MINUTES OF THE SPECIAL SARASOTA COMMUNITY REDEVELOPMENT AGENCY MEETING OF JANUARY 4, 2010 PRESENT: Chair Richard Clapp, presiding, Vice Chair Kelly M. Kirschner, Members Fredd "Glossie" Atkins, Suzanne Atwell, and Terry Turner, Executive Director Robert J. Bartolotta, Attorney Robert M. Fournier, and Deputy Secretary Pamela M. Nadalini ABSENT: None The meeting of the Community Redevelopment Agency (CRA) was called to order by Chair Clapp at 2:39 p.m. 1. APPROVAL RE: MINUTES OF THE SPECIAL COMMUNITY REDEVELOPMENT AGENCY MEETING OF DECEMBER 7, 2009 (AGENDA ITEM CRA-1) Chair Clapp noted CRA consensus to approve the minutes of the Special CRA meeting of December 7, 2009. 2. REPORT RE: DOWNTOWN CRA ADVISORY BOARD'S REGULAR MEETING OF DECEMBER 17, 2009 (AGENDA ITEM CRA-2) Ron McCollough, former Chair and current member, Downtown Community Redevelopment Agency (CRA) Advisory Board, and Chief Planner Steven Stancel, Neighborhood and Development Services Department, came before the CRA. Mr. McCollough gave a report concerning the following items discussed at the December 17, 2009, Regular Downtown CRA Advisory Board meeting: An allocation of $832,750 in Tax Increment Financing (TIF) funds for the Downtown portion of the proposed wayfinding system, Approval of Suffolk Construction and Jonathon Parks Architects as the design/build team for construction of the Palm Avenue Parking Garage with a contract amount as negotiated, - Selection of Construction Option No. 1 for the Palm Avenue Parking Garage to not spend the additional monies required to allow the future expansion of three additional stories to the parking garage, and Exploration of alternative facade options for the Palm Avenue Parking Garage provided that any costs associated with a chosen redesign do not exceed the costs of the original proposed design. A motion was made by Vice Chair Kirschner, seconded by Member Atkins, and carried by a 5-0 vote to receive the report of the December 17, 2009, Downtown Community Redevelopment Agency Advisory Board meeting. 3. APPROVAL RE: REQUEST TO ALLOCATE $832,750 IN TAX INCREMENT FINANCING FUNDS IN ORDER TO IMPLEMENT PHASES I, I, AND III OF THE WAYFINDING SYSTEM FOR THE DOWNTOWN COMMUNITY REDEVELOPMENT AREA (AGENDA ITEM CRA-3) Chief Planner Steven Stancel, and Senior Planner Clifford Smith, Neighborhood and Development Services Department, came before the CRA. Mr. Stancel stated that the Downtown CRA Advisory Board reviewed the latest report of Phase 1, parking, pedestrian, and Downtown trailblazer signs, Phase 2, vehicular directional signs, and Phase 3, gateway signs, of the Wayinding system; that the most recent budget for the wayfinding system is approximately $1.4 million; that Staff attempted to extrapolate the amount directly related to the Downtown Community Redevelopment Area; that the estimated cost for the Downtown Community Redevelopment Area is Book 3 Page 31684 01/04/10 2:30 P.M. Book 3 Page 31685 01/04/10 2:30 P.M. approximately $832,750; that Staff suggested the CRA Advisory Board allocate $832,750 in Tax Increment Financing (TIF) funds for the wayfinding system; that the Downtown Improvement District (DID) indicated an interest in paying the remaining $40,000 balance for the wayfinding system; that approximately $583,000 remains as an unmet need for the wayfinding syste,; therefore, Staff is seeking grant funds such as scenic highway funds and center for disease control funds as well as other funds to meet the unmet need of $583,000; and gave a presentation concerning the proposed timeline for the installation of the wayfinding signs in the Downtown Community Redevelopment Area. Mr. Smith answered CRA questions concerning the inclusion of decorative jewelry on wayfinding signs located on high speed roads, the price difference between the two final design options, the percentage of wayfinding signs with decorative jewelry, the status of the inclusion of the City logo on gateway signs, the designation of Bobby Jones Golf Course as a City destination on the wayfinding signs, and placement of al Downtown Sarasota marker at Exit 75A on Interstate 75. A motion was made by Member Atwell, seconded by Vice Chair Kirschner, and carried by a 5-0 vote to approve an allocation of $832,750 in Tax Increment Financing (TIF) funds for the Downtown portion of the proposed wayfinding system. 4. APPROVAL RE: SELECTION OF THE PALM AVENUE PARKING GARAGE DESIGN/BUILD TEAM PER REQUEST FOR PROPOSAL (RFP #09-67K) (AGENDA ITEM CRA-4) Chief Planner Steven Stancel, Neighborhood and Development Services Department, came before the CRA and stated that Staff is seeking approval to select the design/build team for the Palm Avenue Parking Garage; that further direction on the construction and facade options from the Commission is necessary; and gave a presentation concerning the history of the Palm Avenue Parking Garage (parking garage), the process for the design/build Request for Proposals (RFP), the creation of a five-member evaluation committee with the members identified in the December 29, 2009, Memorandum from Mr. Stancel to the CRA which is included in the Agenda backup material, the selection process for the design/build team, and concepts of the proposal submitted by Suffolk Construction. Mr. Stancel stated that the guaranteed maximum price (GMP) proposed by Suffolk Construction is within the