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Minutes 09-13-22 Minutes of the Community Redevelopment Agency Board Meeting Held on Tuesday, September 13, 2022, at 6:00 PM in City Hall, Commission Chambers 100 E. Ocean Avenue, Boynton Beach, Florida Present: Ty Penserga, Chair Thuy Shutt, Executive Director Angela Cruz, Vice Chair Kathryn Rossmell, Board Counsel Woodrow Hay Thomas Turkin Aimee Kelley Call to Order Chair Penserga called the meeting to order at 6:06 P.M. 1. Invocation The Invocation was given by Board Member Hay. 2. Pledge of Allegiance Board Member Turkin led the Pledge of Allegiance to the Flag. 4. Roll Call A quorum was present. 5. Agenda Approval A. Additions, Deletions, Corrections to the Agenda Chair Penserga announced that he wanted to group like items on the agenda. The agenda was reordered as follows: ➢ Item 14D was removed from the Agenda; ➢ Hearing Item 14 A and Items 16 B and 15 C after Items 13 C and 13 D; ➢ Moving Item 14 C to after Item 13 G; ➢ Moving Item 14 E to after Item 13 H; and ➢ Item 16 C will be discussed with Item 10A. Board Member Kelley asked for an update from the Police Department regarding the Neighborhood Officer Program (NOP.) She said that there was agreement to put this item on a Future Agenda for October. Meeting Minutes Community Redevelopment Agency Board Boynton Beach, Florida September 13, 2022 no B. Adoption of Agenda Motion Board Member Turkin moved to approve the agenda as amended. Board Member Kelley seconded the motion. The motion passed unanimously. 6. Legal Kathryn Rossmell, Attorney with Lewis Longman and Walker, stated that the City retained them to work on certain matters related to the Town Square project. She said that if there is any conflict, they will use waivers and withdraw from representing the City and continue on representing the CRA. 7. 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 There were no disclosures made by Vice Chair Cruz, or Board Members Hay, Turkin, or Kelley. Chair Penserga disclosed that he spoke with Dr. Cleckly and other potential tenants regarding Item 14 A. 8. Announcements and Awards A. 2022 Florida Festivals & Events Association SUNsational Awards Renee Rosario, CRA Social Media and Communications Specialist, stated that the CRA received six awards and there were 500 entries for eight categories. She said that the Boynton Beach CRA won 1 st Place for the CRA's Annual Report, 1 st Place for the Pirate Fest Street Banners, 1st Place for Pirate Best Promotional items, 2nd Place for Community Engagement Response through the Pandemic for the Rock the Block event, and 3rd Place for their Pirate Fest Event Guide and photo. Ms. Shutt also recognized Ms. Coppin, CRA Business Promotions and Events Manager, who was out sick, for her work. 9. Public Comments A. The Public Comment section of the meeting is for public comment on items that are not on the agenda. For items on the agenda, the public will be given an opportunity to comment at the time each item is considered. Each speaker will be given a total of three (3) minutes to comment; however, the Board retains the right 2 Meeting Minutes Community Redevelopment Agency Board Boynton Beach, Florida September 13, 2022 to reduce the number of minutes prior to the start of public comment. Persons making public comment may not assign or donate their public comment time to another individual to allow that other individual additional time to comment; however, any persons requiring assistance will be accommodated as required by the Americans with Disabilities Act. Prior to addressing the Board, please go to the podium or unmute your device when prompted, and state your name and address for the record. Ernest Mignoli, 710 NE 7t" Street, Unit 407, stated that relative to comments about the CRA, the CRA is involved with older properties all over the District. He opined that the CRA starts with HOAs, lawyers and engineers, and they target properties that they can let get run down, that they then purchase. He commented on issues with the building he lives in. No one else coming forward, Public Comments was closed. 10. CRA Advisory Board A. Pending Assignments 1. Review and Discuss the CRA Funded Current and New Business Promotions and Marketing Events including Strategies to Promote the Marina Ms. Shutt stated that the Advisory Board will make a presentation to the Board in November. She further advised that they received a request from the Recreation and Parks Director to present the Parks Master Plan at the Advisory Board's October Meeting, which the CRA Board would assign to them. She asked if the Board also wanted a presentation on the Master Plan at its October CRA Meeting. She advised that will be the CRA Advisory Board's next assignment and Advisory Board Member Joe Josemond will make the presentation. She said that the CRA Board will also hear the presentation from Recreation and Parks directly. 11. Consent Agenda A. CRA Financial Report Period Ending August 31, 2022 B. Approval of CRA Board Meeting Minutes -August 9, 2022 Motion Board Member Hay moved to approve the Consent Agenda. Board Member Kelley seconded the motion. The motion passed unanimously. 