12/19/2013 CITY COUNCIL MEETING MINUTES
CITY OF CLEARWATER
December 19, 2013
Present: Mayor George N. Cretekos, Vice Mayor Paul Gibson, Councilmember
Doreen Hock-DiPolito, Councilmember Bill Jonson, Councilmember Jay
E. Polglaze
Also Present: William B. Horne II - City Manager, Jill S. Silverboard - Assistant City
Manager, Rod Irwin - Assistant City Manager, Pamela K. Akin - City
Attorney, Rosemarie Call - City Clerk, Nicole Sprague - Official Records
and Legislative Services Coordinator
To provide continuity for research, items are listed in agenda order although not
necessarily discussed in that order.
1. Call to Order— Mayor George N. Cretekos
The meeting was called to order at 6:00 p.m. at City Hall.
2. Invocation - Mayor George N. Cretekos
3. Pledge of Allegiance — Mayor George N. Cretekos
4. Presentations - Given.
4.1 Service Awards
One service award was presented to a city employee.
4.2 Clearwater Central Catholic H.S. Football Team - Coach John Davis
Coach John Scargle presented the team and coaching staff and said the football team
had a great season.
4.3 Presentation of check for volunteer hours - Felicia Leonard, Parks and
Recreation Administrative Support Manager
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Ms. Leonard presented Council with a ceremonial check for$890,493, representing the
value of volunteer hours provided during the year. More than 3,000 volunteers
contributed over 40,000 hours to supporting several of the Department's service
programs.
5. Approval of Minutes
5.1 Approve the minutes of the December 5, 2013 City Council Meeting as
submitted in written summation by the City Clerk.
Councilmember Bill Jonson moved to approve the minutes of the December 5, 2013
City Council Meeting as submitted in written summation by the City Clerk. The motion
was duly seconded and carried unanimously.
6. Citizens to be Heard re Items Not on the Agenda
Matt Bunker expressed concerns regarding the alleged treatment of individuals who
are critical to the Church of Scientology.
Public Hearings - Not before 6:00 PM
7. Administrative Public Hearings
7.1 Approve the City of Clearwater's Fiscal Year 2012-2013 Consolidated Annual
Performance and Evaluation Report (CAPER).
The Consolidated Annual Performance and Evaluation Report (CAPER) is the
principal administrative report, documenting the City's expenditures for
Community Development Block Grant (CDBG) and HOME Investment Partnership
(HOME) programs to the U.S. Department of Housing and Urban Development
(HUD). For Fiscal Year 2012-2013, the City's budget was $719,995 in CDBG and
$301,560 in HOME Program funds for a total budget of$1,021,555. The CAPER
document serves as the basis for program monitoring for compliance and for
financial audits for all activities conducted during Fiscal Year 2012-2013 as
outlined in the Consolidated Plan. The report provides HUD with necessary
information for the Department to meet its requirement to assess each grantee's
ability to carry out relevant Community Planning and Development programs in
compliance with all applicable rules and regulations. It also provides information
necessary for HUD's Annual Report to Congress and it provides grantees an
opportunity to describe to citizens their successes in revitalizing deteriorated
neighborhoods and in meeting objectives stipulated in their Consolidated Planning
document. In addition to reporting on our activities with federal money, we also
included a summary of activities conducted with the Florida State Housing
Initiatives Partnership (SHIP) Program, Community Development Block Grant -
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Recovery Program, Pinellas County Housing Trust Fund Program and
Neighborhood Stabilization Program 3 in the narrative section; however, these
numbers are not included in the totals below. Through the CDBG and HOME
program activities, we expended a total of$1,842,416 in Fiscal Year 2012-2013,
which included funding from the prior year reprogrammed fund budget of
$2,580,932. Those funds not expended from this year's budget will be
reprogrammed in future budgets.
The City of Clearwater's Fiscal Year 2012-2013 CAPER contains information on
the City's assessment of the following activities:
• Assessment of Three to Five Year Goals and Objectives
• Affordable Housing
• Continuum of Care
• Leveraging Resources
• Affirmatively Furthering Fair Housing
• Citizens Comments
• Self-Evaluation
Over 11 519 persons were assisted through Public Services, Public Facilities,
Housing Rehabilitation and New Construction, Fair Housing, and Economic
Development projects and programs. A brief summary of Fiscal Year 2012-2013
accomplishments are:
• Closed on seven owner-occupied rehabilitation loans totaling $194,753.
• Closed on eighteen down payment assistance loans totaling $488,100.
• Closed two loans with Largo Area Housing Development Organization on
December 11, 2012 in the amount of$118,601 and $111 339 to build two
new single-family homes. The construction of the homes was completed in
this reporting period.
• Provided a rehabilitation loan on July 27, 2012 to Prospect Towers, Inc. in
the amount of$800,000 to renovate 208 units of senior housing. Phase 1
was completed in this reporting period.
• Provided a rehabilitation loan on October 26, 2012 to Pinellas County
Housing Authority - Norton Apartments in the amount of$304,446 to
renovate 48 units of rental housing. Phase 1 of the renovations was
completed in this reporting period.
• Provided a property acquisition loan in the amount of$52,697 to Habitat for
Humanity Community Housing Development Organization, Inc. to purchase
three lots for housing development on October 22, 2012. On January 18,
2013, the City provided $97,500 to the CHDO to build one of the three
homes. Another $97,500 was provided on June 10, 2013 to build another
housing unit in the Stevens Creek Subdivision.
