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09/07/2010 COMMUNITY REDEVELOPMENT AGENCY AGENDA Location: Council Chambers - City Hall Date: 9/7/2010- 9:00 AM 1. Call to Order 2. Approval of Minutes 2.1 Approve the minutes of the August 16, 2010 CRA Meeting as submitted in written summation by the City Clerk. Attachments 3. CRA Items 3.1 Approve a Contract For Purchase of Real Property with MNEK, Inc. to purchase real property described as Pinellas County parcels 15-29-15-65286-000-0180, 0190 and 0191 within (PADGETT'S ESTATES, PB4, Pg 11) together with Pinellas County parcels 15-29-15-58788-000-0280, 0290,and 0310 (within RE- SUBDIVISION LOTS 11, 12,13,14, and 15 of PADGETT' S ESTATES, PB 12, Pg 24) for the sum of $1,675,000, and authorize the appropriate officials to execute same, together with all documentation required to effect closing; approve the terms and conditions of a loan in the amount of $1,900,000 from the City of Clearwater (Central Insurance Fund) to the Community Redevelopment Agency (CRA) to underwrite the aforementioned acquisition cost, as well as closing costs and site demolition costs, in the amount of $1,900,000, at an interest rate consistent with the City cash pool rate-of-return and with an amortization schedule providing interest-only payments through Fiscal Year 2012 and level debt service (principal and interest) from Fiscal Year 2013 through Fiscal Year 2018. Attachments 3.2 Approve an Interlocal Agreement between the CRA and the City of Clearwater to provide CRA funding in FY 2010/2011 in the amount of $140,422.36 to underwrite the cost of additional Community Policing Services by the Clearwater Police Department in the East Gateway CRA District, pursuant to the East Gateway Five-Year Action Plan and authorize the appropriate officials to execute same. 2 Attachments 3.3 Approve the Interlocal Agreement with the Downtown Development Board (DDB) to provide personnel, administrative and management responsibilities during Fiscal Year 2010-2011 in the amount of $62,170 and refund the CRA tax increment fee of $162,352. Attachments 3.4 Adopt final budget amendments for the Community Redevelopment Agency for fiscal year 2009/10. Attachments 3.5 Approve the Fiscal Year 2010-2011 Community Redevelopment Agency Proposed Budget and adopt CRA Resolution 09-01. Attachments 4. Other Business 4.1 Closing Intersection of Ft. Harrison and Cleveland Street for Blast Friday Attachments 5. Adjourn Meeting Date: 9/7/2010 Community Redevelopment 0 Agency Agenda Council Chambers - City Hall SUBJECT / RECOMMENDATION: Approve the minutes of the August 16, 2010 CRA Meeting as submitted in written summation by the City Clerk. SUMMARY: Review Approval: 1) Clerk Cover Memo Item # 1 Attachment number 1 Page 1 of 3 COMMUNITY REDEVELOPMENT AGENCY MEETING MINUTES CITY OF CLEARWATER August 16, 2010 Present: Chair/Trustee Frank Hibbard, Trustee George N. Cretekos, Trustee John Doran, Trustee Paul Gibson, and Trustee Bill Jonson. Also William B. Horne II - City Manager, Jill S. Silverboard - Assistant City present: Manager, Rod Irwin - Assistant City Manager, Pamela K. Akin - City Attorney, Cynthia E. Goudeau - City Clerk, and Rosemarie Call - Management Analyst. Unapproved 1. Call to Order - Mayor Frank Hibbard The meeting was called to order at 9:11 a.m. at City Hall. 2. Approval of Minutes 2.1 Approve the minutes of the July 13, 2010 C RA Meeting as submitted in written summation L he Clerk. Trustee John Doran moved to approve the minutes of the July 13, 2010 CRA Meeting as submitted in written summation by the City Clerk. The motion was duly seconded and carried unanimously. 3. CRA Items 3.1 Recommend approval of amendments to the Clearwater Downtown Redevelopment Ian. City Council requested that the Planning and Development Department evaluate the potential for outdoor display of bicycles along the Pinellas Trail within Downtown and expand the uses allowed for the Clearwater Gas property in the Old Bay Character District. Based on the research conducted and the direction provided by Council, the Planning and Development Department is recommending the following amendments to the Clearwater Downtown Redevelopment Plan: Community Redevelopment Agency 2010-08-16 Item #11 Attachment number 1 Page 2 of 3 1) The outdoor display of bicycles may be permitted in conjunction with retail bicycle uses abutting the Pinellas Trail. Such display areas shall not be located within the sight visibility triangle, in landscaped areas or in required parking spaces and may only occur during business hours. 2) Properties located on Myrtle Avenue or Drew Street east of the Pinellas Trail may retain their current functions and/or transition to a variety of uses including offices, retail, medical facilities, governmental uses and mixed -use development. Redevelopment of these properties should include a connection to the Pinellas Trail and if deemed appropriate, be supportive of transit whether it be rail or bus service. Proposed Ordinance 8192-10 contains two amendments to Chapter 3 Land Use/Redevelopment Plan of the Clearwater Downtown Redevelopment Plan. One amendment adds a new Policy to the overall Goals, Objectives and Policies section of the Plan to permit outdoor bicycle display in limited locations within Downtown. The other amendment revises the Uses section of the Old Bay District to allow a broad range of uses for property located in the Old Bay Character District that front on either Drew Street east of the CSX railroad lines or on Myrtle Avenue. At its meeting on July 20, 2010, the Community Development Board reviewed and unanimously recommended approval of the proposed amendments to the Clearwater Downtown Redevelopment Plan. The CRA has the authority and responsibility to make a recommendation on the CRA Plan to the City Council. The Council has the authority for the final decision on the amendments. In response to questions, Planning and Development Assistant Director Gina Clayton said the proposed changes address the uses found in downtown. The properties along U.S. 19 abut the Pinellas Trail but do not have access to the trail. Amendments to address roller blades and skate boards would require the ordinance to be re-written and re-advertised. Staff was directed to report in 6 months any issues and advise of any recommended changes. Concern was expressed regarding interest in retaining uses for medical facilities along Ft. Harrison. Planning and Development Director Michael Delk said staff will investigate and report. Trustee George N. Cretekos moved to recommend approval of amendments to the Clearwater Downtown Redevelopment Plan. The motion was duly seconded and carried unanimously. Community Redevelopment Agency 2010-08-16 Item #21 Attachment number 1 Page 3 of 3 4. Other Business - None. 5. The meeting was adjourned at 9:26 a.m. Attest City Clerk Chair Community Redevelopment Agency Community Redevelopment Agency 2010-08-16 Item #31 Meeting Date: 9/7/2010 Community Redevelopment 0 Agency Agenda Council Chambers - City Hall SUBJECT / RECOMMENDATION: Approve a Contract For Purchase of Real Property with MNEK, Inc. to purchase real property described as Pinellas County parcels 15-29-15-65286-000-0180, 0190 and 0191 within (PADGETT'S ESTATES, P134, Pg 11) together with Pinellas County parcels 15- 29-15-58788-000-0280, 0290,and 0310 (within RE-SUBDIVISION LOTS 11,12,13,14, and 15 of PADGETT'S ESTATES, PB 12, Pg 24) for the sum of $1,675,000, and authorize the appropriate officials to execute same, together with all documentation required to effect closing; approve the terms and conditions of a loan in the amount of $1,900,000 from the City of Clearwater (Central Insurance Fund) to the Community Redevelopment Agency (CRA) to underwrite the aforementioned acquisition cost, as well as closing costs and site demolition costs, in the amount of $1,900,000, at an interest rate consistent with the City cash pool rate-of- return and with an amortization schedule providing interest-only payments through Fiscal Year 2012 and level debt service (principal and interest) from Fiscal Year 2013 through Fiscal Year 2018. SUMMARY: The subject property comprises the bulk of the East Gateway block bounded by Cleveland Street on the South ; North Betty Lane on the East; Grove Street on the North; and, North Lincoln Avenue on the West. I t includes all the parcels on the block owned by MNEK, Inc., including the Economy Inn; former Royal Palm Motel; Viva Mexico restaurant; two duplexes on Grove Street and one owner-occupied single family residence on the corner of Grove Street and North Betty Lane. It does not include three single- family residences on Grove Street not under ownership of MNEK, Inc. The acquisition parcels total approximately 96,885 sq. ft., or 2.2 acres, according to Property Appraiser. This property has presented an "acquisition opportunity" for the CRA at his time as the property has recently been listed for sale and reductions in asking price have made the acquisition feasible for redevelopment purposes. The rationale for acquiring these properties is: The properties have become a major, continuing source of blight and inappropriate activity, which is materially affecting the CRA, City and East Gateway community's efforts to stabilize and revitalize the East Gateway area. The magnitude of these problems far exceeds other properties in the East Gateway area. For example, Police Department records indicate calls for service/complaints to the Economy Inn alone during the last 12 months totaled 421---more than one call per day requiring Police attention. The properties have become a significant drain on CRA and City resources at a time when these resources are revenue-constrained and needed for other CRA and City priorities. The parcels have a long history of repeated code and police problems, even across changes in ownership, indicating an uncertain ability to resolve the problems through code enforcement or police action, without long and costly legal action with uncertain outcome. The assemblage represent a strategic, 2.2 acre redevelopment opportunity, at a critical location in the East Gateway, at a time when surrounding parcels are making significant investment investments to stabilize the immediate area. The MNEK parcels acquisition would allow the CRA to secure these investments and provide a significant opportunity to move forward the East Gateway effort. The current "for sale" status of the parcels presents both an opportunity and a threat to the East Gateway effort. If the CRA fails to acquire the parcels at this time, the opportunity may be lost and either continuation of the current situation will be experienced, or the parcels will be sold, in their entirety or in part, presenting the possibility of continued problematic use. Time is thus of the essence if the CRA is to assure that these parcels contribute in a positive way to supporting and consolidating the private sector investment in and around the immediate area. Funding for this acquisition is recommended to be a loan to the CRA from the City Central Insurance Fund in the amount of $1.9Million dollars to cover acquisition, closing and demolition/stabilization of the parcels. The loan will be interest only for Fiscal Year 2011 and Fiscal Year 2012, due to outstanding CRA commitments, with level debt service for the next six years. If the property is sold prior to the loan being satisfied, the sale proceeds will go to pay off the loan. Cover Memo An exemplary debt service schedule is attached to the Agenda Item, reflecting the current Insurance Fund rate of JIB ot2ling 3.5%. The loan terms will be structured in such a way that the Central Insurance Fund is completely made "whole" from an interest standpoint in advancing the funds to the CRA. Interest payments will match the cash pool earnings rate of the Fund throughout the loan period. A CRA Project Fund 388-94866, Economy Inn/MNEK, Inc., will be established and the loan proceeds deposited in that account. Staff recommends approval of the Contract for Purchase and the loan terms. Type: Capital expenditure Current Year Budget?: None Budget Adjustment: Yes Budget Adjustment Comments: See discussion in item background. Current Year Cost: Annual Operating Cost: Not to Exceed: $1.9 million Total Cost: For Fiscal Year: to Appropration Code Amount Appropriation Comment 388-94866 $1.9 million Review 1) Financial Services 2) Office of Management and Budget 3) Clerk 4) Legal 5) Clerk 6) Assistant City Manager Approval: ED 7) Clerk 8) City Manager 9) Clerk Cover Memo Item # 2 Page 1 of 9 CONTRACT FOR PURCHASE OF REAL PROPERTY BY THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF CLEARWATER, FLORIDA PARTIES: M.N.E.K., a Florida corporation, 1274 Cleveland Street, Clearwater, Florida 33755, herein "Seller"), and the COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF CLEARWATER, FLORIDA, a public body corporate and politic of the State of Florida, 112 South Osceola Avenue, Clearwater; Fl. 33756 (herein "Buyer" or "CRA" ), (collectively "Parties") hereby agree that the Seller shall sell and Buyer shall buy the following real property ("Property") upon the following terms and conditions. 