HomeMy WebLinkAbout2015 04 27 Other, Documents provided by Ms. Sheila Benton during Public Input Date: April 27, 2015
This document was provided by Ms. Sheila
Benton during "Public Input" at the April 27,
2015 City Commission Regular Meeting.
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Mayor Bush called a Recess at 6.30 p in
The Regular Meeting was called back to Order at 6 41 p m
C.C. AGENDA NOTE: THE FOLLOWING INFORMATIONAL AGENDA
ITEM WAS DISCUSSED AGAIN, THIS TIME INDIVIDUALLY, AND AS
PREVIOUSLY NOTED ON PAGE 2 OF THESE MINUTES. +C.
INFORMATIONAL AGENDA
INFORMA[ZONAL
103. Office Of The City Manager
Responding To Commissioner Brown's Inquiry Regarding Vistawilla Office Center,
Inc. Phase II.
Commissioner Brown spoke for the Record on the status of this project
Mr Tom Corkers, '59 Bear Creek Circle, Winter Springs, Florida, addressed the City
Commission on the economy and this project and stated, "We've had no other anchor
tenants come to take - an anchor tenant to Mr. [David] McLeod and myself, the other
owner of the property is about 8 to 10,000 square feet, and so we have approximately
4,000 square feet left to lease in our Phase I building that has been vacant now for some
time It's very slow. We still feel very positive about the location, hut as far as - meeting
the deadlines we agreed to. the economy has totally changed."
Continuing, Mr Corkery stated, "So, I guess we'd ask for a little patience and really an
extension of the Developer's Agreement and once again, I don't know how long this is
going to last for, I mean - every day we read something different." Continuing, Mr.
Corkery remarked, "Anyway, some sort of extension, a year or two (2) I think would be
appropriate in today's circumstances. But, let me tell you, my lot is all ready to go
Utility lines are in there and as soon as we have an anchor tenant, and if it comes
tomorrow, we're ready to come in, pull the permit and build it. So, and really that is all
that we're waiting for We have our advertiser, marketing and all the websites, the loop
nets, and dot nets and all them - across the nation, listed with the AILS (Multiple Listing
Service) with all the Brokers and commercial, we don't know what else we could
possibly do to bring an anchor tenant to this location. But it will come, we just need
some patience with that and some help from you
Manager McLemore noted. "There's really no default here on the terms until sometime I
believe in October when there's a payment required because the building is not complete
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Technically, It is not in keeping with the Agreement because we didn't pull a Permit, but
there is no sanction or penalty that I'm aware of for not pulling the Permit - if at that
point in time there's a date certain there for completion of the second building, and if
that's not met, then there was a fifty thousand dollar ($50.000.00) penalty, so it's really
not right for any kind of default at this point in time But it would be at that point in time,
a year, approximately eighteen (18) months from now, I believe "
Commissioner Brown inquired, "Did you say eighteen(18) months from now?"
Manager McLemore responded. "Well, remember that again the first sanction really is
when the building is not completed by, if you look in the Agreement it will tell you, in
October of [20F09? Right, that's when the real first sanction would happen, and even
though you haven't pulled a Permit yet and it's required, I don't see any real sanctions in
there that would happen until then.
So, its good to have discussion now because of the issues - It would be very difficult - to
wait six (6) months for this, and then say you have got to do this in the next few months,
that's being practical. So, it's a good time for this to come out and get some sense of
where we're going here and what the Commission is willing to do. But, at this point in
time, there's really no sanctions for the Commission to take as I understand the
Agreement."
Commissioner Brown suggested that Mr. Corkery and former Commissioner David
McLeod ask the City Clerk for a copy of Commissioner Miller's comments
Commissioner Miller stated, "I listened to the tape when I saw this item. Mr. Corkery
didn't leave himself any room It's nice for him to come before us now and say has
anybody been aware of the economic situation for the last three (3) years I think was
what you said - in the United States.
On July 23, 2007, we were all sitting here and - we were informed by Mr. Corkery at
least five (5) times that the deal was the following: He was only at 62% occupancy in
Building 1 He needed to get to ninety-two percent(92%) I think it was before he could -
free up financing for the second building. It was either ninety-two (92) or ninety-six
percent (96%). It was one of those two (2) numbers And he would take his time about
starting the second building, and that he would do that when the economics justified it
But, if the City wanted to put up two hundred thousand dollars ($200,000 00). make it
available as a grant - make It available to UCF (University of Central Florida). and their
Incubator the Incubator 'Quid move into his building and pay him rent at a reduced
rate immediately and if we did that. he would begin construction of the second building
within four (4) to six (6) months That 'as the Agreement.
