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HomeMy WebLinkAbout10021991 City of Sebastian POST OFFICE BOX 780127 [] SEBASTIAN, FLORIDA 32978 TELEPHONE (407) 589-5330 D FAX (407) 589-5570 A G E N D A SEBASTIAN CITY COUNCIL WORKSHOP MEETING WEDNESDAY, OCTOBER 2, 1991 - 7:00 P.M. CITY COUNCIL CHAMBERS 1225 MAIN STREET, SEBASTIAN, FLORIDA ALL PROPOSED ORDINANCES AND INFORMATION ON ITEMS BELOW MAY BE INSPECTED iN THE OFFICE OF THE CITY CLERK, CITY HALL, 1225 MAIN STREET, SEBASTIAN, FLORIDA. 1. CALL TO ORDER 2. PLEDGE OF ALLEGIANCE 3. ROLL CALL 4. AGENDA MODIFICATIONS (ADDITIONS ~OR DELETIONS) 91.271 PROCLAMATIONS/ANNOUNCEMENTS A. Proclamation - Respiratory Care Week - 10/6/91 through 10/12/91 6. PUBLIC INPUT 7. WORKSHOP ITEMS 91.235 91.272 PGA Golf Course Feasibility Study - Additional Eighteen Hole Course (Staff Recommendation dated 9/18/91, PGA Proposal, Vicinity Map).' Tom Collins - Captain Hiram's Restaurant - Request for Vacation of Portion of Right-of-Way of North Central Avenue (Staff Recommendation dated 9/17/91, City Engineer Memo dated 9/17/91, City Attorney Memo dated 9/10/91, Collins' Letter dated 8/29/91, Maps) 91.239 91.273 C. Properties Along East Side of Indian River Drive (Staff Recommendation dated 9/26/91, Sample Letter to Property Owners, Proposals 1 & 2 from Florida Lifestyle Real Estate, Inc.) D. Schumann North Lake Fountain (Staff Recommendation dated 9/17/91, City Engineer Memo dated 9/17/91) 8. MAYOR'S MATTERS 9. COUNCIL MATTERS A. Vice Mayor Oberbeck B. Councilman Holyk C. Councilman Powell D. Councilman Reid 10. CITY ATTORNEY MATTERS 11. CITY MANAGER MATTERS 12. INTRODUCTION OF BUSINESS BY THE PUBLIC (Which is Not Otherwise on the Agenda - By Resolution No. R-89-30 Limit of Ten Minutes for Each Speaker) 13. ADJOURN ANY PERSON WHO DECIDES TO APPEAL ANY DECISION MADE BY THE CITY COUNCIL WITH RESPECT TO ANY MATTER CONSIDERED AT THIS MEETING (OR HEARING) WILL NEED A RECORD OF THE PROCEEDINGS AND MAY NEED TO ENSURE THAT A VERBATIM RECORD OF THE PROCEEDINGS IS MADE, WHICH RECORD iNCLUDES THE TESTIMONY AND EVIDENCE UPON WHICH THE APPEAL iS TO BE HEARD. (286.0105 F.S.) 2 City of Sebastian POGT OFFICE BOX 780t~)7 o ~EBARTIAN. FLORIDA TELEPHONE (407) FAX 407-$89-SS70 SUBJECT: New Golf Course Feasibility Study Approved For Submittal By: City Manager Agenda No. Dept. Origin Date Submitted For Agenda O£ Golf Cpur~..~' ~ 9-18-91 0-25-91 P.G.A. proposal estimated fees and scope of services. EXPENDITURE REQUIRED: AMOUNT BUDGETED: APPROPRIATION REQUIRED: SUMMARY STATEMENT The City of Sebastian is growing in size rapidly as is our golfing population. In order to accommodate our growing size another eighteen (18) hole golf facility is needed. In order to determine the feasibility of another City of Sebastian eighteen (18) hole Golf Course, a study has to be initiated. This feasibility study can be made in conjunction with the consultant company now doinG a report on our existing course. A significant savings can be realized by using the P.G.A. while doing their present work. The cost of this study would be approximately thirteen thousand $13,500.00 dollars. RECOMMENDED ACTION To modify the present contract with P.G.A. to include a feasibility study, for an addition eighteen hole golf course for the City of Sebastian. September 13, 1991 100 AVENUE Or THE CH^MPiONS BOX 109601 P^L~a BEACH G^Rm~NS FLORIDA 33410-9601 TELEPHONE: (407) 624-8400 FAX: (44)7) 624-8452 R~CH^Rt~ N. President GARY L. SCHAAL Vice President Tlsou^s H. ADc, is III ,f;ecrelary PATRICK J. Rli:LLY Honora~, President Jim L, AWTREY Executive Director/CEO Mr. Jim DeLarme Director of Golf Sebastian Municipal Golf Course 101 East Airport Drive Sebastian, FL 32978 Dear Mr. DeLarme: As you requested, we are submitting a draft scope of work for a market analysis and financial feasibility study in conjunction with the proposed expansion of the City of Sebastian golf facility. We understand that the City is considering adding an additional 18-holes to your existing 18-hole facility. This proposal sets forth the engagement objectives, our approach to completing the work, our prior experience, and our anticipated fees. We are confident of our ability to perform this project based on our project market experience, knowledge of the market and the background of the individuals involved. OBJECTIVES The objectives of this project are: O Assist in the determination of the development concept for the expanded golf facility. O O Assess the overall market support for the expanded facility. Prepare a detailed market analysis for the facility including projected utilization and rate structures. o Prepare physical facility recommendations. o Prepare financial projections for the expanded facility. o Prepare financial feasibility report. .OUR APPROACH .. A detailed description of the tasks Inherent in a go~ facility market and financial feasibility analysis is provided below. We believe that our background and experience will allow us to work with you in a meaningful way within each of the project tasks. The specific tasks outlined suggest areas of participation based on our understanding of your requirements and the overall timing of the study. Where we feel certain issues might need further