C7I - Approve Lincoln Rd Bid Mou

Resolutions - C7 I

C7 I A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, APPROVING IN SUBSTANTIAL FORM AND AUTHORIZING THE CITY MANAGER TO FINALIZE AND EXECUTE A MEMORANDUM OF UNDERSTANDING, IN A FORM ACCEPTABLE TO THE CITY ATTORNEY, WITH THE LINCOLN ROAD BUSINESS IMPROVEMENT DISTRICT, INC., TO ADMINISTER THE SPECIAL ASSESSMENT DISTRICT KNOWN AS THE LINCOLN ROAD BUSINESS IMPROVEMENT DISTRICT, WHICH WAS RENEWED BY THE CITY FOR AN ADDITIONAL TERM OF TEN (10) YEARS PURSUANT TO RESOLUTION NOS. 2024-33178 AND 2025-33785, TO STABILIZE AND IMPROVE THE LINCOLN ROAD RETAIL BUSINESS DISTRICT, THROUGH PROMOTION, MANAGEMENT, MARKETING, AND OTHER SIMILAR SERVICES. Applicable Area:

COMMISSION MEMORANDUM

TITLE:

A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, APPROVING IN SUBSTANTIAL FORM AND AUTHORIZING THE CITY MANAGER TO FINALIZE AND EXECUTE A MEMORANDUM OF UNDERSTANDING, IN A FORM ACCEPTABLE TO THE CITY ATTORNEY, WITH THE LINCOLN ROAD BUSINESS IMPROVEMENT DISTRICT, INC., TO ADMINISTER THE SPECIAL ASSESSMENT DISTRICT KNOWN AS THE LINCOLN ROAD BUSINESS IMPROVEMENT DISTRICT, WHICH WAS RENEWED BY THE CITY FOR AN ADDITIONAL TERM OF TEN (10) YEARS PURSUANT TO RESOLUTION NOS. 2024-33178 AND 2025-33785, TO STABILIZE AND IMPROVE THE LINCOLN ROAD RETAIL BUSINESS DISTRICT, THROUGH PROMOTION, MANAGEMENT, MARKETING, AND OTHER SIMILAR SERVICES.

RECOMMENDATION

Adopt the Resolution authorizing the City Manager to finalize and execute a Memorandum of Understanding (MOU) between the City and the Lincoln Road Business Improvement District, Inc. (LRBID).

BACKGROUND/HISTORY

District Establishment

Chapter 170, Florida Statutes authorizes municipalities, with majority approval from affected property owners, to levy special assessments on benefitted properties. This is for stabilizing and enhancing retail business districts and historic districts through promotion, management, marketing, and other similar services.

On April 15, 2015, the Mayor and City Commission adopted Resolution No. 2015-28992, establishing the Lincoln Road Business Improvement District (the District) for a ten-year term. The District, located within a nationally recognized historic district, is bounded by Alton Road (west), Washington Avenue (east), 17th Street (north), and Lincoln Lane South (south), excluding residential properties, religious institutions, and condominium common areas.

Renewal Process

As the District‘s original term expires in 2025, the City Commission adopted Resolution No. 2024- 32911 on February 21, 2024, directing the City Attorney’s Office and the Administration to work with LRBID to facilitate a renewal in accordance with Chapter 170, Florida Statutes.

On July 24, 2024, the City Commission approved a ten-year renewal via Resolution No. 2024- 33178, subject to a mail ballot election of affected District property owners. The Resolution established procedures for annual assessment levies, including a three percent (3%) annual increase, as well as collection and publication protocols.

On September 11, 2024, through Resolution No. 2024-33230, the City Commission set the election to determine whether a majority (50% plus one) of affected District property owners

supported the renewal of the District. The election, held from November 12 to December 16, 2024, resulted in:

   

65 ballots cast in favor; 0 opposed; 1 ballot rejected as an undervote (blank); and 5 ballots not returned.

The City Clerk certified the election results via Letter to Commission (LTC) 549-2024 on December 16, 2024. On February 3, 2025, the City Commission adopted Resolution No. 2025- 33456, formally accepting the Official Election Certificate and setting a public hearing pursuant to Chapter 170, Florida Statutes. Subsequently, the City Commission adopted Resolution No. 2025- 33652, rescheduling the hearing to June 25, 2025, to hear and consider any complaints and to adjust and equalize the assessments ”on a basis of justice and right,” in accordance with Section 170.08, Florida Statutes.

On June 25, 2025, acting as an equalizing board, the City Commission conducted the required public hearing and confirmed the final assessment roll via Resolution No. 2025-33785. The assessments are now confirmed and constitute legal, valid, and binding liens upon the assessed properties until paid in full.

ANALYSIS

The proposed MOU, retroactively effective October 1, 2025, outlines the responsibilities of the LRBID in managing the District and documents the respective rights, duties, and obligations of both parties for the ten-year renewal term approved by the City Commission.