1. LEGAL DESCRIPTION: Pinellas County parcels 15-29-15-65286-000-0180, 0190 and 0191 within (PADGETT'S ESTATES, PB. 4, Pg. 11) together with Pinellas County parcels 15-29-15-58788-000- 0280, 0290 and 0310 (within RE-SUBDIVISION LOTS 11, 12, 13, 14 AND 15 OF PADGETT'S ESTATES, PB 12, Pg. 24) as all are more specifically described in Exhibit "A" appended hereto and by this reference made a part hereof. PERSONALTY: NONE (Seller, at Seller's sole expense and option, may remove prior to closing all Property fixtures as described in Exhibit "B" appended hereto and by this reference made a part hereof) 2. FULL PURCHASE PRICE ................................................................. $1,675,000.00 3. MANNER OF PAYMENT; City of Clearwater check in U.S. funds at time of closing ......................................... $1,675,000.00 4. PURCHASE PRICE The Full Purchase Price as shown herein has been reached through negotiations with the Seller through Seller's representatives by City Economic Development staff as with reference to two current "highest and best use" appraisal valuations, as improved. 5. TIME FOR ACCEPTANCE; APPROVALS Following execution of this contract by Seller, the price, terms and conditions as contained herein shall remain unchanged and be held unconditionally open for a period of 30 days following delivery in duplicate original to CRA for acceptance and approval, or rejection by action of the CRA Board of Directors. If this agreement is accepted and approved by the CRA, it will be executed by duly authorized CRA officers and delivered to Seller within 10 days thereafter. If this contract is rejected by the CRA upon initial presentation, this contract shall be null and void in all respects and Seller shall be so informed in writing within 5 days of such action. U:\CRAdacs\M.N.EX Purchase (rev) OB0420.dac Item 412ge 1 Page 2 of 9 6. TITLE Seller warrants legal capacity to and shall convey marketable title to the Property by Statutory Warranty, subject only to matters contained in Paragraph 7 acceptable to Buyer. Otherwise title shall be free of liens, easements and encumbrances of record or known to Seller, but subject to property taxes for the year of closing; covenants, restrictions and public utility easements of record; and no others provided there exists at closing no violation of the foregoing and none of them prevents Buyer's intended use of the Property. 7. TITLE EVIDENCE Seller shall, at Seller expense and within 20 days following the Effective Date deliver to Buyer a title insurance commitment issued by a Florida licensed title insurer agreeing to liens, encumbrances, exceptions or qualifications set forth in this Contract, and those which shall be discharged by Seller at or before closing. Seller shall convey a marketable title subject only to liens, encumbrances, exceptions or qualifications set forth in this Contract. Marketable title shall be determined according to applicable Title Standards adopted by The Florida Bar and in accordance with law. Buyer shall have 5 days from receiving evidence of title to examine it. If title is found defective, Buyer shall, within 3 days thereafter, notify Seller in writing specifying defect(s). If the defect(s) render title unmarketable, Seller will have 120 days from receipt of notice within which to remove the defect(s), failing which Buyer shall have the option of either accepting the title as it then is or withdrawing from this Contract. Seller will, if title is found unmarketable, make diligent effort to correct defect(s) in title within the time provided therefor, including the bringing of necessary suits. & SURVEY Buyer, at Buyer's expense, within time allowed in paragraph 14(b) hereafter, may have Real Property surveyed and certified to the Buyer, Seller and closing agent by a registered Florida land surveyor. If survey shows any encroachment on Real Property, or that improvements located on Real Property encroach on setback lines, easements, lands of others, or violate any restrictions, contract covenants or applicable governmental regulation, the same shall constitute a title defect. The survey shall be performed to minimum technical standards of the Florida Administrative Code and may include a description of the property under the Florida Coordinate System as defined in Chapter 177, Florida Statutes. 9. CLOSING PLACE AND DATE [X ] Seller [ ] Buyer shall designate closing agent and this transaction shall be closed in the offices of the designated closing agent in Pinellas County, Florida, within 30 days following termination of the Inspection Period, unless extended by other provisions of this contract. If either party is unable to comply with any provision of this contract within the time allowed, and be prepared to close as set forth above, after making all reasonable and diligent efforts to comply, then Seller, at Seller's sole option, may extend closing up to 15 days following delivery of written nofice to Buyer without being in default hereunder, and without affect upon any other term, covenant or condition contained in this contract. 10. CLOSING DOCUMENTS Seller shall furnish closing statements for the respective parties, deed, bill of sale (if applicabl'?& # 2 Page 2 of 9 Page 3 of 9 mechanic's lien affidavit, mortgage estoppel letters, and corrective instruments. If Seller is a corporation, Seller shall deliver a resolution of its Board of Directors authorizing the sale and delivery of the deed and certification by the corporate Secretary certifying the resolution and setting forth facts showing the conveyance conforms with the requirements of local law. 11. CLOSING EXPENSES Documentary stamps on the deed, unless this transaction is exempt under Chapter 201.24, Florida Statutes, shall be paid by the Seller. Seller shall also pay the costs of the Owner's Policy of Title Insurance, recording any corrective instruments. Seller attorney fees, brokerage fees pursuant to independent contract. Recordation of the deed and Buyer attorney fees shall be paid by Buyer. 12. PRORATIONS; CREDITS Taxes, assessments, rent (if any) and other revenue of the Property shall be prorated through the day before closing. Closing agent shall collect all ad valorem taxes uncollected but due through day prior to closing and deliver same to the Pinellas County Tax Collector with notification to thereafter exempt the Property from taxation as provided in Chapter 196.012(6), Florida Statutes. If the amount of taxes and assessments for the current year cannot be ascertained, rates for the previous year shall be used with due allowance being made for improvements and exemptions. Any deposits held by Seller in trust for third parties in occupancy of the Property shall be credited to Buyer at time of closing. Assessments for any improvements that are substantially complete at time of closing shall be paid in full by Seller. 13.000UPANCY Seller warrants that there are no parties in occupancy other than the Seller, and authorized tenants as of the Effective Date, or as otherwise disclosed herein. Seller agrees to deliver occupancy of the Property at time of closing free and clear of all occupants and tenancies of any nature other than Seller. Buyer assumes all risk of loss to Property from date of occupancy, shall be responsible and liable for maintenance from that date, and shall be deemed to have accepted Property in its existing conditions as of the time of taking occupancy unless otherwise stated herein or in separate writing. 14. PROPERTY CONDITION Seller shall deliver the Property to Buyer at time of closing in its present "as is" condition, ordinary wear and tear excepted, and shall maintain the landscaping and grounds in a comparable condition. Seller makes no warranties other than is disclosed herein in Paragraph 19 ("SELLER WARRANTIES") and marketability of title. Buyer's covenant to purchase the Property "as is" is more specifically represented in either subparagraph 1. a. or b. as marked [X]. a. [ ] As Is: Buyer has inspected the Property or waives any right to inspect and accepts the Property in its present "as is" condition. b. [X] As Is With Right of Inspection: Buyer may, at Buyer expense and within 60 days following the Effective Date ("Inspection Period"), conduct inspections, tests, environmental and any other investigations of the Property Buyer deems necessary to determine suitability for Buyer's intended use. Seller shall grant reasonable access to the Property to Buyer, its agents, contractors and assigns for the purposes of conducting the inspections provided, however, that all such persons enter t409 ffty Page 3 of 9 Page 4 of 9 and conduct the inspections and investigations at their own risk. Seller will, upon reasonable notice, provide utilities services as may be required for Buyer's inspections and investigations. Buyer shall not engage in any activity that could result in a mechanics lien being filed against the Property without Seller's prior written consent. Buyer may terminate this contract by written notice to Seller prior to expiration of the Inspection Period if the inspections and/or investigations reveal conditions which are reasonably unsatisfactory to Buyer. If Buyer fails to Notify Seller that Buyer is terminating this contract as provided herein, then, in that event, it will be deemed Buyer is unequivocally obligated to consummate the purchase of the Property in its then "AS IS" condition, subject only thereafter to Seller having met and performed all other obligations and conditions of this contract and subject to normal wear and tear through day of closing, and upon Seller not being in default of any obligations under any of the terms and provisions of this contract. 15. WALK-THROUGH INSPECTION At a time mutually agreeable between the parties, but not later than the day prior to closing, Buyer may conduct a final "walk-through" inspection of the Property to determine compliance with any Buyer obligations under Paragraphs 8, 13 and 14 and to insure that all Property is in and on the premises. No new issues may be raised as a result of the walk-through. 16. SELLER HELD HARMLESS Buyer is self insured, and subject to the limits and restrictions of the Florida Sovereign immunity statute, F.S. 768.28, agrees to indemnify and hold harmless the Seller from claims of injury to persons or property during the inspections and investigations described in Paragraph 14(b) resulting from Buyer's own negligence only, or that of its employees or agents only, subject to the limits and restrictions of the sovereign immunity statute. 