Minutes 03-18-04CONTINUED REGULAR MEETING OF THE COMMUNITY REDEVELOPMENT
AGENCY, HELD IN COMMISSION CHAMBERS, CITY HALL, BOYNTON BEACH,
FLORIDA, ON THURSDAY, MARCH 18, 2004 AT 6:30 P.M.
Present
Larry Finkelstein, Chairman Douglas Hutchinson, CRA Director
Jeanne Heavilin, Vice Chair Lindsey Payne, Board Attorney
Alexander DeMarco Susan Vielhauer, Controller
Don Fenton
Charlie Fisher
Henderson Tillman
Absent
James Barretta
I. Call to Order
Chairman Finkelstein called the Continued Regular Meeting to order at 6:30 p.m.
II. Roll Call
The Recording Secretary called the roll and declared a quorum was present
II1. Agenda Approval
Chairman Finkelstein noted that a request has been made to move up Item IX. C.
"Consideration of Special Pilot Program for Police Patrol in Heart of Boynton and the
CBD."
Motion
Mr. Fisher moved that Item IX.C. be heard as the first item on the agenda. Motion
seconded by Mr. DeMarco and unanimously carried.
IX. New Business
C. Consideration of Special Pilot Program for Police Patrol in Heart of
Boynton and the CBD (addressed out of order)
Mr. Hutchinson reported that previously some concepts had been discussed to put
together a patrol in the Heart of Boynton and the CBD. These patrols would be in
addition to the City's regular patrols.
Meeting Minutes
Continued Regular Community Redevelopment Agency Meeting
Boynton Beach, Florida
March 18, 2004
A pilot program has been prepared and will be presented tonight. The program has
been reduced in size, scope and equipment and is within budget. The coverage
provided will be specifically designated for the CRA. The equipment will be marked
"CRA" and the uniforms will be distinguished from the regular City uniforms.
Mr. Hutchinson noted that Chairman Finkelstein asked what the difference would be
between using the City's police personnel and hiring a private security company. Mr.
Hutchinson introduced Police Chief Gage who was present to answer any questions.
Mr. Fisher inquired if this would affect the existing units that patrol these areas now.
Chief Gage responded that the CRA units would not replace any existing zones or
areas of patrol. Mr. Fisher also inquired if the CRA would be receiving experienced
officers as opposed to new hires. Chief Gage explained that the officers who want to
work these two areas would have to go through an interview panel and younger,
inexperienced officers would not qualify, nor would probationary officers. He further
explained that these are specialty positions and would be filled by experienced officers.
Chairman Finkelstein asked what the CRA would receive for $150,000 ($75,000 for
each area). Chief Gage pointed out that this would apply to this year's budget for six
months. He reported that the CRA would receive two officers that would be assigned to
each area that will work varying hours in 11%-hour shifts, according to the needs of the
area. The CRA will not receive 24-hour coverage. He will be sitting down with the
Director and staff to determine what the best hours would be for deployment. The
officers would be assigned to separate shifts so that there would be an officer on duty
each day, but for only 11 ~ hours per day in each area.
Vice Chair Heavilin asked about the hours they would be on duty and Chief Gage
envisioned that the shift would probably begin around noon and end before midnight; or
it could begin in the afternoon and go beyond midnight. Mr. Hutchinson noted that it is a
pilot program and they will be looking at the crime statistics in those areas.
Vice Chair Heavilin questioned if there was an actual need at this time to have extra
police officers while the construction is going on and nothing new has opened. She
inquired if the contractors were responsible for providing security for their construction
sites. Chief Gage explained that the contractors were responsible for the areas within
the confines of their construction fences. Contractors are not responsible for anything
outside their areas including the roadways.
Chief Gage reported that an auto burglar was apprehended yesterday in the downtown
area and there is crime in the downtown area. He felt that there would be enough use
for the officers. Chief Gage was going to do his best to have an officer on the street the
day that the CRA funds the program. He explained that it takes months to hire an
officer, which means that his Department will be absorbing the costs for finding the
officers and training them. He noted that the officers that the CRA funds will not be on
duty for a year and he will be putting senior officers to work.
