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10/12/2015 Council Work Session Meeting Minutes October 12, 2015 City of Clearwater City Hall 112 S. Osceola Avenue Clearwater, FL 33756 B I d, I 0 T Meeting Minutes Monday, October 12, 2015 1 :00 PM Council Chambers Council Work Session Page 1 City of Clearwater Council Work Session Meeting Minutes October 12, 2015 Roll Call Present 5 - Mayor George N. Cretekos, Councilmember Doreen Hock-DiPolito, Councilmember Hoyt Hamilton, Councilmember Bill Jonson, and Vice Mayor Jay E. Polglaze Also Present: William B. Horne I I — City Manager, Jill Silverboard —Assistant City Manager, Rod Irwin, Assistant City Manager, Pamela K. Akin - City Attorney, Rosemarie Call - City Clerk, and 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 Cretekos The meeting was called to order at 1:00 p.m. at City Hall. 2. Presentations — Given. 2.1 Service Awards - October Thirteen service awards were presented to city employees. 2.2 Firefighter Oaths The City Clerk administered the Oath of Office to firefighters Ryan Carrington, James Parks, Carlos Pellitero, David Sellman, Paul Sudduth, and Joshua True. 3. Library 3.1 Provide an overview of the current state of the discussions with St. Petersburg College on developing the joint use facility with the East Library Branch and show preliminary schematic drawings of the proposed facility. (WSO) On October 4, 2012, the Council approved a Memorandum of Understanding with St. Petersburg College to begin planning for a joint use facility with the Page 2 City of Clearwater Council Work Session Meeting Minutes October 12, 2015 SPC Clearwater Campus Library and the Clearwater East Branch Library. On September 15, 2015, the SPC Board of Trustees saw the preliminary schematic drawings for that facility and draft documents for an Interlocal Agreement for building the structure and an Operating Agreement for ongoing operations. They approved moving forward and giving Dr. Law the ability to finalize those agreements once final numbers were know and included. SPC Clearwater Provost Dr. Stanley Vittetoe will review the drawings and Project Architect Leo Arroyo will be available to answer questions. City staff is still working on the draft documents, which will not be presented at this time, but staff will answer questions about the proposals as they now stand. Documents anticipated to go to Council for final approval include an Interlocal agreement for building construction and an operating agreement. Current estimates project an approximate commitment of$5.9 million for the city portion of this project, but that is not firm yet. It does fall within the available funding from Penny III set aside for the East Branch project. Dr. Vittetoe reviewed the proposed schematics of the joint use facility. In response to questions, Library Director Barbara Pickell said the current East Library branch is approximately 16,000 sq.ft.' the City's portion of the new joint-use facility will be 10,000 sq. ft. and approximately 6,000 sq. ft. for shared-use space. Staff anticipates the operating costs for the new facility will be approximately the same as the existing facility. The cost to construct the new 22,000 sq. ft. Countryside Library was $6.2 million. St. Petersburg College (SPC) Clearwater Provost Dr. Stan Vittetoe said the current parking lot has 100 spaces, the proposed project will add 80 parking spaces that will be dedicated to the city library patrons. The exterior finish of the proposed building has not been finalized. Dr. Vittetoe said SPC's portion of the dedicated space is approximately 15,000 sq. ft. In response to a concern, Ms. Pickell said the joint-use facility was designed so that city patrons would not have access to the College's library when closed and vice versa. The usage by the public is higher than the usage by the college. It was not expected that the College operate the City's library when it is closed. The college library will be open prior to the City's library operating hours and close during winter semester breaks. Dr. Vitettoe said neither organization has sufficient staffing to support the other's library without additional staffing. The College uses the Library of Congress classification system, while the City uses the Dewey Decimal system. Dr. Vitettoe said considerations can be given to maintain certain areas of the joint-use facility open and not impact staffing. The College will maintain its Hispanic outreach efforts, plans include a cultural center, an artifacts display in the lobby, and Page 3 City of Clearwater Council Work Session Meeting Minutes October 12, 2015 incorporating colors found in Hidalgo, Mexico throughout the interior design. SPC President Dr. Law said the College is committed to completing the project and providing a library which is able to serve the public and college community. Creative Contractors Inc. is providing the value engineering for the project. College libraries are expected to provide internet access, study group areas, and resources needed by students to complete work assignments. Architect Leo Arroyo said the facility will have an educational construction quality,steel frame with masonry. Windows cost at least three times more than masonry work. Windows are used to create an ambiance that allows students and library patrons to work together. A glass wall will be used to close-off the City or College portion when not in operation while maintaining access to the common areas. Mr. Arroyo said a three-dimensional drawing is forthcoming. Dr. Vitettoe said there are 100 parking spaces available. When the administration building is removed, there will be 80 additional spaces. The Council recessed from 1:58 to 3:42 p.m. to meet as the Pension Trustees. 