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Item H5BOARD OF COUNTY COMMISSIONERS AGENDA ITEM SUMMARY Meeting Date: May 16, 2012 Division: Growth Management Bulk Item: Yes X No _ Department. Planning & Environmental Resource Staff Contact Person: Michael Roberts (305 289- 2502 AGENDA ITEM WORDING: Approval of a Resolution to reserve 0.1392 HapAcr with 0.261 `HMmGAnON' for Caya Place LLC on Big Pine Key on the eastern parcel (RE 00111078.000000) of property located at 30641 US Highway 1 (aka Skeeter's Marine) until October 28, 2012. ITEM BACKGROUND: The owner of the property, Richard C. Beal, has requested to develop sixteen (16) units of affordable employee housing in the name of Caya Place LLC on Big Pine Key at a location commonly known as Skeeter's Marine. Caya Place LLC received a minor conditional use permit by Development Order 01-09 to develop the affordable housing project. To date, the building permit application deadline has been extended twice. First, the applicant received a two year extension pursuant to Senate Bill 360. Second, the applicant received a one year extension pursuant to the Monroe County Land Development Code. To date, a building permit application relating to the scope of work has not been submitted. Thereby, the current deadline(s) to submit a building permit application is October 28, 2012. The BOCC has approved the reservation of 0.0261 11mmrAnON for Caya Place LLC for the last three years. The third reservation expired March 31, 2011. During the last HCP reporting period (March 2011) the U.S. Fish & Wildlife Service determined the H calculations for Caya Place were not consistent with the HCP and resulted in an incorrect HaKPAcr and thus HMMGAnoN value. FWS indicated at the time that the impact calculations needed to follow the calculations provided in the HCP and that based on the vacant nature of the parcel it may constitute new development rather than re- development. Following the methods established in the HCP, staff determined that the project constitutes re -development and calculated the HEmpAcr for the parcel to be 0.087 with a mitigation requirement of 0.261 HmMGAnON• If the FWS determines the project constitutes new development, the HlmpAcr would be 0.1392 and the HmmrAnoN required would be 0.4176. The reservation of 0.4176 H has the potential for the H Bank not having sufficient H to compensate for possible impacts associated with future commercial development and the known impacts associated with future SFR development (see attached memo). However, in order to allow the property owner the opportunity to obtain a building permit for affordable housing, the BOCC approved a reservation of 0.261 HmmGAnON until May 19, 2012. Caya Place LLC is now requesting to extend this expiration date to coincide with the Minor Conditional Use permit to October 28, 2012. Staff recommends approval of the HMmcarroN reservation until October 28, 2012. PREVIOUS RELEVANT COMMISSION ACTION: January 19, 2012 — BOCC approved resolution 015-2012 reserving 0.261 HMmcA-noN until May 19, 2012 December 14, 2011 — BOCC gave staff direction to prepare a resolution for consideration to grant a 4 month reservation for 16 affordable housing allocations at the January 2012 board meeting. March 17, 2010 — BOCC approved resolution 090-2010 reserving 16 affordable dwelling units and reserving "H" value necessary for Caya Place LLC which expired March 31, 2011. February 19, 2009 — BOCC approved resolution 060-2009 reserving 16 affordable dwelling units and reserving "H" value necessary for Caya Place LLC which expired March 19, 2010. October 15, 2008 - BOCC approved Resolution 346-2008 reserving the "H" value necessary for a proposed affordable dwelling unit development for Caya Place LLC. March 19, 2008 - BOCC approved Resolution 077-2008 reserving 16 affordable dwelling unit allocations for Caya Place LLC. CONTRACT/AGREEMENT CHANGES: N/A STAFF RECOMMENDATION: Approval TOTAL COST: N/A INDIRECT COST: BUDGETED: Yes No N/A COST TO COUNTY: N/A SOURCE OF FUNDS: N/A REVENUE PRODUCING: Yes No N/A AMOUNT PER MONTH: N/A Year APPROVED BY: County Attorney OMB / Purchasing Risk Management DOCUMENTATION: Included X Not Required DISPOSITION: AGENDA ITEM # County of Monroe Growth Management Division Flmgne & Environmental Resources Department 2798 Overseas Highway, Suite 410 Marathon, FL 33050 Voice: (305) 289-2500 FAX: (305) 289-2536 We strive to be caring, professional and fair MEMO DATE: April 30, 2012 Board of County Commissioners Mayor David Rice, Dist. 4 Mayor Pro Teen Kim Wigington, Dist. 1 Heather Carruthers, Dist 3 George Neugent, Dist. 2 Sylvia J. Murphy, Dist 5 TO: MONROE COUNTY BOARD OF COUNTY COMMISSIONERS THROUGH: Christine Hurley, AICP FROM: Townley Schwab, Sr. Director, Planning and Environmental Resources Mike Roberts, Sr. Administrator Environmental Resources RE: CAYA PLACE `H' RESERVATION REQUEST Monroe County Planning and Environmental Resources staff have