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06-19-12 Regular MeetingCity of Delray Beach Regular Commission Meeting RULES FOR PUBLIC PARTICIPATION Tuesday, June 19, 2012 Regular Meeting 6:00 p.m. Public Hearings 7:00 p.m. Delray Beach City Hall 1. PUBLIC COMMENT: The public is encouraged to offer comments with the order of presentation being as follows: City Staff, public comments, Commission discussion and official action. City Commission meetings are business meetings and the right to limit discussion rests with the Commission. Generally, remarks by an individual will be limited to three minutes or less. The Mayor or presiding officer has discretion to adjust the amount of time allocated. A. Public Hearings: Any citizen is entitled to speak on items under this section. B. Comments and Inquiries on Non-Agenda Items from the Public: Any citizen is entitled to be heard concerning any matter within the scope of jurisdiction of the Commission under this section. The Commission may withhold comment or direct the City Manager to take action on requests or comments. C. Regular Agenda and First Reading Items: Public input on agendaed items, other than those that are specifically set for a formal public hearing, shall be allowed when agreed by consensus of the City Commission. 2. SIGN IN SHEET: Prior to the start of the Commission Meeting, individuals wishing to address public hearing or non-agendaed items should sign in on the sheet located on the right side of the dais. If you are not able to do so prior to the start of the meeting, you may still address the Commission on an appropriate item. The primary purpose of the sign-in sheet is to assist staff with record keeping. Therefore, when you come up to the podium to speak, please complete the sign-in sheet if you have not already done so. 3. ADDRESSING THE COMMISSION: At the appropriate time, please step up to the podium and state your name and address for the record. All comments must be addressed to the Commission as a body and not to individuals. Any person making impertinent or slanderous remarks or who becomes boisterous while addressing the Commission shall be barred by the presiding officer from speaking further, unless permission to continue or again address the Commission is granted by a majority vote of the Commission members present. APPELLATE PROCEDURES Please be advised that if a person decides to appeal any decision made by the City Commission with respect to any matter considered at this meeting, such person will need to ensure that a verbatim record includes the testimony and evidence upon which the appeal is based. The City neither provides nor prepares such record. 100 N.W. 1st Avenue Delray Beach, FL 33444 Phone: (561) 243-7000 Fax: (561) 243-3774 The City will furnish auxiliary aids and services to afford an individual with a disability an opportunity to participate in and enjoy the benefits of a service, program, or activity conducted by the City. Contact Doug Smith at 243-7010, 24 hours prior to the event in order for the City to accommondate your request. Adaptive listening devices are available for meetings in the Commission Chambers. REGULAR MEETING AGENDA 1. ROLL CALL 2. INVOCATION 3. PLEDGE OF ALLEGIANCE TO THE FLAG A. NONE 4. AGENDA APPROVAL 5. APPROVAL OF MINUTES: A. May 8, 2012 -Workshop Meeting B. May 22, 2012 -Workshop Meeting C. May 24, 2012 – Special/Workshop Meeting 6. PROCLAMATIONS: A. Parks and Recreation Month – July 2012 7. PRESENTATIONS: A. Representative Bill Hager – Update on Legislative Session B. I.M.P.A.C.T. (Individual, Mentoring, Program and Collaborative Team) Delray Graduation Presentation 8. CONSENT AGENDA: City Manager Recommends Approval A. REQUEST FOR A SIDEWALK DEFERRAL/1205 PALM TRAIL: Approve an agreement to defer installing a sidewalk on the west side of Palm Trail for the property located at 1205 Palm Trail. B. REQUEST FOR A SIDEWALK DEFERRAL/960 DOGWOOD DRIVE: Approve an agreement to defer installing a sidewalk along the south side of Dogwood Drive for the property located at 960 Dogwood Drive. C. REQUEST FOR A SIDEWALK DEFERRAL/926 BANYAN DRIVE: Approve an agreement to defer installing a sidewalk along the south side of Banyan Drive for the property located at 926 Banyan Drive. D. REQUEST FOR A SIDEWALK DEFERRAL/936 HYACINTH DRIVE: Approve an agreement to defer installing a sidewalk along the south side of Hyacinth Drive for the property located at 936 Hyacinth Drive. E. LETTER OF SUPPORT/JUSTICE ASSISTANCE GRANT (JAG) FUND: Authorize the Mayor to sign a letter in support of funding allocations for Countywide Justice Assistance Grant (JAG) funds for FY 12/13. F. AGREEMENT/FLORIDA DEPARTMENT OF ENVIRONMENTAL PROTECTION (FDEP): BEACH RENOURISHMENT PROJECT: Approve the Department of Environmental Protection (DEP), Contract No. 12PB1 between the City and the DEP for the state’s cost sharing of the Beach Renourishment Project. G. BULLETPROOF VEST GRANT/DEPARTMENT OF JUSTICE: Authorize staff to submit an application to the Department of Justice for funding in the amount of $33,600.00 for 48 vests from the Bulletproof Vest Program. If awarded, the program would provide 50% or $16,800.00 of the cost with the remaining balance to come from 001-2115-521-52.27 (General Fund: Operating Supplies/Equipment < $1,000). H. INTERLOCAL AGREEMENT/COMMUNITY REDEVELOPMENT AGENCY (CRA): Approve an Interlocal Agreement with the Community Redevelopment Agency (CRA) for funding of the broadband service in the NW/SW neighborhoods. I. SUBLEASE AGREEMENT/COMMUNITY REDEVELOPMENT AGREEMENT (CRA)/CREATIVE CITY COLLABORATIVE OF DELRAY BEACH, INC.: Approve a Sublease Agreement between the Creative City Collaborative (CCC) of Delray Beach, Inc. and the Community Redevelopment Agency (CRA) regarding the Old School Square Parking Garage retail space. J. PAYMENT OF INVOICE/FLORIDA POWER & LIGHT (FPL): Approve payment to Florida Power & Light (FPL) in the amount of $37,998.80 for upgrading the electrical service relating to the Lift Station 100A Upgrade project. Funding is available from 442-5178-536-69.29 (Water & Sewer Renewal & Replacement Fund: Water & Sewer Trans/Storage Project/LS100A Capacity Upgrade). K. AMENDED AGREEMENT/PALM BEACH COUNTY/DISASTER RECOVERY INITIATIVE (DRI3) PROGRAM: Approve an amended Agreement between the City and Palm Beach County to provide for implementation of the Hurricane Hardening of Fire Station #1 funded under the Disaster Recovery Initiative 3 (DRI3). L. MEMORANDUM OF UNDERSTANDING/SOLID WASTE AUTHORITY (SWA)/AMERICAN BEVERAGE ASSOCIATION (ABA): Provide authorization for the City to participate in a pilot public space recycling program with the Palm Beach County Solid Waste Authority (SWA) and the American Beverage Association (ABA). M. RESOLUTION NO. 24-12/INTERLOCAL AGREEMENT/THE FLORIDA GREEN FINANCE AUTHORITY: PROPERTY ASSESSED CLEAN ENERGY (P.A.C.E): Approve Resolution No. 24-12 in support of the City’s intention to implement the “Florida Green Energy Works Program”, and authorize the Mayor to execute an Interlocal Agreement with the Florida Green Finance Authority to administer the program. N. RESOLUTION NO. 28-12: Approve Resolution No. 28-12 assessing costs for abatement action required to remove nuisances on twenty-four (24) properties throughout the City of Delray Beach. O. REVIEW OF APPEALABLE LAND DEVELOPMENT BOARD ACTIONS: Accept the actions and decisions made by the Land Development Boards for the period June 5, 2012 through June 15, 2012. 9. REGULAR AGENDA: A. APPEAL OF SITE PLAN REVIEW AND APPEARANCE BOARD ACTION: FIRESTONE AT DELRAY: Consider an appeal of the Site Plan Review and Appearance Board’s decision regarding replacing the garage doors on Firestone at Delray, located at 5190 West Atlantic Avenue. (Quasi-Judicial Hearing) B. SELECTION OF SOLID WASTE COLLECTION SERVICES PROVIDER: Provide direction to staff regarding selection of a Solid Waste Collection Services provider for the City. C. DESIGNATION OF VOTING DELEGATE: Designate the City's voting delegate to the Florida League of Cities’ 86th Annual Conference to be held at Westin Diplomat in Hollywood, Florida on August 23-25, 2012. D. APPOINTMENTS TO THE DOWNTOWN DEVELOPMENT AUTHORITY: Appoint two (2) regular members to the Downtown Development Authority (DDA) to serve three (3) year terms ending July 1, 2015. Based upon the rotation system, the appointments will be made by Commissioner Frankel (Seat #3) and Commissioner Gray (Seat #4). E. APPOINTMENT TO THE DELRAY BEACH HOUSING AUTHORITY: Appoint one (1) regular member to the Delray Beach Housing Authority to serve a four (4) term ending July 14, 2016. Based upon the rotation system, the recommendation for appointment will be made by Commissioner Carney (Seat #1). F. APPOINTMENTS TO THE CIVIL SERVICE BOARD: Appoint two (2) regular members to the Civil Service Board to serve two (2) year terms ending July 1, 2014. Based upon the rotation system, the appointments will be made by Commissioner Frankel (Seat #3) and Commissioner Gray (Seat #4). G. APPOINTMENTS TO THE NEIGHBORHOOD ADVISORY COUNCIL: Appoint one (1) regular member each from Zone 3 and Zone 5 to serve an unexpired plus three (3) year terms ending July 31, 2015 to the Neighborhood Advisory Council. Based on the rotation system, the appointments will be made by Mayor McDuffie (Seat #5) and Commissioner Carney (Seat #1). H. APPOINTMENT TO THE FINANCIAL REVIEW BOARD: Appoint one (1) alternate member to serve an unexpired term ending July 31, 2013 to the Financial Review Board. Based upon the rotation system, the appointment will be made by Commissioner Gray (Seat #4). I. CITY MANAGER EVALUATION J. CITY ATTORNEY EVALUATION 10. PUBLIC HEARINGS: A. PUBLIC COMMENTS/FY 2013 PROPOSED BUDGET: The City Commission will hear public comments, if any, regarding the FY 2013 Proposed Budget at this time. B. ORDINANCE NO. 16-12: Consider an amendment to Chapter 33 “Police and Fire-Rescue Departments”, subtitle "Pensions", Section 33.60, “Definitions”, Section 33.61, “Membership Conditions of Eligibility; Application”; Section 33.62, “Benefit Amounts and Eligibility”; Section 33.63, “Optional Forms of Benefits”; Section 33.64, “Contributions”; Section 33.65, “Administration”; Section 33.66, “Finances and Fund Management”; Section 33.689, “Retirement Benefit Enhancement”; Section 33.70, “Direct Transfers of Eligible Rollover Distributions”; and creating Section 33.73, “Termination of the System”, to implement and comply with Chapter 2009-97, Laws of Florida; Chapter 2011-216; and the Internal Revenue Code; and to comply with a court decision. C. ORDINANCE NO. 18-12: Consider a city-initiated rezoning from RM (Medium Density Residential) to CF (Community Facilities) for two parcels of land located on the east side of S.W. 12th Avenue, approximately 106 feet north of S.W. 2nd Street for the Neighborhood Resource Center Expansion. (Quasi-Judicial Hearing) D. ORDINANCE NO. 20-12: Consider a city-initiated ordinance amending Chapter 110, “Local Business Taxes Generally”, Section 110.15, “Local Business Tax Schedule”, to provide for a 5% percent increase in all business tax fees. 11. COMMENTS AND INQUIRIES ON NON-AGENDA ITEMS FROM THE PUBLICIMMEDIATELY FOLLOWING PUBLIC HEARINGS: A. City Manager's response to prior public comments and inquiries. B. From the Public. 12. FIRST READINGS: A. NONE 13. COMMENTS AND INQUIRIES ON NON-AGENDA ITEMS: A. City Manager B. City Attorney C. City Commission WORKSHOP MEETING MAY 8, 2012 A Workshop Meeting of the City Commission of the City of Delray Beach, Florida, was called to order by Mayor Nelson S. McDuffie in the First Floor Conference Room at City Hall at 6:00 p.m., on Tuesday, May 8, 2012. Roll call showed: Present -Commissioner Thomas F. Carney, Jr. Commissioner Alson Jacquet Commissioner Adam Frankel Commissioner Angeleta E. Gray Mayor Nelson S. McDuffie Absent -None Also present were -David T. Harden, City Manager Brian Shutt, City Attorney Chevelle D. Nubin, City Clerk Mayor McDuffie called the workshop meeting to order and announced that it had been called for the purpose of considering the following Items. WORKSHOP MEETING AGENDA 1. Public Art Master Plan Ms. Elayna Toby Singer stated this is a follow-up to the presentation she made in January. She was contracted via interlocal agreement between the City and Palm Beach County to facilitate a Public Art Assessment. Ms. Singer updated Commission on the assessment’s key findings and recommended next steps to advance the city’s public art program. Mr. Jacquet stated he attended some of the Public Art Advisory Board meetings and noted “a disconnect” between the board, its function and the Commission: its true purpose, how we take their input and what we do with it. Public Art is an integral part to Delray Beach and a big plus to any city. He asked how much is this going to cost the city and what will be the city’s return on investment. Mr. Carney stated public art is a huge benefit to Delray Beach. He stated as budgets and revenues are increased we are going to be able to do greater things. Mr. Carney stated the presentation was very informative and he would love to be able to endorse all of the great ideas but endorsing them comes with a cost. He shares Mr. Jacquet’s concerns regarding the costs as far as how we are going to there. He stated the Public Art Advisory Board has done a great job. Mrs. Gray thanked Ms. Singer for the presentation and stated public art is important to Delray Beach. She asked if the Public Art Advisory Board or Ms. Singer have any other ideas on how to generate funds. Mrs. Gray asked how much this plan will cost the city. Ms. Singer stated the cost is $5,000 per quarter and it will take approximately sixteen (16) months to complete the plan. 2 May 8, 2012 Mr. Frankel thanked Ms. Singer for the presentation and stated he liked the detailed report. He discussed the value and importance of public art to the city. Mr. Frankel mentioned Pineapple Grove and stated he has no objections with going into the interlocal agreement. Mayor McDuffie stated public art is important to Delray Beach and commented regarding the budget and the interlocal agreement. He stated Ms. Singer did a great job and he supports the interlocal agreement. Mr. Carney agrees with entering the interlocal agreement as well. Mr. David T. Harden, City Manager, asked Ms. Singer to draft a proposal. (Item W.S. 4 began at 6:24 p.m. and is below as Item W.S.2 due to Commission changing the order of the agenda) 2. FY 2013 Departmental Budget Presentations: Administrative Services Mr. Robert Barcinski, Assistant City Manager, presented the various budgets for Administrative Services, Clean and Safe and Tennis. Mr. Barcinski discussed special events specifically. Mr. Frankel stated it is good for the public to know the many hats Mr. Barcinski wears and the work that gets done. Mr. Carney stated he appreciated the presentation and feels it is important that everyone understands how and why we are spending the money. Mr. Jacquet stated he was looking to learn more of what we do at the city and asked about insurance and bids. Mr. Harden stated most of our insurance now is through the Florida Municipal Insurance Trust and we provide information to them and they conduct the bidding. Mayor McDuffie stated he appreciates everything that they have seen tonight and there are some things that we cannot control that are increasing. He discussed organizations that are cutting costs. He thanked Mr. Barcinski. Clean and Safe Mr. Barcinski coordinates the efforts for all other departments (Code Enforcement, Police Department, Public Works, and Park Maintenance, garage maintenance) regarding this function. He covered costs as far as increases and other items they are asking as well as contractual services. Mr. Carney asked if 100% of this was funded by the Community Redevelopment Agency. Mrs. Gray stated the Clean and Safe team is amazing and asked about the gum removal program. Mayor McDuffie stated Clean and Safe does an amazing job after events. They exceed expectations. 3 May 8, 2012 Tennis Mr. Barcinski stated he supervises the contracts for the golf courses, tennis facility and tournaments. He discussed the activities of the Management Company in regards to the stadium and stated he meets with the management company on a weekly basis. He also discussed the maintenance of the facilities. He stated Administrative Services provides total support to the Sister Cities committee and he is a liaison to Old School Square and Sandoway House. In addition, he informed the Commission that he is serving as the city’s representative for the Delray Beach Marketing Cooperative and he is Chairperson this year. He stated the Telecommunications Manager is in his department as well and explained the function. Mr. Frankel mentioned the Davis Cup and stated the Tennis Stadium and Tennis Facilities is the biggest misconstrued item he sees as far as persons saying nothing is going on there and it could not be farther from the truth. He stated alot goes on there: USTA, ITC and International and Rainbow Tennis Tournaments. Mrs. Gray commended Mr. Barcinski and asked about having more tournaments, naming rights, changing makeup of Tennis Stadium and event parking. Mr. Carney agrees with Mr. Frankel that the Tennis Stadium is misunderstood. He mentioned a possible study on the economic impact of the Tennis Center. In addition, he suggested that we look at what it would take to make it a world class Tennis Facility. Mr. Jacquet feels the Tennis Center is underutilized. He mentioned sponsorships and stadium rentals stating he would like to see those numbers increase. Mayor McDuffie stated we have some structural problems in regards to attracting certain events. Discussion continued between staff and Commission. Human Resources Mr. Bruce Koeser, Human Resources Director, presented this item. He highlighted the HR functions: compensation, benefits, risk management and safety, federal/state law compliance, labor relations, employee relations, employment and recruiting, training and development, succession planning, and Employee Health and Wellness Center. Mr. Koeser discussed changes to the departmental budget. Mrs. Gray asked if we have any numbers of what the savings are for the Wellness Center. Mr. Carney stated succession planning is good and he has heard good things regarding the Wellness Center. He asked about the application process and how we address if someone wants to manually apply for a position. Mr. Jacquet asked are we allowed to set certain requirements for new hires in regards to insurance. City Attorney Mr. Brian Shutt, City Attorney, presented this item stating the Police Legal Advisor Position comes out of the Police Department Budget. He stated the Assistant City Attorney I position has been unfilled since June 2009 and they are anticipating filling that position within the next two months. Otherwise, staffing has remained the same. 4 May 8, 2012 Mr. Shutt discussed the workload for the City Attorney’s office, attendance at meetings, operating and personnel costs. Mr. Frankel stated he is in favor of hiring a new Assistant Attorney based on the fact that we will not have to spend as much on outside counsel. Mrs. Gray thanked Mr. Shutt for the presentation. Mr. Jacquet stated he enjoyed the presentation and he has not had a chance to discuss the Assistant Attorney position with Mr. Shutt. He stated if this position has been vacant for a certain number of years he proposes we cut it. However, Mr. Jacquet stated he would like to meet with Mr. Shutt to discuss this and understand why this position is needed. Mr. Carney thanked Mr. Shutt for this presentation and he understands the need for a new attorney. It adds value to our in-house counsel and he is happy with the City Attorney’s work. 3. Consider Bid Proposal for the Davis Cup Finals Mr. Barcinski, Assistant City Manager, presented this item stating the Davis Cup looking for bids for the finals for this year. He stated the finals will be November 16-18, 2012 and Commission has expressed a desire for staff to look into getting the Davis Cup here again. He discussed the target dates for submission of a letter of intent and the final bid. He highlighted the advantages and disadvantages to hosting the event; the requirements for funding and some strategies if the Commission allows staff to move forward with pursuing this. Mr. Carney asked if Margie Walden from the Palm Beach County Sports Commission would like to say anything. She stated that the Palm Beach County Sports Commission is in favor of going forward with this. Mr. Barcinski discussed the economic impact snapshot for when the USA played Spain in the Quarter Finals in Austin Texas. Mr. Frankel stated he is in favor of this. Mrs. Gray stated she is totally in support of this and asked where we will get the $400,000 cash contribution. She stated she is glad that we are going into the direction of Delray Beach as a sports destination. Mr. Jacquet thinks this is going to great for the city and asked if we have a projection of how much the city will make from the event. Mr. Carney stated this is a great opportunity and the economic impact will be tremendous. 4. Discussion regarding South Central Regional Waste Water Treatment and Disposal Board (SCRTWDB) Mr. Harden, City Manager, stated he asked the City Attorney to draft an amendment to the agreement. Mr. Frankel gave an overview regarding attendance, makeup of the board and meetings. Mrs. Gray stated she thinks that the facility is run well and the staff does a great job there. She is in support of the amendment. Mr. Jacquet stated the way it is now allows the individuals to see and approve a decision that is made. 5 May 8, 2012 However, he agrees with the amendment if it is non-controversial issues and staff does a great job. He mentioned checks and balances. Mr. Carney stated the board runs extremely well and feels that the board should be staffed by professionals with expertise in that area. He likes the idea of an annual presentation. Brief discussion continued. Mayor McDuffie adjourned the Workshop Meeting at 8:08 p.m. ________________________________ City Clerk ATTEST: MAYOR The undersigned is the City Clerk of the City of Delray Beach, Florida, and the information provided herein is the Minutes of the Workshop Meeting of the City Commission held on Tuesday, May 8, 2012, which Minutes were formally approved and adopted by the City Commission on June 19, 2012. ________________________________ City Clerk NOTE TO READER: If the Minutes you have received are not completed as indicated above, this means they are not the official Minutes of the City Commission. They will become the official Minutes only after review and approval, which may involve amendments, additions or deletions to the Minutes as set forth above. WORKSHOP MEETING MAY 22, 2012 A Workshop Meeting of the City Commission of the City of Delray Beach, Florida, was called to order by Mayor Nelson S. McDuffie in the First Floor Conference Room at City Hall at 6:00 p.m., on Tuesday, May 22, 2012. Roll call showed: Present -Commissioner Thomas F. Carney, Jr. Commissioner Alson Jacquet Commissioner Adam Frankel Commissioner Angeleta E. Gray Mayor Nelson S. McDuffie Absent -None Also present were -David T. Harden, City Manager Brian Shutt, City Attorney Chevelle D. Nubin, City Clerk Mayor McDuffie called the workshop meeting to order and announced that it had been called for the purpose of considering the following Items. WORKSHOP MEETING AGENDA 1. Fire-Rescue FY 2013 Budget Presentation Ms. Danielle Connor, Fire Rescue Chief, and Russell Accardi, Assistant Chief/Operations Division, presented this item. She highlighted the Fire-Rescue functions and divisions, major accomplishments and challenges, personnel and operating costs. In addition, she discussed the budget requests. Mr. Carney asked about the Highland Beach Contract in reference to costs. Mr. Harden explained how the contract works. Mrs. Gray asked about revenues and how they are used. She also asked if there is a succession plan in place where we screen new leaders. Chief Conner explained the process. Mrs. Gray asked how diversified is the Fire-Rescue Department staff. Commission thanked Ms. Conner for the presentation. 2. City Manager FY 2013 Budget Presentation Mr. Douglas E. Smith, Assistant City Manager, presented this item. He highlighted the Organizational Chart, City Manager responsibilities, his responsibilities as Assistant City Manager, staffing levels and operating costs. Mr. Jacquet asked about the function regarding lobbying: how this works and how much it is costing the city. Mr. Smith stated we do not fund any lobbyists. We have funds that go to organizations that we support i.e. Florida League of Cities. We do not have any dedicated city lobbyists. 2 May 22, 2012 Mayor McDuffie stated we removed lobbyists from the budget in 2007. Mr. Harden stated the Mayor and Commissioners meet with legislators on the city’s behalf and we provide backup information on what they would like to speak on with representatives, etc. In addition, staff works with the legislative aides. Mrs. Gray stated she went to Washington, D.C. to lobby for the city last year and the information that staff provided was amazing. Mr. Jacquet asked Mr. Smith to discuss the city’s civic education efforts. The Commission thanked Mr. Smith for the presentation. 3. Public Information Office (PIO) Division FY 2013 Budget Presentation Mr. Richard Reade, Public Information/Sustainability Officer, presented this item. He highlighted the PIO functions: Social Media, Peak Democracy, Speakers’ Bureau, city’s radio station, photography and commercial video productions. He stated they are working on the new website and assisting with mobile application development. Mr. Reade provided a brief overview of the new website. In addition, he discussed the Green and Sustainability Efforts, Economic Development Initiatives, Legislative and Lobbying Support, Board and Committee Liaison, Grants and Special Projects functions. He provided an overview of the Staffing Summary and Expenses. Mrs. Gray stated we need to have more information regarding Economic Development on the website. Mr. Reade discussed options for adding more information regarding Economic Development on the website. Mr. Jacquet stated the website looks amazing and he cannot wait for it to go live and commented regarding the 12% decrease in the PIO budget. He asked if any organization in the city can ask for someone from the city to come and speak. Mr. Reade stated the speakers are listed on the website. Mr. Jacquet also asked about the Electric Vehicle Charging Stations. Mrs. Gray asked about the name “mydelraybeach.com” regarding the website. Brief discussion ensued between Commission and staff. Mayor McDuffie adjourned the Workshop Meeting at 8:00 p.m. ________________________________ City Clerk ATTEST: MAYOR 3 May 22, 2012 The undersigned is the City Clerk of the City of Delray Beach, Florida, and the information provided herein is the Minutes of the Workshop Meeting of the City Commission held on Tuesday, May 22, 2012, which Minutes were formally approved and adopted by the City Commission on June 19, 2012. ________________________________ City Clerk NOTE TO READER: If the Minutes you have received are not completed as indicated above, this means they are not the official Minutes of the City Commission. They will become the official Minutes only after review and approval, which may involve amendments, additions or deletions to the Minutes as set forth above. SPECIAL/WORKSHOP MEETING MAY 24, 2012 A Special/Workshop Meeting of the City Commission of the City of Delray Beach, Florida, was called to order by Mayor Nelson S. McDuffie in the First Floor Conference Room at City Hall at 6:00 p.m., on Tuesday, May 24, 2012. Roll call showed: Present - Commissioner Thomas F. Carney, Jr. Commissioner Alson Jacquet Commissioner Adam Frankel Commissioner Angeleta E. Gray Mayor Nelson S. McDuffie Absent - None Also present were - David T. Harden, City Manager Brian Shutt, City Attorney Chevelle D. Nubin, City Clerk Mayor McDuffie called the Special/Workshop Meeting to order and announced that it had been called for the purpose of considering the following Items. SPECIAL MEETING AGENDA 1. Appointment of The Assistant City Attorney I Position: Consider approval to appoint Janice Rustin for the position of Assistant City Attorney I. (Addendum) The City Attorney stated pursuant to City Charter all appointments of Assistant City Attorneys or the City Attorney has to come before the Commission for approval. Ms. Rustin graduated from Nova Southeastern University in December 2011 and was on the Dean’s list all semester. The City Attorney stated she worked as an intern her last semester of law school in the West Palm Beach City Attorney’s office and he received a recommendation from their City Attorney regarding Ms. Rustin. The City Attorney stated Ms. Rustin has also been volunteering for free in the City Attorney’s office since March of this year and has done a phenomenal job. Staff recommends approval of the appointment of the Assistant City Attorney I position. Mr. Jacquet inquired about the application process. The City Attorney stated staff received about 85 applications and had interviews. He stated they opened it up to six applicants but based on their preferences once the applicants found out what the salary was it then dropped down to four applicants and most of those had prior municipal experience. Mr. Frankel stated it is nice to see such a very good recommendation for Ms. Rustin and he likes the fact that she had volunteered for some time in the City Attorney’s office and the City Attorney was actually able to see the work product and was satisfied with the work product. Mrs. Gray welcomed Ms. Rustin. Mr. Carney concurred with comments expressed by Commissioner Gray and Commissioner Frankel. Mayor McDuffie stated he is very comfortable with the selection and it is nice to get someone who has municipal experience. 2 May 24, 2012 Mr. Frankel moved to approve and appoint Janice Rustin for the position of Assistant City Attorney I, seconded by Mr. Jacquet. Upon roll call the Commission voted as follows: Mr. Jacquet – Yes; Mr. Frankel – Yes; Mrs. Gray – Yes; Mayor McDuffie – Yes; Mr. Carney – Yes. Said motion passed with a 5 to 0 vote. Mayor McDuffie adjourned the Special Meeting at 6:09 p.m. WORKSHOP MEETING AGENDA 1. Engineering FY 2013 Budget Presentation Mr. Richard Hasko, Director of Environmental Services, gave a brief presentation regarding the Engineering Department budget for Fiscal Year 2013. Mr. Hasko briefly reviewed the primary functions of the Engineering Department and stated the most important functions are the Capital Infrastructure Program. Mr. Hasko stated other primary functions are the Geographic Information System (GIS), Stormwater Utility, and general activities (i.e. traffic calming, street lighting, parking, drainage, etc.). Mr. Hasko explained that this year staff has established how much of the Engineering budget is attributable to Water and Sewer and how much to the Stormwater Fund and rather than programming those costs in the Water and Sewer and Stormwater Fund operating budgets this year they are going to handle it with fund transfers into the Water and Sewer. Mr. Hasko stated 2011/2012 is when they started splitting those costs and absorbing some of them with Water and Sewer and Stormwater. He stated staff is not going to do that again this year. Mr. Hasko stated for purposes of comparison over the last two years staff has adjusted these numbers by the amounts of those transfers that are going into the General Fund. Mr. Frankel stated Mr. Hasko did a great job. Mr. Jacquet thanked Mr. Hasko for a great presentation and appreciates the explanation of the splitting and why the budget numbers went from such a large number to a small one. Mayor McDuffie stated at the grate between the Old School Square Gym and the Old School Square Garage and at the one that is just north of the Boy Scout statue on Pineapple Grove is awful. Mayor McDuffie asked if there is something stopping the flow in those areas. Mr. Hasko stated staff will look into this. Mayor McDuffie thanked Mr. Hasko for a great presentation. Mr. Carney requested a list of all the functions of the Engineering Department. Mr. Hasko stated he can put something together for Mr. Carney. 2. Finance FY 2013 Budget Presentation Mr. David Boyd, Finance Director, gave a brief budget presentation for the Finance Department for Fiscal Year 2013. Mr. Boyd stated the Finance Department is made up of three distinct divisions: (1) the Financial Division, (2) IT Division, and (3) Utility/Customer Service Division. Mr. Boyd stated the Finance Division is broken down into several distinct functions: Purchasing, Budget, and Treasury. He stated financial services is made up of several specialties such as accountants, payroll, pension administration, and accounts payable clerks. Mr. Boyd stated the primary responsibilities of the Finance Division under accounting is financial reporting, internal control, and grants administration. Mr. Boyd stated they will actually have one less employee next year than they did at the start of this year. Mr. Boyd stated the Finance Department spent several months looking at their organization and seeing what their needs were and they eliminated a Senior/Buyer position and they will eliminate an Accounting Specialist position and promote the employee who is now an Accounting Specialist to an Accountant. 3 May 24, 2012 Mr. Boyd stated they eliminated two positions to get one position to help create efficiency. He stated when eliminating two positions their personnel budget is looking to decline 5.5%; their operating costs is declining a little over 5%. However, Mr. Boyd stated they freed up resources to reallocate them to areas that are needed and identified those areas which come under capital costs (Software Solutions). Mr. Boyd stated their total budget declined 1.2% 2012-2013; personnel services declined $77,000 because that was a net effect of eliminating two positions and one promotion; there was a slight reduction in healthcare costs and pension benefits; capital costs include $70,000 for immediate implementation of several software solutions to meet a variety of needs such as improving efficiency and reduce paper flow and paper storage. Mr. Boyd stated with regard to grant administration they have a team that applies for grants and most other departments have that and that is how they ended up with 50 grants. He stated there is no central database that stores all that information. The department maintains their portion and accounting makes sure all the reports get issued and that deadlines are met. Mr. Boyd stated they need a centralized database and reporting system to manage this which is millions of dollars and that is all done now manually. Mr. Boyd stated staff has looked at solutions for storing documentation electrically and also outsourcing some of the processing of that as well. He stated they need to begin a centralization of the purchasing function to gain better cost control. Mr. Boyd stated they have 16 employees and 50% of them are either in the DROP Plan or are close to retirement eligibility (3-5 years). He stated most of their customers are internal but they need to set up a communication process by securing software solutions to reduce paper flow, storage, and improve efficiency. Mr. Boyd reiterated that the reorganization resulted in elimination of two positions to free up resources, promotion of an employee upon completion of an accounting degree, moving the Purchasing Manager into the Finance Department and use the two administrative assistants to back up that position. He stated one of those Administrative Assistants is leaving next year through the DROP Plan and once she leaves staff is going to hire a replacement that is going to focus more on the Purchasing function and help the Purchasing Manager. Mr. Boyd stated the Pension Administrator was moved from the Finance Department into the Purchasing Manager’s vacated office so that staff and retirees can discuss their personal business in private. Staff is also looking for various software solutions and beginning team meetings and hopes that within a year a lot of the solutions that need to be implemented will be well underway at that time. Mr. Jacquet stated he loves the fact that we are going to be more effective with the changes in the Finance Department. He inquired if anyone lost their job. Mr. Boyd stated one person lost their job and one person when they were promoted they eliminated the position that they were leaving. Mr. Frankel complimented Karen Schell for going above and beyond her job description. Mr. Frankel stated she is a fine lady and what a great service she does for the City of Delray Beach. The City Manager stated the Police and Fire Pension Board contracted for administration for a while and it did not work well. He stated Karen Schell does a fine job and she is right here at City Hall where employees can access her. Mayor McDuffie stated moving the Purchasing Manager around, etc. were great ideas and appreciates the progress so far. 3. Information Technology (IT) Division FY 2013 Budget Presentation David Boyd, Finance Director, gave a brief presentation for the Information Technology (IT) Division budget for Fiscal Year 2013 and stated the primary responsibilities are System Security, Technology Infrastructure, Enterprise Solutions/Software with wide-scope applications, 4 May 24, 2012 Applications Development and Support, Website development and maintenance, and other technology including radio and surveillance camera support. Mr. Boyd stated staff found that they needed to free up some resources for other areas by eliminating a Program Manager and are in the process of unfreezing an Administrative Assistant position. Mr. Boyd stated overall the total IT budget is declining 2.5%; operating costs will rise 7%; personnel services declined $75,000 due to a position elimination net of unfreezing the Administrative Assistant position and a slight reduction in the pension expense; operating costs are increasing $35,000 in part due to three things: (1) maintenance costs associated with this new virtual server system, (2) backup tapes for various databases, and (3) increase in hardware maintenance costs. Mr. Boyd stated these are all costs we would have incurred regardless of whether if they made any changes to the department or not but because staff reorganized the department they were able to absorb these and still have an overall decline. Mr. Boyd stated the IT Department is developing the new City website except for the graphic design which was outsourced to a company in California. He stated IT is going to be a part of the Co-managing search for the new city-wide Enterprise Resource Program which will include Human Resources, Community Improvement, Utility Billing, Budget and Financial modules and everyone in the city will be using that module. Mr. Boyd stated this system does not produce financial reports such as a balance sheet and an income statement IT extracted that information so that we get that type of reporting. Mr. Boyd briefly discussed the proposed projects and stated the City needs to upgrade its network infrastructure. He stated the City is going to get more and more into GIS files which have huge data needs and when the City goes to the new financial reporting system there is going to be a lot of e-governmental activity with that and all of that is going to use up bandwidth. Mr. Boyd stated the City has to do better in the redundancy backup solutions, utilization of Florida LambdaRail fiber optic network as a backup connection system, and e- governmental initiatives. Mr. Frankel thanked Mr. Boyd for two great presentations and stated they are brief, clear, and he is looking for less money. Mr. Frankel appreciates all the innovative things that Mr. Boyd proposes for next year. Mayor McDuffie stated the Northwest Regional Data Center was closed down at the campus of Florida State University and LambdaRail is a statewide fiber loop that runs around the state and it allows shops like ours to put disaster recovery systems in Tallahassee so all the transactions here are mirrored in Tallahassee. He stated they have huge amounts of floor space in the data center. He stated that is a great resource for the city at a very low cost and he too is proud of everyone that has made presentations because everyone is doing more with less budget this year. Mr. Carney asked if the City would still be operative in the event of a disaster. The City Manager stated the IT building has its own generator. 5 May 24, 2012 4. City Clerk FY 2013 Budget Presentation Chevelle D. Nubin, City Clerk, gave a brief presentation regarding the City Clerk budget for Fiscal Year 2013. Ms. Nubin stated the City Clerk’s primary functions are Management/Administration of City and Civil Service Elections, Cemetery Administration, Public Notices and Certifications, Agenda Coordination (Agenda Packet Creation, Recording of Documents, Annexation Notifications, Website posting of Ordinances, Resolutions, Agendas, Minutes, and Liaison Letters), LaserFiche Maintenance (Scanning of Official City Documents), and Codebook Supplements (Municode), Contract Management, Confidential Vehicle Renewal/Registrations, City Advertisements, Advisory Board Administration, Records Management and Public Records Requests, Customer Relations – Issuance of Residency Cards/Lien Searches/Proof of Life Document, Attendance at Commission Meetings, Transcription of Minutes, and Video Streaming. Ms. Nubin stated with regard to the staffing summary the City Clerk’s office used to have seven people in 2010 and for the past couple of years there have been six people. She stated in 2011 an employee retired which resulted in a personnel savings and the City did not have an election in 2011 which also resulted in a savings with the operational costs. Ms. Nubin stated there will be some increases this year due to the City’s contract with the Supervisor of Elections and these are her changes that get passed down to the municipalities. Ms. Nubin stated there have also been some increases in the City’s software maintenance for the digital recording, cemetery, and document imaging. Ms. Nubin stated with regard to revenue she projects that the City Clerk’s office will have approximately $75,000 in this year for public records requests and lien searches; however, at mid-year she projected $55,000 for public records requests and lien searches and to date the City Clerk’s office has taken in $82,000. Ms. Nubin stated the Deputy City Clerk serves as the Secretary for the Palm Beach County Municipal Clerks’ Association and on the State level she serves as the Southeast District Director for the Florida Association of City Clerks (FACC). Ms. Nubin stated for the past couple of years she has taught the first year and new clerks from around the state 50-60 clerks a year and also serves on the Professional Education Committee and will be entering her third year of a three-year term in October. She stated by being on the committee she assisting in planning the education for the clerks around the state. Ms. Nubin stated she just had a one day mini academy for the clerks in her district (i.e. Broward, Palm Beach, Miami-Dade and Monroe Counties) which equals 151 cities and about 66 clerks attended. Ms. Nubin stated that is an added value to the City as well as the City Clerk’s office because that is the first time that the City has been involved on that level for the past couple of years. Mr. Jacquet asked if the scanning of the official documents dating back to the 1920’s had to be outsourced. Ms. Nubin stated this was done internally. Mr. Jacquet asked how it is working with the six (6) staff members as opposed to seven (7) for the past two years. Ms. Nubin stated the Administrative Assistant position was eliminated in 2006/2007 and that person moved up to Agenda Coordinator. Lanelda Gaskins was promoted to Deputy City Clerk. She stated that Administrative Assistant was never filled and when the person who served as Office Assistant I retired the position was never filled; however, the work remained. Ms. Nubin stated the work was redistributed among the staff and the plus side is that everyone in the office is cross trained on every function. 6 May 24, 2012 Mr. Jacquet stated everyone does everyone else’s job in the City Clerk’s office and from the numbers he has been looking at out of all the department heads Ms. Nubin makes the least amount as far as income. Mr. Jacquet stated he appreciates the work that the City Clerk’s office does and thanked Ms. Nubin for her presentation. Mr. Carney stated the City Clerk’s confidence that got us involved with all these other cities and she has done a great job. Mrs. Gray thanked the City Clerk for being so instrumental to everyone and the entire department. Mrs. Gray congratulated the City Clerk for all her work with the FACC Southeast District. Mrs. Gray asked what happens in a couple of years when the cemetery sells all the plots. The City Clerk stated the Parks and Recreation Department is looking into this and it depends if we want to build more spaces for the mausoleum or the City may have to figure out something else regarding plots. The City Manager stated what happens typically is as you fill up the spaces that are primary you can back into what are now aisle spaces between grave sites and begin to put graves in there. Mrs. Gray inquired about the election costs. Ms. Nubin stated that the only difference with having an election in November is we get to share the cost with the Supervisor of Elections versus the Cities’ standalone elections; however, during that time we would be put at the very end of the ballot. The City Clerk stated approximately 37 municipalities may have elections in March and we share the prorated costs in the agreement and this is what the Supervisor of Elections is passing down to the city indicating that her costs have increased in these particular areas. The City Manager stated the current Supervisor of Elections has greatly increased the costs that she is charging the cities for elections. Mrs. Gray stated the reason the Commission wanted to do a three three-year term was so that we would not have elections every year which would save $40,000-$50,000 a year. Mr. Frankel stated he is going on his fourth year being on the Commission and has heard complaints about every department in the city except the City Clerk’s office. Mr. Frankel stated the City Clerk’s office deals with a great number of residents and feels this says a lot about Ms. Nubin and the entire staff. Mr. Frankel complimented the City Clerk’s office for their courteous demeanor and for doing such an efficient great job. Mayor McDuffie echoed comments expressed by the rest of the Commission. Mr. Carney stated the City Clerk’s office has been inundated with extra public records requests and feels these are being handled very well. 5. City Commission FY 2013 Budget Presentation The City Manager stated the Commission has Boards, Committees, and Task Forces that report to them and advise them; and, the Commission appoints the City Manager and the City Attorney. The City Manager stated the City Commission’s budget and personnel costs are up about 7% and operating costs are up 6% with an overall increase of 6.5%. The reasons for that increase is there are more Commissioners on the City’s health insurance than in the previous year and include the Citizen’s Summit. The City Manager stated there was a decrease in refreshments due to not planning to host the Palm Beach County League of Cities meeting next 7 May 24, 2012 year. He stated some of the things that are included are membership fees for the Palm Beach County League of Cities, Palm Beach County Caucus of Black Elected Officials, Florida League of Cities, Florida Black Caucus of Local Elected Officials, Alliance for Innovation, and the National League of Cities. Mayor McDuffie adjourned the Workshop Meeting at 7:10 p.m. ______________________________________ City Clerk ATTEST: MAYOR The undersigned is the City Clerk of the City of Delray Beach, Florida, and the information provided herein is the Minutes of the Special/Workshop Meeting of the City Commission held on Tuesday, May 24, 2012, which Minutes were formally approved and adopted by the City Commission on June 19, 2012. _________________________________________ City Clerk NOTE TO READER: If the Minutes you have received are not completed as indicated above, this means they are not the official Minutes of the City Commission. They will become the official Minutes only after review and approval, which may involve amendments, additions or deletions to the Minutes as set forth above. MEMORANDUM TO: Mayor and City Commissioners FROM: Linda Karch, Director of Parks and Recreation THROUGH: David T. Harden, City Manager DATE: June 13, 2012 SUBJECT: AGENDA ITEM 6.A. -REGULAR COMMISSION MEETING OF JUNE 19, 2012 PARKS AND RECREATION MONTH PROCLAMATION ITEM BEFORE COMMISSION Designation of July as Parks and Recreation Month. BACKGROUND Since 1985, America has celebrated July as the nation's official Parks and Recreation Month. National Recreation Parks Association encourages cities to show how parks and recreation make your life extraordinary! Create a healthy weekend habit by getting out to a park, trail, playground, swimming pool, natural area, or other public space every weekend. Just have FUN. WHEREAS, parks and recreation programs are an integral part of communities throughout this country, including Delray Beach; and WHEREAS, our parks and recreation are vitally important to establishing and maintaining the quality of life in our communities, ensuring the health of all citizens, and contributing to the economic and environmental well-being of a community and region; and WHEREAS, parks and recreation programs build healthy, active communities that aid in the prevention of chronic disease, provide therapeutic recreation services for those who are mentally or physically disabled, and also improve the mental and emotional health of all citizens; and WHEREAS, parks and recreation programs increase a community’s economic prosperity through increased property values, expansion of the local tax base, increased tourism, the attraction and retention of businesses, and crime reduction; and WHEREAS, parks and recreation areas are fundamental to the environmental well-being of our community; and WHEREAS, parks and natural recreation areas improve water quality, protect groundwater, prevent flooding, improve the quality of the air we breathe, provide vegetative buffers to development, and produce habitat for wildlife; and WHEREAS, our parks and natural recreation areas ensure the ecological beauty of our community and provide a place for children and adults to connect with nature and recreate outdoors. NOW, THEREFORE, I, NELSON S. McDUFFIE, Mayor of the City of Delray Beach, Florida, on behalf of the City Commission do hereby proclaim July, 2012, as: PARKS AND RECREATION MONTH in Delray Beach and urge that attention be directed to the many ways in which parks, recreation and civic groups, public schools, private organizations, and other agencies may expand recreation facilities and programs so that every citizen will have the opportunity to develop meaningful and satisfying leisure activities. IN WITNESS WHEREOF, I have hereunto set my hand and caused the Official Seal of the City of Delray Beach, Florida, to be affixed this 19th day of June, 2012. ___________________________ NELSON S. McDUFFIE MAYOR MEMORANDUM TO: Mayor and City Commissioners FROM: Dot Bast, Training and Development Manager THROUGH: Bruce Koeser, Human Resources Director David Harden, City Manager DATE: May 22, 2012 SUBJECT: AGENDA ITEM 7.B. -REGULAR COMMISSION MEETING OF JUNE 19, 2012 I.M.P.A.C.T. DELRAY GRADUATION PRESENTATION ITEM BEFORE COMMISSION Graduation of nine members of IMPACT Delray and presentation of their capstone project: Desiree Kazekavicius, Sharon L'Herrou, Charles Furment, Maria Marino-Bollan, Kimberly Wynn, Tim Simmons, Nigel Roberts, Scott Pape, Cheryl Hoaglund. BACKGROUND According to the IMPACT Delray business plan, mentees who successfully graduate from the year-long program will be awarded a certificate by the Mayor at a City Commission meeting. Also, the group’s capstone project will be presented to the City Commission during their graduation. The project presentation will be made using a few Power Point slides, followed by the awarding of certificates. I.M.P.A.C.T. DELRAY Individual Mentoring Program And Collaboration Team IMPACT Delray November 2010 Page 1 of 4 One of the challenges facing the City of Delray Beach is to effectively develop our human resources into a high-performance workforce. The future of Delray Beach government is directly impacted by the skills, ability, knowledge and education of its greatest asset – our employees. In order to successfully meet the challenges ahead, we must be able to answer the following: • How will we equip emerging leaders to succeed in new roles when the current generation of key people retires? • How will we enhance individual, team, and organizational performance, ensuring alignment with the mission of the City? • How will we develop employee skill sets while offering challenges and the opportunity to grow into a high performance organization? IMPACT Delray answers these questions by providing an organizational development initiative designed to build and retain talent within the City. THE MISSION IMPACT Delray is a mentoring initiative designed to foster individual and organizational growth by encouraging people to challenge themselves both personally and professionally. The program’s mission is to prepare employees to compete for future promotional opportunities while enhancing skills for their current position. Through instruction, practice, and individual mentoring, the goal is to develop leaders who will excel in business acumen, collaboration, organizational knowledge and emotional intelligence and to encourage organizational interdependence. IMPACT Delray will promote experiential learning and sharing of institutional knowledge. Table 1 below lists the characteristics that have been identified as being critical to effective leadership in a high-performance organization. The mentoring program’s strategy is designed to build skills directly related to the City’s core values and the competencies identified by the ICMA’s Management Practices. The program also provides an avenue for the Executive Committee, comprised of department heads, to participate in preparing the City’s future leaders. I.M.P.A.C.T. DELRAY Individual Mentoring Program And Collaboration Team IMPACT Delray November 2010 Page 2 of 4 Table 1. Competencies COMPETENCY BEHAVIOR ICMA MANAGEMENT PRACTICE Character Confident Respectful Trustworthy, ethical Responsible Personal Integrity Business Acumen Strategic Planning Develops and shapes strategy Leads change Shares vision Functional/Operational Expertise and Planning Initiative and Risk Taking Strategic Planning Innovation Initiative Adaptability Problem solving Creativity Creativity and Innovation Leadership Decision making Delegation Empowerment Cultural Competence Develops bench strength Emotional Intelligence Coaching Team Leadership Empowerment Mentoring Staff Effectiveness Teamwork Collaboration Conflict Resolution Fosters, builds partnerships Team leadership Planning and Organizing Prioritizing Goal setting Time management Use of resources Budgeting Financial Analysis Supervising Fair and equitable in managing Effective coaching /counseling Clear performance standards Performance Management Human Resources Management Communication Public speaking Mediation Community Relations Media Relations Presentation Skills Organizational Knowledge Basics of each department Budgeting Purchasing Organizational Integrity Budgeting I.M.P.A.C.T. DELRAY Individual Mentoring Program And Collaboration Team IMPACT Delray November 2010 Page 3 of 4 PROGRAM COMPONENTS SELECTION Applicants may be recommended by a manager or may apply. Each applicant must have a letter of recommendation from their department head to participate. Applications are screened by Human Resources to determine if the candidate meets or can reasonably expect to meet the minimum qualifications for the position the candidate aspires to. The essay portion of the application is reviewed and scored by Human Resources and the Executive Committee. A threshold score must be achieved in order to progress to the next step. A 360o Evaluation will distributed and scored by Human Resources. Participants will be then be interviewed by Human Resources. The final decision for who will be included in the program will be made by the HR Director and City Manager. Those applicants who are not selected may apply to the program again the next year, if they desire. ASSESSMENT Each particpant’s manager or department head will complete an Individual Learning Plan appropriate for the position for which he or she is preparing. A Myers-Briggs-type indicator and other assessments will be completed as pre-work. CURRICULUM The cohort will meet as a group for two half days each month. Instructional Curriculum will be designed to include: -Leadership, Emotional Intelligence -Teambuilding, Collaboration -Ethics -Strategic Planning, Goal Setting, Decision Making -Cultural Competence -Communication, Public speaking -Performance Management: coaching, discipline, conflict resolution -Time Management -Interviewing, Hiring -Employment Law -Budgeting, Finance I.M.P.A.C.T. DELRAY Individual Mentoring Program And Collaboration Team IMPACT Delray November 2010 Page 4 of 4 MENTORING PROGRAM Participants will be paired with a mentor who will be outside of their division for the one year program Training will be conducted for both mentors and mentees to define the specific goals and expectations, including reporting, frequency of meetings, outcome tracking, and feedback Mentor and mentee will meet a minimum of four hours each month. TEAM PROJECT By the third month of the program, the group will select an organizational challenge to address. The cohort will serve as a cross-functional team charged with achieving a solution to the selected challenge. The project will be approved by the Executive Committee. This capstone project will be presented to the City Commission at the end of the year. PROGRAM COMPLETION Successful completion of the program will require: -Passing grade on the post-test -Satisfactory peer review -Satisfactory mentor review Certificates will be awarded to graduates by the Mayor at a City Commission meeting. The participants will receive a development plan if they did not meet all criteria at the time of program completion. CONTINUATION Mentees will be encouraged to become mentors Graduates will meet quarterly as a Community of Practice I.M.P.A.C.T. DELRAY Individual Mentoring Program And Collaboration Team Executive Summary The first IMPACT Delray was kicked off on June 7, 2011 with nine high-potential employees and nine department heads who served as their mentors. The IMPACT initiative focused on three primary goals: develop leadership competencies, establish individual mentoring relationships and create a collaboration team that would address a real issue facing the City and formulate a solution. LEADERSHIP COMPETENCIES IMPACT Delray met together for four hours on first and third Tuesdays for one year. The first two hours were facilitated by Rick Caldwell, President of RCultures, Inc. Using teaching, case studies, exercises and open discussions, Rick built competencies in leadership, communication, teambuilding, public speaking, cultural competence and managerial skills. The group grew together as a team and learned to share solutions to common problems. The last half of each session was dedicated to exploring practical applications for what the group was learning with Rick. The group completed a study of the book Switch: How to Change Things When Change is Hard by Chip Heath and Dan Heath, and attended a webinar by Dr. Henry Cloud about his book, Necessary Endings. A list of library books was made available for optional readings: Emotional Intelligence by Daniel Goleman; Drive by Daniel Pink; 360 Degree Leadership by John Maxwell; Seven Habits of Highly Effective People by Stephen Covey. IMPACT Delray attended seminars and webinars on management topics throughout the year. MENTORING Each mentee in IMPACT Delray was paired with a department head who volunteered to participate in the program. Mentees and mentors received training in developing an effective mentoring relationship, along with a workbook to guide them. Mentees were encourgaged to share their mentoring experiences with each other, which gave others ideas on how to enrich the relationship with their mentors. Mentors also met together periodically as a group to share ideas. COLLABORATION TEAM The IMPACT Delray team members decided to address the issue of employee unity. They saw that employees were often divided into groups that were not given the opportunity to interact with each other. And, solutions to many problems were expected to come from management. Team Delray was created to bring employees together annually to brainstorm ideas and form a committee that would work to implement solutions. Team Delray 2012 has created a “zen garden” for employees to utilized during lunch breaks and they are assisting Human Resources in designing a fitness room in City Hall. “A team is a group of people who may not be equal in experience, talent, or education but in commitment.” – Patricia Fripp VISION Team Delray provides an opportunity for City employees to be heard, to synergize and to break down barriers between departments and employee groups. To create a structure that engages employees in the process of sharing ideas, designing solutions, and taking positive steps toward the goal of unity. Mayor and City Commissioners City Manager & Department Heads SEIU Union Employees City of Delray Beach Civil Service Employees Police and Fire Union Employees • ANNUAL EMPLOYEE ROUNDTABLES 1• WORKING COMMITTEES 2 The current Working Committee of Team Delray coordinates and facilitates the Roundtable sessions. Sessions last no more than 90 minutes. ANNUAL EMPLOYEE ROUNDTABLES Limit of 40 people per session. All full-time, part-time, Civil Service, and union employees are invited, AND ENCOURAGED, to participate. “What do you like about the City?” “What motivates you to do a good job?” “ What would you like to change?” WORKING COMMITTEES Only full-time employees who are in Good Standing may participate on Working Committees. Each Committee selects a Chairperson The Chairperson periodically reports the Committee’s progress to Department Heads. Our First Working Committee! Perks & Incentives Achieved! Employee ZEN GARDEN In progress! Employee Fitness Room **This project is anticipated to be complete by August 2012. Annual Employee Roundtables Working Committees Communication tools Thank you from the I.M.P. A.C.T. Members: Charles Furment, IT Cheryl Hoaglund, Finance Desiree Kazakevicius, Fire Sharon L’Herrou, Police Maria C. Marino-Bollan, Police Scott Pape, Planning & Zoning Nigel Roberts, Community Improvement Tim Simmons, Parks & Recreation Kimberly Wynn, City Clerk’s Office Special Thank You’s to: Dot Bast, Training & Development Manager Rick Caldwell, RCultures, Inc. Bruce Koeser, Human Resources Director David T. Harden, City Manager All of our Mentors MEMORANDUM TO: Mayor and City Commissioners FROM: Tamara Genius, Plan Reviewer Richard C. Hasko, P.E., Environmental Services Director THROUGH: David T. Harden, City Manager DATE: June 8, 2012 SUBJECT: AGENDA ITEM 8.A. -REGULAR COMMISSION MEETING OF JUNE 19, 2012 REQUEST FOR A SIDEWALK DEFERRAL /1205 PALM TRAIL ITEM BEFORE COMMISSION Deferral of sidewalk installation in front of 1205 Palm Trail. BACKGROUND The subject property is a single family residential lot located on the east side of Palm Trail, north of George Bush Boulevard. Refer to attached location map. Currently, there are no plans to install a sidewalk along the east side of Palm Trail in the vicinity of the subject residence; however there is a sidewalk on the west side of Palm Trail. This item was approved by DSMG at the June 7, 2012 meeting. RECOMMENDATION Staff supports approval for a sidewalk deferral. MEMORANDUM TO: Mayor and City Commissioners FROM: Tamara Genius, Plan Reviewer Richard C. Hasko, P.E., Environmental Services Director THROUGH: David T. Harden, City Manager DATE: June 5, 2012 SUBJECT: AGENDA ITEM 8.B. -REGULAR COMMISSION MEETING OF JUNE 19, 2012 REQUEST FOR A SIDEWALK DEFERRAL /960 DOGWOOD DRIVE ITEM BEFORE COMMISSION Deferral of sidewalk installation in front of 960 Dogwood Drive. BACKGROUND The subject property is a single family residential lot located on the south side of Dogwood Drive, east of Boone Drive. Refer to attached location map. Currently, there are no plans to install a sidewalk along the south side of Dogwood Drive in the vicinity of the subject residence. The deferral request was approved by DSMG at the June 14, 2012 meeting. RECOMMENDATION Staff supports approval for sidewalk deferral. MEMORANDUM TO: Mayor and City Commissioners FROM: Tamara Genius, Plan Reviewer Richard C. Hasko, P.E., Environmental Services Director THROUGH: Davis T. Harden, City Manager DATE: June 5, 2012 SUBJECT: AGENDA ITEM 8.C. -REGULAR COMMISSION MEETING OF JUNE 19, 2012 REQUEST FOR SIDEWALK DEFERRAL /926 BANYAN DRIVE ITEM BEFORE COMMISSION Deferral of sidewalk installation in front 926 Banyan Drive. BACKGROUND The subject property is a single family residence located on the south side of Banyan Drive, east of Spanish Trail. Refer to attached location map.Currently, there are no plans to install a sidewalk along the south side of Banyan Drive in the vicinity of the subject residence. The deferral request was approved by DSMG at the June 14, 2012 meeting. RECOMMENDATION Staff supports approval for sidewalk deferral. MEMORANDUM TO: Mayor and City Commissioners FROM: Tamara Genius, Plan Reviewer Richard C. Hasko, P.E., Environmental Services Director THROUGH: David T. Harden, City Manager DATE: June 4, 2012 SUBJECT: AGENDA ITEM 8.D. -REGULAR COMMISSION MEETING OF JUNE 19, 2012 REQUEST FOR SIDEWALK DEFERRAL /936 HYACINTH DRIVE ITEM BEFORE COMMISSION Deferral of sidewalk installation in front of 936 Hyacinth Drive. BACKGROUND The subject property is a single family residential lot located on the south side of Hyacinth Drive, east of Spanish Trail. Refer to attached location map. Currently, there are no plans to install a sidewalk along the south side of Hyacinth Drive in the vicinity of the subject residence. The deferral request was approved by DSMG at the June 14, 2012 meeting. RECOMMENDATION Staff supports approval for a sidewalk deferral. MEMORANDUM TO: Mayor and City Commissioners FROM: Sharon L'Herrou, Administrative Officer Anthony W. Strianese, Chief of Police THROUGH: David T. Harden, City Manager DATE: June 13, 2012 SUBJECT: AGENDA ITEM 8.E. -REGULAR COMMISSION MEETING OF JUNE 19, 2012 LETTER OF SUPPORT-COUNTY JAG FUNDING ALLOCATION ITEM BEFORE COMMISSION The Police Department requests approval for the Mayor to submit a letter in support of the County's recommended allocation of the County JAG funding (Justice Assistance Grant) for FY 12/13. BACKGROUND The Florida Department of Law Enforcement (FDLE) has allocated $358,801 in funding to Palm Beach County. This funding is provided to FDLE from the United States Department of Justice, Annual Justice Assistance Grant (JAG). In order to receive this funding, the units of government within Palm Beach County must provide majority support to the funding distribution and submit a letter so stating. The proposed funding allocations are attached (in the letter of support). The City of Delray Beach expects to have some benefit from the proposed County Wide re-entry services which will be provided. RECOMMENDATION The Police Department recommends approval. MEMORANDUM TO: Mayor and City Commissioners FROM: Paul Dorling, Director of Planning and Zoning DATE: June 13, 2012 SUBJECT: AGENDA ITEM 8.F. -REGULAR COMMISSION MEETING OF JUNE 19, 2012 AGREEMENT/FDEP: BEACH RENOURISHMENT ITEM BEFORE COMMISSION The action requested of City Commission is that of approving the Department of Environmental Protection (DEP), Contract No. 12PB1 between the City and the DEP for the state’s cost sharing of the Beach Renourishment Project. BACKGROUND The DEP Contract No. 12PB1 represents a project agreement between the State and the City of Delray Beach for state cost sharing not to exceed $2,279,537. The contract represents the state’s reimbursement share (50% of the balance) after the federal commitment of 56.33%. This contract will cover the state’s share of reimbursable tasks including preliminary and final engineering leading up to the 2012 fill event, as well as the construction engineering, permit required monitoring, and fill placement. The modifications have been reviewed and approved as to legal sufficiency and form by the City Attorney. RECOMMENDATION By motion, approve DEP Contract No. 12PB1 between the City of Delray Beach and the DEP for the state’s cost sharing of the ongoing Beach Renourishment Project. MEMORANDUM TO: Mayor and City Commissioners FROM: Sharon L'Herrou, Administrative Officer Anthony W. Strianese, Chief of Police THROUGH: David T. Harden, City Manager DATE: June 13, 2012 SUBJECT: AGENDA ITEM 8.G. -REGULAR COMMISSION MEETING OF JUNE 19, 2012 BULLET PROOF VEST GRANT/DEPARTMENT OF JUSTICE ITEM BEFORE COMMISSION The Delray Beach Police Department requests approval to submit an application to the Department of Justice’s Bulletproof Vest Program. The request is for the maximum allowable amount of $33,600 for 48 vests. This program covers 50% of the cost which amounts to $16,800. BACKGROUND The Delray Beach Police Department currently has a Bulletproof Vest Award with the Department of Justice (DOJ). This application represents an opportunity to extend our current award program. Bulletproof vests are necessary life-saving equipment which Law Enforcement Agencies are required to procure. According to the DOJ website, "The Bulletproof Vest Partnership (BVP) is a unique U.S. Department of Justice initiative designed to provide a critical resource to state and local law enforcement." FUNDING SOURCE Matching funding for the City's 50% share of the cost ($16,800) was included in the FY 12/13 Budget request in account number 001-2115-521-52.27. RECOMMENDATION The Police Department recommends approval. MEMORANDUM TO: Mayor and City Commissioners FROM: R. Brian Shutt, City Attorney DATE: June 11, 2012 SUBJECT: AGENDA ITEM 8.H. -REGULAR COMMISSION MEETING OF JUNE 19, 2012 INTERLOCAL AGREEMENT/COMMUNITY REDEVELOPMENT AGENCY ITEM BEFORE COMMISSION The item before the City Commission is an Interlocal Agreement between the City and the CRA for the funding of broadband service (purchase of the radios and related equipment) in the NW/SW neighborhoods. BACKGROUND Attached is the proposed Interlocal Agreement for the funding of the purchase of the radios and related equipment in order to provide free internet access in the NW/SW neighborhoods as part of the digital divide program. The CRA desires to contribute up to $135,000 to the City to be used to fund the purchase of the necessary radios and equipment. RECOMMENDATION Staff recommends approval of the Interlocal Agreement. MEMORANDUM TO: Mayor and City Commissioners FROM: R. Brian Shutt, City Attorney DATE: June 11, 2012 SUBJECT: AGENDA ITEM 8.I. -REGULAR COMMISSION MEETING OF JUNE 19, 2012 SUBLEASE AGREEMENT/CRA/CREAT IVE CITY COLLABORATIVE OF DELRAY BEACH INC. ITEM BEFORE COMMISSION The item before the Commission is approval of a proposed sublease agreement between the CRA and the CCC regarding the Old School Square Parking Garage retail space. BACKGROUND The City has an agreement with the CRA regarding the lease of a portion of the OSS retail space. This lease allows the CRA to sublease the space upon obtaining the City’s permission. The attached sublease provides that it is subject to all of the terms and conditions of the lease agreement between the City and the CRA. RECOMMENDATION Staff recommends approval of the sublease agreement between the CRA and the CCC. MEMORANDUM TO: Mayor and City Commissioners FROM: Victor Majtenyi; Deputy Director of Public Utilities Richard C. Hasko, P.E.; Director of Environmental Services Department THROUGH: David Harden; City Manager DATE: June 5, 2012 SUBJECT: AGENDA ITEM 8.J. -REGULAR COMMISSION MEETING OF JUNE 19, 2012 PAYMENT OF INVOICE/FPL ITEM BEFORE COMMISSION Approve payment to Florida Power and Light in the amount of $37,998.80 for upgrading the electrical service relating to the Lift Station 100A Upgrade project, P/N 2011-041. BACKGROUND Lift Station 100A is located at the northeast corner of Veteran’s Park, northeast of the shuffleboard courts. The station was built in the early 1990’s and has three 30-hp pumps. The station is presently operating on 240 volt/3 phase electric power. On June 5, 2012, City Commission approved the award for the Wastewater Lift Station 100A Upgrade project to Intercounty Engineering, Inc. as the lowest responsive bidder. The scope of work involves construction of a second wet well, purchase and installation of a new standby diesel generator, complete upgrade of the stations electrical service, by-pass pumping, and associated site landscape and fencing upgrades. Associated with the Lift Station’s upgrade is Florida Power and Light’s requirement to upgrade the electrical service to the station. The service will be upgraded from the existing power source to 480 volt/3 phase power source. This source of energy is more efficient and will provide smoother operation of the three new 40-hp pumps. The scope of work consists of installing a new switchgear cabinet, pad mounted transformer, and associated wiring to the power pole. FPL’s cost is $37,998.80. FUNDING SOURCE Funding will be from account 442-5178-536-69.29, Water and Sewer Renewal & Replacement Fund/Lift Station 100A Upgrade, in the amount $37,998.80, after a budget transfer. RECOMMENDATION Staff recommends approval of payment to Florida Power and Light in the amount of $37,998.80 for the new upgraded electric service associated with the Wastewater Lift Station 100A Upgrade project, P/N 2011-041. MEMORANDUM TO: Mayor and City Commissioners FROM: Lula Butler, Director, Community Improvement THROUGH: David Harden -City Manager DATE: June 14, 2012 SUBJECT: AGENDA ITEM 8.K. -REGULAR COMMISSION MEETING OF JUNE 19, 2012 AMENDED AGREEMENT/PBC/DRI3 PROGRAM ITEM BEFORE COMMISSION Approval of the amended Agreement between the City of Delray Beach and Palm Beach County for $613,347 to provide for implementation of the Hurricane Hardening funded under the Disaster Recovery Initiative 3 (DRI3). BACKGROUND On July 14, 2010, the City Commission approved an Agreement with Palm Beach County, Contract Number 08DB-D3-10-60-01-A07 for $800,000, for the purpose under the State of Florida-funded 2005 Disaster Recovery Initiative Program Supplemental Appropriation funds to implement a housing rehabilitation program. This Agreement will reallocate $613,347 from Contract Number 08DB-D3-10-60-01-A07, originally budgeted for housing rehabilitation activity, to Hurricane Hardening of Fire Station #1. This activity entails the repair and hardening of one Emergency Operation facility, which includes removal and replacement of the flat roof, remove existing and install hurricane impact windows, replace perimeter doors and the installation of a new generator. FUNDING SOURCE Disaster Recovery Initiative 118-1960-554-49.19 (Reimbursable Grant) RECOMMENDATION Staff recommends approval of the amended Agreement between the City of Delray Beach and Palm Beach County in the amount of $613,347 for implementation of the Hurricane Hardening activity funded under the Disaster Recovery Initiative 3 (DRI3) program. MEMORANDUM TO: Mayor and City Commissioners FROM: Richard J. Reade, Sustainability Officer/Public Information Officer THROUGH: David T. Harden, City Manager DATE: June 14, 2012 SUBJECT: AGENDA ITEM 8.L. -REGULAR COMMISSION MEETING OF JUNE 19, 2012 MEMORANDUM OF UNDERSTANDING/SOLID WASTE AUTHORITY (SWA)/AMERICAN BEVERAGE ASSOCIATION (ABA) ITEM BEFORE COMMISSION Request the City Commission to authorize the City’s participation in a Pilot Public Space Recycling Program with the American Beverage Association (ABA). BACKGROUND Recently, the City of Delray Beach was presented with an opportunity to participate in a national Pilot Program to assist in documenting current public space recycling practices and to contribute to the development of national policy recommendations to increase this method of recycling. The Pilot Project, which is being conducted by the American Beverage Association (ABA), who is represented by StewardEdge USA, would contribute to the City’s green and sustainable efforts in promoting public and commercial recycling within our community. If approved, the City of Delray Beach would be the first community to enter into this Pilot Program, which will include various other communities within Palm Beach County. Some of the project goals for this Pilot project include: • Measure and improve public space recycling performance • Measure the contamination rate of non-recyclables in the recycling stream pre-and postimplementation • Measure the increased rate of recycling achieved by measuring the pre-and postimplementation recycling rates achieved in each selected host jurisdiction • Create an effective, attractive, and sustainable recycling system for beverage containers generated in the public space for each host jurisdiction • Identify current recycling and disposal behaviors • Integrate the messaging with the communications related to host jurisdiction residential recycling programs • Document capital and operating costs of the pilots • Create opportunities for the public to recycle their beverage containers to reduce the amount of litter • In consultation with relevant authorities from each host jurisdiction, identify and demonstrate the use of functional and aesthetically pleasing recycling receptacles • Increase public awareness of the opportunities and convenience of recycling in the host jurisdictions By participating in this six (6) month Pilot Program, the City will receive, at no charge, 20 or more recycling receptacles that will be located near the City’s beach and in the downtown core. The City will be responsible for the upkeep (i.e., cleaning) of the containers, however, the ABA shall be responsible for any and all repairs and replacement of the containers. At the completion of this Pilot Project, all of the recycling receptacles that are utilized by the City within this Pilot Project will be donated to the City. With regards to the collection of these containers, Waste Management Inc. of Florida has agreed to collect these additional containers and provide all recycling collection data to the project manager at no cost to the City. This agreement will be formally presented to the City Commission as an amendment to the City’s Solid Waste & Recycling Collection Franchise Agreement later this year when the new, proposed collection rates are presented to the Commission. StewardEdge, representing the American Beverage Association, will be responsible for providing all project management and technical assistance throughout the term of the project and the Solid Waste Authority will be responsible for assisting with promoting the pilot recycling program. RECOMMENDATION Recommend the City Commission approve the Memorandum of Understanding with the American Beverage Association and authorize the City to enter into the Pilot Public Space Recycling Program. MEMORANDUM OF UNDERSTANDING The American Beverage Association (ABA) has contracted with StewardEdge USA, Inc. to implement a pilot public space recycling program in Palm Beach County. The Palm Beach County Solid Waste Authority (SWA) has agreed to assist StewardEdge in the identification of up to eight (8) sites within the County for participation in the pilot. The City of Delray Beach (City) has agreed to participate in this pilot program. WHEREAS, all parties desire to participate in this proposed pilot program in order to document and improve recycling performance in public spaces. NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties hereby agree as follows: 1. The Parties agree as follows: Project goals that the American Beverage Association seeks to achieve through this pilot are as follows: • Measure and improve public space recycling performance; • Create an effective, attractive, and sustainable recycling system for beverage containers generated in the public space for each host jurisdiction; • Create opportunities for the public to recycle their beverage containers to reduce the amount of litter; • In consultation with relevant authorities from each host jurisdiction, identify and demonstrate the use of functional and aesthetically pleasing recycling receptacles; • Increase public awareness of the opportunities and convenience of recycling in the host jurisdictions. Specific objectives for this project include to: • Identify current recycling and disposal behaviors; • Assess recycling systems already in place including measurement of baseline volumes of beverage containers being recycled and landfilled from an identified set of public space locations; • Integrate the messaging with the communications related to host jurisdiction residential recycling programs; • Document capital and operating costs of the pilot; • Recommend recycling collection receptacle signage options; • Measure the contamination rate of non-recyclables in the recycling stream postimplementation; • Measure the increased rate of recycling achieved by measuring the pre-and post-implementation recycling rates achieved in each selected host jurisdiction. 2 The role of the American Beverage Association will be to: • Provide at no charge to each participating municipality up to 20 recycling receptacles, mutually selected by the municipality and ABA, but not to exceed $600.00 per receptacle, to be located on municipal property, in locations determined by the municipality and agreed to by ABA, and donated to the municipality upon completion of the pilot; • Provide signage for the recycling receptacles also to be donated to each host municipality prior to commencement of the pilot; • Promote public use of the recycling receptacles. The role of StewardEdge will be to: • Serve as the ABA’s representative in all manners pertaining to the pilot project; • Provide project management and technical assistance for the pilot project; • Perform pre-and post-start waste and recyclables audits; • Share the audit data with each municipality as well as the Palm Beach County SWA; • Prepare a concise final report on overall project results including pre-and postproject recycling results. The role of each host municipality will be to: • Participate in the identification of sites for each recycling receptacle and selection of the receptacles to be provided by the ABA; • Assist with promotion, using available recycling program and other communication channels as appropriate; • Install the recycling receptacles at each site; • Service the receptacles in a timely fashion for the duration of the pilot and provide information to StewardEdge on pounds of materials recycled; • Continue to service the recycling receptacles after the ABA pilot period ends; and • Authorize the ABA to publicize the pilot and associated results so that other jurisdictions can benefit from the key learnings. The City will have an opportunity to review promotion and marketing materials (i.e., press releases, announcements, etc.) prior to distribution. The role of the Palm Beach County Solid Waste Authority will be to: • Assist with obtaining the support and approval of local jurisdictions to participate in the program; • Assist with selecting and siting receptacles in up to eight (8) sites in Palm Beach County; • Provide assistance in transporting waste and recyclable material that will be characterized during the pre-and post-start audit; 3 • Provide a location for the audit sorting work to be performed; • Assist with promoting the pilot recycling program. 2. The Parties understand and agree that the City’s solid waste vendor will collect the recyclable materials and that in the event the vendor is unable and/or unwilling to make these collections, the City’s involvement in this MOU shall then immediately terminate, unless otherwise agreed to by the City. 3. The pilot program will begin only after the City amends it current Franchise Agreement with its waste hauler to ensure that all collections, monitoring, reporting and disposal related to this Pilot program will be completed by the City’s waste hauler. 