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Item Q5Q.5 ° °t. BOARD OF COUNTY COMMISSIONERS C ounty of Monroe �' A',� Mayor George Neugent, District 2 T he Fl orida Keys ' Mayor Pro Tem David Rice, District 4 Danny L. Kolhage, District 1 Heather Carruthers, District 3 Sylvia J. Murphy, District 5 County Commission Meeting May 17, 2017 Agenda Item Number: Q.5 Agenda Item Summary #3002 BULK ITEM: No DEPARTMENT: County Administrator TIME APPROXIMATE: STAFF CONTACT: Lisa Tennyson (305) 292 -4444 2:00 PM AGENDA ITEM WORDING: Approval of the "Management Plan" as required by the State of Florida Stan Mayfield Working Waterfront Grant to acquire the commercial fishing property on Stock Island formerly known as "Gulf Seafood" to preserve working waterfront access for the commercial fishing industry. ITEM BACKGROUND: The Stan Mayfield Working Waterfront Grant was awarded to Monroe County by Florida Department of Environmental Protection (DEP) through the Florida Communities Trust (FCT) to preserve the "Gulf Seafood" parcel on Stock Island as commercial fishing waterfront. Current Status: • Appraisals and Negotiations Strategy: FCT is currently working through a series of required steps for the acquisition. FCT has completed the property appraisal phase and is developing a negotiation strategy. Management Plan: As required by the Grant, Monroe County must provide a Management Plan; and the State and County must agree with the terms of the management plan prior to closing. The management plan includes purpose for acquiring the Project Site, proposed uses of property, a site plan, a project schedule, proposed physical improvements and cost estimates, and ongoing maintenance and management responsibilities required for the proj ect. • The County Commission expressed its intention that the management of the property be contracted /leased out to an entity through public procurement process, and this is reflected in the Management Plan attached. • The County Commission has expressed a desire to utilize a portion of the site for the support activities required for proposed mooring field in the Boca Chica Basin. All activities proposed on the Project Site requires approval by FCT, and must be addressed in the Management Plan. A discussion of this activity is included in the Management Plan attached. Next Steps: Packet Pg. 3142 Q.5 FCT is expected to begin negotiating with the property owner soon. If the negotiation is successful, then FCT embarks on the following: • Purchase Agreement • Certified Survey • Environmental Assessment o Closing and Recording of Restrictive Covenant The State and County will jointly purchase the 8 -acre parcel. The State's grant award for the acquisition will not exceed $2,291,793 and the County's match will not exceed $5,000,000. The State is the "acquiring agency" and is responsible for all acquisition activities including negotiations. The County is the "recipient agency ". The State and the County (collectively referred to as the "Purchasers ") will jointly execute a "Purchase Agreement" with the Seller. The document will come back to the County Commission for approval. Upon closing, the State will convey the property to Monroe County with restrictive covenants. PREVIOUS RELEVANT BOCC ACTION: In July 2016: The County approved the execution of the Grant Contract, and a resolution authorizing the execution and acceptance of the grant contract, and in August 2016 approved the execution of a Confidentiality Agreement. The approvals enable FCT to begin their acquisition process. March 2015: BOCC approved the renewed commitment letter upon notification from FCT of availability of $2M grant for Gulf Seafood property acquisition. Staff met with the new property owner, who expressed his willingness to sell, and offered a new acquisition price of $7M. FCT requested that we provide them with a renewed commitment letter indicating the County's interest in moving forward, and including confirmation of the County's contribution toward the acquisition cost. However, subsequent to the Board's approval to move forward, the property owner then failed to express his interest in proceeding, and the project stalled. In December 2015, FCT notified us that the grant had expired due to lack of progress. In May 2016, we had yet another opportunity to pursue the grant funds. At the same time, the property owner re- initiated his interest to sell. We were then finally ready to move forward, the FCT prepared the grant contract. November 2008: BOCC approved application for a grant through the Stan Mayfield Working Waterfront Program of the Florida Communities Trust (FCT) to acquire commercial fishing waterfront, specifically the "Gulf Seafood ". The County's project was not funded the first round. December 2006: The Marine Port Advisory Committee recommended to the BOCC the purchase of this parcel for preservation of working waterfront. The recommendation was further supported by the Advisory Board for the Florida Keys National Marine Sanctuary with requested that the BOCC "urgently consider the purchase of the Gulf Seafood site for the preservation of the commercial fishing industry and associated traditional fishing industry and associated traditional way of life in Key West and the Lower Florida Keys ". CONTRACT /AGREEMENT CHANGES: Packet Pg. 3143 Q.5 N/A STAFF RECOMMENDATION: Approval. DOCUMENTATION: Stan Mayfield Grant Project Management Plan (Complete for Agenda) FINANCIAL IMPACT: Effective Date: Expiration Date: Total Dollar Value of Contract: $7M Total Cost to County: $5M Current Year Portion: Budgeted: Source of Funds: CPI: Indirect Costs: Estimated Ongoing Costs Not Included in above dollar amounts: Revenue Producing: Grant: County Match: Insurance Required: Additional Details: If yes, amount: REVIEWED BY: Bob Shillinger Completed 05/09/2017 3:01 PM Budget and Finance Completed 05/09/2017 3:45 PM Maria Slavik Completed 05/09/2017 3:57 PM Kathy Peters Completed 05/09/2017 4:43 PM Board of County Commissioners Pending 05/17/2017 9:00 AM Packet Pg. 3144 Q.5.a Florida Communities Trust Stan Mayfield Working Waterfronts Program MANAGEMENT PLAN (Draft) O 0 Submitted by: y Monroe County c� Board of County Commissioners o M CU Q Office of the County Administrator L '° 1100 Simonton Street m w Key West, Florida E 33040 Stock Island Commercial Fishing Working Waterfront Facility Project Number: 08- 001 -WW1 May 17, 2017 Packet Pg. 3145 I Q.5.a I Mayfield Grant Management Plan Monroe County, May 2017 TABLE OF CONTENTS I. INTRODUCTION ..................................................................... ..............................2 II. PURPOSE ................................................................................. ..............................4 III. SITE DEVELOPMENT AND IMPROVEMENT ........................ ..............................8 IV. BUSINESS ACTIVITIES .......................................................... .............................11 V. CONCESSIONS AND LEASES ................................................. .............................14 VI. MANAGEMENT NEEDS .......................................................... .............................14 VII. COST ESTIMATES AND FUNDING SOURCES ....................... .............................15 VIII. PRIORITY SCHEDULE ............................................................ .............................18 IX. MONITORING AND REPORTING .......................................... .............................19 X. MOORING FIELD SUPPORT ACTIVITY ................................ .............................19 EXHIBITS................................................................................ .............................21 A. Location Map B. Master Site Maps C. Drainage Plan D. Site Plan and Parking E. Map of Redeveloped Adjacent and Nearby Waterfront Properties F. Business Plan for Gulf Seafood Facility 2017, T. Murray G. Potential Economic Activity Associated with Gulf Seafood 2007, T. Murray H. Copy of Grant Contract 0 0 m m U) c� N O O 1 P L Pf 3146 raVne� ry. � I Q.5.a I Mayfield Grant Management Plan Monroe County, May 2017 I. INTRODUCTION Project Name: Stock Island Commercial Fishing Working Waterfront (aka "Gulf Seafood ") Location: 6001 Peninsular Avenue, Stock Island; adjacent to Boca Chica Channel, Mile Marker 5 on the Atlantic side of US Hwy 1. The subject property has the additional addresses of 8 Peninsula Avenue, 6011 and 6021 Peninsular Avenue, and consists of 12 contiguous parcels. Type of facility: Commercial fishing Zoning: Mixed Use FLUM Designation: Mixed Use Commercial Tier Designation: Tier 3 The property ( "project site ") is a unique 8 -acre boat basin located on the southeast side of Stock Island in unincorporated Monroe County. The subject parcel is classified as marine working waterfront and lies within a Mixed -Use zoning district, with a vested right for use as a commercial fishery. The project site consists of a fenced, upland area of 4.9 acres (213,615 square feet), provides space for trap and gear storage, boat repair services and parking. The project site also includes 3.13 acres (136,343 square feet) of submerged land in a protected, U- shaped basin. The basin is private, non - sovereign submerged land. The entire basin is bulk - headed with 2,445 linear feet of seawall for dockage _ space. �r- The boat basin has a control depth of 20 feet and the channel entrance has a control depth of 6 -8 feet, which is ideal for accommodating commercial fishing boats. The basin has direct access to the . Boca Chica Channel. This channel links the Atlantic Ocean to the east, Aerial View of Project Site with the Gulf of Mexico to the west. The site contains a newly constructed 2,400 sq. ft. building ( "fish house ") that contains space for handling and weighing catch and a commercial ice maker. The parcel is located along the eastbound lane of Peninsular Avenue, which is a two lane road, and is approximately 250 feet east of Maloney Avenue. The property is approximately one mile southeast of Overseas Highway, which is the only major road in the Florida Keys. The street includes a dedicated right -of -way of 60 feet. 0 �a m U) c� N 0 0 M 2 P L P'f 3147 raVne� ry. � I Q.S.a I Mayfield Grant Management Plan Monroe County, May 2017 The entire site is level and at road grade. The site has no adverse easements or encroachments. The parcel is located in unincorporated Monroe County, which is part of the Florida Keys Area of Critical State Concern. The property is being acquired for the primary purpose of providing and preserving in perpetuity access to working waterfront for commercial fishermen, specifically dockage and trap storage, the two most important, pressing and threatened needs of our local commercial fishing fleet. Historically, the property has been an active working waterfront for commercial fishing. Once the site of Woodsy -Niles Fish house, and more recently Gulf Seafood, this parcel has operated as a commercial fishery for decades. The property current commercial fishing use is highly threatened by rising property values and redevelopment pressures in the Keys. It is part of a pattern of working waterfront that is in redevelopment transition, slowly displacing the commercial vessels they once housed. Many of the nearby working waterfront properties, that once were utilized for commercial fishing, have been redeveloped into upscale commercial marinas (with hotels, boat barns, etc.) and are no longer accessible to commercial fishermen. There are only three working waterfront properties remaining, including the project site, that still provide access for commercial fishing. This is happening despite the continued economic value of the commercial fishing industry in Florida Keys, and in particular, the Stock Island commercial fishing industry, which ranks as the 10 most valuable commercial fishing port in the nation.2 Grant funding from Florida Communities Trust will be used to acquire the subject parcel and this management plan has been developed to ensure that the project site will be developed in accordance with the Declaration of Restrictive Covenants and in furtherance of the purpose of the grant funding. The balance of the funding necessary for the acquisition of the subject parcel is provided by Monroe County Board of County Commissioners as part of its effort to preserve an economically and historically important part of the Florida Keys community. 1 A map of adjacent and nearby properties that have been redeveloped to upscale commercial marinas is attached as exhibit. 2 NOAA, Fisheries of the US, 2015 0 0 �a m c� N O O 3 P acke t n 3148 raVne� P g. � I Q•5.a I Mayfield Grant Management Plan Monroe County, May 2017 II. PURPOSE Purpose for Acquiring the Site The Gulf Seafood facility is the single most important working waterfront property for commercial fishing in the lower Florida Keys. The purpose of this acquisition is to put ,^ this critical part of the working waterfront in the public domain, preserving it in c perpetuity as commercial fishing working waterfront. m U) This acquisition represents one of the last opportunities we may have for maintaining working waterfront access, and preserving the historic, economic and cultural importance of the commercial fishing industry in Key West and Monroe County. c M Acknowledgement that Project Site will be managed as commercial fishing working waterfront The property will be managed only as a working waterfront as defined in the Florida statutes as: a parcel or parcels of land directly used for the purposes of the commercial harvest of marine organisms or saltwater products by state - licensed commercial fishermen, aquaculturists, or business entities, including piers, wharves, docks, or other facilities operated to provide waterfront access to licenses commercial fisherman, aquaculturists, or business entities. Brief Description of Existing and Proposed Activities on the Site • Dockaize Existing. Provides dockage for commercial fisherman with 2,445 linear feet of seawall (1,800 if of inner perimeter seawall and an additional 647 if of outer perimeter seawall.) • Trap Storage Existing. Provides abundant upland space provides for trap and gear storage (room for approximately 50,000 traps.) Also, ample upland space for routine ingress /egress by commercial vehicles for off - loading catches and vessel accessibility for fueling and maintenance by commercial vehicles. • Fish house facility (2,400 so: Existing. Provides an area for off - loading, handling, and weighing of catch, and a commercial icemaker capable of producing over 5,000 pounds of ice per day. Boat /travel lift basin Existing. • Boat /travel lift Proposed. Investment in a travel lift will allow for the haul out of commercial vessels for maintenance and repair. • Deep Channels and Access Existing. Provides excellent access with frontage along the Boca Chica channel which links to the Atlantic to the east and the Gulf of Mexico to the 4 P L P'f 3149 raVKe� P g. � I Q•5.a I Mayfield Grant Management Plan Monroe County, May 2017 west, deep -water navigation channels, nearby road transportation, and proximity to support services. • Storm protection Existing. Location provides natural protection against potentially damaging hurricane winds. 0 Furthering the Protection of a Working Waterfront a� The facility is located in the blue - collar, working class community of Stock Island, just outside of the City of Key West. By tradition, regulation and current business activity, Stock Island is the primary working waterfront and one of the last few operational ports for c commercial fishing in the Florida Keys. However, the continuing trend of redevelopment of waterfront properties in Stock Island will eventually absorb most of the remaining working waterfront currently utilized for commercial fishing. The acquisition of the Gulf Seafood facility on Stock Island represents one of the last opportunities for maintaining working waterfront access, and preserving the historic, economic and cultural importance of the commercial fishing industry in Monroe County. The purpose of the acquisition of this property is to maintain its current use as a functioning commercial fishing working waterfront; and the restrictive covenants that accompany the State grant funding will preserve in perpetuity the property's use for commercial fishing working waterfront, furthering the protection and continuation of working waterfront by protecting it from current and future threats of redevelopment into other uses, such as commercial marinas, that further reduce and restrict access to the waterfront for commercial fishermen. Development and Management of Project Site Will Provide Economic Benefit In 2015, 17.3 million pounds of lobster, stone crab, and finfish valued at $71.2 million was landed in Monroe County, making it the 10 most valuable port in the nation, the 5 most valuable in Gulf of Mexico, and the most valuable port in the State of Florida. The economic significance of commercial fishing in Monroe County is demonstrated by just about every measure: SPLs, federal permits, ex- vessel value of landings, fishing trips, number of traps and number of vessels. The Keys' commercial fleet, and in particular the Stock Island fleet, is significant to the local and state fisheries - related economy. The Florida Key's economic vitality is particularly reliant upon maintaining and encouraging working waterfronts. Our working waterfronts provide a workplace for fisherman and the sectors associated with the fishing industry. Next to tourism and the Navy, commercial fishing is the most valuable sector of our local economy. 5 P L P'f 3150 raVne� ry. �i�u � I Q•5.a I Mayfield Grant Management Plan Monroe County, May 2017 Our tourist economy relies in part upon the iconic image of fisherman plying the oceans for their living. While the county's working waterfronts play a large role in the local and the state's economy, a very small portion of our waterfront remains as working waterfront, and these precious few working waterfront areas are under constant threat. Florida spiny lobster and stone crab are the area's primary catches and each is a highly valuable product. According to Florida Fish and Wildlife Service, the Florida Keys lands 90% of the nation's spiny lobster. The value of this catch is so high that the Florida Keys is the 10th most valuable commercial fishing location in the country. Much of this catch is harvested from two main fishing zones ( "Key West" and "Tortugas ") in close proximity to the project site. Fifty -one percent (51 %) of the total Keys' output is produced in Stock Island /Key West.3 The economic significance of the Gulf Seafood parcel as part of Stock Island's productive working waterfront cannot be overstated. The site is currently operational as a commercial fishing facility, but its operations have lacked stable, consistent management, due to ownership turnover and absence. This has discouraged high producing fishermen from working out of this location, and the site clearly is not currently maximizing its potential. Despite this, the facility still managed $6M in sales (landing just over 10% of the overall catch value coming into the lower Keys.)4 Buoys Piled Along Project Site's Seawall There is much opportunity for growth. A study entitled Potential Economic Activity Associated with Gulf Seafood Facility Key West, Florida 2007 projects the potential economic impacts of an operating facility at Gulf Seafood and estimated that 50 -75% share of the Stock Island commercial fishery landings is reasonable at the Gulf Seafood property.s This growth potential also extends to fishermen who will be more willing invest in the expansion of their individual business enterprises because they will have a permanent and secure location for their present and future operations. The purchase and preservation of the Gulf Seafood parcel will have additional positive impacts on labor income, business activity, and the continuation of the Florida Keys' brand as the seafood business center of Florida and the Southeastern United States. 3 Bill Kelly, Executive Director of the Florida Keys Commercial Fishermen's Association 4 Thomas J. Murray, Business Plan for Gulf Seafood Facility 2017, Prepared for Monroe County, Attached as Exhibit s Thomas J. Murray and Associates, Inc., Potential Economic Activity Associated with Gulf Seafood Facility Key West, Florida 2007; prepared for the Florida Keys Commercial Fishing Association, Inc. (In 1998, NOAA established a set of commercial fishing panels to monitor the impacts of sanctuary regulations on commercial fisheries. Thomas Murray and Associates, Inc., was contracted to set up the commercial fishing panels and collect information to assess their catch and financial performance. Thomas Murray and Associates subcontracted with the University of Miami, Rosenstiel School of Marine and Atmospheric Science, to collect data directly from fishermen.) Attached as Exhibit. 0 0 �a m c� N O 0 M 6 P L Pf 3151 raVne� ry. � I Q.S.a I Mayfield Grant Management Plan Monroe County, May 2017 Desired Future Condition and Uses of the Site The desired future condition is the continued provision of commercial fishing working waterfront, with a more stabilized operation that maximizes the growth potential for the site, the fishermen and the local industry. Priority Project Objectives The priority objective is to ensure guaranteed, reliable and stable access to working waterfront for commercial fishermen, specifically protecting areas for dockage, storage for traps and gear, and a place to unload and sell catch. Summary of Comprehensive Plan Directives Furthered by the Project The subject parcel is classified as marine working waterfront and lies within a Mixed -Use zoning district, with a vested right for use as a commercial fishery. Contained within the County's Year 2030 Comprehensive Plan6 are the following provisions specific to the project site and Stock Island's working waterfront: Policy 101.5.6: The principal purpose of the Mixed Use /Commercial (MC) future land use category is to provide for the establishment of mixed use commercial land use (zoning) districts where various types of commercial retail and office may be permitted at intensities which are consistent with the community character and the natural environment. Employee housing and commercial apartments are also permitted. In addition, Mixed Use /Commercial land use districts are to establish and conserve areas of mixed uses, which may include maritime industry. light industrial uses, commercial fishing, transient and permanent residential, institutional, public, and commercial retail uses. This future land use category is also intended to allow for the establishment of mixed use 6 Monroe County 2030 Comprehensive Plan: httl2:// www. monroecounty- fl.gov /DocumentCenter /Home /View /4606 0 �a W 0 N O O M 7 P L P'f 3A 52 raVne� ry. �i�c � Project Site Zoning Designation and FLUM I Q.S.a I Mayfield Grant Management Plan Monroe County, May 2017 development patterns, where appropriate. Various types of residential and nonresidential uses may be permitted; however, heavy industrial uses and similarly incompatible uses shall be prohibited. The County shall continue to take a proactive role in encouraging the preservation and enhancement of community character and recreational and commercial working waterfronts • Policy 105.2.6: Monroe County shall, incoordination with private sources, federal and 6 state agencies implement a land acquisition program to acquire lands which enhance public access to the shoreline and water - dependent uses such as beaches, marinas, docks in and lands; however, Monroe County Land Authority funds shall not be used for this purpose. �? N O • Policy 217.1.1: The strategy to preserve and protect commercial fishing and CD recreational and commercial working waterfront uses. • Policy 101.5.7: The principal purpose of the Mixed Use /Commercial Fishing (MCF) future land use category is to provide for the maintenance and enhancement of commercial fishing and related traditional water - dependent and water - related uses such as retail, storage, and repair and maintenance which support the commercial fishing, sport fishing, and charter boats industry. III. SITE DEVELOPMENT AND IMPROVEMENT Acknowledgement Signage Monroe County will identify the project site in all literature and advertising as acquired with funds from the "Florida Communities Trust" and operated as a Commercial Fishing Working Waterfront. Monroe County commits to the placement of at least one acknowledgement sign identifying the project site as being purchased with funds from "Florida Communities Trust" to ensure the continuation of the site as a Commercial Fishing Working Waterfront. The sign will be at least 3' x 4' and include the FCT logo and the year the site was acquired. The sign shall be located at the project site's entrance area. Existing Physical Improvements The project site contains the following improvements and features: • 5 acres of upland (fenced); • 3 acre basin (private bay bottom); • 2,445 if of seawall (about 400 if newly repaired.) • Fish house facility (newly constructed 2,400 sf facility providing space for weighing and processing catch and a commercial ice maker, capable of producing over 5,000 lbs per day.) • Travel lift basin; • Utilities (water, sewer and electricity) are provided to most of the parcel. Packet Pg. 3153 I Q.5.a I Mayfield Grant Management Plan Monroe County, May 2017 Project Site Features a Upland Trap Seawall i MR New $ Storage., Repair., " Seawall Fish "A r y house F,- y" Lift basin M" "_' Upland Trap Op ••� _ Storage r F�. Upland Trap Storage ' Fencing Proposed Physical Improvements The facility is fully operational as is. The following have been identified as physical improvements that will be required or are desirable, and these will be addressed in phases: • Seawall repair /replacement • Extension of utilities to the north side of the facility • Storm water retention • Purchase of a travel lift Physical improvements will be constructed in accordance with all applicable regulations, and the County will ensure that all required permits are obtained. Before any site alterations or physical improvements that are not already addressed in the approved Management Plan, Monroe County will first obtain FCT review and approval. Parking In compliance with County regulations, 4 parking spaces are provided on the project site. Landscaping The property is all concrete and asphalt. 