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AGENDA

BOARD OF TRUSTEES OF THE INTERNAL IMPROVEMENT TRUST FUND

SEPTEMBER 30, 2003

__________________________________________________________

 

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Item 1               Minutes

 

Submittal of the Minutes from the June 12, 2003 Cabinet Meeting.

 

(Attachment 1, Pages 1-6)

 

RECOMMEND        APPROVAL

 

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Substitute Item 2        Yachting Promotions, Inc. Recommended Consolidated Intent

 

REQUEST:         Consideration of an application for a modification and renewal of a five-year Class IV special event, sovereignty submerged lands lease to increase the preempted area from 685,612 square feet to 851,064 square feet, more or less, for a proposed expansion of a commercial temporary docking facility associated with the annual Fort Lauderdale International Boat Show.

 

COUNTY:                Broward

Lease No. 060028656

File No. 06-0127045-006

 

APPLICANT:                Dane Graziano

                Yachting Promotions, Inc.

                (d/b/a Fort Lauderdale International Boat Show)

 

LOCATION:      Section 12, Township 50 South, Range 42 East, in the New River, Class III Waters, within the local jurisdiction of the city of Fort Lauderdale

                Aquatic Preserve:  No

                Outstanding Florida Waters:  No 

                Designated Manatee County: Yes, without an approved Manatee Protection Plan 

                Manatee Aggregation Area:  Yes

          Manatee Protection Speed Zone Area: Slow speed weekends (November 15 -

          March 31), 25 MPH with 50-foot slow speed buffer remainder of year

 

                CONSIDERATION: $9,504.35, representing the initial lease fee computed at the base rate of $0.1278 per square foot, and including the initial 25 percent surcharge payment for the additional area.  Sales tax will be assessed pursuant to section 212.031, F.S., if applicable.  The special event lease fee may be adjusted based on five percent of the gross rental income generated over sovereignty submerged lands, pursuant to section 18-21.011(1)(d)1, F.A.C.

 

                STAFF REMARKS: In accordance with rules adopted pursuant to sections 373.427(2) and 253.77(2), F.S., this “Recommended Consolidated Notice” contains a recommendation for issuance of both the permit required under part IV of chapter 373, F.S., and the authorization to use sovereignty submerged lands under chapter 253, F.S.  The Board of Trustees is requested to act on those aspects of the activity which require authorization to use sovereignty submerged lands.  If the Board of Trustees approves the request to use sovereignty submerged lands and the activity also qualifies for a permit, the Department of Environmental Protection (DEP) will issue a “Consolidated Notice of Intent to Issue” that will contain general and specific conditions.  If the Board of Trustees denies the use of sovereignty submerged lands, whether or not the activity qualifies for a permit, DEP will issue a “Consolidated Notice of Denial.”

 

                Board of Trustees

                Agenda – September 30, 2003

                Substitute Page Two

 

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Substitute Item 2, cont.

 

The lessee is proposing to modify the current special events lease to accommodate an increase in the number of vessels participating in the annual Fort Lauderdale International Boat Show from 1,002 to 1,100.  Specifically, the lessee is proposing to expand only the temporary, commercial docking facilities (slips and area) that are currently under the lessee’s existing lease to be used for the public display of vessels at the show.  The existing lease authorizes the preemption of approximately 685,612 square feet of sovereignty submerged lands.  The lessee is proposing an expansion of 165,452 square feet for a total lease area of 851,064 square feet (19.5 acres).  The overall show area includes the lessee’s existing submerged lands lease area and the proposed expansion area, as well as, the lease area of other facilities (Swimming Hall of Fame/Lease No. 060447536 and Las Olas Marina/Lease No.060232076) and submerged lands deeded to the city of Fort Lauderdale (Bahia Mar Yachting Center/Deed No. 18397-A and Hyatt Regency Pier 66 Marina).  The overall show will encompass 2,381,392 square feet (54.67 acres), of which approximately 1,211,250 square feet (27.8 acres) will be on deeded lands, and approximately 319,077 square feet (7.3 acres) will be within other existing lease areas.  The overall boat show will display 1,100 vessels, 220 of which are to be located within the Class IV special event lease area.  The 220 vessels to be moored within the special events lease area are predominately yachts ranging from 45 to 191 feet in length, with beams ranging from 14 to 37 feet.  The lease area also includes an area for barges and temporary docks to be utilized for a water taxi transportation system.  The lessee charters six 150-passenger vessels that transport the public from downtown Fort Lauderdale to the boat show location.  The transportation system alleviates traffic congestion on A1A in the Fort Lauderdale Beach area where parking is limited.  The lessee provides this transportation system free of charge to the public.