4. The pilot program will last for approximately six (6) months from the date of receptacles installation. The City is entering into this agreement with the good faith intention of establishing and continuing this public space recycling program. However, the City may terminate its involvement in this MOU with or without cause upon 30 days notice to StewardEdge USA, Inc. If the City terminates its involvement in the program prior to the expiration of the six (6) month period, ABA shall have the right to retain ownership of the recycling containers. 5. For the duration of the pilot program, the ABA shall own the containers and shall be responsible for any and all repairs and replacement of the containers. The City will provide upkeep (i.e., cleaning) of the containers. If the ABA fails to properly repair and replace the containers, as determined by the City, then the City shall have the right to remove the containers without replacement. If the ABA fails to collect the removed container from the City within 10 days after being notified by the City, the City may dispose of the container at its discretion. 6. At the completion of the pilot program, the City may or may not, at its discretion continue to provide public recycling as provided within this program. The City will retain the ownership of all recycling bins donated by the ABA through this Memorandum of Understanding. 7. No party will be liable for, or have any obligation to defend any other parties against claims, suits, judgments or damages, including court costs or attorney’s fees, arising out of the negligent acts of the other party, it being agreed that each party is responsible for its own actions or failure to act. 8. The Laws of the State of Florida shall govern and venue shall be in Palm Beach County. The Parties agree to comply with the terms of this Memorandum of Understanding. 4 Witness: STEWARDEDGE on behalf of ABA ____________________________ By:___________________________ _______________________ Date:__________________________ ATTEST: CITY OF DELRAY BEACH, FLORIDA ______________________________ By:____________________________ City Clerk David T. Harden, City Manager Approved as to Form: Date:__________________________ ______________________________ City Attorney MEMORANDUM TO: Mayor and City Commissioners FROM: Richard J. Reade, Sustainability Officer/Public Information Officer THROUGH: David T. Harden, City Manager DATE: May 11, 2012 SUBJECT: AGENDA ITEM 8.M. -REGULAR COMMISSION MEETING OF JUNE 19, 2012 RESOLUTION NO. 24-12/INTERLOCAL AGREEMENT/THE FLORIDA GREEN FINANCE AUTHORITY/TOWN OF LANTANA/TOWN OF MANGONIA PARK: P.A.C.E. ITEM BEFORE COMMISSION Resolution No. 24-12, authorizing an Interlocal Agreement with the Town of Lantana and the Florida Green Finance Authority to administer and implement a micro-loan program that enables property owners to voluntarily finance energy efficiency improvements to be repaid through a non-ad valorem assessment on their annual property tax bill. BACKGROUND In 2010, the Florida Legislature approved F.S. Section 163.08 authorizingthe creation of Property Assessed Clean Energy (PACE) programs and authorizing local governments in Florida to either form programs individually or in partnership with other local governments, to allow property owners to voluntarily finance the installation of renewable energy, energy efficiency improvements and wind resistance improvements on residential, commercial and industrial buildings. By voluntarily participating in this program, property owners pay an assessment over the functional life of the improvement as an on-going assessment on property tax bills (up to 20 years). PACE is unique because it: * Creates desperately needed local jobs * Uses private capital, not taxes or government subsidies * Saves money for building owners and increases property values * Is voluntary – not a government mandate * Promotes energy security without driving up energy costs * Avoids the need to build costly new power plants * Is transferable to subsequent property owners upon sale The City of Delray Beach has been provided with the opportunity to participate in the “Florida Green Energy Works” PACE program, which was developed by the Town of Lantana with stimulus grant funding that was received by the Greater Lake Worth (now Central Palm Beach) and Greater Boynton Beach Chambers of Commerce. In an effort to provide an administrative entity and to streamline program costs (Cities would not be required to create their own individual PACE programs), the Florida Green Finance Authority was developed by the participating cities. The Authority was formed by Interlocal agreement as a separate legal entity and pursuant to Florida law and will serve as the financing agency, thus there is no obligation for City financing or contributions. Essentially, this program is a voluntary micro-loan program that enables property owners to finance qualified energy conservation improvements within their property(ies) that they may otherwise not be able to afford. After the applicant goes through an approval process and receives financing, they hire their own contractor and complete the project. Following this process, the Palm Beach County Property Appraiser will levy a non-ad valorem assessment on this property to repay the financing through the annual property tax bill. Even though the property owner’s taxes increase from the voluntary non-ad valorem assessment, the end result is that the property owner will realize reduced monthly utility bills that would assist in repaying/offsetting the loan. In addition, all costs are tied to the property, thus, if sold, the non-ad-valorem assessment will continue with the property until all costs are paid. If the City were to participate in this program, there would be a number of expected benefits, including: * Promotes Green and Sustainability within City * Provides long term and safe financing for property owners to develop energy and water efficiency improvements that they may otherwise not be able to afford * Promotes and funds economic development opportunities and activities * Increase jobs * Increase in building and construction permits and fees – higher City revenues * Increase in property valuations and ad-valorem revenues * Increase in Tax Increment Financing (TIF) funding * Reduce environmental impacts (i.e., Greenhouse Gas Emissions) generated within City * No City staff requirement * No cost to the City to participate in the program At this time, due to issues related to residential lending requirements, the proposed PACE program would initially provide funding to commercial properties only. However, residential properties will be eligible to participate in this program once these federal residential lending issues are resolved. By entering into this program, the City would not be required to provide any City staff or funding provided the City remains a member for at least 2 consecutive years. Please note that if the City were to opt out of the program prior to the completion of 2 years, a fee of not more than $17,500 (pro-rated if opt-out occurs during the second year) will be applied. To date, the Florida Green Energy Works includes three (3) local municipalities – the Town of Lantana, the Town of Mangonia Park and the City of West Palm Beach. In addition, a number of local governments within Palm Beach County and around the state are considering a PACE program for their community. Joining this PACE program would assist in stimulating economic activity and serve to meet a core recommendation in developing a comprehensive Economic Development program within the City. In fact, this tool would contribute to the Delray Beach Economic Development Fund and serve as a sustainabililty incentive(s) for new and existing businesses. The Florida Green Energy Works PACE program would enable the City to meet the Green Task Force's recommendation to "Develop Incentives for Green Redevelopment" (2009 Recommendations Report). RECOMMENDATION Recommend that the City Commission approve Resolution No. 24-12 authorizing the City to enter into the Florida Green Energy Works program, which will make PACE financing options available to commercial property owners located in the City of Delray Beach. RESOLUTION NO. 24-12 A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF DELRAY BEACH, FLORIDA, EXPRESSING THE CITY’S SUPPORT AND INTENTION TO CREATE WITHIN THE CITY, THE “FLORIDA GREEN ENERGY WORKS PROGRAM” A VOLUNTARY PROGRAM PROVIDING INTERESTED PROPERTY OWNERS WITH THE OPPORTUNITY TO FINANCE ENERGY EFFICIENCY IMPROVEMENTS ON THEIR PROPERTY BY REPAYMENT THROUGH NON-AD VALOREM ASSESSMENTS ON THEIR PROPERTY TAX BILL; AUTHORIZING THE MAYOR OF DELRAY BEACH TO EXECUTE AN INTERLOCAL AGREEMENT WITH THE FLORIDA GREEN FINANCE AUTHORITY FOR ADMINISTRATION OF THE FLORIDA GREEN ENERGY WORKS PROGRAM IN THE CITY OF DELRAY BEACH; PROVIDING AN EFFECTIVE DATE; AND FOR OTHER PURPOSES. WHEREAS, home and business energy consumption accounts for a large portion of the overall usage of energy in a community; and WHEREAS, there is a vast quantity of existing structures with many years of remaining life before replacement, and these structures are not as energy efficient as today’s standards, nor do many existing buildings have renewable energy systems installed to provide some or all of their electric energy needs and many buildings are in need of improvements to protect them against damage from storm events; and WHEREAS, installing energy efficiency, renewable energy and wind resistance improvements on existing structures can provide significant progress towards increased energy conservation and protection of properties in the City and statewide; and WHEREAS, the upfront costs of these improvements are a hurdle to installing them and existing financing options may be insufficient for property owners to access cost-effective financing for energysaving or wind-resistance property improvements due to requirements associated with traditional debt or equity financing options; and WHEREAS, the expected life of energy efficiency, renewable energy or wind resistance projects may require a longer term payback period than offered by traditional financing, which may necessitate alternative options to fund installation of the improvements; and WHEREAS, local governments within Florida and nationally have either formed, or are contemplating the formation of, programs to provide alternative financing options allowing a property owner to voluntarily finance energy efficiency and renewable energy improvements through non-ad valorem assessments repaid through their property taxes; and 2 RES. NO. 24-12 WHEREAS, the State of Florida has declared it the public policy of the State to develop energy management programs aimed at promoting energy conservation and protecting properties from wind damage; and WHEREAS, the financing provided to these participating property owners will be repaid though non-ad valorem assessments levied on their property tax bills and only those property owners who want to participate will be levied the assessments; and WHEREAS, the benefits of these energy financing programs include improved air quality, lowered fossil fuels use, creating energy independence and security, promoting the creation of jobs and economic development by stimulating “green industries” and saving citizens money by reducing energy consumption; and WHEREAS, Section 163.08, F.S. authorizes local governments in Florida to either form individually, or in partnership with other local governments, programs to allow property owners to voluntarily finance energy efficiency, renewable energy or wind resistance improvements; and WHEREAS, the Town of Lantana has formed the Florida Green Energy Works program which is an energy financing program created pursuant to Section 163.08, F.S.; and WHEREAS, other local governments in the State are able to partner in the Florida Green Energy Works program by executing an Interlocal Agreement creating the Florida Green Finance Authority to administer the program, thus eliminating the costs and reducing the efforts to form an energy financing program by individual local governments; and WHEREAS, the Florida Green Finance Authority is already creating the financing, levy and collection process to implement the Florida Green Energy Works program through the local government partners; and WHEREAS, the Florida Green Energy Works program will provide significant benefits including property owner cost savings, enhancing property values, economic development and job opportunities and the City of Delray Beach believes that it is in the best interests of the health, safety and welfare of its citizens to participate in the program and authorize the City Manager and City Attorney to finalize the Interlocal Agreement creating the Florida Green Finance Authority and begin the steps to create the Florida Green Energy Works program in the City of Delray Beach. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF DELRAY BEACH, FLORIDA, THAT: Section 1. The above declarations are true and accurate, and are incorporated herein. Section 2. The City Commission of Delray Beach, a municipal corporation, hereby authorizes 3 RES. NO. 24-12 participation in the Florida Green Finance Authority to implement the Florida Green Energy Works program. Section 3. The City Commission hereby directs the City Manager and City Attorney to finalize the Interlocal Agreement with the Florida Green Finance Authority, and further authorizes the Mayor of Delray Beach to execute the Interlocal Agreement on behalf of the City. Section 4. The City Commission hereby directs that the City Manager and City Attorney to begin creating the levy and collection process for the voluntary non-ad valorem assessments with the Florida Green Finance Authority and Palm Beach County Property Appraiser and Tax Collector. Section 5. This Resolution shall take effect immediately upon adoption. PASSED AND ADOPTED in regular session on the ___ day of _______________, 2012. _____________________________________ M A Y O R ATTEST: _______________________________ City Clerk 1 INTERLOCAL AGREEMENT BETWEEN THE FLORIDA GREEN FINANCE AUTHORITY, THE TOWN OF LANTANA, AND THE TOWN OF MANGONIA PARK This Interlocal Agreement (the “Agreement”) is entered into between the Town of Lantana, Florida, a Florida municipal corporation ("Lantana") and the Town of Mangonia Park, Florida, a Florida municipal corporation, ("Mangonia Park") (together the “Originating Parties”); and the Florida Green Finance Authority (the “Authority”). RECITALS WHEREAS, Section 163.01, F.S., the “Florida Interlocal Cooperation Act of 1969,” authorizes local government units to enter into interlocal agreements for their mutual benefit; and WHEREAS, the Lantana and Mangonia Park desire to enter into this Interlocal Agreement in order to establish the Florida Green Finance Authority as a means of implementing and financing a qualifying improvements program for energy conservation and efficiency improvements, and to provide additional services consistent with law; and WHEREAS, Section 163.08, F.S., provides that a local government may finance “qualifying improvements,” including the type of improvements sought to be provided through this Agreement, via the levy and collection of voluntary non-ad valorem assessments on improved property; and WHEREAS, Sections 170.01, and 170.201, F.S. provide for supplemental and alternative methods of making local municipal improvements, including the type of “qualifying improvements” sought to be provided by this Agreement; and WHEREAS, pursuant to Sections 163.08, 170.01, and 170.201, F.S. and this Agreement, Lantana has created a “qualifying improvements” program entitled “Florida Green Energy Works”; and WHEREAS, Section 163.01(7), F.S., allows for the creation of a “separate legal or administrative entity” to carry out the purposes of an interlocal agreement for the mutual benefit of the governmental units, and provide for parties to the agreement to administer the agreement; and WHEREAS, pursuant to Section 163.01(4), F.S. a public agency of this state may exercise jointly with any other public agency of the state, any power, privilege or authority which such agencies share in common and which each might exercise separately, and the Parties to this Agreement have legislative authority over property within their jurisdictional boundaries; and 2 WHEREAS, Section 166.021, F.S., authorizes Lantana and any other municipalities to exercise any power for municipal purposes, except when expressly prohibited by law, and Section 125.01 F.S. grants counties the power to carry on county government to the extent not inconsistent with general or special law; and WHEREAS, Section 163.08, F.S., provides that property retrofitted with energy-related “qualifying improvements” receives a special benefit from reduced energy consumption, benefits from the reduced potential for wind damage and assists in the fulfillment of the state’s energy and hurricane mitigation policies; and WHEREAS, the Lantana and Mangonia Park have determined that it is necessary and appropriate to establish various obligations for future cooperation between Lantana, Mangonia Park, the Authority and all other local governments that execute this Interlocal Agreement (each a “Party”) thereby becoming members of the Authority related to the financing of qualifying improvements within the Authority; and WHEREAS, Lantana shall administer this Interlocal Agreement; and WHEREAS, Lantana and Mangonia Park have determined that it shall serve the public interest to enter into this Agreement to make the most efficient use of their powers by enabling them to cooperate on a basis of mutual advantage to provide for the financing of qualifying improvements within the Authority. NOW, THEREFORE, in consideration of the terms and conditions, promises and covenants hereinafter set forth, the Originating Parties agree as follows: Section 1. Recitals Incorporated. The above recitals are true and correct and are hereby incorporated herein. Section 2. Purpose. The purpose of this Agreement is to provide the most economic and efficient means of implementing a financing program for qualifying improvements on property owners’ lands within the Authority’s Service Area and to provide additional services consistent with state law. Section 3. Creation of the Authority. By execution of this Interlocal Agreement there is hereby created, pursuant to Section 163.01, F.S. and Section 163.08, F.S., the Florida Green Finance Authority (“the Authority”), a separate legal entity and public body with all of the powers and privileges as defined herein. Section 4. Legal Authority/Consent to Serve the Authority. The Authority shall have all the powers, privileges and authority as set forth below and as provided by Chapter 163, F.S., as necessary to accomplish the purposes set forth in this Agreement. By resolution of the governing bodies of the Originating Parties, all powers available to the Authority under this Agreement and general law, including but not limited to, Chapters 163, 170, 189 and 197, F.S. may be implemented by the Authority within the jurisdictional boundaries of the Originating Parties. The Originating Parties do hereby consent and agree to levy and collect voluntary non 3 ad valorem assessments on properties, either individually or collectively as permitted by law, within their respective jurisdictions in accordance with the purposes of this Agreement and applicable law, to be repaid to the Authority. The Originating Parties also delegate the power to levy and collect voluntary non-ad valorem assessments on properties within their jurisdictions as may be permitted by law. The Authority shall not act, provide its services or conduct its activities within any Party’s jurisdiction without the execution of this Agreement. Section 5. Definitions. a. “Authority Board” shall be the governing body of the Authority, comprised of representatives from all Parties as defined herein. b. “Florida Green Energy Works Program” is the qualifying improvements program authorized by Section 163.08, F.S., developed by the third party administrator for Lantana and other Parties who elect to participate. c. “Interlocal Agreement” or “Agreement” is defined as this Agreement including any amendments and supplements executed in accordance with the terms herein. d. “Originating Parties” include the Florida local governments (as defined by Section 163.08, F.S.) that are the original signatories to this Agreement. These are the Towns of Lantana and Mangonia Park. e. “Participating Property Owner” is defined as a property owner whose property is located within the Service Area of the Authority and has voluntarily acquired financing from the Authority. f. “Parties” are any Florida local government (as defined by Section 163.08, F. S.) having the power to enter into interlocal agreements and which may, subject to the provisions of this Agreement, join in the efforts and activities provided for by this Agreement pursuant to Section 163.01, F.S. Any local government joining these efforts after the initial execution of this Agreement shall be known as a “Party”. To be a Party, a local government shall execute the Signatory Page attached as Exhibit B to this Agreement, which Signatory Page shall supplement and amend this Agreement. g. “Qualifying Improvements” are as defined in Section 163.08, F.S. in addition to any other improvements or services not inconsistent with state law. h. “Service Area” shall mean the geographic area comprising all of the areas within the Florida Green Finance Authority as that area may be expanded or contracted in accordance with the provisions of this Agreement and the laws of the State of Florida. Section 6. Representation on the Authority Board. The Originating Parties, and all subsequent Parties upon joining the Authority through execution of this Agreement, shall be represented by a member of the Authority Board as provided in Section 10 of this Agreement. Section 7. Authority Boundaries and Service Area. The boundaries of the Authority shall be the legal boundaries of the local governments that are Parties to this Agreement. This is also the Authority’s Service Area. Section 8. Role of the Authority. As contemplated in this Agreement, the Authority will uniformly facilitate and assist the Originating Parties and all subsequent Parties with any 4 necessary actions to levy and collect voluntary non-ad valorem assessments, or other legally authorized form of collection, on the benefitted properties within the Authority’s Service Area to secure the repayment of costs of qualifying improvements for those individual properties participating in the Florida Green Energy Works Program. Upon approval by the Authority of an application by a landowner desiring to benefit their property, those properties receiving financing for Qualifying Improvements shall be assessed from time to time, in accordance with the applicable law and/or financing documents. Notwithstanding a local government’s termination of participation within this Agreement, those properties that have received financing for Qualifying Improvements shall continue to be a part of the Authority, until such time that all outstanding debt has been satisfied and the special assessments shall continue to be levied until paid in full for the applicable benefitted property. Section 9. Powers of the Authority. The Authority shall exercise any or all of the powers granted under Sections 163.01, and 163.08, F.S., as well as powers, privileges or authorities which each local government might exercise separately, as may be amended from time to time, which include, without limitation, the following: a. To finance qualifying improvements within the Authority Service Area and to facilitate additional improvements or services consistent with law; including, but not limited to, acquiring, constructing, managing, maintaining or operating buildings, works or improvements; b. To make and enter into contracts in its own name; c. To enter into any interlocal agreement as necessary to exercise powers conferred by law; d. To appoint committees to assist with implementation of this Agreement; e. To employ agencies, employees, or consultants; f. To acquire, hold, lease or dispose of real or personal property; g. To borrow money, incur debts, liabilities, or obligations which shall not constitute the debts, liabilities, or obligations of the Originating Parties or any of the Parties to this Agreement; h. To levy and collect assessments, or assist in the levy and collection of assessments, either as the Authority or on behalf of an Originating Party or subsequent Party as permitted by law; i. To adopt resolutions and policies prescribing the powers, duties, and functions of the officers of the Authority, the conduct of the business of the Authority, and the maintenance of records and documents of the Authority; j. To maintain an office at such place or places as it may designate within the Service Area of the Authority or within the boundaries of an Originating Party or a subsequent Party; k. To cooperate with or contract with other governmental agencies as may be necessary, convenient, incidental, or proper in connection with any of the powers, duties, or purposes authorized by Section 163.08, F.S., and to accept funding from local and state agencies; l. To exercise all powers necessary, convenient, incidental, or proper in connection with any of the powers, duties, or purposes authorized in Section 163.08, F. S.; m. To create and adopt any and all necessary operating procedures, policies, manuals or bylaws; 5 n. To maintain insurance as the Authority deems appropriate; o. To apply for, request, receive and accept gifts, grants, or assistance funds from any lawful source to support any activity authorized under this Agreement; and p. To exercise any powers or duties necessary to address carbon or renewable energy credits, or any other similar commodity that may come into existence, for the public benefits of the program. Section 10. Authority Board. The Authority shall be governed by a seven (7) member Board of Directors which shall include one Director appointed by the governing body of each Originating Party plus five (5) additional Directors. To assure geographical representation across the State, the Authority seeks to appoint one (1) Director from the boundaries of each of the five (5) water management districts as defined in Chapter 373, F.S. Only Parties, through their governing bodies, may appoint representatives to serve as an Authority Board Director. Originating Party representatives serve an initial four (4) year term commencing upon execution of this Agreement, and subsequent terms as further set forth in subparagraphs a. and b. of this section. The remaining five (5) Directors will each be appointed by the governing body of the first Party from each requisite water management district boundary area that joins the Authority through execution of this Agreement and that desires to serve as a Director. Upon execution of this Agreement by such a Party, the term of its appointed Director shall commence for an initial term of three (3) years, and subsequent terms as further set forth in subparagraphs a. and b. of this section. Thereafter, any Party may submit one nominee to serve as an Authority Board Director for any given term. a. Prior to the appointment of the full Authority Board as set forth above, and for purposes of the first organizational meeting(s), the Authority Board shall be comprised of representatives appointed by the governing bodies of the two (2) Originating Parties. Actions taken in this interim period shall be by unanimous consent and shall be binding on the Authority pursuant to the adoption of resolutions which do not require an in-person meeting, but which must be ratified by a majority vote of the Authority Board Directors in the next regularly scheduled meeting. All actions enumerated in paragraph c. of this section, as well as any other actions necessary to initiate the operation of the Authority may be taken during this interim period. b. The Town Manager of Lantana, or designee, shall serve as the Chair of the Authority Board for the initial four (4) year term. The Mangonia Park representative shall serve as Vice Chair of the Authority Board for the initial four (4) year term. Upon the conclusion of the initial terms as set forth above, the Authority Board shall annually select directors and appoint its Chair, Vice Chair and Secretary, each of which shall then serve one (1) year terms. The appointment of Authority Board Directors and officers shall take place at the first regular Authority meeting of the year. The Chair shall preside at meetings of the Authority, and shall be recognized as head of the Authority for service of process, execution of contracts and other documents as approved by the Authority. The Vice Chair shall act as Chair during the absence or disability of the Chair. The Secretary shall keep all meeting minutes and a record of all proceedings and acts of the Board. Minutes shall be distributed to all Directors and Parties in a reasonable time period after the subject meeting. 6 c. The Authority Board shall act as the governing body of the Authority and shall have, in addition to all other powers and duties described herein, the following powers and duties: 1. To fix the time, and determine policies and orders of business for meetings, the place or places at which its meeting shall be held, and as set forth herein, to call and hold special meetings as may be necessary. 2. To make and pass policies, regulations, resolutions and orders not inconsistent with the Constitution of the United States or of the State of Florida, or the provisions of this Agreement, as may be necessary for the governance and management of the affairs of the Authority, for the execution of the powers, obligations and responsibilities vested in the Authority, and for carrying into effect the provisions of this Agreement. 3. To adopt bylaws and rules of procedure, or amend those that may be initially adopted by the Originating Parties. 4. To fix the location of the principal place of business of the Authority and the location of all offices maintained thereunder. 5. To create any and all necessary offices in addition to Chair, Vice-Chair and Secretary; to establish the powers, duties and compensation of all employees or contractors; and to require and fix the amount of all non-ad valorem assessments and/or fees necessary to operate the Florida Green Energy Works Program. 6. To select and employ such employees and executive officers as the Authority Board deems necessary or desirable, and to set their compensation and duties. 7. To employ or hire such attorneys as it deems appropriate to provide legal advice and/or legal services to the Authority, and to employ and hire such other consultants as it deems appropriate through any procedure not inconsistent with law. 8. As applicable and available, nothing herein shall limit the Authority’s ability to pursue actions or remedies pursuant to Chapter 120, F.S. d. Any Director may resign from service upon providing written notice pursuant to Section 27 of this Agreement, to the Authority Board Secretary. Such notice shall state the date said resignation shall take effect. Any Director who resigns shall be replaced in the same manner that the resigning Director was selected. Any resigning Director shall immediately turn over and deliver to the Authority Board Secretary all records, books, documents or other property in their possession or under their control which belongs to the Authority. Directors are encouraged to provide a minimum of 30 days notice so that a successor can be properly appointed; however, any Director who must resign immediately upon extenuating circumstances shall be succeeded by an interim Director by majority vote of the Authority Board until such time as a permanent successor can be seated. e. Any Authority Board Director who is absent for three (3) consecutive Authority Board meetings, unless otherwise excused by the Chair, shall be deemed to have resigned from the Authority Board. f. Authority Board Directors shall serve without compensation for the first year after the establishment of the Authority pursuant to this Agreement. Thereafter, 7 Authority Board Director compensation may be set by a unanimous vote of the Directors of the Authority Board in a manner and at such amounts as is consistent with applicable law. Travel expenses for Authority Board Directors shall be reimbursed as permitted by Florida law. Section 11. Meetings of the Authority Board. a. Within thirty (30) calendar days of the creation of the Authority, or sooner if feasible, the Originating Parties shall hold an organizational meeting to elect officers and perform other duties as required under this Agreement. b. Prior to the beginning of each fiscal year (October 1), on a date, place and time as determined by the Authority Board, there shall be an Annual Meeting of the Authority. The annual statements shall be presented, and any other such matter as the Authority Board deems appropriate may be considered. c. The Authority Board shall have regular, noticed, quarterly meetings at such times and places as the Authority Board may designate or prescribe. In addition, special meetings may be called, from time to time, by the Authority Board Chair, or by a majority vote of the Authority Board. A minimum of 24 hours notice to the public and all Authority Board Directors shall be given for any special meetings. d. In the absence of specific rules of procedure adopted by the Authority Board for the conduct of its meetings, the fundamental principles of parliamentary procedure shall be relied upon for the orderly conduct of all Authority Board meetings. Section 12. Decisions of the Authority Board. A quorum of the Authority Board shall be required to be present at any meeting in order for official action to be taken by the Board. A majority of all Authority Board Directors shall constitute a quorum. It is the desire and intent of this Agreement that decisions made by the Authority Board shall be by consensus of the Board. However, if a consensus is not achievable in any particular instance, then a majority vote of the quorum of the Authority Board shall be required to adopt any measure or approve any action, unless otherwise provided herein. Section 13. Authority Staff and Attorney. a. The Authority’s administrative functions shall be carried out by Lantana and its consultants, and shall include all duties necessary for the conduct of the Authority’s business and the exercise of the powers of the Authority as provided in Section 163.01 and Section 163.08, F.S. b. The law firm that serves as the General Counsel for Lantana shall also serve as the General Counsel to the Authority. After the Authority has been operating for four (4) years, the Authority may opt to hire different Authority staff and/or general counsel. Section 14. Authorized Official. The Authority Board Chair shall serve as the local official or designee who is authorized to enter into a financing agreement, pursuant to Section 163.08(8), F.S., with property owner(s) who obtain financing through the Authority. 8 Section 15. Subsequent Parties. Recognizing the benefit that the formation of the Authority will provide to all Florida local governments, the Originating Parties to this Agreement support and encourage the participation of subsequent Parties as contemplated herein. Section 16. Funding the Initial Program. Funding for the Authority shall initially be from grant funds or other funds acquired by the Originating Parties and/or subsequent Parties. For the initial establishment of the Authority, contributions can be made to the Authority as permitted by law. Section 17. Debts of the Authority are Not Obligations of any Parties. Pursuant to Section 163.01(7), F.S. the Authority may exercise all powers in connection with the authorization, issuance, and sale of bonds or other legally authorized mechanisms of finance. However, any debts, liabilities, or obligations of the Authority do not constitute debts, liabilities or obligations of the Originating Parties or any subsequent Party to this Agreement. Section 18. Annual Budget. a. Prior to the beginning of the Authority’s fiscal year, the Authority Board will adopt an annual budget. Such budget shall be prepared in the manner and within the time period required for the adoption of a tentative and final budget for state governmental agencies pursuant to general law. The Authority’s annual budget shall contain an estimate of receipts by source and an itemized estimation of expenditures anticipated to be incurred to meet the financial needs and obligations of the Authority. b. The adopted Budget shall be the operating and fiscal guide for the Authority for the ensuing Fiscal Year. c. The Board may from time to time amend the Budget at any duly called regular or special meeting. Section 19. Reports. a. Financial reports: The Authority shall provide financial reports in such form and in such manner as prescribed pursuant to this Agreement and Chapter 218, F.S. Both quarterly and annual financial reports of the Authority shall be completed in accordance with generally accepted Government Auditing Standards by an independent certified public accountant. At a minimum, the quarterly and annual reports shall include a balance sheet, a statement of revenues, expenditures and changes in fund equity and combining statements prepared in accordance with generally accepted accounting principles. b. Operational reports: The Authority Board shall cause to be made at least once every year a comprehensive report of its operations including all matters relating to fees, costs, projects financed and status of all funds and accounts. c. Audits: The Authority shall be subject to, and shall cause to be conducted: (i) an independent budget audit and (ii) an independent financial and/or performance audit performed in accordance with generally accepted accounting practices and as applicable by state law. d. Reports to be public records: All reports, as well as supporting documentation such as, but not limited to, construction, financial, correspondence, instructions, memoranda, bid estimate sheets, proposal documentation, back charge 9 documentation, canceled checks, and other related records produced and maintained by the Authority, its employees and consultants shall be deemed public records pursuant to Chapter 119, F.S., and shall be made available for audit, review or copying by any person upon reasonable notice. Section 20. Bonds. The Authority Board is authorized to provide, from time to time, for the issuance of bonds, or other legally authorized form of finance, to pay all or part of the cost of qualifying improvements in accordance with law. Section 21. Schedule of Rates and Fees. a. Upon the creation of the Authority as set forth in this Agreement, the Authority Board shall establish a schedule of rates, fees or other charges for the purpose of making the Authority a self-sustaining district. There shall not be any obligation on the part of the Originating Parties or any subsequent Parties for financing contributions. The Authority shall not be authorized to create or distribute a profit. This shall not, however, prevent the Authority from establishing reserves for unanticipated expenses or for future projects in keeping with sound, prudent and reasonable operation of the Program within industry standards or from fulfilling any other requirements imposed by bond financings, other financial obligations or law. Nor shall this prevent the Authority from incurring costs such as professional fees and other costs necessary to accomplish its purpose. The Authority Board shall fix the initial schedule of rates, fees or other charges for the use of and the services to operate the Florida Green Energy Works Program to be paid by each participating property owner consistent with Section 163.08(4), F.S. b. The Authority Board may revise the schedule of rates, fees or other charges from time to time; provided however, that such rates, fees or charges shall be so fixed and revised so as to provide sums, which with other funds available for such purposes, shall be sufficient at all times to pay the expenses of operating and maintaining the Florida Green Energy Works Program. This shall include any required reserves for such purposes, the principal of and interest on bonds, or other financing method, as the same shall become due, and to provide a margin of safety over and above the total amount of any such payments, and to comply fully with any covenants contained in the proceedings authorizing the issuance of any bonds or other obligations of the Authority. c. The rates, fees or other charges set pursuant to this section shall be just and equitable and uniform for users and, where appropriate, may be based upon the size and scope of the financial obligation undertaken by a Participating Property Owner. All such rates, fees or charges shall be applied in a non-discretionary manner with respect to the Participating Property Owner’s geographical location within the Authority’s Service Area. No rates, fees or charges shall be fixed or subsequently amended under the foregoing provisions until after a public hearing at which all the potential participants in the Program, and other interested persons, shall have an opportunity to be heard concerning the proposed rates, fees or other charges. Notice of such public hearing setting forth the proposed schedule or schedules of rates, fees or other charges shall be provided in accordance with Chapter 163 and Chapter 197, F.S. 10 d. The Authority shall charge and collect such rates, fees or other charges so fixed or revised, and such rates, fees and other charges shall not be subject to the supervision or regulation by any other commission, board, bureau, agency or other political subdivision or agency of the county or state. e. In the event that any assessed fees, rates or other charges for the services and financing provided by the Authority to Participating Property Owners shall not be paid as and when due, any unpaid balance thereof, and all interest accruing thereon, shall be a lien on any parcel or property affected or improved thereby. Pursuant to Section 163.08(8), F.S., such lien shall constitute a lien of equal dignity to county taxes and assessments from the date of recordation. In the event that any such fee, rate or charge shall not be paid as and when due and shall be in default for thirty (30) days or more, the unpaid balance thereof, and all interest accrued thereon, together with attorney’s fees and costs, may be recovered by the Authority in a civil action, and any such lien and accrued interest may be foreclosed and otherwise enforced by the Authority by action or suit in equity as for the foreclosure of a mortgage on real property. Section 22. Disbursements. Disbursements made on behalf of the Authority shall be made by checks drawn on the accounts of the Authority. Section 23. Procurement; Program Implementation and Administration. The Authority shall be administered and operated by a Third Party Administrator (“TPA”) who shall be responsible for providing services to the Authority for the design, implementation and administration of the Florida Green Energy Works Program. The Originating Parties and all subsequent Parties understand and agree that the procurement for the initial TPA was performed by Lantana in accordance with its adopted procurement procedures. Pursuant to said procurement procedures, “EcoCity Partners, L3C” has been hired as the TPA. The “Florida Green Energy Works Program Administration Services Agreement” between Lantana and EcoCity Partners, L3C is attached hereto as Exhibit 1 and is hereby incorporated by reference. By execution of this Agreement, all parties hereto agree that the initial Florida Green Energy Works Program Administration Services Agreement, as amended, will be assigned by Lantana to the Authority and shall be executed and assumed by the Authority. Section 24. Term. This Interlocal Agreement shall remain in full force and effect from the date of its execution by the Originating Parties until such time as there is unanimous agreement of the Authority Board to dissolve the Authority. Notwithstanding the foregoing, dissolution of the Authority cannot occur unless and until any and all outstanding obligations are repaid; provided, however, that any Party may terminate its involvement and its participation in this Interlocal Agreement upon thirty (30) days' written notice to the other Parties. Should a Party terminate its participation in this Interlocal Agreement, be dissolved, abolished, or otherwise cease to exist, this Interlocal Agreement shall continue until such time as all remaining Parties agree to dissolve the Authority and all special assessments levied upon Participating Property Owners properties have been paid in full. 11 Section 25. Consent. The execution of this Interlocal Agreement, as authorized by the government body of the Originating Parties and any subsequent Party shall be considered the Parties' consent to the creation of the Authority as required by Sections 163.01 and 163.08, F.S. Section 26. Limits of Liability. a. All of the privileges and immunities from liability and exemptions from law, ordinances and rules which apply to municipalities and counties of this state pursuant to Florida law shall equally apply to the Authority. Likewise, all of the privileges and immunities from liability; exemptions from laws, ordinances and rules which apply to the activity of officers, agents, or employees of counties and municipalities of this state pursuant to Florida law shall equally apply to the officers, agents or employees of the Authority. b. The Originating Parties and all subsequent Parties to this Agreement shall each be individually and separately liable and responsible for the actions of their own officers, agents and employees in the performance of their respective obligations under this Agreement pursuant to Chapters 768 and 163, F.S. and any other applicable law. The Parties may not be held jointly or severally liable for the actions of officer or employees of the Authority or by any other action by the Authority or another member of the Authority and the Authority shall be solely liable for the actions of its officers, employees or agents to the extent of the waiver of sovereign immunity or limitation on liability provided by Chapter 768, F.S. Except as may be otherwise specified herein, the Parties shall each individually defend any action or proceeding brought against their respective agency under this Agreement, and they shall be individually responsible for all of their respective costs, attorneys’ fees, expenses and liabilities incurred as a result of any such claims, demands, suits, actions, damages and causes of action, including the investigation or the defense thereof, and from and against any orders, judgments or decrees which may be entered as a result thereof. The Parties shall each individually maintain throughout the term of this Agreement any and all applicable insurance coverage required by Florida law for governmental entities. Such liability is subject to the provisions of law, including the limits included in Section 768.28, F.S., which sets forth the partial waiver of sovereign immunity to which governmental entities are subject. It is expressly understood that this provision shall not be construed as a waiver of any right or defense that the parties have under Section 768.28, F.S. or any other statute. Section 27. Notices. Any notices to be given pursuant to this Interlocal Agreement shall be in writing and shall be deemed to have been given if sent by hand delivery, recognized overnight courier (such as Federal Express), or certified U.S. mail, return receipt requested, addressed to the Party for whom it is intended, at the place specified. The Originating Parties designate the following as the respective places for notice purposes: Lantana: Town Manager Town of Lantana 500 Greynolds Circle Lantana, Florida 33462 12 With a Copy to: Corbett and White, P.A. 1111 Hypoluxo Road, Suite 207 Lantana, FL 33462 Attn: Keith W. Davis, Esq. Mangonia Park: Town Manager Town of Mangonia Park 1755 East Tiffany Drive Mangonia Park, Florida 33407 With a Copy to: Corbett and White, P.A. 1111 Hypoluxo Road, Suite 207 Lantana, FL 33462 Attn: Keith W. Davis, Esq. Section 28. Filing. It is agreed that this Interlocal Agreement shall be filed with the Clerk of the Circuit Court of Palm Beach County, as required by Section 163.01(11), F.S. Section 29. Joint Effort. The preparation of this Interlocal Agreement has been a joint effort of the Parties hereto and the resulting document shall not, as a matter of judicial construction, be construed more severely against any one party as compared to another. Section 30. Execution in Counterparts. This Interlocal Agreement may be executed in counterparts which shall be in original form all of which, collectively, shall comprise the entire Interlocal Agreement. Section 31. Merger, Amendment. This Agreement incorporates and includes all prior negotiations, correspondence, agreements or understandings applicable to the matters contained herein; and the Parties agree that there are no commitments, agreements or understandings concerning the subject matter of this Agreement that are not contained in this document. Accordingly, the Parties agree that no deviation from the terms hereof shall be predicated upon any prior representations or agreements whether oral or written. It is further agreed that no change, amendment, alteration or modification in the terms and conditions contained in this Interlocal Agreement shall be effective unless contained in a written document executed with the same formality and of equal dignity herewith by all Parties to this Interlocal Agreement. Section 32. Assignment. The respective obligations of the Parties set forth in this Interlocal Agreement shall not be assigned, in whole or in part, without the written consent of the other Parties hereto. Section 33. Records. The Parties shall each maintain their own respective records and documents associated with this Interlocal Agreement in accordance with the requirements for records retention set forth in Florida law. 13 Section 34. Compliance with Laws. In the performance of this Agreement, the Parties hereto shall comply in all material respects with all applicable federal and state laws and regulations and all applicable county and municipal ordinances and regulations. Section 35. Governing Law and Venue. This Interlocal Agreement shall be governed, construed and controlled according to the laws of the State of Florida. Venue for any claim, objection or dispute arising out of the terms of this Interlocal Agreement shall be proper exclusively in Palm Beach County, Florida. Section 36. Severability. In the event a portion of this Interlocal Agreement is found by a court of competent jurisdiction to be invalid, the remaining provisions shall continue to be effective to the extent possible. Section 37. Effective Date and Joinder by Authority. This Interlocal Agreement shall become effective upon its execution by the Originating Parties. It is agreed that, upon the formation of the Authority, the Authority shall thereafter join this Interlocal Agreement and that the Authority shall thereafter be deemed a Party to this Interlocal Agreement. Section 38. No Third Party Rights. No provision in this Agreement shall provide to any person that is not a party to this Agreement any remedy, claim, or cause of action, or create any third-party beneficiary rights against any Party to this Agreement. Section 39. Access and Audits. Palm Beach County has established the Office of Inspector General in Article VIII of the Charter of Palm Beach County, as may be amended, which is authorized and empowered to review past, present and proposed county or municipal contracts, transactions, accounts and records. The Inspector General has the power to subpoena witnesses, administer oaths and require the production of records, and audit, investigate, monitor, and inspect the activities of Palm Beach County, its officers, agents, employees, and lobbyists, as well as the activities of all municipalities in the county, and their officers, agents, employees, and lobbyists, in order to ensure compliance with contract requirements and detect corruption and fraud. Failure to cooperate with the Inspector General or interference or impeding any investigation shall be in violation of Chapter 2, Article XIII of the Palm Beach County Code of Ordinances. [Remainder of page intentionally left blank.] 14 IN WITNESS WHEREOF, the Originating Parties hereto have made and executed this Interlocal Agreement on this ____day of ____________________, 2012. ATTEST: Town of Lantana, a municipal corporation of the State of Florida BY:____________________________ BY: ____________________________ Town Clerk Town Manager (Affix Town Seal) Approved by Town Attorney as to form and legal sufficiency _________________________ Town Attorney ATTEST: Town of Mangonia Park, a municipal corporation of the State of Florida BY:____________________________ BY: __________________________ __ Town Clerk Town Manager (Affix Town Seal) Approved by Town Attorney as to form and legal sufficiency _________________________ Town Attorney 15 ATTEST: The Florida Green Finance Authority, a separate legal entity established pursuant to Section 163.01(7), Florida Statutes BY:____________________________ BY: ____________________________ Secretary of the Authority Chair of the Authority Approved by Authority Attorney as to form and legal sufficiency _________________________ Authority Attorney 16 Exhibit A [Third Party Administrator Agreement] 17 Exhibit B Party Membership Agreement To The Florida Green Finance Authority The Interlocal Agreement between the Florida Green Finance Authority, the Town of Lantana and the Town of Mangonia Park (the “Interlocal Agreement”) entered into on __________, 2012 for the purpose of facilitating the financing of qualifying improvements for energy conservation and efficiency via the levy and collection of voluntary non-ad valorem assessments on improved property is hereby supplemented and amended on the date last signed below by this Signatory Party Membership Agreement, which is fully incorporated into the Interlocal Agreement as follows: The Florida Green Finance Authority, together with its member Parties, and the City of Delray Beach, with the intent to be bound thereto, hereby agree that the City of Delray Beach shall become a Party to the Interlocal Agreement together with all of the rights and obligations of Parties to the Interlocal Agreement. The City of Delray Beach hereby agrees to appoint a representative to serve as a member of the Authority. All Parties acknowledge that the remaining five (5) Directors will each be appointed by the governing body of the first Party from each requisite water management district boundary area that joins the Authority through execution of this Agreement and that desires to serve as a Director serving an initial term of three (3) years. The City of Delray Beach designates the following as the respective place for any notices to be given pursuant to the Interlocal Agreement Section 27: Delray Beach: David T. Harden City of Delray Beach 100 NW 1st Avenue Delray Beach, FL 33444 With a Copy to: Corbett and White, P.A. Authority Attorney 1111 Hypoluxo Road, Suite 207 Lantana, FL 33462 Attn: Keith W. Davis, Esq. 18 IN WITNESS WHEREOF, the Parties hereto subscribe their names to this Interlocal Agreement by their duly authorized officers on this ____day of ____________________, 2012. ATTEST: The Florida Green Finance Authority, a separate legal entity established pursuant to Section 163.01(7), Florida Statutes BY:____________________________ BY: ____________________________ Secretary of the Authority Chair of the Authority Approved by Authority Attorney as to form and legal sufficiency _________________________ Authority Attorney ATTEST: City of Delray Beach, a municipal corporation of the State of Florida BY:____________________________ BY: ____________________________ City Clerk Nelson S. McDuffie, Mayor (Affix Town Seal) Approved by City Attorney as to form and legal sufficiency __________________________ City Attorney 224 Datura Street, Suite 211, West Palm Beach, Florida 33401 Attn: Richard J. Reade Sustainability Officer/Public Information Officer City of Delray Beach, Florida June 13, 2012 Dear Mr. Reade: Thank you for Delray Beach’s interest in participating in the Florida Green Energy Works Program (the “Program”). The Program, which is entirely voluntary, facilitates funding for energy and wind-resistance property improvements at little to no upfront cost and at competitive interest rates. The energy savings pays for the costs of the financing with repayment collected automatically through the property tax bill. A hallmark of our Program is that it is “open market.” This means that we allow funding by any lender and installation work by any licensed contractor that the property owner chooses. We view local lenders and community banks as partners in the financings. We require their consent to the project. As a result, project financing will typically be provided by existing mortgage holders as a means of enhancing value of their collateral. PACE is a proven job creator. For every $4M in total spending, PACE can generate $10M in economic output, $1M in tax revenue (federal, state and local) and 60 jobs. The Program design was fully funded with grant dollars secured by the Greater Lake Worth (now Central Palm Beach) and Greater Boynton Beach Chambers of Commerce. To streamline costs, participating cities formed the Florida Green Finance Authority (“Authority”), a separate legal entity that offers the Program on behalf of participating cities. The Authority was formed by interlocal agreement pursuant to Florida law. As a result, the Program does not require any City funding, staff or other resources. All that is required by the City of Delray to access the Program is execution of the Program Interlocal Agreement, which immediately makes PACE financing options available to commercial property owners located in the City of Delray Beach. We appreciate your interest in the Program. If you have any questions, please do not hesitate to contact me at Michael@ecocitypartners.com. Very Truly Yours, Michael Wallander, Program Manager 1 EXHIBIT B List of Qualifying Improvements The following list represents improvements that may be Qualifying Improvements under the Florida Green Energy Works Program. Additional and/or alternative measures may be approved on a case-bycase basis and/or as the list is modified from time to time as may be approved by the Authority or a participating District. Eligible measures are listed below. Ineligible measures include compact fluorescent, screw-in lamps; plug load devices; measures that are not permanently installed and can be easily removed; measures that save energy solely due to operational or behavioral changes; power correction, power conditioning; any measure that does not result in energy savings or renewable energy production; any measure that can not be explained in terms of industry-standard engineering or scientific principles; vending machine controllers; and, refrigerant charge (AC/Split Systems/Heat Pumps). Renewable Energy Improvements System Subsystem Measure Renewable -­‐Thermal Energy DHW Service water Solar thermal water heat HVAC Heating Solar thermal space heat (hydronic) Process Pool Solar pool heat Renewable -­‐Electrical Energy Photovoltaic PV Grid-­‐tied PV System Wind Wind Grid-­‐tied wind turbine Microturbine (Renewable fuel) microturbine using renewable fuel Grid-­‐tied microturbine Internal Combustion Engine (Renewable fuel) internal combustion engine using renewable fuel Grid-­‐tied internal combustion engine Fuel Cell (Renewable fuel) Electric-­‐only fuel cell using renewable fuel Grid-­‐tied fuel cell Non-­‐Renewable -­‐Electrical Energy Fuel Cell (Non-­‐Renewable fuel) Electric-­‐only fuel cell using non-­‐renewable fuel (e.g., natural gas) Grid-­‐tied fuel cell Cogeneration Microturbine (Non-­‐renewable fuel) Microturbine with Cogeneration Grid-­‐tied microturbine with heat exchanger for cogeneration Internal Combustion Engine (Non-­‐renewable fuel) Internal Combustion Engine with Cogeneration Grid-­‐tied internal combustion engine with heat exchanger for cogeneration Fuel Cell (Non-­‐renewable fuel) Fuel Cell with Cogeneration Grid-­‐tied fuel cell with heat exchanger for cogeneration 2 Energy-­‐Efficiency Improvements System Subsystem Measure Water Heater Efficient Unit Replacement Water Heater Domestic Hot Water Pipe Insulation Commercial Kitchen Pre-­‐rinse Spray Valve Commercial Laundry Ozone Laundry System Pumps Efficient Unit Replacement Pumps Trimmed impeller Domestic Hot Water (DHW) Pumps Installing VFD & controls Envelope Doors Reduce Building Infiltration Walls Insulation (Conditioned spaces only) Roof Insulation (Conditioned spaces only) Roof Cool roof surface Roof Green roof installation Windows High Performance Windows Windows Window film installation Lighting Fluorescent Efficiency Improvement Compact Fluorescent Efficiency Improvement Induction Lighting Efficiency Improvement Cold Cathode Lamps Efficiency Improvement HID Efficiency Improvement Bi-­‐Level Fixtures Replace existing lighting in Stairwells and Garages with Bi-­‐level Lighting fixtures Exit Signs Replace existing with LED /LEC exit Sign Exit Signs Replace existing with self-­‐luminescent Interior Lighting Replace existing with Induction or LED Exterior Lighting Replace existing with Induction or LED Street Lighting Replace existing with Induction or LED Daylighting Skylights Controls Demand Response Controls Controls Lighting scheduling controls Controls Daylighting controls Controls Occupancy sensors General Delamping 3 HVAC AC /Split Systems /Heat Pumps Efficient Unit Replacement AHUs Airflow distribution improvements AHUs Economizer (Air or Water-­‐side)-­‐Repair or New Unit Boilers Burner upgrade Boilers Combustion fan VFD Boilers Economizers Boilers Efficient Unit Replacement Boilers Heat recovery Boilers Oxygen trim controls Boilers/Chillers Pipe Insulation Chillers Addition of Water-­‐side economizer Chillers Efficient Unit Replacement Chillers Heat recovery Cooling Tower Installing VFD & controls for fans Cooling Tower Replacement or additional capacity Data Center Air Flow Management Energy Management Controls Cooling tower fan sequencing Energy Management Controls Demand Response Controls Energy Management Controls Improved scheduling capability Energy Management Controls Sensors calibration/optimal relocation Energy Management Controls Retrocomissioning Evaporative Cooling Systems Offset existing mechanical cooling Fans Installing VFD & controls Furnaces Condensing furnaces HVAC System (General) Duct testing and sealing HVAC System (General) Duct testing and sealing HVAC System (General) VAV system conversions HVAC System (General) Radiant Heating /Cooling 4 HVAC System (General) Geothermal HVAC HVAC System (General) Thermal Storage for Load Shifting Steam Heating Install/Replace Steam Traps Labs Reduced ACH Labs VAV fume hoods Motors Efficient Unit Replacement Pumps Efficient Unit Replacement Pumps Trimmed impeller Pumps Installing VFD & controls Ventilation Demand controlled ventilation Ventilation Garage CO controls Refrigeration Refrigerated Cases /Walk-­‐ins Addition of insulation Refrigerated Cases /Walk-­‐ins Anti-­‐sweat heater controls Refrigerated Cases /Walk-­‐ins Auto-­‐closers for cooler/freezer doors Refrigerated Cases /Walk-­‐ins Case-­‐lighting Controls Refrigerated Cases /Walk-­‐ins Defrost Controls Refrigerated Cases /Walk-­‐ins Efficient evaporator fan motors Refrigerated Cases /Walk-­‐ins Efficient Unit Replacement Refrigerated Cases /Walk-­‐ins Evaporator fan controllers Refrigerated Cases /Walk-­‐ins High Efficiency Display Cases Refrigerated Cases /Walk-­‐ins Improved Defrost Controls Refrigerated Cases /Walk-­‐ins Installing doors with low/no anti-­‐sweat heat Refrigerated Cases /Walk-­‐ins Installing Night covers Refrigerated Cases /Walk-­‐ins Replacing Door gaskets Refrigerated Cases /Walk-­‐ins Strip curtains Refrigerated Cases /Walk-­‐ins Suction line insulation Thermal Storage Systems Thermal Storage for Load Shifting Compressors Add VFD and Controls 5 Compressors Added Heat Recovery Compressors Addition of Mechanical Sub-­‐cooling Compressors Efficient Unit Replacement Compressors Floating Head Pressure Controls Compressors Floating Suction Pressure Condensers Efficient Unit Replacement Condensers Evaporative Condensers Condensers Floating Head Pressure Condensers Replace Air Cooled with Evaporative Condenser Controls Retrocommissioning Compressed Air Air Compressors Efficient Unit Replacement Compressed Air Storage Additional compressed air storage Controls Improved compressor sequencing Controls Improved scheduling or controls Process /Plug Loads Boilers Efficient Unit Replacement Boilers Burner upgrade Boilers Combustion fan VFD Boilers Economizers Boilers Heat recovery Boilers Oxygen trim controls Chillers /Cooling Efficient Unit Replacement Air /Water Distribution System Efficiency Improvement Fans Efficient Unit Replacement Fans Installing VFD & controls Industrial Process Equipment scheduling for load reduction Industrial Process Process improvement Motors Efficient Unit Replacement Elevators Hoisting and Standby improvements Pool Add pool cover Pool Efficient Heater Replacement Pool Pump Reduce/Optimize Flow/Configuration Pool Pump Replace Motor 6 Pool Pump Replace Pump Pool Pump Variable Flow Pumps Efficient Unit Replacement Pumps Installing VFD & controls Energy Storage Electric Vehicle Charger Install AC Level 1 and/or 2 charging station, or DC Level 1 EV charging station Electric Vehicle Charger -­‐Fast Charge Install DC Level 2 or 3 EV charging station Wind Resistance Improvements System Subsystem Measure Envelope Doors High impact doors Walls Installing perimeter opening protections Roof Improving the strength of the roof deck and foundation attachment Roof Wind resistant shingles or other roofing material Roof Gable-­‐end bracing Roof Reinforcing roof-­‐to-­‐wall connections Windows Installing storm shutters Windows High impact windows Water Conservation Measures System Subsystem Measure Toilets Efficient Unit Replacement Urinals Efficient Unit Replacement Commercial Kitchen Pre-­‐rinse Spray Valve Domestic Water Use Laundry Systems (Multi-­‐family dwellings) Efficient Unit Replacement Commercial Kitchens Pre-­‐Rinse Valves Efficient Unit Replacement Dishwashers Efficient Unit Replacement Commercial Ice-­‐makers Efficient Unit Replacement 7 Laundry & Laundromats Commercial Laundry Efficient Unit Replacement Commercial Laundry Retrofit with wastewater recovery system Commercial Laundry Ozone Laundry System HVAC Cooling Towers Upgrades to Reduce Bleed-­‐off and Drift Condensers Upgrades to Reduce Bleed-­‐off and Drift Steam Boiloers Upgrades to Reduce Bleed-­‐off Industrial /Process Water Steam Sterilizers /Autoclaves Efficient Unit Replacement Car Wash Operations Water Recycling System Manufacturing Film /X-­‐Ray Processing Manufacturing Food /Beverage Processing Manufacturing Metal Finishing Manufacturing High Tech Manufacturing Landscaping Irrigation system Rain Shutoff device Irrigation System Soil Moisture Sensors Irrigation System Rainwater Harvesting system Irrigation System Greywayter system Irrigation System Blackwater treatment system Florida Green Energy Works – Program Handbook 1 of 32 v. 1.1.2012 Finance Program Handbook Table of Contents OVERVIEW.................................................................................. .............................................................4 INTRODUCTION............................................................................................................................ ...............4 NATURE OF THIS PROGRAM HANDBOOK...................................................................................................4 TYPE OF FINANCING ................................ ...................................................................................................4 SOURCE OF CAPITAL................................................................................. ..................................................4 SECURITY .......................................................................................................................................... ..........5 PROGRAM PROCESS FLOW..........................................................................................................................5 1. ELIGIBLE PROPERTIES..................... ................................................................................................5 2. ELIGIBLE PROPERTY IMPROVEMENTS ................................................................... ...................9 COMMON IMPROVEMENTS ..........................................................................................................................9 CUSTOM IMPROVEMENTS ...........................................................................................................................9 INELIGIBLE IMPROVEMENTS................................................... ...................................................................9 LOADING ORDER RECOMMENDATION...................................................................................................... ..9 RESPONSIBILITY FOR QUALIFYING IMPROVEMENTS.............................................................................. 10 MINIMUM AND MAXIMUM PROJECT FUNDING ................................... .................................................... 10 3. ELIGIBLE CONTRACTORS............................................................................................................. 10 QUALIFIED CONTRACTORS ...................................................................................................................... 10 SELECTING AN ENERGY, WATER OR WIND RESISTANCE EVALUATOR.................................................. 10 SELECTING AN INSTALLATION CONTRACTOR ........................................................................................ . 11 4. ELIGIBLE PROJECT LENDERS...................................................................................................... 11 5. ENERGY, WATER & WIND RESISTANCE EVALUATIONS ..................................................... 12 ENERGY EVALUATIONS............................................................................................................................ 12 WATER EVALUATIONS ............................................................................................................................. 12 WIND RESISTANCE EVALUATIONS ..................... ..................................................................................... 13 PURPOSE AND BENEFITS.......................................................................................... ............................... 13 6. PARTICIPATION IN REBATE/INCENTIVE PROGRAMS........................................................ 13 BENEFITS .................................................. ............................................................................................... 13 PARTICIPATION IS ENCOURAGED BUT NOT REQUIRED........................................................ ................. 13 CONSEQUENCES OF NONPARTICIPATION IN OPTIONAL PROGRAMS...................................................... 14 7. APPLICATION AND APPROVAL PROCESS ............................... ................................................ 14 PROGRAM COSTS/FEES ........................................................................................................................... 14 DEBT SERVICE RESERVE FUND................................................................................................................ 14 Florida Green Energy Works – Program Handbook 2 of 32 v. 1.1.2012 TWO-­STEP APPLICATION PROCESS ....................................................................................................... . 15 STEP 1: SUBMIT AN ELIGIBILITY APPLICATION ..................................................................................... 15 STEP 2: SUBMIT A FINAL APPLICATION............................. ..................................................................... 15 TASKS AND DEADLINES FOR SUBMITTING FINAL APPLICATION ........................................................... 16 FINAL APPLICATION APPROVAL.............................................................................................................. 17 ADDRESSING DSRF UNDERESTIMATES ......................... ......................................................................... 17 8. REQUESTING FUNDING DISBURSEMENT................................................................................ 18 FUNDING DISBURSEMENT TYPES ............................................................................................................ 18 PROGRESS PAYMENTS........................................ ..................................................................................... 19 PROGRAM PARTICIPATION EXPIRATION.............................................................................. .................. 20 9. QUALITY ASSURANCE AND QUALITY CONTROL (QA/QC)................................................. 20 10. MEASUREMENT AND VERIFICATION (M&V)...................................... ................................. 20 11. DESCRIPTION OF BOND/LEGAL DOCUMENTS.................................................................... 21 12. FINANCING COST; INTEREST RATE ........................................................................................ 21 13. IMPORTANT LEGAL TERMS ................................................................................. ..................... 22 REPAYMENT TERMS ................................................................................................................................ 22 ASSESSMENTS .......................................................................................................................................... 22 FORECLOSURE TERMS........................................ ..................................................................................... 23 COMPLIANCE WITH EXISTING MORTGAGES............................................................................ ................ 23 TRANSFER OR RESALE OF THE SUBJECT PROPERTY .............................................................................. 23 REBATES AND TAXES .................................... ........................................................................................... 23 CHANGES IN STATE AND FEDERAL LAW........................................................................ .......................... 23 CHANGES IN THE PROGRAM TERMS; SEVERABILITY.............................................................................. 24 DISCLOSURE OF PROPERTY OWNER INFORMATION .............................................................................. 24 FRAUD.................................................................................................... .................................................. 24 EXCEPTIONS TO THESE TERMS AND PROVISIONS................................................................................... 25 APPENDIX A – FLORIDA GREEN ENERGY WORKS FINANCING PROCESS........................... 26 APPENDIX B – GUIDANCE FOR SELECTING ENERGY EVALUATOR ...................................... 27 OVERVIEW................. .............................................................................................................................. 27 CREDENTIALS/QUALIFICATIONS........................................... .................................................................. 27 RECOMMENDATIONS/QUESTIONS FOR PROSPECTIVE ENERGY AUDITORS .......................................... 27 OTHER TIPS FOR THE BUILDING AUDIT PROCESS ................................................................................. 28 APPENDIX C – ENERGY EVALUATION TYPES .............................................. ............................... 29 OVERVIEW............................................................................................................................................... 29 INDUSTRY STANDARD AUDIT FORMATS................................................................................................. 29 TARGETED AUDIT ................................................. .................................................................................. 29 ASHRAE LEVEL 1, 2, AND 3 AUDITS ................................................................................. .................... 29 MINIMUM DATA REQUIREMENTS............................................................................................................ 31 APPENDIX D – PROGRAM COSTS/FEES ........................................................................................ 