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COMMUNITY REDEVELOPMENT AGENCY ANNUAL REPORT FY 2010-2011 community a enc � agency CITY OF CLEARWATER flh0 1� ( E vlr) / t t — ti*', ____Q, 11101 (.._.....,,,,,,,, „„„,„, ,' IV. -)X.140,‘ rcA-T r Ti . li■., Ak r‘r'') 9 0• .1 igh"4iy 11,-. ,,- -',106.27, '. , ' .4, . �� ..v. '` 11' � Sri, a te"` .'" p#, __.___ i \--" Illth■ Stirii...io• s"-110"" P --I " 81. , fi, It: ir . I -- )1 - -----. . ------: ..,"1," lici :- -,,,.417....,:iiiiiit, ...,,.ts ...,,„, , , ,, .• r)1 rd's O'� _ �Y t ^.. •s ` ;•_ •_ .c •1%/RF; ,~'Ittn ( �, 1 ti S�,p FF �� 6• # re., ```//� !/ r� ` !�^ 'mil k 1 U �i1'I.,1� ' , �� r .yrr' .. ',...._ ,--et, , ' ..-...... -,.... ,,,::,,,,e, • L \ _. , -nit\�� !t t r' �� .�... 'ft' :a€n�w�� �'" C i y 111�iUa t, N k"'� CJ.. �, r' y - ` r a 4.t ,° . �.\,,if: /l , N ,,.—:-.v....;1,"iii? Ut l 0 m 9" #,a * % " ( , ii,. _.;"2.4".1111Prk Vil 4‘ ...ore �h� .'� .. L 7.4....„,±i...,,V a o .�' ..a @F � �' .�; r } r fir- , • �: ^0 go" lit Annual Report Fy 2010-2011 Prepared for: Pinellas County Board of Commissioners March 2012 .. oPrepared by: V earwater CRA Staff/Economic Development&Housing Department Visioning Ths Fut r Annual Rep orgy FY 2010 -2011 Clearwater COMMUNITY REDEVELOPMENT AGENCY ANNUAL REPORT FY2010-2011 A. Introduction The Florida Community Redevelopment Act of 1969 (Florida Statutes: Title XI, Chapter 163, Part III) provides a vehicle for local communities to form a Community Redevelopment Agency(CRA) and create a Redevelopment Trust Fund through Tax Increment Financing (TIF) for financing improvements within a target area. The City of Clearwater established its CRA in FY 81-82. The CRA was expanded in 2004 and a new redevelopment plan was approved in February 2004. Pursuant to Chapter 163.356(3)(c) of the Florida Statutes, a progress report of the year's redevelopment activities, including a complete financial statement of assets, liabilities,income and expenses,is due March 31 of each year. This annual report briefly summarizes the redevelopment activities conducted by the CRA in FY 10-11 and includes the year's financial statements. In FY 10-11,the CRA concentrated on the construction of the Cleveland Street Streetscape Phase II project,the purchase of strategic parcels of land for redevelopment,the development of a vision plan for the East Gateway District,the overview of the CRA Redevelopment Progress Analysis Report and the ongoing marketing strategy for the Cleveland Street District. The CRA worked closely with developers,the DDB,property owners,the Clearwater Regional Chamber of Commerce,and other stakeholders to coordinate projects that impact Downtown and spur catalytic development within the CRA district. The CRA's budget for FY 10-11 was $2,770,400. B. New Activity Ruth Eckerd Hall, Inc. Memorandum of Agreement On Nov. 29, 2010,the CRA approved a Memorandum of Agreement with Ruth Eckerd Hall,Inc. for the provision of an expanded and enhanced schedule of programming at the Capitol Theatre in the Cleveland Street District until facility renovations begin. The CRA's objectives are to support existing retail business vitality in a period of economic downturn by creating larger crowds to create dining and retail demand for businesses in the District,provide retail recruitment efforts with a better customer base to encourage new retailers/restaurateurs with the confidence v), COMMUNITY REDEVELOPMENT AGENCY ANNUAL REPORT FY2010-2011 to locate in the District during the economic downturn, and expose additional potential restaurant/retail customers and investors to the District through attendance at District events. Ruth Eckerd Hall objectives are to increase exposure, customer base and interest in the facility as they approach the requisite fundraising campaign for capital and endowment funds to support future operations at the renovated facility. Additionally, development of a strong customer base during the pre-renovation period will help attendance at the renovated facility. Ruth Eckerd Hall proposed an increase of performances from 36 performances annually to 100 performances annually,with 52 of them live, self-presented events and the remaining 48 performances either films or third party rentals. The CRA allocated$148,000 for fiscal years 2010-2011, 2011-2012 and 2012- 2013, or until renovations commence,whichever comes first and$5,000 in one-time funds for projection equipment necessary for film showings from its Redevelopment line item. In order to maintain sufficient Redevelopment Fund balances over the next several years, and to cushion the fund balances against any further drop in tax receipts during that period,the current CRA funding commitment of$1,000,000 for the Capitol Theatre renovations was restructured to reduce$148,000 from the commitment in each year that the temporary funding is utilized and the balance rolled forward. This would continue until the entire$1,000,000 is contributed to the renovation project. Payment would likely be completed in three fiscal years rather than two fiscal years. Proceeds from the Sale of Voluntary Clean-Up Tax Credits by the City of Clearwater for the Clearwater Automotive Property On May 5,2011, the City of Clearwater entered into a tax service agency agreement with Clocktower Tax Credits, LLC to manage the sale and transfer of ownership of Voluntary Clean-Up Tax Credits (VCTC). The Florida Department of Environmental Protection (FDEP) issued the tax credit awards based on approved FDEP costs incurred for environmental remediation work at the Clearwater Automotive property,located at 205 South Martin Luther King Jr. Avenue. The VCTCs are in the form of four certificates received in fiscal years 2007, 2008, 2009 and 2011 for a cumulative total of$516,943.70. The original intent for the use of the VCTCs was to incentivize a redevelopment project on the property. Due to the economic downturn, a project has yet to come to fruition. COMMUNITY REDEVELOPMENT AGENCY ANNU1 'ORT FY2O10-•mi The VCTCs had a one-time, transferable limitation and could be sold or allocated to outside investors subject to certain conditions. The City had a five-year time frame, from the issue date on the original certificate, to transfer the certificates to an entity that