 

On October 21, 1997 the Board of Trustees issued Yachting Promotions, Inc., a one-time, 30-day special event, sovereignty submerged lands lease for the Fort Lauderdale International Boat Show that preempted 479,967 square feet.  The following year, Yachting Promotions, Inc., was granted a five-year Class IV special event, sovereignty submerged lands lease authorizing the preemption of 516,345 square feet.  In 1999, the lease was modified to expand the lease area to 567,972 square feet for the boat show.  The lease was modified again the next year (2000) to increase the lease area to 624,074 square feet.  The lease was modified again in 2001 to increase the lease area to 685,612 square feet (the current authorized preemption) for the boat show.  There was no modification to the lease for the 2002 boat show.

 

The lessee plans to construct and subsequently remove the temporary docks and all associated structures for the currently proposed annual Fort Lauderdale International Boat Show, as well as, the events running from 2004 to 2007.  The shows will run for five days and then the facilities will be dismantled.  The time of preemption (i.e. for installation of the structures, the show, and the removal of structures) will not exceed 30 days each year.  Boat brokers and exhibitors will lease mooring space from the lessee.  The lessee is required to report the gross rental income collected from the special event to the Division of State Lands as part of the annual certification required for its lease, pursuant to section 18-21.011(1)(d) 3, F.A.C.  The lessee has satisfied the financial assurance requirements of section 18-21.0082(2)(b), F.A.C., as the lessee has demonstrated substantial compliance with the terms of the lease for the boat shows authorized under this existing lease for the past five years.

 

Of the 1,100 vessels that will be moored at the boat show, approximately 300 have a captain or crew that is employed for care of the vessel.  The crews range from 2 to 16 persons living on board full time during the show.  It is estimated that there will be at least 400, and at most 1,200, crew members staying on vessels each night of the boat show.  The crews are authorized to remain overnight with their vessels for safety purposes.  DEP’s environmental resource permit prohibits the installation or operation of restrooms on the docking facilities.

                Board of Trustees

                Agenda – September 30, 2003

                Substitute Page Three

 

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Substitute Item 2, cont

 

The lessee has provided assurances that these boats will have sufficient holding tank capacity to accommodate overnight use without having to discharge for the duration of the boat show. 

 

Additionally, the boat show shall be served by upland restroom facilities that are open 24 hours a day and are designated and operated in accordance with the requirements of the appropriate county and state health agencies.  Vessel sewage pumpout facilities are prohibited at the boat show and the lessee shall notify all slip occupants in writing of the availability and requirement to use the sanitary facilities provided on the uplands.  The discharge of marine toilets from vessels moored at the boat show is prohibited by the permit.

 

The recommendation of the Florida Fish and Wildlife Conservation Commission (FFWCC) regarding the protection of manatees have been addressed in the ERP and are included in the existing lease as special lease conditions.  These and all other special lease conditions in the existing lease will remain in effect for the lease modification and renewal.  Broward County is a designated manatee county without on approved manatee protection plan.  However, pursuant to a letter dated August 7, 2001, FFWCC has determined that Broward County is making significant progress towards a manatee protection plan.

