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BOARD OF TRUSTEES OF THE INTERNAL IMPROVEMENT TRUST FUND AGENDA NOVEMBER 12, 2003
________________________________________________________
******************************************************************************* Substitute Item
1
Brewington Option Agreement/Board of
Education/FAMU REQUEST: Consideration of an option agreement to acquire 0.22
acre for the benefit of the Florida Board of Education and Florida
Agricultural and Mechanical University from James Forrest
Brewington. COUNTY: Leon APPLICANT: Florida
Agricultural and Mechanical University (FAMU) LOCATION: Section 01, Township 01 South, Range 01
West CONSIDERATION: $43,200
APPRAISED BY
SELLER’S
TRUSTEES’
Wright
APPROVED
PURCHASE
PURCHASE
OPTION PARCEL
ACRES
(10/12/01) VALUE PRICE PRICE
DATE
Brewington
0.22
$43,200
$43,200
*
$43,200
120 days after
(100%)
BOT approval * The sellers
inherited the property in 2001 STAFF REMARKS: This
acquisition was negotiated by FAMU.
Funds for the acquisition were appropriated during the 2001-2002
Legislative session and are still available. The
property is improved with a 1,028-square-foot, single-family home. The building will be demolished
and the site used for the FAMU Pharmacy Phase II
construction. All
mortgages and liens will be satisfied at the time of closing. In the event the commitment for
title insurance, to be obtained prior to closing, reveals any encumbrances
that may affect the value of the property or the proposed management of
the property, staff will so advise the Board of Trustees prior to
closing. A
title insurance policy, a survey and an environmental site assessment will
be provided by the acquiring agency prior to closing.
This
property will be managed by FAMU as part of the existing campus.
This
acquisition is consistent with section 187.201(1), F.S., the Education
section of the State Comprehensive Plan. (See
Attachment 1, Pages 1-19) RECOMMEND APPROVAL ******************************************************************************** Substitute Item
2 TNC Charitable Trust
Assignment of Option Agreement/United States
Navy Easement/Perdido Pitcher Plant Prairie Florida Forever
Project
REQUEST: Consideration
of the (1) acceptance of an assignment of an option agreement to acquire
226 acres within the Perdido Pitcher Plant Prairie Florida Forever project
from The Nature Conservancy Charitable Trust; and (2) granting of an
easement over the property to the United States Navy (USN) to prevent
residential and commercial development of the property in exchange for a
fee acquisition over a portion of USN’s Bronson Field to provide
access and park facilities for Tarkiln Bayou State
Preserve.
Board of Trustees
Agenda – November 12, 2003
Substitute Page Two ****************************************************************************** Substitute Item 2, cont. COUNTY:
Escambia LOCATION: Sections 18
and 19, Township 03 South, Range 31 West CONSIDERATION:
$419,004 ($406,800 for the acquisition; $12,204 for the purchase of
the option agreement. The
easement to USN will be exchanged on a value for value
basis.)
APPRAISED BY
SELLER’S
TRUSTEES’
Wright
APPROVED
PURCHASE
PURCHASE
OPTION PARCEL
ACRES
05/09/02 VALUE PRICE PRICE
DATE
Heron’s Forest
226
$429,400
$429,400 *
$419,004**
12/12/03
(98%)
* The
seller purchased 471.5 acres for $1,091,929 in March 1996 / $2,316 per
acre ** $1,854 per
acre STAFF REMARKS: The
Perdido Pitcher Plant Prairie project is an “A” group project on the
Florida Forever Full Fee Project List approved by the Board of Trustees on
August 26, 2003. The
project contains 7,661 acres, of which 4,070 acres have been acquired or
are under agreement to be acquired.
After the Board of Trustees approves this agreement, 3,365 acres or
44 percent of the project will remain to be
acquired. Pursuant to a multi-party acquisition agreement entered into
between the Department of Environmental Protection’s (DEP) Division of
State Lands (DSL) and The Nature Conservancy Charitable Trust (TNC), TNC
has acquired an option to purchase this 226-acre parcel from Heron’s
Forest Development Company.
After this acquisition is approved, the Board of Trustees will
acquire the option from TNC for $12,204, which represents agreed upon
compensation to TNC for overhead associated with acquiring the
option. The Board of Trustees
may then exercise the option and purchase the property. The assignment of option agreement
provides that payment to TNC is contingent upon the Board of Trustees
successfully acquiring the property from the owner.
Heron’s Forest Development Company also owns an adjoining
26.85-acre parcel for which a conservation easement was conveyed to the
State of Florida in June 2000.
The remaining fee interest in this property will be donated
to the State of Florida in conjunction with the purchase of the 226 acres
under consideration.
