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Agenda 02/26/2008 Item #10C Agenda Item NO.1 OC February 26, 2008 Page 1 of 7 EXECUTIVE SUMMARY Recommendation that the Board of County Commissioners evaluate the feasibility of whether a Community Development District (CDD) can serve as an approved program applicant related to the Rural Fringe Mixed-Use District Transfer of Development Rights (TDR) program relative to severance eligibility in relation to the attainment of the Environmental Restoration & Maintenance and Conveyance bonus credits OBJECTIVE: Request that the Board of County Commissioners (BCC) evaluate and consider the procedural feasibility of a Rural Fringe Mixed-Use District (RFMUD) Transfer of Development Rights (TDR) program applicant proposal relative to severance eligibility as it relates to the attainment of the Environmental Restoration & Maintenance (ERM) and conveyance bonus credit. CONSIDERA TIONS: In October of 2006, staff received nine TDR severance applications on behalf of Caloosa Reserve, LLC. The nine applications were comprised of thirteen separate RFMUD Sending Land parcels (totaling 110 acres) which are located within North Belle Meade. Staff approved and processed the subject severance applications and issued the requisite number of Base and Early ,-" Entry (EE) TDR certificates. Since the applicant only severed Base and EE TDR credits, the subject properties are eligible for two additional bonus TDR credits, e.g., ERM and Conveyance. Previous to delving into the ERM and conveyance severance proposal, clarification needs to be provided with respect to aforementioned TDR bonus credit cligibility criteria. Per section 2.03.07 D. 4. c. ii. a) of the Land Development Code (LDC), the following language applies with regard to the issuance of ERM and conveyance bonus credit: "a) Environmental Restoration and A1aintenance Bonus credits are generated at a rate of 1 credit for each TDR credit severed .fimn that RFMUD sending land for which a Restoration and Management Plan (RMP) has been accepted by the Coun(y. In order to be accepted, a RMP shall satistY the following: 1) The RMP shall include a listed ,species management plan. 2) The RMP shall compzy with the criteria set forth in 3.05. 08.A. and B. 3) The RMP shall provide financial assurance in the form of a letter of credit or similar.financial surety, that the RMP shall remain in place and be preji:Jrmed, until the earlier ofthe/ollowing occurs: ~ -.,. -"-..,.--,-'." Agenda Item NO.1 OC February 26, 2008 Page 2 of 7 a) Viable and sustainable ecological and hydrological.fimctionality has been achieved on the property as measured by the success criteria set .forth in the RMP. b) The property is conveyed to a County, state, or .federal agency as provided in b) below. 4) 17,e RMP shall provide.for the exotic vegetation removal and maintenance to be peljiJrmed by an environmental contractor acceptable to the County b) Conveyance Bonus credits are generated at a rate o.f 1 credit fiJr each TDR credit severed Fom that RFMUD sending land that is conveyed in .fee simple to a .federal, state or local government agency as a gifi. Conveyance Bonus credits shall only be generated Fom those RFMUD sending land properties on which an RMP has been accepted as provided in a) above. " Caloosa Reserve, LLC proposes to submit a private Restoration and Maintenance Plan (RMP) for each of their Sending Land properties pursuant to LDC criteria outlined above. In order to gamer the Conveyance bonus credit, the applicant is also requesting that their submitted, but yet to be approved Community Development District (CDD), CDD-2007-2, Mockingbird Crossing, be viewed as a conveyance accepting governmental agencv if its creation is ultimately approved. It should be noted that subject TDR severed Sending Lands which Caloosa Reserve, LLC proposes to convey are not inclusive or contiguous to the proposed CDD district boundaries. The respective sites for the proposed CDD location and the subject TDR severed Sending Lands are completely separatc from one another. The proposed CDD site lies south of 1mmokalee Road within Section 36 whereas the Sending Land parcels are located within North Belle Meade. Though not explicitly stated by the applicant, as noted below (excerpt from Florida Statute Chapter 190) a CDD has special taxing authority and with that the most plausible funding mechanism available for land management activities would be levying a tax levied on the residents and or businesses with the CDD, i.e., those benctiting either directly or indirectly from credits would ultimately finance the perpetual restoration and maintenance activities. 190.012 Special powers; public improvements and community.facilities.