MINUTES OF A SPECIAL MEETING OF THE ... - City of Fort Pierce
MINUTES OF A SPECIAL MEETING OF THE ... - City of Fort Pierce
MINUTES OF A SPECIAL MEETING OF THE ... - City of Fort Pierce
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<strong>MINUTES</strong> <strong>OF</strong> A <strong>SPECIAL</strong> <strong>MEETING</strong> <strong>OF</strong> <strong>THE</strong> FORT PIERCE REDEVELOPMENT<br />
AGENCY HELD IN <strong>THE</strong> FORT PIERCE CITY COMMISSION CHAMBERS, 100 NORTH<br />
U.S. #1, FORT PIERCE, FLORIDA, AT 5:00 P.M. ON MONDAY, JULY 2 ,<br />
2012.<br />
Chairman Benton called the meeting to order.<br />
The Pledge <strong>of</strong> Allegiance was recited.<br />
Upon Roll Call, those Present were:<br />
Chairman Robert Benton<br />
Commissioner Edward Becht<br />
Commissioner Thomas Perona<br />
Commissioner Reginald Sessions<br />
Those Absent:<br />
Commissioner Rufus Alexander<br />
(Commissioner Alexander arrived at 5:30 p.m. )<br />
Staff Present:<br />
Jon Ward, Director <strong>of</strong> FPRA<br />
Nicholas Mimms, Interim <strong>City</strong> Manager<br />
Anne Satterlee, Communications & Marketing Manager<br />
Robert Schwerer, <strong>City</strong> Attorney<br />
Cassandra Steele, <strong>City</strong> Clerk<br />
Captain Frank Amandro, <strong>Fort</strong> <strong>Pierce</strong> Polic e Department<br />
Sue Korunow, FPRA/Urban Redevelopment<br />
Jack Andrews, <strong>City</strong> Engineer<br />
Matt Margotta, Planning Director<br />
Nicholas Mimms, Director <strong>of</strong> Public Works/Solid Waste<br />
Citizens Present:<br />
Michael Abinanti<br />
Mike Heiser<br />
Collette Rhodes<br />
Linda Hudson<br />
Marty Laven<br />
Gary Webb<br />
Michele Vachon<br />
Tammy Casson<br />
Casey Shultz<br />
Andrea Macon<br />
Cathy Hegedus<br />
Glen Hegedus<br />
Glenda Macon<br />
Harm Macon
<strong>Fort</strong> <strong>Pierce</strong> Redevelopment Agency<br />
July 2, 2012<br />
Butch Terpening<br />
Brian R. Paul<br />
Sam Yates<br />
Roberto Cabreva<br />
David Thornton<br />
John M. Foster<br />
Eric Robert Paul<br />
Carnie Sellin<br />
Buzz Smyth<br />
(Agenda Item #4 - New Business) Consider the Development Proposals<br />
for Fisher.man's Wharf from Smyth Builders Inc. and from<br />
DCGG/Culpepper & Terpening. RFP #6108<br />
Mr. Jon Ward, FPRA Director, said this special meeting <strong>of</strong> the FPRA<br />
is called for one purpose only. They are going to consider RFP<br />
#6108, which was issued for proposals for development <strong>of</strong> the<br />
Fisherman's Wharf project, that is owned by this Agency. Today<br />
they have two proposals. He has scheduled two 30-minute proposals<br />
by each <strong>of</strong> the proposers; and at the end <strong>of</strong> that, the Board will<br />
consider their proposals. He has given them 20 minutes each to<br />
make a presentation and the Board will have 10 minutes to do Q&A<br />
after each presentation. Then it will be back to the Board for<br />
consideration and comments.<br />
Mr. Harold H. Smyth, Smyth Builders Inc., said he has been a<br />
General Contractor in the <strong>Fort</strong> <strong>Pierce</strong> area for nearly 30 years. He<br />
has built restaurants, hotels, airplane hangers, and some <strong>of</strong> the<br />
largest distribution centers in the county. He has also renovated<br />
historic and significant buildings here in <strong>Fort</strong> <strong>Pierce</strong>, probably<br />
more than anyone here in the <strong>City</strong> <strong>of</strong> <strong>Fort</strong> <strong>Pierce</strong>. One <strong>of</strong> the<br />
projects he has done includes 2nd Street Station in an area <strong>of</strong><br />
downtown <strong>Fort</strong> <strong>Pierce</strong> that was blighted. They transformed that<br />
area. Also renovated the home <strong>of</strong> Mr. Jon Ward, which was featured<br />
in Better Homes & Gardens Magazine. He wants them to understand he<br />
has been doing this a long time. The list <strong>of</strong> proj ects such as<br />
homes built on the beach in <strong>Fort</strong> <strong>Pierce</strong> and around the County goes<br />
on and on - 30 years <strong>of</strong> doing contracting work and building dreams<br />
right here in <strong>Fort</strong> <strong>Pierce</strong>. He is proud and honored to be working<br />
with Mr. David Thornton <strong>of</strong> Southeast Development and Mr. Chris King<br />
<strong>of</strong> CK Marine. Unfortunately, because <strong>of</strong> the date and time <strong>of</strong> this<br />
meeting, a lot <strong>of</strong> people are out <strong>of</strong> town right now. Some o f their<br />
team are in other areas and cannot make it today. He also has<br />
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<strong>Fort</strong> <strong>Pierce</strong> Redevelopment Agency July 2, 2012<br />
Collette Rhodes, the Contract Specialist for CK Marine and<br />
Southeast Development. These men have completed millions <strong>of</strong><br />
dollars <strong>of</strong> waterfront construction, including the Manatee Pocket<br />
dredging and cleanup, Sebastian waterfront, Okeechobee, and the<br />
Ci ty <strong>of</strong> <strong>Fort</strong> <strong>Pierce</strong>. Combined they have experience and the<br />
wherewithal to make this project happen. From the waterside to the<br />
horizontal to the vertical, they cover it all. In their Agenda<br />
packet is their vision, the vision they purchased the property for<br />
in the very first place. This is their vision also, they simply<br />
put it on paper for them to be able to see it. When they purchased<br />
this property, the intention was to assemble the properties and<br />
allow a developer to come in and develop that area. What they see<br />
is the dream they all share, the big picture. They have never<br />
faltered from this vision. It is a good idea, they should simply<br />
just make it happen. The RFP may well be the catalyst to ignite<br />
the process. It is not the final destination, it is just a way to<br />
get the process started. They have already begun and have been<br />
doing what the Board is asking for. He was one <strong>of</strong> the first people<br />
to help open a business. Larry Lee, Joey Miller, Debbie Denning,<br />
and himself were the first to hold an event. They have been<br />
pioneers and dreamers, dreaming about how this area can be, not how<br />
it is right now. He is currently working with Mr. Dean King,<br />
cleaning up Fisherman's Wharf, preparing to plant trees, all in<br />
anticipation <strong>of</strong> being a good neighbor. Mr. Chris King and Mr.<br />
Thornton currently hold the lease on the end property and the<br />
berth. They have been moving towards a working waterfront, j ust<br />
exactly what has been requested. They are already doing it. They<br />
have the cooperation and support <strong>of</strong> surrounding property owners.<br />
The plan they developed is a good plan, a lot <strong>of</strong> thought goes into<br />
it. They have the means and the ability to make ita reality.<br />
This plan was put together by businesspeople, architects, land<br />
planners, and residents. Another person who helped to put this<br />
together is Mr. John Foster. All they need to make this a reality<br />
is the cooperation <strong>of</strong> the <strong>City</strong>. He knows the County will<br />
cooperate. Their team can and will do the work, and initiate the<br />
permitting required to make this successful. The project has to be<br />
a public/private partnership, it's the only way it can work. That<br />
is why they left a 25-foot sidewalk for public access. The<br />
sidewalk can accommodate vendors and events, and allow the <strong>City</strong><br />
permanent access to the waterfront. If they want to just<br />
concentrate on the RFP, they are already working in that direction<br />
and will simply continue by working with existing tenants, but<br />
planning for surrounding property development, continuing the<br />
existing commercial fishing, and embracing their maritime heritage<br />
by putting up murals, a maritime museum and school. They have<br />
3
<strong>Fort</strong> <strong>Pierce</strong> Redevelopment Agency July 2, 2012<br />
property acquisition intentions in place. They have continued<br />
public access with the 25-foot sidewalk, floating docks, and an<br />
open air theater. Waterfront businesses such as water taxi<br />
services will operate here, connecting all <strong>of</strong> the <strong>Fort</strong> <strong>Pierce</strong><br />
waterfront venues. They will have two restaurant - one 4,000 and<br />
one 6,000 square feet. They will continue using the boat ramp.<br />
That boat ramp generates excessive amounts <strong>of</strong> traffic. There are<br />
people that come from allover the state and use that little boat<br />
ramp right there. Most importantly, hospitality. The hotel and<br />
theater express and show <strong>of</strong>f their unique lifestyle, a lifestyle<br />
they need to share with the world. Permanent jobs and interns,<br />
