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03/17/2014 CITY COUNCIL WORK SESSION MEETING MINUTES CITY OF CLEARWATER IIVlardh 17, 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 in agenda order although not necessarily discussed in that order. Mayor George Cretekos called the meeting to order at 1:00 p.m. at City Hall. A moment of silence was observed for the passing of former Florida Governor Reubin Askew. 1. Presentations — Given. 1.1 Service Awards One service award was presented to a city employee. The March/April Bimonthly Team Award was presented to Peter Tanner and Jeremy Williams, Information Technology. The Council recessed from 1:06 p.m. to 1:08 p.m. to meet as the Pension Trustees. 2. Office of Management and Budget 2.1 Amend the City's fiscal year 2013/14 Operating and Capital Improvement Budgets at first quarter and pass Ordinances 8550-14 and 8551-14 on first reading. The fiscal year 2013/14 Operating and Capital Improvement Budgets were adopted in September 2013 by Ordinances 8476-13 and 8477-13. Section 2.521 Work Session 2014-03-17 1 of the City's Code of Ordinances requires the City Manager to prepare a quarterly report detailing income, expenditure estimates, collections, the explanation of significant variances, as well as the financial status of all capital improvement projects. The memorandum and the accompanying report provide this information and outline the issues at first quarter that require amendment. Budget Director Tina Wilson said General Fund revenues and expenditure amendments reflect a net increase of$1,599,144. The major reason for the overall General Fund expenditure increase is the appropriation of General Fund retained earnings of $778,795 at first quarter which include the following: $241,272 to fund the Bright House Field Repairs project, $103,350 to fund a property purchase for the Main Fire Station project, $30,000 to fund the Economic Development Incentives project, $37,500 to fund the Faulkner settlement, $87,000 to fund the Human Trafficking Overtime project, $250,000 to fund the Strategic Direction Action Plan project, $25,173 to fund the North American Vehicle Rescue Association World Rescue Challenge event, and $4,500 to fund the architectural analysis for Beach by Design. Other major increases to General Fund expenditures includes the increase of$73,980 to fund an additional 1.6 FTE's in the Pier 60 program which is offset by increased general admission revenue; a transfer of$250,000 to fund the Natural Gas Vehicles project; and $481,720 in major medical insurance across all departments to fund the self insurance program for health insurance and the Cigna contract for plan administration for calendar year 2014 which is offset by an allocation of Central Insurance Fund reserves. All amendments listed above were previously approved by Council. In addition, enhanced revenues are recognized at first quarter, which include; an increase of gas dividends in the amount of$925,082, and excess revenues estimated at $2,020 for the Pier 60 Program. With the increase in revenues outlined here, the net transfer from General Fund retained earnings is approximately $101,693 at first quarter. Ms. Wilson said Budget amendments to the Parking Fund expenditures reflect a net increase of$63,230. Amendments include an increase of$7,010 in major medical insurance to fund the 2014 Cigna contract which is offset by revenues from Central Insurance Fund reserves; an increase of$52,670 in personnel costs to fund an additional 2.1 Lifeguard FTE's; and an increase of$3,550 to fund the increased Jolley Trolley contribution, all of which were previously approved by the Council. Staff was directed to provide information regarding the balance for the central insurance and parking funds and how much each fund generate annually. 3. Financial Services 3.1 Approve the purchase of property insurance policies, from April 1, 2014 to April Work Session 2014-03-17 2 1, 2015, at the level of insurance provided for in this agenda item, at an amount not to exceed $1,866,570, and authorize the appropriate officials to execute same. (consent) The Risk Management Division of the Finance Department requested Arthur J. Gallagher and Co. (Florida) to obtain quotes for the property insurance program expiring April 1, 2014. Per the quotes obtained, Risk Management is recommending that the City continue with its current coverage of$60 million wind limit with a $60 million/$30 million flood sub-limit (depending on property location). The self-insured retention (SIR) would remain at $100,000 per occurrence, with the greater of a 5% or $500,000 SIR for named storms. Risk Management is recommending the City maintain the stand-alone policy through Zurich that it first obtained in April 2012 to insure the City's bridges. This bridge program would continue to incorporate a self-insured retention (SIR) of $100,000 per occurrence, with a $500,000 SIR for named storms, and provide an additional $47 million of aggregate windstorm/flood/terrorism capacity for the City's program. Zurich provided a three-year rate guarantee in April 2012 that they are now extending by an additional two years, to April 1, 2017. Additionally, Risk Management recommends that the City renew its equipment breakdown policy with Travelers Insurance. The proposed premium reflects a decrease of ($934), or (9.2%), from last year's. With the above recommendations, the total premiums and contingency are estimated at $1,866,570, which represents a decrease