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WORKSESSION
City Commission Worksession Minutes
()
Date
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CITY COMMISSION WORK SESSION
July 31, 1995
The City Commission of the City of Clearwater met Monday, July 31, 1995, at City Hall
with the following members present:
Rita Garvey
Sue A. Berfield
Fred A. Thomas
J. B. Johnson
William Justice
Mayor/Commissioner
Vice-Mayor/Commissioner
Commissioner (departed at 11 :53 a.m.)
Commissioner
Commissioner
Also present:
Elizabeth M. Deptula
William C. Baker
Kathy S. Rice
City Manager
Assistant City Manager
Deputy City Manager (departed at 11: 10
a.m.)
Pamela K. Akin
Cynthia E. Goudeau
Patricia Sullivan
City Attorney
City Clerk
Board Reporter
The meeting was called to order at 9:00 a.m.
..\\'".~} The Commission recessed from 9:01 to 1 0:00 a.m. to meet in attorney/client
I.
'w' session regarding Galbraith versus the City and recessed from 10:00 to 10:27 a.m. to
meet in attorney/client session regarding JaM Entertainment versus the City.
Pension Plan
Deputy City Manager Kathy Rice reported a Friday, July' 28, 1995 meeting between
management and the unions resulted in agreement on most points. Further discussions will
address a letter of understanding regarding the establishment of an implementation
schedule for changes to the pension plan. An ordinance relating to the changes will be
brought forward August 17, 1995.
City Attorney Pam Akin reported the ballot language reads: Shall the Employee
Pension Plan be adopted by Ordinance #5890-95 revising the pension plan language;
meeting the requirements of an IRS qualified plan; reducing the disability benefits; requiring
return to work in lieu of disability benefits under certain circumstances; revising the
composition and authority of the Pension Advisory Committee; increasing retirement
benefit to 2.75 % times years of service; providing optional benefit payments; requiring 8 %
contribution of employees; and other changes be approved? Ms. Akin estimated two more
words could be added to the referendum item.
It was rElcommended the question specify the increase from 2.5 to 2.75 to clarify
the increase's size. Ms. Rice said staff will inform the public regarding the referendum's
meaning and how the changes will affect citizens.
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Consensus of the Commission was to agree with including the size of the increase
in the question. The City Attorney indicated she would make the change if possible.
Ms. Rice said management will hold staff workshops to explain the changes. She
reported the employee contribution will go up to 8%, will be IRS qualified, and will allow
optional payouts. Ms. Rice indicated some confusion occurred because terms such as
compensation, hazardous duty and wages, had not been defined. The agreement will
define those terms and clear up confusion. Contributions returned to employees who
terminate before qualifying for retirement. will earn 5% simple interest. No one will be able
to collect more than 100% of pay. To address the AARP lawsuit, employees will be
vested at age 65 no matter when they began working. The disability benefit is reduced
and no payments will be made for dependent children. Pre-existing conditions will be
excluded. Some unions were concerned regarding the new requirement for reassignment
with no loss of pay. Ms. Rice said the City will try to reassign employees to their own
bargaining unit, or department when possible. Otherwise, the employee may be reassigned
to a citywide position until a department position is available. Ms. Rice said those on
disability will be subject to annual recall and reexamination. Employees who do not return
to work after being deemed capable. will lose their disability.
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Ms. Rice reported the Pension Advisory Committee (PAC) will increase in size to
seven members: three appointed by employees; three appointed by the City Commission;
and one appointed by the other six members. Pension Trustees make the final decision.
She noted some unions wanted the PAC to have the final decision. Ms. Rice said the "buy
back provision can be completed within two years. The plan contains clear language
regarding for what the plan pays. Ms. Rice said future amendments will be permitted to
address changes required by law without requiring a referendum.
Ms. Rice referred to the actuarial impact study completed by Coopers & Lybrand.
She said the City comes out better than anticipated. The 10% cost will come out of the
surplus fund. She reported this was a good investment year for the fund.
Ms. Rice noted the area of concern for some is reassignment with no loss of base
pay. As an example. paramedics receive 15% bonus pay. This bonus would not be
included in the base pay should the firefighter be reassigned. She said, on the whole. the
unions and management agree on the language.
CM ADMINISTRATION
Approve leasing 2,500 square feet of Harborview Center ground floor to Pickles Plus Too,
ffi, for establishment of a restaurant. consisting of a 5-year initial term with 3 additional 5
year option terms; authorize an expenditure of $100,000 (reimbursable) for completion of
the restaurant, funded by a $100,000 loan from the Harborview Center Fund
It is proposed to lease 2,500 square feet of the first floor of the Harborview Center
for Pickles Plus Too, Inc., to establish a deli type restaurant. The lease's term will be an
initial five year period with three additional five year optional periods.