3.2 Approve contracts (blanket purchase orders) for Baker and Taylor and Ingram Library Services for the acquisition of library books and materials for the contract period of October 1, 2015 through September 30, 2016, and authorize the appropriate officials to execute same. (consent) Award blanket purchase orders to Baker and Taylor, Atlanta, GA- $215,000; and Ingram Library Services, Atlanta, GA - $140,000; for the acquisition of library books and other materials. The purchase orders will be used for numerous small dollar purchases. Both Baker and Taylor and Ingram Library Services are State of Florida vendors on Contract number 715-001-07-1, valid through February 28, 2017. Authorization for the blanket purchase orders is requested pursuant to Code Section 2.564(1)(d) utilization of another governmental entity's bid. APPROPRIATION CODE AND AMOUNT: Appropriation Code: 0010-01731-564400-571-000-0000 Amount: $355,000 Page 4 City of Clearwater Council Work Session Meeting Minutes October 12, 2015 3.3 Approve an Interlocal Agreement between the Clearwater Community Redevelopment Agency (CRA) and the City of Clearwater to provide CRA funding in Fiscal Year 2015-2016 in the amount of$99,600 to underwrite activities in the Clearwater Main Library that support community learning in the areas of Science, Technology, Engineering and Math, entrepreneurship and small business growth and development pursuant to the recommendations of the Urban Land Institute report on economic enhancement of the downtown Clearwater area and authorize the appropriate officials to execute same. (consent) The Clearwater Main Library is a partner in the Clearwater Business Spark! ecosystem of organizations working to support the development of entrepreneurship and small business startup in the downtown Clearwater area. This partnership was prompted by the ULI report recommending public/private partnerships to encourage business growth in this area. The Main Library has a prominent position in the CRA area, and will provide education and training in the Business and STEM areas through research opportunities, STEM maker space areas, classes and tutorials and meeting accommodation. The CRA funding will pay one staff member to oversee these functions, assist with additional library hours to make the facility available when needed by the business community and provide educational and training opportunities. Funding will be from the CRA budget. 4. Economic Development and Housing 4.1 Approve a grant of$75,000 in General Fund Reserves to be set aside as a commitment for the local government contribution that is required for applicants to participate in the State of Florida's Low Income Housing Tax Credit Program (LIHTC) to SP Trail LLC for Chestnut Trail, a proposed 80-unit senior affordable rental housing development to be developed by Southport Development, Inc.; and authorize the appropriate officials to execute same. (consent) On September 11, 2015, the City's Economic Development and Housing Department released a Request for Applications (RFA) for projects seeking a local government contribution to apply for the Fiscal Year 2015-16 State of Florida Low Income Housing Tax Credit Program (LIHTC). The City received one proposal on September 25, 2015. The selection committee, made up of Economic Development and Housing, Planning and Development and Engineering staff, met and ranked the applications through its published ranking process. The selection committee recommends Chestnut Trail to receive the local government contribution set aside. Page 5 City of Clearwater Council Work Session Meeting Minutes October 12, 2015 The subject site is located at 645 Chestnut Street. The apartments consist of 80 one- and two-bedroom units located in one building, 5-stories tall and inclusive of a level or two of parking that will serve the elderly demographic. The estimated total development cost will be $17,900,000. Some of the amenities in the project include an office, community/clubhouse, grill area with picnic tables and a car care area. The resident programs include literacy and computer training and daily activities. The literacy training will be a weekly lesson available to all residents who choose to participate. The daily activities program will include on-site, supervised, structured activities at no cost to the residents. The proposed development team is Southport Development, Inc. (Developer), Vaughn Bay Construction, Inc. (Contractor), and Architectonics Studio, Inc. (Architect) who have successfully worked together on the development of more than 10 affordable housing communities over the last 5 years to include Burlington Senior Living located in St. Petersburg, FL. Chestnut Trail is located in the downtown Core Character District of the Clearwater Downtown Redevelopment Plan. This site, three quarters of an acre (0.74), is a good use as affordable elderly-rental housing because it takes advantage of the location of nearby amenities, including the Pinellas Trail, grocery store and bus stops. Otherwise, this would be a difficult site to develop as an urban building given the character of Chestnut Street. Staff is recommending a funding commitment to Chestnut Trail as the only project using $75,000 from General Fund Reserves and/or a combination of funds from the Housing Division if available at the time of project award. According to LIHTC program rules, only one project per Large County will be funded for development through this tax credit cycle. The application period for the LIHTC Program for Large Counties (Broward/Palm Beach/Duval/ Hillsborough/Orange/Pinellas) opened on September 21, 2015 with applications due November 5, 2015. The final board approval is scheduled for May 2016. If no City of Clearwater projects are funded, the commitment for General Fund Reserves would be released. As background, the Low Income Housing Tax Credit Program is governed by the U.S. Department of Treasury under Section 252 of the Tax Reform Act of 1986 and Section 42 of the Internal Revenue Code, as amended. The program was established to provide for-profit and non-profit organizations with a dollar-for-dollar reduction in federal tax liability in exchange for the acquisition and substantial rehabilitation or new construction of low and very low-income rental housing units (60% of