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HomeMy WebLinkAbout03232011CRA MinutesONOF HOME OF PELICAN ISLAND COMMUNITY REDEVELOPMENT AGENCY (CRA) (CITY COUNCIL) MINUTES WEDNESDAY, MARCH 23, 2011 — 5:30 PM CITY COUNCIL CHAMBERS 1225 MAIN ST, SEBASTIAN, FL 1. Mayor Hill called the CRA meeting to order at 5:33 pm. 2. The Pledge of Allegiance was recited. 3. ROLL CALL City Council Present: Mayor Jim Hill Vice -Mayor Don Wright Council Member Andrea Coy Council Member Richard H. Gillmor Council Member Eugene Wolff Staff Present: City Manager, Al Minner City Attorney, Robert Ginsburg City Clerk, Sally Maio Deputy City Clerk, Jeanette Williams Administrative Services Director, Debra Krueger Finance Director, Ken Killgore Growth Management Director, Rebecca Grohall MIS Systems Analyst, Rob Messersmith 3 -5 4. APPROVAL OF MINUTES — October 13, 2010 MOTION by Ms. Coy and SECOND by Mr. Gillmor to approve the October 13, 2010 minutes passed with a voice vote of 5 -0. 5. NEW BUSINESS 7 -27 A. Fiscal Year 2010 CRA Annual Report in Accordance with 163.356 (3) (C) Florida Statutes - Accept and Forward to City Council (Administrative Services Transmittal, FS 163.356 (3)(c), Report) The Finance Director presented the annual report (see attached). Community Redevelopment Agency March 23, 2011 Page Two Mr. Wright, citing the revenue trending on circle 23, asked about the decrease in Indian River County contribution and the Finance Director said both the City and County contributions are based on millage, and Indian River County millage has dropped. MOTION by Mr. Wright and SECOND by Ms. Coy to approve the annual report. Result of Roll CaII: Ayes: All Nays: None Passed 5 -0 29-47 B. Facade, Sign and Landscape Grant Awards (GMD Transmittal, Applications) The Growth Management Director responded to a question from Mr. Gillmor in regard to length of time the businesses have been in Sebastian, citing approximately 21 -23 years for Professional Title and noted Washington Plaza had been here for many years. Mr. Gillmor had acknowledged he knew Halo had been here for quite a while. MOTION by Mr. Wright and SECOND by Mr. Gillmor to approve the three grant applications. Result of Roll Call: Ayes: All Nays: None Passed 5 -0 6. Being no further business, Mayor Hill adjourned the meeting at 5:40 p.m. Approved at the September 28, 2011 CRA meeting. ill, Mayor <!-)714 Sally A. Maio, MM — City Clerk 2 SEBASTIAN COMMUNITY REDEVELOPMENT AGENCY ANNUAL REPORT Under Chapter 163.356(3)(C) Q1Y OF HOME OF PELICAN ISLAND FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2010 1225 MAIN STREET SEBASTIAN, FLORIDA 32958 SEBASTIAN COMMUNITY REDEVELOPMENT AGENCY ANNUAL REPORT TABLE OF CONTENTS Letter of Transmittal i List of Principal Officials ii History 1 Exhibit I - Sebastian CRA Boundary Accomplishments 3 FY 2009 Sebastian CRA Activities 3 Tax Increment Revenues 4 Exhibit II — Operating Millage Rates in Redevelopment Area 5 Exhibit III — Taxable Value in Redevelopment Area 6 Exhibit IV — Tax Increment Revenue 7 Financial Statements 8 Balance Sheet 9 Statement of Revenues, Expenditures, and Changes in Fund Balances 10 Budget and Actual 11 Y0 SE (J N HOME OF PELICAN ISLAND 1225 MAIN STREET • SEBASTIAN, FLORIDA 32958 TELEPHONE: (772) 589 -5330 • FAX (772) 589 -5570 March 15, 2011 Sebastian Community Redevelopment Agency Board Chairman and Members City of Sebastian, Florida Dear Board Members: We are pleased to submit the Annual Activity Report of the Sebastian Community Redevelopment Agency for the fiscal year ended September 30, 2010. Section 163.356(8)(C), Florida Statutes, requires each CRA to file with its governing body, on or before March 31 each year, a report of its activities for the proceeding fiscal year, which report shall include a complete financial statement setting forth its assets, liabilities, income, and operating expenses as of the end of such fiscal year. In addition to meeting this legal requirement, the report provides additional information concerning the benefits afforded by the agency to other jurisdictions and citizenry in general. Responsibility for both the accuracy of the presented data and the completeness and fairness of the presentation, including all disclosures, rests with the management of the City. We believe the data, as presented, is accurate in all material respects, and that all disclosures necessary to enable the reader to gain an understanding of the Sebastian CRA's operation and financial activity have been included. Respectfully submitted, 't■H Kenneth W. Killgore Finance Director 0 LIST OF PRINCIPAL OFFICIALS September 30, 2010 Chairman Richard H. Gillmor Board Member Jim Hill Board