in-depth study, we have so indicated in our task descriptions. The work program has been divided into the following four major tasks. Mal~ing .your golf game better Mahing gol/ a better game City of Sebastian Page 2 They are: Task I - Preliminary Planning Review and Market Assessment Task 2 - Facility Market Analysis Task 3 - Preliminary Financial Projections Task 4 - Market and Financial Feasibility Report Each task is described in the following section at a more detailed activity level. The final part of this section presents a proposed work program schedule and budget. Task I - Preliminary Plannin;I Review and Market Assessment Our overall approach Is to provide strong management and technical Input In the initial task of the project. A preliminary planning review Is crucial to the overall success of the project and will assure that appropriate feedback occurs on key project issues as early as possible in the program, We plan to draw upon our senior personnel to participate as part of the project team In assessing existing information, identifying key issues, outlining the options to be considered, and finalizing the work plan and detailed approach to completing the balance of the work program. The personnel proposed bring together a clear understanding of the development process, financial structuring and feasibility analysis. The activities conducted as part of Task I focus on the assessment of the overall market support for the expanded golf facility. A careful assessment of the market requires delineation of appropriate market areas, and identification of the existing golf supply with additional emphasis on those facilities which ere deemed to be competitive with the proposed facility. In addition, area demographic and economic characteristics need to be analyzed in order to determine potential golf participation rates by market area residents and other demand sectors. Based on this, an estimate can be developed of overall market support which could exist for the project, both presently and in the future. This is an initial and essential step in determining basic viability for additional g01f facilities within the market area. As part of Task 1~ we anticipate the following detailed activities: 1.1 Document Review. The purpose of this activity is to quickly assess all relevant project plans and documents as well as appropriate demographic and economic data and projections. All documents will be reviewed in order to identify key information and issues which will be the focus of this market study. This task will be conducted as part of our field work in Sebastian. 1.2 1.3 Identification of Key Issues. Upon review of existing documentation and preliminary discussions with you, the project team members will summarize the issues to be addressed as part of the study. This activity will be result in a clear understanding of the major objectives of the assignment, define the development options, and provide input to the detailed market assessment. We anticipate meeting or teleconferencing with local officials and staff during our field visit to Sebastian. Determination of Market Area. Prior to the definition of the market area, an identification of market sectors will be made. This will identify potential sectors of demand such as: residents, tourists, and other potential market sectors. Residential market areas, both primary and secondary will then be defined. City of Sebastian Page 3 1.4 1.5 Identify Competitive Supply. The existing golf facility supply will be identified for the primary and secondary market areas utilizing the PGA facilities data base. In addition, indian River and Brevard County totals will be reviewed to more completely understand the mix of competitive supply at the macro level. The identification of competitive supply will take into account ail facilities which could compete for various sector demand. From this overall inventory, facilities which are deemed directly competitive will be identified. Information on these facilities will be developed including current utilization rates, rounds of play, mix of participants, fee structures and other program and facility information. This information will be gathered as part of our field work in Sebastian. Anaivze. Area Demol:lrap...h. its and Econ .o..m. ic Cha. racteristics, An analysis of current demographic and economic characteristics of the resident population will be undertaken to determine the potential level of participation in golf based on population age, family and income characteristics. Existing population projections will be reviewed for the market area and two county areas to determine potential growth rates. In addition, if household age and Income projections are not available, we will order these for the market area from industry data projection sources In order to assess the potential growth in demand for golf facilities. 1.6 Estimate Overall Market Demand~ Based on the above tasks, an estimate of overall market demand, that is, support for rounds of play on an annual basis will be prepared for the designated market area(s). This will resuit In an overall assessment of market support for a facility(s) within the primary market area. A memorandum summarizing the market support potential will be prepared for review by you prior to proceeding with Task 2. .Task 2 -. Facility Market Analy.