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Item S2 S.2 G BOARD OF COUNTY COMMISSIONERS County of Monroe Mayor Sylvia Murphy,District 5 The Florida Keys l'U � � Mayor Pro Tern Danny Kolhage,District 1 �pw° Michelle Coldiron,District 2 Heather Carruthers,District 3 David Rice,District 4 County Commission Meeting October 16, 2019 Agenda Item Number: S.2 Agenda Item Summary #6186 BULK ITEM: Yes DEPARTMENT: Planning/Environmental Resources TIME APPROXIMATE: STAFF CONTACT: Cheryl Cioffari (305) 289-2506 No AGENDA ITEM WORDING: Approval to advertise two public hearings for November 20, 2019, in Key West and December 11, 2019 in Key Largo, to adopt a Resolution to designate an area located at 10 Betty Rose Drive, Big Coppitt Key, locally known as the Quarry, as a Green Reuse Area pursuant to the Brownfields Redevelopment Act, Florida Statutes 376.80. ITEM BACKGROUND On July 24, 2019, the Planning and Environmental Resources Department received a Request for Designation for a Green Reuse Area pursuant to Section 376.80(2), Florida Statutes, of Florida's Brownfields Redevelopment Act, from Michael Goldstein of The Goldstein Environmental Law Firm, P.A. on behalf of Quarry Big Coppitt, Ltd. and Quarry Big Coppitt 11, Ltd (the "Applicants"). .............................................................................................................................................................................................................................................................. Rockland Ivey Mile Marker 9 amOR40-0063D2 .�Sr�ruRY'N itr N�'YF'�14Ayry�; 00120940 00p201 _—`�_•.—_ Iwuewrk ur. r 1'dv�igEG"n m The Applicant states: "Quarry is applying for this designation due to the material perception of contamination on the Subject Property resulting from open burning conducted on the property and the use of infill materials to create the upland area of the Subject Property that has significantly complicated Quarry's redevelopment efforts. Open burning of vegetative debris is associated with the generation of contaminants, such as dioxin, due to the possibility that foreign objects an Packet Pg. 2628 S.2 household waste are intermixed with the disposed vegetation. This is even more likely in an area like the Florida Keys where debris from past tropical storms is often trapped in thick coastal vegetation. Further, the use of infill materials to create upland areas of the Subject Property several decades ago raises the risk that improper solid waste and contaminated media may be discovered as redevelopment continues. As such, Quarry is lacking assurance that it will not incur significant costs related to the implementation of both planned and unanticipated engineering measures, as well as significant environmental consulting and legal costs if contamination is discovered on the Subject Property during redevelopment. This perception of contamination on the Subject Property has increased Quarry's exposure to environmental, construction, health, legal, and regulatory liability risk with respect to the Subject Property; has complicated redevelopment efforts; and, if actual contamination is discovered as redevelopment continues, will require significant time and money for environmental, engineering, and legal consultants to properly investigate and address. Accordingly, this designation, if granted, will allow Quarry to access limited but important state-based economic incentives to help underwrite the otherwise unbudgeted costs associated with managing the environmental risk as well as, generally, to put the Development on a more certain financial ground. In this sense, the designation will not only play a critical role in the successful redevelopment of the Subject Property, but also in the larger revitalization efforts for Monroe County." The Applicant's full explanation and justification for the proposed request is attached. ANALYSIS OF PROPOSED REQUEST In considering a request for a brownfield designation, the local government must evaluation and apply the criteria set forth in section 376.80(2)(c), Florida Statutes. Brownfield area designation proposed by persons other than a governmental entity.