On the agenda

1. 1Call to Order - Roll Call▶ 0:00
2. 2

   Approval of June 1, 2021 CRA Meeting Minutes

   approved

   Approval of the June 1, 2021 CRA meeting minutes. Motion was made, seconded, and passed without discussion.

   • motion:Approve the June 1, 2021 CRA meeting minutes. (passed)

   #June 1, 2021 CRA Meeting Minutes

   ▶ Jump to 0:11 in the video

   ▸Show transcriptHide transcript

   Auto-transcript · machine-generated, may contain errors

   [00:00:11] Item on the agenda is the approval of the June 1st, [00:00:14] 2021 CRA meeting minutes. [00:00:16] Move for approval. [00:00:18] Second. [00:00:18] Any discussion? [00:00:19] No. [00:00:20] Hearing none, all those in favor please signify by saying aye. [00:00:23] Aye. [00:00:24] Opposed? [00:00:26] Next item on the motion passes.

   This text was generated automatically from the meeting video. It is not a verbatim or official record. For exact wording, consult the video or the city clerk.

3. 3

   Request To Purchase an 11 Passenger ADA Electric Shuttle

   approved

   The CRA Board approved staff's request to purchase an 11-passenger plus ADA electric shuttle vehicle for $35,045 from a state of Florida cooperative bidding contract, to shuttle visitors from the city's parking structure to downtown. The motion was amended to authorize up to an additional $10,000 to upgrade to lithium-ion batteries at staff's discretion. Funding source is the city's CRA.

   • motion:Approve purchase of the 11-passenger plus ADA electric shuttle for $35,045, with up to an additional $10,000 authorized for staff to upgrade to lithium-ion batteries. (passed)

   📍5614 Red Snapper Court👤Bill Garant👤Dan Holback👤Kevin Adams👤Mrs. Manz#Chasco#DOT grants#Main Street conference#Stuart Florida tram system#TIF projections on new hotel