0 Rf d N N O O 9 P L P'f 3A5A raVKe� P g. �i�4 � I Q•5.a I Mayfield Grant Management Plan Monroe County, May 2017 Invasive Plants and Animals There are no identified invasive exotic plants on the property. The County will work in cooperation with Florida Fish and Wildlife to identify invasive exotic animals found in the area. Water Quality Protection °o �a There is a drainage plan for a berm and swale system. A swale system has been N implemented. We anticipate some level of additional drainage /retention to be necessary. This will be phased in. The County will ensure that the project site is in compliance with storm water requirements and if additional storm water improvements are determined to c be necessary will ensure that all required permits will be obtained. CD Hazard Mitigation The parcel is in an AE flood zone. No habitable structures are contemplated; any habitable structures on the property will be elevated. Educational Display The County, in conjunction with the local Florida Sea Grant office, will conduct educational activities with fishermen to encourage sustainable resource practices and will erect an educational kiosk for the visiting public that will explain the historical and cultural significance of commercial fishing as well as conducting activities such as tours and observations of the commercial fishing operations at the fishery, subject to public safety and security issues. Permits Permits will be required from the State of Florida DEP and the US Army Corps of Engineers for seawall repairs. Monroe County will ensure that all applicable local, state, and federal permits are obtained that may be necessary for future improvements. Easements There are no existing easements, and none are anticipated at this time. Any future proposed easement will require the prior written approval of FCT. Monroe County will not execute any document related to easements without the prior written approval of FCT. Any easement - related fees will be places in a segregated account solely for the upkeep and maintenance of the project site. 7 Facility drainage plan attached as exhibit. It has been asserted that there is a swale system on the property. This hasn't been independently verified. Also, since additional use may necessitate upgraded drainage and retention, we assume some level of additional investment. 10 P L P1 3A CC raVne� ry. �i�a � I Q.5.a I Mayfield Grant Management Plan Monroe County, May 2017 IV. BUSINESS ACTIVITIES Describe the existing activities on the site. The project site is currently operational as commercial fishing working waterfront. The site is providing dockage and trap /gear storage for approximately 10 vessels. The fish house is providing space for the handling of catch and for the provisioning of vessels with ice. Describe the proposed activities on the site. The County will maintain ownership, and will contract the ongoing management of the property and activities to a qualified entity that is competitively procured. With a stabilized ownership and management and certainty about the future, the site will attract additional vessels. As is, the site can accommodate approximately 20 -25 vessels. Additional dockage space once repairs are made to the currently unusable sections of the seawall. The site will eventually be able to accommodate up to 40 vessels. I r - Vessel haul out services, a small boat yard, sale of Project Site's Fish /Ice House ice and bait, low level packaging are potential support activities contemplated on the site. The primary activities and revenues collected on the project site shall conform to the purposes of the Working Waterfront program. Explain the service, benefits, and support to the commercial seafood industry. The primary service /benefit of this project is to provide permanent dockage and trap storage space for one of Florida's most valuable fisheries. Despite their high productivity and contribution to the local and state fishing industry, our licensed, commercial fishermen lack permanent, secure, safe dockage and adequate trap storage space. Currently, every single commercial fisherman in Stock Island, even the top producers, occupies his space without benefit of a lease or contract. In addition, there is no dockage available for independent licensed commercial fishermen, who also sometimes must use their own personal residential property for dockage trap storage. County ownership of this project site will protect its commercial fishing use in perpetuity ensuring stable and certain working waterfront access for the industry environment for the commercial fishing industry in Monroe County. 0 0 m a� U) c� N O 0 M 11 P L P1 31 56 raVne� ry. �iav � I Q.5.a I Mayfield Grant Management Plan Monroe County, May 2017 Explain any activities indirectly supporting the commercial seafood industry. This project will be providing direct support to the commercial fishing industry by providing critical dockage and trap storage. Important support services including haul out services via a travel lift for commercial vessels that require maintenance and repairs and a small boat yard area in which fishermen can do maintenance and repairs on their vessels. The fish house might consider additional services such as sales of bait and other necessary provisions. In addition, this property can serve as a "hurricane hole" for additional vessels during major storm events. Describe the current and future demand for the facilities and activities to be provided The following information is drawn from a report, by fisheries economist, Thomas Murray, which was developed at the request of Monroe County to gain an understanding of the facility's baseline level of activity, the value of that activity, and its growth potential.$ Murray's report confirms that the primary catch is highly valued (a benefit to both the fishermen and the facility) and the market for this catch is strong. The facility, despite instability and unsteady management is estimated to be landing 10% of the available catch harvested from the main harvesting areas. The facility's landings will only increase with strong, steady management and certainty for future dock and trap storage access. Per the report: The products produced are harvested under State and Federal government instituted limited access privilege (limited entry) programs. This approach has led to a concentration in harvest rights; and as intended, stability in the marketplace. Additionally an important business asset has accrued to those fishermen holding the trap certificates and licenses needed to produce spiny lobster and stone crabs. Spiny lobster is traded on the world market, and in recent years has gained significant value to the Keys harvesters with the introduction of live shipping of the product from the boat to international market places. The Keys produced over 90% of the spiny lobster produced in the U.S. As such it commands a strong place in the market, which translates to a relatively dependable and profitable fishery for local Keys fishermen such as those using the Gulf Seafood facility. Similarly, stone crabs have become highly regulated with fishing effort control programs instituted by the state of Florida. These controls have limited effort and thus competition for the resource, creating higher economic rents for the fishery participants. These increased rents are embodied in the increased value of the fisherman's permits and trap certificates. [I]t is estimated that just over 10% (10.4 %) of the region's $46.7 million in landed a Thomas J. Murray and Associates, Inc., Business Plan for Gulf Seafood Facility 2017, February 2017. Attached as exhibit. 0 0 �a W 0 N O O 12 P L P1 31 57 raVne� ry. Liar � I Q.5.a I Mayfield Grant Management Plan Monroe County, May 2017 value came across the facility's dock. ... $4.78 million of spiny lobster, stone crab, and king mackerel were unloaded at the facility. These landings reportedly resulted in total gross receipts for the facility of $5.8 million. To evaluate the future potential for the facility, the documented 2013 level of activity 6 is used as a baseline for projections. Plans for a more extensive wholesale activity are based upon modest growth in the number of vessels consistently utilizing this in facility. c� The table below reflects the overall values of unloading at the facility, with potential N incremental increases from the 2013 level in the overall percent of the region's M landings accruing at the facility. The exhibit is based upon the average regional ,^ landings of $46,703,049 and the 2013 facility actual values of $4,857,117 as a baseline. c, Clearly there is opportunity for more of the regional catches to be landed at Stock Island with redeveloped working waterfront capacity such as at the Gulf Seafood Facility. Table 2. Future Facility Landings Scenarios Based Upon the Reported 2013 Landings and Varying Increased Shares of Key West Region's Commercial Fishery Landings Gulf Seafood 2013 Actual Gulf Seafood Gulf Seafood Gulf Seafood Gulf Seafood $5,896,104 2013 Actual Scenario I Scenario II Scenario III Percent of Regional $5,951,562 $7,429,453 $9,820,847 Net Profit Landings 0.104 0.12 0.15 0.2 Value of Landings $4,857,117 $5,604,366 $7,005,457 $9,340,610 ...Using the varying shares of the regions harvest accruing to the facility and continuing a 20% estimate for the cost of goods, Table 4 summarizes net profit estimate scenarios. Table 4. Facility Profitability Associated with Four Gulf Seafood Facility Landings & Revenue Scenarios Gulf Seafood 2013 Actual Gulf Seafood Scenario I Gulf Seafood Scenario II Gulf Seafood Scenario III Total Revenue $5,896,104 $6,725,239 $8,406,549 $11,208,731 Total Cost $5,181,939 $5,951,562 $7,429,453 $9,820,847 Net Profit $714,165 $773,677 $977,096 $1,387,884 The tables illustrate that even marginal increases in the level of landings at the facility will result in significant economic activity. 13 P L P1 31 58 raVne� ry. �i�o � I Q.5.a I Mayfield Grant Management Plan Monroe County, May 2017 Operation and Management of Facility Monroe County will contract for the management of the facility, and will conduct a procurement process to identify an appropriately qualified entity. Eligible respondents will include both private sector and not - for - profit entities. Desirable qualifications will include knowledge and experience with management of a property of this type and operation of a fish house, and ability to work cooperatively with commercial fishermen. Monroe County wishes to consider and will invite proposals for various models for management and operation. An RFP committee will be convened by the BOCC to evaluate responses to the RFP, and make recommendations for a management service provider to the BOCC. The management entity selected will enter into a contract with Monroe County that will detail respective responsibilities. Monroe County will conduct an annual audit of business activities on the site including all revenues and expenses. Monroe County will provide FCT 60 day prior written notice and information regarding the granting of any management contract, and no document will be executed without prior written approval of FCT. V. CONCESSION AND LEASES There are no current concessions and none are contemplated at this time. Should a concession be considered, Monroe County will provide FCT 60 day prior written notice and information regarding any lease of any interest and or the operation of any concession, and no document will be executed without prior written approval of FCT. Any fees collected related to concessions are to be placed in a segregated account solely for the upkeep and maintenance of the project site. Monroe County contemplates the possibility of a lease agreement with managing entity approved by the County. Details such as the length of the lease, the amount of the lease, who pays for insurance, maintenance, improvements, etc. are yet to be determined. It is anticipated that we will seek various proposals from managing entities that respond to the Request for Proposal, and will invite a range of possible scenarios, for the County to consider, and eventually to negotiate. Monroe County will provide FCT 60 day prior written notice and information regarding any lease of any interest and no document will be executed without prior written approval of FCT. Any fees collected related to a lease are to be placed in a segregated account solely for the upkeep and maintenance of the project site. There is no submerged land lease on the property; the bay bottom is privately- owned. Therefore no copy of such lease or affidavit of compliance with such a lease is provided. 0 0 m m c� N O O M 14 P L P1 3A 59 raVKe� ry. �i�y � I Q.5.a I Mayfield Grant Management Plan Monroe County, May 2017 VI. MANAGEMENT NEEDS Maintenance Short term maintenance requirements include general management of the site: security, maintenance, trash pick -up, utilities, and adherence to regulations. This will be the responsibility of the contracted manager. .a 0 0 Security U) The vessels and gear belonging to the commercial fishermen are highly valuable, and must be protected from vandalism and theft. Security will be the responsibility of the contracted manager. Security measures on the property include fencing, a locked gate at c ingress /egress, security camera, and posted hours signs. Security will be a responsibility of the contracted manager. Staffing Staffing will be the responsibility of the contracted manager. VII. COST ESTIMATES AND FUNDING SOURCES Operational Costs and Revenues To gain an understanding of costs and revenues to be generated by the project site, Murray's report examined the costs and revenues of the current facility operation. The facility currently operates as a traditional fish house operation in which fishermen sell their catch to the fish house and the price paid to the fishermen is determined by the wholesaler /fish house operator. In exchange, the fishermen pay no rent for their vessel dockage and trap storage or ice. However, based on discussions with the industry, and factoring in their recommendations, the County contemplates a different operational model, in which fishermen pay rent for their dockage and storage, and in exchange, the fishermen may, but are not obligated to, sell their catch to the on -site fish house operator, if a more competitive price can be obtained elsewhere. The report thus examined revenues based on that operational framework, and costs based on the most recent actual information that was provided. Facility Management Costs Estimated annual management costs: $300,000. This is drawn from the facility's list of actual operational costs: utilities, insurance, wages, 15 P L P1 3A 60 raVne� ry. Kivu � I Q.5.a I Mayfield Grant Management Plan Monroe County, May 2017 taxes and licenses, repairs and maintenance, etc.a We would expect that with increased activity on the site with additional vessels, the revenues and costs will both increase, and with stable, knowledgeable management, so too should the profit margin. Revenue Sources Moving forward, the County contemplates an operational framework in which revenue is -a obtained through four sources: �° �a (1) Rents charged to commercial fishermen; in (2) Lease fee from the operation of the fish house; (3) Lease fee for ancillary services, such as the haul -out travel lift service; and N (4) Grants. c All revenue derived from these sources will be maintained in a segregated account and be directed back to the facility to pay for expenses associated with ongoing property management and maintenance, and to a sinking fund for future improvements. The Murray report examined revenues from charging the facility's commercial fishermen rent. The scenarios described below are useful in illustrating that the estimated rent revenue ($260,000 - $362,500) is well within the range to cover the estimated costs ($300,000) for the day to day property management. Irrespective of the operation of the fish house, the anticipated rent revenue from fishermen for their use of the facility for its prime purpose - dockage and storage - is sufficient to cover project's management costs (in its "as is" condition and without necessitating 100% occupancy.) 1) Revenue from Rents As primarily trap fishermen, the facility's commercial fishermen require both dockage for their vessels and land -side property to store their traps and gear. The facility will charge a monthly dockage and trap storage rent to each commercial fishermen. In -Water Dockage: The facility can currently accommodate between 20 -25 commercial fishing vessels,io with average length of 40.' Land -side Property for Trap /Gear Storage: Each fishermen has an average of 3,000 traps and will require a land area of approx. 2,500 sf. to store them. 9 Ibid, page 7. Actual operating expenses total $324,822, but not all operating expenses listed, like "taxing district," are applicable to the future project. The County estimated approximately $267,000 of applicable expenses, and then applied annual CPI. io This is in the facility's current "as is" condition, prior to repairs to the seawall which when complete will increase the facility's dockage space, enabling the facility to accommodate approximately 40 vessels depending upon size of vessels and dockage configuration (side -to or stern -to). As we do not anticipate immediate repairs to the sea wall, we do not include that scenario in our revenue projections. 16 P L Pf 3161 raVne� ry. � I Q.5.a I Mayfield Grant Management Plan Monroe County, May 2017 Table 5. Dockage & Storage Lease Revenue: 40' Commercial Fishing Vessel Lease Space $ /Ft./Month $ /Ft./Year 40' Boat Length Total Per 40' Vessel vessels $11.50 $138.00 40' $5,520 Gear Storage (sq. ft.) $0.25 $3.00 2,500 sq ft. $7,500 Total $ Per Vessel & Gear $ 13,020 Number Vessels Total Revenue 20 Vessels $260,400 25 Vessels $325,500 An alternative provides a revenue scenario for a slightly larger storage area of 3,000 sf. Table 5. Dockage & Storage Lease Revenue: 40' Commercial Fishing Vessel Lease Space $ /Ft./Month $ /Ft./Year 40' Boat Length Total Per 40' Vessel vessels $11.50 $138.00 40' $5,520 Gear Storage (sq. ft.) $0.25 $3.00 3,000 sq. ft. $9,000 Total $ Per Vessel & Gear $ 14,500 Number Vessels Total Revenue 20 Vessels $290,000 25 Vessels $362,500 2) Revenue from Contracted Management Entity The County anticipates requiring a "profit- sharing" arrangement or lease fee from the operator. We do not yet have an estimate for this, as it will depend on the contracted manager's estimates and actuals for revenues, costs, and net profits, and the negotiated terms of the contract /lease. Monroe County contemplates that the contracted operator will be responsible for obtaining all required business permits, and for paying all applicable fees, taxes, etc. The precise framework for the overall operation and management of the facility, and the assignment of responsibilities for facility upkeep, repairs and future improvements will be negotiated in detail as part of the contract /lease negotiation. 3) Revenue from Ancillary Services Vessel Haul -Out Services: This is not only a service desired by the facility's commercial fishermen, this is a service that is in generally high demand and could be contracted out to service both 0 0 m m N t7 N O O M 17 P L P1 3A 62 raVne� ry. �ivc I I Q•5.a I Mayfield Grant Management Plan Monroe County, May 2017 facility and non - facility commercial fishing vessels, as an additional revenue producer. According the State of Florida, the most recent year with data available (2015), Monroe County is home to an estimated 300 commercial fishing vessels with overall lengths from 40'- 65'.11 This size class (lobster and stone crab industry) is the target clientele. Hauling the majority of these vessels (often with traps or nets onboard) would require travel lifts of between 50 and 75 tons capacity. Estimates provided by marine trade indicated that a new 50 -ton capacity travel lift would cost approximately $350,000 in the Key West area. A 75 -ton lift would be an estimated $450,000. There are such lifts available as previously used, which would be available at approximately 50% of their cost new. 4) Grants Grant funding will be sought at the federal, state, and local levels. Sources of grants will include the Florida Fish and Wildlife Commission, Florida Department of Environmental Protection, South Florida Water Management District. Monroe County will evaluate all available funding opportunities and options on an ongoing year -to -year basis. Cost Estimates for Future Physical Improvements • Installation of utilities: 12 $ 150,000 • Purchase of used travel lift: $ 250,000 • Purchase of a new travel lift: $ 450,000 • Storm water Retention:,3 $ 200,000 • Seawall Repair: 14 $ 1,000,000 None of these are immediately required for the current operation of the facility. The site "as -is" can accommodate 20 -25 vessels. Utility and sea wall improvements will enable the facility to accommodate a higher number of commercial fishing vessels. Purchase of a travel liftwill provide support services to the commercial fishing industry, as well as opportunities for additional revenue. VIII. PRIORITY SCHEDULE No improvements are immediately required in order for the project site's business activities to take place. All site improvement plans are dependent upon the availability of funding, and will be phased -in. The schedule is yet to be determined. ii Florida Department of Motor Vehicles "2015 Alphabetical Vessel Statistics by County". 12 Utilities are provided on most of the parcel, including the fish house building. Only the northern section of the parcel lacks utilities, specifically electricity and water. 13 It has been asserted that there is a swale system on the property. This hasn't been independently verified. Also, since additional use may necessitate upgraded drainage and retention, we assume some level of required investment. 14 Estimated to cost $2,000 per linear foot. Approximately 5001.f. is in need of repair /replacement. 