City's budget; that Suffolk Construction proposes to use a large number of local contractors, has contracted with the Suncoast Workforce Board for local screening, recruiting, and training, and pledges to meet the full requirements of the Minority Business Enterprise (MBE) participation process; that the proposal includes the following two options in addition to an option to further explore alternative facade parameters and options: Option 1: Construction of the parking garage in accordance with the criteria listed in the RFP and the original proposal or - Option 2: Construction of the parking garage providing for increased structural strength to accommodate up to 3 additional floors for future habitable space or parking decks. Mr. Stancel continued that the Commission will not be selecting a facade option at the current meeting but rather will be deciding whether to move forward with the originally proposed facade or direct the design/build team to return to the Commission in the future with alternative facade options; that Staff included in the RFP an option to allow the selected design/build team to present alternative facade options to the Commission or for the Commission to require the design/build team return with alternative facade options; that Staff has been negotiating a GMP for the construction of the parking garage since the selection of Suffolk Construction on September 2, 2009; that any cost for the construction of the parking garage or offsite improvements directly related to the construction of the parking garage exceeding the GMP will be the responsibility of the construction firm with the exception of the replacement of Florida Power and Light (FPL) underground lines and temporary service, the alley sewer line, and the water line for Palm Avenue; and gave a presentation concerning the cost for Options 1 and 2 including the three allowances included in the GMP. In response to a question by Vice Chair Kirschner asking who would be responsible for any cost exceeding the proposed amount of an allowance, Mr. Stancel stated that the City is responsible for any cost exceeding the proposed amount of an allowance; that any savings on the cost of an allowance will be returned to the City. Mr. Stancel gave a presentation concerning the estimated budget for the parking garage including additional costs for a security system, a parking management system, Leadership in Energy and Environmental Design (LEED) certification commissioning, construction management and threshold nspections, impact and connection fees, and contingency or miscellaneous costs which may arise for environmental issues, FPL relocation costs above allowance, utility upgrades, builder's risk insurance, and other costs. Jonathan Parks, Architect and Owner, and Chris Gallagher and Carter Schwartz, Architects, Jonathan Parks Architect, and Michael Beaumier Vice President, Suffolk Construction, came before the CRA. Mr. Gallagher gave a computer-generated presentation concerning the proposed design of the parking garage including the layout, visual access, the placement of trash containers, and reasons for selecting a cast-in-place parking garage rather than a pre-cast parking garage; and stated that Option 2 provides the potential to add three stories to the parking garage which could be used as either banquet rooms or additional parking spaces. Mr. Beaumier stated that Vice Chair Kirschner requested instances of expansion opportunities be presented to the CRA; and gave a computer-generated presentation concerning the following expansion opportunities of parking garages: Children's Hospital, the Lafayette Corporate Center, and Logan Airport in Boston, Massachusetts, the Fort Brooke Garage in Tampa, Florida, Newton-Wellesley Hospital in Newtown, Massachusetts, and the West Palm Beach County Courthouse in West Palm Beach, Florida. In response to a question by Member Atwell asking the impact of obtaining the LEED certification if Option 2 is selected, Mr. Beaumier stated that the carport with the solar panels would have to be relocated when expanding the parking garage; that no objections have been raised by the LEED certifying agency regarding the future expansion of the parking garage. Executive Director Bartolotta and Mr. Beaumier answered CRA questions concerning the LEED commissioning fee and the cost to expand in the future if Option 2 is not selected. In response to a question by Member Turner asking the payback period for a $125,000 expenditure for a solar carport, Mr. Beaumier stated that the payback period can range from 10 to 40 years; that the requested option currently being discussed with Staff is the potential for doing a lease back deal with a private developer for the installation of an entire photo voltaic system resulting in the City's receiving free electricity; that the City will be issued a credit for work to install an entire photo voltaic system if Suffolk Construction finds a proposal which meets the City's needs. Mr. Stancel and Mr. Beaumier answered CRA questions concerning the visibility of the parking garage roof from the condominiums located west of Palm Avenue and north of Main Street, the reason for including three allowances in the GMP, completion of a cast-in-place parking garage within the City's aggressive construction deadlines, and the establishment of late fees for not