,837
$24,750,000 $297,961 $338,607 $26,271
$799,000 $9,619 $10,931
$505,804,000 $6,089,295 $6,919,941
$848
$536,881
$662,839 $25,412,839
$21,398
$820,398
3,546,117' $519,350,117'
Source: Expenditure information for the City of Miami was obtained from the City of Miami Comprehensive Annual
Financial Report for the year ended September 30, 2013. Information provided by various City of Miami departments is
included in subsequent sections.
The above table shows expenditure figures based on per capita calculations. The rationale of this
table is to show an estimate of the resources needed to maintain the current level of service for both
the current City of Miami population and the population in the proposed annexation areas.
Expenditure estimates were provided by various city departments for all three areas combined.
Expenditure figures were prepared by General Services Administration (GSA), City of Miami Police, the
Department of Public Works (PW) and the Department of Solid Waste. These figures include additional
costs for fleet, fuel, staff and maintenance. The total estimated expenditure for these departments
approximates $7,085,132. GSA estimates expenditures to total $1,876,909. City of Miami Police
estimates expenditures to total $2,451,447.31. Public Works estimates expenditures to total $256,776.
Solid Waste expenditures estimates total approximately $2,500,000.
Page 14
GENERAL GOVERNMENT SERVICES
Expenditures for general government services for the proposed annexed areas based on per capita
calculations would be approximately $1,149,204 for Blue Lagoon West and Waterford; $1,305,968 for
Melrose Park and Palmer Lake; and $101,323 for 36th Street North. Total general government
expenditures for the proposed areas would be $2,556,495. The total general services expenditures,
including the proposed areas, would be approximately $98,014,495. General Government Services
includes expenditures for general government and for Neighborhood Enhancement Teams (NET)
office locations. The breakdown of the general government expenditures is as follows:
General Government
General Government services include the Mayor's Office, City Commission Staff, City Clerk, City
Attorney, Finance, Budget, etc. The estimated expenditures reflect potential increase in personnel and
other costs as a result of annexation.
• The new City of Miami area general government expenditures would total approximately
$98,014,495.
Neighborhood Enhancement Teams (NET) Offices
The Neighborhood Enhancement Team (NET) is a community -oriented department that provides
direct municipal and social services to residents, business owners and community -based organizations.
NET is the City of Miami's official "One Stop" center. There are 13 NET offices located throughout the
City of Miami.
The stakeholders are the Mayor, City Commissioners, residents, business owners and community -based
organizations.
■ There are no plans to open new NET offices within the new City of Miami area.
PLANNING AND DEVELOPMENT
Based on per capita calculations the total increase for Planning and Development for the proposed
annexed areas for Blue Lagoon West and Waterford would be $142,287; for Melrose Park and Palmer
Lake $161,697; and for 36th Street North $12,545. The total planning and development expenditures,
including the proposed areas, would be approximately $316,529. The new City of Miami area's
planning expenditures would total approximately $12,135,529.
The planning and development expenditures include building, planning and zoning departments.
Planning and Development
The Department of Buildings oversees building construction and alteration, enforces related codes
and regulations, and provides a searchable database of City buildings information, online permits,
and complaint forms. The building department is currently staffed with 71 employees.
The Department of Planning and Zoning provides policy guidance for the future development of the
City of Miami by interpreting and administering the Zoning Ordinance and other City, County, State,
and Federal regulations pertaining to the land development regulations for the construction of
buildings in the review of building plans. The Planning and Zoning departments are currently staffed
with 40 employees.
The primary stakeholders for Planning and Development are property owners and associations,
elected officials, private and charter schools, city departments, and the business and development
community at large.
Page 15
Detailed Planning and Development expenditures were determined by the City of Miami based on
estimated staff needs for the Building, Planning and Zoning Departments. The new City of Miami would
need eight additional employees; their respective positions and salaries are shown in the table below:
Personnel Quantity Cost per Unit
Building and Development
Building Inspector III
Plumbing Inspector III
Mechanical Inspector III
Electrical Inspector III
Building Inspector
Planning and Zoning
Planner I
Zoning Information Specialist
1
1
1
Cost
$61,297.60 $61,297.60
$61,297.60 $61,297.60
$57,005.31 $57,005.31
$57,005.31 $57,005.31
$52,977.60 $105 955.20
$50,337.25
$52,977.60
$50,337.25
$52,977.60
Totals 8 $445,875.87,
Source: City of Miami Department of Human Resources, Compensation and the Planning and Development Departments
Page 16
PUBLIC WORKS
The Public Works (PW) Department is responsible for permitting and controlling the construction,
improvement, repair, and maintenance of streets, alleys, sidewalks, curbs, drains, bridges, and canals
within the public right-of-ways, and certain waterfront improvements. The Department also processes
plat applications for the division or subdivision of land. The Public Works Department provides storm
water quality management through its Municipal Separate Storm Sewer System (MS4) Program
implemented by the National Pollution Discharge Elimination System (NPDES) Permit. Additionally, the
department manages the City's street lighting system, eleven storm water collection system and pump
stations, tree planting/relocation/removal, bus benches/shelters, public payphones, news racks, as
well as certain franchise agreements with utility owners. Currently, the Public Works department is
staffed with 85 employees.