0 0 �a m 0 N O O M 18 P L P1 3A 63 raVne� ry. �iv� � I Q•5.a I Mayfield Grant Management Plan Monroe County, May 2017 IX. MONITORING AND REPORTING Monroe County will prepare an Annual Stewardship Report, due on October 30 of each year, which evaluates the implementation of the Management Plan. Monroe County will provide documentation that all business permits are current and business fees have been paid. Monroe County will provide documentation that all environmental permitting is obtained for physical improvements made to the project site. Any proposed modification of the Management Plan and /or undertaking any site alteration or physical improvements that are not addressed in Monroe County's approved Management Plan requires prior FCT review and approval. X. MOORING FIELD SUPPORT ACTIVITY Monroe County proposes to use a small portion of the project site to house a shore -side facility for a managed mooring field in a marine area not far offshore from the Gulf Seafood property known as the Boca Chica Basin. We are currently working to develop this managed mooring field to further protect our marine environment and resources. The Keys are nested in highly environmentally sensitive waters that are all part of the National Marine Sanctuary. These waters attract large numbers of boaters, particularly live - aboard boaters. Many live - aboards are responsible stewards; but lots are not. They moor in sensitive areas, killing seagrass and maiming the ecosystem. They fail to dispose of their trash or waste properly, so it ends up in the water. Their vessels are in poor, pre - derelict conditions, which often become derelict, which are then hazardous to other boaters and the environment, and expensive to remove. By establishing a managed mooring field, most, if not all of these conditions, and their environmental impacts would be addressed and eliminated. DEP sets the requirements for mooring fields15, one of which is the provision with a shore -side facility to provide management and oversight and basic services to the live - aboards. Since DEP strongly favors the establishment of mooring fields we are hoping that the agency will consider the need and value of a shore -side facility and allow it as ancillary on the commercial fishing property 6. Below we have outlined what we believe would be DEP's minimum standards for the shore -side facility for a mooring field with approximately 40 moorings17. Providing the minimum standards will minimize its footprint and impact on the commercial fishing operations which are and will remain the primary focus for the property. County staff will manage the mooring field. 15 State Rule 62- 330.420 General Permit to Local Governments for Public Mooring fields describes that: 3. The mooringfield shall be associated with an existing or permitted land -based supportfacility that is operational prior to the mooringfield being occupied. The land - based supportfacility shall provide amenities and conveniencesfor the number ofoccupants that are using the mooringfield (e.g. bathrooms, shower facili ties, laundry facili ties, etc.). 16 Monroe County understands that FCT approval of this activity on the project site does not confer permitting of the actual mooring field, which must be obtained separately. 17 The mooring field and shore -side facility- related operating expenses, physical improvements, and revenues will be kept discreet from those related to the project site. 0 0 �a m c� N 0 0 19 P L P1 3164 raVne� ry. � I Q•5•a I Mayfield Grant Management Plan Monroe County, May 2017 Minimum shore -side facilities required are: • Dinghy dock for 35 dinghies (175 linear ft) • Pump out dock (25 linear ft) • Bicycle racks • Fencing /barriers to separate user groups • Mooring field manager's office (160 so • Trash receptacles • Security Project Site in Relation to Proposed Mooring Field Project Site with Possible Location of Shore -side Facilities (Identified in green) 20 0 �a m c� N 0 0 M Packet Pg. 3165 I Q•5.a I Mayfield Grant Management Plan Monroe County, May 2017 EXHIBITS I. Location Map J. Master Site Maps K. Drainage Plan L. Site Plan and Parking M. Map of Redeveloped Adjacent and Nearby Waterfront Properties c N. Business Plan for Gulf Seafood Facility 2017, T. Murray 0. Potential Economic Activity Associated with Gulf Seafood 2007, T. Murray in P. Copy of Grant Contract N O O M 21 P L P1 3A PP raVne� ry. �ivv � I Q•5.a I EXHIBIT A: LOCATION MAP South Stock Island, Monroe County Mayfield Grant Management Plan Monroe County, May 2017 0 0 m m t7 N O O M 22 Packet Pg. 3167 I Q•5.a I Mayfield Grant Management Plan Monroe County, May 2017 EXHIBIT B: MASTER SITE MAP , F 23 0 m m U) t7 N O O M Packet Pg. 3168 I Q•5.a I Mayfield Grant Management Plan Monroe County, May 2017 4. l' sop 24 0 0 cc d N t7 N O O M Packet Pg. 3169 I Q.5.a I Mayfield Grant Management Plan Monroe County, May 2017 EXHIBIT C: DRAINAGE PLAN i = a.. &ccrs :r a "s "se... ilm5asai SS�SF E @9 °a8 a. 17 1 II�S f21ffi6N<'UAI7t91RMFT' @4.LLF SEAF!?0'�9 dEVE[SW14ip{T wcrents o�: �+ /Pd AMIM111MF WIJ PUNW$t ARAVEN s STVCK+swnro. FL aXW xwlla Prxc�r, rxrnnvoa azlw 6RAMAGE PLAN IhL I 4116M AEI'R a]a81ij FCZEz ENGINEERmrG O d V N O O 25 P L P1 3170 raVne� ry. � 1 i 1 11 2 1 a. 17 1 II�S f21ffi6N<'UAI7t91RMFT' @4.LLF SEAF!?0'�9 dEVE[SW14ip{T wcrents o�: �+ /Pd AMIM111MF WIJ PUNW$t ARAVEN s STVCK+swnro. FL aXW xwlla Prxc�r, rxrnnvoa azlw 6RAMAGE PLAN IhL I 4116M AEI'R a]a81ij FCZEz ENGINEERmrG O d V N O O 25 P L P1 3170 raVne� ry. � I Q•5.a I Mayfield Grant Management Plan Monroe County, May 2017 EXHIBIT D: SITE PLAN AND PARKING (r)nw,ew�xra I! ® ea.diwr.sa .PFw. (awwwwwAns.wa �1 � xYwgWYYlI!Yw 1'.J M wY.1V' xm YYtLLI � YtAUY .� MIfM!�WWrFh �4MM��CYY 1 -- °"" nrwerw4 wwK Zvi LEGEND O r r -�� 4 a - M A R " I N A. ct I I i s e5 D L Aiaa �` � � , y � GQ '� "�""�• � utlP w«wnnPOw T.4PNAy C � . ` �V � se errs ewxasss±ePmreornye Asphtalt n�re' �c + ly- 18nnnl O aaarreewe 00111"Wi"Ou 0000- - m essara"rYF,w 'a dAnlr. .�w®w�°Y__� .. •- Offifel �" • P _. - - - - :.�,,, --" - 10-, e:: =J; .tr _. .........w.,,. t „. «..k..«,......,.... - SHO pka 0 0 A � W N 7 C9 N O O 26 P t Pf 3171 raVne� ry. � i w6lMY ma ati.o • r x.. 4ew rwl uP w,.0 wwY4 r {,Pat wxlNr4WU lyyrr.,y. ul+u u4P N q++a WnnY�f�ururi wnq xr Hww YI41eLe1 ��Mw..n w3w rhW +Gri4_. kw PlalplM .rl N-- reitia p4f4. OX�tWYa! at{ . Px q�qq.. PY Wx9� - r td� pl enle •w. w' 4wx i�.wz a[w+w[Yry OIr1 � MAl . Ixpy W wY u�i 41 . ! t Baal . 54 W M1 wlwe 1ro1 wmrvm 1e1N.l4dYlh� n _ __ Mw YM "Y , • 1.) '� Sf 0 C A A M 1 -- °"" nrwerw4 wwK Zvi LEGEND O r r -�� 4 a - M A R " I N A. ct I I i s e5 D L Aiaa �` � � , y � GQ '� "�""�• � utlP w«wnnPOw T.4PNAy C � . ` �V � se errs ewxasss±ePmreornye Asphtalt n�re' �c + ly- 18nnnl O aaarreewe 00111"Wi"Ou 0000- - m essara"rYF,w 'a dAnlr. .�w®w�°Y__� .. •- Offifel �" • P _. - - - - :.�,,, --" - 10-, e:: =J; .tr _. .........w.,,. t „. «..k..«,......,.... - SHO pka 0 0 A � W N 7 C9 N O O 26 P t Pf 3171 raVne� ry. � I Q•5.a I Mayfield Grant Management Plan Monroe County, May 2017 EXHIBIT E: PROJECT SITE ( "SUBJECT PARCEL ") AND ADJACENT AND NEARBY WORKING WATERFRONT PROPERTIES Properties in yellow represent commercial fishing uses (including the project site) Properties in red represent redeveloped upscale commercial marina uses 0 0 m m c7 N O O M 27 P L P1 3172 raVne� ry. � I Q.5.a I Mayfield Grant Management Plan Monroe County, May 2017 EXHIBIT F: BUSINESS PLAN FOR GULF SEAFOOD 2017 THOMAS J. MURRAY, FEBRUARY 2017 0 0 m m t7 N O O M `kj Packet Pg. 3173 Q.5.a 0 0 m m t7 Business Plan for Gulf Seafood Facility — 2017 0 0 Stock Island, Key West, Florida Prepared for Monroe County Board of County Commissioners by Thomas J. Murray & Associates, Inc. February 2, 2017 Revised February 24, 2017 Thomas J. Murray and Associates, Inc. Packet Pg. 3174 Q.5.a Business Plan for Gulf Seafood Facility — 2017 Stock Island, Key West, Florida O O cn d N 7 0 N O O M Assumptions and Limiting Conditions Information from secondary sources was utilized in this report. While the author believes such information is accurate, the author does not represent or warrant any information from secondary sources. Opinions contained herein are strictly those of the author. The author shall not be liable to any person or entity for actions taken in reliance thereon. This report is issued as of the date first above written. The author is under no obligation to update this report for any change in circumstances, information, law, etc. Only the addressee is entitled to rely upon this report. Thomas J. Murray and Associates, Inc. Packet Pg. 3175 Q.5.a Business Plan for Gulf Seafood Facility — 2017 Stock Island, Key West, Florida Prepared for Monroe County Board of County Commissioners by Thomas J. Murray & Associates, Inc. February 2, 2017 Revised February 24, 2017 INTRODUCTION The Gulf Seafood facility ( "facility ") located at 6011 Peninsular Avenue on Stock Island in Key West, Florida represents one of the last opportunities for maintaining commercial fishing industry working waterfront access in Key West. Faced with increasing demands for waterfront property, the resulting escalations in property values have influenced a series of property transfers out of the commercial seafood sector to other uses. The historic economic importance of the commercial fishing industry to Key West and Monroe County dictate that caution is taken when facing the loss of the few remaining working waterfront parcels in the region. This assessment is completed to estimate the level of recurring economic development activity that would result from the facilities' redevelopment. By maintaining its recent use as seafood receiving and wholesaling facility the facility will allow the local fishing industry to meet the seafood market's demands well into the 21s century. The operation will continue to provide positive impacts on labor income, business activity, and visitor attraction, as it would bolster continuation of the Florida Key's "brand" as the seafood business center of Florida and the Southeastern United States. OBJECTIVE The investment objective herein is to achieve long -term and stable waterfront access for Florida Keys commercial fishermen and vessels. Thomas J. Murray and Associates, Inc. 1 O �a m U) c� N 0 0 M Packet Pg. 3176 Q.5.a Business Plan for Gulf Seafood Facility — 2017 Stock Island, Key West, Florida BUSINESS DESCRIPTION & FUTURE VISION The facility has been in operation as a commercial fish house for many years, serving an integral economic role in the local commercial fishery. The role of first receiver ( "fish house ") in the commercial fishing industry is of utmost importance to harvesters and value -added to the local economy. Commercial fishing is c entirely a "water dependent" use. Without working waterfronts such as this facility —for docking, preparing for fishing trips, and efficient unloading —the domestic seafood in harvesting industry would not exist. In particular at this facility, the locally produced fishery products are at the highest ex- c vessel value level of any in the nation. This unique product mix, most notably spiny CD lobster and stone crabs, represents enormous value to harvesters a product that does not require extensive further processing or packaging. On average each of these raw products typically earns the harvester in excess of $10 per pound at first sale when a landed. o The unique product mix at this facility lends itself the use of a relatively unique approach to primary wholesaling. Little additional product handling or other value added functions are required at the facility. Essentially the facility may provide access for provisioning the vessels prior to trips, and accommodates the physical unloading in conjunction with the fishermen. Aside from those services— product weighing, and conducting associated State and Federally required documentations, and providing an access point for the boats to meet the various upland transporters constitute the facilities value- added. In view of this, the variable costs of operating the facility are significantly lower than those for other wholesale seafood operations outside the region. Market Definition The primary commercial fishing harvest areas relevant to the Gulf Seafood facility are Key West and the Tortugas ( "the region "). The State of Florida via the Florida Marine Research Institute ( "FMRI") collects data in a number of ways to account for the harvest, and value of harvest from these specific statistical "Collection Areas ". Of particular use here is the data collected as part of the Florida Trip Ticket System, which provides a level of regional detail sufficient to characterize local production history and potential. Figure 1 below illustrates the relative contribution of catch value for all commercial species landed in the Key West area from the two main fishery statistical collection zones —Key West and the Tortugas. While annual variations are noted, the average for the most recent 5 -year period, for which final FMRI data is available, was $46.7 million ex- Thomas J. Murray and Associates, Inc. 2 Packet Pg. 3177 Q.5.a Business Plan for Gulf Seafood Facility — 2017 Stock Island, Key West, Florida vessel. i The State data demonstrates that the source of the landings were nearly equally divided between Key West ($23.5 million) and the Tortugas ($23.2 million). Over the same five year period the landings value overall has a deviation of +/- 20% from year to year. Figure 1: Five Year Trend in Commercial Fishery Landings for the Major Key West Harvesting Areas 2 $70,000,000 $60,000,000 $50 ,000,000 $40,000,000 $30,000,000 $20,000,000 $10,000,000 $0 Key West Tortugas Total 2012 2013 2014 2015 Based upon discussions with industry in the area, and author's knowledge of the commercial fishing economic sector, a series of percentages are applied here to demonstrate the various levels of catch that may be handled at the facility. Obviously, as the share of the overall Key West or Tortugas catch increases (or decreases), the output for the facility will rise (or decrease). Industry projects that a significant share of the local commercial fishery landings is reasonable at the new facility if properly organized and managed. This is consistent with the immediate situation of ongoing displacement of commercial fishing vessels. i Chapter 68E -5 (F.A.C.) requires that all Florida wholesale dealers maintain records of each purchase of saltwater products from licensed commercial fishermen holding a "Saltwater Products License ". As such the "trip tickets" constitute the most credible documentation of commercial harvest by individuals and fishery. 2 The annual commercial fisheries trip ticket based data is incomplete for 2016 according to the Florida Fish and Wildlife Research Institute that produces the commercial fisheries landings databases. http: / /myfwc.com /research/saltwater /fishstats/ commercial- fisheries/landings -in- florida/ Thomas J. Murray and Associates, Inc. 3 0 �a m U) c� N O 0 Packet Pg. 3178 2011 Q.5.a Business Plan for Gulf Seafood Facility — 2017 Stock Island, Key West, Florida Dependability of Supply The products produced are harvested under State and Federal government instituted limited access privilege (limited entry) programs. This approach has lead to a concentration in harvest rights; and as intended, stability in the marketplace. Additionally an important business asset has accrued to those fishermen holding the trap certificates and licenses needed to produce spiny lobster and stone crabs. o Spiny lobster is traded on the world market, and in recent years has gained significant in value to the Keys harvesters with the introduction of live shipping of the product from the boat to international market places. The Keys produced over 90% of the spiny lobster �? produced in the U.S. As such it commands a strong place in the market, which translates o CD to a relatively dependable and profitable fishery for local Keys fishermen such as those using the Gulf Seafood facility. i Similarly, stone crabs have become highly regulated with fishing effort control programs instituted by the state of Florida. These controls have limited effort and thus competition for the resource, creating higher economic rents for the fishery participants. These increased rents are embodied in the increased value of the fisherman's permits and trap certificates. Table 1 illustrates the area breakdown from the most recent two years, shows that the two major products of interest at the facility —spiny lobster and stone crab —have constituted over 50% of the value of all of the two regions (Key West and Tortugas) commercial seafood harvest. Table 1. Landings, Values, and Prices — Spiny Lobster and Stone Crabs for Key West and Tortugas Fishery Statistical Areas - 2014 -20153 2014 $ Lbs. Mean $ /Lb. Spiny Lobster $19,457,008.00 2,399,024.00 $ 8.11 Stone Crab $3,354,367.00 206,027.00 $16.28 TOTAL $22,811,375.00 2,605,051.00 $ 8.75 2015 Spiny lobster $21,230,463.00 2,604,272.00 $ 8.15 Stone crab $4,019,655.00 281,036.00 $14.30 TOTAL $25,250,118.00 2,885,308.00 $ 8.76 s hltp: / /myfwc.com/ research / saltwater /fishstats/ commercial- flsheiies/landings- in- floiida/ and special data request to Steve Brown, stastician FWC. Thomas J. Murray and Associates, Inc. 4 Packet Pg. 3179 Q.5.a Business Plan for Gulf Seafood Facility — 2017 Stock Island, Key West, Florida Business Activity Potential at Facility Based upon 2013 federal income tax returns provided for the facility, it is estimated that just over 10% (10.4 %) of the region's $46.7 million in landed value came across the facility's dock.4 According to the 2013 tax returns and Florida trip ticket data summary provided, $4.78 c million of spiny lobster, stone crab, and king mackerel were unloaded at the facility. These landings reportedly resulted in total gross receipts for the facility of $5.8 million. The catch represented overall 81% of the cost of goods sold.5 c� To evaluate the future potential for the facility, the documented 2013 level of activity is N CD used as a baseline for projections. Plans for a more extensive wholesale activity are based CD upon modest growth in the number of vessels consistently utilizing this facility. The table below reflects the overall values of unloading at the facility, with potential incremental increases from the 2013 level in the overall percent of the regions landings accruing at the facility. The exhibit is based upon the average regional landings of $46,703,049 and the 2013 facility actual values of $4,857,117 as a baseline.6 Clearly there is opportunity for more of the regional catches to be landed at Stock Island with redeveloped working waterfront capacity such as at the Gulf Seafood Facility. Table 2. Future Facility Landings Scenarios Based Upon the Reported 2013 Landings and Varying Increased Shares of Key West Region's Commercial Fishery Landings Gulf Gulf Seafood Gulf Seafood Gulf Seafood Seafood Scenario I Scenario II Scenario III 2013 Actual Percent of Regional 0.104 0.12 0.15 0.2 Landings Value of $4,857,117 $5,604,366 $7,005,457 $9,340,610 Landings 4 IRS Schedule C. Form "2013 Profit and Loss From Business ". "Fishman's Seafood, LLU. 5 A more common cost of goods at a seafood receiver wholesale facility would be in the range of 50 -60 %. 6 2013 may be considered an average year for the region's commercial fishery landings and value. Thomas J. Murray and Associates, Inc. 5 Packet Pg. 3180 Q.5.a Business Plan for Gulf Seafood Facility — 2017 Stock Island, Key West, Florida Facility Income and Expense Forecast Following the purchase of products from fishermen, the facility incurs other costs associated with the unloading, handling and transportation of the products. As noted above, the unique nature of the products landed at the facility make the enterprise o economics somewhat different from other seafood wholesaling and distribution. The proposed business will primarily exist to afford the transfer — not transformation, of high -value fishery products to a well - established system of buyers. N O The proposed operation need not be involved in any product development, processing, CD storing, or inventorying In years past, the spiny lobster and stone crabs were often cooked, and finfish processed, after the first receipt. The local market has evolved away from those practices. For example, the spiny lobster is landed and kept alive throughout the market distribution chain. Small quantities of stone crab claws have been shipped uncooked "green" to the major processing and marketing points. If stone crabs continue to be landed at the facility capacity to cook the claws the day landed will be important to product quality. These local practices preclude investments in relatively expensive and specialized equipment such as cooking retorts, coolers, washing bins, etc.7 The capital needed is directly related only to the unloading of preloaded totes, weighing and documenting the catch, and purveying onto trucks, which essentially operate on demand and serve the eventual seafood marketer — often - international marketers are involved. Their needs are for high quality products, available for rapid shipping and air - transport out the local area, and in many cases the country. Furthermore, by virtue of the reduced handling and storage procedures, wage cost per dollar of "finished product" is comparatively low at this level of wholesale receiving and shipping In view of the actual procedures required at the facility, operating and capital expenditures are relatively low. Again this is effectively dictated by relatively narrow margin between eventual wholesale values and the cost of goods sold. 7 The investment to handle cooking stone crab claws would cost an estimated $50,000. Thomas J. Murray and Associates, Inc. el Packet Pg. 3181 Q.5.a Business Plan for Gulf Seafood Facility - 2017 Stock Island, Key West, Florida The table below demonstrates variable costs associated with the gross facility sales scenarios outlined above. Table 3. Variable Costs8 Associated with Four Gulf Seafood Facility Landings & Revenue Scenarios Gulf Seafood 2013 Actual Gulf Seafood Scenario I Gulf Seafood Scenario II Gulf Seafood Scenario III Value of Landings (Paid Out) $4,857,117 $5,604,366 $7,005,457 $9,340,610 Operating Expenses: Car and truck $8,352 $9,247 $11,559 $15,412 Depreciation $13,494 $12,330 $15,412 $16,867 Insurance $19,551 $18,494 $23,118 $24,438 Legal and professional fees $18,881 $18,494 $23,118 $23,602 Office expenses $2,735 $3,082 $3,853 $3,419 Vehicles machinery equipment $9,389 $9,247 $11,559 $11,736 Repairs & Maintenance $19,769 $18,494 $23,118 $24,711 Supplies $5,223 $6,165 $7,706 $6,529 Taxes & Licenses $1,213 $1,202 $1,503 $1,516 Utilities $42,347 $43,154 $53,942 $52,934 Wages $103,925 $119,914 $149,892 $199,857 Other $41,056 $47,372 $59,215 $59,215 Taxing District $40,000 $40,000 $40,000 40,000 Total Operating Expense $324,822 $347,196 $423,996 $480,237 Total Costs $5,181,939 $5,951,562 $7,429,453 $9,820,847 s The relative costs are an expansion of the facilities actual operating expenses as reported in the 2013 IRS schedule C. The expansion is a simple pro -rata increase associated with the percentage increases in landings assumed for the sake of projection. Thomas J. Murray and Associates, Inc. 0 0 m a� U) t7 N O 0 M Packet Pg. 3182 Q.5.a Business Plan for Gulf Seafood Facility — 2017 Stock Island, Key West, Florida Using the varying shares of the regions harvest accruing to the facility and continuing a 20% estimate for the cost of goods, Table 4 summarizes net profit estimate scenarios. Table 4. Facility Profitability Associated with Four Gulf Seafood Facility Landings & Revenue Scenarios Gulf Seafood 2013 Actual Gulf Seafood Scenario I Gulf Seafood Scenario II Gulf Seafood Scenario III Total Revenue $5,896,104 $6,725,239 $8,406,549 $11,208,731 Total Cost $5,181,939 $5,951,562 $7,429,453 $9,820,847 Net Profit $714,165 $773,677 $977,096 $1,387,884 Vessel Dockage and Upland Lease Activities Returning to the primary goal of this plan i.e. the continued provision of water access for vessels a potential leasing framework is evaluated. Any adopted leasing system should provide sufficient revenue to the County to provide for costs for the entire property; not only those directly associated with the Facility. Overall costs of upgrading the land and waterfront, and maintaining the property, will be supported directly by leases paid by commercial fishing vessel operations. These arrangements will include in -water berths and landside property for access and