   ▶ Jump to 0:27 in the video

   ▸Show transcriptHide transcript

   Auto-transcript · machine-generated, may contain errors

   [00:00:27] Next item is a request from staff to purchase an 11 [00:00:31] passenger plus ADA electric shuttle. [00:00:35] Mrs. Manz, you came up with this. [00:00:38] Actually, I'd like to give all due credit to Kevin Adams for [00:00:45] finding this vehicle and making this recommendation. [00:00:51] He did a good amount of research and determined that [00:00:55] this is the vehicle most suited to meet our needs and it was the [00:01:02] most cost effective. [00:01:04] It is a golf cart electric vehicle. [00:01:08] As you indicated, Mr. Mayor, it is a 12 person, 11 passenger [00:01:13] plus ADA seat vehicle which will be used to shuttle visitors to [00:01:24] the city from the city's parking structure to the [00:01:27] downtown area. [00:01:29] The cost associated with the expenditure is $35,045. [00:01:37] The funding source is the city's CRA. [00:01:41] We are proposing to take the bid off of an existing contract [00:01:51] to the state of Florida cooperative bidding contract. [00:01:54] Kevin, if you would tell us a little bit about the vehicle, [00:01:59] I'd appreciate it. [00:02:00] Sure. [00:02:01] I believe I put in a description in your packet. [00:02:10] As was said, it's an 11 passenger with one ADA passenger vehicle. [00:02:16] There are some accessories that we feel are important to add to [00:02:20] them to this vehicle. [00:02:24] One would be putting the city logo on it. [00:02:27] Also a fan to cool passengers off and a few other amenities. [00:02:38] This vehicle is modeled after the Stuart, Florida tram system. [00:02:43] This is exactly where they got their vehicles from, similar vehicles. [00:02:53] They have, I believe, six vehicles. [00:02:55] They started out with one. [00:02:57] This will be our first. [00:03:02] We will be looking at coming to, if you do approve this purchase, [00:03:06] we'll be working with other city departments to come up with a [00:03:10] route system, how many stops we want to have and where those will be. [00:03:16] But the recommendation is for this low speed vehicle, [00:03:23] electric vehicle purchase to be approved. [00:03:26] And it will be about 120 days out once we sign the contract on this. [00:03:34] So it will take a little bit to get this vehicle here. [00:03:38] The original on their price sheet was 30 to 45 days, [00:03:42] but talking with a representative, everything's backed up and [00:03:45] it's going to take a little bit of time. [00:03:46] So I'm hopeful that we can get this approved. [00:03:51] Open up for any public comment. [00:03:56] Come on down and give us your name and address for the record, please. [00:03:59] Hey everybody, Dan Holback, 5614 Red Snapper Court. [00:04:12] My only question is, is maybe before purchasing, is there a way to release [00:04:16] one or rent it for maybe three months and then make the purchase [00:04:22] based on a successful rental? [00:04:24] That was the only thing I was thinking. [00:04:25] Okay. [00:04:26] Thank you. [00:04:26] I did research, similar, trying to rent similar vehicles and [00:04:31] there's nothing out there of this kind that can be leased of this size. [00:04:35] The only thing that was available was like, I tried for [00:04:41] us even six passenger golf cart from some of the local companies and [00:04:46] there's right now nothing available. [00:04:48] So that's where we're at with that. [00:04:50] What is the speed of this guy? [00:04:52] Up to 20 miles per hour. [00:04:54] Depending on the weight of people. [00:04:56] So it's considered a low speed vehicle. [00:05:01] Does it have the ability to, is it expandable? [00:05:06] In other words, can you pull another cart, it might carry more people? [00:05:10] They do have an option for trailers, which would, yeah, [00:05:14] you can pull another similar vehicle to this, yes. [00:05:18] Do they have an option or anything for [00:05:19] like lithium batteries instead of the regular batteries? [00:05:23] The model that we have here does have the upgraded battery pack on it, [00:05:31] which, let me see. [00:05:37] Looked like deep salt. [00:05:38] They're all water, yeah. [00:05:39] Yeah, they're water. [00:05:40] They're low acid. [00:05:41] Yes. [00:05:42] Okay. [00:05:43] Yeah, versus the lithium. [00:05:44] The reason why I ask is it says it's got a range up to 50 miles. [00:05:45] It sounds like, you know, a lot, but if they're shuttling back and forth, [00:05:46] back and forth, back and forth all day, you could basically, you know, [00:05:47] it could be dead by the end of the day and you may need it into the night [00:05:48] and