~i~= Task 2 focuses on Identifying the specific market support for the proposed facility. Given an overall support level within the primary market area es determined In Task 1, this task identifies the positioning of the expanded facility to achieve appropriate levels of utilization. 2.1 ~ An analysis of the proposed site will be undertaken to determine the appropriateness of the site's configuration for the expanded golf facility and Its location and accessibility factors in terms of access by residents within the primary/secondary market areas as well as access by other sectors of demand es identified in Task 1. This task does not envision detailed engineering studies. Its purpose is to identify those market factors which could be affected based on the site's location, accessibility, and configuration. 2.2 2.3 Analysis of Competitive Supr~lv. A datalled analysis of the competitive supply as Identified In Task I will be undertaken. Existing facilities which are deemed competitive as well as those that are under construction or proposed for development will be identified In order to understand the competitive environment within which the proposed facility will operate during its initial years. Emphasis will be placed on maximizing the level of play at the expanded facility and the rate structures which would be necessary to remain competitive with other facilities. Project Curre,nt, and Future ..Demand. Based on the competitive anal~sis, an estimate of existing demand which could be captured by the expanded facility will be prepared. In addition, estimates of future demand will be projected based on market area demographic characteristics and anticipated development patterns of new facilities in the near future. An estimate of facility utilization, that is, rounds of play and the proposed fee structure will be developed so es to maximize the economic viability of the facility while meeting service requirements of the residents of the market area. City of Sebastian Page 4 2.4 Facility Recommendations. Based On the above analyses, recommendations for the facility will be developed to serve as a guide for the development of specific cost estimates and financial projections for the facility which would be developed as part of a latter phase of this program. The facility recommendations will consider the goff course, clubhouse, golf shop, golf range, snack bar, car storage, and maintenance facility requirements. 2.5 Presentation Meatin¢~, Upon completion of the market analysis, we would be prepared to meet with you to discuss the results of our analysis and conclusions. Task 3 ~ P.re!.l.m..inary Financial Projections Upon the completion of the market analysis, we will finalize our conclusions and, with your approval, proceed with the financial analysis of the project. 3.1 Develop Financial ASSumptions. Financial assumptions for facility operating revenues and expenses will be developed to serve as the basis for preparing facility financial operating projections. The source and basis for the assumptions will be identified. Estimates of project development costs will be provided by the City of Sebastian. These estimates will serve as the basis for the development of the project financing structure. 3.2 Develop Net Operatinq Income Projections. Projected net operating income (cash flow before debt service) will be prepared based on the financial assumptions as prepared in Task 3.1. The projections will be presented in both uninflated and inflated dollars and will be In sufficient detail to reflect major revenue and expense categories. Income projections will Include greens fees, golf car rental, golf shop, food and beverage and other departments as appropflate. Expenses will be prepared for golf course maintenance, other departments and for administrative and other fixed charges. Assumptions underlying Inflation estimates will be made explicit In the financial section of the final report. 3.3 Develop Financino_ Structure. Based on the proposed method of financing, we will develop a financing structure for the project. The structure will identify project equity and debt requirements, based on project development costs and nat operating income projections. Projections of cash flow after debt service on the proposed facility will be prepared. Task 4 - Market Analysis and Financial Feasibility Report At this point in the engagement, we will meet with you to discuss our findings. Upon your approval, we will proceed to prepare the final written report documenting our findings, conclusions and projections. Although the exact format of the report may vary, major topics to be covered include the following: Introduction Executive Summar~ Site Evaluation Economic Environment Market Analysis Development Conclusions Financial Projections City of Sebastian Page 5 The specific tasks are: 4.1 Prepare Draft Repo~. We will prepare a draft report summarizing our findings and conclusions. We envision the draft report to be produced in a black and white, typed, laser printed format with supporting exhibits as appropriate, also prepared in black and white. 