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HomeMy WebLinkAboutcocc_council_mtg_packet_20210921CAPE CANAVERAL CITY COUNCIL REGULAR MEETING City Hall Council Chambers 100 Polk Avenue, Cape Canaveral, Florida 32920 AGENDA September 21, 2021 6:00 p.m. For those that cannot attend the Meeting and wish to submit a public comment: Email your comment to CityClerk@CityofCapeCanaveral.org by noon the day of the Meeting. To stream the Meeting at home: Please visit www.cityofcapecanaveral.org/city_meetings CALL TO ORDER PLEDGE OF ALLEGIANCE ROLL CALL PUBLIC PARTICIPATION: Any member of the public may address any items that do not appear on the agenda and any agenda item that is listed on the agenda for final official action by the City Council excluding public hearing items which are heard at the public hearing portion of the meeting, ministerial items (e.g. approval of agenda, minutes, informational items), and quasi-judicial or emergency items. Citizens will limit their comments to three (3) minutes. The City Council will not take any action under the "Public Participation" section of the agenda. The Council may schedule items not on the agenda as regular items and act upon them in the future. PRESENTATIONS/INTERVIEWS 1 6:15 p.m. - 6:30 p.m. Presentation of Proclamation declaring the month of October as "Fire Prevention Month" to Canaveral Fire Rescue Chief Dave Sargeant. Presentation of Proclamation declaring the week of September 20 — 24, 2021 as "National Clean Energy Week" in the City of Cape Canaveral to Community and Economic Development Deputy Director and Sustainability Manager Zachary Eichholz. Interview Applicant for appointment to the Community Appearance Board. (Angela Trulock) CONSENT AGENDA 1 6:30 p.m. - 6:35 p.m. 1. Approve Minutes for August 17, 2021 Budget Workshop and Regular City Council Meeting and September 7, 2021 Special Meeting. 2. Resolution No. 2021-13; authorizing an addendum to the Agreement for Municipal Law Enforcement Services between the City of Cape Canaveral, Florida and Wayne Ivey, as Sheriff of Brevard County; providing for the repeal of prior, inconsistent resolutions, severability and an effective date. 3. Resolution No. 2021-14; authorizing an addendum to the Contract for Fire Protection and Emergency Medical Services between the City of Cape Canaveral, Florida and the Cape Canaveral Volunteer Fire Department, Inc.; providing for the repeal of prior inconsistent resolutions, severability and an effective date. 4. Resolution No. 2021-16; authorizing the establishment of a City operated and maintained Police Athletic League program as an additional component of the City's Leisure Services Department; declaring that the Police Athletic League program established hereunder serves a municipal and public purpose; establishing an accounting procedure and Police Athletic League program fund for purposes of accepting charitable contributions and other donations related to the Police Athletic League program; providing goals and other City of Cape Canaveral, Florida City Council Regular Meeting • September 21, 2021 Agenda • Page 2 of 2 requirements of the Police Athletic League program; providing for the repeal of prior inconsistent resolutions, severability and an effective date. 5. Resolution No. 2021-17; reappointing a Member to the Culture and Leisure Services Board of the City of Cape Canaveral; providing for the repeal of prior inconsistent resolutions, severability and an effective date. (Larry Holmes) 6. Resolution No. 2021-18; appointing a Regular Member to the Community Appearance Board of the City of Cape Canaveral; providing for the repeal of prior inconsistent resolutions, severability and an effective date. (Angela Trulock) 7. Approve Contract for Purchase and Sale to purchase property located at 7404 N. Atlantic Avenue in the amount of $925,000 (plus City pays all closing costs) and authorize Mayor to execute same. PUBLIC HEARINGS 1 6:35 p.m. - 7:15 p.m. 8. Ordinance No. 27-2021; amending section 58-1 of the City Code related to local public notices for Future Land Use Map amendments; providing for the repeal of prior inconsistent ordinances and resolutions, incorporation into the Code, severability and an effective date, second reading. 9. Ordinance No. 35-2021; amending Section 38-33 of the City's Fire Prevention and Protection Code related to private entry gates; providing for the repeal of prior inconsistent ordinances and resolutions, incorporation into the Code, severability and an effective date, second reading. 10. Ordinance No. 37-2021; amending the definition of a City park set forth in Section 54-1 of the City Code, providing for the repeal of prior inconsistent ordinances and resolutions, incorporation into the code, severability and an effective date, first reading. 11. Ordinance No. 39-2021; adopted in furtherance of the requirement set forth in Section 2.12(5), Cape Canaveral Charter; authorizing the issuance of not exceeding $1,200,000 Capital Improvement Revenue Note, Series 2021, of the City to finance the cost of the purchase of the Promenade and related capital improvements and Cost of Issuance; providing for the Series 2021 Note to be secured by the City's Public Service Tax, Half - Cent Sales Tax, Guaranteed Entitlement, Communications Services Tax and certain Franchise Fees; authorizing the City's financing team to proceed to develop necessary documents; providing for the repeal of prior inconsistent ordinances and resolutions or parts of prior inconsistent ordinances and resolutions in conflict herewith, severability and an effective date, first reading. REPORTS 1 7:15 p.m. - 7:25 p.m. ADJOURNMENT: Pursuant to Section 286.0105, Florida Statutes, the City hereby advises the public that: If a person decides to appeal any decision made by the City Council with respect to any matter considered at this meeting, that person will need a record of the proceedings, and for such purpose that person may need to ensure that a verbatim record of the proceedings is made, which record includes the testimony and evidence upon which the appeal is to be based. This notice does not constitute consent by the City for the introduction or admission into evidence of otherwise inadmissible or irrelevant evidence, nor does it authorize challenges or appeals not otherwise allowed by law. In accordance with the Americans with Disabilities Act: all interested parties may attend this Public Meeting. The facility is accessible to the physically handicapped. Persons with disabilities needing assistance to participate in the proceedings should contact the City Clerk's office [(321) 868-1220 x207 or x206] 48 hours in advance of the meeting. CITY OF CAPE CANAVERAL CITY COUNCIL MEETING • SEPTEMBER 21, 2021 AGENDA ITEM SUMMARY • PRESENTATIONS/INTERVIEWS Subject: Presentation of Proclamation declaring the month of October as "Fire Prevention Month" to Fire Rescue Chief David J. Sargeant. Department: Legislative Summary: In 1922, the National Fire Protection Association (NFPA) named the second week of October Fire Prevention Week in commemoration of the Great Chicago Fire in 1871. Three years later, President Calvin Coolidge proclaimed "Fire Prevention Week" a national observance, making it the longest -running public health observance in our country. The goal of Fire Prevention Week is to raise fire safety awareness, and help ensure all homes and families are protected. Today, the NFPA celebrates "Fire Prevention Week" throughout the month of October by raising fire safety awareness and educating families, students and communities across the United States. Present this evening is Fire Chief David J. Sargeant, of Canaveral Fire Rescue, to accept the Proclamation. Submitting Director: Molly Thomas Date: 9/7/21 Attachment: Proclamation Financial Impact: Staff time and effort to prepare this agenda item. Reviewed by Administrative/Financial Services Director: John DeLeo Date: 9/3/21 The City Manager recommends the City Council take the following action: Present Proclamation. Approved by City Manager: Todd Morley Date: 9/7/21 Official Proclamation City Of Cape Canaveral, FloridaWHEREAS, in 1922, the National Fire Protection Association (NFPA) named the second week of October Fire Prevention Week in commemoration of the Great Chicago Fire in 1871; and WHEREAS, in 1925, President Calvin Coolidge proclaimed "Fire Prevention Week" a national observance, making it the longest -running public health observance in our country; and WHEREAS, the goal of Fire Prevention Week is to raise fire safety awareness, and help ensure all homes and families are protected; and WHEREAS, today, the NFPA celebrates "Fire Prevention Week" throughout the month of October by raising fire safety awareness and educating families, students and communities across the United States; and NOW, THEREFORE, 1, Robert Hoog, Mayor of the City of Cape Canaveral, Brevard County, Florida, do hereby proclaim the month of October 2021 as: FIRE PREVENTION MONTH in the City of Cape Canaveral and call upon the residents of this City to join me in remaining steadfast and resolute in maintaining awareness of fire safety. Signed ans Sealed this Day of , Mayor CITY OF CAPE CANAVERAL CITY COUNCIL MEETING • SEPTEMBER 21, 2021 AGENDA ITEM SUMMARY • PRESENTATIONS/INTERVIEWS Subject: Presentation of Proclamation declaring the week of September 20 — 24, 2021 as "National Clean Energy Week" in the City of Cape Canaveral to Community and Economic Development Deputy Director and Sustainability Manager Zachary Eichholz. Department: Legislative Summary: National Clean Energy Week (NCEW) is dedicated to bringing together business leaders, advocates, elected officials and policymakers from all perspectives in support of advancing clean energy across the United States. Supported by the Florida Race to Zero initiative, which the City officially joined at the July 20, 2021 Regular City Council Meeting, NCEW allows for the promotion and awareness of clean energy, which can help to create numerous working class jobs, expand our economy, strengthen America's national security, and preserve our environment. By harnessing the power of the free market and government collaboration, clean energy can help to achieve a more sustainable and resilient future for all those living now and for generations to come. The City of Cape Canaveral's 2021 Resiliency Action Plan also calls for the promotion, buildout and adoption of clean energy to power the entirety of the community and all City -owned and operated buildings and facilities by 2050. Present this evening to accept the Proclamation is Deputy Community and Economic Development Director and Sustainability Manager Zachary Eichholz. Submitted by: Mayor Bob Hoog Attachment: Proclamation Financial Impact: Staff time and effort to prepare this agenda item. Reviewed by Administrative/Financial Services Director: John DeLeo Date: 9/9/21 The City Manager recommends the City Council take the following action: Present Proclamation. Approved by City Manager: Todd Morley Date: 9/14/21 Official Proclamation City Of Cape Canaveral, Florida WHEREAS, the City of Cape Canaveral's unique natural resources are the foundation of our community; and WHEREAS, the City of Cape Canaveral is committed to the preservation of our natural environment and is implementing common sense solutions to address our environmental, economic, and energy needs; and WHEREAS, clean energy, including generation from renewable methods such as wind, solar, geothermal, tidal and hydro sources as well as energy storage, is powering more homes and businesses in the City of Cape Canaveral, Brevard County, and across Florida than ever before and is a crucial part of our energy future; and WHEREAS, growing our clean energy workforce will help grow employment and economic opportunities throughout our state for years to come; and WHEREAS, as America celebrates National Clean Energy Week is celebrated nationally, the City of Cape Canaveral encourages individuals and organizations to support common sense solutions that address America's economic and energy needs in the 21 st century; and WHEREAS, the City of Cape Canaveral's 2021 Resiliency Action Plan calls for the promotion, buildout and adoption of clean energy to power the entirety of the community and all City -owned and operated buildings and facilities by 2050; and WHEREAS, we must harness the power of City of Cape Canaveral entrepreneurs and small businesses, ensure government collaboration to assert American energy leadership and dominance in the global marketplace, and provide access to low-cost, low -emissions reliable energy here at home; NOW, THEREFORE, I , Robert Hoog, Mayor of the City of Cape Canaveral, Brevard County, Florida, do hereby proclaim September 20-24, 2021, to be: NATIONAL CLEAN ENERGY WEEK in the City of Cape Canaveral, and I encourage all businesses and individuals to implement the cleanest, lowest emitting, cost-effective energy technologies available. Signed and Sealed this Day of , Mayor CITY OF CAPE CANAVERAL CITY COUNCIL MEETING • SEPTEMBER 21, 2021 AGENDA ITEM SUMMARY • PRESENTATIONS/INTERVIEWS Subject: Interview Applicant for appointment to the Community Appearance Board. (Angela Trulock) Department: Community and Economic Development Summary: The Community Appearance Board (CAB) is an advisory board to the City Council and consists of seven members. Currently, there are four vacancies. At the discretion of the Council, the Board may also include up to two (2) alternate members and an unspecified number of ex-officio members. There are currently no alternate or ex-officio members. Ms. Trulock is a resident of Cape Canaveral and meets minimum qualification requirements for CAB membership. It is proposed that Ms. Trulock be appointed to fill one of the current vacancies. Should the Council approve her appointment, three vacancies will remain. Per City Code of Ordinances Sec. 2-171(c)(5), any person nominated, elected or appointed to serve on a board or committee of the City shall complete interviews with the Board or Committee on which the person is seeking appointment and with the City Council. Based on the Applicant's interest and positive recommendation from the CAB at its July 21, 2021 meeting (Attachment #2), it is recommended Council interview Ms. Trulock. Submitting Department Director: David Dickey Date: 9/13/21 Attachments: 1 — Board Application — Angela Trulock 2 — CAB Recommendation Memo Financial Impact: Staff time and effort to prepare this agenda item. Reviewed by Administrative/Financial Services Director: John DeLeo Date: 9/9/21 The City Manager recommends the City Council take the following action: Interview Applicant. Approved by City Manager: Todd Morley Date: 9/13/21 City of Cape Canaveral 100 Polk Avenue Cape Canaveral FL 32920-0326 Phone (321) 868-1220 - Fax (321) 868-1248 Attachment 1 RECEIVED MAY 10 2021 KS APPLICATION FOR APPOINTMENT TO CITY ADVISORY BOARD OR COMMITTEE Pursuant to Section 2-171, Cape Canaveral Code City Code requires prospective and existing board members to fill out an application. City Code also prohibits a person from serving on a City Board or Committee if that person has been convicted of a felony, unless their civil rights have been restored. Please complete the following in the space provided: GENERAL Applicant Name: Angela Trulock Home Address:300 Columbia Dr. #1508, Cape Canaveral, FL 32920 Phone Number. 321-613-3527 Occupation: Retired Business Phone: Business Address: Email: atrulock@cfl.rr.com ELEGIBILITY The information provided in this section is for purposes of determining whether you are eligible to serve on a City advisory board or committee. 1. Are you duly registered to vote in Brevard County? X- Yes 0 No 2. Have you been a resident of the City of Cape Canaveral for 12 months or longer? X- Yes 0 No 3. Are you a Business owner? Yes X-No a. If yes, please list the name: 4. Have you ever been convicted or found guilty, regardless of adjudication, of a felony in any jurisdiction? Any plea of nolo contendere (no contest) shall be considered a conviction for purposes of this question. ❑ Yes X- No a. If yes, have your civil rights been restored? 0 Yes ❑ No 5. Do you presently serve on any other City of Cape Canaveral advisory board or committee? ❑ Yes X-No a. If yes, please list each: 6. City ordinance requires that all persons applying for a City advisory board or committee must voluntarily consent to a standard criminal background check before being appointed to a board or committee. Do you voluntarily sent to having a standard background check performed on you by tte-Cty'bf Cape Canaveral? X-Yes 0 No Initials: 7. Are you related to a City of Cape Canaveral Council member by blood, adoption, or marriage? ❑ Yes X- No a. If yes, please provide name(s) of person(s) and relationship to you: City of Cape Canaveral Advisory Board Application Pg. 1 INTEREST/EXPERIENCE 1. Briefly tate your interest in serving on a City apvisory board,of committee: To be an active participant in the growth and improvements in Cape Canaveral 2. In numerical sequence (1=most interested), please nk the advisory boards on which you wish to serve: a. 5 Board of Adjustment* b. 4 Business and Economic Development Board c. 1 Community Appearance Board d. 3 Culture and Leisure Services Board e. 2 Library Board f. 6 Planning and Zoning Board* * Members of these boards are required to complete and file with the supervisor of Elections a Financial Disclosure Form upon appointment to said board and prior to July 1 of each year following the initial appointment while still a member of said board. 3. Briefly state any prior experiences in serving on any governmental board or committee: no prior experience 4. Please list any specialized skills and training (e.g., architect, engineer, general contractor, etc.) that you feel help to qualify you for membership on the desired board or committee. STATE REPORTING REQUIREMENTS Section 760.80, Florida Statutes, requires that the City annually submit a report to the Secretary of State disclosing race, gender, and physical disabilities of board and committee members. Please check the appropriate boxes: Race: 0 African American Gender. ❑ Male X-Female O Asian American 'emale ❑ Hispanic American 0 Other X- Caucasian ❑ Other Disability: 0 Physically Disabled YOU HEREBY REPRESENT TO THE CITY OF CAPE CANAVERAL, UNDER PENALTY OF PERJURY, THAT THE INFORMATION PROVIDED HEREIN IS TRUE AND ACCURATE TO THE BEST OF YOUR KNOWLEDGE. AND THE CITY OF CAPE CANAVERAL HAS THE RIGHT TO RELY ON THAT INFORMATION. YOU HEREBY ACKNOWLEDGE THE EXISTENCE OF THE CODE OF ETHICS FOR PUBLIC OFFICERS [SECTIONS 112.311-326, FLORIDA STATUTES] AND THE FLORIDA "SUNSHINE LAW" [SECTION 286.011, FLORIDA STATUTES], WHICH MAY PERTAIN TO YOU IF YOU ARE APPOINTED TO A CITY ADVISORY BOARD OR COMMITTEE, AND IF APPOINTED, IT 1S YOUR SOLE OBLIGATION AND DUTY TO COMPLY WITH SUCH LAWS. City of Cape Canaveral Advisory Board Application Pg. 2 PLEASE NOTE: • Appointment to any City board is subject to City Council approval following a brief interview before the City Council at a regularly scheduled meeting. • Your application will remain effective for three years from date of submission. • If you should have any questions regarding the completion of this application, please contact the City Clerk's Office at (321) 868-1220 ext. 206 or 207. Signature: Angela Trulock Date: 05/10/21 Please return to: City of Cape Canaveral Office of the City Clerk P.O. Box 326 Cape Canaveral Florida 32920 OFFICE USE ONLY RECEIVED MAY 10 2021 By: CCO DL Enter Date & Time Received City of Cape Canaveral Advisory Board Application Pg. 3 Attachment 2 Memo Community + Economic Development TO: Cape Canaveral City Council VIA: David Dickey, Community and Economic Development Director FROM: Brenda Defoe-Surprenant, Senior Planner DATE: September 7, 2021 RE: Recommendation to the City Council — Community Appearance Board Applicant Angela Trulock At its July 21, 2021 Community Appearance Board Meeting, the Board interviewed Angela Trulock to fill a vacancy. Based on Ms. Trulock's interview and willingness to be an active participant in the City of Cape Canaveral, the Board unanimously recommended the vacancy be filled by Ms. Trulock. Please let me know if you have any questions. Thank you. ITEM # 1 DRAFT CAPE CANAVERAL CITY COUNCIL BUDGET WORKSHOP MEETING City Hall Council Chambers 100 Polk Avenue, Cape Canaveral, Florida 32920 Tuesday August 17, 2021 5:00 p.m. MINUTES CALL TO ORDER: The Chair called the Meeting to Order at 5:00 p.m. Council Member Morrison led the Pledge of Allegiance. ROLL CALL: Council Members Present: Council Member Mayor Council Member Council Member Mayor Pro Tem Mike Brown Bob Hoog Mickie Kellum Wes Morrison Angela Raymond Others Present: City Manager City Attorney City Clerk Administrative/Financial Services Director Capital Projects Director Community & Economic Development Director Cultural + Community Affairs Director Leisure Services Director Public Works Services Director Deputy City Clerk Deputy Finance Director Accountant Dep. Community & Economic Dev. Dir./Sustain. Mgr. Brevard County Sheriff's Office Commander Brevard County Sheriff's Office Lieutenant Canaveral Fire Rescue Chief Canaveral Fire Rescue Deputy Chief Todd Morley Anthony Garganese Mia Goforth John DeLeo Jeff Ratliff David Dickey Molly Thomas Gustavo Vergara James Moore Daniel LeFever Candice Blake Jenny Coldiron Zachary Eichholz Andrew Walters Chris Cardinal Dave Sargeant Derek Yossifon PUBLIC PARTICIPATION: None AGENDA ITEMS: 1. Proposed Fiscal Year 2021/2022 Budget and Five (5) Year Capital Improvement Plan: Discussion ensued and included Oak Lane preliminary design, engineering and construction, FIND Grant funding of the Estuary Park project at Long Point Road, Canaveral Fire Rescue replacement of a twenty-five year old Air/Light Truck for $350,000, current City census City of Cape Canaveral, Florida DRAFT City Council Budget Workshop Meeting • August 17, 2021 Minutes • Page 2 of 2 population numbers not available yet, Cherie Down Park acquisition/transfer document forthcoming from Brevard County, American Rescue Act funds distribution schedule and Staff spending proposal to be presented to Council soon, addition of operating and maintenance costs for new facilities to the proposed Budget, removal of clerical errors and mistakes in the proposed Budget, prioritization of State Road A1A, costs for finishing sidewalks in the City, costs for getting all City lights working, flooding priorities and Center Street Basin project, and funding for amenities versus fixing infrastructure. City Manager Morley discussed the forthcoming Presidential Streets Master Plan, focusing on other areas with regard to flooding issues, the Council -approved five (5) year solar light replacement plan could be accelerated should Council desire and construction of an open retention pond. Discussion ensued and included agreement to prioritize issues including flooding, lighting, sidewalks, paving Oak Lane, negative impacts of stormwater runoff to the Lagoon, upcoming Marine Resources Council Low Impact Development Conference, American Rescue Act funding will be available soon, use of contingency funds as directed by Council, Staff's Budget detailed and organized process, and the City's membership in the American Flood Coalition. City Manager Morley discussed the Deep Well Injection Study, the Florida Department of Environmental Protection requirement that no effluent be discharged into the river, the deadline to meet that mandate and how the City could spend American Rescue Act funds for that project. Deputy Finance Director Blake clarified how the 5.2M dollars in American Rescue Act funds cannot be used for infrastructure based items such as sidewalks or solar lights but focuses on stormwater and sewer investments. Discussion ensued regarding the need for further discussion and the upcoming Budget Hearing meeting. Council reached consensus to begin the September 7, 2021, Budget Hearing Meeting thirty minutes earlier. A motion was made by Mayor Hoog, seconded by Mayor Pro Tem Raymond, to start the City Council Budget Hearing Meeting on Tuesday, September 7, 2021 at 5:01 p.m. The Motion carried 5-0. ADJOURNMENT: There being no further business, the Meeting adjourned at 6:05 p.m. Bob Hoog, Mayor Mia Goforth, City Clerk DRAFT CAPE CANAVERAL CITY COUNCIL REGULAR MEETING City Hall Council Chambers 100 Polk Avenue, Cape Canaveral, Florida 32920 Tuesday August 17, 2021 6:00 p.m. MINUTES CALL TO ORDER: The Chair called the Meeting to Order at 6:14 p.m. and led the Pledge of Allegiance. ROLL CALL: Council Members Present: Council Member Mayor Council Member Council Member Mayor Pro Tem Mike Brown Bob Hoog Mickie Kellum Wes Morrison Angela Raymond Others Present: City Manager City Attorney City Clerk Capital Projects Director Community and Economic Development Director Cultural and Community Affairs Director Leisure Services Director Public Works Services Director Capital Projects Deputy Director Deputy City Clerk Dep. Community & Economic Dev. Dir./Sustain. Mgr. Brevard County Sheriff's Office Commander Brevard County Sheriff's Office Lieutenant Canaveral Fire Rescue Chief Canaveral Fire Rescue Deputy Chief PUBLIC PARTICIPATION: PRESENTATIONS/INTERVIEWS: Todd Morley Anthony Garganese Mia Goforth Jeff Ratliff David Dickey Molly Thomas Gustavo Vergara James Moore Tim Carlisle Daniel LeFever Zachary Eichholz Andrew Walters Chris Cardinal Dave Sargeant Derek Yossifon Presentation of Proclamation declaring August 2021 as "Florida Water Professionals Month" to representatives from the Florida Water & Pollution Control Operators Association: Mayor Hoog presented the proclamation to Public Works Services Deputy Director June Clark and Water Reclamation Plant and Lab Manager Jessica Erdman. Ms. Erdman addressed Council and thanked the City for recognizing Florida Water Professionals. Interview Applicant for appointment to the Community Appearance Board. (Angela Trulock): City Manager Morley announced Ms. Trulock would be interviewed at a later date. City of Cape Canaveral, Florida DRAFT City Council Regular Meeting • August 17, 2021 Minutes • Page 2 of 5 Interview Applicant for appointment to the Planning and Zoning Board. (Eugene Thorpe): City Attorney Garganese confirmed the information contained in Mr. Thorpe's application to be true and correct. Mr. Thorpe provided background information and reasons for his desire to serve. The Council thanked Mr. Thorpe. Presentation of the City of Cape Canaveral 2019 Inventory of Government Operational Greenhouse Gas Emissions: Deputy Community and Economic Development Director and Sustainability Manager Eichholz and University of Central Florida Sustainability Intern Tracy Alt made their presentation to Council. Discussion ensued and included the benefits of the report to citizens, tracking employee commutes to work, and the Adopt -a -Mangrove Program. Council thanked Mr. Eichholz and Ms. Alt. CONSENT AGENDA: Mayor Hoog pulled Item 2 and asked if any other Items needed to be removed for discussion. Council Member Morrison removed Items 3, 4 and 5. Council Member Kellum removed Item 1. 1. Approve Minutes for July 20, 2021 Budget Workshop and Regular City Council Meeting and July 27, 2021 Special Meeting. 2. Resolution No. 2021-11; appointing a Member to the Community Appearance Board of the City of Cape Canaveral and appointing and reappointing Members to the Planning and Zoning Board of the City of Cape Canaveral; providing for the repeal of prior inconsistent resolutions, severability and an effective date. (Angela Trulock, Eugene Thorpe, Nancy Gentilquore and Steven Stroud) 3. Approve the Fourteenth Addendum to Professional Services Agreement for Fertilization, Insect, Disease, Weed Control and Pest Control Services in the amount of $54,606 with Black's Spray Service, Inc. and authorize the City Manager to execute same. 4. Approve Addendum to Professional Services Agreement for Mowing and Landscaping Services in the amount of $264,144.36 with U.S. Lawns of Brevard dba Micnor Corp. and authorize City Manager to execute same. 5. Approve Proposal from Mead and Hunt in the amount of $46,148 to complete a Center Street Basin Stormwater System Analysis and authorize City Manager to execute same. 1. Discussion ensued and included items discussed and listed in the summary portion of the proposed Minutes for the July 20, 2021 Budget Workshop and Council prioritization of items during that discussion. City Manager Morley confirmed no official Council consensus was reached with regard to the item prioritization discussed at the meeting. A motion was made by Council Member Morrison, seconded by Council Member Kellum, to strike through "being highest priority", placing a period after "residents" in the July 20, 2021 Budget Workshop Meeting Minutes for approval. The motion carried 5-0. 3. Discussion ensued and included research to find alternatives to glyphosate-like chemicals, the change in price to the contract if Council were to approve an alternative and the suggestion to approve the Agreement as written which would allow Staff enough time to research other products and return with options. A motion was made by Council Member Morrison, seconded by Mayor Pro Tem Raymond, to approve Item 3. The motion carried 5-0. 4. Discussion ensued and included service areas of both US Lawns and Black's Spray Service, the contract not including the removal of Brazilian Pepper Trees, mowing of ball fields, summer City of Cape Canaveral, Florida DRAFT City Council Regular Meeting • August 17, 2021 Minutes • Page 3 of 5 mowing schedule and how the City does not get charged if the company does not mow. A motion was made by Council Member Morrison, seconded by Mayor Pro Tem Raymond, to approve Item 4. The motion carried 5-0. 5. Discussion ensued and included Project requirement to gain consent from private property owners, installation of retention ponds versus exfiltration systems, the need for a study and issues related to placing exfiltration chambers underneath Center Street due to the utilities already there, a need to pick the best of the options and move forward, and City stormwater system built in the 1960s. A motion was made by Council Member Morrison, seconded by Council Member Brown, to approve Item 5. The motion carried 5-0. 1. Discussion ensued and included the need to approve the other two sets of proposed minutes under Item 1. A motion was made by Council Member Kellum, seconded by Mayor Pro Tem Raymond, to approve Minutes for July 20, 2021 Regular City Council Meeting and July 27, 2021 Special Meeting. The motion carried 5-0. 2. Discussion ensued and included adoption of a revised draft Resolution No. 2021-11, to reflect removal of Angela Trulock's name, who was not present to be interviewed, which allowed the remaining three individuals to be appointed as scheduled. A motion was made by Council Member Morrison, seconded by Council Member Kellum, to adopt Resolution No. 2021-11, as revised. The motion carried 5-0. PUBLIC HEARINGS: 6. Ordinance No. 29-2021; amending Chapter 46 — Library of the City Code, related to the Library Board; providing for the repeal of prior inconsistent ordinances and resolutions, incorporation into the Code, severability and an effective date, second reading: City Attorney Garganese read the title into the record and explained the Item. The Public Hearing was opened. There being no comment, the Public Hearing was closed. A motion was made by Council Member Kellum, seconded by Mayor Pro Tem Raymond, to adopt Ordinance No. 29-2021, at second reading. The motion carried 5-0. 7. Ordinance No. 32-2021; amending Sections 2-260 and 2-262 of the City Code related to the application procedure for code enforcement lien satisfactions and releases including authorizing the Special Magistrate to make recommendations to the City Council regarding such applications; providing for the repeal of prior inconsistent ordinances and resolutions, incorporation into the Code, severability and an effective date, second reading: City Attorney Garganese read the title into the record and explained the Item and revisions to the Ordinance as directed by Council at first reading. The Public Hearing was opened. There being no comment, the Public Hearing was closed. A motion was made by Council Member Morrison, seconded by Council Member Brown to adopt Ordinance No. 32-2021, at second reading. The motion carried 5-0. 8. Ordinance No. 27-2021; amending Section 58-1 of the City Code related to local public notices for Future Land Use Map amendments; providing for the repeal of prior inconsistent ordinances and resolutions, incorporation into the Code, severability and an effective date, first reading: City Attorney Garganese read the title into the record and explained the Item. Discussion City of Cape Canaveral, Florida DRAFT City Council Regular Meeting • August 17, 2021 Minutes • Page 4 of 5 ensued and included support for and reasons against using certified mail in the noticing process. The Public Hearing was opened. There being no comment, the Public Hearing was closed. A motion was made by Mayor Pro Tem Raymond, seconded by Mayor Hoog, to approve Ordinance No. 27-2021, at first reading. The motion carried 3-2, with Council Members Kellum and Morrison voting against. 9. Ordinance No. 33-2021; amending the text of the City's Comprehensive Plan to include a Property Rights Element as required by law; providing for the repeal of prior inconsistent ordinances and resolutions, incorporation into the Comprehensive Plan, severability and an effective date and legal status of the Plan Amendment, first reading: City Attorney Garganese read the title into the record and explained the Item. Discussion ensued regarding a second reading cannot be scheduled until the State provides comments to this first reading -transmittal hearing and advertising requirements are met. The Public Hearing was opened. There being no comment, the Public Hearing was closed. A motion was made by Mayor Pro Tem Raymond, seconded by Council Member Morrison to approve Ordinance No. 33-2021, at first reading. The motion carried 5-0. 