R7C - Amend Fy2026 City Budgets

Resolutions - R7 C

R7 C A ​ RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ADOPTING THE FIRST AMENDMENT TO THE GENERAL FUND, ENTERPRISE FUNDS, INTERNAL SERVICE FUNDS, AND SPECIAL REVENUE FUNDS BUDGETS FOR FISCAL YEAR 2026 AS SET FORTH IN THIS RESOLUTION AND IN THE ATTACHED EXHIBIT "A."​ Applicable Area:

COMMISSION MEMORANDUM

DATE:

RECOMMENDATION

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

BACKGROUND/HISTORY

The budgets for the General Fund, Enterprise Funds, Internal Service Funds, and Special Revenue Funds for Fiscal Year (FY) 2026 were adopted by the Mayor and City Commission on September 30, 2025, through Resolution No. 2025-33945.

ANALYSIS

GENERAL FUND AMENDMENT

Based on the preliminary FY 2025 year-end surplus of approximately $28.0 million in the General Fund, there are approximately $1.9 million of encumbrances in the General Fund for FY 2025 goods and/or services that were procured, but not received, that the Administration recommends be carried forward and appropriated in the respective FY 2026 General Fund operating budgets.

It is also recommended that FY 2025 appropriations of approximately $8.1 million in the General Fund be carried forward and appropriated in the respective FY 2026 General Fund operating budgets for projects that were budgeted in FY 2025 that have not been completed and are still ongoing.

For additional details regarding the preliminary FY 2025 year-end surplus, refer to the accompanying agenda item “Adopt the Ninth Amendment to the General Fund, Enterprise Funds, Internal Service Funds, and Special Revenue Funds for FY 2025.”

RESORT TAX AMENDMENT

Based on the preliminary FY 2025 year-end Resort Tax surplus of approximately $1.2 million, there are $13,000 of encumbrances for goods and/or services that were procured, but not received, that the Administration is recommending be carried forward and appropriated in the FY 2026 Resort Tax operating budget.

Similarly, the Administration recommends that appropriations totaling approximately $1.2 million in the FY 2025 Resort Tax budget be carried forward and appropriated in the FY 2026 Resort Tax operating budget for projects that were budgeted in FY 2025 that have not been completed and are still ongoing.

ENTERPRISE, INTERNAL SERVICES, AND SPECIAL REVENUE FUNDS AMENDMENTS

FY 2025 to FY 2026 Carryforwards

There are approximately $2.4 million of encumbrances in the Enterprise Funds, $0.8 million of Internal Services Funds encumbrances, and $3.1 million of Special Revenue Funds encumbrances (not including Resort Tax) for FY 2025 goods and/or services that were procured, but not received, that the Administration recommends be carried forward and appropriated in the respective FY 2026 operating budgets.

It is also recommended that appropriations of approximately $8.1 million in the Enterprise Funds, $1.6 million in the Internal Services Funds, and $5.0 million in the Special Revenue Funds (not including Resort Tax) be carried forward and appropriated in the respective FY 2026 operating budgets for projects that were budgeted in FY 2025 that have not been completed and are still ongoing.

Information & Technology Tech Fund

The purpose of this Special Revenue Fund is to ensure that the City has dedicated funding to support the implementation of new and enhanced information technology solutions. As the City continues to modernize its operations and improve service delivery, the need for flexible and responsive funding to support technology initiatives has become increasingly important.

This proposed budget amendment recommends the appropriation of $798,000 of fund balance that is available for appropriation in the Information & Technology Tech Fund to support the ongoing work of the City’s Information Technology (IT) Steering Committee. This Committee plays a critical role in guiding the City’s technology strategy by evaluating, prioritizing, and approving IT-related initiatives that align with organizational goals and community needs.

This appropriation will allow the IT Steering Committee to respond to emerging technology opportunities during the fiscal year in a timely, strategic, and coordinated manner. This includes investments in systems that improve internal efficiency, enhance cybersecurity, support data- driven decision-making, and improve the digital experience for residents, businesses, and visitors.

Sanitation Solid Waste Services Agreement

On June 25, 2025, the Mayor and City Commission adopted Resolution No. 2025-33795, authorizing the City Administration to execute a services agreement with Waste Connections of Florida, Inc. for the collection and disposal of residential solid waste, yard debris, and bulk waste, as well as the operation of the City’s green waste facility. The agreement includes an initial term of ten years, commencing January 1, 2026.

Under the terms of the new agreement, the City will pay Waste Connections a monthly per-unit fee of $42.03. With approximately 6,821 residential units, including 5,676 single-family homes and 1,145 multi-family properties with two to eight units, this results in an annualized cost of $3.4 million, which exceeds the amount that was originally budgeted for FY 2026 of approximately $2.9 million.

To meet the City’s contractual obligations and ensure uninterrupted residential collection and disposal services, this proposed budget amendment is to appropriate $403,000 (pro-rated for nine months) in the FY 2026 Sanitation operating budget. These additional costs, effective January 1, 2026, will be offset by corresponding adjustments in residential solid waste fees, which are also scheduled to take effect as of the same date.

FISCAL IMPACT STATEMENT

See 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 information provided above

CONCLUSION

The Administration recommends that the Mayor and City Commission adopt the First Amendment to the General Fund, Enterprise Fund, Internal Service Fund, and Special Revenue Fund budgets for FY 2026 providing for the funding of encumbrances for goods and/or services that were procured, but not yet received and/or expended as of the end of FY 2025, projects that were budgeted in FY 2025, but not expended or encumbered as of the end of FY 2025, as well as other appropriations noted above and further detailed in the attached Exhibit “A.”

EC/JDG/TOS/RA

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

5:03 p.m. PH, Adopt 1st Amendment to FY 2026 Operating Budget. OMB