City of Port St. Joe Redevelopment Agency Board Special Meeting April 1, 2025 at 11:00 A.M. Steve Kerigan Eric Langston Rex Buzzett Brett Lowry Eddie Fields Linda Bullock Scott Hoffman Marvin Davis PLEDGE OF ALLEGIANCE AND MOMENT OF SILENCE ROLL CALL OF THE BOARD CONSENT AGENDA: January 21, 2024 Special Meeting Minutes Page 1-2 BUSINESS ITEMS Developer Incentive Program & Program Overview Pages 3-8 Generations Housing Rehabilitation Program & Program Overview Pages 9-15 Interest Rate Incentive Program & Program Overview Pages 16-22 House Bill 991 & Senate Bill 1242 Page 23 PSJRA Annual Report FY 2023-2024 Pages 24-27 PSJRA Annual Audit 2024 Pages 28-54 Citizens to be Heard Discussion by Board Members Motion to Adjourn *You are hereby notified that in accordance with Florida Statutes, you have the right to appeal any decision made by the Board with respect to any matter considered at the above referenced meeting. You may need to ensure that a verbatim record of the proceedings is made which may need to include evidence and testimony upon which the appeal is based. City ofPort St. Joe Redevelopment Agency Board Special Meeting January 21, 2025 Minutes Pledge of Allegiance and Moment of Silence Roll Call of the Board Present Absent Board Staff Board Staff Eric Langston, Chairman Jim Anderson Linda Bullock Rex Buzzett Charlotte Pierce Brett Lowry Marvin Davis Mike Lacour Eddie Fields Clint McCahill Scott Hoffman Jake Richards Steve Kerigan After ascertaining that a quorum was present, Chairman Langston called the meeting to order at 11:00 A.M. Consent Agenda Minutes, January 7, 2025, Regular Meeting: A Motion was made by Rex Buzzett, second by Eddie Fields, to approve the Minutes oft the January 7, 2025, Meeting. All in favor; Motion carried 6-0. Eddie Fields stated that he would be abstaining from the vote because ofinured to the special gain or loss ofWashington Improvement Group / Community Advisory Council. Form 8B Memorandum OfVoting Conflict For County, Municipal, and Other Local Public Officers was completed by Mr. Fields and is attached as Exhibit A. Business Items CRA Director Position Contract Darrell Starling, D. Starling Consulting, participated by telephone. Discussion was held as to why there was a contract difference of$10,000. Mr. Starling explained that his costs for the amount ofwork that will be done, reports, workshops, attending the annual conference, architectural help, and student stipends are what make up the difference. A Motion was made by Rex Buzzett, second by Steve Kerigan, to increase the contract with Mr. Starling to $35,000 with the $10,000 in additional funds needed coming from the Street Scape Line Item. All in favor; Motion carried 6-0. Citizens to be Heard Marvin Davis and Chester Davis shared their thoughts on the hiring of: a Contracted Director for the PSJRA. Discussion by Board Members None ofthe Board Members had any other items to discuss. There was no additional business to come before the Board and Chairman Langston adjourned the meeting at 11:48 P.M. Approved this day of 2025. Eric Langston, PSJRA Chairman Date Charlotte M. Pierce, City Clerk Date 2 MEMORANDUM April 01, 2025 TO: Community Redevelopment Agency (CRA) Board FROM: Darrell Starling/CRA Executive Director SUBJECT: Developer Incentive Program (DIP) SYNOPSIS: The purpose of this request is to consider approving the Developer Incentive Program (DIP) to stimulate affordable housing in the North Port St. Joe neighborhood. RECOMMENDATION Itis recommended that the CRA Board consider the following action(s) 1. Approve the Developer Incentive Program, designed to give up to $25,000 to developers to encourage more affordable housing and commercial development in the North Port St. Joe neighborhood. 2. Authorize the CRA Director of the CRA to enter into a developer's agreement and said agreement shall, include, at a minimum a clause with the following: the subsidy amount will be received after the certificate of Occupancy (CO) is obtained, the ROI shall not be more than ten (10) years, all commercial property shall have at least a 5 year lien on the property and the requirements shall meet the affordable housing standards for the Area Median Income (AMI). BACKGROUND The Developer Incentive Program (DIP) was created to meet the needs of the community, which wants more affordable housing, and developers, who need assistance with housing projects. Program Information: Developers must come into a developer agreement with the Port St. Joe Redevelopment Agency (PSJRA) and adhere to the following and requirements: Begin site development within six (6) months from the date of the signed agreement Begin applying for building permit(s) within twelve (12) months from the date of the signed agreement Sell the home to an individual who is at least in the 120% Area Medium Income (AMI) (see chart below) 3 CRA MAP - H B - - - i AmTn FATE y à 0 a E a BI - ID W BI E E a 1 B a E 2 E a a - a a a a E E 5 - - I ETELE a , - N PIE FOR ASSESSMENT PURPOSED ONLY 1inch 1 1,222f feet Date: 5/13/2014 CRA North Port St. Joe Redevelopment: Area is highlighted intan. RETURN ON INVESTMENT REVENUE VALUE Jurisdiction Millage Gulf County 5.9000 City of Port St. Joe 3.5914 Total 9.4914 Assessed Value ($50,000 $275.000 Homestead Exemption) Tax Increment Revenue $2,610.13 RETURN ON INVESTMENT CRA Investment $25,000 Tax Increment Revenue $2,610.13 Total Return on Investment 9.57 Years (ROI) 4 FISCAL IMPACT The Cost to the CRA will be up to $25,000 per development project for potentially 3 homes. OTHER OPTIONS Not accept the CRA staff recommendation. ATTACHMENTS Program Overview 5 - 9pat foe PORT ST.JOE REDEVELOPMENT AGENCY Development Incentive Program The Port St. Joe Redevelopment Agency (PSJRA) will provide assistance to developers aiming to build affordable homes or commercial projects in the North Port St. Joe neighborhood. This assistance may include options available at the start of a project, such as waiving impact fees (developer must meet Florida State Statutes for affordable housing). Developers can receive up to $25,000 upon obtaining a Certificate of Occupancy for their project, with the expectation that the Return on Investment (ROI) will be recouped within a maximum of 10 years. Note: All developers must come into a development agreement with PSJRA. There will be up to a 5-year lien on each commercial property that receives funding under this program from the PSJRA. Each developer has to build within the North Port St. Joe neighborhood (map shown below). Developers building affordable housing must come into a development agreement with the PSJRA and adhere to the following requirements: > Begin site development within six (6) months from the date of the signed agreement. Begin applying for building permit(s) within twelve (12) months from the date of the signed agreement. > Sell the home to an individual who is no more than 120% Area Median Income (AMI) (see chart below). > Sell the home to an individual who has a back-end ratio of no more than 45%. Developers Duldingrenabbing a commercial building must come into a development agreement with the PSJRA and adhere to the following requirements: > If rehabbing a current structure, work must begin no less than three (3) months from the date of the signed agreement. > Begin site development within six (6) months from the date of the signed agreement. > Begin applying for building permit(s) within twelve (12) months from the date of the signed agreement. - - - - Sat foe PORT ST.JOE REDEVELOPMENT AGENCY Area Median Income Chart HUD release: 4/2/2024 2024 Income Limits and Rent Limits Effective: 4/1/2024 Floridal Housing Finance Corporation SHIP and HHRP Programs Percentage Incomel Limitb byl Number of Persons ink Household RentLimitbyA Number ofB Bedroomsi inl Unit County (Metro) Category 1 2 3 4 5 5 7 8 9 10 0 1 2 3 4 5 GufCounty 30% 15,060 20,440 25,820 31,200 36,580 41,800 44,450 47,350 Referk loHUD 376 443 645 847 1,040 1,147 Panama0 CyMSA; 50% 25,100 28,700 32,250 35,850 38,750 41,600 44,450 47,350 51,190 53,058 627 672 806 932 1,40 1,147 Gu#CauntyHMFA) 80% 40,150 45,900 51,600 57,350 61,950 66,550 71,150 75,700 80,304 84,893 1,003 1,075 1,290 1,491 1,663 1,835 Medan: 75,000 120% 60,240 68,880 77,400 86,040 93,000 99,840 106,680 113,640 120,456 127,339 1,506 1,614 1,935 2,238 2,496 2,754 140% 70,280 80,360 90,300 100,380 108,500 116,480 124,460 132,580 140,532 148,562 1,757 1,883 2257 2611 2912 3213 CRA MAP GULE COUNTY : a 433 E E - : FOR ASSESSAENTI PURPOSED ONLY inch 1222teet Date: 5/13/2014 @ CRA North Port St. Joe neighborhood highlighted in tan - L 9DuE foe PORT ST.JOE REDEVELOPMENT AGENCY For more information or to schedule an appointment, please contact: * Darrell Starling, CRA Director at (813) 598-0072 or staringconsutanting@gmal.com 9 MEMORANDUM April 01, 2025 TO: Community Redevelopment Agency (CRA) Board FROM: Darrell G. Starling, CRA Director SUBJECT: Generations Housing Rehabilitation Program SYNOPSIS: The purpose of this request is to consider approving the Generations Housing Rehabilitation Program (GHRP) RECOMMENDATION Iti is recommended that the CRA Board consider the following action(s) 1. Approve the GHRP designed to provide up to $10,000 for rehab work to homes in the North Port St. Joe neighborhood. 