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Continued Regular Community Redevelopment Agency Meeting
Boynton Beach, Florida
March 18, 2004
Mr. Fisher noted that there are vagrants and homeless people in the downtown and
MLK area. He felt that having another patrol car in these areas would help move these
people out of the City. Chief Gage confirmed that when police officers have a presence
in an area, the undesirables move on.
In response to the question regarding employing security guards instead of police
officers, criminals do not move for security officers. They do not take them seriously
and intimidate them. Also, security guards have no enforcement powers; they have to
call the Police.
Mr. DeMarco noted that this is a pilot program and felt that Chief Gage should move
forward with what he thinks is best for the program and occasionally report back to the
Director.
Mr. Fisher inquired how would the Board would determine if they want to keep the
program six months from now and does the Board have any realistic needs. Mr. Tillman
felt that Mr. Fisher's question would be answered with the statistics at the end of the six-
month period. At that time an assessment of the program could be made.
Mr. Tillman inquired if the 11%-hour shifts could be used during varying times and Chief
Gage responded that he cannot split the time, but he could direct the time that would be
the best time for a particular area.
Mr. Fenton recalled that two years ago he proposed a pilot program from Thursday
through Sunday. He felt that the officers should be on duty later than midnight on
weekends. Chief Gage responded that he could be flexible on the specific hours that
the officers work, but he could not be that flexible on the days due to the contracts with
the bargaining units. Mr. Fenton inquired if there could be an officer on duty on the
weekends from 2:00 p.m. to 1:30 a.m. Chief Gage explained that the hours of work and
shifts of the officers are bargaining issues, but he does have some flexibility. Mr. Fenton
inquired if there were more problems on weekends as opposed to weekdays. Chief
Gage did not think that this would apply to the two CRA areas.
Mr. Fenton felt that they needed to come up with some criteria for monitoring the
program. Chief Gage pointed out that his Department has enough data and that
statistics do not always present the true picture.
Chairman Finkelstein stated that the Board needs to justify why this is a proper
expenditure for the CRA. Mr. Hutchinson noted that Chapter 163 allows CRAs to
contract for special services above and beyond the base services supplied by the City.
The CRA cannot arbitrarily give money to City operations, such as EMS, fire and police.
As pointed out, equipment and officers would have special markings, and this is a
purchase of services above and beyond existing City services.
Mr. Fenton inquired who would be responsible for the liability insurance. Mr. Hutchinson
said that this would be set out in the contract that the CRA enters into with the Police
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Continued Regular Community Redevelopment Agency Meeting
Boynton Beach, Florida
March 18, 2004
Department. Attorney Payne asked Chief Gage if he would be willing to be liable for
these types of expenses. Chief Gage could not speak for the City, but he noted that the
City has an obligation to hold the Police Department responsible as well as himself.
Mr. Fenton inquired if the officers could carry tasers in lieu of handguns. Chief Gage
stated that the Officers must carry a gun. The officers are currently being trained to use
tasers, but you cannot fight a handgun with a taser. Officers that have been trained are
now carrying both a taser and a handgun. Mr. Fenton requested that this be revisited in
six months.
Referring to the budget included in the agenda for the program, Chairman Finkelstein
inquired if the Board was being asked to approve a lump sum contract. Mr. Hutchinson
stated that was correct, but he broke down the budget so that the Board could see
where the money would be spent. Mr. Hutchinson pointed out that it was important to
keep accurate records on the items that the money is being spent on in the event of an
audit. Chairman Finkelstein added that the reason the CRA is entering into the program
is to ensure that the area is safe to promote redevelopment of the area.
