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HomeMy WebLinkAboutAgenda Item Summary FormAGENDA ITEM SUMMARY FORM File ID: #18059 Date: 08/27/2025 Commission Meeting Date: 09/25/2025 Type: Ordinance Subject: Approve Final Millage FY'26 - City of Miami Requesting Department: Office of Management and Budget Sponsored By: District Impacted: Purpose of Item: To establish the millage rates for the fiscal year ending September 30, 2026 (FY 2025-26) at: General Operating Debt Service Total Millage Rate 7.1364 0.2536 7.3900 Background Information: The City of Miami FY 2025-26 Proposed Operating Budget, as presented in 2025, contains the following recommended millage rates: General Operating Debt Service Total Millage Rate 7.1364 0.2536 7.3900 A five- year history of millage rates is shown below: FY 2021-22 FY 2022-23 FY 2023-24 FY 2024-25 FY 2025-26 Proposed General Operating Debt Service Total Millage Rate 7.6665 0.3235 7.9900 7.5539 0.3235 7.9900 7.1364 0.3235 7.8774 7.1364 0.2536 7.3900 7.1364 0.2536 7.3900 For the City Commission's reference, every tenth mill will generate approximately $8.791 million for the City of Miami General Fund in the next fiscal year. Florida Statute Section 200.065 governs the setting of the millage rates, adoption of budget, and the timeframes required of each. It requires that the City of Miami advise the Property Appraiser of its proposed millage within 35 days (August 4) of the July 1st certification of value so that the information can be included in the notice of proposed property taxes mailed to property owners in August. City of Miami File ID: 18059 (Revision: B) Printed On: 10/21/2025 The same statute governs the timeframes for the first and second budget hearings. The first hearing must be held between 65 and 80 days of the same July 1 certification of value, which is no earlier than September 3 and no later than September 18. The City must then hold a second budget hearing with enough time to provide the final budget and millage rates to the property appraiser, tax collector, and State of Florida Department of Revenue by October 1. The City of Miami proposes to set the first budget hearing for Saturday, September 13, 2025, at 10:00 AM and the second budget hearing on Thursday, September 25, 2025, at 5:05 PM. Miami- Dade County is scheduled to present their budget hearings on September 4, 2025, and September 18, 2025. The School Board Budget Meeting is scheduled for September 10, 2025. Effectively, the tentative millage adopted represents the upper limit for the millage rates to be considered in September. The Commission may lower the general operating millage rate at either of the two budget hearings, but effectively cannot raise it above what is adopted in July. State law allows for this possibility, but it cannot be practically achieved within the timeframes provided in state law. According to the Property Appraiser's Office, this re -noticing of millage rates has not been accomplished even once in the history of the State of Florida. Budget Impact Analysis Item is Related to Revenue Total Fiscal Impact: Total Fiscal Impact: General Fund $1,233,251,000; Debt Service (GOB) $32,912,000 Office of Management and Budget Office of Management and Budget City Manager's Office City Manager's Office City Manager's Office Legislative Division Office of the City Attorney Office of the City Attorney City Commission Legislative Division Office of the City Attorney Office of the City Attorney City Commission Office of the Mayor Office of the City Clerk Office of the City Clerk Legislative Division Office of the City Attorney Office of the City Attorney Reviewed B Marie Gouin Calvin Fifer Erica T. Paschal Natasha Colebrook -Williams Arthur Noriega V Valentin J Alvarez Xavier Alban George K. wysong III Maricarmen Lopez Valentin J Alvarez Xavier Alban George K. wysong III Maricarmen Lopez Mayor's Office City Clerk's Office City Clerk's Office Valentin J Alvarez Xavier Alban George K. Wysong III Department Head Review Budget Analyst Review Assistant City Manager Review Deputy City Manager Review City Manager Review Legislative Division Review ACA Review Approved Form and Correctness Meeting Legislative Division Review ACA Review Approved Form and Correctness Meeting Completed Completed Completed Completed Completed Completed Completed Completed Completed Completed Completed Completed Completed Signed by the Mayor Completed Signed and Attested by the City Clerk Completed Rendered Completed Legislative Division Review Completed ACA Review Completed Approved Form and Correctness Completed 08/27/2025 7:14 PM 08/28/2025 10:08 AM 08/28/2025 10:22 AM 08/28/2025 11:13 AM 08/28/2025 2:54 PM 09/05/2025 12:32 PM 09/05/2025 2:44 PM 09/05/2025 2:49 PM 09/13/2025 10:00 AM 09/16/2025 7:35 