2. Authorize the CRA Director to find a developer through the procurement process and then enter into a developer agreement and said agreement shall, include, at a minimum a clause with the following: developer must contact applicant, developer must turn in all receipts for project to get reimbursed, rehab project shall not exceed $10,000. BACKGROUND Due to the environmental threats and socio-economic challenges, homes in North Port St. Joe are in serious need of repair. PROGRAM OVERVIEW GHRP is designed to honor our senior citizen residents by improving some of the interior and exterior portions of their homes. This program includes, but is not limited to, roof replacement, exterior painting, rail installations, HVAC upgrades, and other light construction work. FISCAL IMPACT The cost to the CRA will be at least $20,000 (2 homes) during FY 24/25. OTHER OPTIONS Not accept the CRA staff recommendation. ATTACHMENTS CRA Map Program Overview 9 CRA MAP GULF COUNTY E EE - 1 1 m R - a a E ER 1 a FORASSESSHENT PURPOSED ONLY 1inch=1 1,222feet Date: 5/13/2014 CRA North Port St. Joe neighborhood highlighted in tan ID - gbnt - L foe PORT ST.JOE REDEVELOPMENT AGENCY GENERATIONS HOUSING REHABILITATION PROGRAM PURPOSE The Port St. Joe Redevelopment Agency (PSJRA) has created a program to honor our senior citizen residents by improving some of the interior and exterior portions of their homes. This program includes, but is not limited to, roof replacement, exterior painting, rail installations, HVAC upgrades, and other light construction work. Qualifications: Other considerations (along At least 60 years old with qualifications) Homeowner Income Currently claims homestead Physically disabled exemption Veteran Home is located in North Resident for at least 10 years Port St. Joe neighborhood Home is a single-family unit Head of household with Note: Homeowners younger than 60 years dependents under 18 old may be considered on a case-by-case Priority will be given to the North Port basis. St. Joe Neighborhood Included In the Rehab: Permits Demolition Contact Us: Dumpster and Port-o-Let fees Replace decking, as needed per spec Replace sub-fascia per spec Darrell Starling, CRA Director Replace ridge vents per spec Install architectural shingles per spec 813.598.0072 Install vented vinyl soffit Install railing 2 atingomutigenalcon HVAC Sod replacement P.O. Box 278 Other light construction services as needed Port St. Joe, FL 32457 - 9Dut - d, foe PORT ST.JOE REDEVELOPMENT AGENCY Note: (1) Eligible properties must meet Code Compliance Standards. (2) Proof of income is required for eligibility. (3) This is a limited-funded program. (4) Applicants who have received assistance through the Generations Housing Rehabilitation Program cannot reapply for a three (2) year period from the date of completion of work. www.psjra. com REQUIRED DOCUMENTS: . Proof of Identification Proof of dependents under the age of 18 o State issued picture ID or o Picture ID Passport o W2 (tax return) ) Marriage Certificate If Proof of income married and last names are o Pay stub different o W2 (tax return) Warranty Deed Social Security Disability Documents Most recent mortgage For Veterans statement DD-214 2 - d, 9DuE foe PORT ST.JOE REDEVELOPMENT AGENCY GENERATIONS HOUSING REHABILITATION PROGRAM CRA Map GULF COUNTY 75EWEZEVREOIED ONILY m M HT t m, HAHMHI i AM E n al DIHD - 1 I t HT 1 N HMI 11 E E - - II I - V E PE a1H E - - - - EB HHSE CHT D - - - A H A - a HB Ma Eh all R E TE PI ITI ME a - E a a a F - B - - E - HTETI E a - ILTIET a - TIET EREETE TETNI a EE - ETIEE EE - - 1 - ETINE ELEETE BW FTDE - AT - E - a - - E E B E - a a - - FREIRE A N FOR ASSESSMENT PURPOSED ONLY 1 inch = 1,2221 feet Date: 5/13/2014 W CRA $ 13 AL, 9DNE foe PORT ST.JOE REDEVELOPMENT AGENCY Generations Housing Rehabilitation Program Application Date of Application CONTACT INFORMATION 1. Name: Date of Birth: 2. Email: 3. Mailing Address: 4. Cell Phone: 5. Annual Income: PROJECT INFORMATION 6. Project Square Feet of Project Location: Address: 7. Do you rent or own the project location? Own Rent 8. Proposed Exterior Paint Improvements/ HVAC Assistance needed: (select Handrais/Walkways all that apply) Other: **PLEASE NOTE: ADDITIONAL REPAIRS WILL BE CONSIDERED ONA CASE BY CASE BASIS AND WILL REQUIRE APPROVAL FROM THE COMMUNITY REDEVELOPMENT AGENCY 14 - 9ut d, foe PORT ST.JOE REDEVELOPMENT AGENCY CERTIFICATION Please read the section below carefully. After you have read the program guidelines for the requested funding assistance program, sign the form below and submit your completed application to the Port St. Joe Redevelopment Agency office. I understand that this application is not a guarantee of assistance. Should my application be approved, I understand that / am committed to completing the project. I understand that because Florida has a very broad public records law, some or all of the information contained within this application may be subject to public disclosure in accordance with state statutes. I have read the program guidelines in their entirety and by signing below accept the terms of the program. I understand that if this application is incomplete, contains false information or is not accompanied by the necessary documents, it will not be processed. Applicant's Signature Date Printed Name Title FOR OFFICE USE ONLY RECEIVED BY: DATE: COMPLETE INCOMPLETE PACKET ATTACHED S MEMORANDUM April 01, 2025 TO: Community Redevelopment Agency (CRA) Board FROM: Darrell Starling/CRA Executive Director SUBJECT: Interest Rate Incentive Program (IRIP) SYNOPSIS: The purpose of this request is to consider approving the Interest Rate Incentive Program (IRIP) to stimulate the MLK business district in the North Port St. Joe neighborhood. RECOMMENDATION It is recommended that the CRA Board consider the following action(s) 1. Approve the Interest Rate Incentive Program, designed to give up to $25,000 to business owners to encourage more commercial development in the MLK business district. 2. Authorize the CRA Director of the CRA to enter into a developer's agreement and said agreement shall, include, at a minimum a clause with the following: the grant amount will be received after business owner has received a business loan and has a business consultant, the ROI shall not be more than ten (10) years, and property shall have at least a 5 year lien on the property. BACKGROUND Access to capital is still a significant challenge for minority populations and neighborhoods that face economic vulnerability. This ongoing issue hampers the ability of local entrepreneurs to secure funding for their businesses, limiting their potential for growth and innovation. As a result, these communities often struggle with underdeveloped business districts, where a lack of diverse shops and services diminishes economic activity and reduces opportunities for residents. The absence of thriving commercial areas not only impacts local economies but also perpetuates cycles of poverty and limits access to essential resources and services for the residents. Program Information: The Interest Rate Incentive Program was designed to revitalize and promote economic activity within the Martin Luther King (MLK) Business District, located in the North Port St. Joe neighborhood. This initiative aims to support small businesses by providing financial assistance in the form of grants that can be applied toward interest payments on their business loans. Each qualifying small business may receive a grant of up to $25,000 per year. This program seeks to encourage entrepreneurship and enhance the overall vibrancy of the local economy by alleviating some of the financial burdens associated with loan interest, thereby enabling businesses to grow and thrive in the community. 6 CRA MAP & m Auy T t , - a a TE FORA ASSESSMENT PURPOSED ONLY 1inch 1,222feet Date: 5/13/2014 CRA North Port St. Joe Redevelopment Area ishighlightedi in tan. RETURN ON INVESTMENT REVENUE VALUE Jurisdiction Millage Gulf County 5.9000 City of Port St. Joe 3.5914 Total 9.4914 Assessed Value $450.000 Tax Increment Revenue $4,271.13 RETURN ON INVESTMENT CRA Investment $25,000 Tax Increment Revenue $4271.13 Total Return on Investment 5.85 Years (ROI) FISCAL IMPACT The Cost to the CRA will be up to $25,000. OTHER OPTIONS Not accept the CRA staff recommendation. ATTACHMENTS Program Overview/Application - - gPt A. - - Foe PORT ST.JOE REDEVELOPMENT AGENCY INTEREST RATE INCENTIVE PROGRAM OVERVIEW The Interest Rate Incentive Program was created to jump-start business activity in the Martin Luther King (MLK) Business District of North Port St. Joe neighborhood by awarding grants to small businesses that will pay their interest rate on business loans. (Grant award amount will not exceed $25,000 per year) How does it work? Interested businesses must undergo a pre-screening meeting with the Port St. Joe Redevelopment Agency (PSJRA) and business consultants. Based on the evaluation from the consultants, business owners will be directed to apply for a loan through either a Community Development Financial Institution or a traditional bank. After securing a loan, the business will meet with a business consultant and then with PSJRA staff to review their loan details and the grant amounts for which they qualify. CRITERIA Before receiving CRA funds, the business owner must sign an agreement that includes, but is not limited to, the following provisions: The applicant must own property within the MLK Business District. The applicant must agree to work with a business consultant for the duration of the grant agreement. The applicant, in partnership with the business consultant, agrees to create a business strategy (including a business plan, goals, etc.) and provide the PSJRA staff with a signed copy of this document. The applicant must present updates and reports to the PSJRA Board for the duration of the grant agreement. The applicant agrees to remain located in the MLK Business District for the entirety of the grant agreement. The applicant agrees to allow a lien to be placed on the property by the PSJRA for up to five years, depending on the Return on Investment formula. PROCESS The overall process involves four (5) Steps: 1. Initial contact will be made with Darrell Starling, CRA Director. (813) 598-0072 2. Schedule a pre-screening meeting with a business consultant by calling XXX-XXX-XXXX 3. Obtain an approved business loan from a CDFI or bank. 4. Contact the PSJRA staff to complete the grant application (can only be done once a loan is obtained) 5. Review grant criteria and sign the agreement with the PSJRA. 