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RESOLUTION AUTHORIZING HISTORIC PRESERVATION AD VALOREM TAX EXEMPTION FOR THE REHABILITATION OF 4125 SANTA MARIA STREET, CORAL GABLES, FLORIDA, PURSUANT TO SECTION 196.1997, FLORIDA STATUTES, AND SECTION 16A-18 OF THE CODE OF MIAMI-DADE COUNTY, FLORIDA; DIRECTING THE COUNTY MAYOR OR COUNTY MAYOR�S DESIGNEE TO EXECUTE AND RECORD COVENANT; AND AUTHORIZING THE COUNTY MAYOR OR COUNTY MAYOR�S DESIGNEE TO EXERCISE PROVISIONS CONTAINED THEREIN

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WHEREAS, this Board desires to accomplish the purposes outlined in the accompanying memorandum, a copy of which is incorporated herein by reference,

NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF COUNTY COMMISSIONERS OF MIAMI-DADE COUNTY, FLORIDA, that:

Section 1. The foregoing recital is approved and incorporated in this resolution.

Section 2. This Board finds that the property, located at 4125 Santa Maria Street, Coral Gables, Florida, meets the requirements of section 196.1997, Florida Statutes, and section 16A-18 of the Code, and grants the application for a historic preservation tax exemption to Claudio R. Alvarez Trust, as the owner of the property. The tax exemption hereby authorized shall run for 10 years beginning on January 1st of the year that the Property Appraiser calculates the estimated revenue implications, which for this property began on January 1, 2023 and shall end on December 31, 2032.

Section 3. Pursuant to Resolution No. R-974-09, the Board directs the County Mayor or County Mayor�s designee to sign the attached covenant and record it with the deed for the property in the Public Records of Miami-Dade County, Florida. The County Mayor or County Mayor�s designee shall provide a recorded copy of the covenant to the Clerk of the Board within 30 days of execution of said covenant, and the Clerk of the Board shall attach and permanently store a recorded copy of the covenant together with this resolution.

Section 4. The County Mayor or County Mayor�s designee is authorized to exercise the provisions contained in the covenant.

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Date:

To: Honorable Chairman Anthony Rodriguez
and Members, Board of County Commissioners

From: Daniella Levine Cava
Mayor

Subject: Historic Preservation Ad Valorem Tax Exemption for
4125 Santa Maria Street, Coral Gables, Florida

STAFF RECOMMENDATION
Executive Summary
The purpose of this item is to gain final authorization from the Board of County Commissioners (Board) for a 10-year ad valorem tax exemption for the renovation of the historic property located at 4125 Santa Maria Street, Coral Gables, Florida. If granted, the property will receive an annual Countywide ad valorem tax exemption of approximately $9,872.00 from January 1, 2023 thru December 31, 2032.

Recommendation
It is recommended that the Board authorize the ad valorem tax exemption for the property located at 4125 Santa Maria Street, Coral Gables, Florida, pursuant to Section 196.1997, Florida Statutes, and Section 16A-18 of the Code of Miami-Dade County.

Scope
This property is located within Commission District 7, which is represented by Commissioner Raquel A. Regalado. The impact of this item is countywide.

Delegation of Authority
Upon the approval of this resolution, the County Mayor or County Mayor�s designee will be authorized to: (1) execute and record the associated covenant and (2) to exercise the provisions contained therein. This includes ensuring the Owner provides adequate maintenance and preservation of the property�s qualifying improvements; inspecting the property for compliance; and taking action to report any incident of non-compliance to the Property Appraiser and Tax Collector offices.

Fiscal Impact/Funding Source
The annual amount of ad valorem taxes to be exempted for the 10-year period is determined by applying the countywide operating millage against the taxable value of the qualifying improvements to the property. The ad valorem tax exemption applies only to countywide operating ad valorem property taxes and is not applicable to other taxing authorities.