AM 09/16/2025 2:00 PM 09/16/2025 2:37 PM 09/25/2025 5:05 PM 09/25/2025 9:30 PM 09/25/2025 9:34 PM 09/25/2025 9:34 PM 09/26/2025 4:47 PM 09/26/2025 5:07 PM 09/26/2025 7:12 PM City of Miami File ID: 18059 (Revision: B) Printed On: 10/21/2025 City of Miami Legislation Ordinance Enactment Number:14398 City Hall 3500 Pan American Drive Miami, FL 33133 www.miamigov.com File Number: 18059 Final Action Date: 9/25/2025 AN ORDINANCE OF THE MIAMI CITY COMMISSION, WITH ATTACHMENT(S), RELATED TO TAXATION, DEFINING AND DESIGNATING THE TERRITORIAL LIMITS FOR THE CITY OF MIAMI ("CITY"); LEVYING AN AD VALOREM TAX ON ALL REAL AND PERSONAL PROPERTY IN THE CITY AT A TOTAL FINAL RATE OF 7.3616 MILLS ON THE DOLLAR OF THE TAXABLE VALUE OF SUCH PROPERTY, FOR THE PURPOSES OF FUNDING THE GENERAL OPERATING BUDGET AND PAYMENT OF DEBT SERVICE, FOR THE FISCAL YEAR BEGINNING OCTOBER 1, 2025, AND ENDING SEPTEMBER 30, 2026; CONTAINING A SEVERABILITY CLAUSE; AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, for the purpose of this Ordinance, the City of Miami ("City") is defined as all of the territory and inhabitants within the area defined in Section 2 of the Charter of the City, entitled "Corporate Limits," and more specifically described in Exhibit "A" of the Charter, on file in the Office of the City Clerk; and WHEREAS, Section 200.065, Florida Statutes, sets forth the method of fixing a millage rate; and WHEREAS, on July 1, 2025, the Miami -Dade County Property Appraiser ("PA"), pursuant to Section 200.065(1), Florida Statutes, certified to the City the preliminary taxable value within its territorial limits, set at $103,705,947,947; and WHEREAS, the City prepared a tentative budget for the fiscal year ("Fiscal Year") beginning October 1, 2025, and ending September 30, 2026, and computed a total proposed millage rate of 7.3900 which is necessary to fund the tentative budget other than the portion of the budget to be funded from sources other than ad valorem taxes; and WHEREAS, the Miami City Commission enacted Resolution R-25-0304, wherein it directed the City Manager to submit to the PA and Miami -Dade County Tax Collector the total proposed millage rate of 7.3900 mills, together with the required information set forth in Section 200.65(2)(b), Florida Statutes; and WHEREAS, at the First Budget Hearing held on September 13, 2025, by a unanimous affirmative vote, the City Commission reduced the tentative millage rate from 7.3900 to 7.3616; and WHEREAS, Section 200.065(5)(a)(1), Florida Statutes, requires that the now final millage rate of 7.3616 mills would further require, at the time of the Second Budget Hearing, a two-thirds (2/3rd) vote, or four -fifths (4/5ths) vote of the members of the City Commission, on the final determination to adopt such millage rate; and City of Miami File ID: 18059 (Revision: B) Printed On: 10/21/2025 WHEREAS, Section 200.065(2)(c), Florida Statutes, requires the City Commission to hold a public hearing on the final budget and the final millage rate and such public hearing has occurred earlier today in this meeting; NOW, THEREFORE, BE IT ORDAINED BY THE COMMISSION OF THE CITY OF MIAMI, FLORIDA: Section 1. The recitals and findings contained in the Preamble to this Ordinance are adopted by reference and incorporated herein as if fully set forth in this Section. Section 2. There shall be levied an ad valorem tax on all real and personal property in the City at a total final rate of 7.3616 mills on the dollar of the taxable value of such property for the Fiscal Year commencing October 1, 2025, and ending September 30, 2026, computed as follows for the purpose of: • 7.1080 mills to fund the General Operating Budget. • 0.2536 mills to provide for the payment of maturing principal and interest, and charges and requirements related thereto, of voter approved indebtedness. Section 3. The final millage rate herein adopted for the purpose of funding the General Operating Budget is 7.67% greater than the rolled -back rate of 6.6015 mills. Section 4. If any section, part of a section, paragraph, clause, phrase or word of this Ordinance is declared invalid, the remaining provisions of the Ordinance shall not be affected. Section 5. This Ordinance shall be effective as of October 1, 2025, after final reading and adoption thereof.' APPROVED AS TO FORM AND CORRECTNESS: ge WyingIII, C y-tor 9/5/2025 a ge Wy ng III, City or ~y 9/16/2025 ge=.WyjngIII, C y-ttor-y 9/26/2025 1 If the Mayor does not sign this Resolution, it shall become effective at the end of ten (10) calendar days from the date it was passed and adopted. If the Mayor vetoes this Resolution, it shall become effective immediately upon override of the veto by the City Commission. City of Miami File ID: 18059 (Revision: B) Printed On: 10/21/2025