Public Works expenditures include General Service Administration (GSA), Public Works and Solid Waste.
Public Works
Based on per capita calculations, the new City of Miami area public works expenditures would total
approximately $64,212,852.
Different divisions within the Public Works Department provided their estimates for expenditures. The
new City of Miami would need four additional employees for Public Works; their respective positions
and salaries are shown in the table below:
Personnel
Labor Crew Leader
Auto Equipment Operator 1
General Laborers
Totals
Quantity Cost per Unit Cost
1
1
2
$40,000.06
$30,839.33
$17,118.36
$40,000.06
$30,839.33
$34,236.72
$105,076.11
Source: City of Miami Department of Human Resources: Compensation, and the Planning and Development Departments
Page 17
General Services Administration
The Department of General Services Administration (GSA) provides internal service support to City
Departments in the areas of fleet management, graphic reproductions, property maintenance, and
radio communication, Miami Riverside Center facility management including citywide inter -office mail
delivery, the Office of Protocol, and audio visual and broadcasting operations. GSA is currently staffed
with 133 employees.
The department acquires, maintains, and repairs City property and equipment, provides graphic
reproductions, television and Internet audiovisual broadcasting, radio communications, mail delivery,
and protocol services. The department's most visible properties include the Miami Riverside Center
Building & Garage, City Hall, GSA Administration & Fleet Maintenance Garage, Fueling Facility, and
Truck Wash Facility, the Property Maintenance Building, Communications Warehouse, and radio wave
broadcasting and receiving antennae towers. GSA also maintains and repairs Police vehicles, the
general government fleet vehicles, Solid Waste trucks and garbage packers, Public Works heavy
equipment, and lawn equipment for Parks. GSA prints City Commission agenda packages and
produces graphic illustrations, forms, business cards, flyers, and banners. GSA also maintains the City's
800 MHz radio and 911 emergency communications systems, including walkie talkie radios. Official
protocol services and support, and inter -office mail delivery are also performed by GSA.
GSA's primary stakeholders are City of Miami employees and departments.
The new City of Miami would need four additional employees for GSA; their respective positions and
salaries are shown in the table below:
Personnel
Auto Mechanic Helper (Police)
Quantity Cost per Unit i Cost
1
$32,303.00
Auto Mechanic (Police) 1 $41,351.00
Heavy Equipment Mechanic
Helper (Solid Waste) 1 $34,100.00
Heavy Equipment Mechanic (Solid
Waste)
Totals
$32,303.00
$41,351.00
$34,100.00
$43,506.00 $43,506.00
$151,260.00
Source: City of Miami Department of Human Resources: Compensation and General Services Administration
1
Page 18
Solid Waste
The Solid Waste Department (Department) provides courteous, dependable, and value -priced waste
collection services to over 69,000 residences within the City. As one of the leading providers of waste
management services in South Florida, the Department offers the industry's most comprehensive
collection services including residential pick-up of garbage, trash, bulky waste, and recyclables. The
Department is also responsible for cleaning the City's right-of-ways by mechanically sweeping major
commercial corridors, servicing over 700 litter containers on sidewalks, removing dead animals, and
handling clean-up operations for Special Events, which generally take place on holidays and
weekends. In addition, the Department administers the Commercial Solid Waste Franchise Agreement
between the City and private hauling companies (Commercial Haulers). Through the private haulers,
the Agreement governs the regulation and servicing of more than 9,000 commercial solid waste
accounts within the City. Currently, the Department is staffed with 199 employees.
Stakeholders are residents and businesses of the City of Miami.
The Department currently has 23 garbage routes; 16 trash routes and 5 recycling routes. The new area
will add 1,829 residences to be serviced by the Department as follows:
Collection Schedule
Current City of Miami
Garbage 2 a Week
Bulky Pickup 2 a Weekly
Recycling 1 Bi-Weekly
Totals ; 4 a Week
Source: City of Miami Solid Waste Department
Solid Waste revenues for the proposed annexed areas were calculated per residential unit, using the
solid waste fee schedule of the City of Miami. As such, a duplex was counted as two units and a triplex
as three units; residential units with four or more units were excluded from the calculation since they
are serviced by Commercial Haulers. However, the city does charge franchise fees to Commercial
Haulers that provide solid waste services to commercial entities.
■ Solid Waste revenues for the new City of Miami annexed area would be $27,086,780.
The revenues are generated as follows:
Revenues
Residential Fee
Residential Accounts
Totals
Current City of Miami The new City of Miami area
$380 (yearly) $380 (yearly)
69,452 (citywide) 71,281
$26,391, 760
Source: City of Miami Solid Waste Department
$27086,780
In order to service the new solid waste accounts, the city is likely to incur capital costs in the purchase
or construction of additional maintenance yards and solid waste facilities. These costs are not
calculated in these preliminary findings. Also, the Department will likely incur additional costs to
purchase equipment. See the Non -General Fund Expenditure section for capital costs associated with
solid waste. The cost estimates presented below do not include tipping fees, or any other fees
associated with commercial accounts. Please note these figures are "preliminary" as the Department
does not account for advertising, disposal and other associated costs.