10. Ordinance No. 35-2021; amending Section 38-33 of the City's Fire Prevention and Protection Code related to private entry gates; providing for the repeal of prior inconsistent ordinances and resolutions, incorporation into the Code, severability and an effective date, first reading: City Attorney Garganese read the title into the record. Canaveral Fire Rescue Deputy Chief Yossifon explained the Item. Discussion ensued regarding how the measure will result in shortened response times to gated communities. The Public Hearing was opened. There being no comment, the Public Hearing was closed. A motion was made by Mayor Pro Tem Raymond, seconded by Council Member Brown to approve Ordinance No. 35-2021, at first reading. The motion carried 5-0. ITEMS FOR ACTION: 11. Discuss and choose a final design concept for the Veterans Memorial Park Redevelopment Project: Discussion ensued and included the work performed by Council Member Kellum and Staff to present and receive feedback from local Veterans, the Sculpture Program, a possible Veterans Art Show, preferences of plans, Culture and Leisure Services Board's choice for Concept Site Plan B, pros and cons of both options, no significant difference in price, value engineering to stay within budget if necessary, pros and cons regarding the playground area, preference for the Park to be quiet and reflective, cost impacts for redesigning, the lack of play areas on the east side of the City and State Road A1A, sidewalk pavement materials and damage that could be done by skateboards, potential increase in costs of 5% each month the decision is delayed, and the desire to move forward. A motion was made by Council Member Kellum, seconded by Council Member Morrison, to accept Plan A. The motion carried 5-0. REPORTS: City Manager Morley discussed the plan to continue promoting recommendations of the Centers for Disease Control and Brevard County Emergency Operations Center, posting signs at all facilities and keeping the Council informed regarding the COVID-19 Pandemic. City of Cape Canaveral, Florida DRAFT City Council Regular Meeting • August 17, 2021 Minutes • Page 5 of 5 Council Member Morrison discussed the City's virtual meeting software to allow public participation if necessary and thanked first responders. Council Member Brown discussed the Tourist Development Marketing Committee and working with Staff to gain un-earmarked funds for the City, attendance at the Florida League of Cities Conference in Orlando and thanked first responders. Mayor Pro Tem Raymond discussed the Space Coast League of Cities meeting where the topic discussed was the Indian River Lagoon, and Florida League of Cities Conference where the topics of Home Rule, legislative preemptions, racial equity, and elected officials in conflict were highlighted. Council Member Kellum discussed attending the Space Coast League of Cities meeting, stated she is proud of the City in relation to the Indian River Lagoon, attendance at the Florida League of Cities Conference, importance of getting citizens involved in Home Rule, thanked Staff for working on the Veterans Memorial Park Project and first responders. ADJOURNMENT: The Meeting was adjourned at 8:25 p.m. Bob Hoog, Mayor Mia Goforth, City Clerk DRAFT CAPE CANAVERAL CITY COUNCIL SPECIAL MEETING City Hall Council Chambers 100 Polk Avenue, Cape Canaveral, Florida 32920 Tuesday September 7, 2021 5:01 p.m. MINUTES CALL TO ORDER: The Chair called the Meeting to Order at 5:01 p.m. Council Member Brown led the Pledge of Allegiance. ROLL CALL: Council Members Present: Council Member Mayor Council Member Council Member Mayor Pro Tem Mike Brown Bob Hoog Mickie Kellum Wes Morrison Angela Raymond Others Present: City Manager City Attorney City Clerk Administrative/Financial Services Director Capital Projects Director Community and Economic Development Director Cultural and Community Affairs Director HR/Risk Management Director Leisure Services Director Public Works Services Director Deputy City Clerk Brevard County Sheriff's Office Commander Brevard County Sheriff's Office Lieutenant Canaveral Fire Rescue Chief PUBLIC PARTICIPATION: None Todd Morley Anthony Garganese (arrived 5:05 p.m.) Mia Goforth John DeLeo Jeff Ratliff Dave Dickey Molly Thomas Melinda Huser Gustavo Vergara James Moore Daniel LeFever Andrew Walters Chris Cardinal Dave Sargeant PUBLIC HEARINGS: 1. Resolution No. 2021-12; adopting a Tentative Millage Rate for the levy of Ad Valorem Taxes for Fiscal Year 2021/22 on all taxable property located within the City of Cape Canaveral, Brevard County, Florida; providing for an effective date: City Manager Morley read the title into the record. Discussion ensued and included support for adopting the proposed Tentative Millage Rate, going below the rollback rate with a one percent reduction of the proposed Budget, the City's tax rate being the fourth lowest in Brevard County, focusing discussion on the Millage Rate, desire for more and earlier Budget meetings to go line -by-line and how Council Members had the opportunity to meet with Staff to go over Budget details in the months prior to this Meeting. City of Cape Canaveral, Florida DRAFT City Council Special Meeting • September 7, 2021 Minutes • Page 2 of 2 Mayor Hoog opened public comment. There being none, public comment was closed. A motion was made by Mayor Pro Tem Raymond, seconded by Council Member Brown, to approve Resolution No. 2021-12. The Motion carried 3-2, with Council Members Kellum and Morrison voting against. 2. Ordinance No. 38-2021; adopting the Annual General Fund, Wastewater Enterprise Fund, Stormwater Enterprise Fund, Enterprise Capital Fund, Special Revenue Funds, Capital Project Funds and Agency Fund Budgets for the Fiscal Year beginning October 1, 2021, and ending September 30, 2022; providing for an effective date, first reading: City Attorney Garganese read the title into the record. Discussion ensued and included Patriots Park Project not scheduled for the Proposed Budget, Enterprise Funds, Community Redevelopment Agency (CRA), blight in the City, Brevard County Commission's alteration of CRAs throughout the County, flooding, sidewalk repair, solar light replacement, desire to complete projects and correct problems now rather than later, and the need to be careful with renewal and replacement funds so as not to impact the General Fund. City Manager Morley confirmed he will meet with Staff regarding temporary improvements to Oak Lane until the road can be paved. Discussion continued regarding relief provided by the City during hard economic times, the high quality of City services, Staff's hard work, perception of voting against the Proposed Budget, the Strategic Plan, Presidential Streets Project, the Visioning Project appears in the Proposed Budget under Professional Services for $10,000, Financial Advisory Committee that appears in the Code of Ordinances, citizen concern and feedback about debt, complete and current projects, desire to not take on more debt for the Promenade Project, CRA funds could be better spent on Patriots Park and Christmas decorations along State Road A1A, prioritize parks and green space, and a desire to wait until the new Visioning Project before pursuing the Promenade Project. Finance Director DeLeo explained the Promenade Project will be funded through a loan. City Manager Morley explained the CRA is meant as a funding mechanism so cities can achieve those types of projects. Discussion ensued regarding the Promenade Project, Strategic Planning and the Retreat Meeting in March, short-term vs. long-term priorities, and an upcoming Promenade -related agenda item. The Public Hearing was opened. Canaveral Fire Chief Sargeant commended the Council on having one of the lowest tax rates in Brevard County. Rocky Randels, resident, discussed how the Proposed Budget and Strategic Planning process has been in the works since March and expressed support for approval of the Proposed Budget. Discussion continued regarding the Promenade Project, engineering and planning for paving Oak Lane and confirmation there is money in the Proposed Budget to fix potholes this year. The Public Hearing was closed. A motion was made by Mayor Pro Tem Raymond, seconded by Council Member Brown, to adopt Ordinance No. 38-2021, as presented. The Motion carried 3-2, with Council Members Kellum and Morrison voting against. ADJOURNMENT: There being no further business, the Meeting adjourned at 6:05 p.m. Bob Hoog, Mayor Mia Goforth, City Clerk CITY OF CAPE CANAVERAL CITY COUNCIL MEETING • SEPTEMBER 21, 2021 AGENDA ITEM SUMMARY • ITEM # 2 Subject: Resolution No. 2021-13; authorizing an addendum to the Agreement for Municipal Law Enforcement Services between the City of Cape Canaveral, Florida and Wayne Ivey, as Sheriff of Brevard County; providing for the repeal of prior, inconsistent resolutions, severability and an effective date. Departments: City Clerk's Office + Administrative/Financial Services Summary: The City and the Brevard County Sheriff's Office (BCSO) entered into an Agreement on October 1, 2017 for BCSO to provide Municipal Law Enforcement Services to the City. The City of Cape Canaveral and Wayne Ivey, in his capacity as the Sheriff of Brevard County, Florida, shall renegotiate the Agreement price each year for the term of the Agreement. The City Council annually considers/approves a resolution authorizing an addendum to the original Agreement; now in the fourth year of a five-year term ending September 30, 2022. Under the Addendum put forth, the parties agree the compensation to be paid by the City to BCSO for FY 2021/22 shall be the sum of $3,139,479. Payment shall be made to BCSO by the City in twelve equal monthly installments of $261,623.25 payable on or before the first day of each month. This represents the total contract price of $3,278,397, minus $138,918 credit for services provided to Avon -by -the Sea, for a net pay cost of $3,139,479 for FY 2021/22. This compensation amount represents an adjusted annual increase, as provided for in the 2017 Agreement and referenced in the proposed Addendum. Submitting Department Directors: Mia Goforth/John DeLeo Date: 9/7/21 Attachment: Resolution No. 2021-13 with Addendum Financial Impact: As reflected in the City's 2021/22 Proposed Annual Budget and in the Addendum to the Agreement, the compensation to be paid by the City to BCSO shall be $3,278,397, less $138,918 credit for Avon -by -the -Sea, for a net cost of $3,139,479 for FY 2021/22; Staff time/effort to prepare this Agenda Item. Reviewed by Administrative/Financial Services Director: John DeLeo Date: 9/3/21 The City Manager recommends the City Council take the following action: Adopt Resolution No. 2021-13. Approved by City Manager: Todd Morley Date: 9/7/21 RESOLUTION NO. 2021-13 A RESOLUTION OF THE CITY OF CAPE CANAVERAL, BREVARD COUNTY, FLORIDA; AUTHORIZING AN ADDENDUM TO THE AGREEMENT FOR MUNICIPAL LAW ENFORCEMENT SERVICES BETWEEN THE CITY OF CAPE CANAVERAL, FLORIDA AND WAYNE IVEY, AS SHERIFF OF BREVARD COUNTY; PROVIDING FOR THE REPEAL OF PRIOR, INCONSISTENT RESOLUTIONS, SEVERABILITY AND AN EFFECTIVE DATE. WHEREAS, the City of Cape Canaveral desires to have the Sheriff provide Municipal Law Enforcement Services; and WHEREAS, said Agreement contains a five (5) year term commencing on October 1, 2017 and ending September 30, 2022, and provides the City and the Sheriff shall renegotiate the contract price each year for the term of the agreement. NOW, THEREFORE, BE IT DULY RESOLVED BY THE CITY COUNCIL OF THE CITY OF CAPE CANAVERAL, BREVARD COUNTY, FLORIDA, AS FOLLOWS: SECTION 1. Recitals. The foregoing recitals are deemed true and correct and are hereby incorporated herein by this reference as a material part of this Resolution. SECTION 2. Execution of Addendum. The Mayor and City Clerk are authorized to execute an Addendum to the Agreement for Municipal Law Enforcement Services between the City of Cape Canaveral and the Sheriff to provide services for the contract year October 1, 2021 through September 30, 2022. A copy of said Addendum is attached hereto and made a part hereof by this reference as if fully set forth. SECTION 3. Repeal of Prior Inconsistent Resolutions. All prior resolutions or parts of resolutions in conflict herewith are hereby repealed to the extent of the conflict. SECTION 4. Severability. If any section, subsection, sentence, clause, phrase, word or portion of this Resolution is for any reason held invalid or unconstitutional by any court of competent jurisdiction, such portion shall be deemed a separate, distinct and independent provision and such holding shall not affect the validity of the remaining portion hereto. SECTION 5. Effective Date. This Resolution shall become effective immediately upon adoption by the City Council of the City of Cape Canaveral, Florida. ADOPTED at a Regular Meeting of the City Council of the City of Cape Canaveral, Florida, assembled this 21st day of September, 2021. [Signature Page Follows] City of Cape Canaveral Resolution No. 2021-13 Page 1 of 2 ATTEST: Mia Goforth, CMC City Clerk Approved as to legal form and sufficiency For the City of Cape Canaveral only by: Anthony A. Garganese, City Attorney Bob Hoog, Mayor Name FOR AGAINST Mike Brown Bob Hoog Mickie Kellum Wes Morrison Angela Raymond City of Cape Canaveral Resolution No. 2021-13 Page 2 of 2 Resolution No. 2021-13 I Attachment ADDENDUM CAPE CANAVERAL LAW ENFORCEMENT AGREEMENT THIS ADDEMDUM is entered into this day of , 2021 by and between the CITY OF CAPE CANAVERAL, FLORIDA (hereinafter "CITY") and WAYNE IVEY, IN HIS CAPACITY AS THE SHERIFF OF BREVARD COUNTY, FLORIDA, a county constitutional officer and a county charter officer (hereinafter called the "Sheriff' or "BCSO") WHEREAS, the Sheriff currently provides municipal law enforcement services to the City and its citizens pursuant to that certain Cape Canaveral Law Enforcement Agreement approved by the parties and memorialized in writing by City Resolution No. 2017-20, as may be amended from time to time (hereinafter "Agreement"); and WHEREAS, the Agreement contains a five (5) year agreement commencing October 1, 2017 and ending September 30, 2022, and provides the City and Sheriff shall renegotiate the compensation to be paid by the CITY to BCSO each year for the term of the contract; and WHEREAS, the agreement requires that written agreement as to the compensation paid by the CITY to BCSO for each year be in force by October 1st of the affected year, or the fee will be equal to that of the previous year, plus 4% for operational increases subject to adjustment by mutual agreement after the commencement of the fiscal year and after the CITY approves a budget; and WHEREAS, in accordance with the Agreement, the parties desire to establish the compensation to be paid by the CITY to BCSO for Fiscal Year 2021-2022 in accordance with the City's annual budget process; and WHEREAS, the parties desire to amend the Agreement for purposes of adopting the base contract price for the City's Fiscal Year 2021-2022; and NOW THEREFORE, in consideration of mutual promises, and other lawful consideration, which the parties hereby acknowledge is sufficient and received, the CITY and the BCSO agree as follows: 1.0 The foregoing recitals are hereby deemed true and correct and are hereby fully incorporated herein by reference. 2.0 Pursuant to Article VII of the agreement, the compensation to be paid by the CITY to BCSO for Fiscal Year 2021-2022 shall be the sum of $3,139,479. Payments shall be made to the BCSO by the CITY in twelve equal monthly installments of $261,623.25, payable on or before the first day of each month. 3.0 The Agreement is hereby ratified and shall remain in full force and effect, provided, however, the terms and conditions of the Agreement which are modified by this Addendum are repealed and superseded by the provisions set forth herein. On a periodic basis, the parties agree to cooperate and meet to discuss updates and revisions. Addendum — Cape Canaveral Law Enforcement Agreement Page 1 of 2 Resolution No. 2021-13 I Attachment 4.0 The undersigned signatories hereby represent for their respective entities that they are duly authorized to execute this Addendum on behalf of their respective entity. Further, upon execution of this Addendum, the Addendum shall be deemed a binding obligation on the respective entity on whose behalf they have executed the Addendum. IN WITNESS WHEREOF, the parties hereto caused this Agreement to be executed by their duly authorized representatives as of the date first written above. ATTEST: SHERIFF OF BREVARD COUNTY, FLORIDA Approved as to form and content: Charles Ian Nash GENERAL COUNSEL FOR SHERIFF WAYNE IVEY Date Wayne Ivey SHERIFF ATTEST: CITY OF CAPE CANAVERAL Mia Goforth, CMC CITY CLERK Approved as to form and content: Anthony A. Garganese CITY ATTORNEY Date Bob Hoog MAYOR Addendum — Cape Canaveral Law Enforcement Agreement Page 2 of 2 CITY OF CAPE CANAVERAL CITY COUNCIL MEETING • SEPTEMBER 21, 2021 AGENDA ITEM SUMMARY • ITEM # 3 Subject: Resolution No. 2021-14; authorizing an addendum to the Contract for fire protection and emergency medical services between the City of Cape Canaveral, Florida and the Cape Canaveral Volunteer Fire Department, Inc.; providing for the repeal of prior inconsistent resolutions, severability and an effective date. Department: City Clerk's Office + Administrative/Financial Services Summary: The City of Cape Canaveral Volunteer Fire Department, Inc. (CCVFD), dba Canaveral Fire Rescue, entered into a Contract on September 25, 2007 for CCVFD to provide Fire Protection and Emergency Medical Services to the City. The City Council annually considers/approves a resolution authorizing an Addendum to the original Contract, which extends through September 30, 2034. Under the Addendum put forth, the parties agree as follows: 1. The City and CCVFD entered into a Contract for Services dated September 25, 2007 which expires September 30, 2034; 2. The Contract provides that the City and CCVFD shall renegotiate the base contract each year after the first year; 3. The parties have agreed to a base annual Contract price for FY 2021/22 of $1,978,473 payable at $164,872.75 monthly. This compensation amount represents a re -negotiated base contract price increase, as provided for in the 2007 Contract and referenced in the proposed Addendum. Submitting Department Director: Mia Goforth/John DeLeo Date: 9/7/21 Attachment: Resolution No. 2021-14 with Addendum Financial Impact: As reflected in the City's 2021/22 Proposed Annual Budget and in the Addendum to the Contract, the City agrees to pay CCVFD (dba CFR) the base annual Contract price of $1,978,473 payable in monthly installments of $164,872.75; Staff time/effort to prepare this Agenda Item. Reviewed by Administrative/Financial Services Director: John DeLeo \ Date: 9/3/21 The City Manager recommends the City Council take the following action: Adopt Resolution No. 2021-14. Approved by City Manager: Todd Morley Date: 9/7/21 RESOLUTION NO. 2021-14 A RESOLUTION OF THE CITY OF CAPE CANAVERAL, BREVARD COUNTY, FLORIDA; AUTHORIZING AN ADDENDUM TO THE CONTRACT FOR FIRE PROTECTION AND EMERGENCY MEDICAL SERVICES BETWEEN THE CITY OF CAPE CANAVERAL, FLORIDA AND THE CAPE CANAVERAL VOLUNTEER FIRE DEPARTMENT, INC.; PROVIDING FOR THE REPEAL OF PRIOR INCONSISTENT RESOLUTIONS, SEVERABILITY AND AN EFFECTIVE DATE. WHEREAS, the City of Cape Canaveral and the Cape Canaveral Volunteer Fire Department, Inc. have entered into that certain Contract for Services dated September 25, 2007; and Resolution No. 2015-05 was adopted on May 19, 2015 for the purposes of modifying the term for Services to expire on September 30, 2034; and WHEREAS, said Contract provides that the City and the Cape Canaveral Volunteer Fire Department, Inc. shall renegotiate the base contract each year after the first contract year. NOW, THEREFORE, BE IT DULY RESOLVED BY THE CITY COUNCIL OF THE CITY OF CAPE CANAVERAL, BREVARD COUNTY, FLORIDA, AS FOLLOWS: SECTION 1. Recitals. The foregoing recitals are deemed true and correct and are hereby incorporated herein by this reference as a material part of this Resolution. SECTION 2. Execution of Addendum. The Mayor and City Clerk are authorized to execute an Addendum to the Contract for Services between the City of Cape Canaveral and the Cape Canaveral Volunteer Fire Department, Inc. to provide for a base contract price for the contract year October 1, 2021 through September 30, 2022. A copy of said Addendum is attached hereto and made a part hereof by this reference as if fully set forth. SECTION 3. Repeal of Prior Inconsistent Resolutions. All prior resolutions or parts of resolutions in conflict herewith are hereby repealed to the extent of the conflict. SECTION 4. Severability. If any section, subsection, sentence, clause, phrase, word or portion of this Resolution is for any reason held invalid or unconstitutional by any court of competent jurisdiction, such portion shall be deemed a separate, distinct and independent provision and such holding shall not affect the validity of the remaining portion hereto. SECTION 5. Effective Date. This Resolution shall become effective immediately upon adoption by the City Council of the City of Cape Canaveral, Florida. ADOPTED at a Regular Meeting of the City Council of the City of Cape Canaveral, Florida, assembled this 21st day of September, 2021. [Signature Page Follows] City of Cape Canaveral Resolution No. 2021-14 Page 1 of 2 ATTEST: Mia Goforth, CMC, City Clerk Approved as to legal form and sufficiency For the City of Cape Canaveral only by: Anthony A. Garganese, City Attorney Bob Hoog, Mayor Name FOR AGAINST Mike Brown Bob Hoog Mickie Kellum Wes Morrison Angela Raymond City of Cape Canaveral Resolution No. 2021-14 Page 2 of 2 Resolution No. 2021-14 I Attachment ADDENDUM THIS ADDENDUM is entered into this day of September, 2021 by and between the CITY OF CAPE CANAVERAL, FLORIDA, hereinafter called the "City", and the CAPE CANAVERAL VOLUNTEER FIRE DEPARTMENT, INC., d/b/a CANAVERAL FIRE RESCUE, a non-profit Florida corporation, hereinafter called the "Corporation." WHEREAS, the City and the Corporation have entered into that certain Contract for Services dated September 25, 2007 ("Contract"), which Contract is for a term of twenty-seven (27) years; and WHEREAS, said Contract requires the City and the Corporation to re -negotiate the base contract price for each year of the Contract after the first year; and WHEREAS, the parties have agreed to a revised Contract price for the period October 1, 2021 through September 30, 2022. NOW, THEREFORE, in consideration of the mutual covenants and agreements herein contained, the parties agree as follows: 1. Recitals. The parties agree that the above recitals are true and correct and incorporated into the body of this Agreement by this reference. 2. Price Revision. Paragraph 13 of the Contract is amended to read as follows: "The City agrees that in return for services specified herein, it will pay the Corporation the base annual contract price of $1,978,473. The compensation provided for herein shall be paid monthly in the sum of $164,872.75 per month commencing on the first day of October 2021 and continuing on the first day of each month thereafter. The parties shall renegotiate the base contract price for each successive year of this contract annually." 4. Continuing Effect. Except as modified by this Addendum, the Contract shall remain in full force and effect. IN WITNESS WHEREOF, the undersigned CITY OF CAPE CANAVERAL, a municipal corporation, by its duly authorized officer, has executed this instrument this 21st day of September, 2021. ATTEST: CITY OF CAPE CANAVERAL, FLORIDA a Municipal Corporation Mia Goforth, CMC CITY CLERK (Corporate Seal) By: Bob Hoog, MAYOR IN WITNESS WHEREOF, the undersigned CAPE CANAVERAL VOLUNTEER FIRE DEPARTMENT, INC., d/b/a CANAVERAL FIRE RESCUE, a non-profit corporation, by its authorized officers, has executed this instrument this day of September, 2021. ATTEST: Secretary (Corporate Seal) CAPE CANAVERAL VOLUNTEER FIRE DEPARTMENT, INC., d/b/a CANAVERAL FIRE RESCUE, a non-profit Corporation By: Dave Sargeant, FIRE CHIEF CITY OF CAPE CANAVERAL CITY COUNCIL MEETING • SEPTEMBER 21, 2021 AGENDA ITEM SUMMARY • ITEM # 4 Subject: Resolution No. 2021-16; authorizing the establishment of a City operated and maintained Police Athletic League program as an additional component of the City's Leisure Services Department; declaring that the Police Athletic League program established hereunder serves a municipal and public purpose; establishing an accounting procedure and Police Athletic League program fund for purposes of accepting charitable contributions and other donations related to the Police Athletic League program; providing goals and other requirements of the Police Athletic League program; providing for severability, repeal of prior inconsistent resolutions and an effective date. Department: Leisure Services Summary: The Police Athletic League (PAL) is a juvenile crime prevention program that relies on athletic and academic activities to develop a bond between law -enforcement officers and kids. PAL is based on the belief that children, if reached early enough, can develop a strong, positive attitude toward law -enforcement officers in their journey through life, toward the goal of adulthood and good citizenship. A traditional PAL Program brings youth under the supervision and constructive influence of a responsible law -enforcement agency and expands public awareness about the role of a law enforcement officer. That role is the positive reinforcement and support of the responsible values and attitudes instilled in young people by their parents. The Brevard County Sheriff's Office (BCSO) and the City of Cape Canaveral currently support the Youth Director Council (YDC) Program, the non -athletic component of PAL. BCSO PAL is a member of Florida PAL - Region 2, along with Cocoa, Satellite Beach and Melbourne. The Cape Canaveral YDC is a community -based program allowing youth to give back to the community through volunteering, with hopes of taking pride and ownership in their community. Volunteering also decreases the amount of time for potential negative activities. Youth attending high school can record their PAL volunteer hours for Bright Futures college scholarships. Volunteer hours are obtained through weekly meetings and community/regional events. The weekly meetings provide a platform for youth to discuss issues/problems at school, home or work as well as upcoming events. Community events include assisting in City sponsored events such as Friday Fest, Movie in the Park, Egg Hunt, Founders Day, Monster Mash and Holiday in the City. For well over a decade, the City of Cape Canaveral has successfully collaborated with BCSO to participate in the BCSO PAL, providing for various volunteering, athletic and academic opportunities for local area children. The program has been such a positive force to local children that, twice in the past eight years, Cape Canaveral children were chosen as State of Florida "PAL Boy of the Year" for their leadership at the local and State PAL levels. The BCSO PAL Program that serves the City is the only currently viable PAL Program operated by BCSO. The City was informed this year that BCSO will no longer be operating its own PAL Program and requested the City of Cape Canaveral operate the program. The BCSO has offered to transfer the remaining funds associated with their program totaling approximately $24,000. For at least the past eight years, the local PAL Program has been more than funded with revenue from the City's Reindeer Run. This revenue source will continue to fund the program, with the remaining funds as City of Cape Canaveral City Council Meeting • September 21, 2021 Agenda Item # 4 Page 2 of 2 contingency funds. Notwithstanding the decision made by BCSO, there is still a strong need and desire to continue the tradition of having a PAL serving the children and community of Cape Canaveral and the surrounding area. The current program Director will be retained as an independent contractor. The City has the authority to establish its own PAL Program, in partnership with participating law enforcement agencies and other local governments. Because the program also serves Cocoa Beach youth, the Cocoa Beach Police department has issued the attached letter of support (Attachment 1). The City's PAL Program established hereunder will be operated as an additional component of the City's Leisure Services Department under the direction and supervision of the City Manager and oversight of the City Council. An accounting procedure and separate fund to support the City's PAL Program, for purposes of accepting charitable contributions and other donations, will be created. These funds will augment athletic and academic activities for children and related community events, promoting the fiscal integrity of the program. Upon approval, the City Manager will be authorized and directed to recruit law enforcement agencies including, but not limited to, BCSO and City of Cocoa Beach Police Department to participate in the PAL Program. To that end, the City Manager is authorized to negotiate and execute, in consultation with the City Attorney, a memorandum of understanding or agreement with such law enforcement agencies to participate or partner in the PAL Program consistent with the goals and policy established by Resolution No. 2021-16 (Attachment 2). Submitting Department Director: Gustavo Vergara Date: 9/14/21 Attachment: Attachment 1 - Cocoa Beach Police Department Letter of Support. Attachment 2 - Resolution No. 2021-16. Financial Impact: Staff time and effort to prepare this agenda item. Reviewed by Administrative/Financial Services Director: John DeLeo Date: 9/9/21 The City Manager recommends the City Council take the following action: Adopt Resolution No. 2021-16. Approved by City Manager: Todd Morley Date: 9/14/21 Attachment 1 RESOLUTION NO. 2021-16 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CAPE CANAVERAL, FLORIDA; AUTHORIZING THE ESTABLISHMENT OF A CITY OPERATED AND MAINTAINED POLICE ATHLETIC LEAGUE PROGRAM AS AN ADDITIONAL COMPONENT OF THE CITY'S LEISURE SERVICES DEPARTMENT; DECLARING THAT THE POLICE ATHLETIC LEAGUE PROGRAM ESTABLISHED HEREUNDER SERVES A MUNICIPAL AND PUBLIC PURPOSE; ESTABLISHING AN ACCOUNTING PROCEDURE AND POLICE ATHLETIC PROGRAM FUND FOR PURPOSES OF ACCEPTING CHARITABLE CONTRIBUTIONS AND OTHER DONATIONS RELATED TO THE POLICE ATHLETIC LEAGUE PROGRAM; PROVIDING GOALS AND OTHER REQUIREMENTS OF THE POLICE ATHLETIC LEAGUE PROGRAM; PROVIDING FOR SEVERABILITY, REPEAL OF PRIOR INCONSISTENT RESOLUTIONS AND AN EFFECTIVE DATE. WHEREAS, the City is vested with all the authority and rights granted under the Florida Municipal Home Rule Powers Act ("Act"); and WHEREAS, historically, the City of Cape Canaveral has successfully partnered with the Brevard County Sheriff's Office ("BCSO") to participate in the BCSO's Police Athletic Program, and this program has provided various athletic and academic opportunities to local area children and community events; and WHEREAS, the BCSO's Police Athletic program has been a positive force serving the local Cape Canaveral community for many years; and WHEREAS, however, the City was unfortunately advised that the BCSO has decided that it will no longer be operating its own police athletic league; and WHEREAS, notwithstanding the decision made by the BCSO, there is still a strong need and desire to have a local police athletic league and the City Council desires to continue the tradition of having a police athletic league serving the children and community of Cape Canaveral and the surrounding area; and WHEREAS, pursuant to the authority vested in the City under the Act and under its general police powers, the City has the authority to establish its own police athletic program, in partnership with participating law enforcement agencies and other local governments, that strives to promote the prevention of juvenile crime and violence by building relationships among kids, law enforcement and community through positive engagement; and WHEREAS, the City's police athletic league program established hereunder shall be operated as an additional component of the City's Leisure Services Department under the direction and supervision of the City Manager and oversight of the City Council; and City of Cape Canaveral Resolution No. 2021-16 Page 1 of 5 WHEREAS, the City Council hereby also finds that creating an accounting procedure and separate fund to support the City's police athletic program for purposes of accepting charitable contributions and other donations and providing additional athletic and academic activities for children and related community events promotes the future fiscal integrity of the program and is in the best interests of the police athletic program created hereunder by the City; and WHEREAS, the City Council also hereby finds that this Resolution is intended to provide additional community events and athletic and academic opportunities to local area children and to promote the well-being of humanity without discrimination of any kind whatsoever; and WHEREAS, the City Council further declares that this Resolution, and the purposes stated herein, serves a municipal and public purpose; and WHEREAS, the City Council finds that this Resolution is in the best interests of the public health, safety, and welfare of the citizens of Cape Canaveral. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF CAPE CANAVERAL, BREVARD COUNTY, FLORIDA, AS FOLLOWS: Section 1. Recitals; Findings. (A) The foregoing recitals are hereby deemed to be true and accurate and are fully incorporated herein by this reference as duly adopted legislative findings of the City Council of Cape Canaveral. (B) The City Council establishes the following goals for the PAL Program established hereunder: 1. Increase the academic success of youth participants in the PAL Program; 2. Promote a safe, healthy environment for youth under the supervision of the City's Leisure Services Department, and participating law enforcement agencies and local governments, where mutual trust and respect can be built; 3. Increase school attendance by providing alternatives to suspensions and expulsions; 4. Reduce the juvenile crime rate in the local community and the number of police calls involving juveniles during non -school hours; 5. Provide youths with alternatives to drugs, alcohol, tobacco, and gang activity; City of Cape Canaveral Resolution No. 2021-16 Page 2 of 5 6. Create positive communications and interactions between youth and law enforcement personnel and community leaders; 7. Prepare youth for the workplace and higher education; 8. Provide community events that promote and support the PAL Program including creating opportunities to provide charitable contributions and donations to be used to provide PAL Program activities for youth; and 9. Providing youth local athletic, academic and volunteer opportunities. Section 2. Establishment of Police Athletic Program. (A) Established. Pursuant to the aforementioned legislative findings and goals, there is hereby established a City police athletic program for purposes of promoting the prevention of juvenile crime and violence by building relationships among kids, cops and community through positive engagement, such as through additional athletic, academic and volunteer opportunities for local area children and community events ("PAL Program"). (B) Funding and Charitable Contributions. The nature of the PAL Program and the objects and purposes to be transacted, promoted, and carried on under this Resolution shall be partially funded by the City under the Leisure Services Department at the sole discretion of the City Council, and by acquiring from persons or entities, by grant, gift, devise, bequest, charitable contribution, and otherwise, money or in -kind donations ("Charitable Funding"). The Charitable Funding received by the City shall be used solely to operate and maintain the PAL Program. Nothing herein shall require or obligate the City to appropriate any funds to the PAL Program. The intent is to fund the PAL Program substantially thorough Charitable Funding to the maximum extent possible. (C) Eligible Participants. Generally, youth between the ages of 12 years old and 18 years old from Cape Canaveral, Cocoa Beach and surrounding unincorporated area of Brevard County. However, the City Manager may establish age -specific PAL Program activities for youth under the age of 12 years old by administrative policy and procedure as provided under Subsection (F) below. Eligible participants shall be allowed to participate in the PAL Program without discrimination of any kind whatsoever. (D) Accounting Procedures. The City Manager is hereby instructed to implement an appropriate accounting procedure and separate fund for purposes of receiving, and accounting for, all Charitable Funding received by the City under the PAL Program. (E) Receipts for Charitable Funding. Upon receipt by the City of any monies or in -kind donations from persons or entities under the PAL Program, the City Manager or designee thereof City of Cape Canaveral Resolution No. 2021-16 Page 3 of 5 shall acknowledge, in writing, the City of Cape Canaveral's receipt of the specific monetary contribution or in -kind donation. The written acknowledgment shall also include a reference to this Resolution and shall also include a disclaimer in a form approved by the City Attorney that the City of Cape Canaveral's acknowledgment shall not be construed as rendering any tax advice as to whether or not the monetary contribution or in -kind donation is tax deductible. (F) PAL Program Administration and Oversight. The PAL Program shall be operated as a component of the City's Leisure Services Department. The administration of the PAL Program shall be under the direction and supervision of the City Manager, and the City Manager shall have the authority to establish written PAL Program administrative policies and procedures consistent with this Resolution. The City Manager may delegate responsibilities required to operate and maintain the PAL Program under this Resolution to City staff as deemed appropriate and necessary by the City Manager. However, the City Council shall maintain oversight over the PAL Program at its lawful discretion and to the extent deemed necessary by the City Council. (G) Law Enforcement Participation. The City Manager is hereby authorized and directed to recruit law enforcement agencies including, but not limited to, the BCSO and City of Cocoa Beach Police Department, to participate in the PAL Program, and to that end, the City Manager is authorized to negotiate and execute, in consultation with the City Attorney, a memorandum of understanding or agreement with such law enforcement agencies to participate or partner in the PAL Program consistent with the goals and policy established by this Resolution. Section 3. Repeal of Prior Inconsistent Resolutions. All resolutions or parts of resolutions in conflict herewith are hereby repealed to the extent of the conflict. Section 4. Severability. Should any section or provision of this resolution, or any portion hereof, any paragraph, sentence, or word be declared by a Court of competent jurisdiction to be invalid, such decision shall not affect the validity of the remainder hereto as a whole or part thereof to be declared invalid. Section 5. Effective Date. This resolution shall become effective immediately upon adoption by the City Council of the City of Cape Canaveral, Florida. [Signature Page Follows] City of Cape Canaveral Resolution No. 2021-16 Page 4 of 5 RESOLVED by the City Council of the City of Cape Canaveral, Florida, in a regular meeting assembled on the 21' day of September, 2021. ATTEST: Mia Goforth, CMC City Clerk Approved as to legal form and sufficiency for the City of Cape Canaveral only by: Anthony A. Garganese, City Attorney Bob Hoog, Mayor For Against Mike Brown Robert Hoog Mickie Kellum Wes Morrison Angela Raymond City of Cape Canaveral Resolution No. 2021-16 Page 5 of 5 Attachment 2 POLICE DEPARTMENT City of Cocoa Beach, FL P.O. Box 322430 20 S. Orlando Avenue COCOA BEACH, FL 32932-2430 (321)868-3271 FAX (321)868-3205 www.cityofcocoabeach.com August 12, 2021 Re: Letter of Support To Whom It May Concern: The City of Cocoa Beach Police Department is in support of a North Beaches Police Athletic League Program to serve the youth of the City of Cape Canaveral, City of Cocoa Beach and adjacent unincorporated Brevard County areas. Sincerely, Scott Rosenfeld Chief of Police Cocoa Beach Police Department CITY OF CAPE CANAVERAL CITY COUNCIL MEETING • SEPTEMBER 21, 2021 AGENDA ITEM SUMMARY • ITEM # 5 Subject: Resolution No. 2021-17; reappointing a Member to the Culture and Leisure Services Board of the City of Cape Canaveral; providing for the repeal of prior inconsistent resolutions, severability and an effective date. (Larry Holmes) Department: City Clerk's Office Summary: The term for Culture and Leisure Services (CLS) Board Member Larry Holmes will expire October 1, 2021. Mr. Holmes was originally appointed in October 2018, to fill a vacant, unexpired terms on the Board. Having only served one three-year term up to this point, he is eligible for reappointment. Mr. Holmes has expressed desire to continue serving for an additional three-year term. Following the completion of this second -consecutive term, Mr. Holmes may be eligible for reappointment if no other applications are on file for appointment to fill all vacancies on the CLS Board, consistent with the limitations set forth in Section 2-171(f), City Code. It is now incumbent upon Council to reappoint a member to the CLS Board. Submitting Department Director: Mia Goforth Date: 9/13/21 Attachment: Resolution No. 2021-17 Financial Impact: Staff time and effort to prepare this agenda item. Reviewed by Administrative/Financial Services Director: John DeLeo Date: 9/9/21 The City Manager recommends the City Council take the following action: Adopt Resolution No. 2021-17. Approved by City Manager: Todd Morley Date: 9/13/21 RESOLUTION NO. 2021-17 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CAPE CANAVERAL, FLORIDA; REAPPOINTING A MEMBER TO THE CULTURE AND LEISURE SERVICES BOARD OF THE CITY OF CAPE CANAVERAL; PROVIDING FOR THE REPEAL OF PRIOR INCONSISTENT RESOLUTIONS, SEVERABILITY AND AN EFFECTIVE DATE. WHEREAS, the City Council of the City of Cape Canaveral, Florida, has by City Code Section 54-26 established a Board known as the Culture and Leisure Services Board; and WHEREAS, it is now incumbent upon the City Council of the City of Cape Canaveral to reappoint a member to said Board. NOW, THEREFORE, BE IT DULY RESOLVED BY THE CITY COUNCIL OF THE CITY OF CAPE CANAVERAL, BREVARD COUNTY, FLORIDA, AS FOLLOWS: Section 1. Recitals. The foregoing recitals are deemed true and correct and are hereby incorporated herein by this reference as a material part of this Resolution. Section 2. Reappointment to City Advisory Boards. Pursuant to Section 2-171(e) of the Cape Canaveral City Code, the City Council of the City of Cape Canaveral hereby reappoints the following individual to the Culture and Leisure Services Board: Larry Holmes shall be reappointed to serve until October 1, 2024. Following completion of this term, this appointee may be eligible for reappointment if no other qualified applicants submit applications seeking appointment, consistent with the limitations set forth in section 2-171(f), City Code. Section 3. Repeal of Prior Inconsistent Resolutions. All prior resolutions or parts of resolutions in conflict herewith are hereby repealed to the extent of the conflict. Section 4. Severability. If any section, subsection, sentence, clause, phrase, word or portion of this Resolution is for any reason held invalid or unconstitutional by any court of competent jurisdiction, such portion shall be deemed a separate, distinct and independent provision and such holding shall not affect the validity of the remaining portion hereto. Section 5. Effective Date. This Resolution shall become effective immediately upon adoption by the City Council of the City of Cape Canaveral, Florida. ADOPTED at a Regular Meeting of the City Council of the City of Cape Canaveral, Florida, assembled this 21 st day of September, 2021. [Signature page follows] City of Cape Canaveral Resolution No. 2021-17 Page 1 of 2 ATTEST: Mia Goforth, CMC, City Clerk Approved as to legal form and sufficiency For the City of Cape Canaveral only by: Anthony A. Garganese, City Attorney Bob Hoog, Mayor Name FOR AGAINST Mike Brown Bob Hoog Mickie Kellum Wes Morrison Angela Raymond City of Cape Canaveral Resolution No. 2021-17 Page 2 of 2 CITY OF CAPE CANAVERAL CITY COUNCIL MEETING • SEPTEMBER 21, 2021 AGENDA ITEM SUMMARY • ITEM # 6 Subject: Resolution No. 2021-18; appointing a Regular Member to the Community Appearance Board of the City of Cape Canaveral; providing for the repeal of prior inconsistent resolutions, severability and an effective date. (Angela Trulock) Department: City Clerk's Office Summary: At its July 21, 2021 Meeting, the Community Appearance Board (CAB) interviewed Angela Trulock to fill a vacancy and voted to recommend her for appointment. Ms. Trulock will be filling the remainder of an existing, unexpired term that will end May 1, 2023. Following the completion of this term, Ms. Trulock will be eligible for reappointment to the CAB, consistent with the limitations set forth in Section 2-171(f), City Code. It is now incumbent upon City Council to appoint a member to the CAB. Submitting Department Director: Mia Goforth 'ADate: 9/13/21 Attachment: Resolution No. 2021-18 Financial Impact: Staff time and effort to prepare this agenda item. Reviewed by Administrative/Financial Services Director: John DeLeo Date: 9/9/21 The City Manager recommends the City Council take the following action: Adopt Resolution No. 2021-18. Approved by City Manager: Todd Morley Date: 9/13/21 RESOLUTION NO. 2021-18 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CAPE CANAVERAL, FLORIDA; APPOINTING A REGULAR MEMBER TO THE COMMUNITY APPEARANCE BOARD OF THE CITY OF CAPE CANAVERAL; PROVIDING FOR THE REPEAL OF PRIOR INCONSISTENT RESOLUTIONS, SEVERABILITY AND AN EFFECTIVE DATE. WHEREAS, the City Council of the City of Cape Canaveral, Florida, has by City Code §22-36 established a Board known as the Community Appearance Board; and WHEREAS, it is now incumbent upon the City Council of the City of Cape Canaveral to appoint a member to the Community Appearance Board. NOW, THEREFORE, BE IT DULY RESOLVED BY THE CITY COUNCIL OF THE CITY OF CAPE CANAVERAL, BREVARD COUNTY, FLORIDA, AS FOLLOWS: Section 1. Recitals. The foregoing recitals are deemed true and correct and are hereby incorporated herein by this reference as a material part of this Resolution. Section 2. Appointment of a Regular Member to the Community Appearance Board. Pursuant to City Code §2-171(e), the City Council of the City of Cape Canaveral hereby appoints the following individual to the Community Appearance Board: Angela Trulock shall be appointed to an existing, unexpired term to serve until May 1, 2023. Following completion of this terms, this appointee may be eligible for reappointment for an additional three-year term, consistent with the limitations set forth in section 2-171(f), City Code. Section 5. Repeal of Prior Inconsistent Resolutions. All prior resolutions or parts of resolutions in conflict herewith are hereby repealed to the extent of the conflict. Section 6. Severability. If any section, subsection, sentence, clause, phrase, word or portion of this Resolution is for any reason held invalid or unconstitutional by any court of competent jurisdiction, such portion shall be deemed a separate, distinct and independent provision and such holding shall not affect the validity of the remaining portion hereto. Section 7. Effective Date. This Resolution shall become effective upon adoption by the City Council of the City of Cape Canaveral, Florida. ADOPTED at a Regular Meeting of the City Council of the City of Cape Canaveral, Florida, assembled this 21st Day of September, 2021. [Signature Page Follows] City of Cape Canaveral Resolution No. 2021-18 Page 1 of 2 ATTEST: Mia Goforth, CMC, City Clerk Bob Hoog, Mayor Name FOR AGAINST Mike Brown Bob Hoog Mickie Kellum Wes Morrison Angela Raymond Approved as to legal form and sufficiency For the City of Cape Canaveral only by: Anthony A. Garganese, City Attorney City of Cape Canaveral Resolution No. 2021-18 Page 2 of 2 CITY OF CAPE CANAVERAL CITY COUNCIL MEETING • SEPTEMBER 21, 2021 AGENDA ITEM SUMMARY • ITEM # 7 Subject: Approve Contract for Purchase and Sale to purchase property located at 7404 N. Atlantic Avenue in the amount of $925,000 (plus City pays closing costs) and authorize Mayor to execute same. Department: Community and Economic Development Summary: The City's Visioning Plan includes a goal to "transform blighted and unfinished buildings into attractive structures, offer City-wide green spaces, [and to] provide exceptional parks with ample shade." At its May 18, 2021 Regular Meeting, City Council unanimously approved the Strategic Planning Retreat Summary Report which established the acquisition and development of the Promenade property, located at 7404 N. Atlantic Avenue (Attachment 1), as an Intermediate Priority within the Sense of Place Pillar category (Attachment 2). Although it has been identified as an Intermediate Priority, Staff remained in contact with the Owner of the property who, in July of this year indicated he now had a willingness to sell. Considering that real estate purchases are often opportunity - based, Staff recognized the importance of bringing the item to City Council while there was interest to sell. City Council now has an opportunity to advance an Intermediate Priority, if it so chooses. Accordingly, the City's FY 2021/22 Community Redevelopment Area budget, provides a capital project for the purchase of the property. The Promenade represents an opportunity to expand the City Hall plaza to "become the epitome of a civic hub, creating a sense of arrival for residents and tourists alike. Amenities such as water fountains, band/stage event, entrance features, communal spaces, open design concept, accent lighting and landscaping would solidify the space as the ultimate space for civic engagement." In fulfillment of this goal/priority, Staff has negotiated the purchase of the Promenade property via a Contract for Purchase and Sale (Contract) that has been executed by the Seller (Attachment 3). As this property is located within the City's Community Redevelopment Area (CRA), the capital improvement note is proposed to be repaid through the CRA for its acquisition and development. This funding approach will place the financial burden for the purchase of this property on the CRA, not the General Fund. According to the Brevard County Property Appraiser records, the property is .43 acres in size, is zoned C1, and contains a 6,760 square foot, multi -tenant commercial building, built in 1963. The building consists of 2 stories, including four (4) ground -floor units and one (1) second -floor office unit. The current parking lot configuration includes 35 striped parking spaces, which were repaved in 2020. According to the appraisal report (Attachment 4), as of April 24, 2021, the property had an appraised value of $770,000. The Assessed Value of the property in 2021 was $642,830 and according to the City of Cape Canaveral City Council Meeting • September 21, 2021 Agenda Item # 7 Page 2 of 2 Brevard County Tax Collector's records, the combined annual taxes and assessments are $9,178.88. This includes a Brevard County General Fund amount of $2,089.85, a Cape Canaveral General Government amount of $2,030.37, and a School Board total amount of $4,020.71. The building currently has two (2) tenants (Intek Cell and Repair and Hairport). Leases for both tenants expired on July 31, 2021 and therefore the tenants remain via a month -to -month lease. Per the Agreement, the Seller will provide written notice to existing tenants that the property must be vacated no later than three (3) days prior to closing. The Seller will convey the property at closing via Warranty Deed, which closing may be extended by the City by a period of not more than thirty (30) days. The closing date shall be on or before ninety (90) days following the effective date (date that both City and Seller have signed). The Contract also provides the City an inspection period to conduct any and all investigations deemed necessary as part of the purchase. Should the City, for any reason, be dissatisfied or concerned with the result of any investigation, the City may terminate the Contract by written notice to the Seller. Seller is requesting that a marker be placed on the property indicating the project was made possible through a community partnership with the Scharlau family. The contract is contingent on the City Council's approval at the September 21, 2021 Regular Meeting and the approval of the Capital Improvement Revenue Note, Series 2021 ($1.2M), which is included in this agenda packet. Submitting Department Director: David Dickey Date: 9/14/21 Attachments: 1 - Aerial/Location Map 2 - Council Retreat Item 3 - Contract for Purchase and Sale (signed by Seller) 4 - Summary Appraisal Report 5 — CRA Eligibility Memo Financial Impact: $925,000 (plus all closing costs) funded by a capital improvement note to be repaid through the CRA; Staff time and effort to prepare this agenda item as detailed in Attachment 5. Reviewed by Administrative/Financial Services Director: John DeLeo Date: 9/9/21 The City Manager recommends the City Council take the following action(s): Approve Contract for Purchase and Sale to purchase property located at 7404 N. Atlantic Avenue in the amount of $925,000 (plus City paying closing costs) and authorize Mayor to execute same. Approved by City Manager: Todd Morley Date: 9/14/21 Attachment 1 Aerial/Location Map - 7404 N. Atlantic Avenue City of Cape Canaveral Attachment 2 Strategic Planning Retreat New Project Title: The Promenade Department: Leisure Services Director: Gustavo Vergara Anticipated Cost: $750,000-$900,000 Acquisition. $800,000 Site Development. Time Frame: FY 21/22 — Land Acquisition and Site Design. FY 22/23 — Site Development. In CIP? ❑X Yes ❑ No CIP: $1,600,000 (CIP) — FY 21/22; FY 22/23 Description: Purchase of 7406 N Atlantic Avenue and expansion/transformation of existing City Hall Plaza into Cape Canaveral's first public Promenade. The area would become the epitome of a civic hub creating a sense of arrival for residents and tourists alike. Amenities such as water fountains, band/event stage, entrance features, communal spaces, open design concept, accent lighting and landscaping would solidify the space as the ultimate space for civic engagement. The area is located within the CRA and grants would be sought out for development. The property was recently sold, but inquiries into purchase of the property have now taken place with current owner stating that he has already invested $750,000 into the property and would sell it to the City for $900,000. An updated appraisal of the property would reveal its current value and would be pivotal before any negotiation could take place. 89 LEGEND A A1A main entry, extend wall design from existing Plaza B. Community Kiosks/Info C. Walkway D. Solar Lights used through -out; match from existing Plaza E. Bridge leading to Plaza F. Natural pond with rock waterfall and fountain G. New Plaza; match paver pattern, style and color to existing plaza H. Plaza sculpture within circular seat wall I. Curved trellis shade structure with seat wall and art show display areas J. Patio area; access to food trucks/farmer's market gathering space K. Patio seat walls Community Center New wall to match exie;ting The Promenade - Concept #1 L. Amphitheater (ADA accessible at lower level) M. Amphitheater main stage with shade structure N. Amphitheater seating. 3 rows of seating walls with stair access and artificial turf O. Drop-off area for amphitheater P. Removable bollards Q. Bike rack (iyp.) R. Food truck access drive; enter from Polk Ave, exit at Taylor Ave; one way S. Pedestrian/ Bike access from Poinsetta Ave. T. Landscape areas; native planting/storm resistant U. Sod or artificial turf; multi -use open space V. Bench/trash receptacles to match existing Plaza Raquettball Court Exieting Space Mural along thie wall O 10 20 40 80 GRAPHIC SCALE LEGEND A. A1A main entry. Extend wall design from existing Plaza B. Community Kiosks/Info C. Walkway D. Solar Lights used through -out; match from existing Plaza E. New Plaza; match paver pattern. Style and color to existing plaza F. Water feature; decorative bowl fountain with vanishing edge G. Planter cut-outwith Specimen Palm to match exisitng plaza H. Curved trellis shade structure with seat walls and art show display areas I. Patio area; access to food trucks/farmer's market gathering space J. Patio seat walls K.Amphitheater (ADA accessible at lower level) L. Amphitheater main stage area M. Amphitheater seating. 3 rows of seating walls with stair access and artificial turf N. Drop-off area for Amphitheater O. Removable bollards P. Bike rack Q. Food truck access drive; enter from Polk Ave. exit at i aylor Ave; one way R. Pedestrian/bike access from Poinsetta Ave. S. Landscape areas; native plantings/storm resistant T. Sod or artificial turf; multi -use open space U. Bench/trash receptacles to match existing Plaza Existing Oak tree to remain New wall to match exie;ting Dog Park one way----+ Q Raquett,all Court "'''''"Exieting Space Mural along thie wall Exieting Oak tree to remain (with retaining wall) The Promenade - Concept #2 ♦o 10 20 40 80 GRAPHIC SCALE 90 Plaza Expansion Curved Trellis Shade Structure The Promenade - Design Elements Amphitheatre Ideas Concept #1 Water Feature Ideas Concept #2 Landscaping 91 Cape Canaveral Community Redevelopment Agency Fund Capital Improvement Program Detail Project Name: City Promenade Department: Community Redevelopment Location: 7404 N Atlantic Ave Project Start Date: FY21-22 Project Code: Project Manager: Original Plan Date: CIP # CR-2 TBD D. Dickey Jan-19 Estimated annual operating and maintenance costs: $3,000 Description / Justification: Description: Purchase and redevelop property located at 7404 N Atlantic Ave. Justification: In line with the City's visioning plan that "transforms blighted and unfinished buildings into attractive structures, offers City- wide green spaces, provides exceptional parks with ample shade", the opportunity arose to purchase and redevelop this property. Expansion of the City Hall Plaza into a beautiful promenade will promote resident/tourist engagement and redevelop an outdated property into a place that completes the municipal campus for all to enjoy. • Consistency with Council Goals Implement the City of Cape Canaveral Vision Statement. Project Expenditures / Funding Sources: Project Costs: FY21-22 FY22-23 FY23-24 FY24-25 FY25-26 Total Property Acquisition Redevelopment 800,000 800,000 800,000 800,000 Total Project Costs 800,000 800,000 - - - 1,600,000 Sources of Funds: FY21-22 FY22-23 FY23-24 FY24-25 FY25-26 Total Capital Financing & Grant Funding CRA Funding 800,000 800,000 800,000 800,000 Total Project Funding $ 800,000 $ 800,000 $ - $ - $ - $ 1,600,000 92 Attachment 3 CONTRACT FOR PURCHASE AND SALE THIS CONTRACT FOR PURCHASE AND SALE ("Contract") is made by and between WILLIAM J. SCHARLAU, a single man (hereinafter referred to as "Seller"), with a principal address of 4660 Brentwood Drive, Cocoa, FL 32927, and the CITY OF CAPE CANAVERAL, FLORIDA, a Florida municipal corporation, ("Buyer") with a principal address of 100 Polk Avenue, Cape Canaveral, FL 32920. For and in consideration of a valuable sum in dollars, the premises and the mutual covenants and obligations created hereby, as well as other good and valuable considerations, Buyer agrees to buy and Seller agrees to sell the following described real property subject to and upon the terms and conditions set forth below. The effective date of this Contract (the "Effective Date") shall be the date upon which the last of Seller and Buyer shall have signed this Contract. ARTICLE I - PROPERTY The real property (the "Property") which is the subject matter of this Contract consists of a parcel of land and building located in the City of Cape Canaveral, Brevard County, Florida, and being more fully described in Exhibit "A" attached hereto and made a part hereof. ARTICLE II - PURCHASE PRICE Purchase Price. The purchase price (the "Purchase Price") for the Property shall be Nine Hundred Twenty -Five Thousand and 00/100 ($925,000.00). No deposit is required. ARTICLE III - CLOSING AND CLOSING DATE; TENANTS 3.1 Closing. The transaction contemplated by this Contract shall be closed (the "Closing"), the Purchase Price applied to closing costs and the deed, and the exclusive possession of the Property, free of all occupants including, but not limited to, any existing tenants, shall be delivered to Buyer at Closing. The closing date shall be on or before 90 days following the Effective Date. 3.2 Existing Tenants. Upon execution of this Agreement by the City, Buyer shall provide written notice to any existing tenants that the Property must be vacated no later than three (3) days prior to the date of Closing. If any of the tenants refuses to vacate the Property within said time period, Buyer shall have the right to extend the date of Closing upon written notice to Buyer, by up to thirty (30) days, in order to effectuate the vacation of all tenants from the Property prior to Closing as required by this Agreement. Any other extension to allow tenants to vacate the Property shall be by mutual agreement of the parties. 3.3 Prohibiting Future Tenants. During the term of this Agreement, Seller shall not allow any additional tenants to occupy the Property, nor shall Seller enter into any agreement or take any action that allows the occupancy of the Property by any other party at any time after the Effective Date of this Agreement. ARTICLE IV - TERMS AND CONDITIONS The additional terms and conditions of this Contract are as follows: 4.1. Evidence of Title. Buyer, at Buyer's expense and within thirty (30) days from the Effective Date, shall obtain a title insurance commitment (the "Title Commitment") to issue an ALTA Owner's Title Insurance Policy from a title insurance company acceptable to Buyer (the "Title Insurance Company") in the amount equal to Purchase Price, naming Buyer as the proposed insured. The Title Commitment shall show good, marketable and insurable fee simple title to the Property to be vested in Buyer, liens, encumbrances, exceptions and qualifications which will not interfere with or impair the Property's use for public purposes; exceptions permitted by the provisions of this Contract; and those exceptions which are capable of and are actually to be discharged by Seller at or before Closing (all other exceptions to title being deemed title defects for purposes of this contract). Legible and complete copies of all instruments listed as exceptions to title (commonly identified as Schedule B-ll exceptions in the Title Commitment) shall be delivered with the Title Commitment. If title is found to be defective, Buyer shall, within ten (10) days from the date it receives the Title Commitment, notify Seller in writing to that effect specifying the defects. Seller shall have twenty (20) days from the receipt of Buyer's notice specifying the title defects to cure the defects and, if after said period Seller shall not have cured the defects, or if Seller shall not have progressed to a point where the defects are certain to be remedied prior to Closing, or where the removal of such defects is not otherwise assured to Buyer's satisfaction, Buyer shall have the option of (i) accepting the title "as is" or (ii) terminating the Contract after which Buyer and Seller shall each be released from all further obligations to each other respecting matters arising from this Contract. 4.2. Survey. Buyer may, at Buyer's expense, obtain a survey of the Property (the "Survey") prepared by a licensed Florida land surveyor dated no earlier than thirty (30) days before Closing, or in the alternative, an update of an earlier survey re -dated to a point in time no earlier than the last thirty (30) days. If the Survey shows any encroachments onto the Property and/or improvements located outside its boundaries or encroachments by improvements principally located on the Property over required setback lines or over onto the property of others or onto any public right-of-way adjacent to the Property, or if it is apparent that the Property violates existing title covenants and/or applicable zoning laws or ordinances, Buyer shall notify Seller in writing to that effect specifying the defects. Seller shall have until thirty (30) days from receipt of Buyer's notice specifying the Survey defects in which to cure such defects. If after said period Seller shall not have cured the defects, or if Seller shall not have progressed to a point where the defects are certain to be remedied at or prior to Closing, Buyer shall have the option of (i) accepting the condition of the Property as disclosed in the Survey in an "as is" condition, or (ii) terminating the Contract, thereupon Buyer and Seller shall each be released from all further liabilities and obligations to each other with respect to all matters arising from this Contract. At Closing, Seller will furnish Buyer with an Affidavit Regarding Survey (i) testifying to the absence of any encroachments not shown on the survey; and (ii) testifying that Seller has not granted or caused to be granted any license to use or any right to enter upon the Property. 2 4.3. Conveyance. Seller shall convey title to the Property to Buyer by Warranty Deed (the "Deed"), subject only to: (i) taxes for the year of Closing; and (ii) matters disclosed in the title evidence provided to and accepted or deemed accepted by Buyer. 4.4. Closing Affidavit. At the Closing, Seller shall furnish Buyer with an affidavit (i) testifying to the absence of any claims, encumbrances, taxes, assessments, liens or potential lienors known to Seller not disclosed in the Title Commitment and Deed, (ii) further attesting that there have been no improvements to the Property by or through Seller for the ninety (90) day period immediately preceding the date of Closing, the cost of which remains unpaid, (iii) agreeing to take no action prior to recording the Deed which would adversely affect the title to the Property, (iv) testifying that possession of the Property is subject only to those matters accepted by Buyer pursuant to the terms hereof, if any, and that Seller is otherwise in exclusive, peaceable and undisputed possession of the Property, and (v) testifying that there are no actions or proceedings now pending in any state or federal court to which Seller is a party including, but not limited to, proceedings in bankruptcy, receivership or insolvency, which would affect the Property, the title to the Property or Seller's ability to close on the sale of the Property to Buyer except as disclosed in the Title Commitment. Seller shall also furnish such other evidence, affidavits or information required by the Title Insurance Company so that the Title Insurance Company will be able to eliminate all standard exceptions from the Title Commitment at Closing, except for taxes for the year of Closing which are not yet due or payable. 4.5. Place of Closing. Closing shall be held by express courier or at the offices of the title agent or at Garganese, Weiss, D'Agresta & Salzman, P.A. or such other location as is mutually agreed upon by Buyer and Seller. 4.6. Documents for Closing. Buyer's attorney or title agent shall prepare the Deed, Seller's affidavit, closing statement, and any corrective instruments that may be required in connection with perfecting title. 4.7. Expenses. State documentary tax for the Deed and the cost of recording all corrective documents needed to complete the transaction shall be borne by Buyer. Buyer shall also pay for the title insurance premium, recording the Deed and all fees and expenses arising from or associated with the simultaneous issuance of a lender's title insurance commitment and policy, if any, and any and all endorsements to such policy required by its lender. 