On the agenda

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

   Approval of March 21, 2023 CRA Meeting Minutes

   approved

   The CRA Board approved the minutes from the March 21, 2023 CRA meeting.

   • motion:Approve the March 21, 2023 CRA meeting minutes. (passed)

   ▶ Jump to 0:17 in the video

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   [00:00:17] Thank you. [00:00:18] Next item is approval of the March 21st meeting minutes. [00:00:19] Move for approval. [00:00:20] Second. [00:00:21] Any discussion? [00:00:22] Hearing none, all those in favor, please signify by saying aye. [00:00:26] Aye. [00:00:27] Opposed, like sign. [00:00:28] 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

   ↳You arrived here from a search for “US Highway 19” — transcript expanded below

   FY2021-2022 Annual Report

   approved

   The CRA Board reviewed and approved the FY2021-2022 Annual Report as required by Florida Statutes 163.356(3)(c) and 163.371. The report covered redevelopment activities including the Comfort Inn and Suites Hotel, Magnuson Motel redevelopment, former community hospital site, Southgate Shopping Center, and the North River project, along with financial statements showing $2.07M in revenues and ~$1.9M in expenditures. Discussion also touched on the potential annexation of an enclave (Leisure Lane/Van Dorn area) into the CRA.

   • motion:Move to approve the FY2021-2022 CRA Annual Report as required by Florida Statutes 163.356(3)(c) and 163.371, to be filed with the county and published on the website. (passed)

   📍Bridge Street📍Hacienda📍Leisure Lane / Van Dorn enclave📍Marine Parkway📍River Road📍US Highway 19📍former community hospital site🏢Comfort Inn and Suites Hotel🏢Gerber Collision🏢Habitat for Humanity🏢K&K Restaurant🏢Magnuson Motel🏢Southgate Shopping Center👤Barbara Carr👤Councilman Altman👤Crystal Dawn👤Mr. Mariano👤Mr. Murphy👤Mrs. Manns#2018 CRA Plan update#Chapter 163, Part 3, Florida Statutes#FY2021-2022 CRA Annual Report#Florida Statute 163.356(3)(c)#Florida Statute 163.371#North River project#Tax Increment Financing (TIF)

