Submittal of the Minutes of the May 11, 1999, May 25, 1999, June 8, 1999, and June 22, 1999 Cabinet Meetings.

REQUEST: Consideration of confirmation of the appointment of Eva Armstrong as the director of the Division of State Lands of the Department of Environmental Protection (DEP).

STAFF REMARKS: Pursuant to section 20.255(6)(h), F.S., the appointment of the director of the Division of State Lands of the Department of Environmental Protection (DEP) must be confirmed by the Governor and Cabinet sitting as the Board of Trustees of the Internal Improvement Trust Fund.

REQUEST: (1) Acceptance of the Florida Keys National Marine Sanctuary Annual Status Report; and (2) confirmation of Anna Marie Hartman as the Board of Trustees’ representative for oversight of sanctuary operations.

STAFF REMARKS: On January 28, 1997, the Governor and Cabinet, sitting as the Board of Trustees of the Internal Improvement Trust Fund, approved the Florida Keys National Marine Sanctuary Management Plan for implementation in state waters and adopted a resolution containing conditions for that approval. One of the conditions was that the Florida Department of Environmental Protection (DEP), in cooperation with the National Oceanic and Atmospheric Administration, submit to the Board of Trustees an annual status report of the sanctuary. Final federal rules and regulations for the sanctuary became effective July 1, 1997. This is the second annual report.

A second condition of the resolution is that the Secretary of the DEP designate, with subsequent confirmation by the Board of Trustees, a DEP employee as its representative as an equal partner to work in consultation with the sanctuary superintendent for the oversight of sanctuary operations. This condition addresses concerns raised by citizens and government that there be parity of state and federal management authority for the implementation and ongoing operations of the sanctuary. Edwin J. Conklin, Jr. was confirmed as the first representative. Because of organizational changes in the DEP, it is appropriate that a new representative be appointed.

(See Attachment 3, Pages 1-30)

COUNTY: Citrus

APPLICANT: Department of Environmental Protection, Office of Greenways and Trails

LOCATION: Sections 08, 09, 16 and 17, Township 18 South, Range 16 East; and Section 35, Township 17 South, Range 18 East

CONSIDERATION: Subject to survey and appraisals; sales will be contingent upon concurrent closing and sale of private property to the state. The Office of Greenways and Trails will deposit the proceeds into the Land Acquisition Trust Fund for management of the Cross Florida Greenway.

STAFF REMARKS: The Office of Greenways and Trails (OGT) currently manages the Cross Florida Greenway under Board of Trustees lease number 4013. The law gives the Department of Environmental Protection the authority to surplus former Barge Canal property through the sale of surplus parcels. Unlike other Board of Trustees’ lands, Land Acquisition and Management Advisory Council review is not required. The OGT finds that selling these parcels will not interfere with any management or recreational activities on the Cross Florida Greenway as established in the management plan for the property and they do not contain any unique or sensitive environmental areas. While these parcels are proximate to the Cross Florida Greenway, they are not necessary for recreational use. Further, the parcels that the Board of Trustees will acquire are important to the management of other Board of Trustees’ lands.

The approximately 30 acres in Sections 16 and 17, Township 18 South, Range 16 East, consist of three spoil banks adjacent to property owned by Dixie Hollins of Citrus County. Mr. Hollins owns an 80-acre parcel contiguous to state-owned property in Section 08, Township 18 South, Range 16 East, Citrus County. Mr. Hollins is willing to sell this parcel to the State of Florida contingent upon his being able to buy the subject 30 acres. The property that the state is acquiring will be managed as part of the Crystal River State Buffer Preserve and is within the Florida Coastal Greenways CARL project.

The approximately 7.43 acres in Section 35, Township 17 South, Range 18 East is contiguous to property owned by Tommy Jordan of Citrus County. Mr. Jordan owns an abandoned railroad right-of-way which OGT is currently negotiating for purchase as part of the Withlacoochee–Cross Florida Connector under the Greenways and Trails Acquisition program. In 1994 this project was ranked number one on the Greenways and Trails acquisition list. Mr. Jordan is willing to sell this parcel and provide a contiguous easement north of State Road 39, which will provide access for the State of Florida to the Cross Florida Greenway lands and the Withlacoochee River, contingent upon his being able to buy the subject 7.43 acres.

Pursuant to section 253.783 F.S., surplus lands will first be offered to the county and then to the original landowners or heirs. Both Mr. Hollins and Mr. Jordan are heirs to the previous owners from whom the Canal Authority obtained these properties. Citrus County has indicated it has no interest in acquiring this property.

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

(See Attachment 4, Pages 1-7)

REQUEST: Consideration of a proposed settlement in the case of Life of the South Corporation v. Board of Trustees of the Internal Improvement Trust Fund and Department of Environmental Protection, Seventh Judicial Circuit (Putnam County) Court Case No. 96-5334-CA, through the purchase of 4,375 acres of land in Putnam County under the CARL program.

COUNTY: Putnam

APPLICANTS: Department of Environmental Protection, Division of State Lands and Life of the South Corporation

LOCATION: Sections 02 through 10, 15, and 17 through 19, Township 11 South, Range 25 East

CONSIDERATION: $3,035,000

APPRAISED BY

REVIEW Arline Rogers APPROVED PURCHASE CLOSING

NO. PARCEL ACRES (10/08/98) (10/08/98) VALUE PRICE DATE

913008 Life of the 4,375 $2,375,000 $2,755,000 $2,755,000 $3,035,000 12/01/99

South

In 1966, the Canal Authority of the State of Florida acquired the right to flood approximately 9,600 acres of land in Putnam and Marion counties as part of the Cross-Florida Barge Canal Project. The Canal Authority obtained a Judgment of Condemnation, which granted the state a perpetual easement to flood a portion of the plaintiff’s property "in connection with the construction, operation and maintenance of the Cross-Florida Barge Canal Project." In 1968, the Rodman Dam was completed and the land was flooded by the Rodman Reservoir.

In 1990, Congress and the Florida Legislature adopted related legislation to deauthorize the Cross-Florida Barge Canal and to establish the Cross Florida Greenway in its place. The Barge Canal was officially deauthorized on January 22, 1991, by adoption of a resolution by the Governor and Cabinet which agreed, on behalf of the State of Florida, to the terms of the federal deauthorization.

In establishing the Cross Florida Greenway, the 1990 Legislature concluded that "public ownership of and access [to the lands within the former Cross-Florida Barge Canal] are necessary and desirable to protect the health, welfare, safety and quality of life of the residents of this state," and encouraged the acquisition of fee simple title to those portions of the Greenway held in less-than-fee title. Accordingly, section 253.781(3), F.S., states that the

Board of Trustees "may acquire by purchase, exchange of other state lands, or the exercise of the power of eminent domain the fee title to lands acquired in less-than-fee title . . . using state, local or federal funds dedicated to acquiring lands for conservation and recreation."

Life of the South owns approximately 4,375 acres of property within the Etoniah Creek/Cross Florida Greenway CARL project, including 2,303 acres subject to the state’s 1966 easement. The easement area includes 414 acres of land actually submerged by the reservoir, another 1,860 acres of adjacent wetlands which may also be flooded by the presence of the reservoir, and about 26 acres of uplands.

On May 23, 1997, the Circuit Court issued an order declaring that the state’s flowage easement over Life of the South’s property was extinguished and became null and void upon the deauthorization of the Cross-Florida Barge Canal. Life of the South alleges that the continued flooding of its property constitutes a "taking", entitling it to just compensation. Life of the South may have waited too long to file its "taking" claim, and may be barred by the applicable statute of limitations, depending upon what date the Court finds this "taking" to have occurred. If Life of the South’s "takings" claim fails, it may proceed against the Board of Trustees and the DEP under a trespass action, seeking damages, costs and attorney’s fees for the continued flooding of the property. If Life of the South can reach the merits of its inverse condemnation claim and succeed, the Board of Trustees may be liable for the value of all submerged lands together with whatever wetlands the Court determines to be flooded by the reservoir, and Life of the South may be entitled to recover statutory interest from the date of the "taking", along with any severance damages, and reasonable costs and attorney’s fees.

The 2,303 acres within the flowage easement area are part of a 4,375-acre tract of land owned by Life of the South, all of which is within the Etoniah Creek/Cross Florida Greenway CARL project. This property was mapped and appraised for potential purchase under the CARL program. Acquisition of Life of the South’s acreage will accomplish the dual objectives of acquiring lands identified for acquisition under the CARL program and settling the ongoing litigation with Life of the South.

Subject to Board of Trustees’ approval, the parties have agreed to the acquisition of 4,375 acres of Life of the South’s property (including the portion subject to the lawsuit) for the purchase price of $3,035,000. This amount exceeds the appraised value of the property by $280,000, but resolves all pending and future litigation, costs, attorneys fees, interest, and removes any question of a continuing trespass with continuing damages thereon. If Life of the South succeeds in its "takings" claim, the Court might instruct the jury to value the land as if it were dry, resulting in a much higher price-per-acre for the 414 acres of submerged lands. In short, the Board of Trustees’ potential liability to Life of the South’s claims could well exceed the $280,000 added to the appraised value to resolve all pending and future litigation.