32 Florida Green Energy Works – Program Handbook 3 of 32 v. 1.1.2012 [THIS PAGE INTENTIONALLY LEFT BLANK] Florida Green Energy Works – Program Handbook 4 of 32 v. 1.1.2012 Overview Introduction The Town of Lantana, pursuant to a U.S. Department of Energy funded grant issued through the State of Florida, is working with willing city and county partners to create the Florida Green Finance Authority (the “Authority”) as well as the Florida Green Energy Works (“FGEWorks”) financing program (the “Program”). The Authority will administer the Program in order to give commercial, and ultimately, residential property owners access to a new form of financing for the installation of certain energy efficiency, renewable energy, water conservation and wind resistance improvements (“Qualifying Improvements”). The anticipated benefits of completing Qualifying Improvements include reduced operating costs, improved occupant health and comfort, reduced environmental impact, and support for the local economy. The program for commercial property is focus of this Program Handbook. The program will be extended to residential property once issues with the Federal Housing Finance Agency (FHFA) are resolved to allow homes participating in the Program to qualify for mortgages approved by Fannie Mae and Freddie Mac. Nature of this Program Handbook This handbook details the Program Terms governing all Program participants, including property owners and lenders. By submitting an Initial Application, applicants warrant that they have read this handbook in its entirety, and that they understand and agree to the terms set forth herein. Type of Financing FGEWorks is a financing program that is designed to provide property owners with options for retrofitting their properties, which currently include Property Assessed Clean Energy (PACE) as well as PACE3P™ financing options. PACE is an innovative type of secured financing program that provides funding for energy efficiency, renewable energy, water conservation and wind resistance improvements to privately owned buildings. Under FGEWorks, the Authority may sell a PACE bond to a qualified investor, use the proceeds to finance the improvements, and place an assessment lien on the property to secure repayment. The assessment is collected on the property tax bill. Similarly, PACE3P™ is a third-­‐party ownership form of PACE financing where the funds to finance the improvements are brought by Demeter Power Group, Inc., who has responsibility for managing the improvement project for the property owner. Source of Capital FGEWorks is using the “open-­‐market” PACE model in which individual property owners may choose any project lender willing to fund their project. Property owners negotiate specific financing terms, including the interest rate and repayment Florida Green Energy Works – Program Handbook 5 of 32 v. 1.1.2012 term, with their chosen project lender. The Authority uses assessments to repay the project lender. Security The assessment obligation is secured by a lien on the property of equal status with the lien for ad valorem property taxes. The Authority reserves the right to seek to enhance the security of FGEWorks financing by raising and using funds to establish a Debt Service Reserve Fund (DSRF) that will help cover payment to lenders in the event of assessment delinquencies by the property owner. See Chap. 7 “Application and Approval Process” below, for more information on the DSRF. Program Process Flow Appendix A, attached, shows a high-­‐level description of the Program’s process flow from beginning to end. It shows the significant stages for the property owner that applies to the Program, and for the Program in response to property owner submissions (the steps are numbered to illustrate further the flow and interaction) 1. Eligible Properties In order to participate in the Program, a property owner must meet and/or complete the following requirements and steps: a. The property to be improved with Qualifying Improvements (the “subject property”) must be located in within the geographic boundaries of a local government located in Florida that opts into the Program by becoming a member of the Authority (hereinafter an “Energy Improvement District”). b. The subject property must be non-­‐residential property defined as (i) a property the primary use of which is not residential or (ii) a property used for multi-­‐family housing with five or more units. c. The property owner must provide written notice of the proposed senior lien to any and all lenders with existing liens on the subject property, and must obtain the written consent/acknowledgment of existing lenders; the Program will provide templates for this purpose but it is the property owners’ responsibility to obtain the consent/acknowledgement of the lenders. The owner must submit a copy of the lender’s written consent/acknowledgment with the Final Application. d. All owners of fee simple title to the subject property or their legally authorized representatives must sign the Program Documents. Therefore, before submitting an initial application, please ensure that all owners (or their representatives) of the fee simple title to the subject property will agree to participate in the Program on the terms set forth in these Program Terms. Florida Green Energy Works – Program Handbook 6 of 32 v. 1.1.2012 e. The property owner must have a professional energy, water and/or wind resistance evaluation conducted on the property that corresponds to the types of Qualifying Improvements the owner is seeking to finance, and those Qualifying Improvements must appear as identified opportunities or recommendations within the resulting evaluation report. The Program reserves the right on a case-­‐by-­‐case basis to review and approve Qualifying Improvements that do not appear as an identified opportunity or recommendation within the evaluation report. For the initial phase of the Program, the following evaluation and project requirements will apply as outlined below: i. If the property owner wishes to finance energy efficiency improvements, water conservation improvements and/or a renewable energy project through the Program, the owner must obtain an evaluation from a firm with the appropriate skills and experience for non-­‐residential buildings, to complete the appropriate type of evaluation. See the Program Handbook for requirements for participating evaluators and for details about the type of evaluation required. ii. If a renewable energy system is financed, the property owner should also demonstrate that lower-­‐cost and higher value energy efficiency improvements were evaluated that could result in a 10% improvement in building performance, or demonstrate that the building already meets one of a predefined list of efficiency performance requirements as specified in the Program Handbook. iii. If the property owner wishes to finance wind resistance improvement projects only, the owner must obtain a wind resistance improvement evaluation from a firm with the appropriate skills and experience for non-­‐residential buildings, to complete the appropriate type of wind resistance evaluation. The property owner will also receive information regarding energy efficiency and renewable energy at that time but will have no obligation to install such improvements. f. The property owner will be encouraged or required (as described below) to participate in appropriate state and local incentive programs to the extent the subject property is eligible for such programs at the time of application. For example, property owners planning to finance the installation of a solar PV system will be encouraged to seek to participate in the Florida Power & Light photovoltaic (“PV”) rebate program (if available) with respect to the subject property. Property owners will also be encouraged to participate in similar incentive programs for solar thermal (hot water) systems and energy efficiency improvements. Property owners will be encouraged to participate in other utility rebate and incentive programs (if available) that cover the Florida Green Energy Works – Program Handbook 7 of 32 v. 1.1.2012 Qualifying Improvements, but may elect not to do so. See Chapter 6 of this Program Handbook for more detail. g. The financed improvements must be Qualifying Improvements and must be installed by a contract that meets the Program’s qualification criteria (“Qualified Contractors”). See Chap. 2 “Eligible Property Improvements” below. h. The property owners must agree to provide the Authority with access to the property’s utility usage information to enable the Program to monitor energy and/or water savings. The owner must further agree to participate in surveys and Program evaluations directed by the Authority. i. The property owner must use the no-­‐cost ENERGY STAR online energy-­‐use benchmarking service called Portfolio Manager. The Authority may further recommend or require participation in other low-­‐or no-­‐cost energy usage tracking systems so owners have access to the raw data necessary to determine if the installed improvements are delivering the expected energy and cost savings. (Determining whether or not installed improvements are meeting projections is encouraged, but may require additional analysis by professionals and any such additional services would be the responsibility of the owner). See Chapter 10 of this Program Handbook for more detail. j. The property owner must certify that it (and its corporate parent if the property owner is a single-­‐purpose entity) is solvent and that no proceedings are pending or threatened in which the property owner (or the corporate parent, as applicable) may be adjudicated as bankrupt or become the debtor in a bankruptcy proceeding, or discharged from all of the property owner’s (or corporate parent’s, as applicable) debts or obligations, or granted an extension of time to pay the property owner’s (and the corporate parent’s, as applicable) debts or a reorganization or readjustment of the property owner’s (and the corporate parent’s, as applicable) debts. The property owner must also certify that the property owner (or any corporate parent if the property owner is a single-­‐purpose entity) has not filed for or been subject to bankruptcy protection in the past three years. k. The property owner must be current in the payment of all obligations secured by the subject property, including property taxes, assessments and tax liens, within the past 3 years (or since taking title to the subject property if it has been less than 3 years). The Authority may review public records, including the real property records, to verify compliance with this requirement. Certain allowances may be made for property tax payment delays that do not reflect financial distress. Properties that are currently appealing a property tax assessment will be reviewed and eligibility will be determined on a case-­‐by-­‐case basis. Florida Green Energy Works – Program Handbook 8 of 32 v. 1.1.2012 l. There must be no notices of default or foreclosure, whether in effect or released, due to non-­‐payment of property taxes or loan payments filed against the subject property within the last 5 years (or since ownership, if less than 5 years). Exceptions may be granted on a case-­‐by-­‐case basis. m. The property owner must not have any involuntary liens, defaults or judgments applicable to the subject property. The Authority may review public records, including the real property records and court documents, to verify compliance with this requirement. A property owner with an involuntary lien(s) may be allowed to participate in the Program if it can demonstrate an acceptable reason for the lien, default or judgment and a path for resolution along with supporting documentation. A property with an involuntary tenant’s lien will be reviewed and eligibility will be determined on a case-­‐by-­‐case basis. n. The value of the property (based on current assessed value, recent (within 90 days of the Program application) or appraised value determined by an Authority-­‐approved appraiser) plus the value of the Qualifying Improvements financed by the Program must be equal to or greater than the sum of (i) the total private property debt including mortgages and maximum draw amount of any equity lines of credit secured by the property, (ii) the principal amount of any Program indebtedness attributable to the property, and (iii) the aggregate principal amount of any fixed assessment liens or other assessment debt on the property (not including Program assessments). o. The property owner must certify that the property owner is not party to any litigation or administrative proceeding of any nature in which the property owner has been served, or is pending or threatened which, if successful, would materially adversely affect the property owner’s ability to operate its business or pay the assessments when due, or which challenges or questions the validity or enforceability of documents executed by property owner in connection with the Program. p. The Program may involve issuance of bonds by the Authority on behalf of the Energy Improvement District(s). Therefore, it is important that property owners pay their assessments and other property-­‐related obligations in full on a timely basis. Consequently, the Authority reserves the right to request additional information in its sole discretion and to deny applications based on any information that reflects on the likelihood that a property owner may not pay assessments. Florida Green Energy Works – Program Handbook 9 of 32 v. 1.1.2012 2. Eligible Property Improvements In general, in order for property improvements to be eligible for financing through the Program, they must have a useful life of five years or longer or be attached to real property or building and must have the capacity to reduce energy or water usage, generate renewable energy or further wind resistance capabilities for the property. Common Improvements The Program has an extensive list of common energy efficiency (EE), renewable energy (RE), water conservation (WC) and wind resistance (WR) property improvements that are eligible for financing, which can be found in the separate Qualifying Improvements List document organized by these categories. The improvements are further organized into system and subsystem groupings for easier navigation within the list. The list also contains each type of improvement’s estimated effective useful life, performance guidelines, and applicable incentive programs. Custom Improvements The Program will also consider, on a case-­‐by-­‐case basis, other improvements (a.k.a. custom improvements) that do not appear in the Qualifying Improvements List. Such custom improvements will require additional technical review by the Program if they are not covered by an incentive program that approves them, likely at additional cost for the applicant. See Chap 6 “Participation in Rebate/Incentive Programs”, below, more information about incentive programs. Ineligible Improvements Improvements that are not attached to the real property or building and can be easily removed are not eligible for financing through the program (e.g., screw-­‐in fluorescent light bulbs). Any improvement that cannot be explained in terms of industry-­‐standard engineering or scientific principles are also not eligible. See the Ineligible Improvements page of the Qualifying Improvements List for the short list of what qualifies as being ineligible. Loading Order Recommendation Property owners are encouraged, but not required, to apply a loading order when seeking to install eligible on-­‐site renewable energy systems, such as solar photovoltaic (PV) systems. Essentially, a loading order is intended to assure that, before installing a renewable energy system, the property should first evaluate options to reduce its total energy demand – for example, by 10% – by implementing energy efficiency improvements identified in the energy evaluation. Energy efficiency improvements are typically less expensive on a per kWh basis (i.e., cost per kWh saved through efficiency is less than the cost per kWh generated through renewable energy), and decreasing energy demand usually makes it possible to decrease the size (and cost) of the desired Florida Green Energy Works – Program Handbook 10 of 32 v. 1.1.2012 renewable energy system. Consult with the Program Administrator for approaches to the loading order. Responsibility for Qualifying Improvements The Program’s PACE financing option is a financing program only. By establishing the Qualifying Improvements List, the Authority is not recommending nor warranting any particular improvements. Neither the Authority nor the Administrator is responsible for the improvements or their performance. Property owners are solely responsible for the improvements installed on their property. Should there be any unsatisfactory performance or other system-­‐related issues that arise during or after installation, the property owner must address those directly with the responsible contractor according to the terms of the contract between the two parties. The Program’s PACE3P™ option is offered by Demeter Power Group, Inc., and any improvements installed utilizing PACE3P™ shall be governed solely by a separate agreement executed between the property owner and Demeter Power Group, Inc. Neither the Authority nor the Administrator is responsible for the improvements or their performance. Should there be any unsatisfactory performance or other system-­‐related issues that arise during or after a PACE3P™ financed installation, the property owner must address those directly with Demeter Power Group, Inc. according to the terms of the contract between the two parties. Minimum and Maximum Project Funding The Authority requires a minimum funding request of $10,000. The Authority will only authorize funding requests in an amount equal to the final cost of installing the Qualifying Improvements (including the energy evaluation fee) less State, Local and Utility rebates plus the additional items identified in Chap 12 “Financing Cost; Interest Rate”, below. The funding limits are per property per financing request. 3. Eligible Contractors Qualified Contractors There are two primary types of contractors that may participate in the Program: evaluators and installation contractors. Selecting an Energy, Water or Wind Resistance Evaluator The commercial building energy audit market is fragmented, with no universally accepted standards for auditors (referred to in the Program as “evaluators”). Although the Program does not endorse specific contractors or accreditation programs, it has compiled some recommendations for selecting a qualified energy auditor and getting a suitable energy audit conducted on the subject property. See Appendix B – Guidance for Selecting Energy Evaluator and Appendix C – Energy Evaluator Types for more details. Florida Green Energy Works – Program Handbook 11 of 32 v. 1.1.2012 Selecting an Installation Contractor The Qualifying Improvements must be installed by contractors who meet the eligibility criteria set forth for the specific category of work being financed. If you choose to work with a contractor that does not meet eligibility criteria below, you are not eligible for Program financing: • Energy efficiency and water conservation improvements must be installed by licensed contractors. • Solar PV and water heating projects must be installed by licensed contractors. • Wind resistance improvements must be installed by licensed contractors. The Authority may provide lists of contractors who have satisfactorily participated in the Program or received training regarding Program requirements, but the Authority does not warrant the work of any such contractor. The Authority encourages you to do your research and receive bids from multiple contractors before signing a contract. Neither the Authority nor the administrator is responsible for determining the appropriate equipment, price or contractor for your property. By establishing these contractor eligibility criteria, the Authority is not recommending a particular contractor or warranting the reliability of any such installer. The Program is a financing program only. Neither the Authority nor the administrator will participate in the resolution of any dispute between you and your installer or equipment manufacturer. 4. Eligible Project Lenders Lenders must be qualified to purchase a municipal bond as detailed in the Bond Purchase Contract, a sample of which can be provided upon request. Generally, basic qualification criteria includes that the lender is one of the following: a. An “accredited investor” as defined by Rule 501(a) promulgated under the Securities Act of 1933; or b. A “qualified institutional buyer” as defined in Rule 144A under the Securities Act of 1933; or c. A bank, savings institution or insurance company; or d. A certain trust, custodial or similar arrangements conforming with Section 7(iv) of the Sample Bond Purchase Contract. Florida Green Energy Works – Program Handbook 12 of 32 v. 1.1.2012 5. Energy, Water & Wind Resistance Evaluations Energy Evaluations The Program requires properties seeking to finance energy efficiency or renewable energy improvements through the Program to receive an energy evaluation conducted by a professional energy evaluator of the owner’s choice and at the owner’s cost. That auditor must meet Program eligibility requirements (see Chap. 3 ”Eligible Contractors”, above, for or more detail). Note that the cost of the energy evaluation can be included in the financing. The improvements for which the property owner is seeking financing must appear as identified opportunities or recommendations within the resulting evaluation report. The Program reserves the right on a case-­‐by-­‐case basis to review and approve improvements that do not appear as an identified opportunity or recommendation within the evaluation report. The type of energy evaluation that the Program requires the property owner to conduct on its property depends on the number of improvements and total project cost. The Program has organized these into three evaluation tiers for easier reference. See Table 1 below for the resulting evaluation tiers and thresholds. Table 1 – Program Energy Evaluation Tiers Energy Evaluation Tier Evaluation Type # Improvements Project Cost Tier 1 Targeted Audit 1 Any amount Tier 2 ASHRAE Level 1 2 or more Less than $100k Tier 3 ASHRAE Level 2 2 or more Equal to or more than $100k The Targeted evaluation and ASHRAE evaluation types referenced in the above table are fully described within Appendix B-­‐Energy Evaluation Types. Water Evaluations The Program requires properties seeking to finance water conservation improvements through the Program to receive a water evaluation conducted by a professional water evaluator of the owner’s choice and at the owner’s cost. That evaluator must meet Program eligibility requirements (see Chap. 3 ”Eligible Contractors”, above, for or more detail). Note that the cost of the water evaluation can likewise be included in the financing. The improvements for which the property owner is seeking financing must appear as identified opportunities or recommendations within the resulting evaluation report. The Program reserves the right on a case-­‐by-­‐case basis to review and approve improvements that do not appear as an identified opportunity or recommendation within the evaluation report. Florida Green Energy Works – Program Handbook 13 of 32 v. 1.1.2012 Wind Resistance Evaluations Regardless of the types of improvements installed, the Program requires all participants to undergo a wind resistance improvements evaluation through the program. Purpose and Benefits Property owners can use the resulting evaluation report(s) to identify and prioritize building-­‐specifi c energy and wind resistance improvement opportunities and to predict associated cost/energy/water/insurance savings. The Program also uses the evaluation report(s) as a third-­‐party check that the selected improvements for implementation are appropriate for the property and its unique context, thus reducing Program and participant costs. Visit www.citizensfla.com for more detail about insurance benefits of wind resistance improvements. 6. Participation in Rebate/Incentive Programs Depending on the types of improvements that the property owner is including in their financing through the Program, the Program may participation in applicable rebate and/or incentive programs (offered through the State, local utilities, federal, or associated third-­‐party programs). Benefits Rebate and incentive programs reward participants with cash payments or tax credits for implementing improvements that, for example, reduce energy (or water) usage, thus reducing a property owner’s project cost. “Netting out” rebates and incentives reduces the total financing amount that a property owner will request through the Program. Leveraging such existing programs also helps reduce overall program costs by providing credible savings projections, quality control and assurance, and project inspection services at no additional cost that maximize project benefits. Participation Is Encouraged But Not Required Property owners seeking financing through the Program are encouraged, but not required, to participate in certain rebate or incentive programs that are or may be available. Given the benefits associated with such programs (see the section entitle “Benefits”), the Program anticipates that most property owners will elect to participate in all applicable rebate and incentive programs that cover improvements in their projects. The Program strongly encourages such participation, but does not require it in order to give property owners maximum flexibility. Reasons some property owners may choose not to participate in applicable rebate or incentive programs may include: Florida Green Energy Works – Program Handbook 14 of 32 v. 1.1.2012 • The rebate/incentive amount is small compared to the time and effort involved in applying for such. • The rebate/incentive program possibly introduces delays (e.g., for project review, approval, inspections, etc.) that the project cannot accommodate. Consequences of Nonparticipation in Optional Programs Because rebate and incentive programs can act as a third-­‐party check for the Program on the validity of the property owner’s improvements and their likely energy savings, participation in such programs reduces the Program’s costs for project review, verification and quality assurance/control (QA/QC) activities. Therefore, property owners who elect not to participate in such rebate or incentive programs may incur additional fees to cover the Program’s costs in conducting activities normally performed by such programs. The Authority reserves the right to impose these fees, which may vary depending on the type and complexity of improvements included in the project. See Appendix D – Program Costs/Fees for a summary of possible additional fees. 7. Application and Approval Process Program Costs/Fees There are a number of direct and indirect costs and fees associated with the Program. Some of these are mandatory fees, whereas a few are conditional depending on what type of financing is being utilized (PACE or PACE3P™), what improvements are being undertaken, what rebate or incentive programs are being utilized, and what method of property valuation is chosen. Most of these can be included in the financing. See Appendix D – Program Costs/Fees for a breakdown of Program costs and fees. Debt Service Reserve Fund The Authority reserves the right to raise and/or charge fees for use in establishing and funding a Debt Service Reserve Fund (DSRF) for each financing project in order to provide greater security (lower risk) for project lenders. For some lenders, this reduced risk may support the ability to offer better financing rates and terms to property owners participating in the Program. Other lenders may not find the DSRF useful in impacting rates. If the Authority elects to offer a DSRF option and there are sufficient DSRF funds, each project approved by the Program has the option to a standard allocation for a DSRF equal to 10 percent of the total requested financing amount, with a maximum DSRF allocation of $100,000 for any single project (which, at 10 percent, would support up to a $1 million project financing). The Program will consider requests that exceed the $100,000 maximum DSRF allocation on a case-­‐by-­‐case basis, as well as allocations greater than the standard Florida Green Energy Works – Program Handbook 15 of 32 v. 1.1.2012 10 percent. Project lenders may also decline to receive an allocation from the DSRF, if they so choose. Two-­‐Step Application Process The Program’s application process is broken into two steps: 1) Eligibility Application, and 2) Final Application, as detailed below. Applicants must complete both steps in order to be fully approved. Step 1: Submit an Eligibility Application This step is a simple process for property owners to quickly indicate their interest in participation and to submit preliminary details of their proposed project. This gives the Program the ability to promptly ascertain project eligibility as well as give owners the preliminary indication that their property meets program requirements. The Eligibility Application may include a request for an allocation from the Debt Service Reserve Fund, if desired. The Program has developed an Eligibility Application form to be used in completing this step. Items to be submitted with Initial Application: • Eligibility Application Form: filled out completely • Organizational Documents: necessary if property owners is an entity • Title Search Payment: a check for the title search payment made out to the “Florida Green Finance Authority” so the Authority can perform a title search to verify the property meets eligibility requirements. (Note: the title search fee is listed in the current Program Fee Schedule on file with the Authority. The property title search may cost more for more complicated ownership structures or histories, in which case the Program will contact the property owner to provide the associated cost before conducting the search.) The Program will review the completed Initial Application form and related items within fifteen (15) business days and determine if all eligibility requirements are met (incomplete applications will result in a longer review period). Upon approval of the application, the Owner will be conditionally eligible for participation in the Program. Eligibility will remain valid as long as the applicant makes progress toward completing the second step of the application process, according to the Program deadlines for submitting the associated Final Application. Failure to meet Program deadlines (or to obtain extensions to deadlines) for preparation of the Final Application may result in a cancellation of eligibility. Approval of the Final Application will establish ultimate eligibility for funding disbursements. Step 2: Submit a Final Application This step is a more involved process that requires the property owner to complete all related planning and application tasks, including: conducting an energy evaluation (if applicable), obtaining existing mortgage holder acknowledgment /authorization, and finding a project lender. Upon review and approval of the complete Final Application, the Program will issue a reservation for financing (a Florida Green Energy Works – Program Handbook 16 of 32 v. 1.1.2012 “Reservation”), including any necessary adjustments to the reserved allocation from the DSRF (if applicable), based on any refinements that have occurred (since conditional eligibility for participation) to project scope and desired amount to be financed. The Program has developed a Final Application form and other related documents to be used in completing this step. Items to be submitted with Final Application: • Final Application Form: completed and signed by all property owners or their legally authorized representatives • Program Terms: signed by all property owners or their legally authorized representatives • Contractor Bids: copies of contractor bids for the work they will be performing on the project, along with a completed Contractor Coversheet attached to each bid • Property Value Statement Form: completed and signed by all property owners or their legally authorized representatives • Lender Authorization Form: a completed and signed Lender Authorization form from any and all existing mortgage or lien holders on the property • Energy /Water /Wind Resistance Evaluation Reports: copies of the appropriate energy, water and/or wind resistance evaluation reports conducted on the property that contain recommendations for the property improvements for which the property owner is seeking financing • Rebate /Incentive Documents: copies of applications and/or pre-­‐approval letters from rebate/incentive programs from which the project will receive related funding • Application Fee. (Note: the application fee is currently waived) Tasks and Deadlines for Submitting Final Application Related to the items to be submitted with the Final Application, there are three major tasks that must be accomplished between determination of conditional eligibility and submission of the Final Application. Completing these tasks by certain deadlines (or receiving deadline extensions from the Program) is necessary in order to maintain eligibility and also to prepare for submitting the Final Application. The property owner must make progress toward completing these tasks within a certain timeframe relative to when conditional eligibility was approved. Those tasks, and their associated deadlines, are listed in Table 4below. Florida Green Energy Works – Program Handbook 17 of 32 v. 1.1.2012 Table 4 – Tasks & Deadlines for Maintaining Conditional Reservation Task Description Deadline* 1. Evaluation & Final Project Scope If not already conducted, have an appropriate qualifying evaluation conducted on the property by a professional, and determine final project scope and financing amount. Within 90 calendar days of conditional eligibility 2. Lien Holder Approval Obtain written acknowledgment /consent from all existing mortgage or lien holders on the property for participation in the Program. Within 90 calendar days of conditional eligibility 3. Project Lender Identify a project lender that will provide financing for the project. Within 90 calendar days of conditional eligibility Submit Final Application Submit Final Application with all tasks completed and necessary approvals. Within 120 calendar days of conditional eligibility *Exceptions to the above deadlines may be granted on a case-­by-­case basis if the Program determines that the applicant is making good progress toward completing these tasks. Final Application Approval The Program will review the completed Final Application form and related items within ten (10) business days and determine if all eligibility requirements are met (incomplete applications will result in a longer review period). Upon approval of the application, the Owner will be issued a Reservation for participation in the Program. Approval or denial will be based on the eligibility requirements listed within this handbook. Submission of an application does not guarantee that you will be approved for Program participation. If you proceed with installation before notification of a Program approval, you risk incurring the cost of installation without the benefit of Program financing. In addition, a Program approval does not guarantee that you will receive funds. Before you receive funds through the Program, you must satisfy the requirements listed in Chap. 8 “Requesting Funding Disbursement” below. Addressing DSRF Underestimates If the DSRF amount that the applicant originally requested is underestimated (i.e. increases between Initial Application or Final Application steps), the Program may or may not be able to allocate additional funds from the DSRF to cover the difference. There are several options to rectify this, as detailed below: 1. The applicant can contribute funds to the DSRF to cover the gap (and such funds can be added to the total amount financed; if there are never any payment defaults, applicant would get these funds back when financing was paid off). 2. The applicant can adjust the agreement with the project lender for the lender to accept less DSRF coverage (which may result in a change of related interest rate or terms). Florida Green Energy Works – Program Handbook 18 of 32 v. 1.1.2012 3. The applicant can reduce the scope of the project and the associated amount of needed financing such that the original DSRF gives sufficient coverage. 4. The applicant can contribute capital (e.g. internal funds) to reduce the project costs such that the remaining amount being financed is sufficiently covered by the original DSRF estimate. 8. Requesting Funding Disbursement Funding Disbursement Types After a Qualified Contractor has completed installation of the Qualifying Improvements on the subject property or has reached a milestone at which a progress payment is permitted (see “Progress Payments” below), you must submit a funding disbursement request and the Project Verification documents listed below in order to receive funding from the Program. The administrator will review the funding request and the Project Verification documents, and produce Final Program forms. The Final Program forms will be sent to you within five (5) business days after you have submitted a funding request and the Project Verification documents. You must return the executed Final Program forms to the administrator within seven (7) calendar days. The Project Verification documents and Final Program forms are listed below. Project Verification Documents (submitted by you with your funding request) a. A signed final permit inspection from the appropriate City’s Department of Building Inspection for applicable completed projects b. A final invoice from all contractors (or, for progress payment, an invoice stating percentage of work complete; see “Progress Payments” below.) c. A copy of any applicable rebates or incentives. Final Program Forms (to be executed and returned by you within 7 days of receipt from the Authority) a. An executed and notarized Financing Agreement (by all property owners or authorized representatives). By executing the Financing Agreement, you agree to annex the subject property to the Energy Improvement District and to pay assessments in specified amounts for the period specified in the Financing Agreement, consent to recordation of a lien against the subject property, and release the Authority, the participating local government and its administrator from any liability associated with installation of the Qualifying Improvements or their performance. b. Utility Authorization to Release Information. c. Payment Assignment Form, if the payment is to be assigned to the contractor. Florida Green Energy Works – Program Handbook 19 of 32 v. 1.1.2012 When the Authority has received all required documentation from you, it will confirm your compliance with the eligibility requirements (see “Eligibility” above). The timing of when the Authority will record the Financing Agreement and lien as an encumbrance on the subject property is determined on a case-­‐by-­‐case basis according to the terms agreed upon between the Authority, the property owner, and the project lender. The Authority will document the bond or other financing transaction with you and the project lender identified by you, and approve the issuance of bonds or other financing for purchase by the project lender. All funding requests will be deemed final upon submission of the required documentation listed above and may not be subsequently changed. In the event a property owner cancels financing after a request for funding is submitted to the Authority, all expenses incurred by the Authority for recording tax liens, preparing bond or other financing documents and removing tax liens will be the responsibility of the applicant. The Authority will terminate the lien evidenced by recordation of the Financing Agreement upon receipt of reimbursement from the applicant for these expenses. Table 1 – Related Disbursement Request Items to be Submitted Progress Payment: Final Payment: • Applicable permit(s) • Applicable finalized permit(s) • Invoices, cost statements, or equivalent from contractors showing progress • Final invoices, cost statements, or equivalent from contractors • Copies of any applicable rebates or incentives • Copies of any applicable rebates or incentives • Check made out to the Florida Green Finance Authority for progress payment processing* • Receipts, statements, purchase orders, or other evidence of actual cost for items not covered in contractor invoice *Please consult the Authority for amounts listed in the Program Fee Schedule. If the property owner wishes to assign payment directly to the contractor that has performed the work on the project, then the owner must also submit a completed Disbursement Assignment Form to the Program. The Program will review the submitted Disbursement Request and associated items within five (5) business days and, upon approval, issue payment. Progress Payments The Authority will consider making progress payments in certain circumstances on a case-­‐by-­‐case basis. In general, the Authority may agree to make progress payments before the installation of the Qualifying Improvements is complete if certain criteria are met, which may include (i) the amount financed is in excess of a Florida Green Energy Works – Program Handbook 20 of 32 v. 1.1.2012 minimum amount, (ii) the time required to install the Qualifying Improvements exceeds a certain length of time, (iii) the amount of each progress payment is a minimum percentage of the total cost of the Qualifying Improvements to be financed by the Program and (iv) based on a certification of the Qualified Contractor, the percentage of the total amount to be financed that will have been disbursed by the Authority after disbursement of the progress payment will not exceed the percentage of the installation work that has been completed. Program Participation Expiration If the Authority approves your application, your approval will be effective for 360 calendar days. Property owners that receive Program approval must have a Qualified Contractor complete installation of the Qualifying Improvements on the subject property and complete the financing process within this period. If you fail to have a Qualified Contractor complete the installation of Qualifying Improvements on the subject property within the reservation period, your Program approval will expire. You may request to extend your Program approval prior to its expiration for an additional 90 days. However, you will have to pay an extension fee. An applicant may cancel a Program approval in writing during the 360-­day period, but will forfeit the application fee (if applicable) and the opportunity to receive funding under that approval. The applicant may reapply but will not be guaranteed funding availability and will need to pay another application fee. 9. Quality Assurance and Quality Control (QA/QC) In order to ensure that financed property improvements are properly completed and are able to deliver expected savings and benefits, the Program recommends that property owners either participate in existing utility rebate or incentive programs (where available and applicable) that have their own verification/inspection mechanisms, or submit to and pay for other third-­‐party site inspections (service providers may be retained by the Program for this purpose). The Program and/or the partner project lender may require additional inspections if the property owner requests progress payments be made before final payment – also at additional cost. 10. Measurement and Verification (M&V) The Program requires property owners to enroll in the free energy usage tracking and benchmarking service called ENERGY STAR Portfolio Manager which provides access to the data necessary to determine how the installed improvements are performing over time, and how their building is performing relative to its peers. Florida Green Energy Works – Program Handbook 21 of 32 v. 1.1.2012 The Program reserves the right to require property owners to utilize additional data collection tools developed for the Program and to require property owners to grant the Authority access to their ENERGY STAR Portfolio Manager accounts for a period of three years after project completion so that the Authority can analyze project performance and gauge program effectiveness. Information received under this provision shall remain confidential. Property owners and project lenders are encouraged to conduct more detailed performance analysis on their own to ensure continued cost and energy savings. 11. Description of Bond/Legal Documents The following table summarizes the Program’s major legal documents. Table 5 – Major Bond/Legal Documents Document Description Timing Form of Lender Consent Relates to a property owner’s existing mortgage lender/lienholder, whereby that existing lender/lienholder (i) consent to the levy of special assessments and the creation of the assessment lien and (ii) agrees that the proposed assessment lien will not constitute an event of default of trigger the exercise of any remedies under the loan documents in force between the existing lender/lienholder and the property owner. Part of Final Application Submission Form of Financing Agreement Document pursuant to which the property owner agrees to the levy of assessments for purposes of the issuance by the Authority of an assessment bond to a project lender and which is recorded in the real property records to provide notice of a lien securing payment of assessments on the property. Closing Form of Bond Purchase Agreement or other finance agreement A contract between the Authority and the lender, pursuant to which the lender (i) agrees to purchase an assessment bond issued by the Authority and (ii) makes representations and warranties that it is a “qualified investor”. This contract also reflects the basic financing terms agreed between the lender and the property owner. Closing 12. Financing Cost; Interest Rate The following terms are helpful in understanding the Program’s financing structure. Financing Cost. In order to receive funding, you will agree to pay assessments in an amount equal to (i) the principal amount you received through the Program, (ii) interest on the principal amount you received through the Florida Green Energy Works – Program Handbook 22 of 32 v. 1.1.2012 Program and (iii) initial and on-­‐going program expenses summarized in Appendix C. The Authority expects to levy assessments on your property tax bill, although it reserves the right to bill or collect assessments separately. Principal Amount. This is the amount equal to all project costs you choose to finance, which may include costs associated with implementing the project such as permits, evaluation expenses, application fee, an applicable deposit to a debt service reserve fund if required and capitalized interest (see “Capitalized Interest” below). Interest Rate. The rate of interest on the amount of funding you receive will be negotiated between you and the financial institution identified by you. Capitalized Interest. Because of the August 15th deadline for placing the assessments on the property tax bill, the principal component of the assessment may also include the first tax year’s installments if the deadline cannot be met. Deposit to a Debt Service Reserve Fund. A debt service reserve fund (DSRF) may be required by your chosen lender as additional security to participating financial institutions to pay debt service on the bonds in the event of late payments or default by the property owners. The Authority may permit property owners to finance a reasonable deposit to a DSRF, if a DSRF is required by the lender identified by you. Initial and On-­‐going Program Administrative Costs. Program Administrative Costs are built into the total financed amount and the ongoing assessment requirement (which increases the effective interest rate you will pay). The fees for any specific project will be disclosed and agreed to prior to financing. 13. Important Legal Terms Repayment Terms Following recordation of the Financing Agreement, the property owner will be obligated to pay the assessments specified in the Financing Agreement. Assessments A property owner must pay the agreed-­‐upon assessments regardless of personal financial circumstances, the condition of the property, or the performance of the Qualifying Improvements. Do not apply for financing if you are not certain you can pay the assessments. The failure to pay your assessment in full will result in financial repercussions, including penalties, interest and, potentially, foreclosure of your property by the Authority. Florida Green Energy Works – Program Handbook 23 of 32 v. 1.1.2012 Foreclosure Terms If you use an escrow account to pay annual property taxes, you must notify your escrow company of your assessment payments. You will need to increase your monthly payments to the escrow account by an amount equivalent to your annual assessments divided by 12 months. Compliance with Existing Mortgages Recordation of the Financing Agreement will establish a continuing lien as security for your obligation to pay assessments. The lien securing the obligation to pay assessments will be senior to all private liens, including your existing purchase mortgage(s). Many mortgage and loan documents limit the ability of a property owner to place senior liens upon property without the consent of the lender, or authorize the lender to obligate you to prepay the senior obligation. Please confirm with your lender(s) that participation in the Program will not adversely impact your rights with respect to any existing loan documents, or obligate you to prepay your assessments. Property owners must notify the lender in writing and receive written acknowledgment/consent from the lender prior to applying to the Program. The Program will provide lender acknowledgment /consent templates, but responsibility for addressing issues with existing lenders is the property owners’. Transfer or Resale of the Subject Property If you sell your property prior to the end of the agreed-­‐upon assessment period, the new owner will assume the assessment obligation. Ownership of any Qualifying Improvements on the subject property will transfer to the new owner at the close of the real estate sale; Qualifying Improvements financed through the Program may not be removed from the property until the bond issued by the Authority to finance installation of the Qualifying Improvements has been retired. Program participants agree to make all legally required disclosures about the existence of the assessment lien on the property in connection with any sale. Rebates and Taxes Participation in this Program does not reduce rebates available through federal, State or local rebate programs. Please consult with your tax advisors with respect to the State and federal tax implications of participating in the Program. Neither the Authority nor the administrator is responsible for the State or federal tax consequences of participating in the Program. Changes in State and Federal Law The Authority’s ability to issue bonds to finance the Program is subject to a variety of State and federal laws. If those laws or the judicial interpretation thereof were to change after you have applied for funding (and, thereafter, incurred the cost of installation in anticipation of Program funding) but before the Authority issues a Florida Green Energy Works – Program Handbook 24 of 32 v. 1.1.2012 bond to finance your funding request, the Authority may be unable to fulfill your funding request. The Authority shall have no liability as a result of any such change in law or judicial interpretation. Changes in the Program Terms; Severability The Authority reserves the right to change these Program Terms at any time without notice; however, no such change will affect your obligation to pay assessments as set forth in the Financing Agreement. Your participation in the Program will be subject to the Program Terms in effect from time to time during your participation. If any provision of these Program terms is determined to be unlawful, void, or for any reason unenforceable, then that provision shall be deemed severable from these Program terms and shall not affect the validity and enforceability of any remaining provisions. Disclosure of Property Owner Information Property owner agrees that the Authority may disclose its personal/corporate information submitted as part of the Program to the administrator, and that the Authority and the administrator may disclose the property owner’s information to third parties when such disclosure is essential to the conduct of the Authority’s business or to provide services to the property owner, including but not limited to where such disclosure is necessary to (i) comply with the law, legal process or our regulators, and (ii) enable the Authority or the administrator’s employees or consultants to provide services to the property owner and to otherwise perform their duties. The Program will not provide property owner information to third parties beyond the Program administrative team for any telemarketing, e-­‐mail or direct mail solicitation. All property owner information obtained is treated with great care in order to protect privacy and security. You further agree to the release of property owner’s name and contact information and the property’s utility usage data to the Authority, its grantors and its designated contractors for the purpose of conducting surveys and evaluation of the Program. Fraud Giving materially false, misleading or inaccurate information or statements to the Authority or its employees and agents (or failing to provide the Authority with material information) in connection with an application is punishable by law. Material representations include, but are not limited to, representations concerning the project costs, ownership structure and financial information relating to the property and the applicant. Florida Green Energy Works – Program Handbook 25 of 32 v. 1.1.2012 Exceptions to these Terms and Provisions The Program Administrator may make exceptions to the terms and provisions detailed in this handbook where there is a finding that such exception furthers the goals and objectives of the Florida Green Energy Works Program. Consideration of an exception request from a property owner may involve payment of the Application Fee or other fees. Florida Green Energy Works – Program Handbook 26 of 32 v. 1.1.2012 Appendix A – Florida Green Energy Works Financing Process Florida Green Energy Works – Program Handbook 27 of 32 v. 1.1.2012 Appendix B – Guidance for Selecting Energy Evaluator Overview The commercial building energy evaluation and audit market is fragmented, with no universally accepted standards for auditors. Although the Program does not endorse specific contractors or accreditation programs, it has compiled this guidance to serve as suggested minimum requirements that property owners might look for in an energy auditor in the commercial sector. Credentials/Qualifications Although the following credentials and qualifications are not required, the more of these that a service provider’s staff has, the more confident you can be in their knowledge, experience and abilities: • Florida Professional Engineering License (PE) • ASHRAE Building Energy Assessment Professional (BEAP) Certification • Certified Energy Manager (CEM) or Certified Energy Auditor (CEA) from the Association of Energy Engineers (AEE) • Multi-­‐disciplinary competence (lighting, HVAC, refrigeration, appliances) • Years of directly relevant professional experience Recommendations/Questions for Prospective Energy Auditors 1. If seeking a whole-­‐building energy audit, request that the auditor follow the ASHRAE Level 1 and/or 2 audit guidelines. (This is a requirement of the Program for projects that include multiple improvements) a. Ask for a copy of previous ASHRAE Level 1 and 2 audits that they have completed. b. Request and check references for past building energy audit work. 2. Ask about training a. Are they a mechanical engineer? b. A licensed Professional Engineer (PE)? c. A Certified Energy Manager, Certified Energy Auditor, or Certified Lighting Efficiency Professional through the Association of Energy Engineers, or other accredited energy audit training program? 3. Ask about active involvement with relevant professional organizations such as (in alphabetical order): a. Association of Energy Engineers (AEE) b. American Society of Heating Refrigeration and Air-­‐Conditioning Engineers (ASHRAE) c. ENERGY STAR (U.S. E.P.A.) d. Illuminating Engineering Society (IES) e. U.S. Green Building Council (USGBC) 4. Be clear about what you expect as the outcome from the building evaluation report. You may want to specifically ask for some of the following products or services: a. Actionable recommendations Florida Green Energy Works – Program Handbook 28 of 32 v. 1.1.2012 b. Realistic treatment of utility rates and energy cost savings c. Transparent (not black box) analysis d. Guidance to more resources to assist with implementation e. Credible energy and cost savings estimates f. Reasonable cost estimates or vendor bids g. Interactive effects of multiple improvements h. Measurements of existing systems i. Logging of temperatures or base case energy consumption j. Hourly modeling k. Project design specifications l. Construction management services m. Utility incentive/rebate application assistance 5. Talk to your CFO and discuss with your evaluator what type of financial/economic analysis would be most helpful to your decision-­‐making process. Inform the evaluator that the Program has a simple, uniform Energy and Cost Savings Analysis template (an Excel spreadsheet) that the evaluator can use to present the energy and economic data. Other Tips for the Building Audit Process 1. Collect all as-­‐built mechanical, electrical and plumbing (for water audits) plans and specs that you have accessible, and make them available to the auditor. 2. Ask your property manager and building engineer to be present at the building audit. 3. Contact your utility account representative to coordinate incentives for your project. 4. You may want to involve vendors that you typically rely on, or have existing contracts with, such as controls companies, HVAC service companies, or lighting companies. They can provide cost estimates for proposed retrofits. Florida Green Energy Works – Program Handbook 29 of 32 v. 1.1.2012 Appendix C – Energy Evaluation Types Overview This appendix contains a description of four levels of building energy evaluation that are commonly used in the energy efficiency industry. They are intended to help address questions that property owners may face when they decide to undertake an energy efficiency, renewable energy, or water conservation project. Industry Standard Audit Formats While there is no single approach to conducting building evaluations, there are widely accepted industry standard audit formats. Depending on the size of the building, scope of the energy efficiency measure(s), and the complexity of systems, one can specify a Targeted Audit, or American Society of Heating Refrigeration and Air-­‐Conditioning Engineers (ASHRAE) Level 1, 2, or 3 audit. Costs of audits are dependent on these variables as well. Targeted Audit In a Targeted Audit, the analysis need only account for the energy use of the system of concern, rather than the energy use of the whole building. This approach is generally used for larger, single-­‐system projects. For example, this approach may be used for a project to replace only a cooling tower that is part of a building’s chilled water system. In this example, only the chilled water system would be examined in the targeted audit. In addition to reporting the same minimum building and Energy Conservation Measure (ECM) information as above, this approach also includes an estimate of the base case energy use of the targeted system. In the example above, the Targeted Audit should include the base case energy use estimate of the combined cooling tower and chilled water plant. ASHRAE Level 1, 2, and 3 Audits The ASHRAE evaluation summary below lays out basic parameters for performing varying degrees of a whole building audit. For more precise guidelines see the ASHRAE Publication “Procedures for Commercial Building Energy Audits” (available from the ASHRAE online bookstore at http://www.ashrae.org). Level I to III designations are based on increasing level of detail, depth, and cost. Each evaluation level includes an initial, preliminary analysis that compares the building energy use to similar building stock based on the energy use intensity (EUI in kWh/sq ft or kBTU/sq ft). Please see additional descriptions and components of these energy audit types in Table 2, Table 3, and Table 4, below. Florida Green Energy Works – Program Handbook 30 of 32 v. 1.1.2012 Table 2 – ASHRAE Energy Audit Level Descriptions ASHRAE Audit Level Audit Description Level 1 Walk-­through analysis Brief review of building systems with primarily qualitative results. Level 2 Energy Survey and Engineering Analysis Includes identification of energy efficiency improvements with estimates of energy and cost savings for capital projects. Level 3 Detailed Analysis of Capital-­intensive Modifications Includes more detailed calculations based on monitored end use data or hourly building simulations. Also includes more detailed project specifications for retrofits. Table 3 – ASHRAE Energy Audit Activities Audit Level Audit Activity 1 2 3 Walk-­‐through survey    Identify low-­‐cost/no-­‐cost recommendations    Identify capital improvements    Review mech. & elec. design, condition and O&M practices   Measure/Monitor key parameters   Analyze capital improvements (savings & costs inc. interaction)   Additional testing/monitoring  Detailed system modeling  Schematic layouts for recommendations  Meet with owner to review recommendations   Table 4 – ASHRAE Energy Audit Report Components Audit Level Audit Report Component 1 2 3 Estimate savings from utility rate change    Compare energy use intensity (EUI) to similar sites    Summarize utility data    Estimate savings if EUI met target    Preliminary end-­‐use breakdown    Detailed end-­‐use breakdown   Estimate low-­‐cost /no-­‐cost savings    Estimate capital project costs, savings   Complete bldg description & equipment inventory   Detailed description of recommendations   Recommended monitoring & verification (M&V) method   Specifications and schematics of all recommendations  Florida Green Energy Works – Program Handbook 31 of 32 v. 1.1.2012 Minimum Data Requirements For all projects, regardless of size or audit type, the energy analysis or evaluation report should, at a minimum, provide the following key parameters in an easy-­‐to-­‐identify summary table. Note: Some of these requirements are included in a Level I Energy Evaluation while others augment the requirements in a Level 1 Evaluation. For the building overall: • Description of the Project and facilities affected by the Project • The square footage for conditioned space by space type (e.g. office, retail, industrial, schools, hospital, high tech, etc) • The historical annual energy consumption by fuel type (e.g. electricity kWh, natural gas therms) for at least one year • The historical annual energy cost by fuel type • The applicable utility rate schedule(s) For each proposed Energy Conservation Measure (ECM): • Measure description (including specifications, as appropriate) • Estimated annual energy consumption savings (e.g. kWh, therms, kBTU) based on specific application (not manufacturer’s generic, average estimate) • Estimated peak demand savings (kW) • Estimated operations and maintenance savings (if applicable) • Estimated measure utility cost savings • Estimated measure cost • Calculated measure simple pay back • Measure Equipment Useful Lifetime (from approved measure list if available) Florida Green Energy Works – Program Handbook 32 of 32 v. 1.1.2012 Appendix D – Program Costs/Fees This appendix contains a summary of the direct and indirect program costs and fees. Some of these are mandatory fees, whereas a few are conditional depending on what improvements are being undertaken, what rebate or incentive programs are being utilized, and what method of property valuation is chosen. Most of these can be included in the financing. << See attached Program Fee Schedule Tables >> Financing Energy-Saving Improvements Through The Florida Green Energy Works PACE Financing Program Who we are -Local governments: -Lantana, Mangonia Park and City of West Palm Beach -Chambers: -Greater Boynton Beach Chamber of Commerce -Central Palm Beach Chamber of Commerce (includes Lake Worth) -EcoChamber Who we are Our Program Two components: • Green Business Certification Program • Voluntary Financing for Energy Saving Improvements What is PACE? • Property Assessed Clean Energy • Voluntary low cost energy financing program • Administered through an Interlocal Authority (the Florida Green Financing Authority) • Funds are provided to complete energy efficiency, renewable energy, water efficiency and wind resistance projects • Repayment is through property tax bill over terms up to 20 years Why do it? • Wasted energy means wasted money. • Avoid large upfront costs. Pay over time. • Reduce operating costs. Benefits both owners and tenants. • Major “green” points! PACE Benefits • Long term and safe financing for property owners to develop energy and water efficiency improvements Economic development: • Puts construction sector to work • Increases property’s value, promotes economic development opportunities and activity (can increase in TIF funding with • Promotes Green initiatives and Sustainability within City • Reduces environmental impacts within City (commercial sector greenhouse gas emissions) property value increases) • Increase in building and construction permits and fees, • EcoNorthwest Study (April 2011) for every $1Million in spending = $10Million in gross economic output + $1Million in tax revenue + 60 jobs PACE Status in Florida • Additional municipalities and counties are presently moving on PACE. • Numerous local governments across the state are actively evaluating options (Panhandle to the Keys) Florida Green Finance Authority • By executing the Interlocal Agreement, Delray Beach gives property owners access to PACE financing • Lantana & Mangonia Park created the Florida Green Finance Authority pursuant to Section 163.01 & 163.08, Florida Statutes (WPB signed on 6/11) • Contemplated by grant • Administer the Program • Insulates underlying local governments from risk • No cost to join the Authority, but should the City withdraw from the Authority within the first two years, there is an opt-out fee of up to $17,500 to cover the up-front legal and other costs of establishing the Authority. Role of the Authority • Authority’s role is administrative: • Bears program costs for participating governments • Market the Program • Approve projects for financing • Match property owners with investors • Manage levy and collection process with property appraiser and tax collector • Assure investors receive repayment • Inviting partnership with cities and counties to opt in by standard Interlocal Agreement Eligible Properties • Commercial properties (not residential) Office Hotel Retail Multifamily housing Restaurant Churches and private schools • Located in a participating jurisdiction Lantana Mangonia Park More soon… Eligible Improvements Dozens of eligible technologies Goal: Reduce total energy costs by 20% • Energy efficiency Windows, doors Refrigeration Insulation Elevators Roofing Pool pumps and heaters Eligible Improvements • Renewable energy Solar photovoltaic Wind turbines • Water Efficiency Irrigation systems Restaurant equipment Toilets • Wind Resistance Roof deck /bracing Building envelope upgrades High impact windows and doors Financing Amounts Steps • Only property owners who want to participate complete initial application & eligibility review • Energy or water or wind-resistance improvement review (owner responsibility) • FGEW underwriting • Line up funds and obtain lender consent • Execute documents (financing agreement) • Complete project and receive funds Steps • Repayment of financing agreement is through voluntary non-ad valorem assessments on annual property tax bill • If property is sold, assessment remains in place through the remaining term of the financing agreement. Simple online application Keys to Success • Only those who want to participate received financing and are assessed • Projects must generate sufficient savings to pay for the improvements, • Projects that are good candidates for financing will be cash flow positive in year 1 (cost savings are greater than payments on the assessment) and • Owner remains eligible for other rebates and incentives. Sample Project Financing Property: 40,000 sq ft grocery Energy Usage: 2,000,000 kWh /yr Annual Energy Costs: $250,000 per yr Cost of Improvements: $100,000 (HVAC, LED lighting, insulation) Sample Financing Financed amount: $108,895 (includes closing costs; interest is capitalized) Interest: 7% Term: 10 years Annual payment: $15,984 Energy savings (20%): $50,000 NET SAVINGS: $34,016 /year * Additional rebates and depreciation may also be available. Contractors • Simple application to become a registered contractor for the program • Receive leads for qualified applicants • Contractors responsible for negotiating deals directly with owners Landlords and Tenants • Owners and tenants need to cooperate to achieve positive outcome for both • Where tenant pays utilities and taxes are passed through, tenant will pay cost of financing and get the benefit of savings • For gross leases, landlord pays financing cost and realizes savings on utility bills • Sample lease amendment language available Banks • Mortgage holder’s consent is required • PACE projects make existing buildings into better collateral and improve the cash flow of borrowers • Existing lenders are invited to extend credit with the additional collateral of a PACE assessment lien Thank You! Any questions? Florida Green Energy Works Program (855) FL-WORKS www.FloridaGreenEnergyWorks.com c/o: Florida Green Finance Authority info@flgfa.org MEMORANDUM TO: Mayor and City Commissioners FROM: David T. Harden, City Manager DATE: June 15, 2012 SUBJECT: AGENDA ITEM 8.N. -REGULAR COMMISSION MEETING OF JUNE 19, 2012 RESOLUTION NO. 28-12 ITEM BEFORE COMMISSION This is a resolution assessing costs for abatement action required to remove nuisances on 24 properties throughout the City. BACKGROUND The resolution sets forth the actual costs incurred and provides the mechanisim to attach liens against the properties if the assessments remain unpaid. RECOMMENDATION Recommend approval of Resolution No. 28-12. RESOLUTION NO. 28-12 A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF DELRAY BEACH, FLORIDA, PURSUANT TO CHAPTER 100 OF THE CODE OF ORDINANCES OF THE CITY OF DELRAY BEACH, ASSESSING COSTS FOR ABATING NUISANCES UPON CERTAIN LAND(S) LOCATED WITHIN THE CITY OF DELRAY BEACH AND PROVIDING THAT A NOTICE OF LIEN SHALL ACCOMPANY THE NOTICE OF ASSESSMENT; SETTING OUT ACTUAL COSTS INCURRED BY THE CITY TO ACCOMPLISH SUCH ABATEMENT AND LEVYING THE COST OF SUCH ABATEMENT OF NUISANCES; PROVIDING FOR AN EFFECTIVE DATE AND FOR A DUE DATE AND INTEREST ON ASSESSMENTS; PROVIDING FOR THE RECORDING OF THIS RESOLUTION, AND DECLARING SAID LEVY TO BE A LIEN UPON THE SUBJECT PROPERTY FOR UNPAID ASSESSMENTS. WHEREAS, the City Manager or his designated representative has, pursuant to Chapter 100 of the Code of Ordinances, declared the existence of a nuisance upon certain lots or parcels of land, described in the list attached hereto and made a part hereof, for violation of the provisions of Chapter 100 of the Code of Ordinances; and, WHEREAS, pursuant to Section 100.21 and 100.22 of the Code of Ordinances of the City of Delray Beach, the City Manager or his designated representative has inspected said land(s) and has determined that a nuisance existed in accordance with the standards set forth in Chapter 100 of the Code of Ordinances, and did furnish the respective owner(s) of the land(s) described in the attached list with written notice of public nuisance pursuant to Sections 100.21 and 100.22 of the Code of Ordinances describing the nature of the nuisance(s) and sent notice that within seven (7) days from the date of said notice (forty-two (42) days in the case of violation of Section 100.04 pertaining to seawalls) they must abate said nuisance, or file a written request for a hearing to review the decision that a nuisance existed within five (5) days from the date of delivery of said notice, failing which the City of Delray Beach would proceed to correct this condition by abating such nuisance, and that the cost thereof would be levied as an assessment against said property; and, WHEREAS, the property owner(s) named in the list attached hereto and made a part hereof did fail and neglect to abate the nuisance(s) existing upon their respective lands or to properly request a hearing pursuant to Section 100.21 and 100.22 within the time limits prescribed in said notice and Chapter 100 of the Code of Ordinances, or if the property owner(s) did request and receive a hearing, said property owner(s) failed and/or neglected to abate such nuisance(s) within the time designated at the hearing wherein a decision was rendered adverse to the property owner(s); and, 2 Res. No. 28-12 WHEREAS, the City of Delray Beach, through the City Administration or such agents or contractors hired by the City Administration was therefore required to and did enter upon the land(s) described in the list attached and made a part hereof and incurred costs in abating the subject nuisance(s) existing thereon as described in the notice; and, WHEREAS, the City Manager of the City of Delray Beach has, pursuant to Chapter 100 of the Code of Ordinances of the City of Delray Beach, submitted to the City Commission a report of the costs incurred in abating said nuisance(s) as aforesaid, said report indicating the costs per parcel of land involved; and, WHEREAS, the City Commission of the City of Delray Beach, pursuant to Chapter 100 of the Code of Ordinances desires to assess the cost of said nuisance(s) against said property owner(s), NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF DELRAY BEACH, FLORIDA, AS FOLLOWS: Section 1. That assessments in the individual amounts as shown by the report of the City Manager of the City of Delray Beach, involving the City's cost of abating the aforesaid nuisances upon the lots or parcels of land described in said report, a copy of which is attached hereto and made a part hereof, are hereby levied against the parcel(s) of land described in said report and in the amount(s) indicated thereon. Said assessments so levied shall, if not paid within thirty (30) days after mailing of the notice described in Sec. 3, become a lien upon the respective lots and parcel(s) of land described in said report, of the same nature and to the same extent as the lien for general city taxes and shall be collectible in the same manner as mortgages and foreclosures are under state law. Section 2. That such assessments shall be legal, valid and binding obligations upon the property against which said assessments are levied. Section 3. That the City Clerk of the City of Delray Beach is hereby directed to immediately mail by first class mail to the owner(s) of the property, as such ownership appears upon the records of the County Tax Assessor, notice(s) that the City Commission of the City of Delray Beach at the June 19, 2012 meeting has levied an assessment against said property for the cost of abatement of said nuisance by the City, and that said assessment is due and payable within thirty (30) days after the mailing date of said notice of assessment, after which a lien shall be placed on said property, and interest will accrue at the rate of 8% per annum, plus reasonable attorney's fees and other costs of collecting said sums. A Notice of Lien shall be mailed, along with the Notice of Assessment and this resolution. Section 4. That this resolution shall become effective thirty (30) days from the date of adoption and the assessment(s) contained herein shall become due and payable thirty (30) days after the mailing date of the notice of said assessment(s), after which a lien shall be placed on said 3 Res. No. 28-12 property(s), and interest shall accrue at the rate of eight (8) percent per annum plus, if collection proceedings are necessary, the costs of such proceedings including a reasonable attorney's fee. Section 5. That in the event that payment has not been received by the City Clerk within thirty (30) days after the mailing date of the notice of assessment, the City Clerk is hereby directed to record a certified copy of this resolution in the public records of Palm Beach County, Florida, and upon the date and time of recording of the certified copy of this resolution a lien shall become effective on the subject property which shall secure the cost of abatement, interest at the rate of 8%, and collection costs including a reasonable attorney's fee. PASSED AND ADOPTED in regular session on this 19th day of June, 2012. ________________________________________ M A Y O R ATTEST: ____________________________________ City Clerk This instrument was prepared by: Brian Shutt, City Attorney 200 N.W. 1st Avenue Delray Beach, Florida 33444 COST OF ABATING NUISANCES UNDER CHAPTER 100 OF THE CODE OF ORDINANCE PROPERTY DESCRIPTION OWNER 7 SW 9TH STREET BELLVIEW COURT LOT 1 PCN 12 43 46 20 15 000 0010 CASE NO. NA12-23921 Laurent Gillot 4214 NW 1st Place Deerfield Beach, FL 33442 $ 140.00 Invoice No. 37733 $ 55.00 Admin Fee $ 195.00 VAC LOT N OF 2955 FLORIDA BLVD TROPIC ISLE 3RD SECTION LOTS 411 & 412 PCN 12 43 46 28 03 000 4110 CASE NO. RN11-22746 Katharine D. Martens 589 Deerfield Drive Melbourne, FL 32940 $ 189.50 Invoice No. 37732 $ 55.00 Admin Fee $ 244.50 322 SW 5TH AVENUE TOWN OF DELRAY N 50 FT OF S 356.4 FT OF E 135 FT OF BLOCK 24 PCN 12 43 46 16 01 024 0040 CASE NO. NA12-23862 Maurice and Patricia Lord 8454 NW 14th Street Coral Springs, FL 33071 $ 100.00 Invoice No. 37734 $ 55.00 Admin Fee $ 155.00 413 SW 15TH AVENUE CARVER PARK LOT 10 BLOCK 3 PCN 12 43 46 17 41 003 0100 CASE NO. RN11-21642 Lizzie McDowell 413 SW 15th Avenue Delray Beach, FL 33444 $ 102.70 Invoice No. 37731 $ 55.00 Admin Fee $ 157.70 VAC LOT ON ZEDER AVENUE SOUTHRIDGE LOT 22 BLOCK 10 PCN 12 43 46 20 13 010 0220 CASE NO. NA11-23131 Bradley and Pamela Brooks 139 Gregory Place West Palm Beach, FL 33405-5027 $ 75.00 Invoice No. 37735 $ 55.00 Admin Fee $ 130.00 VAC TRACT ON NW 18TH AVENUE NORJAC PAR A PCN 12 43 46 18 49 000 0010 CASE NO. NA12-24740 RBC Bank USA % Corporation Service Co, R/A 1201 Hays Street Tallahassee, FL 32301-2525 $ 80.00 Inv. No. 37736 $ 55.00 Admin Fee $ 135.00 ASSESSMENT VIOLATION IS: SECTION 100.01 – LAND TO BE KEPT FREE OF DEBRIS, VEGETATION, AND MATTER CONSTITUTES HAZARDS; DECLARED NUISANCE PDFConvert.14818.1.RES_NO._28-12.xls COST OF ABATING NUISANCES UNDER CHAPTER 100 OF THE CODE OF ORDINANCES PROPERTY DESCRIPTION OWNER 712 AVENUE CHAUMONT CHATELAINE NO. 1 LOT 10 BLOCK 5 PCN 12 42 46 12 03 005 0100 CASE NO. NA11-22231 US BANK National Assoc. Tr. % Aldridge Connors LLC 7000 W. Palmetto Park Road #307 Boca Raton, FL 33433-3430 $ 151.10 Invoice No. 37737 $ 55.00 Admin Fee $ 206.10 41 SW 7TH AVENUE TOWN OF DELRAY S 55 FT OF N 540 FT OF W 135 FT OF BLOCK 13 PCN 12 43 46 16 01 013 0070 CASE NO. RN12-24046 James Gross 3646 Blue Dawn Drive North Las Vegas, NV 89032 and James Gross 41 SW 7th Avenue Delray Beach, FL 33444 $ 80.00 Invoice No. 37738 $ 55.00 Admin Fee $ 135.00 238 SW 6TH AVENUE TOWN OF DELRAY LOTS 32 AND 33 BLOCK 15 PCN 12 43 46 16 01 015 0320 CASE NO. NA11-22107 Advantage Plus Mortgage Inc. % Michael J. McGoey, Reg. Agt. 639 East Ocean Avenue #101 Boynton Beach, FL 33435 $ 187.50 Invoice No. 37739 $ 55.00 Admin Fee $ 242.50 390 SE 2ND AVENUE TOWN OF DELRAY S 150 FT E OF RY BLOCK, 80 PCN 12 43 46 16 01 080 0140 CASE NO. NA12-23998 Right Angle Property, LLC % Corinne Fitzsimons, R/A 540 NW 11th Avenue Boca Raton, FL 33486-3458 $ 80.00 Invoice No. 37741 $ 55.00 Admin Fee $ 135.00 586 NW 46TH AVENUE PINE TRAIL SEC 1 N 1/2 OF LOT 3 BLOCK 3 PCN 12 42 46 12 04 003 0031 CASE NO. NA11-21515 Eldert Boerckel Estate 525 NW 46th Avenue Delray Beach, FL 33445-2114 $ 87.00 Invoice No. 37743 $ 55.00 Admin Fee $ 142.00 ASSESSMENT VIOLATION IS: SECTION 100.01 – LAND TO BE KEPT FREE OF DEBRIS, VEGETATION, AND MATTER CONSTITUTES HAZARDS; DECLARED NUISANCE 2 PDFConvert.14818.1.RES_NO._28-12.xls COST OF ABATING NUISANCES UNDER CHAPTER 100 OF THE CODE OF ORDINANCES PROPERTY DESCRIPTION OWNER 1107 SW 7TH AVENUE RIDGEWOOD HEIGHTS DELRAY N 35 FT OF LOT 3 BLOCK D PCN 12 43 46 20 20 004 0032 CASE NO. RN11-22139 Pinot IV LLC Dept. 5193 P.O. Box 2153 Birmingham, AL 35297 $ 97.85 Invoice No. 37740 $ 55.00 Admin Fee $ 152.85 702 SE 4TH AVENUE OSCEOLA PARK LOT 1 BLOCK 8 PCN 12 43 46 21 01 008 0010 CASE NO. NA12-23838 Edwina Jolly 702 SE 4th Avenue Delray Beach, FL 33483-3411 $ 80.00 Invoice No. 37744 $ 55.00 Admin Fee $ 135.00 203 NW 5TH AVENUE PJB LLC PLAT LOT 2 PCN 12 43 46 17 63 000 0020 CASE NO. RN11-22333 Teresa Machado 12850 SW 189th Street Miami, FL 33177 $ 100.00 Invoice No. 37745 $ 55.00 Admin Fee $ 155.00 120 SW 3RD AVENUE TOWN OF DELRAY S 23.5 FT OF LOT 11 AND LOT 12 OF N 1/2 OF BLOCK 38 PCN 12 43 46 16 01 038 0112 CASE NO. NA12-24008 Corine Meadows 120 SW 3rd Avenue Delray Beach, FL 33444 $ 140.00 Invoice No. 37746 $ 55.00 Admin Fee $ 195.00 230 & 232 SW 12TH AVENUE ATLANTIC PARK GARDENS DELRAY LOT 20 BLOCK 4 PCN 12 43 46 17 18 004 0200 CASE NO. NA11-21625 ACME Real Estate Associates % John Foss 3140 Sherwood Blvd. Delray Beach, FL 33445 $ 90.00 Invoice No. 37747 $ 55.00 Admin Fee $ 145.00 ASSESSMENT VIOLATION IS: SECTION 100.01 – LAND TO BE KEPT FREE OF DEBRIS, VEGETATION, AND MATTER CONSTITUTES HAZARDS; DECLARED NUISANCE 3 PDFConvert.14818.1.RES_NO._28-12.xls COST OF ABATING NUISANCES UNDER CHAPTER 100 OF THE CODE OF ORDINANCES PROPERTY DESCRIPTION OWNER 607 SW 9TH STREET DELRAY MANOR ADD TO DELRAY E 20 FT OF LOT 106 & W 40 FT OF LOT 107 PCN 12 43 46 20 12 000 1061 CASE NO. NA11-21576 Eric Mc Cabe 2559 Webb Avenue #3 Delray Beach, FL 33444 $ 80.00 Inovice No. 37748 $ 55.00 Admin Fee $ 135.00 4834 NW 6TH COURT PINE TRAIL SEC II E 1/2 OF LOT 12 BLOCK 3 PCN 12 42 46 12 08 003 0122 CASE NO. RN12-23651 Rodolphe Jozile 4899 NW 6th Street Delray Beach, FL 33445 $ 80.00 Invoice No. 37749 $ 55.00 Admin Fee $ 135.00 1331 PROSPECT STREET JEFFERSON MANOR LOT 32 PCN 12 43 46 17 24 000 0320 CASE NO. NA11-20785 Erica Pleasanton and Keith Southworth 1331 Prospect Street Delray Beach, FL 33444 and Erica Pleasanton and Keith Southworth 1121 Green Creek Road Bakersville, NC 28705-9794 $ 97.50 Invoice No. 37750 $ 55.00 Admin Fee $ 152.50 169 SE 6TH AVENUE TOWN OF DELRAY LOTS 16 THRU 18 (LESS W 5 FT) B BLOCK 118 PCN 12 43 46 16 01 118 0162 CASE NO. NA11-20989 Delray Townhomes, LLC %Leopold, Korn & Leopold, P.A. 20801 Biscayne Blvd. #501 North Miami Beach, FL 33180 $ 191.50 Invoice No. 37751 $ 55.00 Admin Fee $ 246.50 430 SE 1ST AVENUE GRIFFIN GATE LOT 2-A PCN 12 43 46 21 61 000 0021 CASE NO. NA11-21018 Timothy H. Schnellenberger 542 13th Street West Palm Beach, FL 33401-2604 $ 127.75 Invoice No. 37752 $ 55.00 Admin Fee $ 182.75 ASSESSMENT VIOLATION IS: SECTION 100.01 – LAND TO BE KEPT FREE OF DEBRIS, VEGETATION, AND MATTER CONSTITUTES HAZARDS; DECLARED NUISANCE 4 PDFConvert.14818.1.RES_NO._28-12.xls COST OF ABATING NUISANCES UNDER CHAPTER 100 OF THE CODE OF ORDINANCES PROPERTY DESCRIPTION OWNER 801 SE 4TH AVENUE MODEL LAND COS SUB OF W 1/2 E 128.5 FT OF W 153 FT OF N 75 FT OF S 145 FT OF LOT 9 BLOCK 1 PCN 12 43 46 21 09 001 0220 CASE NO. NA11-22023 Regina Jolly 801 SE 4th Avenue Delray Beach, FL 33483 $ 67.12 Invoice No. 37753 $ 55.00 Admin Fee $ 122.12 640 JAEGER DRIVE TROPIC PALMS PLAT NO. 1 LOT 184 PCN 12 43 46 29 02 000 1840 CASE NO. NA11-19796 Michael Longo 309 Gulfstream Drive Delray Beach, FL 33444 $ 91.50 Invoice No. 37754 $ 55.00 Admin Fee $ 146.50 4874 NW 5TH STREET PINE TRAIL SEC II W 1.27 FT OF LOT 2 & LOT 3 (LESS W 41.27 FT) BLOCK 4 PCN 12 42 46 12 08 004 0021 CASE NO. NA12-24928 Shafraz Hassan 662 SW 3rd Avenue Boynton Beach, FL 33426 $ 80.00 Invoice No. 37756 $ 55.00 Admin Fee $ 135.00 ASSESSMENT VIOLATION IS: SECTION 100.01 – LAND TO BE KEPT FREE OF DEBRIS, VEGETATION, AND MATTER CONSTITUTES HAZARDS; DECLARED NUISANCE 5 PDFConvert.14818.1.RES_NO._28-12.xls MEMORANDUM TO: Mayor and City Commissioners FROM: Jasm in Allen, Planner Paul D orling, AICP, D irector of Planning and Zoning THROUGH: City M anager DATE: June 14, 2012 SUBJECT: AGENDA ITEM 8.O. -REGULAR COMMISSION MEETING OF JUNE 19, 2012 REVIEW OF APPEALABLE LAND DEVELOPMENT BOARD ACTIONS ITEM BEFORE COMMISSION The action requested of the City Commission is review of appealable actions which were taken by various Boards during the period of June 5, 2012 through June 15, 2012. BACKGROUND This is the method of informing the City Commission of the land use actions taken by designated Boards which may be appealed to the City Commission. After this meeting, the appeal period shall expire (unless the 10 day appeal period has not occurred). Section 2.4.7(E), Appeals, of the LDRs applies. In summary, it provides that the City Commission hears appeals of actions taken by an approving Board. It also provides that the City Commission may file an appeal. To do so: · The item must be raised by a Commission member. · By motion, an action must be taken to place the item on the next meeting agenda of the Commission as an appealed item. REVIEW BY OTHERS Site Plan Review and Appearance Board Meeting of June 13, 2012 A. Approved (7 to 0), a request for a color change for Rotelli Pizza & Pasta, located at the northeast corner of NE 5th Avenue and East Atlantic Avenue (501 East Atlantic Avenue). B. Approved (7 to 0), a color change request for two structures located at 393 NE 5th Avenue (southeast corner of NE 5th Avenue and NE 4th Street). C. Approved (7 to 0), a Class II site plan modification, landscape plan and architectural elevations associated with the construction of a utility shed and modifications to the recreational facilities for The Franklin at Delray Beach, located on the west side of South Federal Highway, approximately 320 feet south of SE 10th Street and north of the Plaza at Delray. D. Approved with conditions (7 to 0), a Class IV site plan modification, landscape plan and architectural elevations associated with the construction of a 23,740 square foot building addition and outdoor seating area at the Harbor Plaza, located at the northeast corner of South Federal Highway and Linton Boulevard. Concurrently, the Board approved a waiver to Section 4.6.9(D)(3) (C)(1) reducing the stacking distance from the required 50 feet to 21.4 feet for the parking facility that contains 51 or more parking spaces. E. Tabled (7 to 0), a Class I site plan modification associated with the installation of accordion shutters for an existing commercial building located at 1501 North Federal Highway (east side of North Federal Highway, north of NE 14th Street). F. Approved with condition (6 to 0, Rustem Kupi stepped down), a Class II site plan modification associated with architectural elevations and landscape changes for an existing commercial building located at 814 NE 6th Avenue (west side of NE 6th Avenue, north of George Bush Boulevard). G. Approved with conditions (6 to 1, Alice Finst dissenting), a Class III site plan modification associated with the conversion of 4,104 sq. ft. vacant restaurant and warehouse bay building to office for Top Stop Music Office Building, located at the southeast corner of SE 4th Avenue and SE 1st Street (101 SE 4th Avenue). The landscape plan and architectural elevations were approved on a 7 to 0 vote. H. Tabled (7 to 0), a Class V site plan, landscape plan and architectural elevation plan associated with a 3-phase development for Village Square, located on the east side of Auburn Avenue between SW 7th Street and SW 10th Street. Phase I includes the construction of a 3-story senior citizen building containing 42 one-bedroom units and 42 two-bedroom units and a club house, pool, and putting green. Phase II includes the construction of a clubhouse and six 3-story buildings with a mix of 6 one-bedroom units, 66 two-bedroom units, 48 three-bedroom units, and 24 four-bedroom units, (total of 144 units). Phase III includes the construction of 11 three-bedroom for-sale singlefamily homes and 14 three-bedroom for-sale duplex units. Historic Preservation Board Meeting of June 6, 2012 1. Approved with conditions (5 to 0, Annette Smith and Ana Maria Aponte absent), a request for a Certificate of Appropriateness associated with the installation of a new fence on a contributing property located at 418 NE 2nd Avenue, Del Ida Park Historic District. 2. Approved (5 to 0), a Class II site plan modification and a request for a Certificate of Appropriateness for the installation of three parking spaces and alterations to a non-contributing building, located at 20 West Atlantic Avenue, Old School Square Historic District. 3. Approved with conditions (5 to 0) a request for a Certificate of Appropriateness and Master Sign Plan for a contributing, multi-tenant commercial building located 44 East Atlantic Avenue,Old School Square Historic District. No other appealable items were considered by the Historic Preservation Board. The following item which was considered by the Board will be forwarded to the City Commission for action: 4. Recommend to the City Commission approval of the final Tax Exemption application for the new construction of an accessory structure on a contributing property located at 109 Fern Court, Del Ida Park Historic District. RECOMMENDATION By motion, receive and file this report. Attachment: Location Map MEMORANDUM TO: Mayor and City Commissioners FROM: Michael Vinci, Planner Paul Dorling, AICP, Director of Planning and Zoning THROUGH: City Manager DATE: June 13, 2012 SUBJECT: AGENDA ITEM 9.A. -REGULAR COMMISSION MEETING OF JUNE 19, 2012 APPEAL OF SITE PLAN REVIEW AND APPEARANCE BOARD ACTION: FIRESTONE AT DELRAY ITEM BEFORE COMMISSION The action requested of the City Commission is consideration of an appeal of the Site Plan Review and Appearance Board's (SPRAB) denial of a Class I site plan and architectural elevation change for Firestone, located at 5190 W. Atlantic Avenue. At its meeting of April 25, 2012, the Site Plan Review and Appearance Board (SPRAB) considered a Class I site plan modification, and architectural elevations changes associated with the replacement of existing service bay doors for Firestone. The existing doors are glass panel, and the proposed doors are industrial steel. The SPRAB tabled the proposal with the direction that the applicant provide a door design that is less industrial in appearance. At its meeting of May 9, 2012, the SPRAB reviewed the alternative design presented by the applicant which contained a more decorative appearance. The Board felt that the proposed design was still too industrial and was not compatible giving the site visibility from Atlantic Avenue, and denied the proposal (0-5).The applicant submitted an appeal request on May 16, 2012. This request is being processed pursuant to LDR Section 2.4.7(E)[Appeals]. BACKGROUND The subject property, which is located on the south side of West Atlantic Avenue approximately 645’ feet west of Military Trail, was developed in Palm Beach County and annexed into the City of Delray Beach in April 1991 per Ordinance #7-91. The 7,072 sq. ft. building, which was built in 1985, contains an automobile repair service center (Firestone). The applicant now is seeking to replace the four (4) glass service bay doors which face Atlantic Avenue. On April 25, 2012, the Site Plan Review and Appearance Board (SPRAB) tabled a proposal to replace the existing service bay doors for Firestone. At its meeting of May 9, 2012, the SPRAB reviewed an alternative design and unanimously denied the proposal. APPEAL On May 16, 2012, Douglas E. Farley (Firestone) filed an appeal with the City Clerk’s office. The appeal lists the following grounds for overturning the SPRAB denial: 1. The existing full vision glass service bay doors do not comply with Florida Building Code due to hurricane wind load restrictions. The only available commercial service bay doors that comply with Florida Code are solid steel service bay doors. 