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Minutes 05-12-09 MINUTES OF THE COMMUNITY REDEVELOPMENT AGENCY BOARD MEETING HELD ON TUESDAY, MAY 12, 2009, AT 6:30 P.M. IN CITY COMMISSION CHAMBERS, BOYNTON BEACH, FLORIDA PRESENT: Jerry Taylor, Chair Lisa Bright, Executive Director Woodrow Hay, Vice Chair Jim Cherof, Board Counsel Jose Rodriguez Marlene Ross Ron Weiland I. Call to Order – Chairman Jerry Taylor Chair Taylor called the meeting to order at 6:30 p.m. II. Pledge to the Flag and Invocation Vice Chair Hay offered the invocation, which was followed by the Pledge of Allegiance to the Flag. III. Roll Call The Recording Secretary called the roll. A quorum was present. Chair Taylor requested if any member of the Board had a problem with any activity, or was being disturbed by someone in the audience during the business meeting, to let him know. It was his responsibility to maintain decorum. It was discussed two warnings would be given and the third incident would result in removal. Much was contingent on the circumstances. IV. Agenda Approval A. Additions, Deletions, Corrections to the Agenda None. B. Adoption of Agenda Motion Ms. Ross moved to approve the agenda. Vice Chair Hay seconded the motion that unanimously passed. Mr. Weiland left the dais at 6:33 p.m. V. Announcements & Awards: A. Oceanfront Concert Series – Strictly Business – May 15th from 6-9 p.m. 1 Meeting Minutes Community Redevelopment Agency Board Boynton Beach, Florida May 12, 2009 Kathy Biscuiti , Special Events Director, announced this Friday was the last Oceanfront Concert. She advised it was a great year, with much dancing and good attendance. The next concert would feature the Strictly Business Band. Female singer “Felicia” was appearing. Parking was available onsite, and continuous trolley service was accessible at Bank of America beginning 5:30 p.m. to 9:30 p.m. Food and beverages would be available. She encouraged everyone to attend. The event was free. Mr. Weiland returned to the dais at 6:34 p.m. Ms. Biscuiti highlighted the Artavox event being held on Wednesday, May 20, 2009. The event would be held in partnership with all of the arts organizations in Palm Beach County and the City, and would take place in and around the Schoolhouse Children’s Museum from 5:30 to 7:30 p.m. The event was outdoors, but the Museum would be open and would house displays. She invited all to attend. VI. Consent Agenda: A. Approval of Minutes – CRA Board Meeting April 14, 2009 B. Approval of Period-Ended April 30, 2009 Financial Report C. Approval of Funding up to $20,000 from the Residential Improvement Program to Elizabeth Jenkins This item was pulled for discussion by Mr. Weiland. D. Approval of Funding up to $20,000 from the Residential Improvement Program to Steven and LaShanda Carty E. Approval of Funding up to $20,000 from the Residential Improvement Program to Leslie Harrington F. Approval of Funding up to $20,000 from the Residential Improvement Program to Willie Connor G. Approval of Funding up to $20,000 from the Residential Improvement Program to Edoris Maddox H. Approval of Funding up to $20,000 from the Residential Improvement Program to Urlich Phillippe I. Approval of Funding up to $20,000 from the Residential Improvement Program to Phyllis Dames J.Approval of Funding up to $50,000 from the Homebuyer Assistance Program to Enor Pierre-Louis and Widelaine Michaud K. Monthly Procurement Purchase Orders 2 Meeting Minutes Community Redevelopment Agency Board Boynton Beach, Florida May 12, 2009 L. Approval of Renewal of Lease for CRA office located at 915 S. Federal Highway This item was pulled by Ms. Ross. Motion Mr. Weiland moved to approve the Consent Agenda with the exception of Items C and L. Vice Chair Hay seconded the motion that unanimously passed. VII. Pulled Consent Agenda Items: C. Approval of Funding up to $20,000 from the Residential Improvement Program to Elizabeth Jenkins Mr. Weiland inquired how often a homeowner can apply for the grant. Mike Simon , Development Manager, explained the Residential Improvement Program was a one-time grant and the Commercial Façade Grant was available as a one-time grant every three years. Mr. Rodriguez inquired if a business owner could redo what was already improved through the program. It was explained it was the Board’s prerogative. Staff was reviewing the program to determine administratively what changes could be made to help the program. Conversely, staff was open to suggestions. It was decided further discussion of the program would take place during the budget cycle. L. Approval of Renewal of Lease for CRA office located at 915 S. Federal Highway Ms. Ross pulled the item to commend Vivian Brooks, Assistant Director, for successfully negotiating and decreasing their monthly rent by 17.5%. Ms. Brooks responded staff was reviewing the various contracts and arrangements they had to determine what they could renegotiate. For the record, it was noted Ms. Brooks saved the agency $8,400 per year. Motion Ms. Ross moved to approve. Mr. Weiland seconded the motion that unanimously passed. VIII. Information Only: A. CRA Policing Activity Report for the Month of April 2009 and District Statistics for the Months of March and April, 2009 B. Boynton Beach CRA and Trolley Website Updates C. Complaint/Comment Log – Monthly Update Mr. Rodriguez inquired if staff had an update on the Community Policing program. Ms. Bright responded Sgt. DeGiulio was dealing directly with Mr. Mctigue from the Heart of Boynton, and 3 Meeting Minutes Community Redevelopment Agency Board Boynton Beach, Florida May 12, 2009 would provide a follow-up on this item next month. At Mr. Rodriguez’s request, Ms. Bright would also respond via email. D. Planning and Development Board Meeting Agenda – April 28, 2009 E. Budget Information FY 2009-2010 F. CRA Press Releases G. Social Capital: The Second Tipping Point Chair Taylor noted he