R7A - Adopt Fy 2026 Capital Budget

Resolutions - R7 A

R7 A A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ADOPTING THE FIRST AMENDMENT TO THE CAPITAL BUDGET FOR FISCAL YEAR 2026 AS SET FORTH IN ATTACHMENTS A, “PROJECTS”; B, “SOURCE OF FUNDS”; AND C “PROGRAMS." Applicable Area:

COMMISSION MEMORANDUM

DATE:

DATE:	October 29, 2025	10:07 a.m. Public Hearing
TITLE:	A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ADOPTING THE FIRST AMENDMENT TO THE CAPITAL BUDGET FOR FISCAL YEAR 2026 AS SET FORTH IN ATTACHMENTS A, “PROJECTS”; B, “SOURCE OF FUNDS”; AND C “PROGRAMS."

RECOMMENDATION

The Administration recommends that the Mayor and City Commission adopt the attached Resolution.

BACKGROUND/HISTORY

Planning for capital improvements is an ongoing process; as needs change within the City of Miami Beach (the “City”), capital programs and priorities must be adjusted accordingly. The Capital Improvement Plan (“CIP”) serves as the primary policy and planning tool for systematically identifying, prioritizing, and assigning funds to critical City capital improvement projects.

The City's CIP and Capital Budget development process begins in the winter when all departments are asked to prepare updates and requests on their department’s ongoing and new proposed capital projects. Individual departments prepare submittals identifying potential funding sources and requesting commitment of funds for their respective projects.

The CIP is updated annually and submitted to the Mayor and City Commission for adoption. The Fiscal Years (“FY”) 2026 – 2030 CIP and FY 2026 Capital Budget was adopted on September 30, 2025 by Resolution No. 2025-33948.

ANALYSIS

FIRST AMENDMENT TO THE FY 2026 CAPITAL BUDGET

The proposed First Amendment to the FY 2026 Capital Budget reflects an overall increase of $350,000.00 and the re-alignment of $1,384,955.00 for the following capital projects:

1. North Shore Park Youth Center Restrooms (#28600): This project contemplates a new building adjacent to the North Shore Park Tennis Center, which includes new restroom facilities for general park users within the proximity of the fields, and a shell space intended to be used as a future concession space.

In December 2024, the Parks and Recreation Department received a request from Van Daalen Tennis, LLC. (Operator), the operator of the Miami Beach Tennis Center, to add a terrace area on the east side of the future concession space. In January 2025, the Office of Capital Improvement Projects (CIP) received an updated request from

the Operator to expand the requested terrace to accommodate an enlarged outdoor seating area for the future concession space.

On April 8, 2025, the North Beach Community Redevelopment Agency (CRA) Advisory Committee recommended that the CRA allocate up to $350,000 toward the enhancement of the Project’s current scope. The CRA funds would support the completion of facility enhancements, including, but not limited to, structural improvements, expansion of the terrace area and additional lighting, relocation of the ADA ramp, and other related work to accommodate the requested outdoor seating area.

On July 8, 2025, the City Attorney’s Office (CAO) determined that the CRA funds could not be used for this work, pursuant to Section 163.370(3)(b), of the Florida Statutes, since CRA TIF Revenue cannot be utilized for ”the installation, construction, reconstruction, repair, or alteration of any publicly owned capital improvements or projects if such projects or improvements were scheduled to be installed, constructed, reconstructed, repaired, or altered within 3 years of the approval of the community redevelopment plan...” While the CRA Advisory Committee and City staff were working under the interpretation that the request for the additional outdoor terrace was an added and independent scope to the Project, the CAO clarified that this work fell within the three-year prohibition and met the definition of an alteration to an existing capital project.

City staff had discussions with the Operator and the Parks and Recreation Department to clarify the scope being requested and associated costs. The additional scope requested includes; 1) an expanded terrace along the east face of the shell space, 2) additional lighting as required by code, 3) additional railings along the new terrace, 4) modification of the existing roof ladder, 5) design and installation of a grease trap system and 6) alteration and installation of the required ADA ramp.

City staff reviewed the above scope with the consultant and contractor and developed an estimated total budget of approximately $350,000, including design, permitting, fees and construction costs.

Recently, the Operator has indicated a desire to improve and complete the interior of the shell space in order to provide the intended cafe offerings contemplated in the Management and Operation Agreement and has informed City staff that they are prepared to commence preparation of design and construction documents.

Pursuant to the recommendation of the Finance and Economic Resiliency Committee (FERC) at its October 15, 2025 meeting, the scope of the project is recommended to be expanded to include additional structural improvements, terrace expansion, enhanced lighting, ADA ramp modifications, and the installation of a grease trap system.

Accordingly, this budget amendment is being presented in conjunction with a companion item on today’s agenda, which seeks the Mayor and City Commission approval of the FERC recommendation. The proposed amendment reflects the funding necessary to support the expanded project scope and facilitate implementation upon Commission approval.

Funding for this proposed amendment would come from fund balance that is available for appropriation in the Capital Reserve Fund (Fund 304).