educating their citizens in hotel and motel careers that are one <strong>of</strong><br />
the best career choices a person can make. A degree in hotel and<br />
motel management can take one around the world. Ecologically<br />
friendly, they accomplish that by using creative design along with<br />
lots <strong>of</strong> grass and landscaping. Tourist destination, bringing<br />
people by water and land, having vendors and events, can make this<br />
a true tourist destination. Anybody that has ever been to the<br />
Sailfish Marina in West Palm Beach or The Landing in Jacksonville,<br />
in their packet is a picture <strong>of</strong> The Landing in Jacksonville and it<br />
is a tourist destination that people come from allover to visit.<br />
Outright purchase, this has to begin as a public/private joint<br />
venture. This will be a lease with an option to purchase. The<br />
purchase price will be set by an appraisal done by an independent<br />
appraiser and the lease will be promulgated by the permitting<br />
process. Economic sufficiency, the only way for this project to be<br />
a success and have sustainability is to build it large enough to<br />
absorb the overhead and pay the note. Building a motel, marina,<br />
and theater is the key to making this vision a reality. It is not<br />
easy, but with the cooperation <strong>of</strong> the <strong>City</strong> they can make this<br />
happen. They want the <strong>City</strong> to work with them. They are open to<br />
work with everyone. They envision this as a communitywide effort<br />
and they want to work with the people. All <strong>of</strong> them are licensed<br />
and residents and have grown up right here in <strong>Fort</strong> <strong>Pierce</strong>. It is<br />
all about making <strong>Fort</strong> <strong>Pierce</strong> a destination they can be proud <strong>of</strong>.<br />
It starts right now with them today. He will be glad to answer<br />
questions. He didn't give a lot <strong>of</strong> details, he thinks they can see<br />
the details in between. I f they want details, he knows this<br />
property better than anyone in the area, he has worked with this<br />
property for years.<br />
Commissioner Sessions said in their packet was a memorandum from<br />
the Financial Administrator (dated June 19, 2012). He wanted to<br />
point out some things and give Mr. Smyth an opportunity to respond.<br />
It contrasts the two teams their strengths and<br />
4
<strong>Fort</strong> <strong>Pierce</strong> Redevelopment Agency July 2, 2012<br />
obstacles/weakness. A few <strong>of</strong> the things pointed out as far as<br />
weaknesses are concerned is a weak business plan, focus too broad<br />
with no phases, a much higher budget, proposal includes<br />
participation with the County and the County's land, no timeline,<br />
no financial plan, no letter <strong>of</strong> credit, and no indication <strong>of</strong> the<br />
permitting and licensing issues to be overcome. Does he want to<br />
address those?<br />
Mr. Smyth said yes. One <strong>of</strong> the reasons he partnered with the<br />
people he did is because they have the wherewithal and the<br />
financing to do pretty much whatever the project needs. Plus when<br />
they own a company the size <strong>of</strong> what they are ... In fact, he would<br />
disagree with everything he just said. Because part <strong>of</strong> what they<br />
are trying to do is show the big picture, then concentrate on the<br />
RFP. Concentrating strictly on the RFP, they have addressed every<br />
single issue. The wherewithal to be able to carry out the<br />
functions and the work lies in the fact that they submitted letters<br />
<strong>of</strong> recommendation from some <strong>of</strong> the largest companies in the<br />
country. Plus, this company he has partnered with has done some <strong>of</strong><br />
the biggest work in the <strong>City</strong> <strong>of</strong> <strong>Fort</strong> <strong>Pierce</strong>, worth millions <strong>of</strong><br />
dollars. So ee would kind <strong>of</strong> question seriously what this is all<br />
about. When they look at the big picture <strong>of</strong> this proj ect and<br />
understand the complexities <strong>of</strong> it ... For example, the two pieces<br />
<strong>of</strong> property that are currently owned by the County were purchased<br />
wi th Florida Inland Navigation District funds. They can't even<br />
hold an event on those two properties. Because <strong>of</strong> that FIND<br />
restriction, the County will not let them have an event. But if<br />
they negotiated with the County and traded those two pieces <strong>of</strong><br />
property for another piece <strong>of</strong> property, opening the door to be able<br />
to hold events and park cars and do other things on those<br />
properties ... Those three properties are holding back this entire<br />
area because they were purchased with FIND funds, it doesn't give<br />
them the leeway. But from talking with the County, he knows they<br />
are willing and open to do something with those properties. He<br />
also knows, if they do not stay a participant in this project, that<br />
the permitting process will take the private sector years upon<br />
years to get the permitting done. He is talking about submerged<br />
land lease, dredging, cleaning, docks, everything it takes. The<br />
company that he has partnered with has an outstanding reputation<br />
for being able to complete those proj ects. They have in-house<br />
engineers and representatives at the DEP that can make the project<br />
work. No one else in this whole region has the ability to do what<br />
they c a n do vertically, horizontally, and on the waterfront.<br />
5
<strong>Fort</strong> <strong>Pierce</strong> Redevelopment Agency July 2, 2012<br />
Commissioner Sessions said when they talk about property owned by<br />
the <strong>City</strong> in <strong>Fort</strong> <strong>Pierce</strong>, that is one thing. But property that is<br />
waterfront, that is very important to him, it's a priority, it is<br />
one <strong>of</strong> their jewels and they don't have many <strong>of</strong> those. At any<br />
rate, money talks. One <strong>of</strong> the things that was pointed out in this<br />
memorandum was no financial plan and no letter <strong>of</strong> credit, unlike<br />
what the other team has. Can he address that?<br />
Mr. Smyth said the financial plan is in what they decide to do.<br />
For example, if they go in there with a business plan to just<br />
utilize the existing building that is there and try to bring a few<br />
businesses in that maybe will come up to about $30,000 a year, they<br />
can't even pay the interest on $5.5 million. But if they build a<br />
hotel, if they build this project big enough, they can generate<br />
$350,000 per month. He thinks it is about $1.65 million a year<br />
they can generate, which will not only pay the staff and the<br />
overhead, it will also pay some <strong>of</strong> the principal. If they want to<br />
get down to the real figures <strong>of</strong> everything, he would be delighted<br />
to sit down with them. As far as a letter <strong>of</strong> credit, he is a<br />
little bit taken aback because the fact is that they have already<br />
bonded this company a few times. The dredging <strong>of</strong> the Manatee<br />
Pocket was a multi-million dollar operation. There is absolutely<br />
no question that these two companies have the wherewithal, the<br />
equipment, and the financial ability to do whatever they want to<br />
do. Just one dredging project has been worth millions <strong>of</strong> dollars.<br />
He did not feel that he had to put up a financial line <strong>of</strong> credit<br />
when the company has already shown what they are capable <strong>of</strong> doing.<br />
He does not know how much the contract for the <strong>City</strong> Marina was, but<br />
he knows it was in the millions <strong>of</strong> dollars. What happens with<br />
these companies is, they have to put that money up, they don't get<br />
paid up front, they get paid on the backside. So this company<br />
consistently has to put up $4 million to $7 million to get a<br />
project done. He is sure he could come up with a line <strong>of</strong> credit<br />
that would probably be pretty substantial if that is what they<br />
really needed to have. But he assumed they would understand that<br />
a company <strong>of</strong> this size that has already done work for the <strong>City</strong><br />
would not have to go through those steps.<br />
Mr. James P. "Butch" Terpening, Culpepper & Terpening, Inc., said<br />
he is proud to be here today to represent a group <strong>of</strong> local business<br />
people. He has almost 100 years <strong>of</strong> working with these individuals.<br />
This is something close to his heart. At the end <strong>of</strong> the day, they<br />
intend to put the fish back into Fisherman's Wharf. This<br />
presentation is very specific on a business plan, a business goal,<br />