found the information in Item G very helpful and was glad it was included in the agenda. The information was from a planner/developer who discusses when planning to develop a community, the community and culture of it as a whole should be studied in order to determine its needs. Ms. Bright reported she had spoken with their representative and he would work with the Community Redevelopment Agency, speak with the Youth Violence Prevention participants and other youth groups over the summer. Ms. Ross also thought it was appropriate, especially since May was Mental Health Month. IXPublic Comments: (Note: comments are limited to 3 minutes in duration) . Herb Suss, 1711 Wood Fern Drive, wanted to discuss the renegotiation of the Community Redevelopment Agency rent. It was explained that item was approved via the Consent Agenda. He inquired if the lease was signed because the staff had complained about foul odors in the office cause by decaying animals under the structure. Ms. Brooks responded the issue was addressed and due to the budget, staff did not feel it was the appropriate time to expand or use other space. Chair Taylor closed the public audience. Old Business: New Business: IX. Old Business: A. Heart of Boynton Strategies – Community Committee Recommendations Vivian Brooks explained due to the demise of the MLK Corridor Redevelopment Project, staff was directed at the March Board meeting to develop a strategy in cooperation with the community on how to use the funds set aside for the MLK project. On March 31, 2009, there was a community meeting at the Sara Sims Center, and a sign-up sheet circulated inquiring if individuals would like to serve on a Community Committee. A spreadsheet was distributed to the Board reflecting the individuals who volunteered. 4 Meeting Minutes Community Redevelopment Agency Board Boynton Beach, Florida May 12, 2009 The Community Committee determined that due to the fragmented ownership along MLK Boulevard, the project was currently not feasible because not all property owners would sell at the same time. It was not a near-term project. Quality of life initiatives were suggested to be the focus because without improving the quality of life, it would be difficult to ask individuals to purchase homes or open businesses in the area. In regard to the MLK and Seacrest corridors, the community felt development should be phased where there was the greatest amount of assembled land. Combining Community Redevelopment Agency and City properties under one ownership was suggested as was continuing opportunity purchases in the area when the land was adjacent to City and Community Redevelopment Agency owned properties. The residents identified nuisance properties. EZ Mart was repeatedly noted to be a problem. Multi-family dwellings west of Seacrest on MLK were mostly shuttered, and all of them had Code Enforcement Liens exceeding the mortgage or value of the property. The residents were also concerned with littering, trash/dumping, crime and loitering. A strategy to rid the neighborhood of nuisance properties was through foreclosure or purchase. The properties near NW 10th always have trash and drug activity. Staff was in negotiation with one of the owners of the property there. The other properties had liens exceeding the mortgage amount. It was suggested the Community Redevelopment Agency set funds aside for legal fees to start foreclosure proceedings. A map showing where there were opportunities to buy land was reviewed which included nuisance properties. Discussion followed at what point the City could move forward and pursue shutting down properties with excessive liens. Jim Cherof, Community Redevelopment Agency Board Counsel, advised if the Code Enforcement Board requested it be foreclosed, the City could move forward 90 days after the lien was recorded. He clarified not all liens automatically resulted in foreclosure. It was suggested the City look at foreclosing those properties or demolishing them. It was emphasized the community felt strongly about the recommendation and the message was they would not tolerate it. There was $140,000 owed between two of the properties and it could be an opportunity purchase. The Community Redevelopment Agency had property they could exchange with the City to help square off a block as it would be very difficult to redevelop a block even as single-family infill. They have been making opportunity purchases over the years. Community Redevelopment Agency purchases there would be given to the City in their effort to expand Sara Sims Park. Combining ownership along the Phase I MLK area would involve fees and transactional costs. Funds for property acquisition and opportunity buys, when appropriate and they are adjacent to what is owned to expand parcel sizes, would be set aside. Staff also set aside monies for a feasibility analysis of the grocery store/co-operative. Alleyway/easement abandonment and closures could reduce dumping. There were 22 alleys in the Heart of Boynton that were not used for trash pickup, and are a common dumping ground. Staff would set aside money for the abandonments and close the alleys with landscaping and a berm. It was noted both the community and Police Department liked the concept. The alleyways 5 Meeting Minutes Community Redevelopment Agency Board Boynton Beach, Florida May 12, 2009 would be evenly split between the abutting property owners, thereby expanding their properties. The land would be added to the tax rolls, and the homeowner would be responsible for maintaining the property. The property owner would not have to consent to the abandonment. Funds would be allocated for legal expenses and reimbursement of the City staff and Engineer’s time. The City Commission would be required to pass an Ordinance to abandon the alleyways, and then it would become automatic since the alleyway would no longer serve a public purpose. The