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HomeMy WebLinkAboutAnnexation Feasibility Study June 2017City of Miami Annexation Feasibility Study Original Report: November 2016 Update: June 2017 Prepared for: The City of Miami Prepared by: FIU Metropolitan Center Project Team: Maria Ilcheva, Ph.D. Matthew Walker, M.A. TABLE OF CONTENTS BOUNDARIES OF PROPOSED COMMUNITIES 1 GENERAL REVENUE DATA SUMMARY TABLE 2 GENERAL EXPENDITURES 3 General Government Services 4 Planning and Development 5 Public Works 6 Public Safety 8 Parks and Recreation 11 Unaffected Departments 13 NON -GENERAL FUND EXPENDITURES 14 NON -GENERAL FUND REVENUES 17 APPENDICES 18 Appendix A: On Sources of Expenditures and Revenues 18 Appendix B: Demographics 19 Appendix C: Acreage Summary 23 Appendix D: Projected Population Growth 24 BOUNDARIES OF PROPOSED COMMUNITIES Area 1 (Brownsville) • East NW 19th Ave. (following the City of Miami boundary) • West NW 37th Ave. (following the City of Hialeah boundary) • North NW 62nd St. • South SR 112 (Airport Expressway) Area 2 (36th St. North & Melrose) • East NW 19th Ave. & NW 27th Ave. (following the City of Miami boundary) • West NW 42nd Ave. • North SR 112 (Airport Expressway) • South NW 20th St. (following the City of Miami boundary) Area 3 (Blue Lagoon) • East SR 836 (Dolphin Expressway) and Blue Lagoon Lake • West SR 826 (Palmetto Expressway) • North NW 12th St. • South Grand Canal Dr. (following City of Miami boundary) Page I 1 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 2015 by the City of Miami as reported in the City's Comprehensive Annual Financial Report (CAFR) . Property Taxes In 2016 there were approximately 10,016 properties in the proposed annexation communities. The net taxable property value in 2016 is $15,430,578. 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 7.6465. Based on the revenue and expenditure calculations, the addition of the proposed areas, at their current population and property levels, will decrease net revenues for City of Miami. The area in which the revenue vs. expenditure difference is largest is Brownsville. Overall, for the three areas combined, the difference is almost $14 million. Millage 7.6465 Revenues Current City of Miami Brownsville 36th St. & Melrose Blue Lagoon Proposed Areas New City of Miami Taxes* $239,634,079 $3,366,771 $4,073,921 $7,989,886 $15,430,578 $255,064,657 Franchise and Other Taxes $ 107,114,393 $3,761,485 $1,403,695 $1,118,050 $6,283,230 $113,397,623 Licenses & Permits $65,001,840 $2,282,639 $851,825 $678,483 $3,812,947 $68,814,787 Intergovernmental Revenues $62,915,749 $2,209,382 $824,488 $656,708 $3,690,579 $66,606,328 Charge for Services $103,222,339 $3,624,810 $1,352,691 $1,077,425 $6,054,925 $109,277,264 Fines & Forfeitures $12,629,413 $443,501 $165,504 $131,825 $740,829 $13,370,242 Interest Earnings $4,212,610 $147,932 $55,205 $43,971 $247,108 $4,459,718 Misc. Revenues $4,750,543 $166,823 $62,254 $49,586 $278,662 $5,029,205 Total Revenues $599,480,966 $16,003,343 $8,789,583 $11,745,933 $36,538,858 $636,019,824 Bottom Line $91,419,668 $(8,518,212) $(6,949,572) $1,629,765 $(13,838,020) $73,460,964 Source: Revenue information for the City of Miami was obtained from the Office of the City Manager and the 2015 City of Miami Comprehensive Annual Financial Report for the year ended September 30, 2015. *Revenues from taxes for the proposed annexation areas are based on the property taxable value for year 2016 (as of 9/6/2016) from the county's tax roll as provided by the Miami -Dade County Property Appraiser's Office. Page 12 GENERAL EXPENDITURES GENERAL EXPENDITURES: The total operating expenditures for the proposed annexation communities based on City of Miami projections and per capita calculations for Brownsville are estimated at $24,521,555; for 36th St. North & Melrose at $15,739,155; and Blue Lagoon at $10,116,168. Should the proposed communities be annexed, the City of Miami's general operating costs would total approximately $558,438,176. Expenditure figures were provided by the City of Miami's Office of the City Manager with compiled and detailed departmental figures. These expenditures are proposed figures for what Departments have reported to want or need, and are likely higher due to start-up costs for administering new areas. For example, in FY14-15, the City of Miami reported a per capita Public Safety expenditure of roughly $688, while the projection provided for the same services in the proposed areas was $1,529. At the same time, the City of Miami has a 1:274 population to staff ratio in the existing City limits, while in the proposed annexation areas they are only requesting a 1:135 ratio. These figures include staffing and administration costs, as well as additional operational costs for fleet, fuel, maintenance, and supplies. The tables that follow below provide a breakdown of the general expenditures by category as well as a detailed explanation of each