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2003-51 MIAMI DADE COUNTY BUDGET CONTROL FY2003-04RESOLUTION NO. 2003 ri A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MIAMI GARDENS, FLORIDA, RELATING TO MIAMI-DADE COUNTY FUNDING; STATING THE POLICY OF THE CITY OF MIAMI GARDENS THAT SERVICES PROVIDED BY MIAMI-DADE COUNTY TO THE CITY OF MIAMI GARDENS PRIOR TO THE ADOPTION AND EFFECTIVE DATE OF THE INITIAL CITY BUDGET, EFFECTIVE OCTOBER 1, 2003, ARE THE FINANCIAL RESPONSIBILITY OF MIAMI-DADE COUNTY; DIRECTING THE CITY MANAGER AND CITY ATTORNEY TO TAKE ALL NECESSARY STEPS TO ENSURE THAT THE CITY'S POSITION PREVAILS; PROVIDING AN EFFECTIVE DATE. WHEREAS, it has come to the City's attention that Miami-Dade County may seek to retroactively bill the City of Miami Gardens for the excess cost of services provided by the County to the City prior to October 1, 2003; and WHEREAS, estimates of the excess cost range from $4.5 - $6.5 million; and WHEREAS, the levels of services and resulting costs provided by Miami-Dade * County within the City of Miami Gardens were included in the Miami-Dade County FY \ 2002-03 Budget, which was approved by the Miami-Dade County Commission in "September, 2002; and WHEREAS, the City of Miami Gardens was not involved in the adoption of the Miami-Dade County FY 2002-03 Budget and in fact, the City was not incorporated and did not exist at the time the County adopted their FY 2002-03 Budget; and WHEREAS, the City did not, in any way, request that the County provide services at the levels and costs that the County approved in their FY 2002-03 Budget and those decisions were made by the solely by the County; and WHEREAS, the City, once it became incorporated, on May 13, 2003, did not formally request that the County continue to provide services at those levels through the remainder of FY 2002-03; and WHEREAS, the City of Miami Gardens has not agreed to pay Miami-Dade County any amount for these excess services. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF MIAMI GARDENS, FLORIDA, AS FOLLOWS: Section 1. Policy of the City. It is the position of the City of Miami Gardens that the excess costs associated with the proyision of seryices by Miami-Dade County to the City of Miami Gardens prior to October 1, 2003 are the sole responsibility of Miami- Dade County. Section 2. Instructions to City Manager and City Attorney. The City Manager and City Attorney are instructed to take all necessary actions, including the retention of special financial and legal counsel, to ensure that the City's position preyails. Section 3. Effectiye Date. This Resolution shall take effect immediately upon approyal. PASSED and ADOPTED this 10^ day of December, 2003. '7^Shirley^ii^on, Mayor ATTEST: Ronetta Taylor, CMC/ City Clerk APPROVED AS TO FORM AND LEGAL SUFFICIENCY: H tti nterim City Attorney VOTE: Mayor Gibson ^ (Yes) (No) Vice Mayor Aaron Campbell ^ (Yes) (No) Councilman Melyin L. Bratton ^ (Yes) (No) Councilman Oscar Braynon, II ^ (Yes) (No) Councilwoman Audrey J. King ^ (Yes) (No) Councilwoman Sharon Pritchett ^ (Yes) (No) Councilwoman Barbara Watson jj (Yes) (No) MEMORANDUM To: Mayor, Shirley Gibson Date: December 10,2003 And Honorable Council Members From: Oscar Braynon Subject: County Response Council Member Seat 6 r REQUEST A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MIAMI GARDENS, FLORIDA, RELATING TO MIAMI-DADE COUNTY FUNDING; STATING THE POLICY OF THE CITY OF MIAMI GARDENS THAT SERVICES PROVIDED BY MIAMI-DADE COUNTY TO THE CITY OF MIAMI GARDENS PRIOR TO THE ADOPTION AND EFFECTIVE DATE OF THE INITIAL CITY BUDGET, EFFECTIVE OCTOBER 1, 2003, ARE THE FINANCIAL RESPONSIBILITY OF MIAMI-DADE COUNTY; DIRECTING THE CITY MANAGER AND CITY ATTORNEY TO TAKE ALL NECESSARY STEPS TO ENSURE THAT THE CITY POSITION PREVAILS; PROVIDING AN EFFECTIVE DATE. BACKGROUND AND ANALYSIS The City of Miami Gardens assumed administrative and budgetary control of municipal services with the adoption of the City's FY 2003-04 Budget. This initial budget was effective October 1,2003, which is the start of 2003-04 Fiscal Year. Prior to the adoption of the City of Miami Gardens FY 2003-04 Budget, the budget controlling services within the City during FY 2002-03 was the Miami-Dade County FY 2002-03 Budget which was adopted and administered by the County. The FY 2002-03 County Budget established levels of services and commensurate costs that were to be provided by the County. It has come to the City's attention that Miami-Dade County may seek to retroactively bill the City of Miami Gardens for the excess cost of these services. Estimates of the net bill to the City range from $4.5 - $6.5 million. This represents the County's estimate of the additional costs of the County services above the estimate of revenues. It is recommended that the City of Miami Gardens take a clear and unequivocal position that these expenses are the sole responsibility of Miami-Dade County. This is based on the following: • The levels of services and resulting costs provided by Miami-Dade County within the City of Miami Gardens were included in the Miami-Dade County FY 2002-03 Budget, which was approved by the Miami-Dade County Commission in September, 2002. • City of Miami Gardens was not involved in the adoption of the Miami-Dade County FY 2002-03 Budget. In fact, the City was not incorporated and did not exist at the time the County adopted their FY 2002-03 Budget. • It is clear that any information or agreements made with the North Dade Municipal Advisory Committee, an advisory committee created by the Board of County Commissioners to render a service to the Board of County Commissioners, are not reflective or binding on the City of Miami Gardens. • The City did not, in any way, request that the County provide services at the levels and costs that the County approved in their FY 2002-03 Budget. Those decisions were made by the County. Those decisions were made by the County with a full understanding of the costs of those services and the revenues available. • The City, once it became incorporated, on May 13, 2003, did not formally request that the County continue to provide services at those levels through the remainder ofFY 2002-03. It is clear that the decision to continue service at the level delivered to the City was solely the decision of Miami-Dade County • It is clear in the language of the City of Miami Gardens charter that Miami-Dade County was the municipal government for this area until such time that the City Council was in place and able to make informed decisions about the municipality. • The City of Miami Gardens has never agreed to pay Miami-Dade County any supplemental amounts for these services. It is, therefore, quite clear that the City of Miami Gardens has no obligation to pay the County for any "deficit" the provision of these services might have created. There does not appear to be any legal basis for the County to request any supplemental payment by the City other than the taxes and fees the residents and businesses of Miami Gardens paid to the County in FY 2002-03. RECOMMENDATION Approval of this position is recommended. It is further recommended that the City Manager and City Attorney be instructed to take all necessary actions, including the retention of special financial and legal counsel, to ensure that the City's position prevails.