the Area Median Income and below with a set aside for 40% of AMI and below). In this application cycle, the minimum value of contributions required from a government agency for a Tax Credit Program application to receive the maximum points is $75,000. It is staff's understanding, that in order to meet this requirement, the local government needs to make a commitment to each project they support. Page 6 City of Clearwater Council Work Session Meeting Minutes October 12, 2015 USE OF RESERVE FUNDS: The balance in General Fund reserves is approximately $28 million, or 22.5% of the 2015/16 General Fund operating budget. In response to a question, Engineering Director Mike Quillen said the Railroad Quiet Zone will stretch into this area. Economic Development and Housing Director Geri Campos Lopez said it is anticipated that the State will announce the award in May. Funding distribution is expected within eight months of the award announcement. 4.2 Approve State Housing Initiatives Partnership (SHIP Program) Close Out Annual Report for Fiscal Year 2013-2014. The Florida Legislature enacted the Williams E. Sadowski Affordable Housing Act in 1992. This act created a dedicated revenue source for the state and local housing trust funds. This dedicated revenue source funds state and local housing programs and assists local governments in meeting the housing needs of its population. The Sadowski Act created the State Housing Initiatives Partnership (SHIP) Program. Through the SHIP Program, Economic Development and Housing has provided funding for the following housing activities: down payment and closing costs assistance for existing structures, the rehabilitation of owner occupied single-family dwellings, the acquisition and rehabilitation of existing dwellings, and the construction of new dwellings in the City's target and revitalization areas. For fiscal year 2013-2014, The Florida Legislature did not award any dollars from the dedicated revenue source to the SHIP Program, however, the legislature created Senate Bill 1852 from the National Mortgage Settlement. The City received $158,624 from the national mortgage settlement for fiscal year 2013-2014. The money received from the settlement was to be used according to SHIP statutes, rules and the parameters of the City's local housing assistance plan. Senate Bill 1852, provided a shortened expenditure deadline for fiscal year 2013-2014, and required that twenty percent of the allocation received should be used for special needs households. All local governments provided with fiscal year 2013-2014 settlement funds must submit to Florida Housing Finance Corporation their close out annual reports by October 31, 2015. These annual reports provide details of how funds were expended. For fiscal year 2013-2014, the Housing Division used the $158,624 from the mortgage settlement received from the State and over $128,960 in SHIP program income to assist 24 households and met the fundamental requirement of Senate Bill 1852 by assisting over 10 special needs households. Page 7 City of Clearwater Council Work Session Meeting Minutes October 12, 2015 5. Finance 5.1 Approve settlement of workers' compensation claim of Mr. Christopher Buehler, for payment of$100,000.00 inclusive and authorize the appropriate officials to execute same. (consent) On February 24, 2015 Mr. Buehler filed a workers' compensation claim for date of injury September 15, 2014, alleging that he received an on the job injury to his left hand. This claim was denied. The claimant and his attorney have agreed to settle this claim for$100,000 inclusive of attorney fees and costs. Under the settlement terms the claim will remain denied and all treatment relating to this injury will continue to be paid under group health insurance. The entire indemnity and medical claims and all attorney fees and cost would settle per statute for a total settlement of$100,000. The City's Risk Management Division; outside attorney for the City of Clearwater, Mark Hungate with Banker Lopez Gassler, P.A.; and the City's Claims Committee recommend approval. Funding for the payment of this settlement is available in the budget for claims expense in the Central Insurance Fund APPROPRIATION CODE AND AMOUNT: 0590-07000-545800-519-000-0000 $100,000.00 6. Human Resources 6.1 Authorize the funding of city medical insurance and a contract between the City and Cigna Healthcare for administrative services under a partial self-insured funding arrangement for the period January 1, 2016 through December 31, 2016, at a total not-to-exceed $18.2 million, to be funded through city budgeted funds, and payroll deduction of employee premiums. (consent) For plan year 2016, an actuarially supported renewal based on the City's claims trending projected an increase of 7.7% in funding of the plan based on Page 8 City of Clearwater Council Work Session Meeting Minutes October 12, 2015 an increase in rates, in order to maintain the current plan design and participation in Cigna's Local Plus Network. The Local Plus Network recognizes a sub-group of physicians within their network that are achieving optimal outcomes in patient care and cost savings. While participation in this plan reduced the City's calendar year medical claims cost by 6.1%, a 35.2% increase in pharmacy claims costs actually increased overall plan costs by 2.4%. The proposed renewal will maintain the existing PHA Cigna Local Plus Network plan option while offering a new buy-up plan option that will enable participants to utilize the Cigna Open Access Plus network. Participants will still be required to complete a Personal Health Assessment through the Employee Health Center in order to be eligible for one of these plans. Participants, who choose not to complete the PHA, will be enrolled in a base plan with a different schedule of benefits. This proposed renewal will incorporate mental health, substance abuse, and EAP coverage. The City's Benefits Committee voted unanimously to recommend to City Council that the proposed plan design, rates, and