to conserve the community and maintain their heritage. He would<br />
6
<strong>Fort</strong> <strong>Pierce</strong> Redevelopment Agency July 2, 2012<br />
like to introduce the team - Glenda Macon (Inlet Fisheries Inc.),<br />
Brian Paul (Pel ican Seafoo d Company), and Michael Abinanti (DCGG<br />
LLC). His team from the pr<strong>of</strong>essional side consists <strong>of</strong> himself and<br />
his firm, Tom Lucido & Associates, the landscape architect,<br />
Realtime Property Development is their contractor, Yates &<br />
Associates is public relations, and Speedy Fee is the proj ect<br />
attorney. Their team has well over 200 years <strong>of</strong> working together<br />
and over the course <strong>of</strong> time have had many successful projects on<br />
the Treasure Coast. First he wants to start with a little history.<br />
The fishing indust ry started in the early 1900's. As they can see<br />
from the old postcard, there was actually observers then watching<br />
the Spanish mackerel being unloaded, this was in 1908. In the<br />
1920's they saw an expansion <strong>of</strong> the fleet, an expansion <strong>of</strong> the<br />
port. Continued development in the 1930's - shrimping facilities.<br />
The marina and docking and warehousing carne in the 1940' s. The<br />
1950's had a reemerging <strong>of</strong> the shrimping industry. In the 1960's,<br />
it took on more <strong>of</strong> a recreational and entertainment that maintained<br />
through the 1970's and 1980's. The real question is, where are<br />
they going to be? The Commission wisely a few years ago obtained<br />
the property with the hope <strong>of</strong> redevelopment. His team's mission is<br />
sustainability, economy, and heritage - they want to preserve the<br />
fishing heritage that has been a part <strong>of</strong> <strong>Fort</strong> <strong>Pierce</strong> for well over<br />
100 years and they want to share this legacy with their future<br />
generations. Their vision is to develop Fisherman's Wharf as a<br />
blend <strong>of</strong> commercial, retail, hospitality, entertainment,<br />
ecotourism, public use, and both business retention and expansion.<br />
How are they going to achieve that? Their concept plan is a micropart<br />
<strong>of</strong> the overall development plans that the <strong>City</strong> has envisioned.<br />
They have mUltiple uses the waterfront, the public access,<br />
renovations to the existing buildings, fishing unloading areas, and<br />
future development. They have developed a conceptual floor plan<br />
based on multiple uses - a retail area for Pelican Seafood, a fish<br />
processing facility that will be open to the public with Inlet<br />
Fisheries, and Moby's Place for indoor/outdoor dining. Going to<br />
the site plan, a heritage monument here and public art in the<br />
square, an elevated deck and viewing platform to oversee the<br />
fishing, and an area to allow pedestrians to watch the activities<br />
as they unload the boats. What is really unique, there is not a<br />
Fisherman's Wharf on the east coast <strong>of</strong> the United States. They<br />
have actually registered the domain. They think this can be very<br />
interacti ve and hospitable. And in the future, anywhere from a<br />
restaurant to a hotel to a bed and breakfast - that is going to be<br />
more as the economy starts to rebound. They have already had<br />
several contacts from potential businesses in what they call Pha se<br />
4. The immediate needs are for the relocation <strong>of</strong> Inlet Fisheri es.<br />
7
<strong>Fort</strong> <strong>Pierce</strong> Redevelopment Agency July 2, 2012<br />
That will be a key to the project in providing activities for the<br />
public to witness. They will have a fresh seafood market, about<br />
3,000 square feet <strong>of</strong> outdoor dining, 2,000 square feet <strong>of</strong> indoor<br />
dining, public waterfront, boat slips, and historical markers.<br />
What is happening right now in their fishing industry? There is<br />
one working fisherman right now in the <strong>City</strong> and the County - Inlet<br />
Fisheries - which was actually one <strong>of</strong> the top ten fisheries in the<br />
State. If they don't provide an opportunity to retain these jobs<br />
and expand these jobs, the community is going to lose this, 100<br />
years <strong>of</strong> their heritage.<br />
(Commissioner Alexander arrived at the meeting at 5:30 p.m.)<br />
Mr. Terpening said full time employment right now, Inlet Fisheries<br />
has about 16 employees. Included with that is the boats that<br />
service the industry. There is in total about 105 boats and about<br />
170 employees. Pelican Seafood is estimated at 8, Moby's<br />
Restaurant at 20, for a total <strong>of</strong> about 215 FTE's. These are real<br />
FTE's, they exist today. The economic impact today, the direct<br />
payroll <strong>of</strong> the businesses he just outlined, is about $6.8 million<br />
and derive an annual revenue <strong>of</strong> $9.5 million, with a total direct<br />
financial impact to <strong>Fort</strong> <strong>Pierce</strong> <strong>of</strong> about $16.5 million. Using the<br />
industry standard and ratios <strong>of</strong> direct impact to indirect impact<br />
and how that money goes around with bait, tackle, repairs, and all<br />
the supporting industries, that has an economic impact to <strong>Fort</strong><br />
<strong>Pierce</strong> <strong>of</strong> about $115 million. They will lose these businesses if<br />
they don't provide a place. The phasing <strong>of</strong> the project, first is<br />
to relocate Inlet Fisheries. They have broken it up into the<br />
timing and into the permitting. Hopefully within 45 days <strong>of</strong> lease<br />
execution and execution <strong>of</strong> the agreements, they will have Inlet<br />
Fisheries relocated, over the next three months they will do the<br />
interior improvements, and within six months, have the restaurant<br />
open. Phase 2, their team has an extreme amount <strong>of</strong> experience in<br />
permitting in the marine industry. They feel it will take about 9<br />
to 12 months with about 3 months <strong>of</strong> construction that is<br />
dredging. Currently the <strong>City</strong> does not have a maintenance dredging<br />
permit from the State in this area. It needs dredging no matter<br />
who locates there, even for the uses it is being used for now. It<br />
needs a rebuilding <strong>of</strong> the boardwalks and the dockage. They have<br />
provided a tentative construction schedule, which includes a site<br />
plan development phase and also the a cquisition phase. The key to<br />
the project in their proposal is a property switch. That is, the<br />
properties on the south side <strong>of</strong> Cit rus Avenue along Indian River<br />
Drive, roughly about 2 acres in size, they are proposing to swap t o<br />
the <strong>City</strong> for the property along Fisherman's Wharf, which is about<br />
8
<strong>Fort</strong> <strong>Pierce</strong> Redevelopment Agency July 2, 2012<br />
1.9 acres. This property is abutting some existing <strong>City</strong> property<br />
and in total would give the <strong>City</strong> about 2.4 acres on the waterfront.<br />
Several questions came up about the value <strong>of</strong> the swap and he would<br />
like to address that. They are all aware <strong>of</strong> the real estate boom<br />
that hit and then fell. But if they go back historically, the<br />
Fisherman's Wharf property was probably worth about 20 % more than<br />
this parcel they are proposing to trade. They can go back through<br />
the tax records.<br />
Commissioner Sessions asked do they hold a warranty deed for that<br />
property?<br />
Mr. Terpening said yes, they do. He doesn't, he just represents<br />
them. Historically, in 2007 the FPRA acquired the property and it<br />
goes on the tax rolls at a large differential. For everybody that<br />
purchased property in that period <strong>of</strong> time, that value isn't there<br />
today. But even taking the value in 2003 and 2004, it was about<br />
20 % or 25% greater than the swap property. Today if they use what<br />
they feel is in inflated value - but later hopefully will get the<br />
opportuni ty to be appraised - the cost/benefi t to the <strong>City</strong> is<br />
almost 30 to 1. That is, the <strong>City</strong> is going to get a direct<br />
financial benefit <strong>of</strong> $115 million for that differential <strong>of</strong> $3.5<br />
million. In anybody's book, that is a good rate <strong>of</strong> return. They<br />
want to provide <strong>Fort</strong> <strong>Pierce</strong> with the Fisherman's Wharf Project that<br />
it deserves - they want to put the fish back into Fisherman's<br />
Wharf. They really appreciate the opportunity today to present<br />
their credentials and are here to answer any specific questions the<br />
Commissioners may have.<br />
Commissioner Sessions said in the proposal, for the most part Inlet<br />
