DeFuniak Springs City Council Workshop Meeting Minutes Council Chambers November 25, 2024 1.CALLTO ORDER Mayor Bob Campbell called the: meeting to order at 4:001 PM. Present: Mayor Bob Campbell, Mayor Pro-Tempore Todd Bierbaum (Seat 1); Councilmember Josh Sconiers (Seat 2); Councilmember Amy Heavilin (Seat 3); Councilmember Glen Harrison (Seat 4); Councilmember Anthony Vallée (Seat 5). Absent: Also, present were City Manager Koby Townsend, City Attorney Clay Adkinson, Finance Director 2. COMMUNITY REDEVELOPMENT AGENCY (CRA) FUNDING DISCUSSION Mr. Vallee stated that the percentage adjustment is the simplest approach. Mr. Vallee stated that this will spread the impact to the CRA. Mr. Harrison stated that the map change would require more steps. Steven Rausch, and City Clerk Rafael Ali. Mrs. Heavilin stated that everyone shel has talked to agrees with a change in percentage. Mr. Sconiers stated that he agrees. Mr. Bierbaum stated that he agrees. Mrs. Heavilin stated that the CRA's focus has changed. city at 50%, which is the lowest we can go. CRA, we. are also giving up county dollars. Mrs. Heavilin stated that the people she has spoken to would like to see the funds returned to the Mr. Vallee stated that it is important for the public to understand that when we give up funds to the Mr. Vallee stated that a 5% reduction in the previous rate would have been $48,000 in city funds we would have recouped. Ifwe had gone from 95% to 90%, we would have an extra $48,000 this year. November 25, 2024 Workshop Meeting 1 Mrs. Heavilin stated that the people she has spoken to understand that there is a match from the county, but they are more inclined to put the funds back in the hands of the city because the CRA Mayor Campbell stated that he was hoping the CRA would have been more involved in tackling Mayor Campbell asked Mr. Adkinson if we could change the amount and revisit this again later isr not addressing blight. blight. on. Mr. Adkinson stated that it could come back up in the future. Mr. Bierbaum stated that from his research, it is clear that the CRA was created for blight Mr. Bierbaum stated that he does not agree with the CRA board's decision not to pursue undergrounding utilities or removing a commercial building from tax rolls. When they had an opportunity to fill those spaces with something that would benefit the community, it was voted Mr. Bierbaum stated that he is disappointed in the CRA Board, but he wants to make it clear that remediation. down. he is not criticizing anyone and sees the effort the board is making. Mr. Bierbaum stated that he does not think the CRA is serving its original intent. Mr. Bierbaum stated that we need to evaluate whether general fund dollars are being used to their Mr. Vallee stated that he agrees that the CRA should have made more effort to complete some of Mr. Vallee stated that many people are also involved in the CRA programs for property full potential. these projects. improvements. Mr. Vallee stated that we need to have a long-term decision and set priorities. Mr. Vallee stated that he likes the idea of the CRA not being involved with us politically, but it does require some. kind of oversight. Mayor Campbell asked Mr. Adkinson about setting priorities. Mr. Adkinson stated that you cannot dictate anything unless the city council becomes the CRA Board. In that case, it would only take a plan amendment to establish priorities. November 25, 2024 Workshop Meeting 2 Mr. Adkinson stated that wel have an adopted CRA plan, and amending it would require the CRA tot take the amendment to the City Council. Once the plan is adopted, any amendments must start at the CRA level. Mr. Adkinson stated that we: are very limited in what we can direct the CRA to do. Mr. Bierbaum stated that he does not want to dismiss the multiplier effect of county funds, but believes we need to make decisions based on what the CRA was set out to do and what it is Mr. Bierbaum stated that we could easily set aside $800,000 for debt services and secure $29 Mr. Adkinson stated that we can't do that without a referendum. If we pull the $800,000 from other funds, we can do that. We can usei it to offset other fund balances and then seek debt service, Mr. Bierbaum stated that in that case, we could designate ourselves as the CRA and then bond the Mr. Adkinson stated that you can bond revenue, but it must comply with the CRAplan. Mr. Adkinson stated that there is case law from the Attorney General regarding bonds issued by Mr. Adkinson stated that once trust revenues have been pledged for debt services, everyone Mr. Adkinson stated that we should also consider the lifespan of the agency created, because once currently doing. million in bonds to complete some oft these projects using general fund money. which is possible. revenue, the CRA. contributing must continue to contribute until those are satisfied. the revenue is pledged, it must remain in place until it is paid