Page 19
In order to service the proposed annexed areas, the Department will incur capital and personnel
costs. These costs are estimated as follows:
Personnel
Garbage
Waste Collector II
Trash
Waste Equipment
Operator
Waste Collector
Recycling
Waste Collector II
Street Sweeping
Street Sweepers
(Waste Collector)
Totals
Other Capital Costs
Quantity
3
Cost per Unit Cost
$191,100
$197,100
$63,700 $358,200
$63,700
$65,700
$59,700
2 .. $59,700 $127,400._.,_ _.
16 $902,500 $2,468,200
Source: City of Miami Solid Waste Department
Number of Routes
3
3
2
In addition to the capital costs that the City will assume from Miami -Dade County, the City of Miami
will have additional capital expenditures related to police and fire. Please refer to the Non -General
Fund Expenditures for a breakdown of capital costs.
Page 110
PUBLIC SAFETY
Public Safety expenditures include police and fire service. Total Public Safety expenditures for the
proposed annexed communities based on per capita calculations would be approximately
$3,316,954 for Blue Lagoon West and Waterford; $3,769,423 for Palmer Lake and Melrose Park; and
$292,449 for 36th Street North. The new City of Miami area's public safety expenditures would total
approximately $282,899,826.
The Fire Rescue and Police Departments provided estimates for expenditures based on capital cost
and staffing calculations to maintain adequate level of service. The breakdown of the public safety
expenditures is as follows:
Police
The City of Miami Police Department (CMPD) is the largest Municipal law enforcement department in
Miami -Dade County, serving an ethnically and racially diverse community of nearly 400,000 residents
and a day time population of one million people. The Police department is staffed by 1,502 employees
across four police stations and 13 Neighborhood Enhancement Team (NET) offices.
Stakeholders include residents, businesses, and visitors to the City of Miami.
Currently, the City of Miami has about 357 residents per police officer. Even though the proposed
areas would add only 10,691 residents, the proposed areas include concentrated commercial and
industrial sections. Based on estimates provided by City of Miami Police, in order to maintain this level
of service in the new City of Miami area, the city would need to hire 53 additional officers. There is no
anticipated need to create a new station since police services can be readily provided by the closest
Miami Police District stations. Service area needs include Allapattah and Flagami:
Allapattah: Based on Miami-Dade's current request for police service in the area, A and B Shift Beat
Officers are needed to cover the River Drive industrial area. To achieve 7 day coverage we would
need 4 officers. As to regular patrol officers achieving seven days coverage, three shifts, we would
need an additional 18 officers. The total recommendation for Allapattah is 22 officers and 3
Sergeants.
Flagami: To cover the proposed neighborhoods on the south side of River Drive (Flagami), we would
need 24 officers and 4 Sergeants.
Personnel Quantity Cost per Unit Cost`,
Police Sergeant 7 $54,875.39 $384,127.73
Police Officer 46 $44,941.73 $2,067,319.58
Totals 53 $2,451,447.31
Source: City of Miami Human Resources_Compensation
Estimated expenditures reflect the cost of personnel and use entry level salary figures for staff positions.
These estimates do not take into consideration fringe benefits, specialized police positions, bonuses or
incentives.
Page 111
Fire Rescue
The Department of Fire -Rescue's primary responsibilities entail the preservations of life and property
through prevention, control and quick suppression of fires; and the provision of emergency medical
and rescue services. Fire prevention includes the inspection of residential, industrial and commercial
structures for conformance with fire codes. The Department investigates fires and assists law
enforcement agencies in cases of suspected arson. The Department of Fire -Rescue also maintains
specialty teams uniquely trained in the areas of hazardous materials, dive rescue, technical rescue
(confined space and elevated rescue) and marine services. Currently, the department is staffed by
781 employees across 14 different stations within the City of Miami.
Stakeholders include residents, businesses, and visitors to the City of Miami.
There are an estimated 523 residents for each fire/rescue worker. Given that the population of the city
will increase by less than three percent (10,691 residents) with the annexation of the new areas there is
no anticipated need to hire additional Fire -Rescue personnel. Existing service providers can respond to
the future needs of the new City of Miami area.
Station and Personnel Cost
Station 5 (14)
1200 NW 20 ST
Station 10 (10)
4101 NW7ST
Station 11 (7)
5920 W. Flagler ST
Station 12 (10)
Wynwood,
Medical Center
Coral Terrace,
Schenley Park,
Flagler,
Flagami
1455 NW 46 ST Earlington Heights
Totals 4 Stations; 41 Personnel
Source: City of Miami Fire Rescue staff.