All
mortgages and liens will be satisfied at the time of closing. There is a 30-foot right-of-way
easement in favor of Peoples Water Service Company of Florida,
Inc. There are three access
easements that are considered normal easements for ingress and egress on
the property. There is a
reservation of the oil, gas and mineral rights to four parties. The appraisers considered the
right-of-way, the possibility of easements and oil, gas and mineral rights
in the appraisal and determined they have little or no impact on the value
of the property. DEP’s
Division of Recreation and Parks (DRP), the future managing agency, has
determined that the management of the property will not be affected. On June 22, 1999, the Board of
Trustees approved a staff recommendation to delegate to DEP the authority
to review and evaluate marketability issues as they arise on all chapter
259, F.S., acquisitions and to resolve them appropriately. Because these issues were
discovered during preliminary due diligence, further research may change
the facts and scope of each issue and; therefore, DEP staff will review,
evaluate and implement an appropriate resolution for these and any other
title issues that arise prior to closing. A
survey, a title insurance policy, an environmental site evaluation and, if
necessary, an environmental site assessment will be provided by the
purchaser prior to closing.
Board of Trustees
Agenda – November 12, 2003
Substitute Page Three ****************************************************************************** Substitute Item 2, cont. Pensacola Naval Air Station (NAS) officials support the acquisition
of this parcel. The continued
growth adjacent to military bases threatens air-training missions and
creates safety hazards under the busy military flight paths. Public ownership of the property
will help keep this development out of the flight pattern of Pensacola
NAS. DSL and USN intend to
enter into a memorandum of understanding whereby the parties
express their desire to exchange an easement for a fee
acquisition on the terms here described. Negotiations to acquire access for
Tarkiln Bayou State Preserve across USN’s Bronson Field have been ongoing
for some time. USN has
expressed a desire to grant such access and to allow certain park related
facilities on a portion of Bronson Field in exchange for a commitment by
the state to prohibit commercial and residential development on the
Heron’s Forest parcel. The
state’s commitment will be expressed in the form of a restrictive easement
over the Heron’s Forest parcel.
The exchange will be structured to assure that the value of the
easement granted to USN will be no less than the value of the fee
acquisition received from USN.
No boot will be paid by either party. DRP, on behalf of the state, will
obtain an appraisal and a title insurance policy for the fee
acquisition that the state will receive from USN. USN shall reimburse the cost of
the survey for the Bronson Field fee
acquisition. The
pine flatwoods and swamps west of Pensacola are interrupted by wet grassy
prairies dotted with carnivorous pitcher plants - some of the last
remnants of a landscape unique to the northern Gulf coast. Public acquisition of the Perdido
Pitcher Plant Prairie project will conserve these prairies and the
undeveloped land around them, helping to protect the water quality of
Perdido Bay and Big Lagoon, and giving the public a wealth of
opportunities to learn about and enjoy this natural
land. The
property will be managed by DRP as an addition to the Tarkiln Bayou State
Park.
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 2, Pages 1-23) RECOMMEND APPROVAL ******************************************************************************** Substitute Item
3
TNC Charitable Trust Assignment of Option Agreement/St. Joe
Timberland Florida Forever Project REQUEST: Consideration of the acceptance of an assignment of
an option agreement to acquire 7,597.9 acres within the St. Joe Timberland
Florida Forever project from The Nature Conservancy Charitable
Trust. COUNTY: Franklin LOCATION: Sections 24 through 26 and 33 through 36, Township
08 South, Range 09 West; Sections 01 through 04, Township 09 South, Range
09 West; Sections 19 through 21 and 28 through 31, Township 08 South,
Range 08 West; and Section 06, Township 09 South, Range 08
West
Board of Trustees
Agenda – November 12, 2003
Substitute Page Four ****************************************************************************** Substitute Item 3, cont. CONSIDERATION: $15,029,873.50 ($14,929,873.50 for the
acquisition; and $100,000 for the purchase of the option agreement)
APPRAISED BY
SELLER’S
TRUSTEES’
Asmar Rogers
APPROVED
PURCHASE
PURCHASE
OPTION PARCEL
ACRES
(06/06/03)
(06/06/03)
VALUE PRICE PRICE
DATE
St. Joe 7,597.9
$16,335,000
$16,600,000
$16,600,000
*
15,029,873.50**
12/15/03 Timberlands
(91%) * Property was
purchased in numerous transactions. ** $1,978 per acre. STAFF REMARKS: The St.