health assessment requirements be adopted and Cigna be retained as the administrator of the City's account for 2016. The recommendation also maintains the current funding strategy for city contributions of 100% of the cost of employee coverage, 75% of the cost of Employee plus one coverage, and 68% of the cost for Employee plus Family coverage. City staff concurs with the Benefits Committee recommendation. The cost of implementing this plan option would result in an increase to the City's contribution of an estimated $1.4 million, or 10.8% for calendar year 2016 versus the prior year. Approximately $1 million of the increase is attributable to the estimated 7.7% increase in funding rates per above. The remaining $400 thousand is attributable to an increase in the covered headcount resulting from an increase in covered positions during Fiscal Year 2015, along with new positions budgeted for Fiscal Year 2016. The total estimated calendar year 2016 cost is $18.2 million ($14.4 million City share, $3.8 million employee/retiree/cobra share). For fiscal year 2016, the City has budgeted $14.7 million for approximately 1632 full time positions for the City's share of medical insurance coverage. The City's estimated fiscal 2016 employer costs per this recommendation are estimated at$14.1 million resulting in an estimated budget surplus of$600 thousand. Human Resources Director Joe Roseto provided a PowerPoint presentation. Page 9 City of Clearwater Council Work Session Meeting Minutes October 12, 2015 Staff was directed to take the item off the Consent Agenda. 7. Parks and Recreation 7.1 Approve a recommendation by the Public Art and Design Board for the commission of a public art installation for the Main Branch Library located at 100 North Osceola Avenue, as designed by artist Douwe Blumberg, for a total cost of$52,260.94 to be funded from Main Library Entryway Improvement Funds (CIP 315-93529). (consent) The theme and scope of this artwork commission was determined with input from representatives of the Public Library system, patrons of the Main Library, and citizens from the downtown community. The desired intent of this project is to commission public artwork that serves as an artistic enhancement to the main entry courtyard at the City's Main Branch Library. The Public Art and Design Board appointed a five-member Selection Panel comprised of individuals representing specified interests and expertise as follows: Jerri Menaul (Chair), Public Art and Design Board representative Michelle Arnold, Public Library System representative Denis Gaston, Community representative/artist Jan Nickols, Community representative Linda Rothstein, Public Library System representative A nationwide Call to Artists was issued and received 111 artist applications. The Selection Panel met to review all applicant credentials and artworks and selected artist Douwe Blumberg, as his 'Silver Sentinel' artwork and its solid, yet playful, aesthetics best fit the theme and artistic desires of the project stakeholders. A representative sample of Mr. Blumberg's past work is included to show his skill and attention to detail. Mr. Blumberg submitted two proposals, reminiscent of 'Silver Sentinel' in design, but tailored for the Main Library. The final product will be a composite of the proposals included in the agenda packet and the original source design of 'Silver Sentinel.' On August 27, 2015, the Public Art and Design Board unanimously approved the recommendation to commission Mr. Blumberg based on his proposal design and the potential for future customization. The Board is recommending the commission of this artist's proposal of public artwork to the City Council. This item supports the City's Strategic Vision by providing public art for the citizens and visitors of Clearwater, making the city a better place to live, learn, work, visit and play. This commission represents the City's ongoing commitment to the Public Art and Design Program through commissions of public art for city capital improvement projects, a process that is not affected by the mandatory to voluntary transition of the Public Art in Private Development program. Page 10 City of Clearwater Council Work Session Meeting Minutes October 12, 2015 APPROPRIATION CODE AND AMOUNT: Funds are available in cost code 315-93529, Main Library Entryway Improvement Fund to fund this contract. In response to questions, Recreation Specialist Christopher Hubbard said the piece will be installed in the western side of the Main Library inside the gate, which is primarily unused space within a fenced area. The artist has ensured that no piece of the sculpture will fall below a 12-ft. ceiling. The color palette will be more reminiscent of Clearwater sunsets. The piece will compliment the children storytime programming. 7.2 Approve blanket purchase order for sod services to Lira Sod, Inc. of Lake Placid, Florida, in the annual amount of$250,000 (Invitation to Bid 63-15), and two one-year renewal terms at the City's option and authorize the appropriate officials to execute same. (consent) Staff is requesting a blanket purchase order be issued to Lira Sod, Inc. (Lira), to provide sod services including the delivery, grading, staking and installation of Bahia, Saint Augustine and Bermuda sod for Fiscal Year 2015/16. Invitation to Bid 63-15 was issued and three bids were received. Of the three bidders, Lira submitted the lowest most responsible bid for the work being requested. Lira has worked for the City in the past and has an exceptional record of performance and very responsive to City needs and their turnaround time for sod work is very good. Lira is familiar with all rules, regulations and standards required by the City of Clearwater. This contract will be used for the many maintenance projects and capital improvement projects in the Parks and Recreation Department. In addition it can be used by other City departments that might need sod work done during the year. APPROPRIATION CODE AND AMOUNT: Funding for the Blanket Purchase