required gear construction, maintenance and storage. The site requires significant upgrading of a large portion of the bulkhead to build out the dockage capacity beyond the 20 -25 vessels depicted below. Discussions with local fishermen provide some estimates for such necessary space and levels of lease fees that might be sustainable to both the fisherman and County. The following scenario reflects these discussions. It is estimated that the facility will initially accommodate approximately 20 -25, typically 35' - 45' commercial vessels. For these operations, trap storage for both lobster and stone crab gear is critical. This space is important for preparing and maintaining gear through the year, as well as during the various seasons. Thomas J. Murray and Associates, Inc. 8 0 �a m 0 N O O M Packet Pg. 3183 Q.5.a Business Plan for Gulf Seafood Facility — 2017 Stock Island, Key West, Florida Table 5 summarizes the assumptions for vessel and gear lease revenue generation. It is assumed that on average vessels within this size category will require 3,000 square feet to accommodate 2,000 spiny lobster traps (1 square foot each) and 1,000 stone crab traps (.5 square foot each) for a total space requirement of approximately 2,500 square feet per vessel operation. A lease rate of $.25 per square foot per month ($3.00 per year) is considered reasonable by some of the fishermen interviewed. On average, this will o generate $7,500 per year /per 40' vessel operation.9 Additionally, local dockage at public marinas is available at $11.50 per foot/per month ($138.00 per foot/per year) and is considered reasonable for the sake of discussion and �? projection here. o 0 M Again, on average this would generate an additional $5,520 per year per vessel operation. Assuming these near -term scenarios involving 20 -25 full time commercial fishing operations, a gross income of between $260,000 to $325,000 from the sites upland and in -water property leasing would be expected. This would be in addition to any revenues generated at the fish house operation, targeted toward the maintenance and sustainability of long -term working waterfront access by commercial fishermen. Table 5. Dockage & Storage Lease Revenue: 40 'Commercial Fishing Vessel Lease Space $ /Ft. /Month $ /Ft. /Year 40' Boat Length Total Per 40' Vessel vessels $11.50 $138.00 40' $5,520 Gear (sq. ft.) $0.25 $3.00 2,500 $7,500 Total $ Per Vessel & Gear $13,020 Number Vessels Total Revenue 20 Vessels $260,400 25 Vessels $325,500 9 It should be noted that these estimates are based upon industry information and represent revenues that would be generated by a 40' commercial vessel under this leasing structure. Provision of dockage by overall length of vessel will increase (decrease) the estimates for larger (smaller) vessels. Thomas J. Murray and Associates, Inc. 9 Packet Pg. 3184 Q.5.a Business Plan for Gulf Seafood Facility — 2017 Stock Island, Key West, Florida It was suggested that the lease conditions may require one year of lease value be placed on deposit, and the first full year of property /slip leased be paid at the initiation of the lease period. Fishermen felt strongly that those docking should have some demonstrated equity in the waterfront, even if it could not be purchased. Conversations with industry suggest that a fisherman may view lease duration somewhat differently from the wholesaler managing the fish house. Generally, it was felt by o fishermen that the longer the duration of the lease (some mentioning over 20 years) the M better for vessels to plan. co Interviews with seafood wholesalers about this potential indicated more of a general �? preference for shorter lease duration at the outset. In the later case, it was felt that a 5 -10 c CD year lease of the unloading facility would permit "doing something with the facility" while not being committed in the longer term given the uncertainties of the marketplace. io Also, it was suggested that added waterfront might be made available to smaller finfish ( "snapper") boats that are particularly active in the summer months when lobster and crab fishing is at a lull. Without specific information on the length of bulkhead to be improved or built, an additional cost estimate is not possible. However, based on conversations with engineering firms familiar with Stock Island, it is estimated that new bulkhead installation would cost in a range of $1,50042,000 per linear foot. ii Management Overall, the estimates provided above reflect the facility operating within existing capabilities based upon the 2013 actual operations. 12 Industry hopes that a redeveloped waterfront, and new enterprise management will secure the future for them and foster the expansion of the local fishing industry overall. After implementation of a stable dockage and gear storage program for commercial harvesters, additional consideration should be given to maintaining/redeveloping related unloading and boat yard facilities for the near future. io U.S Department of Commerce National Marine Fisheries Service (NMFS) may finance properties based upon alease for up to 25 years. The lease would be assignable to NMFS. Currently rates are 4.8% for a 20 -year loan and 4.48% for a ten -year term. Personal Communication. Timothy Ward. NMFS Financial Services. February 2, 2017. ii Personal communication with Applied Technology & Management. January 2017. 12 Those operational circumstances changed with the relocation of a significant number of harvest vessels away from the facility during 2014. Thomas J. Murray and Associates, Inc. 10 Packet Pg. 3185 Q.5.a Business Plan for Gulf Seafood Facility — 2017 Stock Island, Key West, Florida It is recommended that a detailed request for proposals to lease and manage the fish house and boat yard (either jointly or independently) be solicited. These steps should follow successful completion of the program's primary goal of providing long -term vessel access through the institution of the vessel dockage program. Industry feels that dependable long term working waterfront will provide a stable harvest needed for a successful unloading facility. With insured access and landside o management a return of vessels will occur in the near -term, providing potential for M sustainable growth in activity at the facility in years to come. Irrespective of CO managements organization structure (corporation, cooperative, etc.) the enterprises must c� be self - sustaining with profits either being retained in the corporation or returned to N cooperative members via patronage dividends. In this way the enterprises will be o revenue positive to the County in the long term. Ancillary Services The economic activity estimates above do not include any additional potential revenue arising from the commercial boat yard, which as part of the facility would provide significant additional revenue to the operation. Prospective managers via a request for proposals would evaluate the potential for on site boat repair and maintenance. Generally the outlook for a commercially dedicated boat haul out facility on site is quite positive. With the growing importance of recreational watercraft at existing haul out facilities, industry reports an increasing difficulty in scheduling routine haul outs. Perhaps more importantly, a dependable haul out facility is critical in minimizing downtime, arising from unforeseen but inevitable breakdowns of commercial fishing vessels and systems. According the State of Florida, the most recent year with data available (2015), Monroe County is home to an estimated 300 commercial fishing vessels with overall lengths from 40' — 65'.13 This size class (lobster and stone crab industry) is the target clientele. Hauling the majority of these vessels (often with traps or nets onboard) would require travel lifts of between 50 and 75 tons capacity. Estimates provided by marine trade indicated that a new 50 -ton capacity travel lift would cost approximately $350,000 in the Key West area. A 75 -ton lift would be an estimated $450,000. There are such lifts available as previously used, which would be available at approximately 50% of their cost new. 13 Florida. Department of Motor Vehicles "2015 Alphabetical Vessel Statistics by County ". Thomas J. Murray and Associates, Inc. I I Packet Pg. 3186 Q.5.a Business Plan for Gulf Seafood Facility — 2017 Stock Island, Key West, Florida CONCLUSION To summarize the proposed business plan, the outlook is quite positive for economic viability of publically supported investment in dockage, unloading, and repair facilities. It is recommended that such developments be implemented in phases. 14 The primary goal would be to develop the water access and dockage needed by the c commercial harvesters. This would be in conjunction with the upland leasing to support their onshore fishing related needs for gear construction, repair, and storage. With implementation of this working waterfront, the shore side unloading facility and boat yard businesses maybe addressed either jointly or separately. Based on the findings C 4 CD reported here, the demand for all three facets of the potential commercial fishing business CD cluster is strong and supports moving forward with the recommended phased CU implementation. 14 Similar public investments supporting the commercial fishing sector have been made around the nation. For example the City of Newport News Virginia "Small Boat Harbor" was created by the City to provide long term working waterfront for commercial fishing vessels and wholesalers facing displacement in the region. The state of North Carolina has developed several seafood industrial parks addressing the issue. Thomas J. Murray and Associates, Inc. 12 Packet Pg. 3187 Q.5.a Business Plan for Gulf Seafood Facility — 2017 Stock Island, Key West, Florida LITERATURE CITED 1. Florida Fish and Wildlife Research Institute. "Summary of Landings by Collection Area for Monroe County, Florida 1997 - 2015." Marine Fisheries Information System. St. Petersburg, Florida. 2017. c 0 �a m 2. J.W. Milon, SL Larkin, et al. "The Performance of Florida's Spiny Lobster Trap Certificate Program ". Florida Sea Grant College Program. University of Florida. 1998. N O O M 3. Murray, Thomas J. and Richard R. McHugh. "Economic Impact of Commercial Fisheries in the Florida Keys ". Center for Economic & Management Research. USF. Tampa, Florida. 1995. 4. Murray, Thomas J. and Vernon R. Leeworthy. "Characterization of the Dry Tortugas Commercial Fishery: Methodology and Findings ". Virginia Institute of Marine Science. Gloucester Point, Virginia. 2006. 5. Thomas J. Murray & Associates, Inc "Potential Economic Activity Associated with Gulf Seafood Facility Key West, Florida. 2007." Prepared for the Florida Keys Commercial Fishing Association. January 2007. Thomas J. Murray and Associates, Inc. 1 Packet Pg. 3188 I Q.5.a I Mayfield Grant Management Plan Monroe County, May 2017 EXHIBIT G: POTENTIAL ECONOMIC ACTIVITY ASSOCIATED WITH GULF SEAFOOD 2007 THOMAS J. MURRAY 0 0 m m t7 N O O M Q Packet Pg. 3189 (pooleaS IInJ Z00£) (epueBV aol a ;eldwo:D) ueld ;uauaa6euelAl ;oafoad ;ueJO MOM ue ;g : ;uauayoe ; ;V c r Lf! M C d r+ Q1 SC Potential Economic Activity Associated with Gulf Seafood Facility Key West, Florida 2007 Prepared for The Florida Keys Commercial Fishing Association by Thomas J. Murray & Associates, Inc. January 2007 The Gulf Seafood facility on Stock Island represents one of the last opportunities for maintaining working waterfront access in Key West. Faced with increasing demands for waterfront property, the resulting escalations in property values have influenced a series of property transfers out of the commercial seafood sector to other uses. The historic economic importance of the commercial fishing industry to Key West and Monroe County dictate that caution be taken when facing the loss of the few remaining working waterfront parcels in the region. One legitimate view of the current water access dilemma that faces the Keys today, is from the standpoint of a still vital seafood economy. This simple assessment is completed to provide some insight into the recurring positive economic development impacts of the Gulf Seafood redevelopment project, by maintaining its historic use as a seafood receiving and wholesaling facility. The retention of access and modernizations proposed by industry at the facility will allow the Iocal fishing industry to meet the seafood market's demands well into the 21" century. The operation will continue to provide positive impacts on labor income, business activity, and visitor attraction as it would insure continuation of the Florida Key's "brand" as the seafood business center of Florida and the Southeastern United States. The primary commercial fishing areas relevant to the Gulf Seafood facility are those from the lower keys to the Dry Tortugas fisheries. The State of Florida collects data in a number of ways to account for the harvest, and value of harvest from these specific statistical "Collection Areas ".' Of particular use here is the data collected as part of the Florida Trip Ticket System which provides a level of regional detail sufficient to characterize local production history and potential. The bar graph below illustrates the relative contribution of catch value for all commercial species landed in the Key West area from these zones. While annual variations are noted, the average for the most recent 8 year period, for which final FMRI data is available, was $23.3 million ex- vessel. The median value over the same period was reported by the State fishery statistics to be $22.09 million from the lower keys -Key West region. For the sake of demonstrating the potential economic activity associated with a redeveloped Gulf t See attached summary of commercial fishing landings and value by species and collection area for 1997 -2004. (poojeeS 1lnJ : Z00£) (epueBV aol a ;eldwo:D) ueld ;uauaa6euew ;oafoad ;MD PIGU M ue ;g : ;uauayoe ; ;V r r Ui M C d r+ d Seafood facility, the median level of catch value is deemed reasonable as a mid -point a forecast. (4) Based upon discussions with industry in the area, and author's knowledge of the commercial fishing economic sector, a series of percentages are applied to demonstrate the various levels of catch which may be handled at the facility. Obviously as the share of the overall Key West catch increases (or decreases) the output for the facility rises (or decreases). Total Value of Commercial Fishery Products Landed in Key West by FDEP Fishery Statistics Collection Area 1997 -2004 $12,000,000 $10,000,000 $8,000,000 C A o $6 ,000,000 N $4,000,000 E] 1.0 -Key West / Al South E] 1.1 Key West/ Al North 01.9 Key West Federal Waters [32.0- Tortugas $2,000,000 $0 0130, Sb o ^mac, ocb ryoo ti � 02.9 Tortugas Federal Waters Local industry projects that a 50 -75% share of the local commercial fishery landings is reasonable at the new facility. This is credible in view of the ongoing displacement of commercial fishing vessels, in conjunction with experienced management assumed to take over the facility operations. The proposed managers have established seafood wholesaling and distribution networks, and are expected to insure viable seafood marketing outlets associated with the various species and quantities traditionally landed on Stock Island. 2 f4 Ui a (pooleaS lino : Z00£) (epual3V Jot 9;eldwo0) ueld ;uauaa6eueW ;oafoad WeJO 131811AeW ue ;g : ;uauayoe ; ;br Gulf Seafood Facility: Potential Economic Activity as Percentage Share of Regional F! hery Landing s- 2007 Median Landings Estimate 0.33 0.5 0.66 0.75 Harvest Revenue $22,090,000 $7,289,700 $11,045,000 $14,579,400 $16,567,500 Wholesale Margins $7,683,638 $2,535,600 $3,841,819 $5,071,201 $5,762,728 (1) Exported $291,433 $96,173 $145,717 $192,346 $218,575 (2) Keys Retail $679,974 $224,392 $339,987 $448,783 $509,981 (3)Keys Restaurants $481,010 $158,733 $240,505 $317,466 $360,757 Keys Retail Margin $6,414,914 $2,116,922 $3,207,457 $4,233,843 $4,811,185 Total Primary Output $37,640,940 $12,421,510 $18,820,470 $24,843,021 $28,230,705 Total Output $45,169,146 $14,905,818 $22,584,573 $29,811,636 $33,876,860 Totallncome $28,004,863 $9,241,605 $14,002,431 $18,483,209 $21,003,647 Number of Jobs 1,219 402 610 805 914 Note that the economic impact estimates above do not include the potential revenue arising from the commercial boat yard which is part of the facility would provide significant additional revenue to the operation. For example, the most recent data available from the Florida Department of Revenue indicated that Monroe County was 10' among the State's counties in boating related retail sales including boat yards, reaching $163.3 million in the last fiscal year. Also, the economic impact projections made here are only for the recurring landings over the life of the facility. The considerable local impacts which would arise from the necessary refurbishment and redevelopment of the 3 acre waterfront facility should also be included in comprehensively evaluating the economic impacts of the Gulf Seafood redevelopment, however, but was not possible within the scope of this draft assessment. 3 Margins equal the harvest revenue times percent of catch landed in region times the mark -up margins. 'total Primary Output is the sum of harvest revenue and margins from wholesale, retail and restaurant sales and exclude double- counting across market levels. Total Output is estimated from Primary Output by a multiplier of 1.2 for Monroe County. This multiplier adjusts for economic leakages due to inputs that are purchased outside the county and includes indirect and induced spending effects. Total Income equals total output times the ration of income to output for Monroe County of 0.62. Number of lobs equals total income divided by the total income to jobs ratio for Monroe County of 522,697. (2) N CD r M tSl tL r+ d 0 M tL 3 For additional information contact Thomas J. Murray: timlrr,,vims.edu n (pooleeS IInJ : Z00£) (upueBV aoI a ;eldwo:D) ueld ;u8ua86euew ;oafoad ;ueJO PIGU M ue ;g : ;uauayoe ; ;br mi F 1 �' Literature Cited 1. Florida Fish and Wildlife Research Institute. "Summary of Landings by Collection Area for Monroe County, Florida 1997- 2004." Marine Fisheries Information System." St. Petersburg, Florida. 2006. 2. Leeworthy, Vernon R. "Tortugas 2000 Ecological Review- Commercial Fishery Economic Impact Analysis ". NOAA. 1998. 3. Murray, Thomas J. and Richard R. McHugh. "Economic Impact of Commercial Fisheries in the Florida Keys ". Center for Economic & Management Research. USF. Tampa, Florida. 1995. 4. Murray, Thomas J. and Vernon R. Leeworthy. "Characterization of the Dry Tortugas Commercial Fishery: Methodology and Findings ". Virginia Institute of Marine Science. Gloucester Point, Virginia. 2006. 4 I Q.5.a I Mayfield Grant Management Plan Monroe County, May 2017 EXHIBIT H: COPY OF GRANT CONTRACT 0 0 m m t7 N O O M 4111 Packet Pg. 3194 Q.5.a DEP NUMBER: 50897 08 -00 1 -WW 1 PROJECT NAME: STOCK. ISLAND MARITIME FACILITY CSFA # 52.013 STAN MAYFIELD WORKING WATERFRONT GRANT CONTRACT THIS GRANT CONTRACT ( "Contract ") is entered into by and between the FLORIDA COMMUNITIES TRUST ( "FCT "), a non - regulatory agency within the State of Florida Department of Environmental Protection ( "Department "), and MONROE COUNTY, FLORIDA, a political subdivision of the State of Florida ( "Recipient "). THIS CONTRACT IS ENTERED INTO PURSUANT TO THE FOLLOWING: WHEREAS, the intent of this Contract is to impose terms and conditions on the use of certain Florida Forever Funds, hereinafter described, and the land and improvements Recipient intends to acquire with such funds (the "Project Site "), that are necessary to ensure compliance with applicable Florida law and federal income tax law, and provisions of Section 259.105 (the "Florida. Forever Act "), Section 259.1051 (the "Florida Forever Trust Fund "), and Chapter 380, Part III (the "Florida Communities Trust Act "), Florida Statutes ( "F.S. "); WHEREAS, the Florida C ommunit ies Trust Act created the FCT as a non - regulatory agency within the Department to assist local governments in (a) complying and implementing the goals, objectives, and policies of the conservation, recreation and open space, and coastal elements of their local comprehensive plans, or (b) conserving natural resources and resolving land use conflicts. WHEREAS, FCT is authorized to, provide financial and technical assistance to local goverrunents, state agencies, and nonprofit environmental organizations to carry out projects and activities, and to develop programs authorized by the Florida Communities Trust Act; WHEREAS, FCT is funded through either Section 259.1 05(3)(1), F.S., which provides for the distribution of two and five - tenths percent of the net Florida Forever bond proceeds to the Department, or (b) any other revenue source designated by the Florida Legislature, for the acquisition of land and capital project expenditures necessary to implement the Stan Mayfield Working Waterfronts Program within the FCT as set forth in Section 380.5105, F.S.; WHEREAS, the Florida Forever Trust Fund includes proceeds from the sale of bonds issued under Section 215.618, F.S., and such proceeds must be administered and expended in a manner that ensures compliance with the applicable provisions of the United States Internal Revenue Code and regulations promulgated thereunder so as to preserve the exclusion of interest on the bonds from gross income for federal income tax purposes; DEP Contract No. 50897, Page l of 24 FCT Project No. 08 -001 -WW1 Stan Mayfield Working Waterfront Project O 0 m m U) c� N 0 0 M Packet Pg. 3195 Q.S.a WHEREAS, Section 215.518(6), F.S., further prohibits any sale, disposition, lease, easement, or other use of any land, water areas, or related property interests acquired or improved with proceeds of Florida Forever bonds which would cause all or any portion of the interest on such bonds to lose the exclusion from gross income for federal income tax purposes; WHEREAS, Chapter 62 -820 of the Florida Administrative Code ( "F.A.C. ") sets forth the o procedures that must be followed for grant applications for Florida Forever Funds awarded by the FCT, for the acquisition of interests in land for the restoration and preservation of Working in Waterfronts pursuant to Section 380.5105, F.S.; c� WHEREAS, in accordance with Chapter 62 -820, F.A.C., on January 29, 2009, the FCT c Governing Board evaluated and scored the applications to develop a ranking list of projects to CD present to the Board of Trustees of Internal Improvement Trust Fund of the State of Florida ( "Board ,^ ca of Trustees "); WHEREAS, on April 13, 2009, the Board of Trustees selected and approved the projects to receive FCT funding, including Recipient's Project, described in Recipient's Stan Mayfield Working Waterfronts Grant Application ( "Application ") as Gulf Seafood, now known as Fislurnan's Seafood, a commercial fishing facility on Stock Island, Monroe County, Florida (the "Project "); WHEREAS, by executing this Contract the Recipient reaffirms the representations made in its Application, with the following updates (if any) based upon Project site visits and other investigations: - The current owner of the property is UP Development Ivey West Holdings, LLC, a Florida limited liability company, formerly known as WSG Key West Holdings, LLC, successor by merger of WSG Sand Lake L.P., WSG West Colonial L.P., and Orlando - Colonial Limited Partnership, all Delaware limited partnerships; - The Project Site now includes a new 6,000 S.F. processing facility and some repaired seawalls; WHEREAS, Chapter 62 -820, F.A.C., authorizes FCT to impose conditions for Project funding, including the requirement under Rule 62- 820.003(5), F.A.C. that business activities perfonned on the Project Site must derive their primary source of income from services supporting the commercial harvesting of wild or aquacultured marine organisms; and WHEREAS, Chapter 62 -821, F.A.C., sets forth the procedures that must be followed for land acquisitions under the Stan Mayfield Working Waterfronts Program using Florida Forever Funds awarded by FCT; WHEREAS, the entire Project Site has not yet been negotiated for acquisition, some elements of the Project are not yet known such as the purchase price, total Project Costs, and the terms upon which the owner(s) will voluntarily sell the Project Site; and DEP Contract No. 50897, Page 2 of 24 FCT Project No. 08- 001 -WW1 Stan Mayfield Working Waterfront Project Packet Pg. 3196 WHEREAS, this Contract contains conditions that trust be satisfied by the Recipient prior to FCT's disbursement of any Florida Forever Funds awarded for Project acquisition, as well as the restrictions that shall be imposed on the Project Site concurrent with its acquisition. NOW THEREFORE, FCT and the recipient mutually agree as follows:. 