Member Andrea B. Coy Board Member Eugene Wolff Board Member Don Wright ii History of the Sebastian Community Redevelopment Agency (Sebastian CRA) The Sebastian Community Redevelopment Agency (Sebastian CRA) was created in 1995 by the City of Sebastian City Council under Chapter 163, Part III of the Florida Statutes. The original Sebastian CRA includes an area generally east of the FEC Railroad right -of -way to the eastern City limits. The Sebastian CRA was established to ensure that the downtown and surrounding vicinity would develop with a coherent community vision, and to encourage reinvestment throughout the CRA. The area later was expanded in 2003 to include the Sebastian Boulevard "Triangle" area west of the FEC Railroad right -of -way. The total Sebastian CRA area is 299 acres excluding road rights - of -way (Exhibit 1). The governing body of the Sebastian CRA is the Sebastian City Council. The Board is comprised of five (5) members. Under the State Statutes and the City ordinances, the Sebastian CRA has substantial powers and authority within the Sebastian CRA area. These include the power to make and execute contracts, to acquire and dispose property, to approve development plans, to implement a program of voluntary or compulsory rehabilitation of buildings, to mortgage its property, to borrow and invest money, and to apply for and accept grants and contributions. The major funding source for the Sebastian CRA is tax increment revenue. Tax increment revenue is the increase in ad valorem tax attributed to the increase in the assessed value over a `base year" for various jurisdictions in the redevelopment area. The jurisdictions remitting tax increment revenue to the Sebastian CRA are the City of Sebastian and the Indian River County Board of County Commissioners. After the establishment of the Sebastian CRA in 1995, the City established the Redevelopment Trust Fund and the base year for tax increment revenues as well as adopted the 1995 Community Redevelopment Plan. The boundary was later expanded to include the adjacent Sebastian Boulevard "Triangle" area in 2003, and the redevelopment plan was also modified by the Iler Planning Group on behalf of the Sebastian CRA. The 2003 plan basically unifies the 1995 Sebastian CRA boundary and the expansion area as one cohesive CRA, and presents conceptual district recommendations, potential policy amendments, and capital improvements intended to meet the City's redevelopment goals. 1 / • • / 4, Areawide Recommendations 1. Retain n 2-3 story maximum building height. 2. Modify community design guidelines to reinforce "Old Florida Fishing Village" design theme. 3. Future study to further address parking needs in the CRA_ Capital Imnrovementa 1. Riverview Park improvemans. 2. Streetscape improvements to US-I, Riverside Drive, and Sebastian Boulevard (east and westbound). 3. Reconfigure boat trailer parking. 4. Develop a stormwatee park. • Legend • CRA Boundary Gateway Treatment Riverside Drtve Streetseapes and Pocket. Parke -sosvorwre 0111111141011.411•MR140.11. Gateway Treatment Redevelo ment Plan Summa 1 IP. . Cain City of Sebastian CRA M Main Street Activity Center 3ca■se 1,aw 0 4610 SOO US 1 Streetscape Enhancements sad "Build to Street" Riverview Perk Activity Center Potential CRA Expansion to ,; prove iverview Park -\\ f`A;eftinA SEBATTIAN sitir 1 Accomplishments of the Sebastian Community Redevelopment Agency (Sebastian CRA) Since the establishment of the original Sebastian CRA in 1995, numerous projects have been accomplished. Accomplishments are as follows: o Provided annual funding support to festivities such as Riverfront Christmas decorations, Clam Bake festival, fine art festival, concert in the park, and Pelican Island celebration since the year 2000. o Completed Riverview Park Phase I, boat dock, landscaping, and shoreline stabilization project in 2001. ❑ Developed community redevelopment master plan in 2003. ❑ Completed Jackson Street extension, sidewalk, and street light project in 2004. o Completed improvements to the Yacht Club. ❑ Completed construction on the Indian River Drive/Main Street project. o Established a Facade, Sign and Landscaping matching grant program. o Received contribution from the Clambake Foundation and provided the balance of funding for the Flag Pole project, which enhanced the view at the western entrance to the CRA area. o Designed billboard advertisements and rented billboards on Highway I -95. o Contributed $20,000 to a film production about the story of Pelican Island. ❑ Constructed information boards at Riverview Park and at the Park at Indian River Drive/Main Street. FY 2010 Sebastian CRA Activities The