had a Florida corporate income tax liability. When the transfer occurred,the five year clock restarted and the transferee received a certificate with a new issue date. The transferee will have five years from the date of issue to use the certificate. The certificate is not eligible to be sold once the new certificate was issued. Transferable tax credits were priced with a cents-per-dollar of credit purchase price. The price paid was $0.85 per dollar of each credit. The sale of the City's certificates yielded$439,402.55. Clocktower Tax Credits,LLC referral fee was capped at$0.05 for each dollar of credit purchased by its client, or$25,847.21. After the referral fee was paid,the City received$0.80 per dollar for each credit totaling$413,355.96. On May 31, 2011,the City agreed to transfer the$413,355.96 to the CRA to deposit in its Downtown Redevelopment line item. The money transferred could be used to repay the loan for the remediation of the property. CRA Redevelopment Progress Analysis Update (2004-2011) On Aug. 15, 2011, staff presented a review of the CRA redevelopment program strategy and program and financial performance. The CRA Board members requested a review of the Downtown, Retail/Restaurant Strategy and East Gateway progress to assist in clarifying exactly where the CRA was on redevelopment efforts and provide the Board with an opportunity to redirect policy and/or strategy if desired. The results of the review indicated that there had been significant and quantifiable project and program accomplishments in the Downtown CRA and the Retail/ Restaurant Strategy as follows: • The Retail/Restaurant strategy developed with ERA had been successful in attracting the"niche" destination and established restaurants that can anchor further expansion and be sustainable during a difficult recessionary period; • From a taxable value standpoint, the increase in the Downtown CRA totaled 35.5% since 2004, compared to a 2.0% increase Citywide. Taxable value increased by$63,357,917 in the Downtown CRA during the period; COMMUNITY REDEVELOPMENT AGENCY ANNUAL REPORT FY2010-2011 • With respect to ratio of private-to-public investment,the Downtown CRA has realized a healthy$5.1 to 1 ratio; • With respect to retail/restaurant grants,the ratio of private-to-public investment realized a healthy$6.2 to 1,with the Downtown CRA receiving$2,036,246 in private investment for a public commitment of$330,077; • The East Gateway CRA showed a loss of taxable value (7%) consistent with the early stage of the CRA intervention (2007),and a modest private-to-public investment ratio of$1.83 to 1. The results indicate both a movement in the right direction with respect to leveraging private investment, and, at the same time, clearly indicating the"downside" risk and inevitable result of failure to engage in redevelopment areas in a sustained, robust manner. Continued attention and funding will be necessary to assure program and financial results. C. Multi-year Projects LI Commitments Purchase of Real Property- 1274 Cleveland Street [Economy Inn Motel] and Surrounding Parcels On Sept. 7, 2010,the CRA approved the purchase of real property comprising the bulk of the East Gateway block bounded by Cleveland Street,North Betty Lane, Grove Street and North Lincoln Avenue. The parcels include the Economy Inn Motel; former Royal Palm Motel;Viva Mexico restaurant;two duplexes; and one owner- occupied single family residence for a total of 2.2 acres. Prior to the purchase of the property, Phase I and Phase II Environmental Site Assessments were completed. The properties had become a major, continuing source of blight and magnet for inappropriate activity. The magnitude of the issues far exceeded _ r other properties in the East Gateway `:fi .- ', •1 area. Police records indicated that calls r'A for service/complaints to the Economy - Inn Motel alone during the last twelve p " months of the reporting period totaled 421,more than one call per day. qfy NCY ANNUAL REPORT FY2010-2011 On April 28,2011,a ceremony took place on site to celebrate the start of demolition. Once demolition was Ny 1 completed, the site was sodded and (4/11- fenced. After the creation of an East Gateway Vision Plan and once the economy improves, the property will be Yti � '' 01. promoted for redevelopment - -a '"' f > The CRA established the Economy Inn/ MNEK line item to accept a$1,900,000 loan from the City's Central Insurance Economy Inn Demolition Fund to cover the acquisition, closing costs and demolition/stabilization of the site. The loan is interest only for FY 2011 and FY 2012; and principal and interest through FY 2018. If the property is sold prior to the loan being satisfied,the sale proceeds will go to pay off the loan. Environmental Remediation of the CarPro Site - 1359 Cleveland Street In December 2009, the CRA identified the CarPro Site as a candidate for participation in the City's Brownfields Program given the site's environmental issues,the non-conforming land use, the potential future redevelopment, and the availability of funding for environmental remediation. At least four different phases of environmental site assessments were conducted prior to May 2007. The investigations identified adverse environmental conditions within the property boundaries of the site and two adjacent properties to the west. Given the location and redevelopment opportunities for the site,the CRA purchased the property on Aug. 5, 2010. Demolition of CarPro was completed in September 2010. Assessment of the site continued with the placement of monitoring wells to delineate the extent of the groundwater contamination. The assessment portion of the estimate, up to $190,000, will be covered by the 2009 American Recovery and Reinvestment Act (ARRA) assessment funds and existing Brownfields grants. On Oct. 13,2010,a draft Brownfields Site Rehabilitation Agreement (BSRA) and a COMMUNITY REDEVELOPMENT AGENCY ANNUAL REPORT FY2010-2011 summary of environmental findings and recommendations were presented to the Brownfields Advisory Board. The draft was also submitted to the FDEP for review and was accepted. On Aug. 29,2011,the CRA entered into an Interlocal Agreement with the City that outlined the responsibilities for the environmental cleanup