17. PROCEEDS OF SALE: CLOSING PROCEDURE The deed shall be recorded upon clearance of funds. Proceeds of sale shall be held in escrow by Seller's attorney or by such other mutually acceptable escrow agent for a period of not longer than 5 days from and after closing, during which time evidence of title shall be continued at Buyer's expense to show title in Buyer, without any encumbrances or change which would render Seller's title unmarketable from the date of the last title evidence. If Seller's title is rendered unmarketable through no fault of the Buyer, Buyer shall, within the 5 day period, notify the Seller in writing of the defect and Seller shall have 30 days from the date of receipt of such notification to cure the defect. If Seller fails to timely cure the defect, all funds paid by or on behalf of the Buyer shall, upon written demand made by Buyer and within 5 days after demand, be returned to Buyer and simultaneously with such repayment, Buyer shall return Personalty and vacate Real Property and reconvey it to Seller by special warranty deed. If Buyer fails to make timely demand for refund, Buyer shall take title "as is", waiving all rights against Seller as to any intervening defect except as may be available to Buyer by virtue of warranties contained in the deed. The escrow and closing procedure required by this provision may be waived if title agent insures adverse matters pursuant to Section 627.7841, F.S. (2009), as amended. It is the intention of the parties that the closing agent will delete the gap exception from the title commitment at closing, therefore making it possible to disburse settlement/closing funds, and the title insurer will insure against possible existence of adverse matters or defects in the title which are recorded during the period of time between the effective date of the commitment and the date of recording of the document creating the estate or interest to be insured. Item # 2 Page 4 of 9 Page 5 of 9 78. DEFAULT If this transaction is not closed due to any default or failure on the part of the Seller, other than to make the title marketable after diligent effort, Buyer may seek specific performance or unilaterally cancel this agreement upon giving written notice to Seller. If this transaction is not closed due to any default or failure on the part of the Buyer, Seller may seek specific performance or unilaterally cancel this agreement upon giving written notice to Buyer. If a Broker is owed a brokerage fee regarding this transaction, the defaulting party shall be liable for such fee. 19. SELLER WARRANTIES Seller warrants that there are no facts known to Seller that would materially effect the value of the Property, or which would be detrimental to the Property, or which would effect Buyer's desire to purchase the property except as follows: See-Paragraph 14 -- B, No Warranties 22. RADON GAS NOTIFICATION In accordance with provisions of Section 404.056(5), Florida Statutes (2009), as amended, Buyer is hereby informed as follows: RADON GAS: Radon is a naturally occurring radioactive gas that, when it has accumulated in a building in sufficient quantities, may present health risks to persons who are exposed to it over time. Levels of radon that exceed federal and state guidelines have been found in buildings in Florida. Additional information regarding radon and radon testing may be obtained from your county public health unit. 23. CONTRACT NOT RECORDABLE; PERSONS BOUND Neither this contract nor any notice of it shall be recorded in any public records. This contract shall bind and inure to the benefit of the parties and their successors in interest. Whenever the context permits, singular shall include plural and one gender shall include all. 24. NOTICE All notices provided for herein shall be deemed to have been duly given if and when deposited in the United States Mail, properly stamped and addressed to the respective party to be notified, including the parties to this contact, the parties attorneys, escrow agent, inspectors, contractors and all others who will in any way act at the behest of the parties to satisfy all terms and conditions of this contract. 25. ASSIGNABILITY: PERSONS BOUND This contract [ ] is not assignable [x] is assignable. The terms "Buyer", "Seller", and 'Broker" (if any) may be singular or plural. This Contract is binding upon Buyer, Seller, and their heirs, personal representatives, successors and assigns (if assignment is permitted). Item # 2 Page 5 of 9 Page 6 of 9 26. ATTORNEYS FEES; COSTS Each party shall be responsible for its own attorney's fees in connection with this Contract. In any litigation arising out of this contract, each party shall be responsible for their own attorneys' fees and costs. 27. TYPEWRITTEN OR HANDWRITTEN PROVISIONS Typewritten or handwritten provisions shall control all printed provisions of contract in conflict with them. 28. BROKER REPRESENTATION Buyer and Seiler warrant and represent to each other that they have not dealt or consulted with any real estate broker or agent in connection with the Property or this transaction other than Complete Commercial Realty (representing the Seller) and Colliers Arnold. Seller shall be responsible for a brokerage fee of 2.5% of the Full Purchase Price to be paid at closing to Complete Commercial Realty and an additional brokerage fee of 2.5% of the Full Purchase Price to be paid at closing to Colliers Arnold. Buyer has no obligation for brokerage fee. 29. EFFECT OF PARTIAL INVALIDITY The invalidity of any provision of this contract will not and shall not be deemed to affect the validity of any other provision. In the event that any provision of this contract is held to be invalid, the parties agree that the remaining provisions shall be deemed to be in full force and effect as if they had been executed by both parties subsequent to the expungement of the invalid provision. 30. GOVERNING LAW It is agreed by and between the parties hereto that this contract shall be governed by, construed, and enforced in accordance with the laws of the State of Florida. 31. COUNTERPARTS; FACSIMILE COPY This contract may be executed in two or more counterparts, each of which shall be deemed an original and all of which together shall constitute one instrument. A facsimile copy of this contract, including any addendum, attachments and any written modifications hereof, and any initials or signature thereon shall be deemed an original. 32. EXHIBITS ATTACHED Exhibit A (legal description of Parcel(s) and Exhibit B (fixtures to be removed by Seller prior to closing) are attached hereto and made a part of this contract. 33. ENTIRE AGREEMENT Upon execution by Seller and Buyer, this contract shall constitute the entire agreement between the parties, shall supersede any and all prior and contemporaneous written and oral promises, representations or conditions in respect thereto. All prior negotiations, agreements, memoral I Page 6of9 Page 7 of 9 writings shall be merged herein. Any changes to be made in this agreement shall only be valid when expressed in writing, acknowledged by the parties and incorporated herein or attached hereto. EXECUTED this of , 2010 by Seller. M.N.E.K., Inc. t By: ?Lat- ?i Maria A. Dedrick, President APPROVED AND EFFECTIVE this Countersigned: Rod Irwin, its EXECUTIVE DIRECTOR Approved as to form: Laura Mahony, Assistant City Attorney day of , 2010. By: COMMUNITY REDEVELOPMENT AGENCY of the City of Clearwater, Florida Frank V. Hibbard, its CHAIRMAN Attest: Cynthia E. Goudeau, City Clerk Item # 2 Page 7of9 Page 8 of 9 EXHIBIT "A" Legal Descriptions Per Warranty Deed recorded in O. R. Book 13030, Pgs. 821 - 822, Pinellas County public_ records Lot 18, and the East 108.5 feet of Lot 19, LESS the East 20 feet of Lot 18, and the South 20 feet of Lots 18 and 19, previously dedicated for road right-of-way purposes of THE PADGETT ESTATE SUBDIVISION, according to the map or plat thereof on file in the Office of the Clerk of the Circuit Court in and for Pinellas County, Florida, recorded in Plat Book 4, Page 11, said lands situate, lying and being in Pinellas County, Florida. AND Lots 28, 29, 30 and 31, RE-SUBDIVISION LOTS 11, 12, 13, 14 AND 15 OF PADGETTS ESTATE, according to the map or plat thereof on file in the Office of the Clerk of Circuit Court in and for Pinellas County, Florida, recorded in Plat Book 12, Page 24, said lands situate, lying and being in Pinellas County, Florida. AND Per Warranty Deed recorded in O. R. Book 13988, Pgs. 30 -- 31, Pinellas County public records The West 100 feet of Lot 19, PADGETT ESTATES SUBDIVISION, according to the plat thereof recorded in Plat Book 4, Page 11, Public Records of Pinellas County, Florida. Item # 2 Page 8 of 9 Page 9 of 9 EXHIBIT "B" Personal Items Be a ved Prior To Closing Located in 20 N. Betty Lane -- Living room ceiling fan, 2 bedroom ceiling fans, kitchen light; fixture, dining room light: fixture Located in 1274 Cleveland Street -- Security system including all cameras and monitoring equipment Item # 2 Page 9 of 9 Attachment number 2 PI, 1, ? 1 of 1 Attachment number 3 Page 1 of 3 U_ MEMORANDUM TO: Rod Irwin, Assistant City Manager FROM: Geri Campos Lopez, CEcD, Economic Development & Housing Director DATE: August 16, 2010 RE: Nuisance Business/Problematic Property - Economy Inn Motel, 1274 Cleveland St INTRODUCTION The Economy Inn Motel is a longstanding subject of resident and business owner complaints in the East Gateway District. Typically, complaints focus on prostitution and drug activity that are routinely conducted on the premises and the general unkemptness of the property. Conditions at the Economy Inn generate inordinate demand for municipal services including law enforcement and code enforcement, deter the city's economic development effort in downtown and diminish the quality of life for people that live or work in the East Gateway District and nearby neighborhoods. This memorandum will serve to demonstrate that the Economy Inn is a major blight to downtown, and that the direct and indirect costs of `business as usual' at this property warrant city/CRA intervention. BACKGROUND Police Activity Several motels in the East Gateway District are hotbeds of criminal activity. Many stakeholders have asserted that these nuisance businesses are the district's top problem. This stakeholder opinion is supported by an estimate that 75 percent of police activity in the district is related to just four businesses: • Economy Inn Motel, 1274 Cleveland St; • Motel 21, 1488 Gulf to Bay Blvd; • Hilltop Motel, 1385 Park St; and • Budget Inn, 1471 Court St (district adjacent). According to the Police Department, the Economy Inn is a significant problem, commanding more police service than any other East Gateway property. From the beginning of this fiscal year (September 1) to date (August 12, 2010), there have been 421 calls for service and 129 reports associated with the Economy Inn. Problems at this motel primarily stem from the volume and diversity of criminal activity (refer to attached supporting statistics) and motel management's lack of cooperation with law enforcement. Code Enforcement Activity Community Development Code Cases: The Economy Inn has been the subject of 16 Community Development Code cases from 2005 through 2009. Issues have ranged from property maintenance (i.e., paint, broken windows and doors, mold/mildew), outdoor storage, and vehicle sales. All cases were brought into compliance with the longest duration being three months. Item # 2 Attachment number 3 Page 2 of 3 Public Nuisance Code Cases: There were seven public nuisance cases from 2004 through 2009 mostly involving vehicles (i.e., inoperable, no tags/expired tags, flat tires). There were also issues with the swimming pool and debris on the premises. The longest duration of a case was one month and all cases were brought into compliance. Housing Code Cases: There was one case in 2005 with a duration of four months and brought into compliance. Business Cases: There was one case in 2007 that was combined with other cases and taken to the Code Board. Compliance was met within a four month period. Community Activity Concern about illicit activities at the Economy Inn is a monthly topic of discussion by the East Gateway Business & Neighbors Association (BNA). At a recent BNA meeting, a resident