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You said It. You said I do not have a major tenant right now for my second building, but
if you provide the two hundred thousand [dollars] ($200,000 00), I am going to go ahead
and start the building anyway, even without a major tenant. We agreed I didn't Vote for
it that night, I wanted to wait, because we were already in a budget crunch - we stilt are;
but this Commission approved two hundred thousand dollars ($200,000 00) for UCF
(University of Central Florida) to move into - his building, and they are now paying him
rent
Ile got up to ninety-six percent (96%). The financing was freed up. You agreed to start
the second building You already said in July of 2007, I don't have a major tenant, or an
anchor I think was the word you used, and I found It strange that you would make that
commitment, but that is the Agreement that we thought we had with you.
And now it is a year later, and you haven't - even started construction on that building
You made a commitment and you didn't keep It. And what concerned me about this 4
item, tonight, is there is wording in here about just as you said, give me a break you \/
know, I can't find a tenant; I don't really want to start the second building. But our City -, �' J ,
has got two hundred thousand dollars ($200,000.00) tied up in your building, which we f \
thought would free up and get your second building started.
l
You also and several others, made the comment that within four (4) years the two
hundred thousand [dollars] ($200,000.00) would be repaid in taxes to the City from the -O
second building Well, that's obviously not going to happen now for maybe three (3) or
four (4) years, if we give you the break that you want So, fine, even if it's from the first
building, but that his comment was '1 will start the second building'. You have your
occupancy that you need on the first building, and you have not fulfilled your Agreement,
and that's what concerns me
I asked about it one or two times in the interim, and was told we're working on it, it's
underway, it's going to start. And I kind of forgot about it until I saw this. I listened to
the tape and the tape is very clear - that five (5) times you said 'Commissioners, I will
build that second building within - I'll start within four(4) months, if you provide the two
hundred thousand dollars ($200,000.00) Grant.' I also asked that night, why is nobody
here from UCF (University of Central Florida)'
The Mayor said, 'Excuse me, but the light is on for Commissioner Brow-n.'
Commissioner Brown made a Motion to Approve It passed by a Vote of 2 and it was
a hang-up. because Commissioner Krebs wasn't here that night. Mayor Bush broke the
tie by l oting for it. I hat's where we are at."
Deputy Mayor Gilmore stated. "I think it is important to realize one thing. we actually
did not commit this money to Mr. Corkery, it was to the UCF I Unix ersity of Central
Elondal Incubator Commissioner Miller noted, " If they cooled in and took 10,000
square feet of his building
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Additionally, Deputy Mayor Gilmore added, "And, that is really what we wanted. I think
we were looking to increase the future business presence on the east side in that area, and
that building certainly has done that, and will hopefully do it in the future. I think there is
another thing we ought to recognize - very shortly our Police Department will go into a
substation in that building at no charge to this City in operating cost or anything else, I
think the permit fee was dropped. But. we need to give some consideration of the fact
that Mr. Corkery has donated 1100 or 1200 square feet or something It doesn't cost us a
penny, and - that's some payback for us too"
Commissioner Brown stated, "The long-term economic gain to this City by securing the
UCF (University of Central Florida) Incubator as part of this development is huge. The
economics speak for themselves It just doesn't make any sense to me that in these
difficult economic times, we would not be willing when the appropriate time comes and
if it is necessary at that time to have a conversation with the Developer about modifying
terms or whatever the situation may he that he needs to make this project viable.
I unfortunately — I have to agree with Mr. Corkery, when you look at what the economic
situation is today and what it was last year, it continues to be vastly different. It has
continued to decline. So, I think it is very short-sighted of this Commission, especially
when we still have eighteen (18) months to go to be already setting the ground work to
penalize somebody who has taken a risk and risk comes with value in the business world,
of upwards of thirty million dollars ($30,000,000.00) for these two (2) buildings and
more with the other Developments that have gone on, not to mention the gifts that Mr.
Corker) has given to the City, such as the weight room and the Police Department"
Commissioner McGinnis remarked. "Well, Commissioner Brown, you are making an
assumption that we are looking at sanctions. I am not supporting that. I think that we are
all victims of the economic situation today and we really don't have the power to do
much about it right now, so - I think to me it's a no-brainer. I think we will work with
you. I believe you don't want this situation any more than we do - your money is tied up
in it, not mine."