of the site. The cleanup is currently estimated to cost$325,440,confirmed by an engineer's estimate. The remediation portion of the estimate will be funded through the Brownfields Cleanup Revolving Loan Fund (BCRLF). The BCRLF was structured to provide low-interest loans to parties interested in the redevelopment of environmentally impaired properties. The BCRLF allows government entities to loan to other government agencies and also r allows the City to discount up to .11141k 30% of the principal amount of the loan,provided that the total amount of the principal forgiven does not exceed$200,000. `�'' '• The agreement allows the City, ` through its Brownfields program or other sources,or the CRA .. to cover any additional costs of remediation or preparation of the site for redevelopment. The funds will have a zero interest rate and will be repaid either from amounts repaid to the City or the CRA from a private developer or other party the CRA conveys the site to,TIF funds,the General Fund of the City through budget appropriations or other legal means approved by the EPA. The repayment term is five years from the completion of the environmental cleanup of the site as indicated by a Site Rehabilitation Completion Order (SRCO). The CRA established the CarPro Site line item to accept$325,000 from the Redevelopment line item already established to cover the property purchase,closing costs and demolition of the site. The CRA also accepted a$325,440 loan from the City's BCRLF to cover remediation costs. ' e • ENT AGENCY ANNUAL REPORT FY2010-2011 East Gateway District Five-Year Action Program On May 13,2008, the C approved the East Gateway Five-Year Action Program. The Action Program was created to engage the comm achieve Action neighborhood Pr m stability;was created gam reinvestment in ivate The community in its implementation; establish a unique and positive identity; safety and securit • b property. action items focus on five central themes: tract y, business environment;neighborhood a growth and housing;and Hispanic community integration. Pearance;economic gratio The Action Program calls for periodic monitoring and ensure that the neighborhood vision is continually strived for assets are protected and enhanced. Staffpresented evaluation of progress to taffpresented the first annual progress rre neighborhood in April 2009. On Aug. 15,2011, staff Progress Report. The report included accomplishments Gateway P t is over the last fiscal r and is available at wwt,�,myclearwater.com/eastgatewa . y years The following reflects the accomplishments: • Engaged consultants for the development coordinated and conducted three focus grow p a neighborhood vision plan, community workshops; meetings and two charrette/ • Finalized plans/drawings for the Gulf to Bay Boulevar d and Highland Avenue Intersection Improvements Project and awarded construction • Completed construction of two façade projects, contract; additional facade project, and continued coordi coordination ed loan closing for one approvals with other interested ro perty for project develo Pment P owners; • Completed the De Leon Street sidewalk project, identified projects for FY 11-12 and coordinated with the Florida De Transportation for the FY 12-13 Drew three new sidewalk ew Street resurfacing Department of g and sidewalk project; • Provided a more visible community policing presence within the East Gateway neighborhood that has improved safety and sense of security; • Organized the East Gateway Hispanic Festival with an estimated 800 attendees at Glen Oaks Park; • Coordinated meetings of the East Gateway Stakeholder and participated in the East Gateway Business &Nei Advisor y Group (SAG) h g bors Association (BNA) meetings that have provided greater opportunities for community engagement and grassroots problem solving; • Coordinated with Code Compliance for a code sweep of the eastern portion of the East Gateway District on April 2011; • Provided quarterly briefings to staff in the Planning department and members of the Building Plans Review Committee (BPRC); • Conducted regular business visits to offer timely advocacy and other assistance for business expansion and assistance; • Partnered with several Hispanic organizations and the Clearwater Regional Chamber of Commerce to connect non-Hispanic businesses and consumers with the Hispanic market. East Gateway District Vision Plan In June 2009, the SAG,the Steering Committee for the East Gateway Five-Year Action Program, suggested that the CRA engage the community in redefining a vision for future development and community character in the District. In January 2010,the CRA agreed to the proposal as a multi- CAM i` �r` -, '1 phase project to include vision �+'' development and implementation r' Y based on vision plan outcomes as -0 ,. rh,.04 an optional subsequent phase. , ' On March 8, 2011,the CRA t sought proposals from qualified X14 firms to develop a comprehensive P _ and collaborative neighborhood East Gatway District Vision Plan vision plan that addressed three main areas. The first area was a neighborhood market/economic analysis that defined the economic base for market-supportable revitalization efforts; the second area was community outreach and stakeholder involvement culminating in a Community Design Charette that provided a strong, clear vision of the area and responded to current and future market opportunities; and lastly, a concept plan and policy framework that identified specific implementation actions and tools needed to achieve the vision over a 20-year horizon. if 8 COMMUNITY REDEVELOPMENT AGENCY ANNUAL REPORT FY2O10-2011 On April 15,2011,the Evaluation/Selection Committee met and narrowed down the choices to the top five firms for oral presentations. Oral presentations took place on April 25,2011 and April 28, 2011. On May 3,2011, Gensler of Tampa, Florida,with Social Compact as the Market Consultant,was selected as the top-ranked firm. On June 6, 2011, a kick-off meeting was held with the consultant and a data exchange process was initiated including a tour of the East Gateway area. The Vision Plan Steering Committee was formed to serve as the conduit to the planning team and the greater community that they represent to channel information and