Fisheries dictates the concept in light <strong>of</strong> the business that they<br />
are doing. One <strong>of</strong> the things that stands out in his mind with this<br />
proposal versus the other team is the public access to the property<br />
itself. It appears, based on this concept, to be somewhat limited.<br />
He knows they proposed restaurants and certain things. Could he<br />
address that?<br />
Mr. Terpening said this is all public access around here. (Mr.<br />
Terpening displayed a drawing.) There is public access here in<br />
what they call the ecotourism or heritage area. Obviously the<br />
restaurants and those facilities will be public. This area here,<br />
because <strong>of</strong> the commercial operation, would not have public access.<br />
They would have public access this way with safety measures when<br />
the boats are being unloaded, to guide the pedestrians in a safe<br />
area.<br />
9
<strong>Fort</strong> <strong>Pierce</strong> Redevelopment Agency July 2, 2012<br />
Commissioner Perona asked could he talk about the commercial access<br />
to Inlet Fisheries? He is talking about trucks, not boats.<br />
Mr. Terpening said they load in this direction.<br />
Commissioner Perona said so public access would probably depend on<br />
the parking lot and/or the parking lot that already exists for t he<br />
boat ramp. And there would be an access from there all the way<br />
around?<br />
Mr. Terpening said yes. They would also have a viewing area here.<br />
This is the fish house, it is an open structure. But according to<br />
health codes, when they unload the fish, it has to be in a covered<br />
structure. This area <strong>of</strong> parking and that area will be an overview<br />
to that, a little closer to the activities. In their presentation<br />
to Staff, the Planning Director had an interesting comment about<br />
all the parking on the waterfront, that it was not a good use. He<br />
agreed and asked would they let them push it somewhere and get a<br />
better use <strong>of</strong> the public waterfront? That was kind <strong>of</strong> their plan.<br />
Chairman Benton said for the record, he spoke to Inlet Fisheries<br />
several times in the last few months about their ideas here, also<br />
Pelican Seafood. He thinks this is a good opportunity for the<br />
<strong>City</strong>. In the early 1970's, he worked on commercial mackerel boats<br />
behind the old Simonsen's for Hutchinson, unloading boats until the<br />
wee hours <strong>of</strong> the mornings, sometimes all night long. They sold<br />
fish on the side to the public that was there watching, they were<br />
intrigued by that. He just got back from Seat tIe. One <strong>of</strong> the<br />
biggest draws in Seattle is their fresh fish market, Pike's Place<br />
Fish Market, and they don't even have the fresh fish coming in by<br />
boat, it is just there on ice and they put on an act by throwing<br />
the fish. It literally draws hundreds <strong>of</strong> people on the weekends<br />
and people start spending lots <strong>of</strong> money. He thinks they have a<br />
great opportunity here for a piece <strong>of</strong> property that has been<br />
sitting there since the early 1980' s, literally looking for a<br />
future. This is a great opportunity for the <strong>City</strong>.<br />
Mr. Terpening said one <strong>of</strong> the things in their business plan is<br />
their website. When the boats are coming in, they can send out an<br />
immediate alert to their patrons and let them know there will be<br />
fresh mackerel or swordfish coming in. Also, the menus and the<br />
networking within the community. That is their vision. Someone<br />
will know when the fish are coming in and they can go have a good<br />
lunc h or dinner, what's out there, what's special.<br />
10
<strong>Fort</strong> <strong>Pierce</strong> Redevelopment Agency July 2, 2012<br />
Commissioner Alexander asked are they going to encompass all the<br />
boat ramps that the <strong>City</strong> Marina has presently now? Is that going<br />
to be included in Fisherman's Wharf - the Black Pearl?<br />
Chairman Benton said no, that's not Fisherman's Wharf.<br />
Commissioner Alexander asked those boat docks?<br />
Chairman Benton said that belongs to the <strong>Fort</strong> <strong>Pierce</strong> Redevelopment<br />
Agency.<br />
Commissioner Alexander asked what did they pay for this?<br />
Mr. Ward said they paid close to $5 million for that.<br />
Commissioner Alexander asked where are they getting these different<br />
numbers from? Did he see $3.5 million?<br />
Mr. Terpening said that is the difference. If they went on the<br />
Property Appraiser's website today, they would see a $3.5 million<br />
difference between the two properties. The value <strong>of</strong> $115 million<br />
would give the <strong>City</strong> about a 30 to 1 return.<br />
Commissioner Alexander asked going back to the swap property, what<br />
is the value <strong>of</strong> that right now?<br />
Mr. Terpening said right now it is about $1.9 million.<br />
Mr. Ward said that is what they are estimating their property is<br />
worth versus... Mr. Terpening is saying there is a $3 million<br />
spread and then what he is trying to illustrate is there is a<br />
benefit that exceeds the $3 million spread.<br />
Commissioner Alexander said that's not replacing the public's<br />
money.<br />
Mr. Ward said no, it is not hard dollars, it is a public benefit.<br />
Commissioner Becht said they have come up with some really c reative<br />
ideas for developing Fisherman's Wharf. Going back to the slide<br />
showing the swap property, in his conversation with this particular<br />
property owner has been - why would they swap this property on<br />
Citrus Avenue for Fisherman's Wharf? The assumption is,<br />
Fisherman's Wharf will develop first. This team has taken some<br />
ideas t hat were already there - because they had talked to Inlet<br />
11
<strong>Fort</strong> <strong>Pierce</strong> Redevelopment Agency July 2, 2012<br />
Fisheries about leasing them the property but taken that<br />
obviously much further along the road and with a better idea. What<br />
idea do they have for this swap property? Because it looks like<br />
the FPRA would get stuck with property that is years out from<br />
development because Fisherman's Wharf is going to get developed<br />
first. Somewhere in the presentation package he saw $125,000 worth<br />
<strong>of</strong> s<strong>of</strong>t costs, which he assumes is attorneys and design folks. He<br />
would like to pick their brain on what ideas do they have for the<br />
FPRA to develop this property, if in fact it is the will <strong>of</strong> the<br />
FPRA Board to enter into a swap? What can the FPRA do with it to<br />
accelerate the development potential so it is not 20 years down the<br />
road?<br />
Mr. Terpening said there is a venue <strong>of</strong> uses. Look at the State's<br />
Attorney's <strong>of</strong>fice, the Supervisor <strong>of</strong> Elections - there is a lot <strong>of</strong><br />
demand for <strong>of</strong>fice space. Certainly public buildings on the west<br />
side has benefit along with some marine activities and docking on<br />
the waterfront. Sailing has always been part <strong>of</strong> their heritage.<br />
In Martin County, there are environmental education programs in the<br />
schools. People have to camp out. They have a good waterfront<br />
activity that can be used for educational programs. One thought he<br />
had is, the <strong>City</strong> needs a recipient site for historical structures.<br />
Most <strong>of</strong> their historical structures are on the waterfront. This<br />
could be a good area - take these homes, re-do them. Give homes<br />
that are in harm's way a place to have a berth. It is a gateway to<br />
the <strong>City</strong> along Indian River Drive. They can control that gateway<br />
into the <strong>City</strong>. He thinks that has an intrinsic value there.<br />
Commissioner Becht said he doesn't think this is all the property<br />
Mr. Terpening's client owns down here on Indian River Drive.<br />
Doesn't he own parcels further south?<br />
Mr. Terpening said yes, he does.<br />
Commissioner Becht asked why have those not been thrown into the<br />
package? They are talking about the values now at roughly 1 to 4,<br />
why would he have not included the other properties to equalize the<br />
difference in value?<br />
Mr. Terpening said they feel the values are almost equal. He<br />
thinks the appraisals are going to come back. The $5 million the<br />
FPRA paid a few years ago, nobody right now can get what they paid<br />
for rea l estat e in 2006 and 2007.<br />
12
<strong>Fort</strong> <strong>Pierce</strong> Redevelopment Agency July 2, 2012<br />
Commissioner Alexander said don't say that, because they are<br />
talking about waterfront properties and development <strong>of</strong> ports. Have<br />
they spoken to the residents on Indian River Drive to find out how<br />
