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Item J4 � J.4 � � �, BOARD OF COUNTY COMMISSIONERS County of Monroe � ��r�i �r � s�� Mayor Heather Carruthers,District 3 The Florida.Keys Mayor Pro Tem Michelle Coldiron,District 2 Craig Cates,District 1 David Rice,District 4 Sylvia J.Murphy,District 5 County Commission Meeting April 15, 2020 Agenda Item Number: J.4 Agenda Item Summary #6670 BULK ITEM: Yes DEPARTMENT: Planning/Environmental Resources TIME APPROXIMATE: STAFF CONTACT: Emily Schemper(305) 289-2506 n/a AGENDA ITEM WORDING: Approval of a Resolution to Reserve Thirty-One (31) Moderate Income Affordable Housing ROGO Allocations pursuant to Monroe County Code Section 138- 24(b)(2) for Gorman & Company as Authorized by Owner DD MMR, LLC, for Property Located at 102200 Overseas Highway, Key Largo, having Property Identification Number 00086740-000000, until March 18, 2021. ITEM BACKGROUND: Gorman & Company ("Gorman"), as authorized by the current property owner, DD MMR, LLC, is requesting the reservation of thirty-one (31) moderate income affordable ROGO allocations pursuant to Monroe County Code Section 138-24(b)(2). Gorman is currently negotiating a contract to purchase the subject property and is applying to the State of Florida Housing Finance Corporation ("FHFC") per Request for Application ("RFA" 2020- 208, to develop thirty-one (31) affordable employee housing units on property located at 102200 Overseas Highway, Key Largo (the "Property"). The RFA deadline for submission is March 30, 2020. The Property is outlined in blue below. Packet Pg. 2154 J.4 a Cunem[ParcaLs:DD MMR LLC •^ RE Npmber.OOtl06]40-060060 sc el Mill E NINE SR VxpeNMne:DO MMR LLC Ai(NumNer:1095330 Physical LpeaOpn:102206 OVERSEAS Hwy,KEV LARGO ', Mailing Atltlress:118]6 Wiles Rd Ciry:coral springs 51s6e:FL Zip Cade:330]6 Year 6ui11:2012 Lasf Sak Amount$925,00000 -- G3i Q Gorman received a Letter of Understanding ("LOU") from the County on March 3, 2020, confirming that the proposed affordable housing on the Property is a permitted use that meets the density standards for the Suburban Commercial ("SC") zoning district. In order to move forward with the proposed development, Gorman would be required to obtain all necessary development approvals from Monroe County and all applicable agencies. Affordable Housing Pool current balance: (as of March 3,2020) 5 Very Low/Low/Median income allocations 89 Moderate income allocations Relevant Land Development Code Section: Monroe County Code Section 138-24 (b) Reservation of affordable housing allocations. Notwithstanding the provisions of Section 138-26 for awarding of affordable housing allocations, the BOCC may reserve by resolution some or all of the available affordable housing allocations for award to certain sponsoring agencies or specific housing programs consistent with all other requirements of this chapter. Building permits for these reserved allocations shall be picked up within six months of the effective reservation date, unless otherwise authorized by the BOCC in its resolution. The BOCC may, at its discretion, place conditions on any reservation as it deems appropriate. These reservations may be authorized by the BOCC for: (1) The county housing authority, nonprofit community development organizations, pursuant to Section 139-1(e), and other public entities established to provide affordable housing by entering into a memorandum of understanding with one or more of these agencies; (2) Specific affordable or employee housing projects participating in a °federal/state housing financial assistance or tax credit program or receiving some form ofdirect financial assistance from the county upon written request from the project sponsor and approved by resolution ofthe BOCC; (3) Specific affordable or employee housing projects sponsored by nongovernmental not-for-profit organizations above upon written request from the project sponsor and approved by resolution of the BOCC; (4) Specific affordable or employee housing programs sponsored by the county pursuant to procedures and guidelines as may be established from time to time by the BOCC; Packet Pg. 2155 J.4 (5) Specific affordable or employee housing projects by any entity, organization, or person, contingent upon transfer of ownership of the underlying land for the affordable housing project to the county, a not-for-profit community development organization, or any other entity approved by the BOCC, upon written