Joe Timberland project is an “A” group project on the Florida Forever Full
Fee Project List approved by the Board of Trustees on August 26,
2003. The project contains
145,871 acres, of which 60,614.49 acres have been acquired
or are under agreement to be acquired. After the Board of Trustees
approves this agreement, 77,658.61 acres, or 53 percent of
the project, will remain to be acquired. The proposed acquisition is also
identified on the Florida Fish and Wildlife Conservation Commission’s
(FWC) Additions and Inholdings list. Pursuant to a multi-party acquisition agreement entered into
between the Department of Environmental Protections’ (DEP) Division of
State Lands (DSL), The Nature Conservancy (TNC) and FWC, TNC has acquired
an option to purchase this 7,597.9-acre parcel from St. Joe Timberland
Company of Delaware L.L.C. (St. Joe Company). After this acquisition is
approved, the Board of Trustees and FWC will acquire the option from TNC
for $100,000, which represents agreed upon compensation to TNC for
overhead associated with acquiring the option. The Board of Trustees and FWC may
then exercise the option and purchase the property. The assignment of option agreement
provides that payment to TNC is contingent upon the Board of Trustees
successfully acquiring the property from the owner. In no event will the Board of
Trustees’ purchase price exceed the approved value. FWC will contribute 50 percent of
the purchase price and acquisition costs. Title to the property will vest
100 percent in the Board of Trustees. All
mortgages and liens will be satisfied at the time of closing. There is a flowage easement in
favor of the City of Apalachicola that covers approximately 35 acres and
there is also a blanket easement, covering approximately 200 acres,
in favor of Florida Power Corporation. Both of these easements were
considered by the appraisers and do not affect the value of the
property. There are several
structural improvements, which include a
small hunting lodge, wood shed, detached
cottage, fencing and various agricultural improvements.
These easements and improvements were considered by the
appraiser and do not affect the value of the property. A railroad right-of-way and tracks
owned by Apalachicola Northern Railroad Company, an affiliate of The St.
Joe Company, bisects the property in an east to west direction. Apalachicola Northern Railroad
Company has leased control of the right-of-way and facilities to operate
the railroad. The option
agreement requires that the Board of Trustees be granted easements
necessary to insure perpetual legal and practical vehicular and pedestrian
ingress and egress over the railroad track at each existing grade
crossing. The option
agreement provides that St. Joe Company will reserve to itself and grant
to purchaser a road easement that allows both the seller and the purchaser
use of the dirt road along the western boundary. FWC has determined that the
property can be managed with the improvements and easements in
place. On June 22, 1999,
the Board of Trustees approved a staff recommendation to delegate to DEP
the authority to review and evaluate marketability issues as they arise on
all chapter 259, F.S., acquisitions and to resolve them
appropriately. Because these
issues were discovered during preliminary due diligence, further research
may change the facts and scope of each issue and; therefore, DEP staff
will review, evaluate and implement an appropriate resolution for these
and any other title issues that arise prior to
closing.
Board of Trustees
Agenda – November 12, 2003
Substitute Page Five ****************************************************************************** Substitute Item 3, cont. There is an approximate 50-foot by 50-foot area that contained some
petroleum-based contaminants.
The contaminated soil has been replaced and monitoring wells have
been installed. The option
agreement provides for continued access for the seller to complete all
required monitoring and remediation and withholding of appropriate funds
pursuant to the option agreement until remediation is
complete. A
title insurance commitment, a survey and an environmental site assessment
have been provided by the seller.
The purchaser will reimburse the seller’s cost of the survey at
closing.
The
7,597.9-acre Box R Ranch tract is situated in southwestern Franklin
County, just two miles west of the community of Apalachicola. This tract, part of the St. Joe
Timberlands project, contains 5 miles of US Highway 98 frontage, as well
as more than 4,300 feet of frontage along the Intracoastal Waterway
(Jackson River). The tract
has 1,600 feet of frontage along the Apalachicola River and miles of
frontage along Huckleberry Creek, Little Huckleberry Creek and Pine Log
Creek. The Box R Ranch is
within one of Florida’s highest ranked “hot spots” of biological diversity
and is located just north of St. Vincent Sound – an ecologically
significant estuary whose annual oyster harvests are of major economic
importance. The Box R Ranch
tract supports a variety of ecologically sensitive natural communities,
varying from high quality Estuarine Tidal Marshes, Floodplain Swamps,
Mesic Flatwoods and Maritime Hammocks to areas dominated by planted
pine. The ecosystem in and
around the Box R Ranch supports such rare species as Florida black bear,
bald eagle, and the largest
known populations of two rare plant species, tropical waxweed and telephus
spurge. Protection of this
vast ecosystem will provide a buffer to the coastal waters of Apalachicola
Bay and the Jackson River, which are currently under consideration as
critical habitat for the federally threatened Gulf sturgeon. The
St. Joe Company is one of the largest landowners in Florida. Public acquisition of the St. Joe
Timberland project will help to preserve large undeveloped tracts of land
for native plants and animals and give the public an opportunity to
experience large natural areas throughout north
Florida. This
property will be managed by FWC as part of the wildlife management area
system.