section. Expenditures Current City of Miami Brownsville 36th St & Melrose Blue Lagoon Proposed New Areas City of Miami General Government* $82,068,265 $15,295,382 Public Works $68,480,922 $303,523,686 $7,576,307 $31,116,736 Planning and Development Public Safety Public Facilities Parks and Recreation $2,988,871 $365,982 $3,562,048 $16,894,454 $0 $710,200 $1,562,1 1 1 $365,982 $1, 743,264 $10, 750,898 $0 $1,316,900 $1,120, 423 $365,982 $848,500 $7,781,263 $0 $0 $5,671,405 $87,739,670 $1,097,946 $16,393,328 $6,153,812 $74,634,734 $35,426,615 $338,950,301 $0 $7,576,307 $2,027,100 $33,143,836 Total Expenditures $508,061,298 $24,521,555 $15,739,155 $10,116,168 $50,376,878 $558,438,176 Source: Expenditure information for the City of Miami was provided by the City of Miami's Office of the City Manager and the 2015 City of Miami Comprehensive Annual Financial Report for the year ended September 30, 2015. * Includes 'Internal Service Calculation' Note: There is a round -off error of approximately $7.00 in the revenue and expenditures. Page I3 GENERAL GOVERNMENT SERVICES Expenditures for general government services for the proposed annexed areas are based on proposed budgets provided by City of Miami's Office of the City Manager. The approximate expenditures for the proposed annex area of Brownsville is $2,988,871; for 36th St. & Melrose at $1,562,111; and for Blue Lagoon, $1,120,423. Total general government expenditures for the proposed areas would be $5,671,405. The total general services expenditures for the new City of Miami, including the proposed areas, would be approximately $87,739,670. General Government Services includes expenditures for general government administration and for Neighborhood Enhancement Teams (NET) office locations. The breakdown of the general government expenditures is as follows: General Government General government expenditures were determined by the City of Miami staff based on estimated staff needs for each general government service function. General Government services include the Mayor's Office, City Commission Staff, City Clerk, City Attorney, Finance, Budget, etc. The estimated expenditures reflect the cost of personnel and materials. ■ The new City of Miami area general government expenditures would total approximately $87,739,670. 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 12 NET offices located throughout the City of Miami. The stakeholders are the Mayor, City Commissioners, residents, business owners and community -based organizations. The proposed areas would need 16 new NET positions: o Total salaries and benefits: $1,010,474 o Total equipment and supplies: $151,600 Code Compliance The Office of Code Compliance is a segment of the General Services provided by the City. Code Compliance enforces the City's codes and regulations regarding residential, commercial, and industrial properties. The proposed areas would need 16 new Code Compliance positions: o Total salaries and benefits: $995,965 o Total equipment and supplies: $95,373 Internal Services In the proposed expenditures provided by the Office of the City Manager, Internal Services was designated as general administrative costs incurred by the annexed areas' new staff. Examples of incurred staffing costs include: General Services Administration, City Attorney, Civil Service Board, Communications, Equal Opportunity and Diversity Programs, Finance, Human Resources, Information Technology, Procurement, and Civilian Investigative Panel. ■ The proposed areas would need 33 new Administrative positions: o Total Internal Services expenditures: $3,417,993 Page 14 PLANNING AND DEVELOPMENT Expenditures for the Planning and Development Department in the proposed annexed areas are based on proposed budgets provided by City of Miami's Office of the City Manager. The approximate expenditures for the proposed annex area of Brownsville is $365,982; for 36th St. & Melrose at $365,982; and for Blue Lagoon, $365,982. Total general government expenditures for the proposed areas would be $1,097,946. The total Planning and Development expenditures for the new City of Miami, including the proposed areas, would be approximately $16,393,328. Planning and Development includes expenditures for both Building and Development, and Planning and Zoning. The planning and development expenditures include building, planning and zoning departments. The breakdown for the Department's expenditures is as follows: 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 anticipates hiring eight new 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 anticipate hiring five new 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. 