Fort Walton Beach Council minutes — 02-27-07 workshop minutes — reading text

195 MINUTES OF THE COUNCIL WORKSHOP MEETING OF THE CITY OF FORT WALTON BEACH, FLORIDA FEBRUARY 27, 2007 INTRODUCTION A Council Workshop Meeting of the City Council of Fort Walton Beach, Florida, was held on Tuesday, February 27, 2007 at 5: 30 p. m. \/lAth the following members present: Councilmen: Mike Holmes, Bill Patterson, Bob Campbell, Jim Tucker, Dr. Wayne Pullen, Jim Hartwell, and Mike Minich Also Present: Joyce Shanahan, City Manager; Helen Spencer, City Clerk; Lisa Absher, Finance Director; Toni Craig, City Attorney; and Department Directors CALL TO ORDER The Mayor called the meeting to order. PLEDGE OF ALLEGIANCE The Mayor led in the Pledge of Allegiance. BROWNFIELD DESIGNATION- HILL AVENUE PROPERTY Lisa Absher, Finance Director, described the Department of Environmental Protection' s ( DEP) Brownfield program and discussed how the designation can assist local government's economic development activities and rehabilitate under- utilized or vacant properties back into use and onto the tax roll. Ms. Absher described a " Brownfield" as any property where the expansion, redevelopment or reuse is complicated by actual or perceived contamination. A property with this designation is eligible for incentives, grants, tax credits and other advantageous programs available through the State and Federal Government. Ms. Absher explained that it is possible to have a property without any real contamination be declared a Brownfield, as in some cases only a perception of exposure or contamination is necessary, and to Hurlburt Field or other military facility as enough to enable the cited a property' s proximity Brownfield designation. Discussion visualizing a Brownfield as property that is vacant, under- utilized, or included geographically challenged; getting started with a Brownfield program; and developing the program. Ms. Absher stated that the City-owned parcels within the City' s Commerce and Technology Park would be perfectly suited for designation as a Brownfield; to do so would make the properties eligible for many advantages and incentives for the City and the prospective purchaser. She noted that Federal Express ( FedX) would like to expand their business in the Commerce and Technology Park, and cited an interest in the 1. 5 acres adjacent to their property at 100 Hill Avenue. Ms. Absher stated this site has challenges for redevelopment, including an isolated wetland and Class III particular landfill. Council questioned what disadvantages, if any, there are in a Brownfield designation. Ms Absher replied the possibility of a stigma of contamination on the properties being designated, and there could be a cost involved to the City. Further discussion included other properties within the City that could be designated a Brownfield, including the entire Commerce and Technology Park and the Germany Terrace location since it is underutilized. 196 Council Workshop 2- 27- 07 BROWNFIELD DESIGNATION ( CONTI Since a property that is designated a Brownfield makes a property more marketable, Ms. Absher recommended that the City pursue a Brownfield designation for the 11. 5 acres located near 100 Hill Avenue, and that the City dedicate staff time and other resources as needed to facilitate the designation, and to work closely with FedX or other interested parties in pursuing incentives if they choose to purchase the property from the City. Council questioned what the cost would be for the City to pursue the Brownfield designation. The City Manager responded an outside consultant would need to be hired to assist in the designation process, and that cost would be well within her purchasing authority. She advised if she received a consensus from Council to move forward, Staff will work the issue and return with a cost and other information. Consensus of Council was for the City to pursue a Brownfield designation for the 11. 5 acres located near 100 Hill Avenue, and that the City dedicate staff time and other resources as needed to facilitate a Brownfield designation at this location, and to work closely with FedX or other interested parties in pursuing incentives if they choose to purchase the property from the City. APPRAISALS FOR PROPERTY AT 1958 LEWIS TURNER BLVD. Mr. Hartwell discussed his concern in reference to the possible loss of ad valorem taxes proposed by the Governor, and advised the City begin to consider what plans need to be taken regarding the remaining 26 acres of property it owns at Lewis Turner Blvd. Mr. Hartwell advised that the City purchased the property for $4 million, and that two appraisals were done; the first appraisal being $ 14 million and the second being $ 11 million. He stated his feeling that the property is a nest egg for the City and if it were sold, the property would provide a way to offset potential loss of ad valorem taxes. The Mayor stated that because there is a bond as part of the agreement for the remaining property, it is has to be for public purpose until the bond is settled. The City Manager stated she believes that is a five- year stipulation, but that is something that could be worked out if Council decides to sell the property. Discussion ensued regarding the need for a master plan proposed for the property, since it was voted down by Council in the fall. The City Manager advised part of the process of the master plan is to gain public feedback, but feedback could be obtained through regularly scheduled Council workshops. Mr. Minich stated his feeling that since Council voted to reinstate the lease with the Fair Association and voted not to do a master plan, Council should move forward with what has been voted on. Mr. Hartwell noted that at that time Council did not have fair market appraisal of the property and that the City should consider options since the \NOrth of the property is now known. Further discussion included that the City is in excellent financial shape and that in the event of an "~ emergency the City can borrow against the property. The Mayor asked for public input. Virgil Miller, 26 Chelsea Drive, and candidate for Council, commended Council for the purchase and also feels the property is money in the bank for the City. There was no more public input.  197 Council Workshop 2- 27 -07 APPRAISALS FOR PROPERTY ( CONT) Mr. Tucker stated his feeling the City should consider selling the property in the future and bring it onto the tax rolls. The Mayor reiterated this topic was for discussion purposes to obtain Council' s thoughts regarding any future actions. ADJOURNMENT Being no further business, the meeting adjoumed at 6: 30 p. m. fY)~ : tJ'7 J;: APPROVED: MAYOR: iuk A1t1F CITY CLERK Ive