of ($267,436) or (12.5%), from last year. Risk Management believes that the recommended coverage will continue to cover the City's property risks at levels and rates which, when taken together as a whole, represent a reasonable insurance program for the City. 4. Gas System 4.1 Approve the second renewal of a Purchase Order, in the amount of$1,640,300, with Florida Gas Contractors, Inc. for the replacement of antiquated gas mains and service lines for the period of April 1, 2014 to March 31, 2015, and authorize the appropriate officials to execute same. (consent) Florida Gas Contractors (FGC) is Clearwater Gas System's primary contractor who installs gas mains and service lines to meet residential, commercial and industrial customer requirements in support of gas Sales and Operations. FGC has performed satisfactory work since the contract was originally awarded in April 2012. This is the second and final renewal, as authorized in the original bid. FGC has agreed in writing to hold their current bid pricing on the estimated quantities Work Session 2014-03-17 3 listed in the contract Replacement of Antiquated Gas Mains, Service Lines, Gas Meters and Piping Connections to Customer House Piping and Reestablishment of Gas Service at Various Locations. Under this Contract/Purchase Order, the contractor will replace approximately 12- 16 miles of antiquated gas mains, to include all associated service line, gas meter and piping connections at each customer location. The term antiquated represents all uncoated steel gas mains and service lines, to include cast iron, that are currently serving customers within the Clearwater Gas System service territory. These materials were installed between the period of 1923 (start of the gas system) and 1970. All work performed under this contract is separate from the existing contract for the Installation of Gas Mains, Service Lines and House Piping at Various Locations currently held by FGC and was renewed in January 2014. Funds are available in 315-96377 Pinellas New Mains and Service Lines and the Clearwater Gas System budget to support these requirements. 5. Parks and Recreation 5.1 Approve the fourth amendment to the Capitol Theatre Operating Agreement between the City of Clearwater and Ruth Eckerd Hall, Inc. (REH) deleting the requirement of the receipt of State funding identified in previous amendments, and authorize the appropriate officials to execute same. (consent) On September 20, 2012, the City of Clearwater entered into the Capitol Theatre Operating Agreement with Ruth Eckerd Hall, Inc. (REH) to renovate and operate the Capitol Theatre Facility located at 401, 403 and 409 Cleveland Street for a period of 30 years. The City did apply for, was approved and is expected to receive additional funding through the State of Florida in the amount of $1,000,000 through the Cultural Facilities Program. The Council approved the grant agreement with the State of Florida on December 5, 2013. On July 18, 2013, the City Council approved the increase in the Capitol Theatre budget (CIP 315-93623) for the construction of the Capitol Theatre in the amount of$500,000 upon receipt of the award of$1,000,000 in State funding via the Cultural Facilities Program. As the funding expected from the State of Florida is expected to take several months, REH has requested the transfer and reimbursement prior to the State's disbursement and subsequent receipt of those funds by the City of Clearwater. All other terms and conditions of the original agreement as amended, will remain in full force and effect. Work Session 2014-03-17 4 In response to questions, the City Attorney said the item before Council accelerates the payment due to REH, which was previously agreed to by both parties. Parks and Recreation Administrative Support Manager Felicia Leonard said the original grant application requested $500,000 but the State awarded $1 million. Council will need to approve an amended grant agreement for $1 million, which is currently being drafted by the State. REH's first payment to the reserve fund is due April 15, 2014. 6. Solid Waste/General Support Services 6.1 Award a contract (Purchase order) for $125,337.00 to Alan Jay Fleet Sales for three 2014 Chevy Suburbans, in accordance with the Florida Sheriffs Contract 13-21-0904, 2.5640)(d), Code of Ordinances - Other Governmental Bid; authorize lease purchase under the City's Master Lease Purchase Agreement, or internal financing via an interfund loan from the Capital Improvement Fund, whichever is deemed to be in the City's best interests; and authorize the appropriate officials to execute same. (consent) The three Chevrolet Suburbans will be purchased through the Florida Sheriff's Contract 13-21-0904 and quote dated January 10, 2014. Two Chevrolet Suburbans will replace G3070 (2005 Chevrolet Suburban) with 91,627 miles and G2632 (2003 Ford Taurus) with 48,624 miles. The third Chevrolet Suburban, which will replace G2447 (2001 Freightliner) with 149,052 miles, is part of a pilot program to replace EMS rescue vehicles. The two replacement vehicles were included in the Fiscal Year 2013/2014 Garage CIP Replacement Fund. Funding for the pilot rescue vehicle is available in capital project 316-91236, Rescue Vehicles. All three vehicles are assigned to Fire. In response to questions, Solid Waste/General Services Director Earl Gloster said the Ford Taurus is being replaced due to maintenance issues; it would cost more to maintain. Fire Division Chief Steve Strong said