Miami homeowners protest special tax meant to fund community development — why they say they want a ‘divorce'

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Homeowners in several Miami neighborhoods are saying they want out of the Miami Downtown Development Authority (DDA), a group tasked with 'boosting economic development and safety' in the popular vacation city's urban core, reports CBS News.
The Miami DDA, an agency funded primarily through a special tax on properties within the downtown district and surrounding neighborhoods, is governed by a 15-member board of directors that includes public appointees, property owners, residents and local business owners.
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The group says it's committed to working collaboratively with residents to promote the area's economic health, but some residents insist the cost is too high.
"It takes a bite out of my pocketbook," James Torres, a downtown resident and president of the Downtown Neighbors' Alliance, told CBS News.
Here's why representatives of homeowners associations in Miami are calling for a change in how the DDA is funded.
Residents of Brickell, a Miami neighborhood adjacent to the downtown area, say they never even see the services the DDA is supposed to offer.
"Brickell is not downtown. Downtown is not Brickell," Ernesto Cuesta, president of the Brickell Homeowners Association told CBS News.
Some question where the money goes and say the costs are too high, especially considering the rise of condo assessments and insurance costs.
Homeowners insurance in Florida is three times more expensive than the national average as of 2024, as per a Fox 13 analysis of Insurance Information Institute data.
Following changes to condominium laws after the Surfside condo collapse in 2021, which resulted in the deaths of 98 people, many condo owners are also dealing with assessments that add to their cost of living. Residents insist that the added costs of the DDA on top of insurance increases are too heavy a burden.
A recent survey conducted by the Downtown Neighbors' Alliance discovered that most residents want to leave the DDA district. Nearly 58% of residents surveyed said they did not believe the DDA improves their quality of life, says CBS News.
Torres told the local Miami station that he believes the authority spends taxpayer money irresponsibly, pointing to the $450,000 that was spent to help the FC Barcelona soccer team move its New York offices to Miami.
Torres also wrote a letter to Mayor Francis Suarez complaining about the deal, stating in part: "While Downtown Miami families are being crushed by rising crime, a worsening condo crisis, homelessness, and double taxation, the Miami Downtown Development Authority (DDA) has approved a $450,000 taxpayer giveaway to one of the wealthiest sports franchises in the world — Futbol Club Barcelona."
Watchdog blog Political Cortadito also argues that DDA's salaries are redundant and bloated, noting that the group spends more than $800,000 on marketing and PR, which seems to yield little return.
The DDA also has a head of urban planning who earns $177,143 yearly and an urban planning strategist who earns $107,261. However, the city commission makes urban planning and zoning decisions through the planning and zoning board, leaving some questioning the purpose of these DDA roles.
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The Miami DDA insists it's focused on improving the district by attracting companies that bring economic benefits. The group says FC Barcelona's office move and the first official Barca soccer merchandise store in the U.S. will be a "major draw for the area," according to a statement obtained by CBS News.
Another DDA initiative includes the Miami Trolley, a free electronic trolley that helps residents and visitors easily navigate the downtown area. The group also partners with Camillus House to provide employment for previously homeless individuals performing services in the area, such as street sweeping, litter removal and landscape installation.
"While our main focus is economic development, we have increasingly allocated resources to support quality of life, including funding additional police services, implementing a security camera network, expanding our downtown enhancement team, adding mobility options and supporting events hosted by our community partners," a DDA spokesperson shared with CBS News.
However, many residents, especially those in the Brickell neighborhood, remain unconvinced.
"I'll describe to you what the DDA is for us: it doesn't do anything for Brickell," Cuesta told CBS News.
Torres said most residents want to leave the DDA, no matter what services they offer.
"We want the divorce," he told CBS News. "They can clearly be very successful in doing what they're wanting to do by creating a business development district."
A petition has now been submitted to Miami city commissioners that asks for residents to be removed from the DDA tax zone.
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This article provides information only and should not be construed as advice. It is provided without warranty of any kind.