Order will come from a variety of general fund cost centers but primarily from projects, parks and athletic codes as well as various Capital Improvement Project codes. Page 11 City of Clearwater Council Work Session Meeting Minutes October 12, 2015 7.3 Approve the Purchase Contract for the City's purchase of real property located at 2375 N.E. Coachman Road, Clearwater, FL, with a purchase price of$210,000 and total expenditures not to exceed $223,700 including an environmental audit, demolition expenses and closing costs; authorize the appropriate officials to execute same, together with all other instruments required to affect closing; and transfer funds from Open Space impact fees to Park Land Acquisition (CIP315-93133), at first quarter to cover this purchase. (consent) The subject property is located at 2375 N.E. Coachman Road. The property is approximately 47,108 square feet and contains a single family residential structure. The property has 210 feet of frontage on N.E. Coachman Road and is bordered by Northeast Coachman Park on the other three sides. If acquired, the current residential structure as well as any other structures on the site including fencing will be removed and the land will be used to increase the size of Northeast Coachman Park. Northeast Coachman Park is a heavily used passive park, which is home to an 18-hole disc golf course. The availability of this additional acreage will allow park users additional space to enjoy passive park uses as well as provide space to modify the existing disc golf course. Nash and Associates Appraisal Services, Inc. performed an appraisal and valued the property at$210,000 with a valuation date of August 7, 2015. Acquisition Costs for the Purchase of 2375 N.E. Coachman Road: Purchase price $210,000 Environmental Audit $2,200 Closing costs $500 Demolition $10,000 + 10% contingency $1,000 TOTAL $223,700 APPROPRIATION CODE AND AMOUNT: A first quarter budget amendment will transfer$223,700 of Open Space impact fees from the Special Development Fund into project 315-93133 Park Land Acquisition. 7.4 Approve a blanket purchase order to LM Scofield Company of Rutherford, NJ for the purchase of Scofield Revive Color Stain for $172,800, includes shipping and 10% contingency, to be used to refurbish Beach Walk, and authorize the appropriate officials to execute same. (consent) On August 6, 2015, Council approved increasing Capital Improvement Project 315-03633, Pier 60 and Beach Walk Repairs and Improvements, by $335,000 Page 12 City of Clearwater Council Work Session Meeting Minutes October 12, 2015 to provide funding for the refurbishment of the concrete walkways associated with Beach Walk (approximately 177,450 sq. ft.) to be funded by the transfer of $335,000 from general fund reserves at third quarter. The blanket purchase order to LM Scofield Company is for the material (stain) required for application at Beach Walk to restore the concrete to its original installed finish. The product is being purchased as a sole source in accordance with City Code Section 2.564(1)(b) Exceptions to Bid - Sole Source. Justification for the sole source includes: the stain formula is proprietary; the colors required must be custom ordered for an exact match (Scofield specifically designed the original colors for Beach Walk); the Beach by Design ordinance requires the concrete colors to be maintained; and the results with this product are known. Bid Number 71-15 is currently advertised and posted for the stain application services. The contract for these services is anticipated to be less than $100,000. It is estimated that the life of the concrete restoration will be approximately five years. The project will be completed prior to Spring of 2016. APPROPRIATION CODE AND AMOUNT: Funding for this Purchase Order will come from 315-93633, Pier 60 & Beach Walk Repairs and Improvements. In response to a question, Parks and Recreation Director Kevin Dunbar said originally the color stain was within the concrete. This product would revitalize the concrete and bring it back to its original appearance. The Department contracts out the pressure washing of Beach Walk. The cost to pressure wash the entire length of Beach Walk is approximately$3,500. This is will be the last year that Chalk Walk will be held in front of Surfstyle, the event will be relocated to the main walkway in Pier 60 Park next year. Pier 60 Park is not a stained concrete and will be easier to clean up. 7.5 Approve a Sovereignty Submerged Lands Fee Waived Lease between the Board of Trustees of the Internal Improvement Trust Fund of the State of Florida (Lessor) and City of Clearwater (Lessee) for the use of State sovereignty submerged land to construct a boardwalk and a pier at the eastern most terminus of Papaya Street where it ends at the seawall part of the Marina District Boardwalk project and authorize the appropriate officials to execute same. (consent) Page 13 City of Clearwater Council Work Session Meeting Minutes October 12, 2015 On August 14, 2013, the Council approved the Marina District Boardwalk and Entry Nodes Capital Improvement Project, 315-93639, for $606,510 from undesignated Special Development Fund retained earnings, to design and construct three access entry nodes for the future Marina District Boardwalk at Baymont Street, Papaya Street and the pedestrian walk under bridge at SR 60. The City has completed designs for the Papaya Street entry node and staff has been attempting to get the necessary permits approved by State, County and local officials to move forward with this portion of the project. The design of the Papaya Street end node is to construct a portion of the boardwalk that will eventually become a part of the much greater boardwalk that ties together all of the properties from SR60 to Baymont Street as well as a public observation pier that extends approximately 100 feet into the intercostals waterway. In order to do so, the Lessor requires the City to execute a Sovereignty Submerged Lands Fee Waived Lease. This lease is common to other such leases the City has obtained from the State and will allow the City to construct the necessary amenities necessary to complete this portion of the project. Additional permits in process for this project include Pinellas County Navigation and U. S. Coast Guard. This item supports the City's Strategic Vision to provide quality facilities (Clearwater Beach) for not only the enjoyment by residents but to help promote tourism and is fiscally responsible in that it partners with the private sector to provide public facilities. In response to a question, Parks and Recreation Director Kevin Dunbar said each private property owner will build their section of the boardwalk. The City will build the boardwalk section in front of Papaya Street, the dock that goes out, the promenade area, and sections at both ends (i.e., roundabout area and Belle Harbor). 