4.2 Client Review - Draft..Report. We have allotted a two week period for client review of the report. 4.3 prepare Final Report. A final report, will be completed no later than two weeks after receipt of comments. Ten (10) copies of the report will be delivered. Our report will not ascertain the legal and regulatory requirements applicable to this project~ Including zoning, other state and local government regulations, permits and licenses. Further, no effort will be made to determine the possible effect on these projects of present or future federal, state or local legislation including environmental or ecological matters of interpretations thereof. Our report will contain a statement to that effect. Our study will be based on estimates, assumptions and other Information made available to us during the conduct of our study, the sources and bases of which will be stated in the appropriate sections of our report. Some assumptions inevitably will not materialize, and unanticipated events and circumstances may occur;, therefore, actual results will vary from those described in our reports, and the variations may be material. Our reports will contain a statement to that effect. We will have no responsibility to update our report for events and circumstances occurring after the date of our report. We will so state in our report. However, we will be available to discuss the necessity of revision in view of any such changes. PROJECT STAFFING This section identifies and briefly outlines the capabilities of the project staff proposed for this project. The following are the responsibilities of the key staff: John Rossi, would serve as the project director and will be responsible for overall management and direction of all phases of the project. He will be the single point of responsibility. He will see that the various staff roles are coordinated, ensure team communications, and see that the project moves forward on time. He has extensive experience in the management of complex market and financial analysis of development programs. Specific PGA staff are available to provide support to the project in both a policy advisory capacity as well as serve a specific technical resources for the project. Resumes of the key project staff are attached to this letter. In addition to these senior personnel, our PGA offices in Palm Beach Gardens, Florida and our section offices have substantial support staff to meet specific requirements for Individual tasks'- Our offices are linked by computer and fax machines. PROJECT SCHEDULE We envision initiating the work program upon authorization to proceed. We estimate that the draft report could be prepared within a 6-8 week pedod after the start of work. Specific timing will be developed as part of the preliminary planning proposed as part of Task 1. City of Sebastian Page 6 ESTIMATED FEES AND EXPENSES Fees for the services outlined will be based on the time required to complete our study which will be dstermined in part by the complexities of the market and the availability of data essential to the evaluation process. Our fees will be computed based on our standard hourly rates for the professional staff assigned. Based on our experience with similar projects, the preliminary information received and on our project plan, we estimate our fees as follows: TASK ~ TIMING (Weeks) 1. Preliminary Planning Review and Market Assessment 2. Facility Market Analysis 3. Preliminary Financial Projections 4. Market and Financial Feasibility Report 5,O0O 2-3 5,O00 1-2 2,50O 1-2 1,000 2-3 TOTAL FEES $13,500 6-8 We do not expect that our fees will exceed this estimate. However, If unforeseen circumstances did occur that would adversely affect our fees, we would discuss the situation with you before expending additional time and expense. Should less time be required than we now anticipate, you will, of course, be billed a lesser amount. Every effort will be made to keep our time to the minimum consistent with the requirements of the engagement. Out-of-pocket expenses such as computer co~s, graphics, purchase of demographic projections, travel, subsistence,"telephone, report reproduction and similar costs will be billed separately at our cost. Typically out- of-pocket expenses are 10-15 percent of the estimated fee for an engagement of this type. However, due to your proximity, we are prepared to limit these costs not to exceed $750. Billings for fees and expenses will be rendered monthly and are payable upon presentation. All outstanding invoices must be paid prior to the issuance of any summary, letter or report. Our fee estimate provides for approximately eight (8) hours of conference time. Any additional meetings with respect to the engagement would be billed separately for actual hours spent at our standard hourly rate. It is our policy to require a retainer in the amount of forty percent of our estimated fee upon acceptance of a proposal. However, as a municipal client, we are prepared to waive this requirement. If the market analysis is terminated or If the decision is made to discontinue our study, our fee will be based upon the time and out-of-pocket expenses incurred to that date. -' City of Sebastian Page 7 OTHER