New Service Area
Palmer Lake/Melrose Park
Blue Lagoon
West & Waterford
36 Street North
Page 112
Parks and Recreation
The Parks and Recreation Department provides safe, nurturing, recreational, educational and cultural
activities in order to promote a sense of community. The Department's focus is to provide
comprehensive academic and cultural enrichment programs that provide an environment for
individual growth while providing opportunities for families to connect. Primary services include the
operation of approximately 120 City parks, 11 pools, the Miami Rowing Center, and one water park
every day year-round, comprehensive recreation, art, music and education programs; cultural
activities and leisure opportunities for all age groups. Special services include child day care,
preschool centers, summer camps, programs for the disabled, senior citizen programs, educational
summer programs, after -school technology programs and a music and film series. The Parks and
Recreation department has a staff of 182 employees.
Stakeholders include city residents, employees, visitors and elected officials.
Parks and Recreation
Parks and Recreation does not anticipate the addition of any new parks. The expenditure calculations
are based on the increase in residents which may lead to an increased demand for recreational
services. The expenditures for the proposed annexation areas are estimated at $783,837.
The new City of Miami area will utilize existing area parks highlighted in the table below:
Annexation Are -a Type of Park
(Parks and Green Areas)
Blue Lagoon West &
Waterford
• Robert King High
Park/ Carlos J.
Arboleya Picnic
Ground
■ Antonio Maceo
Park
Melrose Park & Palmer
Lake
36th Street North
Community/ Neighborhood
N/A
N/A
Amenities -and Programs
Campground,
Baseball/Softball Field,
Basketball Court, Tennis
Court, Playground,
Racquetball; Senior Programs
N/A
N/A
Page 113
PUBLIC FACILITIES
Public Facilities oversees the City's three municipal marinas and Mooring field; The James L. Knight and
Miami Convention Center, The G-4 Parking Garage, and The Manuel Artime Cultural Center. Public
Facilities is divided into two sections - Public Facilities and Asset Management. The Public Facilities
Section serves to provide first class facilities and services used to present the community with quality
sporting, cultural and entertainment events. The Asset Management Section serves as a real estate
office for the City and manages the leasing of property to and from other parties; categorizes City -
owned properties according to its use, i.e. City operations, leased to a third party, vacant; and
identifies and negotiates properties for future purchase, sale or lease.
In addition, the department manages an average of 104 leases/licenses of City -owned property and
28 leases from others scattered throughout approximately 35 square miles of the City. The Department
maintains the City's property inventory consisting of approximately 631 parcels inclusive of parks, fire
stations, City administrative buildings, public facilities, vacant lots and housing sites.
Stakeholders are city residents, tourists, businesses, entertainment industries, and employees.
No costs were attributed to public facilities in the new City of Miami area allocations. Public Facilities in
the proposed areas are City -managed. Based on the potential increased use of public facilities by
new residents, the expenditures based on the increased population are estimated at $151,341.
Page 114
PENSIONS AND RISK MANAGEMENT
Risk Management
The City's Risk Management Department is an internal service provider, working closely with all
operating departments within the City in an effort to protect the City's human, financial, and physical
plant resources. The Risk Management department is staffed with 20 employees.
Risk Management expenditures for the new City of Miami area were determined by the City of Miami
staff. The major Risk Management component for additional employees is associated with Workers'
Compensation (WC) coverage. In aggregate, WC accounts for an additional payroll burden of 6.3%
of payroll. Total WC expenditures being projected for 2014 are $14,200,000.
Total Risk Management expenditure projections for this report are based on FY2013 CAFR numbers
used to calculate per capita figures. Total Risk Management expenditures for the new City of Miami
area would be $25,412,839.
Pensions
Expenditures for pensions were calculated based on a percentage of the base salary of the number
of employees that will be hired to service the new City of Miami area. On an aggregate basis, the
pension burden rate per employee is an additional 38.3% of their payroll. Based on currently
projected FY2013 payrolls of $218,000,000 with a 3% increase projected for 2014, total payrolls for 2014
are projected to be $224,540,000 with additional pension costs of $85,963,752.
The projected annualized pension expenditures for the new areas will add incrementally to the total
pension expenditures of the city - $21,398.
Page 115
NON -GENERAL FUND EXPENDITURES
Proposed and Existing Capital Projects
As a result of annexation, the City of Miami will be required to assume fiscal responsibility for capital
projects in the proposed areas. This includes current and proposed projects as well as capital
investments made in the last three to five years. The following is a summary of capital projects for FY
2013 that have been completed and/or are in the process of completion in the proposed annexation
areas. Capital expenditures for the proposed annexation areas for FY 2013 totaled $316,622.
Annexation Areas
Completed and Proposed
Capital Projects
Cost FY 2013
Blue Lagoon West &
Waterford
Palmer Lake &
Melrose Park
36th Street North
Roads: Realignment and expansion of
Perimeter Rd.
Miami -Dade Children's Courthouse
Roads: NW 37 Ave. from North River Drive to
NW 79th St.