reviewed the request to reserve the required mitigation `H' for the proposed 16 unit affordable housing development known as Caya Place, located at MM 31 on Big Pine Key. The H for the subject parcel (RE # 00111078-000000) is 0.0087, and in previous requests the BOCC has agreed to reserve the mitigation H required for the proposed project. However, documents submitted as backup to these prior resolutions incorrectly calculated the `H' that would be required for the proposed project. In a memo dated September 30, 2008 the H impact was determined based on comparison with a developed subdivision of similar size. Using this approach, the Hmi,;pdn was calculated to be 0.0261. During review of the 2010 Annual Report, the U.S. Fish & Wildlife Service (FWS) stated that the methodology used to determine the H for Caya Place was not consistent with the HCP and may have resulted in an incorrect mitigation value. For this reason, Staff reviewed the Incidental Take Permit, the Habitat Conservation Plan (HCP) and the Livable Communikeys Plan for Big Pine and No Name Key to determine the impact associated with the proposed development of 16 affordable housing units on the referenced parcel. The following excerpt is from the HCP and explains the process of determining H impacts: The spatial component of the population viability analysis (PVA) model provides a reliable predictor of development impacts on the Key deer: Harvest (H), which is highly correlated with estimates of impacts. Therefore, we use H to measure impacts and mitigation in this HCP. The Key deer PVA Page 1 of 5 yielded equations that relate H to estimates of risk and additional human -related mortality, therefore, if we can assign an H value to a development activity, then we can evaluate the effect of that development activity on the Key deer. The Applicants developed a method to assign H to any development activity based on the following three main premises: 1. If development occurs on an undeveloped parcel, the impact equals the H of the parcel: The Applicants assumed that an undeveloped parcel is fully available to the Key deer and that new development affects the habitat value of the entire undeveloped parcel. Therefore, the impact of such development equals the Hof the entire parcel. 2. If development occurs on a developed parcel (e.g., expansion or redevelopment), the impact of development equals the Hof the footprint of the additional development: The Applicants assume that the impact of existing development has been already realized, therefore, the H of development that occurs in parcels that are already developed is associated with the footprint of the additional activity instead of the entire parcel area. 3. The effect of the development activity depends on the type of development or land use: Because roadway mortality is the largest cause of human -related mortality of Key deer, the H value for a development activity is multiplied by a factor that accounts for the traffic generated by the specific land use or type of activity. Table 2.5. H multiplier for land use development cateeories Land Use Average Daily Trip HMultiplier Variable Name Generation Single family residential 9.5 1 M SRF Fences only -- 0.2 Accessory uses -- 0.2 M cc Retail 70 7.4 (per 1,000 sq. ft.) M vl HoteUMotel 7.9 0.8 (per room) M office 5.9 0.6 (per 1,000 sq. ft.) M v3 Institutional 13 1.4 (per 1, 000 sq. ft.) Mtv4 Industrial 5 0.5 (per 1, 000 sq. ft.) M vs Recreational 67 7 M xec Page 2 of 5 Based on these three premises, an H value can be assigned to any anticipated development activity (Table 2.6). Multiplier variables (M) described in Table 2.5. Table 2.6. Calculation of H or di erent develo meet activities T e o Parcel e o Develo ment H Calculation Desc " n Construction on vacant parcels Residential incurs a new Undeveloped construction H_ � * �w impact, both as loss (single family) Lvpaaof habitat and as causing secondary effects. The impact is the H = H * {(M * difference between Developed Redevelopment bnpaa(S �sq ft.�]1 _ �M * UX the effect of the new (different use) vx footprint4and use (sq ft /sq ft.�]o and the old footprint/land use. Review of the anticipated development scenarios outlined above reveals that: 1) redevelopment of a commercial parcel to residential uses was not foreseen at the time of the development of the HCP and the LCP for Big Pine and No Name Keys. Therefore, the HCP does not provide an equation to address this specific scenario, and 2) The LCP and HCP did not make provision for multi -family development scenarios of new development. Based on the above limitations, Staff determined that the appropriate approach was to consider the project as redevelopment, and used a M wx of 16 for the proposed development (1 X each proposed unit). In order to calculate the H mpAcr, Staff reviewed the approved site plan to determine the developed area (in square feet) of the proposed project, and multiplied the square footage