 

The Florida Inland Navigation District (FIND) has concerns about navigation safety impacts from the westward expansion of the boat show into the actual Intracoastal Waterway (ICW) channel and the use of the actual ICW channel for the dockage and display of vessels at the boat show.  FIND has allowed dockage and display vessels in a portion of the ICW channel during the previous five years.  The proposed boat show expansion places additional vessels in the ICW channel.  Because of the late date of the request to FIND from the lessee, and recognizing the contractual obligations for the 2003 Boat Show, FIND has recommended that the proposed lease and permits for the Boat Show be approved subject to conditions.  A specific condition has been incorporated into the ERP, and a special lease condition has been incorporated into lease that allows the utilization of the ICW channel for the location of the public water taxi dock and the dockage and display of vessels for only the 2003 Boat Show.  The utilization of the ICW channel for the dockage and display of vessels in the 2004 through 2007 boat shows shall not be authorized without prior approval by FIND.  However, the public water taxi dock can be located in the ICW channel subject to the approval by FIND.     

 

Property owners within a 500-foot radius of the proposed project were specifically noticed via certified mail, pursuant to section 253.115, F.S., and no comments or objections were received.

 

A local government comprehensive plan has been adopted for this area pursuant to section 163.3167, F.S.; however, the Department of Community Affairs (DCA) determined that the plan was not in compliance.  In accordance with the comprehensive agreement between DCA and the local government, an amendment has been adopted which brought the plan into compliance.  The city of Fort Lauderdale and the lessee have entered into an Event Agreement for the proposed 2003 boat show, which has therefore been determined to be consistent with the adopted plan.  DCA stated it has no comments regarding the project’s compliance with the local government comprehensive plan.

 

(See Attachment 2, Pages 1-23)

 

RECOMMEND APPROVAL SUBJECT TO THE SPECIAL LEASE CONDITION AND PAYMENT OF $9,504.35


 

                Board of Trustees

                Agenda – September 30, 2003

                Additional Page Three-A

 

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Item 3                Springs and Spring Runs Rule Amendments Adoption/Chapter 18-21,                 F.A.C.

 

DEFERRED FROM THE AUGUST 12, 2003 AGENDA

DEFERRED FROM THE JUNE 26, 2003 AGENDA

 

REQUEST:  Adoption of rule amendments to chapter 18-21, F.A.C., regarding establishment of management policies, standards, and criteria when reviewing requests for authorization of activities at state-owned springs and spring runs.

 

APPLICANT:  Department of Environmental Protection (DEP)

 

COUNTY:  Statewide

 

STAFF REMARKS:  DEP is proposing amendments to chapter 18-21, F.A.C., Sovereignty Submerged Lands Management, adding “Standards and Criteria for Activities at Sovereignty Springs” for the protection of state-owned springs and spring runs. The proposed amendments are from recommendations by the Governor’s Florida Springs Initiative, the Florida Springs

 

 

 

 

 

 

 

 

 

 

(AGENDA CONTINUED ON NEXT PAGE)


 

                Board of Trustees

                Agenda – September 30, 2003

                Page Four

 

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Item 3, cont.

 

Task Force, and public comments, and offer guidance for landowners that are adjacent to sovereignty springs and spring runs.  This meeting of the Board of Trustees serves as the final adoption hearing on the proposed rule, as attached.  If adopted, staff will file the rule with the Department of State and the rule will become effective twenty days from that filing.

 

On September 10, 2002, the Board of Trustees authorized DEP to publish a notice of proposed rule development in the Florida Administrative Weekly.  The proposed rule development was published on November 8, 2002, including notice that a public workshop would be held, if requested in writing.  A request was received and a workshop was held on November 26, 2002 in Tallahassee.  On March 28, 2003, a Notice of Proposed Rule (Vol 29, No 13, Pg 1333-1335) was published in the Florida Administrative Weekly.  On May 2, 2003 a Notice of Public Hearing was published in the Florida Administrative Weekly for hearings to be held on May 13, 2003 in Tallahassee and May 14, 2003 in Silver Springs.  The deadline for the public to submit comments from the hearings was May 21, 2003 at 5 PM.  Staff met on May 22, 2003 to consider public comments and prepare changes.  On September 12, 2003 a Notice of Board of Trustees Adoption Hearing was published on the Internet for the September 30, 2003 adoption hearing.