Community Committee also indicated the residents had no objection to assuming the additional tax burden. Existing utility easements would remain. Staff indicated it would be a fairly simple way to fix a longstanding community problem. Creating a Code Enforcement/Crime Hotline for the Heart of Boynton so residents could report trash and improper activities was suggested. Staff could then alert the Police to the calls they receive and determine where the “hot” zones were. Staff also proposed to add a line item for trash removal on all sites, not just on Community Redevelopment Agency property. Trash is often dumped, and since the owner does not live there, it could remain for a month or more. In this manner, the trash could be addressed expeditiously. Community Policing through Environmental Design was discussed. One way to use the concept was to install lighting in problem areas, such as the Jesus House of Worship Church. Installing lighting at Sara Sims Park was suggested, as was continuing with the Community Redevelopment Agency Policing program. The community felt crime was reduced. The residents felt economic development in the area was needed and requested assistance be given to upgrade the exterior of businesses along MLK Boulevard. Currently, there are two existing businesses there and funds for two Façade Grants were set aside for them. They also requested technical assistance be provided to business and property owners to help them envision what could be done with their properties. Holding classes at the Carolyn Sims Center on the weekends or evenings for individuals interested in starting a business or improving existing businesses and properties was suggested. Staff would set aside funds and issue an RFP for the classes as there were several providers that could be utilized such as the Workforce Alliance and SCORE. The Chamber of Commerce offered tax assistance and Small Business Development assistance was available. SBA was a minority business administration that could offer assistance. Intermediaries of SBA offered training - some free and others with a cost. Staff explained it would take a while to identify what the needs of the clients were. Mr. Rodriguez recommended using agencies that provided free services before spending tax dollars. Ms. Bright agreed. Many individuals were interested in starting up small businesses. The community thought providing start-up monies to purchase equipment for businesses in the Heart of Boynton would be helpful. The Community Redevelopment Agency could partner with the Community Loan Fund and deposit monies earmarked for Community Redevelopment Agency businesses. The Community Loan Fund was comprised of banks having funds in the program. It is partially funded by the County, the Small Business Administration and the bank members. A Board manages the program and determines which businesses would be funded. Ms. Brooks clarified the Community Redevelopment Agency is not in the lending business. 6 Meeting Minutes Community Redevelopment Agency Board Boynton Beach, Florida May 12, 2009 Housing development was not an immediate priority. The community expressed before encouraging individuals to move into the area, it needed to be improved. Staff dedicated about $160,000 in the budget and the Board just approved $140,000. Supplementing that amount until the funds were expended could be authorized. The Committee was amenable to using some of the MLK monies to provide additional Residential Improvement Grants. Mr. Rodriguez left the dais at 7:01 p.m. The Community Committee suggested reissuing the RFP for the east side of Ocean Breeze. Monies would be set aside for advertising and legal costs to review the RFP and staff could return to the Board for direction of what to put there. Mr. Weiland advised he met with individuals who may be interested in locating a small grocery store in the area. Ms. Bright confirmed she received a call, and it could be that commercial entities should be in the area as opposed to residential. Additionally, funds for seven more residential improvement grants would be set aside. Sherry Johnson , Community Caring Center and the Green Market, was interested in a grocery co-op. Details, such as who would own the building and other items would have to be researched in order to determine what would make it feasible. Generally, grocery businesses, whether for profit or non-profit, were not moneymakers and this was a Farmer’s Market type of concept. Staff would set aside money for a feasibility analysis of the grocery store/food co-op. Mr. Rodriguez returned to the dais at 7:03 p.m. The total set aside for the MLK Project was $1.66 million. The suggestions came from the Community Committee, whose number one concern was quality of life and then economic development. A breakdown of how monies would be allocated to the different strategies was discussed. There was agreement services should not be duplicated. Code Enforcement has a telephone number to call, the Police Department had postcards to send in expressing concerns of residents, and Public Works could be contacted regarding trash. Ms. Bright clarified the Community Redevelopment Agency does not typically pick up trash on private property. Residents also do not know what parcels are owned by the City or the Community Redevelopment Agency. Education was key. Putting notices in the water bill and airing the information on BBTV was suggested. Even posting properties to advise residents where to call to report items could be helpful. The hotline would be an all-inclusive number. There was agreement staff should market the effort through existing programs. Staff would return to the Board with information on the micro-loan fund, if approved conceptually, and provide finite numbers. The Community Redevelopment Agency would supplement the Community Loan Fund, and set aside for the Community Redevelopment Agency businesses to access. Applicants would work through the loan process, which is for first-time and minority-owned businesses. Chair Taylor was impressed with the Community Committee and how many residents were involved. There was a large turnout from the Heart of Boynton Community, and he was encouraged. The Board was receiving input and direction. 