4.8. Proration of Taxes; Real and Personal. Taxes shall be prorated based upon the current year's tax based on the highest discount available at Closing. If the Closing occurs on a date when the current year's taxes are not fixed and the current year's assessment is available, taxes will be prorated based upon such assessment and the prior year's millage. If the current year's assessment is not available, then taxes will be prorated based on the prior year's tax; provided, however, if there are completed improvements on the Property by January 1st of the year of Closing, which improvements were not in existence on January 1st of the prior year, then the taxes shall be prorated to the date of Closing based upon the prior year's millage and an equitable assessment to be agreed upon between the parties, failing which request will be made to the county tax assessor for an informal assessment. If 3 the Property is assessed as part of a larger tract of land and a "cut out" is not available from the tax assessor at the time of Closing, the taxes for the Property shall be estimated and prorated based upon the ratio of the size of the Property in relation to the overall tract of which the Property forms a part, taking into consideration matters of zoning as described in the tax assessor's records. Any tax proration based on an estimate may, at the request of either party, be subsequently readjusted upon receipt of the actual tax bill. Title Agent shall ensure compliance with Fla. Stat. 196.295 at settlement, and Buyer shall be responsible for any real and personal property taxes billed with respect to the Property after Closing. This provision for reproration shall survive the Closing. 4.9. Special Assessment Liens. Special assessment liens which are certified, confirmed and ratified as of the date of Closing are to be paid by Seller. Special assessment liens which are certified, confirmed and ratified but payable in installments post Closing shall be paid in full by Seller at Closing. Special assessment liens pending as of the date of Closing shall be assumed by Buyer; provided, however, that if the improvements which form the basis for such special assessment are substantially completed as of the date of Closing they shall be deemed to have been certified, confirmed or ratified and Buyer shall, at Closing, be credited with an amount equal to the last estimate of the assessment for the improvement made by the appropriate public body. 4.10. Default. If Buyer fails to perform any of Buyer's covenants set forth in this Contract, the Deposit, if any, shall be paid to and retained by and for the account of Seller as agreed upon liquidated damages and in full settlement of any claims whatsoever. If Seller fails to perform any of Seller's covenants set forth in this Contract or fails to convey the Property when Seller is obligated to do so in accordance with the terms hereof, Buyer shall have, as its sole and exclusive remedies, the election of either (i) demanding and receiving a refund of the Deposit, if any, immediately or (ii) the right of specific performance against Seller. 4.11. Severability. If any one or more of the provisions of this Contract is held invalid, illegal or unenforceable, the remaining provisions of this Contract shall be unimpaired, and the remaining provisions of this Contract shall be construed to best carry out the original intent of the parties hereto. 4.12. Complete Agreement. This Contract evidences the complete understanding of the parties hereto as respects the matters addressed herein. No agreement or representation, unless set forth in this Contract, shall bind either of the parties hereto. 4.13. Notices. Notices to Seller and Buyer shall be deemed delivered (i) when hand delivered, or (ii) one (1) business day following delivery to an express delivery courier, such as Federal Express, or (iii) three (3) days following deposit in U.S. mail, certified, return receipt requested. Notice shall be given to the following addresses: To Seller: William J. Scharlau 4660 Brentwood Drive Cocoa, FL 32927 4 To Buyer: With copy to: City of Cape Canaveral Attention: Todd Morley, City Manager 100 Polk Avenue Cape Canaveral, FL 32927 Anthony A. Garganese City Attorney Garganese, Weiss, D'Agresta & Salzman, P.A. 111 N. Orange Ave., Suite 2000 Orlando, FL 32801 4.14. FIRPTA - Right to Withhold. If Seller is a "foreign person" as defined by FIRPTA, Section 1445 of the Internal Revenue Code, Buyer is required to withhold up to 15% of the amount realized by the Seller on the transfer and remit the withheld amount to the Internal Revenue Service (IRS) unless an exemption to the required withholding applies or the Seller has obtained a Withholding Certificate from the IRS authorizing a reduced amount of withholding. Due to the complexity and potential risks of FIRPTA, Buyer and Seller should seek legal and tax advice regarding compliance, particularly if an "exemption" is claimed on the sale of residential property for $300,000 or less. Seller agrees that Buyer may deduct and withhold from the Purchase Price provided in Article II hereof, a tax in the amount of up to fifteen percent (15%) of the amount realized (as that term is used in Section 1445(a) of the Internal Revenue Code) by Seller pursuant to this Contract, except upon the occurrence of either (A) or (B) below: (A) At or prior to Closing, Seller provides to Buyer a Certificate of Non -Foreign Status or a Non-USRPHC Statement described in and complying with Section 1445(b)(2) or (3) of the Internal Revenue Code of 1986, as amended (the "Code") (all references to Section or the Code include any successor provisions thereto and any Treasury Regulations promulgated in connection thereto) and Buyer has no knowledge or notice that such Certificate or Statement is false; or (B) At or prior to Closing, Buyer received a withholding certificate described in Temp. Treas. Reg. Section 1.1445-3T or Rev. Proc. 85-41. Buyer agrees that any amount deducted and withheld pursuant to this Section shall be remitted to the Internal Revenue Service in accordance with Section 1445 of the Code and the Regulations thereunder. 4.15. Environmental Status. Seller warrants and represents to Buyer that, to Seller's knowledge, (i) the Property is free of all hazardous waste or substances except as may be permitted by applicable law; (ii) that the Property has been operated and maintained in compliance with all applicable environmental laws, statutes, ordinances, rules and regulations; (iii) no other release of any hazardous waste or substances has taken place on the Property, (iv) no migration of hazardous waste or substances has taken place from the Property which would cause the release of any hazardous waste or substance on any adjoining lands or any other lands in the vicinity of the Property; and (v) there are 5 no bulk or underground tanks on or in the Property, and, no bulk or underground storage tanks have ever been located on or in the Property. The term hazardous waste or substances shall include those substances included within the definitions of "hazardous substances", "hazardous materials", "toxic substances", or "solid waste" in CERCLA, RCRA, and the Hazardous Materials Transportation Act, 49 U.S.C. Section 1801, et sec ., and in the regulations promulgated pursuant to said laws or any replacement thereof; such other substances, materials and wastes which are or become regulated under applicable local, state or federal law, or which are classified as hazardous or toxic under federal, state, or local laws or regulations. Seller has no notice or knowledge of the on -site existence of any "Endangered and Threatened Species," flora and fauna as identified by the U.S. Fish and Wildlife Service's "List of Endangered and Threatened Wildlife and Plants" as may be amended from time to time. Seller further warrants no knowledge of the on -site existence of any upland conservation areas which are preserved, or may be preserved, for the purposes of providing of wildlife habitat. The provisions of this Section 4.15 shall survive the Closing or earlier termination of this Contract. 4.16. Right of Inspection. During the term of this Contract, Buyer, its agents, employees and representatives, may have access to the Property and the records of the Property (including those on file with any governmental agency) at all reasonable times subsequent to the Effective Date of this Contract with the right, at Buyer's expense, to inspect the Property and to conduct all tests and borings thereon as Buyer, its licensed engineers, surveyors and the like shall deem reasonably necessary or desirable to fulfill the tests and investigations contemplated by the Contract. Any entry on or to the Property by Buyer or its authorized representatives pursuant to the provisions hereof shall be at the risk of Buyer, and to the extent of the monetary limitations in Fla. Stat. 768.28, Buyer hereby indemnifies, protects, and holds Seller harmless and agrees to defend Seller from and against any and all claims, demands, losses, damages, and liabilities (including but not limited to personal injury and property damage claims and mechanics' or other liens), together with related costs and expenses, including reasonable attorney fees and litigation costs, caused by Buyer or Buyers' agents on or to the Property. This does not waive Buyer's right to sovereign immunity. In addition, Buyer shall keep the Property free from any liens which could arise as a result of the exercise by Buyer of any of its rights hereunder. 4.17. WAIVER OF TRIAL BY JURY. SELLER AND BUYER HEREBY MUTUALLY, VOLUNTARILY AND INTENTIONALLY WAIVE THE RIGHT EITHER MAY HAVE TO A TRIAL BY JURY REGARDING ANY LITIGATION BASED OR ARISING OUT OF, UNDER OR IN CONNECTION WITH THIS CONTRACT OR ANY AGREEMENT CONTEMPLATED TO BE DELIVERED IN CONJUNCTION THEREWITH, OR ANY COURSE OF CONDUCT, COURSE OF DEALING, STATEMENTS (WHETHER ORAL OR WRITTEN) OR ACTIONS OF EITHER PARTY. THIS PROVISION IS A MATERIAL INDUCEMENT FOR EACH OF SELLER AND BUYER ENTERING INTO THIS CONTRACT. 6 ARTICLE V - SPECIAL CONDITIONS Seller has made a limited number of representations and warranties to Buyer in this Contract. In consideration of Buyer waiving additional conditions, representations or warranties from Seller, Seller and Buyer hereby agree as follows: 5.1. Time for Acceptance of Offer; Condition Precedent. Buyer's obligation to commence performance and close under this Contract shall be subject to the satisfaction of the following conditions precedent enumerated below. In the event any one of these conditions is not satisfied for any reason whatsoever, then this Contract shall terminate, and Buyer and Seller shall be fully relieved from all further rights and responsibilities under this contract. (A) The complete execution of this Contract by Seller and Buyer and the approval of this Contract by Buyer's City Council. This Contract must be executed, accepted by Seller and returned to Buyer by September 3, 2021. Upon execution by Seller, this Contract shall constitute an irrevocable offer to sell the Property to Buyer in accordance with the terms of this Contract. Buyer's City Council shall then have until its regular meeting on September 21, 2021 to approve and execute this Contract. If Buyer's City Council does not approve and execute this Contract at that meeting, Seller's offer shall automatically be deemed rescinded and withdrawn and the Parties shall have no rights or obligations under the Contract. (B) No action, suit, proceeding, or official investigation shall have been threatened, announced, or commenced by any person or federal, state or local government authority or agency that seeks to enjoin, assess civil or criminal penalties against, or obtain any judgment, order, or consent decree, with respect to either party hereto, in connection with their respective representations and obligations under this Contract. 5.2. Inspection Period. Buyer shall have until the date of Closing (herein the "Inspection Period") in which to conduct an investigation of the Property, including, by way of illustration and not in limitation and subject to Section 4.16: inspections as to the physical condition of the Property, inspections to verify that any and all tenants have vacated the Property, investigate the availability of utilities, status of zoning or ability to rezone, zoning codes, building codes, physical condition and any other condition or characteristic of the Property which Buyer may deem necessary or relevant to Buyer in purchasing the Property. Should Buyer for any reason become dissatisfied or concerned with the result of any such investigation, search, inquiry or report as contemplated hereby, then Buyer may, prior to the expiration of the Inspection Period, terminate this Contract by written notice thereof to Seller. Notwithstanding anything to the contrary contained herein, if Buyer has not terminated this Contract by written notice delivered to Seller prior to Closing, then the Deposit (if any) shall be applicable to the Purchase Price but non-refundable, other than pursuant to Section 5.1 hereof, except in the event of a default by Seller hereunder. 5.3. Delivery of Materials. Within five (5) days after the Effective Date of this Contract, Seller shall deliver to Buyer copies of all existing studies, tests, environmental audits, soil borings results, surveys, site plans, reports, plans, permits, petitions, warranties, applications, certificates, 7 reservations, agreements, development orders, approvals, maps, aerials and related materials in its possession relating to the Property. 5.4. Brokerage. Buyer and Seller represent to each other that neither party has dealt with or engaged a broker with respect to the transaction contemplated herein. Each party hereby agrees to indemnify the other from and against any claim for brokerage commission or finder's fee asserted by any other person, firm or corporation claiming by, through or under said party. 5.5. Seller Warranties. During the period that this Contract is in effect, Seller shall maintain the Property in its current condition, reasonable wear and tear excepted. 5.6. Seller Not to Convey. Seller shall not convey any interest in the Property after the signing of this Contract without the prior joinder and written consent of the Buyer. 5.7. Extensions of Closing Date. Buyer shall have the unilateral and absolute right to exercise one thirty (30) day extension of the Closing Date. Buyer shall exercise the extension by providing at least three (3) days written notice to Seller. Any other extension shall be by mutual agreement of the parties. 5.8. Waiver/Time. The waiver of any breach of any provision hereunder by Buyer or Seller shall not be deemed to be a waiver of any preceding or subsequent breach hereunder. No failure to delay of any party in the exercise of any right given hereunder shall constitute a waiver thereof nor shall any partial exercise of any right preclude further exercise thereof. Time is of the essence in this Agreement as to all dates and time periods set forth herein. To the extent that the last day of any time period stipulated in this Contract falls on a Saturday, Sunday or legal holiday (State or Federal), the period shall run until the end of the next day which is neither a Saturday, Sunday or legal holiday. Any time period of ten (10) days or less specified herein shall not include Saturdays, Sundays or legal holidays. Where used herein, the term "business days" shall be those days other than Saturdays, Sundays or legal holidays. 5.9. Headings; Entire Agreement; Governing Law. The headings contained in this Contract are for reference purposes only and shall not affect in any way the meaning or interpretation of this Contract. This Contract constitutes the entire agreement and supersedes all prior agreements and understandings, both written and oral, among the parties with respect to the subj ect matter hereof, and this Contract may be executed in separate counterparts, each of which shall be deemed an original, and all which shall constitute one and the same instrument. This Contract shall be governed in all respects, including validity, interpretation and effect, by the laws of the State of Florida. IN WITNESS WHEREOF, the parties have executed this instrument as of the day and year indicated below. 8 WITNESSES: SELLER: Anita Stinnett (print) Karen Goff (print) William J. Scharlau Date: 09/03/2021 WITNESSES: BUYER: (print) CITY OF CAPE CANAVERAL, FLORIDA By: Bob Hoog, Mayor ATTEST: By: (print) Mia Goforth, CMC, City Clerk Date: [CITY SEAL] 9 EXHIBIT "A" [LEGAL DESCRIPTION] Lots 9, 10 and 11, Block 46, AVON-BY-THE-SEA, a subdivision according to the plat thereof recorded at Plat Book 3, Page 7, in the Public Records of Brevard County, Florida. 10 Attachment 4 AN APPRAISAL REPORT OF THE OFFICE/RETAIL PROPERTY LOCATED AT 7404 NORTH ATLANTIC AVENUE WITHIN THE CITY OF CAPE CANAVERAL BREVARD COUNTY, FLORIDA AS OF A P R I L 24, 2021 (EFFECTIVE DATE OF VALUE) FOR MR. DAVID DICKEY, DIRECTOR COMMUNITY & ECONOMIC DEVELOPMENT CITY OF CAPE CANAVERAL 100 POLK AVENUE CAPE CANAVERAL, FLORIDA 32920 BY CLARK A. MAXWELL, MAI, PRES. MAXWELL APPRAISAL & CONSULTING GROUP 2525 AURORA ROAD, SUITE 105 MELBOURNE, FLORIDA 32935 Maxwell Appraisal & Consulting Group 2525 Aurora Road, Suite 105 Melbourne, Florida 32935 Phone: 321-253-0026 May 18, 2021 Mr. David Dickey, Director Community & Economic Development City of Cape Canaveral 100 Polk Avenue Cape Canaveral, FL 32920 Dear Mr. Dickey, As you have requested, I have made an Appraisal Report of the office/retail property located at 7404 North Atlantic Avenue within the City of Cape Canaveral, Brevard County, Florida. The purpose of this appraisal is to estimate the market value of the fee simple interest in the property that is legally described in the attached report. The intended user of this appraisal report is Mr. David Dickey and the City of Cape Canaveral. The intended use of the appraisal report is for estimating the market value to assist in determining a fair acquisition price. I have inspected the property, the neighborhood and its environs and have analyzed the market behavior and the factors present that influence real property value. The market has also been examined for the highest and best use of the land. Valuation discussions and further descriptions are detailed in the accompanying report, which has been made subject to the assumptions and limiting conditions therein. Particular attention should be given to the Extraordinary Assumptions and Hypothetical Conditions stated within this report. Market value, as used in this report, is defined in the body of the report. Mr. David Dickey May 18, 2021 Page 2 The property under appraisal consists of a .43-acre site improved with a multi -unit office and retail building. The two-story structure contains 6,760 square feet of building area and has four ground -floor units and one second -floor office unit. On the date of valuation, the subject building was found to be in good condition. Two ground -floor units were leased and the remaining units were vacant. Based upon the results of my investigation and analysis, it is my opinion that the 'as is' market value of the unencumbered fee simple interest in the subject property, as of the April 24, 2021 effective date of value, was: SEVEN HUNDRED SEVENTY THOUSAND DOLLARS ($770,000) Sincerely, (Signature) Clark A. Maxwell, MAI Cert Gen RZ920 TABLE OF CONTENTS SUMMARY OF IMPORTANT DATA AND CONCLUSIONS 1 PURPOSE OF THE APPRAISAL 2 DATES OF VALUATION/DATE OF REPORT 2 INTENDED USE / INTENDED USER OF THE APPRAISAL 2 SCOPE OF THE APPRAISAL 2 EXTRAORDINARY ASSUMPTIONS AND HYPOTHETICAL CONDITIONS 4 DEFINITION OF VALUE 6 PROPERTY RIGHTS APPRAISED 7 IDENTIFICATION OF THE PROPERTY 7 SUBJECT SALES HISTORY 8 STATEMENT OF OWNERSHIP 9 ASSESSMENTS AND TAXES 9 CENSUS TRACT 10 UTILITIES 10 HAZARDOUS MATERIALS/ENVIRONMENTAL CONSIDERATIONS 10 FLOOD ZONE 10 ZONING 11 PRESENT USE 14 BREVARD COUNTY DATA 14 NEIGHBORHOOD DESCRIPTION AND ANALYSIS 25 SITE DESCRIPTION 30 DESCRIPTION OF THE IMPROVEMENTS 34 HIGHEST AND BEST USE 39 EXPOSURE TIME/MARKETING TIME 42 APPROACHES TO VALUE 43 SALES COMPARISON APPROACH 44 INCOME APPROACH 57 AS IS VALUE 74 RECONCILIATION 77 CERTIFICATION 78 GENERAL CONDITIONS, QUALIFICATIONS, ETC. ADDENDA ZONING SUBJECT PHOTOGRAPHS - 0 - EXECUTIVE SUMMARY HEADING: CONCLUSIONS: Purpose of the Appraisal -- Estimate Market Value Property Rights Appraised -- Fee Simple Interest Size of Site -- .43 Acres / 18,750 Sq. Ft. Building Size Gross Building Area -- 6,760 Square Feet Net Rentable Area -- 6,400 Square Feet Age of Improvements -- 58 Years Effective Age of Improvements -- 30 Years Remaining Economic Life -- 30 Years Assessed Valuation -- $676,660 Taxes, City and County -- $9,178.88 Zoning (City of Cape Canaveral) -- Cl (Low Density Commercial) Highest and Best Use -- Continued Office/Retail Use Estimates of Value Sales Comparison Approach -- $780,000 Income Approach -- $755,000 Cost Approach -- Not Applicable Final Estimate of Value -- $770,000 Date of Value Estimate -- April 24, 2021 Date of Report -- May 18, 2021 - 1 - THE APPRAISAL REPORT PURPOSE OF THE APPRAISAL The purpose of this appraisal is to estimate the as is' market value of the fee simple interest in the property described herein. DATES OF VALUATION/DATE OF REPORT The 'as is' effective date of value coincides with my last date of inspection, which was April 24, 2021 . This report is dated May 18, 2021 . INTENDED USE / INTENDED USER OF THE APPRAISAL The intended user of this appraisal report is Mr. David Dickey and the City of Cape Canaveral. The intended use of the appraisal report is for estimating the market value to assist in determining a fair acquisition price. SCOPE OF THE APPRAISAL The appraisal assignment involves valuing the multi-unit office and retail property located at 7404 North Atlantic Avenue within the City of Cape Canaveral. The building is of masonry and stone construction and is situated on an 18,750 square foot (.43 acres) tract of land. The improvements were built in 1963 and were found to be in good condition. The two-story structure occupies a total of 6,760 square feet of building area. This includes a stairway attached to the south end of - 2 - the building that contains 360 square feet of area. The net rentable area on each floor is 3,200 square feet, for a total rentable area of 6,400 square feet. The building is divided into four retail units on the first floor and office space, suitable for single or multi-tenant use, on the second floor. Currently, two of the first-floor units are occupied by two tenants and leased on a month-to-month basis. The two remaining first-floor units and the second floor have recently been refit for occupancy. The property is located at the northeast corner of Atlantic Avenue (State Road A1A) and Taylor Avenue. This location lies in the southern portion of the City of Cape Canaveral within the central beach portion of Brevard County. The scope of the appraisal encompasses the research necessary to prepare a report in accordance with the intended use, the "Standards of Professional Practice of the Appraisal Institute and the "Uniform Standards of Professional Appraisal Practice" of the Appraisal Foundation. In regards to the subject property, this involves the following steps: 1 . The property was last inspected on April 24, 2021 . The exterior and first-floor interior photographs were taken at that time by Clark A. Maxwell, MAI. The second-floor interior photographs were taken at an inspection on February 18, 2020. 2. Regional and neighborhood data was based upon information gathered by the appraisers from newspapers, published reports, county and city statistics as well as various periodicals. - 3 - 3. In estimating the highest and best use of the property, the appraiser analyzed the data collected. 4. In developing the value estimate, the market data utilized was collected by the appraisers from public records, realtors, appraisers and office files. 5. After assembling and analyzing the data defined in the scope of the appraisal, a final estimate of market value was made. The appraiser has estimated the as is' market value of the property under appraisal. The Sales Comparison and Income Approaches to Value were utilized to arrive at the market value estimate. These approaches are believed to be sufficient to arrive at a credible estimate of market value. The Cost Approach was not applicable due to the age of the improvements and the subjectivity in estimating accrued depreciation. In addition, discussions with market participants disclosed that they would not consider this approach in making their purchase decisions. EXTRAORDINARY ASSUMPTIONS AND HYPOTHETICAL CONDITIONS In the analysis of real property interests, it is often necessary for the appraisers to make certain assumptions or qualify the analysis with limiting conditions. The typical General Assumptions and General Limiting Conditions, which are a part of most appraisal reports, cover the standard items that apply to the analysis of most property interests and can be found at the end of this report. - 4 - Extraordinary Assumptions and Hypothetical Conditions, however, generally have direct application to specific interests appraised. It is most important, therefore, that the appraiser list and discuss any such special assumptions or limiting conditions early in the appraisal report in order to assist the reader in fully understanding the valuation analysis. It is equally as important to inform the reader that no special assumptions or limiting conditions are considered if such is the case. EXTRAORDINARY ASSUMPTION: an assumption, directly related to a specific assignment, as of the effective date of the assignment results, which, if found to be false, could alter the appraiser's opinions or conclusions. HYPOTHETICAL CONDITION: a condition, directly related to a specific assignment, which is contrary to what is known by the appraiser to exist on the effective date of the assignment results, but is used for the purpose of analysis. The following extraordinary assumptions were relied upon in this appraisal: 1 . The appraiser was not provided with a survey of the property under appraisal. In view of this, it is necessary to assume that the land size and dimensions utilized in this report are accurate. The appraiser reserves the right to alter this report should a survey become available. 2. The appraiser was not provided with lease agreements for the subject property and relied upon rent roll information from the owner. The value developed in this report relies on the accuracy of this information and the appraiser reserves the right to modify this report should any inaccuracies be found. - 5 - No other extraordinary assumptions were applied in the appraisal. The use of these extraordinary assumptions may have impacted the results of this appraisal assignment. No hypothetical conditions were made in this appraisal report. DEFINITION OF MARKET VALUE The most probable price which a property should bring in a competitive and open market under all conditions requisite to a fair sale, the buyer and seller, each acting prudently and knowledgeably, and assuming the price is not affected by undue stimulus. Implicit in this definition are the consummation of a sale as of a specified date and the passing of title from seller to buyer under conditions whereby: 1 . Buyer and seller are typically motivated; 2. Both parties are well informed or well advised, and acting in what they consider their own best interests; 3. A reasonable time is allowed for exposure in the open market; 4. Payment is made in terms of cash in U. S. dollars or in terms of financial arrangements comparable thereto; and 5. The price represents the normal consideration for the property sold unaffected by special or creative financing or sales concessions granted by anyone associated with the sale. The above definition appears in Chapter 12, Code of Federal Regulation, Part 34.42(f). - 6 - The current USPAP definition of market value states "a type of value, stated as an opinion, that presumes the transfer of a property (i.e. a right of ownership or a bundle of such rights), as of a certain date, under specific conditions set forth in the value definition that is identified by the appraiser as applicable in the appraisal." PROPERTY RIGHTS APPRAISED The appraiser has valued the unencumbered fee simple interest in the property under appraisal, which is defined as follows: Fee Simple Estate is the "Absolute ownership unencumbered by any other interest or estate, subject only to the limitations imposed by the governmental powers of taxation, eminent domain, police power and escheat." This definition was obtained from The Dictionary of Real Estate Appraisal, Sixth Edition (Chicago: Appraisal Institute, 2015). IDENTIFICATION OF THE PROPERTY Address 7404 North Atlantic Avenue Cape Canaveral, Florida 32920 Parcel ID Number 24-37-23-CG-46-9 Leaal Description: The subject property is legally described as: - 7 - Lots 9, 10 and 11, Block 46 of Avon By The Sea Subdivision, according to the Plat thereof, as recorded in Plat Book 3, Page 7 of the Public Records of Brevard County, Florida. Whenever the term "subject" or "subject property' is used within this report, it applies specifically to the property under appraisal. Location: The subject property is located at the northeast corner of Atlantic Avenue (State Road A1A) and Taylor Avenue. This location lies approximately midway between State Roads 520 and 528, within the City of Cape Canaveral. SUBJECT SALES HISTORY A search of the Brevard County Public Records disclosed that one arms-length transaction has taken place involving the subject property in the last three years. The subject was conveyed on September 21, 2020 from Ronald McDevitt and Michael K. McDevitt, Individually and as Trustees of the Neumann McDevitt Foundation Charitable Remainder Trust, to William J. Scharlau for $710,000. This transaction was recorded in Official Record Book, Page 151 of the Brevard County Public Records. One prior, internal transaction was recorded on October 20, 2017, as the subject was conveyed in OR Book 8030, Page 2128 from McDevitt Properties, LLC to Michael K. McDevitt and Ronald McDevitt, Trustees, of the Neumann McDevitt Foundation Charitable Remainder Trust. - 8 - The subject property is currently listed for sale for $1,200,000 or $177.51 per square foot. STATEMENT OF OWNERSHIP The property ownership is listed in the 2020 Brevard County Tax Roll as follows: William J. Scharlau 4660 Brentwood Drive Cocoa, Florida 32927 ASSESSMENT AND TAXES Brevard County and the City of Cape Canaveral assess and tax the subject property via Tax Account No. 2434227. These jurisdictions assess real property at 100% of "just" value. The assessed value and taxes for 2020 are tabulated as follows: Market Assessed Millage Ad Non-Ad Total Value Value Rate Valorem Valorem Taxes $676,660 $565,910 14.2458 $8,719.90 $458.98 $9,178.88 The amount of taxes shown is the gross amount due in March of the year following the assessment year. An early payment discount of 4% is offered if taxes are paid by November 30th. No tax delinquencies were found to exist. - 9 - CENSUS TRACT The subject property is shown on the 2010 Census Tract Maps as being located in Census Tract 685.02. UTILITIES As of the date of valuation, the following utilities were available to the subject property: Telephone Power Water Sewer AT&T Fla. Power & Light City of City of Cape Cocoa Canaveral The utility services are adequate to support the existing improvements and the current use. HAZARDOUS MATERIALS/ENVIRONMENTAL CONSIDERATIONS The appraiser was not provided with an environmental assessment of the property. An inspection of the property did not reveal the obvious presence of hazardous materials or endangered plant or animal species. The appraiser is not an expert in these matters, however, and recommends that an environmental assessment be prepared to verify that these conditions do not exist. FLOOD ZONE The subject property is identified on FEMA Flood Map Panel #12009C0363G of the March 17, 2014 HUD Flood Maps. The flood - 10 - map indicates that the subject property lies within Flood Zone "X", which are lands lying outside of the 500-year flood plain. The subject property is indicated in red on the following flood map. FLOOD MAP ZONING The subject site is zoned C-1 (Low Density Commercial District) by the City of Cape Canaveral. The requirements for the C-1 district apply to areas adjacent to major arterial streets and convenient to major residential areas. The types of uses permitted are intended to serve the consumer needs of nearby residential neighborhoods, as well as the commercial needs of the motorist. Lot sizes and other restrictions are - 11 - intended to reduce conflict with adjacent residential uses and to minimize the interruption of traffic along thoroughfares. The provisions of this division shall apply to all property designated as C-1 low density commercial on the city's official zoning map. Further, those properties zoned C-1 that are located within the boundaries of the A1A Economic Opportunity Overlay District, established pursuant to Article X of this chapter, shall be subject to the guidelines and standards of that article. The A1A Economic Opportunity Overlay District ("EOOD" or "District") provides guidelines and standards for public and private development projects in commercially zoned areas along A1A. Consistent with the intent of the 2009 Community Visioning and the 2012 Community Redevelopment Plan, the District is developed to promote hospitality related commercial development that capitalizes on the economic benefits of Port Canaveral; provide guidance and direction in the design of new buildings and rehabilitation of existing buildings and storefronts in order to improve their appearance; enhance the corridor's identity and promote the pedestrian environment of the District. A copy of the Overlay guidelines has been retained in the Appraisers' file for reference. The C-1 zoning classification allows for a wide