TERMS OF ENGAGEMENT Our report may be used for your internal planning purposes and to support your efforts in eecuring financing for the project. If the feasibility report is to be included as part of e development package or public finance document, we will need to review the entire document prior to Its release. Should the date of our report be mom than ninety (90) days prior to your document issuance date, we may require an update of our report prior to its use in conjunction with your documents. Use of our report in this manner will require prior written approval by PGA Golf Services. You agree that use of the report is limited to the purposes Identified, and that the report is not Intended and shell not be used so as to establish or imply any affiliation, association, or other relationship between the City of Sebastian and the PGA of America. Any reference to the report, or reference to the PGA Golf Services, Inc., or the PGA of America in connection with the report will require prior approval in writing from PGA Golf Sewicas, Inc. PGA Golf 'Services makes no warranty respecting the financial viability of the proposed facility. The City of Sebastian agrees to indemnify and hold PGA Golf Sewtces, its parent corporation, officem, directors, employees, agents and affiliates harmless from any against any and all claims, costs, damages, penalties, fines and expenses of any kind including attorney fees, (whether Incurred in preparation for trial, at trial or on appeal) concerning the proposed facility. QUAUF!.CA~ON.S AND PRIOR EXPERIENCF PGA Golf Services, Inc. specializes in providing quality advisory services in the area of golf coume development, financing, and operations. PGA Golf Services, Inc. was incorporated in October, 1986 as a wholly owned subsidiary of the PGA Corporation. The PGA of America, formed in 1916, is the nation's largest sports association with a total membership of over 18,000 members and apprentices at over 6,800 golf facilities in the United States, The PGA conducts a variety of programs and events Impacting nearly every aspect of the game of golf. PGA Golf Services, Inc. was formed in response to the continuing growth of the golf industry and the long term mission of the PGA to promote the development of the game. Our practice focus(~ on providing value to our clients by: o Providing quality advisory services in the areas of golf course development, financing and operations. o Delivering of personalized service with emphasis on practical solutions. o Offering nation-wide and local area perspectives, drawing on the strength of PGA membem and sections throughout the country. o Utilizing a staff of PGA golf professionals and finance and real estate Industry professionals with diversified backgrounds. City of Sebastian Page 8 Our Services The consulting group within PGA Golf Sewices, Inc. is involved in providing advisory services in three major areas. They are: golf course development, golf course financing, and golf course operations. These service areas are consistent with our goal of facilitating both the development of new golf facilities and improvement of existing golf operations where necessary. The service areas are briefly described in the following section. De~elop...m_ ent Aclvisorv Services - With the growth In demand for new golf facilities throughout the country, PGA Golf Services advises developers, local and state govemments, private owners and investors, and the military in the areas of development of new facilities. Our services Include the preparation of market analyses and/or needs assessments for individual projects and local areas. We also assist owners in the development of project concepts for new golf facilities. This includes the integration of golf facilities with other uses within large scale residential communities and resorts. PGA Golf Services will often work as part of a development team in the planning and due diligence stages of a project. Financial Adviso.~ Services - PGA Golf Services provides advisory services in the areas of project financial feasibility, financial operations, and project financial structuring, with the continued growth in public and private dally fee facilities, appropriate project financing structures are critical to the success of the golf facility. O Golf Operations Advlso..ry Services - Assisting clients In improving operations and financial performance at existing golf facilities is a third areas of service. Activities Include operation reviews, assessment of the golf course and physical improvements, the golf program, merchandising and markating efforts, and management and organization analysis. Our Ortqanization The PGA Gblf Services consulting practice is located at the PGA of America national offices in Palm Beach Gardens, Florida. As such, PGA Golf Services has the direct accessibility to the more than 90 staff members of the PGA of America. In addition, PGA Golf Services works with the 41 local sections of the PGA throughout the United States. Q463014.SCO City of Sebastian POST OFFICE BOX 780127 n SEBASTIAN, FLORIDA 32978 TELEPHONE (407) 589-5330 n FAX (407) 589-5570 SUBJECT: Captain Hiram's ROW vacate request. Approved For Submittal By: City Manager