request from the project sponsor and approved by resolution of the BOCC; or (6) Rental employee housing projects situated on the same parcel of land as the nonresidential workplace for the tenants of these projects, upon written request from the property owner and approved by resolution of the BOCC. PREVIOUS RELEVANT BOCC ACTION: N/A CONTRACT/AGREEMENT CHANGES: n/a STAFF RECOMMENDATION: Approval. DOCUMENTATION: Resolution - Approving 31 Moderate Income Category ROGOs RE DD MMR LLC 2020-046 LOU 03.03.20 2020.03.03 ROGO Request FINANCIAL IMPACT: Effective Date: Expiration Date: Total Dollar Value of Contract: Total Cost to County: Current Year Portion: 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: NA Additional Details: Packet Pg. 2156 J.4 REVIEWED BY: Emily Schemper Completed 03/03/2020 1:14 PM Assistant County Administrator Christine Hurley Skipped 03/03/2020 12:51 PM Peter Morris Completed 03/03/2020 2:03 PM Budget and Finance Completed 03/03/2020 2:33 PM Maria Slavik Completed 03/03/2020 2:36 PM Kathy Peters Completed 03/03/2020 3:11 PM Board of County Commissioners Completed 03/18/2020 9:00 AM Packet Pg. 2157 J.4.a 2 RESOLUTION NO. -2020 3 COUNTY 5 COMMISSIONERS APPROVING THE RESERVATION OF THIRTY- 6 ONE ( CATEGORY 7 HOUSING ROGO ALLOCATIONS FOR THIRTY-ONE (31) 0 AFFORDABLE8 PROPOSED 9 UNITS ON PROPERTY LOCATED AT 102200 OVERSEAS 10 HIGHWAY, KEY LARGO, APPROXIMATE MILE MARKER 102, 0 11 CURRENTLY HAVING PROPERTY IDENTIFICATION 12 , AS REQUESTED BY GORMAN & COMPANY AS 13 AUTHORIZED BY THE PROPERTY OWNER DD MMR LLC, UNTIL 14 MARCH 18,2021, FOR BUILDING PERMIT ISSUANCE. 15 16 WHEREAS, the State of Florida and all local governments in the Florida Keys (each subject to 17 Area of Critical State Concern mandates relating to housing affordability) recognize the need forLu 18 affordable housing throughout the state and particularly in the Florida Keys where developable land for �+ 19 housing is extremely limited and expensive; and 20 21 WHEREAS, the challenge of providing affordable housing opportunities in the Florida Keys is LN 22 one requiring sensible and responsive use of residential dwelling unit allocations, including 23 implementation of long-term preservation mechanisms; and 2 25 WHEREAS, due consideration should be given to relevant factors such as the capacity for 26 allocation recipients to promptly transform allocation awards/reservations into finished and occupied 27 affordable/workforce housing units; and 2 29 WHEREAS, Monroe County Land Development Code("LDC") Section 138-2 (b)(2)allows the 30 Monroe County Board of County Commissioners (" CC") to authorize reservations for `specific 31 affordable or employee housing projects participating in a federal/state housing financial assistance or a 32 tax credit program or receiving some form of direct financial assistance from the county upon written 33 request from the project sponsor and approved by resolution of the CC"; and 34 35 WHEREAS, Gorman& Company, as authorized by the current property owner, DD MMR LLC, 36 is proposing to develop the property with thirty-one(31)moderate income category affordable employee 37 housing units; and 3 0 39 WHEREAS, Gorman & Company is applying to the State of Florida Housing Finance � 40 Corporation (" C") per Request for Application ("RFA") 2020-208 for SAIL and Housing Credit 41 funding for the construction of workforce housing; and 2 1 of 2 Packet Pg. 2158 J.4.a I WHEREAS, the reservation of affordable housing allocations for the above anticipated project, 2 does not exempt the project from applicable requirements for the Monroe County Comprehensive Plan, 0. 0 3 Monroe County Land Development Regulations, the Florida Building Code, floodplain design 4 requirements, or any other regulatory requirements; and 5 6 WHEREAS, Gorman & Company shall obtain all required approvals from the Monroe County 7 Planning& Environmental Resources Department for the project; and 9 WHEREAS, Gorman & Company shall obtain perinits fort e affordable housing dwelling units 10 by March 18, 2021; if the permit for a reserved ROGO allocation housing unit is not issued by that time, I I the allocation will revert tot e County. 12 13 NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF COUNTY 14 COMMISSIONERS COUNTY,FLORIDA: 15 E 16 Section I. The foregoing recitals are true and correct, and are hereby incorporated as if fully 17 stated herein. `✓ 18 19 Section 2. The Monroe County Planning Department shall reserve thirty-one (31) moderate 20 income category affordable ROGO allocations, for the aforesaid project at 102200 Overseas Highway, 21 Ivey Largo, currently bearing Property Identification Number 0008 740-000000, until March 18. 