the Fire Department is considering providing EMS service with smaller vehicles. Staff believes the smaller vehicles can be retrofitted to accommodate necessary equipment. The pilot project will last approximately six months. The smaller vehicles are easier to maneuver on the beach and less expensive than the rescue trucks. Pinellas County provides approximately $160,000 annually for a rescue truck, which are currently priced at $270,000. If the pilot project is unsuccessful, the department will rotate the vehicle into the department fleet. Division Chief Strong said the cost to retrofit the vehicle should not exceed $15,000. The City Manager said a special work session would be held to discuss Pinellas County's EMS proposal, which includes decreasing the City's reimbursement and eliminating the reimbursement of certain types of apparatus. Work Session 2014-03-17 5 In response to a question, Division Chief Strong said success criteria for the pilot will be based on fuel costs, maintenance costs, estimated time of arrival (could it get there quicker), etc. 6.2 Award a Contract (Purchase Order) for $162,888.00 to Hub City Ford, for eight 2014 Ford Taurus sedans, in accordance with the Florida Sheriffs Contract 13- 21-0904, 2.564(1)(d), Code of Ordinances - Other Governmental Bid; authorize lease purchase under the City's Master Lease Purchase Agreement, or internal financing via an interfund loan from the Capital Improvement Fund, whichever is deemed to be in the City's best interests; and authorize the appropriate officials to execute same. (consent) The eight Ford Taurus sedans will be purchased through the Florida Sheriff's Contract 13-21-0904 and quote dated January 28, 2014. Five of the vehicles will replace G3158 (2006 Dodge Charger) with 94,163 miles, G2982 (2005 Chrysler 300) with 94,065 miles, G2456 (2001 Chevrolet Silverado 1500) with 94,967 miles, G2933 (2004 Toyota Prius) with 93,129 miles and G2981 (2005 Dodge Magnum) with 96,871 miles and will be assigned to the Police Department. Three of the vehicles will replace G0301 (1994 Crown Victoria) with 53,784 miles, G1975 (1998 Ford Taurus Wagon) with 55,779 miles and G2149 (1999 Jeep Cherokee) with 67,683 miles and will be assigned to Engineering. These vehicles were included in the Fiscal Year 2013/2014 Garage CIP Replacement Fund. 6.3 Award a contract (purchase order) to J Grez Transport, Inc. of Tampa, FL in the amount of$270,000 for the hauling of single stream recycling commodity from the City's recycling facility to the processing contractors facility, from April 1, 2014 through March 30, 2015, as provided in the City's Code of Ordinances, Section 2.561 and authorize the appropriate officials to execute the same. consent The City of Clearwater's Recycling Department collects single stream recyclables from our residential customers. The recyclables are transported by city vehicles to the state-permitted recycling processing facility located at 1701 North Hercules Avenue and it is subsequently loaded in the contractor's tractor/trailer for hauling. The hauling contractor takes the recyclables to the processing contractor's facility in Tampa. Work Session 2014-03-17 6 Due to the success of the City's expanded residential recycling program, the Recycling department requires a hauling contractor to support the city's one tractor/trailer with the hauling of this commodity to market in Tampa. During the first five months of the program, the city experienced an average increase in monthly volume from 160 to 440 tons. The Purchasing Department advertised a request for bids (Bid 17-14) for Single Stream Hauling in the legal classified line ads in the Tampa Bay Times on February 19, 2014 and advertised on the City's website from February 14, 2014 through March 4, 2014. The City received two bids. A first quarter budget amendment will provide an increase of$200,000 to fund the current year portion of this contract, which will be partially funded from the operating revenues from the Recycling fund. The balance of approximately $100,000 will be funded from the retained earnings of the Recycling Fund. The balance of$70,000 will be included in the proposed 2014/2015 operating budget. In response to questions, Solid Waste/General Services Director Earl Gloster said the Department is hauling three times more than expected. Assistant City Manager Jill Silverboard said staff understands the recycling expenditures are not covered by the resale of the recyclable materials. Staff is working on the business case as the department considers the possibility of having recycling as its own fund, which will be part of the upcoming budget cycle. The pilot program on the comingled recycling has been in place for six months. Sr. Accountant David Power said the department is hauling 150% more material with the new recycling bins. Mr. Gloster said the pilot program was tested in five neighborhoods and went citywide on September 30, 2013. According to research, communities that implemented single-stream recycling saw a 50% increase in participation. The Department is working on eliminating hauling recyclables to a third party; the Department is considering facility enhancements that would allow on-site sorting of these materials for improved resale value. 