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Pickles Plus Too will be responsible for payment of real property taxes and
assessments and will operate under an agreement which is summarized as follows: The
City will: 1) Provide, at its sole expense, a 2,500 square foot, first floor, basic restaurant
"shell" and utility stub-outs, consisting of perimeter walls (primed), cement floor, finished
ceiling, utilities brought to shell area and completed bathrooms; 2) provide at its initial
expense with reimbursement as later described, all interior walls, carpentry, finishes, utility
distribution, furniture, fixtures, decorations, utensils, equipment, etc., necessary to
completely establish the restaurant, excepting that the City's total expenses. including
architect and contractor fees, shall not exceed $100,000. Expenses in excess of
$100,000 will be immediately borne by the Lessee; and 3) provide at its sole expense, a
12 by 50 foot "patio" or "cafe" area for the free and exclusive use of the Lessee as an
outdoor seating area. The "patio" area may be furnished by use of the reimbursable
construction funds and will be operated at the sole expense of the Lessee. The lessee
will: 1) pay the City, as basic rent, the sum of $10 per square foot of rental space
($25,000 for the first year) plus applicable sales tax, in monthly installments of $2,083.33
plus sales tax; and to pay each succeeding year, for the term of the lease, basic rent
increasing by 3% per year, plus sales tax on the increase. Obligation to pay rent does not
commence until three months after the City issues a certificate of occupancy; 2) pay the
City, as additional rent, an annual amount equal to 6% of Lessee's gross receipts over
$575,000; 3) pay the City, as a common area maintenance fee, a sum equal to $2 per
square foot of rented space ($5,000 per year) on a monthly basis; and 4) pay the City, as
reimbursement of funds expended to accomplish the finishing and equipping of the
restaurant (capped at $100,000), an amount equal to 50% of the cost of such work
(cannot exceed $50,000) in monthly payments amounting to $4 per square foot of leased
space ($1 0,000 per year or $833.33 per month) over the initial five year term period; and
shall pay the City, as reimbursement of the remaining 50%, at the same rate per month
,over the first option period.
Concerns were expressed regarding the lease. Ms. Rice indicated the rent will
increase each year by 3% and corrected according to the CPI every 5 years. She said no
CPI increase was included for the Common Area Maintenance (CAM) over the 20-year
lease. Concern was expressed the true net value of this income will decline.
A reference was made to the assignment of the Jease on page 1 6. Concern was
expressed that the legal language on page' 9 dilutes the City's position and benefits the
tenant by stating the City's approval of a sublease cannot be unreasonably withheld.
Concern was expressed that the lease could be sold to an undesirable tenant for a profit.
The City Attorney indicated criteria to withhold approval based on the character of the
sublessee is included but agreed that could be a valid concern. Assistant City Manager
William Baker said the reference on page 1 9 addresses the City's cooperation regarding
building permits, etc. The City Attorney indicated the language would be modified to refer
only to that paragraph.
The non-competition clause on page 17 was referred to and concern was expressed
that the City is already in violation by negotiating for a third floor bistro which is not a fine
dining restaurant. Mr. Baker stated Pickles Plus will not accept any dilution of their desire
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to be the only sandwich type restaurant in the Harborview Center. He indicated the
language would be clarified.
Direction reoarding the third floor Restaurant at the Harborview Center
Ms. Rice said staff's analysis compared agreements negotiated with the first and
third floor restaurants. Concern was expressed that the analysis was received just before
the meeting and that the numbers were massaged. It was noted the first floor restaurant
has agreed to pay $10 a square foot while the third floor restaurant plans to pay $3.55 a
square foot. It was suggested the center needs a caterer but can wait on the upstairs
restaurant. It was recommended staff negotiate a three-year lease for the third floor
restaurant that can be renegotiated two and a half years into the lease when hard data is
available. Ms. Rice indicated she and Peter Gozza, Executive Director of the Community
Redevelopment Agency, arB handling these negotiations. It was questioned if the
agreement includes 6% interest. Ms. Rice said the applicants were not willing to pay the
additional 6%.
It was questioned if staff felt the Harborview Center could be run successfully with
banquet facilities and no third floor restaurant. Ms. Rice said that was the case. It was
noted the third floor restaurant has the advantage of adjacent banquet facilities. Ms. Rice
pointed out Pickles Plus has access to the patio area at no charge. Concern was
expressed that Commissioners thought the deal for the third floor restaurant included
payment of 6% interest.