—For designation of a brownfield area that is proposed by a person other than the local government, the local government with jurisdiction over the proposed brownfield area shall provide notice and adopt a resolution to designate the brownfield area pursuant to paragraph (1)(c) if, at the public hearing to adopt the resolution, the person establishes all of the following: 1. A person who owns or controls a potential brownfield site is requesting the designation and has agreed to rehabilitate and redevelop the brownfield site. The brownfield area designation was requested by Michael Goldstein of The Goldstein Environmental Law Firm, P.A. on behalf of Quarry Big Coppitt, Ltd. and Quarry Big Coppitt 11, Ltd. (the "Property Owners"). Additionally, the Property Owners have secured approval of a Development Agreement for the development of 208 attached residential dwelling units designated as affordable housing through BOCC Resolution 025A-2018. 2. The rehabilitation and redevelopment of the proposed brownfield site will result in economic productivity of the area, along with the creation of at least 5 new permanent jobs at the brownfield site that are full-time equivalent positions not associated with the Packet Pg. 2629 S.2 implementation of the brownfield site rehabilitation agreement and that are not associated with redevelopment project demolition or construction activities pursuant to the redevelopment of the proposed brownfield site or area. However, the job creation requirement does not apply to the rehabilitation and redevelopment of a brownfield site that will provide affordable housing as defined in s. 420.0004 or the creation of recreational areas, conservation areas, or parks. The Applicants have secured approval of a Development Agreement for the development of 208 attached residential dwelling units designated as affordable housing through BOCC Resolution 025A-2018. 3. The redevelopment of the proposed brownfield site is consistent with the local comprehensive plan and is a permittable use under the applicable local land development regulations. The Property received Major Conditional Use approval for development of 208 dwelling units of affordable housing through Planning Commission Resolution P05-18. Additionally, the Property Owners have secured approval of a Development Agreement for the development of 208 attached residential dwelling units designated as affordable housing through BOCC Resolution 025A-2018. 4. Notice of the proposed rehabilitation of the brownfield area has been provided to neighbors and nearby residents of the proposed area to be designated pursuant to paragraph (1)(c), and the person proposing the area for designation has afforded to those receiving notice the opportunity for comments and suggestions about rehabilitation. Notice pursuant to this subparagraph must be posted in the affected area. Notice of the proposed designation will be provided in accordance with section 125.66(4)(b), Florida Statutes. 5. The person proposing the area for designation has provided reasonable assurance that he or she has sufficient financial resources to implement and complete the rehabilitation agreement and redevelopment of the brownfield site. The Applicants have provided Sources and Use Schedule, BB&T Mortgage Agreement for Phase 1 of the Development, and BB&T Mortgage Agreement for Phase 2. The Applicant provided the following statement: Packet Pg. 2630 S.2 The trrtaal�a itaal vd&e of rapfarraximaate 68,1 nil o#jor•the thnau h a erarrah ratrtaon raf°'equr ty arvd debt: faelffleally, Phase,f�fthe Development vill be,f'aarrded by ca$19 million � ,.$443,907fivm Moxroe C:rrrrrrty;$8.4 million an eqwiay and ar$21 million de timed derelgxr°fee. Phase II o�f l Deyetofrmn? 2xiN he sanded�y rr .34 v llion 'Mori r e,00'6;, 9 3,u° rra r orlaaae C am%$9.4 rrrlllr'ora e°n and a$3.8 million n O�tr d develaper fie.a° hq adrlea arr,jrrrrr 's farzr ipal, i ertr°or Compa saes, Trrr. ("Vestar^rr)for ugh its twious a�"e�laa rat'� rl��t��p bar an w1ensitv Inirk remq .aatrte.rr ra finanang, huddin& and marqgiffg major as ardrah , x. rkjorm, and m arkel-rate rera'dentleal r°orrarrrrrralt a`, Veartrrar beat Pelol,,ed or rarrl tred in e ross off N,4 rararll j�mr 4.grits, coaJra.ctr'rag�f retarerarerrt, raft rdaabte,trrrxrtry and"rtmekrrt apart east rrrraaarr .e"r. TIm 1C armor teary bay the e. eraemx to maaer lj mrrrplete ad pb rr"r #f ra mokuwe imertmerrt,fmm initial arras pt tbrorr, h long-tear rrrrarrrt erne t of