7. Engineering 7.1 Approve a work order to King Engineering Associates, Inc. Engineer of Record (EOR) in the amount of$190,792.00 to provide planning, design, permitting and other services related to the County Road 193, Grove Circle, and Belcher Area Sewer Expansion Project 0 3-0049-UT); and authorize the appropriate officials to execute same. (consent) This Agenda Item provides for updated planning, design services, and permitting for the construction of new sanitary sewer system to connect areas that are currently served by septic tanks as identified in The City's Sewer System Expansion Feasibility Study of 2012. Work Session 2014-03-17 7 This project will target the County Road 193, Grove Circle, and Belcher Area areas of Clearwater. The new system will connect approximately 80 residential or commercial customers to City's sanitary system. The design phase is anticipated to be complete by December 2014, with the construction phase scheduled for completion by January 2016. King Engineering Associates, Inc. is one of the City's Engineers-of-record, and this work order was negotiated in accordance with the Consultants Competitive Negotiations Act. Sufficient budget and revenue are available in Capital Improvement Program project, 0315-96630, Sanitary Sewer Extension to fund this work order. 7.2 Award a construction contract to Wharton-Smith, Inc. of Sanford, Florida, in the amount of$2,330,020 for construction of the Northeast Water Reclamation Facility Screw Lift Station Upgrades Project 12-0017-UT, which is the lowest responsible bid received in accordance with the plans and specifications for this project; approve a work order to Engineer of Record, Jones Edmunds and Associates, Inc. in the amount of$161,444 to provide Construction, Engineering and Inspection (CEI) services, and authorize the appropriate officials to execute same. (consent) The existing Archimedes Screw Lift Station consists of five, 84-in. diameter, screw pumps with 32-MGD capacity each. The screw pumps have reached the end of their design service life, and the ability to maintain the equipment continues to be problematic and costly. The City desires to upgrade the Screw Lift Station to provide reliable operation and meet the permit, biological nutrient removal, and Class I Reliability requirements. The scope includes upgrading the screw lift station with new screw lifts along with electric motors, controls and appurtenances utilizing the existing screw lift station structure. The project will also include the demolition of the existing screw lifts and electric motors and placing an adjacent submersible pump station out of service. This is a 335-day contract. It is anticipated that construction will start in May 2014 and be completed in April of 2015. Jones Edmunds and Associates, Inc., the engineering design consultant for this project and an Engineer-of-Record for the City of Clearwater, was responsible for the design of the improvements. Six bids were received and Wharton-Smith, Inc. was the lowest in the amount of$2,330,020 for the project. After comparing the Work Session 2014-03-17 8 bids, Jones Edmunds and Associates, Inc. has provided a recommendation to award the construction of the project to Wharton-Smith, Inc. and city staff concurs. The project includes $813,030 (35% of construction cost) worth of Owner Direct Purchased equipment resulting in a tax savings valued at $48,932. Jones Edmunds and Associates, Inc. will be providing CEI Services for this project upon the approval of the Work Order. The Northeast Water Reclamation Facility is located at 3290 State Road 580, Safety Harbor, Florida. The City of Clearwater's Public Utilities Department is responsible for owning, operating and maintaining the Northeast Water Reclamation Facility. Mid Year amendments will increase budget only in Capital Improvement Program (CIP) project 0315-96202, WWTP Screw Pump Replacement of other Governmental Revenues (337900) for Safety Harbor's share of these contracts (4/13.5 of$2,491,464.00) in the amount of$738,211.56 and a transfer of $700,000.00 from CIP 315-96619, WWTP Generator Replacements to 0315- 96202, WWTP Screw Pump Replacement. Sufficient funding is available in Utility R and R project 0327-96202 in the amount $1,053,252.44 for a total funding of$2,491,464.00 to fund these contracts. In response to questions, Engineering Manager Rob Fahey said the item before Council went through a competitive bid process; the low bidder is awarded the contract after reviewing the comprehensive bid package. The prequalification process includes submittal of work history. The Archimedes rotational screw works well hydraulically as it handles variations in water flow. 8. Planning 8.1 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 1732 El Trinidad Drive East (Virginia Grove Terrace, Block 2, Lot 9) together with all Right of Way of El Trinidad Drive East abutting Lots 8 thru 10, Block 2, Virginia Grove Terrace; and pass Ordinances 8541-14, 8542-14 and 8543-14 on first reading. (ANX2014-01001) This voluntary annexation petition involves a 0.184-acre property consisting of one parcel of land occupied by a single-family dwelling. It is on the west side of El Trinidad Drive East, approximately 670 feet north of SR 590. The applicant is Work Session 2014-03-17 9 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 El Trinidad Drive East also be annexed. The property is contiguous to existing City boundaries to the west. 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 El Trinidad Drive right-of-way. Collection of solid waste will be provided by the City of Clearwater. The property is located within Police District III and service will be administered through the district headquarters located at 2851 North McMullen Booth Road. Fire and emergency medical services will be provided to this property by Station 48 located at 1700 North Belcher Road. 