Renovation to Palmer Lake Bridge
N/A
$154, 742
$140,592
$18,288
$3,000
$0
Totals
$316,622
Source: Miami -Dade County Business Plan, Adopted Budget and Five -Year Financial Outlook 2012-2013.
Other Capital Costs
In addition to the capital costs that the City will assume from Miami -Dade County, the City of Miami
will have additional capital expenditures related to police, fire, and solid waste. While GSA included
personnel needs in their initial findings, this assessment accounts for equipment and maintenance. All
personnel costs are included in the General Expenditures section of the report. Please refer to page 7.
The total estimated cost for capital costs covered under GSA is $1,876,909, which includes personnel
costs. The following tables outline additional capital costs by department:
GSA
Under the Police detail section of the study it is anticipated that 53 additional Police Officers would
have to be employed to cover the additional area. These Officers would need vehicles that in turn
require repair and maintenance and additional staff by our operation to manage the increase in
vehicle volume. Fuel cost are paid by the Police Department and are not included as part of this
analysis.
Additional costs are estimated as follows:
Equipment
Vehicles -Police
Quantity
53
Cost per Unit
$31,000
Cost
$1,643,000
Repair and Maintenance
Totals
$17,000
$166,000
Source: City of Miami General Services Administration Department staff
Page 116
Under the Solid Waste Capital needs section of the study it is anticipated that 5 additional One Arm
Bandit Garbage Trucks would be required to cover the additional area. These trucks would not only
increase the fleet total but the daily needed truck count as well. Given that GSA is currently operating
at full capacity to meet current truck counts, the additional costs are estimated as follows:
Maintenance
Cost per Unit
Cost
Solid Waste Vehicle Fuel
Solid Waste Vehicle Repair
Totals Maintenance Costs
$19,000
$95,000
$69,000
$164,000`f
Source: City of Miami General Services Administration Department staff
It should be noted that repair and maintenance cost increase as the years out. For Police, warrantees
for new vehicles expire after 2 years. The cost for tires replacements are incurred after the first year of
vehicle purchase. For solid waste, the warrantees for new vehicles expire after 1 year. The costs for tire
replacements are incurred after the first year of vehicle purchase.
Solid Waste
The City of Miami Solid Waste Department utilizes One Arm Bandit trucks for the collection of residential
garbage. One Arm Bandits are garbage trucks with a mechanical lift that can be operated by one
person. Residents utilize special garbage cans that enable the truck driver to collect the garbage with
the mechanical lift. A single truck services approximately 1,300 residential units per day.
In order to maintain current levels, the City of Miami's Solid Waste Department will need to purchase
five additional trucks to service the new City of Miami area. Additionally, the department is will need
additional crane and rubbish trucks to meet the needs of the new City of Miami. Below is a detailed
account of capital expenditures:
Equipment
Quantity
Cost per Unit
Cost
One Arm Bandit
Rubbish Truck
Crane
Totals Equipment Costs
Public Works
5
6
$295,000
$82,000
$142,000
Source: City of Miami Solid Waste Department staff
$1,475,000.00
$ 492,000.00
$ 426,000.00
$2,393,000.00
Records indicate that the City looked at the annexation of the Melrose area in 2005, specifically for
the areas now described as Palmer Lake, Melrose Park and north of NW 36th Street. The department
reviewed the rights of way proposed as part of the annexation and prepared an attachment showing
additional street maintenance services that will be required. Any street or bridge reconstruction
projects are handled by the Office of Capital Improvement Program (CIP).
Based on estimates provided by Public Works and Capital Improvements, it can be assumed that an
additional $150,000 per year should be set aside for capital needs related to roadway and stormwater
management projects.
Page 117
Debt Service
According to Miami -Dade County policy, the City of Miami will be required to assume the existing
debt for the proposed annexed areas once annexation takes place. This would exclude general
obligation debt related to countywide services/projects. Below is an estimate of the debt obligation
by community. Note, however, that the debt service for the proposed annexed communities only
considers bond obligations for FY 2012-2013.
Currently, Miami -Dade County has spent $51,362 towards the cost of the Children's Courthouse.
Current and future expenditures cover the remainder of the build -out. The project has a scheduled
completion date of FY 2013-2014. The total cost of the courthouse project is $140,592. Additional
projects in Palmer Lake & Melrose Park and Blue Lagoon & Waterford include GOB future financing for
road improvements and drainage for the commission districts.
Total additional bond obligations for the new City of Miami area would be $166,774.
Capital Expenditures by Community
Bonds for General UMSA Projects and Community Projects
Community
36th Street North
Blue Lagoon West & Waterford $4,894.00
Palmer Lake & Melrose Park $161,880.00
Totals Costs $166,774.00
Source: Miaml•Dade County Business Plan, Adopted Budget and Flve-Year Financial Outlook 2012.2013 and interviews with Miaml-Dade County staff
1. General UMSA Protects me Inclusive of future construction costs only.
General UMSA Projects'
Page 1 18
NON -GENERAL FUND REVENUES
CDBG Allocations
CDBG allocations are based on the following: population, persons below poverty, and number of
overcrowded units. The U.S. Department of Housing and Urban Development (HUD) revised the
formula used for calculating population, poverty and overcrowding estimates using data from the U.S.