set for integration. The Steering Committee included members of the BNA,the SAG, and prominent businesses in the District. Three Focus Group meetings took place on Aug. 16,Aug. 17 and Aug. 30, 2011. Two charrette/community workshops were held on Sept. 21 and Sept. 22, 2011. The Plan is estimated to be completed by early 2012. The CRA allocated$68,000 from its East Gateway line item. East Gateway District Community Engagement Community engagement and empowerment continues in the East Gateway District with active input from various stakeholders. The SAG met regularly to provide guidance on the Five-Year Action Program implementation. Its members also participated in the Vision Plan Steering Committee. Community input was sought out for the selection of new sidewalk projects and staff continued working with the Hispanic Leadership Council,a committee whose Ns u �� `. main goals are community outreach and the integration of the Hispanic immigrant population. The BNA met monthly to discuss neighborhood concerns and updates. Meeting attendance continued to be strong, with BNA members quickly moving from ' s issue identification to problem-solving mode. CRA staff, as well as staff from Hislianic Festival the Police and Public Communications departments, attended meetings and provided updates. '1 \,? The CRA initiative to stabilize the District employs community events as opportunities for community-building among area residents and businesses, many of which are Hispanic. To this end,the CRA partnered with the Clearwater Regional Chamber of Commerce and put together the East Gateway Hispanic Festival. The event took place on May 22,2011 at Glen Oaks Park and attracted approximately 800 people. It featured cultural entertainment,business and services information for the community, food and beverages and free activities for children. The CRA allocated$5,000 from its East Gateway Project line item. East Gateway District Community Policing Interlocal Agreement The CRA approved the East Gateway District Five-Year Action Program on May 13, 2008. The Action Program responded to public input on issues concerning drug dealing,prostitution and street crime by including an action item for increased police presence and crime reduction within the District. An allowable funding source of this action item is the use of CRA Tax Increment Financing(TIF) funds. Florida Statutes allows for this use of TIF funds for "community policing innovations"in Community Redevelopment Areas. The CRA and Clearwater Police Department reached an agreement on a proposed scope of services and terms as delineated in the Interlocal Agreement. Included in the scope are 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. The term of the agreement was from Oct. 1, 2010 through Sept. 30, 2011. On May 16,2011,the CRA approved an amendment to the existing Interlocal Agreement by modifying the goals and outcome measures. Rather than aiming to increase activities by 25% each year,the revised goals state that 100% of all crimes and violations will result in an arrest, citation or an FIR/Report being taken. Also, a revision was made to allow greater flexibility in the two officers'work schedule due to the new Anti-Crime Team working during the evening hours. The need for more police presence during the daytime was more practical. There were no additional costs associated with the revisions. The CRA allocated$140,422.36 from its East Gateway Project line. �'� 10 COMMUNITY REDEVELOPMENT AGENC', NNUAL REPORT FY2010-207 East Gateway District Façade and Building Lot Improvement Program In March 2009, the East Gateway District Facade &Building Lot Improvement Program was approved. The program provides incentives for private reinvestment within aging commercial corridors in the District. Program objectives are to: 1) stabilize existing businesses and stimulate new business activity by improving the overall visual quality of existing buildings;2) improve the view from the street by focusing on improvements most visible to customers, neighboring merchants, residents, and pass-by traffic; 3) establish a positive neighborhood image and a"sense of place"that are vital to the economic revitalization of the area;4) promote Green Building and Crime Prevention through Environmental Design (CPTED) techniques applicable to building facade and site design;and 5) leverage federal and City funds for neighborhood revitalization and economic development by encouraging private investment in facade and building lot improvements. Project funding assistance of up to $35,000 is available to eligible commercial property owners to help offset costs to include permits,building materials, and construction services. A total of$180,000 in U.S. Department of Housing and Urban Development (HUD) Community Development Block Grant - Recovery (CDBG-R) funds has been allocated for project construction. During this reporting period, three loans were closed and two projects located at 1390 Gulf to Bay Blvd. and 1454 Gulf to Bay Blvd. were completed. Four new applications were received and staff continued coordination for project development approvals with other interested property owners. a q. �l �` I F IIR 13 r 1454 Gulf to Bay Blvd.Before 1454 Gulf to Bay Blvd. After 11 � � Gulf to Bay Boulevard (State Road 60) and Highland Avenue Intersection Improvements The community continued to express concern about decreased traffic volumes and business activity in the East Gateway associated with the rerouting of beach traffic onto Court Street in conjunction with the opening of the new Memorial Causeway Bridge. In an effort to create an inviting entryway to the District and address the lack of pedestrian walkways in this intersection, an attention grabbing entryway feature at the intersection of Gulf to Bay Boulevard, Highland Avenue and Court Street was proposed. The feature will cue motorists,pedestrians and cyclists that something special lays ahead. The intersection improvements will maximize views and vistas into the District from Gulf to Bay Boulevard, reinforce community identity, and increase safety at this large-scale,five-legged intersection. The conceptual plans were presented and supported by both the BNA and the SAG with the City's Engineering Department developing and finalizing the construction documents. t � L L Gulf To Bay ft Highland Intersection Improvement On June 30,2011,the project was advertised with two contractors submitting bids. On Sept. 1,2011,the City Council awarded Gibbs and Register, Inc. of Winter Garden, Florida the project with a bid of$340,265.20. The proposed mast arm signals for the intersection will be installed by a signalization contractor under a separate contract of$261,967 through the City's Traffic Operations. The source of funds for this project is Penny for Pinellas II. \4'? 