Vice Chair Heavilin inquired about the office space mentioned in the budget. Chief
Gage stated that they are looking for office space and the figure in the budget is an
estimate of what it would cost to rent some office space. He noted that they were
requested to have an office for presence in the areas. Chief Gage felt that there was a
high need for office space in the downtown area. With regard to the Heart of Boynton
area, he did not envision that they would need office space immediately.
Motion
Mr. Tillman moved to approve the specialized police service in and for the City of
Boynton Beach in the Heart of Boynton area and the CBD as a pilot program, and the
Director and/or his designee and the Police Chief will provide a report as to the
usefulness of the Pilot Project Program at the end of the six month period of time.
Motion seconded by Mr. Fisher and unanimously carried.
Vice Chair Heavilin requested that a timeframe be stated in the motion. Chairman
Finkelstein stated that it was for the 2003-2004 budget year. Mr. Tillman amended his
motion to include that it was for the 2003-2004 budget year. Mr. Fisher seconded the
amended motion that unanimously carried.
Attorney Payne will prepare a contract that will be brought back to the Board for
approval.
Mr. Hutchinson pointed out that the applicant in Item IX.D. was present and asked that
this item be addressed next. Mr. Hutchinson reported that Tropical Flavors II has
withdrawn their application. The Board will only be considering a Regions Core Grant
for the Boynton Delray Academy.
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Continued Regular Community Redevelopment Agency Meeting
Boynton Beach, Florida
March 18, 2004
Motion
Mr. Fisher moved that Item IX. D be heard next. Motion seconded by Mr. Tillman and
unanimously carried.
D. Consideration of Regions Core Grant Applicants (addressed out of order)
Ms. Vielhauer reported that there were replacement pages for this item. She brought the
grant papers to the County's Economic Development Office on Monday. After the
papers were reviewed by Ms. Pam Nolan, who made a few suggestions for each
application, Ms. Vielhauer made the appropriate changes and included them with the
application. Ms. Vielhauer explained the process that staff followed. Public notice was
given that the applications were available for people to apply for the grant. Twenty-six
interested parties obtained applications, but only two submitted actual grant
applications. If the Board approves the grants, they would go to Ms. Nolan's office for
review and approval. After the Economic Development Office approves the grant
request, it would next go to the County Commissioners for approval. If everything goes
according to schedule, a signed contract should be provided by June.
Joe Green, 900 Seacrest Boulevard, the applicant, assumed the podium. Chairman
Finkelstein asked Mr. Green if the equity requirement of $80,000 was coming from the
$110,000 in the Sun Trust statement in the application packet. Mr. Green stated that
this was correct.
Motion
Vice Chair Heavilin moved to approve the Core Grant Application for Delray Boynton
Academy. Motion seconded by Mr. Fisher.
Vote
Motion carried unanimously
Mr. Hutchinson requested that the Executive Director have the ability to sign the grant
application and other related paperwork.
Motion
Mr. Fisher moved to allow the Executive Director to sign any documents associated with
this particular grant application. Motion seconded by Mr. Tillman and unanimously
carried.
A. Consideration of Revised Direct Incentive Program
Mr. Hutchinson reported that this is the CPA's existing incentive program that had been
used previously for The Arches. In order to get the Traffic Concurrency Exemption Area
(TCEA) approved, the County is requiring Boynton Beach to have in place a mandated
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Continued Regular Community Redevelopment Agency Meeting
Boynton Beach, Florida
March 18, 2004
affordable housing provision for traffic concurrency. Unless this is made a part of the
downtown concurrency projects, the TCEA would not be approved. The Boynton Beach
CRA program will set the benchmark in the County. The County has asked that the
property be held for ten years instead of the current three years, which is the duration of
the incentive to the developers. With this provision, it will pass as the County criteria for
the TCEA program. If the CRA does not pass a program similar to this, a new program
will have to be developed that would mandate this.
Chairman Finkelstein inquired what the scenario would be if a major hotel wanted to
build and applied for incentives. Mr. Hutchinson responded that they would have to put
in a rate that so many of their rooms would be discounted at below market access. Mr.