I& sxel� "Tbis pmpera hr,rtor of levera,gin,q car.reta rya"tb other cqpil'ert',mare , an rrasfr nine tmrk mord of''sneceau,, and rar Aaff qf.bigA4 e�,perrnwd and t4 hisfiaited a�'earelaafarrrerrt ra 'rralrla rxarr.atr"trrt"e marrnable ariurrarrcae thaat a"y heu ra f`u erat fiflaadal rerrawmr to irr�r�rlearrerrt and trrmptere tlw Mxbilitation qg, eeverrt ra rl red t"Pm e t lrarr. A%vr ha , at s aMfiea`1h&fi t' raaa Iasi c"rile°moss" PREVIOUS RELEVANT BOCC ACTION: • On September 27, 2017, the BOCC adopted Resolution 212-2017 reserving 104 affordable housing allocation awards consisting of One (1) Very Low, Fifty-One (51) Low, Twenty (20) Median, and Thirty-Two (32) Moderate Income affordable ROGO allocations [1+51+20+32=104] for a parcel of land in Section 21, Township 67 South, Range 26 East, Big Coppitt Key, Monroe County, Florida, Having Real Estate Numbers 00120940-000100, 00120940-000201, and 00120940-000302, until July 1, 2018. • On January 17, 2018, the BOCC adopted Resolution 025A-2018, approving a development agreement between Monroe County and Quarry Partners, LLC related to the proposed development of 208 attached affordable housing dwelling units on the subject property. • February 2018, the Board ratified the adoption of the Development Agreement for the subject Property. CONTRACT/AGREEMENT CHANGES: NA STAFF RECOMMENDATION: Staff recommends approval of the request to advertise a public hearing for November 20, 2019, in Key West. DOCUMENTATION: BOCC_SR_10.16.19 Request for Designation of Property FINANCIAL IMPACT: Effective Date: Expiration Date: Total Dollar Value of Contract: Total Cost to County: Current Year Portion: Packet Pg. 2631 S.2 Budgeted: Source of Funds: CPI: Indirect Costs: Estimated Ongoing Costs Not Included in above dollar amounts: Revenue Producing: If yes, amount: Grant: County Match: Insurance Required: Additional Details: NA REVIEWED BY: Emily Schemper Completed 10/07/2019 12:56 PM Steve Williams Completed 10/07/2019 1:09 PM Maureen Proffitt Completed 10/07/2019 1:27 PM Christine Hurley Completed 10/07/2019 1:31 PM Budget and Finance Completed 10/07/2019 1:34 PM Maria Slavik Completed 10/07/2019 1:36 PM Kathy Peters Completed 10/08/2019 9:21 AM Board of County Commissioners Pending 10/16/2019 9:00 AM Packet Pg. 2632 2 )llllrrf((((�IIIII�IIII�IIIIIIIIIIIIIIIIIIIIIIII �'; "q"� v / 4r. "��`f� / %%%%%%%% �rr Illlll ''.... 3 a„, 4 5 MEMORANDUM 6 MONROE COUNTY PLANNING&ENVIRONMENTAL RESOURCES DEPARTMENT 7 8 9 To: Monroe County Board of County Commissioners 10 as 11 Through: Emily Schemper, AICP, CFM, Senior Director of Planning and Environmental 12 Resources 13 14 From: Cheryl Cioffari, AICP, Assistant Director of Planning 15 2s 16 Date: October 8, 2019 17 18 Subject: Approval to advertise a public hearing to adopt a Resolution to designate an area located 19 at 10 Betty Rose Drive, Big Coppitt Key,locally known as the Quarry, as a Green Reuse a 20 Area pursuant to the Brownfields Redevelopment Act, Florida Statutes 376.80. 21 22 Meeting: October 16, 2019 23 as 24 I. REQUEST 25 26 On July 24, 2019, the Planning and Environmental Resources Department received a Request for 27 Designation for a Green Reuse Area pursuant to Section 376.80(2), Florida Statutes, of Florida's 28 Brownfields Redevelopment Act, from Michael Goldstein of The Goldstein Environmental Law 29 Firm,P.A. on behalf of Quarry Big Coppitt, Ltd. and Quarry Big Coppitt II, Ltd (the "Applicants"). Cr 30 The area would include three parcels, have Parcel ID Numbers 00120940-000302, 00120940- 31 000100, and 00120940-000201. ................................................................................................................................................................................................................................................................................................................................................... Rockland Kerr (Mille Marker 9 I O N 20940-00602 " I q9 E �Pt1'112p�M4�P-0CP0'110�1 �� �M, T }I U 00120940 060201 i, � i f✓ ur . 