 

The proposed rule applies only to persons that request permission to conduct activities on state-owned springs and spring runs.  For state-owned springs and spring runs that are adjacent to public or private-owned uplands, this rule applies to the spring and all of the spring run.  The primary changes to the existing rule being proposed are:

 

·        Creates new definitions for ‘spring’ and ‘spring run.’

 

·        Prohibits physical modifications of springs except to restore historic contours and flow conditions.

 

·        Prohibits the installation of new facilities, or the modifications to existing facilities, that withdraw water from a spring or spring run.

 

·        Standards and criteria are established to protect state-owned springs and spring runs, including:

 

o       Prohibits the deposition of new sand or fill materials within 100 feet of a spring or spring run to create or maintain an artificial beach.

 

o       Prohibits the planting or maintenance of invasive plants in or within 300 feet of a spring or spring run.

 

o       Prohibits the removal or trampling of upland vegetation within 300 feet of a spring or spring run if it causes artificial erosion, artificial accretion, or sedimentation.

 

o       Prohibits the removal of aquatic vegetation except when authorized pursuant to rules and statutes.

 

o       Prohibits the installation or expansion of wastewater treatment drainfields and sprayfields within 300 feet of a spring or spring run, except single-family residential sewage treatment and disposal systems.

 

o       Prohibits the installation of culverts or ditches that discharge directly into a spring or spring run.

 

Florida’s springs have long been recognized as a unique public trust resource from which riparian landowners may also benefit, provided such benefit is not detrimental to the public trust resources.  Thus, these proposed rule changes attempt to balance competing public and


 

                Board of Trustees

                Agenda – September 30, 2003

                Page Five

 

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Item 3, cont.

 

private uses at state-owned springs and spring runs, and would allow the state to better protect Florida’s outstanding natural and cultural springs resources.  These proposed rule changes also implement many of the recommendations of the Florida Springs Task Force, a multi-agency group established by DEP’s Secretary in 1999 to provide recommended strategies for the protection and restoration of Florida’s springs.

 

(See Attachment 3, Pages 1-22)

 

RECOMMEND APPROVAL

 

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Item 4               Franklin County/Timber Island Surplus/St. Joe Bid

 

REQUEST:  Consideration of (1) a request to surplus 48.93 acres more or less, on Timber Island located in Franklin County; and (2) approval of a bid amount of $6.8 million submitted by The St. Joe Company for the purchase of 48.93 acres.

 

COUNTY:  Franklin

 

APPLICANT:  The St. Joe Company

 

LOCATION:  Sections 19 and 20, Township 07 South, Range 04 West

 

CONSIDERATION:  $6,800,000 

 

STAFF REMARKS:  On May 7, 1985, the Board of Trustees approved an exchange agreement with McKissack Properties, Inc., which conveyed into state ownership approximately 49-acres of property on Timber Island in Carrabelle, Florida, with an approved value of $1,447,000.  In exchange, McKissack Properties, Inc., received property in Dade County.  At the same time, the Board of Trustees approved a lease to the Carrabelle Port Airport Authority (CPAA) for the property received in the McKissack exchange, less two acres to be used for a Marine Patrol station (FWC), which was later increased to four acres.  CPAA was created by a special act of the Florida Legislature (chapter 86-464, Laws of Florida).