Hutchinson pointed out that this is a critical issue in the County, as well as nationally.
Mr. Fisher asked for clarification between the three year and ten year period. Mr.
Hutchinson responded that there would be a provision that a developer through a deed
restriction could not profit more than 3% above the inflation value if the property were
sold. If the property were sold above the 3% inflation value, those sums would go back
to the CRA to be put back into the program.
Mr. Fenton questioned the validity that there is no affordable housing for the working
family. Mr. Hutchinson responded that the average price for a home in Palm Beach
County is almost $300,000. Also, Mr. Fenton inquired if there was real estate
appreciation at 14% in Boynton Beach. Mr. Hutchinson stated that the appreciation in
the downtown area went up over 14%. Mr. Fenton felt that this was an abnormal
statistic and offering affordable housing would only downgrade projects. Mr. Hutchinson
disagreed with this assumption and noted that the program would accommodate a
broader spectrum of incomes and this will give developers an incentive so they would
not lose money.
Vice Chair Heavilin had a question regarding the paragraph on page 4845 that stated
"The Project must score at least 2 pts in this Affordable Access category...," but there is
a maximum of 20 points. She felt that 2 pts was too Iow and Mr. Hutchinson stated that
they could go higher.
Vice Chair Heavilin noted that she is out in the market every day trying to find affordable
housing for working class families and they are already priced out of the market.
Mr. Fenton also questioned "substandard requirements for the Heart of Boynton Beach."
He felt if substandard housing was allowed to be built this would only downgrade the
area. Mr. Hutchinson explained that just because a project is small does not make it
substandard. In the Heart of Boynton there is a set of thresholds that encourage small,
good quality projects to apply for incentives. By doing this, you would actually increase
the quality of projects.
Mr. Fisher has several questions on how the price of the housing would be determined
for these smaller projects. Chairman Finkelstein explained that a developer would sell
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Continued Regular Community Redevelopment Agency Meeting
Boynton Beach, Florida
March 18,2004
the houses below market as affordable housing. The difference between what it cost the
developer to build the house and what he sold it for would be made up by participating
in this program. Mr. Hutchinson also explained that to qualify for the incentive program,
for example, a developer would have to offer 10% of the units at 10% under market.
Mr. Hutchinson also noted that the City is losing small businesses and it is difficult for
these businesses to find property that they could afford. The incentive program could
apply toward rents and condo purchases, plus they would be eligible for the Region's
Core Grant. This program will also help attract small businesses to the downtown.
Chairman Finkelstein questioned why this was mandated by the TCEA since the TCEA
is only in the CBD. Mr. Hutchinson stated that the TCEA also includes the Heart of
Boynton because they have to provide affordable housing.
Chairman Finkelstein referred to page 4841 of the agenda under "Type of Project" that
stated medical and health care services were permitted. He thought that previously they
were not allowed. Mr. Hutchinson noted that they had discussed this, but they were
never removed. Mr. Hutchinson also stated that the LDR limits the amount of space
available in mixed use projects dedicated to that use.
Chairman Finkelstein was not comfortable requiring a developer to hold a project for 10
years. Mr. Hutchinson noted that it was not the developer that was liable, but the
property owner and this would be contained in a deed restriction. Mr. Hutchinson
pointed out, however, that a developer does not have to participate in the program if he
did not want to. Chairman Finkelstein also inquired that if a very large project came in
and the CRA wanted to offer them incentives could they waive the requirement that the
developer participate in the program. Mr. Hutchinson was not certain on this, but felt
that they would be in violation of the TCEA approved plan. Chairman Finkelstein would
like clarification on this one point.
Vice Chair Heavilin inquired if a developer came in with a three-phase project, could the
developer apply for the incentive on just one phase and Mr. Hutchinson stated that this
was possible.
Attorney Payne responded to Chairman Finkelstein's question if a waiver were possible
and she stated that to have a waiver process there would have to be criteria set. Mr.