8 gPrE - d, Foe PORT ST.JOE REDEVELOPMENT AGENCY INTEREST RATE INCENTIVE PROGRAM APPLICATION Date of Appliçation BUSINESS PROFILE 1. Business Legal Name: Bank Loan Amount: $ 2. 5-for-5 Business Development Program Grant Award Amount: $ 3. Business Tax ID Number: 4. Mailing Address (No PO Boxes): 5. Business Telephone Number: 6. Email Address: 7. Annual Sales/Revenues 8. What month and year did you start the business? 9. Type of business entity: Sole Proprietorship Partnership Limited Liability Co. Corporation Other: 10. Purpose: Working Capital Equipment Purchase Renovation 11. Do you have a business plan? Yes No BACKGROUND INFORMATION 11. Are you or your business a party to any Yes claim or lawsuit? No 19 gPoNt d Foe PORT ST.JOE REDEVELOPMENT AGENCY 12. Are you or your business in arrears or in Yes dispute of any tax payment? No 13. Do you or the business own or lease the Yes business property? No 14. What is the business monthly rentmortgage payment? $ 15. When does the lease expire or mortgage mature? 16. What bank do you have your business account? 17. Have you or any firms in which you were Yes a major owner ever declared bankruptcy No 18. Are you or your business in any legal Yes actions, have judgements, tax liens, or No garnishments against you or your company? 20 - 9DuE foe PORT ST.JOE REDEVELOPMENT AGENCY CERTIFICATION Please read the section below carefully. After you have read the program guidelines for the requested funding assistance program, sign the form below and submit your completed application to the Port St. Joe Redevelopment Agency office. / understand that this pre-application is not a guarantee of assistance. Should my application be approved, / understand that I am committing to completing the project. I understand that because Florida has a very broad public records law, some or all of the information contained within this application may be subject to public disclosure in accordance with state statutes. Ih have read the program guidelines in their entirety and by signing below, accept the terms of the program. I understand that if this application is incomplete, contains false information, or is not accompanied by the necessary documents, it will not be processed. Applicant's Signature Date Printed Name Title FOR OFFICE USE ONLY RECEIVED BY: DATE: COMPLETE INCOMPLETE PACKET ATTACHED 21 MEMORANDUM April 01, 2025 TO: Community Redevelopment Agency (CRA) Board FROM: Darrell Starling, CRA Executive Director SUBJECT: Update CRA Plan SYNOPSIS: For information purposes. BACKGROUND The current Port St. Joe Redevelopment Plan was conducted in June 2009. The Community Redevelopment Agency is responsible for developing and implementing the Community Redevelopment Plan, which addresses the unique needs of the area. This plan outlines the overall goals for redevelopment and identifies the types of projects planned for the community. Examples of traditional projects include façade grants, building renovations, site improvements, directional signage, streetscaping, sidewalks, street tree plantings, community facilities, and public parking lots. Any projects funded with revenue from the Redevelopment Trust Fund must be included in the redevelopment plan. Additionally, the redevelopment plan should be updated every five years to reflect the changing needs of the community. Action: CRA Director will be creating a Request for Qualification for an organization to update our CRA plan. FISCAL IMPACT For information purposes only. OTHER OPTIONS N/A ATTACHMENTS N/A ZZ MEMORANDUM April 01, 2025 TO: Community Redevelopment Agency (CRA) Board FROM: Darrell Starling, CRA Executive Director SUBJECT: House Bill 991 and Senate Bill 1242 SYNOPSIS: For information purposes. BACKGROUND The key provisions of HB 991 are as follows: Termination of CRAs: Any CRA in existence as of July 1, 2025, would be required to terminate either at the expiration of its charter or by September 30, 2045, whichever occurs first. Prohibition on New Projects and Debt: Starting October 1, 2025, CRAS would be prohibited from initiating new projects or issuing new debt. Outstanding Bonds: CRAS with outstanding bonds as of July 1, 2025, may continue operations until those bonds mature, with a final closure deadline seti for September 30, 2045. Bond Maturity and Extension: After September 30, 2045, the maturity dates of any outstanding bonds cannot be extended, and any new finding of necessity must be issued solely for fulfilling bond obligations. Ban on New CRAs: No new CRAS may be established on or after July 1, 2025. However, existing CRAS prior to this date may continue to operate under the current regulations. Current Action: HB 991 is being reviewed by the Commerce Committee as of 3/21/25 SB 1242 is in Judiciary as of 3/12/25 FISCAL IMPACT For information purposes only. OTHER OPTIONS N/A ATTACHMENTS HB 991 SB 1242 23 MEMORANDUM April 01, 2025 TO: Community Redevelopment Agency (CRA) Board FROM: Darrell Starling, CRA Executive Director SUBJECT: Port St. Joe Redevelopment Agency Annual Report SYNOPSIS: For information purposes. BACKGROUND Community Redevelopment Agencies (CRAs) are required to file an annual report with the county or municipality that created the agency and publish it on their website, as outlined in Florida Statutes 163.387(8)(c). The annual report is due on March 31st FISCAL IMPACT For information purposes only. OTHER OPTIONS N/A ATTACHMENTS Copy of annual report 24 DE - REDEVELOPMENT ABENCY ANNUAL REPORT FY2023 / E - E Port St. Joe- Our Historic and Unique Florida Bay Front Community Port St. Joe Redevelopment Agency 305 Cecil G. Costin, St., Blvd. Port St. Joe, Florida 32456 850-229-8261 www.psjra.com 25 2023-2024 Financial Report Notes: * Financials are as gfSeptember. 30, 2024. The Independent Auditor's Report includes the PSRA as a "component snit" included in the Cily ofPort St. Joe's audit. A component unit is an entity for which the City is considered to be financially accountable and is inclded. in the City's reporting entily because of the significance of its operational orj financial relationships witb the City. These reports are available for revie from the City fPort St. Joe and on o1r website: mm.PS/RA.com. 2023-2024 Income County Funds. $45,051.00 City Funds. $26,096.00 Interest.. $7,119.03 TOTAL INCOME. $ 78,266.03 2023-2024 Expenses Waterfront Park: Bay Park Upgrades.. .$8575.00 Professional Services... .$8,000.00 Dues & Suscriptions.. $175.00 TOTAL EXPENSES. .$16,750.00 Tax Increments Base Year FY22/23 FY 23/24 $26,185,145 $33,833,846 $41,383,378 29.21% 58.0 04% Port St. Joe Redevelopment Agency - Board of Directors Eric Langston Cbair Rex Buzzet Vice Chair Steve Kerigan Linda Bullock Marvin Davis Eddie Fields Scott Hoffman Brett Lowry 2b Other accomplishments 2023-2024 Waterfront Park: Bay Park Upgrades Looking Ahead Our goal is to significantly improve the infrastructure in the North Port St. Joe neighborhood, which includes upgrading roads, enhancing public transportation options, and establishing community spaces that foster social interaction. We are also committed to increasing the availability of affordable housing by partnering with local developers to create new housing units that meet the needs of residents. In addition, we aim to revitalize the MLK business district by actively stimulating the local economy. This will involve providing comprehensive support to aspiring and existing business owners, helping them secure the essential funding and resources needed to launch and sustain their businesses. Our initiatives will not only foster entrepreneurial growth but also create jobs and enhance the overall vibrancy of the community. 