• Provided a development loan in the amount of$327,500 from NSP3 to
Habitat for Humanity of Pinellas County, Inc. for the vertical construction of
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twenty-three single-family homes on a revolving basis on January 18,
2013. Another $97,500 was provided on June 10, 2013 to build one
housing unit. To this date, 25 homes have been built in the Stevens Creek
Subdivision with 9 homes completed this reporting period.
• Provided a development loan in the amount of$475,770 to SP Country
Club Homes, Inc. from NSP3 to build four townhome units on November 9,
2013. Construction has been completed on all units and 3 of the units have
been sold.
• Provided a development loan commitment to Boley Centers, Inc. Sunset
Point Apartments, Inc. in the amount of$346,451 from NSP3 to build 14
rental-housing units on June 13, 2013. The development project is
underway.
• Provided $56,825 for the development of an athletic field in North
Greenwood.
The City's Neighborhood and Affordable Housing Advisory Board is scheduled to
approve the Fiscal Year 2012-2013 CAPER at their meeting on December 10,
2013. The CAPER is due to HUD no later than December 30, 2013.
Economic Development and Housing Director Geri Campos Lopez provided a
PowerPoint presentation.
Councilmember Jay Polglaze moved to approve the City of Clearwater's Fiscal Year
2012-2013 Consolidated Annual Performance and Evaluation Report (CAPER). The
motion was duly seconded and carried unanimously.
7.2 Approve amendments to Beach by Design: A Preliminary Design for Clearwater
Beach and Design Guidelines establishing certain setback and stepback
standards in the Small Motel District and additional criteria for the Hotel Density
Reserve; and pass Ordinance 8497-14 on first reading.
On August 12, 2013, City Council directed the Planning and Development
Department to make several amendments to Beach by Design to address
concerns about the lack of space between development and the potential mass of
hotel buildings along Hamden Drive. Additionally some issues have surfaced
since that meeting relating to the operational characteristics of hotels receiving the
Hotel Density Reserve that need to be addressed.
Proposed Ordinance 8497-14 contains the following amendments to Beach by
Design:
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Establishes ten-foot side setbacks for all development in the Small Motel District,
which is located between Coronado and Hamden Drives and along Brigthwater
Drive.
Applies front setback and stepback requirements currently applicable to hotels
using the Reserve on Coronado Drive to those with frontage on Hamden Drive.
• Adds the following new criteria to the Hotel Density Reserve:
o The Reserve shall not be used to render nonconforming density
conforming.
• All hotel units in a hotel receiving units from the Reserve shall be
submitted to a rental program where all units are available for
members of the public as overnight transient hotel guests at all
times. Such units cannot be used as a primary/permanent residence
and each unit must be available to transient hotel guests.
• No room in a hotel receiving the Reserve may have a full kitchen.
The Community Development Board (CDB) unanimously recommended approval
of the proposed amendments at a public hearing on November 19, 2013.
Planning and Development Assistant Director Gina Clayton said staff is proposing an
amendment requiring all units from the density reserve shall be made available to the
public as overnight transient hotel guests at all times through the required hotel
reservation system. Occupancy is limited to thirty-one consecutive days or one month,
whichever is less.
Vice Mayor Paul Gibson moved to approve amendments to Beach by Design: A
Preliminary Design for Clearwater Beach and Design Guidelines establishing certain
setback and stepback standards in the Small Motel District and additional criteria for the
Hotel Density Reserve. The motion was duly seconded and carried unanimously.
Ordinance 8497-14 was presented and read by title only. Vice Mayor Paul Gibson
moved to amend Section 2 of Ordinance 8497-14, (page 3, seventh bullet) to read as
follows: OGG panGy in units from the Reserve is limited to a term of loss than one (1
month or thirty (30) nonsenUtiye days, s whichever is less No hotel unit in a hotel
. . - units frern the Reserve shall be used as a primary or pernlanent residenGe-
and eanh hotel unit shall he available to transient hotel guests. All hotel units shall be
required to be submitted to a rental program requiring all hotel units to be available for
members of the public as overnight transient hotel quests at all times All units in a hotel
receiving units from the Reserve shall be made available to the public as overnight
transient hotel quests at all times through the required hotel reservation system.
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Occupancy in any hotel receiving units from the Reserve is limited to a term of less than
one (1) month or thirty-one (31) consecutive days, whichever is less and units in such a
hotel shall not be used as a primary or permanent residence. The motion was duly
seconded.
In response to a concern, Ms. Clayton said the amendment addresses how the density
units are required to be rented out. The City Attorney said the City does not regulate
the ownership form. The amendment addresses the operational characteristics; the
reserve units are required to be available to the public on a transient basis. Assistant
City Attorney Leslie Dougall-Sides said a unit owner may rent the unit, for example 1
month, as a member of the public through the reservation system.
Upon the vote being taken, the motion carried unanimously.
Councilmember Bill Jonson moved to pass Ordinance 8497-14 on first reading, as
amended. The motion was duly seconded and upon roll call, the vote was:
'Ayes Mayor George N. Cretekos, Vice Mayor Paul Gibson, Councilmember
Doreen Hock-DiPolito, Councilmember Bill Jonson, Councilmember Jay E.
Polglaze
"Nays None
7.3 Approve amendments to the Community Development Code revising footnotes
to Tourist (T) District Tables 2-802 and 2-803 regarding the applicability of
certain development standards set forth in Beach by Design and pass Ordinance
8523-13 on first reading. (TA2013-10009)
Proposed Ordinance 8523-14 revises existing footnote (1) to Table 8-802, Flexible
Standard Development Standards and footnote (2) to Table 2-803 Flexible
Development Standards of the Community Development Code. These footnotes
specify that the standards for the Old Florida District and Marina District
provisions of Beach by Design supersede the regulations contained in the tables.