Prior Years’ Appropriations

$2,200,956.00

October 29, 2025 Budget Amendment

350,000.00

Proposed Total Appropriations

$2,550,956.00

2. Water and Wastewater Mains and Rehabilitation (#28520): The City of Miami Beach is undertaking the replacement of two aging 30-inch sanitary sewer force mains along Pine Tree Drive that cross the Flamingo Waterway near West 51 st Street. These pipelines are critical to the City’s wastewater infrastructure, carrying flows from the northern part of the City, including neighboring municipalities such as Surfside, Bay Harbor Islands, and Bal Harbour, to the Miami-Dade County Central District Wastewater Treatment Plant. The existing mains have reached the end of their service life and are at risk of failure.

During construction, the contractor encountered several unforeseen conditions, including undocumented underground utilities, deeper-than-anticipated pipe elevations, and malfunctioning isolation valves. To address these unforeseen challenges and ensure the project’s timely completion, a construction change order is required. This includes the installation of a temporary sanitary sewer bypass system and the procurement of additional pipes, fittings, and related components.

Funding for this proposed amendment would come from Water and Sewer Bond Funds (Fund 417) previously appropriated to the following project that remains necessary but is currently on hold due to a shift in utility project priorities within the Public Works Department.

• •

Water Main Replacement on Collins Avenue from 4 th Street to 15 th Street (#64232) - $1,384,955.00

Prior Years’ Appropriations

$78,790,395.00

October 29, 2025 Budget Amendment

1,384,955.00

Proposed Total Appropriations

$80,175,350.00

FISCAL IMPACT STATEMENT

See detailed information provided above.

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

See detailed information provided above.

CONCLUSION

The City Administration recommends that the Mayor and City Commission adopt the First Amendment to the Capital Budget for FY 2026 described herein and further detailed in Attachments A-C of the accompanying Resolution.

EC/JDG/TOS

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

Management and Budget

Sponsor(s)

Co-sponsor(s)

Condensed Title

10:07 a.m. PH, Adopt 1st Amendment to the FY 2026 Capital Budget. OMB

Previous Action (For City Clerk Use Only)

RESOLUTION NO.

A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ADOPTING THE FIRST AMENDMENT TO THE

CAPITAL BUDGET FOR FISCAL YEAR 2026 AS SET FORTH IN ATTACHMENTS A. “PROJECTS”: B. “SOURCE OF FUNDS”; AND C

“PROGRAMS."

WHEREAS, on September 30, 2025, the final Capital Improvement Plan (CIP) for Fiscal Years 2026 – 2030 and the final Capital Budget for FY 2026 was adopted via Resolution No. 2025-33948; and

WHEREAS, it is recommended by the Administration that the FY 2026 Capital Budget be amended to increase appropriations by $350,000.00 and re-align $1,384,955.00 between existing projects as highlighted in Attachments A, “Projects”; B, “Source of Funds”; and C, “Programs.”

NOW. THEREFORE. BE IT DULY RESOLVED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that following a duly noticed public hearing on October 29, 2025, the Mayor and City Commission hereby adopt the First Amendment to the Capital Budget for Fiscal Year 2026 as set forth in Attachments A, “Projects”; B, “Source of Funds”; and C, “Programs.”

PASSED AND ADOPTED this 29#' day of October 2025.

ATTEST:

Rafael E. Granado, City Clerk

Steven Meiner, Mayor

APPROVED AS TO FORM & LANGUAGE

& FOR EXECUTION

lo/2\ I IOZS–

Date

ATTACHMENT A

FY 2026 CAPITAL BUDGET

AMENDED 10/29/2025

Capital Project Name

NSPYC RESTROOMS (Project # 28600)

WATER MAIN REPLACEMEMr-coLUNS +15 (Project #

64232)

WATER & WASTEWATER MAINS AND REHAB (Project #

28520)

Note

(i) $1,384,955 of funding will be transferred from the Water Main Replacement project on Collins Avenue from 4th Street to 15th Street to the

Water and Wastewater Mains and Rehabilitation project.

PROJECTS

Revised FY 2026

Adopted

Amended 10/29/2025

FY 2026

Capital Budget

Capital Budget

$ 2,200,956.oo 1 $

350,000.oo 1 $

2,550,956.oo

4, 189,759.00

4, 189,759.00	2,804,804.00	(1 ,384.955.00)
(25,000,000.00)	1 ,384,955.00	(23,615,045.00)
09,285.00	0,000.00