12 COMMUNITY REDEVELOPMENT AGENCY ANNUAL REPORT FY2010-2011 Country Club Townhomes To increase the supply of owner-occupied,workforce-housing units in the East Gateway District,the City provided a$700,000 loan, utilizing CDBG funds, for the purchase of the property to construct a 31-unit townhouse project located at Drew Street and North Betty Lane. The loan has a three-percent interest rate on the outstanding principal balance with deferred payment of - principal and interest for five years. _ Economic Development and Housing = , staff recommended a mortgage ---- modification to extend the timeframes for an additional five years. The City Council approved the loan = modification on Nov 17,2009. This extension allowed the Developer time to complete the site plan approval Country Club Townhomes process. On July 20, 2010, the Community Development Board (CDB) approved the site plan with eleven conditions. After discussions took place with Progress Energy to satisfy a condition of the approval,the burying of overhead lines, it was determined by Progress Energy to be impractical to accomplish. The Developer appeared before the CDB on Nov 16, 2010 and was granted permission to delete this condition of the approved site plan. On July 22, 2011, a construction loan of$1,500,000 was approved by the HUD Neighborhood Stabilization Program 2 (NSP2) consortium. In August 2011,the site plan was approved,foundation permits were issued and construction commenced. The project is expected to be completed in late 2012. Cleveland Street Streetscape - Phase II Phase II of the Cleveland Street Streetscape project is the next phase of the streetscape program developed by Bellomo-Herbert and Company in August 2002. With the development of The Strand at Clearwater Centre and the availability of the Prospect Lake Redevelopment Site, Phase II is a critical infrastructure project that will continue to encourage and facilitate the City and CRA's redevelopment goals. 13 \!I COMMUNITY REDEVELOPMENT AGENCY ANNUAL REPORT FY2010-2011 The construction drawings for Phase II continue the look and feel of the first phase of the Cleveland Street Streetscape project,but with a less intense, and therefore less expensive,treatment. The project features include earthwork,grading,paving, underground utilities,lighting, site furnishings, mast arms, and public art. The CRA approved the conceptual plan at their Nov 3,2008 meeting. Certified letters were sent to property owners and tenants discussing the project and inviting them to one of two public meetings that were held on May 13 and May 21, 2010. The City Council approved the final conceptual design on May 17, 2010. The construction documents were finalized in September 2010 with the Engineering Department releasing the documents for bid in October 2010. On Nov. 29, 2010, MTM Contractors of Pinellas Park, Florida were awarded the contract bidding$2,940,906.83,which 9+ ! was the lowest responsible bid received in accordance with the plans and specifications. s Construction commenced in January 2011 " and is to be completed in two phases over _:.. �' • ,i+ a twelve month span. The first phase, from Missouri Avenue westward through the intersection of Martin Luther King Jr. Avenue is completed. Phase two is in the construction process and is from the west side of Martin Luther King Jr. Avenue to Myrtle Avenue. Cleveland Street Streetscape Phase II The CRA allocated$1,799,927.37 from its Cleveland Street Phase II Construction line item. Downtown Boat Slips On March 13, 2007, Clearwater residents approved,by referendum,the Downtown Boat Slips project. The project consists of 126 boat slips, docks,a boardwalk, a promenade and related facilities located on the downtown waterfront near Coachman Park. A RFP was released on Dec. 19, 2007 for design build services. On Feb. 8,2008 bids were received, and on April 17, 2008 the City Council approved Misener Marine Construction,Inc. as the preferred contractor. A Notice to Proceed was issued on May 23, 2008. \of 14 COMMUNITY REDEVELOPMENT AGENCY ANNUAL REPORT FY2010-2011 The CRA established the Downtown Boat Slips line item to accept a $1,500,000 loan from the City's Central ' `"" _ '. rill ._ Insurance Fund to cover the capital ,,. .�V_— aleV,• expenses necessary for construction ' ' "•' x . and maintenance. The loan was paid -�. I • back over a three year period. The -' • DDB also committed $500,000, $50,000 > � a year over a ten year period, from its e, . r Downtown Boat Slips line item. ; rid -41NZ '' The project was completed in August 2010 with a Grand Opening celebration Downtown Boat Slips taking place on Sept. 2, 2010. Cleveland Street and Prospect Lake Park Site (Brownfields) On March 7,2002, the City Commission approved an Interlocal Agreement between the City and the CRA regarding the Brownfields site initially known as Dimmitt Chevrolet Property B to facilitate the proposed redevelopment of the site. The City completed the environmental remediation of the property in August 2004. On Sept. 6, 2006, the City received a Comfort Letter from FDEP and on Dec. 18, 2009 the City received a Site Rehabilitation Completion Order (SRCO),without conditions. It is the intention of the CRA to release a RFP to interested developers once the economic climate improves. The Strand at Clearwater Centre, LLC Development Agreement On Jan. 16, 2007, a Development Agreement was approved between the CRA and Clearwater Centre,LLC concerning the Strand at Clearwater Centre located on Cleveland Street. The Strand at Clearwater Centre will have 71 tower residences, 17 city homes and 21,000 square feet of retail/restaurant space. The Development Agreement outlines the general