Fisher thought that they could move forward with this program and work on a waiver
process that could be incorporated at a later date. Attorney Payne said that was
possible, but she did not know if this would affect the TCEA issue.
Mr. Hutchinson's biggest concern was how the program would be monitored. Chairman
Finkelstein felt that they should move forward with the program, but he would like to
look closely at the next real project. Also, he would like to have the ability to waive the
program without affecting the TCEA. Chairman Finkelstein requested that Mr.
Hutchinson determine if these regulations are mandated by forcing them upon
developers without having the ability to be flexible with the Program.
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Continued Regular Community Redevelopment Agency Meeting
Boynton Beach, Florida
March 18, 2004
Chairman Finkelstein noted that there was a "0" missing on page 6 of 19 under the
"Heart of Boynton Area;" $500,00 should be $500,000.
Motion
Mr. Fisher moved to approve. Motion seconded by Mr. Tillman and carried 5-1 (Mr.
Fenton dissenting).
B. Consideration of the Business Genesis Program
Mr. Hutchinson reported that the program has been revised and there are no paid
consultants. The mentor program has a selection committee comprised of partners in
the project, as well as members of the CRA Board. The partners in the program are
FAU, Chamber of Commerce and the SBA would like to become part of the project as
well. They are looking for a small group and the program will run for 14 months. They
would like to have some kind of event for the developers to meet local businesspeople
and for local businesspeople to learn more about developers.
There has been interest expressed by some banks and private investors and the banks
are eager to provide mentors for the program. Mr. Hutchinson offered to answer any
questions and noted that Ms. Johnson from the Chamber of Commerce was also
present.
Chairman Finkelstein noted that on page 4858 of the agenda, under Economic
Development Grants, it states that grants for capital improvements have been secured
and inquired if in fact they have already received some grants. Mr. Hutchinson
explained that they have secured the Core Grant Program where people could apply for
grants. Chairman Finkelstein felt that this should be clarified.
On Page 4862, Chairman Finkelstein noted that it states that businesses must be
located in the BOD^, CBD and HOB areas and businesses located in buildings being
removed. Chairman Finkelstein thought that this might restrict the program. Mr.
Hutchinson stated that these businesses would receive higher scoring because they are
in the core areas.
Chairman Finkelstein questioned that the final list would be between 10 to 16 and felt
that this was a large group to mentor during the first phase of the program. Mr.
Hutchinson responded that this had been discussed with the five mentors, but this could
be adjusted. Also, Chairman Finkelstein did not think that the CRA should require that
participants be a member of the Chamber of Commerce or BOD^ since this is a CRA
program. Vice Chair Heavilin had the same concerns and Mr. Hutchinson noted that the
Chamber of Commerce is a partner in the program. Chairman Finkelstein responded
that even though the Chamber is a partner in the program, he did not think that
participants had to be members of any outside entity.
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Continued Regular Community Redevelopment Agency Meeting
Boynton Beach, Florida
March 18, 2004
Chairman Finkelstein inquired where the list of businesses was obtained. Mr.
Hutchinson responded that these are actual businesses within the downtown core area
from Boynton Beach Boulevard to the Intracoastal, the CBD area and the Heart of
Boynton. There are approximately 188 businesses that will receive the mailing.
Mr. Tillman noted that on page 4862 of the agenda the bullet that reads "business
location in BODA/CBD and HOB Area" should be changed to read that businesses must
be located in the CRA area. Chairman Finkelstein recommended removing BODA and
leaving the CBD and HOB Area, as well as removing the requirement that they must be
members of BODA and the Chamber.
Motion
Vice Chair Heavilin moved to approve the Business Genesis Program with the deletion
of business location and BODA and membership requirements. Motion seconded by Mr.
Tillman.
Mr. Hutchinson also noted that on page 4858 dealing with grants the word "secured"
would be changed to "available." Vice Chair Heavilin agreed to amend her motion to
include Mr. Hutchinson's recommendation and Mr. Tillman seconded the amended
motion that unanimously carried.
