Agenda 12-10-13 BOYN
i
=M RA
CRA Board Meeting
Tuesday, December 10, 2013 at 6:30 PM
City Commission Chambers
100 E. Boynton Beach Blvd.
Boynton Beach, FL 33435
AGENDA
1. Call to Order
Il. Invocation and Pledge to the Flag
III. Roll Call
IV. Legal: None
V. Agenda Approval:
A. Additions, Deletions, Corrections to the Agenda
B. Adoption of Agenda
VI. Informational Items and Disclosures by Board Members and CRA Staff:
A. Disclosure of Conflicts, Contacts and Relationships for Items Presented to the CRA Board
on Agenda Items
B. Informational Announcements
Announcements & Awards: None
VIII. Consent Agenda:
A. Approval of Minutes — CRA Board Meeting, November 12, 2013
B. Approval of Period Ended November 30, 2013 Financial Report
C. Monthly Purchase Orders
D. Approval of Commercial Fagade Grant Application to Kathleen and Joseph Massey
E. Approval of Commercial Facade Grant Application to Law Offices of James A. Bonfiglio,
P.A.
F. Approval of Interior Build -Out Grant Application to James A. Bonfiglio, P.A.
IX. Pulled Consent Agenda Items:
X. Information Only:
A. Public Comment Log -None
B. 2014 CRA Holidays
XI. Public Comments: (Note: comments are limited to 3 minutes in duration)
XII. Public Hearing: None
XIII. Old Business:
A. Status of the One Boynton/Kanner & Pintaluga Project
B. Consideration of Request from HFHSPBC CLT, Inc. for Additional Down Payment
Assistance for the Ocean Breeze West Project
XIV. New Business:
A. Consideration of Special Events and Promotional Assistance Application Grant for the
Art al Fresco Event
B. Discussion of Paddle Board Launch in Boynton Harbor Marina
C. 2014 CRA Board Meeting Dates
XV„ Executive Director's Report:
A. New Businesses in CPA District
B. Development Projects Update
C. Reminder of Special Meeting on Notice of Intent to Dispose of Real Property 1000 and
1010 N. Scacrest Blvd.
XVI. Future Agenda Items:
A. Consideration of Issuing an RFPIRFQ for Fundraising for Event Sponsorships
XVII. Adjournment
NOTICE
IF A PERSON DECIDES TO APPEAL ANY DECISION MADE BY THE CRA BOARD WITH RESPECT TO ANY MATTER CONSIDERED AT THIS
MEETING, HE'SHE WILL NEED A RECORD OF THE PROCEEDINGS AND, FOR SUCH PURPOSE, HE/SHE MAY NEED TO ENSURE THAT A
VERBATIM RECORD OF THE PROCEEDING IS MADE, WHICH RECORD INCLUDES THE TESTIMONY AND EVIDENCE UPON WHICH THE APPEAL IS
TO BE BASED. (F.S. 286.0105)
THE CRA SHALL FURNISH APPROPRIATE AUXILIARY AIDS AND SERVICES WHERE NECESSARY TO AFFORD AN INDIVIDUAL WITH A
DISABILITY AN EQUAL OPPORTUNITY TO PARTICIPATE IN AND ENJOY THE BENEFITS OF A SERVICE, PROGRAM, OR ACTIVITY CONDUCTED
BY THE CITY. PLEASE CONTACT THE CRA AT (561) 737 -3256 AT LEAST TWENTY -FOUR HOURS PRIOR TO THE MEETING PROGRAM OR
ACTIVITY IN ORDER FOR THE CRA TO REASONABLY ACCOMMODATE YOUR REQUEST.
MINUTES OF COMMUNITY REDEVELOPMENT AGENCY BOARD MEETING
HELD ON TUESDAY, NOVEMBER 12,2013, AT 6:00 PM, IN CITY COMMISSION
CHAMBERS, 100 E. BOYNTON BEACH BOULEVARD, BOYNTON BEACH, FL
PRESENT:
Jerry Taylor, Chair Vivian Brooks, Executive Director
Woodrow Hay, Vice Chair Jim Chero, Board Attorney
Buck Buchanan
Joe Casello
Mike Fitzpatrick
Mark Karageorge
David Merker
1 Call to Order
Chair Taylor called the meeting to order at 6:30 p.m.
11. Invocation and Pledge to the FIr-9
The invocation was given by Vice Chair Hay followed by the members reciting the
Pledge of Allegiance to the Flag.
Ill. Roll Call
The Recording Secretary called the roll. A quorum was present.
IV. t. is None
V. Agenda Approval.
A. Additions, Deletions, Corrections to the Agenda
None.