--The district shall have, and the board may exercise, subject to the regulatOlY jurisdiction and permitting authority of all applicable governmental bodies, agencies, and special districts having authority with respect to any area in eluded therein, any or all of the follo"'7ng special powers relating to public improvements and community.facilities authorized by this act: (1) Tofinance,.fimd, plan, establish, acquire, construct or reconstruct, enlarge or extend, equip, operate, and maintain systems, facilities, and basic infrastructures .for the following: (a) Water management and control.for the lands within the district and to connect some ,..- or any of such facilities "'7th roads and bridges. -,-, Agenda liem No. 10C February 26, 2008 Page 3 of 7 (b) Water supply, sewer, and wastewater management, reclamation, and reuse or any combination thereof, and to construct and operate connecting intercepting or outlet sewers and sewer mains and pipes and water mains, conduits, or pipelines in, along, and under any street, alley, highway, or other public place or ways, and to dispose of any ejJluent, residue, or other byprodud~ of such system or sewer system. (c) Bridges or culverts that may be needed across any drain, ditch, canal,floodway, holding basin, excavation, public highway, tract, grade, fill, or cut and roadways over levees and embankments, and to construct any and all of such works and improvements across, through, or over any public right-of-way, highway, grade, fill, or cut. (d) 1. District roads equal to or exceeding the applicable specifications of the county in which such district roads are located; roads' and improvements to existing public roads that are owned by or conveyed to the local general-pwpose government, the state, or the Federal Government; street lights; alleys; landscaping; hardscaping; and the undergrounding of electric utility lines. Districts may request the underground placement of utility lines by the local retail eleetrie utility provider in accordanee with the utility's tariff on file >eith the Public Service Commission and may finance the required contribution. If the CDD were created and allowed to act in the capacity of a land managing governmental agency, the CDD would have to be designated as the responsible agent for maintaining financial .~ assurance for management activities and it would have to be stipulated by an agreement between the County and the respective CDD Board of Supervisors. In the event that the BCC approves and creates the CDD, the applicant is requesting the companion approval and issuance of Conveyance bonus credit based upon interpretative CDD eligibility as a conveyance accepting governmental agency. In researching this issue, staff reviewed the Collier County Planning Commission (CCPC) meeting transcript relative to the 2005 LDC Amendment Special Cycle.2a (cycle which vetted the bonus arnendments). In review of the minutes, the only mention gcnnane to the Conveyance bonus was discussion regarding eligibility, i.e., conveying property to a County, state or federal governmental agency. The "Water Management District" was cited as an example agency. To date, the TDR program has processed and approved one application for the Conveyance bonus. In that case, the subject participant conveyed their property to the South Florida Water Management District. Based upon what staff assesses as the Board's intent and subsequently the expressed and implied intent of the subject bonus amendments, staff does not believe a CDD qualifies as a conveyance accepting governmental agency as they are not viewed as a public agency configured or equipped to conduct the necessary land management activities. The applicant's position is that a CDD is clearly a "governmental agency" and it qualifies for the purposes of awarding the Conveyance bonus TDR under LDC section 2.03.07. D. 4. c. ii. b). Staff acknowledges that this proposal is representative of an existing policy implementation impediment being experienced by the RFMUD TDR program -- most notably, applicants having --- difficultly coordinating severance of the Environmental Restoration & Maintenance and Agenda Item No.1 DC February 26, 2008 Page 4 of 7 Conveyance bonus credit through the mechanism initially contemplated at bonus arnendment inception. However, notwithstanding the unanticipated policy issues, the described proposal does not address the overarching po licy concern - that is, that the Board accept the premise that a CDD is deemed to be an acceptable governmental agency to participate to be held legally responsible for the restoration and maintenance oflands placed in conservation after TDR credits have been severed. Further, with respect to this applicant, the proposed Caloosa CDD and more specifically to lands in the North Belle Meade, the