Due to the amendments proposed to Beach by Design in Ordinance 8497-14 it is
necessary to broaden that footnote. The Planning and Development Department
is proposing to revise them to state that the specific use, height, setback and
parking standards set forth in Section II. Future Land Use (Character Districts)
and height standards and Coronado and Hamden Drives setback/stepback
standards set for in Section IV., Design Guidelines of Beach by Design supersede
the standards contained in the use tables. Because Beach by Design is the
official land use policy for Clearwater Beach, the requirements of the Plan
supersede those in the Community Development Code and it is important to
assist customers in understanding which provisions apply to their property.
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The Planning and Development Department has determined that the proposed
text amendment to the Community Development Code is consistent with and
furthers the goals, objectives and policies of the Comprehensive Plan and the
Community Development Code as outlined in the staff report. The Community
Development Board (CDB) reviewed the proposed text amendment at its meeting
of November 19, 2013 and unanimously recommended approval of the
amendment.
Councilmember Doreen Hock-DiPolito moved to approve amendments to the
Community Development Code revising footnotes to Tourist (T) District Tables 2-802
and 2-803 regarding the applicability of certain development standards set forth in
Beach by Design. The motion was duly seconded and carried unanimously.
Ordinance 8523-13 was presented and read by title only. Councilmember Jay E.
Polglaze moved to pass Ordinance 8523-13 on first reading. The motion was duly
seconded and upon roll call, the vote was:
'Ayes Mayor George N. Cretekos, Vice Mayor Paul Gibson, Councilmember
Doreen Hock-DiPolito, Councilmember Bill Jonson, Councilmember Jay E.
Polglaze
"Nays None
7.4 Approve the annexation, initial Future Land Use Map designation of Residential
Urban (RU) and initial Zoning Atlas designation of Low Medium Density
Residential (LMDR) District for 2071 The Mall (Lot 8, Block C, Brooklawn
Subdivision) together with all of the abutting Right of Way of Arbelia Street; and
Pass Ordinances 8516-14, 8517-14 and 8518-14 on first reading. (ANX2013-
10031)
This voluntary annexation petition involves a 0.129-acre property consisting of
one parcel of land occupied by a single-family dwelling. It is located on the
northeast corner of The Mall and Arbelia Street. The applicant is requesting
annexation in order to receive solid waste service from the City, and will connect
to City sewer when it is available in the future, as part of the City's Idlewild/The
Mall Septic-to-Sewer Project. The Planning and Development Department is also
requesting that the abutting right of way of Arbelia Street also be annexed. The
property is contiguous to existing city boundaries to the east and the south. It is
proposed that the property be assigned a Future Land Use Map designation of
Residential Urban (RU) and a Zoning Atlas designation of Low Medium Density
Residential (LMDR).
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The Planning and Development Department determined that the proposed
annexation is consistent with the provisions of Clearwater Community
Development Code Section 4-604.E as follows:
The property currently receives water service from the City. Collection of solid
waste will be provided to the property by the City. The applicant will connect to the
City's sanitary sewer service when it is available, and is aware of the fee that must
be paid in order to connect and the financial incentives available. The property is
located within Police District II and service will be administered through the district
headquarters located at 645 Pierce Street. Fire and emergency medical services
will be provided to this property by Station 51 located at 1720 Overbrook Avenue.
The City has adequate capacity to serve this property with sanitary sewer, solid
waste, police, fire and EMS service. The proposed annexation will not have an
adverse effect on public facilities and their levels of service; and
The proposed annexation is consistent with and promotes the following objective
of the Clearwater Comprehensive Plan:
Objective A.6.4 Due to the built-out character of the City of Clearwater, compact
urban development within the urban service area shall be promoted through
application of the Clearwater Community Development Code.
Objective A.7.2 Diversify and expand the City's tax base through the annexation
of a variety of land uses located within the Clearwater Planning Area.
Policy A.7.2.3 Continue to process voluntary annexations for single-family
residential properties upon request.
The proposed Residential Urban (RU) Future Land Use Map category is
consistent with the current Countywide Plan designation of this property. This
designation primarily permits residential uses at a density of 7.5 units per acre.
The proposed zoning district to be assigned to the property is the Low Medium
Density Residential (LMDR) District. The use of the subject property is consistent
with the uses allowed in the district and the property exceeds the district's
minimum dimensional requirements. The proposed annexation is therefore
consistent with the Countywide Plan and the City's Comprehensive Plan and
Community Development Code; and
The property proposed for annexation is contiguous to existing city boundaries to
the east and the south; therefore, the annexation is consistent with Florida
Statutes Chapter 171.044.
Vice Mayor Paul Gibson move to approve the annexation, initial Future Land Use Map
designation of Residential Urban (RU) and initial Zoning Atlas designation of Low
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Medium Density Residential (LMDR) District for 2071 The Mall (Lot 8, Block C,
Brooklawn Subdivision) together with all of the abutting Right of Way of Arbelia Street.
The motion was duly seconded and carried unanimously.
Ordinance 8516-14 was presented and read by title only. Councilmember Bill Jonson
moved to pass Ordinance 8516-14 on first reading. The motion was duly seconded and
upon roll call, the vote was:
'Ayes Mayor George N. Cretekos, Vice Mayor Paul Gibson, Councilmember
Doreen Hock-DiPolito, Councilmember Bill Jonson, Councilmember Jay E.