0 1. PERIOD OF CONTRACT �a m U) 1. The initial term of this Contract shall commence upon execution of this Contract and 0 shall continue for a term of one (1) year ( "Expiration Bate "). Failure of Recipient to fulfill the terms 0 of this contract within this established time frame shall result in FCT's termination of Project o funding and funds committed to this Project shall then be committed to other approved applications, CD unless Recipient requests an extension of time pursuant Paragraph 2 below. 2. Recipient must request an extension, in writing, of the Expiration Date in conformity with the requirements of Rule 62- 820.008(3), F.A.C. The Trust shall extend the Grant Contract beyond the established time frame if significant progress is being made toward the acquisition of the Project Site or if extenuating circumstances beyond the control of the Recipient warrant an extension of time. The Recipient's request for extension must include an explanation of the goals currently accomplished to complete the Project and the timeframe needed to complete outstanding goals. The Recipient may also include an explanation of circumstances beyond their control that have negatively impacted the completion of the Project Site. The initial term of the Contract and extensions shall not exceed a total of twenty -four months; unless, however, the FCT extends the Expiration Tate when significant progress is being made toward closing the Project or if extenuating circumstances warrant an extension of time. 3. If FCT does not grant an extension request, the Recipient's award shall be rescinded as of the Expiration Hate and this Contract shall terminate. 4. The FCT may also terminate this Contract prior to the Expiration date: (a) in accordance with the provisions of Article XIV of this Contract; (b) in the event of the withdrawal or rescission of the Award pursuant to the terms set forth herein; and/or (c) if FCT determines that no significant progress is being made toward the acquisition of the Project Site, or other circumstances are present which would, in all likelihood, preclude or prevent the successful acquisition of the Project Site prior to the Expiration Gate, pursuant. to Rule 62- 820.008 (4), F.A.C. II. MODIFICATION OF CONTRACT Either party may request modification(s) of the provisions of this Contract at any time. No oral representations or agreements may modify the terms and conditions of this Contract. Amendments which are mutually agreed upon by the parties shall be valid only when reduced to writing and duly signed by each of the parties hereto. Such amendments shall be incorporated into this Contract. 17EP Contract No. 50897, Page 3 of 24 FCT Project No. 08- 001 -WW1 Stan Mayfield Working waterfront Project Packet Pg. 3197 Q.5.a III. DEADLINES 1. At least two original copies of this Contract shall be executed by the Recipient and returned to the FCT office at 3900 Commonwealth Boulevard MS #103, Tallahassee, FL 32399, as soon as possible and no later than August 15, 2016.. if the Recipient requires more than one original document, the Recipient shall photocopy the number of additional copies needed and then execute each as an original document. Upon receipt of the signed Contracts, FCT shall execute the Contracts, retain one original copy and return all other copies that have been executed to the Recipient, 2. The Recipient and/or its representatives shall know and adhere to all project deadlines and devise a method of monitoring the project. Deadlines stated in this Contract, as well as deadlines associated with any FCT activity relating to the project, shall be strictly enforced. Recipient's failure to adhere to or timely monitor the project deadlines may result in FCT's allocation of time and/or resources to other grant recipients. Recipient's failure to comply with project deadlines is cause for termination of this Contract by FCT. 3. The Recipient shall submit the documentation required by this Contract to FCT as soon as possible so that the Project Costs may be reimbursed in an expeditious manner. Per Section 62- 820.002(17), "Project Costs" means the total of all eligible costs associated with the Acquisition of the Project Site in accordance with this rule chapter and Chapter 62 -821, F.A.C., and may include the cost of the following items: purchase price for Acquisition of all or a portion of the Project Site; certified survey containing an adequate legal description of the Project Site; any assessment or examination essential and necessary to determine Project Site boundary; appraisal report(s) and appraisal review of the Project Site; title report and title insurance premium; and environmental site assessment(s). 4. In conjunction with the execution and delivery of this Grant Contract, the Recipient shall execute and deliver to FCT the Confidentiality Agreement provided to the Recipient, pursuant to Rule 62- 821.008(3), F.A.C. No acquisition activity shall be commenced prior to FCT receipt of the executed Confidentiality Agreement. 5. The Recipient shall develop the Project Site in accordance with the Grant Award conditions and open the developed Project Site to the public within 3 years from the date of final disbursement of the FCT Award. IV. FUNDING PROVISIONS 1. The FCT Florida Forever award to the Recipient (the "Award ") will in no event exceed the balance of the legislative appropriation in the Florida Forever Trust Fund (accounts: 3480201 -FY09 and 348014 -FYI l) , for the Stan Mayfield Working Waterfront Program as of the date of Acquisition (currently $2,291,739), and is subject to adjustment pursuant to Article N. Paragraph 2. below. Recipient shall supply a Match, not to exceed $5,000,000, for the remainder of the final Project Casts. Match means cash, eligible Project Costs, or the value of real property DEP Contract No. 50897, Page 4 of 24 FCT Project No. 08- 001 -WW 1 Stan Mayfield Working Waterfront Project 0 �a m U) c� N O 0 Packet Pg. 3198 acquired for the Project as determined by Approved Appraisal(s), as defined in F.A.C. Rules 62- 820.002(15) and 62- 821.002(3), respectively. 2. The FCT Award is based on the Recipient's estimate of final Project Costs, as well as the Limitation of Award provided in Rule 62- 820.003(6), F.A.C. and advertised in the Notice of Application. When disbursing the FCT Award, FCT shall recognize only those Project Costs consistent with the definition in Rule 62- 820.002.(17), F.A.C. FCT shall participate in the land cost at either the actual purchase price or the maximum amount, whichever is less, both subject to Rule 62- 821.004, F.A.C. Additionally, pursuant to F.A.C. Rule 62- 821.004, FCT will further memorialize and/or adjust the dollar value of the FCT Award after deterinination of the maximum amount that maybe paid for the Project based upon the Approved Appraisal (s). By addendum to this Contract or by letter of notice to the Recipient, FCT shall reduce the dollar value of the Award, if necessary, so that the dollar value of the Award does not exceed the maximum amount. Upon such adjustment, the term "Award" shall mean the Award as adjusted. 3. Recipient shall pay the purchase price for the Project real property to the extent it exceeds the maximum amount. Recipient shall provide the FCT Grant Manager true copies of invoices, charges, and expenses constituting Project Costs or otherwise to establish Recipient's contribution of its Match Percentage Share, and any other requested documents, for inclusion in the Grant Contract file. Recipient shall submit all such documents requested, along with proof of payment, and be in a detail sufficient for a proper audit thereof, 4. If the Project Site is comprised of multiple parcels, the Recipient shall deliver at the closing of each parcel, the purchase price for each such parcel to the extent it exceeds the parcel's maximum amount. In addition, if the Project Site is comprised of multiple parcels and multiple owners, then FCT reserves the right to withdraw or adjust the FCT Award if the priority parcel(s) or a significant portion of the Project Site cannot be acquired. 5. With respect to the remaining Project Costs, the FCT Award is bused on the Recipient's revised estimate of final Project Costs contained in its March 19, 2015 grant commitment letter. When disbursing the remainder of the FCT Award, if any, FCT shall recognize only those Project Costs consistent with the definition in Rule 62- 820.002(17), F.A.C. FCT will not participate in ineligible costs or Project Costs that exceed the Award amount. 6. By executing this Contract, the Recipient affirms that it is ready, willing and able to provide a Match, as applicable and if any is required. If a Match is required, it shall be delivered in an approved form as provided in Rule 62- 820.002(15), F.A.C. If the value of land is the source of the Match as defined in Rule 62-820.002(15), F.A.C., the maximum reimbursement amount shall determine the value of the Match. If the Project Site is comprised of multiple parcels, the Recipient shall deliver at the closing of each parcel the share of the Match that corresponds to the parcel being closed. Funds expended by the Recipient for Project Costs shall be recognized as part of the Match on the grant reconciliation statement. 7. The FCT Award shall include approved pre -paid Project Costs paid by FCT to vendors outside of closing and the final disbursement of the FCT Award to the escrow agent at DEP Contract No. S0897, Page 5 of 24 FCT Project No. 08-001-WWI Stan Mayfield Working Waterfront Project. 0 �a a� c� N O 0 Packet Pg. 3199 closing will be reduced by any such FCT pre -paid Project Costs on the closing settlement statement. In the event this contract terminates, the Recipient will not be liable for reimbursement of pre-paid Project Costs to FCT if the termination is through no fault of the Recipient. 8. The FCT Award for approved Project Costs shall be delivered in either or both of the following forms: a. approved Project Costs pre -paid by FCT to vendors outside of closing and recognized as part of the FCT award on the grant reconciliation statement and closing settlement statement.. b. a State of Florida warrant at the closing of the Project Site, for the balance of the FCT Award, subject to the limitations contained in Article IV, to be paid directly to an escrow agent who is authorized by law to receive such payment, and who is acceptable to FCT, provided the State of Florida, Chief Financial Officer determines that such disbursement is consistent with good business practices and can be completed in a manner minimizing costs and risks to the State of Florida. If the Project Site is comprised of multiple parcels, FCT shall deliver at the closing of each parcel only the share of the FCT Award that corresponds to the parcel being acquired and closed. FCT shall prepare a grant reconciliation statement prior to the closing of the Project Site parcel that evidences the amount of Match provided by the Recipient, as applicable and if any is required, and the amount of the FCT Award. Funds expended by FCT for Project Costs shall be recognized as part of the FCT Award on the grant reconciliation statement and closing settlement statement. 9. The FCT Governing Board ranked and the Board of Trustees selected the Recipient's Application for funding in order to acquire the entire Project Site identified in the Application. FCT reserves the right to withdraw or adjust the FCT Award if the acreage that comprises the Project Site is reduced or the project design is changed so that the objectives of the acquisition cannot be achieved. FCT shall consider any request for Project Site boundary modification in accordance with the procedures set forth in Rule 62- 824.€109, F.A.G. 10. FCT's performance and obligation to financially pay under this Contract is contingent upon an annual appropriation by the Florida Legislature, and is subject to any modification in accordance with Chapter 216, F.S. or the Florida Constitution. 11. The accounting systems for all Recipients must ensure that these funds are not commingled with funds from other agencies. Funds from each agency must be accounted for separately. Recipients are prohibited from commingling funds on either a program -by- program or a project -by-project basis. Funds specifically budgeted and/or received for one project may not be used to support another project. Where a Recipient's, or subrecipient's, accounting system cannot comply with this requirement, the Recipient, or subrecipient, shall establish a system to provide adequate fund accountability for each project it has been awarded. DEP Contract No. 50897, Page 6 of 24 FCT Project No. 08 -001 -WW1 Stan Mayfield Working Waterfront Project 0 0 m m c� N O O Packet Pg. 3200 a. If FCT finds that these funds have been commingled, FCT shall have the n to demand a refund, either in whole or in part, of the funds provided to the Recipient under this Contract for non - compliance with the material terms of this Contract. The Recipient, upon such written notification from FCT shall refund, and shall forthwith pay to FCT, the amount of money demanded. Interest on any refund shall be calculated based on the prevailing; rate used by the State Board of Administration. Interest shall be calculated from the date(s) the original payment(s) are received from FCT by the Recipient to the date repayment is made by the Recipient to FCT. b. In the event that the Recipient recovers costs, incurred under this Contract and reimbursed by FCT, from another source(s), the Recipient shall reimburse FCT for all recovered funds originally provided under this Contract. Interest on any refund shall be calculated based on the prevailing rate used by the State Board of Administration. Interest shall be calculated from the date(s) the payment(s) are recovered by the Recipient to the date repayment is made to FCT by the Recipient. V. NOTICE AND CONTACT I . All notices and written communication between the parties shall be sent by electroni C snail, U.S. Mail, a courier delivery service, or delivered in person. Notices shall be considered delivered when reflected by an electronic mail read receipt, a courier service delivery receipt, other mail service delivery receipt, or when receipt is acknowledged by recipient to: Florida Communities Trust 3900 Commonwealth Boulevard, MSi#103 Tallahassee, FL 32399 2. All contact and correspondence from FCT to the Recipient shall be through the key contact as required by Rules 62 -820 and 62 -821, F.A.C. Recipient hereby notifies FCT that the following administrator, officer or employee is the authorized key contact on behalf of the Recipient for purposes of coordinating project activities for the duration of the project: a. Name: Lisa Tennyson Organization: Monroe County Title: Director of Legislative Affairs and Grants Acquisition Address: Monroe County Office of Management and Budget 1100 Simonton Street Key West, Florida 33040 Telephone: 305 -292- 4444 Cell: 305 -509 -1709 E- mail: Tennyson -lisa gm+onroecoitnty- fl.gov b. County Attorney 1111 12"' Street, Suite 408 Key West, Florida 33040 Telephone: (305)- 292 -3470 DEP Contract No. 50897, Page 7 of 24 FCC" Project No. 08- 001 -WW 1 Stan Mayfield Working Waterfront Project 0 0 a� rn c� N 0 0 Packet Pg. 3201 3. The Board of Commissioners of Monroe County is authorized to execute all documents in connection with this project on behalf ofthe Recipient, including, but not limited to, this Contract or any addenda thereto, purchase agreement(s) for the property, grant reconciliation statement, closing documents, statements submitted as a part of the Project Plan and Declaration of Restrictive Covenants. O 4. In the event that different representatives or addresses are designated for NOTICE AND CONTACT, specified herein, after execution of this Contract, notice of the changes shall be in rendered to FCT as provided in NOTICE AND CONTACT, paragraph 1. above. c� 5. The Recipient hereby notifies FCT that the Recipient's Federal Employer o Identification Number(s) is 59- 6000749. M VI. NEGOTIATION OF PROJECT SITE PURCHASE AGREEMENT 1. Pursuant to Rules 62- 820.003(8) and 62- 821.003(5), F.A.C., this Project shall be a Joint Acquisition Project and the Department will be responsible for all Acquisition activities, including negotiations. 2. Acquisition of the Project Site shall be governed by a negotiated Purchase Agreement, signed by the Owner /Seller, the Recipient and FCT. The negotiation of offers and counteroffers for the acquisition of the Project Site shall be conducted in accordance with Rules 62- 821.006 and 62- 8`? 1.007, F.A.C. Pursuant to Section 380.510(3), F.S., and Rule 62- 821.007, F.A.C., the final Purchase Agreement must be in form and content satisfactory to the Department. 3. Fee - simple interest in the Project Site shall be titled in the Recipient's name. The deed vesting interest of the Project Site to the Recipient shall set forth the executory interest of the Board of Trustees through a reverter clause, and also include any covenants or other restrictions sufficient to protect the interest of the people of Florida as contemplated in Section 380.510(3), F.S. 4. Prior to and as a condition of FCT's approval of the Purchase Agreement, the Recipient shall submit to FCT: a. The documents required under Article III above, including this Contract, Recipient's written confirmation and identification of its Project funding sources, a statement from each Project Site owner evidencing the voluntary negotiation of sale of the Project Site, and the Confidentiality Agreement. b. Disclosures of beneficial interest required by Section 286.23, F.S., signed by each Project Site owner. I'll. PROJECT SITE ACQUISITION REQUIREMENTS 1. Recipient must comply with the requirements for the acquisition of lands, as specified in Section 380.507(11), F.S. and Chapter 62 -821, F.A.C. DEP Contract No. 50897, Page 8 of 24 FCT Project No. 08- 001-WW 1 Stan Mayfield Working Waterfront Project Packet Pg. 3202 2. Without limiting the scope of the preceding Paragraph 1. of this Article VI., prior to the consummation of the closing(s) on the acquisition of the Project Site and final disbursement of the FCT Award: a. FCT shall have approved the Purchase Agreement, and, the conditions to the c closing(s) as set forth therein shall have been satisfied. ° d U) b. The closing documents related to Project Site acquisition shall be of a format and content satisfactory to FCT, including but not limited to: �? N O CD i. The deed conveying the interest in the Project Site to Recipient ii. The Declaration of Restrictive Covenants as defined in Rule 62- 820.002(7), F.A.C. (` of Restrictive Covenants ") which requires the Project Site to be operated in perpetuity in accordance with statutory and administrative /regulatory requirements or title to all interest in the Project Site shall be conveyed or revert to the Board of Trustees pursuant to Section 380.510(3)(d), F.S. iii.. If applicable, Working Waterfronts Covenants as defined in Rule 62- 820.002(26), F.A.C., which will be recorded in the official records and sets forth the obligations, rights and responsibilities of each party, the actions that are prohibited on the property, and any enforcement provisions. C. Recipient shall submit for FCT approval in writing, a Management Plan explaining how the Project Site will be managed to further the purposes of the Project and meet the terms and conditions of this Contract, as required by Rule 62- 820.010, F.A.C. Recipient shall make any revisions necessary prior to the required FCT approval. The required content of the Management Plan is further detailed in Article V111 below. d. Recipient shall submit to FCT a Project Plan containing the following infonnation: i. The Purchase Agreement, modified in consideration of the maximum amount, as applicable. ii. A letter from FCT indicating approval of the Management Plan written in accordance with Rule 62- 820.01, F.A.C., iii. Recipient's statement of the total Project Costs. iv. Recipient's statement of the amount of the Award being requested. DEP Contract No. 50897, Page 9 of 24 FCT Project No. 08- 001 -WW I Stan Mayfield working waterfront Project Packet Pg. 3203 V. Supporting documentation that all conditions imposed as part o this Contract have been satisfied, and for purposes ofthe closing that the terms of the approved Purchase Agreement have been satisfied. vi. Recipient's statement that the Recipient is not aware of any pending criminal, civil or regulatory violations imposed on the Project Site by any c governmental agency or body. ° �a m U) vii. Recipient's statement pursuant to Section 384.508(7), F.S., that all activities under this Contract and in the approved. Management Plan comply �? with all applicable local, state, regional and federal laws and regulations, o CD including zoning ordinances and the applicable adopted and approved comprehensive plan. CU viii. Additional documentation as may be requested by FCT to provide Reasonable Assurance (as defined in F.A.C. Rule 62- 820.002(19)) that Recipient will be able to fulfill its obligations under this Contract, the Declaration of Restrictive Covenants, and Chapter 62 -820, F.A.C., as more particularly discussed in Article X below. ix. Any additional documentation that may become necessary during due diligence and acquisition activities. 3. Upon approval of the Project Plan, a completed copy of the FCT Project Reconciliation Statement, provided as Attachment A, shall be signed and returned to the FCT Grant Manager. 4. FCT must approve the terms under which the interest in land is acquired pursuant to Section 380.510(3), F.S. Such approval is deemed ,given when FCT approves and executes the purchase agreement for acquisition of the Project Site, further described herein. 5. All real property shall be obtained through a Voluntarily- Negotiated Transaction, as defined in Rule 62- 820.002(24), F.A.C. The use of or threat of condemnation is not considered a Voluntarily - Negotiated Transaction. 6. All invoices for approved Project Costs, with proof of payment, shall be submitted to FCT Grant Manager and be in a detail sufficient for a proper preaudit and postaudit thereof: 7. The Recipient may, and is strongly encouraged to, request a courtesy review of its Project Plan by FCT prior to its submission for approval. 8. Reimbursement for Project Costs shall not occur until after FCT approval of the Project Plan. DEP Contract No. SO 897, Page 10 of 24 FCT Project No. 08 -001. -WW1 Stan Mayfield working Waterfront Project Packet Pg. 3204 Q.5.a VIII. MANAGEMENT PLAN; ANNUAL STEWARDSHIP REPORT 1. Prior to approval of the Project Plan and final disbursement of the FCT Award, the Recipient shall submit to and have approved by FCT, a Management Plan that complies with Mule +62- 820.01.0, F.A.C. and addresses the criteria and conditions set forth in Articles VII, VIII, IX, X, and XI herein. 2. The Management Plan explains how the Project Site will be managed to further the purposes of the Project and meet the terms and conditions of this Contract. Upon F+CT's approval, the Management Plan shall govern Recipient's use, operation, and management of the Project Site and constitutes an essential term or condition of the Award. In the event Recipient desires to revise or modify the approved Management Plan, the recipient must provide a written request, with all appropriate supporting materials, to the FCT and obtain FCT's prior written consent to any such modification. 3. Recipient's failure to implement the Management Dian, including the Project elements and tirne period(s) under which Project activities shall be accomplished, constitutes a violation of an essential term or condition of the Award, and in such event, F.S. Section 380.510(3)(d) requires that title to all interest in the Project Site shall be conveyed or revert to the Board of Trustees. 