 

Lease No. 3407, between the Board of Trustees and CPAA, was for a 30-year period with an option to renew for two successive 10-year periods.  The purpose of the lease was for CPAA to develop the property into a seafood industrial park.  On April 21, 1987, the Board of Trustees approved an amendment to Lease No. 3407 and the amended Lease No. 3407-A, replaced and superseded Lease No. 3407.  Lease No. 3407-A added 114,127.2 square feet of sovereign submerged lands to the leased area.  On September 4, 1991, CPAA entered into a sublease with Bevis and Associates, Inc. and the Board of Trustees approved the sublease on October 10, 1991.  The sublease to Bevis and Associates included approximately 7.53 acres of uplands and 1.91 acres of sovereignty submerged lands.  Bevis and Associates manufactures boats and operates a marine repair and maintenance service on the leased property.  The original and amended lease to CPAA contained a provision that the lease would be subject to cancellation by the Board of Trustees after the initial five years, if the proposed seafood industrial park had not been substantially developed and at least 50 percent of the property subleased by that time.  In October 1996, an audit report by the Department of Environmental Protection’s (DEP) Office of Inspector General recommended that the Division of State Lands (DSL) inform CPAA that its performance was unsatisfactory, and to give them a reasonable


 

                Board of Trustees

                Agenda – September 30, 2003

                Page Six

 

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Item 4, cont.

 

time for the submittal of a formal development plan complete with an amended Development of Regional Impact (DRI), with engineering and financial feasibility studies, if needed.  In February 1997, DEP informed CPAA they had 18 months to submit the documents recommended in the Office of Inspector General’s report.  CPAA did not comply with this request, and on January 23, 2001, the Board of Trustees approved the termination of Lease No. 3407-A between the Board of Trustees and CPAA.

 

After discussions with the Department of Community Affairs (DCA) and the City of Carrabelle (City), DSL determined it would be in the best interest of the state to sell the property, which has no manager and is not conservation land.  The City Commission advised DSL staff in January of 2002 that they would like to see the state sell, lease, or exchange the Timber Island property to help their economy.  DSL contracted with Chandler & Associates, Inc., to appraise the property for it’s highest and best use.  Chandler & Associates, Inc., contracted with the Genesis Group, Inc., to provide surveys, area calculations, wetland delineations, conceptual development plans, development cost estimates, geotechnical analysis and other studies.  The cost of the above services will be reimbursed to the state by the successful bidder, as provided for in the bid conditions and contract.  DEP advertised the Timber Island state-owned property for approximately 60 days on a national commercial real estate website called Commrex.com and the DEP’s website.  Approximately 7,000 color brochures were sent to commercial real estate brokers in the southeast.  The property was advertised for three consecutive weeks in both the Tallahassee Democrat and the Apalachicola Times.  The property was advertised to be sold as is, where is by sealed bid with a bid minimum of $6.7 million.  The bid conditions disclosed that bids received would be presented to the Board of Trustees on September 30, 2003.  The bid conditions also provided an opportunity for the state to negotiate a land exchange at its discretion.  Bids were opened on July 29, 2003, and The St. Joe Company’s bid in the amount of $6.8 million was the only bid received.  The St. Joe Company advised in their cover letter dated July 28, 2003, they would offer to exchange mutually acceptable lands valued at $6.8 million for the subject property.

 

DEP staff is recommending approval of the $6.8 million bid amount received from The St. Joe Company.  If a land exchange is negotiated, a separate item will be presented to the Board of Trustees at a later date.  If no land exchange can be agreed upon, the parties will proceed to closing for the purchase of the property for $6.8 million.

 

Randall C. Chandler, MAI, and State-Certified General Appraiser, appraised the property on September 6, 2002.  Mr. Chandler estimated the market value in Scenario A (41.40 acres) that excludes the four acres leased to the FWC, that will not be sold, and the 7.53 acres leased to Bevis & Associates, Inc., to be $6,240,000.  The estimated market value for the 7.53 acres, which are subject to the lease with Bevis & Associates, Inc., is $436,000 (Scenario 1- Lessor responsible for advalorem taxes).  The property is being sold subject to the lease with Bevis & Associates but does not include the four acres leased to the FWC.  The total estimated market value for the 48.93 acres is $6,676,000.

