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02/19/2008 CITY COUNCIL WORKSESSION MINUTES CITY OF CLEARWATER February 19, 2008 Present: Frank Hibbard Mayor John Doran Vice-Mayor Carlen Petersen Councilmember George N. Cretekos Councilmember Paul Gibson Councilmember Also present: William B. Horne II City Manager Jill S. Silverboard Assistant City Manager Rod Irwin Assistant City Manager Pamela K. Akin City Attorney Cynthia E. Goudeau City Clerk Patricia O. Sullivan Board Reporter The Mayor called the meeting to order at 9:00 a.m. at City Hall. To provide continuity for research, items are in agenda order although not necessarily discussed in that order. Presentations Service Awards Four service awards were presented to City employees. Tara Kivett, Public Services, was presented the February 2008 Employee of the Month award. Police Recruit Swearing In The City Clerk administered the Oath of Office to eight Police Recruits. The Council recessed from 9:13 to 10:08 a.m. to meet as the Community Redevelopment Agency and Pension Trustees. Economic Development and Housing Approve a 30-year, 3 percent interest loan with five years of deferred interest to Habitat For Humanity of Pinellas County for the Stevens Creek Project in the amount of $600,000 to acquire real property that will be used to build new single-family homes for low to moderate-income families, and authorize appropriate officials to execute same. Habitat for Humanity of Pinellas County, Inc. submitted an application on December 19, 2007, for funding in the amount of a $600,000 loan to acquire real property that will be used to build new single-family homes for low- to moderate-income families. The loan will be structured Council Work Session 2008-02-19 1 as a five-year deferred payment loan with 3% interest for 30 years. The funds will be repaid when each home is sold to an eligible homebuyer. The property is located at 1884 Betty Lane in Clearwater. The site contains approximately 8.81 acres of land. The site is the former Homer Villas, a rental community presently owned by the Clearwater Housing Authority. The acquisition is subject to Habitat building affordable housing units for mixed-income families. A minimum of 50 units must be for families whose income is less than 80% of AMI (Area Medium Income). The property acquisition cost is $1,189,350. The remainder of funds needed for the acquisition will come from Pinellas County. The acquisition cost of $20,158 per unit is very reasonable. After purchase, Habitat Pinellas will demolish all of the existing structures on the property. Currently, all of the housing units are vacant and show signs of deterioration. Habitat proposes to build 50 single-family homes that would provide affordable housing for families whose incomes fall within 30% - 80% of AMI. To keep the units affordable, Habitat proposes to use volunteers to partner with a general contractor to perform the work. In addition, to further affordability, Habitat will provide reduced mortgages to homebuyers. According to a recent Nexus Study, Pinellas County is facing a crisis in affordable housing with the loss of affordable rental units and mobile homes, an increase in the price of ownership housing, and significant increases in construction costs. The City’s dwindling supply of developable land further exacerbates the problem by forcing up land costs and requiring expensive redevelopment of properties with existing structures. Now considered a Statewide crisis, high insurance costs and real estate taxes are burdening all households. For some, insurance and real estate taxes exceed their mortgage payments. Only 26% of County households can afford the median priced home ($199,900) and only 52% can afford the median priced apartment ($960 per month). Forty two percent of Pinellas County households spent more than 30% of their gross household income on housing in 2005, exceeding the affordability standard set by the U. S. Department of Housing and Urban Development. By providing affordable homeownership housing, Habitat hopes to improve the housing stock in the neighborhood, raise the property values, and create economic incentives for additional public and private investments in housing in areas targeted by the City for revitalization. Building these affordable units will help the City reach its goals of providing new single family homes as identified in its Five-Year Consolidated Plan. To ensure a mixed-unit development, Habitat will work with a developer to build nine units that will be available for families between 80% and 120% of AMI. Habitat for Humanity of Pinellas County gives struggling households an opportunity to own a home. Habitat has built 140 homes in 23 years. The units were sold at no profit and financed with zero percent interest. Habitat has an experienced staff that has a solid history in housing development. Habitat has a property acquisition contract with the Clearwater Housing Authority that requires a February 2008 purchase. Habitat has met with the local development