7 Meeting Minutes Community Redevelopment Agency Board Boynton Beach, Florida May 12, 2009 Mr. Weiland inquired about the economic development grants to improve interiors and exteriors. Staff responded the Facade Grant program had changes. Business owners build-out their interiors, which is more expensive than painting an exterior. Sometimes the exterior of the building does not need improvement. Most businesses need help with their interiors; however, businesses cannot not receive assistance from the City. The Board received this type of request in the past and the Board was not receptive to the request. Ms. Bright expressed it was a worthy program. There were not very many programs to help with expansion and it appeared to be a deterrent for launching small business development. As a result, staff had to identify where the deficits were and how to address them. The grant was only available once every three years. Staff was reviewing appropriate changes to make in the program, however, after discussion, it was decided the item would be discussed at the end of the budget. Mr. Weiland inquired if setting funds aside for a micro-loan fund would put the Community Redevelopment Agency in the position of being in the banking business. Ms. Brooks clarified it would not; it would be handled through the Community Loan Fund which has loan officers and handles collections. Staff would work with the business and bring them forward. The Community Loan Fund was a non-profit agency, funded in partnership with the County, and partially by the bank membership, similar to a federal home-loan bank concept. It was dedicated to minority- owned and micro-businesses. Small loans are issued and the loans are collateralized. It was also similar to the service provided by the Community Development Corporations to the Community Redevelopment Agency. They were intermediaries. Chair Taylor shared Mr. Weiland’s concern and thought funding interior repairs should be examined more closely. The micro-loan program was a revolving loan. Collateral could be inventory, equipment, or personal property. Ms. Bright suggested the Loan Fund could act as the intermediary, and staff appropriate monies. She indicated staff would bring additional information back to the Board, specifically about what happens if the business failed, and if there was a service charge or fee. Staff may request the Loan Fund make a presentation to the Board. Other Community Redevelopment Agencies utilize revolving loan funds and loan guarantees for banks for businesses. Ms. Bright explained the type of programs offered were contingent on the needs of the community. These types of concepts would benefit the downtown area and Ms. Bright was asked if the programs were restricted to the Heart of Boynton. It was explained staff was addressing the Heart of Boynton; however, the concepts could benefit downtown businesses. Mr. Rodriguez explained he emailed Ms. Bright about what was being done to redevelop the downtown area. Ms. Bright did not recall the email. Mr. Rodriguez did not copy the other Board members on the email. It was agreed the item would be put on a future agenda. Ms. Bright clarified the Economic Development Plan regarding the Downtown Redevelopment was not approved until December of 2008. The initiatives were all new. There was money in the budget and staff could implement a district-wide plan. Mr. Weiland indicated legally, monies designated for the Heart of Boynton were not voted on. There was discussion the concept was discussed at a workshop; however, Chair Taylor recalled it occurred at a special meeting. Discussion at that meeting included a question about what would happen to the funds set aside for the Auburn Group, and there was agreement to leave the money in the Heart of Boynton. 8 Meeting Minutes Community Redevelopment Agency Board Boynton Beach, Florida May 12, 2009 Attorney Cherof explained the meeting was noticed as a workshop meeting. There was a special meeting held in conjunction to it. Mr. Rodriguez advised he was told of the date and he was unavailable that day. Motion Vice Chair Hay moved to keep the funding in the Heart of Boynton. Ms. Ross seconded the motion that unanimously passed. Vice Chair Hay discussed Mr. Rodriguez’s statement that he sent an email to Ms. Bright. He recalled Mr. Rodriguez previously stating that he does not send correspondence to Ms. Bright without sending emails to the rest of the Board. Mr. Rodriguez explained it was untrue. He explained since the incident when an email was sent to the City Attorney questioning Sunshine Laws he no longer copies the Board and he corresponds directly with her, but in the past he has done either or both. Attorney Cherof clarified he sent a memorandum that there is a risk with global emails. “Reply All” emails to each other can be misinterpreted and responded to, and there would be a pattern of communication outside of the Sunshine. He confirmed Mr. Rodriguez was correct in his method to correspond directly with Ms. Bright, and she, when appropriate, can correspond with other Board members as long as she does not act as a conduit and indicate how one Board member may vote in the future. Ms. Bright was aware of how to handle that. Vice Chair Hay explained he was only stating what he heard at the meeting, and nothing was discussed by the Attorney or anyone else when it came up. He just wanted to share an observation. Staff requested direction to begin to implement the program for the community. The allotted monies may vary in the line items once