B. Adoption of Agenda
Motion
Vice Chair Hay moved to approve the agenda. Mr, Mer seconded the motion that
unanimously passed,
MEETING MINUTES
COMMUNITY REDEVELOPMENT AGENCY BOARD
BOYNTON BEACH, FLORIDA NOVEMBER 1, 2013
I. Informational Items and Disclosures by Board Members and CRA Staff:
A. Disclosure of Conflicts, Contacts and Relationships for Items Presented to the
CRA Board on Agenda Items
Mark Karageorge disclosed in years 2008, 2009 and 2010, he was advising a developer
about a project. During 2009 and 2010, Mr. Karageorge ran for office. He disclosed a
person contributed to his campaign was the attorney for the current Boynton One LLC:
project. He was not elected and the was no current benefit, but he wanted the
relationship disclosed on record.
He also discussed forthcoming matters and other legal issues which may come before
the Board with Attorney Ken Spillias while attending the Florida Redevelopment
Association (FRA) Conference, He spoke with Attorney David Tolces, Counsel for the
Delray each CRA about the Auditor General's findings and recommendations. He met
with the owners of DJs Grill regarding the driveway curb-cut project and he also met
with Steve Michael and Harvey Greenbaum with Hudson Holdings about a future MILK
project.
Chair Taylor disclosed he was in contact with Mr. Camalier's representatives, Attorney
Bonnie Miskel and Rebecca Shelton by phone and in person to discuss how the project
was progressing.
B. Informational Announcements
Mr. Buchanan attended the Florida Redevelopment Association (F RA) Conference and
advised it was excellent and informative. He attended and worked the Pirate Fest and
Harvest Hoedown, He explained they were all great events in Boynton Beach. He had
no conflicts to report.
Mr. Casello also attended the FRA conference and the Chamber dedication with Ann
Barrett, a founder of the Chamber of Commerce. He and other Commissioners
participated at the Readersize at the Amphitheater, and he and his wife volunteered at
the Hoedown at Intracoastal Park. He commented most Commissioners attended the
Veterans' Day Ceremony at Veterans Park.
Vice Chair Hay agreed with Mr. Casello's comments and also attended a Ronald
McDonald event. He brought back the 2013 Best Look Brochure from the Florida
Redevelopment Association Awards and commented Boynton each was well
represented.
Mr. Fitzpatrick commented he had a brief conversation with Commissioner Sentamaria
at a Sierra Club event and he met with Steve Michael and Harvey Greenbaum,
principals of Hudson Holdings.
2
MEETING MINUTES
COMMUNITY REDEVELOPMENT AGENCY BOARD
BOYNTON BEACH,FL IA NOVEMBER 12,2013
Mr. Karageorge explained he attended the FRA Conference and Boynton each was
nominated for more awards in Florida than anyone else. The team is received with great
respect. He noted there were many Family Dollar Stores in the CRA Districts in Tampa
and a Family Dollar store was on the meeting agenda. The Tampa CRA was also
opening a Walmart, just as the Boynton each CRA did. He was pleased to know the
CRA has a reputation for doing things right.
Chair Taylor commented he attended the aforementioned events and pointed out Mr.
Fitzpatrick played a big role with the Stage Left Theatre and helped construct the stage,
which was appreciated. He spoke with Attorney Spillias socially at the FRA and he
commented they Agency received an award for the Little House and they were
mentioned in the program five other times for their projects. He congratulated the
Board. He and Messrs. Casello and Fitzpatrick attended a groundbreaking off West
Seacrest to construct a home for disabled veterans. The home will be a three-bedroom,
two-bath home. Disabled veterans worked alongside contractors on the project, giving
them home building experience so they can find future employment, hopefully in the
construction industry.
VIII. Announcements & Awards: None
V1111. Consent Agenda:
A. Approval of Minutes — CRA or Meeting, October 8, 2013
B. Approval of Period Ended October 31, 2013 Financial Report
C. Monthly Purchase Orders
IX. Pulled Consent Agenda Items;
None.
X. Information Only
A. Public Comment Log
XI. Public Comments: (Note: comments are limited to 3 minutes in duration)
Chair Taylor opened the public comments. No one came forward and public comments
were closed.
XII. Public Hearing: None
3
MEETING MINUTES
COMMUNITY REDEVELOPMENT AGENCY BOARD
BOYNTON BEACH, FLORIDA NOVEMBER 12,2013
X111. Old Business:
A. Consideration of Issuing an Invitation to Bid for the construction of the CRA
owned Public Parking Lot Project located at 208 NE 1st Street
Mike Simon, Assistant Director, reviewed the item. The invitation to bid would be
released after the CRA received final permit approval of drawings that are in a revision
review in the Building Department. He anticipated receiving the back early next week
and the Board will address the submission and release date, contingent an when they
receive final approval. The document was reviewed by Legal, less the submission and
release dates.
Motion
Mr. Kar moved to approve the issuance of the invitation to bid for the public
parking lot project on CRA property located at 208 NE 1 9t Street within three business
days of receiving the final building approval from the City of Boynton Beach, Mr.
Fitzpatrick seconded the motion.
Vice Chair Hay did not see a crosswalk on NE 1st Street.