Based on this methodology, the estimated tax exemption for one year is $9,872.00. This estimate was provided by the Property Appraiser, a copy of which is attached hereto (see Exhibit 1). However, the annual value of the tax exemption during the 10-year period may fluctuate based on adjustments to either the countywide operating millage or the Property Appraiser�s taxable value of the qualifying improvements to the property. Countywide operating ad valorem property taxes will still be assessed and collected on the remaining taxable value that did not qualify for the exemption. Following the 10-year incentive period, the County will begin to assess and collect the countywide operating millage on the full value of the property, inclusive of the previously exempt improvements.

Track Record/Monitor
The Assistant Director of Planning in the Department of Regulatory and Economic Resources, Jerry H. Bell, will be responsible for implementation. County Historic Preservation staff and/or the Preservation Officer of the municipality in which the property is located will conduct periodic reviews of the property to ensure that the improvements are maintained for the duration of the tax abatement.

The tax exemption takes effect on January 1 of the year that the Property Appraiser calculates the estimated revenue implications and extends for a 10-year period, which for this property shall begin on January 1, 2023 and end on December 31, 2032. Failure by the owners to adhere to these standards would result in revocation of the exemption.

Background
1) State Requirements
In 1993, the Florida Legislature approved tax exemptions for historic properties that give local governments the option to provide this property tax exemption for eligible historic properties.

The purpose of this legislation is to encourage the preservation of historic buildings by offering an economic incentive to those property owners that take on the responsibility of restoring and maintaining a designated historic structure. The exemption is not for the entire assessed value of the property. The tax exemptions are calculated from what the value of the renovations to the historic property were, and only apply to the countywide portion of the property�s tax bill. An exemption may also be granted on the municipal portion of the property tax bill if approved by the respective municipality.

Furthermore, all applicants must meet certain criteria as set forth by the Florida Department of State, Division of Historical Resources, in order for a tax exemption to be allowed, including:
� Certification that the property has been designated historic by the applicable preservation board;
� Certification that the property has received approval for the improvements by the applicable preservation board; and
� A determination that the planned improvements are consistent with the Secretary of the Interior�s Standards for Rehabilitation.

2) Application Process
To obtain the County�s ad-valorem tax exemption, Part I of the application (construction plans) must be submitted prior to construction to ensure adherence to the rehabilitation standards. When the project is complete, the owner/applicant must submit Part II of the application (post-construction documentation) to the County along with a signed covenant, a copy of which is attached hereto (see Exhibit 2). The local preservation officer must also review and authorize the work for Part I and Part II of the application.

Upon review and approval of Part II, the item can then be placed on the County�s Historic Preservation Board agenda. The Property Appraiser prepares the Revenue Implications Report when it considers the project substantially complete, and provides this report to the County�s Office of Historic Preservation. The tax exemption is calculated using the millage rate for the year in which the project was completed.

3) Property Information
The historic residential property located at 4125 Santa Maria Street, Coral Gables, Florida was originally constructed in 1947 and designed by the well-known architectural firm Steward and Skinner. It was designated as a contributing property in the Santa Maria Street Historic District by the City of Coral Gables in 2007, based on its historical qualities.

Restoration work included exterior restoration and preservation of historic features including removal of non-original additions, installation of impact-resistant windows and doors; stucco repair; installation of wood shutters; mechanical, electrical, and plumbing upgrades; construction of new additions; and site and landscape improvements.

Part II of the application indicates that the amount spent by the property owner on the total renovation was approximately $6,100,000.00, all of which was attributed to work on the historic structure. The Property Appraiser�s office determined that the taxable value of the qualifying improvements was $2,158,287.00.

The Miami-Dade County Historic Preservation Board, pursuant to Resolution No. 2025-08, a copy of which is attached hereto (see Exhibit 3), recommends that the exemption be granted, because 4125 Santa Maria Street, Coral Gables, Florida is an individually designated historic landmark, the proposed improvements are consistent with the United States Secretary of the Interior�s Standards for Rehabilitation, and the application meets the criteria established in the rules adopted by the Florida Department of State.



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Roy Coley
Chief Utilities and Regulatory Services Officer