Some of the more critical terms of the settlement agreement are: (1) purchase of fee simple title to 4,375 acres of land adjacent to the Cross Florida Greenway and the Caravelle Ranch Wildlife Area for the amount of $3,035,000, in furtherance of the legislature’s policy of acquiring fee simple title to all less-than-fee title holdings within the Cross Florida Greenway; (2) adjustment of the final purchase price, excluding the $280,000 additional consideration for settlement of all claims, based upon the final approved survey and appraisal, with each party having the option to terminate the agreement if the adjusted purchase price exceeds or falls short of the original price by more than five percent; (3) settlement in full of the pending inverse condemnation action arising from the flooding of this property; (4) a release by Life of the South and its principals of the Board of Trustees and the DEP for any present and future trespass claims arising from the flooding of the property or its use as part of the Cross Florida Greenway; and (5) a waiver by Life of the South for any and all interest, costs, and attorneys

fees. This recommendation of approval is not to be construed as an admission of liability and is offered only for the purpose of negotiating a settlement of the litigation and potential litigation.

A consideration of the status of the local government comprehensive plan was not made for this item. The DEP has determined that the proposed settlement is not subject to the local government planning process.

(See Attachment 5, Pages 1-40)

COUNTY: Statewide

APPLICANT: Department of Environmental Protection (DEP)

STAFF REMARKS: When state land is purchased or restored using federal grant dollars or is used as a match for the federal funds, the federal government requires that the land purchased, restored or pledged as a match be used only for the purposes specified in the grant agreement. The federal requirements preclude the grant recipient from altering the use of those lands or from disposing of or encumbering them without the concurrence of the granting agency. The matching grants listed below require Board of Trustees’ approval because acquisition with federal grant dollars or the use of state land for a restoration project or as a grant match may result in restrictions on the future use of Board of Trustees’ property. Staff has reviewed these grants and has determined that the objectives of the state’s environmental land acquisition and management programs will be served if approval is granted. The grant conditions are consistent with the program needs that were established when the lands were originally selected for acquisition and will not limit the managers’ ability to carry out their management responsibilities.

The focus of this proposal is to restore the natural flushing between Johnson Bay (approximately 480 acres) and Tarpon Bay (approximately 360 acres). Historically, Tarpon Bay connected with Johnson Bay through passes between four barrier islands. During the development of this area in the late 1950’s and early 1960’s, County Road 952 was constructed, connecting the four islands. Since the road was not culverted, tidal flushing and transport between Johnson Bay and Tarpon Bay was disrupted. As a result, Tarpon Bay is silting in, which is having a negative effect on the water quality, seagrass beds and resident organisms. By reestablishing the natural flushing between these two bays, water quality will improve, as well as light penetration for the seagrass beds. Construction of the road also cut off the direct water routes between Johnson Bay and Tarpon Bay. As a result, manatees, which heavily use both of these areas, must now travel through the inland waterway, an area of

intense boat traffic, when going between the two bays. Both Johnson Bay and Tarpon Bay are

shallow water systems, with an average depth of three feet, providing a refuge for manatees from large, deep draft boats. This is a partnership restoration with $324,640 from the DEP and $940,000 from the U.S. Fish and Wildlife Service Coastal Wetlands Conservation Grant Program.

This project will improve the area for manatee habitation. The work plan includes the modest removal of accumulated sediments. The amount of sediments removed would be designed to mimic the natural contours of the river. The wetlands restoration project reverses the loss of approximately 1-1/2 acres of wetlands by decreasing runoff from the existing limerock trails allowing the wetlands to function properly. Over 225 feet of compacted limerock trails that were constructed in the early 1960’s will be removed and be replaced by elevated boardwalks. A hippo exhibit is a significant contributor to the sediment accumulation problem. The park is installing a new wastewater lift station and natural filtration system to collect and handle the hippo waste. This is a partnership restoration with $183,750 from the DEP and $341,250 from the U.S. Army Corps of Engineers.

These projects will construct and/or enhance boating access within the captioned state parks. They will be funded with $233,750 from the DEP and $701,250 from U.S. Fish and Wildlife Service Sport Fish and Wildlife Restoration Grant Program.

The Blackwater Heritage State Trail is a multipurpose Rails-to-Trails facility which provides pedestrian and bicycle use from Milton and Santa Rosa County, north, to Whiting Field Naval Air Station. Trailheads along the trail provide access points to the trail and ideally should have support facilities consisting of restrooms and picnic shelters for use by trail users. Currently, the trail is completed from U.S. Highway 90 (State Road 10) in Milton to the north terminus. The proposed project consists of the construction of the U.S. Highway 90 (State Road 10) crossing and the remaining one mile section of the trail to the south. A restroom will be constructed at the existing equestrian parking trailhead at the intersection of the trail and Munson Highway. This project will be funded with $335,000 of federal TEA-21 (Transportation Efficiency Act – 21) funds, formerly ISTEA (Intermodal Surface Transportation Efficiency Act) funds, administered by the Florida Department of Transportation.

These are habitat restoration and protection initiatives for four federally listed endangered species: the Anastasia Island beach mouse, clasping warea (Lake Griffin State Recreation Area), Perdido Key beach mouse, and Choctawhatchee beach mouse (St. Andrews State Recreation Area). A $14,714 grant from the U.S. Fish and Wildlife Service will be used to control exotic vegetation at Anastasia State Recreation Area and Lake Griffin State Recreation Area. An $83,400 grant from the U.S. Fish and Wildlife Service will be used for fencing primary and secondary beach mouse habitat along Gulf Beach Highway, signage, managed trails and possibly a walkover. A $252,000 grant from the U.S. Fish and Wildlife Service will be used to install boardwalks to protect primary beach mouse habitat near the east jetty and Anderson Pier on Shell Island.

A consideration of the status of the local government comprehensive plan was not made for this item. The DEP has determined that the approval of this item is not subject to the local government planning process.

(See Attachment 6, Pages 1-13)

COUNTY: Lee

Deed No. 30421

APPLICANT: South Florida Water Management District

LOCATION: Sections 24 and 35, Township 47 South, Range 26 East

STAFF REMARKS: In 1998, the South Florida Water Management District (SFWMD) negotiated the acquisition of three parcels of land in Lee County with mitigation funds. Whereas title should have vested in the SFWMD, the parcels were inadvertently deeded to the Board of Trustees along with a number of other parcels acquired for the Board of Trustees as part of the Corkscrew Regional Ecosystem Watershed (CREW) CARL project. The CREW CARL project is a bargain/shared project with the SFWMD and Collier and Lee Counties. The SFWMD has requested that the Board of Trustees deed the three parcels, identified as Tracts 003-488, 003-761, and 003-772, to the SFWMD.

A consideration of the status of the local government comprehensive plan was not made for this item. The Department of Environmental Protection has determined that the proposed action is not subject to the local government planning process.

(See Attachment 7, Pages 1-14)

REQUEST: A determination that a veterans memorial park complies with the restrictions and reverter contained in a 1964 deed from the Board of Commissioners of State Institutions.

COUNTY: Marion

APPLICANT: City of Ocala

LOCATION: Section 15, Township 15 South, Range 22 East

STAFF REMARKS: On December 15, 1964, the Board of Commissioners of State Institutions of the State of Florida conveyed 1.4 acres, more or less, to the City of Ocala

(City). The deed restricts use of the property to a fire department sub-station or for such other valid public purpose properly approved by the grantor. Marion County would like to use the land to expand its adjacent Veterans Memorial Park. It is willing to provide an alternate site for the City’s fire department sub-station.

In 1967, title to all lands held in the name of the state, or any of its boards, departments, agencies or commissions, vested in the Board of Trustees. The Board of Trustees, as successor to the Board of Commissioners of State Institutions, is being requested to make a determination that the park expansion is a valid public purpose. Staff believes that the park expansion complies with the deed restriction because it is an extension of a public use authorized on adjacent state-owned land. Title to the existing Veterans Memorial Park is vested in the Board of Trustees, and it is leased to Marion County.

A consideration of the status of the local government comprehensive plan was not made for this item. The Department of Environmental Protection has determined that the request is not subject to the local government planning process.

(See Attachment 8, Pages 1-6)

COUNTY: Duval

Deed No. 23559

APPLICANT: City of Jacksonville (City)

LOCATION: Section 38, Township 02 South, Range 26 East

CONSIDERATION: Appraised market value of $400,000 to be spent on public purpose projects

STAFF REMARKS: On October 15, 1963, the Board of Trustees approved the conveyance of 7.6 acres of submerged land along the St. Johns River to Duval County. Use of the property was restricted to public purposes. In the event the County (now consolidated with the City) chose to sell the land, it was obligated to use the proceeds derived from any such sale only for a municipal or other public purpose formally approved by the Board of Trustees.