variety of commercial uses including retail stores, banks, restaurants, professional and medical offices, personal and business service facilities, child care facilities, educational facilities as well as hotels and motels, to name a few. Lot requirements for most uses under this zoning classification include a minimum area of 5,000 square feet, with a minimum width of 50 feet and depth of not less than 100 feet. The minimum allowable - 12 - floor area is 300 square feet, with a maximum building height of 45 feet. Required setbacks include a front setback of 25 feet, a rear setback of 10 feet and a side setback of 25 feet for a corner lot. Discussions with the City of Cape Canaveral Zoning Department revealed that the existing improvements to the tract conform to the zoning regulations. A complete description of the C-1 zoning regulation has been included within the addenda of this report. LAND USE PLAN/CONCURRENCY The City of Cape Canaveral Future Land Use Plan indicates that the subject property lies within a commercial district. This district allows for a variety of uses including retail, office, restaurants and personal service shops, to name just a few. The land use plan, therefore, conforms to the current zoning of the property. Further discussions with the City of Cape Canaveral Planning Department revealed that the property does not appear adversely affected by concurrency and growth management restrictions. The property has sufficient availability of utilities, the traffic volume along Atlantic Avenue and Taylor Avenue is in concurrence, and the property does not appear to have any wetland considerations. RESTRICTIVE COVENANTS The appraiser knows of no restrictive covenants or deed restrictions that would affect the use of the subject property. - 13 - PRESENT USE As of the date of valuation, the subject property was in use as a multi-unit office/retail facility. BREVARD COUNTY DATA The subject property is located in the southern portion of the City of Cape Canaveral within the central beach portion of Brevard County. Geography Brevard County is located approximately midway along the eastern coast of the Florida peninsula. The county area measures 71 miles north to south, and averages 18 miles east to west, incorporating a total area of 838,400 acres. The county is bordered on the north by Volusia County, on the west by Osceola, Orange and Volusia Counties, on the south by Indian River County and on the east by the Atlantic Ocean. The county seat, Titusville, is located 40 miles east of Orlando, 200 miles north of Miami, and 135 miles south of Jacksonville. Brevard County has three distinct economic areas as a result of its geography and unusual length, referred to as the North, Central, and South areas of Brevard County. The county is further divided by the Indian River, or Intracoastal Waterway, which separates the mainland from the beachside communities. The north county area consists of the incorporated City of Titusville and surrounding unincorporated areas, including the communities of Scottsmoor, Mims, and Port St. John. The beachside area of the North - 14 - County contains the Kennedy Space Center, and Cape Canaveral Air Force Station, and the Canaveral National Seashore. These land uses result in no commercial or residential development in the beachside area of north Brevard County. The north region is considered the least developed, and slowest growing of areas in the county. The central region consists of the Cities of Cocoa and Rockledge and the unincorporated Merritt Island area. Beachside cities include Cape Canaveral and Cocoa Beach. This beachside area is largely tourism-based, due to its location along the ocean, and its proximity to Port Canaveral and Orlando's theme park area. The south region of the county is the largest of the three areas, and the fastest growing. The south region contains the Cites of Melbourne, West Melbourne, Palm Bay, Malabar and the unincorporated Suntree/Viera area. The beachside contains the Town of Melbourne Beach, and the Cities of Indialantic, Satellite Beach, and Indian Harbor Beach. The beach portion of the south county has more land depth from river to ocean than the central county beach. It differs in character from the central beach area as it has fewer multiple family buildings and a greater number of single-family properties. County Transportation Ground transportation in the area is facilitated by an adequate road system. Major north-south traffic arteries in Brevard County include Interstate 95, U.S. Highway No. 1, and State Highway A1A. Interstate 95 provides rapid access through the western portions of the county, as it runs west of the mainland areas of Titusville, Cocoa, - 15 - Rockledge, Melbourne and Palm Bay. There are currently 17 interchanges in the county from SR 5A at the north end, to Malabar Road at the south end. Two new interchanges are under construction at Micco Road near the south end of the county, and at Ellis Road in Melbourne. U.S. Highway No. 1 generally runs west of and parallels the Indian River and provides access through the eastern portions of the mainland areas of Titusville, Cocoa, Rockledge, Melbourne and Palm Bay. Highway A1A runs west of and generally parallels the Atlantic Ocean. This road provides access through all the beachside communities in south and central Brevard. There are six causeways linking the beachside communities with the mainland. These include (from north to south) State Road 405 (Nasa Causeway) in the north area of the county, State Roads 528 (Bennett Causeway) and 520 (Merritt Island Causeway) in the central portion, and State Roads 404 (Pineda Causeway), 518 (Eau Gallie Causeway) and U.S. Highway 192 (Melbourne Causeway) in the south area. Air transportation is available by the Orlando-Melbourne International Airport, which is located in the central portion of the City of Melbourne. The airport provides commercial passenger and cargo service, as well as general aviation. The airport currently provides service by two major airlines, Delta and American. Public transportation includes bus transportation by Space Coast Area Transit and Greyhound Bus Lines, which has three terminals in the county. - 16 - Population and Economic Indicators According to the U.S. Census, Brevard County had a population of 543,376 in 2010, representing a growth of 14% from 2000. The latest (2019) estimated population of 601,942 reflects a growth of .85% over the prior year. A majority of the population lives in the unincorporated areas of the county, with the incorporated Cities of Palm Bay and Melbourne containing the largest populations. The median age is approximately 47 for the county. The most recent data disclosed that approximately 24% of Brevard County's population is over the age of 62. This indicates an increasing trend of an older population for the county. The median household income is reported to be $52,540, which represents a 2.65 annual growth. The following chart shows the population levels of Brevard County from the 2000 census to July of 2019. - 17 - Brevard County, Florida Total Population July 1, 2019 601,942 July 1, 2018 596,849 July 1, 2017 588,265 July 1, 2016 577,338 July 1, 2015 568,088 July 1, 2014 556,902 July 1, 2013 550,823 July 1, 2012 547,307 April 1, 2010 (Census 2010) 543,376 July 1, 2009 536,357 July 1, 2008 536,314 July 1, 2007 534,407 July 1, 2006 530,319 July 1, 2005 526,088 July 1, 2004 515,890 July 1, 2003 502,985 July 1, 2002 494,239 July 1, 2001 485,810 July 1, 2000 477,735 April 1, 2000 (Census 2000) 476,230 Area Emalovment The major industry within Brevard County is the aerospace industry, which is located on north Merritt Island and in the north beach portion. The Shuttle program was replaced by four private enterprises funded by NASA, with the most prominent being SpaceX. The Falcon rocket has completed a number of successful launch and rendezvous operations with the International Space Station. They, as well as NASA, are nearing completion of heavy lift rockets to launch astronauts to deep space. Many NASA - 18 - employees that were laid off have been rehired by private contractors such as SpaceX and Blue Origin. Two of the largest employers in Brevard County are Patrick Air Force base and the Brevard County School System. The air force base employs approximately 9,500 governmental and civilian workers. Similarly, the county school system employs about 9,500 workers, of Who, 5,000 are teachers. While the space program has played a vital role in Brevard's economy, the diversity of its industrial base allows for economic stability. The electronics and defense-related industries in south Brevard have formed a second level of major employment. The largest employer in this sector is the LG Harris Corporation, which is an international communications equipment company based in Melbourne and Palm Bay. LG Harris Corp., with 7,750 employees, is the largest private employer in Brevard County. Healthfirst also employs approximately 6,400. Another major employer is Port Canaveral, a shipping and cruise- ship port. The Port's annual economic value-added impact within Brevard County is estimated at over $1 .3 billion. The port accounts for approximately 13,500 direct jobs in the county, with a total annual payroll of about $516 million. Factoring in induced employment, the job levels exceed 22,000 and the payroll increases to over $729 million. Other major employers include Rockwell Collins, Nokia, Northrup Grumman, Wuesthoff Health Systems and Pepsi Cola. The north Brevard County area is also experiencing employment growth. Blue Origin, a major company in the private space industry, has constructed a 750,000 +/- manufacturing facility in the area to - 19 - facilitate their rocket program. Additionally, Lockheed Martin is adding 300 jobs as part of their Astrotech space manufacturing program. New construction also includes the Titusville Logistics Center, a 246,240 square foot warehouse facility along U.S. Highway 1 in Titusville and the 600,000 square foot, Walmart Distribution Center recently completed along State Road 524 in Cocoa. Brevard County's unemployment rate in December 2019 was 2.7%, which is slightly lower than the December 2018 rate of 3.2%. The lockdown associated with the Coronavirus pandemic spiked the Brevard unemployment rate of 3.1% in February 2020 to 12.8% in April 2020. By February 2021 , the rate had dropped to 4.2% as businesses reopened. The following graph illustrates the impact of the pandemic on the unemployment rate from March until February 2021 . Brevard County,FL Unemployment Rate [Line Graph] 4.20%for Feb 2021 Overview Interactive Chart Level Chart VIEW FULL CHART ID 5C 1M 3M 5M YTC 1Y 3Y 5Y 10Y MAX 15.00% 12.00% 9.00% 6.00% 4.20% MAY '20 JUL'20 SEP20 NOV'20 JAN'21 The most recent impact upon local employment was made by Northrop Grumman. The company relocated 920 jobs to their Melbourne Airport facility from Long Island. They are building the Manned Aircraft Design Center of Excellence at the airport. - 20 - Grumman recently expanded their operations and brought or are bringing an additional 1 ,800 jobs with an average pay of $100,000 per year to Melbourne. To accommodate this expansion, Grumman recently constructed a 220,000 square foot office building along Nasa Boulevard on airport property. It is also noted that the Brazilian private jet manufacturer, Embrauer, relocated to the Melbourne Airport in 2011 and has become a major employer for the area. The company recently constructed an additional manufacturing plant to the airport, with up to 600 jobs forecast. The company has constructed a large corporate and manufacturing complex along the north side of the Airport. Embrauer has also expanded into Titusville with a new manufacturing facility for corporate jet seats. A recent report stated that Aerion Supersonic will be moving its headquarters to the Melbourne Airport. A new $300-million campus is presently under construction. The facility is expected to generate 675 jobs by 2026. The Coronavirus pandemic and the resulting economic/social shutdown impacted the economy in the short term. As is evidenced by the unemployment rate discussed above, the economy has rebounded as vaccines have been made available. Tourism Prior to the shutdown of the cruise industry due to the pandemic, the rapid growth of this industry at Port Canaveral over the past five years contributed to stable tourism in Brevard County. The rapid growth was largely due to the Port's central location and proximity to the Orlando area of Central Florida. - 21 - Port Canaveral is home to Carnival, Royal Caribbean, Norwegian and Disney Cruise Lines. The passenger count prior to the pandemic was in the 4.5 million range, which made it the second busiest cruise terminals in Florida, along with Port of Miami and Port Everglades. A major new tourist related change in Cocoa Beach is the Westgate Resort's purchase of the Cocoa Beach Pier. The Pier is a landmark and popular tourist attraction that had been deteriorating over the years. Westgate, one of the largest timeshare companies in the U.S., invested large sums of money into the pier to provide its central Florida timeshare users with an attractive beach destination. Westgate also purchased the Wakulla Suites Motel, which is located in Cocoa Beach just south of Ron Jon Surf Shop. The older motel facility was completely renovated and converted to a major timeshare property. This should bring more tourists, and possibly more residents, into the Cocoa Beach area. Housing The February 2021 housing data from Space Coast Association of Realtors indicated the median sales price for Brevard single-family homes is up 10.8% to $274,750 compared to a year ago, which was $248,000. The current inventory of available homes is reported at 1 .1 months, which is well below the balanced inventory of six to seven months. The median sale price for condominium and townhouses in February 2021 was $205,000, which reflects a 2.7% decrease from the previous year figure of $210,750. The current inventory of available condominium and townhouses is reported at 1 .8 months. - 22 - Months of Inventory, or absorption rate, shows how many months of sales it would take, at the current rate, to deplete the inventory. This is the best indicator of where the future market is headed. Demand has been so high that sales are postponed by lack of inventory created by little construction during the housing crisis and by regulatory and permitting issues associated with developing acreage. Over the past two years, however, new construction of all property types has continued to increase. The improvement of the market has increased demand for end user lot purchases. The growth of the private space industry, the relocation of Grumman employees and the general health of the local economy are all factors that are fueling growth. DR Horton and other major national homebuilders acquired a large number of developed lots throughout Brevard County. Developers are aggressively targeting acreage tracts for development due to the current under-supply of available homes. The following page contains a map of Brevard County, showing the location of the subject property. - 23 - 1 North Brevard 2 The Great Gutdooes 3 Titusville 4 Port St John 5 West Brevard 6 Sharper / Canaveral Groves 7 Cocoa 8 Rockledge 9 Viera / Suntree 10 Lake Washington 11 Northeast Melbourne 12 Melbourne 14 Palm Bay 15 Malabar / Barefoot Bay 16 Merritt Island 17 Cape Canaveral / Cocoa Beach 20 South Beaches BREVARD COUNTY MAP - (SUBJECT IS IN AREA 17) — 24 — NEIGHBORHOOD DESCRIPTION AND ANALYSIS The subject property is located at the northeast corner of Atlantic Avenue (State Road A1A) and Taylor Avenue approximately 1 .75 miles south of State 528. This location lies within the southern portion of the City of Cape Canaveral. The subject neighborhood is located in the northeast "beachside" area of central Brevard County. The area is bound on the north by Port Canaveral and State Road 528; on the south by State Road 520; on the east by the Atlantic Ocean; and on the west by the Banana River. This general area measures approximately 3.5 miles from north to south, and is known as the North Cocoa Beach/Cape Canaveral community. State Road A1A is the only major north/south traffic artery on the barrier island. The 2019 traffic count along this roadway, in the subject area, was reported to be 30,770 vehicles per day. In the immediate area, State Road A1A generally parallels the coast of the Atlantic Ocean, and provides travel from the south end of the county to its termination at State Road 528 a short distance to the north of the subject. The neighborhood's major east-west roadways consist of State Road 528 and State Road 520. State Road No. 528, which is also known as the Bennett Causeway, links Port Canaveral and the northern portions of the central Brevard beach area with Merritt Island and the mainland City of Cocoa. The development in the immediate neighborhood is largely influenced by its proximity to Port Canaveral, Kennedy Space Center and the Atlantic Ocean. - 25 - Commercial and institutional development in the immediate area includes several office buildings, a veterinarian clinic, Cape Canaveral City Hall and Library, and convenience store/fuel sales facilities, to name just a few. Uses to the south of the subject area include the Fishing and Diving School, Aerial Adventure Park, the Golf-N-Gator miniature golf park, Holiday Inn Express Hotel, a Publix anchored plaza and a variety of other retail and office related uses. Recent projects along Highway A1A, in the area of the subject property include a Residence Inn Hotel, Homewood Suites Hotel, a Hertz Car Rental facility and a Dollar General Store. The recent hotel development is due to the burgeoning cruise ship industry, the expansion of the space program, and the appeal of the Cocoa Beach/Cape Canaveral area to tourists. The bulk of the residential development in the immediate subject area is in the Avon-by-the Sea Subdivision. This subdivision consists of a variety of residential uses including single family, duplexes, triplexes, apartment units and condominium projects. The homes tend to range in age from 50 years to new construction. Oceanfront properties in this area are developed with high quality multi-floor condominiums and hotels/motels. As mentioned, the largest impact on the subject area is Port Canaveral, a vital import/export shipping center, as well as the second largest cruise passenger port in the country. Port Canaveral encompasses 4,160 acres, with approximately 800 of these in the port proper and the rest consisting of acreage located along the barge canal further west on Merritt Island. - 26 - Within the past ten years, the cruise ship industry has grown rapidly within the Port Canaveral property. This is largely due to the Port's central location that eliminates time consuming travel to south Florida or to the Port of Jacksonville approximately 150 miles north. Cruise business currently makes up more than half of the port's total revenue. The Port is home to Carnival, Royal Caribbean, Norwegian Cruise Lines as well as Disney Cruise Line, which has brought national and international attention to the area. A 15-year project instituted by the Canaveral Port Authority called for the addition of seven cargo berths within the Port. The west and central turning basins will include a floating dry dock ship preparation facility, additional cargo piers, cargo and container storage. The growing cruise ship business has attracted spin-off industries as well. On March 1, 2020, the Coronavirus was first detected in Florida. In mid-March many of Brevard's non-essential businesses were ordered to suspend operations including the cruise industry. On April 1st, a state-wide stay-at-home order was issued for Florida until April 30, 2020. In early May 2020, phase 1 of the re-opening process began with some businesses opening with restrictions and social distancing requirements as well as limiting the size of gatherings. As of the effective date of this report, the cruise industry has not yet resumed operations. The latest estimate is for resumption in the second quarter of 2021 at significantly reduced levels. - 27 - In summary, the subject neighborhood consists of a balanced mix of residential and commercial uses. The neighborhood benefits from the tourism associated with Port Canaveral, Kennedy Space Center and Cocoa Beach. Until the shutdown due to the Covid-19 pandemic, the market was strong and the subject area benefited. The pandemic; however, has directly impacted the surrounding businesses. The following page contains a general area map that shows the location of the subject property in relation to the surrounding area. - 28 - GENERAL AREA MAP — 29 — SITE DESCRIPTION Size and Shape The subject site consists of a rectangular-shaped tract of land having an approximate area of 18,750 square feet, or .43 acres. The site fronts approximately 125 feet along the east right-of-way of Atlantic Avenue (State Road A1A) and approximately 150 feet along the north right-of-way of Taylor Avenue. These measurements and size calculations were obtained from the Brevard County Tax Roll and Plat Maps. The appraiser assumes that the measurements and size calculations are correct. As was noted, the appraisers reserve the right to modify this report upon receipt of a current survey. Elevation and Drainage The site is flat and level and is to grade with the surrounding streets and adjacent lands. An inspection of the site did not disclose any obvious drainage problems. As was discussed previously, the site does not lie within a flood hazard area. The elevation and drainage are considered good. Soils A soil boring study was not provided. An inspection of the site disclosed light sandy soils that generally provide good bearing capacity for building improvements. Vegetation The subject site is 100% improved with structures, paving and landscaping. No areas of natural vegetation were noted. - 30 - Access Access to the site is available from its frontage along Atlantic Avenue and Taylor Avenue. Atlantic Avenue is a four-lane asphalt paved street improved with sidewalks, a center turn-lane and streetlights. Taylor Avenue is a two-lane asphalt paved street improved with sidewalks, curbs and streetlights. Anticipated Public or Private Improvements The appraiser is not aware of any anticipated public or private improvements planned on or off the site. Easements and Encroachments No adverse easements or encroachments that would hinder the site from being developed to its highest and best use were found. The appraiser reserves the right to modify this report should a survey be provided that indicates otherwise. Summary In summary, the subject site consists of an 18,750 square foot (.43 acre) tract of land located at the northeast corner of Atlantic Avenue and Taylor Avenue. The site is rectangular in shape and has adequate frontage and depth. The appraiser knows of no physical conditions present that would adversely affect the development of the site to its highest and best use. The following pages contain a subject property map and an aerial map showing the size and shape of the site under appraisal. - 31 - SUBJECT PROPERTY MAP - 32 - AERIAL MAPS — 33 — DESCRIPTION OF THE IMPROVEMENTS The major improvement to the subject site consists of a two-story, office/retail building. The 6,760 square foot building consists of four retail units along the first floor and single-tenant office space on the second floor. The first and second floor areas contain 3,200 square feet of net rentable area, for an area of 6,400 square feet. The 360 square foot difference in the gross and net areas is attributable to the stairway located at the south end of the building. The retail units are currently 50% occupied by two tenants. Unit 7406 contains 800 square feet of space and is leased to a cellular phone sales and repair company. Unit 7408 contains 800 square feet and is leased to a hair salon. The two remaining units (7410 and 7412), were previously leased to one tenant and functioned as a single 1,600 square foot unit. The tenant recently vacated the building and the units were renovated and divided into two, 800 square foot units. The second-floor office layout consists of a central hallway, five large offices, a breakroom and men's and women's restrooms. Access to the second floor is by an enclosed stairway on the south side of the building and an exterior stairway along the north side. This space is currently unoccupied as it was vacated by the previous owner in 2019. The office space was recently refurbished with new paint, flooring coverings and ceilings. The building was constructed in 1963 and has an actual age of 58 years. Due to on-going maintenance, the effective age is estimated to be 30 years and the remaining economy life is estimated to be 30 years. An inspection of the improvements revealed that they are well maintained and are in good condition, due to recent renovations. - 34 - No items of deferred maintenance were noted as repairs have been made as needed. The construction components of the building improvements will now be discussed. The description of the improvements is based upon a physical inspection of the building improvements and is subject to change should the original construction plans be made available. Foundation The building is set to grade on a steel reinforced concrete perimeter footing system. Floor Structure/Covers The ground floor structure consists of a four-inch concrete slab poured over a vapor barrier and wire mesh reinforcing. The second- floor structure is also of concrete construction. The floor areas are finished with commercial grade carpet, vinyl and ceramic tile coverings. Interior Construction The interior partitions within each unit of the building consist of painted drywall applied over metal or wood studs. The ceiling consists of a suspended acoustical fiber panel system. Average quality trim is utilized throughout. Heating and Cooling Each unit is serviced by a central heating and cooling system. The systems were reported to have no defects at the time of inspection. Electrical and Lighting Each unit is adequately lighted with recessed fluorescent lighting fixtures. The electrical capacity of the building appears to be adequate for the use. - 35 - Plumbing Each retail unit contains a restroom with a toilet and a sink. The second-floor office contains a men's restroom with a toilet, urinal and a sink. The women's restroom contains two toilets and a sink. The breakroom also contains a sink. The plumbing service was found to be adequate for the building. Exterior Walls The exterior walls are of eight-inch concrete block construction covered with painted stucco and decorative stone accents. The front wall system includes a glass entry door and a glass storefront window for each retail unit. The rear wall system includes a rear service door for each unit. Attached to the south sidewall is an enclosed stairway providing second floor access. An exterior stairway is located along the north sidewall. Roof Structure The roof structure is comprised of a concrete slab that is covered with a built-up composition surface. The roof system extends over the front walkway to each unit. The owner stated that the roof was in good condition and no signs of leaks were noted at the inspection. Insulation The ceiling and exterior wall areas are reported to be fully insulated. Site Improvements The subject has asphalt paving that includes 35 striped parking spaces, which equates to one parking space per 183 square feet of net building area. Discussions with the owner, and an on-site inspection, revealed that the parking capacity is adequate for the property. The tax roll indicates that the asphalt paved parking and - 36 - driveway areas contain 13,120 square feet. The parking areas were repaved in 2020. Other site improvements include a covered concrete walkway across the front of the building, landscaping, exterior lighting, and signage. The appraiser noted no areas of on-site retention; however, the site was developed prior to current code requirements. It is assumed that the property is a legal, non- conforming use in relation to current building and site development codes. Functional Utility The building and its location on the site appear to be functional in design and layout for its use. The building footprint occupies approximately 18% of the total site area, which is within the normal range of 15% to 20%. This coverage provides sufficient areas for parking and landscaping. Summary In summary, the subject site is improved with a two-story, 6,760 square foot multi-tenant office/retail building that was found to be in good condition. The improvements appear to be functional in design and layout and appear to maximally utilize the site. The following page contains a perimeter sketch of the building as prepared by the Brevard County Property Appraiser's Office. - 37 - BUILDING SKETCH - 38 - HIGHEST AND BEST USE The 14th Edition of the Appraisal of Real Estate defines highest and best use as follows "the reasonably probable and legal use of vacant land or an improved property, which is physically possible, appropriately supported, financially feasible, and that results in the highest value." In estimating highest and best use, there are essentially four stages of analysis: 1 . Legally permissible use (legal). What uses are permitted by zoning and deed restrictions on the site in question? 2. Physically possible use. What uses of the site in question are physically possible? 3. Financially feasible use. Which possible and permissible use will produce a net return? 