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Fort Walton Beach Council agenda — 11-21-06 (special) — reading text
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same. It is not legally
possible to satisfy the terms of section 2.00.05 of the Code of Ordinances.
A suggestion was made that the City Council could amend section 2.00.05 of the Code of Ordinances to
permit the direct sale of some of the property to the Fair Association. I do not advise that you should amend
section 2. 00.05 to simply satisfy this particular situation. You should amend the Code to address general issues
of the City not this type of a specific issue that is better handled through an ordinance which is not codified.
Further, section 616.07, Florida Statutes, states that " all money and property of [a Fair] association shall,
except for the payment of its just debts and liabilities, be and remain perpetually public property, administered
by the association as trustee . . . ." ( e. s.) Upon dissolution of an association, any public property or funds
remaining are to be distributed to any county or municipality within the county unless such property has been
contributed to a county or municipality, then the property shall be reconveyed to the municipality or county
making the contribution."
Therefore, it is my opinion that an ordinance authorizing an interlocal agreement would be a more
preferable method of legislating the transfer of any property interests to the Fair Association. If Council wants
to permit the Fair Association to remain on the City property, without the same oversight as with the License
Agreement, you could 1) direct the City Attorney and City Manager to draft an ordinance and interlocal
agreement to accomplish that objective or 2) direct the City Attorney and City Manager to negotiate a lease with
the Fair Association. If anyone has questions, please contact me.
Toni L. Craig
Attorney at Law
Fla Bar No 115444
244 Racetrack Rd NE
Fort Walton Beach FL 32547
850) 243-6969
Fax: ( 850) 244-8929
The contents of this message may be at orney-client privileged. Do not disseminate to any other person and please ask if
you are uncertain.
10/ 30/ 2006
Page 1 ot '2
Joyce Shanahan
From: Toni L Craig [ toni@tlcpa. gccoxmail. com)
Sent: Monday, August 07, 20065: 19 PM
To: BobcampbeIl114@aol.com; PAPA1172@aol.com; aaPullen@cox. net; Joyce Shanahan; Mike
Anderson; jmtucker1@cox. net; MIKEYCMAT@aol.com; 4eagles@cox. net; mike@seminc. net;
Helen Spencer
Subject: NWFFA @ 1958 Lewis Turner Blvd, Sale of Property
Council
There was conversation regarding sale of the property at 1958 Lewis Turner Blvd to NWFFA. This is my advice
regarding a sale of any of the 42. 57 acres located at approximately 1958 Lewis Turner Blvd.
Pursuant to section 166. 021, Fla. stats., the City has the " governmental, corporate, and proprietary powers to
enable it to conduct municipal government, perform municipal functions, and render municipal services, and may
exercise any power for municipal purposes, except when expressly prohibited by law." " Municipal purpose"
means any activity or power which may be exercised by the state or its political subdivisions. The provisions of
section 166. 021 are to be " construed as to secure for municipalities the broad exercise of home rule powers
granted by the constitution. . . for municipal govemmental, corporate, or proprietary purposes not expressly
prohibited by the constitution, general or special law, or county charter and to remove any limitations, judicially
imposed or othelWise, on the exercise of home rule powers other than those so expressly prohibited.
Sec. 2. 00. 05. City Excess Real Property, of the Code. requires a finding by the city council that a parcel of real property
owned by the City is " unneeded for the immediate and future development/ use requirements of the city and should be
declared excess." " No property shall be considered as U1l1leeded for the immediate and future dev lopment/use requirements
of the city if the city has any existing or projected development/ use for the property." If a property is detennined to be excess.
the Council may declare that the property be disposed of by sealed bid, auction, negotiated sale, or any other manner declared
by the CotUlcil and the City Manager must secure one independent appraisal of the property by a qualified appraiser.
The Bond Ordinance which partially funded the purchase of 1958 Lewis Turner Blvd states: " WHEREAS, the
Borrower finds and declares that there is a substantial need for the financing of a loan ( the " Loan") secured by a
Loan Agreement between the City of Fort Walton Beach, Florida and the Florida Municipal Loan Council for
certain governmental projects listed on Exhibit " A" (the Projects'').'' The " project" was overly inclusive and states:
Purchase of 42. 57 acres of land oonsisting of recreational softball fields, fairgrounds with improvements and
parking area."