2. The solid steel service bay doors are in conformity with good taste, good design and appearance with typical service bay doors commonly used at auto service centers located in South Florida. 3. The existing full vision glass service bay doors are in excess of thirty years old; they no longer conform to hurricane wind load requirements, and represent a serious safety concern for our customers and teammates. 4. Our other Delray Beach Firestone store located at 217 SE 6th Avenue was reviewed before the same SPRAB meeting on May 19, 2012, and was approved for new solid steel service bay doors exactly like the doors proposed for our 5190 W. Atlantic Avenue store. 5. The Goodyear store located at 4715 W. Atlantic Avenue, and not more than one half mile from our W. Atlantic store, has solid blue steel service bay doors in accordance with Florida Building Code and therefore we should be permitted to use the same type of service bay doors (see enclosed photo). 6. Our normal operating hours are from 7:00 AM to 7:00 PM each day, during these hours the service bay doors remain open and are not visible. “In conclusion, it is our professional opinion that the SPRAB did not take into consideration the State of Florida Building Code, and thus rejected our proposal based upon their desire to have the service bay doors contain some amount of glass in direct conflict with the Florida Building Code. Enclosed is a photo of the existing service bay doors, and an artist rendering of the new solid steel service bay doors for consideration, and ask that the recommendation of denial by the Board be overturned.” The Board did take the State of Florida Building Code into consideration when rendering their decision and requiring service doors with some amount of glass is not in direct conflict with the Florida Building Code. The Board felt that there were less industrial alternatives, including glass doors containing impact glass, that are more appropriate given the site's high visibility along a major arterial (West Atlantic Avenue). Some examples are attached as Exhibit A. Further, the applicant also references recent approvals at 217 SE 6th Avenue as reasons to support a more industrial application. While a more aesthetically pleasing door would have been more desirable at that location, the Board approved the more industrial alternative as these doors face north and are not directly visible from SE 6th Avenue. In fact as SE 6th Avenue is northbound only, they are not visible to passing traffic unless you view them in your rear view mirror. Given these factors, Staff believes the SPRAB’s denial was appropriate for 5190 W. Atlantic Avenue and the applicant should avail himself of other less industrial options. RECOMMENDATION Deny the appeal, upholding the SPRAB’s decision and provide direction that the applicant provide a more aesthetically pleasing door (less industrial) that meets Florida Building Code requirements. IN THE CITY COMMISSION CHAMBERS OF THE CITY OF DELRAY BEACH, FLORIDA ORDER OF THE CITY COMMISSION OF THE CITY OF DELRAY BEACH, FLORIDA ON THE APPEAL OF THE SPRAB 05/09/12 DENIAL OF A CLASS I SITE PLAN AND ARCHITECTURAL ELEVATIONS ASSOCIATED WITH THE REPLACEMENT OF SERVICE DOORS FOR FIRESTONE COMPLETE AUTO CARE STORE, LOCATED AT 5190 W. ATLANTIC AVENUE 1. This is an appeal of the May 9, 2012 decision by the Site Plan Review and Appearance Board (“SPRAB”) denying Class I Site Plan and Architectural Elevation change associated with the Firestone Complete Auto Care store, located at 5190 W. Atlantic Avenue, which came before the City Commission at its meeting on June 19, 2012. 2. The Appellants, Appellee and City staff presented documentary evidence and testimony to the City Commission pertaining to the appeal of the denial of a Class I Site Plan and Architectural Elevation change associated with the Firestone Complete Auto Care store. Required findings are made in accordance with Subsection I. I. LDR REQUIREMENTS FOR ARCHITECTURAL ELEVATIONS: A. Pursuant to LDR Section 4.6.18(E), (1) the proposed structure is in conformity with good taste, good design, and in general contributes to the image of the City as a place of beauty, spaciousness, harmony, taste, fitness, broad vistas, and high quality; (2) the proposed structure is in its exterior design and appearance of quality such as not to cause the nature of the local environment or evolving environment to materially depreciate in appearance and value; (3) the proposed structure is in harmony with the proposed developments in the general area, with the Comprehensive Plan, and with the supplemental criteria which may be set forth for the Board from time to time. Has this requirement been met? Yes ______ No ______ 4. The City Commission has applied the Comprehensive Plan and LDR requirements in existence at the time the original site plan was submitted. 5. The City Commission finds there is ample and competent substantial evidence to support its findings in the record submitted and adopts the facts contained 2 in the record including but not limited to the staff reports, testimony of experts and other competent witnesses supporting these findings. 6. Based on the entire record before it, the City Commission approves ____ denies ____ the appeal. The City Commission hereby adopts this Order this 19th day of June, 2012, by a vote of _____ in favor and _____ opposed. ATTEST: ________________________________ Nelson S. McDuffie, Mayor ____________________________ Chevelle Nubin City Clerk MEMORANDUM TO: Mayor and City Commissioners FROM: Lula Butler, Director, Community Improvement THROUGH: David Harden, City Manager DATE: June 13, 2012 SUBJECT: AGENDA ITEM 9.B. -REGULAR COMMISSION MEETING OF JUNE 19, 2012 SELECTION OF A SOLID WASTE COLLECTION SERVICES PROVIDER ITEM BEFORE COMMISSION City Commission consideration of and direction to staff regarding selection of a Solid Waste Collection Services provider for the City. BACKGROUND The City has previously received a proposal from Waste Management, our current solid waste collection franchise holder, for renewing their franchise. A copy of the detailed proposal is attached. The Commission has had this proposal since February, but has taken no action on it. Waste Management's franchise from the City will expire on September 30, 2013. The City may either elect to renew the franchise with Waste Management or issue a Request for Proposals (RFP). If the Commission wishes to issue an RFP, then staff needs to begin work on preparing the RFP. This much lead time is required because of the complexity of the RFP, the complexity of evaluating RFP responses for solid waste collection, and the lead time required by a company to purchase all the equipment and hire employees necessary to serve a city the size of Delray Beach. Also attached is the February 21, 2012 agenda memo, which includes a detailed summary analysis of ten (10) municipal franchise agreements that were either renewed or awarded within the past two (2) years. The third attachment is a comparison of eight cities using Delray Beach volumes which shows that our current rates generate less revenue for the franchise holder than the rates in effect in any of the other seven cities. Cities with lower single family rates have shifted costs to multi-family or commercial customers. These comparisons are given as a reference in response to the proposal from Waste Management to renew the current Franchise Agreement. The proposal was for an option of either a 5-, 8-or 10-year franchise. The previous agenda memorandum, dated February 15, 2012, also details the changes associated with an extension. This item was scheduled for the February 21, 2012 City Commission meeting, but the item was subsequently removed. RECOMMENDATION City Commission discretion. MEMORANDUM TO: Mayor and City Commissioners FROM: David T. Harden, City Manager DATE: June 15, 2012 SUBJECT: AGENDA ITEM 9.C. -REGULAR COMMISSION MEETING OF JUNE 19, 2012 DESIGNATION OF VOTING DELEGATE ITEM BEFORE COMMISSION The 86th Annual Conference of the Florida League of Cities will be held at Westin Diplomat in Hollywood, Florida on August 23-25, 2012. The League encourages each member city to send as many delgates as possible to the conference, and also requests that each city designate one of its officials to cast votes at the Annual Business Session. League By-Laws require that each city select one person to serve as the city's voting delegate. Municipalities do not need to adopt a resoution to designate a voting delegate. BACKGROUND Last year Commissioner Gray was selected as the voting delgate. The Mayor, a Commissioner, or the City Manager may be designated to serve in that capacity. RECOMMENDATION Recommend designation of a voting delegate to cast votes on behalf of the City of Delray Beach at the Annual Business Session of the Florida League of Cities. MEMORANDUM TO: Mayor and City Commissioners FROM: David T. Harden, City Manager DATE: June 13, 2012 SUBJECT: AGENDA ITEM 9.D. -REGULAR COMMISSION MEETING OF JUNE 19, 2012 APPOINTMENTS TO THE DOWNTOWN DEVELOPMENT AUTHORITY ITEM BEFORE COMMISSION This item is before the City Commission for appointments to the Downtown Development Authority. BACKGROUND The terms for regular members Mr. Fran Marincola and Mr. David Cook will expire on July 1, 2012. Mr. Marincola will have served two (2) full terms and is not eligible for reappointment. Mr. Cook will have served one (1) full term, is eligible and would like to be considered for reappointment. Appointments are needed for two (2) regular members to serve three (3) year terms ending July 1, 2015. To qualify for appointment, a prospective member must reside in or have his or her principal place of business in the City, and shall not be serving as a City officer or employee. There is a requirement that at least four of the members must be owners of real estate within the downtown area, a lessee thereof required by the lease to pay taxes thereon, or a director, officer or managing agent of an owner or of a lessee thereof so required to pay taxes thereon. A map of the Downtown Development Authority Boundary is included for your review. Currently serving on the Downtown Development Authority and meeting ownership and tax payment qualifications are Mr. Fran Marincola, Mr. Seabron Smith, Mr. Albert Richwagen and Mrs. Nancy Stewart-Franczak. The following individuals have submitted applications and would like to be considered for appointment: (See Exhibit “A” attached) A check for code violations and/or municipal liens was conducted. None were found. Voter registration verification was completed and all are registered. Based on the rotation system, the appointments will be made by Commissioner Frankel (Seat #3) and Commissioner Gray (Seat #4) for two (2) regular members to serve on the Downtown Development Authority for three (3) year terms ending July 1, 2015. RECOMMENDATION Recommend appointment of two (2) regular members to serve three (3) year terms ending July 1, 2015, at least one of whom meets the tax qualification.. DOWNTOWN DEVELOPMENT AUTHORITY (DDA) 85 SE 4th Avenue, Suite #108 Delray Beach, FL 33483 3 year term 07/11 TERM EXPIRES REGULAR MEMBERS 07/01/2014 Appt 06/21/11 Albert Richwagen *Tax qualification 07/01/2014 Appt 07/05/11 Ryan Boylston 07/01/2012 Appt 06/20/06 Reappt 06/16/09 Fran Marincola, Chair *Tax qualification 07/01/2014 Appt 08/05/08 Reappt 06/21/11 Diane Franco, Secretary 07/01/2012 Unexp Appt 05/15/07 Reappt 07/07/09 David Cook, Treasurer *Tax qualification 07/01/2014 Reappt 06/21/11 Reappt 07/01/08 Unexp Appt 07/11/06 Nancy Stewart-Franczak *Tax qualification 07/01/2013 Unexp Appt 07/21/09 Reappt 07/06/10 Seabron Smith *Tax qualification DOWNTOWN DEVELOPMENT AUTHORITY EXHIBIT “A” David Beale Attorney Tax Qualification Bonnie Beer Restaurateur/Business Owner Tax Qualification David Cook Sales/Vic President Incumbent Mark Denkler Sales-Business Owner Tax Qualification Pearl Markfield Elrod Realtor (also applying for the Delray Beach Housing Authority) Kenneth Peltzie Self-employed Harold Van Arnem Principal/Developer MEMORANDUM TO: Mayor and City Commissioners FROM: David T. Harden, City Manager DATE: June 13, 2012 SUBJECT: AGENDA ITEM 9.E. -REGULAR COMMISSION MEETING OF JUNE 19, 2012 APPOINTMENT TO THE DELRAY BEACH HOUSING AUTHORITY ITEM BEFORE COMMISSION This item is before the City Commisison for an appointment to the Delray Beach Housing Authority. BACKGROUND The term for regular member, Mr. Joseph Hepp, will expire on July 14, 2012. Mr. Hepp will have served an unexpired term, is eligible and would like to be considered for reappointment. Appointment is needed for one (1) regular member. Per Florida Statute, Chapter 421, an appointee may not be an officer or employee of the City. The following individuals have submitted applications and would like to be considered for appointment: (See Exhibit “A” attached) A check for code violations and/or municipal liens was conducted. None were found. Voter registration verification was completed and all are registered. According to Florida Statutes, members are appointed by the Mayor and ratified by the Commission. However, at the City Commission meeting of June 5, 1991, a consensus was reached whereby each Commissioner would, on an informal basis and according to the rotation procedure, make a recommendation to the Mayor as to the Housing Authority appointees. Based on this system, the recommendation/appointment will be made by Commissioner Carney (Seat #1) for one (1) regular member to serve a four (4) year term ending July 14, 2016. RECOMMENDATION Recommend appointment of one (1) regular member to serve a four (4) year term ending July 14, 2016. DELRAY BEACH HOUSING AUTHORITY 4 YEAR TERM 600 N. Congress Avenue, Suite 310B Delray Beach, FL 33445 04/12 TERM EXPIRES REGULAR MEMBERS 07/14/2012 Unexpired Appt 10/21/08 Joseph Hepp, Chair 07/14/2014 Unexp Appt 10/04/11 Marcia Beam 07/14/2014 Unexp Appt 07/10/07 Reappt 07/06/10 Sylvia Morris 07/14/2013 Appt 07/07/09 Shelly Petrolia 10/27/2015 Appt 11/6/07 Reappt 10/04/11 Christel Silver, Vice Chair 03/06/2014 Unexp Appt 10/05/10 Guarn Sims 07/14/2014 Unexp Appt 05/19/09 Reappt 07/06/10 Choli Aronson DELRAY BEACH HOUSING AUTHORITY EXHIBIT A Joseph Bernadel Nayda Cottone-Ovadia (currently serving on the Nuisance Abatement Board) Edward Desmond Irene Frazier Joseph Hepp Incumbent Pearl Markfield Elrod (also applying for the Downtown Development Authority) Tonya McCollin Cajuste Morris Weinman MEMORANDUM TO: Mayor and City Commissioners FROM: David T. Harden, City Manager DATE: June 13, 2012 SUBJECT: AGENDA ITEM 9.F. -REGULAR COMMISSION MEETING OF JUNE 19, 2012 APPOINTMENTS TO THE CIVIL SERVICE BOARD ITEM BEFORE COMMISSION This item is before the City Commission for appointments to the Civil Service Board. BACKGROUND The terms for regular member Ms. Carol Anderson and alternate member Ms. Carol Clark will expire on July 1, 2012. There is an additional vacancy for a regular member due to the passing of Mr. Sidney Grossman. Ms. Anderson will have served one (1) full term and would not like to be considered for reappointment. Ms. Clark will have served one (1) full term, is eligible and would like to be considered for reappointment. Please note that Ms. Clark would like to be considered for regular membership. Appointments are needed for two (2) regular members and one (1) alternate member. However, only two (2) appointments will be made because there are only two (2) applicants at this time. According to the Civil Service Act, there are to be five (5) regular members on the Civil Service Board; three (3) of which are to be of different vocations or vocational backgrounds, not employed by the City in any capacity, official or otherwise and appointed by the City Commission. Eligible City employees elect two (2) regular members. In addition, there are two (2) alternate members. The appointee need not be a resident, property owner or business owner within the City. The following individual has submitted an application and would like to be considered for appointment: Name Background Carol Clark Retired/Accounting Clerk Incumbent Keith Sonderling Attorney A check for code violations and/or municipal liens was conducted. None were found. Voter registration verification was completed and all are registered. Based on the rotation system, the appointments will be made by Commissioner Frankel (Seat #3) and Commissioner Gray (Seat #4) for two (2) regular members to serve two (2) year terms ending July1, 2014. RECOMMENDATION Recommend appointments of two (2) regular members to serve two (2) year terms ending July 1, 2014. CIVIL SERVICE BOARD 04/12 TERM EXPIRES REGULAR MEMBERS CURRENT OCCUPATION 07/01/2012 Appt 07/06/10 Carol Anderson Educator 07/01/2014 Vacant 04/01/2013 Appt 04/05/11 Larry Zalkin Financial Advisory 04/29/2013 Elected 04/27/05 Re-elected 04/26/06 Re-elected 04/26/07 Re-elected 04/30/08 Re-elected 04/30/09 Re-elected 04/29/10 Re-elected 04/28/11 Re-elected 04/25/12 Jennifer Reynolds, Chairperson Network Engineer 04/29/13 Elected 04/25/12 Chassler Holm Utility Maintenance Supervisor ALTERNATES 07/01/2012 Appt 07/06/10 Carol Clark Retired/Accounting Clerk 04/29/2013 Elected 04/25/12 Michael Vinci Planner S/City Clerk/Board 12/Civil Service MEMORANDUM TO: Mayor and City Commissioners FROM: David T. Harden, City Manager DATE: June 13, 2012 SUBJECT: AGENDA ITEM 9.G. -REGULAR COMMISSION MEETING OF JUNE 19, 2012 APPOINTMENTS TO THE NEIGHBORHOOD ADVISORY COUNCIL ITEM BEFORE COMMISSION This item is before the City Commission for appointments to the Neighborhood Advisory Council. BACKGROUND There are vacancies on the Neighborhood Advisory Council due to the resignations of regular members Mr. David Stein (Zone 5) and student member Ms. Andrea Poveda. Ms. Shirl Fields (Zone 3) also resigned because she moved and was no longer residing in her appointed zone. These appointments will be for two (2) regular members to serve the unexpired terms plus the following regular terms ending July 31, 2015. There are no student applicants at this time. The Neighborhood Advisory Council was established for the purpose of maintaining broad-based community involvement with the residents, creating neighborhood outreach initiatives, enhancing communication, improving the aesthetics of the neighborhoods and identifying any potential threats to the stability of the neighborhoods. The Council consists of fifteen (15) regular and two (2) student members. Twelve (12) members are residents with two (2) selected from each of the six neighborhood zones, and three (3) at large representatives, who may be selected from a community civic organization or business owner located within a neighborhood zone interested in the enhancement of its surrounding neighborhoods. A map of the appointment zones is included for your review. The following individuals have submitted applications for consideration: (Applicants are listed by zones; however, the applications are in alphabetical order.) (See Exhibit “A” Attached) Based on the rotation system, the appointments will be made by Mayor McDuffie (Seat #5) and Commissioner Carney (Seat #1) for one (1) regular member each from Zone 3 and Zone 5 to serve unexpired terms plus three (3) year terms ending July 31, 2015. RECOMMENDATION Recommend appointment of two (2) regular members to serve an serve an unexpired plus three (3) year terms ending July 31, 2015. 06/12 NEIGHBORHOOD ADVISORY COUNCIL TERM EXPIRES DISTRICT NAME 07/31/13 Unexp Appt 11/16/10 Zone 1 Susan Sims 07/31/14 Appt 09/06/11 Zone 2 Stephen Lampel 07/31/13 Unexp Appt 10/17/06 Reappt 10/16/07 Reappt 10/19/10 Zone 3 Linda Laurence Leib 07/31/13 Appt 10/19/10 Zone 4 Suzanne Donohue 07/31/14 Unexp 03/03/08 Reappt 10/07/08 Reappt 07/19/11 Zone 5 Gail-Lee McDermott 07/31/14 Unexp Appt 02/20/07 Reappt 10/07/08 Reappt 07/19/11 Zone 6 Linda Prior 07/31/14 Unexp Appt 06/05/12 Zone 1 Mark Behar 07/31/14 Unexp Appt 04/03/12 Zone 2 Colson Zulmar 07/31/12 Unexp Appt 10/20/09 Zone 4 Isabel Make 07/31/15 Unexp Appt Zone 4 Vacant 07/31/15 Unexp Appt Zone 5 Vacant 07/31/15 Unexp Appt 06/05/12 Zone 6 Adam Reback 07/31/14 Uenxp Appt 02/03/09 Reappt 07/19/11 At Large Representative William Milner, 2nd Vice Chair 07/31/14 Appt 08/02/11 At Large Representative Lee Cohen 07/31/12 Appt 10/06/09 At Large Representative Margherita Downey 07/31/12 Student Vacant 07/31/12 Student Vacant Board 12/Neighborhood Advisory Council NEIGHBORHOOD ADVISORY COUNCIL EXHIBIT A Applicant Subdivision Zone 3 Mary Minieka (currently serving on the Public Art Advisory Board) Linton Lakes Wendy Smith Rabbit Hollow Zone 5 Pearl Markfield Elrod Town of Delray Dorothy Payne South Bay MEMORANDUM TO: Mayor and City Commissioners FROM: David T. Harden, City Manager DATE: June 13, 2012 SUBJECT: AGENDA ITEM 9.H. -REGULAR COMMISSION MEETING OF JUNE 19, 2012 APPOINTMENT TO THE FINANCIAL REVIEW BOARD ITEM BEFORE COMMISSION This item is before the City Commission for an appointment to the Financial Review Board. BACKGROUND There is a vacancy on the Financial Review Board for one (1) alternate member due to the resignation of Mr. David Stein. The term is unexpired ending July 31, 2013. An appointment is needed for one alternate member. On October 6, 2009, the Delray Beach City Commission adopted Resolution No. 55-09 establishing the Budget Review Committee to review the City’s budget, systems and procedures, technology improvements, or related materials and concepts and make recommendations regarding revenues, salaries and benefits, operating expenses, debt service expenses, capital outlay, grants to other entities and transfers to other funds or any other items that may favorably impact the City’s budget and overall financial condition. The Commission later adopted Resolution No. 58-09 which renamed the committee as the Financial Review Board with the expanded responsibilities of analysis of revenues and expenses and business practices and processes. Resolution No. 05-11 provided further amendments to clarify that the Board’s duties shall fall under the direction of the City Manager or the City Commission and to restrict the membership of the Board. The Financial Review Board shall consist of nine (9) members. Five (5) seats on the Board must be filled with a certified public accountant, accounting professional, finance professional, certified financial planner, investment advisor, insurance professional (property/casualty or health), business owner/manager/officer and someone with an MBA or MPA degree. The remaining four (4) members may be at large. The following individuals have submitted applications and would like to be considered for appointment: Applicants with experience in the professions required: Jeremy Office Associate Director/Wealth Management Advisor MBA Applicants interested in being an at-large member: Patricia Maguire Public Relations/Editor A check for code violations and/or municipal liens was conducted. None were found. Voter registration verification was completed and they are registered. Based on the rotation system, the appointment will be made Commissioner Gray (Seat #4) for one (1) alternate member to serve an unexpired term ending July 31, 2013. RECOMMENDATION Recommend appointment of one (1) alternate member to serve an unexpired term ending July 31, 2013. FINANCIAL REVIEW BOARD 06/12 TERM EXPIRES REGULAR MEMBERS OCCUPATION 07/31/12 Unexp Appt 03/20/12 Brian Anderson Director of Communications 07/31/14 Unexp Appt 06/05/12 + 2 Yrs RosaTorres-Tumazos Business Strategy Consultant 07/31/13 Unexp Appt 04/05/11 Reappt 06/21/11 John Hallahan, Chair Assistant Director of Operations/Retired P.E. MBA 07/31/12 Unexp Appt 01/17/12 Brian Wood Director/Senior Manager-Finance 07/31/13 Appt 11/03/09 Reappt 6/21/11 Christina Morrison, Chair Realtor 07/31/13 Unexp Appt 06/05/12 Alan Weitz Banking 07/31/12 Appt 07/20/10 Luise Piane Executive Management ALTERNATES 07/31/13 Unexp Appt 01/03/12 Warren Trilling Business Development Manager CPA 07/31/13 Unexp Appt Vacant MEMORANDUM TO: Mayor and City Commissioners FROM: David T. Harden, City Manager DATE: June 12, 2012 SUBJECT: AGENDA ITEM 10.B. -REGULAR COMMISSION MEETING OF JUNE 19, 2012 ORDINANCE NO. 16-12 ITEM BEFORE COMMISSION This ordinance is before Commission for second reading to consider an amendment to Chapter 33 “Police and Fire-Rescue Departments”, subtitle "Pensions", Section 33.60, “Definitions”, Section 33.61, “Membership Conditions of Eligibility; Application”; Section 33.62, “Benefit Amounts and Eligibility”; Section 33.63, “Optional Forms of Benefits”; Section 33.64, “Contributions”; Section 33.65, “Administration”; Section 33.66, “Finances and Fund Management”; Section 33.689, “Retirement Benefit Enhancement”; Section 33.70, “Direct Transfers of Eligible Rollover Distributions”; and creating Section 33.73, “Termination of the System”, to implement and comply with Chapter 2009-97, Laws of Florida; Chapter 2011-216; and the Internal Revenue Code; and to comply with a court decision. BACKGROUND At the first reading on June 5, 2012, the Commission passed Ordinance No. 16-12. The attached Ordinance incorporates the provision options agreed to by the Commission on June 5. RECOMMENDATION Recommend approval of Ordinance No. 16-12 on second and final reading. ORDINANCE NO. 16-12 AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF DELRAY BEACH, FLORIDA, AMENDING CHAPTER 33 "POLICE AND FIRE-RESCUE DEPARTMENTS", SECTION 33.60, "DEFINITIONS" ; SECTION 33.61, "MEMBERSHIP CONDITIONS OF ELIGIBILITY; APPLICATION"; SECTION 33.62, "BENEFIT AMOUNTS AND ELIGIBILITY"; SECTION 33.63, "OPTIONAL FORMS OF BENEFITS"; SECTION 33.64, "CONTRIBUTIONS"; SECTION 33.65, "ADMINISTRATION"; SECTION 33.66, "FINANCES AND FUND MANAGEMENT"; SECTION 33.689, "RETIREMENT BENEFIT ENHANCEMENT"; SECTION 33.70, “DIRECT TRANSFERS OF ELIGIBLE ROLLOVER DISTRIBUTIONS”; AND CREATING SECTION 33.73, "TERMINATION OF THE SYSTEM", TO IMPLEMENT AND COMPLY WITH CHAPTER 2009-97, LAWS OF FLORIDA; CHAPTER 2011-216; AND THE INTERNAL REVENUE CODE; AND TO COMPLY WITH A COURT DECISION; PROVIDING A SAVING CLAUSE, A GENERAL REPEALER CLAUSE, AND AN EFFECTIVE DATE. WHEREAS, the City Commission desires to amend the City Police And Firefighters Retirement System as set forth in Chapter 33 of the City Code to implement certain provisions of Chapter 2009-97, Laws of Florida; Chapter 2011-216, Laws of Florida; the Internal Revenue Code; and the decision of the court in State of Florida Dept. Mgt. Svs. v. City of Delray Beach, Florida, 40 So. 3d 835 (Fla. 1st DCA 2010). BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY OF DELRAY BEACH, FLORIDA, AS FOLLOWS: Section 1. That Chapter 33, “Police and Fire-Rescue Departments”, Section 33.60 “Definitions”, of the Code of Ordinances of the City of Delray Beach is hereby amended to read as follows: Sec. 33.60. -DEFINITIONS. For the purpose of this subchapter, the following definitions shall apply unless the context clearly indicates or requires a different meaning. 2 Ord No. 16-12 Average monthly earnings. One thirty-sixth of the arithmetical average for the highest consecutive thirty-six-month period preceding the actual retirement or termination of a member; provided, however, the benefit derived shall not be less than the benefit that would have been paid based on a definition of average monthly earnings of one twenty-fourth of the arithmetical average for the highest consecutive twenty-four-month period, as calculated prior to the effective date of Ordinance No. 17-04. In addi t ion to other appl icable l imi tat ions set forth in the plan, and notwithstanding any other provisions of the plan to the contrary, for the plan years beginning on or after January 1, 1996, the annual compensation of each Member taken into account under the plan shall not exceed the annual compensation limit of Section 401(a)(17)(B) of the Internal Revenue Code, as amended for cost of living increases, which is incorporated herein by reference. Earnings. Prior to October 1, 2006, earnings shall mean base Basic wages paid to a member, including state education compensation, police basic education and police and fire career education compensation, but excluding overtime, bonuses and any other payments. Effective October 1, 2006, earnings for firefighter members shall mean base wages paid to the member including state education compensation and fire career education compensation, but excluding overtime, bonuses and any other payments. Effective October 1, 2006, earnings for police officer members, shall mean base wages paid to the member including state education compensation, police basic education, police career education compensation and up to twenty-five (25) hours of overtime compensation per fiscal year, but excluding bonuses and any other payments. Section 2. That Chapter 33, “Police and Fire-Rescue Departments”, Section 33.61, “Membership, Conditions of Eligibility; Application”, of the Code of Ordinances of the City of Delray Beach is hereby amended to read as follows: Sec. 33.61-MEMBERSHIP; CONDITIONS OF ELIGIBILITY; APPLICATION. (A) Conditions of eligibility. (1) Employees, as defined in Section 33.60, who are covered under the retirement program provided under F.S. Chapters 175 and 185, as of the effective date, shall become members of this system. 3 Ord No. 16-12 (2) Any employee who is a member of the City's retirement plan for general employees at the time of adoption of this retirement system may become a member of this system provided he elects to transfer his employee contribution account from the retirement plan for general employees to this system, which he is authorized to do by this subchapter, and provided he also deposits to the Trust Fund, on the basis of procedures established by the Board of Trustees, an amount equal to the additional moneys he would have contributed had he always been covered under F.S. Chapters 175 and 185, plus interest in an amount to be determined by the Board. (3) Any other employee shall, as a condition of employment, become a member upon employment, provided that: (a) The employee satisfactorily completes all required medical examinations for an employee of his classification, including any examination prescribed by the Board; and (b) The employee meets all requirements of the Civil Service Board of the City. However, for purposes of disability benefits hereunder, the Board may declare anyone becoming a member under subsection (A)(3) of this Section to be permanently ineligible, but only at the time of initial membership, and only in the event that any medical examination under subsection (A)(3)(a) of this Section reveals a condition or symptom which has previously been determined by the Board to render members not eligible for disability. A determination by the Board as to disqualifying conditions and symptoms must be reflected in prior Board minutes, and a declaration of a member's ineligibility must be recorded in the Board's minutes and noted on the member's application form. (B) Application. Each eligible employee shall complete an application form covering the following points, as well as any other points or items as may be prescribed by the Board. (1) The employee's acceptance of the terms and conditions of the retirement system, including an initialing of any declaration of ineligibility for disability benefits; (2) The employee's designation of a beneficiary; and (3) Authorization of a seven and thirty three hundredths (7.33) percent payroll 4 Ord No. 16-12 deduction payable to the system, effective October 1, 1989 in the amount provided for in Section 33.64 (A). (C) Change in Designation of Beneficiary. (1) A member, including a member who has elected to participate in the Deferred Retirement Option Plan pursuant to Section 33.685, shall designate the joint pensioner annuitant or beneficiary to receive the benefit, if any, payable under the plan in the event of the member's death, on a form provided by the Board of Trustees. (2) The member may revoke or change the designation of a joint pensioner annuitant or beneficiary at any time prior to the commencement of retirement income or benefits, or prior to the member's entry into the Deferred Retirement Option Plan, by submitting such change in writing on a form provided by the Board of Trustees. (3) A retired member, including a retired member who retired prior to the effective date of this ordinance [December 31, 1999], is a participant in the Deferred Retirement Option Plan may also change the designation of the member's a joint pensioner annuitant or beneficiary after the commencement of retirement income or benefits up to two times without the approval of the Board of Trustees. Any additional changes must be approved by the Board of Trustees. A retiree need not provide proof of the good health of the joint annuitant or beneficiary being removed, and the joint annuitant or beneficiary being removed need not be living. The consent of the retiree's joint annuitant or beneficiary to any change in such designation shall not be required. subject to approval by the Board of Trustees, and in accordance with the following: (1) The member must pay the full cost of determining the equivalent actuarial value of the benefit payable. (2) The consent of a member’s joint pensioner or beneficiary to any such change in such designation shall not be required. (3) The amount of retirement income payable to the member upon the designation of a new joint pensioner annuitant shall be actuarially redetermined, taking into account the benefits already received by the member, and the age and sex of the former joint pensioner, annuitant the new joint pensioner annuitant and the member. (4) Each designation of a joint pensioner annuitant or beneficiary shall be made in writing on a form provided by the Board of Trustees. (5) Upon a change in designation of joint pensioner annuitant or beneficiary, the rights of all previously designated joint pensioner annuitants or beneficiaries to receive any benefit under the system shall cease. 5 Ord No. 16-12 Section 3. That Chapter 33, “Police and Fire-Rescue Departments”, Section 33.62, “Benefit Amounts and Eligibility”, of the Code of Ordinances of the City of Delray Beach is hereby amended to read as follows: * * * * (J) Required Payment of Pension Benefits. Pension benefits shall begin no later than April 1 of the calendar year following the calendar year in which the member retires, or in which the member attains age seventy and one-half (70 1/2), even if the member has not filed a claim for pension benefits. In addition, payment of benefits shall be made in accordance with the applicable provisions of Section 401(a)(9) of the Internal Revenue Code, which is incorporated herein by reference. Notwithstanding any other provision of this plan to the contrary, a form of retirement income payable from this plan, shall satisfy the following conditions: (1) If the retirement income is payable before the member's death: a. It shall either be distributed or commence to the member not later than April 1 of the calendar year following the later of the calendar year in which the member attains age 70 1/2, or the calendar year in which the member retires; b. The distribution shall commence not later than the calendar year defined above; and (i) shall be paid over the life of the member or over the lifetimes of the member and spouse, issue or dependent, or (ii) shall be paid over the period extending not beyond the life expectancy of the member and spouse, issue or dependent. Where a form of retirement income payment has commenced in accordance with the preceding paragraphs and the member dies before his entire interest in the plan has been distributed, the remaining portion of such interest in the plan shall be distributed no less rapidly than under the form of distribution in effect at the time of the member's death. (2) If the member's death occurs before the distribution of his interest in the plan has commenced, member's entire interest in the plan shall be distributed within five years of member's death, unless it is to be distributed in accordance with the following rules: a. The member's remaining interest in the plan is payable to his spouse, issue or dependent; 6 Ord No. 16-12 b. The remaining interest is to be distributed over the life of the spouse, issue or dependent or over a period not extending beyond the life expectancy of the spouse, issue or dependent; and c. Such distribution begins within one year of the member's death unless the member's spouse, is the sole designated beneficiary, in which case the distribution need not begin before the date on which the member would have attained age 70 1/2 and if the member's spouse dies before the distribution to the spouse begins, this section shall be applied as if the spouse were the member. Section 4. That Chapter 33, “Police and Fire-Rescue Departments”, Section 33.63, “Optional Forms of Benefits”, of the Code of Ordinances of the City of Delray Beach is hereby amended to read as follows: Sec. 33.63. OPTIONAL FORMS OF BENEFITS. Each member entitled to a normal, early or disability retirement benefit shall have the right at any time prior to his actual retirement to elect to have his benefit payable under any one of the options hereinafter set forth in lieu of the benefits otherwise provided herein, and to revoke any elections and make a new election at any time prior to actual retirement. The value of optional benefits shall be actuarially equivalent to the value of benefits otherwise payable. The member shall make an election by written request to the Board of Trustees, this request being retained in the Board's files. (A) Option 1. Joint and Last Survivor Option. A retiring member may elect to receive an actuarially adjusted retirement benefit during his lifetime and have such retirement benefit (including seventy-five (75) percent, sixty-six and sixty-six one hundredths (66.66) percent or fifty (50) percent thereof) continued after his death to and during the lifetime of a designated joint annuitant pensioner. The election of Option 1 shall be null and void if the designated joint annuitant pensioner dies before the member's retirement, unless the member designates another joint annuitant pensioner in accordance with Subsection 33.61(C). In addition, the member may elect to add a "pop-up" feature to his joint and survivor option, then, upon the death of his joint annuitant pensioner, the amount of his monthly payment will be increased to the amount of a straight life annuity and such amount will be payable as of the first day of each month after the death of his joint annuitant pensioner for the remainder of his lifetime. A member electing to add the pop-up feature to his joint and survivor option will have his monthly benefit under this Option 1 actuarially reduced to take into account the addition of the pop-up feature. 7 Ord No. 16-12 Section 5. That Chapter 33, “Police and Fire-Rescue Departments”, Section 33.64, “Contributions”, of the Code of Ordinances of the City of Delray Beach is hereby amended to read as follows: Sec. 33.64. CONTRIBUTIONS. (A) Member Contributions. (2) Effective October 1, 1989, the City shall pick up the member contribution required by subsection (A)(1) above. The contributions so picked up shall be treated as employer contributions in determining tax treatment under the United States Internal Revenue Code. The City shall pick up the member contributions from funds established and available in the salaries account, which funds would have otherwise been designated as member contributions and paid to the pension fund. Member contributions picked up by the City pursuant to this subdivision shall be treated for purposes of making a refund of member contributions, and for all other purposes of this and other laws, in the same manner and to the same extent as member contributions made prior to the effective date of this subdivision. The intent of this subdivision is to comply with Section 414(h)(2) of the Internal Revenue Code. No employee shall have the option of choosing to receive the contributed amounts directly instead of having them paid by the City to the System. Section 6. That Chapter 33, “Police and Fire-Rescue Departments”, Section 33.65, “Administration” of the Code of Ordinances of the City of Delray Beach is hereby amended to read as follows: Sec. 33.65. ADMINISTRATION. (A) The general administration and responsibility for the proper operation of the retirement system and for making effective the provisions of this subchapter are vested in a Board of Trustees consisting of nine (9) persons as follows: (1) The Mayor; or upon the Mayor's designation, the Assistant City Manager; (2) Two (2) public members, one of whom may be a City Commissioner, to be appointed by the City Commission as hereinafter provided; (3) The Fire Chief or, in the event of the Fire Chief’s termination of participation in the system, a firefighter (with a minimum rank of Chief Officer) designated by the Fire Chief; 8 Ord No. 16-12 (4) The Police Chief or, in the event of the Police Chief’s termination of participation in the system, a police officer (with a minimum rank of Captain) designated by the Police Chief; (5) Two (2) members of the Fire Department to be elected as hereinafter provided; (6) Two (2) members of the Police Department to be elected as hereinafter provided. (B) The term of office of each appointed and elected trustee shall be two (2) years except that the initial terms within each category above shall be for two (2) and three (3) years. The initial terms shall commence on the effective date of this system. Initially in each elective category, the trustee receiving the most votes shall serve a three-year term, the second most votes a two-year term. Section 7. That Chapter 33, “Police and Fire-Rescue Departments”, Section 33.66, “Finances and Fund Management” of the Code of Ordinances of the City of Delray Beach is hereby amended to read as follows: Sec. 33.66. FINANCES AND FUND MANAGEMENT. (E) The Board of Trustees shall have the following investment powers and authority: (3) Notwithstanding any limitation provided in Chapter 175 or Chapter 185, Florida Statutes, or any limitation or condition contained in Section 215.47, Florida Statutes, the Board of Trustees may invest and reinvest pension fund assets in such securities, investment vehicles and property wherever situated and of whatever kind, as the Board shall approve in the exercise of its fiduciary duty and authority, including but not limited to common or preferred stocks, bonds and other evidences of indebtedness or ownership. In no event, however, shall more than ten (10) percent of the assets of the fund, at cost, be invested in foreign securities; provided, if state law is amended to allow investments in foreign securities of fifteen (15) or more percent of fund assets, t The Board may invest up to twenty-five (25) fifteen (15) percent of fund assets, at cost on a market-value basis in foreign securities. 9 Ord No. 16-12 Section 8. That Chapter 33, “Police and Fire-Rescue Departments”, Section 33.689, “Retirement Benefit Enhancement” of the Code of Ordinances of the City of Delray Beach is hereby amended to read as follows: Sec. 33.689. -RETIREMENT BENEFIT ENHANCEMENT. (A.) Effective October 1, 1994, the benefits paid to eligible retirees or their beneficiaries shall be adjusted as provided in this Section. For the purpose of this Section, "eligible retirees" are members who retired or terminated employment after September 30, 1993, and whose date of hire as a City Police Officer or Firefighter was twenty-five (25) or more years prior to the benefit adjustment date. The benefits payable under the system to all eligible retirees or their beneficiaries shall be based on the amount of insurance premium tax revenues received by the City for the preceding plan year pursuant to chapters 175 and 185, Florida Statutes. A minimum benefit increase of one percent per year will be provided, regardless of the amount of premium tax revenues received by the City. (B.) Firefighter retirees. To the extent total annual premium tax revenues received pursuant to Chapter 175, Florida Statutes, exceed one hundred ninety seven thousand nine hundred ninety-five dollars ($197,995.00) five hundred four thousand nine hundred twenty two dollars ($504,922.00), the annual one percent minimum adjustment for firefighter retirees will be increased in increments of one-tenth of one percent, based on the actuary's determination that the amount of the excess premium tax revenues is sufficient to fund the benefit increase on an actuarially sound basis. The maximum amount of the total annual benefit increase shall not exceed four (4) percent, regardless of the amount of premium tax revenues received by the City. The annual benefit adjustment provided under this Section shall be compounded annually (i.e. the increase shall be based on the benefits received by plan members and beneficiaries at the end of the preceding plan year). The benefits payable under the system to all eligible retirees or their beneficiaries shall be adjusted annually on the anniversary of the retiree’s first benefit payment. Disability retirees and their beneficiaries are not eligible to receive the retirement benefit enhancement. (C.) Police officer retirees. To the extent annual premium tax revenues received pursuant to Chapter 185, Florida Statutes, exceed three hundred six thousand nine hundred twenty-seven dollars ($306,927.00) and are less than four hundred forty-six thousand four hundred and seven dollars ($446,407.00), the annual one percent minimum adjustment for police officer retirees will be increased in increments of one-tenth of one percent, based on the actuary's determination that the amount of such premium tax revenues is sufficient to fund the benefit increase on an actuarially sound basis. The maximum amount of the total annual benefit increase shall not exceed four (4) percent, regardless of the amount of premium tax revenues received by the City. Annual premium tax revenues received pursuant to Chapter 185, Florida Statutes, in excess of four hundred fortysix thousand four hundred and seven dollars ($446,407.00) shall be used to provide for the inclusion of overtime compensation, up to a maximum of three hundred hours per year, that the actuary for the plan determines may be funded on an actuarially sound basis entirely 10 Ord No. 16-12 with annual Chapter 185 premium tax revenues in excess of four hundred forty-six thousand four hundred and seven dollars ($446,407.00). When the actuary for the plan determines that adequate premium tax revenues received pursuant to Chapter 185 in excess of four hundred forty-six thousand four hundred and seven dollars ($446,407.00) annually have been allocated to fully fund on an actuarially sound basis the inclusion of three hundred hours of overtime compensation annually in the earnings of active police officers who are not participating in the Deferred Retirement Option Plan, then all future additional premium tax revenues shall be used to provide the annual benefit adjustment for police officer retirees. (D) The annual benefit adjustment provided under this Section shall be compounded annually (i.e. the increase shall be based on the benefits received by plan members and beneficiaries at the end of the preceding plan year). The benefits payable under the system to all eligible retirees or their beneficiaries shall be adjusted annually on the anniversary of the retiree's first benefit payment. Disability retirees and their beneficiaries are not eligible to receive the retirement benefit enhancement. Section 9. That Chapter 33, “Police and Fire-Rescue Departments”, Section 33.70, “Direct Transfers of Eligible Rollover Distributions” of the Code of Ordinances of the City of Delray Beach is hereby amended to read as follows: Sec. 33.70. DIRECT TRANSFERS OF ELIGIBLE ROLLOVER DISTRIBUTIONS. (B) Definitions. (1) Eligible Rollover Distribution. Any distribution of all or any portion of the balance to the credit of the distributee, except that an eligible rollover distribution does not include: any distribution that is one of a series of substantially equal periodic payments (not less frequently than annually) made for life (or life expectancy) of the distributee or the joint lives (or joint life expectancies) of the distributee and the distributee's designated beneficiary, or for a specified period often (10) years or more; any distribution to the extent such distribution is required under Section 401(a)(9) of the Internal Revenue Code; and the portion of any distribution that is not includable in gross income. (2) Eligible Retirement Plan. An eligible retirement plan is an individual retirement account described in Section 408(a) of the Internal Revenue Code, an individual retirement annuity described in Section 408(b) of the Internal Revenue Code, an annuity plan described in Section 403 (a) of the Internal Revenue Code, a qualified trust described in Section 401 (a) of the Internal Revenue Code, an eligible deferred compensation plan described in Section 457(b) of the Internal Revenue Code which is 11 Ord No. 16-12 maintained by an eligible employer described in Section 457(e)(1)(A) of the Internal Revenue Code, or an annuity contract described in Section 403 (b) of the Internal Revenue Code, that accepts the distributee's eligible rollover distribution. (3) Distribute. A distributee includes an employee or former employee. In addition, the employee's or former employee's surviving spouse is a distributee with regard to the interest of the spouse. Effective as of January 1, 2008, an Employee's or former Employee's non-spouse Beneficiary is a distributee with regard to the interest of the Employee or former Employee. (4) Direct Rollover. A direct rollover is a payment by the plan to the eligible retirement plan specified by the distributee. Effective as of January 1, 2008, a non-spouse Beneficiary may make a direct rollover only to an "inherited" individual retirement account as described in Section 408(b) of the Internal Revenue Code. Section 10. That Chapter 33, “Police and Fire-Rescue Departments”, Section 33.73, “Termination of the System” of the Code of Ordinances of the City of Delray Beach is hereby enacted to read as follows: Sec. 33.73. TERMINATION OF THE SYSTEM. If it is determined by the City Commission that this Retirement System be terminated it shall be terminated in accordance with State law as set forth in Chapters 175 and 185, as those Chapters now exist and as they may be amended in the future. Section 11. That should any section or provision of this ordinance or any portion thereof, any paragraph, sentence, or word be declared by a court of competent jurisdiction to be invalid, such decision shall not affect the validity of the remainder hereof as a whole or part thereof other than the part declared to be invalid. Section 12. That all ordinances or parts of ordinances in conflict herewith be, and the same are hereby repealed. Section 13. That this ordinance shall become effective immediately upon passage on second and final reading. 12 Ord No. 16-12 PASSED AND ADOPTED in regular session on second and final reading on this the _____ day of ___________________, 2012. _________________________________ Mayor ATTEST: _______________________________ City Clerk First Reading __________________ Second Reading _________________ MEMORANDUM TO: Mayor and City Commissioners FROM: R. Brian Shutt, City Attorney DATE: May 29, 2012 SUBJECT: AGENDA ITEM 12.A. -REGULAR COMMISSION MEETING OF JUNE 5, 2012 ORDINANCE NO. 16-12 ITEM BEFORE COMMISSION The item before the City Commission is Ordinance No. 16-12 which provides for modifications to the Police/Fire Pension Ordinance. BACKGROUND The City of Delray Beach Police and Fire Pension Board requested certain changes to our City ordinance regarding the police/fire pension plan in order to implement certain provisions of state law, the Internal Revenue Code and the decision in the case of the Department of Management Services v. City of Delray Beach. The Pension Board has also proposed changes that are not required by state or federal law but would require a policy determination by the Commission. Jim Linn, the City’s pension attorney, has also reviewed the proposed ordinance, see attached memo. I have highlighted the areas where staff has a question or concern regarding the proposed language. They are: 33.60 – the highlighted words in the definition of “Earnings” was proposed by Jim Linn in an effort to clarify the language. 33.61 – It is suggested that paragraph 3(b) be removed as the Civil Service Board does not have jurisdiction over these employees. 33.65 – The pension board requested changes to allow the fire/police chief or their designees to sit on the board and to extend the terms of board members from 2 to 4 years. This request is not required by State law or the IRS. 33.73 – The pension board requested this section be added regarding the termination of the plan. Staff’s concern is that this primarily duplicates State law and that we should just provide a statement that we will follow State law as it relates to the termination of the plan. The Commission will need to give direction when approving the ordinance on first reading regarding the highlighted language. RECOMMENDATION Commission discretion. Coversheet Page 1 of 1 http://itwebapp/AgendaIntranet/Bluesheet.aspx?ItemID=5656&MeetingID=378 6/12/2012 MEMORANDUM TO: Mayor and City Commissioners FROM: David T. Harden, City Manager DATE: June 12, 2012 SUBJECT: AGENDA ITEM 10.C. -REGULAR COMMISSION MEETING OF JUNE 19, 2012 ORDINANCE NO. 18-12 ITEM BEFORE COMMISSION This ordinance is before Commission for second readingand quasi-judicial hearing to considera cityinitiated rezoning from RM (Medium Density Residential) to CF (Community Facilities) for two parcels of land located on the east side of S.W. 12th Avenue, approximately 106 feet north of S.W. 2nd Street for the Neighborhood Resource Center Expansion. BACKGROUND At the first reading on June 5, 2012, the Commission passed Ordinance No. 18-12. RECOMMENDATION Recommend approval of Ordinance No. 18-12 on second and final reading. ORDINANCE NO. 18-12 AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF DELRAY BEACH, FLORIDA, REZONING AND PLACING LAND PRESENTLY ZONED RM (MEDIUM DENSITY RESIDENTIAL) DISTRICT TO CF (COMMUNITY FACILITIES) DISTRICT; SAID LAND BEING A PARCEL LOCATED ON THE EAST SIDE OF SW 12TH AVENUE, 107 FEET NORTH OF SW 2ND STREET, AS MORE PARTICULARLY DESCRIBED HEREIN; AMENDING "ZONING MAP OF DELRAY BEACH, FLORIDA, JANUARY 2012"; PROVIDING A GENERAL REPEALER CLAUSE, A SAVING CLAUSE, AND AN EFFECTIVE DATE. WHEREAS, the property hereinafter described is shown on the Zoning District Map of the City of Delray Beach, Florida, dated January 2012, as being zoned RM (Medium Density Residential) District; and WHEREAS, at its meeting of May 21, 2012, the Planning and Zoning Board for the City of Delray Beach, as Local Planning Agency, considered this item at a public hearing and voted 7 to 0 to recommend that the property hereinafter described be rezoned, based upon positive findings; and WHEREAS, pursuant to Florida Statutes 163.3174(4)(c), the Planning and Zoning Board, sitting as the Local Planning Agency, has determined that the changes are consistent with and further the objectives and policies of the Comprehensive Plan; and WHEREAS, the City Commission of the City of Delray Beach adopts the findings in the Planning and Zoning Staff Report; and WHEREAS, the City Commission of the City of Delray Beach finds the ordinance is consistent with the Comprehensive Plan; and WHEREAS, it is appropriate that the Zoning District Map of the City of Delray Beach, Florida, be amended to reflect the revised zoning classification. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY OF DELRAY BEACH, FLORIDA, AS FOLLOWS: Section 1. That the recitations set forth above are incorporated herein. Section 2. That the Zoning District Map of the City of Delray Beach, Florida, be, and the same is hereby amended to reflect a zoning classification of CF (Community Facilities) District for the following described property: 2 ORD NO. 18-12 Lots 9 and 10 inclusive, Block 6, Atlantic Gardens, as recorded in Plat Book 14, Page 63, of the Public Records of Palm Beach County, Florida. Section 3. That the Planning and Zoning Director of the said City shall, upon the effective date of this ordinance, amend the Zoning Map of the City of Delray Beach, Florida, to conform with the provisions of Section 2 hereof. Section 4. That all ordinances or parts of ordinances in conflict herewith be, and the same are hereby repealed. Section 5. That should any section or provision of this ordinance or any portion thereof, any paragraph, sentence, or word be declared by a court of competent jurisdiction to be invalid, such decision shall not affect the validity of the remainder hereof as a whole or part thereof other than the part declared to be invalid. Section 6. That this ordinance shall become effective immediately upon passage on second and final reading. PASSED AND ADOPTED in regular session on second and final reading on this the _____ day of ___________________, 2012. ____________________________________ ATTEST M A Y O R ___________________________ ____ City Clerk First Reading__________________ Second Reading________________ MEMORANDUM TO: Mayor and City Commissioners FROM: CANDI N. JEFFERSON, SENIOR PLANNER PAUL DORLING, AICP, DIRECTOR OF PLANNING AND ZONING THROUGH: CITY MANAGER DATE: May 25, 2012 SUBJECT: AGENDA ITEM 12.B. -REGULAR COMMISSION MEETING OF JUNE 5, 2012 ORDINANCE NO. 18-12 ITEM BEFORE COMMISSION The item before the City Commission is consideration of a rezoning from RM (Multiple Family Residential) to CF (Community Facilities) for the Neighborhood Resource Center Expansion located at 133 SW 12 th Avenue. BACKGROUND The action requested of the City Commission is approval of a zoning change from RM (Medium Density Residential) to CF (Community Facilities) for Lots 9 & 10, Block 6 Atlantic Gardens Delray Subdivision to accommodate the Neighborhood Resource Center Expansion. The subject property consists of approximately 13,939 square feet. The property previously contained a 2,514 sq. ft. multiple family dwelling which was built in 1967. This structure was demolished on July 8, 2011. The vacant parcels are currently owned by the Community Redevelopment Agency (CRA). The RM zoning district does not allow community centers as either a principal or conditional use, thus a rezoning application is being requested to change the existing zoning designation from RM (Medium Density Residential) to CF (Community Facilities). The expansion will occur on property immediately north of the existing Neighborhood Resource Center, which was rezoned from RM to CF, by the City Commission on June 20, 2006 through City Ordinance No. 32-06. The proposed change seeks to apply a zoning designation which is consistent with the adjacent use and complements the needs of the neighborhood. Additional background and an analysis of the request are found in the attached Planning and Zoning Board Staff Report. REVIEW BY OTHERS At its meeting of May 21, 2012, the Planning and Zoning Board held a public hearing in conjunction Coversheet Page 1 of 2 http://itwebapp/AgendaIntranet/Bluesheet.aspx?ItemID=5646&MeetingID=378 6/12/2012 with the request. The Board voted 7-0 to recommend approval of the rezoning from RM to CF, by adopting the findings of fact and law contained in the staff report, and a finding that the request is consistent with the Comprehensive Plan and the Southwest Area Neighborhood Development Plan, and meets the criteria set forth in Sections 3.1.1, 3.2.2, and 2.4.5(D)(5) of the Land Development Regulations. The Board did emphasize the need to look at the adequacy of on-site parking during review by the Site Plan Review and Appearance Board (SPRAB). RECOMMENDATION Move approval of the rezoning from RM (Multiple Family Residential) to CF (Community Facilities) by adopting the findings of fact and law contained in the staff report, and finding that the request is consistent with the Comprehensive Plan and the Southwest Area Neighborhood Redevelopment Plan, and meets the criteria set forth in Sections 3.1.1, 3.2.2, and 2.4.5(D)(5) of the Land Development Regulations. Coversheet Page 2 of 2 http://itwebapp/AgendaIntranet/Bluesheet.aspx?ItemID=5646&MeetingID=378 6/12/2012 MEMORANDUM TO: Mayor and City Commissioners FROM: David T. Harden, City Manager DATE: June 12, 2012 SUBJECT: AGENDA ITEM 10.D. -REGULAR COMMISSION MEETING OF JUNE 19, 2012 ORDINANCE NO. 20-12 ITEM BEFORE COMMISSION This ordinance is before Commission for second readingto consider a city-initiated ordinance amending Chapter 110, “Local Business Taxes Generally”, Section 110.15, “Local Business Tax Schedule”, to provide for a 5% percent increase in all business tax fees. BACKGROUND At the first reading on June 5, 2012, the Commission passed Ordinance No. 20-12. For additional information a survey of tax rates and revenues from other cities is attached. The specific classifications listed for cities are shown only as examples and are far from all inclusive. RECOMMENDATION Recommend approval of Ordinance No. 20-12 on second and final reading. ORDINANCE NO. 20-12 AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF DELRAY BEACH, FLORIDA, AMENDING CHAPTER 110, “LOCAL BUSINESS TAXES GENERALLY”, OF THE CODE OF ORDINANCES BY AMENDING SECTION 110.15, “LOCAL BUSINESS TAX SCHEDULE”, TO ELIMINATE OUTDATED BUSINESS CLASSIFICATIONS AND TO PROVIDE FOR AN INCREASE IN THE LOCAL BUSINESS TAX SCHEDULE; PROVIDING A SAVING CLAUSE, A GENERAL REPEALER CLAUSE, AND AN EFFECTIVE DATE. WHEREAS, Section 110.15 “Local Business Tax Schedule”, of the Code of Ordinances of the City of Delray Beach establishes the individual business tax required to be paid annually to the City by persons engaging in or managing/transacting an occupation or profession; and WHEREAS, pursuant to Chapter 205, Florida Statutes, the City Commission has determined it to be appropriate to increase said local business tax. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY OF DELRAY BEACH, FLORIDA, AS FOLLOWS: Section 1. That Chapter 110, “Local Business Taxes Generally”, of the Code of Ordinances is amended by amending Section 110.15, “Local Business Tax Schedule”, to read as follows: The following enumerated individual local business taxes shall be paid to the City by the persons engaging in or managing or transacting the several occupations or professions named yearly, unless otherwise specified: Classification All Fees $156.56 164.39 except as noted Abstracting Company Land title, warranty or security company. Each individual conducting the business of abstracting title, either in part or in whole, shall pay a license tax. Academy of Music Adult Entertainment Advertising 2 ORD. NO. 20-12 Agencies, firms, associations, corporations or other persons distributing circulars, pamphlets or other advertising matter, except local merchants and theaters advertising in this way their own goods and merchandise, shall pay an annual license tax. Advertising Agencies engaged in the business of bill posting shall pay a license tax, per year. Advertising Office, Public Relations Alleys, Bowling, Boxball or Tenpins Each lane 25.35 26.62 Ambulance Separate from undertaking, each 88.57 93.00 Amusement Parlors or Concert Halls Apartment, Rooming Houses Per room, excluding kitchen and bathrooms 6.37 6.69 Aquarium Armored Car Service Each vehicle 88.57 Art Gallery (1) Art Studio, workshop, classes (2) Artist, commercial (See Retail) (3) Artist material or supplies (See Merchants) (4) Artists' outdoor sale: Each sale, first day 37.97 Each day thereafter 12.74 Astrologists, Clairvoyants, Fortune Tellers, Palmists, Phrenologists, Spiritualists, Numerologists and Mental Healers These activities and others of a similar nature, whether or not in connection with another business charging fees, shall pay a license tax. Athletic Club, Gymnasium/Fitness Center (Zoning) Auctioneers Auctions Auction, Real Estate Per day 3 ORD. NO. 20-12 Automatic Amusement Machines, Games or Devices, Distributor Annual Fee Note: It is understood that this shall not be construed to license or permit operation or display of gambling devices. Automatic Games and Devices or otherwise, marble games, such as throwing balls at figures and the like, which are not elsewhere provided for in this Chapter. Each machine or apparatus 63.21 66.37 Automatic Trade Machines Where only incentive to operate same is to procure such as gum, nuts and the like Each machine 37.97 39.87 Distributor 149.94 157.44 Automatic Weighing Machines Distributor Each machine 12.74 13.38 Automobile or Motor Vehicles, Trucks, Farm Tractors and Farm Implements, Motorcycles (1) Auto agency or dealer, in new or used cars, motor vehicles, motorcycles, trucks, farm tractors and farm implements, with one principal place of business, not to exceed one lot for display purposes, each agency, not to include repairs. (2) Each additional display lot. (3) Rental of vehicle not to exceed thirty (30) days as replacement for vehicles undergoing repairs by agency. Automobile (1) Automatic car wash, not in connection with other business (2) Automobile association (See Insurance) (3) Driving school (4) Parking lots, commercial, each lot (5) Repair shop or garage, in connection with auto agency (6) Repair shop or garage not in connection with other business (7) Self-serve car wash, first unit 50.60 53.13 Each additional unit 12.74 (8) U-Drive rentals (9) Upholstering, tops, seat covers and the like 4 ORD. NO. 20-12 (10) Automobile used parts, dealers in, used for purposes other than junk (11) Wrecker service, towing (12) Auto detailing Automobile Service Station Washing and polishing, greasing, lubricating and like servicing of automobiles, selling gasoline and oil, but not to include repair work and not to include the sale of merchandise required to be licensed otherwise by ordinance under Merchants. Automobile Service Station Selling merchandise other than petroleum products used in greasing and lubricating, shall pay the Merchants license on other merchandise in addition to the foregoing. Baby Sitter Service 75.94 82.37 Baggage or Freight Transfer Company Bakery Wholesale and retail, each store Ballrooms for Profit Banks (National and State chartered), Savings and Loan Associations (per Section 5219 Revised Statutes 12 U.S.C. 548) Bankruptcy, Closing Out, Trustee Sale (See Fire sale) Barber Shops Beach Equipment (Subject to bids to the Commission) Beauty Shops Bible, Holy—Solicitors Bicycle Shop, both retail and repair Billiard, Pool or Bagatelle Tables For profit, eEach table 63.21 66.37 Birds Dealers Blueprinting Service Maps, plats and the like Boat Agencies, New/Used Each lot, not to include repairs 5 ORD. NO. 20-12 Boats for Hire Fishing, cruising or sightseeing (each boat) Boathouses Storage only Boat Marinas, Dockage, Yacht Basins Boat Repair Boiler, Machine Shops or Foundries Bondsman, Bail Bonds Book, Magazine Solicitors Per week 63.21 66.37 Per person 25.36 26.62 Interstate commerce No fee Bookkeeper/Accountant, not C.P.A. Boot and Shoe Repair Shop Bottling Works Brokers Stockers, [Stocks,] bonds, mortgages, customs and others Building Inspector Building and Loan Associations (See Banks) Burglar Alarm Company Bus Station, intrastate business only Business College, Trade Schools Business Office Butcher Shop Cabinet Shop Carpet and Rug Cleaning Each location Caterers Fixed base or mobile, each truck 63.21 66.37 Ceramic Studio Chemical Companies Christmas Tree Sales 6 ORD. NO. 20-12 Season only, each lot Citrus Fruits and Vegetable Retail (See Merchants) Claim and Collecting Agencies Cleaning, Pressing, Dyeing (See Laundries) Clothing Secondhand dealers Cold Drink Stand (See Merchants) Cold Storage All types Commission Merchants Handling shipments (other than specifically provided for herein) on a Commission basis Computer Service Concrete Products (See Manufacturer) Concrete Ready-Mix Plant Contractors (1) General (2) Engineering contractor (includes bridge, bulkheading, drainage, excavating, sewer construction, dredging, irrigation systems, pile driving, seawalls, sidewalk, street grading and paving and similar contract work (3) Structural and reinforced iron and steel (4) Subcontractors and others as listed: Concrete, stone, brick Electrical Heating and ventilating House movers Masons Plasterers Roofing Sheet metal and tinsmith Septic tank Tile Well drilling Floor sanding and finishing Lathers Plumbers 7 ORD. NO. 20-12 (5) Any person who shall accept orders to be engaged in the business of accepting orders or constructs on cost plus, fixed fee, stated sum, percentage basis or any combination thereof, or for compensation other than wages for doing work on or in any building or structure requiring the use of paint, stone, brick, mortar, cement, wood, structural steel or iron, sheet iron, metallic piping, tin, lead or any other building material; or to do any paving or curbing on sidewalks or streets, on public or private property, using asphalt, brick, stone, cement or wood or any combination; or to excavate for foundations or any other purpose, or to construct sewers, septic tanks, docks, drive piling, construct bridges, construct seawalls and bulkheads of any and all description; and who is engaged in the business of building, remodeling, repairing, razing or moving, whether it be by contract, fixed fee or sublet, percentage or any combination thereof, or for compensation other than wages, shall be deemed to be a contractor within the meaning of this Chapter. Convalescent Home (not sanitarium) Ch. 400, Florida Statutes, zoning, State Department of Health and Rehabilitative Services regulations Costume, Clothing Rental Credit Bureaus Dairies (milk distributors, jobbers or creameries delivering milk) Each truck 88.57 Dance Halls Dancing Schools Data Processing (See Professional) Dealers in Secondhand Firearms This license shall be exclusive of all other license taxes. All secondhand dealers shall keep a permanent record of all purchase and sales, including dates, description of property purchased or sold, names and addresses of persons purchasing or selling them. Delicatessen Dental Supplies Dental Technician Laboratory Department Stores (See Merchants) Detective Agency Each location (state certificate) Distributor Dog and Pet Grooming Sale of supplies (See Merchants) Dressmaking, Hemstitching (no stock carried) Drugs, Retail Dealer (See Merchants) Dry Cleaning (See Laundries) Electric Light and Power Companies 8 ORD. NO. 20-12 Emigrant Agents Including any agent, solicitor or recruiter engaged in the business of hiring, enticing or soliciting laborers or emigrants. Employment Agencies Engravers or Lithographers Export or Import Companies Express Companies (Intrastate only) Exterminators (State certificate) Fertilizer Manufacturers—Mixing Plant Fire Extinguisher Sales, Service Fire and Wreck Sales When not conducted by bona fide business concerns previously established and doing business in the City), of undamaged goods of that firm having damage by fire or wreck, each sale. Fish or Poultry Market Fish Peddler (See Peddlers of merchandise) Fishing Tackle (See Merchants) Fishing Tackle or Gun Repair Florists or Dealers in Flowers, each Food Lockers—Cold Storage Fruit, Vegetable Stand Fumigating (See Exterminators) Furniture and House Furnishing (See Merchants) Gas Companies (1) Distributing and selling gas through pipelines (2) Selling bottled gas (3) Gas tank wagon delivery only Gasoline and Oil Distributors Wholesale, Storage Facilities in the City Golf Courses, each Golf Driving Range, each Golf Miniature, each Guaranty or Surety Title Companies Guard, Patrol Service (See Detective Agency) Guns, Sales or Repair/Gun Range 9 ORD. NO. 20-12 Need Federal firearms dealers license Harness and Saddlery (See Merchants) Home Occupation Hospitals, Sanitarium Hotels Per room, excluding kitchens and bathrooms 6.37 6.69 Hypnotists Must meet requirements set forth in F.S. Chapter 456 Ice Cream Manufacturers Ice Cream Parlors Ice Cream Wagon or Truck, each 126.41 132.73 Ice Manufacturing or Storage Import, Export (See Export) Insecticide Manufacturers or dealers Installers, Carpets Insurance Adjusters Insurance Agency For each company represented Insurance Baggage, each company represented Insurance Casualty, life, hospitalization, industrial, burial, bonding and surety companies, each Interior Decorator Invalid and Hospital Supplies Jewelry Dealers buying and selling old gold, silver and other precious metals, or offer to buy and sell (permanent records of all purchases and sales, including dates, description of property purchased and sold, names and addresses of persons purchasing or selling required). Jewelry Repair Jewelry Store (See Merchants) Junk Shops or Dealers License required whether or not sale or purchase or both, or solicitations are made 10 ORD. NO. 20-12 Kennels, Animal (Approved location) Key Shop, Locksmith and Associated Services (See Merchants) Knife, Scissors and Tool Sharpener Landscape Company Laundry or Dry Cleaning Plant Agent for out of town laundries Local agency, permanent office Self-service Lawn Maintenance Lawn Spraying Board of Health certificate Linen or Diaper Service Loan, Finance, Mortgage Company Lumber Dealers Lunch Stands, (Not over twenty-five (25) chairs) Machine Shops (Not automobile) Mail Order Business Maintenance (Floor, home, office, building) Manicurist, each 75.94 79.77 Manufacturer Marble and Granite Works Massage Salon Masseur, Masseuse, each 75.94 79.77 Meats (See Butcher shop) Merchandise, Secondhand (See Secondhand dealers) Merchants, Druggists and Storekeepers Messenger Service (exclusive of telegrams) Mimeograph and Letter Shop Monuments and Tombstones Motion Picture Theaters Performances of moving pictures or other forms of entertainment Movers (See Storage) 11 ORD. NO. 20-12 Moving Company Musical Devices Operator of mechanically operated (whether operated in connection with or separate from any other business) License or tag must be displayed on each machine Musical Devices (Distributor) Music Teachers Nails, Acrylic Shops (State certificate) Newspaper Publisher News Companies (Owners or managers of) Newsstands Owners or managers of, where daily and weekly newspapers or magazines, postcards and the like are sold Night Clubs Restaurants, dining rooms or other establishments, whether floor show or other form of entertainment, exclusive of orchestra, is provided for guests. Novelty Works (See Manufacturer) Nursery Shrubs, trees, plants or landscaping Nursing Home (See Convalescent home) Office Machine Repairs (See Repair shop) Oil (See Gasoline) Paint Manufacturer (See Manufacturer) Parcel Delivery Each vehicle 75.94 Pawnbrokers Peddlers of Merchandise (1) Not otherwise enumerated specifically herein, shall pay a license tax per day of, each person 25.36 26.62 (2) Peddlers who are not producers of the product they sell and who peddle from house to house the products of the farm, grove or waters, shall pay a license tax per day of, each person 25.36 26.62 (3) Peddlers, hawkers or vendors engaged in the occupation of selling products such as fruit, eggs and vegetables and farm products from wagon, push cart or other vehicle, shall pay a license tax of, each vehicle (4) Peddlers, hawkers, vendors, agents or solicitors soliciting business for out-of-town business houses or enterprises not maintaining place of business in city, providing however that this provision 12 ORD. NO. 20-12 does not apply to wholesalers dealing exclusively with retailers (5) Traveling stores, dry goods, groceries, clothing, boots and shoes Pet Shop or Grooming (See Dog and pet grooming) Pharmacies Photo Processing, Film Developing Photographers Piano tuners Picture Agents Plating with Metals Portable Toilets Postcard Stands (Only) Potato Chips (See Manufacturer) Print Shop or Publishing Private Postal Mailbox Private Schools (See Schools) Professional (1) The following practitioners are classed as professional, and each person engaged in the practice of this profession other than persons receiving only a salary or wage by a licensed practitioner in this City, is required to pay a professional local business tax: Accountants and auditors Architects Architects, landscaping Attorneys and lawyers Business consultant Chemists Chiropractors Chiropodists Data processing Dentist Draftsman Engineers, civil, consulting Interior Design Opticians Optometrists 13 ORD. NO. 20-12 Osteopathic physicians Physicians Psychiatrists Research laboratory or office, for profit Surgeons Tax consultant Veterinarians or veterinary Other professions not classified (2) For each person operating with the person licensed in the preceding clause, other than the professional employees Property Management Promoters Entertainment, sports or contests Public Hall for Hire Public Stenographer Publishing Company Books, directories and the like Radio Communications Radio Repair Shop (See Repair Shops) Railroad Companies, each Real Estate Agency or Broker Recording Studio Reducing Salon Rental Equipment (All types) Repair Shops, each Repairs from Truck or Other Vehicle Restaurants (If dancing permitted, see Night clubs) Cafes and public eating places (whether food is served in connection with or separate from other business, except dining rooms in connection with hotels) Retirement, Rest Home (See Convalescent home) Rinks (Bicycle, skating or other) Roof Trusses (Se Manufacturer) Sawmill Yard Schools 14 ORD. NO. 20-12 Secondhand Dealers (1) In goods, wares and merchandise, secondhand or otherwise, known as secondhand dealers exclusive of firearms. (See Dealers in secondhand firearms and secondhand clothing) (2) All secondhand dealers shall keep a permanent record of all purchases and sales, including dates, description of property purchased and sold, names and addresses of persons purchasing or selling them. (3) However, the business shall be adequately housed inside a substantial store building and provided that before any person shall sell or be engaged in the business of selling goods, wares, merchandise or other personal property, the sales being advertised as bankrupt, insolvent, insurance, assignee, trustee, auction, syndicate, railroad or other wreck, wholesale, manufacturer's or closeout sale, or as goods damaged by smoke, fire, water or otherwise, the person shall file an application with the Commission, which application shall be passed on by the Commission and a license tax paid. Secretarial Service Seed Stores (Wholesale and Retail) (See Merchants) Ship Brokers Shoemaker and Repairs Shooting Gallery (See Gun Ranges) Sign Painters Commercial but not erecting Soda or Mineral Water Fountains Solicitor (See Peddlers of Merchandise) Sporting Goods (See Merchants) Stamp or Old Coin Dealer Storage Warehouse or Room Tailors/Seamstress Tanning Salon Tattoo Salon Tax Agency (See Professional) Taxidermist, or agents for In addition to other license Taxis First vehicle 126.63 132.96 Each additional vehicle 63.21 66.37 Telegraph Companies 15 ORD. NO. 20-12 Telemarketing Telephone Answering Service Telephone Solicitation (See Sections 118.40 through 118.45) Telephone Systems and Companies Intrastate business only Temporary Business Receipts (1) Business temporarily located inside enclosed shopping mall; thirty (30) days only (no extensions) 75.94 (2) Special events, no more than once annually (if under three (3) days), as approved by Commission (each license, not otherwise enumerated herein) No fee (3) Special events, no more than once annually (in excess of three (3) days), as approved by Commission (each license, not otherwise enumerated herein) 75.94 Temporary Holiday/Vendors 75.94 79.74 Termite Control Companies Theatrical Directors Who charge for services in directing local talent plays or performances, each performance Theatrical or Dramatic Groups or Companies For profit, where performance is not given in local, licensed theater, each performance Towel, Diaper, Uniform Supply Company Towing Service (See Automobile) Trade Schools Trading Stamp Companies Trailer Park Trailer, Truck Rental Travel Bureaus Tree Pruner (Must have insurance) Trucks Motor-driven, also doing freight transportation, hauling or transfer business for profit, except where other licenses are paid in conducting business, each. (Does not apply to trucks owned by the city, county or state) U-Drive-It Cars (See Automobile) Undertakers, Embalmers and Funeral Directors Uniform Supply (See Towel, diaper, uniform supply company) Upholsterer Vending Machines (See Automatic trade machines) 16 ORD. NO. 20-12 Venetian Blinds Repair, installation and associated services Vulcanizing Each place of business Watch Repair Water (Sold in bottles) (See Bottling works) Water Companies operating same Water-Softening Service Weight Clinic Weighing Machines (See Automatic trade machines) Wheelchair Rental (See Invalid) Window Cleaning Window Tinting Wood Yard Wrecker Service (See Automobile) Section 2. That should any section or provision of this ordinance or any portion thereof, any paragraph, sentence, or word be declared by a court of competent jurisdiction to be invalid, such decision shall not affect the validity of the remainder hereof as a whole or part thereof other than the part declared to be invalid. Section 3. That all ordinances or parts of ordinances in conflict herewith be, and the same are hereby repealed. Section 4. That this ordinance shall become effective immediately upon its passage on second and final reading. PASSED AND ADOPTED in regular session on second and final reading on this the _____ day of ___________________, 2012. ____________________________________ ATTEST M A Y O R _______________________________ City Clerk First Reading__________________ Second Reading________________ MEMORANDUM TO: Mayor and City Commissioners FROM: Lula Butler; Director, Community Improvement THROUGH: David Harden; City Manager DATE: May 31, 2012 SUBJECT: AGENDA ITEM 12.C. -REGULAR COMMISSION MEETING OF JUNE 5, 2012 ORDINANCE NO. 20-12 ITEM BEFORE COMMISSION The item before the Commission is Ordinance No. 20-12, which increases the local business tax schedule across the board by 5%. BACKGROUND Pursuant to Florida Statute Chapter 205, local business taxes may be increased by up to 5% every other year. The last increase in the local business tax schedule occurred in March 2008. This ordinance modifies Section 110.15 by increasing all local business taxes by 5%. Over the next year, this increase would give the City approximately $34,000 in additional revenue. This ordinances also eliminates some outdated business tax classifications that are no longer used. RECOMMENDATION Staff recommends approval of Ordinance No. 20-12. Coversheet Page 1 of 1 http://itwebapp/AgendaIntranet/Bluesheet.aspx?ItemID=5671&MeetingID=378 6/12/2012 1 City of Delray Beach M E M O R A N D U M TO: Lula Butler, Director Community Improvement THRU: Al Berg, Assistant Director Community Improvement FROM: Danise Cleckley, Code Enforcement Executive Assistant DATE: June 11, 2012 SUBJECT: Updated Business Tax Receipt Survey A survey was completed June, 2012, to compare the cost municipalities are charging for Business Tax Receipts (BTR). All city fees listed below vary based on the type or classification of the business. For example, when working with retail business, an additional amount is added to the fee to accommodate the size of the business in square footage. However, the City of Delray Beach continues to charge a flat rate of $156.56 and does not charge an additional fee per square footage. The municipalities listed below, (with their annual fees and revenues) are the representative sample we have reviewed and considered as we formulated our recommendation to increase the business tax fee by 5% effective upon the adoption of Ordinance No. 20-12 after public hearing on June 19th at the regular City Commission meeting. The City’s projected BTR revenue for Fiscal year 2012 is $680,000. We are on target to meet this projection. • City of Boca Raton $105.00 ( Annual Revenue $900,000) • City of Boynton Beach $40.00 (application fee)(Annual Revenue $1.4 million) Retail $97.63 + $5.15 per $1000.00 for inventory over $5,000. Restaurant $97.65 + $3.50 per seat. • City of Coral Springs $120.00 (Annual Revenue is $1.2 million per year) • City of Palm Beach Gardens $100.00 (Annual Revenue is $1.3 million per year) Residential businesses $75.00. Retail $75.00 + $6.00 per $1000.00 for inventory up to $99,999. Restaurants $94.00 -$200.00 Salon establishment $470.00. 