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04/16/2018Monday, April 16, 2018 1:00 PM City of Clearwater City Hall 112 S. Osceola Avenue Clearwater, FL 33756 Council Chambers Council Work Session Work Session Agenda April 16, 2018Council Work Session Work Session Agenda 1. Call to Order 2. Presentations April Service Awards2.1 Comprehensive Annual Financial Report for Fiscal Year 2017 (WSO)2.2 3. Economic Development and Housing Homeless Initiative Presentation (WSO) - Gabe Parra, Economic Development 3.1 Forgive loan to Abilities of St. Andrews Cove, Inc. of Florida in an amount not to exceed $318,600 to rehabilitate six multi-family units for rent at St. Andrews Cove apartment complex and authorize the appropriate officials to execute all instruments required to affect loan closing. (consent) 3.2 4. Police Department Increase the allotted Full Time Equivalents (FTEs) assigned to the Police Department by 14; authorize purchase of an additional 8 Police Ford Explorer vehicles in the current fiscal year, with an amount not to exceed $262,840; authorize purchase of 6 additional Police Ford Explorer vehicles in Fiscal Year 2018/2019; authorize purchase of law enforcement related equipment costs associated with the additional FTEs, with an amount not to exceed $246,245; authorize an increase in the Police Department’s operating budget, for the current year’s increase of salary, benefit and training costs related to the increased personnel, with an amount not to exceed $400,332, and authorize the appropriate officials to execute same. (consent) 4.1 5. Engineering Award a construction contract to KAT Construction and Materials, Inc., of Clearwater, FL, in the amount of $552,036.20 for the Water Treatment Plant (WTP) Fluoride Addition - WTP 1 and WTP 2 project (16-0031-UT); approve Engineer of Record (EOR) Supplemental 1 Work Order from Tetra Tech in the amount of $140,097; approve a Funding Agreement with the State of Florida Department of Health (FDOH) in the amount of $155,000 and authorize the appropriate officials to execute same. (consent) 5.1 Page 2 City of Clearwater Printed on 4/16/2018 April 16, 2018Council Work Session Work Session Agenda Approve the request from City of Clearwater staff to vacate a portion of public right-of-way of Haven Street dedicated by plat in Plat Book 5, Page 53, Official Records of Pinellas County, Florida, and certain real property dedicated as public right-of-way by City of Clearwater Resolution 79-50, as recorded in Official Records Book 4867, Page 1478, Pinellas County, Florida; pass Ordinance 9129-18 on first reading and authorize the appropriate officials to execute same. (VAC 2018-04) 5.2 Declare three parcels of certain real property in Section 16, Township 29 South, Range 15 East, formerly used respectively as right-of-way, a meeting facility that supported old Fire Station 45, and a parking lot consisting of 9 parking spaces adjacent to the North Garden Avenue Parking Garage as surplus for the purpose of exchanging the three parcels for a strategic parcel in the downtown core, which is of greater value, currently owned by the Church of Scientology Flag Service Organization, Inc. (COS) and authorize the appropriate officials to execute same. (APH) 5.3 Approve the Contract for Exchange of Real Property providing for the exchange of certain city-owned real property for a strategic parcel in the downtown core which is of greater value and is owned by the Church of Scientology Flag Service Organization, Inc. (COS), authorize the appropriate officials to execute same, together with all other instruments necessary to affect closing. 5.4 6. Planning Approve the annexation of 3474 Aspen Trail, 3490 and 3492 Lake Shore Lane and pass Ordinance 9123-18 on first reading. (ANX2017-12026) 6.1 Approve a Future Land Use Map Amendment for a 9.20-acre portion of property from Transportation Utility (T/U) and Preservation (P) (Pinellas County) to Residential Low (RL) and Transportation/Utility (T/U) Overlay (City of Clearwater) upon annexation and pass Ordinance 9124-18 on first reading. (LUP2018-02001) 6.2 Approve a Zoning Atlas Amendment from the A-E Agricultural Estate Residential and R-3 Single Family Residential Districts (Pinellas County) to the Low Medium Density Residential (LMDR) District for 3474 Aspen Trail, 3490 and 3492 Lake Shore Lane upon annexation; and pass Ordinance 9125-18 on first reading. (REZ2017-12013) 6.3 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 1500 Country Lane West and 1505 Country Lane East and pass Ordinances 9134-18, 9135-18 and 9136-18 on first reading. (ATA2018-03001) 6.4 Page 3 City of Clearwater Printed on 4/16/2018 April 16, 2018Council Work Session Work Session Agenda 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 1756 El Trinidad Drive East and pass Ordinances 9137-18, 9138-18 and 9139-18 on first reading. (ANX2018-03004) 6.5 Approve the annexation, initial Future Land Use Map designation of Residential Low (RL) and initial Zoning Atlas designation of Low Medium Density Residential (LMDR) District for 3018 Glen Oak Avenue North and 3047 Hoyt Avenue and pass Ordinances 9140-18, 9141-18, and 9142-18 on first reading. (ANX2018-01003) 6.6 Downtown (D) Zoning District and Development Standards Update. (WSO)6.7 7. Customer Service Approve an agreement with Intuition Systems, Inc., DBA Bill2Pay, of Clearwater, Fl in the amount of $150,480 for lock box services for the City of Clearwater, from May 1, 2018 through April 30, 2021, with the option of two two-year renewal terms and authorize the appropriate officials to execute same. (consent) 7.1 Approve an agreement with InfoSend, Anaheim, California, in the amount of $1,440,000 for utility bill print and mail, from May 1, 2018 through April 30, 2021, with two two-year renewal options and authorize the appropriate officials to execute same. (consent) 7.2 8. Legal Adopt Ordinance 9101-18 on second reading, amending the future land use plan element of the Comprehensive Plan of the city to change the land use designation for certain real property whose post office address is 300 South Duncan Avenue, Clearwater, Florida 33755, from Residential/Office General (R/OG) to Commercial General (CG). 8.1 Adopt Ordinance 9102-18 on second reading, amending the Zoning Atlas of the city by rezoning certain real property whose post office address is 300 South Duncan Avenue, Clearwater, Florida 33755, from Office (O) to Commercial (C). 8.2 9. City Manager Verbal Reports City Hall Relocation9.1 10. City Attorney Verbal Reports Page 4 City of Clearwater Printed on 4/16/2018 April 16, 2018Council Work Session Work Session Agenda 11. 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). 12. Closing Comments by Mayor 13. Adjourn 14. Presentation(s) for Council Meeting April Service Awards14.1 Habitat for Humanity Build Local Week Proclamation - Mike Sutton, CEO of Habitat for Humanity of Pinellas County, Inc. 14.2 World Landscape Architecture Month Proclamation - John DelVitto, American Society of Landscape Architecture (Tampa Chapter) 14.3 Page 5 City of Clearwater Printed on 4/16/2018 Cover Memo City of Clearwater City Hall 112 S. Osceola Avenue Clearwater, FL 33756 File Number: ID#18-4416 Agenda Date: 4/16/2018 Status: Agenda ReadyVersion: 1 File Type: PresentationIn Control: Council Work Session Agenda Number: 2.1 SUBJECT/RECOMMENDATION: April Service Awards SUMMARY: 5 Years of Service Kelly Pierce Police Yusupha Touray Gas Elizabeth Favata Fire Michael Remillet Fire Logan Cruz Fire William Billups Fire Justin Suhanovsky Fire Justin Smith Fire Daniel Knight Planning and Development Jesus Roldan Trejo General Services 10 Years of Service Michael Hasty Police Margaret Hasty Police 15 Years of Service Michael Olsa Public Utilities Louis Beem Solid Waste 25 Years of Service James Charon Public Utilities Ramon Cosme Police 30 Years of Service William New Public Utilities Page 1 City of Clearwater Printed on 4/16/2018 File Number: ID#18-4416 Page 2 City of Clearwater Printed on 4/16/2018 Cover Memo City of Clearwater City Hall 112 S. Osceola Avenue Clearwater, FL 33756 File Number: ID#18-4461 Agenda Date: 4/16/2018 Status: Agenda ReadyVersion: 1 File Type: PresentationIn Control: Finance Agenda Number: 2.2 SUBJECT/RECOMMENDATION: Comprehensive Annual Financial Report for Fiscal Year 2017 (WSO) SUMMARY: The City’s external auditors, Cherry Bekaert LLP, will present the Comprehensive Annual Financial Report (CAFR) and the result of the City’s audit for Fiscal Year 2017. Page 1 City of Clearwater Printed on 4/16/2018 CITY OF CLEARWATER, FLORIDA COMPREHENSIVE ANNUAL FINANCIAL REPORT FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2017 2016/2017 This Page Intentionally Left Blank George N. Cretekos Mayor Doreen Caudell Dr. Bob Cundiff Bill Jonson Hoyt Hamilton Councilmember Councilmember Councilmember Councilmember William B. Horne II City Manager Brian Jay Ravins Finance Director Prepared by: City of Clearwater Finance Department City of Clearwater, Florida Comprehensive Annual Financial Report for Fiscal Year Ended September 30, 2017 i ii City of Clearwater, Florida Comprehensive Annual Financial Report For the Fiscal Year Ended September 30, 2017 TABLE OF CONTENTS INTRODUCTORY SECTION: Title Page and List of Elected and Appointed Officials .......................................................................................... i Letter of Transmittal ............................................................................................................................................... v Certificate of Achievement for Excellence in Financial Reporting ....................................................................... ix Organizational Chart .............................................................................................................................................. x FINANCIAL SECTION: Report of Independent Auditor .............................................................................................................................. 1 Management’s Discussion and Analysis ............................................................................................................... 5 Basic Financial Statements: Government-wide Financial Statements: Statement of Net Position ........................................................................................................................... 20 Statement of Activities ................................................................................................................................ 21 Fund Financial Statements: Balance Sheet – Governmental Funds ..................................................................................................... 22 Reconciliation of the Balance Sheet of Governmental Funds to the Statement of Net Position ............ 23 Statement of Revenues, Expenditures, and Changes in Fund Balances - Governmental Funds ......... 24 Reconciliation of the Statement of Revenues, Expenditures, and Changes in Fund Balances of Governmental Funds to the Statement of Activities .......................................................................... 25 Statement of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual (Non-GAAP Basis) – General Fund ...................................................................... 26 Statement of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual (GAAP Basis) – Special Development Fund ......................................................... 27 Statement of Net Position – Proprietary Funds ........................................................................................ 28 Statement of Revenues, Expenses, and Changes in Net Position – Proprietary Funds ........................ 32 Statement of Cash Flows – Proprietary Funds ......................................................................................... 36 Statement of Fiduciary Net Position – Fiduciary Funds ........................................................................... 40 Statement of Changes in Fiduciary Net Position - Fiduciary Funds ........................................................ 41 Notes to the Basic Financial Statements ...................................................................................................... 42 Required Supplemental Information -– Pension Trust Funds .......................................................................... 103 Required Supplemental Information – Other Postemployment Benefits ......................................................... 109 Combining and Individual Fund Statements and Schedule Combining Balance Sheet – Nonmajor Governmental Funds .................................................................. 114 Combining Statement of Revenues, Expenditures and Changes in Fund Balances - Nonmajor Governmental Funds ............................................................................................................... 116 Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual (GAAP Basis) – Community Redevelopment Agency Special Revenue Fund ....... 119 Combining Statement of Net Position – Nonmajor Enterprise Funds ....................................................... 122 Combining Statement of Revenues, Expenses, and Changes in Net Position - Nonmajor Enterprise Funds...................................................................................................................... 123 Combining Statement of Cash Flows – Nonmajor Enterprise Funds ....................................................... 124 Combining Statement of Net Position – Internal Service Funds ............................................................... 128 iii City of Clearwater, Florida Comprehensive Annual Financial Report For the Fiscal Year Ended September 30, 2017 TABLE OF CONTENTS (Continued) Combining Statement of Revenues, Expenses, and Changes in Net Position – Internal Service Funds ................................................................................................................................. 129 Combining Statement of Cash Flows – Internal Service Funds ......................................................................... 130 Combining Statement of Fiduciary Net Position – Fiduciary Funds ................................................................... 134 Combining Statement of Changes in Fiduciary Net Position – Fiduciary Funds ............................................... 135 Statement of Changes in Assets and Liabilities – Agency Fund ........................................................................ 136 STATISTICAL SECTION: Introduction ............................................................................................................................................ 137 Schedule 1 Net Position by Component .................................................................................................................. 139 Schedule 2 Changes in Net Position ....................................................................................................................... 140 Schedule 2a Program Revenues by Function/Program ............................................................................................ 143 Schedule 3 Fund Balances of Governmental Funds ............................................................................................... 144 Schedule 4 Changes in Fund Balances of Governmental Funds ........................................................................... 145 Schedule 5 Assessed Value and Estimated Actual Value of Taxable Property .................................................... 146 Schedule 6 Direct and Overlapping Property Tax Rates ........................................................................................ 147 Schedule 7 Property Tax Levies and Collections .................................................................................................... 148 Schedule 8a Principal Real Property Taxpayers ....................................................................................................... 149 Schedule 8b Principal Personal Property Taxpayers ................................................................................................ 150 Schedule 9 Ratios of Outstanding Debt by Type .................................................................................................... 151 Schedule 10 Ratios of General Bonded Debt Outstanding ....................................................................................... 152 Schedule 11 Direct and Overlapping Governmental Activities Debt......................................................................... 153 Schedule 12 Legal Debt Margin Information ............................................................................................................. 154 Schedule 13 Pledged-Revenue Coverage ................................................................................................................ 155 Schedule 14 Demographic and Economic Statistics ................................................................................................. 157 Schedule 15 Principal Employers .............................................................................................................................. 158 Schedule 16 Full-time Equivalent City Government Employees by Function/Program ........................................... 159 Schedule 17 Operating Indicators by Function/Program .......................................................................................... 160 Schedule 18 Capital Asset Statistics by Function/Program ...................................................................................... 161 OTHER INFORMATION: Continuing Disclosure – Gas System Revenue Refunding Bonds, Series 2013 and 2014 ........................................ 164 Continuing Disclosure – Water & Sewer Revenue Refunding Bonds, Series 2003, 2009B, 2011, 2014, 2017 and 2017B; and Revenue Bonds Series 2009A ........................................................................................ 169 Continuing Disclosure – Stormwater System Revenue Refunding Bonds, Series 2012, 2013 and 2014 .................. 172 Fire Services Program ................................................................................................................................................... 173 SINGLE AUDIT / GRANTS COMPLIANCE SECTION: Report of Independent Auditor on Internal Control over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards ................................................................................................................................................ 177 Report of Independent Auditor on Compliance for Each Major Federal Program and State Financial Assistance Project, and on Internal Control over Compliance Required by the Uniform Guidance and Chapter 10.550, Rules of the Auditor General .............................................................................................. 179 Schedule of Expenditures of Federal Awards and State Financial Assistance Projects ............................................ 181 Notes to Schedule of Expenditures of Federal Awards and State Financial Assistance Projects .............................. 184 Schedule of Findings and Questioned Costs ................................................................................................................ 186 Summary Schedule of Prior Year Audit Findings .......................................................................................................... 188 Independent Auditor’s Management Letter ................................................................................................................... 189 Report of Independent Accountant on Compliance with Local Government Investment Policies .............................. 192 iv This Page Intentionally Left Blank 0DUFK 7KH+RQRUDEOH0D\RU&RXQFLOPHPEHUV DQG&LWL]HQVRIWKH&LW\RI&OHDUZDWHU 7KH&LW\RI&OHDUZDWHU&KDUWHU6HFWLRQF)ORULGD6WDWXWHVDQGYDULRXVFRYHQDQWVUHODWLQJWR GHEWDQGSHQVLRQREOLJDWLRQVRIWKH&LW\UHTXLUHDQDQQXDODXGLWRIWKHILQDQFLDOVWDWHPHQWVRIDOOIXQGVRI WKH &LW\ E\ D ILUP RI OLFHQVHG FHUWLILHG SXEOLF DFFRXQWDQWV 7KHVH VWDWHPHQWV PXVW EH SUHVHQWHG LQ FRQIRUPLW\ ZLWK JHQHUDOO\ DFFHSWHG DFFRXQWLQJ SULQFLSOHV *$$3 DQG DXGLWHG LQ DFFRUGDQFH ZLWK JHQHUDOO\ DFFHSWHG DXGLWLQJ VWDQGDUGV *$$6 3XUVXDQW WR WKHVH UHTXLUHPHQWV ZH KHUHE\ LVVXH WKH 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ix City of Clearwater Organizational Chart Citizens of Clearwater City Council City Attorney Emergency Management City Manager Fire Department Engineering Parks & Recreation Deputy City Manager CRA Operations Assistant City Manager Gas SystemCity Auditor Information Technology Solid Waste / General Support Services Marine & Aviation Public Communications Library Customer Service Police Department Financial & Budget Operations Planning & Development Economic Development & Housing Official Records & Legislative Services Human Resources Public Utilities x 1 Report of Independent Auditor To the Honorable Mayor and City Council Members City of Clearwater, Florida Report on Financial Statements We have audited the accompanying financial statements of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of the City of Clearwater, Florida (the “City”) as of and for the year ended September 30, 2017, and the related notes to the financial statements, which collectively comprise the City’s basic financial statements as listed in the table of contents. We have also audited the financial statements of each of the City’s nonmajor governmental funds, nonmajor enterprise funds, internal service, and fiduciary funds presented as supplementary information in the accompanying combining and individual fund statements as of and for the year ended September 30, 2017, as listed in the table of contents. Management’s Responsibility for the Financial Statements Management is responsible for the preparation and fair presentation of these financial statements in accordance with accounting principles generally accepted in the United States of America; this includes the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error. Auditor’s Responsibility Our responsibility is to express opinions on these financial statements based on our audit. We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor’s judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity’s preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control. Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinions. 2 Opinions In our opinion, the financial statements referred to above present fairly, in all material respects, the respective financial position of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of the City of Clearwater, Florida, as of September 30, 2017, and the respective changes in financial position and, where applicable, cash flows thereof, and the respective budgetary comparisons for the general fund and the special development fund, for the year then ended in accordance with accounting principles generally accepted in the United States of America. In addition, in our opinion, the financial statements referred to above present fairly, in all material respects, the respective financial position of each of the nonmajor governmental funds, nonmajor enterprise funds, internal service and fiduciary funds of the City as of September 30, 2017, and the respective changes in financial position and, where applicable, cash flows thereof for the year then ended, in accordance with accounting principles generally accepted in the United States of America. Other Matters Required Supplementary Information Accounting principles generally accepted in the United States of America require that the management’s discussion and analysis and the required supplementary information schedules - Pension Trust Funds and other Postemployment, as listed in the table of contents, be presented to supplement the basic financial statements. Such information, although not a part of the basic financial statements, is required by the Governmental Accounting Standards Board, who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic, or historical context. We have applied certain limited procedures to the required supplementary information in accordance with auditing standards generally accepted in the United States of America, which consisted of inquiries of management about the methods of preparing the information and comparing the information for consistency with management’s responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance. Other Information Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the City’s basic financial statements. The introductory section, budgetary comparison for the community redevelopment agency special revenue fund on page 119, and other information, as listed in the table of contents, are presented for purposes of additional analysis and are not a required part of the basic financial statements. The accompanying schedule of expenditures of federal awards and state financial assistance projects, as required by Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (“Uniform Guidance”) and Chapter 10.550, Rules of the Auditor General of the State of Florida, is also presented for purposes of additional analysis and is not a required part of the basic financial statements. The schedule of expenditures of federal awards and state financial assistance projects and the budgetary comparison for the community redevelopment agency special revenue fund are the responsibility of management and were derived from and relate directly to the underlying accounting and other records used to prepare the basic financial statements. Such information has been subjected to the auditing procedures applied in the audit of the basic financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the basic financial statements or to the basic financial statements themselves, and other additional procedures in accordance with auditing standards generally accepted in the United States of America. In our opinion, the schedule of expenditures of federal awards and state financial assistance projects and the budgetary comparison for the community redevelopment agency special revenue fund are fairly stated, in all material respects, in relation to the basic financial statements as a whole. 3 The introductory, statistical, and other information sections, as listed in the table of contents, have not been subjected to the auditing procedures applied in the audit of the basic financial statements and, accordingly, we do not express an opinion or provide any assurance on them. Other Reporting Required by Government Auditing Standards In accordance with Government Auditing Standards, we have also issued our report dated March 23, 2018 on our consideration of the City’s internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements and other matters. The purpose of that report is to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the City’s internal control over financial reporting and compliance. Tampa, Florida March 23, 2018 4 This Page Intentionally Left Blank 5 Management’s Discussion and Analysis This Management’s Discussion and Analysis report provides the reader with a narrative overview and analysis of the financial activities of the City for the fiscal year ended September 30, 2017. Management’s Discussion and Analysis (MD&A) should be read in conjunction with the City’s Transmittal Letter, which begins on page v of this report. Financial Highlights  The City’s assets and deferred outflows of resources exceeded its liabilities and deferred inflows of resources at the close of fiscal year 2017 by $949.6 million (net position). Of this amount, $256.3 million (unrestricted net position) may be used to meet the government’s ongoing obligations to citizens and creditors.  The City’s total net position increased by $40.7 million, or 4.5%, from the prior year’s net position. Net position for governmental activities increased by $17.9 million, or 4.0%, while the business-type net position increased by $22.8 million, or 4.9%.  Governmental net position increased $17.9 million in fiscal 2017. A decrease of $3.1 million in governmental program expenses, primarily in the public safety program, in addition to an increase in governmental program revenues of $2.7 million, resulted in a decrease in net program expenses of $5.8 million. General revenues and transfers increased $7.6 million. Total general revenues for governmental activities increased by $3.8 million, or 4.2%, primarily due to a $3.3 million increase in property taxes and a $1.6 million increase in communications services taxes, offset by a decrease of $1.6 million in investment earnings due to a reduction in market values of the City’s investment portfolio. Transfers from business-type activities increased $3.8 million.  Business-type net position increased $22.8 million in fiscal 2017. Net revenue from business-type activities, before investment earnings and transfers, increased $1.3 million, or 3.9%, as the result of an increase in charges for services of $10.9 million offset by an increase in program expenses of $9.6 million. The most significant increases in charges for services were in the Water & Sewer Utility ($6.3 million) due to rate increases of 3.75% and the Gas Utility ($2.0 million) due to fluctuating commodity costs and no change in rates. General revenues decreased $1.9 million as the result of a decrease in investment earnings. Transfers to governmental activities increased $3.8 million.  At September 30, 2017, the City’s governmental funds reported combined ending fund balances of $116.5 million, an increase of $52 thousand, or .05%, in comparison with the prior year. Of this amount, $28.3 million (or 24.3%) is available for spending at the government’s discretion (unassigned fund balance).  At September 30, 2017, unrestricted fund balance (the total of the committed, assigned and unassigned components of fund balance) for the general fund was $28.5 million, or 22.6% of total fiscal 2017 general fund expenditures.  Total outstanding long-term liabilities increased $2.1 million from the prior year, primarily due to a reduction in bonded debt in the amount of $5.3 million, a net increase in lease purchase contracts of $3.9 million, an increase in the liability for compensated absences of $300 thousand, an increase in the liability for other postemployment benefits of $2.1 million, and an increase in claims payable of $1.1 million. Overview of the Financial Statements This discussion and analysis (MD&A) is intended to serve as an introduction to the City of Clearwater’s basic financial statements. The City’s basic financial statements are comprised of three components: 1) government-wide financial statements, 2) fund financial statements, and 3) notes to the financial statements. This report also contains other supplementary information in addition to the basic financial statements themselves. 6 Government-Wide Financial Statements The government-wide financial statements are the statement of net position and the statement of activities. These statements report information about the City as a whole using accounting methods similar to those used by private-sector businesses. Emphasis is placed on the net position of governmental activities and business-type activities, and the change in net position. Governmental activities are principally supported by taxes and intergovernmental revenues. Governmental activities include most of the City’s basic services, including police, fire, public works, parks and recreation, and general administration. Business-type activities are intended to recover all or a significant portion of their costs through user fees and charges. The City’s water and sewer system, stormwater system, gas system, solid waste and recycling, marine, aviation, Clearwater Harbor Marina, and parking system operations are reported as business-type activities.  The statement of net position presents information on all of the City’s assets, deferred outflows of resources, liabilities, and deferred inflows of resources, with the difference reported as net position. Over time, increases or decreases in net position may serve as a useful indicator as to whether the financial position of the City is improving or deteriorating. Net position is reported in three major categories: 1) net investment in capital assets; 2) restricted; and 3) unrestricted.  The statement of activities presents information showing how the City’s net position changed as a result of the year’s activities. All changes in net position are recorded in the period in which the underlying event takes place, which may differ from the period in which cash is received or disbursed. The Statement of Activities displays the expense of the City’s various programs net of related revenues, as well as a separate presentation of revenues available for general purposes. The government-wide financial statements include not only the City of Clearwater itself but also the Clearwater Redevelopment Agency (CRA). The CRA, though legally separate, is reported as part of the primary government as a blended component unit because the City Council serves as the CRA’s governing board and City management has operational responsibility for the CRA. Fund Financial Statements A fund is a grouping of related accounts that is used to maintain control over resources that have been segregated for specific activities or objectives. The fund financial statements provide detailed information about the City’s major funds – not the City as a whole. Fund accounting helps to ensure and demonstrate compliance with finance-related legal requirements. Based on restrictions on the use of monies, the City has established many funds that account for the multitude of services provided to residents. These fund financial statements focus on the City’s most significant funds: governmental, proprietary, and fiduciary. Governmental funds. Governmental funds are used to report most of the City’s basic services. These funds are used to account for essentially the same functions reported as governmental activities in the government-wide financial statements. The funds focus on the inflows and outflows of current resources and the balances of spendable resources available at the end of the fiscal year. Such information may be useful in evaluating a government’s near-term financing requirements. Because the focus of governmental funds is narrower than that of the government-wide financial statements, it is useful to compare the information presented for governmental funds with similar information presented for governmental activities in the government-wide financial statements. By doing so, readers may better understand the long-term impact of the government’s near-term financing decisions. Both the governmental fund balance sheet and the governmental fund statement of revenues, expenditures, and changes in fund balances provide a reconciliation to facilitate this comparison between governmental funds and governmental activities. The City maintains ten individual governmental funds. Information is presented separately in the governmental funds balance sheet and in the governmental funds statement of revenues, expenditures, and changes in fund balances for the General, Special Development, and Capital Improvement funds, which are considered to be major funds. Data from the other seven governmental funds are combined into a single aggregated columnar presentation. Individual fund data for each of these nonmajor governmental funds is provided in Combining and Individual Fund Statements and Schedules section of this report. Annual appropriated budgets are adopted for the General Fund, the Special Development Special Revenue Fund, and the Community Redevelopment Agency Special Revenue Fund. Budgetary comparison statements and/or schedules have been provided for these funds to demonstrate budgetary compliance. 7 The basic governmental fund financial statements can be found on pages 22-27 of this report. Proprietary funds. The City maintains two different types of proprietary funds. Enterprise funds are used to report the same functions presented as business-type activities in the government-wide financial statements. The City uses enterprise funds to account for the fiscal activities related to water and sewer, gas, solid waste & recycling and stormwater utilities, along with marine, aviation, parking system, and Clearwater Harbor Marina downtown boat slip operations. Internal service funds are an accounting device used to accumulate and allocate costs internally among the City’s various functions. The City uses internal service funds to account for the City’s building maintenance, custodial services, self- insurance program, risk management program, employee group insurance, vehicle acquisition and maintenance, and various support activities including data processing, telecommunications, and postal services. All of the City’s internal service funds predominantly benefit governmental activities and consequently have been aggregated and included within governmental activities in the government-wide financial statements. Proprietary funds provide the same type of information as the government-wide financial statements, only in more detail. The proprietary fund financial statements provide separate information for the Water and Sewer Utility, Gas Utility, Solid Waste & Recycling Utility, and Stormwater Utility enterprise funds, which are considered to be major funds of the City. The remaining four non-major enterprise funds are combined into a single aggregated presentation in the proprietary fund financial statements. Similarly, governmental activity internal service funds are aggregated into a single presentation. Individual fund data for the non-major enterprise funds and the internal service funds is provided in the form of combining statements in the supplementary information section of this report. The basic proprietary fund financial statements can be found on pages 28-39 of this report. Fiduciary funds. Fiduciary funds are used to account for resources held for the benefit of parties outside the government. Fiduciary funds are not reflected in the government-wide financial statements because the resources of the fiduciary funds are not available to support the City’s own programs. The accounting used for fiduciary funds is similar to proprietary funds. The City of Clearwater maintains two different types of fiduciary funds. Pension trust funds are used to report resources held in trust for retirees and beneficiaries covered by the City’s pension plans. An agency fund is used to report resources held by the City in a custodial capacity for individuals, private organizations and other governments, such as the Clearwater Downtown Development Board. The fiduciary fund statements can be found on pages 40-41 of this report. Notes to the Financial Statements The notes to the financial statements provide additional information that is essential for a full understanding of the information provided in the government-wide and fund financial statements, including the City’s progress in funding its obligations to provide pension benefits and other post-employment benefits to its employees. The notes to the financial statements can be found on pages 42-102 of this report. Other Information In addition to the basic financial statements and accompanying notes, this report also presents certain required supplementary information concerning the City’s progress in funding its obligations to provide pension benefits and other post-employment benefits to its employees. Required supplementary information can be found on pages 103-109 of this report. The combining statements referred to earlier in connection with non-major governmental funds, non-major enterprise funds, and internal service funds, are presented immediately following the required supplementary information. Combining and individual fund statements can be found on pages 114-136 of this report. 8 Government-Wide Financial Analysis The total net position of the City increased in both fiscal 2017 and fiscal 2016. As noted earlier, net position may serve over time as a useful indicator of a government’s financial position. In the case of the City, assets exceeded liabilities by $949.6 million at the close of the fiscal year ended September 30, 2017. This represents an increase of $40.7 million from the September 30, 2016 total net position of $908.9 million. The City reports positive balances in all three categories of net position, both for the government as a whole as well as for its separate governmental and business-type activities, for both the current year and the prior year, as indicated in the following table: 2017 2016 2017 2016 2017 2016 Assets Current and other assets 258,571,971$ 210,904,691$ 265,815,486$ 253,152,629$ 524,387,457$ 464,057,320$ Capital assets 300,089,363 289,562,206 434,914,983 425,467,198 735,004,346 715,029,404 Total assets 558,661,334 500,466,897 700,730,469 678,619,827 1,259,391,803 1,179,086,724 Deferred Outflows of Resources 3,243,712 14,767,600 14,806,580 8,822,265 18,050,292 23,589,865 Liabilities Current and other liabilities 11,695,301 10,733,114 19,552,496 17,724,145 31,247,797 28,457,259 Long-term debt outstanding: Due within one year 15,678,212 13,867,332 10,579,272 10,469,501 26,257,484 24,336,833 Due in more than one year 44,225,478 40,674,591 191,111,673 194,487,030 235,337,151 235,161,621 Total liabilities 71,598,991 65,275,037 221,243,441 222,680,676 292,842,432 287,955,713 Deferred Inflows of Resources 26,874,581 4,427,305 8,118,362 1,371,851 34,992,943 5,799,156 Net position Net investment in capital assets 271,834,091 263,810,329 254,503,208 231,590,454 526,337,299 495,400,783 Restricted 119,002,793 52,936,521 47,946,129 36,802,794 166,948,922 89,739,315 Unrestricted 72,594,590 128,785,305 183,725,909 194,996,317 256,320,499 323,781,622 Total net position 463,431,474$ 445,532,155$ 486,175,246$ 463,389,565$ 949,606,720$ 908,921,720$ City of Clearwater, Florida - Net Position Governmental Activities Business-type Activities Total A large portion of the City’s net position (55.4%) represents its net investment in capital assets (e.g., land, infrastructure, land improvements, buildings, and equipment, less any related outstanding debt used to acquire those assets). The City uses these capital assets to provide services to citizens, and consequently these assets are not available for future spending. Although the City’s investment in capital assets is reported net of related debt, it should be noted that the resources needed to repay this debt must be provided from other resources, since the capital assets themselves will not be used to liquidate these liabilities. There was an increase of $8.0 million (3.0%) in net investment in capital assets for governmental activities versus the previous year. The increase was due to a decrease in related revenue bond debt of $685 thousand and a net increase of $3.2 million in capital lease purchase contracts, plus a net increase of $10.5 million in governmental capital assets for the current fiscal year. The increase in governmental capital assets of $10.5 million resulted from capital asset additions of $31.4 million offset by depreciation expense of $20.5 million, net capital asset retirements of $405 thousand, and net transfers from business-type activities of $42 thousand. Net investment in capital assets for business-type activities increased by $22.9 million, or 9.9%, due to a net increase in business-type capital assets of $9.4 million consisting of $32.4 million of net capital asset additions, $22.9 million in current year depreciation expense, net capital asset retirements of $110 thousand, and transfers to governmental activities of $42 thousand, plus an increase of $13.5 million in related debt, net of unspent bond proceeds. 9 An additional portion of the City’s net position (17.6%) represents resources that are subject to external restrictions on how they may be used. The remaining balance of unrestricted net position ($256.3 million or 27.0%) may be used to meet the government’s ongoing obligations to citizens and creditors. Changes in Net Position The following table reflects the changes in net position for the years ended September 30, 2017, and September 30, 2016: 2017 2016 2017 2016 2017 2016 Revenues Program revenues: Charges for services 43,832,862$ 43,124,537$ 178,247,501$ 167,347,710$ 222,080,363$ 210,472,247$ Operating grants and contributions 7,012,218 6,236,334 82,541 207,720 7,094,759 6,444,054 Capital grants and contributions 3,893,460 2,642,030 3,564,204 3,487,016 7,457,664 6,129,046 General revenues: Property taxes 46,852,628 43,579,658 - - 46,852,628 43,579,658 Sales taxes 18,008,997 17,594,533 - - 18,008,997 17,594,533 Utility taxes 14,834,609 14,518,154 - - 14,834,609 14,518,154 Communications services taxes 4,511,892 4,617,875 4,511,892 4,617,875 Other taxes 8,395,207 6,845,168 - - 8,395,207 6,845,168 Other 734,965 2,394,398 782,396 2,714,614 1,517,361 5,109,012 Total revenues 148,076,838 141,552,687 182,676,642 173,757,060 330,753,480 315,309,747 Expenses General Government 14,876,267 13,487,675 - - 14,876,267 13,487,675 Public Safety 66,794,715 71,717,818 - - 66,794,715 71,717,818 Physical Environment 3,992,892 4,141,571 - - 3,992,892 4,141,571 Transportation 14,338,591 14,532,393 - - 14,338,591 14,532,393 Economic Environment 5,304,679 4,018,814 - - 5,304,679 4,018,814 Human Services 455,615 525,809 - - 455,615 525,809 Culture and Recreation 39,497,439 36,894,334 - - 39,497,439 36,894,334 Interest on Long-term Debt 747,990 740,286 - - 747,990 740,286 Water and Sewer Utility - - 73,252,799 64,866,011 73,252,799 64,866,011 Gas Utility - - 30,716,158 29,195,218 30,716,158 29,195,218 Solid Waste Utility - - 17,625,829 17,989,428 17,625,829 17,989,428 Stormwater Utility - - 13,147,863 13,664,223 13,147,863 13,664,223 Recycling Utility - - 2,864,457 2,957,693 2,864,457 2,957,693 Other - - 9,453,186 8,835,399 9,453,186 8,835,399 Total expenses 146,008,188 146,058,700 147,060,292 137,507,972 293,068,480 283,566,672 2,068,650 (4,506,013) 35,616,350 36,249,088 37,685,000 31,743,075 Transfers 12,830,669 9,068,691 (12,830,669) (9,068,691) - - Increase in net position 14,899,319 4,562,678 22,785,681 27,180,397 37,685,000 31,743,075 Net position - beginning 445,532,155 440,969,477 463,389,565 436,209,168 908,921,720 877,178,645 Net position - ending 460,431,474$ 445,532,155$ 486,175,246$ 463,389,565$ 946,606,720$ 908,921,720$ City of Clearwater, Florida - Changes in Net Position transfers Governmental Activities Business-type Activities Totals Increase in net position before 10 Governmental Activities Net position of governmental activities increased by $17.9 million from to $445.5 million as of September 30, 2016, to $463.4 million as of September 30, 2017. This represents a 4.0% increase in net position for governmental activities. Total expenses for governmental activities decreased by $3.1 million, or 2.1%, versus the prior year. The most significant decrease was in the public safety program ($4.9 million), offset by increases in the general government program ($1.4 million) and the economic environment program ($1.3 million). Total program revenues for governmental activities increased by $2.7 million, or 5.3%, versus the prior year. This increase was primarily due to a $708 thousand increase in charges for services, an increase in operating grants and contributions of $776 thousand, and an increase of $1.2 million in operating and capital grants and contributions. Total general revenues for governmental activities increased by $3.8 million, or 4.2%, primarily due to a $3.3 million increase in property taxes and a $1.6 million increase in communications services taxes, offset by a decrease of $1.6 million in investment earnings due to a reduction in market values of the City’s investment portfolio. Transfers from business-type activities increased $3.8 million. The cost of all governmental activities this year was $143.0 million. This reflects a decrease of $3.1 million, or 2.1%, from the fiscal 2016 total of $146.1 million. However, as shown on the Statement of Activities, the amount that the City’s taxpayers ultimately financed for fiscal 2017 activities totaled $88.3 million, because some of the cost was paid for by those who directly benefited from the programs ($43.8 million) or by other governments and organizations that subsidized certain programs with grants and contributions ($10.9 million). This total of $88.3 million is $5.8 million, or 6.2%, less than the fiscal 2016 amount financed from general revenues. $0 $10 $20 $30 $40 $50 $60 $70 Millions Expenses and Program Revenues - Governmental Activities For the Year Ended September 30, 2017 Expenses Revenues General Government Public Safety Physical Transportation Economic Environment Human Culture and Recreation Interest on Long-term Debt 11 Business-type Activities Net position for business-type activities increased by $22.8 million from $463.4 million as of September 30, 2016, to $486.2 million as of September 30, 2017. This represents a 4.9% increase in net position for business-type activities. Net revenue from business-type activities, before investment earnings and transfers, increased from $33.5 million for the prior year to $34.8 million for fiscal 2017. This $1.3 million, or 3.9%, increase was primarily the result of an increase in charges for services of $10.9 million offset by an increase in program expenses of $9.6 million. Grants and contributions decreased $48 thousand in total. Total program revenues for business-type activities increased by $10.9 million, or 6.3%, to $181.9 million versus the prior year total of $171.0 million, due primarily to an increase of $10.9 million (6.5%) in charges for services. In the Water & Sewer Utility, charges for services increased as a result of a 3.75% rate increase effective October 1, 2016, and in the Gas Utility due to fluctuating commodity costs and no change in rates. Total expenses for business-type activities increased by $9.6 million, or 6.9%, from $137.5 million in fiscal 2016 to $147.1 million for fiscal 2017. The majority of this increase in the Water & Sewer Utility ($8.4 million) and the Gas Utility ($1.5 million). Transfers to governmental activities increased $3.8 million, or 41.5%. Charges for services 29.6% Operating grants and contributions 4.7% Capital grants and contributions 2.6% Property taxes 31.6% Sales taxes 12.2% Utility taxes 10.0% Communications services taxes 3.1%Other taxes 5.7%Other revenues .5% Revenues by Sources - Governmental Activities For the Year Ended September 30, 2017 12 $0 $10,000,000 $20,000,000 $30,000,000 $40,000,000 $50,000,000 $60,000,000 $70,000,000 $80,000,000 $90,000,000 Water and Sewer Utility Gas Utility Solid Waste Utility Stormwater Utility Recycling Other Expenses and Program Revenue - Business-type Activities For the Year Ended September 30, 2017 Expenses Revenues Charges for services 97.57% Operating grants and contributions .05% Capital grants and contributions 1.95% Investment earnings .43% Revenues by Source - Business-type Activities For the Year Ended September 30, 2017 13 Financial Analysis of the City’s Funds As noted earlier, the City uses fund accounting to ensure and demonstrate compliance with finance-related legal requirements. Governmental Funds The focus of the City’s governmental funds is to provide information on near-term inflows, outflows, and balances of spendable resources. Such information is useful in assessing the City’s financing requirements. In particular, unassigned fund balance may serve as a useful measure of a government’s net resources available for spending at the end of the fiscal year. The City reports the General Fund, Special Development Fund, and Capital Improvement Fund as major governmental funds. The City’s governmental funds for the year ended September 30, 2017, reflect a combined fund balance of $116.5 million versus $116.4 million for the prior year, an increase of $52 thousand. A total of $28.3 million, or 24.28%, represents unassigned fund balance available for spending at the government’s discretion. The remainder of the fund balance is classified as assigned ($7.3 million or 6.29%) to indicate that it is intended to be used for specific purposes supported by management’s intent; committed ($22.1 million or 19.00%) to indicate that it can be used only for the specific purposes determined by a formal vote of the City Council; restricted ($58.7 million or 50.38%) to indicate that it can be spent only for the specific purposes stipulated by constitution, external resource providers, or through enabling legislation; or nonspendable ($62 thousand or 0.05%) to indicate that it cannot be spent or is legally or contractually required to remain intact. The General Fund is the chief operating fund of the City. At September 30, 2017, unassigned fund balance of the General Fund totaled $28.3 million, with the remaining $294 thousand in fund balance classified as nonspendable or assigned. As a measure of the general fund’s liquidity it is useful to compare unassigned fund balance to total fund expenditures. Unassigned fund balance represents 22.6% of total general fund expenditures (GAAP basis before transfers) for the current fiscal year. The fund balance of the Special Development Fund increased from $12.4 million to $12.9 million, an increase of $512 thousand or 4.1%, during the current fiscal year versus an increase of $4.2 million for fiscal 2016. Total revenues increased by $1.2 million, most significantly in the areas of impact fees and intergovernmental revenues. Transfers in decreased by $543 thousand, while transfers out increased by $4.3 million primarily due to an increase in Penny for Pinellas revenues transferred to the Capital Improvement Fund to fund projects in the Capital Improvement Plan. The fund balance for the Capital Improvement Fund increased from $46.6 million to $51.3 million during the current fiscal year. This increase of $4.7 million is primarily the result of current year capital project funding received from other funds in excess of year capital project expenditures. This is typical volatility for the Capital Improvement Fund due to timing differences between project funding and project spending. The fund balances for Other (non-major) Governmental Funds posted a decrease of $127 thousand (from $23.8 million to $23.7 million) during the current fiscal year. Proprietary Funds The City’s proprietary funds provide the same type of information found in the government-wide financial statements, but in more detail. The City reports the Water and Sewer Utility Fund, the Gas Utility Fund, the Solid Waste & Recycling Utility Fund, and the Stormwater Utility Fund as major funds. The Water and Sewer Utility Fund realized a $4.9 million increase in net position versus a $9.2 million increase for the prior year. Operating revenues increased by $6.3 million, or 8.4%, while operating expenses increased $8.2 million, or 14.1%. This resulted in a net decrease in operating income of $1.9, from $17.1 million in fiscal 2016 to $15.2 million in 2017. Additionally, capital grants and contributions decreased by $1.1 million, or 51.8%, and investment earnings decreased by $578 thousand (60.2%). The increase in operating revenues was primarily the result of a 3.75% rate increase effective October 1, 2016, as well as $2.4 million insurance proceeds received from tropical storm damage. The decrease in capital grants and contributions was primarily the result of decreased grant revenues due to the completion of capital projects. The increase in operating expenses was primarily due to increased repair and maintenance costs at the Marshall Street facility, as well as increased rental costs for backup pumping equipment, due to damages caused by 14 Tropical Storm Hermine. Operating expenses also increased as a result of an increase in water purchased from Pinellas County due to Reverse Osmosis Plant #2 not operating at full capacity. The Gas Utility Fund realized a $5.4 million increase in net position versus a $7.2 million increase for the prior year. Operating revenues increased by $2.0 million, or 5.2%, from the prior year, and operating expenses also increased by $1.5 million (5.2%). This resulted in a net increase in operating income of $509 thousand from $9.7 million in fiscal 2016 to $10.2 million in 2017. The increase in operating expenses was primarily due to increased fuel purchases for resale in the amount of $1.2 million. Transfers to other funds increased by $1.9 million, or 73.2%, primarily due to the increased dividend to the General Fund computed on the fiscal 2016 change in net position. The Solid Waste & Recycling Utility Fund realized a $3.2 million increase in net position versus a $2.4 increase in the prior year. Operating revenues increased by $921 thousand, or 3.8%, while operating expenses decreased by $632 thousand (3.0%), resulting in an increase of $1.6 million in operating income. The increase in operating revenues was primarily due to a rate increase of 3.75% effective October 1, 2016. The decrease in operating expenses was primarily the result of a decrease in dump fees as well as a reduction in depreciation expense due to several assets being fully depreciated in fiscal 2016. The Stormwater Utility Fund realized an increase in net position of $6.7 million versus a prior year increase of $4.8 million. Operating revenues increased by $648 thousand, or 3.6%, while operating expenses decreased $439 thousand, or 3.5%, resulting in an increase of $1.1 million in operating income. Operating revenues increased primarily due to a rate increase of 1.25% effective October 1, 2016, as well as reimbursement in the amount of $239 thousand received from the Army Corps of Engineers for the Stevens Creek Estuary Restoration Project. There was also an increase in capital grants and contributions of $1.4 million (116.3%) due to increased contributions from the Southwest Florida Water Management District for the Mango, Magnolia and East Gateway drainage projects. Unrestricted net position and changes in net position of the proprietary funds for fiscal years 2017 and 2016: Fund 2017 2016 2017 2016 Water and Sewer Utility 55,756,756$ 53,178,363$ 4,919,150$ 9,195,402$ Gas Utility 41,641,050 44,505,891 5,441,658 7,192,155 Solid Waste & Recycling Utility 34,505,994 36,313,750 3,230,973 2,355,306 Stormwater Utility 33,924,607 33,825,551 6,661,074 4,753,078 Other funds 16,562,587 26,065,602 2,305,071 3,044,029 Totals 182,390,994$ 193,889,157$ 22,557,926$ 26,539,970$ Unrestricted Net Position Change in Net Position General Fund Budgetary Highlights The final amended budget for General Fund expenditures reflected a net increase of $4,056,263, or 3.31%, from the original budget. Key elements of this increase were as follows:  First Quarter Budget Amendments included a decrease of $1,500 to the City Manager’s flex fund to provide funding for United Way campaign activities; an increase of $33,500 to marine & aviation to reflect an increase of $25,000 in utility charges, and increase of $4,000 in other services/charges and an increase of $4,500 in operating supplies at Pier 60;  Mid-Year Budget Amendments included a decrease of $128,000 to salaries in parks and recreation to provide funding for the Jack Russell Demolition & Refurbishment project; a decrease of $62,416 to other contractual services in parks and recreation to provide funding for new vehicles; an increase of $4,265,000 to fund the purchase of land at 301 Pierce Street; and an increase of $68,632 to fund a legal settlement with a former employee;  Third Quarter Budget Amendments included a decrease of $212,426 to the fire department to reflect actual supplemental pension plan contributions; and an increase of $93,473 to the police department to reflect actual supplemental pension plan contributions. 15 Final budgeted revenues reflect a net increase of $883,917, or .74%, from the original budget primarily due to the following:  First Quarter Budget Amendments included an increase of $33,500 to charges for services to reflect an increase in Pier 60 concession revenues.  Third Quarter Budget Amendments included an increase of $179,370 to ad valorem property taxes to reflect actual collections for the year; a decrease of $500,000 to communications services taxes to reflect actual collections for the year; a decrease of $800,000 to franchise fees to reflect actual collections for the year from Duke Energy; an increase of $290,000 to licenses, permits and fees to reflect an increase of $150,000 in building permit revenue and an increase of $140,000 in forfeited permit fee revenue; an increase of $931,047 to intergovernmental revenues to reflect a decrease of $118,953 in public safety supplemental pension revenue, an increase of $250,000 in state revenue sharing, an increase of $200,000 in half-cent sales tax revenue and an increase of $600,000 in EMS tax revenue to reflect actual collections for the year; an increase of $300,000 to fines and forfeitures to reflect actual red light camera fine revenues for the year; an increase of $450,000 to miscellaneous revenues to reflect an increase in Pier 60 and South Beach umbrella rentals. Final budgeted “transfers in” from other funds reflect a net increase of $1,196,630, or 11.64%, from the original budget primarily due to:  Return of General Fund revenues in the amount of $2,750 from the Special Programs Fund from the completion of the Strategic Direction Action Plan:  Return of General Fund revenues in the amount of $1,789 from the Special Programs Fund from the completion of the Centennial Celebration;  Return of General Fund revenues in the amount of $21,301 from the Special Programs Fund from the completion of IDB Fees;  An increase of $1,170,790 from the Gas Utility Fund for the annual gas dividend payment. Final budgeted “transfers out” reflect an increase of $2,804,486, or 30.89%, from the original budget primarily due to:  A transfer of $439,820 to the Special Programs Fund for the Clearwater Ferry;  A transfer of $1,500 to the Special Programs Fund for United Way campaign activities;  A transfer of $62,416 to the Garage Fund for the purchase of vehicles;  A transfer of $128,000 to the Capital Improvement Fund for the Jack Russell Demolition & Refurbishment project;  A transfer of $107,750 to the Capital Improvement Fund for the Missouri Avenue Median Beautification project;  A transfer of $500,000 to the Capital Improvement Fund for the Imagine Clearwater Implementation project;  A transfer of $200,000 to the Capital Improvement Fund for the Clearwater Beach Infrastructure Repair & Improvements project;  A transfer of $815,000 to the Capital Improvement Fund for the Morningside Recreation Center project;  A transfer of $550,000 to the Capital Improvement Fund for the Jack Russell Stadium Practice Field Renovation project. Total actual revenues for the General Fund for fiscal 2017 were $487 thousand, or .40%, greater than final budgeted revenues. Although most categories posted a surplus of actual revenues versus final budgeted revenues, there was a budget deficit in other taxes of $222 thousand, primarily due to a decrease in business tax receipts and a budget deficit in investment earnings of $358 thousand to reflect an unrealized loss on investments. Fiscal 2017 actual expenditures for the General Fund were $815 thousand (.64%) less than final budgeted expenditures, primarily due to budget savings across most City departments for fiscal 2017. 16 Capital Asset and Debt Administration Capital Assets Capital assets include land, buildings and building improvements, improvements other than buildings, machinery and equipment, and infrastructure. The infrastructure asset category includes long-lived capital assets, typically stationary in nature, such as roads, sidewalks, and bridges. At September 30, 2017, the City had investments in capital assets totaling $735,004,346 (net of accumulated depreciation). 2017 2016 2017 2016 2017 2016 Land 87,325$ 81,390$ 31,745$ 31,845$ 119,070$ 113,235$ Buildings 97,020 101,474 37,900 26,314 134,920 127,788 Improvements other than buildings 18,590 18,303 344,348 347,713 362,938 366,016 Machinery and equipment 26,982 23,947 8,381 9,082 35,363 33,029 Infrastructure 56,932 53,208 - - 56,932 53,208 Construction in progress 13,240 11,240 12,541 10,513 25,781 21,753 Total 300,089$ 289,562$ 434,915$ 425,467$ 735,004$ 715,029$ * Net of accumulated depreciation Governmental Activities TotalBusiness-type Activities City of Clearwater, Florida - Capital Assets* (amounts in thousands) Net capital assets for the City’s governmental activities increased from $289.6 million to $300.1 million, reflecting an increase of $10.5 million for the current fiscal year. Capital asset additions of $31.4 million were offset by depreciation expense of $20.5 million, net capital asset retirements totaling approximately $405 thousand and net transfers from business-type activities of $42 thousand. Major fiscal 2017 completed governmental capital projects included $2.2 million for bridge maintenance and improvements, $1.8 million for recreation trails and $721 thousand for traffic calming. Net capital assets for the City’s business-type activities increased from $425.5 million to $434.9 million, reflecting an increase of $9.4 million for the current fiscal year. Capital asset additions of $32.4 million were offset by depreciation expense of $22.9 million, net capital asset retirements totaling approximately $110 thousand and net transfers to governmental activities of $42 thousand. Major fiscal 2017 completed business-type capital projects included $550 thousand for Magnolia Drive drainage outfall and $3.6 million for water & sewer upgrades and improvements. Additional information on the City’s capital assets can be found in Note III (C) on the notes to the financial statements. Long-term debt and other long-term liabilities The City’s total long-term liabilities increased from $259.5 million to $261.6 million, an increase of $2.1 million or .81%. Long-term liabilities for governmental activities increased by $5.4 million, or 9.83%, while long-term liabilities for business- type activities decreased by $3.3 million or 1.59%. Key factors contributing to these changes included:  The increase in long-term liabilities for governmental activities is primarily due to an increase in lease purchase contracts of $3.2 million; an increase in compensated absences of $359 thousand; an increase in other postemployment benefits of $1.4 million; an increase of $1.1 million in claims payable; and a reduction of $703 thousand in bonded debt. 17  The decrease in long-term liabilities for business-type activities is primarily due to an increase in lease purchase contracts of $704 thousand; a decrease in compensated absences of $59 thousand; an increase in other postemployment benefits of $678 thousand; and a reduction of $4.6 million in bonded debt. The City’s bonded debt as of September 30, 2017, consists entirely of revenue bonds (secured solely by specified revenue sources) with no general obligation debt or special assessment debt outstanding. Governmental activities revenue bonds totaled $7.0 million while business-type activities totaled $193.1 million. The City’s Charter limits indebtedness to 20% of the assessed valuation of non-exempt real estate. The current debt limitation is approximately $2.1 billion, which is significantly in excess of the City’s applicable indebtedness of approximately $200 million at September 30, 2017. Additional information on the City’s long-term debt can be found in Note III (F) of the notes to the financial statements. Economic Factors and Year 2018 Budgets and Rates Factors considered in preparing the City of Clearwater’s budget for fiscal year 2018 included:  An increase of 8.4% in property values, from $9.4 billion to $10.2 billion, including new construction. This is the fifth year of increased valuations that the City has recognized since the recessionary years 2008-2012. City taxable values are still approximately 8% below peak values of 2007.  The approved millage rate of 5.1550 mills for fiscal year 2018 remains the same for the ninth consecutive fiscal year.  A net increase of 39.3 full-time equivalent positions City-wide to a total of 1829.6 FTE’s. 21.3 positions were added to the General Fund, 17.6 positions were added in the utility and enterprise funds, and .4 positions were added in the Special Programs Fund. There were no changes to internal services funds.  A decrease of $285 thousand in the actuarially required contribution to the Employees’ Pension Plan, from $8.93 million, or 11.13% of covered payroll, for fiscal 2017 to $8.65 million, or 10.91% of covered payroll, for fiscal 2018. The approved budget plans for a contribution rate of 13% of covered payroll, which will provide for the actuarially required contribution of 10.91% as well as restore approximately $2.64 million to the credit balance (contributions in excess of the actuarially required amount) to prepare us for future economic challenges.  An increase in employee medical insurance costs of $403,450 to a total of $17.3 million across all City operations. This includes a small increase to fund estimated insurance costs and to account for additional FTE’s. Included in the budget is $1.7 million of health clinic operating costs. Savings in claims costs should continue to offset the cost of the health clinic.  Budgeted Water and Sewer utility revenues for 2018 reflect a 6.25% rate increase effective October 1, 2017, per a rate study adopted in September 2017. Fiscal 2018 budgeted Stormwater utility revenues reflect a 0.5% rate increase effective October 1, 2017, per a rate study adopted in August 2017. Budgeted revenue for the Solid Waste & Recycling Utility reflect an increase of 3.75% effective October 1, 2017 based upon a rate structure that was approved in August 2015. There are no planned rate increases for the Gas Utility. Contacting the City’s Financial Management This financial report is designed to provide a general overview of the City’s finances for all those with an interest in our government and to show the City’s accountability for the money it receives. Questions concerning any of the information provided in this report or requests for additional financial information should be addressed to: City of Clearwater, Finance Department, 100 South Myrtle Avenue, Clearwater, Florida 33756-5520. 18 This Page Intentionally Left Blank 19 Basic Financial Statements Governmental Business-type Activities Activities Total ASSETS Cash and investments $ 183,609,505 $ 186,358,878 $ 369,968,383 Receivables (net) 8,067,024 16,347,514 24,414,538 Internal balances (1,334,915) 1,334,915 - Due from other governments 5,378,820 976,067 6,354,887 Prepaid items 2,063,155 4,400 2,067,555 Inventories 466,594 2,710,352 3,176,946 Restricted assets: Cash and investments - 40,066,593 40,066,593 Net pension asset 60,321,788 18,016,767 78,338,555 Capital assets: Land 87,325,195 31,745,237 119,070,432 Buildings 97,020,082 37,899,509 134,919,591 Improvements other than buildings 18,590,104 344,348,112 362,938,216 Machinery and equipment 26,981,964 8,381,302 35,363,266 Infrastructure 56,931,968 - 56,931,968 Construction in progress 13,240,050 12,540,823 25,780,873 Total assets 558,661,334 700,730,469 1,259,391,803 DEFERRED OUTFLOWS OF RESOURCES Deferred outflows - bond refunding - 13,826,709 13,826,709 Deferred outflows - pension 3,243,712 979,871 4,223,583 Total deferred outflows of resources 3,243,712 14,806,580 18,050,292 LIABILITIES Accounts payable and other current liabilities 6,548,903 8,322,501 14,871,404 Accrued liabilities 2,834,358 927,912 3,762,270 Accrued interest payable 30,169 48,498 78,667 Due to other governments 595,263 - 595,263 Deposits 5,300 89,900 95,200 Unearned revenue and liens 1,681,308 26,454 1,707,762 Payable from restricted assets: Construction contracts payable - 461,342 461,342 Accrued interest payable - 2,160,813 2,160,813 Customers deposits - 7,515,076 7,515,076 Non-current liabilities due within one year: Compensated absences 4,518,034 1,136,842 5,654,876 Capital lease purchases payable 6,578,709 257,430 6,836,139 Revenue bonds payable 725,000 9,185,000 9,910,000 Claims payable 3,856,469 - 3,856,469 Long-term debt and liabilities: Compensated absences 3,816,522 960,324 4,776,846 Other postemployment benefits 12,223,793 5,355,295 17,579,088 Capital lease purchases payable 14,662,656 883,798 15,546,454 Revenue bonds payable 6,288,907 183,912,256 190,201,163 Claims payable 7,233,600 - 7,233,600 Total liabilities 71,598,991 221,243,441 292,842,432 DEFERRED INFLOWS OF RESOURCES Deferred inflows - pension 26,874,581 8,118,362 34,992,943 NET POSITION Net investment in capital assets 271,834,091 254,503,208 526,337,299 Restricted for: Capital projects 45,239,232 - 45,239,232 Debt service 667,363 16,334,045 17,001,408 Renewal and replacement - 11,440,063 11,440,063 Grant programs 12,774,410 - 12,774,410 Impact fees - 2,155,254 2,155,254 Pensions 60,321,788 18,016,767 78,338,555 Unrestricted 72,594,590 183,725,909 256,320,499 Total net position $ 463,431,474 $ 486,175,246 $ 949,606,720 The notes to the financial statements are an integral part of this statement. Primary Government City of Clearwater, Florida Statement of Net Position September 30, 2017 20 Program RevenuesOperating Primary Government Charges for Grants and Capital Grants & Governmental Business-TypeFunctions/Programs Expenses Services Contributions Contributions Activities Activities TotalPrimary government:Governmental activities:General government 14,876,267$ 23,380,071$ -$ 51,900$ 8,555,704$ -$ 8,555,704$ Public safety 66,794,715 11,787,899 2,396,666 592,507 (52,017,643) - (52,017,643) Physical environment 3,992,892 66,729 - 1,470,737 (2,455,426) - (2,455,426) Transportation 14,338,591 156,840 525,979 629,033 (13,026,739) - (13,026,739) Economic environment 5,304,679 104,896 1,909,494 - (3,290,289) - (3,290,289) Human services 455,615 - 367,907 - (87,708) - (87,708) Culture and recreation 36,497,439 8,336,427 1,812,172 1,149,283 (25,199,557) - (25,199,557) Interest on long-term debt 747,990 - - - (747,990) - (747,990) Total governmental activities 143,008,188 43,832,862 7,012,218 3,893,460 (88,269,648) - (88,269,648) Business-type activities:Water & Sewer Utility 73,252,799 81,514,268 - 1,017,233 - 9,278,702 9,278,702 Gas Utility 30,716,158 40,601,810 - - - 9,885,652 9,885,652 Solid Waste Utility 17,625,829 22,492,147 - - - 4,866,318 4,866,318 Stormwater Utility13,147,863 18,511,494 - 2,540,501 - 7,904,132 7,904,132 Recycling Utility 2,864,457 2,546,010 82,541 - - (235,906) (235,906) Marine 3,781,003 4,444,492 - 3,121 - 666,610 666,610 Aviation 470,385 310,918 - 3,349 - (156,118) (156,118) Parking System 4,378,773 7,027,071 - - - 2,648,298 2,648,298 Clearwater Harbor Marina 823,025 799,291 - - - (23,734) (23,734) Total business-type activities 147,060,292 178,247,501 82,541 3,564,204 - 34,833,954 34,833,954 Total primary government 290,068,480$ 222,080,363$ 7,094,759$ 7,457,664$ (88,269,648) 34,833,954 (53,435,694) General revenues: Taxes: Property taxes 46,852,628 - 46,852,628 Sales taxes 18,008,997 - 18,008,997 Utility taxes 14,834,609 - 14,834,609 Communications services taxes 4,511,892 - 4,511,892 Other taxes 8,395,207 - 8,395,207 Investment earnings698,573 782,396 1,480,969 Miscellaneous 36,392 - 36,392 Transfers 12,830,669 (12,830,669) - Total general revenues and transfers 106,168,967 (12,048,273) 94,120,694 Change in net position 17,899,319 22,785,681 40,685,000 Net position - beginning 445,532,155 463,389,565 908,921,720 Net position - ending 463,431,474$ 486,175,246$ 949,606,720$ The notes to the financial statements are an integral part of this statement. Net (Expense) Revenue and Changes in Net PositionCity of Clearwater, FloridaStatement of ActivitiesFor the Year Ended September 30, 201721 Special Capital Other Totals General Development Improvement Governmental Governmental Fund Fund Fund Funds Funds ASSETS Cash and investments $ 29,708,900 $ 11,190,738 $ 52,896,878 $ 19,384,748 $ 113,181,264 Receivables (net where applicable, of allowances for estimated uncollectible amounts): Accrued interest 141,444 112,088 640 53,665 307,837 Accounts and contracts 511,142 - - - 511,142 Mortgages, notes and other loans - - - 4,889,016 4,889,016 Property taxes 94,937 6,086 - - 101,023 Utility taxes 1,081,911 - - - 1,081,911 Franchise fees 902,190 - - - 902,190 Other 30,102 - 1,940 7,748 39,790 Due from other governmental entities - grants - - 511,950 56,096 568,046 Due from other governmental entities - other 1,999,073 2,018,890 592,507 200,304 4,810,774 Inventories, at cost 62,195 - - - 62,195 Advances to other funds - - - 325,440 325,440 Total assets $ 34,531,894 $ 13,327,802 $ 54,003,915 $ 24,917,017 $ 126,780,628 LIABILITIES Accounts and contracts payable $ 1,433,334 $ - $ 2,654,687 $ 410,760 $ 4,498,781 Accrued payroll 2,506,869 - - 41,473 2,548,342 Due to other funds - - - 316,667 316,667 Due to other governmental entities 37,083 457,523 - 100,657 595,263 Deposits 5,300 - - - 5,300 Construction escrows - - - 28,383 28,383 Unearned revenue 1,979,605 6,086 - - 1,985,691 Advances from other funds - - - 325,440 325,440 Total liabilities 5,962,191 463,609 2,654,687 1,223,380 10,303,867 FUND BALANCES Nonspendable inventories 62,195 - - - 62,195 Restricted - 7,070,795 32,593,854 19,016,356 58,681,005 Committed - 282,920 18,704,824 3,144,491 22,132,235 Assigned 231,464 5,510,478 50,550 1,532,790 7,325,282 Unassigned 28,276,044 - - - 28,276,044 Total fund balances 28,569,703 12,864,193 51,349,228 23,693,637 116,476,761 Total liabilities and fund balances $ 34,531,894 $13,327,802 $ 54,003,915 $ 24,917,017 $ 126,780,628 The notes to the financial statements are an integral part of this statement. City of Clearwater, Florida Balance Sheet Governmental Funds September 30, 2017 22 Total fund balances of governmental funds 116,476,761$ Capital assets used in governmental activities are not financial resources, therefore, are not reported in the funds. The cost of the assets totals $567,528,575 and the accumulated depreciation totals $267,439,212 300,089,363 Other assets are prepaid or are not available as financial resources and, therefore, are not recognized in the funds: Accrued property taxes 101,023$ Accrued liens 508,788 Accrued permit fees 13,600 Accrued intergovernmental revenues 623,411 The net pension asset related to governmental activities does not represent financial resources and is not reported in the funds. Deferred outflows are not current assets or financial resources and, therefore, are not reported in the funds 3,243,712 Deferred inflows are not current liabilities or financial uses and, therefore, are not reported in the funds (26,874,581) Accrued pollution remediation obligation expenses are not financial uses and, therefore, are not reported in the funds. Accrued general long-term debt interest expenses are not financial uses and, therefore, are not reported in the funds. The assets and liabilities of the internal service funds (funds used to charge the costs of certain activities to individual funds) are included in the governmental activities in the statement of net position. Net position of internal service funds 69,709,663 Less: Capital assets included in total governmental capital assets above (28,000,170) Less: Net pension asset included in total governmental net pension asset above (6,049,595) Less: Deferred outflows included in total governmental above (329,017) Add: Deferred inflows included in total governmental above 2,725,951 Add: Capital lease purchases payable included in total governm ental below 19,546,717 Add: Compensated absences included in total governmental below 813,084 Add: Other post-employment benefits included in total governmental below 1,537,818 Less: Adjustment to reflect the consolidation of internal service fund activities related to enterprise funds 58,619,536 Long-term liabilities, including bonds payable, are not due and payable in the current period and accordingly are not reported in the funds. Long-term liabilities at year-end consist of: Bonds payable (6,910,000) Add: Issuance premium (to be amortized as a reduction of interest expense) (103,907) Capital lease purchases payable (21,241,365) Other post-employment benefits (12,223,793) Compensated absences (8,334,556) (48,813,621) Total net position of governmental activities 463,431,474$ The notes to the financial statements are an integral part of this statement. City of Clearwater, Florida Reconciliation of the Balance Sheet of Governmental Funds to the Statement of Net Position September 30, 2017 (1,334,915) 60,321,788 (224,726) (30,169) 23 Special Capital Other Total General Development Improvement Governmental Governmental Fund Fund Fund Funds Funds REVENUES Taxes: Property $ 44,620,095 $ 2,232,186 $ - $ - $ 46,852,281 Sales - 11,013,554 - - 11,013,554 Utility 14,834,609 - - - 14,834,609 Communications services 4,511,892 - - - 4,511,892 Other taxes 1,913,492 1,545,537 - - 3,459,029 Total taxes 65,880,088 14,791,277 - - 80,671,365 Franchise fees 9,393,528 - - - 9,393,528 Licenses, permits, and fees 2,893,783 999,446 - - 3,893,229 Intergovernmental: Federal - - 263,666 1,447,278 1,710,944 State 13,569,493 - 223,634 1,272,740 15,065,867 Local 9,346,060 1,341,676 592,507 2,179,378 13,459,621 Total intergovernmental 22,915,553 1,341,676 1,079,807 4,899,396 30,236,432 Charges for services 16,065,232 - - 1,238,939 17,304,171 Fines and forfeitures 1,421,063 - - 305,736 1,726,799 Investment earnings 166,528 188,501 2,225 103,096 460,350 Miscellaneous 2,354,460 - 250,500 1,446,023 4,050,983 Total revenues 121,090,235 17,320,900 1,332,532 7,993,190 147,736,857 EXPENDITURES Current: General government 16,174,944 - 91,254 11,193 16,277,391 Public safety 68,852,698 - 1,036,241 1,863,095 71,752,034 Physical environment 3,616,310 - 525,282 43,270 4,184,862 Transportation 5,984,559 - 3,356,076 285,239 9,625,874 Economic environment 2,043,750 - - 2,782,635 4,826,385 Human services 114,538 - - 351,308 465,846 Culture and recreation 29,144,534 - 3,189,937 1,533,529 33,868,000 Debt service: Principal - - - 1,087,535 1,087,535 Interest & fiscal charges - - - 413,760 413,760 Capital outlay - - 12,807,767 206,908 13,014,675 Total expenditures 125,931,333 - 21,006,557 8,578,472 155,516,362 Excess (deficiency) of revenues over (under) expenditures (4,841,098) 17,320,900 (19,674,025) (585,282) (7,779,505) OTHER FINANCING SOURCES (USES) Transfers in 11,445,884 21,632 27,867,562 6,077,652 45,412,730 Transfers out (11,689,259) (16,830,480) (4,518,840) (5,619,667) (38,658,246) Other long-term debt issued - - 1,076,592 - 1,076,592 Total other financing sources (uses) (243,375) (16,808,848) 24,425,314 457,985 7,831,076 Net change in fund balances (5,084,473) 512,052 4,751,289 (127,297) 51,571 Fund balances - beginning 33,654,176 12,352,141 46,597,939 23,820,934 116,425,190 Fund balances - ending $ 28,569,703 $ 12,864,193 $ 51,349,228 $ 23,693,637 $ 116,476,761 The notes to the financial statements are an integral part of this statement. City of Clearwater, Florida Statement of Revenues, Expenditures, and Changes in Fund Balances Governmental Funds For the Year Ended September 30, 2017 24 Net change in fund balances - total governmental funds 51,571$ Amounts reported for governmental activities in the Statement of Activities are different because: Governmental funds report capital outlays as expenditures while governmental activities report depreciation expense to allocate those costs over the life of the assets. This is the amount by which capital outlays exceeded depreciation in the current period. Expenditures for capital assets 19,345,102$ Less current year depreciation (12,307,732) 7,037,370 In the Statement of Activities, capital assets donated from enterprise funds are reported as transfers in. Governmental funds do not report capital assets.30,278 In the Statement of Activities, capital assets donated to enterprise funds are reported as transfers out. Governmental funds do not report capital assets.(8,200) In the Statement of Activities the loss on disposition of capital assets is reported. The loss is not a use of current resources and thus is not reported in the funds.(323,453) Loan proceeds provide current financial resources to governmental funds; however issuing debt increases long-term liabilities in the Statement of Net Position. In the current year these amounts are: Capital lease proceeds (1,076,592) Deferred outflows and deferred inflows are not current resources or uses of current financial resources and consequently are not reported in the funds: Current year change in deferred outflows (10,350,883) Current year change in deferred inflows (20,171,629) Repayment of long term debt principal is an expenditure in the governmental funds, however the repayment reduces long-term liabilities in the Statement of Net Position. Current year amounts are: Revenue bond principal payments 685,000 Capital lease principal payments 402,535 1,087,535 Net pension asset is not a current financial resource and consequently is not reported in the funds. However it is an asset in the Statement of Net Position. Current year change in the net pension asset 36,206,595 Liability for other post-employment benefits (OPEB) does not require the use of current financial resources and consequently is not reported in the funds. However, it is a liability in the Statement of Net Position. Current year change in the liability for other post-employment benefits (1,203,338) Some expenses reported in the Statement of Activities do not require the use of current financial resources and therefore are not reported as expenditures in the governmental funds: Current year change in compensated absences (268,317) Amortization of bond discounts and premiums 18,016 Current year change in pollution remediation obligation 7,587 Current year change in accrued interest expense 3,068 (239,646) Revenues in the statement of activities that do not provide current financial resources are not reported as revenues in the funds: Current year change in accrued property taxes receivable 347 Current year change in accrued liens receivable 95,257 Current year change in deferred permit fees (74,994) The net revenues of internal service funds (funds used to charge the costs of certain activities to individual funds) for governmental activities are reported in the Statement of Activities but not in the governmental funds.6,839,101 Total change in net position of governmental activities 17,899,319$ The notes to the financial statements are an integral part of this statement. City of Clearwater, Florida Reconciliation of the Statement of Revenues, Expenditures, and Changes in Fund Balances of Governmental Funds For the Year Ended September 30, 2017 to the Statement of Activities 25 Variance with Actual Final Budget Original Final Amounts Positive (Negative) Taxes: Property $ 44,384,830 $ 44,564,200 $ 44,620,095 $ 55,895 Utility taxes 14,717,600 14,717,600 14,834,609 117,009 Communications services 4,965,400 4,465,400 4,511,892 46,492 Other taxes 2,135,000 2,135,000 1,913,492 (221,508) Total taxes 66,202,830 65,882,200 65,880,088 (2,112) Franchise fees 10,280,100 9,480,100 9,393,528 (86,572) Licenses, permits, and fees 2,372,250 2,662,250 2,893,783 231,533 Intergovernmental: State 13,236,070 13,567,117 13,569,493 2,376 Local 8,703,750 9,303,750 9,346,060 42,310 Total intergovernmental 21,939,820 22,870,867 22,915,553 44,686 Charges for services 15,988,040 16,021,540 16,065,232 43,692 Fines and forfeitures 950,400 1,250,400 1,421,063 170,663 Investment earnings 525,000 525,000 166,528 (358,472) Miscellaneous 1,461,180 1,911,180 2,354,460 443,280 Total revenues 119,719,620 120,603,537 121,090,235 486,698 EXPENDITURES General government City Council 317,360 317,360 302,865 14,495 City Manager's Office 993,950 992,450 886,271 106,179 City Attorney's Office 1,651,920 1,651,920 1,488,097 163,823 Official Records & Legislative Services 1,060,210 1,060,210 981,449 78,761 Public Communications 997,000 997,000 998,626 (1,626) Finance 2,472,950 2,472,950 2,262,180 210,770 Human Resources 1,029,640 1,029,640 946,019 83,621 Non-Departmental 2,072,280 6,405,912 6,383,032 22,880 Engineering 61,709 61,709 61,657 52 Planning 1,901,810 1,901,810 1,621,946 279,864 City Auditor's Office 216,330 216,330 213,129 3,201 Total general government 12,775,159 17,107,291 16,145,271 962,020 Public safety Police 39,635,920 39,729,393 39,601,808 127,585 Fire 25,362,720 25,150,294 25,569,634 (419,340) Development & Neighborhood Services 3,721,460 3,721,460 3,630,984 90,476 Total public safety 68,720,100 68,601,147 68,802,426 (201,279) Physical environment Engineering 2,746,059 2,746,059 2,743,740 2,319 Parks and Recreation 984,670 984,670 934,534 50,136 Total physical environment 3,730,729 3,730,729 3,678,274 52,455 Transportation Engineering 4,737,962 4,737,962 4,691,684 46,278 Parks and Recreation 1,264,120 1,264,120 1,246,687 17,433 Total transportation 6,002,082 6,002,082 5,938,371 63,711 Economic environment CRA Administration 395,140 395,140 407,119 (11,979) Economic Development 1,702,420 1,702,420 1,687,201 15,219 Total economic environment 2,097,560 2,097,560 2,094,320 3,240 Human Services Human Resources / Equity Services 196,490 196,490 114,538 81,952 Total human services 196,490 196,490 114,538 81,952 Culture and recreation Parks and Recreation 21,021,310 20,830,894 21,185,048 (354,154) Library 6,846,090 6,846,090 6,685,914 160,176 Marine 1,179,360 1,212,860 1,166,191 46,669 Total culture and recreation 29,046,760 28,889,844 29,037,153 (147,309) Total expenditures (budgetary basis) 122,568,880 126,625,143 125,810,353 814,790 Excess (deficiency) of revenues over (under) expenditures (budgetary basis) (2,849,260) (6,021,606) (4,720,118) 1,301,488 OTHER FINANCING SOURCES (USES) Transfers in 10,276,910 11,473,540 11,445,884 (27,656) Transfers out (9,079,650) (11,884,136) (11,689,258) 194,878 Total other financing sources (uses) (budgetary basis) 1,197,260 (410,596) (243,374) 167,222 Excess (deficiency) of revenues and other financing sources over (under) expenditures and other financing uses (budgetary basis) Encumbered purchase orders, beginning of year - - (352,445) (352,445) Encumbered purchase orders, end of year - - 231,464 231,464 Excess (deficiency) of revenues and other financing sources over (under) expenditures and other financing uses (GAAP basis) Fund balances - beginning 33,654,176 33,654,176 33,654,176 - Fund balances - ending $ 32,002,176 $ 27,221,974 $ 28,569,703 $ 1,347,729 The notes to the financial statements are an integral part of this statement. (1,652,000) (6,432,202) (5,084,473) 1,347,729 Budgeted Amounts 1,468,710 City of Clearwater, Florida Statement of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual (Non-GAAP Budgetary Basis) General Fund For the Year Ended September 30, 2017 REVENUES (1,652,000) (6,432,202) (4,963,492) 26 Variance with Final Budget Actual Positive Original Final Amounts (Negative) REVENUES Taxes: Property $ 2,220,420 $ 2,230,150 $ 2,232,186 $ 2,036 Sales 10,442,200 10,842,200 11,013,554 171,354 Other taxes 1,535,350 1,535,350 1,545,537 10,187 Total taxes 14,197,970 14,607,700 14,791,277 183,577 Licenses, permits, and fees 270,000 1,014,200 999,446 (14,754) Intergovernmental: Local - - 1,341,676 1,341,676 Investment earnings 575,000 575,000 188,501 (386,499) Total revenues 15,042,970 16,196,900 17,320,900 1,124,000 EXPENDITURES Total expenditures - - - - Excess of revenues over expenditures 15,042,970 16,196,900 17,320,900 1,124,000 OTHER FINANCING SOURCES (USES) Transfers in - 21,632 21,632 - Transfers out (17,594,120) (17,594,120) (16,830,480) 763,640 Total other financing sources (uses) (17,594,120) (17,572,488) (16,808,848) 763,640 Excess of revenues and other sources over expenditures and other uses (2,551,150) (1,375,588) 512,052 1,887,640 Fund balances - beginning 12,352,141 12,352,141 12,352,141 - Fund balances - ending $ 9,800,991 $ 10,976,553 $ 12,864,193 $ 1,887,640 The notes to the financial statements are an integral part of this statement. For the Year Ended September 30, 2017 Budgeted Amounts City of Clearwater, Florida Statement of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual (GAAP Basis) Special Development Fund 27 Water Solid Waste and Sewer Gas & Recycling Utility Utility Utility ASSETS Current assets: Cash and investments $ 55,499,819 $42,304,489 $ 36,618,273 Accrued interest receivable 195,183 106,415 85,747 Accounts and contracts receivable: Billed 4,517,118 1,632,287 1,288,650 Unbilled charges estimated 3,289,100 1,768,000 1,041,770 7,806,218 3,400,287 2,330,420 Less: Allowance for uncollectable accounts (122,485) (64,768) (33,109) Total receivables, net 7,683,733 3,335,519 2,297,311 Other receivables - 26,652 - Due from other funds - - - Due from other governmental entities 312,163 - - Inventories, at cost 927,935 1,734,439 - Prepaid expenses and other assets 4,400 - - Total current assets - unrestricted 64,623,233 47,507,514 39,001,331 Current assets - restricted: Restricted cash and investments 11,398,657 3,065,489 1,122,753 Total current assets - restricted 11,398,657 3,065,489 1,122,753 Total current assets 76,021,890 50,573,003 40,124,084 Noncurrent assets: Restricted: Restricted cash and investments 20,958,217 300,000 - Net pension asset 6,871,222 3,489,972 4,543,021 Capital assets: Land and other nondepreciable assets 10,903,263 525,788 1,777,794 Capital assets, net of accumulated depreciation 246,876,115 63,731,014 1,834,525 Total noncurrent assets 285,608,817 68,046,774 8,155,340 Total assets 361,630,707 118,619,777 48,279,424 DEFERRED OUTFLOWS OF RESOURCES Deferred outflows - bond refunding 12,323,168 420,382 - Deferred outflows - pension 373,703 189,808 247,079 Total deferred outflows of resources 12,696,871 610,190 247,079 The notes to the financial statements are an integral part of this statement. City of Clearwater, Florida Statement of Net Position Proprietary Funds September 30, 2017 Business-type Enterprise 28 Governmental Activities - Stormwater Other Internal Service Utility Funds Total Funds $ 33,621,085 $18,315,212 $186,358,878 $ 70,428,241 82,941 59,700 529,986 151,169 993,532 18,409 8,449,996 - 1,489,400 - 7,588,270 - 2,482,932 18,409 16,038,266 - (27,028) - (247,390) - 2,455,904 18,409 15,790,876 - - - - 26,652 82,946 - - - 316,667 663,904 - 976,067 - - 47,978 2,710,352 404,399 - - 4,400 2,063,155 36,823,834 18,441,299 206,397,211 73,446,577 1,846,165 - 17,433,064 - 1,846,165 - 17,433,064 - 38,669,999 18,441,299 223,830,275 73,446,577 1,375,312 - 22,633,529 - 1,933,696 1,178,856 18,016,767 6,049,595 28,126,347 2,952,868 44,286,060 1,471,431 48,791,290 29,395,979 390,628,923 26,528,739 80,226,645 33,527,703 475,565,279 34,049,765 118,896,644 51,969,002 699,395,554 107,496,342 1,083,159 - 13,826,709 - 105,167 64,114 979,871 329,017 1,188,326 64,114 14,806,580 329,017 (Continued) Activities Funds 29 Water Solid Waste and Sewer Gas & Recycling Utility Utility Utility City of Clearwater, Florida Statement of Net Position Proprietary Funds September 30, 2017 Business-type Enterprise LIABILITIES Current liabilities: Accounts and contracts payable 3,197,339 2,626,667 791,700 Accrued payroll 335,462 178,749 234,729 Accrued interest payable 21,557 19,766 7,175 Deposits - - - Unearned revenue and liens - - - Current portion of long-term liabilities: Compensated absences 403,130 345,491 190,192 Revenue bonds 1,164,167 595,833 - Capital lease purchases payable 109,344 85,781 - Claims payable - - - Total current liabilities (payable from current assets) 5,230,999 3,852,287 1,223,796 Current liabilities (payable from restricted assets): Construction contracts payable 461,342 - - Accrued interest payable 1,713,274 22,207 - Current portion of long-term liabilities, revenue bonds 5,820,833 54,167 - Customer deposits 3,403,208 2,989,115 1,122,753 Total current liabilities payable from restricted assets 11,398,657 3,065,489 1,122,753 Total current liabilities 16,629,656 6,917,776 2,346,549 Noncurrent liabilities: Compensated absences 340,536 291,847 160,660 Other postemployment benefits 1,845,980 1,021,169 1,310,873 Revenue bonds (net of unamortized premiums/discounts) 143,877,234 9,905,000 - Capital lease purchases payable 307,817 335,709 - Claims payable - - - Total non-current liabilities 146,371,567 11,553,725 1,471,533 Total liabilities 163,001,223 18,471,501 3,818,082 DEFERRED INFLOWS OF RESOURCES Deferred inflows - pension 3,096,176 1,572,583 2,047,087 Total deferred inflows of resources 3,096,176 1,572,583 2,047,087 NET POSITION Net investment in capital assets 118,823,151 53,700,694 3,612,319 Restricted for: Revenue bond debt service and sinking fund requirements 13,483,733 54,167 - Revenue bond renewal and replacement requirements 11,140,063 300,000 - Water and sewer impact fees 2,155,254 - - Pensions 6,871,222 3,489,972 4,543,021 Unrestricted 55,756,756 41,641,050 34,505,994 Total net position $ 208,230,179 $ 99,185,883 $ 42,661,334 The notes to the financial statements are an integral part of this statement. 30 Governmental Activities - Stormwater Other Internal Service Utility Funds Total Funds Activities Funds 1,274,271 432,524 8,322,501 1,797,013 94,126 84,846 927,912 286,016 - - 48,498 - - 89,900 89,900 - - 26,454 26,454 319,028 137,689 60,340 1,136,842 440,760 129,167 - 1,889,167 - 58,351 3,954 257,430 6,054,157 - - - 3,856,469 1,693,604 698,018 12,698,704 12,753,443 - - 461,342 - 425,332 - 2,160,813 - 1,420,833 - 7,295,833 - - - 7,515,076 - 1,846,165 - 17,433,064 - 3,539,769 698,018 30,131,768 12,753,443 116,311 50,970 960,324 372,324 510,673 666,600 5,355,295 1,537,818 30,130,022 - 183,912,256 - 224,722 15,550 883,798 13,492,560 - - - 7,233,600 30,981,728 733,120 191,111,673 22,636,302 34,521,497 1,431,138 221,243,441 35,389,745 871,324 531,192 8,118,362 2,725,951 871,324 531,192 8,118,362 2,725,951 46,037,701 32,329,343 254,503,208 8,453,453 2,796,145 - 16,334,045 - - - 11,440,063 - - - 2,155,254 - 1,933,696 1,178,856 18,016,767 6,049,595 33,924,607 16,562,587 182,390,994 55,206,615 $ 84,692,149 $50,070,786 484,840,331 $ 69,709,663 Net position of business-type activities $ 486,175,246 1,334,915 Adjustment to reflect consolidation of internal service fund activities related to enterprise funds 31 Water Solid Waste and Sewer Gas & Recycling Utility Utility Utility Operating revenues: Sales to customers $ 78,160,151 $38,319,205 $ 22,376,563 Service charges to customers 557,802 1,873,633 91,115 User charges to customers - - 2,123,308 Billings to departments - - - Rentals 108,859 - - Other 2,687,456 408,972 529,712 Total operating revenues 81,514,268 40,601,810 25,120,698 Operating expenses: Personal services 11,358,189 5,456,900 7,309,642 Purchases for resale 7,531,079 12,035,123 18,908 Operating materials and supplies 3,542,496 1,210,109 499,003 Transportation 1,390,044 658,844 5,120,071 Utility service 2,846,663 108,262 102,896 Dumping charges 2,479 - 4,262,893 Depreciation 16,083,185 2,483,019 245,692 Interfund administrative charges 6,877,930 2,612,960 1,533,000 Other current charges: Professional fees 2,173,513 880,223 246,745 Advertising 54,724 1,476,757 173,531 Communications 208,863 109,335 88,354 Printing and binding 12,282 11,494 16,768 Insurance 757,660 228,070 319,060 Repairs and maintenance 9,612,870 268,498 173,232 Rentals 2,803,016 11,923 3,696 Miscellaneous 260,667 346,911 100,771 Data processing charges 744,220 485,810 209,340 Taxes - 2,026,211 - Total other current charges 16,627,815 5,845,232 1,331,497 Total operating expenses 66,259,880 30,410,449 20,423,602 Operating income 15,254,388 10,191,361 4,697,096 The notes to the financial statements are an integral part of this statement. Enterprise City of Clearwater, Florida Statement of Revenues, Expenses, and Changes in Net Position Proprietary Funds For the Year Ended September 30, 2017 Business-type 32 Governmental Activities - Stormwater Other Internal Service Utility Funds Total Funds $ 18,174,361 $ 9,126,396 $166,156,676 $ - 71,284 - 2,593,834 - - 253,043 2,376,351 - - - - 53,897,839 - 2,639,524 2,748,383 47,175 325,076 240,545 4,191,761 206,560 18,570,721 12,259,508 178,067,005 54,151,574 3,004,852 2,962,294 30,091,877 9,522,265 - 1,730,243 21,315,353 3,834,497 303,952 362,539 5,918,099 1,016,612 998,668 124,996 8,292,623 237,730 37,801 520,949 3,616,571 535,460 106,854 - 4,372,226 - 3,134,322 893,958 22,840,176 8,199,730 1,727,510 1,478,440 14,229,840 253,820 614,102 359,851 4,274,434 7,024,397 6,997 14,707 1,726,716 - 38,367 79,015 523,934 1,045,520 2,452 13,838 56,834 19,315 88,690 84,870 1,478,350 18,604,348 1,769,134 140,667 11,964,401 2,212,462 2,475 33,311 2,854,421 508,064 78,360 564,493 1,351,202 295,254 262,390 119,200 1,820,960 488,560 - 1,355 2,027,566 16,592 2,862,967 1,411,307 28,078,818 30,214,512 12,176,926 9,484,726 138,755,583 53,814,626 6,393,795 2,774,782 39,311,422 336,948 (Continued) Activities Funds 33 Water Solid Waste and Sewer Gas & Recycling Utility Utility Utility Enterprise City of Clearwater, Florida Statement of Revenues, Expenses, and Changes in Net Position Proprietary Funds For the Year Ended September 30, 2017 Business-type Nonoperating revenues (expenses): Investment earnings (loss) 382,536 171,488 130,492 Interest expense (6,521,377) (385,624) (8,069) Bond issuance costs (634,364) - - Gain (loss) on disposal of capital assets (21,627) (2,232) - Total nonoperating revenue (expenses) (6,794,832) (216,368) 122,423 Income before contributions and transfers 8,459,556 9,974,993 4,819,519 Capital grants and contributions 1,025,433 - - Transfers in - - - Transfers out (4,565,839) (4,533,335) (1,588,546) Change in net position 4,919,150 5,441,658 3,230,973 Total net position - beginning 203,311,029 93,744,225 39,430,361 Total net position - ending $ 208,230,179 $ 99,185,883 $ 42,661,334 Adjustment to reflect the consolidation of internal service fund activities related to enterprise funds Change in net position of business-type activities (page 21) The notes to the financial statements are an integral part of this statement. 