direction is given. Mr. Weiland and Chair Taylor were in favor of moving forward with the programs, keeping the Board’s comments in mind about funding interior renovations, the micro-loan fund, trash-pickup, erecting signs with a phone number on them for residents to call, and the alleyways. Ms. Ross liked the quality of life issues. Ms. Brooks explained they wanted to install signs and do a direct mailing to the community. Staff did not have to cap the hotline, but could market what exists. Chair Taylor indicated he would like to move forward with the nuisance properties. Ms. Brooks explained the initiatives were what the community desired and based on their priorities, they allocated funding commensurately. The figures could be fine-tuned. There was Board consensus to move forward. B. Discussion of Potential Brownfield Designation for Community Redevelopment Agency Ms. Brooks explained this item was brought back to the Board and there had been much discussion of the designation over the last year. Las Ventanas and Gulfstream Mall had to spend funds on environmental clean-ups. The Promenade also had environmental cleanup 9 Meeting Minutes Community Redevelopment Agency Board Boynton Beach, Florida May 12, 2009 issues. When the market was good, the developer could absorb the costs and pass it on in the price of the unit; however, that was becoming less of a reality. There are sites that have issues along Federal Highway and in the Industrial Art area. The Public Works site in the Heart of Boynton was another site, and if they were redeveloped, the environmental issues would need to be addressed. Housing cannot be constructed over contaminated land. Staff explained they were given direction to proceed with the designation, but only for commercial and industrial sites. It was recommended the Heart of Boynton be included because there were still gaps in the development pro formas. Staff could develop maps identifying areas in the HOB that need the designation, and it was clarified contamination did not have to be identified. The designation allowed incentives to be accessed, especially with job creation. Community Redevelopment Agency districts, by Statute, can be designated a Brownfield. Mr. Rodriguez pointed out originally the entire Community Redevelopment area would receive the designation. Then the community objected to it and the Board agreed to designate only commercial areas and the Heart of Boynton. Then when the City identified the properties, the Community Redevelopment Agency indicated they were no longer interested in moving it forward. He inquired since the designation has been flip-flopped if it was the right strategy. Staff clarified the City Commission voted the initiative down. Chair Taylor explained there was opposition to it, but that was no longer the case. Mr. Rodriguez commented the designation was approved for commercial, industrial and the Heart of Boynton and then a request to drop it was made, and it was done. Lulu DeCamera , 836 East Drive, lived in Inlet Cove. She explained INCA has spoken at Community Redevelopment Agency and City Commission meetings in opposition to the designation in residential areas. Last year a legal description was being developed to omit the residential areas. She indicated if they proceed with the designation, it should be applied only to the commercial and industrial areas. Chair Taylor clarified they were doing that and adding the Heart of Boynton, which included residential areas. The entire Community Redevelopment area would not be designated. Motion Vice Chair Hay moved to direct staff to begin work on maps and a proposed resolution to bring back to the Board for approval. Mr. Weiland seconded the motion that unanimously passed. C. Consideration of Property Exchange Between the CRA and City Ms. Brooks advised the Community Committee felt the land under two different ownerships should be combined. Staff purchased land west of Seacrest to give to the City for Sara Sims Park and for the City’s single-family redevelopment block between 10th and 11th. The intent was to have an even property exchange. Ms. Brooks noted there was a deed restriction on one small lot the City owned that would require the property to be open space. That restriction could be transferred to a lot the Community Redevelopment Agency would exchange on the west side of the City. The item was an exchange and not an acquisition. 10 Meeting Minutes Community Redevelopment Agency Board Boynton Beach, Florida May 12, 2009 Kurt Bressner, City Manager, thought an exchange was a good idea but pointed out the parcel on MLK with the deed restriction would need to be researched further. There may be more opportunities for land swaps closer to Sara Sims rather than across the street. Parcels immediately adjoining Sara Sims Park and the Cemetery could be opportunity purchases and a double swap could occur. Those parcels could be acquired, demolished and added to Sara Sims Park thereby forming open space. The City has had discussion with the Community Redevelopment Agency about those parcels. In concept, the City was amenable to the swaps. The areas of opportunity would be linked and redevelopment could occur. Using a different parcel than the one with the deed restriction may be more advantageous to everyone. There was consensus for staff to develop an agreement to bring back to the Board. D. Consideration of Purchasing Vacant Lot at NE 4th Avenue from CDC A map reflecting Community Redevelopment Agency and Community Development Corporation owned properties was included in the meeting materials and staff explained the lender, Local Initiatives Support Corporation (LISC), a non–profit community lender was looking to settle out of all their loans. A comparative market analysis was included in the meeting materials that reflected the properties and the amount owed on them. The market analysis was not an