2 • City of Riviera $120.00 (Annual Revenue not provided ) • City of Port St. Lucie $ 47.55 (Annual Revenue $1.4 million) Retail $88.20 + $6.09 per $1000.00 inventory over $5,000. Restaurants $127.63, 50 seats orless; $255.25 for > 50 seats. • City of West Palm Beach $ 86.81 (Annual Revenue not provided) • Village of Wellington $100.00 (Annual Revenues average $800,000 per year) Financial Institutions $450.00 Tattoo establishments $1,000.00. Additional Information for Item 10.D. 2 May 22, 2012 Mayor McDuffie stated we removed lobbyists from the budget in 2007. Mr. Harden stated the Mayor and Commissioners meet with legislators on the city’s behalf and we provide backup information on what they would like to speak on with representatives, etc. In addition, staff works with the legislative aides. Mrs. Gray stated she went to Washington, D.C. to lob by for the city last year and the information that staff provided was amazing. Mr. Jacquet asked Mr. Smith to discuss the city’s civic educati on efforts. The Commission thanked Mr. Smith for the presentation. 3. Public Information Office (PIO) Division FY 2013 Budget Pr esentation Mr. Richard Reade, Public Information/Sustainability Officer, presented this item. He highlighted the PIO functions: Social Media, Peak Dem ocracy, Speakers’ Bureau, city’s radio station, photography and commercial video productions. He stated they are working on the new website and assisting with mobile application devel opment. Mr. Reade provided a brief overview of the new website. In addition, he discussed the Green and Sustainability Efforts, Economic Development Initiatives, Legislative and Lo bbying Support, Board and Committee Liaison, Grants and Special Projects functions. He provided an overview of the Staffing Summary and Expenses. Mrs. Gray stated we need to have more information re garding Economic Development on the website. Mr. Reade discussed options for adding more in formation regarding Economic Development on the website. Mr. Jacquet stated the website looks amazing and he c annot wait for it to go live and commented regarding the 12% decrease in the PIO budget. He asked if any organization in the city can ask for someone from the city to come and s peak. Mr. Reade stated the speakers are listed on the website. Mr. Jacquet also asked about the Elect ric Vehicle Charging Stations. Mrs. Gray asked about the name “mydelraybeach.com” re garding the website. Brief discussion ensued between Commission and staff. Mayor McDuffie adjourned the Workshop Meeting at 8:00 p.m. ________________________________ City Clerk ATTEST: MAYOR 3 May 22, 2012 The undersigned is the City Clerk of the City of Delr ay Beach, Florida, and the information provided herein is the Minutes of the Workshop Meetin g of the City Commission held on Tuesday, May 22, 2012, which Minutes were formally approved a nd adopted by the City Commission on June 19, 2012. ________________________________ City Clerk NOTE TO READER: If the Minutes you have received are not completed as indicated a bove, this means they are not the official Minutes of the City Commission. They will become the official Minutes only after review and approval, which may in volve amendments, additions or deletions to the Minutes as set forth above. SPECIAL/WORKSHOP MEETING MAY 24, 2012 A Special/Workshop Meeting of the City Commission o f the City of Delray Beach, Florida, was called to order by Mayor Nelson S. McDuffie in the Fi rst Floor Conference Room at City Hall at 6:00 p.m., on Tuesday, May 24, 2012. Roll call showed: Present - Commissioner Thomas F. Carney, Jr. Commissioner Alson Jacquet Commissioner Adam Frankel Commissioner Angeleta E. Gray Mayor Nelson S. McDuffie Absent - None Also present were - David T. Harden, City Manager Brian Shutt, City Attorney Chevelle D. Nubin, City Clerk Mayor McDuffie called the Special/Workshop Meeting t o order and announced that it had been called for the purpose of considering the following Items. SPECIAL MEETING AGENDA 1. Appointment of The Assistant City Attorney I Positi on: Consider approval to appoint Janice Rustin for the position of Assistant City Attorney I. (Addendum) The City Attorney stated pursuant to City Charter al l appointments of Assistant City Attorneys or the City Attorney has to come before the Commiss ion for approval. Ms. Rustin graduated from Nova Southeastern University in December 2011 and was on the Dean’s list all semester. The City Attorney stated she worked as an intern her last semester of law school in the West Palm Beach City Attorney’s office and he received a recommendation from their City Attorney regarding Ms. Rustin. The City Attorney stated Ms. Rustin ha s also been volunteering for free in the City Attorney’s office since March of this year and has done a phenomenal job. Staff recommends approval of the appointment of the Assistant Cit y Attorney I position. Mr. Jacquet inquired about the application process. The City Attorney stated staff received about 85 applications and had interviews. He stated t hey opened it up to six applicants but based on their preferences once the applicants found out what the salary was it then dropped down to four applicants and most of those had prior municipal exp erience. Mr. Frankel stated it is nice to see such a very goo d recommendation for Ms. Rustin and he likes the fact that she had volunteered for some time in t he City Attorney’s office and the City Attorney was actually able to see the work product and was sa tisfied with the work product. Mrs. Gray welcomed Ms. Rustin. Mr. Carney concurred with comments expressed by Commi ssioner Gray and Commissioner Frankel. Mayor McDuffie stated he is very comfortable with th e selection and it is nice to get someone who has municipal experience. 2 May 24, 2012 Mr. Frankel moved to approve and appoint Janice Rusti n for the position of Assistant City Attorney I, seconded by Mr. Jacquet. Upon roll call the Commission voted as follows: Mr. Jacquet – Yes; Mr. Frankel – Yes; Mrs. Gray – Yes; Ma yor McDuffie – Yes; Mr. Carney – Yes. Said motion passed with a 5 to 0 vote. Mayor McDuffie adjourned the Special Meeting at 6:09 p.m. WORKSHOP MEETING AGENDA 1. Engineering FY 2013 Budget Presentation Mr. Richard Hasko, Director of Environmental Service s, gave a brief presentation regarding the Engineering Department budget for Fiscal Year 2013. Mr. Hasko briefly reviewed the primary functions of the Engineering Department and stated th e most important functions are the Capital Infrastructure Program. Mr. Hasko stated ot her primary functions are the Geographic Information System (GIS), Stormwater Utility, and g eneral activities (i.e. traffic calming, street lighting, parking, drainage, etc.). Mr. Hasko expla ined that this year staff has established how much of the Engineering budget is attributable to Wa ter and Sewer and how much to the Stormwater Fund and rather than programming those cos ts in the Water and Sewer and Stormwater Fund operating budgets this year they are going to handle it with fund transfers into the Water and Sewer. Mr. Hasko stated 2011/2012 is wh en they started splitting those costs and absorbing some of them with Water and Sewer and Storm water. He stated staff is not going to do that again this year. Mr. Hasko stated for purpos es of comparison over the last two years staff has adjusted these numbers by the amounts of th ose transfers that are going into the General Fund. Mr. Frankel stated Mr. Hasko did a great job. Mr. Jacquet thanked Mr. Hasko for a great presentati on and appreciates the explanation of the splitting and why the budget numbers went from such a large n umber to a small one. Mayor McDuffie stated at the grate between the Old Sc hool Square Gym and the Old School Square Garage and at the one that is just north of t he Boy Scout statue on Pineapple Grove is awful. Mayor McDuffie asked if there is something sto pping the flow in those areas. Mr. Hasko stated staff will look into this. Mayor McDuffie thanked Mr. H asko for a great presentation. Mr. Carney requested a list of all the functions of the Engineering Department. Mr. Hasko stated he can put something together for Mr. Carney. 2. Finance FY 2013 Budget Presentation Mr. David Boyd, Finance Director, gave a brief budget p resentation for the Finance Department for Fiscal Year 2013. Mr. Boyd stated the Finance De partment is made up of three distinct divisions: (1) the Financial Division, (2) IT Divis ion, and (3) Utility/Customer Service Division. Mr. Boyd stated the Finance Division is broken down in to several distinct functions: Purchasing, Budget, and Treasury. He stated financi al services is made up of several specialties such as accountants, payroll, pension administration , and accounts payable clerks. Mr. Boyd stated the primary responsibilities of the Finance D ivision under accounting is financial reporting, internal control, and grants administratio n. Mr. Boyd stated they will actually have one less employee next year than they did at the star t of this year. Mr. Boyd stated the Finance Department spent several months looking at their or ganization and seeing what their needs were and they eliminated a Senior/Buyer position and they wi ll eliminate an Accounting Specialist position and promote the employee who is now an Accounting S pecialist to an Accountant. 3 May 24, 2012 Mr. Boyd stated they eliminated two positions to get o ne position to help create efficiency. He stated when eliminating two positions their personne l budget is looking to decline 5.5%; their operating costs is declining a little over 5%. Howe ver, Mr. Boyd stated they freed up resources to reallocate them to areas that are needed and identif ied those areas which come under capital costs (Software Solutions). Mr. Boyd stated their to tal budget declined 1.2% 2012-2013; personnel services declined $77,000 because that was a net effect of eliminating two positions and one promotion; there was a slight reduction in he althcare costs and pension benefits; capital costs include $70,000 for immediate implementation of several software solutions to meet a variety of needs such as improving efficiency and re duce paper flow and paper storage. Mr. Boyd stated with regard to grant administration they ha ve a team that applies for grants and most other departments have that and that is how they ended up wit h 50 grants. He stated there is no central database that stores all that informat ion. The department maintains their portion and accounting makes sure all the reports get issued and that deadlines are met. Mr. Boyd stated they need a centralized database and reporting system t o manage this which is millions of dollars and that is all done now manually. Mr. Boyd stated sta ff has looked at solutions for storing documentation electrically and also outsourcing some of the processing of that as well. He stated they need to begin a centralization of the pur chasing function to gain better cost control. Mr. Boyd stated they have 16 employees and 50% of them are either in the DROP Plan or are close to retirement eligibility (3-5 years). He st ated most of their customers are internal but they need to set up a communication process by securing s oftware solutions to reduce paper flow, storage, and improve efficiency. Mr. Boyd reiterated that the reorganization resulted in elimination of two positions to free up resources, promotion of an employee upon completion of an accounting degree, moving the Purchasing Manag er into the Finance Department and use the two administrative assistants to back up that position. H e stated one of those Administrative Assistants is leaving next year through the DROP Pl an and once she leaves staff is going to hire a replacement that is going to focus more on the Pu rchasing function and help the Purchasing Manager. Mr. Boyd stated the Pension Administrator wa s moved from the Finance Department into the Purchasing Manager’s vacated office so that staff and retirees can discuss their personal business in private. Staff is also looking for var ious software solutions and beginning team meetings and hopes that within a year a lot of the s olutions that need to be implemented will be well underway at that time. Mr. Jacquet stated he loves the fact that we are goi ng to be more effective with the changes in the Finance Department. He inquired if anyone lost their job. Mr. Boyd stated one person lost their job and one person when they were promoted the y eliminated the position that they were leaving. Mr. Frankel complimented Karen Schell for going abov e and beyond her job description. Mr. Frankel stated she is a fine lady and what a great service she does for the City of Delray Beach. The City Manager stated the Police and Fire Pension B oard contracted for administration for a while and it did not work well. He stated Karen Schel l does a fine job and she is right here at City Hall where employees can access her. Mayor McDuffie stated moving the Purchasing Manager around, etc. were great ideas and appreciates the progress so far. 3. Information Technology (IT) Division FY 2013 Budget Prese ntation David Boyd, Finance Director, gave a brief presentati on for the Information Technology (IT) Division budget for Fiscal Year 2013 and stated the pr imary responsibilities are System Security, Technology Infrastructure, Enterprise Solutions/Soft ware with wide-scope applications, 4 May 24, 2012 Applications Development and Support, Website develop ment and maintenance, and other technology including radio and surveillance camera sup port. Mr. Boyd stated staff found that they needed to free up some resources for other areas by elimina ting a Program Manager and are in the process of unfreezing an Administrative Assis tant position. Mr. Boyd stated overall the total IT budget is declining 2.5%; operating costs wi ll rise 7%; personnel services declined $75,000 due to a position elimination net of unfreez ing the Administrative Assistant position and a slight reduction in the pension expense; operat ing costs are increasing $35,000 in part due to three things: (1) maintenance costs associated w ith this new virtual server system, (2) backup tapes for various databases, and (3) increase in hard ware maintenance costs. Mr. Boyd stated these are all costs we would have incurred regardless of whether if they made any changes to the department or not but because staff reorganized the de partment they were able to absorb these and still have an overall decline. Mr. Boyd stated the IT Department is developing the ne w City website except for the graphic design which was outsourced to a company in Californi a. He stated IT is going to be a part of the Co-managing search for the new city-wide Enterp rise Resource Program which will include Human Resources, Community Improvement, Utility Bil ling, Budget and Financial modules and everyone in the city will be using that module. Mr. Boyd stated this system does not produce financial reports such as a balance sheet and an inc ome statement IT extracted that information so that we get that type of reporting. Mr. Boyd briefly discussed the proposed projects and sta ted the City needs to upgrade its network infrastructure. He stated the City is going to get more and more into GIS files which have huge data needs and when the City goes to the ne w financial reporting system there is going to be a lot of e-governmental activity with t hat and all of that is going to use up bandwidth. Mr. Boyd stated the City has to do better i n the redundancy backup solutions, utilization of Florida LambdaRail fiber optic network as a backup connection system, and e- governmental initiatives. Mr. Frankel thanked Mr. Boyd for two great presentatio ns and stated they are brief, clear, and he is looking for less money. Mr. Frankel appreciates all the innovative things that Mr. Boyd proposes for next year. Mayor McDuffie stated the Northwest Regional Data Ce nter was closed down at the campus of Florida State University and LambdaRail is a statewide fiber loop that runs around the state and it allows shops like ours to put disaster recovery s ystems in Tallahassee so all the transactions here are mirrored in Tallahassee. He stated they hav e huge amounts of floor space in the data center. He stated that is a great resource for the city at a very low cost and he too is proud of everyone that has made presentations because everyone is doi ng more with less budget this year. Mr. Carney asked if the City would still be operative in the ev ent of a disaster. The City Manager stated the IT building has its own generator. 5 May 24, 2012 4. City Clerk FY 2013 Budget Presentation Chevelle D. Nubin, City Clerk, gave a brief present ation regarding the City Clerk budget for Fiscal Year 2013. Ms. Nubin stated the City Clerk’s primary functions are Management/Administration of City and Civil Service E lections, Cemetery Administration, Public Notices and Certifications, Agenda Coordination (Agenda Packet Creation, Recording of Documents, Annexation Notifications, Website postin g of Ordinances, Resolutions, Agendas, Minutes, and Liaison Letters), LaserFiche Maintenanc e (Scanning of Official City Documents), and Codebook Supplements (Municode), Contract Manageme nt, Confidential Vehicle Renewal/Registrations, City Advertisements, Advisory Board Administration, Records Management and Public Records Requests, Customer Rela tions – Issuance of Residency Cards/Lien Searches/Proof of Life Document, Attendance at Commission Meetings, Transcription of Minutes, and Video Streaming. Ms. N ubin stated with regard to the staffing summary the City Clerk’s office used to have seven p eople in 2010 and for the past couple of years there have been six people. She stated in 201 1 an employee retired which resulted in a personnel savings and the City did not have an electio n in 2011 which also resulted in a savings with the operational costs. Ms. Nubin stated there will be some increases this year due to the City’s contract with the Supervisor of Elections an d these are her changes that get passed down to the municipalities. Ms. Nubin stated there have also been some increases in the City’s software maintenance for the digital recording, cemet ery, and document imaging. Ms. Nubin stated with regard to revenue she projects that the C ity Clerk’s office will have approximately $75,000 in this year for public records requests and lien searches; however, at mid-year she projected $55,000 for public records requests and lie n searches and to date the City Clerk’s office has taken in $82,000. Ms. Nubin stated the Deputy City Clerk serves as the Secretary for the Palm Beach County Municipal Clerks’ Association and on the State level she ser ves as the Southeast District Director for the Florida Association of City Clerks (FACC). Ms. Nubin stated for the past couple of years she has taught the first year and new clerks from around the state 50-60 clerks a year and also serves on the Professional Education Committee and will be entering her third year of a three-year term in October. She stated by being on the committee she assisting in planning the education for the clerks around the state. Ms. Nubin stated she just had a one day mini academy for the clerks in her district (i.e. Broward, Palm Be ach, Miami-Dade and Monroe Counties) which equals 151 cities and about 66 clerks attended. Ms. Nubin stated that is an added value to the City as well as the City Clerk’s office because that is the first time that the City has been involved on that level for the past couple of years. Mr. Jacquet asked if the scanning of the official doc uments dating back to the 1920’s had to be outsourced. Ms. Nubin stated this was done internally. Mr. Jacquet asked how it is working with the six (6) staff members as opposed to seven (7) for the past two years. Ms. Nubin stated the Administrat ive Assistant position was eliminated in 2006/2007 and that person moved up to Agenda Coordinator . Lanelda Gaskins was promoted to Deputy City Clerk. She stated that Administrative Assistant was never filled and when the person who served as Office Assistant I retired the p osition was never filled; however, the work remained. Ms. Nubin stated the work was redistributed among the staff and the plus side is that everyone in the office is cross trained on every function. 6 May 24, 2012 Mr. Jacquet stated everyone does everyone else’s job in the City Clerk’s office and from the numbers he has been looking at out of all the depar tment heads Ms. Nubin makes the least amount as far as income. Mr. Jacquet stated he appr eciates the work that the City Clerk’s office does and thanked Ms. Nubin for her presentation. Mr. Carney stated the City Clerk’s confidence that go t us involved with all these other cities and she has done a great job. Mrs. Gray thanked the City Clerk for being so instru mental to everyone and the entire department. Mrs. Gray congratulated the City Clerk f or all her work with the FACC Southeast District. Mrs. Gray asked what happens in a couple of years when the cemetery sells all the plots. The City Clerk stated the Parks and Recreatio n Department is looking into this and it depends if we want to build more spaces for the mausol eum or the City may have to figure out something else regarding plots. The City Manager stated what happens typically is as you fill up the spaces that are primary you can back into what are now aisle spaces between grave sites and begin to put graves in there. Mrs. Gray inquired about the election costs. Ms. Nu bin stated that the only difference with having an election in November is we get to share t he cost with the Supervisor of Elections versus the Cities’ standalone elections; however, du ring that time we would be put at the very end of the ballot. The City Clerk stated approximate ly 37 municipalities may have elections in March and we share the prorated costs in the agreemen t and this is what the Supervisor of Elections is passing down to the city indicating that her costs have increased in these particular areas. The City Manager stated the current Supervis or of Elections has greatly increased the costs that she is charging the cities for elections . Mrs. Gray stated the reason the Commission wanted to do a three three-year term was so that we w ould not have elections every year which would save $40,000-$50,000 a year. Mr. Frankel stated he is going on his fourth year be ing on the Commission and has heard complaints about every department in the city except the City Clerk’s office. Mr. Frankel stated the City Clerk’s office deals with a great number of residents and feels this says a lot about Ms. Nubin and the entire staff. Mr. Frankel complimente d the City Clerk’s office for their courteous demeanor and for doing such an efficient great job. Mayor McDuffie echoed comments expressed by the rest of the Co mmission. Mr. Carney stated the City Clerk’s office has been inundated with extra public records requests and feels these are being handled very well. 5. City Commission FY 2013 Budget Presentation The City Manager stated the Commission has Boards, Co mmittees, and Task Forces that report to them and advise them; and, the Commission appoints the City Manager and the City Attorney. The City Manager stated the City Commissi on’s budget and personnel costs are up about 7% and operating costs are up 6% with an overa ll increase of 6.5%. The reasons for that increase is there are more Commissioners on the Cit y’s health insurance than in the previous year and include the Citizen’s Summit. The City Ma nager stated there was a decrease in refreshments due to not planning to host the Palm Beach Coun ty League of Cities meeting next 7 May 24, 2012 year. He stated some of the things that are include d are membership fees for the Palm Beach County League of Cities, Palm Beach County Caucus of Black Elected Officials, Florida League of Cities, Florida Black Caucus of Local Elected Off icials, Alliance for Innovation, and the National League of Cities. Mayor McDuffie adjourned the Workshop Meeting at 7:10 p.m. ______________________________________ City Clerk ATTEST: MAYOR The undersigned is the City Clerk of the City of Delr ay Beach, Florida, and the information provided herein is the Minutes of the Special/Worksho p Meeting of the City Commission held on Tuesday, May 24, 2012, which Minutes were formally a pproved and adopted by the City Commission on June 19, 2012. _________________________________________ City Clerk NOTE TO READER: If the Minutes you have received are not completed as indicated a bove, this means they are not the official Minutes of the City Commission. They will become the official Minutes only after review and approval, which may in volve amendments, additions or deletions to the Minutes as set forth above. MEMORANDUM TO:Mayor and City Commissioners FROM:Linda Karch, Director of Parks and Recreation THROUGH:David T. Harden, City Manager DATE:June 13, 2012 SUBJECT:AGENDA ITEM 6.A. - REGULAR COMMISSION MEETING OF JUNE 19, 2012 PARKS AND RECREATION MONTH PROCLAMATION ITEM BEFORE COMMISSION Designation of July as Parks and Recreation Month. BACKGROUND Since 1985, America has celebrated July as the nati on's official Parks and Recreation Month. National Recreation Parks Association encourages cities to s how how parks and recreation make your life extraordinary! Create a healthy weekend habit by getting out to a park, trail, playground, swimming pool, natural area, or other public space every wee kend. Just have FUN. WHEREAS WHEREAS WHEREAS WHEREAS, parks and recreation programs are an integ ral part of communities throughout this country, including Delr ay Beach; and WHEREAS WHEREAS WHEREAS WHEREAS,,,, our parks and recreation are vitally important to establishing and maintaining the quality of life in our communities, ensuring the health of all citizens, and contributing to the economic and environmental well-being of a community and region; and WHEREAS WHEREAS WHEREAS WHEREAS,,,, parks and recreation programs build healthy, acti ve communities that aid in the prevention of chronic d isease, provide therapeutic recreation services for those who are mentally or p hysically disabled, and also improve the mental and emotional health of all citi zens; and WH WH WH WHEREAS EREAS EREAS EREAS,,,, parks and recreation programs increase a communit y’s economic prosperity through increased property valu es, expansion of the local tax base, increased tourism, the attraction and ret ention of businesses, and crime reduction; and WHEREA WHEREA WHEREA WHEREAS SS S,,,, parks and recreation areas are fundamental to the environmental well-being of our community; and WHEREAS WHEREAS WHEREAS WHEREAS,,,, parks and natural recreation areas improve water quality, protect groundwater, prevent flooding, improve the quality of the air we breathe, provide vegetative buffers to development, and produce habitat for wildlife; and WHEREAS WHEREAS WHEREAS WHEREAS,,,, our parks and natural recreation areas ensure the ecological beauty of our community and provide a place for chi ldren and adults to connect with nature and recreate outdoors. NOW, THEREFORE, I, NELSON S. McDUFFIE,NOW, THEREFORE, I, NELSON S. McDUFFIE,NOW, THEREFORE, I, NELSON S. McDUFFIE,NOW, THEREFORE, I, NELSON S. McDUFFIE, Mayor of the City of Delray Beach, Florida, on behalf of the City Com mission do hereby proclaim July, 2012, as: PARKS AND RECREATION MONTH PARKS AND RECREATION MONTH PARKS AND RECREATION MONTH PARKS AND RECREATION MONTH in Delray Beach and urge that attention be directed to the many ways in which parks, recreation and civic groups, public schools, private organizations, and other agencies may expand recreation facilities and programs so that every citizen will have the opportunity to develop meanin gful and satisfying leisure activities. IN WITNESS WHEREOF,IN WITNESS WHEREOF,IN WITNESS WHEREOF,IN WITNESS WHEREOF, I have hereunto set my hand an d caused the Official Seal of the City of Delray Beach, Flor ida, to be affixed this 19 th day of June, 2012. ___________________________ NELSON NELSON NELSON NELSON S. McDUFFIE S. McDUFFIE S. McDUFFIE S. McDUFFIE MAYOR MAYOR MAYOR MAYOR MEMORANDUM TO:Mayor and City Commissioners FROM:Dot Bast, Training and Development Manager THROUGH:Bruce Koeser, Human Resources Director David Harden, City Manager DATE:May 22, 2012 SUBJECT:AGENDA ITEM 7.B. - REGULAR COMMISSION MEETING OF JUNE 19, 2012 I.M.P.A.C.T. DELRAY GRADUATION PRESENTATION ITEM BEFORE COMMISSION Graduation of nine members of IMPACT Delray and pre sentation of their capstone project: Desiree Kazekavicius, Sharon L'Herrou, Charles Furment, Mar ia Marino-Bollan, Kimberly Wynn, Tim Simmons, Nigel Roberts, Scott Pape, Cheryl Hoaglund . BACKGROUND According to the IMPACT Delray business plan, mente es who successfully graduate from the year-long program will be awarded a certificate by the Mayor at a City Commission meeting. Also, the group’s capstone project will be presented to the City Comm ission during their graduation. The project presentation will be made using a few P ower Point slides, followed by the awarding of certificates. I.M.P.A.C.T. DELRAY I ndividual M entoring P rogram A nd C ollaboration T eam IMPACT Delray November 2010 Page 1 of 4 One of the challenges facing the City of Delray Bea ch is to effectively develop our human resources into a high-performance workforce. The f uture of Delray Beach government is directly impacted by the skills, ability, knowledge and education of its greatest asset – our employees. In order to successfully meet the chall enges ahead, we must be able to answer the following: • How will we equip emerging leaders to succeed in ne w roles when the current generation of key people retires? • How will we enhance individual, team, and organizat ional performance, ensuring alignment with the mission of the City? • How will we develop employee skill sets while offer ing challenges and the opportunity to grow into a high performance organiz ation? IMPACT Delray answers these questions by providing an organizati onal development initiative designed to build and retain talent with in the City. THE MISSION IMPACT Delray is a mentoring initiative designed to foster indiv idual and organizational growth by encouraging people to challenge themselve s both personally and professionally. The program’s mission is to prepare employees to co mpete for future promotional opportunities while enhancing skills for their curr ent position. Through instruction, practice, and individual mentoring, the goal is to develop le aders who will excel in business acumen, collaboration, organizational knowledge and emotion al intelligence and to encourage organizational interdependence. IMPACT Delray will promote experiential learning and sharing of institutional knowledge. Table 1 below lists the characteristics that have b een identified as being critical to effective leadership in a high-performance organization. The mentoring program’s strategy is designed to build skills directly related to the Ci ty’s core values and the competencies identified by the ICMA’s Management Practices. The program also provides an avenue for the Executive Committee, comprised of department he ads, to participate in preparing the City’s future leaders. I.M.P.A.C.T. DELRAY I ndividual M entoring P rogram A nd C ollaboration T eam IMPACT Delray November 2010 Page 2 of 4 Table 1. Competencies CO MPETENCY BEHAVIOR ICMA MANAGEMENT PRACTICE Character Confident Respectful Trustworthy, ethical Responsible Personal Integrity Business Acumen Strategic Planning Develops and shapes strategy Leads change Shares vision Functional/Operational Expertise and Planning Initiative and Risk Taking Strategic Planning Innovation Initiative Adaptability Problem solving Creativity Creativity and Innovation Leadership Decision making Delegation Empowerment Cultural Competence Develops bench strength Emotional Intelligence Coaching Team Leadership Empowerment Mentoring Staff Effectiveness Teamwork Collaboration Conflict Resolution Fosters, builds partnerships Team leadership Planning and Organizing Prioritizing Goal setting Time management Use of resources Budge ting Financial Analysis Supervising Fair and equitable in managing Effective coaching /counseling Clear performance standards Performance Management Human Resources Management Communication Public speaking Mediation Community Relations Media Re lations Presentation Skills Organizational Knowledge Basics of each department Budgeting Purchasing Organizational Integrity Budgeting I.M.P.A.C.T. DELRAY I ndividual M entoring P rogram A nd C ollaboration T eam IMPACT Delray November 2010 Page 3 of 4 P ROGRAM C OMPONENTS S ELECTION Applicants may be recommended by a manager or may apply. Each applicant must have a letter of recomme ndation from their department head to participate. Applications are screened by Human Resources to det ermine if the candidate meets or can reasonably expect to meet the minimum qualifications for the position the candida te aspires to. The essay portion of the application is reviewed an d scored by Human Resources and the Executive Committee. A threshold score must be achieved in order to progre ss to the next step. A 360 o Evaluation will distributed and scored by Human Resources. Participants will be then be interviewed by Human Resources. The final decision for who will be inclu ded in the program will be made by the HR Director and City Ma nager. Those applicants who are not selected may apply to the program again the next year, if they desire. ASSESSMENT Each particpant’s manager or department head will complete an Individual Learning Plan appropriate fo r the position for which he or she is preparing. A Myers-Briggs- type indicator and other assessment s will be completed as pre-work. C URRICULUM The cohort will meet as a group for two half days e ach month. Instructional Curriculum will be designed to includ e: - Leadership, Emotional Intelligence - Teambuilding, Collaboration - Ethics - Strategic Planning, Goal Setting, Decision Making - Cultural Competence - Communication, Public speaking - Performance Management: coaching, discipline, confl ict resolution - Time Management - Interviewing, Hiring - Employment Law - Budgeting, Finance I.M.P.A.C.T. DELRAY I ndividual M entoring P rogram A nd C ollaboration T eam IMPACT Delray November 2010 Page 4 of 4 M ENTORING P ROGRAM Participants will be paired with a mentor who will be outside of their division for the one year program Training will be conducted for both mentors and me ntees to define the specific goals and expectations, includi ng reporting, frequency of meetings, outcome tracking, and feedback Mentor and mentee will meet a minimum of four hours each month. TEAM PROJECT By the third month of the program, the group will s elect an organizational challenge to address. The cohort wi ll serve as a cross-functional team charged with achieving a so lution to the selected challenge. The project will be approve d by the Executive Committee. This capstone project will be presented to the City Commission at the end of the year. P ROGRAM C OMPLETION Successful completion of the program will require: - Passing grade on the post-test - Satisfactory peer review - Satisfactory mentor review Certificates will be awarded to graduates by the Ma yor at a City Commission meeting. The participants will receive a development plan if they did not meet all criteria at the time of program comple tion. C ONTINUATION Mentees will be encouraged to become mentors Graduates will meet quarterly as a Community of Pra ctice I.M.P.A.C.T. DELRAY I ndividual M entoring P rogram A nd C ollaboration T eam Executive Summary The first IMPACT Delray was kicked off on June 7, 2011 with nine high-pote ntial employees and nine department heads who served as their mento rs. The IMPACT initiative focused on three primary goals: develop leadership competencie s, establish individual mentoring relationships and create a collaboration team that would address a real issue facing the City and formulate a solution. L EADERSHIP COMPETENCIES IMPACT Delray met together for four hours on first and third Tue sdays for one year. The first two hours were facilitated by Rick Caldwell, President of RCultures, Inc. Using teaching, case studies, exercises and open discussions, Rick built competencies in leadership, communication, teambuilding, public speaking, cultu ral competence and managerial skills. The group grew together as a team and learned to sh are solutions to common problems. The last half of each session was dedicated to expl oring practical applications for what the group was learning with Rick. The group completed a study of the book Switch: How to Change Things When Change is Hard by Chip Heath and Dan Heath, and attended a webinar by Dr. Henry Cloud about his book, Necessary Endings . A list of library books was made available for optional readings: Emotional Intelligence by Daniel Goleman; Drive by Daniel Pink; 360 Degree Leadership by John Maxwell; Seven Habits of Highly Effective People by Stephen Covey. IMPACT Delray attended seminars and webinars on management topic s throughout the year. M ENTORING Each mentee in IMPACT Delray was paired with a depa rtment head who volunteered to participate in the program. Mentees and mentors re ceived training in developing an effective mentoring relationship, along with a work book to guide them. Mentees were encourgaged to share their mentoring e xperiences with each other, which gave others ideas on how to enrich the relationship with their mentors. Mentors also met together periodically as a group to share ideas. C OLLABORATION TEAM The IMPACT Delray team members decided to address t he issue of employee unity. They saw that employees were often divided into groups t hat were not given the opportunity to interact with each other. And, solutions to many pr oblems were expected to come from management. Team Delray was created to bring emplo yees together annually to brainstorm ideas and form a committee that would wo rk to implement solutions. Team Delray 2012 has created a “zen garden” for employee s to utilized during lunch breaks and they are assisting Human Resources in designing a f itness room in City Hall. “A t e a m i s a g r o u p o f p e o p l e w h o m a y n o t b e e q u a l i n e x p e r i e n c e , t a l e n t , o r e d u c a t i o n b u t in c o m m i t m e n t . ” – P a t r i c i a F r i p p VI S I O N Te a m D e l r a y p r o v i d e s a n o p p o r t u n i t y f o r C i t y em p l o y e e s t o b e h e a r d , t o s y n e r g i z e a n d t o b r e a k do w n b a r r i e r s b e t w e e n d e p a r t m e n t s a n d em p l o y e e g r o u p s . To c r e a t e a s t r u c t u r e t h a t e n g a g e s e m p l o y e e s i n t h e pr o c e s s o f s h a r i n g i d e a s , d e s i g n i n g s o l u t i o n s , a n d ta k i n g p o s i t i v e s t e p s t o w a r d t h e g o a l o f u n i t y . Ma y o r a n d Ci t y C o m m i s s i o n e r s Ci t y M a n a g e r & De p a r t m e n t H e a d s SE I U Un i o n E m p l o y e e s Ci t y o f D e l r a y Ci t y o f D e l r a y Ci t y o f D e l r a y Ci t y o f D e l r a y Be a c h Be a c h Be a c h Be a c h Ci v i l S e r v i c e Em p l o y e e s Po l i c e a n d F i r e Un i o n E m p l o y e e s Be a c h Be a c h Be a c h Be a c h • A N N U A L E M P L O Y E E RO U N D T A B L E S 1 • W O R K I N G CO M M I T T E E S 2 Th e c u r r e n t W o r k i n g C o m m i t t e e o f T e a m De l r a y c o o r d i n a t e s a n d f a c i l i t a t e s t h e Ro u n d t a b l e s e s s i o n s . Se s s i o n s l a s t n o m o r e t h a n 9 0 m i n u t e s . AN N U A L E M P L O Y E E R O U N D T A B L E S AN N U A L E M P L O Y E E R O U N D T A B L E S AN N U A L E M P L O Y E E R O U N D T A B L E S AN N U A L E M P L O Y E E R O U N D T A B L E S Li m i t o f 4 0 p e o p l e p e r s e s s i o n . Al l fu l l - t i m e , p a r t - t i m e , C i v i l S e r v i c e , a n d un i o n e m p l o y e e s a r e i n v i t e d , A N D EN C O U R A G E D , t o p a r t i c i p a t e . “W h a t “W h a t “W h a t “W h a t d o y o u l i k e a b o u t t h e C i t y do y o u l i k e a b o u t t h e C i t y do y o u l i k e a b o u t t h e C i t y do y o u l i k e a b o u t t h e C i t y ? ” ?”?”?” “W h a t “W h a t “W h a t “W h a t m o t i v a t e s y o u t o d o a g o o d j o b mo t i v a t e s y o u t o d o a g o o d j o b mo t i v a t e s y o u t o d o a g o o d j o b mo t i v a t e s y o u t o d o a g o o d j o b ? ” ?”?”?” “ W h a t “ W h a t “ W h a t “ W h a t w o u l d y o u l i k e t o c h a n g e wo u l d y o u l i k e t o c h a n g e wo u l d y o u l i k e t o c h a n g e wo u l d y o u l i k e t o c h a n g e ? ” ?”?”?” WO R K I N G C O M M I T T E E S WO R K I N G C O M M I T T E E S WO R K I N G C O M M I T T E E S WO R K I N G C O M M I T T E E S On l y f u l l - t i m e e m p l o y e e s w h o a r e i n G o o d St a n d i n g m a y p a r t i c i p a t e o n W o r k i n g Co m m i t t e e s . Ea c h C o m m i t t e e s e l e c t s a C h a i r p e r s o n Th e C h a i r p e r s o n p e r i o d i c a l l y r e p o r t s t h e Co m m i t t e e ’ s p r o g r e s s t o D e p a r t m e n t H e a d s . Ou r F i r s t W o r k i n g C o m m i t t e e ! P e r k s & I n c e n t i v e s Ac h i e v e d ! Em p l o y e e Em p l o y e e Em p l o y e e Em p l o y e e ZE N G A R D E N ZE N G A R D E N ZE N G A R D E N ZE N G A R D E N In p r o g r e s s ! Em p l o y e e F i t n e s s R o o m Em p l o y e e F i t n e s s R o o m Em p l o y e e F i t n e s s R o o m Em p l o y e e F i t n e s s R o o m ** T h i s p r o j e c t i s a n t i c i p a t e d t o b e c o m p l e t e b y A u g us t 2 0 1 2 . An n u a l E m p l o y e e R o u n d t a b l e s Wo r k i n g C o m m i t t e e s Co m m u n i c a t i o n t o o l s Th a n k y o u f r o m t h e I . M . P . A . C . T . Me m b e r s : Ch a r l e s F u r m e n t , I T Ch e r y l H o a g l u n d , F i n a n c e De s i r e e K a z a k e v i c i u s , F i r e Sh a r o n L ’ H e r r o u , P o l i c e Ma r i a C . M a r i n o - B o l l a n , P o l i c e Sc o t t P a p e , P l a n n i n g & Z o n i n g Ni g e l R o b e r t s , C o m m u n i t y I m p r o v e m e n t Ni g e l R o b e r t s , C o m m u n i t y I m p r o v e m e n t Ti m S i m m o n s , P a r k s & R e c r e a t i o n Ki m b e r l y W y n n , C i t y C l e r k ’ s O f f i c e Sp e c i a l T h a n k Y o u ’ s t o : Do t B a s t , T r a i n i n g & D e v e l o p m e n t M a n a g e r Ri c k C a l d w e l l , R C u l t u r e s , I n c . Br u c e K o e s e r , H u m a n R e s o u r c e s D i r e c t o r Da v i d T . H a r d e n , C i t y M a n a g e r Al l o f o u r M e n t o r s MEMORANDUM TO:Mayor and City Commissioners FROM:Tamara Genius, Plan Reviewer Richard C. Hasko, P.E., Environmental Services Dire ctor THROUGH:David T. Harden, City Manager DATE:June 8, 2012 SUBJECT:AGENDA ITEM 8.A. - REGULAR COMMISSION MEETING OF JUNE 19, 2012 REQUEST FOR A SIDEWALK DEFERRAL /1205 PALM TRAIL ITEM BEFORE COMMISSION Deferral of sidewalk installation in front of 1205 Palm Trail. BACKGROUND The subject property is a single family residential lot located on the east side of Palm Trail, north of George Bush Boulevard. Refer to attached location m ap. Currently, there are no plans to install a sidewalk along the east side of Palm Trail in the v icinity of the subject residence; however there is a sidewalk on the west side of Palm Trail. This item was approved by DSMG at the June 7, 2012 meeting. RECOMMENDATION Staff supports approval for a sidewalk deferral. MEMORANDUM TO:Mayor and City Commissioners FROM:Tamara Genius, Plan Reviewer Richard C. Hasko, P.E., Environmental Services Dire ctor THROUGH:David T. Harden, City Manager DATE:June 5, 2012 SUBJECT:AGENDA ITEM 8.B. - REGULAR COMMISSION MEETING OF JUNE 19, 2012 REQUEST FOR A SIDEWALK DEFERRAL /960 DOGWOOD DRIVE ITEM BEFORE COMMISSION Deferral of sidewalk installation in front of 960 D ogwood Drive. BACKGROUND The subject property is a single family residential lot located on the south side of Dogwood Drive, ea st of Boone Drive. Refer to attached location map. Cur rently, there are no plans to install a sidewalk al ong the south side of Dogwood Drive in the vicinity of the subject residence. The deferral request was approved by DSMG at the June 14, 2012 meeting. RECOMMENDATION Staff supports approval for sidewalk deferral. MEMORANDUM TO:Mayor and City Commissioners FROM:Tamara Genius, Plan Reviewer Richard C. Hasko, P.E., Environmental Services Dire ctor THROUGH:Davis T. Harden, City Manager DATE:June 5, 2012 SUBJECT:AGENDA ITEM 8.C. - REGULAR COMMISSION MEETING OF JUNE 19, 2012 REQUEST FOR SIDEWALK DEFERRAL /926 BANYAN DRIVE ITEM BEFORE COMMISSION Deferral of sidewalk installation in front 926 Bany an Drive. BACKGROUND The subject property is a single family residence l ocated on the south side of Banyan Drive, east of Spanish Trail. Refer to attached location map.Curre ntly, there are no plans to install a sidewalk alon g the south side of Banyan Drive in the vicinity of t he subject residence. The deferral request was approved by DSMG at the June 14, 2012 meeting. RECOMMENDATION Staff supports approval for sidewalk deferral. MEMORANDUM TO:Mayor and City Commissioners FROM:Tamara Genius, Plan Reviewer Richard C. Hasko, P.E., Environmental Services Dire ctor THROUGH:David T. Harden, City Manager DATE:June 4, 2012 SUBJECT:AGENDA ITEM 8.D. - REGULAR COMMISSION MEETING OF JUNE 19, 2012 REQUEST FOR SIDEWALK DEFERRAL /936 HYACINTH DRIVE ITEM BEFORE COMMISSION Deferral of sidewalk installation in front of 936 H yacinth Drive. BACKGROUND The subject property is a single family residential lot located on the south side of Hyacinth Drive, e ast of Spanish Trail. Refer to attached location map. C urrently, there are no plans to install a sidewalk along the south side of Hyacinth Drive in the vicinity of the subject residence. The deferral request was approved by DSMG at the June 14, 2012 meeting. RECOMMENDATION Staff supports approval for a sidewalk deferral. MEMORANDUM TO:Mayor and City Commissioners FROM:Sharon L'Herrou, Administrative Officer Anthony W. Strianese, Chief of Police THROUGH:David T. Harden, City Manager DATE:June 13, 2012 SUBJECT:AGENDA ITEM 8.E. - REGULAR COMMISSION MEETING OF JUNE 19, 2012 LETTER OF SUPPORT - COUNTY JAG FUNDING ALLOCATION ITEM BEFORE COMMISSION The Police Department requests approval for the May or to submit a letter in support of the County's recommended allocation of the County JAG funding (J ustice Assistance Grant) for FY 12/13. BACKGROUND The Florida Department of Law Enforcement (FDLE) ha s allocated $358,801 in funding to Palm Beach County. This funding is provided to FDLE from the U nited States Department of Justice, Annual Justice Assistance Grant (JAG). In order to receive this fu nding, the units of government within Palm Beach County must provide majority support to the funding distribution and submit a letter so stating. The proposed funding allocations are attached (in the l etter of support). The City of Delray Beach expects to have some benefit from the proposed County Wide re-entry services which will be provided. RECOMMENDATION The Police Department recommends approval. MEMORANDUM TO:Mayor and City Commissioners FROM:Paul Dorling, Director of Planning and Zoning DATE:June 13, 2012 SUBJECT:AGENDA ITEM 8.F. - REGULAR COMMISSION MEETING OF JUNE 19, 2012 AGREEMENT/ FDEP: BEACH RENOURISHMENT ITEM BEFORE COMMISSION The action requested of City Commission is that of approving the Department of Environmental Protection (DEP), Contract No. 12PB1 between the Ci ty and the DEP for the state’s cost sharing of the Beach Renourishment Project. BACKGROUND The DEP Contract No. 12PB1 represents a project agreem ent between the State and the City of Delray Beach for state cost sharing not to exceed $2,279,5 37. The contract represents the state’s reimbursement share (50% of the balance) after the federal commitment of 56.33%. This contract will cover the state’s share of reimbursable tasks including preliminary and final engineering leading up to the 2012 fill event, as well as the construction en gineering, permit required monitoring, and fill placement. The modifications have been reviewed and approved as to legal sufficiency and form by the City Attorney. RECOMMENDATION By motion, approve DEP Contract No. 12PB1 between t he City of Delray Beach and the DEP for the state’s cost sharing of the ongoing Beach Renourish ment Project. MEMORANDUM TO:Mayor and City Commissioners FROM:Sharon L'Herrou, Administrative Officer Anthony W. Strianese, Chief of Police THROUGH:David T. Harden, City Manager DATE:June 13, 2012 SUBJECT:AGENDA ITEM 8.G. - REGULAR COMMISSION MEETING OF JUNE 19, 2012 BULLET PROOF VEST GRANT/ DEPARTMENT OF JUSTICE ITEM BEFORE COMMISSION The Delray Beach Police Department requests approva l to submit an application to the Department of Justice’s Bulletproof Vest Program. The request is for the maximum allowable amount of $33,600 for 48 vests. This program covers 50% of the cost which amounts to $16,800. BACKGROUND The Delray Beach Police Department currently has a Bulletproof Vest Award with the Department of Justice (DOJ). This application represents an oppor tunity to extend our current award program. Bulletproof vests are necessary life-saving equipment which Law Enforcement Agencies are required to procure. According to the DOJ website, "The Bulletp roof Vest Partnership (BVP) is a unique U.S. Department of Justice initiative designed to provid e a critical resource to state and local law enforcement." FUNDING SOURCE Matching funding for the City's 50% share of the co st ($16,800) was included in the FY 12/13 Budget request in account number 001-2115-521-52.27. RECOMMENDATION The Police Department recommends approval. MEMORANDUM TO:Mayor and City Commissioners FROM:R. Brian Shutt, City Attorney DATE:June 11, 2012 SUBJECT:AGENDA ITEM 8.H. - REGULAR COMMISSION MEETING OF JUNE 19, 2012 INTERLOCAL AGREEMENT/COMMUNITY REDEVELOPMENT AGENCY ITEM BEFORE COMMISSION The item before the City Commission is an Interloca l Agreement between the City and the CRA for the funding of broadband service (purchase of the radio s and related equipment) in the NW/SW neighborhoods. BACKGROUND Attached is the proposed Interlocal Agreement for t he funding of the purchase of the radios and relate d equipment in order to provide free internet access in the NW/SW neighborhoods as part of the digital divide program. The CRA desires to contribute up to $135,000 to the City to be used to fund the purchase of the necessary radios and equipment. RECOMMENDATION Staff recommends approval of the Interlocal Agreeme nt. MEMORANDUM TO:Mayor and City Commissioners FROM:R. Brian Shutt, City Attorney DATE:June 11, 2012 SUBJECT:AGENDA ITEM 8.I. - REGULAR COMMISSION MEETING OF JUNE 19, 2012 SUBLEASE AGREEMENT/CRA/CREATIVE CITY COLLABORATIVE OF DELR AY BEACH INC. ITEM BEFORE COMMISSION The item before the Commission is approval of a pro posed sublease agreement between the CRA and the CCC regarding the Old School Square Parking Gar age retail space. BACKGROUND The City has an agreement with the CRA regarding th e lease of a portion of the OSS retail space. This lease allows the CRA to sublease the space upon obt aining the City’s permission. The attached sublease provides that it is subject to all of the terms and conditions of the lease agreement between the City and the CRA. RECOMMENDATION Staff recommends approval of the sublease agreement between the CRA and the CCC. MEMORANDUM TO:Mayor and City Commissioners FROM:Victor Majtenyi; Deputy Director of Public Uti lities Richard C. Hasko, P.E.; Director of Environmental S ervices Department THROUGH:David Harden; City Manager DATE:June 5, 2012 SUBJECT:AGENDA ITEM 8.J. - REGULAR COMMISSION MEETING OF JUNE 19, 2012 PAYMENT OF INVOICE/FPL ITEM BEFORE COMMISSION Approve payment to Florida Power and Light in the a mount of $37,998.80 for upgrading the electrical service relating to the Lift Station 100A Upgrade p roject, P/N 2011-041. BACKGROUND Lift Station 100A is located at the northeast corne r of Veteran’s Park, northeast of the shuffleboard courts. The station was built in the early 1990’s a nd has three 30-hp pumps. The station is presently operating on 240 volt/3 phase electric power. On June 5, 2012, City Commission approved the award for the Wastewater Lift Station 100A Upgrade project to Intercounty Engineering, Inc. as the low est responsive bidder. The scope of work involves construction of a second wet well, purchase and ins tallation of a new standby diesel generator, comple te upgrade of the stations electrical service, by-pass pumping, and associated site landscape and fen cing upgrades. Associated with the Lift Station’s upgrade is Flori da Power and Light’s requirement to upgrade the electrical service to the station. The service wil l be upgraded from the existing power source to 480 volt/3 phase power source. This source of energy is more efficient and will provide smoother operation of the three new 40-hp pumps. The scope of work consists of installing a new switchgear cabinet, pad mounted transformer, and associated wiring to the p ower pole. FPL’s cost is $37,998.80. FUNDING SOURCE Funding will be from account 442-5178-536-69.29, Water and Sewer Renewal & Replacement Fund/Lift Station 100A Upgrade, in the amount $37,9 98.80, after a budget transfer. RECOMMENDATION Staff recommends approval of payment to Florida Pow er and Light in the amount of $37,998.80 for the new upgraded electric service associated with the W astewater Lift Station 100A Upgrade project, P/N 2011-041. MEMORANDUM TO:Mayor and City Commissioners FROM:Lula Butler, Director, Community Improvement THROUGH:David Harden - City Manager DATE:June 14, 2012 SUBJECT:AGENDA ITEM 8.K. - REGULAR COMMISSION MEETING OF JUNE 19, 2012 AMENDED AGREEMENT/PBC/DRI3 PROGRAM ITEM BEFORE COMMISSION Approval of the amended Agreement between the City of Delray Beach and Palm Beach County for $613,347 to provide for implementation of the Hurri cane Hardening funded under the Disaster Recovery Initiative 3 (DRI3). BACKGROUND On July 14, 2010, the City Commission approved an A greement with Palm Beach County, Contract Number 08DB-D3-10-60-01-A07 for $800,000, for the p urpose under the State of Florida-funded 2005 Disaster Recovery Initiative Program Supplemental A ppropriation funds to implement a housing rehabilitation program. This Agreement will reallocate $613,347 from Contra ct Number 08DB-D3-10-60-01-A07, originally budgeted for housing rehabilitation activity, to Hu rricane Hardening of Fire Station #1. This activity entails the repair and hardening of one Emergency O peration facility, which includes removal and replacement of the flat roof, remove existing and i nstall hurricane impact windows, replace perimeter doors and the installation of a new generator. FUNDING SOURCE Disaster Recovery Initiative 118-1960-554-49.19 (Re imbursable Grant) RECOMMENDATION Staff recommends approval of the amended Agreement between the City of Delray Beach and Palm Beach County in the amount of $613,347 for implemen tation of the Hurricane Hardening activity funded under the Disaster Recovery Initiative 3 (DR I3) program. MEMORANDUM TO:Mayor and City Commissioners FROM:Richard J. Reade, Sustainability Officer/Publi c Information Officer THROUGH:David T. Harden, City Manager DATE:June 14, 2012 SUBJECT:AGENDA ITEM 8.L. - REGULAR COMMISSION MEETING OF JUNE 19, 2012 MEMORANDUM OF UNDERSTANDING/SOLID WASTE AUTHORITY (SWA)/AMER ICAN BEVERAGE ASSOCIATION (ABA) ITEM BEFORE COMMISSION Request the City Commission to authorize the City’s participation in a Pilot Public Space Recycling Program with the American Beverage Association (ABA ). BACKGROUND Recently, the City of Delray Beach was presented wi th an opportunity to participate in a national Pilo t Program to assist in documenting current public spa ce recycling practices and to contribute to the development of national policy recommendations to i ncrease this method of recycling. The Pilot Project, which is being conducted by the American B everage Association (ABA), who is represented by StewardEdge USA, would contribute to the City’s green and sustainable efforts in promoting public and commercial recycling within our community. If approved, the City of Delray Beach would be the first community to enter into this Pilot Program, which will include various other communities within Palm Beach County. Some of the project goals for this Pilot project include: • Measure and improve public space recycling performa nce • Measure the contamination rate of non-recyclables i n the recycling stream pre- and post- implementation • Measure the increased rate of recycling achieved by measuring the pre- and post- implementation recycling rates achieved in each sel ected host jurisdiction • Create an effective, attractive, and sustainable re cycling system for beverage containers generated in the public space for each host jurisdi ction • Identify current recycling and disposal behaviors • Integrate the messaging with the communications rel ated to host jurisdiction residential recycling programs • Document capital and operating costs of the pilots • Create opportunities for the public to recycle thei r beverage containers to reduce the amount of litter • In consultation with relevant authorities from each host jurisdiction, identify and demonstrate the use of functional and aesthetically pleasing re cycling receptacles • Increase public awareness of the opportunities and convenience of recycling in the host jurisdictions By participating in this six (6) month Pilot Progra m, the City will receive, at no charge, 20 or more recycling receptacles that will be located near the City’s beach and in the downtown core. The City will be responsible for the upkeep (i.e., cleaning) of t he containers, however, the ABA shall be responsibl e for any and all repairs and replacement of the cont ainers. At the completion of this Pilot Project, al l of the recycling receptacles that are utilized by the City within this Pilot Project will be donated to t he City. With regards to the collection of these containers, Waste Management Inc. of Florida has agreed to collect these additional containers and provide all recycling collection data to the project manager a t no cost to the City. This agreement will be formally p resented to the City Commission as an amendment to the City’s Solid Waste & Recycling Collection Franchise Agre ement later this year when the new, proposed collection rates are presented to the Comm ission. StewardEdge, representing the American Beverage Ass ociation, will be responsible for providing all project management and technical assistance through out the term of the project and the Solid Waste Authority will be responsible for assisting with pr omoting the pilot recycling program. RECOMMENDATION Recommend the City Commission approve the Memorandu m of Understanding with the American Beverage Association and authorize the City to ente r into the Pilot Public Space Recycling Program. MEMORANDUM OF UNDERSTANDING The American Beverage Association (ABA) has contracted wit h StewardEdge USA, Inc. to implement a pilot public space recycling pr ogram in Palm Beach County. The Palm Beach County Solid Waste Authority (SWA) ha s agreed to assist StewardEdge in the identification of up to eight (8) sites within the County for participation in the pilot. The City of Delray Beach (City) has agreed to participate in this pilot program. WHEREAS , all parties desire to participate in this proposed pil ot program in order to document and improve recycling performance in public spaces. NOW, THEREFORE , for good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties he reby agree as follows: 1. The Parties agree as follows: Project goals that the American Beverage Association seeks t o achieve through this pilot are as follows: • Measure and improve public space recycling performance; • Create an effective, attractive, and sustainable recycl ing system for beverage containers generated in the public space for each host ju risdiction; • Create opportunities for the public to recycle their b everage containers to reduce the amount of litter; • In consultation with relevant authorities from each host jurisdiction, identify and demonstrate the use of functional and aesthetically pl easing recycling receptacles; • Increase public awareness of the opportunities and conven ience of recycling in the host jurisdictions. Specific objectives for this project include to: • Identify current recycling and disposal behaviors; • Assess recycling systems already in place including measure ment of baseline volumes of beverage containers being recycled and landfi lled from an identified set of public space locations; • Integrate the messaging with the communications related to host jurisdiction residential recycling programs; • Document capital and operating costs of the pilot; • Recommend recycling collection receptacle signage option s; • Measure the contamination rate of non-recyclables in th e recycling stream post- implementation; • Measure the increased rate of recycling achieved by mea suring the pre- and post-implementation recycling rates achieved in each sele cted host jurisdiction. 2 The role of the American Beverage Association will be t o: • Provide at no charge to each participating municipalit y up to 20 recycling receptacles, mutually selected by the municipality and A BA, but not to exceed $600.00 per receptacle, to be located on municipal prop erty, in locations determined by the municipality and agreed to by ABA, and donated to the municipality upon completion of the pilot; • Provide signage for the recycling receptacles also to be donated to each host municipality prior to commencement of the pilot; • Promote public use of the recycling receptacles. The role of StewardEdge will be to: • Serve as the ABA’s representative in all manners perta ining to the pilot project; • Provide project management and technical assistance for the pilot project; • Perform pre- and post- start waste and recyclables audit s; • Share the audit data with each municipality as well a s the Palm Beach County SWA; • Prepare a concise final report on overall project resul ts including pre- and post- project recycling results. The role of each host municipality will be to: • Participate in the identification of sites for each re cycling receptacle and selection of the receptacles to be provided by the ABA; • Assist with promotion, using available recycling program and other communication channels as appropriate; • Install the recycling receptacles at each site; • Service the receptacles in a timely fashion for the du ration of the pilot and provide information to StewardEdge on pounds of mate rials recycled; • Continue to service the recycling receptacles after the A BA pilot period ends; and • Authorize the ABA to publicize the pilot and associate d results so that other jurisdictions can benefit from the key learnings. The Ci ty will have an opportunity to review promotion and marketing materials (i.e., pr ess releases, announcements, etc.) prior to distribution. The role of the Palm Beach County Solid Waste Authori ty will be to: • Assist with obtaining the support and approval of local jurisdictions to participate in the program; • Assist with selecting and siting receptacles in up to eight (8) sites in Palm Beach County; • Provide assistance in transporting waste and recyclable ma terial that will be characterized during the pre- and post- start audit; 3 • Provide a location for the audit sorting work to be performed; • Assist with promoting the pilot recycling program. 2. The Parties understand and agree that the City’s so lid waste vendor will collect the recyclable materials and that in the event t he vendor is unable and/or unwilling to make these collections, the City’s involveme nt in this MOU shall then immediately terminate, unless otherwise agreed to by t he City. 3. The pilot program will begin only after the City amends it current Franchise Agreement with its waste hauler to ensure that all col lections, monitoring, reporting and disposal related to this Pilot program will be complet ed by the City’s waste hauler. 4. The pilot program will last for approximately six (6) months from the date of receptacles installation. The City is entering into this agreement with the good faith intention of establishing and continuing this public sp ace recycling program. However, the City may terminate its involvement in this MOU wi th or without cause upon 30 days notice to StewardEdge USA, Inc. If the City terminat es its involvement in the program prior to the expiration of the six (6) month period, ABA shall have the right to retain ownership of the recycling containers. 5. For the duration of the pilot program, the ABA sh all own the containers and shall be responsible for any and all repairs and re placement of the containers. The City will provide upkeep (i.e., cleaning) of the conta iners. If the ABA fails to properly repair and replace the containers, as determined by the City, then the City shall have the right to remove the containers without replacement . If the ABA fails to collect the removed container from the City within 10 days after being notified by the City, the City may dispose of the container at its discretion. 6. At the completion of the pilot program, the City m ay or may not, at its discretion continue to provide public recycling as provided within this program. The City will retain the ownership of all recycling bins donated by the ABA through this Memorandum of Understanding. 7. No party will be liable for, or have any obligat ion to defend any other parties against claims, suits, judgments or damages, includi ng court costs or attorney’s fees, arising out of the negligent acts of the other pa rty, it being agreed that each party is responsible for its own actions or failure to act. 8. The Laws of the State of Florida shall govern and venue shall be in Palm Beach County. The Parties agree to comply with the terms of this Memo randum of Understanding. 4 Witness: STEWARDEDGE on behalf of ABA ____________________________ By:___________________________ _______________________ Date:__________________________ ATTEST: CITY OF DELRAY BEACH, FLORIDA ______________________________ By:____________________________ City Clerk David T. Harden, City Manager Approved as to Form: Date:__________________________ ______________________________ City Attorney MEMORANDUM TO:Mayor and City Commissioners FROM:Richard J. Reade, Sustainability Officer/Publi c Information Officer THROUGH:David T. Harden, City Manager DATE:May 11, 2012 SUBJECT:AGENDA ITEM 8.M. - REGULAR COMMISSION MEETING OF JUNE 19, 2012 RESOLUTION NO. 24 -12/INTERLOCAL AGREEMENT/THE FLORIDA GREEN FINANCE AUTHORITY/TOWN OF LANTANA/TOWN OF MANGONIA PARK: P.A.C.E. ITEM BEFORE COMMISSION Resolution No. 24-12, authorizing an Interlocal Agreement with the To wn of Lantana and the Florida Green Finance Authority to administer and implement a micro-loan program that enables property owners to voluntarily finance energy efficiency imp rovements to be repaid through a non-ad valorem assessment on their annual property tax bill. BACKGROUND In 2010, the Florida Legislature approved F.S. Sect ion 163.08 authorizing the creation of Property Assessed Clean Energy (PACE) programs and authorizing local governments in Florida to either form programs individually or in partnership with other local governments, to allow property owners to voluntarily finance the installation of renewable energy, energy effici ency improvements and wind resistance improvements on residential, commercial and industrial buildings. By voluntarily participating in this program, property owners pay an assessment over the functional life of the improvement as an on-going assessment on property t ax bills (up to 20 years). PACE is unique because it: * Creates desperately needed local jobs * Uses private capital, not taxes or gover nment subsidies * Saves money for building owners and incr eases property values * Is voluntary – not a government mandate * Promotes energy security without driving up energy costs * Avoids the need to build costly new powe r plants * Is transferable to subsequent property o wners upon sale The City of Delray Beach has been provided with the opportunity to participate in the “Florida Green Energy Works” PACE program, which was developed by the Town of La ntana with stimulus grant funding that was received by the Greater Lake Worth (now Central Palm Beach) and Greater Boynton Beach Chambers of Commerce. In an effort to provide an administrative entity and to streamline program costs (Cities would not be required to crea te their own individual PACE programs), the Florida Green Finance Authority was developed by the partic ipating cities. The Authority was formed by Inter- local agreement as a separate legal entity and purs uant to Florida law and will serve as the financing agency, thus there is no obligation for City financ ing or contributions. Essentially, this program is a voluntary micro-loan program that enables property owners to financ e qualified energy conservation improvements within t heir property(ies) that they may otherwise not be able to afford. After the applicant goes through an approval process and receives financing, they hire their own contractor and complete the project. Foll owing this process, the Palm Beach County Property Appraiser will levy a non-ad valorem assessment on this property to repay the financing through the annual property tax bill. Even though the property owner’s taxes increase from the voluntary non-ad valorem assessment, the end result is that the prop erty owner will realize reduced monthly utility bil ls that would assist in repaying/offsetting the loan. In addition, all costs are tied to the property, th us, if sold, the non-ad-valorem assessment will continue w ith the property until all costs are paid. If the City were to participate in this program, th ere would be a number of expected benefits, includi ng: * Promotes Green and Sustainability within City * Provides long term and safe financing f or property owners to develop energy and water efficiency improvements that they may otherwise not be able to afford * Promotes and funds economic development opportunities and activities * Increase jobs * Increase in building and construction pe rmits and fees – higher City revenues * Increase in property valuations and ad-v alorem revenues * Increase in Tax Increment Financing (TIF ) funding * Reduce environmental impacts (i.e., Green house Gas Emissions) generated within City * No City staff requirement * No cost to the City to participate in th e program At this time, due to issues related to residential lending requirements, the proposed PACE program would initially provide funding to commercial prope rties only. However, residential properties will b e eligible to participate in this program once these federal residential lending issues are resolved. By entering into this program, the City would not b e required to provide any City staff or funding provided the City remains a member for at least 2 c onsecutive years. Please note that if the City were to opt out of the program prior to the completion of 2 years, a fee of not more than $17,500 (pro-rated if opt-out occurs during the second year) will be appl ied. To date, the Florida Green Energy Works includes th ree (3) local municipalities – the Town of Lantana, the Town of Mangonia Park and the City of West Palm Beach. In addition, a number of local governments within Palm Beach County and around the state are considering a PACE program for their community. Joining this PACE program would assist in stimulati ng economic activity and serve to meet a core recommendation in developing a comprehensive Econom ic Development program within the City. In fact, this tool would contribute to the Delray Beac h Economic Development Fund and serve as a sustainabililty incentive(s) for new and existing businesses. The Florida Green Energy Works PACE program would e nable the City to meet the Green Task Force's recommendation to "Develop Incentives for Green Red evelopment" (2009 Recommendations Report). RECOMMENDATION Recommend that the City Commission approve Resoluti on No. 24-12 authorizing the City to enter into the Florida Green Energy Works program, which will make PACE financing options available to commercial property owners located in the City of D elray Beach. RESOLUTION NO. 24-12 A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF DELRAY BEACH, FLORIDA, EXPRESSING THE CITY’S SUPPOR T AND INTENTION TO CREATE WITHIN THE CITY, THE “FLORIDA GREEN ENERGY WORKS PROGRAM” A VOLUNTARY PROGRAM PROVIDING INTERESTED PROPERTY OWNERS WITH THE OPPORTUNITY TO FINANCE ENERGY EFFICIENCY IMPROVEMENTS ON THEIR PROPERTY BY REPAYMENT THROUGH NON-AD VALOREM ASSESSMENTS ON THEIR PROPERTY TAX BILL; AUTHORIZING THE MAYOR OF DELRAY BEACH TO EXECUTE AN INTERLOCAL AGREEMENT WITH THE FLORIDA GREEN FINANCE AUTHORITY FOR ADMINISTRATION OF THE FLORIDA GREEN ENERGY WORKS PROGRAM IN THE CITY OF DELRAY BEACH; PROVIDING AN EFFECTIVE DATE; AND FOR OTHER PURPOSES. WHEREAS, home and business energy consumption acco unts for a large portion of the overall usage of energy in a community; and WHEREAS, there is a vast quantity of existing stru ctures with many years of remaining life before replacement, and these structures are not as energy efficient as today’s standards, nor do many existing buildings have renewable energy systems installed to provide some or all of their electric energy needs an d many buildings are in need of improvements to protect them agai nst damage from storm events; and WHEREAS, installing energy efficiency, renewable e nergy and wind resistance improvements on existing structures can provide significant progress towards increased energy conservation and protection of properties in the City and statewide; and WHEREAS, the upfront costs of these improvements a re a hurdle to installing them and existing financing options may be insufficient for property owners to access cost-effective financing for energ y- saving or wind-resistance property improvements due t o requirements associated with traditional debt or equity financing options; and WHEREAS, the expected life of energy efficiency, re newable energy or wind resistance projects may require a longer term payback period than offere d by traditional financing, which may necessitate alternative options to fund installation of the improvement s; and WHEREAS, local governments within Florida and nationa lly have either formed, or are contemplating the formation of, programs to provide alternative financing options allowing a property owner to voluntarily finance energy efficiency and r enewable energy improvements through non-ad valorem assessments repaid through their property taxes; and RES. NO. 24-12 2 WHEREAS, the State of Florida has declared it the public polic y of the State to develop energy management programs aimed at promoting energy conser vation and protecting properties from wind damage; and WHEREAS, the financing provided to these participating proper ty owners will be repaid though non-ad valorem assessments levied on their property t ax bills and only those property owners who want to participate will be levied the assessments; and WHEREAS, the benefits of these energy financing programs in clude improved air quality, lowered fossil fuels use, creating energy independence and se curity, promoting the creation of jobs and economic development by stimulating “green industries” and sav ing citizens money by reducing energy consumption; and WHEREAS, Section 163.08, F.S. authorizes local governments in Florida to either form individually, or in partnership with other local gove rnments, programs to allow property owners to voluntarily finance energy efficiency, renewable energ y or wind resistance improvements; and WHEREAS, the Town of Lantana has formed the Florida Green Ene rgy Works program which is an energy financing program created pursuant to Section 163.08, F.S.; and WHEREAS, other local governments in the State are able to p artner in the Florida Green Energy Works program by executing an Interlocal Agreement creating the Florida Green Finance Authority to administer the program, thus eliminating the costs a nd reducing the efforts to form an energy financing program by individual local governments; and WHEREAS, the Florida Green Finance Authority is already creat ing the financing, levy and collection process to implement the Florida Green En ergy Works program through the local government partners; and WHEREAS, the Florida Green Energy Works program will provide significant benefits including property owner cost savings, enhancing property val ues, economic development and job opportunities and the City of Delray Beach believes that it is in the best inter ests of the health, safety and welfare of its citizens to participate in the program and authorize the City Manager and City Attorney to finalize the Interloca l Agreement creating the Florida Green Finance Authori ty and begin the steps to create the Florida Green Energy Works program in the City of Delray Beach. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSI ON OF THE CITY OF DELRAY BEACH, FLORIDA, THAT: Section 1. The above declarations are true and accurate, and are incorpor ated herein. Section 2. The City Commission of Delray Beach, a municipal corporation, hereby authorizes RES. NO. 24-12 3 participation in the Florida Green Finance Authority to implement the Florida Green Energy Works program. Section 3. The City Commission hereby directs the City Manage r and City Attorney to finalize the Interlocal Agreement with the Florida Green Finance Authority, and further authorizes the Mayor of Delra y Beach to execute the Interlocal Agreement on behalf of the City. Section 4. The City Commission hereby directs that the City M anager and City Attorney to begin creating the levy and collection process for the vol untary non-ad valorem assessments with the Florida Green Finance Authority and Palm Beach County Property Ap praiser and Tax Collector. Section 5. This Resolution shall take effect immediately upon adoption . PASSED AND ADOPTED in regular session on the ___ day of _______________, 2012. _____________________________________ M A Y O R ATTEST: _______________________________ City Clerk 1 INTERLOCAL AGREEMENT BETWEEN THE FLORIDA GREEN FINANCE AUTHORITY, THE TOWN OF LANTANA, AND THE TOWN OF MANGONIA PARK This Interlocal Agreement (the “Agreement”) is entered into be tween the Town of Lantana, Florida, a Florida municipal corporation ("Lantana") a nd the Town of Mangonia Park, Florida, a Florida municipal corporation, ("Mangonia Park") (toge ther the “Originating Parties”); and the Florida Green Finance Authority (the “Authority”). RECITALS WHEREAS, Section 163.01, F.S., the “Florida Interlocal Cooperation Act of 1969,” authorizes local government units to enter into interlocal agreements for their mutual benefit; and WHEREAS, the Lantana and Mangonia Park desire to enter into this Interloc al Agreement in order to establish the Florida Green Finance Authority as a means of implementing and financing a qualifying improvements program for energy conserva tion and efficiency improvements, and to provide additional services consistent with law; and WHEREAS, Section 163.08, F.S., provides that a local government may finance “qualifying improvements,” including the type of improvements sought to be provided through this Agreement, via the levy and collection of voluntary non-ad valor em assessments on improved property; and WHEREAS, Sections 170.01, and 170.201, F.S. provide for supplemental and alternative methods of making local municipal improvements, includi ng the type of “qualifying improvements” sought to be provided by this Agreement; and WHEREAS, pursuant to Sections 163.08, 170.01, and 170.201, F.S. and this Agreement, Lantana has created a “qualifying improvements” program entit led “Florida Green Energy Works”; and WHEREAS, Section 163.01(7), F.S., allows for the creation of a “separate legal or administrative entity” to carry out the purposes of an interlocal agreement for the mutual benefit of the governmental units, and provide for parties to the agreement t o administer the agreement; and WHEREAS , pursuant to Section 163.01(4), F.S. a public agency of this state ma y exercise jointly with any other public agency of the state, any power, privilege or authority which such agencies share in common and which each might exercise se parately, and the Parties to this Agreement have legislative authority over property withi n their jurisdictional boundaries; and 2 WHEREAS, Section 166.021, F.S., authorizes Lantana and any other municipalities t o exercise any power for municipal purposes, except when expr essly prohibited by law, and Section 125.01 F.S. grants counties the power to carry on county governme nt to the extent not inconsistent with general or special law; and WHEREAS , Section 163.08, F.S., provides that property retrofitted with energ y-related “qualifying improvements” receives a special benefit from reduced energy consumption, benefits from the reduced potential for wind damage and assists in the fulfil lment of the state’s energy and hurricane mitigation policies; and WHEREAS, the Lantana and Mangonia Park have determined that it is necess ary and appropriate to establish various obligations for future cooperat ion between Lantana, Mangonia Park, the Authority and all other local governments that execute this Interlocal Agreement (each a “Party”) thereby becoming members of the Authority relat ed to the financing of qualifying improvements within the Authority; and WHEREAS, Lantana shall administer this Interlocal Agreement; and WHEREAS, Lantana and Mangonia Park have determined that it shall serve the public interest to enter into this Agreement to make the most efficie nt use of their powers by enabling them to cooperate on a basis of mutual advantage to provide for the financing of qualifying improvements within the Authority. NOW, THEREFORE, in consideration of the terms and conditions, promises and covenants hereinafter set forth, the Originating Parties agree as follow s: Section 1. Recitals Incorporated . The above recitals are true and correct and are hereby incorporated herein. Section 2. Purpose . The purpose of this Agreement is to provide the most economic and efficient means of implementing a financing program for qual ifying improvements on property owners’ lands within the Authority’s Service Area and to provide additional services consistent with state law. Section 3. Creation of the Authority . By execution of this Interlocal Agreement there is hereby created, pursuant to Section 163.01, F.S. and Section 163.08, F.S., the Florida Green Finance Authority (“the Authority”), a separate legal entity a nd public body with all of the powers and privileges as defined herein. Section 4. Legal Authority/Consent to Serve the Authority. The Authority shall have all the powers, privileges and authority as set forth below and as provided by Chapter 163, F.S., as necessary to accomplish the purposes set forth in this Agre ement. By resolution of the governing bodies of the Originating Parties, all powers avail able to the Authority under this Agreement and general law, including but not limited to, Chapters 163, 170, 189 and 197, F.S. may be implemented by the Authority within the jurisdictional bounda ries of the Originating Parties. The Originating Parties do hereby consent and agree to l evy and collect voluntary non- 3 ad valorem assessments on properties, either individually or coll ectively as permitted by law, within their respective jurisdictions in accordance with the purp oses of this Agreement and applicable law, to be repaid to the Authority. The Originatin g Parties also delegate the power to levy and collect voluntary non-ad valorem assessments on properti es within their jurisdictions as may be permitted by law. The Authority shall not act, provide i ts services or conduct its activities within any Party’s jurisdiction without the execution of this Agr eement. Section 5. Definitions. a. “Authority Board” shall be the governing body of the Authority, comprised of representatives from all Parties as defined herein. b. “Florida Green Energy Works Program” is the qualifying improvements program authorized by Section 163.08, F.S., developed by the third party administrator for Lantana and other Parties who elect to participate. c. “Interlocal Agreement” or “Agreement” is defined as this Agreement including any amendments and supplements executed in accordance with the terms here in. d. “Originating Parties” include the Florida local governments (as defined by Section 163.08, F.S.) that are the original signatories to this Agree ment. These are the Towns of Lantana and Mangonia Park. e. “Participating Property Owner” is defined as a property owner whose property is located within the Service Area of the Authority and has voluntari ly acquired financing from the Authority. f. “Parties” are any Florida local government (as defined by Section 163.08, F. S .) having the power to enter into interlocal agreements and which may, subject to the provisions of this Agreement, join in the efforts and activities provided for by this Agreement pursuant to Section 163.01, F.S. Any local government joini ng these efforts after the initial execution of this Agreement shall be known as a “Party”. To be a Party, a local government shall execute the Signatory Page attached as Exhibit B to this Agreement, which Signatory Page shall supplement and amend this Agreement. g. “Qualifying Improvements” are as defined in Section 163.08, F.S. in addition to any other improvements or services not inconsistent with state law. h. “Service Area” shall mean the geographic area comprising all of the areas within the Florida Green Finance Authority as that area may be expa nded or contracted in accordance with the provisions of this Agreement and the laws of the State of Florida. Section 6. Representation on the Authority Board . The Originating Parties, and all subsequent Parties upon joining the Authority through execution of thi s Agreement, shall be represented by a member of the Authority Board as provided in Section 10 of this Ag reement. Section 7. Authority Boundaries and Service Area . The boundaries of the Authority shall be the legal boundaries of the local governments that are Parties to this Agreement. This is also the Authority’s Service Area. Section 8. Role of the Authority . As contemplated in this Agreement, the Authority will uniformly facilitate and assist the Originating Parti es and all subsequent Parties with any 4 necessary actions to levy and collect voluntary non-ad valorem asse ssments, or other legally authorized form of collection, on the benefitted properties within t he Authority’s Service Area to secure the repayment of costs of qualifying improvements for t hose individual properties participating in the Florida Green Energy Works Program. Upon approval by the Authority of an application by a landowner desiring to benefit their property, those p roperties receiving financing for Qualifying Improvements shall be assessed from time to time, in accordance with the applicable law and/or financing documents. Notwithstanding a local government’s termination of participation within this Agreement, those properties that have received financing for Qualifying Improvements shall continue to be a part of the Authori ty, until such time that all outstanding debt has been satisfied and the special assessments shall continue to be levied until paid in full for the applicable benefitted property. Section 9. Powers of the Authority . The Authority shall exercise any or all of the powers granted under Sections 163.01, and 163.08, F.S., as well as powers, privil eges or authorities which each local government might exercise separate ly, as may be amended from time to time, which include, without limitation, the following: a. To finance qualifying improvements within the Authority Service Ar ea and to facilitate additional improvements or services consistent with law; including, but not limited to, acquiring, constructing, managing, maintaining or op erating buildings, works or improvements; b. To make and enter into contracts in its own name; c. To enter into any interlocal agreement as necessary to exerc ise powers conferred by law; d. To appoint committees to assist with implementation of this Agreement; e. To employ agencies, employees, or consultants; f. To acquire, hold, lease or dispose of real or personal property; g. To borrow money, incur debts, liabilities, or obligations which sha ll not constitute the debts, liabilities, or obligations of the Originating Part ies or any of the Parties to this Agreement; h. To levy and collect assessments, or assist in the levy and coll ection of assessments, either as the Authority or on behalf of an Origin ating Party or subsequent Party as permitted by law; i. To adopt resolutions and policies prescribing the powers, duties , and functions of the officers of the Authority, the conduct of the business of the A uthority, and the maintenance of records and documents of the Authority; j. To maintain an office at such place or places as it may de signate within the Service Area of the Authority or within the boundaries of an Orig inating Party or a subsequent Party; k. To cooperate with or contract with other governmental agencies as may be necessary, convenient, incidental, or proper in connection with any of the powers, duties, or purposes authorized by Section 163.08, F.S., and to accept funding f rom local and state agencies; l. To exercise all powers necessary, convenient, incidental, or prope r in connection with any of the powers, duties, or purposes authorized in Section 163.08, F. S.; m. To create and adopt any and all necessary operating procedure s, policies, manuals or bylaws; 5 n. To maintain insurance as the Authority deems appropriate; o. To apply for, request, receive and accept gifts, grants, or assis tance funds from any lawful source to support any activity authorized under this Agreement; and p. To exercise any powers or duties necessary to address carbon or renewa ble energy credits, or any other similar commodity that may come into exis tence, for the public benefits of the program. Section 10. Authority Board . The Authority shall be governed by a seven (7) member Board of Directors which shall include one Director appointed by th e governing body of each Originating Party plus five (5) additional Directors. To assur e geographical representation across the State, the Authority seeks to appoint one (1) Director from the boundaries of each of the five (5) water management districts as defined in Chapter 373, F.S. Only Parties, through their governing bodies, may appoint representatives to serve as an Authority Board Director. Originating Party representatives serve an initial four (4) year term commencing upon execution of this Agreement, and subsequent terms as further set forth in subparagraphs a. and b. of this section. The remaining five (5) Directors will each be appoint ed by the governing body of the first Party from each requisite water management district boundary area that joins the Authority through execution of this Agreement and that desires to serve as a Director. Upon execution of this Agreement by such a Party, the term of its appointed Dir ector shall commence for an initial term of three (3) years, and subsequent terms as further set forth in subparagraphs a. and b. of this section. Thereafter, any Party may submit one nominee to serve as an Authority Board Director for any given term. a. Prior to the appointment of the full Authority Board as set forth above, and for purposes of the first organizational meeting(s), the Authority Bo ard shall be comprised of representatives appointed by the governing bodies of the two (2) Originating Parties. Actions taken in this interim period shal l be by unanimous consent and shall be binding on the Authority pursuant to the adoption of resolutions which do not require an in-person meeting, but which must be ratified by a majority vote of the Authority Board Directors in the next regularly scheduled meeting. All actions enumerated in paragraph c. of this section, as well as any other actions necessary to initiate the operation of t he Authority may be taken during this interim period. b. The Town Manager of Lantana, or designee, shall serve as the Chair of the Authority Board for the initial four (4) year term. The Mangonia Park representative shall serve as Vice Chair of the Authority Boa rd for the initial four (4) year term. Upon the conclusion of the initial terms as s et forth above, the Authority Board shall annually select directors and appoint its Chair, Vice Chair and Secretary, each of which shall then serve one (1) year terms . The appointment of Authority Board Directors and officers shall take place at the first regular Authority meeting of the year. The Chair shall preside at meetings of the Authority, and shall be recognized as head of the Authority for servi ce of process, execution of contracts and other documents as approved by the Authority . The Vice Chair shall act as Chair during the absence or disabilit y of the Chair. The Secretary shall keep all meeting minutes and a record of al l proceedings and acts of the Board. Minutes shall be distributed to all Directors and Parties in a reasonable time period after the subject meeting. 6 c. The Authority Board shall act as the governing body of the Authority and shall have, in addition to all other powers and duties described herein, the f ollowing powers and duties: 1. To fix the time, and determine policies and orders of business f or meetings, the place or places at which its meeting shall be held, and as set forth herein, to call and hold special meetings as may be necessary. 2. To make and pass policies, regulations, resolutions and orders not inconsistent with the Constitution of the United States or of the S tate of Florida, or the provisions of this Agreement, as may be necessar y for the governance and management of the affairs of the Authority, for the execution of the powers, obligations and responsibilities vested in the Authority, and for carrying into effect the provisions of this Agreement. 3. To adopt bylaws and rules of procedure, or amend those that may be initially adopted by the Originating Parties. 4. To fix the location of the principal place of business of the Authority and the location of all offices maintained thereunder. 5. To create any and all necessary offices in addition to Chair, V ice-Chair and Secretary; to establish the powers, duties and compensation of all employees or contractors; and to require and fix the amount of all non-ad valorem assessments and/or fees necessary to operate the Fl orida Green Energy Works Program. 6. To select and employ such employees and executive officers as the Authority Board deems necessary or desirable, and to set their compensation and duties. 7. To employ or hire such attorneys as it deems appropriate to provide legal advice and/or legal services to the Authority, and to employ and hir e such other consultants as it deems appropriate through any procedure not inconsistent with law. 8. As applicable and available, nothing herein shall limit the Author ity’s ability to pursue actions or remedies pursuant to Chapter 120, F.S. d. Any Director may resign from service upon providing written notice pursuant to Section 27 of this Agreement, to the Authority Board Secretary. Suc h notice shall state the date said resignation shall take effect. Any Di rector who resigns shall be replaced in the same manner that the resigning Director was selected. Any resigning Director shall immediately turn over and deliver to the Authority Board Secretary all records, books, documents or other property in their possession or under their control which belongs to the Authority. Directors are enc ouraged to provide a minimum of 30 days notice so that a successor can be prop erly appointed; however, any Director who must resign immediately upon ex tenuating circumstances shall be succeeded by an interim Director by m ajority vote of the Authority Board until such time as a permanent successor can be seated. e. Any Authority Board Director who is absent for three (3) consecut ive Authority Board meetings, unless otherwise excused by the Chair, shall be de emed to have resigned from the Authority Board. f. Authority Board Directors shall serve without compensation for the first ye ar after the establishment of the Authority pursuant to this Agreement. T hereafter, 7 Authority Board Director compensation may be set by a unanimous vot e of the Directors of the Authority Board in a manner and at such amounts as is consistent with applicable law. Travel expenses for Authority Board Di rectors shall be reimbursed as permitted by Florida law. Section 11. Meetings of the Authority Board. a. Within thirty (30) calendar days of the creation of the Authori ty, or sooner if feasible, the Originating Parties shall hold an organizational me eting to elect officers and perform other duties as required under this Agreement. b. Prior to the beginning of each fiscal year (October 1), on a da te, place and time as determined by the Authority Board, there shall be an Annual Meeti ng of the Authority. The annual statements shall be presented, and any other such matter as the Authority Board deems appropriate may be considered. c. The Authority Board shall have regular, noticed, quarterly meetings at such times and places as the Authority Board may designate or prescribe. I n addition, special meetings may be called, from time to time, by the Authority Board Chair, or by a majority vote of the Authority Board. A minimum of 24 hours notice to the public and all Authority Board Directors shall be given for any spec ial meetings. d. In the absence of specific rules of procedure adopted by th e Authority Board for the conduct of its meetings, the fundamental principles of parli amentary procedure shall be relied upon for the orderly conduct of all Authori ty Board meetings. Section 12. Decisions of the Authority Board. A quorum of the Authority Board shall be required to be present at any meeting in order for officia l action to be taken by the Board. A majority of all Authority Board Directors shall constitute a quor um. It is the desire and intent of this Agreement that decisions made by the Authority Board shall be by consensus of the Board. However, if a consensus is not achievable in any particular inst ance, then a majority vote of the quorum of the Authority Board shall be required to adopt any measure or approve any action, unless otherwise provided herein. Section 13. Authority Staff and Attorney . a. The Authority’s administrative functions shall be carried out by Lantana and its consultants, and shall include all duties necessary for the conduct of the Authority’s business and the exercise of the powers of the Authori ty as provided in Section 163.01 and Section 163.08, F.S. b. The law firm that serves as the General Counsel for Lantana shall also serve as the General Counsel to the Authority. After the Authority has be en operating for four (4) years, the Authority may opt to hire different Authority staff and/or general counsel. Section 14. Authorized Official . The Authority Board Chair shall serve as the local official or designee who is authorized to enter into a financing agreement, pursuant to Section 163.08(8), F.S., with property owner(s) who obtain financing through the Authority. 8 Section 15. Subsequent Parties . Recognizing the benefit that the formation of the Authority will provide to all Florida local governments, the Origina ting Parties to this Agreement support and encourage the participation of subsequent Parties as contemplated herein. Section 16. Funding the Initial Program . Funding for the Authority shall initially be from grant funds or other funds acquired by the Originating Partie s and/or subsequent Parties. For the initial establishment of the Authority, contributions can be made to the Authority as permitted by law. Section 17. Debts of the Authority are Not Obligations of any Parties . Pursuant to Section 163.01(7), F.S. the Authority may exercise all powers in connect ion with the authorization, issuance, and sale of bonds or other legally authorized me chanisms of finance. However, any debts, liabilities, or obligations of the Authority do not constitute debts, liabilities or obligations of the Originating Parties or any subsequent Party to this Ag reement. Section 18. Annual Budget . a. Prior to the beginning of the Authority’s fiscal year, the Authori ty Board will adopt an annual budget. Such budget shall be prepared in the manner and within the time period required for the adoption of a tentative and final budget for state governmental agencies pursuant to general law. The Authority’s a nnual budget shall contain an estimate of receipts by source and an itemiz ed estimation of expenditures anticipated to be incurred to meet the financial ne eds and obligations of the Authority. b. The adopted Budget shall be the operating and fiscal guide f or the Authority for the ensuing Fiscal Year. c. The Board may from time to time amend the Budget at any duly called regular or special meeting. Section 19. Reports . a. Financial reports: The Authority shall provide financial reports in such form and in such manner as prescribed pursuant to this Agreement and Ch apter 218, F.S. Both quarterly and annual financial reports of the Authority shal l be completed in accordance with generally accepted Government Auditing Standards by an independent certified public accountant. At a minimum, the quarterly and annual reports shall include a balance sheet, a statement of revenues, expenditures and changes in fund equity and combining statements prepared in accor dance with generally accepted accounting principles. b. Operational reports: The Authority Board shall cause to be made at least once every year a comprehensive report of its operations including al l matters relating to fees, costs, projects financed and status of all funds and accounts. c. Audits: The Authority shall be subject to, and shall cause to be conducte d: (i) an independent budget audit and (ii) an independent financial and/or perfo rmance audit performed in accordance with generally accepted accounting practices and as applicable by state law. d. Reports to be public records: All reports, as well as supporting documentation such as, but not limited to, construction, financial, correspondence, instruc tions, memoranda, bid estimate sheets, proposal documentation, back char ge 9 documentation, canceled checks, and other related records produced and maintained by the Authority, its employees and consultants shall be deemed public records pursuant to Chapter 119, F.S., and shall be made availa ble for audit, review or copying by any person upon reasonable notice. Section 20. Bonds . The Authority Board is authorized to provide, from time to time, for the issuance of bonds, or other legally authorized form of financ e, to pay all or part of the cost of qualifying improvements in accordance with law. Section 21. Schedule of Rates and Fees . a. Upon the creation of the Authority as set forth in this Agreement , the Authority Board shall establish a schedule of rates, fees or other charges for the purpose of making the Authority a self-sustaining district. There shall not be any obligation on the part of the Originating Parties or any subsequent Parti es for financing contributions. The Authority shall not be authorized to create or dist ribute a profit. This shall not, however, prevent the Authority from establi shing reserves for unanticipated expenses or for future projects in keeping w ith sound, prudent and reasonable operation of the Program within industry standards or from fulfilling any other requirements imposed by bond financings, other financial obligations or law. Nor shall this prevent the Authority from inc urring costs such as professional fees and other costs necessary to accomplish i ts purpose. The Authority Board shall fix the initial schedule of rates, fees or other charges for the use of and the services to operate the Florida Green Energy Works Program to be paid by each participating property owner consistent with Secti on 163.08(4), F.S. b. The Authority Board may revise the schedule of rates, fees or ot her charges from time to time; provided however, that such rates, fees or charge s shall be so fixed and revised so as to provide sums, which with other funds available for such purposes, shall be sufficient at all times to pay the expens es of operating and maintaining the Florida Green Energy Works Program. This shall include any required reserves for such purposes, the principal of and interest on bonds, or other financing method, as the same shall become due, and to provide a margin of safety over and above the total amount of any such payments, and t o comply fully with any covenants contained in the proceedings authorizing the issua nce of any bonds or other obligations of the Authority. c. The rates, fees or other charges set pursuant to this section s hall be just and equitable and uniform for users and, where appropriate, may be ba sed upon the size and scope of the financial obligation undertaken by a Part icipating Property Owner. All such rates, fees or charges shall be applied i n a non-discretionary manner with respect to the Participating Property Owner’s geographical location within the Authority’s Service Area. No rates, fees or charges shall be fixed or subsequently amended under the foregoing provisions until after a p ublic hearing at which all the potential participants in the Program, and other interested persons, shall have an opportunity to be heard concerning the proposed rates, f ees or other charges. Notice of such public hearing setting forth the prop osed schedule or schedules of rates, fees or other charges shall be provided in acc ordance with Chapter 163 and Chapter 197, F.S. 10 d. The Authority shall charge and collect such rates, fees or other charges so fixed or revised, and such rates, fees and other charges shall not be subje ct to the supervision or regulation by any other commission, board, bureau, age ncy or other political subdivision or agency of the county or state. e. In the event that any assessed fees, rates or other charges f or the services and financing provided by the Authority to Participating Property Owners shall not be paid as and when due, any unpaid balance thereof, and all intere st accruing thereon, shall be a lien on any parcel or property affecte d or improved thereby. Pursuant to Section 163.08(8), F.S., such lien shall constitute a lien of equal dignity to county taxes and assessments from the date of recordat ion. In the event that any such fee, rate or charge shall not be paid as and when due and shall be in default for thirty (30) days or more, the unpaid balance thereof, and all interest accrued thereon, together with attorney’s fees and costs, may be recovered by the Authority in a civil action, and any such lien and accrued interest may be foreclosed and otherwise enforced by the Authority by action or s uit in equity as for the foreclosure of a mortgage on real property. Section 22. Disbursements . Disbursements made on behalf of the Authority shall be made by checks drawn on the accounts of the Authority. Section 23. Procurement; Program Implementation and Administration . The Authority shall be administered and operated by a Third Party Administrator (“TPA”) who shall be responsible for providing services to the Authority for the design, implementation and administration of the Florida Green Energy Works Program. The Originating Parties and all subsequent Parties understand and agree that the procurement for the initial TPA was performed by Lantana in accordance with its adopted procurement procedure s. Pursuant to said procurement procedures, “EcoCity Partners, L3C” has been hired a s the TPA. The “Florida Green Energy Works Program Administration Services Agreement” b etween Lantana and EcoCity Partners, L3C is attached hereto as Exhibit 1 and is he reby incorporated by reference. By execution of this Agreement, all parties hereto agree that the initial Florida Green Energy Works Program Administration Services Agreement, as amended, will be assigned by Lantana to the Authority and shall be executed and assumed by the Authority. Section 24. Term . This Interlocal Agreement shall remain in full force and effe ct from the date of its execution by the Originating Parties until such time as there is unanimous agreement of the Authority Board to dissolve the Authority. Notwithst anding the foregoing, dissolution of the Authority cannot occur unless and until any and all outs tanding obligations are repaid; provided, however, that any Party may terminate its invol vement and its participation in this Interlocal Agreement upon thirty (30) days' written noti ce to the other Parties. Should a Party terminate its participation in this Interlocal Agre ement, be dissolved, abolished, or otherwise cease to exist, this Interlocal Agreement shall c ontinue until such time as all remaining Parties agree to dissolve the Authority and all special asse ssments levied upon Participating Property Owners properties have been paid in full. 11 Section 25. Consent . The execution of this Interlocal Agreement, as authorized by the government body of the Originating Parties and any subsequent Pa rty shall be considered the Parties' consent to the creation of the Authority as required by Sections 163.01 and 163.08, F .S. Section 26. Limits of Liability . a. All of the privileges and immunities from liability and exem ptions from law, ordinances and rules which apply to municipalities and counties of thi s state pursuant to Florida law shall equally apply to the Authority. Likew ise, all of the privileges and immunities from liability; exemptions from l aws, ordinances and rules which apply to the activity of officers, agents, or employe es of counties and municipalities of this state pursuant to Florida law shall equal ly apply to the officers, agents or employees of the Authority. b. The Originating Parties and all subsequent Parties to this Agreement shall each be individually and separately liable and responsible for the actions of their own officers, agents and employees in the performance of their re spective obligations under this Agreement pursuant to Chapters 768 and 163, F.S. and any other applicable law. The Parties may not be held jointly or se verally liable for the actions of officer or employees of the Authority or by any other action by the Authority or another member of the Authority and the Authority shall be solely liable for the actions of its officers, employees or agents to the extent of the waiver of sovereign immunity or limitation on liability provided by Chapter 768, F.S. Except as may be otherwise specified herein, the Part ies shall each individually defend any action or proceeding brought against their r espective agency under this Agreement, and they shall be individually responsib le for all of their respective costs, attorneys’ fees, expenses and liabili ties incurred as a result of any such claims, demands, suits, actions, damages and causes of action, including the investigation or the defense thereof, and from and against an y orders, judgments or decrees which may be entered as a result t hereof. The Parties shall each individually maintain throughout the term of this Agreement any and all applicable insurance coverage required by Florida law for governmental entities. Such liability is subject to the provisions of law, including the limits included in Section 768.28, F.S., which sets forth the partial waiver of sovereign immunity to which governmental entities are subject. It is expressly understood that this provision shall not be construed as a waiver of a ny right or defense that the parties have under Section 768.28, F.S. or any other statute. Section 27. Notices . Any notices to be given pursuant to this Interlocal Agreement shall be in writing and shall be deemed to have been given if se nt by hand delivery, recognized overnight courier (such as Federal Express), or certified U.S. m ail, return receipt requested, addressed to the Party for whom it is intended, at the place spe cified. The Originating Parties designate the following as the respective places for notice purposes : Lantana: Town Manager Town of Lantana 500 Greynolds Circle Lantana, Florida 33462 12 With a Copy to: Corbett and White, P.A. 1111 Hypoluxo Road, Suite 207 Lantana, FL 33462 Attn: Keith W. Davis, Esq. Mangonia Park: Town Manager Town of Mangonia Park 1755 East Tiffany Drive Mangonia Park, Florida 33407 With a Copy to: Corbett and White, P.A. 1111 Hypoluxo Road, Suite 207 Lantana, FL 33462 Attn: Keith W. Davis, Esq. Section 28. Filing . It is agreed that this Interlocal Agreement shall be fi led with the Clerk of the Circuit Court of Palm Beach County, as required by Section 163.01(11), F.S. Section 29. Joint Effort . The preparation of this Interlocal Agreement has been a joi nt effort of the Parties hereto and the resulting document shall not, as a matter of judicial construction, be construed more severely against any one party as compare d to another. Section 30. Execution in Counterparts . This Interlocal Agreement may be executed in counterparts which shall be in original form all of which, collect ively, shall comprise the entire Interlocal Agreement. Section 31. Merger, Amendment . This Agreement incorporates and includes all prior negotiations, correspondence, agreements or understandings applicable to the matters contained herein; and the Parties agree that there are no commitments, a greements or understandings concerning the subject matter of this Agreement that are not conta ined in this document. Accordingly, the Parties agree that no deviation from the terms he reof shall be predicated upon any prior representations or agreements whether oral or wri tten. It is further agreed that no change, amendment, alteration or modification in the terms and conditions contained in this Interlocal Agreement shall be effective unless contained in a written document executed with the same formality and of equal dignity herewith by all Parties to this Inte rlocal Agreement. Section 32. Assignment . The respective obligations of the Parties set forth in this Interlocal Agreement shall not be assigned, in whole or in part, without t he written consent of the other Parties hereto. Section 33. Records . The Parties shall each maintain their own respective recor ds and documents associated with this Interlocal Agreement in accordance with the requirements for records retention set forth in Florida law. 13 Section 34. Compliance with Laws . In the performance of this Agreement, the Parties hereto shall comply in all material respects with all appl icable federal and state laws and regulations and all applicable county and municipal ordinances and regulations. Section 35. Governing Law and Venue . This Interlocal Agreement shall be governed, construed and controlled according to the laws of the State of Florida. Venue for any claim, objection or dispute arising out of the terms of this Interlocal A greement shall be proper exclusively in Palm Beach County, Florida. Section 36. Severability . In the event a portion of this Interlocal Agreement is found by a court of competent jurisdiction to be invalid, the remaining p rovisions shall continue to be effective to the extent possible. Section 37. Effective Date and Joinder by Authority . This Interlocal Agreement shall become effective upon its execution by the Originating Parti es. It is agreed that, upon the formation of the Authority, the Authority shall thereafter join thi s Interlocal Agreement and that the Authority shall thereafter be deemed a Party to this Interlocal Ag reement. Section 38. No Third Party Rights . No provision in this Agreement shall provide to any person that is not a party to this Agreement any remedy , claim, or cause of action, or create any third-party beneficiary rights against any Party to this Agr eement. Section 39. Access and Audits . Palm Beach County has established the Office of Inspector General in Article VIII of the Charter of Palm B each County, as may be amended, which is authorized and empowered to review past, present and propos ed county or municipal contracts, transactions, accounts and records. The Inspector General has the power to subpoena witnesses, administer oaths and require the production of records, and audit, invest igate, monitor, and inspect the activities of Palm Beach County, its officers, ag ents, employees, and lobbyists, as well as the activities of all municipalities in the county, and their off icers, agents, employees, and lobbyists, in order to ensure compliance with contract requireme nts and detect corruption and fraud. Failure to cooperate with the Inspector General or inte rference or impeding any investigation shall be in violation of Chapter 2, Article XIII of the Palm Beach County Code of Ordinances. [Remainder of page intentionally left blank.] 14 IN WITNESS WHEREOF, the Originating Parties hereto have made and executed this Interlocal Agreement on this ____day of ____________________, 2012. ATTEST: Town of Lantana, a municipal corporation of the State of F lorida BY:____________________________ BY: ____________________________ Town Clerk Town Manager (Affix Town Seal) Approved by Town Attorney as to form and legal sufficiency _________________________ Town Attorney ATTEST: Town of Mangonia Park, a municipal corporation of the State of F lorida BY:____________________________ BY: ____________________________ Town Clerk Town Manager (Affix Town Seal) Approved by Town Attorney as to form and legal sufficiency _________________________ Town Attorney 15 ATTEST: The Florida Green Finance Authority, a separate legal entity established pursuant to Section 163.01(7), Florida Statutes BY:____________________________ BY: ____________________________ Secretary of the Authority Chair of the Authority Approved by Authority Attorney as to form and legal sufficiency _________________________ Authority Attorne y 16 Exhibit A [Third Party Administrator Agreement] 17 Exhibit B Party Membership Agreement To The Florida Green Finance Authority The Interlocal Agreement between the Florida Green Finance Authority, the Town of Lantana and the Town of Mangonia Park (the “Interlocal Agreement”) entere d into on __________, 2012 for the purpose of facilitating the financing of qualifying i mprovements for energy conservation and efficiency via the levy and collection of voluntary non-ad valorem assessments on improved property is hereby supplemented and amended on the date last signed below by this Signatory Party Membership Agreement, which is fully incorporated into the Interlocal Agreement as follows: The Florida Green Finance Authority, together with its member Parties, and the City of Delray Beach , with the intent to be bound thereto, hereby agree that the City of Delray Beach shall become a Party to the Interlocal Agreement together with all of the rights and obligations of Parties to the Interlocal Agreement. The City of Delray Beach hereby agrees to appoint a representative to serve as a mem ber of the Authority. All Parties acknowledge that the remaining five (5) Dir ectors will each be appointed by the governing body of the first Party from each requisit e water management district boundary area that joins the Authority through execution of this Agreement and that desires to serve as a Director serving an initial term of three (3) years. The City of Delray Beach designates the following as the respective place for any noti ces to be given pursuant to the Interlocal Agreement Section 27: Delray Beach: David T. Harden City of Delray Beach 100 NW 1 st Avenue Delray Beach, FL 33444 With a Copy to: Corbett and White, P.A. Authority Attorney 1111 Hypoluxo Road, Suite 207 Lantana, FL 33462 Attn: Keith W. Davis, Esq. 18 IN WITNESS WHEREOF, the Parties hereto subscribe their names to this Interlocal Agreement by their duly authorized officers on this ____day of ____________________, 2012. ATTEST: The Florida Green Finance Authority, a separate legal entity established pursuant to Section 163.01(7), Florida Statutes BY:____________________________ BY: ____________________________ Secretary of the Authority Chair of the Authority Approved by Authority Attorney as to form and legal sufficiency _________________________ Authority Attorne y ATTEST: City of Delray Beach, a municipal corporation of the State of F lorida BY:____________________________ BY: ____________________________ City Clerk Nelson S. McDuffie, Mayor (Affix Town Seal) Approved by City Attorney as to form and legal sufficiency __________________________ City Attorney 224 Datura Street, Suite 211, West Palm Beach, Florida 33401 Attn: Richard J. Reade Sustainability Officer/Public Information Officer City of Delray Beach, Florida June 13 , 2012 Dear M r. Reade : Thank you for Delray Beach’s interest in participating in the Florida Green Energy Works Program (the “Program”). The Program , which is entirely voluntary, facilitates funding for energy and wind -resistance property improvements at little to no upfront cost and at competitive interest rates. The energy savings pays f or the costs of the financing with repayment collec ted automatically through the property tax bill. A hallmark of our Program is that it is “open market.” This means that we allow funding by any lender and installation work by any licensed contractor that the property owner chooses. We view local lend ers and community banks as partners in the financings. We require their consent to the project. As a result, project financing will typically be provided by existing mortgage holders as a means of enhancing value of their collateral. PACE is a proven job creator. For e very $4 M in total spending , PACE can generate $10 M in economic output, $1 M in tax revenue (federal, state and local) and 60 jobs. The Program design was fully funded with grant dollars secured by the Greater Lake Worth (now Central Palm Beach) and Greater Boynton Beach Chamber s of Commerce. To streamline costs, participating cities formed the Florida Green Finance Authority (“Authority”), a separate legal entity that offers the Program on behalf of participating cities. The Authority was formed by interlocal agreement pursuant to Florida law . As a result, t he Program does not require any City funding, staff or other resources. All that is required by the City of Delray to access the Program is executi on of the Program I nterlocal A greement, which immediately makes PACE financing options available to commerci al property owners located in the City of Delray Beach . We appreciate your interest in the Program. I f you have any questions , please do no t hesitate to contact me at Michael@ecocitypartners.com . Very Tru ly Yours, Michael Wallander , Program Manager  1   EXHIBIT B List of Qualifying Improvements The following list represents improvements that may be Qualifying Improvements under the Florida Green Energy Works Program . Additional and/or alternative measures may be approved on a case -by - case basis and/or as the list is modified from time to time as may be approved by the Authority or a participating District . Eligible measures are listed below. Ineligible measures include c omp act fluorescent, screw -in lamps; plug load devices; m easures that are not permanently inst alled and can be easily removed; m easures that save energy solely due to operational or behavioral changes ; p ower correction, power conditioning; a ny meas ure that does not result in energy savings or renewable energy production; a ny measure that can not be explained in terms of industry -standard engineering or scientific principles ; v ending machine controllers ; and, r efriger a nt charge (AC/Split Systems/Heat Pumps). Renewable  Energy  Improvements       System  Subsystem  Measure                     Renewable  -­‐  Thermal  Energy           DHW  Service  water  Solar  thermal  water  heat                 HVAC  Heating  Solar  thermal  space  heat    (hydronic)               Process  Pool  Solar  pool  heat               Renewable  -­‐  Electrical  Energy           Photovoltaic  PV  Grid -­‐tied  PV  System   Wind  Wind  Grid -­‐tied  wind  turbine   Microturbine        (Renewable  fuel)   microturbine  using  renewable  fuel  Grid -­‐tied  microturbine   Internal  Combustion  Engine        (Renewable  fuel)   internal  combustion  engine  using   renewable  fuel   Grid -­‐tied  internal  combustion  engine   Fuel  Cell        (Renewable  fuel)   Electric -­‐only  fuel  cell  using  renewable   fuel   Grid -­‐tied  fuel  cell   Non -­‐Renewable  -­‐  Electrical   Energy           Fuel  Cell        (Non -­‐Renewable  fuel)   Electric -­‐only  fuel  cell  using  non -­‐ renewable  fuel  (e.g.,  natural  gas)   Grid -­‐tied  fuel  cell               Cogeneration           Microturbine        (Non -­‐renewable  fuel)   Microturbine  with  Cogeneration  Grid -­‐tied  microturbine  with  heat  exchanger   for  cogeneration   Internal  Combustion  Engine        (Non -­‐renewable  fuel)   Internal  Combustion  Engine  with   Cogeneration   Grid -­‐tied  internal  combustion  engine  with   heat  exchanger  for  cogeneration   Fuel  Cell        (Non -­‐renewable  fuel)   Fuel  Cell  with  Cogeneration  Grid -­‐tied  fuel  cell  with  heat  exchanger  for   cogeneration    2   Energy -­‐Efficiency  Improvements       System  Subsystem  Measure               Water  Heater  Efficient  Unit    Replacement   Water  Heater  Domestic  Hot  Water  Pipe  Insulation   Commercial  Kitchen  Pre -­‐rinse  Spray  Valve   Commercial  Laundry  Ozone  Laundry  System   Pumps  Efficient  Unit    Replacement   Pumps  Trimmed  impeller   Domestic  Hot  Water   (DHW)   Pumps  Installing  VFD  &  controls               Envelope   Doors  Reduce  Building  Infiltration      Walls  Insulation  (Conditioned  spaces  only)      Roof  Insulation  (Conditioned  spaces  only)      Roof  Cool  roof  surface       Roof  Green  roof  installation      Windows  High  Performance  Windows      Windows  Window  film  installation               Lighting  Fluorescent  Efficiency  Improvement      Compact  Fluorescent  Efficiency  Improvement      Induction  Lighting  Efficiency  Improvement      Cold  Cathode  Lamps  Efficiency  Improvement      HID  Efficiency  Improvement       Bi -­‐Level  Fixtures  Replace  existing  lighting  in  Stairwells  and  Garages  with   Bi -­‐level  Lighting  fixtures      Exit  Signs  Replace  existing  with  LED  /  LEC  exit  Sign      Exit  Signs  Replace  existing  with  self -­‐luminescent      Interior  Lighting  Replace  existing  with  Induction  or  LED      Exterior  Lighting  Replace  existing  with  Induction  or  LED      Street  Lighting  Replace  existing  with  Induction  or  LED      Daylighting  Skylights       Controls  Demand  Response  Controls      Controls  Lighting  scheduling  controls      Controls  Daylighting  controls      Controls  Occupancy  sensors      General  Delamping    3               HVAC   AC  /  Split  Systems  /  Heat   Pumps   Efficient  Unit    Replacement      AHUs  Airflow  distribution  improvements       AHUs  Economizer  (Air  or  Water -­‐side)-­‐  Repair  or  New  Unit      Boilers  Burner  upgrade      Boilers  Combustion  fan  VFD      Boilers  Economizers       Boilers  Efficient  Unit    Replacement       Boilers  Heat  recovery      Boilers  Oxygen  trim  controls       Boilers/Chillers  Pipe  Insulation      Chillers  Addition  of  Water -­‐side  economizer      Chillers  Efficient  Unit    Replacement      Chillers  Heat  recovery      Cooling  Tower  Installing  VFD  &  controls  for  fans       Cooling  Tower  Replacement  or  additional  capacity       Data  Center  Air  Flow  Management       Energy  Management  Controls  Cooling  tower  fan  sequencing       Energy  Management  Controls  Demand  Response  Controls       Energy  Management  Controls  Improved  scheduling  capability       Energy  Management  Controls  Sensors  calibration/optimal  relocation       Energy  Management  Controls  Retrocomissioning       Evaporative  Cooling  Systems  Offset  existing  mechanical  cooling       Fans  Installing  VFD  &  controls      Furnaces  Condensing  furnaces       HVAC  System  (General)  Duct  testing  and  sealing       HVAC  System  (General)  Duct  testing  and  sealing       HVAC  System  (General)  VAV  system  conversions         HVAC  System  (General)  Radiant  Heating  /  Cooling    4       HVAC  System  (General)  Geothermal  HVAC       HVAC  System  (General)  Thermal  Storage  for  Load  Shifting      Steam  Heating  Install/Replace  Steam  Traps      Labs  Reduced  ACH      Labs  VAV  fume  hoods      Motors  Efficient  Unit    Replacement      Pumps  Efficient  Unit    Replacement      Pumps  Trimmed  impeller      Pumps  Installing  VFD  &  controls      Ventilation  Demand  controlled  ventilation      Ventilation  Garage  CO  controls               Refrigeration   Refrigerated  Cases  /  Walk -­‐ins  Addition  of  insulation       Refrigerated  Cases  /  Walk -­‐ins  Anti -­‐sweat  heater  controls       Refrigerated  Cases  /  Walk -­‐ins  Auto -­‐closers  for  cooler/freezer  doors       Refrigerated  Cases  /  Walk -­‐ins  Case -­‐lighting  Controls       Refrigerated  Cases  /  Walk -­‐ins  Defrost  Controls       Refrigerated  Cases  /  Walk -­‐ins  Efficient  evaporator  fan  motors       Refrigerated  Cases  /  Walk -­‐ins  Efficient  Unit    Replacement       Refrigerated  Cases  /  Walk -­‐ins  Evaporator  fan  controllers       Refrigerated  Cases  /  Walk -­‐ins  High  Efficiency  Display  Cases       Refrigerated  Cases  /  Walk -­‐ins  Improved  Defrost  Controls         Refrigerated  Cases  /  Walk -­‐ins  Installing  doors  with  low/no  anti -­‐sweat  heat       Refrigerated  Cases  /  Walk -­‐ins  Installing  Night  covers       Refrigerated  Cases  /  Walk -­‐ins  Replacing  Door  gaskets       Refrigerated  Cases  /  Walk -­‐ins  Strip  curtains       Refrigerated  Cases  /  Walk -­‐ins  Suction  line  insulation       Thermal  Storage  Systems  Thermal  Storage  for  Load  Shifting      Compressors  Add  VFD  and  Controls    5        Compressors  Added  Heat  Recovery      Compressors  Addition  of  Mechanical  Sub -­‐cooling      Compressors  Efficient  Unit    Replacement      Compressors  Floating  Head  Pressure  Controls      Compressors  Floating  Suction  Pressure      Condensers  Efficient  Unit    Replacement       Condensers  Evaporative  Condensers      Condensers  Floating  Head  Pressure       Condensers  Replace  Air  Cooled  with  Evaporative  Condenser      Controls  Retrocommissioning               Compressed  Air  Air  Compressors  Efficient  Unit    Replacement      Compressed  Air  Storage  Additional  compressed  air  storage      Controls  Improved  compressor  sequencing      Controls  Improved  scheduling  or  controls               Process  /  Plug  Loads   Boilers  Efficient  Unit    Replacement      Boilers  Burner  upgrade      Boilers  Combustion  fan  VFD      Boilers  Economizers       Boilers  Heat  recovery      Boilers  Oxygen  trim  controls      Chillers  /  Cooling  Efficient  Unit  Replacement       Air  /  Water  Distribution   System   Efficiency  Improvement      Fans  Efficient  Unit    Replacement      Fans  Installing  VFD  &  controls       Industrial  Process  Equipment  scheduling  for  load  reduction       Industrial  Process  Process  improvement      Motors  Efficient  Unit    Replacement       Elevators  Hoisting  and  Standby  improvements      Pool  Add  pool  cover      Pool  Efficient  Heater  Replacement      Pool  Pump  Reduce/Optimize  Flow/Configuration              Pool  Pump  Replace  Motor    6        Pool  Pump  Replace  Pump      Pool  Pump  Variable  Flow      Pumps  Efficient  Unit    Replacement      Pumps  Installing  VFD  &  controls               Energy  Storage   Electric  Vehicle  Charger  Install  AC  Level  1  and/or  2  charging  station,  or  DC   Level  1  EV  charging  station           Electric  Vehicle  Charger  -­‐  Fast   Charge   Install  DC  Level  2  or  3  EV  charging  station   Wind  Resistance  Improvements       System  Subsystem  Measure                     Envelope   Doors  High  impact  doors      Walls  Installing  perimeter  opening  protections       Roof  Improving  the  strength  of  the  roof  deck  and   foundation  attachment       Roof  Wind  resistant  shingles  or  other  roofing   material       Roof  Gable -­‐end  bracing    Roof  Reinforcing  roof -­‐to -­‐wall  connections      Windows  Installing  storm  shutters          Windows  High  impact  windows         Water  Conservation  Measures       System  Subsystem  Measure               Toilets  Efficient  Unit    Replacement   Urinals  Efficient  Unit    Replacement   Commercial  Kitchen  Pre -­‐rinse  Spray  Valve   Domestic  Water  Use   Laundry  Systems   (Multi -­‐family  dwellings)   Efficient  Unit    Replacement               Commercial  Kitchens   Pre -­‐Rinse  Valves  Efficient  Unit    Replacement      Dishwashers  Efficient  Unit    Replacement        Commercial  Ice -­‐makers  Efficient  Unit    Replacement    7               Laundry  &  Laundromats     Commercial  Laundry  Efficient  Unit    Replacement      Commercial  Laundry  Retrofit  with  wastewater  recovery  system       Commercial  Laundry  Ozone  Laundry  System               HVAC  Cooling  Towers  Upgrades  to  Reduce  Bleed -­‐off  and  Drift      Condensers  Upgrades  to  Reduce  Bleed -­‐off  and  Drift      Steam  Boiloers  Upgrades  to  Reduce  Bleed -­‐off               Industrial  /  Process  Water   Steam  Sterilizers  /  Autoclaves  Efficient  Unit    Replacement      Car  Wash  Operations  Water  Recycling  System      Manufacturing  Film  /  X -­‐Ray  Processing      Manufacturing  Food  /  Beverage  Processing      Manufacturing  Metal  Finishing      Manufacturing  High  Tech  Manufacturing               Landscaping  Irrigation  system  Rain  Shutoff  device      Irrigation  System  Soil  Moisture  Sensors      Irrigation  System  Rainwater  Harvesting  system      Irrigation  System  Greywayter  system        Irrigation  System  Blackwater  treatment  system         Florida  Green  Energy  Works  –  Program  Handbook  1  of  32  v.  1.1.2012   Finance  Program  Handbook   Table  of  Contents   OVERVIEW ................................................................................................................................................4   I NTRODUCTION ............................................................................................................................................4   N ATURE  OF  THIS  P ROGRAM  H ANDBOOK ...................................................................................................4   T YPE  OF  F INANCING ....................................................................................................................................4   S OURCE  OF  C APITAL ....................................................................................................................................4   S ECURITY .....................................................................................................................................................5   P ROGRAM  P ROCESS  F LOW ..........................................................................................................................5   1.  ELIGIBLE  PROPERTI ES .....................................................................................................................5   2.  ELIGIBLE  PROPERTY  IMPROVEMENTS ......................................................................................9   C OMMON  I MPROVEMENTS ..........................................................................................................................9   C USTOM  I MPROVEMENTS ...........................................................................................................................9   I NELIGIBLE  I MPROVEMENTS .......................................................................................................................9   L OADING  O RDER  R ECOMMENDATION ........................................................................................................9   R ESPONSIBILITY  FOR  Q UA LIFYING  I MPROVEMENTS ..............................................................................10   M INIMUM  AND  M AXIMUM  P ROJECT  F UNDING .......................................................................................10   3.  ELIGIBLE  CONTRACT ORS .............................................................................................................10   Q UALIFIED  C ONTRACTORS ......................................................................................................................10   S ELECTING  AN  E NERGY ,  W ATER  OR  W IND  R E SISTANCE  E VALUATOR ..................................................10   S ELECTING  AN  I NSTALLATION  C ONTRACTOR .........................................................................................11   4.  ELIGIBLE  PROJECT  LENDERS ......................................................................................................11   5.  ENERGY,  WATER  &  W IND  RESISTANCE  EVALU ATIONS .....................................................12   E NERGY  E VALUATIONS .............................................................................................................................12   W ATER  E VALUATIONS .............................................................................................................................12   W IND  R ESISTANCE  E VALUATIONS ..........................................................................................................13   P URPOSE  AND  B ENEFITS ..........................................................................................................................13   6.  PARTICIPATION  IN  REBATE/INCENTIVE  PRO GRAMS ........................................................13   B ENEFITS ..................................................................................................................................................13   P ARTICIPATION  I S  E NCOURAGED  B UT  N OT  R EQUIRED .........................................................................13   C ONSEQUENCES  OF  N ONPARTICIPATION  IN  O PTIONAL  P ROGRAMS ......................................................14   7.  APPLICATION  AND  A PPROVAL  PROCESS ...............................................................................14   P ROGRAM  C OSTS /F EES ...........................................................................................................................14   D EBT  S ERVICE  R ESERVE  F UND ................................................................................................................14     Florida  Green  Energy  Works  –  Program  Handbook  2  of  32  v.  1.1.2012   T WO -­S TEP  A PPLICATION  P ROCESS ........................................................................................................15   S TEP  1:  S UBMIT  AN  E LIGIBILITY  A PPLICATION .....................................................................................15   S TEP  2:  S UBMIT  A  F INAL  A PPLICATION ..................................................................................................15   T ASKS  AND  D EADLINES  FOR  S UBMITTING  F INAL  A PPLICATION ...........................................................16   F INAL  A PPLICATION  A PPROVAL ..............................................................................................................17   A DDRESSING  DSRF  U NDERESTIMATES ..................................................................................................17   8.  REQUESTING  FUNDIN G  DISBURSEMENT ................................................................................18   F UNDING  D ISBURSEMENT  T YPES ............................................................................................................18   P ROGRESS  P AYMENTS ..............................................................................................................................19   P ROGRAM  P ARTICIPATION  E XPIRATION ................................................................................................20   9.  QUALITY  A SSURANCE  AND  QUALITY  CONTROL  (QA/QC).................................................20   10.  MEASUREMENT  AND  VERIFICATION  (M&V).......................................................................20   11.  DESCRIPTION  OF  B OND/LEGAL  DOCUMENTS ....................................................................21   12.  FINANCING  COST;  INTEREST  RATE ........................................................................................21   13.  IMPORTANT  LEGAL  TERMS ......................................................................................................22   R EPAYMENT  T ERMS .................................................................................................................................22   A SSESSMENTS ...........................................................................................................................................22   F ORECLOSURE  T ERMS ..............................................................................................................................23   C OMPLIANCE  WITH  E XISTING  M ORTGAGES ............................................................................................23   T RANSFER  OR  R ESALE  OF  THE  S UBJECT  P ROPERTY ..............................................................................23   R EBATES  AND  T AXES ...............................................................................................................................23   C HANGES  IN  S TATE  AND  F EDERAL  L AW ..................................................................................................23   C HANGES  IN  THE  P ROGRAM  T ERMS ;  S EVERABILITY ..............................................................................24   D ISCLOSURE  OF  P ROPERTY  O WNER  I NFORMATION ..............................................................................24   F RAUD .......................................................................................................................................................24   E XCEPTIONS  TO  THESE  T ERMS  AND  P ROVISIONS ...................................................................................25   APPENDIX  A  –  FLORIDA  GREEN  ENERGY  WORKS  FINANCING  PROCESS ...........................26   APPENDIX  B  –  GUIDANC E  FOR  SELECTING  ENER GY  EVALUATOR ......................................27   O VERVIEW ................................................................................................................................................27   C REDENTIALS /Q UALIFICATIONS .............................................................................................................27   R ECOMMENDATIONS /Q UESTIONS  FOR  P ROSPECTIVE  E NERGY  A UDITORS ..........................................27   O THER  T IPS  FOR  THE  B UILDING  A UDIT  P ROCESS .................................................................................28   APPENDIX  C  –  ENERGY  EVALUATION  TYPES .............................................................................29   O VERVIEW ................................................................................................................................................29   I NDUSTRY  S TANDARD  A UDIT  F ORMATS .................................................................................................29   T ARGETED  A UDIT ....................................................................................................................................29   ASHRAE  L EVEL  1,  2,  AND  3  A UDITS .....................................................................................................29   M INIMUM  D ATA  R EQUIREMENTS ............................................................................................................31   APPENDIX  D  –  PROGRAM  COSTS/FEES ........................................................................................32     Florida  Green  Energy  Works  –  Program  Handbook  3  of  32  v.  1.1.2012                           [THIS  PAGE  INTENTIONALLY  LEFT  BLANK]   Florida  Green  Energy  Works  –  Program  Handbook  4  of  32  v.  1.1.2012   Overview   Introductio n   The  Town  of  Lantana,  pursuant  to  a  U.S.  Department  of  Energy  funded  grant  issued   through  the  State  of  Florida,  is  working  with  willing  city  and  county  partners  to   create  the  Florida  Green  Finance  Authority  (the  “Authority”)  as  well  as  the  Florida   Green  E nergy  Works  (“FGEWorks ”)  financing  program  (the  “Program”).  The   Authority  will  administer  the  Program  in  order  to  give  commercial,  and  ultimately,   residential  property  owners  access  to  a  new  form  of  financing  for  the  installation  of   certain  energy  efficien cy,  renewable  energy,  water  conservation  and  wind   resistance  improvements  (“Qualifying  Improvements”).  The  anticipated  benefits  of   completing  Qualifying  I mprovements  include  reduc ed  operating  costs,  improv ed   occupant  health  and  comfort,  redu ced  environment al  impact,  and  support  for  the   local  economy .     T he  program  for  commercial  property  is  focus  of  this  Program  Handbook .    The   program  will  be  extended  to  residential  property  once  issues  with  the  Federal   Housing  Finance  Agency  (FHFA)  are  resolved  to  allow  hom es  participating  in  the   Program  to  qualify  for  mortgages  approved  by  Fannie  Mae  and  Freddie  Mac .   Nature  of  this  Program  Handbook   Thi s  handbook  details  the  Program  T erms  governing  all  Program  participants,   including  property  owners  and  lenders.    By  sub mitti ng  an  Initial  Application,   applicants  warrant  that  they  have  read  this  handbook  in  its  entirety,  and  that  they   understand  and  agree  to  the  terms  set  forth  herein.   Type  of  Financing   FGEWorks  is  a  financing  program  that  is  designed  to  provide  property  owners  with   options  for  retrofitting  their  properties,  which  currently  include  Property  Assesse d   Clean  Energy  (PACE)  as  well  as  PACE3P ™  financing  options .  PACE  is  an  innovative   type  of  secured  financing  program  that  provides  funding  for  energy  efficiency,   renewa ble  energy,  water  conservation  and  wind  resistance  improvements  to   privately  owned  buildings.  Under  FGEWorks ,  the  Authority  may  sell  a  PACE  bond  to   a  qualified  investor,  use  the  proceeds  to  finance  the  improvements,  and  place  an   assessment  lien  on  the  prop erty  to  secure  repayment.    T he  assessment  is  collected   on  the  property  tax  bill.    Similarly,  PACE3P ™  is  a  third -­‐party  ownership  form  of   PACE  financing  where  the  fun ds  to  finance  the  improvements  are  brought  by   Demeter  Power  Group,  Inc.,  who  has  responsibi lity  for  managing  the  improvement   project  for  the  property  owner.         Source  of  Capital   FGEWorks  is  u sing  the  “open -­‐market”  PACE  model  in  which  individual  property   owners  may  choose  any  project  lender  willing  to  fund  their  project .  Property   owners  negotiate  specific  financing  terms,  including  the  interest  rate  and  repayment     Florida  Green  Energy  Works  –  P rogram  Handbook  5  of  32  v.  1.1.2012   term,  with  their  chosen  project  lender .  The  Authorit y  uses  assessments  to  repay  the   project  lender .   Security   The  assessment  obligation  is  secured  by  a  lien  on  the  property  of  equal  status  with   the  lien  for  ad  valorem  property  taxes .  The  Authority  reserves  the  right  to  seek  to   enhance  th e  security  of  FGEWorks  financing  by  raising  and  using  funds  to  establish   a  Debt  Service  Reserve  Fund  (DSRF)  that  will  help  cover  payment  to  lenders  in  the   event  of  assessment  delinquencies  by  the  property  owner.    See  Chap.  7    “Application   and  Approval  Proc ess ”  below,  for  more  information  on  the  DSRF.   Program  Process  Flow   Appendix  A ,  attached ,  shows  a  high -­‐level  description  of  the  Program’s  process  flow   from  beginning  to  end.  It  shows  the  significant  stages  for  the  property  owner  that   applies  to  the  Program,  and  for  the  Program  in  response  to  property  owner   submissions  (the  steps  are  numbered  to  illustrate  further  the  flow  and  interaction)   1.  Eligible  Properties   In  order  to  participate  in  the  Program,  a  property  owner  must  meet  and/or   complete  the  following  r equirements  and  steps:     a. The  property  to  be  improved  with  Qualifying  Improvements  (the  “subject   property”)  must  be  located  in  within  the  geographic  boundaries  of  a  local   government  located  in  Florida  that  opts  into  the  Program  by  becoming  a   member  of  the  Au thority  (hereinafter  a n  “Energy  Improvement  District”).     b. The  subject  property  m ust  be  non -­‐residential  property  defined  as  (i)  a   property  the  primary  use  of  which  is  not  residential  or  (ii)  a  property  used   for  multi -­‐family  housing  with  five  or  more  units.     c. The  property  owner  must  provide  written  notice  of  the  proposed  senior  lien   to  any  and  all  lenders  with  existing  liens  on  the  subject  property,  and  must   obtain  the  written  consent/acknowledgment  of  existing  lenders;  the   Program  will  provide  templates  for  th is  purpose  but  it  is  the  property   owners’  responsibility  to  obtain  the  consent/acknowledgement  of  the   lenders.  The  owner  must  submit  a  copy  of  the  lender’s  written   consent/acknowledgment  with  the  Final  Application.     d. All  owners  of  fee  simple  title  to  the  su bject  property  or  their  legally   authorized  representatives  must  sign  the  Program  Documents.  Therefore,   before  submitting  an  initial  application,  please  ensure  that  all  owners  (or   their  representatives)  of  the  fee  simple  title  to  the  subject  property  will  a gree   to  participate  in  the  Program  on  the  terms  set  forth  in  these  Program  Terms.         Florida  Green  Energy  Works  –  P rogram  Handbook  6  of  32  v.  1.1.2012   e. The  property  owner  must  have  a  professional  energy ,  water  and/or  wind   resistance  evaluation  conducted  on  the  property  that  correspond s  to  the   types  of  Qualifying  Improvemen ts  the  owner  is  seeking  to  finance,  and  those   Qualifying  Improvements  must  appear  as  identified  opportunities  or   recommendations  within  the  resulting  evaluation  report.  The  Program   reserves  the  right  on  a  case -­‐by -­‐case  basis  to  review  and  approve  Qualifying   Improvements  that  do  not  appear  as  an  identified  opportunity  or   recommendation  within  the  evaluation  report.  For  the  initial  phase  of  the   Program,  the  following  evaluation  and  project  requirements  will  apply  as   outlined  below:       i. If  the  property  owner  wish es  to  finance  energy  efficiency   improvements,  water  conservation  improvements  and/or  a   renewable  energy  project  through  the  Program,  the  owner  must   obtain  an  evaluation  from  a  firm  with  the  appropriate  skills  and   experience  for  non -­‐residential  buildings,  t o  complete  the  appropriate   type  of  evaluation .  See  the  Program  Handbook  for  requir ements  for   participating  evaluat ors  and  for  details  abo ut  the  type  of  evaluation   required.       ii. If  a  renewable  energy  system  is  financed,  the  property  owner  should   also  demonstr ate  that  lower -­‐cost  and  higher  value  energy  efficiency   improvements  were  evaluated  that  could  result  in  a  10%   improvement  in  building  performance,  or  demonstrate  that  the   building  already  meets  one  of  a  predefined  list  of  efficiency   performance  requirement s  as  specified  in  the  Program  Handbook.     iii. If  the  property  owner  wishes  to  finance  wind  resistance  improvement   projects  only,  the  owner  must  obtain  a  wind  resistance  improvement   evaluation  from  a  firm  with  the  appropriate  skills  and  experience  for   non -­‐reside ntial  buildings,  to  complete  the  appropriate  type  of  wind   resistance  evaluation .  The  property  owner  will  also  receive   information  regarding  energy  efficiency  and  renewable  energy  at  that   time  but  will  have  no  obligation  to  install  such  improvements.     f. The  p roperty  owner  will  be  encouraged  or  required  (as  described  below)  to   participate  in  appropriate  state  and  local  incentive  programs  to  the  extent   the  subject  property  is  eligible  for  such  programs  at  the  time  of  application.   For  example,  property  owners  pla nning  to  finance  the  installation  of  a  solar   PV  system  will  be  encouraged  to  seek  to  participate  in  the  Florida  Power  &   Light  photovoltaic  (“PV ”)  re bate  program  (if  available)  with  respect  to  the   subject  property.  Property  owners  will  also  be  encouraged  to  participate  in   similar  incentive  programs  for  solar  thermal  (hot  water)  systems  and  energy   efficiency  improvements .  Property  owners  will  be  encouraged  to  participate   in  other  utility  rebate  and  incentive  programs  (if  available)  that  cover  the     Florida  Green  Energy  Works  –  P rogram  Handbook  7  of  32  v.  1.1.2012   Qualifying  I mprovements ,  but  may  elect  not  to  do  so .  See  Chapter  6  of  this   Program  Handbook  for  more  detail.     g. The  finance d  improvements  must  be  Qualifying  Improvements  and  must  be   installed  by  a  contract  that  meets  the  Program’s  qualification  criteria   (“Qualified  Cont ractor s”).    See  Chap.  2  “Eligible  Property  Improvements”   below.     h. The  property  owners  must  agree  to  provide  the  Authority  with  access  to  the   property’s  utility  usage  information  to  enable  the  Program  to  monitor  energy   and/or  water  savings.  The  owner  must  fu rther  agree  to  participate  in   surveys  and  Program  evaluations  directed  by  the  Authority .         i. The  property  owner  must  use  the  no -­‐cost  ENERGY  STAR  online  energy -­‐use   benchmarking  service  called  Portfolio  Manager.  The  Authority  may  further   recommend  or  require  participation  in  other  low -­‐  or  no -­‐cost  energy  usage   tracking  systems  so  owners  have  access  to  the  raw  data  necessary  to   determine  if  the  installed  improvements  are  delivering  the  expected  energy   and  cost  savings.  (Determining  whether  or  not  installed  impro vements  are   meeting  projections  is  encouraged,  but  may  require  additional  analysis  by   professionals  and  any  such  additional  services  would  be  the  responsibility  of   the  owner).    See  Chapter  10  of  this  Program  Handbook  for  more  detail.     j. The  property  owner  mu st  certify  that  it  (and  its  corporate  parent  if  the   property  owner  is  a  single -­‐purpose  entity)  is  solvent  and  that  no  proceedings   are  pending  or  threatened  in  which  the  property  owner  (or  the  corporate   parent,  as  applicable)  may  be  adjudicated  as  bankrupt  or  become  the  debtor   in  a  bankruptcy  proceeding,  or  discharged  from  all  of  the  property  owner’s   (or  corporate  parent’s,  as  applicable)  debts  or  obligations,  or  granted  an   extension  of  time  to  pay  the  property  owner’s  (and  the  corporate  parent’s,  as   applica ble)  debts  or  a  reorganization  or  readjustment  of  the  property   owner’s  (and  the  corporate  parent’s,  as  applicable)  debts.    The  property   owner  must  also  certify  that  the  property  owner  (or  any  corporate  parent  if   the  property  owner  is  a  single -­‐purpose  entit y)  has  not  filed  for  or  been   subject  to  bankruptcy  protection  in  the  past  three  years.     k. The  property  owner  must  be  current  in  the  payment  of  all  obligations   secured  by  the  subject  property,  including  property  taxes,  assessments  and   tax  liens,  within  the  pa st  3  years  (or  since  taking  title  to  the  subject  property   if  it  has  been  less  than  3  years).  The  Authority  may  review  public  records,   including  the  real  property  records,  to  verify  compliance  with  this   requirement.  Certain  allowances  may  be  made  for  proper ty  tax  payment   delays  that  do  not  reflect  financial  distress.  Properties  that  are  currently   appealing  a  property  tax  assessment  will  be  reviewed  and  eligibility  will  be   determined  on  a  case -­‐by -­‐case  basis.           Florida  Green  Energy  Works  –  P rogram  Handbook  8  of  32  v.  1.1.2012   l. There  must  be  no  notices  of  default  or  foreclosu re,  whether  in  effect  or   released,  due  to  non -­‐payment  of  property  taxes  or  loan  payments  filed   against  the  subject  property  within  the  last  5  years  (or  since  ownership,  if   less  than  5  years).  Exceptions  may  be  granted  on  a  case -­‐by -­‐case  basis.       m. The  propert y  owner  must  not  have  any  involuntary  liens,  defaults  or   judgments  applicable  to  the  subject  property.  The  Authority  may  review   public  records,  including  the  real  property  records  and  court  documents,  to   verify  compliance  with  this  requirement.    A  property  owner  with  an   involuntary  lien(s)  may  be  allowed  to  participate  in  the  Program  if  it  can   demonstrate  an  acceptable  reason  for  the  lien,  default  or  judgment  and  a   path  for  resolution  along  with  supporting  documentation.  A  property  with  an   involuntary  tenan t’s  lien  will  be  reviewed  and  eligibility  will  be  determined   on  a  case -­‐by -­‐case  basis.     n. The  value  of  the  property  (based  on  current  assessed  value,  recent  (within   90  days  of  the  Program  application)  or  appraised  value  determined  by  a n   Authori ty -­‐approved  app raiser )  plus  the  value  of  the  Qualifying   Improvements  financed  by  the  Program  must  be  equal  to  or  greater  than  the   sum  of  (i)  the  total  private  property  debt  including  mortgages  and  maximum   draw  amount  of  any  equity  lines  of  credit  secured  by  the  property,  (ii)  the   principal  amount  of  any  Program  indebtedness  attributable  to  the  property,   and  (iii)  the  aggregate  principal  amount  of  any  fixed  assessment  liens  or   other  assessment  debt  on  the  property  (not  including  Program  assessments).     o. The  property  owner  mu st  certify  that  the  property  owner  is  not  party  to  any   litigation  or  administrative  proceeding  of  any  nature  in  which  the  property   owner  has  been  served,  or  is  pending  or  threatened  which,  if  successful,   would  materially  adversely  affect  the  property  owner ’s  ability  to  operate  its   business  or  pay  the  assessments  when  due,  or  which  challenges  or  questions   the  validity  or  enforceability  of  documents  executed  by  property  owner  in   connection  with  the  Program .     p. The  Program  may  involve  issuance  of  bonds  by  the  Au thority  on  behalf  of  the   Energy  Improvement  District (s).  Therefore,  it  is  important  that  property   owners  pay  their  assessments  and  other  property -­‐related  obligations  in  full   on  a  timely  basis.  Consequently,  the  Authority  reserves  the  right  to  request   addit ional  information  in  its  sole  discretion  and  to  deny  applications  based   on  any  information  that  reflects  on  the  likelihood  that  a  property  owner  may   not  pay  assessments .           Florida  Green  Energy  Works  –  P rogram  Handbook  9  of  32  v.  1.1.2012   2.  Eligible  Property  Improvements   In  general,  in  order  for  property  improvements  to  be  eligible  for  financing  through   the  Program,  they  must  have  a  useful  life  of  five  year s  or  longer  or  be  attached  to   real  property  or  building  and  must  have  the  capacity  to  reduce  energy  or  water   usage,  generate  renewable  energy  or  further  wind  resistanc e  capabilities  for  the   property.     Common  Improvements   The  Program  has  an  extensive  list  of  common  energy  efficiency  (EE ),  renewable   energy  (RE ),  water  conservation  (WC )  and  wind  resistance  (W R )  property   improvements  t hat  are  eligible  for  financing,  which  c an  be  found  in  the  separate   Qualifying  Improvements  List  document  organized  by  these  categories .  The   improvements  are  further  organized  into  system  and  subsystem  groupings  for   easier  navigation  within  the  list .  The  list  also  contains  each  type  of  improveme nt’s   estimated  effective  useful  life,  performance  guidelines,  and  applicable  incentive   programs.   Custom  Improvements   The  Program  will  also  consider ,  on  a  case -­‐by -­‐case  basis ,  other  improvements  (a.k.a.   custom  improvements )  that  do  not  appear  in  the  Qualifyi ng  Improvements  List .  Such   custom  improvements  will  require  additional  technical  review  by  the  Program  if   they  are  not  covered  by  an  incentive  program  that  approves  them ,  likely  at   additional  cost  for  the  applicant.    See  Chap  6  “Participation  in  Rebate/Inc entive   Programs”,  below,  more  information  about  incentive  programs.   Ineligible  Improvements   Improvements  that  are  not  attached  to  the  real  property  or  building  and  can  be   easily  removed  are  not  eligible  for  financing  through  the  program  (e.g.,  screw -­‐in   flu orescent  light  bulbs).  Any  improvement  that  can not  be  explained  in  terms  of   industry -­‐standard  engineering  or  scientific  principles  are  also  not  eligible .  S ee  the   Ineligible  Improvements  page  of  the  Qualifying  Improvements  List  for  the  short  list   of  what  qu alifies  as  being  ineligible.   Loading  Order  Re commendation   P roperty  owner s  are  encouraged ,  but  not  required,  to  apply  a  loading  order  when   seeking  to  install  eligible  on -­‐site  renewable  energy  systems ,  such  as  solar   photovoltaic  (PV)  systems .       Essentially,  a  loading  order  is  intended  to  assure  that,  before  installing  a  renewable   energy  system,  the  property  should  first  evaluate  options  to  reduce  its  total  energy   demand  –  for  example ,  by  10%  –  by  implementing  energy  efficiency  improvements   identified  in  the  e nergy  evaluation .    E nergy  efficiency  improvements  are  typically   less  expensive  on  a  per  kWh  basis  (i.e.,  cost  per  kWh  saved  through  efficiency  is  less   than  the  cost  per  kWh  generated  through  renewable  energy),  and  decreasing  energy   demand  usually  makes  it  possible  to  decrease  the  size  (and  cost)  of  the  desired     Florida  Green  Energy  Works  –  P rogram  Handbook  10  of  32  v.  1.1.2012   renewable  energy  system.    Consult  with  the  Program  Administrator  for  approaches   to  the  loading  order .   Responsibility  for  Qualifying  Improvements   The  Program ’s  PACE  financing  option  is  a  financing  prog ram  only.  By  establishing   the  Qualifying  Improvements  List ,  the  Authorit y  is  not  recommending  nor   warranting  any  particular  improvements.  Neither  the  Authorit y  nor  the   Administrator  is  responsible  for  the  improvements  or  their  performance.     Property  owners  are  solely  responsible  for  the  improvements  installed  on  their   property.  Should  there  be  any  unsatisfactory  performance  or  other  system -­‐related   issues  that  arise  during  or  after  installation,  the  property  owner  must  address  those   directly  with  the  respons ible  contractor  according  to  the  terms  of  the  contract   between  the  two  parties.     The  Program’s  PACE3P ™  option  is  offered  by  Demeter  Power  Group,  Inc.,  and  any   improvements  installed  utilizing  PACE3P™  shall  be  governed  solely  by  a  separate   agreement  executed  between  the  property  owner  and  Demeter  Power  Group,  Inc.     Neither  the  Authority  nor  the  Administrat or  is  responsible  for  the  improvements  or   their  performance.    Should  there  be  any  unsatisfactory  performance  or  other   system -­‐related  issues  that  arise  during  or  after  a  PACE3P™  financed  installation,  the   property  owner  must  address  those  directly  with  Deme ter  Power  Group,  Inc.   according  to  the  terms  of  the  contract  between  the  two  parties.     Minimum  and  Maximum  Project  Funding   The  Authorit y  requires  a  minimum  funding  request  of  $1 0,000.    The  Authority  will   only  authorize  funding  requests  in  an  amount  equal  t o  the  final  cost  of  installing  the   Qualifying  Improvements  (including  the  energy  evaluation  fee)  less  State,  Local  and   Utility  rebates  plus  the  additional  items  identified  in  Chap  12  “Financing  Cost;   Interest  Rate”,  below.    The  funding  limits  are  per  prope rty  per  financing  request.   3.  Eligible  Contractors   Qualified  Contractors   There  are  two  primary  types  of  contractors  that  may  participate  in  the  Program :   evaluat ors  and  installation  contractors .   Selecting  an  Energy ,  Water  or  Wind  Resistance  Evaluator   The  co mmercial  building  energy  audit  market  is  fragmented,  with  no  universally   accepted  standards  for  auditors  (referred  to  in  the  Program  as  “evaluators”).     Although  the  Program  does  not  endorse  specific  contractors  or  accreditation   programs,  it  has  compiled  so me  recommendations  for  selecting  a  quali fied  energy   auditor  and  getting  a  suitable  energy  audit  conducted  on  the  subject  property.  See   Appendix  B  –  Guidance  for  Selecting  Energy  Evaluator  and  Appendix  C  –  Energy   Evaluator  Types  for  more  details .     Florida  Green  Energy  Works  –  P rogram  Handbook  11  of  32  v.  1.1.2012     Selecting  an  Installation  Contractor   The  Qualifying  Improvements  must  be  installed  by  contractors  who  meet  the   eligibility  criteria  set  forth  for  the  specific  category  of  work  being  financed.  If  you   choose  to  work  with  a  contractor  that  does  not  meet  eligibility  cr iteria  below,  you   are  not  eligible  for  Program  financing:         • Energy  efficiency  and  water  conservation  improvements  must  be   installed  by  licensed  contractors.       • Solar  PV  and  water  heating  projects  must  be  ins talled  by  licensed   contractor s .         • W ind  resistanc e  improvements  must  be  installed  by  licensed   contractor s .       The  Authority  may  provide  lists  of  contractors  who  have  satisfactorily  participated   in  the  Program  or  received  training  regarding  Program  requirements,  but  the   Authority  does  not  warrant  the  work  of  any  such  contractor.    The  Authorit y   encourages  you  to  do  your  research  and  receive  bids  from  multiple  contractors   before  signing  a  contract.  Neither  the  Authority  nor  the  administrator  is  responsible   for  determining  the  appropriate  equipment,  price  or  c ontractor  for  your  property.   By  establishing  these  contractor  eligibility  criteria,  the  Authority  is  not   recommending  a  particular  contractor  or  warranting  the  reliability  of  any  such   installer.  The  Program  is  a  financing  program  only.  Neither  the  Authori t y  nor  the   administrator  will  participate  in  the  resolution  of  any  dispute  between  you  and  your   installer  or  equipment  manufacturer.   4.  Eligible  Project  Lender s     Lenders  must  be  qualified  to  purchase  a  municipal  bond  as  detailed  in  the  Bond   Purchase  Contrac t,  a  sample  of  which  can  be  provided  upon  request.    Generally,   b asic  qualifi cation  criteria  includes  that  the  lender  is  one  of  the  following:   a. A n  “accredited  investor”  as  defined  by  Rule  501(a)  promulgated  under   the  Securities  Act  of  1933;  or   b. A  “qualified  i nstitutional  buyer”  as  defined  in  Rule  144A  under  the   Securities  Act  of  1933;  or   c. A  bank,  savings  institution  or  insurance  company;  or   d. A  certain  trust,  custodial  or  similar  arrangement s  conforming  with   Section  7(iv)  of  the  Sample  Bond  Purchase  Contract.     Florida  Green  Energy  Works  –  P rogram  Handbook  12  of  32  v.  1.1.2012   5.  Energy ,  Water  &  Wind  Resistance  Evaluation s   Energy  Evaluation s   The  Program  requires  properties  seeking  to  finance  energy  efficiency  or  renewable   energy  improvements  through  the  Program  to  receive  an  energy  evaluation   conducted  by  a  profe ssional  energy  eval uator  of  the  owner’s  choice  and  at  the   owner’s  cost.    T hat  auditor  must  meet  Program  eligibility  requirements  (see  Chap.  3   ”Eligible  Contractors”,  above,  for  or  more  detail ).  Note  that  the  cost  of  the  energy   evaluation  can  be  included  in  the  financing.     