The City Manager' s May 5, 2006, memorandum to Council requesting authorization to purchase the property
stated that "the acquisition of this property has been part of the City' s future Capital Improvement Program for the
last several years and the City has continually sought funding avenues for this property. As such over the last
several years the City made several requests of the Okaloosa County Legislative Delegation to secure their
support to sponsor State legislation to fund this community budget request." And further, " the recent passage of
the Florida Land Management Act allowed for the direct purchase of land from the Forestry Service, clearing the
way for the City to permanently acquire the property to ensure our recreational needs are met."
GUiding principals applicable to this decision:
1) a municipal purpose is one that directly benefits the Citiz;ens of the City, and is different than the benefit of the
population as a whole;
2) it COULD be a municipal proprietary purpose to acquire property which would later be disposed at a profit;
3) a " joint public purpose" could be found in a venture that benefits the population as a whole as well as directly
benefiting the citizens of the City.
4) in the direct sale agreement, the City has indemnified and held harmless the Forest Service, and the Forest
Service has relinquished all responsibility for the City' s use and occupancy of the property, including third party
claims and judgments;
5) it is implausible that any portion of this property can be " considered as U1l1leeded" when Council has approved and
there is pending a consultant' s study for a recommendation of "the inunediate and future developmentltlse requirements of the
city" as it pertains to this parcel; and
11/16/ 2006
page 2 ot 1.
of
6) if any of the property is divested, such a divesture may require amendment of the bond documents and/ or satisfaction
the bond amount.
It is my legal conclusion, based on
1) the premises under which the City purchased the property,
2) the conditions of the development of the two parcels at that time, and
3) the consultant's study ongoing now, that
4) at least some portion of the property was intended for City recreational purposes; and that
5) there is, at least until the consultant's report returns, no basis for a determination that the property is
unneeded" for a City municipal purpose.
Nonetheless, recognizing that one or two of you may not agree with this legal conclusion, I offer the following, If
of any portion of the property
anyone of you is inclined to move to have the City divest itself
1) such a motion is not proper until after the consultant' s report is done;
and
2) there must be a recommendation by the City Manager that the property is unneeded for the Immediate
future development/use requirements of the city; and
3) a determination by the City Council of the same; and
4) a further declaration by the Council of how much of the property is to be disposed; and
5) exactly of how each piece of the property is to be disposed.
If anyone has any questions, please contact me.
Toni L. Craig
Attorney at Law
Fla Bar No 115444
244 Racetrack Rd NE
Fort Walton Beach FL 32547
850) 243-6969
Fax: ( 850) 244-8929
The contents of this message may be attorney- client privileged. Do not disseminate to any other person and
please ask if you are uncertain.
11/16/ 2006
NDV- 16- 2006 THU 01: 51 PM FAX No. 18506542792 p. 001
LODGE ' INC..
DEVELOPMENT
606 Highway 98 East
Destin, Florida 32541
850. 654.4437
850.654. 2792 Fax
November 16, 2006
To: Ms. Joyce A.Shanahan via 850.833. 9640
City Manager
City of Fort Walton Beach
From: Mr, Charles W. Rigdon
Northwest Florida Fair Director
Re: Northwest Florida Fairgrounds
the current yearuser list for the
fairground
Joyce, as we discussed today, I bave r:eviewed
of 60% civic, governmental and charitable
buildings. My analysis shows a split
tool show,
organization use and 40% commercial activities (gun show>antique show,
fee schedule
fishing show and others) use. The fairgrounds as you know has a different
and
for the various organizations along with different cost depending on what locations
building the organizations use.
After my analysis of the rental fees, I have discussed with Bull the following scenario
which I believe the Fair can offer to the city to help the burden of the taxpayers to pay for
the land the city purchased last fall.
As we discussed, this years rental to date is $ 120, 000.OO+/which will pay the city
N an
6000. 00 of the base rent of $20, 000. 00. The city collected $ 6000. 00
additional $ on top
for the car show which will bring the total collected to around $ 32,000. 00+/-.
I propose the following changes:
1. Increase the base rent at $2000,00 per month ($ 24, 000. 00 annually)
2. Increase rental override to 20010 from 5%. ($ 24,000.00 annually +/-)
3. Fair to pay 5% of Fair gross income ( admission,booth sales, ride income,
7500. 00