ATTACHMENT B

FY 2026 CAPITAL BUDGET SOURCE OF FUNDS AMEN DED 10/29/2025

Funding Source

Resiliency Fund Capital Renewal & Replacement Tree Preservation Trust Fund

North Beach Public Benefits

7th Streetme- Art in Public Places

Fees in Lieu of Parking

Concurrency Management & Mobility Fee

Concurrency Mitigation Fund

RDA City Center Renewal & Replacement Local Option Gas Tax

Capital Projects Financed By Other Funds

Pay As You Go - Capital Fund

Capital Reserve Resort Tax - South Beach Resort Tax - Mid Beach

Resort Tax - North Beach

2015 Resort Tax Revenue Bonds

RDA Series 201 5A

City Center RDA Capital Fund

1999 GO Bonds Neighborhood lmprovements

2003 GO Bonds Fire Safety 2003 GO Bonds Parks & Rec

2003 GO Bonds Neighborhoods

South Pointe Capital

2019 GO Bonds - Neighborhoods & Infrastructure

2023A Art, Cultural, & Facilities GOB Tax-Exempt

2023B Art, Cultural, & Facilities GOB Taxable

Water & Sewer Capital Projects funded from Operations 2017 Water & Sewer Bonds

Water & Sewer Bond Series 2010

Water & Sewer Impact Fees Gulf Breen 2006

2000 Water & Sewer Bonds

Stormwater Projects - MDC ILA Storm Water Capital not Bonds

Convention Center Operating Fund

Convention Center Renewal & Replacerrent

Revised

Adopted FY 2026 Capital Budget

Amended

FY 2026

10/29/2025

Capital Budget

7,478,030.00 5,936,384.00

7,478,030.00 5,936,384.00

110,000.00

11 0,000.00

147,343.00

147,343.00

1 ,020,000.00

@

75,000.00

75,000.00

2,022,197.00

2,022, 197.00

1 ,258,773.00

1 ,258,773.00

m1

[61 ,000.00)

360,627.00

!60,627.00

IOO,000.00)

®8

1 ,062,872.00

)62,872.00

25,254,398.00 4,270,928.00

25,254,398.00

4,620,928.00 2,335,336.00 3,170,115.00

350,000.00

2.335,336.00

3, 1 70,115.00

3,488,264.00

3,488,264.00 2,613,583.00

2,613,583.00

1 ,004,788.00

1 ,004,788.00

1 ,022,374.00

1 , 022,374.00

465.00

465.00

22,946.00

22,946.00

13,01 1 .00

13,01 1 .00

16,885.00

16,885.00

2,776.00

2,776.00

76,748.00

76,748.00

1 ,845,789.00

RDA Garages Penn Garage Fund

RDA Collins Garage Operations 1988 Debt Service Construction

2010 Parking Bonds

2015 Parking Revenue Bonds

Parking Capital not Bonds

Fleet Managerrent Communications

Total Appropriation as of 10/29/2025

,845,789.00

1

400,000.00

400,000.00

15,180,588.00

15, 180,588.00

3,717,721 .00

3,717,721 .00

835.00

835.00

353,777.00

353,777.00

5,227.00

5,227.00

21 ,610.00

21 ,610.00

288,952.00

288,952.00

1 ,297,300.00

1 ,297,300.00

11 ,308,739.00

11 ,308,739.00

,453,000.00 500,000.00

500,000.00

900,000.00

900,000.00

500,000.00

500,000.00

122,430.00

122,430.00

545,935.00

545,935.00

Note

(i) $1 ,384,955 of funding will be transferred from the Water Main Replacement project on Collins Avenue from 4th Street to 15th Street to the Water and Wastewater Mains and Rehabilitation project.

1 ,453,000.00

1

11 3,256.00

11 3,256.00

28,674,438.00

28,674,438.00 9,587,800.00

9, 587,800.00

39,000.00

39,000.00

138,659,24 0.00

138,659,24 0.00 009.240.00

ATTACHMENT C FY 2026 CAPrrAL BUDGET

PROGRAMS

Program Area

Art in Public Places

Bridges

Community Centers Convention Center

Cultural Services

Environmental

Equipment

General Public Buildings

Golf Courses

Monuments

Parking

Parks Seawalls

Streets/Sidewalks/Streetscapes Improvements

Transit/ Transportation

Utilities

I CC+IFll £\JF$1©JTPI g)irl EII win abS el E 1 U/ IV//Pd U dPa

Note

(i) $1,384,955 of funding will be transferred from the Water Main Replacement project on Collins Avenue from 4th Street to 15th Street to the Water and Wastewater Mains and Rehabilitation project.

Revised FY 2026

Adopted FY 2026

Amended

10/29/2025

Capital Budget

Capital Budget

75,000.00

75,000.00

$

$

600,000.00

600.000.00

2,645,789.00 350,000.00 2,995,789.00 16,380,110.00

16,380,1 10.00

400,000.00

400,000.00 470,000.00

470,000.00

12,844,291.00

12,844,291.00 24,389,860.00

24,389,860.00

3,494,000.00

3,494,000.00

133,000.00

133,000.00

11 ,808,236.00

11 ,808,236.00

27,629,840.00

27,629,840.00 8,322,374.00

8,322,374.00

5,094,163.00 387,773.00

5,094, 163.00

387,773.00

23,984,804.00

23,984,804.00

000 00

138,659,24 0.00

139 O09.24C

000 00 138,659,24 0.00 139 O09.24C $

$