Mr. Simon explained the City's Engineer and Building Department reviews did not
support the crosswalk at the intersection of 1st Street and 1 at Avenue. They addressed
the drawings per the City Commission comments, but were asked to remove it. The
crosswalk midway on I st Avenue that takes one to the sidewalk connector remained.
The street is a City-owned street. Currently the no /south street, (1 Street) is not a
stop street The east/West street (l Avenue) is a two-way stop. In order to decide how
to mark the four corners, it was the City's position it involved more research, analysis
and markings than the project warranted. The CRA and their engineering firm took
direction from the City Commission and submitted the drawings With the crosswalk as
discussed.
Andrew Mack and the Building Department staff took the position they would move
forward with the review of the drawings with the mid-street crosswalk on l Avenue. As
the project progresses, they will see what can be done to accommodate it.
Vice Chair Hay thought it should be reviewed down the road because it is not just an
ordinary parking lot. There will be kids, parents and strollers using the lot and it Will add
to the safety of the pedestrians. He requested the item be addressed at the next City
Commission meeting.
of
The motion unanimously passed.
4
MEETING MINUTES
COMMUNITY REDEV L T AGENCY
BOYNTON BEACH, FLORIDA NOVEMBER 1, 2013
B. Consideration of Agreement for Legal Services between the CRA and Lewis,
Longman aler, P.A.
Motion
Vice Chair Hay moved to approve. Mr. Karageorge seconded the - motion.
Mr. Merker expressed confused and had many questions. He understood the
change of based on conflict of interest. He supported the idea of
discussing t was right for the City; however, his research regarding conflict
interest with the attorney over the last five years revealed there were none. Since he
found no conflicts, he pursued the matter. He thought the real issue wasicost. He was
surprised the attorneys were negotiating their fees. He commented the fee for the
current counsel is $195 per hours. The new law firm quoted a higher fee and then
reduced the fees and came down to a month for everyday work and $230 per hour
for cases needing to be defended. The cost for the current attorney is less. Funds
were also proposed to be added to the line item. He inquired by they were potentially
spending more. He was against the move and was present to protect the City and
preserve and conserve funds.
Chair Taylor explained the need for other counsel was already decided and had nothing
to o with the current item, which was consideration of the agreement. Mr. Merker
differed and thought cost was a major issue.
Mr. Cilo thought the way the applicants were vetted was skewed. He did not feel
comfortable having all the applicants in the room, giving three to five minutes to present
their proposal. He had mentioned to Ms. Brooks he was concerned about the higher
fees. It was explained to him they would be negotiated to be in line with the current
counsel's fees, which he understood now was not the case. Personally, he was
satisfied with the current counsel and was disappointed with the fees.
Vice Chair Hay recalled instances where there were possible conflicts. One was the
parking lot on T st Street and the issue of handicapped parking and whether there was
an increase or decrease. The matter came before the Planning and Development
Board, and the Board was represented by Mr. Cherof s firm; however, Mr. Simon had no
representation. To him, that was a conflict when the City is represented by Mr. Cherof
firm and the CRA is not represented because the same firm represents both parties. H
recalled another time the CRA was paying for the maintenance of a streetscape, and it
came to the point they could not do so any more, which could have n opposed by
the City. It could have been another conflict. There was another issue pending that
would probably have a conflict. His position has always been to have separate legal
counsel for the City and the CRA.
Mr, Karageorge clarified the reason why he moved to issue an RFIP for legal services
as to avoid the appearance of conflict. The FRA suggested to the members at their
5
MEETING MINUTES
COMMUNITY L
BOYNTON BEACH, FLORIDA NOVEMBER 1, 2013
training, there be separate legal counsel. Some city ttoes handle CRA matters and
others have separate counsel. He pointed out ttomey Cherofs firm had the
opportunity to respond to the RFP and did not respond. After going out to , the
Board made a decision from the four applicants who responded. The brs are no
discussing the agreement fore them. They already made the decision and as a point
of order allowing discussion on the matter could only be achieved from someone on the
prevailing side to do so. He agreed with Vice Chair Hay's comments and was familiar
with the listed potential conflicts, which they were able to overcome. He expressed
there was. a potential conflict of interest with a project coming o the road. Chair
Taylor agreed with Vice Chair Hay and Mr. Karageorge.
Mr. Marker explained the word potential did not mean it would occur. He found the
issue being no one mentioned the cost. If all were satisfied with the current counsel, the
only issue is fees. If the fees are less, he did not understand why the Board wanted to
spend more to accommodate items that may or may not have conflicts and thought it
was ludicrous. Chair Taylor explained the fees were not the only issue, Mr, Marker
differed and noted there was a significant difference of per hour between the two
firms. Chair Taylor reiterated the FRA strongly recommended there be separate
counsel.
Vice Chair.ay called the question.
Vote
The motion passed - ( Messrs. Morker and Casello dissenting.)