Polglaze
"Nays None
Ordinance 8517-14 was presented and read by title only. Councilmember Doreen
Hock-DiPolito moved to pass Ordinance 8517-14 on first reading. The motion was duly
seconded and upon roll call, the vote was:
"Ayes Mayor George N. Cretekos, Vice Mayor Paul Gibson, Councilmember
Doreen Hock-DiPolito, Councilmember Bill Jonson, Councilmember Jay E.
Polglaze
"Nays None
Ordinance 8518-14 was presented and read by title only. Councilmember Jay E.
Polglaze moved to pass Ordinance 8518-14 on first reading. The motion was duly
seconded and upon roll call, the vote was:
"Ayes Mayor George N. Cretekos, Vice Mayor Paul Gibson, Councilmember
Doreen Hock-DiPolito, Councilmember Bill Jonson, Councilmember Jay E.
Polglaze
"Nays None
7.5 Approve the annexation, initial Future Land Use Map designation of Residential
Low (RL) and initial Zoning Atlas designation of Low Medium Density Residential
(LMDR) District for 1734 Kings Highway (Metes and Bounds Tract 44/01 in
Section 03, Township 29 S, Range 15 E) together with all of the abutting Right of
Way of Kings Highway: and pass Ordinances 8519-14, 8520-14 and 8521-14 on
first reading. (ANX2013-10032)
This voluntary annexation petition involves a 0.343-acre property consisting of
one parcel of land occupied by a single-family dwelling. It is on the southeast
Council 2013-12-19 9
corner of Kings Highway and Sandy Lane. The applicant is requesting this
annexation in order to receive sanitary sewer and solid waste service from the
City. The Planning and Development Department is also requesting that the
abutting right of way of Kings Highway also be annexed. The property is
contiguous to existing city boundaries on all sides. It is proposed that the property
be assigned a Future Land Use Plan designation of Residential Low (RL) and a
zoning category of Low Medium Density Residential (LMDR).
The Planning and Development Department determined that the proposed
annexation is consistent with the provisions of Clearwater Community
Development Code Section 4-604.E as follows:
The property currently receives water service from the City. The closest sewer line
is located in the Kings Highway right-of-way. The applicant has paid the City's
sewer impact and assessment fees and is aware of the additional costs to extend
City sewer service to this property. Collection of solid waste will be provided by
the City of Clearwater. The property is located within Police District 11 and service
will be administered through the district headquarters located at 645 Pierce Street.
Fire and emergency medical services will be provided to this property by Station
51 located at 1720 Overbrook Avenue. The City has adequate capacity to serve
this property with sanitary sewer, solid waste, police, fire and EMS service. The
proposed annexation will not have an adverse effect on public facilities and their
levels of service; and
The proposed annexation is consistent with and promotes the following objective
of the Clearwater Comprehensive Plan:
Objective A.6.4 Due to the built-out character of the City of Clearwater, compact
urban development within the urban service area shall be promoted through
application of the Clearwater Community Development Code.
Objective A.7.2 Diversify and expand the City's tax base through the annexation
of a variety of land uses located within the Clearwater Planning Area.
Policy A.7.2.3 Continue to process voluntary annexations for single-family
residential properties upon request.
The proposed Residential Low (RL) Future Land Use Map category is consistent
with the current Countywide Plan designation of this property. This designation
primarily permits residential uses at a density of five units per acre. The
proposed zoning district to be assigned to the property is the Low Medium Density
Residential (LMDR) District. The use of the subject property is consistent with the
uses allowed in the district and the property exceeds the district's minimum
dimensional requirements. The proposed annexation is therefore consistent with
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the Countywide Plan and the City's Comprehensive Plan and Community
Development Code; and
The property proposed for annexation is contiguous to existing city boundaries in
all directions; therefore, the annexation is consistent with Florida Statutes Chapter
171.044.
Vice Mayor Paul Gibson moved to approve the annexation, initial Future Land Use Map
designation of Residential Low (RL) and initial Zoning Atlas designation of Low Medium
Density Residential (LMDR) District for 1734 Kings Highway (Metes and Bounds Tract
44/01 in Section 03, Township 29 S, Range 15 E) together with all of the abutting Right
of Way of Kings Highway. The motion was duly seconded and carried unanimously.
Ordinance 8519-14 was presented and read by title only. Councilmember Bill Jonson
moved to pass Ordinance 8519-14 on first reading. The motion was duly seconded and
upon roll call, the vote was:
'Ayes Mayor George N. Cretekos, Vice Mayor Paul Gibson, Councilmember
Doreen Hock-DiPolito, Councilmember Bill Jonson, Councilmember Jay E.
Polglaze
"Nays None
Ordinance 8520-14 was presented and read by title only. Councilmember Doreen
Hock-DiPolito moved to pass Ordinance 8520-14 on first reading. The motion was duly
seconded and upon roll call, the vote was:
"Ayes Mayor George N. Cretekos, Vice Mayor Paul Gibson, Councilmember
Doreen Hock-DiPolito, Councilmember Bill Jonson, Councilmember Jay E.
Polglaze
"Nays None
Ordinance 8521-14 was presented and read by title only. Councilmember Jay E.
Polglaze moved to pass Ordinance 8521-14 on first reading. The motion was duly
seconded and upon roll call, the vote was:
"Ayes Mayor George N. Cretekos, Vice Mayor Paul Gibson, Councilmember
Doreen Hock-DiPolito, Councilmember Bill Jonson, Councilmember Jay E.