34 Governmental Activities - Stormwater Other Internal Service Utility Funds Total Funds Activities Funds 114,729 (16,849) 782,396 267,429 (980,696) (102) (7,895,868) (365,420) - - (634,364) - (8,651) 322,264 289,754 721,892 (874,618) 305,313 (7,458,082) 623,901 5,519,177 3,080,095 31,853,340 960,849 2,481,274 6,470 3,513,177 51,900 - 16,978 16,978 6,416,176 (1,339,377) (798,472) (12,825,569) (362,069) 6,661,074 2,305,071 22,557,926 7,066,856 78,031,075 47,765,715 62,642,807 $ 84,692,149 $ 50,070,786 $ 69,709,663 227,755 $ 22,785,681 35 Water Solid Waste and Sewer Gas & Recycling Utility Utility Utility CASH FLOWS FROM OPERATING ACTIVITIES Cash received from customers $ 80,573,196 $ 40,066,123 $ 24,938,214 Cash received from other funds - - - Cash payments to suppliers (27,725,296) (17,907,411) (5,307,526) Cash payments to employees (11,929,738) (6,387,158) (7,634,244) Cash payments to other funds (10,632,786) (4,223,078) (7,398,056) Net cash provided by operating activities 30,285,376 11,548,476 4,598,388 CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES Transfers from other funds - - - Transfers to other funds (4,565,839) (4,533,335) (1,588,546) Receipt of cash on loans to/from other funds - - - Payment of cash on loans to/from other funds - - - Net cash provided (used) by noncapital financing activities (4,565,839) (4,533,335) (1,588,546) CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES Principal payments on debt (110,317,573) (875,361) - Interest paid (7,329,244) (305,366) (7,471) Acquisition of capital assets (6,152,228) (5,992,572) (741,400) Proceeds from issuance of debt 98,504,800 419,661 - Payment of bond issuance costs (634,364) - - Capital contributed by: Other governmental entities 376,070 - - Property owners 6,154 - - Developers 748,358 - - Net cash provided (used) by capital and related financing activities (24,798,027) (6,753,638) (748,871) CASH FLOWS FROM INVESTING ACTIVITIES Investment earnings 409,233 187,188 143,886 Net cash provided (used) by investing activities 409,233 187,188 143,886 Net increase (decrease) in cash and cash equivalents 1,330,743 448,691 2,404,857 Cash and cash equivalents at beginning of year 86,525,950 45,221,287 35,336,169 Cash and cash equivalents at end of year $ 87,856,693 $ 45,669,978 $ 37,741,026 Cash and cash equivalents classified as: Cash and investments $55,499,819 $ 42,304,489 $ 36,618,273 Restricted cash and investments 32,356,874 3,365,489 1,122,753 Total cash and cash equivalents $ 87,856,693 $ 45,669,978 $ 37,741,026 The notes to the financial statements are an integral part of this statement. Enterprise City of Clearwater, Florida Statement of Cash Flows Proprietary Funds For the Year Ended September 30, 2017 Business-type 36 Governmental Activities - Stormwater Other Internal Service Utility Funds Total Funds $ 18,453,205 $ 12,263,221 $ 176,293,959 $ - - - - 54,163,427 (2,066,015) (3,494,735) (56,500,983) (32,873,660) (3,099,744) (3,027,747) (32,078,631) (9,891,579) (3,136,456) (1,999,766) (27,390,142) (3,436,109) 10,150,990 3,740,973 60,324,203 7,962,079 - 16,978 16,978 6,416,176 (1,339,377) (798,472) (12,825,569) (362,069) - - - 808,320 - - - (91,654) (1,339,377) (781,494) (12,808,591) 6,770,773 (1,549,635) (976) (112,743,545) (5,571,055) (825,449) (102) (8,467,632) (365,420) (6,618,282) (11,220,428) (30,724,910) (11,217,100) 271,792 20,480 99,216,733 8,103,409 - - (634,364) - 2,051,386 13,247 2,440,703 - - - 6,154 - - - 748,358 - (6,670,188) (11,187,779) (50,158,503) (9,050,166) 128,444 (1,117) 867,634 289,779 128,444 (1,117) 867,634 289,779 2,269,869 (8,229,417) (1,775,257) 5,972,465 34,572,693 26,544,629 228,200,728 64,455,776 $ 36,842,562 $ 18,315,212 $ 226,425,471 $ 70,428,241 $ 33,621,085 $ 18,315,212 $ 186,358,878 $ 70,428,241 3,221,477 - 40,066,593 - $ 36,842,562 $ 18,315,212 $ 226,425,471 $ 70,428,241 (Continued) Activities Funds 37 Water Solid Waste and Sewer Gas & Recycling Utility Utility Utility Enterprise City of Clearwater, Florida Statement of Cash Flows Proprietary Funds For the Year Ended September 30, 2017 Business-type Reconciliation of operating income to net cash provided by operating activities: Operating income $ 15,254,388 $ 10,191,361 $ 4,697,096 Adjustments to reconcile operating income to net cash provided by operating activities: Depreciation 16,083,185 2,483,019 245,692 Capitalized labor and materials (96,630) (963,568) - Change in assets, deferred outflows, liabilities and deferred inflows: (Increase) decrease in accounts receivable (1,163,696) (658,226) (219,012) (Increase) decrease in inventory 3,953 65,644 - (Increase) decrease in prepaid expenses - - 1,208 (Increase) decrease in net pension asset (4,621,475) (2,331,879) (3,085,327) (Increase) decrease in deferred outflows 1,375,143 710,439 886,064 Increase (decrease) in accounts and contracts payable 474,007 418,932 161,478 Increase (decrease) in accrued payroll (2,255) 3,881 42,851 Increase (decrease) in deposits 222,624 122,539 36,528 Increase (decrease) in unearned revenue - - - Increase (decrease) in other postemployment benefits 184,258 203,644 124,439 Increase (decrease) in deferred inflows 2,571,874 1,302,690 1,707,371 Total adjustments 15,030,988 1,357,115 (98,708) Net cash provided by operating activities $ 30,285,376 $ 11,548,476 $ 4,598,388 Non-cash investing, capital and financing activities: Contributions from developers $ 210,712 $ - $ - Contributions from other governments - - - The notes to the financial statements are an integral part of this statement. 38 Governmental Activities - Stormwater Other Internal Service Utility Funds Total Funds Activities Funds $ 6,393,795 $ 2,774,782 $ 39,311,422 $336,948 3,134,322 893,958 22,840,176 8,199,730 - - (1,060,198) - (117,516) 4,723 (2,153,727) 11,328 - (14,135) 55,462 (1,456) - - 1,208 (603,164) (1,302,891) (788,677) (12,130,249) (4,117,366) 385,191 239,192 3,596,029 1,173,005 835,281 148,108 2,037,806 451,812 49,926 (73,573) 20,830 108,824 - 11,362 393,053 - - (12,372) (12,372) (63,805) 48,567 117,344 678,252 190,576 724,315 440,261 6,746,511 2,275,647 3,757,195 966,191 21,012,781 7,625,131 $ 10,150,990 $ 3,740,973 $ 60,324,203 $ 7,962,079 $- $ - $210,712 $ - - - - 51,900 39 Pension Trust Agency Funds Fund ASSETS Cash and investments $ 4,977,076 $ 391,898 Managed investment accounts, at fair value: Cash and cash equivalents 20,450,512 - Government bonds 94,703,610 - Index linked government bonds 1,873,301 - Agency bonds 8,694,016 - Municipal bonds 3,854,244 - Domestic corporate bonds 87,907,937 - International equity securities 130,530,777 - Domestic stocks 373,930,748 - Mortgage backed bonds 95,673,077 - Asset backed securities 2,326,824 - Other/Rights/Warrants 1,342 - Domestic equity mutual funds 62,213,104 - International equity mutual funds 47,487,273 - Infrastructure 30,683,363 - Real estate 91,254,528 - Total managed investment accounts 1,051,584,656 - Securities lending collateral 184,130,367 - Receivables: Interest and dividends 2,767,731 333 Unsettled investment sales 17,249,318 - Securities lending earnings 40,920 - Due from others 45 - Total receivables 20,058,014 333 Total assets 1,260,750,113 392,231 LIABILITIES Accounts payable 881,346 - Unsettled investment purchases 53,653,584 - Obligations under securities lending 184,130,367 - Other miscellaneous payables: Downtown Development Board - 159,267 Special purpose funds - 7,833 Other - 225,131 Total miscellaneous payables - 392,231 Total liabilities 238,665,297 $ 392,231 FIDUCIARY NET POSITION Restricted for pensions 1,022,084,816 Total fiduciary net position $ 1,022,084,816 The notes to the financial statements are an integral part of this statement. City of Clearwater, Florida Statement of Fiduciary Net Position Fiduciary Funds September 30, 2017 40 City of Clearwater, Florida Statement of Changes in Fiduciary Net Position Fiduciary Funds For the Year Ended September 30, 2017 Pension Trust Funds ADDITIONS Contributions: Contributions from employer $ 11,898,912 Contributions from employer - state tax 2,086,047 Contributions from employees 7,004,943 Total contributions 20,989,902 Investment income: Net appreciation in fair value of investments 91,018,957 Interest 9,317,252 Dividends 10,417,491 110,753,700 Less investment expenses: Investment management / custodian fees (5,896,818) Net income from investing activities 104,856,882 Securities lending income: Gross earnings 1,954,680 Rebate received (paid) (1,042,798) Bank fees (318,951) Net income from securities lending 592,931 Total additions 126,439,715 DEDUCTIONS Benefits and withdrawal payments: Benefits 48,541,861 Withdrawal payments 1,366,008 Total benefits and withdrawal payments 49,907,869 Income before administrative expenses 76,531,846 Administrative expenses (342,566) Net increase 76,189,280 Fiduciary net position restricted for pensions Fiduciary net position - beginning 945,895,536 Fiduciary net position - ending $ 1,022,084,816 The notes to the financial statements are an integral part of this statement. 41 City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 42 Note I – Summary of Significant Accounting Policies The City of Clearwater was first incorporated in 1915 and reestablished in 1923 as a municipal corporation by Chapter 9710, Special Laws of Florida, 1923, as amended. The City is a Florida municipal corporation governed by a five member City Council including a mayor-council-member. The City has an estimated population of 113,723 and is located in the four-county Tampa-St. Petersburg-Clearwater Metropolitan Statistical Area (MSA), which has an estimated population of 3,028,896. The financial statements of the City of Clearwater, Florida, reporting entity (City) have been prepared in accordance with generally accepted accounting principles (GAAP) as applied to governmental units. The Governmental Accounting Standards Board (GASB) is the standard-setting body for governmental accounting and financial reporting. The GASB periodically updates its codification of the existing Governmental Accounting and Financial Reporting standards which, along with subsequent GASB pronouncements (Statements and Interpretations), constitutes GAAP for governmental units. The City’s more significant accounting policies are described below. I.A. Financial Reporting Entity In evaluating the City as a reporting entity, management has included in the accompanying financial statements the City of Clearwater (the primary government) and its component units, entities for which the government is considered to be financially accountable. The City has adhered to the standards set forth in GASB Statement No. 14, as amended by GASB Statement No. 39 and GASB Statement No. 61, in reporting the primary government (including blended component units), the reporting entity, and related organizations. Blended Component Unit – Clearwater Community Redevelopment Agency: Component units that meet the criteria for blended presentation in accordance with GASB Statement No. 14, as amended by GASB Statement No. 39 and GASB Statement No. 61, are reported in a manner similar to that of the primary government itself. Accordingly, throughout this report, data presented for the primary government includes data of the following blended component unit. The Clearwater Community Redevelopment Agency (CRA), created by authority of Florida Statute Chapter 163, Part III, and City of Clearwater Resolutions 81-67 and 81-68, although it is legally separate, is reported as if it were part of the City (blended component unit) because the City Council serves as the governing board of the CRA, and City management has operational responsibility for the CRA. Separate financial statements for the CRA are not available. However financial statements for the CRA are included in the City’s comprehensive annual financial report as a governmental non-major special revenue fund and a governmental non-major capital projects fund. Related Organization – Clearwater Housing Authority (CHA): CHA is a public housing authority created by City Resolution 69-5 (1969), under Section 421.04 of the Florida Statutes. CHA receives primary funding from the Federal Department of Housing and Urban Development (HUD). The City Council appoints the governing board; however, the City Council is not able to impose its will on the CHA, nor does the City have any responsibility for the budget, debt, financing deficits, or fiscal management of CHA. Consequently, it is not a component unit of the City of Clearwater. Separate audited financial statements of CHA as of March 31, 2017 are available from CHA. Related Organization – Downtown Development Board: The City of Clearwater serves as administrative agent for the Clearwater Downtown Development Board (DDB). The Downtown Development Board is an independent special district of the City of Clearwater with an independent board elected by its members, with its own levy (0.9651 mills for fiscal 2017) on downtown properties, and is not financially dependent upon the City. Consequently, it is not a component unit of the City of Clearwater. The DDB’s cash balance held by the City as administrative agent is reflected in the City’s fiduciary agency fund. Separate audited financial statements of the DDB as of September 30, 2017 are available from the DDB. Jointly governed organization – Florida Gas Utility: The City of Clearwater is a member of the Florida Gas Utility (FGU), a non-profit municipal public entity created for the primary purpose of reducing the costs of purchased gas for its members. FGU is a public body corporate and politic pursuant to Section 163.01 Florida Statutes (the Florida Interlocal Cooperation Act), as amended, and the Interlocal Agreement, dated September 1, 1989, which was subsequently amended by the Amended Interlocal Agreement on June 1, 1992, amended and restated by th be Amended and Restated Interlocal City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 43 Agreement, dated July 1, 1996, then amended and restated by the Second Amended and Restated Interlocal Agreement, dated July 27, 1999, and then amended and restated by the Third Amended and Restated Interlocal Agreement dated March 25, 2011 (the Interlocal Agreement), executed and delivered among FGU and its members, which include municipalities, municipal utilities, and an interlocal agreement consisting of such entities. Due to the diverse needs of municipal utility systems, FGU established itself as a project-oriented agency. Under this structure, each member has the option whether or not to participate in a project. FGU has the authority to, among other things, plan, finance, acquire, construct, manage, operate, deliver, service, utilize, own, broker, exchange, and distribute natural gas, or other energy and energy services, pursuant to the Interlocal Agreement. As of September 30, 2017, FGU has 22 members. Separate audited financial statements of FGU as of September 30, 2017, are available from FGU. I.B. Basis of Presentation The City’s Basic Financial Statements contain three components: government-wide financial statements, fund financial statements, and notes to the financial statements. I.B.1. Government-wide financial statements. The government-wide financial statements report information on all of the nonfiduciary activities of the primary government and its component unit using the accrual basis of accounting, which is similar to the accounting used by private-sector businesses. Governmental activities, which normally are supported by taxes and intergovernmental revenues, are reported separately from business-type activities, which rely to a significant extent on fees and charges for support. The statement of net position presents information on all of the assets, deferred outflows of resources, liabilities, and deferred inflows of resources of the City. Net position is defined as the residual of all other elements presented in a statement of financial position. Net position is the difference between (a) assets and deferred outflows of resources and (b) liabilities and deferred inflows of resources. Changes in net position may serve as an indicator of whether the financial position of the City is improving or deteriorating. The statement of activities demonstrates the degree to which the direct expenses of a given function or segment are offset by program revenues. Direct expenses are those that are clearly identifiable with a specific function or segment. Program revenues include 1) charges to customers or applicants who purchase, use, or directly benefit from goods, services, or privileges provided by a given function or segment and 2) grants and contributions that are restricted to meeting the operational or capital requirements of a particular function or segment. The operating grants include operating-specific and discretionary (either operating or capital) grants while the capital grants column reflects capital- specific grants. Taxes and other items not properly included among program revenues are reported instead as general revenues. All revenues and expenses are reported as soon as the underlying transaction has occurred, regardless of when cash is received or paid. As a general rule the effect of interfund activity has been eliminated from the government-wide financial statements. Exceptions to this general rule are payments-in-lieu of taxes and other interfund services provided and used. Elimination of these charges would distort the direct costs and program revenues reported for the various functions concerned. I.B.2. Fund financial statements. Separate financial statements are provided for governmental funds, proprietary funds, and fiduciary funds, even though the latter are excluded from the government-wide financial statements. An emphasis is on the major funds in either the governmental or business-type categories. Major individual governmental funds and major individual enterprise funds are reported as separate columns in the fund financial statements. Non-major funds (by category) are summarized into a single column. The City reports the following major governmental funds: The General Fund is the government’s primary operating fund. It accounts for all financial resources of the general government, except those required to be accounted for in another fund. City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 44 The Special Development Fund is a special revenue fund used to account for impact fees, property taxes for road improvements, local option gas taxes, infrastructure taxes, and other revenues which are restricted legally or by City Council policy to be used for specific capital improvement projects. The Capital Improvement Fund is used to provide combined accounting presentation for all City capital improvement projects except those financed from proprietary funds or bond proceeds where bond ordinance provisions require the segregation of bond proceeds in separate funds. The City reports the following major enterprise funds: The Water and Sewer Utility enterprise fund is used to account for the financing, construction, operation, and maintenance of the water and sewer services of the City from charges made to users of the service. The Gas Utility enterprise fund is used to account for the financing, construction, operation, and maintenance of the gas services of the City from charges made to the users of the service. The Solid Waste & Recycling Utility enterprise fund is used to account for the financing, construction, operation, and maintenance of the solid waste and recycling services of the City from charges made to the users of the service. The Stormwater Utility enterprise fund is used to account for the financing, construction, operation, and maintenance of the stormwater management system of the City from charges assessed against each developed property. Proprietary funds distinguish operating revenues and expenses from nonoperating items. Operating revenues and expenses generally result from providing services and producing and delivering goods in connection with the proprietary fund’s principal ongoing operations. Operating expenses for proprietary funds include the cost of sales and service, administrative expenses, and depreciation on capital assets. All revenues and expenses not meeting this definition are reported as nonoperating revenues and expenses. Additionally, the City reports the following fund types: Internal service funds account for fleet management, information technology, telephone, employee relations, facilities management, radio communications, insurance, and risk management services provided to other City departments on a cost reimbursement basis. The Garage, Administrative Services, General Services, and Central Insurance funds primarily benefit governmental funds and are consequently included as governmental activities. Pension trust funds account for the financial operation and condition of the Employees’ Pension Plan, the Firefighters’ Relief and Pension Plan, the Police Supplemental Pension Plan, and the Firefighters Supplemental Pension Plan. The Treasurer’s Escrow Agency Fund accounts for the receipt, custody, and expenditure of monies held temporarily in an agency capacity for other parties. The pension trust funds and the agency fund are fiduciary funds used to account for resources held for the benefit of parties outside the government. Fiduciary funds are not included in the government-wide financial statements because the resources of these funds are not available to support the City’s own programs. I.C. Measurement Focus and Basis of Accounting The government-wide financial statements are reported using the economic resources measurement focus and the accrual basis of accounting, as are the proprietary fund and fiduciary fund financial statements. The agency fund included within the fiduciary fund financial statements also uses the accrual basis of accounting but does not have a measurement focus. Revenues are recorded when earned and expenses are recorded when a liability is incurred, regardless of the timing of related cash flows. Property taxes are recognized as revenues in the year for which they are levied. Grants and similar items are recognized as revenue as soon as all eligibility requirements imposed by the provider have been met. City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 45 Governmental fund financial statements are reported using the current financial resources measurement focus and the modified accrual basis of accounting. Revenues are recognized as soon as they are both measurable and available. Revenues are considered to be available when they are collectible within the current period or soon enough thereafter to pay liabilities of the current period. For this purpose, the City considers property tax revenues to be available if they are collected within 60 days of the end of the current fiscal year. Other revenues are considered to be available if they are collected within 90 days of fiscal year-end. Expenditures generally are recorded when a liability is incurred, as under accrual accounting. However, debt service expenditures, as well as expenditures related to compensated absences and claims and judgments, are recorded only when payment is due. Intergovernmental revenues, representing grants and assistance received from other governmental units, are generally recognized as revenues in the period when all eligibility requirements, as defined by GASB Statement No. 33, have been met, and funds are available from the grantor agency or government. Taxes, franchise fees, licenses, and interest associated with the current fiscal period are all considered susceptible to accrual and so have been recognized as revenues of the current fiscal period for the governmental funds. All other revenue items are considered to be measurable and available only when cash is received by the City. I.D. Assets, Liabilities, and Net position or Fund Balance I.D.1. Deposits, pooled cash, and investments Cash and investments are presented on the balance sheet in the basic financial statements at fair value in accordance with GASB Statement No. 31, Accounting and Financial Reporting for Certain Investments and for External Investment Pools; and GASB Statement No. 72, Fair Value Measurement and Application. Investments with original maturities of three months or less are considered to meet the definition of cash equivalents. The majority of the investments are held by the City's consolidated pool of cash and investments. The City utilizes the consolidated cash pool to account for cash and investments of all City funds other than those that are required by ordinance to be physically segregated. The consolidated cash pool concept allows each participating fund to benefit from the economies of scale and improved yield that are inherent to a larger investment pool. Formal accounting records detail the individual equities of the participating funds. The cash pool utilizes a single checking account for all City receipts and disbursements. Since fund equities in this cash management pool have the general characteristics of demand deposits in that additional funds may be deposited at any time and funds may be withdrawn at any time without prior notice or penalty, each fund's equity in pooled cash account is considered a cash equivalent, regardless of the maturities of investments held by the pool. All individual fund cash equity in a deficit (overdraft) position with respect to the consolidated cash pool is reclassified at year-end to short-term interfund payables to the Capital Improvement Fund. The Capital Improvement Fund is the fund selected by management to reflect the offsetting interfund receivables in such cases. The City has an agreement with its depository bank which pays interest at the federal funds rate, with no requirement for a minimum compensating balance. The federal funds rate was 1.06% at September 30, 2017. This account is collateralized in accordance with the Florida Security for Public Deposits Act. The City Charter and the current Investment Policy, adopted by the City Council on September 9, 2010, authorize consolidated cash pool investments in the following: direct federal government obligations; federal agencies and instrumentalities; SEC registered money market funds with the highest credit quality rating; interest bearing time deposits or savings accounts in qualified public depositories; debt issued by the State of Florida or any political subdivision thereof including pools; securities of open-end or closed-end management-type investment companies as defined in the policy; collateralized repurchase agreements and reverse repurchase agreements; local government investment pools per Section 163.01, Florida Statutes; and commercial paper of prime quality as defined in the policy. All investments are reported at fair value. The City utilizes a very conservative investment philosophy when it invests its pooled cash funds in that the return of the principal is more important than the return on the principal. The City does not actively trade its portfolio and generally holds City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 46 investments until maturity. Through the use of a laddered approach to maturities and by timing maturities to cash needs, the City does not anticipate selling investments to meet cash flow requirements. Under the City’s Investment Policy, a performance measurement standard has been established. The performance measure chosen is a weighted average of: the overnight interest rate; and three month, six month, one year, three year, five year, and ten year Treasury rates, respectively. For the fiscal year ended September 30, 2017, the performance measure weighted average was 1.21%. The actual pooled cash earnings performance before bank charges was 1.60%. Investments being held outside of the consolidated cash pool include escrowed debt service investments and employee retirement investments. Permissible escrowed debt service investments are specifically defined in each individual debt instrument, but generally follow the same limitations applicable to consolidated cash pool investments. The City maintains four different employee retirement programs, and each one has its own list of permitted investments. Generally, each plan allows the same type of investments as the consolidated cash pool, but additionally allows some portion of its assets to be invested in corporate bonds, notes of corporations, and stocks that are listed on one or more of the recognized national or international stock exchanges. I.D.2. Receivables and payables Activity between funds that are representative of lending/borrowing arrangements outstanding at the end of the fiscal year are referred to as either “due to/from other funds” (i.e. the current portion of interfund loans) or “advances to/from other funds” (i.e. the non-current portion of interfund loans). All other outstanding balances between funds are reported as “due to/from other funds.” Any residual balances outstanding between the governmental activities and business-type activities are reported in the government-wide financial statements as “internal balances”. All trade and property tax receivables are shown net of an allowance for uncollectible accounts. Trade accounts receivable less than 60 days are included in the trade accounts receivable allowance for uncollectible accounts at the five- year average loss experience rate of 2.94%. Trade accounts receivable in excess of 60 days are reserved at 40%. The property tax receivable allowance for uncollectible accounts is 10% of the current year portion of the receivable, and 30%, 50%, 70%, 90%, and 95% for the receivable portions attributable to the prior five years respectively (fiscal 2012 thru 2016), and 100% of the receivable attributable to fiscal years 2011 and prior. Property tax revenue is recognized in the fiscal year for which the taxes are levied, provided the availability test is met, in conformance with National Council on Governmental Accounting Interpretation No. 3. Property taxes for the following fiscal year are levied by City Council action in September of each year. This levy is apportioned to property owners based on the previous January 1 assessed values. Tax bills are mailed out on or about November 1, and the collection period runs from November 1 through March 31. On April 1, unpaid property taxes are considered delinquent and become a lien. Tax certificates are sold in June for real property with delinquent taxes. Since taxes are not collected prior to November 1, the City does not record revenue for advance collections. Uncollected taxes receivable at year-end are recorded, with an appropriate allowance for estimated uncollectible amounts. The net amount deemed to be collectible but not current (not expected to be collected within sixty days after the close of the fiscal year) is shown as deferred revenue in the appropriate fund. All delinquent property taxes, except those levied specifically for the restricted purposes of financing activities accounted for in the Special Development Fund, are recorded in the General Fund. Property tax revenues are recognized in the General Fund and the required transfers to the appropriate debt service or pension fund are recorded as operating transfers from the General Fund. The City is permitted by State law to levy ten mills without referendum. Additional millage not subject to the ten mill limitation is authorized if approved by referendum, for a period not to exceed two years. The tax rate of 5.1550 mills for the year ended September 30, 2017 was the same rate that was levied for the seven preceding fiscal years. Water, gas, stormwater, solid waste and recycling charges to customers are based on actual consumption. Consumption is determined on a monthly cycle basis. The City recognizes the unbilled consumption as revenue as of September 30th. City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 47 I.D.3. Inventories and prepaid items Inventories of proprietary funds are stated at cost and valued on the first-in first-out (FIFO) basis. In governmental funds, the majority of inventory items are accounted for under the purchases method, which provides that expenditures are recognized when the inventory item is purchased. The only governmental fund inventory that is accounted for under the consumption method is the General Fund inventory of items for resale at the City’s public fishing pier. Under the consumption method, the expenditure/expense is recognized when the inventory item is sold (or consumed). Certain payments to vendors reflect costs applicable to future accounting periods and are recorded as prepaid items in both government-wide and fund financial statements. The cost of prepaid items is recorded as expenditures/expenses when consumed rather than when purchased. I.D.4. Restricted assets Certain resources of the City’s enterprise funds are classified as restricted assets. Restricted assets include: Water and Sewer improvement charges restricted by the authorizing ordinances to the construction of additions and improvements to the water and sewer systems; Water & Sewer Utility, Gas Utility and Solid Waste & Recycling Utility restricted customer deposits; assets of the Water & Sewer Utility, Gas Utility, and Stormwater Utility funds restricted under the provisions of authorizing ordinances for revenue bonds to the payment of future revenue bond debt service, system construction, and renewals and replacements; and the net pension assets of the Water & Sewer Utility, Gas Utility, Solid Waste & Recycling Utility and Stormwater Utility funds that are in an irrevocable trust are restricted for pensions. I.D.5. Capital assets Capital assets, which include property, plant, equipment, and certain infrastructure assets, (e.g. roads, bridges, etc.) are reported in the applicable governmental or business-type activities columns in the government-wide financial statements. Capital assets, as defined by the City, are assets with an initial individual cost of more than $5,000 (amount not rounded). Individual assets that cost less than $5,000, but that operate as part of a network system, may be capitalized in the aggregate, using the group method. Additionally, higher thresholds for capitalization apply to the following categories: land improvements, $50,000; buildings, building improvements, and utility systems, $100,000; intangible assets, $100,000; and infrastructure, $500,000. Capital assets are recorded at historical cost or estimated historical cost if purchased or constructed. Donated capital assets are recorded at acquisition value at the date of donation. The costs of normal maintenance and repairs that do not add to the value of the asset or materially extend asset lives are not capitalized. Major outlays for capital assets and improvements are capitalized as projects are constructed. Interest incurred during the construction phase of capital assets of business-type activities is included as part of the capitalized value of the assets constructed. The total interest expense incurred by business-type activities during the current fiscal year was $8,238,727, of which $342,859 was capitalized. Property, plant, equipment, and intangible assets of the primary government are depreciated using the straight-line method over the following estimated useful lives: Assets Years Buildings 10 – 40 Public domain infrastructure 20 – 40 Utility systems 18 – 40 Machinery & equipment 3 – 15 Vehicles 5 – 10 Intangible assets 5 – 20 City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 48 I.D.6. Compensated absences It is the City’s policy to permit employees to accumulate earned but unused vacation and sick pay benefits. Vacation and sick leave “caps” vary depending upon an employee’s bargaining unit, hire date, etc, but generally employees may accumulate vacation time not exceeding 320 hours and sick leave not exceeding 1,560 hours. Upon retirement from City service a qualified employee is paid for all vacation time not exceeding the applicable vacation “cap” and one-half of accumulated unused sick leave not exceeding the sick leave cap (i.e. maximum pay-out of 780 hours for an employee with a 1,560 hour cap). The City accrues for all earned but unused vacation pay up to the applicable cap and the portion of unused sick leave estimated to be payable upon retirement. The current portion of compensated absences is the amount estimated to be used in the following year. For governmental activities, compensated absences are liquidated within the same governmental funds where the employee vacation and/or sick leave was earned. I.D.7. Long-term obligations In the government-wide financial statements, and proprietary fund types in the fund financial statements, long-term debt and other long-term obligations are reported as liabilities in the applicable governmental activities, business-type activities, or proprietary fund type statement of net position. Bond premiums and discounts are deferred and amortized over the life of the bonds using the straight-line method. Bonds payable are reported net of the applicable bond premium or discount. Bond issuance costs are expended when incurred. In the fund financial statements, governmental fund types recognize bond premiums and discounts during the current period. The face amount of debt issued is reported as other financing sources. Premiums received on debt issuances are reported as other financing sources while discounts on debt issuances are reported as other financing uses. Issuance costs, whether or not withheld from the actual debt proceeds received, are reported as debt service expenditures. I.D.8. Deferred outflows/inflows of resources In addition to assets, the statement of financial position will sometimes report a separate section for deferred outflows of resources. This separate financial statement element, deferred outflows of resources, represents a consumption on net position that applies to a future period(s) and so will not be recognized as an outflow of resources (expenditure/expense) until that time. The City reports deferred outflows related to bond refundings and pensions. Similarly, in addition to liabilities, the statement of financial position will sometimes report a separate section for deferred inflows of resources. This separate financial statement element, deferred inflows of resources, represents an acquisition of net position that applies for a future period(s) and so will not be recognized as an inflow of resources (revenue) until that time. The City reports deferred inflows related to pensions. In accordance with GASB Statement No. 63, Financial Reporting of Deferred Outflows of Resources, Deferred Inflows of Resources, and Net Position, deferred outflows related to deferred amounts on bond refundings are reported in the Water and Sewer Utility, Gas Utility and Stormwater Utility funds, as well as in the government-wide statements. These amounts represent the difference between the reacquisition price and the net carrying amount of the old debt, which is amortized over the remaining life of the old debt or the life of the new debt, whichever is shorter. In accordance with GASB Statement No. 68, Accounting and Financial Reporting for Pensions, changes in total pension liability arising from the differences between expected and actual experience, changes of assumption of future economic and demographic factors and the net difference between projected and actual earnings on pension plan investments are recognized as deferred outflows of resources or deferred inflows of resources and are reported in all enterprise and internal service funds, as well as in the government-wide statements. Changes between expected and actual experience and changes of assumptions are recognized in pension expense over a closed period equal to the average of the expected remaining service lives of all active and inactive employees, while the difference between projected and actual earnings is recognized in pension expense over a closed five-year period. City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 49 I.D.9. Net position flow assumption Sometimes the City will fund outlays for a particular purpose from both unrestricted resources and restricted resources, such as restricted bond or grant proceeds. In order to calculate the amounts to report as restricted net position and unrestricted net position in the government-wide and proprietary fund financial statements, a flow assumption must be made regarding the order in which the resources are considered to be applied. It is the City’s policy to consider restricted net position to have been depleted before unrestricted net position is applied. I.D.10. Fund balance flow assumption Sometimes the City will fund outlays for a particular purpose from both restricted and unrestricted resources (the total of committed, assigned and unassigned fund balance). In order to calculate the amounts to report as restricted, committed, assigned and unassigned fund balance in the governmental fund financial statements, a flow assumption must be made regarding the order in which the resources are considered to be applied. It is the City’s policy to consider restricted fund balance to have been depleted before using any of the components of unrestricted fund balance. Further, when the components of unrestricted fund balance can be used for the same purpose, committed fund balance is depleted first, followed by assigned fund balance. Unassigned fund balance is applied last. I.D.11. Fund balance policies The fund balance of governmental funds is reported in various classifications that comprise a hierarchy based primarily on the extent to which the government is bound to observe constraints imposed upon the use of the resources reported in the governmental funds. Each classification of fund balance is based on the relative strength of the constraints that control how specific amounts can be spent. The order of spending follows the same hierarchy. Restricted resources are applied first when expenditures are incurred for purposes for which either restricted or unrestricted (committed, assigned or unassigned) amounts are available. Similarly, within unrestricted fund balance, committed amounts are reduced first followed by assigned, and then unassigned amounts when expenditures are incurred for purposes for which amounts in any of the unrestricted fund balance classifications could be used. Nonspendable fund balance represents amounts that cannot be spent, such as inventories, prepaid amounts, and amounts that are legally or contractually required to remain intact. Restricted fund balance includes amounts that can be spent only for the specific purposes stipulated by constitution, external resource providers, or through enabling legislation. Committed fund balance includes amounts that can be used only for the specific purposes determined by the adoption of an ordinance prior to the end of the fiscal year by the City Council, the highest level of decision-making authority. Once adopted by ordinance, a commitment can only be revised or removed by the adoption of another ordinance. Assigned fund balance includes amounts that are intended to be used by the government for specific purposes but do not meet the criteria to be classified as restricted or committed because they are supported by management’s intent rather than a formal action of the City Council. The Finance Director is authorized by Section 2.511 of the Code of Ordinances to assign fund balance. Since assignments only exist temporarily, no further action is required to revise or remove them. Unassigned fund balance includes amounts not classified in the above categories. Positive unassigned fund balance may only be reported in the general fund. In all other funds, unassigned fund balance is limited to negative residual fund balances. Minimum fund balance: Per City Council Policy, a minimum General Fund unassigned balance of 8.0% of the subsequent year’s budgeted expenditures must be maintained as a contingency fund for unanticipated financial needs. In addition, 0.5% of the subsequent year’s budgeted expenditures must be maintained to fund unanticipated retirements of employees residing in General Fund departments. Budgeted appropriations will maintain these minimum reserves of 8.5% City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 50 of subsequent year’s budgeted expenditures, with excess reserves available for specific capital improvement projects or other “one-time” needs. Stabilization arrangement. As of September 30, 2017, the City Council has not established a revenue stabilization reserve. I.D.12. Use of estimates The preparation of financial statements in conformity with generally accepted accounting principles (GAAP) requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from the estimates. I.E. Adoption of new GASB pronouncements: During the fiscal year ended September 30, 2017, the City implemented the following GASB pronouncements: GASB Statement No. 74, Financial Reporting for Postemployment Benefit Plans Other Than Pension Plans. Issued in June 2015, this statement applies to OPEB plans—defined benefit and defined contribution—administered through trusts that meet certain criteria. Because the City has no assets set aside for OPEB benefits, in a dedicated trust or otherwise, the provisions of this statement do not apply. GASB Statement No. 77, Tax Abatement Disclosures. Issued in August 2015, this statement requires disclosure of tax abatement information about (1) a reporting government’s own tax abatement agreements and (2) those that are entered into by other governments and that reduce the reporting government’s tax revenues. This statement was implemented in the fiscal year ending September 30, 2017, adding the required disclosures in Note IV.G. to these financial statements. GASB Statement No. 80, Blending Requirements for Certain Component Units—an amendment of GASB Statement No. 14. Issued in January 2016, this statement amends the blending requirements for the financial statement presentation of component units of all state and local governments. The additional criterion requires blending of a component unit incorporated as a not-for-profit corporation in which the primary government is the sole corporate member. Because the City does not have a component unit that is incorporated as a not-for-profit corporation, the provisions of this statement do not apply. GASB Statement No. 82, Pension Issues—an amendment of GASB Statements No. 67, No. 68, and No. 73. Issued in March 2016, this statement addresses issues regarding (1) the presentation of payroll-related measures in required supplementary information, (2) the selection of assumptions and the treatment of deviations from the guidance in an Actuarial Standard of Practice for financial reporting purposes, and (3) the classification of payments made by employers to satisfy employee (plan member) contribution requirements. This statement was implemented in the fiscal year ending September 30, 2017, but had no impact because the City’s definition of covered payroll does not include payroll not subject to pension benefits, there were no changes necessary to the assumptions, and the City does not make contributions to satisfy required employee contributions. Note II – Stewardship, Compliance, and Accountability II.A. Budgets and budgetary accounting Annual budgets are legally adopted for the General Fund, Special Development special revenue fund, and the Community Redevelopment Agency special revenue fund. The budget for the Special Development Fund is adopted on a basis consistent with GAAP, and appropriations lapse at year-end. Appropriations for open encumbered purchase orders at year- end in the General Fund do not lapse, but rather continue until liquidated or otherwise cancelled by City Council action. For the General Fund budgetary comparison statements, actual expenditures have been adjusted to include end-of-year City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 51 encumbrances and to exclude beginning-of-year encumbrances, in order to provide a meaningful comparison. Except for the treatment of encumbrances and certain transactions relating to interfund loans, the General Fund Budget is adopted on a basis consistent with GAAP, and all non-encumbered appropriations lapse at year-end. The level of budgetary control established by the legislative body, the level on which expenditures may not legally exceed appropriations, is the individual fund. In accordance with provisions of Ordinance 5025-90 and with Section 2.519(4) of the Clearwater Code, the City Manager may transfer part or all of any unencumbered appropriation balance among programs within an operating fund, provided such action does not result in the discontinuance of a program. Such transfers must be included in the next budget review presented to the City Council. Upon detailed written request by the City Manager, the City Council may by ordinance transfer part or all of any unencumbered appropriation balance from one fund to another. As established by administrative policy, department directors may transfer money from one operating code to another within a program without a formal written amendment. Formal requests for budget amendments from department directors are required for transfers, capital expenditures, and reserves. Thus, certain object classifications within departmental and/or program budget appropriations are subject to administratively imposed controls, in addition to the legal controls imposed by City Council action described above. The Community Redevelopment Agency (CRA) Fund annual budget is adopted by the trustees of that agency in accordance with state law. The level of budgetary control is the total fund. The CRA Fund Budget is adopted on a basis consistent with GAAP, and all appropriations lapse at year-end. Budget amounts presented in the accompanying financial statements reflect all amendments adopted by the City Council and the governing board of the component unit. All amendments were adopted in conformance with legal requirements. Individual amendments, as well as the net effects of all amendments during the fiscal year, were not material in relation to the original appropriations for the governmental funds in the aggregate. Budgets for the Capital Projects Funds, the Special Programs Fund, the SHIP Local Housing Assistance Trust Fund, and the Pinellas County Local Housing Assistance Trust Fund are adopted on a multi-year completed program basis, where budgetary appropriations do not lapse at year-end, but may extend across two or more fiscal years. A comparison of annual results with these budgets would not be meaningful and is therefore not included in this report. All City Council adopted budgets are integrated into the formal accounting system to allow for monthly comparison of projected and actual results in all funds for which budgets are adopted. Note III – Detailed Notes on All Funds III.A. Deposits and investments Investments with original maturities of three months or less are considered to meet the definition of cash equivalents. The majority of the investments in which the City's proprietary funds have equity are held by the City's consolidated pool of cash and investments. Since fund equities in this cash management pool have the general characteristics of demand deposits, in that additional funds may be deposited at any time and also funds may be withdrawn at any time without prior notice or penalty, each fund's equity account is considered a cash-equivalent regardless of the maturities of investments held by the pool. Funds with deficit (overdraft) positions within the consolidated pool report the deficits as interfund payables to the City's Capital Improvement Fund. Fair Value The City of Clearwater and the City’s pension plans categorize fair value measurements within the fair value hierarchy established by GAAP. The hierarchy is based on the valuation inputs used to measure the fair value of the securities and assets. Level 1 inputs are quoted prices in active markets for identical assets; Level 2 inputs are significant other observable inputs; and Level 3 are significant unobservable inputs. Certain investments held by the City and the pension plans are valued at net asset value (NAV) per share when an investment does not have a readily determined fair value, provided that the NAV is calculated and used as a practical expedient to estimate fair value in accordance with GAAP requirements. City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 52 Equity and Fixed Income Securities – Equity securities, classified in Level 1 of the fair value hierarchy, are valued using prices quoted in active markets issued by pricing vendors for these securities. Fair value is defined as the quoted market value on the last trading day of the period. These prices are obtained from various pricing sources by the City’s custodian bank, Bank of America, for the City’s pooled cash investments. Prices for pension investments are obtained by the custodial agents for each of the pension plans. Debt and equity securities classified in Level 2 of the fair value hierarchy are valued using prices determined by the use of matrix pricing techniques maintained by various pricing vendors for these securities. Matrix pricing is used to value securities based on the securities’ relationship to benchmark quoted prices. Debt and equity securities classified in Level 3 of the fair value hierarchy, when applicable, are securities whose stated market price is unobservable by the marketplace; often these securities are priced by the issuer or industry groups. Real Estate Funds – Investments in real estate funds are valued at estimated fair value, as determined in good faith by the General Partner (GP). These investments are initially valued at cost with subsequent adjustments that reflect third party transactions, financial operating results, and other factors deemed relevant by the GP. These assets are valued at NAV. Deposits All cash of the City is entirely insured either by federal depository insurance or via banks’ participation as qualified public depositories pursuant to Florida Statutes, Chapter 280, “Security for Public Deposits”. The City is required to verify that monies are invested in “qualified public depositories” as defined in Florida Statutes section 280.02. Pooled Cash and Investments To increase returns and minimize fees, the City follows the practice of pooling available cash and investments of all funds with the exception of retirement plan investments and assets held under Bond Trust Indenture Agreements. Please refer to Note (I)(D)(1) for a discussion of allowable investments under the pooled cash and investments investment policy. All investments at year-end were in compliance with the pooled cash and investments investment policy. Pooled cash and investments as of September 30, 2017 are classified in the accompanying financial statements as follows: Statement of net position 9/30/2017 Primary Government: Cash and investments 369,968,383$ Restricted cash and investments 40,066,593 Fiduciary Funds: Cash and investments-agency fund 391,898 Total pooled cash and investments 410,426,874$ City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 53 Carrying % of Pooled Cash and Investments Amount Portfolio Less than 1 1-3 Years More than 3 Moody's Rating Cash and cash equivalents: Cash on hand 88,745$ 0.02% N/A Time / interest bearing account 4,759,729 1.16% N/A Total cash and cash equivalents 4,848,474 Investments:Standard & Local Government Investment Pools:Poor's Rating Florida Safe Investment Pool 4,069,613 0.99% 4,069,613 - - AAAm Florida Cooperative Liquid Assets Securities System 5,064,599 1.23% 5,064,599 - - AAAm 104,842,805 9,134,212 95,708,593 - Moody's Rating Treasuries 2,035,548 0.50% 1,008,517 1,027,031 - N/A U.S. Agencies: Federal Home Loan Bank (FHLB) 38,292,060 9.33% 1,998,588 11,006,295 25,287,177 Aaa Federal National Mortgage Assn (FNMA) 49,290,970 12.01% - 39,431,575 9,859,395 Aaa Federal Farm Credit Bank (FFCB) 14,922,565 3.64% - 9,949,360 4,973,205 Aaa Federal Home Loan Mortgage Corp (FHLMC) 79,238,395 19.30% 5,001,490 24,800,585 49,436,320 Aaa Federal Home Loan Mortgage Corp Zeroes 1,788,810 0.44% - - 1,788,810 Aaa Other Government Sponsored Agencies 2,191,932 0.53% 2,020,418 171,514 - Aaa Federal National Mortgage Assn (FNMA) Zeroes 9,093,404 2.22% - - 9,093,404 Aaa Farmer Mac (FAMCA) 3,634,641 0.89% - - 3,634,641 Aaa Tennessee Valley Authority (TVA) Zeroes 2,612,469 0.64% - 2,209,694 402,775 Aaa Total U.S. Agencies 201,065,246 9,020,496 87,569,023 104,475,727 Municipal bonds 11,388,114 2.77% 5,491,894 5,896,220 - Aa1/Aa2/Aa3 Municipal bonds 3,931,508 0.96% 3,124,136 807,372 - A1/A2/A3 Total municipal bonds 15,319,622 8,616,030 6,703,592 - Mortgage backed securities 79,390,174 19.34% 862,821 25,110,076 53,417,277 Aaa Asset backed securities 2,925,005 0.71% - 452,091 2,472,914 Aaa Total investments 405,578,400 28,642,076 216,570,406 160,365,918 Total pooled cash and investments 410,426,874$ 100.00% AAAf Florida Local Government Investment Trust - Short Term Bonds Investment Maturities in Years 95,708,593 23.32% - 95,708,593 - Interest Rate Risk – Pooled Cash and Investments: As a means of limiting exposure to fair value losses arising from rising interest rates, the City’s pooled cash investment policy prohibits investments in securities maturing more than fifteen years from the date of purchase, unless matched to a specific cash flow requirement. Additionally, the policy allows no more than 10% of the portfolio to have maturities in excess of ten years unless specifically matched against a debt or obligation. Finally, the investment policy states that it is the City’s intent to keep the weighted average maturity to three years or less, except for temporary situations due to market conditions and/or cash needs when the average maturity may exceed three years but shall not exceed five years. Weighted average maturities for the City’s pooled cash investments are indicated in the table above. City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 54 Credit Risk – Pooled Cash and Investments: The City’s pooled cash investment policy, in accordance with Florida Statutes, allows investments to direct obligations of the United States, federal agencies, debt issued by the State of Florida or any political subdivision, and commercial paper of prime quality of the highest letter and numerical rating as provided by at least one nationally recognized rating service. Ratings for the City’s pooled cash investments are disclosed in the preceding table. Concentration of Credit Risk – Pooled Cash and Investments: The City’s pooled cash investment policy limits the investment in any one issuer to 40% of the portfolio. Concentrations for several issuers exceeded 5% as disclosed in the preceding table, though none exceeded the 40% limit per the policy. Fair Value Measurement: The City has adopted the provisions of GASB Statements No. 72 and No. 79 and fully disclosed in the notes to the financial statements the fair value hierarchy and the methods of valuing the related investments as required under generally accepted accounting principles. The City of Clearwater and the City’s pension plans categorize fair value measurements within the fair value hierarchy established by GAAP. The hierarchy is based on the valuation inputs used to measure the fair value of the securities and assets. Level 1 inputs are quoted prices in active markets for identical assets; Level 2 inputs are significant other observable inputs; and Level 3 are significant unobservable inputs. Certain investments held by the City and the pension plans are valued at net asset value (NAV) per share when an investment does not have a readily determined fair value, provided that the NAV is calculated and used as a practical expedient to estimate fair value in accordance with GAAP requirements. Fixed Income Securities – Fair value is defined as the quoted market value on the last trading day of the period. These prices are obtained from various pricing sources by the City’s custodian bank, Bank of America, for the City’s pooled cash investments. Debt securities classified in Level 2 of the fair value hierarchy are valued using prices determined by the use of matrix pricing techniques maintained by various pricing vendors for these securities. Matrix pricing is used to value securities based on the securities’ relationship to benchmark quoted prices. The City has the following recurring fair value measurements as of September 30, 2017: Quoted Prices in Significant Active Markets Other Significant Measured for Identical Observable Unobservable at (in thousands)Fair Value Assets (Level 1)Inputs (Level 2)Inputs (Level 3)Net Asset Value U.S. Government securities 2,035$ -$ 2,035$ -$ -$ Federal Agency securities 201,065 - 201,065 - - Municipal obligations 15,320 - 15,320 - - Mortgage backed securities 79,390 - 79,390 - - Asset backed securities 2,925 - 2,925 - - Florida Safe Investment Pool 4,070 - - - 4,070 Florida Cooperative Liquid Assets Securities System 5,065 - - - 5,065 Florida Local Govt. Investment Trust-Short Term Bonds 95,708 - - - 95,708 405,578$ -$ 300,735$ -$ 104,843$ City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 55 The Florida SAFE Investment Pool (FLSAFE), the Florida Cooperative Liquid Assets Securities System (FLCLASS), and the Florida Local Government Investment Trust – Short Term Bonds (FLGIT-Short Term Bonds), are independent local government investment pools created under the laws of Florida to provide eligible units of local government with investment vehicles to pool their surplus funds. FLSAFE and FLCLASS investment pools are Stable Net Asset Value investment pools rated AAAm by Standard & Poors, while FLGIT – Short Term Bonds pool is a Variable Net Asset Value investment pool rated AAAf by Standard & Poors. The investment advisor and administrator for the FLSAFE investment pool is PMA Financial Network, Inc.; the investment advisor and administrator for the FLCLASS investment pool is Public Trust Advisors, LLC; while Payden & Rygel serves as the investment advisor for the FLGIT Short Term Bonds investment pool and CiviTek as administrator. The three local government investment pools, Florida Safe Investment Pool (FLSAFE), Florida Cooperative Liquid Assets Securities System (FLCLASS), and the Florida Local Government Investment Trust (FLGIT) Short Term Bonds Fund, have no unfunded commitments and all provide same day or next day redemption. The investment strategies of all three prioritize safety of principal and liquidity over return, consistent with the City’s investment strategy, investing in high quality short term investments. Pension Plan Assets The City reports four pension funds in the accompanying financial statements. Each of the plans has a separate governing board of trustees, a separate investment policy, and differing investment restrictions/risks. Consequently, each is disclosed separately below. All investments at year-end were in compliance with the respective plan investment policies. Please refer to Note (I)(D)(1) for a discussion of allowable investments under the pension plans. Investments are reported at fair value or net asset value, as disclosed, and are managed by third party money managers. The City’s independent custodian and the individual money managers price each instrument (using various third party pricing sources) and reconcile material differences. Investments in certain alternative investments are valued using the net asset value (NAV) per shares outstanding. City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 56 Employees’ Pension Plan At year-end, the Employees’ Pension Plan cash and investment balances were as follows: Carrying % of Weighted avg Moody's Employees' Pension Plan Cash and Investments Amount Portfolio maturity (years)Rating Cash and cash equivalents: Cash and cash equivalents - pooled cash 4,115,406$ 0.41% N/A N/A Cash in managed investment accounts 19,395,658 1.91% N/A N/A Total cash and cash equivalents 23,511,064 Investments: Government bonds 2,195,618 0.22% AGY Government bonds 87,410,285 8.61% Aaa Government bonds 1,953,404 0.19% A Government bonds 223,600 0.02% Baa Government bonds 2,705,700 0.27% NR Index linked treasuries 1,873,301 0.18%24.5 Aaa U.S. agencies 2,221,063 0.22% AGY U.S. agencies 998,210 0.10% Aaa U.S. agencies 2,516,230 0.25% Baa Municipal bonds 2,973,563 0.29% A Municipal bonds 682,236 0.07% NR Domestic corporate bonds 1,263,537 0.12% Aaa Domestic corporate bonds 3,455,906 0.34% Aa Domestic corporate bonds 17,765,094 1.75% A Domestic corporate bonds 52,656,207 5.19% Baa Domestic corporate bonds 4,784,223 0.47% Ba Domestic corporate bonds 1,472,720 0.15% B Domestic corporate bonds 3,726,279 0.37% NR Asset backed bonds 89,120 0.01% AGY Asset backed bonds 245,247 0.02% Aaa Asset backed bonds 1,992,457 0.20% NR Other/Rights/Warrants 1,342 0.00% N/A NR Domestic stocks 369,405,883 36.40% N/A N/A International equity securities 130,530,777 12.86% N/A N/A Mortgage backed bonds 94,354,299 9.30% AGY Mortgage backed bonds 75,172 0.01% Aaa Mortgage backed bonds 230,291 0.02% NR International equity mutual funds 38,874,299 3.83% N/A N/A Domestic equity mutual funds 45,575,552 4.49% N/A N/A Infrastructure 30,683,363 3.02% N/A N/A Real Estate/Timber 88,389,818 8.71% N/A N/A Total investments 991,324,796 Total cash and investments 1,014,835,860$ 100.00% 6.9 11.7 24.9 15.6 5.2 9.8 City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 57 Interest Rate Risk – Employees’ Pension Plan: As a means of limiting exposure to fair value losses arising from rising interest rates, the Employees’ Pension Plan investment policy limits the investment in fixed income investments to no more than 50% of the portfolio. There are no limits related to weighted average maturities due to the long-term nature of pension plan investing. Credit Risk – Employees’ Pension Plan: The Employees’ Pension Plan investment policy limits credit risk by restricting equity investments to corporations that are listed on one of the national or international stock exchanges. Additionally, fixed income corporate bonds must carry an “investment grade” rating as established by one of the nationally recognized rating agencies. At September 30, 2017, the Plan had $6,256,943 invested in domestic corporate bonds that had fallen below investment grade (Ba1 and lower) as the result of investment downgrades, as indicated on the previous table. The respective money managers notified the Plan administrators of the downgrades and the planned courses of action related to these securities on a timely basis, consistent with the policy’s individual manager guidelines. Concentration of Credit Risk – Employees’ Pension Plan: The Employees’ Pension Plan investment policy limits concentration of credit risk by limiting the investment in common stock or capital stock of any one corporation to 3% of the plan equity assets, unless due to a higher percentage included in a nationally recognized market index at least as broad as the Standard and Poor’s Composite Index of 500 companies, or upon a specific finding by the investment committee that such higher percentage is in the best interest of the fund. Additionally, the individual manager guidelines associated with the policy provide further diversification of both equity and fixed income investments to minimize concentration of credit risk. Foreign Currency Risk – Employees’ Pension Plan: Risk of loss arises from changes in currency exchange rates. The Employees’ Pension Plan investment policy does not have a formal policy to limit foreign currency risk, other than a guideline of no more than 25% of the plan assets invested in international equities. The Pension Plan’s exposure to foreign currency risk is as follows: City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 58 Investment Currency Fair Value Investment Currency Fair Value Common Stock Euro currency 26,373,675$ Common Stock Qatari rial 500,390 Common Stock Japanese yen 16,273,089 Common Stock Egyptian pound 347,303 Common Stock British pound sterling 10,925,006 Common Stock Vietnamese dong 319,858 Common Stock Chinese Yuan 5,080,675 Common Stock Czech koruna 317,564 Common Stock Swiss franc 4,950,198 Common Stock Saudi riyal 302,947 Common Stock Hong Kong dollar 3,947,383 Common Stock Mauritian rupee 299,799 Common Stock Australian dollar 3,108,276 Common Stock Kenyan shilling 290,780 Common Stock South Korean wan 2,684,420 Common Stock Argentine peso 289,419 Common Stock South African rand 2,644,737 Common Stock Omani rial 286,348 Common Stock New Russian ruble 2,575,462 Common Stock Kazakhstan tenge 284,715 Common Stock Brazilian real 2,392,791 Common Stock Moroccan dirham 282,694 Common Stock Indian rupee 2,209,071 Common Stock Hungarian forint 277,524 Common Stock New Taiwan dollar 2,170,508 Common Stock Swedish krona 271,080 Common Stock Mexican peso 2,153,375 Common Stock Romanian leu 270,954 Common Stock Danish Krone 1,574,001 Common Stock Bangladesh taka 270,215 Common Stock Thailand baht 1,242,927 Common Stock Sri Lankan rupee 267,650 Common Stock Polish zloty 1,224,113 Common Stock Jordanian dinar 263,762 Common Stock Chilean peso 1,193,908 Common Stock Croatian kuna 255,715 Common Stock Malaysian ringgit 1,176,767 Common Stock Bahraini dinar 232,740 Common Stock Indonesian rupiah 1,157,133 Common Stock Nigerian naira 212,487 Common Stock Philippine peso 1,090,735 Common Stock Panama balboa 105,155 Common Stock Turkish lira 1,077,213 Common Stock Tunisian dinar 103,483 Common Stock Singapore dollar 844,790 Common Stock Lebanese pounds 64,143 Common Stock Peruvian nouveau sol 636,644 Common Stock Botswana pula 82,258 Common Stock Kuwaiti dinar 572,657 Common Stock Ghana cedi 43,734 Common Stock Columbian peso 557,963 Common Stock Bulgarian lev 8,475 Common Stock Pakistan rupee 525,192 Common Stock UAE dirham 509,564 Total 107,123,465$ Fair Value Measurement: The Employees’ Pension Plan has adopted the provisions of GASB Statement No. 72 and fully disclosed in the notes to the financial statements the fair value hierarchy and the methods of valuing the related investments as required under the generally accepted accounting principles. The City’s independent custodian and the individual money managers price each instrument (using various third-party pricing sources) and reconcile material differences. Investments in certain alternative investments are valued using the net asset value (NAV) per shares outstanding. The City of Clearwater and the City’s pension plans categorize fair value measurements within the fair value hierarchy established by GAAP. The hierarchy is based on the valuation inputs used to measure the fair value of the securities and assets. Level 1 inputs are quoted prices in active markets for identical assets; Level 2 inputs are significant other observable inputs; and Level 3 are significant unobservable inputs. Certain investments held by the City and the pension plans are valued at net asset value (NAV) per share when an investment does not have a readily determined fair value, provided that the NAV is calculated and used as a practical expedient to estimate fair value in accordance with GAAP requirements. City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 59 Equity and Fixed Income Securities – Equity securities, classified in Level 1 of the fair value hierarchy, are valued using prices quoted in active markets issued by pricing vendors for these securities. Fair value is defined as the quoted market value on the last trading day of the period. These prices are obtained from various pricing sources by the City’s custodian bank, Bank of America, for the City’s pooled cash investments. Prices for pension investments are obtained by the custodial agents for each of the pension plans. Debt and equity securities classified in Level 2 of the fair value hierarchy are valued using prices determined by the use of matrix pricing techniques maintained by various pricing vendors for these securities. Matrix pricing is used to value securities based on the securities’ relationship to benchmark quoted prices. Debt and equity securities classified in Level 3 of the fair value hierarchy, when applicable, are securities whose stated market price is unobservable by the marketplace; often these securities are priced by the issuer or industry groups. Real Estate Funds – Investments in real estate funds are valued at estimated fair value, as determined in good faith by the General Partner (GP). These investments are initially valued at cost with subsequent adjustments that reflect third party transactions, financial operating results, and other factors deemed relevant by the GP. These assets are valued at NAV. The Plan has the following recurring fair value measurements as of September 30, 2017: Quoted Prices in Significant Active Markets Other Significant Measured for Identical Observable Unobservable at (in thousands)Fair Value Assets (Level 1)Inputs (Level 2)Inputs (Level 3)Net Asset Value Government bonds 94,489$ -$ 94,489$ -$ -$ Index linked treasuries 1,873 - 1,873 - - U.S. agencies 5,735 - 5,735 - - Municipal bonds 3,656 - 3,656 - - Domestic corporate bonds 85,124 - 85,124 - - Asset backed bonds 2,327 - 2,327 - - Other/Rights/Warrants 1 - - 1 - Domestic stocks 369,406 369,406 - - - International equity securities 130,531 130,531 - - - Mortgage backed bonds 94,660 - 94,660 - - International equity mutual funds 38,874 - - - 38,874 Domestic equity mutual f unds 45,576 - 45,576 - - Infrastructure 30,683 30,683 Real Estate/Timber 88,390 - - - 88,390 991,325$ 499,937$ 333,440$ 1$ 157,947$ City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 60 Net Asset Value Investments (in thousands): Money Manager Value Unfunded Commitments Investment Strategy Redemption Restrictions Eaton Vance $ 38,874 $ - Emerging markets equity collective investment trust seeking long term capital appreciation by investing at least 80% of net assets in equity securities of companies located in emerging market countries. None Multi-Employer Property Trust 45,857 - An open-end commingled real estate equity fund organized as a bank collective trust. Strategy to create top- quality, core, income-producing assets through development, rehab, or acquisition and repositioning of undervalued assets. Quarterly redemptions w ith one day notice Molpus Woodlands Group Funds III & IV 11,843 1,255 Limited Partnership providing income through acquisition, holding, and distribution of timberland No redemption due to Limited Partnership term of up to 14 years, ending 10/22/2027. Hancock Timberland XI LP 8,267 559 Limited Partnership providing income through acquisition, holding, and distribution of timberland No redemption due to Limited Partnership. Tw o-year w ind-up period begins 12/31/2025 and ends 12/31/2027. IFM Infrastructure 30,683 - Limited Partnership investing in a diversified portfolio of global infrastructure assets, favoring proprietary investment opportunities over competitive bidding processes. Quarterly redemptions w ith 90 days notice; manager's best efforts within 36 months of end of quarter. USAA U.S. Government Buildings 10,788 - Core plus real estate strategy for acquisition and build-to- suit development of high quality assets leased to agencies of the U.S. Federal and State Governments. Quarterly redemptions w ith 60 days notice. Intercontinental U.S. Real Estate Investment Trust 11,635 - Primarily investing in high-quality core and core plus properties for stable predictable cash flow and opportunity for capital appreciation. To a lesser degree, additional enhanced-core and value properties to further enhance diversification and return. Quarterly redemptions w ith 60 days notice. 157,947$ 1,814$ City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 61 Firefighters’ Relief and Pension Plan At year-end, the Firefighters’ Relief and Pension Plan cash and investment balances were as follows: Carrying % of Weighted avg Moody's Amount Portfolio maturity (years)Rating Cash and cash equivalents: Cash and cash equivalents 853,117$ 22.38% N/A N/A Total cash and cash equivalents 853,117 Investments: U.S. agency - Federal Agricultural Mortgage Corp (FAMCA) 1,134,059 29.75% 6.62 Aaa U.S. agency - Federal Home Loan Bank (FHLB) 1,824,454 47.87% 18.92 Aaa Total investments 2,958,513 Total managed cash and investments 3,811,630$ 100.00% Interest Rate Risk – Firefighters’ Relief and Pension Plan: As a means of limiting exposure to fair value losses arising from rising interest rates, the Firefighters’ Relief and Pension Plan investment policy stipulates that the Plan does not trade securities and will typically hold securities to maturity. There are no limits related to weighted average maturities due to the long-term nature of pension plan investing. Credit Risk – Firefighters’ Relief and Pension Plan: The Firefighters’ Relief and Pension Plan investment policy limits credit risk by restricting the fixed income investments to investment grade securities, per a nationally recognized ranking agency. Concentration of Credit Risk – Firefighters’ Relief and Pension Plan: The Firefighters’ Relief and Pension Plan investment policy limits concentration of credit risk by limiting the recommended target allocation of the plan to domestic fixed income to 70% of the portfolio, with the remainder of the portfolio allocated to the City’s well-diversified pooled cash portfolio (see above disclosure). There are no additional limitations on concentrations with individual issuers or agencies due to the relatively small portfolio of this closed pension plan. Foreign Currency Risk – Firefighters’ Relief and Pension Plan: The Firefighters’ Relief and Pension Plan investment policy does not permit investment in foreign fixed income or equity securities. City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 62 Fair Value Measurement: The Firefighters’ Relief and Pension Plan has adopted the provisions of GASB Statement No. 72 and fully disclosed in the notes to the financial statements the fair value hierarchy and the methods of valuing the related investments as required under the generally accepted accounting principles. The Plan has the following recurring fair value measurements as of September 30, 2017: Quoted Prices in Significant Active Markets Other Significant for Identical Observable Unobservable Assets (Level 1)Inputs (Level 2)Inputs (Level 3) Federal agency securities - 2,958,513$ - Police Supplemental Pension Plan At year-end, the Police Supplemental Pension Plan cash and investment balances were as follows: Carrying % of Weighted avg Moody's Amount Portfolio maturity (years)Rating Cash and cash equivalents: Cash in bank 8,553$ 0.05% N/A N/A Cash in managed investment accounts 861,038 4.53% N/A N/A Total cash and cash equivalents 869,591 Investments: Domestic equity mutual funds 10,968,869 57.77%N/A N/R International equity mutual funds 7,148,572 37.65%N/A N/R Total investments 18,117,441 Total managed cash and investments 18,987,032$ 100.00% Interest Rate Risk – Police Supplemental Pension Plan: As a means of limiting exposure to fair value losses arising from rising interest rates, the Police Supplemental Pension Plan investment policy limits the duration of the fixed income portfolio to 125% of the duration of the Barclays Intermediate Government/Credit Bond Index subject to quarterly review. Additionally, no issues, Treasury, or Corporate Bonds may be purchased with more than 15 years to maturity. Credit Risk – Police Supplemental Pension Plan: The Police Supplemental Pension Plan investment policy limits credit risk by restricting equity investments to corporations that are listed on any one or more of the recognized national stock exchanges. Additionally, fixed income security investments are limited to U.S. Government and agency obligations; “BBB” rated or higher corporate bonds, debentures and preferred stocks; and bonds and other evidence of indebtedness issued or guaranteed by a corporation organized City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 63 under the laws of the United States, any state, or organized territory of the United States or District of Columbia provided the corporation meets the standards set forth in section 185.06(1)(b), Florida Statutes, as amended from time to time. Finally, the investment policy requires that investment managers dispose of any issue that has been downgraded below “BBB” as soon as is economically feasible. Concentration of Credit Risk – Police Supplemental Pension Plan: The Police Supplemental Pension Plan investment policy limits concentration of credit risk by limiting the stock position of the equity portfolio to no more than 3 percentage points in excess of the S&P 500. Additionally, any sector position of the equity portfolio may not exceed the S&P 500 sector weighting by more than 10 percentage points without written approval from the Board. Investments in fixed income securities of a single issuer, with the exception of the U.S. Government and its agencies, may not exceed 5 percent of the fixed income portfolio’s value at cost. Foreign Currency Risk – Police Supplemental Pension Plan: Risk of loss arises from changes in currency exchange rates. The Police Supplemental Pension Plan investment policy does not have a formal policy to limit foreign currency risk, other than a guideline of that no more than 25% of the total portfolio at cost may be invested in foreign securities. The Plan has no current exposure to foreign currency risk. Fair Value Measurement: The Police Supplemental Pension Plan has adopted the provisions of GASB Statement No. 72 and fully disclosed in the notes to the financial statements the fair value hierarchy and the methods of valuing the related investments as required under generally accepted accounting principles. The Plan has the following recurring fair value measurements as of September 30, 2017: Quoted Prices in Significant Active Markets Other Significant for Identical Observable Unobservable Fair Value Assets (Level 1)Inputs (Level 2)Inputs (Level 3) Domestic equity mutual funds 10,968,869$ -$ 10,968,869$ -$ International equity mutual funds 7,148,572 - 7,148,572 - 18,117,441$ -$ 18,117,441$ -$ City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 64 Firefighters Supplemental Pension Plan At year-end, the Firefighters Supplemental Pension Plan cash and investment balances were as follows: Carrying % of Weighted avg Moody's Amount Portfolio maturity (years)Rating Cash and cash equivalents: Cash in managed investment accounts 193,816$ 1.02% N/A N/A Total cash and cash equivalents 193,816 Investments: U.S. Treasury obligations 215,003 1.14% 10.9 Aaa Municipal obligations 72,850 0.38% A3 Municipal obligations 29,768 0.16% Aa1 Municipal obligations 95,827 0.51% N/R Domestic corporate bonds 1,092,678 5.77% A1/A2/A3 Domestic corporate bonds 236,219 1.25% Aaa/Aa1/Aa3 Domestic corporate bonds 1,392,337 7.36% Baa1/Baa2/Baa3 Domestic corporate bonds 62,737 0.33% N/R Domestic stocks 4,524,865 23.91% N/A N/R Mortgage backed bonds 1,013,315 5.35% 21.2 N/R Domestic equity mutual funds 5,668,683 29.94% N/A N/R International equity mutual funds 1,464,402 7.74% N/A N/R Real estate 2,864,710 15.14% N/A N/R Total investments 18,733,394 Total managed cash and investments 18,927,210$ 100.00% 5.7 4.6 Interest Rate Risk – Firefighters Supplemental Pension Plan: As a means of limiting exposure to fair value losses arising from rising interest rates, the Firefighters Supplemental Pension Plan investment policy limits the duration of the fixed income portfolio to less than 135% of the duration of the Bloomberg Barclay’s Capital Aggregate Bond Index. Credit Risk – Firefighters Supplemental Pension Plan: The Firefighters Supplemental Pension Plan investment policy limits credit risk by restricting equity investments to securities that are fully and easily negotiable. Investments in corporations whose stock has been publicly traded for less than one year are limited to 15% at cost value of the equity portfolio. Investment in equity securities whose market capitalization is less than $10 billion dollars shall be limited to 25% of the total equity portfolio. The average credit quality of the bond portfolio shall be “A” or higher, and those securities rated below “BBB” shall not exceed 15% of the entire fixed income portfolio. Concentration of Credit Risk – Firefighters Supplemental Pension Plan: The Firefighters Supplemental Pension Plan investment policy limits concentration of credit risk by limiting the investment in common stock or capital stock of any one issuing company within an investment manager’s portfolio to 5% of the portfolio. Similarly, no more than 5% at cost value of a fixed income investment manager’s portfolio may be invested in the securities of any single corporate issuer per the plan investment policy. Finally, investments in collateralized mortgage obligations are limited to 25% of the fair value of the investment manager’s total portfolio. City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 65 Foreign Currency Risk – Firefighters Supplemental Pension Plan: Risk of loss arises from changes in currency exchange rates. The Firefighters Supplemental Pension Plan requires that no more than 25% of the market value of the plan’s total assets may be invested in foreign equity securities, commingled or mutual funds. Direct investment in foreign companies is limited to those traded on a national exchange and/or American Depository Receipts (ADR’s). Fair Value Measurement: The Firefighters Supplemental Pension Plan has adopted the provisions of GASB Statement No. 72 and fully disclosed in the notes to the financial statements the fair value hierarchy and the methods of valuing the related investments as required under generally accepted accounting principles. The Plan has the following recurring fair value measurements as of September 30, 2017: Quoted Prices in Significant Active Markets Other Significant for Identical Observable Unobservable Fair Value Assets (Level 1)Inputs (Level 2)Inputs (Level 3) U.S. Treasury obligations 215,003$ 215,003$ -$ -$ Municipal obligations 198,445 - 198,445 - Domestic corporate bonds 2,783,971 - 2,783,971 - Domestic stocks 4,524,865 4,524,865 - - Mortgage backed bonds 1,013,315 - 1,013,315 - Domestic equity mutual funds 5,668,683 5,668,683 - - International equity mutual funds 1,464,402 - - 1,464,402 Real estate 2,864,710 71,071 - 2,793,639 18,733,394$ 10,479,622$ 3,995,731$ 4,258,041$ III.B. Receivables Receivables as of year-end for the City’s governmental, proprietary and internal service funds, including the applicable allowances for uncollectible accounts for the proprietary funds, are segregated on the fund financial statements. Mortgages, Notes, and Other Loans in the amount of $4,889,016 are reported on the Governmental Funds Balance Sheet net of an allowance for uncollectible accounts in the amount of $12,496,442. The gross receivable of $17,385,458 includes $1,170,750 of long-term loans receivable that are not expected to be collected within the next fiscal year. Mortgage notes receivable and the related payment history are reviewed individually on an annual basis to determine collectability for allowance and bad debt determinations. Receivables as of year-end for the primary government’s individual major funds, as well as non-major funds and internal service funds in the aggregate, are as follows: City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 66 Receivables, net of applicable allowances for uncollectible accounts (amounts in thousands): Franchise Accounts Taxes Fees Interest and Contracts Notes Other Total General fund 1,467$ 902$ 141$ 511$ -$ 30$ 3,051$ Special Development 46 - 112 - - - 158 Capital Improvement - - 1 - - 2 3 Non-major governmental funds - - 54 - 17,385 8 17,447 Internal service funds - - 151 - - 83 234 Total governmental 1,513 902 459 511 17,385 123 20,893 Less: Allowance for uncollectable accounts (330) - - - (12,496) - (12,826) Net governmental receivables 1,183$ 902$ 459$ 511$ 4,889$ 123$ 8,067$ Water and Sewer Utility -$ -$ 195$ 7,806$ -$ -$ 8,001$ Gas Utility - - 106 3,400 - 27 3,533 Solid Waste and Recycling Utility - - 86 2,331 - - 2,417 Stormwater Utility - - 83 2,483 - - 2,566 Non-major enterprise funds - - 60 18 - - 78 Total business-type - - 530 16,038 - 27 16,595 Less: Allowance for uncollectable accounts - - - (247) - - (247) Net business-type receivables -$ -$ 530$ 15,791$ -$ 27$ 16,348$ III.C. Capital assets Capital asset activity for the year ended September 30, 2017: Beginning Transfers / Ending Governmental Activities:Balance Increases Decreases Reclassifications Balance Non-depreciable capital assets: Land 81,390,446$ 6,248,749$ (314,000)$ -$ 87,325,195$ Construction in progress 11,240,197 6,953,274 (4,983,699) 30,278 13,240,050 Total non-depreciable capital assets 92,630,643 13,202,023 (5,297,699) 30,278 100,565,245 Depreciable capital assets: Buildings 173,144,513 997,131 - - 174,141,644 Improvements other than buildings 37,691,496 1,854,177 - - 39,545,673 Machinery and equipment 90,923,009 11,760,595 (6,288,792) 27,795 96,422,607 Infrastructure 148,285,962 8,567,445 - - 156,853,407 Total depreciable capital assets 450,044,980 23,179,348 (6,288,792) 27,795 466,963,331 Less accumulated depreciation for: Buildings (71,670,794) (5,450,768) - - (77,121,562) Improvements other than buildings (19,388,605) (1,566,964) - - (20,955,569) Machinery and equipment (66,975,779) (8,646,530) 6,197,702 (16,036) (69,440,643) Infrastructure (95,078,239) (4,843,200) - - (99,921,439) Total accumulated depreciation (253,113,417) (20,507,462) 6,197,702 (16,036) (267,439,213) Net depreciable capital assets 196,931,563 2,671,886 (91,090) 11,759 199,524,118 Net governmental activities capital assets 289,562,206$ 15,873,909$ (5,388,789)$ 42,037$ 300,089,363$ City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 67 Beginning Transfers / Ending Business-type activities:Balance Increases Decreases Reclassifications Balance Non-depreciable capital assets: Land 31,845,237$ -$ (100,000)$ -$ 31,745,237$ Construction in progress 10,513,065 9,705,220 (7,647,184) (30,278) 12,540,823 Total non-depreciable capital assets 42,358,302 9,705,220 (7,747,184) (30,278) 44,286,060 Depreciable capital assets: Buildings 35,067,731 12,662,198 - - 47,729,929 Improvements other than buildings 645,963,219 17,049,814 - - 663,013,033 Machinery and equipment 17,801,396 670,383 (675,605) (27,795) 17,768,379 Total depreciable capital assets 698,832,346 30,382,395 (675,605) (27,795) 728,511,341 Less accumulated depreciation for: Buildings (8,753,831) (1,076,589) - - (9,830,420) Improvements other than buildings (298,249,751) (20,415,170) - - (318,664,921) Machinery and equipment (8,719,868) (1,348,417) 665,172 16,036 (9,387,077) Total accumulated depreciation (315,723,450) (22,840,176) 665,172 16,036 (337,882,418) Net depreciable capital assets 383,108,896 7,542,219 (10,433) (11,759) 390,628,923 Net business-type activities capital assets 425,467,198$ 17,247,439$ (7,757,617)$ (42,037)$ 434,914,983$ Depreciation expense was charged to functions / programs of the primary government as follows: Governmental activities: General government 682,797$ Public safety 945,284 Physical environment 21,172 Transportation, including depreciation on infrastructure assets 4,917,620 Economic environment 525,747 Culture and recreation 5,215,112 Capital assets held by governmental internal service funds are charged to the various functions based on their usage of assets 8,199,730 20,507,462$ Business-type activities: Water and sewer utility 16,083,185$ Gas utility 2,483,019 Solid waste and recycling utility 245,692 Stormwater utility 3,134,322 Marine operations 58,264 Aviation operations 260,715 Parking system operations 236,516 Clearwater Harbor Marina operations 338,463 22,840,176$ City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 68 Construction commitments At September 30, 2017, material outstanding construction commitments were as follows: Construction Commitments Project Fund Outstanding Morningside Recreation Center Capital Improvement Fund 4,637,142$ East Gateway Stormwater Improvements Stormwater Utility Enterprise Fund 3,427,330 East Gateway Sewer Improvements Water & Sewer Utility Enterprise Fund 3,398,208 East Gateway Water Improvements Water & Sewer Utility Enterprise Fund 1,723,949 Sherwood Yard Street Sweeping Facility Stormwater Utility Enterprise Fund 1,642,413 Druid Road/Allen's Creek Stormwater Improvements Stormwater Utility Enterprise Fund 1,487,656 Annual Street Resurfacing Capital Improvement Fund 1,456,607 Marshall Street Influent Pump Station Repairs Water & Sewer Utility Enterprise Fund 1,349,525 Annual Stormwater Improvements Stormwater Utility Enterprise Fund 985,343 Lift Station #7 and #8 Improvements Water & Sewer Utility Enterprise Fund 967,949 Fire Station #50 Capital Improvement Fund 827,446 Corona Sewer Improvements Water & Sewer Utility Enterprise Fund 551,170 Joint Use Library at St. Petersburg College Capital Improvement Fund 543,378 Total Construction Commitments 22,998,116$ III.D. Interfund receivables, payables, and transfers III.D.1. Interfund balances As discussed in Note III-A, individual fund deficits in the consolidated cash pool, if any, have been reclassified as of September 30, 2017, as interfund loans from the Capital Improvement Fund, which was selected by management for this purpose. This reclassification results in a corresponding reduction in the cash equity in the Capital Improvement Fund, offset by an increase in interfund receivables. As of September 30, 2017, there were no funds reporting a cash pool deficit. The amounts of the reclassified cash pool deficits, if any, as well as the current portion of other individual fund interfund payable and receivable balances are classified as Due from/to Other Funds. The long-term portions of other interfund balances are classified as Advances to/from Other Funds. City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 69 Due from Due to Advances to Advances from Fund Other Funds Other Funds Other Funds Other Funds Special Revenue Funds: Special Programs -$ -$ 325,440$ -$ Community Redevelopment Agency - 316,667 - 325,440 Internal Service Funds: Central Insurance 316,667 - - - 316,667$ 316,667$ 325,440$ 325,440$ Descriptions of interfund loans as of September 30, 2017: An internal loan from the Special Programs special revenue fund to the Community Redevelopment Agency special revenue fund in the amount of $325,440, approved on September 1, 2011, for the environmental cleanup of the Car Pro site in the East Gateway area of the downtown. This loan is interest-free and is to be repaid upon the sale of the developed parcel. Because the first principal payment is not due within one year, this loan is classified as an advance. An internal loan from the Central Insurance Fund to the Community Redevelopment Agency special revenue fund in the amount of $1,900,000 to underwrite the acquisition, closing costs and site demolition costs related to the acquisition of the Economy Inn and surrounding properties in the East Gateway area for redevelopment purposes. This loan, which commenced on September 9, 2010, provides for interest-only payments at the cash-pool rate through fiscal year 2012, and level debt service (principal and interest) from fiscal year 2013 through fiscal year 2018. Because the final principal payment ($316,667) is due within one year, this loan is classified as due to/due from other funds. III.D.2. Interfund transfers Interfund transfers for the year ended September 30, 2017 consisted of the following: City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 70 Transfers to General Fund from: Water & Sewer Utility Enterprise Fund 3,881,550$ Gas Utility Enterprise Fund 3,570,795 Solid Waste & Recycling Utility Enterprise Fund 1,216,490 Stormwater Utility Enterprise Fund 959,500 Nonmajor governmental funds 1,042,496 Nonmajor enterprise funds 775,053 Total 11,445,884 Transfers to Special Development Fund from: Capital Improvement Fund 21,632 Transfers to Capital Improvements Fund from: General Fund 9,610,640 Special Development Fund 16,830,480 Water & Sewer Utility Enterprise Fund 353,373 Gas Utility Enterprise Fund 385,000 Stormwater Utility Enterprise Fund 153,069 Nonmajor governmental funds 535,000 Total 27,867,562 Transfers to Nonmajor governmental funds from: General Fund 2,012,459 Gas Utility Enterprise Fund 40,000 Nonmajor governmental funds 4,025,193 Total 6,077,652 Transfer to Nonmajor enterprise funds from: Nonmajor governmental funds 16,978 Transfers to Internal service funds from: General Fund 66,160 Capital Improvement Fund 4,497,208 Water & Sewer Utility Enterprise Fund 330,916 Gas Utility Enterprise Fund 537,540 Solid Waste & Recycling Utility Enterprise Fund 372,056 Stormwater Utility Enterprise Fund 226,808 Nonmajor enterprise funds 23,419 Internal Service Funds 362,069 Total 6,416,176 Total interfund transfers 51,845,884$ Transfers are primarily used to 1) transfer revenues that have been collected in the required fund per state law to the funds and activities that state law allows for expenditures; 2) transfer of “payment in lieu of taxes” contributions from the utility funds to the General Fund; 3) transfer funding from governmental funds to debt service and capital improvements funds; and 4) transfer matching funds from the General Fund to various grant programs. Other non-routine interfund transfers occurring during the current fiscal year included: A transfer of $4,539 from the Special Programs Fund to the General Fund to reflect the closure of the Strategic Direction Action Plan program ($2,750) and the Centennial Celebration program ($1,789); a transfer of $439,820 from the General Fund to the Special Programs Fund for the Clearwater Ferry program; a transfer of $50,000 from the Solid Waste Fund to the Capital Improvements Fund for the Solid Waste Commercial Container Acquisitions project; a transfer of $16,978 from the Special Programs Fund to the Parking Fund to reflect the closure of the FY16 Jolley Trolley Summer Pilot program; a transfer of $95,000 from the General Services Fund to the Capital Improvement Fund for the Building Systems project ($35,000) and the City Wide Air Conditioner Replacement project ($60,000); a transfer of $500,000 from the Administrative Services Fund to the Capital Improvement Fund for the Advanced Enterprise Audio Visual R&R project; a transfer of $9,259 from the Capital Improvements Fund to the Special Development Fund to return unspent Infrastructure Sales Tax revenue in the Capitol Theatre project; a transfer of City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 71 $607,750 from the General Fund to the Capital Improvements Fund for the Missouri Avenue Beautification Project ($107,750) and the Imagine Clearwater Implementation project ($500,000); a transfer of $1,170,795 from the Gas Fund to the General Fund for the increased dividend; a transfer of $7,500 from the Parking Fund to the Capital Improvements Fund for the Beach Guard Facility Maintenance project; a transfer of $21,301 from the Special Programs Fund to the General Fund to reflect the closure of the IDB Fees program; a transfer of $1,365,000 from the General Fund to the Capital Improvements Fund for the Morningside Recreation Center project ($815,000) and the Jack Russell Stadium Practice Field Renovations project ($550,000); a transfer of $200,000 from General Fund to the Capital Improvements Fund for the Clearwater Beach Infrastructure Repairs and Improvements project; and a transfer of $12,373 from the Capital Improvements Fund to the Special Development Fund to return unspent Infrastructure Sales Tax revenue in the Countryside Library Renovations project. III.E. Leases The City purchases various equipment for governmental and business-type activities under lease purchase financing agreements. The equipment is purchased with cash and subsequently provided as collateral via a “lease purchase” financing arrangement, typically for a five-year term. Obligations under these lease purchase agreements are recorded at the present value of their future minimum lease payments as of date of inception. Purchase of the assets is recorded as a cash outflow and the subsequent receipt of the financing proceeds is recorded as “proceeds from issuance of debt” for Statement of Cash Flows reporting. Capitalized equipment subject to lease purchase financing as of September 30, 2017: Governmental Business-type Activities Activities Equipment 32,616,967$ 1,321,201$ Less: Accumulated Depreciation (9,303,177) (121,964) Total 23,313,790$ 1,199,237$ The future minimum lease payments under capital lease purchase agreements are as follows as of September 30, 2017: Governmental Business-type Year Ending Sept. 30 Activities Activities 2018 6,954,561$ 278,332$ 2019 6,030,966 278,332 2020 4,986,187 267,384 2021 2,920,481 231,998 2022 1,180,416 139,196 22,072,611 1,195,242 Deduction of the amount of imputed interest necessary to reduce net minimum lease payments to present value 21,241,365$ 1,141,228$ (831,246) (54,014) The City also leases personal computers under a three-year operating lease that is cancelable on an annual basis. Lease payments for fiscal year ended September 30, 2017, totaled $395,719. City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 72 III.F. Long-term debt III.F.1. Revenue Bonds $14,810,000 in Spring Training Facility Revenue Bonds, Series 2002; issued to provide a portion of the costs of the acquisition, construction, rehabilitation and equipping of a spring training facility to be used by the Philadelphia Phillies major league baseball team; serial bonds due in annual installments of $725,000 due March 1, 2018, to $295,000 due March 1, 2022, with maximum principal of $845,000 due March 1, 2021, interest at 4.50% to 5.375%; 5.375% term bonds in the amount of $1,730,000 due March 1, 2027; and 5.375% term bonds in the amount of $1,750,000 due March 1, 2031. $6,910,000 Total revenue bonds for governmental activities 6,910,000 $8,410,000 Water and Sewer Revenue Refunding Bonds, Series 2003; issued to refund and redeem on December 1, 2003, all of the City’s Water and Sewer Refunding Revenue Bonds, Series 1993, maturing after December 1, 2003; serial bonds due in annual installments of $250,000 at December 1, 2017, to $260,000 due December 1, 2018, interest at 4.00%. 510,000 $420,000 Water and Sewer Revenue Bonds, Series 2009A; issued to pay the costs of the design, acquisition, construction, or reconstruction of capital improvements to the City’s water and sewer system; serial bonds due in annual installments of $420,000 at December 1, 2019; interest at 5.00%. 420,000 $41,700,000 Water and Sewer Revenue Refunding Bonds, Series 2009B; issued to currently refund and redeem all of the outstanding principal amount of the City’s Water and Sewer Refunding Revenue Bonds, Series 1998; serial bonds due in annual installments of $4,895,000 at December 1, 2017 to $5,150,000 due December 1, 2018; interest at 5.00%. 10,045,000 $9,175,000 Water and Sewer Revenue Refunding Bonds, Series 2011; issued to refund and redeem on December 1, 2011 the City’s callable Water and Sewer Revenue Bonds, Series 2002, maturing after December 1, 2011; serial bonds due in annual installments of $1,685,000 at December 1, 2017, to $2,020,000 due December 1, 2021, interest at 5.00%. 9,175,000 $27,520,000 Water and Sewer Revenue Refunding Bonds, Series 2014; issued to refund and redeem the outstanding principal of the City’s Water and Sewer Revenue Bonds, Series 2006, maturing on and after December 1, 2019; term bonds due in annual installments of $155,000 at December 1, 2017, to $2,305,000 due December 1, 2032; interest at 3.18%. 27,200,000 $69,270,000 Water and Sewer Revenue Refunding Bonds, Series 2017; issued to refund and redeem the outstanding principal of the City’s Water and Sewer Revenue Bonds, Series 2009A, maturing on and after December 1, 2020; term bonds due in annual installments of $670,000 at December 1, 2021, to $9,265,000 due December 1, 2039; interest at 3.50% to 5.00%. 