A yearslong dispute over water fees North Miami Beach charges its neighbor, Miami Gardens, spilled into new territory this week, as county policymakers approved fresh oversight rules meant to address the issue.
Miami-Dade Commissioners OK’d an ordinance by Oliver Gilbert, Miami Gardens’ immediate past Mayor, to require any municipal water or sewer utility that serves customers beyond its borders to file copies of its service terms and conditions with the county’s Water and Sewer Department.
If the utility collects surcharges from those outside customers, it must prove each year that the extra money is used solely for water system operations and improvements. Cities that don’t comply could face $500 fines per violation and possible county intervention under Miami-Dade’s home rule authority.
The ordinance effectively forces North Miami Beach to either negotiate a formal agreement with Miami Gardens — which buys water from its Norwood Water Treatment Plant that sits wholly within Miami Gardens’ bounds — or demonstrate that the longstanding 25% surcharge it imposes on customers in the neighboring city directly benefits the utility system.
It passed 9-3 on Thursday after nearly two hours of intense debate.
Commissioner Marleine Bastien, whose district includes North Miami Beach, voted “no” alongside Eileen Higgins and Micky Steinberg.
North Miami Beach has long added a 25% fee to the water bills of roughly 130,000 out-of-city customers, generating about $10 million annually. The city’s leaders argue that non-resident customers should share the cost of maintaining and expanding the Norwood plant and related infrastructure, citing Chapter 180 of Florida Statutes, which allows different rates and surcharges if they are “just and equitable.”
“That’s not exploitation — it’s reasonable governance and reflects the reality of how a free-market utility model functions,” North Miami Mayor Michael Joseph wrote in a Miami Herald op-ed this year. “You use a service, you pay your fair share. It’s simple.”
Miami Gardens officials argue the practice is unfair. Gilbert has repeatedly labeled it “taxation without representation,” since Miami Gardens residents pay higher rates to a city whose officials they can’t elect.
He noted in separate articles that North Miami Beach’s surcharge flows into its general fund, not the water system. He called the practice “a simple story” of “one community taking advantage of another.”
The dispute has run from courtrooms to Tallahassee and, now, back to County Hall. In 2018, Miami Gardens sued over the matter, eventually securing a $9 million settlement. This year, Sen. Shevrin Jones and Rep. Felicia Robinson — both Miami Gardens Democrats — passed legislation banning surcharges when a water plant sits inside the city it serves, a narrowly tailored measure solely targeting the two cities.
Gov. Ron DeSantis vetoed the bill in July, saying local disputes shouldn’t be refereed in Tallahassee. Gilbert then turned to a county-level “fix” by using Miami-Dade’s regulatory authority to enforce compliance locally.
He briefly aimed at Ron Book, accusing the longtime Miami-Dade lobbyist, whom he tried to fire in July, of having a hand in the veto. That attempt failed. Book denied any involvement in the water issue — an assertion Joseph backed, telling the Herald that Book “was conflicted out and couldn’t help us.”
After he filed his ordinance the following month, Gilbert funded mailers through his district office to drum up support for the proposal among North Miami Beach residents.
Bastien confronted him about the mailers at Thursday’s meeting, asserting he “would not dare” to do something like that in any other district. Gilbert said he would, if the problem called for such action.
Joseph told Florida Politics on Friday that the ordinance’s passage puts his city’s recently passed NWB Water Relief Act, which would provide up to $150 in yearly discounts to eligible Norwood customers, including seniors, disabled residents, veterans and surviving spouses of fallen first responders in Miami Gardens, Opa-locka and Bal Harbour.
“It’s in limbo,” he said. “It’s unfortunate. We’re looking at next steps. A lot of people were counting on that relief, and now it’s up in the air.”
Under the ordinance, North Miami Beach must submit its rate agreements and surcharge documents within 30 days of the measure’s effective date, which would be Oct. 19, unless Miami-Dade Mayor Daniella Levine Cava issues a veto.
Gilbert suggested Thursday that it’s unlikely, given that multiple water service providers in Miami-Dade fall under his legislation, but only North Miami Beach has an issue with it.
“Because all of the other water providers don’t engage in this practice … of taking all of the water funds from the surcharge fees and taking it into the general fund … and not actually using it for maintenance,” he said. “We’ve spoken to them all. They aren’t here protesting because they don’t have a problem with it. … It does not have an adverse effect on them because they’re following the law as-is.”