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 13 additional employees; their respective positions and salaries are shown in the table below: Personnel Quantity Cost per Unit Cost Building and Development Senior Inspector 4 $68,200 $272,800 Building Inspector 3 $62,002 $186,006 Electrical Inspector 1 $62,000 $62,000 Building Service Assistant I 1 $32,875 $32,875 Planning and Zoning Planner I 1 $54,722 $54,722 Planning Technician 1 $47,314 $47,314 Zoning Information Specialist 1 $54,772 $54,772 Zoning Plans Processor 1 $60,386 $60,386 Hearing Boards Specialist 1 $42,915 $42,915 Totals 13 $813,790 Source: City of Miami Office of the City Manager The proposed areas would need 8 new Building and Development positions: o Total salaries and benefits: $579,988 o Total equipment and supplies: $185,339 The proposed areas would need 5 new Planning and Zoning positions: o Total salaries and benefits: $321,120 o Total equipment and supplies: $11,500 Page 15 PUBLIC WORKS Expenditures for the Public Works Department in the proposed annexed areas are based on proposed budgets provided by City of Miami's Office of the City Manager. The approximate expenditures for the proposed annex area of Brownsville is $3,562,048; for 36th St. & Melrose at $1,743,264; and for Blue Lagoon, $848,500. Total general government expenditures for the proposed areas would be $6,153,812. The total Public Works expenditures for the new City of Miami would be approximately $74,634,734. Public Works includes expenditures for both Public Works and Solid Waste. The Public Works department is responsible for maintaining roads and infrastructure, collecting garbage, and general City cleanliness. The breakdown for the Department's expenditures is as follows: 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. 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. Public Works The Public Works 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. ■ The new City of Miami area Solid Waste expenditures would total approximately $3,524,417. ■ The new City of Miami area Public Works expenditures would total approximately $2,629,395. Page 1 6 Different divisions within the Public Works Department provided their estimates for expenditures. The new City of Miami would need 35 employees for Public Works; their respective positions and salaries are shown in the table below: Personnel Quantity Cost per Unit Cost Solid Waste Waste Equipment Operator 3 $65,137 $195,411 Waste Collector Operator II 3 $67,912 $203,736 Waste Collector Operator I 3 $61,215 $183,645 Waste Collector 3 $59,237 $177,711 Sanitation Inspector 2 $78,703 $157,406 Public Works Administrative Aide I 1.7 $38,925 $66,952 Engineering Technician I 1.3 $35,307 $46,605 Engineering Technician II 1 $38,925 $38,536 Engineering Technician III 2.3 $47,314 $109,768 Engineering Technician IV 0.6 $54,772 $36,150 Engineer I 3 $54,772 $163,768 Mason 1 $40,872 $40,872 Laborer I 3 $30,499 $91,497 Tree Trimmer I 1 $32,024 $32,024 Labor Crew Leader II 1 $42,915 $42,915 Automotive Equipment Operator I 2.5 $33,625 $84,063 Automotive Equipment Operator II 2 $37,072 $74,144 Automotive Equipment Operator III 1 $40,872 $40,463 Totals 35 $1,785,664 Source: City of Miami Office of the City Manager The proposed areas would need 14 new Solid Waste positions: o Total salaries and benefits: $948,079 o Total equipment and supplies: $2,576,338 The proposed areas would need 21 new Public Works positions: o Total salaries and benefits: $1,551,658 o Total equipment and supplies: $1,077,737 Page 17 PUBLIC SAFETY Public Safety expenditures include the City of Miami Police Department and the Department of Fire Rescue. Total Public Safety expenditures for the proposed annexed communities based on proposed costs provided by the respective departments through the City Manager's Office. The expenditures per proposed annexation area are approximately $16,894,454 for Brownsville; $10,750,898 for 36th St. & Melrose; and $7,781,263 for Blue Lagoon. The new City of Miami's Public Safety expenditures would total approximately $338,950,301. 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: 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. The Department has 14 stations and 3 other facilities. 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 over 440,000 residents and a day time population of over a million people. The Department serves the City in a number of ways by enforcing laws, providing community safety, and solving and preventing crimes. The Police Department is staffed by 1,607 employees across four police stations and 12 Neighborhood Enhancement Team (NET) offices. ■ The new City of Miami area Fire Rescue expenditures would total approximately $8,936,600. • The new City of Miami area Police expenditures would total approximately $26,490,015 in the first year after annexation. According to City of Miami Police Department projections, expenditures for the same 249 positions that will be opened in the three areas will increase to $27,646,335 in the second year after annexation. Different divisions within the Public Safety Department provided their estimates for expenditures. The annexed area would need a total of 79 Fire Rescue employees; their respective positions and