69,270,000 $29,080,000 Water and Sewer Revenue Refunding Bonds, Series 2017B; issued to refund and redeem the outstanding principal of the City’s Water and Sewer Revenue Refunding Bonds, Series 2011, maturing on and after December 1, 2022; term bonds due in annual installments of $375,000 at December 1, 2019, to $2,895,000 due December 1, 2032; interest at 2.40%. 29,080,000 City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 73 $7,365,000 Gas System Revenue Refunding Bonds, Series 2013; issued to current refund the City’s callable Gas System Revenue Refunding Bonds, Series 2004, maturing after September 1, 2013; term bonds due in annual installments of $390,000 due September 1, 2018, to $1,520,000 due September 1, 2026; interest at 2.41%. 5,900,000 $5,405,000 Gas System Revenue Refunding Bonds, Series 2014; issued to current refund the City’s callable Gas System Revenue Refunding Bonds, Series 2005, maturing after September 1, 2014; term bonds due in annual installments of $260,000 due September 1, 2018, to $2,040,000 due September 1, 2027; interest at 2.67%. 4,655,000 $19,365,000 Stormwater System Revenue Refunding Bonds, Series 2012, issued to pay and redeem all of the Stormwater Revenue Bonds, Series 2002, currently outstanding; serial bonds due in annual installments of $725,000 due November 1, 2017, to $1,350,000 due November 1, 2032, interest at 2.00% to 5.00%. 16,195,000 $11,025,000 Stormwater System Revenue Refunding Bonds, Series 2013; issued to advance refund the City’s callable Stormwater System Revenue Bonds, Series 2004, maturing after November 1, 2014; term bonds due in annual installments of $505,000 due November 1, 2017, to $780,000 due November 1, 2032; interest at 2.98%. 9,990,000 $5,450,000 Stormwater System Revenue Refunding Bonds, Series 2014; issued to advance refund the City’s callable Stormwater System Revenue Bonds, Series 2005, maturing after November 1, 2014; term bonds due in annual installments of $320,000 due November 1, 2017, to $435,000 due November 1, 2029; interest at 2.72%. 4,850,000 Total revenue bonds for business-type activities 187,290,000 Total revenue bonds $194,200,000 III.F.2. Restrictive covenants and collateral requirements The Spring Training Facility Revenue Bonds are special, limited obligations of the City, payable solely from and secured by a lien upon and pledge of the (i) payments received by the City from the State of Florida pursuant to Section 212.20, Florida Statutes (State payments); and (ii) payments received by the City from Pinellas County, Florida pursuant to the Interlocal Agreement dated December 1, 2000 (County payments). The pledge of the State Payments and County Payments does not constitute a lien upon any property of the City. Furthermore, neither the City, Pinellas County, the State of Florida, nor any political subdivision thereof has pledged its faith or credit or taxing power to the payment of the bonds. However, the City has pledged, per a municipal bond insurance debt service agreement, to supplement State and County payments on deposit in the Revenue Fund with non-ad valorem City revenues, if necessary, to pay debt service. The Water and Sewer Revenue Bonds, Series 2009A; and the Water and Sewer Revenue Refunding Bonds, Series 2003, Series 2009B, Series 2011, Series 2014, Series 2017 and Series 2017B; are limited obligations of the City payable solely from and secured by a lien upon and pledge of the net revenues of the City’s water and sewer system (System). The pledge of the System’s net revenues does not constitute a lien upon any property of the City. The covenants of the ordinances authorizing the bonds include, among other things, an obligation of the City to fix and maintain such rates, and collect such fees, rentals and other charges for the services and facilities of the System and revise the same from time to time whenever necessary, which will provide gross revenues in each fiscal year sufficient to pay the cost of operation and maintenance of the system; one hundred fifteen percent (115%) of the bond service requirement becoming due in such fiscal year on the outstanding bonds; plus one hundred percent (100%) of all reserve and other payments required to be City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 74 made pursuant to the ordinances authorizing the bonds. The City further covenants that such rates, fees, rentals and other charges will not be reduced so as to render them insufficient to provide gross revenues for such purpose. The Gas System Revenue Refunding Bonds, Series 2013 and Series 2014 are limited obligations of the City payable solely from and secured by a lien upon and pledge of the net revenues of the City’s gas system (System). The pledge of the System’s net revenues does not constitute a lien upon any property of the City. The covenants of the ordinances authorizing the bonds include, among other things, an obligation of the City to fix, establish, revise from time to time whenever necessary, maintain and collect always, such fees, rates, rentals and other charges for the use of the product, services and facilities of the System which will always provide revenues in each year sufficient to pay, and out of such funds pay, 100% of the cost of operations and maintenance of the system in such year and all reserve and other payments provided for in the ordinances authorizing the bonds, along with one hundred twenty five percent (125%) of the bond service requirement due in such year on all outstanding bonds. The Stormwater Revenue Refunding Bonds, Series 2012, Series 2013 and Series 2014 are limited obligations of the City payable solely from and secured by a lien upon and pledge of the net revenues of the City’s stormwater management system (System). The pledge of the System’s net revenues does not constitute a lien upon any property of the City. The covenants of the ordinances authorizing the bonds include, among other things, an obligation of the City to fix, revise from time to time whenever necessary, and maintain and collect always such fees, rates, rentals and other charges for use of the products, services, and facilities which will always provide net revenues in each year sufficient to pay one hundred fifteen percent (115%) of the bond service requirement becoming due in such fiscal year on the outstanding bonds. The City further covenants that such rates, fees, rentals and other charges will not be reduced so as to render them insufficient to provide revenues for such purpose. Additionally, the covenants of each of the above issues includes a “Reserve Requirement” equal to the lesser of: the Maximum Bond Service Requirement for any given year; 125% of the Average Annual Bond Service Requirement; or the largest amount as shall not adversely affect the exclusion of interest on the Bonds from gross income for Federal income tax purposes. A Reserve Fund has been funded for the Series 2012 Bonds. Annual debt service requirements to maturity for revenue bonds are as follows: Year Ending September 30 Principal Interest Principal Interest 2018 725,000$ 342,543$ 9,185,000$ 6,438,386$ 2019 760,000 302,634 9,570,000 6,229,946 2020 805,000 260,574 6,530,000 5,903,944 2021 845,000 219,928 6,765,000 5,659,500 2022 295,000 193,983 7,020,000 5,394,010 2023-2027 1,730,000 712,994 42,145,000 23,241,590 2028-2032 1,750,000 194,038 40,005,000 16,664,351 2033-2037 - - 39,345,000 9,539,199 2038-2040 - - 26,725,000 1,631,900 Totals 6,910,000$ 2,226,694$ 187,290,000$ 80,702,826$ Business-type ActivitiesGovernmental Activities City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 75 III.F.3. Pledged revenues State of Florida and Pinellas County Payments Pledged: The City has pledged future revenues derived from payments received from the State of Florida pursuant to Section 212.20, Florida Statutes, and payments from Pinellas County, Florida pursuant to an Interlocal Agreement, together with any investment income earned on the revenues, to repay $14.8 million in Spring Training Facility Revenue bonds issued in September 2002. Proceeds from the bonds provided financing for a portion of the costs of the acquisition, construction, rehabilitation, and equipping of a spring training facility to be used by the Philadelphia Phillies major league baseball team. The bonds are payable solely from the State of Florida and Pinellas County, Florida payments and are payable through March 2031. Annual principal and interest payments on the bonds are expected to require less than 100 percent of net revenues. The total principal and interest remaining to be paid on the bonds is $9,136,693. Principal and interest paid for the current year and total revenue received were $1,065,437 and $1,090,405 respectively. Water and Sewer Utility Net Revenues Pledged: The City has pledged future net revenues of the City of Clearwater, Florida, Water & Sewer Utility defined as all income or earnings, including any income from the investment of funds, derived by the City from the operation of the utility after deduction of current expenses for the operation, maintenance and repair of the system, but not including reserves for renewals and replacements, for extraordinary repairs or any allowance for depreciation to repay: $8.4 million in Water & Sewer Revenue Refunding bonds issued in October 2003. Proceeds from the bonds provided financing to refund and redeem the City’s then outstanding Water and Sewer Revenue Refunding Bonds, Series 1993. The bonds are payable solely from the Water and Sewer Utility net revenues and are payable through December 2018. $67.7 million in Water & Sewer Revenue bonds issued in May 2009. Proceeds from the bonds provided financing for the costs of design, acquisition, construction or reconstruction of capital improvements to the City’s water and sewer system. The bonds are payable solely from the Water and Sewer Utility net revenues and, after a partial refunding in February 2017, are payable through December 2019. $41.7 million in Water and Sewer Revenue Refunding bonds issued in May 2009. Proceeds from the bonds provided financing to refund and redeem the City’s then outstanding Water and Sewer Revenue Refunding Bonds, Series 1998. The bonds are payable solely from the Water and Sewer Utility net revenues and are payable through December 2018. $47.0 million in Water and Sewer Revenue Refunding bonds issued in September 2011. Proceeds from the bonds provided financing to refund and redeem the outstanding principal maturing after December 1, 2011 of the City’s Water and Sewer Revenue Bonds, Series 2002. The bonds are payable solely from the Water and Sewer Utility net revenues and, after a partial refunding in September 2017, are payable through December 2021. $27.5 million in Water and Sewer Revenue Refunding bonds issued in December 2014. Proceeds from the bonds provided financing to refund and redeem the outstanding principal maturing on and after December 1, 2019 of the City’s Water and Sewer Revenue Bonds, Series 2006. The bonds are payable solely from the Water and Sewer Utility net revenues and are payable through December 2032. $69.3 million in Water and Sewer Revenue Refunding bonds issued in February 2017. Proceeds from the bonds provided financing to refund and redeem the outstanding principal maturing on or after December 1, 2020 of the City’s Water and Sewer Revenue Bonds, Series 2009A. The bonds are payable solely from the Water and Sewer Utility net revenues and are payable through December 2039. $29.1 million in Water and Sewer Revenue Refunding bonds issued in September 2017. Proceeds from the bonds provided financing to refund and redeem the outstanding principal maturing on or after December 1, 2022 of the City’s Water and Sewer Revenue Refunding Bonds, Series 2011. The bonds are payable solely from the Water and Sewer Utility net revenues and are payable through December 2032. City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 76 Annual principal and interest payments on the bonds are expected to require less than 85 percent of net revenues. The total principal and interest remaining to be paid on the bonds is $215,955,065. Principal and interest paid for the current year ($12,634,182) required 39.83% of total net revenue ($31,720,109). Stormwater Utility Net Revenues Pledged: The City has pledged future net revenues of the City of Clearwater, Florida, Stormwater Utility defined as all income or earnings, including any income from the investment of funds, derived by the City from the operation of the utility after deduction of current expenses for the operation, maintenance and repair of the system, but not including reserves for renewals and replacements, for extraordinary repairs or any allowance for depreciation to repay: $19.4 million in Stormwater Revenue Refunding bonds issued in February 2012. Proceeds from the bonds provided sufficient funds to be available on March 5, 2012 to pay and redeem the City’s outstanding Stormwater Revenue Bonds, Series 2002. The bonds are payable solely from the Stormwater Utility net revenues and are payable through November 2032. $11.0 million in Stormwater Revenue Refunding bonds issued in June 2013. Proceeds from the bonds provided sufficient funds to pay and redeem the City’s Stormwater Revenue Bonds, Series 2004, maturing after November 1, 2014. The bonds are payable solely from the Stormwater Utility net revenues and are payable through November 2032. $5.4 million in Stormwater Revenue Refunding bonds issued in August 2014. Proceeds from the bonds provided sufficient funds to pay and redeem the City’s Stormwater Revenue Refunding Bonds, Series, 2005, maturing after November 1, 2014. The bonds are payable solely from the Stormwater Utility net revenues and are payable through November 2029. Annual principal and interest payments on the bonds are expected to require less than 60 percent of net revenues. The total principal and interest remaining to be paid on the bonds is $39,674,809. Principal and interest paid for the current year ($2,539,296) required 26.33% of total net revenue ($9,642,846). Gas System Utility Net Revenues Pledged: The City has pledged future net revenues of the City of Clearwater, Florida, Gas System Utility defined as all income or earnings, including any income from the investment of funds, derived by the City from the operation of the utility after deduction of current expenses for the operation, maintenance and repair of the system, but not including reserves for renewals and replacements, for extraordinary repairs or any allowance for depreciation to repay: $7.4 million in Gas System Revenue Refunding Bonds issued in June 2013. Proceeds from the bonds provided financing to refund the outstanding principal of the Gas System Revenue Refunding bonds, Series 2004. The bonds are payable solely from the Gas System Utility net revenues and are payable through September 2026. $5.4 million in Gas System Revenue Refunding Bonds issued in June 2014. Proceeds from the bonds provided financing to refund the outstanding principal of the Gas System Revenue Refunding bonds, Series 2005. The bonds are payable solely from the Gas System Utility net revenues and are payable through September 2027. Annual principal and interest payments on the bonds are expected to require less than 60 percent of net revenues. The total principal and interest remaining to be paid on the bonds is $12,362,952. Principal and interest paid for the current year ($1,297,125) required 10.10% of total net revenue ($12,845,868). City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 77 III.F.4. Advance refunding of bonds On February 28, 2017, the City issued at a premium $69,270,000 of Water & Sewer Revenue Refunding Bonds, Series 2017, for the purpose of advance refunding and redeeming on December 1, 2019, $67,295,000 principal of Water & Sewer Revenue Bonds, Series 2009A, maturing on or after December 1, 2020. The net proceeds in the amount of $75,014,549 (after payment of $553,863 plus additional cash of $1,394,248 from released debt service reserve escrow), were deposited into an irrevocable trust with an escrow agent to provide for all future debt service payments on the refunded bonds. The refunding transaction resulted in an aggregate debt service reduction in the amount of $11,505,504 and an economic gain (difference between the present value of the debt service payments on the old and new debt) of $6,335,204. The outstanding principal of the refunded bonds was $67,295,000 at September 30, 2017. On September 21, 2017, the City issued at a discount $29,080,000 of Water & Sewer Revenue Refunding Bonds, Series 2017B, for the purpose of advance refunding and redeeming on December 1, 2021, $30,465,000 principal of Water & Sewer Revenue Refunding Bonds, Series 2011, maturing on or after December 1, 2022. The net proceeds in the amount of $34,708,045 (after payment of $91,402 plus additional cash of $5,792,147 from released debt service reserve escrow), were deposited into an irrevocable trust with an escrow agent to provide for all future debt service payments on the refunded bonds. The refunding transaction resulted in an aggregate debt service reduction in the amount of $9,757,105 and an economic gain (difference between the present value of the debt service payments on the old and new debt) of $2,336,358. The outstanding principal of the refunded bonds was $30,465,000 at September 30, 2017. A portion of the proceeds of the above-referenced bond issues was deposited into an irrevocable trust with an escrow agent and used to purchase securities of the United States Government and related agencies at various maturities and interest rates sufficient to meet all debt service requirements of the refunded debt. These assets are administered by trustees and are restricted to use for retirement of the refunded debt. The liability for the refunded bonds and the related securities and escrow accounts are not included in the accompanying financial statements as the City defeased its obligation for payment of the refunded debt upon completion of the refunding transactions. City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 78 III.F. 5. Changes in long-term liabilities Beginning Ending Due Within Balance Additions Reductions Balance One Year Governmental activities: Revenue bonds payable 7,595,000$ -$ (685,000)$ 6,910,000$ 725,000$ Add (subtract) deferred amounts: For issuance premiums (discounts) 121,923 - (18,016) 103,907 - Net revenue bonds payable 7,716,923 - (703,016) 7,013,907 725,000 Lease purchase contracts (a) 18,034,954 9,180,001 (5,973,590) 21,241,365 6,578,709 Compensated absences (b) 7,975,162 4,919,737 (4,560,343) 8,334,556 4,518,034 Other postemployment benefits (c) 10,829,879 2,186,877 (792,963) 12,223,793 - Claims payable (d) 9,985,005 16,321,912 (15,216,848) 11,090,069 3,856,469 Governmental activity Long-term liabilities 54,541,923$ 32,608,527$ (27,246,760)$ 59,903,690$ 15,678,212$ Business-type activities: Revenue bonds payable 195,860,000$ 98,350,000$ (106,920,000)$ 187,290,000$ 9,185,000$ Less deferred amounts: For issuance premiums (discounts) 1,825,902 4,831,465 (850,111) 5,807,256 - Net revenue bonds payable 197,685,902 103,181,465 (107,770,111) 193,097,256 9,185,000 Lease purchase contracts (a) 437,207 866,734 (162,713) 1,141,228 257,430 Compensated absences (b) 2,156,379 1,088,274 (1,147,487) 2,097,166 1,136,842 Other postemployment benefits (c) 4,677,043 1,064,093 (385,841) 5,355,295 - Business-type activity Long-term liabilities 204,956,531$ 106,200,566$ (109,466,152)$ 201,690,945$ 10,579,272$ (a) Governmental activities lease purchase contract additions of $9,180,001 includes $8,103,409 attributable to internal service funds and $1,076,592 attributable to governmental funds. The lease purchase contracts reduction of $5,973,590 includes $5,571,055 for internal service funds and $402,535 for governmental funds. (b) Compensated absences are paid by the fund where salaries are incurred, which is primarily the General Fund for governmental activities. (c) Since the plan’s inception in fiscal 2008, other postemployment benefits costs are allocated to and paid by funds based on their percentage of full time equivalent employees, which is primarily the General Fund for governmental activities. (d) The Central Insurance Fund, an internal service fund, accrues for estimated claims and pays claims for all departments. City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 79 III.G. Restricted assets Restricted assets are classified as current or noncurrent on the Statement of Net Position on the basis of the underlying liabilities payable from the restricted assets. III.G.1. Water and Sewer Utility Fund Assets in the Water and Sewer Utility Fund restricted for construction include: Sewer Improvement charges, the use of which is restricted by the authorizing ordinance to the construction of additions to the sewer system; assets remaining at September 30, 2017, are: Cash and Investments $2,155,254 Assets of the Water and Sewer Utility Fund restricted under the provisions of the ordinances authorizing the issuance of Water and Sewer Revenue Bonds consisted of the following at September 30, 2017: Water and Sewer Revenue Bonds Debt Service: Cash and Investments 15,197,008 Water and Sewer Revenue Bonds Renewals and Replacements: Cash and Investments 11,601,404 Assets of the Water and Sewer Utility Fund representing Customers' Deposits and therefore restricted, consisting entirely of Cash and Investments at September 30, 2016 3,403,208 Total restricted assets – Water and Sewer Utility Fund $32,356,874 III.G.2. Gas Utility Fund Assets in the Gas Utility Fund restricted under the provisions of the ordinance authorizing the issuance of revenue bonds consisted of the following at September 30, 2017: Gas System Revenue Bonds Debt Service: Cash and Investments $ 76,374 Renewals and Replacements: Cash and Investments 300,000 Assets of the Gas Utility Fund representing Customers' Deposits at September 30, 2016: Cash and Investments 2,989,115 Total restricted assets – Gas Utility Fund $ 3,365,489 City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 80 III.G.3. Solid Waste & Recycling Utility Fund Restricted assets in the Solid Waste & Recycling Utility Fund represent customer deposits in the amount of $1,122,753 at September 30, 2017, and consisted entirely of Cash and Investments. III.G.4. Stormwater Utility Fund Assets restricted under the provisions of the ordinances for the issuance of revenue bonds consisted of the following at September 30, 2017: Stormwater Revenue Refunding Bonds – Series 2012 Debt Service: Cash and Investments $2,286,218 Stormwater Revenue Refunding Bonds – Series 2013 Debt Service: Cash and Investments 586,959 Stormwater Revenue Refunding Bonds – Series 2014 Debt Service: Cash and Investments 348,300 Total restricted assets – Stormwater Utility Fund $ 3,221,477 City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 81 II.H. Fund Balance Classification Special Capital Non-Major General Development Improvement Governmental Fund Fund Fund Funds Non Spendable: Inventories 62,195$ -$ -$ -$ Restricted for: General government - - 256,022 103,567 Public safety - - 7,859,227 2,067,280 Physical environment - 18,083 643,926 625,804 Transportation - 1,516,108 12,731,320 - Economic environment - - - 14,821,601 Human services - - - 606,028 Culture and recreation - 1,526,019 11,103,359 792,076 Infrastructure capital projects - 4,010,585 - - Committed to: General government - - 2,994,267 216,290 Public safety - - 943,495 2,114,730 Physical environment - - 2,707,761 - Transportation - 282,920 7,038,492 188,605 Economic environment - - - 490,425 Human services - - - 8,012 Culture and recreation - - 5,020,809 126,429 Assigned to: General government 15,455 - - 59,421 Public safety 61,158 - - 776,903 Physical environment - - - 116,257 Transportation - - - 35,038 Economic environment 68,200 - - 384,444 Human services - - - 114,072 Culture and recreation 86,651 56,918 50,550 46,655 Infrastructure capital projects - 5,453,560 - - Unassigned 28,276,044 - - - Total Fund Balances 28,569,703$ 12,864,193$ 51,349,228$ 23,693,637$ General Fund assigned fund balance ($231,464) relates to encumbrances. In the Special Development Fund, restricted amounts relate to collections from drainage fees ($18,083), sidewalk fees ($177,022), transportation impact fees ($1,201,239), local option gas tax ($137,847), recreation impact fees ($1,526,019) and the local infrastructure sales tax ($4,010,585). Committed amounts relate to the portion of property tax revenues that is set aside in the budget process to provide funding for road maintenance projects ($282,920). Assigned amounts relate to interest earned on recreation impact fees ($56,918) and local infrastructure sales tax balances ($5,453,560). City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 82 Amounts in the Capital Improvement Fund all relate to funding for various capital projects. Significant restrictions in the non-major governmental funds include public safety restrictions for law enforcement programs ($2,038,668) and EMS programs ($28,612); and economic environment restrictions for economic development programs ($779,619), low income housing ($8,467,399) and community redevelopment ($5,574,583). Significant commitments include consulting services for various general government programs ($216,290); commitments to public safety for police vehicles ($201,034), emergency operations ($1,877,857) and law enforcement programs ($35,839); and various consulting services for economic development programs ($490,425). Assigned amounts relate to interest earned on program balances for general government ($59,421), public safety ($776,903), physical environment ($116,257), transportation ($35,038), economic environment ($235,939), human services ($114,072), and culture and recreation ($46,655). Additional amounts assigned for economic environment purposes are for low income housing ($126,423) and community redevelopment ($22,082). Note IV - Other Information IV.A. Risk management The City is self-insured within certain parameters for losses arising from claims for general liability, auto liability, police professional liability, public official’s liability, property damage, and workers' compensation. Insurance coverage has been maintained by the City to pay for or indemnify the City for losses in excess of certain specific retentions and up to specified maximum limits in the case of claims for liability, property damage, and workers' compensation. The liability excess coverage is $7,000,000 per occurrence ($14,000,000 aggregate) with self-insured retention of $500,000. There is workers’ compensation coverage to the statutory limit, with self-insured retention of $600,000. The property damage excess coverage is $100 million per occurrence, except $60 million for the perils of Named Storm (per occurrence), Flood (annual aggregate) and Earth Movement (annual aggregate) after either a $100,000 self-insured retention for perils other than a named storm or 5% self-insured retention for named storm and High Hazard Flood with a $100,000 minimum and a maximum of $5,000,000 any one occurrence. Settled claims have not exceeded excess coverage in any of the past three years. On October 17, 2012, City Council authorized a partial self-insured funding arrangement with Cigna for health insurance effective for the plan year beginning January 1, 2013. Per this arrangement, the City is self-insured for medical and pharmacy claims up to $250,000 per person per year. The City has purchased stop loss insurance from Cigna which covers 50% of individual claims for any amount of the claim between the amounts of $250,000 and $350,000 and covers 100% of individual claims for any amount of the claim exceeding the amount of $350,000 per person per year. In accordance with the fully insured arrangement between the City and Cigna prior to January 1, 2013, the City has no liability for health insurance claims incurred prior to this date. The City estimates a liability for health insurance claims incurred but not yet paid as of September 30, 2017 in the amount of $1,156,069. The transactions relating to the self-insurance program are accounted for in the Central Insurance Fund, an internal service fund. The billings by the Central Insurance Fund to the various operating funds (the interfund premiums) are based on actuarial estimates of the amounts needed to pay prior and current year claims. The claims liability reported at September 30, 2017, is based on the requirements of GASB Statement No. 10, which requires that a liability for claims be reported if information prior to the issuance of the financial statements indicates that it is probable that a liability has been incurred at the date of the financial statements and the amount of the loss can be reasonably estimated. City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 83 Changes in the claims liability amounts in fiscal years 2017 and 2016 were: Self Insurance Balance at September 30, 2015 9,542,650$ Current year claims and changes in estimates 13,934,394 Claims paid (13,492,039) Balance at September 30, 2016 9,985,005 Current year claims and changes in estimates 16,321,912 Claims paid (15,216,848) Balance at September 30, 2017 11,090,069$ IV.B. Statements of cash flows For purposes of the statements of cash flows, investments with original maturities of three months or less are considered to meet the definition of cash equivalents. The majority of the investments in which the City's proprietary funds have equity are held by the City's consolidated pool of cash and investments. Since fund equities in this cash management pool have the general characteristics of demand deposits in that additional funds may be deposited at any time and also funds may be withdrawn at any time without prior notice or penalty, each fund's equity account is considered a cash equivalent regardless of the maturities of investments held by the pool. Funds with deficit (overdraft) positions within the consolidated pool report the deficits as interfund payables to the City's Capital Improvement Fund. IV.D. Employee retirement systems and pension plans IV.D.1. Defined benefit pension plans The City contributes to two separate single-employer, self-administered defined benefit pension plans covering approximately three-fourths of all City employees. The Employees' Pension Plan covers all permanent, full-time City employees who successfully pass the required physical examination, except for firefighters employed prior to July 1, 1963, and certain unclassified (primarily managerial) employees. The Firefighters’ Relief and Pension Plan covered eligible firefighters hired prior to July 1, 1963, and is closed to new entrants. As indicated, both plans are self-administered, and the administrative costs of the plans are financed from the respective plan assets. Each pension fund is accounted for as a pension trust fund; therefore, each is accounted for in substantially the same manner as proprietary funds with an economic resources measurement focus and the accrual basis of accounting. Fund assets, primarily investments, are valued at fair value for balance sheet purposes. Investment values are determined using the estimated fair value determined by averaging estimated fair values obtained from three or more nationally recognized brokers. For purposes of measuring the net pension liability (asset), deferred outflows of resources and deferred inflows of resources related to pensions, and pension expense, information about the fiduciary net position of the plans, and additions to/deductions from the plans’ fiduciary net position have been determined on the same basis as they are reported by the plans. For this purpose, benefit payments (including refunds of employee contributions) are recognized when due and payable in accordance with the benefit terms. Detailed information about each plan’s fiduciary net position is available on pages 103-108 and pages 134-135 of this Comprehensive Annual Financial Report. Neither of these plans issues a stand-alone financial report. City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 84 The Employees' Pension Plan is authorized by and operates under the provisions of Sections 2.391 through 2.428 of the Municipal Code of the City of Clearwater. Sections 2.391 through 2.401 apply to those participants who attained a vested benefit and terminated employment prior to January 1, 2013. Sections 2.410 through 2.428 apply to those participants who are actively employed by the City of Clearwater as of or after January 1, 2013. Plan provisions have been duly approved as required by the voters in referendums. There were no changes to the plan provisions during the year; however, there was a change in actuarial assumptions as described below. Management of the Employees’ Pension Plan is vested in the Clearwater City Council, serving as the Pension Trustees. Plan membership/Employees covered by benefit terms. As of the most recent actuarial valuation date, January 1, 2017, the membership of the Employees’ Pension Plan was as follows: Employees' Pension Plan Retirees and beneficiaries currently receiving benefits 1,212 Terminated employees entitled to benefits but not yet receiving them 66 Active employees 1,520 Total number of participants 2,798 Benefits provided. The normal retirement benefit is a monthly benefit equal to 2.75% of average monthly compensation (2.00% for participants in non-hazardous duty hired on or after January 1, 2013) for the highest five of the final ten years of service multiplied by the number of years of service to date of retirement. Eligibility for normal retirement occurs upon completion of 10 years of service and the attainment of age 65, or completion of 20 years of service and the attainment of age 55, or completion of 30 years of service regardless of age, for employees hired before January 1, 2013 who are engaged in non-hazardous duty. For employees hired on or after January 1, 2013 who are engaged in non-hazardous duty, eligibility for normal retirement occurs upon completion of 25 years of service and attainment of age 60 or completion of 10 years of service and attainment of age 65. For those engaged in hazardous duty, eligibility occurs upon completion of 20 years of service or upon completion of 10 years of service and attainment of age 55. For all hazardous duty participants and non-hazardous duty participants eligible to retire as of January 1, 2013, the normal monthly benefit is payable for the life of the participant and will continue, after the participant's death, to be paid at the same amount for 5 years to the surviving spouse; after 5 years, the survivor annuity is reduced to 50% of the original amount and ceases upon death or remarriage of the spouse. For non-hazardous duty participants not eligible to retire as of January 1, 2013, the normal benefit is a monthly annuity paid for the life of the participant. There are several other benefit payment options that are computed to be the actuarial equivalent of the normal benefit. The plan provides for an annual cost of living increase of up to 1.5% for benefits accrued prior to January 1, 2013. For non-hazardous duty members, there is a five-year delay until the cost of living increase is applied to benefits accrued after January 1, 2013, and for hazardous duty members, there is no cost of living increase for benefits accrued after January 1, 2013. The plan also provides for disability and death benefits, vesting after completion of 10 years of service and the refund of employee contributions in case of a non-vested termination. Covered employees in non-hazardous duty and employees in hazardous duty who are eligible to retire as of January 1, 2013 contribute 8% of their compensation. Covered employees in hazardous duty who are not eligible to retire as of January 1, 2013 contribute 10% of their compensation. It is the City's obligation to provide a sufficient additional contribution to maintain the actuarial soundness of the fund but, in any event, not less than 7% of participating employee’s compensation per the ordinance governing the plan. Contributions. Employer contributions are made in equal installments during the first two quarters of the fiscal year based upon the actuarially determined percentage of payroll and the actual payroll payable at the time contributions are made. The minimum required City contribution is 7% of covered payroll. Member contributions are made continuously throughout the year. City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 85 Investment policy. The Employees’ Pension Plan investment policy was adopted by the Pension Trustees on June 13, 2016. The policy requires an annual review by the Pension Investment Committee with a recommendation to the Pension Trustees to confirm or revise. The following was the Trustees’ adopted asset allocation policy as of September 30, 2017: Large Cap Growth 13.00% Large Cap Value 13.00% Mid Cap Growth 4.00% Mid Cap Value 4.00% Small Cap Growth 2.50% Small Cap Value 2.50% Intermediate Fixed 28.00% International Equity 14.00% Emerging Markets Equity 4.00% Private Real Estate - Core 7.00% US REITS 1.50% Global Infrastructure 3.00% Timber 3.50% 100.00% The Employees’ Pension Plan has invested in real estate, timber, and infrastructure limited partnership funds. The strategies of these funds are long term and illiquid in nature. As a result, investors are subject to redemption restrictions which generally limit distributions and restrict the ability of limited partners to exit a partnership investment prior to its dissolution. These investments partnerships are valued using their respective net asset value (NAV) and are audited annually. The most significant input into the NAV of such an entity is the fair value of its investment holdings. These holdings are valued by the general partners on a quarterly or semi-annual basis, in conjunction with management and investment advisors, and consultation with valuation specialists. The management assumptions are based upon the nature of the investment and the underlying business. The valuation techniques vary based upon investment type and involve a certain degree of expert judgment. All timber acquisitions are valued per an independent expert third party appraisal within one year of acquisition and similar independent third party appraisals of fair value are conducted at least every three years thereafter. The infrastructure fund’s assets are valued by international recognized accounting firms and/or internationally recognized appraisal firms (independent appraisers) on a quarterly basis, with the independent appraisers rotated at three-year intervals. Concentrations. As of September 30, 2017, the Employees' Pension Plan held no investments (other than U.S. Government or U.S. Government guaranteed obligations) in any one organization comprising 5% or more of the net position available for benefits. Rate of return. For the fiscal year ended September 30, 2017, the annual money-weighted rate of return on investments of the Employees’ Pension Plan, net of pension plan investment expense, was 11.28%. The money-weighted rate of return expresses investment performance, net of investment expense, adjusted for the changing amounts actually invested. Net pension liability (asset). The components of the net pension liability (asset) of the City for the Employees’ Pension Plan at September 30, 2017, were as follows: City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 86 Total pension liability 902,629,886$ Plan fiduciary net position 980,288,359 City's net pension liability (asset) (77,658,473)$ Plan fiduciary net position as a percentage of 108.60% the total pension liability The changes in the net pension liability (asset) of the City for the Employees’ Pension Plan for the year ending September 30, 2017 were as follows: Total Pension Plan Fiduciary Net Pension Liability Net Position Liability/(Asset) (a) (b) (a) - (b) Balances at 9/30/16 880,355,998$ 905,239,823$ (24,883,825)$ Changes for the year: Service cost 14,770,113 - 14,770,113 Interest 61,050,474 - 61,050,474 Differences between expected and actual experience (8,071,653) - (8,071,653) Assumption changes 381,755 - 381,755 Contributions - employer - 11,898,912 (11,898,912) Contributions - employee - 7,004,943 (7,004,943) Contributions - state tax - 12,000 (12,000) Net investment income - 102,284,783 (102,284,783) Benefit payments, including refunds of employee contributions (45,856,801) (45,856,801) - Administrative expense - (295,301) 295,301 Net changes 22,273,888 75,048,536 (52,774,648) Balances at 9/30/17 902,629,886$ 980,288,359$ (77,658,473)$ Increase (Decrease) Actuarial assumptions. The total pension liability was determined by an actuarial valuation as of January 1, 2017 (Valuation Date), using the following actuarial assumptions, applied to September 30, 2017 (Measurement Date): Inflation 2.50% Salary increases 3.50% to 7.90% depending on service, including inflation Investment rate of return 7.00% net of investment expense The actuarial assumptions used in the January 1, 2017 valuation were based on the results of an experience study of the 5-year period from January 1, 2007 to January 1, 2012. There were no changes to the plan provisions during the year; however, there was a change in actuarial assumptions. The mortality assumption for active members prior to retirement was revised in accordance with a revision to the active member pre-retirement mortality assumption used by the Florida Retirement System (FRS) in their July 1, 2016 Actuarial Valuation. No revisions were made to mortality rates applicable to retirees. Prior to this revision, pre-retirement mortality rates for active members were the same as the post-retirement City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 87 rates for active members and retirees. This change was made in compliance with Florida House Bill 1309, which requires all public pension plans in Florida to use the same mortality tables used in either of the last two actuarial valuation reports of FRS effective January 1, 2016. As a result of the change in the pre-retirement mortality assumption, the required contribution increased by .11% of covered payroll, or $83,845. Long-term expected rate of return. The long-term expected rate of return on investments of the Employees’ Pension Plan was determined using a building-block method in which expected future real rates of return (expected returns, net of pension plan investment expense and inflation) are developed for each major asset class. These real rates of return are combined to produce the long-term expected rate of return by weighting the expected future real rates of return by the target asset allocation percentage and by adding expected inflation. For each major asset class that is included in the pension plan’s target asset allocation as of September 30, 2017, these best estimates are summarized in the following table: Long-Term Expected Asset Class Real Rate of Return Large Cap Growth 6.70% Large Cap Value 6.50% Mid Cap Growth 7.70% Mid Cap Value 7.30% Small Cap Growth 8.50% Small Cap Value 8.00% Intermediate Fixed 1.80% International Equity 6.80% Emerging Markets Equity 9.70% Private Real Estate - Core 4.50% US REITS 5.30% Global Infrastructure 2.10% Timber 4.70% Discount rate. A single discount rate of 7.00% was used to measure the total pension liability. The single discount rate was based on the expected rate of return on pension plan investments of 7.00%. The projection of cash flows used to determine single discount rate assumed that plan member contributions will be made at the current contribution rate and that employer contributions will be made at rates equal to the difference between actuarially determined contribution rates and the member rate. Based on these assumptions, the pension plan’s fiduciary net position was projected to be available to make all projected future benefit payments of current plan members. Therefore, the long-term expected rate of return on pension plan investments was applied to all periods of projected benefit payments to determine the total pension liability. Sensitivity of the net pension liability (asset) to changes in the discount rate. The following presents the Employee Pension Plan’s net pension liability (asset), calculated using a single discount rate of 7.00%, as well as what the plan’s net pension liability (asset) would be if it were calculated using a single discount rate that is one percent lower or one percent higher. 1% Discount Rate 1% Decrease Assumption Increase 6.00% 7.00% 8.00% 37,408,498$ (77,658,473)$ (172,541,928)$ City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 88 Pension expense and deferred outflows of resources and deferred inflows of resources related to pensions. For the year ended September 30, 2017, the City recognized pension expense of $3,449,969 for the Employees’ Pension Plan. At September 30, 2017, the City reported deferred outflows of resources and deferred inflows of resources related to pension from the following sources: Deferred Outflows Deferred Inflows Net Deferred Outflows of Resources of Resources of Resources Differences between expected and actual experience 3,924,818$ 7,641,810$ (3,716,992)$ Changes in assumptions 298,765 2,727,917 (2,429,152) Net differences between projected and actual earnings on pension plan investments - 24,623,216 (24,623,216) Total 4,223,583$ 34,992,943$ (30,769,360)$ Amounts reported as deferred outflows or resources and deferred inflows on resources related to pensions will be recognized in pension expense as follows: Year ended September 30: 2018 (3,250,823)$ 2019 (3,103,619) 2020 (15,436,962) 2021 (8,977,956) 2022 - Thereafter - (30,769,360)$ The Firefighters’ Relief and Pension Plan is authorized and operated under the provisions of Subpart B, Article I (Laws of Florida, Chapter 30658, 1955 and amendments), Sections 1 through 27 of the Municipal Charter and Related Law of the City of Clearwater and Chapter 26, Article III, Sections 26.50 through 26.52 of the Municipal Code of the City of Clearwater. Since the last actuarial valuation as of October 1, 2016, there have been no changes in actuarial assumptions. Management of the Firefighters’ Relief and Pension Plan rests with the Board of Trustees, which consists of the Mayor, the Fire Chief and three members of the Fire Department, which can be either active or retired members of the Firefighters’ Relief and Pension Plan, as stipulated in Chapter 2008-287, Laws of Florida. If no one is available to stand for election or to participate in the voting, then members of the Board of Trustees will be appointed by the City Council from membership of the City Council. Plan membership/Employees covered by benefit terms. As of the most recent actuarial valuation date, October 1, 2017, the membership of the Firefighters’ Relief and Pension Plan was as follows: City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 89 Firefighters' Relief and Pension Plan Retirees and beneficiaries currently receiving benefits 18 Terminated employees entitled to benefits but not yet receiving them - Active employees - Total number of participants 18 Benefits provided. The normal retirement benefit is a monthly benefit in the amount of 50% of the prevailing wage at the date of retirement of the lowest rank held by the participant during the three years immediately preceding retirement plus 2% of such prevailing wage for each year of service in excess of 20 years up to a maximum of 60%. Participants retiring at the age of 65 years are entitled to a benefit of 60% of the prevailing wage of the lowest rank held by the participant during the three years immediately preceding retirement. The ending rate of pay specified above may not exceed the highest rate of pay for the rank of Captain. Eligibility for normal retirement occurs upon completion of 20 years of service or attainment of age 65. The monthly benefits are payable for the life of the participant and continue, after the participant's death, to be paid to certain eligible surviving beneficiaries at an amount that is one-half of the amount received by the participant. Benefits are also provided for children of the deceased participant who are less than 18 years of age subject to certain limitations as to amount. The plan also provides for disability and death benefits and for vesting upon completion of at least 12 years of service. The plan provides for post-retirement cost of living increases equal to the increase in the prevailing wage for the rank at which the participant retired with a limitation for those retiring on or after January 1, 1972, of 100% of the initial pension benefit for total cost of living increases. Participating employees are required to contribute 6% of their salaries up to the equivalent of the salary of a fireman holding the rank of Captain. Effective with the fiscal year ended September 30, 2007, the Firefighters’ Relief and Pension Plan, with no remaining active members (only retirees), is fully funded per the requirements of the governing Ordinance. The City may elect to contribute should future valuations show an actuarial need for such. Contributions. Effective with the fiscal year ended September 30, 2007, the Firefighters’ Relief and Pension Plan, with no remaining active members (only retirees), was fully funded per the requirements of the governing Ordinance. The City may elect to contribute should future annual valuations show an actuarial need for such. Investment policy. The Firefighters’ Relief and Pension Plan investment policy was adopted on September 28, 2000. It must be reviewed annually by the Board of Trustees. The following was the adopted asset allocation policy as of September 30, 2017: Asset Class Target Allocation Domestic Fixed Income 0 - 70% Pooled Cash 30% - 100% Concentrations. As of September 30, 2017, the Firefighters’ Relief and Pension Plan held no investments (other than U.S. Government or U.S. Government guaranteed obligations) in any one organization comprising 5% or more of the net position available for benefits. Rate of return. For the fiscal year ended September 30, 2017, the annual money-weighted rate of return on investments of the Firefighters’ Relief and Pension Plan, net of pension plan investment expense, was 4.68%. The money-weighted rate of return expresses investment performance, net of investment expense, adjusted for the changing amounts actually invested. Net pension liability (asset). The components of the net pension liability (asset) of the City for the Firefighters’ Relief and Pension Plan at September 30, 2017, were as follows: City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 90 Total pension liability 3,162,699$ Plan fiduciary net position 3,842,781 City's net pension liability (asset) (680,082)$ Plan fiduciary net position as a percentage of 121.50% the total pension liability The changes in the net pension liability (asset) of the City for the Firefighters’ Relief and Pension Plan for the year ending September 30, 2017 were as follows: Total Pension Plan Fiduciary Net Pension Liability Net Position Liability/(Asset) (a) (b) (a) - (b) Balances at 9/30/16 3,360,237$ 4,360,757$ (1,000,520)$ Changes for the year: Service cost - - - Interest 90,635 - 90,635 Differences between expected and actual experience 76,981 - 76,981 Contributions - employer - - - Contributions - employee - - - Net investment income - (149,322) 149,322 Benefit payments, including refunds of employee contributions (365,154) (365,154) - Administrative expense - (3,500) 3,500 Other changes - - - Net changes (197,538) (517,976) 320,438 Balances at 9/30/17 3,162,699$ 3,842,781$ (680,082)$ Increase (Decrease) Actuarial assumptions. The total pension liability was determined by an actuarial valuation as of October 1, 2017 (Valuation Date), using the following actuarial assumptions, applied to September 30, 2017 (Measurement Date): Inflation 2.00% Salary increases N/A Investment rate of return 3.00% net of investment expense Mortality rates for non-disabled males are based on the RP2000 Generational, 10% Annuitant White Collar / 90% Annuitant Blue Collar, Scale BB. Mortality rates for non-disabled females are based on RP2000 Generational, 100% Annuitant White Collar, Scale BB. Mortality rates for disabled males are based on 60% RP2000 Disabled Male setback City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 91 four years / 40% Annuitant White Collar with no setback, no projection scale. There is no projection of mortality improvement due to the small number of participants and their advanced age. Long-term expected rate of return. Because the Firefighters’ Relief and Pension Plan is limited to investments in fixed income securities and pooled cash, the long-term expected rate of return will approximate the discount rate of 3.00%. Discount rate. A discount rate of 3.00% was used to measure the total pension liability. The discount rate was based on the actuary’s expectation of future yields and consideration of the City’s projection of future weighted yield based on current asset holdings. Sensitivity of the net pension liability (asset) to changes in the discount rate. The following presents the Firefighters’ Relief and Pension Plan’s net pension liability (asset), calculated using a discount rate of 3.00%, as well as what the plan’s net pension liability (asset) would be if it were calculated using a single discount rate that is one percent lower or one percent higher. 1% Discount Rate 1% Decrease Assumption Increase 2.00% 3.00% 4.00% (457,604)$ (680,082)$ (876,977)$ Pension expense and deferred outflows of resources and deferred inflows of resources related to pensions. For the year ended September 30, 2017, the City recognized pension expense of $0 for the Firefighters’ Relief and Pension Plan as it is a fully funded plan with no active participants. As such, there are no deferred inflows or deferred outflows of resources related to pensions IV.D.2. Police Supplemental Pension Fund A supplemental defined contribution pension plan exists for all eligible policemen, which is funded by earmarked revenues received from the State and is administered by the Board of the Police Supplemental Pension Plan. The revenues received from the State are allocated among eligible police officers on the basis of days employed as Clearwater Police Officers. These revenues received from the State of Florida “on-behalf” of the City’s employees, which comprise the plan contributions, totaled $991,473 for the year ended September 30, 2017, and are obtained from an eighty-five one hundredths of one percent (0.85%) excise tax on the gross receipts from premiums collected on casualty insurance policies covering property within the City's corporate limits. These monies were recognized as General Fund revenues and General Fund police department expenditures in the current year. The current year contributions represent 4.93% of covered employees’ gross payroll. The fair value of cash and investments at September 30, 2017, totaled $18,987,032. The Police Supplemental Pension Fund is authorized by and operates under the provisions of Sections 2.471 through 2.480 of the Municipal Code of the City of Clearwater and Chapter 185 of Florida Statutes. Under the plan provisions, the total monies received during each fiscal year, after payment or provision for all costs and expenses of management and operation of the plan, are allocated to participants on the basis of the total number of shares to which each participant is entitled. Each participant is entitled to one share in the fund for each day of service as a police officer of the City. All police officers, as defined in Section 26.70(g) of the Code of Ordinances of the City of Clearwater, who are elected, appointed, or employed full-time by the City are eligible to participate in the plan. There are no employee contributions to the supplemental plan. Benefits are fully vested for a lump sum distribution after twenty years from the date of hire, with provision for partial vesting after ten or more years under the plan. Accumulated benefits are payable in full in case of death while employed by the City or in case of total and permanent job-related disability. Non-vested participants' account values upon termination of employment during any fiscal year are added to the monies received during that fiscal year for City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 92 allocation to the remaining participants in the plan on the basis of total days worked. Plan assets, primarily investments, are valued at fair value for balance sheet purposes. Investment values are determined using the estimated fair value determined by averaging estimated fair values obtained from three or more nationally recognized brokers. For the fiscal year ended September 30, 2017, the gross payroll of the covered officers was $20,127,181; the City's total gross payroll for the same period was $94,206,264. Since the entitlement to benefits is based entirely upon the allocation of monies received by the plan to the participants' share accounts, there is no actuarial liability on the part of either the State or the City. IV.D. 3. Firefighters Supplemental Pension Fund A supplemental defined contribution pension plan exists for all eligible firefighters, which is funded by earmarked revenues received from the State and is administered by the Board of the Clearwater Firefighters Supplemental Pension Plan. The revenues received from the State are allocated among eligible firefighters on the basis of days worked during the previous year. These revenues received from the State of Florida “on-behalf” of the City’s employees, which comprise the plan contributions, amounted to $1,082,574 in the year ended September 30, 2017, and are obtained from a one and eighty-five one hundredths percent (1.85%) excise tax on the gross receipts from premiums collected on property insurance policies covering property within the City's corporate limits. These monies were recognized as General Fund revenues and General Fund fire department expenditures in the current year. The current year contributions represent 7.03% of covered employees’ gross payroll. The fair value of cash and investments at September 30, 2017, totaled $18,927,210. As the plan is described as a money purchase pension plan, whereby contributions are allocated based on the number of days worked during the fiscal year ended September 30, and interest earnings allocated based on the beginning balances in each participant's account, there is no actuarial liability on the part of the State or the City. The Firefighters Supplemental Pension Fund is authorized by and operates under the provisions of Sections 2.441 through 2.455 of the Municipal Code of the City of Clearwater and Chapter 175 of Florida Statutes. Eligibility requires two years of credited calendar year service as a firefighter with concurrent participation in the Employees' Pension Plan. There is no employee contribution to the supplemental plan, and benefits are vested for a lump sum distribution at ten years unless there is early retirement, disability or death. Non-vested participants' account values upon termination of employment are reallocated among the remaining participants on the basis of days worked during the previous year. Plan assets, primarily investments, are valued at fair value for balance sheet purposes. Investment values are determined using the estimated fair value determined by averaging estimated fair values obtained from three or more nationally recognized brokers. For the fiscal year ended September 30, 2017, the gross payroll covered firefighters was $15,397,332; the City's total gross payroll for the same period was $94,206,264. City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 93 IV.D.4. Pension Plan Financial Statements Separate financial statements are provided in the Notes per the guidance of GASB Statement No. 34 as follows: Statement of Fiduciary Net Position: Defined Benefit Defined Contribution Pension Trust Funds Pension Trust Funds Firefighters' Police Firefighters Employees' Relief and Supplemental Supplemental Pension Fund Pension Fund Pension Fund Pension Fund ASSETS Cash and investments $ 4,115,406 $ 853,117 $ 8,553 $ - Managed investment accounts, at fair value: Cash and cash equivalents 19,395,658 - 861,038 193,816 Government bonds 94,488,607 - - 215,003 Index linked government bonds 1,873,301 - - - Agency bonds 5,735,503 2,958,513 - - Municipal bonds 3,655,799 - - 198,445 Domestic corporate bonds 85,123,966 - - 2,783,971 International equity securities 130,530,777 - - - Domestic stocks 369,405,883 - - 4,524,865 Mortgage backed bonds 94,659,762 - - 1,013,315 Asset backed securities 2,326,824 - - - Other/Rights/Warrants 1,342 - - - Domestic equity mutual funds 45,575,552 - 10,968,869 5,668,683 International equity mutual funds 38,874,299 - 7,148,572 1,464,402 Infrastructure 30,683,363 - - - Real estate 88,389,818 - - 2,864,710 Total managed investment accounts 1,010,720,454 2,958,513 18,978,479 18,927,210 Securities lending collateral 184,130,367 - - - Receivables: Interest and dividends 2,696,010 31,151 523 40,047 Unsettled investment sales 17,249,318 - - - Securities lending earnings 40,920 - - - Due from others 45 - - - Total receivables 19,986,293 31,151 523 40,047 Total assets 1,218,952,520 3,842,781 18,987,555 18,967,257 LIABILITIES Accounts payable 880,210 - 1,136 - Unsettled investment purchases 53,653,584 - - - Obligations under securities lending 184,130,367 - - - Total liabilities 238,664,161 - 1,136 - FIDUCIARY NET POSITION Net position restricted for pension benefits $ 980,288,359 $ 3,842,781 $ 18,986,419 $ 18,967,257 City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 94 Statement of Changes in Fiduciary Net Position: Defined Benefit Defined Contribution Pension Trust Funds Pension Trust Funds Firefighters' Police Firefighters Employees' Relief and Supplemental Supplemental Pension Fund Pension Fund Pension Fund Pension Fund ADDITIONS Contributions: Contributions from employer $ 11,898,912 $ - $ - $ - Contributions from employer - state tax 12,000 - 991,473 1,082,574 Contributions from employees 7,004,943 - - - Total contributions 18,915,855 - 991,473 1,082,574 Investment income: Net appreciation (depreciation) in fair value of investments 88,805,048 (268,974) 922,398 1,560,485 Interest 8,859,922 119,652 1,077 336,601 Dividends 9,776,724 - 476,732 164,035 107,441,694 (149,322) 1,400,207 2,061,121 Less investment expenses: Investment management / custodian fees (5,749,842) - (33,121) (113,855) Net income from investing activities 101,691,852 (149,322) 1,367,086 1,947,266 Securities lending income: Gross earnings 1,954,680 - - - Rebate received (1,042,798) - - - Bank fees (318,951) - - - Net income from securities lending 592,931 - - - Total additions 121,200,638 (149,322) 2,358,559 3,029,840 DEDUCTIONS Benefits and withdrawal payments: Benefits 44,490,793 365,154 1,710,152 1,975,762 Withdrawal payments 1,366,008 - - - Total benefits and withdrawal payments 45,856,801 365,154 1,710,152 1,975,762 Income (loss) before administrative expenses 75,343,837 (514,476) 648,407 1,054,078 Administrative expenses (295,301) (3,500) (13,856) (29,909) Net increase (decrease)75,048,536 (517,976) 634,551 1,024,169 Fiduciary net position restricted for pensions Fiduciary net position - beginning 905,239,823 4,360,757 18,351,868 17,943,088 Fiduciary net position - ending $ 980,288,359 $ 3,842,781 $18,986,419 $18,967,257 City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 95 IV.D.5. 401(a) defined contribution plan For all management employees not covered under either of the defined benefit pension plans, the City provides pension benefits through a 401(a) defined contribution plan. In a defined contribution plan, benefits depend solely on amounts contributed to the plan plus investment earnings. Employees are participants from the date of employment and are fully vested upon enrollment. The plan is totally contributory on the part of the City in an amount equal to 15% of compensation on behalf of the City Manager and the City Attorney and 8% of compensation on behalf of all other management contract employees and Assistant City Attorneys. The City makes bi-weekly contributions to the Trust throughout the plan year to meet its funding obligations under the plan. Plan provisions and contribution requirements are established and may be amended by the City Council. The International City Management Association Retirement Corporation (ICMA-RC), the trustee for the defined annuity, offers participants a variety of investment options. The City’s total gross payroll for the fiscal year ended September 30, 2017 was $94,206,264. The Plan members’ payroll for the same period totaled $4,628,176. The City’s contribution, per the above contribution rates, totaled $396,711. IV.D.6. Deferred compensation plan The City offers its employees a deferred compensation plan created in accordance with Internal Revenue Code Section 457. The plan, available to all City employees, permits them to defer a portion of their salary until future years. Participation in the plan is optional. The deferred compensation is not available to employees until termination, retirement, death, or unforeseeable emergency. Effective January 1, 1997, Federal legislation converted the Section 457 deferred compensation assets from City assets to employee assets. As a result of these changes, plan assets are no longer subject to the claims of the City’s general creditors. Consequently, these assets are no longer reported in the accompanying financial statements, in compliance with GASB Statement No. 32. IV.E. Post-employment Benefits Other Than Pension Plan Description - The City of Clearwater administers a single-employer defined benefit healthcare plan (the “Plan”) that provides medical insurance benefits to its employees and their eligible dependents. Because the City provides a medical plan to active employees of the City and their eligible dependents, the City is also required by Section 112.0801 of the Florida Statutes to provide retirees with the opportunity to participate in this Plan. Benefit provisions for the Plan are established by the City Council and may be amended by the City Council. The retirees pay the full group premium amount for health insurance with no explicit subsidy from the City. Additionally, the City provides and pays for $1,000 of term life insurance for retirees who retired before October 1, 2008. The term life insurance benefit provision was also established, and may be amended, by action of the City Council. The City does not issue stand-alone financial statements for these programs. Funding Policy – Contribution rates for the Plan are established on an annual basis by the City Council. Eligible retirees and their covered dependents receiving benefits contribute 100% of their premium costs for health insurance and 0% of the cost for the $1,000 term life insurance. For the year ended September 30, 2017, the estimated retiree contributions for health insurance premiums totaled $1,294,353. While the City does not directly contribute towards the costs of retiree premiums via an explicit subsidy, the ability of retirees to obtain health insurance coverage at a group rate which includes active employees, constitutes a significant economic benefit to retirees, or an “implicit” subsidy. This implicit subsidy is considered an “other post-employment benefit” (OPEB) obligation of the City. The City is currently funding this OPEB City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 96 obligation on a pay-as-you-go basis. For the year ended September 30, 2017, the City estimated it subsidized $1,162,542 of health care costs for retirees and their covered dependents, and $16,262 of life insurance benefits for retirees. Annual OPEB Cost and Net OPEB Obligation – The City’s annual OPEB cost (expense) is calculated based on the annual required contribution of the employer (ARC), an amount actuarially determined in accordance with parameters of GASB Statement No. 45. The ARC represents a level of funding that, if paid on an ongoing basis, is projected to cover normal cost each year and to amortize unfunded liabilities of the plan over a period not to exceed thirty years. The following table shows the components of the City’s annual OPEB cost for the year, the amount actually contributed to the plan, and changes in the City’s net OPEB obligation to the Plan, including both the implicit rate subsidy for health insurance and the term life insurance benefit: Annual required contribution 3,369,118$ Interest on net OPEB obligation 620,277 Adjustment to annual required contribution (738,425) Annual OPEB cost (expense) 3,250,970 Contributions made (1,178,804) Increase in net OPEB obligation 2,072,166 Net OPEB obligation - beginning of year 15,506,922 Net OPEB obligation - end of year 17,579,088$ The actuarially determined contribution requirements for the City’s fiscal year ended September 30, 2017, are based on an actuarial valuation as of January 1, 2016, supplemented by an actuarial roll-forward to adjust the results to be applicable to the fiscal year ending September 30, 2017. No trust or agency fund has been established for the plan and there were no adjustments to the annual required contribution or interest earnings. The City’s annual required contribution, the employer contributions made to the plan, and the percentage of the annual required contribution that was contributed for the fiscal year ending September 30, 2017, are presented below: Fiscal Year Annual Annual OPEB Net OPEB Ended OPEB Cost Costs Contributed Obligation 9/30/2015 3,405,329$ 47.86% 13,591,835$ 9/30/2016 3,168,608$ 39.56% 15,506,922$ 9/30/2017 3,250,970$ 36.26% 17,579,088$ As of September 30, 2017, the actuarial accrued liability for benefits was $32,058,710, all of which was unfunded. The covered payroll (annual payroll of active employees covered by the plan) was $74.8 million and the ratio of the unfunded actuarial liability (UAL) to covered payroll was 42.8%. Projections of benefits for financial reporting purposes are based on the substantive plan (the plan as understood by the employer and the plan members) and include the types of benefits provided at the time of each valuation and the historical pattern of sharing of benefit costs between the employer and plan members to that point. The actuarial methods and assumptions used include techniques that are designed to reduce the effects of short-term volatility in actuarial accrued liabilities and the actuarial value of assets, consistent with the long-term perspective of the calculations. Actuarial valuations for other post-employment benefits involve estimates of the value of reported amounts and assumptions about the probability of events far into the future, and consequently actuarially determined amounts are subject to continual revision as results are compared to past expectations and new estimates are made about the future. City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 97 For the September 30, 2017 report, the entry age normal actuarial cost method was used, with an increasing normal cost pattern consistent with the salary increase assumptions. The Unfunded Actuarial Accrued Liability (UAAL) reflects a 21- year, closed level percent of expected payroll amortization method. The actuarial assumptions included a 4.0% investment rate of return and projected salary increases of 6.0%, which reflects the general wage inflation assumption of 2.5% in addition to merit and seniority increases of 3.5%. The rates for salary increases, rates of disability, rates of termination and rates of retirement are the same as used by the Pension Plan Actuary. The actuarial valuation of the Plan as of January 1, 2016, reflected changes in actuarial assumptions and methods from the previous valuation as of January 1, 2014 as follows: the Health Care Cost Trend Rate decreased from 8.0% in 2014 to 6.5% in 2016, with planned decreases over a 23-year period to the ultimate level of 4.24%. This trend rate was revised to follow a pattern from the forecasting model built and published by Prof. Thomas E. Getzen in Modeling Long-Term Health Care Cost Trends (December 2007, as updated November 2015) resulting from an effort sponsored by the Society of Actuaries. The Mortality Tables have been revised to align with the assumptions used by the Florida Retirement System (FRS), consistent with the Florida Statues requirement that FRS mortality tables be used for all future pension valuations. There were no changes to the Investment Discount Rate or Medicare Benefits. IV.F. Securities lending transactions The City of Clearwater Employees’ Pension Plan participates in securities lending transactions, as authorized by the Pension Trustees on April 14, 2003, via a Securities Lending Authorization Agreement with Northern Trust Company, which is also the pension plan’s custodian. Securities are loaned versus collateral that may include cash, U.S government securities, and irrevocable letters of credit. U.S. government securities are loaned versus collateral at 102% of the market value of the securities plus any accrued interest. Non-U.S. securities are loaned versus collateral at 105% of the market value plus any accrued interest. The Plan’s investment policy places no restrictions on the amount of securities that can be loaned. Non-cash collateral cannot be pledged or sold unless the borrower defaults. All securities loans can be terminated on demand by either the lender or the borrower. The average term for the pension plan’s loans at September 30, 2017 was 64 days. Cash open collateral is invested in a short term investment pool, the Northern Trust Collective SL Core Short Term investment fund (SL Core STIF). The fund had an average weighted maturity, Interest Reset Date, of 30 days, and an average weighted maturity, Maturity Date, of 82 days, as of September 30, 2017. There were no significant violations of legal or contractual provisions, nor any borrower or lending agent default losses known to the securities lending agent. The Plan did not impose any restrictions on the amount of loans made by Northern Trust during fiscal year 2017. There are no dividends or coupon payments owing on the securities lent. Securities lending earnings are credited to participating clients on approximately the fifteenth day of the following month. Indemnification deals with the situation in which a client's securities are not returned due to the insolvency of a borrower and Northern Trust has failed to live up to its contractual responsibilities relating to the lending of those securities. Northern Trust’s responsibilities include performing appropriate borrower and collateral investment credit analyses, demanding adequate types and levels of collateral, and complying with applicable Department of Labor and Federal Financial Institutions Examination Council regulations concerning securities lending. City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 98 The following is a summary of securities on loan and their collateral at fair value: Security Type Loaned Securities Cash Collateral Loaned Securities Cash Collateral U.S. Equity 119,478,781$ 122,042,591$ -$ -$ U.S. Corporate Fixed 5,719,053 5,842,966 - - U.S. Government Fixed 54,390,817 55,519,578 - - U.S. Agencies 333,498 340,360 - - Global Equities 365,991 384,872 - - Total 180,288,140$ 184,130,367$ -$ -$ Securities Collateralized by Non- CashSecurities Collateralized by Cash On the statement of fiduciary net position, a securities lending asset of $184,130,367 was reported that represents the fair value of the investments made with cash collateral at September 30, 2017. In addition, a securities lending obligation of $184,130,367 was reported that represents the collateral that the City is required to maintain to cover the fair value of the loaned securities. IV.G. Contingencies and commitments Loan Guarantee - PACT, Inc. PACT, Inc. is a nonprofit corporation formed in 1978, for the purpose of financing, constructing, and operating a performing arts center. Per a Guaranty Agreement dated May 18, 2001, the City guaranteed $1,000,0000 on a $5,000,000 mortgage note for PACT, Inc., used to refinance a previous mortgage with a similar City guarantee. City management does not consider it probable that this guarantee will be called, and, accordingly, no amounts have yet been accrued or otherwise recorded in the accompanying financial statements to reflect this possibility. Loan Guarantee – Chi Chi Rodriquez Youth Foundation, Inc. On March 30, 1992, the City Council approved a contingent loan guarantee of $1,000,000 on a $2,500,000 note for the Chi Chi Rodriquez Youth Foundation, Inc. The proceeds of the note were used to refinance existing foundation debt incurred to construct a golf course on a parcel of City-owned land. Subsequently, the note was refinanced with Variable Rate Demand Revenue Bonds (Chi Chi Rodriquez Youth Foundation Project), Series 1998, on August 1, 1998. In the event of default, the City is obligated to contribute $1,000,000 out of legally available non-ad valorem revenues. In addition, the City has the option to retire the entire unpaid balance and assume ownership and operation of the golf course facility. City management does not consider it probable that this guarantee will be called, and, accordingly, no amounts have yet been accrued or otherwise recorded in the accompanying financial statements to reflect this possibility. Pollution Remediation Claims Liabilities Pursuant to GASB Statement No. 49, Accounting and Financial Reporting for Pollution Remediation Obligations, the City is required to analyze known polluted sites to determine future component cost outlays, including estimation where required, for pollution remediation. At September 30, 2016, accruals totaled $366,201, consisting of $232,313 for the Harbor Drive Fill Area site, which was a former landfill area, and $133,888 for assessment and remediation at the Gas Plant site (see the Soil and groundwater contamination site note below). During fiscal year 2017 there was an increase to estimates and contractual commitments in the amount of $158,026, and payments totaled $133,005. At September 30, 2017, accruals totaled $391,222, consisting of $224,726 for the Harbor Drive Fill Area site and $156,496 for assessment and remediation at the Gas Plant site, and $10,000 for the City’s share of cleanup costs associated with a petroleum discharge at Lift Station #24 on September 30, 1994. City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 99 In addition to the above sites for which accruals exist, the City has 16 other sites that have known contamination from petroleum products, metals, arsenic, chlorine or coal tar. Nine of these sites are on the State of Florida Petroleum Clean- up Program. When any of these ten sites will be scheduled for cleanup cannot be determined at this time. The remaining seven sites are under monitoring plans or are awaiting responses from the FDEP on data submitted by the City. Any additional cleanup costs for these sites cannot be estimated at this time. On November 19, 2013, the FDEP approved the certification of closure construction completion of the former fill area at Philip Jones Field. However, this site remains on the list as it includes the Harbor Drive Fill Area. Based on groundwater sampling completed in February 2017, and site assessment previously completed for the site, the City believes that no further site assessment is warranted and is working with the FDEP to bring about site closure and develop of long-term monitoring requirements. Soil and groundwater contamination site The City is the owner of property located at 400 North Myrtle Avenue, Clearwater, Pinellas County, Florida ("Property"). The Property occupies approximately six acres and is currently used by the City Gas Division (“CGS”) as its administrative offices and operating facility. The City operated a manufactured gas plant at the Property from approximately 1929 to 1960. Following the discovery in June 1990 of soil and groundwater impacts at the Property allegedly resulting from the prior operation of the manufactured gas plant, the Florida Department of Environmental Protection ("FDEP") directed the City to implement measures to delineate the area and vertical extent of the impacts at the Property and, if necessary, implement appropriate remedial actions. Contamination assessment activities were initiated at the Property in 1995. On April 17, 1996, the City executed an Intergovernmental Agreement with FDEP, governing the scope of assessment and remediation work performed at the Property. The material terms and conditions of the Intergovernmental Agreement require the City to perform contamination assessment activities to delineate the area and vertical extent of soil and groundwater impacts and, if necessary, to remediate such impacts to the extent required by Florida law. Field activities to delineate the extent of impacts were performed from 1995 to 2003. The results of the final field work are presented in a Supplemental Assessment Report dated May 2003, in which the City's consultant concluded that field activities to delineate the extent of soil and groundwater impacts were complete and that a risk assessment should be undertaken to evaluate an appropriate remedy for the reported impacts. By letter dated April 19, 2004, FDEP directed the City to install two additional monitoring wells within the source area on site to delineate the vertical extent of groundwater impacts. The City and FDEP previously discussed the potential harm to the underlying aquifer that may result from the installation of monitoring wells through a source area and the underlying clay confining unit during a meeting with FDEP held on November 29, 2003. Based on the advice of its environmental consultant and other specialists consulted concerning this issue, the City has consistently maintained that the installation of the additional monitoring wells requested by FDEP will likely provide a pathway for the migration of impacts into the aquifer underlying the clay confining unit that is otherwise not presently impacted by the former operations of the MGP based on existing perimeter monitoring well data. The City responded to the FDEP by letter dated April 29, 2004, requesting that FDEP advise the City whether the directive to install the additional vertical extent wells was deemed by FDEP to be final agency action that would otherwise be subject to review in an administrative proceeding. The City's April 29, 2004 response included a request for an extension of time to file an administrative proceeding in the event that FDEP deemed the April 19, 2004 FDEP communication to be final agency action. During fiscal 2005, the Myrtle Avenue Utility and Roadway Widening project began, requiring extensive dewatering during construction. Consulting, equipment, laboratory, permitting, and labor costs for dewatering in areas where there was suspected or known contamination from the former MGP plant were charged to the City of Clearwater Gas Division. All activities related to the Myrtle Avenue dewatering project were documented in the “Supplemental Site Assessment Report – North Myrtle Ave Roadway Corridor” dated March 2007. City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 100 On January 17, 2008, FDEP issued a letter to the City stating FDEP was willing to replace the need for additional vertical delineation wells with periodic sampling of existing deep wells, as long as they remain unaffected by the contaminants of concern on the site. In May 2009, FDEP issued a status report on all Manufactured Gas Plant sites in Florida. In the report it referenced the January 17, 2008 letter and reaffirmed FDEP’s agreement to forego additional on-site vertical delineation if the City continues to monitor the perimeter wells on the facility. On June 22, 2009, the perimeter monitoring wells were tested, and the results were reported to FDEP. On February 3, 2010, FDEP issued a letter that formally accepted Clearwater Gas System’s Contamination Assessment Report (CAR) and required no further site assessment activities. Furthermore, the DEP required CGS to re-sample all monitoring wells on the site within 60 days of the February 3, 2010 letter. In May 2010, CGS issued a Request for Proposal (RFP) to prepare a Feasibility Study, for DEP approval, that would offer a long-term corrective action plan for the gas plant site. Arcadis, Inc. was selected to conduct the Feasibility Study; however, two months into the project the City’s environmental legal counsel recommended an alternate method of site remediation. He proposed that the City work with the University of Waterloo (Canada) to treat the contaminated soils with sodium persulfate, a chemical oxidant, which would stop the off-site groundwater impacts that are currently experienced on the Pinellas County Health Department site. Chemical oxidation is accepted as a very effective method of dealing with Manufactured Gas Plant residuals. This project was approved by the City Council in January 2011, and was scheduled to last approximately 6 years at an estimated cost of $600,000. In May 2017 it was determined that the University of Waterloo project was not working as originally projected. The sodium persulfate was not oxidizing the source material enough to grant site closure. Therefore, it was determined to abandon the project and look at other remedies for the site. The City’s environmental legal counsel proposed to convert the site to a Brownfield site in order to obtain full site closure. This would be done in conjunction with the site redevelopment of all CGS buildings at 400 North Myrtle Avenue. Under this proposal, the site would be closed under a Brownfield Site Rehabilitation Agreement (“BSRA”). No further active remediation would be required, and the site would be closed with a restrictive covenant to include an impervious cap to address remaining soil contamination at the site and prohibit the withdrawal of groundwater for any purpose within the site property. The groundwater use restriction would also be required to be imposed on the adjacent Pinellas County Health Department property. FDEP has agreed to the proposal and the necessary documentation and work is scheduled for fiscal year 2017-18. A Site Environmental Management Plan (“SEMP”) would be created to provide guidance to contractors performing work at the site for encountering, handling and managing contaminated soils. In addition, a Remedial Action Plan (“RAP”) would be administered, which would include the SEMP, and Engineering Control Maintenance Plan and a Declaration of Restrictive Covenant (“DRC”) that will be required by the FDEP to obtain final site closure. Benefits of closing the site under the Brownfield Program include liability projections to the City as set forth in F.S. Section 376.82(2)(a) and the opportunity for the City to obtain voluntary cleanup tax credits (“VCTC”) for the cost of constructing the impervious cap and completion of site closure activities. For eligible costs recovered by the City through VCTC’s, the City will be able to then sell the VCTC’s on the market. Such sales typically net 80-90% recovery for municipalities taking similar actions. The City has pursued insurance claims under certain insurance policies covering the Property for the period of time from June 1961 through July 1986. On September 17, 2001, the City agreed to reduce its claim against Southern American Insurance Company ("SAIC"), the sole remaining excess carrier with the City, at an undiscounted value of $300,000. In December 2007, the liquidator managing the SAIC liquidation made an initial payment to the City in the amount of $96,000. In September 2008, a second distribution payment of $174,000 was issued to the City. Finally, in December 2009, the City received a payment of $30,000 for a total collection amount of $300,000. In total, the City has recovered $787,500 on all of its outstanding insurance claims. City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 101 From 1993 through September 30, 2017, the City has spent $1,462,287 on MGP assessment activities, which includes both environmental consultant and legal fees. Contractual Commitment – Water and Sewer Utility Under the terms of a 30-year contract between the City and Pinellas County, which is effective through September 30, 2035, the maximum amount of water available to the City is 15 million gallons per day on an annual average basis with no minimum quantity purchase requirement. Effective October 1, 2016, the rate, which is set by the Pinellas County Board of County Commissioners (BOCC), was $3.9919 per 1,000 gallons. The rate effective October 1, 2017 is $4.0618 per 1,000 gallons. The cost of water purchased from the County during fiscal years 2016 and 2017 was $5,371,972 and $7,582,089 respectively. Grant Revenues During the current fiscal year and prior fiscal years, the City received revenues and contributions related to grants from the State of Florida, the federal government, and other grantors. These grants are for specific purposes and are subject to review and audit by the grantor agencies. Such audits could result in requests for reimbursement for expenditures disallowed under the terms of the grants. Based upon prior experience, City management believes such disallowances, if any, will not be significant. Encumbrances Encumbrance accounting is used in governmental funds to ensure effective budgetary control and accountability and to facilitate effective cash planning and control. At September 30, 2017, encumbrances expected to be honored upon performance by the vendor in the coming year were: General fund 231,464$ Capital Improvement fund 13,946,035 Nonmajor governmental funds 592,102 14,769,601$ Tax Abatements In accordance with Chapter 29, Article VII of the Clearwater Code of Ordinances, Article VII, Section 3 of the Constitution of the State of Florida, and Section 196-1995, Florida Statutes, the City Council may grant Economic Development Ad Valorem Tax Exemptions of up to 75 percent of the assessed value of the qualifying property for up to ten years to new businesses and expansions of existing businesses which create employment opportunities that will benefit the entire community. For the fiscal year ending September 30, 2017, the City abated real and tangible personal property taxes totaling $56,826 under this program, consisting of the following agreements: A Business Maintenance and Continued Performance Agreement with Skye Lane Properties, LLC dated January 14, 2014, for the relocation of 54 jobs from St. Petersburg, the creation of 11 new jobs, and the investment of $6.1 million in the expansion of the property, including the renovation of the facility, construction of a tri-level parking deck, and the purchase of new furniture, fixtures and equipment. This agreement, which commenced in fiscal 2016, grants an exemption of ad valorem taxes of 75 percent for the first five years and 50 percent for the next five years. In the event of default, Skye Lane Properties, LLC will be subject to the taxes exempted plus annual interest at the maximum rate allowed by law. Tax abatements since inception total $23,310. A Business Maintenance and Continued Performance Agreement with Instrument Transformers, Inc. dated March 10, 2014 and amended February 11, 2016, for the creation of 143 new jobs and the investment of $49 million in the expansion of the Clearwater facility, including the purchase or lease of new equipment. This agreement, which commenced in fiscal 2017, grants an exemption of ad valorem taxes of 75 percent for ten years. In the event of default, City of Clearwater, Florida Notes to the Basic Financial Statements For the Year Ended September 30, 2017 102 Instrument Transformers, Inc. will be subject to the taxes exempted plus annual interest at the maximum rate allowed by law. Tax abatements since inception total $45,274. IV.H. Pending litigation In the normal course of operations, the City is a defendant in various legal actions, the ultimate resolution of which is not expected to have a material effect on the financial statements, other than for amounts that have been reserved and recorded as liabilities in the Central Insurance Fund. IV.I. Conduit debt The City has one issue of conduit debt outstanding as follows: Original Amount Amount Issue Outstanding Outstanding Description / Purpose Amount at 9/30/16 at 9/30/17 Drew Gardens Refunding Bonds / residential rental facility 3,425,000$ 1,810,000$ 1,675,000$ The bonds do not constitute a debt, liability, or obligation of the City of Clearwater, the State of Florida, or any political subdivision thereof and, accordingly, have not been reported in the accompanying financial statements. IV.J. Deepwater Horizon Oil Spill Following the Deepwater Horizon Oil Spill of April 2010, the City incurred reduced revenues that were determined to be directly or indirectly attributed to the oil spill. On July 13, 2015, the City adopted Resolution 15-18 and accepted a full and final settlement of all claims against BP Exploration and Production, Inc. and others in the amount of $6,480,352, net of $1,658,687 attorney’s fees. As of September 30, 2017, none of the proceeds, which are included in General Fund unassigned fund balance, have been separately identified as expended. IV.K. Subsequent Event On November 7, 2017, Clearwater voters approved a referendum amending the City Charter to allow development and construction along Clearwater’s downtown waterfront. This approval allows the City to proceed with Imagine Clearwater, a $55 million multi-year redevelopment plan. The master plan will focus on a 50-acre area west of Osceola Avenue, bordered by Drew Street to the north and Court Street to the south. The site includes the Harborview Center, Coachman Park, and the Clearwater Public Library, among other public and privately-owned properties. In addition to $5.5 million previously allocated to the plan, the remaining funding could consist of future Penny for Pinellas revenue, the City’s $6.4 million BP oil spill settlement, internal financing and bonding, and fundraising by a nonprofit conservancy proposed to market Imagine Clearwater. 2017 2016 2015 2014 Total Pension Liability Service Cost $ 14,770,113 $ 15,173,452 $ 14,585,979 $ 14,670,375 Interest on the Total Pension Liability 61,050,474 58,870,815 56,983,247 55,622,257 Difference between Expected and Actual Experience (8,071,653) 6,832,090 (3,532,969) (11,230,163) Assumption Changes 381,755 (4,748,597) - - Benefit Payments (44,490,793) (42,069,828) (39,276,003) (37,118,458) Refunds (1,366,008) (1,060,187) (1,000,827) (1,675,419) Net Change in Total Pension Liability 22,273,888 32,997,745 27,759,427 20,268,592 Total Pension Liability - Beginning 880,355,998 847,358,253 819,598,826 799,330,234 Total Pension Liability - Ending (a)$ 902,629,886 $ 880,355,998 $ 847,358,253 $ 819,598,826 Plan Fiduciary Net Position Contributions - Employer $ 11,898,912 $ 13,178,874 $ 14,923,098 $ 18,860,463 Contributions - Non-Employer Contributing Entity 12,000 12,000 12,000 12,000 Contributions - Employee 7,004,943 6,706,567 6,483,666 7,073,440 Net Investment Income 102,284,783 88,501,532 (4,165,092) 82,832,149 Benefit Payments (44,490,793) (42,069,828) (39,276,003) (37,118,458) Refunds (1,366,008) (1,060,187) (1,000,827) (1,675,419) Administrative Expense (295,301) (297,984) (297,942) (175,212) Net Change in Plan Fiduciary Net Position 75,048,536 64,970,974 (23,321,100) 69,808,963 Plan Fiduciary Net Position - Beginning 905,239,823 840,268,849 863,589,949 793,780,986 Plan Fiduciary Net Position - Ending (b)$ 980,288,359 $ 905,239,823 $ 840,268,849 $ 863,589,949 Net Pension Liability/(Asset) - Beginning $ (24,883,825) $ 7,089,404 $ (43,991,123) $ 5,549,248 Net Pension Liability/(Asset) - Ending (a) - (b)$ (77,658,473) $ (24,883,825) $ 7,089,404 $ (43,991,123) Plan Fiduciary Net Position as a Percentage of Total Pension Liability/(Asset)108.60% 102.83% 99.16% 105.37% Covered Payroll $ 79,558,524 $ 76,942,048 $ 74,021,494 $ 75,629,669 Net Pension Liability/(Asset) as a Percentage of Covered Payroll 97.61% 32.34% 9.58% 58.17% Notes to Schedule: Data unavailable prior to 2014. Schedule of Changes in Net Pension Liability and Related Ratios Page 1 of 6 City of Clearwater, Florida Defined Benefit Pension Plans Required Supplementary Information - Unaudited Employees' Pension Plan 103 2017 2016 2015 2014 Total Pension Liability Interest on the Total Pension Liability $ 90,635 $ 99,691 $100,650 $ 92,956 Difference between Expected and Actual Experience 76,981 (296,507) 114,258 (426,528) Assumption Changes 208,676 201,922 - Benefit Payments (365,154) (423,458) (442,775) (525,760) Other - - 143,654 Net Change in Total Pension Liability (197,538) (411,598) (25,945) (715,678) Total Pension Liability - Beginning 3,360,237 3,771,835 3,797,780 4,513,458 Total Pension Liability - Ending (a)$ 3,162,699 $ 3,360,237 $ 3,771,835 $ 3,797,780 Plan Fiduciary Net Position Net Investment Income (149,322) 171,674 199,776 169,627 Benefit Payments (365,154) (423,458) (442,775) (525,760) Administrative Expense (3,500) (2,758) (2,005) (5,808) Net Change in Plan Fiduciary Net Position (517,976) (254,542) (245,004) (361,941) Plan Fiduciary Net Position - Beginning 4,360,757 4,615,299 4,860,303 5,222,244 Plan Fiduciary Net Position - Ending (b)$ 3,842,781 $ 4,360,757 $ 4,615,299 $ 4,860,303 Net Pension Liability/(Asset) - Beginning $ (1,000,520) $ (843,464) $ (1,062,523) $ (495,433) Net Pension Liability/(Asset) - Ending (a) - (b)$ (680,082) $ (1,000,520) $ (843,464) $ (1,062,523) Plan Fiduciary Net Position as a Percentage of Total Pension Liability/(Asset)121.50% 129.78% 122.36% 127.98% Covered Payroll N/A N/A N/A N/A Net Pension Liability/(Asset) as a Percentage of Covered Payroll N/A N/A N/A N/A Notes to Schedule: Data unavailable prior to 2014. Schedule of Changes in Net Pension Liability and Related Ratios Page 2 of 6 City of Clearwater, Florida Defined Benefit Pension Plans Required Supplementary Information - Unaudited Firefighters' Relief and Pension Plan 104 Actuarially Contribution Actual Contribution FY Ending Determined Actual Deficiency Covered as a % of September 30 Contribution Contribution (Excess) Payroll Covered Payroll 2014 19,608,078$ 18,872,463$ 1 735,615$ 75,629,669$ 24.95% 2015 10,803,098$ 14,935,098$ (4,132,000)$ 74,021,494$ 2 20.18% 2016 8,767,703$ 13,190,874$ (4,423,171)$ 76,942,048$ 17.14% 2017 8,944,103$ 11,910,912$ (2,966,809)$ 79,558,524$ 14.97% Valuation Date:January 1, 2016 Notes: Methods and Assumptions Used to Determine Contribution Rates: Actuarial Cost Method Entry Age Normal Amortization Method Level Dollar, Closed Remaining Amortization Period 24 years Asset Valuation Method 5-year smoothed market; 20% corridor Inflation 2.50% Salary Increases 3.50% to 7.90% depending on service; including inflation Investment Rate of Return 7.00% Retirement Age Mortality Other Information: Notes Data unavailable prior to 2014. The above assumptions, except the mortality assumption, were last updated for the January 1, 2013 valuation pursuant to an experience study of the 5- year period from January 1, 2007 through January 1, 2012. The mortality assumption was updated effective January 1, 2016 in compliance with Florida House Bill 1309. Hazardous Duty Employees: RP-2000 Mortality Table for Annuitants, with mortality improvements projected to all future years after 2000 using Scale BB. For males, the base mortality rates include a 90% blue collar adjustment and a 10% white collar adjustment. For females, the base mortality rates include a 100% white collar adjustment. These are the same rates used for Special Risk Class members of the Florida Retirement System (FRS) in their July 1, 2015 valuation, as mandated by Florida House Bill 1309. Effective for the January 1, 2016 valuation, the mortality table was changed from the fully generational RP-2000 Combined Healthy Participant Mortality Table for males and females with mortality improvements projected to all future years from the year 2000 using Scale BB to the mortality rates used by the Florida Retirement System (FRS), as summarized above. This change was made in compliance with Florida House Bill 1309, which requires all public pension plans in Florida to use the same mortality tables used in either of the last two actuarial valuation reports of FRS effective January 1, 2016. There were no benefit changes during the year. Schedule of Contributions Employees' Pension Plan 1 A portion of the plan's credit balance was applied to meet the remainder of the actuarially determined contribution for the fiscal year ending September 30, 2014. Notes to Schedule of Contributions Actuarially determined contributions are calculated as of January 1, which is nine months prior to the beginning of the fiscal year in which contributions are reported. Nonhazardous Duty Employees: RP-2000 Mortality Table for Annuitants, with mortality improvements projected to all future years after 2000 using Scale BB. For males, the base mortality rates include a 50% blue collar adjustment and a 50% white collar adjustment. For females, the base mortality rates include a 100% white collar adjustment. These are the same rates used for Regular Class members of the Florida Retirement System (FRS) in their July 1, 2015 valuation, as mandated by Florida House Bill 1309. Page 3 of 6 City of Clearwater, Florida Defined Benefit Pension Plans Required Supplementary Information - Unaudited Experience-based table of rates that are specific to the employment classification and type of eligibility condition. 2 The definition of Covered Payroll for GASB Statement Nos. 67 and 68 was changed under GASB Statement No. 82 to be the pensionable earnings for members of the Plan. As a result, the Covered Payroll amount previously reported for fiscal year 2015 has been revised to reflect this change. 