2021. 22 23 Section The developer must obtain the building permits for the thirty-one (31) affordable 24 employee housing units on or before March 18, 2021. � 25 26 Section 4. The developer shall comply with all Monroe County requirements, all applicable 27 Building Code requirements, and any other oversight agencies. LN 28 29 Section : The Planning and Environmental Resources Department and Building Department 30 staffs are hereby authorized to process expeditiously permit related applications fort e above referenced 31 project when received. 32 33 PASSED AND ADOPTED by the Board of County Commissioners of Monroe County. Florida 34 at a regular meeting held on the 18th day of March, 2020. 35 36 Mayor Heather Carruthers 37 Mayor Pro Tern Michelle Coldiron 38 Commissioner Craig Cates 39 Commissioner David Rice ,.....,.., ».:,.... 2 40 Commissioner Sylvia Murphy 41 2 BOARD OF COUNTY COMMISSIONERS OF MONROE 3 COUNTY, FLORIDA 4 Y: 5 Mayor Heather Carruthers 46 (SEAL) 7 ATTEST: VI A IC, CL gvf APPROVED � 48 9 AS_DEPUTY CLERK PETER 2 of 2 AS'SISTANT COUNTY ATTORNEY Packet Pg. 2159 _Countyo roe Planning&Environmental Resources Department ��r � � Board of County Commissioners: Marathon,Government Cuter " Mayor Heather Carruthers. District 3 2798 overseas Highway.Smite 400 � Mayor Pro tc an Michelle Coldirou.Distrio 2 Marathon,FL 33050 a W Craig cater District I Voice: (305)259-2500 �:, Dm i0 Rice. Di,kricl-t FANG: (305)259-2536 Sylvia J.Murphy,District 5 Via email to lreedC gormanusa.coin March 3, 2020 0 Gorman & Company C/o Joel Reed 200 N. Main Street Oregon, III 53575 Q Application: Letter of Understanding (Fil ##2020-04 ) a Location: 102200 Overseas Highway, Key Largo Parcel ID: 00086740-000000 Pursuant to Section 110-3 of the Monroe County Land Development Code (LDC), this document shall constitute a Letter of Understanding (LOU) following your request for a Pre-Application Conference with Planning and Environmental Resources staff. The purpose of the Pre-Application Conference is to CD acquaint the participants with the requirements of the Land Development Code (LDC), applicable cli Comprehensive Plan policies and the views and concerns of the County. The substance of the Pre- M Application Conference held on February 28, 2020 via phone, is recorded in this LOU, which sets forth the subjects discussed at the conference and the County's position in regard to the su ject matters discussed. In, attendance at the pre-application conaferennce were: Joel Reed, Gorman & Company, Applicant Emily Schemper, AICP, CFM, Senior Director of Planning & Environmental Resources, Monroe � County ® Christine Hurley, Assistant County Administrator, Monroe County Materials presented fc)r review included: Request for Pre-Application Conference Application. Copy of survey of parcel completed by David Farrow, dated 3/5/2009. 11 Description of general concept for project . APPLICANT PROPOSAL File 2020-046 Page l of 4 Packet Pg. 2160 J.4.b The Applicant is proposing to development site with affordable employee housing residential units. The Applicant states: Requesting confirmation that the number of units,density,and intended use are consistent with current land use regulations and zoning designation. Subject property is 2.18 Acres of Upland and 1.28 of submerged land for a parcel of land located at approximately NIM, 102 in Key Largo,FL.The proposed development will be for up to 31 Affordable Housing Units(2.18 Acres X.8(open space)=1.744 net acres X 18). Furthermore we would request the reservation of 31 Affordable Housing ROGOs for the project. We will be submitting the project to the State of Florida Housing Finance Commission per RFA 2020-208 due March 30,2020. Consistent with zoning and land use regulations.Nile have attached copies of the two forms regarding zoning/ROGOs as well as the local contribution for your review. I. SUBJECT PROPERTY DESCRIPTION The subject property is located on US 1 at approximate mile marker 102.2, on the bayside (land is on a Tarpon Basin) in Key Largo. The property is owned by DD MMR LLC, but is under negotiations for o contract for purchase by Gorman & Company. a 0 i The subject property consists of one parcel, with Parcel ID 00086740-000000. The submitted survey -J does not include the total amount of upland on the site. Per the Monroe County Property Appraiser's Y Data, the site consists of 2.19 acres (95,396 SF). All calculations in this LOU are based on this figure. 