The 7.6-acre parcel is currently being used as a parking lot for the courthouse. However, under the City’s proposed economic development plan for the area, public facilities are being relocated away from the waterfront and replaced with tax generating private investments. The City would like to deed 3.5 of the 7.6 acres to DB Holdings, L.L.C. (Developer), for the Developer’s proposed Berkman Plaza downtown residential development. The Developer was selected in response to a Request for Proposals issued by the City. The Berkman Plaza project will be developed in a public-private partnership with the City and consists of two 200-unit high-rise apartment towers and related amenities, and 26 low-rise town homes. Phase I, which

includes the former state-owned lands, will have a multi-story, 200-unit tower, 19 town homes, on-site community retail/service shops, related parking and a restaurant. Phase II, located on adjacent City-owned land, will have a multi-story, 200-unit tower, seven town homes and related parking.

The City will realize a significant return on its investment. Among the public benefits to be derived from the project are:

1. Public access to the riverfront in a park-like setting;
2. A key element in the City’s goal of developing much needed residential housing in the downtown area and support for the Mayor’s growth management initiatives to reduce sprawl by developing housing close to the employment center in an already urbanized area;
3. A housing alternative to suburban development for downtown employees and other downtown residents;
4. Support for the Community Redevelopment Plan for the downtown area, which is a chapter 163, F.S., Community Redevelopment Area;
5. Limits to the amount of suburban housing being developed, freeing up properties to be purchased by the City for preservation purposes;
6. Reductions in the need for infrastructure and associated expenses to support suburban housing;
7. Creation of a new residential customer for the downtown area that will add vitality and help enhance the perception of the downtown area as a safe and secure place on a 24-hour basis; and
8. An estimated $24.7 million in new ad valorem property taxes through the first 20 years (2001-2020) of the project.

As a condition of Deed No. 23559, however, the City must obligate the proceeds from any sale, lease or conveyance of the 7.6 acres for other municipal or other public purpose projects formally approved by the Board of Trustees. The appraised value of the 3.5 acres is $400,000. This value reflects the fact that the 3.5 acres consists of submerged lands that have been improved with a concrete parking deck on pilings, and an estimated cost of $2.1 million to improve the parking deck so that it can be developed to its highest and best use. As consideration for the partial release of restrictions, the City has committed $2.4 million dollars towards the extension of the section of the Northbank Riverfront Park in front of the Berkman Plaza project, including the public walkways and parks within the project. Based upon the City’s commitment, the Division of State Lands recommends approval of a partial release of deed restrictions for the 3.5-acre parcel.

A consideration of the status of the local government comprehensive plan was not made for this item. The Department of Environmental Protection has determined that the proposed action is not subject to the local government planning process.

(See Attachment 9, Pages 1-11)

COUNTY: Escambia

LOCATION: Sections 08 through 10 and 13, Township 03 South, Range 31 West

CONSIDERATION: $2,155,930 ($2,106,300 for the acquisitions; $49,630 for the purchase of the option agreements)

APPRAISED BY

REVIEW Rogers Nolan APPROVED PURCHASE OPTION

NO. PARCEL ACRES (03/02/99) (03/12/99) VALUE PRICE DATE

912001 Kahn 155.80 $1,270,000 $1,350,000 $1,350,000 $1,249,600 180 days after

BOT approval

(04/12/99) (04/12/99)

912002 Caldwell 330.70 $1,300,000 $1,400,000 $1,400,000 $ 856,700 10/01/99

486.50 $2,750,000 $2,106,300

Pursuant to a multi-party acquisition agreement entered into between the Division of State Lands (DSL) and The Nature Conservancy, Inc. (TNC), TNC has acquired two options to purchase the parcels from multiple owners. After these acquisitions are approved, the Board of Trustees will acquire the options from TNC for $49,630, which represents agreed upon compensation to TNC for overhead associated with acquiring the options. The assignment of option agreements provide that payment to TNC is contingent upon the Board of Trustees successfully acquiring the properties from the owners. The assignment of option agreements further provide that in no event will the purchase price for the options and the purchase price of the properties exceed the DSL approved values of the properties.

The Caldwell acquisition includes a ten-acre parcel that is being acquired by the sellers for access. The ten-acre parcel is under contract and will close prior to the Board of Trustees closing on the acquisition.

All mortgages and liens will be satisfied at the time of closing. In the event the commitments for title insurance, to be obtained prior to closing, reveal any other encumbrances which may

affect the value or proposed management of the properties, staff will so advise the Board of Trustees prior to closing.

For the Caldwell acquisition, a survey, an environmental site assessment and a title insurance policy will be provided by the purchaser prior to closing. For the Kahn acquisition, a survey and an environmental site assessment will be provided by the purchaser prior to closing, with the seller reimbursing fifty percent of the purchaser’s cost of the survey and fifty percent of the cost of the environmental site assessment, not to exceed $3,500.

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. The Perdido Pitcher Plant Prairie CARL 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.

These properties will be managed by the Division of Recreation and Parks as part of Tarkiln Bayou State Preserve.

These acquisitions are consistent with section 187.201(10), F.S., the Natural Systems and Recreational Lands section of the State Comprehensive Plan.

(See Attachment 11, Pages 1-81)

REQUEST: Consideration of the acceptance of an assignment of option agreement to acquire 489.4 acres within the Perdido Pitcher Plant Prairie CARL project from The Nature Conservancy, Inc.

COUNTY: Escambia

LOCATION: Section 20, Township 03 South, Range 31 West

CONSIDERATION: $1,555,250 ($1,525,000 for the acquisition; $30,250 for the purchase of the option agreement)

APPRAISED BY

REVIEW Nolan Rogers APPROVED PURCHASE OPTION

NO. PARCEL ACRES (04/12/99) (04/12/99) VALUE PRICE DATE

912003 Perdido Bay 489.4 $1,590,000 $1,600,000 $1,600,000 $1,525,000 08/31/99

Partnership

Pursuant to a multi-party acquisition agreement entered into between the Division of State Lands (DSL) and The Nature Conservancy, Inc. (TNC), TNC has acquired an option to purchase this parcel from Perdido Bay Partnership. After this acquisition is approved, the Board of Trustees will acquire the option from TNC for $30,250, which represents agreed upon compensation to TNC for overhead associated with acquiring the option. The assignment of option agreement provides that payment to TNC is contingent upon the Board of Trustees successfully acquiring the property from the owner. The assignment of option agreement further provide that in no event will the purchase price for the option and the purchase price of the property exceed the DSL approved value of the property.

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 which may affect the value or proposed management of the property, staff will so advise the Board of Trustees prior to closing.

A boundary evidence report, an environmental site assessment and a title insurance policy will be provided by the purchaser prior to closing.

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. The Perdido Pitcher Plant Prairie CARL 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.

This property will be managed by the Division of Recreation and Parks as part of Tarkiln Bayou State Preserve.

This acquisition is consistent with section 187.201(10), F.S., the Natural Systems and Recreational Lands section of the State Comprehensive Plan.

(See Attachment 12, Pages 1-36)

COUNTY: Broward

LOCATION: Section 23, Township 51 South, Range 39 East

CONSIDERATION: $270,000

STAFF REMARKS: The East Everglades CARL project is ranked number 3 on the Mega/Multiparcels CARL List approved by the Board of Trustees on February 9, 1999, and is funded under the Division of State Lands’ Land Acquisition Workplan. The area known as the East Coast Buffer covers 72,230 acres. Of this, 2,588 acres will be protected by mitigation

and 29,646 acres are of a lower priority, including land owned by local governments and acres that may not need to be acquired. Of the remaining 39,996 acres proposed for acquisition, 17,144.53 acres have been acquired. After the Board of Trustees approves this acquisition, 22,841.47 acres or 57 percent of the area will remain to be acquired.

The East Coast Buffer consists of approximately 72,230 acres of marshes, reservoirs, and groundwater recharge areas in Palm Beach, Broward and Dade counties. However, the most significant aspect of the East Coast Buffer is its role in restoring the Everglades. In 1992, Congress authorized the U.S. Army Corps of Engineers (COE) to conduct a restudy of the Central and Southern Florida Project. The reconnaissance report for this restudy was completed in 1994 and the COE incorporated the East Coast Buffer in its analysis, referring to the area as the "Water Preserve Areas." Further detailed study of this Everglades restoration project component has already been authorized by Congress and a final detailed plan will be prepared by September 2001. The Final Restudy Report and Programmatic Environmental Impact Statement were released on April 7, 1999, for final public review and comment. The report has received a favorable review by the Department of Environmental Protection (DEP) and other agencies and was submitted to Congress on July 1, 1999.