distributed a form from the Florida Department of Business & Professional Regulation Division of Hotels and Restaurants for establishing a complaint concerning public lodging establishments. In addition, the group has asked that the city explore nuisance abatement procedures to force the problem motels out of business. At the August BNA meeting, it was reported by the Police that a new consistent trend is that the criminals are moving between the hotels along Cleveland Street, and stated that as an example three men who were recently arrested and released moved from one hotel to the Economy Inn Motel. In response to a recent shooting at that location, the BNA asked Police if there were other options to pursue to close down the business. Property Information The Economy Inn is located at the northwest corner of Cleveland Street and Betty Lane in downtown's East Gateway District. The 1.29-acre property is identified by the Property Appraiser as #15-29-15-65286-000-0180. The property is owned by MNEK, Inc. The block which includes the Economy Inn is comprised of nine parcels with a total land area of approximately 2.53 acres. The Economy Inn owner, MNEK, Inc., owns six of those parcels which represent approximately 2.22 acres or 88 percent of the total block area (see Table 1). Table 1. Parcels within block at NW Corner of Cleveland St. & Betty Ln. PROPERTY SS ADDR OWNER USE LAND AREA (SF)2 1250 Cleveland St MNEK, Inc. Royal Palm Motel 21,000 1264 Cleveland St MNEK, Inc. Restaurant 4,085 1274 Cleveland St MNEK, Inc. Economy Inn Motel 56,125 1273 Grove St MNEK, Inc. Duplex 5,250 1277 Grove St MNEK, Inc. Duplex 4,875 20 Betty Ln MNEK, Inc. Single Family 5,550 TOTAL 96,885 2.22 AC Source: Parcel data, Pinellas County Property Appraiser, 2010. ANALYSIS OF OPPORTUNITY The Economy Inn and several other parcels owned by MNEK, Inc. are listed for sale. The initial purchase price of the Economy Inn Motel, former Royal Palm Motel, and the Viva Mexico 2 Item # 2 Attachment number 3 Page 3 of 3 Restaurant was listed in MLS for $2,250,000. There have been several reductions in price subsequently. This listing for sale represents a prime opportunity for the CRA to acquire a major source of blight and criminal activity in the area. Below are some key considerations for this acquisition: Key Considerations • Eliminates the sole nuisance business and its negative impacts within the western portion East Gateway District • Rare opportunity to assemble a viably-scaled redevelopment block in the East Gateway District and demolish blighted structures • Opportunity to create a development asset (catalytic development) to further East Gateway stabilization and revitalization goals (Five-Year Action Program) • Opportunity to further stimulate critical mass that is organizing along Cleveland Street in the vicinity of Cleveland Plaza anchored by Nature's Food Patch, Greektown Grille and the recent tenants including Ultimate Medical Academy and Consumer Energy Solutions at the mid-rise office building at 1255 Cleveland St., corner of Lincoln Avenue • Ability to guide redevelopment that maximizes impact and benefit through a Request for Proposals (RFP) process at the CRA's option • Quality of redevelopment along Cleveland Street/Gulf to Bay Boulevard is critical to the achievement of downtown goals • Potential to stimulate investment and positive impact on CRA Trust Fund within CRA timeframe • Potential for a significant hold and carry period until redevelopment occurs RECOMMENDATION Given the benefits outlined above, staff recommends that the CRA pursue the purchase of MNEK, Inc. parcels. The acquisition would benefit the East Gateway District, adjacent neighborhoods and the community as a whole in the following ways: 1. Eradicate a focal point of criminal activity; 2. Reduce spread of criminal activity into adjacent neighborhoods; 3. Remove barrier to redevelopment and revitalization in the CRA; and 4. Reduce costs of municipal services that are currently directed at the Economy Inn. If the property continues to operate as is or sold to another buyer that continues the current business, conditions will remain largely unchanged and intense municipal services will need to continue to be applied. We anticipate that there will be: • Substantial indirect costs: - Neighborhood deterioration or depopulation resulting in social, physical and economic consequences - Devaluation of adjacent properties, reducing investment potential of an area and acting as a barrier to revitalization - Impacts on adjacent neighborhoods - Opportunity lost • Substantial direct costs (Police, Code Enforcement, etc.) 3 Item # 2 W tni 0 LL LLI 0 LL. ccl Lor) LIJ L LA 9.?1.? F- Ln uj LLJ z z 0 0 u C? 0 L-L 0 00 C 0 Cr)l C) C) t CY) N it N c C cr. z ui LLJ z W LL LL. cc LLJ z ui z z z Q 2 c LAj 0 0 00 C 0 a) J r-A , H I H Z -11 M N ,) Ln z w (A w Ln M t c t0 DQ Y 9 d e I LL Ll. A J a V L7 N it E N F-- LU F-? L G" z w J z z Q 0 u tj W 0 LL V7 0 CL cco F- LLI z LLJ LA- 0 00 0 0 cr) C) C;.) C) N it N r•? I I !n l --?IM-d(NI,"I,111 0 ri r7 a u .? ' a ?i ? Q Q Q -^t +-+ C) Q Q g R I I jr, i 1 ? I Q i (Nl1 I cc Y Q i I f? Q ? Q N it N z D 0 V s.u U z z 0 Lr) an uj LL 0 O s? , ' IL p U t s ? {.L. Imo;. r. 0 ? I iJ1 iu I ua [1} w LL Q J ~ d ? d w ? i ,-1 1+ ? y r- I in I i u ' - L iF - i d w N it N ti z D U z Lij u z z D V w rf) - -4 -I -4 -4 0 z w LL D z D ? cc u C-) W L; 2 z w a I D u w D ul ItT X11-1 1 .-i100 ur) to 0 N 00 0 c tj N it a? Attachment number 5 Page 1 of 1 Loan from City Central Insurance Fund to CRA Property Purchase Loan $ 1,900,000 Interest Rate 3.5% (will vary - int erest at cash pool rate) Interest only FY11 and FY12 2 years Principal and Interest FY13 - FY18 6 years Level Payment FY13 - FY18 357,000.00 Interest Principal Principal Total Payment Beginning Balance 1,900,000.00 FY11 66,500.00 - 1,900,000.00 66,500.00 FY12 66,500.00 - 1,900,000.00 66,500.00 FY13 66,500.00 290,500.00 1,609,500.00 357,000.00 FY14 56,332.50 300,667.50 1,308,832.50 357,000.00 FY15 45,809.14 311,190.86 997,641.64 357,000.00 FY16 34,917.46 322,082.54 675,559.09 357,000.00 FY17 23,644.57 333,355.43 342,203.66 357,000.00 FY18 11,977.13 345,022.87 (2,819.21) 357,000.00 2, 275, 000.00 Item # 2 Meeting Date: 9/7/2010 Community Redevelopment 0 Agency Agenda Council Chambers - City Hall SUBJECT / RECOMMENDATION: Approve an Interlocal Agreement between the CRA and the City of Clearwater to provide CRA funding in FY 2010/2011 in the amount of $140,422.36 to underwrite the cost of additional Community Policing Services by the Clearwater Police Department in the East Gateway CRA District, pursuant to the East Gateway Five-Year Action Plan and authorize the appropriate officials to execute same. SUMMARY: The CRA approved the East Gateway District Five -Year Action Program on May 13, 2008. The Action Program responded to public input on the issues of drug dealing, prostitution and street crime by including an action item for increased police presence and crime reduction within the East Gateway District. An allowable funding source of this action item is the use of CRA Tax Increment Financing (TIF) funds. Florida Statues allows for the use of TIF funds for "community policing innovations" in Community Redevelopment Areas. The CRA and Clearwater Police Department have reached an agreement on a proposed scope of services and terms as delineated in the Interlocal Agreement. Included in the scope is the delineation of specific, measurable crime reduction targets by which to monitor the success of the initiative as well as providing clear language required by statute assuring that the resources are applied to the CRA/East Gateway area. Funding will be from the CRA East Gateway Project account (388-94849). Appropration Code 388-94849 Amount Appropriation Comment $140,422.36 Review 1) Financial Services 2) Office of Management and Budget 3) Clerk 4) Legal 5) Clerk 6) Assistant City Manager Approval: ED 7) Clerk 8) City Manager 9) Clerk Cover Memo Item # 3 Attachment number 1 Page 1 of 6 INTERLOCAL AGREEMENT This Interlocal Agreement is made and entered into this day of , 2010 by and between the Community Redevelopment Agency of the City of Clearwater, Florida (CRA), a redevelopment agency established pursuant to law, and the City of Clearwater (CITY), a municipal corporation of the State of Florida. WHEREAS, this Agreement is made and entered between the parties pursuant to Section 163.01, Florida Statutes, the "Florida Interlocal Cooperation Act of 1969"; and WHEREAS, Section 163.361(1) of the Florida Statutes allows for the use of Tax Increment Funding (TIF) funds for community policing innovations in Community Redevelopment Areas; and WHEREAS, the CRA has established a Five Year Plan that contains an East Gateway Character District Strategy, which includes the element to "provide a more visible community policing presence within the East Gateway neighborhood"; and WHEREAS, the CRA has ascertained that the East Gateway area continues to experience a critical need for an enhanced community policing presence in order to specifically reduce drug dealing, prostitution, and street crimes in the target area; and WHEREAS, the CRA and the CITY entered into an Interlocal Agreement during the Fiscal Year 2009/2010 in order to provide for the CRA's financial contribution to an additional community policing presence by the CITY in the East Gateway area above and beyond the current activity levels; and WHEREAS, the CRA has funded two police officers for Fiscal Year 2009/2010 and wants to continue the use of TIF funds to fund the program; and WHEREAS, the CRA and the CITY want to enter into another Interlocal Agreement during the Fiscal Year 2010/2011, outlining the scope of services and responsibilities of the parties. NOW THEREFORE, in consideration of the covenants made by each party to the other and of the mutual advantages to be realized by the parties hereto, the CRA and the CITY agree as follows: Section 1. Term. The term of this Interlocal Agreement will be October 1, 2010 through September 30, 2011. Item # 3 Attachment number 1 Page 2 of 6 Section 2. Intent. It is the intent of the parties that the TIF funds paid to the CITY by the CRA pursuant to Section 163.361(1), Florida Statutes, be used to provide a more visible community policing presence within the East Gateway neighborhood. Section 3. Responsibilities of the CRA Function: A. Provide TIF funding in the total amount of $140,422.36 for the contract year, said funds to be utilized by the Clearwater Police Department (CPD) to provide the community policing presence, to be allocated in the following manner: B. $138,742.36 to pay for the salaries, and benefits for two (2) police officers for the contract year. Exhibit "A," Position Enhancement Fact Sheet, attached hereto and incorporated by reference, contains detailed specifications on salary and benefits. C. $1,680, the estimated fuel cost for the contract year for a police vehicle used by the two (2) police officers within the East Gateway Area. Section 4. Responsibilities of the CITY Scope of Duties. The services that the CITY will provide will be carried out the CPD. These services are: A) Implementation of a Law Enforcement Strategy in the East Gateway area as follows: Goal: Reduce drug dealing, prostitution, and street crimes. 