105 Actuarially Contribution Actual Contribution FY Ending Determined Actual Deficiency Covered as a % of September 30 Contribution Contribution (Excess) Payroll Covered Payroll 2014 $ - $ - $ - $ - 0.00% 2015 $ - $ - $ - $ - 0.00% 2016 $ - $ - $ - $ - 0.00% 2017 $ - $ - $ - $ - 0.00% Note: Data unavailable prior to 2014. Page 4 of 6 Effective with the fiscal year ended September 30, 2007, the Firefighters' Relief and Pension Plan, with no remaining active members (only retirees), was fully funded per the requirements of the governing Ordinance. The City may elect to contribute should future valuations show an actuarial need for such. Schedule of Contributions Firefighters' Relief and Pension Plan Notes to Schedule of Contributions City of Clearwater, Florida Defined Benefit Pension Plans Required Supplementary Information - Unaudited 106 2017 2016 2015 2014 Annual money-weighted rate of return, net of investment expense 11.28% 10.63% -0.03% 10.90% Note: Data unavailable prior to 2014. Page 5 of 6 Schedule of Investment Returns Employees' Pension Plan City of Clearwater, Florida Defined Benefit Pension Plans Required Supplementary Information - Unaudited 107 2017 2016 2015 2014 Annual money-weighted rate of return, net of investment expense 4.680% 4.554% 4.315% 3.902% Note: Data unavailable prior to 2014. Page 6 of 6 Schedule of Investment Returns Firefighters' Relief and Pension Plan City of Clearwater, Florida Defined Benefit Pension Plans Required Supplementary Information - Unaudited 108 Schedule of Funding Progress: Actuarial Actuarial Accrued Unfunded AAL Value of Liability (AAL) - Unfunded Funded Covered as a Percentage Actuarial Valuation Assets Projected Unit Credit AAL Ratio Payroll of Covered Payroll Date (Biannual) (a) (b) (b-a) (a/b) (c) ((b-a) /c) January 1, 2012 -$ 30,721,086$ 30,721,086$ 0.00% 68,293,356$ 44.98% January 1, 2014 -$ 34,091,536$ 34,091,536$ 0.00% 70,649,261$ 48.25% January 1, 2016 -$ 32,058,710$ 32,058,710$ 0.00% 74,834,482$ 42.84% . Page 1 of 1 City of Clearwater, Florida Other Post-Employment Benefits Required Supplementary Information - Unaudited Significant changes affecting the presented trend information include:The actuarial valuation of the Plan as of January 1, 2016, reflected changes in actuarial assumptions and methods from the previous valuation as of January 1, 2014 as follows: The Health Care Cost Trend Rate decreased from 8.0% in 2014 to 6.5% in 2016, with planned decreases ranging from .25% to .09% each subsequent year so that it is projected to reach the ultimate goal of 4.24% in 2040 rather than 2021. The mortality table was changed from the fully generational RP-2000 Combined Healthy Participant Mortality Table for males and females with mortality improvements projected to all future years from the year 2000 using Scale BB, to the mortality rates used by the Florida Retirement System (FRS), in compliance with Florida House Bill 1309. This is the same mortality table used by the Pension Plan Actuary. There were no changes to the Investment Discount Rate or Medicare Benefits. 109 110 This Page Intentionally Left Blank 111 Nonmajor Governmental Funds Special Revenue Funds Special revenue funds are used to account for specific revenues that are legally restricted to expenditures for particular purposes. Special Programs Fund – to account for grants and contributions, the use of which is restricted for certain programs. Community Redevelopment Agency Fund – to account for receipt, custody, and expenditure of property tax increment funds associated with related redevelopment projects. Local Housing Assistance SHIP Trust Fund – to account for monies allocated to the City under the State Local Housing Assistance SHIP grant program. Pinellas County Local Housing Assistance Trust Fund – to account for monies allocated to the City under the Pinellas County Local Housing Assistance grant program. 112 Debt Service Funds Debt service funds provide separate accounting records for all debt interest, principal, and reserve requirements for general government long-term. Debt of proprietary funds is serviced through restricted accounts maintained within the individual enterprise or internal service fund associated with the debt. Notes and Mortgages Debt Service Fund - to account for the advance monthly accumulation of resources by transfer of General Revenues from the General and Special Revenue Funds and the payment of currently maturing installments of principal and interest on the various note and mortgage obligations of the governmental funds during each fiscal year. Spring Training Facility Revenue Bonds Debt Service Fund – to account for the advance monthly accumulation of resources received from the State of Florida and Pinellas County, and the payment of currently maturing installments of principal and interest each year. 113 Capital Projects Funds Capital projects funds are used to account for resources to be used for the acquisition or construction of major capital improvement projects, other than those financed by proprietary funds. A major capital improvement project is a property acquisition, a major construction undertaking, or a major improvement to an existing facility or property, with a cost greater than $25,000 and a minimum useful life of at least five years. Community Redevelopment Agency Capital Projects Fund – to provide separate accounting records for the acquisition or construction of capital improvement projects for the Clearwater Community Redevelopment Agency. SHIP Pinellas County Community Local Housing Local Housing Special Redevelopment Assistance Assistance Programs Agency Trust Trust Total ASSETS Cash and investments $ 11,352,997 $ 677,930 $ 783,432 $ 248,405 $ 13,062,764 Receivables: Accrued interest 32,110 17,636 1,503 956 52,205 Mortgage notes 2,790,442 25,000 1,928,142 145,432 4,889,016 Other 7,748 - - - 7,748 Due from other governments - grants 56,096 - - - 56,096 Due from other governments - other 200,304 - - - 200,304 Advances to other funds 325,440 - - - 325,440 Total assets $ 14,765,137 $ 720,566 $ 2,713,077 $ 394,793 $ 18,593,573 LIABILITIES Accounts and contracts payable $ 336,105 $ 5,459 $ 10,221 $ - $ 351,785 Accrued payroll 41,032 - - - 41,032 Due to other funds - 316,667 - - 316,667 Due to other governmental entities 52,657 48,000 - - 100,657 Construction escrows - 25,000 3,383 - 28,383 Advances from other funds - 325,440 - - 325,440 Total liabilities 429,794 720,566 13,604 - 1,163,964 FUND BALANCES Restricted 9,680,144 - 2,699,473 394,793 12,774,410 Committed 3,144,491 - - - 3,144,491 Assigned 1,510,708 - - - 1,510,708 Total fund balances 14,335,343 - 2,699,473 394,793 17,429,609 Total liabilities and fund balances $ 14,765,137 $ 720,566 $ 2,713,077 $ 394,793 $ 18,593,573 The notes to the financial statements are an integral part of this statement. Special Revenue Funds City of Clearwater, Florida Combining Balance Sheet Nonmajor Governmental Funds September 30, 2017 114 Capital Spring Project Training Fund Total Notes Facility Community Nonmajor and Revenue Redevelopment Governmental Mortgages Bonds Total Agency Funds $- $ 665,903 $ 665,903 $ 5,656,081 $ 19,384,748 - 1,460 1,460 - 53,665 - - - - 4,889,016 - - - - 7,748 - - - - 56,096 - - - - 200,304 - - - - 325,440 $- $ 667,363 $ 667,363 $ 5,656,081 $ 24,917,017 $- $ - $ - $ 58,975 $ 410,760 - - - 441 41,473 - - - - 316,667 - - - - 100,657 - - - - 28,383 - - - - 325,440 - - - 59,416 1,223,380 - 667,363 667,363 5,574,583 19,016,356 - - - - 3,144,491 - - - 22,082 1,532,790 - 667,363 667,363 5,596,665 23,693,637 $- $ 667,363 $ 667,363 $ 5,656,081 $ 24,917,017 115 SHIP Pinellas County Community Local Housing Local Housing Special Redevelopment Assistance Assistance Programs Agency Trust Trust Total REVENUES Intergovernmental: Federal $ 1,447,278 $ - $ - $ - $ 1,447,278 State 50,100 - 722,636 - 772,736 Local 362,065 1,229,663 - - 1,591,728 Charges for services 1,238,939 - - - 1,238,939 Fines and forfeitures 305,736 - - - 305,736 Investment earnings 61,599 25,343 9,586 4,502 101,030 Miscellaneous 1,379,073 66,950 - - 1,446,023 Total revenues 4,844,790 1,321,956 732,222 4,502 6,903,470 EXPENDITURES Current: General government 11,193 - - - 11,193 Public safety 1,863,095 - - - 1,863,095 Physical environment 43,270 - - - 43,270 Transportation 285,239 - - - 285,239 Economic environment 1,067,696 337,675 116,282 10,704 1,532,357 Human services 351,308 - - - 351,308 Culture and recreation 1,533,529 - - - 1,533,529 Debt service: Principal - - - - - Interest & fiscal charges - 10,106 - - 10,106 Capital outlay 135,002 - - - 135,002 Total expenditures 5,290,332 347,781 116,282 10,704 5,765,099 Excess (deficiency) of revenues over (under) expenditures (445,542) 974,175 615,940 (6,202) 1,138,371 OTHER FINANCING SOURCES (USES) Transfers in 990,787 2,041,437 - - 3,032,224 Transfers out (906,699) (3,015,612) (250,459) (234,421) (4,407,191) Total other financing sources (uses) 84,088 (974,175) (250,459) (234,421) (1,374,967) Net change in fund balances (361,454) - 365,481 (240,623) (236,596) Fund balances - beginning 14,696,797 - 2,333,992 635,416 17,666,205 Fund balances - ending $ 14,335,343 $ - $ 2,699,473 $ 394,793 $ 17,429,609 The notes to the financial statements are an integral part of this statement. Special Revenue Funds City of Clearwater, Florida Combining Statement of Revenues, Expenditures, and Changes in Fund Balances Nonmajor Governmental Funds For the Year Ended September 30, 2017 116 Spring Training Fund Total Notes Facility Community Nonmajor and Revenue Redevelopment Governmental Mortgages Bonds Total Agency Funds $- $ - $ - $ - $ 1,447,278 - 500,004 500,004 - 1,272,740 - 587,650 587,650 - 2,179,378 - - - - 1,238,939 - - - - 305,736 - 2,066 2,066 - 103,096 - - - - 1,446,023 - 1,089,720 1,089,720 - 7,993,190 - - - - 11,193 - - - - 1,863,095 - - - - 43,270 - - - - 285,239 - - - 1,250,278 2,782,635 - - - - 351,308 - - - - 1,533,529 402,535 685,000 1,087,535 - 1,087,535 22,422 381,232 403,654 - 413,760 - - - 71,906 206,908 424,957 1,066,232 1,491,189 1,322,184 8,578,472 (424,957) 23,488 (401,469) (1,322,184) (585,282) 424,957 - 424,957 2,620,471 6,077,652 - - - (1,212,476) (5,619,667) 424,957 - 424,957 1,407,995 457,985 - 23,488 23,488 85,811 (127,297) - 643,875 643,875 5,510,854 23,820,934 $- $ 667,363 $ 667,363 $ 5,596,665 $ 23,693,637 Capital Debt Service Funds Project 117 118 This Page Intentionally Left Blank Variance with Final Budget Actual Positive Original Final Amounts (Negative) REVENUES Intergovernmental - Local $ 1,231,046 $ 1,229,663 $ 1,229,663 $ - Investment earnings 50,000 50,000 25,343 (24,657) Miscellaneous 66,950 66,950 66,950 - Total revenues 1,347,996 1,346,613 1,321,956 (24,657) EXPENDITURES Current - Economic environment 409,040 408,829 337,675 71,154 Debt Service - Interest & fiscal charges - - 10,106 (10,106) Total expenditures 409,040 408,829 347,781 61,048 Excess of revenues over expenditures 938,956 937,784 974,175 36,391 OTHER FINANCING SOURCES (USES) Transfers in 1,006,484 1,005,363 2,041,437 1,036,074 Transfers out (1,945,440) (1,943,147) (3,015,612) (1,072,465) Total other financing sources (uses) (938,956) (937,784) (974,175) (36,391) Excess (deficiency) of revenues and other sources over (under) expenditures and other uses - - - - Fund balances - beginning - - - - Fund balances - ending $ - $ - $ - $ - The notes to the financial statements are an integral part of this statement. For the Year Ended September 30, 2017 Budgeted Amounts City of Clearwater, Florida Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual (GAAP Basis) Community Redevelopment Agency 119 120 This Page Intentionally Left Blank 121 Nonmajor Enterprise Funds Enterprise funds are used to account for the financing, acquisition, operation, and maintenance of governmental facilities that are supported primarily by user charges. Marine Operations Fund - to account for the financing, operation, and maintenance of the City’s marine operations (excluding the downtown boat slips) and associated real property from rents collected from users. Aviation Operations Fund - to account for the financing, operation, and maintenance of the City’s airpark operations from rents collected from users. Parking System Fund - to account for the financing, construction, operation and maintenance of the City's parking system, including on- and off-street parking on Clearwater Beach and Downtown Clearwater, from parking charges. Clearwater Harbor Marina Fund - to account for the financing, operation, and maintenance of the City’s downtown boat slips from boat slip rentals. Marine Aviation Parking Clearwater Operations Operations System Harbor Marina Total ASSETS Current assets: Cash and investments $ 1,829,785 $ 575,866 $ 14,292,407 $ 1,617,154 $ 18,315,212 Accrued interest receivable 2,780 1,192 52,593 3,135 59,700 Accounts and contracts receivable - - - 18,409 18,409 Inventories, at cost 47,978 - - - 47,978 Total current assets 1,880,543 577,058 14,345,000 1,638,698 18,441,299 Noncurrent assets: Net pension asset 425,568 30,287 629,034 93,967 1,178,856 Capital assets: Land and other nondepreciable assets 670,086 1,401,500 881,282 - 2,952,868 Capital assets, net of accumulated depreciation 524,874 3,933,651 14,086,383 10,851,071 29,395,979 Total noncurrent assets 1,620,528 5,365,438 15,596,699 10,945,038 33,527,703 Total assets 3,501,071 5,942,496 29,941,699 12,583,736 51,969,002 DEFERRED OUTFLOWS OF RESOURCES Deferred outflows - pension 23,145 1,647 34,211 5,111 64,114 Total deferred outflows of resources 23,145 1,647 34,211 5,111 64,114 LIABILITIES Current liabilities: Accounts and contracts payable 148,912 1,204 267,474 14,934 432,524 Accrued payroll 31,630 1,708 46,008 5,500 84,846 Deposits 41,896 - 5,523 42,481 89,900 Unearned revenue and liens - - 17,670 8,784 26,454 Current portion of long-term liabilities: Compensated absences 31,184 1,861 25,634 1,661 60,340 Capital lease purchases payable - - 3,954 - 3,954 Total current liabilities 253,622 4,773 366,263 73,360 698,018 Noncurrent liabilities: Compensated absences 26,342 1,572 21,653 1,403 50,970 Other postemployment benefits 181,592 13,712 405,550 65,746 666,600 Capital lease purchases payable - - 15,550 - 15,550 Total non-current liabilities 207,934 15,284 442,753 67,149 733,120 Total liabilities 461,556 20,057 809,016 140,509 1,431,138 DEFERRED INFLOWS OF RESOURCES Deferred inflows - pension 191,761 13,647 283,443 42,341 531,192 Total deferred inflows of resources 191,761 13,647 283,443 42,341 531,192 NET POSITION Net investment in capital assets 1,194,960 5,335,151 14,948,161 10,851,071 32,329,343 Restricted for: Pensions 425,568 30,287 629,034 93,967 1,178,856 Unrestricted 1,250,371 545,001 13,306,256 1,460,959 16,562,587 Total net position $ 2,870,899 $ 5,910,439 $ 28,883,451 $ 12,405,997 $ 50,070,786 The notes to the financial statements are an integral part of this statement. City of Clearwater, Florida Combining Statement of Net Position Nonmajor Enterprise Funds September 30, 2017 122 Marine Aviation Parking Clearwater Operations Operations System Harbor Marina Totals Operating revenues: Sales to customers $ 2,427,851 $ 19,058 $ 6,679,487 $ - $ 9,126,396 User charges to customers 228,684 - - 24,359 253,043 Rentals 1,592,257 291,041 - 756,226 2,639,524 Other 195,700 819 25,320 18,706 240,545 Total operating revenues 4,444,492 310,918 6,704,807 799,291 12,259,508 Operating expenses: Personal services 1,074,713 56,027 1,627,605 203,949 2,962,294 Purchases for resale 1,729,991 - - 252 1,730,243 Operating materials and supplies 76,022 6,868 251,843 27,806 362,539 Transportation 7,287 1,298 113,137 3,274 124,996 Utility service 368,309 42,288 50,387 59,965 520,949 Depreciation 58,264 260,715 236,516 338,463 893,958 Interfund administrative charges 215,170 63,750 1,067,390 132,130 1,478,440 Other current charges: Professional fees 50,520 25,704 273,710 9,917 359,851 Advertising 11,416 490 28 2,773 14,707 Communications 27,604 - 50,743 668 79,015 Printing and binding 1,536 734 11,266 302 13,838 Insurance 15,520 10,900 29,560 28,890 84,870 Repairs and maintenance 26,225 - 113,443 999 140,667 Rentals 2,810 - 30,501 - 33,311 Miscellaneous 90,140 785 463,985 9,583 564,493 Data processing charges 36,020 2,150 72,740 8,290 119,200 Taxes 1,355 - - - 1,355 Total other current charges 263,146 40,763 1,045,976 61,422 1,411,307 Total operating expenses 3,792,902 471,709 4,392,854 827,261 9,484,726 Operating income (loss) 651,590 (160,791) 2,311,953 (27,970)2,774,782 Nonoperating revenues (expenses): Investment earnings (loss) 8,709 2,133 (34,098) 6,407 (16,849) Interest expense - - (102) - (102) Gain on disposal of capital assets - - 322,264 - 322,264 Total nonoperating revenue (expenses) 8,709 2,133 288,064 6,407 305,313 Income (loss) before contributions and transfers 660,299 (158,658) 2,600,017 (21,563) 3,080,095 Capital grants and contributions 3,121 3,349 - - 6,470 Transfers in - - 16,978 - 16,978 Transfers out (228,829) (15,190) (516,033) (38,420) (798,472) Change in net position 434,591 (170,499) 2,100,962 (59,983) 2,305,071 Net position - beginning 2,436,308 6,080,938 26,782,489 12,465,980 47,765,715 Net position - ending $ 2,870,899 $ 5,910,439 $ 28,883,451 $ 12,405,997 $ 50,070,786 The notes to the financial statements are an integral part of this statement. City of Clearwater, Florida Combining Statement of Revenues, Expenses, and Changes in Net Position Nonmajor Enterprise Funds For the Year Ended September 30, 2017 123 Marine Aviation Parking Clearwater Operations Operations System Harbor Marina Totals CASH FLOWS FROM OPERATING ACTIVITIES Cash received from customers $ 4,453,690 $ 310,918 $ 6,705,993 $ 792,620 $ 12,263,221 Cash payments to suppliers (2,351,798) (77,980) (959,188) (105,769) (3,494,735) Cash payments to employees (1,167,651) (58,018) (1,588,804) (213,274) (3,027,747) Cash payments to other funds (329,428) (78,408) (1,415,484) (176,446) (1,999,766) Net cash provided by operating activities 604,813 96,512 2,742,517 297,131 3,740,973 CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES Transfers from other funds - - 16,978 - 16,978 Transfers to other funds (228,829) (15,190) (516,033) (38,420) (798,472) Net cash provided (used) by noncapital financing activities CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES Principal payments on debt - - (976) - (976) Interest paid - - (102) - (102) Acquisition of capital assets (6,265) - (11,214,163) - (11,220,428) Proceeds from issuance of debt - - 20,480 - 20,480 Capital contributed by other governmental entities 4,008 9,018 221 - 13,247 Net cash provided (used) by capital and related financing activities (2,257) 9,018 (11,194,540) - (11,187,779) CASH FLOWS FROM INVESTING ACTIVITIES Investment earnings 8,886 2,303 (19,112) 6,806 (1,117) Net cash provided (used) by investing activities 8,886 2,303 (19,112) 6,806 (1,117) Net increase (decrease) in cash and cash equivalents 382,613 92,643 (8,970,190) 265,517 (8,229,417) Cash and cash equivalents at beginning of year 1,447,172 483,223 23,262,597 1,351,637 26,544,629 Cash and cash equivalents at end of year $ 1,829,785 $ 575,866 $ 14,292,407 $ 1,617,154 $ 18,315,212 Cash and cash equivalents classified as: Cash and investments $ 1,829,785 $ 575,866 $ 14,292,407 $ 1,617,154 $ 18,315,212 Total cash and cash equivalents $ 1,829,785 $ 575,866 $ 14,292,407 $ 1,617,154 $ 18,315,212 The notes to the financial statements are an integral part of this statement. City of Clearwater, Florida Combining Statement of Cash Flows Nonmajor Enterprise Funds For the Year Ended September 30, 2017 (228,829) (15,190) (499,055) (38,420) (781,494) 124 Marine Aviation Parking Clearwater Operations Operations System Harbor Marina Totals City of Clearwater, Florida Combining Statement of Cash Flows Nonmajor Enterprise Funds For the Year Ended September 30, 2017 Reconciliation of operating income (loss) to net cash provided (used) by operating activities: Operating income (loss) $ 651,590 $ (160,791) $ 2,311,953 $ (27,970) $ 2,774,782 Adjustments to reconcile operating income (loss) to net cash provided (used) by operating activities: Depreciation 58,264 260,715 236,516 338,463 893,958 Change in assets, deferred outflows, liabilities and deferred inflows: (Increase) decrease in accounts receivable - - - 4,723 4,723 (Increase) decrease in inventory (14,135) - - - (14,135) (Increase) decrease in net pension asset (288,707) (20,582) (413,789) (65,599) (788,677) (Increase) decrease in deferred outflows 83,244 5,897 133,110 16,941 239,192 Increase (decrease) in accounts and contracts payable (7,166) (1,421) 154,061 2,634 148,108 Increase (decrease) in accrued payroll (69,832) 3 (1,149) (2,595) (73,573) Increase (decrease) in deposits 9,198 - 1,185 979 11,362 Increase (decrease) in unearned revenue - - 1 (12,373) (12,372) Increase (decrease) in other postemployment benefits 22,491 1,306 87,348 6,199 117,344 Increase (decrease) in deferred inflows 159,866 11,385 233,281 35,729 440,261 Total adjustments (46,777) 257,303 430,564 325,101 966,191 Net cash provided (used) by operating activities $ 604,813 $ 96,512 $ 2,742,517 $ 297,131 $ 3,740,973 125 126 This Page Intentionally Left Blank 127 Internal Service Funds Internal service funds are used to account for services and commodities furnished by a designated department to other departments within the City or to other governments on a cost reimbursement basis. Garage Fund - to account for the cost of automotive and other motorized equipment of the City. The acquisition cost of new or upgraded equipment is financed through user departments and the asset value is simultaneously contributed to the Garage Fund. The cost of replacement of existing equipment is financed by the Garage Fund. Administrative Services Fund - to account for various support activities including information technology, printing, mailing, and telephone services. The cost for these services is charged to user departments based on the cost of providing units of service. General Services Fund - to account for various support activities including building maintenance and custodial services for all City departments and facilities. The cost for these services is charged to user departments based on the cost of providing units of service. Central Insurance Fund - to account for the City's limited self-insurance program wherein all funds are assessed charges based on damage claims incurred and on management's assessment of individual funds' risk exposure. All claims and premiums are paid out of this fund, together with other costs necessary to administer the program. Medical self-insurance costs and employee health clinic operating expenses are also paid from this fund. Administrative General Central Garage Services Services Insurance Total ASSETS Current assets: Cash and investments $ 9,874,961 $ 10,740,003 $ 5,542,058 $ 44,271,219 $ 70,428,241 Accrued interest receivable 22,449 26,541 5,654 96,525 151,169 Other receivables 5,062 - 2,273 75,611 82,946 Due from other funds - - - 316,667 316,667 Inventories, at cost 404,399 - - - 404,399 Prepaid expenses and other assets - - - 2,063,155 2,063,155 Total current assets 10,306,871 10,766,544 5,549,985 46,823,177 73,446,577 Noncurrent assets: Net pension asset 1,380,768 3,235,252 1,122,165 311,410 6,049,595 Capital assets: Land and other nondepreciable assets 729,591 741,840 - - 1,471,431 Capital assets, net of accumulated depreciation 24,308,423 2,180,944 32,325 7,047 26,528,739 Total noncurrent assets 26,418,782 6,158,036 1,154,490 318,457 34,049,765 Total assets 36,725,653 16,924,580 6,704,475 47,141,634 107,496,342 DEFERRED OUTFLOWS OF RESOURCES Deferred outflows - pension 75,095 175,954 61,031 16,937 329,017 Total deferred outflows of resources 75,095 175,954 61,031 16,937 329,017 LIABILITIES Current liabilities: Accounts and contracts payable 1,008,803 325,209 139,535 323,466 1,797,013 Accrued payroll 68,075 142,620 60,917 14,404 286,016 Unearned revenue 319,028 - - - 319,028 Current portion of long-term liabilities: Compensated absences 67,001 298,552 67,888 7,319 440,760 Capital lease purchases payable 5,747,253 306,904 - - 6,054,157 Claims payable - - - 3,856,469 3,856,469 Total current liabilities (payable from current assets) 7,210,160 1,073,285 268,340 4,201,658 12,753,443 Noncurrent liabilities: Compensated absences 56,597 252,196 57,348 6,183 372,324 Other postemployment benefits 363,360 763,987 336,815 73,656 1,537,818 Capital lease purchases payable 12,822,105 670,455 - - 13,492,560 Claims payable - - - 7,233,600 7,233,600 Total noncurrent liabilities 13,242,062 1,686,638 394,163 7,313,439 22,636,302 Total liabilities 20,452,222 2,759,923 662,503 11,515,097 35,389,745 DEFERRED INFLOWS OF RESOURCES Deferred inflows - pension 622,175 1,457,806 505,648 140,322 2,725,951 Total deferred inflows of resources 622,175 1,457,806 505,648 140,322 2,725,951 NET POSITION Net investment in capital assets 6,468,656 1,945,425 32,325 7,047 8,453,453 Restricted for: Pensions 1,380,768 3,235,252 1,122,165 311,410 6,049,595 Unrestricted 7,876,927 7,702,128 4,442,865 35,184,695 55,206,615 Total net position $ 15,726,351 $ 12,882,805 $ 5,597,355 $ 35,503,152 $ 69,709,663 The notes to the financial statements are an integral part of this statement. City of Clearwater, Florida Combining Statement of Net Position Internal Service Funds September 30, 2017 128 Administrative General Central Garage Services Services Insurance Total Operating revenues: Billings to departments $ 14,490,096 $ 10,705,719 $ 4,940,717 $ 23,761,307 $ 53,897,839 Rentals 47,175 - - - 47,175 Other 111,873 - 16,737 77,950 206,560 Total operating revenues 14,649,144 10,705,719 4,957,454 23,839,257 54,151,574 Operating expenses: Personal services 2,340,956 4,665,288 1,981,339 534,682 9,522,265 Purchases for resale 3,834,497 - - - 3,834,497 Operating materials and supplies 151,347 306,258 352,409 206,598 1,016,612 Transportation 3,108 81,172 126,522 26,928 237,730 Utility service 106,715 - 425,840 2,905 535,460 Depreciation 7,615,552 575,703 6,126 2,349 8,199,730 Interfund administrative charges 249,820 4,000 - - 253,820 Other current charges: Professional fees 725,979 1,893,286 1,483,065 2,922,067 7,024,397 Communications 30,458 959,748 49,004 6,310 1,045,520 Printing and binding 962 18,233 120 - 19,315 Insurance: Premiums 35,970 15,520 34,480 2,196,466 2,282,436 Claims incurred - - - 16,321,912 16,321,912 Repairs and maintenance 672,322 1,273,534 243,965 22,641 2,212,462 Rentals 38,787 401,031 15,643 52,603 508,064 Miscellaneous 36,715 100,527 21,144 136,868 295,254 Data processing charges 133,140 218,110 120,100 17,210 488,560 Taxes 16,592 - - - 16,592 Total other current charges 1,690,925 4,879,989 1,967,521 21,676,077 30,214,512 Total operating expenses 15,992,920 10,512,410 4,859,757 22,449,539 53,814,626 Operating income (loss) (1,343,776) 193,309 97,697 1,389,718 336,948 Nonoperating revenues (expenses) Investment earnings 41,695 35,415 10,070 180,249 267,429 Interest expense (346,066) (19,354) - - (365,420) Gain (loss) on disposal of capital assets 798,359 (76,467) - - 721,892 Total nonoperating revenue (expenses) 493,988 (60,406) 10,070 180,249 623,901 Income (loss) before contributions and transfers (849,788) 132,903 107,767 1,569,967 960,849 Capital grants and contributions 51,900 - - - 51,900 Transfers in 2,606,414 722,499 3,087,263 - 6,416,176 Transfers out (321,609) - (40,460) - (362,069) Change in net position 1,486,917 855,402 3,154,570 1,569,967 7,066,856 Net position - beginning 14,239,434 12,027,403 2,442,785 33,933,185 62,642,807 Net position - ending $ 15,726,351 $ 12,882,805 $ 5,597,355 $ 35,503,152 $ 69,709,663 The notes to the financial statements are an integral part of this statement. City of Clearwater, Florida Combining Statement of Revenue, Expenses, and Changes in Net Position Internal Service Funds For the Year Ended September 30, 2017 129 Administrative General Central Garage Services Services Insurance Total CASH FLOWS FROM OPERATING ACTIVITIES Cash received from other funds $ 14,649,144 $ 10,705,719 $ 4,955,643 $ 23,852,921 $ 54,163,427 Cash payments to suppliers (6,066,906) (4,715,345) (2,568,763) (19,522,646) (32,873,660) Cash payments to employees (2,436,095) (4,891,643) (2,017,934) (545,907) (9,891,579) Cash payments to other funds (654,493) (578,614) (346,579) (1,856,423) (3,436,109) Net cash provided by operating activities 5,491,650 520,117 22,367 1,927,945 7,962,079 CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES Transfers from other funds 2,606,414 722,499 3,087,263 - 6,416,176 Transfers to other funds (321,609) - (40,460) - (362,069) Receipt of cash on loans to/from other funds - - - 808,320 808,320 Payment of cash on loans to/from other funds - (91,654) - - (91,654) Net cash provided by noncapital financing activities 2,284,805 630,845 3,046,803 808,320 6,770,773 CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES Principal payments on debt (5,238,206) (332,849) - - (5,571,055) Interest paid (346,066) (19,354) - - (365,420) Acquisition of capital assets (9,600,075) (1,617,025) - - (11,217,100) Proceeds from issuance of debt 7,490,078 613,331 - - 8,103,409 Net cash provided (used) by capital and related financing activities (7,694,269) (1,355,897) - - (9,050,166) CASH FLOWS FROM INVESTING ACTIVITIES Investment earnings 44,798 39,897 10,876 194,208 289,779 Net cash provided by investing activities 44,798 39,897 10,876 194,208 289,779 Net increase (decrease) in cash and cash equivalents 126,984 (165,038) 3,080,046 2,930,473 5,972,465 Cash and cash equivalents at beginning of year 9,747,977 10,905,041 2,462,012 41,340,746 64,455,776 Cash and cash equivalents at end of year $ 9,874,961 $ 10,740,003 $ 5,542,058 $ 44,271,219 $ 70,428,241 Cash and cash equivalents classified as: Cash and investments $ 9,874,961 $ 10,740,003 $ 5,542,058 $ 44,271,219 $ 70,428,241 Total cash and cash equivalents $ 9,874,961 $ 10,740,003 $ 5,542,058 $ 44,271,219 $ 70,428,241 The notes to the financial statements are an integral part of this statement. City of Clearwater, Florida Combining Statement of Cash Flows Internal Service Funds For the Year Ended September 30, 2017 130 Administrative General Central Garage Services Services Insurance Total City of Clearwater, Florida Combining Statement of Cash Flows Internal Service Funds For the Year Ended September 30, 2017 Reconciliation of operating income (loss) to net cash provided (used) by operating activities: Operating income (loss) $ (1,343,776) $193,309 $ 97,697 $ 1,389,718 $ 336,948 Adjustments to reconcile operating income (loss) to net cash provided (used) by operating activities: Depreciation 7,615,552 575,703 6,126 2,349 8,199,730 Change in assets, deferred outflows, liabilities and deferred inflows: (Increase) decrease in accounts receivable (525) - (1,811) 13,664 11,328 (Increase) decrease in inventory (1,456) - - - (1,456) (Increase) decrease in prepaid expenses - - - (603,164) (603,164) (Increase) decrease in net pension asset (943,559) (2,242,139) (736,963) (194,705) (4,117,366) (Increase) decrease in deferred outflows 264,770 596,045 238,406 73,784 1,173,005 Increase (decrease) in accounts and contracts payable (619,201) (22,540) (43,050) 1,136,603 451,812 Increase (decrease) in accrued payroll 19,914 94,172 5,142 (10,404) 108,824 Increase (decrease) in unearned revenue (63,805) - - - (63,805) Increase (decrease) in other postemployment benefits 43,452 99,205 40,943 6,976 190,576 Increase (decrease) in deferred inflows 520,284 1,226,362 415,877 113,124 2,275,647 Total adjustments 6,835,426 326,808 (75,330) 538,227 7,625,131 Net cash provided by operating activities $ 5,491,650 $520,117 $ 22,367 $ 1,927,945 $ 7,962,079 Non-cash investing, capital and financing activities: Contributions from other governments $ 51,900 $ - $ - $ - $ 51,900 131 132 This Page Intentionally Left Blank 133 Fiduciary Funds Fiduciary Funds are used to account for resources that are managed in a trustee capacity or as an agent for other parties or funds. Employees’ Pension Fund - to account for the financial operation and condition of the major employee retirement system. Firefighters’ Relief and Pension Fund - to account for the financial operation and condition of the Firefighters' Relief and Pension Plan, closed to new members in 1962, and containing 19 retired members with no active members. The Plan was fully funded effective with fiscal year 2007. Police Supplemental Pension Fund - to account for the financial operation and condition of a supplemental pension plan funded by the State for sworn police officers. Firefighters’ Supplemental Pension Fund - to account for the financial operation and condition of a supplemental pension plan funded by the State for firefighters. Treasurer’s Escrow Agency Fund - to account for the receipt, custody, and expenditure of funds held temporarily in trust for other parties. Defined Benefit Defined Contribution Pension Trust Funds Pension Trust Funds Firefighters' Police Firefighters' Employees' Relief and Supplemental Supplemental Pension Fund Pension Fund Pension Fund Pension Fund Totals ASSETS Cash and cash equivalents $ 4,115,406 $ 853,117 $ 8,553 $ - $ 4,977,076 Managed investment accounts, at fair value: Cash and cash equivalents 19,395,658 - 861,038 193,816 20,450,512 Government bonds 94,488,607 - - 215,003 94,703,610 Index linked government bonds 1,873,301 - - - 1,873,301 Agency bonds 5,735,503 2,958,513 - - 8,694,016 Municipal bonds 3,655,799 - - 198,445 3,854,244 Domestic corporate bonds 85,123,966 - - 2,783,971 87,907,937 International equity securities 130,530,777 - - - 130,530,777 Domestic stocks 369,405,883 - - 4,524,865 373,930,748 Mortgage backed bonds 94,659,762 - - 1,013,315 95,673,077 Asset backed securities 2,326,824 - - - 2,326,824 Other/rights/warrants 1,342 - - - 1,342 Domestic equity mutual funds 45,575,552 - 10,968,869 5,668,683 62,213,104 International equity mutual funds 38,874,299 - 7,148,572 1,464,402 47,487,273 Infrastructure 30,683,363 - - - 30,683,363 Real estate 88,389,818 - - 2,864,710 91,254,528 Total managed investment accounts 1,010,720,454 2,958,513 18,978,479 18,927,210 1,051,584,656 Securities lending collateral 184,130,367 - - - 184,130,367 Receivables: Interest and dividends 2,696,010 31,151 523 40,047 2,767,731 Unsettled investment sales 17,249,318 - - - 17,249,318 Securities lending earnings 40,920 - - - 40,920 Due from others 45 - - - 45 Total receivables 19,986,293 31,151 523 40,047 20,058,014 Total assets 1,218,952,520 3,842,781 18,987,555 18,967,257 1,260,750,113 LIABILITIES Accounts payable 880,210 - 1,136 - 881,346 Unsettled investment purchases 53,653,584 - - - 53,653,584 Obligations under securities lending 184,130,367 - - - 184,130,367 Total liabilities 238,664,161 - 1,136 - 238,665,297 FIDUCIARY NET POSITION Net position restricted for pensions $ 980,288,359 $ 3,842,781 $ 18,986,419 $ 18,967,257 $ 1,022,084,816 The notes to the financial statements are an integral part of this statement. City of Clearwater, Florida Combining Statement of Fiduciary Net Position Fiduciary Funds September 30, 2017 134 Defined Benefit Defined Contribution Pension Trust Funds Pension Trust Funds Firefighters' Police Firefighters' Employees' Relief and Supplemental Supplemental Pension Fund Pension Fund Pension Fund Pension Fund Totals ADDITIONS Contributions: Contributions from employer $ 11,898,912 $ - $ - $ - $ 11,898,912 Contributions from employer - state tax 12,000 - 991,473 1,082,574 2,086,047 Contributions from employees 7,004,943 - - - 7,004,943 Total contributions 18,915,855 - 991,473 1,082,574 20,989,902 Investment income: Net appreciation (depreciation) in fair value of investments 88,805,048 (268,974) 922,398 1,560,485 91,018,957 Interest 8,859,922 119,652 1,077 336,601 9,317,252 Dividends 9,776,724 - 476,732 164,035 10,417,491 Less investment expenses: Investment management/custodian fees (5,749,842) - (33,121) (113,855) (5,896,818) Net investment income (loss)101,691,852 (149,322) 1,367,086 1,947,266 104,856,882 Securities lending income: Gross earnings 1,954,680 - - - 1,954,680 Rebate received (paid) (1,042,798) - - - (1,042,798) Bank fees (318,951) - - - (318,951) Net income from securities lending 592,931 - - - 592,931 Total additions 121,200,638 (149,322) 2,358,559 3,029,840 126,439,715 DEDUCTIONS Benefits and withdrawal payments: Benefits 44,490,793 365,154 1,710,152 1,975,762 48,541,861 Refunds 1,366,008 - - - 1,366,008 Total benefits and refunds 45,856,801 365,154 1,710,152 1,975,762 49,907,869 Income (loss) before administrative expenses 75,343,837 (514,476) 648,407 1,054,078 76,531,846 Less administrative expenses (295,301) (3,500) (13,856) (29,909) (342,566) Net increase (decrease)75,048,536 (517,976) 634,551 1,024,169 76,189,280 Fiduciary net position restricted for pensions Fiduciary net position - beginning 905,239,823 4,360,757 18,351,868 17,943,088 945,895,536 Fiduciary net position - ending $ 980,288,359 $ 3,842,781 $ 18,986,419 $ 18,967,257 $ 1,022,084,816 The notes to the financial statements are an integral part of this statement. City of Clearwater, Florida Combining Statement of Changes in Fiduciary Net Position Fiduciary Funds For the Year Ended September 30, 2017 135 Balance Balance October 1, September 30, 2016 Additions Deductions 2017 TREASURER'S ESCROW FUND ASSETS Cash and investments $ 1,870,264 483,776 1,962,142 $ 391,898 Accrued interest receivable 241 128 36 333 Total Assets $ 1,870,505 483,904 1,962,178 $ 392,231 LIABILITIES Other miscellaneous payables: Downtown Development Board $ 104,181 457,159 402,073 $ 159,267 Special purpose funds 7,833 - - 7,833 Other 1,758,491 14,071 1,547,431 225,131 Total Liabilities $ 1,870,505 471,230 1,949,504 $ 392,231 The notes to the financial statements are an integral part of this statement. City of Clearwater, Florida Statement of Changes in Assets and Liabilities Agency Fund For the Year Ended September 30, 2017 136 Financial Trends Schedule 1 Net Position by Component Schedule 2 Changes in Net Position Schedule 2a Program Revenues by Function/Program Schedule 3 Fund Balances of Governmental Funds Schedule 4 Changes in Fund Balances of Governmental Funds Revenue Capacity Schedule 5 Assessed Value and Estimated Actual Value of Taxable Property Schedule 6 Direct and Overlapping Property Tax Rates Schedule 7 Property Tax Levies and Collections Schedule 8a Principal Real Property Taxpayers Schedule 8b Principal Personal Property Taxpayers Debt Capacity Schedule 9 Ratios of Outstanding Debt by Type Schedule 10 Ratios of General Bonded Debt Outstanding Schedule 11 Direct and Overlapping Governmental Activities Debt Schedule 12 Legal Debt Margin Information Schedule 13 Pledged-Revenue Coverage These schedules present information to help the reader assess the affordability of the City’s current levels of outstanding debt, and the City’s ability to issue additional debt in the future. CITY OF CLEARWATER, FLORIDA STATISTICAL SECTION This section of the City’s CAFR presents detailed information as a context for understanding what the information in the financial statements, note disclosures, and required supplementary information say about the City’s overall financial health. This information has not been audited by the independent auditor. These schedules contain trend information to help the reader understand how the City’s financial performance and well-being changed over time. These schedules contain information to help the reader assess the City’s significant local revenue, the property tax. 137 Economic and Demographic Information Schedule 14 Demographic and Economic Statistics Schedule 15 Principal Employers Operating Information Schedule 16 Full-time Equivalent City Government Employees by Function/Program Schedule 17 Operating Indicators by Function/Program Schedule 18 Capital Assets Statistics by Function/Program These schedules offer economic and demographic indicators to help the reader understand the environment within which the City’s financial activities take place. These schedules contain service and infrastructure data to help the reader understand how the information in the City’s financial report relates to the services the City provides and the activities it performs. Sources: Unless otherwise noted, the information in this section is derived from the City’s comprehensive annual financial reports for the relevant year. STATISTICAL SECTION (CONTINUED) CITY OF CLEARWATER, FLORIDA 138 2008200920102011201220132014201520162017Primary GovernmentGovernmental activities Net investment in capital assets 218,384$ 240,550$ 249,043$ 257,542$ 249,742$ 252,661$ 261,886$ 262,934$ 263,810$ 271,834$ Restricted 39,020 42,681 49,682 57,245 65,603 60,454 56,044 57,003 52,936 119,003 Unrestricted 114,247 103,556 93,283 79,955 80,208 82,369 153,334 121,033 128,785 72,595 Total governmental activities net position 371,651$ 386,787$ 392,008$ 394,742$ 395,553$ 395,484$ 471,264$ 440,970$ 445,531$ 463,432$ Business-type activities Net investment in capital assets 170,735$ 158,129$ 165,704$ 159,913$ 163,316$ 180,324$ 214,175$ 226,571$ 231,591$ 254,503$ Restricted 39,635 41,333 44,332 55,038 55,204 53,237 49,530 45,503 36,803 47,946 Unrestricted 83,681 120,461 126,204 136,067 151,693 153,761163,876 164,135 194,997 183,726 Total business-type activities net position 294,051$ 319,923$ 336,240$ 351,018$ 370,213$ 387,322$ 427,581$ 436,209$ 463,391$ 486,175$ Primary government Net investment in capital assets 389,119$ 398,679$ 414,747$ 417,455$ 413,058$ 432,985$ 476,061$ 489,505$ 495,401$ 526,337$ Restricted 78,655 84,014 94,014 112,283 120,807 113,691 105,574 102,506 89,739 166,949 Unrestricted 197,928 224,017 219,487 216,022 231,901 236,130 317,210 285,168 323,782 256,321 Total primary government net position 665,702$ 706,710$ 728,248$ 745,760$ 765,766$ 782,806$ 898,845$ 877,179$ 908,922$ 949,607$ Note: Fiscal years prior to 2015 are not restated for GASB-68.Schedule 1City of Clearwater, FloridaNet Position by Component,Last Ten Fiscal Years(accrual basis of accounting)139 Page 1 of 32008200920102011201220132014201520162017Governmental activities: General government 14,342$ 13,515$ 15,966$ 16,183$ 14,230$ 13,496$ 15,018$ 16,818$ 13,488$ 14,876$ Public safety 66,582 64,977 69,457 66,914 67,559 68,057 70,126 99,056 71,718 66,795 Physical environment 2,730 4,266 4,941 3,868 3,189 3,451 3,416 3,273 4,142 3,993 Transportation 12,322 9,595 13,760 13,275 13,432 12,954 11,129 19,366 14,532 14,339 Economic environment 4,534 3,924 4,155 3,113 2,240 3,035 2,517 4,895 4,019 5,305 Human services 440 402 97 182 186 104 137 249 526 455 Culture and recreation 37,688 28,740 30,610 30,606 32,814 32,213 33,051 40,783 36,894 36,497 Interest on long-term debt 1,998 1,850 1,446 1,217 709 698 727 689 740 748 Total governmental activities expenses 140,636 127,269 140,432 135,358 134,359 134,008 136,121 185,129 146,059 143,008 Business-type activities: Water and sewer utility 52,015 54,520 57,229 61,010 59,406 57,774 64,810 69,550 64,866 73,253 Gas utility 35,944 29,285 31,200 28,354 27,662 29,747 31,639 33,352 29,195 30,716 Solid waste utility 16,036 14,801 15,618 15,844 16,632 17,042 17,572 22,486 17,989 17,626 Stormwater utility 11,070 11,775 10,937 12,234 12,847 12,284 16,476 16,110 13,664 13,148 Recycling 3,207 2,518 2,759 2,954 2,855 4,056 3,094 2,455 2,958 2,864 Marine 4,696 4,025 3,868 4,136 4,168 4,214 4,378 4,182 3,476 3,781 Aviation 417 743 388 515 366 404 345 399 415 470 Parking system 3,521 3,752 4,302 3,867 4,200 3,730 3,637 4,724 4,097 4,379 Harborview Center 2,800 2,345 984 579 610 520 522 - - - Clearwater Harbor Marina 23 474 473 657 726 676 779 911 848 823 Total business-type activities expenses 129,729 124,238 127,758 130,150 129,472 130,447 143,252 154,169 137,508 147,060 Total primary government expenses 270,365$ 251,507$ 268,190$ 265,508$ 263,831$ 264,455$ 279,373$ 339,298$ 283,567$ 290,068$ Notes: The Harborview Center Fund was closed in FY 2014 and its operations transferred to the General Fund during the year ended September 30, 2014. Fiscal years prior to 2015 are not restated for GASB-68.ExpensesSchedule 2City of Clearwater, FloridaChanges in Net PositionLast Ten Fiscal Years(accrual basis of accounting)140 2008200920102011201220132014201520162017 Charges for services: General government 21,639$ 21,679$ 21,484$ 20,869$ 20,401$ 19,920$ 22,726$ 23,668$ 23,030$ 23,380$ Public safety 9,803 10,291 8,966 9,980 9,265 10,654 11,040 10,593 11,952 11,788 Physical environment 91 249 331 147 77 174 150 196 137 67 Transportation 194 397 857 852 885 738 454 327 150 157 Economic environment 108 211 124 153 122 121 132 109 105 105 Culture and recreation 5,318 5,334 5,174 5,491 5,474 5,973 6,855 7,103 7,751 8,336 Operating grants and contributions 9,123 8,542 7,561 8,062 8,521 8,114 6,305 6,893 6,236 7,012 Capital grants and contributions 7,632 3,169 1,315 2,766 845 437 2,391 2,326 2,642 3,894 Total governmental activities program revenues53,908 49,872 45,812 48,320 45,590 46,131 50,053 51,215 52,003 54,739 Business-type activities: Charges for services: Water and sewer utility 52,111 53,965 55,801 59,810 62,012 65,292 67,141 70,848 75,203 81,514 Gas utility 40,902 39,079 36,622 36,470 36,351 37,693 41,347 41,143 38,598 40,602 Solid waste utility 17,512 17,847 18,422 19,205 19,462 19,504 19,966 20,401 21,602 22,492 Stormwater utility 12,770 13,493 14,717 15,222 15,890 16,378 16,789 17,162 17,854 18,512 Recycling 3,411 2,227 2,695 3,135 2,681 2,453 2,370 2,261 2,390 2,546 Marine 4,798 4,031 4,064 4,387 4,181 4,331 4,643 4,352 4,054 4,444 Aviation 227 216 332 237 257 261 268 283 291 311 Parking system 4,166 5,007 4,358 4,677 4,890 4,994 5,159 6,215 6,638 7,027 Harborview Center 2,032 1,641 440 51 209 48 50 - - - Clearwater Harbor Marina - 50 44 325 467 559 619 664 717 799 Operating grants and contributions 83 83 187 133 134 584 140 50 208 83 Capital grants and contributions 1,086 2,609 11,060 5,290 7,469 6,250 13,590 4,662 3,487 3,564 Total business-type activities program revenues139,098 140,248 148,742 148,942 154,003 158,347 172,082 168,041 171,042 181,894 Total primary government program revenues193,006$ 190,120$ 194,554$ 197,262$ 199,593$ 204,478$ 222,135$ 219,256$ 223,045$ 236,633$ Schedule 2 (continued)City of Clearwater, FloridaChanges in Net PositionLast Ten Fiscal Years(accrual basis of accounting)Program revenuesPage 2 of 3141 2008200920102011201220132014201520162017Net (Expenses) / RevenueGovernmental activities (86,728)$ (77,397)$ (94,620)$ (87,038)$ (88,770)$ (87,876)$ (86,068)$ (133,914)$ (94,055)$ (88,270)$ Business-type activities 9,369 16,010 20,984 18,792 24,531 27,900 28,830 13,872 33,534 34,834 Total primary government net (expense) / revenue (77,359)$ (61,387)$ (73,636)$ (68,246)$ (64,239)$ (59,976)$ (57,238)$ (120,042)$ (60,521)$ (53,436)$ General Revenues and Other Changes in Net PositionGovernmental activities: Taxes Property 50,347$ 46,893$ 44,040$ 39,253$ 37,938$ 37,360$ 38,574$ 40,925$ 43,580$ 46,853$ Sales 15,675 13,850 13,253 13,385 14,092 14,818 15,722 16,833 17,595 18,009 Utility 11,533 12,021 13,574 13,229 12,736 13,473 14,309 14,095 14,518 14,835 Communications services 7,316 6,398 6,107 5,852 5,871 5,470 5,061 4,919 4,618 4,512 Other taxes 8,154 7,581 7,773 7,451 7,105 8,157 7,725 7,969 6,845 8,395 Investment earnings 5,837 8,635 5,015 2,965 2,758 (1,109) 2,596 3,279 2,285 698 Miscellaneous 437 113 128 125 101 134 28 26 108 36 Extraordinary item - - - - - - - 6,480 - - Transfers 4,196 (2,958) 9,951 7,511 8,980 9,505 13,410 9,330 9,069 12,831 Total governmental activities 103,495 92,533 99,841 89,771 89,581 87,808 97,425 103,856 98,618 106,169 Business-type activities: Investment earnings 4,313 6,904 5,284 3,497 3,644 (1,287) 3,407 4,086 2,715 783 Transfers (4,196) 2,958 (9,951) (7,511) (8,980) (9,505) (13,410) (9,330) (9,069) (12,831) Total business-type activities 117 9,862 (4,667) (4,014) (5,336) (10,792) (10,003) (5,244) (6,354) (12,048) Total primary government 103,612$ 102,395$ 95,174$ 85,757$ 84,245$ 77,016$ 87,422$ 98,612$ 92,264$ 94,121$ Change in Net PositionGovernmental activities 16,767$ 15,136$ 5,221$ 2,733$ 811$ (68)$ 11,357$ (30,058)$ 4,563$ 17,899$ Business-type activities 9,486 25,872 16,317 14,778 19,195 17,108 18,827 8,628 27,180 22,786 Total primary government change in net position 26,253$ 41,008$ 21,538$ 17,511$ 20,006$ 17,040$ 30,184$ (21,430)$ 31,743$ 40,685$ Page 3 of 3Schedule 2 (continued)City of Clearwater, FloridaChanges in Net PositionLast Ten Fiscal Years(accrual basis of accounting)142 2008200920102011201220132014201520162017Function/ProgramGovernmental activities: General government 21,640$ 21,681$ 21,512$ 21,533$ 20,418$ 19,920$ 22,728$ 23,668$ 23,030$ 23,432$ Public safety 12,784 13,284 12,309 12,631 13,753 13,551 14,192 13,201 15,439 14,778 Physical environment 695 304 360 344 327 326 447 1,311 986 1,538 Transportation 6,628 1,852 2,024 2,651 1,436 1,284 885 1,024 927 1,312 Economic environment 2,844 3,327 1,982 2,444 1,687 2,988 1,828 1,713 1,426 2,014 Human services - - - 211 180 147 - 350 333 368 Culture and recreation 9,317 9,424 7,625 8,506 7,789 7,915 9,973 9,948 9,862 11,297 Subtotal governmental activities 53,908 49,872 45,812 48,320 45,590 46,131 50,053 51,215 52,003 54,739 Business-type activities: Water and sewer utility 52,807 55,291 63,426 63,566 68,812 69,732 78,478 74,146 77,312 82,531 Gas utility 40,902 39,078 36,672 36,470 36,351 38,143 41,347 41,143 38,598 40,602 Solid waste utility 17,512 17,847 18,422 19,205 19,462 19,504 19,966 20,401 21,727 22,492 Stormwater utility 12,941 14,478 15,682 16,523 15,961 16,869 18,821 17,805 19,029 21,053 Recycling 3,493 2,310 2,779 3,218 2,764 2,536 2,453 2,261 2,473 2,629 Marine 4,810 4,031 4,064 4,387 4,259 4,334 4,658 4,357 4,055 4,447 Aviation 335 365 491 454 776 1,491 480 999 377 314 Parking system 4,266 5,157 4,364 4,677 4,890 4,994 5,159 6,215 6,704 7,027 Harborview Center 2,032 1,641 440 51 209 48 50 - - - Clearwater Harbor Marina - 50 2,402 391 518 696 670 714 767 799 Subtotal business-type activities 139,098 140,248 148,742 148,942 154,002 158,347 172,082 168,041 171,042 181,894 Total primary government 193,006$ 190,120$ 194,554$ 197,262$ 199,592$ 204,478$ 222,135$ 219,256$ 223,045$ 236,633$ Schedule 2aCity of Clearwater, FloridaProgram Revenues by Function/ProgramLast Ten Fiscal Years(accrual basis of accounting)143 2008200920102011a201220132014201520162017General Fund: Nonspendable -$ -$ -$ 24$ 25$ 37$ 33$ 40$ 59$ 62$ Restricted - - - - - - - - - - Committed - - - - - - - - - - Assigned - - - 856 1,043 588 894 447 352 232 Unassigned - - - 23,081 22,034 21,664 23,488 31,540 33,243 28,276 Reserved 3,500 3,168 1,164 - - - - - - - Unreserved 17,564 19,171 22,903 - - - - - - - Total General Fund 21,064$ 22,339$ 24,067$ 23,961$ 23,102$ 22,289$ 24,415$ 32,027$ 33,654$ 28,570$ All Other Governmental Funds: Nonspendable -$ -$ -$ 90$ 87$ 96$ -$ -$ -$ -$ Restricted - - - 61,991 65,645 60,493 56,043 53,900 52,936 58,681 Committed - - - 17,131 17,346 27,322 19,374 20,167 22,360 22,132 Assigned - - - 7,404 8,488 5,801 6,689 7,815 7,475 7,094 Unassigned - - - (1,921) (2,119) (3,917) (6,347) (2,553) - - Reserved 36,641 37,259 29,970 - - - - - - - Unreserved, reported in:- - - Special revenue funds 16,426 16,899 13,944 - - - - - - - Debt service funds 113 136 7,726 - - - - - - - Capital project funds 40,685 36,757 36,240 - - - - - - - Total all other governmental funds 93,865$ 91,051$ 87,880$ 84,695$ 89,447$ 89,795$ 75,759$ 79,329$ 82,771$ 87,907$ a GASB Statement No. 54 was implemented in 2011 and reflects the new fund balance classifications for 2011.The new classifications have not been restated for 2010 and prior.Schedule 3City of Clearwater, FloridaFund Balances of Governmental FundsLast Ten Fiscal Years(modified accrual basis of accounting)144 2008200920102011201220132014201520162017Total Governmental Funds: Property taxes 50,347$ 46,579$ 44,097$ 39,290$ 37,954$ 37,413$ 38,597$ 40,919$ 43,614$ 46,852$ Sales taxes 9,863 8,574 7,987 7,929 8,393 8,868 9,465 10,188 10,715 11,014 Utility taxes 11,533 12,020 13,574 13,229 12,735 13,473 14,309 14,094 14,518 14,835 Communications services taxes 6,747 6,966 6,107 5,852 5,871 5,470 5,061 4,919 4,618 4,512 Other taxes 3,669 4,167 3,613 3,561 3,308 3,556 3,554 3,519 2,194 3,459 Franchise fees 9,254 10,204 10,540 9,994 9,603 9,164 9,877 9,873 9,311 9,394 Licenses, permits, and fees 2,719 1,918 1,766 2,364 2,117 2,187 3,292 4,408 3,339 3,893 Intergovernmental revenues 31,473 27,972 25,400 26,693 25,750 26,842 26,354 27,573 28,293 30,236 Charges for services 14,895 14,933 14,803 14,081 14,682 14,484 15,574 15,830 16,536 17,304 Fines and forfeitures 1,298 1,478 1,101 1,638 985 1,808 1,480 1,638 2,116 1,727 Investment earnings 4,101 5,768 3,360 1,937 1,719 (668) a1,717 2,160 1,486 460 Miscellaneous 4,961 1,880 1,709 2,963 2,016 2,310 2,734 3,886 4,028 4,051 Total revenues 150,860 142,459 134,057 129,531 125,133 124,907 132,014 139,007 140,768 147,737 ExpendituresTotal Governmental Funds: Current: General government 14,170 13,633 15,676 15,042 12,764 12,520 14,391 13,159 12,917 16,277 Public safety 64,636 64,242 64,734 63,610 64,171 66,262 66,771 66,886 69,575 71,752 Physical environment 2,673 4,085 3,777 3,722 3,032 3,376 3,400 3,158 3,594 4,185 Transportation 9,950 7,768 9,128 8,536 8,332 7,522 7,787 9,925 9,554 9,626 Economic environment 4,213 3,166 3,089 2,773 2,470 3,256 2,544 3,993 3,473 4,826 Human services 437 405 100 180 182 104 137 223 525 466 Culture and recreation 30,317 27,114 25,883 25,198 27,028 26,567 27,557 28,339 31,279 33,868 Debt service: Principal 7,414 7,825 11,670 9,510 1,049 1,049 947 928 979 1,088 Interest & issuance costs 1,728 1,617 1,339 856 548 538 542 501 459 414 Capital outlay 21,970 22,312 10,145 9,165 8,860 13,318 16,098 12,132 12,062 13,015 Total expenditures 157,508 152,167 145,541 138,592 128,436 134,512 140,174 139,244 144,417 155,517 Excess (deficiency) of revenues over (under) expenditures (6,648) (9,708) (11,484) (9,061) (3,303) (9,605) (8,160) (237) (3,649) (7,780) Total Governmental Funds: Transfers in 42,481 38,956 52,481 34,908 31,373 35,813 34,453 39,386 32,824 45,413 Transfers out (39,023) (31,312) (42,440) (30,204) (24,491) (26,673) (25,819) (31,190) (25,074) (38,658) Long term debt issued 4,370 525 - 1,066 314 - - 82 968 1,077 Total other financing sources (uses) 7,828 8,169 10,041 5,770 7,196 9,140 8,634 8,278 8,718 7,832 Extraordinary Item:BP Oil settlement proceeds - - - - - - - 6,480 - - 1,180$ (1,539)$ (1,443)$ (3,291)$ 3,893$ (465)$ 474$ 14,521$ 5,069$ 52$ Debt service as a percentage of noncapital expenditures 6.8% 7.4%9.6% 8.2% 1.3% 1.3% 1.3% 1.1% 1.1% 1.1%Note: Fiscal years prior to 2015 are not restated for GASB-68.aThe decrease in 2013 investment earnings was due to a low interest rate environment along with an unrealized loss in market value at September 30, 2013.Schedule 4City of Clearwater, FloridaChanges in Fund Balances of Governmental FundsLast Ten Fiscal Years(modified accrual basis of accounting)Other Financing Sources (Uses)Net Change in Fund BalancesRevenues145 Less:Government Homestead Total Total Estimated Assessedand Assessment Less:Taxable Direct Actual Value as %Fiscal Residential Commercial Industrial Institutional Personal OtherCap Tax Exempt Assessed Tax Taxable of ActualYear Property Property Property Property Property Property DifferentialbProperty Value RatecValue Value2008 11,359,752$ 2,385,943$ 187,557$ 1,500,633$ 640,387$ 72,913$ 2,691,298$ 2,307,132$ 11,148,755$ 4.6777 13,116,182$ 85.0%2009 9,965,589 2,353,563 192,940 1,586,882 645,460 89,686 1,721,773 2,951,357 10,160,990 4.7254 11,954,106 85.0%2010 8,163,897 2,346,462 185,353 1,156,811 657,933 95,259 907,087 2,878,136 8,820,492 5.1550 10,377,049 85.0%2011 7,069,236 2,043,813 162,529 999,884 630,044 112,864 472,793 2,679,167 7,866,410 5.1550 9,254,600 85.0%2012 6,732,585 2,001,945 149,166 973,917 609,704 94,750 391,670 2,573,448 7,596,949 5.1550 8,937,587 85.0%2013 6,496,278 2,043,952 140,377 1,017,944 593,746 114,615 290,989 2,623,699 7,492,224 5.1550 8,814,381 85.0%2014 6,863,874 2,077,078 149,298 1,057,915 601,743 113,552 485,295 2,640,339 7,737,826 5.1550 9,103,325 85.0%2015 7,713,777 2,145,212 156,487 1,117,973 631,798 113,591 959,433 2,714,945 8,204,460 5.1550 9,652,306 85.0%2016 8,606,077 2,248,376 161,628 1,167,103 659,302 116,457 1,447,451 2,762,807 8,748,685 5.1550 10,292,571 85.0%2017 9,309,714 2,416,458 181,646 1,170,702 653,678 116,714 1,655,985 2,792,826 9,400,101 5.1550 11,058,942 85.0%a Properties are assessed at approximately 85% of market value to reflect cost of sales, personal property included in market value, etc.b Florida Statutes, 193.155, provides for an annual cap on assessment increases for "Homestead properties" (properties qualifying for Homestead exemption). The cap is the lower of 3% of the assessed value of the property or the percentage change in the Consumer Price Index for All Urban Consumers.c Rate is per $1,000 of assessed valueAssessed Value aSchedule 5City of Clearwater, FloridaAssessed Value and Estimated Actual Value of Taxable PropertyLast Ten Fiscal Years(in thousands of dollars)146 Fiscal Year Operating Total Direct Pinellas County Pinellas County Schools Pinellas Transit District Emergency Medical Services Other Districts Downtown Development Board a 2008 4.6777 4.6777 4.8730 7.7310 0.5601 0.5832 1.5121 0.9651 2009 4.7254 4.7254 4.8730 8.0610 0.5601 0.5832 1.5551 0.9651 2010 5.1550 5.1550 4.8730 8.3460 0.5601 0.5832 1.5106 0.9651 2011 5.1550 5.1550 4.8730 8.3400 0.5601 0.5832 1.4410 0.9651 2012 5.1550 5.1550 4.8730 8.3850 0.7305 0.8506 1.2390 0.9651 2013 5.1550 5.1550 5.0727 8.3020 0.7305 0.9158 1.3034 0.9651 2014 5.1550 5.1550 5.3377 8.0600 0.7305 0.9158 1.2959 0.9651 2015 5.1550 5.1550 5.3377 7.8410 0.7305 0.9158 1.2799 0.9651 2016 5.1550 5.1550 5.3377 7.7700 0.7305 0.9158 1.2629 0.9651 2017 5.1550 5.1550 5.3377 7.3180 0.7500 0.9158 1.2448 b 0.9651 Source: Pinellas County Tax Collector a A separate taxing district established by referendum which affects only downtown properties. b "Other" includes Pinellas County Planning Council 0.0150; Juvenile Welfare Board 0.8981; SW Florida Water Management District 0.3317 Schedule 6 City Direct Rates Overlapping Rates City of Clearwater, Florida Direct and Overlapping Property Tax Rates Last Ten Fiscal Years (rate per $1,000 of assessed value) 147 Fiscal Year Taxes Levied for the Fiscal Year Amount Percentage of Levy Collections in Subsequent Years Amount Percentage of Levy 2008 52,150,534$ 50,215,870$ 96.29% 254,422$ 50,470,292$ 96.78% 2009 48,014,740 46,405,161 96.65% 228,028 46,633,189 97.12% 2010 45,469,638 43,912,287 96.57% 166,601 44,078,888 96.94% 2011 40,551,363 39,163,100 96.58% 57,602 39,220,702 96.72% 2012 39,162,295 37,874,151 96.71% 60,685 37,934,836 96.87% 2013 38,622,438 37,298,959 96.57% 53,607 37,352,566 96.71% 2014 39,888,516 38,521,211 96.57% 46,712 38,567,923 96.69% 2015 42,294,009 40,832,366 96.54% 45,930 40,878,296 96.65% 2016 45,099,493 43,545,722 96.55% 23,196 43,568,918 96.61% 2017 48,457,539 46,762,216 96.50% - 46,762,216 96.50% Note 1:Discounts are allowed for early payment: 4% for November, 3% for December,2% for January, and 1% for February. No discount is allowed for payment in March. Penalties are assessed beginning in April. Note 2:Prior to fiscal year 2012, the Pinellas County Tax Collector did not allocate delinquent taxes collected by the original tax year levied. Consequently, all collections of delinquent taxes were applied to the immediately preceding tax year. Beginning with fiscal year 2012, the Tax Collector has allocated delinquent taxes collected by the original tax year levied. Schedule 7 Collected within the Fiscal Year of the Levy Total Collections to Date City of Clearwater, Florida Property Tax Levies and Collections Last Ten Fiscal Years 148 Taxpayer Taxable Assessed Value Rank Percentage of Total City Taxable Assessed Value Taxable Assessed Value Rank Percentage of Total City Taxable Assessed Value REAL PROPERTY BELLWETHER PROP FLA 160,850,000$ 1 1.80% $123,725,100 1 1.16% B W C W HOSPITALITY LLC 91,144,021 2 1.02% P E P F SOLARIS KEY LLC 67,000,000 3 0.75% JOHN S TAYLOR PROPERTIES LLC 64,562,743 4 0.72% 44,793,000 3 0.42% CLEARMAR LLC 62,400,000 5 0.70% GRAND RESERVE BORROWER LLC 51,400,000 6 0.57% SANDPEARL RESORT LLC 50,552,610 7 0.57% SAND KEY ASSOC LTD PARTNERSHIP 49,500,000 8 0.55% 38,600,000 5 0.36% CENTRO NP CLEARWATER MALL LLC 45,810,750 9 0.51% 45,686,200 2 0.43% ZOM BAYSIDE ARBORS LTD 44,443,925 10 0.51% 28,488,600 9 0.27% PARK ISLE CONDO DEV LLC 39,850,000 4 0.37% WEINGARTEN NOSTAT INC 32,333,000 6 0.30% W R I COUNTRYSIDE CENTRE LLC 32,000,000 7 0.30% UNITED DOMINION REALTY TRUST 30,775,000 8 0.29% DUFF ANDREW R TRUSTEE 25,200,000 10 0.24% Total 687,664,049$ 7.70% 441,450,900$ 4.14% Source: Pinellas County Property Appraiser Schedule 8a City of Clearwater, Florida Principal Real Property Taxpayers Current Year and Nine Years Ago 2017 2008 149 Taxpayer Taxable Assessed Value Rank Percentage of Total City Taxable Assessed Value Taxable Assessed Value Rank Percentage of Total City Taxable Assessed Value PERSONAL PROPERTY DUKE ENERGY FLORIDA (1) 97,033,148$ 1 21.45%$59,276,860 1 11.80% FRONTIER FLORIDA LLC (2) 22,076,599 2 4.88% 47,061,470 2 9.37% BRIGHT HOUSE NETWORKS LLC 16,644,930 3 3.68% 15,948,930 3 3.17% BAUSCH & LOMB INC 15,148,751 4 3.35% 9,153,670 4 1.82% INSTRUMENT TRANSFORMERS INC 10,834,248 5 2.39% 4,546,240 6 0.90% FLORIDA GAS TRANSMISSION 7,227,330 6 1.60% PUBLIS SUPER MARKET 7,098,894 7 1.57% OPAL SANDS RESORT 6,788,361 8 1.50% MONIN INC 6,749,021 9 1.49% WOW! INTERNET, CABLE & PHONE 6,598,480 10 1.46% GENERAL ELECTRIC CREDIT CO 4,629,900 5 0.92% MACY'S FLORIDA 3,686,380 7 0.73% SIEMENS FINANCIAL SERVICES 3,607,560 8 0.72% MARRIOTT SUITES CLEARWATER 3,126,200 9 0.62% SHERATON SAND KEY 3,101,290 10 0.62% Total 196,199,762$ 43.37% 154,138,500$ 30.67% Notes: (1) Duke Energy was Progress Energy in 2008. (2) Frontier Florida LLC was Verizon Florida, Inc. in 2008. Source: Pinellas County Property Appraiser Schedule 8b City of Clearwater, Florida Principal Personal Property Taxpayers Current Year and Nine Years Ago 2017 2008 150 Spring TrainingPublic Service Sales Tax Facility Water/Sewer Gas Stormwater Public Service Total PercentageFiscal Tax Revenue Revenue Intergovernmental Capital Revenue Revenue Revenue Tax Revenue Capital Primary of Personal PerYearBondsBondsRevenue BondsLeasesBondsBondsBondsBondsLeasesGovernmentIncome (a)Capita (a)2008 12,970$ 12,999$ 12,577$ 10,560$ 131,578$ 18,154$ 42,353$ 9,135$ 932$ 251,258$ 5.61% 2,279$ 2009 12,517 6,620 12,032 9,230 191,959 17,389 41,336 9,135 660 300,878 6.56% 2,738 2010 8,514 - 11,474 8,279 186,716 16,618 40,288 - 630 272,519 6.11% 2,531 2011 - - 10,896 8,722 182,887 15,826 39,200 - 808 258,339 6.01% 2,396 2012 - - 10,300 9,058 177,013 15,035 38,409 - 765 250,580 5.51% 2,322 2013 - - 9,686 8,249 170,934 14,367 37,498 - 512 241,246 5.02% 2,212 2014 - - 9,053 9,260 164,714 13,554 36,249 - 296 233,126 4.92% 2,132 2015 - - 8,397 14,033 159,642 12,566 34,791 - 279 229,708 4.77% 2,075 2016 - - 7,717 18,035 152,866 11,563 33,257 - 437 223,875 4.34% 1,992 2017 - - 7,014 21,241 150,862 10,555 31,680 - 1,141 222,493 * *Note: Details regarding the City's outstanding debt can be found in the notes to the financial statements.(a) See Schedule 14 for personal income and population data. These ratios are calculated using personal income from two fiscal years prior,as noted on Schedule 14.* Data not available.Schedule 9Business-Type ActivitiesGovernmental ActivitiesCity of Clearwater, FloridaRatios of Outstanding Debt by TypeLast Ten Fiscal Years(amounts in thousands, except per capita)151 Percentage of General Public Service Sales Tax Actual Taxable Fiscal Obligation Tax Revenue Revenue Value of Per Year Bonds Bonds Bonds Total Property (a) Capita (b) 2008 -$ 12,970$ 12,999$ 25,969$ 0.20% 236$ 2009 - 12,517 6,620 19,137 0.16% 174 2010 - 8,514 - 8,514 0.08% 79 2011 - - - - - - 2012 - - - - - - 2013 - - - - - - 2014 - - - - - - 2015 - - - - - - 2016 - - - - - - 2017 - - - - - - (a) See Schedule 5 for property value data. (b) Population data can be found in Schedule 14. Note: Details regarding the City's outstanding debt can be found in the notes to the financial statements. Schedule 10 General Bonded Debt Outstanding City of Clearwater, Florida Ratios of General Bonded Debt Outstanding Last Ten Fiscal Years (amounts in thousands, except per capita) 152 Estimated Estimated Share of Debt Percentage Overlapping Governmental Unit Outstanding Applicable a Debt Debt repaid with property taxes -$ n/a -$ Other debt Pinellas County Government Notes 9,019 13.8% 1,244 Pinellas County Government Capital Leases 438 13.8% 60 Pinellas County School District State Bonds b 6,045 13.8% 834 Pinellas County School District Capital Leases 7,008 13.8% 966 Subtotal, overlapping debt 3,104 City direct debt 28,255 Total direct and overlapping debt 31,359$ Sources: Assessed value data used to estimate applicable percentages provided by Pinellas County Property Appraiser. Debt outstanding data is provided by each respective governmental unit. Pinellas County Government debt is reported as of September 30, Pinellas County School Board debt is reported as of June 30. Note: Overlapping governments are those that coincide, at least in part, with the geographic boundaries of the city. This schedule estimates the portion of the outstanding debt of those overlapping governments that is borne by the residents and businesses of Clearwater. This process recognizes that, when considering the city's ability to issue and repay long-term debt, the entire debt burden borne by the residents and businesses should be taken into account. a The percentage of overlapping debt applicable is estimated using taxable assessed property values. Applicable percentages were estimated by determining the portion of another governmental unit's taxable assessed value that is within the City's boundaries and dividing it by each unit's total taxable assessed value. b The School District State Bonds are secured by a pledge of the District's portion of the State-assessed motor vehicle license tax. The State's full faith and credit is also pledged for the bonds. (amounts in thousands) Schedule 11 City of Clearwater, Florida Direct and Overlapping Governmental Activities Debt As of September 30, 2017 153 Total Net Debt Applicable Total Net Debt to Limit Fiscal Debt Applicable Legal as Percentage Year Limit to Limit Debt Margin of Debt Limit 2008 2,128,847$ 224,224$ 1,904,623$ 10.53% 2009 1,942,045 271,594 1,670,451 13.98% 2010 1,672,462 248,800 1,423,662 14.88% 2011 1,982,900 232,771 1,750,129 11.74% 2012 1,911,916 224,409 1,687,507 11.74% 2013 1,904,237 215,753 1,688,484 11.33% 2014 1,955,083 208,318 1,746,765 10.66% 2015 2,057,302 204,926 1,852,376 9.96% 2016 2,170,214 199,317 1,970,897 9.18% 2017 2,307,618 199,611 2,108,007 8.65% Legal Debt Margin Calculation for Fiscal Year 2017: Assessed valuation of non-exempt real estate 11,538,089$ Debt Limit (20% of assessed valuation per City Charter) 2,307,618 Debt applicable to limit: Revenue bonds 194,200$ Capital leases 22,382 Less: Amount set aside for repayment of bonded debt (16,971) 199,611 Legal debt margin 2,108,007$ Note: Per City Charter, the City's indebtedness, to include revenue, refunding, and improvement bonds shall not exceed 20 percent of the current assessed valuation of all real property located in the City. (amounts in thousands) Schedule 12 City of Clearwater, Florida Legal Debt Margin Information Last Ten Fiscal Years 154 Less: Net Fiscal Gross Operating Available Year Revenues Expenses Revenues Principal Interest Coverage 2008 9,863$ -$ 9,863$ 6,105$ 641$ 1.46 2009 8,574 - 8,574 6,355 397 1.27 2010 7,987 - 7,987 6,620 132 1.18 2011 - - - - - - 2012 - - - - - - 2013 - - - - - - 2014 - - - - - - 2015 - - - - - - 2016 - - - - - - 2017 - - - - - - 2008 1,107$ -$ 1,107$ 500$ 577$ 1.03 2009 1,104 - 1,104 515 561 1.03 2010 1,105 - 1,105 530 544 1.03 2011 1,099 - 1,099 550 526 1.02 2012 1,098 - 1,098 570 507 1.02 2013 1,084 - 1,084 590 485 1.01 2014 1,097 - 1,097 610 463 1.02 2015 1,100 - 1,100 635 439 1.02 2016 1,095 - 1,095 660 413 1.02 2017 1,090 1,090 685 380 1.02 Improvement Revenue Refunding Bonds (c) 2008 18,280$ -$ 18,280$ 330$ 450$ 23.44 2009 18,987 - 18,987 340 438 24.40 2010 19,680 - 19,680 355 425 25.23 2011 19,081 - 19,081 8,540 (d)291 2.16 2012 - - - - - - 2013 - - - - - - 2014 - - - - - - 2015 - - - - - - 2016 - - - - - - 2017 - - - - - - (a) Pledged revenues for the Infrastructure Sales Tax Revenue Bonds include the City's share of revenues derived by Pinellas County, Florida, from the levy and collection of a one-cent discretionary infrastructure sales surtax pursuant to Section 212.055(2), Florida Statutes, as amended. (b) Pledged revenues for the Spring Training Facility Revenue Bonds include payments received from the State of Florida pursuant to Section 212.20, Florida Statutes, and payments from Pinellas County, pursuant to an inter-local agreement dated December 1, 2000, along with related interest earnings. (c) Pledged revenues for the Improvement Revenue Refunding Bonds, issued October 2001, were public service taxes. Effective October 1, 2001, the Florida Legislature repealed the public service tax on communications and created a replacement communications services tax. Consequently the pledged revenues effective October 1, 2001, include both public service taxes and the new communications services taxes. (d) Principal payment in 2011 includes an additional principal payment in the amount of $8,170,000 on February 1, 2011 to redeem all outstanding principal as of that date. Debt Service Infrastructure Sales Tax Revenue Bonds (a) Spring Training Facility Revenue Bonds (b) Schedule 13 City of Clearwater, Florida Pledged-Revenue Coverage Last Ten Fiscal Years (amounts in thousands) Page 1 of 2 155 Less: Net Fiscal Gross Operating Available Maximum Year Revenues Expenses Revenues Principal Interest Coverage Coverage (a) Water & Sewer Utility Revenue Bonds 2008 54,014$ 38,325$ 15,689$ 7,080$ 3,817$ 1.44 2009 56,952 36,305 20,647 7,195 3,773 1.88 2010 58,220 37,358 20,862 4,685 9,310 1.49 2011 61,473 40,304 21,169 4,935 9,627 1.45 2012 63,743 38,479 25,264 5,190 8,008 1.91 2013 64,665 37,001 27,664 5,465 8,333 2.00 2014 68,601 44,732 23,869 5,680 8,099 1.73 2015 72,303 47,680 24,623 5,885 7,675 1.82 2016 76,164 42,131 34,033 6,375 7,260 2.50 2017 81,897 50,177 31,720 6,660 5,974 2.51 Gas Utility Revenue Bonds 2008 41,582$ 33,562$ 8,020$ 765$ 741$ 5.33 3.73 2009 39,992 26,813 13,179 770 730 8.79 6.13 2010 40,515 28,517 11,998 775 704 8.11 5.75 2011 37,021 25,934 11,087 795 678 7.53 5.16 2012 36,916 24,919 11,997 795 649 8.31 5.58 2013 37,922 27,159 10,763 825 502 8.11 5.01 2014 41,963 29,173 12,790 925 384 9.77 6.11 2015 41,961 30,407 11,554 980 358 8.64 5.52 2016 39,142 26,591 12,551 995 328 9.49 5.99 2017 40,773 27,927 12,846 1,000 297 9.90 6.13 Stormwater Utility Revenue Bonds 2008 13,270$ 7,038$ 6,232$ 1,015$ 1,845$ 2.18 2009 14,231 7,684 6,547 1,050 1,814 2.29 2010 15,283 6,766 8,517 1,080 1,782 2.98 2011 15,656 7,917 7,739 1,120 1,741 2.70 2012 16,355 8,480 7,875 1,155 1,712 2.75 2013 16,230 8,217 8,013 1,100 1,421 3.18 2014 17,256 12,553 4,703 1,300 1,186 1.89 2015 18,123 11,529 6,594 1,375 1,084 2.68 2016 18,360 9,537 8,823 1,455 1,079 3.48 2017 18,685 9,042 9,643 1,500 1,039 3.80 (a) Maximum debt service coverage is presented for continuing disclosure on the Gas System Debt Service Revenue Bonds and is based upon the maximum annual debt service for outstanding bonds and parity bonds. Schedule 13 (continued) City of Clearwater, Florida Pledged-Revenue Coverage Last Ten Fiscal Years (a) (amounts in thousands) Page 2 of 2 156 Year Population (a) Personal Income (thousands of dollars) Per Capita Personal Income (b) Median Age (c) School Enrollment (d) Annual Average Unemployment Rate (e) 2008 110,251 4,477,734$ 40,614$ 44.5 15,482 5.5% 2009 109,907 4,587,628 41,741 45.0 14,975 10.1% 2010 107,685 4,456,867 41,388 45.3 14,704 12.4% 2011 107,805 4,300,665 39,893 46.3 14,375 10.9% 2012 107,906 4,546,727 42,136 46.5 14,210 8.7% 2013 109,065 4,807,367 44,078 46.8 14,010 6.7% 2014 109,340 4,738,358 43,336 47.0 14,160 6.2% 2015 110,679 4,812,987 43,486 47.5 14,132 5.0% 2016 112,387 5,163,171 45,941 47.8 14,000 4.8% 2017 113,723 * * 48.0 13,652 3.3% (a) (b) (c) (d) (e) Note: * Data not available. Data is for Pinellas County for prior year. Source is the University of Florida, Bureau of Economic and Business Research. Source of data is the Pinellas County School District. Source for fiscal years 2008 to 2009 is the University of Florida, Bureau of Economic and Business Research, Florida Statistical Abstract, Annual Averages of the indicated fiscal year. Source for fiscal 2010 to 2017 is the US Dept of Labor, Bureau of Labor Statistics, Tampa Metro Area as of September 30. Data is the latest published annual data available for an unspecified point in each year, not specifically September 30. Schedule 14 City of Clearwater, Florida Demographic and Economic Statistics Last Ten Fiscal Years Source is the University of Florida, Bureau of Economic and Business Research Data is from per capita personal income for Pinellas County for two years prior. Source is the University of Florida, Bureau of Economic and Business Research. 157 Employer Employees Rank Percentage of Total County Employment Employees Rank Percentage of Total County Employment Pinellas County School District 15,000 1 3.09% 13,905 1 3.17% Bay Pines VA Medical Center 4,600 2 0.95% 2,330 9 0.53% Raymond James 4,200 3 0.86% 3,022 6 0.69% City of St. Petersburg 3,314 4 0.68% 3,500 4 0.80% All Children's Hospital 3,307 5 0.68% Pinellas County Sheriff 2,700 6 0.56% St. Petersburg College 2,600 7 0.54% Morton Plant Hospital 2,432 8 0.50% 2,448 8 0.56% Home Shopping Network 2,420 9 0.50% 4,000 3 0.91% Mease Hospital Inc Trustees 2,304 10 0.47% Pinellas County Government 6,792 2 1.55% Nielson Media Research 2,669 7 0.61% Raytheon 2,200 10 0.50% Times Publishing Corp.3,187 5 0.73% Total Employment b 485,802 438,807 a Data is for Pinellas County. City data is not available. b Source: Florida Research and Economic Database and Pinellas County Department of Economic Development. 2017 b 2008 Schedule 15 City of Clearwater, Florida Principal Employersa Current Year and Nine Years Ago 158 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 Function/Program General government 327.3 321.6 346.6 326.6 317.5 317.0 312.1 312.0 312.2 323.1 Public safety: Fire 212.0 212.0 211.0 205.0 201.0 201.0 201.0 201.0 201.0 204.0 Police 393.9 389.9 370.9 348.5 344.2 343.5 345.5 345.0 352.7 357.7 Physical environment 34.0 33.5 28.5 27.5 17.5 17.0 17.0 17.0 17.0 18.0 Transportation 69.0 67.5 57.5 53.5 37.5 38.0 38.0 38.0 38.0 38.0 Economic environment 64.5 62.5 11.0 11.0 9.0 9.0 10.0 10.0 12.0 10.4 Human services 3.0 2.0 - - - - - - - - Culture and recreation: Library 88.4 78.3 73.2 73.2 73.6 73.6 73.6 74.4 81.4 82.3 Parks & Rec 221.8 203.7 191.1 184.1 197.7 197.2 199.2 200.9 204.4 211.4 Water & Sewer Utility 168.0 169.0 164.0 166.0 167.0 167.0 176.0 184.0 187.0 188.0 Gas Utility 90.0 84.0 77.0 77.0 79.0 83.0 83.0 87.0 92.0 104.0 Solid Waste Utility 112.0 112.0 112.0 112.0 112.2 112.2 111.5 111.5 111.5 111.5 Stormwater Utility 46.0 47.0 46.0 47.0 48.0 50.0 49.0 49.0 52.0 52.0 Recycling 22.5 22.3 22.3 22.3 22.3 22.3 22.0 22.0 22.0 22.0 Marine 18.6 18.8 17.1 16.1 17.1 17.1 17.1 17.1 17.9 18.5 Clearwater Harbor Marina - - 5.6 5.6 5.6 5.6 5.6 5.6 6.7 6.7 Aviation 1.9 1.7 1.4 1.4 1.4 1.4 1.4 1.4 1.4 1.4 Parking System 20.7 20.7 31.6 31.6 30.8 30.6 33.7 33.7 35.8 41.3 Total 1,893.6 1,846.5 1,766.8 1,708.4 1,681.4 1,685.5 1,695.7 1,709.6 1,745.0 1,790.3 Source: City of Clearwater Office of Management and Budget Schedule 16 City of Clearwater, Florida Full-time Equivalent City Government Employees by Function/Program Last Ten Fiscal Years 159 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017Function/ProgramGeneral government: Planning Commercial building permits issued 1,639 1,349 1,365 1,400 1,803 2,065 1,988 1,854 1,706 1,757 Residential building permits issued 4,773 4,273 4,794 5,102 4,941 4,985 5,756 6,546 6,987 9,134 Public safety: Police Average officer training hours 78 83 51 75 83 83 85 120 115 150Total volunteer training hours 1,001 735 39 355 385 412 286 246 1034 58 Fire Percentage of fire responses under 7.5 minutes 92% 96% 90% 92% 95% 91% 93% 93% 91% 89%Physical environment Square feet of sidewalks repaired/constructed 64,201 47,076 53,157 45,169 45,416 28,036 23,651 35,611 36,694 48,075 Transportation Miles of roadway resurfaced 10 10 5 8 8 0 8 15 15 6Economic environment Code enforcement cases brought to compliance 9,300 8,553 6,029 4,346 4,664 4,905 4,431 4,458 4,736 4,771 Human services City employees that mentor in area schools 24 20 22 18 20 21 6 5 16 13Culture and recreation: Library system Library visits 976,987 864,350 860,044 833,036 820,000 836,919 600,148 636,006 562,387 522,014 Circulation 1,181,184 1,161,059 1,147,428 1,087,976 1,058,038 1,099,988 1,019,984 987,430 869,469 891,597 Parks and recreation Recreation center visitations 1,050,782 868,445 724,769 759,807 738,577 719,393 517,378 696,094 714,657 689,750 Athletic program visitations 643,995 546,446 547,492 515,665 541,433 1,108,644 989,570 1,066,767 1,093,090 1,104,126 Water and Sewer Utility:Water customers 40,131 39,935 39,971 41,391 41,988 43,500 43,704 44,236 44,743 45,275 Volume of water pumped (million gallons/day) 11.92 11.52 10.76 11.32 10.90 11.00 12.10 12.10 11.70 11.90 Sewer customers 33,146 33,084 33,041 33,063 33,093 33,405 33,564 33,390 33,763 33,947 Miles of sewers cleaned 89 176 208 215 230 229 197 172 160 251 Gas Utility:Number of customers 19,527 19,527 19,581 19,807 20,029 20,313 20,719 21,049 21,566 22,532 Solid Waste Utility:Solid waste tonnage collected and disposed 123,018 112,851 110,905 112,936 114,317 116,830 113,218 117,214 124,917 123,425 Stormwater Utility:Number of equivalent residential units 97,986 98,436 99,536 100,125 100,461 98,195 100,629 101,663 102,798 103,742 Recycling Utility:Marketable tons recycled 14,006 12,114 9,564 9,250 8,605 8,143 11,716 12,079 13,467 13,438 * Note: No operating indicators are available for marine, aviation, parking and Clearwater Harbor Marina functions.City of Clearwater, FloridaOperating Indicators by Function/ProgramLast Ten Fiscal YearsSchedule 17160 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 Function/Program Public safety Fire Stations 8 8 8 8 8 8888 8 Police Stations 9 6 5 6 6 6677 7 Transportation Paved streets (miles) 305 313 314 315 316 316 320 321 322 322 Culture and recreation Library system Volumes in collection (thousands) 601 606 606 601 598 581 582 564 519 528 Parks and recreation Parks acreage 1400 1400 1427 1427 1427 1427 1453 1455 1457 1457 Recreational paths (miles) 16 16 16 16 16 16 18 22 22 22 Playgrounds 29 29 29 27 27 27 27 27 27 26 Baseball and softball fields 32 32 32 32 32 34 32 32 32 32 Soccer and football fields 20 20 20 20 20 18 20 20 20 21 Recreation centers 7 7 6 5 5 5555 5 Water & Sewer Utility Water mains (miles) 575 593 592 592 591 590 597 589 588 585 Sanitary sewer mains (miles) 362 362 363 363 363 363 364 364 369 370 Daily treatment capacity (millions of gallons)29 29 29 29 29 29 29 29 29 29 Gas Utility Gas mains (miles) 814 821 826 830 843 849 862 884 908 930 Stormwater Utility Stormwater mains (miles) 146 148 148 148 150 150 151 153 154 154 Marine Boat slips 209 207 207 207 203 189 189 189 189 189 Clearwater Harbor Marina Boat slips 0 0 126 126 126 126 126 126 126 126 Aviation Airpark spaces 177 177 177 177 177 177 177 177 177 177 Parking system Parking spaces 3382 3497 3297 2475 a 2460 2319 2232 2312 2302 2345 a The decrease in parking spaces for fiscal 2011 was loss of Sand Key Park and a management decision to not charge for certain lots. Sources: Various city departments Note: No capital asset indicators are available for the general government, physical environment, economic environment, human services, solid waste and recycling functions. Schedule 18 City of Clearwater, Florida Capital Asset Statistics by Function/Program Last Ten Fiscal Years 161 162 This Page Intentionally Left Blank 163 Other Information 164 Page 1 of 5 City of Clearwater, Florida Continuing Disclosure – Gas System Revenue Bonds Series 2013 and 2014 The System: Rates, Fees and Charges The City Council has established a schedule of rates and charges by ordinance, which includes a purchased gas cost adjustment provision allowing the City to pass-through to customers any increase or decrease in the purchased price of gas. The City is not subject to regulation by any State agency in establishing or revising its rates. Where competitive fuel sources or transportation service are available to the customer, the City Council has authorized the City Manager to enter into contract gas service rates at special rates and/or conditions as required to obtain/retain the customer load. Such contract service must meet the normal construction feasibility formula to insure profitable payback to the City. For the fiscal year ending September 30, 2017, contract rates applied to an average of 166 customer accounts per month and impacted 6.8% of total revenues. The rates charged by the System through September 30, 1996, were part of the Phase I Gas Rate Case implemented October 1, 1995, which was based on a comprehensive cost of service study performed by the Utility Advisory Services Group of the international accounting firm of Coopers & Lybrand, LLP (the “Rate Study”). This Phase I implementation resulted in an extensive overhaul of the Gas System customer rates, providing numerous classes of service and a modernized billing methodology. The new rates, effective October 1, 1996, were designed to be industry-based and responsive to the competitive energy challenges. The goal of the Rate Study was to establish rates which would be fair to all classes of customers, provide funding to implement planned expansion in both existing northern Pinellas County services area and into the newly acquired southwestern Pasco service area, and provide an adequate growth potential in return to the City of Clearwater to further offset the ad valorem tax rates (current impact is about 0.5 mills). As the result of experiences during the first seven months of the Phase I implementation, adjustments made to the Phase II rates were implemented October 1, 1996, and additional adjustments (Phase III) were implemented effective October 1, 1997. The total projected impact of both new phases of the rate case was $1.05 million, or less than 7.9% of total gas sales revenues. The rate ordinance containing the Phase II and Phase III rate changes was approved by the City Council on June 6, 1996. Gas rates for customer charges were increased effective April 1, 2005. The total estimated annual impact of this rate increase was $373,352. New rates, effective October 1, 2008, were designed to recover the costs of providing service to respective classes of customers. The goal of the “Cost of Service and Rate Study” was to establish rates which would be sufficient to meet Clearwater Gas System’s total revenue requirements and reflect cost of service consideration and practical rate implementation constraints as required. CLEARWATER GAS SYSTEMNATURAL GAS RATE BILLING FACTORSFOR JUNE 1, 2017 - SEPTEMBER 30, 2017 BASED ON APPROVED GAS ADJUSTMENT FACTORSInterr. Contract Contract Firm Natural Gas Rate Schedules NG RateNG RateNG Rate RS SMF MMF LMF SGS MGS LGS RAC GAC LAC SL SL w/M& NGV NSS IS CNS CNS Relight(Non-Resl) (Non-Resl)Applicable Annual Therm Range NA (1 - NA (4 + NA (4 + NA (4 + 0 - 18,000- 100,000 NA (1 - NA (0 - NA (150 NA NA NA NA 100,000 NA NA or Other Rate Determinant 3 Units) Units) Units) Units) 17,999 99,999 & up 3 Units) 149 tons) tons & +)& upMonthly Customer Charge $12.00 $25.00 $40.00 $95.00 $25.00 $40.00 $95.00 $12.00 $25.00 $40.00 $20.00 $20.00 By Contract $50.00 $250.00 By Contract By Contract(For Central Pasco Territory) ($20.00) ($40.00) ($70.00) ($160.00) ($40.00) ($70.00) ($160.00) ($20.00) ($40.00) ($70.00) ($30.00) ($30.00) (By Contract) ($75.00) $400.00 (By Contract) (By Contract)if not prev. if not prev. if not prev.Non-Fuel Energy Charge/Thermbilled billed billedNon-Fuel Energy Charge $0.44 $0.44 $0.44 $0.44 $0.42 $0.38 $0.34 $0.20 $0.15 $0.10 $0.20 $0.35 By Contract $0.42 $0.24 By Contract By ContractEnergy Conservation Adj. (ECA) 0.20 0.20 0.20 0.20 0.20 0.20 0.20 NA NA NANA NA NA NA NANA NARegulatory Imposition Adj. (RIA) 0.14 0.14 0.14 0.14 0.14 0.14 0.14 NA NANANA NA NA NA NANA NAUsage & Inflation Adj. (UIA)0.030.030.030.030.050.050.05NANANANANANANANANANATotal Non-Fuel Energy Charge$0.81 $0.81 $0.81 $0.81 $0.81 $0.77 $0.73 $0.20 $0.15 $0.10 $0.20 $0.35By Contract$0.42 $0.24By Contract By ContractPurchased Gas Adjustment (PGA)0.890.890.890.890.890.890.890.890.890.890.890.890.800.890.800.800.80Total Energy Charge/Therm1.70 1.70 1.70 1.70 1.70 1.66 1.62 1.09 1.04 0.99 1.09 1.24 0.80 1.31 1.04 0.800.80+ Non-Fuel + Non-Fuel+ Non-FuelMinimum Monthly Bill $12.00 $25.00 $40.00 $95.00 $25.00 $40.00 $95.00 $12.00 $25.00 $40.00 $20.00 $20.00 By Contract $50.00 $250.00 Customer Customer(For Central Pasco Territory) ($20.00) ($40.00) ($70.00) ($160.00) ($40.00) ($70.00) ($160.00) ($20.00) ($40.00) ($70.00) ($30.00) ($30.00) (By Contract) ($75.00) $400.00 Charge + Charge +@ premise @ premise @ premise + FAC + FAC + FAC + FAC + Non-Fuel ThermNon-Fuel Therm Non-Fuel ThermRate for Contract Rate for Contract Rate for Contract# of Therms # of Therms # of ThermsCompares to LP/Gallon Rate of 1.56$ 1.56$ 1.56$ 1.56$ 1.56$ 1.52$ 1.48$ 1.00$ 0.95$ 0.91$ 1.00$ 1.13$ 0.73$ 1.20$ 0.95$ with 6.0% Franchise 1.65$ 1.65$ 1.65$ 1.65$ 1.65$ 1.61$ 1.57$ 1.06$ 1.01$ 0.96$ 1.06$ 1.20$ 0.78$ 1.27$ 1.01$ Change from 9/2014 Therm Rate (0.05)$ (0.05)$ (0.05)$ (0.05)$ (0.01)$ 0.01$ 0.03$ (0.05)$ (0.05)$ (0.05)$ (0.05)$ (0.05)$ (0.05)$ (0.09)$ (0.09)$ (0.05)$ -$0.32% Change from 9/2014 Therm Rate -2.2% -2.2% -2.2% -2.2% -0.5% 0.5% 1.5% -2.7% -2.7% -2.8% -2.7% -2.5% -2.8% -4.2% -5.2% -3.4% -21.9%Utility Tax Note:Fuel Rate per Therm 10/01/1973 $0.069 $0.069 $0.069 $0.069 $0.069 $0.069 $0.069 $0.069 $0.069 $0.069 $0.069 $0.069 $0.069 $0.069 $0.055 $0.069$0.069Non-Utility Taxable Fuel/Therm $0.821 $0.821 $0.821 $0.821 $0.821 $0.821 $0.821 $0.821 $0.821 $0.821 $0.821 $0.821 $0.731 $0.821 $0.745 $0.731$0.731BTU FACTOR = THERMS/100 CUBIC FEET (CCF) 10/201611/201612/201601/201702/201703/201704/201705/201706/201707/201708/201709/2017FY 16/17 Avg.Firm Service Rates 1.047 1.050 1.044 1.045 1.046 1.044 1.045 1.045 1.0431.044 1.038 1.0451.045Interruptible Service Rates 1.027 1.030 1.024 1.025 1.025 1.024 1.024 1.024 1.023 1.024 1.017 1.0241.024City of Clearwater, Florida Continuing Disclosure - Gas System Revenue Bonds Page 2 of 5 Series 2013 and 2014__________________________________________________________ 165 Page 3 of 5 Table 1 Breakdown of Transportation Capacity Phase II (FTS-1) Phase III (FTS-2) Total MMBtu Per Day MMBtu Per Day MMBtu Contract Period 2/01/17 - 1/31/27 12/9/91 - 2/28/25 Per Day October 170,438 41,788 212,226 Nov-Mar 1,543,069 268,931 1,812,000 April 216,570 53,430 270,000 May-Sept 711,756 206,244 918,000 Total Annual 2,641,833 570,393 3,212,226 The two natural gas transmission companies that serve within the State of Florida are Florida Gas Transmission (FGT) and Gulfstream. Currently FGT is the sole provider of transportation service to the City. FGT is owned by Citrus Corp. Citrus Corp is owned 50% by Energy Transfer Partners, LLC AND 50% by Kinder Morgan, Inc. FGT is operated by Panhandle Energy, a subsidiary of Energy Transfer Partners. The City joined Florida Gas Utility (FGU) in October 2000 by Resolution 00-35. FGU is responsible for the purchase & management of the City's natural gas supply. An updated All Requirements Gas Service Agreement, which was approved by Resolution 02-02 in January 2002, required the City to purchase 100% of its supply through FGU. FGU was formed through an Interlocal Agreement among its members. The Interlocal Agreement became effective on September 1, 1989 and consisted of five municipal utilities. Over the next several years, additional electric and gas distribution utilities joined FGU, bringing its current membership to 23. In addition, the City has entered into a Gas Supply & Transportation Agreement with Peoples Gas System (PGS), dated 12/02/04, to purchase natural gas to serve customers located in our Central Pasco territory, generally east of the Suncoast Parkway in Pasco County. The City received a letter from FGU Council, dated 8/31/04, granting the City permission to utilize TECO Peoples Gas as a third party gas supplier since FGU is unable and unwilling to provide gas to the City within the meaning of the provisions of Section 3 (a)(i) and (ii) of the All Requirements Gas Service Agreement between the City and FGU. The City has two Firm Transportation Service agreements (FTS-1 & FTS-2) with FGT in order to deliver natural gas to the City's four gate stations. FGU is currently managing the City's Phase II (FTS-1) and Phase III (FTS-2) transportation capacity on a daily basis. Table 1 shows the breakdown of the City's annual gas supply entitlements with FGT. The total annual entitlement is 3,212,226 decatherms of natural gas transportation. City of Clearwater, Florida Continuing Disclosure - Gas System Revenue Bonds Series 2013 and 2014 GAS SUPPLY On August 1, 1990, the Federal Energy Regulatory Commission (FERC) deregulated the natural gas pipeline industry. This allows other natural gas suppliers and local distribution companies, like the City of Clearwater, to transport gas over the Florida Gas Transmission (FGT) pipelines as opposed to purchasing natural gas supply from only FGT. 166 167 Page 4 of 5 City of Clearwater, Florida Continuing Disclosure – Gas System Revenue Bonds Series 2013 and 2014 Service Area The Clearwater Gas System (CGS) is owned and operated as an enterprise utility by the City of Clearwater. CGS operates over 930 miles of underground gas main and handles the supply and distribution of both natural and propane (LP) gas throughout northern Pinellas County and western Pasco County. As a “full service” gas utility, CGS provides gas appliance sales, installation of inside customer gas piping, domestic and commercial gas equipment service, construction and maintenance of underground gas mains and service lines, and 24-hour response to any gas emergency within the service area. The Florida Public Service Commission and the Federal Department of Transportation regulate CGS for safety. CGS has been serving customers in the Clearwater area for over 94 years (since 1923) when operations began with a manufactured gas plant operation from coal and coke. In 1959, when natural gas transmission lines were finally extended to the Florida peninsula, CGS discontinued manufacturing gas and began receiving piped natural gas from Florida Gas Transmission. Clearwater Gas System serves over 22,532 customers in a 330 square mile service territory, which includes 20 municipalities as well as the unincorporated areas of northern Pinellas County and western Pasco County. The Pinellas County service territory is 158 square miles and extends generally from Ulmerton and Walsingham Roads on the south to the Pasco County line on the north and from the Gulf of Mexico on the West to the Hillsborough County line on the east. This includes all of the Pinellas beach communities south to Redington Beach. The Pasco County service territory is 172 square miles and extends from the Gulf of Mexico on the West inland about 20 miles to just east of State Road 41 and Land O’ Lakes and from the Pinellas and Hillsborough County lines on the South to generally State Road 52 on the north. The CGS service territory extends 42.3 miles from the southwestern-most to the northwestern-most points. Clearwater Gas System prides itself in being a competitive and public service-minded utility, providing safe, economical and environmentally-friendly gas, which is made in America, available in our communities for all of the homes and businesses in our service area, with special focus on the residential customers who make up 89% of our customer base. Page 5 of 5 City of Clearwater, Florida Continuing Disclosure - Gas System Revenue Bonds Series 2013 and 2014 As of September 30, 2017 the System's active natural gas customers were located as shown in the following table: Location Meters Percentage Belleair 472 2.23% Belleair Beach 228 1.08% Belleair Bluffs 36 0.17% Belleair Shores 33 0.16% Clearwater 6,979 32.99% Dunedin 1,260 5.96% Indian Rocks Beach 125 0.59% Indian Shores 117 0.55% Largo 1,090 5.15% New Port Richey 74 0.35% North Redington Beach 61 0.29% Oldsmar 137 0.65% Port Richey 16 0.08% Redington Beach 162 0.77% Redington Shores 88 0.42% Safety Harbor 658 3.11% Tarpon Springs 1,594 7.54% Unincorporated Areas Pasco 3,701 17.50% Central Pasco 1,253 5.93% Unincorporated Areas Pinellas 3,062 14.48% Total 21,146 100.00% The following table shows the five largest interruptible customers by peak monthly consumption and the percent of the System's revenues derived from such customers during the 12 months ending September 30, 2017: Peak Monthly % of Gross Customer Name Therms Revenues New Port Richey Hospital, Inc. 68,975.3 2.15% Metal Industries 126,972.9 2.13% Morton Plant Hospital 103,316.9 2.12% Ajax Paving Industries 130,992.1 2.03% Mease Hospital 77,460.3 1.57% The following table shows the breakdown of the System's customers by category as well as the volume of gas sold and the sales revenues generated by each category for the year ended September 30, 2017: Average No. Gas Gas Customers Volume Sales Interruptible (including Gas Station) 19 31.14% 16.08% Residential 18,755 13.86% 23.64% Commercial (excluding Gas Station) 2,372 54.99% 60.27% Therms Revenues Interruptible (including Gas Station) 7,551,145.6 5,395,033$ Residential 3,361,242.4 7,930,444 Commercial (excluding Gas Station) 13,333,875.2 20,216,920 Totals 24,246,263.2 33,542,397$ 168 169 Page 1 of 3 City of Clearwater, Florida Continuing Disclosure – Water and Sewer Revenue Refunding Bonds Series 2003, 2009B, 2011, 2014, 2017 and 2017B; and Revenue Bonds Series 2009A Historical Financial Information Water System: Source and Volume of Water Pumped (in million gallons per day, averaged over the fiscal year) FY City Wells County Total 2013 5.4 5.6 11.0 2014 5.2 6.9 12.1 2015 7.0 5.1 12.1 2016 8.0 3.7 11.7 2017 6.8 5.1 11.9 Historical Growth in Number of Water Customers (all figures are as of September of the year indicated) Potable Reclaimed Total Water Water Water Service Service Service FY Customers Customers Customers 2013 36,547 6,953 43,500 2014 36,651 7,053 43,704 2015 37,018 7,218 44,236 2016 37,302 7,441 44,743 2017 37,598 7,677 45,275 Ten Largest Water Customers Fiscal Year Ending September 30, 2017 Water Used Revenues Name of User (in 100 Cubic Feet) Produced 1. CITY OF CLEARWATER 87,106 1,056,013$ 2. CHURCH OF SCIENTOLOGY 129,760 869,704 3. MORTON PLANT HOSPITAL 71,223 581,325 4. PINELLAS COUNTY SCHOOLS 40,441 408,971 5. PINELLAS COUNTY GOVERNMENT 16,899 253,600 6. SANDPEARL RESORT LLC 35,087 233,326 7. CF PARK PLACE GARDENS LLC 31,646 200,333 8. CP CLEARWATER LLC (HILTON) 31,952 179,822 9. CLEARWATER HOUSING AUTHORITY 27,357 172,933 10. SHERATON SAND KEY 30,110 161,454 501,581 4,117,481$ Reclaimed Water System: Average Daily Flow Year MGD 2013 5.0 2014 5.3 2015 4.7 2016 5.2 2017 6.4 170 Page 2 of 3 City of Clearwater, Florida Continuing Disclosure – Water and Sewer Revenue Refunding Bonds Series 2003, 2009B, 2011, 2014, 2017 and 2017B; and Revenue Bonds Series 2009A Sewer System: Average Sewage Flow and Historical Growth in Number of Sewer Customers (as of September of the year indicated) Sewer Year Flow in MGD Customers 2013 13.2 32,649 2014 12.3 32,815 2015 13.8 33,390 2016 13.5 33,763 2017 12.5 33,947 Ten Largest Sewer Customers Fiscal Year Ending September 30, 2017 Sewer Used Revenues Name of User (in 100 Cubic Feet) Produced 1. CHURCH OF SCIENTOLOGY FSO INC 94,970 685,178$ 2. CITY OF CLEARWATER 40,602 670,882 3. MORTON PLANT HOSPITAL 66,884 639,329 4. PINELLAS COUNTY SCHOOLS 39,224 517,232 5. SANDPEARL RESORT LLC 35,087 242,765 6. CF PARK PLACE GARDENS LLC 31,646 231,153 7. CP CLEARWATER LLC (HILTON) 31,780 224,769 8. CLEARWATER HOUSING AUTHORITY 27,117 218,900 9. SHERATON SAND KEY 30,110 215,643 10. PINELLAS COUNTY GOVERNMENT 9,088 212,814 406,508 3,858,665$ Rates, Fees and Charges The City uses a three-tiered rate structure for water and sewer usage. The base rate for water includes a minimum usage for residential and nonresidential water rates. Any usage over the minimum is billed at one rate per 1,000 gallons up to a designated level and at a second rate for usage over that level. For irrigation, there is a base rate, with no usage allowance, and a charge per 1,000 gallons of water usage up to a designated level and a higher charge for usage over that amount. The sewer base rate includes a minimum usage and a fixed charge per 1,000 gallons of water usage over the basic allowance. The minimum usage and second and third tier usage levels vary with the size of the meters. For fiscal year 2017 there were no changes to the three- tiered rate structure for water or sewer usage. 171 Page 3 of 3 City of Clearwater, Florida Continuing Disclosure – Water and Sewer Revenue Refunding Bonds Series 2003, 2009B, 2011, 2014, 2017 and 2017B; and Revenue Bonds Series 2009A Residential and October 1, October 1, October 1, October 1, October 1, Nonresidential Water Rates 2013 2014 2015 2016 2017 Minimum - Under 1 inch 17.80$ 18.60$ 19.44$ 20.16$ 20.91$ 1 inch 41.54 43.41 45.36 47.04 48.79 1.5 inch 593.40 620.10 648.00 672.00 697.00 2 inch 1,382.64 1,444.86 1,509.88 1,565.76 1,624.01 3 or 2 inch manifold 2,130.34 2,226.21 2,326.39 2,412.48 2,502.23 4 inch 4,100.43 4,284.95 4,477.77 4,643.52 4,816.27 6 inch 10,532.96 11,006.94 11,502.25 11,928.00 12,371.75 8 inch 17,802.19 18,603.29 19,440.44 20,160.00 20,910.00 Additional charges are assessed for usage in excess of designated minimums. Size of Meter Rates for Irrigation October 1, October 1, October 1, October 1, October 1, (Lawn) Meters 2013 2014 2015 2016 2017 Minimum - Under 1 inch 6.34$ 6.63$ 6.93$ 7.19$ 7.46$ 1 inch 19.04 19.90 20.80 21.58 22.39 1.5 inch 95.30 99.59 104.07 107.97 112.02 2 inch 266.83 278.84 291.39 302.32 313.65 3 or 2 inch manifold 527.30 551.03 575.83 597.42 619.83 4 inch 1,016.50 1,062.24 1,110.04 1,151.67 1,194.85 6 inch 3,068.56 3,206.65 3,350.95 3,476.61 3,606.98 Size of Meter October 1, October 1, October 1, October 1, October 1, Sewer Rates 2013 2014 2015 2016 2017 Minimum - Under 1 inch 24.51$ 25.62$ 26.76$ 27.75$ 28.80$ 1 inch 57.19 59.78 62.44 64.75 67.20 1.5 inch 817.00 854.00 892.00 925.00 960.00 2 inch 1,903.61 1,989.82 2,078.36 2,155.25 2,236.80 3 or 2 inch manifold 2,933.03 3,065.86 3,202.28 3,320.75 3,446.40 4 inch 5,645.47 5,901.14 6,163.72 6,391.75 6,633.60 6 inch 14,501.75 15,158.50 15,833.00 16,418.75 17,040.00 8 inch 24,510.00 25,620.00 26,760.00 27,750.00 28,800.00 Per 1,000 gallons of water used over the allowed minimum 8.17 8.54 8.92 9.25 9.60 Size of Meter Additional Indebtedness No additional indebtedness was incurred for capital improvements to the water and sewer systems. Additional indebtedness in the amount of $154,800 was incurred for the lease purchase of capital equipment. 172 Page 1 of 1 City of Clearwater, Florida Continuing Disclosure – Stormwater System Revenue Refunding Bonds Series 2012, 2013 and 2014 Rates, Fees, and Charges The City uses a measurement of one equivalent residential unit or ERU as the basis for the stormwater management utility fee. The rates per ERU from the inception of the utility are as follows: Effective Date Rate per ERU Effective Date Rate per ERU January 1, 1991 $3.00 October 1, 2008 $11.14 October 1, 1998 4.00 October 1, 2009 11.80 October 1, 1999 4.17 October 1, 2010 12.51 October 1, 2000 4.35 October 1, 2011 13.04 October 1, 2001 4.54 October 1, 2012 13.40 January 1, 2002 6.13 October 1, 2013 13.77 October 1, 2002 7.16 October 1, 2014 14.15 October 1, 2003 8.01 October 1, 2015 14.33 October 1, 2004 8.65 October 1, 2016 14.51 October 1, 2005 9.35 October 1, 2017 14.58 October 1, 2006 9.71 October 1, 2018 14.65 October 1, 2007 10.51 Single-family homes, multifamily units, condominium units, apartments and mobile homes are rated as one ERU per dwelling unit. Nonresidential property is charged at the rate of 1,830 square feet of impervious area per ERU. HISTORICAL NET REVENUES 2013 2014 2015 2016 2017 Net Operating Revenues (Excluding Depreciation) 8,105,045$ 4,207,288$ 5,916,286$ 8,386,312$ 9,528,117$ Interest Income and other Non-operating Revenues (Expenses) (92,148) 495,462 677,829 437,129 114,729 Total Net Revenues 8,012,897$ 4,702,750$ 6,594,115$ 8,823,441$ 9,642,846$ Maximum Annual Debt Service 2,608,421$ 2,568,762$ 2,568,762$ 2,568,762$ 2,568,762$ Coverage 3.07 1.83 2.57 3.43 3.75 City of Clearwater, Florida Fire Services Program Pursuant to agreements between the City of Clearwater, the Pinellas County Fire Authority and the Pinellas County Emergency Medical Services Authority, the City has provided fire and emergency medical services to the respective authorities. With respect to fire services, the services are provided for the benefit of properties located outside the corporate limits of the City, but within a designated service area. Emergency medical services are provided for the benefit of persons residing both inside and outside the corporate limits of the City, based on the Authority's nearest unit dispatch policy. With respect to the Fire Services Program, a budget was prepared by Fire Department personnel covering proposed expenditures for fiscal year ending September 30, 2017, for the Fire Department as a whole. Since the funding for the Emergency Medical Services Program is based on the level fixed in prior years, the Fire Services Program budget is essentially the residual obtained by deducting the approved level of funding for the Emergency Medical Services Program from the budgeted amounts included in the total Fire Department budget. This budget was submitted to, and duly approved by, the relevant Authority prior to the commencement of the fiscal year. Income received from Pinellas County Fire Protection Authority and valid program expenditures for the Fire Services Program for the fiscal year ended September 30, 2017 are summarized below. 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Number Expenditures Subrecipients FEDERAL AWARDS U.S. Department of Housing and Urban Development: Community Development Block Grant - Entitlement 14.218 B-14-MC-12-0002 $493,992 $251,856 14.218 B-15-MC-12-0002 108,188 95,034 14.218 B-16-MC-12-0002 18,732 ARRA-Neighborhood Stabilization Program 3 14.218 Program Income 311 14.218 621,223 346,890 Home Investment Partnerships Program 14.239 M-12-MC-12-0230 5,112 M-13-MC-12-0230 29,009 M-14-MC-12-0230 16,484 14.239 Program Income 1,242,495 4,500 14.239 1,293,100 4,500 Total U.S. Department of Housing and Urban Development 1,914,323 351,390 U.S. Department of the Interior: National Park Service Passed through Florida Dept of Environmental Protection Moccasin Lake Nature Park Project 15.916 DEP LW625 12-00625 186,322 Total U.S. Department of the Interior 186,322 - U.S. Department of Justice: Federal Forfeiture Sharing 16.000 FL0520300 123,616 National Institute of Justice Clearwater Cold Case Team Project 2014 16.560 2014-DN-BX-K086 5,969 FL Council Against Sexual Violence 16.588 16STO68 2,182 Edward Byrne Memorial Justice Assistance Grant Program 16.738 2016-DJ-BX-0255 50,908 Total U.S. Department of Justice 182,675 - U.S. Department of Transportation: Federal Highway Administration Passed through Florida Dept of Transportation: Federal-Aid Highway Program - HVE for Pedestrian & Bicycle Safety 20.205 Contract #GOEO8 50,100 Passed through Florida Dept of Transportation: Recreation Trails Program 20.219 Project T15008 77,344 Total U.S. Department of Transportation 127,444 - U.S. Dept of Health & Human Services Centers for Disease and Control Passed through Pinellas County Health Department 93.331 1U58DP005597 5,283 Total U.S. Dept of Health & Human Services 5,283 - See accompanying Notes to the Schedule of Expenditures of Federal Awards and State Financial Assistance Projects. City of Clearwater, Florida Schedule of Expenditures of Federal Awards and State Financial Assistance Projects For the Year Ended September 30, 2017 181 Federal Grantor / Federal Pass-through Grantor / CFDA Share of Transfers to Program Title Number Grant I.D. Number Expenditures Subrecipients City of Clearwater, Florida Schedule of Expenditures of Federal Awards and State Financial Assistance Projects For the Year Ended September 30, 2017 National Endowment for the Humanities Promotion of the Humanities - Division of Preservation and Access 45.149 PY-234444-16 100 Total National Endowment for the Humanities 100 - U.S. Department of Homeland Security Passed through the Florida Division of Emergency Management: Disaster Grants - Public Assistance (Presidentially Declared Disasters) 97.036 17-PA-W1-08-62-01-133 371,281 Total U.S. Department of Homeland Security 371,281 - Total Federal Financial Assistance $ 2,787,428 $ 351,390 See accompanying Notes to the Schedule of Expenditures of Federal Awards and State Financial Assistance Projects. 