4. The Management Plan shall include the following: a. An introduction containing the Project name, location, and other background information relevant to management. b. The stated purpose for acquiring the Project Site as proposed in the Application and a prioritized list of management objectives. C. A detailed description of all proposed uses, including existing and proposed physical improvements and the impact on natural resources. d. A scaled site plan drawing showing the Project Site boundary, existing and proposed physical improvements. e. A description of proposed educational displays and programs to be offered, if applicable. f. A schedule for implementing the development and management activities of the Management Plan. g. Cost estimates and funding sources to implement the Management Plan.. DEP Contract No. 50897, Page 11 of 24 FCT Project No. 08 -001 -WWI Stan Mayfield Working Waterfront Project 0 0 m m U) c� N O 0 Packet Pg. 3205 5. If the Recipient is not the proposed managing entity, the Management Plan shall include a signed agreement between the Recipient and the managing entity stating the managing entity's willingness to manage the Project Site, the manner in which the Project Site will be managed to further the purpose(s) of the Project, and the identification of the source of funding for management. In the event that the Recipient is a partnership, the Recipient shall also provide FCT with the interlocal agreement that sets forth the relationship among the partners and the fiscal and management responsibilities and obligations incurred by each partner for the Project Site as a part of its Management Plan. 6. To ensure that future management funds will be available for the management of the site in perpetuity pursuant to Section 259.105 and Chapter 380, Park 111, F.S., the Recipient is required to provide FCT with Reasonable Assurance, as defined in F.A.C. Rule 62- 820.002(19), that it has the financial resources, background, qualifications and competence to manage the Project Site in perpetuity in a reasonable and professional manner. a. Where the Recipient is a Nonprofit Working Waterfront Organization as defined in Rule 62- 820.002(16), F.A.C. ( "Nonprofit Working Waterfronts Organization "), Recipient shall provide a guaranty or pledge by a. Local Government (as defined in Rule 62- 8211.002(13), F.A.C.), the Water Management District in which the Project is located, or a managing agency of the Board of Trustees, to act as a backup manager to assume responsibility for management of the Project Site in the event the Nonprofit Working Waterfronts Organization is unable to continue to manage the Project Site. b. Pursuant to Rule 62- 820.003(4), F.A.C., the Nonprofit Working Waterfronts Organization shall provide assurance that they have the capacity to manage the Project Site in the form of an endowment equal to five percent of the appraised value of the fee interest and a capital fund equal to five percent of the appraised value of the fee interest. 7. The Recipient shall, through its agents and employees, prevent the unauthorized use of the Project Site or any use thereof not in conformity with the Management Plan approved by FCT; failure to do so may result in title to all interest in the Project Site being conveyed or reverting to the Board of Trustees.. 8. All buildings, structures, improvements and signs shall require the prior written approval of FCT as to purpose. Major land alterations shall require the written approval of FCT. The approvals required from FCT shall not be unreasonably withheld upon sufficient demonstration that the proposed structures, buildings, improvements, signs or land alterations are in furtherance of the implementation of the approved Management Plan will not adversely impact the Project Site. 9. After the acquisition of the Project Site, pursuant to Rule 62- 820.012, F.A.C., Recipient shall prepare and submit to FCT an annual stewardship report. The stewardship report is intended to verify that Recipient is complying with the conditions imposed at the time of the Award and to monitor the stewardship and use of the Project Site. The stewardship report shall document DEP Contract No. 50897, Page 12 of 24 FCT Project No. 08- 001 -WW I Stan Mayfield Working Waterfront Project 0 �a m c� N 0 0 Packet Pg. 3206 t.5.a Recipient's progress in implementing the Management Plan. Recipient's failure to implement the Management flan may result in title to all interest in the Project Site being conveyed or reverting to the Board of Trustees. IX. SPECIAL MANAGEMENT CONDITIONS 0 In addition to the Management Plan conditions already described in this Contract, which ° �a apply to all sites acquired with FCT funds, the Management Plan shall address the fallowing in conditions that are particular to the Project Site and result from either representations made in the Application that received scoring points or observations made by FCT staff during the site visit �? described in Rule 62- 820.007, F.A.C.: o 0 M 1. The future land use and zoning designations of the project site shall be changed to Working Waterfronts or other similar category. 2. A pennanent recognition sign, at a minimum size of Y x 4 ", shall be maintained at the entrance area of the project site. The sign shall acknowledge that the project site was purchased with funds from the Florida Communities Trust Program. 3. Prior to closing, the Recipient will provide a letter from the Department of Environmental Protection stating the current land owner is in compliance with Chapters 253, 258, 373 Part IV and 403 Florida Statutes and the submerged land lease for all facilities or structures on the project site that are located over state sovereignty submerged land and that applicable fees or wetslip certification forms are current or that the facilities or structures are not subject to a state sovereignty submerged land lease. 4. At closing, any existing submerged land lease will be transferred to the Recipient. 5. Annually the Recipient will provide a letter from the Department of Environmental Protection stating the Recipient is in compliance with Chapters 253, 258, 373 Part IV and 403 Florida Statutes and the submerged land lease for all facilities or structures on the project site that are located over state sovereignty submerged land and that applicable fees or wetslip certification forms are current. 6. The Recipient will maintain the existing docking facility for commercial fishing vessels or aquaculture operations on the project site. 7. The Recipient will maintain the existing structure for launching commercial fishing vessels, including but not limited to a boat ramp, boat lift or boat rail system on the project site. 8. The Recipient will restore and maintain the existing structure for launching commercial fishing vessels, including but not limited to a boat ramp, boat lift or boat rail system on the project site. 9. The Recipient will maintain an open area of at least 114 acre to be used for the storage DEP Contract No. 50897, Page 13 of 24 FCT Project No. 08- 001 -WW t Stan "Mayfield Working Waterfront Project Packet Pg. 3207 of traps, nets, and other gear needed for commercial fishing or aquaculture operations. 10. Interpretive kiosk(s) and/or sign(s) shall be provided on the project site to educate the public about the economic, cultural or historic heritage of Florida's traditional Working Waterfronts. X. DECLARATION OF RESTRICTIVE COVENANTS REQUIREMENTS IMPOSED BY F.S. CHAPTER 259 AND CHAPTER 380, PART III 1. Each parcel in the Project Site to which the Recipient acquires title shall be subject to a Declaration of Restrictive Covenants describing the parcel and containing such covenants and restrictions as are, at a minimum, sufficient to ensure that the use of the Project Site at all times complies with Sections 375.051 and 380.510, F.S.; Section 11(e), Article VII of the Florida Constitution; the applicable bond indenture under which the Bonds were issued; and any provision of the Internal Revenue Code or the regulations promulgated thereunder that pertain to tax exempt bonds. The Declaration of Restrictive Covenants shall contain clauses providing for the conveyance of title to the Project Site, as applicable, to the Trustees, or a nonprofit environmental organization or government entity, upon failure to comply with any of the covenants and restrictions, as further described herein. 2. The Declaration of Restrictive Covenants shall also restate the conditions that were placed on the Project Site at the time of Project selection and initial Grant approval. The Declaration of Restrictive Covenants shall be executed by FCT and the Recipient at the time of the closing of the Project Site and shall be recorded by the Recipient in the county(s) in which the Project Site is located contemporaneously with the deed conveying the Project Site to Recipient. 3. If any essential term or condition of the Declaration of Restrictive Covenants is violated by the Recipient or by some third party with the knowledge of the Recipient, the Recipient shall be notified of the violation by written notice given by personal delivery, registered mail or registered expedited service. The Recipient shall diligently commence to cure the violation or complete curing activities within thirty (30) days after receipt of notice of the violation. If the curing activities cannot be reasonably completed within the specified thirty (30) day time frame, the Recipient shall submit a timely written request to FCT pursuant to conditions stated herein, which includes the status of the current activity, the reasons for the delay and a time frame for the completion of the curing activities. FCT shall submit a written response within thirty (30) days of receipt of the request and approval shall not be unreasonably withheld. It is FCT's position that all curing activities shall be completed within one hundred twenty (120) days of the Recipient's notification of the violation. However, if the Recipient can demonstrate extenuating circumstances exist to justify a greater extension of time to complete the activities, FCT shall give the request due consideration. If the Recipient fails to correct the violation within either (a) the initial thirty (30) day time frame or (b) the time frame approved by FCT pursuant to the Recipient's request, fee simple title to all interest in the Project Site shall be conveyed to the Trustees unless FCT negotiates an agreement with another local government or nonprofit environmental organization who agrees to accept title. FCT may, but is not required to, negotiate a management agreement with the local government, nonprofit environmental organization, the Florida Division of Forestry, the Florida Fish DEP Contract No. 50897, Page 14 of 24 FCT Project No. 08- 001 -WW 1 Stan Mayfield Working Waterfront Project 0 0 �a m C7 N 0 0 Packet Pg. 3208 and Wildlife Conservation Commission, the Department of Environmental Protection or a 'Water Management District, who agrees to manage the Project Site. FCT shall treat such property in accordance with Section 380.508(4), F.S. XI. GENERAL OBLIGATIONS OF THE RECIPIENT AS A CONDITION OF PROJECT FENDING I. Recipient's interest in the Project Site may not serve as security for any debt of the Recipient. 2. If the existence of the Recipient terminates for any reason, title to the Project Site shall be conveyed to the Trustees unless FCT negotiates an agreement with another local government or nonprofit environmental organization. FCT will also attempt to negotiate a management agreement with the local government, nonprofit environmental organization, the Florida Division of Forestry, the Florida Fish and Wildlife Conservation Commission, the Department of Environmental Protection, or a Water Management District, to manage the Project Site. 3. Following the acquisition of the Project Site, the Recipient shall ensure that the future land use and zoning designation assigned to the Project Site is for a category dedicated to working waterfronts. If an amendment to the applicable comprehensive plan is required., the amendment shall be proposed at the next comprehensive plan amendment cycle available to the Recipient subsequent to the Project Site's acquisition. Recipient's failure to obtain the required future land use and zoning designation dedicated to working waterfronts, or obtain a variance or other approval which permits the use of the Project Site as a working waterfront in accordance with the Management Plan shall constitute a violation of an essential term of the Award. 4. FCT staff or its duly authorized representatives shall have the right at any time to inspect the Project Site and the operations of the Recipient at the Project Site. 5. The Project Site shall permanently contain one sign recognizing FCT's role in the acquisition of the Project Site. Recipient shall penranently display the FCT sign at the Project Site within ninety (90) days of the final disbursement of the FCT Award. In addition, within such 90 -day period, Recipient shall deliver a color photograph of the installed FCT Project sign to the FCT. XIL RECIPIENT'S OBLIGATIONS RELATING TO THE BOND PROCEEDS 1. Section 380.510, F.S., authorizes the FCT to impose conditions for funding on the Recipient in order to ensure that the Project complies with the requirements for the use of Florida Forever bond proceeds including, without limitation, the provisions of the Internal Revenue Code and the regulations promulgated thereunder so that the bonds maintain their tax exempt status. 2. The Recipient agrees and acknowledges that the transactions, events, and circumstances itemized below (collectively, the "disallowable activities ") may have negative legal . and tax consequences on the bonds pursuant to Florida law and federal income tax law. The Recipient further agrees and acknowledges that, under some circumstances, these disallowable DEP Contract No. 50897, Page 15 of 24 FCT Project No. 08 -001 -WWI Stan Mayfield Working Waterfront Project 0 0 m m U) c� N 0 0 Packet Pg. 3209 activities may be allowed but only to the extent based on guidelines or tests outlined in the Federal Private Activity regulations of the Internal Revenue Service: a. the sale or lease of any interest in the Project Site to a non- goverm-ental person or organization; b. the operation of any concession on the Project Site by a non - governmental person or organization; C. any sales contract or option to buy or sell things attached to the Project Site to be severed from the Project Site with a non - governmental person or organization; d. any use of the Project Site by a non - governmental person other than in such person's capacity as a member of the general public; e. any change in the character or use of the Project Site from that use expected at the date of the issuance of any series of bonds from which the FCT Award disbursement is made; f. a management contract for the Project Site with a non - governmental person or organization, or g. such other activity or interest as may be specified from time to time in writing by FCT to the Recipient. h. any and all activities that violate the Federal Private Activity regulations of the Internal Revenue Service. 3. If the Project Site, after its acquisition by the Recipient and/or the Trustees, is subject to any of the disallowable activities, the Recipient shall provide notice to FCT, as provided for in paragraph V.1., at least sixty (60) calendar days in advance of any such transactions, events or circumstances, and shall provide to FCT such information as FCT reasonably requests in order to evaluate for approval or denial the legal and tax consequences of such disallowable activities. 4. In the event that FCT determines at any time that the Recipient is engaging, or allowing others to engage, in disallowable activities on the Project Site, the Recipient shall immediately cease or cause the cessation of the disallowable activities upon receipt of written notice from FCT. In addition to all other rights and remedies at law or in equity, FCT shall have the right to seek temporary and permanent injunctions against the Recipient for any disallowable activities on the Project Site. DELEGATIONS AND CONTRACTUAL ARRANGEMENTS BETWEEN THE RECIPIENT AND OTHER GOVERNMENTAL BODIES, NONPROFIT ENTITIES OR NON GOVERNMENTAL PERSONS FOR USE OR MANAGEMENT OF THE PROJECT SITE WILL IN NO WAY RELIEVE THE RECIPIENT OF THE RESPONSIBILITY TO ENSURE THAT THE DEP Contract No. 50897, Page 16 of 24 FCT Project No. 08 -001 -'WWI Stan Mayfield Working Waterfront Project 0 �a m c� N 0 0 M Packet Pg. 3210 CONDITIONS IMPOSED HEREIN ON THE PROJECT SITE AS A RESULT OF UTILIZING BOND PROCEEDS TO ACQUIRE THE PROJECT SITE ARE FULLY COMPLIED WITH BY THE CONTRACTING PARTY.. XIII. RECORDKEEPING; AUDIT REQUIREMENTS 0 1. The Grantee shall maintain books, records and documents directly pertinent to performance under this Contract in accordance with generally accepted accounting principles in consistently applied. The Department, the State, or their authorized representatives shall have access to such records for audit purposes during the term of this Contract and for five (5) years following the completion date of the Contract. In the event any work is subcontracted, the Grantee shall o CD similarly require each subcontractor to maintain and allow access to such records for audit purposes. 2. The Grantee understands its duty, pursuant to Section 20.055(5), F.S., to cooperate with the Department's Inspector General in any investigation, audit, inspection, review, or hearing. The Grantee will comply with this duty and ensure that its subcontracts issued under this Grant, if any, impose this requirement, in writing, on its subcontractors. 3 The rights of access in this paragraph are not limited to the required retention period but last as long as the records are retained. 4. In addition to the requirements contained herein, the Grantee shall comply with the applicable provisions contained in Attachment B, Special Audit Requirements, attached hereto and made a part hereof. Exhibit 1 to Attachment B summarizes the funding sources supporting the Contract for purposes of assisting the Grantee in complying with the requirements of Attachment B. A revised copy of Exhibit 1 must be provided to the Grantee for each amendment which authorizes a funding increase or decrease. If the Grantee fails to receive a revised copy of Exhibit 1, the Grantee shall notify the Department's Grants Development and Review Manager at 8501245 -2361 to request a copy of the updated information. 5. The Grantee is hereby advised that the Federal audit mandates and/or the Florida Single Audit Act Requirements may further apply to lower tier transactions that may be a result of this Contract. The Grantee shall consider the type of financial assistance (federal and/or state) identified in Attachment B, Exhibit I when making its determination. For federal financial assistance, the Grantee shall utilize the guidance provided under OMB Circular A -I 33, Subpart B, Section 1 .210 2 CFR §200.330 for determining whether the relationship represents that of a subrecipient or vendor. For state financial assistance, the Grantee shall utilize the form entitled "Checklist for Nonstate Organizations Recipient/Subrecipient vs. Vendor Determination" (farm number DFS- A2 -NS) that can be found under the "Links/Forms" section appearing at the following website: littps://apps.fldfs.com/f,saa The Grantee should confer with its chief financial officer, audit director or contact the Department for assistance with questions pertaining to the applicability of these requirements. DEP Contract No. 50897, Page 17 of 24 FCT Project No. 08-001 -WW1 Stan Mayfield Working Waterfront Project Packet Pg. 3211 Q.5.a XIV. DEFAULT; REMEDIES; TERMINATION 1. If the necessary funds are not available to fund this Contract as a result of action by the Florida Legislature or the Office of the State Chief Financial Officer, or if any of the events below occur ( "Events of Default "), all obligations on the part of FCT to make any further payment of funds hereunder shall, if FCT so elects, terminate and FCT may; at its option, exercise any of its remedies set forth herein, but FCT may make any payments or parts of payments after the happening of any Events of Default without thereby waving the right to exercise such remedies, and without becoming liable to hake any further payment. The following constitute Events of Default: a. If any warranty or representation made by the Recipient in this Contract, any previous agreement with FCT or in any document provided to FCT shall at any time be false or misleading in any respect, or if the Recipient shall fail to keep, observe or perform any of the germs or covenants contained in this Contract or any previous agreement with FCT and has not cured such in timely fashion, or is unable or unwilling to meet its obligations thereunder; b. If any material adverse change shall occur in the financial condition of the Recipient at any time during the term of this Contract from the financial condition revealed in any reports filed or to be filed with FCT, and the Recipient fails to cure said material adverse change within thirty (30) days from the date written notice is sent to the Recipient by FCT; C. If any reports or documents required by this Contract have not been timely submitted to FCT or have been submitted with incorrect, incomplete or insufficient information; or d. If the Recipient fails to perform and complete in timely fashion any of its obligations under this Contract. e. If the Recipient fails to comply with project deadlines in a timely fashion set forth in the approved Management Plan. f. If the Recipient otherwise fails to perform and complete in a timely manner any of its obligations under this Agreement, Chapter 259 and 384, Part III, F.S., as applicable, and Rules 62 -820 and 62 -821, F.A.C. 2. Upon the happening of an Event of Default, FCT may, at its option, upon thirty (3 a) calendar days from the date written notice is sent to the Recipient by FCT and upon the Recipient's failure to timely cure, exercise any one or more of the following remedies, either concurrently or consecutively, and the pursuit of any one of the following remedies shall not preclude FCT from pursuing any other remedies contained herein or otherwise provided at law or in equity: DEP Contract No. S0897, Page 18 of 24 FCT Project No. 08- 001 -WW 1 Stan Mayfield Working Waterfront Project 0 a� U) c� N O O M Packet Pg. 3212 a. Terminate this Contract, provided the Recipient is given at least thirty (30) days prior written notice of such termination. The notice shall be effective upon the date of the letter. Notification shall be given pursuant to Section V.; b. Commence an appropriate legal or equitable action to enforce perfonnance of this Contract; C. Withhold or suspend payment of all or any part of the FCT Award; d. Exercise any corrective or remedial actions, including, but not limited to, requesting additional information from the Recipient to determine the reasons for or the extent of noncompliance or lack of perfortrtance or issuing a written warning to advise that more serious measures may be taken if the situation is not corrected; or e. Exercise any other rights or remedies which may be otherwise available under law, including, but not limited to, those described in paragraph 1X.3. 3. FCT may terminate this Contract for cause upon written notice to the Recipient. Cause shall include, but is not limited to: Events of Default; fraud; lack of compliance with applicable rules, laws and regulations; failure to perform in a timely manner; failure to make significant progress toward Project Plan and Management Plan approval; and refusal by the Recipient to pen public access to any document, paper, letter, or other material subject to disclosure under Chapter 119, F.S., as amended. Appraisals, and any other reports relating to value, offers and counteroffers are not available for public disclosure or inspection and are exempt from the provisions of Section 119.07(l ), F.S. until a Purchase Agreement is executed by the Owner(s) and Recipient and conditionally accepted by FCT, or if no Purchase Agreement is executed, then as provided for in Sections 125.355(1)(a) and 166.045(1)(a), F.S. 4. FCT may terminate this Contract when it determines, in its sole discretion, that the continuation of the Contract would not produce beneficial results commensurate with the further expenditure of fiends by providing the Recipient with thirty (30) calendar days prior written notice. 