Polglaze
"Nays None
8. Second Readings - Public Hearing
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8.1 Adopt Ordinance 8508-13 on second reading, amending the Code of Ordinances
Chapter 29 to provide for an exemption of public services taxes on a decreasing
graduated basis for a period of five years; for the purchase of electricity or
metered natural gas by certain customers for certain purposes.
Ordinance 8508-13 was presented and read by title only. Vice Mayor Paul Gibson
moved to adopt Ordinance 8508-13 on second and final reading. The motion was duly
seconded and upon roll call, the vote was:
'Ayes Mayor George N. Cretekos, Vice Mayor Paul Gibson, Councilmember
Doreen Hock-DiPolito, Councilmember Bill Jonson, Councilmember Jay E.
Polglaze
"Nays None
8.2 Adopt Ordinance 8524-13 on second reading, approving an ad valorem tax
exemption for Instrument Transformers, Inc.
Ordinance 8524-13 was presented and read by title only. Councilmember Bill Jonson
moved to adopt Ordinance 8524-13 on second and final reading. The motion was duly
seconded and upon roll call, the vote was:
"Ayes Mayor George N. Cretekos, Vice Mayor Paul Gibson, Councilmember
Doreen Hock-DiPolito, Councilmember Bill Jonson, Councilmember Jay E.
Polglaze
"Nays None
9. Consent Agenda — Approved as submitted.
9.1 Approve settlement of workers' compensation claim of Mr. Terry Butler, for
Payment of$50,100, inclusive of costs, attorney fees, and general release, and
authorize the appropriate officials to execute same. (consent)
9.2 Approve the conveyance of a Distribution Easement to be granted to Duke
Energy for the installation of electrical facilities within city Project 13-0032-GA,
Compressed Natural Gas Filling Station Upgrades, to be executed and recorded
at such time as the as-built location of such facilities is available: and authorize
the appropriate officials to execute same. (consent)
9.3 Approve the advisory consulting agreement between the City and Independent
Financial Partners for the continued provision of advisor/consultant services by
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Montgomery Retirement Plan Advisors to the City 457 Deferred Compensation
Plans and the City 401 a Money Purchase Pension plan and authorize the
appropriate officials to execute same. (consent)
9.4 Approve the Administrative Management Services Agreement between the City
and Unum for the period from January 1, 2014 to January 1, 2015 and authorize
the appropriate officials to execute same. (consent)
9.5 Accept a Drainage Easement, a Potable Water Main Easement and a Sanitary
Sewer Easement conveyed by BayCare Health Systems, Inc. (BayCare) over
Property located at 2995 Drew Street, Clearwater. (consent)
9.6 Approve the final plat for Majestic Oaks, whose physical address is 3030 Union
Street, located on the north side of Union Street approximately 1,000 feet West
of McMullen Booth Road. (consent)
9.7 Approve an agreement to extend the Alligator Creek Watershed Management
Plan Phase 2(N097) cooperative funding agreement between the City and
Southwest Florida Water Management District (SWFWMD) from December 31,
2013 to May 31, 2014 and authorize the appropriate officials to execute same.
consent
9.8 Reappoint Michael Engelmann to the Environmental Advisory Board with term to
expire December 31, 2017. (consent)
Councilmember Doreen Hock-DiPolito moved to approve the Consent Agenda as
submitted and authorize the appropriate officials to execute same. The motion was duly
seconded and carried unanimously.
City Manager Reports
10. Other Items on City Manager Reports
10.1 Amend the City of Clearwater Code of Ordinances, Section 32.224, relating to
the cost of certain discharges with specific properties to the collection and
treatment of wastewater, and pass Ordinance 8534-14 on first reading.
The City of Clearwater's Wastewater Treatment Facilities were designed to treat
domestic sewage. Clearwater welcomes new businesses and industries, but
along with processed discharges often come additional and expensive costs of
removal and treatment at the wastewater plants. High strength wastewater from
industrial users costs more to treat because of the increased pollutant loading in
their waste stream.
Council 2013-12-19 13
The industrial sewer surcharge provisions already in place since the inception of
the City's ordinance were created to assist and ensure equity between industrial
wastewater treatment costs and charges for the domestic users. The surcharge
is calculated for the portion of the loadings in excess of typical domestic sewage.
This calculation fairly charges businesses or industries and does not place the
burden of the extra treatment cost on residents.
The proposed changes clarify language, which specifies how the higher strength
industrial wastewater will be measured in order that the surcharge can be
applied. Industrial user discharge to the sewer system will be measured by
approved metering for the actual flow. The intention of the changes to the
Ordinance is to allow businesses to practice water conservation and pay the
surcharges for only the amount of discharge measured for the higher strength
portion of their wastewater discharge into the City's sanitary sewer system. The
appropriate charges will apply in accordance with the Ordinance for the higher
strength discharge.
Councilmember Doreen Hock-DiPolito moved to amend the City of Clearwater Code of
Ordinances, Section 32.224, relating to the cost of certain discharges with specific
properties to the collection and treatment of wastewater. The motion was duly
seconded and carried unanimously.
Ordinance 8534-14 was presented and read by title only. Councilmember Jay E.
Polglaze moved to pass Ordinance 8534-14 on first reading. The motion was duly
seconded and upon roll call, the vote was:
'Ayes Mayor George N. Cretekos, Vice Mayor Paul Gibson, Councilmember
Doreen Hock-DiPolito, Councilmember Bill Jonson, Councilmember Jay E.