Census. The CDBG statute specifies that funding be allocated based on the most recent data
compiled by the Census demonstrating population, poverty, overcrowded housing, pre-1940 housing,
and growth lag.
Starting in FY 2012, population and growth lag will be computed using the 2010 Census population
counts. Poverty, overcrowding, and pre-1940 housing will be calculated with the 2005-2009 ACS 5-
year estimates replacing data from the 2000 Census.
Below is an explanation of how CDBG estimates for the proposed annexation areas were obtained.
Overall Population: US Department of Housing and Urban Development (HUD) allots $1.80 per person
for the general population.
• The proposed annexed communities have approximately 10,691 people.
■ The annexed communities could generate approximately $19,243.80 in additional revenue for
this category.
Poverty: HUD allots $30.45 per person below poverty.
• The proposed annexed communities have approximately 1,936 people living below poverty.
• The annexed communities could generate approximately $58,951 in additional revenue for this
category.
Overcrowded Housing Units: HUD allots $157.01 per overcrowded unit.
■ There are approximately 115 overcrowded units in the proposed annexed.
■ The annexed communities could generate approximately $18,056.15 additional revenue for this
category.
TOTAL CDBG ALLOCATION:
• The proposed annexed communities could potentially generate $96,251 additional revenue for
the City of Miami.
• The new City of Miami area could potentially be allotted $5,080,455.22* in CDBG funds.
*There is an $87 differential based on the weighted allocation for poverty and overcrowded units granted by HUD.
Source: The data used in this section is from the U.S. Census Bureau and the U.S. Department of Housing and Urban Development.
The CDBG formula was provided by the U.S. Department of Housing and Urban Development.
Page 1 19
APPENDICES
Appendix A: Assumptions on General Expenditures and Revenues
1. General Governmental Services were determined by the City of Miami based on per resident
calculation.
2. Planning and Development Services were determined by the City of Miami based on
estimated staff needs for Planning and Building and Zoning.
3. Public Works expenditures for the Annexed areas were calculated using a per/square mile
estimate of City of Miami expenditures. Solid Waste expenditures for the Annexed areas were
calculated per residential unit using the solid waste fee schedule of the City of Miami.
Additional expenditures for Public Works were determined by the City of Miami based on
estimated staff needs for Solid Waste Services.
4. Police Services for the Annexed areas will require additional police officers. Police expenditures
were calculated based on City of Miami estimated staff needs and by determining the
number of police officers per resident.
5. Public Facilities Services were determined based on a per resident population calculation.
County facilities in the proposed areas are county -wide facilities.
6. Parks and Recreation will not gain any parks in the Annexed areas. The expenditures for the
parks were calculated using a cost per resident estimate.
7. The major Risk Management component for additional employees is associated with Workers'
Compensation coverage. In aggregate, WC accounts for an additional payroll burden of 6.3%
of payroll. The total WC expenditures being projected for 2014 are $14,200,000.
8. On an aggregate basis, the pension burden rate per employee is an additional 38.3% of their
payroll. Based on currently projected FY2013 payrolls of $218,000,000, with a 3% increase
projected for 2014, total payrolls for 2014 are projected to be $224,540,000 with additional
pension costs of $85,963,752.
9. Capital Outlay is based on population estimate calculation.
*Revenues and Expenditures were taking from the General (Major Fund) column of the City of Miami
Statement of Revenues, Expenditures and Changes in Fund Balances (Deficit) Governmental Funds for
the Year Ended September 30, 2012.
Page 120
Appendix B: Demographics and Area Profiles
Population Characteristics
The purpose of this section is to describe the population living in the proposed annexation areas. This
analysis includes total population and distribution by sex, race and ethnicity, as well as household
characteristics. The Metropolitan Center staff amassed demographic data at the block level for the
proposed areas. The data source for this analysis comes from the 2010 Decennial Census. More
detailed and current demographic information can be accessed through the 2011 American
Community Survey (ACS) 5-Year Estimates; however for the purposes of this report which required the
demographic characteristics for well-defined geographic areas, U.S. Census data provides the most
current information at the block and block group levels.
Population Distribution
In 2010, there were 10,691 residents living in the proposed annexation areas. Of this resident
population, approximately 5,462 are male and 5,229 are female. This total population represents 2% of
the City of Miami's population of 399,457 residents.
Race and Ethnicity
In the proposed annexation areas, 84.6% of the population identified themselves as Hispanic, 3.7% as
White and 1.2% as Black with the rest identifying themselves as multi -racial or some other ethnicity. The
proposed area is less diverse than the City of Miami with 70.0% of residents identifying themselves as
Hispanic, 1 1.9% as White and 16.3% as Black.
Household Information
Households in the proposed annexation areas can be characterized as small, with a large fragment of
non -family households. The area has a higher percentage of renter -occupied units compared to
owner -occupied, with 64.5% of housing units being renter -occupied and 35.5% owner -occupied. The
average household size in the proposed area is 2.5 persons.