Agenda No. Dept. Origin Date Submitted For Agenda Of Exhibit~: Memo City Engineer Memo City Attorney Letter Tom Co]]ins ENG/PW~ 9-17-91 10-2-91 EXPENDITURE REQUIRED: AMOUNT BUDGETED: APPROPRIATION REQUIRED: SUMMARY STATEMENT The owner of Captain Hiram's, Tom Collins has requested the City to consider the vacation of that portion of right of way off of North Central Avenue and U.S. Highway #1. Enclosed are City Engineers memo and City Attorney's memorandum and the letter of request for the vacation of the right of way. RECOMMENDED ACTION Staff recommends City,council review the enclosed memo's and discuss the vacation and direct staff accordingly. City of Sebastian POST OFFICE BOX 780127 o SEBASTIAN, FLORIDA 32978 TELEPHONE (407) 589-5330 n FAX (407) 589-5570 DATE: September 17, 1991 TO: FROM: Robert S. McClary City Manager Daniel C. Eckis, F'.E~')~~ City Engineer RE: Captain Hiram's Sebastian Inlet Marina Request for Vacation of North Central Avenue As City Engineer, I have made a site inspection for the proposed vacation of the above referenced project and have determined from an engineering and drainage standpoint that the proposed vacated right of way could be modified without adversely affecting the stormwater runoff in that area. If the property is vacated then north Central Avenue would terminate into highway US #1 and the existing utility pole would have to be relocated to allow for a deceleration lane off of highway US #1 onto North Central Avenue. VIA FACSIMILE AND VIA HAND DELIVERY TO: Robert S. McClary, City Manager Nash, City Attorney FROM: Charles Ian DATE: September 10, 1991 Request of Captain Hiram's Sebastian Inlet Marina Our File No.: 88-2558/Miscellaneous Matters Attached to this memorandum is a copy of the correspondence written by Mr. Collins to our City engineer, Dan Eckis, concerning the desire of Captain Hiram's Sebastian Inlet Marina to obtain acquisition of the portion of Central Avenue that borders their property. I was contacted by Mr. Collins by telephone yesterday whereby Mr. Collins inquired as to what procedure would need to be followed in order to implement his request. I explained to Mr. Collins that the procedure that would need to be taken would depend upon the interest which the City of Sebastian currently has in Central Avenue. For example, if the City of Sebastian owns fee simple title to the parcel of real property in question, the City of Sebastian could sell the subject real property to Captain Hiram's Sebastian Inlet Marina for fair consideration, if the City Council determines that the City no longer needs to own that real property. If the City of Sebastian has the use of the subject real property as a road right-of-way in accordance with a dedication made by the previous land owner, then the procedure that would need to be taken for the City to divest itself of the interest in real property obtained through the dedication would be to vacate the subject real property by Ordinance. I explained to Mr. Collins that a portion of the vacated property may pass to his company and a portion may pass to the adjoining land owner on the west side of the property in question. I explained to Mr. Collins that it would be necessary to obtain a title report on the subject property to be able to provide him with specific information as to what procedure would need to be taken and in whom the subject real property would vest if the City were to divest itself of the subject real property by a vacation. Mr. Collins indicated that his company would be willing to pay all costs associated with proceeding with a vacation of the subject real property. Furthermore, his organization would be interested in purchasing the real property if the City possesses fee simple title to the subject real property at a fair and reasonable price. I would recommend that you review this offer from an administrative standpoint on behalf of the City of Sebastian and - 2 - seek input from the City Council to obtain their perception as to what would be in the best interests of the City of Sebastian and its residents. CIN/lcr Enclosure as stated CC: Very truly yours, FRE~,~~ NASH CHARLES'IAN NASH City Attorney & TORPY, P.A. Dan Eckis, City Engineer (with copy of enclosure) - 3 - SEBASTIAN INLET MARINA Home of the 'World Famous' River Raw Bar Wat t Banquet Facilities · Catering Service August 29, 1991 Mr. Dan Eckis, City Engineer City of Sebastian 1225 Main Street .Sebastian, .FL 32958 Dear Dan: As a follow up to our conversation, please consider this letter our request for an abandonment or purchase of that portion of Central Avenue that borders on our property known as Capt. Hirams. I am enclosing a sketch that details the area. In talking with a few planners and engineers over the years, it has' been pointed out that this angled access off of U.S. #1 creates a dangerous situation. In fact, a young gentleman was killed there last year when a beer delivery truck came off of U.S. #1 a little too fast and ran into him while he was driving a golf cart. We are the only property owners that border on that portion of the property so it would seem logical that it is of no use to the City and/or adjoining property owners. I would welcome the opportunity to personally present our proposal to anyone you so designate. Please get back to me at your earliest convenience.  