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07/18/1994 COMMUNITY REDEVELOPMENT AGENCY Minutes July 18, 1994 The City Commission, meeting as the Community Redevelopment Agency, met in regular session at City Hall, Tuesday, July 18, 1994 at 1:10 pm, with the following members present: Arthur X. Deegan, II Chairperson Sue Berfield Vice-Chairperson Richard Fitzgerald Trustee Rita Garvey Trustee Fred Thomas Trustee Also Present: Betty Deptula City Manager Peter Gozza Executive Director Richard Hull Asst City Attorney Gil Gott Chamber of Commerce Cyndie Goudeau City Clerk Excused: David Stone Ex-officio Trustee Elise Winters Ex-officio Trustee 2. Approval of Minutes A motion was made, seconded and unanimously carried to approve the minutes of the June 14, 1994 meeting. 3. Financial Report - May 1994 Peter Gozza reviewed the income and expenditures for the month of May 1994. A motion was made, seconded and unanimously carried to approve the May financial report. 4. Unfinished Business None 5. New Business Interest Free Loan Program Peter Gozza reviewed the proposed interest-free loan program. With the prime interest rate currently set at 7.25%, for $50,000 the CRA could obtain $256,160 in loans. Trustee Fitzgerald questioned why single family residences are not included in the loan program. Mr. Gozza reported that the loan program is consistent with the redevelopment plan in that it does not encourage single family residences within the district. The dollar limitation of this program will depend upon how much funding for interest is authorized by the CRA and the dollar amount the banks choose to commit to the program. The CRA will not be responsible for any underwriting or determining credit worthiness of the applicant. It was also recommended that once the Design Guidelines are approved that they become part of the Land Development Code. The recommended changes are as follows: a) "Processing of Application" Item 2 - shall read: The application is returned to the Executive Director of the CRA for his review and approval. If the application is rejected, it can be appealed before the CRA trustees. b) The "Application Form" will allow for a signature of the property owner giving approval if applicant is a tenant. c) "Subsidized Loan Agreement", page 2, item 3, last sentence, last line. Delete the words, "as provided for above", period after "interest". Add the following statement - "This reimbursement by the BANK to the CRA shall be made even though the loan will not have been prepaid in full and even if the loan is in default." d) "Subsidized Loan Agreement", page 4, C. Commercial Property Improvement Loans, item a - Loan amount changed to read a maximum of fifty thousand dollars ($50,000). Trustee Thomas moved to approve the CRA interest free loan program as presented with the recommended changes and to authorize funding up to $50,000, with the understanding that applicants must conform to the CRA approved Design Guidelines. Implementation of this program will not begin until the Design Guidelines have been approved by the CRA. Trustee Berfield seconded the motion and it was approved unanimously. RFP Redevelopment Plan The following changes were recommended to the proposed RFP: Agenda item, page 3, B. Presentation and Workshops, first sentence, last line - delete "the Community Redevelopment Agency" and add "this project". Agenda item, page 5, Evaluation and Negotiation Committee replace item b with "Downtown Development Board" and eliminate, "Downtown Partnership" Agenda item, "Criteria Evaluation" the "weight" column should be addressed and filled in. Throughout the RFP, change the word, "City" to "CRA" where applicable. RFP, page 5, item 1.4, first sentence, should read, " Proposals shall be delivered to the Community Redevelopment Agency, c/o the City's Purchasing Manager, City of Clearwater, 711 Maple Street, .........." Change all mail or delivery references to read this way. Trustee Thomas moved to approve the RFP as submitted along with recommended changes. Motion was seconded and unanimously approved. Park Street Garage - Option Agreement A certified letter addressed to the CRA from Walter J. Mackey, Jr., indicated that Atrium at Clearwater, Limited (the buyer of the Sun Bank Building) is exercising their option to purchase the first two floors of the Park Street Parking Garage, the adjoining 31 parking spaces and the land underneath these areas as defined in The Option. Mr. Gozza reported that he and City Manager Deptula had met and agreed to get an additional appraisal. The appraisal will be done as specified in The Option. The CRA construction cost for this item was $1,241,000 and property cost was $249,877. The item will be tabled for discussion until all the information is available, which will include the appraisal from Walter J. Mackey, the City appraisal and legal opinion from Alan Zimmet. 6. Executive Director Verbal Reports There was a brief discussion regarding a memo from Scott Shuford concerning the legal description vs. legal map of the CRA district. A scrivener's error had occurred regarding the mapping of the CRA district but had been resolved via City Commission action. The County is requesting additional action. Peter Gozza concurred with Scott Shuford's memo, recommending that since the CRA is in the process of having a redevelopment plan designed, to wait until this is complete and submit it all for review by the County. 7. Other Trustee Business Peter Gozza will draft a letter for Chairperson Deegan's signature to the Downtown Development Board addressing the following items: 1. The CRA will state their formal position in supporting the Acting City Attorney's opinion regarding the legality of the Downtown Development Board's proposal/issue of administering a loan/grant program for downtown building facades. 2. Per their ordinance, the Downtown Development Board's main responsibilities are in the area of marketing and promotions; the CRA's realm is within the confines of "brick and mortar". 3. Only one agency, the CRA, should administer loan & grant programs. 4. The CRA will take into consideration the criteria established by the Design Committee. This item will also be referred to the City Commission so they may state their formal position. To accommodate ex-officio members and others who attend CRA meetings, a motion was made, seconded and unanimously approved to hold separate CRA meetings on scheduled City Commission day meeting dates that will start at 9:00 AM and will have a time limit of one hour. Peter Gozza acknowledged the opening of three new businesses in downtown Clearwater - Futonics Mooko, Int'l; Harrison's Chill 'n Grill; and Pete's Pit Barbecue. It was pointed out, that the deciding factor in Pete's Pit Barbecue moving to Clearwater was the availability of the low-interest loan program that is offered through the CRA. 8. Adjournment Meeting was adjourned at 2:08 pm. Chairperson Attest: Secretary