terms and incentives for this project. The CRA will reimburse impact fees not to exceed $425,000 as they become due and certain water and utility relocation costs not to exceed $260,000. The CRA also agreed to make streetscape and landscape improvements in a total amount not to exceed the lesser of$500,000, or the amount of funds remaining in the project 15 ‘,? account after payment of the impact fees and utility relocation. The total payments by the CRA shall not exceed$1,040,000. On May 15, 2007,the CRA approved an assignment of the Development Agreement from the original Developer, Clearwater Centre, LLC to Clearwater Espacio Development, LLC. In early 2010, the General Contractor left the project. A new General Contractor was hired in September 2010. The CRA approved an extension of the required completion date to Oct. 31, 2012 and a change in the form of the Security for Developer's Performance from a Performance Mortgage to a Letter of Credit. In Sept. 2011,the owners placed the project in a"slow-down" mode due to the saturation of condominiums in the area. The owners anticipate they will resume normal scheduling in 2012. Cleveland Street District and Marketing Website In early 2010,the CRA released a RFP for development of a Cleveland Street District arts and entertainment website to support the overall strategy for downtown revitalization and bolster the Downtown's image as a destination. The CRA retained Blenderbox,Inc. of Brooklyn, New York to design an informative, easy- to-navigate site, copyright and train staff in �..�.....,��. maintaining the website that was successfully LEVELAND s r r r e t evens dimme aMpyiry Fume ncu-. launched April 2011. r;; The website marketing strategy focused on District Living at its Finest! „ announcing the new web address to local and '" r- regional markets through multiple media sources Wdcoma to Clearwater Flortdi a NEW Downtown-the Cleveland Street District, and tourism partners. m,.w �mrro ern The tracking/analytics feature of the site allow for °Cleveland Street ,,w.rwr, , . continuous monitoring and adjustment to further promote the site Analytics tracked that between „� April 2011 and September 2011, the site received nearly 9,000 visitors, 36,000 page views and each visitor spent more than two minutes on the site. Video Gallery The Cleveland Street District Website, Cleveland Street District Websile www•ClevelandStreetDistrict.com, received the 1‘1141,11 16 ICOMMUNITY REDEVELOPMENT AGENCY ANNUAL REPORT FY2010-2011 Outstanding Achievement Award in the Government category from New York's Interactive Media Awards (IMA).The Outstanding Achievement award is the second highest honor bestowed by the IMA. The website won for excelling in all areas of the organization's judging criteria and for representing a very high standard of planning, execution and overall professionalism. The website was one of 105 entries in the category. Blenderbox was recognized by The Web Marketing Association for Outstanding Achievement in Web Development, Best Regional Website for its design of the Cleveland Street District website.The Web Marketing Association's annual WebAward Competition has been setting the standard of excellence for website development since 1997. Independent expert judges from around the world review sites in 96 industries. The WebAward Competition is the premier award recognition program for web developers and marketers worldwide. The CRA allocated$100,000 from its Retail Attraction/Assistance line item. Clearwater Downtown Events, Inc. Memorandum of Understanding and Interlocal Agreement On July 13,2010,the CRA approved a Memorandum of Agreement with Clearwater Downtown Events,Inc. for the provision of an expanded and enhanced schedule of Blast Friday events in the Cleveland Street District. The CRA's objectives are to support existing businesses in a period of economic downturn by drawing larger crowds to the District; provide a better customer base to encourage new retailers and restaurants to locate into the District;and"expose" potential investors to the District through events. The Blast Friday Volunteer Group created a not-for-profit organization,Downtown Events, Inc.,to receive/manage funds and administer the program.The $75,000 seed money is to partially fund the $250,000 Business Plan. It is anticipated that the seed money will only be needed during the first one or two years of the process. The CRA allocated$75,000 from its Redevelopment line item. The DDB allocated $50,000 from their Blast Friday line item and the remaining$125,000 came from private fund raising efforts. On Aug. 29, 2011,the CRA and Clearwater Downtown Events,Inc. entered into a Grant Funding Agreement for the provision of a revised and enhanced schedule of 17 \I; COMMUNITY REDEVELOPMENT AGENCY ANNUAL REPORT FY2010-2011 Blast Friday events in the Cleveland Street District. Clearwater Downtown Events, Inc.proposed a business concept to restructure and enhance their • program operations, including a management and production agreement with Ruth Eckerd Hall, It 't 1 1 - _G.. with a financing plan based upon, in part, a CRA , 4 --. t grant of$75,000 and a Downtown Development 4, * " ' . Board grant of$50,000. The remainder of the S A t. costs would be through sponsorships and/or Ruth•t ' Hall Eckerd Ha participation. The intent is to leverage 1•. • the production and marketing expertise and capacity of Ruth Eckerd Hall to materially enhance the quality and attendance at events. The CRA allocated$75,000 from its BI,isl Friday Redevelopment line item. The DDB allocated $50,000 from their Blast Friday line item to partially fund the $181,878 budget. Cleveland Street District Facade Improvement Program On Sept.4,2007,the CRA approved the Cleveland Street District Façade Improvement Program. The program provides architectural design assistance,to be provided by the CRA and funded by the DDB via contracts with local architects and two financial incentives. The financial incentives are a$10,000 matching grant and a$25,000 zero interest loan. No property owners took advantage of the grant during this fiscal year. As new business owners relocate to downtown,staff informs them of the program and meetings are held with those who express an interest. Sidewalk Café Furniture Grant Program On Jan. 14, 2008, the CRA approved the Sidewalk Café Furniture Grant Program. The grant provides financial assistance to eligible applicants seeking to furnish an approved sidewalk café area within the Cleveland Street District. This one-time grant funds up to 75 percent of the total project cost, to a maximum of$2,500 per grant award. This program is funded by the DDB and administered by the CRA. During this reporting period Chiang Mai Thai and Sushi Bar,located at 415 Cleveland Street, received a$1,269.33 grant. 