32 BOCC SR 10.16.19 Page I of 4 Packet Pg. 2633 S.2.a 1 II. BACKGROUND INFORMATION 2 3 The Applicants state: 4 "Quarry is applying for this designation due to the material perception of contamination on the 5 Subject Property resulting from open burning conducted on the property and the use of infill 6 materials to create the upland area of the Subject Property that has significantly complicated 7 Quarry's redevelopment efforts. Open burning of vegetative debris is associated with the 8 generation of contaminants, such as dioxin, due to the possibility that foreign objects an household 9 waste are intermixed with the disposed vegetation. This is even more likely in an area like the 10 Florida Keys where debris from past tropical storms is often trapped in thick coastal vegetation. 2 11 Further, the use of infill materials to create upland areas of the Subject Property several decades 12 ago raises the risk that improper solid waste and contaminated media may be discovered as 13 redevelopment continues. As such, Quarry is lacking assurance that it will not incur significant 14 costs related to the implementation of both planned and unanticipated engineering measures, as 15 well as significant environmental consulting and legal costs if contamination is discovered on the 16 Subject Property during redevelopment. 0 17 This perception of contamination on the Subject Property has increased Quarry's exposure to r 18 environmental, construction, health, legal, and regulatory liability risk with respect to the Subject 19 Property; has complicated redevelopment efforts; and, if actual contamination is discovered as 2 20 redevelopment continues,will require significant time and money for environmental, engineering, 21 and legal consultants to properly investigate and address. Accordingly,this designation,if granted, 22 will allow Quarry to access limited but important state-based economic incentives to help 23 underwrite the otherwise unbudgeted costs associated with managing the environmental risk as 24 well as, generally, to put the Development on a more certain financial ground. In this sense, the > 25 designation will not only play a critical role in the successful redevelopment of the Subject 0 26 Property, but also in the larger revitalization efforts for Monroe County." U) 27 Cr 28 The Applicants' full explanation and justification for the proposed request is attached. 29 30 Previous BOCC Action 31 • On September 27, 2017, the BOCC adopted Resolution 212-2017 reserving 104 affordable 32 housing allocation awards consisting of One (1) Very Low, Fifty-One (51) Low, Twenty (20) 33 Median, and Thirty-Two (32) Moderate Income affordable ROGO allocations 34 [1+51+20+32=104] for a parcel of land in Section 21, Township 67 South, Range 26 East, Big 35 Coppitt Key, Monroe County, Florida, Having Real Estate Numbers 00120940-000100, 36 00120940-000201, and 00120940-000302, until July 1, 2018. 37 38 • On January 17, 2018, the BOCC adopted Resolution 025A-2018, approving a development 39 agreement between Monroe County and Quarry Partners, LLC related to the proposed 40 development of 208 attached affordable housing dwelling units on the subject property. 41 42 43 • February 2018, the Board ratified the adoption of the Development Agreement for the subject 44 Property. 45 BOCC SR 10.16.19 Page 2 of 4 Packet Pg. 2634 S.2.a 1 III. ANALYSIS OF PROPOSED REQUEST 2 3 In considering a request for a brownfield designation, the local government must evaluate and apply 4 the following criteria set forth in section 376.80(2)(c), Florida Statutes: 5 6 Brownfield area designation proposed by persons other than a governmental entity.—For 7 designation of a brownfield area that is proposed by a person other than the local government, 8 the local government with jurisdiction over the proposed brownfield area shall provide notice 9 and adopt a resolution to designate the brownfield area pursuant to paragraph (1)(c) if, at the 10 public hearing to adopt the resolution, the person establishes all of the following: 11 as 12 1. A person who owns or controls a potential brownfield site is requesting the designation U) 13 and has agreed to rehabilitate and redevelop the brownfield site. 14 15 The brownfield area designation was requested by Michael Goldstein of The Goldstein 2 16 Environmental Law Firm,P.A. on behalf of Quarry Big Coppitt,Ltd. and Quarry Big Coppitt 11, Ltd. 17 (the "Property Owners"). Additionally, the Property Owners have secured approval of a - 18 Development Agreement for the development of 208 attached residential dwelling units designated S 19 as affordable housing through BOCC Resolution 025A-2018. 