meeting the City's deadlines. Vice Chair Kirschner stated that he is glad Suffolk Construction is speaking with private developers who have proposed the lease back of a photo voltaic system; that one private developer proposed a $2 million installation at no cost to the City and will purchase back the excess electricity generated over a fixed period of time. Book 3 Page 31686 01/04/10 2:30 P.M. Book 3 Page 31687 01/04/10 2:30 P.M. Mr. Beaumier and Mr. Gallagher answered CRA questions regarding the possibility of adding loft-style apartments on the second level of the parking garage, the use of permeable pavers at the main entryway and the alleyways, and the visibility of steel cables from the condominiums on at least two sides of the parking garage. In response to a question by Vice Chair Kirschner asking if the parking garage will be visible from within Five Points Park, Mr. Parks stated no. Mr. Stancel, Mr. Beaumier, and Mr. Gallagher answered CRA questions concerning the use of light-emitting diode (LED) lighting in the parking garage and concerns expressed by the Evaluation Committee such as not meeting the City's aggressive construction schedule, street closure, and the proposed staging plan for the construction of the parking garage. Mr. Stancel stated that construction cannot begin prior to 6 a.m. and must be finished by 9 p.m. Monday through Friday and cannot begin prior to 9 a.m. and must be completed by 6 p.m. on the weekends. In response to a question by Member Turner asking if the $1,800 penalty was included in the RFP or if a greater penalty fee can be imposed, Attorney Fournier stated that the CRA would have to impose the penalty fee included in the RFP unless the developer is willing to sign a contract which includes a greater penalty fee. In response to a question by Member Turner asking who benefits from a lower cost than specified in the allowance, Mr. Beaumier stated that the City benefits from the lower cost. Mr. Gallagher stated that the great challenge with the City's rights-of-way is not having verifiable and documented proof of what is buried in the alleyways; that the hope is FPL has provided a conservative estimate for the cost to relocate the FPL lines. In response to a question by Member Turner asking when the CRA will be discussing alternative facades, Chair Clapp stated that the schedule provides for the CRA to first to select the design/build team and Option 1 or 2 and alternative facades will be discussed following the selections. Vice Chair Kirschner stated that a number of people signed up to speak with the belief the CRA would be deciding on a new design which has not been previously seen by the public; that Staff should explain the public process for input with the assumption the CRA would be moving forward with an alternative design which has not yet been presented. Member Turner left the Chambers at 4:07 p.m. and returned at 4:09 p.m. Mr. Parks stated that the design/build team noticed the proposed model looked like a parking garage when the design was first received; therefore, the design/build team would like to propose a new design for the parking garage; that the design/build team has made efforts to fix the originally proposed design; that the CRA should get behind the idea the parking garage does not have to look like a parking garage. Mr. Stancel stated that the City selected a preferred design concept to allow the City to compare bids equally; that the City had sufficient consensus that the community did not completely support the original concept; therefore, the City made a determination to hire a firm to begin engineering and designing the interior of the parking garage; that the selected firm now has 30 to 45 days to define the facade of the parking garage; that the idea is for the CRA to allow the design/build team to obtain community input within 30 to 45 days, vet different facade alternatives, and return to the CRA with one or two proposals for approval if the CRA directs the design/build team to provide alternative facades for the parking garage; that the CRA Advisory Board and Staff recommend the cost for alternative facades remain within the same financial parameters of the original proposal. Mr. Gallagher gave a presentation concerning the design of the building allowing different storefronts and the Sarasota City Code (1986 as amended) (City Code) requiring building openings such as windows and doors be square or vertical in proportion as opposed to horizontal. The following people spoke: Peter Fanning, representing the Downtown Sarasota Condominium Association, indicating condominium owners are relieved with some of the discussion heard and condominium owners want assurance the same process to obtain community input will be used when considering alternative facades for the parking garage. Ron Pearson, representing Service Painting of Florida, supporting hiring local employees and businesses for the construction of the parking garage and indicating he recently had to lay off 44 employees and the construction of a cast-in-place parking garage will help keep people from moving out of the City in search of employment opportunities. Richard Temple, representing Walter P. Moore and Suffolk Construction, indicating a cast-in-place parking garage is a higher quality and superior product, the maintenance of the parking garage