Subject:
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Resolution and ordinance approving a one-year extension of the Safety Harbor Community Redevelopment Area and Redevelopment Trust Fund.
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Recommended Action:
Recommended Action
Conduct a public hearing to approve a resolution and ordinance granting a one-year extension of the current Safety Harbor Community Redevelopment Area (CRA) and Redevelopment Trust Fund (Trust Fund) that will:
• Prevent expiration of the CRA and 30-year Trust Fund set to expire on October 6, 2023.
• On August 16, 2022, the Board approved a one one-year extension and amended the County Trust Fund contribution from the maximum 95.0% to 50.0%.
• Continue the County’s tax increment contribution of 50.0% that aligns with the County’s CRA Policy for Economic Development CRAs.
• Allow additional time for the City to complete the update to the Redevelopment Plan which will be considered for approval by the Board of County Commissioners in 2024.
• Allow the City of Safety Harbor to request a 10-year extension once they complete the Redevelopment Plan updates.
• The current and proposed one-year extensions will be deductive from the 10-year term.
• Fiscal Year 2024 Proposed Budget includes $498,261.20 Tax Increment Financing payment within the General Fund.
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Strategic Plan:
Foster Continual Economic Growth and Vitality
4.3 Catalyze redevelopment through planning and regulatory programs
4.4 Invest in infrastructure to meet current and future needs
4.6 Support a vibrant community with recreation, arts, and culture to attract residents and visitors
Summary:
Summary
Per the requirements of the adopted CRA Policy, the City of Safety Harbor has undertaken an effort to extend their CRA and trust fund for an additional 10 years. This effort began with the completion of a Finding of Necessity (FON) report which was adopted by the City Commission in October 2021. County staff has been working closely with the City staff to ensure that the FON and data and analysis meet the requirements of Florida Statutes Ch. 163 Part III and the County’s CRA Policy.
Last year, at the Board’s August 16, 2022, meeting, they approved a one (1)-year extension of the CRA and Trust Fund. This request for another year is still needed in order for the city to finish their Redevelopment Plan update. This request will require a local adoption of their CRA Plan. After which, the County will review the plan for consistency with the requirements of the CRA Policy and make a recommendation to the Board as to the duration of the CRA and the trust fund, as well as the County’s tax increment contribution.
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Background Information:
The City of Safety Harbor’s CRA and associated 30-year Trust Fund was set to expire in October 2022. On August 16, 2022, the Board approved a one (1)-year extension and amended the County Trust Fund contribution from the maximum 95.0% to 50.0%. The Fiscal Year 2023 (FY23) County TIF payment was $433,617. Total County TIF contribution to the Trust Fund through FY23 is $6,157,427.
If this extension is approved, the City would like to extend the life of the CRA for eight (8) more years to complete remaining major projects from the Redevelopment Plan. Consideration for the eight (8)-year extension will occur once the City has completed and adopted an updated CRA Plan that meets the requirements of the new County CRA Policy.
Fiscal Impact:
Approval of the requested one (1)-year extension may provide for another one additional annual TIF payment to the City of Safety Harbor. Because the current trust fund sunsets in October of 2023, the County is already obligated to make a payment to the City in Fiscal year 2024 (FY24). If this item is approved, the current FY24 anticipated projection for the County’s increment obligation is $498,261.20 which has been calculated using the County’s tax increment contribution of 50.0% and July 1, 2023 Taxable Values that aligns with the County’s CRA Policy for Economic Development CRAs.
FY24 Proposed Budget includes $498,261.20 TIF Payment within General Fund.
Staff Member Responsible:
Rebecca Stonefield, Strategic Initiatives Manager, Housing and Community Development
Ryan Brinson, Principal Planner, Housing and Community Development
Partners:
City of Safety Harbor
Attachments:
Ordinance Extending Safety Harbor TIF for 1-Year
Resolution - Safety Harbor CRA 1-Year Extension
Presentation - Safety Harbor CRA Extension
Safety Harbor Ordinance 2023-01