18 COMMUNITY REDEVELOPMENT AGENCY ANNUAL REPORT FY2010-2011 Retail Recruitment and Marketing Services The Retail Strategy and Implementation Program was adopted by the CRA in 2008. The program guides CRA staff in recruiting unique,destination retail and restaurants. The program's philosophy is to provide a unique merchandise/dining mix,with one-of-a-kind retailers and restaurants. The approach to accomplishing this is through a dedicated retail recruiter whose primary responsibility is generating retail/restaurant prospects. The Downtown Manager,acting as the retail/restaurant recruiter,has been actively recruiting since adoption of the program. Hundreds of establishments in the region have been visited to qualify a select group as potential prospects.These prospects are engaged in dialogue to inform them of the opportunities and activities occurring in the District that makes it a prime location for their business. Continually managing a relationship with prospects and engaging them with new information about the District is an ongoing process that will continue into perpetuity as the District,like most other downtowns,experience r a`e e ' rt'' expected turnover. ; stro Bar -" New establishments in the District include a fine-dining French restaurant;a restaurant that offers a wide variety a ''► .,b of menu selections and flavors,including traditional, Mexican,Italian,Jamaican and Caribbean;a unique boutique that carries designer fashion apparel;a bistro I and bar serving American cuisine;a tapas bar and café; a café serving sandwiches,salads,wraps and smoothies; a produce store;and a specialty boutique that showcases a mix of modern,vintage,and organically inspired elements. N w; Businesses categorized as Living,Shopping or Dining and are located within the District are featured on ---.001111110 the Cleveland Street District website.As part of this Krave Bistro and Bar promotion effort,a monthly newsletter is distributed to over 2,000 email addresses guiding readers to the website where detailed information can be found about businesses and events happening in the District. COMMUNITY REDEVELOPMENT AGENCY ANNUAL REPORT FY2010-201 Retail and Restaurant Recruitment Grant Program The Retail and Restaurant Recruitment Grant Program,funded by the DDB,is offered to established retailers and restaurants relocating from outside the Cleveland Street District to,or opening new locations on,the street level of that portion of Cleveland Street located between Osceola and Myrtle Avenues. It is believed that once Cleveland Street is healthy, success will radiate to the periphery streets. To advance recruitment and marketability,the grant provides an incentive to improve the interior appearance and utility of street level storefronts. The premise is that an attractive interior building design will attract retail and restaurant owners and draw customers. The grant offers a maximum cumulative amount not to exceed$35,000 for retail tenants and $50,000 for restaurant tenants. Downtown Clearwater Farmer's Market The Downtown Clearwater Farmer's Market celebrated their sixteenth year in operation. Located on the 500 block of Cleveland Street,the market had a successful year with increased pedestrian ,4 traffic and an increase in the number of - � \ vendors that participated. The market continues to operate on Wednesdays from October through May. �, *k The market continues to be known as a green market and holds several special • r,n . 0- events during the season.It attracts 1( weekly visitors to the area and creates i�1 R 1 1 r. I a unique place to visit for downtown workers,City residents and area tourists. This year,volunteers assisted the market with their 16th Anniversary celebration. Farmer's Market The CRA allocated$6,000 and the DDB allocated$13,200 from its Downtown Market line item. 11 COMMUNITY REDEVELOPMENT AGENCY ANNUAL REPORT FY2010-2011 CRA and DDB Intergovernmental Relationship The CRA,the DDB and City of Clearwater Economic Development and Housing Department staff work well together through an Interlocal Agreement,currently in its eleventh year.The CRAB administration fee for the fiscal year was$62,170. Embracing the same mission and goals,the DDB and the CRA have provided for a process that strengthens communication leading to many downtown development projects, infrastructure improvements,merchant retail promotion and a redevelopment plan that has enticed the private sector to invest.In the spirit of cooperation with the CRA,the DDB has invested in the future of downtown by providing funding for several research studies currently being implemented to create the framework for a destination downtown. The DDB continues to support the boat slips by agreeing to a 10-year funding schedule in the f r" amount of$50,000 per year for construction ,� and maintenance. The DDB funded inserts for + the e Streetsca p Directory Kiosks and a Jolley , Trolley loop from Clearwater Beach along with the cities of Dunedin,Palm Harbor and Tarpon 111 Springs. . The DDB is active in supporting Clearwater's illiannual events to include the Sea Blues Festival, ''' the world renowned Clearwater Jazz Holiday Festival,the Miles for Hope event,the Super Boat Championships,the Clearwater Film Festival,the Annual Deaf&Hard of Hearing Pet Festival Day,Clearwater Art&Fashion Week, Operation Five Star/Veterans Event,the 2nd Annual Achieva Box Car Rally and the Star Spectacular concert. The DDB funded its own events to include the 6th Annual Pet Festival,a Wreath Decorating Contest and the 2nd Annual Book and Wine Festival. The DDB financially supports the labor and materials to light the trees and building rooftops on Cleveland Street from Osceola to