they feel about the <strong>City</strong> doing anything there, especially a<br />
gateway? Have they have that conversation with those individuals?<br />
Mr. Terpening said no. They felt it would be inappropriate for<br />
them to solicit on the <strong>City</strong>'s behalf <strong>of</strong> what the public wanted to<br />
do.<br />
Commissioner Alexander asked what they wouldn't allow the owner to<br />
do?<br />
Mr. Terpening said not in recent years, no.<br />
Commissioner Alexander asked so the owner has tried nothing to<br />
develop that property on Indian River Drive?<br />
Mr. Terpening said prior to the crash, there was contracts for sale<br />
with a development. Obviously with the economic turn, that didn't<br />
go through.<br />
Commissioner Perona said he has spoken to Inlet Fisheries and to<br />
Mr. Abinanti several times, differently. Now he is looking at<br />
three entities out there - one has something to swap, two have<br />
businesses they want to build out, and one wants to develop the<br />
whole property. He is trying to figure out - is this one entity<br />
they are talking to? He knows it is one proposal. But how do they<br />
tie everybody together in this proposal?<br />
Mr. Terpening said they have formed a business relationship coming<br />
in to redevelop this area. This is about $2 million, looking at<br />
the cost <strong>of</strong> redevelopment in phases, and that is just the first<br />
three phases. The fourth phase will probably be even higher than<br />
that. But they have a business program as an entity that they will<br />
all share.<br />
Commissioner Perona said the FPRA is ready to do business with<br />
someone, he just doesn't know who that someone is.<br />
Mr. Terpening said the managing partner is DCGG.<br />
Commissioner Persona asked that managing partner can speak and<br />
obligate its partners and associates? This is a very important<br />
piece <strong>of</strong> property. The FPRA made that purchase a long time ago<br />
13
<strong>Fort</strong> <strong>Pierce</strong> Redevelopment Agency July 2, 2012<br />
with the anticipation that it would lead to great things. They are<br />
all a little careful about how they are going to develop this.<br />
They are trying to be real sure that this is exactly what they<br />
wanted to accomplish and that it meets all the issues they have.<br />
They need to know who they are dealing with. They need to make<br />
sure, if they make a move, that it is going to be one that works<br />
out in the long run, that it just doesn't peter out because <strong>of</strong><br />
misunderstands or other issues that can happen.<br />
Mr. ~chae1 Abinanti, DCGG LLC, said they did not specifically in<br />
their proposal address the business structure. They felt the first<br />
step was consideration by this Board. If they get to the next<br />
step, sitting down with Staff and developing performance standards.<br />
Those specific performance standards would be built into any<br />
agreement, as well as the disclosures <strong>of</strong> the relationships and the<br />
assurances. They provided letters <strong>of</strong> credit. They have 60-some<br />
years worth <strong>of</strong> business experience that is committed to this<br />
project. Those details would be presented if they are fortunate<br />
enough to proceed forward with the project, so the Board would know<br />
their business plan, their performance plan, and they can hold the<br />
property owner accountable.<br />
Chairman Benton said they will be asking Staff to sit down with one<br />
party or the other to try to come up with a Developers Agreement so<br />
they would know in what time frame what improvements would be put<br />
in. But if it is a concern <strong>of</strong> this Board that the swap <strong>of</strong> the<br />
properties is not as close as it should be, would they be willing<br />
to throw in another parcel down there? He wants this to happen, he<br />
thinks it is a win/win for the community and will keep people<br />
working. His concern is, there was a why there was an amendment on<br />
the ballot a few years ago about working waterfronts - it was to<br />
keep the commercial fishing industry alive in parts <strong>of</strong> Florida and<br />
also the boating business, because residential development was<br />
literally chasing that type <strong>of</strong> industry out <strong>of</strong> South Florida. Here<br />
is an opportunity to keep their heritage. Also, it fits into what<br />
they are doing on the waterfront. From the Farmer's Market, the<br />
draw will continue all the way to the Port area. He thinks they<br />
could draw literally hundreds <strong>of</strong> people every weekend, if not<br />
thousands.<br />
Mr. Ward said they will pull this back to the Board. They have<br />
gi ven both sides 30 minutes. He would like for them to foc us.<br />
However they would like to move forward is appropriate.<br />
1 4
<strong>Fort</strong> <strong>Pierce</strong> Redevelopment Agency July 2, 2012<br />
Chairman Benton said he would like to find out if there is a<br />
consensus from the Board, which proposal they would prefer, in<br />
order to entertain taking it to the next step. Is there any<br />
interest from this Board to move forward with either project? He<br />
is looking for direction. They have been talking about this for<br />
several months. A lot <strong>of</strong> effort has been put into it at least by<br />
one group and he thinks this Board led them to believe they were<br />
looking in that direction.<br />
Mr. Ward said the purpose <strong>of</strong> this Special Meeting today is, Staff<br />
pulled together an Evaluation Committee a few weeks ago consisting<br />
<strong>of</strong> some Department Directors, the <strong>City</strong> Engineer, the Planning<br />
Director, several members <strong>of</strong> Planning Staff, the Marina Manager,<br />
and himself. They had the same presentations the Board received<br />
today. He has written the Board a memorandum on this (dated June<br />
22, 2012) which i l lustrated Staff's position and recommendation.<br />
Staff is here to discuss their recommendation.<br />
Chairman Benton said they will start there.<br />
recommendation?<br />
What is Staff's<br />
Mr. Ward said there are a couple <strong>of</strong> comments he made in the Staff<br />
recommendation he is happy to review with them. The first<br />
statement on the Smyth proposal is: "If we thought it could<br />
actually be produced by the proposer, there is no question that we<br />
would support the Smyth concept, with some modifications. II If they<br />
were confident today that the Smyth Builders proposal was fully<br />
funded, on the ground, ready to go in a defined time frame, and<br />
they could put ink to paper with all the benefits proposed, if they<br />
thought Smyth Builders had the ability to bring all the partners<br />
in, if they thought they had the ability to get the County to<br />
commit to the use <strong>of</strong> its public lands - if all <strong>of</strong> those things were<br />
to come to fruition, obviously they would rather have a destination<br />
hotel, a large restaurant, and all <strong>of</strong> the things described in that.<br />
It is a visionary proposal. It takes a very holistic view <strong>of</strong> the<br />
area; instead <strong>of</strong> merely Fisherman's Wharf, it really looks at that<br />
entire part <strong>of</strong> town. So from a planning standpoint, certainly<br />
their planners looked at this and thought it was a great proposal.<br />
However, the question is whether or not it is a proposal or a<br />
conceptual design? Unfortunately, the Evaluation Committee agreed<br />
that the Smyth proposal was no t in fact a proposal, but in fact a<br />
concept. It is a wonderful dream. But there was no evidence shown<br />
to them, they didn't see anything in writing that said where the<br />
money is coming from, who the partners are, how they are going to<br />
do it, and the t i me they wou l d get s t arted. There was nothing<br />
15
<strong>Fort</strong> <strong>Pierce</strong> Redevelopment Agency July 2, 2012<br />
there except a concept for the project. It is a wonderful dream,<br />
but there was no evidence whatsoever contained in the response to<br />
the RFP that indicated the financial wherewithal to accomplish any<br />
portion <strong>of</strong> the development. Further, the FPRA does not own or<br />
control 90% <strong>of</strong> the property that the Smyth proposal discusses.<br />
That alone would render it non-responsive. If they had six<br />
responses to this RFP that all came in which were responsive and<br />
deal t specifically with the property described in the RFP, the<br />
Smyth proposal would have been non-responsive because it goes far<br />
afield, it deals with a lot <strong>of</strong> stuff the FPRA does not control.<br />
The FPRA Board cannot sit there and say that is what the County<br />
wants to do with its property because they don't control that. But<br />
they do control Fisherman's Wharf and that is what they came to<br />
