Fort Walton Beach Council agenda — 02-14-12 cra — reading text

ent is not well scattered about, service and mechanical equipment i ighl " visible, and maintained. The appearance is not inviting and does t give the app e, of being a from this major entrance to stores or other establishments; oughy visitors app- side due to the proximity to nearby amenities. The overall goal of this program is to funding uti , a public- private partnership to encourage future fapade improvements Woks Street Sc g and fagade treatments can include: equipment on the Brooks St. f upade Screening of utility/ elec Undergrounding of lines; Use of a parapet or oof to p electrical equipment; Parking lot re: catures, including landscaped medians, the Brooks Street entrance with outdoor islands, and landscap ches, i seating at Use o . L fiu create visually interesting features on the Brooks Street fa ` where windiC livable ( i. e. through banding, differentiation of materials, se of arcades, le '` Ting a " front porch" area; or parapet signage with adequate lighting; of a entryway or gateway to encourage pedestrian traffic through this Finally, in order to ensure continued maintenance of completed CRA projects, this plan establishes ongoing installation and maintenance of public infrastructure and projects is in the best interest of the CRA district. The CRA funds numerous capital projects that extend beyond the definition of typical public infrastructure projects. Specifically, ongoing maintenance includes sewer lines, water lines, stormwater management facilities, pavement, sidewalk, curb and gutter, and any public property, facility, or rights -of -way located in the CRA district. Provision of ongoing maintenance helps further the ultimate goal of eliminating slum and blight through upkeep of public projects and properties February 2012 City of Fort Walton Beach Packelpg. 59..  7. 2 Community Redevelopment Agency 0 To: ENGINEERING & UTILITY SERVICES MEMORANDUM Robert T. Meams, City Manager From: Michael Beedie, Engineering & Utility Services Director Date: February 14, 2012 Subject: Economic Incentive Programs BACKGROUND: 1. 1. In the FY 2010 -11 CRA budget, a total of $500, 000 was allocated towards Economic Incentive Programs in CIP 5608. 1. 2. At the November 3, 2010, CRA Board Regular Meeting, Staff provided numerous examples of the various economic incentive programs in use throughout the State in other CRA Districts. 1. 3. At the January 5, 2011, CRA Board Regular Meeting, the Commissioners prioritized the following five economic incentive programs: 1. 3. 1. Exterior Improvement Assistance Program - This program would provide assistance to both residential and commercial developments for the cost of exterior improvements. The level of assistance would need to be developed. 1. 3. 2. Job Creation Bonus Program - This program is an economic development program that would provide an incentive to both new and existing businesses that create a minimum number of new qualifying jobs to the CRA District. The incentive would be based on the number of jobs created and could be based on the certifiable wages, paid out over a period of time. 1. 3. 3. Relocation & Development Assistance Program - This is another economic development program that provides incentives for companies outside of the City to relocate to the CRA District The incentives would cover a percentage of the relocation expenses and could be based on the number of jobs created in the CRA. Smaller incentives could be developed for companies currently located within the City limits that relocate into the CRA. 1. 3. 4. Redevelopment Revolving Loan Fund - This program would provide assistance to developers and/ or businesses in obtaining loans for new construction or renovations. The program would setup partnerships with local banks and lending agencies to provide the necessary funding to complete the proposed improvements. CRA funds would be distributed as low -interest loans paid back over time with the interest received used for other grant opportunities. This program is similar to the Florida Department of Environmental Protection' s State Revolving Fund Loan program for water and wastewater. 1. 3. 