C4C - Establish Zoning Incentive Good Standing Rules

Committee Referrals - C4 C

COMMISSION MEMORANDUM

RECOMMENDATION

The Administration recommends that the Mayor and City Commission (City Commission) refer the attached draft ordinance to the Planning Board. If this item is referred, the legislation may need to be revised prior to consideration by the Planning Board to comply with Senate Bill 180, which was adopted during the 2025 State legislative session.

BACKGROUND/HISTORY

On February 3, 2025, at the request of Commissioner Alex Fernandez, the City Commission referred a discussion item pertaining to requirements for applicants seeking zoning incentives to be in good standing with the city (C4 Y) to the Land Use and Sustainability Committee (LUSC). On April 15, 2025, the LUSC discussed and continued the item to the June 10, 2025, LUSC meeting, with direction to staff to further develop the proposed draft amendments in accordance with the following:

1. Create a definition for ‘habitual offender’.

2. Establish a minimum waiting period after all fines and violations have been resolved and before a transmittal hearing can occur before the Planning Board.

3. Create options for a potential City Commission waiver of all or part of the waiting period, subject the payment of a fine or the voluntary proffer of a public benefit.

On June 10, 2025, the LUSC discussed the proposal and recommended that the City Commission refer an amendment to the Land Development Regulations of the City Code (LDRs) to the Planning Board, in accordance with the recommendations in the LUSC memorandum, and including the requirement for any waiver to be approved a 5/7 vote.

ANALYSIS

Attached is a draft amendment to Chapters 1 and 2 of the LDRs. The following is a general summary of the proposed amendments:

Chapter 1 - General Definitions The following definition for ‘habitual offender’ has been created:

Habitual offender is an individual or entity with a record of three (3) or more adjudicated violations within the preceding 3 years of the City’s land development regulations, Florida Building Code, and/or Florida Life Safety Code.

Chapter 2 - Administration and Review Procedures For private applications to amend the LDRs or Comprehensive Plan, the property owner shall certify the following, prior to consideration of the amendment by the Planning Board:

1. There shall be no open zoning, city code, building, or life safety violations at the subject property.

2. There shall be no outstanding fines, fees, or other open bills due to the City.

Should the property owner filing the amendment application meet the definition of habitual offender, a minimum waiting period of one year shall be required prior to consideration of the amendment by the Planning Board. This one year waiting period shall commence upon satisfaction of the following:

1. The submission of a completed application for the proposed amendment(s).

2. All open zoning, city code, building, or life safety violations at the subject property have been deemed in compliance and are no longer outstanding.

3. All outstanding fines, fees, or other open bills have been paid in full to the city.

The City Commission, by approval of a resolution with at least 5 affirmative votes, may waive or reduce the one year waiting period based on the following factors:

1. Whether the applicant was the owner of the property at the time of the applicable violations.

2. Any efforts taken by the applicant to mitigate the conditions that gave rise to the violations.

3. Any other factors or information provided by the applicant in writing which, to the satisfaction of the City Commission, demonstrate that a waiver should be granted.

The Administration is supportive of the attached ordinance, as it applies to all applications uniformly and would be an added incentive to correct outstanding violations and past due fines in an expedient manner. These requirements could also be included as a condition of eligibility as part of future zoning incentive legislation, including legislation presently before the City Commission, LUSC, or Planning Board.

As it pertains to establishing a waiting period for properties with a history of persistent or habitual violations, the Administration previously urged caution about adding this as a regulatory criterion. The reason is that a property may go through a change of ownership and delaying the amendment process could disincentivize or otherwise impact the ability of the property owner to move forward with improvements to the property. In this regard the waiver provision in the draft ordinance provides appropriate flexibility on the part of the City Commission to address habitual violations when there are unique circumstances.

APPLICATION FEE WAIVER The subject amendment is proposed on a comprehensive basis, and not on behalf of a private applicant or third party. Pursuant to section 2.4.1.c of the Land Development Regulations of the City Code, amendments to the City Code require the payment of the applicable fees in section 2.2.3.5, 2.2.3.6, and appendix A to the City Code. These fees may be waived by a five-sevenths (5/7ths) vote of the City Commission, based upon one or more of the following circumstances:

1. The City Commission determines that the proposed amendment is necessary due to a change in federal or state law, or to implement best practices in urban planning, or based on circumstances unique to the proposed amendment.

2. Upon the written recommendation of the City Manager acknowledging a documented financial hardship of a property owner(s) or developer(s).

3. If requested, in writing, by a non-profit organization, neighborhood association, or homeowner's association for property owned by any such organization or association, so long as the request demonstrates that a public purpose is achieved by enacting the applicable amendment.

Should this proposal be referred to the Planning Board, the Administration recommends that the City Commission determine that the proposed amendment is necessary based on circumstances unique to the proposed amendment and waive the applicable fees.

FISCAL IMPACT STATEMENT

No Fiscal Impact Expected

Does this Ordinance require a Business Impact Estimate? (FOR ORDINANCES ONLY)

If applicable, the Business Impact Estimate (BIE) was published on: See BIE at: https://www.miamibeachfl.gov/city-hall/city-clerk/meeting-notices/

FINANCIAL INFORMATION

Not Applicable

CONCLUSION

The Administration recommends the following:

1. The City Commission refer the attached draft ordinance to the Planning Board.

2. In accordance with section 2.4.1.c.1 of the Land Development Regulations of the City Code, the City Commission waive the applicable fees based on circumstances unique to the proposed amendment.

Applicable Area

Citywide

Was this Agenda Item initially requested by a lobbyist which, as defined in Code Sec. 2-481, includes a principal engaged in lobbying? No

If so, specify the name of lobbyist(s) and principal(s):

Department

Planning

Sponsor(s)

Commissioner Alex Fernandez

Co-sponsor(s)

Commissioner David Suarez

Condensed Title

Ref: PB - Good Standing Requirements for Zoning Incentives. (Fernandez/Suarez) PL

Previous Action (For City Clerk Use Only)