1. Objective 1: Remove identified dealers and career criminals from the area. Tasks: a) Identify the drug dealers and gang members in the area b) Gather intelligence information utilizing undercover techniques and surveillance equipment. C) Develop confidential informants to assist in furthering criminal investigations of the "worst of the worst" offenders. Outcome Measures: 2 Item # 3 Attachment number 1 Page 3 of 6 a) Develop two (2) confidential informants in the target area. b) Increase by 25% the number of criminal charges filed against drug dealers in the target area. C) Increase by 25% the number of FIR's/Reports identifying suspected gang members in the target area. 2. Objective 2: Reduce incidence of prostitution and solicitations by "Johns" in the target area. Tasks: a) Conduct reverse prostitution "stings" utilizing police officers as decoys. b) Utilize directed patrol to discourage prostitutes and "Johns" from frequenting the area. C) Impound vehicles of "Johns) who are arrested for soliciting prostitutes or police decoys in the area. d) Coordinate with the City's Community Response Team to enhance code enforcement in the target area relative to properties that are in disrepair and negatively impact the quality of life in the East Gateway. Outcome measures: a) Conduct minimum of three (3) reverse sting operations annually. b) Conduct quarterly inspections in conjunction with Community Response Team of properties that are in disrepair and negatively impact the quality of life in the East Gateway. 3. Objective 3: Reduce crimes committed by and against homeless individuals in the target area. Tasks: a) Utilize directed patrol in areas known to be frequented by homeless individuals. b) Enforce "Rules of Conduct" as set forth by the Clearwater Homeless Intervention Project (including prohibitions against panhandling, public drinking, public urination, loitering, etc.) Outcome Measures: a) Increase arrests and citations for violations of criminal law or ordinances by 25% over a five-year period. b) Increase trespass warnings within the East Gateway area by 25% over a five-year period. 3 Item # 3 Attachment number 1 Page 4 of 6 B) In order to carry out the Law Enforcement Strategy above, the CDP will provide the following: 1. Two (2) fully equipped police officers to provide law enforcement services to the target area defined as the East Gateway for a minimum of eight (8) hours per day, five (5) days per week. 2. Specific duties, activities, and responsibilities: a) The officers will be assigned to a Community Policing Team with geographical responsibility for the East Gateway. b) The Team assignment will always ensure coverage by two (2) officers. C) Schedules of the officers will vary, but coverage will be predominately during evening hours. d) Officers will patrol by both vehicles and bicycles. e) A report of police activities and statistical information will be provided to the CRA on a scheduled basis. f) The officers selected will be experienced, current member of the CPD. 3. An existing, fully-equipped Crown Victoria Police Car. C) All CRA funds pursuant to this agreement will be kept in the CPD's departmental account. D) No charges to the CRA account will be made for activities or hours worked by the two (2) officers outside the CRA area or for equipment used outside the CRA area. E) Other administrative duties as mutually agreed. Section 5. Notice. Sixty (60) days notice by either party to the other pursuant to the Interlocal Agreement shall be given in writing and hand- delivered or mailed as follows: Chairperson, Board of Trustees Community Redevelopment Agency 112 South Osceola Avenue Clearwater, Florida 33756 City of Clearwater Attn: Rod Irwin, Asst City Mgr. for Econ. Development 112 South Osceola Avenue Clearwater, Florida 33756 Telephone: (727) 562-4040 4 Item # 3 Attachment number 1 Page 5 of 6 Section 6. Entire Agreement. This document embodies the whole Agreement of the parties. There are no promises, terms, conditions or allegations other than those contained herein. This Agreement shall be binding on the parties, their successors, assigns and legal representatives. Section 7. Indemnification. The CRA and the CITY agree to be fully responsible for their own acts of negligence, or their respective agents' acts of negligence when acting within the scope of their employment, and agree to be liable for any damages resulting from said negligence only to the extent permitted by Section 768.28, Florida Statutes. Nothing herein is intended to nor shall it be construed as a waiver of any immunity from or limitation from liability that the CRA and the CITY are entitled to under the doctrine of sovereign immunity (Section 768.28, Florida Statutes). Nothing herein shall be construed as consent by the CRA or the CITY to be sued by third parties in any manner arising out of this Agreement. Section 8. Maintenance of Effort. The expenditures authorized by this Agreement are solely and exclusively to increase community policing activity and resources. The City agrees that no diminishment of existing police efforts in the East Gateway will occur as a result of this agreement. Section 9. Filing Effective Date. As required by Section 163.01(11), Florida Statutes, the Interlocal Agreement shall be filed with the Clerk of the Circuit Court of Pinellas County after execution by the parties, and shall take effect upon the date of filing. IN WITNESS WHEREOF, the parties hereto, or their law representatives, have executed this agreement as the date first above written. COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF CLEARWATER, FLORIDA By: Frank Hibbard, Chairperson ATTEST: By: Rosemarie Call, City Clerk Item # 3 Attachment number 1 Page 6 of 6 Countersigned: CITY OF CLEARWATER, FLORIDA Frank V. Hibbard Mayor Approved as to form: Pamela K. Akin City Attorney Bv: William B. Horne II City Manager Attest: Rosemarie Call City Clerk 6 Item # 3 Attachment number 2 Page 1 of 1 8/25/2010-233 PM CRA Officers Base Salary Pension (24%) EXHIBIT "A" Position Enhancement Fact Sheet Police Department - CRA Funded Officers For FY 2010/11 Social Security (1.45%) Major Medical Life Insurance 1 Officer Step 3 49,029.24 11, 767.02 710.92 6,200.00 10.00 Workers Compensation 1,654.00 69,371.18 Fuel 1680 2 Officers Step 3 98,058.48 23,534.04 1,421.85 12,400.00 20.00 3,308.00 138,742.36 Item # 3 Meeting Date: 9/7/2010 Community Redevelopment 0 Agency Agenda Council Chambers - City Hall SUBJECT / RECOMMENDATION: Approve the Interlocal Agreement with the Downtown Development Board (DDB) to provide personnel, administrative and management responsibilities during Fiscal Year 2010-2011 in the amount of $62,170 and refund the CRA tax increment fee of $162,352. SUMMARY: Florida Statutes 163.387 requires all taxing authorities, which includes the DDB, to make an annual appropriation in an amount equal to the incremental increase in the ad valorem revenue within the CRA area. The DDB'S increment payment is $162,352 according to the Pinellas County Property Appraiser's office. In a spirit of cooperation to further the downtown redevelopment plan, the CRA Trustees executed the first Interlocal Agreement in FY 1999-2000 to provide personnel, administrative and management responsibilities to the DDB and to refund the difference between the increment payment and the management fee. This is the eleventh fiscal year that the CRA would enter into the agreement. Pursuant to Florida Statute 163.01, the CRA and DDB can enter into this agreement in which the DDB agrees to perform certain responsibilities and functions including funding projects and programs consistent with and in furtherance of the downtown redevelopment plan. The intent of this agreement is for the DDB and the CRA to work collaboratively on projects and programs that further downtown goals and objectives. For the second year in a row, downtown retail and restaurant recruitment programs and downtown events are the focus for the CRA and the DDB collaboration. The management of the DDB by CRA staff enables the CRA and the DDB to utilize the public dollars more efficiently. The agreement also outlines the DDB'S commitment to financially support the construction debt service, operation and maintenance of the boat slips, docks, boardwalk, promenade and related facilities proposed to be constructed on the Downtown Waterfront. The DDB has made four contributions of $50,000 since April 2007. Due to the economy, the City determined that it was not in the best interest of the City and the taxpayers to borrow funds for construction of the boat slips. Instead, the City is paying for the majority of the construction costs from City reserves. Any of the annual DDB contribution not needed for operations of the boat slips will be used to reimburse the City for the cost of construction. The intent of the DDB is to contribute up to $50,000 a year for 10 years for a total not to exceed $500,000. The DDB shall pay the CRA $62,170 for the services agreed to in the Interlocal Agreement. The DDB approved the Interlocal Agreement at their meeting on August 4, 2010. Review 1) Financial Services 2) Office of Management and Budget 3) Clerk 4) Legal 5) Clerk 6) Assistant City Manager Approval: ED 7) Clerk 8) City Manager 9) Clerk Cover Memo Item # 4 Attachment number 1 Page 1 of 5 INTERLOCAL AGREEMENT This Interlocal Agreement is made and entered into this day of , 20107 by and between the Community Redevelopment Agency of the City of Clearwater, Florida (CRA), a redevelopment agency established pursuant to law, and the Downtown Development Board (DDB), a special district organized and operating pursuant to the ordinances and laws of the City of Clearwater. WHEREAS, Florida Statutes 163.387 requires all taxing authorities to make an annual appropriation in an amount equal to the incremental increase in the ad valorem revenue within the CRA area; and WHEREAS, the DDB is a taxing authority within the meaning of the statute; and WHEREAS, the CRA and the DDB in the spirit of cooperation desire to offer the downtown constituents the opportunity to utilize more efficiently the public dollars collected for each entity; and WHEREAS, the CRA and the DDB have a special obligation to ensure wise and sound administration of the programs; and WHEREAS, the CRA and the DDB desire to enter into an Interlocal Agreement outlining the scope of services and responsibilities of the parties; and WHEREAS, the DDB desires to financially support the construction debt service, operation, and maintenance of the boat slips, docks, boardwalk, promenade and related facilities proposed to be constructed in the Downtown Waterfront ("Proposed Facilities"); and WHEREAS, the CRA and the DDB wish to enter into an Interlocal Agreement pursuant to Florida Statutes 163.01, in order to provide for the DDB's contribution to the Proposed Facilities; and WHEREAS, the CRA and the DDB wish to enter into an Interlocal Agreement pursuant to Florida Statues 163.01, in which the DDB agrees to perform certain responsibilities and functions consistent with and in furtherance of the Downtown Redevelopment Plan, in return for an amount equal to the difference between the increment payment of $162,352 and the $62,170 the DDB pays the CRA for administration. 