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   [00:00:29] Next, fiscal year 21-22 annual report. [00:00:34] Mrs. Manns. [00:00:35] Thank you, Mr. Mayor. [00:00:37] The purpose, as you know, of today's meeting is to keep us in compliance with Florida Statute 163.371. [00:00:49] And the report that was presented to you yesterday covers our redevelopment activity that occurred from October 1st of 2021 to September 30th of 2022. [00:01:06] The report, in addition to reporting activities, contains complete financial information to include statements of our assets, liabilities, income and operating expenses, TIF funds collected, and a record of key accomplishments. [00:01:30] In that respect, I'd like to remind the members of the public that the purpose of a CRA is to guide development activities and by returning properties that may be blighted or underutilized to their highest and their best use. [00:01:56] And allowing them to become of appeal to private sector investment. [00:02:04] We are fulfilling the intent of Chapter 163, Part 3 of the Florida Statutes. [00:02:11] The principal activities and major highlights of fiscal year 2021 through 2022, in addition to updating the 2018 CRA plan, which I expect will be concluded in May of 2023, involves the establishment of Comfort Inn and Suites Hotel. [00:02:41] Which is an 89-room hotel facility which was established on US Highway 19. [00:02:50] As you'll recall, when the original TIF revenue projections were established for that facility, the 10-year projection was $1,500,000 of TIF revenue for that project. [00:03:11] And the 20-year projection was near $2,800,000 for the project. [00:03:19] So we are quite grateful to report that the project is near completion. [00:03:26] At this point, the expectation is that it will be open for business in May of 2023. [00:03:33] The CRA also assisted 24 businesses with incentive grants in the CRA district and distributed in excess of $1,126,150 in business assistance. [00:03:58] The former mayor helped me out, K&K Restaurant, was converted into Gerber Collision. [00:04:11] The property owner received assistance from the CRA for a portion of the demolition costs associated with removing the blighted building from the property. [00:04:23] The CRA has been busy working with the owners of the Magnuson Motel to expedite their plans for the redevelopment of the property, [00:04:38] which calls for the establishment of a 90-room flagged hotel, which will contain a banquet and conference center as well as a rooftop bar. [00:04:52] And the establishment of 96 condominium units, which are slated to be built along Marine Parkway. [00:05:03] CRA has also been very busy working with the owners of the Southgate Shopping Center in relationship to some appearance and operational and tenant mix issues. [00:05:17] And also has devoted a considerable amount of time to helping the realtors that were selected to work on the former community hospital site, [00:05:39] to finding a developer and working on redevelopment plans for that property, which at the current time calls for the establishment of 450 apartments and townhouse [00:05:53] with a mixed use of some commercial properties and will represent over $150 million in investment. [00:06:02] And the developer is slated to close on the property once all of the necessary rezoning and land use amendments occur and those applications are due to be submitted later this month. [00:06:15] The other projects of note that have been worked on by the CRA staff are the project which has been worked on cooperatively with Pasco County [00:06:43] and is referred to as a North River project and that is to establish a mixed use project along US Highway 19 at the river and Bridge Street and would involve the establishment of a marina, [00:07:04] potentially a hotel, potentially some retail and some housing. [00:07:09] And I will be prepared at a meeting likely within the next month to present some concept drawings to you for your consideration along with I hope a commitment from Pasco County as to their degree of participation in the project. [00:07:29] With that being said, if there aren't any questions about any of the specific projects that have been identified in the plan, I would like to turn it over to Crystal Dawn who has been extremely helpful in preparing this plan document to you. [00:07:51] Most of you may not be aware of the fact that the Economic Development Director, Barbara Carr, left the city in November of 2022 and Crystal Dawn and I have been sharing those responsibilities since that time. [00:08:07] Without her, I could not have prepared this report. [00:08:12] She will be presenting the financial tables as it relates to the finances of the CRA. [00:08:23] Good afternoon, Council. [00:08:25] Starting with the statement of revenues and expenditures, the total revenues received for fiscal year 22, $2,070,000. [00:08:36] Of that, the tax increment financing consists of $2,222,000. [00:08:42] Moving into the expenditures, our total expenditures including both operating and capital projects totaled $1.8, almost $1.9 million. [00:08:55] Our transfers in to the CRA consist of $2,413,790 in the tax increment financing from the City's General Fund. [00:09:12] The transfers out of $2,172,600 are to the other various projects that could be spread over the different funds. [00:09:25] The CRA did make a payment back to the General Fund of $619,000 this year, which reduced the advances from the other funds, which is the general repayment to the General Fund. [00:09:40] Currently, that balance is $7,647,083 at the end of fiscal year 22. [00:09:48] You'll notice that the fund balance deficit was reduced by that payment, and you'll continue to see a reduction in that deficit as the debt is paid back to the General Fund. [00:10:06] Also, on the statement of assets, the balance sheet, there are redevelopment properties held for resale. [00:10:16] Of that are four properties still within the CRA for fiscal year 2022. [00:10:25] We have the southwest property expansion track, two properties on River Road, and still ownership in the Hacienda until that transfer is completely taken over. [00:10:37] And that totals $2,040,000. [00:10:41] Going back to the total projects, we did budget $1,558,510. [00:10:59] Of that, the actual expenditures were $339,000. [00:11:03] Most of those projects continue on into fiscal year 23. [00:11:08] And that covers the financial statements, unless you have any other questions. [00:11:15] Just one. [00:11:16] On the fund balance and the asset on the balance sheet issue, the CRA listed with about $18 million in