The more developers build here, the more taxes and fees the city collects to fund a $300-million storm water project to defend the shore against the rising sea. Approval of these luxury homes on what environmentalists warn is global warming quicksand amounts to a high-stakes bet that Miami Beach can, essentially, out-build climate change and protect its $27 billion worth of real estate.
The move makes budgetary sense in a state with no income tax: Much of South Florida’s public infrastructure is supported by property taxes…
By 2020, Miami Beach plans to complete 80 new storm pumps that will collect and banish up to 14,000 gallons of seawater per minute back into Biscayne Bay. Construction started in February. The goal is to reduce sunny day flooding — which frequently invades streets at high tide whether or not it is raining — and prepare the community for future ocean swell…
The $300 million project is ambitious for a city with a $502 million annual budget. A new stormwater utility fee on homeowners, hotels and stores helped Miami Beach save enough money to borrow the first $100 million.
The project started before planners worked out all the funding. It’s unclear how the city will raise the rest. “We don’t have time for analysis-paralysis,” said Levine. “We are going to have to get creative.”
It is hard for cities to turn down development when the luxury market is hot. Not only does an overheated housing market attract new residents, a hip reputation, and the interest of developers, it can also generate money for the city through taxes, fees, and increased spending.
Yet, development isn’t simply a game where more equals better. Whether the consequences are flooding or gentrification or a lack of affordable housing, cities tend to approve such projects that bring in money and growth. But, this ignores the bigger picture and the broader consequences that could affect everyone. The money may be pouring in now but what happens if this leads to flooding and a hampered tourist and investor economy for decades to come? What if avoiding the question of affordable housing contributes to other social problems or causes needed workers and citizens to move to other communities? As urban sociologists have asked for decades, who wins when big development takes place? Usually not the normal citizens. Instead, the growth machines – the powerful businesspeople and politicians – tend to profit.
Of course, funding to combat future problems is not easy to obtain. No state income tax in Florida helps contribute to hot housing markets. Should the federal government help pay to alleviate climate change? Should there be state or federal policies that do not allow building such expensive developments right on properties near the ocean (similar questions are raised about floodplains around major rivers)? Cities and other governments have a long way to go in order to figure out this issue.