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Consensus was to rescind direction regarding the third floor restaurant during the
August 3, 1995 meeting.
The Commission recessed from 11: 12 to 11 :23 a;m.
GAS SYSTEM
First Readlna - eGS - Gas Rate Case
Chuck Warrington, Managing Director of Clearwater Gas System (CGS), said the
requested increase is based on the cost of service study completed by Coopers & Lybrand
LLP. This would be the first increase since 1985. Tile proposed 8% overall increase is
less than the 43% CPI increase during the past 10 years. The recommended increase will
occur in two phases: October 1, 1995 and October 1, 1996.
Mr. Warrington reviewed the current rate structure for all customers who use
natural and propane (LP) gas. In comparing eGS's residential rates with other gas
companies, he indicated Clearwater's current rates are low. After the proposed phased
increase, rates would increase to the middle of the spectrum, but remain less than the full
cost of service Mr. Warrington indicated CGS's commercial customers pay one of the
highest rates in the country. He proposed to decrease the rates for small, medium and
large commercial consumers.
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Mr. Warrington compared the cost of CGS gas with other utilities and noted CGS's
rates will remain below costs for electricity and propane gas and will be similar to the rate
charge by People's Gas after the Phase 11 increase. He noted CGS needs to compete with
lower priced oil for large commercial customers.
Mr. Warrington reviewed a bill and explained the new gas rate structure that
includes: monthly customer charges; 13 natural gas rate schedules; 6 LP gas rate
schedules; 4 adjustment clauses; and a contract schedule. He said the monthly customer
charge will increase from $4 to $5 and will no longer include three free therms. He
reported the cost per therm will increase from $0.80 to $0.808.
Mr. Warrington requested the Commission approve policy changes: 1) allow a 6%
Clearwater payment in lieu of taxes on natural gas revenues versus a 4.5 % system-wide
pilot on all revenues; 2) increase dividend from $1-million to $1.25-million until net income
exceeds $2.5.million per year; 3) exclude bond interest from applicable net income; and fix
the interfund administrative charge until the net income, less bond interest, exceeds $2.5-
million per year.
1M INFORMATION MANAGEMENT
Contract for development of and trainina on interactive multimedia software for use in a
City Information Kiosk to Silver ImaQe. Inc., for $36,000; authorize related expenditures of
$8,100 for computer hardware & cabinet, for a total of $44,100
, ~..\ In May 1994, a computer based kiosk system was demonstrated for the City
-,.~~/ Commission. The system utilized high quality, computer based graphics to provide
information to citizens. Advantages of a kiosk include: 1) high accessibility of City
information to citizens; 2) supplies answers to questions usually fielded by employees; 3)
information is timely through use of software updates; 4) increased citizen awareness of
and participation in City activities, events and programs; 5) easy access and quick,
consistent and accurate answers; and 6) feedback about areas of citizen interest through
logging user responses.
On March 6, 1995, the Information Management Department released a Request for
Qualification (RFO). A vendor selection team was assembled including four City staff
members and one management team member from Clearwater Mall. Demonstration and
rating sessions for the two responding vendors were held in May 1995. The meeting
criterion were: 1) location of firm; 2) successful experience with similar projects; 3)
innovative features currently in use; 4) completeness of RFQ response; 5) qualifications of
key personnel; 6) reference reports; 7) financial strength; 8) ability to meet schedule and
budget; 9) litigation history; 10) longevity of firm; 11} ease of navigation through levels;
12) use of action videos; 13) audio and music; 14) attractiveness of design; 15)
organization of information; and 16) ease of updating.
Silver Image was selected as the vendor of choice as they scored consistently
higher on all rating categories. In addition, as a Clearwater based company, they are
already familiar with the community and many City services.
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The contract with Silver Image includes reproduction services (research; script
writing, design, music search and location scouting), production (remote photography and
digitization of stills, graphics, design, audio production and editing), and authoring (main
kiosk and database programs, customer update module, automatic update through modem
interface, testing, installation on City equipment and training). After the City purchases
the interactive multimedia software, it may be copied, at no additional cost, for use in an
unlimited number of City Information Kiosks. The other vendor, North Communications,
indicated their minimum cost for the project would be $75,000 and the City would not
own the software.
Upon completion of the system on or before February 1, 1996, the Kiosk will be
placed, at no expense to the City, in Clearwater Mall to achieve maximum exposure.
Usage statistics, gathered by the software, will be analyzed and the suitability of the
location witt be evaluated after several months of use.