debt, including bank notes, bank indebtedness. [00:11:31] Is that not included on this balance sheet? [00:11:35] The funds due for some of the expansion? [00:11:42] The total advances to other funds is $7.6 million. [00:11:46] So our total liabilities are $8,195,000. [00:11:51] We did take out additional debt, but that was in fiscal year 23. [00:11:56] Talking about some of those original bonds, I think those were – maybe they were secured from general fund revenues as well. [00:12:08] But the bonded indebtedness of the CRA doesn't include those bonds. [00:12:18] I will have to look into that. [00:12:20] Yeah, I think you might want – yeah. [00:12:22] Any other questions? [00:12:24] I'll open up for public comment. [00:12:27] Seeing nobody coming forward, I'll bring it back to the board. [00:12:31] If you've got any general questions, now would be a good time. [00:12:35] Otherwise, we need a motion to approve the annual report as required by Florida Statute 163.356.3c and 163.371, [00:12:50] so we can file it with the county and publish the report on our website. [00:12:55] Move for approval. [00:12:56] Second. [00:12:57] Does it make for any discussion? [00:13:00] No, I'm glad that we made it on time and we got the thing done. [00:13:05] And I understand the short staffing and the situation and appreciate very much the effort that was put forth for it. [00:13:13] I think some of the projects that are listed in here, and the only one that I would suggest is questionable from a CRA standpoint, [00:13:22] is the commentary about the potential annexation and inclusion in a future CRA. [00:13:28] So, you know, I'm not sure that that should be in the report because it isn't a CRA asset or a city asset yet, but it doesn't hurt, I don't think, [00:13:39] just to tell them what you're thinking of doing. [00:13:41] I don't know that it's in the CRA plan to do that. [00:13:45] It is already in the CRA plan. [00:13:47] So since it's in the plan, it's okay to say, but I would suggest to you that I am not particularly encouraged, [00:13:53] based on what I heard from the county meeting that occurred and the dragging of the feet in terms of whether or not the sewer lines [00:14:01] or some of those things that were in those agreements would come forth. [00:14:04] I think the acceptance of that property into the city and the acceptance of it because it is blighted into our CRA [00:14:11] should be something that they would either want us to do in order to help to accommodate an improvement in that area, [00:14:17] but from the study that was done by the staff when this was originally looked at, [00:14:23] and I don't know, I think, Mr. Mayor, both of you may recall, [00:14:27] but it caused us to have additional personnel in order to deal with some of the criminal activity [00:14:33] or the problems that were out there. [00:14:35] So we would effectively be accepting and taking on a liability. [00:14:40] So to the sense that the county is doing something for us, I think before anything happens, [00:14:47] I would like to make sure that they understood that we're trying to use the tools of the CRA [00:14:53] as a way in order to make those changes, and I'm sure that's why it's in the plan. [00:15:00] or not is a good question because annexing it now that those lots have been sold and [00:15:04] individually owned would be, I'm not sure how the potential success of that would go [00:15:13] considering there are homeowners now that are there who would experience a property [00:15:18] tax increase. But it's still there and it's not a priority I only mentioned, it's not [00:15:24] a priority to me. I know it was a priority on previous councils and for that reason it's [00:15:29] there. We've got an awful lot of work to do in the city, I'm not sure that we want to [00:15:34] take on that extra work at this point, but I think that should be a discussion when the [00:15:38] time comes. [00:15:40] Do you have a second? [00:15:41] No, I don't have anything to add. [00:15:43] Just as a follow-up to Councilman Altman's comments, I have heard from the county since [00:15:48] the joint Pasco County-New Port Richey-City of New Port Richey meeting and the county [00:15:54] administrator has indicated that he plans to put the matter on the agenda for the full [00:16:01] consideration of the board at their second meeting in April. He in turn has asked me [00:16:08] to place the matter on the agenda for your consideration at our first meeting in April [00:16:14] and I have done so. And so you may not have seen the council agenda yet because you're [00:16:20] busy with Chasco, but I did place it on the agenda for us to talk about and for you to [00:16:26] determine whether or not it's appropriate for us to consider annexing that enclave. [00:16:33] And the impetus originally, and I'm sure you'll recall, was that that neighborhood is an [00:16:41] economic impediment to our largest taxpayer in the city. They'll continue to be so without [00:16:49] the participation of the city. And as part of the agreement, the county did agree, at least [00:16:57] in concept, perhaps Mr. Mariano didn't or doesn't recall, but it was to include the property [00:17:07] into the city's CRA district to allow us to have a tool to implement some of the measures [00:17:16] and initiatives that would improve the neighborhood. [00:17:20] I think it's the annexation, the details and the administrative aspect and the legality of the [00:17:26] annexation now. At one point it was owned by the large number of parcels were owned by Habitat [00:17:34] for Humanity and as they deliver those deeds and transfer them to the individuals, I think that [00:17:41] it's worth having our legal counsel probably be prepared at that meeting to talk to us about [00:17:47] the possibility of annexation and the probability of being able to do it. Thank you. [00:17:54] Mr. Murphy. [00:17:55] I was just going to say it's nice seeing it on paper and all the things that we did get done [00:18:00] that year, so that's nice to see. [00:18:02] Very pleased where we have managed to get through. And like Director Altman, I'm looking forward [00:18:11] to seeing the discussion of Leisure Lane Van Dorn and that come up, so it'll be interesting. [00:18:19] Any further discussion? Hearing none, all those in favor, please signify by saying aye. [00:18:26] Aye. [00:18:27] Opposed, like sign. Motion passes. [00:18:30] Do we have anything else to come before the board? [00:18:33] No, Mr. Mayor. [00:18:34] In that case, I would entertain a motion to adjourn.

   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. 4Communications▶ 18:35
5. 5Adjournment