salaries are shown in the table below: Personnel Quantity Cost per Unit Cost Fire Rescue Fire Captain (Pumper) 8.6 $126,438 Fire Lieutenant (Rescue) 13 $96,000 Fire Fighter (Pumper) 25.8 $52,000 Fire Fighter (Rescue) 25.8 $52,000 Fire Fighter (Prevention) 6 $100,000 Totals 79 Source: City of Miami Office of the City Manager $1,087,367 $1,238,400 $1,341,600 $1,341,600 $600,000 $5,608,967 Page I8 The annexed area would need a total of 249 Police employees as shown in the table below: Brownsville Blue Lagoon Melrose Total Annexation Areas Total Count Unit Cost Total Cost Count Unit Cost Total Cost Count Unit Cost Total Cost Count Unit Cost Total Cost Commander 1 $195,098 $195,098 1 $195,098 $195,098 1 $195,098 $195,098 3 $195,098 $585,294 Lieutenant 2 $170,169 $340,338 1 $170,169 $170,169 1 $170,169 $170,169 4 $170,169 $680,676 Sergeant 6 $151,965 $911,790 6 $151,965 $911,790 6 $151,965 $911,790 18 $151,965 $2,735,370 Patrol Officer 54 $115,575 $6,241,062 30 $115,575 $3,467,257 30 $115,575 $3,467,257 114 $115,575 $13,175,576 Motors Officer 2 $110,016 $220,032 2 $110,016 $220,032 2 $110,016 $220,032 6 $110,016 $660,096 Mounted 2 $115,016 $230,032 1 $115,016 $115,016 $115,016 $0 3 $115,016 $345,048 K-9 Officer 1 $115,016 $115,016 1 $115,016 $115,016 1 $115,016 $115,016 3 $115,016 $345,048 K-9 Dog & Equipment 1 $15,000 $15,000 1 $15,000 $15,000 1 $15,000 $15,000 3 $15,000 $45,000 PST Sergeant 1 $151,965 $151,965 1 $151,965 $151,965 1 $151,965 $151,965 3 $151,965 $455,895 PST Officer 5 $115,016 $575,080 4 $115,016 $460,064 4 $115,016 $460,064 13 $115,016 $1,495,208 BEAT Officer 3 $115,016 $345,048 2 $115,016 $230,032 2 $115,016 $230,032 7 $115,016 $805,112 Marine Patrol Officer - $115,016 $0 2 $115,016 $230,032 - $115,016 $0 2 $115,016 $230,032 Marine Equipment - $64,000 $0 1 $64,000 $64,000 - $64,000 $0 1 $64,000 $64,000 NRO 2 $115,016 $230,032 2 $115,016 $230,032 2 $115,016 $230,032 6 $115,016 $690,096 SRO 1 $115,016 $115,016 $115,016 $0 $115,016 $0 1 $115,016 $115,016 CATE 1 $115,016 $115,016 $115,016 $0 $115,016 $0 1 $115,016 $115,016 Narcotics Detective 2 $115,016 $230,032 $115,016 $0 1 $115,016 $115,016 3 $115,016 $345,048 CID Detective 4 $115,016 $460,064 2 $115,016 $230,032 2 $115,016 $230,032 8 $115,016 $920,128 Gang Detective 2 $115,016 $230,032 $115,016 $0 $115,016 $0 2 $115,016 $230,032 Crime Prevention Specialist 1 $44,926 $44,926 $44,926 $0 $44,926 $0 1 $44,926 $44,926 Detention Officer 1 $51,344 $51,344 1 $51,344 $51,344 1 $51,344 $51,344 3 $51,344 $154,032 Public Service Aide 4 $68,150 $272,600 3 $68,150 $204,450 3 $68,150 $204,450 10 $68,150 $681,501 Crime Scene Supervisor 1 $66,815 $66,815 $66,815 $0 $66,815 $0 1 $66,815 $66,815 Crime Scene Investigator I 3 $54,668 $164,003 1 $54,668 $54,668 1 $54,668 $54,668 5 $54,668 $273,338 Crime Scene Vehicle 2 $30,000 $60,000 1 $30,000 $30,000 1 $30,000 $30,000 4 $30,000 $120,000 Emergency Dispatcher 2 $52,047 $104,095 2 $52,047 $104,095 1 $52,047 $52,047 5 $52,047 $260,237 Emergency Dispatch Asst. 2 $47,760 $95,521 2 $47,760 $95,521 1 $47,760 $47,760 5 $47,760 $238,801 Payroll Clerk 1 $38,939 $38,939 1 $38,939 $38,939 1 $38,939 $38,939 3 $38,939 $116,817 Administrative Assistant 2 $51,856 $103,712 1 $51,856 $51,856 1 $51,856 $51,856 4 $51,856 $207,424 TC II 1 $32,205 $32,205 1 $32,205 $32,205 1 $32,205 $32,205 3 $32,205 $96,616 Clerk 1 $27,951 $27,951 1 $27,951 $27,951 1 $27,951 $27,951 3 $27,951 $83,852 Victim Advocate 1 $28,971 $28,971 $28,971 $0 $28,971 $0 1 $28,971 $28,971 School Crossing Guard 7 $9,874 $69,1 19 $9,874 $0 1 $9,874 $9,874 8 $9,874 $78,993 Total 116 $11,880,854 68 $7,496,563 65 $7,112,598 249 $26,490,015 Source: City of Miami Police Department, Administration Division *The Police Department has included benefits and related costs in the Cost of Unit. The proposed areas would need 79 new Fire Rescue positions: o Total salaries and benefits: $8,936,600 o No supplies or materials reported by Department. Vehicles and structures were reported as Capital costs. The proposed areas would need 249 new Police positions: o Total salaries and benefits: $26,261,015 o Total equipment and supplies: $229,000 PARKS AND RECREATION The Parks and Recreation Department expenditures include staffing and materials cost for the maintenance of parks within the proposed annex areas. The City Manager's Office provided the following expenditures to be incurred for the subsumed parks. Total The Parks and Recreation expenditures for the proposed annexed communities are approximately $710,200 for Brownsville; $1,316,900 for 36th St. & Melrose; and $0 for Blue Lagoon. The new City of Miami's Parks and Recreation expenditures would total approximately $33,143,836. The Parks and Recreation Department provided estimates for expenditures based on capital cost and staffing calculations to maintain adequate level of service. The breakdown of the Parks and Recreation expenditures is as follows: 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 