182 State Grantor / State Pass-through Grantor / CSFA Share of Transfers to Program Title Number Grant I.D. Number Expenditures (a) Subrecipients STATE FINANCIAL ASSISTANCE Florida Department of Environmental Protection: Florida Recreation Development Assistance Program 37.017 McMullen Tennis Courts $ 350 $ Florida Recreation Development Assistance Program 37.017 Countryside Sports Complex 41,904 Total Florida Department of Environmental Protection 42,254 - Florida Department of Community Affairs: Florida Housing Finance Corporation State Housing Initiative Partnership Program (SHIP) 40.901 N/A 644,934 121,073 Total Florida Department of Community Affairs 644,934 121,073 Florida Department of Economic Opportunity Economic Development Partnerships 40.024 Growth Management Implementation 20,000 Total Florida Department of Community Affairs 20,000 - Florida Department of Transportation: Rehabilitation of Hanger D 55.004 FPN:425922-1-94-01; Contract ARB48 4,186 Florida Highway Beautification Council Grant 55.003 FPID 438701-1-58-01 181,380 Total Florida Department of Transportation 185,566 - Florida Department of Revenue: Phillies Stadium 73.016 N/A 500,004 Total Florida Department of Revenue 500,004 - Total State Financial Assistance 1,392,758 121,073 Total Expenditures of Federal Awards and State Financial Assistance Projects $ 4,180,186 $ 121,073 (a) Funded with State grants and aids appropriations. See accompanying Notes to the Schedule of Expenditures of Federal Awards and State Financial Assistance Projects. City of Clearwater, Florida Schedule of Expenditures of Federal Awards and State Financial Assistance Projects For the Year Ended September 30, 2017 183 184 City of Clearwater, Florida Notes to Schedule of Expenditures of Federal Awards and State Financial Assistance Projects For the Year Ended September 30, 2017 NOTE 1 – Basis of Presentation (a) Reporting Entity The accompanying Schedule of Expenditures of Federal Awards and State Financial Assistance Projects (“Schedule”) presents the activity of all federal financial and state grant activity projects of the City of Clearwater, Florida (the “City”). Federal and state financial assistance received directly from federal and state agencies, and federal financial assistance passed through other governmental agencies are included on the schedules. The information in this schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) and Chapter 10.550. (b) Disaster Grants – Public Assistance (Presidentially Declared Disaster) (97.036) After a Presidentially Declared Disaster, the Federal Emergency Management Agency (FEMA) provides a Public Assistance Grant to reimburse eligible costs associated with emergency response, debris removal, and eligible costs associated with repair, replacement, or restoration of disaster- damaged facilities. The Federal Government reimburses in the form of cost-shared grants. During fiscal 2017, FEMA approved approximately $126,698 of eligible expenditures that were incurred in a prior year and are included in the Schedule. NOTE 2 – Basis of Accounting The accompanying Schedule of Expenditures of Federal Awards and State Financial Assistance Projects is presented using the modified accrual or accrual basis of accounting, depending on the type of fund in which the grant is recorded, as described in Note 1.C. to the City’s basic financial statements. NOTE 3 – CFDA/CSFA Numbers CFDA numbers represent Catalog of Federal Domestic Assistance and apply only to federal awards. CSFA numbers represent Catalog of State Financial Assistance and apply only to state financial assistance. NOTE 4 – Subrecipients Of the federal and state expenditures presented in the Schedule, the City provided federal and state awards to subrecipients as follows: Federal CFDA/ Amount Provided Program Title State CFSA To Subrecipients U.S. HUD Community Development Block Grant 14.218 $ 346,890 U.S. HUD Home Investment Partnerships Program 14.239 $ 4,500 Florida Housing Finance Corporation, State Housing Initiative Partnership Program 40.901 $ 121,073 185 City of Clearwater, Florida Notes to Schedule of Expenditures of Federal Awards and State Financial Assistance Projects For the Year Ended September 30, 2017 NOTE 5 – Loans Outstanding The current year additions related to the loans are included in the Schedule of Expenditures of Federal Awards and State Financial Assistance Projects. The City had the following loan balances outstanding, net of $12,344,056 allowance for uncollectable accounts, at September 30, 2017. 14.218 Community Development Block Grant $ 852,907 14.239 Home Investment Partnership Program 1,937,535 40.901 State Housing Initiative Partnership 1,928,142 $ 4,718,584 NOTE 6 – State Housing Initiatives Partnership (SHIP) Program The State of Florida associated the Florida Housing Finance Corporation with the Department with the Department of Economic Opportunity. This reorganization changed the Catalog of State Financial Assistance number “CSFA number” associated with the Innovation Incentive Program from 52.901 to 40.901. 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Council and Audit CommitteeCity of Clearwater, FloridaDear Honorable Mayor and Council Members:We have audited the accompanying financial statements of the governmental activities,the business-type activities, each major fund, and the aggregate remaining fundinformation of the City of Clearwater, Florida (the “City”) as of and for the year endedSeptember 30, 2017, and the related notes to the financial statements, which collectivelycomprise the City’s basic financial statements. We also have audited the respectivebudgetary comparisons for the general fund and the special financial statements of eachof the City’s nonmajor governmental funds, nonmajor enterprise funds, internal serviceand fiduciary funds presented as supplementary information, as defined bytheGovernmental Accounting Standards Board, in the accompanying combiningandindividual fund statements as of and for the year ended September 30, 2017,and haveissued our report thereon dated March 23, 2018.As required by auditing standards generally accepted in the United Statesof America,Government Auditing Standards,the Uniform Guidance and Chapter 10.550,Rules of theAuditor Generalwe are providing you with the information shown in this presentationrelative to the conduct of our audit. Such information is intended for the use of themanagement, the Audit Committee and City Council of the City, and is not intended foranyone other than these specified parties.CHERRY BEKAERT LLP2 Audit opinion – (page 1) UnmodifiedReport on Internal Control over Financial Reporting and on Compliance– (page 177) (No comment)Report on Compliance for each Major Program and on Internal Control over Compliance – (page 179) UnmodifiedManagement Letter – (page 189) (1 Comment)Report on Compliance with Local Government Investment Policies– (page 192) UnmodifiedOther reports not included in CAFR:Report on Schedule of Revenues and Expenditures Related to Emergency Medical ServicesSummary of Deliverables3 Significant Accounting PoliciesDescribed in Note 1 to the financial statementsIn accordance with accounting principles generally accepted in the United States ofAmericaConsistent with industry practices and standards.Adoption of, or change in, accounting policies during fiscal year 2017GASB No. 77 –Tax Abatement Disclosure(See Note IV.G)Adoption of, or change in, accounting policies during fiscal year 2018GASB No. 75 –Accounting and Financial Reporting for Postemployment Benefits OtherThan PensionsGASB No. 83 –Certain Asset Retirement ObligationGASB No. 87 -LeasesAUDITOR’S REQUIRED COMMUNICATION (AU 380) 4 Presented by:John J. GilbertoCarlos B. LopezCherry Bekaert LLP401 E. Jackson Street, Suite 1200Tampa, Florida 33602Email:jgilberto@cbh.comclopez@cbh.comPhone: 813-251-1010Fax: 813-251-9235CONTACT INFORMATION5 Cover Memo City of Clearwater City Hall 112 S. Osceola Avenue Clearwater, FL 33756 File Number: ID#18-4490 Agenda Date: 4/16/2018 Status: Agenda ReadyVersion: 1 File Type: ReportIn Control: Economic Development & Housing Agenda Number: 3.1 SUBJECT/RECOMMENDATION: Homeless Initiative Presentation (WSO) - Gabe Parra, Economic Development SUMMARY: USE OF RESERVE FUNDS: Page 1 City of Clearwater Printed on 4/16/2018 | 1 CITY OF CLEARWATER CITY OF CLEARWATER HOMELESS INITIATIVE UPDATE April 16, 2018 HOMELESS CONSULTANT DR. ROBERT MARBUT Phase I Original Study 2012 Phase II Implementation 2012-2017 Phase III New Challenges & Update 2017 | 3 CITY OF CLEARWATER | WORK PROGRAM •Change in Culture •Realignment of Magnets •Ordinance Enforcement •Active Coordination with Partners •Street Outreach Team | 4 CITY OF CLEARWATER | CHANGE IN CULTURE •Enabling vs. Engaging •Coordinated Efforts (City Departments, Partners) •Establishment of Homeless Committee •Ongoing Education of City Employees •Information Cards (Public, Employees) | 5 CITY OF CLEARWATER | •Street Feedings •Breakfast Feedings •Showers and Laundry Services •Feedings at Churches and Parks REALIGNMENT OF MAGNETS | 6 CITY OF CLEARWATER | ORDINANCE ENFORCEMENT •Police Officers Continue to Engage •Issuance of Warnings •Notice-to-Appear Opportunity ORDINANCE WARNINGS 56 162 56 46 133 69 District I District II District III 2016 2017 TRESPASS WARNINGS 25 804 252 13 908 247 District I District II District III 2016 2017 CLEARWATER PARTNERS STREET OUTREACH TEAM •Downtown Bike Team & Social Worker •206 Homeless Individuals Placed •Case Management (6-12 Months) HEP - Homeless Empowerment Program •1,204 Individuals Served •814 from Clearwater •548 Veterans •114,199 meals served Success Story PINELLAS HOPE •400 Residents •200 Sheltered (Shipping Containers, Casitas, Tents) •200 in Apartments •81 from Clearwater PINELLAS SAFE HARBOR - Jail Diversion Emergency Shelter •470 Beds •13,984 Intakes •3,861 from Clearwater •378,225 Meals Served RCS – GRACE HOUSE •534 Individuals Served •214 from Clearwater 100% of Adults from Clearwater were Employed at Time of Exit from the Program THE SALVATION ARMY OF UPPER PINELLAS - Hope Crest Family Self-Sufficiency Program •Length of Stay Determined by Goals Set Upon Entering the Program •17 Family Units HLB – Homeless Leadership Board •Councilmember Cundiff, Board Member •Chuck Lane, Funders Council •Gabe Parra, Providers Council HLB – Continuum of Care •Housing First •HUD Mandated, City Supported •Rapid Re-Housing, •Supportive Permanent Housing •Coordinated Entry System •Assessment & Prioritization Tool PARTNER FUNDING FY17-18 HEP $50,000 HLB $25,000 Pinellas Hope $25,000 Pinellas Safe Harbor $100,000 RCS $25,000 Salvation Army $10,000 HOMELESS POINT IN TIME COUNT CITY OF CLEARWATER SELF-REPORTED DATA 222 236 229 2015 2016 2017 CAUSES OF HOMELESSNESS 102 548 44 125 166 651 57 196 Family Problems Financial Problems Eviction Medical/Disability 2016 2017 DR. ROBERT MARBUT, HOMELESS CONSULTANT PHASE III AGREEMENT •Homeless Needs Assessment and Strategic Action Recommendations •Spice •Homeless Feeders •Townhall-Style Meetings •Monthly Count by CPD | 27 CITY OF CLEARWATER | FOCUS FOR FY 17-18 •Implementation of Dr. Marbut’s Recommendations •Monitoring •Housing First & Coordinated Entry System •Street Feeding Activities •Policy / Funding Activities | 28 CITY OF CLEARWATER CITY OF CLEARWATER HOMELESS INITIATIVE UPDATE April 16, 2018 Cover Memo City of Clearwater City Hall 112 S. Osceola Avenue Clearwater, FL 33756 File Number: ID#18-4491 Agenda Date: 4/16/2018 Status: Agenda ReadyVersion: 1 File Type: Action ItemIn Control: Economic Development & Housing Agenda Number: 3.2 SUBJECT/RECOMMENDATION: Forgive loan to Abilities of St. Andrews Cove, Inc. of Florida in an amount not to exceed $318,600 to rehabilitate six multi-family units for rent at St. Andrews Cove apartment complex and authorize the appropriate officials to execute all instruments required to affect loan closing. (consent) Summary Abilities of St. Andrews Cove, Inc. of Florida has made application to rehabilitate six ADA units at its apartment complex located at 605 N. Keene Road. The loan will provide the funding to rehabilitate and update the units with accessible and universal design features to include ADA kitchen cabinets, new windows, hot water tanks, LED lighting and new HVAC. The loan for the rehabilitation is $314,958.94 and staff has calculated closing costs to be $3,641.06. Funding for this project includes $250,000 from the State Housing Initiatives Partnership Program (SHIP) and $68,600 from the HOME Investment Partnership Program . The loan is a 20-year deferred payment loan with full forgiveness upon full compliance with all terms and conditions of the loan. City of Clearwater Loan Approval Policy, approved by City Council on January 20, 2005, requires city council approval of loan forgiveness for an amount greater than $100,000. Appropriation Code and Amount Funding for this project is available through State Housing Initiatives Partnership and HOME Program funding sources. USE OF RESERVE FUNDS: N/A Page 1 City of Clearwater Printed on 4/16/2018 Cover Memo City of Clearwater City Hall 112 S. Osceola Avenue Clearwater, FL 33756 File Number: ID#18-4485 Agenda Date: 4/16/2018 Status: Agenda ReadyVersion: 1 File Type: Action ItemIn Control: Police Department Agenda Number: 4.1 SUBJECT/RECOMMENDATION: Increase the allotted Full Time Equivalents (FTEs) assigned to the Police Department by 14; authorize purchase of an additional 8 Police Ford Explorer vehicles in the current fiscal year, with an amount not to exceed $262,840; authorize purchase of 6 additional Police Ford Explorer vehicles in Fiscal Year 2018/2019; authorize purchase of law enforcement related equipment costs associated with the additional FTEs, with an amount not to exceed $246,245; authorize an increase in the Police Department’s operating budget, for the current year’s increase of salary, benefit and training costs related to the increased personnel, with an amount not to exceed $400,332, and authorize the appropriate officials to execute same. (consent) SUMMARY: In the wake of the shooting incident, which occurred at Marjory Stoneman Douglas High School on February 14, 2018, the Florida Legislature passed Senate Bill 7026 (the Marjory Stoneman Douglas HS Public Safety Act). The bill was signed by Governor Scott on March 9, 2018. The bill contains several pertinent requirements for law enforcement, which will impact the City of Clearwater and the Clearwater Police Department. Fundamentally, this legislation requires each district school board to partner with law enforcement agencies to “establish or assign one or more safe school officers at each school facility within the district” by implementing a combination of options which best meet the needs of the school district; the definition of school facility includes Charter schools. Those options include mutual aid agreements, implementing a School Marshall Program, or assigning a School Resource Officer (SRO). The Pinellas School District has already determined that the School Marshall Program will not be implemented in Pinellas County and has chosen to expand the use of School Resource Officers throughout Pinellas County. Additional duties impacting law enforcement which are outlined within the legislation include providing general security, site risk assessments, monthly emergency preparedness drills, and threat assessments relating to the campus. This legislation also requires that School Resource Officer(s) are present whenever students are present for school. This will require additional relief personnel to provide law enforcement presence whenever the School Resource Officer is not on campus for either work-related or personal reasons (i.e., required court appearances, making arrests, training, sick leave, etc.). The Pinellas Sheriff and all Pinellas County Chiefs of Police have identified the relief factor of 1.2 to be applied to all Pinellas County School Resource Officer positions, to adequately provide security at these facilities in the absence of the assigned School Resource Officer. Additionally, Pinellas County has identified the appropriate SRO/Student ratio to be 1 officer per 1,500 students. The Clearwater Police Department currently has 3 permanently assigned School Resource Officers. They are assigned to the following schools: Page 1 City of Clearwater Printed on 4/16/2018 File Number: ID#18-4485 ·Oak Grove Middle School ·Countryside High School ·Clearwater High School. Supervision of these officers is currently accomplished through 1 sergeant, who is also assigned other duties unrelated to the School Resource Officer Program. Based upon this legislation and related mandates, the Clearwater Police Department would be required to supply School Resource Officers to the following: 1.Belleair Elementary 2.Eisenhower Elementary 3.Leila Davis Elementary 4.Sandy Lane Elementary 5.Skycrest Elementary 6.Plumb Elementary 7.Kings Highway Magnet 8.Plato Clearwater 9.Clearwater Fundamental 10.Countryside High School (one additional SRO, based upon student population) 11.Clearwater High School (one additional SRO, based upon student population) 12.Relief Officer (based upon established ratio) 13.Relief Officer (based upon established ratio). A supervisor will also be necessary to manage these additional positions and responsibilities. This brings the total additional needed personnel to comply with the legislation to 14 FTEs. There are two additional schools (Calvin Hunsinger and Clearwater Intermediate) which are within city boundaries. However, the Pinellas County School Board Police Department has agreed to maintain officer(s) at these facilities at the required ratios. Cost and Budgetary Implications: The legislation creates requirements of law enforcement state-wide which are largely unfunded. Currently, the Pinellas County School Board provides a portion of funding of the Police Department’s current School Resource Officers, at a rate of $57,944.64 per officer, for a total of $173,833.92 during the existing school year. The Police Department provides funding for the remainder of the employee salary and benefits through Florida Contraband Forfeiture Funds in the amount of $124,939.00. The Pinellas County School Board proposes providing funding, consistent with the current rate, for new School Resource Officer positions created as a result of this legislation. However, relief positions, supplemental positions (based upon student population), and supervisory positions are exempt from reimbursement. There is insufficient funding within the Florida Contraband Forfeiture Fund to provide funding for, or maintain funding for, these additional officers. Furthermore, the Marjory Stoneman Douglas HS Public Safety Act does not provide funding for the costs associated with providing essential law enforcement equipment for these required positions. Currently, the equipment costs associated with an individual officer total $55,808.03, as outlined in the below table. Total equipment costs for 14 officers equals $781,312.42. The Police Department does not possess sufficient funding to absorb these costs within its current operating budget. Category Costs #Total Laptop $1,200.00 14 $16,800.00 Remote Access (Data)$240.00 14 $3,360.00 Smart Phone Monthly Fees $864.00 14 $12,096.00 Portable Radio $1,507.00 14 $21,098.00 Uniforms & Equipment $1,114.81 14 $15,607.34 Page 2 City of Clearwater Printed on 4/16/2018 File Number: ID#18-4485 Bullet Resistant Vest $750.00 14 $10,500.00 Issued Firearm $850.00 14 $11,900.00 AR15 Rifle $1,420.00 14 $19,880.00 Taser $1,500.00 14 $21,000.00 Police Vehicle $32,855.00 14 $459,970.00 Vehicle Upfitting $9,000.00 14 $126,000.00 Vehicle Radio $4,507.22 14 $63,101.08 Grand Total $55,808.03 $781,312.42 The demand for these officers will require the Police Department to incentivize individuals to accept or request assignment to these positions. The Police Department proposes additional compensation to officers assigned to School Resource Officer positions at 5 percent of the officer’s salary. For an officer in Step One of the current contract between the City of Clearwater and the Fraternal Order of Police, Lodge 10, this equates to $2,662.67 annually. Under current contract, officers assigned to these positions receive a $40.00-stipend per pay period, which equates to $1,040.00 annually. Based on these factors, the costs personnel and equipment costs associated with an individual officer within Step One of the contract would be: Note: Though the Step One Officer salary used to approximate the financial impact of these positions, the Police Department does not intend to place newly hired officers into these assignments, as this would impede employee development and not provide appropriate officer experience within these critical settings. Currently, the City is entering negotiations with the Fraternal Order of Police, Lodge 10, and the future personnel costs, based upon these negotiations, are not known. The below chart outlines the costs associated with the salary and equipment costs of the 14 additional positions needed to comply with the mandates outlined in the Marjory Stoneman Douglas HS Public Safety Act: The below chart outlines the costs associated with the 3 existing School Resources Officers when coupled with the salary and equipment costs of the 14 additional positions needed to comply with this mandate: Because of these mandates, the Police Department seeks approval for the following: ·Increase the allotted FTEs assigned to the Police Department by 14 positions as outlined above (13 Police Officers / 1 Police Sergeant), allowing the Police Department to begin hiring and training these personnel immediately. ·Purchase of 8 additional Police Ford Explorer vehicles in the current fiscal year, and 6 additional Police Ford Explorers in the 2018/2019 fiscal year. ·Based upon the anticipated need for law enforcement equipment and vehicles throughout the State of Florida (as all law enforcement agencies endeavor to comply with this statute), authorize the immediate purchase of law enforcement equipment directly related to the hiring of the above personnel, with vendors to include, but not limited to, the following: o Allen Jay Fleet Sales, Inc. (not to exceed $265,000.00); o Communications International, Inc. (not to exceed $65,000.00); o Enforcement One, Inc. (not to exceed $80,000.00); o Axon, Inc. (not to exceed $25,000.00); o Florida Bullet, Inc.; o Galls, Inc; o Signal 15, Inc. ·Authorize an increase in the Police Department’s operating budget, to incorporate the associated Page 3 City of Clearwater Printed on 4/16/2018 File Number: ID#18-4485 increase in personnel and related costs, not to exceed $400,332: o The cost of these new positions, for the remainder of the current 2017/2018 fiscal year, equates to: $383,487.98 o It is anticipated the Police Department will be required to increase the number of Field Training Personnel by 5 additional full-time training officers. Based upon existing contracts, these personnel received 5 percent additional pay of their base salary when training. This amount is approximated at: $16,843.70. APPROPRIATION CODE AND AMOUNT: A third quarter budget will amend Police Department cost center 0101138, School Resource Officers, by expenditures to date, not to exceed $909,000 offset with revenues from General Fund Reserves. USE OF RESERVE FUNDS: Funding for this contract will be provided by a third quarter budget amendment allocating General Fund reserves in an amount not to exceed $909,000 for expenditures to date for staffing and costs associated with the increase of SRO’s as required by mandates resulting from the Marjory Stoneman Douglas HS Public Safety Act. Inclusive of this item if approved, a net total of $8,400,630 of General Fund reserves has been appropriated by Council to fund expenditures in the 2017/18 operating budget. The remaining balance in General Fund reserves after the 8.5% reserve requirement is approximately $8.4 million, including the BP settlement funds. Exclusive of the BP funds, the remaining balance is $1.9 million, or 1.4% of the current General Fund operating budget. Page 4 City of Clearwater Printed on 4/16/2018 Cover Memo City of Clearwater City Hall 112 S. Osceola Avenue Clearwater, FL 33756 File Number: ID#18-4445 Agenda Date: 4/16/2018 Status: Agenda ReadyVersion: 1 File Type: Action ItemIn Control: Engineering Department Agenda Number: 5.1 SUBJECT/RECOMMENDATION: Award a construction contract to KAT Construction and Materials, Inc., of Clearwater, FL, in the amount of $552,036.20 for the Water Treatment Plant (WTP) Fluoride Addition - WTP 1 and WTP 2 project (16-0031-UT); approve Engineer of Record (EOR) Supplemental 1 Work Order from Tetra Tech in the amount of $140,097; approve a Funding Agreement with the State of Florida Department of Health (FDOH) in the amount of $155,000 and authorize the appropriate officials to execute same. (consent) SUMMARY: This project will install fluoride feed facilities at WTP 1 and WTP 2. Equipment includes pumps, storage containers, and electrical instrumentation and controls. Two bids were received and KAT Construction and Materials, Inc., was the lowest responsible bidder in accordance with plans and specifications. EOR Tetra Tech evaluated the bids and recommends awarding the contract to KAT Construction Materials, Inc. September 1, 2016, City Council approved an initial work order for design, permitting and bidding of improvements at WTP 1 and WTP 2 for the addition of fluoride to the potable water system to EOR Tetra Tech in the amount of $142,740. Supplemental 1 Work Order to Tetra Tech is for Grant Reporting Assistance, and Construction Engineering and Inspection Services during construction in the amount of $140,097, for a new work order value of $282,837. The funding agreement between the City of Clearwater and FDOH includes reimbursement of up to $155,000 with no match or cost by the City of Clearwater. It is anticipated construction will be completed within 330 calendar days from Notice to Proceed. The City of Clearwater’s Public Utilities Department is responsible for owning, operating and maintaining WTP 1 and WTP 2 Facilities. APPROPRIATION CODE AND AMOUNT: 0315-96764-563800-533-000-0000 $276,018.10 0315-96767-563800-533-000-0000 $276,018.10 0315-96764-561300-533-000-0000 $ 70,048.50 0315-96767-561300-533-000-0000 $ 70,048.50 Funds are available in capital improvement projects 0315-96764, RO Plant Exp-Res 1, in the amount of $346,066.60 and $346,066.6 from 0315-96767, RO Plant @ Res 2, to fund the project. Page 1 City of Clearwater Printed on 4/16/2018 City Project 16-0031-UT ITEM DESCRIPTION UNIT ESTIMATED QUANTITY UNIT PRICE AMOUNT UNIT PRICE AMOUNT 1 Mobilization and Demobilization LS 1 $ 25,000.00 $ 25,000.00 $ 3,000.00 $ 3,000.00 2 General Requirements LS 1 $ 5,000.00 $ 5,000.00 $ 52,000.00 $ 52,000.00 3 Chemical Storage and Feed Systems LS 1 $ 170,000.00 $ 170,000.00 $ 240,000.00 $ 240,000.00 4 Process Piping, Valves and Supports LS 1 $ 70,000.00 $ 70,000.00 $ 69,000.00 $ 69,000.00 5 Electrical and Instrumentation LS 1 $ 150,000.00 $ 150,000.00 $ 191,000.00 $ 191,000.00 6 All Other Work Not Included in Line Items 1, 2, 3, 4 and 5 to Construct the Fluoride Addition Systems at WTP No. 1 and WTP No. 2 LS 1 $ 81,851.09 $ 81,851.09 $ 95,000.00 $ 95,000.00 $ 501,851.09 $ 650,000.00 7 Contingency (10%)LS 1 $ 50,185.11 $ 50,185.11 $ 65,000.00 $ 65,000.00 GRAND TOTAL $ 552,036.20 $ 715,000.00 SECTION V PAGE 14 of 16 Updated: 2/6/2017 Bid Opening: April 2, 2018 Award Date: April 19, 2018 Water Treatment Fluoride Additions WTP-1 & WTP-2 City of Clearwater, Florida Bid Tabulation Sheet TLC Diversified, Inc. 2719 - 17th St. E. Palmetto, FL 34221 KAT Construction & Materials, Inc. 22031 US Hwy 19 Clearwater, FL 33765 SUBTOTAL WORK ORDER INITIATION FORM 1 of 10 Revised: 11/29/2017 Tetra Tech, Inc. SUPPLEMENTAL WORK ORDER for the CITY OF CLEARWATER Date:March 28, 2018 Consultant Project Number:___________ City Project Number:16-0031-UT City Plan Set Number:___________ 1.PROJECT TITLE: WTP Nos. 1 and 2 Fluoride Addition – Construction Engineering and Inspection (CEI) Services and FDOH Grant Reporting Assistance 2.SCOPE OF SERVICES: The city of Clearwater (city) is constructing fluoride feed facilities at the city’s Water Treatment Plants Nos. 1 and 2 (WTP Nos. 1 and 2). The fluoride equipment includes storage, pumping and related equipment to add fluoride to the city’s potable water system. In general, the following facilities will be constructed at each water treatment plant: a. WTP Nos. 1 – The existing sulfuric acid storage and pumping area at Water Treatment Plant 1 will be converted to and equipped with fluoride storage and pumping equipment. b. WTP Nos. 2 – The existing empty outside and covered bulk storage containment area at Water Treatment Plant 2 will be equipped with fluoride storage and pumping equipment. The city has requested Tetra Tech, Inc. (Engineer) to provide a scope of services for construction engineering and inspection (CEI) services. Additionally, the city is receiving Florida Department of Health (FDOH) grant funding for this project (City of Clearwater Fluoridation System Installation Project) and Tetra Tech will prepare and submit the paperwork as required by the FDOH to meet the grant contractual requirements. The scope of services are provided herein. CEI Resident Project Representative In order to better ensure that the Project is constructed in accordance with the Contract Documents, the Engineer will provide the services of a CEI Resident Project Representative (RPR) throughout the duration of construction. It is anticipated that such services will be provided over a twelve (12) month period. The WORK ORDER INITIATION FORM 2 of 10 Revised: 11/29/2017 total active onsite construction observation hours are estimated to be 496 hours and are calculated as follows: The project construction period is 12 months to final completion. Active onsite construction will occur at WTP Nos. 1 and 2 and is estimated to be 8 months with an estimated 3 months of equipment lead time and 1 month buffer. The time provided herein is estimated based on an assumed active onsite construction oversight of 5 months and 20 hours per week (400 hours). For the remaining 3 months of onsite construction, the active onsite construction services are estimated at 8 hours per week (96 hours). The role of the RPR, and limitations of the RPR's responsibilities, are set forth below: 1.The RPR will be the Engineer's agent or employee and under the Engineer's supervision and may act on the Engineer's behalf as directed by the Engineer and may carry out any activities designated herewith for Construction Phase engineering services. Accordingly, the Engineer will provide the services of a RPR at the site to assist the Engineer and to provide more continuous observation of such work and observe the project as a whole. 2.The purpose of representation by the RPR at the site will be to enable the Engineer to better carry out the scope and the duties and responsibilities assigned to and undertaken by the Engineer during the Construction Phase, and, in addition, by exercise of the Engineer's efforts as an experienced and qualified design professional, to provide the city with a greater degree of confidence that the completed work of the Contractor will conform generally to the Contract Documents and that the integrity of the design concept as reflected in the Contract Documents has been implemented and preserved by the Contractor. On the other hand, the Engineer or RPR shall not, during such visits or as a result of such observations of the Contractor's work in progress, supervise, direct or have control over the Contractor's work nor shall the Engineer have authority over or responsibility for the means, methods, techniques, sequences or procedures of construction selected by the Contractor, forsafety precautions and programs incident to the work of the Contractor or for any failure of the Contractor to comply with laws, rules, regulations, ordinances, codes or orders applicable to the Contractor furnishing and performing work. 3.The RPR shall keep the city informed of the progress of the Project as a whole and shall file a daily construction report. 4.The RPR may disapprove of or reject Contractor's work while it is in progress if the Engineer believes that such work will not produce a completed Project that conforms generally to the Contract Documents or that it will prejudice the integrity of the design concept of the Project as reflected in the Contract Documents. 5.The RPR shall consult with the Engineer and shall issue necessary interpretations and clarifications to the Contract Documents and prepare work directive changes and change orders as required. WORK ORDER INITIATION FORM 3 of 10 Revised: 11/29/2017 6.The RPR shall act on the Engineer's behalf and shall observe testing and inspections as the Engineer deems necessary. Inspections, testing, and approvals shall be as required by laws, rules, regulations, ordinances, codes, orders or the Contract Documents (but only to determine generally that their content complies with the requirements of, and the results certified indicate compliance with the Contract Documents) 7.The RPR shall review work daily and shall inform the Engineer of percent complete based on the project Schedule of Values or appropriate unit prices, and the Contract Documents for review of payment applications. The Engineer shall as a qualified design professional, provide final written recommendation of payment for each pay period. The RPR shall assist the Engineer to assure that the quality of such work is generally in accordance with the intent established in the Contract Documents. By recommending any payment, the Engineer will not thereby be deemed to have represented that exhaustive, continuous or detailed reviews or examinations have been made by the Engineer to check the quality or quantity of Contractor's work as itis furnished and performed beyond the responsibilities specifically assigned to the Engineer in the Contract Documents. The Engineer's review of Contractor's work for the purposes of recommending payments will not impose on the Engineer's responsibility to supervise, direct or control such work or for the means, methods, techniques, sequences, or procedures of construction or safety precautions or programs or Contractor's compliance with laws, rules, regulations, ordinances, codes or orders applicable to furnishing and performing the work. It will also not impose responsibility on the Engineer to make any examination to ascertain how or for what purposes the Contractor has used the moneys paid on account of the Contract Price, or to determine that title to any of the work, materials or equipment has passed to the city free and clear of any lien, claims, security interests or encumbrances, or that there may not be other matters at issue between the city and the Contractor that might affect the amount that should be paid. 8.The RPR shall conduct inspections to assist the Engineer in determining if the work is substantially complete and a final inspection to determine if the completed work is acceptable so that the Engineer may recommend, in writing, final payment to Contractor and may give written notice to the city and the Contractor that the work is acceptable, but any such recommendation and notice will be subject to the limitations expressed above and the General Conditions of the Contract Documents. 9.The RPR and/or the Engineer shall not be responsible for the acts or omissions of the Contractor, or of any subcontractor or supplier, or any of the Contractor's subcontractor's or supplier's agents or employees or any other persons (except the Engineer's own employees and agents) at the site or otherwise furnishing or performing any of the Contractor's work; however, nothing contained in paragraphs above inclusive, shall be construed to release the Engineer from liability for failure to properly perform duties and responsibilities assumed by the Engineer in the Contract Documents. WORK ORDER INITIATION FORM 4 of 10 Revised: 11/29/2017 10.The RPR shall facilitate the exchange of documents and other necessary information between the city, the Engineer, and the Contractor. CONSTRUCTION PHASE SERVICES During the construction phase, Tetra Tech (Engineer) will complete the following tasks: 1.Prepare a health and safety plan to be submitted and approved by the City Project Manager prior to mobilizing to each site. 2.Prepare for and attend one (1) preconstruction conference, take meeting minutes, and distribute written minutes to all attendees. 3.Provide CEI Resident Project Representative (RPR) as described above to observe construction of the project, coordinate construction activities with the Contractor, document project progress, and conduct progress meetings. The contracted construction period is 12 months. The total active onsite construction observation hours are estimated to be 496 hours and are calculated as follows: The project construction period is 12 months to final completion. Active onsite construction will occur at WTP Nos. 1 and 2 and is estimated to be 8 months with an estimated 3 months of equipment lead time and 1 month buffer. The time provided herein is estimated based on an assumed active onsite construction oversight of up to 5 months and 20 hours per week (assumed 400 hours for both WTP Nos. 1 and 2). For the remaining up to 3 months of onsite construction, the active onsite construction services are estimated at 8 hours per week (assumed 96 hours for both WTP Nos. 1 and 2). 4.Provide interpretation or clarification of the design documents when requested. 5.Review shop drawings and other submittals up to two (2) times per submittal for general conformance with the Contract Documents. The Contract Documents will require the Contractor to pay for additional reviews, if necessary. 6.Review test reports for soils, concrete and other materials. 7.Review applications for payment and the accompanying data and schedules, determine the amountsowed to the Contractor, and advise the City of the recommended payments. 8.Evaluate any claims made by the Contractor and prepare change orders as required. 9.Conduct substantial and final completion inspections. 10.Observe start-up testing of major equipment. WORK ORDER INITIATION FORM 5 of 10 Revised: 11/29/2017 11.Prepare record drawings, incorporating changes made during construction based on record information furnished by the Contractor and provide two (2) sets of drawings, and one (1) compact disk with an electronic version of the documents to the City. 12.Prepare a project dossier that includes all of the construction documentation, including files of correspondence, meeting minutes, Contract Documents, Change Orders, Field Orders, RFIs, Work Change Directives, Addenda, additional Drawings issued subsequent to the execution of the Contract, progress reports, Shop Drawing and Progress submittals, regulatory correspondence and other Project-related documents. At the conclusion of the project, Engineer will combine this information into a project dossier and submit to the City for review and comment. The project dossier will be submitted electronically on CD/DVD ROM. We have budgeted for up to one round of City review and comment. CERTIFICATIONS Upon construction completion, Tetra Tech will assist with the following: 1. Preparation and submittal to the Florida Department of Environmental Protection (FDEP) the “Certification of Construction Completion and Request for Clearance to Place Permitted PWS Components into Operation”, FDEP Form 62-555.900(9) for each WTP, allowing the city to obtain approval by the FDEP for permanent operation of the fluoride systems. 2. Assist with facilitating city of Clearwater Planning and Development Department’s final inspections so that a Certificate of Occupancy (CO) can be issued for each WTP’s fluoride system. FDOH GRANT REPORTING ASSISTANCE The city has received a FDOH grant to install fluoride systems at WTPs 1 and 2. The grant contract requires that the city provide the following information to the FDOH during construction: 1. Cost Estimate – Tetra Tech will complete the cost estimate which will include the quantity of items to be purchased; and item name, type, size, manufacturer, model number and total item price. The cost estimate will be updated up to three (3) times as necessary throughout the contract term and submitted to the FDOH within five (5) business days of any updates. 2. Quarterly Progress Reports – The project construction schedule is expected to be 12 months. Tetra Tech will prepare up to five (5) Quarterly Progress Reports for city review and approval and forward the reports to the FDOH each quarter. Photographs and documentation of proof of purchased equipment and installation date will be recorded throughout the contract term and included in the Quarterly Progress Reports. Purchases and installations will be in accordance WORK ORDER INITIATION FORM 6 of 10 Revised: 11/29/2017 with Florida Administrative Code Rule 62-555.325. Quarterly Progress Reports will be submitted to the FDOH with invoices. 3. Supporting Documentation Assistance – Tetra Tech will coordinate submission of the FDOH grant required documents as listed below. The city is responsible for preparing the documentation as required by and in accordance with the city’s FDOH contract: a. Required Invoices and Supporting Documentation b. Annual Financial Report c. Non-Expendable Property Report d. Single Audit Report 4. Project Close Out Report – Tetra Tech will complete the Project Close-Out Report which shall state that all applicable administrative actions and required work of the contract have been completed. The Report will include equipment photographs, itemized list of purchased equipment, physical address locations of the installed water fluoridation systems at WTP 1 and 2, list of all equipment costing $5,000 or more with the following information for each item: item description, manufacturer, serial number, quantity purchased, condition, location, purchase cost and date received. The Report will be submitted to the FDOH within 30 days of project completion. Tetra Tech will prepare the required documentation, submit to the city for review and forward the city-approved documentation to the FDOH. 3.PROJECT GOALS: The following work products will be delivered to the city as part of this project: Project Dossier Project completion certification to regulatory agencies Record Drawings 4.BUDGET: See Attachment “B”. This price includes all labor and expenses anticipated to be incurred by Tetra Tech, Inc. for the completion of these tasks in accordance with Professional Services Method “A” – Cost Times Multiplier Basis for Task 1 and Method “B” – Lump Sum – Percentage of Completion by Task for Tasks 2 & 3, for a fee not to exceed One Hundred Forty Thousand Ninety-Seven Dollars ($140,097). 5.SCHEDULE: Project construction is scheduled to be completed within 12 months from issuance of notice-to- proceed. The record drawings are scheduled to be completed within two (2) months of construction completion. WORK ORDER INITIATION FORM 7 of 10 Revised: 11/29/2017 6.STAFF ASSIGNMENT: City’s Staff: Duy Nguyen – Project Manager Fred Hemerick – Public Utilities Liaison Charles McAbee–Public Utilities Site Representative (WTP-1) John Conyers – Public Utilities Site Representative (WTP-2) Jeremy J. Brown, PE – Utilities Engineering Manager Richard G. Gardner, PE – Public Utilities Assistant Director Consultant: Emilie Moore, PE –Project Manager James Christopher, PE – Engineer of Record Phil Walker, PE – Field Engineer Amal Yelkur, EI – Electrical Engineer 7.CORRESPONDENCE/REPORTING PROCEDURES: ENGINEER’s project correspondence shall be directed to Emilie Moore. All City project correspondence shall be directed to Project Manager, with copies to Utilities Engineering Manager and Public Utilities Assistant Director. ENGINEER shall provide a minimum of forty-eight (48) hours’ notice prior to conducting fieldwork/site visits. ENGINEER shall provide a minimum of seven (7) days notification for site visits requiring the assistance of City Operations and Maintenance personnel. ENGINEER acknowledges that all City directives shall be provided by the City Project Manager. A health and safety plan must be submitted and approved by the Project Manager prior to conducting any fieldwork/site visits. In addition to the original copies delivered as stated in the scope of work, all project deliverables will be submitted in electronic format on CD or other City approved device prior to approval of final invoice. 8.INVOICING/FUNDING PROCEDURES: For work performed, invoices shall be submitted monthly to the: City of Clearwater, Engineering Department Attn. Veronica Josef, Senior Staff Assistant PO Box 4748 Clearwater, Florida 33758-4748. City Invoicing Code: 0315-96764-561300-533-000-0000 $70,048.50 0315-96767-561300-533-000-0000 $70,048.50 WORK ORDER INITIATION FORM 8 of 10 Revised: 11/29/2017 9.INVOICING PROCEDURES At a minimum, in addition to the invoice amount(s) the following information shall be provided on all invoices submitted on the Work Order: A. Project Number, Purchase Order Number and Contract Amount. B. The time period (begin and end date) covered by the invoice. C. A short narrative summary of activities completed in the time period D. Contract billing method – Lump Sum or Cost Times Multiplier E. If Lump Sum, the percent completion, amount due, previous amount earned and total earned to date for all tasks (direct costs, if any, shall be included in lump sum amount). F. If Cost Times Multiplier, hours, hourly rates, names of individuals being billed, amount due, previous amount earned, total earned to date for each task and other direct costs (receipts will be required for any single item with a cost of $50 or greater or cumulative monthly expenses greater than $100). G. If the Work Order is funded by multiple funding codes, an itemization of tasks and invoice amounts by funding code. 10.SPECIAL CONSIDERATIONS: The consultant named above is required to comply with Section 119.0701, Florida Statutes (2013) where applicable. PREPARED BY:APPROVED BY: ________________________________________________ Emilie A. Moore, PE, PMP D. Scott Rice, P.E. Sr. Project Manager City Engineer Tetra Tech, Inc.City of Clearwater ______________________________________ Date Date Attachment “A” WORK ORDER INITIATION FORM 9 of 10 Revised: 11/29/2017 CITY OF CLEARWATER ENGINEERING DEPARTMENT WORK ORDER INITIATION FORM CITY DELIVERABLES 1.FORMAT The design plans shall be compiled utilizing the following methods: 1.City of Clearwater CAD standards. 2.Datum: Horizontal and Vertical datum shall be referenced to North American Vertical Datum of 1988 (vertical) and North American Datum of 1983/90 (horizontal). The unit of measurement shall be the United States Foot. Any deviation from this datum will not be accepted unless reviewed by City of Clearwater Engineering/Geographic Technology Division. 2.DELIVERABLES The design plans shall be produced on bond material, 24" x 36" at a scale of 1" = 20’ unless approved otherwise. Upon completion the consultant shall deliver all drawing files in digital format with all project data in Autodesk Civil 3D file format. If not available Land Desktop files are still acceptable, however the City or Clearwater is currently phasing out Land Desktop. NOTE: If approved deviation from Clearwater CAD standards are used the Consultant shall include all necessary information to aid in manipulating the drawings including either PCP, CTB file or pen schedule for plotting. The drawing file shall include only authorized fonts, shapes, line types or other attributes contained in the standard release of Autodesk, Inc.software. All block references and references contained within the drawing file shall be included. Please address any questions regarding format to Mr. Tom Mahony, at (727) 562 4762 or email address Tom.Mahony@myClearwater.com. All electronic files must be delivered upon completion of project or with 100% plan submittal to City of Clearwater. Attachment “B” WORK ORDER INITIATION FORM 10 of 10 Revised: 11/29/2017 WTP 1 and 2 Fluoride Addition – Construction Engineering and Inspection (CEI) Services and FDOH Grant Reporting Assistance Tetra Tech, Inc. WORK ORDER INITIATION FORM PROJECT BUDGET Task Description Subconsultant Services Labor Total 1.0 Construction Phase Services (T&M) 1.1 Prepare Health and Safety Plan $1,949 $1,949 1.2 Preconstruction Conference $2,237 $2,237 1.3 Construction Observation (496 hrs total)$60,748 $60,748 1.4 Design Documents Clarification $8,242 $8,242 1.5 Shop Drawings / Submittals Reviews $11,468 $11,468 1.6 Review Test Reports $3,722 $3,722 1.7 Review Applications for Payment $3,756 $3,756 1.8 Evaluate Contractor Claims $3,338 $3,338 1.9 Conduct Substantial and Final Completion Inspections $6,423 $6,423 1.10 Observe Major Equipment Start Up $4,447 $4,447 1.11 Prepare Record Drawings $4,095 $4,095 1.12 Prepare Project Dossier $4,329 $4,329 Subtotal $114,754 2.0 Certifications (Lump Sum) 2.1 FDEP Construction Completion $2,183 $2,183 2.2 Building Department Occupancy Certificate $1,076 $1,076 Subtotal $3,259 3.0 FDOH Grant Reporting Assistance (Lump Sum) 3.1 Cost Estimates $4,271 $4,271 3.2 Quarterly Progress Reports $7,127 $7,127 3.3 Supporting Documentation Assistance $5,031 $5,031 3.4 Project Close Out Report $5,655 $5,655 Subtotal $22,084 Grand Total $140,097 WTP #1PROJECTLOCATION DREW ST N KEENE RD PALMETTO ST CASLER AVE N SATURN AVE AIRPORT DR N HERCULES AVE RICHARDS AVE HARDING ST GILBERT ST MAPLE ST BONAIR ST LEVERN ST WALNUT ST McKINLEY ST BAKER AVE N MARS AVE ELMWOOD ST HOBART AVE GRAND AVE WOOD DR N DUNCAN AVE N JUPITER AVE AMBLE LN RIDGE AVE WEBB DR EDGEWOOD AVE FEATHER TREE DR KENNETH PL DREW PLZ HARDING PLZ TULANE AVE LOCATION MAP ²Prepared by:Engineering DepartmentGeographic Technology Division100 S. Myrtle Ave, Clearwater, FL 33756Ph: (727)562-4750, Fax: (727)526-4755www.MyClearwater.com CRM D_N N.T.S.N/A N/A03/29/2018Map Gen By:Reviewed By:S-T-R:Grid #:Date:Scale: WATER TREATM ENT FLUORIDE ADDITIONSWTP 1 & WTP 2PROJECT NUMBER 16-0031-UT Path: V:\GIS\Engineering\Location Maps\Water Treatment Fluoride Additions - WTP 1 & WTP 2.mxd WTP #2PROJECTLOCATION DREW ST US-19 NGULF-TO-BAY BLVD HAMPTON RD E US-19 FRONTAGE RDW US-19 FRONTAGE RDPARK PLACE BLVD DAVID AVE NASSAU LN BAHAMA LN N OLD COACHMAN RDBERMUDA BLVD LEEWARD ISLE ST. MARTIN LN ELIZABETH AVE OLD COACHMAN RD ST. CROIX SECTION V – Contract Documents SECTION V Page i Updated: 10/16/2017 SECTION V CONTRACT DOCUMENTS Table of Contents PUBLIC CONSTRUCTION BOND ......................................................................................................... 1 CONTRACT ................................................................................................................................................ 3 CONSENT OF SURETY TO FINAL PAYMENT .................................................................................. 7 PROPOSAL/BID BOND ............................................................................................................................ 8 AFFIDAVIT ................................................................................................................................................ 9 NON COLLUSION AFFIDAVIT............................................................................................................ 10 PROPOSAL ............................................................................................................................................... 11 CITY OF CLEARWATER ADDENDUM SHEET ............................................................................... 13 BIDDER’S PROPOSAL ........................................................................................................................... 14 SCRUTINIZED COMPANIES AND BUSINESS OPERATIONS WITH CUBA AND SYRIA CERTIFICATION FORM ....................................................................................................................... 16 SECTION V – Contract Documents SECTION V Page 1 of 16 Updated: 10/16/2017 Bond No.:________________ PUBLIC CONSTRUCTION BOND (1) This bond is given to comply with § 255.05, Florida Statutes, and any action instituted by a claimant under this bond for payment must be in accordance with the notice and time limitation provisions in subsections (2) and (10). Pursuant to § 255.05(1)(b), Florida Statutes, “Before commencing the work or before recommencing the work after a default or abandonment, the contractor shall provide to the public entity a certified copy of the recorded bond. Notwithstanding the terms of the contract or any other law governing prompt payment for construction services, the public entity may not make a payment to the contractor until the contractor has complied with this paragraph.” CONTRACTOR SURETY OWNER KAT Construction & Materials, Inc. 22031 US Hwy 19, Clearwater, FL 33765 727-333-7105 [name] [principal business address] [phone number] City of Clearwater Engineering Dept. 100 S. Myrtle Avenue Clearwater, FL 33756 (727) 562-4747 PROJECT NAME: WATER TREATMENT FLUORIDE ADDITION – WTP 1 AND WTP 2 PROJECT NO.: 16-0031-UT PROJECT DESCRIPTION: Fluoride feed facilities at the City’s Water Treatment Plants 1 and 2 (WTP 1 and WTP 2). The fluoride equipment includes storage, pumping, and related equipment to add fluoride to the City’s potable water system. BY THIS BOND, We, __________________________________, as Contractor, and __________________________________________________, a corporation, as Surety, are bound to the City of Clearwater, Florida, herein called Owner, in the sum of $552,036.20, for payment of which we bind ourselves, our heirs, personal representatives, successors, and assigns, jointly and severally. THE CONDITION OF THIS BOND is that if Contractor: 1. Performs the contract dated _________________, between Contractor and Owner for construction of WATER TREATMENT FLUORIDE ADDITION – WTP 1 AND WTP 2, the contract documents being made a part of this bond by reference (which include the Advertisement for Bids, Proposal, Contract, Surety Bond, Instructions to Bidders, General Conditions, Plans, Technical Specifications and Appendix, and such alterations as may be made in said Plans and Specifications as therein provided for), at the times and in the manner prescribed in the contract; and 2. Promptly makes payments to all claimants, as defined in Section 255.05(1), Florida Statutes, supplying Contractor with labor, materials, or supplies, used directly or indirectly by Contractor in the prosecution of the work provided for in the contract; and SECTION V – Contract Documents SECTION V Page 2 of 16 Updated: 10/16/2017 Bond No.:________________ PUBLIC CONSTRUCTION BOND (2) 3. Pays Owner all losses, damages, expenses, costs, and attorney’s fees, including appellate proceedings, that Owner sustains because of a default by Contractor under the contract; and 4. To the limits of § 725.06(2), Florida Statutes, shall indemnify and hold harmless Owner, their officers and employees, from liabilities, damages, losses and costs, including, but not limited to, reasonable attorney’s fees, to the extent caused by the negligence, recklessness, or intentional wrongful misconduct of Contractor and persons employed or utilized by Contractor in the performance of the construction contract; and 5. Performs the guarantee of all work and materials furnished under the contract for the time specified in the contract, then this bond is void; otherwise it remains in full force. 6. Any action instituted by a claimant under this bond for payment must be in accordance with the notice and time limitation provisions in Section 255.05(2), Florida Statutes. 7. Any changes in or under the contract documents and compliance or noncompliance with any formalities connect he contract or the changes does not affect Surety’s obligation under this bond, and Surety does hereby ed with t waive notice of any such change, extension of time, alteration or addition to the terms of the contract or to the work or to the specifications. IN TESTIMONY WHEREOF, witness the hands and seals of the parties hereto this __________ day of ________________, 20___. (If sole Ownership or Partnership, two (2) Witnesses required). (If Corporation, Secretary only will attest and affix seal). KAT Construction & Materials, Inc. By: ____________________________ Title: ____________________________ Print Name: ____________________________ WITNESS: WITNESS: _______________________________________ _______________________________________ Corporate Secretary or Witness Print Name: ____________________________ Print Name: _____________________________ (affix corporate seal)_______________________________________ (Corporate Surety) By: _________________________________ ATTORNEY-IN-FACT Print Name: ___________________________ (affix corporate seal) (Power of Attorney must be attached) SECTION V – Contract Documents SECTION V Page 3 of 16 Updated: 10/16/2017 CONTRACT (1) This CONTRACT made and entered into this ___ day of ____________, 20___ by and between the City of Clearwater, Florida, a municipal corporation, hereinafter designated as the "City", and _____________________________________, of the City of ____________________ County of __________________________ and State of Florida, hereinafter designated as the "Contractor". [Or, if out of state:] This CONTRACT made and entered into this ___ day of ____________, 20___ by and between the City of Clearwater, Florida, a municipal corporation, hereinafter designated as the "City", and _____________________________________, a/an _____________(State) Corporation authorized to do business in the State of Florida, of the City of ____________________ County of __________________________ and State of ____________, hereinafter designated as the "Contractor". WITNESSETH: That the parties to this contract each in consideration of the undertakings, promises and agreements on the part of the other herein contained, do hereby undertake, promise and agree as follows: The Contractor, and his or its successors, assigns, executors or administrators, in consideration of the sums of money as herein after set forth to be paid by the City and to the Contractor, shall and will at their own cost and expense perform all labor, furnish all materials, tools and equipment for the following: PROJECT NAME: WATER TREATMENT FLUORIDE ADDITION – WTP 1 AND WTP 2 PROJECT NO.: 16-0031-UT in the amount of $ 552,036.20 In accordance with such proposal and technical supplemental specifications and such other special provisions and drawings, if any, which will be submitted by the City, together with any advertisement, instructions to bidders, general conditions, technical specifications, proposal and bond, which may be hereto attached, and any drawings if any, which may be herein referred to, are hereby made a part of this contract, and all of said work to be performed and completed by the contractor and its successors and assigns shall be fully completed in a good and workmanlike manner to the satisfaction of the City. If the Contractor should fail to comply with any of the terms, conditions, provisions or stipulations as contained herein within the time specified for completion of the work to be performed by the Contractor, then the City, may at its option, avail itself of any or all remedies provided on its behalf and shall have the right to proceed to complete such work as Contractor is obligated to perform in accordance with the provisions as contained herein. SECTION V – Contract Documents SECTION V Page 4 of 16 Updated: 10/16/2017 CONTRACT (2) THE CONTRACTOR AND HIS OR ITS SUCCESSORS AND ASSIGNS DOES HEREBY AGREE TO ASSUME THE DEFENSE OF ANY LEGAL ACTION WHICH MAY BE BROUGHT AGAINST THE CITY AS A RESULT OF THE CONTRACTOR'S ACTIVITIES ARISING OUT OF THIS CONTRACT AND FURTHERMORE, IN CONSIDERATION OF THE TERMS, STIPULATIONS AND CONDITIONS AS CONTAINED HEREIN, AGREES TO HOLD THE CITY FREE AND HARMLESS FROM ANY AND ALL CLAIMS FOR DAMAGES, COSTS OF SUITS, JUDGMENTS OR DECREES RESULTING FROM ANY CLAIMS MADE UNDER THIS CONTRACT AGAINST THE CITY OR THE CONTRACTOR OR THE CONTRACTOR'S SUB CONTRACTORS, AGENTS, SERVANTS OR EMPLOYEES RESULTING FROM ACTIVITIES BY THE AFOREMENTIONED CONTRACTOR, SUB CONTRACTOR, AGENT SERVANTS OR EMPLOYEES, TO THE LIMITS OF § 725.06(2). In addition to the foregoing provisions, the Contractor agrees to conform to the following requirements: In connection with the performance of work under this contract, the Contractor agrees not to discriminate against any employee or applicant for employment because of race, sex, religion, color, or national origin. The aforesaid provision shall include, but not be limited to, the following: employment, upgrading, demotion, or transfer; recruitment or recruitment advertising; lay off or termination; rates of pay or other forms of compensation; and selection for training, including apprenticeship. The Contractor agrees to post hereafter in conspicuous places, available for employees or applicants for employment, notices to be provided by the contracting officer setting forth the provisions of the non discrimination clause. The Contractor further agrees to insert the foregoing provisions in all contracts hereunder, including contracts or agreements with labor unions and/or worker's representatives, except sub contractors for standard commercial supplies or raw materials. It is mutually agreed between the parties hereto that time is of the essence of this contract, and in the event that the work to be performed by the Contractor is not completed within the time stipulated herein, it is then further agreed that the City may deduct from such sums or compensation as may be due to the Contractor the sum of $1,000.00 per day for each day that the work to be performed by the Contractor remains incomplete beyond the time limit specified herein, which sum of $1,000.00 per day shall only and solely represent damages which the City has sustained by reason of the failure of the Contractor to complete the work within the time stipulated, it being further agreed that this sum is not to be construed as a penalty but is only to be construed as liquidated damages for failure of the Contractor to complete and perform all work within the time period as specified in this contract. It is further mutually agreed between the City and the Contractor that if, any time after the execution of this contract and the public construction bond which is attached hereto for the faithful performance of the terms and conditions as contained herein by the Contractor, that the City shall at any time deem the surety or sureties upon such public construction bond to be unsatisfactory or if, for any reason, the said bond ceases to be adequate in amount to cover the performance of the work the Contractor shall, at his or its own expense, within ten (10) days after receipt of written notice from the City to do so, furnish an additional bond or bonds in such term and amounts and with such surety or sureties as shall be satisfactory to the City. If such an event occurs, no further payment shall be made to the Contractor under the terms and provisions of this contract until such new or additional security bond guaranteeing the faithful performance of the work under the terms hereof shall be completed and furnished to the City in a form satisfactory to it. SECTION V – Contract Documents SECTION V Page 5 of 16 Updated: 10/16/2017 CONTRACT (3) In addition to all other contract requirements as provided by law, the contractor executing this agreement agrees to comply with public records law. IF THE CONTRACTOR HAS QUESTIONS REGARDING THE APPLICATION OF CHAPTER 119, FLORIDA STATUTES, THE CONTRACTORS DUTY TO PROVIDE PUBLIC RECORDS RELATING TO THIS CONTRACT. CONTACT THE CUSTODIAN OF PUBLIC RECORDS AT 727-562-4092, Rosemarie.Call@myclearwater.com, 112 S. Osceola Ave., Clearwater, FL 33756 The contractor’s agreement to comply with public records law applies specifically to: a)Keep and maintain public records required by the City of Clearwater (hereinafter “public agency”) to perform the service being provided by the contractor hereunder. b)Upon request from the public agency’s custodian of public records, provide the public agency with a copy of the requested records or allow the records to be inspected or copied within a reasonable time at a cost that does not exceed the cost provided for in Chapter 119, Florida Statutes, as may be amended from time to time, or as otherwise provided by law. c)Ensure that the public records that are exempt or confidential and exempt from public records disclosure requirements are not disclosed except as authorized by law for the duration of the contract term and following completion of the contract if the contractor does not transfer the records to the public agency. d)Upon completion of the contract , transfer, at no cost, to the public agency all public records in possession of the contractor or keep and maintain public records required by the public agency to perform the service. If the contractor transfers all public records to the public agency upon completion of the contract, the contractor shall destroy any duplicate public records that are exempt or confidential and exempt from public records disclosure requirements. If the contractor keeps and maintains public records upon completion of the contract, the contractor shall meet all applicable requirements for retaining public records. All records stored electronically must be provided to the public agency, upon request from the public agency’s custodian of public records, in a format that is compatible with the information technology systems of the public agency. e)A request to inspect or copy public records relating to a public agency’s contract for services must be made directly to the public agency. If the public agency does not possess the requested records, the public agency shall immediately notify the contractor of the request and the contractor must provide the records to the public agency or allow the records to be inspected or copied within a reasonable time. f)The contractor hereby acknowledges and agrees that if the contractor does not comply with the public agency’s request for records, the public agency shall enforce the contract provisions in accordance with the contract. g)A contractor who fails to provide the public records to the public agency within a reasonable time may be subject to penalties under Section 119.10, Florida Statutes. h)If a civil action is filed against a contractor to compel production of public records relating to a public agency’s contract for services, the court shall assess and award against the contractor the reasonable costs of enforcement, including reasonable attorney fees, if: SECTION V – Contract Documents SECTION V Page 6 of 16 Updated: 10/16/2017 CONTRACT (4) 1.The court determines that the contractor unlawfully refused to comply with the public records request within a reasonable time; and 2.At least 8 business days before filing the action, the plaintiff provided written notice of the public records request, including a statement that the contractor has not complied with the request, to the public agency and to the contractor. i)A notice complies with subparagraph (h)2. if it is sent to the public agency’s custodian of public records and to the contractor at the contractor’s address listed on its contract with the public agency or to the contractor’s registered agent. Such notices must be sent by common carrier delivery service or by registered, Global Express Guaranteed, or certified mail, with postage or shipping paid by the sender and with evidence of delivery, which may be in an electronic format. j)A contractor who complies with a public records request within 8 business days after the notice is sent is not liable for the reasonable costs of enforcement. IN WITNESS WHEREOF, the parties to the agreement have hereunto set their hands and seals and have executed this Agreement, the day and year first above written. CITY OF CLEARWATER IN PINELLAS COUNTY, FLORIDA By: __________________________________ (SEAL) William B. Horne, II City Manager Attest: Countersigned: __________________________________________ Rosemarie Call City Clerk By: __________________________________ Approved as to form: George N. Cretekos, Mayor __________________________________________ Assistant City Attorney Contractor must indicate whether: ______ Corporation, ______ Partnership, ______ Company, or ______ Individual __________________________________________ (Contractor) By: _________________________ (SEAL) Print Name: ________________________________ Title: _____________________________________ The person signing shall, in his own handwriting, sign the Principal's name, his own name, and his title; where the person is signing for a Corporation, he must, by Affidavit, show his authority to bind the Corporation – provide Affidavit. SECTION V – Contract Documents SECTION V Page 7 of 16 Updated: 10/16/2017 CONSENT OF SURETY TO FINAL PAYMENT TO OWNER: City of Clearwater PROJECT NAME: WATER TREATMENT FLUORIDE ADDITION – WTP 1 AND WTP 2 Engineering Dept. PROJECT NO.: 16-0031-UT 100 S. Myrtle Ave. CONTRACT DATE: [__________] Clearwater, FL 33756 BOND NO. : [__________], recorded in O.R. Book [____], Page [____], of the Public Records of Pinellas County, Florida. CONTRACTOR: KAT Construction & Materials, Inc. Pursuant to § 255.05(11), Florida Statutes, and in accordance with the provisions of the Contract between the Owner and the Contractor as indicated above, the: [insert name of Surety] [address] [address] ,SURETY, on bond of KAT Construction & Materials, Inc. 22031 US Hwy 19 Clearwater, FL 33765 ,CONTRACTOR, hereby approves of the final payment to the Contractor, and agrees that final payment to the Contractor shall not relieve Surety of any of its obligations to City of Clearwater Engineering Dept. 100 S. Myrtle Ave. Clearwater, FL 33756 ,OWNER, as set forth in said Surety’s bond. IN WITNESS WHEREOF, the Surety has hereunto set its hand this ___ day of ___________, ______ __________________________________________ (Surety) __________________________________________ (Signature of authorized representative) __________________________________________ (Printed name and title) Attest: (Seal): I-CGC1523963Tooley, Patrick John 22031 US Hwy 19 Clearwater, FL 33765 � PINELLAS COUNTY CONSTRUCTION, ;;..,,, LICENSING BOARD TIIIS crnnlFlliS THAT Patrick John Tooley Dlli\ Kat Construction & Materials Inc STATli CERT 11 I-CGC1523963 I IAS l'ILEIJ I IIS/1 IER LICENSE AND PROOF OF REQUIREDLIABILITY AND WORKERS' COMPENSATIONINSURANCE WITH THIS BOARD. IN CiOOD STANDING UNTIL St•ptcmber 30, 2018DATE OF ISSUANCE 07/06/2017 *Please cul out license along lines Cover Memo City of Clearwater City Hall 112 S. Osceola Avenue Clearwater, FL 33756 File Number: 9129-18 Agenda Date: 4/16/2018 Status: Agenda ReadyVersion: 1 File Type: OrdinanceIn Control: Engineering Department Agenda Number: 5.2 SUBJECT/RECOMMENDATION: Approve the request from City of Clearwater staff to vacate a portion of public right-of-way of Haven Street dedicated by plat in Plat Book 5, Page 53, Official Records of Pinellas County, Florida, and certain real property dedicated as public right-of-way by City of Clearwater Resolution 79-50, as recorded in Official Records Book 4867, Page 1478, Pinellas County, Florida; pass Ordinance 9129-18 on first reading and authorize the appropriate officials to execute same. (VAC 2018-04) SUMMARY: As a pre-requisite to a land swap between the City of Clearwater and the Church of Scientology Flag Service Organization, Inc. (COS), it is necessary to vacate a portion of Haven Street and certain real property that was dedicated as Right-of-Way in Official Records Book 4867, Page 1478. The portion of property that remains in City ownership following the vacation will represent one of the three parcels to be swapped in the property exchange between the City and COS. The land swap, which is outlined in more depth in that certain Contract for Exchange of Real Property agenda item, being presented for City Council consideration simultaneously herewith, will provide for the exchange of three city owned properties in return for a strategic downtown property owned by the COS. There are four conditions to this vacation. 1) the declaration of surplus of the city-owned portions of real property; 2) City Council approval of the Contract for Exchange of Real Property along with the closing on, and conveyance of, the property as contemplated in the contract; 3) The City will retain a blanket general utility, drainage and gas easement over the entire premises to be vacated; and 4) Easements will need to be granted to private utility companies so that they may sustain their existing utilities, as well. All city departments have reviewed this vacation and have no objection. Page 1 City of Clearwater Printed on 4/16/2018 [GM17-9216-055/215742/1]1 Ord. No. 9129-18 ORDINANCE NO. 9129-18 AN ORDINANCE OF THE CITY OF CLEARWATER, FLORIDA, VACATING PUBLIC RIGHT-OF-WAY DESCRIBED AS THAT CERTAIN PORTION OF HAVEN STREET RIGHT-OF-WAY OF COURT SQUARE,AS RECORDED IN PLAT BOOK 5, PAGE 53 OF THE PUBLIC RECORDS OF PINELLAS COUNTY, FLORIDA AND A PORTION OF CERTAIN REAL PROPERTY DEDICATED AS RIGHT-OF-WAY IN RESOLUTION NO. 79-50 OF THE CITY OF CLEARWATER, FLORIDA, AS RECORDED IN OFFICIAL RECORDS BOOK 4867, PAGE 1478 OF THE PUBLIC RECORDS OF PINELLAS COUNTY, FLORIDA, BOTH BEING BOUND BY FRANKLIN STREET TO THE NORTH, SOUTH GARDEN AVENUE TO THE EAST, COURT STREET TO THE SOUTH, AND SOUTH FORT HARRISON AVENUE TO THE WEST; SUBJECT TO, AMONG OTHER THINGS, A BLANKET GENERAL UTILITY, DRAINAGE AND GAS EASEMENT TO BE RESERVED OVER THE ENTIRE RIGHT-OF-WAY TO BE VACATED HEREIN; SUBJECT TO THE GRANTING OF CERTAIN PRIVATE UTILITY EASEMENTS AS MORE PARTICULARLY DESCRIBED HEREIN; PROVIDING AN EFFECTIVE DATE. WHEREAS, the owner in fee title of real property adjoining the right-of-way described and depicted in Exhibit “A” (attached hereto and incorporated herein) (“Platted Right-of-way”), has requested that the City vacate said right-of-way; and WHEREAS, the City, as owner in fee title of real property described and depicted in Exhibit “B” (attached hereto and incorporated herein) (“Dedicated Right-of-way”), which is adjacent to the property described in Exhibit “A” and which was dedicated as right-of- way by Resolution 79-50 of the City of Clearwater, Florida, finds it appropriate to vacate said right-of-way; and WHEREAS, the Platted Right-of-way and Dedicated Right-of-way shall be referred to collectively herein as “Entire Right-of-way” (Exhibit “C”); and [GM17-9216-055/215742/1]2 Ord. No. 9129-18 WHEREAS, the City Council of the City of Clearwater, Florida finds that said right- of-way is not necessary for municipal use and it is deemed to be in the best interest of the City and the general public that the same be vacated; now, therefore, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CLEARWATER, FLORIDA: Section 1. The following: The right-of-way described as follows: That certain portion of Platted Right-of-way of Haven Street as more particularly described in Exhibit “A” and that certain portion of Dedicated Right-of-way as more particularly described in Exhibit “B” is hereby vacated, closed and released, and the City of Clearwater releases all of its right, title and interest thereto, contingent upon the following conditions precedent: 1.The declaration as surplus of the City-owned portions of the real property described in Exhibits “A” and “B” in accordance with the City of Clearwater Code of Ordinances and City policies and procedures; and 2.Clearwater City Council approval of that certain Contract for Exchange of Real Property (as set forth in full in Exhibit “D” attached hereto and incorporated herein) and the closing on, and conveyance of, the property as contemplated therein; and 3.The City hereby reserves and retains a Blanket Utility, Drainage and Gas Easement over the Entire Right-of-way vacated parcel for the installation, maintenance and replacement of any and all utilities thereon by the City of Clearwater and for ingress and egress across the entire parcel for said purposes; and 4.As a pre-requisite to the vacation becoming effective, all property owners abutting the Entire Right-of-way vacated hereby shall grant easements to Duke Energy Florida, Inc. (doing business as “Duke Energy”), Bright House Networks, LLC, Verizon Florida, Inc., and Knology of Central Florida (doing business as WOW!), as requested by each entity, the location and terms of which are acceptable to the respective utility providers. This vacation ordinance shall be null and void if this condition is not met within forty-five (45) calendar days from the adoption of this ordinance. Section 2. The City Clerk shall record this ordinance in the Public Records of Pinellas County, Florida, following adoption. Section 3. This ordinance shall take effect immediately upon adoption. [GM17-9216-055/215742/1]3 Ord. No. 9129-18 PASSED ON FIRST READING ________________________________ PASSED ON SECOND AND FINAL READING AND ADOPTED ________________________________ ________________________________ George N. Cretekos Mayor Approved as to form: Attest: ________________________________________________________________ Laura Lipowski Mahony Rosemarie Call Assistant City Attorney City Clerk Court Square Plat Book 5, Page 53 Court Square Plat Book 5, Page 53 Court Square Plat Book 5, Page 53 CONTRACT FOR EXCHANGE OF REAL PROPERTY THIS CONTRACT FOR EXCHANGE OF REAL PROPERTY is made on _______________, 2018 (“Effective Date”), by and between the CHURCH OF SCIENTOLOGY FLAG SERVICE ORGANIZATION, INC., a Florida not for profit corporation (herein “COS”), of 503 Cleveland Street, Clearwater, Florida 33755, and the CITY OF CLEARWATER, FLORIDA, a Municipal corporation of the State of Florida (herein "City") of P.O. Box 4748, Clearwater, Florida 33758-4748, ATTENTION: William B. Horne, II, City Manager, (collectively "Parties") hereby agree that the Parties shall exchange the following real property ("Real Property") (CITY’s Property and COS’s Property, as defined below, is sometimes collectively referred to as "Property") upon the following terms and conditions. 1. PROPERTY DESCRIPTION LEGAL DESCRIPTION: Property to be conveyed by COS to CITY consists of a certain parcel of real property as described on Exhibit “A” attached hereto and made part hereof (“COS Property”). Property to be conveyed by CITY to COS consists of three certain parcels of real property as described on Exhibit “B” attached hereto and made part hereof (“CITY Property”). 2. FULL PURCHASE PRICE: This Agreement is for an exchange of Property as between the Parties and there is no additional consideration to be paid by either party at Closing. At the time of Closing, COS shall convey to City, pursuant to the terms herein, COS Property, and CITY shall convey to COS the City Property. The conveyance of the COS Property shall constitute full consideration for the conveyance of the City Property. The conveyance of the City Property shall constitute full consideration for the conveyance of the COS Property. 3. MANNER OF PAYMENT: CITY Property shall be conveyed to COS by Special Warranty Deed. COS Property shall be conveyed to City by Warranty Deed; and, closing costs shall be attributed to the Parties as provided for herein. 4. PURCHASE PRICE The Full Purchase Price is based upon appraisals of both the COS Property and the CITY Property by James M. Millspaugh & Associates dated October 3, 2016, February 17, 2017 respectively, as amended March 8, 2017 and March 21, 2018, all of which are on file with the City Real Estate Department. [GM17-9216-055/217711/1] Page 1 of 15 5. TIME FOR ACCEPTANCE; APPROVALS Following execution of this contract by COS, the price, terms and conditions as contained herein shall remain unchanged and be held unconditionally open for a period of 45 days following delivery in duplicate original to City Manager of the City of Clearwater for acceptance and approval, counter-offer, or rejection by action of the Clearwater City Council ("Council"). If this agreement is accepted and approved by the Council, it will be executed by duly authorized City officials and delivered to COS within 10 days thereafter. If a counter-offer is approved by the Council, it shall be delivered to COS in writing within 10 days of such action by the City Council, and COS shall have 10 days thereafter to deliver to CITY, written notice of acceptance or rejection of such counter-offer. If written notice of acceptance is not timely delivered, or if the counter- offer is rejected by COS, this contract shall thereafter be null and void in all respects. If this contract is rejected by the Council upon initial presentation to the Council, this contract shall be null and void in all respects and COS shall be so informed in writing within 5 days of such action. Contingencies: The exchange proposed in this contract shall be contingent upon: (1) the declaration of the City Property as surplus in accordance with the City of Clearwater Code of Ordinances/Charter; (2) City Council approval of a vacating ordinance which vacates that certain portion of public right-of-way f/k/a and platted as Haven Street and a portion of right-of-way dedicated in Resolution 79-50 of the City of Clearwater, Florida (as more particularly described in Exhibit “C” attached hereto and incorporated herein) (Said vacation ordinance shall be conditioned upon, among other things, the Closing of the property exchange as contemplated herein and the granting of utility easements by COS to certain private utility companies);; and (3) the City being granted adequate access to the COS Property in accordance with the timeframes contemplated herein for purposes of conducting inspections and investigations, including environmental investigations, as provided for herein. Should COS fail to provide access to the City, such failure shall constitute a material breach and this Contract shall be null and void in all respects with neither party having any further obligation to the other. 6. TITLE COS warrants that at the time of closing, COS shall have legal capacity to and shall convey marketable title to the COS Property by Warranty Deed, subject only to matters contained in Paragraph 7 acceptable to CITY. Otherwise title shall be free of liens, easements and encumbrances of record or known to COS, but subject to property taxes for the year of closing; covenants, restrictions and public utility easements of record; and no others provided there exists at closing no violation of the foregoing and none of them prevents CITY's intended use of the COS Property for downtown redevelopment purposes. COS warrants and represents that there is ingress and egress to the Real Property sufficient for the intended use as described herein. [GM17-9216-055/217711/1] Page 2 of 15 CITY warrants legal capacity to and shall convey marketable title to the CITY Property by Special Warranty Deed, subject only to matters contained in Paragraph 7 acceptable to COS. Otherwise title shall be free of liens, easements and encumbrances of record or known to City, but subject to property taxes for the year of closing; covenants, restrictions and public utility easements of record; and no others provided there exists at closing no violation of the foregoing and none of them prevents COS's intended use of the CITY Property for redevelopment purposes. CITY warrants and represents that there is ingress and egress to the Real Property sufficient for the intended use as described herein. 7. TITLE EVIDENCE Each party shall, at the expense of the party granting title and within 15 days prior to closing date, deliver to the other party, a title insurance commitment issued by a Florida licensed title insurer agreeing to liens, encumbrances, exceptions or qualifications set forth in this Contract, and those which shall be discharged by CITY or COS as may be appropriate at or before closing for both the COS Property and the CITY Property, as their interests may appear. The parties shall convey marketable title subject only to liens, encumbrances, exceptions or qualifications set forth in this Contract. Marketable title shall be determined according to applicable Title Standards adopted by The Florida Bar and in accordance with law. The other party shall have 5 days from receiving evidence of title to examine it. If title is found defective, the objecting party shall, within 3 days thereafter, notify the other party in writing specifying defect(s). If the defect(s) render title unmarketable, the granting party will have 120 days from receipt of notice within which to remove the defect(s), failing which the objecting party shall have the option of either accepting the title as it then is or withdrawing from this Contract. CITY or COS, as appropriate will, if title is found unmarketable, make diligent effort to correct defect(s) in title within the time provided therefore, including the bringing of necessary suits. 8. SURVEY The Parties, at their own expense, within time allowed to deliver evidence of title and to examine same, may have the CITY Property or COS Property surveyed (by COS or CITY, respectively) and certified to the other party and closing agent by a registered Florida land surveyor. If survey shows any encroachment on the respective parcel, or that improvements located on real property encroach on setback lines, easements, lands of others, or violate any restrictions, contract covenants or applicable governmental regulation, the same shall constitute a title defect. The survey shall be performed to minimum technical standards of the Florida Administrative Code and may include a description of the property under the Florida Coordinate System as defined in Chapter 177, Florida Statutes. 9. CLOSING PLACE AND DATE [GM17-9216-055/217711/1] Page 3 of 15 [X] COS [ ] CITY shall designate closing agent and this transaction shall be closed in the offices of the designated closing agent in Pinellas County, Florida, on or before August 17, 2018 but in no case later than 120 days of the effective date, unless extended by other provisions of this contract. If either party is unable to comply with any provision of this contract within the time allowed, and be prepared to close as set forth above, after making all reasonable and diligent efforts to comply, then upon giving written notice to the other party, time of closing may be extended up to 60 days without effect upon any other term, covenant or condition contained in this contract. 10. CLOSING DOCUMENTS Closing Agent, on behalf of COS, shall furnish closing statements for the respective parties, deed, bill of sale (if applicable), mechanic's lien affidavit, assignments of leases, tenant and mortgage estoppel letters, and corrective instruments for both conveyances. The appropriate parties shall deliver resolutions authorizing the sale and delivery of the deed and certifying the resolution and setting forth facts showing the conveyance conforms to the requirements of local law. 11. CLOSING EXPENSES Documentary stamps on the COS Property deed, unless this transaction is exempt under Chapter 201.24, Florida Statutes, shall be paid by the COS. Documentary stamps on the CITY Property deed, unless this transaction is exempt under Chapter 201.24, Florida Statues, shall be paid by the COS. Each party shall also pay the costs of recording any corrective instruments required to insure marketable title of the property being conveyed by that party. Recordation costs of the deeds shall be paid by the respective grantee. 12. PRORATIONS; CREDITS Taxes, assessments, rent (if any) and other revenue of the Properties shall be prorated through the day before closing. Closing agent shall collect all ad valorem taxes uncollected but due through day prior to closing and deliver same to the Pinellas County Tax Collector with notification to thereafter exempt the Property acquired by the City from taxation as provided in Chapter 196, Florida Statutes (2016). If the amount of taxes and assessments for the current year cannot be ascertained, rates for the previous year shall be used with due allowance being made for improvements and exemptions. Any deposits held in trust for third parties in occupancy of the Properties shall be credited to the other party at time of closing. Assessments for any improvements that are substantially complete at time of closing shall be paid in full by respective owner/seller. 13. OCCUPANCY The parties warrant to one another that there are no parties in occupancy on the respective Properties, unless as otherwise disclosed herein. If Property is intended to [GM17-9216-055/217711/1] Page 4 of 15 be rented or occupied beyond closing, the fact and terms thereof shall be stated herein, and the tenant(s) or occupants disclosed pursuant to Paragraph 14. The Parties agree to deliver occupancy of the respective Property at time of closing unless otherwise stated herein. If occupancy is to be delivered before closing, the Party taking occupancy assumes all risk of loss to Property from date of occupancy, shall be responsible and liable for maintenance from that date, and shall be deemed to have accepted Property in its existing conditions as of the time of taking occupancy unless otherwise stated herein or in separate writing. 14. LEASES The parties shall, not less than 15 days before closing, furnish to the other party copies of all written leases and estoppel letters from each tenant specifying the nature and duration of the tenant's occupancy, rental rates, advanced rent and security deposits paid by tenant. If unable to obtain such letter from each tenant, the same information shall be furnished by the other party within that time period in the form of an affidavit, and the party may thereafter contact tenants to confirm such information. The granting party shall, at closing, deliver and assign all original leases to the other party and credit the parties with all advanced rents and security deposits paid by or on behalf of each tenant. 15. PROPERTY CONDITION The parties shall deliver the respective Properties to the respective grantee party at time of closing in their present "as is" condition, ordinary wear and tear excepted, and shall maintain the landscaping and grounds in a comparable condition. Neither party makes any warranty other than as is disclosed herein in Paragraph 21 (“WARRANTIES”) and marketability of title. Each Party’s covenant to exchange the respective Properties “as is” is more specifically represented in either subparagraph 1. a. or b. as marked [X]. a. [ ] As Is: Buyer has inspected the Property or waives any right to inspect and accepts the Property in its present "as is" condition. b. [X] As Is With Right of Inspection: Each Grantee may, at its expense and within 90 days following the Effective Date ("Inspection Period"), conduct inspections, tests, environmental and any other investigations of the Property it is acquiring as it deems necessary to determine suitability for its intended use. The other Party shall grant reasonable access to the Property to said Grantee, its agents, contractors and assigns for the purposes of conducting the inspections provided, however, that all such persons enter the Property and conduct the inspections and investigations at their own risk. Each Party will, upon reasonable notice, provide utilities services as may be required for Grantee’s inspections and investigations. Each Party shall not engage in any activity that could result in a mechanics lien being filed against the Property without respective Grantor’s prior written consent. Grantee may terminate this contract by written notice to [GM17-9216-055/217711/1] Page 5 of 15 the respective Grantor prior to expiration of the Inspection Period if the inspections and/or investigations reveal conditions which are reasonably unsatisfactory to Grantee, unless the respective Grantor elects to repair or otherwise remedy such conditions to Grantee satisfaction; or Grantee, at its option, may elect to accept a credit at closing of the total for estimated repair costs as determined by a licensed general contractor of Grantee’s selection and expense. If this transaction does not close, grantee agrees, at Grantee expense, to repair all damages to the Property resulting from the inspections and investigations and return the Property to its present condition. Access to the COS Property shall be granted to City as of the Effective Date of this Contract for purposes of conducting the inspections and investigations provided for herein. Should COS fail to provide the City adequate access to the COS Property for investigations as provided for herein, this Contract shall be null and void in all respects with neither party having any further obligation to the other. 16. WALK-THROUGH INSPECTION At a time mutually agreeable between the parties, but not later than the day prior to closing, the parties may conduct a final "walk-through" inspection of the Properties to determine compliance with any obligations under Paragraphs 8, 13 and 15 and to ensure that all Property is in and on the premises. No new issues may be raised as a result of the walk-through. 17. HOLD HARMLESS CITY is self-insured, and subject to the limits and restrictions of the Florida Sovereign immunity statute, F.S. 768.28, agrees to indemnify and hold harmless COS from claims of injury to persons or property during the inspections and investigations described in Paragraph 15(b) resulting from CITY's own negligence only, or that of its employees or agents only, subject to the limits and restrictions of the sovereign immunity statute. COS agrees to indemnify and hold harmless the City from claims of injury to persons or property during the inspections and investigations described in Paragraph 15(b) resulting from COS own negligence, or that of its employees or agents only. 18. RISK OF LOSS If any of the property is damaged by fire or other casualty before closing and cost of restoration does not exceed 3% of the assessed valuation of the property so damaged, cost of restoration shall be an obligation of the grantor party and closing shall proceed pursuant to the terms of this contract with restoration costs escrowed at closing. If the cost of restoration exceeds 3% of the assessed valuation of the improvements so damaged, the respective Grantee shall have the option of either taking the Property "as is", together with either the 3% or any insurance proceeds payable by virtue of such loss or damage, or of canceling this contract. [GM17-9216-055/217711/1] Page 6 of 15 19. PROCEEDS OF SALE; CLOSING PROCEDURE The deeds to the CITY Property and COS Properties shall be recorded upon delivery of all deeds and other required closing documents, and payment and clearance of funds payable for title insurance and other closing costs. Proceeds of sale shall be held in escrow by COS's attorney or by such other mutually acceptable escrow agent for a period of not longer than 5 days from and after closing, during which time evidence of title shall be continued at the respective owner’s expense to show title in the other party, without any encumbrances or change which would render the property’s title unmarketable from the date of the last title evidence. If title is rendered unmarketable through no fault of the other party, the objecting party shall, within the 5 day period, notify the other party in writing of the defect and the non-objecting party shall have 30 days from the date of receipt of such notification to cure the defect. If the defect is not timely cured, all funds paid by or on behalf of the other party shall, upon written demand made and within 5 days after demand, be returned to the other party and simultaneously with such repayment, the property shall be reconveyed by the same type deed of the original conveyance. If the objecting party fails to make timely demand for refund and reconveyance of property, objecting party shall take title "as is", waiving all rights against the non-objecting party as to any intervening defect except as may be available to objecting party by virtue of warranties contained in the deed. The escrow and closing procedure required by this provision may be waived if title agent insures adverse matters pursuant to Section 627.7841, F.S. (2016), as amended. 20. DEFAULT If this transaction is not closed due to any default or failure on the part of the Grantor, other than to make the title marketable after diligent effort, the respective Grantee may seek specific performance or unilaterally cancel this agreement upon giving written notice to Grantor. If a Broker is owed a brokerage fee regarding this transaction, the defaulting party shall be liable for such fee. 21. RESPECTIVE GRANTOR WARRANTIES Respective Grantors warrant that there are no known facts that would materially effect the value of the Properties, or which would be detrimental to the Properties, or which would effect parties desire to exchange the properties except as follows: NONE The parties shall have the number of days granted in Paragraph 15(b) above ("Inspection Period") to investigate said matters as disclosed by the other party, and shall notify the granting party in writing regarding closing on this contract notwithstanding said matters, or whether the contract shall be cancelled. Failure to notify the other party within said time period, the respective Grantee shall be deemed to have waived any objection to the disclosed matters and shall have the obligation to close on the contract. [GM17-9216-055/217711/1] Page 7 of 15 22. RADON GAS NOTIFICATION In accordance with provisions of Section 404.056(5), Florida Statutes (2016), as amended, the parties is hereby informed as follows: RADON GAS: Radon is a naturally occurring radioactive gas that, when it has accumulated in a building in sufficient quantities, may present health risks to persons who are exposed to it over time. Levels of radon that exceed federal and state guidelines have been found in buildings in Florida. Additional information regarding radon and radon testing may be obtained from your county public health unit. 23. CONTRACT NOT RECORDABLE; PERSONS BOUND Neither this contract nor any notice of it shall be recorded in any public records. This contract shall bind and inure to the benefit of the parties and their successors in interest. Whenever the context permits, singular shall include plural and one gender shall include all. 24. NOTICE All notices provided for herein shall be deemed to have been duly given if and when deposited in the United States Mail, properly stamped and addressed to the respective party to be notified, including the parties to this contract, the parties attorneys, escrow agent, inspectors, contractors and all others who will in any way act at the behest of the parties to satisfy all terms and conditions of this contract. 25. ASSIGNABILITY; PERSONS BOUND This contract [X] is not assignable [ ] is assignable. The terms "CITY", "COS", and "Broker" (if any) may be singular or plural. This Contract is binding upon CITY, COS, and their heirs, personal representatives, successors and assigns (if assignment is permitted). 26. ATTORNEY FEES; COSTS In any litigation arising out of this contract, each party shall be reasonable for its own attorney's fees and costs. 27. TYPEWRITTEN OR HANDWRITTEN PROVISIONS Typewritten or handwritten provisions shall control all printed provisions of contract in conflict with them. [GM17-9216-055/217711/1] Page 8 of 15 28. BROKER REPRESENTATION Neither party is represented by a real estate broker. 29. EFFECT OF PARTIAL INVALIDITY The invalidity of any provision of this contract will not and shall not be deemed to effect the validity of any other provision. In the event that any provision of this contract is held to be invalid, the parties agree that the remaining provisions shall be deemed to be in full force and effect as if they had been executed by both parties subsequent to the expungement of the invalid provision. 30. GOVERNING LAW It is agreed by and between the parties hereto that this contract shall be governed by, construed, and enforced in accordance with the laws of the State of Florida. In any litigation arising out of or relating to this Contract, the Parties agree that venue shall be in the United States District Court, Middle District of Florida, Tampa Division, or the Circuit Court located in Pinellas County, Florida. 31. COUNTERPARTS; FACSIMILE COPY This contract may be executed in two or more counterparts, each of which shall be deemed an original and all of which together shall constitute one instrument. A facsimile copy of this contract, including any addendum, attachments and any written modifications hereof, and any initials or signature thereon shall be deemed an original. 32. EXHIBITS ATTACHED Exhibit “A” (legal description of COS Property), Exhibit “B” (legal description of CITY Property), and Exhibit “C” (legal description of public right-of-way to be vacated f/k/a and platted as Haven Street) are attached hereto and made a part of this contract. 