10-21-86SpMtg OCTOBER 21, 1986
A Special Meeting of the City Council of the City of Delray
Beach, Florida, was called to order by Mayor Doak S. Campbell in the
Council Chambers at City Hall at 7:00 P.M., Tuesday, October 21, 1986.
Roll call showed:
Present - Council Member Malcolm T. Bird
Council Member Richard J. Dougherty
Council Member Marie Horenburger
Council Member Jimmy Weatherspoon
Mayor Doak S. Campbell
Absent - None
Also present were - Assistant City Manager Robert A. Barcinski
and City Attorney Herbert W.A. Thiele.
Mayor Campbell called the meeting to order and announced that
this meeting has been called for the purpose of (1) Considering funding
for the Community Redevelopment Agency.
1. Mayor Campbell advised that Council has been furnished a
request from the CRA to allow them to be included in the City's applica-
tion to the Sunshine State Pool for 1.2 million dollars. The City could
allow the CRA, in essence, to piggyback on them and the CRA would repay
us with no net cost to the City, but would be allowed to borrow at a
lower rate.
Mrs. Horenburger moved for approval of funding for the Com-
munity Redevelopment Agency, seconded by Mr. Bird. Upon roll call
Council voted as follows: Mr. Bird - Yes; Mr. Dougherty - Yes; Mrs.
Horenburger - Yes; Mr. Weatherspoon - Yes; Mayor Campbell - Yes. Said
motion passed with a 5 to 0 vote.
Before roll call the following discussion was had:
Mr. Dougherty stated he felt Council ought to see the CRA's
proposed budget and expenses as compared to their income before Council
can properly make a decision.
Tom Lynch, representing the CRA, furnished Council with a copy
of their budget; this is a tentative draft which will be approved,
probably next Wednesday. Mr. Lynch reviewed the items in the budget
based on 1986; they receive their money in December of the year.
Upon question by Mr. Dougherty regarding appraisals of $940,000
for the property which the CRA intends to buy, Mr. Lynch advised they
have received a phone call, the figures are in typing and will be
delivered shortly; they assume the figures they were given are accurate.
Discussion was had concerning long term leases which will be
given to the business owners in the subject area once the property has
been acquired. That income would offset the money borrowed. Mr. Lynch
advised that the business owners have been spoken to and this will be
handled by the attorney for the CRA; they themselves are not out there
negotiating, but are hiring an attorney due to the legal implications.
Upon question, Mr. Lynch explained that if the CRA were to go
out on the open market to borrow the money it would cost substantially
more, which would mean the CRA would be less effective in the City.
Since the City has appointed them they are asking to borrow through the
City as it will save money for the City and in turn give the money back
to the community.
Upon question by Mr. Weatherspoon, Mr. Lynch advised with
regard to the $50,000 repayment, they had agreed to pay the City back
within three years; instead of waiting until the third year they are
planning to give the City a portion this year. If they find a project
where they need the money they would probably try and use it this year
if they can do something more valuable for the City.
Mrs. Horenburger stated she felt the questions were clear and
concise and met with what the report had to say; she understands the
portion about using the three percent just to show on a conservative
basis what the CRA can expect to get with regard to tax increment every
year. She believed the other thing to remember is that while Council
does want explanation and certain careful considerations, we are not
talking about an outside private enterprise; this has to do with us and
our City and she wholeheartedly supports going to the Sunshine State
Pool to borrow the funds so that the CRA can begin to do what it needs
to do for the City.
Upon question by Mr. Dougherty, Mr. Lynch advised they are
going to meet with the Housing Authority to see what they can do to work
with them for the redevelopment of the community.
At this point the roll was called to the motion.
Mayor Campbell declared the meeting adjourned at 7:24 P.M.
ATTEST:
M'A Y O R
The undersigned is the City Clerk of the City of Delray Beach
and that the information provided herein is the minutes of the meeting
of said City Council of October 21, 1986, which minutes were formally
approved and adopted by the City Council on~-c/, //, /~ .
~l~er k
NOTE TO READER:
If the minutes that you have received are not completed as indicated
above, then this means that these are not the official minutes of City
Council. They will become the official minutes only after they have
been reviewed and approved which may involve some amendments, additions,
or deletions to the minutes as set forth above.
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