1 2010-11 CRA/DDB Interlocal Agrelt& # 4 Attachment number 1 Page 2 of 5 NOW THEREFORE, in consideration of the covenants made by each party to the other and of the mutual advantages realized by the parties hereto, the DDB and the CRA agree as follows: Section 1. Term. The term of this Interlocal Agreement will be October 1, 2010 through September 30, 2011. Section 2. Intent. It is the intent of the parties that the moneys paid to the CRA by the DDB pursuant to Florida Statutes 163.387, commonly referred to as the tax increment payment, be used to advance the goals and objectives of the Downtown Redevelopment Plan. The CRA shall retain $62,170 to offset the cost of administration of the DDB as further described herein. The remaining money shall be returned to the DDB by the CRA in exchange for performance of certain responsibilities and functions consistent with and in furtherance of the Downtown Redevelopment Plan, by the DDB. Further, with the approval of the Proposed Facilities by the voters at referendum on March 13, 2007, it is the intent of the DDB to provide for a contribution over 10 years in an amount not to exceed $500,000, to the cost of construction debt service, operation, and maintenance of the Proposed Facilities. Section 3. Responsibilities of the DDB. 1. Function: a. Collaborate with the CRA on projects and programs, which succeed in bringing businesses and residents into the downtown district b. Focus on business and enterprise development, job creation and initiatives related to increasing income and employment opportunities c. Encourage public-private partnerships to promote business relocation and expansion d. Market, promote and assist with business recruitment e. Interact with constituents and facilitate activities that sustain, promote and advance downtown revitalization f. Be active in the administration of downtown initiatives g. Develop short- and long-term strategies, define roles and assign responsibilities to implement those strategies Section 4. Responsibilities of the CRA. 1. Scope of Duties. The services that the CRA will provide are- a. Prepare correspondence for DDB members 2 2010-11 CRA/DDB Interlocal Agrelte # 4 Attachment number 1 Page 3 of 5 b. All DDB funds will be kept in the City's bank account and will be segregated for accounting purposes in the City's records as a separated, interest-earning fund c. Assist with preparation and monitoring of the annual budget and prepare amendments as necessary d. Prepare monthly financial reports e. Prepare agendas and distribute packets to DDB members prior to each meeting f. Prepare meeting notices for monthly and special DDB meetings g. Attend meetings and supervise work of Board Reporter who records and transcribes minutes h. Coordinate the DDB Promotion and Business Visitation Committee meetings i. Handle all phone inquires and follow up on the calls j. Handle any special mailing notices k. Serve as coordinator for the DDB special activities 1. Administer the Retail and Restaurant Recruitment Grant, Facade Improvement and the Sidewalk Cafe Furniture Grant programs m. Assist in looking into other incentive options to improve downtown properties and implement projects funded or initiated by the Board n. Assist with promoting design related programs to the downtown community o. Manage loans, contracts and all applicable documents p. Coordinate field trips and travel arrangements in accordance with the City of Clearwater Travel and Meals Policy q. Other administrative duties as mutually agreed r. Coordinate the annual election process in cooperation with the Pinellas County Supervisor of Elections s. Act as a Liaison to the Pinellas County Property Appraiser, Pinellas County Tax Collector, and DDB legal counsel: Elise K. Winters, P.A. t. Assure that the annual audit is conducted in compliance with State of Florida Auditor General u. Comply with State of Florida Tax Increment Millage Compliance with Chapter 200, Florida Statutes, Sections 218.23, 218.63, Florida Statutes (TRIM) v. Comply with the Florida Department of State Information Services Records Disposition Act w. Comply with the State of Florida Department of Community Affairs Special District Information Program x. Comply with the State of Florida Department of Insurance Treasurer's Public Depositor Annual Report y. Coordinate financial disclosure requirements of the State of Florida Commission on Ethics 3 2010-11 CRA/DDB Interlocal Agrelte # 4 Attachment number 1 Page 4 of 5 Section 5. Compensation. In return for the above services, the CRA shall pay to the DDB this difference upon receiving the increment payment from the DDB. The budget for the CRA for services listed in Section 4 above shall be as follows: Personnel and Administration $62,170 Section 6. Contribution by DDB. The DDB shall contribute $50,000 toward the cost of construction debt service, operation, and maintenance of the Proposed Facilities. Said payment shall be made upon request of and at the direction of the CRA. It is the intent of the parties that the DDB shall contribute up to $50,000 a year for 10 years for a total not to exceed $500,000, subject to annual approval of future agreements. DDB made the first payment of $50,000 in April 2007, and subsequent yearly payments of $50,000 in April 2008, August 2009 and January 2010. Due to the economy, the City determined that it is not in the best interest of the City and the taxpayers to borrow funds for construction of the boat slips. Instead, the City is paying for the majority of the construction costs from City reserves and any of the annual DDB contribution not needed for operations of the boat slips, will be used to reimburse the City for the cost of construction. Section 7. Notice. Any notice by either party to the other pursuant to the Interlocal Agreement shall be given in writing and hand-delivered or mailed as follows: Chairperson, Board of Trustees Community Redevelopment Agency 112 S. Osceola Avenue Clearwater, Florida 33756 Chairperson Downtown Development Board Post Office Box 4748 Clearwater, Florida 33758-4748 Section 8. Entire Agreement. This document embodies the whole Agreement of the parties. There are no promises, terms, conditions or allegations other than those contained herein. This Agreement shall be binding on the parties, their successors, assigns and legal representatives. Section 9. Filing Effective Date. As required by Section 163.01(11), Florida Statutes, the Interlocal Agreement shall be filed with the Clerk of the Circuit Court of Pinellas County after execution by the parties, and shall take effect upon the date of filing. 4 2010-11 CRA/DDB Interlocal Agrelte # 4 Attachment number 1 Page 5 of 5 IN WITNESS WHEREOF, the parties hereto, or their lawful representative, have executed this agreement as the date first above written. COMMUNITY REDEVELOPMENT AGENCY BY: Chairperson, Board of Trustees Frank Hibbard Approved as to form: Attest: Pamela K. Akin Cynthia E. Goudeau City Attorney City Clerk DOWNTOWN DEVELOPMENT BOARD BY: David Allbritton, Chairperson 2010-11 CRA/DDB Interlocal Agrelte # 4 Meeting Date: 9/7/2010 Community Redevelopment 0 Agency Agenda Council Chambers - City Hall SUBJECT / RECOMMENDATION: Adopt final budget amendments for the Community Redevelopment Agency for fiscal year 2009/10. SUMMARY: There are no budget amendments proposed to the Community Redevelopment Agency operating budget at this time. CRA capital project amendments reflect a net increase of $58,762.26. Significant capital project amendments include: The establishment of two new capital projects to capture expenditures for the Main Street Clearwater Development (Tony's Pizza) and the Rule Development (Bellini's Casanova) projects. Both of these development agreements had been previously approved by the Board. To transfer $230,000 from Downtown Redevelopment to the Station Square Redevelopment project code to provide for the final commitment for the reimbursement of impact fees according to the Station Square Development Agreement. To transfer $50,000 from Downtown Redevelopment to Retail Attraction/Assistance to fund downtown restaurant and retail recruitment activities per the CRA approved Retail Recruitment Strategy. All capital project amendments are outlined on the CRA Capital Improvement Project Fund Final Review worksheet. Review 1) Financial Services 2) Office of Management and Budget 3) Clerk 4) Assistant City Manager 5) Clerk 6) City Approval: Manager 7) Clerk Cover Memo Item # 5 Attachment number 1 Page 1 of 2 Community Redevelopment Agency Final Review For the Ten Month Period of October 1, 2009 - July, 2010 2009/10 Mid Year Final 2009/10 Adopted Amended Proposed Amended Amend Budqet Budqet Amendments Budqet Ref Revenues & Transfers In Tax Increment Financing Revenues 338930 Pinellas County 1,150,952 1,125,891 1,125,891 381115 City of Clearwater 1,217,557 1,189,185 1,189,185 381116 Downtown Development Board 201,767 196,789 196,789 Total TIF Revenues 2,570,276 2,511,865 2,511,865 Other Revenues 361101 Interest Earnings 30,000 200,000 200,000 369901 Other General Revenue Transfers In 381782 DDB Administration 59,779 59,779 59,779 381782 Loan Payment From DDB 7,848 7,848 7,848 381888 Interest from Fund 388 588,647 588,647 Total Revenues & Transfers In 2,667,903 3,368,139 3,368,139 Expenditures & Transfers Out Operating Expenditures 530100 Professional Services 60,000 60,000 60,000 530300 Contractual Services - - 540200 Document Reproduction 10,000 10,000 10,000 540300 Telephone Variable 1,500 1,500 1,500 540700 Postal Service 2,000 2,000 2,000 541500 Garage Variable 3,600 3,600 3,600 542300 Gas, Water, Sanitation - - 542500 Postage 50 50 50 543100 Advertising 10,000 10,000 10,000 543200 Other Promotional Activities 10,000 10,000 10,000 543400 Printing & Binding 500 3,200 3,200 547100 Uniforms 150 150 150 547200 Employee Expense-Travel 6,500 6,500 6,500 548000 Other Services 2,200 2,200 2,200 550100 Office Supplies 1,000 1,000 1,000 550400 Operating Supplies 3,000 3,000 3,000 557100 Memberships and Subscriptions 4,000 4,000 4,000 557300 Training and Reference 4,000 4,000 4,000 581000 Payments to Other Agencies-DDB 201,767 196,789 196,789 582000 Aid to Private Organizations 6,000 6,000 6,000 Total Operating Expenditures 326,267 323,989 323,989 Transfers Out - 590200 General Fund- Administrative 309,599 309,599 309,599 590800 East Gateway Project (94849) 136,785 136,785 136,785 590800 Cleveland Street Maintenance (99968) 22,000 22,000 22,000 590800 Waters Edge (Opus) 148,241 148,241 148,241 590800 Station Square DA 230,000 230,000 230,000 590800 Marriott Residence Inn (94856) 34,539 34,539 34,539 590800 Restricted County TIF Funds 1,150,952 1,125,891 1,125,891 590800 Fagade Improvement Grant Fund 50,000 50,000 50,000 590800 Downtown Redevelopment Fund 34,520 762,095 762,095 590800 Affordable Housing Projects (94851) 25,000 25,000 25,000 590800 Retail Attraction/Assistance (94852) 100,000 100,000 100,000 590800 Cleveland Street Branding (94853) 100,000 100,000 100,000 Total Transfers Out 2,341,636 3,044,150 3,044,150 Total Expenditures & Transfers Out 2,667,903 3,368,139 3,368,139 Excess of Revenues & Transfers In Over Expenditures & Transfers Out - - - Budget Amendments to Operating Budget No further amendments are proposed for the CRA operating fund. Item # 5 Attachment number 1 Page 2 of 2 Community Redevelopment Agency CRA Capital Improvement Project Fund Final Review For the Ten Month Period of October 1, 2009 - July, 2010 Mid Year Amended Budget Revenue Interest Earnings 588,647 Expenditures Transfer to CRA Operating Fund 588,647 Project Amendments Mid Year Final Actual Expenditures Project Budget Amended Proposed Amended Project Open Available Amend # Description 10/1/2010 Budget Amendment Budget To Date Encumbr Balance Ref 388-92269 Downtown Streetscape 532,522 20,920 20,920 20,920 0 388-92275 Downtown Streetscape Phase II 1,574,000 2,060,541 2,060,541 95,444 1,965,098 388-93405 Downtown Boat Slips 1,000,000 1,000,000 1,000,000 1,000,000 0 388-94714 Downtown Redevelopment 1,743,071 2,145,646 -351,356 1,794,289 106,836 80,033 1,607,420 388-94765 IMR Development 99,271 99,271 99,271 4,660 94,611 388-94847 Clearwater Centre-1100 Cleveland 1,040,000 1,040,000 1,040,000 505,917 534,083 388-94848 Station Square Park 800,000 800,000 800,000 800,000 0 388-94849 East Gateway 429,169 429,169 429,169 204,233 224,936 388-94851 Affordable Housing 250,000 250,000 250,000 250,000 388-94852 Retail Attraction/Assistance 365,000 365,000 50,000 415,000 178,656 50,850 185,493 388-94853 Cleveland District Branding 176,000 176,000 176,000 3,671 172,329 388-94855 Cleveland Auto EPA Loan 350,000 350,000 350,000 298,827 48,087 3,087 388-94856 Marriott Residence Inn 212,539 212,539 212,539 178,000 34,539 388-94859 Station Square Development 230,000 230,000 230,000 460,000 460,000 388-94860 Water's Edge (Opus) 288,373 288,373 288,373 276,461 11,912 388-94862 CarPro Site 325,000 325,000 300,126 24,874 388-99963 Economic Development Incentive 153,861 153,861 153,861 42,525 111,336 388-99964 Main Street Clearwater Development 50,000 50,000 50,000 388-99965 Rule Development 80,119 80,119 80,119 388-99968 Cleveland Street Maintenance 72,676 72,676 72,676 12,974 59,701 388-99979 Historical Facade Program 262,165 262,165 262,165 53,898 208,267 388-99881 Clearwater Auto Site - General 187,659 187,659 187,659 3,245 184,414 388-99886 Mediterranean Village 259,538 259,538 259,538 44,708 992 213,838 Total 10,025,843 10,728,357 58,762 10,787,119 4,131,101 179,962 6,476,056 Budget Amendments to Projects 1 To reflect a budget increase to recognize the year-end cash balance of the CRA Fund for the 2009 fiscsal year of $58,762.26. To recognize the transfer of $230,000 from project 388-94714, Downtown Redevelopment project to 388-94859, Station Square Redevelopment 2 to provide for the final commitment for the reimbursement of impact fees according to the Station Square Development Agreement. To record a budget transfer of $100,000 from project 388-94714, Downtown Redevelopment to project 388-94852, Retail Attraction/Assistance, to 3 fund downtown restaurant and retail recruitment activities per the CRA approved Retail Recruitment Strategy. To establish a new project 388-94864, Main Street Clearwater Development and transer $50,000 from 388-94852, Retail Attraction/Assistance. 