The purpose of the East Coast Buffer/Water Preserve Areas is to: (1) increase storage and hold more water in the system by controlling seepage from the Everglades, thus restoring more natural Everglades hydropatterns; (2) capture and store excess stormwater currently discharged to coastal waters, thus retaining an important water supply source for both urban and natural systems; (3) provide a buffer between the natural and developed areas; (4) preserve and protect wetlands outside the publicly-owned Everglades; and (5) provide important transitional land uses between the natural and developed areas. East Coast Buffer/Water Preserve Areas may also enhance flood control in areas to the east of these lands. The East Coast Buffer lands are under intense development pressure in all counties. Therefore, immediate public acquisition is needed to preserve and enhance wetlands and preserve opportunities for the restoration of the Everglades ecosystem.

To implement this restoration, during the last decade the District has acquired over 16,000 acres at a cost of $119,000,000. In anticipation of the Board of Trustees’ participation in this effort, the East Coast Buffer was added to the East Everglades CARL project on March 15, 1996. District funding is now limited but the District offered to take the lead in acquiring the property on behalf of the Board of Trustees. On December 8, 1998, the Board of Trustees authorized staff to enter into an acquisition agreement to acquire various ownerships located in the East Coast Buffer portion of the East Everglades CARL project in accordance with section 259.041(16), F.S., utilizing the procedures set out in section 373.139, F.S. On June 15, 1995, the Board of Trustees approved the use of the District's procedures to allow the District to acquire lands to be held by the Board of Trustees. Since the land being acquired will be part of a federal project, federal acquisition procedures are being used.

The District has acquired an agreement for sale and purchase at 100 percent of appraised value. Pursuant to the terms of the acquisition agreement, the District shall be reimbursed for all costs associated with acquiring the property, including pre-acquisition and closing related costs. The Board of Trustees’ purchase price will be 100 percent of the contract price negotiated by the District plus 100 percent of the cost incurred in the purchase of the property. Title to the property acquired will vest in the Board of Trustees.

As provided for in the acquisition agreement, the Governing Board of the District adopted Resolution 99-40 requesting the Board of Trustees’ share of the purchase price for the parcel, reimbursement of 100 percent of its pre-acquisition costs and reimbursement of 100 percent of

its closing costs. Authority to approve the reimbursement of the remaining parcels in the resolution was delegated to the DEP by the Board of Trustees on June 22, 1999. Pursuant to the acquisition agreement, the pre-acquisition and closing costs will be reimbursed from CARL incidental expense funds. The District’s resolution contains all of the assurances required by the acquisition agreement.

The East Coast Buffer portion of the East Everglades CARL project will be managed by the District in conjunction with COE Everglades restoration projects. As local sponsor for the restoration projects, the District is required to hold a title interest sufficient to meet COE certification requirements. While the COE would prefer the sponsor to hold fee title, section 259.101(3)(g), F.S., states that title to lands acquired with P2000 funds under the CARL Program must vest in the Board of Trustees. The acquisition agreement includes a provision whereby the Board of Trustees will convey to the District an easement consistent with section 253.034(4), F.S., for any lands acquired under this agreement that are to become part of a COE approved Everglades restoration project. DEP staff is currently working with the COE and the District to develop an easement sufficient for COE certification. The COE will require the easement to include a statement that the land interest will not be impaired during the life of the project and that the COE is granted an irrevocable right to enter the project lands for the purpose of constructing, inspecting, completing, operating, repairing, maintaining, replacing or rehabilitating the projects. In the event that the COE determines that fee title is required to meet certification requirements, statutes would need to be amended to permit entities other than the Board of Trustees to hold title to lands acquired with P2000 funds under the CARL Program.

This acquisition is consistent with section 187.201(10), F.S., the Natural Systems and Recreational Lands section of the State Comprehensive Plan.

(See Attachment 13, Pages 1-40)

REQUEST:  Consideration of an option agreement to acquire 35.17 acres within the Dade County Archipelago CARL project from Miami-Dade County.

COUNTY:  Miami-Dade

LOCATION:  Sections 16 and 17, Township 56 South, Range 39 East

CONSIDERATION:  $450,313.89 (Board of Trustees’ share of County’s purchase price)

TRUSTEES’

APPRAISED BY COUNTY’S SHARE OF

REVIEW Waronker APPROVED* PURCHASE PURCHASE OPTION

NO. PARCEL ACRES (03/29/96) VALUE PRICE PRICE DATE

912005 Bloom/ 7.38 $195,000 $191,880 $187,897.31 $ 95,940.00 150 days

Frank after BOT

Gallaher approval

(10/25/95)

E. Ballard 9.80 $275,000 $274,400 $260,000.00 $132,188.69

Cantwell Waronker

(07/20/93) (09/24/93)

A. Ballard 11.53 $350,000 $332,000 $288,250 $294,350.00 $144,125.00

Ross 4.74 $210,000 $210,000 $113,760 $118,320.00 $ 56,880.00

Gallaher Cantwell

(03/29/93) (06/01/93)

A. Ballard/ 1.72 $70,000 $70,000 $43,000 $ 38,632.50 $ 21,180.20

K. Ballard ____ _________ __________ ___________

STAFF REMARKS: The Dade County Archipelago CARL project is ranked number 2 on the CARL Bargain/Shared Project List approved by the Board of Trustees on February 9, 1999, and is eligible for negotiation under the Division of State Lands’ (DSL) Land Acquisition Workplan. The project contains 856 acres, of which 291.76 acres have been acquired or are under agreement to be acquired. After the Board of Trustees approves this agreement, 529.07 acres or 62 percent of the project will remain to be acquired.

Pursuant to a multi-party acquisition agreement entered into between the DSL and Miami-Dade County (County), the County purchased the properties from multiple owners. If this item is approved, the Board of Trustees will reimburse the County for 50 percent of the purchase price and closing costs paid by the County for each parcel, or 50 percent of the approved value, whichever is less. In no event will the purchase price exceed 50 percent of the approved value.

All mortgages and liens will be satisfied at the time of closing.  In the event the commitments for title insurance, to be obtained prior to closing, reveal any other encumbrances which may affect the value of the properties or the proposed management of the properties, staff will so advise the Board of Trustees prior to closing.

The County will provide title insurance policies certified to the Board of Trustees, certified surveys and environmental site assessments prior to closing. The Board of Trustees will reimburse the County 50 percent of the cost associated with updating each item and bringing it into compliance with the DSL’s standards. This reimbursement is contingent on the closing of this transaction.

On a limestone ridge east of the Everglades, where Miami and Homestead and surrounding farms now stand, were subtropical pinelands and hardwood hammocks unique in the United States. Now only tiny pieces of these forests remain, the best of which the Dade County Archipelago CARL project will protect. In so doing, the project will conserve habitat for rare animals and dozens of rare plants, many found nowhere else in the world, and will provide areas where residents and visitors can learn about and appreciate what was here before the cities.

These properties will be managed by the County as botanical sites with passive recreational usage.

These acquisitions are consistent with section 187.201(10), F.S., the Natural Systems and Recreational Lands section of the State Comprehensive Plan.

(See Attachment 14, Pages 1-49)

RECOMMEND APPROVAL

COUNTY: Putnam

APPLICANT: Department of Agriculture and Consumer Services

LOCATION: Section 39, Township 10 South, Range 27 East

CONSIDERATION: $123,000

APPRAISED BY

REVIEW PARCEL Rogers APPROVED PURCHASE OPTION

NO. NAME ACRES (09/02/98) VALUE PRICE DATE

912006 Frank/Frank 3.44 $172,000 $172,000 $123,000 09/10/99

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 which 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 DACS prior to closing.

This parcel will be used by the DACS as an addition to the Palatka Farmers Market.

This acquisition is consistent with section 187.201(18), F.S., the Public Facilities section of the State Comprehensive Plan.

(See Attachment 15, Pages 1-31)

REQUEST: Consideration of (1) an option agreement to acquire 131.59 acres within the Lake Tohopekaliga Fish Management Area by the Florida Fish and Wildlife Conservation Commission under the Preservation 2000 program from The Trust for Public Land; and (2) a request for survey waiver.

COUNTY:  Osceola

APPLICANT: Florida Fish and Wildlife Conservation Commission

LOCATION:  Sections 03, 04, 09 and 10, Township 26 South, Range 29 East

CONSIDERATION:  $4,045,000

APPRAISED BY

REVIEW Goodman Sutte APPROVED PURCHASE OPTION

NO. PARCEL ACRES (03/16/99) (03/16/99) VALUE PRICE DATE_____

912007 TPL 131.59 $4,300,000 $3,600,000 $4,300,000 $4,045,000 120 days after

BOT approval

The Trust for Public Land (TPL) currently holds an exclusive option to acquire this parcel. The TPL will either exercise its option prior to closing or at a simultaneous three-party closing with the state.

The property has been improved with a small frame house, several barns and two docks. The FWCC, the future managing agency, plans to evaluate and review the improvements for their potential use and historical value during the development of the management plan for the island.

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 other encumbrances which 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.

Staff requests that the Board of Trustees, pursuant to its authority under section 259.041(1), F.S., waive any portions of chapter 259, F.S., and any applicable rule or policy that may require a survey on this property. It is the opinion of the Bureau of Survey and Mapping that available boundary information is sufficient to reasonably protect the public’s interest.