7.6 Capitol Theatre Operating Agreement Reserve Fund Review. (WSO) The City Council requested a review of the Reserve Fund in October 2015. This is independent of the agreement review requirement of the Reserve Fund to be conducted in December 2016. The Operating Agreement required a Reserve Fund to be used to the meet the costs of operation and maintenance of, and to pay for city approved capital improvements to the Capitol Theatre to the extent there are insufficient gross Page 14 City of Clearwater Council Work Session Meeting Minutes October 12, 2015 revenues generated at the Capitol Theatre. This is to be established through deposits made by Ruth Eckerd Hall, Inc (REH). The initial Operating Agreement required $3,000,000. This amount was reduced to $2,750,000 when the Fifth Amendment to the Operating Agreement was approved in December, 2014. To date, the City has received $1,250,000. The next installment payment of$500,000 to the Reserve Fund is due on December 17, 2015. In compliance with the Operating Agreement, the 2014 annual report demonstrates that REH has exceeded the 100 performances required by the agreement, and the year-end financial statement. Their next annual report is due on December 31, 2015. Also in compliance with the Operating Agreement, REH submitted a Capital Improvement Plan (CIP) necessary for the maintenance of the facility for a 10-year period. The City's Building and Maintenance Division reviewed this document and performed a building inspection on August 4, 2015. The inspection report included areas of concern and additional recommended CIP items (in red at the end of the report). The Building and Maintenance Division conducted a second inspection on October 5, 2015, and found a few remaining items (1 c, 2a, 2b, 2d, 4a, and 5b). Due to the results of the inspection report and the addition of CIP items, and to establish a detailed long term capital and maintenance plan for the facility for the next 20 years, the City has contracted with Fowler Associates Architects, Inc (in partnership with McCarthy and Associates, Inc. and Delta Engineering) to create a detailed capital reserve study. The study will include component inventory, condition assessment, life and valuation estimates, and a funding plan. This report is due by November 23, 2015 and will be presented to City Council at the December 3, 2015 City Council meeting. In response to questions, Administrative Support Manager Felicia Donnelly said REH is discussing how to address the exterior wall cracks with consultants Steve Fowler and Delta Engineering. McCarthy Engineering is the structural engineer under contract. The original work order estimates for the exterior wall cracks detailed in Exhibits 1 and J was $40,000 - $70,000. Staff was directed to provide information regarding the status of the exterior wall findings and railing failure. The City Manager said if this item is placed in a larger context, staff has been asked by REH not to stay within the designated deposit schedule for the maintenance fund. Staff provided the update to keep council informed before REH submits another request. Page 15 City of Clearwater Council Work Session Meeting Minutes October 12, 2015 7.7 Approve the City Manager's/Director of Parks and Recreation's recommendation to self-insure against risk and loss for claims, which arise from those activities directed by the City or within the City's care, custody and control during the Clearwater Jazz Holiday music festival. (consent) Clearwater Jazz Holiday is in its 36th year of providing a signature event in partnership with the City of Clearwater at Coachman Park. This year's music festival is scheduled from October 15, 2015 through October 18, 2015. The City of Clearwater provides the use of Coachman Park, maintenance of the grounds and infrastructure set up for the festival and all of festival and concert events held there. Currently, the City's self-insurance covers all events in Coachman Park with the exception of Clearwater Jazz Holiday and WILDSPLASH, which each are required to list the City as an additional insured for all activities in the park during the events. Clearwater Jazz Holiday is requesting, and staff is recommending, that their policy no longer list the City as an additional insured and the City has agreed to bear the risk of those claims, which arise from those activities directed by the City or within the City's care, custody and control. Clearwater Jazz Holiday is making this request due to rising insurance premiums and ability to procure credible insurance coverage for facilities and infrastructure that are not under their control. Clearwater Jazz Holiday will still continue to procure an insurance policy that generally covers those claims that arise from the Foundation's production and operation of the music festival. Approval of this item will not increase the City's insurance premiums (the City will self-insure) but does increase the City's exposure to potential claims arising from this event. In response to a question, Parks and Recreation Director Kevin Dunbar said Jazz Holiday will continue to have their own insurance for the production of the event. If