appraisal. Ms. Brooks requested direction from the Board whether to investigate if LISC would accept the market value of the properties, which was $299,000 to fill in the block. Vice Chair Hay inquired since the monies would be pulled from the funds reserved for the MLK project, what other projects would be offset. Ms. Brooks responded that was up to the Board. Ms. Bright commented the purchase was an opportunity buy. The Community Redevelopment Agency owned alot of property there, but if they did not acquire those parcels, someone else could purchase them. The action was a policy decision. The Board was uncomfortable with moving forward without an appraisal, as the policy required one. The item was presented because staff did not want to spend the money if the Board was not interested. Keturah Joseph , Boynton Beach Faith Based Community Development Corporation Executive Director, explained they intended to order an appraisal. The LISC analysis was done to determine the current value and if there was an interested buyer. LISC requested they sell the property. Before they offered it for sale to the public, she spoke with staff. If the Board was interested, they may have an opportunity buy. Otherwise, it would be offered to the public market. Anita Jenkins , formerly with LISC, explained LISC was interested in having a conversation about the property with the Community Redevelopment Agency. The loan was current and there were no taxes owed, or danger of default or foreclosure. Mr. Simon advised an appraisal could cost approximately $1,200 and staff could bring back an actual price with the contract contingent on a due diligence period and appraisal. If the appraisal came back lower than the contract price, the Board could terminate the contract under the due diligence. Attorney Cherof recommended the process outlined by Mr. Simon be followed. 11 Meeting Minutes Community Redevelopment Agency Board Boynton Beach, Florida May 12, 2009 There was consensus to proceed with the item as discussed. E. Discussion of the Status of the CRA’s Liquor License Mr. Simon explained the license was purchased in July of 2008. At the January meeting, the Board approved listing the license with a broker for six months. The recommended price of the license was $110,000. There has been very little activity and no offers at all. The license was in inactive status, and due to expire on June 16th. Mr. Simon spoke with Palm Beach County and was advised they could apply for a hardship extension, which would extend the license for another three or four months, and that it was likely the extension would be granted. One option, recommended by the broker was to reduce the price of the license to the $70,000 to $90,000 range. Another option was to discontinue the relationship with the broker and list the license with someone else. Mr. Weiland left the meeting at 8:15 p.m. The license could also be given to marketing staff to put on the website or an RFP could be issued. Chair Taylor was in favor of applying for the extension. An email sent by the broker indicated the value of the license dropped. Mr. Rodriguez inquired how many licenses of this nature were issued in the County and what they cost; however, comparative analysis information was not available. Mr. Rodriguez left the meeting at 8:17 p.m. Mr. Weiland returned to the meeting at 8:17 p.m. If an RFP method was used, the CRA could advertise the property itself to obtain a buyer or if a broker represented a buyer, staff could use their services and perhaps negotiate a lower fee since it was not “listed”. It would be similar to selling a home “for sale by owner” because as the owner, by not “listing” the property, staff could entertain any and all offers from realtors. Mr. Rodriguez returned to the meeting at 8:18 p.m. Palm Beach County indicated individuals who apply to the County to obtain a license think they can purchase a license. However, to obtain this type of license, a lottery system is used and there are thousands of businesses interested in obtaining a license, but the County only issues three licenses. The County offered to indicate to interested individuals that there are licenses available. There was agreement staff should apply for the extension. Mr. Cherof indicated the contract was exclusive. If staff put an ad in the paper and made a sale from it, the broker would still be paid. When the brokers listing expired on June 1, 2009, staff proposed to revise the terms of the broker agreement so that if a broker sold the license, he would receive a commission. If the Community Redevelopment Agency sold it, he would not receive a commission or receive a lesser commission. Additionally, if the broker were not interested in revising the terms, staff would use another broker. There was consensus to try to renegotiate the terms and proceed as discussed. 12 Meeting Minutes Community Redevelopment Agency Board Boynton Beach, Florida May 12, 2009 X. New Business: A. Consideration of Work Order #09014 under Continuing Contract with REG Architects Ms. Brooks indicated staff has a continuing contract with REG. Due to the comments received from the Community Committee, REG was asked to write up a work order and provide expertise for what owners could do to improve their properties. This would be a visual plan similar to a site plan and the cost associated to do so would be up to $50,000. The designer would work on an hourly rate and individuals would be assisted on a first-come, first-served basis. Vice Chair Hay noted that REG reserved the right to provide staff with an additional detailed breakdown of the fee estimates. He inquired if those details would be known before they expended the funds. Staff responded they did not have the sites or property owners’ information yet, but there was a cap. Funds that were not expended would roll over to another project. Mr. Rodriguez inquired if the downtown