1 At the time of development review for any development order, conditional use permit,building permit, o or other development approval, a current survey indicating the upland area will be required and calculations are subject to change. y a� FLUM: Mixed Use/Commercial (MC) 0 LUD: Suburban Commercial (SC) 0 mm Tier designation: III Upland Area per Property Appraiser's Data: 2.19 acres (95,396 SF) Buildable Area (SC = 0.20 required open space ratio): 1.75 buildable acres c 0 The subject property is currently developed with one building of unknown use. Calculations of N maximum density in this letter assume that any market rate residential uses (if any exist) will be o removed prior to construction of affordable em to ee housin CO) C--P.—IX MMR LLC 0 J REN—m OTiPs— Ownx Meme:❑�MAIR LLC �O AKN. ,:IM31 O 1 PTSs2. UVERSE S O N.r.�r LAN'va N O MaM1nq Ad....:I ID761*.E. N cm=cua sp.ws SMIe:FL iI Zy CaEe:! 16 LAsI S.k Arzwunt 5925.OIw uo V `. U �1 �1 Q Subject Property with Land Use Districts Overlaid(Aerial dated 2018) II. REVIEW Intended Use File 2020-046 Page 2 of 4 Packet Pg. 2161 J.4.b Pursuant to Section 130-93 of the Land Development Code (LDC), within the Suburban Commercial (SC) land use district, attached and detached dwellings involving more than 18 units, designated as employee housing are permitted with a major conditional use permit. The intended use as affordable employee housing is consistent with the site's zoning designation and the current land development regulations. Density/Number of Units Pursuant to Section 130-157, the maximum residential density and land use district open space, shall be in accordance with the following table: RESIDENTIAL NON- DENSITY OPEN SPACE RATIO TRANSIENT DENSITY o m Net Development 0 Standard i r r Use District BuildablePotential CL (DUIBuildableOSR SF 0 Acres (!Us) 0 Area) i J Suburban Commercial (SC) (Affordable/Employee Housing) Y Gross upland: 2.19 acres 18 1.75 31 0.2 19,079 c (95,396 sf) Buildable area: 1.75 acres a� N d The subject property is 2.19 acres; the net buildable area is 1.75 acres. Therefore, the maximum 0 development potential of affordable employee housing units on the subject property is 31 0 dwelling units, deed restricted as affordable employee housing. E 0 LDC Section 101-1 defines the following relevant terms: 0 0 N Dwelling unit means one or more rooms physically arranged for occupancy by one residential household c sharing common living, cooking, and toilet facilities. o Affordable housing. 0 (1) Affordable housing means residential dwelling units that meet the fallowing requirements: le 0 a. Meet all applicable requirements of the United States Department of Housing and Urban N Development minimum property standards as to room sizes, fixtures, landscaping and N building materials, when not in conflict with applicable laws of the county; and b. A dwelling unit whose monthly rent, not including utilities, does not exceed 30 percent of that amount which represents either 50 percent (very low income) or 80 percent (low CU income) or 100 percent (median income) or 120 percent (moderate income) of the monthly Q median adjusted household income for the county. Employee housing means an attached or detached dwelling unit that is intended to serve as affordable, permanent housing for working households, which derive at least 70 percent of their household income from gainful employment in the county and meet the requirements for affordable housing as defined in this section and as per section 139-1. File 2020-046 Page 3 of 4 Packet Pg. 2162 Pursuant to LDC Section 110-3(a)(3), you are entitled to rely upon representation made at the conference only to the extent such representations are set forth in the LO�U. An LOU shall not provide any vesting to requirements, code and the comprehensive plan. The development shall be required to be consistent with all regulations and policies at the time of development approval. The Planning Director acknowledges that all items required as part of the application for development approval may not have been addressed at the conference, and consequently reserves the right for additional comment. You may appeal any decision, determination or interpretation made in this letter pursuant to Monroe County LDC Section 102-185. A notice of appeal in the form prescribed by the Planning Director must be filed with the County Administrator, 1100 Simonton Street, Gato building, Ivey West, Florida 33040 within 30 calendar days from the date of this letter. Additionally, a copy of the notice of appeal must be filed with the Planning Commission Coordinator,Monroe County Planning and Environmental resources Department, 2798 Overseas highway, Suite 400, Marathon, Florida 33050. 