Additional costs associated with this project include: 1) $2,500 - purchase of an
Apple computer; 2) $600 - a computer touch screen; and 3) $5,000 - a Kiosk cabinet.
The City Manager reported other cities contacted regarding interest in participating
in the project have indicated future interest. It was recommended that C-View 35
broadcast a synopsis of what the Information Kiosk will offer.
LIB LIBRARY
Construct Darking lot on Pinellas Countv School Board orooertv behind the North
(""H) Greenwood Library at Holt & Palmetto, for joint use by the library branch and school, for
.....<'1' $60,000
Before ADA requirements were enacted, the North Greenwood Branch Library's
parking lot had only four spaces. Now, those spaces have been converted to two
handicapped spaces and no parking for the able-bodied is available.
In 1993, the City approached school district staff to see if the City could construct
a parking lot to meet City standards on their vacant lot used by school personnel for
parking. They agreed initially, then asked for time to consider the parking needs of the
surrounding Discovery, Curtis Fundamental, Community Pride, and other school-owned
properties.
This year, the City approached the school district again. They verbally agreed to a
proposal for the 126 by 139 foot lot to be paved and striped according to City standards
under the supervision of the City's Engineering Department. The ten paved parking spaces
closest to the North Greenwood Branch Library will be reserved for library customers
during library hours and activities. The remaining 21 paved and unpaved spaces will be
used by the school district during the hours the school is in session, then will convert to
joint use after hours.
Total estimated cost of the project is $60,000. The 1995/96 Midyear Budget
adjustment provided funding for this project with the transfer of $60,000 form the
unappropriated retained earnings of the General Fund.
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It was questioned if the City planned to move this Library branch to another
location. The City Manager said if the Martin Luther King Center is moved, the library may
move into the center. It was questioned if the City will pay for the parking lot's full cost.
Library Director Arlita Hallam indicated the School Board is providing the land and the City
is providing the parking lot.
CP CENTRAL PERMITTING
Public Hearing & First Readinq Ord. #5873-95 - CG Zoning for orooertv located at 1969
Sunset Point Rd., Pinellas Groves Sub., SW 1/4, part of Lots 1 & 2 (Sauder, 295-03)
The property is approximately 350 feet west of N. Hercules Avenue. The applicants
currently operate a beauty shop and wish to obtain a zoning change to operate a beauty
school. The property's present zoning, Neighborhood Commercial, does not allow beauty
schools. It is proposed to rezone the subject property Commercial General. The Future
Land Use Plan Classification of Commercial General would not be changed.
Property along Sunset Point Road west of N. Hercules Avenue has a mix of land use
categories: Commercial General, Limited Office, Institutional, Residential Low, and Limited
Industrial. Sunset Point Road, classified as a major County collector road, is being
improved to four-lanes.
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The Neighborhood Commercial District is restrictive and does not provide for the
expansion of existing uses or likely future uses of the property. The proposed zoning can
provide the range of uses necessary for this nonresidential area to thrive. The subject
property is divided by a 1 OO-foot wide street right-at-way that will provide zoning
protection to adjacent low density residential uses northwest of the property. Staff will
recommend a City initiated rezoning of the other Neighborhood Commercial (eN) property
on this corner.
On July 18, 1995, the Planning & Zoning Board unanimously endorsed the
proposed Zoning Atlas Amendment.
Concern was expressed that strip malls will multiply on Sunset Point Road. Scott
Shuford, Central Permitting Director, felt General Commercial was a more suitable zoning
now that the road has been widened. He felt an obvious stopping point for commercial
zoning exists at the property zoned Limited Office. He noted the property on the corner in
the County is zoned commercial. He did not think there was a potential for stripping the
street.
Public Hearing & First Reading Ord. #5874-95 - CPO Zoning for orooertv located at 705.
707. 709 & 711 Jasmine Way, Magnolia Park. elk. 31, Lots 2-5 (Smolensky and
Kornreich, 295-04)
The subject property is approximately 150 feet north of \'Aagnolia Drive. . The
applicants recently purchased four lots on the southwest corner of S. Myrtle Avenue and
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Jasmine Way. The properties' south side abuts an approved Adult Congregate living
Facility (ACLF) also owned by Mr. Shaughnessy. The property has a Future Land Use Plan
Classification at Commercial General. The applicants propose to modify their certified site
plan (Magnolia Manor. PSP 94-14) to incorporate these lots under a single site plan. The
applicant has proposed a new parking configuration to the north and changing existing
parking to open space. No expansion of the existing ACLF facility has been proposed.