33. ENTIRE AGREEMENT Upon execution by COS and CITY, this contract shall constitute the entire agreement between the parties, shall supersede any and all prior and contemporaneous written and oral promises, representations or conditions in respect thereto. All prior negotiations, agreements, memoranda and writings shall be merged herein. Any changes to be made in this agreement shall only be valid when expressed in writing, acknowledged by the parties and incorporated herein or attached hereto. [GM17-9216-055/217711/1] Page 9 of 15 City Signature Page to Contract For Exchange of Real Property Countersigned: CITY OF CLEARWATER, FLORIDA __________________________ By: _________________________ George N. Cretekos William B. Horne II Mayor City Manager Approved as to form: Attest: __________________________ _____________________________ Laura Lipowski Mahony Rosemarie Call Assistant City Attorney City Clerk [GM17-9216-055/217711/1] Page 10 of 15 COS Signature Page to Contract For Exchange of Real Property CHURCH OF SCIENTOLOGY FLAG SERVICE ORGANIZATION, INC., a Florida not for profit corporation By: _________________________ Print Name: Title: Attest: ________________________________ ________________________________ Print Name ________________________________ ________________________________ Print Name [GM17-9216-055/217711/1] Page 11 of 15 EXHIBIT “A” COS PROPERTY Parcel No. 15-29-15-53928-005-0011 [GM17-9216-055/217711/1] Page 12 of 15 EXHIBIT “B” CITY PROPERTY • 600 Franklin Street – The South 60’ of Lot 1, Block 7, Gould & Ewing’s 1st and 2nd Addition to Clearwater-Harbor Fla, Plat Book 1, Page 52, Public Records of Hillsborough County, of which Pinellas County was formerly a part. • Dedicated Right-of-Way – a portion of Lot 34 and a portion of the vacated Haven Street, Court Square Subdivision, Plat Book 5, Page 53, Public Records of Pinellas County, Florida. • The North 37’ of the West 121’ of the South half of Lot 1, Block 5, of Gould & Ewing’s 1st and 2nd Addition to Clearwater-Harbor Fla., Plat Book 1, Page 52, of the Public Records of Hillsborough County, Florida, of which Pinellas County was formerly a part. [GM17-9216-055/217711/1] Page 13 of 15 EXHIBIT “C” A PORTION OF PUBLIC RIGHT-OF-WAY TO BE VACATED FORMERLY KNOWN AS AND PLATTED AS HAVEN STREET IN PLAT BOOK 5, PAGE 53, PUBLIC RECORDS OF PINELLAS COUNTY, FLORIDA AND A PORTION OF RIGHT-OF-WAY DEDICATED IN RESOLUTION 79-50 OF THE CITY OF CLEARWATER, FLORIDA AS MORE PARTICULALRY DESCIRBED HEREIN [LEGAL DESCRIPTION AND SKETCH ON FOLLOWING PAGE] [GM17-9216-055/217711/1] Page 14 of 15 [GM17-9216-055/217711/1] Page 15 of 15 9771432v1 Cover Memo City of Clearwater City Hall 112 S. Osceola Avenue Clearwater, FL 33756 File Number: ID#18-4487 Agenda Date: 4/16/2018 Status: Agenda ReadyVersion: 1 File Type: Action ItemIn Control: Engineering Department Agenda Number: 5.3 SUBJECT/RECOMMENDATION: Declare three parcels of certain real property in Section 16, Township 29 South, Range 15 East, formerly used respectively as right-of-way, a meeting facility that supported old Fire Station 45, and a parking lot consisting of 9 parking spaces adjacent to the North Garden Avenue Parking Garage as surplus for the purpose of exchanging the three parcels for a strategic parcel in the downtown core, which is of greater value, currently owned by the Church of Scientology Flag Service Organization, Inc. (COS) and authorize the appropriate officials to execute same. (APH) SUMMARY: The City is the owner of three parcels of land more particularly described as: 1.600 Franklin Street - The South 60’ of Lot 1, Block 7, Gould & Ewing’s 1st and 2nd Addition to Clearwater-Harbor Fla, Plat Book 1, Page 52, Public Records of Hillsborough County, of which Pinellas County was formerly a part. 2.Dedicated Right-of-Way - a portion of Lot 34 and a portion of the vacated Haven Street, Court Square Subdivision, Plat Book 5, Page 53, Public Records of Pinellas County, Florida. 3.The North 37’ of the West 121’ of the South half of Lot 1, Block 5, of Gould & Ewing’s 1st and 2nd Addition to Clearwater-Harbor Fla., Plat Book 1, Page 52, of the Public Records of Hillsborough County, Florida, of which Pinellas County was formerly a part. The first parcel, 600 Franklin Street, supported the old Fire Station 45. The property is approximately 3,660 square feet and the appraised value of the parcel has been determined by James Millspaugh & Associates, Inc., to be One Hundred Sixty-Five Thousand dollars ($165,000.00). The second parcel, the right-of-way parcel, is located North of Court Street, between S. Garden Avenue and S. Fort Harrison Avenue, and contains right-of-way both dedicated as Haven Street by plat and right-of-way dedicated by a Resolution of the Clearwater City Council. The Haven Street portion of the right-of-way parcel was dedicated in Plat Book 5, Page 53, Official Records of Pinellas County, Florida in 1922, and will join the adjacent fee-owned lots by operation of law upon vacation. The right-of-way over City-owned lots 34 and 45 of Court Square Subdivision was dedicated by Resolution No. 79-50 in Official Records Book 4867, Page 1478, Official Records of Pinellas County. Following the vacation of the right-of-way parcel in accordance with Vacation Ordinance 9129-18, being presented for Council approval simultaneously herewith, the remaining City-owned property will be approximately 4,750 square Page 1 City of Clearwater Printed on 4/16/2018 File Number: ID#18-4487 feet. The appraised value of right-of-way/city owned parcel has been determined by Jim Millspaugh & Associates, Inc., to be Two Hundred Thousand dollars ($200,000.00). The third parcel, located at 28 North Garden Avenue (commonly known as the City of Clearwater’s North Garden Avenue Parking Lot) lying east of Watterson Avenue, north of Cleveland Street, south of Hendricks Street, and west of N Garden Avenue. This lot is approximately 4,500 square feet and includes 9 parking spaces, open to the public. The parking rate at this lot is $0.50 an hour with a maximum time limit of 2 hours. The appraised value of this property, as determined by James Millspaugh & Associates, Inc, is Ninety Thousand dollars ($90,000.00). The property owned by COS, to be granted to the city is a paved parking lot in disrepair at the southwest corner of Martin Luther King Jr Avenue and Cleveland Street, Parcel ID# 15-29-15-53928-0005-0011. The appraised value of this property, as determined by James Millspaugh & Associates, Inc, is $640,000.00. The Nolen Project in the downtown core creates a need for public parking. It is contemplated that the property to be conveyed to the city will provide some needed parking. Per City Charter Section 2.01(d)(5)(iv), real property declared surplus may be exchanged for other real property having a comparable appraised value. Page 2 City of Clearwater Printed on 4/16/2018 55 50 203050 1 2 34 41/0233055 50 55(S)5035 3550 8070 6028 17 35 15 15 55 35 44 355035606059.5303052(S)3512121155(S)1550 23814 59580 32292 32292 32274 16528 * 85185 A B 1 2 6 5 7 17 18 20134 1 2 3 4 5 6 7 8 9 10 7 6 5 1 2 3 4 5 6 7 10 9 8 7 6 5 4 3 2 1 18 17 16 15 14 1 2 3 4 5 6 7 8 1 2 3 4 9 10 11 13 3 4 5 6 13 14 15 16 17 18 3 2 1 12 13 14 6 5 123456734 14131211109821 91011 1 2 3 4 5 6 7 8 4 3 2 1 23 22 21 20 1 3 4 9 2 8 12 1 2 3 1 7 12/01 12/03 12/0 2 11/01 11/03 12/10 A C 2 1 2 12 1 Garden Avenue Garage(City Owned) 24 46 34 28 33 512606124 530612628505615534515515101 527120 601600531100 619432-ENE 1/4 of 16-29-15 286B SE 1/4 of 9-29-15 277B DREW ST PARK ST CLEVELAND ST N GARDEN AVE HENDRICKS ST WATTERSON AVE LAURA ST N FORT HARRISON AVE S GARDEN AVE ²Prepared by:Engineering DepartmentGeographic Technology Division100 S. Myrtle Ave, Clearwater, FL 33756Ph: (727)562-4750, Fax: (727)526-4755www.MyClearwater.com CRM TM N.T.S.286B 16-29s-15e05/09/2017Map Gen By:Reviewed By:S-T-R:Grid #:Date:Scale: PART OF PARCEL ID 16-29-15-32274-005-0012,GARDEN AVENUE GARAGE28 N GARDEN AVE Path: V:\GIS\_Staff\Chris\Projects\City\Garden Ave Garage Parcel\GIS Map\GardenAvenueGarageParcel.mxd City Portion to be Swapped in Property Exchange The North 37’ of the West 121’ of the South half of Lot 1, Block 5, of Gould & Ewing’s 1st and 2nd Addition to Clearwater-Harbor Fla., Plat Book 1, Page 52, of the Public Records ofHillsborough County, Florida, of which Pinellas County was formerly a part. Hatc hed area further describe d as: THIS IS NOT A SURVEY Court Square Plat Book 5, Page 53 Platted and Dedicated Right of Way to be Declared Surplus COURT ST LAURA ST PARK ST CLEVELAND ST PIERCE ST S EAST AVEFRANKLIN ST S MYRTLE AVE S PROSPECT AVE EWING AVE S FORT HARRISON AVE S MARTIN LUTHER KING, JR. AVE N EAST AVEBOOTH AVE S GARDEN AVE N MYRTLE AVE N GARDEN AVE WATTERSON AVE PADUA LN N FORT HARRISON AVE MARKLEY ST NPROSPECTAVENATHANS LN PARK ST PIERCE ST S GARDEN AVE JB TM 286B 16-29s-15e 04/06/18Map Gen By:Reviewed By: S-T-R:Grid #: Date:Prepared by:Engineering DepartmentGeographic Technology Division100 S. Myrtle Ave, Clearwater, FL 33756Ph: (727)562-4750, Fax: (727)526-4755www.MyClearwater.com Proposed Property Swap Locations andAppraised Value Comparison Church of Scientology SiteAppraised Value: $640,000 ² N.T.S.Scale: Document Path: S:\ENV\Jim Benwell\GIS\Prop Swap with Church Values.mxd Parking Lot #4Appraised Value: $90,000 600 Franklin StAppraised Value: $165,000 Platted and Dedicated Right-of-WayAppraised Value: $200,000 3 Properties to b e Swapped by City Total: $45 5,000Property to b e Swapped by Church of Scientology: $6 40,00 0Difference in Tota l: $185,000 60174070 906050 96 155060 15 50 15 96 100 100 60606059.512121115CSXRAILROAD32292 54450 1864894896 18648 1220134 5 8 6 5 87 7 12 12 13 345 876 1234567 14131211109821 3 4 5 6 7 8 1 321 8910 7654321 89101112131412 3491011 6 7 8 1 2 3 4 5 321 8910 87654321 910111213141516 2 18 9 76 1 2 3 4 5 321 10 9 8 87654321 910111213141516 1 2 3 4 5 6 7 8 9 10 14131211 39 38 37 36 35 40 41 42 43 44 34 32198765432118171615 1923 3346 (52) 47 32 11 10 14/0213/0211 NE 1/4 of 16-29-15 286B S EAST AVEPARK ST COURT ST PIERCE ST FRANKLIN ST S FORT HARRISON AVE S GARDEN AVE ²Prepared by:Engineering DepartmentGeographic Technology Division100 S. Myrtle Ave, Clearwater, FL 33756Ph: (727)562-4750, Fax: (727)526-4755www.MyClearwater.com JCA TM N.T.S.286B 16-29s-15e04/06/2018Map Gen By:Reviewed By:S-T-R:Grid #:Date:Scale: PARCEL ID 16-29-15-32292-007-0011,600 FRANKLIN STREET Path: V:\GIS\Engineering\Location Maps\600FranklinSTParcel.mxd City Portion to be Swapped in Property Exchange The South 60’ of Lot 1, Block 7, of Gould & Ewing’s 1st and 2nd Addition to Clearwater-Harbor Fla., Plat Book 1, Page 52, of the Public Records ofHillsborough County, Florida, of which Pinellas County was formerly a part. Hatc hed area further describe d as: THIS IS NOT A SURVEY Cover Memo City of Clearwater City Hall 112 S. Osceola Avenue Clearwater, FL 33756 File Number: ID#18-4488 Agenda Date: 4/16/2018 Status: Agenda ReadyVersion: 1 File Type: Action ItemIn Control: Engineering Department Agenda Number: 5.4 SUBJECT/RECOMMENDATION: Approve the Contract for Exchange of Real Property providing for the exchange of certain city-owned real property for a strategic parcel in the downtown core which is of greater value and is owned by the Church of Scientology Flag Service Organization, Inc. (COS), authorize the appropriate officials to execute same, together with all other instruments necessary to affect closing. SUMMARY: The Nolen Project in the downtown core creates a need for public parking. The property at the Southwest corner of Cleveland Street and S. Martin Luther King Jr. Avenue at 1133 Cleveland Street abuts the Nolen Project and will provide needed parking. This property will be conveyed to the City by COS in exchange for three city-owned properties as more particularly described below. The COS property appraised at $640,000.00 by James Millspaugh & Associates, Inc. In exchange for this COS property, the City of Clearwater will convey three parcels of land more particularly described as: 1.600 Franklin Street - The South 60’ of Lot 1, Block 7, Gould & Ewing’s 1st and 2nd Addition to Clearwater-Harbor Fla, Plat Book 1, Page 52, Public Records of Hillsborough County, of which Pinellas County was formerly a part. 2.Dedicated Right-of-way - a portion of Lot 34 and a portion of the vacated Haven Street, Court Square Subdivision, Plat Book 5, Page 53, Public Records of Pinellas County, Florida. 3.The North 37’ of the West 121’ of the South half of Lot 1, Block 5, of Gould & Ewing’s 1st and 2nd Addition to Clearwater-Harbor Fla., Plat Book 1, Page 52, of the Public Records of Hillsborough County, Florida, of which Pinellas County was formerly a part. The first parcel, 600 Franklin Street, supported the old Fire Station 45. The property is approximately 3,660 square feet and the appraised value of the parcel has been determined by James Millspaugh & Associates, Inc., to be $165,000.00. The second parcel, the right-of-way parcel, is located North of Court Street, between S. Garden Avenue and S. Fort Harrison Avenue, and contains right-of-way both dedicated as Haven Street by plat and right-of-way dedicated by a Resolution of the Clearwater City Council. The Haven Street portion of the right-of-way parcel was dedicated in Plat Book 5, Page 53, Official Records of Pinellas County, Florida in 1922, and will join the adjacent fee-owned lots by operation of law upon vacation. The right-of-way over city-owned lots 34 and 45 of Court Page 1 City of Clearwater Printed on 4/16/2018 File Number: ID#18-4488 Square Subdivision was dedicated by Resolution 79-50 in Official Records Book 4867, Page 1478, Official Records of Pinellas County. Following the vacation of the right-of-way parcel in accordance with Vacation Ordinance 9129-18, being presented for Council approval simultaneously herewith, the remaining City-owned property will be approximately 4,750 square feet. The appraised value of right-of-way/city-owned parcel has been determined by Jim Millspaugh & Associates, Inc., to be $200,000.00. The third parcel, located at 28 North Garden Avenue (commonly known as the City of Clearwater’s North Garden Avenue Parking Lot) lying east of Watterson Avenue, north of Cleveland Street, south of Hendricks Street, and west of N Garden Avenue. This lot is approximately 4,500 square feet and includes 9 parking spaces, open to the public. The parking rate at this lot is $0.50 an hour with a maximum time limit of 2 hours. The appraised value of this property, as determined by James Millspaugh & Associates, Inc, is $90,000.00. This contract is contingent upon three pre-requisites. The first being the declaration of surplus of these three City owned parcels. The second pre-requisite is the vacation of Haven Street, along with real property dedicated as right-of-way in Official Records Book 4867, Page 1478, of the Public Records of Pinellas County, Florida. The third is the City being granted adequate access to the COS Property in accordance with the timeframes contemplated in the contract for purposes of conducting inspections and investigations, including environmental investigations. If any of these pre-requisite items fail to come to fruition, this contract will be null and void. Page 2 City of Clearwater Printed on 4/16/2018 CONTRACT FOR EXCHANGE OF REAL PROPERTY THIS CONTRACT FOR EXCHANGE OF REAL PROPERTY is made on _______________, 2018 (“Effective Date”), by and between the CHURCH OF SCIENTOLOGY FLAG SERVICE ORGANIZATION, INC., a Florida not for profit corporation (herein “COS”), of 503 Cleveland Street, Clearwater, Florida 33755, and the CITY OF CLEARWATER, FLORIDA, a Municipal corporation of the State of Florida (herein "City") of P.O. Box 4748, Clearwater, Florida 33758-4748, ATTENTION: William B. Horne, II, City Manager, (collectively "Parties") hereby agree that the Parties shall exchange the following real property ("Real Property") (CITY’s Property and COS’s Property, as defined below, is sometimes collectively referred to as "Property") upon the following terms and conditions. 1. PROPERTY DESCRIPTION LEGAL DESCRIPTION: Property to be conveyed by COS to CITY consists of a certain parcel of real property as described on Exhibit “A” attached hereto and made part hereof (“COS Property”). Property to be conveyed by CITY to COS consists of three certain parcels of real property as described on Exhibit “B” attached hereto and made part hereof (“CITY Property”). 2. FULL PURCHASE PRICE: This Agreement is for an exchange of Property as between the Parties and there is no additional consideration to be paid by either party at Closing. At the time of Closing, COS shall convey to City, pursuant to the terms herein, COS Property, and CITY shall convey to COS the City Property. The conveyance of the COS Property shall constitute full consideration for the conveyance of the City Property. The conveyance of the City Property shall constitute full consideration for the conveyance of the COS Property. 3. MANNER OF PAYMENT: CITY Property shall be conveyed to COS by Special Warranty Deed. COS Property shall be conveyed to City by Warranty Deed; and, closing costs shall be attributed to the Parties as provided for herein. 4. PURCHASE PRICE The Full Purchase Price is based upon appraisals of both the COS Property and the CITY Property by James M. Millspaugh & Associates dated October 3, 2016, February 17, 2017 respectively, as amended March 8, 2017 and March 21, 2018, all of which are on file with the City Real Estate Department. [GM17-9216-055/217711/1] Page 1 of 15 5. TIME FOR ACCEPTANCE; APPROVALS Following execution of this contract by COS, the price, terms and conditions as contained herein shall remain unchanged and be held unconditionally open for a period of 45 days following delivery in duplicate original to City Manager of the City of Clearwater for acceptance and approval, counter-offer, or rejection by action of the Clearwater City Council ("Council"). If this agreement is accepted and approved by the Council, it will be executed by duly authorized City officials and delivered to COS within 10 days thereafter. If a counter-offer is approved by the Council, it shall be delivered to COS in writing within 10 days of such action by the City Council, and COS shall have 10 days thereafter to deliver to CITY, written notice of acceptance or rejection of such counter-offer. If written notice of acceptance is not timely delivered, or if the counter- offer is rejected by COS, this contract shall thereafter be null and void in all respects. If this contract is rejected by the Council upon initial presentation to the Council, this contract shall be null and void in all respects and COS shall be so informed in writing within 5 days of such action. Contingencies: The exchange proposed in this contract shall be contingent upon: (1) the declaration of the City Property as surplus in accordance with the City of Clearwater Code of Ordinances/Charter; (2) City Council approval of a vacating ordinance which vacates that certain portion of public right-of-way f/k/a and platted as Haven Street and a portion of right-of-way dedicated in Resolution 79-50 of the City of Clearwater, Florida (as more particularly described in Exhibit “C” attached hereto and incorporated herein) (Said vacation ordinance shall be conditioned upon, among other things, the Closing of the property exchange as contemplated herein and the granting of utility easements by COS to certain private utility companies);; and (3) the City being granted adequate access to the COS Property in accordance with the timeframes contemplated herein for purposes of conducting inspections and investigations, including environmental investigations, as provided for herein. Should COS fail to provide access to the City, such failure shall constitute a material breach and this Contract shall be null and void in all respects with neither party having any further obligation to the other. 6. TITLE COS warrants that at the time of closing, COS shall have legal capacity to and shall convey marketable title to the COS Property by Warranty Deed, subject only to matters contained in Paragraph 7 acceptable to CITY. Otherwise title shall be free of liens, easements and encumbrances of record or known to COS, but subject to property taxes for the year of closing; covenants, restrictions and public utility easements of record; and no others provided there exists at closing no violation of the foregoing and none of them prevents CITY's intended use of the COS Property for downtown redevelopment purposes. COS warrants and represents that there is ingress and egress to the Real Property sufficient for the intended use as described herein. [GM17-9216-055/217711/1] Page 2 of 15 CITY warrants legal capacity to and shall convey marketable title to the CITY Property by Special Warranty Deed, subject only to matters contained in Paragraph 7 acceptable to COS. Otherwise title shall be free of liens, easements and encumbrances of record or known to City, but subject to property taxes for the year of closing; covenants, restrictions and public utility easements of record; and no others provided there exists at closing no violation of the foregoing and none of them prevents COS's intended use of the CITY Property for redevelopment purposes. CITY warrants and represents that there is ingress and egress to the Real Property sufficient for the intended use as described herein. 7. TITLE EVIDENCE Each party shall, at the expense of the party granting title and within 15 days prior to closing date, deliver to the other party, a title insurance commitment issued by a Florida licensed title insurer agreeing to liens, encumbrances, exceptions or qualifications set forth in this Contract, and those which shall be discharged by CITY or COS as may be appropriate at or before closing for both the COS Property and the CITY Property, as their interests may appear. The parties shall convey marketable title subject only to liens, encumbrances, exceptions or qualifications set forth in this Contract. Marketable title shall be determined according to applicable Title Standards adopted by The Florida Bar and in accordance with law. The other party shall have 5 days from receiving evidence of title to examine it. If title is found defective, the objecting party shall, within 3 days thereafter, notify the other party in writing specifying defect(s). If the defect(s) render title unmarketable, the granting party will have 120 days from receipt of notice within which to remove the defect(s), failing which the objecting party shall have the option of either accepting the title as it then is or withdrawing from this Contract. CITY or COS, as appropriate will, if title is found unmarketable, make diligent effort to correct defect(s) in title within the time provided therefore, including the bringing of necessary suits. 8. SURVEY The Parties, at their own expense, within time allowed to deliver evidence of title and to examine same, may have the CITY Property or COS Property surveyed (by COS or CITY, respectively) and certified to the other party and closing agent by a registered Florida land surveyor. If survey shows any encroachment on the respective parcel, or that improvements located on real property encroach on setback lines, easements, lands of others, or violate any restrictions, contract covenants or applicable governmental regulation, the same shall constitute a title defect. The survey shall be performed to minimum technical standards of the Florida Administrative Code and may include a description of the property under the Florida Coordinate System as defined in Chapter 177, Florida Statutes. 9. CLOSING PLACE AND DATE [GM17-9216-055/217711/1] Page 3 of 15 [X] COS [ ] CITY shall designate closing agent and this transaction shall be closed in the offices of the designated closing agent in Pinellas County, Florida, on or before August 17, 2018 but in no case later than 120 days of the effective date, unless extended by other provisions of this contract. If either party is unable to comply with any provision of this contract within the time allowed, and be prepared to close as set forth above, after making all reasonable and diligent efforts to comply, then upon giving written notice to the other party, time of closing may be extended up to 60 days without effect upon any other term, covenant or condition contained in this contract. 10. CLOSING DOCUMENTS Closing Agent, on behalf of COS, shall furnish closing statements for the respective parties, deed, bill of sale (if applicable), mechanic's lien affidavit, assignments of leases, tenant and mortgage estoppel letters, and corrective instruments for both conveyances. The appropriate parties shall deliver resolutions authorizing the sale and delivery of the deed and certifying the resolution and setting forth facts showing the conveyance conforms to the requirements of local law. 11. CLOSING EXPENSES Documentary stamps on the COS Property deed, unless this transaction is exempt under Chapter 201.24, Florida Statutes, shall be paid by the COS. Documentary stamps on the CITY Property deed, unless this transaction is exempt under Chapter 201.24, Florida Statues, shall be paid by the COS. Each party shall also pay the costs of recording any corrective instruments required to insure marketable title of the property being conveyed by that party. Recordation costs of the deeds shall be paid by the respective grantee. 12. PRORATIONS; CREDITS Taxes, assessments, rent (if any) and other revenue of the Properties shall be prorated through the day before closing. Closing agent shall collect all ad valorem taxes uncollected but due through day prior to closing and deliver same to the Pinellas County Tax Collector with notification to thereafter exempt the Property acquired by the City from taxation as provided in Chapter 196, Florida Statutes (2016). If the amount of taxes and assessments for the current year cannot be ascertained, rates for the previous year shall be used with due allowance being made for improvements and exemptions. Any deposits held in trust for third parties in occupancy of the Properties shall be credited to the other party at time of closing. Assessments for any improvements that are substantially complete at time of closing shall be paid in full by respective owner/seller. 13. OCCUPANCY The parties warrant to one another that there are no parties in occupancy on the respective Properties, unless as otherwise disclosed herein. If Property is intended to [GM17-9216-055/217711/1] Page 4 of 15 be rented or occupied beyond closing, the fact and terms thereof shall be stated herein, and the tenant(s) or occupants disclosed pursuant to Paragraph 14. The Parties agree to deliver occupancy of the respective Property at time of closing unless otherwise stated herein. If occupancy is to be delivered before closing, the Party taking occupancy assumes all risk of loss to Property from date of occupancy, shall be responsible and liable for maintenance from that date, and shall be deemed to have accepted Property in its existing conditions as of the time of taking occupancy unless otherwise stated herein or in separate writing. 14. LEASES The parties shall, not less than 15 days before closing, furnish to the other party copies of all written leases and estoppel letters from each tenant specifying the nature and duration of the tenant's occupancy, rental rates, advanced rent and security deposits paid by tenant. If unable to obtain such letter from each tenant, the same information shall be furnished by the other party within that time period in the form of an affidavit, and the party may thereafter contact tenants to confirm such information. The granting party shall, at closing, deliver and assign all original leases to the other party and credit the parties with all advanced rents and security deposits paid by or on behalf of each tenant. 15. PROPERTY CONDITION The parties shall deliver the respective Properties to the respective grantee party at time of closing in their present "as is" condition, ordinary wear and tear excepted, and shall maintain the landscaping and grounds in a comparable condition. Neither party makes any warranty other than as is disclosed herein in Paragraph 21 (“WARRANTIES”) and marketability of title. Each Party’s covenant to exchange the respective Properties “as is” is more specifically represented in either subparagraph 1. a. or b. as marked [X]. a. [ ] As Is: Buyer has inspected the Property or waives any right to inspect and accepts the Property in its present "as is" condition. b. [X] As Is With Right of Inspection: Each Grantee may, at its expense and within 90 days following the Effective Date ("Inspection Period"), conduct inspections, tests, environmental and any other investigations of the Property it is acquiring as it deems necessary to determine suitability for its intended use. The other Party shall grant reasonable access to the Property to said Grantee, its agents, contractors and assigns for the purposes of conducting the inspections provided, however, that all such persons enter the Property and conduct the inspections and investigations at their own risk. Each Party will, upon reasonable notice, provide utilities services as may be required for Grantee’s inspections and investigations. Each Party shall not engage in any activity that could result in a mechanics lien being filed against the Property without respective Grantor’s prior written consent. Grantee may terminate this contract by written notice to [GM17-9216-055/217711/1] Page 5 of 15 the respective Grantor prior to expiration of the Inspection Period if the inspections and/or investigations reveal conditions which are reasonably unsatisfactory to Grantee, unless the respective Grantor elects to repair or otherwise remedy such conditions to Grantee satisfaction; or Grantee, at its option, may elect to accept a credit at closing of the total for estimated repair costs as determined by a licensed general contractor of Grantee’s selection and expense. If this transaction does not close, grantee agrees, at Grantee expense, to repair all damages to the Property resulting from the inspections and investigations and return the Property to its present condition. Access to the COS Property shall be granted to City as of the Effective Date of this Contract for purposes of conducting the inspections and investigations provided for herein. Should COS fail to provide the City adequate access to the COS Property for investigations as provided for herein, this Contract shall be null and void in all respects with neither party having any further obligation to the other. 16. WALK-THROUGH INSPECTION At a time mutually agreeable between the parties, but not later than the day prior to closing, the parties may conduct a final "walk-through" inspection of the Properties to determine compliance with any obligations under Paragraphs 8, 13 and 15 and to ensure that all Property is in and on the premises. No new issues may be raised as a result of the walk-through. 17. HOLD HARMLESS CITY is self-insured, and subject to the limits and restrictions of the Florida Sovereign immunity statute, F.S. 768.28, agrees to indemnify and hold harmless COS from claims of injury to persons or property during the inspections and investigations described in Paragraph 15(b) resulting from CITY's own negligence only, or that of its employees or agents only, subject to the limits and restrictions of the sovereign immunity statute. COS agrees to indemnify and hold harmless the City from claims of injury to persons or property during the inspections and investigations described in Paragraph 15(b) resulting from COS own negligence, or that of its employees or agents only. 18. RISK OF LOSS If any of the property is damaged by fire or other casualty before closing and cost of restoration does not exceed 3% of the assessed valuation of the property so damaged, cost of restoration shall be an obligation of the grantor party and closing shall proceed pursuant to the terms of this contract with restoration costs escrowed at closing. If the cost of restoration exceeds 3% of the assessed valuation of the improvements so damaged, the respective Grantee shall have the option of either taking the Property "as is", together with either the 3% or any insurance proceeds payable by virtue of such loss or damage, or of canceling this contract. [GM17-9216-055/217711/1] Page 6 of 15 19. PROCEEDS OF SALE; CLOSING PROCEDURE The deeds to the CITY Property and COS Properties shall be recorded upon delivery of all deeds and other required closing documents, and payment and clearance of funds payable for title insurance and other closing costs. Proceeds of sale shall be held in escrow by COS's attorney or by such other mutually acceptable escrow agent for a period of not longer than 5 days from and after closing, during which time evidence of title shall be continued at the respective owner’s expense to show title in the other party, without any encumbrances or change which would render the property’s title unmarketable from the date of the last title evidence. If title is rendered unmarketable through no fault of the other party, the objecting party shall, within the 5 day period, notify the other party in writing of the defect and the non-objecting party shall have 30 days from the date of receipt of such notification to cure the defect. If the defect is not timely cured, all funds paid by or on behalf of the other party shall, upon written demand made and within 5 days after demand, be returned to the other party and simultaneously with such repayment, the property shall be reconveyed by the same type deed of the original conveyance. If the objecting party fails to make timely demand for refund and reconveyance of property, objecting party shall take title "as is", waiving all rights against the non-objecting party as to any intervening defect except as may be available to objecting party by virtue of warranties contained in the deed. The escrow and closing procedure required by this provision may be waived if title agent insures adverse matters pursuant to Section 627.7841, F.S. (2016), as amended. 20. DEFAULT If this transaction is not closed due to any default or failure on the part of the Grantor, other than to make the title marketable after diligent effort, the respective Grantee may seek specific performance or unilaterally cancel this agreement upon giving written notice to Grantor. If a Broker is owed a brokerage fee regarding this transaction, the defaulting party shall be liable for such fee. 21. RESPECTIVE GRANTOR WARRANTIES Respective Grantors warrant that there are no known facts that would materially effect the value of the Properties, or which would be detrimental to the Properties, or which would effect parties desire to exchange the properties except as follows: NONE The parties shall have the number of days granted in Paragraph 15(b) above ("Inspection Period") to investigate said matters as disclosed by the other party, and shall notify the granting party in writing regarding closing on this contract notwithstanding said matters, or whether the contract shall be cancelled. Failure to notify the other party within said time period, the respective Grantee shall be deemed to have waived any objection to the disclosed matters and shall have the obligation to close on the contract. [GM17-9216-055/217711/1] Page 7 of 15 22. RADON GAS NOTIFICATION In accordance with provisions of Section 404.056(5), Florida Statutes (2016), as amended, the parties is hereby informed as follows: RADON GAS: Radon is a naturally occurring radioactive gas that, when it has accumulated in a building in sufficient quantities, may present health risks to persons who are exposed to it over time. Levels of radon that exceed federal and state guidelines have been found in buildings in Florida. Additional information regarding radon and radon testing may be obtained from your county public health unit. 23. CONTRACT NOT RECORDABLE; PERSONS BOUND Neither this contract nor any notice of it shall be recorded in any public records. This contract shall bind and inure to the benefit of the parties and their successors in interest. Whenever the context permits, singular shall include plural and one gender shall include all. 24. NOTICE All notices provided for herein shall be deemed to have been duly given if and when deposited in the United States Mail, properly stamped and addressed to the respective party to be notified, including the parties to this contract, the parties attorneys, escrow agent, inspectors, contractors and all others who will in any way act at the behest of the parties to satisfy all terms and conditions of this contract. 25. ASSIGNABILITY; PERSONS BOUND This contract [X] is not assignable [ ] is assignable. The terms "CITY", "COS", and "Broker" (if any) may be singular or plural. This Contract is binding upon CITY, COS, and their heirs, personal representatives, successors and assigns (if assignment is permitted). 26. ATTORNEY FEES; COSTS In any litigation arising out of this contract, each party shall be reasonable for its own attorney's fees and costs. 27. TYPEWRITTEN OR HANDWRITTEN PROVISIONS Typewritten or handwritten provisions shall control all printed provisions of contract in conflict with them. [GM17-9216-055/217711/1] Page 8 of 15 28. BROKER REPRESENTATION Neither party is represented by a real estate broker. 29. EFFECT OF PARTIAL INVALIDITY The invalidity of any provision of this contract will not and shall not be deemed to effect the validity of any other provision. In the event that any provision of this contract is held to be invalid, the parties agree that the remaining provisions shall be deemed to be in full force and effect as if they had been executed by both parties subsequent to the expungement of the invalid provision. 30. GOVERNING LAW It is agreed by and between the parties hereto that this contract shall be governed by, construed, and enforced in accordance with the laws of the State of Florida. In any litigation arising out of or relating to this Contract, the Parties agree that venue shall be in the United States District Court, Middle District of Florida, Tampa Division, or the Circuit Court located in Pinellas County, Florida. 31. COUNTERPARTS; FACSIMILE COPY This contract may be executed in two or more counterparts, each of which shall be deemed an original and all of which together shall constitute one instrument. A facsimile copy of this contract, including any addendum, attachments and any written modifications hereof, and any initials or signature thereon shall be deemed an original. 32. EXHIBITS ATTACHED Exhibit “A” (legal description of COS Property), Exhibit “B” (legal description of CITY Property), and Exhibit “C” (legal description of public right-of-way to be vacated f/k/a and platted as Haven Street) are attached hereto and made a part of this contract. 33. ENTIRE AGREEMENT Upon execution by COS and CITY, this contract shall constitute the entire agreement between the parties, shall supersede any and all prior and contemporaneous written and oral promises, representations or conditions in respect thereto. All prior negotiations, agreements, memoranda and writings shall be merged herein. Any changes to be made in this agreement shall only be valid when expressed in writing, acknowledged by the parties and incorporated herein or attached hereto. [GM17-9216-055/217711/1] Page 9 of 15 City Signature Page to Contract For Exchange of Real Property Countersigned: CITY OF CLEARWATER, FLORIDA __________________________ By: _________________________ George N. Cretekos William B. Horne II Mayor City Manager Approved as to form: Attest: __________________________ _____________________________ Laura Lipowski Mahony Rosemarie Call Assistant City Attorney City Clerk [GM17-9216-055/217711/1] Page 10 of 15 COS Signature Page to Contract For Exchange of Real Property CHURCH OF SCIENTOLOGY FLAG SERVICE ORGANIZATION, INC., a Florida not for profit corporation By: _________________________ Print Name: Title: Attest: ________________________________ ________________________________ Print Name ________________________________ ________________________________ Print Name [GM17-9216-055/217711/1] Page 11 of 15 EXHIBIT “A” COS PROPERTY Parcel No. 15-29-15-53928-005-0011 [GM17-9216-055/217711/1] Page 12 of 15 EXHIBIT “B” CITY PROPERTY • 600 Franklin Street – The South 60’ of Lot 1, Block 7, Gould & Ewing’s 1st and 2nd Addition to Clearwater-Harbor Fla, Plat Book 1, Page 52, Public Records of Hillsborough County, of which Pinellas County was formerly a part. • Dedicated Right-of-Way – a portion of Lot 34 and a portion of the vacated Haven Street, Court Square Subdivision, Plat Book 5, Page 53, Public Records of Pinellas County, Florida. • The North 37’ of the West 121’ of the South half of Lot 1, Block 5, of Gould & Ewing’s 1st and 2nd Addition to Clearwater-Harbor Fla., Plat Book 1, Page 52, of the Public Records of Hillsborough County, Florida, of which Pinellas County was formerly a part. [GM17-9216-055/217711/1] Page 13 of 15 EXHIBIT “C” A PORTION OF PUBLIC RIGHT-OF-WAY TO BE VACATED FORMERLY KNOWN AS AND PLATTED AS HAVEN STREET IN PLAT BOOK 5, PAGE 53, PUBLIC RECORDS OF PINELLAS COUNTY, FLORIDA AND A PORTION OF RIGHT-OF-WAY DEDICATED IN RESOLUTION 79-50 OF THE CITY OF CLEARWATER, FLORIDA AS MORE PARTICULALRY DESCIRBED HEREIN [LEGAL DESCRIPTION AND SKETCH ON FOLLOWING PAGE] [GM17-9216-055/217711/1] Page 14 of 15 [GM17-9216-055/217711/1] Page 15 of 15 9771432v1 COURT ST LAURA ST PARK ST CLEVELAND ST PIERCE ST S EAST AVEFRANKLIN ST S MYRTLE AVE S PROSPECT AVE EWING AVE S FORT HARRISON AVE S MARTIN LUTHER KING, JR. AVE N EAST AVEBOOTH AVE S GARDEN AVE N MYRTLE AVE N GARDEN AVE WATTERSON AVE PADUA LN N FORT HARRISON AVE MARKLEY ST NPROSPECTAVENATHANS LN PARK ST PIERCE ST S GARDEN AVE JB TM 286B 16-29s-15e 04/06/18Map Gen By:Reviewed By: S-T-R:Grid #: Date:Prepared by:Engineering DepartmentGeographic Technology Division100 S. Myrtle Ave, Clearwater, FL 33756Ph: (727)562-4750, Fax: (727)526-4755www.MyClearwater.com Proposed Property Swap Locations andAppraised Value Comparison Church of Scientology SiteAppraised Value: $640,000 ² N.T.S.Scale: Document Path: S:\ENV\Jim Benwell\GIS\Prop Swap with Church Values.mxd Parking Lot #4Appraised Value: $90,000 600 Franklin StAppraised Value: $165,000 Platted and Dedicated Right-of-WayAppraised Value: $200,000 3 Properties to b e Swapped by City Total: $45 5,000Property to b e Swapped by Church of Scientology: $6 40,00 0Difference in Tota l: $185,000 55 50 203050 1 2 34 41/0233055 50 55(S)5035 3550 8070 6028 17 35 15 15 55 35 44 355035606059.5303052(S)3512121155(S)1550 23814 59580 32292 32292 32274 16528 * 85185 A B 1 2 6 5 7 17 18 20134 1 2 3 4 5 6 7 8 9 10 7 6 5 1 2 3 4 5 6 7 10 9 8 7 6 5 4 3 2 1 18 17 16 15 14 1 2 3 4 5 6 7 8 1 2 3 4 9 10 11 13 3 4 5 6 13 14 15 16 17 18 3 2 1 12 13 14 6 5 123456734 14131211109821 91011 1 2 3 4 5 6 7 8 4 3 2 1 23 22 21 20 1 3 4 9 2 8 12 1 2 3 1 7 12/01 12/03 12/0 2 11/01 11/03 12/10 A C 2 1 2 12 1 Garden Avenue Garage(City Owned) 24 46 34 28 33 512606124 530612628505615534515515101 527120 601600531100 619432-ENE 1/4 of 16-29-15 286B SE 1/4 of 9-29-15 277B DREW ST PARK ST CLEVELAND ST N GARDEN AVE HENDRICKS ST WATTERSON AVE LAURA ST N FORT HARRISON AVE S GARDEN AVE ²Prepared by:Engineering DepartmentGeographic Technology Division100 S. Myrtle Ave, Clearwater, FL 33756Ph: (727)562-4750, Fax: (727)526-4755www.MyClearwater.com CRM TM N.T.S.286B 16-29s-15e05/09/2017Map Gen By:Reviewed By:S-T-R:Grid #:Date:Scale: PART OF PARCEL ID 16-29-15-32274-005-0012,GARDEN AVENUE GARAGE28 N GARDEN AVE Path: V:\GIS\_Staff\Chris\Projects\City\Garden Ave Garage Parcel\GIS Map\GardenAvenueGarageParcel.mxd City Portion to be Swapped in Property Exchange The North 37’ of the West 121’ of the South half of Lot 1, Block 5, of Gould & Ewing’s 1st and 2nd Addition to Clearwater-Harbor Fla., Plat Book 1, Page 52, of the Public Records ofHillsborough County, Florida, of which Pinellas County was formerly a part. Hatc hed area further describe d as: THIS IS NOT A SURVEY Cover Memo City of Clearwater City Hall 112 S. Osceola Avenue Clearwater, FL 33756 File Number: ANX2018-12026 Agenda Date: 4/16/2018 Status: Agenda ReadyVersion: 1 File Type: Planning CaseIn Control: Planning & Development Agenda Number: 6.1 SUBJECT/RECOMMENDATION: Approve the annexation of 3474 Aspen Trail, 3490 and 3492 Lake Shore Lane and pass Ordinance 9123-18 on first reading. (ANX2017-12026) SUMMARY: This voluntary annexation petition involves a 24.46-acre parcel located at the southwest corner of Curlew Road and Lake Shore Lane. The parcel is owned by the Friedel B. Roddey Family Trust. Currently, the property is occupied by two single family homes, one of which is accessed from Lake Shore Lane along the eastern boundary of the site, and one which is accessed from Aspen Trail which terminates at the southern property line. Additionally, there is a detached garage and barn on the property. A 4.8-acre stormwater pond provides stormwater storage and treatment for the neighborhood to the south of the subject site through drainage easements. The applicant is requesting annexation in order to redevelop the property with a new residential subdivision; however, no site plan has been submitted at this time. The property is contiguous to existing city boundaries along the east. The applicant has also submitted applications to change a 9.20-acre portion of the property’s Future Land Use Map designation for from Transportation Utility (T/U) and Preservation (P) (Pinellas County) to Residential Low (RL) and Transportation/Utility (T/U) Overlay (City of Clearwater) (LUP2018-02001) and to rezone the entire property (24.46 acres) to the Low Medium Density Residential (LMDR) District (REZ2017-12013) upon annexation into the City of Clearwater. The Planning and Development Department determined that the proposed annexation is consistent with the provisions of the Clearwater Community Development Code Section 4-604.E. as follows: ·The parcel currently has a well for potable water, and Pinellas County would provide water service when the property is redeveloped. The closest sanitary sewer line is in the adjacent Lake Shore Lane right -of-way. The applicant is aware that they are responsible for evaluating the proper method to connect to the City ’s sewer system, as well as for the additional costs to extend and connect to the sewer system and any for upgrades to the existing system that may be necessary to receive additional wastewater flows. Collection of solid waste will be provided by the City. The property is located within Police District III and service will be administered through the district headquarters located at 2851 N. McMullen Booth Road. Fire and emergency medical services will be provided to the property by Station #50 located at 2681 Countryside Boulevard. The City has adequate capacity to serve the property with sanitary sewer, solid waste, police, fire and EMS service. The proposed annexation Page 1 City of Clearwater Printed on 4/16/2018 File Number: ANX2018-12026 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 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. ·The property proposed for annexation is contiguous to existing City boundaries along the east; therefore, the annexation is consistent with Florida Statutes Chapter 171.044. APPROPRIATION CODE AND AMOUNT: N/A USE OF RESERVE FUNDS: N/A Page 2 City of Clearwater Printed on 4/16/2018 Ordinance No. 9123-18 ORDINANCE NO. 9123-18 AN ORDINANCE OF THE CITY OF CLEARWATER, FLORIDA, ANNEXING CERTAIN REAL PROPERTY LOCATED GENERALLY SOUTH OF CURLEW ROAD, WEST OF LAKE SHORE LANE AND EAST OF CURLEW CITY 1ST REPLAT SUBDIVISION AND NORTH OF TRAILS OF COUNTRYSIDE SUBDIVISION, WHOSE POST OFFICE ADDRESSES ARE 3474 ASPEN TRAIL, 3490 AND 3492 LAKE SHORE LANE, CLEARWATER, FLORIDA 33761 INTO THE CORPORATE LIMITS OF THE CITY, AND REDEFINING THE BOUNDARY LINES OF THE CITY TO INCLUDE SAID ADDITION; PROVIDING AN EFFECTIVE DATE. WHEREAS, the owner of the real property described herein and depicted on the map attached hereto as Exhibit B has petitioned the City of Clearwater to annex the property into the City pursuant to Section 171.044, Florida Statutes, and the City has complied with all applicable requirements of Florida law in connection with this ordinance; now, therefore, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CLEARWATER, FLORIDA: Section 1. The following-described property is hereby annexed into the City of Clearwater and the boundary lines of the City are redefined accordingly: See attached Exhibit A for Legal Description (ANX2017-12026) The map attached as Exhibit B is hereby incorporated by reference. Section 2. The provisions of this ordinance are found and determined to be consistent with the City of Clearwater Comprehensive Plan. The City Council hereby accepts the dedication of all easements, parks, rights-of-way and other dedications to the public, which have heretofore been made by plat, deed or user within the annexed property. The City Engineer, the City Clerk and the Planning and Development Director are directed to include and show the property described herein upon the official maps and records of the City. Section 3. This ordinance shall take effect immediately upon adoption. The City Clerk shall file certified copies of this ordinance, including the map attached hereto, with the Clerk of the Circuit Court and with the County Administrator of Pinellas County, Florida, within 7 days after adoption, and shall file a certified copy with the Florida Department of State within 30 days after adoption. Ordinance No. 9123-18 PASSED ON FIRST READING PASSED ON SECOND AND FINAL READING AND ADOPTED George N. Cretekos Mayor Approved as to form: Pamela K. Akin City Attorney Attest: Rosemarie Call City Clerk Exhibit A LEGAL DESCRIPTION ANX2017-12026, LUP2018-02001 & REZ2017-12013 3474 Aspen Trail, 3490 & 3492 Lake Shore Lane PIN 18-28-16-00000-410-0000 The Northeast quarter (NE¼) of the Southeast quarter (SE¼) of Section 18, Township 28 South, Range 16 East. All lying and being in Pinellas County, Florida. AND From the SE corner of the NE¼ of Section 18, Township 28S, Range 16E, run thence S89°23’41”W along the ¼ section line 450.0 ft. for P.O.B. Thence continuing along said ¼ section line 946.63 ft.; thence N1°11’36”W 320.35 ft. along the 40 acre line to the center line of County Road #38; thence along a curve to the Right chord Bearing N78°42’07”E, 456.12 ft. Radius 1909.86 ft.; thence N85°33’28”E. 503.13 ft., thence S0°34’00”E, 438.62 ft. to P.O.B. less the Northerly 50.0 ft. for Road Purposes. All lying and being in Pinellas County, Florida. AND From the SE corner of the NE¼ of Section 18, Twp. 28 South, Range 16 East, run thence South 89°23’41” West along the 1/4 Section line 450 ft., for Point of Beginning. Thence continue in the same direction along said 1/4 Section Line 946.63 ft., thence North 1°11’36” West, 100 ft., m.o.l. to the Southerly boundary of the right-of-way of County Road #38 (Curlew Road) as said right-of-way existed on the 28th day of July, 1959; thence meandering Northeasterly along said Southerly boundary of said old right-of-way of County Road #38 to a point where the old Southerly boundary of County Road #38 intersects with the new Southerly boundary of County Road #38 as same is now constituted, thence Easterly along said Southerly boundary of said County Road #38 as now constituted, to a point in said Southerly boundary which point is 388.51 ft., m.o.l. North 0°34’00” West of Point of Beginning; thence South 0°34” East, 388.51 ft. to Point of Beginning. All lying and being in Pinellas County, Florida. AND That part of the SE¼ of the NE¼ of Section 18, Township 28 South, Range 16 East, described as follows: Begin at the Southeast corner of the NE¼ of Section 18 Township 28 South, Range 16 East, and run thence S 89°23’41” W along the East and West center line of said Section 18, 240.0 feet for a Point of Beginning; thence continue S 89°23’41” W, 210.0 feet; thence N 0°34’00” W parallel to the East line of the NE¼ of said Section 18, 438.62 feet to a point on the centerline of Right of Way of Curlew Road; thence N 85°33’25” E along said center-line of Right of Way, 90.25 feet; thence along said center-line of Right of Way and a curve to the right whose chord bears N 87°21’31” E, 120.04 feet, arc = 120.06 feet and radius 1909.86 feet thence S 0°34’00”E, 448.94 feet to Point of Beginning, LESS the Northerly 50.0 feet for Road purposes. All lying and being in Pinellas County, Florida. AND Exhibit A That part of the SE¼ of the NE¼ of Section 18 Township 28 South Range 16 East, described as follows: Begin at the Southeast corner of the NE¼ of Section 18 Township 28 South, Range 16 East and run thence S 89°23’41” W along the East and West center-line of said Section 18, 240.0 feet; thence N 0°34’00” W parallel to the East line of the NE¼ of said Section 18, 448.94 feet to a point on the center- line of Right of Way of Curlew Road; thence; thence along said center-line of Right of Way and a curve to the right whose chord bears S 87°14’44”E, 240.40 feet, arc = 240.46 feet and radius = 1909.86 feet to an intersection with said East line of the NE¼ of said Section 18; thence S 0°34’00” E along said East line of the NE¼ of said Section 18, 434.85 feet to Point of Beginning. LESS the Northerly 50.0 feet for Road purposes. All lying and being in Pinellas County, Florida. Less the properties shown in Book 5791, Page 1129; Book 9224, Page 2116; Book 9224, Page 2118, and Book 9341, Page 1566, all of the Public Records of Pinellas County, Florida. Exhibit B 12060 60 30 201337 1 2 3 4 35 34 33 32 31 86 SEE PLAT FOR DIME*606060 99201 1 2 3 4 76 86124(S)50 50 50 50 141(S)127(S)25 127(S)121(S)129(S)128(S)134(S)129(S)129(S)20115 201331 2 1 2 3 4 1 2 3 4 5 6 7 15 16 17 18 19 20 21 3 4 5 6 5 4 3 2 1 18 17 16 15 14 4 3 2 1 17 16 15 14 13 5 4 3 2 1 17 16 15 14 21 20 19 18 (21) LAKE 505050 50 50 50 60 I 13 12 11 10 9 8 7 6 5 4 3 2 B(2) A(1) 1 2 3 4567891011121314 15 16 17 18 19 41 42 43 4450 49 48 54 55 5663 64 6566 67 68 72 73 74 41/00 24.47 A C(C) 1 C U R L E W R D 69th ST NLAKE SHORE LN S K I P P E R T R L 66th ST ASPEN TRL DAVID CT SCOTT CT RODNEY CT MORGAN CT BEECH TRL -Not to Scale--Not a Survey-Rev. 2/22/2018 3474 3490 3492 PROPOSED ANNEXATION Owner(s): Friedel B.Roddey Family Trust Case: ANX2017-12026 Site: 3474 Aspen Trail, 3490, 3492 Lake Shore Ln Property Size(Acres): ROW (Acres): 24.47 Land Use Zoning PIN: 18-28-16-00000-410-0000 From : Transportation Utility (T/U), Preservation (P) & Undesignated (pond) (Pinellas County) R-3 and A-E (Pinellas County) Atlas Page: 166B & 177B To: Residential Low (RL), Water Drainage Feature & Transportation/Utility (T/U) Overlay Low Medium Density Residential (LMDR) US-19 NCURLEW RD 69th ST N298th AVE N70th ST NLAKE SHORE LN NORTHRIDGE DR BRATTLE LN 297th AVE N 66th ST N69th WAY NSEACOL ST 67th ST N68th ST N301st AVE N 300th AVE N S K I P P E R T R L 66th WAY N67th WAY NCUMBERLAND TRL E LAKE SHORE LN REDFORD CT W 297th AVE N -Not to Scale--Not a Survey-PROJECT SITE Rev. 2/15/2018 LOCATION MAP Owner(s): Friedel B.Roddey Family Trust Case: ANX2017-12026 Site: 3474 Aspen Trail, 3490, 3492 Lake Shore Ln Property Size(Acres): ROW (Acres): 24.46 Land Use Zoning PIN: 18-28-16-00000-410-0000 From : Residential Low (RL), Transportation Utility (T/U), Preservation (P) & Undesignated (pond) (Pinellas County) R-3 and A-E (Pinellas County) Atlas Page: 166B & 177B To: Residential Low (RL), Water Drainage Feature & Transportation/Utility Overlay Low Medium Density Residential (LMDR) C U R L E W R D C U R L E W R D 69th ST N69th ST NLAKE SHORE LN LAKE SHORE LN 66th ST 66th ST TALLEY DR TALLEY DR S K I P P E R T R L S K I P P E R T R L ASPEN TRL ASPEN TRL DAVID CT DAVID CT BEECH TRL BEECH TRL SCOTT CT SCOTT CT RODNEY CT RODNEY CT MORGAN CT MORGAN CT LINDA CT LINDA CT FAIRFIELD TRL FAIRFIELD TRL SWEETWATER TRL SWEETWATER TRL BREWTON CT BREWTON CT WESTVIEW CT WESTVIEW CT -Not to Scale--Not a Survey-Rev. 2/15/2018 AERIAL PHOTOGRAPH Owner(s): Friedel B.Roddey Family Trust Case: ANX2017-12026 Site: 3474 Aspen Trail, 3490, 3492 Lake Shore Ln Property Size(Acres): ROW (Acres): 24.46 Land Use Zoning PIN: 18-28-16-00000-410-0000 From : Residential Low (RL), Transportation Utility (T/U), Preservation (P) & Undesignated (pond) (Pinellas County) R-3 and A-E (Pinellas County) Atlas Page: 166B & 177B To: Residential Low (RL), Water Drainage Feature & Transportation/Utility Overlay Low Medium Density Residential (LMDR) 12060 60 30 201337 1 2 3 4 35 34 33 32 31 86 SEE PLAT FOR DIME*606060 99201 1 2 3 4 76 86124(S)5 0 50 50 50 141(S)127(S)25 127(S)121(S)129(S)128(S)134(S)129(S)129(S)20115 201331 2 1 2 3 4 1 2 3 4 5 6 7 15 16 17 18 19 20 21 3 4 5 6 5 4 3 2 1 18 17 16 15 14 4 3 2 1 17 16 15 14 13 5 4 3 2 1 17 16 15 14 21 20 19 18 (21) LAKE 505050 50 50 50 60 I 13 12 11 10 9 8 7 6 5 4 3 2 B(2) A(1) 1 2 3 4567891011121314 15 16 17 18 19 41 42 43 4450 49 48 54 55 5663 64 6566 67 68 72 73 74 41/00 24.47 A C(C) 1 C U R L E W R D 69th ST NLAKE SHORE LN S K I P P E R T R L 66th ST ASPEN TRL DAVID CT SCOTT CT RODNEY CT MORGAN CT BEECH TRL -Not to Scale--Not a Survey-Rev. 2/22/2018 3474 3490 3492 EXISTING SURROUNDING USES MAP Owner(s): Friedel B.Roddey Family Trust Case: ANX2017-12026 Site: 3474 Aspen Trail, 3490, 3492 Lake Shore Ln Property Size(Acres): ROW (Acres): 24.46 Land Use Zoning PIN: 18-28-16-00000-410-0000 From : Residential Low (RL), Transportation Utility (T/U), Preservation (P) & Undesignated (pond) (Pinellas County) R-3 and A-E (Pinellas County) Atlas Page: 166B & 177B To: Residential Low (RL), Water Drainage Feature & Transportation/Utility Overlay Low Medium Density Residential (LMDR) Single Family Residential Single Family Residential ANX2017-12026 / LUP2018-02001 / REZ2017-12013 Friedel B. Roddey Family Trust, Mr. Benjamin Roddey III, Trustee 3474 Aspen Trail, 3490 and 3492 Lake Shore Lane Page 1 of 3 View looking south at the subject property, 3474 Aspen Trail, from Curlew Road View looking west at the subject property from Lake Shore Lane View looking south at the subject property’s western boundary (utility easement) from Curlew Road View looking southwesterly at the subject property’s northeastern corner from Curlew Road View looking north at the subject property from Aspen Trail West of the subject property, on Curlew Road ANX2017-12026 / LUP2018-02001 / REZ2017-12013 Friedel B. Roddey Family Trust, Mr. Benjamin Roddey III, Trustee 3474 Aspen Trail, 3490 and 3492 Lake Shore Lane Page 2 of 3 North of the subject property, across Curlew Road View looking easterly along Curlew Road East of the subject property, across Lake Shore Lane South of the subject property, on Aspen Trail View looking westerly along Curlew Road View looking northerly along Lake Shore Lane ANX2017-12026 / LUP2018-02001 / REZ2017-12013 Friedel B. Roddey Family Trust, Mr. Benjamin Roddey III, Trustee 3474 Aspen Trail, 3490 and 3492 Lake Shore Lane Page 3 of 3 View looking southerly along Lake Shore Lane View looking southerly along Aspen Trail Cover Memo City of Clearwater City Hall 112 S. Osceola Avenue Clearwater, FL 33756 File Number: LUP2018-02001 Agenda Date: 4/16/2018 Status: Agenda ReadyVersion: 1 File Type: Planning CaseIn Control: Planning & Development Agenda Number: 6.2 SUBJECT/RECOMMENDATION: Approve a Future Land Use Map Amendment for a 9.20-acre portion of property from Transportation Utility (T/U) and Preservation (P) (Pinellas County) to Residential Low (RL) and Transportation/Utility (T/U) Overlay (City of Clearwater) upon annexation and pass Ordinance 9124-18 on first reading. (LUP2018-02001) SUMMARY: This Future Land Use Map amendment application involves 9.20 acres of a 24.46-acre property located at the southwest corner of Curlew Road and Lake Shore Lane. The parcel is owned by the Friedel B. Roddey Family Trust. The applicant is requesting to amend the Future Land Use Map designation on a 9.20-acre portion of the subject property from Transportation Utility (T/U) and Preservation (P) (Pinellas County) to Residential Low (RL) and Transportation/Utility (T/U) Overlay (City of Clearwater), indicating the intention to redevelop the site as a residential subdivision; however, no plans have been submitted at this time. The 10.16 acres of land currently designated as Residential Low (RL) in the County will continue to be designated as Residential Low (RL) on the City’s map upon annexation, and the existing 4.8-acre stormwater pond, which is undesignated on Pinellas County’s Future Land Use Map, will be appropriately designated upon annexation as Water/Drainage Feature, consistent with the City’s Comprehensive Plan. The applicant has submitted a Petition for Annexation (ANX2017-12026) and a Zoning Atlas Amendment (REZ2017-12013) which are being processed concurrently with this case. The proposed Residential Low (RL) category would permit development at a density of 5 dwelling units per acre or a floor area ratio (FAR) of 0.40. The applicant provided a Habitat Assessment Memo which concluded that the majority of the upland area on the property is characterized by various grasses that are maintained by mowing and are therefore incorrectly currently designated as Preservation (P) on the County’s Future Land Use Map. The proposed Residential Low (RL) future land use category will allow development that is in character with the surrounding properties and neighborhoods. The Transportation/Utility (T/U) Overlay is proposed along the western boundary of the subject property to recognize the utility transmission lines located in an easement and is an appropriate category because this easement is less than 10 acres in size. The Planning & Development Department has determined that the proposed Future Land Use Map amendment is consistent with the provisions of the Community Development Code as specified below: ·The proposed amendment is consistent with the Comprehensive Plan and the Countywide Plan Rules. Page 1 City of Clearwater Printed on 4/16/2018 File Number: LUP2018-02001 ·The proposed amendment is compatible with the surrounding property and character of the neighborhood. ·Sufficient public facilities are available to serve the property. ·The proposed amendment will not have an adverse impact on the natural environment. ·The proposed amendment will not have an adverse impact on the use of property in the immediate area. In accordance with the Countywide Plan Rules, this land use plan amendment is subject to the approval of Forward Pinellas, in its role as the Pinellas Planning Council, and the Board of County Commissioners acting as the Countywide Planning Authority. The application is a small-scale amendment so review and approval by the Florida Department of Economic Opportunity and other state agencies is not required. The Community Development Board will review this application at its April 17, 2018 public hearing and make a recommendation to the Council. The Planning and Development Department will report the recommendation at the City Council meeting. APPROPRIATION CODE AND AMOUNT: N/A USE OF RESERVE FUNDS: N/A Page 2 City of Clearwater Printed on 4/16/2018 PLANNING & DEVELOPMENT DEPARTMENT COMMUNITY DEVELOPMENT BOARD STAFF REPORT MEETING DATE: April 17, 2018 AGENDA ITEM: F.1. CASE: LUP2018-02001 REQUEST: To amend the Future Land Use Map designation for a 9.20-acre portion of property from Transportation Utility (T/U) and Preservation (P) (Pinellas County) to Residential Low (RL) and Transportation/Utility (T/U) Overlay (City of Clearwater) upon annexation GENERAL DATA: Applicant ......................... Benjamin Roddey IV Owner ............................. Friedel B. Roddey Family Trust, Mr. Benjamin Roddey III, Trustee Location .......................... 3474 Aspen Trail, 3490 and 3492 Lake Shore Lane, located at the southwest corner of Curlew Road and Lake Shore Lane Property Size ................... 9.20-acre portion of a 24.46-acre parcel Background: This case involves 9.20 acres of a 24.46-acre parcel located on the southwest corner of Curlew Road and Lake Shore Lane. The parcel is owned by the Friedel B. Roddey Family Trust, for which Benjamin Roddey III is a Trustee. Currently, the property is occupied by two single family homes, one of which is accessed from Lake Shore Lane along the eastern boundary of the site, and one which is accessed from Aspen Trail which terminates at the southern property line. Additionally, there is a detached garage and barn on the property. A 4.8-acre stormwater pond provides stormwater storage and treatment for the neighborhood to the south of the subject site through drainage easements. The property is within Pinellas County’s jurisdiction, and the applicant has submitted a Petition for Annexation (ANX2017-12026) that is being processed concurrently with this case at the April 19, 2018 City Council meeting. Annexation is required in order to connect to City services when the site is redeveloped in the future. Map 1 shows the entire parcel’s future land use designations in Pinellas County, and Maps 2 and 3 show the general location of the property and an aerial view of the amendment area. According to the Habitat Assessment Memo prepared by Earth Resources Consulting Scientists and provided by the applicant, in addition to the stormwater pond, the majority of the upland area on the property is characterized by various grasses that are maintained by mowing. There are also remnants of oak hammocks, Community Development Board – April 17, 2018 LUP2018-02001- Page 2 of 12 Level III Comprehensive Plan Amendment Review PLANNING & DEVELOPMENT LONG RANGE PLANNING DIVISION but the report found no natural wetlands within the property. There is a utility line traversing the property’s western boundary, and this area is also mowed. Some of this upland area is currently designated as Residential Low (RL) on the County’s Future Land Use Map, while areas around the pond and within the utility easement (8.845 acres in total) are incorrectly designated as Preservation (P) on the map. The City’s Comprehensive Plan provides for the application of the Transportation/Utility (T/U) overlay to recognize utility transmission lines located in an easement that are less than 10 acres in size. The area within the existing utility easement is approximately 1.52 acres in size, and is currently designated Transportation/Utility (T/U) in the northernmost portion of the easement (0.355 acres) and Preservation (P) (1.165 acres) in the remainder of the easement; therefore, the application of the Transportation/Utility (T/U) Overlay with Residential Low (RL) underneath is appropriate within this easement. The 10.16 acres of land currently designated as Residential Low (RL) in the County will continue to be designated as Residential Low (RL) on the City’s map upon annexation and are therefore not the subject of the remainder of this report. Similarly, the existing 4.8-acre stormwater pond, which is undesignated on Pinellas County’s Future Land Use Map, will be appropriately designated upon annexation as Water/Drainage Feature, consistent with the City’s Comprehensive Plan, and is also excluded from the remainder of the analysis in this report. The request is to change the Future Land Use Map designation for a 9.20-acre portion of the subject property from Transportation Utility (T/U) and Preservation (P) (Pinellas County) to Residential Low (RL) and Transportation/Utility (T/U) Overlay (City of Clearwater) upon annexation. A request to rezone the entire parcel from the Agricultural Estate (AE) and R-3 Single Family Residential Districts (Pinellas County) to the Low Medium Density Residential (LMDR) District (City of Clearwater) is being processed concurrently with this case (REZ2017-12013). The applicant has indicated they would like to develop the site with approximately 30 single-family houses; however, no site plan has been submitted at this time. The applicant understands all necessary approvals and permits must be obtained before development of the subject site occurs. Community Development Board – April 17, 2018 LUP2018-02001- Page 3 of 12 Level III Comprehensive Plan Amendment Review PLANNING & DEVELOPMENT LONG RANGE PLANNING DIVISION Map 1 Pinellas County Future Land Use Map (Current Designations) Proposed amendment area includes all Preservation (P) and Transportation/Utility (T/U) areas Map 2 Map 3 RL RL Undesignated (Water) T/U P P P RL RL R/OL Community Development Board – April 17, 2018 LUP2018-02001- Page 4 of 12 Level III Comprehensive Plan Amendment Review PLANNING & DEVELOPMENT LONG RANGE PLANNING DIVISION Vicinity Characteristics: Map 4 shows the existing surrounding uses. The subject property is surrounded by single family homes on all sides, including to the north across Curlew Road and to the east across Lake Shore Lane. The residences to the east are within the City of Clearwater jurisdiction, while the others remain in Pinellas County. Map 4 As shown on Map 5, the abutting future land use designations are primarily Residential Low (RL), which is designated on the north, east, south and west sides. Additionally, adjacent to the northwest corner there is a small area (two parcels) designated Residential/Office Limited (R/OL) along Curlew Road. A comparison between the uses, densities and intensities allowed by the present and proposed Future Land Use Map designation appears in Table 1, along with the consistent zoning districts. Community Development Board – April 17, 2018 LUP2018-02001- Page 5 of 12 Level III Comprehensive Plan Amendment Review PLANNING & DEVELOPMENT LONG RANGE PLANNING DIVISION Map 5 Map 6 Table 1. Uses, Densities and Intensities Allowed by Present and Proposed Future Land Use Designations Present FLUM Designation Requested FLUM Designation Preservation (P) (8.845 acres) Transportation/ Utility (T/U) (0.355 acres) Residential Low (RL) (9.20 acres) Transportation/ Utility (T/U) Overlay (1.52 acres) Primary Uses: Natural/Undeveloped Water Features; Beaches and Dunes; Environmental Parks Airports; Marina; Utility Facilities Low Density Residential Utility transmission line located in an easement Maximum Density: 0 dwelling units per acre 0 dwelling units per acre 5 dwelling units per acre Based upon the underlying future land use (RL proposed) Maximum Intensity: FAR 0.10; ISR 0.20 FAR 0.70; ISR 0.90 FAR 0.40; ISR 0.65 Based upon the underlying future land use (RL proposed) Consistent Zoning Districts: Preservation (P) Institutional (I) Low Density Residential (LDR), Low Medium Density Residential (LMDR) Consistent with all zoning districts I Community Development Board – April 17, 2018 LUP2018-02001- Page 6 of 12 Level III Comprehensive Plan Amendment Review PLANNING & DEVELOPMENT LONG RANGE PLANNING DIVISION REVIEW CRITERIA: Consistency with the Clearwater Comprehensive Plan [Sections 4-603.F.1 and 4-603.F.2] Recommended Findings of Fact: Applicable goals and objectives of the Clearwater Comprehensive Plan which support the proposed amendment include: Goal A.2 A sufficient variety and amount of future land use categories shall be provided to accommodate public demand and promote infill development. Goal A.4. The City shall work toward a land use pattern that can be supported by the available community and public facilities that would be required to serve the development. Objective A.4.1 The City’s Concurrency Management System will ensure that compatibility of all proposed development with the capacities of the existing and planned support facilities for which a level of service has been adopted. 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. Goal A.7 The City of Clearwater shall ensure the efficient delivery of urban services and unified land use and property maintenance standards, as well as foster community identity and reduce sources of environmental contamination through the annexation of unincorporated properties within the Clearwater Planning Area. Policy D.1.2.1 Sewer services shall not be extended to properties outside of the corporate limits of the City unless an agreement to annex or a petition to annex is filed and approved by the Clearwater City Council. Sufficient capacity must exist to serve the areas committed to City service, as well as those proposed for service. Objective F.1.3 The City shall continue to maintain and enhance the City's wildlife and natural native vegetation resources. Policy F.1.3.2 Limit alteration of all urban forests utilizing the Community Development Code; protect natural and mitigated wetlands, marine life, shoreline vegetation, and wildlife habitat in the City from disturbance and destruction. The Residential Low (RL) future land use designation is primarily proposed in areas that are currently designated as Preservation (P) but do not meet the characteristics for that category, as detailed in the Habitat Assessment Memo. The onsite stormwater pond is not classified as a natural wetland, but the pond margins contain a mixture of naturally recruited wetland trees and herbaceous vegetation. The pond will remain onsite, and any impacts or changes to the pond would be evaluated as part of the site plan review process. Modifications to the pond may be allowed, but changes must be consistent with City and SWFWMD stormwater regulations. Community Development Board – April 17, 2018 LUP2018-02001- Page 7 of 12 Level III Comprehensive Plan Amendment Review PLANNING & DEVELOPMENT LONG RANGE PLANNING DIVISION The proposed amendment would allow for the property to be developed as a new single-family subdivision which is compatible with the surrounding single-family residential uses. Future development will be able to connect to the City’s sanitary sewer service. The proposed Transportation/Utility (T/U) Overlay would be designated over the existing utility easement along the western boundary. The proposal does not degrade the level of service for public facilities below the adopted standards (a detailed public facilities analysis follows in this report). Recommended Conclusions of Law: The request does not conflict with the goals, objectives and policies of the Clearwater Comprehensive Plan and furthers said plan as indicated in the goals and objectives listed above. Consistency with the Countywide Rules Recommended Findings of Fact: The underlying Countywide Plan Map categories on the 9.20-acre proposed amendment area are Preservation (P) and Public/Semi-Public (P/SP). The proposed amendment area is surrounded by properties designated Residential Low Medium (RLM), including portions of the subject parcel. The proposed City of Clearwater future land use designation of Residential Low (RL) will necessitate an amendment from the Preservation (P) and Public/Semi-Public (P/SP) categories to the Residential Low Medium (RLM) category in order to maintain consistency between the City’s Future Land Use Map and the Countywide Plan Map. Section 2.3.3.2 of the Countywide Rules states that the Residential Low Medium (RLM) category is intended to depict areas that are now developed, or appropriate to be developed, in a suburban, low density or moderately dense residential manner; and to recognize such areas as primarily well-suited for residential uses that are consistent with the suburban qualities, transportation facilities, including transit, and natural resources of such areas. The proposed use, as indicated by the applicant, is a low density residential development, which is an appropriate use within the area and is consistent with the proposed and surrounding Countywide Plan Map categories. Recommended Conclusions of Law: The proposed Future Land Use Map amendment is consistent with the purpose of the proposed category in the Countywide Rules. Compatibility with Surrounding Properties/Character of the City & Neighborhood [Section 4-603.F.3 and Section 4-603.F.6] Recommended Findings of Fact: Existing surrounding uses consist of single family residential adjacent to the south, as well as across Lake Shore Lane to the east and Curlew Road to the north, and across the utility easement to the west. The redevelopment of the property with a residential use is compatible with the surrounding properties and neighborhood. Community Development Board – April 17, 2018 LUP2018-02001- Page 8 of 12 Level III Comprehensive Plan Amendment Review PLANNING & DEVELOPMENT LONG RANGE PLANNING DIVISION The proposed Residential Low (RL) future land use category primarily permits residential development at 5 dwelling units per acre. Surrounding properties are also designated Residential Low (RL); therefore, the requested category is consistent with the designations in the vicinity and will allow development that is in character with the surrounding properties and neighborhoods. Recommended Conclusions of Law: The proposed Residential Low (RL) future land use category is in character with the Future Land Use Map designations in the area. Further, the proposal is compatible with surrounding uses and consistent with the character of the surrounding properties and neighborhood. Sufficiency of Public Facilities [Section 4-603.F.4] Recommended Findings of Fact: To assess the sufficiency of public facilities needed to support potential development on the proposed amendment area, the maximum development potential of the proposed amendment area under the present and requested City Future Land Use Map designations were analyzed. Table 2. Development Potential for Existing & Proposed FLUM Designations Present FLUM Designations Requested FLUM Designations P T/U Total RL (+ T/U Overlay)3 Net Change Site Area 8.845 AC (385,288.2 SF) 0.355 AC (15,463.8 SF) 9.20 AC (400,752 SF) 9.20 AC + 1.52 AC3 (400,752 SF) Maximum Development Potential 8 DUs1 0 SF2 0.10 FAR 0 DUs 10,824 SF 0.70 FAR 8 DUs 10,824 SF N/A 46 DUs 0 SF4 0.4 FAR +38 DUs -10,824 SF -0.1 to 0.7 FAR Notes: 1. Residential uses are not permitted within the Preservation (P) District, but the Preservation (P) future land use category permits 1 unit per acre to potentially be utilized through transfer of development rights or to be constructed on another non-preservation area on the same development parcel. 2. Non-residential uses permitted through the consistent Preservation (P) District are limited to marinas and their accessory structures and environmental parks, which are limited to boardwalks, picnic structures, and the like. 3. Transportation Utility (T/U) Overlay category development potential (density, intensity and ISR) is based upon the underlying future land use; LUP2018-02001 proposes RL as the underlying future land use in this area with the T/U Overlay 4. FAR is not used to regulate residential uses and there are no non-residential uses permitted through the requested Low Medium Density Residential (LMDR) District zoning; therefore, the square footage development potential is zero. Abbreviations: FLUM – Future Land Use Map DUs – Dwelling Units AC – Acres FAR – Floor Area Ratio SF – Square feet As shown in the table, there is an increase in residential development potential across the amendment area which would affect public facilities as detailed further below. The following analysis compares the maximum potential development of the proposed Residential Low (RL) future land use developed with 46 detached dwellings to the maximum development potential of the existing Preservation (P) future land use category developed with 8 detached dwellings plus the development potential of the Transportation/Utility (T/U) land use category developed with a nonresidential use (10,824 SF public transportation facility). An Community Development Board – April 17, 2018 LUP2018-02001- Page 9 of 12 Level III Comprehensive Plan Amendment Review PLANNING & DEVELOPMENT LONG RANGE PLANNING DIVISION increase in demand of several public facilities could be expected if the subject property redevelops; however, there is adequate capacity to serve the property. Potable Water The increase in development potential from this amendment would result in an increase in potable water use of 9,634 gallons per day. This is determined by comparing the potential potable water utilization of the maximum density allowed by the proposed land use developed with a residential use (12,972 gallons per day) to the potential utilization of the maximum residential and nonresidential development allowed by the current land use Preservation (P) and Transportation/Utility (T/U) future land use designations (3,338 gallons per day). The City’s current potable water demand is 12.61 million gallons per day (MGD). The City’s adopted level of service (LOS) standard for potable water service is 120 gallons per day per capita, while the actual usage is estimated at 76 gallons per day per capita (2015 Annual Water Report). The City’s 10-year Water Supply Facilities Work Plan (2016-1026 Planning Period), completed in October 2017, indicates that based on the updated water demand projections and other factors, the City has adequate water supply and potable water capacity for the 10-year planning horizon. Wastewater The increase in development potential from this amendment would also result in an increase in wastewater production of 8,778 gallons per day of wastewater. This is determined by comparing the potential wastewater generation of the proposed land use developed with a residential use (11,674 gallons) to the potential wastewater generation of a nonresidential use and residential units that could be permitted through the current land use designations (2,986 gallons). The subject property is served by the Northeast Water Reclamation Facility, which presently has excess permitted capacity estimated to be 7.12 million gallons per day. Therefore, there is excess sanitary sewer capacity to serve the amendment area. Solid Waste The proposed amendment could result in a decrease of 113.6 tons per year of solid waste generated when comparing the amount of waste generated by the maximum density for a residential use under Residential Low (RL) to that of the maximum density residential use under Preservation (P) and maximum size of a transportation facility under the Transportation/Utility (T/U) land use. All solid waste disposal is handled by Pinellas County at the Pinellas County Waste-to-Energy Plant and the Bridgeway Acres Sanitary Landfill which has significant capacity. Additionally, the City provides a full-service citywide recycling program which diverts waste from the landfill, helping to extend the lifespan of Bridgeway Acres. There is excess solid waste capacity to serve the amendment area. Parkland The City’s adopted LOS for parkland acreage, which is 4 acres per 1,000 population, will not be impacted by this proposed amendment. Under both the existing and proposed land use, the LOS citywide will remain at 15.46 acres per 1,000 population. Stormwater Site plan approval will be required before the property can be redeveloped. At that time, the stormwater management system for the site will be required to meet all City and SWFWMD stormwater management Community Development Board – April 17, 2018 LUP2018-02001- Page 10 of 12 Level III Comprehensive Plan Amendment Review PLANNING & DEVELOPMENT LONG RANGE PLANNING DIVISION criteria. The existing stormwater pond will need to continue to provide storage and treatment for the neighborhood to the south and provide storage and treatment for new development on the parcel. Coordination regarding location of drainage easements will be addressed through the storm system approval and platting process. Streets The property is located at the southwest corner of Curlew Road and Lake Shore Lane, which is east of US Highway 19. Curlew Road, which is a six-lane, divided facility that is classified as a principal arterial and maintained by FDOT. The intersection of Lake Shore Lane and Curlew Road is not signalized. The site is currently primarily vacant, with only two residences on the property. Therefore, any new development will result in the generation of new trips. The amendment would produce an additional 2,541 trips per day. This is determined by using the typical traffic impacts figure (trips per day per acres) in the Countywide Rules for the Countywide Plan Map category that is consistent with the current and proposed land use categories in the City, which is the standard used to evaluate potential impacts for Future Land Use Map amendments. For this amendment, since the City’s Preservation (P) category allows for one dwelling unit per acre to potentially be constructed on the development parcel, the trip generation rate for the Countywide Plan Map category of Residential Low Medium (RLM) was utilized to determine the impact of those 8 dwelling units, and the trip generation rate for the Countywide Plan Map category of Public/Semi-Public (P/SP) with a transportation use was utilized for the remainder of the proposed amendment area which is currently designated as Transportation/Utility (T/U) on the City’s map. The number of new daily or peak hour trips for the development project will be determined at the time of site plan review and impacts will be assessed under the City’s Mobility Management System in the Community Development Code. The Forward Pinellas (Pinellas County’s Metropolitan Planning Organization) 2017 Level of Service Report shows Curlew Road is not a deficient roadway; therefore, a transportation management plan and/or traffic impact study is not mandatory but may be required along with payment of the multi-modal impact fee. City staff will review the traffic impacts at the time of site plan review and determine what additional plans or studies may be required. Recommended Conclusions of Law: Based upon the findings of fact, it is determined that the proposed change will not result in the degradation of the existing levels of service for potable water, sanitary sewer, solid waste, parkland, stormwater management and streets. Impact on Natural Resources [Section 4-603.F.5] Recommended Findings of Fact: According to the Habitat Assessment Memo, the overall property contains remnants of oak hammocks, but these are primarily located outside of the proposed amendment area. The onsite stormwater pond is not classified as a natural wetland, but the pond margins contain a mixture of naturally recruited wetland trees and herbaceous vegetation. The pond will remain onsite, and any impacts or changes to the pond would be evaluated as part of the site plan review process. Modifications to the pond may be allowed, but changes must be consistent with City and SWFWMD stormwater regulations. The City’s codes require that Community Development Board – April 17, 2018 LUP2018-02001- Page 11 of 12 Level III Comprehensive Plan Amendment Review PLANNING & DEVELOPMENT LONG RANGE PLANNING DIVISION development is compliant with the City’s tree preservation, landscaping and stormwater management requirements, all of which are assessed at the time of site plan review. Recommended Conclusions of Law: Based upon the findings of fact, it is determined that the proposed Future Land Use Map amendment will not negatively impact natural resources on the subject property. SUMMARY AND RECOMMENDATION: No amendment to the Comprehensive Plan or Future Land Use Map shall be recommended for approval or receive a final action of approval unless it complies with the standards contained in Section 4-603.F, Community Development Code. Table 3 below depicts the consistency of the proposed amendment with the standards pursuant to Section 4-603.F: Table 3. Consistency with Community Development Code Standards for Review CDC Section 4-603 Standard Consistent Inconsistent F.1 The amendment will further implementation of the Comprehensive Plan consistent with the goals, policies and objectives contained in the Plan. X F.2 The amendment is not inconsistent with other provisions of the Comprehensive Plan. X F.3 The available uses, if applicable, to which the properties may be put are appropriate to the properties in question and compatible with existing and planned uses in the area. X F.4 Sufficient public facilities are available to serve the properties. X F.5 The amendment will not adversely affect the natural environment. X F.6 The amendment will not adversely impact the use of properties in the immediate area. X Ordinance No. 9124-18 ORDINANCE NO. 9124-18 AN ORDINANCE OF THE CITY OF CLEARWATER, FLORIDA, AMENDING THE FUTURE LAND USE ELEMENT OF THE COMPREHENSIVE PLAN OF THE CITY, TO DESIGNATE THE LAND USE FOR CERTAIN REAL PROPERTY LOCATED GENERALLY SOUTH OF CURLEW ROAD, WEST OF LAKE SHORE LANE AND EAST OF CURLEW CITY 1ST REPLAT SUBDIVISION AND NORTH OF TRAILS OF COUNTRYSIDE SUBDIVISION, WHOSE POST OFFICE ADDRESSES ARE 3474 ASPEN TRAIL, 3490 AND 3492 LAKE SHORE LANE, CLEARWATER, FLORIDA 33761, UPON ANNEXATION INTO THE CITY OF CLEARWATER, AS RESIDENTIAL LOW (RL) AND WATER/DRAINAGE FEATURE, AND TO CHANGE THE LAND USE FOR A 9.20-ACRE PORTION OF THE SAME REAL PROPERTY FROM TRANSPORTATION UTILITY (T/U) AND PRESERVATION (P) (IN PINELLAS COUNTY), TO RESIDENTIAL LOW (RL) AND TRANSPORTATION/UTILITY (T/U) OVERLAY (1.52 ACRES), UPON ANNEXATION INTO THE CITY OF CLEARWATER; PROVIDING AN EFFECTIVE DATE. WHEREAS, the amendment to the Future Land Use Element of the Comprehensive Plan of the City as set forth in this ordinance is found to be reasonable, proper and appropriate, and is consistent with the City’s Comprehensive Plan; now, therefore, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CLEARWATER, FLORIDA: Section 1. The Future Land Use Element of the Comprehensive Plan of the City of Clearwater is changed by designating the land use categories for the hereinafter described property, upon annexation into the City of Clearwater, as follows: Property Land Use Category See attached Exhibit A for Legal Description 15.26-acres Designated Residential Low (RL) & Water/Drainage Feature upon Annexation 9.2-acre Portion Amended From: Transportation Utility (T/U), Preservation (P) & Undesignated (Pinellas County) (LUP2018-02001) 9.2-acre Portion Amended To: Residential Low (RL), Water Drainage Feature & Transportation/Utility (T/U) Overlay upon Annexation The map attached as Exhibit B is hereby incorporated by reference. Ordinance No. 9124-18 Section 2. The City Council does hereby certify that this ordinance is consistent with the City’s Comprehensive Plan. Section 3. This ordinance shall take effect contingent upon and subject to the adoption of Ordinance No. 9123-18 (annexation ordinance), approval of the land use designation by the Pinellas County Board of Commissioners, where applicable, and thirty-one (31) days post- adoption. If this ordinance is appealed within thirty (30) days after adoption, then this ordinance will take effect only after approval of the land use designation by the Pinellas County Board of Commissioners and upon issuance of a final order determining this amendment to be in compliance either by the Department of Economic Opportunity (DEO) or the Administration Commission, where applicable, pursuant to section 163.3187, Florida Statutes. The Community Development Coordinator is authorized to transmit to Forward Pinellas, in its role as the Pinellas Planning Council, an application to amend the Countywide Plan in order to achieve consistency with the Future Land Use Element of the City’s Comprehensive Plan as amended by this ordinance. PASSED ON FIRST READING PASSED ON SECOND AND FINAL READING AND ADOPTED George N. Cretekos Mayor Approved as to form: Pamela K. Akin City Attorney Attest: Rosemarie Call City Clerk Exhibit A LEGAL DESCRIPTION ANX2017-12026, LUP2018-02001 & REZ2017-12013 3474 Aspen Trail, 3490 & 3492 Lake Shore Lane PIN 18-28-16-00000-410-0000 The Northeast quarter (NE¼) of the Southeast quarter (SE¼) of Section 18, Township 28 South, Range 16 East. All lying and being in Pinellas County, Florida. AND From the SE corner of the NE¼ of Section 18, Township 28S, Range 16E, run thence S89°23’41”W along the ¼ section line 450.0 ft. for P.O.B. Thence continuing along said ¼ section line 946.63 ft.; thence N1°11’36”W 320.35 ft. along the 40 acre line to the center line of County Road #38; thence along a curve to the Right chord Bearing N78°42’07”E, 456.12 ft. Radius 1909.86 ft.; thence N85°33’28”E. 503.13 ft., thence S0°34’00”E, 438.62 ft. to P.O.B. less the Northerly 50.0 ft. for Road Purposes. All lying and being in Pinellas County, Florida. AND From the SE corner of the NE¼ of Section 18, Twp. 28 South, Range 16 East, run thence South 89°23’41” West along the 1/4 Section line 450 ft., for Point of Beginning. Thence continue in the same direction along said 1/4 Section Line 946.63 ft., thence North 1°11’36” West, 100 ft., m.o.l. to the Southerly boundary of the right-of-way of County Road #38 (Curlew Road) as said right-of-way existed on the 28th day of July, 1959; thence meandering Northeasterly along said Southerly boundary of said old right-of-way of County Road #38 to a point where the old Southerly boundary of County Road #38 intersects with the new Southerly boundary of County Road #38 as same is now constituted, thence Easterly along said Southerly boundary of said County Road #38 as now constituted, to a point in said Southerly boundary which point is 388.51 ft., m.o.l. North 0°34’00” West of Point of Beginning; thence South 0°34” East, 388.51 ft. to Point of Beginning. All lying and being in Pinellas County, Florida. AND That part of the SE¼ of the NE¼ of Section 18, Township 28 South, Range 16 East, described as follows: Begin at the Southeast corner of the NE¼ of Section 18 Township 28 South, Range 16 East, and run thence S 89°23’41” W along the East and West center line of said Section 18, 240.0 feet for a Point of Beginning; thence continue S 89°23’41” W, 210.0 feet; thence N 0°34’00” W parallel to the East line of the NE¼ of said Section 18, 438.62 feet to a point on the centerline of Right of Way of Curlew Road; thence N 85°33’25” E along said center-line of Right of Way, 90.25 feet; thence along said center-line of Right of Way and a curve to the right whose chord bears N 87°21’31” E, 120.04 feet, arc = 120.06 feet and radius 1909.86 feet thence S 0°34’00”E, 448.94 feet to Point of Beginning, LESS the Northerly 50.0 feet for Road purposes. All lying and being in Pinellas County, Florida. AND Exhibit A That part of the SE¼ of the NE¼ of Section 18 Township 28 South Range 16 East, described as follows: Begin at the Southeast corner of the NE¼ of Section 18 Township 28 South, Range 16 East and run thence S 89°23’41” W along the East and West center-line of said Section 18, 240.0 feet; thence N 0°34’00” W parallel to the East line of the NE¼ of said Section 18, 448.94 feet to a point on the center- line of Right of Way of Curlew Road; thence; thence along said center-line of Right of Way and a curve to the right whose chord bears S 87°14’44”E, 240.40 feet, arc = 240.46 feet and radius = 1909.86 feet to an intersection with said East line of the NE¼ of said Section 18; thence S 0°34’00” E along said East line of the NE¼ of said Section 18, 434.85 feet to Point of Beginning. LESS the Northerly 50.0 feet for Road purposes. All lying and being in Pinellas County, Florida. Less the properties shown in Book 5791, Page 1129; Book 9224, Page 2116; Book 9224, Page 2118, and Book 9341, Page 1566, all of the Public Records of Pinellas County, Florida. Exhibit B 12060 60 30 27 1 2 3 35 34 33 32 86 SEE PLAT FOR DIM*606060 99201 1 2 3 4 5 7 86124(S)5 0 50 50 50 141(S)127(S)25 127(S)121(S)129(S)128(S)134(S)129(S)129(S)20115 1 2 1 2 3 4 1 2 3 4 5 6 17 18 19 20 21 3 4 5 4 3 2 1 18 17 16 15 4 3 2 1 17 16 15 14 3 2 1 17 16 15 20 19 18 (21) LAKE 50 505050 50 50 50 6091668 I 15 14 13 12 11 10 9 8 7 6 5 4 3 2 B(2) A(1) 1 2 3 4567891011121314 15 16 17 18 19 40 41 42 43 44 4551 50 49 48 54 55 56 5762 63 64 6566 67 68 69 72 73 74 75 41/00 24.47 A C(C) 1 C U R L E W R D 69th ST NLAKE SHORE LN S K I P P E R T R L ASPEN TRL 66th ST BEECH TRL RODNEY CT DAVID CT SCOTT CT MORGAN CT FAIRFIELD TRL SWEETWATER TRL -Not to Scale--Not a Survey-Rev. 2/23/2018 3474 3490 3492 FUTURE LAND USE MAP Owner(s): Friedel B.Roddey Family Trust Case: LUP2018-02001 Site: 3474 Aspen Trail, 3490, 3492 Lake Shore Ln Property Size(Acres): 9.20 Acres for areas currently designated Pres. & T/U only (exclu. Pond) Land Use Zoning PIN: 18-28-16-00000-410-0000 From: Transportation Utility (T/U), Preservation (P) & Undesignated (pond) (Pinellas County) R-3 and A-E (Pinellas County) To: Residential Low (RL), Water Drainage Feature & Transportation/Utility (T/U) Overlay Low Medium Density Residential (LMDR) Atlas Page: 166B & 177B ANX2017-12026 / LUP2018-02001 / REZ2017-12013 Friedel B. Roddey Family Trust, Mr. Benjamin Roddey III, Trustee 3474 Aspen Trail, 3490 and 3492 Lake Shore Lane Page 1 of 3 View looking south at the subject property, 3474 Aspen Trail, from Curlew Road View looking west at the subject property from Lake Shore Lane View looking south at the subject property’s western boundary (utility easement) from Curlew Road View looking southwesterly at the subject property’s northeastern corner from Curlew Road View looking north at the subject property from Aspen Trail West of the subject property, on Curlew Road ANX2017-12026 / LUP2018-02001 / REZ2017-12013 Friedel B. Roddey Family Trust, Mr. Benjamin Roddey III, Trustee 3474 Aspen Trail, 3490 and 3492 Lake Shore Lane Page 2 of 3 North of the subject property, across Curlew Road View looking easterly along Curlew Road East of the subject property, across Lake Shore Lane South of the subject property, on Aspen Trail View looking westerly along Curlew Road View looking northerly along Lake Shore Lane ANX2017-12026 / LUP2018-02001 / REZ2017-12013 Friedel B. Roddey Family Trust, Mr. Benjamin Roddey III, Trustee 3474 Aspen Trail, 3490 and 3492 Lake Shore Lane Page 3 of 3 View looking southerly along Lake Shore Lane View looking southerly along Aspen Trail C OMMUNITY & ENVIRONMENTAL DEFENSE SERVICES Richard D. Klein, President (410) 654-3021 606A Freeland Road E-Mail Rklein@ceds.org Freeland, Maryland 21053 Web Page: www.ceds.org March 28, 2018 Lauren Matzke Long Range Planning Manager Planning and Development Department 100 South Myrtle Avenue Clearwater, Florida 33756 RE: 3474 Aspen Trail Environmental Comments Dear Ms. Matzke: I am assisting the Trails of Countryside Homeowners Association with concerns regarding the 3474 Aspen Trail rezoning- annexation request. The 24.5-acre tract owned by the applicant, Mr. Benjamin Roddey, III, is shown in the 2017 aerial photo to the right. Trails of Countryside residents live in the neighborhood seen to the south of the tract. While Association members would prefer to preserve the 24.5-acre tract in the current, mostly natural state, they also respect the owners right to make use of their property. Of greatest concern is preserving the quality of the onsite stormwater management facility known locally as Aspen Trail Lake. In these comments I offer suggestions for how the owner could develop the site in a way that achieves his goals and preserve Aspen Trail Lake too. These suggestions were offered to the owner's representatives at a recent meeting. The Association is awaiting the owner's response. Map A-11, in the City of Clearwater Comprehensive Plan, shows that the 24.5-acre tract contains a wildlife Hot Spot (Multiple Species Habitat). Hot Spots are described as "Representing biological diversity, created by aggregation of predictive habitat maps for wading birds, important natural communities, and 44 focal species. It also includes known species and community locations." Finding Equitable Solutions to Land Use & Environmental Conflicts 2 Pictured to the right is one of the Bald Eagles frequenting Aspen Trail Lake. Other wildlife observed on the site includes: gulls, many varieties of ibis, red tail hawks, chuck-wills-widow, raccoons, otters, turtles, Florida scrub jay, mourning doves, Pileated woodpeckers, red headed woodpeckers, Cardinals, Roseate Spoonbills, Moorhens, Great Egrets, and coyotes. Pictured to the left are two of the many Wood Storks that frequent Aspen Trail Lake. This species (Mycteria americana) is considered threatened by the U.S. Fish & Wildlife Service and the Florida Fish & Wildlife Conservation Commission.1 Association members are concerned that the proposed development of the site would result in the loss of much of the trees, shrubs and other habitat elements which allowed the Aspen Trail Lake tract to attain wildlife Hot Spot status. Additionally, conventional development could substantially increase stormwater pollutant loads to Aspen Trail Lake. The rise in pollutant loadings would result from an increase in the area of rooftops, streets, and other impervious surfaces draining to the Lake. The graph to the right compares nutrient removal efficiencies for the six most common stormwater Best Management Practice (BMP) categories.2 The efficiencies presented in this graph mirrors those provided in Appendix D, of the Pinellas County Stormwater Manual .3 The graph shows that bioretention and other infiltration practices are the most effective BMPs with regard to keeping nutrients out of downstream waters. These practices are also the most effective with regard to other stormwater pollutants and maintaining groundwater recharge. On the next page is the USDA Web Soil Survey map for the 24.5-acre Aspen Trail Lake tract. Added to the map is the Depth to Water values from Web Soil Survey. 1 See the Florida Fish & Wildlife Conservaton Commission Wood Stork webpage at: http://myfwc.com/wildlifehabitats/imperiled/profiles/birds/wood-stork/ 2 The data presented in this graph is from Table A-5, Recommendations of the Expert Panel to Define Removal Rates for Urban Stormwater Retrofit Projects, Chesapeake Stormwater Network, available online at: http://www.chesapeakebay.net/documents/Final_CBP_Approved_Expert_ Panel_Report_on_Stormwater_Retrofits--_short.pdf 3 The Pinellas County Stormwater Manua l is a va ilable online at: http://www.pinellascounty.org/plan/stormwater_manual.htm Soil Map—Pinellas County, Florida (Aspen Trail Lake Soils Map) Natural Resources Conservation Service Web Soil Survey National Cooperative Soil Survey 3/19/2018 Page 1 of 331036703103720310377031038203103870310392031039703103670310372031037703103820310387031039203103970329510329560329610329660329710329760329810329860329910329960330010 329510 329560 329610 329660 329710 329760 329810 329860 329910 329960 330010 28° 3' 1'' N 82° 44' 4'' W28° 3' 1'' N82° 43' 46'' W28° 2' 50'' N 82° 44' 4'' W28° 2' 50'' N 82° 43' 46'' WN Map projection: Web Mercator Corner coordinates: WGS84 Edge tics: UTM Zone 17N WGS84 0 100 200 400 600 Feet 0 30 60 120 180 Meters Map Scale: 1:2,350 if printed on A landscape (11" x 8.5") sheet. Soil Map may not be valid at this scale. 