Mayor Bush stated, 1'1 would like to recommend that the Commission ask Mr Corkery
and the Manager to get together to work out the details on this so that it takes into
consideration the things that have been brought up."
"SO MOVED." MOTION BY COMMISSIONER BROWN. MAYOR BUSH
STATED, "SECONDED BY COMMISSIONER GILMORE TO ASK MR.
CORKERY AND THE MANAGER TO LOOK AT THIS AND COME BACK
WITH A RECOMMENDATION." DISCUSSION.
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VOTE:
COMMISSIONER BROWN: AYE
COMMISSIONER MILLER: NAY
COMMISSIONER McGINNIS: AYE
COMMISSIONER KREBS: AYE
DEPUTY MAYOR GILMORE: AYE
MOTION CARRIED.
:• AGENDA NOTE: THE FOLLOWING REGULAR AGENDA ITEMS
WERE DISCUSSED NEXT, IN THE ORDER DOCUMENTED, FOLLOWED BY
THE REST OF THE AGENDA. C.C.
REGULAR AGENDA
REGULAR
601. Community Development Department
Requests That The City Commission Consider The Request By Representatives Of
Local Realtors To Waive The Sign Code For Real Estate Signage.
Mr John Baker, AICP, Senior Planner, Community Development Department Introduced
this Agenda Item.
Attorney Garganese spoke on legal aspects related to signage
Sls Barbara Coy, '31 Sandpiper Circle, Longwood, Fonda' as a Realtor, Ms. Coy
commented on the economy and real estate signage and asked if they and the City could
work together on a solution.
I apt.3/Side A
Discussion ensued Some signage examples were passed out by Attorney Garganese.
With further discussion, Attorney Garganese said, I'd he happy to go back and analyze
the specific type of requests and come back to you "
Deputy Mayor Gilmore suggested that It would serve both the Realty people and the
people that are having to sell their homes if Attorney Garganese worked on some possible
suggestions to resolve these issues
Ms. Coy noted. We don't need to he on right-of-ways first of all. I just want to say
that."
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Mayor Bush said to Manager McLemore, "This two hundred thousand dollars
($200,000.001 comes out of the General Fund." Manager McLemore noted, "Comes out
of General Fund Reserves. It does not come out of the operating stream of your Budget."
Further discussion
"I AM GOING TO MAKE A MOTION THAT WE TAKE A STEP FORWARD
TO SECURE THE FUTURE OF WINTER SPRINGS AND OUR ECONOMIC
AND APPROVE THE TWO HUNDRED THOUSAND DOLLARS ($200,000.00)
THAT WILL BRING THE INCUBATOR HERE IN FULL FORCE." MOTION
BY COMMISSIONER BROWN. MAYOR BUSH STATED, "MOTION TO
APPROVE THE TEN THOUSAND SQUARE FEET (10,0005 AT TWO
HUNDRED THOUSAND [DOLLARS] ($200,000.00); AND ALSO, MR.
CORKERY WOULD START A SECOND BUILDING." MAYOR BUSH NOTED
"SECONDED BY COMMISSIONER GILMORE." DISCUSSION.
VOTE:
COMMISSIONER BROWN: AYE
DEPUTY MAYOR McGINNIS: NAY
COMMISSIONER GILMORE: AYE
COMMISSIONER MILLER: NAY
MAYOR BUSH: AYE
MOTION CARRIED.
Manager McLemore asked, "Could I ask something on the Motion — does that includes
the authority for the City Attorney and Ito work out the actual Agreement itself with the
University?" Manager McLemore replied, "I would assume that would be understood."
Deputy Mayor McGinnis said, "I would think."
RF(ail.AR
601. Office Of The City Manager
Requesting That The City Commission Approve Resolution No. 2007-29,
Computing The Proposed Operating Millage Rate For Fiscal Year 2007-2008 At
4.2919 Mills And Voted Debt Service Millage Rate At 0.1022 Mills Or Some Other
Rate The Commission Deems More Appropriate, Establishing The Rolled-Back
Rate, And Setting The Date, Time And Place Of A Public Hearing To Consider The
Proposed Millage Rate And Tentative Budget For Fiscal Year 2007-2008.
Ms Greco addressed the City Commission regarding this Agenda Item