will be less in the long term, the issues regarding the construction of the parking garage have been addressed appropriately, and the cast-in-place parking garage is endorsed. Robert Mandarine, representing Cemex, supporting the construction of a cast-in-place parking garage as the project will help keep the work and purchase of materials locally and indicating his company provides ready-mix materials and Cemex could use its own property for staging due to the close proximity. Jack Engel indicating the driveway of the Bay Plaza Condominiums will be facing 50 feet of wall of the parking garage, thanking the CRA for allowing a parking garage be made great as the City will have a parking garage which represents Sarasota, and indicating the parking garage will leave visitors with a positive impression of the City. Mary Anne Servian, representing the 1350 Main Street Condominiums, indicating the parking garage will be a scar to the 1350 Main Street Condominiums as headlights will be constantly beaming into the condominiums, property values of the 1350 Main Street Condominiums can be negatively impacted, the design of the Sarasota Memorial Hospital (SMH) parking garage should be considered and requesting the parking garage be masked, higher knee walls and grill work above the walls be used to help protect the property values of 1350 Main Street Condominiums, and the location of the refuse be considered. A motion was made by Member Atwell, seconded by Vice Chair Kirschner, and carried by a 5-0 vote to extend the meeting until 5 p.m. Eileen Hampshire, representing the Downtown Sarasota Alliance, indicating the Board of Directors of the Downtown Sarasota Alliance (DSA) voted unanimously to approve and support the functional design concept of the parking garage, the DSA supports the concerns regarding the exterior design of the parking garage expressed by residents, the DSA will continue to support the initiative contingent upon the design including a structural foundation which will support three additional levels for future development, the use of the cast-in-place construction method, the securing of a qualified construction management liaison to work with the DSA, Staff, and the project contractor, the establishment of a clearly defined and funded marketing and implementation strategy to minimize disruption to businesses, and the DSA represents more than 400 stakeholders with one voice including business and property owners, business professionals, corporations, and residents. Tom Wood, representing Ceco Concrete Construction, indicating Ceco Concrete Construction is part of the Suffolk Construction team and would be the concrete subcontractor for the project, the importance of building the parking garage using a local workforce and retaining as much money as possible for the Book 3 Page 31688 01/04/10 2:30 P.M. Book 3 Page 31689 01/04/10 2:30 P.M. project within the Sarasota community, and some preliminary meetings have been held in which an agreement has been reached to use the Suncoast Workforce Board to recruit and screen employees. Cedric Taylor, representing Taylor Testing Laboratories, indicating the involvement of Taylor Testing Laboratories has been involved in projects with Suffolk Construction and the Suncoast Workforce Board since June 2009 to help develop an on-the-job training program, he has previously seen a portion of funds return to a community from infrastructures but not go back directly into the community and agreed to work with Suffolk Construction when learning of the construction of the cast-n-place parking garage which will integrate a major portion of the local workforce, and the hope is to hire local personnel for the construction of the Palm Avenue Parking Garage which can later be assigned to other projects in Sarasota as additional contracts are awarded to Suffolk Construction and urging the CRA approve the contract between the City and Suffolk Construction to help generate local employment opportunities. A motion was made by Member Turner, seconded by Member Atwell, and carried by a 5-0 vote to award the contract for the design/build service to Suffolk Construction and authorize the City Manager to execute the final contract. Member Turner stated that he is having problems with supporting Option 2 as the hotel, office, and condominium markets are currently overdeveloped; that supporting an expenditure of approximately $600,000 during the current economy is difficult. Vice Chair Kirschner stated that the Palm Avenue Parking Garage will be part of the City's landscape for many years to come; that the hope is the hotel market will change within the next decade; that the expenditure of $600,000 at this time would be a wise expenditure for the future; that having the ability to expand the parking garage an additional three levels in the future is supported. Executive Director Bartolotta stated that Staff has had numerous discussions with architects and parking consultants regarding the future expansion of the parking garage prior to the issuance of the Request for Proposals (RFP); that the architects and parking consultants indicated expanding parking garages in the future is rare; that the CRA should remember the parking garage has 250 extra parking spaces which could accommodate parking for a hotel; that the CRA should ask the ikelihood of expanding the