12. Pulled Consent Agenda Items None. 3 Meeting Minutes Community Redevelopment Agency Board Boynton Beach, Florida September 13, 2022 13. Old Business A. Discussion and Consideration of PBSO and the Fuel Discount for the Boynton Harbor Marina (TABLED 08/09/2022) Motion Board Member Kelley moved to remove from the table. Board Member Hay seconded the motion. The motion passed unanimously. Motion Board Member Turkin moved to eliminate this item. He stated that he felt the only discounts given should be to our Police Department. Board Member Hay agreed and seconded the motion. Motion Board Member Turkin moved to amend his motion and not approve the item. Board Member Hay seconded the motion. The motion passed unanimously. B. Discussion and Consideration of a Draft RFP/RFQ for the CRA-owned Property located at 401-411 E. Boynton Beach Boulevard Tim Tack, CRA Assistant Director, directed staff to draft the above due to a Letter of Intent from the United States Postal Service (USPS) for a new post office on the above properties. He said that the final draft was forwarded to the Board and there were two changes, which were to update the drawings that included building shell requirements that the developer could use as guidelines for the proposal. John Hancock, USPS, was available online to answer questions. Chair Penserga opened Public Comments. No one coming forward, Public Comment was closed. Motion Board Member Hay moved to approve the Draft RFP/RFQ for the CRA-owned property located at 401-411 Boynton Beach Boulevard and issue it subject to the USPS and CRA final Legal review. Board Member Turkin seconded the motion. The motion passed unanimously. C. Semi-Annual Progress Report for the Purchase and Development Agreement with Wells Landing Apartments, LLC d/b/a Heart of Boynton Village Apartments 4 Meeting Minutes Community Redevelopment Agency Board Boynton Beach, Florida September 13, 2022 Mr. Tack stated that the developer is required to submit a progress report every six months until the end of construction. He reviewed the requirements and the building progress. Mr. Swezy stated that they just topped off the building and were getting ready to install the windows. He advised that this will be finished by the end of January, and the buildings to the south will be done by April. The remaining buildings will be done by June or July. He said that they hired community partners through their construction arm, RS Construction. Item 15C MLK Jr. Boulevard Corridor Mixed Use Project (d/b/a Heart of Boynton Village Apartments) Update Mr. Tack reviewed the progress of the MLK Jr. development and stated that it is providing 124 multi-family units and commercial space. He reviewed the building progress and advised that the project will be finished in early 2023. Board Member Hay commented that he passes by the development nearly every day and he is excited about the progress. He complimented Centennial Management for keeping the grounds clean and asked if Centennial was looking to use any local vendors on site. Mr. Bilton commented that their plumbing subcontractor is from Boynton Beach, and that they wanted to use another electrician, Sir Electric, but they were too busy to do the work. He said that he did not know if the landscaping and irrigation contracts were issued. Item 14A Discussion and Consideration of Additional Funding for the Commercial Spaces within the MLK Jr. Boulevard Mixed Use Development (n/k/a Wells Landing Apartments, LLC d/b/a Heart of Boynton Shops) Bonnie Nicklien, Grants and Project Manager, stated this is a follow up from the August Stn Meeting where prospective tenants shared concerns about the high cost to make the bays move in ready. She spoke about the tentative leases in place for each unit. She explained that the CRA will provide $2M for reimbursement of eligible costs for the development of the commercial space. She reviewed the eligible improvements as contained in the agenda item and the funding for the project The CRA also received a cost estimate from the contractor on site for the 1 K square-foot office for the NOP totaled $69,813. The project is presented to the tenants as a gray shell which is a barrier to many businesses who cannot afford to make those improvements. Chair Penserga hoped the Board could find funding. Ms. Shutt noted that aside from what they can fund under this year's FY budget allocation, they have $87K that can be used for mechanical/electrical/plumbing. She said that there were opportunities for the Board to bridge the gap and they will help tenants apply to the County for matching grants. 