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 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 Work Session 2014-03-17 10 The property proposed for annexation is contiguous to existing City boundaries to the west; therefore, the annexation is consistent with Florida Statutes Chapter 171.044. 8.2 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 1255 Union Street, 1353 Union Street, 1964 Chenango Avenue, and 1284 Bertland Way, together with the south half of the Union Street Right of Way abutting Lots 1 and 2, Block D, in Brooklawn Subdivision; and pass Ordinances 8544-14, 8545-14 and 8546-14 on first reading. (ANX2014-01002) This voluntary annexation petition involves four parcels of land totaling 0.561 acres. All parcels are occupied by a single-family dwelling. The four lots are located south of Union Street, east of Douglas Avenue, north of Sunset Point Road (SR 576), and west of Kings Highway. The applicants are 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. All properties are contiguous to existing city boundaries in at least one direction. It is proposed that the properties be assigned a Future Land Use Map designation of Residential Urban (RU) and a Zoning Atlas designation 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 properties currently receive water service from the City. Collection of solid waste will be provided to the properties by the City. The applicants will connect to the City's sanitary sewer service when it is available, and are aware of the fee that must be paid in order to connect and the financial incentives available. The properties are 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 these properties by Station 51 located at 1720 Overbrook Avenue. The City has adequate capacity to serve these properties with sanitary sewer, solid waste, police, fire and EMS service. The proposed annexations will not have an adverse effect on public facilities and their levels of service; and The proposed annexations are consistent with and promote the following objectives of the Clearwater Comprehensive Plan: Work Session 2014-03-17 11 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 these properties. This designation primarily permits residential uses at a density of 7.5 units per acre. The proposed zoning district to be assigned to the properties is the Low Medium Density Residential (LMDR) District. The use of the subject properties is consistent with the uses allowed in the district and the properties exceed the district's minimum dimensional requirements. The proposed annexations are therefore consistent with the Countywide Plan and the City's Comprehensive Plan and Community Development Code; and The properties proposed for annexation are contiguous to existing City boundaries; therefore, the annexation is consistent with Florida Statutes Chapter 171.044. In response to questions, Planner Andrew Hayslip said the Idlewild project included applicants who want to annex into city limits for city sewer service. Applications that are eligible to annex immediately are lumped together. Those that are not eligible to annex right away must complete the agreement to annex process. 8.3 Approve amendments to the Community Development Code addressing the Iocational criteria for community residential homes, the establishment of the planned medical campus and planned medical campus project uses, the establishment of standards regarding valet parking, and the definitions of outdoor storage, planned medical campus and planned medical campus project and pass Ordinance 8540-14 on first reading. On January 21, 2003, the Community Development Board (CDB) approved a Flexible Development application for Morton Plant Hospital to act as a master plan of sorts for the hospital campus. However, over the years, this method of approval has been found to be lacking in flexibility from a hospital planning perspective and staff and the hospital have been searching for a new method to facilitate current and future development of the hospital campus without requiring public hearings Work Session 2014-03-17 12 to make even slight amendments to a prior approval. As such, staff is proposing the following amendments to the Community Development Code (CDC): • Establish Planned Medical Campus Project as a Flexible Standard Development (FLS) use within the Institutional (1) District, and establishes Planned Medical Campus as a Flexible Development (FLD) use within the Institutional (1) District; • Provide for development standards and flexibility criteria for the Planned Medical Campus and Planned Medical Campus Project uses; • Define Planned Medical Campus as land that is planned and developed as a whole in a single development or a programmed series of developments for the purpose of providing medical, diagnostic, and treatment services including physician, nursing, specialized accommodations, and other health services. A planned medical campus may include numerous projects to be constructed over a period of time and will include not only the buildings where various health services will be provided, but also those streets, off- street parking areas, pedestrian and bicycle circulation systems, and utilities serving those buildings; and, • Define Planned Medical Campus Project as a project that is identified as a part of an approved planned medical