37 Port St. Joe Community Redevelopment Agency (A Component Unit ofthe City of Port St. Joe, Florida) Annual Financial Statements September 30, 2024 Vance CPA LLC Certified Public. Accountants 219-B. Avenue! E Apalachicola, FL3 32320 Phone (706) 442-3084 28 PORT ST.JOE COMMUNITY REDEVELOPMENT AGENCY (A Component Unit ofthe City ofl Port St. Joe, Florida) SEPTEMBER 30, 2024 TABLE OF CONTENTS Independent Auditors' Report 1 Management's Discussion and Analysis 4 Basic Financial Statements Statement ofNet Position and Governmental Fund Balance Sheet 8 Statement of Activities and Governmental Fund Revenues, Expenditures, and Changes in Fund Balances 9 Notes to Basic Financial Statements 10 Required Supplementary Information Schedule of] Revenues, Expenditures, and Changes in Fund Balances - Budget Actual 17 Compliance Section Independent Auditors' Report on Internal Control Over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards 19 Independent Auditors' Report on Compliance with Section 218.415, Florida Statutes 21 Independent Auditors' Management Letter Required by Chapter 10.550, Rules of the State of Florida Office of the Auditor General 22 Independent Auditors' Examination Report 25 29 Vance CPALLC Certified. Public. Accountants 219-B Avenue E. Apalachicola, FL 32320 Phone (706)442-3084 ben@vancegpa.com INDEPENDENT AUDITORS' REPORT Board of Directors and Executive Director Port St. Joe Community Redevelopment Agency City of Port St. Joe, Florida Report on the Audit of the Financial Statements Opinions Wel have audited the accompanying financial statements ofthe governmental activities, and general fund of the Port St. Joe Community Redevelopment Agency (the "CRA"), as of and for the year ended September 30, 2024, and the related notes to the financial statements, which collectively comprise the CRA's basic financial statements as listed in the table of contents. In our opinion, the financial statements referred to above present fairly, in all material respects, the respective financial position of the governmental activities, oft the CRA, as of September 30, 2024, and the respective changes in financial position, for the year then ended in accordance with accounting principles generally accepted in the United States of America. Basis for Opinions We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Our responsibilities under those standards are further described in the Auditor's Responsibilities for the Audit of the Financial Statements section of our report. We are required to be independent of the CRA and to meet our other ethical responsibilities, in accordance with the relevant ethical requirements relating to our audit. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinions. Responsibilities ofManagement, for the Financial Statements Management is responsible for the preparation and fair presentation of the financial statements in accordance with accounting principles generally accepted in the United States of America, and for the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, management is required to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the CRA' s ability to continue as a going concern for twelve months beyond the financial statement date, including any currently known information that may raise substantial doubt shortly thereafter. 3D Auditors' Responsibilities for the Audit ofthe Financial Statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinions. Reasonable assurance is a high level of assurance but is not absolute assurance and therefore is not a guarantee that an audit conducted in accordance with generally accepted auditing standards and Government. Auditing Standards will always detect a material misstatement when it exists. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Misstatements are considered material if there is a substantial likelihood that, individually or in the aggregate, they would influence the judgment made by a reasonable user based on the financial statements. In performing an audit in accordance with generally accepted auditing standards and Government Auditing Standards, we: Exercise professional judgment and maintain professional skepticism throughout the audit. Identify and assess the risks of material misstatement ofi the financial statements, whether due to fraud or error, and design and perform audit procedures responsive to those risks. Such procedures include examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the CRA's internal control. Accordingly, no such opinion is expressed. Evaluate the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluate the overall presentation of the financial statements. Conclude whether, in our judgment, there are conditions or events, considered in the aggregate, that raise substantial doubt about the CRA's ability to continue as a going concern for a reasonable period of time. We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, significant audit findings, and certain internal control-related matters that we identified during the audit. Required Supplementary Information Accounting principles generally accepted in the United States of America require that the management's discussion and analysis and budgetary comparison schedule, as listed in the table of contents, be presented to supplement the basic financial statements. Such information, although not a part of the basic financial statements, is required by the Governmental Accounting Standards Board, who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic, or historical context. We have applied certain limited procedures to the required supplementary information in accordance with auditing standards generally accepted in the United States of America, which consisted of inquiries of management about the methods of preparing the information and comparing the information for consistency with management's responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic 31 financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance. Other Reporting Required by Government, Auditing Standards In accordance with Government Auditing Standards, we have also issued our report dated January 5, 2025, on our consideration ofthe CRA'si internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements and other matters. The purpose of that report is to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards in considering CRA's internal control over financial reporting and compliance. Vane CR2 LLC Apalachicola, Florida Vance CPA LLC January 5, 2025 32 PORT ST.JOE COMMUNITY REDEVELOPMENT AGENCY (A Component Unit ofthe City of Port St. Joe, Florida) FOR THE YEAR ENDED SEPTEMBER 30, 2024 MANAGEMENTS DISCUSSION AND ANALYSIS This section of the report presents our discussion and analysis of the performance of the Port St. Joe Community Redevelopment Agency (the "CRA") during the year ended September 30, 2024. Please read it in conjunction with the CRA's financial statements, which follow this section. Financial Highlights The assets of the CRA exceeded its liabilities at the close ofthe most recent fiscal year by $401,922 (net position). The entire net position is included in the restricted category. The CRA' 's total net position increased by $58,174 over the course oft this year's operation primarily caused by budgeted spending in redevelopment programs. Overview of the Financial Statements The financial section ofthis annual report consists of two parts: (1) management': s discussion and analysis (this section), and (2) the basic financial statements. Basic Financial Statements Government-wide, financial statements. The focus of the NA..we is on the overall financial position and activities of the CRA. Reporting is similar to that of a private-sector business. The government-wide: financial statements report information about the CRA as a whole and about its activities in a way that helps answer questions about the financial health of the CRA and whether the activities of the year contributed positively or negatively to that health. The government-wide financial statements include the statement of net position and statement of activities. The Statement ofNet Position presents information on the assets held and liabilities owed by the CRA, both long- and short-term. Assets are reported when acquired and liabilities are reported when they are incurred, regardless of the timing of the related cash flows to acquire these assets or liquidate such liabilities. The difference between the CRA's total assets and total liabilities is net position. Over time, increases or decreases in net position may serve as a useful indicator of whether the financial position of the CRA is improving or deteriorating. Although the purpose of the CRA is not to accumulate net position in general, as this amount increases, it indicates that the financial position of the CRA is improving over time. The Statement ofActivities presents the revenues and expenses ofthe CRA. The items presented on the statement of activities are measured in a manner like the approach used in the private sector in that revenues are recognized when earned and expenses are reported when incurred. Accordingly, revenues are reported even when they may not be collected for several months after the end of the accounting period and expenses are recorded even though they may: not have used cash during the current period. 