master plan addressed the items. Ms. Brooks responded it did not. He suggested the proposal be applied to the downtown area and the cottage district. The program could be applied to the downtown area, but fiscally, it was not feasible as the program was more detailed than the master plan. It was the start of a development process. The downtown master plan provided a broad idea of how the downtown, including the HOB could look. During the budget process, MLK was identified as a priority and staff did not take any initiatives out of the Downtown Master Plan other than the Brownfield designations. The reason why it was proposed for the community was because the community specifically asked for it. Seacrest has a vision, but MLK did not. Since staff was realigning funds, they would bring the item back and expand possible implementation aspects of the Downtown Master Plan. Mr. Rodriguez thought it made sense to expand it to avoid other areas becoming blighted. Ms. Bright noted the direction given to staff at the meeting of March 10, 2009 was how staff should spend the money in the line item for the MLK project. Ms. Bright concurred with Mr. Rodriguez the downtown master plan should not be shelved. Staff would bring back ideas at the next meeting. Mr. Cherof recommended on the rate sheet, they not pay a higher hourly rate for a professional to serve as an expert witness. They should be paid at their highest professional rate with no add on, and not to pay the cost of support staff, as the cost of the support staff should be incorporated into the professional’s rate. Motion Vice Chair Hay so moved with the comments and additions made by the Attorney. Ms. Ross seconded the motion that unanimously passed. B. Consideration of Contract with EZ Mart for the property located at 1005 N. Seacrest Boulevard At the February 11, 2009 workshop meeting, there was an overwhelming outcry from the community that crime was a deterrent to successful redevelopment along Seacrest and the HOB area. At the Community Committee meeting on March 31, 2009, Chief Immler addressed those issues. Word spread on the street that the Community Redevelopment Agency would be 13 Meeting Minutes Community Redevelopment Agency Board Boynton Beach, Florida May 12, 2009 bringing back suggestions to the Board. The contract came to staff as an opportunity buy from the property owner. One of the challenges was to create a value for the business. The contract was for $1.3 million. The community discussed they are interested in pursuing it and their recommendation for the appraisal for the land came back at $300,000. Staff had no way to determine the value of the business because there were no existing books. The Community Committee suggested bringing it to the Board to determine if they could make a counter offer. The Community Redevelopment Agency Police and Police Chief had indicated that removing that entity does not allow the Police to remove loitering and the owner often has to do so. Vice Chair Hay wanted to see the store eliminated at a reasonable price and to negotiate a more reasonable sales price starting at $300,000. Auburn had offered $1.9 million for the store and the two parcels on MLK the proprietor owned. Chair Taylor suggested offering the property owner the appraised value, which was for the land only and see what comes back. The funds would come from the $1.6 million. Staff pointed out they would not be able to implement each suggestion, but the Board would determine what the priorities were. Chair Taylor noted $800,000 was set aside for nuisance properties, and the EZ Mart was a nuisance property. Mr. Rodriguez noted when the strip club was closed, the Police initiated the action, as there were a number of arrests and drug activity. The club was shut down first. Then the Community Redevelopment Agency bought it. He suggested using the same methodology for EZ Mart. There was consensus to offer $300,000 and go from there as a start. C. Memo from Dr. Martha Meeks-Light Re: HOB Redevelopment Plan Issues Ms. Bright had indicated a letter was received from Dr. Light, dated April 30, 2009. The concerns were discussed at a community meeting and staff tried to address her concerns. An oral report and written response to her concerns were requested, which staff provided. Dr. Martha Meeks Light , 2235 NW 6th Avenue, spoke about the Community Committee meeting and advised the Heart of Boynton Community compiled a listing of items. She reported many of the attendees present were from all over Boynton Beach. After the meeting, there were still unanswered items. The items were City Hall should not be moved from the Community Redevelopment Agency district; to have more diversity on the Community Redevelopment Agency staff and many residents do not have the opportunity to put in a resume; and, the water rates. She indicated if the rate increases were not yet approved, to be gentle. Water was expensive and they did not want a rate increase. A petition had already been given to Vice Chair Hay regarding the issue. The Committee was commended. Dr. Light thought the meeting provided for residents’ input and that the report she received from staff was great. Chair Taylor appreciated the input as it provided necessary direction to the Board. XI. Future Agenda Items A. Budget Discussion 14 Meeting Minutes Community Redevelopment Agency Board Boynton Beach, Florida May 12, 2009 Ms. Bright requested confirmation the Downtown Master Plan would be discussed at the next meeting. Mr. Rodriguez clarified he wanted to know what was going to redevelop the downtown and corridor. Outside of the marina, he wanted to know what would be occurring and how they would connect to Ocean Plaza. Ms. Bright inquired if he wanted an activity report. Mr. Rodriguez noted businesses were closing and many businesses in Ocean Plaza already closed. XII. Comments by Staff Mike Simon discussed a