Th e  improvements  for  which  the  property  owner  is  seeking  financing  must  appear   as  identified  opportunities  or  recommendations  within  the  resulting  evaluation   report.  The  Program  reserves  the  right  on  a  case -­‐by -­‐case  basis  to  review  and   approve  improvements  th at  do  not  appear  as  an  identified  opportunity  or   recommendation  within  the  evaluation  report.     The  type  of  energy  evaluation  that  the  Program  requires  the  property  owner  to   conduct  on  its  property  depends  on  the  number  of  improvements  and  total  project   cos t.  The  Program  has  organized  these  into  three  evaluation  tiers  for  easier   reference.  See  Table  1  below  for  the  resulting  evaluation  tiers  and  thresholds .     Table  1  –  Program  Energy  Evaluation  Tiers   Energy  Evaluation   Tier   Evaluation  Type  #   Improvements   Proje ct  Cost   Tier  1  Targeted  Audit  1  Any  amount   Tier  2  ASHRAE  Level  1  2  or  more  Less  than  $100k   Tier  3  ASHRAE  Level  2  2  or  more  Equal  to  or  more  than  $100k     The  Targeted  evaluation  and  ASHRAE  evaluation  types  referenced  in  the  above  table   are  fully  describe d  with in  Appendix  B -­‐  Energy  Evaluation  Types.   Water  Evaluations   The  Program  requires  properties  seeking  to  finance  water  conservation   improvements  through  the  Program  to  receive  a  water  evaluation  conducted  by  a   professional  water  evaluator  of  the  owner’s  choic e  and  at  the  owner’s  cost.    That   evaluator  must  meet  Program  eligibility  requirements  (see  Chap.  3  ”Eligible   Contractors”,  above,  for  or  more  detail).    Note  that  the  cost  of  the  water  evaluation   can  likewise  be  included  in  the  financing.     The  improvements  for  which  the  property  owner  is  seeking  financing  must  appear   as  identified  opportunities  or  recommendations  within  the  resulting  evaluation   report.  The  Program  reserves  the  right  on  a  case -­‐by -­‐case  basis  to  review  and   approve  improvements  that  do  not  appea r  as  an  identified  opportunity  or   recommendation  within  the  evaluation  report.       Florida  Green  Energy  Works  –  P rogram  Handbook  13  of  32  v.  1.1.2012   Wind  Resistance  Evaluation s   Regardless  of  the  types  of  improvements  installed,  the  Program  requires  all   participants  to  undergo  a  wind  resistance  improvements  evaluation  throug h  the   program .     Purpose  and  Benefits   Property  owners  can  use  the  resulting  evaluation  report (s)  to  identify  and  prioritize   building -­‐specific  energy  and  wind  resistance  improvement  opportunities  and  to   predict  associated  cost/energy /water/insurance  savings.  The  Program  also  uses  the   evaluation  report (s)  as  a  third -­‐party  check  that  the  selected  improvements  for   implementation  are  appropriate  for  the  property  and  its  unique  context ,  thus   reducing  Program  and  participant  costs.       Visit  www.citizensfla .com  f or  more  detail  about  insurance  benefits  of  wind   resistance  improvements .   6 .  Participation  in  Rebate/Incentive  Programs   Depending  on  the  types  of  improvements  that  the  property  owner  is  including  in   their  financing  through  the  Program ,  the  Program  may  participation  in  applicable   rebate  and/or  incentive  programs  (offered  through  the  State ,  local  utilities,  federal ,   or  associated  third -­‐party  programs).     Benefits   Rebate  and  incentive  programs  reward  participants  with  cash  payme nts  or  tax   credits  for  implementing  improvements  that ,  for  example,  r educe  energy  (or  water)   usage,  thus  reducing  a  property  owner’s  project  cost .  “Nett ing  out”  rebates  and   incentives  reduces  the  total  financing  amount  that  a  property  owner  will  request   th rough  the  Program .  Leveraging  such  existing  programs  also  helps  reduce  overall   program  costs  by  providing  credible  savings  projections,  quality  control  and   assurance ,  and  project  inspection  services  at  no  additional  cost  that  maximize   project  benefits.   P ar ticipation  I s  Encouraged  But  Not  Required   Property  owners  seeking  financing  through  the  Program  are  encouraged,  but  not   required ,  to  participate  in  certain  rebate  or  incentive  programs  that  are  or  may  be   available .       Given  the  benefits  associated  with  such  programs  (see  the  section  entitle   “Benefits ”),  the  Program  anticipates  that  most  property  owners  will  elect  to   participate  in  all  applicable  rebate  and  incentive  programs  that  cover  improvements   in  their  projects.  The  Program  str ongly  encourages  such  participation,  but  does  not   require  it  in  order  to  give  property  owners  maximum  flexibility.       Reasons  some  property  owners  may  choose  not  to  participate  in  applicable  rebate   or  incentive  programs  may  include:     Florida  Green  Energy  Works  –  P rogram  Handbook  14  of  32  v.  1.1.2012   • The  rebate/incentive  amo unt  is  small  compared  to  the  time  and  effort   involved  in  applying  for  such.   • The  rebate/incentive  program  possibly  introduces  delays  (e.g.,  for  project   review,  approval,  inspections,  etc.)  that  the  project  cannot  accommodate.   Consequences  of  Nonparticipatio n  in  Optional  Programs   Because  rebate  and  incentive  programs  can  act  as  a  third -­‐party  check  for  the   Program  on  the  validity  of  the  property  owner’s  improvements  and  their  likely   energy  savings,  participation  in  such  programs  reduces  the  Program’s  costs  for   project  review,  verification  and  quality  assurance/control  (QA/QC)  activities.   Therefore,  property  owners  who  elect  not  to  participate  in  such  rebate  or   incentive  programs  may  incur  additional  fees  to  cover  the  Program’s  costs  in   conducting  activities  nor mally  performed  by  such  programs.    T he  Authority   reserves  the  right  to  impose  t hese  fees ,  which  may  vary  depending  on  the  type  and   complexity  of  improvements  included  in  the  project.    Se e  Appendix  D  –  Program   Costs/Fees  f or  a  summ ary  of  possible  additional  fees.   7.  Application  and  Approval  Process   Program  Costs/Fees   There  are  a  number  of  direct  and  indirect  costs  and  fees  associated  with  the   Program.  Some  of  these  are  mandatory  fees,  whereas  a  few  are  conditional   depending  on  what  type  of  financing  is  being  utilized  (PACE  or  PACE3P ™),  what   i mprovements  are  being  undertaken,  what  rebate  or  incentive  programs  are  being   utilized,  and  what  method  of  property  valuation  is  chosen.  Most  of  these  can  be   included  in  the  financing.    See  Appendix  D  –  Program  Costs/Fees  for  a  breakdown  of   Program  costs  and  fees.   Debt  Service  Reserve  Fund   The  Author ity  reserves  the  right  to  raise  and/or  charge  fees  for  use  in  establish ing   and  fund ing  a  Debt  Service  Reserve  Fund  (DSRF )  for  each  financing  project  in  order   to  provide  greate r  security  (lower  risk)  for  project  lender s.  For  some  lenders,  t his   reduced  risk  may  support  the  ability  to  offer  better  financing  rates  and  terms  to   property  owners  participating  in  the  Program.    Other  lenders  may  not  find  the  DSRF   useful  in  impacting  rat es.     If  the  Authority  elects  to  offer  a  DSRF  option  and  there  are  sufficient  DSRF  funds,   each  project  approved  by  the  Program  has  the  option  to  a  standard  allocation  for  a   DSRF  equal  to  10  percent  of  the  total  requested  financing  amount,  with  a  maximum   DSR F  allocation  of  $100,000  for  any  single  project  (which,  at  10  percent,  would   support  up  to  a  $1  million  project  financing).     The  Program  will  consider  requests  that  exceed  the  $100,000  maximum  DSRF   allocation  on  a  case -­‐by -­‐case  basis,  as  well  as  allocations  greater  than  the  standard     Florida  Green  Energy  Works  –  P rogram  Handbook  15  of  32  v.  1.1.2012   10  percent.  Project  lenders  may  also  decline  to  receive  an  allocation  from  the  DSRF,   if  they  so  choose.     Two -­‐Step  Application  Process   T he  Program’s  application  process  is  broken  into  two  steps:  1)  Eligibility   Application ,  and  2)  Final  Application,  as  detailed  below.      Applicants  must  complete   both  steps  in  order  to  be  fully  approved.   Step  1:  Submit  an  Eligibility  Application   This  step  is  a  simple  process  for  property  owners  to  quickly  indicate  their  interest  in   participation  and  t o  submit  preliminary  details  of  their  proposed  project.  This  gives   the  Program  the  ability  to  promptly  ascertain  project  eligibility  as  well  as  give   owners  the  preliminary  indication  that  their  property  meet s  program  requirements.   The  Eligibility  Applicati on  may  include  a  request  for  an  allocation  from  the  Debt   Service  Reserve  Fund,  if  desired.  The  Program  has  developed  an  Eligibility   Application  form  to  be  used  in  completing  this  step .     Items  to  be  submitted  with  Initial  Application:   • Eligibility  Applicatio n  Form :  filled  out  completely   • Organizational  Documents :  necessary  if  property  owners  is  an  entity   • Title  Search  Payment :  a  check  for  the  title  search  payment  made  out  to  the   “Florida  Green  Finance  Authority”  so  the  Authority  can  perform  a  title  search   to  ve rify  the  property  meets  eligibility  requirements.  (Note :  the  title  search   fee  is  listed  in  the  current  Program  Fee  Schedule  on  file  with  the  Authority.   T he  property  title  search  may  cost  more  for  more  complicated  ownership   structures  or  histories,  in  which  case  the  Program  will  contact  the  property   owner  to  provide  the  associated  cost  before  conducting  the  search .)     The  Program  will  review  the  completed  Initial  Application  form  and  related  items   within  fifteen  (15)  business  days  and  determine  if  all  eligibi lity  requirements  are   met  (incomplete  applications  will  result  in  a  longer  review  period).  Upon  approval   of  the  application,  t he  Owner  will  be  conditionally  eligible  for  participation  in  the   Program.    Eligibility  will  remain  valid  as  long  as  the  applicant  makes  progress   toward  completing  the  second  step  of  the  application  process,  according  to  the   Program  deadlines  for  submitting  the  associated  Final  Application.  Failure  to  meet   Program  deadlines  (or  to  obtain  extensions  to  deadlines)  for  preparation  of  the   Final  Application  may  result  in  a  cancellation  of  eligibility .  Approval  of  the  Final   Application  will  establish  ultimate  eligibility  for  funding  disbursements .     Step  2:  Submit  a  Final  Application   This  step  is  a  more  involved  process  that  requires  the  prop erty  owner  to  complete   all  related  planning  and  application  tasks,  including :  conducting  an  energy   evaluation  (if  applicable),  obtaining  existing  mortgage  holder  acknowledgment  /   authorization ,  and  finding  a  project  lender .  Upon  review  and  approval  of  the   complete  Final  Application,  the  Program  will  issue  a  reservation  for  financing  (a     Florida  Green  Energy  Works  –  P rogram  Handbook  16  of  32  v.  1.1.2012   “Reservation ”),  including  any  necessary  adjustments  to  the  reserved  allocation  from   the  DSRF  (if  applicable),  based  on  any  refinements  that  have  occurred  (since   conditional  e ligibility  for  participation )  to  project  scope  and  desired  amount  to  be   financed.  The  Program  has  developed  a  Final  Application  form  and  other  related   documents  to  be  used  in  completing  this  step.     Items  to  be  submitted  with  Final  Application:   • Final  Applic ation  Form :  completed  and  signed  by  all  property  owners  or   their  legally  authorized  representatives   • Program  Terms :  signed  by  all  property  owners  or  their  legally  authorized   representatives   • Contractor  Bids:  copies  of  contractor  bids  for  the  work  they  will  b e   performing  on  the  project,  along  with  a  completed  Contractor  Coversheet     attached  to  each  bid   • Property  Value  Statement  Form:  completed  and  signed  by  all  property   owners  or  their  legally  authorized  representatives   • Lender  Authorization  Form:  a  completed  an d  signed  Lender  Authorization   form  from  any  and  all  existing  mortgage  or  lien  holders  on  the  property     • Energy  /  Water  /  Wind  Resistance  Evaluation  Reports:  copies  of  the   appropriate  energy ,  water  and/or  wind  resistance  evaluation  reports   conducted  on  the  p roperty  that  contain  recommendations  for  the  property   improvements  for  which  the  property  owner  is  seeking  financing   • Rebate  /  Incentive  Documents:  copies  of  applications  and/or  pre -­‐approval     letters  from  rebate/incentive  pr ograms  from  which  the  project  wil l  receive   related  funding   • Application  Fee .  (Note:  the  application  fee  is  currently  waived )     Tasks  and  Deadlines  for  Submitting  Final  Application   Related  to  the  items  to  be  submitted  with  the  Final  Application,  t here  are  three   major  tasks  that  must  be  accom plished  between  determination  of  conditional   eligibility  and  submission  of  the  Final  Application .  Completing  these  tasks  by  certain   deadlines  (or  receiving  deadline  extensions  from  the  Program)  is  necessary  in  order   to  maintain  eligibility  and  also  to  prep are  for  submitting  the  Final  Application .    The   property  owner  must  make  progress  toward  completing  the se  tasks  within  a  certain   timeframe  relative  to  when  conditional  eligibility  was  approved .  Those  tasks,  and   their  associated  deadlines,  are  listed  in  Tabl e  4 below.         Florida  Green  Energy  Works  –  P rogram  Handbook  17  of  32  v.  1.1.2012   Table  4  –  Tasks  &  Deadlines  for  Maintaining  Conditional  Reservation   Task  Description  Deadline *   1.  Evaluation  &  Final   Project  Scope   If  not  already  conducted,  h ave  a n   appropriate  qualifying  evaluation   conducted  on  the  property  by  a   professional,  and  determine  final  project   scope  and  financing  amount.   Within  90  calendar  days  of   conditional  eligibility   2.  Lien  Holder   Approval   Obtain  written  acknowledgment  /   consent  from  all  existing  mortgage  or   lien  holders  on  the  property  for   participation  in  the  Program.   Within  90  calendar  days  of   conditional  eligibility   3.  Project  Lender  Identify  a  project  lender  that  will   provide  financing  for  the  project.     Within  90  calendar  days  of   conditional  eligibility         Submit  Final   Application     Submit  Final  A pplicati on  with  all  tasks   completed  and  necessary  approvals.   Within  120  calendar  days   of  conditional  eligibility   *Exceptions  to  the  above  deadlines  may  be  granted  on  a  case -­by -­case  basis  if  the  Program   determines  that  the  applicant  is  making  good  progress  toward  completing  these  tasks .     Final  Application  Approval   The  Program  will  review  the  completed  Final  Application  form  and  related  items   within  ten  (10)  business  days  and  determine  if  all  eligibility  requirements  are  met   (incomplete  applications  will  result  in  a  longer  review  period).  Upon  approval  of  the   application,  t he  Owner  will  be  issued  a  Reservation  for  participation  in  the  Program.     Approval  or  denial  will  be  based  on  the  eligibility  requirements  listed  within  this   handbook.    Su b mission  of  an  application  does  not  guarantee  that  you  will  be   approved  for  Program  participation.    If  you  proceed  with  installation  before   notification  of  a  Program  approval,  you  risk  incurring  the  cost  of  installation   without  the  benefit  of  Program  financing.     In  addition,  a  Progr am  approval  does  not  guarantee  that  you  will  receive  funds.     Before  you  receive  funds  through  the  Program,  you  must  satisfy  the  requirements   listed  in  Chap.  8  “Requesting  Funding  Disbursement”  below.   A ddressing  DSRF  Underestimates   If  the  DSRF  amount  that  t he  applicant  originally  request ed  is  underestimated  (i.e.   increases  between  Initial  Application  or  Final  Application  step s),  the  Program  may   or  may  not  be  able  to  allocate  additional  funds  from  the  DSRF  to  cover  the   difference.  There  are  several  options  to  rectify  this,  as  detailed  below:   1. The  applicant  can  contribute  funds  to  the  DSRF  to  cover  the  gap  (and  such   funds  can  be  added  to  the  total  amount  financed;  if  there  are  never  any   payment  defaults,  applicant  would  get  these  funds  back  when  financing  was   pa id  off).   2. The  applicant  can  adjust  the  agreement  with  the  project  lender  for  the  lender   to  accept  less  DSRF  coverage  (which  may  result  in  a  change  of  related   interest  rate  or  terms).     Florida  Green  Energy  Works  –  P rogram  Handbook  18  of  32  v.  1.1.2012   3. The  applicant  can  reduce  the  scope  of  the  project  and  the  associated  amoun t   of  needed  financing  such  that  the  original  DSRF  gives  sufficient  coverage.   4. The  applicant  can  contribute  capital  (e.g.  internal  funds)  to  reduce  the   project  costs  such  that  the  remaining  amount  being  financed  is  sufficiently   covered  by  the  original  DSRF  e stimate.   8 .  Requesting  Funding  Disbursement   Funding  Disbursement  Types   After  a  Qualified  Contractor  has  completed  installation  of  the  Qualifying   Improvements  on  the  subject  property  or  has  reached  a  milestone  at  which  a   progress  payment  is  permitted  (see  “Progress  Payments”  below),  you  must  submit  a   funding  disbursement  request  and  the  Project  Verification  documents  listed  below  in   order  to  receive  funding  from  the  Program.  The  administrator  will  review  the  funding   request  and  the  Project  Verification  docum ents,  and  produce  Final  Program  forms.     The  Final  Program  forms  will  be  sent  to  you  within  five  (5)  business  days  after  you   have  submitted  a  funding  request  and  the  Project  Verification  documents.  You  must   return  the  executed  Final  Program  forms  to  the  adm inistrator  within  seven  (7)   calendar  days .    The  Project  Verification  documents  and  Final  Program  forms  are   listed  below.      Project  Verification  Documents  (submitted  by  you  with  your  funding  request)   a. A  signed  final  permit  inspection  from  the  appropriate  Cit y’s   Department  of  Building  Inspection  for  applicable  completed  projects   b. A  final  invoice  from  all  contractors  (or,  for  progress  payment,  an   invoice  stating  percentage  of  work  complete;  see  “Progress  Payments”   below.)   c. A  copy  of  any  applicable  rebates  or  ince ntives.     Final  Program  Forms  (to  be  executed  and  returned  by  you  within  7  days  of   receipt  from  the  Authority )   a. An  executed  and  notarized  Financing  Agreement  (by  all  property   owners  or  authorized  representatives).  By  executing  the  Financing   Agreement ,  you  ag ree  to  annex  the  subject  property  to  the  Energy   Improvement  District  and  to  pay  assessments  in  specified  amounts  for   the  period  specified  in  the  Financing  Agreement ,  consent  to  recordation   of  a  l ien  against  the  subject  property,  and  release  the  Authority,  the   participating  local  government  and  its  administrator  from  any  liability   associated  with  installation  of  the  Qualifying  Improvements  or  their   performance.   b. Utility  Authorization  to  Release  Information.     c. Payment  Assignment  Form,  if  the  payment  is  to  be  as signed  to  the   contractor.     Florida  Green  Energy  Works  –  P rogram  Handbook  19  of  32  v.  1.1.2012   When  the  Authority  has  received  all  required  documentation  from  you,  it  will   confirm  your  compliance  with  the  eligibility  requirements  (see  “Eligibility”  above).   The  timing  of  when  the  Authority  will  record  the  Financing  Agreement  and  lien  as   an  encumbrance  on  the  subject  property  is  determined  on  a  case -­‐by -­‐case  basis   according  to  the  terms  agreed  upon  between  the  Authority ,  the  property  owner,  and   the  project  lender .  The  Authority  will  document  the  bond  or  other  financing   transact ion  with  you  and  the  project  lender  identified  by  you,  and  approve  the   issuance  of  bonds  or  other  financing  for  purchase  by  the  project  lender .       All  funding  requests  will  be  deemed  final  upon  submission  of  the  required   documentation  listed  above  and  may  n ot  be  subsequently  changed.       In  the  event  a  property  owner  cancels  financing  after  a  request  for  funding  is   submitted  to  the  Authority ,  all  expenses  incurred  by  the  Authority  for   recording  tax  liens,  preparing  bond  or  other  financing  documents  and   removin g  tax  liens  will  be  the  responsibility  of  the  applicant.    The  Authority   will  terminate  the  lien  evidenced  by  recordation  of  the  Financing  Agreement   upon  receipt  of  reimbursement  from  the  applicant  for  these  expenses.         Table  1  –  Re lated  Disbursement  Request  Items  to  be  Submitted   Progress  Payment:  Final  Payment:   • Applicable  permit(s)  • Applicable  f inal iz ed  permit(s)   • Invoices,  cost  statements,  or   equivalent  from  contractors   showing  progress   • Final  invoices,  cost  statements,   or  equivalen t  from  contractors   • Copies  of  any  applicable  rebates   or  incentives   • Copies  of  any  applicable  rebates   or  incentives   • Check  made  out  to  the  Florida   Green  Finance  Authority  for   progress  payment  processing *   • Receipts,  statements,  purchase   orders,  or  other  eviden ce  of   actual  cost  for  items  not  covered   in  contractor  invoice   *Please  consult  the  Authority  for  amounts  listed  in  the  Program  Fee  Schedule.     If  the  property  owner  wishes  to  assign  payment  directly  to  the  contractor  that  has   performed  the  work  on  the  proje ct,  then  the  owner  must  also  submit  a  completed   Disbursement  Assignment  F orm  to  the  Program.     The  Program  will  review  the  submitted  Disbursement  Request  and  associated  items   within  five  (5)  business  days  and,  upon  approval,  issue  payment.   Progress  Payments   The  Authority  will  consider  making  progress  payments  in  certain  circumstances  on   a  case -­‐by -­‐case  basis.  In  general,  the  Authority  may  agree  to  make  progress   payments  before  the  installation  of  the  Qualifying  Improvements  is  complete  if   certain  criteria  are  met,  which  may  include  (i)  the  amount  financed  is  in  excess  of  a     Florida  Green  Energy  Works  –  P rogram  Handbook  20  of  32  v.  1.1.2012   minimum  amount,  (ii)  the  time  required  to  install  the  Qualifying  Improvements   exceeds  a  certain  length  of  time,  (iii)  the  amount  of  each  progress  payment  is  a   minimum  percentage  of  the  total  cost  of  the  Qualifying  Improvements  to  be  financed   by  the  Program  and  (iv)  based  on  a  certification  of  the  Qualified  Contractor,  the   percentage  of  the  total  amount  to  be  financed  that  will  have  been  disbursed  by  the   Authority  after  disbursement  of  the  pro gress  payment  will  not  exceed  the   percentage  of  the  installation  work  that  has  been  completed.     Program  Participation  Expiration   If  the  Authority  approves  your  application,  your  approval  will  be  effective  for  360   calendar  days.  Property  owners  that  receive  Program  approval  must  have  a   Qualified  Contractor  complete  installation  of  the  Qualifying  Improvements  on  the   subject  property  and  complete  the  financing  process  within  this  period.  If  you  fail  to   have  a  Qualified  Contractor  complete  the  installation  of  Q ualifying  Improvements  on   the  subject  property  within  the  reservation  period,  your  Program  approval  will   expire.  You  may  request  to  extend  your  Program  approval  prior  to  its  expiration  for   an  additional  90  days.  However,  you  will  have  to  pay  an  extension  f ee.         An  applicant  may  cancel  a  Program  approval  in  writing  during  the  360 -­day   period,  but  will  forfeit  the  application  fee  (if  applicable)  and  the  opportunity   to  receive  funding  under  that  approval.    The  applicant  may  reapply  but  will   not  be  guaranteed  f unding  availability  and  will  need  to  pay  another   application  fee.       9 .  Quality  Assurance  and  Quality  Control  (QA/QC)   In  order  to  ensure  that  financed  property  improvements  are  properly  completed   and  are  able  to  deliver  expected  savings  and  benefits ,  the  Pr ogram  recommends  that   property  owners  either  participate  in  existing  utility  rebate  or  incentive  programs   (where  available  and  applicable)  that  have  their  own  verification/inspection   mechanisms,  or  submit  to  and  pay  for  other  third -­‐party  site  inspections  (service   providers  may  be  retained  by  the  Program  for  this  purpose).     The  Program  and/or  the  partner  project  lender  may  require  additional  inspections   if  the  property  owner  requests  progress  payments  be  made  before  final  payment  –   also  at  additional  cost.   1 0 .  Measurement  and  Verification  (M&V)   The  Program  requires  p roperty  owners  to  enroll  in  the  free  energy  usage  tracking   and  benchmarking  service  called  ENERGY  STAR  Portfolio  Manager  which  provides   access  to  the  data  necessary  to  determine  how  the  installed  improve ments  are   performing  over  time,  and  how  their  building  is  performing  relative  to  its  peers.       Florida  Green  Energy  Works  –  P rogram  Handbook  21  of  32  v.  1.1.2012   The  Program  reserves  the  right  to  require  property  owners  to  utilize  additional  data   collection  tools  developed  for  the  Program  and  to  require  property  owne rs  to  grant   the  Authority  access  to  their  ENERGY  STAR  Portfolio  Manager  accounts  for  a  period   of  three  years  after  project  completion  so  that  the  Authority  can  analyze  project   performance  and  gauge  program  effectiveness .    Information  received  under  this   pr ovision  shall  remain  confidential.     P roperty  owner s  and  project  lenders  are  encouraged  to  conduct  more  detailed   performance  analysis  on  their  own  to  ensure  continued  cost  and  energy  savings.   11 .  Description  of  Bond/Legal  Documents     The  following  table  summ arizes  the  Program’s  major  legal  documents.     Table  5  –  Major  Bond/Legal  Documents   Document  Description  Timing   Form  of  Lender  Consent  Relates  to  a  property  owner’s  existing  mortgage   lender/lienholder,  whereby  that  existing   lender/lienholder  (i)  consent  to  the  levy  of  special   assessment s  and  the  creation  of  the  assessment   lien  and  (ii)  agrees  that  the  proposed  assessment   lien  will  not  constitute  an  event  of  default  of   trigger  the  exercise  of  any  remedies  under  the   loan  documents  in  force  between  the  existing   lender/lienholder  and  the  property  owner.   Part  of  Final   Application   Submission   Form  of  Financing  Agreement  Document  pursuant  to  which  the  property  owner   agrees  to  the  levy  of  assessments  for  purposes  of   the  issuance  by  the  Authority  of  an  assessment   bond  to  a  project  lender  and  which  is  recorded  in   the  real  property  records  to  provide  notice  of  a   lien  securing  payment  of  assessments  on  the   property.     Closing   Form  of  Bond  Purchase   Agreement  or  other  finance   agreement   A  contract  between  the  Authority  and  t he  lender,   pursuant  to  which  the  lender  (i)  agrees  to   purchase  an  assessment  bond  issued  by  the   Authority  and  (ii)  makes  representations  and   warranties  that  it  is  a  “qualified  investor”.    This   contract  also  reflects  the  basic  financing  terms   agreed  between  the  lender  and  the  property   owner.   Closing   12 .  Financing  Cost;  Interest  Rate   The  following  terms  are  helpful  in  understanding  the  Program’s  financing  structure. Financing  Cost .    In  order  to  receive  funding,  you  will  agree  to  pay   assessments  in  an  amount  equal  to  (i)  the  principal  amount  you  received  through   the  Program,  (ii)  interest  on  the  principal  amount  you  received  through  the     Florida  Green  Energy  Works  –  P rogram  Handbook  22  of  32  v.  1.1.2012   Program  and  (iii)  initial  and  on -­‐going  program  expenses  summarize d  in  Appendix  C .   The  Authority  expects  to  levy  assessments  on  your  property  tax  bill ,  although  it   reserves  the  right  to  bill  or  collect  assessments  separately .         Principal  Amount.    This  is  the  amount  equal  to  all  project  costs  you  choose  to   finance,  which  may  include  costs  associated  with  implementing  the  project  such  as   permits,  evaluation  expenses,  application  fee,  a n  applicable  deposit  to  a  debt  service   reserve  fund  if  required  and  capitalized  interest  (see  “Capitalized  Interest”  below).     Interest  Rate.    The  rate  of  interest  on  the  amount  of  funding  you  receive  will   be  negotiated  between  you  and  the  financial  institution  identified  by  you.       Capitalized  Interest .  Because  of  the  August  15 th  deadline  for  placing  the   assessments  on  the  property  tax  bill,  the  principal  component  of  the  assessment   may  also  include  th e  first  tax  year’s  installments  if  the  deadline  cannot  be  met.       Deposit  to  a  Debt  Service  Reserve  Fund.  A  d ebt  service  reserve  fund  (DSRF)   may  be  required  by  your  chosen  lender  as  additional  security  to  participating   financial  institutions  to  pay  debt  ser vice  on  the  bonds  in  the  event  of  late  payments   or  default  by  the  property  owners.  The  Authori ty  may  permit  property  owners  to   finance  a  reasonable  deposit  to  a  DSRF,  if  a  DSRF  is  required  by  the  lender  identified   by  you.       Initial  and  On -­‐going  Program  Adm inistrative  Costs .    Program  Administrative   Costs  are  built  into  the  total  financed  amount  and  the  ongoing  assessment   requirement  (which  increases  the  effective  interest  rate  you  will  pay).    The  fees  for   any  specific  project  will  be  disclosed  and  agreed  to  prior  to  financing.   13 .  Important  Legal  Terms   Repayment  Terms   Following  recordation  of  the  Financing  Agreement ,  the  property  owner  will  be   obligated  to  pay  the  assessments  specified  in  the  Financing  Agreement .     Assessments   A  property  owner  must  pay  the  a greed -­‐upon  assessments  regardless  of  personal   financial  circumstances,  the  condition  of  the  property,  or  the  performance  of  the   Qualifying  Improvements .  Do  not  apply  for  financing  if  you  are  not  certain  you  can   pay  the  assessments .  The  failure  to  pay  your  assessment  in  full  will  result  in   financial  repercussions,  including  penalties,  interest  and,  potentially,   foreclosure  of  your  property  by  the  Authority .     Florida  Green  Energy  Works  –  P rogram  Handbook  23  of  32  v.  1.1.2012   Foreclosure  Terms   If  you  use  an  escrow  account  to  pay  annual  property  taxes,  you  must  notify  your   esc row  company  of  your  assessment  payments.  You  will  need  to  increase  your   monthly  payments  to  the  escrow  account  by  an  amount  equivalent  to  your  annual   assessments  divided  by  12  months.   Compliance  with  Existing  Mortgages   Recordation  of  the  Financing  Agreeme nt  will  establish  a  continuing  lien  as  security   for  your  obligation  to  pay  assessments .  The  lien  securing  the  obligation  to  pay   assessments  will  be  senior  to  all  private  liens,  including  your  existing  purchase   mortgage(s).  Many  mortgage  and  loan  documents  limit  the  ability  of  a  property   owner  to  place  senior  liens  upon  property  without  the  consent  of  the  lender,  or   authorize  the  lender  to  obligate  you  to  prepay  the  senior  obligation.  Please  confirm   with  your  lender(s)  that  participation  in  the  Program  will  not  adversely   impact  your  rights  with  respect  to  any  existing  loan  documents,  or  obligate   you  to  prepay  your  assessments .  Property  owners  must  notify  the  lender  in   writing  and  receive  written  acknowledgment/consent  from  the  lender  prior  to   applying  to  the  Program.  The  Program  will  provide  lender  acknowledgment  /   consent  templates,  but  responsibility  for  addressing  issues  with  existing  lenders  is   the  property  owners’.   Transfer  or  Resale  of  the  Subject  Property   If  you  sell  your  property  prior  to  the  end  of  th e  agreed -­‐upon  assessment  period,  the   new  owner  will  assume  the  assessment  obligation.    Ownership  of  any  Qualifying   Improvements  on  the  subject  property  will  transfer  to  the  new  owner  at  the  close  of   the  real  estate  sale;  Qualifying  Improvements  financed  th rough  the  Program  may   not  be  removed  from  the  property  until  the  bond  issued  by  the  Authority  to  finance   installation  of  the  Qualifying  Improvements  has  been  retired.    Program  participants   agree  to  make  all  legally  required  disclosures  about  the  existence  of  the  assessment   lien  on  the  property  in  connection  with  any  sale.   Rebates  and  Taxes   Participation  in  this  Program  does  not  reduce  rebates  available  through  federal,   State  or  local  rebate  programs.     Please  consult  with  your  tax  advisors  with  respect  to  th e  State  and  federal  tax   implications  of  participating  in  the  Program.     Neither  the  Authority  nor  the  administrator  is  responsible  for  the  State  or  federal   tax  consequences  of  participating  in  the  Program.     Changes  in  State  and  Federal  Law   The  Authority’s  a bility  to  issue  bonds  to  finance  the  Program  is  subject  to  a  variety   of  State  and  federal  laws.  If  those  laws  or  the  judicial  interpretation  thereof  were  to   change  after  you  have  applied  for  funding  (and,  thereafter,  incurred  the  cost  of   installation  in  an ticipation  of  Program  funding)  but  before  the  Authority  issues  a     Florida  Green  Energy  Works  –  P rogram  Handbook  24  of  32  v.  1.1.2012   bond  to  finance  your  funding  request,  the  Authority  may  be  unable  to  fulfill  your   funding  request.  The  Authority  shall  have  no  liability  as  a  result  of  any  such   change  in  law  or  judicial  inte rpretation .   Changes  in  the  Program  Terms;  Severability   The  Authority  reserves  the  right  to  change  these  Program  Terms  at  any  time   without  notice ;  however,  no  such  change  will  affect  your  obligation  to  pay   assessments  as  set  forth  in  the  Financing  Agreemen t .  Your  participation  in  the   Program  will  be  subject  to  the  Program  Terms  in  effect  from  time  to  time  during   your  participation.       If  any  provision  of  these  Program  t erms  is  determined  to  be  unlawful,  void,  or  for   any  reason  unenforceable,  then  that  provis ion  shall  be  deemed  severable  from  these   Program  t erms  and  shall  not  affect  the  validity  and  enforceability  of  any  remaining   provisions.     Disclosure  of  Property  Owner  Information   Property  owner  agrees  that  the  Authority  may  disclose  its  personal/corporate   information  submitted  as  part  of  the  Program  to  the  administrator,  and  that  the   Authority  and  the  administrator  may  disclose  the  property  owner’s  information  to   third  parties  when  such  disclosure  is  essential  to  the  conduct  of  the  Authority’s   business  or  t o  provide  services  to  the  property  owner,  including  but  not  limited  to   where  such  disclosure  is  necessary  to  (i)  comply  with  the  law,  legal  process  or  our   regulators,  and  (ii)  enable  the  Authority  or  the  administrator’s  employees  or   consultants  to  provide  services  to  the  property  owner  and  to  otherwise  perform   their  duties.    The  Program  will  not  provide  property  owner  information  to  third   parties  beyond  the  Program  administrative  team  for  any  telemarketing,  e -­‐mail  or   direct  mail  solicitation.         All  propert y  owner  information  obtained  is  treated  with  great  care  in  order  to   protect  privacy  and  security.       You  further  agree  to  the  release  of  property  owner’s  name  and  contact  information   and  th e  property’s  utility  usage  data  to  the  Authority ,  its  grantors  and  i ts  designated   contractors  for  the  purpose  of  conducting  surveys  and  evaluation  of  the  Program.   Fraud   Giving  materially  false,  misleading  or  inaccurate  information  or  statements  to  the   Authority  or  its  employees  and  agents  (or  failing  to  provide  the  Authori ty  with   material  information)  in  connection  with  an  application  is  punishable  by  law.     Material  representations  include,  but  are  not  limited  to,  representations  concerning   the  project  costs,  ownership  structure  and  financial  information  relating  to  the   pro perty  and  the  applicant.       Florida  Green  Energy  Works  –  P rogram  Handbook  25  of  32  v.  1.1.2012   Exceptions  to  these  Terms  and  Provisions   The  Program  Administrator  may  make  exceptions  to  the  terms  and  provisions   detailed  in  this  handbook  where  there  is  a  finding  that  such  exception  furthers  the   goals  and  objectives  of  the  Flo rida  Green  Energy  Works  Program .    Consideration  of   an  exception  request  from  a  property  owner  may  involve  payment  of  the   Application  Fee  or  other  fees.     Florida  Green  Energy  Works  –  Program  Handbook  26  of  32  v.  1.1.2012   Appendix  A  –  Florida  Green  Energy  Works  Financing  Process           Florida  Green  Energy  Works  –  Program  Handbook  27  of  32  v.  1.1.2012   Appendix  B  –  Guidance  for  Selecting  Ener gy  Evaluator   Overview   The  commercial  building  energy  evaluation  and  audit  market  is  fragmented,  with  no   universally  accepted  standards  for  auditors.    Although  the  Program  does  not  endorse   specific  contractors  or  accreditation  programs,  it  has  compiled  this  guidance  to  serve  as   sugge sted  minimum  requirements  that  property  o wners  might  look  for  in  an  energy   auditor  in  the  commercial  sector.     Credentials/Qualifications   Although  the  following  credentials  and  qualifications  are  not  required,  the  more  of  these   th at  a  service  provider ’s  staff  has,  the  more  confident  you  can  be  in  their  knowledge,   experience  and  abilities:   • Florida  Professional  Engineering  License  (PE)   • ASHRAE  Building  Energy  Assessment  Professional  (BEAP)  Certification   • Certified  Energy  Manager  (CEM)  or  Certified  Energy  Auditor  (CEA)  from  the   Association  of  Energy  Engineers  (AEE)   • Multi -­‐disciplinary  competence  (lighting,  HVAC,  refrigeration,  appliances)   • Years  of  directly  relevant  professional  experience     Recommendations/Questions  for  P rospective  Energy  Auditors   1. If  seeking  a  whole -­‐building  energy  audit,  request  that  the  auditor  follow  the  ASHRAE   Level  1  and/or  2  audit  guidelines.  (This  is  a  requirement  of  the  Program  for  projects   that  include  multiple  improvements )   a. Ask  for  a  copy  of  previous  ASHRAE  Level  1  and  2  audits  that  they  have   completed.   b. Request  and  check  references  for  past  building  energy  audit  work.   2. Ask  about  training   a. A re  they  a  mechanical  engineer?     b. A  licensed  Professional  Engineer  (PE)?     c. A  Certified  Energy  Manager,  Certified  Energy  Auditor,  or  Certified  Lighting   Efficiency  Professional  through  the  Association  of  Energy  Engineers,  or  other   accredited  energy  audit  training  program?     3. Ask  about  active  involvement  with  relevant  professional  organizations  such  as  (in   alphabetical  order):   a. Association  o f  Energy  Engineers  (AEE)   b. American  Society  of  Heating  Refrigeration  and  Air -­‐Conditioning  Engineers   (ASHRAE)   c. ENERGY  STAR  (U.S.  E.P.A.)   d. Illuminating  Engineering  Society  (IES)   e. U.S.  Green  Building  Council  (USGBC)   4. Be  clear  about  what  you  expect  as  the  outcome  fr om  the  building  evaluation  report.  You   may  want  to  specifically  ask  for  some  of  the  foll owing  products  or  services :   a. Actionable  recommendations     Florida  Green  Energy  Works  –  P rogram  Handbook  28  of  32  v.  1.1.2012   b. Realistic  treatment  of  utility  rates  and  energy  cost  savings   c. Transparent  (not  black  box)  analysis   d. Guidance  to  mor e  resources  to  assist  with  implementation   e. Credible  energy  and  cost  savings  estimates     f. Reasonable  cost  estimates  or  vendor  bids   g. Interactive  effects  of  multiple  improvements   h. Measurements  of  existing  systems   i. Logging  of  temperatures  or  base  case  energy  consump tion   j. Hourly  modeling   k. Project  design  specifications   l. Construction  management  services   m. Utility  incentive/rebate  application  assistance   5. Talk  to  your  CFO  and  discuss  with  your  evaluator  what  type  of  financial/economic   analysis  would  be  most  helpful  to  your  deci sion -­‐making  process.  Inform  the  evaluator   that  the  Program  has  a  simple,  uniform  Energy  and  Cost  Savings  Analysis  template  (an   Excel  spreadsheet)  that  the  evaluator  can  use  to  present  the  energy  and  economic  data.     Other  Tips  for  the  Building  Audit  Process   1. Collect  all  as -­‐built  mechanical,  electrical  and  plumbing  (for  water  audits)  plans  and   specs  that  you  have  accessible,  and  make  them  available  to  the  auditor.   2. Ask  your  property  manager  and  building  engineer  to  be  present  at  the  building  audit.   3. Contact  your  utility  account  representative  to  coordinate  incentives  for  your  project.   4. You  may  want  to  involve  vendors  that  you  typically  rely  on,  or  have  existing  contracts   with,  such  as  controls  companies,  HVAC  service  companies,  or  lighting  companies.  They   can  prov ide  cost  estimates  for  proposed  retrofits.     Florida  Green  Energy  Works  –  P rogram  Handbook  29  of  32  v.  1.1.2012   Appendix  C  –  Energy  Evaluat ion  Types   Overview   This  appendix  contains  a  description  of  four  levels  of  building  energy  evaluation  that  are   commonly  used  in  the  energy  efficiency  industry.  They  are  intended  to  help  address   questions  that  property  o wners  may  face  when  they  decide  to  undertake  an  energy   efficiency,  renewable  energy ,  or  water  conservation  project.   Industry  Standard  Audit  Formats   While  there  is  no  single  approach  to  conducting  building  evaluations ,  there  are  widely   accepted  industry  standard  audit  formats.  Depending  on  the  size  of  the  building,  scope  of   the  energy  efficiency  measure(s),  and  the  complexity  of  systems,  one  can  specify  a  Targeted   Audit,  or  American  Society  of  Heating  Refrigeration  and  Air -­‐Co nditioning  Engineers   (ASHRAE)  Level  1 ,  2 ,  or  3  audit.  Costs  of  audits  are  dependent  on  these  variables  as  well.     Targeted  Audit   In  a  Targeted  Audit,  the  analysis  need  only  account  for  the  energy  use  of  the  system  of   concern,  rather  than  the  energy  use  of  t he  whole  building.  This  approach  is  generally  used   for  larger,  single -­‐system  projects.  For  example,  this  approach  may  be  used  for  a  project  to   replace  only  a  cooling  tower  that  is  part  of  a  building’s  chilled  water  system.  In  this   example,  only  the  chilled  water  system  would  be  examined  in  the  targeted  audit.       In  addition  to  reporting  the  same  minimum  building  and  Energy  Conservation  Measure   (ECM)  information  as  above,  this  approach  also  includes  an  estimate  of  the  base  case   energy  use  of  the  targeted  syst em.  In  the  example  above,  the  Targeted  Audit  should  include   the  base  case  energy  use  estimate  of  the  combined  cooling  tower  and  chilled  water  plant.     ASHRAE  Level  1 ,  2 ,  and  3  Audits   The  ASHRAE  evaluation  summary  below  lays  out  basic  parameters  for  performi ng  varying   degrees  of  a  whole  building  audit.  For  more  precise  guidelines  see  the  ASHRAE  Publication   “Procedures  for  Commercial  Building  Energy  Audits”  (available  from  the  ASHRAE  online   bookstore  at  http://www.ashrae.org ).       Level  I  to  III  designations  are  based  on  increasing  level  of  detail,  depth,  and  cost.  Each   evaluation  level  includes  an  initial,  preliminary  analysis  that  compares  the  building  energy   use  to  similar  building  stock  based  on  the  energy  use  intensity  (EU I  in  kWh/sq  ft  or   kBTU/sq  ft).    Please  see  additional  descriptions  and  components  of  these  energy  audit   types  in  Table  2 ,  Table  3 ,  and  Table  4 ,  below.       Florida  Green  Energy  Works  –  P rogram  Handbook  30  of  32  v.  1.1.2012   Table  2  –  ASHRAE  Energy  Audit  Level  Descriptions   ASHRAE   Audit  Level   Audit  Description   Level  1  Walk -­through  analysis   Brief  review  of  building  systems  with  primarily  qualitative  results.   Level  2   Energy  Survey  and  Engineering  Analysis   Includes  identification  of  energy  efficiency  improvements  with  estimates  of  energy   and  cost  savings  for  capital  projects.   Level  3   Detailed  Analysis  of  Capital -­intensive  Modifications   Includes  more  detailed  calculations  based  on  monitored  end  use  data  or  hourly   building  simulati ons.  Also  includes  more  detailed  project  specifications  for  retrofits.     Table  3  –  ASHRAE  Energy  Audit  Activities   Audit  Level   Audit  Activity  1  2  3   Walk -­‐through  survey     Identify  low -­‐cost/no -­‐cost  recommendations     Identify  capital  i mprovements     Review  mech.  &  elec.  design,  condition  and  O&M  p ractices     Measure/Monitor  key  p arameters      Analyze  capital  improvements  (savings  &  costs  inc.  interaction)      Additional  testing/monitoring       Detailed  system  modeling       Schematic  layouts  for  recommendations       Meet  with  owner  to  review  recommendations      Table  4  –  ASHRAE  Energy  Audit  Report  Components   Audit  Level   Audit  Report  Componen t  1  2  3   Estimate  savings  from  utility  rate  c hange     Compare  energy  use  intensity  (EUI )  to  s imilar  s ites     Summarize  utility  d ata     Estimate  s avings  if  EUI  met  t arget     Preliminary  end -­‐use  b reakdown     Detailed  end -­‐use  b reakdown     Estimate  low -­‐cost  /  no -­‐cost  savings     Estimate  capital  project  costs,  savings     Complete  bldg  description  &  equipment  inventory      Detailed  description  of  recommendations      Recommended  monitoring  &  v erification  (M&V)  method      Specifications  and  schematics  of  all  recommendations          Florida  Green  Energy  Works  –  P rogram  Handbook  31  of  32  v.  1.1.2012   Minimum  Data  Requirements   For  all  projects,  regardless  of  size  or  audit  type,  the  energy  analysis  or  evaluation  report   should,  at  a  minimum,  provide  the  following  key  parameters  in  an  easy -­‐t o -­‐identify   summary  table.  Note:  Some  of  these  requirements  are  included  in  a  Level  I  Energy   Evaluation  while  others  augment  the  requirements  in  a  Level  1  Evaluation .       For  the  building  overall:   • Description  of  the  Project  and  facilities  affected  by  the  Proj ect   • The  square  footage  for  conditioned  space  by  space  type  (e.g.  office,  retail,  industrial,   schools,  hospital,  high  tech,  etc)   • The  historical  annual  energy  consumption  by  fuel  type  (e.g.  electricity  kWh,  natural   gas  therms)  for  at  least  one  year   • The  histo rical  annual  energy  cost  by  fuel  type   • The  applicable  utility  rate  schedule(s)     For  each  proposed  Energy  Conservation  Measure  (ECM):   • Measure  description  (including  specifications,  as  appropriate)   • Estimated  annual  energy  consumption  savings  (e.g.  kWh,  therms ,  kBTU)  based  on   specific  application  (not  manufacturer’s  generic,  average  estimate)   • Estimated  peak  demand  savings  (kW)   • Estimated  operations  and  maintenance  savings  (if  applicable)   • Estimated  measure  utility  cost  savings   • Estimated  measure  cost     • Calculated  m easure  simple  pay  back   • Measure  Equipment  Useful  Lifetime  (from  approved  measure  list  if  available)     Florida  Green  Energy  Works  –  Program  Handbook  32  of  32  v.  1.1.2012   Appendix  D  –  Program  Costs/Fees   This  appendix  contains  a  summary  of  the  direct  and  indirect  program  costs  and  fees.  Some   of  these  are  mandatory  fees,  wherea s  a  few  are  conditional  depending  on  what   improvements  are  being  undertaken,  what  rebate  or  incentive  programs  are  being  utilized,   and  what  method  of  property  valuation  is  chosen.  Most  of  these  can  be  included  in  the   financing.       <<  See  attached  Program  Fe e  Schedule  Tables  >>     Fi n a n c i n g E n e r g y - S a v i n g Im p r o v e m e n t s Im p r o v e m e n t s Th r o u g h T h e F l o r i d a G r e e n E n e r g y W o r k s PA C E F i n a n c i n g P r o g r a m Wh o w e a r e - L o c a l g o v e r n m e n t s : - L a n t a n a , M a n g o n i a P a r k a n d C i t y o f W e s t P a l m Be a c h - C h a m b e r s : - G r e a t e r B o y n t o n B e a c h C h a m b e r o f C o m m e r c e - C e n t r a l P a l m B e a c h C h a m b e r o f C o m m e r c e (i n c l u d e s L a k e W o r t h ) - E c o C h a m b e r Wh o w e a r e Ou r P r o g r a m Tw o c o m p o n e n t s : • G r e e n B u s i n e s s C e r t i f i c a t i o n P r o g r a m • V o l u n t a r y F i n a n c i n g f o r E n e r g y S a v i n g Im p r o v e m e n t s Wh a t i s P A C E ? • P ro p e r t y A ss e s s e d C le a n E ne r g y • V o l u n t a r y l o w c o s t e n e r g y f i n a n c i n g p r o g r a m • Ad m i n i s t e r e d t h r o u g h a n In t e r l o c a l Au t h o r i t y ( t h e • Ad m i n i s t e r e d t h r o u g h a n In t e r l o c a l Au t h o r i t y ( t h e Fl o r i d a G r e e n F i n a n c i n g A u t h o r i t y ) • F u n d s a r e p r o v i d e d t o c o m p l e t e e n e r g y e f f i c i e n c y , re n e w a b l e e n e r g y , w a t e r e f f i c i e n c y a n d w i n d re s i s t a n c e p r o j e c t s • R e p a y m e n t i s t h r o u g h p r o p e r t y t a x b i l l o v e r t e r m s u p to 2 0 y e a r s Wh y d o i t ? • W a s t e d e n e r g y m e a n s w a s t e d m o n e y . • Av o i d l a r g e u p f r o n t c o s t s . P a y o v e r t i m e . • Av o i d l a r g e u p f r o n t c o s t s . P a y o v e r t i m e . • R e d u c e o p e r a t i n g c o s t s . B e n e f i t s b o t h ow n e r s a n d t e n a n t s . • M a j o r “ g r e e n ” p o i n t s ! PA C E B e n e f i t s • L o n g t e r m a n d s a f e f i n a n c i n g fo r p r o p e r t y o w n e r s t o de v e l o p e n e r g y a n d w a t e r ef f i c i e n c y i m p r o v e m e n t s Ec o n o m i c d e v e l o p m e n t : • P u t s c o n s t r u c t i o n s e c t o r t o w o r k • I n c r e a s e s p r o p e r t y ’ s v a l u e , pr o m o t e s e c o n o m i c d e v e l o p m e n t op p o r t u n i t i e s a n d a c t i v i t y ( c a n in c r e a s e in T I F fu n d i n g with ef f i c i e n c y i m p r o v e m e n t s • P r o m o t e s G r e e n i n i t i a t i v e s an d S u s t a i n a b i l i t y w i t h i n C i t y • R e d u c e s e n v i r o n m e n t a l im p a c t s w i t h i n C i t y (c o m m e r c i a l s e c t o r gr e e n h o u s e g a s e m i s s i o n s ) in c r e a s e in T I F fu n d i n g with pr o p e r t y v a l u e i n c r e a s e s ) • I n c r e a s e i n b u i l d i n g a n d co n s t r u c t i o n p e r m i t s a n d f e e s , • E c o N o r t h w e s t S t u d y ( A p r i l 2 0 1 1 ) fo r e v e r y $ 1 M i l l i o n i n s p e n d i n g = $1 0 M i l l i o n i n g r o s s e c o n o m i c ou t p u t + $ 1 M i l l i o n i n t a x r e v e n u e + 60 j o b s PA C E S t a t u s i n F l o r i d a • A d d i t i o n a l m u n i c i p a l i t i e s a n d c o u n t i e s ar e p r e s e n t l y m o v i n g o n P A C E . ar e p r e s e n t l y m o v i n g o n P A C E . • N u m e r o u s l o c a l g o v e r n m e n t s a c r o s s t h e st a t e a r e a c t i v e l y e v a l u a t i n g o p t i o n s (P a n h a n d l e t o t h e K e y s ) Fl o r i d a G r e e n F i n a n c e Au t h o r i t y • B y e x e c u t i n g t h e I n t e r l o c a l A g r e e m e n t , D e l r a y B e a c h gi v e s p r o p e r t y o w n e r s a c c e s s t o P A C E f i n a n c i n g • L a n t a n a & M a n g o n i a P a r k c r e a t e d t h e F l o r i d a G r e e n Fi n a n c e A u t h o r i t y p u r s u a n t t o S e c t i o n 1 6 3 . 0 1 & 1 6 3 . 08, Fl o r i d a St a t u t e s ( W P B s i g n e d o n 6 / 1 1 ) Fl o r i d a St a t u t e s ( W P B s i g n e d o n 6 / 1 1 ) • C o n t e m p l a t e d b y g r a n t • A d m i n i s t e r t h e P r o g r a m • I n s u l a t e s u n d e r l y i n g l o c a l g o v e r n m e n t s f r o m r i s k • N o c o s t t o j o i n t h e A u t h o r i t y , b u t s h o u l d t h e C i t y wi t h d r a w f r o m t h e A u t h o r i t y w i t h i n t h e f i r s t t w o ye a r s , t h e r e i s a n o p t - o u t f e e o f u p t o $ 1 7 , 5 0 0 t o co v e r t h e u p - f r o n t l e g a l a n d o t h e r c o s t s o f es t a b l i s h i n g t h e A u t h o r i t y . Ro l e o f t h e A u t h o r i t y • A u t h o r i t y ’ s r o l e i s a d m i n i s t r a t i v e : • B e a r s p r o g r a m c o s t s f o r p a r t i c i p a t i n g g o v e r n m e n t s • Ma r k e t th e P r o g r a m • Ap p r o v e p r o j e c t s f o r f i n a n c i n g • Ma r k e t th e P r o g r a m • Ap p r o v e p r o j e c t s f o r f i n a n c i n g • M a t c h p r o p e r t y o w n e r s w i t h i n v e s t o r s • M a n a g e l e v y a n d c o l l e c t i o n p r o c e s s w i t h p r o p e r t y ap p r a i s e r a n d t a x c o l l e c t o r • A s s u r e i n v e s t o r s r e c e i v e r e p a y m e n t • I n v i t i n g p a r t n e r s h i p w i t h c i t i e s a n d c o u n t i e s t o o p t i n by st a n d a r d I n t e r l o c a l A g r e e m e n t El i g i b l e P r o p e r t i e s • C o m m e r c i a l p r o p e r t i e s ( n o t r e s i d e n t i a l ) Of f i c e Ho t e l Re t a i l Mu l t i f a m i l y h o u s i n g Re s t a u r a n t Ch u r c h e s a n d p r i v a t e s c h o o l s • L o c a t e d i n a p a r t i c i p a t i n g j u r i s d i c t i o n La n t a n a Ma n g o n i a P a r k Mo r e s o o n … El i g i b l e I m p r o v e m e n t s Do z e n s o f e l i g i b l e t e c h n o l o g i e s Go a l : R e d u c e t o t a l e n e r g y c o s t s b y 2 0 % Go a l : R e d u c e t o t a l e n e r g y c o s t s b y 2 0 % • E n e r g y e f f i c i e n c y Wi n d o w s , d o o r s Re f r i g e r a t i o n In s u l a t i o n El e v a t o r s Ro o f i n g Po o l p u m p s a n d h e a t e r s El i g i b l e I m p r o v e m e n t s • R e n e w a b l e e n e r g y So l a r p h o t o v o l t a i c Wi n d t u r b i n e s • Wa t e r E f f i c i e n c y • Wa t e r E f f i c i e n c y Ir r i g a t i o n s y s t e m s Re s t a u r a n t e q u i p m e n t To i l e t s • W i n d R e s i s t a n c e Ro o f d e c k / b r a c i n g Bu i l d i n g e n v e l o p e u p g r a d e s Hi g h i m p a c t w i n d o w s a n d d o o r s Fi n a n c i n g A m o u n t s St e p s • O n l y p r o p e r t y o w n e r s w h o w a n t t o p a r t i c i p a t e co m p l e t e i n i t i a l a p p l i c a t i o n & e l i g i b i l i t y r e v i e w • En e r g y o r w a t e r o r w i n d -re s i s t a n c e • En e r g y o r w a t e r o r w i n d -re s i s t a n c e im p r o v e m e n t r e v i e w ( o w n e r r e s p o n s i b i l i t y ) • F G E W u n d e r w r i t i n g • L i n e u p f u n d s a n d o b t a i n l e n d e r c o n s e n t • E x e c u t e d o c u m e n t s ( f i n a n c i n g a g r e e m e n t ) • C o m p l e t e p r o j e c t a n d r e c e i v e f u n d s St e p s • R e p a y m e n t o f f i n a n c i n g a g r e e m e n t i s th r o u g h v o l u n t a r y n o n - a d v a l o r e m as s e s s m e n t s o n a n n u a l p r o p e r t y t a x b i l l as s e s s m e n t s o n a n n u a l p r o p e r t y t a x b i l l • I f p r o p e r t y i s s o l d , a s s e s s m e n t r e m a i n s i n pl a c e t h r o u g h t h e r e m a i n i n g t e r m o f t h e fi n a n c i n g a g r e e m e n t . Si m p l e o n l i n e a p p l i c a t i o n Ke y s t o S u c c e s s • O n l y t h o s e w h o w a n t t o p a r t i c i p a t e r e c e i v e d fi n a n c i n g a n d a r e a s s e s s e d • Pr o j e c t s mu s t g e n e r a t e s u f f i c i e n t s a v i n g s t o p a y • Pr o j e c t s mu s t g e n e r a t e s u f f i c i e n t s a v i n g s t o p a y fo r t h e i m p r o v e m e n t s , • P r o j e c t s t h a t a r e g o o d c a n d i d a t e s f o r f i n a n c i n g w i ll be c a s h f l o w p o s i t i v e i n y e a r 1 ( c o s t s a v i n g s a r e gr e a t e r t h a n p a y m e n t s o n t h e a s s e s s m e n t ) a n d • O w n e r r e m a i n s e l i g i b l e f o r o t h e r r e b a t e s a n d in c e n t i v e s . Sa m p l e P r o j e c t Fi n a n c i n g Pr o p e r t y : 4 0 , 0 0 0 s q f t g r o c e r y En e r g y U s a g e : 2, 0 0 0 , 0 0 0 k W h / y r En e r g y U s a g e : 2, 0 0 0 , 0 0 0 k W h / y r An n u a l E n e r g y C o s t s : $ 2 5 0 , 0 0 0 p e r y r Co s t o f I m p r o v e m e n t s : $ 1 0 0 , 0 0 0 (H V A C , L E D l i g h t i n g , i n s u l a t i o n ) Sa m p l e F i n a n c i n g Fi n a n c e d a m o u n t : $ 1 0 8 , 8 9 5 (i n c l u d e s c l o s i n g c o s t s ; i n t e r e s t i s c a p i t a l i z e d ) In t e r e s t : 7 % Te r m : 10 y e a r s In t e r e s t : 7 % Te r m : 10 y e a r s An n u a l p a y m e n t : $ 1 5 , 9 8 4 En e r g y s a v i n g s ( 2 0 % ) : $ 5 0 , 0 0 0 NE T S A V I N G S : $ 3 4 , 0 1 6 / y e a r * A d d i t i o n a l r e b a t e s a n d d e p r e c i a t i o n m a y a l s o b e a va i l a b l e . Co n t r a c t o r s • S i m p l e a p p l i c a t i o n t o b e c o m e a r e g i s t e r e d co n t r a c t o r f o r t h e p r o g r a m co n t r a c t o r f o r t h e p r o g r a m • R e c e i v e l e a d s f o r q u a l i f i e d a p p l i c a n t s • C o n t r a c t o r s r e s p o n s i b l e f o r n e g o t i a t i n g de a l s d i r e c t l y w i t h o w n e r s La n d l o r d s a n d T e n a n t s • O w n e r s a n d t e n a n t s n e e d t o c o o p e r a t e t o ac h i e v e p o s i t i v e o u t c o m e f o r b o t h • Wh e r e t e n a n t p a y s u t i l i t i e s a n d t a x e s a r e p a s s e d • Wh e r e t e n a n t p a y s u t i l i t i e s a n d t a x e s a r e p a s s e d th r o u g h , t e n a n t w i l l p a y c o s t o f f i n a n c i n g a n d g e t th e b e n e f i t o f s a v i n g s • F o r g r o s s l e a s e s , l a n d l o r d p a y s f i n a n c i n g c o s t a n d re a l i z e s s a v i n g s o n u t i l i t y b i l l s • S a m p l e l e a s e a m e n d m e n t l a n g u a g e a v a i l a b l e Ba n k s • M o r t g a g e h o l d e r ’ s c o n s e n t i s r e q u i r e d • P A C E p r o j e c t s m a k e e x i s t i n g b u i l d i n g s i n t o be t t e r c o l l a t e r a l a n d i m p r o v e t h e c a s h f l o w o f be t t e r c o l l a t e r a l a n d i m p r o v e t h e c a s h f l o w o f bo r r o w e r s • E x i s t i n g l e n d e r s a r e i n v i t e d t o e x t e n d c r e d i t wi t h t h e a d d i t i o n a l c o l l a t e r a l o f a P A C E as s e s s m e n t l i e n Th a n k Y o u ! An y q u e s t i o n s ? Fl o r i d a G r e e n E n e r g y W o r k s P r o g r a m (8 5 5 ) F L - W O R K S ww w . F l o r i d a G r e e n E n e r g y W o r k s . c o m c/ o : F l o r i d a G r e e n F i n a n c e A u t h o r i t y in f o @ f l g f a . o r g MEMORANDUM TO:Mayor and City Commissioners FROM:David T. Harden, City Manager DATE:June 15, 2012 SUBJECT:AGENDA ITEM 8.N. - REGULAR COMMISSION MEETING OF JUNE 19, 2012 RESOLUTION NO. 28 -12 ITEM BEFORE COMMISSION This is a resolution assessing costs for abatement action required to remove nuisances on 24 propertie s throughout the City. BACKGROUND The resolution sets forth the actual costs incurred and provides the mechanisim to attach liens agains t the properties if the assessments remain unpaid. RECOMMENDATION Recommend approval of Resolution No. 28-12. RESOLUTION NO. 28-12 A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF DELRAY BEACH, FLORIDA, PURSUANT TO CHAPTER 100 OF T HE CODE OF ORDINANCES OF THE CITY OF DELRAY BEACH, ASSESSING COSTS FOR ABATING NUISANCES UPON CERTAIN LAND(S) LOCATED WITHIN THE CITY OF DELRAY BEACH AND PROVIDING THAT A NOTICE OF LIEN SHALL ACCOMPANY THE NOTICE OF ASSESSMENT; SETTING OUT ACTUAL COSTS INCURRED BY THE CITY TO ACCOMPLISH SUCH ABATEMENT A ND LEVYING THE COST OF SUCH ABATEMENT OF NUISANCES; PROVIDING FOR AN EFFECTIVE DATE AND FOR A DUE DATE AND INTEREST ON ASSESSMENTS; PROVIDING FOR THE RECORDING OF THIS RESOLUTION, AND DECLARING SAID LE VY TO BE A LIEN UPON THE SUBJECT PROPERTY FOR UNPAID ASSESSMENTS. WHEREAS, the City Manager or his designated representative ha s, pursuant to Chapter 100 of the Code of Ordinances, declared the exi stence of a nuisance upon certain lots or parcels of land, described in the list attached hereto and made a part hereof, for violation of the provisions of Chapter 100 of the Code of Ordinances; and, WHEREAS, pursuant to Section 100.21 and 100.22 of the Code of Ordinances of the City of Delray Beach, the City Manager or his de signated representative has inspected said land(s) and has determined that a nuisance existed in ac cordance with the standards set forth in Chapter 100 of the Code of Ordinances, and did furnish t he respective owner(s) of the land(s) described in the attached list with written notice of public nuisance pursuant to Sections 100.21 and 100.22 of the Code of Ordinances describing the nature of the nuisance(s) and sent notice that within seven (7) days from the date of said notice (fo rty-two (42) days in the case of violation of Section 100.04 pertaining to seawalls) they must ab ate said nuisance, or file a written request for a hearing to review the decision that a nuisance exist ed within five (5) days from the date of delivery of said notice, failing which the City of Delray Bea ch would proceed to correct this condition by abating such nuisance, and that the cost thereof wou ld be levied as an assessment against said property; and, WHEREAS, the property owner(s) named in the list attached her eto and made a part hereof did fail and neglect to abate the nuisance(s) existing up on their respective lands or to properly request a hearing pursuant to Section 100.21 and 100 .22 within the time limits prescribed in said notice and Chapter 100 of the Code of Ordinances, or i f the property owner(s) did request and receive a hearing, said property owner(s) failed and/or neglect ed to abate such nuisance(s) within the time designated at the hearing wherein a decision was rendered adverse to the property owner(s); and, 2 Res. No. 28-12 WHEREAS, the City of Delray Beach, through the City Administ ration or such agents or contractors hired by the City Administratio n was therefore required to and did enter upon the land(s) described in the list attached and made a pa rt hereof and incurred costs in abating the subject nuisance(s) existing thereon as described in the noti ce; and, WHEREAS, the City Manager of the City of Delray Beach has, pursuant to Chapter 100 of the Code of Ordinances of the City of Delray B each, submitted to the City Commission a report of the costs incurred in abating said nuisance (s) as aforesaid, said report indicating the costs per parcel of land involved; and, WHEREAS, the City Commission of the City of Delray Beach, p ursuant to Chapter 100 of the Code of Ordinances desires to assess the c ost of said nuisance(s) against said property owner(s), NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISS ION OF THE CITY OF DELRAY BEACH, FLORIDA, AS FOLLOWS: Section 1. That assessments in the individual amounts as shown by the report of the City Manager of the City of Delray Beach, involving the City's cost of abating the aforesaid nuisances upon the lots or parcels of land described i n said report, a copy of which is attached hereto and made a part hereof, are hereby levied agai nst the parcel(s) of land described in said report and in the amount(s) indicated thereon. Said assessmen ts so levied shall, if not paid within thirty (30) days after mailing of the notice described in Sec . 3, become a lien upon the respective lots and parcel(s) of land described in said report, of the same nature and to the same extent as the lien for general city taxes and shall be collectible in the s ame manner as mortgages and foreclosures are under state law. Section 2. That such assessments shall be legal, valid and bin ding obligations upon the property against which said assessments are levied. Section 3 . That the City Clerk of the City of Delray Beach i s hereby directed to immediately mail by first class mail to the owner(s) of the property, as such ownership appears upon the records of the County Tax Assessor, notice(s) th at the City Commission of the City of Delray Beach at the June 19, 2012 meeting has levied an assessment against said proper ty for the cost of abatement of said nuisance by the City, and that said a ssessment is due and payable within thirty (30) days after the mailing date of said notice of assessme nt, after which a lien shall be placed on said property, and interest will accrue at the rate of 8% per annum, plus reasonable attorney's fees and other costs of collecting said sums. A Notice of Li en shall be mailed, along with the Notice of Assessment and this resolution. Section 4. That this resolution shall become effective thirt y (30) days from the date of adoption and the assessment(s) contained herein sha ll become due and payable thirty (30) days after the mailing date of the notice of said assessme nt(s), after which a lien shall be placed on said 3 Res. No. 28-12 property(s), and interest shall accrue at the rate o f eight (8) percent per annum plus, if collection proceedings are necessary, the costs of such proceedings incl uding a reasonable attorney's fee. Section 5. That in the event that payment has not been recei ved by the City Clerk within thirty (30) days after the mailing date of t he notice of assessment, the City Clerk is hereby directed to record a certified copy of this resolution in the public records of Palm Beach County, Florida, and upon the date and time of recording of the certified copy of this resolution a lien shall become effective on the subject property which shal l secure the cost of abatement, interest at the rate of 8%, and collection costs including a reasonable attor ney's fee. PASSED AND ADOPTED in regular session on this 19 th day of June, 2012. ________________________________________ M A Y O R ATTEST: ____________________________________ City Clerk This instrument was prepared by: Brian Shutt, City Attorney 200 N.W. 1 st Avenue Delray Beach, Florida 33444 COST OF ABATING NUISANCES UNDER CHAPTER 100 OF THE CODE OF ORDINANCE PROPERTY DESCRIPTIONOWNER 7 SW 9TH STREET BELLVIEW COURT LOT 1 PCN 12 43 46 20 15 000 0010 CASE NO. NA12-23921 Laurent Gillot 4214 NW 1st Place Deerfield Beach, FL 33442 140.00 $ Invoice No. 37733 55.00 $ Admin Fee 195.00 $ VAC LOT N OF 2955 FLORIDA BLVD TROPIC ISLE 3RD SECTION LOTS 411 & 412 PCN 12 43 46 28 03 000 4110 CASE NO. RN11-22746 Katharine D. Martens 589 Deerfield Drive Melbourne, FL 32940 189.50 $ Invoice No. 37732 55.00 $ Admin Fee 244.50 $ 322 SW 5TH AVENUE TOWN OF DELRAY N 50 FT OF S 356.4 FT OF E 135 FT OF BLOCK 24 PCN 12 43 46 16 01 024 0040 CASE NO. NA12-23862 Maurice and Patricia Lord 8454 NW 14th Street Coral Springs, FL 33071 100.00 $ Invoice No. 37734 55.00 $ Admin Fee 155.00 $ 413 SW 15TH AVENUE CARVER PARK LOT 10 BLOCK 3 PCN 12 43 46 17 41 003 0100 CASE NO. RN11-21642 Lizzie McDowell 413 SW 15th Avenue Delray Beach, FL 33444 102.70 $ Invoice No. 37731 55.00 $ Admin Fee 157.70 $ VAC LOT ON ZEDER AVENUE SOUTHRIDGE LOT 22 BLOCK 10 PCN 12 43 46 20 13 010 0220 CASE NO. NA11-23131 Bradley and Pamela Brooks 139 Gregory Place West Palm Beach, FL 33405-5027 75.00 $ Invoice No. 37735 55.00 $ Admin Fee 130.00 $ VAC TRACT ON NW 18TH AVENUE NORJAC PAR A PCN 12 43 46 18 49 000 0010 CASE NO. NA12-24740 RBC Bank USA % Corporation Service Co, R/A 1201 Hays Street Tallahassee, FL 32301-2525 80.00 $ Inv. No. 37736 55.00 $ Admin Fee 135.00 $ ASSESSMENT VIOLATION IS: SECTION 100.01 –LAND TO BE KEPT FREE OF DEBRIS, VEGETATION, AND MATTER CONSTITUTESHAZARDS; DECLARED NUISANCE PDFConvert.14818.1.RES_NO._28-12.xls COST OF ABATING NUISANCES UNDER CHAPTER 100 OF THE CODE OF ORDINANCES PROPERTY DESCRIPTIONOWNER 712 AVENUE CHAUMONT CHATELAINE NO. 1 LOT 10 BLOCK 5 PCN 12 42 46 12 03 005 0100 CASE NO. NA11-22231 US BANK National Assoc. Tr. % Aldridge Connors LLC 7000 W. Palmetto Park Road #307 Boca Raton, FL 33433-3430 151.10 $ Invoice No. 37737 55.00 $ Admin Fee 206.10 $ 41 SW 7TH AVENUE TOWN OF DELRAY S 55 FT OF N 540 FT OF W 135 FT OF BLOCK 13 PCN 12 43 46 16 01 013 0070 CASE NO. RN12-24046 James Gross 3646 Blue Dawn Drive North Las Vegas, NV 89032 and James Gross 41 SW 7th Avenue Delray Beach, FL 33444 80.00 $ Invoice No. 37738 55.00 $ Admin Fee 135.00 $ 238 SW 6TH AVENUE TOWN OF DELRAY LOTS 32 AND 33 BLOCK 15 PCN 12 43 46 16 01 015 0320 CASE NO. NA11-22107 Advantage Plus Mortgage Inc. % Michael J. McGoey, Reg. Agt. 639 East Ocean Avenue #101 Boynton Beach, FL 33435 187.50 $ Invoice No. 37739 55.00 $ Admin Fee 242.50 $ 390 SE 2ND AVENUE TOWN OF DELRAY S 150 FT E OF RY BLOCK, 80 PCN 12 43 46 16 01 080 0140 CASE NO. NA12-23998 Right Angle Property, LLC % Corinne Fitzsimons, R/A 540 NW 11th Avenue Boca Raton, FL 33486-3458 80.00 $ Invoice No. 37741 55.00 $ Admin Fee 135.00 $ 586 NW 46TH AVENUE PINE TRAIL SEC 1 N 1/2 OF LOT 3 BLOCK 3 PCN 12 42 46 12 04 003 0031 CASE NO. NA11-21515 Eldert Boerckel Estate 525 NW 46th Avenue Delray Beach, FL 33445-2114 87.00 $ Invoice No. 37743 55.00 $ Admin Fee 142.00 $ ASSESSMENT VIOLATION IS: SECTION 100.01 –LAND TO BE KEPT FREE OF DEBRIS, VEGETATION, AND MATTER CONSTITUTESHAZARDS; DECLARED NUISANCE 2PDFConvert.14818.1.RES_NO._28-12.xls COST OF ABATING NUISANCES UNDER CHAPTER 100 OF THE CODE OF ORDINANCES PROPERTY DESCRIPTIONOWNER 1107 SW 7TH AVENUE RIDGEWOOD HEIGHTS DELRAY N 35 FT OF LOT 3 BLOCK D PCN 12 43 46 20 20 004 0032 CASE NO. RN11-22139 Pinot IV LLC Dept. 5193 P.O. Box 2153 Birmingham, AL 35297 97.85 $ Invoice No. 37740 55.00 $ Admin Fee 152.85 $ 702 SE 4TH AVENUE OSCEOLA PARK LOT 1 BLOCK 8 PCN 12 43 46 21 01 008 0010 CASE NO. NA12-23838 Edwina Jolly 702 SE 4th Avenue Delray Beach, FL 33483-3411 80.00 $ Invoice No. 37744 55.00 $ Admin Fee 135.00 $ 203 NW 5TH AVENUE PJB LLC PLAT LOT 2 PCN 12 43 46 17 63 000 0020 CASE NO. RN11-22333 Teresa Machado 12850 SW 189th Street Miami, FL 33177 100.00 $ Invoice No. 37745 55.00 $ Admin Fee 155.00 $ 120 SW 3RD AVENUE TOWN OF DELRAY S 23.5 FT OF LOT 11 AND LOT 12 OF N 1/2 OF BLOCK 38 PCN 12 43 46 16 01 038 0112 CASE NO. NA12-24008 Corine Meadows 120 SW 3rd Avenue Delray Beach, FL 33444 140.00 $ Invoice No. 37746 55.00 $ Admin Fee 195.00 $ 230 & 232 SW 12TH AVENUE ATLANTIC PARK GARDENS DELRAY LOT 20 BLOCK 4 PCN 12 43 46 17 18 004 0200 CASE NO. NA11-21625 ACME Real Estate Associates % John Foss 3140 Sherwood Blvd. Delray Beach, FL 33445 90.00 $ Invoice No. 37747 55.00 $ Admin Fee 145.00 $ ASSESSMENT VIOLATION IS: SECTION 100.01 –LAND TO BE KEPT FREE OF DEBRIS, VEGETATION, AND MATTER CONSTITUTESHAZARDS; DECLARED NUISANCE 3PDFConvert.14818.1.RES_NO._28-12.xls COST OF ABATING NUISANCES UNDER CHAPTER 100 OF THE CODE OF ORDINANCES PROPERTY DESCRIPTIONOWNER 607 SW 9TH STREET DELRAY MANOR ADD TO DELRAY E 20 FT OF LOT 106 & W 40 FT OF LOT 107 PCN 12 43 46 20 12 000 1061 CASE NO. NA11-21576 Eric Mc Cabe 2559 Webb Avenue #3 Delray Beach, FL 33444 80.00 $ Inovice No. 37748 55.00 $ Admin Fee 135.00 $ 4834 NW 6TH COURT PINE TRAIL SEC II E 1/2 OF LOT 12 BLOCK 3 PCN 12 42 46 12 08 003 0122 CASE NO. RN12-23651 Rodolphe Jozile 4899 NW 6th Street Delray Beach, FL 33445 80.00 $ Invoice No. 37749 55.00 $ Admin Fee 135.00 $ 1331 PROSPECT STREET JEFFERSON MANOR LOT 32 PCN 12 43 46 17 24 000 0320 CASE NO. NA11-20785 Erica Pleasanton and Keith Southworth 1331 Prospect Street Delray Beach, FL 33444 and Erica Pleasanton and Keith Southworth 1121 Green Creek Road Bakersville, NC 28705-9794 97.50 $ Invoice No. 37750 55.00 $ Admin Fee 152.50 $ 169 SE 6TH AVENUE TOWN OF DELRAY LOTS 16 THRU 18 (LESS W 5 FT) B BLOCK 118 PCN 12 43 46 16 01 118 0162 CASE NO. NA11-20989 Delray Townhomes, LLC %Leopold, Korn & Leopold, P.A. 20801 Biscayne Blvd. #501 North Miami Beach, FL 33180 191.50 $ Invoice No. 37751 55.00 $ Admin Fee 246.50 $ 430 SE 1ST AVENUE GRIFFIN GATE LOT 2-A PCN 12 43 46 21 61 000 0021 CASE NO. NA11-21018 Timothy H. Schnellenberger 542 13th Street West Palm Beach, FL 33401-2604 127.75 $ Invoice No. 37752 55.00 $ Admin Fee 182.75 $ ASSESSMENT VIOLATION IS: SECTION 100.01 –LAND TO BE KEPT FREE OF DEBRIS, VEGETATION, AND MATTER CONSTITUTESHAZARDS; DECLARED NUISANCE 4PDFConvert.14818.1.RES_NO._28-12.xls COST OF ABATING NUISANCES UNDER CHAPTER 100 OF THE CODE OF ORDINANCES PROPERTY DESCRIPTIONOWNER 801 SE 4TH AVENUE MODEL LAND COS SUB OF W 1/2 E 128.5 FT OF W 153 FT OF N 75 FT OF S 145 FT OF LOT 9 BLOCK 1 PCN 12 43 46 21 09 001 0220 CASE NO. NA11-22023 Regina Jolly 801 SE 4th Avenue Delray Beach, FL 33483 67.12 $ Invoice No. 37753 55.00 $ Admin Fee 122.12 $ 640 JAEGER DRIVE TROPIC PALMS PLAT NO. 1 LOT 184 PCN 12 43 46 29 02 000 1840 CASE NO. NA11-19796 Michael Longo 309 Gulfstream Drive Delray Beach, FL 33444 91.50 $ Invoice No. 37754 55.00 $ Admin Fee 146.50 $ 4874 NW 5TH STREET PINE TRAIL SEC II W 1.27 FT OF LOT 2 & LOT 3 (LESS W 41.27 FT) BLOCK 4 PCN 12 42 46 12 08 004 0021 CASE NO. NA12-24928 Shafraz Hassan 662 SW 3rd Avenue Boynton Beach, FL 33426 80.00 $ Invoice No. 37756 55.00 $ Admin Fee 135.00 $ ASSESSMENT VIOLATION IS: SECTION 100.01 –LAND TO BE KEPT FREE OF DEBRIS, VEGETATION, AND MATTER CONSTITUTESHAZARDS; DECLARED NUISANCE 5PDFConvert.14818.1.RES_NO._28-12.xls MEMORANDUM TO:Mayor and City Commissioners FROM:Jasmin Allen, Planner Paul Dorling, AICP, Director of Planning and Zoning THROUGH:City Manager DATE:June 14, 2012 SUBJECT:AGENDA ITEM 8.O. - REGULAR COMMISSION MEETING OF JUNE 19, 2012 REVIEW OF APPEALABLE LAND DEVELOPMENT BOARD ACTIONS ITEM BEFORE COMMISSION The action requested of the City Commission is revi ew of appealable actions which were taken by various Boards during the period of June 5, 2012 th rough June 15, 2012. BACKGROUND This is the method of informing the City Commission of the land use actions taken by designated Boards which may be appealed to the City Commission . After this meeting, the appeal period shall expire (unless the 10 day appeal period has not occ urred). Section 2.4.7(E), Appeals, of the LDRs applies. In summary, it provides that the City Comm ission hears appeals of actions taken by an approving Board. It also provides that the City Com mission may file an appeal. To do so: · The item must be raised by a Commission member. · By motion, an action must be taken to place the ite m on the next meeting agenda of the Commission as an appealed item. REVIEW BY OTHERS Site Plan Review and Appearance Board Meeting of Ju ne 13, 2012 A. Approved (7 to 0), a request for a color change for Rotelli Pizza & Pasta , located at the northeast corner of NE 5 th Avenue and East Atlantic Avenue (501 East Atlantic Avenue). B. Approved (7 to 0), a color change request for two s tructures located at 393 NE 5 th Avenue (southeast corner of NE 5 th Avenue and NE 4 th Street). C. Approved (7 to 0), a Class II site plan modificatio n, landscape plan and architectural elevations associated with the construction of a utility shed and modifications to the recreational facilities fo r The Franklin at Delray Beach , located on the west side of South Federal Highway , approximately 320 feet south of SE 10 th Street and north of the Plaza at Delray. D. Approved with conditions (7 to 0), a Class IV site plan modification, landscape plan and architectural elevations associated with the constr uction of a 23,740 square foot building addition and outdoor seating area at the Harbor Plaza , located at the northeast corner of South Federal Highway and Linton Boulevard. Concurrently, the Boa rd approved a waiver to Section 4.6.9(D)(3) (C)(1) reducing the stacking distance from the requ ired 50 feet to 21.4 feet for the parking facility that contains 51 or more parking spaces. E. Tabled (7 to 0), a Class I site plan modification a ssociated with the installation of accordion shutters for an existing commercial building locate d at 1501 North Federal Highway (east side of North Federal Highway, north of NE 14 th Street). F. Approved with condition (6 to 0, Rustem Kupi steppe d down), a Class II site plan modification associated with architectural elevations and landsc ape changes for an existing commercial building located at 814 NE 6 th Avenue (west side of NE 6 th Avenue, north of George Bush Boulevard). G. Approved with conditions (6 to 1, Alice Finst disse nting), a Class III site plan modification associated with the conversion of 4,104 sq. ft. vac ant restaurant and warehouse bay building to office for Top Stop Music Office Building , located at the southeast corner of SE 4 th Avenue and SE 1 st Street (101 SE 4 th Avenue). The landscape plan and architectural elev ations were approved on a 7 to 0 vote. H. Tabled (7 to 0), a Class V site plan, landscape pla n and architectural elevation plan associated with a 3-phase development for Village Square , located on the east side of Auburn Avenue between SW 7th Street and SW 10th Street. Phase I includes the construction of a 3-story senior citizen building containing 42 one-bedroom units and 42 two -bedroom units and a club house, pool, and putting green. Phase II includes the construction o f a clubhouse and six 3-story buildings with a mix of 6 one-bedroom units, 66 two-bedroom units, 4 8 three-bedroom units, and 24 four-bedroom units, (total of 144 units). Phase III includes the construction of 11 three-bedroom for-sale single- family homes and 14 three-bedroom for-sale duplex u nits. Historic Preservation Board Meeting of June 6, 2012 1. Approved with conditions (5 to 0, Annette Smith and Ana Maria Aponte absent), a request for a Certificate of Appropriateness associated with the installation of a new fence on a contributing property located at 418 NE 2 nd Avenue, Del Ida Park Historic District . 2. Approved (5 to 0), a Class II site plan modificatio n and a request for a Certificate of Appropriateness for the installation of three parki ng spaces and alterations to a non-contributing building, located at 20 West Atlantic Avenue, Old School Square Historic District . 3. Approved with conditions (5 to 0) a request for a C ertificate of Appropriateness and Master Sign Plan for a contributing, multi-tenant commercial bu ilding located 44 East Atlantic Avenue,Old School Square Historic District . No other appealable items were considered by the Hi storic Preservation Board. The following item which was considered by the Board will be forwarded to the City Commission for action: 4. Recommend to the City Commission approval of the final Tax Exemption application for the new construction of an accessory structure on a contrib uting property located at 109 Fern Court, Del Ida Park Historic District. RECOMMENDATION By motion, receive and file this report. Attachment: Location Map MEMORANDUM TO:Mayor and City Commissioners FROM:Michael Vinci, Planner Paul Dorling, AICP, Director of Planning and Zoning THROUGH:City Manager DATE:June 13, 2012 SUBJECT:AGENDA ITEM 9.A. - REGULAR COMMISSION MEETING OF JUNE 19, 2012 APPEAL OF SITE PLAN REVIEW AND APPEARANCE BOARD ACTION: FIRESTONE AT DELRAY ITEM BEFORE COMMISSION The action requested of the City Commission is cons ideration of an appeal of the Site Plan Review and Appearance Board's (SPRAB) denial of a Class I site plan and architectural elevation change for Firestone, located at 5190 W. Atlantic Avenue. At its meeting of April 25, 2012, the Site Plan Rev iew and Appearance Board (SPRAB) considered a Class I site plan modification, and architectural e levations changes associated with the replacement o f existing service bay doors for Firestone. The exist ing doors are glass panel, and the proposed doors a re industrial steel. The SPRAB tabled the proposal wit h the direction that the applicant provide a door design that is less industrial in appearance. At it s meeting of May 9, 2012, the SPRAB reviewed the alternative design presented by the applicant which contained a more decorative appearance. The Board felt that the proposed design was still too industr ial and was not compatible giving the site visibili ty from Atlantic Avenue, and denied the proposal (0-5).The applicant submitted an appeal request on May 16, 2012. This request is being processed pursuant to LDR Sec tion 2.4.7(E)[Appeals]. BACKGROUND The subject property, which is located on the south side of West Atlantic Avenue approximately 645 ’ feet west of Military Trail, was developed in Palm Beach County and annexed into the City of Delray Beach in April 1991 per Ordinance #7-91. The 7,072 sq. ft. building, which was built in 1985, contains an automobile repair service center (Firestone). Th e applicant now is seeking to replace the four (4) glass service bay doors which face Atlantic Avenue. On April 25, 2012, the Site Plan Review and Appeara nce Board (SPRAB) tabled a proposal to replace the existing service bay doors for Firestone. At it s meeting of May 9, 2012, the SPRAB reviewed an alternative design and unanimously denied the propo sal. APPEAL On May 16, 2012, Douglas E. Farley (Firestone) file d an appeal with the City Clerk’s office. The appeal lists the following grounds for overturning the SPR AB denial: 1. The existing full vision glass service bay do ors do not comply with Florida Building Code due to hurricane wind load restrictions. The only availabl e commercial service bay doors that comply with Florida Code are solid steel service bay doors. 2. The solid steel service bay doors are in conf ormity with good taste, good design and appearance with typical service bay doors commonly used at aut o service centers located in South Florida. 3. The existing full vision glass service bay do ors are in excess of thirty years old; they no long er conform to hurricane wind load requirements, and re present a serious safety concern for our customers and teammates. 4. Our other Delray Beach Firestone store locate d at 217 SE 6th Avenue was reviewed before the same SPRAB meeting on May 19, 2012, and was approve d for new solid steel service bay doors exactly like the doors proposed for our 5190 W. Atlantic Av enue store. 