campus. This term expressly does not include stormwater and utility projects that are not otherwise expressly associated with or required for a primary or accessory use allowed within the campus. In addition, staff is also proposing the following additional amendments to the CDC: • Amend Chart 2-100 to remove Outdoor Retail Sales, Display and/or Storage as a permissible use in the Industrial, Research and Technology (IRT) District and replace it with Outdoor Storage; • Provide a footnote to Tables 2-202, 2-3027 2-402, and 2-502, further illustrating the existing requirement that Community Residential Homes shall not be located within 1,000 feet of one another; • Establish standards regarding valet parking that would only permit such for overnight accommodations uses within the Tourist (T) and Downtown (D) Districts, or within a Special Area Plan; and would require an attendant be available 24-hours per day; and allow certain exceptions to the design standards for parking lots and garages; and, • Define Outdoor Storage as the storage, in an outdoor unroofed area, of merchandise offered for sale as a permitted use or of equipment, machinery and materials used in the ordinary course of a permitted use. This term expressly does not include debris or salvage yards as defined in this section. Work Session 2014-03-17 13 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) will review the proposed text amendment at its meeting of March 18, 2014. In response to questions, Planning Manager Robert Tefft said valet parking for overnight accommodations must be located in the downtown or tourist districts, or a special area plan. The valet parking requirement does not apply to a stand-alone garage. Planning and Development Assistant Director Gina Clayton said the language applies to parking garages that are designed with spaces that do not meet the space requirements. Businesses need to provide all the on-site parking spaces required by code; cannot use valet parking to meet the space requirement. Staff was directed to clarify language regarding the parking criteria for overnight accommodations and use of valet parking. 8.4 Provide direction regarding amending the Clearwater Downtown Redevelopment Plan to allow high and dry marina facilities in the Old Bay Character District in Downtown Clearwater. The Clearwater Downtown Redevelopment Plan (Downtown Plan) effective in 2004 consolidated planning efforts and previous planning documents for the original Community Redevelopment Area, four areas adjacent to Downtown governed by the Downtown Clearwater Periphery Plan, and the expanded Community Redevelopment Area (East Gateway). Three of the most important principles that guided the development of the Plan centered on the need to focus on Downtown's unique waterfront location, the need to attract new residents through the construction of new housing and the need to eliminate blighting conditions such as industrial uses, lack of infrastructure and dilapidated properties. The Downtown Plan established six distinctive Character Districts to govern development. The Old Bay Character District located north of the Downtown Core (Old Bay Character District Location Map) specifically calls for the redevelopment of land west of North Osceola Avenue along Clearwater Harbor with higher- density residential uses (100 to 150 feet in height). Due to its waterfront location, Work Session 2014-03-17 14 this area is a prime residential area that will likely attract redevelopment that will expand the available housing choices and price points in Downtown. Issue A site plan application was filed for a high and dry boat storage facility at 900 N. Osceola Avenue which is located on the west side of North Osceola Avenue and on the most northern parcel of the Old Bay Character District adjacent to a single family zoned neighborhood. The Community Development Board reviewed the application at its July 16, 2013 meeting and after much discussion denied the application due to the proposed use's inconsistency with the Downtown Plan. The applicant is now requesting that City Council consider amending the Downtown Plan to support a high and dry boat storage facility in this location. Background This site was once occupied by the Clearwater Bay Marina and included open and covered boat slips on the water, boat repair and storage on the uplands as well as several small single story buildings. The 2000 update of the Periphery Plan identified this property as a mixed-use (commercial, residential and office) waterfront redevelopment site and then later the 2004 Downtown Plan recognized this area solely for residential development. In January 2005, a 133 unit residential development known as Antiqua Bay was approved for the site. The nonconforming high and dry facilities were demolished and the condominium construction got underway. Unfortunately, the development became a victim of the Great Recession and construction was abandoned at some point after the pilings were constructed. In 2009, the Community Development Board approved an application to reuse the vacant marina slips that still existed at the site. This approval was granted so the owner could enjoy some economic use of the property until the residential market rebounded. The conditions of approval were very clear that the marina could not be commercial in nature, could have no fueling facilities, boat launching or dry storage of boats and the submerged land could not be separated from the upland. Furthermore, there