4. Maximally productive use. Among the feasible use, which use will produce the highest return or the highest present worth? The highest and best use of the land (or site) if vacant and available for use may be different from the highest and best use of the improved property. This is true when the improvement is not an appropriate use, but it makes a contribution to the total property value in excess of the value of the site. The following tests may be met in estimating the highest and best use: The use must be legal. The use must be probable, not speculative or conjectural. There must be a profitable demand for such use and it must return to the land the highest net return for the longest period of time. - 39 - HIGHEST AND BEST USE AS IF VACANT Legally Permissible Use The appraiser is not aware of any deed restrictions that would dictate the use that could be constructed on the property. There are, however, public restrictions that do affect the use. As was previously discussed in the zoning section, the subject property is zoned for a variety of commercial uses by the City of Cape Canaveral. This zoning classification allows for development of retail stores, professional offices, banks, restaurants and personal service facilities to name just a few. No modifications to the zoning and land use plan regulations are anticipated. Physically Possible Use The first constraint imposed on the possible use of the property is dictated by the physical aspects of the site itself. The size and location within a given block are the most important determinants of value. In general, the larger the site, the greater its potential to achieve economies of scale and flexibility in development. The subject site consists of a .43 acre, or 18,750 square foot tract of land that is rectangular in shape. The size and shape are conducive for development of most small-scale uses. The size does not permit development with most national tenant type properties such as convenience stores, fast food restaurants, banks or big box retailers. The site benefits from all utility services as well as frontage and access along Atlantic Avenue and Taylor Avenue The site is flat and level and has good drainage characteristics. The soil conditions were found to be favorable for development. - 40 - The site is well-suited for development with those legally permitted uses that can conform to the size and shape of the site. The appraiser is not aware of any physical conditions that could adversely affect development of the site to its highest and best use. Financially Feasible Use As was discussed, the subject site is zoned for a variety of small-scale commercial uses. By location, the site is feasible for development with a retail specialty shop, a professional or medical office, or personal or business service uses. These uses conform to the uses within the neighborhood. Maximally Productive Use The 18,750 square foot site could support a building having an approximate footprint of up to 3,750 square feet at a 20% coverage ratio. This coverage would allow for sufficient parking, landscaping and retention. The subject site appears to be best suited for a retail or office use that would benefit from the high visibility and exposure to economic traffic. These types of uses would appear to provide the maximum return to the land and are considered the maximally productive uses for the subject property. HIGHEST AND BEST USE AS IMPROVED The subject site is developed with a two-story, office/retail facility. This use is legally permissible, as it is allowable under the C-1 zoning regulation. The subject building encompasses a total of 6,760 square feet with a footprint of 3,380 square feet. The footprint represents a coverage of - 41 - approximately 18% of the total site area, which falls within the typical range of 15% to 20% for like properties. The building contains 6,400 square feet of net rentable area. The total area covers 34% of the site area. The two-story design provides sufficient areas for parking and landscaping. The present use of an office/retail facility is legally permissible, physically possible, and is believed to provide the highest return to the underlying land. The present use is in conformance with the other uses in the neighborhood and is fully functional. After consideration, the appraiser has concluded that the existing use of the subject property represents the highest and best use as improved. EXPOSURE TIME Exposure Time is defined as: The estimated length of time that the property interest being appraised would have been offered on the market prior to the hypothetical consummation of a sale at market value on the effective date of the appraisal. The appraiser consulted several local real estate brokers and were informed that the value concluded herein could have been achieved after an exposure period of nine to twelve months. - 42 - MARKETING TIME Marketing time differs from exposure time as it estimates the time required to sell the property from the date of valuation forward. If market conditions prior to the date of valuation are expected to remain unchanged after the date, then the two would be the same. In this case, the appraiser estimates that the marketing time would also be in the range of nine to twelve months. APPROACHES TO VALUE The sales comparison and income approaches to value will be utilized in estimating the market value of the subject property. These approaches are sufficient to arrive at a credible estimate of market value. The cost approach was determined not credible due to the age of the improvements and the subjectivity in estimating accrued depreciation. Discussions with market participants disclosed that they would not consider this approach in making a purchase decision. In this appraisal, the value indications produced by the Sales Comparison and Income Approaches will be reconciled into a final value estimate. - 43 - SALES COMPARISON APPROACH TO VALUE The sales comparison approach to value is a process of comparing sales of similar properties that have sold in the marketplace to the property appraised. The strength of the sales comparison approach is that the data used to compare with the subject property are actual sales in the market. The approach applies the actions of buyers and sellers to a subject property in order to estimate a value. The principle of substitution implies that a prudent purchaser will not pay more for a property than a comparable property would cost him. The application of the sales comparison approach in a given situation consists of comparing the property appraised with other similar properties that have moved in the marketplace. When sufficient sales of comparable properties are available for analysis, the sales comparison approach is a most reliable guide to value. Each comparable sale is compared to the subject property, with appropriate adjustments, in order to provide a value indication to the subject by the comparable sale. These separate value indications are then correlated into the estimate of value by the sales comparison approach. The first step in this approach is to search the market for sales with similar uses. The investigation disclosed five sales of similar properties that were selected for analysis and comparison to the subject. The following pages contain a tabulation of the pertinent data obtained from each sale, as well as a sales location map, photographs and detailed sale sheets describing each transaction. - 44 - TABULATION OF IMPROVED SALES SALE DATE PRICE SQ.FT. S/SQ. FT. LOCATION 1 9/20 $710,000 6,760 $105.03 7404 N. Atlantic Ave. SUBJECT PROPERTY 2 9/20 $810,000 6,095 $132.90 26 N. Orlando Ave. Cocoa Beach 3 2/21 $1,330,000 9,116 $145.90 528 New Haven Ave. Melbourne 4 7/19 $795,000 7,800 $101.92 854 N. Courtenay Pkwy. Merritt Island 5 11/18 $1,500,000 12,792 $117.26 320 N. Atlantic Ave. Cocoa Beach 7404 N. Atlantic Ave. SP 4/21 6,760 Cape Canaveral - 45 - COMPARABLE SALE MAPS — 46 — COMPARABLE SALE NUMBER 1 ADDRESS: 7404 North Atlantic Avenue, Cape Canaveral PARCEL I.D. NUMBER: 24-37-23-CG-46-9 O.R. BOOK/PAGE: 8863/151 GRANTOR: Ronald McDevitt and Michael K. McDevitt, Individually and as Trustees of the Neumann McDevitt Foundation Charitable Remainder Trust GRANTEE: William J. Scharlau LAND SIZE: .43 Acres ZONING: C-1 (Commercial) PRICE: $710,000 DATE OF SALE: September 21, 2020 UNIT PRICE: $105.03 per Sq. Ft. TERMS: Conventional HIGHEST AND BEST USE: Continued Office/Retail Use PROPERTY DATA: This comparable is the sale of the subject property. The property is located at the northeast corner of Atlantic Avenue (State Road A1A) and Taylor Avenue, within the City of Cape Canaveral. The property is in use as a two-story, multi-tenant office/retail facility containing a total of 6,760 square feet of building area. The improvements were built in 1963 and are of masonry construction. At the time of the sale, the improvements were considered to be in average to good condition. The first floor was fully leased and the second floor was vacant. COMMENTS/ VERIFICATION: Verified to be arms-length by the grantor. - 47 - COMPARABLE SALE NUMBER 2 ADDRESS: 26 North Orlando Avenue, Cocoa Beach PARCEL I.D. NUMBER: 25-37-10-DC-107-7 O.R. BOOK/PAGE: 8859/1891 GRANTOR: Roberto Barrial, Sr, Trustee GRANTEE: J B Cooper, LLC LAND SIZE: .34 Acres ZONING: CN (Commercial) PRICE: $810,000 DATE OF SALE: September 18, 2020 UNIT PRICE: $132.90 per Sq. Ft. TERMS: Conventional HIGHEST AND BEST USE: Continued Retail/Office Use PROPERTY DATA: The comparable sale property is located at the northwest corner of Orlando Avenue (Highway A1A) and Coombs Way, within the City of Cocoa Beach. The property consists of a four-unit retail/office plaza containing a total of 6,095 square feet of building area. The improvements were built in 1957 and are of masonry construction. At the time of the sale, the improvements were considered to be in good condition. The building was 100% leased at the time of sale. COMMENTS/ VERIFICATION: Verified to be arms-length by the grantee. - 48 - COMPARABLE SALE NUMBER 3 ADDRESS: 528 East New Haven Avenue, Melbourne PARCEL I.D. NUMBER: 28 37 03 01 41 2 O.R. BOOK/PAGE: 9027/420 GRANTOR: Decorators Mart of Melbourne, Inc. GRANTEE: Robert Marks Enterprises, LLC LAND SIZE: .37 Acres ZONING: C-3 (Commercial) PRICE: $1,330,000 DATE OF SALE: February 16, 2021 UNIT PRICE: $145.90 per Sq. Ft. TERMS: Conventional HIGHEST AND BEST USE: Continued Retail Use PROPERTY DATA: The comparable sale property is located at the corner of New Haven Avenue and Mc Quaid Street, within Historic Downtown Melbourne. The property is in use as a five-unit containing a total of 9,116 square feet of building area. The improvements, built in 1959, are of masonry construction and were considered to be in good condition at the time of the sale. The building was fully leased at the time of the sale. COMMENTS/ VERIFICATION: Verified to be arms-length by the grantee. - 49 - COMPARABLE SALE NUMBER 4 ADDRESS: 854 North Courtenay Parkway, Merritt Island PARCEL I.D. NUMBER: 24-36-26-02-A O.R. BOOK/PAGE: 8503/1495 GRANTOR: GBG Enterprises, LLC GRANTEE: Bhawani & Shreeji, LLC LAND SIZE: .59 Acres ZONING: Commercial PRICE: $795,000 DATE OF SALE: July 19, 2019 UNIT PRICE: $101 .92 per Sq. Ft. TERMS: Conventional HIGHEST AND BEST USE: Continued Retail Use PROPERTY DATA: The comparable sale property is located along North Courtenay Parkway, approximately one mile north of SR 520 on Merritt Island. The property is in use as a multi-unit retail facility containing 7,800 square feet of building area. The improvements, built in 1965, are of masonry construction and were considered to be in average condition at the time of the sale. The grantee occupies approximately 58% of the building. The remaining space was vacant at the sale and has since been leased to Access Financial Group. COMMENTS/ VERIFICATION: Verified to be arms-length by the grantee. - 50 - COMPARABLE SALE NUMBER 5 ADDRESS: 320 North Atlantic Avenue, Cocoa Beach PARCEL I.D. NUMBERS: 25-37-10-LL-103-2 & 103-3 & 103-6 O.R. BOOK/PAGE: 8323/2782 GRANTOR: Mary M. Beasley, Trustee GRANTEE: North Atlantic Center, LLC LAND SIZE: .99 Acres ZONING: TC (Town Center) PRICE: $1,500,000 DATE OF SALE: November 30, 2018 UNIT PRICE: $117.26 per Sq. Ft. TERMS: Conventional HIGHEST AND BEST USE: Continued Office/Retail Use PROPERTY DATA: The comparable sale property is located along North Atlantic Avenue (Northbound A1A) within the City of Cocoa Beach. The sale included three contiguous parcels. The central tract is improved with a multi-unit office and retail facility, the north and south parcels provide excess land and additional parking. The north parcel also provides frontage/visibility along Orlando Avenue (southbound Al A). The two-story structure is of masonry construction and contains 12,792 square feet of building area. The improvements were built in 1962 and were considered to be in average to good condition at the time of the sale. The property had stabilized occupancy at the time of sale. COMMENTS/ VERIFICATION: Verified to be arms-length by the grantee. - 51 - The five sales developed indicated unit prices to the subject property ranging from a low of $101 .92 per square foot to a high of $145.90 per square foot of building area. The recent sale of the subject property in September of 2020 at $105.03 per square foot was included in the analysis. The sales will now be directly compared to the subject and adjusted for any differences. Conditions of Sale The five sales were confirmed to have been arms-length transactions that were not impacted by any undue influences. No adjustments were warranted for this factor. Financing The five sales were cash to seller transactions that did not include favorable seller held financing. No adjustments to the sales, therefore, were warranted for this factor. Time The five sales took place from the November 2018 to the February 2021 time period. Sale Nos. 1, 2 and 3 are believed to reflect current market conditions and no time adjustments were required. Sale No. 5 required an upward adjustment of 10% for appreciable market conditions since its sale in November 2018. Sale No. 4, which took place in July of 2019, required an upward adjustment of 5%. Location Sale No. 1 is the sale of the subject property; therefore, no adjustment was needed. Sale No. 2 is situated along the southbound portion of Highway A1A, in downtown Cocoa Beach. This location has somewhat less visibility than the subject due to its one-way vehicle traffic. For this, a 5% upward location adjustment was applied. - 52 - Sale No. 3 is located along New Haven Avenue in downtown Melbourne. This location enjoys both vehicle and pedestrian traffic and was considered similar to the subject. No adjustment to this sale was deemed necessary for this factor. Sale No. 4 is located along North Courtenay Parkway in Merritt Island. This major traffic artery enjoys similar exposure to economic traffic as the subject; therefore, no location adjustment to this sale was necessary. Sale No. 5 is located along Atlantic Avenue (Highway AlA) in Cocoa Beach. The main access is from northbound Al A; however, the sale property also has frontage and visibility from southbound AlA (Orlando Avenue). This sale location is considered similar to the subject and no adjustment was required. Age/Condition The subject, at the time of sale, was in average to good condition. The new owner has renovated two of the first-floor units and repaved the front and rear parking lots. Sale No. 1 (sale of the subject property); therefore, required an upward adjustment of 10% due to the renovations since the sale. Sale Nos. 2 and 5 are of older construction and have been renovated to good condition. These sales are similar in age and condition when compared to the subject; therefore, no adjustments were required. Sale No. 3 was found to be superior in condition and was adjusted downward 5%. Sale No. 4 required an upward adjustment of 15% due to its inferior condition to the subject. - 53 - Building Size The subject building contains 6,760 square feet of gross building area. The four sale buildings range in size from 6,095 square feet to 12,792 square feet of area. It is generally found that, due to economies of scale, larger facilities of similar highest and best use generate somewhat lower unit prices when directly compared to smaller facilities. Sale Nos. 1, 2, 3 and 4 are similar in size to the subject and were not adjusted. Sale No. 5 is larger and warranted a 5% upward adjustment for size. Site Size/Coverage Ratio Sale Nos. 1 , 2, 3 and 4 are similar to the subject in site coverage and no adjustments to the sales were necessary. Sale No. 5 contains excess land and was considered superior to the subject. A downward adjustment of 10%was made to this sale. Design The subject and Sale Nos. 1 and 5 are two-story, walk-up design. No adjustment was required to these sales. Sale Nos. 2, 3 and 4 are one- story buildings that are considered somewhat superior to the subject. A 10% downward adjustment was made to these sales for this factor. Construction The subject and the five sales are of similar construction; therefore, no adjustments were necessary for this factor. Occupancy at Sale The subject is currently 25% occupied, as one half of the first floor and the entire 3,200 square foot second floor are vacant. Sale No. 1 is the sale of the subject, which had a 50% occupancy at the time of sale. No adjustment was considered necessary for this difference in - 54 - occupancy. Sale Nos. 2 and 3 had 100% occupancy at the time of their respective transactions. When compared to the subject, these two sales were considered superior in terms of occupancy and were adjusted downward 10%. Sale No. 4 was unoccupied at the time of sale. The grantee has occupied approximately 58% of the building and the remaining space was listed for lease. For its inferior occupancy to the subject, a 5% upward adjustment was applied. Sale No. 5 had stabilized occupancy at the time of sale. This sale required a 5% downward adjustment for its superior occupancy to the subject. The following tabulation shows the adjustments required to each of the comparable sales. - 55 - TABULATION OF ADJUSTMENTS Subject Sale 1 Sale 2 Sale 3 Sale 4 Sale 5 $/SF $105.03 $132.90 $145.90 $101.92 $117.26 Time 4/21 9/20 0% 9/20 0% 2/21 0% 7/19 5% 11/18 10% Conditions of Sale(Arms Length Arms Length 0% Arms Length 0% Arms Length 0% lrms Length 0% Arms Length 0% Financing Cash Equiv. Cash Equiv. 0% Cash Equiv. 0% Cash Equiv. 0% I Cash Equiv. 0% Cash Equiv. 0% Adj.$/SF $105.03 $132.90 $145.90 $107.02 $128.99 Location Atlantic Atlantic 0% Orlando 5% New Haven 0% Courtenay 0% Atlantic 0% (A1A) 1965/ Yr Built/Condition 1963/Good 1963/Good 10% 1957/Good 0% 1959/Good -5% 15% 1962/Good 0% Average Building Size SF 6,760 6,760 0% 6,095 0% 9,116 0% 7,800 0% 12,792 5% Site Coverage Typical Typical 0% Typical 0% Typical 0% Typical 0% Excess Land -10% Design 2-Story 2-Story 0% 1-Story 10% 1-Story 10% 1-Story 10% 2-Story 0% Offc/Retail Offc/R etail Off c/Retail Off c/Retail 0-He/Retail Offc/R etail Construction Masonry Masonry 0% Masonry 0% Masonry 0% Masonry 0% Mas./Metal 0% Occupancy at Sale 25% 50% 0% 100% -10% 100% -10% 0% 5% Stabilized -5% Net Adjustment 10% -15% -25% 10% -10% Indicated Value/ Sf. Ft. $115.53 $112.97 $109.43 $117.72 $116.09 After adjustments, the five sales developed indicated unit values to the subject ranging from a low of $109.43 per square foot to a high of $117.72 per square foot. The appraiser has calculated a mean indication of $114.35 per square foot. This tight range of unit values suggests that the sales are supportive of each other. The appraiser has placed greatest weight upon Sale No. 1 as it was the recent transaction of the subject property. After careful consideration, a unit value of $115.00 per square foot of building area was concluded. Applying the value indication to the subject's gross building area develops the following indicated property value: INDICATED PROPERTY VALUE - AS IS $115.00 per square foot x 6,760 square feet = $777,400 Say = $780,000 - 56 - INCOME APPROACH The income capitalization approach is a method of valuation by establishing a relationship between the income that can be generated from a property and the perceived value of a property by investors based upon the income-generating capabilities. The approach involves estimating the property's probable market rent, the expenses of ownership attributable to the property, and an appropriate capitalization rate that will convert the property's net operating income into value. The appraiser does this by researching and analyzing (1) the property's income and expense history, (2) histories of competing properties, (3) existing and asking rents for the subject and competing properties, (4) estimating vacancy levels from the subject and similar properties, (5) analyzing and estimating management's expense budget and (6) projecting tax assessments and utility costs. CONTRACT RENT The appraiser was not provided the current leases; however, provided the following information regarding the current rent roll for the subject: - 57 - SUBJECT PROPERTY RENT ROL UNIT TENANT USE UNIT RENTAL ANNUAL LEASE # SIZE RATE/S.F. RENT TERM Intek Cell & Month - 7406 Repair Retail 800 $14.90 $11,919.77 Month 7408 Hairport Retail 800 $17.50 $14,001.56 Month Month 7410 Vacant Retail 800 $0.00 $0.00 7412 Vacant Retail 800 $0.00 $0.00 2ND Vacant Office 3,200 $0.00 $0.00 Floor Total --- 6,400 --- $25,921.33 --- The vacant units are currently listed for lease with Perrone Realty. The vacant, first-floor units are listed for $1 ,300 per month or $19.50 per square foot per year. The second-floor office is listed for $4,200 per month or $15.75 per square foot per year. These reflect a gross expense basis. In order to determine whether the subject's rental amounts are compatible with the market and to develop a rate for the vacant units, the economic rent level will now be estimated. ECONOMIC RENT ESTIMATE Economic rent is defined as the rental income that a property would most probably command in the open market. It is indicated by the current rents paid and asked for comparable space as of the date of the appraisal. In order to arrive at an estimate of economic rent for the subject property, an investigation was made throughout the subject area for - 58 - similar properties that are currently rented or offered for rent. The appraiser contacted several brokers and property managers for information on comparable properties. The properties surveyed were restricted to properties that are comparable to the subject. The search of the market disclosed six office/retail comparables that were selected for analysis and comparison to the subject. The following is a tabulation of rental data obtained from each of the properties, rent location maps and photographs. TABULATION OF RENTAL DATA RENT NO. SQ. FT. RENT/SQ.FT. INTERIOR TYPE LOCATION 1 2,789 $10.00 Retail NNN 585 N. Atlantic Ave. Cocoa Beach 2 1,096 $14.00 Office Gross 7001 N. Atlantic Ave. Cape Canaveral 235 Merritt Island Cswy. 3 1,500 $15.00 Retail Gross Merritt Island 4 457 $17.07 Office Full 102 Columbia Dr. Service Cape Canaveral 5 457 $16.42 Office Full 102 Columbia Dr. Service Cape Canaveral 6 710 $13.52 Office Gross 320 N. Atlantic Ave. Cocoa Beach - 59 - RENT LOCATION MAPS - 6 0 - RENT NO. 1 - $10.00/SQ. FT./YEAR + CAM FEES RENT NO. 2 - $14.00/SQ. FT./YEAR - 61 - RENT NO. 3 - $15.00/SQ. FT./YEA RENT NO. 4 - $17.07/SQ. FT./YEAR - SERVICE FEES RENT NO. 5 - $16.42/SQ. FT./YEAR - SERVICE FEES - 62 - RENT NO. 6 - $13.52/SQ. FT./YEAR Rent Nos. 1, 2 and 3 are first-floor units and will be directly compared to the subject's first floor units and adjusted for any differences that would impact the rental rate. Rent Nos. 4, 5 and 6 are second-floor units and will be compared to the second-floor office space of the subject. Rent No. 1 is a first-floor unit containing 2,789 square feet and is located along Atlantic Avenue in Cocoa Beach. The rental rate is $12.00 per square foot on a triple net basis. For comparison, the appraiser has added a $3.00 CAM to this rate, which develops a rate of $15.00 per square foot on a gross basis. This comparable was found to be similar; therefore, the $15.00 rate would be appropriate for the subject's first floor units. Rent No. 2 is a first-floor office unit containing 1 ,096 square feet and is located along Atlantic Avenue in Cape Canaveral. The rental rate is - 63 - $14.00 per square foot on a gross basis. This comparable was found to be similar to the subject and reflects a rental rate that would be appropriate for the subject's first floor units. Rent No. 3 is a first-floor retail unit containing 1 ,500 square feet and is located along Merritt Island Causeway in Merritt Island. The rental rate is $15.00 per square foot on a gross basis. This comparable was found to be similar to the subject's first floor units. The rental rate of $15.00 per square foot is reasonable for the subject. Rent Nos. 4 and 5 are second-floor office units, each containing 457 square feet. The rental plaza is located just north of the subject, at the corner of Astronaut Boulevard (Highway A1A) and Columbia Drive, in Cape Canaveral. This plaza was built in 1985 and Rent No. 4 was recently renovated. Rent No. 4 has a rental rate of $17.07 and Rent No. 5 has a rate of $16.42 per square foot on a full-service basis. For comparison to the subject, Rent Nos. 4 and 5 have been adjusted downward $2.00 per square foot, to liken them to a gross rate. This adjustment develops gross rental rates of $15.07 per square foot for Rent No. 4 and $14.42 per square foot for Rent No. 5. These comparables were found to be superior in age/condition; therefore, the subject's second-floor rate would be lower than these rentals. Rent No. 6 is a second-floor office unit containing 710 square feet and is located along Atlantic Avenue in Cocoa Beach. The rental rate is $13.52 per square foot on a gross basis. This comparable was found to be similar and reflects a rental rate that would be similar for the subject's second floor. A review of the comparable rental indicated by Rent Nos. 1 , 2 and 3, revealed first-floor units would have rental rates ranging from $14.00 to $15.00 per square foot on a gross basis. - 64 - Rent No. 4, 5 and 6 revealed that rates for second-floor units would be lower than $14.42, as indicated by Rent No. 4 and similar to $13.52 per square foot, as indicated by Rent No. 6. The subject contract rents, located on the first floor, are currently $14.90 per square foot for the cell phone sales space and $17.50 per square foot for the hair salon. The hair salon has a higher rental rate as the lease includes water, which typically has a higher usage than most retail/office tenants. The existing rental rates are believed to be reasonable when considering the market. The appraiser believes that it is reasonable and appropriate to utilize the existing lease income for the occupied units and a gross market rate of $15.00 per square foot for the vacant first-floor units. For the subject's second-floor vacant space, the appraiser has concluded an economic rental rate of $13.50 per square foot per year, on a gross expense basis. As indicated earlier, the subject's first-floor units are presently listed for $19.50 per square foot and the second-floor office is listed for $15.75 per square foot per year. The asking rates appear somewhat high for the market, based on the comparables. Applying the economic rental rates to the respective vacant units and adding the contract rent from the leased units develops the following gross potential annual income for the subject property. - 65 - ESTIMATED GROSS POTENTIAL INCOME Contract Rent = $25,921 $15.00 /sf./year x 1 ,600 sf. = $24,000 $13.50 /sf./year x 3,200 sf. = $43,200 Gross Potential Income = $93,121 VACANCY AND COLLECTION LOSS Vacancy and collection losses would be realized over a typical holding period. The subject neighborhood is experiencing occupancy rates above 90% for properties similar to the subject that front along major traffic arteries. As previously stated, the subject is currently at 25% occupancy; however, the subject has historically had near 100% occupancy. The appraiser consulted with various brokers within the area and found that a stabilized vacancy rate of 7% appears to be realistic for the subject property. Consideration of the existing 25% vacant rate will be made later in this report. GROSS OPERATING INCOME Gross Potential Income $93,121 Less: 7% Vacancy & Collection Loss $ 6,518 Gross Operating Income $86,603 - 66 - OPERATING EXPENSE ANALYSIS The above rental rates are based upon a gross lease arrangement in which the owner is responsible for management fees, legal accounting fees, exterior maintenance, real estate taxes, reserves for replacement, and insurance; and the tenants being responsible for interior maintenance and utilities. In order to arrive at the indicated net operating income that the property is capable of producing, it is necessary to estimate the expenses of ownership and operation of the property. The appraisers have relied upon expense data provided by the owner and from data obtained from other properties similar to the subject. Following is a discussion of these expenses: Management Fees The appraiser consulted with several property managers and were informed that management fees typically range from a low of 3% for a one or two tenant facility to a high of 10% for multi-tenant properties with a high rate of turnover. The research indicated that a 5% management fee for the subject property would be appropriate due to the scale of the property and low turnover. Legal and Accounting The next expense item to be calculated is that of legal and accounting fees. The legal fees would be the cost to have an attorney draft or interpret a lease while the accounting fees would consist of the annual cost required for an accountant to figure the taxes attributable to the property. This expense was found in the market to vary, however, an annual expense of $1,000 appears to be reasonable. - 67 - Real Estate Taxes Real estate taxes, including the services tax, for the subject property were reported previously in this report to total $9,178.88. Applying the early payment discount of 4% yields an adjusted tax liability of approximately $8,812. Insurance The insurance premium for the property covers the annual cost to insure the improvements against fire or other disasters. The appraiser's database disclosed that the replacement cost insurance premium for the properties like the subject along the beach areas range from $.70 to $1 .00 per square foot of building area. An estimate of $5,550, or approximately $.82 per square foot of building area was utilized for the subject. Repairs and Maintenance This category covers the cost of maintaining the grounds and the structural components of the building. Considering the site size, landscaping and age/condition of the building, the appraiser has estimated a cost for grounds maintenance and building repairs to be approximately $3,000 per year. Common Area Utilities Common area utilities expenses for the subject are estimated to cost $100 per month, or $1,200 per year. Reserve for Replacement The next expense to be considered is that of a reserve for replacement fund. This expense item would consist of a reserve fund set up to cover the costs of replacing long-lived items. These would include the roof cover, the HVAC compressor units and other items that will wear out prior to the economic life of the building. These - 68 - costs are normally found to total $.15 per square foot of building area, or $1,000 per year for the subject. Following is a summary of the operating expense analysis and the estimate of the net operating income that the property is capable of producing. Gross Operating Income $86,603 Less: Operating Expenses Management (5%) $4,330 Legal/Accounting $1,000 Taxes $8,812 Insurance $5,550 Repairs & Maintenance $3,000 Utilities $1 ,200 Reserves $1,000 Total Expenses $24,892 Net Operating Income $61 ,711 The operating expense ratio was approximately 29%, which appears to be typical for properties of the subject type on a gross expense basis. The net operating income will now be capitalized into value. CAPITALIZATION OF NET INCOME The next step in this method is the selection of an appropriate overall capitalization rate and converting the subject's net operating income into an indication of value. Factors such as risk, time, interest on the capital investment and recapture of the depreciating asset are considered in the rate. - 69 - The appraiser can estimate an overall capitalization rate by any of several widely accepted techniques. These techniques include: (1) derivation from comparable sales, (2) derivation from effective gross income multipliers, (3) band of investment-land and building components and (4) mortgage-equity technique (5) the debt coverage ratio method. The technique of deriving rates from comparable sales is preferred when sufficient data is available. In the case of the subject property, there was not a sufficient amount of data available to extract an overall rate directly from the comparable sales. The appraiser referred to capitalization rate studies obtained from Costar. The appraiser also utilized the mortgage-equity technique to arrive at a reasonable capitalization rate for the subject property. MARKET EXTRACTION The Costar capitalization rate report from the Brevard and Orange Counties, indicated 12 office/retail property sales that are tabulated below: - 70 - Address Size (SF) Sale Price Sale Cap Date Rate 1015 SR 436 29,347 $2,800,000 6/19 7.00% Casselberry 1870 Providence Blvd. Deltona 8,200 $945,000 7/19 8.39% 2133 Sarno Rd. Melbourne 3,683 $337,000 8/19 8.52% 478 N. Babcock St. 10,915 $1,000,000 10/19 8.78% Melbourne 680 Montgomery St. Orlando 12,194 $2,150,000 1/20 6.80% 2000 Falcon Trace Blvd.15,492 $2,800,000 2/20 6.37% Orlando 2345 E. Michigan St. Orlando 7,150 $1,210,000 6/20 8.00% 7400 Southland Blvd. Orlando 22,075 $3,775,000 10/20 8.08% 2704 E. Burleigh Blvd.15,120 $2,400,000 12/20 7.95% Eustis 1040 N. Mills Ave. Orlando 3,510 $870,000 3/21 7.26% 442 N. Harbor City Blvd. Melbourne 8,130 $600,000 3/21 6.52% 1155 Volusia Av. Orange City 6,500 $985,000 Contract 7.00% The 12 sales disclosed rates from a low of 6.37% to a high of 8.78%, with a mean rate of 7.56% being calculated. The three rates from Brevard County ranged from 6.52% to 8.78% and had a mean indication of 7.94%. The two higher rates from Brevard are somewhat older and inferior in location to the subject. The capitalization rate to the subject; therefore, would be lower, say 7.5%. This rate is supported by the mean of the 12 sales. - 71 - MORTGAGE-EQUITY METHOD In the mortgage-equity analysis, the methodology is to estimate a debt service for a mortgage based on currently available financing terms. To this is added an equity yield rate to arrive at a weighted average between the mortgage and equity positions. An allowance for equity build-up through mortgage amortization is deducted and an allowance for anticipated appreciation or depreciation (over a defined holding period) is added or subtracted as required. Financing A survey of several lenders revealed that current mortgage terms for properties of the subject's type are a 75% loan to value ratio with amortization periods extending to 25 years and interest rates in the 4% to 6% range, say 5%. The loans would have balloon payments due in the five-year range. Yield Requirements An investor's required equity rate, for the most part, is affected by the amount of risk associated with the property under consideration. An investor may require as little as 8% to 10% yields on "safe" properties, such as a long-term ground lease, or he may require a yield above 18% if he is dealing with a highly speculative property. In the case of the subject property, an investor would consider the fact that the property is a desirable and stable market in Cape Canaveral. The appraiser believes that an investor would require a pre-tax equity yield rate of 14%when considering these benefits. Holding Term The holding term is estimated at 5 years, which is consistent with typical balloon dates on mortgages. - 72 - Appreciation In developing the overall rate for capitalization purposes, the appraisers have not factored in appreciation or depreciation over the five-year investment period. This reflects the current strength of the real estate market, but does reflect the uncertainty of real estate in general over the next five years. .75 Mortgage x .070151 Mortgage Constant = .052613 .25 Equity x .140000 Equity Yield = .035000 Mortgage-Equity Contribution .087613 Less: Mortgage Equity Build-Up .75 x .114198 (% Mortgage Paid Off) x .151284 Sinking Fund Factor = .012957 Overall Capitalization Rate .074656 RECONCILIATION OF CAPITALIZATION RATES In summary, the Costar report indicated a range of rates from 6.37% to 8.78% with a mean of 7.56%. The appraiser concluded a rate of 7.5% from this report. The Mortgage-Equity Method developed a rate of 7.47%. After consideration, the appraiser has concluded that the capitalization rate applicable to the subject property is 7.5%. Dividing the estimated net operating income of $61,511 by this rate results in the following indicated property value: INDICATED PROPERTY VALUE - (STABILIZED) Net Operating Income $ 61 ,711 Divided by Capitalization Rate .075 Indicated Value $822.813 Say $825,000 - 73 - The stabilization date is estimated to be in approximately one year, or on or about April 24, 2022. Stabilization is estimated to be a point in time when a 93% level of occupancy will be achieved. The above value; therefore, is as of the date of expected stabilization. AS IS VALUE - INCOME APPROACH The preceding market value estimate was based upon the subject having a stabilized occupancy rate of 93%. At present, the subject is at 25% occupancy. The rental market for the subject area is considered healthy, as no evidence of over supply conditions are evident. The subject property's first floor was historically 100% leased and the second floor was owner occupied for many years. The two vacant units on the first floor (800 square feet each) are suitable for office or retail use. The 3,200 square foot, second floor is also currently vacant. The second-floor layout consists of office space that can be utilized for single or multi-tenant occupancy. The appraiser estimates that the vacant units can be leased to a stabilized occupancy within a one-year time period. The discount for current occupancy can be estimated through several methods. In this case, with only a rent-up period of only one year, the appraiser believes that it can be estimated by determining the rent loss over the one-year time period. The net operating income at a stabilized occupancy of 93% was estimated previously in this report to be $61,711 . The current net operating income; however, is estimated to be only $1 ,529. This amount was based upon the current annual income from the two - 74 - leased units ($25,921 ), and a deduction of $24,392 in operating expenses. The same expenses were utilized; however, the legal fees were cut in half. Assuming that the stabilized level will not be achieved for one year, the net operating income loss is estimated to be $60,182, or say $60,200. Although this amount will most likely be lower due to leases being signed during the one-year period, the appraiser has deducted the entire amount. A prudent purchaser would most likely consider a conservative viewpoint when forecasting rent-up. It is also necessary to consider additional expenses that may be incurred in achieving the stabilized occupancy level. These include tenant improvements and leasing commissions. Tenant Improvements The second floor of the subject property was recently refurbished and was found to be in good, rentable condition at the time of inspection. The interior consists of finished office space that appears to be ready for immediate occupancy. The first-floor units are also in good condition and ready for occupancy. No refit or tenant improvements to be made by the owner were concluded. Leasing Commissions Discussions with several commercial leasing agents disclosed that a leasing commission rate of 6% is reasonable and customary in the Cape Canaveral market. In the income approach, it was estimated that the vacant space can generate market rental income of $15.00 per square foot along the first floor and $13.50 per square foot on the second floor. Applying these rates to the respective areas of vacant space develops additional income in excess of current income of: - 75 - $15.00 /sf./year x 1,600 sf.