officials for approval of the project. The results have been favorable although the project has not officially been approved by the City’s Planning Department. After purchase, Habitat will develop site Council Work Session 2008-02-19 2 plans and submit them to the City. Habitat anticipated a construction start in July 2009. The units will be built in phases with project completion scheduled for February 2013. Homebuyers in this project will be required to attend eleven mandatory classes in preparation for homeownership and contribute between 250 - 350 hours of sweat equity, volunteering at Habitat in some capacity, mostly at the construction site. They also will be required to make nominal payments each month towards the closing costs for the future home. As per the City’s Loan Approval Policy approved on January 2005, loans above $500,000 require City Council approval. On February 12, 2008, the Neighborhood & Affordable Housing Advisory Board recommended approval and commitment of funds from the FY 2006/07 Pinellas County Community Housing Trust Fund Program funds. Habitat for Humanity of Pinellas County, Inc. representative Barbara Inman reviewed the home purchase process, volunteer component, and restrictions on re-sales. Homes first will be offered to former Homer Village residents, followed by those on the CHA (Clearwater Housing Authority) list. Applicants must live and work in Pinellas County. Construction is financed by donations and mortgage proceeds. Ron Spore, of Habitat, said the architecture will meet insurance criteria for hip roofs and use insulated concrete foam construction. An update was requested regarding CHA activities and financial standing. Parks and Recreation Approve a five-year agreement from December 1, 2007 – November 30, 2012, between the City of Clearwater and the Boys and Girls Club Inc., for the use and supervision of the Wood Valley Recreation Center, with an option to renew for three additional periods of five years and authorize the appropriate officials to execute same. (consent) The original five-year agreement with the Boys and Girls Club (BGC) was in response to internal changes needed in order to fund and operate the larger recreation complexes rather than the smaller neighborhood centers. Rather than closing the center, an agreement was reached with the BGC to operate and program the center. The BGC accepted the challenge and has successfully operated and programmed the center since December 2002. The current agreement expired November 30, 2007, and the BGC has been operating on a month-to-month lease while the necessary BGC approvals were secured. This Center is located on Park Trail Lane just east of the entrance to Moccasin Lake Park and has been supported by a very active neighborhood association for over 30 years. At first, residents were very apprehensive of anyone except the City operating the center, however, the BGC has done an excellent job not only of operating and programming the center but also winning over the hearts of the neighbors. This agreement is similar to the past agreement and will provided the following services: 1) Conduct educational, recreational, cultural and motivational programs for the benefit of neighborhood and Clearwater area youth, adults, and families; 2) Conduct programs similar to those originally offered at Wood Valley including open center hours for free play, organized games, playtime, intramurals and child developmental activities; 3) Facilitate and support community meetings and activities and for use as a voting site; 4) Provide Agency personnel and assistance in monitoring, supervising, and programming the outside facilities at the center; Council Work Session 2008-02-19 3 and 5) Provide all staff, materials and supplies, and operating expenses associated with the center including but not limited to electricity, water, sewer, custodial, sanitation and minor building and maintenance. Under this agreement the City will provide the following: 1) Lawn, landscape and ballfield maintenance for all areas around the Youth Center; 2) Maintenance for all major capital components of the building to include air conditioners, roof, plumbing, electrical, etc.; 3) Maintenance for playground equipment and other outside facilities, i.e. basketball court, tennis courts and ballfield; and 4) Provide a teen program so long as grant funding is available to support it. Parks & Recreation Director Kevin Dunbar reviewed the agreement’s 60-day termination clause. Maintaining the abutting park, necessary even if the center is closed, requires less than one FTE (Full-Time Equivalent). Facility maintenance averages $15,000 annually. The JWB (Juvenile Welfare Board) funds one FTE at the center. Engineering Establish the 2008 Affordable Housing Inventory List pursuant to requirements of Chapter 166.0451, Florida Statutes, adopt Resolution 08-01 and authorize the appropriate officials to execute same. The 2006 Legislature amended Chapter 166, Florida Statutes, adding Section 166.0451 entitled "Disposition of municipal property for affordable housing." Section (1) of the statutory amendment requires that every three years each municipality prepare an inventory list of all real property within its jurisdiction to which the municipality holds fee simple title that is appropriate for use as affordable housing. The statute further requires that the inventory list include the address and legal description of each such property, and specify whether the property is vacant or improved. The governing body of each municipality must review the proposed affordable housing inventory list at a public hearing, and may revise the list at the conclusion of the hearing. Following the public hearing, the local governing body must adopt a resolution that includes an inventory list of such property deemed appropriate for affordable housing development. In response to a question, City Engineer Mike Quillen reported Real Estate Coordinator Earl Barrett had spent a week completing this inventory. It was requested that staff consider tracking costs associated with meeting State unfunded mandates. Official Records and Legislative Services Review the general Advisory Board code sections and provide direction on amendments. A review of the general code sections on advisory boards is the first step in a comprehensive review of Council advisory boards. Staff will present the mission and duties of each board for Council review. Discussion ensued regarding term limits, board consolidation and youth representation. Consensus was to retain youth representation on City boards and reduce the sit out period between terms to one year. Council Work Session 2008-02-19 4 Approve the 2008 Federal Legislative Package. (consent) Each year, the City of Clearwater submits a list of legislative priorities for consideration for the new federal budget year. Once the package is approved, the City’s legislative liaison will submit our request to our delegation. The 2008 Federal Legislative Package includes such issues as: funding requests for the Downtown Revitalization Initiative and Wastewater/ Reclaimed Water Infrastructure; supporting legislation that will diversify Brownfields Remediation loans into grant funds; opposing decreased funding for Community Development Block Grant and Housing and Urban Development programs. It was questioned if the Council supports a County request for FDOT (Florida th Department of Transportation) to replace the 118 Avenue connection project with the Enterprise/US 19 overpass. Discussion ensued. It was felt more research is necessary before City Council support can be determined. Consensus was to add the following priorities: 1) support legislation that implements a National Catastrophic Insurance Fund and 2) oppose pending legislation regarding telecommunication franchises. City Manager Verbal Reports Council Discussion Items Marina Marketing Plan Marine and Aviation Director Bill Morris provided a power point presentation detailing the proposed marketing strategy. In response to questions, Mr. Morris said higher fuel may be responsible for lower fuel sales. While fuel discounts have been discontinued to marina tenants, staff is reviewing ways to increase fuel sales and provide benefits to tenants. Shallow water and power issues impede the Marina’s ability to attract large boats. Staff has been unsuccessful in attracting local marinas to participate in a cooperative advertising campaign. Assistant City Manager Rod Irwin reported the City had received two bids on the RFP (Request for Proposals) to design/build the downtown boat slips. Staff will interview both candidates and present recommendations to Council in April. Discussion ensued. Consensus was to support the proposed marketing plan with recommendations to include an online reservations system, non-refundable deposits for reservations and discount dock fees for Charter Boats during the grouper fishing ban. Neighborhood Bill of Rights Council Work Session 2008-02-19 5 It was recommended that the City duplicate State efforts to centralize citizen rights regarding local comprehensive plans. It was stated that staff is drafting a resolution for Council consideration. Sign Code Assistant Planning Director Gina Clayton reviewed the development of current downtown guidelines. Concern was expressed regarding limiting use of corporate colors. It was stated that large companies adjust their decor to meet local codes throughout the country. Ms. Clayton provided examples of different awning colors featured at various Jamba Juice locations. Staff was directed to obtain business community criticisms and recommendations for Council consideration. Other Council Action Councilmember Doran said empirical data indicates red light running reduces when cameras are in place. At least one company provides cameras and related administration at no cost to municipalities. Councilmember Gibson offered condolences regarding the passing of Marty Altner. Adjourn The Work Session adjourned at 12:16 p.m. Council Work Session 2008-02-19 6