4 33 PORT ST.. JOE COMMUNITY REDEVELOPMENT AGENCY (A Component Unit ofthe City of Port St. Joe, Florida) FOR THE YEAR ENDED SEPTEMBER 30, 2024 MANAGEMENTS DISCUSSION AND ANALYSIS Both ofthe govermment-wide financial statements distinguish functions ofthe CRA that are principally supported by taxes and intergovernmental revenue (governmental activities). The governmental activities of the CRA are mainly economic environment activities. Fundj financial statements. The focus of fund financial statements is directed to specific activities of the CRA. The CRA, like other state and local governments, uses fund accounting to ensure and demonstrate compliance with finance-related legal requirements. Governmental, fund. The CRA has only one governmental fund, a General Fund. Financial statements consist of a balance sheet and a statement of revenue, expenditures, and change in fund balance. These statements are prepared on an accounting basis that is significantly different from that used to prepare the government-wide financial statements. In general, these financial statements have a short-term emphasis and, for the most part, measure and account for cash and other assets that can easily be converted to cash. For example, amounts reported on the balance sheet include items such as cash and receivables but do not include capital assets such as land and buildings. The difference between a fund'st total assets and total liabilities is the fund balance, and generally indicates the amount that can be used to finance thei next fiscal year's activities. The operating statement for governmental funds reports only those revenues that were collected during the current period or very shortly after the end of the year. Expenditures are generally recorded when incurred. For the most part, the balances and activities accounted for in governmental funds are also reported in the governmental activities columns of the government-wide financial statements. However, because different accounting bases are used to prepare governmental fund finançial statements and government-wide financial statements, there are often significant differences between the totals presented. For this reason, there is an analysis after the governmental fund balance sheet that reconciles the total fund balance for the governmental fund to the amount of net position presented in the governmental activities column on the statement of net position. Also, there is an analysis after the statement of revenue, expenditures, and changes in fund balance that reconciles the total change in fund balance for the General Fund to the change in net position as reported in the governmental activities column in the statement of activities. Notes to the basic financial statements. The notes provide additional information that is essential to a full understanding oft the data provided in the government-wide and fund financial statements. 5 34 PORT ST. JOE COMMUNITY REDEVELOPMENT AGENCY (A Component Unit ofthe City of Port St. Joe, Florida) FOR THE YEAR ENDED SEPTEMBER 30, 2024 MANAGEMENTS DISCUSSION AND ANALYSIS Goyernment-Wide Financial Analysis The table below presents a summary of net position as of September 30, 2024 and 2023, derived from the government-wide statement of net position: Statement of Net Position 2024 2023 Change Current Assets $ 177,438 $ 112,438 $ 65,000 Capital Assets 224,484 234.860 (10.376) Total Assets 401.922 347,298 54,624 Long-term Liabilities 1,775 1,775 Other Liabilities Total Liabilities 1.775 1,775 Restricted 401,922 345,523 56.399 Total Net Position ) 401,922 $ 345,523 $ 56,399 As noted earlier, net position may serve, over time, as a useful indication ofthe CRA's financial position. Atthe close of the most recent fiscal year, the CRA' 's assets exceeded its liabilities by $401,922. The entire net position of the CRA is restricted for Community Redevelopment. The table below presents a summary of changes in net position for the years ended September 30, 2024 and 2023, as derived from the government-wide statement of activities: Statement of Activities 2024 2023 Change Revenues Property Tax Assessments $ 26,096 $ 22,936 $ 3,160 Intergovemmental 45,182 41,615 3,567 Investment Income and miscellaneous 8.894 679 8.215 Total Revenues 80.172 65.230 14.942 Expenses Economic Environment (21.998) (16.057) (5.941) Total Expenses (21.998) (16,057) (5.941) Change in Net Position 58,174 49,173 9,001 Beginning Net Position 343.748 296.350 47.398 Ending Net Position $ 401,922 $ 345,523 $ 56,399 6 35 PORT ST.JOE COMMUNITY REDEVELOPMENT AGENCY (A Component Unit ofthe City of] Port St. Joe, Florida) FOR THE YEAR ENDED SEPTEMBER 30, 2024 MANAGEMENT'S DISCUSSION AND ANALYSIS Governmental activities Governmental activities increased the CRA's net position by $58,174, while in 2023 there was an increase of $49,173. This was primarily caused by a reduction in economiç environment spending. Financial Analysis of the CRA General Fund As noted earlier, the CRA uses fund accounting to ensure and demonstrate compliance with finance-related legal requirements. The focus of the CRA's General Fund is to provide information on near-term inflows, outflows and balances of spendable resources. Such information is useful in assessing the CRA's financing requirements. In particular, the find balance at year-end provides the: resources available for spending. Budgetary Highlights There was no difference between the CRA's original budget and the final budget. During the fiscal year, the CRA budget included $0 related to downtown improvements and façade grants. Capital Assets The CRA's investment in fixed assets for its governmental activities as of September 30, 2024 amounts to $224,484 (net of accumulated depreciation). This investment in capital assets includes improvements. Economic Factors and Next Year Budget and Rates In September 2024 the CRA Board and City Council approved a 2025 budget similar to the 2024 budget. Expenditures are budgeted for economic environment costs. Request for Information This financial report is designed to provide a general overview of the City of Port St. Joe, Florida's finances for those with an interest in the City's finances. Questions concerning any of the information provided in this report or requests for additional financial information should be addressed to City of Port St. Joe, P. O. Box 278, Port St. Joe, Florida 32457. 7 3b PORT ST.JOE COMMUNITY REDEVELOPMENT AGENCY (A Component Unit of the City of Port St. Joe, Florida) SEPTEMBER 30, 2024 STATEMENT OF NET POSITION AND GOVERNMENTAL FUND BALANCE SHEET General Adjustment Statement Fund (Note 7) of Net Position ASSETS Current Assets Cash and cash equivalents $ 177,438 $ $ 177,438 Capital assets: Depreciable, net 224,484 224,484 Total Assets 177,438 224.484 401,922 FUND BALANCES/NET POSITION Fund balances: Restricted for community redevelopment 177,438 (177.438) Total Fund Balances 177,438 (177.438) Total Liabilities and Fund Balances $ 177,438 NET POSITION Investment in capital assets 224,484 224,484 Restricted for: Community Redevelopment 177.438 177.438 Total Net position $ 401,922 $ 401,922 See accompanying notes to the basic financial statements 8 37 PORT ST.JOE COMMUNITY REDEVELOPMENT AGENCY (A Component Unit ofthe City of Port St. Joe, Florida) YEAR ENDED SEPTEMBER 30, 2024 STATEMENT OF ACTIVITIES AND GOVERNMENTAL FUND REVENUES, EXPENDITURES, AND CHANGE IN FUND BALANCES General Adjustment Statement Fund (Note 7) of Net Position REVENUES Property taxes $ 26,096 $ $ 26,096 Intergovernmental revenue tax increment financing 45,182 45,182 Investment income 7.119 1.775 8.894 Total Revenues 78.397 1,775 80,172 EXPENDITURES/EXPENSES Economic Environment 11,622 11,622 Depreciation 10,376 10.376 Total Expenditures 11,622 10,376 21,998 Excess (deficiency) of revenues over (under) expenditures 66.775 (8.601) 58.174 Net change in fund balances /Net position 66.775 (8.601) 58.174 FUND BALANCES/NET POSITION Beginning of the year 110.663 233.085 343.748 End of the year $ 177,438 $ 224,484 $ 401,922 See accompanying notes to the basic financial statements 9 38 PORT ST., JOE COMMUNITY REDEVELOPMENT AGENCY (A Component Unit of the City of Port St. Joe, Florida) NOTES TO FINANCIAL STATEMENTS NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES A. Financial Reporting Entity The Port St. Joe Community Redevelopment Agency (the "CRA") is governed by a board consisting of five commissioners who are the same individuals as those serving as the City of Port St. Joe (the "City") City Council. The terms of office ofthe commissioners are concurrent with the terms ofthe Mayor and the members of the City Council Chair and Vice-Chair are designated by a majority vote of the City Council. The CRA was created in 1999 by Resolutions 198, as adopted by the City Council on January 5, 1999, in accordance with Section 163.356 oft the Florida Statutes. The boundaries of the CRA district were determined at the time it was created and are shown on the CRA District Map. Florida State Statute Chapter 163 allows a community redevelopment agency to be created for one or more oft the following purposes: the elimination and prevention ofblight; the reduction or prevention of crime; the provision of affordable housing; or the rehabilitation and revitalization of coastal resort and tourist areas that are deteriorating and economically distressed. The primary goal of the CRA is to provide at