While this property is being recommended for waiver of survey at this time, should the title commitment and field inspection reveal substantive surveying or surveying related issues which impact the parcel, a certified survey will be provided by the purchaser prior to closing. In the event a full survey is waived, a professional land surveyor will inspect the property for any visible evidence of improvements or potential boundary issues. The acquiring agency will acquire any special purpose survey work necessary for the effective management of the property.

An environmental site assessment will be provided by the seller prior to closing. The FWCC will reimburse the seller’s cost of the environmental site assessment upon review and approval by the state subsequent to closing.

The acquisition of Cypress Island is an important component of the FWCC’s plan for managing Lake Tohopekaliga. The property is interspersed with cleared pastureland, oak hammocks, cypress swamps and freshwater marsh communities providing important wildlife habitat. Acquisition of the island and its related shoreline parcel will allow for continued periodic drawdowns of the lake, provide additional wildlife habitat, increase public access, and enhance the overall management of the Lake Tohopekaliga Fish Management Area.

The property will be managed by the FWCC as an addition to the Chassahowitzka Wildlife Management Area for natural resource conservation and resource-based public outdoor recreation within a multiple-use management regime.

This acquisition is consistent with section 187.201(10), F.S., the Natural Systems and Recreational Lands section of the State Comprehensive Plan.

(See Attachment 16, Pages 1-48)

RECOMMEND APPROVAL

REQUEST: Consideration of an application for (1) a modification of an existing five-year sovereignty submerged lands lease to increase the preempted area from 26,116 square feet to 209,212 square feet, more or less, for an existing commercial docking facility; and (2) a waiver of the survey requirement.

COUNTY: Lee

Lease No. 360009925

APPLICANT: SunTrust Bank, Southwest Florida, a Florida corporation, as Trustee

(d/b/a Orange Harbor Mobile Home Park)

Aquatic Preserve: No

Manatee Area idle/slow speed/caution zone: Yes

Outstanding Florida Waters: No

CONSIDERATION: $29,476.38 as the initial lease fee computed at the base rate of $0.1156 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. If the staff recommendation regarding the survey and legal description is approved, fees will be verified upon receipt of an acceptable survey.

STAFF REMARKS: The lessee is proposing to modify an existing 42-slip commercial docking facility by: (1) increasing the preempted area from 26,116 square feet to 209,212 square feet; and (2) increasing the number of wet slips from 42 to 75.

On July 18, 1978, the Board of Trustees approved a sovereignty submerged lands lease containing 2,841 square feet, more or less, to construct and operate a commercial docking facility for the upland mobile home park. The lessee rents mobile home lots to residents; therefore, the mobile home park is a revenue generating/income related activity pursuant to section 18-21.003(44), F.A.C. The rule also states that any activity (such as a docking facility) on sovereignty lands which serves as an accessory to an upland revenue generating activity is also considered to be a revenue generating/income related activity. Therefore, use of the submerged land requires a lease pursuant to section 18-21.005(1)(b)2, F.A.C. Although the lessee does not charge the mobile home residents a fee to use the docks adjacent to their mobile homes, the lot rent is higher for waterfront lots than non-waterfront lots.

Under a delegation of authority (DOA), the lease was renewed and modified by the former Department of Natural Resources (DNR) on August 29, 1988, to include in the lease unregistered grandfathered structures consisting of five finger piers and a marginal dock and boat ramp, increasing the lease area to 6,960 square feet. Although these structures are located near those authorized in the original lease, they were not included in the original survey or lease. There is no record of any site inspection being performed at this facility between 1978 and 1988.

From 1978 until 1994, individual Orange Harbor Mobile Home Park (Park) residents applied for and obtained regulatory exemptions from the Department of Environmental Regulation and

proprietary consent of use letters from DNR and the Department of Environmental Protection (DEP) for "single-family" type docks. Although a lease would have been required pursuant to section 18-21.005(1)(b)2, F.A.C., another rule section, 18-21.005(1)(a), F.A.C., states that docks that are exempt from regulatory permitting are exempted from any requirement to make application for consent of use, and such consent is granted by the Board of Trustees. In the applications from Park residents, it was indicated that they were the riparian upland owners, and there were no clear indications of the rental nature of the mobile home park. Therefore, the applications were reviewed as if the structures were private, single-family docks associated with single-family lots, when in fact the uplands were owned by SunTrust Bank and constituted a revenue generating/income related activity pursuant to the rule. SunTrust Bank has indicated to DEP staff that responsibility for construction and maintenance of the individual docks was left to each waterfront resident.

In 1994, a Park resident submitted an application for a boat lift at the dock located adjacent to his mobile home. The application revealed that he was not the upland owner, that in fact SunTrust Bank owned the lots. DEP staff’s subsequent research of property records revealed that the mobile home park was owned entirely by SunTrust Bank, without any individually-owned lots. DEP staff performed a complete shoreline inventory and contacted SunTrust Bank, informing them that the lease must be modified to include all of the structures on sovereignty submerged lands adjacent to the park. SunTrust Bank willingly complied with the requirement to modify the lease accordingly.

Under a DOA, the lease was modified by DEP on June 5, 1995, to: (1) eliminate from the lease a marginal dock and four finger piers (six wet slips preempting 3,276 square feet) that were deteriorating and no longer needed by the Park because of lack of user demand; and (2) include in the lease all of the other structures built by the individual lot renters. These structures consisted of 31 fishing piers and 28 docks. This modification increased the lease area to 23,171 square feet. Lease fees in arrears for these structures were paid by the lessee. Interest on the lease fees in arrears was not assessed because of the past authorizations issued.

The lease was again modified by DEP under a DOA on January 21, 1998, to convert five of the fishing piers to docks, increasing the lease area to 26,116 square feet. The modified lease now accurately reflects all existing structures.

The overall facility currently consists of a four-slip docking facility and boat ramp at one of the mobile home park’s common areas, two fishing piers adjacent to two other common areas, and numerous individual docks and fishing piers, each adjacent to individual mobile home lots. All of these existing structures are within the existing lease. The lessee’s proposed lease modification will: (1) convert 21 existing fishing piers to docks adjacent to individual mobile home lots by allowing mooring at the structures; (2) authorize some of the existing docks to be reconfigured or expanded; (3) authorize construction of new docks; and (4) include the area of sovereignty submerged lands between each structure consistent with sections 18-21.003(38) and 18-21.004(1)(c), F.A.C. The modified lease will provide a total of 75 wet slips for exclusive use of mobile home park residents. The boat ramp and remaining fishing piers will also remain for the exclusive use of mobile home park residents.

As a commercial operation, the lessee is responsible for paying the annual lease fee, but is allowed by chapter 723, F.S., the Florida Mobile Home Act, to choose to pass on the annual lease fee to the waterfront lot renters. Most of the mobile home park residents are retirees, many on fixed incomes. There is a continual turnover of park residents, and new waterfront lot renters often desire to change the configuration of the dock or fishing pier adjacent to their respective lots. They also want to minimize the annual lease fee by designing each dock’s

lease area to be as small as possible. This has resulted in continuous lease modifications to change the preempted area to accommodate new or relocated boat slips or larger vessels at various individual structures. Therefore, future requests for additional lease modifications were anticipated to occur frequently throughout the term of the modified lease.

Minimizing the lease area raises three concerns. First, the previous frequent lease modifications required significant staff time; future lease modifications would also require Board of Trustees’ reviews. Second, it has not adequately included all of the preempted area in the lease as required by sections 18-21.003(38) and 18-21.004(1)(c), F.A.C. Because many of the docks are located close together, the area between the docks that is currently excluded from the lease is also realistically preempted from traditional public uses. However, the Board of Trustees and DEP typically require such areas to be included in sovereignty submerged lands leases. Therefore, continuing to allow these areas to be excluded from the lease raises a third concern: inconsistency with other Board of Trustees and DEP authorizations. To address these concerns, the applicant has agreed to modify the lease to include the areas between those docks whose proximity to one another effectively preempts public use. Staff and the lessee estimate that this will add approximately 168,290 square feet to the lease area, resulting in an additional annual lease fee of $19,454.32. Because of this lease fee increase, the Park residents do not agree with including the additional preempted area in the lease.

Staff has considered whether a net environmental benefit would result from replacing the existing docks, adjacent to individual mobile homes, with one or more multi-slip docking facilities. However, this alternative would concentrate pollutants, raise potential navigation concerns, and result in an extensive and costly permitting process for SunTrust Bank that would ultimately be passed onto the Park’s waterfront residents. Therefore, staff does not recommend this alternative.

Section 18-21.008(1)(a)4, F.A.C., requires a survey and legal description to be submitted with all lease applications. Pursuant to Board of Trustees’ action on May 14, 1991, the Board of Trustees authorized a waiver of the survey requirement in the following situations: (1) when unregistered grandfathered structures are brought under lease (regardless of total square footage of sovereignty submerged lands preempted); and (2) when existing or proposed facilities are brought under lease that preempt less than 3,000 square feet.