was a condition regarding the need to comply with the Plan's transition guidelines when a residential component is proposed for the site. The property owner is now requesting that City Council abandon its vision for the District and allow the re-establishment of an industrial-like use that was previously eliminated consistent with the Plan's strategic objectives. Recommendation The Downtown Plan establishes a long-term vision for Downtown Clearwater. Staff's caution in this case is to potentially sacrifice long-term vision for short-term gains due to pressures of expediency. The City of Clearwater clearly determined at some point to de-industrialize its downtown harbor front in favor of re- invigorating Downtown as a residential location. Staff does not in any way Work Session 2014-03-17 15 question the viability of a high and dry marina, but rather questions the presumption that long-term viability or desirability of the area to support residential infill development is somehow now misplaced. There is clear evidence that the residential market is beginning to gain some strength and this includes Downtown. On February 18, 2014, the Community Development Board approved a 153-unit rental development essentially across the street from the site at 802 North Fort Harrison Avenue (Proposed High and Dry Location Map). On May 21, 2013, the Community Development Board approved a 52-unit condominium at 400 Cleveland Street in the Downtown Core. Staff has been advised the developer will be filing for building permits in 30 days. The Finale Condominium located at 1590 Gulf Boulevard was approved on April 29, 2013 and is now under construction. A site plan application has been submitted for the Prospect Lake Park project, which includes 257 rental units and the Department, is starting to field serious inquires about the abandoned 1100 Cleveland Street property. The Planning and Development Department believes the current vision for the Old Bay Character District remains valid and should not be changed to reestablish a working waterfront use in an area targeted for new waterfront residential redevelopment. If City Council is inclined to change its vision in favor of a high and dry boat storage facility in this location, it may want to consider this issue as a topic for the ULI Panel Advisory Study. In response to questions, Planning and Development Assistant Director Gina Clayton said the proposed project is a market rate attached dwelling. The City Attorney said staff is not aware of any federal subsidy funds. The house currently on the proposed site will be used for office space. The periphery plan anticipates a waterfront mix-use with commercial and residential projects. The periphery plan did not anticipate a high- dry marina. The last residential project that was approved in this area was going to be 100 ft. high, with a stepback greater than 93 ft. It was stated that the applicant would be present at the council meeting. Support was expressed for a marina at the proposed site. The Council recessed from 2:57 p.m. to 3:04 p.m. 9. City Manager 9.1 Approve the Letter of Intent between Paradise Group, LLC, of Safety Harbor, Florida and The City of Clearwater, Florida concerning the design, finance Work Session 2014-03-17 16 construction, ownership and operation of a parking garage and retail complex at the rear of the Pelican Walk Retail Center on Poinsettia Street; authorize the appropriate officials to execute same and; direct staff to negotiate and prepare the necessary documents to implement the terms and conditions of the Letter of Intent. (consent) Beach by Design, the City Redevelopment Plan for Clearwater Beach, identified the parcel located behind the Pelican Walk Retail Center on Poinsettia Street as a strategic location for a public parking garage to facilitate achievement of the Plan intent to revitalize the Beach, and particularly the Marina District, by increasing visitor/beachgoer parking in the Mandalay /North Beach area as well as freeing up the development potential of the small, waterfront parcels along East Shore through the ready availability of proximate off-street parking. Negotiations with owners of the subject parcel have occurred periodically since 2002, but due to a variety of economic and business circumstances, failed to produce an agreement to allow construction of the garage. During this same period, however, the need for the parking, from both visitor/beachgoer/employee and East Shore development potential standpoints have continued to increase. The need for a parking structure has become evident, and the strategic location of the Pelican Walk parcel has taken on heightened significance. Council members have, throughout this period, indicated to staff the perceived strategic importance of the garage/garage site and urged staff to bring forward for council consideration any viable deal structures that could result in construction of a public parking structure to address the above-stated needs/objectives. Paradise Group, LLC has obtained a purchase option on the Pelican Walk Retail Center and Poinsettia Street lot and has approached the City to discuss a structure to allow construction of the Beach by Design -recommended parking structure in conjunction with a repositioning of the Pelican Walk Retail Center. Their purchase option expires on June 1, 2014, necessitating an expeditious response by the parties. Paradise Group, LLC and city staff have met to discuss parameters of a deal structure