Sebastian CRA is treated as a special revenue fund of the City. An independent financial audit by an external CPA firm has been accomplished annually to be in compliance with Section 163.387(8), Florida Statutes. An annual budget is also adopted by the Sebastian CRA Board to be in compliance with Section 189.418(3). Major activities and accomplishments of the Sebastian CRA in 2010 included: ❑ Provided financial support for the clam bake, concert in the park events and fine art festival. o Provided funding for Holiday decorations. o Rented one billboard on Highway I -95. ❑ Completed construction of information boards. o Updated CRA Master Plan. ❑ Completed construction on the Yacht Club finger pier project. ❑ Provided matching grant funding for purchase of Working Waterfront Properties. ❑ Awarded three grants for the facade, sign, and landscape grant program to help business, in the Sebastian CRA district, to improve the aesthetics of their properties and buildings. 3 Tax Increment Revenue The tax increment revenue is determined annually as 95 percent of the difference between: (a) the amount of ad valorem taxes levied each year by each taxing authority contributing to the Sebastian CRA on taxable real property contained within the redevelopment area, exclusive of the following entities: Florida Inland Navigation District Indian River County Mosquito Control District Indian River County Hospital Maintenance District School District, and associated General Obligation Debt funded by ad valorem taxes Indian River County Land Acquisition Bond General Obligation Debt Emergency Services Dependent Taxing District St. Johns River Water Management District Sebastian Inlet Taxing District and (b) the amount of ad valorem taxes which would have been generated by the rate at which the tax is levied each year by the taxing authority, exclusive of the following entities: Florida Inland Navigation District Indian River County Mosquito Control District Indian River County Hospital Maintenance District School District, and associated General Obligation Debt funded by ad valorem taxes Indian River County Land Acquisition Bond General obligation Debt Emergency Services Dependent Taxing District St. Johns River Water Management District Sebastian Inlet Taxing District upon the total of the assessed value of the taxable real property in the community redevelopment area as shown on the assessment roll used by each taxing authority prior to March 22, 1995, the effective date of the ordinance creating the Redevelopment Trust Fund. Indian River County Board of County Commissioners and the City of Sebastian currently make tax increment payments into the Sebastian CRA Trust Fund. (TO 4 The actual implementation of the tax increment financing was delayed until FY 2001. The City's millage rate has decreased from $5.00 per $1,000 in FY 2001 to $3.3456 per $1,000 in FY 2010. The millage for Indian River County has been decreased from $4.1014 per $1,000 in FY 2001 to $3.0689 per $1,000 in FY 2009. The millage rates from 2001 through 2010 are presented in Exhibit II below. Exhibit H Sebastian Community Redevelopemnt Agency Operating Millage Rates in Redevelopment Area Fiscal Year 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 Indian River County 4.1014 4.0501 3.8729 3.8377 3.6233 3.5204 3.1914 3.0202 3.0202 3.0892 City of Total Sebastian Millage Rate 5.0000 9.1014 4.5904 8.6405 4.5904 8.4633 4.5904 8.4281 4.5904 8.2137 3.9325 7.4529 3.0519 6.2433 2.9917 6.0119 3.3456 6.3658 3.3456 6.4348 1 0.0000 - 8.0000 6.0000 4.0000 2.0000 0.0000 Total Tax Increment Millage Rate 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 Fiscal Year Source: City of Sebastian Administrative Services Department 5 �z The taxable value of real property in the redevelopment area has risen significantly during the same period. In FY 2001 the total taxable value of the redevelopment area was $45.8 million. Compared to FY 2010 total taxable value of $127.7 million, the taxable value of the redevelopment area has increased by 179 %. Although a 22.28% decrease was experienced in 2008, a 18.97% increase from the 2008 level was experienced for 2009. The taxable values in redevelopment area from 2001 through 2009 are presented in Exhibit III below. Exhibit 111 Sebastian Community Redevelopemnt Agency Taxable Value in Redevelopment Area % Change in Taxable Base Year Incremental Incremental Fiscal Year Value Value Value Value 2001 $45,834,920 $34,959,870 $10,875,050 2002 58,263,740 34,959,870 23,303,870 2003 58,844,190 34,959,870 23,884,320 2004 66,307,980 34,959,870 31,348,110 2005 (1) 78,424,554 41,561,980 36,862,574 2006 (1) 89,418,550 41,561,980 47,856,570 