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 3, Pages 1-62) RECOMMEND APPROVAL ******************************************************************************** Substitute Item
4
James J. Jentgen, Trustee Option Agreement/Fakahatchee Strand
Florida Forever Project DEFERRED FROM THE OCTOBER 14, 2003
AGENDA DEFERRED FROM THE AUGUST 12, 2003
AGENDA REQUEST: Consideration of an option agreement to acquire
96.92 acres within the Fakahatchee Strand Florida Forever project from
James J. Jentgen, Trustee. COUNTY: Collier LOCATION: Sections 11, 14 and 15, Township 53 South, Range 29
East
Board of Trustees
Agenda – November 12, 2003
Substitute Page Six ****************************************************************************** Substitute Item 4, cont. CONSIDERATION: $1,525,000
APPRAISED BY
SELLER’S
TRUSTEES’
Bowen Stewart
APPROVED
PURCHASE
PURCHASE
OPTION PARCEL
ACRES
(03/08/02)
(03/08/02)
VALUE PRICE PRICE
DATE
Jentgen
96.92
$1,700,000
$1,605,000
$1,700,000
$150,000*
$1,525,000**
120 days after
(90%)
BOT approval * Purchased in
November 1971 ** $15,735 per acre STAFF REMARKS: The
Fakahatchee Strand project is a “B” group project on the Florida Forever
Full Fee Project List approved by the Board of Trustees on August
26, 2003. On December 5,
2002, the Acquisition and Restoration Council (ARC) voted to move the
project from the “A” to the “B” list of approved Florida Forever projects,
with the exception of those parcels actively in negotiation for
acquisition. ARC recommended
that active “A” group acquisitions receive final approval no later than
August 25, 2003. The project
contains 80,332 acres, of which 63,907 acres have been acquired or are
under agreement to be acquired. Should the Board of Trustees
approve this agreement, 16,328.08 acres, or 20 percent of the project,
will remain to be acquired. This
acquisition is presented for Board of Trustees’ consideration with a
recommendation of denial.
While negotiations were concluded on this parcel, staff feels that
the price is too high for property with minimal uplands for
development. Further, the
local comprehensive plan designates the area as a mandatory preserve, and
it is entirely within the city limits. Should the option
agreement be approved, all mortgages
and liens would be satisfied at the time of closing. The only access to the property is
by boat. There is an access
right-of-way, which, subject to governmental approval, would allow for
existing road extension and bridging. There is also a utility easement, an
unspecified easement and an access easement that connects the northern and
southern portions of the property.
Improvements include a small historic cemetery, a concrete cistern
and an older home of no contributory value. There is an encroachment by an
Outward Bound equipment storage building that would be removed
prior to closing. The
right-of-way, easements, improvements and encroachment were considered by
the appraisers in the valuation of the property. The City of Everglades City
(City), the proposed future managing agency, has determined that
management of the property would not be adversely affected. 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., acquisitions
and to resolve them appropriately.
Therefore, DEP staff would 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 would be provided by
the purchaser prior to closing. Of
the subtropical swamps in south Florida, the Fakahatchee Strand is perhaps
the most significant—the richest in orchids and other rare tropical
plants, the most critical to the survival of the Florida panther, and the
most important for the mangrove swamps of the Ten Thousand Islands. The Fakahatchee Strand project, by
preserving this ecosystem, would help to save the last of the
panthers, protect the Ten Thousand Islands, and give the public an
opportunity to learn about this unique part of
Florida. This
property would be managed by the City as a
preserve. This
acquisition would be consistent with section 187.201(9), F.S., the
Natural Systems and Recreational Lands section of the State Comprehensive
Plan. (See
Attachment 4, Pages 1-53) RECOMMEND DENIAL
Board of Trustees
Agenda – November 12, 2003
Substitute Page Seven ******************************************************************************** Substitute Item
5
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 Timber Island 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
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
Board of Trustees
Agenda – November 12, 2003
Substitute Page Eight ****************************************************************************** Substitute Item 5, cont. 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. DEP staff notes
that The St. Joe Company has expressed an intent to design any development
of the island to meet the clean marina designation which has the benefits
of obtaining a greater level of compliance with environmental regulations
and Environmental Protection Agency stormwater requirements, cost
efficiency of facility operations, the recycling of petroleum products and
the provision of boater education and awareness programs. 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 5, Pages 1-32) RECOMMEND APPROVAL
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