5 Meeting Minutes Community Redevelopment Agency Board Boynton Beach, Florida September 13, 2022 Chair Penserga agreed to not pay for additional fixtures, but thought that the basics, such as lighting, electrical, and plumbing should be provided. Board Member Turkin inquired about a credit Centennial will be given. Ms. Shutt responded that would be addressed under item 16B. She stated that the County has two funding allocations they can provide to the project, one of them being $1.49M in SHIP Funds, and there is an impact fee credit. Paul Bilton, Centennial Management, stated that the impact fee credit was already applied for and awarded, so there are no additional funds. He explained that the $1.5M SHIP is additional funds, but it does not cover all in terms of increased financing and construction costs; it is already figured into their sources and uses, and there is still a funding shortfall. Board Member Kelley asked if Ms. Shutt had an estimate of what the County grants would amount too. Ms. Shutt stated that it is a Section 108 Loan for eligible operations. She explained that tenants would have to apply. Board Member Hay asked about the terms of the Section 108 Loan, which Ms. Shutt explained. He commented that they have to do whatever they reasonably can to make the project a success. Ms. Shutt pointed out that the Board had approved the NOP office, which freed up 2K square feet of community space, and the CRA committed $65K to develop the space and Centennial committed $50K, but Centennial will determine which non-profit would inhabit the space Chair Penserga opened Public Comment. The following individuals were potential tenants in Wells' Landing who thanked the Board for their efforts to assist them: • Sylvia Gillian, Gillian & Co.; • John LeJeune, Delvegan Restaurant. He noted restaurants require higher front- end costs and hoped the Board would consider greater assistance; • Dr. Monica Roundtree Cleckly, medical office; • Christopher Hamilton Linton, Co-owner of the Lord's Place, agreed restaurants require more funding to launch; and • Lilian Cassandra, Meline Hair Salon. No one else coming forward, Public Comments was closed. 6 Meeting Minutes Community Redevelopment Agency Board Boynton Beach, Florida September 13, 2022 Lewis Swezy, Centennial Management, stated that they are still waiting for tenants' plans and until then, they have no budget. Mr. Bilton explained that they have seen some draft plans, but it would be subject to the Board's decision. Ms. Nicklien stated noted that Jonathan Embry, Architect from West Palm,was handling the plans for five of six of the potential business tenants. The tenants present gave an update on their plans. It was noted the restaurant will occupy three bays and the costs would likely be triple. Mr. Swezy stated that there are cost overruns and he did not know where his numbers would end up, but agreed he would return with updated figures. Ms. Shutt gave a quick accounting of the funds so far for the CRA and she provided an overview of Ocean Breeze and noted that a contract amendment would be made. Attorney Rossmell summarized that in exchange for releasing the commercial space requirement from the Ocean Breeze East project, the CRA will take $65K for that space and use it for funding. She said that Centennial will take $50K and put it towards Well's Landing for that space and Centennial no longer be obligated to use that space. She stated that all were in agreement and that this will come back to the Board at the next meeting. Chair Penserga stated that ilf the Board contributes from the 22/23 budget, there would be about $58K for each space to use for mechanical, plumbing and ADA bathrooms on top of the $292K, and then they freed up $202K. There was consensus that Legal will bring back the agreements. D. Semi-Annual Progress Report for the Development Agreement with Wells Landing Apartments, LLC d/b/a Heart of Boynton Shops Mr. Swezy reported that they just topped off the building for the shops on the north end and will install the shop windows He said that they will be ready to finish that building by January, one building to the south will be finished in April and the other in June/July. He stated that they hired community people to work with them and RS Construction, which is their construction arm. He noted they want to work with the tenants and they need to lock in the prices because they are escalating quickly. E. Update Regarding a Purchase and Development Agreement with Pulte Home Company, LLC for the Cottage District Infill Housing Redevelopment Project Ms. Shutt stated that to-date, they demolished all of the existing structures. She reviewed that the Board accepted Pulte homes to build 41 units, 9 to 11 single-family detached 7 Meeting Minutes Community Redevelopment Agency Board Boynton Beach, Florida September 13, 2022 units, and the remaining units are townhomes in 5 buildings. She said that they wanted to try to get to a range between $169K to $200K in the low to moderate income category. She commented that the revised plan had a change in the park location and the access drive, in which staff will seek Board input, and staff also needed direction on the home elevations and the site plan lay out. She explained that the lots are 50-feet wide and 100- feet long, and if rezoned, they could have more units. Mr. Maxsey, Pulte Homes, stated that the park in the proposed plan will have more open space and adding the eight additional units was due to reduced lot sizes and reduced park size. He requested that the Board select a style and said that they could make minor exterior changes to