5. The Recipient may request tenmination of this Contract before its Expiration [.late by a written request fully describing the circumstances that compel the Recipient to terminate the project. A request for termination shall be provided to FCT in a manner described in Article 11. XV. LEGAL AUTHORIZATION 1. The Recipient certifies that it possesses the legal authority to enter into and perform this Contract, to receive the FCT Award, and its governing body has authorized, by resolution or otherwise, the execution and acceptance of this Contract, including all covenants and assurances contained herein. Recipient shall provide documentary proof thereof satisfactory to FCT. The Recipient also certifies that the undersigned possesses the authority to legally execute and bind the Recipient to the terns of this Contract. DEP Contract No. 50$97, Page 19 of 24 FCT Project No. 08- 001 -WW 1 Stan. Mayfield Working Waterfront Project 0 0 m a� c� N O 0 Packet Pg. 3213 1. Grantee shall comply with Florida Public Records law under Chapter 119, F.S. Records made or received in conjunction with this Contract are public records under Florida law, as defined in Section 119.011(12), F.S. Grantee shall keep and maintain public records required by the 0 Department to perform the services under this Contract. 2. This Contract may be unilaterally canceled by the Department for refusal by the Grantee to either provide to the Department upon request, or to allow inspection and copying of all public records made or received by the Grantee in conjunction with this Contract and subject to N CD CD disclosure under Chapter 119, F.S., and Section 24(a), Article 1, Florida Constitution. M 3. If Grantee meets the definition of "Contractor" found in Section 119.0701(1)(a), F.S., [i.e., an individual, partnership, corporation, or business entity that enters into a contract for services with a public agency and is acting on behalf of the public agency], then the following requirements apply: a. Pursuant to Section 119.0701, F.S., a request to inspect or copy public records relating to this Contract for services must be made directly to the Department. If the Department does not possess the requested records, the Department shall immediately notify the Grantee of the request, and the Grantee must provide the records to the Department or allow the records to be inspected or copied within a reasonable time. If Grantee fails to provide the public records to the Department within a reasonable time, the Grantee may be subject to penalties under s. 119. 10, F.S. b. Upon request from the Department's custodian of public records, Grantee shall provide the Department with a copy of the requested records Or allow the records to be inspected or copied within a reasonable time at a cost that does not exceed the cost provided in Chapter 119, Florida Statutes, or as otherwise provided by law. C. Grantee shall identify and ensure that all public records that are exempt or confidential and exempt from public records disclosure requirements are not disclosed except as authorized by law for the duration of the Contract term and following completion of the Contract if the Grantee does not transfer the records to the Department. 4. Upon completion of the Contract, Grantee shall transfer, at no cost to Department, at I public records in possession of Grantee or keep and maintain public records required by the Department to perform the services under this Contract. If the Grantee transfers all public records to the Department upon completion of the Contract, the Grantee shall destroy any duplicate public records that are exempt or confidential and exempt from public disclosure requirements. If the Grantee keeps and maintains public records upon completion of the Contract, the Grantee shall meet DEP Contract No. 50897, Page 20 of 24 FCT Project No. 08 -001 -WW1 Stan Mayfield Working Waterfront Project I Packet Pg. 3214 1 Q.5.a all applicable requirements for retaining public records. All records that are stored electronically must be provided to Department, upon request from the Department's custodian of public records, in a format that is accessible by and compatible with the information technology systems of Department. 5. IF THE GRANTEE HAS (QUESTIONS REGARDING THE APPLICATION OF CHAPTER 119, FLORIDA STATUTES, TO THE GRANTEE'S DUTY TO PROVIDE PUBLIC RECORDS RELATING TO THIS CONTRACT, CONTACT THE DEPARTMENT'S CUSTODIAN OF PUBLIC RECORDS by telephone at (850) 245 -2118, by email at ombudsman c , dep. state. fl. us, or at the mailing address below: Department of Environmental Protection ATTN: Office of Ombudsman and Public Services Public Records Request 3900 Commonwealth Blvd, Maii Slot 49 Tallahassee, FL 32399 XVIL SCRUTINIZED COMPANIES 1. In executing this Contract, the Grantee (or affiliate, subcontractor) certifies that it is not listed on the Scrutinized. Companies with Activities in Sudan List, the Scrutinized Companies with Activities in the Iran Petroleum Energy Sector List, and/or Scrutinized Companies with Activities in Israel List (eff. 10.1.2016), created pursuant to section 215.473, F.S. Pursuant to subsection 2$7.135(5), F.S,, the Grantee (or affiliate, subcontractor) agrees the Department may immediately terminate this Contract for cause if the Grantee (or affiliate, subcontractor) is found to have submitted a false certification or if the Grantee (or affiliate, subcontractor) is placed on the Scrutinized Companies list during the term of the Contract. X'VIII. STANDARD CONDITIONS This Contract has been delivered in the State of Florida and shall be construed in accordance with the laws of Florida. Wherever possible, each provision of this Contract shall be interpreted in such manner as to be effective and valid under applicable law, but if any provision of this Contract shall be prohibited or invalid under applicable law, such provision shall be ineffective to the extent of such prohibition or invalidity, without invalidating; the remainder of such provision or the remaining provisions of this Agreement. Any action hereon or in connection herewith shall be brought in Leon County, Florida. 2. Neither FCT's waiver of any right or remedy granted hereunder nor FCT's delay or failure to insist on Recipient's strict performance of this Contract shall constitute a waiver of any such right or remedy or affect the FCT's subsequent exercise thereof: Any power of approval or disapproval granted to FCT under the terns of this Contract shall survive the expiration or termination of this Contract. DEP Contract No. S0897, Page 21 of 24 FCT Project No. 08 -001 -WWI Stan Mayfield Working Waterfront Project 0 0 U) c� N 0 0 M Packet Pg. 3215 3. The Department supports diversity in its procurement program and requests that all subcontracting opportunities afforded by this Contract embrace diversity enthusiastically. The award of subcontracts should reflect the full diversity of the citizens of the State of Florida. A list of minority owned firms that could be offered subcontracting opportunities may be obtained by contacting the Office of Supplier Diversity at (850) 487-0915. 4. No person, on the grounds of race, creed, color, religion, national origin, age, gender, or disability, shall be excluded from participation in; be denied the proceeds or benefits of; or be otherwise subjected to discrimination in performance of this Contract. 5. Grantee agrees to comply with the Americans With Disabilities Act (42 USC § 12101, et seq.), where applicable, which prohibits discrimination by public and private entities on the basis of disability in the areas of employment, public accommodations, transportation, State and local government services, and in telecommunications. 6. A person or affiliate who has been placed on the convicted vendor list following a conviction for a public entity crime or on the discriminatory vendor list may not submit a bid on a contract to provide any goods or services to a public entity, may not submit a bid on a contract with a public entity for the construction or repair of a public building or public work, may not submit lease bids on leases of real property to a public entity, may not be awarded or perform work as a contractor, supplier, subcontractor, or consultant under a contract with a public entity, and may not transact business with any public entity in excess of Category Two for a period of thirty-six (36) months from the date of being placed on the convicted vendor list or on the discriminatory vendor list. 7. In accordance with Section 216.347, F.S., the Recipient is hereby prohibited from using funds provided by this Contract for the purpose of lobbying the Legislature, the judicial branch or a state agency. Further, in accordance with Section 11.062, F.S., no state funds, exclusive of salaries, travel expenses, and per diem, appropriated to, or otherwise available for use by, any executive, Judicial, or quasi-judicial department shall be used by any state employee or other person for lobbying purposes. 8. The employment of unauthorized aliens by any recipient is considered a violation of Section 274A(e) of the Immigration and Nationality Act. If the Recipient knowingly employs unauthorized aliens, such violation shall be cause for unilateral cancellation of this Contract. The Recipient shall be responsible for including this provision in all subcontracts with private organizations issued as a result of this Contract. 9. The Recipient shall comply with all applicable federal, state and local rules and regulations in providing services to the Department under this Contract. The Recipient acknowledges that this requirement includes, but is not limited to, compliance with all applicable federal, state and local health and safety rules and regulations. The Recipient further agrees to include this provision in all subcontracts issued as a result of this Contract. DEP Contract No. 50897, Page 22 of 24 FCT Project No. 08- 001 -WW 1 Stan Mayfield Working Waterfront Project 0 C CD CD n I Packet Pg. 3216 1 10. To the extent set forth in F.S. 768.28, the Recipient shall save and hold harmless and indemnify the State of Florida and the Department against any and all liability, claims, judgments or costs of whatsoever kind and nature for injury to, or death of any person or persons and for the loss of damage to any property resulting from the use, service, operation or performance of work under the terms of this Contract, resulting from the negligent acts of the Recipient, his subcontractor, or any of the employees, agents or representatives of the Recipient or subcontractor. Nothing contained in this Contract shall be construed to be a waiver by either party of any protections under sovereign immunity, Section 768.28 Florida Statutes, or any other similar provision of law. Nothing contained herein shall be construed to be a consent by either party to be sued by third parties in any matter arising out of this or any other contract. 11. To the extent required bylaw, the Recipient will be self- insured against, or will secure and maintain during the life of this Contract, Workers' Compensation Insurance for all of its employees connected with the work of this project and, in case any work is subcontracted, the Recipient shall require the subcontractor similarly to provide Workers' Compensation Insurance for all of the latter's employees unless such employees are covered by the protection afforded by the Recipient. Such self-insurance program or insurance coverage shall comply fully with the Florida Workers' Compensation law. In case any class of employees engaged in hazardous work under this Contract is not protected under Workers' Compensation statutes, the Recipient shall provide, and cause each subcontractor to provide, adequate insurance satisfactory to the Department, for the protection of his employees not otherwise protected. a. Recipient's chief financial officer ( "CFO") must provide self -- insurance documentation to FCT prior to execution of this Contract and upon any subsequent changes relating to the terms or insurance carrier. 12. The Recipient, as an independent contractor and not an agent, representative, or employee of the Department or FCT, agrees to carry liability and other appropriate forms of insurance. The Department shall have no liability except as specifically provided in this Contract. 13. This Contract may be executed in two or more counterparts, each of which together shall be deemed an original, but all of which together shall constitute one and the same instrument. In the event that any signature is delivered by facsimile transmission or by e -mail delivery of a ".pdf' format data f le, such signature shall create a valid and binding obligation of the party executing (or on whose behalf such signature is executed) with the same force and effect as if such facsimile or if .pdf' signature page were an original thereof 14. This Contract embodies the entire contract between the parties. Any alterations, variations, changes, modifications or waivers of provisions of this Contract shall only be valid when they have been reduced to writing, duly signed by each of the parties hereto, and attached to the original of this Contract, unless otherwise provided herein. IN WITNESS WHEREOF, the parties hereto have duly executed this Contract. 17EP Contract No. 50897, Page 23 of 24 FCT Project No. 08- 001 -WW 1 Stan Mayfield Working Waterfront Project 0 a� U) C7 N O O Packet Pg. 3217 Approved as to Forrn and Legality: By: N I A_LtA� Va 1 4 Print Name: Date'� (k (A ( J HEAVILIN, CLERK Clerk '7-�Y Y AP List of attachments/exhibits included as part of this.Con Specify Letter/ Type Number Description (include number of pages) yoVChairrnan Exhibit A Resolution Approving Agreement Attachment A FCT Project Reconciliation Statement (2 pages) Attachment B Special Audit Requirements (5 Pages) CGIIJ�JTY ­_ - ' Y /ED AS WFwP4 0 U) C%4 CD CD M pr.�n_ qo s ASSISTAKIr 0 DEP Contract No. 50897, Page 24 of 24 FCT Project No. 08- 001 -WW I Stan Mayfield Working Waterfront Project Packet Pg. 3218 FLORIDA COMMUNITIES TRUST, STATE OF FLORIDA, DEPARTMENT OF ENVIRONMENTAL PROTECTION By: ��ee �or designee Print N am e: Jew,, el, Title: Date: -9 7 ,- -11 4 - RECIPIENT: BOARD OF �OUNTY COMMISSIONERS OF MONR9t COU NTY, FLORIDA 0 Q.5.a Exhibit A RESOLUTION NO. 13 4 - 2816 A RESOLUTION OF THE BOARD OF COUNTY c COMMISSIONERS OF MONROE COUNTY, FLORIDA, APPROVING THE STAN MAYFIELD WORKING cn WATERFRONT GRANT CON'T'RACT AGREEMENT BETWEEN THE FLORIDA DEPARTMENT OF ENVIRONMENTAL PROTECTION (THROUGH FLORIDA c COMMUNTIES TRUST) AND MONROE COUNTY, CD FLORIDA FOR THE ACQUISTION OF THE COMMERCIAL FISHING PROPERTY ON STOCK ISLAND FORMERLY KNOWN AS "GULF SEAFOOD" TO PRESERVE WORKING WATERFRONT ACCESS FOR a THE COMMERCIAL FISHING INDUSTRY. ° "WHEREAS, The Stan Mayfield Working Waterfront Grant is awarded by the Florida Department of Environmental Protection (DEP) through the Florida Communities Trust (FCT) and is aimed at preserving working waterfront specifically for commercial fishing; and WHEREAS, commercial fishing is an economically and historically important activity in Monroe County; and WHEREAS, in November 2008, the Monroe County Board of County Commissioners ( "County') approved the application for a Stan Mayfield. Working Waterfront grant to the of the Florida Communities Trust (FCT) to acquire commercial fishing working waterfront, specifically the "Gulf Seafood" property, an 8 -acre parcel located at 6021 Peninsula avenue in Stock Island, in order to preserve the property in perpetuity for commercial fishing; and WHEREAS, the Grant Contract sets forth the procedures that must be followed and the conditions that must be satisfied prior to the disbursement of funds awarded for the acquisition of this property ( "Project Site "), as well as the restrictions that shall be imposed on the Project site concurrent with its acquisition, and WHEREAS, pursuant to the rules of the program, the State /FCT is the "acquiring agency" and is responsible for all acquisition activities including negotiations; and WHEREAS, the Grant Contract will facilitate State /FCT to begin the acquisition process, including conducting an appraisal of the Gulf Seafood property and negotiating the purchase; and WHEREAS, approval of the Grant Contract confirms that Monroe County agrees to State /FACT to commence property acquisition, subject to appraisal results and favorable negotiations; and Page 1 of 2 Packet Pg. 3219 Q.5.a WHEREAS, the project site has not yet been negotiated for acquisition, some elements of the project Are not yet known such as the purchase prices, total project costs and the terms upon which the owner will voluntarily sell the project site; and WHEREAS, the State's grant award for the acquisition will not exceed $2,291,793 and the County's match for the acquisition will not exceed $5,000,000; and WHEREAS, if negotiations are favorable, the next step would be for the State and the County to jointly execute a negotiated purchase agreement with the seller to jointly purchase the "Gulf Seafood" property, and upon closing, the property will be deeded to Monroe County with restrictive covenants; and WHEREAS, the County certifies that it possesses the legal authority to enter into and perform this Grant Contract, to receive the FCT award, and its governing, body authorizes the execution and acceptance of this Contract; and NOW, THEREFORE, be it resolved by the Board of County Commissioners of Monroe County Florida that; 1. The Grant Agreement between Florida Department of Environmental Protection (through. Florida Communities Trust) and Monroe County, Florida referenced above is hereby approved. 2. Upon execution, this Resolution will be marked "Exhibit A" and made a part of the Grant Contract. PASSED AND ADOPTED by the Board of County Commissioners of Monroe County Florida, at a regular meeting of said Board held on the 20"' day of July, 2015. Mayor Heather Carruthers 6- S Mayor pro tern George Neugent 6 S Commissioner Danny L. Kolhage E5 Commissioner David Rice 5 Commissioner Sylvia Murphy _ E V HEAVILIN, CLERK BOARD OF OUN'FV COMMISSIONERS \ OF MONRQ1E COU}WY, FLORIDA ty Clerk tDA This Copy is u 1 rue Copy of the Original on Fi.e in this ()t'1`ice. Witness my Hand andt't7ciat Seat. By: ayrrr eat r Carruthers MONROE COUNTY ATTORMEY RCBERT t3. � , JR Paget aft Ode 1° �, /`/(1F 0 m m co c� N 0 0 n Packet Pg. 3220 Q.5.a ATTACHMENT A FCT PROJECT RECONCILIATION STATEMENT GRANT AWARD CALCULATION TOTAL PROJECT COSTS Lard Purchase Price Total Land Purchase Price Acquisition Expenses Survey Title Insurance Appraisal Review Appraisals Environmental Audit Total Acquisition Expenses s - C) Total Project Costs $ - COMPUTATION OF GRANT AWARD AND LOCAL MATCH AMOUNT FCT Award Computation Share of Purchase Price - (1) Share of Acquisition Expenses - Total Share of Project Costs $ - (3) Recipient Local Match Amount Share of Purchase Price Share of Acquisition Expenses Total Share of Project Costs Total Project Costs COMPUTATION OF PREPAIDS, REIMBURSEMENTS, AND ADDITIONAL COSTS FLORIDA COMMUNITIES TRUST FCT Prepaid Project Costs Appraisal. Review Total Prepaid Costs DEP Agreement No. 50928 Attachment A, Page 1 of 2 0 0 m m c� N O 0 M Packet Pg. 3221 Q.5.a FCT Amount Due at Closing Share of Total Project Costs Less Total Prepaid Costs Total Amount Due From FCT Recipient Prepaid Costs Land Purchase Price Survey Title Insurance Appraisals Environmental Audit Total Prepaid Costs Recipient Amount Due Share of Total Project Costs Less Prepaids Total Amount Due to County Recipient Additional Costs Record Grant Award Agreement $ - (4) Total Additional Costs - Notes (1) Pursuant to memorandum from to dated_, the maximum reimbursement amount is _ _. The Recipient acquired the property on , at a purchase price of . The FCT Reimbursement is 'based on the maximurn reimbursement amount, which may be less than the purchase price paid by Recipient. (2) Amount includes costs for title insurance, title examination, title search and closing fees. (3) Pursuant to the terms of the Conceptual Approval Agreement, the amount of the grant shall not exceed the lesser of S_or % of the total project cost. (4) Disbursed to Clerk of the Court, County, at time of reimbursement from FCT. The foregoing reconciliation of Recipients' costs is hereby approved by the undersigned. RECIPIENT FLORIDA COMMUNITIES TRUST STATE OF FLORIDA, DEPARTMENT OF ENVIRONMENTAL PROTECTION By: By:_ Its: Its: Date: Date: DPP Agreement No. S0928 Attachment A, Page 2 of 2 Packet Pg. 3222 0 0 �a m _ N - o 0 M c m a _ 0 _ J- m S _ w Record Grant Award Agreement $ - (4) Total Additional Costs - Notes (1) Pursuant to memorandum from to dated_, the maximum reimbursement amount is _ _. The Recipient acquired the property on , at a purchase price of . The FCT Reimbursement is 'based on the maximurn reimbursement amount, which may be less than the purchase price paid by Recipient. (2) Amount includes costs for title insurance, title examination, title search and closing fees. (3) Pursuant to the terms of the Conceptual Approval Agreement, the amount of the grant shall not exceed the lesser of S_or % of the total project cost. (4) Disbursed to Clerk of the Court, County, at time of reimbursement from FCT. The foregoing reconciliation of Recipients' costs is hereby approved by the undersigned. RECIPIENT FLORIDA COMMUNITIES TRUST STATE OF FLORIDA, DEPARTMENT OF ENVIRONMENTAL PROTECTION By: By:_ Its: Its: Date: Date: DPP Agreement No. S0928 Attachment A, Page 2 of 2 Packet Pg. 3222 Q.5.a ATTACHMENT B SPECIAL AUDIT REQUIREMENTS The administration of resources awarded by the Department of Environmental Protection (which may be referred to as the "Department "` " "DEP ", 7DEP " or "Grantor ", or other name in the contrcactlagreement) to the recipient (which may be referred to as the "Contractor ", Grantee" or other name in the contractlagreement) may be subject c to audits and/or monitoring by the Department of Environmental Protection, as described in this attachment. m W MONITORING to 0 In addition to reviews of audits conducted in accordance with OMB Circular A -133 and Section 215.97, F.S., as 0 revised (see "AUDITS" below)„ monitoring procedures may include, but not be limited to, on-site visits by N Department staff, limited scope audits as defined by OMB Circular A -133, as revised, and/or other procedures. By ° o entering into this Agreement, the recipient agrees to comply and cooperate with any monitoring procedures /processes deemed appropriate by the Department of Environmental Protection. In the event the is Department of Environmental Protection determines that a limited scope audit of the recipient is appropriate, the recipient agrees to comply with any additional instructions provided by the Department to the recipient regarding such audit. The recipient further agrees to comply and cooperate with any inspections, reviews„ investigations, or Q audits deemed necessary by the Chief Financial Officer or Auditor General. ,o 11111]10 PART I: FEDERALLY FUNDED This part is applicable if the recipient is a State or local government or a non - profit organization as defined in OMB Circular A -133, as revised. In the event that the recipient expends $500,000 or more in Federal awards in its fiscal year, the recipient must have a single or program- specific audit conducted in accordance with the provisions of OMB Circular A -133, as revised. EXHIBIT I to this Attachment indicates federal funds awarded through the Department of Environmental Protection by this Agreement. In determining the Federal awards expended in its fiscal year, the recipient shall consider all sources of Federal awards, including Federal resources received from the Department of Environmental Protection. The determination of amounts of Federal awards expended should be in accordance with the guidelines established by OMB Circular A -133, as revised. An audit of the recipient conducted by the Auditor General in accordance with the provisions of OMB Circular A -1.33, as revised, will meet the requirements of this part. In connection with the audit requirements addressed in Part 1, paragraph 1, the recipient shall fulfill the requirements relative to auditee responsibilities as provided in Subpart C of OMB Circular A -133, as revised. If the recipient expends less than $5€10,000 in Federal awards in its fiscal year, an audit conducted in accordance with the provisions of OMB Circular A -133, as revised, is not required. In the event that the recipient expends less than $500,000 in Federal awards in its fiscal year and elects to have an audit conducted in accordance with the provisions of OMB Circular A -133, as revised, the cost of the audit must be paid from non- Federal resources (i.e., the cost of such an audit must be paid from recipient resources obtained from other than Federal entities). The recipient may access information regarding the Catalog of Federal Domestic Assistance (CFDA) via . the internet at htt : 1132 ,46.245.173 /efda /cfda.htnil. DEP 55 -213 (06114) DEP Agreement No. 5092$, Attachment B, Page 1 of 5 Packet Pg. 3223 FART II: STATE FUNDED This part is applicable if the recipient is a nonstate entity as defined by Section 215.97(2)(m), Florida Statutes. In the event that the recipient expends a total amount of state financial assistance equal to or in excess of $500,000 in any fiscal year of such recipient, the recipient must have a State single or project - specific audit for such fiscal year in accordance with Section 215.97, Florida Statutes: applicable rules of the Department °o of Financial Services; and Chapters 16.550 (local governmental entities) or 10.650 (nonprofit and for- profit m organizations), Mules of the Auditor General. EXHIBIT 1 to this Attachment indicates state financial y assistance awarded through the Department of Environmental Protection by this Agreement. In determining the state financial assistance expended in its fiscal year, the recipient shall consider all sources C7 of state financial assistance, including state financial assistance received from the Department of N 'Frtvironmental Protection, other state agencies, and other nonstate entities. State financial assistance does ee not include Federal direct or pass - through awards and resources received by a nonstate entity for Federal program matching requirements. 