then you have to recharge and that's going to take all night. [00:05:49] Right. [00:05:50] And with the lithium, you can get more power out of it and it'll last longer. [00:05:51] Have you thought about a schedule? [00:05:52] I've looked at it. [00:05:53] I've looked at it. [00:05:54] I've looked at it. [00:05:55] I've looked at it. [00:05:56] I've looked at it. [00:05:57] I've looked at it. [00:05:58] I've looked at it. [00:05:59] I've looked at it. [00:06:00] I've looked at it. [00:06:01] the downtown area are, and I think we'd probably just be starting with [00:06:02] the downtown area are, and I think we'd probably just be starting [00:06:08] with like Friday evenings, Friday nights and Saturdays, all day Saturdays... [00:06:15] ...nor most of the afternoon and evenings on Saturdays. [00:06:16] ...nor most of the afternoon and evenings on Saturdays. [00:06:19] to start and see how we do with it. [00:06:34] And your loop's probably half a mile or so? [00:06:38] Yeah. [00:06:39] Depending on how we structure it out. [00:06:41] So you're talking basically... [00:06:43] Half a mile each way. [00:06:45] Half a mile, yeah, each way. [00:06:46] So you're basically talking about 50 circuits over the course of a day. [00:06:51] Right. [00:06:52] That's probably... [00:06:54] Well, they can plug in. [00:06:55] If they set up, they can plug in at the garage or they can plug in downtown. [00:07:00] Yeah. [00:07:01] Yeah, but that's going to take a long time to charge. [00:07:03] That's what my question is. [00:07:04] I mean, maybe for regular times it will be fine, but for special events and stuff, [00:07:09] back and forth, back and forth, around and around, I mean, I could see it... [00:07:13] I just don't know if it's an option. [00:07:14] Maybe we can just see if it is or not. [00:07:18] I'll make a motion to approve [00:07:20] and ask that you would look into the option of the lithium battery. [00:07:25] Second. [00:07:29] Under the discussion part with the 100 days out, [00:07:32] I think we have a number of events that are coming up particularly, [00:07:37] and I don't know 100 days from now if that doesn't take us... [00:07:41] Three months. [00:07:42] Yeah. [00:07:43] And you don't know. [00:07:45] But I know that particularly we talked about the Main Street conference coming up in this month, [00:07:55] and I know that there was some work done by the Main Street group to identify that same guy, [00:08:02] Bill Garant, who did the Chasco a few years ago. [00:08:06] And I think the idea of getting people used to it, I would also, [00:08:11] although it's not under this, [00:08:12] I would also suggest we could look into the potential of having some of that kind of transport in the meantime, [00:08:20] just to learn about the routes. [00:08:24] But that's not related to this motion, so I'll leave that alone. [00:08:28] The only other question I have is I know in Start Steward that they got DOT grants [00:08:36] for some of the vehicles that they bought, including some operational grants. [00:08:39] So I would suggest we could look into that. [00:08:45] The battery problem is really exacerbated when you only have one vehicle. [00:08:51] So, you know, at some point, [00:08:53] I think we'll determine that it might be optimal when there's events to be able to have a couple going [00:08:58] or to be able to have that downtime for something and keep the service running. [00:09:03] So I see this as a first step and an opportunity. [00:09:07] I know Steward has been very aggressive to get to the seven vehicles they have. [00:09:11] So it's a great start. [00:09:12] So that's why I'm voting for it. [00:09:16] Do you have a time frame in their growth from one to six or seven or whatever they have? [00:09:23] Steward, can you repeat that again? [00:09:26] A growth, you know, how fast they went from one to six or seven? [00:09:29] I mean, you don't have to guess. [00:09:31] I'm just asking. [00:09:33] If I remember correctly, they started in 2007 or around that time with their first one [00:09:42] and then added the second one maybe three or four years later [00:09:47] and then have just expanded throughout up until now where they have seven. [00:09:56] Any other? [00:09:57] We did option for the soft vinyl enclosure. [00:10:00] Yes, sir. [00:10:02] For those inclement days we may have, right? [00:10:06] What about communication on the vehicle? [00:10:11] There is an accessory that there is a mic with a speaker there. [00:10:18] No, I meant communication with police, the city, you know, somebody. [00:10:29] We wouldn't have something equipped, but I can work with the police department on that. [00:10:32] Staff them with a radio. [00:10:33] We