C. Status and Direction of the One Boynton/Kanner & Pintaluga Project
Ms. Brooks explained since March, when they issued an RFP for property at 222 North
Federal, they got a response from One Boynton for a project involving an office building,
residential buildings and a hotel. Staff has been trying to obtain development terms to
enter into a development agreement. When an RFP is issued, the expectation is to get
business terms and a development and/or purchase agreement follows. Staff has not
been able to obtain such.
Staff made an offer on a piece property to locate Kanner and Pintaluga on their site,
contingent upon an appraisal and bringing it before the Board. Ms. Brooks and Attorney
Miskel have been emailing trying to get a response from her client on the contingent
offer on the land, which was a very generous offer. Between the cash and all else, the
offer was million for .6 of an acre. This is a high priority project that the Board has
identified as Class -A office space, creating jobs downtown which meets two goals of the
Board. Ms. Brooks tried to elicit a response and they could not get a price from the
seller, so the CRA made the offer. The negotiation between Kanner and Pintaluga and
One Boynton, who the CRA would be selling the land to, has a disconnect. Typically,
the letter of intent is between the entities buying the land (the ) and the party who
6
MEETING MINUTES
COMMUNITY
BOYNTON BEACH, FLORIDA 12,2013
would selling the r or leasing it. There has no real negotiation involving
the party who issued the , which was the CRA and the respondent, who was One
Boynton, on the potential terms. Ms. Miskel has ernailed Ms. Brooks over the n
and explained Mr. Camalier rejected 's offer for the I.
Mr. Karageorge inquired by the CRA o million for a property with a market
value 00,0 , based on a nearby similar undeveloped par 1. Ms. Brooks
explained the r I across the highway under contract for about $580,000. Mr.
C cello inquired if r. Camaller had an appraisal. Ms. Brooks explained r. Camalier
of an appraisal depicting property v to . It was not an appraisal banks
could use.
Mr. Merker commented in purchasing land, re is always negotiation. The party
purchasing h land wants to pay as little s possible and the party selling the land
wants to get as ch as possible. The third is the "Ci ( ). The key point is
the CRA would like to be informed perio i ll . He inquired whether the project was
dead or alive, and if alive, hopefully it ul to fruition.
Aftorney Bonnie i , on behalf of property owner, explained they bell ve the
project was alive until they read article -saying the project was dead. They did not
believe K was an accurate representation o h t had occurred. She clarified she just
of involved in the matter during the last two months, not in March.
The matter was unique because the GRA was not interested in acquiring the property
unless the firm of nner and Pintaluga was involved in the transaction, hich
complicated the matter. It was not simply a negotiation between a willing seller and
willing buyer. It was a situation with a conditionally willing buyer and a conditionally
willing seller and a third that is not bringing money to the table, but must occupy
the property for the Board to find the project appealing. It is not a typical transaction.
When Attorney Miskel became involved, she contacted s. Brooks and started to put
potential terms together. After discussions with the broker, they recognized the three
parties did not understand where each party stood. e had nticip t the future
occupant, Kanner and Pintaluga would participate in the transaction, but learned they
had a list of requirements, ut did not bring fns to the table. There were items all
parties were unaware of that needed to be resolved in order to return tote Board with
negotiated t r s.
Attorney.Miskel believed all parties were on the same page. The CRA made an offer,
which her client rejected. At her next ti with Ms. Brooks a few days later, they
verbally advised t. offer was rejected, but the idea was there may be other ways to
come to terms, such as land swaps to make the transaction more financially feasible for
all parties concerned.
MEETING MINUTES
COMMUNITY L
BOYNTON BEACH, FLORIDA 12,2013
When Attorney Miskel and all parties met at the CRA office, including ro er
representing Mr. Kanner, new information came forth. Her understanding was they
needed to ensure that t ultimate s rh "skin in the " and was prepared to
move i, in the event they negotiated I. Subsequent meetings were I Within a
few s, she drafted a letter of intent and the did not respond until last Tuesday,
They now have something from them which would warrant continued I to u bout the
matter. There is an understanding between the user and the seller so they can
negotiate and deal with prices, II else. There are three committed
parties.
Chair Taylor has been involved talking it the parties, as the project was substantial if
they can make it happen. It comes down to o y. The CRA made a good offer and
CRAs often pay more than a project is worth, but the idea is to kick-start the onto .
The ut "skin in the a r, Carnaller needs to provide cc t bl price
and the CRA needs to find out the position of Kanner and Pintaluga. They are getting
free land to build a building, and if there is a gap, perhaps staff can contemplate ho
they can fill i. He suggested llo i another 30 days to see if an agreement can be
negotiated. t the end of 30 days, the Board can determine whether to move forward.
Motion
Vice Chair Hay moved to do so. Mr. Fitzpatrick seconded the motion.
Mr. Buchanan commented the CRA is buying, One Boynton was selling. He inquired
what difference the third party would e.
