Okaloosa County Tourist Development Council — October 16, 2012 — Minutes — reading text

project is $6 Million. Phase one will cover design- build and architectural services for a cost of $166,597. He pointed out there is verbiage to cancel the work if the county is not successful in the appeal challenge regarding the Reverter Clause at the Shalimar Annex. (NOTE: In February 2012, Lord & Son was selected as the top- ranked firm out of the 12 firms which responded to the Request for Proposals issued in November 2011.) Mr. Curry stated this contract will cover Phases I and II and there will be an opportunity to terminate the contract at the end of Phase I if the county loses the appeal challenge. Mr. Parisot stressed the importance of this contract coming back to the Board at the end of Phase I. Mr. Curry continued, saying there is a critical timeline to be considered. It is anticipated a decision will be made in the legal challenge by February or March 2013. If the county is successful in the challenge, it should be prepared to begin renovations because the lease for the Property Appraiser and Tax Collector at Up Town Station will expire in February 2014. Upon inquiry by Mr. Roberts, Mr. Curry stated a priority will be placed on renovating office spaces for the Property Appraiser and Tax Collector at the Shalimar Annex which will eliminate the half- million dollar lease rental for their offices. Mr. Parisot made motion, seconded by Mr. Roberts, to approve the contract with Lord & Son Construction for Phases I and II with the proviso the contract is returned to the Board for review before Phase II. 4 yeas. PUBLIC HEARING – REQUEST OF PHILLIP AND DEBORAH JENNINGS TO VACATE PORTION OF 15TH STREET IN PINE CREST S/D, NICEVILLE (6:30 P.M. Mr. Stanford read the advertised legal notice for public hearing to consider the request of Mr. and Mrs. Phillip Jennings to vacate the northern one-half of unimproved 15th Street, measuring 25 feet by 150 feet and lying west of Pine Avenue and south of October 16, 2012 -6- Minute Book 68, Page Okaloosa County Board of County Commissioners and adjacent to Lots 10, 11, and 12 of Block 66, Valparaiso Realty Company’s Pine Crest Addition to Valparaiso. Mrs. Fedorak stated this subdivision was platted in 1926. She th pointed out the adjoining portion of 15 Street was previously vacated by the Board. Mrs. Fedorak reported some opposition to the request has been received. Mr. Amunds stated that earlier today he received faxed letters from Wayne Watts opposing the vacation. Mrs. Fedorak said some children and families use this area as a pass-through, stating there are no sidewalks on Valparaiso Boulevard. She also advised that if it is approved, the county will retain a utility easement. Mr. Amunds opened the floor for public comment but no one came forward to speak. Mr. Parisot said he has a concern about the ditch and stormwater runoff. He stated that he had spoken with Mr. Hofstad who saw no problem. Mr. Parisot posed a concern about Mr. Jennings installing a fence if the request is approved. Mrs. Fedorak responded that fence installation is allowed but the petitioner cannot build any structure on the vacated property. Mr. Harris commented that even if the property is not vacated and someone is injured there, the county is liable. Mr. Dowd explained that if there is a known dangerous condition, the county would be liable. He said that Mr. Watts’ stated in his letters that his grandchildren use this strip of land to travel between their home and his. Mr. Harris stated the staff’s recommendation is to approve the vacation request. Upon inquiry by Mr. Roberts, Mrs. Fedorak answered staff is familiar with the objections and said they go back to the previous vacation of property on 15th Street in 2011. Mr. Parisot asked if only a portion of the request could be granted, leaving several feet for use by neighbors. Mr. Dowd said it will be necessary to re-advertise with those specifications. Mr. Roberts suggested tabling the hearing and asking staff to return with more input. He then made motion, seconded by Mr. Harris, to table this public hearing until November 20 at 9 a.m. in Fort Walton Beach. October 16, 2012 -7- Minute Book 68, Page Okaloosa County Board of County Commissioners Mr. Phillip Jennings, petitioner, stated some of the photographs used by the department to discuss this hearing request are not of the subject right-of-way. He clarified the photographs on the screen and pointed out the boundary of the county’s ownership. He noted on the picture accurately showing the requested right-of-way vacation that there will be four or five feet beyond that boundary that would still be open for foot traffic. Mr. Jennings reported the problems he has had with ATVs and golf carts traversing this area. Mr. Parisot stated the county has already vacated the other portion of the right-of-way but no fence was installed. Mr. Harris said a precedent has been set. The vote was taken on the motion to table—4 yeas. PUBLIC HEARING – ORDINANCE AMENDING BEACH RESTORATION MSBU ORDINANCE; RESOLUTION REFUNDING ASSESSMENTS FOR CERTAIN EXCLUDED PROPERTIES (6:30 P.M.) Mr. Stanford read the advertised legal notice for public hearing to consider adoption of an ordinance amending Ordinance No. 07- 71, making various legislative findings, removing certain properties from the Destin sub-area of the Okaloosa County Beach Restoration Project Municipal Services Benefit Unit (MSBU) and ordering refunds to properties excluded from the assessment area. Mr. Daniel O’Byrne, Tourist Development Director, stated attorney Steve Hall is present to answer any questions. Mr. Hall stated this is the final step in the settlement to set aside the lawsuit and to go forward with the West Destin Beach Restoration Project. He pointed out these are the same