can staff them with a radio. [00:10:38] I noticed the same thing, the deep cycle lead acid. [00:10:46] If you researched me the last time I looked at golf carts with either lead acid or lithium batteries, [00:10:53] the lithium was a significant additional expense. [00:10:58] Certainly if we start off with this and discover that it is spending a lot of time getting charged, [00:11:05] the next one we may want to spring for the lithium ion battery. [00:11:11] The other thing I saw, and correct me if I'm wrong, but if you get the trailer, [00:11:15] it typically comes with a battery as well, so you've got additional. [00:11:19] Right, that's correct. [00:11:23] Any other questions, comments? [00:11:24] I would just say it would be worth looking at and seeing anyways what the cost difference was. [00:11:29] Did we want to approve this with a budget in mind and leave it to staff's decision to upgrade it to lithium? [00:11:40] You don't have to come back for approval financially. [00:11:43] We can't approve an amount that if they want to, to go ahead and say if it's X amount of dollars would spring for it. [00:11:50] I will defer to the city attorney, but I think that probably needs to come back to us if they do a significant upgrade. [00:11:56] Well, if you approve it and you give them budget for that upgrade, that can be included now, [00:12:02] and as long as they stay within that, that approval will be valid. [00:12:06] So I think you can do that if you want to set a number. [00:12:11] I wouldn't have any clue what that number should be is the problem. [00:12:14] We're already 100 days out, and so if we want to make a change, [00:12:19] or like we want to do it up front rather than wait two weeks or whatever. [00:12:24] If the second is in agreement, we wouldn't think the batteries would cost more than $10,000 or $15,000 as a swap-out [00:12:32] because the regular ones cost money to begin with. [00:12:35] I would say $10,000 would probably be a good number. [00:12:37] So maybe we'll give that kind of a goal. [00:12:40] What do you think? [00:12:41] Sure. [00:12:42] Fine. [00:12:43] So we'll modify our motion then. [00:12:46] So the motion is up to additional. [00:12:50] $10,000? [00:12:51] Is that a number? [00:12:52] We're living in bad years only. [00:12:57] Yeah. [00:12:58] Okay. [00:12:59] I just. [00:13:00] That's all right. [00:13:01] So what is $10,000? [00:13:03] $50. [00:13:04] Then they have to come back and talk to us. [00:13:06] All right. [00:13:07] Then we'll be able to. [00:13:08] I'm sure they'll work with it. [00:13:09] Okay. [00:13:10] Just a little bit. [00:13:11] As I was researching from Stuart, they had listed that another battery technology is lithium-ion batteries, [00:13:20] and these are more expensive at $7,000 per 12-battery set, which would fit in this vehicle. [00:13:27] So it's roughly. [00:13:28] I would go on the high side of that. [00:13:29] So do they have two sets? [00:13:31] So what are you going to do with the grand? [00:13:33] Put the sticker on it. [00:13:38] We'll buy more logos to put on it. [00:13:40] Oh, okay. [00:13:41] Mr. Fairman. [00:13:42] The question was do they have. [00:13:44] How many sets of batteries are in this thing? [00:13:47] Just 12. [00:13:48] One or two. [00:13:49] Yeah. [00:13:50] It's a 12-battery set. [00:13:52] Okay. [00:13:53] So $10,000 will have us covered with a little room to spare. [00:13:59] Okay. [00:14:00] The city always puts its nice logos on it. [00:14:03] I'm assuming that'll be part of your operation. [00:14:05] That's what he already says. [00:14:06] Yeah, that's in the accessories. [00:14:09] Is it legal for all of us to be on it at the same time, or is it like the president and vice president? [00:14:14] Never. [00:14:15] Oh, okay. [00:14:16] If you're quiet, you can be on it. [00:14:18] But you can't be. [00:14:21] I'll be dragged behind it. [00:14:26] Yeah, I think that's good. [00:14:28] I think it's wise. [00:14:29] I think it was a good question to bring up the lithium. [00:14:36] There's a three-year warranty, and I imagine that three-year warranty is about when the batteries will poop out on it. [00:14:44] The lead acid. [00:14:45] If you're using lead acid, they're going to be pretty ratted out. [00:14:49] Anything else? [00:14:51] In that case, all those in favor, please signify by saying aye. [00:14:55] Aye. [00:14:56] Opposed? [00:14:57] Mostly self-tickets for the first. [00:15:00] for the first rides and then we can get that seven grand back. [00:15:03] Inaugural ride. [00:15:08] I'll leave that to the staff to figure out. [00:15:09] We're going to push the fire truck. [00:15:11] Yeah, OK, next item is the TIF projections on the new hotel.