Item 7.7 is approved by council, the City will be responsible for what the City does. 8. Engineering Page 16 City of Clearwater Council Work Session Meeting Minutes October 12, 2015 8.1 Deny the request from 200 Garden, LLC to vacate the alley located within the 200-block between North Fort Harrison Avenue and North Garden Avenue; and reject Ordinance 8776-15 on first reading. (VAC2015-07) 200 Garden, LLC has requested the vacation of the alley lying within the 200 block between North Fort Harrison Avenue and North Garden Avenue. The right-of-way is 16-feet wide and is posted one-way westbound. The office building at 200 N Garden is south of the alley and their parking area is north of the alley. The property owner is requesting the vacation to eliminate cut-through traffic to improve safety conditions for employees crossing the alley on foot. There are public and private utilities located within the right-of-way. If approved, the City will retain a utility easement over the vacated area and the ordinance requires the property owners to grant easements to Duke Energy and Verizon Florida. Ordinance 8776-15 also retains an easement for ingress and egress over the east 140 feet for solid waste collections by the City. Two other entities own property fronting the alley proposed for vacation; both have submitted letters of no objection. The staff recommendation for Council to deny the request was brought forth by the Planning and Development Department. Vacating this right-of-way would be contrary to the Design Guidelines of the Clearwater Downtown Redevelopment Plan as adopted by City Council. The following conditions are considered inappropriate according to the Design Guidelines: • Vacating existing rights-of-way to form consolidated blocks without providing alternative pedestrian and vehicular access to serve the proposed development and vicinity. • Large blocks which prohibit pedestrian access through the block and/or prohibit access within and around the development. In response to this objection, the property owner indicated that he would be willing to allow continued pedestrian access through the alley. Item pulled. 8.2 Approve a Construction Manager at Risk proposal from Keystone Excavators Inc., of Oldsmar, Fl, in the amount of$121,220.00 for construction of Sand Key Beach Access Parking Lot Improvements, and authorize the appropriate officials to execute same. (consent) On June 6, 2013, the Council approved the use of Construction Manager at Risk Services (CMR) for Continuing Contracts with Biltmore Construction Co., Inc. of Belleair, FL; Peter Brown Construction Solutions of Clearwater, FL; Certus Builders, Inc. of Tampa, FL; Creative Contractors, Inc. of Clearwater, Page 17 City of Clearwater Council Work Session Meeting Minutes October 12, 2015 FL; Honeywell Building Solutions of Orlando, FL; Keystone Excavators, Inc. of Oldsmar, FL; and J. Kokolakis Contracting, Inc. of Tarpon Springs, FL for a period of three years. These firms were selected in accordance with Florida Statutes 255.103 and 287.055 under Request for Qualifications 15-13 based upon construction experience, financial capability, availability of qualified staff, local knowledge and involvement in the community. The City is obligated to provide public parking near its beach access points through an Interlocal Agreement with Pinellas County for Beach Nourishment Eligibility. The unimproved grass lot located at 1371 Gulf Boulevard has satisfied the number of parking spaces required in this area for several years. The grass lot has since deteriorated and this project will stabilize the parking surface. Additional improvements will include irrigation, groundcover and landscaping at a cost of$13,150.00 by the Parks and Recreation Department. Future maintenance of the lot will be handled by the Parks and Recreation Department. APPROPRIATION CODE AND AMOUNT: 0315-92654-56350-545-000-0000 $121,220 Funds are available in Capital Improvement Program project 315-92654, Parking Lot Improvements, to fund this contract. In response to questions, Environmental Manager Ed Chesney said geo-grid is an interlocking plastic puzzle pieces used to stabilize the lot. Parking will remain on the grass. 9. Planning 9.1 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 2147, 2167 and 2173 Burnice Drive and 2118 Pleasant Parkway; and Pass Ordinances 8771-15, 8772-15 and 8773-15 on first reading. (ATA2015-08002) The City of Clearwater Public Utilities Department is expanding sewer service into a neighborhood located generally south of Druid Road, west of South Belcher Road, east of South Hercules Avenue and north of Lakeview Road. This neighborhood contains a large concentration of properties within unincorporated Pinellas County. To date, ten properties have voluntarily Page 18 City of Clearwater Council Work Session Meeting Minutes October 12, 2015 annexed into the City as a result of this project and 11 more properties are currently in the process of annexing. This application includes four parcels with recorded Agreements to Annex (ATAs) that have become contiguous in the Belcher Area Sanitary Sewer Extension Project Area. Current or previous owners of these properties entered into ATAs between 1987 and 2015 in order to obtain sanitary sewer service. The Planning and Development Department is initiating this project to bring the properties into the City's jurisdiction in compliance with the terms and conditions set forth in the agreements. These properties are occupied by four detached dwellings on 0.945 acres of land. 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 Low (RL) 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 Pinellas County. Collection of solid waste will be provided to the properties by the City. Three of the parcels have already been connected to the City's sanitary sewer system. The remaining parcel will be connected when it is available. All fees have been paid. The properties are located within Police District II 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 49 located at 565 Sky Harbor Drive. The City has adequate capacity to serve these properties with sanitary sewer, solid waste, police, fire and EMS service. Water service will continue to be provided by the County. 