Attorney Miskel explained the CRA is only interested in buying the land if n Boynton
brings in the law firm, with all its employees, and their commitment to construct an office
building of minimum size of 50,000 square feet. If they are not part of the deal, it was
Attorney is el's understanding there was no deal. Normally, a sale occurs from a
willing seller and a willing buyer if they can agree on rice. Kanner and Pint lu a has
submitted a contract that suggests they are willing to build a million dollar
office building. It was just received last Tuesday.
Mr. Buchanan inquired by the CRA was not negotiating it the law firm. Ms. Brooks
explained the way she would have structured the deal was she would have r fte
agreement with Mr. Camalier, contingent on the CRA getting letter of intent from
Kanner and Pintaluga. Instead, they are getting a letter of intent from Kanner and
intalu a, contingent on them making a deal with the CRA.
Mr. Fitzpatrick agreed with the concerns raised by r. Buchanan. He commented the
Board just wanted One Boynton to sell the land to them and thought orny Miskel
had taken on too much as the CRA is paid to negotiate. He thought Mr. Ca alier was
complicating the deal. Attorney Miskel clarified no one said the CRA could not
negotiate and Mr. Carnalier was willing or it the Board if they ul come up
MEETINQ MINUTES
COMMUNITY REDEVELOPMENT AGENCY BOARD
BEACH BOYNTON FLORIDA NOVEMBER 92, 2093
with a reasonable price. The owner was approached to urch land n he
thinks it's a great ie nd for downtown. So far, the parties have gotten c further
in one month than they had in six. She thought they were moving in the right direction.
They are now in a place to v e productive conversations. The landowner would not
just give away the property.
Ms. Brooks acknowledged the progress Attorney Miskel has made and Attorney Miskel
appreciated the 30-day extension and explained they ill move forward. If they cannot
make the project work, they will acknowledge that. Ms. Brooks explained there is n
open RFP which involves the C 's land on the opposite er, where they are
discussing urch sin . Development business terms were still needed and all agreed it
is a great project. It came down to terms.
Mr. Fitzpatrick noted there are other players coming down the road such as Hudson
Holdings and Ls. If the CRA comes across as a push over to cut a deal, he
thought they were setting a bad precedent for the next project and he would rather see
this project fail than that occur.
Mr. C silo noted it was Ms. rooks' job to ri the issue together and he left it to her
to it happen. Mr. Karageorge commented the Board issued an RFP and One
Boynton responded. He agreed the negotiations were not handled in the normal
development manner, and had issues with One Boynton meeting with
and not the entire Board. He had problems with the Anderson & Carr appraisal, as it did
not look at the land in its current status, which is vacant. He also did not look at the
property appraiser because it was not market value, only taxable value. When he looks
at n appraisal, he reviews the market value of comparable properties. The properties
used for comparisons were fully developed, not vacant. Mr. Karageorge felt that if staff
handled the matter in the usual way, they would haves cured intent from anner and
Pintaluga and the CRA needs to negotiate with One Boynton on o le value.
He acknowledged the owner over paid for the land and his timing of the purchase was
when the market was at a high point. He liked the additional 30-day extension and he
had confidence in staff and Attorney Miskel. He wanted to see 200 jobs. come to the
location, but he would not give away the store. There may be others interested. To his
knowledge, this is the third proposal made on the property. He commented a would
not accept the Anderson Carr appraisal,
Mr. Merker agreed with the Mayor and the suggestion for a 30 extension. It was an
important project and catalyst for the downtown. He hoped all parties would make the
project work as it would be good for everyone.
Chair Taylor explained h et with r. Camalier and noted r. Ca alier did not meet
with all oar ebe He clarified he invited Mr. Camalier to town and to sit at the
table with Mr. Kanner to determine the status of the project. He thought it was
productive discussion. Attorney Miskel expressed confidence in staff. Ms. Brooks
MEETING MINUTES
COMMUNITY REDEVELOPMENT AGENCY BOARD
BOYNTON BEACH, FLORIDA NOVEMBER 12, 2013
explained she and Attorney Miskel communicate well. Mr. Casello suggested
negotiations remain at the table and not in the press.
Vote
Mr. Merker seconded the motion that unanimously passed.
(Mr. Ma left the is at 7:33 p.m.)
Mr. Fitzpatdck not he went to the water planting event and parked on the CRA
property. There was sod laid, which looked like it of die unless it was watered. Ms.
Brooks commented it is Bahia grass, and when it rains, it will come back. It cost over
$3,000 for an irrigation system and a pump. Mr. Simon explained they typically sod
over the demolition area. For two months, it rained so heavily, they could not harvest
the sod. After it was laid, it had not rained. The grass is bred to come back when it
rains. They were going to irrigate the area, but the staff was hesitant to spend the funds
to beautify the corner in the event the property changed hands. Staff will update the
maintenance bid. Currently, there is not enough pressure in the line to irrigate all the
sprinkler heads, which requires a different system.
(Mr. Merkerretumed to the meeting at 7.34 p.m.)