Table 1: Demographic Characteristics of Proposed Annexation Areas
Total Population
Male
Female
uE,
White
Black
Hispanic
Average Household
Size
Owner Occupied
Renter Occupied
36 Street
North
Palmer Lake Blue Lagoon Blue Lagoon
Melrose Park Waterford West
Populatiort
424 5,465
245 2,948
179 2,517
Race/Ethnicitj
34 161
11 113
378 4,099
.. Oust
2.80 3.12
117 1,627
307 2,518
4,801
2,268
2,533
202
6
4,571
3.07
1,571
3,199
Totals
10,691
5,462
5,229
398
130
9,048
2.50
3,316
6,024
*Race was calculated for Black, Hispanic and White only. Source: 2010 U.S. Census Bureau
Page 121
Voter Statistics
The proposed annexation areas total number of registered voters:
Table 2: Voting Characteristics of Proposed Annexed Areas
Blue Lagoon West
Blue Lagoon & Waterford
Melrose Park & Palmer Lake
36th Street North
1,442
13
1,565
167
Source: Miami -Dade Elections Department,
Data as of June 4, 2013
Page 1 22
COMMUNITY PROFILES
36th Street North
The area surrounding 36th Street north is mainly industrial with commercial areas surrounding the
borders of NW 36th Street and the City of Miami border to the South. There is a small residential
population within the proposed area; there is also a considerable portion of vacant properties along
Airport Expressway (SR-112) and NW 36th Street. The 36th Street area has easy access to the Airport
Expressway and Earlington Heights Metrorail Station. Miami Jackson Senior High School is located
within the proposed annexed area. Additional primary and secondary schools are located adjacent
to the area.
Melrose Park
The Melrose Park area has a mixture of residential, commercial and industrial use properties. Melrose
Park and the neighboring Palmer Lake community are separated by the Miami River. Melrose Park
and Palmer Lake contain the largest portion of residential population from the proposed annexation
areas with 5,465 residents. The Melrose area is also home to the Miami -Dade Regional Juvenile Justice
Center, a 126-bed secure facility that serves youth detained by various circuit courts. Currently, the
County is undergoing the construction of the Miami -Dade Children's Courthouse. The new Children's
Courthouse, which will go up at 112 NW 3rd Street, will replace the Juvenile Justice Center located at
NW 27th Avenue and 33rd Street. The new Children's Courthouse will house all court partners as well as
support agencies for the Juvenile Justice Community.
Palmer Lake
The area encompassing Palmer Lake has been mainly used for industrial (marine uses), aviation -
related and commercial purposes along the Miami River and Tamiami Canal. The area comprises of
approximately 220 acres south of the Miami River, east of the South Florida Rail Corridor (SFRC) and
NW 37th Avenue, and north of the Tamiami Canal. Located to the west is the Miami International
Airport (MIA) and the Miami Intermodal Center (MIC), in the south end is the Melreese Golf Course and
the Grapeland Heights residential area. To the northwest is the Casino Miami Jai -Alai, located in the
Melrose Park area. Palmer Lake (approximately 17 acres) connects to the Miami River through a
narrow channel that passes under NW South River Drive. Palmer Lake is a known habitat for
manatees, and has been designated "Essential Manatee Habitat" by the Dade County Manatee
Protection Plan.'
Within the proposed annexation area, there are several marine -related industries (shipping,
manufacturing, and boat repair) located along the Miami River and the Tamiami Canal. These
industries rely heavily on the river for access to the Port of Miami. Operations along the river provide
exports to the Caribbean. A large container storage yard is also located along the Tamiami Canal.
The largest marine operation in the area is Bertram, which manufactures its sport fishing yachts on
several parcels located between the Tamiami Canal and NW 22nd Street (15 acres).
Current Land Use (LU) designates most of the proposed area for commercial and industrial uses. These
categories allow for manufacturing, warehouses, office buildings, utility plants, hospitals,
telecommunications facilities and hotels. The Land Use also allows for limited commercial retail and
residential uses.
The Melrose Park and Palmer Lake areas were combined in the Existing Land Use Map provided in the
Appendix. The total acreage for the combined areas is approximately 767 acres. Please refer to the
appendix for a detailed breakdown of Land Uses.
1 Miami -Dade County Department of Planning and Zoning Community Planning Section. Palmer Lake Area Charrette Plan Draft.
Published September 2011. Retrieved October 2, 2013.
Page 123
Blue Lagoon West and Waterford
The areas making up Blue Lagoon West and Waterford are centrally located within Miami -Dade
County bound by the Palmetto Expressway; Perimeter Road; and bordering the City of Miami
boundary to the south along Tamiami Canal. Blue Lagoon and Waterford is adjacent to Miami
International Airport. The proposed area has convenient access to the SR-826 and SR-836 Expressways.
The accessibility of Blue Lagoon and Waterford makes the location amenable to all areas in Miami -
Dade, Broward, and Palm Beach Counties. The total area encompasses approximately 710 acres, with
over 300 acres of inland water.