to meet developer requirements to complete acquisition of the complex, as well as city financial, legal and policy constraints. The Letter of Intent reflects the results of those discussions. The Letter of Intent provides, among other provisions, that Paradise Group would construct and operate the garage until the City put obligation of$9.3 million expires in July 1, 2016, after which the City would purchase 450 spaces of public parking via a condominium arrangement. The purchase price would total $11, 314, 800, or $25,144/space. Paradise would retain ownership of the ground floor, Work Session 2014-03-17 17 through condominium, for employee parking, service access/egress and 11,000 sq. ft. of retail facing Poinsettia Street and construct 50 spaces in the garage for Pelican Walk Retail parking in the garage structure. The option to add additional spaces to the City condominium prior to design, at $25, 441/space, is provided. Since the Paradise Group, LLC is constructing and operating the garage until 2016 to bridge until the L.O. M. put obligation is released, as a concession to the City, the City would be obligated to fund up to the first $ 250,000 of operating loss against a gross revenue hurdle return of$1,250,000 annually. Any additional operating deficit would be the responsibility of the Paradise Group. The agreement is subject to a financial feasibility study of the projected garage, acceptable to both parties, and memorialization of the terms and conditions in the necessary Development Agreement, purchase contract, condominium documents and development approvals. Funding for the transaction is anticipated to be the $9.3 million L.O.M. put option reserve, anticipated to be available after June 30, 2016, combined with $2, 014,800 from the Parking Fund. An alternate could be the issuance of revenue bonds against the pledged revenue of the parking fund. In response to questions, Assistant City Manager Rod Irwin said the parcel was subdivided many years ago but later re-unified in order to meet code setback requirements. The developer is in discussions with Sandpearl regarding leasing spaces. The construction meets code and Beach by Design requirements. Mr. Irwin said the finish us compatible with North Beach. In regards to cost, each parking space will cost $25,144. A different proposal presented to Council in the past was deemed too expensive and the construction technology was unproven on the beach in terms of corrosion. Engineering Director Mike Quillen said Council discussed an alternative parking plan years ago in the Rockaway parking lot there the fire station and green space is located. The beach recreation center parking surface area was discussed but it was determined to be too small. Mr. Quillen said the City's cost per space for the current project was calculated at $18,000, plus 15% for soft cost design and $2 million was added for land value. Mr. Quillen said the parking structure is seven levels, which includes the retail level on the ground floor. Each parking deck would have just under 100 spaces. Mr. Irwin said a financial feasibility study was being conducted to study the cash flow on the garage and would be available before the deal is finalized by both parties. The developer is interested in possibly leasing the spaces on the top floor of the garage and Work Session 2014-03-17 18 the city have the first right of refusal should they decide to. This stipulation will be formalized in the agreement. Concern was expressed regarding the traffic backup out of the garage and exiting the beach. The City Manager requested guidance as to when Council would expect a traffic analysis report in regards to traffic patterns to and from the garage and the roundabout. 10. Official Records and Legislative Services 10.1 Appoint Suzanne Ruley as the Clearwater Arts Alliance, Inc. representative and reappoint Alex Plisko, Jr. to the Public Art and Design Board with terms to expire March 31, 2018. (consent) There was consensus to reappoint Alex Plisko and appoint Suzanne Ruley. 10.2 Pinellas County Aircraft Noise Abatement Task Force Appointment Discussion was deferred to Thursday's council meeting. 11. City Manager Verbal Reports — None. 12. Council Discussion Items 12.1 BayCare Health System BayCare Health System has asked the City to urge the Florida Legislature to repeal the tiered reimbursement model as laid out in F.S. 409.97. Local communities that provide local public health funds to the Medicaid system should retain the full benefit of those taxes for their neighborhood providers. Beginning July 2014, these funds will be reimbursed statewide and not to areas of need. In response to a question, the City Clerk said according to the literature provided by BayCare, it states no tax dollars are being used and references the use of intergovernmental transfers. She said she would contact BayCare's government representative for detailed information. Concern was expressed that the Tampa Bay area stands to lose funds to the Medicare program. Funds from this area will be used to subsidize indigent care in other areas of the State. 13. Closing Comments by Mayor Work Session 2014-03-17 19 11.1 City Manager Verbal Reports The City Attorney requested that the special work session on Sunshine Laws and Public Records be rescheduled due to a Councilmember's scheduling conflict. There was consensus to reschedule the meeting to Friday, March 21 at 1:00 p.m. 14. Adjourn The meeting adjourned at 3:47 p.m. Work Session 2014-03-17 20