tool that will guide private and public initiatives for creating economic development, improved physical characteristics, encourage investment in Downtown Port St. Joe, improve the quality oflife for residents, and establish a framework for the proper evolution of the CRA District. The CRA is a separate entity from the City. However, the City Council ofthe City ofl Port St. Joe serves as the CRA Board and performs the legislative functions, governing duties and corporate responsibilities of the agency. The Finance Officer serves as the executive director of the agency, performs the administrative duties and oversees the day to day operations of the agency. B. Goyernment-wide and Fund Financial Statements The CRA has only governmental activities and only one function, and, as such, it is eligible for special- purpose financial statement presentation; accordingly, the government-wide financial statements are presented together with the governmental fund financial statements, described below, with an adjustment column presented to reconçile the two sets of statements. C.N Measurement Focus, Basis of Accounting and Financial Statement Presentation Governmental Fund Financial Statements - The CRA has one governmental fund type, which is the General Fund. The General Fund is the primary operating fund used to account for all resources and operations. Governmental funds are accounted for one a "spending" or "financial flow" measurement focus. This means that only current assets and current liabilities are generally included on the balance sheet. Governmental fund operating statements present increases (revenues and other financing sources) and decreases (expenditures and other financing uses) in net current position. The government-wide financial statements are reported using the economic resources measurement focus and the accrual basis of accounting. Revenues are recorded when earned, and expenses are recorded when a liability is incurred, regardless of the timing of related cash flows. Property taxes are recognized as revenues in the year for which they are levied. 10 39 PORT ST.JOE COMMUNITY REDEVELOPMENT AGENCY (A Component Unit of the City of Port St. Joe, Florida) NOTES TO FINANCIALSTATEMENTS NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) Governmental fund financial statements are reported using the current financial resources measurement focus and the modified accrual basis of accounting. Revenues are recognized when they are both measurable and available. Revenues are considered to be available when they are collectible within the current period or soon enough thereafter to pay liabilities of the current period. For this purpose, the CRA considers revenues to be available if they are collected within 65 days of the end of the current period. Expenditures generally are recorded when a liability is incurred. Property taxes associated with the current fiscal period are all considered to be susceptible to accrual and SO have been recognized as revenues ofthe current fiscal period and are recognized as revenue when the amount is received within the availability period which is limited to 60 days after the end of the fiscal year. D. Deposits The CRA considers cash on hand, cash with fiscal agents, and overnight investments with original maturities of less than three months to be cash and cash equivalents. The CRA also maintains its own bank account which is used for the majority of CRA transactions. E. Receivables Receivables consist oftrade receivables and amounts due from other governments and are recorded net of any allowance for uncollectible amounts, if applicable. F. Capital Assets Capital assets, which include improvement are reported in the applicable governmental activities columns in the government-wide financial statements. Property, plant, and equipment with initial individual costs that exceed $5,000 and estimated useful lives in excess of one year are recorded as capital assets. Infrastructure such as roads, bridges and sidewalks are capitalized when their initial costs exceed $10,000 and possess estimated useful lives in excess of one year. Capital assets are recorded at historical cost whether purchases or constructed or estimated cost ifhistorical cost is unknown. Donated capital assets are recorded at estimated fair market value at the date of donation. The costs of normal maintenance and repair that do not add to the value of the asset or materially extend its useful life are: not capitalized. Depreciation is recorded on the straight-line basis over the estimated useful lives of assets generally as follows: Furniture, equipment, machinery and vehicles 3-20 Years 11 40 PORT ST.JOE COMMUNITY REDEVELOPMENT AGENCY (A Component Unit of the City of Port St. Joe, Florida) NOTES TO FINANCIALSTATEMENTS NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) G. Long-Term Obligations There are no long-term debt obligations reported by the CRA as of September 30, 2024. H. Fund Balance/Net Position In fund financial statements, the General Fund reports fund classifications that comprise a hierarchy based primarily on the extent to which the CRA is bound to honor constraints imposed on the use of resources reported. Amounts that are restricted to specific purposes either by: (a) constraints placed on the use of resources by creditors, grantors, contributors, or laws or regulations of other governments, or (b) imposed by law through constitutional provisions or enabling legislation are classified as restricted fund balances. Amounts that can only be used for specific purposes pursuant to constraints imposed by the Board ofl Directors through a resolution are classified as committed fund balances. These constraints remain binding unless removed or changed in the same manner employed to commit those resources by resolution. Amounts that are constrained by the CRA's intent to be used for specific purposes, however, are: neither restricted, nor committed are classified as assigned fund balances. Assignments are approved by the Executive Director. Non-spendable fund balances include amounts that cannot be spent because they are either: (a) not in spendable form, or (b) legally or contractually required to be maintained intact. Unassigned fund balance represents an amount that has not been restricted, committed, or assigned to specific purposes within the General Fund. When both restricted and unrestricted fund balances are available for use, it is the CRA's policy to use restricted fund balance first, then unrestricted fund balance. Furthermore, committed fund balances are reduced first, followed by assigned amounts, and then unassigned amounts when expenditures are incurred for purposes for which amounts in any ofthose unrestricted fund balance classifications can be used. Net position of the government-wide financial statements are categorized as net investment in capital assets, restricted or unrestricted. The first category represents capital assets net of accumulated depreciation, less outstanding debt related to the acquisition or construction of the capital assets. The restricted category, if any, represents the balance of assets restricted by requirements of revenue bonds and other externally imposed constraints or by legislation. Unrestricted net position represents resources that are available for spending. I. Budgetary Data On or before September 1 each year, the Port St. Joe Community Redevelopment Manager submits to the City Council a proposed operating budget for the fiscal year commencing October 1. A public hearing is conducted at City Hall to obtain taxpayer comments. Prior to October 1, the budget is legally enacted through passage of an ordinance. Annual budgets are adopted for the General Fund on a basis consistent with generally accepted accounting principles. All annual appropriations lapse at the end of each fiscal year for these funds. 12 41 PORT ST. JOE COMMUNITY REDEVELOPMENT AGENCY (A Component Unit oft the City ofPort St. Joe, Florida) NOTES TO FINANCIALSTATEMENTS NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) Budgetary control is maintained at the department level. The CRA Manager is permitted to transfer appropriations between line items within the General Fund. All other types of budget transfers or amendments must be approved by the City Council. Expenditures may not legally exceed budgeted appropriations at the department level. J. Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and deferred outflows ofresources, and liabilities and deferred inflows ofresources, and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenditures during the reporting period. Actual results could differ from those estimates. NOTE 2 - TAX INCREMENT REVENUE The primary source ofrevenue is tax increment funds received through the City of] Port St. Joe and Gulf County. The revenue from the City is treated as property taxes, while the remainder is recorded as intergovermental revenue tax increment financing. NOTE 3 - DEPOSITS AND INVESTMENTS At September 30, 2024, the bank balances, net of reconciling items, of the CRA's deposits were $177,438. All ofthe CRA's public deposits are held in qualified public depositories pursuant to Florida Statutes, Chapter 280, Florida Security for Public Deposits Act. Under the Act, all qualified public depositories are required to pledge eligible collateral having a market value equal to or greater than the average daily or monthly balance of all public deposits, times the depository's collateral pledging level. The pledging level may vary depending upon the depository's financial condition and establishment period. All collateral must be deposited with an approved financial institution. Any losses to public depositors are covered by applicable deposit insurance, sale of securities pledged as collateral and, if necessary, assessments against other qualified public depositories of the same type as the depository in default. When public deposits are made in accordance with Chapter 280, no public depositor shall be liable for any loss thereof. 