The applicants also wish to obtain a zoning change for the four lots and bring the
total development under on zoning district. The property to the south is zoned Commercial
Planned Development and the four lots are zoned Neighborhood commercial. It is proposed
to rezone them Commercial Planned Development similar to the existing use. The Future
Land Use Plan Classification of Commercial General would not be changed.
The permitted and conditional uses for this Planned Development are those uses
permitted in a Neighborhood Commercial District plus Congregate Care Facilities and Level
" and 2 Group Care Facilities. It is proposed to have the same permitted and conditional
uses for the subject property.
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Mr. Shuford explained the applicant does not plan to expand the ACLF at this time
but wishes to shift the parking to the north. He said they can expand in the future but
current plans are to construct a canopy to accommodate clients. Concern was expressed
that Commercial Planned Development requires a minimum for four acres. Mr. Shuford
indicated the City Commission can approve a Commercial Planned Development smaller
than four acres if they determine it is in tile public's interest. He said the City Commission
already made that determination regarding the property to the south that is to be combined
with the subject property.
CA LEGAL DEPARTMENT
Ord. #5888.95 - Relating to the Community Redevelopment Agency; providing for repeal
of Ords. #2576-81 & #3021-83, which adopted and amended the redevelopment plan for
downtown Clearwater; providing for proper notice
The City Attorney indicated the present plan needs to be repealed prior to adpption
of the proposed eRA plan. A question was raised regarding what happens if the new plan
is not adopted by resolution on August 17, 1995. The City Attorney indicated the second
reading of this ordinance would not occur if the present plan would remain in effect.
OTHER CITY ATTORNEY ITEMS
The City Attorney referred to the City Commission request for a resolution urging
Time Warner to divest itself from commercial entanglements with "artists" who record
violent and vulgar lyrics. It was questioned if the City wishes to address anti-Semitic
programming on the public access station. The City Attorney indicated cable
renegotiations are in progress. She said programming on the public access station must be
addressed separately as it is a Freedom of Speech issue.
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City Manager Verbal Reports
The City Manager reported a trip to Orlando is scheduled for August 1, 1995 to visit
facilities that address homelessness, hunger and other social problems.
Commission Discussion Items
a) Vendino Machine Ordinance/Attached Sianaoe
Mr. Shuford reported City code presently treats signage on vending machines as
part of the total attached signage a business is permitted. He said the Community
Response Team currently is not enforcing this code and noted the City Commission had
indicated their desire to eliminate that requirement. He said a series of proposed
amendments to the sign code, such as instituting setback requirements, will eliminate that
requirement but will provide needed controls. Lt. Jeff Kronschnabl. Special Assistant to
the City Manager/Community Response Team, said the current code has created havoc
among inspectors. He supported Mr. Shuford's proposal. It was recommended this issue
be separated from other sign code amendments and be addressed at the next City
Commission meeting.
b} Recent Study bv City concernina newspapers (unsolicited materials)
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The City Manager said staff, uncertain regarding the magnitude of the problem with
free newspapers, etc. being thrown on people's yards, surveyed Clearwater residents with
a utility stuffer. She said responses from only 103 people would seem to indicated is not a
major problem. She recommended doing nothing about this concern at this time. Concern
was expressed that unsolicited materials litter City streets. It was noted this might be a
Freedom of the Press issue. It was indicated there was little reasonable action the City
could take.
9) Clearwater Beech Association invitation to the City Commission and staff to attend their
September 27. 1995 town meeting
The City Manager said if more than one Commissioner attends, the City Clerk or
representative must record the meeting. It was indicated several City Commissioners will
attend.
Other Commission Action
Commissioner Berfield requested an update on the Stevenson's Creek project where
homes have trouble with flooding. Mr. Baker said the project is being addressed by Camp
Dresser & McKee, Inc. (COM). He said plans will be completed in time for contract letting
this summer. He reported a drastic decrease in problems since completion of Phase I. He
said complaints have been limited to water in yards, streets and in one garage.
Mavor Garvev referred to the extension requested by Sunsets at Pier 60. She
indicated she had not heard of any problems with the event. The City Manager was
unaware of any problems and reported the organizers have been successful with the
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vending carts. It was requested that an agenda item to extend approval indefinitely be
placed on the August 3, 1995 agenda. The Mayor said it would be helpful if the event
organizers could operate with some certainty. The City Manager indicated staff has kept
track of in-kind services provided for the event.
Commissioner Johnson questioned if a reply had been sent regarding a written
complaint regarding golf courses receiving free reclaimed water. It was indicated that staff
is responding and a copy of the response has been forwarded to the newspaper that
printed the complaint.
Adjourn
The Commission adjourned at 12:32 p.m.
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