Polglaze
"Nays None
10.2 Approve an economic development ad valorem tax exemption of 50% of the
increase in tangible personal property taxes for a period of 5 years for
MarineMax, Inc. beginning in Tax Year 2014 through Tax Year 2018; and pass
Ordinance 8535-14 on first reading.
Headquartered in Clearwater, MarineMax is the nation's largest recreational boat
and yacht retailer selling new and used recreational boats and related marine
products and services. Currently located at 18167 US Highway 19 North,
MarineMax proposes an expansion and relocation of its Corporate Headquarters
to 2600 McCormick Drive.
Council 2013-12-19 14
The company plans to invest approximately $2.0 million in new furniture, fixtures,
and office and computer equipment and will add 30 new employees over a 3-
year period. Average annual wages of all new positions will exceed $65,000,
which is 155% of the Pinellas County Annual Average Wage as published by
Enterprise Florida, Inc. on January 1, 2013.
Ordinance 8535-14 Overview
This Ordinance provides ED AVTE of 50% for 5 years for Tax Year 2014 through
Tax Year 2018. Staff recommends this maximum ED AVTE based on the
following:
• The Project exceeds minimum thresholds
o Job creation threshold for Targeted Industry (Corporate Headquarters) is 10
jobs
-The Company plans to add 30 jobs
o Pinellas County Average Annual Wage threshold is $41,810 (for applications
received in 2013)
-The average annual wage for the new jobs will exceed $65,000
o Minimum Capital Investment required is $100,000
-The Company's projected investment is +/-$2,000,000
• Additionally, the company is committed to
o Local procurement and will strive to use local suppliers as appropriate;
o Local hiring and will strive to hire employees located within the City of
Clearwater;
o Environmental sustainability, particularly water-related initiatives;
Staff Recommendation, Review and Analysis
On November 8, 2013, Economic Development and Housing department
received a complete and eligible Economic Development Ad Valorem Tax
Exemption (ED AVTE) application and attachment form DR-418 from MarineMax,
Council 2013-12-19 15
Inc.. Staff has reviewed the application, attachment, and Pinellas County
Property Appraiser's Report and has conducted an impact analysis using Total
ImpactTm by Impact Data Source. Staff recommends approval of Ordinance
8535-14, which provides an exemption of 50% for 5 years on the Tangible
Personal Property taxes, which result from the expansion, and relocation of the
Company
According to the Property Appraiser's report:
• The Company meets the definition of an Expansion of an Existing Business
as defined by FS 196.012(16);
• The estimate of taxable value is $1 810,000. The 1st year value of the
exemption if granted is $4,665 [Calculation: $1,810,000 x .005155 x 50% _
$4,665]
The estimated total value of the exemption is $18,661.
• An impact analysis of the company's project proposal shows a significant net
positive contribution to the local economy totaling
• $37.5 million Economic Impact (Countywide, 10 yrs) including $31.4 million in
salaries (direct and indirect jobs) and $6.1 M in taxable sales and purchases in
the County.
• Permanent jobs to be created by the Company: 30 jobs
• Additional indirect and induced jobs (spin off): 54 jobs
• Net Benefits to the City: $3677760
• Present Value of Net Benefits to City (reflects 5% discount): $291,593
• Rate of Return: 96.2% ROR (when the exemption is considered as cash)
• Payback Period: 1.3 years
One individual said factual errors were provided at the work session and requested
Council to continue the hearing to a future meeting.
Council 2013-12-19 16
The City Attorney said the item before Council will have a second hearing in January, at
which time the agreement will also come before Council, and Council will have an
opportunity to deny the request then.
Assistant City Manager Rod Irwin said the representative for MarineMax has indicated
to staff that their current office building cannot offer space that is functional or
economically feasible.
Vice Mayor Paul Gibson moved to approve an economic development ad valorem tax
exemption of 50% of the increase in tangible personal property taxes for a period of 5
years for MarineMax, Inc. beginning in Tax Year 2014 through Tax Year 2018. The
motion was duly seconded and carried unanimously.
Ordinance 8535-14 was presented and read by title only. Councilmember Bill Jonson
moved to pass Ordinance 8535-14 on first reading. The motion was duly seconded and
upon roll call, the vote was:
'Ayes Mayor George N. Cretekos, Vice Mayor Paul Gibson, Councilmember
Doreen Hock-DiPolito, Councilmember Bill Jonson, Councilmember Jay E.
Polglaze
"Nays None
10.3 Approve an economic development ad valorem tax exemption for Skye Lane
Properties, LLC, A Heritage Insurance Company, and Heritage Property and
Casualty Insurance Company, of the increase in real and tangible personal
Property taxes for a period of 10 years beginning in Tax Year 2014 through Tax
Year 2023; and pass Ordinance 8536-14 on first reading.
Skye Lane Properties, LLC, A Heritage Insurance Company, purchased
2600/2650 McCormick Drive in April 2013. At the time of purchase, the following
conditions existed:
o Two buildings provided 523 parking spaces for +/-148,300 SF of
office.
• Under previous ownership, AmeriLife negotiated rights to 318
spaces and leased +/-75,300 SF office space
• As a result, only 205 spaces were available for the remaining 73,000
SF (or 2.8 spaces / 1,000 SF). These existing conditions resulted in
a severe parking deficit in today's office marketplace where tenant
demand is quite often 4.5 to 6.0 spaces / 1,000 SF.