steps taken when Oceania Condominium was removed from the MSBU. Mr. Hall said earlier this year when the annual assessment resolution was adopted by the Board, the subject properties in the West Destin sub-area were not included. Mr. Amunds opened the floor for public comment but no one came forward to speak. Mr. Harris read an email letter he received from Annette Riedemann on October 15 with regard to the subject hearing. Ms. Riedemann lives on Holiday Isle, north of Gulf Shore Drive on Durango Road. She said that she is about four blocks from the nearest beach access. Ms. Riedemann stated, “If property owners October 16, 2012 -8- Minute Book 68, Page Okaloosa County Board of County Commissioners directly on the beach can get exemption from this tax and also get a refund for taxes already paid, then I feel all other owners like myself be given the same consideration.” She continued, “As I understand the issue, these property owners on the beach do not want their section to be restored. But, I am sure they will still be using the beach for recreation purposes. Some of the property owners even rent their properties to vacationers and for wedding and other private party groups.” Mr. Harris stated he agrees with her 100% and termed it as selective taxing. He said in his opinion “We have opened a bucket of worms when we did it before.” Mr. Parisot pointed out that in a previous meeting he suggested omitting those property owners paying the recreational assessment north of Gulf Shore Drive. He said the remaining funds in the MSBU and the penny bed tax will cover the Beach Restoration Revenue Note. Mr. Parisot reiterated he believes the Board should provide relief regarding the recreational assessment. Mr. Roberts stated he has a different opinion. He stressed the importance of the big picture and noted when the City of Destin conducted a survey, the majority of property owners were in agreement. Mr. Roberts said the Board has let 13 properties owners and Oceania Condominium out of the MSBU because of a court battle. He again said the big picture is beach restoration and he believes the majority of the people want that. Mr. Amunds asked Mr. Hall if the Board approves it tonight, can they at some time in the future reconsider the issue and amend the ordinance with regard to the recreational assessment. Mr. Hall replied the Board will be limited in what it can do because of the language in the advertised notice for tonight’s hearing. He also advised that later in the meeting the Board will consider a Beach Restoration Revenue Note which will pledge revenues that are included in the special assessment. Mr. Mark Mustian, County’s Bond Counsel with Nabors Giblin & Nickerson, stated a Request For Proposals (RFP) was issued to receive proposals from banks for a note for the beach restoration project. Pledging one cent of the tourist tax and revenues from the special beach restoration MSBU assessment are required. Any amendment to the loan documents will require bank consent. Mr. Mustian stated if the Board wants to amend the October 16, 2012 -9- Minute Book 68, Page Okaloosa County Board of County Commissioners MSBU, then the county should talk to the bank before closing on the loan. Mr. Harris said he has only heard from one person and asked how much the recreational assessment is. He was told it is $53 per year. Mr. Curry reported the City of Destin opened bids for construction of the project today. Jim Trifilio, Coastal Management Coordinator, verified that Destin did open bids earlier today. Those bids ranged from $6.8 Million to $8.5 Million. He expects the Destin City Council to award the bid next Monday. Mr. Dowd pointed out that if the Board does not take action on the proposed ordinance, the City cannot award the bid. Mr. Mustian explained that the way the loan is set up, the assessments are pledged and used before the penny bed tax. He reiterated that the bank must approve any amendments. Mr. Parisot commented that if you wanted a refund, it appears you have to sue someone. Mr. Harris referred to the statement he read from Ms. Riedemann and noted that is only one person’s opinion. He said he would like to hear objections from many more property owners that the assessment is unfair before taking any action. Mr. Harris stated he is not opposed to the ordinance at this time. Mr. Roberts made motion, seconded by Mr. Harris, to adopt the ordinance as presented and to adopt a resolution authorizing payment of refunds to certain property owners excluded from the Beach Restoration MSBU. 3 yeas, 1 nay. (Mr. Parisot voted no.) ORDINANCE NO. 12-23 RESOLUTION NO. 12-143 PURCHASING – EMERALD COAST WILDLIFE REFUGE LEASE Mr. Richard Brannon, Purchasing Director, brought for consideration a lease with Emerald Coast Wildlife Refuge (ECWF) for 3.6 acres on Okaloosa Island. The proposed term is for ten years with four optional ten-year renewals. He said the lease is similar to the leases with AquaGreen and Wild Willy’s. Mr. Harris stated that it will be difficult for a bank to loan money on a ten-year lease. Mr. Roberts said he spoke with October 16, 2012 -10- Minute Book 68, Page Okaloosa County Board of County Commissioners Amanda Wilkerson, Director of ECWR, and asked her to comment on the proposed lease. Ms. Wilkerson said the ECWR Board of Directors would like to request a thirty year lease with two ten-year options. She advised the request is based on financing and donors. Mr. Harris asked if a twenty-year lease with an option for ten additional years is acceptable. Ms. Wilkerson replied “That would be better.” Mr. Harris recommended twenty years with an option for ten additional years and negotiations for a different lease amount at the ten-year mark. After a brief discussion Mr. Harris stated he will make a motion to that effect. Mr. Parisot