= $24,000 $13.50 /sf./year x 3,200 sf.= $43,200 Additional Income = $67,200 It was also found that leases typically have a three-year lease period. The 6% commission would apply to all three years of lease income. The commission is calculated to be: Lease Income - $67,200 x 6%x 3 Years = $12,096 Say = $12,100 Deducting the estimated loss of net income and the leasing commission expense from the market value upon stabilization develops the following indicated "as is" market value of the subject property by the income approach: MARKET VALUE "AS IS" - INCOME APPROACH Market Value Upon Stabilization = $825,000 Net Income Loss - $ 60,200 Less: Leasing Commissions - $ 12,100 Market Value "As Is" = $752,700 Say = $755,000 - 76 - FINAL RECONCILIATION The two approaches to value developed the following indications of value to the subject property: Sales Comparison Approach $780,000 Income Approach $755,000 The sales comparison and income approaches developed similar value conclusions as they fell within $25,000 of each other. Both approaches are believed to be reliable in the case of the subject. The income approach estimated a value upon stabilization of $825,000. The rent loss and anticipated leasing commission were deducted from this indication to arrive at the "as is" market value of $755,000. The sales comparison approach was based upon five sales of similar properties. The approach included an adjustment for occupancy; therefore, it was not necessary to deduct the rent loss and anticipated leasing commission. The appraiser believes that a prudent purchaser would typically place greater weight on the income approach when considering a multi-unit retail/office property such as the subject. Due to the occupancy level of the subject property; however, the appraiser believes that a prudent purchaser would weight each approach equally. After careful consideration and analysis, I have concluded that the subject property had an as is' market value, as of April 24, 2021, of: SEVEN HUNDRED SEVENTY THOUSAND DOLLARS ($770,000) - 77 - CERTIFICATION I, the undersigned, do hereby certify that I have personally inspected the property identified as: 7404 North Atlantic Avenue Cape Canaveral, Brevard County, Florida To the best of my knowledge and belief: The statements of fact contained in this report are true and correct. The reported analyses, opinions, and conclusions are limited only by the reported assumptions and limiting conditions and are my personal, impartial, and unbiased professional analyses, opinions and conclusions. I have no present or prospective interest in the property that is the subject of this report and no personal interest with respect to the parties involved. I have no bias with respect to the property that is the subject of this report or to the parties involved with this assignment. My engagement in this assignment was not contingent upon developing or reporting predetermined results. My compensation for completing this assignment is not contingent upon the development or reporting of a predetermined value or direction in value that favors the cause of the client, the amount of the value opinion, the attainment of a stipulated result, or the occurrence of a subsequent event directly related to the intended use of this appraisal. - 78 - My analyses, opinions and conclusions were developed, and this report has been prepared in conformity with the Uniform Standards of Professional Appraisal Practice (USPAP), the regulating agencies governed under FIRREA, and the requirements of the Code of Professional Ethics and Standards of Professional Appraisal Practice of the Appraisal Institute. The use of this report is subject to the requirements of the Appraisal Institute relating to review by its duly authorized representatives. As of the date of this report, I, Clark A. Maxwell, MAI, have completed the continuing education program of the Appraisal Institute. I have made a personal inspection of the property that is the subject of this report. The subject of this report was previously appraised by this firm on March 17, 2020. I have performed no other services, as an appraiser or in any other capacity, regarding the property that is the subject of this report within the three-year period immediately preceding the agreement to perform this assignment. No one provided significant real property appraisal assistance to the persons signing this certification. Clark A. Maxwell, MAI Cert Gen RZ920 - 79 - GENERAL ASSUMPTIONS 1. The legal description used in this report is assumed to be correct. 2. No survey of the property has been made by the appraiser and no responsibility is assumed in connection with such matters. Sketches in this report are included only to assist the reader in visualizing the property. 3. No responsibility is assumed for matters of a legal nature affecting title to the property nor is an opinion of title rendered. The title is assumed to be good and merchantable. 4. Information furnished by others is assumed to be true, correct and reliable. A reasonable effort has been made to verify such information, however, no responsibility for its accuracy is assumed by the appraiser. 5. All mortgages, liens, encumbrances, leases, and servitudes have been disregarded unless so specified within the report. The property is appraised as though under responsible ownership and competent management. 6. It is assumed that there are no hidden or unapparent conditions of property, subsoil or structures, which would render it more or less valuable. No responsibility is assumed for such conditions or for engineering, which may be required to discover them. 7. It is assumed that there is full compliance with all applicable federal, state and local environmental regulations and law unless non- compliance is stated, defined and considered in the appraisal report. 8. It is assumed that all required licenses, consents or other legislative or administrative authority from any local, state or national governmental or private entity or organization have been or can be obtained or renewed for any use on which the value estimate contained in this report is based. 9. It is assumed that all applicable zoning and use regulations and restrictions have been complied with, unless a non-conformity has been stated, defined and considered in the appraisal report. 10. It is assumed that the utilization of the land and improvements is within the boundaries or property lines of the property described and that there is no encroachment or trespass unless noted within the report. - 80 - GENERAL LIMITING CONDITIONS 1. The appraiser will not be required to give testimony or appear in court because of having made this appraisal, with reference to the property in question, unless arrangements have been previously made. 2. Possession of this report, or a copy thereof, does not carry with it the rights of publication. It may not be used for any purpose by any person other than the party to whom it is addressed without written consent of the appraiser, and in any event, only with proper qualification and only in its entirety. 3. The distribution of the total valuation in this report between land and improvements applies only under the reported highest and best use of the property. The allocations of value for land and improvements must not be used in conjunction with any other appraisal and are invalid if so used. 4. No environmental impact studies were either requested or made in conjunction with this appraisal, and the appraiser hereby reserves the right to alter, amend, revise or rescind any of the value opinions based upon any subsequent environmental impact studies, research or investigations. 5. Acceptance of and/or use of this appraisal report constitutes acceptance of the foregoing general assumptions and general limiting conditions. RESTRICTIONS UPON DISCLOSURE AND USE Disclosure of the contents of this appraisal report is governed by the By-Laws and Regulations of the Appraisal Institute. Neither all nor part of the contents of this report (especially any conclusions as to value, the identity of the appraiser or the firm with which he is connected, or any reference to the Appraisal Institute) shall be disseminated to the public through advertising media, public relations media, news media, sales media or any other public means of communication without prior written consent and approval of the undersigned. Clark A. Maxwell, MAI - 81 - QUALIFICATIONS OF CLARK A. MAXWELL, MAI Presently, and since 1979, Clark A. Maxwell has been engaged in real estate appraisal practice in Brevard and surrounding counties in Florida. He specializes in the appraisal of a wide range of properties including vacant lots and acreage, office buildings, convenience stores, condominium and subdivision projects, warehouses, manufacturing facilities, citrus groves and mobile home parks to name just a few. He has also been actively engaged in appraisals for estate tax purposes and condemnation proceedings. APPRAISAL EMPLOYMENT April 1996 to Present- President, Maxwell Appraisal & Consulting Group June 1979 to March 1996-Senior Commercial Appraiser, Robert W. Houha, MAI EDUCATION Formal Education: University of Florida - Graduate, B.S.B.A. Degree, 1979 Major Field of Study: Real Estate Minor Field of Study: Environmental Sciences Courses Completed: Real Estate Law Urban Geography Real Estate Finance Real Estate Analysis Real Estate Investment Real Estate Appraisal Urban Land Use Analysis Appraisal Education: Recent courses and seminars: 4 Business Practices and Ethics-2020 4 Valuation of Donated Real Estate, Conservation Easements - 2020 4 Eminent Domain -2019- CLE International 4 Business Practices and Ethics-2020 4 Core Law Update-2020 4 Uniform Standards of Professional Appraisal Practice-2020 4 Appraisal Review B - FDOT - 2018 4 REO and Foreclosures-2016 4 Appraisal of Land Subject to Ground Leases-2016 4 Appraisal of Assisted Living Facilities-2016 4 Nuts and Bolts of Green Building for Appraisers - 2016 4 Marina Valuation Overview - 2013 4 Appraising Convenience Stores-2012 4 Apartment Appraisal, Concepts and Applications - 2012 4 Small Hotel/Motel Valuation - 2005 4 Course 700: The Appraiser as an Expert Witness-2005 4 Course 710: Condemnation Appraising: Basic Principles - 2005 - 82 - QUALIFICATIONS OF CLARK A. MAXWELL. MAI - Continued Other Related Courses/Seminars: 4 Appraisal of Self Storage Facilities - 2014 4 Appraisal of Partial Acquisitions - 2015 Webinar 4 Performing Commercial Evaluations - 2012 Webinar 4 Appraising and Analyzing Industrial and Flex Buildings - 2012 4 Appraising and Analyzing Retail Shopping Centers - 2012 4 How to Analyze and Value Income Properties - 2012 4 Income Capitalization - 2010 4 Florida Supervisor/Trainee Roles & Relationships - 2010 4 Ad Valorem Tax Consultation - 2010 4 Expert Witness Testimony - 2010 COURT EXPERIENCE Qualified as an expert witness in the Eighteenth Judicial Circuit Court of the State of Florida, the Bankruptcy Court of the Middle District of the State of Florida, and the United States Tax Court. PROFESSIONAL AFFILIATIONS MAI-Member of the Appraisal Institute- No. 8609 State-Certified General Real Estate Appraiser, Florida, License RZ920 PARTIAL LIST OF CLIENTS Financial Institutions: Bank of America BB & T Regions Bank TD Bank Florida Business Bank CenterState Bank Sunshine Bank Sunrise Bank Paradise Bank Community Bank of the South BankFirst Wells Fargo Bank Community Credit Union USAmeriBancorp Others: Garganese, Weiss & D'Agresta, P.A. Charles I. Nash, Atty. Brevard Community College Philip F. Nohrr, Atty. Melbourne-Orlando Airport Authority Fla. Dept. of Transportation Brevard County EELS Program Federal Aviation Administration City of Cape Canaveral Town of Indialantic Fla. Dept. of Environmental Protection Canaveral Port Authority - 83 - Ron DeSantis,Governor Halsey Beshears,Secretary STATE OF FLORIDA DEPARTMENT OF BUSINESS AND PROFESSIONAL REGULATION FLORIDA REAL ESTATE APPRAISAL BD THE CERTIFIED GENERAL APPRAISER HEREIN IS CERTIFIED UNDER THE PROVISIONS OF CHAPTER 475, FLORIDA STATUTES MAXWELL, CLARK 2525 AURORA ROAD STE 105 MELBOURNE FL 32935 LICENSE NUMBER: RZ920 EXPIRATION DATE: NOVEMBER 30, 2022 Always verify licenses online at MyFloridaLicense.ccm Do not alter this document in any form. This is your license. It is unlawful for anyone other than the licensee to use this document. -84- ADDENDA ZONING DIVISION 5. - C-1 LOW DENSITY COMMERCIAL DISTRICT Sec. 110-331 . - Intent; applicability. (a) The requirements for the C-1 low density commercial district are intended to apply to an area adjacent to major arterial streets and convenient to major residential areas. The types of uses permitted are intended to serve the consumer needs of nearby residential neighborhoods, as well as the commercial needs of the motorist. Lot sizes and other restrictions are intended to reduce conflict with adjacent residential uses and to minimize the interruption of traffic along thoroughfares. (b) The provisions of this division shall apply to all property designated as C-1 low density commercial on the city's official zoning map. Further, those properties zoned C-1 that are located within the boundaries of the Al A Economic Opportunity Overlay District, established pursuant to article X of this chapter, shall be subject to the guidelines and standards of that article. (Code 1981 , § 637.45; Ord. No. 01-2007, § 3, 2-20-07; Ord. No. 11-2012, § 4, 7-17-12) Sec. 110-332. - Principal uses and structures. In the C-1 low density commercial district, the following uses and structures are permitted: (1) Retail stores, sales and display rooms. (2) Personal service establishments, such as beauty shops and barbershops, laundry and dry cleaning pickup stations, tailor shops and similar uses. (3) Professional offices, studios, medical or dental clinics, laboratories, general offices, business schools and similar uses. (4) Hotels, motels with a minimum of 150 rental units. In no case shall there be more than 30 rental units per net acre nor shall a rental unit have a floor area less than 300 square feet. Hotel and motel units containing provisions for cooking or light housekeeping shall have a minimum floor area not less than 400 square feet. Motels and hotels may not be converted to other types of dwellings at more than the density required in this chapter for such dwellings. (5) Restaurants. (6) Public and semipublic parks, playgrounds, clubs and lodges, cultural facilities, hospitals, medical or dental clinics, funeral homes, government offices, schools, churches and similar uses. (7) Banks and financial institutions. (8) Commercial recreation, such as driving ranges, bowling alleys and similar uses. (9) Plant nurseries and greenhouses, provided that all outside display merchandise shall be contained in the required setbacks. (10) Repair service establishments, such as household appliances, radio and TV and similar uses. (11) Kindergartens and child care facilities. (12) Veterinary clinics. (13) Retail sale of beer and wine for off-premises consumption. (14) Public schools. (15) Assisted living facilities, subject to the requirements of section 110- 488. (16) Places in which goods are produced and sold at retail upon the premises. (17) Vocational and trade schools not involving operations of an industrial nature. (18) Car washes, including polishing and sale of related materials. (19) Automotive maintenance facilities, but not automotive repair facilities. (Code 1981 , § 637.47; Ord. No. 17-96, § 3, 10-1-96; Ord. No. 04-2006, § 2, 6- 20-06; Ord. No. 04-2007, § 2, 6-19-07; Ord. No. 06-2011 , § 2, 10-18-11 ; Ord. No. 06-2012, § 2, 4-17-12; Ord. No. 02-2016, § 2, 7-19-16) Sec. 110-333. - Accessory uses and structures. In the C-1 low density commercial district, customary accessory uses of one or more of the principal uses clearly incidental and subordinate to the principal use, in keeping with the low density commercial character of the district, are permitted. (Code 1981, § 637.49) Sec. 110-334. - Special exceptions permissible by board of adjustment. (a) Special exceptions may be permitted for the following: (1) Automotive service stations that were lawfully approved and permitted by the city pursuant to a special exception prior to the effective date of Ord. No. 11-2015 [November 17, 2015] shall be considered a lawful, conforming use subject to all applicable conditions and requirements imposed by the city when said use was previously permitted. In addition, such automotive service stations may be modified to allow no more than ten fueling stations (where one vehicle can be accommodated for refueling) within any one filling station property or location, whether said filling station is located on one lot or comprises more than one lot. An automotive service station may be modified to allow up to 16 fueling stations on a single lot of at least one acre with at least 275 feet of single street frontage. Any request for a modification to such special exception is subject to Chapter 110, Article II, Division 4, City Code, and all other applicable provisions of the City Code. (2) Pain management clinics, subject to the requirements of section 110- 489 of this Code. (3) Commercial establishments which sell, dispense, serve or store alcoholic beverages or which permit the consumption of alcoholic beverages on their premises subject to section 110-171 . (Code 1981 , § 637.51 ; Ord. No. 02-2003, § 2, 3-4-03; Ord. No. 11-2006, § 2, 10-3-06; Ord. No. 17-2010, § 2, 11-16-10; Ord. No. 06-2011 , § 2, 10-18-11 ; Ord. No. 05-2013, § 2, 3-19-13; Ord. No. 09-2014, § 2, 9-16-14; Ord. No. 11- 2015, § 2, 11-17-15; Ord. No. 02-2016, § 2, 7-19-16; Ord. No. 11-2017, § 2, 8-15-17) Sec. 110-335. - Prohibited uses and structures. In the C-1 low density commercial district, the following uses and structures are prohibited: (1) All uses not specifically or provisionally permitted in this division. (2) Any use which fails to meet performance standards specifications as provided in section 110-466. (3) Bottle clubs. (Code 1981, § 637.53) Sec. 110-336. - Area and dimensions. In the C-1 low density commercial district, the following areas and dimensions shall be required: (1) Minimum lot area shall be as follows: a. Service stations, 12,000 square feet. b. All other principal uses and structures, 5,000 square feet, and, in addition, the ratio of gross floor area to lot area shall not exceed 1 .5:1 .0. (2) Minimum lot width shall be as follows: a. Service stations, hotels and motels, 100 feet. b. All other principal uses and structures, 50 feet. (3) Minimum lot depth shall be 100 feet. (4) Maximum lot coverage shall be 50 percent. (5) Minimum living or floor area shall be as follows: a. Hotels and motels, 300 square feet per rental unit. b. Hotel and motel units containing provisions for cooking or light housekeeping, not less than 400 square feet. c. All other principal uses and structures, 300 square feet. (6) The maximum height of all buildings constructed within the C-1 district shall be 45 feet. (Code 1981, § 637.55; Ord. No. 18-96, § 1, 9-3-96; Ord. No. 24-2006, § 2, 1- 2-07) Sec. 110-337. - Minimum setbacks. (a) In the C-1 low density commercial district, the minimum setbacks required shall be as follows: (1) Front, 25 feet. (See subsection (b) of this section.) (2) Side (interior lot line), zero feet; 25 feet when abutting a residential district. (3) Side (corner lot line), 25 feet. (4) Rear, ten feet; 25 feet when abutting a residential district. (5) Public or private street, 25 feet. (b) See section 110-536 for special setbacks. (Code 1981, § 637.55) Sec. 110-338. - Landscaping, screening and parking. In the C-1 low density commercial district, landscaping, screening and parking shall be provided pursuant to article IX of this chapter pertaining to supplementary district regulations. (Code 1981, § 637.57) Sec. 110-339. - Offstreet parking and access. In the C-1 low density commercial district, offstreet parking and access to a public or private street shall be provided in accordance with section 110-466. (Code 1981, § 637.59) SUBJECT PROPERTY FRONT VIEW SUBJECT PROPERTY REAR VIEW NORTH SIDE ELEVATION REAR PARKING UNIT 7406 INTERIOR UNITS 7410 & 7412 INTERIOR SECOND FLOOR INTERIOR-CENTRAL HALLWAY SECOND FLOOR INTERIOR-TYPICAL OFFICE SECOND FLOOR INTERIOR- BREAKROOM SECOND FLOOR INTERIOR- RESTROOM SECOND FLOOR ACCESS SUBJECT SIGNAGE ATLANTIC AVENUE (HIGHWAY A1A) LOOKING SOUT ATLANTIC AVENUE (HIGHWAY A1A) LOOKING NORTH TAYLOR AVENUE LOOKING EAST TAYLOR AVENUE LOOKING WEST CITY OF CAPE CANAVERAL Attachment 5 COMMUNITY REDEVELOPMENT AGENCY (CRA) BOARD September 13, 2021 TO: Cape Canaveral City Council VIA: Todd Morley, City Manager FROM: Brenda Surprenant, CRA Director As outlined in the December 9, 2020 Revised Agenda Packet Process memo, the CRA Director shall provide a detailed memo outlining the following related to CRA-eligible/funded projects: 1. The project geographically lies entirely within the CRA: Yes, the entire project is located within the CRA boundary. 2. The project falls under an "eligible project" category within the City's CRA Plan: Yes, the project is consistent with the CRA Strategy of providing necessary public improvements at acceptable levels of service within the redevelopment area. Specifically, to pursue adequate park and recreation facilities, open space and beautification opportunities that may be desirable for neighborhood improvement, with special consideration for the health, safety, and welfare of children. 3. Funding appeared within the last 5 years in the General Fund: No. 4. Funding has ever appeared in the General Fund 5-Year CIP: No. 5. The project is consistent with the Interlocal Agreement between the CRA and Brevard County, dated June 19, 2018. Yes, the project is consistent with the Interlocal Agreement. CITY OF CAPE CANAVERAL CITY COUNCIL MEETING • SEPTEMBER 21, 2021 AGENDA ITEM SUMMARY • ITEM # 8 Subject: Ordinance No. 27-2021; amending section 58-1 of the City Code related to local public notices for Future Land Use Map amendments; providing for the repeal of prior inconsistent ordinances and resolutions, incorporation into the Code, severability and an effective date, second reading. Department: Community and Economic Development Summary: On May 21, 2019, the City Council passed Ordinance No. 09-2019 (Attachment 1) which amended Section 110-28 of the City Code relating to Due Process and Special Local Notice requirements for certain zoning hearings. The amended process was established to streamline local public notice requirements in anticipation of the City's comprehensive administrative rezoning project. Specifically, the change eliminated the need to post individual properties, while maintaining the requirement to post a meeting notice at City Hall and on the City's official website; and to notify, by regular mail, the owner(s) of the subject parcels of land for which the administrative application is made. To create a uniform local public notice process for Future Land Use Map (FLUM) amendments, the proposed Ordinance (Attached) has been prepared. In addition to notice requirements provided by State Statutes, the proposed Ordinance establishes notice requirements in a manner consistent with the comprehensive administrative rezoning process passed via Ordinance No. 09-2019. Specifically, that individual properties will no longer be required to be posted for City -initiated FLUM amendments. The proposed Ordinance (Attachment 2) provides additional housekeeping measures intended to provide a degree of flexibility to FLUM amendments. Zoning and FLUM amendments are commonly processed concurrently for a given property. At its July 28, 2021 Regular Meeting, the Planning and Zoning Board recommended approval of the subject Ordinance. At its August 17, 2021 Regular Meeting, the Council passed a motion to approve at first reading. The Notice of Hearing was placed for advertisement in Florida Today on September 9, 2021 and the Ordinance is now presented for second reading and final adoption. Submitting Department Director: David Dickey Date: 9/7/21 Attachments: 1 - Ordinance No. 09-2019 2 - Ordinance No. 27-2021 Financial Impact: Cost of advertisement and codification; Staff time and effort to prepare this agenda item. Reviewed by Administrative/Financial Services Director: John DeLeo Date: 9/3/21 The City Manager recommends the City Council take the following action: Adopt Ordinance No. 27-2021 on second reading. Approved by City Manager: Todd Morley Date: 9/7/21 Attachment 1 1 ORDINANCE NO. 09-2019 2 3 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY 4 OF CAPE CANAVERAL, BREVARD COUNTY, FLORIDA; 5 AMENDING SECTION 110-28 OF THE CITY CODE 6 RELATED TO DUE PROCESS AND SPECIAL LOCAL 7 NOTICE REQUIREMENTS FOR CERTAIN ZONING 8 HEARINGS; PROVIDING FOR THE REPEAL OF PRIOR 9 INCONSISTENT ORDINANCES AND RESOLUTIONS, 10 INCORPORATION INTO THE CODE, SEVERABILITY 11 AND AN EFFECTIVE DATE. 12 13 WHEREAS, the City is granted the authority, under Section 2(b), Article VIII, of the State 14 Constitution, to exercise any power for municipal purposes, except when expressly prohibited by 15 law; and 16 17 WHEREAS, the City Council desires to amend City special local notice requirements for 18 certain zoning hearings to streamline local notice requirements by balancing various legitimate 19 public interests and taking into consideration common sense, practical concerns such as public 20 expenses and limited resources, efficient and timely decision making by the City on land use 21 matters and unreasonableness; and 22 23 WHEREAS, the City Council of the City of Cape Canaveral, Florida, hereby finds this 24 ordinance to be in the best interests of the public health, safety and welfare of the citizens of Cape 25 Canaveral. 26 27 NOW, THEREFORE, BE IT ENACTED BY THE CITY COUNCIL OF THE CITY 28 OF CAPE CANAVERAL, BREVARD COUNTY, FLORIDA, AS FOLLOWS: 29 30 Section 1. Recitals. The foregoing recitals are hereby fully incorporated herein 31 by this reference as legislative findings and the intent and purpose of the City Council of the City 32 of Cape Canaveral. 33 34 Section 2. Code Amendment. Section 110-28 of the Code of Ordinances, City of 35 Cape Canaveral, Florida, is hereby amended as follows (underlined type indicates additions and 36 strikeout type indicates deletions): 37 38 Sec. 110-28. - Due process; special notice requirements. 39 (a) All applicants and interested parties shall be afforded minimal due process as required by 40 law, including the right to receive notice, be heard, present evidence, cross-examine witnesses, 41 and be represented by a duly authorized representative. 42 (b) In addition to any notice requirements provided by state law, all public hearings under this 43 article shall initially be publicly noticed for at least 14 calendar days prior to the date of the 44 hearing. Public hearings that are postponed or continued by the City shall be publicly noticed 45 for at least 3 calendar days unless otherwise required by the board. Said notice shall include 46 the address of the subject property, matter to be considered and the time, date and place of the 47 hearing. The city shall post notice of public hearings in the following manner: City of Cape Canaveral Ordinance No. 09-2019 Page 1 of 3 1 (1) Posting the affected property. 2 (2) Posting at city hall and on the city's official website. 3 (3) Notifying all owners of real property (including homeowner's and condominium 4 associations) approximately adjacent to and within 500 feet of the subject property. All 5 notices required by this subparagraph may be sent by regular mail except that public 6 hearings related to applications for rezoning shall be sent by certified mail, return receipt 7 requested. Further, unless otherwise provided by law, notices required by this subsection 8 shall only be mailed for the first public hearing before the first board required to hear an 9 application under this article. Subsequent hearings on the same application shall not be 10 required to be noticed by this subsection. Applicants shall be solely responsible for the 11 costs incurred for notification under this subparagraph. 12 (4) Notifying, by certified regular mail or email, the owner(s) of the subject property for 13 which the application is being made. 14 The notice requirements set forth in subsections (1), (2), and (3) above are hereby deemed to 15 be courtesy notices. The failure to provide such courtesy notices shall not be a basis of appealing 16 any decision made under this chapter. 17 (c) When any proposed zoning district boundary change, variance, or special exception lies 18 within approximately 500 feet of the boundary of any property under another government's 19 jurisdiction, notice shall be forwarded to the governing body of the appropriate government 20 authority in order to afford such body an opportunity to appear at the hearing and express its 21 opinion on the effect of said proposed district boundary change, variance or special exception. 22 (d) Comprehensive administrative rezoning, variance, or special exception applications 23 initiated by the City affecting more than one noncontiguous parcel of land and more than five acres 24 of land shall not be subject to the notice requirements set forth in this section. Unless otherwise 25 required by state law, all public hearings under this subsection (d) shall initially be publicly noticed 26 for at least 14 calendar days prior to the date of the hearing. Public hearings that are postponed or 27 continued by the City shall be publicly noticed for at least 3 calendar days unless otherwise 28 required by the board. In addition to any notice requirements provided by state law, public notice 29 of the hearing of such applications shall include the address of the subject property, matter to be 30 considered and the time, date and place of the hearing and shall be posted in the following manner: 31 32 (1) Posting at city hall and on the city's official website. 33 34 (2) Notifying, by regular mail, the owner(s) of the subject parcels of land for which the 35 administrative application is being made by the City. 36 37 Section 3. Repeal of Prior Inconsistent Ordinances and Resolutions. All prior 38 inconsistent ordinances and resolutions adopted by the City Council, or parts of prior ordinances 39 and resolutions in conflict herewith, are hereby repealed to the extent of the conflict. 40 41 Section 4. Incorporation Into Code. This Ordinance shall be incorporated into the 42 Cape Canaveral City Code and any section or paragraph, number or letter and any heading may be 43 changed or modified as necessary to effectuate the foregoing. Grammatical, typographical and 44 like errors may be corrected and additions, alterations, and omissions, not affecting the 45 construction or meaning of this Ordinance and the City Code may be freely made. 46 City of Cape Canaveral Ordinance No. 09-2019 Page 2 of 3 1 Section 5. Severability. If any section, subsection, sentence, clause, phrase, word or 2 provision of this Ordinance is for any reason held invalid or unconstitutional by any court of 3 competent jurisdiction, whether for substantive, procedural or any other reason, such portion shall 4 be deemed a separate, distinct and independent provision, and such holding shall not affect the 5 validity of the remaining portions of this Ordinance. 6 7 Section 6. Effective Date. This Ordinance shall become effective immediately upon 8 adoption by the City Council of the City of Cape Canaveral, Florida. 9 10 ADOPTED by the City Council of the City of Cape Canaveral, Florida, this 21st day of 11 May, 2019. 