13 42 PORT ST. JOE COMMUNITY REDEVELOPMENT AGENCY (A Component Unit of the City of Port St. Joe, Florida) NOTES TO FINANCIAL STATEMENTS NOTE 4- CONTINGENT LIABILITIES The CRA sometimes receives revenues from various federal grants. These grants would be for specific purposes and would be subject to review and audit by the grantor agencies. Such audits could result in disallowed expenditures under the terms of the grants. No such grants were received during the year ended September 30, 2024. Based upon prior experience, CRA management believes such disallowances, if any, would be immaterial. NOTE 5- RISK MANAGEMENT The CRA is exposed to various risks of loss, including general liability, personal injury, workers compensation, and errors and omissions. To manage its risks, the CRA has purchased commercial insurance. NOTE 6 -SUBSEQUENT EVENTS The CRA has evaluated all subsequent events through January 5, 2025, the date the finançial statements were available to be issued. NOTE 7 RECONCILIATION OF GOVERNMENI-WIDE AND FUND FINANCIAL STATEMENTS Adjustments were made to include capital assets (net of accumulated depreciation) on the statement of net position. This resulted in a net difference between the ending General Fund balances and the total net position of $401,922. Total fund balance $ 177,438 Capital assets, net 224,484 Total net position S 401,922 Adjustments were made to include depreciation expense and eliminate capital outlay expenditures, if any, on the statement of activities. This resulted in a net difference between excess revenues over expenditures" and change in net position" of $58,174. Excess of revenues over expenditures $ 68,550 Less: depreciation expense (10.376) Change in net position $ 58.174 14 43 PORT ST.JOE COMMUNITY REDEVELOPMENT AGENCY (A Component Unit of the City ofl Port St. Joe, Florida) NOTES TO FINANCIALSTATEMENTS NOTE 8 - CAPITAL ASSETS The following is a summary of changes in the CRA's capital assets during the fiscal year ended September 30, 2024: Additions Deletions Balance and and Balance 10/01/2023 Transfers Transfers 10/30/2024 Governmental Activities Capital assets being depreciated Improvements $ 380.124 $ $ $ 380,124 Less Accumulated (145,264) (10,376) (155,640) Total capital assets being depreciated 234.860 (10.376) 224,484 Total capital assets $ 234,860 $ (10.376) $ $ 224,484 Depreciation expense amounted to $10,376 during fiscal year 2024, which is included on the statement of activities. 15 44 REQUIRED SUPPLEMENTARY INFORMATION 4S PORT ST.JOE COMMUNITY REDEVELOPMENT AGENCY (A Component Unit ofthe City of Port St. Joe, Florida) YEAR ENDED SEPTEMBER 30, 2024 SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE - BUDGET TO ACTUAL Variance with Final Budget Amounts Actual Budget Positive Original Final Amounts (Negative) Revenues: Property taxes $ 26,096 $ 26,096 $ 26,096 $ Intergovernmental - Tax increment financing 45,051 45,051 45,182 131 Investment earnings and other 7.119 7.119 Total revenues 71,147 71,147 78.397 7.250 Expenditures: Current Economic environment 35,820 35.820 11,622 24.198 Total expenditures 35.820 35,820 11,622 24.198 Net change in fund balance 35,327 35,327 66,775 31,448 Fund balance - beginning 110.663 110.663 110.663 Fund balance - ending $ 145,990 $ 145,990 $ 177.438 $ 31,448 See accompanying notes to the basic financial statements. This schedule is prepared on the basis of generally accepted accounting principles. 17 4b COMPLIANCE SECTION 47 Vance CPALLC Certified. Public. Accountants 219-B Avenue E. Apalachicola, FL3 32320 Phone (706)278-1221 Fax 800)-532-1015 ben@vancecpa.com INDEPENDENT AUDITORS' REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER MATTERS BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS Board of Directors and Executive Director Port St. Joe Community Redevelopment Agency City of Port St. Joe, Florida We have audited, in accordance with the auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States, the financial statements of the governmental activities, and major fund, of the Port St. Joe Community Redevelopment Agency, (the "CRA"), as ofand for the year ended September 30, 2024, and the related notes to the financial statements, which collectively comprise the CRA' s basic financial statements, and have issued our report thereon dated January 5, 2025. Internal Control Over Financial Reporting In planning andj performing our audit ofthe financial statements, we considered the CRA'sinternal control over financial reporting (internal control) to determine the audit procedures that are appropriate in the circumstances for the purpose of expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the CRA's internal control. Accordingly, we do not express an opinion on the effectiveness of the CRA's internal control. A deficiency in internal control exists when the design or operation of a control does not allow management or employees, in the normal course ofperforming their assigned functions, to prevent, or detect and correct, misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in internal control, such that there is a reasonable possibility that a material misstatement of the entity's financial statements will not be prevented, or detected and corrected on a timely basis. A significant deficiency is a deficiency, or a combination of deficiencies, in internal control that is less severe than a material weakness, yet important enough to merit attention by those charged with governance. Our consideration ofinternal control over financial reporting was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control that might be material weaknesses or, significant deficiencies. Given these limitations, during our audit we did not identify any deficiencies in internal control that we consider to be material weaknesses. However, material weaknesses may exist that have not been identified. 19 48 Compliance and Other Matters As part of obtaining reasonable assurance about whether the CRA's financial statements are free from material misstatement, we performed tests ofits compliance with certain provisions oflaws, regulations, contraçts, and grant agreements, noncompliance with which could have a direct and material effect on the determination of financial statement amounts. However, providing an opinion on compliance with those provisions was not an objective of our audit, and accordingly, we do not express such an opinion. The results of our tests disclosed no instance ofr noncompliance or other matters that are required to be reported under Government Auditing Standards. Pursuant to provisions for Chapter 10.550, Rules of the Auditor General, we reported certain matters to management of the CRA in a separate management letter and Independent Auditor's Report dated January 5, 2025. Purpose of this Report The purpose of this report is solely to describe the scope of our testing of internal control and compliance and the results ofthat testing, and not to provide an opinion on the effectiveness ofthe entity's internal control or on compliance. This report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the entity's internal control and compliance. Accordingly, this communication is not suitable for any other purpose. Vane CRR LLC Apalachicola, Florida Vance CPA LLC January 5, 2025 20 49 Vance CPALLC Certified Public. Accountants 219-B Avenuel E. Apalachicola, FL3 32320 Phone (706)278-1221: Fax (800)-532-1015 ben@vancecpa.com INDEPENDENT AUDITORS' REPORT ON INVESTMENT COMPLIANCE WITH SECTION 218.415, FLORIDA STATUTES Board of Directors and Executive Director Port St. Joe Community Redevelopment Agency City of Port St. Joe, Florida We have examined Port St. Joe Community Redevelopment Agency's, (the "CRA"), compliance with Section 218.415, Florida Statutes, regarding the investment of public funds during the year ended September 30, 2024, as required by Section 10.556(10)(a) Rules of the Auditor General. Management is responsible for the CRA's compliance with those requirements. Our responsibility is to express an opinion on the CRA's compliance based on our examination. Our examination was conducted in accordance with attestation standards established by the American Institute of Certified Public Accountants and, accordingly, included examining, on a test basis, evidence about the City's compliance with those requirements and performing such other procedures as we considered necessary in the circumstances. We believe that our examination provides a