talk about today. Fabulous dream, but more <strong>of</strong> a concept. In<br />
response to a Committee question, Mr. Smyth responded that his<br />
proposal to the FPRA is to take out a lease on the property with an<br />
option to purchase it at some undefined point in the future and to<br />
pay the debt service on the bonds in the interim period. That is<br />
Mr. Smyth's proposal in a nutshell - the FPRA owns this piece <strong>of</strong><br />
property and they are willing to pay the note on it while they<br />
develop their dream. The FPRA would retain a 25-foot strip <strong>of</strong> the<br />
waterfront for public access. He is assuming that the 25-foot<br />
strip is probably going to be deducted from the square foot lease<br />
payment. But no financial information was provided that would<br />
confirm that group's ability to meet the payments. This proposal<br />
was verbal and not contained in the RFP response. So there was a<br />
good conversation and staff liked the proposal; but at the end <strong>of</strong><br />
the day, he doesn't have anything he could hang his hat on.<br />
Mr. Ward said the Evaluation Committee, on the DCGG proposal,<br />
agreed that the plan appears workable with some tweaking, but it<br />
does not maximize the site in its earliest phases. They think<br />
there is more to be done on the site. That Phase 4 area they<br />
understand is nice and it is the future; but they wish something<br />
were happening quicker there. They would prefer a program that<br />
constructed all new facilities as opposed to retr<strong>of</strong>itting existing<br />
buildings, and one that immediately took advantage <strong>of</strong> the full<br />
si te; but they appreciate the current economic conditions and<br />
understand the phased approach. They like the new restaurant and<br />
the observation platform and the reduction <strong>of</strong> the sea <strong>of</strong> asphalt<br />
currently at the site. The proposal to the FPRA is that DCGG will<br />
swap their land free and clear at the Citrus Overpass,<br />
approximately 2 acres, for the FPRA's lots on Fisherman's Wharf,<br />
that they wi 11 sign a Development Agreement that implements a<br />
further $2 mi llion i nvestment at that site, and improvements to the<br />
1 6
<strong>Fort</strong> <strong>Pierce</strong> Redevelopment Agency July 2, 2012<br />
property in fairly rapid order. Although the swap is not viewed by<br />
the Evaluation Committee as a quid pro quo, an equal swap, the<br />
substantial and verifiable additional investment in the property,<br />
the returning <strong>of</strong> the improved property to the tax rolls, the<br />
development <strong>of</strong> attractive additional assets that underpin<br />
hospitality and tourism, and the maintenance <strong>of</strong> over 100 existing<br />
jobs and the creation <strong>of</strong> a number <strong>of</strong> new jobs in a fairly short<br />
time frame, all represent very significant public benefits to the<br />
residents <strong>of</strong> the <strong>City</strong>. That seems to justify the exchange and it<br />
accomplishes the mission <strong>of</strong> this Agency, both from a standpoint <strong>of</strong><br />
addressing the formerly blighted marina that was there before and<br />
their mission for economic development and job creation.<br />
Commissioner Sessions said it appears, based on the Committee's<br />
recommendation, the proposal that is b e ing made by Smyth Bu i lders<br />
is probably what the FPRA expected at least from its perspective in<br />
terms <strong>of</strong> the vision; however, they d on't feel they have the<br />
financial wherewithal.<br />
Mr. Ward said it is not whether they think that; it is, they didn't<br />
show it to them. They may have it, but it wasn't illustrated in<br />
their proposal.<br />
Commissioner Sessions said one <strong>of</strong> the things that they have as far<br />
as assets are concerned are the properties they own that are<br />
adj acent to the waterway. Also, one <strong>of</strong> the things that this<br />
community lacks is a hotel with a flag that overlooks the Atlantic<br />
Ocean, the Indian River Lagoon. It is incumbent in his mind that<br />
if the private sector does not step in one day and satisfy what he<br />
believes the vision <strong>of</strong> the people for this <strong>City</strong> is, to have a hotel<br />
in the downtown area adjacent to the waterfront, that it will never<br />
happen. With the land swap, can they even accomplish that and<br />
build a hotel, given the environmental issues, the permitting, the<br />
zoning, and so on. If he is going to give up something that he<br />
knows has the potential for something else, can it happen with the<br />
land swap they are proposing?<br />
Mr. Ward said if the question is, can they build a hotel at either<br />
<strong>of</strong> these sites, the answer is yes, they can. But he would suggest<br />
that they have better sites than either <strong>of</strong> these to build a hotel<br />
and they are currently trying to prepare one - the former King<br />
Power Plant site. That is their number one site. Hospi tali ty<br />
people, if they only look at the numbers for <strong>Fort</strong> <strong>Pierce</strong> - the<br />
demographics - if they only look at the hard black and white facts<br />
on a piece <strong>of</strong> paper, they will never corne here. It is going to<br />
17
<strong>Fort</strong> <strong>Pierce</strong> Redevelopment Agency July 2, 2012<br />
take somebody that gets what is special about <strong>Fort</strong> <strong>Pierce</strong>. It is<br />
going to take a visionary hotelier that understands that they can<br />
create a market; not one that wants to corne find a market and the<br />
low hanging fruit so they can pick it easily. It is going to take<br />
somebody with a vision that understands the merits <strong>of</strong> the area.<br />
That is when they will get a superior property and they will get it<br />
downtown and it will be fabulous - it will make <strong>Fort</strong> <strong>Pierce</strong> a<br />
destination. But it is not going to happen by the bean counters<br />
that just look at the numbers. He started his career working for<br />
Holiday Inns <strong>of</strong> America, he was an interior designer with them<br />
starting in the 1960's. He understands the hotel business. It is<br />
a numbers business. The guys that only do that hard and fast<br />
numbers thing are not going to be corning here, because they look at<br />
those numbers and the numbers just don't work. He is saying this<br />
with some degree <strong>of</strong> certainty because he had lunch as recently as<br />
Friday with a hotel developer looking at their property right now<br />
and this is how they talked to him. He is telling the Board, this<br />
is the message - they are corning, they will corne, but it is going<br />
to be someone like the gentleman that built the Renaissance. He<br />
saw the merit <strong>of</strong> having housing in downtown <strong>Fort</strong> <strong>Pierce</strong> and the<br />
meri t <strong>of</strong> creating an 18 hour city, and he built that. That<br />
customer wasn't there when he built it, but he built it for the<br />
future. It is going to take someone with that kind <strong>of</strong> vision to<br />
build this hotel.<br />
Commissioner Sessions asked when they compare the King Power Plant<br />
property versus this property that is being <strong>of</strong>fered for a swap,<br />
there is no comparison in the beauty where those properties are<br />
located in terms <strong>of</strong> the waterfront? He travels up and down that<br />
lagoon all the time. Maybe they see something he doesn't see. And<br />
the time frame <strong>of</strong> a lifetime, trying t o dig up all those chemicals<br />
in the King Power Plant area, it sounds like they are selling him<br />
a dream that maybe his daughter will see one day but he will never<br />
see. These are all the thing that corne to mind in terms <strong>of</strong> an even<br />
swap. They have talked about the assessed value . But unless Staff<br />
can tell him something different that this property may <strong>of</strong>fer in<br />
terms <strong>of</strong> being able to use that for a hotel ...<br />
Chairman Benton said they are talking about what he considers a<br />
small parcel on the water. A lot <strong>of</strong> the discussion he has had with<br />
people that have showed interest for a hotel in <strong>Fort</strong> Pierc e, this<br />
has really brought discussion about what they are trying t o do<br />
there. If they bring in these businesses and it is successful on<br />
this small parcel, across the street there is literally a lot more<br />
property from Seaway Drive north where they could build . Most<br />
18
<strong>Fort</strong> <strong>Pierce</strong> Redevelopment Agency July 2, 2012<br />
hotels go several stories high, six stories or more, with parking<br />
underneath. So basically they are still going to have the view <strong>of</strong><br />