Mr. Fitzpatrick commented he was concerned if negotiations did not progress, the rest
of the property would be maintained and not the CRA lot Ms. Brooks explained to
would prepare the bid to go through the process.
XIV. New Business
A. Consideration of Request by Boos Development Group for Awuisition of CRA
Property at Martin Luther King, Jr. Ave. and Seacrest Blvd.
Ms. Brooks explained there were a number of development groups looking to develop
retail on MLK and Seacrest. Of the three, Boos Development Group has been eble to
assemble property on two lots needed to construct a retail store on the SW corner of
MLK and Seacrest. The request is to obtain two lots on that corner. One was a former
convenience store and one is the old church that was just vacated on V h and Seacrest.
They are seeking the lots at no cost use the other two lots they have under site
control cost the in excess of the value of the properties, which was what they
anticipated. One lot was vacant on MLK and the other had a small house on it.
Paul lay with Boos Development Group, 5789 NW 151' Street, Suite B, Miami
Lakes, the regional director of real estate and development for the south Florida office
made a presentation. Also present was Henry Dirksen, Real Estate Manager, and
Sharon Boggs, Project Manager.
10
MEETING MINUTES
COMMUNITY L T AGENCY BOARD
BOYNTON BEACH, FLORIDA V 12,2013
The development group is a privately -held, fiamily- owned company, founded in 1997.
The executive team has ore than 200 years of collective experience. They have retail
development and public accounting backgrounds in ddition to extensive in-house real
estate research and acquisitions experience, and development staff can deliver retail
expansion programs nationwide. They handle all phases of the project from cisition
to turning over the keys. They have a unique business model and provide real estate
services to selected clients. They have developed patterns of strategic growth in
response to specific client needs. Their headquarters i in Clearwater, and they have
offices in Miami, Atlanta, Birmingham, Bentonville, Philadelphia, and outern
California. They are a fee for service developer. They are paid a set fee to deliver a
product to a client. Regardless of the land value or return on investment to the client,
their fee is only based on the success of the project as lump sum and not on
graduated sale. They are paid at the end. They have done over million worth of
work for CVS, Family Dollar, Chase Developers, and Car s, Outback and
Advanced Auto Parts.
Family Dollar is a primary client and they pride themselves in being neighborhood
store. Once the store opens, they will ensure it will be a positive addition to the
community. The store's core clients are moms with limited means who constantly
budget balance. The store employs between eight and 10 persons and always hire
within the community. Urban shoppers need the same value, convenience and brands
as other shoppers and they do a good job with having up-to-date products.
Henry Dirksen, of the same address, is a real estate manager who identifies sites
where there is need for a store and where it would benefit the community and the
client. They reviewed the SE corner of Seacrest and MLK and identified four parcels,
a of which are owned by the CRA at 1000 and 1014 N. Seacrest, and two parcels
owned by private property owners. He worked with the owners to acquire the property
to assemble the land for the store and agreed on a price, and signed contracts. They
were now seeking CRA support for their parcels.
Boos Development visited the site with the Family Dollar Vice President, who approved
the project to be advanced to their Real Estate Committee to seek their corporate
approval, which would occur after CRA approval. The entity that will close on the
property is Family Dollar and they sought the 's support. He showed an aerial of
the different parcels and the site plan. They received input from the Planning and
Zoning staff and promulgated a site plan that meets the requirements ' of Family Dollar
that accesses visibility, trucking and store operations, but also meets the goals of the
CRA Overlay District for a store that will provide a benefit to the community.
The site plan did not encroach on a site with public art or mechanical equipment that
operates the traffic signal. They are working through what the ultimate product would
look like and drafted a very preliminary elevation. Photographs of what the other stores
looked like were viewed.
1i
MEETING MINUTES
COMMUNITY REDEVELOPMENT AGENCY BOARD
BOYNTON BEACH, FLORIDA NOVEMBER 1, 2013
ffl� 9 wr•r Mr. Karageorge inquired about curb cuts after the monument sign on Seacrest for
dumpsters; however, it was learned that area was for open access. Mr. Merker inquired
if the store was corporately owned or franchised and learned it was corporately owned,
Mr. Tremblay explained the project is an open infill project that is the goals of the
CRA. They believe it is the highest and best use of the property. It is very compatible
with the community, and it is a nice product that will fit in with the neighborhood. It MI
contribute to the tax base, add jobs, can be a focal point to the area, and it has
convenience and adds value to the area, which could provide a leadership effect to the
area. The store includes groceries.
Vice Chair Hay was excited about the project. It was a long awaited project top vide a
jump-start to the area. He inquired about property on to Avenue which would prevent
Family Dollar from squaring off the property. It was explained that lot was a residential
lot and was not zoned for commercial use. Square is always better, but in this case, it
would add a cost to the property. The project could or without it and remain in
budget.