Engineering & Environmental Services Department is currently evaluating a general management plan submitted by the Collier Soil & Water Conservation District that is designed to encapsulate all eligible Sending Land within North Belle Meade. Their general management plan is cunently W1der review and not approved at this time, but it represents an attempt at establishing a competent governmental agency (one associated with conducting land management) as a possible land steward ofNortl1 Belle Meade. The RFMUD TDR program has not reached a point of undeniable dysfunction and to interpret a CDD to be viewed as a land managing governmental agency (similar to the Water Management District or the Soil and Water Conservation District) would incontrovertibly undermine the viability and intent ofthe program. In contrast, there is nothing specific in the LDC or in tile minutes of the adoption of Section 2.03.07. D. 4. c. ii. b) that expressly excludes a CDD from qualifying as a governmental agency for purposes of awarding the Conveyance bonus TDR. The applicant in this instance claims that the proposed Caloosa CDD is the only viable option and the failure of staff to recognize a CDD as an acceptable governmental agency in this case will negatively impact the viability of the TDR prograrn. FISCAL IMPACT: There is no quantifiable fiscal impact associated with this issue. GROWTH MANAGEMENT IMPACT: Per staff interpretation the subject proposal is deemed not consistent with the Future Land Use Element of the Growth Management Plan. In addition, the subject proposal to have a CDD serve as the accepting government agency is deemed to not meet the intent of the RFMUD TDR prob'fam bonus arnendments as they were designed to function. LEGAL CONSIDERATIONS: This Office shares staffs concerns with Applicant's request, and welcomes Board direction on this matter - JAK Agenda Item No. 10C February 26, 2008 Page 5 of 7 RECOMMENDATION: Staff recommends that the BCC concur with staffs position that a CDD is not an acceptable governmental agency relative to severance eligibility as it relates to the attainment of the ERM and Conveyance TDR bonus credits. If the Board, by policy, accepts the premise that a CDD is an acceptable governmental agency then provide staff guidance on how to proceed to insure that doing so does not undermine the viability and intent of the RMFUD TDR program. PREPARED BY: Joe Thompson, Senior Planner, Comprehensive Planning Department ._. Page 1 of2 Agenda Item NO.1 OC February 26, 2008 Page 6 of 7 COLLIER COUNTY BOARO OF COUNTY COMMISSIONERS Item Number: 10C Item Summary: Recommendation that the Board of County Commissioners evaluate the feasibility of a Rural Fringe Mixed-Use District Transfer of Development Rights program applicant proposal relative to severance eligibility in relation to the attainment of the Environmental Restoration & Maintenance and Conveyance bonus credit to a COD. (Joe Thompson, Senior Planner. Comprehensive Planning Department, COES) Meeting Date: 2/2612008900:00 AM Prepared By Joe Thompson Planner Date Community Development & Comprehensive Planning 1118/200810:24:14 AM Environmental Services Approved By Joe Thompson Planner Date Community Development & Comprehensive Planning 1118120082:10 PM Environmental Services Approved By Jeff Klatzkow Assistant County Attorney Date -, County Attorney County Attorney Office 1/19/20083:52 PM Approved By Comprehensive Planning Department Randall J. Cohen Director Date Community Development & Environmental Services Comprehensive Planning 1/28/200810:54 AM Approved By Mike Basi, AICP Principal Planner Date Community Development & Environmental Services Zoning & Land Development Review 1129120082:41 PM Approved By Joseph K. Schmitt Community Development & Environmental Services Adminstrator Date Community Development & Community Development & Environmental Services Environmental Services Admin. 2112/200810:28 AM Approved By Judy Puig Operations Analyst Date Community Development & Community Development & Environmental Services Environmental Services Admin. 2112120084:12 PM - Approved By file://C:\AgendaTest\Export\ 1 0 I-February%2026,%202008\ I 0.%20COUNTY%20MANAG... 2/20/2008 "-,-,-,,'- --~-----~.,._.,.".~. .-."...,-,_.,." _...._~...__._". ~._--- . -.--.--.-. Page 2 of2 Agenda Item NO.1 OC February 26, 2008 Page 7 of 7 OMS Coordinator Applications Analyst Date Administrative Services Information Technology 2/13120087:50 AM Approved By Mark Isackson Budget Analyst Date County Manager's Office Office of Management & Budget 2/13/200810:58 AM Approved By James V. Mudd County Manager Date Board of County Commissioners County Manager's Office 2/13/200811:16AM file://C:lAgendaTestIExportll 0 l-February%2026,%2020081 10. %20COUNTY%20MANAG... 2/20/2008