5. Land Value Investment Program - The first step in this program is to develop a land bank within the CRA District by purchasing available properties. Staff is Packet Pg. 60  72 Community Redevelopment Agency 0 To: ENGINEERING & UTILITY SERVICES MEMORANDUM Robert T. Meams, City Manager From: Michael Beedie, Engineering & Utility Services Director Date: February 14, 2012 Subject: Economic Incentive Programs currently developing a list of available properties that could potentially be purchased with CRA funds and leased to developers at a reduced rate based on the type of development. 1. 4. At the May 10, 2011, CRA Board Regular Meeting, which was the first CRA Board meeting with City Council sitting as the CRA Board of Commissioners, the prioritized list of the top five economic incentive programs was discussed, and the new CRA Board selected the Land Value Investment Program and Redevelopment Revolving Loan Fund as the programs to move forward. 2. DISCUSSION: 2. 1. In FY 2010 -11, the CRA TIF revenues were $ 1, 580,362 with $ 247, 164 allocated to Personal Services, $ 456, 669 allocated to Operating Expenditures, $ 805, 500 allocated to Capital Outlay and Capital Improvement Programs, and $ 71, 029 transferred to the General Fund. 2. 1. 1. In the FY 2010 -11 CRA budget, a total of $500,000 was allocated towards Economic Incentive Programs in CIP 5608, 2. 2. In FY 2011 -12, the CRA TIE revenues are projected to be $ 1, 416,522 with $482,850 allocated to Personal Services, $ 554,043 allocated to Operating Expenditures, $ 302,600 allocated to Capital Outlay and Capital Improvement Programs, and $ 77,029 transferred to the General Fund. 2. 2. 1. In the FY 2011 - 12 CRA budget, a total of $217, 936 was allocated towards Economic Incentive Programs. 2. 3. Since the May 2011 CRA Board Regular Meeting, Staff has begun the development of the following programs geared towards economic development and / or redevelopment: 2. 3. 1. Redevelopment Revolving Loan Fund, which can offer low interest loans between $ 10,000 and $ 100, 000 to new or expanding businesses within the CRA for qualifying expenses to close the gap between conventional financing. The developer would be required to invest a minimum of 15 percent equity into the business along with the creation of new jobs in the area. 2. 3. 2. Land Value Investment Program to evaluate properties throughout the CRA that are abandoned or foreclosed to determine whether or not the CRA should acquire and rehabilitate the property to encourage private investment. Packet Pg. 61  7.2 Community Redevelopment Agency ENGINEERING & UTILITY % V MEMORANDUM To: Robert T. Meams, City Manager From: Michael Beedie, Engineering & Utility Services Director Date: February 14, 2012 Subject: Economic Incentive Programs 2. 3. 3. Nuisance Abatement Program would offer property owners with Code Enforcement violations up to $ 10, 000 to complete the necessary repairs or cleanup to bring their property into compliance. 2. 3. 4. Development Assistance Program would offer assistance to new or expanding businesses with development fees, such as permitting fees, water and sewer connection fees, and / or water and sewer impact fees. 3. FINANCIAL INFORMATION: 3. 1. The funding allocated in FY 2010 -11 and FY 2011 - 12 towards economic incentive programs resides within the CPA Fund Balance and would be utilized on a " first come, first serve" basis for applications. A portion of the funding will be used in the development and " marketing" of each program. 4. RECOMMENDATION: 4. 1. Staff requests CRA Board approval of the Economic Incentive Programs currently in development. If approved, Staff will proceed with developing the guidelines and funding appropriations for each program and bring the final drafts of the program guidelines back to the CRA Board for final approval at a future meeting. ATTACHMENTS: DOC) Revolving Loan Fund Program Guidelines - Draft 02 -07 -12 ( Land Value Investment Program Guidelines - Draft 02 -07 -12 ( DOC) DOC) Nuisance Abatement Program Guidelines - Draft 02 -07 -12 ( Development Assistance Program Guidelines - Draft 02 -07 - 12 ( DOC) SIGNATURE BLOCK: Michael Beedie Completed 02/ 08/ 2012 9: 52 AM Carole Jones Completed 02/ 08/ 2012 10: 04 AM Completed 02/ 08/ 2012 1: 49 PM City Manager Community Redevelopment Agency Pending