4 The Pinellas County Stormwater Manual calls for a minimum of two feet of unsaturated soil beneath practices utilizing infiltration to achieve a high pollutant removal efficiency. Since these practices extend two- to four-feet below the soil surface, a minimum six-foot Depth to Water would be needed to accommodate highly-effective stormwater BMPs. The Web Soil Survey map shows that a Depth to Water of six-feet or more only exists in the five acres located in the northeast portion of the tract. Concentrating development in this portion of the site would allow treatment of impervious surface runoff with highly-effective BMPs. This layout would allow development of the site with far less stormwater impact to Aspen Trail Lake and make it possible to preserve the most important wildlife habitat on the tract. The 24.5-acre tract is located in the Curlew Creek watershed. The Florida Department of Environmental Protection has determined that Curlew Creek suffers from diminished dissolved oxygen levels due to excessive nutrient inputs.4 Concentrating development on the best soils on the tract would not only protect Aspen Trail Lake but Curlew Creek as well from increased nutrient inputs. In summary, concentrating development in the northeast portion of the 24.5-acre tract would allow treatment of stormwater runoff with the most effective BMPs. Rezoning the remainder of the tract Preservation would safeguard existing habitat and open the door to creating more high-quality wildlife habitat. The net result would be improvements to this wildlife Hot Spot and a reduction in pollutant loads to Aspen Trail Lake and Curlew Creek. Of course this is but one of several possible scenarios for accommodating a reasonable degree of development on the site while preserving the environmental resources essential to maintaining the high quality of life enjoyed by Trails at Countryside Association members and other City of Clearwater residents. The Association is anxious to work with the City and Mr. Roddey to find a mutually beneficial solution. Association representatives would deeply appreciate an opportunity to meet with you to explore how the interests of all parties can be met. Sincerely, Richard D. Klein cc: Mr. Paul Keleti, Trails of Countryside Homeowners Association Mr. Benjamin Roddey, III 4 Dissolved Oxygen and Nutrient TMDL for Curlew Creek Tidal Segment, WBID 1538, available online at: https://floridadep.gov/sites/default/files/curlew-tidal1538-donutr-tmdl.pdf Cover Memo City of Clearwater City Hall 112 S. Osceola Avenue Clearwater, FL 33756 File Number: REZ2017-12013 Agenda Date: 4/16/2018 Status: Agenda ReadyVersion: 1 File Type: Planning CaseIn Control: Planning & Development Agenda Number: 6.3 SUBJECT/RECOMMENDATION: Approve a Zoning Atlas Amendment from the A-E Agricultural Estate Residential and R-3 Single Family Residential Districts (Pinellas County) to the Low Medium Density Residential (LMDR) District for 3474 Aspen Trail, 3490 and 3492 Lake Shore Lane upon annexation; and pass Ordinance 9125-18 on first reading. (REZ2017-12013) SUMMARY: This Zoning Atlas amendment involves a 24.46-acre parcel located at the southwest corner of Curlew Road and Lake Shore Lane. The applicant is requesting to rezone the subject property from the A-E Agricultural Estate Residential and R-3 Single Family Residential Districts (Pinellas County) to the Low Medium Density Residential (LMDR) District, indicating the intention to redevelop the site with a new residential subdivision; however, no site plan has been submitted at this time. The applicant has submitted a petition for annexation (ANX2017-12026) and a Future Land Use Map amendment which are being processed concurrently with this case (LUP2018-02001). Currently the property has two zoning districts, A-E Agricultural Estate Residential District, which is designated along the southern half of the site, and the and R-3 Single Family Residential District, which is designated along the northern half, more or less, of the site. The applicant is requesting rezoning to establish a single zoning for the entire parcel, allowing the applicant to create a cohesive development consistent with adjacent developments. The Planning & Development Department has determined that the proposed Zoning Atlas amendment is consistent with the Community Development Code as specified below: ·The proposed amendment is consistent with the Comprehensive Plan and the Community Development Code. ·The proposed amendment is compatible with the surrounding property and character of the neighborhood. ·The available uses in the Low Medium Density Residential (LMDR) District are compatible with the surrounding area. ·The proposed amendment will not adversely burden public facilities, including the traffic-carrying capacities of streets, in an unreasonably or disproportionate manner. ·The proposed Low Medium Density Residential (LMDR) District boundary is appropriately drawn in regard to location and classification of streets, ownership lines, existing improvements, and the natural environment. The Community Development Board will review this application at its April 17, 2018 public hearing and make a recommendation to the Council. The Planning and Development Department will report the recommendation at the City Council meeting. Page 1 City of Clearwater Printed on 4/16/2018 File Number: REZ2017-12013 APPROPRIATION CODE AND AMOUNT: N/A USE OF RESERVE FUNDS: N/A Page 2 City of Clearwater Printed on 4/16/2018 Community Development Board – April 17, 2018 REZ2017-12013- Page 1 of 10 PLANNING & DEVELOPMENT DEPARTMENT COMMUNITY DEVELOPMENT BOARD STAFF REPORT MEETING DATE: April 17, 2018 AGENDA ITEM: F.2. CASE: REZ2017-12013 REQUEST: To amend the Zoning Atlas designation from A-E Agricultural Estate Residential and R-3 Single Family Residential Districts (Pinellas County) to the Low Medium Density Residential (LMDR) District upon annexation GENERAL DATA: Applicant ......................... Benjamin Roddey IV Owner ............................. Friedel B. Roddey Family Trust, Mr. Benjamin Roddey III, Trustee Location .......................... 3474 Aspen Trail, 3490 and 3492 Lake Shore Lane, located at the southwest corner of Curlew Road and Lake Shore Lane Property Size ................... 24.46 acres Background: This case involves a 24.46-acre property located on the southwest corner of Curlew Road and Lake Shore Lane. The parcel is owned by the Friedel B. Roddey Family Trust, for which Benjamin Roddey III is a Trustee. Currently, the property is occupied by two single family homes, one of which is accessed from Lake Shore Lane along the eastern boundary of the site, and one which is accessed from Aspen Trail which terminates at the southern property line. Additionally, there is a detached garage and barn on the property. A 4.8-acre stormwater pond provides stormwater storage and treatment for the neighborhood to the south of the subject site through drainage easements. The property is within Pinellas County’s jurisdiction, and the applicant has submitted a Petition for Annexation (ANX2017-12026) that is being processed concurrently with this case at the April 19, 2018 City Council meeting. Annexation is required in order to connect to City services when the site is redeveloped in the future. Maps 1 and 2 show the general location of the property and an aerial view of the amendment area. Currently the property has two zoning districts, A-E Agricultural Estate Residential District which is designated along the southern half of the site, and the R-3 Single Family Residential District which is designated along the northern half, more or less, of the site. The applicant is requesting rezoning to establish a single zoning for the entire parcel, allowing the applicant to create a cohesive development consistent with adjacent developments. Community Development Board – April 17, 2018 REZ2017-12023- Page 2 of 10 Level III Zoning Atlas Amendment Review PLANNING & DEVELOPMENT LONG RANGE PLANNING DIVISION The request is to change the Zoning Atlas designation of the subject property from A-E Agricultural Estate Residential and R-3 Single Family Residential Districts (Pinellas County) to Low Medium Density Residential (LMDR) District (City of Clearwater). A request to amend the future land use category of a 9.20- acre portion of the property upon annexation is being processed concurrently with this case (LUP2018- 02001). The applicant has indicated they would like to develop the site with approximately 30 single-family houses; however, no site plan has been submitted at this time. The applicant understands all necessary approvals and permits must be obtained before development of the subject site occurs. Map 1 Map 2 Vicinity Characteristics: Map 3 shows the existing surrounding uses. The subject property is surrounded by single family homes on all sides, including to the north across Curlew Road and to the east across Lake Shore Lane. The residences to the east are within the City of Clearwater jurisdiction, while the others remain in Pinellas County. Community Development Board – April 17, 2018 REZ2017-12023- Page 3 of 10 Level III Zoning Atlas Amendment Review PLANNING & DEVELOPMENT LONG RANGE PLANNING DIVISION Map 3 As shown on Map 5, the abutting Zoning Atlas designations are R-3, Single Family Residential District (Pinellas County) to the west and south, as well as to the north, across Curlew Road. Additionally, adjacent to the northwest corner there is a small area (two parcels) designated P-1A, Limited Office District (Pinellas County) along Curlew Road. Across Lake Shore Lane, to the east, properties are zoned Low Density Residential (LDR). Map 4 Map 5 E-1 I Community Development Board – April 17, 2018 REZ2017-12023- Page 4 of 10 Level III Zoning Atlas Amendment Review PLANNING & DEVELOPMENT LONG RANGE PLANNING DIVISION REVIEW CRITERIA: Consistency with the Clearwater Comprehensive Plan and Community Development Code and Regulations [Sections 4-602.F.1] Recommended Findings of Fact: Applicable goals and objectives of the Clearwater Comprehensive Plan which support the proposed amendment include: Goal A.4. The City shall work toward a land use pattern that can be supported by the available community and public facilities that would be required to serve the development. Objective A.4.1 The City’s Concurrency Management System will ensure that compatibility of all proposed development with the capacities of the existing and planned support facilities for which a level of service has been adopted. 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. Goal A.7 The City of Clearwater shall ensure the efficient delivery of urban services and unified land use and property maintenance standards, as well as foster community identity and reduce sources of environmental contamination through the annexation of unincorporated properties within the Clearwater Planning Area. Policy D.1.2.1 Sewer services shall not be extended to properties outside of the corporate limits of the City unless an agreement to annex or a petition to annex is filed and approved by the Clearwater City Council. Sufficient capacity must exist to serve the areas committed to City service, as well as those proposed for service. Applicable section of the Community Development Code which supports the proposed amendment: Division 2. Low Medium Density Residential District, Section 2-201. Intent and Purpose. The intent and purpose of the Low Medium Density Residential District ("LMDR") is to protect and preserve the integrity and value of existing, stable residential neighborhoods of low to medium density while at the same time, allowing a careful and deliberate redevelopment and revitalization of such neighborhoods in need of revitalization or neighborhoods with unique amenities which create unique opportunities to increase property values and the overall attractiveness of the City. Currently there are two single family homes on the subject property; however, the applicant has indicated the intent to redevelop the site with approximately 30 single family homes. The proposed Low Medium Density Residential (LMDR) District is compatible with the surrounding residential uses in the area, specifically because future uses would be limited to detached dwellings (single family homes) or community residential homes at a scale that is similar to what is built in the surrounding residential areas. The onsite stormwater pond provides a unique amenity for a new development on the subject property. The pond will remain onsite, and any impacts or changes to the pond would be evaluated as part of the site plan review process. Future development will be able to connect to the City’s sanitary sewer service. In addition, the proposal does not Community Development Board – April 17, 2018 REZ2017-12023- Page 5 of 10 Level III Zoning Atlas Amendment Review PLANNING & DEVELOPMENT LONG RANGE PLANNING DIVISION degrade the level of service for public facilities below the adopted standards (a detailed public facilities analysis follows in this report). Recommended Conclusions of Law: The request does not conflict with the goals, objectives and policies of the Clearwater Comprehensive Plan and furthers said plan and the Community Development Code as indicated above. Compatibility with Surrounding Property/Character of the City & Neighborhood [Section 4-602.F.2, 4-602.F.3 and Section 4-602.F.4] Recommended Findings of Fact: Existing surrounding uses consist of single family residential adjacent to the south, as well as across Lake Shore Lane to the east and Curlew Road to the north, and across the utility easement to the west. The redevelopment of the property with a residential use is compatible with the surrounding properties and neighborhood. The proposed Low Medium Residential Density (LMDR) District primarily permits detached dwellings, along with community residential homes. Attached dwellings would not be allowed on this site as that use would not meet the criteria in the Community Development Code. The proposed amendment will allow for the redevelopment of the property with uses consistent and in character with the surrounding properties and neighborhood. Recommended Conclusions of Law: The proposed Low Medium Density Residential (LMDR) zoning district is in character with the zoning districts in the area. Further, the proposal is compatible with surrounding uses and consistent with the character of the surrounding properties and neighborhood. Sufficiency of Public Facilities [Section 4-602.F.5] Recommended Findings of Fact: To assess the sufficiency of public facilities needed to support potential development on the proposed amendment area, the maximum development potential of the property under the present and requested City Future Land Use Map designations were analyzed (see Tables 1a and 1b). Even though this is a Zoning Atlas amendment application, maximum development potential is based on the underlying future land use, so for purposes of this analysis sufficiency of public facilities is based on the future land use map designation. Community Development Board – April 17, 2018 REZ2017-12013- Page 6 of 10 Table 1. Development Potential for Existing & Proposed FLUM Designations Present FLUM Designations Requested & Assigned FLUM Designations RL Undesignated (Pond) P T/U Total RL (+ T/U Overlay)4 Water/Drainage Feature Net Change Site Area 10.46 AC (455,637.6 SF) 4.8 AC (209,088 SF) 8.845 AC (385,288.2 SF) 0.355 AC (15,463.8 SF) 24.46 AC (1,065,477.6 SF) 19.66 AC + 1.52 AC4 (856,389.6 SF) 4.8 AC (209,088 SF) Maximum Development Potential 52 DUs 0 SF1 0.40 FAR 0 DUs 0 SF N/A 8 DUs2 0 SF3 0.10 FAR 0 DUs 10,824 SF 0.70 FAR 60 DUs 10,824 SF N/A 98 DUs 0 SF 0.4 FAR 0 DUs 0 SF N/A +38 DUs -10,824 SF -0.1 to 0.7 FAR Notes: 1. FAR is not used to regulate residential uses and there are no non-residential uses permitted through the requested Low Medium Density Residential (LMDR) District zoning; therefore, the square footage development potential is zero. 2. Residential uses are not permitted within the Preservation (P) District, but the Preservation (P) future land use category permits 1 unit per acre to potentially be utilized through transfer of development rights or to be constructed on another non-preservation area on the same development parcel. 3. Non-residential uses permitted through the consistent Preservation (P) District are limited to marinas and their accessory structures and environmental parks, which are limited to boardwalks, picnic structures, and the like. 4. Transportation Utility (T/U) Overlay category development potential (density, intensity and ISR) is based upon the underlying future land use; companion case LUP2018-02001 proposes RL as the underlying future land use within the utility easement area, with the T/U OverlayAbbreviations: FLUM – Future Land Use Map DUs –Dwelling Units AC – Acres FAR –Floor Area Ratio SF – Square feet Community Development Board – April 17, 2018 REZ2017-12013- Page 7 of 10 As shown in the table, there is an increase in residential development potential across the amendment area which would affect certain public facilities as detailed further below. The following analysis compares the maximum potential development of the proposed Residential Low (RL) future land use developed with 98 detached dwellings to the maximum development potential of the existing Residential Low (RL) future land use category (52 dwelling units) plus the 8 detached dwellings allowed through the Preservation (P) future land use category (60 dwelling units total) plus the development potential of the Transportation/Utility (T/U) land use category developed with a nonresidential use (10,824 SF public transportation facility). Additionally, for comparison, the maximum development potential as proposed is compared to the number of units indicated to be developed (30 dwelling units), which is more likely given required lot sizes through the proposed zoning district and other site constraints, including the pond. An increase in demand of several public facilities could be expected if the subject property redevelops at the maximum number of residential units (98 dwelling units), but a decrease could be expected if the subject property redevelops in a range closer to what the applicant indicated would be built (30 dwelling units). Regardless, there is adequate capacity to serve the property. Potable Water The increase in development potential from this amendment would result in an increase in potable water use of 9,634 gallons per day. This is determined by comparing the potential potable water utilization of the maximum density allowed by the proposed land use developed with a residential use (27,636 gallons per day for 98 dwelling units) to the potential utilization of the maximum residential and non-residential development allowed by the current Residential Low (RL), Preservation (P) and Transportation/Utility (T/U) land use designations (18,002 gallons per day). In comparison, if the site were to develop with 30 dwelling units, as indicated is the anticipated number to be proposed, there would be a decrease in potable water use of 9,542 gallons per day, which is determined by comparing the potable water utilization of 30 dwelling units (8,460 gallons per day) to the utilization of the maximum residential and non-residential development allowed by the current land use designations (18,002 gallons per day). The City’s current potable water demand is 12.61 million gallons per day (MGD). The City’s adopted level of service (LOS) standard for potable water service is 120 gallons per day per capita, while the actual usage is estimated at 76 gallons per day per capita (2015 Annual Water Report). The City’s 10-year Water Supply Facilities Work Plan (2016-1026 Planning Period), completed in October 2017, indicates that based on the updated water demand projections and other factors, the City has adequate water supply and potable water capacity for the 10-year planning horizon. Wastewater The increase in development potential from this amendment would also result in an increase in wastewater production of 8,778 gallons per day of wastewater. This is determined by comparing the potential wastewater generation of the proposed land use developed with a residential use (24,872 gallons for 98 dwelling units) to the potential wastewater generation of the maximum residential and non-residential development allowed by the current land use designations (16,094 gallons). In comparison, if the site were to develop with 30 dwelling units, as indicated is the anticipated number to be proposed, there would be a decrease in wastewater generated of 8,480 gallons per day, which is determined by comparing the wastewater generated by 30 dwelling units (7,614 gallons per day) to the wastewater generated by the maximum residential and non-residential development allowed by the current land use designations (16,094 gallons per day). Community Development Board – April 17, 2018 REZ2017-12023- Page 8 of 10 Level III Zoning Atlas Amendment Review PLANNING & DEVELOPMENT LONG RANGE PLANNING DIVISION The subject property is served by the Northeast Water Reclamation Facility, which presently has excess permitted capacity estimated to be 7.12 million gallons per day. Therefore, there is excess sanitary sewer capacity to serve the amendment area. Solid Waste The proposed amendment could result in a decrease of 113.6 tons per year of solid waste generated when comparing the amount of waste generated by the maximum density for a residential use under Residential Low (RL) (248.4 tons for 98 units) to that generated by the maximum residential and non-residential development (transportation facility) as allowed by the current land use designations (362.1 tons per year). In comparison, if the site were to develop with 30 dwelling units, as indicated is the anticipated number to be proposed, there would be a decrease in solid waste generated of 286.1 tons gallons per year, which is determined by comparing the solid waste generated by 30 dwelling units (76 tons per year) to the solid waste generated by the maximum residential and non-residential development allowed by the current land use designations (362.1 tons per year). All solid waste disposal is handled by Pinellas County at the Pinellas County Waste-to-Energy Plant and the Bridgeway Acres Sanitary Landfill which has significant capacity. Additionally, the City provides a full- service citywide recycling program which diverts waste from the landfill, helping to extend the lifespan of Bridgeway Acres. There is excess solid waste capacity to serve the amendment area. Parkland The City’s adopted LOS for parkland acreage, which is 4 acres per 1,000 population, will not be impacted by this proposed amendment. Under both the existing and proposed future land uses, the LOS citywide will remain at 15.46 acres per 1,000 population. Stormwater Site plan approval will be required before the property can be redeveloped. At that time, the stormwater management system for the site will be required to meet all City and SWFWMD stormwater management criteria. The existing stormwater pond will need to continue to provide storage and treatment for the neighborhood to the south and provide storage and treatment for new development on the parcel. Coordination regarding location of drainage easements will be addressed through the storm system approval and platting process. Streets The property is located at the southwest corner of Curlew Road and Lake Shore Lane, which is east of US Highway 19. Curlew Road, which is a six-lane, divided facility that is classified as a principal arterial and maintained by FDOT. The intersection of Lake Shore Lane and Curlew Road is not signalized. The site is currently primarily vacant, with only two residences on the property. Therefore, any new development will result in the generation of new trips. The amendment could produce an additional 2,541 trips per day. This is determined by using the typical traffic impacts figure (trips per day per acres) in the Countywide Rules for the Countywide Plan Map category that is consistent with the current and proposed land use categories in the City, which is the standard used to evaluate potential impacts for Future Land Use Map amendments. For this amendment, Community Development Board – April 17, 2018 REZ2017-12023- Page 9 of 10 Level III Zoning Atlas Amendment Review PLANNING & DEVELOPMENT LONG RANGE PLANNING DIVISION since the City’s Preservation (P) category allows for one dwelling unit per acre to potentially be constructed on the development parcel, the trip generation rate for the Countywide Plan Map category of Residential Low Medium (RLM) was utilized to determine the impact of those 8 dwelling units, and the trip generation rate for the Countywide Plan Map category of Public/Semi-Public (P/SP) with a transportation use was utilized for the remainder of the proposed amendment area which is currently designated as Transportation/Utility (T/U) on the City’s map. The number of new daily or peak hour trips for the development project will be determined at the time of site plan review and impacts will be assessed under the City’s Mobility Management System in the Community Development Code. The Forward Pinellas (Pinellas County’s Metropolitan Planning Organization) 2017 Level of Service Report shows Curlew Road is not a deficient roadway; therefore, a transportation management plan and/or traffic impact study is not mandatory but may be required along with payment of the multi-modal impact fee. City staff will review the traffic impacts at the time of site plan review and determine what additional plans or studies may be required. Recommended Conclusions of Law: Based upon the findings of fact, it is determined that the proposed change will not result in the degradation of the existing levels of service for potable water, sanitary sewer, solid waste, parkland, stormwater management and streets. Location of District Boundaries [Section 4-602.F.6] Recommended Findings of Fact: The location of the proposed Low Medium Density Residential (LMDR) District is logical and consistent with the boundaries of the subject property. Recommended Conclusions of Law: The District boundary is appropriately drawn in regard to location and classifications of streets, ownership lines, existing improvements and the natural environment. SUMMARY AND RECOMMENDATION: Ordinance No. 9125-18 ORDINANCE NO. 9125-18 AN ORDINANCE OF THE CITY OF CLEARWATER, FLORIDA, AMENDING THE ZONING ATLAS OF THE CITY BY REZONING CERTAIN REAL PROPERTY LOCATED GENERALLY SOUTH OF CURLEW ROAD, WEST OF LAKE SHORE LANE AND EAST OF CURLEW CITY 1ST REPLAT SUBDIVISION AND NORTH OF TRAILS OF COUNTRYSIDE SUBDIVISION, WHOSE POST OFFICE ADDRESSES ARE 3474 ASPEN TRAIL, 3490 AND 3492 LAKE SHORE LANE, CLEARWATER, FLORIDA 33761, FROM R-3 SINGLE FAMILY RESIDENTIAL DISTRICT AND A-E AGRICULTURAL ESTATE RESIDENTIAL DISTRICT (IN PINELLAS COUNTY) TO LOW MEDIUM DENSITY RESIDENTIAL (LMDR) UPON ANNEXATION INTO THE CITY OF CLEARWATER; PROVIDING AN EFFECTIVE DATE. WHEREAS, the amendment to the Zoning Atlas of the City as set forth in this ordinance is found to be reasonable, proper and appropriate, and is consistent with the City's Comprehensive Plan; now, therefore, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CLEARWATER, FLORIDA: Section 1. The following described property in Clearwater, Florida, is hereby rezoned, and the Zoning Atlas of the City is amended as follows: Property Zoning District See attached Exhibit A for Legal Description From: R-3 Single Family Residential District & A-E Agricultural Estate Residential District (Pinellas County) (REZ2017-12013) To: Low Medium Density Residential (LMDR) The map attached as Exhibit B is hereby incorporated by reference. Section 2. The City Engineer is directed to revise the Zoning Atlas of the City in accordance with the foregoing amendment. Section 3. This ordinance shall take effect contingent upon and subject to the adoption of Ordinance No. 9123-18 (annexation ordinance), subject to the approval of the land use designation set forth in Ordinance 9124-18 by the Pinellas County Board of County Commissioners. Ordinance No. 9125-18 PASSED ON FIRST READING PASSED ON SECOND AND FINAL READING AND ADOPTED George N. Cretekos Mayor Approved as to form: Pamela K. Akin City Attorney Attest: Rosemarie Call City Clerk Exhibit A LEGAL DESCRIPTION ANX2017-12026, LUP2018-02001 & REZ2017-12013 3474 Aspen Trail, 3490 & 3492 Lake Shore Lane PIN 18-28-16-00000-410-0000 The Northeast quarter (NE¼) of the Southeast quarter (SE¼) of Section 18, Township 28 South, Range 16 East. All lying and being in Pinellas County, Florida. AND From the SE corner of the NE¼ of Section 18, Township 28S, Range 16E, run thence S89°23’41”W along the ¼ section line 450.0 ft. for P.O.B. Thence continuing along said ¼ section line 946.63 ft.; thence N1°11’36”W 320.35 ft. along the 40 acre line to the center line of County Road #38; thence along a curve to the Right chord Bearing N78°42’07”E, 456.12 ft. Radius 1909.86 ft.; thence N85°33’28”E. 503.13 ft., thence S0°34’00”E, 438.62 ft. to P.O.B. less the Northerly 50.0 ft. for Road Purposes. All lying and being in Pinellas County, Florida. AND From the SE corner of the NE¼ of Section 18, Twp. 28 South, Range 16 East, run thence South 89°23’41” West along the 1/4 Section line 450 ft., for Point of Beginning. Thence continue in the same direction along said 1/4 Section Line 946.63 ft., thence North 1°11’36” West, 100 ft., m.o.l. to the Southerly boundary of the right-of-way of County Road #38 (Curlew Road) as said right-of-way existed on the 28th day of July, 1959; thence meandering Northeasterly along said Southerly boundary of said old right-of-way of County Road #38 to a point where the old Southerly boundary of County Road #38 intersects with the new Southerly boundary of County Road #38 as same is now constituted, thence Easterly along said Southerly boundary of said County Road #38 as now constituted, to a point in said Southerly boundary which point is 388.51 ft., m.o.l. North 0°34’00” West of Point of Beginning; thence South 0°34” East, 388.51 ft. to Point of Beginning. All lying and being in Pinellas County, Florida. AND That part of the SE¼ of the NE¼ of Section 18, Township 28 South, Range 16 East, described as follows: Begin at the Southeast corner of the NE¼ of Section 18 Township 28 South, Range 16 East, and run thence S 89°23’41” W along the East and West center line of said Section 18, 240.0 feet for a Point of Beginning; thence continue S 89°23’41” W, 210.0 feet; thence N 0°34’00” W parallel to the East line of the NE¼ of said Section 18, 438.62 feet to a point on the centerline of Right of Way of Curlew Road; thence N 85°33’25” E along said center-line of Right of Way, 90.25 feet; thence along said center-line of Right of Way and a curve to the right whose chord bears N 87°21’31” E, 120.04 feet, arc = 120.06 feet and radius 1909.86 feet thence S 0°34’00”E, 448.94 feet to Point of Beginning, LESS the Northerly 50.0 feet for Road purposes. All lying and being in Pinellas County, Florida. AND Exhibit A That part of the SE¼ of the NE¼ of Section 18 Township 28 South Range 16 East, described as follows: Begin at the Southeast corner of the NE¼ of Section 18 Township 28 South, Range 16 East and run thence S 89°23’41” W along the East and West center-line of said Section 18, 240.0 feet; thence N 0°34’00” W parallel to the East line of the NE¼ of said Section 18, 448.94 feet to a point on the center- line of Right of Way of Curlew Road; thence; thence along said center-line of Right of Way and a curve to the right whose chord bears S 87°14’44”E, 240.40 feet, arc = 240.46 feet and radius = 1909.86 feet to an intersection with said East line of the NE¼ of said Section 18; thence S 0°34’00” E along said East line of the NE¼ of said Section 18, 434.85 feet to Point of Beginning. LESS the Northerly 50.0 feet for Road purposes. All lying and being in Pinellas County, Florida. Less the properties shown in Book 5791, Page 1129; Book 9224, Page 2116; Book 9224, Page 2118, and Book 9341, Page 1566, all of the Public Records of Pinellas County, Florida. Exhibit B 12060 60 30 201337 1 2 3 4 35 34 33 32 31 86 SEE PLAT FOR DIME*606060 99201 1 2 3 4 76 86124(S)5 0 50 50 50 141(S)127(S)25 127(S)121(S)129(S)128(S)134(S)129(S)129(S)20115 201331 2 1 2 3 4 1 2 3 4 5 6 7 15 16 17 18 19 20 21 3 4 5 6 5 4 3 2 1 18 17 16 15 14 4 3 2 1 17 16 15 14 13 5 4 3 2 1 17 16 15 14 21 20 19 18 (21) LAKE 505050 50 50 50 60 I 13 12 11 10 9 8 7 6 5 4 3 2 B(2) A(1) 1 2 3 4567891011121314 15 16 17 18 19 41 42 43 4450 49 48 54 55 5663 64 6566 67 68 72 73 74 41/00 24.47 A C(C) 1 C U R L E W R D 69th ST NLAKE SHORE LN S K I P P E R T R L 66th ST ASPEN TRL DAVID CT SCOTT CT RODNEY CT MORGAN CT BEECH TRL P LDR-Not to Scale--Not a Survey-Rev. 2/23/2018 3474 3490 3492 ZONING MAP Owner(s): Friedel B.Roddey Family Trust Case: REZ2017-12013 Site: 3474 Aspen Trail, 3490, 3492 Lake Shore Ln Property Size(Acres): 24.47 Land Use Zoning PIN: 18-28-16-00000-410-0000 From: Transportation Utility (T/U), Preservation (P) & Undesignated (pond) (Pinellas County) R-3 and A-E (Pinellas County) To: Residential Low (RL), Water Drainage Feature & Transportation/Utility (T/U) Overlay Low Medium Density Residential (LMDR) Atlas Page: 166B & 177B ANX2017-12026 / LUP2018-02001 / REZ2017-12013 Friedel B. Roddey Family Trust, Mr. Benjamin Roddey III, Trustee 3474 Aspen Trail, 3490 and 3492 Lake Shore Lane Page 1 of 3 View looking south at the subject property, 3474 Aspen Trail, from Curlew Road View looking west at the subject property from Lake Shore Lane View looking south at the subject property’s western boundary (utility easement) from Curlew Road View looking southwesterly at the subject property’s northeastern corner from Curlew Road View looking north at the subject property from Aspen Trail West of the subject property, on Curlew Road ANX2017-12026 / LUP2018-02001 / REZ2017-12013 Friedel B. Roddey Family Trust, Mr. Benjamin Roddey III, Trustee 3474 Aspen Trail, 3490 and 3492 Lake Shore Lane Page 2 of 3 North of the subject property, across Curlew Road View looking easterly along Curlew Road East of the subject property, across Lake Shore Lane South of the subject property, on Aspen Trail View looking westerly along Curlew Road View looking northerly along Lake Shore Lane ANX2017-12026 / LUP2018-02001 / REZ2017-12013 Friedel B. Roddey Family Trust, Mr. Benjamin Roddey III, Trustee 3474 Aspen Trail, 3490 and 3492 Lake Shore Lane Page 3 of 3 View looking southerly along Lake Shore Lane View looking southerly along Aspen Trail C OMMUNITY & ENVIRONMENTAL DEFENSE SERVICES Richard D. Klein, President (410) 654-3021 606A Freeland Road E-Mail Rklein@ceds.org Freeland, Maryland 21053 Web Page: www.ceds.org March 28, 2018 Lauren Matzke Long Range Planning Manager Planning and Development Department 100 South Myrtle Avenue Clearwater, Florida 33756 RE: 3474 Aspen Trail Environmental Comments Dear Ms. Matzke: I am assisting the Trails of Countryside Homeowners Association with concerns regarding the 3474 Aspen Trail rezoning- annexation request. The 24.5-acre tract owned by the applicant, Mr. Benjamin Roddey, III, is shown in the 2017 aerial photo to the right. Trails of Countryside residents live in the neighborhood seen to the south of the tract. While Association members would prefer to preserve the 24.5-acre tract in the current, mostly natural state, they also respect the owners right to make use of their property. Of greatest concern is preserving the quality of the onsite stormwater management facility known locally as Aspen Trail Lake. In these comments I offer suggestions for how the owner could develop the site in a way that achieves his goals and preserve Aspen Trail Lake too. These suggestions were offered to the owner's representatives at a recent meeting. The Association is awaiting the owner's response. Map A-11, in the City of Clearwater Comprehensive Plan, shows that the 24.5-acre tract contains a wildlife Hot Spot (Multiple Species Habitat). Hot Spots are described as "Representing biological diversity, created by aggregation of predictive habitat maps for wading birds, important natural communities, and 44 focal species. It also includes known species and community locations." Finding Equitable Solutions to Land Use & Environmental Conflicts 2 Pictured to the right is one of the Bald Eagles frequenting Aspen Trail Lake. Other wildlife observed on the site includes: gulls, many varieties of ibis, red tail hawks, chuck-wills-widow, raccoons, otters, turtles, Florida scrub jay, mourning doves, Pileated woodpeckers, red headed woodpeckers, Cardinals, Roseate Spoonbills, Moorhens, Great Egrets, and coyotes. Pictured to the left are two of the many Wood Storks that frequent Aspen Trail Lake. This species (Mycteria americana) is considered threatened by the U.S. Fish & Wildlife Service and the Florida Fish & Wildlife Conservation Commission.1 Association members are concerned that the proposed development of the site would result in the loss of much of the trees, shrubs and other habitat elements which allowed the Aspen Trail Lake tract to attain wildlife Hot Spot status. Additionally, conventional development could substantially increase stormwater pollutant loads to Aspen Trail Lake. The rise in pollutant loadings would result from an increase in the area of rooftops, streets, and other impervious surfaces draining to the Lake. The graph to the right compares nutrient removal efficiencies for the six most common stormwater Best Management Practice (BMP) categories.2 The efficiencies presented in this graph mirrors those provided in Appendix D, of the Pinellas County Stormwater Manual .3 The graph shows that bioretention and other infiltration practices are the most effective BMPs with regard to keeping nutrients out of downstream waters. These practices are also the most effective with regard to other stormwater pollutants and maintaining groundwater recharge. On the next page is the USDA Web Soil Survey map for the 24.5-acre Aspen Trail Lake tract. Added to the map is the Depth to Water values from Web Soil Survey. 1 See the Florida Fish & Wildlife Conservaton Commission Wood Stork webpage at: http://myfwc.com/wildlifehabitats/imperiled/profiles/birds/wood-stork/ 2 The data presented in this graph is from Table A-5, Recommendations of the Expert Panel to Define Removal Rates for Urban Stormwater Retrofit Projects, Chesapeake Stormwater Network, available online at: http://www.chesapeakebay.net/documents/Final_CBP_Approved_Expert_ Panel_Report_on_Stormwater_Retrofits--_short.pdf 3 The Pinellas County Stormwater Manua l is a va ilable online at: http://www.pinellascounty.org/plan/stormwater_manual.htm Soil Map—Pinellas County, Florida (Aspen Trail Lake Soils Map) Natural Resources Conservation Service Web Soil Survey National Cooperative Soil Survey 3/19/2018 Page 1 of 331036703103720310377031038203103870310392031039703103670310372031037703103820310387031039203103970329510329560329610329660329710329760329810329860329910329960330010 329510 329560 329610 329660 329710 329760 329810 329860 329910 329960 330010 28° 3' 1'' N 82° 44' 4'' W28° 3' 1'' N82° 43' 46'' W28° 2' 50'' N 82° 44' 4'' W28° 2' 50'' N 82° 43' 46'' WN Map projection: Web Mercator Corner coordinates: WGS84 Edge tics: UTM Zone 17N WGS84 0 100 200 400 600 Feet 0 30 60 120 180 Meters Map Scale: 1:2,350 if printed on A landscape (11" x 8.5") sheet. Soil Map may not be valid at this scale. 4 The Pinellas County Stormwater Manual calls for a minimum of two feet of unsaturated soil beneath practices utilizing infiltration to achieve a high pollutant removal efficiency. Since these practices extend two- to four-feet below the soil surface, a minimum six-foot Depth to Water would be needed to accommodate highly-effective stormwater BMPs. The Web Soil Survey map shows that a Depth to Water of six-feet or more only exists in the five acres located in the northeast portion of the tract. Concentrating development in this portion of the site would allow treatment of impervious surface runoff with highly-effective BMPs. This layout would allow development of the site with far less stormwater impact to Aspen Trail Lake and make it possible to preserve the most important wildlife habitat on the tract. The 24.5-acre tract is located in the Curlew Creek watershed. The Florida Department of Environmental Protection has determined that Curlew Creek suffers from diminished dissolved oxygen levels due to excessive nutrient inputs.4 Concentrating development on the best soils on the tract would not only protect Aspen Trail Lake but Curlew Creek as well from increased nutrient inputs. In summary, concentrating development in the northeast portion of the 24.5-acre tract would allow treatment of stormwater runoff with the most effective BMPs. Rezoning the remainder of the tract Preservation would safeguard existing habitat and open the door to creating more high-quality wildlife habitat. The net result would be improvements to this wildlife Hot Spot and a reduction in pollutant loads to Aspen Trail Lake and Curlew Creek. Of course this is but one of several possible scenarios for accommodating a reasonable degree of development on the site while preserving the environmental resources essential to maintaining the high quality of life enjoyed by Trails at Countryside Association members and other City of Clearwater residents. The Association is anxious to work with the City and Mr. Roddey to find a mutually beneficial solution. Association representatives would deeply appreciate an opportunity to meet with you to explore how the interests of all parties can be met. Sincerely, Richard D. Klein cc: Mr. Paul Keleti, Trails of Countryside Homeowners Association Mr. Benjamin Roddey, III 4 Dissolved Oxygen and Nutrient TMDL for Curlew Creek Tidal Segment, WBID 1538, available online at: https://floridadep.gov/sites/default/files/curlew-tidal1538-donutr-tmdl.pdf Cover Memo City of Clearwater City Hall 112 S. Osceola Avenue Clearwater, FL 33756 File Number: ATA2018-03001 Agenda Date: 4/16/2018 Status: Agenda ReadyVersion: 1 File Type: Planning CaseIn Control: Planning & Development Agenda Number: 6.4 SUBJECT/RECOMMENDATION: 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 1500 Country Lane West and 1505 Country Lane East and pass Ordinances 9134-18, 9135-18 and 9136-18 on first reading. (ATA2018-03001) SUMMARY: The City is bringing these properties into its jurisdiction in compliance with the Agreements to Annex (ATAs) signed by Ager Construction Corporation in August 1977 and by Emanuel Boutzoukas in May 1985. These voluntary annexation petitions involve 0.801 acres consisting of two parcels of land occupied by single family homes. The parcels are located on the south side of Country Lane West and Country Lane East, approximately 525 feet south of SR 590 and ½ mile east of US Highway 19 North. The properties are located within an enclave and are contiguous to existing city limits along at least one boundary. 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 sanitary sewer service from the City and receive water service from Pinellas County. Solid waste service will be provided to the properties by the City. The properties are located within Police District III and service will be administered through the district headquarters located at 2851 N. McMullen Booth Road. Fire and emergency medical services will be provided to these properties by Station 48 located at 1700 North Belcher Road. The City has adequate capacity to serve these properties 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 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. Objective A.7.2 Diversify and expand the City ’s tax base through the annexation Page 1 City of Clearwater Printed on 4/16/2018 File Number: ATA2018-03001 of a variety of land uses located within the Clearwater Planning Area. Policy A.7.1.3 Invoke agreements to annex where properties located within enclaves meet the contiguity requirements of Florida Statutes Chapter 171. ·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 Low Medium Density Residential (LMDR). 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 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 boundary; therefore, the annexation is consistent with Florida Statutes Chapter 171.044. APPROPRIATION CODE AND AMOUNT: N/A USE OF RESERVE FUNDS: N/A Page 2 City of Clearwater Printed on 4/16/2018 Ordinance No. 9134-18 ORDINANCE NO. 9134-18 AN ORDINANCE OF THE CITY OF CLEARWATER, FLORIDA, ANNEXING CERTAIN REAL PROPERTIES LOCATED ON THE SOUTH SIDE OF COUNTRY LANE WEST AND COUNTRY LANE EAST, APPROXIMATELY 525 FEET SOUTH OF SR 590 AND ½ MILE EAST OF US HIGHWAY 19 NORTH, WHOSE POST OFFICE ADDRESSES ARE 1500 COUNTRY LANE WEST AND 1505 COUNTRY LANE EAST, ALL IN CLEARWATER, FLORIDA 33759, INTO THE CORPORATE LIMITS OF THE CITY, AND REDEFINING THE BOUNDARY LINES OF THE CITY TO INCLUDE SAID ADDITIONS; PROVIDING AN EFFECTIVE DATE. WHEREAS, the owners of the real properties described herein and depicted on the map attached hereto as Exhibit B have petitioned the City of Clearwater to annex the property into the City pursuant to Section 171.044, Florida Statutes, and the City has complied with all applicable requirements of Florida law in connection with this ordinance; now, therefore, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CLEARWATER, FLORIDA: Section 1. The following-described properties are hereby annexed into the City of Clearwater and the boundary lines of the City are redefined accordingly: See attached Exhibit A for Legal Descriptions; (ATA2018-03001) The map attached as Exhibit B is hereby incorporated by reference. Section 2. The provisions of this ordinance are found and determined to be consistent with the City of Clearwater Comprehensive Plan. The City Council hereby accepts the dedication of all easements, parks, rights-of-way and other dedications to the public, which have heretofore been made by plat, deed or user within the annexed property. The City Engineer, the City Clerk and the Planning and Development Director are directed to include and show the property described herein upon the official maps and records of the City. Section 3. This ordinance shall take effect immediately upon adoption. The City Clerk shall file certified copies of this ordinance, including the map attached hereto, with the Clerk of the Circuit Court and with the County Administrator of Pinellas County, Florida, within 7 days after adoption, and shall file a certified copy with the Florida Department of State within 30 days after adoption. Ordinance No. 9134-18 PASSED ON FIRST READING PASSED ON SECOND AND FINAL READING AND ADOPTED George N. Cretekos Mayor Approved as to form: Pamela K. Akin City Attorney Attest: Rosemarie Call City Clerk Exhibit A LEGAL DESCRIPTIONS ATA2018‐03001 ========================================================================================= 1500 Country Lane West – 08-29-16-18630-000-0110 Lot 11, Country Lane, and together with but without warrantees and it is not insured herender, that part of vacated lake described as from southwest corner Lot 11 run east 85 feet, thence south 70 degrees west 16.16 feet, thence south 9 degrees west 180.09 feet to center of lake, then north 19 degrees west 169.02 feet, thence north 32 degrees east 28.56 feet to point of beginning, according to plat thereof, as recorded in Plat Book 43, Page 65, of the Public Records of Pinellas County, Florida. 1505 Country Lane East – 09-29-16-18630-000-0090 Lot 9, COUNTRY LANE, according to the plat thereof, as recorded in Plat Book 43, Pages 65, of the Public Records of Pinellas County, Florida, together with a parcel of land in the NE ¼ of Section 8, Township 29, South, Range 16 East, Pinellas County Florida, being a portion of a tract of land designated at “Lake Patricia”, according to the Plat of Virginia Groves Estates as recorded in Plat Book 36, Pages 68 and 69, Public Records of Pinellas County, Florida, being further described as follows: Begin at a point of the South boundary of Lot 9, COUNTRY LANE, as recorded in Plat Book 43, Page 65, Public Records of Pinellas County, Florida, being also the Northeast corner of the aforesaid “Lake Patricia”, thence S 50°22’47” W., 285.1 feet to the center of said “Lake Patricia”, thence N 31°14’41” E., 191.97 feet; thence N 47°23’03” E., 27.24 feet to the Southwest corner of Lot 9; thence S 89°33’56” E., along the South boundary of Lot 9, a distance of 100.00 feet to the Point of Beginning. Exhibit B LAKE LAKE PATRICIA605050 50 50 60 60 503060 606060301863084960 4 4 1 2 3 4 5 6 7 8 9101112 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 23 4 5 6 7 8 9 10 11 14151617 29 30 31 32 33 34 35 36 37 38 39 8 9 11 12 1314 15 16 17 2A3A 5A 6A 7A 8A 10A 11A (27) SR 590 CALAMONDIN LN COUNTRY LN ECOUNTRY LN WSPRING LAKE DR 1081 1 4 10410610511011610 71 0 9 1122771 1611 286128051613 28311555 285116412813 1516 1609 2 8 7 0 1612 2871 1600 1513 1612 1631 1604 16012785 285728501505 28411517 1600 15081501 16081608 28601605 1512 1512 28211509 1516 15041617 1604 1513 1521 1621 1505150115002772277127721509 1511 1605 1417 1605 1517 1601 1613 28411517 1421 16012777160927721611 -Not to Scale--Not a Survey-Rev. 3/5/2018 PROPOSED ANNEXATION Owner(s): Charles J. Thorpe Jacqueline C. Rowe Living Trust Case: ATA2018-03001 Site: 1500 Country Lane West 1505 Country Lane East Property Size(Acres): ROW (Acres): 0.801 Land Use Zoning PIN: 08-29-16-18630-000-0110 08-29-16-18630-000-0090 From : Residential Low (RL) R-3 Single Family Residential Atlas Page: 273B To: Residential Low (RL) Low Medium Density Residential (LMDR) Ordinance No. 9135-18 ORDINANCE NO. 9135-18 AN ORDINANCE OF THE CITY OF CLEARWATER, FLORIDA, AMENDING THE FUTURE LAND USE ELEMENT OF THE COMPREHENSIVE PLAN OF THE CITY, TO DESIGNATE THE LAND USE FOR CERTAIN REAL PROPERTIES LOCATED ON THE SOUTH SIDE OF COUNTRY LANE WEST AND COUNTRY LANE EAST, APPROXIMATELY 525 FEET SOUTH OF SR 590 AND ½ MILE EAST OF US HIGHWAY 19 NORTH, WHOSE POST OFFICE ADDRESSES ARE 1500 COUNTRY LANE WEST AND 1505 COUNTRY LANE EAST, ALL IN CLEARWATER, FLORIDA 33759, AS RESIDENTIAL LOW (RL), UPON ANNEXATION INTO THE CITY OF CLEARWATER; PROVIDING AN EFFECTIVE DATE. WHEREAS, the amendment to the Future Land Use Element of the Comprehensive Plan of the City as set forth in this ordinance is found to be reasonable, proper and appropriate, and is consistent with the City's comprehensive plan; now, therefore, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CLEARWATER, FLORIDA: Section 1. The Future Land Use Element of the Comprehensive Plan of the City of Clearwater is amended by designating the land use category for the hereinafter described properties, upon annexation into the City of Clearwater, as follows: Property Land Use Category See attached Exhibit A for Legal Descriptions; Residential Low (RL) (ATA2018-03001) The map attached as Exhibit B is hereby incorporated by referen ce. Section 2. The City Council does hereby certify that this ordinance is consistent with the City’s Comprehensive Plan. Section 3. This ordinance shall take effect immediately upon adoption, contingent upon and subject to the adoption of Ordinance No. 9134-18. Ordinance No. 9135-18 PASSED ON FIRST READING PASSED ON SECOND AND FINAL READING AND ADOPTED George N. Cretekos Mayor Approved as to form: Pamela K. Akin City Attorney Attest: Rosemarie Call City Clerk Exhibit A LEGAL DESCRIPTIONS ATA2018‐03001 ========================================================================================= 1500 Country Lane West – 08-29-16-18630-000-0110 Lot 11, Country Lane, and together with but without warrantees and it is not insured herender, that part of vacated lake described as from southwest corner Lot 11 run east 85 feet, thence south 70 degrees west 16.16 feet, thence south 9 degrees west 180.09 feet to center of lake, then north 19 degrees west 169.02 feet, thence north 32 degrees east 28.56 feet to point of beginning, according to plat thereof, as recorded in Plat Book 43, Page 65, of the Public Records of Pinellas County, Florida. 1505 Country Lane East – 09-29-16-18630-000-0090 Lot 9, COUNTRY LANE, according to the plat thereof, as recorded in Plat Book 43, Pages 65, of the Public Records of Pinellas County, Florida, together with a parcel of land in the NE ¼ of Section 8, Township 29, South, Range 16 East, Pinellas County Florida, being a portion of a tract of land designated at “Lake Patricia”, according to the Plat of Virginia Groves Estates as recorded in Plat Book 36, Pages 68 and 69, Public Records of Pinellas County, Florida, being further described as follows: Begin at a point of the South boundary of Lot 9, COUNTRY LANE, as recorded in Plat Book 43, Page 65, Public Records of Pinellas County, Florida, being also the Northeast corner of the aforesaid “Lake Patricia”, thence S 50°22’47” W., 285.1 feet to the center of said “Lake Patricia”, thence N 31°14’41” E., 191.97 feet; thence N 47°23’03” E., 27.24 feet to the Southwest corner of Lot 9; thence S 89°33’56” E., along the South boundary of Lot 9, a distance of 100.00 feet to the Point of Beginning. Exhibit B LAKE LAKE PATRICIA605050 50 50 60 60 503060 606060301863084960 4 4 1 2 3 4 5 6 7 8 9101112 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 23 4 5 6 7 8 9 10 11 1 1 14151617 29 30 31 32 33 34 35 36 37 38 39 8 9 10 111 12 1314 15 16 17 18 2A3A 5A 6A 7A 8A 10A 11A (27) RL RU RL RU WATER RL WATER RL RL RL RL SR 590 CALAMONDIN LN COUNTRY LN ECOUNTRY LN WSPRING LAKE DR 1081 1 4 104106105110116112 286128051613 28311555 285116412813 1516 1609 2 8 7 0 1612 2871 1600 1513 1612 1631 16042785 285728501505 28411517 1600 15081501 16081608 28601605 1512 1512 28211509 1516 15041617 1604 1513 1521 1621 11 10210 71 0 915051501150027722771277127721611 1509 1511 1605 1417 1605 1517 16011601 1613 28411517 1421 16012777160927721611 -Not to Scale--Not a Survey-Rev. 3/5/2018 FUTURE LAND USE MAP Owner(s): Charles J. Thorpe Jacqueline C. Rowe Living Trust Case: ATA2018-03001 Site: 1500 Country Lane West 1505 Country Lane East Property Size(Acres): ROW (Acres): 0.801 Land Use Zoning PIN: 08-29-16-18630-000-0110 08-29-16-18630-000-0090 From : Residential Low (RL) R-3 Single Family Residential Atlas Page: 273B To: Residential Low (RL) Low Medium Density Residential (LMDR) Ordinance No. 9136-18 ORDINANCE NO. 9136-18 AN ORDINANCE OF THE CITY OF CLEARWATER, FLORIDA, AMENDING THE ZONING ATLAS OF THE CITY BY ZONING CERTAIN REAL PROPERTIES LOCATED ON THE SOUTH SIDE OF COUNTRY LANE WEST AND COUNTRY LANE EAST, APPROXIMATELY 525 FEET SOUTH OF SR 590 AND ½ MILE EAST OF US HIGHWAY 19 NORTH, WHOSE POST OFFICE ADDRESSES ARE 1500 COUNTRY LANE WEST AND 1505 COUNTRY LANE EAST, ALL IN CLEARWATER, FLORIDA 33759, UPON ANNEXATION INTO THE CITY OF CLEARWATER, AS LOW MEDIUM DENSITY RESIDENTIAL (LMDR); PROVIDING AN EFFECTIVE DATE. WHEREAS, the assignment of a zoning classification as set forth in this ordinance is found to be reasonable, proper and appropriate, and is consistent with the City's Comprehensive Plan; now, therefore, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CLEARWATER, FLORIDA: Section 1. The following described properties located in Pinellas County, Florida, are hereby zoned as indicated upon annexation into the City of Clearwater, and the Zoning Atlas of the City is amended, as follows: The map attached as Exhibit B is hereby incorporated by reference. Section 2. The City Engineer is directed to revise the Zoning Atlas of the City in accordance with the foregoing amendment. Section 3. This ordinance shall take effect immediately upon adoption, contingent upon and subject to the adoption of Ordinance No. 9134-18. Property Zoning District See attached Exhibit A for Legal Descriptions; Low Medium Density Residential (LMDR) (ATA2018-03001) Ordinance No. 9136-18 PASSED ON FIRST READING PASSED ON SECOND AND FINAL READING AND ADOPTED George N. Cretekos Mayor Approved as to form: Pamela K. Akin City Attorney Attest: Rosemarie Call City Clerk Exhibit A LEGAL DESCRIPTIONS ATA2018‐03001 ========================================================================================= 1500 Country Lane West – 08-29-16-18630-000-0110 Lot 11, Country Lane, and together with but without warrantees and it is not insured herender, that part of vacated lake described as from southwest corner Lot 11 run east 85 feet, thence south 70 degrees west 16.16 feet, thence south 9 degrees west 180.09 feet to center of lake, then north 19 degrees west 169.02 feet, thence north 32 degrees east 28.56 feet to point of beginning, according to plat thereof, as recorded in Plat Book 43, Page 65, of the Public Records of Pinellas County, Florida. 1505 Country Lane East – 09-29-16-18630-000-0090 Lot 9, COUNTRY LANE, according to the plat thereof, as recorded in Plat Book 43, Pages 65, of the Public Records of Pinellas County, Florida, together with a parcel of land in the NE ¼ of Section 8, Township 29, South, Range 16 East, Pinellas County Florida, being a portion of a tract of land designated at “Lake Patricia”, according to the Plat of Virginia Groves Estates as recorded in Plat Book 36, Pages 68 and 69, Public Records of Pinellas County, Florida, being further described as follows: Begin at a point of the South boundary of Lot 9, COUNTRY LANE, as recorded in Plat Book 43, Page 65, Public Records of Pinellas County, Florida, being also the Northeast corner of the aforesaid “Lake Patricia”, thence S 50°22’47” W., 285.1 feet to the center of said “Lake Patricia”, thence N 31°14’41” E., 191.97 feet; thence N 47°23’03” E., 27.24 feet to the Southwest corner of Lot 9; thence S 89°33’56” E., along the South boundary of Lot 9, a distance of 100.00 feet to the Point of Beginning. Exhibit B LAKE LAKE PATRICIA605050 50 50 60 60 503060 606060301863084960 4 4 1 2 3 4 5 6 7 8 9101112 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 23 4 5 6 7 8 9 10 11 1 1 14151617 29 30 31 32 33 34 35 36 37 38 39 8 9 10 111 12 1314 15 16 17 18 2A3A 5A 6A 7A 8A 10A 11A (27) LMDR LMDR LMDR LMDRSR 590 CALAMONDIN LN COUNTRY LN ECOUNTRY LN WSPRING LAKE DR 1081 1 4 10410610511011610 71 0 9 112 286128051613 28311555 285116412813 1516 1609 2 8 7 0 1612 2871 1600 1513 1612 1631 1604 16012785 285728501505 28411517 1600 15081501 16081608 28601605 1512 1512 28211509 1516 15041617 1604 1513 1521 1621 11 10215051501150027722771277127721611 1509 1511 1605 1417 1605 1517 1601 1613 28411517 1421 16012777160927721611 -Not to Scale--Not a Survey-Rev. 3/7/2018 ZONING MAP Owner(s): Charles J. Thorpe Jacqueline C. Rowe Living Trust Case: ATA2018-03001 Site: 1500 Country Lane West 1505 Country Lane East Property Size(Acres): ROW (Acres): 0.801 Land Use Zoning PIN: 08-29-16-18630-000-0110 08-29-16-18630-000-0090 From : Residential Low (RL) R-3 Single Family Residential Atlas Page: 273B To: Residential Low (RL) Low Medium Density Residential (LMDR) US-19 NSR 590 OWEN DR E US-19 FRONTAGE RDPARK TRAIL LN EDENWOOD ST FAIRWOOD AVE E VIRGINIA LN CALAMONDIN LN WEST VIRGINIA LN KUMQUAT DR NAVEL DR PINEAPPLE LN GRANTWOOD AVE EVANS DR LUCAS DR GROVE DR JADEWOOD AVE BEACHWOOD AVE THOMAS DR AUDREY DR HOLLYWOOD AVE AVOCADO DR ST. CROIX DR DOVEWOOD ST SHADDOCK DR CARDINAL DR EL TRINDAD DR ECOUNTRY LN ECOUNTRY LN WSPRING LAKE DR -Not to Scale--Not a Survey-^ Rev. 3/7/2018 ^ C.S.X.RAILROAD LOCATION MAP Owner(s): Charles J. Thorpe Jacqueline C. Rowe Living Trust Case: ATA2018-03001 Site: 1500 Country Lane West 1505 Country Lane East Property Size(Acres): ROW (Acres): 0.801 Land Use Zoning PIN: 08-29-16-18630-000-0110 08-29-16-18630-000-0090 From : Residential Low (RL) R-3 Single Family Residential Atlas Page: 273B To: Residential Low (RL) Low Medium Density Residential (LMDR) SR 590 SR 590 CALAMONDIN LN CALAMONDIN LN COUNTRY LN ECOUNTRY LN ECOUNTRY LN WCOUNTRY LN WSPRING LAKE DR SPRING LAKE DR L A K E CIR L A K E CIR -Not to Scale--Not a Survey-Rev. 3/5/2018 AERIAL PHOTOGRAPH Owner(s): Charles J. Thorpe Jacqueline C. Rowe Living Trust Case: ATA2018-03001 Site: 1500 Country Lane West 1505 Country Lane East Property Size(Acres): ROW (Acres): 0.801 Land Use Zoning PIN: 08-29-16-18630-000-0110 08-29-16-18630-000-0090 From : Residential Low (RL) R-3 Single Family Residential Atlas Page: 273B To: Residential Low (RL) Low Medium Density Residential (LMDR) LAKE LAKE PATRICIA605050 50 50 60 60 503060 606060301863084960 4 4 1 2 3 4 5 6 7 8 9101112 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 23 4 5 6 7 8 9 10 11 14151617 29 30 31 32 33 34 35 36 37 38 39 8 9 11 12 1314 15 16 17 2A3A 5A 6A 7A 8A 10A 11A (27) SR 590 CALAMONDIN LN COUNTRY LN ECOUNTRY LN WSPRING LAKE DR 1081 1 4 10410610511011610 71 0 9 1122771 1611 286128051613 28311555 285116412813 1516 1609 2 8 7 0 1612 2871 1600 1513 1612 1631 1604 16012785 285728501505 28411517 1600 15081501 16081608 28601605 1512 1512 28211509 1516 15041617 1604 1513 1521 1621 1505150115002772277127721509 1511 1605 1417 1605 1517 1601 1613 28411517 1421 16012777160927721611 -Not to Scale--Not a Survey-Rev. 3/5/2018 EXISTING SURROUNDING USES MAP Owner(s): Charles J. Thorpe Jacqueline C. Rowe Living Trust Case: ATA2018-03001 Site: 1500 Country Lane West 1505 Country Lane East Property Size(Acres): ROW (Acres): 0.801 Land Use Zoning PIN: 08-29-16-18630-000-0110 08-29-16-18630-000-0090 From : Residential Low (RL) R-3 Single Family Residential Atlas Page: 273B To: Residential Low (RL) Low Medium Density Residential (LMDR) Single Family Residential Single Family Residential Single Family Residential Single Family Residential Single Family Residential View looking south at the subject property 1500 Country Lane West East of the subject property West of the subject property Across the street, to the north of the subject property ATA2018-03001 Charles J. Thorpe 1500 Country Lane West View looking easterly along Country Lane West View looking westerly along Country Lane West View looking south at the subject property 1505 Country Lane East East of the subject property West of the subject property Across the street, to the north of the subject property ATA2018-03001 Jacqueline C. Rowe Living Trust Peter Paul Nuspl Living Trust 1505 Country Lane East View looking easterly along Country Lane East View looking westerly along Country Lane East Cover Memo City of Clearwater City Hall 112 S. Osceola Avenue Clearwater, FL 33756 File Number: ANX2018-03004 Agenda Date: 4/16/2018 Status: Agenda ReadyVersion: 1 File Type: Planning CaseIn Control: Planning & Development Agenda Number: 6.5 SUBJECT/RECOMMENDATION: 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 1756 El Trinidad Drive East and pass Ordinances 9137-18, 9138-18 and 9139-18 on first reading. (ANX2018-03004) SUMMARY: This voluntary annexation petition involves 0.184 acres of property consisting of one parcel of land occupied by a single -family home. The parcel is located on the west side of El Trinidad Drive East approximately 890 feet north of SR 590. The applicant is requesting annexation in order to receive sanitary sewer and solid waste service from the City. The property is located within an enclave and is contiguous to existing city limits to the west, north and east. It is proposed that the property be assigned a Future Land Use Map designation of Residential Urban (RL) and be assigned 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 property currently receives water service from the County. Collection of solid waste will be provided to the property by the City. The closest sanitary sewer main is located in the El Trinidad Drive East right -of-way. The applicant is aware that the sewer impact and assessment fees must be paid in full prior to connection and of any additional costs to extend to the city sewer main. The property is located within Police District III and service will be administered through the district headquarters located at 2851 N. 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 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. Page 1 City of Clearwater Printed on 4/16/2018 File Number: ANX2018-03004 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 Countywide Plan designation for the property. This designation primarily permits residential uses at a density of 5 units per acre. The proposed zoning district to be assigned to all property is Low Medium Density Residential (LMDR). The use of the subject property is consistent with the uses allowed in the District and the property exceeds the District ’s minimum dimensional requirements. The proposed annexation is therefore consistent with the Countywide Plan and the City ’s Comprehensive Plan and Community Development Code; and ·The property proposed for annexation is contiguous to existing city limits along to the west, north and east; therefore, the annexation is consistent with Florida Statutes Chapter 171.044. APPROPRIATION CODE AND AMOUNT: N/A USE OF RESERVE FUNDS: N/A Page 2 City of Clearwater Printed on 4/16/2018 Ordinance No. 9137-18 ORDINANCE NO. 9137-18 AN ORDINANCE OF THE CITY OF CLEARWATER, FLORIDA, ANNEXING CERTAIN REAL PROPERTY LOCATED ON THE WEST SIDE OF EL TRINIDAD DRIVE EAST APPROXIMATELY 890 FEET NORTH OF SR 590, WHOSE POST OFFICE ADDRESS IS 1756 EL TRINIDAD DRIVE EAST, CLEARWATER, FLORIDA 33759, INTO THE CORPORATE LIMITS OF THE CITY, AND REDEFINING THE BOUNDARY LINES OF THE CITY TO INCLUDE SAID ADDITIONS; PROVIDING AN EFFECTIVE DATE. WHEREAS, the owner of the real property described herein and depicted on the map attached hereto as Exhibit A has petitioned the City of Clearwater to annex the property into the City pursuant to Section 171.044, Florida Statutes, and the City has complied with all applicable requirements of Florida law in connection with this ordinance; now, therefore, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CLEARWATER, FLORIDA: Section 1. The following-described property is hereby annexed into the City of Clearwater and the boundary lines of the City are redefined accordingly: Lot Thirteen (13), Block Two (2), Virginia Grove Terrace Subdivision, according to the map or plat thereof as recorded in Plat Book 37, Page 29, Public Records of Pinellas County, Florida; (ANX2018-03004) The map attached as Exhibit A is hereby incorporated by referen ce. Section 2. The provisions of this ordinance are found and determined to be consistent with the City of Clearwater Comprehensive Plan. The City Council hereby accepts the dedication of all easements, parks, rights-of-way and other dedications to the public, which have heretofore been made by plat, deed or user within the annexed property. The City Engineer, the City Clerk and the Planning and Development Director are directed to include and show the property described herein upon the official maps and records of the City. Section 3. This ordinance shall take effect immediately upon adoption. The City Clerk shall file certified copies of this ordinance, including the map attached hereto, with the Clerk of the Circuit Court and with the County Administrator of Pinellas County, Florida, within 7 days after adoption, and shall file a certified copy with the Florida Department of State within 30 days after adoption. Ordinance No. 9137-18 PASSED ON FIRST READING PASSED ON SECOND AND FINAL READING AND ADOPTED George N. Cretekos Mayor Approved as to form: Pamela K. Akin City Attorney Attest: Rosemarie Call City Clerk Exhibit A 6666 66 66 94338 943204 4 2 2 3 3 3 1 A 123456789 5 6 7 8 9 10 11 12 13 14 1516 17 18 19 20 21 22 23 24 25 26 5 6 7 8 9 10 11 12 13 14 1516 17 18 19 20 21 22 23 24 25 26 5 6 7 8 9 10 11 12 13 14 15 16 17 18 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 1 16 17 18 19 20 21 22 23 24 25 1 GROVE DR THOMAS DR ST. CROIX DR EL TRINDAD DR EN TERRACE DR 1735 1777 1717 17211721 17652752 17372758 1739 280617762773 1736 1716 1734 1745 27641771 1713 1748277017642751 1782 1751 1733 1747 1728 28121724 1728 1777 1740 1746 1795 28181737 17412746 1736 1725 1733 1717 1729 1758 1720 1740 1730 1740 1729 1734 176517492780 1722 1752 1759 1725 1750 1789 1713 1759 1721 17202740 1746 1745 28241725 1727 1729 173127591741 17711755 1726 1716 1717 1751 1732 1715 175527761772 1788 1753 1783 1770 28 16 1754 1764 40 44 172424 482747 1756 36 32 282420 754 1737 1749-Not to Scale--Not a Survey-Rev. 3/2/2018 PROPOSED ANNEXATION Owner(s): Betty Sloan Case: ANX2018-03004 Site: 1756 El Trinidad Drive E Property Size(Acres): ROW (Acres): 0.184 Land Use Zoning PIN: 05-29-16-94320-002-0130 From : Residential Low (RL) R-3 Single Family Residential Atlas Page: 264A To: Residential Low (RL) Low Medium Density Residential (LMDR) Ordinance No. 9138-18 ORDINANCE NO. 9138-18 AN ORDINANCE OF THE CITY OF CLEARWATER, FLORIDA, AMENDING THE FUTURE LAND USE ELEMENT OF THE COMPREHENSIVE PLAN OF THE CITY, TO DESIGNATE THE LAND USE FOR CERTAIN REAL PROPERTY LOCATED ON THE WEST SIDE OF EL TRINIDAD DRIVE EAST APPROXIMATELY 890 FEET NORTH OF SR 590, WHOSE POST OFFICE ADDRESS IS 1756 EL TRINIDAD DRIVE EAST, CLEARWATER, FLORIDA 33759, AS RESIDENTIAL LOW (RL), UPON ANNEXATION INTO THE CITY OF CLEARWATER; PROVIDING AN EFFECTIVE DATE. WHEREAS, the amendment to the Future Land Use Element of the Comprehensive Plan of the City as set forth in this ordinance is found to be reasonable, proper and appropriate, and is consistent with the City's comprehensive plan; now, therefore, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CLEARWATER, FLORIDA: Section 1. The Future Land Use Element of the Comprehensive Plan of the City of Clearwater is amended by designating the land use category for the hereinafter described property, upon annexation into the City of Clearwater, as follows: Property Land Use Category Lot Thirteen (13), Block Two (2), Virginia Grove Terrace Subdivision, according to the map or plat thereof as recorded in Plat Book 37, Page 29, Public Records of Pinellas County, Florida; Residential Low (RL) (ANX2018-03004) The map attached as Exhibits A is hereby incorporated by reference. Section 2. The City Council does hereby certify that this ordinance is consistent with the City’s Comprehensive Plan. Section 3. This ordinance shall take effect immediately upon adoption, contingent upon and subject to the adoption of Ordinance No. 9137-18. Ordinance No. 9138-18 PASSED ON FIRST READING PASSED ON SECOND AND FINAL READING AND ADOPTED George N. Cretekos Mayor Approved as to form: Pamela K. Akin City Attorney Attest: Rosemarie Call City Clerk Exhibit A 6666 66 66 94338 943204 4 2 2 3 3 3 1 A 123456789 5 6 7 8 9 10 11 12 13 14 1516 17 18 19 20 21 22 23 24 25 26 5 6 7 8 9 10 11 12 13 14 1516 17 18 19 20 21 22 23 24 25 26 5 6 7 8 9 10 11 12 13 14 15 16 17 18 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 1 16 17 18 19 20 21 22 23 24 25 1 RL RL RL RL RU RU RU RU RL PPP GROVE DR THOMAS DR ST. CROIX DR EL TRINDAD DR EN TERRACE DR 1735 1777 1717 17211721 176527522758 1739 280617762773 1736 1716 1734 1745 27641771 1713 1748277017642751 1782 1751 1733 1747 1728 28121724 1728 1777 1740 1746 1795 28181737 17412746 1736 1725 1733 1717 1729 1758 1720 1730 1740 1729 1734 176517492780 1722 1752 1759 1725 1750 1713 1759 1721 1720 1746 28241725 1727 1729 173127591741 17711755 1726 1716 1717 1751 1732 1715 175527761772 1788 1753 1783 1770 1737 28 16 1754 1764 40 44 172424 48 174027471756 36 32 1789 282427401745 20 754 1737 1749-Not to Scale--Not a Survey-Rev. 3/2/2018 FUTURE LAND USE MAP Owner(s): Betty Sloan Case: ANX2018-03004 Site: 1756 El Trinidad Drive E Property Size(Acres): ROW (Acres): 0.184 Land Use Zoning PIN: 05-29-16-94320-002-0130 From : Residential Low (RL) R-3 Single Family Residential Atlas Page: 264A To: Residential Low (RL) Low Medium Density Residential (LMDR) Ordinance No. 9139-18 ORDINANCE NO. 9139-18 AN ORDINANCE OF THE CITY OF CLEARWATER, FLORIDA, AMENDING THE ZONING ATLAS OF THE CITY BY ZONING CERTAIN REAL PROPERTY LOCATED ON THE WEST SIDE OF EL TRINIDAD DRIVE EAST APPROXIMATELY 890 FEET NORTH OF SR 590, WHOSE POST OFFICE ADDRESS IS 1756 EL TRINIDAD DRIVE EAST, CLEARWATER, FLORIDA 33759, UPON ANNEXATION INTO THE CITY OF CLEARWATER, AS LOW MEDIUM DENSITY RESIDENTIAL (LMDR); PROVIDING AN EFFECTIVE DATE. WHEREAS, the assignment of a zoning classification as set forth in this ordinance is found to be reasonable, proper and appropriate, and is consistent with the City's Comprehensive Plan; now, therefore, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CLEARWATER, FLORIDA: Section 1. The following described property located in Pinellas County, Florida, is hereby zoned as indicated upon annexation into the City of Clearwater, and the Zoning Atlas of the City is amended, as follows: The map attached as Exhibit A is hereby incorporated by reference. Section 2. The City Engineer is directed to revise the Zoning Atlas of the City in accordance with the foregoing amendment. Section 3. This ordinance shall take effect immediately upon adoption, contingent upon and subject to the adoption of Ordinance No. 9137-18. Property Zoning District Lot Thirteen (13), Block Two (2), Virginia Grove Terrace Subdivision, according to the map or plat thereof as recorded in Plat Book 37, Page 29, Public Records of Pinellas County, Florida; Low Medium Density Residential (LMDR) (ANX2018-03004) Ordinance No. 9139-18 PASSED ON FIRST READING PASSED ON SECOND AND FINAL READING AND ADOPTED George N. Cretekos Mayor Approved as to form: Pamela K. Akin City Attorney Attest: Rosemarie Call City Clerk Exhibit A 6666 66 66 94338 943204 4 2 2 3 3 3 1 A 123456789 5 6 7 8 9 10 11 12 13 14 1516 17 18 19 20 21 22 23 24 25 26 5 6 7 8 9 10 11 12 13 14 1516 17 18 19 20 21 22 23 24 25 26 5 6 7 8 9 10 11 12 13 14 15 16 17 18 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 1 16 17 18 19 20 21 22 23 24 25 1 GROVE DR THOMAS DR ST. CROIX DR EL TRINDAD DR EN TERRACE DR LMDR 1735 1777 1717 17211721 17652752 17372758 1739 280617762773 1736 1716 1734 1745 27641771 1713 1748277017642751 1782 1751 1733 1747 1728 28121724 1728 1777 1740 1746 1795 28181737 17412746 1736 1725 1733 1717 1729 1758 1720 1740 1730 1740 1729 1734 176517492780 1722 1752 1759 1725 1750 1789 1713 1759 1721 17202740 1746 1745 28241725 1727 1729 173127591741 17711755 1726 1716 1717 1751 1732 1715 175527761772 1788 1753 1783 1770 28 16 1754 1764 40 44 172424 482747 1756 36 32 282420 754 1737 1749-Not to Scale--Not a Survey-Rev. 3/2/2018 ZONING MAP Owner(s): Betty Sloan Case: ANX2018-03004 Site: 1756 El Trinidad Drive E Property Size(Acres): ROW (Acres): 0.184 Land Use Zoning PIN: 05-29-16-94320-002-0130 From : Residential Low (RL) R-3 Single Family Residential Atlas Page: 264A To: Residential Low (RL) Low Medium Density Residential (LMDR) US-19 NSR 590 SOUTH DR SUNSET POINT RD E US-19 FRONTAGE RDOWEN DR EVANS DR MORNINGSIDE DR WOODRING DR LUCAS DR DIANE DR GROVE DR AUDREY DR THOMAS DR ST. CROIX DR N TERRACE DR CARDINAL DR EL TRINDAD DR ECARLTON DR SKYLAND DR MARILYN DR ST. ANTHONY DR DIANE TER N TERRACE DR COACHMAN PLAZA DR HARBOR CIR AUDREY DR OWEN DR CARDINAL DR -Not to Scale--Not a Survey-^ PROJECT SITE Rev. 3/2/2018 LOCATION MAP Owner(s): Betty Sloan Case: ANX2018-03004 Site: 1756 El Trinidad Drive E Property Size(Acres): ROW (Acres): 0.184 Land Use Zoning PIN: 05-29-16-94320-002-0130 From : Residential Low (RL) R-3 Single Family Residential Atlas Page: 264A To: Residential Low (RL) Low Medium Density Residential (LMDR) GROVE DR GROVE DR THOMAS DR THOMAS DR ST. CROIX DR ST. CROIX DR EL TRINDAD DR EEL TRINDAD DR EN TERRACE DRN TERRACE DR -Not to Scale--Not a Survey-Rev. 3/2/2018 AERIAL PHOTOGRAPH Owner(s): Betty Sloan Case: ANX2018-03004 Site: 1756 El Trinidad Drive E Property Size(Acres): ROW (Acres): 0.184 Land Use Zoning PIN: 05-29-16-94320-002-0130 From : Residential Low (RL) R-3 Single Family Residential Atlas Page: 264A To: Residential Low (RL) Low Medium Density Residential (LMDR) 6666 66 66 94338 943204 4 2 2 3 3 3 1 A 123456789 5 6 7 8 9 10 11 12 13 14 1516 17 18 19 20 21 22 23 24 25 26 5 6 7 8 9 10 11 12 13 14 1516 17 18 19 20 21 22 23 24 25 26 5 6 7 8 9 10 11 12 13 14 15 16 17 18 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 1 16 17 18 19 20 21 22 23 24 25 1 GROVE DR THOMAS DR ST. CROIX DR EL TRINDAD DR EN TERRACE DR 1735 1777 1717 17211721 17652752 17372758 1739 280617762773 1736 1716 1734 1745 27641771 1713 1748277017642751 1782 1751 1733 1747 1728 28121724 1728 1777 1740 1746 1795 28181737 17412746 1736 1725 1733 1717 1729 1758 1720 1740 1730 1740 1729 1734 176517492780 1722 1752 1759 1725 1750 1789 1713 1759 1721 17202740 1746 1745 28241725 1727 1729 173127591741 17711755 1726 1716 1717 1751 1732 1715 175527761772 1788 1753 1783 1770 28 16 1754 1764 40 44 172424 482747 1756 36 32 282420 754 1737 1749-Not to Scale--Not a Survey-Rev. 3/2/2018 EXISTING SURROUNDING USES MAP Owner(s): Betty Sloan Case: ANX2018-03004 Site: 1756 El Trinidad Drive E Property Size(Acres): ROW (Acres): 0.184 Land Use Zoning PIN: 05-29-16-94320-002-0130 From : Residential Low (RL) R-3 Single Family Residential Atlas Page: 264A To: Residential Low (RL) Low Medium Density Residential (LMDR) Single Family Residential Single Family Residential Single Family Residential View looking west at the subject property 1756 El Trinidad Drive E North of the subject property South of the subject property Across the street, to the east of the subject property ANX2018-03004 Betty Sloan 1756 El Trinidad Drive E View looking northerly along El Trinidad Drive E View looking southerly along El Trinidad Drive E Cover Memo City of Clearwater City Hall 112 S. Osceola Avenue Clearwater, FL 33756 File Number: ANX2018-01003 Agenda Date: 4/16/2018 Status: Agenda ReadyVersion: 1 File Type: Planning CaseIn Control: Planning & Development Agenda Number: 6.6 SUBJECT/RECOMMENDATION: 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 3018 Glen Oak Avenue North and 3047 Hoyt Avenue and pass Ordinances 9140-18, 9141-18, and 9142-18 on first reading. (ANX2018-01003) SUMMARY: These voluntary annexation petitions involve 0.385 acres consisting of two parcels of land occupied by single-family dwellings. The properties are located generally north of Drew Street, south of SR 590 and within ¼ mile west of North McMullen Booth Road. The applicants are requesting annexation in order to be connected to the city sanitary sewer as part of the Kapok Terrace Sanitary Sewer System Extension Project. The properties are located within an enclave and are contiguous to existing city boundaries on at least one side. 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 Community Development Code Section 4-604.E as follows: ·The properties currently receive water service from the City of Clearwater. 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. Collection of solid waste will be provided by the City of Clearwater. The properties are located within Police District III and service will be administered through the district headquarters located at 2851 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 the properties 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 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. 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 Page 1 City of Clearwater Printed on 4/16/2018 File Number: ANX2018-01003 residential properties upon request. ·The proposed Residential Low (RL) Future Land Use Map category is consistent with the current Countywide Plan designation of the properties. The Residential Low (RL) 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 exceed 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 boundaries on at least one boundary; therefore, the annexation is consistent with Florida Statutes Chapter 171.044. APPROPRIATION CODE AND AMOUNT: N/A USE OF RESERVE FUNDS: N/A Page 2 City of Clearwater Printed on 4/16/2018 Ordinance No. 9140-18 ORDINANCE NO. 9104-18 AN ORDINANCE OF THE CITY OF CLEARWATER, FLORIDA, ANNEXING CERTAIN REAL PROPERTIES LOCATED GENERALLY NORTH OF DREW STREET, SOUTH OF SR 590 AND WITHIN 1/4 MILE WEST OF NORTH MCMULLEN BOOTH ROAD, WHOSE POST OFFICE ADDRESSES ARE 3018 GLEN OAK AVENUE NORTH AND 3047 HOYT AVENUE, ALL WITHIN CLEARWATER, FLORIDA 33759 INTO THE CORPORATE LIMITS OF THE CITY, AND REDEFINING THE BOUNDARY LINES OF THE CITY TO INCLUDE SAID ADDITIONS; PROVIDING AN EFFECTIVE DATE. WHEREAS, the owners of the real properties described herein and depicted on the map attached hereto as Exhibit B have petitioned the City of Clearwater to annex the property into the City pursuant to Section 171.044, Florida Statutes, and the City has complied with all applicable requirements of Florida law in connection with this ordinance; now, therefore, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CLEARWATER, FLORIDA: Section 1. The following-described properties are hereby annexed into the City of Clearwater and the boundary lines of the City are redefined accordingly: See attached Exhibit A for Legal Descriptions (ANX2018-01003) The map attached as Exhibit B is hereby incorporated by reference. Section 2. The provisions of this ordinance are found and determined to be consistent with the City of Clearwater Comprehensive Plan. The City Council hereby accepts the dedication of all easements, parks, rights-of-way and other dedications to the public, which have heretofore been made by plat, deed or user within the annexed property. The City Engineer, the City Clerk and the Planning and Development Director are directed to include and show the property described herein upon the official maps and records of the City. Section 3. This ordinance shall take effect immediately upon adoption. The City Clerk shall file certified copies of this ordinance, including the map attached hereto, with the Clerk of the Circuit Court and with the County Administrator of Pinellas County, Florida, within 7 days after adoption, and shall file a certified copy with the Florida Department of State within 30 days after adoption. Ordinance No. 9140-18 PASSED ON FIRST READING PASSED ON SECOND AND FINAL READING AND ADOPTED George N. Cretekos Mayor Approved as to form: Pamela K. Akin City Attorney Attest: Rosemarie Call City Clerk Exhibit A Legal Descriptions for ANX2018-01003 Legal Description Address Parcel Number Lot 22, Block C, KAPOK TERRACE, according to the map or plat thereof, recorded in Plat Book 36, pages 14 and 15, of the Public Records of Pinellas County, Florida. 3018 Glen Oak Avenue North 09‐29‐16‐45126‐003‐0220 Lot 7, Block J, KAPOK TERRACE, 1ST ADDITION, according to the Plat thereof as recorded in Plat Book 49, Page 48, Public Records of Pinellas County, Florida. 3047 Hoyt Avenue 09‐29‐16‐45144‐010‐0070 Exhibit B 50 41/01 1.2 184293038 SEE PLAT FOR DIMENSIONS* LAKE LOUISE LAKE LOUISE LAKE CAROL60 60606060606060 60 60 30 207.5 190.5 190.5 207.5 207.5 60 60 60 6060202 198 20060 6060606088245 45144 82890 45126 C E F C D G B AH O J I 234 5 6 7 8 9 10 11 1213141516171819202122232425 1 2 3 456 (7) 1234567 8 9 10 11 12 13 14 123456 7 8 9 10 11 1 2 3 4 5 6 7 8 9101112 13 2345 67 8910 11 12 13 14 15 16 17 18 23456789 10 11 12 13 14 15 16 17 23456789 10 11 12 13 14 15 16 17 234567891 1 2 11 1 3 3 (14) 1 2 3 4 5 6 7 8 9 10 11 12 32/01 33/02 1.4 1.4 33/01 1.57 A C(C) A C(C) A C(C) A C(C)MOSS AVE BAYVIEW AVE MERRILL AVE HOYT AVE N McMULLEN BOOTH RD GRAND VIEW AVE LAKE VISTA DR GLEN OAK AVE N TERRACE VIEW LN GLEN OAK AVE E932 920 914 906 904 8 0 6 901 8 0 0 808 7 1 2 800 601 911 923 918 602 9 0 6 917 8 0 1 7 0 8 809 801 815 701 511 924 907 900 91 1 807 510 600 30693064303530013058301930103061303430033059299830303065305330413013304230803036305930123047304030123064307630253001302130243071307230503036304730003060301930533041304730713006307130003031301330553035304130063065305930493077302930073035304130583041302330413070304830523024305830203006307730813018300030403046304730243063303030763052307030403064304630753057307630253074305330653070302630443035305230073077300630403031302529503012304630343030916 912 910 908 50 915 60 70 3012304030473046305331003018-Not to Scale--Not a Survey-Rev. 3/22/2018 PROPOSED ANNEXATION Owner(s): Lauren & Jonathan Schaeffer Willian S. Nye Case: ANX2018-01003 Site: 3047 Hoyt Avenue 3018 Glen Oak Ave N. Property Size(Acres): ROW (Acres): 0.385 Land Use Zoning PIN: 09-29-16-45144-010-0070 09-29-16-45126-003-0220 From : Residential Low (RL) R-3, Single Family Residential R-4 One, Two, Three Family Residential Atlas Page: 283A To: Residential Low (RL) Low Medium Density Residential (LMDR) Ordinance No. 9141-18 ORDINANCE NO. 9141-18 AN ORDINANCE OF THE CITY OF CLEARWATER, FLORIDA, AMENDING THE FUTURE LAND USE ELEMENT OF THE COMPREHENSIVE PLAN OF THE CITY, TO DESIGNATE THE LAND USE FOR CERTAIN REAL PROPERTIES LOCATED GENERALLY NORTH OF DREW STREET, SOUTH OF SR 590 AND WITHIN 1/4 MILE WEST OF NORTH MCMULLEN BOOTH ROAD, WHOSE POST OFFICE ADDRESSES ARE 3018 GLEN OAK AVENUE NORTH AND 3047 HOYT AVENUE, ALL WITHIN CLEARWATER, FLORIDA 33759, UPON ANNEXATION INTO THE CITY OF CLEARWATER, AS RESIDENTIAL LOW (RL); PROVIDING AN EFFECTIVE DATE. WHEREAS, the amendment to the Future Land Use Element of the Comprehensive Plan of the City as set forth in this ordinance is found to be reasonable, proper and appropriate, and is consistent with the City's Comprehensive Plan; now, therefore, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CLEARWATER, FLORIDA: Section 1. The Future Land Use Element of the Comprehensive Plan of the City of Clearwater is amended by designating the land use category for the hereinafter described properties, upon annexation into the City of Clearwater, as follows: Property Land Use Category See attached Exhibit A for Legal Descriptions Residential Low (RL) (ANX2018-01003) The map attached as Exhibit B is hereby incorporated by reference. Section 2. The City Council does hereby certify that this ordinance is consistent with the City’s Comprehensive Plan. Section 3. This ordinance shall take effect immediately upon adoption, contingent upon and subject to the adoption of Ordinance No. 9140-18. Ordinance No. 9141-18 PASSED ON FIRST READING PASSED ON SECOND AND FINAL READING AND ADOPTED George N. Cretekos Mayor Approved as to form: Pamela K. Akin City Attorney Attest: Rosemarie Call City Clerk Exhibit A Legal Descriptions for ANX2018-01003 Legal Description Address Parcel Number Lot 22, Block C, KAPOK TERRACE, according to the map or plat thereof, recorded in Plat Book 36, pages 14 and 15, of the Public Records of Pinellas County, Florida. 3018 Glen Oak Avenue North 09‐29‐16‐45126‐003‐0220 Lot 7, Block J, KAPOK TERRACE, 1ST ADDITION, according to the Plat thereof as recorded in Plat Book 49, Page 48, Public Records of Pinellas County, Florida. 3047 Hoyt Avenue 09‐29‐16‐45144‐010‐0070 Exhibit B 50 41/01 1.2 184293038 SEE PLAT FOR DIMENSIONS* LAKE LOUISE LAKE LOUISE LAKE CAROL60 60606060606060 60 60 30 207.5 190.5 190.5 207.5 207.5 60 60 60 6060202 198 20060 6060606088245 45144 82890 45126 C E F C D G B AH O J I 234 5 6 7 8 9 10 11 1213141516171819202122232425 1 2 3 456 (7) 1234567 8 9 10 11 12 13 14 123456 7 8 9 10 11 1 2 3 4 5 6 7 8 9101112 13 2345 67 8910 11 12 13 14 15 16 17 18 23456789 10 11 12 13 14 15 16 17 23456789 10 11 12 13 14 15 16 17 234567891 1 2 11 1 3 3 (14) 1 2 3 4 5 6 7 8 9 10 11 12 32/01 33/02 1.4 1.4 33/01 1.57 A C(C) A C(C) A C(C) A C(C) P R/OS RL RL RL RL RL RL RL R/OS CG R/OS RU RL RL RL RL P CG R/OS WATER RL WATER RH RU RU RU RU RL P RL RH MOSS AVE BAYVIEW AVE MERRILL AVE HOYT AVE N McMULLEN BOOTH RD GRAND VIEW AVE LAKE VISTA DR GLEN OAK AVE N TERRACE VIEW LN GLEN OAK AVE E932 914 906 904 8 0 6 901 8 0 0 808 7 1 2 800 601 911 918 602 9 0 6 8 0 1 7 0 8 809 801 815 701 511 924 907 900 91 1 807 510 600 30693064303530583019301030613034300330592998303030653053304130423080303630593012304730123064307630013021302430713072305030363047300030603019305330413047307130063071300030313013305530353041300630653077302930073035304130583041302330413070304830523024305830203006307730813018304030463047302430633030307630703040306430463075307630253074305330653070302630443035300730773006304030252950301230343030920 916 912 910 908 50 923 915 917 60 703001 301330123040302530593049304030003052305730473046305331003052303130183046-Not to Scale--Not a Survey-Rev. 3/22/2018 FUTURE LAND USE MAP Owner(s): Lauren & Jonathan Schaeffer Willian S. Nye Case: ANX2018-01003 Site: 3047 Hoyt Avenue 3018 Glen Oak Ave N. Property Size(Acres): ROW (Acres): 0.385 Land Use Zoning PIN: 09-29-16-45144-010-0070 09-29-16-45126-003-0220 From : Residential Low (RL) R-3, Single Family Residential R-4 One, Two, Three Family Residential Atlas Page: 283A To: Residential Low (RL) Low Medium Density Residential (LMDR) Ordinance No. 9142-18 ORDINANCE NO. 9142 -18 AN ORDINANCE OF THE CITY OF CLEARWATER, FLORIDA, AMENDING THE ZONING ATLAS OF THE CITY BY ZONING CERTAIN REAL PROPERTIES LOCATED GENERALLY NORTH OF DREW STREET, SOUTH OF SR 590 AND WITHIN 1/4 MILE WEST OF NORTH MCMULLEN BOOTH ROAD, WHOSE POST OFFICE ADDRESSES ARE 3018 GLEN OAK AVENUE NORTH AND 3047 HOYT AVENUE, ALL WITHIN CLEARWATER, FLORIDA 33759, UPON ANNEXATION INTO THE CITY OF CLEARWATER, AS LOW MEDIUM DENSITY RESIDENTIAL (LMDR); PROVIDING AN EFFECTIVE DATE. WHEREAS, the assignment of a zoning classification as set forth in this ordinance is found to be reasonable, proper and appropriate, and is consistent with the City's Comprehensive Plan; now, therefore, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CLEARWATER, FLORIDA: Section 1. The following described properties located in Pinellas County, Florida, are hereby zoned as indicated upon annexation into the City of Clearwater, and the Zoning Atlas of the City is amended, as follows: The map attached as Exhibit B is hereby incorporated by reference. Section 2. The City Engineer is directed to revise the Zoning Atlas of the City in accordance with the foregoing amendment. Section 3. This ordinance shall take effect immediately upon adoption, contingent upon and subject to the adoption of Ordinance No. 9140-18. Property Zoning District See attached Exhibit A for Legal Descriptions Low Medium Density Residential (LMDR) (ANX2018-01003) Ordinance No. 9142-18 PASSED ON FIRST READING PASSED ON SECOND AND FINAL READING AND ADOPTED George N. Cretekos Mayor Approved as to form: Pamela K. Akin City Attorney Attest: Rosemarie Call City Clerk Exhibit A Legal Descriptions for ANX2018-01003 Legal Description Address Parcel Number Lot 22, Block C, KAPOK TERRACE, according to the map or plat thereof, recorded in Plat Book 36, pages 14 and 15, of the Public Records of Pinellas County, Florida. 3018 Glen Oak Avenue North 09‐29‐16‐45126‐003‐0220 Lot 7, Block J, KAPOK TERRACE, 1ST ADDITION, according to the Plat thereof as recorded in Plat Book 49, Page 48, Public Records of Pinellas County, Florida. 3047 Hoyt Avenue 09‐29‐16‐45144‐010‐0070 Exhibit B MOSS AVE BAYVIEW AVE MERRILL AVE HOYT AVE N McMULLEN BOOTH RD GRAND VIEW AVE LAKE VISTA DR GLEN OAK AVE N TERRACE VIEW LN GLEN OAK AVE ELMDR C OS/R P OS/R 932 920 914 906 904 8 0 6 901 8 0 0 808 7 1 2 800 601 911 923 918 602 9 0 6 917 8 0 1 7 0 8 809 801 815 701 511 924 907 900 91 1 807 510 600 30693064303530013058301930103061303430033059299830303065305330413013304230803036305930123047304030123064307630253001302130243071307230503036304730003060301930533041304730713006307130003031301330553035304130063065305930493077302930073035304130583041302330413070304830523024305830203006307730813018300030403046304730243063303030763052307030403064304630753057307630253074305330653070302630443035305230073077300630403031302529503012304630343030LDR HDR 916 912 910 908 50 915 60 70 3012304030473046305331003018-Not to Scale--Not a Survey-Rev. 3/22/2018 ZONING MAP Owner(s): Lauren & Jonathan Schaeffer Willian S. Nye Case: ANX2018-01003 Site: 3047 Hoyt Avenue 3018 Glen Oak Ave N. Property Size(Acres): ROW (Acres): 0.385 Land Use Zoning PIN: 09-29-16-45144-010-0070 09-29-16-45126-003-0220 From : Residential Low (RL) R-3, Single Family Residential R-4 One, Two, Three Family Residential Atlas Page: 283A To: Residential Low (RL) Low Medium Density Residential (LMDR) DREW ST BAYVIEW AVE MOSS AVE N McMULLEN BOOTH RD MERRILL AVE HOYT AVE GRAND VIEW AVE LAKE VISTA DR GLEN OAK AVE N TE RR ACE VIEW LN BRIGADOON DR -Not to Scale--Not a Survey-^ Rev. 3/22/2018 ^ LOCATION MAP Owner(s): Lauren & Jonathan Schaeffer Willian S. Nye Case: ANX2018-01003 Site: 3047 Hoyt Avenue 3018 Glen Oak Ave N. Property Size(Acres): ROW (Acres): 0.385 Land Use Zoning PIN: 09-29-16-45144-010-0070 09-29-16-45126-003-0220 From : Residential Low (RL) R-3, Single Family Residential R-4 One, Two, Three Family Residential Atlas Page: 283A To: Residential Low (RL) Low Medium Density Residential (LMDR) MOSS AVE MOSS AVE BAYVIEW AVE BAYVIEW AVE MERRILL AVE MERRILL AVE HOYT AVE HOYT AVE N McMULLEN BOOTH RD N McMULLEN BOOTH RD GRAND VIEW AVE GRAND VIEW AVE LAKE VISTA DR LAKE VISTA DR GLEN OAK AVE NGLEN OAK AVE N TERRACE VIEW LN TERRACE VIEW LN GLEN OAK AVE EGLEN OAK AVE E-Not to Scale--Not a Survey-Rev. 3/22/2018 AERIAL PHOTOGRAPH Owner(s): Lauren & Jonathan Schaeffer Willian S. Nye Case: ANX2018-01003 Site: 3047 Hoyt Avenue 3018 Glen Oak Ave N. Property Size(Acres): ROW (Acres): 0.385 Land Use Zoning PIN: 09-29-16-45144-010-0070 09-29-16-45126-003-0220 From : Residential Low (RL) R-3, Single Family Residential R-4 One, Two, Three Family Residential Atlas Page: 283A To: Residential Low (RL) Low Medium Density Residential (LMDR) 50 41/01 1.2 184293038 SEE PLAT FOR DIMENSIONS* LAKE LOUISE LAKE LOUISE LAKE CAROL60 60606060606060 60 60 30 207.5 190.5 190.5 207.5 207.5 60 60 60 6060202 198 20060 6060606088245 45144 82890 45126 C E F C D G B AH O J I 234 5 6 7 8 9 10 11 1213141516171819202122232425 1 2 3 456 (7) 1234567 8 9 10 11 12 13 14 123456 7 8 9 10 11 1 2 3 4 5 6 7 8 9101112 13 2345 67 8910 11 12 13 14 15 16 17 18 23456789 10 11 12 13 14 15 16 17 23456789 10 11 12 13 14 15 16 17 234567891 1 2 11 1 3 3 (14) 1 2 3 4 5 6 7 8 9 10 11 12 32/01 33/02 1.4 1.4 33/01 1.57 A C(C) A C(C) A C(C) A C(C)MOSS AVE BAYVIEW AVE MERRILL AVE HOYT AVE N McMULLEN BOOTH RD GRAND VIEW AVE LAKE VISTA DR GLEN OAK AVE N TERRACE VIEW LN GLEN OAK AVE E932 920 914 906 904 8 0 6 901 8 0 0 808 7 1 2 800 601 911 923 918 602 9 0 6 917 8 0 1 7 0 8 809 801 815 701 511 924 907 900 91 1 807 510 600 30693064303530013058301930103061303430033059299830303065305330413013304230803036305930123047304030123064307630253001302130243071307230503036304730003060301930533041304730713006307130003031301330553035304130063065305930493077302930073035304130583041302330413070304830523024305830203006307730813018300030403046304730243063303030763052307030403064304630753057307630253074305330653070302630443035305230073077300630403031302529503012304630343030916 912 910 908 50 915 60 70 3012304030473046305331003018-Not to Scale--Not a Survey-Rev. 3/22/2018 EXISTING SURROUNDING USES MAP Owner(s): Lauren & Jonathan Schaeffer Willian S. Nye Case: ANX2018-01003 Site: 3047 Hoyt Avenue 3018 Glen Oak Ave N. Property Size(Acres): ROW (Acres): 0.385 Land Use Zoning PIN: 09-29-16-45144-010-0070 09-29-16-45126-003-0220 From : Residential Low (RL) R-3, Single Family Residential R-4 One, Two, Three Family Residential Atlas Page: 283A To: Residential Low (RL) Low Medium Density Residential (LMDR) Park Single Family Residential Single Family Residential Single Family Residential Single Family Residential Park View looking north at the subject property, 3018 Glen Oak Avenue North East of the subject property West of the subject property Across the street, to the south of the subject property ANX2018-01003 William S. Nye 3018 Glen Oak Avenue North View looking easterly along Glen Oak Avenue North View looking westerly along Glen Oak Avenue North View looking south at the subject property, 3047 Hoyt Avenue Across the street, to the north of the subject property West of the subject property East of the subject property ANX2018-01003 Lauren & Jonathan Schaeffer 3047 Hoyt Avenue View looking easterly along Hoyt Avenue View looking westerly along Hoyt Avenue Cover Memo City of Clearwater City Hall 112 S. Osceola Avenue Clearwater, FL 33756 File Number: ID#18-4474 Agenda Date: 4/16/2018 Status: Agenda ReadyVersion: 1 File Type: Action ItemIn Control: Planning & Development Agenda Number: 6.7 SUBJECT/RECOMMENDATION: Downtown (D) Zoning District and Development Standards Update. (WSO) SUMMARY: The Planning and Development Department is preparing a new Downtown (D) zoning district to ensure the vision for Downtown, reaffirmed in the 2018 update to the Clearwater Downtown Redevelopment Plan, is achieved. This vision, and the policies contained within, call for quality urban design, a high quality public realm, and a dense and livable pattern of development. The Department engaged HDR, who drafted the US 19 Zoning District and Development Standards, to assist in the preparation of certain aspects of the new regulations. The new district will be a form-based code which is defined by the Form -Based Codes Institute as “a land development regulation that fosters predictable built results and a high quality public realm by using physical form (rather than separation of uses) as the organizing principle for the code.” The proposed form-based code establishes design standards, which are based on the design guidelines established in the 2004 Downtown Redevelopment Plan, and streamlines the development review process. The proposed Downtown (D) District will establish minimum standard uses (those approved through a building permit) and will eliminate parking requirements for all uses except for residential and overnight accommodations. These changes will help facilitate changes of use without timely review processes. Based on experience from other communities, lack of minimum parking requirements will also not eliminate the supply of private parking in Downtown but will allow the developer to determine onsite parking needs based on market demands instead of regulatory controls. The Downtown zoning district will establish standards based on a property ’s location i.e. character district and street types. It will also have provisions related to site design and building design requirements that will apply regardless of location. The following outlines the organization of the new District and the areas of regulatory control within each. ·Character District Standards: Density and intensity of development, height, uses, parking, and approval process (building permit/flexible standard/flexible development) ·Street Types and Building Frontage Standards: Building location, location of parking, ground floor facade design, and front landscape and pedestrian improvements along street frontages ·Site Design Standards: Street grid and block pattern, pedestrian and vehicular circulation, general design of parking and service areas, landscaping, and other features that apply to all development projects ·Building Design Standards: Treatment of front facades, building entries, and other features related to the architectural design of all buildings in Downtown Page 1 City of Clearwater Printed on 4/16/2018 File Number: ID#18-4474 Staff is seeking feedback on the concepts presented above in order to finalize the Downtown District and Development Standards. APPROPRIATION CODE AND AMOUNT: N/A USE OF RESERVE FUNDS: N/A Page 2 City of Clearwater Printed on 4/16/2018 New Downtown Zoning District & Development St d dStandardsMonday April 16, 2018yp ,Planning & Development Department|1CITY OF CLEARWATER Code Implements Plan VisionD t Cl t ill bDowntown Clearwater will be:•Urban Core and Heart of the City •Center of Business and Government•Center of Business and Government •Attractive Place to Live, Work, Shop and PlayAnd will have:•Quality Urban Design•Quality Urban Design•High Quality Public Realm•Dense and Livable Pattern|2CITY OF CLEARWATER Form-Based Code“A fb d d i lti thtf t“A form-based code is a regulation that fosters predictable built results and high quality public realm by using physical form (rather thanrealm by using physical form (rather than separation of uses) as the organizing principle of the Code… A form-based code offers a powerful palternative to conventional zoning regulation.”-Form-Based Codes InstituteFormBased Codes Institute|3CITY OF CLEARWATER Key Elements of CodeSt li D l t R i P•Streamlines Development Review Process•Incorporates Design Standards Into Code•Eliminates Most Parking Requirements|4CITY OF CLEARWATER Code OrganizationCh t DititSt d dCharacter District Standards•Density and Intensity•Height•Uses•Parking•Approval Process|5CITY OF CLEARWATER Density|6CITY OF CLEARWATER Intensity|7CITY OF CLEARWATER Height|8CITY OF CLEARWATER Uses, Parking & Approval Process|9CITY OF CLEARWATER Code OrganizationB ildi F t T St d dBuilding Frontage Type Standards•Building Location•Ground Floor Façade Design•Location of Parking•Front Landscape •Pedestrian Improvements Along StreetsStreet Types•Regulates Where Building Frontage Types are Located|10CITY OF CLEARWATER |11CITY OF CLEARWATER Street and Building Frontage Types Regulating Plan|12CITY OF CLEARWATER Storefront 1 Building Frontage (Purple, Red & Pink Streets)•Areas of High Levels of Pedestrian Activity •Minimal Front Setbacks (03 ft)•Minimal Front Setbacks (0-3 ft) Extension of Streetscape•Front Entries to Individual Tenants•16 ft Ground Floor Height•Windows Required on 65% of F t B ildi F dFront Building Facade•Parking Behind Buildings|13CITY OF CLEARWATER Urban Residential 1 Building Frontage (Red & Pink Streets)•Areas of High Levels of Pedestrian Activity •Minimal Front Setbacks (35 ft)•Minimal Front Setbacks (3-5 ft) Stoops and Landscaping•Front Entries to Individual Ground Floor Units •Ground Floor Elevation Above Grade for PrivacyGrade for Privacy•Parking Behind Buildings|14CITY OF CLEARWATER Storefront 2 Building Frontage (Pink Streets)•Areas of Moderate Levels of Pedestrian Activity •Minimal Front Setbacks (03 ft)•Minimal Front Setbacks (0-3 ft) Extension of Streetscape•Front Entries to Individual Tenants•16 ft Ground Floor Height•Windows Required on 50% of F t B ildi F dFront Building Facade•Parking to Side and Behind BuildingsBuildings|15CITY OF CLEARWATER Cleveland Street Example (Purple Street)Cleveland StAveeMyrtle AMLK Jr. Av|16CITY OF CLEARWATER Myrtle Avenue Example (Red Street)Cleveland StAveMyrtle |17CITY OF CLEARWATERTurner St Drew Street Example (Pink Street)DStDrew Strrison AveMyrtle AveFt. HaLaura St|18CITY OF CLEARWATERM Workshop/Flex Building Frontage (Blue Streets)•Areas With Mix of Building Types•Larger Front Setbacks (5-10 ft) With Landscape Beds andWith Landscape Beds and Walkways to Entries•Front Entries to Individual Tenants or Common Lobbies•Thresholds May Be Above GradeWi d R i d 40% f•Windows Required on 40% of Front Building Facade•Parking to Side and BehindParking to Side and Behind Buildings|19CITY OF CLEARWATER Urban Residential 2 Building Frontage (Blue Streets)•Areas With Mix of Building Types•Larger Front Setbacks (5-15 ft) With Landscape Beds andWith Landscape Beds and Walkways to Entries•Front Entries to Individual Ground Floor Units (Stoops) or Common Entries•Residential Ground Floor Elevation•Residential Ground Floor Elevation Above Grade for Privacy•Parking Behind Buildingsgg|20CITY OF CLEARWATER Missouri Avenue Example (Blue Street)Cleveland StAveCleveland Stn AveLincoln Madisonsouri AveMiss|21CITY OF CLEARWATERCourt St Neighborhood Infill Building Frontage (Orange Streets)•Areas of Mix of Residential Types (ex. Single Family, Townhouse, Small Apartments/Condominiums)Small Apartments/Condominiums) •Larger Front Setbacks (5-15 ft) Modest Landscaping, Porches or SStoops•Front Entries to Ground Floor Units or Common Lobbiesor Common Lobbies•Ground Floor Elevation Above Grade for Privacy•Parking Behind Buildings|22CITY OF CLEARWATER Garden Avenue Example (Orange Street)Eldridge Strden AveGa|23CITY OF CLEARWATERDrew St Neighborhood Conservation Building Frontage (Yellow Streets)(Yellow Streets)•Areas of Single Family Residential and Duplexesand Duplexes•Large Front Setbacks (20 ft min.) For Front Yards•Accommodates Driveways for Parking|24CITY OF CLEARWATER Laura Street ExampleAveLaura Stand AveHillcrest ACleveland StHighl|25CITY OF CLEARWATER Site Design StandardsD l t P tt St t G id L t d•Development Pattern: Street Grid, Lots and BlocksAdCiltiCbCtPdti•Access and Circulation: Curb Cuts, Pedestrian Circulation, Connections to Trails•Parking and Service Areas Bike Parking•Parking and Service Areas, Bike Parking•Landscape, Fencing/WallsOS•Open Space|26CITY OF CLEARWATER Building Design StandardsAtt h d D lli T D l T h•Attached Dwelling Types: Duplex, Townhouse, Carriage House, etc. Ahit t lSt dd•Architectural Standards•Quality of MaterialsHi t i B ildi St d d•Historic Building Standards|27CITY OF CLEARWATER Next Steps Downtown ZoningCitDltBdUdtAil17•Community Development Board Update: April 17•Downtown Development Board: May 2•Community Development Board: June 19•City Council First Reading: July 19•City Council Second Reading: August 2•Effective Date: August 2|28CITY OF CLEARWATER Downtown Plan Chapter 4 UpdateThe Role of the CRAThe Role of the CRA•Remove Economic Barriers to Redevelopment•Communicate the Vision for the Redevelopment ofCommunicate the Vision for the Redevelopment of Downtown•Construct or Incentivize Improvements that Increase Property Values and Reduce Blight|29CITY OF CLEARWATER Th R l f th D t R d l t PlDowntown Plan Chapter 4 UpdateThe Role of the Downtown Redevelopment Plan•Identify Community Vision and Goals•List Programs and Projects that will Receive Funding•List Programs and Projects that will Receive Funding|30CITY OF CLEARWATER 1It d tiDowntown Plan Chapter 4 Update1.Introduction2. Implementation Partners3. Strategy and Capital Improvement Plan List by Character AreaElOldBDititSttiExample: Old Bay District StrategiesA. People GoalB Accessibility GoalB. Accessibility GoalC. Amenity GoalD. Urban Design Goalg|31CITY OF CLEARWATER 1 People GoalDowntown Plan Chapter 4 Update1. People Goal Downtown shall be a place that attracts residents, visitors, businesses and their employees and enables the development of community. The City shall encourage a vibrant and active public realm recreation and entertainmentencourage a vibrant and active public realm, recreation and entertainment opportunities, and support the community and neighborhoods. Objective 1G:jContinue to utilize a variety of incentives to encourage the construction of new residential uses to locate Downtown. Example: Construct regional stormwater retention pond to reduce the cost of site development. Lead Department – Engineering. Cost $500,000. Year 2020.Obj ti 1HObjective 1H:Maintain, activate and program parks, plazas and recreational areas. Example: Provide special events in Station Square Park on a monthly basis. LdD t tP k C t $20 000 Y O i|32CITY OF CLEARWATERLead Department –Parks. Cost $20,000. Year Ongoing. Il ttiDowntown Plan Chapter 4 UpdateImplementation •Government•BusinessQuestions?Questions?