13 4 14 Mike Brown, Mayor Pro Tem 15 16 ATTEST: For Against 17 18 Mike Brown X 19 Robert Hoog Absent 20 Wes Morrison X 21 Rocky Randels Motion 22 Angela Raymond Second 23 Mia Goforth, CMC 24 City Clerk 25 First Reading: April 16, 2019 26 Planning & Zoning Board 27 Hearing: April 24, 2019 28 Advertisement: May 09, 2019 29 Second Reading: May 21, 2019 30 31 Approved as to legal form and sufficiency 30 for the City of Cape Canaveral only by: 32 33 Anthony A. Garganese, City Attorney City of Cape Canaveral Ordinance No. 09-2019 Page 3 of 3 SEAL of Cape Canaveral, Florida Attachment 2 1 ORDINANCE NO. 27-2021 2 3 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CAPE 4 CANAVERAL, FLORIDA, AMENDING SECTION 58-1 OF THE CITY 5 CODE RELATED TO LOCAL PUBLIC NOTICES FOR FUTURE LAND USE 6 MAP AMENDMENTS; PROVIDING FOR THE REPEAL OF PRIOR 7 INCONSISTENT ORDINANCES AND RESOLUTIONS, 8 INCORPORATION INTO THE CODE, SEVERABILITY AND AN 9 EFFECTIVE DATE. 10 11 WHEREAS, the City is granted the authority, under Section 2(b), Article VIII, of the State 12 Constitution, to exercise any power for municipal purposes; and 13 14 WHEREAS, the City Council previously streamlined the local public notice requirements 15 for zoning related applications including rezoning map amendments as set forth in Section 110- 16 28 of the City Code; and 17 18 WHEREAS, in many cases, future land use map amendments occur simultaneously with 19 rezoning map amendments; and 20 21 WHEREAS, the City Council desires to create one uniform local public notice standard for 22 future land use map and rezoning map amendments rather than maintaining two different 23 requirements in order to streamline the City's local notice process; and 24 25 WHEREAS, the City Council of the City of Cape Canaveral, Florida, hereby finds this 26 Ordinance to be in the best interests of the public health, safety and welfare of the citizens of 27 Cape Canaveral. 28 29 NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF CAPE CANAVERAL HEREBY 30 ORDAINS, AS FOLLOWS: 31 Section 1. Recitals. The foregoing recitals are hereby fully incorporated herein by 32 this reference as legislative findings and the intent and purpose of the City Council of the City of 33 Cape Canaveral. 34 35 Section 2. Amending Section 58-1 of the City Code. The City of Cape Canaveral 36 Code of Ordinances, Section 58-1 is hereby amended as set forth below (underlined type indicates 37 additions and strikeout type indicates deletions, while *** indicate deletions from this Ordinance 38 of said applicable Division that shall remain unchanged in the City Code): 39 40 CHAPTER 58 — PLANNING 41 City of Cape Canaveral Ordinance No. 27-2021 Page 1 of 3 1 *** 2 3 Article I. — IN GENERAL 4 5 Sec. 58-1. Notice requirement for amendments to future land use map. 6 In addition to any notice requirements provided by state law, all public hearings for future 7 land use map amendments shall be publicly noticed in the same manner as zoning map 8 amendments as set forth in section 110-28. for at least 11 calendar days prior to the date of the 9 hearing. Said notice shall include the address or legal description of the subject property, matter 10 to be considered and the time, date and place of the hearing. The city shall post notice of public 11 hearings in the following manner: 12 (1) Posting the affected property. 13 (2) Posting at city hall and on the city's official website. 14 (3) Notifying, by certified mail, all owners of real property (including homeowner's and 15 condominium associations) adjacent to and within 500 feet of the subject property. 16 Applicants shall be solely responsible for the costs incurred for notification under this 17 subsection. Further, unless otherwise provided by law, notices required by this 18 subsection shall be provided as follows: 19 (A) Notice of small scale futurc land use map amendments shall only bc mailed for 20 the first public hearing before each board required to conduct a hearing on the 21 small scale future land use map amendment. 22 (B) Notice of large scale future land use map amendments shall be mailed at least 23 once before the land planning agency heaing, the transmittal hearing and the 24 adoption hearing on the large scale future land use map amendment. 25 (1) Notifying, by certified mail, thc owner(s) of thc subject property for which the 26 application is being made. 27 The notice requirements set forth in subsections (1), (2), and (3) above are hereby deemed 28 to be courtesy notices. The failure to provide such courtesy notices shall not be a basis of 29 appealing any decision made under this chapter. 30 31 Section 3. Repeal of Prior Inconsistent Ordinances and Resolutions. All prior 32 inconsistent ordinances and resolutions adopted by the City Council, or parts of prior ordinances 33 and resolutions in conflict herewith, are hereby repealed to the extent of the conflict. 34 35 Section 4. Incorporation Into Code. This Ordinance shall be incorporated into the 36 Cape Canaveral City Code and any section or paragraph, number or letter, and any heading may City of Cape Canaveral Ordinance No. 27-2021 Page 2 of 3 1 be changed or modified as necessary to effectuate the foregoing. Grammatical, typographical, 2 and like errors may be corrected and additions, alterations, and omissions, not affecting the 3 construction or meaning of this ordinance and the City Code may be freely made. 4 5 Section 5. Severability. If any section, subsection, sentence, clause, phrase, word or 6 provision of this Ordinance is for any reason held invalid or unconstitutional by any court of 7 competent jurisdiction, whether for substantive, procedural, or any other reason, such portion 8 shall be deemed a separate, distinct and independent provision, and such holding shall not affect 9 the validity of the remaining portions of this Ordinance. 10 11 Section 6. Effective Date. This shall become effective immediately upon 12 adoption by the City Council of the City of Cape Canaveral, Florida, and pursuant to the City 13 Charter. 14 15 ADOPTED by the City Council of the City of Cape Canaveral, Florida, this 21st day of 16 September, 2021. 17 18 19 Bob Hoog, Mayor 20 21 22 23 ATTEST: For Against 24 25 26 27 Mia Goforth, CMC 28 City Clerk 29 30 31 32 33 34 First Reading: August 17, 2021 35 Advertisement: September 9, 2021 36 Second Reading: September 21, 2021 37 38 Approved as to legal form and sufficiency 39 for the City of Cape Canaveral only by: 40 41 42 Anthony A. Garganese, City Attorney Mike Brown Robert Hoog Mickie Kellum Wes Morrison Angela Raymond City of Cape Canaveral Ordinance No. 27-2021 Page 3 of 3 CITY OF CAPE CANAVERAL CITY COUNCIL MEETING • SEPTEMBER 21, 2021 AGENDA ITEM SUMMARY • ITEM # 9 Subject: Ordinance No. 35-2021; amending Section 38-33 of the City's Fire Prevention and Protection Code related to private entry gates; providing for the repeal of prior inconsistent ordinances and resolutions, incorporation into the Code, severability and an effective date, second reading. Department: Canaveral Fire Rescue Summary: Section 38-33, City Code, currently requires private entry gates be siren activated for access by emergency vehicles. This technology is now outdated due to the prevalence of 800 MHz Radio Frequency devices being equipped on emergency vehicles. This provides an improved, alternate way to access private entry gates. The new method allows reliable access through private gates by all emergency police, fire and ambulance apparatus without necessitating the use of a loud siren, which affords a reduction in noise pollution, particularly for incidents that may happen late at night or early in the morning. Additionally, current siren activated gates may not reliably respond to all types of sirens used on different emergency apparatus. Ordinance No. 35-2021 (Attached) will update City Code, reflecting the use of 800 MHz Radio Frequency devices to access private entry gates. The Ordinance allows all nonconforming private entry gates installed prior to August 17, 2021 to remain in service until they are in need of replacement. All new private entry gates for emergency vehicles installed after August 17, 2021 will be required to be equipped with an 800 MHz radio frequency opening device. At its August 17, 2021 Regular Meeting, the Council approved Ordinance No. 35-2021 at first reading. The Notice of Hearing was placed for advertisement in Florida Today on September 9, 2021 and the Ordinance is now presented for second reading and final adoption. Submitting Department Director: Chief Dave Sargeant Date: 9/7/21 Attachment: Ordinance No. 35-2021 Financial Impact: Cost of advertisement and codification; Staff time and effort to prepare this agenda item. Reviewed by Administrative/Financial Services Director: John DeLeo Date: 9/3/21 The City Manager recommends the City Council take the -following action: Adopt Ordinance No. 35-2021 at second reading. Approved by City Manager: Todd Morley Date: 9/7/21 1 ORDINANCE NO. 35-2021 2 3 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CAPE 4 CANAVERAL, FLORIDA, AMENDING SECTION 38-33 OF THE CITY'S 5 FIRE PREVENTION AND PROTECTION CODE RELATED TO PRIVATE 6 ENTRY GATES; PROVIDING FOR THE REPEAL OF PRIOR 7 INCONSISTENT ORDINANCES AND RESOLUTIONS, 8 INCORPORATION INTO THE CODE, SEVERABILITY AND AN 9 EFFECTIVE DATE. 10 11 WHEREAS, the City is granted the authority, under Section 2(b), Article VIII, of the State 12 Constitution, to exercise any power for municipal purposes, except when expressly prohibited by 13 law, and is granted authority to enforce and adopt fire prevention and protection regulations 14 pursuant to Chapter 633, Florida Statutes; and 15 16 WHEREAS, Chapter 38 of the City Code sets forth detailed regulations regarding fire 17 prevention and protection; and 18 19 WHEREAS, upon recommendation of the City's Fire Chief, the City Council desires to 20 amend the fire prevention and protection regulation regarding private entry gates; and 21 22 WHEREAS, the City Council of the City of Cape Canaveral, Florida, hereby finds this 23 Ordinance to be in the best interests of the public health, safety and welfare of the citizens of 24 Cape Canaveral. 25 26 NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF CAPE CANAVERAL HEREBY 27 ORDAINS, AS FOLLOWS: 28 Section 1. Recitals. The foregoing recitals are hereby fully incorporated herein by 29 this reference as legislative findings and the intent and purpose of the City Council of the City of 30 Cape Canaveral. 31 32 Section 2. Amending Section 38-33 Private Entry Gates. The City of Cape 33 Canaveral Code of Ordinances, Section 38.33 — Private Entry Gates is hereby amended as set forth 34 below (underlined type indicates additions and strikeout type indicates deletions, while *** 35 indicate deletions from this Ordinance of said Chapter, Article and Division that shall remain 36 unchanged in the City Code): 37 38 CHAPTER 38 FIRE PREVENTION AND PROTECTION 39 40 41 City of Cape Canaveral Ordinance No. 35-2021 Page 1 of 3 1 ARTICLE II. FIRE PREVENTION CODES 2 3 *** 4 Sec. 38-33. Private entry gates. 5 6 Private entry gates shall be permitted within the city as long as they meet the following: 7 8 (1) The gates do not interfere with the 20 feet of unobstructed access which is required under 9 the Fire Prevention Code. 10 11 (2) The private entry gates shall be siren activated for emergency vehicles Private entry gates 12 for emergency vehicles that are installed and existing on or before August 17, 2021, which are 13 equipped with a siren activated opener, may remain in service until they are in need of 14 replacement. Such new gates are prohibited after August 17, 2021. 15 16 (3) All new private entry gates for emergency vehicles installed after August 17, 2021 shall be 17 equipped with an 800 mhz radio frequency opening device. 18 19 (44) Private entry gates shall provide for access by nonemergency fire department vehicles by 20 use of a Knox switch. 21 22 (4 5) Private entry gates shall provide for emergency vehicle access during periods of power 23 outages without delay. Private entry gates shall open when power fails and remain open until 24 power is restored. 25 26 *** 27 Section 3. Repeal of Prior Inconsistent Ordinances and Resolutions. All prior 28 inconsistent ordinances and resolutions adopted by the City Council, or parts of prior ordinances 29 and resolutions in conflict herewith, are hereby repealed to the extent of the conflict. 30 31 Section 4. Incorporation Into Code. This Ordinance shall be incorporated into the 32 Cape Canaveral City Code and any section or paragraph, number or letter, and any heading may 33 be changed or modified as necessary to effectuate the foregoing. Grammatical, typographical, 34 and like errors may be corrected and additions, alterations, and omissions, not affecting the 35 construction or meaning of this ordinance and the City Code may be freely made. 36 37 Section 5. Severability. If any section, subsection, sentence, clause, phrase, word or 38 provision of this Ordinance is for any reason held invalid or unconstitutional by any court of 39 competent jurisdiction, whether for substantive, procedural, or any other reason, such portion 40 shall be deemed a separate, distinct and independent provision, and such holding shall not affect 41 the validity of the remaining portions of this Ordinance. 42 43 Section 6. Effective Date. This Ordinance shall become effective immediately upon City of Cape Canaveral Ordinance No. 35-2021 Page 2 of 3 1 adoption by the City Council of the City of Cape Canaveral, Florida, and pursuant to the City 2 Charter. 3 4 ADOPTED by the City Council of the City of Cape Canaveral, Florida, this 21st day of 5 September, 2021. 6 7 8 Bob Hoog, Mayor 9 10 11 ATTEST: For Against 12 13 14 15 Mia Goforth, CMC 16 City Clerk 17 18 19 20 21 22 23 24 First Reading: August 17, 2021 25 Advertisement: September 9, 2021 26 Second Reading: September 21, 2021 27 28 29 Approved as to legal form and sufficiency 30 for the City of Cape Canaveral only by: 31 32 33 Anthony A. Garganese, City Attorney Mike Brown Robert Hoog Mickie Kellum Wes Morrison Angela Raymond City of Cape Canaveral Ordinance No. 35-2021 Page 3 of 3 CITY OF CAPE CANAVERAL CITY COUNCIL MEETING • SEPTEMBER 21, 2021 AGENDA ITEM SUMMARY • ITEM # 10 Subject: Ordinance No. 37-2021; amending the definition of a City park set forth in Section 54-1 of the City Code, providing for the repeal of prior inconsistent ordinances and resolutions, incorporation into the code, severability and an effective date; first reading. Department: Leisure Services Summary: This request is to amend the definition of a City park via Ordinance No. 37-2021 (Attachment). Approximately one year ago, the City Council adopted a new Future Land Use designation and Zoning classification for Public/Recreation and Conservation which authorized a variety of public uses including, but not limited to, city parks and other kinds of public recreational activities. Ordinance No. 37-2021 further clarifies the definition of a City Park and makes the definition consistent with the adopted Future Land use designation and Zoning classification for Public/Recreation. It allows incorporation of public areas not currently defined as a park but used for public recreation, i.e. City Hall Plaza area. The Ordinance further requires that property classified as Public/Recreation or Conservation be affirmatively designated by signage or markers. In consideration of the new Future Land Use Designation and zoning classification, the proposed Ordinance will update the definition of a City park consistent with the park and recreational uses permitted under the new Future Land Use designation and Zoning district classification. Submitting Department Director: Gustavo Vergara Date: 9/14/21 Attachment: Ordinance No. 37-2021 Financial Impact: Cost of advertisement and codification; Staff time and effort to prepare this agenda item. Reviewed by Administrative/Financial Services Director: John DeLeo Date: 9/9/21 The City Manager recommends the City Council take the following action: Approve Ordinance No. 37-2021 on first reading. Approved by City Manager: Todd Morley Date: 9/14/21 1 ORDINANCE NO. 37-2021 2 3 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF 4 CAPE CANAVERAL, FLORIDA; AMENDING THE DEFINITION OF CITY 5 PARK SET FORTH IN SECTION 54-1 OF THE CITY CODE; 6 PROVIDING FOR THE REPEAL OF PRIOR INCONSISTENT 7 ORDINANCES AND RESOLUTIONS, INCORPORATION INTO THE 8 CODE, SEVERABILITY AND AN EFFECTIVE DATE. 9 10 WHEREAS, the City is granted authority, under Section 2(b), Article VIII, of the State 11 Constitution, to exercise any power for municipal purposes; and 12 13 WHEREAS, the City Council has adopted a comprehensive code regulating city parks; and 14 15 WHEREAS, approximately one year ago, the City Council adopted a new future land use 16 designation and zoning classification for public/recreation and conservation which authorized a 17 variety of public uses including, but not limited to, city parks and other kinds of public recreational 18 activities; and 19 20 WHEREAS, in consideration of the new future land use designation and zoning 21 classification, the City Council desires to update the definition of city park consistent with the park 22 and recreational uses permitted under the new future land use designation and zoning district 23 classification; and 24 25 WHEREAS, the City Council of the City of Cape Canaveral, Florida, hereby finds this 26 Ordinance to be in the best interests of the public health, safety and welfare of the citizens of 27 Cape Canaveral. 28 29 NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF CAPE CANAVERAL HEREBY 30 ORDAINS, AS FOLLOWS: 31 Section 1. Recitals. The foregoing recitals are hereby fully incorporated herein by 32 this reference as legislative findings and the intent and purpose of the City Council of the City of 33 Cape Canaveral. 34 35 Section 2. Amending Section 54-1of the City Code. The City of Cape Canaveral 36 Code of Ordinances, Section 54-1, is hereby amended as set forth below (underlined type 37 indicates additions and strikeout type indicates deletions, while *** indicate deletions from this 38 Ordinance of said applicable Division that shall remain unchanged in the City Code): 39 Sec. 54-1. - Definition of city park. City of Cape Canaveral Ordinance No. 37-2021 Page 1 of 3 1 2 "City park" means land or portion of land owned or maintained by the City of Cape Canaveral and which has: 3 (1) a zoning classification of Public Recreation and affirmatively designated by 4 the City by signage or markers for use by the public as a park, including recreational 5 open space, playgrounds, and athletic fields; multi -purpose recreation trails and 6 boardwalks; frisbee golf courses; botanical and community gardens; public recreation 7 facilities such as kayak launches, skate parks, picnic tables and pavilions, tennis, 8 basketball and bocce courts, and swimming pools; and other public or recreational uses 9 approved by the City Council; 10 (2) a zoning classification of Conservation and affirmatively designated by the 11 City by signage or markers for use by the public as low -intensity public recreation, 12 including, but not limited to, bicycle/nature trails, boardwalks pavilions and overlooks, 13 bird watching, recreational fishing, canoeing or kayaking, nature centers and small, low- 14 intensity playgrounds, and other passive recreational uses approved by the City Council; 15 and/or 16 is designated as a public park or public recreational area by the City's 17 Comprehensive Plan (Recreation and Open Space Element), 18 (3) been designated as a city park by an ordinance or resolution adopted by the 19 city council, or by dedication that has been accepted by the city council. Included in the 20 definition of the term "city park" are the city's special use facilities and all natural 21 resources, wildlife, facilities, improvements, waters and materials in, on or under the 22 lands so designated. 23 24 Section 3. Repeal of Prior Inconsistent Ordinances and Resolutions. All prior 25 inconsistent ordinances and resolutions adopted by the City Council, or parts of prior 26 ordinances and resolutions in conflict herewith, are hereby repealed to the extent of the conflict. 27 28 Section 4. Incorporation Into Code. This Ordinance shall be incorporated into the 29 Cape Canaveral City Code and any section or paragraph, number or letter, and any heading may 30 be changed or modified as necessary to effectuate the foregoing. Grammatical, typographical, 31 and like errors may be corrected and additions, alterations, and omissions, not affecting the 32 construction or meaning of this ordinance and the City Code may be freely made. 33 34 Section 5. Severability. If any section, subsection, sentence, clause, phrase, word or 35 provision of this Ordinance is for any reason held invalid or unconstitutional by any court of 36 competent jurisdiction, whether for substantive, procedural, or any other reason, such portion 37 shall be deemed a separate, distinct and independent provision, and such holding shall not affect 38 the validity of the remaining portions of this Ordinance. 39 40 Section 6. Effective Date. This Ordinance shall become effective immediately upon City of Cape Canaveral Ordinance No. 37-2021 Page 2 of 3 1 adoption by the City Council of the City of Cape Canaveral, Florida, and pursuant to the City 2 Charter. 3 4 ADOPTED by the City Council of the City of Cape Canaveral, Florida, this day 5 of , 2021. 6 7 8 9 Bob Hoog, Mayor 10 11 ATTEST: For Against 12 13 14 15 Mia Goforth, CMC 16 City Clerk 17 18 19 20 21 22 23 24 First Reading: September 21, 2021 25 Advertisement: 26 Second Reading: 27 28 29 30 Approved as to legal form and sufficiency 31 for the City of Cape Canaveral only by: 32 33 34 Anthony A. Garganese, City Attorney Mike Brown Robert Hoog Mickie Kellum Wes Morrison Angela Raymond City of Cape Canaveral Ordinance No. 37-2021 Page 3 of 3 CITY OF CAPE CANAVERAL CITY COUNCIL MEETING • SEPTEMBER 21, 2021 AGENDA ITEM SUMMARY • ITEM # 11 Subject: Ordinance No. 39-2021; adopted in furtherance of the requirement set forth in Section 2.12(5), Cape Canaveral Charter; authorizing the issuance of not exceeding $1,200,000 Capital Improvement Revenue Note, Series 2021, of the City to finance the cost of the purchase of the Promenade and related capital improvements and Cost of Issuance; providing for the Series 2021 Note to be secured by the City's Public Service Tax, Half -Cent Sales Tax, Guaranteed Entitlement, Communications Services Tax and certain Franchise Fees; authorizing the City's financing team to proceed to develop necessary documents; providing for the repeal of prior inconsistent ordinances and resolutions or parts of prior inconsistent ordinances and resolutions in conflict herewith, severability and an effective date, first reading. Department: Administrative Services Summary: The City continues to take significant steps to ensure that much needed Capital Construction Projects be realized. This includes the purchase of the Promenade building estimated cost of $925,000, related Capital Improvements of $225,000 and Cost of Issuance of $50,000. To accomplish this undertaking, the City will be seeking approval of a Bank Loan not to exceed $1,200,000 and bringing that recommendation to the October 19, 2021 City Council Meeting. This Loan will be fully -supported by pledged revenues from the Half -Cent Sales Tax currently at $596,763 annually; Guaranteed State Revenue Sharing currently at $252,800 annually; Utility Taxes to include Public Service Tax and Communications Services Tax at $1,608,240 annually; and Franchise Fees currently at $799,867 annually. These pledged revenues total $3,257,670 annually and provide coverage of 2.28X based on a projected maximum annual debt service of $132,000 for a 10-year Loan for the Series 2021 Note and the current annual debt service on the Series 2014 and Series 2017 Notes, for total estimated annual debt service of $1,429,785. The City will never be required to levy ad valorem taxes on any property to pay the principal and interest on the Series 2021 Note. The Request for Proposal (RFP) to be sent out by the City's Financial Advisor, on behalf of the City, will be set at a competitive nature, in that it will require Lender's adherence to the City's Term Sheet, to include no repayment penalty, and no additional, proposed Financial Covenants and hold the Ten -Year BQ Fixed Rate Option, as requested in the RFP until October 26, 2021. At an upcoming City Council meeting, subsequent to the approval of this loan, the City and the CRA will enter into an agreement whereby the CRA will repay this loan. Submitting Department Director: John DeLeo Date: 9/14/21 Attachments: #1 — Ordinance No. 39-2021 #2 — Sources and Uses Financial Impact: $1,200,000 Capital Improvement Revenue Note, Series 2021, for the City to finance the purchase of the Promenade Building, related capital improvements and cost of issuance. The 10-year loan will be secured by revenues from the Half Cent Sales Tax, Guaranteed State Revenue Sharing,; Utility Taxes to include Public Service Tax and Communications Service Tax; and City of Cape Canaveral City Council Meeting • September 21, 2021 Agenda Item # 11 Page 2 of 2 Franchise Fees all totaling $3,257,670 annually as of FYE 2020 Audit; this is sufficient to ensure repayment on the existing two Notes and the proposed 2021 Note. Staff time and effort to prepare this agenda item. Reviewed by Administrative/Financial Services Director: John DeLeo Date: 9/14/21 The City Manager recommends the City Council take the following actions: Approve Ordinance No. 29-2021 at first reading. Approved by City Manager: Todd Morley Date: 9/14/21 Attachment #1 ORDINANCE NO. 39-2021 AN ORDINANCE OF THE CITY OF CAPE CANAVERAL, BREVARD COUNTY, FLORIDA; ADOPTED IN FURTHERANCE OF THE REQUIREMENT SET FORTH IN SECTION 2.12(5), CAPE CANAVERAL CHARTER; AUTHORIZING THE ISSUANCE OF NOT EXCEEDING $1,200,000 CAPITAL IMPROVEMENT REVENUE NOTE, SERIES 2021, OF THE CITY TO FINANCE THE COST OF THE PURCHASE OF THE PROMENADE AND RELATED CAPITAL IMPROVEMENTS AND COST OF ISSUANCE; PROVIDING FOR THE SERIES 2021 NOTE TO BE SECURED BY THE CITY'S PUBLIC SERVICE TAX, HALF -CENT SALES TAX, GUARANTEED ENTITLEMENT, COMMUNICATIONS SERVICES TAX AND CERTAIN FRANCHISE FEES; AUTHORIZING THE CITY'S FINANCING TEAM TO PROCEED TO DEVELOP THE NECESSARY DOCUMENTS; PROVIDING FOR THE REPEAL OF PRIOR INCONSISTENT ORDINANCES AND RESOLUTIONS OR PARTS OF PRIOR INCONSISTENT ORDINANCES AND RESOLUTIONS IN CONFLICT HEREWITH, SEVERABILITY AND AN EFFECTIVE DATE. BE IT ENACTED BY THE CITY COUNCIL OF THE CITY OF CAPE CANAVERAL, BREVARD COUNTY, FLORIDA, as follows: SECTION 1. Authority for this Ordinance. This Ordinance is enacted pursuant to the provisions of Chapter 166, Part II, Florida Statutes, Section 2.12(5) of the City Charter, City of Cape Canaveral, Florida (the "City") and other applicable provisions of law (the "Act"). SECTION 2. Findings. It is hereby ascertained, determined and declared that: (A) The City (i) pursuant to Section 166.231, Florida Statutes and certain ordinances, levies a tax on the purchase of certain utility services provided within the jurisdictional limits of the City (the "Public Service Tax"); (ii) pursuant to the provisions of Chapter 218, Part VI, Florida Statutes, receives a distribution from the Local Government Half -Cent Sales Tax Clearing Trust Fund (the "Half -Cent Sales Tax"); (iii) in accordance with the provisions of Chapter 218, Part II, Florida Statutes, receives funds from the Revenue Sharing Trust Fund for Municipalities, a portion of which distribution is the "guaranteed entitlement" as defined in Section 218.21, Florida Statutes (the "Guaranteed Entitlement"); (iv) pursuant to the authorization set forth in Chapter 202, Florida Statutes, the City receives the Communications Services Tax (the "Communications Services Tax") and (v) receives fees as a result of granting various entities permission to provide within the City electric and directly electric -related services and a natural gas distribution system (collectively, the "Franchise Fees"). Such Public Service Tax, Half -Cent Sales Tax, Guaranteed Entitlement, Communications Services Tax and Franchise Fees are not now pledged in any manner other than to the City's existing Series 2014 Capital Improvement Note, the Series 2017 Capital Improvement Note, and this proposed Capital Improvement Revenue Note, Series 2021. (B) The City is without currently available funds to pay for all of the costs of acquiring the Promenade and related capital improvements (the "Project"), and therefore proposes to pay a portion of such costs thereof from the proceeds of its not exceeding $1,200,000 Capital Improvement Revenue Note, Series 2021 (the "Series 2021 Note") to be issued by the City. City of Cape Canaveral Ordinance No. 39-2021 Page 1 of 3 (C) The principal of, premium, if any, and interest on the Series 2021 Note and all required sinking fund, reserves and other payments will be payable solely from (i) the Public Service Tax, the Half -Cent Sales Tax, the Guaranteed Entitlement, the Communications Services Tax and the Franchise Fees and (ii) until applied in accordance with the provisions of a supplemental resolution (the "Resolution") of the City adopted prior to the delivery of the Series 2021 Note, all moneys, including investments thereof, on deposit in or credited to certain funds and accounts established under the Resolution (collectively with (i) above, the "Pledged Revenues") and the City will never be required to levy ad valorem taxes on any property therein to pay the principal of and interest on the Series 2021 Note or to make any other payments provided for herein or in the Resolution, and the Series 2021 Note will not constitute a lien upon any properties owned by the City or located within the boundaries of the City, but will be payable solely from the Pledged Revenues in the manner provided in this Ordinance and in the Resolution supplemental hereto. (D) It is necessary and desirable to confirm the professionals who will continue to assist the City in the proceedings necessary for the authorization, sale and issuance of the Series 2021 Note and investment of proceeds of the Series 2021 Note. SECTION 3. Authorization of Series 2021 Note and Acquisition and Construction of Project. The issuance by the City of its not exceeding $1,200,000 Capital Improvement Revenue Note, Series 2021 for the purpose of paying costs of acquiring and constructing the Project and the cost of issuance for the Series 2021 Note is hereby authorized. The Series 2021 Note shall be dated, shall bear interest at a rate or rates not exceeding the maximum legal rate per annum, shall mature, shall be subject to redemption, shall be secured solely by a lien upon and pledge of the Pledged Revenues and shall have such other characteristics as shall be provided by the Resolution. Any Note(s) required by the lender shall be in form approved by the City Manager in consultation with the Finance Team, as hereinafter defined, consistent with the terms and conditions of this Ordinance and the Resolution. SECTION 4. Designation of Finance Team and Approval of Terms of Engagement. The Finance Team with respect to the Series 2021 Note shall consist of: Larson Consulting Services, LLC, as Financial Advisor to the City, Bryant Miller Olive P.A. as Bond Counsel, Garganese, Weiss,D'Agresta & Salzman, PA as City Attorney, the City Manager, the Finance Director and the City Clerk (the "Finance Team"). Under the direction of the City Manager, the Finance Team is hereby approved and shall take such action and execute such documents on behalf of the City, deemed reasonably necessary to effectuate the loan closing authorized by this Ordinance. In addition, to the extent required by the lending institution and deemed advisable by the Finance Team, the Mayor or Mayor Pro Tem is hereby authorized to execute loan documents on behalf of the City. SECTION 5. Conflicting Prior Inconsistent Ordinances and Resolutions. All prior inconsistent ordinances and resolutions or parts of prior inconsistent ordinances and resolutions in conflict herewith are hereby repealed and all prior inconsistent ordinances and resolutions or parts of prior inconsistent ordinances and resolutions not in conflict herewith are hereby continued in full force and effect. City of Cape Canaveral Ordinance No. 39-2021 Page 2 of 3 SECTION 6. Severability. If any portion, clause, phrase, sentence or classification of this Ordinance is held or declared to be either unconstitutional, invalid, inapplicable, inoperative or void, then such declaration shall not be construed to affect other portions of this Ordinance; it is hereby declared to be the express opinion of the City Council of the City of Cape Canaveral that any such unconstitutional, invalid, inapplicable, inoperative or void portion or portions of this Ordinance did not induce its passage, and that without the inclusion of any such portion or portions of this Ordinance, the City Council would have enacted the valid constitutional portions thereof. SECTION 7. Effective Date. The provisions within this Ordinance shall take effect immediately upon adoption by the City Council. 2021. ADOPTED by the City Council of the City of Cape Canaveral, Florida this day of Bob Hoog, Mayor ATTEST: Name FOR AGAINST Mike Brown Mia Goforth, CMC, City Clerk Bob Hoog First Reading: September 21, 2021 Mickie Kellum Legal Ad Published: , 2021 Second Reading: , 2021 Wes Morrison Angela Raymond Approved as to legal form and sufficiency for the City of Cape Canaveral only by: Anthony A. Garganese, City Attorney City of Cape Canaveral Ordinance No. 39-2021 Page 3 of 3 Attachment #2 SOURCES AND USES STATEMENT Sources of Funds The total Purchase of the Promenade and Redevelopment of the property will require $1,700,000 Sources: Capital Improvement Note 2021 $1,200,000 Pledged Revenues (Annually) to cover debt payment Franchise Fees Utility Taxes State Revenue Sharing Half Cent Sales Tax Total: $776,673 $1,662,955 $225,000 $614,000 $3,278,628 Special Purpose Investment Account (SPIA) as of August 31, 2021 Expansion Recreation $44,525 Wastewater and Stormwater Wastewater Funding $120,000 Stormwater Funding $50,000 Total: $170,000 Grant Funding $285,475 Total Funding $1,700,000 USE OF FUNDS The Pledged Revenues of $3,278,628 annually provides the necessary coverage (3.00X) to repay debt service of $132,000 for a 10 year loan. The $1,200,000 loan would solidify the required dollars needed to successfully purchase the Promenade and cover design costs. Redevelopment Costs are fully supported and executed by the Sources/Uses listed above.