reasonable basis for our opinion. Our examination does not provide a legal determination on the CRA's compliance with specified requirements. In our opinion, the CRA complied, in all material respects, with the aforementioned requirements for the year ended September 30, 2024. This report is intended solely for the information and use of the City and the Auditor General, State of Florida, and is not intended to be and should not be used by anyone other than these specified parties. Vaner CR2 LLC Apalachicola, Florida Vance CPA LLC January 5, 2025 21 50 Vance CPA LLC Certified PublicAccoumtants 219-B Avenuel E. Apalachicola, FL32320 Phone (706)278-1221 Fax (800)-532-1015 ben@vancecpa.com: INDEPENDENT AUDITORS' MANAGEMENT LETTER REQUIRED BY CHAPTER 10.550, RULES OF THE STATE OF FLORIDA OFFICE OF THE AUDITOR GENERAL Board of Directors and Executive Director Port St. Joe Community Redevelopment Agency City of Port St. Joe, Florida Report on the Financial Statements We have audited the basic financial statements of the Port St. Joe Community Redevelopment Agency (the CRA), as of and for the fiscal year ended September 30, 2024, and have issued our report thereon dated January 5, 2025. Auditor's Responsibility We conducted our audit in accordance with auditing standards generally accepted in the United States of America; the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General ofthe United States; and Chapter 10.550, Rules ofthe Florida Auditor General. Other Reporting Requirements We have issued our Independent Auditors' Report on Internal Control over Financial Reporting and Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards; and Independent Accountants' Report on an examination conducted in accordance with AICPA. Professional Standards, AT-C Section 315, regarding compliance requirements in accordance with Chapter 10.550, Rules of the Auditor General. Disclosures in those reports, which are dated January 5, 2025, should be considered in conjunction with this management letter. Prior Audit Findings: Section 10.554(1)()1., Rules of the Auditor General, requires that we determine whether or not corrective actions have been taken to address findings and recommendations made in the preceding annual financial audit report. There were no prior findings and recommendations in the preceeding audit report. 22 51 Official Title and Legal Authority Section 10.554(1)()4., Rules of the Auditor General, requires that the name or official title and legal authority for the primary government and each component unit of the reporting entity be disclosed in this management letter, unless disclosed in the notes to the financial statements. The legal authority for the CRA is disclosed in Note 1 of the basic financial statements. Financial Condition and Management Sections 10.554(1)0)5.a. and 10.556(7), Rules of the Auditor General, require us to apply appropriate procedures and communicate the results of our determination as to whether or not the CRA has met one or more of the conditions described in Section 218.503(1), Florida Statutes, and to identify the specific conditions met. In connection with our audit, we determined that the CRA, did not meet any of the conditions described in Section 218.503(1), Florida Statutes. Pursuant to Sections 10.554(1)()5.b. and 10.556(8), Rules of the Auditor General, we applied finançial condition assessment procedures for the CRA. It is management's responsibility to monitor the CRA's financial condition, and our financial condition assessment was based in part on representations made by management and the review of financial information provided by same. Section 10.554(1)()2., Rules of the Auditor General, requires that we communicate any recommendations to improve financial management. In connection with our audit, we had no such recommendations. Special District Component Units Section 10.554(1)0)5.C., Rules of the Auditor General, requires, if appropriate, that we communicate the failure of a special district that is a component unit of a county, municipality, or special district, to provide the financial information necessary for proper reporting of the component unit within the audited financial statements of the county, municipality, or special district in accordance with Section 218.39(3)(b), Florida Statutes. In connection with our audit, we did not note any special district component units; therefore, we did not note any such component units that failed to provide the necessary information, nor is any specific special district information required to be reported. Specific Special District Information Ther required reporting items in accordance with Section 218.39(3)(c), Florida Statutes for the CRA have been reported in the separately-issued audited financial statements of the CRA. The following items have been provided to us to comply with state reporting requirements and have not been audited by us. We did not audit the following information within this section, nor were we required to perform any procedures to verify the accuracy or the completeness of the information provided by management. We do not express an opinion, a conclusion, nor provide any form of assurance on this data. As required by Section 218.39(3)(c), Florida Statutes, and Section 10.554(1)()6, Rules of the Auditor General, the CRA reported the following unaudited data: 23 52 a) The total number of district employees compensated in the last pay period of the district' S fiscal year: -0-. b) The total number of independent contractors to whom nonemployee compensation was paid in the last month of the district's fiscal year: -0-. c) All compensation earned by or awarded to employees, whether paid or accrued, regardless of contingency: $-0-. d) All compensation earned by or awarded to nonemployee independent contractors, whether paid or accrued, regardless of contingency: $-0-. e) Each construction project with a total cost of at least $65,000 approved by the district that is scheduled to begin on or after October 1 of the fiscal year being reported, together with the total expenditures for such project as: a. None f) A budget variance based on the budget adopted under Section 189.016(4), Florida Statutes, before the beginning of the fiscal year being reported if the district amends a final adopted budget under Section 189.016(6), Florida Statutes, as follows: no amendments to original budget. AdditionalMatters Section 10.554(1)()3., Rules of the Auditor General, requires us to communicate noncompliance with provisions of contracts or grant agreements, or abuse, that have occurred, or are likely to have occurred, that have an effect on the financial statements that is less than material but which warrants the attention ofthose charged with governance. In connection with our audit, we did not have any such findings. Purpose of this Letter Our management letter is intended solely for the information and use of the Legislative Auditing Committee, members of the Florida Senate and Florida House of Representatives, the Florida Auditor General, Federal and other granting agencies, the CRA's governing board and applicable management, and is not intended to be and should not be used by anyone other than these specified parties. Vaner CR2 LLC Apalachicola, Florida Vance CPA LLC January 5, 2025 24 53 Vance CPA LLC Certified. Public. Accountants 219-B Avenue E. Apalachicola, FL32320 Phone (706)278-1221 Fax 800)-532-1015 ben@vancecpa.com INDEPENDENT AUDITORS' EXAMINATION REPORT To the Board of] Directors and Executive Director Port St. Joe Community Redevelopment Agency City of Port St. Joe, Florida We have examined the Port St. Joe Community Redevelopment Agency 's (the CRA) compliance with Section 218.415, Florida Statutes, Local Government Investment Policies, and Sections 163.387(6) and (7), Florida Statutes, Redevelopment Trust Fund (collectively, the "Statutes"), for the year ended September 30, 2024. Management is responsible for the CRA's compliance with those requirements. Our responsibility is to express an opinion on the CRA's compliance based on our examination. Our examination was conducted in accordance with attestation standards established by the American Institute of Certified Public Accountants. Those standards require that we plan and perform the examination to obtain reasonable assurance about whether the CRA complied with the Statutes, for the year ended September 30, 2024, in all material respects. An examination involves performing procedures to obtain evidence about the CRA's compliance with those requirements. The nature, timing, and extent of the procedures selected depend on our judgment, including an assessment of risks of material noncompliance with those requirements, whether due to fraud or error. We believe that the evidence we obtained is sufficient and appropriate to provide a reasonable basis for our opinion. We are required to be independent and to meet our other ethical responsibilities in accordance with relevant ethical requirements relating to the examination engagement. In our opinion, the Port St. Joe Community Redevelopment Agency complied, in all material respects, with the Statutes for the year ended September 30, 2024. Vane CR2 LAC Vance CPA LLC January 5, 2025 Apalachicola, Florida 25 54