Agenda Item Name:
Title
City of Hawthorne Community Redevelopment Agency Updated Plan Presentation and Approval of Amended Interlocal Agreement
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Presenter:
Wendy Sapp, City Manager Hawthorne, 352 481-2432
Sean McLendon, Alachua County
Description:
The City of Hawthorne will make a brief presentation on its Community Redevelopment Agency (CRA) Plan related to the requested approval of the amended interlocal agreement.
Recommended Action:
Recommended Action
Hear the presentation and authorize the Chair to sign the amended interlocal agreement.
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Prior Board Motions:
At the May 17, 2022, Joint Commission Meeting Cornell moved to reaffirm the previous (April 12, 2022) motion and commit to staff recommendations changing the wording of “up to a total of” to “no less than $50,000” in the proposed language.
At the April 12, 2022, Regular Commission meeting Commissioner Cornell moved the following:
• Request that the City of Hawthorne prepare a written update to their 2015 CRA Plan and then return to the Board with a presentation that details how the funds will be spent in the renewed agreement before December 2022.
• Upon receipt and approval of the updated CRA plan by the Board at a later meeting, the Board may authorize the Chair to execute a renewal agreement that matches the millage contribution of the City of Hawthorne.
• Refer to the staff to develop recommendations on how to provide additional funding/assistance to the smaller municipalities with CRA projects without increasing the millage beyond what the municipality matches. Things such as the opportunity zone or ready city status to be eligible for additional funding.
2nd Commissioner Alford
The motion carried 5-0.
Fiscal Consideration:
Fiscal Consideration
On May 17, 2022, Alachua County agreed to contribute a minimum of $50,000 to the City of Hawthorne CRA with performance conditions. The amended interlocal agreement also requires the County to match the City of Hawthorne’s millage contribution. Based on a millage of 5.8594 the City and County will each contribute $39,616 to the CRA. In addition, the County will contribute a supplement amount of $10,384 to the CRA. The total contribution by all parties to the CRA if the Board approves the Agreement for FY23 will be $89,616.
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Strategic Guide:
Strategic Guide
Social and Economic Opportunity
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Background:
Per the joint City of Hawthorne and Alachua County (County) meeting on May 17, 2022, an amended interlocal agreement (Agreement) was created that guarantees a minimum County contribution of $50,000 to the CRA. The amended interlocal agreement and updated CRA plan were approved by the City of Hawthorne on October 18, 2022.
The Agreement requires the County to match the City’s millage rate contribution. Per the Board’s April and May direction, the Agreement also recognizes the City’s unique efforts to maintain a REDI designation with the State of Florida. A REDI designation exempts the City from contributing a match to State grant applications which makes the CRA investments more impactful. In recognition of their financial frugality and the effort to maintain a REDI designation, the County agreed to a minimum contribution of $50,000 per year over and above any matching millage contributions. This supplemental amount is conditioned upon the City maintaining a REDI designation with the State.
The Amended interlocal agreement will run 17 years from October 2022 through September 30, 2039.
In 1993, the City of Hawthorne formed a CRA. The June 22, 2022 updated plan highlights the major projects to be extended by the Agreement, goals & objects based on community workshops and discusses opportunities & constraints going forward.