the waterfront, but they are going to have a view <strong>of</strong> a working<br />
waterfront. But first they have to have that draw to the<br />
waterfront. They are finally getting that attention with all the<br />
events that are taking place down there. But to him, they should<br />
keep the waterfront a little more open to the public and then put<br />
the hotel the next block back. The King Power Plant property is<br />
across the street, that way the public still has access to the<br />
waterfront and the hotel still has the view. At Fisherman's Wharf,<br />
the County owns three parcels there. A lot <strong>of</strong> that property there<br />
is just waiting for redevelopment, even through the eastern side <strong>of</strong><br />
Edgartown. There are several parcels next to the King Power Plant<br />
property all the way up to the corner almost. That could be a<br />
hotel overseeing the waterfront. Fisherman's Wharf is a small<br />
piece <strong>of</strong> the pie. But getting somebody in there working now, they<br />
want it to be successful, and it will really draw more attention to<br />
the waterfront. They are not changing the picture that Mr. Smyth<br />
and the Charrette has shown there, they are just taking a part <strong>of</strong><br />
it and getting started is the way he sees it.<br />
Commissioner Perona said he too is a visionary, but this economy<br />
has made him a realist. He would like to see something happen<br />
there. He talked to Mr. Abinanti, Inlet Fisheries, Mr. Ward. But<br />
in the back <strong>of</strong> his mind is that responsibility as stewards <strong>of</strong> the<br />
public funds, to make sure they have done everything. He looks at<br />
this as a used car trade, trading one for another, and he is not<br />
feeling real good about it to tell the truth. He would like for it<br />
to work, he thinks it can work. But there are issues there he is<br />
uncomfortable with. First <strong>of</strong> all, he would like to know who he is<br />
dealing with, he would like to know that the business entity exists<br />
and they can deal directly with them. That is probably a function<br />
<strong>of</strong> the RFP, once they have confirmed that. And even after Mr.<br />
Abinanti spends $2 million in developing this, it really hasn't<br />
even hit the value <strong>of</strong> what the swap real ly is. He thinks they have<br />
a responsibility. He has to defend this decision regardless <strong>of</strong><br />
what happens. He wasn't around when the FPRA purchased the<br />
property, but he is glad they have it. But his responsibility is<br />
to make sure that the public gets every bit <strong>of</strong> benefit out <strong>of</strong> that.<br />
If it is not in dollars, they are going to have to be able to put<br />
real numbers on how this is going to reflect back to this Board.<br />
So he is feeling very uncomfortable right now even supporti ng<br />
anything. I f he had to support one, it would be the second<br />
presentation with Mr. Abinanti's swap; but it needs a lot more wo rk<br />
19
<strong>Fort</strong> <strong>Pierce</strong> Redevelopment Agency July 2, 2012<br />
and needs a lot <strong>of</strong> details filled in before he would feel<br />
comfortable passing that forward.<br />
Commissioner Becht said he will reveal that he has a conflict here<br />
and won't be able to vote. Mr. Schwerer has advised him that he<br />
can speak to the issue. His conflict is, he represents one <strong>of</strong> the<br />
participants in the second presentation, Pelican Seafood. He is a<br />
little bit more familiar with how the pieces come together; and if<br />
they are chosen, that will reveal itself through the discussions<br />
that would be on-going after that. The devil is in the details<br />
wi th this. There is a little more detail in the Terpening<br />
presentation. He thinks there is a unique opportunity here to<br />
jumpstart the development <strong>of</strong> that site with either <strong>of</strong> the<br />
presenters tonight. However they choose - he cannot vote - but if<br />
they choose the Terpening group, what he would ask them to do is<br />
advise Mr. Smyth and his group that if they can't work out the<br />
details with the Terpening group, then Mr. Smyth needs to be on<br />
stage ready to go at a moment's notice. And if they feel like he<br />
does that there is not as much detail in Mr. Smyth's presentation,<br />
that would give him a month or two to get more detail into his plan<br />
so that, if it doesn't work out with the Terpening group, Mr. Smyth<br />
can be there with the details staff was apparently looking for.<br />
But there really is a unique opportunity here. But for this RFP<br />
process, his expectations for something happening on this property<br />
was years in the future. It is this opportunity that allows them<br />
to jumpstart it. That is not going to be without a cost. So at<br />
some point they have to figure out what they are willing to do,<br />
what are they willing to pay, to jumpstart it. That needs to be<br />
worked out. In his opinion, it is worth having the conversation.<br />
In his opinion, it is worth paying something to jumpstart<br />
development at that location.<br />
Chairman Benton said today what they are looking for is to ask<br />
Staff to sit down with one party or the other to start with, then<br />
come back with more defined details. If this Board felt that maybe<br />
there needed to be more land added to the swap, maybe that could be<br />
the case. What he is trying to do is see that one <strong>of</strong> these<br />
happens, because they really need to get something started down<br />
there, plus there is a lot <strong>of</strong> jobs leaving the area right now.<br />
Ever since they had to move out <strong>of</strong> their home over there on North<br />
Beach Causeway, a lot <strong>of</strong> the commercial fishermen have already left<br />
the area. He would hate to lose that business, because that has<br />
been something that has been around l onger than citrus.<br />
20
<strong>Fort</strong> <strong>Pierce</strong> Redevelopment Agency July 2, 2012<br />
Commissioner Sessions said he knows he posed that question, but he<br />
never heard a response to adding some more land to make it a more<br />
even swap. He would like to hear a response while he has all the<br />
key players in front <strong>of</strong> him. Would the representative feel<br />
comfortable with addressing that?<br />
Commissioner Alexander said he feels uncomfortable not hearing both<br />
sides. But he does recall in the beginning when he spoke to the<br />
Blacks about Inlet Fisheries... Inlet Fisheries has been part <strong>of</strong><br />
<strong>Fort</strong> <strong>Pierce</strong> and he has been part <strong>of</strong> Inlet Fisheries. If they ask<br />
him to decide today - decide on what? He didn't even get to hear<br />
the basic part, he came in on the tail end.<br />
Chairman Benton said this isn't the final proposal. In their<br />
packet they have basically the information that Mr. Terpening put<br />
forward. They are voicing their concerns. They are talking about<br />
the land swap.<br />
Mr. Terpening said as Commissioner Becht stated, this process was<br />
an RFP. They hear the proposals, rank them, start discussions; and<br />
if they can't work out the little devils in the details, then they<br />
go to number two. That is the process they work under. They don't<br />
know what the values <strong>of</strong> the property are, they are all guessing<br />
right now. This team wants to make an equitable trade, an<br />
equitable value to the community, maintain the jobs, grow jobs. He<br />
doesn't know if it is $1 million or $300,000 or $10 million or<br />
even. The appraisals will show this, these details. At that point<br />
with the enhancements, whatever those are, it will give the Board<br />
all the comfort level that it is worth moving forward and protects<br />
the public's interest. But right now, he doesn't know what the<br />
values are. It is premature. As these details get worked out,<br />
after they get the appraisals, they will be able to address it and<br />
make them comfortable. If not, they have the opportunity to move<br />
to the other presenter. But they want to make it equitable.<br />
Mr. Ward said with an abundance <strong>of</strong> caution, they are going a little<br />
far afield <strong>of</strong> the RFP because they are now discussing additional<br />
property which affects the net presentation they had. So in the<br />
interest <strong>of</strong> fairness, he wants to give three or four minutes to Mr.<br />
Smyth to indicate his financial wherewithal and make a statement<br />
about that. Does he want to do that?<br />
Mr. Smyth said no, not at this time. He thinks they need to have<br />
a little more insight and maybe even a workshop in this because<br />
there is so many details about their presentation that could have<br />
2 1
<strong>Fort</strong> <strong>Pierce</strong> Redevelopment Agency July 2, 2012<br />