Council 2013-12-19 17
This project proposes to resolve the parking deficit to accommodate higher
intensity employment opportunities, one of the Goals in the City's Economic
Development Strategic Plan (EDSP), adopted November 2011, and is supported
by the US 19 Redevelopment Plan, adopted December 2012, as an In-Between
Area providing an employment-intensive use favored over smaller-scale projects.
Skye Lane Properties plans to invest $5.9 million in real property improvements
including the construction of a $4.0 million tri-level parking deck. Upon completion
of all parking improvements on the site, the property will have approximately 725
parking spaces, which will provide the entire site with 4.9 spaces / 1,000 SF.
Projected outcomes:
• Heritage Property and Casualty Insurance Company will invest $200,000 in
furniture, fixtures and equipment and be able to relocate its 54 employees
from their current corporate headquarters location in St. Petersburg, and
will add 11 new positions in 2014. Average wages for all new jobs will
exceed $87,000 (208% above the Pinellas County Average Annual Wage).
• Ten or more consultants currently working with Heritage Property and
Casualty Insurance Company will also relocate to the site.
• MarineMax, Inc., the nation's largest boat retailer, will relocate 99
employees from its current corporate headquarters located in the City,
invest $2.OM in furniture, fixtures and equipment, and add 30 new jobs over
3 years. Average annual wages of all new jobs will exceed $65,000 (155%
of the Pinellas County Average Annual Wage). An application for ED AVTE
has been received and is being presented for consideration under a
separate ordinance (Ordinance 8435-14).
• MarineMax, Inc. is unable to expand at its current site and has identified
this property as the only available, suitable property within city limits for
their proposed relocation.
• Tenants on the site, including AmeriLife, will be able to expand.
• The property will meet market demand making this a prime Class A office
destination for what was 50% vacant nearly 1 year ago.
Ordinance 8536-14 Overview
This Ordinance provides ED AVTE of 75% for 5 years for Tax Year 2014 through
Tax Year 2018 and ED AVTE of 50% for 5 years for Tax Year 2019 through 2023.
Staff recommends this ED AVTE based on the following:
Council 2013-12-19 18
• The project exceeds minimum thresholds including job creation, wages,
capital investment and sales factor.
• Additionally, the company is committed to local procurement, local hiring,
environmental sustainability, and active involvement in the local
community.
• The Ordinance includes the condition that for the period of the exemption
(10 yrs), MarineMax, Inc. remains a tenant of the property.
The required Business Maintenance and Continued Performance Agreement will
be presented at the next Council Meeting scheduled for January 16, 2014. Staff
Recommendation, Review and Analysis
On November 25, 2013, Economic Development and Housing Department
received a complete and eligible Economic Development Ad Valorem Tax
Exemption (ED AVTE) application and attachment form DR-418 from Skye Lane
Properties, LLC, A Heritage Insurance Company, and Heritage Property and
Casualty Insurance Company. Staff has reviewed the application, attachment, and
Pinellas County Property Appraiser's Report and has conducted an impact
analysis using Total Impact by Impact Data Source.
Staff recommends approval of Ordinance 8536-14 which provides an exemption
of 75% for 5 years (Tax Years 2014-2018) followed by 50% for 5 years (Tax
Years 2019-2023) on the Real Tangible Personal Property taxes which will result
from the expansion and relocation of the Company.
According to the Property Appraiser's report:
• The Company meets the definition of an Expansion of an Existing Business
as defined by FS 196.012(16);
• The estimate of Real and Tangible Personal Property taxable value is
$4,904,000. The 1 st year value of the exemption if granted is $18,960
[Calculation: $4,904,000 x .005155 x 75% _ $187960]
The estimated total value of the exemption over the 10-year period is $168,472.
An impact analysis of the company's project proposal shows a significant net
positive contribution to the local economy. The analysis does not include
MarineMax or any other tenant company:
• $134.9 million Economic Impact (Countywide, 10 yrs) including $109.8
million in salaries (direct and indirect jobs) and $20.4 million in taxable
sales and purchases in the County.
• Permanent jobs and additional indirect and induced jobs (spin off): 160 jobs
• Net Benefits to the City: $2297327
• Present Value of Net Benefits to City (reflects 5% discount): $184,079
Council 2013-12-19 19
• Rate of Return: 17.4% ROR (when the exemption is considered as cash)
• Payback Period: 5.2 years
Additional Incentives
Staff is proposing ED AVTE for MarineMax, Inc. for 50% exemption of personal
tangible property taxes for 5 years (Tax Years 2014-2018). Total value of the
proposed exemption for MarineMax, Inc. is estimated at $18,661. (Ordinance
8535-14)
Staff also proposes for Skye Lane Properties, LLC and Heritage Property and
Casualty Insurance Company a reimbursement/waiver of all application, permit,
inspection, examination, and others fees paid to the City up to $60,000.
Resolution 14-03 will come before Council on January 16, 2014, and is
considered integral to this project as an inducement.
One individual spoke in opposition. One individual spoke in support.
Assistant City Manager Rod Irwin said the ad valorem tax exemption incentive was
approved by a public referendum. The incentive is available to any qualified tenant.
Councilmember Jay Polglaze moved to approve an economic development ad valorem
tax exemption for Skye Lane Properties, LLC, A Heritage Insurance Company, and
Heritage Property and Casualty Insurance Company, of the increase in real and
tangible personal property taxes for a period of 10 years beginning in Tax Year 2014
through Tax Year 2023. The motion was duly seconded and carried unanimously.