As to whether there were any mom and pop operations in the near vicinity that could be
affected, Ms. Brooks explained there are small convenience stores in the neighborhood,
but they are not full service. The project would have food and sundry items. The
existing stores do not. She thought the convenience stores were not providing what the
neighborh ood would like. In the Heart of Boynton plan, the neighborhood wanted the
stores gone because in many cases they are a nuisance.
Chair Taylor explained, having spent many weekends trying to stamp out drugs, this
type of store will accomplish what the CRA is supposed to do. They have eliminated
undesirable operations and they will bring in something the community wanted. This
would be the first step to upgrade the neighborhood.
Mr. Buchanan supported the project and requested staff work on the appearance of the
building as the elevation could be more visually appealing with a floribbean flavor and
enhance Ocean Breeze West. Vice Chair Hay agreed and commented he had spoken
to the owner of the closest business, just east of the proposed project and told him of
the potential for the project and he had no problern with it.
Motion
Vice Chair Hay moved to publish an Intent to Dispose of the Real Property at 1000 N.
Seacrest Boulevard and 1010 N, Seacrest Boulevard, including the legal description in
the notice, conduct an independent real estate appraisal of both parcels and schedule a
review of parcels at the January 14, 2014, CRA Board meeting. Mr. Karageorge
seconded the motion.
12
MEETING MINUTES
COMMUNITY L Y BOARD
BOYN BEAC FLORIDA NOVEMBER 12, 2013
Mr. Fitzpatrick commented Hudson Holdings was also discussing roc store
located u r yards away. Ms. Brooks explained in her conversations with
them; they were talking out operating something i r t than this, She thought they
ul ke adjustments as needed. Mr. Fitzpatrick pointed out they had budget for
the pro rty and two property owners exploited it knowing the CRA wanted the j
to come to fruition. He inquired if this was a trend d where the balance was. He
thought it was the same thing that was occurring ith Kanner and Pintaluga.
Mr. C cello noted they paid $345,000 for a parcel appraised at $35,000 which was the
currentselling price. Ms. Brooks explained the proposal was to turn over the property
for $10. There was a convenience t on the ro when it was purchased for
$345,000 in February 2010. Ms. Brooks explained they have to obtain appraisals for
land purchases. He questioned paying $345,000 for property they would give away for
10. Ms. Brooks responded they can request to see the contract with property owners.
There are property owners who have been there a long time, one of them, the former
CRA Chair, who purchased several properties where the CRA was buying land with the
intent of the CRA purchasing the land from him. She commented this was what the
Agency up against.
Mr. Karageorge explained the store was one of re crime nodes identified the
Police Department when they purchased it. The CRA purchased the property ith the
intent to redevelop it s retail for an anchor on the corner. He explained the area was
food desert and it solves the food desert problem. It takes the establishment from a
convenience store to a more full service store. He wanted to know what the purchase
price and e commented they still have to through the other hurdles to ry
the development. However, it already went through the corporate Board process n if
approved today, they only have to o through the real estate committee for approval.
Mr. Merker thought the project was a positive attribute.
Mr. Casello expressed his concern the CRA paid 345,000 for a building they
demolished and then was asked to sell the land for $10.
VOW
The motion unanimously passed.
B. Review and Evaluation of Delray Beach CRA Auditor General's Findings and
Recommendations
Ms. Brooks explained this item was at the request of Mr. Merker. The Delray Beach
CRA had the Auditor General review their work and there were 19 findings. Attorney
David Tolces reviewed the findings with them and there was nothing serious. Susan
Harris, Finanoe Director, prepared a spreadsheet comparing the Delray Beach CRA
findings to the Boynton Beach CRA and whether any findings applied o the Boynton
Beach CRA. Ms. Brooks explained, for the most part, the findings do not apply to them.
1
MEETING MINUTES
COMMUNITY REDEVELOPMENT AGENCY BOARD
- BOYNTON BEACH, FLORIDA NOVEMBER 1, 2013
They have had five years of clean audits. After reviewing it with Attorney Tolces, it was
determined the Delray each CRA operates differently, as they fund non-profits
annually at a very high rate. Some of the issues were they were issuing payments
before they received the required reports, which the Boynton Beach CRA does not do.
Mr. Ma wanted to ensure the Boynton each CRA was aware of the issues. Ms.
Brooks agreed and noted CRA's are in the limelight.
Attorney Cherof pointed out finding No. 8, means CRA staff members will be assisting
Board members next year with respect to Financial Disclosures since a few members of
the Board failed to timely file this past year. The matter was cured by filing, but it was
after the deadline. Ms. Brooks inquired if the members file as City Commission
members, whether they would have to file as a CRA Board member and Attorney
Cherof responded they did not. Only the appointed CRA members would be assisted
by staff.
C. Consideration of Funding the Driveway Curb-Cut Closure Project Located
within the Florida Department of Transportation (F T) Right-of-Way at 301
. E. Boynton each Boulevard
Mike Simon reviewed the item. They were working with Kimley-Horn on the Boynton
each Boulevard Beautification Project, part of which was identifying existing
conditions. One condition brought forward in the conceptual preliminary stage was the
many curb cuts along the middle lane. In this case, the owner of the property at 301 E.
