Miami-Dade Legislative Item
File Number: 051633
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File Number: 051633 File Type: Ordinance Status: Adopted
Version: 0 Reference: 05-142 Control: County Commission
File Name: ORDINANCE RELATING TO ANNEXATION AND INCORPORATION; SECTION Introduced: 5/26/2005
Requester: Office of Strategic Business Management Cost: Final Action: 7/7/2005
Agenda Date: 7/7/2005 Agenda Item Number: 7G
Notes: Title: ORDINANCE RELATING TO ANNEXATION AND INCORPORATION; CREATING SECTION 20-8.5 OF THE CODE OF MIAMI-DADE COUNTY; PROVIDING THAT THE BOARD OF COUNTY COMMISSIONERS MAY REQUIRE ANNEXING MUNICIPALITY TO PAY MITIGATION WHEN ANNEXING A NON-REVENUE NEUTRAL AREA; AMENDING SECTION 20-26 OF THE CODE OF MIAMI-DADE COUNTY, FLORIDA; REQUIRING ANY PRE-AGREED CONDITION OF INCORPORATION PERTAINING TO MITIGATION BE ESTABLISHED SO AS NOT TO TRIGGER ''MOST-FAVORED-NATIONS'' CLAUSES IN ANY MUNICIPAL CHARTER; PROVIDING SEVERABILITY, INCLUSION IN THE CODE, AND AN EFFECTIVE DATE [SEE ORIGINAL ITEM UNDER FILE NO. 043395]
Indexes: ANNEXATION
Sponsors: Jose "Pepe" Diaz, Prime Sponsor
  Joe A. Martinez, Co-Sponsor
Sunset Provision: No Effective Date: Expiration Date:
Registered Lobbyist: None Listed


Legislative History

Acting Body Date Agenda Item Action Sent To Due Date Returned Pass/Fail

Board of County Commissioners 7/7/2005 7G Adopted P
REPORT: In response to Commissioner Heyman’s inquiry concerning mitigation calculations for areas in the process of annexation that had already expended City and County resources, Assistant County Attorney Coller stated that it would be at the County Commission’s discretion whether they would require mitigation with respect to an annexation.

Infrastructure and Land Use Committee 6/14/2005 3C SUB Forwarded to BCC with a favorable recommendation P

County Attorney 6/3/2005 Assigned Cynthia Johnson-Stacks 6/3/2005

County Attorney 6/2/2005 Assigned County Manager's Office

County Attorney 5/27/2005 Assigned Cynthia Johnson-Stacks 6/2/2005
REPORT: returned for correction

County Manager 5/26/2005 Assigned County Attorney 7/7/2005
REPORT: Substitute to 043395 [ Inluc for 6/14/2005] Sponsor is Diaz and Martinez

County Manager 5/26/2005 Referred Infrastructure and Land Use Committee 6/14/2005

County Manager 5/26/2005 Assigned Joe Ruiz 5/26/2005

Legislative Text


TITLE
ORDINANCE RELATING TO ANNEXATION AND INCORPORATION; CREATING SECTION 20-8.5 OF THE CODE OF MIAMI-DADE COUNTY; PROVIDING THAT THE BOARD OF COUNTY COMMISSIONERS MAY REQUIRE ANNEXING MUNICIPALITY TO PAY MITIGATION WHEN ANNEXING A NON-REVENUE NEUTRAL AREA; AMENDING SECTION 20-26 OF THE CODE OF MIAMI-DADE COUNTY, FLORIDA; REQUIRING ANY PRE-AGREED CONDITION OF INCORPORATION PERTAINING TO MITIGATION BE ESTABLISHED SO AS NOT TO TRIGGER "MOST-FAVORED-NATIONS" CLAUSES IN ANY MUNICIPAL CHARTER; PROVIDING SEVERABILITY, INCLUSION IN THE CODE, AND AN EFFECTIVE DATE

BODY
WHEREAS, the County has authorized the creation of municipalities after September 1, 2000, conditioned upon those municipalities' compliance with certain pre-agreed conditions of incorporation, as authorized by Section 20-26 of the Code of Miami-Dade County, Florida; and
WHEREAS, donor municipalities following September 1, 2000 have obligated themselves in their municipal charters to pay mitigation to the County in accordance with Section 20-26 of the Code of Miami-Dade County; and
WHEREAS, mitigation payments required of municipalities should not violate any most-favored-nations clauses contained in the charter of any previously created municipality, so that a reduction in the amount of mitigation paid by those cities will not be triggered; and
WHEREAS, certain municipalities have agreed to pay mitigation on annexations of donor areas,

NOW, THEREFORE, BE IT ORDAINED BY THE BOARD OF COUNTY COMMISSIONERS OF MIAMI-DADE COUNTY, FLORIDA:
Section 1. Section 20-8.5 of the Code of Miami-Dade County, Florida, is hereby created to read as follows:
Sec. 20-8.5 Mitigation on proposed boundary changes.
(a) The Board of County Commissioners may require as a condition of municipal boundary change involving an area that is not revenue neutral, that the municipality shall agree to make an annual mitigation payment to the County's Municipal Services Trust Fund in the Unincorporated Municipal Services Area Budget. The amount of the annual mitigation payment which shall be determined by the Board of County Commissioners. For purposes of this section, "a revenue neutral area" is defined as an area that previously, as part of the unincorporated municipal service area, generated revenues equal to or less than the cost of services provided to the area by the County.

(b) In determining whether as a condition of any municipal boundary change the annexing municipality will be required to pay an annual mitigation payment to the County's Municipal Services Trust Fund, the Board of County Commissioners may consider, among other factors deemed appropriate by the Board, whether the proposed annexation will in the Unincorporated Municipal Services Area Budget; the use eliminate enclave areas in the unincorporated area.