 

A consideration of the status of the local government comprehensive plan was not made for this item.  DEP has determined that surplus land sales are not subject to the local government planning process.

 

(See Attachment 4, Pages 1-32)

 

RECOMMEND APPROVAL


 

                Board of Trustees

                Agenda – September 30, 2003

                Page Seven

 

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Item 5                Gonzalez/Corral/Gemil Option Agreement/Northeast Florida Blueway                 Florida Forever Project

 

REQUEST:  Consideration of an option agreement to acquire 20 acres within the Northeast Florida Blueway Florida Forever project from Leopoldo B. Gonzalez, Angelita G. Corral and Corazon G. Gemil.

 

COUNTY:  St. Johns

 

LOCATION:  Section 05, Township 09 South, Range 30 East

 

CONSIDERATION:  $380,000

 

                         APPRAISED BY                SELLER’S              TRUSTEES’

                            Manning              APPROVED              PURCHASE              PURCHASE              OPTION

PARCEL            ACRES            (4/28/03)     VALUE         PRICE          PRICE                 DATE        

Gonzalez      20            $400,000            $400,000            $129,571*            $380,000**            120 days after

                                               (95%)            BOT approval

*   The parcel was purchased on 2/17/89

** $19,000 per acre

 

STAFF REMARKS:  The Northeast Florida Blueway project is an “A” group project on the Florida Forever project List approved by the Board of Trustees on August 26, 2003. The project contains 34,929 acres, of which 8,654.30 acres have been acquired or are under agreement to be acquired.  After the Board of Trustees approves this agreement, 26,254.7 acres or 75 percent of the project will remain to be acquired.

 

All mortgages and liens will be satisfied at the time of closing.  On June 22, 1999, the Board of Trustees approved a staff recommendation to delegate to the Department of Environmental Protection (DEP) the authority to review and evaluate marketability issues as they arise on all Chapter 259, F.S., acquisition’s and to resolve them appropriately.  Therefore, DEP staff will review, evaluate and implement an appropriate resolution for any title issues that arise prior to closing.

 

A title insurance policy, a survey, an environmental site evaluation and, if necessary, an environmental site assessment will be provided by the purchaser prior to closing.

 

The subject parcel is a 20-acre tract located on the south side of SR 206 and is adjacent to the recently acquired Rayonier tract. This parcel will connect the Rayonier parcel (Matanzas State Forest) to the south with the Moses Creek Conservation Area, owned by the St. Johns River Water Management District, to the north.  Parcels of land along SR 206 are quickly being developed with commercial uses along the road frontage and single-family uses off of the road.  This parcel is one of the last remaining undeveloped tracts that can connect these two major acquisitions.  It will also provide access to the Matanzas State Forest from SR 206.

 

The Northeast Florida Blueway is a chain of marshes and tidal lands extending from Mayport south through much of St. Johns County.  Estuarine Tidal Marsh covers much of the project.  These marshes and open water areas of the Blueway provide important nurseries for many species of game fish and shrimp, and ultimately support a recreational and commercial fishery.  Acquisition of this proposal will protect fragile marshes, tidal creeks, and the associated uplands that buffer these fragile resources.  The intention of the project is to connect existing natural areas and greenspace to form a conservation lands corridor along the north-south waterway.

 

The property will be managed by the Department of Agriculture and Consumer Services’ Division of Forestry under a multiple-use management regime consistent with the State Forest system.


 

                Board of Trustees

                Agenda – September 30, 2003

                Page Eight

 

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Item 5, cont.

 

This acquisition is consistent with section 187.201(9), F.S., the Natural Systems and Recreational Lands section of the State Comprehensive Plan.

 

(See Attachment 5, Pages 1-15)

 

RECOMMEND APPROVAL