2007 (1) 134,755,060 41,561,980 93,193,080 2008 (1) 113,994,150 41,561,980 72,432,170 2009 (1) 127,735,740 41,561,980 86,173,760 2010 (1) 111,909,020 41,561,980 70,347,040 114.29% 2.49% 31.25% 17.59% 29.82% 94.73% - 22.28% 18.97% - 18.37% Millions of Dollars 100.0 80.0 60.0 40.0 20.0 0.0 Taxable Value 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 (1) (1) (1) (1) (1) (1) Fiscal Year (1) The revenues include the triangle area, which was added in the redevelopment area in 2003. Source: City of Sebastian Administrative Services Department 6 Based on the millage rates and the significant increases in taxable values, the tax increment revenue has risen dramatically during the same period. In 2001, the total tax increment revenue was $94,029. In 2010, the tax increment revenue has increased to $430,035 but this is a 22.1% decrease from 2009. The tax increment revenues for the redevelopment area for the Fiscal Year 2001 through 2010 are presented in Exhibit IV below. Fiscal Year 2001 2002 2003 2004 2005 (1) 2006 (1) 2007 (1) 2008 (1) 2009 (I) 2010 (1) Exhibit IV Sebastian Community Redevelopemnt Agency Tax Increment Revenue Indian River County $42,373 89,664 87,877 114,289 126,886 160,051 282,546 252,885 251,236 206,450 City of Sebastian $51,656 101,625 104,157 136,705 160,753 178,786 270,195 250,499 273,888 223,585 Total $94,029 191,289 192,034 250,994 287,639 338,837 552,741 503,384 525,124 430,035 $600,000 $500,000 $400,000 $300,000 $200,000 $100,000 $0 Tax Increment Revenue 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 (1) (1) (1) (1) (1) (1) Fiscal Year (2) The revenues include the triangle area, which was added in the redevelopment area in 2003. Source: City of Sebastian Administrative Services Department 7 Zit Financial Statements The Sebastian CRA is considered a blended component unit of the City and therefore it is included in the City's annual financial audit. In order to meet the requirement of Section 163.387(8), Florida Statutes, which requires the CRA to provide for annual audit of the redevelopment trust fund, the Sebastian CRA has been treated as a major fund of the City. The financial statements included herein are unaudited statements of the Sebastian CRA. Audited statements are included in the City's Comprehensive Annual Financial Report (CAFR) for the fiscal year ending September 30, 2010 and may be obtained in the City Clerk's office 1225 Main Street, Sebastian, Florida or online at http: / /www /cityofsebasti an.org. 8 Sebastian Community Redevelopment Agency, Florida Balance Sheet September 30, 2010 Unaudited ASSETS Cash and cash equivalents $ 408,957 Investments 276,382 Accounts receivable 3,326 Interest receivable 55 Total assets $ 688,720 LIABILITIES AND FUND BALANCE Liabilities: Accounts payable $ 6,129 Total liabilities 6,129 Fund balances: Unreserved: Undesignated 682,591 Total fund balance 682,591 Total liabilities and fund balance 9 $ 688,720 Sebastian Community Redevelopment Agency, Florida Statement of Revenues, Expenditures, and Changes in Fund Balances For the Year Ended September 30, 2010 Unaudited REVENUES: Taxes: Property $ 429,730 Intergovernmental 2,556,872 Investment earnings 3,056 Other revenue 3,781 Total revenues 2,993,439 EXPENDITURES: Current: Economic environment 129,352 Captial outlay 3,096,416 Total expenditures 3,225,768 Excess (deficiency) of revenues over (under) expenditures (232,329) OTHER FINANCING USES: Transfers in 111 Transfers out (69,829) Total other financing uses (69,718) Net changes in fund balance (302,047) Fund balance - beginning 984,638 Fund balance - ending $ 682,591 10 Sebastian Community Redevelopment Agency, Florida Schedule of Revenue, Expenditures, and Changes in Fund Balances Budget and Actual For the Year Ended September 30, 2010 Unaudited REVENUES: Taxes: Property Intergovernmental Investment earnings Other revenue Total revenues EXPENDITURES: Current: Economic environment Total expenditures Excess (deficiency) of revenues over (under) expenditures OTHER FINANCING USES Transfers in Transfers out Total other financing (uses) Net changes in fund balances Fund balances - beginning Fund balances - ending Budget Amounts Original Final $ 437,768 $ 437,768 2,767 2,767 440,535 440,535 692,638 692,638 692,638 692,638 Actual Variance with Amounts on Final Budget - a Budgetary Positive Basis (Negative) $ 429,730 2,556,872 3,056 3,781 2,993,439 $ (8,038) 2,556,872 289 3,781 2,552,904 3,225,768 (2,533,130) 3,225,768 (2,533,130) (252,103) (252,103) (232,329) (69,830) (69,830) (69,830) (69,830) (321,933) (321,933) 984,638 984,638 $ 662,705 $ 662,705 11 111 (69,829) (69,718) (302,047) 984,638 19,774 19,886 $ 682,591 $ 19,886 i