A survey was required for the original lease and the 1988 lease modification because those actions occurred prior to creation of the survey waiver. When the remaining unauthorized unregistered grandfathered structures were brought under lease in 1995, a survey was not required because staff interpreted the survey waiver to apply to unauthorized unregistered grandfathered structures. Unauthorized unregistered grandfathered structures are those where a lease is the appropriate authorization for the use of sovereignty submerged lands, and the riparian upland owner did not apply for the lease by April 1, 1991.

The currently proposed lease modification includes construction of new structures (docks and boat lifts). These structures do not qualify for a waiver of the survey requirement because: (1) they are new structures (not unregistered grandfathered); and (2) while they are less than 3,000 square feet, the overall leased facility exceeds 3,000 square feet. However, the lessee has requested a waiver of the survey requirement because of the anticipated expense of the survey. Although the lessee is responsible for incurring the expense of the survey, the lessee may choose to pass this expense on to the park residents pursuant to chapter 723, F.S., the Florida Mobile Home Act. The expense associated with surveys was considered by the Board of Trustees when the survey waiver was approved in 1991. To avoid the expense and delay associated with preparation of a survey for the currently proposed lease modification, DEP

required the applicant to submit a sketch and description consistent with the survey waiver requirements. A special approval condition has been included requiring submission of an acceptable survey and legal description.

An October 19, 1998, inspection showed that the applicant is in compliance with the existing lease. All fees are current through July 1999.

The DEP issued a letter to the lessee, dated October 20, 1998, stating that the proposed additional docks and boat lifts were exempt from regulatory permitting requirements.

The modified lease request was not required to be noticed because of an exemption for lease modifications pursuant to section 253.115(5)(i), F.S. However, DEP received 23 letters from Park residents expressing the following concerns: (1) the lease modification process entailed significant delays preventing them from building/modifying their docks; (2) because they own the individual structures adjacent to their mobile homes, the structures are not commercial and therefore should not be subject to the lease requirement; and (3) because of item (2), they should not have to pay lease fees. DEP sent each of these 23 residents a letter responding to these concerns. DEP also provided a follow-up letter including a preliminary draft agenda item for their review. That agenda item was also provided to State Representative Bruce Kyle’s office and the Park management to be posted in the Park for review by all Park residents.

On March 18, 1999, DEP held a three-hour public meeting with the lessee, an aide to Representative Kyle, and over 200 park residents. The residents asked numerous questions about authorizations to use sovereignty submerged land. Two options for the lessee were identified at the meeting: (1) pursue the lease modification discussed in this agenda item; or (2) await the findings of a DEP sufficient title interest working group to determine whether the individual structures could be authorized by a consent of use instead of a lease. Option (1) would allow the park residents to modify their structures in the near future, after the modified lease is issued. Option (2) would prohibit modification of the leased structures until the sufficient title interest working group findings are completed, which could entail significant time delays because of potential rulemaking. By the end of the meeting, it appeared that the lessee and the residents looked favorably on option (1), and many of the residents stated that they had a much better understanding of the costs and benefits of modifying the submerged land lease to include additional preempted area. Subsequently, DEP requested and received the lessee’s written intent to pursue option (1).

Recommendations from the DEP’s Division of Marine Resources regarding manatee protection include requiring the lessee to: (1) comply with the standard manatee protection construction conditions for all in-water construction; (2) install and maintain manatee informational displays; and (3) restrict use of the boat ramp to mobile home park residents. Items (1) and (3) will be addressed in the lease as special lease conditions. Item (2) is addressed by a special lease condition in the existing lease requiring the lessee to maintain the existing manatee informational displays throughout the term of the modified lease and any subsequent renewals.

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 compliance agreement between the DCA and the local government, an amendment has been adopted which brought the plan into compliance. The proposed action is consistent with the adopted plan as amended according to a letter received from Lee County.

COUNTY: Clay County

Lease No. 100555972

APPLICANT: Doctors Lake Marina, Inc.

Aquatic Preserve: No

Outstanding Florida Waters: No

CONSIDERATION: $10,650.45, representing the initial lease fee computed at the base rate of $0.1156 per square foot, discounted 30 percent because of the first-come, first-served nature of the facility 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 lease fee may be adjusted based on six percent of the annual rental value, pursuant to rule 18-21.011, F.A.C.

STAFF REMARKS: The applicant is proposing to expand the mooring area at an existing commercial marina and to allow for overnight occupancy of vessels at the facility. The existing 116,930 square-foot lease area will be expanded by 10,822 square feet, more or less, an increase of 9.26 percent. The proposed expansion only involves an increase in the lease boundary and does not require the construction of new in-water structures. The expanded lease area will allow for the mooring of a maximum of 10 additional boats on the waterward side of the existing marina docks increasing the total number of slips at the facility to 92.

On April 12, 1988, the Board of Trustees approved a 98-slip commercial marina preempting 116,930 square feet of sovereignty submerged lands. On December 28, 1992, Doctors Lake Marina, Inc., purchased the subject commercial facility. On March 12, 1993 under a Delegation of Authority, the existing lease was modified to increase the lease term to 25 years and was assigned to Doctors Lake Marina, Inc. The modified lease authorized fueling and sewage pumpout facilities without liveaboards. However, the applicant never installed the sewage pumpout facilities. Upon assuming ownership of the facility, Doctors Lake Marina, Inc., modified the dock design and only constructed 82 of the 98 authorized slips. The existing facility provides mooring for recreational boats ranging in size from 20 to 45 feet long. The size of vessels mooring at the facility is restricted by the existing 35-foot clearance at the U.S. Highway 17 bridge.

On November 10, 1997, Department of Environmental Protection (DEP) personnel observed boats at the facility moored outside of the existing lease area. To resolve the violations, the applicant entered into a temporary use agreement (TUA) which covered a period from June 5, 1997, to December 15, 1998. The TUA authorized the preemption of approximately 4,000 square feet of sovereignty submerged lands for boats moored outside of the existing lease area. The applicant paid $656.20 for lease fees in arrears and an administrative fine of $4,000 for a total of $4,656.20. The applicant subsequently submitted a modification request to expand the existing lease area to preempt the 4,000 square-foot area covered in the TUA and an additional 6,822 square feet along the terminal ends of the existing docks. The proposed lease expansion was less than 10 percent of the existing lease area and the number of new boat slips was less than 10 percent of the authorized number of slips. Therefore a delegation of authority was prepared pursuant to section 18-21.0051(2)(a) and (b), F.A.C., and forwarded to the DEP, Division of State Lands, to modify the existing lease. However, on March 8, 1997, the

Attorney General requested that all new leases, renewals and modifications with terms longer than 10 years be placed on the Board of Trustees’ agenda for consideration. The Division of State Lands subsequently sent the lease modification request back to the district office to prepare an agenda item.

During this process the first TUA expired. On April 23, 1999, a second TUA was executed with the lessee while the agenda item was prepared for consideration by the Board of Trustees. The lessee requested that the second TUA cover the entire 10,822 square-foot area, more or less, proposed in this modification. Due to the time delays encountered in the initial modification process, the DEP agreed to grant this request. The lessee paid $1,132.26 in lease fees for the additional area to cover a period from December 16, 1998 to April 1, 2000.

DEP wetland resource permit no. 101561492 was issued on February 23, 1989, for the current facility. The permit expired on February 23, 1994. The permit was modified on January 25, 1993, to reconfigure the marina slips and correct a typographical error in the permit description to authorize 98 boat slips. The permit prohibited liveaboards if sewage pumpout facilities were not made available at the facility. Liveaboards would be allowed if the pumpout facilities were installed.

In 1998, the applicant received a DEP Clean Vessel Act Inland Grant to install sewage pumpout facilities. The grant amount was $50,000 and required that the pumpout facilities be installed by November 1998. On July 16, 1998, the applicant was issued a DEP de minimus exemption, file no. 10-064662-001-EE, to attach a three-inch pipe and pumpout station on an existing dock at the facility. No in-water work was required to install the pumpout system. The pumpout facility has been installed. Since the pumpout facilities are available, the applicant is requesting authorization to allow liveaboard vessels at the marina. For purposes of this lease, the term "liveaboard" is defined as a vessel docked at the facility and inhabited by a person or persons for any five consecutive days or a total of 10 days within a 30-day period, but in no event shall liveaboard status exceed six months within any 12-month period, nor shall such vessels constitute a legal or primary residence. This has been addressed as a special lease condition for the modified lease, and similar language will be incorporated into all new leases, renewals, extensions, modifications or assignments as a standard lease condition.

The Bureau of Protected Species Management has recommended that one additional condition, for the protection of manatees, be included in the modified lease to distribute manatee protection zone booklets. This has been included as a special lease condition.