•Business•Non-Profits and Clearwater ResidentsFunding SourcesNew Downtown New Downtown Zoning District & Zoning District & Funding Sources•General Fund, State and Federal Transportation Grants, Private InvestmentggDevelopment Development Standards Standards •TIF Funds from the City and the County&&Implementation Plan Implementation Plan ppUpdateUpdate|33CITY OF CLEARWATER Table 1. Street Types and Frontage Standards DRAFT MEET TYPES f RON TAG TYPES GENFRAI CHARAfTTR FRONTSET RACK FRONTAGE DESIGN PARKING I OCATION 3 4 5 6 Ukiah Croon Street Types•» Traditional ' Main strew conditions with continuous storefronts. 3' max. Continuous storefronts along sidewalks with front building entries, canopies and awnings and high levels of storefront transparency. Rear yard and midblock parking. No parking along street frontages. Storefront 1 Urban Residential 1 Urban townhouse ant apartments with front stoops. 5` ma ), . Continuous townhouse and apartment frontage with front building entries. Rear yard and midbiock parking. No parking along street frontages. Storefront Traditions: " Main Street" conditions with a llowance for side yard parking. 3' ma <. Traditional storefront conditions with front building entries, canopies and awnings, and moderate levels of storefront transparency. Rear yard and midbaock parking. Limited side parking permitted. Uelose Go wens{ Street Types Workshop/ Flex Flexile frontages with modest setbacks, discontinuous frontage, moderate transparency, and front bui ding entries. 5' min. - 10' max. Flexible frontage conditions with front building entries and modest levels of facade transparency. Rear yard and midhloc k parking. Limited side parking permed. Urban Residential 2 Urban townhouse and apartments with modest landscaped setbacks. S' min. - 1S` max. Townhouse and apartment frontage with front entries to individua'. ground floor units or lobbies. Rear yard and midblock parking. No parking along street frontages. o. Fwosd streel Types Neighborhood InWN Single family houses, duplexes, townhouses and small apartments with modest landscaped setbacks. 5' min. - 5` ma:.. Single family, duplex, townhouse and apartment frontage with front entries to individual ground floor units or lobbies. Parking behind units accessed from side streets or shared drives. NeighborhoodConservation Single fami' ry houses and duplexes with traditional front yards. C' min. From entries to individua= units with front porches. Parking behind front facades accessed from private drrveways. DRAFT ROGERS REGULATING PLAN PALM BLUFFJURGENS METTO PALMETTO FRONTAGE TYPES Ulag pi wt r t, V° Traditional " Main Street" conditions 3 max. Continuous storefronts along sidewalks with front Rear yard and midblock parking. No parking along with continuous storefronts. building entries, canopies and awnings and high levels street frontages. of storefront transparency. GENERAL CHARACTER CITY OF CLEARWATER - DOWNTOWN DEVELOPMENT STANDARDS STREET TYPES FRONTSETBACK FRONTAGE DESIGN PARKING LOCATION 3 Storefront 1 5 6 t,. Urban Residential 1 Storefront 2 Urban townhouse and apartments with 5' max. front stoops. Traditional " Main Street" conditions 3' max. with allowance for side yard parking. Urban General Street Types Workshop/ Flex Urban Residential 2 Neighborhood Infill Neighborhood Conservation Flexible frontages with modest setbacks, discontinuous frontage, moderate transparency, and front building entries. 5' min. - 10' m Continuous townhouse and apartment frontage with front building entries. Rear yard and midblock parking. No parking along street frontages. Trad • nal storefront conditions with front building Rear yard and midblock parking. Limited side parking e• . nopies and awnings, and moderate levels of permitted. nt transparency. xible frontage conditions with front building entries odest levels of facade transparency. Rear yard and midblock parking. Limited side parking permitted. Urban townhouse and apartments w' min. - modest landscaped setbacks. 5' max. Single family houses, du townhouses and sm- modest landscaped s- Single family houses and traditional front yards. 5' min. - ents with 15' h n. Townh• . partment frontage with front entries to indivi• • • floor units or lobbies. Single family, duplex, nhouse and apartment frontage with front entries to individual ground floor units or lobbies. Front entries to individual units with front porches. BROWNELL ROGERS PL PINE 0 ROGERS LEMB RNER mSALLY Rear yard and midblock parking. No parking along street frontages. Parking behind units accessed from side streets or shared drives. Parking behind front facades accessed from private driveways. CRES PIERCE W ROC RS TURNERPINE DRUID Cover Memo City of Clearwater City Hall 112 S. Osceola Avenue Clearwater, FL 33756 File Number: ID#18-4475 Agenda Date: 4/16/2018 Status: Agenda ReadyVersion: 1 File Type: Action ItemIn Control: Customer Service Agenda Number: 7.1 SUBJECT/RECOMMENDATION: Approve an agreement with Intuition Systems, Inc., DBA Bill2Pay, of Clearwater, Fl in the amount of $150,480 for lock box services for the City of Clearwater, from May 1, 2018 through April 30, 2021, with the option of two two-year renewal terms and authorize the appropriate officials to execute same. (consent) SUMMARY: In December 2017, the City issued RFP 04-18 to solicit proposals for processing of mailed utility bill remittance payments, known as lock box services. The committee consisted of staff from Utility Customer Service, Finance, and IT. Based on the selection criteria contained from the four responses received Bill2Pay was selected as vendor of choice. Estimated costs are: ·$50,160 annually APPROPRIATION CODE AND AMOUNT: Funds in the amount of $19,400 for FY18 are available in cost code 0555-09884-530300-519-000-0000 (other contractual services). Funding for future years will be requested in the annual budget process. Page 1 City of Clearwater Printed on 4/16/2018 I„ Ilenw; vor r r ACORD,. CERTIFICATE OF LIABILITY INSURANCE DATE (MM /DDIY`fYY) 12/29/2017 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THISCERTIFICATEDOESNOTAFFIRMATIVELYORNEGATIVELYAMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER. IMPORTANT: If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must be endorsed. If SUBROGATION IS WAIVED, subject tothetermsandconditionsofthepolicy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). PRODUCER USI Insurance Services LLC Deerwood North Building 300 4601 Touchton Rd, Suite 3210 Jacksonville, FL 32246 CONTACT Staci RichterNAME: AJC,NN Ext): 904-450-4717 (A/C, No): 877 - 775 -0285 E-MAILES: staci.richter@usi.com INSURER(S) AFFORDING COVERAGE NAIL # INSURER A : Sentinel Insurance Company Ltd. 11000 INSURED Intuition Systems, Inc.; Intuition LLC; BiII2Pay, LLC; Intuition College Savings Solutions LLC; Veritec Solutions, LLC Intuition ABLE Solutions, LLC INSURER B : Federal Insurance Company 20281 INSURER C: AIG Specialty insurance Company 26883 INSURER D : Gemini Insurance Company 10833 INSURER E: Hartford Accident & Indemnity Company 22357 INSURER F: n•rnu eu uaetD• COVERAGES t,tee I IrwN t t',urum rte. THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIODINDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THISCERTIFICATEMAYBEISSUEDORMAYPERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. INSR TYPE OF INSURANCE ADDL INSR SUBR WVD POLICY NUMBER POLICY EFF MM/DD/YYYY) POLICY EXP MM /DD/YYYY) LIMITS LTR A GENERAL X LIABILITY COMMERCIAL GENERAL LIABILITY 21 SBABW9581 12/31/2017 12/31/201 s, EACH OCCURRENCE 1,000,000 1,000,000 10,000 1,000,000 PREMISES (Ea occuence) MED EXP (Any one person) CLAIMS -MADE L Xl OCCUR PERSONAL 8 ADV INJURYXBlanketAddrlIns. GENERAL AGGREGATE 2,000,000 2,000,000 X Blanket Waiver PRODUCTS - COMP /OP AGG GEN'L AGGREGATE I POLICY LIMIT APPLIES PRO- PER: LOC E AUTOMOBILE X X X JECT LIABILITY ANY AUTO ALL OWNED AUTOS HIRED AUTOS Blanket AI X X SCHEDULED A ED AUTOS UTO SAUTOS Blanket WOS 21UECZP2380 12/31/2017 12/31/2018 NED SINGLE LIMITCEaOMBIaocident) 1,000,000 BODILY INJURY (Per person) BODILY INJURY (Per accident) PROPERTY DAMAGE Per accident) PIP 10,000 A X UMBRELLA LIAB EXCESS LIAB X OCCUR CLAIMS -MADE 21SBABW9581 12/31 /2017 12/31/2018 EACH OCCURRENCE 5,000,000 5,000,000AGGREGATE DED X RETENTION $10,000 WORKERS COMPENSATION AND EMPLOYERS' LIABILITY ANY PROPRIETOR/PARTNER /EXECUTIVE OFFICER/MEMBER EXCLUDED? Mandatory in NH) If yes, describe under DESCRIPTION OF OPERATIONS below Y / N N / A WC STATU- TORY LIMITS OTH- ER E.L. EACH ACCIDENT E.L. DISEASE - EA EMPLOYEE E.L. DISEASE - POLICY LIMIT B C D Crime Cyber Liability Prof /E&O Liab. 82092987 BINDER14190967 BINDER14190981 12/31/2017 12/31/2017 12/31/2017 12/31/2018 12/31/2018 12/31/2018 5,000,000 5,000,000 5,000,000 DESCRIPTION OF OPERATIONS / LOCATIONS / VEHICLES (Attach ACORD 101, Additional Remarks Schedule, if more space is required) CERTIFICATE HOLDER CANCELLATION City of Clearwater Attn: Customer Service 100 South Myrtle Avenue Clearwater, FL 33756 SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN ACCORDANCE WITH THE POLICY PROVISIONS. AUTHORIZED REPRESENTATIVE ACORD 25 (2010/05) 1 of 1 S22227839/M22226796 1988-2010 ACORD CORPORATION. All rights reserved. The ACORD name and logo are registered marks of ACORD SZYZP Cover Memo City of Clearwater City Hall 112 S. Osceola Avenue Clearwater, FL 33756 File Number: ID#18-4476 Agenda Date: 4/16/2018 Status: Agenda ReadyVersion: 1 File Type: Action ItemIn Control: Customer Service Agenda Number: 7.2 SUBJECT/RECOMMENDATION: Approve an agreement with InfoSend, Anaheim, California, in the amount of $1,440,000 for utility bill print and mail, from May 1, 2018 through April 30, 2021, with two two -year renewal options and authorize the appropriate officials to execute same . (consent) SUMMARY: In December 2017, the City issued RFP 04-18 to solicit proposals for utility bill print and mail. The committee consisted of city staff from Utility Customer Service, Finance, and IT. Based on the selection criteria and the nine responses received, InfoSend was selected as vendor of choice. In addition to pricing, which was competitive, the committee was impressed with InfoSend’s different level of services, quality control and experience. The terms of the contract provide for: ·Printing, processing (including insertions as required), affixing postage and mailing of city utility bills; printing and inserting the Sunshine line ·Vendor provides all bill stock and envelopes (mailing and return); Estimated costs are: - Postage: $1,080,000 ($360,000 annually); - Contractual Services: $360,000 ($120,000 annually); APPROPRIATION CODE AND AMOUNT: Funds in the amount of $163,300 for Fiscal Year 18 are available in cost code 0555-09884-542500 (postage) for utility bill postage. Funds in the amount of $106,300 for Fiscal Year 18 are available in cost code 0555-09884-530300 (contractual services) for utility bill print and mail fees; Funding for future years will be requested in the annual budget process. Page 1 City of Clearwater Printed on 4/16/2018 ANY PROPRIETOR/PARTNER/EXECUTIVEOFFICER/MEMBER EXCLUDED? INSR ADDL SUBR LTR INSD WVD PRODUCER CONTACT NAME: FAXPHONE (A/C, No):(A/C, No, Ext): E-MAIL ADDRESS: INSURER A : INSURED INSURER B : INSURER C : INSURER D : INSURER E : INSURER F : POLICY NUMBER POLICY EFF POLICY EXPTYPE OF INSURANCE LIMITS(MM/DD/YYYY)(MM/DD/YYYY) AUTOMOBILE LIABILITY UMBRELLA LIAB EXCESS LIAB WORKERS COMPENSATION AND EMPLOYERS' LIABILITY DESCRIPTION OF OPERATIONS / LOCATIONS / VEHICLES (ACORD 101, Additional Remarks Schedule, may be attached if more space is required) AUTHORIZED REPRESENTATIVE EACH OCCURRENCE $ DAMAGE TO RENTEDCLAIMS-MADE OCCUR $PREMISES (Ea occurrence) MED EXP (Any one person)$ PERSONAL & ADV INJURY $ GEN'L AGGREGATE LIMIT APPLIES PER:GENERAL AGGREGATE $ PRO-POLICY LOC PRODUCTS - COMP/OP AGGJECT OTHER:$ COMBINED SINGLE LIMIT $(Ea accident) ANY AUTO BODILY INJURY (Per person)$OWNED SCHEDULED BODILY INJURY (Per accident)$AUTOS ONLY AUTOS HIRED NON-OWNED PROPERTY DAMAGE $AUTOS ONLY AUTOS ONLY (Per accident) $ OCCUR EACH OCCURRENCE CLAIMS-MADE AGGREGATE $ DED RETENTION $ PER OTH-STATUTE ER E.L. EACH ACCIDENT E.L. DISEASE - EA EMPLOYEE $If yes, describe under E.L. DISEASE - POLICY LIMITDESCRIPTION OF OPERATIONS below INSURER(S) AFFORDING COVERAGE NAIC # COMMERCIAL GENERAL LIABILITY Y / N N / A (Mandatory in NH) SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN ACCORDANCE WITH THE POLICY PROVISIONS. THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIODINDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS,EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER. IMPORTANT: If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must have ADDITIONAL INSURED provisions or be endorsed. If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). COVERAGES CERTIFICATE NUMBER:REVISION NUMBER: CERTIFICATE HOLDER CANCELLATION © 1988-2015 ACORD CORPORATION. All rights reserved.ACORD 25 (2016/03) CERTIFICATE OF LIABILITY INSURANCE DATE (MM/DD/YYYY) $ $ $ $ $ The ACORD name and logo are registered marks of ACORD SHEHNER 04/02/2018 INFOINC-01 A 79896856 A 73587120 A 71749812 A 36031149 B MCN00222831701 1,000,000 1,000,000 1,000,000 5,000,000 5,000,000 2,000,000 1,000,000 2,000,000 10,000 1,000,000 1,000,000 1,000,000 X X X X X X X X B MCN00222831701 License # 0D28764 02/01/2018 02/01/2019 02/01/2018 02/01/2019 12/01/2017 12/01/2018 02/01/2018 02/01/2019 02/01/2018 02/01/2019 12/01/2017 12/01/2018 Certificate Holder is hereby named as an additional insured with regards to General Liability. Waiver of subrogation applies to workers compensation. Orion Risk Management Insurance Services, Inc. 1800 Quail Street, Suite 110 Newport Beach, CA 92660 (949) 263-8860(949) 263-8850 City of Clearwater 100 S. Myrtle Avenue Clearwater, FL 33758 INFOSEND, Inc. / Rezai and Son, LLC 4240 E. La Palma Ave Anaheim, CA 92807 Federal Insurance Company Axis Insurance Company 20281 37273 X X E&O Limit Cyber Limit 5,000,000 1,000,000 E&O; $25,000 DED Cyber; $25,000 DED Cover Memo City of Clearwater City Hall 112 S. Osceola Avenue Clearwater, FL 33756 File Number: 9101-18 2nd rdg Agenda Date: 4/16/2018 Status: Agenda ReadyVersion: 1 File Type: OrdinanceIn Control: Legal Department Agenda Number: 8.1 SUBJECT/RECOMMENDATION: Adopt Ordinance 9101-18 on second reading, amending the future land use plan element of the Comprehensive Plan of the city to change the land use designation for certain real property whose post office address is 300 South Duncan Avenue, Clearwater, Florida 33755, from Residential/Office General (R/OG) to Commercial General (CG). SUMMARY: APPROPRIATION CODE AND AMOUNT: USE OF RESERVE FUNDS: Page 1 City of Clearwater Printed on 4/16/2018 Ordinance No. 9101-18 ORDINANCE NO. 9101-18 AN ORDINANCE OF THE CITY OF CLEARWATER, FLORIDA, AMENDING THE FUTURE LAND USE ELEMENT OF THE COMPREHENSIVE PLAN OF THE CITY, TO CHANGE THE LAND USE DESIGNATION FOR CERTAIN REAL PROPERTY LOCATED ON THE WEST SIDE OF SOUTH DUNCAN AVENUE APPROXIMATELY 280 FEET NORTH OF GULF TO BAY BOULEVARD, WHOSE POST OFFICE ADDRESS IS 300 SOUTH DUNCAN AVENUE, CLEARWATER, FLORIDA 33755, FROM RESIDENTIAL/OFFICE GENERAL (R/OG) TO COMMERCIAL GENERAL (CG); PROVIDING AN EFFECTIVE DATE. WHEREAS, the amendment to the Future Land Use Element of the Comprehensive Plan of the City as set forth in this ordinance is found to be reasonable, proper and appropriate, and is consistent with the City’s Comprehensive Plan; now, therefore, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CLEARWATER, FLORIDA: Section 1. The Future Land Use Element of the Comprehensive Plan of the City of Clearwater is amended by designating the land use category for the hereinafter described property as follows: Property See attached Exhibit A for Legal Description (LUP2017-10011) Land Use Category From: Residential/Office General (R/OG) To: Commercial General (CG) The map attached as Exhibit B is hereby incorporated by reference. Section 2. The City Council does hereby certify that this ordinance is consistent with the City’s Comprehensive Plan. Section 3. This ordinance shall take effect contingent upon and subject to the approval of the land use change by the Pinellas County Board of Commissioners, where applicable, and thirty- one (31) days post-adoption. If this ordinance is appealed within thirty (30) days after adoption, then this ordinance will take effect only after approval of the land use designation by the Pinellas County Board of Commissioners and upon issuance of a final order determining this amendment to be in compliance either by the Department of Economic Opportunity (DEO) or the Administration Commission, where applicable, pursuant to section 163.3187, Florida Statutes. The Community Development Coordinator is authorized to transmit to Forward Pinellas, in its role as the Pinellas Planning Council, an application to amend the Countywide Plan in order to achieve consistency with the Future Land Use Plan Element of the City’s Comprehensive Plan as amended by this ordinance. Ordinance No. 9101-18 PASSED ON FIRST READING PASSED ON SECOND AND FINAL READING AND ADOPTED George N. Cretekos Mayor Approved as to form: Pamela K. Akin City Attorney Attest: Rosemarie Call City Clerk Exhibit “A” Legal Description Exhibit B CG RU CG CG RU RU RU R/OG RU CG RU R/OG CG CGCG RU CG RU RU RAINBOW DR S DUNCAN AVE S JUPITER AVE GULF-TO-BAY BLVD S KEYSTONE DR DARTMOUTH ST YELVINGTON AVE S KEYSTONE AVE 501 509 301 401 212 108 112 314 302 110 105 309 219 507 200 201 407 407 405 305 300 310 308 515 403 109 208 305 210 401 405 216 204 400 404 311 511 404 106 211 400 215 206 406 116 510 200 400 212 207 115 111 111 116 519 309 401 306 307 205 201 205 115112 215 402 209 301 211 311 514 204 216 403 115 1712166416281616166417151672168016611660162716231624161217241631164016571660163016321668161317011673166016751650164916301709162616171635164717001632169816701700166316131656166916511637167416411623162116221632160816221620162516161644166516201624162916501654161416441658165516381636300 104100105 161216101713162817171618163416141625A1623A1621A1627A-Not to Scale--Not a Survey-Rev. 11/16/17 CG FUTURE LAND USE MAP Owner(s): Rental Houses, LLC Case: LUP2017-10011 REZ2017-10012 Site: 300 South Duncan Avenue Property Size(Acres): 2.807 acres Land Use Zoning PIN: 14-29-15-00000-130-0200 From: Residential/Office General (R/OG) Office (O) To: Commercial General (CG) Commercial (C) Atlas Page: 288B PLANNING & DEVELOPMENT DEPARTMENT COMMUNITY DEVELOPMENT BOARD STAFF REPORT MEETING DATE: December 19, 2017 AGENDA ITEM: H.5. CASE: LUP2017-10011 REQUEST: To amend the Future Land Use Map designation from Residential/Office General (R/OG) to Commercial General (CG) GENERAL DATA: Applicant ......................... Brian J. Aungst, Jr., Esq. Owner ............................. Rental Houses, LLC Location .......................... 300 South Duncan Avenue, located on the west side of South Duncan Avenue approximately 280 feet north of Gulf to Bay Boulevard Property Size ................... 2.807-acre portion of a 3.196-acre property Background: This case involves 2.807 acres of a 3.196-acre parcel located on the west side of South Duncan Avenue, approximately 280 feet north of Gulf to Bay Boulevard (SR 60). The property is owned by Rental Houses, LLC and is occupied by a three-story, 69,000 square foot office building with ancillary off-street parking. The overall parcel is a flag lot, where the proposed amendment area has frontage on South Duncan Avenue (310 feet) and Rainbow Drive (396 feet). A narrow portion of the parcel extends to Gulf to Bay Boulevard (60 feet of frontage), approximately 345 feet west of South Duncan Avenue, providing access to the office (excluded from the proposed amendment). Maps 1 and 2 show the general location of the property and an aerial view of the amendment area. The existing office was constructed in 1976, and is over 88% leased. The building currently houses many targeted industries (i.e., Financial and Professional Services) including medical offices, attorneys, mortgage firms, real estate office, accounting offices and other professional businesses. Currently, there is 8,000 square feet of office space available, and the asking rent is $10 per square foot. A development proposal to demolish the existing office and replace it with a 76,490 square foot self-storage facility consisting of 700 units spread across four buildings on the proposed amendment area and an 875 square foot sales office located on the remainder of the parcel has been submitted for review (continued case FLD2017-09018). The proposed self- storage use is not allowed within the property’s current zoning district. The request is to change the Future Land Use Map designation of the proposed amendment area from Residential/Office General (R/OG) to Commercial General (CG), thereby establishing a uniform future land use designation across the parcel. A Community Development Board –December 19, 2017 Revised for City Council Meeting – January 18, 2018 LUP2017-10011 - Page 2 of 11 Level III Comprehensive Plan Amendment Review PLANNING & DEVELOPMENT LONG RANGE PLANNING DIVISION request to rezone the proposed amendment area from the Office (O) District to the Commercial (C) District is being processed concurrently with this case (see REZ2017-10012). Map 1 Map 2 Vicinity Characteristics: Map 3 shows the existing surrounding uses. The immediate area to the north across Rainbow Drive is developed with single-family houses. Abutting to the south is an office (Synovus Bank) and an automobile service station (Thorntons). The area to the east consists of offices, as well as attached dwellings and a single-family detached dwelling. The area to the west is a mixture of office and medical clinic uses. Community Development Board –December 19, 2017 Revised for City Council Meeting – January 18, 2018 LUP2017-10011 - Page 3 of 11 Level III Comprehensive Plan Amendment Review PLANNING & DEVELOPMENT LONG RANGE PLANNING DIVISION Map 3 As shown on Map 4, the abutting future land use designations are Residential/Office General (R/OG) to the west and Commercial General (CG) to the south. To the north, across Rainbow Drive, is Residential Urban (RU) and to the east, across South Duncan Avenue, is Commercial General (CG). The surrounding vicinity has additional areas designated Residential Urban (RU) along the north and south sides of Rainbow Drive, and a mix of Residential/Office General (R/OG) and Commercial General (CG) along the south side of Rainbow Drive. A comparison between the uses, densities and intensities allowed by the present and proposed Future Land Use Map designations appears in Table 1, along with the consistent zoning districts. Map 4 Map 5 Community Development Board –December 19, 2017 Revised for City Council Meeting – January 18, 2018 LUP2017-10011 - Page 4 of 11 Level III Comprehensive Plan Amendment Review PLANNING & DEVELOPMENT LONG RANGE PLANNING DIVISION Table 1. Uses, Densities and Intensities Allowed by Present and Proposed Future Land Use Designations Present FLUM Designation Residential/Office General (R/OG) Requested FLUM Designation Commercial General (CG) Primary Uses: Medium Density Residential; Residential Equivalent; Office Office; Retail Sales and Service; Overnight Accommodations Maximum Density: 15 Dwelling Units Per Acre 24 Dwelling Units Per Acre; 40 Overnight Accommodation Units Per Acre Maximum Intensity: FAR 0.50; ISR 0.75 FAR 0.55; ISR 0.90 Consistent Zoning Districts: Medium Density Residential (MDR) Office (O) Commercial (C) REVIEW CRITERIA: Consistency with the Clearwater Comprehensive Plan [Sections 4-603.F.1 and 4-603.F.2] Recommended Findings of Fact: The following goal, objectives and policies of the Clearwater Comprehensive Plan are not supportive of the proposed amendment: Goal A.2 A sufficient variety and amount of future land use categories shall be provided to accommodate public demand and promote infill development. Objective A.2.2 Future Land Use in the City of Clearwater shall be guided by the City’s Future Land Use Map, which shall be consistent with the Countywide Plan for Pinellas County (The Countywide Plan) including the Countywide Plan Map, and shall be implemented through the City’s Community Development Code. Policy A.5.5.1 Development should be designed to maintain and support the existing or envisioned character of the neighborhood. Objective A.6.1 The redevelopment of blighted, substandard, inefficient and/or obsolete areas shall be a high priority and promoted through the implementation of redevelopment and special area plans, the construction of catalytic private projects, city investment, and continued emphasis on property maintenance standards. Policy A.6.1.6 Land use decisions in Clearwater shall support the expansion of economic opportunity, the creation of jobs and training opportunities as well as the maintenance of existing industries through establishment of enterprise zones, activity centers and redevelopment areas and by coordination with the Chamber of Commerce, Tourist Development Council and other economic development organizations and agencies. Policy A.6.2.2 Encourage land use conversions on economically underutilized parcels and corridors, and promote redevelopment activities in these areas. As stated in the introduction to the City’s Comprehensive Plan Future Land Use Element, the Goals, Objectives and Policies provide for sustainable redevelopment and infill development, as well as Community Development Board –December 19, 2017 Revised for City Council Meeting – January 18, 2018 LUP2017-10011 - Page 5 of 11 Level III Comprehensive Plan Amendment Review PLANNING & DEVELOPMENT LONG RANGE PLANNING DIVISION neighborhood preservation, and are “… designed to preserve and enhance community character and quality of life, while ensuring continued economic vitality of the community.” The Future Land Use Map depicts spatially where certain types of development are envisioned to occur. While the Community Development Code provides a path for individual property owners to request amendments to the Future Land Use Map, review of such requests must consider the achievement of the City’s Goals on balance. In 2011, the City's Economic Development and Housing Department engaged TIP Strategies, Inc. to develop an Economic Development Strategic Plan to position Clearwater for future sustainable growth and economic prosperity. The Strategic Plan seeks to ensure long-term economic vitality through the guiding principles of tax base diversification, higher paying jobs, and business vitality. The City is committed to preserving land for targeted industries, and encourages the development of sites and buildings needed to accommodate higher intensity employment opportunities, consistent with the goals of the Economic Development Strategic Plan. Attracting target industries and higher wage jobs guide future economic development programs and activities in Clearwater. To attract target industries and accommodate higher-wage jobs, the City should more fully leverage existing sites for redevelopment. This site is considered a strategic location for office uses, given its proximity to the Downtown and SR 60. The subject property is designated Residential/Office General (R/OG), consistent with its current use as a multi-tenant office, and consistent with the properties to the west of the property on the south side of Rainbow Drive. The existing office is currently 88% leased, and many of the existing tenants are within targeted industries. According to the City’s Economic Development and Housing Department, the site is well-suited for continued office use, consistent with the City’s Economic Development Strategic Plan. Much of redevelopment is facilitated by removal of economically underutilized properties; however, the subject property is not economically underutilized, and the proposed use for the site as a self-storage use is the opposite of an office use. The existing office is a viable use, is not blighted or obsolete. Amending the future land use designation on the proposed amendment area would be inconsistent with Policy A.6.1.6 as it would permit redevelopment that does not expand economic opportunities or create jobs. Self-storage facilities of this size often have fewer than five employees, including part time employees. Such an amendment is also inconsistent with Policy A.6.2.2 as the site is not economically underutilized. Additionally, the current mix of future land use categories is sufficient in this area to support the envisioned character of the properties along Rainbow Drive and South Duncan Avenue, the primary frontages on which the subject site is located. The Residential/Office General (R/OG) future land use category that is found on the south side of Rainbow Drive, west of South Duncan Avenue, is consistent with both Office (O) District and Medium Density Residential (MDR) District, both of which permit uses that are in character with the single family residential neighborhood to the north of the property. Staff recognizes that that over time, uses may change, but the uses allowed through either of the consistent zoning districts are appropriate and in character with the surrounding residential development. Maintaining the subject property as Residential/Office General (R/OG) is consistent with Goal A.2, in that there is already a sufficient variety and amount of future land use categories within this general area promote infill development and there is not a need to add commercially designated property within this area. South Duncan Avenue forms the line of demarcation between the area envisioned to remain office to the west, and the area already designated as Commercial General (CG) to the east. Within the Commercial General (CG) area, there are many underutilized properties, including vacant parcels and closed businesses in one-story Community Development Board –December 19, 2017 Revised for City Council Meeting – January 18, 2018 LUP2017-10011 - Page 6 of 11 Level III Comprehensive Plan Amendment Review PLANNING & DEVELOPMENT LONG RANGE PLANNING DIVISION buildings, that are envisioned to transition over time, consistent with the future land use designation in place. Commercial General (CG) is generally designated the length of Gulf to Bay Boulevard, and in most areas, is only applied to parcels with frontage on Gulf to Bay Boulevard and those abutting, or generally within the first 280 feet from the right-of-way. There are limited other areas, including the three blocks east of the proposed amendment area, where the entire block north to Rainbow Drive is all Commercial General (CG). However, these areas are more typically limited to the intersections of two arterials where there are larger parcels and the Commercial General (CG) future land use designation extends further north and south of Gulf to Bay. Recommended Conclusions of Law: The request is inconsistent with the goals, objectives and policies of the Clearwater Comprehensive Plan and conflicts said plan as indicated in the goals, objectives and policies listed above. The proposed change does not support the City’s stated economic development goals and objectives. Consistency with the Countywide Rules Recommended Findings of Fact: The underlying Countywide Plan Map category on the proposed amendment area is Office (O), which is on the edge of two districts found on the south side of Rainbow Drive, with South Duncan Avenue currently serving as the dividing line between the two areas. Section 2.3.3.5 of the Countywide Rules states that the current Office (O) category is intended to accommodate areas developed, or appropriate to be developed, with office uses, low-impact employment uses, and residential uses (subject to a five-acre maximum threshold), in areas characterized by a transition between residential and commercial uses and in areas well-suited for community-scale residential/office mixed-use development. The proposed City of Clearwater future land use designation of Commercial General (CG) will necessitate an amendment from the Office (O) category to the Retail & Services (R&S) category to maintain consistency between the City’s Future Land Use Map and the Countywide Plan Map. Section 2.3.3.7 of the Countywide Rules states that the Retail & Services (R&S) category is intended to depict areas developed with, or appropriate to be developed with, a mix of businesses that provide for the shopping and personal service needs of the community or region, provide for employment opportunities and accommodate target employment uses, and may include residential uses as part of the mix of uses. The proposed amendment area, which constitutes the majority of the parcel on which the proposed self-storage use would be located, is located across the Rainbow Drive right-of-way from single family homes to the north, and to other office and medical clinic uses to the west. Office (O) category is designated on the surrounding properties adjacent and to the west, and Retail & Services (R&S) is designated on properties to the south along Gulf to Bay Boulevard, and east across South Duncan Avenue. Property along the north side of Rainbow Drive is designated Residential Low Medium (RLM). Although the proposed Retail & Services (R&S) category is intended for a mix of employment, including targeted industries, it is also intended for other commercial uses, and is more typically developed with retail commercial (e.g., grocery, pharmacy, apparel, jewelry, electronics, sporting goods, specialty shops, building supplies, convenience goods, restaurant, indoor recreation/entertainment uses). While this category is partially consistent with the City’s vision for this area, in that the City wants to maintain the property for office/targeted industries, the proposed self-storage use is not a target employment use. Additionally, the other uses that are consistent with this category are not appropriate in this area. Community Development Board –December 19, 2017 Revised for City Council Meeting – January 18, 2018 LUP2017-10011 - Page 7 of 11 Level III Comprehensive Plan Amendment Review PLANNING & DEVELOPMENT LONG RANGE PLANNING DIVISION The existing office building is an appropriate use in the area and is consistent with the current underlying Countywide Plan Map category and the designations on the surrounding properties. It is also consistent with the City’s Comprehensive Plan, as outlined above. The Countywide Plan Map currently uses South Duncan Avenue as the dividing line between the two categories, which is appropriate in this area, and the area currently designated with the Office (O) category appropriately serves as a transition between the commercial uses along Gulf to Bay to the south and east and the residential uses to the north and west. Recommended Conclusions of Law: While the proposed Future Land Use Map amendment is consistent with the purpose of the proposed category in the Countywide Rules it is inconsistent with the designations on the surrounding properties. The existing category in the Countywide Rules is appropriately designated and is consistent with the current use and surrounding designations on the Countywide Plan Map. Compatibility with Surrounding Properties/Character of the City & Neighborhood [Section 4-603.F.3 and Section 4-603.F.6] Recommended Findings of Fact: Existing surrounding uses consist primarily of single family residential (detached dwellings) (north) and offices and medical clinics (west and south). There is an assortment of offices and residential (attached dwellings) to the east, across South Duncan Avenue, and a gas station (south). The proposed use of the subject property is self-storage. The proposed Commercial General (CG) future land use category primarily permits nonresidential development at an intensity of 0.55 FAR. Residential development is permitted at a density of 24 dwelling units per acre (allowed through mixed-use), and overnight accommodations are permitted at 40 overnight accommodation units per acre. The future land use designations of surrounding properties include Residential Urban (RU), Residential Office/General (R/OG) and Commercial General (CG). The proposed Commercial General (CG) future land use category is consistent with the Commercial (C) zoning district, which permits a variety of commercial uses as minimum standard uses, including retail plazas, restaurants, offices, overnight accommodations, and vehicle sales/display. The proposed category and district do not appear to be appropriately located. While certain permitted uses may be compatible with the single-family uses in the area, these same uses are also already permitted through the existing Office (O) District. The request is not compatible with the surrounding area and may unreasonably affect the use of the properties in the area. Recommended Conclusions of Law: The proposed Commercial General (CG) future land use category is not in character with the Future Land Use Map designations in the area. Further, the proposal is incompatible with surrounding uses and inconsistent with the character of the surrounding properties and neighborhood. Community Development Board –December 19, 2017 Revised for City Council Meeting – January 18, 2018 LUP2017-10011 - Page 8 of 11 Level III Comprehensive Plan Amendment Review PLANNING & DEVELOPMENT LONG RANGE PLANNING DIVISION Sufficiency of Public Facilities [Section 4-603.F.4] Recommended Findings of Fact: To assess the sufficiency of public facilities needed to support potential development on the proposed amendment area, the maximum development potential of the property under the present and requested City Future Land Use Map designations were analyzed. Table 2. Development Potential for Existing & Proposed FLUM Designations Present FLUM Designation “R/OG” Requested FLUM Designation “CG” Net Change Site Area 2.807 AC (122,272 SF) 2.807 AC (122,272 SF) Maximum Development Potential 42 DUs1 61,136 SF 0.50 FAR 67 DUs2 67,249 SF 0.55 FAR 25 DUs 6,113 SF 0.15 FAR Notes: 1. Residential uses permitted through consistent Office (O) District as part of mixed-use project. 2. Residential uses permitted through consistent Commercial (C) District as part of mixed-use project, or potentially through a Comprehensive Infill Redevelopment Project. Abbreviations: FLUM – Future Land Use Map DUs –Dwelling Units AC – Acres FAR –Floor Area Ratio SF – Square feet As shown in the table, there is an increase in development potential across the amendment area which would increase demand on most public facilities, but would not degrade them below acceptable levels as detailed below. The following analysis compares the maximum potential development of the proposed Commercial General (CG) future land use developed with a self-storage use (67,249 square feet) to the maximum development potential of the existing Residential/Office General (R/OG) future land use category developed with an office use (61,136 square feet). Potable Water The increase in development potential from this amendment would result in an increase in potable water use of 612 gallons per day. This is determined by comparing the potential potable water utilization of the maximum square footage allowed by the proposed land use developed with a nonresidential use (6,725 gallons per day) to the potential utilization of a nonresidential use built out to the maximum square footage allowed by the current land use designation (6,113 gallons per day). Wastewater The increase in development potential from this amendment would also result in an increase in wastewater production of 489 gallons per day. This is determined by comparing the potential wastewater generation of the proposed land use developed with a nonresidential use (5,379 gallons) to the potential wastewater generation of the current land use designation developed with a nonresidential use (4,890 gallons). Community Development Board –December 19, 2017 Revised for City Council Meeting – January 18, 2018 LUP2017-10011 - Page 9 of 11 Level III Comprehensive Plan Amendment Review PLANNING & DEVELOPMENT LONG RANGE PLANNING DIVISION Solid Waste The proposed amendment could result in an increase of 70.3 tons per year of solid waste generated when comparing the amount of waste generated by a warehouse use to that of an office use. All solid waste disposal is handled by Pinellas County at the Pinellas County Waste-to-Energy Plant and the Bridgeway Acres Sanitary Landfill which has significant capacity. Additionally, the City provides a full-service citywide recycling program which diverts waste from the landfill, helping to extend the lifespan of Bridgeway Acres. There is excess solid waste capacity to serve the amendment area. Parkland The City’s adopted LOS for parkland acreage, which is 4 acres per 1,000 population, will not be impacted by this proposed amendment. Under both the existing and proposed land use, the LOS citywide will remain at 15.46 acres per 1,000 population. Stormwater Site plan approval will be required before the property can be redeveloped. At that time, the stormwater management system for the site will be required to meet all City and SWFWMD stormwater management criteria. Streets The subject property is located at the southwest side corner of South Duncan Avenue and Rainbow Avenue, approximately 280 feet north of Gulf to Bay Boulevard. To evaluate potential impacts to streets, the typical traffic impacts figure (trips per day per acre) in the Countywide Rules for the corresponding Countywide Plan Map categories (current and proposed) are compared. The current number of trips per day (250 trips) is calculated based on the typical traffic generation numbers for the Office (O) category (89 trips per day per acre). The proposed Countywide Plan Map category of Retail & Service (R&S) (433 trips per day per acre) would increase the number of trips per day to 1,215 trips per day. This is an increase of 965 trips per day compared to the number of trips under the current designation. The proposed self-storage use, if constructed, would generate fewer trips overall; however, evaluations of potential impacts are based on the maximum impacts possible through the proposed future land use changes. Recommended Conclusions of Law: Based upon the findings of fact, it is determined that although the proposed change will result in increased demand on many public facilities, it will not result in the degradation of the existing levels of service for potable water, sanitary sewer, solid waste, parkland, stormwater management and streets. Impact on Natural Resources [Section 4-603.F.5] Recommended Findings of Fact: No wetlands appear to be located on the subject property. The City’s codes require that development is compliant with the City’s tree preservation, landscaping and stormwater management requirements. Community Development Board –December 19, 2017 Revised for City Council Meeting – January 18, 2018 LUP2017-10011 - Page 10 of 11 Level III Comprehensive Plan Amendment Review PLANNING & DEVELOPMENT LONG RANGE PLANNING DIVISION The City’s codes require that development is compliant with the City’s tree preservation, landscaping and stormwater management requirements. Recommended Conclusions of Law: Based upon the findings of fact, it is determined that the proposed Future Land Use Map amendment will not negatively impact natural resources on the subject property. SUMMARY AND RECOMMENDATION: No amendment to the Comprehensive Plan or Future Land Use Map shall be recommended for approval or receive a final action of approval unless it complies with the standards contained in Section 4-603.F, Community Development Code. Table 3 below depicts the consistency of the proposed amendment with the standards pursuant to Section 4-603.F: Table 3. Consistency with Community Development Code Standards for Review CDC Section 4-603 Standard Consistent Inconsistent F.1 The amendment will further implementation of the Comprehensive Plan consistent with the goals, policies and objectives contained in the Plan. X F.2 The amendment is not inconsistent with other provisions of the Comprehensive Plan. X F.3 The available uses, if applicable, to which the properties may be put are appropriate to the properties in question and compatible with existing and planned uses in the area. X F.4 Sufficient public facilities are available to serve the properties. X F.5 The amendment will not adversely affect the natural environment. X F.6 The amendment will not adversely impact the use of properties in the immediate area. X The proposed use is inconsistent with certain goals and objectives of the Comprehensive Plan. The proposed use is inconsistent with the City’s strategic economic development plan. The property is not economically underutilized. The existing use of the property constitutes a higher level of viable economic use. The transition of properties along the Gulf to Bay Boulevard corridor to storage and warehousing does not constitute a preferred or desirable characteristic of this corridor. Large parcels with limited to no impacts as the result of constrained or limited employment and little or no traffic or trip generation resulting from lack of economic activity are not inherently advantageous or compatible with adjoining communities. To the contrary, such uses and activities lend themselves more appropriately to areas more suitable for limited commercial, employment, and transportation constraints. Community Development Board –December 19, 2017 Revised for City Council Meeting – January 18, 2018 LUP2017-10011 - Page 11 of 11 Level III Comprehensive Plan Amendment Review PLANNING & DEVELOPMENT LONG RANGE PLANNING DIVISION Based on the foregoing, the Planning and Development Department recommends the following action: Recommend DENIAL of the Future Land Use Map Amendment designation from Residential/Office General (R/OG) to Commercial General (CG). Prepared by Planning and Development Department Staff: Lauren Matzke, AICP Long Range Planning Manager ATTACHMENTS: Ordinance No. 9101-18 Resume Photographs of Site and Vicinity LUP2017-10011 / REZ2017-10012 Rental Houses, LLC 300 South Duncan Avenue Page 1 of 2 View looking west at the subject property, 300 South Duncan Avenue, from South Duncan Avenue East of the subject property, across South Duncan Avenue View looking southwesterly at the subject property, 300 South Duncan Avenue, from Rainbow Drive North of the subject property, across Rainbow Drive View looking easterly along Rainbow Drive View looking westerly along Rainbow Drive LUP2017-10011 / REZ2017-10012 Rental Houses, LLC 300 South Duncan Avenue Page 2 of 2 View looking northerly along South Duncan Avenue View looking southerly along South Duncan Avenue 1 Call, Rosemarie From:Marino Kolitsopoulos <marino@advancedrealtygroupinc.com> Sent:Friday, January 12, 2018 5:17 PM To:Matzke, Lauren; Kuligowski, Patricia; Call, Rosemarie Subject:RE: 300 S. Duncan LUP-2017-10011 and REZ-2017-10012 Excellent, please add my letter to the record and present it to the Council when appropriate. Thank you. From: Matzke, Lauren [mailto:Lauren.Matzke@MyClearwater.com] Sent: Friday, January 12, 2018 9:12 AM To: Marino Kolitsopoulos; Kuligowski, Patricia; Call, Rosemarie Cc: Soto, Camilo Subject: RE: 300 S. Duncan LUP-2017-10011 and REZ-2017-10012 Thank you for the email. Please note that the applicant has requested that these cases be continued to the April 4, 2018 City Council meeting. From: Marino Kolitsopoulos [mailto:marino@advancedrealtygroupinc.com] Sent: Thursday, January 11, 2018 4:58 PM To: Kuligowski, Patricia <patty.kuligowski@myclearwater.com>; Call, Rosemarie <Rosemarie.Call@myClearwater.com>; Matzke, Lauren <Lauren.Matzke@MyClearwater.com> Cc: Soto, Camilo <Camilo.Soto@MyClearwater.com> Subject: 300 S. Duncan LUP‐2017‐10011 and REZ‐2017‐10012 To Whom It May Concern, My name is Marino Kolitsopoulos and my company, 1250 Main LLC, owns the property located at 1712 Gulf to Bay Blvd. Recently, I was sent notice from the City that a property in the neighborhood located at 300 S. Duncan has been attempting to rezone to a Commercial zoning. I believe that this rezoning request is quite logical and brings a level of symmetry to the zoning map that it is currently lacking. My block for instance is exactly east of the area in question and has commercial zoning from Gulf to Bay all the way to Rainbow. Why should their block be zoned and treated any differently? Also, I believe that what Mr. Dorman and his group are doing will be a great improvement to the neighborhood. Currently 300 S. Duncan is an undesirable office structure that lacks the traffic and commercial frontage that is needed for a viable office complex today. Given the location of this property, it would seem that a use like storage would directly benefit the neighborhood more than an office complex; and may be the best use for this site. As it is now the 21st Century and technology has forced the office into our homes, automobiles, and pockets, the need for office space for smaller businesses is almost non‐existent. This is evidenced by the increasing number of office properties becoming run down and obsolete; just like this one. As technology continues to change our society, the need for local government to keep up and evolve to meet the municipal needs is paramount. Zoning will need to continue to evolve to serve the public properly and get beyond the idea of preserving a past that is no longer relevant. Respectfully, Marino Kolitsopoulos, CEO Advanced Realty Group, Inc. 2 2630 West Bay Drive Suite 105 Belleair Bluffs, FL 33770 727‐518‐8500 727‐518‐8553 fax 727‐418‐1773 direct Right-click or tap and hold here to download pictures. To help protect your privacy, Outlook prevented automatic download of this picture from the Internet. Virus-free. www.avg.com 1 Call, Rosemarie From:Matzke, Lauren Sent:Monday, January 15, 2018 1:45 PM To:Call, Rosemarie Subject:Fwd: 300 S Duncan/Skycrest Attachments:SKM_C25817121911070.pdf Sorry about that! I thought this had made it over earlier. Thanks for adding it! Get Outlook for iOS From: JoAnna Siskin <jsiskin@usameribank.com> Sent: Tuesday, December 19, 2017 10:09:19 AM To: Matzke, Lauren Subject: 300 S Duncan/Skycrest Lauren attached is the letter from Skycrest opposing the project at 300 S Duncan. JoAnna Siskin Retail Operations Coordinator 1617 Gulf to Bay Blvd Clearwater FL 33755 P: 727‐445‐6718 E: jsiskin@usameribank.com F: 727‐298‐0134 NOTICE: Pursuant to the Electronic Communications Privacy Act, 18 U.S.C. ?? 2510‐2522, the contents of this e‐mail and the attachments hereto (if any) are confidential, privileged, and/or otherwise exempt from disclosure and are intended only for disclosure to and use by the intended recipient of this message. If you are not the intended recipient of this message, the receipt of this message is not intended to and does not waive any applicable confidentiality or privilege and you are hereby notified that any dissemination, distribution, printing, or copying of the contents of this e‐mail is strictly prohibited. If you are not the intended recipient, please notify us by telephone or e‐mail and delete this e‐mail from your system. Further, e‐mail transmissions are not guaranteed to be secure or error‐free because information can be intercepted, corrupted, lost, destroyed, arrive late or incomplete, or contain viruses. WE THEREFORE EXPRESSLY DISCLAIM ANY REPRESENTATION OR WARRANTY REGARDING THE SAFETY AND INTEGRITY OF THIS E‐MAIL AND FOR ANY ERRORS OR OMISSIONS IN THE CONTENTS OF THIS E‐MAIL THAT ARISE AS A RESULT OF THIS TRANSMISSION OR ANY SUBSEQUENT RE‐TRANSMISSION TrafficDaily Traffic11.01 trips/ksf780 Trips2.50 trips/ksf191 Trips -589-75%Peak Hour Trips1.49 trips /ksf106 Trips0.26 trips/ksf20 Trips -86-81%Driveways onto Rainbow Ave3 NoneBuilding AreaFloor Area Gross 70,855 sf 76,490 sf 5,635 sfSite CoverageBuilding Coverage 34,065 sf 30,315 sf -3,750 sfPavement Area 74,532 sf 43,145 sf-31,387 sf-42%Sidewalk Area 2,520 sf 4,200 sf 1,680 sfOpen Space 16,260 sf 56,577 sf40,317 sf46%Parking Area Open Space11,860 sf5,000 sf-6,860 sfTotal0 sfStormwater ManagementStormwater Quality Treatment None Current StandardsStormwater Detention None Current Standards100%100%139,237 sf139,237 sfCHANGE-100%ITE Code 151ITE Code 710Self StoragePROPOSED USEOfficeCURRENT USEGULF TO BAY SELF STORAGE Mission Statement: Clearwater Neighborhoods Coalition works to enhance quality of life, safety and sustainability for our City and its neighborhoods. www.ClearwaterCoalition.org ClearwaterNeighborhoods@gmail.com Like us on Facebook March 24, 2018 Re: Agenda Item Concerning Proposed Self-Storage Facility at 300 S. Duncan Avenue Mayor Cretekos and Members of City Council: The Clearwater Neighborhoods Coalition supports the Skycrest Neighborhood in objecting to the construction of a large storage facility at 300 S. Duncan Avenue on the grounds that this facility is incompatible with the scale and character of this neighborhood. Specifically, the developer is requesting permission to replace the existing office buildings with a 91,883 square foot self-storage facility, “with flexibility from lot width, height, setback and landscape requirements.” The facility would include six buildings, maximum 35 feet high, and a minimum of 43 parking spaces. The area that is being considered is inside Skycrest neighborhood, a densely developed area consisting primarily of older, one-story homes, including small-scale“starter homes,” mid-sized homes, and scattered two story apartment homes. Its neighborhood association has done a remarkable job of organizing its residents to work together to create a sense of “neighborhood” by providing a wide variety of activities for its own residents and for residents of the city. As one of Clearwater’s older neighborhoods, Skycrest residents have shown a commendable initiative to rehabilitate their homes and revitalize their neighborhood. Property values have increased and the neighborhood won a well-deserved award for its efforts at our CNC mini conference earlier this month. CNC members point out that, in addition to its scale problems and its inappropriate “fit” with the character of that neighborhood, storage shed customers come and go at all hours, creating possible noise and privacy problems for the neighborhood. Furthermore, six buildings with flexibility from lot width, height, setback and landscape requirements increases concern for sustainability, as well as visual obstruction. Additionally, storage facilities represent “dead space,” offering no potential for jobs and small businesses such as bakeries, hair salons, etc., for example, which would be more fitting with the character of this neighborhood. A storage facility is better suited for industrial areas and other less densely developed areas with lots not so narrowly spaced. It should be noted that we of the CNC are not opposed to development, but we believe that businesses and neighborhoods can benefit each other if properly placed and managed. We see no benefit to the neighborhood in this request and we strongly urge the council to reject it. Sincerely, Karen Cunningham, President Clearwater Neighborhoods Association 405 South Duncan Avenue / Clearwater, Florida 33755 (727) 298-8077 / Fax (727) 441-2362 March 28, 2018 To Whom It May Concern, My name is Jim Townsend and my company, Townsend Constructors, Inc., owns the property located at 405 Souh Duncan Avenue. Recently, I was sent notice from the City that a property in the neighborhood located at 300 S. Duncan has been attempting to rezone to a Commercial zoning. I believe that this rezoning request is quite logical and brings a level of symmetry to the zoning map that it is currently lacking. My block for instance is exactly east of the area in question and has commercial zoning from Gulf to Bay all the way to Rainbow. Why should their block be zoned and treated any differently? Also, I believe that what Mr. Dorman and his group are doing will be a great improvement to the neighborhood. Currently 300 S. Duncan is an undesirable office structure that lacks the traffic and commercial frontage that is needed for a viable office complex today. Given the location of this property, it would seem that a use like storage would directly benefit the neighborhood more than an office complex; and may be the best use for this site. As it is now the 21st Century and technology has forced the office into our homes, automobiles, and pockets, the need for office space for smaller businesses is almost non-existent. This is evidenced by the increasing number of office properties becoming run down and obsolete; just like this one. As technology continues to change our society, the need for local government to keep up and evolve to meet the municipal needs is paramount. Zoning will need to continue to evolve to serve the public properly and get beyond the idea of preserving a past that is no longer relevant. And please remove the roundabout in front of this office building. It serves no purpose other than to confuse elderly drivers and destroy alignments on cars, trucks and buses as it has too short of a radius. Respectfully, Jim Townsend VP Townsend Constructors, Inc CC; file Cover Memo City of Clearwater City Hall 112 S. Osceola Avenue Clearwater, FL 33756 File Number: 9102-18 2nd rdg Agenda Date: 4/16/2018 Status: Agenda ReadyVersion: 1 File Type: OrdinanceIn Control: Legal Department Agenda Number: 8.2 SUBJECT/RECOMMENDATION: Adopt Ordinance 9102-18 on second reading, amending the Zoning Atlas of the city by rezoning certain real property whose post office address is 300 South Duncan Avenue, Clearwater, Florida 33755, from Office (O) to Commercial (C). SUMMARY: APPROPRIATION CODE AND AMOUNT: USE OF RESERVE FUNDS: Page 1 City of Clearwater Printed on 4/16/2018 Ordinance No. 9102-18 ORDINANCE NO. 9102-18 AN ORDINANCE OF THE CITY OF CLEARWATER, FLORIDA, AMENDING THE ZONING ATLAS OF THE CITY BY REZONING CERTAIN REAL PROPERTY LOCATED ON THE WEST SIDE OF SOUTH DUNCAN AVENUE APPROXIMATELY 280 FEET NORTH OF GULF TO BAY BOULEVARD, WHOSE POST OFFICE ADDRESS IS 300 SOUTH DUNCAN AVENUE, CLEARWATER, FLORIDA 33755, FROM OFFICE (O) TO COMMERCIAL (C); PROVIDING AN EFFECTIVE DATE. WHEREAS, the amendment to the Zoning Atlas of the City as set forth in this ordinance is found to be reasonable, proper and appropriate, and is consistent with the City's Comprehensive Plan; now, therefore, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CLEARWATER, FLORIDA: Section 1. The following described property in Clearwater, Florida, is hereby rezoned, and the Zoning Atlas of the City is amended as follows: Property Zoning District See attached Exhibit A for Legal Description From: Office (O) (REZ2017-10012) To: Commercial (C) The map attached as Exhibit B is hereby incorporated by reference. Section 2. The City Engineer is directed to revise the Zoning Atlas of the City in accordance with the foregoing amendment. Section 3. This ordinance shall take effect immediately upon adoption, subject to the approval of the land use designation set forth in Ordinance 9101-18 by the Pinellas County Board of County Commissioners. Ordinance No. 9102-18 PASSED ON FIRST READING PASSED ON SECOND AND FINAL READING AND ADOPTED George N. Cretekos Mayor Approved as to form: Pamela K. Akin City Attorney Attest: Rosemarie Call City Clerk Exhibit “A” Legal Description Exhibit B ZONING MAP Owner(s): Rental Houses, LLC Case: LUP2017-10011 REZ2017-10012 Site: 300 South Duncan Avenue Property Size(Acres): 2.807 acres Land Use Zoning PIN: 14-29-15-00000-130-0200 From: Residential/Office General (R/OG) Office (O) To: Commercial General (CG) Commercial (C) Atlas Page: 288B C C LMDR O MDR RAINBOW DR S DUNCAN AVE S JUPITER AVE GULF-TO-BAY BLVD DARTMOUTH ST S KEYSTONE DR YELVINGTON AVE S KEYSTONE AVE 501 509 301 201 401 212 108 112 314 302 110 309 219 507 200 201 407 407 405 305 300 310 308 403 109 208 305 210 401 405 216 204 400 404 311 511 404 106 211 400 215206 406 116 510 200 400 212 207 115 111 111 116 309 401 306 307 205 201 205 115112 215 402 209 301 211 311 514 204 216 403 115 171216641628161616121664171516721680166016271623162416121724163116401660163016321668161317011673166016751650161016301709162616171635164717001632169816701700166316131656166916511637167416411623162116221632160816221620162516161665162016241629165016541614165816381636300 105 515 100 519 105 16611657164917131628171716181644163416441606165516141625A1623A1621A1627A-Not to Scale--Not a Survey-Rev. 11/16/17 C C LMDR C PLANNING & DEVELOPMENT DEPARTMENT COMMUNITY DEVELOPMENT BOARD STAFF REPORT MEETING DATE: December 19, 2017 AGENDA ITEM: H.6. CASE: REZ2017-10012 REQUEST: To amend the Zoning Atlas designation from Office (O) District to Commercial (C) District GENERAL DATA: Applicant ......................... Brian J. Aungst, Jr., Esq. Owner ............................. Rental Houses, LLC Location .......................... 300 South Duncan Avenue, located on the west side of South Duncan Avenue approximately 280 feet north of Gulf to Bay Boulevard Property Size ................... 2.807-acre portion of a 3.196-acre property Background: This case involves 2.807 acres of a 3.196-acre parcel located on the west side of South Duncan Avenue, approximately 280 feet north of Gulf to Bay Boulevard (SR 60). The property is owned by Rental Houses, LLC and is occupied by a three-story, 69,000 square foot office building with ancillary off-street parking. The overall parcel is a flag lot, where the proposed amendment area has frontage on South Duncan Avenue (310 feet) and Rainbow Drive (396 feet). A narrow portion of the parcel extends to Gulf to Bay Boulevard (60 feet of frontage), approximately 345 feet west of South Duncan Avenue, providing access to the office (excluded from the proposed amendment). Maps 1 and 2 show the general location of the property and an aerial view of the amendment area. The existing office was constructed in 1976, and is over 88% leased. The building currently houses many targeted industries (i.e., Financial and Professional Services) including medical offices, attorneys, mortgage firms, real estate office, accounting offices and other professional businesses. Currently, there is 8,000 square feet of office space available, and the asking rent is $10 per square foot. A development proposal to demolish the existing office and replace it with a 76,490 square foot self-storage facility consisting of 700 units spread across four buildings on the proposed amendment area and an 875 square foot sales office located on the remainder of the parcel has been submitted for review (continued case FLD2017-09018). The proposed self- storage use is not allowed within the property’s current zoning district. The request is to change the Zoning Atlas designation of the proposed amendment area from Office (O) to Commercial (C), thereby establishing a uniform future land use designation across the parcel. A request to amend the future land use category of Community Development Board – December 19, 2017 REZ2017-10012- Page 2 of 10 Level III Zoning Atlas Amendment Review PLANNING & DEVELOPMENT LONG RANGE PLANNING DIVISION the proposed amendment area from the Residential/Office General (R/OG) category to the Commercial General (CG) category is being processed concurrently with this case (see LUP2017-10011). Map 1 Map 2 Vicinity Characteristics: Map 3 shows the existing surrounding uses. The immediate area to the north across Rainbow Drive is developed with single-family houses. Abutting to the south is an office (Synovus Bank) and an automobile service station (Thorntons). The area to the east consists of offices, as well as attached dwellings and a single-family detached dwelling. The area to the west is a mixture of office and medical clinic uses. Community Development Board – December 19, 2017 REZ2017-10012- Page 3 of 10 Level III Zoning Atlas Amendment Review PLANNING & DEVELOPMENT LONG RANGE PLANNING DIVISION Map 3 As shown on Map 5, the abutting Zoning Atlas designations are Office (O) District to the west and Commercial (C) to the south. To the north, across Rainbow Drive, is Low Medium Density Residential (LMDR) and to the east, across South Duncan Avenue, is Commercial (C). The surrounding vicinity has additional areas designated Low Medium Density Residential (LMDR) along the north and south sides of Rainbow Drive, and a mix of Office (O) and Commercial (C) along the south side of Rainbow Drive. Map 4 Map 5 Community Development Board – December 19, 2017 REZ2017-10012- Page 4 of 10 Level III Zoning Atlas Amendment Review PLANNING & DEVELOPMENT LONG RANGE PLANNING DIVISION REVIEW CRITERIA: Consistency with the Clearwater Comprehensive Plan and Community Development Code and Regulations [Sections 4-602.F.1] Recommended Findings of Fact: The following objectives and policies of the Clearwater Comprehensive Plan are not supportive of the proposed amendment: Objective A.2.2 Future Land Use in the City of Clearwater shall be guided by the City’s Future Land Use Map, which shall be consistent with the Countywide Plan for Pinellas County (The Countywide Plan) including the Countywide Plan Map, and shall be implemented through the City’s Community Development Code. Policy A.5.5.1 Development should be designed to maintain and support the existing or envisioned character of the neighborhood. Objective A.6.1 The redevelopment of blighted, substandard, inefficient and/or obsolete areas shall be a high priority and promoted through the implementation of redevelopment and special area plans, the construction of catalytic private projects, city investment, and continued emphasis on property maintenance standards. Policy A.6.1.6 Land use decisions in Clearwater shall support the expansion of economic opportunity, the creation of jobs and training opportunities as well as the maintenance of existing industries through establishment of enterprise zones, activity centers and redevelopment areas and by coordination with the Chamber of Commerce, Tourist Development Council and other economic development organizations and agencies. Policy A.6.2.2 Encourage land use conversions on economically underutilized parcels and corridors, and promote redevelopment activities in these areas. Applicable sections of the Community Development Code which are not supportive of the proposed amendment: Division 10. Office District, Section 2-1101. Intent and Purpose. The intent and purpose of the Office "O" District is to provide the citizens of the City of Clearwater with convenient access to professional services and high quality jobs throughout the city without adversely impacting the integrity of residential neighborhoods, diminishing the scenic quality of the City of Clearwater or negatively impacting the safe and efficient movement of people and things within the City of Clearwater. Division 7. Commercial District, Section 2-701. Intent and Purpose. The intent and purpose of the Commercial District is to provide the citizens of the City of Clearwater with convenient access to goods and services throughout the city without adversely impacting the integrity of residential neighborhoods, diminishing the scenic quality of the city or negatively impacting the safe and efficient movement of people and things within the City of Clearwater. As stated in the introduction to the City’s Comprehensive Plan Future Land Use Element, the Goals, Objectives and Policies provide for sustainable redevelopment and infill development, as well as neighborhood preservation, and are “… designed to preserve and enhance community character and quality Community Development Board – December 19, 2017 REZ2017-10012- Page 5 of 10 Level III Zoning Atlas Amendment Review PLANNING & DEVELOPMENT LONG RANGE PLANNING DIVISION of life, while ensuring continued economic vitality of the community.” The Future Land Use Map depicts spatially where certain types of development are envisioned to occur. While the Community Development Code provides a path for individual property owners to request amendments to the Future Land Use Map, review of such requests must consider the achievement of the City’s Goals on balance. In 2011, the City's Economic Development and Housing Department engaged TIP Strategies, Inc. to develop an Economic Development Strategic Plan to position Clearwater for future sustainable growth and economic prosperity. The Strategic Plan seeks to ensure long-term economic vitality through the guiding principles of tax base diversification, higher paying jobs, and business vitality. The City is committed to preserving land for targeted industries, and encourages the development of sites and buildings needed to accommodate higher intensity employment opportunities, consistent with the goals of the Economic Development Strategic Plan. Attracting target industries and higher wage jobs guide future economic development programs and activities in Clearwater. To attract target industries and accommodate higher-wage jobs, the City should more fully leverage existing sites for redevelopment. This site is considered a strategic location for office uses, given its proximity to the Downtown and SR 60. The subject property is designated Office (O), consistent with its current use as a multi-tenant office, and consistent with the properties to the west, on the south side of Rainbow Drive. The City’s Community Development Code establishes that the Office (O) District is the primary district in which high quality jobs and employment opportunities will be located, whereas the proposed Commercial (C) District is primarily focused on providing convenient access to goods and services, such as the retail uses and restaurants typically found within the Commercial (C) District. The Office (O) District is the appropriate zoning district for this property. The existing office is currently 88% leased, and many of the existing tenants are within targeted industries. According to the City’s Economic Development and Housing Department, the site is well-suited for continued office use, consistent with the City’s Economic Development Strategic Plan. Much of redevelopment is facilitated by removal of economically underutilized properties; however, the subject property is not economically underutilized, and the proposed use for the site as a self-storage use is the opposite of an office use. The existing office is a viable use, is not blighted or obsolete. Amending the zoning designation on the proposed amendment area would be inconsistent with Policy A.6.1.6 as it would permit redevelopment that does not expand economic opportunities or create jobs. Self-storage facilities of this size often have fewer than five employees, including part time employees. Such an amendment is also inconsistent with Policy A.6.2.2 as the site is not economically underutilized. The requested change to the Commercial (C) District requires an amendment to the Future Land Use Map as well to remain consistent. However, the current mix of future land use categories is sufficient in this area to support the envisioned character of the properties along Rainbow Drive and South Duncan Avenue, the primary frontages on which the subject site is located. The Residential/Office General (R/OG) future land use category that is found on the south side of Rainbow Drive, west of South Duncan Avenue, is consistent with both Office (O) District and Medium Density Residential (MDR) District, both of which permit uses that are in character with the single family residential neighborhood to the north of the property. Staff recognizes that that over time, uses may change, but the uses allowed through either of the consistent zoning districts are appropriate and in character with the surrounding residential development. Community Development Board – December 19, 2017 REZ2017-10012- Page 6 of 10 Level III Zoning Atlas Amendment Review PLANNING & DEVELOPMENT LONG RANGE PLANNING DIVISION South Duncan Avenue forms the line of demarcation between the area envisioned to remain Office (O) District to the west, and the area already designated as Commercial (C) District to the east. Within the area designated Commercial (C) District, there are many underutilized properties, including vacant parcels and closed businesses in one-story buildings, that are envisioned to transition over time, consistent with the zoning designation in place. Commercial (C) District is generally designated the length of Gulf to Bay Boulevard, and in most areas, is only applied to parcels with frontage on Gulf to Bay Boulevard and those abutting, or generally within the first 280 feet from the right-of-way. There are limited other areas, including the three blocks east of the proposed amendment area, where the entire block north to Rainbow Drive is all Commercial (C) District. However, these areas are more typically limited to the intersections of two arterials where there are larger parcels and the Commercial (C) District extends further north and south of Gulf to Bay. Recommended Conclusions of Law: The request is inconsistent with the goals, objectives and policies of the Clearwater Comprehensive Plan and conflicts with said plan and the Community Development Code as indicated above. The proposed change does not support the City’s stated economic development goals and objectives. Compatibility with Surrounding Property/Character of the City & Neighborhood [Section 4-602.F.2, 4-602.F.3 and Section 4-602.F.4] Recommended Findings of Fact: Existing surrounding uses consist primarily of single family residential (detached dwellings) (north) and offices and medical clinics (west and south). There is an assortment of offices and residential (attached dwellings) to the east, across South Duncan Avenue, and a gas station (south). The proposed use of the subject property is self-storage. The proposed Commercial (C) zoning district is inconsistent with many of the surrounding zoning districts that exist in the vicinity of the subject property. The Commercial (C) zoning district permits a variety of commercial uses as minimum standard uses, including retail plazas, restaurants, offices, overnight accommodations, and vehicle sales/display. The proposed District does not appear to be appropriately located. While certain permitted uses may be compatible with the single-family uses in the area, these same uses are also already permitted through the existing Office (O) District. The request is not compatible with the surrounding area and may unreasonably affect the use of the properties in the area. Recommended Conclusions of Law: The proposed Commercial (C) zoning district is not in character with the zoning districts in the area. Further, the proposal is incompatible with surrounding uses and inconsistent with the character of the surrounding properties and neighborhood. Sufficiency of Public Facilities [Section 4-602.F.5] Recommended Findings of Fact: To assess the sufficiency of public facilities needed to support potential development on the proposed amendment area, the maximum development potential of the property under the present and requested City Community Development Board – December 19, 2017 REZ2017-10012- Page 7 of 10 Level III Zoning Atlas Amendment Review PLANNING & DEVELOPMENT LONG RANGE PLANNING DIVISION Future Land Use Map designations were analyzed (see Table 1). Even though this is a Zoning Atlas amendment application, maximum development potential is based on the underlying future land use, so for purposes of this analysis sufficiency of public facilities is based on the future land use map designation. Table 1. Development Potential for Existing & Proposed FLUM Designations Present FLUM Designation “R/OG” Requested FLUM Designation “CG” Net Change Site Area 2.807 AC (122,272 SF) 2.807 AC (122,272 SF) Maximum Development Potential 42 DUs1 61,136 SF 0.50 FAR 67 DUs2 67,249 SF 0.55 FAR 25 DUs 6,113 SF 0.15 FAR Notes: 1. Residential uses permitted through consistent Office (O) District as part of mixed-use project. 2. Residential uses permitted through consistent Commercial (C) District as part of mixed-use project, or potentially through a Comprehensive Infill Redevelopment Project. Abbreviations: FLUM – Future Land Use Map DUs –Dwelling Units AC – Acres FAR –Floor Area Ratio SF – Square feet As shown in the table, there is an increase in development potential across the amendment area which would increase demand on most public facilities, but would not degrade them below acceptable levels as detailed below. The following analysis compares the maximum potential development of the proposed Commercial General (CG) future land use developed with a self-storage use (67,249 square feet) to the maximum development potential of the existing Residential/Office General (R/OG) future land use category developed with an office use (61,136 square feet). Potable Water The increase in development potential from this amendment would result in an increase in potable water use of 612 gallons per day. This is determined by comparing the potential potable water utilization of the maximum square footage allowed by the proposed land use developed with a nonresidential use (6,725 gallons per day) to the potential utilization of a nonresidential use built out to the maximum square footage allowed by the current land use designation (6,113 gallons per day). Wastewater The increase in development potential from this amendment would also result in an increase in wastewater production of 489 gallons per day. This is determined by comparing the potential wastewater generation of the proposed land use developed with a nonresidential use (5,379 gallons) to the potential wastewater generation of the current land use designation developed with a nonresidential use (4,890 gallons). Community Development Board – December 19, 2017 REZ2017-10012- Page 8 of 10 Level III Zoning Atlas Amendment Review PLANNING & DEVELOPMENT LONG RANGE PLANNING DIVISION Solid Waste The proposed amendment could result in an increase of 70.3 tons per year of solid waste generated when comparing the amount of waste generated by a warehouse use to that of an office use. All solid waste disposal is handled by Pinellas County at the Pinellas County Waste-to-Energy Plant and the Bridgeway Acres Sanitary Landfill which has significant capacity. Additionally, the City provides a full-service citywide recycling program which diverts waste from the landfill, helping to extend the lifespan of Bridgeway Acres. There is excess solid waste capacity to serve the amendment area. Parkland The City’s adopted LOS for parkland acreage, which is 4 acres per 1,000 population, will not be impacted by this proposed amendment. Under both the existing and proposed land use, the LOS citywide will remain at 15.46 acres per 1,000 population. Stormwater Site plan approval will be required before the property can be redeveloped. At that time, the stormwater management system for the site will be required to meet all City and SWFWMD stormwater management criteria. Streets The subject property is located at the southwest side corner of South Duncan Avenue and Rainbow Avenue, approximately 280 feet north of Gulf to Bay Boulevard. To evaluate potential impacts to streets, the typical traffic impacts figure (trips per day per acre) in the Countywide Rules for the corresponding Countywide Plan Map categories (current and proposed) are compared. The current number of trips per day (250 trips) is calculated based on the typical traffic generation numbers for the Office (O) category (89 trips per day per acre). The proposed Countywide Plan Map category of Retail & Service (R&S) (433 trips per day per acre) would increase the number of trips per day to 1,215 trips per day. This is an increase of 965 trips per day compared to the number of trips under the current designation. The proposed self-storage use, if constructed, would generate fewer trips overall; however, evaluations of potential impacts are based on the maximum impacts possible through the proposed future land use changes. Recommended Conclusions of Law: Based upon the findings of fact, it is determined that although the proposed change will result in increased demand on many public facilities, it will not result in the degradation of the existing levels of service for potable water, sanitary sewer, solid waste, parkland, stormwater management and streets. Community Development Board – December 19, 2017 REZ2017-10012- Page 9 of 10 Level III Zoning Atlas Amendment Review PLANNING & DEVELOPMENT LONG RANGE PLANNING DIVISION Location of District Boundaries [Section 4-602.F.6] Recommended Findings of Fact: Although the proposed location for the Commercial (C) District is consistent with the ownership lines for the parcel and would consolidate the subject property into a single zoning district, the proposed rezoning would result in the expansion of the Commercial (C) District across South Duncan Avenue. South Duncan Avenue is an appropriate street to continue to serve as the line of demarcation between the existing Office (O) District on the west side of street and the Commercial (C) District on the east side of the street. Recommended Conclusions of Law: The District boundaries are appropriately drawn regarding ownership lines, existing improvements and the natural environment. However, the District boundaries are inappropriately drawn regarding location and classifications of streets. SUMMARY AND RECOMMENDATION: No amendment to the Zoning Atlas shall be recommended for approval or receive a final action of approval unless it complies with the standards contained in Section 4-602.F, Community Development Code. Table 2 below depicts the consistency of the proposed amendment with the standards pursuant to Section 4-602.F: Table 2. Consistency with Community Development Code Standards for Review CDC Section 4-602 Standard Consistent Inconsistent F.1 The proposed amendment is consistent with and features the goals, policies and objectives of the Comprehensive Plan and furthers the purposes of this Development Code and other city ordinances and actions designed to implement the plan. X F.2 The available uses to which the property may be put are appropriate to the property which is subject to the proposed amendment and compatible with existing and planned uses in the area. X F.3 The amendment does not conflict with the needs and character of the neighborhood and the city. X F.4 The amendment will not adversely or unreasonably affect the use of other property in the area. X F.5 The amendment will not adversely burden public facilities, including the traffic-carrying capacities of streets, in an unreasonably or disproportionate manner. X F.6 The district boundaries are appropriately drawn with due regard to locations and classifications of streets, ownership lines, existing improvements and the natural environment. X Community Development Board – December 19, 2017 REZ2017-10012- Page 10 of 10 Level III Zoning Atlas Amendment Review PLANNING & DEVELOPMENT LONG RANGE PLANNING DIVISION The proposed use is inconsistent with certain goals and objectives of the Comprehensive Plan. The proposed use is inconsistent with the City’s strategic economic development plan. The property is not economically underutilized. The existing use of the property constitutes a higher level of viable economic use. The transition of properties along the Gulf to Bay Boulevard corridor to storage and warehousing does not constitute a preferred or desirable characteristic of this corridor. Large parcels with limited to no impacts as the result of constrained or limited employment and little or no traffic or trip generation resulting from lack of economic activity are not inherently advantageous or compatible with adjoining communities. To the contrary, such uses and activities lend themselves more appropriately to areas more suitable for limited commercial, employment, and transportation constraints. Based on the foregoing, the Planning and Development Department recommends the following action: Recommend DENIAL of the Zoning Atlas amendment from Office (O) District to Commercial (C) District. Prepared by Planning and Development Department Staff: Lauren Matzke, AICP Long Range Planning Manager ATTACHMENTS: Ordinance No. 9102-18 Resume Photographs of Site and Vicinity LUP2017-10011 / REZ2017-10012 Rental Houses, LLC 300 South Duncan Avenue Page 1 of 2 View looking west at the subject property, 300 South Duncan Avenue, from South Duncan Avenue East of the subject property, across South Duncan Avenue View looking southwesterly at the subject property, 300 South Duncan Avenue, from Rainbow Drive North of the subject property, across Rainbow Drive View looking easterly along Rainbow Drive View looking westerly along Rainbow Drive LUP2017-10011 / REZ2017-10012 Rental Houses, LLC 300 South Duncan Avenue Page 2 of 2 View looking northerly along South Duncan Avenue View looking southerly along South Duncan Avenue 1 Call, Rosemarie From:Marino Kolitsopoulos <marino@advancedrealtygroupinc.com> Sent:Friday, January 12, 2018 5:17 PM To:Matzke, Lauren; Kuligowski, Patricia; Call, Rosemarie Subject:RE: 300 S. Duncan LUP-2017-10011 and REZ-2017-10012 Excellent, please add my letter to the record and present it to the Council when appropriate. Thank you. From: Matzke, Lauren [mailto:Lauren.Matzke@MyClearwater.com] Sent: Friday, January 12, 2018 9:12 AM To: Marino Kolitsopoulos; Kuligowski, Patricia; Call, Rosemarie Cc: Soto, Camilo Subject: RE: 300 S. Duncan LUP-2017-10011 and REZ-2017-10012 Thank you for the email. Please note that the applicant has requested that these cases be continued to the April 4, 2018 City Council meeting. From: Marino Kolitsopoulos [mailto:marino@advancedrealtygroupinc.com] Sent: Thursday, January 11, 2018 4:58 PM To: Kuligowski, Patricia <patty.kuligowski@myclearwater.com>; Call, Rosemarie <Rosemarie.Call@myClearwater.com>; Matzke, Lauren <Lauren.Matzke@MyClearwater.com> Cc: Soto, Camilo <Camilo.Soto@MyClearwater.com> Subject: 300 S. Duncan LUP‐2017‐10011 and REZ‐2017‐10012 To Whom It May Concern, My name is Marino Kolitsopoulos and my company, 1250 Main LLC, owns the property located at 1712 Gulf to Bay Blvd. Recently, I was sent notice from the City that a property in the neighborhood located at 300 S. Duncan has been attempting to rezone to a Commercial zoning. I believe that this rezoning request is quite logical and brings a level of symmetry to the zoning map that it is currently lacking. My block for instance is exactly east of the area in question and has commercial zoning from Gulf to Bay all the way to Rainbow. Why should their block be zoned and treated any differently? Also, I believe that what Mr. Dorman and his group are doing will be a great improvement to the neighborhood. Currently 300 S. Duncan is an undesirable office structure that lacks the traffic and commercial frontage that is needed for a viable office complex today. Given the location of this property, it would seem that a use like storage would directly benefit the neighborhood more than an office complex; and may be the best use for this site. As it is now the 21st Century and technology has forced the office into our homes, automobiles, and pockets, the need for office space for smaller businesses is almost non‐existent. This is evidenced by the increasing number of office properties becoming run down and obsolete; just like this one. As technology continues to change our society, the need for local government to keep up and evolve to meet the municipal needs is paramount. Zoning will need to continue to evolve to serve the public properly and get beyond the idea of preserving a past that is no longer relevant. Respectfully, Marino Kolitsopoulos, CEO Advanced Realty Group, Inc. 2 2630 West Bay Drive Suite 105 Belleair Bluffs, FL 33770 727‐518‐8500 727‐518‐8553 fax 727‐418‐1773 direct Right-click or tap and hold here to download pictures. To help protect your privacy, Outlook prevented automatic download of this picture from the Internet. Virus-free. www.avg.com 1 Call, Rosemarie From:Matzke, Lauren Sent:Monday, January 15, 2018 1:45 PM To:Call, Rosemarie Subject:Fwd: 300 S Duncan/Skycrest Attachments:SKM_C25817121911070.pdf Sorry about that! I thought this had made it over earlier. Thanks for adding it! Get Outlook for iOS From: JoAnna Siskin <jsiskin@usameribank.com> Sent: Tuesday, December 19, 2017 10:09:19 AM To: Matzke, Lauren Subject: 300 S Duncan/Skycrest Lauren attached is the letter from Skycrest opposing the project at 300 S Duncan. JoAnna Siskin Retail Operations Coordinator 1617 Gulf to Bay Blvd Clearwater FL 33755 P: 727‐445‐6718 E: jsiskin@usameribank.com F: 727‐298‐0134 NOTICE: Pursuant to the Electronic Communications Privacy Act, 18 U.S.C. ?? 2510‐2522, the contents of this e‐mail and the attachments hereto (if any) are confidential, privileged, and/or otherwise exempt from disclosure and are intended only for disclosure to and use by the intended recipient of this message. If you are not the intended recipient of this message, the receipt of this message is not intended to and does not waive any applicable confidentiality or privilege and you are hereby notified that any dissemination, distribution, printing, or copying of the contents of this e‐mail is strictly prohibited. If you are not the intended recipient, please notify us by telephone or e‐mail and delete this e‐mail from your system. Further, e‐mail transmissions are not guaranteed to be secure or error‐free because information can be intercepted, corrupted, lost, destroyed, arrive late or incomplete, or contain viruses. WE THEREFORE EXPRESSLY DISCLAIM ANY REPRESENTATION OR WARRANTY REGARDING THE SAFETY AND INTEGRITY OF THIS E‐MAIL AND FOR ANY ERRORS OR OMISSIONS IN THE CONTENTS OF THIS E‐MAIL THAT ARISE AS A RESULT OF THIS TRANSMISSION OR ANY SUBSEQUENT RE‐TRANSMISSION Mission Statement: Clearwater Neighborhoods Coalition works to enhance quality of life, safety and sustainability for our City and its neighborhoods. www.ClearwaterCoalition.org ClearwaterNeighborhoods@gmail.com Like us on Facebook March 24, 2018 Re: Agenda Item Concerning Proposed Self-Storage Facility at 300 S. Duncan Avenue Mayor Cretekos and Members of City Council: The Clearwater Neighborhoods Coalition supports the Skycrest Neighborhood in objecting to the construction of a large storage facility at 300 S. Duncan Avenue on the grounds that this facility is incompatible with the scale and character of this neighborhood. Specifically, the developer is requesting permission to replace the existing office buildings with a 91,883 square foot self-storage facility, “with flexibility from lot width, height, setback and landscape requirements.” The facility would include six buildings, maximum 35 feet high, and a minimum of 43 parking spaces. The area that is being considered is inside Skycrest neighborhood, a densely developed area consisting primarily of older, one-story homes, including small-scale“starter homes,” mid-sized homes, and scattered two story apartment homes. Its neighborhood association has done a remarkable job of organizing its residents to work together to create a sense of “neighborhood” by providing a wide variety of activities for its own residents and for residents of the city. As one of Clearwater’s older neighborhoods, Skycrest residents have shown a commendable initiative to rehabilitate their homes and revitalize their neighborhood. Property values have increased and the neighborhood won a well-deserved award for its efforts at our CNC mini conference earlier this month. CNC members point out that, in addition to its scale problems and its inappropriate “fit” with the character of that neighborhood, storage shed customers come and go at all hours, creating possible noise and privacy problems for the neighborhood. Furthermore, six buildings with flexibility from lot width, height, setback and landscape requirements increases concern for sustainability, as well as visual obstruction. Additionally, storage facilities represent “dead space,” offering no potential for jobs and small businesses such as bakeries, hair salons, etc., for example, which would be more fitting with the character of this neighborhood. A storage facility is better suited for industrial areas and other less densely developed areas with lots not so narrowly spaced. It should be noted that we of the CNC are not opposed to development, but we believe that businesses and neighborhoods can benefit each other if properly placed and managed. We see no benefit to the neighborhood in this request and we strongly urge the council to reject it. Sincerely, Karen Cunningham, President Clearwater Neighborhoods Association 405 South Duncan Avenue / Clearwater, Florida 33755 (727) 298-8077 / Fax (727) 441-2362 March 28, 2018 To Whom It May Concern, My name is Jim Townsend and my company, Townsend Constructors, Inc., owns the property located at 405 Souh Duncan Avenue. Recently, I was sent notice from the City that a property in the neighborhood located at 300 S. Duncan has been attempting to rezone to a Commercial zoning. I believe that this rezoning request is quite logical and brings a level of symmetry to the zoning map that it is currently lacking. My block for instance is exactly east of the area in question and has commercial zoning from Gulf to Bay all the way to Rainbow. Why should their block be zoned and treated any differently? Also, I believe that what Mr. Dorman and his group are doing will be a great improvement to the neighborhood. Currently 300 S. Duncan is an undesirable office structure that lacks the traffic and commercial frontage that is needed for a viable office complex today. Given the location of this property, it would seem that a use like storage would directly benefit the neighborhood more than an office complex; and may be the best use for this site. As it is now the 21st Century and technology has forced the office into our homes, automobiles, and pockets, the need for office space for smaller businesses is almost non-existent. This is evidenced by the increasing number of office properties becoming run down and obsolete; just like this one. As technology continues to change our society, the need for local government to keep up and evolve to meet the municipal needs is paramount. Zoning will need to continue to evolve to serve the public properly and get beyond the idea of preserving a past that is no longer relevant. And please remove the roundabout in front of this office building. It serves no purpose other than to confuse elderly drivers and destroy alignments on cars, trucks and buses as it has too short of a radius. Respectfully, Jim Townsend VP Townsend Constructors, Inc CC; file TrafficDaily Traffic11.01 trips/ksf780 Trips2.50 trips/ksf191 Trips -589-75%Peak Hour Trips1.49 trips /ksf106 Trips0.26 trips/ksf20 Trips -86-81%Driveways onto Rainbow Ave3 NoneBuilding AreaFloor Area Gross 70,855 sf 76,490 sf 5,635 sfSite CoverageBuilding Coverage 34,065 sf 30,315 sf -3,750 sfPavement Area 74,532 sf 43,145 sf-31,387 sf-42%Sidewalk Area 2,520 sf 4,200 sf 1,680 sfOpen Space 16,260 sf 56,577 sf40,317 sf46%Parking Area Open Space11,860 sf5,000 sf-6,860 sfTotal0 sfStormwater ManagementStormwater Quality Treatment None Current StandardsStormwater Detention None Current Standards100%100%139,237 sf139,237 sfCHANGE-100%ITE Code 151ITE Code 710Self StoragePROPOSED USEOfficeCURRENT USEGULF TO BAY SELF STORAGE Cover Memo City of Clearwater City Hall 112 S. Osceola Avenue Clearwater, FL 33756 File Number: ID#18-4513 Agenda Date: 4/16/2018 Status: Agenda ReadyVersion: 1 File Type: City Manager Verbal Report In Control: Council Work Session Agenda Number: 9.1 SUBJECT/RECOMMENDATION: City Hall Relocation SUMMARY: Following the approval of the referendum supporting the Imagine Clearwater initiatives last November, staff began looking at different ways to advance Imagine at a quicker pace. Staff feels the pressure from Downtown Stakeholders and others to avoid losing the momentum created by Imagine Clearwater. In February the Council approved preliminary design on the project, and staff expects the full design to be completed in 2019. Looking toward to 2019, staff has been working to identify possible hurdles to the implementation of Imagine, and City Hall has been identified as a significant one. The main issue with the City Hall site surrounds the proposed multi-modal site that PSTA is planning for, and the possibility of a joint city/county building on the site where the current PSTA transfer station sits. While discussions with the County on a joint facility are ongoing, the leading candidate for construction of such a building is on the site currently housed by PSTA’s downtown transfer station, which will not be relocated until after PSTA’s multi-modal facility has been constructed, which is estimated to be in 2021. This means that if we do choose the PSTA site to construct a new City Hall, construction would not be able to commence until at least 2021, and potentially further out. Should we choose not to move City Hall to the PSTA site, funding will be an issue. City Hall is currently funded for Penny IV, which means funds to construct a new City Hall would not be available until 2020 at the earliest, and in that case, only if other projects were pushed out further. All of these timelines disrupt our ability to advance Imagine Clearwater. The City Hall site is a key part of the plan, for the targeted mixed use of the site, as well as the funds that will be generated by that sale or lease of the property. In an effort to mitigate the above issue, staff began to review possible solutions to this complex issue. What resulted was a review of the carrying costs of City Hall. That review was then updated in April of 2018 to include estimated costs for the upcoming year and the addition of a line item for Building Security, which had not been contemplated in the 2017 review. These costs break out into three categories. Hard costs, which are costs that are directly attributed to occupation of City Hall. Soft costs, which are costs that are estimated for Building Maintenance and A/C system work and are estimated based on the impact of particular building to the system as a whole. Capital costs that are attributed to long term replacement or renovation of various major expense items and are typically budgeted for over several years. Hard Costs: Soft Costs: Capital Costs: Total Costs: Page 1 City of Clearwater Printed on 4/16/2018 File Number: ID#18-4513 Following the initial review of the carrying costs of City Hall, staff worked to identify options that would use the on-going savings that would occur demolishing City hall to fund a temporary solution for City Hall yet staying consistent to the Downtown Plan’s goal of keeping the city’s government central to downtown clearwater. In doing this review staff identified only one office building that was advertising enough space to house all the departments within City Hall, One Clearwater Tower (Bank of America Building). This site has two floors that could accommodate the occupants of City Hall. One of the floors is just over 13,000 square feet and would require a full renovation. The other floor has the same square footage but is already built out, with the current tenant vacating in August. Staff would like direction on moving forward with Lease negotiations with One Clearwater Tower. The advertised lease rate is below the annual total cost for the operations of our current City Hall and staff believes we have an opportunity for savings with this move as well as placing the city in a more flexible position not only to move forward with Imagine Clearwater, but get a greater return on how we are spending public dollars for the maintenance and repair of city infrastructure needs. APPROPRIATION CODE AND AMOUNT: N/A USE OF RESERVE FUNDS: N/A Page 2 City of Clearwater Printed on 4/16/2018 Cover Memo City of Clearwater City Hall 112 S. Osceola Avenue Clearwater, FL 33756 File Number: ID#18-4484 Agenda Date: 4/16/2018 Status: Agenda ReadyVersion: 1 File Type: Presentation(s) for Council Meeting In Control: Council Work Session Agenda Number: 14.1 SUBJECT/RECOMMENDATION: April Service Awards SUMMARY: 5 Years of Service Kelly Pierce Police Yusupha Touray Gas Elizabeth Favata Fire Michael Remillet Fire Logan Cruz Fire William Billups Fire Justin Suhanovsky Fire Justin Smith Fire Daniel Knight Planning and Development Jesus Roldan Trejo General Services 10 Years of Service Michael Hasty Police Margaret Hasty Police 15 Years of Service Michael Olsa Public Utilities Louis Beem Solid Waste 25 Years of Service James Charon Public Utilities Ramon Cosme Police 30 Years of Service William New Public Utilities Page 1 City of Clearwater Printed on 4/16/2018 Cover Memo City of Clearwater City Hall 112 S. Osceola Avenue Clearwater, FL 33756 File Number: ID#18-4483 Agenda Date: 4/16/2018 Status: Agenda ReadyVersion: 1 File Type: Presentation(s) for Council Meeting In Control: Council Work Session Agenda Number: 14.2 SUBJECT/RECOMMENDATION: Habitat for Humanity Build Local Week Proclamation - Mike Sutton, CEO of Habitat for Humanity of Pinellas County, Inc. SUMMARY: APPROPRIATION CODE AND AMOUNT: USE OF RESERVE FUNDS: Page 1 City of Clearwater Printed on 4/16/2018 Cover Memo City of Clearwater City Hall 112 S. Osceola Avenue Clearwater, FL 33756 File Number: ID#18-4498 Agenda Date: 4/16/2018 Status: Agenda ReadyVersion: 1 File Type: Presentation(s) for Council Meeting In Control: Council Work Session Agenda Number: 14.3 SUBJECT/RECOMMENDATION: World Landscape Architecture Month Proclamation - John DelVitto, American Society of Landscape Architecture (Tampa Chapter) SUMMARY: APPROPRIATION CODE AND AMOUNT: USE OF RESERVE FUNDS: Page 1 City of Clearwater Printed on 4/16/2018