Effective October 1, 2025, the MOU aligns with the City’s fiscal year and the established assessment cycle. Building on the original 2015 LRBID MOU, the renewal MOU incorporates updates that reflect the City’s evolving centralized oversight approach to Business Improvement District (BID) governance. These refinements, consistent with the 41st Street BID MOU (2024), strengthen accountability, transparency, and alignment with citywide standards.

Key Provisions:

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Transparency: LRBID will continue submitting annual budgets, audited financial statements, and programmatic reports. In addition, LRBID will provide data to support the City’s economic development efforts and will maintain consistent reporting and performance standards with those of all City BIDs.

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Statutory Compliance: LRBID must comply with all applicable laws, including Chapter 170 (Special Assessments), Chapter 189 (Uniform Special District Accountability Act), and Florida’s Sunshine Law (including, without limitation, Chapter 286).

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Accountability: Board members must complete training on statutory obligations, governance, ethics, and public meeting requirements.

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Assessment Collection: The City will continue collecting assessments, unless and until a formal transition to the Miami-Dade County Tax Collector occurs.

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City Representation: The City Manager, or designee, may attend all meetings of, and shall have a right to address, the LRBID’s Executive Committee and Board of Directors. Under the new MOU, the City’s Authorized Representative would no longer serve as an ex officio nonvoting member. This will allow the City’s Authorized Representative to interact with members of the LRBID’s Executive Committee and Board of Directors outside of their publicly noticed meetings.

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Termination for Cause: The City may terminate the MOU for cause upon breach by LRBID, following notice and a thirty (30) day cure period.

New or Modified Terms:

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City Administrative Fee: LRBID will pay the City an administrative fee, equal to one percent (1%) of assessments collected, consistent with the 41st Street BID model.

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Tax Collector Transition: Should collection duties transition to the Miami-Dade County Tax Collector, LRBID will reimburse the City up to $5,000 annually for related administrative costs incurred.

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Audit Oversight: The City Manager retains audit rights, and the MOU is subject to review and oversight by the Office of the Inspector General, ensuring fiscal transparency and accountability.

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Standard Legal Provisions: The MOU incorporates standard City contract terms, including compliance with public records, ethics, anti-discrimination, and conflict of interest provisions.

FISCAL IMPACT STATEMENT

The District is primarily funded through assessments paid by benefitted District property owners, which help offset the costs of LRBID services and programming. This model reduces, but does not eliminate, reliance on general City funds. Supplemental City support remains essential for LRBID activities.

LRBID’s core functions (marketing, event programming, and placemaking) enhance the District’s appeal and economic competitiveness. The LRBID budget prioritizes marketing and promotional activities, such as public art and seasonal activations, which align with the City’s community survey results consistently ranking Lincoln Road as a top leisure destination for residents.

The City’s continuing commitment to the District is reflected in supplemental support, including annual funding ($160,000 in FY 2026) for the Block-by-Block Ambassador Program, an initiative that falls within LRBID’s mission to enhance public space management and is partially funded by the City to ensure its success and continuity. Additionally, the Administration supports LRBID operations and programming on an ongoing basis, including events and large-scale activations such as the annual Halloween Block Party.

The City and LRBID partnership remains important as the City prepares for new economic drivers, including the Convention Center Hotel, and the Lincoln Road Redevelopment Project. The Project, estimated at approximately $70.9 million in capital improvements, will modernize public infrastructure, improve the pedestrian experience, and position Lincoln Road for sustained economic resilience.

The ten-year renewal of the LRBID aims to provide businesses and property owners with a steady source of funding for essential services, strengthening the local economy, enhancing quality of life, and ensuring Lincoln Road remains a resilient economic engine and cultural asset for Miami Beach.

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

CONCLUSION

The LRBID has worked over the past ten (10) years to be a valuable partner in advancing the City’s economic and cultural objectives, contributing to meaningful, substantive change in the District. The strong support for renewal reflected in the recent election results signals confidence among property owners in the role of LRBID as a catalyst for business vitality and community engagement.

As a steward of the District’s growth and development, LRBID is well-positioned to implement innovative strategies and long-term planning efforts tailored to the area’s unique needs. The proposed MOU formalizes this partnership and provides a framework for continued collaboration, strategic management, and accountability.

The Administration recommends the Mayor and City Commission adopt the Resolution authorizing the City Manager to finalize and execute a Memorandum of Understanding between the City and the Lincoln Road Business Improvement District, Inc.

Applicable Area

South Beach

Was this Agenda Item initially requested by a lobbyist which, as defined in Code Sec. 2-481, includes a principal engaged in lobbying? Yes

If so, specify the name of lobbyist(s) and principal(s): Lincoln Road Business Improvement District, Inc. (Anabel Llopis, Executive Director)

Department

Economic Development

Sponsor(s)

Mayor Steven Meiner

Co-sponsor(s)

Commissioner Laura Dominguez Commissioner Alex Fernandez Commissioner Joseph Magazine Commissioner Tanya K. Bhatt Commissioner David Suarez

Condensed Title

Approve MOU, Lincoln Road BID. (SM/LD/AF/JM/TB/DS) ED

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