ely, President Collins THC:jh cc: Martin Carter Jim Hoffman By Car: 1606 Indian River Drive, Sebastian, FL 32958 By Boat: Marker 66 on the Intracoastal Waterway Phone: (407) 586-4345 ~ FAX: (407) 589-4346 City of Sebastian POST OFFICE BOX 780127 [] SEBASTIAN, FLORIDA 32978 TELEPHONE (407) 589-5330 [] FAX (407) 589-5570 SUBJECT~ PROPERTIES ALONG THE EAST SiDE OF INDIAN RIVER DRIVE Approved For Submittal City Manager Agenda Number~ Dept. Origin~ Cqmmunit¥ Development_ .~ (BC Date Submitted~ .9~26191... For Agenda Of~ Exhibits, 1. Sample letter to individual owners from the City of Sebastian 2. Proposals 1 and 2 from Florida Lifestyle Real Estate, Inc. EXPENDITURE REQUIRED~ AMOUNT BUDGETED~ APPROPRIATION REQUIRED~ SUM~,ARY STATEMENT At the special meeting of the City Council on July 17, 1991, staff was directed to approach property owners along the east side of Indian River Drive to solicit their assistance with land acquisition or permission to utilize frontage for a linear parkway. City staff has prepared a sample letter for mailout to affected property owners, identified through the 1990 tax rolls. Approximately fifty-three (53) parcels were identified, and the letters were readied for mailing by Friday, September 27, 1991. Because area owners are already expressing interest "in this issue, City staff shall require immediate and specific direction from City Council regarding the type of arrangements permissible between the City and the property owners. Five parcels were brought to the attention of City Council at the last workshop meeting of September 4, 1991, by the Community Development Department. Among the group of parcels was one which spans both sides of Indian River Drive, owned by Robert and June Wheeler at 933 Indian River Drive, in Sebastian. Florida Lifestyle Real Estate, Inc. has presented City staff with two new proposals for acquisition of that entire site or simply the eastern side of Indian River Drive, as Council deems appropriate. The proposal brings to light the serious issue of financing every land acquisition made by the City. Page 2 RECOMMENDED ACTION City Council is asked to review the documents attached, and to provide to staff a specific outline of the acceptable procedure to negotiate property acquitions along the east side of Indian River Drive. All such transactions shall be presented to City Council for final approval. (NOTE, Staff shall pursue land donation opportunities first, before considering offers by sellers. In the event that a parcel is offered for sale to the City, staff suggests that Council takes into consideration the following recommendations, Any acquisition requiring an expenditure of funds on the part of the City for property, other than incidental documentation expenses, should include a stipulation to revoke waterside privileges and the reparian rights of the current owners. Should the current owners opt to allow the City an easement or donation of the entire parcel, the City should in that instance, ensure that the property valuation shall reflect a reduction in size of the parcel and its proximity to the edge of the Indian River, yet permit retention of water rights to the current and all future owners of the parcel, including the right to build a dock, given that all permits have been obtained by the owner.) Council should direct staff to prepare a response to Florida Lifestyle regarding their particular proposals, in accordance with the directives referred to in Item #1, above. Dear Property Owner: At a special meeting of the City Council on July 17, 1991, the City of Sebastian embarked upon a historic activity. The Council agreed to identify a unified Riverfront District, the first step of which is to establish a linear parkway along Indian River Drive. As an owner of property situated within the Indian River corridor, you are key to the success of this effort. The City of Sebastian's position regarding your property is to seek access via one of several means, outright purchase, donation or dedication of an easement, to create a continuous public service alignment, fronting the Indian River Lagoon for nearly two miles. A brief property description for the parcel in question is~ Section , Township , Range , City of Sebastian, FL Parcel# [ Acre(s)] The City is considering all or part of the parcel for public purposes and wishes to work closely with you to guarantee an equitable settlement. Staff would prefer to meet with you personally to discuss the various options and to determine the means of acquisition considered most beneficial to both parties. However, should you be unable to attend a meeting, yet wish to consult with City staff, we are available at your convenience. You may call my office or the Building Departments the Director of Community Development, Mr. Bruce Cooper, or the City Planner, Mrs. Catherine Hilton, are both also versed on the subject. We are looking forward to establishing an amicable business relationship with you and thank you for your consideration for this extremely important public issue. Sincerely, Robert S. McClary City Manager RSM/CAH/gk propown.doc