   This text was generated automatically from the meeting video. It is not a verbatim or official record. For exact wording, consult the video or the city clerk.

4. 4

   ↳You arrived here from a search for “Urbanomics” — transcript expanded below

   TIF Projections for New Hotel

   discussed

   Staff presented TIF revenue projections for a proposed 85-room Rivergate Hotel to be built on a 1.29-acre parcel just south of the Kaiser Hotel, with an estimated $10 million private investment. Projections show annual cumulative TIF revenue of $95,222, totaling about $1.05M over 10 years and $2.35M over 20 years. The developer has requested $250,000 in CRA participation, but no action was taken; this was informational only.

   📍just south of the Kaiser Hotel🏢Comfort Inn and Suites🏢Kaiser University🏢Stantec🏢Urbanomics👤Charles Rudd👤Keith Grimminger👤Mike Burton👤Ms. Spence#$250,000 CRA participation request#Kaiser Hotel project#Rivergate Hotel#TIF District

   ▶ Jump to 15:13 in the video

   ▸Show transcriptHide transcript

   Auto-transcript · machine-generated, may contain errors

   [00:15:14] Ms. Spence. [00:15:16] OK. [00:15:18] Thank you, Mr. Mayor. [00:15:20] The purpose of this agenda item, in large part, [00:15:24] is to demonstrate to you the increase [00:15:26] in the annual increment as a result of the proposed [00:15:32] construction of an 85-room hotel, which [00:15:37] is proposed to be constructed just south of the Kaiser Hotel. [00:15:42] It was speculative in basis when the Kaiser project was [00:15:50] originally proposed. [00:15:53] There was a 1.29-acre parcel of property left undeveloped. [00:16:00] We really didn't expect that portion of the project [00:16:04] to come to fruition so quickly. [00:16:09] Very fortunately, though, I was approached [00:16:12] by a developer that was interested in initiating [00:16:17] construction this year on a project. [00:16:18] And although they are still shopping a flag for the hotel, [00:16:28] they have some general specifications [00:16:33] and have indicated that their expectation is [00:16:37] that the cost associated with the project [00:16:39] will be $10 million. [00:16:41] And so I've worked with Charles Rudd, [00:16:44] and we have worked with Urbanomics [00:16:47] and developed some TIF revenue projections [00:16:51] for the proposed, what we're referring [00:16:54] to as the Rivergate Hotel. [00:16:57] And we were very modest in our annual valuation growth rate. [00:17:03] And although we are expecting construction [00:17:07] to commence this year, we're not showing [00:17:09] that it is actually on the tax roll [00:17:13] until the fiscal year 23-24. [00:17:19] We are showing an annual cumulative TIF [00:17:23] revenue of $95,222. [00:17:28] And so over a 10-year period of time, [00:17:31] we're earning $1,056,229. [00:17:41] And over a 20-year period of time, [00:17:44] it aggregates to $2,353,902 if all goes as projected. [00:17:54] The hotel developer at this point [00:18:03] has been very modest in terms of what they're asking for [00:18:10] in respect to any participation by the CRA in regard [00:18:19] to the development of the property. [00:18:23] And in my most recent conversation with them, [00:18:27] they've asked for $250,000, which I don't even [00:18:32] have the calculation at this time of what that [00:18:36] is of the total $10 million. [00:18:38] But it's much less than what we typically give for, [00:18:43] thank you, of a project of that magnitude. [00:18:50] And we're not asking you to take any action on that tonight [00:18:53] or any type of an agreement. [00:18:56] We'll bring that before you at another time [00:18:59] once the deal is completely baked. [00:19:03] But we wanted to at least let you [00:19:05] know that there continues to be growth within the district. [00:19:09] And we've got good things to come in respect [00:19:16] to the future years in our TIF district [00:19:20] as a result of continued reinvestment [00:19:22] on the private industry part. [00:19:29] And collectively, we can say between Kaiser University [00:19:34] and the hotel, we have been able to command $27 million [00:19:42] worth of private investment into the river district, [00:19:50] much for which to be proud of with that project. [00:19:53] And Charles and I are prepared to respond [00:19:55] to any questions you have related to the TIF projections [00:19:59] or the hotel project. [00:20:01] How many rooms do you think they're going to have? [00:20:03] How many? [00:20:03] Rooms. [00:20:04] 85 is the projection. [00:20:06] It could be up to 90. [00:20:09] But for purposes of the