X. Commission Action
Chairman Finkelstein asked about the tiki hut and Mr. Hutchinson responded that the
Commission tabled it.
Mr. Fisher reported on the Deliverance by Faith Church that this Board denied. The
Commission gave direction to staff to report back to the Commission what staff is doing
to find alternatives for another location for the church. Mr. Hutchinson said that they
have been looking at parcels that the CRA would be purchasing. Chairman Finkelstein
noted that this was a good alternative and they have already started looking at this.
Mr. Hutchinson noted that the Board had asked the City to help with purchasing
property within the Heart of Boynton. He felt, however, that in situations like this the
CRA needs to be kept apprised of what is going on. Chairman Finkelstein also pointed
out that all the decisions that the City arrived at were to come back to this Board for
approval.
Mr. Hutchinson reported that a new Chair and Vice Chair had been elected at the
Commission meeting. He stated that the current Chair has been involved in many major
contracts with Kimley-Horn and Burkhardt and inquired if Mr. Finkelstein could still
assist with these contracts. Mr. Fisher felt that this would be acceptable, but he would
like the new Chair to become involved in these issues so that the transfer of knowledge
could take place.
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Continued Regular Community Redevelopment Agency Meeting
Boynton Beach, Florida
March 18, 2004
Attorney Payne stated that each Board member could participate and provide input
because of their special skills or ability. It does not have to be limited to the Chair.
Chairman Finkelstein noted that the bank signature cards need to be changed and Ms.
Vielhauer responded that she has already requested new cards.
Xl. Board Member Comments
Mr. Fisher inquired if the CRA could move some of their TIF funds to actually pay to
build the fire station building that would be located in the CRA. Mr. Fisher felt that this
would be a means for the CRA to reinvest in the community and to offset tax dollars
citywide with CRA TIF money. Mr. Hutchinson noted that the fire stations are funded by
the fire assessment. However, Mr. Hutchinson pointed out that the office for the police
and the special events EMS was looked at being placed within the Promenade and this
Board would be asked to consider this at a future date.
Mr. Hutchinson explained that in order for the CRA to build the fire station, it would have
to be an extra station; it cannot be the actual fire station that provides general fire
coverage to the City. Chairman Finkelstein noted that the CRA has a large budget for
items that they want to accomplish and felt that the Board needs to be careful on how it
spends its money.
Ms. Vielhauer informed the Board that in the future all information furnished to the
Board as FYI would be provided on light blue paper so that it would not be confused
with agenda items.
Vice Chair Heavilin made the following announcements:
¢' The groundbreaking for the Boynton Beach Extension and Promenade is
scheduled for March 23, 2004 at 5:30 p.m.
v' The joint Commission/CRA Workshop is scheduled for Tuesday, March 30, 2004
at 6:30 p.m. in the Library.
Mr. Hutchinson pointed out that the City is preparing the agenda. Chairman Finkelstein
stated that if any member wants to add anything to the agenda they should contact Mr.
Hutchinson and request that he forward it to the City.
Vice Chair Heavilin asked when the budget workshop was scheduled and Mr.
Hutchinson responded that it is scheduled for Thursday, April 15th in the Library at 6:30
p.m.
Chairman Finkelstein congratulated the new Chair and Vice Chair.
Xl. Legal
None
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Continued Regular Community Redevelopment Agency Meeting
Boynton Beach, Florida
March 18, 2004
XlI.
None
XlII.
Other Items
Future Agenda Items
A. Consideration of Securing CBD Surface Parking Rights (April)
B. Youth Community Improvement Grant (April)
C. 2002/2003 Annual Report (April)
D. Consideration of Pilot Program for Trolley Service in the CBD (May)
XlV. Adjournment
There being no further business, the meeting properly adjourned at 8:05 p.m.
Respectfully submitted,
Barbara M. Madden
Recording Secretary
(March 23, 2004)
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