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 objectives and policy 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. Policy A.7.1.3: Invoke agreements to annex where properties located within enclaves meet the contiguity requirements of Florida Statutes Chapter 171. 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. Page 19 City of Clearwater Council Work Session Meeting Minutes October 12, 2015 • The proposed Residential Low (RL) 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 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 comply with 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 properties proposed for annexation are contiguous to existing City limits along at least one property boundary. Therefore, the annexation is consistent with Florida Statutes Chapter 171.044. 10. Official Records and Legislative Services 10.1 Reappoint two members to the Municipal Code Enforcement Board with terms to expire October 31, 2018. Item continued to November 2, 2015. Staff was directed to contact current members of the Citizens Academy regarding their interest to serve on the board. 11. Legal 11.1Adopt Ordinance 8775-15 on second reading, amending the Clearwater Code of Ordinances, Appendix A - Schedule of Fees, Rates and Charges. 11.2Adopt Ordinance 8769-15 on second reading, amending the Operating Budget for the Fiscal Year ending September 30, 2015 to reflect increases and decreases in revenues and expenditures for the General Fund, Special Development Fund, Special Program Fund, Gas Fund, Solid Waste and Recycling Fund, Parking Fund, and Administrative Services Fund. 11.3Adopt Ordinance 8770-15 on second reading, amending the Capital Improvement Budget for the Fiscal Year ending September 30, 2015 to reflect a net increase of $1,496,000. 12. City Manager Verbal Reports 12.1Annual Strategic Planning Session (WSO) Page 20 City of Clearwater Council Work Session Meeting Minutes October 12, 2015 City Council Policy M states: "Each year the City Council shall meet in a strategic planning session(s). The meeting(s) will review the five-year financial forecast and update as necessary, the City's Mission, Values and Vision Statements. From these documents a five-year strategic plan will be developed. The five-year strategic plan will become the basis for the annual City Manager and City Attorney Objectives and the City's annual budget process for the next fiscal year." Assistant City Manager Jill Silverboard said the City is now live with ICMA's Insights national platform. There are 150 jurisdictions participating in the national performance measurement platform. She reviewed the five-year financial forecast. Budget Manager Kayleen Kastel said staff identified an error in the general fund schedule provided to Council, there is no general fund deficit. Ms. Kastel provided corrected pages. It was suggested that the policy be amended to require the strategic objectives and financial forecast be reviewed in April. In response to questions, Finance Director Jay Ravins said the general fund error came from an accidental omission of the business license tax. The 16% projection of the finance department budget reflects the move of the Budget Department into the Finance Department. The $5 million projected deficit is the result of a flat growth in revenue projections, the long term growth in expenditures will outpace the growth in revenues and is something that Council needs to be aware of and address in the future. In response to questions, Ms. Silverboard said staff has provided Council with materials that the City Manager and City Attorney are working on and tasked as priorities. This information would also serve as a starting point for the next budget cycle. She explained that the asterisk's in Exhibit C denote projects that continue beyond the planning period and do not have specific beginning and ending dates. In regards to performance measures, Ms. Silverboard clarified that staff has spent time trying to create a template that could be used by all departments but each department has unique reporting criteria. There is an in-house platform with 8 out of 17 departments reporting. Historical data would not be entered and over time the graphs will begin to make better comparative sense. . However, 5 years of historical data would be entered into the national platform database. City Manager Bill Horne commented that ICMA has just now come out with their national platform that cities are confident to participate in. One of the challenges cities had was that staff spent time and effort to generate information that is not used. Information is not useful unless it relates to priorities. Page 21 City of Clearwater Council Work Session Meeting Minutes October 12, 2015 City Manager Bill Horne reported that the Clearwater High School principal requested that he be part of a newly created committee to look at student performance gap concerns at Clearwater High. 13. City Attorney Verbal Reports — None. 14. Council Discussion Item 14.1 City Attorney Evaluation AND 14.2City Manager Evaluation Discussion deferred to Wednesday, October 14. 15. New Business (items not on the agenda may be brought up asking they be scheduled for subsequent meetings or work sessions in accordance with Rule 1, Paragraph 2). Vice Mayor Polglaze said he heard from a citizen who was pleased with recent storm water work in their neighborhood and said they were rated as a flood zone although they are not located near a water body. Assistant City Manager Jill Silverboard said FEMA creates the flood zone maps and a new series is due to come out. She said that more properties will be added to flood zones versus any properties being removed. 16. Closing Comments by Mayor — None. 17. Adjourn 17. Adjourn The meeting adjourned at 5:04 p.m. Page 22 City of Clearwater