20 21 22 2. The rehabilitation and redevelopment of the proposed brownfield site will result in a. 23 economic productivity of the area, along with the creation of at least 5 new permanent jobs at 24 the brownfield site that are full-time equivalent positions not associated with the 25 implementation of the brownfield site rehabilitation agreement and that are not associated > 26 with redevelopment project demolition or construction activities pursuant to the 27 redevelopment of the proposed brownfield site or area.However,the job creation requirement 28 does not apply to the rehabilitation and redevelopment of a brownfield site that will provide U) 29 affordable housing as defined in s. 420.0004 or the creation of recreational areas, conservation Cr 30 areas, or parks. 31 32 The Applicants have secured approval of a Development Agreement for the development of 208 33 attached residential dwelling units designated as affordable housing through BOCC Resolution 34 025A-2018. 35 36 3. The redevelopment of the proposed brownfield site is consistent with the local 37 comprehensive plan and is a permittable use under the applicable local land development 0 38 regulations. 39 40 The Property received Major Conditional Use approval for development of 208 dwelling units of 41 affordable housing through Planning Commission Resolution P05-18. Additionally, the Property 42 Owners have secured approval of a Development Agreement for the development of 208 attached 43 residential dwelling units designated as affordable housing through BOCC Resolution 025A-2018. 44 45 4. Notice of the proposed rehabilitation of the brownfield area has been provided to 46 neighbors and nearby residents of the proposed area to be designated pursuant to paragraph 47 (1)(c),and the person proposing the area for designation has afforded to those receiving notice BOCC SR 10.16.19 Page 3 of 4 Packet Pg. 2635 S.2.a I the opportunity for comments and suggestions about rehabilitation. Notice pursuant to this 2 subparagraph must be posted in the affected area. 3 4 Notice of the proposed designation will be provided in accordance with section 125.66(4)(b),Florida 5 Statutes. 6 7 5. The person proposing the area for designation has provided reasonable assurance that he 8 or she has sufficient financial resources to implement and complete the rehabilitation 9 agreement and redevelopment of the brownfield site. 10 11 The Applicants have provided Sources and Use Schedule, BB&T Mortgage Agreement for Phase 1 12 of the Development, and BB&T Mortgage Agreement for Phase 2. U) 13 14 The Applicant provided the following statement: The total capital bvdgei erf appmdmat4 ' c .Imilkonfir the Developmewth-fillj�rded dh rr c�a�r rsr a a� i rr debt. Sea a r , P r I,qf Jhff DeWopmoaxill,befimided b y a$19 millionnrtga ;$44,3,07fmv Moxroe Cmattr w S8.4 0 '111og in egW6� ;rand ra 21 mdfia r d i d developer fee. 'lire 11 gj'tl Deve ,rr-ew wia befifnded,4 ra ' . '4 rrrdrron rrrr�xlt r et$506;. ' w?from Mvnroe e ;S9.4 million,in egidtr and a$, . million4feradd"ev jx .fve. In ad&irvv,eras°rr 's prirrai raraw, vartarrr t"omparri r, lm (`Verhw')through its twious thmlopment arfllikfos, bar an exlensin, � ltw-k MWW off" m6ress ih finaming. rril'in& and margaging inaior a -lake, xvr ,�o , surd arnn e!-rate msideinh,l act ro'%W nitser. Ve 04vr IA2,(deWoftd yr ar quir d in e aosx of 14,400,r ralfij rm units, cxrxr.rirtara,g qf mtirurrrerrr;affvrdwr le, lraxrrr ° and student arprrtrrrerrt wxmunWex. The flexreor team haj the experierro to -ruemr rl w rrr fete rait e r r of a reari�rrta� M erp'e .�t*arerrt,. rrx i rltraal a rr t for l� l rr -t om rrrrarr�a rrre t raf the a7J. t. TNi pmPerr histog at°wr ier euuatp Wid)abor 0 qtildl.arras, an impresdpe freak mcord f°sxa zxe, and ra stq ql~ # aV� "ejteed"and rgphi,rdwtd d"evekpNerrt n ra dlr mrsfitutr rmon able a-murancae that Q as 7 has Sr rldg t* ar rrda'1 nur r 'ms, to ip�vpio eot sa c" c raplete t1m nhar r'itah"ara > 15 me errs and a�ede ec'n aaeni pla . hga,a%,or , rt.;edifies d,& ih any"lks. aimiorr. 16 0 17 STAFF RECOMMENDATION a 18 Cr 19 Staff recommends approval of the request to advertise a public hearing. 20 21 IV. EXHIBITS 22 23 1. Request to designate property as Green Reuse Area dated 7/24/2019 cap co i BOCC SR 10.16.19 Page 4 of 4 Packet Pg. 2636