over 120 City parks, 12 aquatic facilities, the Miami Rowing Center, and one water park every day year-round. They also provide comprehensive recreation, art, music and education programs, and 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 reports acquiring 11 total parks that will requiring hiring 57 new positions. While they foresee no new parks to be acquired in Blue Lagoon, there will be three in Melrose and 36th St.: Martin Luther King Memorial Park, Marva Y. Bannerman Park and Pool, and Melrose Park; and eight in Brownsville: Claire Rosichan Park, Area 225, Drew Park, Glenwood Park, Jefferson Reaves Sr. Park, Olinda Park, Partners Park, and Rocky Creek Park. ■ The new City of Miami area Parks and Recreation expenditures would total approximately $2,027,100. The Parks and Recreation Department provided their estimates for expenditures. The new City of Miami would need 57 employees for the new public parks; their respective positions and salaries are shown in the table below: Page 111 Parks and Recreation does not anticipate the addition of any new parks. The new City of Miami area will utilize existing area parks highlighted in the table below: Personnel Quantity Cost per Unit Cost Parks & Recreation Park Manager I 1 $45,061 $45,061 Park Manager 11 2 $52,164 $104,327 Recreation Specialist 2 $35,307 $70,613 Aquatic Specialist 1 $35,307 $35,307 Rec Aide I 18 $12,139 $218,509 Rec Aide 11 10 $13,361 $133,609 Rec Aide III 6 $16,030 $96,180 General Laborer 2 $15,080 $30,160 Lifeguard 1 6 $20,358 $122,148 Lifeguard 11 3 $26,390 $79,170 WSI 5 $23,540 $117,699 Collection Clerk 1 $14,115 $14,115 Mobile Crews $149,952 Totals 57 Source: City of Miami Office of the City Manager ■ The proposed areas would need 57 new Parks and Recreation positions: o Total salaries and benefits: $1,545,700 o Total equipment, supplies, and park maintenance: $481,400 $149,952 $1,216,850 Page 1 12 UNAFFECTED DEPARTMENTS The Real Estate and Asset Management Department includes Public Facilities and Real Estate. 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 over 100 leases and licenses of City -owned properties and 28 leases of non -City -owned properties. The Department maintains the City's property inventory of approximately 631 parcels that include parks, fire stations, City administrative buildings, public facilities, vacant lots and housing sites. ■ No costs were attributed to Real Estate and Asset Management in the new City of Miami area allocations. ■ Other Departments without expenditure impacts include Community and Economic Development, Risk Management, and Non -Departmental Accounts. Page I 13 NON -GENERAL FUND EXPENDITURES There are a variety of non -general fund expenditures and projects to consider in the proposed annex areas. The Office of the City Manager provided departmental Capital Expenditures, of which Fire and Rescue, Planning and Zoning, and Public Works reported Capital Expenditures for their expanded services in the proposed annex areas. The total Capital Expenditures in the new City of Miami area will be $14,580,549. Besides department related Capital Expenditures, there are a number of ongoing projects by Miami -Dade County within the proposed areas. Three parks that would be acquired by the Parks and Recreation Department of the City of Miami will be concluding Capital Projects totaling $750,000, as well as the $46,300,000 Liberty Square Rising project that falls in both the existing City of Miami and the proposed annex area. No future Capital costs are expected from these four projects and can be seen as a potential benefit in the annexation process. Proposed Capital Expenditures by City Departments The Fire and Rescue Department reported total Capital costs in the proposed annex areas at $12,630,000, the following is a breakdown of their expenditures: Capital Expenditures Cost Brownsville Brownsville Fire Station One (1) Quint Two (2) Rescues Two (2) Fire Inspector Vehicles 36th St & Melrose $5,000,000 $950,000 $640,000 $40,000 Melrose Fire Station One (1) Pumper Two (1) Rescue Two (2) Fire Inspector Vehicles Blue Lagoon $5,000,000 $600,000 $320,000 $40,000 Two (2) Fire Inspector Vehicles $40,000 Totals $12,630,000 Source: City of Miami Office of the City Manager The Planning and Zoning Department reported total Capital costs in the proposed annex areas at $50,000, the following is a breakdown of their expenditures: Capital Expenditures Cost Brownsville Planning Area & Zoning Area Rework (MRC) $16,667 36th St & Melrose Planning Area & Zoning Area Rework (MRC) $16,667 Blue Lagoon Planning Area & Zoning Area Rework (MRC) $16,667 Totals $50,000 Source: City of Miami Office of the City Manager Page 114 The Public Works Department reported total Capital costs in the proposed annex areas at $1,900,549, the following is a breakdown of their expenditures: Capital Expenditures* Cost Mowing Trailer Riding Mower Vactor Truck Chipper Truck Bucket Truck Dump Truck