4 This development agreement for Tony's Pizza Restaurant was approved by the Board on 7/13/2010. To establish a new project 388-94865, Rule Development and transfer $80,118.62 from 388-94714, Downtown Redevelopment. This 5 development agreement with Rule LLP for "Bellini's Casanova" was approved by the Board on 6/1/2009. 1,2,3,5 3,4 Item # 5 Meeting Date: 9/7/2010 Community Redevelopment 0 Agency Agenda Council Chambers - City Hall SUBJECT / RECOMMENDATION: Approve the Fiscal Year 2010-2011 Community Redevelopment Agency Proposed Budget and adopt CRA Resolution 09-01. SUMMARY: The major highlights of the Fiscal Year 2010-2011 proposed budget are as follows: Tax Increment revenues decreased by $ 597,700 due to a 14% decrease in Assessed Value--a 12% decrease in the old Downtown CRA (Downtown) and a 19% decrease in the expanded CRA area (East Gateway). Operating expenditures are decreased by $ 43,987 or 13.5% largely due to the decrease in "pass through" funds for the DDB because of the lower assessed values. Net of the DDB "pass through" the operating expenditures are decreased by $ 9,550, which represents a 7.5% decrease. This year the General Fund-Administrative contribution from the CRA reflects the allocation of 100% of the cost of the Community Development Coordinator position in Economic Development to the CRA, compared with a 30% allocation in Fiscal Year 2009- 2010. The Work Program for the position in Fiscal Year 2010-2011 is anticipated to be completely allocated to East Gateway Initiative activities, thus indicating the need for the re-allocation of cost. This allocation will be evaluated annually and adjustments made as needed based upon Work Program. Transfers Out to various projects are as designated in the CRA Six Year Plan, a copy of which is available for review. The Proposed Fiscal Year 2010-2011 Agency budget is consistent with the Six Year Plan. Review 1) Financial Services 2) Office of Management and Budget 3) Clerk 4) Assistant City Manager 5) Clerk 6) City Approval: Manager 7) Clerk Cover Memo Item # 6 Attachment number 1 Page 1 of 1 Community Redevelopment Agency Proposed Budget October 1, 2010- September 30, 2011 Exhibit A 2009/10 2010-11 Amended Proposed Budget Budget Revenues & Tr ansfers In Tax Increm ent Financing Revenues 338930 Pinellas County 1,125,891 851,275 381115 City of Clearwater 1,189,185 900,538 381116 Downtown Development Board 196,789 162,352 Total TIF Revenues 2,511,865 1,914,165 Other Rev enue s 361101 Interest Earnings 200,000 100,000 369901 Other General Revenue Transfers I n 381782 DDB Administration 59,779 62,170 381782 Loan Payment From DDB 7,848 7,848 381888 Interest from Fund 388 588,647 Total Revenues & Transfers In 3,368,139 2,084,183 Expenditu res & Transfers Out Operating Exp enditures 530100 Professional Services 60,000 60,000 530300 Contractual Services 0 540200 Document Reproduction 10,000 0 540300 Telephone Variable 1,500 1,500 540700 Postal Service 2,000 2,000 541500 Garage Variable 3,600 3,600 542300 Gas, Water, Sanitation - 0 542500 Postage 50 200 543100 Advertising 10,000 10,000 543200 Other Promotional Activities 10,000 10,000 543400 Printing & Binding 3,200 5,000 547100 Uniforms 150 150 547200 Employee Expense-Travel 6,500 5,000 548000 Other Services 2,200 2,200 550100 Office Supplies 1,000 1,000 550400 Operating Supplies 3,000 3,000 557100 Memberships and Subscriptions 4,000 4,000 557300 Training and Reference 4,000 4,000 581000 Payments to Other Agencies-DDB 196,789 162,352 582000 Aid to Private Organizations 6,000 6,000 Total Operating Expenditures 323,989 280,002 Transfers Out 590200 General Fund-Administrative 309,599 365,487 590800 East Gateway Project (94849) 136,785 140,422 590800 Streetscape Phase 2 (92275) 209,729 590800 Cleveland Street Maintenance (99968) 22,000 10,000 590800 Waters Edge (Opus) 148,241 130,374 590800 Station Square DA 230,000 - 590800 Marriott Residence Inn (94856) 34,539 30,394 MNEK/Economy Inn 66,500 590800 Restricted County TIF Funds 1,125,891 851,275 590800 Fagade Improvement Grant Fund 50,000 - 590800 Downtown Redevelopment Fund 762,095 590800 CarPro Site 590800 Affordable Housing Projects (94851) 25,000 590800 Retail Attraction/Assistance (94852) 100,000 590800 Cleveland Street Branding (94853) 100,000 - Total Transfers Out 3,044,150 1,804,181 Total Expenditures & Transfers Out 3,368,139 2,084,183 Excess of Revenues & Transfers In Over Expenditures & Transfers Out Item # 6 Attachment number 2 Page 1 of 1 RESOLUTION NO 10-01 A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF CLEARWATER, FLORIDA, ADOPTING THE CRA FY2010/11 ANNUAL OPERATING BUDGET; PROVIDING AN EFFECTIVE DATE. WHEREAS, the Community Redevelopment Agency (CRA) annual budget requirements have been clarified and Section 189.418(3), of the Florida Statutes require that CRA's adopt their annual budgets by resolution; now, therefore, BE IT RESOLVED BY THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF CLEARWATER, FLORIDA: Section 1. Adopt the FY2010/11 CRA Operating Budget as outlined on Exhibit A. Section 2. This resolution shall take effect immediately upon adoption. PASSED AND ADOPTED this 7th day of September, 2010. Frank V. Hibbard Chairman Approved as to form: Pamela K. Akin City Attorney Attest: Cynthia E. Goudeau City Clerk Resolution NdeO9-#'6 Attachment number 3 Page 1 of 1 U) V/ L O LL `V W ?A ^W i O 4-1 N C O a•+ O U N 4-1 N U L N E a? r O r U U- M N I? ? ti r LO 0') 00 M +?+ O +?+ ONO -e (? r r AH C4 H H H CD r N W O M r r r r N N N W) 69 69 69 T- L d N N O O O d N N N N N N Ct7 U rn rn rn rn rn rn N O U L O O O M N O M O - LO O N O O M LO M O M O C6 M O Ln M I? Ln a U N N N m I-- N O - M LO I-- LO O M t LO N M Lr cc V M I- ---t CD LO N I- r- 0 00000000 a C) C) o o C) o M V M M G M O O U a? D E L N N CO O Q O Q C_ O CO U O LL C U a) a) t= CO C3 C C .L U O c c O N M. a? <<C)0>Y N N O U CO CO L U) .E E CO L O O O Go 0') LO LCD ? M N c O U _ m f? 0 O ? H ? o W) CO a'> CO LO (5 °O C) M LO CO LO CO O rn O a) 0 N co CD L a) U O N 0 0 Item # 6 Attachment number 4 Page 1 of 1 City of Clearwater CRA Project Summary Report as of 7 /31/2010 Description Revised Budget Available Balance 388-92269 Downtown Streetscape $ 20,920 $ - 388-92275 Downtown Streetscape Phase II $ 2,060,541 $ 1,965,098 388-93405 Downtown Boat Slips $ 1,000,000 $ - 388-94714 Downtown Redevelopment $ 1,794,289 $ 1,607,420 388-94765 IMR Development $ 99,271 $ 94,611 388-94847 Clearwater Centre-1100 Cleveland $ 1,040,000 $ 534,083 388-94848 Station Square Park $ 800,000 $ - 388-94849 East Gateway $ 429,169 $ 224,936 388-94851 Affordable Housing $ 250,000 $ 250,000 388-94852 Retail Attraction/Assistance $ 415,000 $ 185,493 388-94853 Cleveland District Branding $ 176,000 $ 172,329 388-94855 Cleveland Auto EPA Loan #2 $ 350,000 $ 3,087 388-94856 Marriott Residence Inn $ 212,539 $ 34,539 388-94859 Station Square Development $ 460,000 $ 460,000 388-94860 Water's Edge (Opus) $ 288,373 $ 11,912 388-94862 CarPro Site $ 325,000 $ 24,874 388-99963 Econ Development Incentive $ 153,861 $ 111,336 388-99964 Mainstreet Clearwater Developme nt $ 50,000 $ 50,000 388-99965 Rule Development $ 80,119 $ 80,119 388-99968 Cleveland Street Maintenance $ 72,676 $ 59,701 388-99979 Historical Facade Program $ 262,165 $ 208,267 388-99881 Clearwater Auto Site - General $ 187,659 $ 184,414 388-99986 Mediterranean Village $ 259,538 $ 213,838 Total $ 10,787,120 $ 6,476,057 Item # 6 age 1 of g number 5 CRA - TI F PROJECTION TOOL PAachme Discussion Draft v_ w Millage Rate County Portion 0.004873 4.873 U L City Portion 0.005155 5.155 DDB Portion 0.000965 0.9651 w Project Value o w Clearwater Centre $ 2,756,390 £ Marriott Residence Inn $ 6,700,000 v Station Square Condiminiums $ 24,438,586 Waters Edge (OPUS) $ 57,479,077 2010/2011 -12% ° U 2011/2012 -7.5% ° 2012/2013 -5.0% 3 2013/2014 -2.5% ° 2014/2015 0% 0 2015/2016 0% Agenda. PDFConvert.12766.xis Page 1 of 9 1t&Te -fi9110 CRA - SIX YEAR PLAN* Attachment number 5 Page 2 of 9 FY 10-11 Revised 8-25-10 Revenue Source 2009/10 2010/11 2011/12 2012/13 2013/14 2014/15 2015/16 Total County Portion (Growth) Growth TIF (1) 1,125,891 851,275 727,400 651,011 614,726 614,726 614,726 5,199,756 City Portion (Growth) Growth TIF 1,189,185 900,538 769,495 688,685 650,300 650,300 650,300 5,498,805 DDB Portion (Growth) Growth TIF 196,789 162,352 144,354 133,256 127,984 127,984 127,984 1,020,702 Total Projected TIF (Growth Only) 2,511,866 1,914,165 1,641,250 1,472,952 1,393,011 1,393,011 1,393,011 11,719,264 TIF on Key Projects (2) Actuals Clearwater Centre County TIF 13,432 11,820 10,934 10,387 10,127 10,127 10,127 76,954 (Under construction) City TIF 14,209 12,504 11,566 10,988 10,713 10,713 10,713 81,407 DDB TIF 2,660 2,341 2,165 2,057 2,006 2,006 2,006 15,241 Total 30,301 26,665 24,665 23,432 22,846 22,846 22,846 173,602 Marriott Residence Inn County TIF 32,649 28,731 26,576 25,248 24,616 24,616 24,616 187,053 City TIF 34,539 30,394 28,114 26,709 26,041 26,041 26,041 197,878 DDB TIF 6,466 5,690 5,263 5,000 4,875 4,875 4,875 37,046 Total 73,654 64,815 59,954 56,956 55,533 55,533 55,533 421,977 Station Square Condominiums County TIF 119,089 104,799 96,939 92,092 89,789 89,789 89,789 682,286 City TIF 125,981 110,863 102,548 97,421 94,986 94,986 94,986 721,770 DDB TIF 23,586 20,755 19,199 18,239 17,783 17,783 17,783 135,127 Total 268,656 236,417 218,686 207,752 202,558 202,558 202,558 1,539,184 Water's Edge (Opus) County TIF 280,096 246,484 227,998 216,598 211,183 211,183 211,183 1,604,724 City TIF 296,305 260,748 241,192 229,132 223,404 223,404 223,404 1,697,589 DDB TIF 55,473 48,816 45,155 42,897 41,825 41,825 41,825 317,816 Total 631,873 556,048 514,345 488,628 476,412 476,412 476,412 3,620,130 Total Projected TIF* 1,004,484 883,946 817,650 776,768 757,348 757,348 757,348 5,754,893 *All TIF is included in Base Above--Do not add to totals Other Revenue Interest 30,000 100,000 50,000 30,000 30,000 30,000 30,000 300,000 DDB Admin and Loan 59,779 62,170 64,657 67,243 69,933 72,730 75,640 472,152 DDB Loan 7,848 7,848 7,848 7,848 7,848 0 0 39,240 Land Sales (3) Total Other 97,627 170,018 122,505 105,091 107,781 102,730 105,640 811,392 Total Available 2,609,493 2,084,183 1,763,754 1,578,043 1,500,792 1,495,741 1,498,650 12,530,656 Less DDB TIF Portion (4) 196,789 162,352 144,354 133,256 127,984 127,984 127,984 1,020,702 Less CRA Operating and Administration 434,099 483,137 502,462 522,561 543,463 565,202 587,810 3,638,735 Total Projected TIF available for p rojects/dev. agreements 1,978,605 1,438,694 1,116,938 922,227 829,344 802,555 782,856 7,871,219 Agenda. PDFConvert. 