corne out.<br />
discussed.<br />
He thinks there is a lot <strong>of</strong> things that need to be<br />
Chairman Benton said so right now they are going to stick to the<br />
RFP. They will see which group they want Staff to sit down with to<br />
try to iron out some details.<br />
Commissioner Sessions said he sees they are caught in a situation.<br />
For the most part, he feels comfortable with whom he is ready to<br />
vote for. But out <strong>of</strong> respect for his colleague, Commissioner<br />
Alexander, who has not had an opportunity to review the entire<br />
presentation, and given the fact that they have one Commissioner<br />
that is going to have to abstain, really it lies upon three <strong>of</strong> them<br />
having the weight <strong>of</strong> this on their shoulders. Do they feel<br />
comfortable? This is something that is very important to him, as<br />
he is sure it is to all <strong>of</strong> them.<br />
Chairman Benton said if they were finalizing it, he would agree.<br />
But because they are looking to get the details, he thinks that is<br />
going to be the real presentation. Once the details corne back from<br />
Staff, then they can see if it is really going to work or not. To<br />
him, this is just getting out <strong>of</strong> the starting block here. They<br />
have talked about this property for years. They have led people on<br />
and nothing has happened for literally years. A lot <strong>of</strong> effort has<br />
been put forth in this. He met with several <strong>of</strong> these groups. This<br />
has been talked about for some time. He is ready for the details.<br />
Commissioner Alexander asked all they need t onight is just a<br />
consensus, not a vote?<br />
Chairman Benton said he doesn't know if t hey need a vote or a<br />
consensus. It is mainly to get to work with which party they feel<br />
is the appropriate one and start there.<br />
Mr. Ward said Staff has given them a written recommendation in<br />
their packet. The purpose today was to confirm, make absolutely<br />
clear, that this Board had all the answers to the questions they<br />
wanted to ask. They can either confirm Staff's recommendation or<br />
they can take another path. But Staff has a clear recommendation<br />
before them, it is unambiguous.<br />
Commissioner Perona said they had all the information given to them<br />
in advance. He feels bad for his colleague not hearing the first<br />
presentation. But the information was in the packet. He didn't<br />
22
<strong>Fort</strong> <strong>Pierce</strong> Redevelopment Agency July 2, 2012<br />
hear anything different that was a change to any <strong>of</strong> the information<br />
he received.<br />
Motion was made by Commissioner Perona, seconded by Commissioner<br />
Sessions, to accept Staff's recommendation on RFP No. 6108. (Note:<br />
Recommendation in Memorandum to FPRA Board from Jon Ward dated June<br />
22, 2012: "It is the recommendation <strong>of</strong> the Evaluation Committee<br />
that a clear preference exists for the DCGG proposal and the<br />
Committee recommends that the FPRA Board enter into a Developer's<br />
Agreement with DCGG for the phased development <strong>of</strong> the property,<br />
which includes the property swap, containing a reversion clause if<br />
the requirements <strong>of</strong> the Developer's Agreement are not strictly met,<br />
including the timeframes and the investment <strong>of</strong> approximately $2<br />
million worth <strong>of</strong> specified improvements to the site, as well as the<br />
continued access <strong>of</strong> the public to the activities at the site.")<br />
Chairman Benton said the motion is to go with Staff's<br />
recommendation, which is sitting down with the Culpepper &<br />
Terpening group and coming back with a detailed proposal.<br />
Mr. Ward said they will work it into a Developer's Agreement.<br />
Commissioner Alexander asked inclusive <strong>of</strong> an additional land swap,<br />
they are going to have that discussion?<br />
Mr. Ward said yes.<br />
Commissioner Sessions said as far as it relates to Mr. Smyth's<br />
team, as far as the vision is concerned, he loves what they have,<br />
he is with them; but he just feels, based on the information that<br />
has been presented to them, that the other team, the financial<br />
wherewithal <strong>of</strong> that group, is a little stronger. He believes this<br />
can be a reality at least in his lifetime to see something come <strong>of</strong><br />
that property. Don't give up, he hopes to see them again soon,<br />
because he does share the same vision they do.<br />
<strong>City</strong> Attorney Schwerer said a matter <strong>of</strong> technicality, perhaps it is<br />
just the way Staff's recommendation is phrased that he needs to<br />
comment. The recommendation is that the Board enter into a<br />
Developer's Agreement. Basically what he is taking Staff's<br />
recommendation and this Board's motion to mean is, they move to the<br />
second step, which is to sit down and obtain additional<br />
information, move to the process <strong>of</strong> negotiating with this group to<br />
determine if a Developer's Agreement could be prepared and<br />
presented that is mutually satisfactory to both sides; and then to<br />
23
<strong>Fort</strong> <strong>Pierce</strong> Redevelopment Agency July 2, 2012<br />
move to the next step to bring something back to the Board as such<br />
later date as necessary. So it is not necessarily to enter into<br />
the Developer's Agreement, it is to move to the second phase. As<br />
long as that is clarified for the record, he is fine.<br />
Those voting in favor <strong>of</strong> the motion were: Commissioners Perona and<br />
Sessions, and Chairman Benton. Those opposed: Commissioner<br />
Alexander. Those abstaining: Commissioner Becht.<br />
There being no further business, Chairman Benton declared the<br />
meeting adjourned at 6:25 p.m.<br />
APPROVED:<br />
Robert J. Benton, Chairman<br />
Date:<br />
Jon Ward, Director <strong>of</strong> FPRA<br />
Date:<br />
24
FORM 8B MEMORANDUM <strong>OF</strong> VOTING CONFLICT FOR<br />
COUNTY, MUNICIPAL, AND O<strong>THE</strong>R LOCAL PUBLIC <strong>OF</strong>FICERS<br />
LASJ.:?:,ME-<br />
FIRST NAME-MIDDLE NAME<br />
' .C~ t- Ifrj<br />
MAILING ADDRE~<br />
C I~<br />
NAME <strong>OF</strong> BOARD. COUNC~ COMMISS15Ṇ. /iUTHORITY. OR ,COMMI,!1'EE F<br />
C'i+ .... cf- a"+ UC-e (l"!lIIIISSll'$i<br />
2
APPOINTED <strong>OF</strong>FICERS (continued)<br />
A copy <strong>of</strong> the form must be provided immediately to the ather members <strong>of</strong> the agency.<br />
• The form must be read publicly at the next meeting after the form is filed.<br />
IF YOU MAKE NO ATTEMPT TO INFLUENCE <strong>THE</strong> DECISION EXCEPT BY DISCUSSION AT <strong>THE</strong> <strong>MEETING</strong>:<br />
You must disclose orally the nature <strong>of</strong> your conflict in the measure before partiCipating<br />
• You must complete the form and file It within 15 days after the vote occurs with the person responsible for recording the minutes <strong>of</strong> the<br />
meeting, who must incorporate the form in the minutes, A copy <strong>of</strong> the form must be provided immediately to the other members <strong>of</strong> the<br />
agency, and the form must be read pubhcly at the next meeting after the form is filed.<br />
DISCLOSURE <strong>OF</strong> LOCAL <strong>OF</strong>FICER'S INTEREST<br />
I, _....;b_~...:../,v -.:.... IJ_lt....; :>_V-=-·_l$ ~e;..s;c~b~r-_ ____, hereby disclose that on _ J_c...,,_· ()~('f ____ _ 2.<br />
(a) A measure came or will come before my agency which (check one)<br />
inured to my special private gain or loss;<br />
-'--_ _ _ __ , 20 / c.. :<br />
inured to the special gain or lo!:;s <strong>of</strong> my business associate, ___________ . ___________ _<br />
_ inured to the special gain or loss ormy relative, _______ ~------~------------ '<br />
~nured to the special gain or loss <strong>of</strong> _ _ ;...A....; -€~(..;.(c;:.;Cro :u.L___>.._~=_~_Cl:'<br />
_cI? "'-:..>c--- _ _________ _ __, by<br />
whom I am retained; or<br />
_ _ ,--"=X.o....r..:<br />
inured to the special gain or loss <strong>of</strong> ____________________________ , which<br />
is the parent organization or subsidiary <strong>of</strong> a principal which has retained me.<br />
(b) The measure before my agency and the nature <strong>of</strong> my conHicting interest in the measure is as follows:<br />
r; . h '<br />
tIs #'Mqlt S' 72fP G. (08<br />
R-tah~<br />
R~P/~e<br />
Date Filed<br />
Signature<br />
NOTICE: UNDER PROVISIONS <strong>OF</strong> FLORIDA STATUTES §112.317, A FAILURE TO MAKE ANY REQUIRED DISCLOSURE<br />
CONSTITUTES GROUNDS FOR AND MAY BE PUNISHED BY ONE OR MORE <strong>OF</strong> <strong>THE</strong> FOLLOWING: IMPEACHMENT,<br />
REMOVAL OR SUSPENSION FROM <strong>OF</strong>FICE OR EMPLOYMENT, DEMOTION, REDUCTION IN SALARY, REPRIMAND, OR A<br />
CIVIL PENALTY NOT TO EXCEED $10,000.<br />
CE FORM 86 - EFF. 112000 PAGE 2