FLORIDA LIFESTYLE REAL ESTATE, INC. 484 U.S. One, Suite D, P.O. Box 780305, Sebastian, Florida 32978-0305 (407) 589-0550 FAX: (407) 589-6981 Toll Free 1~800-678-0747 PROPERTY PROPOSAL CITY OF SEBASTTAN Owner: Robert E. and June Wheeler Address: 933 Indian River Drive, Sebastian, FL 32958 Lots 8, 9 and 10, W.A. Martins Subd. Size: 150'x300"± on West side of Old US #1 (Indian River Dr) 150'x 35'± on East side of Old US #1 on the indian River Property is 1+ Acre - approximately 50,000 sq ft (Dimensions taken from County Tax Assessor Plat Books) The Owner desires to sell as one parcel, all of the property on the West side of road plus all property on East side on River. Property has a three bedroom, two bath, CBS home on it of approximately 1600 sq ft, built about 1975, central heat and air, artesian well with aireator, and new roof in 1990. West side of property backs up to an alley for aceess. Mr. Wheeler is asking $320,000 from the City of Sebastian, terms available as follows; $125,000 down, the balance can be paid over 7 years at 8.5% interest, per annum. Payments can be made semi~annualiy, or.annually. At this price, the City of Sebastian will pay for Documentary Stamps and Title Insurance. The home has been lived in very little, it is in like-new condition with a large stone fireplace. With a few partitions removed, it would make a suitable building for a teen center, with plenty of parking. It could also serve as parking for the Yacht Club, as it is only 300' from the Yacht Club property. On the riverfront, there is an old wooden bulkhead. It may be possible to replace this bulkhead with new one, if desired. FLORIDA LIFESTYLE REAL ESTATE, INC. 484 U.S. ()ne, Suile I), I'.O. Box 780305, Selmstian, Florida 3297~l-0305 (41}7) 58941550 FAX: (41}7 } 589-698 I Toll Free 1-800-678-0747 Iii Al I~ I PROPOSAL ~ 2 CI1~' OF SEBASTIAN Owners: Robert E. and June E. Wheeler Address: 933 Indian River Drive, Sebastian, FL 32958 Property Description: That portion of Lots 8, 9 and 10, W.A. Martins Subd., located on the East side of Old US #1. Property being 150' on Old US #1 and approximately 150' on the Indian River, said property being approximately 35' deep. The Owners will agree to sell this property to the City of Sebastian with the following conditions: The price will be determined by a Ceritifed MIA Appraisel to be paid for by the City of Sebastian and the price must be acceptable to the owners. The Owners of the property on the West side of the road would have the right to build a dock and have the use of this dock. This right would be with the land and would pass on should the Owners sell the property at any time. At no time could any building be built on the property that would block the view from said property on the West side of Old US #1. The remaining portion of this property located on the West side of Old US #1 would be reassessed for taxes and an adjustment made to reflect the lower taxable value. The City of Sebastian would have the right to purchase the remainder of the property on the West side of Old US #1 agytime within one (1) year from date of Closing, for the remainder of the total asking price of $320,000. Serving Indian River ami South Brcvard C(mnLv City of Sebastian POST OFFICE BOX 780127 o SEBASTIAN, FLORIDA 32978 TELEPHONE (407) 589-5330 [] FAX (407) 589-5570 SUBJECT: Schuman Drive Fountain North Lake Approved For Submittal By: City Manager Agenda No. Dept. Orfgfn Date Submftted For Agenda Of Exh~b~t~: Memo City Engineer ENG/P~-~ 9-17-91 10=2-gl EXPENDITURE REQUIRED: AMOUNT BUDGETED: APPROPRIATION REQUIRED: SUMMARY STATEMENT At the request of the Mayor, as City Engineer I inspected the fountain at the entrance to Schumann Drive and found it to be leaking ~rom underneath. I recommend that the fountain be removed and the well capped off since it appears there is no outlet ~or repair without removing the fountain anyway. RECOMMENDED ACTION Staff recommends City' council review the enclosed memo and discuss and direct staff who will act accordingly. City of Sebastian POST OFFICE BOX 780127 D SEBASTIAN, FLORIDA 32978 TELEPHONE (407) 589-5330 n FAX (407) 589-5570 DATE: September 17, 1991 TO: FROM: Robert S. McClary City Manager Daniel C. Eckis, City Engineer RE: Schumann Lake Entrance Rehabilitation of the fountain of the north lake. As City Engineer, I made a site investigation of the fountain located at the North Lake at the entrance of Schumann Drive. The concrete fountain appears to be constructed over an existing well and the piping has deteriorated and is leaking below the bottom of the fountain. It is running continuously into the lake and has not ~c~sed major erosion problems at this time. Attempts were made to determine if the fountain could be rehabilitated without damage to the fountain. The internal piping is enclosed by the fountain itself and there is no access to the piping thru any openings or scuttleways within the fountain. Since this is a free flowing artesian well which deplets the aquafer, I would suggest that the fountain be removed to expose the well and cap it. City Council may want to discuss if the fountain can be saved to pump water from the lake thru the top of the fountain and then back into the pond.