Section 2. Section 20-26 of the Code of Miami-Dade County, Florida, is hereby amended to read as follows:1
Sec. 20-26. Future Municipalities' Obligations to the County.

(a) As a condition of incorporation approved pursuant to Article V of the Miami-Dade County Home Rule Charter, each new municipality shall include a provision in its charter and shall agree to remain a part of the Miami-Dade County Fire-Rescue District and the Miami-Dade County Library System in perpetuity.

(b) As a condition of incorporation approved pursuant to Article V of the Miami-Dade County Home Rule Charter, each new municipality shall include a provision in its charter and shall agree in perpetuity to contract with the Miami-Dade County Police Department ("MDPD") and pay for specialized police services from its municipal millage or other municipal funds. For purposes of this subsection, specialized police services include, but are not limited to, narcotics, criminal intelligence, economic crimes, homicide, robbery, sexual crimes, environmental crimes, domestic crimes, and crime scene investigations; property and evidence efforts; tactical operations activities; and aviation patrol.

(c) As a condition of incorporation approved pursuant to Article V of the Miami-Dade County Home Rule Charter, each new municipality shall include a provision in its charter and shall agree to contract with the Miami Dade County Police Department ("MDPD") and pay for local patrol police services for three years or such longer period of time as may be requested by the municipality.

(d) The fiscal impact of an incorporation on the remainder of the unincorporated area shall be revenue neutral; provided, however, any municipality which does not meet the foregoing requirement, as a condition of incorporation pursuant to Article V of the Miami-Dade County Home Rule Charter, shall agree to make an annual mitigation payment to the County's Municipal Services Trust Fund in the Unincorporated Municipal Service Area Budget, the amount of which shall be determined by the Board of County Commissioners, in the event of a negative fiscal impact of the municipality's incorporation on the unincorporated area. For purposes of this subsection, "a revenue neutral municipality" is defined as an area that previously, as part of the unincorporated municipal service area, generated revenues equal to or less than the cost of services provided to the area by the County. >>Any annual mitigation amount determined by the Board of County Commissioners pursuant to the provisions of this paragraph shall be established so as not to trigger "most-favored-nation-status" clauses which are contained in any municipal charter.<<

Section 3. If any section, subsection, sentence, clause or provision of this ordinance is held invalid, the remainder of this ordinance shall not be affected by such invalidity.
Section 4. It is the intention of the Board of County Commissioners, and it is hereby ordained that the provisions of this ordinance, including any sunset provision, shall become and be made a part of the Code of Miami-Dade County, Florida. The sections of this ordinance may be renumbered or relettered to accomplish such intention, and the word "ordinance" may be changed to "section," "article," or other appropriate word.
Section 5. This ordinance shall become effective ten (10) days after the date of enactment unless vetoed by the Mayor, and if vetoed, shall become effective only upon an override by this Board.

HEADER
Date:
To: Honorable Chairman Joe A. Martinez and Members,
Board of County Commissioners
From: George M. Burgess
County Manager
Subject:Ordinance relating to mitigation paid to the County as a result of annexation and incorporation


This item is a substitute as it deletes a reference to Commercial, Business, Industries (CBI) and a related companion item.

This action was recommended by the former Incorporation and Annexation Subcommittee of the
2002-2004 Budget and Finance Committee.

STAFF RECOMMENDATION

It is recommended that the Board of County Commissioners (BCC) adopt the attached ordinance relating to mitigation paid to the County as a result of either an annexation or incorporation by creating Section 20-8.5 of the Code of Miami-Dade County to require as a possible condition of annexation that the annexing municipality pay mitigation amount when annexing an area considered to be a donor; amending Section 20-26 of the Code of Miami-Dade County requiring that any pre-agreed condition of incorporation pertaining to mitigation be established so as not to trigger any “Most Favored Nations” clauses in any municipal charter.

MANAGER'S BACKGROUND

The Incorporation and Annexation Subcommittee (Subcommittee) held several meetings last year to review the County’s incorporation and annexation policies and practices. Public input and commentary were provided and considered at these meetings. During this time, staff provided the Subcommittee with two detailed reports. At the direction of the Chair and Members of the Subcommittee, the first of these reports included policy approaches and recommendations that could be used to guide future incorporation and annexation requests. The report also served to clarify existing policies. The report was forwarded to both the Budget and Finance and Governmental Operations and Environment Committees for their review and consideration in January 2004. No action was taken at that time, but subsequently staff developed an updated report with recommendations. The revised report provided by staff recommended that the BCC continue with the established incorporation and annexation guidelines, and implement the codification of certain policies, and the report also provided additional policy matters for review. The Subcommittee met on October 14, 2004, and favorably forwarded this recommendation to the Budget and Finance Committee and BCC for consideration.

Section 20-26 of the Miami-Dade County Code requires that a mitigation payment be made for non-revenue neutral incorporations; however, the code is silent regarding non-revenue neutral annexations. In the past, staff has recommended mitigation payments be made when annexations have occurred that, overall are not revenue neutral, and the County Commission has concurred with such recommendations. The proposed ordinance establishes as policy, that absent other factors (such as the annexation of a enclave that is difficult to service) mitigation is required for non-revenue neutral annexations. The ordinance provides flexibility in determining mitigation payments on a case-by-case basis.

Also, various municipal charters have “most favored nation” language that adjusts mitigation payments if future incorporations provide for lesser mitigation payments. It is the practice of staff to recommend mitigation payments so as to not trigger the most favored nation clauses. The proposed ordinance also codifies that practice as a policy of the County Commission.




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