At the June 22, 1999 Cabinet Meeting, the Board of Trustees made a decision regarding Item 31 on the Board of Trustees’ Agenda to prohibit gambling ship "cruises to nowhere" from mooring on sovereignty submerged lands. In accordance with that decision, staff has drafted the following language to be incorporated into this lease and all new leases, renewals, extensions, modifications or assignments, as standard lease condition number 29:

GAMBLING VESSELS

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 is not in compliance. In accordance with a Compliance Agreement between the DCA and the local government, an amendment has been adopted which brought the plan into compliance. The Clay County Comprehensive Plan does not have policies which deal directly with expansion of marinas and therefore expansions are consistent with the adopted plan, according to a July 21, 1999 letter received from the Clay County Planning Department.

(See Attachment 18, Pages 1-7)

REQUEST: Consideration of an application for (1) a modification of a five-year sovereignty submerged lands lease to increase the preempted area from 57,600 square feet to 64,210 square feet for the addition of a public docking facility; and (2) a waiver of the survey requirement.

COUNTY: Pinellas

Lease No. 520960473

Application No. 52-01539953-001

APPLICANT: City of Gulfport

Aquatic Preserve: Boca Ciega Bay, Resource Protection Area 1

Manatee Area idle/slow speed/caution zone: No

Outstanding Florida Waters: Yes

CONSIDERATION: The project qualifies for a waiver of lease fees pursuant to section 18-21.011(1)(b)7, F.A.C., which states that fees may be waived for government, research, education or charitable entities that are either not-for-profit or non-profit.

STAFF REMARKS: The Board of Trustees authorized a rule amendment on September 14, 1995, to "link" the two processes of regulatory and proprietary reviews and authorizations. The rule became effective October 12, 1995. As a result of this linkage, the recommended Department of Environmental Protection (DEP) regulatory permit decision and the recommendation to the Board of Trustees on the proprietary authorization are contained in one document, the "Consolidated Notice of Intent to Issue," which is attached. The attached consolidated intent contains a recommendation for issuance of a permit under Part IV of chapter 373, F.S., and a recommendation for granting authorization to use sovereignty submerged lands under chapters 253 and 258, F.S., for the activity described therein. This recommendation is provided to the Board of Trustees pursuant to section 373.427(2), F.S. A description of the requested activity is provided in Section I, "Description of the Proposed Activity." The specific basis for recommending approval of the authorization to use

sovereignty submerged lands is contained in Section III, "Background/Basis for Issuance."

In the case of this application, however, a modification of the usual procedure was required because the proposed project elicited heightened public concern too late in the application review to allow sufficient time to schedule the application for presentation to the Board of Trustees and still meet the regulatory 90-day time clock for issuance of the regulatory permit. In order to avoid issuance of the regulatory permit by default, the DEP issued a Notice of Intent to Issue the regulatory permit on June 29, 1999. The notice of intent to issue the regulatory permit contained the following notice:

Approval by the Board of Trustees is requested only for those aspects of the activity which require authorization to use sovereignty submerged lands. If Board of Trustees approves the proprietary application, the DEP will issue the attached Consolidated Notice of Intent as required under section 373.421(2) F.S. The Consolidated Notice of Intent will, of course, include a re-issuance of the regulatory intent to issue. If the Board of Trustees denies the use of sovereignty submerged lands, a Consolidated Notice of Intent to Deny will be issued and the applicant will be notified that, notwithstanding the prior issuance of an intent to issue, the regulatory permit must be denied as a matter of law under sections 253.77 and 373.427, F. S.

A petition for an administrative hearing on the notice of intent to issue the regulatory permit has been timely filed with the DEP. Under sections 373.421(1) and (2), F.S., and rule 18-21.00401(5), F.A.C., administrative proceedings on the regulatory permit and the proprietary authorization should be conducted as a single consolidated administrative proceeding when possible. Accordingly, staff recommends that the Board of Trustees consider the proprietary request and authorize the issuance of an appropriate intent so that any administrative challenge to the proprietary intent can be consolidated with the pending administrative proceedings on the regulatory intent. Such consolidation will result in a more streamlined and efficient resolution of all issues raised by the petitioners.

The lessee is proposing to expand an existing fee-waived lease preempting 57,600 square feet of sovereignty submerged lands. Within this lease area is a 480-foot long by 12-foot wide T-shaped public fishing pier. The existing fishing pier structure preempts approximately 7,200 square feet of this total area. The existing sovereignty submerged lands lease was approved by the Board of Trustees on July 2, 1985.

The proposed expansion will require an additional preemption of 6,610 square feet of sovereignty submerged lands and will include a five-slip public docking facility. The proposed access dock will be 190 feet long by 6 feet wide; the proposed terminal platform will be 96.5 feet long by 6 feet wide with a 70-foot long by 4-foot wide step-down and three 20-foot long by 3-foot wide finger piers. This new L-shaped docking facility will be located approximately 300 feet west of the existing fishing pier, and will be for the temporary use of boaters visiting the public beach facilities located west of the proposed dock. In addition to the five slips

proposed, the facility will provide space for the parallel mooring of up to four vessels on the landward side of the L-shaped portion of the dock.

The proposed access dock will traverse sovereignty submerged lands determined to be a Resource Protection Area (RPA) 1, because of the presence of dense seagrass beds beginning approximately 65 feet south of the seawall and extending to a distance of 165 feet south of the wall. Section 18-20.019(4), F.A.C., provides that within an RPA 1 or 2, the main access dock shall be elevated a minimum of five feet above mean sea level. The terminal platform portion of the dock will terminate in an RPA 3, an area absent of any significant submerged land resources.

The lessee has requested a waiver of the survey requirement, since the project is proposed for inclusion in a fee-waived lease. Section 18-21.008(1)(a)4, F.A.C., requires a survey for all leases. However, on May 14, 1991, the Board of Trustees approved a policy which allowed the waiver of surveys for projects involving (1) unregistered grandfathered structures being brought under lease, (2) existing or proposed facilities being brought under lease that are less than 3,000 square feet; and (3) local government or Department of Transportation public easements for existing bridges constructed prior to March 27, 1982. Because the survey waiver request would be inconsistent with the rule and Board of Trustees’ policy, staff recommends denial of the request for waiver of the survey.

The expanded lease area is located within an aquatic preserve. As such, the project must be shown to be in the public interest, pursuant to 18-20.004(1)(b), F.A.C. Staff is of the opinion that the proposed project is in the public interest in light of the lessee’s offer to: (1) provide public access to sovereignty submerged lands; and (2) in addition to elevating the main access dock five feet above mean sea level, use grating material in the construction of the portion of the access dock over seagrass beds to allow 70 percent light penetration. Currently, boaters visiting the public beach facilities must pull their boats up to the shore. Staff is of the opinion that the proposed docking facility and accompanying regulations will essentially organize the use of boats. As a result, impacts to resources will be greatly reduced, and a safer environment for both swimmers and boaters provided.

The lease modification qualifies for approval via delegation of authority, but is being presented for the Board of Trustees’ consideration because the project is of heightened public concern as a result of numerous objections to the proposed expansion by local citizens. Several public hearings at the city and county levels have been held to give citizens the opportunity to express opinions both for and against the project. The Southwest District Office has received approximately 300 objections to the project, many of which concerned environmental and safety issues. These objections mainly concern impacts to seagrass beds, water quality (oil and gas pollution from increased boat traffic, boat propeller dredging, and lack of flushing), manatees, and wading birds. Other areas of concern are potential dangers boaters pose to swimmers at the public beach, the creation of navigational hazards, and the potential use of larger boats and jet skis. Also, local citizens’ concerns focused on the potential for increased congestion, aesthetics, a change in the small town atmosphere, increased number of intoxicated boaters and bar clientele, and noise pollution.

Specific conditions in the environmental resource permit address potential impacts to seagrass beds by requiring the access dock to be elevated five feet above mean sea level, a grating-type deck to be used for the portion of the access dock over the seagrass beds, and the creation of a "no combustion engine" zone in the nearshore habitat area. The concerns about potential boat propeller dredging and navigational hazards will also be offset by the "no combustion engine zone." A special lease condition also requires additional buoys and signs marking the public swimming area located to the west of the proposed dock. The lessee has essentially minimized impacts to water quality by proposing only five slips in an area previously demonstrated by

hydrographic analysis to have adequate flushing.

The DEP environmental resource permit does not authorize sewage pumpout facilities, and prohibits docking between 11:00 p.m. and 6:00 a.m., and fueling facilities. The recommendations of the Protected Species Program regarding manatees have been included in the permit as specific conditions. Protection of seagrasses has been addressed as specific conditions in the permit. A June 9, 1999 site inspection confirmed that the existing project is in compliance with the terms and conditions of the lease. The project was not required to be noticed pursuant to section 253.115, F.S., since the project represents a modification of an existing lease.

At the June 22, 1999 Cabinet Meeting, the Board of Trustees made a decision regarding Item 31 on the Board of Trustees’ Agenda to prohibit gambling ship "cruises to nowhere" from mooring on sovereignty submerged lands. In accordance with that decision, staff has drafted the following language to be incorporated into this lease and all new leases, renewals, extensions, modifications or assignments, as standard lease condition number 29:

GAMBLING VESSELS

Section 163.3194(3)(b), F.S., in summary, states that a local development approved or undertaken by a local government shall be consistent with the comprehensive plan if it meets all criteria of the plan and all other criteria enumerated by the local government. The proposed action is consistent with the adopted plan according to a letter received from the City of Gulfport.