Patch Truck Bobcat, Attachments & Trailer F250 Crew Cab Truck Compact Car/SUV Milling and Resurfacing Project Sidewalk Project Drainage Project 36th St & Brownsville Melrose Blue Lagoon $7,890 $3,143 $183,867 $51,444 $55,837 $55,483 $81,932 $35,077 $28,143 $28,500 $94,153 $116,535 $78,018 $6,312 $3,156 $2,514 $1,257 $147,094 $73,547 $41,155 $20,578 $44,670 $22,335 $44,386 $22,193 $65,545 $32,773 $28,062 $14,031 $22,514 $112,571 $22,800 $11,400 $47,022 $64,394 $58,199 $79,701 $38,963 $53,358 $17,357 $6,914 $404,507 $113,177 $122,841 $122,062 $180,249 $77,169 $163,229 $62,700 $205,568 $254,435 $170,340 Totals $1,900,549 Source: City of Miami Office of the City Manager *Price differences are due to only be partial expenditures (0.5 per Brownsville, 0.4 per 36th St. & Melrose, and 0.2 per Blue Lagoon). The proposed areas would have a total of $14,580,549 in Capital Expenditures. The annex areas individual Capital costs are as follows: o Total Capital Expenditures for Brownsville is $7,466,687 o Total Capital Expenditures for 36th St. & Melrose is $6,545,903 o Total Capital Expenditures for Blue Lagoon is $567,960 Page I 15 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 2016-17 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 2016-17 totaled $8,826,000. There are no expected Capital Expenditures for the following four projects, and rather should be seen as benefits of County investment in the proposed annex areas. Three of the following projects are park improvements —two from the Building Better Communities program —whose funding will be complete in FY 2016-17. The final project is the much publicized Liberty Square Rising development, divided between Liberty Square (already within City of Miami) and Lincoln Gardens (in the Brownsville area). All considered projects are located within the proposed Brownsville annexation area. Projects Prior FY 16-17 Future Total Jefferson Reaves Sr. Park -Building Better Communities -Bond Program $94,000 $106,000 $0 $200,000 Marva Bannerman Park -Building Better Communities -Bond Program $130,000 $20,000 $0 $150,000 Partners Park $100,000 $100,000 $0 $200,000 'Liberty Square Rising' (Liberty Square & Lincoln Gardens) $4,000 $8,600,000 $37,696,000 $46,300,000 Totals $8,826,000 Source: Miami -Dade County FY 2016-17 Proposed Budget, Appendix 1: 2016-17 Capital Budget. Page 116 1 ON -GENERAL FUND REVENUES Beyond the previously General Fund Revenues displayed in the table on page 4, the Community and Economic Development Department reported expected revenues of $216,300 under three separate U.S. Department of Housing and Urban Development (HUD) programs. The three programs are: Community Development Block Grants (CDBG); HOME Investment Partnerships (HOME), and Emergency Solutions Grants (ESG). In FY15, HUD reported the City of Miami receiving $4,768,648 in CDBG, $2,531,595 in HOME, and $422,033 in ESG. Thus future HUD allocations for the new City of Miami would be $4,941,488 in CDBG, $2,559,895 in HOME, and $437,230 in ESG. These funds would be a reoccurring amount annually, and while not attributed in the above General Fund Bottom Line, should still be considered in the proposed annexation area analysis. The following figures were provided by the City of Miami's Office of the City Manager: HUD Allocations Programs Revenue Qualifying per Unit Population Revenue Brownsville CDBG $9.19 10,130 $93,100 HOME $1.51 10,130 $15,200 ESG $0.81 10,130 $8,200 36th St & Melrose CDBG $9.19 7,285 $66,900 HOME $1.51 7,285 $11,000 ESG $0.81 7,285 $5,900 Blue Lagoon CDBG $9.19 1,388 $12,800 HOME $1.51 1,388 $2,100 ESG $0.81 1,388 $1,100 Totals $216,300 Source: City of Miami Office of the City Manager The proposed areas would have a total of $216,300 in additional non -General Fund Revenue through HUD allocation programs. The annexation areas individual HUD allocations are as follows: o Total Capital Expenditures for Brownsville is $116,500 o Total Capital Expenditures for 36th St. & Melrose is $83,800 o Total Capital Expenditures for Blue Lagoon is $16,000 Page 117 APPENDICES Appendix A: On Sources of Expenditures and Revenues 1. General Expenditures were all provided in detail by the City of Miami's Office of the City Manager and sourced directly from respective Departments. 2. General Revenues were source from both the City of Miami and per capita projections. Property Taxes were generated using taxable property values as provided by the City of Miami's Office of the City Manager and then calculated with the current City millage rate. All other General Revenues were calculated on a per capita basis by comparing the City of Miami's FY15 Comprehensive Annual Financial Report and the Census Bureau's 2010-2014 population estimates. 