have a greater cottage look. Attorney Rossmell clarified that the Board would indicate if they consent to Pulte moving the process forward with the site plan and rezoning. Chair Penserga asked if the Board was comfortable with the revised site plan or not or if they wanted to increase the number of single-family homes. After discussion, there was agreement on the following: • To provide more single-family homes with five feet between the homes; • The style of the homes would be Coastal; • The park would be maintained by an HOA; • They would remove the playground parking if the Code would allow it; • They could plant shrubs around a fence around the park and have a pedestrian gate; and • They would also have a cut through street. F. Consideration of Approval of Boynton Village, LLC a/k/a The Preserve's Performance Audit for Year Ending December 31, 2021 for Compliance with the Direct Incentive Funding Agreement Vicki Hill, CRA Finance Director, stated that in 2006, the CRA entered into an agreement to provide townhouse units at the Preserve. She explained that under the DIFA, and including the current reimbursement rent for year seven, staff was requesting that the Board approve the DIFA Payment of $29,098 for year seven, leaving a $137,026 DIFA balance remaining to be paid in future years. Motion Board Member Kelley moved to approve. Board Member Turkin seconded the motion. Chair Penerga opened Public Comment. No one coming forward, Public Comment was closed. 8 Meeting Minutes Community Redevelopment Agency Board Boynton Beach, Florida September 13, 2022 Vote The motion passed unanimously. G. Consideration of Approval for the Lease Extension to Florida Technical Consultants, LLC Ms. Shutt announced that this approval was based on Board direction given at the last meeting. Chair Penserga opened Public Comment. James Barton 533 E. Ocean, stated that he appreciated staff's involvement. No one else coming forward, Public Comment was closed. Motion Board Member Turkin moved to approve the lease extension. Board Member Hay seconded the motion. The motion passed unanimously. Item 14C Discussion and Consideration of a Lease extension request for Harvey E. Oyer, Inc. d/b/a as Oyer, Macoviak and Associates located at 511 E. Ocean Avenue. Ms. Shutt explained that the request was for the tenants to stay an additional two months, through December 15th of this year. Motion Board Member Hay moved to approve the lease extension. Board Member Turkin seconded the motion. Chair Penserga opened Public Comment. No one coming forward, Public Comment was closed. Vote The motion passed unanimously. H. Consideration of Registration and Travel Expenses to Attend the Florida Redevelopment Association 2022 Annual Conference on October 12-14 in Daytona Beach Chair Penserga encouraged all to attend. 9 Meeting Minutes Community Redevelopment Agency Board Boynton Beach, Florida September 13, 2022 Ms. Shutt explained that the item is budgeted. She stated that if any member cannot attend, staff intends to present it to the CRA Advisory Board for a member to attend. There was discussion who can and cannot attend. Item 14E Approve Monday, October 17, 2022, at 6 P.M. as the alternative meeting date and time for the October CRA Board Meeting Motion Board Member Hay so moved. Board Member Turkin seconded the motion. The motion passed unanimously. There was no public comment. I. Consideration and Approval of a Purchase and Sale Agreement with Boca Raton Regional Hospital, Inc. for a Vacant Lot located on NW 2nd Street Ms. Shutt reviewed this item and stated that a counter offer was made. Board Member Hay favored acquiring the property at $35K. The Board agreed. No public comment was received. Motion Board Member Hay so moved. Board Member Turkin seconded the motion. The motion passed unanimously. J. CRA Board Discussion and Consideration of Executive Director's Annual Performance Review for FY 2022-2023 (TABLED 08/09/2022) Motion Board Member Kelley moved to remove from the table. Board Member Hay seconded the motion. The motion passed unanimously. Attorney Rossmell stated that last year on September 14th, the Board elevated Ms. Shutt from Interim Director to Executive Director, and advised that she is entitled to a review. Chair Penserga announced that he was happy to have Ms. Shutt as Executive Director that she is hardworking and deserves a raise. There was consensus from the Board. Ms. Shutt thanked the Board and stated that she could not accomplish what they do without staff and Assistant Director Tim Tack. 10 Meeting Minutes Community Redevelopment Agency Board Boynton Beach, Florida September 13, 2022 Chair Penserga stated that he was comfortable with a 6% increase. Discussion followed to clarify that it will be a 6% Cost of Living Adjustment. The Board Members agreed to the raise. Motion Board Member Hay moved to give Ms. Shutt a 6% COLA. Vice Chair Cruz seconded the motion . Motion Attorney Rossmell recommended the Executive Director's salary be increased by 6% and enact the recommended contract changes concerning the date of the Executive Director's review subject to final clean up by