Regional Forum entitled Harness Your City’s Night Time Economy, which will be held on May 28, 2009 in Delray Beach. A meeting was held with City staff regarding the Noise Ordinance and other issues associated with commercial and mixed-use zoning. Staff thought it would be beneficial for Community Redevelopment Agency Board members and City Commission members to attend. The issue was a major code enforcement matter and noise issues were becoming more prominent. Chair Taylor believed at a minimum two staff individuals should attend. Ms. Bright had previously attended. The notice was for the Board members’ attendance, and he suggested Ms. Bright, and the Special Events Coordinator at a minimum attend. The Community Redevelopment Agency would pay for Scott Blasie, Code Compliance Administrator, and Sergeant DeGiulio to attend. Nancy Byrne was also working on the Noise Ordinance. Mr. Simon advised they would bring important information and best practices back to the Board. Mr. Simon appreciated the input of the Board and the community at the Community Committee meeting. The meetings resulted in an exchange of ideas and demonstrated how one area could benefit other aspects of development. Mr. Simon praised the Boynton Beach Police and Fire Departments. He spent time with some of the Community Redevelopment Agency officers, and drove through the neighborhoods. The officers relayed their opportunity to make a change and they were seeing their policing differently, and as a redevelopment arm were working towards the same benefit. Much of what arose from the Community Committee meeting were initiatives and discussion. He indicated the statistics contained in the Police reports did not give justice to what they achieve in the community. The officers understand there were quality of life issues. Mr. Simon indicated extra kudos would be appropriate to the Police team. Margee Walsh , Marketing Director, explained she and Ms. Biscuiti recently met with Enid Atwater, Vice President of Marketing and Community Relations for the Palm Beach County Visitors Bureau. Nancy Spoto, their Marketing Director was present at the meeting. Ms. Walsh previously had a working relationship with them and extended an invitation to Ms. Atwater and Ms. Spoto to tour Boynton Beach. They viewed the downtown and Heart of Boynton area and were overwhelmed with what was developed. Ms. Biscuiti and Ms. Walsh volunteered to become Boynton Beach Ambassadors on the County Visitors Bureau and to work with meeting planners who scout locations for conferences, or activities for conference attendees such as diving or boating. Last month, the Post ran an article about a $3 million marketing blitz aimed to boost Palm Beach County’s Tourism Economy. That effort will be heard by the County Commission this month, and if approved, by partnering with the County Visitors Bureau, Boynton Beach was in a good position to become part of their marketing plan, commercials, advertising and websites. 15 Meeting Minutes Community Redevelopment Agency Board Boynton Beach, Florida May 12, 2009 The Community Redevelopment Agency was also approached by Marjorie Ferrer, Executive Director of Delray Beach Downtown Marketing Cooperative. Staff would work with Ms. Ferrer to put packages together for hotels in Delray Beach as there is a demand for fishing and diving, which Delray does not offer. There would be cross promotion of the two cities. Economic development was important. Ms. Walsh indicated she would put together a downtown marketing program for the next meeting. XIII. Comments by Executive Director Ms. Bright emphasized the Community Committee started as a sign-up sheet at the March 31st meeting. Anyone interested in knowing what the Community Redevelopment Agency was doing would be put on their email list and their direct mailing list. There was a cross section from all over the City on the Committee, and it was not inclusive. Ms. Bright thanked Ms. Biscuiti for scouting the Artavox Event, which would take place next week as the event was a way to showcase Boynton Beach and the County. She also enjoyed the viewing of Mama Mia. Yvonne Boice, Chair of the Palm Beach County Film Festival, was happy with the turnout as 300 people attended the event. She thanked Ms. Biscuiti for seeking out those opportunities for Boynton Beach. XIV. Comments by CRA Board Attorney None. XVII. Comments by CRA Board Ms. Ross commended staff. Alliances were being formed with key organizations in the County, especially the Palm Beach County Cultural Council for the Artavox event and the Palm Beach County Film Festival for showing the Mama Mia film. She would be speaking to Ms. Bright and presenting information about the Community Redevelopment Agency’s involvement with the Green Initiatives Program along with the City and there is much synergy there. The EDI Group that came into the Community Redevelopment Agency District was one of the types of business the Community Redevelopment Agency wanted to attract. Ms. Ross indicated it was very important to link it to the City. Ms. Bright was interested in developing green initiatives further. Vice Chair Hay was pleased with the work performed by staff. On March 10, 2009, staff was directed to meet with the community, which they did. Staff developed a plan, had direction and options. He was very pleased with the job staff did. Chair Taylor agreed and complimented staff. The meeting was very productive. The Community Committee meeting addressed many problems and gave great direction. He encouraged staff to continue the community meetings and keep up the good work. Mr. Weiland also gave kudos to staff. 16 Meeting Minutes Community Redevelopment Agency Board Boynton Beach, Florida May 12, 2009 XVIII. Adjournment There being no further business before the Board, the meeting properly adjourned at 9:00 p.m. (!IltWurr-L O)J)jLLL- Catherine Cherry 0 Recording Secretary 17