of the site (53,438) by 0.2 to reflect the existing condition (accessory use, boat & trailer storage). The calculations are depicted below: H 1 M Lux new Sq ft dev/sq ft parcel M, old Sq ft dev/s ftparcel H a pAm .0087 16 .63 .2 .2 .087 .0087 X ((16 X .63) — (.2 X .2)) _ .0087 X ((10.08) — (.04) ) = .0087 X 10.04 = 0.087 H seACT Thus, the H ngpAcr is 0.087. The required mitigation would be .261 H. The proposed project would account for approximately 8% of the total impact allowed under the HCP and would likewise consume 8% of the required mitigation H. In the event that the U.S. Fish and Wildlife Service determines that the project constitutes new development rather than redevelopment, the resulting H meAGT and required mitigation would be: .0087 X 16 = 0.1392 H NpACT 0.1392 X 3 = 0.4176 H mmGAnox Page 3 of 5 As of December 31, 2011 (the most recent Annual Monitoring Report data), Monroe County has issued building permits resulting in a cumulative H IMPACT of 0.3563, with an additional 0.109 H set aside for pending or allocated projects for which a building permit has not been issued. Note that the above does NOT include the previous reservations for Caya Place. The H mmrAnON required for the permitted impacts is 1.069 H. Adding in the pending projects would result in an H aeAcr of 0.4653 and required mitigation of 1.3959. Using the re -development scenario outlined above, adding the proposed Caya Place development would result in a cumulative H aeAcr of 0.55 with a required mitigation of 1.65 H. However, the impact calculations used by staff have not been reviewed by the FWS and it is possible that the Service may interpret the development of this site as new development. If that were the case, then the cumulative H impact for all issued, allocated and reserved permits together with those currently competing in ROGO would be .6045 and the required mitigation would be 1.813 H. This constitutes 60% of the permitted development allowed under the HCP (1.1 H) and Caya Place would require 15% to 25% of the remaining HnwAcr available under the ITP, with 12 years still remaining in the life of the permit (see Tables below). Table 1. Summary of HaeAcr Hn wACT Summary Total HDOAcr Allowed by HCP 1.1 Existing Permitted HauAcr 0.3563 Allocated and/or Reserved HDOAcr + 0.109 TOTAL Permitted/Allocated HINeACT 0.4653 HDOACT Remaining under ITP (1.1 total) 0.6347 HymPArrr for Parcels currently competine in ROGO* - "26 Caya Place HDaAcr If Reserved (FWS worst case scenario) 0.1392 HIMPACT remaining if Caya Place Reserved 10.4329 * Includes Tier I Hm?Acr of 0.0380, however only 0.0117 H of Tier I impact remains under the ITT Table 2. Summary of HMmGAnON HmIrIGATION Summary Total HMmGAnoN Required by HCP at build -out I.1 HaaAcr 3.3 HmmGAnON Acquired as of 12/31/2010 2.0366 HmMGAnON Required for Permitted Impacts 1.068 Hume,,kTIoN Required for Allocated/Reserved Impacts 0.327 TOTAL Humr-ATrnx Required for Permitted/Reserved Impacts 1.395 Total HMMGATION Remaining after all Impacts (2.0366 1.5837) 0.4529 Caya Place HmmGAnoN If Reserved (FWS Scenario) 0.4329 HumnA-mm Remaining if Cava Place Reserved 10.02 It is important to note that the above analysis reflects only Single Family Residential development and the public projects specifically anticipated in the HCP. The above values do not include impacts for commercial development or for accessory structures (ie: fences). The reservation of 0.4176 H has the potential for the H Bank not having sufficient H to compensate for possible impacts associated with future commercial development and the known impacts associated with future SFR development. Page 4 of 5 The potential Caya Place impacts and mitigation is summarized in the Tables below: Table 3: Caya Place H Calculations based on Planning & Environmental Resources staff assumptions CAYA PLACE H Calculations — Planning & Env Resources calculations Caya Place HwAcT 0.087 Caya Place HmmrAT[oN 0.261 Caya Place % of available HwAcr (0.5721) 15% Caya Place % of available HMmGAnox 1.583 57% Table 4: Caya Place H Calculations based on FWS worst case scenario CAYA PLACE H Calculations — Assuming U.S. FWS worst case Caya Place HD"Acr 0.1392 Caya Place HMmGAnox 0.4176 Caya Place % of available HD&Accr (0.5721) 25% Caya Place % of available HmmrAnoN 1.583 95% For this reason, Staff initially recommended denial of the requested HQ&AcTr and HmmrAnoN reservations because reservation of the H mpAcT and HmMGAnoN would potentially absorb 95% of the HmmGAnoN Monroe County has acquired to date. The reservation of this amount of H could require the County to acquire additional mitigation before additional building permits could be issued. However, based on additional discussions with the Applicant, Staff recommends a four (4) month reservation of 0.261 HmmrAnoN in order to allow the applicant the opportunity to obtain a building permit for affordable housing. Page 5 of 5 RESOLUTION NO 2012 A RESOLUTION OF THE MONROE