2. In connection with the audit requirements addressed in Part II, paragraph I ; the recipient shall ensure that the audit complies with the requirements of Section 215.47(7), Florida Statutes. This includes submission of a financial reporting package as defined by Section 215.97(2), Florida Statutes, and Chapters 10.550 (Local governmental entities) or 10.650 (nonprofit and for - profit organizations), Rules of the Auditor General. If the recipient expends less than $500,000 in state financial assistance in its fiscal year, an audit conducted in accordance with the provisions of Section 215.97, Florida Statutes, is not required. In the event that the recipient expends less than $500,000 in state financial assistance in its fiscal year, and elects to have an audit conducted in accordance with the provisions of Section 215.97, Florida Statutes, the cost of the audit must be paid from the non -state entity's resources (i.e., the cost of such an audit must be paid from the recipient's resources obtained from other than State entities). For information regarding the Florida Catalog of State Financial Assistance (CSFA), a recipient should access the Florida Single Audit Act website located at http 'apps.dldfs.coniTfsaa for assistance. In addition to the above websites. the following websites may be accessed for information: Legislature's Website at hap: }twww.leg.state. fl. Lis Welcome'index.cfm, State of Florida's website at http :.'w -' , Department of Financial Services' Website at http;l/www.fldfs.corn' and the Auditor General's Website at litip :ilwww,state.fl.us/aud.Len PART Ili: OTHER AUDIT REQUIREMENTS (NOTE: This part would be used to specify any additional audit reguirenents imposed by the .State awarding entity that are solely a matter of that State cmarding entity's policy (i.e., the audit is not required by Federal or State lairs and is not in conflict with other Federal or State audit requirements). Pursuant to Section 215.97(8), Florida Statutes, State agencies maw conduct or arrange for audits of State financial assistance that are in addition to audits conducted in accordance: with Section 215.97, Florida Statutes. In such an event, the State awarding agency must arrange for funding the full cast of such additional audits.) PART IV: REPORT SUBMISSION Copies of reporting packages for audits conducted in accordance with OMB Circular A -133, as revised, and required by PART I of this Attachment shall be submitted, when required by Section .320 (d), OMB Circular A -133, as revised, by or on behalf of the recipient directly to each of the following; DEP 55-215 ( 061] 4 ) DEP Agreement No. 50928, Attachment B, Page 2 of 5 Packet Pg. 3224 Q.5.a A. The Department of Environmental Protection at one of the following addresses: By Mail: Audit Director Florida Department of Environmental Protection Office of the Inspector General, MS 40 3900 Commonwealth Boulevard $ Tallahassee, Florida 32399 -3000 0 0 m Electronically: y FDEPSingleAuditif� dep.:tate.fl.us `~ - 0 t7 B. The Federal Audit Clearinghouse designated in OMB Circular A -133, as revised (the number of N copies required by Sections .320 (d)(1) and (2), OMB Circular A -133, as revised, should be °e submitted to the Federal Audit Clearinghouse), at the following address: Federal Audit. Clearinghouse Bureau of the Census 1201 East 10th Street Jeffersonville, IN 47132 Submissions of the Single Audit reporting package for fiscal periods ending on or after January 1, 2008, must be submitted using the Federal Clearinghouse's Internet Data Entry System which can be found at lattp;l,`'harvester.census. ovfa� C. Other Federal agencies and pass- through entities in accordance with Sections .320 (e) and (fa, OMB Circular A -133, as revised. Pursuant to Section .320(f), OMB Circular A -133, as revised, the recipient shall submit a copy of the reporting package described in Section .320(c), LIMB Circular A -133, as revised, and any management letters issued by the auditor, to the Department of Environmental Protection at one the following addresses: By Mail: Audit Director Florida Department of Environmental Protection Office of the Inspector General, MS 40 3900 Commonwealth Boulevard Tallahassee, Florida 32399 -3000 Electronically: FDEPSingleAudit (dAep.state.11.Lis Copies of financial reporting packages required by PART II of this Attachment shall be submitted by or on behalf of the recipient directl to each of the following: A. The Department of Environmental Protection at one of the following addresses: By Mail: Audit Director Florida Department of Environmental Protection Office of the Inspector General, MS 40 3900 Conunonwealth Boulevard Tallahassee„ Florida 32399 -3000 Electronically: FDEPSin leAudit wdepstate.fl.us DEP 55 - 215 (06!14) DEP Agreement No. S0928, Attachment B, Page 3 of 5 Packet Pg. 3225 Q.5.a B. The Auditor General's Office at the following address: State of Florida Auditor General Room 401, Claude Pepper Building 111 West Madison Street Tallahassee, Florida 32399 -1450 .a 0 0 Copies of reports or management letters required by PART III of this Attachment shall be submitted by or on behalf of the recipient directly to the Department of Environmental Protection at one of the following y addresses: By Mail: Audit Director Florida Department of Environmental Protection c Office of the Inspector General, MS 40 3900 Commonwealth Boulevard Tallahassee, 'Florida 32399 -3000 Electronically: l DEl lSinaleAudit(eWep.state.fl.us Any reports, management letters, or other information required to be submitted to the Department of Environmental Protection pursuant to this Agreement shall be submitted timely in accordance with OMB Circular A -133, Florida Statutes, or Chapters 10.550 (local governmental entities) or 10.650 (nonprofit and for - profit organizations), Rules of the Auditor General, as applicable. Recipients, when submitting financial reporting packages to the Department of Environmental Protection for audits done in accordance with OMB Circular A -133, or Chapters 10.550 (local governmental entities) or 10.650 (nonprofit and for -profit organizations),. Rules of the Auditor General, should indicate the date that the reporting package was delivered to the recipient in correspondence accompanying the reporting package. PART V: RECORD RETENTION The recipient shall retain sufficient records demonstrating its compliance with the terms of this Agreement for a period of 5 years from the date the audit report is issued, and shall allow the Department of Environmental Protection, or its designee, Chief Financial Officer, or Auditor General access to such records upon request. 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LL Cy V"I CJ to s n N a w v E r'1 coo Q `U 4p Cj G U 0 ry ep 4: Z CL r °� f.� LL} oa Packet Pg. 3227 Monroe County Office of the County Administrator May 17, 2017 wr ■ Grant Program Recap • Purpose: Acquire and preserve commercial fishing working waterfront. • The County originally applied to this program in 2008 for the acquisition of the "Gulf Seafood" parcel. ■ Monroe County was awarded $2M award from Florida Communities Trust for this project. • Monroe County obligated $SM toward the acquisition. • Monroe County and State executed grant agreement in July 2016 ■ Acquisition may only be for working waterfront as defined by statute specifically for this program: (parcel of land directly used for the purposes of the commercial harvest of marine organisms or saltwater products by state - licensed commercial fishermen, aquaculturalists, or business entities, including piers, wharves, docks or other facilities operated to provide waterfront access to licensed commercial fishermen, acquiculturalists, or business entities.) ■ Property required to be protected for commercial fishing purposes in perpetuity via restrictive covenant. 0 Project Site: Property Description ■ Parcel Name Known historically as "Gulf Seafood" Now operating as "Fishman's Seafood" ■ Owner Under Receivership ■ Location 6001 Peninsular Avenue, Stock Island. • Type of Facility Commercial Fishing • Zonin : Mixed Use /Commercial • FLUM Desi nation Mixed Use • Tier Designation Tier 3 Project Site: Features ■ 8 acre site ■ 5 acres upland ■ 3 acres bay bottom ■ Privately -owned bay bottom ■ 2,500 linear feet of concrete seawall ■ Room for 40 vessels Fa • Room for 50,000 traps • Commercial Building (Fish /Ice House) • Commercial vessel lift basin ■ Access to deep water channels 1 Project Site: Features _ % roject Site: Stock Island Location "" rroiiect Site: Adiaceni 1 lX T 1 I erties 0 alue of the County's Commercial Fishing Industry • Monroe County is the 10th most valuable port in the nation (for landings value.) • Monroe is only port in the State of Florida to rank on the Nation's top 50 ports year after year. • Monroe is the most valuable port in the entire Gulf of Mexico. • In 2015 Monroe County landed over 17M pounds of seafood, valued at over $71M incl: ❑ 4.9M pounds of lobster valued at $41 M -- 91 % of the State's catch. ❑ 1.1 M pounds of stone crab, valued at $12M -- 42% of the State's catch. ❑ 2.2M pounds of yellowtail, valued at $6.7M — 95% of the State's catch. (FWCC 2015 Annual Landings Summary, January 2016) -, Fi tut tr J 0 Project Site: Current Activities ■ Currently operates as a fish house w/ the typical day to day operations of a fish house: 11 Dockage and trap storage _! Provisioning boats with bait, ice, fuel J Off - loading, weighing, sale of seafood from commercial boats ■ Currently 10 -12 boats ■ New two -story building new ice maker, dry storage, large refrigerated holding room. ■ Landings (actuals) -_] 2014: 721 K lb seafood valued at $5M :� 2013: 634K lb seafood valued at $3M N Project Cost /Grant Agreement ■ Acquisition cost: ❑Proposed Sale Price: $7.OM LI State FCT Grant: $2.OM F1 County portion of acquisition: $5.OM L Closing costs: $ .1 M 0 Grant Program Process ■ Required Steps: Grant Agreement Executed (betw FCT and Monroe July 2016) Confidentiality Agreement Executed (betw FCT and Monroe, Aug. 2016) Title Work ✓ Appraisal Mapping ✓ Appraisals and Appraisal Review ✓ Acquisition negotiation, written offer ❑ Management Plan (Monroe — on today's agenda) ❑ Contract (Purchase Agreement) preparation and execution ❑ Certified Survey ❑ Environmental Site Assessment ❑ Closing Statements, Project Costs Reconciliation ❑ Closing and Recording of Declaration of Restrictive Covenants ❑ Ongoing Compliance requirements (Monroe) 0 Project Site: Management Plan As required by the Grant, Monroe County must provide a Management Plan; and the State and the County must agree with the terms of the management plan prior to closing. The plan includes project purpose, proposed uses, proposed operational cost estimates, future physical improvements, and ongoing maintenance and management. Management Plan addresses specific Commission requests: .sa Management of the property be contracted /leased out to an entity selected through a public procurement process. A business plan to examine the project's costs and revenues and growth potential. ® Explore potential for portion of the site to house support activities required for a potential mooring field in the Boca Chica Basin. Florida Communities Trust Stan Mayfield Worldng Waterfronts Program MANAGEMENT PLAN (Draft) Submitted by. Monroe County Board of County Commissioners 0 Offira of the County Ad.,---r 1100 Simonton Street Kev West. Florida 33040 N Project Site: Management Plan Purpose: ■ The property is being acquired for the primary purpose of providing, and preserving in perpetuity, access to working waterfront for commercial fishermen, specifically dockage and trap storage, the two most important, pressing and threatened needs of our local commercial fishing fleet. Primary Benefit: F1 The primary service /benefit permanent dockage and trap most valuable fisheries. of this project is to provide storage space for one of Florida's ■ Project Site: Management Plan Existing and Proposed Activities: ■ Dockage Existing. Provides dockage for commercial fisherman with 2,445 linear feet of seawall (1,8001f of inner perimeter seawall and an additional 647 If of outer perimeter seawall.) ■ Trap Storage Existing. Provides abundant upland space provides for trap and gear storage (room for approximately 50,000 traps.) Also, ample upland space for routine ingress /egress by commercial vehicles for off - loading catches and vessel accessibility for fueling and maintenance by commercial vehicles. ■ Fish house facility: Existing. Provides an area for off - loading, handling, and weighing of catch, and a commercial icemaker capable of producing over 5,000 pounds of ice per day. ■ Boat /travel lift basin Existing. ■ Boat /travel lift Proposed. Investment in a travel lift will allow for the haul out of commercial vessels for maintenance and repair. 0 Project Site: Management Plan Contract Management: ■ Monroe County will contract for the management of the facility, and will conduct a procurement process to identify a qualified entity. Eligible respondents will include both private sector and not - for - profit entities. Desirable qualifications will include knowledge and experience with management of a property of this type, and ability to work cooperatively with commercial fishermen. a Monroe County will consider and will invite proposals for various models for management and operation. BOCC will convene an RFP committee to evaluate responses to the RFP, and make recommendations to the BOCC. The management entity selected will enter into a contract with Monroe County that will detail respective responsibilities. FN The County may collect a percentage of the profit, a lease fee, or both for maintenance costs and /or future improvements. ■ Project Site: Management Plan Business Plan, Cost Estimates, Revenue Sources: Costs • Annual Management Costs: $300,000 approx • Cost Estimates for Future Physical Improvements ❑ Installation of utilities: $ 150 ❑ Purchase of used travel lift: $ 250 ❑ Storm water Retention: $ 20000 ❑ Seawall Repair: $ 1 Revenue ■ Annual Fishermen Rent: $14,500 x 20 vessels: $290,000 approx ■ Management Lease Fee: The County anticipates requiring a "profit- sharing" arrangement or lease fee from the managing entity. (We do not yet have an estimate for this, as it will depend on the contracted manager's estimates and actuals for revenues, costs, and net profits, and the negotiated terms of the contract /lease.) Revenue TBD. • Ancillary Services: Haul Out, Small Boat Yard. Revenue TBD. • Grants 0 Project Site: Management Plan Mooring Field: ■ The County is currently working on a feasibility study for mooring field in Boca Chica Basin. ■ DEP sets the requirements for mooring fields, one of which is the provision with a shore -side facility to provide management and oversight and basic services to the live - aboards. ■ Basic standards for the shore -side facility for a mooring field with approx 40 moorings: LI Dinghy dock for 35 dinghies (175 linear ft) ❑ Pump out dock (25 linear ft) ❑ Bicycle racks ❑ Fencing/barriers to separate user groups Mooring field manager's office (160 sf) ❑ Security --:] Trash receptacles 0 Project Benefits Recap • Preservation of Commercial Fishing — economic value: ex vessel landings and jobs) and cultural importance • Commercial fishing support services • Preservation of locally caught and landed seafood for local restaurants and hotels • Furthers County's need to retirement TDRs -5 TDRs • House Mooring Field Facility 1� Helping to reduce negative impacts of live - aboards and L Protecting environmental resources ■ Provide place for derelict vessel haul out services (and reduce costs for County.) 0 Next Steps.... ■ BOCC Approval of Management Plan ■ Send Management Plan to FCT for Review and Comments 0 Acquisition puts a valuable parcel of Monroe County's working waterfront in the public domain and preserves it for commercial fishing in perpetuity. Gulf Seafood Proms My name is Colleen Quirk and I am the owner and operator of Fishbusterz Fisheries on Stock Island. I am in favor of the county purchasing the property for commercial fishing but I want to make sure we get it right this time. I want to take a couple seconds to explain to you how a fish house operates. Boats dock for free, they do not pay rent, they do not pay for electric, water, solid waste disposal or for the disposal of their oil. If their engine blows up, I loan them money to fix it. If a bad storm comes through and they lose all their gear, I help them replace their gear. If fishing is slow and they can't pay their rent, I pay it for them. In exchange they are obligated to sell their product to the fish house. The fish house sets its margins on the fish for sale based upon what is needed to cover the fish house expenses.... electric, water, sewer, employees, insurance and everything else it takes to run a business. There are a couple of pieces of the business plan, that in my opinion do not work. If the fisherman are all paying rent then there will not be a need for a fish house. It is almost like having a restaurant where everyone can bring their own food and drink. The restaurant has hired the staff to handle the customers, bought the food for people who might not bring their own food, stocked the wine cooler just in case.... and then everyone who comes in and brings their own meals. That restaurant will not be open for very long. A fish house that does not have boats that are obligated to sell to them cannot survive. If the fisherman have the opportunity to sell to an outside person to make .50 /lb they will do it. There are plenty of Miami companies that will send down their trucks and buy straight from the fisherman. They basically cut out the middle man, or the fish house and eliminate jobs on the dock. Yes, the boats will make the middleman money but who is going to keep up the HAACP plan, keep the place in order to pass FDA inspections, maintain the ice machines, fix a broken water pipe, pick up the garbage, call waste management when the dumpsters are full, etc. If the goal is to keep commercial fishing alive by buying this piece of property then boats paying rent is not the answer. Who is going to control what boats can dock? You need to have a fishing permit to rent at Gulf Seafood? Ok, a 40' yacht can acquire a fishing permit, grab a spot at Gulf Seafood and never go fishing. Who is going to decide which boats with permits can dock? What if you get 25 yellowtail boats that want a spot to rent? There goes the upland rent. Are you going to discriminate between which boats can have a slip or not? Who is going to make this decision? Are you going to put names in a hat and draw who gets to rent and who doesn't? Are you going to revisit the list of boats each year to make it fair for all of the fisherman to have a chance 0 �- to pay rent at a county facility? With a fish house in place all of these issues are monitored closely. Those who fish and produce get to stay and those that do not produce either have to start producing or lose their spot on the dock. This is monitored by the amount of product coming through the fish house. If there is no obligation to sell then there is no monitoring. Something else you should consider is if you ever have a chance to get to those 2013 numbers in the plan you will have to discriminate and chose the top producing boats. Those numbers are from the production of the 12 boats that left in 2014 and purchased their own docks. In order to get 25 of them you will have to take boats from Stock Island Lobster or my dock. There are not 25 boats that are wandering aimlessly looking for dock space, I have space open now. This will essentially put me out of business and now you will have 30 boats without a dock or a fish house to support them. These numbers will also never be attained if the fisherman are able to sell to anyone they chose, they will just be paying rent. My suggestion would be to purchase the property and put out the RFP for a qualified fish house to come and pay rent to the county. Thank you for your time EDWIN O. SWIFT, III 201 Front Street, Suite #224 Key West, Florida 33040 (305) 294 -4142 May 17, 2017 Dear County Commission: I apologize for not being present. The management plan for the "fish house" is not outlined in this proposal except that it will be put out to bid with the assumption the county will be paid something. This is not a management plan. The charges for docks and land outlined in this plan are below market. Therefor the county is subsidizing this singled out part of our economy. The return on the boat lift operation is not outlined in this plan. This management plan does not account for the negative impact on other privately operated and financed fish houses. Without knowing how many fishermen will actually rent, who will make up the short falls from budget or pay the county's other tax payers their return on the $5,000,000 in sales tax revenues you are investing in this property? And again, will Marathon, Big Pine, Islamorada, and Key Largo etc. also receive a $5,000,000 grant for county ownership of their subsidized fish houses? Shouldn't all fishermen be treated equally throughout the county? In my opinion, this is not a management plan, this is a wish list. The $7,000,000 in taxpayer generated funding mortgaged for 20 years at 5.5% interest would amount to a payment of $48,152.11 a month or $577,825.32 a year. Q �— That's a minimum return with no profit on the investment. The minimum proposed return (income) calls for in this "quasi" plan to save commercial fishing at $260,000 to $362,500 a year, to cover estimated costs for property management. Until you have a couple of year's experience in managing this property I would recommend that all leases be kept at 2 years to insure your costs of management are not much more than you project. Long term leases at fixed rates could become a financial disaster for the taxpayers. This does not include improvements to the property and when you have a shortfall, which is almost guaranteed all the taxpayers will foot the future bill. The management plan calls out over $2,000,000 in future improvements. Who will fund these improvements? Respectfully, Edwin O. Swift, III