0. 0 e trust that this information is of assistance. If you have any questions regarding the contents of this letter, or if we may further assist you with your project, please feel free to contact the Department's Marathon office at (305) 289-2500. Sinrer l ors, c Emily Schemper, AICP, CFM Senior Director Planning and Environmental resources E 0 cv ai ai cv CD cv File 2020-046 Page 4 of 4 Packet Pg. 2163 J.4.c GORMAN 1, REAL ESTATE DEVELOPMENT 200 N. Main Strout I Oregon,WI www.GormanUSA.com MIL`Jt(AUKEE MIAMI PHOENIX CHICAGO DENVER March 3rd, 2020 Monroe County 2798 Overseas Highway, Suite 400 Marathon, FL 33050 RE: Request for ROGO Allocations 0 TO WHOM IT MAY CONCERN: This letter serves to confirm that Gorman & Company, LLC as applicant to Florida Housing Finance Corporation Request for Application 2020-208—SAIL Financing for the Construction of Workforce Housing, is requesting 31 Moderate Income ROGO Allocations from Monroe County c to be placed at 102200 Overseas Highway, Key Largo, FL (Parcel ID: 00086740-000000) for the new construction multifamily affordable housing units. Sincerely, oa C' Joel Reed c Southeast Market President y Gorman & Company, LLC Cr r9 CD CD ai N Packet Pg. 2164 Pam Hancock From: Schemper-Emily <Schemper-Emily@MonroeCounty-FL.Gov> Sent: Monday, April 13, 2020 3:22 PM To: County Commissioners and Aides Cc: Hurley-Christine; Gastesi-Roman; Shillinger-Bob; Williams-Steve; Morris-Peter; Pam Hancock Subject: Potential change to It m J4 n 4/15/2020 BOCC agenda - Gorman ROGO Reservation Mayor and Commissioners, Item J4 on Wednesday's BOCC meeting (4/13/2020) is a request by Gorman & Company for a Reservation of 31 Moderate Income Affordable ROGO allocations. Based on feedback in briefings, the following language may be proposed at the meeting to btadded to the Gorman Affordable Housing ROGO Reservation Resolution at the end of Resolution Section 2: "At least 25 of the affordable dwelling units constructed on the site using the rese, 1 allocations shall bi deed restricted at or below the low income category(80%of medial! The vast majority of the Affordable ROGO allocations we have remaining in our pool are in the Moderate category(120% of median).The applicant has indicated that their application for SAIL funding from the state will actually require most of the units to be restricted to 60%of median income or below. See email from Joel Reed (Gorman) below. Affordable Hous1112 Pool current balance: (as of March 3. 2020) 5 Very Low Low Median income allocations S9 Moderate income allocations Please let me know if you have any questions. *************************************************************** Emily Schemper, AICP, CFM Senior Director of Planning& Environmental Resources Monroe County I Planning& Environmental Resources Department 2798 Overseas Highway, Suite 400, Marathon, FL 33050 305.453.8772 *************************************************************** Original Message From:Joel Reed <jreed@gormanusa.com> Sent: Friday, April 10, 2020 12:08 PM To: Schemper-Emily<Schemper-Emily@MonroeCounty-FL.Gov> Cc: Hurley-Christine<Hurley-Christine@MonroeCounty-FL.Gov>;Jones-Juanita <Jones- Juanita@MonroeCounty-FL.Gov>; Cioffari-Cheryl <Cioffari-Cheryl@MonroeCounty-FL.Gov>; Santamaria- Mayte<Santamaria-Mayte@MonroeCounty-FL.Gov> Subject: Re: housing on MMR site 1 Emily, Thanks for checking. We still have 25 units that the Low income category works for, as I mentioned previously we'll further restrict these units to comply with Florida Housing finance to 60% or below. The other 6 potential units on the site I would like to keep open the option to go up to 100 or 120% if we build those units and we need to go to those limits to make the financial models work. I'm around today if we need to talk further. Joel Reed, AICP Southeast Market President 200 N Main I Oregon,WI 53575 C 404-403-2925 jreed@gormanusa.com<mailto:jreed@gormanusa.com> www.gormanusa.com<http://www.gormanus a.com> 2