The proposed area has office, professional, commercial and residential properties. Specifically, Blue
Lagoon and Waterford (approximately 250 acres) is home to over 100 multinational companies.
Business industries include manufacturing, technology, transportation, healthcare, insurance, and
finance. Several Fortune 500 companies operate their Regional or Latin American Headquarters within
Blue Lagoon and Waterford to include FedEx, Avaya, Caterpillar, Estee Lauder Companies, Hewlett-
Packard, Hasbro and Procter & Gamble. Additional organizations located within Blue Lagoon and
Waterford includes Baxter Healthcare, Burger King, Marriott, First Bank, Miami Children's Hospital,
Swatch Group, Toyota, CareCloud and Turner Construction. The proposed area also home to several
transient residential parcels. These include The Hilton Hotel Group (Homewood Suites and Hilton), Hotel
Sofitel, and Hyatt Summerfield Suites.
Plans for development within Blue Lagoon and Waterford include over 1.5 million square feet of office
space to accommodate growing demand from corporations. There are three sites pinned for future
development (16.49 acres) at the Waterford office park. These parcels are positioned to provide
visibility from the 836 Highway and Miami International Airport.2
Residential land use along Blue Lagoon West is primarily multi -family, with a high concentration of
condominium units located along The Palmetto Expressway boundary and NW 71st Avenue. There is
very little vacant land for redevelopment in Blue Lagoon West, as it is a very established residential
community.
Previous studies
Areas along the Miami River (Palmer Lake and Melrose Park) have been the subject of numerous plans
and studies. Reports that include references to the Palmer Lake/Melrose Park communities include the
Greenway Action Plan, Miami River Corridor Urban Infill Plan, Miami River Corridor Multi -Modal
Transportation Plan; and the Miami River Corridor Catalyst Project.
The Miami River Corridor Multi -Modal Transportation Plan was prepared in 2007 by Kimley-Horn and
Associates for Miami -Dade County Metropolitan Planning Organization. This plan outlined
transportation needs and strategies for pedestrian and vehicular traffic along in the river aimed at
improving access and mobility along the river. The most recent study was The Miami River Corridor
Catalyst Project (2010). The report analyzed the condition of the river as a transportation corridor.3
s htto://waterfordatbluelacloon.com/aboutus. Retrieved October 2, 2013.
3 Miami -Dade County Department of Planning and Zoning Community Planning Section. Palmer Lake Area Charrette Plan Draft.
Published September 2011. Retrieved October 2, 2013.
Page 124
Appendix C: Acreage Summary
Residential
Blue Lagoon &
Waterford and
Blue Lagoon
West (Acres)
120.4
Blue Lagoon &
Waterford and
Blue Lagoon
West (Percent
of Total)
16.9
36th Street
North and
Palmer Lake •&
Melrose Park
(Acres)
130.6
36th Street
North and
Palmer Lake &
Melrose Park
(Percent Total)
17.0
Miami -Dade
County
(Acres)
111,061.00
Miami -Dade
County
(Percent of
Total)
8.8
Commercial -
General
68.5
9.6
167.1
21.8
Commercial -
Office &
Professional
98.3
13.8
8.4
14,426.30
Industrial
37.2
5.2
162.2
21.1
17, 765.30
1.4
Institutional
15.2
2.1
33.4
4.4
14,565.00
1.2
Parks/Recreation
0.4
0.1
6.9
0.9
833,385.10
65.8
Transportation
Communication
and Utilities
8.1
172.3
22.4
87,415.70
6.9
Agriculture
Undeveloped
Inland Water
0.0
60.7
301.7
0.0
8.5
42.5
0.0
34.9
51.6
0.0
4.6
6.7
63535.9
87,218.50
36,937.20
5.0
6.9
2.9
Totals
100.0
1,266,310.0
Source: Miami -Dade County Department of Regulatory and Economic Resources. Published: Ap it 2013. Retrieved September 2013
Page 125
Appendix D: Projected Population Growth
Population growth was calculated based on 2010 Decennial Census Block Level Estimates. It is
assumed that population will increase incrementally; a conservative 3 percent growth rate was
factored into the calculation.
Community
2010
2011
2012
2013
2014
2015,
2016
2017
2018
2019
2020
2021
Palmer
Lake/Melrose
Park
5,465
5,661
5,865
6,076
6,295
6,522
6,756
7,000
7,252
7,513
7,783
8,063
Blue Lagoon
West &
Waterford
4,802
4,974
5,153
5,339
5,531
5,730
5,937
6,150
6,372
6,601
6,839
7,085
36th Street
North
424
439
455
471
488
506
524
543
562
582
603
625
Totals
10,691
11,074
11,473
11,886
12,314
12,758
13,217
13,693
14,186
14,696
15,225
15,773
Source: 2010 Decennial Census data.
Page 126
Appendix E: Maintenance Impacts
(Left blank for TOC purposes)
Page 127
Appendix F: Land use maps
(Left blank for TOC purposes)
Page128