COUNTY BOARD OF COUNTY COMMISSIONERS RESERVING 0.261 HmmGAnoN FOR A PROPOSED AFFORDABLE DWELLING UNIT DEVELOPMENT RESOLUTION 346 2008 ON BIG PINE KEY FOR CAYA PLACE LLC ON THE EASTERN PARCEL RE#00111078 000000 OF PROPERTY LOCATED AT 30641 US HIGHWAY 1 (COMMONLY KNOWN AS SKEETER S MARINE) WHEREAS, the State of Florida and all local governments in the Florida Keys subject to Area of Critical State Concern mandates relating to housing affordability recognize the need for affordable housing throughout the state and particularly in the Florida Keys where developable land for housing is extremely limited and expensive; and WHEREAS, the challenge of providing affordable housing opportunities in the Florida Keys is one requiring sensible and responsive use of residential unit allocations including implementation of effect long term preservation mechanisms; and WHEREAS, due consideration should be given to relevant factors such as the capacity for HMrracATroN recipients to promptly transform reservations into finished and occupied affordable workforce housing units; and WHEREAS, the developers have legitimate needs for some assurance that HmmrATroN is in fact and will remain available for a reasonable time so that follow through on initial commitments will in fact be justified; and WHEREAS, in accordance with Strategy 3.3 of the Master Plan for Future Development of Big Pine Key and No Name Key the county shall retain and expand availability of affordable housing within the planning area to the greatest extent possible; and WHEREAS, the BOCC on March 19, 2008 approved Resolution 077-2008 reserving 16 affordable dwelling unit allocations for Caya Place LLC; and WHEREAS, the BOCC on October 15, 2008 approved Resolution 346-2008 reserving the H value necessary for a proposed affordable dwelling unit development for Caya Place LLC; and WHEREAS, the BOCC, on February 19, 2009 approved Resolution 060-2009 extending the reservation of "H" value and 16 affordable housing ROGO allocations for the Caya Place LLC affordable housing project; and WHEREAS, the BOCC, on March 10, 2010 approved Resolution 090-2010 extending the reservation of "H" value and 16 affordable housing ROGO allocations for the Caya Place LLC affordable housing project; and WHEREAS, the developer did not commence construction of the 16 affordable housing units by March 31, 2011 and therefore the ROGO allocations and "H" reservation expired March 31, 2011; and 1 WHEREAS, the developer has requested reservation of the "HmmGATION" value and 16 affordable dwellings unit allocations; and WHEREAS, the BOCC, on January 19, 2012 approved Resolution 015-2012 extending the reservation of 0.261 "HmmGAnON" value and 16 affordable housing ROGO allocations for the Caya Place LLC affordable housing project until May 19, 2012; and WHEREAS, because of the current economic conditions, the developer wants an assurance that HMrrIGATION for the proposed development will be available; and WHEREAS, an extension of the minor conditional use was granted so that the developer must apply for building permits by October 28, 2012; and WHEREAS, the developer wants an assurance that the reserved allocations of the 16 affordable housing units and the HmnTrATiON value necessary for proposed development to Caya Place LLC will be available and has agreed to comply with the conditions set forth; NOW THEREFORE BE IT RESOLVED BY THE BOARD OF COUNTY COMMISSIONERS OF MONROE COUNTY, FLOREDA: Section 1. The Monroe County Planning Department shall reserve 0.261 HmmrATION for the Caya Place LLC project on Big Pine Key until October 28, 2012. Section 2. If building permits for the related dwelling units are not issued by October 28, 2012 the H value shall automatically without further County action revert, to the County. Section 3. The developer Caya Place LLC shall abide by Monroe County Code Affordable Housing guidelines and requirements for all applicable Building Code requirements and requirements of the Planning Department. Section 4. The developer Caya Place LLC shall abide by the requirements of all other appropriate regulatory agencies of the County, State, or Federal Government, including but not limited to, US Fish and Wildlife Service and the mitigation requirements of the Incidental Take Permit and the Big Pine Key Habitat Conservation Plan. Section 5. The Planning Staff is hereby authorized to expeditiously process permit related applications for the above referenced project. (REMAINDER OF PAGE LEFT INTENTIONALLY BLANK) 0 PASSED AND ADOPTED by the Board of County Commissioners of Monroe County Florida. at a regular meeting held on the 1 bth day of May, 2012. (SEAL) ATTEST: DANNY L. KOLHAGE, CLERK DEPUTY CLERK Mayor David Rice Mayor Pro Tem. Kim Wigington Commissioner Heather Carruthers Commissioner George Neugent Commissioner Sylvia Murphy BOARD OF COUNTY COMMISSIONERS OF MONROE COUNTY, FLORIDA Mayor David Rice MONROE COUNTY ATTORNEY AppROVED AS TO FORM 77