5. The Goodyear store located at 4715 W. Atlanti c Avenue, and not more than one half mile from our W. Atlantic store, has solid blue steel service bay doors in accordance with Florida Building Code and therefore we should be permitted to use the same ty pe of service bay doors (see enclosed photo). 6. Our normal operating hours are from 7:00 AM t o 7:00 PM each day, during these hours the service bay doors remain open and are not visible. “In conclusion, it is our professional opinion that the SPRAB did not take into consideration the State of Florida Building Code, and thus rejected our propos al based upon their desire to have the service bay doors contain some amount of glass in direct confli ct with the Florida Building Code. Enclosed is a photo of the existing service bay doors, and an art ist rendering of the new solid steel service bay do ors for consideration, and ask that the recommendation of denial by the Board be overturned.” The Board did take the State of Florida Building Co de into consideration when rendering their decision and requiring service doors with some amount of gla ss is not in direct conflict with the Florida Build ing Code. The Board felt that there were less industria l alternatives, including glass doors containing im pact glass, that are more appropriate given the site's h igh visibility along a major arterial (West Atlanti c Avenue). Some examples are attached as Exhibit A. F urther, the applicant also references recent approvals at 217 SE 6th Avenue as reasons to suppor t a more industrial application. While a more aesthetically pleasing door would have been more de sirable at that location, the Board approved the more industrial alternative as these doors face nor th and are not directly visible from SE 6th Avenue. In fact as SE 6th Avenue is northbound only, they are not visible to passing traffic unless you view them in your rear view mirror. Given these factors, Staff b elieves the SPRAB’s denial was appropriate for 5190 W. Atlantic Avenue and the applicant should avail h imself of other less industrial options. RECOMMENDATION Deny the appeal, upholding the SPRAB’s decision and provide direction that the applicant provide a more aesthetically pleasing door (less industrial) that meets Florida Building Code requirements. IN THE CITY COMMISSION CHAMBERS OF THE CITY OF DELRAY BEACH, FLORIDA ORDER OF THE CITY COMMISSION OF THE CITY OF DELRAY BEACH, FLORIDA ON THE APPEAL OF THE SPRAB 05/09/12 DENIAL OF A CLA SS I SITE PLAN AND ARCHITECTURAL ELEVATIONS ASSOCIATED WITH THE REPLAC EMENT OF SERVICE DOORS FOR FIRESTONE COMPLETE AUTO CARE STOR E, LOCATED AT 5190 W. ATLANTIC AVENUE 1. This is an appeal of the May 9, 2012 decision by th e Site Plan Review and Appearance Board (“SPRAB”) denying Class I Site Plan a nd Architectural Elevation change associated with the Firestone Complete Auto Care store, located at 5190 W. Atlantic Avenue, which came before the City Commission a t its meeting on June 19, 2012. 2. The Appellants, Appellee and City staff presented documentary evidence and testimony to the City Commission pertaining to the appeal of the denial of a Class I Site Plan and Architectural Elevation change associated w ith the Firestone Complete Auto Care store. Required findings are made in accorda nce with Subsection I. I. LDR REQUIREMENTS FOR ARCHITECTURAL ELEVATIONS: A. Pursuant to LDR Section 4.6.18(E), (1) the propose d structure is in conformity with good taste, good design, and in genera l contributes to the image of the City as a place of beauty, spaciousness, harmony, taste, fi tness, broad vistas, and high quality; (2) the proposed structure is in its exterior d esign and appearance of quality such as not to cause the nature of the local environment or evolving environment to materially depreciate in appearance and value; (3) th e proposed structure is in harmony with the proposed developments in the general area, w ith the Comprehensive Plan, and with the supplemental criteria which may be set forth f or the Board from time to time. Has this requirement been met? Yes ______ No ______ 4. The City Commission has applied the Comprehensive P lan and LDR requirements in existence at the time the original site plan was submitted. 5. The City Commission finds there is ample and compete nt substantial evidence to support its findings in the record submitted and adopts the facts contained 2 in the record including but not limited to the staff r eports, testimony of experts and other competent witnesses supporting these findings. 6. Based on the entire record before it, the City Co mmission approves ____ denies ____ the appeal. The City Commission hereby adopts this Order this 19th d ay of June, 2012, by a vote of _____ in favor and _____ opposed. ATTEST: ________________________________ Nelson S. McDuffie, Mayor ____________________________ Chevelle Nubin City Clerk MEMORANDUM TO:Mayor and City Commissioners FROM:Lula Butler, Director, Community Improvement THROUGH:David Harden, City Manager DATE:June 13, 2012 SUBJECT:AGENDA ITEM 9.B. - REGULAR COMMISSION MEETING OF JUNE 19, 2012 SELECTION OF A SOLID WASTE COLLECTION SERVICES PROV IDER ITEM BEFORE COMMISSION City Commission consideration of and direction to s taff regarding selection of a Solid Waste Collectio n Services provider for the City. BACKGROUND The City has previously received a proposal from Wa ste Management, our current solid waste collection franchise holder, for renewing their fra nchise. A copy of the detailed proposal is attache d. The Commission has had this proposal since February , but has taken no action on it. Waste Management's franchise from the City will exp ire on September 30, 2013. The City may either elect to renew the franchise with Waste Management or issue a Request for Proposals (RFP). If the Commission wishes to issue an RFP, then staff needs to begin work on preparing the RFP. This much lead time is required because of the complexity of the RFP, the complexity of evaluating RFP responses for solid waste collection, and the lead time requi red by a company to purchase all the equipment and hire employees necessary to serve a city the size o f Delray Beach. Also attached is the February 21, 2012 agenda memo, which includes a detailed summary analysis of ten (10) municipal franchise agreements that were e ither renewed or awarded within the past two (2) years. The third attachment is a comparison of eig ht cities using Delray Beach volumes which shows that our current rates generate less revenue for th e franchise holder than the rates in effect in any of the other seven cities. Cities with lower single famil y rates have shifted costs to multi-family or commercial customers. These comparisons are given as a reference in response to the proposal from Waste Management to renew the current Franchise Agr eement. The proposal was for an option of either a 5-, 8- or 10-year franchise. The previous agenda memorandum, dated February 15, 2012, also details the changes associated with an extension. This item was scheduled for the Febr uary 21, 2012 City Commission meeting, but the item was subsequently removed. RECOMMENDATION City Commission discretion. MEMORANDUM TO:Mayor and City Commissioners FROM:David T. Harden, City Manager DATE:June 15, 2012 SUBJECT:AGENDA ITEM 9.C. - REGULAR COMMISSION MEETING OF JUNE 19, 2012 DESIGNATION OF VOTING DELEGATE ITEM BEFORE COMMISSION The 86th Annual Conference of the Florida League of Cities will be held at Westin Diplomat in Hollywood, Florida on August 23-25, 2012. The League encourages each member city to send as m any delgates as possible to the conference, and also requests that each city designate one of its o fficials to cast votes at the Annual Business Sessi on. League By-Laws require that each city select one person to serve as the city's voting delegate. Municipalities do not need to adopt a resoution to designate a voting delegate. BACKGROUND Last year Commissioner Gray was selected as the vot ing delgate. The Mayor, a Commissioner, or the City Manager may be designated to serve in that cap acity. RECOMMENDATION Recommend designation of a voting delegate to cast votes on behalf of the City of Delray Beach at the Annual Business Session of the Florida League of Ci ties. MEMORANDUM TO:Mayor and City Commissioners FROM:David T. Harden, City Manager DATE:June 13, 2012 SUBJECT:AGENDA ITEM 9.D. - REGULAR COMMISSION MEETING OF JUNE 19, 2012 APPOINTMENTS TO THE DOWNTOWN DEVELOPMENT AUTHORITY ITEM BEFORE COMMISSION This item is before the City Commission for appoint ments to the Downtown Development Authority. BACKGROUND The terms for regular members Mr. Fran Marincola an d Mr. David Cook will expire on July 1, 2012. Mr. Marincola will have served two (2) full terms and is not eligible for reappointment. Mr. Cook wil l have served one (1) full term, is eligible and woul d like to be considered for reappointment. Appointments are needed for two (2) regular members to serve three (3) year terms ending July 1, 2015. To qualify for appointment, a prospective member mu st reside in or have his or her principal place of business in the City, and shall not be serving as a City officer or employee. There is a requirement t hat at least four of the members must be owners of real estate withi n the downtown area, a lessee thereof required by the lease to pay taxes thereon, or a di rector, officer or managing agent of an owner or of a lessee thereof so required to pay taxes thereon. A map of the Downtown Development Authority Boundary is included for your review. Currently serving on the Downtown Development Autho rity and meeting ownership and tax payment qualifications are Mr. Fran Marincola, Mr. Seabron Smith, Mr. Albert Richwagen and Mrs. Nancy Stewart-Franczak. The following individuals have submitted applicatio ns and would like to be considered for appointment: (See Exhibit “A” attached) A check for code violations and/or municipal liens was conducted. None were found. Voter registration verification was completed and all are registered. Based on the rotation system, the appointments will be made by Commissioner Frankel (Seat #3) and Commissioner Gray (Seat #4) for two (2) regular mem bers to serve on the Downtown Development Authority for three (3) year terms ending July 1, 2 015. RECOMMENDATION Recommend appointment of two (2) regular members to serve three (3) year terms ending July 1, 2015, at least one of whom meets the tax qualification .. DOWNTOWN DEVELOPMENT AUTHORITY (DDA) 85 SE 4 th Avenue, Suite #108 Delray Beach, FL 33483 3 year term 07/11 TERM EXPIRES REGULAR MEMBERS 07/01/2014 Appt 06/21/11 Albert Richwagen *Tax qualification 07/01/2014 Appt 07/05/11 Ryan Boylston 07/01/2012 Appt 06/20/06 Reappt 06/16/09 Fran Marincola, Chair *Tax qualification 07/01/2014 Appt 08/05/08 Reappt 06/21/11 Diane Franco, Secretary 07/01/2012 Unexp Appt 05/15/07 Reappt 07/07/09 David Cook, Treasurer *Tax qualification 07/01/2014 Reappt 06/21/11 Reappt 07/01/08 Unexp Appt 07/11/06 Nancy Stewart-Franczak *Tax qualification 07/01/2013 Unexp Appt 07/21/09 Reappt 07/06/10 Seabron Smith *Tax qualification DOWNTOWN DEVELOPMENT AUTHORITY EXHIBIT “A” David Beale Attorney Tax Qualification Bonnie Beer Restaurateur/Business Owner Tax Qualification David Cook Sales/Vic President Incumbent Mark Denkler Sales-Business Owner Tax Qualification Pearl Markfield Elrod Realtor (also applying for the Delray Beach H ousing Authority) Kenneth Peltzie Self-employed Harold Van Arnem Principal/Developer MEMORANDUM TO:Mayor and City Commissioners FROM:David T. Harden, City Manager DATE:June 13, 2012 SUBJECT:AGENDA ITEM 9.E. - REGULAR COMMISSION MEETING OF JUNE 19, 2012 APPOINTMENT TO THE DELRAY BEACH HOUSING AUTHORITY ITEM BEFORE COMMISSION This item is before the City Commisison for an appo intment to the Delray Beach Housing Authority. BACKGROUND The term for regular member, Mr. Joseph Hepp, will expire on July 14, 2012. Mr. Hepp will have served an unexpired term, is eligible and would lik e to be considered for reappointment. Appointment i s needed for one (1) regular member. Per Florida Statute, Chapter 421, an appointee may not be an officer or employee of the City. The following individuals have submitted applications a nd would like to be considered for appointment: (See Exhib it “A” attached) A check for code violations and/or municipal liens was conducted. None were found. Voter registration verification was completed and all are registered. According to Florida Statutes, members are appointe d by the Mayor and ratified by the Commission. However, at the City Commission meeting of June 5, 1991, a consensus was reached whereby each Commissioner would, on an informal bas is and according to the rotation procedure, make a recommendation to the Mayor as to the Housing Aut hority appointees. Based on this system, the recommendation/appointmen t will be made by Commissioner Carney (Seat #1) for one (1) regular member to serve a four (4) year term ending July 14, 2016. RECOMMENDATION Recommend appointment of one (1) regular member to serve a four (4) year term ending July 14, 2016. DELRAY BEACH HOUSING AUTHORITY 4 YEAR TERM 600 N. Congress Avenue, Suite 310B Delray Beach, FL 33445 04/12 TERM EXPIRES REGULAR MEMBERS 07/14/2012 Unexpired Appt 10/21/08 Joseph Hepp, Chair 07/14/2014 Unexp Appt 10/04/11 Marcia Beam 07/14/2014 Unexp Appt 07/10/07 Reappt 07/06/10 Sylvia Morris 07/14/2013 Appt 07/07/09 Shelly Petrolia 10/27/2015 Appt 11/6/07 Reappt 10/04/11 Christel Silver, Vice Chair 03/06/2014 Unexp Appt 10/05/10 Guarn Sims 07/14/2014 Unexp Appt 05/19/09 Reappt 07/06/10 Choli Aronson DELRAY BEACH HOUSING AUTHORITY EXHIBIT A Joseph Bernadel Nayda Cottone-Ovadia (currently serving on the Nuisance Abatement Board ) Edward Desmond Irene Frazier Joseph Hepp Incumbent Pearl Markfield Elrod (also applying for the Downtown Development Authori ty) Tonya McCollin Cajuste Morris Weinman MEMORANDUM TO:Mayor and City Commissioners FROM:David T. Harden, City Manager DATE:June 13, 2012 SUBJECT:AGENDA ITEM 9.F. - REGULAR COMMISSION MEETING OF JUNE 19, 2012 APPOINTMENTS TO THE CIVIL SERVICE BOARD ITEM BEFORE COMMISSION This item is before the City Commission for appoint ments to the Civil Service Board. BACKGROUND The terms for regular member Ms. Carol Anderson and alternate member Ms. Carol Clark will expire on July 1, 2012. There is an additional vacancy for a regular member due to the passing of Mr. Sidney Grossman. Ms. Anderson will have served one (1) ful l term and would not like to be considered for reappointment. Ms. Clark will have served one (1) f ull term, is eligible and would like to be consider ed for reappointment. Please note that Ms. Clark would like to be considered for regular membership. Appointments are needed for two (2) reg ular members and one (1) alternate member. However, only two (2) appointments will be made because there are only two (2) applicants at this time. According to the Civil Service Act, there are to be five (5) regular members on the Civil Service Boar d; three (3) of which are to be of different vocations or vocational backgrounds, not employed by the Cit y in any capacity, official or otherwise and appointe d by the City Commission. Eligible City employees elect two (2) regular members. In addition, there a re two (2) alternate members. The appointee need no t be a resident, property owner or business owner wit hin the City. The following individual has submitted an applicati on and would like to be considered for appointment: Name Background Carol Clark Retired/Accounting Cle rk Incumbent Keith Sonderling Attorney A check for code violations and/or municipal liens was conducted. None were found. Voter registration verification was completed and all are registered. Based on the rotation system, the appointments will be made by Commissioner Frankel (Seat #3) and Commissioner Gray (Seat #4) for two (2) regular mem bers to serve two (2) year terms ending July 1, 2014. RECOMMENDATION Recommend appointments of two (2) regular members t o serve two (2) year terms ending July 1, 2014. CIVIL SERVICE BOARD 04/12 TERM EXPIRES REGULAR MEMBERS CURRENT OCCUPATION 07/01/2012 Appt 07/06/10 Carol Anderson Educator 07/01/2014 Vacant 04/01/2013 Appt 04/05/11 Larry Zalkin Financial Advisory 04/29/2013 Elected 04/27/05 Re-elected 04/26/06 Re-elected 04/26/07 Re-elected 04/30/08 Re-elected 04/30/09 Re-elected 04/29/10 Re-elected 04/28/11 Re-elected 04/25/12 Jennifer Reynolds, Chairperson Network Engineer 04/29/13 Elected 04/25/12 Chassler Holm Utility Maintenance Supervisor ALTERNATES 07/01/2012 Appt 07/06/10 Carol Clark Retired/Accounting Clerk 04/29/2013 Elected 04/25/12 Michael Vinci Planner S/City Clerk/Board 12/Civil Service MEMORANDUM TO:Mayor and City Commissioners FROM:David T. Harden, City Manager DATE:June 13, 2012 SUBJECT:AGENDA ITEM 9.G. - REGULAR COMMISSION MEETING OF JUNE 19, 2012 APPOINTMENTS TO THE NEIGHBORHOOD ADVISORY COUNCIL ITEM BEFORE COMMISSION This item is before the City Commission for appoint ments to the Neighborhood Advisory Council. BACKGROUND There are vacancies on the Neighborhood Advisory Co uncil due to the resignations of regular members Mr. David Stein (Zone 5) and student member Ms. And rea Poveda. Ms. Shirl Fields (Zone 3) also resigned because she moved and was no longer residi ng in her appointed zone. These appointments will be for two (2) regular members to serve the unexpir ed terms plus the following regular terms ending July 31, 2015. There are no student applicants at t his time. The Neighborhood Advisory Council was established f or the purpose of maintaining broad-based community involvement with the residents, creating neighborhood outreach initiatives, enhancing communication, improving the aesthetics of the neig hborhoods and identifying any potential threats to the stability of the neighborhoods. The Council consists of fifteen (15) regular and tw o (2) student members. Twelve (12) members are residents with two (2) selected from each of the si x neighborhood zones, and three (3) at large representatives, who may be selected from a communi ty civic organization or business owner located within a neighborhood zone interested in the enhanc ement of its surrounding neighborhoods. A map of the appointment zones is included for your review. The following individuals have submitted applicatio ns for consideration: (Applicants are listed by zones; however, the applications are in alphabetica l order.) (See Exhibit “A” Attached) Based on the rotation system, the appointments will be made by Mayor McDuffie (Seat #5) and Commissioner Carney (Seat #1) for one (1) regular m ember each from Zone 3 and Zone 5 to serve unexpired terms plus three (3) year terms ending Ju ly 31, 2015. RECOMMENDATION Recommend appointment of two (2) regular members to serve an serve an unexpired plus three (3) year terms ending July 31, 2015. 06/12 NEIGHBORHOOD ADVISORY COUNCIL TERM EXPIRES DISTRICT NAME 07/31/13 Unexp Appt 11/16/10 Zone 1 Susan Sims 07/31/14 Appt 09/06/11 Zone 2 Stephen Lampel 07/31/13 Unexp Appt 10/17/06 Reappt 10/16/07 Reappt 10/19/10 Zone 3 Linda Laurence Leib 07/31/13 Appt 10/19/10 Zone 4 Suzanne Donohue 07/31/14 Unexp 03/03/08 Reappt 10/07/08 Reappt 07/19/11 Zone 5 Gail-Lee McDermott 07/31/14 Unexp Appt 02/20/07 Reappt 10/07/08 Reappt 07/19/11 Zone 6 Linda Prior 07/31/14 Unexp Appt 06/05/12 Zone 1 Mark Behar 07/31/14 Unexp Appt 04/03/12 Zone 2 Colson Zulmar 07/31/12 Unexp Appt 10/20/09 Zone 4 Isabel Make 07/31/15 Unexp Appt Zone 4 Vacant 07/31/15 Unexp Appt Zone 5 Vacant 07/31/15 Unexp Appt 06/05/12 Zone 6 Adam Reback 07/31/14 Uenxp Appt 02/03/09 Reappt 07/19/11 At Large Representative William Milner, 2 nd Vice Chair 07/31/14 Appt 08/02/11 At Large Representative Lee Cohen 07/31/12 Appt 10/06/09 At Large Representative Margherita Downey 07/31/12 Student Vacant 07/31/12 Student Vacant Board 12/Neighborhood Advisory Council NEIGHBORHOOD ADVISORY COUNCIL EXHIBIT A Applicant Subdivision Zone 3 Mary Minieka (currently serving on the Public Art Advisory Board) Linton Lakes Wendy Smith Rabbit Hollow Zone 5 Pearl Markfield Elrod Town of Delray Dorothy Payne South Bay MEMORANDUM TO:Mayor and City Commissioners FROM:David T. Harden, City Manager DATE:June 13, 2012 SUBJECT:AGENDA ITEM 9.H. - REGULAR COMMISSION MEETING OF JUNE 19, 2012 APPOINTMENT TO THE FINANCIAL REVIEW BOARD ITEM BEFORE COMMISSION This item is before the City Commission for an appo intment to the Financial Review Board. BACKGROUND There is a vacancy on the Financial Review Board fo r one (1) alternate member due to the resignation of Mr. David Stein. The term is unexpired ending Ju ly 31, 2013. An appointment is needed for one alternate member. On October 6, 2009, the Delray Beach City Commissio n adopted Resolution No. 55-09 establishing the Budget Review Committee to review the City’s budget, systems and procedures, technology improvements, or related materials and concepts and make recommendations regarding revenues, salaries and benefits, operating expenses, debt ser vice expenses, capital outlay, grants to other enti ties and transfers to other funds or any other items tha t may favorably impact the City’s budget and overall financial condition. The Commission later adopted Resolution No. 58-09 which renamed the committee as the Financial Review Board with the expanded res ponsibilities of analysis of revenues and expenses and business practices and processes. Resolution No . 05-11 provided further amendments to clarify that the Board’s duties shall fall under the direction of the City Manager or the City Commission and to restrict the membership of the Board. The Financial Review Board shall consist of nine (9 ) members. Five (5) seats on the Board must be filled with a certified public accountant, accounti ng professional, finance professional, certified financial planner, investment advisor, insurance pr ofessional (property/casualty or health), business owner/manager/officer and someone with an MBA or MP A degree. The remaining four (4) members may be at large. The following individuals have submitted applicatio ns and would like to be considered for appointment: Applicants with experience in the professions requi red: Jeremy Office Associate Dir ector/Wealth Management Advisor MBA Applicants interested in being an at -large member: Patricia Maguire Public Relati ons/Editor A check for code violations and/or municipal liens was conducted. None were found. Voter registration verification was completed and they are registered. Based on the rotation system, the appointment will be made Commissioner Gray (Seat #4) for one (1) alternate member to serve an unexpired term ending July 31, 2013. RECOMMENDATION Recommend appointment of one (1) alternate member t o serve an unexpired term ending July 31, 2013. FINANCIAL REVIEW BOARD 06/12 TERM EXPIRES REGULAR MEMBERS OCCUPATION 07/31/12 Unexp Appt 03/20/12 Brian Anderson Director of Communications 07/31/14 Unexp Appt 06/05/12 + 2 Yrs RosaTorres-Tumazos Business Strategy Consultant 07/31/13 Unexp Appt 04/05/11 Reappt 06/21/11 John Hallahan, Chair Assistant Director of Operations/Retired P.E. MBA 07/31/12 Unexp Appt 01/17/12 Brian Wood Director/Senior Manager-Finance 07/31/13 Appt 11/03/09 Reappt 6/21/11 Christina Morrison, Chair Realtor 07/31/13 Unexp Appt 06/05/12 Alan Weitz Banking 07/31/12 Appt 07/20/10 Luise Piane Executive Management ALTERNATES 07/31/13 Unexp Appt 01/03/12 Warren Trilling Business Development Manager CPA 07/31/13 Unexp Appt Vacant MEMORANDUM TO:Mayor and City Commissioners FROM:David T. Harden, City Manager DATE:June 12, 2012 SUBJECT:AGENDA ITEM 10.B. - REGULAR COMMISSION MEETING OF JUNE 19, 2012 ORDINANCE NO. 16 -12 ITEM BEFORE COMMISSION This ordinance is before Commission for second read ing to consider an amendment to Chapter 33 “Police and Fire-Rescue Departments”, subtitle "Pen sions", Section 33.60, “Definitions”, Section 33.61, “Membership Conditions of Eligibility; Application”; Section 33.62, “Benefit Amounts and Eligibility”; Section 33.63, “Optional Forms of Benefits”; Sectio n 33.64, “Contributions”; Section 33.65, “Administration”; Section 33.66, “Finances and Fund Management”; Section 33.689, “Retirement Benefit Enhancement”; Section 33.70, “Direct Transf ers of Eligible Rollover Distributions”; and creating Section 33.73, “Termination of the System”, to implement and comply with Chapter 2009- 97, Laws of Florida; Chapter 2011-216; and the Internal Revenue Code; and to comply w ith a court decision. BACKGROUND At the first reading on June 5, 2012, the Commissio n passed Ordinance No. 16-12. The attached Ordinance incorporates the provision options agreed to by the Commission on June 5. RECOMMENDATION Recommend approval of Ordinance No. 16-12 on second and final reading. ORDINANCE NO. 16-12 AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF DELRAY BEACH, FLORIDA, AMENDING CHAPTER 33 "POLICE AND FIRE-RESCUE DEPARTMENTS", SECTION 33.60, "DEFINITIONS"; SECTION 33.61, "MEMBERSHIP CONDITIONS OF ELIGIBILITY; APPLICATION"; SECTION 33.62, "BENEFIT AMOUNTS AND ELIGIBILITY"; SECTION 33.63, "OPTIONAL FORMS OF BENEFITS"; SECTION 33.64, "CONTRIBUTIONS"; SECTION 33.65, "ADMINISTRATION"; SECTION 33.66, "FINANCES AND FUND MANAGEMENT"; SECTION 33.689, "RETIREMENT BENEFIT ENHANCEMENT"; SECTION 33.70, “DIRECT TRANSFERS OF ELIGIBLE ROLLOVER DISTRIBUTIONS”; AND CREATING SECTION 33.73, "TERMINATION OF THE SYSTEM", TO IMPLEMENT AND COMPLY WITH CHAPTER 2009-97, LAWS OF FLORIDA; CHAPTER 2011- 216; AND THE INTERNAL REVENUE CODE; AND TO COMPLY WITH A COURT DECISION; PROVIDING A SAVING CLAUSE, A GENERAL REPEALER CLAUSE, AND AN EFFECTIVE DATE. WHEREAS, the City Commission desires to amend the City Polic e And Firefighters Retirement System as set forth in Chap ter 33 of the City Code to implement certain provisions of Chapter 2009-97, Laws of Florida; Chapter 2011-216, Laws of Florida; the Internal Revenue Code; and the decision of the court in State of Florida Dept. Mgt. Svs. v. City of Delray Beach, Florida, 40 So. 3d 835 (Fla. 1 st DCA 2010). BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY O F DELRAY BEACH, FLORIDA, AS FOLLOWS: Section 1. That Chapter 33, “Police and Fire-Rescue Departments”, Secti on 33.60 “Definitions”, of the Code of Ordinances of the City of Delray Beach is hereby amended to read as follows: Sec. 33.60. - DEFINITIONS. For the purpose of this subchapter, the following de finitions shall apply unless the context clearly indicates or requires a different meaning. 2 Ord No. 16-12 Average monthly earnings. One thirty-sixth of the arithmetical average for th e highest consecutive thirty-six-month period precedi ng the actual retirement or termination of a member; provided, however, the benef it derived shall not be less than the benefit that would have been paid based on a defini tion of average monthly earnings of one twenty-fourth of the arithmetical average for the highest consec utive twenty-four-month period, as calculated prior to the effective date of Ordinance No. 17-04. In addition to other applicable limitations set for th in the plan, and notwithstanding any other provisions of the plan to the contrary, for the plan years beginning on or after January 1, 1996, the annual c ompensation of each Member taken into account under the plan shall not exceed the annual compensation limit of Section 401(a)(17)(B) of the Internal Revenue Code, as amen ded for cost of living increases, which is incorporated herein by reference. Earnings. Prior to October 1, 2006, earnings shall me an base Basic wages paid to a member, including state education compensation , police basic education and police and fire career education compensation, but excluding overtim e, bonuses and any other payments. Effective October 1, 2006, earnings for firefight er members shall mean base wages paid to the member including state education compe nsation and fire career education compensation, but excluding overtime, bonu ses and any other payments. Effective October 1, 2006, earnings for police officer m embers, shall mean base wages paid to the member including state education compen sation, police basic education, police career education compensation and up to twen ty-five (25) hours of overtime compensation per fiscal year, but excluding bonuses and any other payme nts. Section 2. That Chapter 33, “Police and Fire-Rescue Departments”, Sec tion 33.61, “Membership, Conditions of Eligibility; Application”, of the Code of Ordinances of the City of Delray Beach is hereby amended to read as follows: Sec. 33.61- MEMBERSHIP; CONDITIONS OF ELIGIBILITY; APPLICATION. (A) Conditions of eligibility. (1) Employees, as defined in Section 33.60, who are covered under the retirement program provided under F.S. Chapters 175 and 185, as of the effective date, shall become members of this system. 3 Ord No. 16-12 (2) Any employee who is a member of the City's retiremen t plan for general employees at the time of adoption of this retiremen t system may become a member of this system provided he elects to transfer his employee contribution account from the retirement plan for general employees to this system, which he is authorized to do by this subchapter, and provided he also deposits to the Trust Fund, on the basis of procedures established by the Board of Trustees, an amount equal to the additional moneys he would have contributed had he always be en covered under F.S. Chapters 175 and 185, plus interest in an amount to be determined by the Board. (3) Any other employee shall, as a condition of employment, become a member upon employment, provided that: (a) The employee satisfactorily completes all required medi cal examinations for an emp loyee of his classification, including any examination prescribed by the Board; and (b) The employee meets all requirements of the Civil Servic e Board of the City. However, for purposes of disability benefits hereunder , the Board may declare anyone becomi ng a member under subsection (A)(3) of this Section to be permanently ineligible, but only at t he time of initial membership, and only in the event that any medical examination under subsection (A)(3)(a) of this Section reveals a cond ition or symptom which has previously been determined by the Board to render members not eligible for disability. A determination by the Board as to disqualifyi ng conditions and symptoms must be reflected in prior Board minutes, and a declaration of a member's ineligibility mus t be recorded in the Board's minutes and noted on the member's application form. (B) Application. Each eligible employee shall complete an application form covering the following points, as well as any other points or i tems as may be prescribed by the Board. (1) The employee's acceptance of the terms and conditio ns of the retirement system, including an initialing of any declaration of ineligibility for disability benefits; (2) The employee's designation of a beneficiary; and (3) Authorization of a seven and thirty thr ee hundredths (7.33) percent payroll 4 Ord No. 16-12 deduction payable to the system, effective October 1, 1989 in the amount provided for in Section 33.64 (A). (C) Change in Designation of Beneficiary. (1 ) A member, including a member who has elected to p articipate in the Deferred Retirement Option Plan pursuant to Section 33.685, shall designate the joint pensioner annuitant or beneficiary to receive the benefit, if any, pay able under the plan in the event of the member's death, on a form provi ded by the Board of Trustees. (2) The member may revoke or change the designation of a joint pensioner annuitant or beneficiary at any time prior to the commenceme nt of retirement income or benefits, or prior to the member's entry into th e Deferred Retirement Option Plan , by submitting such change in writing on a form provi ded by the Board of Trustees. (3) A retired member, including a retired member who retired prior to the effective date of this ordinance [December 31, 1999 ], is a participant in the Deferred Retirement Option Plan may also change the designation of the member's a joint pensioner annuitant or beneficiary after the commencement of retirement income or benefits up to two times without the approval of the Board of T rustees. Any additional changes must be approved by the Board of Trustees. A retiree need not provide proof of the good health of the joint annuitant or benefici ary being removed, and the joint annuitant or beneficiary being removed need not be living. The conse nt of the retiree's joint annuitant or beneficiary to any change in such designatio n shall not be required. subject to approval by the Board of Trustees, and in accordanc e with the following: (1) The member must pay the full cost of determining the equivalent a ctuarial value of the benefit payable. (2) The consent of a member’s joint pensi oner or beneficiary to any such change in such designation shall not be required. (3) The amount of retirement income payable to the member upon the designation of a new joint pensioner annuitant shall be actuarially redetermined, taking into account the benef its already received by the member, and the age and sex of the former joint pensioner , annuitant the new joint pensioner annuitant and the member. (4) Each designation of a joint pensioner annuitant or beneficiary shall be made in writing on a form provided by the Board of Trustees. (5) Upon a change in designation of joint pensioner annuitant or beneficiary, the rights of all previously designated joint pensioner annuitants or beneficiaries to receive any benefit under the system shall cease. 5 Ord No. 16-12 Section 3. That Chapter 33, “Police and Fire-Rescue Departments”, Sec tion 33.62, “Benefit Amounts and Eligibility”, of the Code of Ordinances of t he City of Delray Beach is hereby amended to read as follows: * * * * (J) Required Payment of Pension Benefits. Pension benefits shall begin no later than April 1 of the calendar year following the calendar year in which the member retires, or in which the member attains age seventy and one-half (70 1/2), even if the member has not filed a claim for pension benefits. In addition, payment of benefits shall be made in accordance with the applicable provisions of Section 401(a)(9) of the Internal Revenue Code, which is incorporated herein by reference. Notwithstanding any other provision of this pla n to the contrary, a form of retirement income payable from this plan, shall satisfy the following c onditions: (1) If the retirement income is payable before the member's death: a. It shall either be distributed or commence to the m ember not later than April 1 of the calendar year following the later of the calenda r year in which the member attains age 70 1/2, or the calendar year in which the member retires ; b. The distribution shall commence not later than the calendar year defined above; and (i) shall be paid over the life of the m ember or over the lifetimes of the member and spouse, issue or dependent, or (ii) shal l be paid over the period extending not beyond the life expectancy of the mem ber and spouse, issue or dependent. Where a form of retirement income payment has commenced in accordance wi th the preceding paragraphs and the member dies before his entire interest in the plan has been distributed, the remaining portion of such interest in the plan shall be distributed no less rapidly than under the form of distributi on in effect at the time of the member's death. (2) If the member's death occurs before the distribution of his interest in the plan has commenced, member's entire interest in the plan shall be distributed within five years of member's death, unless it is to be distributed in acc ordance with the following rules: a. The member's remaining interest in the plan is pay able to his spouse, issue or dependent; 6 Ord No. 16-12 b. The remaining interest is to be distributed over t he life of the spouse, issue or dependent or over a period not extending b eyond the life expectancy of the spouse, issue or dependent; and c. Such distribution begins within one year of the mem ber's death unless the member's spouse, is the sole designated benefic iary, in which case the distribution need not begin before the date on whic h the member would have attained age 70 1/2 and if the member's spouse dies before the distribution to the spouse begins, this section shall be applied as if the spouse were the member. Section 4. That Chapter 33, “Police and Fire-Rescue Departments”, Sec tion 33.63, “Optional Forms of Benefits”, of the Code of Ordinances of the City of Delray Beach is hereby amended to read as follows: Sec. 33.63. OPTIONAL FORMS OF BENEFITS. Each member entitled to a normal, early or disabilit y retirement benefit shall have the right at any time prior to his actual retirement to elect to have his benefit payable under any one of the options hereinafter set forth in lieu of the benefits otherwise provided herein, and to revoke any elections and make a new election at any time prior to actual retirement. The value of optional benefits shall be actuarially equivalent to the value of benefits otherwise payable. The member shall make an election by written request to the Bo ard of Trustees, this request being retained in the Board's files. (A) Option 1. Joint and Last Survivor Option. A retiring member may elect to receive an actuarially adjusted retirement benefit during his lifetim e and have such retirement benefit (including seventy-five (75) percent, sixty-six and s ixty-six one hundredths (66.66) percent or fifty (50) percent thereof) continued after his dea th to and during the lifetime of a designated joint annuitant pensioner . The election of Option 1 shall be null and void if the designated joint annuitant pensioner dies before the member's retirement, unless the member des ignates another joint annuitant pensioner in accordance with Subsection 33.61(C). In addition, the member may elect to add a "pop-up" feature to his joint and survivor opti on, then, upon the death of his joint annuitant pensioner , the amount of his monthly payment will be increased to the amount of a straight life annuity and such amount will be payable as of the first day of each month after the death of his joint annuitant pensioner for the remainder of his lifetime. A member electing to add the pop-up feature to his joint and survivor opti on will have his monthly benefit under this Option 1 actuarially reduced to take into account the addition of the pop-u p feature. 7 Ord No. 16-12 Section 5. That Chapter 33, “Police and Fire-Rescue Dep artments”, Section 33.64, “Contributions”, of the Code of Ordinances of the City of Delray Beach is hereby amended to read as follows: Sec. 33.64. CONTRIBUTIONS. (A) Member Contributions. (2) Effective October 1, 1989, the City shall pick u p the member contribution required by subsection (A)(1) above. The contributi ons so picked up shall be treated as employer contributions in determining tax treatment under th e United States Internal Revenue Code. The City shall pick up the member contributions from fu nds established and available in the salaries account, which funds would have otherwise been desi gnated as member contributions and paid to the pension fund. Member contributions picked up by the City pursuant to this subdivision shall be treated for purposes of making a refund of m ember contributions, and for all other purposes of this and other laws, in the same manner and to the same extent as member contributions made prior to the effective date of t his subdivision. The intent of this subdivision is to comply with Section 414(h)(2) of the Internal Re venue Code. No employee shall have the option of choosing to receive the contributed amou nts directly instead of having them paid by the City to the System. Section 6 . That Chapter 33, “Police and Fire-Rescue De partments”, Section 33.65, “Administration” of the Code of Ordinances of the City of Del ray Beach is hereby amended to read as follo ws: Sec. 33.65. ADMINISTRATION. (A) The general administration and responsibility for the proper operation of the retirement system and for making effective the provisions of t his subchapter are vested in a Board of Trustees consisting of nine (9) persons as follows: (1) The Mayor; or upon the Mayor's designation, the Ass istant City Manager; (2) Two (2) public members, one of whom may be a City Commissi oner, to be appointed by the City Commission as hereinafter pro vided; (3) The Fire Chief or, in the event of the Fire Chief’s termination of participation in the system, a firefighter (with a minimum rank of Chief Office r) designated by the Fire Chief; 8 Ord No. 16-12 (4) The Police Chief or, in the event of the Police Chi ef’s termination of participat ion in the system, a police officer (with a minimum rank of Captain) designated by the Police Chief; (5) Two (2) members of the Fire Department to be electe d as hereinafter provided; (6) Two (2) members of the Police Department to be elec ted as hereinafter provided. (B) The term of office of each appointed and electe d trustee shall be two (2) years except that the initial terms within each category above shall be for two (2) and three (3) years. The initial terms shall commence on the effective date of this system. Initially in each elective category, the trustee receiving the most votes shall serve a thre e-year term, the second most votes a two-year term. Section 7 . That Chapter 33, “Police and Fire-Rescue De partments”, Section 33.66, “Finances and Fund Management” of the Code of Ordinances of the City of Delray Beach is hereby amended to read as follows: Sec. 33.66. FINANCES AND FUND MANAGEMENT. (E) The Board of Trustees shall have the following investment powers and authority: (3) Notwithstanding any limitation provided in Chapt er 175 or Chapter 185, Florida Statutes, or any limitation or condition contained in Section 215.47, Florida Statutes, the Board of Trustees may invest and reinvest pension f und assets in such securities, investment vehicles and property wherever situated and of what ever kind, as the Board shall approve in the exercise of its fiduciary duty and a uthority, including but not limited to common or preferred stocks, bonds and other evidences of indeb tedness or ownership. In no event, however, shall more than ten (10) perc ent of the assets of the fund, at cost, be invested in foreign securities; provided, if state law is amended to allow investments in foreign securities of fifteen (15) or more percent of fund asse ts, t T he Board may invest up to twenty-five (25) fifteen (15) percent of fund assets, at cost on a market-value basis in foreign securities. 9 Ord No. 16-12 Section 8 . That Chapter 33, “Police and Fire-Rescue De partments”, Section 33.689, “Retirement Benefit Enhancement” of the Code of Ordinances of the City of Delray Beach is hereby amend ed to read as follows: Sec. 33.689. - RETIREMENT BENEFIT ENHANCEMENT. (A.) Effective October 1, 1994, the benefits paid to eligible re tirees or their beneficiaries shall be adjusted as provided in this Section. For the purpose of this Section, "eligible retirees" are members who retired or term inated employment after September 30, 1993, and whose date of hire as a City Police Officer or Firef ighter was twenty-five (25) or more years prior to the benefit adjustment date. Th e benefits payable under the system to all eligible retirees or their beneficiaries shall be based on the amount of insurance premium tax revenues received by the City for the preceding pla n year pursuant to chapters 175 and 185, Florida Statutes. A minimum benefit increase o f one percent per year will be provided, regardless of the amount of premium tax revenues received by the City. (B.) Firefighter retirees. To the extent total annual premium tax revenues received pursuant to Chapter 175, Florida Statutes, exceed one hundred ninety seven thousand nine hundred ninety-five dollars ($197,995.00) five hundred four thousand nine hundred twenty two dollars ($504,922.00), the annual one percent minimum adjustment for fir efighter retirees will be increased in increments of one-tenth of one percent, bas ed on the actuary's determination that the amount of the excess premium tax revenues is sufficient to fund the benefit increase on an actuarially sound basis. The maximum amount of the t otal annual benefit increase shall not exceed four (4) percent, regardless of the amount of pre mium tax revenues received by the City. The annual benefit adjustment provided un der this Section shall be compounded annually (i.e. the i ncrease shall be based on the benefits received by plan members and beneficiaries at the end of the preceding plan year). The benefits payable under the system to all eligible retirees or their beneficiaries shal l be adjusted annually on the anniversary o f the retiree’s first benefit payment. Disability re tirees and their beneficiaries are not eligible to receive the retirement benefit enhancement. (C.) Police officer retirees. To the extent annual premium tax revenues received pursuant to Chapter 185, Florida Statutes, exceed three hundred six thousand nine hundred twenty-seven dollars ($306,927.00) and are less than four hundred forty-six thousand four hundred and seven dollars ($446,407.00), the annual one percent minimum adjustment for police officer retirees will be inc reased in increments of one-tenth of one percent, based on the actuary's determination that the am ount of such premium tax revenues is sufficient to fund the benefit increase on an actuarially sound basis. The maximum amount of the total annual benefit increase shall not exceed four (4) percent, regardless of the amount of premium tax revenues received b y the City. Annual premium tax revenues received pursuant to Chapter 185, Florida Statutes , in excess of four hundred forty- six thousand four hundred and seven dollars ($446,407.00) shall be use d to provide for the inclusion of overtime compensation, up to a maximum of thre e hundred hours per year, that the actuary for the plan determines may be funded on an ac tuarially sound basis entirely 10 Ord No. 16-12 with annual Chapter 185 premium tax revenues in excess of f our hundred forty-six thousand four hundred and seven dollars ($446,407.00). When the actuary for the plan determines that adequate premium tax revenues received pursuant to Chapt er 185 in excess of four hundred forty-six thousand four hundred and seven dollars ($446,407.00) annually have been allocated to fully fund on an actuarially sound basis the incl usion of three hundred hours of overtime compensation annually in the earnings of active poli ce officers who are not participating in the Deferred Retirement Option Plan, then all future additional premium tax revenues shall be used to provide the annual benefit adjust ment for police officer retirees. (D) The annual benefit adjustment provided under th is Section shall be compounded annually (i.e. the increase shall be based on the benefits receiv ed by plan members and beneficiaries at the end of the preceding plan year). The benefits payable under th e system to all eligible retirees or their benefici aries shall be adjusted annually on the anniversary of the reti ree's first benefit payment. Disability retirees an d their beneficiaries are not eligible to receive the reti rement benefit enhancement. Section 9 . That Chapter 33, “Police and Fire-Rescue De partments”, Section 33.70, “Direct Transfers of Eligible Rollover Distributions” of t he Code of Ordinances of the City of Delray Beach is hereby amended to read as follows: Sec. 33.70. DIRECT TRANSFERS OF ELIGIBLE ROLLOVER D ISTRIBUTIONS. (B) Definitions. (1) Eligible Rollover Distribution. Any distribution of all or an y portion of the balance to the credit of the distributee, except that a n eligible rollover distribution does not include: any distribution that is one of a series of subst antially equal periodic payments (not less frequently than annually) made for life (or li fe expectancy) of the distributee or the joint lives (or joint life expectancies) of the dist ributee and the distributee's designated beneficiary, or for a specified period often (10) ye ars or more; any distribution to the extent such distribution is required under Section 401(a)(9) of the Internal Revenue Code; and the portion of any distribution that is not includable in gross income. (2) Eligible Retirement Plan. An eligible retirement pl an is an individual retirement account described in Section 408(a) of t he Internal Revenue Code, an individual retirement annuity described in Section 408(b) of the Internal Revenue C ode, an annuity plan described in Section 403 (a) of the Internal Revenue Code, a quali fied trust described in Section 401 (a) of the Internal Revenue Code, an eligible deferred compensation plan described in Section 457(b) of th e Internal Revenue Code which is 11 Ord No. 16-12 maintained by an eligible employer described in Sectio n 457(e)(1)(A) of the Internal Revenue Code, or an annuity contract described in Section 403 (b) of the Internal Revenue Code, that accepts the distributee's eligible rollover distr ibution. (3) Distribute. A distributee includes an employee or former em ployee. In addition, the employee's or former employee's surviving spouse is a distributee with regard to the interest of the spouse. Effective as o f January 1, 2008, an Employee's or former Employee's non-spouse Beneficiary is a distributee with regard to the interest of the Employee or former Employee. (4) Direct Rollover. A direct rollover is a payment by the pla n to the eligible retirement plan specified by the distributee. Effec tive as of January 1, 2008, a non-spouse Beneficiary may make a direct rollover only to an "inherited" individual retirement account as described in Section 408(b) of the Internal Revenue Code. Section 10 . That Chapter 33, “Police and Fire-Rescue De partments”, Section 33.73, “Termination of the System” of the Code of Ordinances of th e City of Delray Beach is hereby enacted to read as follows: Sec. 33.73. TERMINATION OF THE SYSTEM. If it is determined by the City Commission that thi s Retirement System be terminated it shall be terminated in accordance with State law as set fort h in Chapters 175 and 185, as those Chapters now exist and as they may be amended in the future. Section 11 . That should any section or provision of this ordinance or any portion t hereof, any paragraph, sentence, or word be declared by a court of compe tent jurisdiction to be invalid, such decision shall not affect the validity of the remainder hereof as a whole or part thereof other than the part declared to be invalid. Section 12 . That all ordinances or parts of ordinances in conflict herewith b e, and the same are hereby repealed. Section 13 . That this ordinance shall become effective immediately upon p assage on second and final reading. 12 Ord No. 16-12 PASSED AND ADOPTED in regular session on second and final readi ng on this the _____ day of ___________________, 2012. _________________________________ Mayor ATTEST: _______________________________ City Clerk First Reading __________________ Second Reading _________________ MEMORANDUM TO:Mayor and City Commissioners FROM:R. Brian Shutt, City Attorney DATE:May 29, 2012 SUBJECT:AGENDA ITEM 12.A. - REGULAR COMMISSION MEETI NG OF JUNE 5, 2012 ORDINANCE NO. 16 -12 ITEM BEFORE COMMISSION The item before the City Commission is Ordinance No. 16-12 which provides for modifications to the Police/Fire Pension Ordinance. BACKGROUND The City of Delray Beach Police and Fire Pension Board requested certain changes to our City ordinance regarding the police/fire pension plan in order to implement certain provisions of state law, the Internal Revenue Code and the decision in the case of the Department of Management Services v. City of Delray Beach. The Pension Board has also proposed changes that are not required by state or federal law but would require a policy determination by the Commission. Jim Linn, the City’s pension attorney, has also reviewed the proposed ordinance, see attached memo. I have highlighted the areas where staff has a question or concern regarding the proposed language. They are: 33.60 – the highlighted words in the definition of “Earnings” was proposed by Jim Linn in an effort to clarify the language. 33.61 – It is suggested that paragraph 3(b) be removed as the Civil Service Board does not have j urisdiction over these employees. 33.65 – The pension board requested changes to allow the fire/police chief or their designees to sit on the board and to extend the terms of board members from 2 to 4 years. This request is not required by State law or the IRS. 33.73 – The pension board requested this section be added regarding the termination of the plan. Staff’s concern is that this primarily duplicates State law and that we should just provide a statement that we will follow State law as it relates to the termination of the plan. The Commission will need to give direction when approving the ordinance on first reading regarding the highlighted language. RECOMMENDATION Commission discretion. Pa g e 1of 1 Coversheet 6/12/2012 htt p ://itweba pp /A g endaIntranet/Bluesheet.as p x?ItemID=5656&Meetin g ID=378 MEMORANDUM TO:Mayor and City Commissioners FROM:David T. Harden, City Manager DATE:June 12, 2012 SUBJECT:AGENDA ITEM 10.C. - REGULAR COMMISSION MEETING OF JUNE 19, 2012 ORDINANCE NO. 18 -12 ITEM BEFORE COMMISSION This ordinance is before Commission for second read ing and quasi-judicial hearing to considera city- initiated rezoning from RM (Medium Density Resident ial) to CF (Community Facilities) for two parcels of land located on the east side of S.W. 12 th Avenue, approximately 106 feet north of S.W. 2 nd Street for the Neighborhood Resource Center Expansion. BACKGROUND At the first reading on June 5, 2012, the Commissio n passed Ordinance No. 18-12. RECOMMENDATION Recommend approval of Ordinance No. 18-12 on second and final reading. ORDINANCE NO. 18-12 AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF DELRAY BEACH, FLORIDA, REZONING AND PLACING LAND PRESENTLY ZONED RM (MEDIUM DENSITY RESIDENTIAL) DISTRICT TO CF (COMMUNITY FACILITIES) DISTRICT; SAI D LAND BEING A PARCEL LOCATED ON THE EAST SIDE OF SW 12 TH AVENUE, 107 FEET NORTH OF SW 2 ND STREET, AS MORE PARTICULARLY DESCRIBED HEREIN; AMENDING "ZONING MAP OF DELRAY BEACH, FLORIDA, JANUARY 2012"; PROVIDING A GENERAL REPEALER CLAUSE, A SAVING CLAUSE, AND AN EFFECTIVE DATE. WHEREAS, the property hereinafter described is shown on the Zoning District Map of the City of Delray Beach, Florida, dated January 2012, as being zoned RM (Medium Density Residential) District; and WHEREAS, at its meeting of May 21, 2012, the Planning and Zoning Board for the City of Delray Beach, as Local Planning Agency, considered this item a t a public hearing and voted 7 to 0 to recommend that the property hereinafter described be rezoned, based u pon positive findings; and WHEREAS, pursuant to Florida Statutes 163.3174(4)(c), the Planning and Zonin g Board, sitting as the Local Planning Agency, has determined that the c hanges are consistent with and further the objectives and policies of the Comprehensive Plan; and WHEREAS, the City Commission of the City of Delray Beach a dopts the findings in the Planning and Zoning Staff Report; and WHEREAS, the City Commission of the City of Delray Beach fi nds the ordinance is consistent with the Comprehensive Plan; and WHEREAS, it is appropriate that the Zoning District Map of the City of Delray Beach, Florida, be amended to reflect the revised zoning classification. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY OF DELRAY BEACH, FLORIDA, AS FOLLOWS: Section 1 . That the recitations set forth above are incorporated herein. Section 2. That the Zoning District Map of the City of Delray Beac h, Florida, be, and the same is hereby amended to reflect a zoning classification of CF (Community Facilities) District for the following described property: 2 ORD NO. 18-12 Lots 9 and 10 inclusive, Block 6, Atlantic Gardens, as recorded in Plat Book 14, Page 63, of the Public Records of Palm Beach County, Florida. Section 3 . That the Planning and Zoning Director of the said City shall , upon the effective date of this ordinance, amend the Zoning Map of the City of Delr ay Beach, Florida, to conform with the provisions of Section 2 hereof. Section 4. That all ordinances or parts of ordinances in conflict herewi th be, and the same are hereby repealed. Section 5. That should any section or provision of this ordinance or any portion thereof, a ny paragraph, sentence, or word be declared by a court of competent j urisdiction to be invalid, such decision shall not affect the validity of the remainder hereof as a whole or part thereof other than the part declared to be invalid. Section 6 . That this ordinance shall become effective immediately upon passage on second and final reading. PASSED AND ADOPTED in regular session on second and final readi ng on this the _____ day of ___________________, 2012. ____________________________________ ATTEST M A Y O R _______________________________ City Clerk First Reading__________________ Second Reading________________ MEMORANDUM TO:Mayor and Ci ty Commissioners FROM:CANDI N. JEFFERSON, SENIOR PLANNER PAUL DORLING, AICP, DIRECTOR OF PLANNING AND ZONING THROUGH:CITY MANAGER DATE:May 25, 2012 SUBJECT:AGENDA ITEM 12.B. - REGULAR COMMISSION MEETING OF JUNE 5, 2012 ORDINANCE NO. 18 -12 ITEM BEFORE COMMISSION The item before the City Commission is consider ation of a rezoning from RM (Multiple Family Residential) to CF (Community Facilities) for the Nei ghborhood Resource Center Expansion located at 133 SW 12 th Avenue. BACKGROUND The action requested of the City Commission is approval of a z oning change from RM (Medium Density Residential) to CF (Comm unity Facilities) for Lo ts 9 & 10, Block 6 Atla ntic Gardens Delray Subdivision to accommodate the Neighbor hood Resource Center Expansion. The subject property consists of approximately 13,939 square feet. The property previously contained a 2,514 sq. ft. multiple family dwelli ng which was built in 1967. This structure was demolished on July 8, 2011. The vacant parcels are currently owned by th e Community Redevelopment Agency (CRA). The RM zoning district does not allow community centers as either a principal or conditional use, thus a rezoning application is being requested to change the existing zoning de signation from RM (Mediu m Density Residential) to CF (Community Facilities). The expansion will occur on prope rty immediately north of the existing Nei ghborhood Resource Center , which was rezoned from RM to CF, by the City Commission on June 20, 2006 through City Ordinanc e No. 32-06. The proposed change seeks to apply a zoning designation which is consistent with th e adjacent use and complements the needs of the neighborhood. Additiona l background and an analysis o f the request are found in the attached Planning and Zoning Board Staff Report. REVIEW BY OTHERS At its meeting of May 21, 2012, the Planning and Z oning Board held a public hearing in conjunction Pa g e 1of 2 Coversheet 6/12/2012 htt p ://itweba pp /A g endaIntranet/Bluesheet.as p x?ItemID=5646&Meetin g ID=378 with the request. The Board voted 7-0 to recommend approval of the rezoning from RM to CF, b y adopting the findings of fact and la w contained in the staff report, and a finding that the request is consistent with the Comprehensive Plan and th e Southwest Area Neighborhood Development Plan, and meets the criteria set forth in Sections 3.1.1, 3.2.2, and 2.4.5(D)(5) of the Land Development Regulations. The Board did emphasize the need to look at the adequacy of on-site parking during review by the Site Pl an Review and Appearance Board (SPRAB). RECOMMENDATION Move approval of the rezoning from RM (Multiple Family Residential) to CF (Community Facilities) b y adopting the findings of fact and law contained in the st aff report, and finding that the request is consistent with the Comprehensive Plan and the Southwest Area Neighbor hood Redevelopment Plan, and meets the criteria set forth in Sections 3.1.1, 3.2.2, and 2.4.5(D)(5) of the Land Development Regulations. Pa g e 2of 2 Coversheet 6/12/2012 htt p ://itweba pp /A g endaIntranet/Bluesheet.as p x?ItemID=5646&Meetin g ID=378 MEMORANDUM TO:Mayor and City Commissioners FROM:David T. Harden, City Manager DATE:June 12, 2012 SUBJECT:AGENDA ITEM 10.D. - REGULAR COMMISSION MEETING OF JUNE 19, 2012 ORDINANCE NO. 20 -12 ITEM BEFORE COMMISSION This ordinance is before Commission for second read ingto consider a city-initiated ordinance amending Chapter 110, “Local Business Taxes Generally”, Sect ion 110.15, “Local Business Tax Schedule”, to provide for a 5% percent increase in all business t ax fees. BACKGROUND At the first reading on June 5, 2012, the Commissio n passed Ordinance No. 20-12. For additional information a survey of tax rates an d revenues from other cities is attached. The spec ific classifications listed for cities are shown only as examples and are far from all inclusive. RECOMMENDATION Recommend approval of Ordinance No. 20-12 on second and final reading. ORDINANCE NO. 20-12 AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF DELRAY BEACH, FLORIDA, AMENDING CHAPTER 110, “LOCAL BUSINESS TAXES GENERALLY”, OF THE CODE OF ORDINANCES BY AMENDING SECTION 110.15, “LOCAL BUSINESS TAX SCHEDULE”, TO ELIMINATE OUTDATED BUSINESS CLASSIFICATIONS AND TO PROVIDE FOR AN INCREASE IN THE LOCAL BUSINESS TAX SCHEDULE; PROVIDING A SAVING CLAUSE, A GENERAL REPEALER CLAUSE, AND AN EFFECTIVE DATE. WHEREAS, Section 110.15 “Local Business Tax Schedule ”, of the Code of Ordinances of the City of Delray Beach establishes the individual b usiness tax required to be paid annually to the City by persons engaging in or managing/transacting an occu pation or profession; and WHEREAS, pursuant to Chapter 205, Florida Statutes , the City Commission has determined it to be appropriate to increase said local business tax. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COMMISSI ON OF THE CITY OF DELRAY BEACH, FLORIDA, AS FOLLOWS: Section 1 . That Chapter 110, “Local Business Taxes Generall y”, of the Code of Ordinances is amended by amending Section 110.15, “Loca l Business Tax Schedule”, to read as follows: The following enumerated individual local business tax es shall be paid to the City by the persons engaging in or managing or transacting the several occupations or professions named yearly, unless otherwise specified: Classification All Fees $156.56 164.39 except as noted Abstracting Company Land title, warranty or security company. Each indi vidual conducting the business of abstracting title, either in part or in whole, shall pay a lice nse tax. Academy of Music Adult Entertainment Advertising 2 ORD. NO. 20-12 Agencies, firms, associations, corporations or othe r persons distributing circulars, pamphlets or other advertising matter, except local merchants an d theaters advertising in this way their own goods and merchandise, shall pay an annual license tax. Ad vertising Agencies engaged in the business of bill posting sh all pay a license tax, per year. Advertising Office, Public Relations Alleys, Bowling, Boxball or Tenpins Each lane 25.35 26.62 Ambulance Separate from undertaking, each 88.57 93.00 Amusement Parlors or Concert Halls Apartment , Rooming Houses Per room, excluding kitchen and bathrooms 6.37 6.69 Aquarium Armored Car Service Each vehicle 88.57 Art Gallery (1) Art Studio, workshop, classes (2) Artist, commercial (See Retail) (3) Artist material or supplies (See Merchants) (4) Artists' outdoor sale: Each sale, first day 37.97 Each day thereafter 12.74 Astrologists, Clairvoyants, Fortune Tellers, Palmis ts, Phrenologists, Spiritualists, Numerologists and Mental Healers These activities and others of a similar nature, wh ether or not in connection with another business charging fees, shall pay a license tax. Athletic Club, Gymnasium /Fitness Center (Zoning) Auctio neers Auctions Auction, Real Estate Per day 3 ORD. NO. 20-12 Automatic Amusement Machines, Games or Devices, Dis tributor Annual Fee Note: It is understood that this shall not be const rued to license or permit operation or display of gambling devices. Automatic Games and Devices or otherwise, marble games, such as throwing balls at figures and the like, which are not elsewhere provided for in this Chapter. Each machine or apparatus 63.21 66.37 Automatic Trade Machines Where only incentive to operate same is to procure such as gum, nuts and the like Each machine 37.97 39.87 Distributor 149.94 157.44 Automatic Weighing Machines Distributor Each machine 12.74 13.38 Automobile or Motor Vehicles, Trucks, Farm Tractors and Farm Implements, Motorcycles (1) Auto agency or dealer, in new or used cars, motor v ehicles, motorcycles, trucks, farm tractors and farm implements, with one principal place of bu siness, not to exceed one lot for display purposes, each agency, not to include repairs. (2) Each additional display lot. (3) Rental of vehicle not to exceed thirty (30) days as replacement for vehicles undergoing repairs by agency. Automobile (1) Automatic car wash, not in connection with other bu siness (2) Automobile association (See Insurance) (3) Driving school (4) Parking lots, commercial, each lot (5) Repair shop or garage, in connection with auto agen cy (6) Repair shop or garage not in connection with other business (7) Self -serve car wash, first unit 50.60 53.13 Each additional unit 12.74 (8) U -Drive rentals (9) Upholstering, tops, seat covers and the like 4 ORD. NO. 20-12 (10) Automobile used parts, dealers in, used for purpose s other than junk (11) Wrecker service, towing (12) Auto detailing Automobile Service Station Washing and polishing, greasing, lubricating and li ke servicing of automobiles, selling gasoline and oil, but not to include repair work and not to include t he sale of merchandise required to be licensed otherwise by ordinance under Merchants. Automobile Service Station Selling merchandise other than petroleum products u sed in greasing and lubricating, shall pay the Merchants license on other merchandise in addition to the foregoing. Baby Sitter Service 75.94 82.37 Baggage or Freight Transfer Company Bakery Wholesale and retail, each store Ballrooms for Profit Banks (National and State chartered), Savings and Loan Associations (per Section 5219 Revised Statutes 12 U.S.C. 548) Bankruptcy, Closing Out, Trustee Sale (See Fire sale) Barber Shops Beach Equipment (Subject to bids to the Commission) Beauty Shops Bible, Holy —Solicitors Bicycle Shop, both retail and repair Billiard, Pool or Bagatelle Tables For profit, e E ach table 63.21 66.37 Birds Dealers Blueprinting Service Maps, plats and the like Boat Agencies, New/Used Each lot, not to include repairs 5 ORD. NO. 20-12 Boats for Hire Fishing, cruising or sightseeing (each boat) Boathouses Storage only Boat Marinas, Dockage, Yacht Basins Boat Repair Boiler, Machine Shops or Foundries Bondsman, Bail Bonds Book, Magazine Solicitors Per week 63.21 66.37 Per person 25.36 26.62 Interstate commerce No fee Bookkeeper/Accountant , not C.P.A. Boot and Shoe Repair Shop Bottling Works Brokers Stockers, [Stocks,] bonds, mortgages, customs and o thers Building Inspector Building and Loan Associations (See Banks) Burglar Alarm Company Bus Station , intrastate business only Business College, Trade Schools Business Office Butcher Shop Cabinet Shop Carpet and Rug Cleaning Each location Caterers Fixed base or mobile, each truck 63.21 66.37 Ceramic Studio Chemical Companies Christmas Tree Sales 6 ORD. NO. 20-12 Season only, each lot Citrus Fruits and Vegetable Retail (See Merchants) Claim and Collecting Agencies Cleaning, Pressing, Dyeing (See Laundries) Clothing Secondhand dealers Cold Drink Stand (See Merchants) Cold Storage All types Commission Merchants Handling shipments (other than specifically provided for herein) on a Commission basis Computer Service Concrete Products (See Manufacturer) Concrete Ready -Mix Plant Contractors (1) General (2) Engineering contractor (includes bridge, bulkheadin g , drainage, excavating, sewer construction, dredging, irrigation systems, pile driving, seawall s, sidewalk, street grading and paving and similar contract work (3) Structural and reinforced iron and steel (4) Subcontractors and others as listed: Concrete, stone, brick Electrical Heating and ventilating House movers Masons Plasterers Roofing Sheet metal and tinsmith Septic tank Tile Well drilling Floor sanding and finishing Lathers Plumbers 7 ORD. NO. 20-12 (5) Any person who shall accept orders to be engaged in the business of accepting orders or constructs on cost plus, fixed fee, stated sum, per centage basis or any combination thereof, or for compensation other than wages for doing work on or in any building or structure requiring the use of paint, stone, brick, mortar, cement, wood, structur al steel or iron, sheet iron, metallic piping, tin, lead or any other building material; or to do any p aving or curbing on sidewalks or streets, on public or private property, using asphalt, brick, stone, ceme nt or wood or any combination; or to excavate for foundations or any other purpose, or to construct s ewers, septic tanks, docks, drive piling, construct bridges, construct seawalls and bulkheads of any an d all description; and who is engaged in the business of building, remodeling, repairing, razing or moving, whether it be by contract, fixed fee or sublet, percentage or any combination thereof, or f or compensation other than wages, shall be deemed to be a contractor within the meaning of thi s Chapter. Convalescent Home (not sanitarium) Ch. 400, Florida Statutes, zoning, State Department of Health and Rehabilitative Services regulations Costume, Clothing Rental Credit Bureaus Dairies (milk distributors, jobbers or creameries deliverin g milk) Each truck 88.57 Dance Halls Dancing Schools Data Processing (See Professional) Dealers in Secondhand Firearms This license shall be exclusive of all other licens e taxes. All secondhand dealers shall keep a permanent record of all purchase and sales, includi ng dates, description of property purchased or sold , names and addresses of persons purchasing or sellin g them. Delicatessen Dental Supplies Dental Technician Laboratory Department Stores (See Merchants) Detective Agency Each location (state certificate) Distributor Dog and Pet Grooming Sale of supplies (See Merchants) Dressmaking, Hemstitching (no stock carried) Drugs, Retail Dealer (See Merchants) Dry Cleaning (See Laundries) Electric Light and Power Companies 8 ORD. NO. 20-12 Emigrant Agents Including any agent, solicitor or recruiter engaged in the business of hiring, enticing or soliciting laborers or emigrants. Employment Agencies Engravers or Lithographers Export or Import Companies Express Companies (Intrastate only) Exterm inators (State certificate) Fertilizer Manufacturers —Mixing Plant Fire Extinguisher Sales, Service Fire and Wreck Sales When not conducted by bona fide business concerns p reviously established and doing business in the City), of undamaged goods of that firm having damage by fire or wreck, each sale. Fish or Poultry Market Fish Peddler (See Peddlers of merchandise) Fishing Tackle (See Merchants) Fishing Tackle or Gun Repair Florists or Dealers in Flowers , each Food Lockers —Cold Storage Fruit, Vegetable Stand Fumigating (See Exterminators) Furniture and House Furnishing (See Merchants) Gas Companies (1) Distributing and selling gas through pipelines (2) Selling bottled gas (3) Gas tank wagon delivery only Gasoline and Oil Distributors Wholesale, Storage Facilities in the City Golf Courses , each Golf Driving Range , each Golf Miniature , each Guaranty or Surety Title Companies Guard, Patrol Service (See Detective Agency) Guns, Sales or Repair /Gun Range 9 ORD. NO. 20-12 Need Federal firearms dealers license Harness and Saddlery (See Merchants) Home Occupation Hospitals, Sanitarium Hotels Per room, excluding kitchens and bathrooms 6.37 6.69 Hypnotists Must meet requirements set forth in F.S. Chapter 45 6 Ice Cream Manufacturers Ice Cream Parlors Ice Cream Wagon or Truck , each 126.41 132.73 Ice Manufacturing or Storage Import, Export (See Export) Insecticide Manufacturers or dealers Installers, Carpets Insurance Adjusters Insurance Agency For each company represented Insurance Baggage, each company represented Insurance Casualty, life, hospitalization, industrial, burial , bonding and surety companies, each Interior Decorator Invalid and Hospital Supplies Jewelry Dealers buying and selling old gold, silver and oth er precious metals, or offer to buy and sell (permanent records of all purchases and sales, incl uding dates, description of property purchased and sold, names and addresses of persons purchasing or selling required). Jewelry Repair Jewelry Store (See Merchants) Junk Shops or Dealers License required whether or not sale or purchase or both, or solicitations are made 10 ORD. NO. 20-12 Kennels, Animal (Approved location) Key Shop, Locksmith and Associated Services (See Merchants) Knife, Scissors and Tool Sharpener Landscape Company Laundry or Dry Cleaning Plant Agent for out of town laundries Local agency, permanent office Self -service Lawn Maintenance Lawn Spraying Board of Health certificate Linen or Diaper Service Loan, Finance, Mortgage Company Lumber Dealers Lunch Stands , (Not over twenty -five (25) chairs) Machine Shops (Not automobile) Mail Order Business Maintenance (Floor, home, office, building) Manicurist , each 75.94 79.77 Manufacturer Marble and Granite Works Massage Salon Masseur, Masseuse , each 75.94 79.77 Meats (See Butcher shop) Merchandise, Secondhand (See Secondhand dealers) Merchants, Druggists and Storekeepers Messenger Service (exclusive of telegrams) Mimeograph and Letter Shop Monuments and Tombstones Motion Picture Theaters Performances of moving pictures or other forms of e ntertainment Movers (See Storage) 11 ORD. NO. 20-12 Moving Company Musical Devices Operator of mechanically operated (whether operated in connection with or separate from any other business) License or tag must be displayed on each machine Musical Devices (Distributor) Music Teachers Nails, Acrylic Shops (State certificate) Newspaper Publisher News Companies (Owners or managers of) Newsstands Owners or managers of, where daily and weekly newsp apers or magazines, postcards and the like are sold Night Clubs Restaurants, dining rooms or other establishments, whether floor show or other form of entertainment, exclusive of orchestra, is provided for guests. Novelty Works (See Manufacturer) Nursery Shrubs, trees, plants or landscaping Nursing Home (See Convalescent home) Office Machine Repairs (See Repair shop) Oil (See Gasoline) Paint Manufacturer (See Manufacturer) Parcel Delivery Each vehicle 75.94 Pawnbrokers Peddlers of Merchandise (1) Not otherwise enumerated specifically herein, shall pay a license tax per day of, each person 25.36 26.62 (2) Peddlers who are not producers of the product they sell and who peddle from house to house the products of the farm, grove or waters, shall pay a license tax per day of, each person 25.36 26.62 (3) Peddlers, hawkers or vendors engaged in the occupat ion of selling products such as fruit, eggs and vegetables and farm products from wagon, push c art or other vehicle, shall pay a license tax of, each vehicle (4) Peddlers, hawkers, vendors, agents or solicitors soliciting business for out -of -town business houses or enterprises not maintaining place of busi ness in city, providing however that this provision 12 ORD. NO. 20-12 does not apply to wholesalers dealing exclusively w ith retailers (5) Traveling stores, dry goods, groceries, clothing, boots and shoes Pet Shop or Grooming (See Dog and pet grooming) Pharmacies Photo Processing, Film Developing Photographers Piano tuners Picture Agents Plating with Metals Portable Toilets Postcard Stands (Only) Potato Chips (See Manufacturer) Print Shop or Publishing Private Postal Mailbox Private Schools (See Schools) Professional (1) The following practitioners are classed as professi onal, and each person engaged in the practice of this profession other than persons receiving onl y a salary or wage by a licensed practitioner in th is City, is required to pay a professional local busin ess tax: Accountants and auditors Architects Architects, landscaping Attorneys and lawyers Business consultant Chemists Chiropractors Chiropodists Data processing Dentist Draftsman Engineers, civil, consulting Interior Design Opticians Optometrists 13 ORD. NO. 20-12 Osteopathic physicians Physicians Psychiatrists Research laboratory or office, for profit Surgeons Tax consultant Veterinarians or veterinary Other professions not classified (2) For each person operating with the person licensed in the preceding clause, other than the professional employees Property Management Promoters Entertainment, sports or contests Public Hall for Hire Public Stenographer Publishing Company Books, directories and the like Radio Communications Radio Repair Shop (See Repair Shops) Railroad Companies , each Real Estate Agency or Broker Recording Studio Reducing Salon Rental Equipment (All types) Repair Shops , each Repairs from Truck or Other Vehicle Restaurants (If dancing permitted, see Night clubs) Cafes and public eating places (whether food is ser ved in connection with or separate from other business, except dining rooms in connection with ho tels) Retirement, Rest Home (See Convalescent home) Rinks (Bicycle, skating or other) Roof Trusses (Se Manufacturer) Sawmill Yard Schools 14 ORD. NO. 20-12 Secondhand Dealers (1) In goods, wares and merchandise, secondhand or othe rwise, known as secondhand dealers exclusive of firearms. (See Dealers in secondhand f irearms and secondhand clothing) (2) All secondhand dealers shall keep a permanent recor d of all purchases and sales, including dates, description of property purchased and sold, names and addresses of persons purchasing or selling them. (3) However, the business shall be adequately housed in side a substantial store building and provided that before any person shall sell or be en gaged in the business of selling goods, wares, merchandise or other personal property, the sales b eing advertised as bankrupt, insolvent, insurance, assignee, trustee, auction, syndicate, railroad or other wreck, wholesale, manufacturer's or closeout sale, or as goods damaged by smoke, fire, water or otherwise, the person shall file an application wit h the Commission, which application shall be passed o n by the Commission and a license tax paid. Secretarial Service Seed Stores (Wholesale and Retail) (See Merchants) Ship Brokers Shoemaker and Repairs Shooting Gallery (See Gun Ranges) Sign Painters Commercial but not erecting Soda or Mineral Water Fountains Solicitor (See Peddlers of Merchandise) Sporting Goods (See Merchants) Stamp or Old Coin Dealer Storage Warehouse or Room Tailors /Seamstress Tanning Salon Tattoo Salon Tax Agency (See Professional) Taxidermist , or agents for In addition to other license Taxis First vehicle 126.63 132.96 Each additional vehicle 63.21 66.37 Telegraph Companies 15 ORD. NO. 20-12 Telemarketing Telephone Answering Service Telephone Solicitation (See Sections 118.40 through 118.45) Telephone Systems and Companies Intrastate business only Temporary Business Receipts (1) Business temporarily located inside enclosed shoppi ng mall; thirty (30) days only (no extensions) 75.94 (2) Special events, no more than once annually (if unde r three (3) days), as approved by Commission (each license, not otherwise enumerated herein) No fee (3) Special events, no more than once annually (in exce ss of three (3) days), as approved by Commission (each license, not otherwise enumerated herein) 75.94 Temporary Holiday/Vendors 75.94 79.74 Termite Control Companies Theatrical Directors Who charge for services in directing local talent plays or performances, each performance Theatrical or Dramatic Groups or Companies For profit, where performance is not given in local , licensed theater, each performance Towel, Diaper, Uniform Supply Company Towing Service (See Automobile) Trade Schools Trading Stamp Companies Trailer Park Trailer, Truck Rental Travel Bureaus Tree Pruner (Must have insurance) Trucks Motor -driven, also doing freight transportation, hauling or transfer business for profit, except where other licenses are paid in conducting business, eac h. (Does not apply to trucks owned by the city, county or state) U -Drive -It Cars (See Automobile) Undertakers, Embalmers and Funeral Directors Uniform Supply (See Towel, diaper, uniform supply company) Upholsterer Vending Machines (See Automatic trade machines) 16 ORD. NO. 20-12 Venetian Blinds Repair, installation and associated services Vulcanizing Each place of business Watch Repair Water (Sold in bottles) (See Bottling works) Water Companies operating same Water -Softening Service Weight Clinic Weighing Machines (See Automatic trade machines) Wheelchair Rental (See Invalid) Window Cleaning Window Tinting Wood Yard Wrecker Service (See Automobile) Section 2 . That should any section or provision of this ordin ance or any portion thereof, any paragraph, sentence, or word be declared by a cou rt of competent jurisdiction to be invalid, such decision shall not affect the validity of the remain der hereof as a whole or part thereof other than th e part declared to be invalid. Section 3. That all ordinances or parts of ordinances in confl ict herewith be, and the same are hereby repealed. Section 4 . That this ordinance shall become effective immedia tely upon its passage on second and final reading. PASSED AND ADOPTED in regular session on second and final reading on this the _____ day of ___________________, 2012. ____________________________________ ATTEST M A Y O R _______________________________ City Clerk First Reading__________________ Second Reading________________ MEMORANDUM TO:Mayor and Ci ty Commissioners FROM:Lula Butler; Director , Community Improvement THROUGH:David Harden; City Manager DATE:May 31, 2012 SUBJECT:AGENDA ITEM 12.C. - REGULAR COMMISSION ME ETING OF JUNE 5, 2012 ORDINANCE NO. 20 -12 ITEM BEFORE COMMISSION The item before the Commission is Ordinance N o. 20-12, which increases the local business tax schedule across the board by 5%. BACKGROUND Pursuant to Florida Statute Chapter 205, local busines s taxes may be increased by up to 5% every other year. The last increase in the local business ta x schedule occurred in March 2008. This ordinance modifies Section 110.15 by increasing al l local business taxes by 5%. Over the next year, this increase would give the City approximately $34,000 in additional revenue. This or dinances also eliminates some outdated business tax classificat ions that are no longer used. RECOMMENDATION Staff recommends approval of Ordinance No. 20-12. Pa g e 1of 1 Coversheet 6/12/2012 htt p ://itweba pp /A g endaIntranet/Bluesheet.as p x?ItemID=5671&Meetin g ID=378 1 City of Delray Beach M E M O R A N D U M TO: Lula Butler, Director Community Improvement THRU: Al Berg, Assistant Director Community Improvement FROM: Danise Cleckley, Code Enforcement Executive Assistant DATE: June 11, 2012 SUBJECT : Updated Business Tax Receipt Survey A survey was completed June, 2012, to compare the cost municipalities are charging f or Business Tax Receipts (BTR). All city fees listed below vary ba sed on the type or classification of the business. For example, when working with retail business, an additi onal amount is added to the fee to accommodate the size of the business in square footage. How ever, the City of Delray Beach continues to charge a flat rate of $156.56 and does not charge an addi tional fee per square footage. The municipalities listed below, (with their annual fee s and revenues) are the representative sample we have reviewed and considered as we form ulated our recommendation to increase the business tax fee by 5% effective upon the adop tion of Ordinance No. 20-12 after public hearing on June 19 th at the regular City Commission meeting. The City’s projec ted BTR revenue for Fiscal year 2012 is $680,000. We are on target to meet this projection. • City of Boca Raton $105.00 ( Annual Revenue $900,000) • City of Boynton Beach $40.00 (application fee)(Annual Revenue $1.4 million) Retail $97.63 + $5.15 per $1000.00 for inventory over $5,000. Restaurant $97.65 + $3.50 per seat. • City of Coral Springs $120.00 (Annual Revenue is $1.2 million per year) • City of Palm Beach Gardens $100.00 (Annual Revenue is $1.3 million per year) Residential businesses $75.00. Retail $75.00 + $6.00 per $1000.00 for inventory up to $99,999. Restaurants $94.00 - $200.00 Salon establishment $470.00. 2 • City of Riviera $120.00 (Annual Revenue not provided ) • City of Port St. Lucie $ 47.55 (Annual Revenue $1.4 million) Retail $88.20 + $6.09 per $1000.00 inventory over $5,000. Restaurants $127.63, 50 seats orless; $255.25 for > 50 seats. • City of West Palm Beach $ 86.81 (Annual Revenue not provided) • Village of Wellington $100.00 (Annual Revenues average $800,000 per year) Financial Institutions $450.00 Tattoo establishments $1,000.00. Ad d i t i o n a l In f o r m a t i o n fo r It e m 10 . D .