3. Non -General Expenditures were source from both the City of Miami and Miami -Dade County. Projected Capital Expenditures at the Departmental level were provided by the City of Miami's Office of the City Manager and were sourced directly from respective Departments. Ongoing Capital Projects were source from Miami -Dade County's FY16-17 Proposed Budget in their Capital Budget project list. 4. Non -General Revenues were provided by the City of Miami's Office of the City Manager and sourced from the Community and Economic Development Department and compared to the U.S. Department of Housing and Urban Development (HUD)'s reported FY15 allocations. Page 1 18 Appendix B: Demographics Population Data 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 and block group levels for the proposed areas dependent on data availability. Data for Area 1 (Brownsville) was compiled at the block group level with 2014 Census data. Areas 2 (36th St. North and Melrose) and 3 (Blue Lagoon), however, require block level data that is only available most recently as of 2010. To create working data that is more up-to-date, block groups that occur within the areas 2 and 3 were analyzed between 2010 and 2014 to create population change that can then be applied more accurately to 2010 block level data. This method accounts for recent population decline in the proposed areas. Population Distribution There are a total of 25,868 people living within the four proposed annex areas, as displayed in Table 1. Though divided into three areas, 60 percent of the potential population gain is located in the largest area, Brownsville with 15,486 people. In contrast, Area 2 only makes up 22 percent of the total population with only 5,779 projected people, and Area 3 only has 18 percent of the population with 4,603 projected residents. All proposed annex areas lie between current City of Miami limits and the City of Hialeah and Miami International Airport. Race and Ethnicity In the proposed annexation areas, 49.3 percent of the population identifies themselves as Hispanic, 43.7 percent as Black and 2.7 percent as White. The proposed area is slightly different than the City of Miami with the Census in 2015 reporting 72.6 percent of residents identifying themselves as Hispanic, 10.2 percent as White and 16.0 percent as Black. Household Information Households in the proposed annexation areas can be characterized as larger families, with an average of 3.44 persons per household, and the units being a combination of single-family homes, duplexes, apartment complexes, and some trailer homes. The areas overall have a higher percentage of renter -occupied units compared to owner -occupied, with 62.6 percent of housing units being renter -occupied and 37.4 percent owner -occupied. Page I 19 Table 1: Projected 2014 Demographic Characteristics of Proposed Annexation Areas Brownsville* 36th St. & Melrose Blue Lagoon Totals Population Total Population Male Female 15,486 6,722 8,764 5,779 3,133 2,646 4,603 2,175 2,428 25,868 12,030 13,838 Race/Ethnicity White Black Hispanic 312 11,187 3,971 191 122 4,392 195 6 4,382 698 11,314 12,745 Households Average Household Size** Owner Occupied Renter Occupied 3.29 1,848 3,081 3.39 1,631 2,447 3.55 1,490 2,773 3.44 4,969 8,301 *Brownsville is the only area with current data, not projected. ** Projections match block group levels that areas fall within. Source: 2010 U.S. Census (Areas 2 & 3), 2014 U.S. Census 5-year Estimates (Areas 1-3), projection made by Metro Center staff Voter Statistics The proposed annexation areas total number of registered voters: Table 2: Voting Characteristics of Proposed Annexed Areas* Total Voters Democrats Republicans No Party Affiliation Others Brownsville 13,648 10,727 713 2,138 70 36th St.* & Melrose 4,062 2,480 643 905 34 Blue Lagoon 4,174 1,037 1,817 1,268 52 Total** 19,424 12,356 3,016 3,911 141 Source: Miami -Dade County Elections Department (As of 9/2/2015) * Precincts extend beyond potential annex areas and voter numbers are over reported. **Only counts shared districts once. Table 3. Precincts of Annexation Areas Brownsville 257 258 259 260 261 262 264 266 275 278 281 282 36th St. North & Melrose 261 266 281 284 285 288 289- Blue Lagoon 341 424 442 Source: Miami -Dade County Elections Department Page 120 COMMUNITY PROFILES Brownsville The proposed annex area of Brownsville is a highly population residential area that makes up over half of the population in this study. The western edges of Brownsville has considerable industry and warehousing, while much of the rest of the area is comprised of single family homes and apartment complexes. The proposed annex area is well connected to the City of Miami with three easily accessible Metrorail stops: Dr. Martin Luther King Jr. Plaza, Brownsville Station, and Earlington Heights Station. Brownsville has a number of public schools, community centers, parks, and county buildings. The area most recently was the site of a joint venture that built a large transit -oriented development that provided 490 affordable housing units right next to the Metrorail's Brownsville Station. Brownsville's population is 15,486, of which 72 percent identifies as Black and the remainder identifying as predominately Hispanic. While most other areas in the study are roughly equally split between Male and Female, Brownsville has more than 2,000 more Females than Males. The area has an average household size of 3.29 and has greater numbers of renting households than owner occupied. 