off. Mr. Vallee asked how realistic the goal ofbuilding a fire station with CRA funds is. Mr. Adkinson stated that the statute: requires approval from all the taxing authorities that contribute Mr. Adkinson stated that it is as realistic as the City Council and County Commission agreeing on Mr. Adkinson read the Florida Statute, which states that the following projects may not be paid for with increment revenues: construction or expansion of administrative buildings for public bodies, orp police and fire buildings, unless each taxing authority agrees to such ai method of financing. Mr. Bierbaum asked if we can rescind the approval of the CRA plan. Mr. Adkinson stated that amending the plan requires certain notices, and if we are going to undo all the plans, the easier to the' TIF. it. option is to dissolve the whole organization. November 25, 2024 Workshop Meeting 3 Mr. Bierbaum asked if we can compel the CRA to amend the plan. Mr. Adkinson answered no. Mr. Bierbaum stated that the mission of the CRA is to eliminate blight, and he does not see that Mr. Vallee asked what Mr. Bierbaum thinks of the public input they have received and the Mr. Bierbaum stated that he has heard from multiple people attending the public workshops on the Mrs. Heavilin asked what needs to be done ift the City Council wants to become the CRA Board. Mr. Adkinson stated that it can be done via resolution as easily as the next meeting. Mr. Adkinson stated that the Council can also appoint two additional board members. Mrs. Heavilin asked what it looks like to dissolve the whole organization. focus in the current plan. guidance provided in general. CRA plan that their options were: not reflected in the plan. Mr. Adkinson stated that it would require two public hearings and must be done by ordinance. Mr. Adkinson stated that the cleanest way to dissolve the CRA is at the end of the current fiscal Mayor Campbell asked what the Council's obligation would be as CRA Board members. Mr. Adkinson stated that the City Council would have to attend the CRA's regular meetings. Mrs. Heavilin asked if we can direct the Finance Director to run a report to see how many Mr. Townsend stated that we will need to get in touch with them to determine those obligations. year. contractor obligations the CRA has. Mrs. Heavilin asked ifv we can find out based on what is being paid. Mr. Townsend stated that we will find out. Mr. Vallee stated that if we make the City Council the CRA Board and add two additional seats, Mr. Bierbaum asked if we can make the City Council the board of five and then later add two we: may want to invite the county to join us and increase cooperation. additional people. Mr. Adkinson stated that we could also split the board between the county and city. November 25, 2024 Workshop Meeting 4 3. OPEN DISCUSSION ON CITY COUNCIL REGULAR MEETING AGENDA ITEMS 4.CITY MANAGER UPDATE 5.CITIZEN COMMENTS 6.A ADJOURNMENT Meeting Adjourned 5:00 PM. Approved: Bob ATTEST: IGh OF E Minutesaken by Rafael Ali AHIB City Clérk Proper notice having been duly given SEAL 1901 November 25, 2024 Workshop Meeting 6 Mr. Bierbaum and Mr. Vallee stated that they are: in favor of designating themselves as the CRA Board. Mr. Harrison asked how many CRAs in Florida have their city council as their board. Mr. Adkinson stated that there are probably more that do not than do. Mr. Harrison asked if the CRA has issues with its current program because people have to put up funds first before receiving CRA funds. Mr. Vallee answered that they actualyhaveprograms now that do not require that. Mr. Harrison stated that as current City Council members, it is our responsibility to ensure the CRAi is successful. move forward. Mr. Harrison stated that if we have expressed our concerns and they must w. he Mr. Harrison stated that as a City Council, we need to ask ourselves what we will do differently if Mr. Adkinson stated that currently, he has consensus from three City Council members to bring we are on the CRA board. back a resolution. Mr. Vallee stated that we didn't expect property values to rise as they have. Mayor Campbell stated that typically, the CRA improves a neighborhood and earns its keep. Mrs. Heavilin stated that the percentage can be changed every year. Mr. Vallee stated that once you commit to the funding, you must be extremely cautious about Mr. Adkinson stated that it is an advantage to use available funding to bond projects that we may Mr. Adkinson stated that he initially encouraged the Council to become the CRA Board. Mr. Adkinson stated that he encourages the Council not to decrease the CRA percentage until they Mr. Adkinson stated that we should change one thing at a time: start with the board, then address Mr. Adkinson stated that at the first meeting in December, we will have a resolution to adopt. changing the rates. not otherwise be able to fund. have replaced the CRA Board. the plan. November 25, 2024 Workshop Meeting 5