Boynton each Boulevard, D.J.'s Grill, wanted to expand his facility to allow for outdoor
cafe dining and other improvements. The CRA was assisting them with the
improvements and they had utilized an architectural enhancement grant. In this
instance, the curb cut and apron to pull into the property exists within the Florida
Department of Transportation right-of-way. Staff was requesting approval to pay for the
renovation and reconstruction of the apron to the F standard sidewalk. It will be
beneficial to the area. It eliminates an excess drive apron and allows a restaurant to
have cafe dining.
Vice, Chair Hay had breakfast there and commented they did a great job with the
modification. This was a good improvement to the project. The platform is beautiful
and the curb area needed to be addressed. He supported the project.
Mr. Casello inquired why the curb existed there and it was learned it used to be parking
at one time.
Motion
Vice Chair Hay moved to approve. Mr. Ma seconded the motion.
14
MEETING MINUTES
COMMUNITY REDEVELOPMENT AGENCY BOARD
BOYNTON BEACH, FLORIDA NOVEMBER 12, 2013
Mr, Karageorge explained they are planning on making more improvements to the site,
to the exterior and it would be good if they can motivate the surrounding businesses to
do the same.
Vote
The motion unanimously passed.
XV. Executive Director's Report.
A. Special Events Recap — Pirate Fest and Mermaid Splash
Ms. Brooks explained they tracked attendance throughout the two-day event and
estimated out 8,000 people attended. Between sponsorships, concession rebates
and vendor fees, they raised $12,550. Next year, she wanted to rely more on
sponsorship to underwrite the events and would bring an RFOJRFP for that service,
which is outside the realm of the CRA's expertise. She hoped the funds would be
raised through the Greater Boynton each Foundation since they are a City non-profit
to fundraise for that purpose. She sought to take the larger events off the budget and
onto sponsors to use the CRA funds for projects. As events become larger, she
anticipated sponsorship would become easier. She was aware Corona loved the event
and wanted to discuss how to make it bigger next year.
The Children's Schoolhouse Museum attendance was down a bit because the mermaid
tank was there. They did not have their tent erected until the second day of the event
nor did they have a proper sign for the event. Mr. Fitzpatrick inquired if the CRA would
keep having events crossing Federal Highway and Ms. Brooks responded they would
not.
B. New Businesses in CRA District
Ms. Brooks advised from June to October, there were 26 new businesses in the CRA
District. ' She thought this was indicative of the economy returning, the Agency's
marketing efforts, and creating a positive business environment. She commented only
two of the businesses received grants, but because there is a business-friendly
environment and assistance available, it creates an atmosphere businesses will want to
come to. She thought 26 new businesses was outstanding,
C. Development Projects Update
Ms. Brooks explained there is a project called 500 Ocean proposed, which was what the
site was formerly known as. The proposal includes 345 rental units and 15,000 square
feet of retail. It is a nice looking project and she and City staff met with the developers.
The CRA requested a few adjustments and the developers will submit their site plan in
15
niby -;
- tr
7!. oe , 1 A,
-; •
SYNERG
ART SYNERGY is a counby-wide initiative
bo promote bhe qualiby and diversiby of bhe
arts and culture of our vibranb community.
iy'
LOO'
Visib us at palmbeach BOOTH #
uNDERwRfT BY:
P11-11 SPONSORED BY: palmbeach
1
TT 1, A
CULTURAL HIVE MAGAZINE Lek) mi.
COUNCIL
of Palm Beach Coen!) LU ;WE ""::
1
La . 24,
Mi9, • - Er
CRA
. •
ARTSYNERGYPBC.COM
�► 1111 * E V
ENT � .
SYNERG Wed Jan 22 / Thurs Jan. 23 Fri. Jan 24
Fri. Jan 24 Sat. Jan. 25 JANUARY 24, 2014
ART PALM BEACH WEEKEND
Sun. Jan 26 ARTal'FRESCO
CONT1IJWWM Boynton 8O N7O BEAC.HM71}151R1:1'i
WEST PALM BEACH ART5 ech Art District
312 Clematis street 422 W Industrial Ave. Boynton Beach
Downtown West Palm Beach
Thurs Jan. 23 / Fri. Jan 24 Sat. Jan. 25
Sat. Jan. 25 / Sur. Jan 26 HISTORrC; NORTH,YOCD 'J∎LLA ■A
ANTI QT
.L11-1llltL,_r_E1_-
Northwood Vilage
S Dixie Hwy West Palm Beach West Palm Beach
Thurs Jan. 23 / Fn. Jan 24 Sun. Jan. 26
Sat, Jan. 25 / Sun. Jan 26
Oo R11 AYE. La ' J Q o P
Palm Beach Urban Arts Lofts Lake Worth
For Details Visit
ARTSYNERGYPBC.COM