36th St. North & Melrose 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. 36th St. North's population is the smallest of this study at only 408, of which roughly 89 percent identifies as Hispanic. While much of this area is commercial and industrial space, the majority of residents live within a centrally located trailer park named the Royal Duke Trailer Court. The area has an average household size of 3.43 and has greater numbers of renting households than owner occupied by more than 3 to 1. 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. The proposed combined Melrose area has a total projected population of 5,371. Similar to the proposed annex area of NW 36th St. just north of Melrose, the area is predominately Hispanic with 75 percent identifying as such. Melrose has slightly more renter occupied units that owner occupied, and the average household size is large at 3.48. 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. 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. These industries rely heavily on the river for access to the Port of Miami and the proximity of Miami International Airport. 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 Page 121 known habitat for manatees, and has been designated "Essential Manatee Habitat" by the Dade County Manatee Protection Plan.' Blue Lagoon The areas making up Blue Lagoon West and Waterford, collectively titled Blue Lagoon in this study, are centrally located within Miami -Dade County. The area is bound by the Palmetto Expressway and Perimeter Road, with the Dolphin Expressway running through its center and bordering the City of Miami boundary to the south along Tamiami Canal. Blue Lagoon is adjacent to Miami International Airport and has convenient access to the SR-826 and SR-836 Expressways. 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 including 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 71 st Avenue. There is very little vacant land for redevelopment in Blue Lagoon West, as it is a very established residential community. The total projected population of Blue Lagoon is 4,603 with approximately 95 percent identifying as Hispanic. The area is predominately renter occupied and the average household size is the highest of the proposed annex areas at 3.55. Miami -Dade County Department of Planning and Zoning Community Planning Section. Palmer Lake Area Charrette Plan Draft. Published September 2011. Retrieved October 2, 2013. http://waterfordatbluelaaoon.com/aboutus. Retrieved October 2, 2013. Page 122 Appendix C: Acreage Summary The following table was calculated using current Miami -Dade land use data from Miami -Dade County's Department of Regulatory and Economic Resources. The parcels within the proposed annex areas were generated through GIS spatial analysis and are acreage estimates. Land Use Brownsville 36th St. & Melrose Blue Lagoon Miami -Dade County (Acres) Miami -Dade County (Percent) Residential 537.0 144.0 119.8 112,271.3 7.2% Commercial 62.6 144.8 191.4 29,650.3 1.9% Industrial 182.8 213.9 49.6 19,115.3 1.2% Institutional 121.4 40.1 10.9 15,384.1 1.0% Parks & Recreation 49.6 6.9 0.4 834,337.6 53.3% Transportation & Utilities 467.9 286.9 397.0 87,539.7 5.6% Agriculture - - - 62,586.4 4.0% Vacant 95.7 41.0 65.0 83,123.5 5.3% Inland Water - 52.0 302.2 320,067.8 20.5% Totals 1,517.0 929.6 1,136.4 1,564,076.0 Source: Miami -Dade County Department of Regulatory and Economic Resources. Published: October 2016. Page 123 Appendix D: Projected Population Growth Population growth was calculated based on the Metropolitan Center's current projections for 2014 population based upon the change between the Census's 2010 Decennial Census Block Level Estimates for the year 2010 and 2014 5-year Estimates for 2014. Although these areas saw a general decline in populations between 2010 and 2014 due to a decline in overall available units and a drop in occupancy, it is assumed that population will increase incrementally as the occupation rate beings to increase, existing empty lots are built upon, and developers create larger, multi -unit apartment complexes where zoning permits. A conservative 3 percent growth rate was factored into the calculation for all areas to illustrate a potential population growth in the proposed annex areas. Community 2014 2015 2016 2017 2018 2019 2020 Brownsville 408 421 433 446 460 473 487 36th St. & Melrose 5,779 5,953 6,131 6,315 6,505 6,700 6,901 Blue Lagoon 15,486 15,951 16,429 16,922 17,430 17,953 18,491 Totals 25,868 26,644 27,444 28,267 29,115 29,988 30,888 Source: 2010 U.S. Census, 2014 U.S. Census 5-year Estimates Page 124