CRA agreement questionable for downtown
The question related to the feasibility of setting up a dependent special district within the downtown region of Estero Island to see if any future increases in property values can be set aside to support economic development projects within that district is still being discussed.
The downtown ad hoc committee, which has been tasked by the Fort Myers Beach Town Council to recommend findings for a community redevelopment area, is finding difficulty in the multiple tier solution. Other mechanisms are being explored.
Under state law, local governments are able to designate areas as CRA when certain conditions exist, such as areas described as ‘blighted.’ But when county properties and private property are involved, as in the case of the targeted area known as Seafarer’s and Helmerich plazas and Crescent Family Beach Park, it may be difficult to apply the financing tool for redevelopment.
“We all know that Seafarer’s, the park site and Helmerich property have a certain density in the downtown district. These are real commodities that we can transfer for redevelopment,” said ad hoc chair Hank Zuba. “Anybody who is going to be dealing with frontage on Estero (Boulevard), we are going to be in the ballgame. What we bring to the table would be some ability to influence to deny.”
In 2001, an existing Beach CRA (Estero Island Community Redevelopment Agency) with County officials was bought out for $2 million. But, there are debates that the full-island CRA still is active by way of a 2013 Council ordinance that readopted and reconfirmed it on the Town level. Reports say County officials do not recognize it.
Town Manager Don Stilwell, who was County manager at the time of the buy out, stated the County had 11 CRAs and was trying to clear them from County records because they were not time certain or dollar specific. He described them as “blank checks.” County adopted new policy to abolish them.
“I went to the commission and suggested to them that this was costing the taxpayers of Lee County a lot of money,” he said. “We signed a blank check for 40 years, and we couldn’t afford it. We negotiated with (all of the CRA holders) to get them to go away.”
Priority goals for the newly formed downtown ad hoc committee involve issues pertaining to CRA, FEMA and pedestrian impact on traffic within the region between DiamondHead Resort and Lynn Hall Park, including Old San Carlos Boulevard. Establishing a CRA, if possible, could generate a tax increment fund whenever redevelopment at Seafarer’s and Helmerich as well as other commercial developments in the downtown area occur.
Capturing those tax dollars from properties in the downtown zoning district would not create new taxes or more taxes. They would come from the same tax pot already allocated and the process would involve moving some of the tax money from the existing pot into a CRA pot.
The committee discussed the process to establish a CRA -one that would require multiple public hearings and a state-required study via a paid consultant- opposed to a joint financing arrangement, one that Bonita Springs and Lee County engaged in on a 50-50 level to fund the neighboring city’s $16 million downtown redevelopment project in late 2013.
“We probably should look at something like that if the County is really pushed back against the CRA,” said committee member Bruce Butcher, who brought up the concept.
Stilwell was asked if the latter angle would work.
“I think there is a precedent set. I certainly think we have every right,” he said. “Why them and not us?”
As of now, Town charter language restricts Town officials from long-term borrowing in excess of 36 months without a referendum.
Maureen Rischitelli, the Town staff liaison to the committee, stated the process should begin with “identifying the project, looking at the impact and your time factor.”
“We know we need a mechanism, whether it is an official CRA or we (check into) other options out there,” she said. “I think you need to identify what you would recommend for transportation, moving people or improvement in what you define as what you want for Fort Myers Beach, regardless of whoever else is out there. Then take what projects you determine to find different revenue sources to build the package to get the job done.
“If you can’t do a CRA, then fashion some other type of agreement that gives you similar criteria. There are other ways to leverage things we have in place that come available.”
Committee members discussed the possible scenarios that may happen at the combined Seafarer’s and Helmerich plazas site. Development talks have involved public-private ventures, such as a hotel, parking and an elevated walkway from the structure that would lead across the boulevard. Other outlines have boulevard reconstruction behind the proposed development.
Who knows? Maybe even a town hall building could be erected on that site if the right trade-off happens.
“All of those things require us to have some chips in the game. But, we don’t right now,” said Zuba.
FMB Chamber President Bud Nocera discussed the Urban Land Institute program, a sub-organization of the American Institute of Architects. ULI supplies planning professionals to a community through two different programs (Hines Competition, fee-based Panel Advisory program) for an intensive week, resulting in both conceptual plans and solutions for urban planning issues, says Nocera. An advisory services panel visited Clearwater to make recommendations for downtown revitalization in 2014. Go to www.uli.org to learn more about the programs.
“They will work with a community and together decide what disciplines of urban planning you need,” he said. “During the course of the week, these professionals will actually come up with some recommendations. It’s a vision process.”
Town officials are expected to contact institute officials to extract information and see if a Beach visit would be possible.
The downtown ad hoc committee will meet next on Wednesday, Dec. 10, at 2 p.m. and Wednesday, Dec. 17, at 2 p.m. Town officials are looking to bring in speakers, such as Florida DOT’s Carmen Munroy and Lee County DOT’s Rob Phelan, to update them on boulevard work and bridge studies so that the group can move forward in their quest. If the officials are unavailable, they may view a power point presentation about roundabouts to inform them about possible traffic-easing issues on the boulevard.