12766.xlsA - CRA Six Year Plan Page 1 of 9 It i e#0629/10 CRA - SIX YEAR PLAN* FY 10-11 Revised 8-25-10 Attachment number 5 Page 3 of 9 Commitments/City Projects Source Balance 7/31/10 2010/11 2011/12 2012/13 2013/14 2014/15 2015/16 Total 94714 Downtown Redevelopment County TIF 0 City TIF 0 Other (CRA) -600,000 105,091 107,781 102,730 105,640 -178,758 Total 1,607,420 -600,000 0 105,091 107,781 102,730 105,640 1,428,662 94765 IMR/Crum Environmental (5) County TIF City TIF Other (CRA) 0 Total 94,611 0 0 0 0 0 0 99881 Clearwater Auto General (6) County TIF 0 City TIF 0 Other (CRA) 0 Total 184,414 0 0 0 0 0 0 184,414 99963 Economic Development Incentives County TIF 0 City TIF 0 Other (CRA) 0 Total 111,336 0 0 0 0 0 0 111,336 99968 Cleveland Street Maintenance County TIF 0 City TIF 10,000 0 24,849 25,594 26,362 27,153 113,959 Other (CRA) 0 Total 59,702 10,000 0 24,849 25,594 26,362 27,153 173,661 99979 Facade Program (7) County TIF 0 City TIF 0 0 0 0 Other (CRA) 0 Total 208,267 0 0 0 0 0 0 208,267 99986 Town Lake Property (Med Village) County TIF 0 City TIF 0 Other (CRA) 0 Total 213,838 0 0 0 0 0 0 213,838 94855 Clearwater Auto-EPA Loan #2 (6) County TIF 0 City TIF 0 Other (CRA) 0 Total 3,086 0 0 0 0 0 0 3,086 92275 Cleveland Streetscape II (5) County TIF 228,033 113,401 42,712 157,726 157,726 157,726 857,323 City TIF 39,711 17,695 20,337 77,743 Other 170,018 122,505 292,523 Total 1,965,098 437,762 235,906 42,712 157,726 175,421 178,063 3,192,687 94849 East Gateway Projects (9) County TIF 100,000 100,000 100,000 300,000 City TIF 140,422 118,322 258,745 Other 27,015 150,075 177,090 Total 224,936 140,422 145,337 150,075 100,000 100,000 100,000 960,771 Clearwater Auto/Aamco (8) County TIF 0 City TIF 0 Other 0 Total 0 0 0 0 0 0 0 0 93405 Downtown Boat Slips County TIF 500,000 500,000 City TIF 0 Other 0 Total 0 500,000 0 0 0 0 0 500,000 Capitol Theater (10) County TIF 500,000 500,000 1,000,000 City TIF 0 Other (CRA) 0 Total 0 0 500,000 500,000 0 0 0 1,000,000 94851 Affordable Housing Projects (11) County TIF 0 City TIF 0 Other (CRA) 0 Total 250,000 0 0 0 0 0 0 250,000 94852 Retail Attraction/Assistance County TIF 0 City TIF 50,000 50,000 Other 0 Total 185,493 0 0 0 50,000 0 0 235,493 Agenda. PDFConvert. 12766.xlsA - CRA Six Year Plan Page 2 of 9 It i e#0629/10 CRA - SIX YEAR PLAN* FY 10-11 Revised 8-25-10 Attachment number 5 Page 4 of 9 Commitments/City Projects Source Balance 2010/11 2011/12 2012/13 2013/14 2014/15 2015/16 Total 6/30/10 94853 Cleveland District Branding (12) County TIF 0 City TIF 0 0 0 5,202 15,000 15,000 35,202 Other (CRA) 0 15,000 15,000 30,000 Total 172,329 0 15,000 15,000 5,202 15,000 15,000 237,531 94862 CarPro Site County TIF 0 City TIF 0 Other (CRA) 0 Total 24,874 0 0 0 0 0 0 24,874 94864 Clearwater Mainstreet (Tony's) County TIF 0 City TIF 0 Other (CRA) 0 Total 50,000 0 0 0 0 0 0 50,000 94865 Rule Development County TIF 0 City TIF 0 Other (CRA) 0 Total 80,119 0 0 0 0 0 0 80,119 Future Property Acquisition County TIF 0 City TIF 0 Other (CRA) 600,000 600,000 Total 600,000 0 0 0 0 0 600,000 MNEK Acquisition (Economy Inn) County TIF 357,000 357,000 357,000 1,071,000 City TIF 66,500 66,500 Other (CRA) 66,500 357,000 423,500 Total 0 66,500 66,500 357,000 357,000 357,000 357,000 1,561,000 Total City Project Commitments 5,435,523 1,754,684 962,743 1,089,636 695,522 673,783 677,216 11,015,739 Agenda. PDFConvert. 12766.xlsA - CRA Six Year Plan Page 3 of 9 1t @M, e#0629/10 CRA - SIX YEAR PLAN* Attachment number 5 Page 5 of 9 FY 10-11 Revised 8-25-10 Commitments/Dev. Agreements Source Balance 2010/11 2011/12 2012/13 2013/14 2014/15 2015/16 Total 6/30/10 94847 Clearwater Centre (13) County TIF 0 City TIF 0 Other 0 Total 534,083 0 0 0 0 0 0 534,083 94856 Marriott Residence Inn (14) County TIF 0 City TIF 30,394 28,114 26,709 26,041 26,041 137,299 Other 0 Total 34,539 30,394 28,114 26,709 26,041 26,041 0 171,838 94859 Station Square Development County TIF 0 City TIF 0 Other 0 Total 460,000 0 0 0 0 0 0 460,000 94860 Water's Edge (Opus) (15) County TIF 123,242 113,999 108,299 345,540 City TIF 130,374 120,596 114,566 365,536 Other 0 Total 11,912 253,616 234,595 222,865 0 0 0 722,988 Total Dev. Agr. Commitments 1,040,534 284,010 262,709 249,574 26,041 26,041 0 1,888,909 Total Commitments 7,106,945 2,684,183 1,872,269 1,995,026 1,393,011 1,393,010 1,393,010 17,837,454 Agenda. PDFConvert. 12766.xlsA - CRA Six Year Plan Page 4 of 9 It i e#0629/10 CRA - SIX YEAR PLAN* FY 10-11 Revised 8-25-10 Attachment number 5 Page 6 of 9 Summary Source Balance 2010/11 2011/12 2012/13 2013/14 2014/15 2015/16 Total Funds Available County TIF 851,275 727,400 651,011 614,726 614,726 614,726 4,073,865 City TIF 900,538 769,495 688,685 650,300 650,300 650,300 4,309,619 DDB TIF 162,352 144,354 133,256 127,984 127,984 127,984 823,913 Other Revenues 170,018 122,505 105,091 107,781 102,730 105,640 713,765 Total 0 2,084,183 1,763,754 1,578,043 1,500,792 1,495,741 1,498,650 9,921,163 Total Commitments County TIF 851,275 727,400 651,011 614,726 614,726 614,726 4,073,863 City TIF 900,538 769,495 688,685 650,301 650,300 650,300 4,309,619 DDB TIF 162,352 144,354 133,256 127,984 127,984 127,984 823,913 From Other Acct./Revenue 770,018 231,020 522,075 0 0 0 1,523,113 Total 0 2,684,183 1,872,269 1,995,026 1,393,011 1,393,010 1,393,010 10,730,509 Unallocated Funds County TIF 0 0 0 0 0 0 0 2 City TIF 0 0 0 0 0 0 0 0 DDB TIF 0 0 0 0 0 0 0 0 Downtown Redev(16) 1,607,420 -600,000 -108,515 -416,984 107,781 102,730 105,640 798,072 Total 1,607,420 -600,000 -108,515 -416,983 107,781 102,731 105,640 798,074 BALANCE OF UNCOMMITTED REVENUES REMAINING AFTER CURRENT COMMITMENTS FOR PROJECTS Cummulative Available 1,607,420 1,007,420 898,905 481,922 589,703 692,434 798,074 Cum. County TIF (Rest)(17) 0 0 0 1 1 2 2 Cum. Unrestricted Available 1,607,420 1,007,420 898,905 481,921 589,702 692,432 798,072 Notes: *Six Year Plan includes proposed capital projects for the next five years and current funding commitments through Development Agreements, and other program fund projects. The revenues combine the Old and New (Expanded) CRA. (1) The tax base of the original CRA experienced a 12% decrease from last year (FY09-10). The tax base of the expanded CRA experienced a 19% decrease from last year. Tax base projections for future years is estimated at -7.5% FY 11-12; -5% FY 12-13; -2.5% FY 13-14; 0% FY 14-15 and 0% FY 15-16 (same as citywide). No new projects are estimated to come (2) These are estimates. TIF is included in totals in base. (3) May include future land sales of Clearwater Auto and Prospect (Town) Lake property. Clearwater Auto may generate additional funds; exact amount unknown at this time. (4) Current Interlocal Agreement (approved yearly) between CRA and DDB reimburses DDB its portion of the tax increment. (5) Cleveland Streetscape Phase 2 is from Myrtle to Missouri. $4,028,925 is the project budget approved by CRA/Council on 11 /3/08. The Central Insurance Fund loaned the project $1,6: to be replaced by CRA funds as they become available in three fiscal years. $1,974,000 in CRA funds are currently in the project account. We have received $335,500 in HUD EDI grants for this project that will directly reduce the amount needed for this project. The environmental for IMR/Crum has been completed (SRCO in 2008). We anticipate moving the $94,611 remainder in this project code to the streetscape once all Legal questions are c (6) Environmental remediation is complete--received SRCO July 2009. Reviewing current funds in this project for other project needs. Clearwater Auto has an outstanding loan of $700,000 ($350k in FY06 and $350k in FY08) that is owed to the City's Brownfields Cleanup Revolving Loan Fund estimated to be repaid once Due to government accounting procedures, $700,000 was taken out of the Redevelopment Fund (94714) to avoid a negative cash balance and will be returned to this account once Ic (7) Facade Program is for the implementation of the Sidewalk Cafe District revised facade program guidelines. (8)This is a placeholder for potential land acquisition surrounding the Clearwater Auto property. (9) East Gateway 5-year Action Plan--FYI0-11 budget is $138,742.36 plus $1,680 in fuel. Out years include police officer salaries and gasoline (with an escalation factor of 3.5% per year for salaries). (10) Capitol Theater renovation contribution. (11) Affordable housing projects in the CRA--potential Development Agreement with Country Club Homes. (12) For the implementation of the Retail Recruitment Strategy. (13) Clearwater Centre Development Agreement--Utility, Streetscape and Impact fee payment not to exceed $1,041,000. Utility relocation and permit and impact have been paid. Streetscape reimbursement is outstanding portion of the Agreement. Project is currently under construction. Assessed value at land only. (14) Marriott Residence Inn Development Agreement --$178,000 impact fees paid in FY08-09. Remainder of incentive: 50% of total TIF generated to be reimbursed by City portion, up to $400,000 over 6 years. Taxes are estimates. (15) Water's Edge Development Agreement -- 50% of TIF generated to be reimbursed up to $1,035,000 for streetscape($500k) and impact fees ($535k). Taxes are estimates. (16) Funds will be transferred from Downtown Redevelopment to a project pending CRA Board approval of project. (17) County TIF funds are restricted to the following expenditures (County Ordinance 04-10): Capital improvements, land acquisition, and environmental remediation. Per County, affordable housing is also an allowed expenditure. These funds must be appropriated on a yearly basis to a project. Agenda. PDFConvert. 12766.xlsA - CRA Six Year Plan Page 5 of 9 It i e#0629/10 CRA - Cumulative TIF by Project Attachment number 5 Page 7 of 9 Clearwafer Cenfre Growth in Base Value of Property Cou nty TIF City TIF DDB TIF Total 2006 2007 2008 2009 $ 2,756,390 $ 13,432 $ 14,209 $ 2,660 $ 30,301 2010 0% $ 2,756,390 $ 13,432 $ 14,209 $ 2,660 $ 30,301 2011 -12% $ 2,425,623 $ 11,820 $ 12,504 $ 2,341 $ 26,665 2012 -8% $ 2,243,701 $ 10,934 $ 11,566 $ 2,165 $ 24,665 2013 -5% $ 2,131,516 $ 10,387 $ 10,988 $ 2,057 $ 23,432 2014 -3% $ 2,078,228 $ 10,127 $ 10,713 $ 2,006 $ 22,846 2015 0% $ 2,078,228 $ 10,127 $ 10,713 $ 2,006 $ 22,846 2016 0% $ 2,078,228 $ 10,127 $ 10,713 $ 2,006 $ 22,846 $ 90,386 $ 95,617 $ 17,901 $ 203,903 Marrioff Residence Inn Growth in Base Value of Property Cou nty TIF City TIF DDB TIF Total 2006 2007 2008 2009 $ 6,700,000 $ 32,649 $ 34,539 $ 6,466 $ 73,654 2010 0% $ 6,700,000 $ 32,649 $ 34,539 $ 6,466 $ 73,654 2011 -12% $ 5,896,000 $ 28,731 $ 30,394 $ 5,690 $ 64,815 2012 -8% $ 5,453,800 $ 26,576 $ 28,114 $ 5,263 $ 59,954 2013 -5% $ 5,181,110 $ 25,248 $ 26,709 $ 5,000 $ 56,956 2014 -3% $ 5,051,582 $ 24,616 $ 26,041 $ 4,875 $ 55,533 2015 0% $ 5,051,582 $ 24,616 $ 26,041 $ 4,875 $ 55,533 2016 0% $ 5,051,582 $ 24,616 $ 26,041 $ 4,875 $ 55,533 $ 219,702 $ 232,417 $ 43,512 $ 495,631 Sfafion Square Developmenf Growth in Base Value of Property Cou nty TIF City TIF DDB TIF Total 2006 2007 2008 2009 $ 24,438,586 $ 119,089 $ 125,981 $ 23,586 $ 268,656 2010 0% $ 24,438,586 $ 119,089 $ 125,981 $ 23,586 $ 268,656 2011 -12% $ 21,505,956 $ 104,799 $ 110,863 $ 20,755 $ 236,417 2012 -8% $ 19,893,009 $ 96,939 $ 102,548 $ 19,199 $ 218,686 2013 -5% $ 18,898,359 $ 92,092 $ 97,421 $ 18,239 $ 207,752 2014 -3% $ 18,425,900 $ 89,789 $ 94,986 $ 17,783 $ 202,558 2015 0% $ 18,425,900 $ 89,789 $ 94,986 $ 17,783 $ 202,558 2016 0% $ 18,425,900 $ 89,789 $ 94,986 $ 17,783 $ 202,558 $ 801,376 $ 847,751 $ 158,713 $ 1,807,839 Wafer's Edge (OPUS) Growth in Base Value of Property Cou nty TIF City TIF DDB TIF Total 2006 2007 2008 2009 $ 57,479,077 $ 280,096 $ 296,305 $ 55,473 $ 631,873 2010 0% $ 57,479,077 $ 280,096 $ 296,305 $ 55,473 $ 631,873 2011 -12% $ 50,581,588 $ 246,484 $ 260,748 $ 48,816 $ 556,048 2012 -8% $ 46,787,969 $ 227,998 $ 241,192 $ 45,155 $ 514,345 2013 -5% $ 44,448,570 $ 216,598 $ 229,132 $ 42,897 $ 488,628 2014 -3% $ 43,337,356 $ 211,183 $ 223,404 $ 41,825 $ 476,412 2015 0% $ 43,337,356 $ 211,183 $ 223,404 $ 41,825 $ 476,412 2016 0% $ 43,337,356 $ 211,183 $ 223,404 $ 41,825 $ 476,412 $ 1,884,820 $ 1,993,894 $ 373,289 $ 4,252,003 Agenda.PDFConvert.12766.xis B - Cumulative TIF by Project Page 6 of 9 1 tam,# -1f9/10 0 , z rn c7 V .O Q- O V N rn O V M O. 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't 00 0 CO N Ol 't LO 0 V CU N LO I? O cq .p 1, ifj O ,O ? `0 N per, V N `0 CO Q O V CO LO O O M C o U - - n V n 10 LT 00 N LO N O o U N D_ bO+ N N N N O N N 0 r, LO N LO C14 0 LO N 0 LO .p LO LO • O In O o M V o V Cl) 04 ? L r, M -o N ¢ O N O N n p O C O 00 00 L _ Cl) LO 10 Cl) .p h z E ? o ? > o Attachment number 5 Page 9 of 9 M c?7 O