parking garage in the future; that the CRA must look at the long-term view as the parking garage will have a minimum life of 50 years; that the photo voltaic system will be precluded from being moved for the expansion if the CRA decides to install a photo voltaic system over the entire top level; that the ability to find someone to move the photo voltaic system in five to ten years will be difficult if the CRA moves forward with hiring a private venture capitalist group to install the photo voltaic system. Member Atwell stated that Option 1 is supported. Member Atkins stated that Option 1 is supported as the City has not yet exercised the available extension for additional parking at City Hall. A motion was made by Vice Chair Kirschner, seconded by Awell, and carried by a 5-0 vote to approve Option 1 and encouraging Staff and Suffolk Construction to continue to pursue the private venture capitalist group to include the solar array on the roof of the Palm Avenue Parking Garage. Member Turner stated that the City can design the Palm Avenue Parking Garage to a gold level Leadership in Energy and Environmental Design (LEED) certification standard rather than expending $60,000 for a commissioning fee as the Palm Avenue Parking Garage can still be built to the same standard. Chair Clapp stated that the Palm Avenue Parking Garage will be just another parking garage to the public ift the City does not expend $60,000 to receive the LEED certification. Vice Chair Kirschner stated that another possibility is meeting the Florida Green Building Coalition (FGBC) standards as the cost is a fracture of the cost of the LEED certification commissioning fee. Mr. Bartolotta stated that commissioning fees to obtain a LEED certification have reduced; that the commissioning fee was previously a 10 percent premium. Chair Clapp noted CRA consensus to continue the discussion regarding LEED certification to the January 19 or February 1, 2010, Regular Commission meeting; and stated that the CRA must provide direction regarding a decision to explore alternative facade options for the Palm Avenue Parking Garage. Member Turner stated that Jonathan Parks Architect should present its three best alternative facade options to the public at a community meeting for input as well as address the sight lines on the east, north, and south sides of the Palm Avenue Parking Garage. Vice Chair Kirschner stated that the City currently has a great opportunity to do something innovative for southwest Florida and the rest of the country; that Staff should define the public process to assure the people who are interested in participating are aware of the public process. Mr. Stancel stated that the cost will increase beyond what is being proposed if the CRA would like to modify the current eastern and southern sight lines of the Palm Avenue Parking Garage; that Staff can return to the CRA and present options to the eastern and southern facades along with options for the front facade of the Palm Avenue Parking Garage if the CRA desires. Vice Chair Kirschner stated that he would like to have an understanding of the cost difference for a change order to include habitable space on the second level of the Palm Avenue Parking Garage along Palm Avenue. In response to a question by Chair Clapp asking what will be included in the public process, Mr. Bartolotta stated that a minimum of two meetings are envisioned; that one meeting will be to obtain public input and the second will be to present alternative facade options. A motion was made by Member Turner and seconded by Member Atkins to direct Jonathan Parks Architect to meet with the public, create three alternative facade options including the original option, a traditional option, and a modern option, and present the three alternative facade options to the public to create the best possible design for the facade of the Palm Avenue Parking Garage. In response to a comment by Member Kirschner indicating the CRA should not be dictating specificity for the alternative facade options, Member Turner stated that he is willing to amend the motion to indicate "create three alternative facade options including the original option and two alternative facade options. Member Turner as the maker of the motion with the approval of Member Atkins as the seconder amended the motion to indicate create three alternative facade options including the original option and two alternative facade options.' A motion was made by Vice Chair Kirschner, seconded by Member Atwell, which failed by a 2-3 vote with Chair Clapp and Members Atkins and Turner voting no to amend the main motion to consider the inclusion of habitable space on the second floor of the Palm Avenue Parking Garage such as loft-style apartments. Chair Clapp called for a vote on the motion to direct Jonathan Parks Architect to meet with the public, create three alternative facade options including the original option and two alternative facade options, and present the three alternative facade options to the public to create the best possible design for the facade of the Palm Avenue Parking Garage, which carried by a 5-0 vote. Book 3 Page 31690 01/04/10 2:30 P.M. Book 3 Page 31691 01/04/10 2:30 P.M. 5. ADJOURN Chair Clapp adjourned the meeting at 5:00 p.m. dnd 2Clg RICHARD CLAPP, CHAIR ATTÈST: Vi eV M. Nogs PAMELA M. NADALINI, DEPUTY SECRETARY