Ordinance 8536-14 was presented and read by title only. Vice Mayor Paul Gibson
moved to pass Ordinance 8536-14 on first reading. The motion was duly seconded and
upon roll call, the vote was:
'Ayes Mayor George N. Cretekos, Vice Mayor Paul Gibson, Councilmember
Doreen Hock-DiPolito, Councilmember Bill Jonson, Councilmember Jay E.
Polglaze
"Nays None
10.4 Designate the City Clerk and Official Records and Legislative Services staff to
serve as the Clerk to the Local Hearing Officer for the purpose of conducting
hearings related to red-light camera violations, appoint Nancy Mag, Esq. as the
Local Hearing Officer, approve the Legal Services Agreement between Nancy
Maq and the City of Clearwater, adopt Resolution 13-25, and authorize the
appropriate officials to execute same.
Council 2013-12-19 20
Amendments to Section 316.0083, Florida Statutes, contained in House Bill
7125, provide the registered owner of the motor vehicle or the person in physical
control of the motor vehicle at the time the motor vehicle failed to stop at a red
light being monitored by a traffic infraction detector with the option of requesting
a hearing before a local hearing officer to contest a notice of violation issued
pursuant to Section 316.0083, Florida Statutes. In addition, Section 316.0083,
Florida Statutes, requires the municipality issuing the notice of violation to
designate a local hearing officer as defined in Section 316.003(91), Florida
Statutes, for the purpose of conducting a hearing pursuant to Section 316.0083,
and Section 316.0083(5)(b), Florida Statutes, requires the municipality by
resolution to designate existing staff of the municipality to serve as the clerk to
the local hearing officer.
The City Attorney's Office, City Manager's Office and Police Department
interviewed several applicants for the Local Hearing Officer, and selected Nancy
Mag, Esq. A Legal Services Agreement has been negotiated. Ms. Mag will hear
Red Light Camera violations at an hourly rate of$150.00, with a minimum
hearing session of 2 hours. The funds to pay the Local Hearing Officer will come
from the proceeds from Red Light Camera infractions.
Councilmember Bill Jonson moved to designate the City Clerk and Official Records and
Legislative Services staff to serve as the Clerk to the Local Hearing Officer for the
purpose of conducting hearings related to red-light camera violations, appoint Nancy
Mag, Esq. as the Local Hearing Officer, approve the Legal Services Agreement
between Nancy Mag and the City of Clearwater. The motion was duly seconded and
carried unanimously.
Resolution 13-25 was presented and read by title only. Councilmember Doreen Hock-
DiPolito moved to adopt Resolution 13-25. The motion was duly seconded and upon
roll call, the vote was:
'Ayes Mayor George N. Cretekos, Vice Mayor Paul Gibson, Councilmember
Doreen Hock-DiPolito, Councilmember Bill Jonson, Councilmember Jay E.
Polglaze
"Nays None
10.5 Approve 2014 State Legislative Package.
The City Clerk said the priorities before Council included the changes directed at the
work session.
Council 2013-12-19 21
Councilmember Bill Jonson moved to approve the 2014 State Legislative Package. The
motion was duly seconded and carried unanimously.
Miscellaneous Reports and Items
11. City Manager Verbal Reports
11.1 City Manager Verbal Reports
FDOT Highway Landscaping Funds for Fiscal Year 2014
Parks and Recreation Director Kevin Dunbar said median landscaping materials and
mulching installation is approximately $198,000 and may be purchased with the grant
funds. The engineering, irrigation layout, and electrical is not covered by the grant and
estimated cost is $145,000. Mr. Dunbar said the City would be responsible for the
maintenance cost, which is approximately $16,600. DOT needs to know by January 1,
2014 whether the City will proceed with year four of the grant program. To support the
improvements, the Department will need to budget approximately $70,000 annually for
the next 2 fiscal years, $8,300 in next year's budget for maintenance, and $24,900 each
year after for continued maintenance.
In response to questions, Mr. Dunbar said the improvements would cover eleven
medians along Missouri Avenue. The medians would appear as those along Gulf to
Bay Boulevard and will include Medjool Palm Trees. If the City does not accept the
grant funding for year 4, the City will not receive grant funding for years four and five.
Mr. Dunbar said median improvements along Gulf to Bay Boulevard, east of US
Highway 19, would be presented during the next grant cycle.
Discussion ensued with concerns expressed regarding the unbudgeted cost for
maintaining the median improvements. Concerns were expressed with turning away
awarded grant funds; it was stated that funding for the Highway Beautification Program
was eliminated.
In response to a suggestion, Mr. Dunbar said a median sponsorship program would
utilize a square footage cost based on the $16,600 cost. Assistant City Manager Jill
Silverboard said the program would not assure a consistent landscaping standard from
each sponsor.
Vice Mayor Paul Gibson moved not to accept the grant funds for years four and five.
The motion was duly seconded. Mayor George Cretekos, Vice Mayor Paul Gibson and
Councilmember Jay Polglaze voted "Aye"; Councilmembers Doreen Hock-DiPolito and
Bill Jonson voted "Nay".
Motion carried.
Council 2013-12-19 22
12. Closing Comments by Mayor
Mayor George Cretekos reviewed recent and upcoming events and wished all Happy
Holidays and a Happy New Year.
13. Adjourn
The meeting adjourned at 7:57 p.m.
cr,barke A crAtto5
Mayor
Attest of Clearwater
Council 2013 -12 -19 23