projection, we kept it at 85. [00:20:15] 85. [00:20:17] You have a question? [00:20:18] They don't have a name yet? [00:20:19] I mean, a version of their? [00:20:21] They haven't decided yet on a name. [00:20:26] There's been the most interest that has been expressed [00:20:31] has been on the part of the quality family. [00:20:35] And they're proposing the specific brand [00:20:38] of Comfort Inn in Suites, a new prototype of that line. [00:20:44] And they have a handsome, modern building that they'd like. [00:20:49] But they have not signed with them at this time. [00:20:53] And they are considering other brands as well. [00:20:59] Yeah. [00:21:00] On the TIF projections, I just wanted to go back. [00:21:02] And I think, Chopper, you and the chairman here [00:21:08] probably would recall back in the day [00:21:10] when we had hired Tim Burton? [00:21:14] No, that, well, whatever. [00:21:17] Mike Burton. [00:21:18] Sorry. [00:21:19] Nightmare. [00:21:22] To do some really elaborate Excel spreadsheet [00:21:28] comparisons between the effect of the growth of the CRA [00:21:34] and the general fund. [00:21:35] And they, excuse me, he had developed a model. [00:21:40] He sold his company, which ultimately [00:21:43] came back to Stantec Company. [00:21:47] And I spoke to him recently. [00:21:49] But one of the engineers that serves us is Keith Appen? [00:21:55] Keith Grimminger. [00:21:56] Keith Grimminger, who's working with Stantec [00:21:59] and their economic analysis team. [00:22:04] But the point I'm making is we paid a good bit of money [00:22:07] for a program that was a live program [00:22:11] that you could work with. [00:22:13] And as much as it's nice to hire somebody to do individual, [00:22:18] when we get into how many projects we have [00:22:20] and what the effects are going to be [00:22:22] and how much return it's going to make, [00:22:25] I would like to see if it's possible [00:22:29] that the ownership of that, it was proprietary, [00:22:33] what they had created. [00:22:34] I'd be curious to see how much it would take for a firm [00:22:38] that now owns that software, that's already [00:22:41] developed for the city, has all of our templates in it, [00:22:45] for us to be able to use that for projections [00:22:47] within the CRA. [00:22:48] So it's kind of related, Mr. Chairman. [00:22:51] But it's really helpful to see how much is generated [00:22:55] from these projects, particularly [00:22:57] when folks on the government side, [00:23:00] watching how carefully we watch our dollars, [00:23:04] look at some of these expenditures, [00:23:05] and sometimes become critical of them. [00:23:08] But when you can show the private investment that's [00:23:11] coming in, it helps you to decide how much incentive [00:23:15] or how much infrastructure to put in for it, [00:23:19] and that sort of thing. [00:23:20] So I like the fact that we're looking at these numbers, [00:23:23] and I appreciated the information. [00:23:27] Thank you. [00:23:27] Anyone else? [00:23:29] There's a little bit I know about buying hotels and building [00:23:35] hotels. [00:23:35] $110,000 a room is pretty expensive. [00:23:40] So I think it might be kind of hard to find. [00:23:44] I hope they find it, but $110,000 a room [00:23:48] is pretty expensive. [00:23:50] And to build per square foot? [00:23:53] Well, they paid a lot for the land. [00:23:57] Also got construction costs. [00:24:00] As I was saying, you're saying $10 million and 90 rooms. [00:24:03] That's $110,000 a room. [00:24:05] So that's why I'm asking, is what I'm saying. [00:24:08] Bringing it out loud. [00:24:10] Good luck to them. [00:24:12] Interest rates are good right now. [00:24:16] It's funny, the costs go up, but the interest rate goes down. [00:24:19] So numbers are odd, aren't they? [00:24:22] Yeah, don't buy any longer. [00:24:25] If I understand correctly, these folks [00:24:27] have quite a bit of experience in working with hotels [00:24:30] and developing, and so I'm pretty confident they probably [00:24:34] got crunched the numbers to know what's going to work [00:24:37] and what they're doing. [00:24:38] It's fine if somebody will do it, that's what I'm saying. [00:24:41] They do have some experience building hotels in the area, [00:24:45] I guess. [00:24:47] I'm just putting the number out there. [00:24:51] Thank you very much. [00:24:52] Do we have any communications for the CRA

   This text was generated automatically from the meeting video. It is not a verbatim or official record. For exact wording, consult the video or the city clerk.

5. 5Communications▶ 24:54
6. 6Adjournment▶ 31:25