Legal. Board Member Hay so moved. Board Member Turkin seconded the motion. There was no public comment received. Vote The motion passed unanimously. K. Consideration and Discussion of Fiscal Year 2022-2023 Project Fund Budget Ms. Hill stated that Jobara Jenkins, Accounting and Finance Manager, conducted a cash analysis and they were able to add $500K into the fund balance surplus. She stated that it was added into total revenues, which is now$20.5M. She mentioned that she reviewed the MLK Streetscape, the Cottage District, Cherry Hill, and the future grocery store. There was discussion regarding a date change for the "Rock the Marina" event, which was moved from October 22nd to November 5th,to accommodate the fishing charters; and for March 11 th, staff needs to know if the CRA will hold the Blarney Bash or Rock the Block event. It was suggested that instead of the Lion Fish Derby, the CRA will promote four or five fishing charters. Board Member Turkin supported holding the Blarney Bash. The Board Members agreed. Chair Penserga pointed out that staff set $210K aside for the grocery store and it was anticipated that the Board could increase funding and they will revisit the budget in January. Ms. Shutt recommended taking funds from the acquisition line item now for the MLK project assistance. There were no public comments received on this item. 11 Meeting Minutes Community Redevelopment Agency Board Boynton Beach, Florida September 13, 2022 L. Consideration of Resolution No. R22-02 Adopting the CRA Budget for Fiscal Year 2022-2023 There were no public comments on this item. Motion Board Member Hay moved to approve Resolution no. R22-02. Board Member Turkin seconded the motion. The motion passed unanimously. 14. New Business A. Discussion and Consideration of Additional Funding for the Commercial Spaces within the MLK Jr. Boulevard Mixed Use Development (n.k.a. Wells Landing Apartments, LLC d/b/a Heart of Boynton Shops) This item was previously discussed. B. Discussion and Consideration of the Purchase of 321 E. Martin Luther King, Jr. Blvd. Ms. Shutt stated that the Board was given direction to reactivate this corridor and provide home ownership opportunities via townhomes, new business locations and land banking to develop the eastern portion of the Boulevard. She explained that the CRA looks for voluntary sales and the CRA was approached by the Claytons who were offering to sell. She said that the property appraised for $210K, the owner was asking $330K which is above which staff is unable to purchase. Board Member Hay stated that he did not support paying that price and suggested making a counter offer. The Board agreed to offering $235K. Ms. Shutt noted 20% above would raise the offer to $252K, which the Board has typically paid. There was agreement to counter at $235K. No public comments. Motion Board Member Hay move to direct staff to counter at $235K. Board Member Turken seconded the motion. The motion passed unanimously. C. Discussion and Consideration of a Lease Extension Request for Harvey E. Oyer, Jr., Inc. d/b/a Oyer, Macoviak and Associates located at 511 E. Ocean Avenue 12 Meeting Minutes Community Redevelopment Agency Board Boynton Beach, Florida September 13, 2022 This item was previously addressed. D. Discussion and Consideration of a Tax Deed Sale for the Property Located at 430 NW 6th Avenue This item was removed from the agenda. E. Discussion and Consideration of an Alternative Meeting Date for the October CRA Board Meeting This item was previously addressed. 15. CRA Projects in Progress A. CRA Economic & Business Development Grant Program FY 2021-2022 Year End Report B. Social Media & Print Marketing Update C. MLK Jr. Boulevard Corridor Mixed Use Project (d/b/a Heart of Boynton Village Apartments) Update 16. Future Agenda Items A. Consideration of an Amended Interlocal Agreement between the Boynton Beach CRA and the City of Boynton Beach to Fund the Boynton Beach Boulevard Complete Street Project B. Discussion and Consideration of a Subordination Agreement between the CRA, Palm Beach County and Centennial Management Corp./Wells Landing Apartments, LLC for the MLK Jr. Boulevard Corridor Mixed Use Project C. Assignment to Community Redevelopment Advisory Board regarding Presentation of Parks Master Plan D. Status Update on Request by the City of Boynton Beach for a Temporary Suspension of the Neighborhood Officer Program (NOP) 17. Adjournment Mildred Hay commended the CRA staff. She stated that when Board Member Hay served on the Planning and Development Board, she never attended a meeting and when he ran for Commission, she went to meetings. She reviewed prior CRA Executive Directors and announced that she appreciates Ms. Shutt's knowledge, pointing out that transitions have occurred seamlessly. She expressed her confidence in this staff 13 Meeting Minutes Community Redevelopment Agency Board Boynton Beach, Florida September 13, 2022 Motion Board Member Turkin thanked CRA staff and moved to adjourn. Board Member Hay seconded the motion. The motion passed unanimously. The meeting was adjourned at 9:12 p.m. Catherine Cherry Minutes Specialist 14