Myrtle Avenues.This year,the DDB voted to keep the palm trees lighted to create visual interest on Cleveland Street. The official holiday tree lighting ceremony is sponsored,in part,by the DDB in cooperation with the City of Clearwater.A lighting ceremony,with elected officials,was held as part of the Blast Friday Miracle on Cleveland Street event. Attendees participated in the 3rd Annual DDB Wreath Decorating Contest,hearing live music performed by the Clearwater Academy's children's choir,a toboggan run with 20 tons 21 \,? of snow and visits with Santa Claus. Radio Disney participated for the second year and gave the opportunity for children to participate in the interactive games organized by Radio Disney staff. The DDB continues its leadership role in funding$50,000 for Blast Friday,a monthly event coordinated by the Clearwater Downtown Partnership(CDP).These events are just a few of the many events celebrated and enjoyed by our residents and visitors from around the world. DDB Promotion and Business Visitation Committee When the DDB established the Business Visitation Committee and the Promotion Committee in 2009,staff realized the crossover of duties between the two. Staff recommended that the committees merge into one with a DDB j -1111 member to serve as a co-chairperson. The DDB agreed and voted to combine the two committees. Committee members act as merchant , liaisons to new and existing businesses. Members distribute event materials, promote the Parking Validation Miracle on Cleveland Street Program and solicit information on issues and needs to report back to the DDB and staff. Committee members were involved in a host of activities during this reporting period to include coordinating the Spring Clean-up in conjunction with Keep Pinellas Beautiful, the Holiday Lighting Ceremony,the 6th Annual Spring Pet Festival,Wreath Decorating Contest,and the 2nd Annual Book and Wine Festival. The Downtown Programs Coordinator alerted downtown merchants about marketing opportunities through the Clearwater City Employees Vendor Discount Program and Healthy Choices for a Healthy Clearwater Program. The Coordinator also assisted merchants with various issues,questions and concerns and attended the Florida Main Street Annual Conference. ‘P )1 COMMUNITY REDEVELOPMENT AGENCY ANNUAL REPORT FY2010-2011 Downtown Coordination Committee Created in 2010,the Downtown Coordination Committee is made up of the Executive Director of the CRA,the President/CEO of the Clearwater Regional Chamber of Commerce,the Chair of the DDB,and the Chair of the Clearwater Downtown Partnership. The committee met monthly to discuss current/future activities,programs and issues and how these impact Downtown. Facade Improvement Grant The Facade/Storefront Improvement Grant is a$5,000 matching grant offered to new and existing businesses that are located outside of the Cleveland Street District boundaries,but within the existing CRA boundaries.The grant encourages aesthetic improvements. No property owners took advantage of the grant during this fiscal year. As new business owners relocate to the CRA,staff informs them of the program and meetings are held with those who express an interest. Cleveland Street Maintenance The CRA provided for the general maintenance of planters,bricks,street furniture,and the updating of planter flowers twice this reporting period. Parks and Beautification staff handled daily trash removal on the sidewalks. The CRA and DDB alternately fund the pressure washing of the sidewalks every six months or as needed. The CRA allocated$10,000 from its Cleveland Street Maintenance line item. Z3 COMMUNITY REDEVELOPMENT AGENCY ANNUAL RFPnnT T`' 'n l 0--n 1 1 City of Clearwater, Florida Community Redevelopment Agency Governmental Balance Sheet for the year ended September 30, 2011 General Capital Total Projects Govemnmental Funds Assets Cash on Hand and in Banks $ 1,213,771 $ 4,232,450 $ 5,446,221 Interest Receivable 33,953 - 33,953 Other Receivables 23,545 1,000 24,545 Land Held for Resale 4,618,670 - 4,618,670 Total Assets $ 5,889,939 $ 4,233,450 $ 10,123,389 Liabilities Accounts and Contracts Payable $ 43,608 $ 359,752 $ 403,360 Due to Other Government Entities 48,000 - 48,000 Advances from Other Funds 2,874,267 - 2,874,267 Deferred Revenue 23,545 - 23,545 Total Liabiliities ' $ 2,989,420 $ 359,752 $ 3,349,172 Fund Balances Nonspendable $ 1,718,151 $ - $ 1,718,151 Restricted 2,900,519 3,858,737 6,759,256 Committed - - - Assigned - 14,961 14,961 Unassigned (1,718,151) - (1,718,151) Total Fund Balances $ 2,900,519 $ 3,873,698 $ 6,774,217 Total Liabilities and Fund Balances $ 5,889,939 $ 4,233,450 $ 10,123,389 COMMUNITY REDEVELOPMENT AGENCY ANNUAL REPORT FY2010-2011 City of Clearwater, Florida Community Redevelopment Agency Schedule of Revenues, Expenditures and Changes in Fund Balance - Budgetary Comparison Schedule - General Fund u for the year ended September 30, 2011 r Budgeted Amounts Original Final GAAP Variance with Basis Actual Final Budget Amounts Positive (Negative) Revenues Intergovernmental - Local $ 1,013,627 $ 1,191,035 $ 982,879 $ (208,156) Investment Earnings 100,000 150,000 163,348 13,348 Miscellaneous 70,018 71,394 70,508 (886) Total Revenues 1,183,645 1,412,429 1,216,735 (195,694) Expenditures Current- Economic Environment $ 280,002 $ 569,502 $ 397,615 $ 171,887 Excess of Revenues of Expenditures 903,643 842,927 -: 1 23,807 Other Financing Sources(Uses) Transfers In $ 900,538 $ 871,244 $ 2,612,756 $ 1,741,512 Transfers Out (1,804,181) (1,714,171) (2,453,166) (738,995) Total Other Financing Sources (Uses) (903,643) (842,927) 159,590 1,002,517 Net Change in Fund Balances - - 978,710 978,710 Fund Balance, Beginning of Year $ 1,921,809 $ 1,921,809 $ 1,921,809 $ Fund Balance, End of Year $ 1,921,809 $ 1,921,809 $ 2,900,519 $ 978,710 COMMUNITY REDEVELOPMENT AGENCY ANNUAL REPORT FY2010-2011 ‘'' , ill ,i. , , ,. -- ., , , A.,,,, , Community Redevelopment Agency Board George N. Cretekos, Mayor Paul F. Gibson, Councilmember Bill Jonson, Councilmember Doreen Hock-DiPolito, Councilmember Jay Polglaze, Councilmember Executive Director of the Community Redevelopment Agency and Assistant City Manager Rod Irwin Director of Economic Development and Housing Geraldine Campos Lopez •