(See Attachment 19, Pages 1-26)

CONSIDERATION: The lessee qualifies for a waiver of lease fees pursuant to chapter 99-251, L.O.F., section 67, amending section 253.77(4), F.S.; and rule 18-21.011(1)(b)7, F.A.C. The lessee qualifies for a waiver of severance fees pursuant to section 253.03(10), F.S., and rule 18-21.011(3)(c), F.A.C.

STAFF REMARKS: Approval by the Board of Trustees is requested only for those aspects of the activity which require authorization to use sovereignty submerged lands. The Board of Trustees authorized a rule amendment on September 14, 1995, to "link" the two processes of regulatory and proprietary reviews and authorizations. The rule became effective October 12, 1995. However, the applicant has requested conceptual regulatory approval of the proposed activity under rule 62-343.060, F.A.C., via issuance of a conceptual environmental resource permit. Pursuant to rules 18-21.00401 and 62-343.075, F.A.C., the subject Department of Environmental Protection (DEP) regulatory permit decision and the recommendation to the Board of Trustees on the proprietary authorization are not linked. Conceptual permits are not subject to concurrent approval in a "Consolidated Notice of Intent to Issue" and, therefore, the authorizations must be contained in two separate documents.

The applicant has requested approval by the Board of Trustees at this time due to the deadline imposed for the release of Florida Seaport Transportation and Economic Development (FSTED) funds to begin construction of the proposed facilities, and the need to reduce expenditures for development and submittal of the final construction-level project details until proprietary approval and conceptual regulatory approval have been granted. As such, the applicant requested that the DEP begin processing of the application on January 15, 1999, pursuant to section 373.4141(2), F.S., absent submittal of all the information previously requested to process the permit and sovereign submerged lands authorization. Though the applicant has not provided all of the timely requested information for issuance of a consolidated environmental resource permit allowing project construction, the DEP is authorized to issue a 15-year conceptual environmental resource permit to deepwater ports for dredging and other related activities necessary for port development, pursuant to section 403.061(39), F.S. Construction may only be initiated by the port following submittal of final design information and surveys, issuance of the DEP individual environmental resource permit, and receipt of the fully executed sovereign submerged lands authorizations.

The applicant is proposing to expand an existing public port facility by: dredging 56.65 acres (approximately 8 acres to be maintained by the port and 48.65 acres to be maintained by the federal government) of sovereignty submerged lands to widen and deepen the Port Manatee harbor, including existing exterior Berths 5 and 11, new exterior Berths 4 and 12, and a new turning basin; filling 1.01 acres of submerged lands (0.56 acres sovereign) to extend the bulkhead at Berths 4 and 12; excavating 8.53 acres of uplands to create the majority of Berth 12; and dredging 29.41 acres to enlarge the channel wideners at the entrance to the Port Manatee Channel in Hillsborough County (not state-owned submerged lands per Board of Trustees’ conveyance to the Tampa Port Authority). All areas are to be dredged to the authorized depth of the Port Manatee Channel, -40 feet MLW plus 2 feet allowable overdepth, with side slopes of 2:1 and 3:1 (h:v). A total of 2,650,730 cubic yards of sovereign material are proposed to be

hydraulically dredged from federal and port-maintained harbor areas and pumped to an existing 93-acre upland disposal site on port property. Pursuant to section 253.03(10), F.S., and rule 18-21.011(3)(c), F.A.C., a waiver of the severance fees may be granted if the materials are dredged by a public port facility, placed on public property and used for public purposes, or have no economic value.

The lease granted to the port would preempt up to a total of 56.65 acres, including the mooring areas at Berths 4, 5, 11, and 12 and the federal and port-maintained portions of the turning basin associated with these berths. Pursuant to chapter 99-251, L.O.F., section 67, amending section 253.77(4), F.S., and rule 18-21.011(1)(b)7, F.A.C., waivers of the lease fees may be granted by the Board of Trustees for public deepwater port projects. The uplands and bulkhead areas associated with Berths 4, 5, and 11 were deeded to the Manatee County Port Authority per Board of Trustees’ Dedication No. 24820 (2087-41). The Hendry Tract, a parcel between Port Manatee and the Cockroach Bay State Buffer Preserve, was recently conveyed to the port by the Hendry Corporation (Board of Trustees’ Quitclaim Deed No. 26256). The tract uplands, formed when approximately 71 acres of Redfish Creek and Little Redfish Creek tidal marsh were filled as the result of the breach of a spoil containment dike during 1968-69 construction dredging of the Port Manatee ship basin and channel, will be dredged for Berth 12 construction. Much of the remaining uplands and wetlands on the tract will be the site of a proposed container cargo storage area. Upland infrastructure and stormwater facility construction activities will be reviewed and authorized by separate application and DEP permitting action upon completion of project design. Little Redfish Creek mangrove, saltmarsh, and seagrass restoration will be conducted on degraded, silted-in wetlands on the Hendry Tract and an adjacent northern section of the Cockroach Bay State Buffer Preserve as mitigation for the direct, secondary, and cumulative project impacts.

Project dredging and filling will result in impacts to approximately: 12.70 acres of seagrass beds, 29.50 acres of shallow unvegetated bay bottom habitat (less than -6 ft. MLW), 44.06 acres of deeper unvegetated bay bottom habitat (greater than -6 ft. MLW), and 1.84 acres of intertidal mangrove and saltmarsh habitat. The applicant proposes to offset these impacts by performing the following mitigation and public interest activities: transplanting the 12.70 acres of seagrass salvaged from impact areas into 25.84 acres of created/restored/enhanced seagrass habitat in Tampa Bay (up front mitigation requiring success prior to construction); dredging a total of 15.27 acres of wetland to remove silt and open up intertidal creeks within degraded mangrove and saltmarsh habitat to enhance the spoil island mangroves and restore the Little Redfish Creek tidal marsh, thereby enhancing/restoring a total of 116.36 acres of combined mangrove, saltmarsh, and shallow bay bottom habitat; removing invasive vegetation and grading 49.34 acres of the spoil island to create seabird nesting habitat; creating a 395-acre vessel idle-speed zone for the protection of manatees and seagrass beds; and donating two parcels (13 acres; see the attached Savage and FP&L property sketches) of previously state-owned submerged lands in exchange for the 0.56-acre area filled at Berth 12. The resource protection, restoration, enhancement, and management activities proposed on the 66-acre spoil island and within the 395-acre manatee/seagrass protection idle-speed zone will be included in a management agreement area.

The proposed project is not located in an aquatic preserve; however, it will be adjacent to two aquatic preserves and a state buffer preserve, and the proposed fill for berth construction will result in the sale/exchange of sovereignty submerged lands. Staff is of the opinion that the proposed conveyance is in the public interest in light of the following: this land is proposed to be permanently filled for the operation of a public port facility; and the mitigation and public interest activities proposed by the applicant have the potential to offset the loss of estuarine habitat resulting from the project.

Site inspections were conducted by DEP staff on May 30 and August 14, 1995; June 6, 1996; and April 3 and August 7, 16 and 27, 1998, to verify existing site conditions. There are no

non-water dependent structures on site. The Manatee County Port Authority has been cited by the U.S. Environmental Protection Agency (EPA) and DEP for violations of federal and state pollution control regulations (sections 376.041 and 403.161, F.S.) as a result of discharges of dolomite, limestone, fertilizer, and other bulk products into adjacent waters of the state. The applicant has indicated that the proposed expansion is for a container cargo handling facility and not for additional bulk cargo products, which are the subject of the unresolved violations.

The project was not required to be noticed, as there are no adjacent private landowners within 500 feet of the proposed lease area; however, letters of support have been received from businesses located in Manatee County. Letters objecting to the proposed project impacts and mitigation plan features have been received from the DEP’s Southwest District Office, the Division of Marine Resources (Protected Species Management, Florida Marine Research Institute, and Aquatic Preserves programs), the Fish and Wildlife Conservation Commission, the National Marine Fisheries Service, the U.S. Fish and Wildlife Service, ManaSota-88, and Tampa BayWatch. Since no construction is authorized by the proposed conceptual permit, the relevant resource protection conditions are not included therein. The recommendations of and permit conditions proposed by the above commenting DEP program areas, state and federal agencies, and interested third parties will be addressed in the DEP conceptual environmental resource permit and subsequent individual environmental resource permits for construction of the port facilities.

At the June 22, 1999 Cabinet Meeting, the Board of Trustees made a decision regarding Item 31 on the Board of Trustees' Agenda to prohibit gambling ship "cruises to nowhere" from mooring on sovereignty submerged lands. In accordance with that decision, staff has drafted the following language to be incorporated into this lease and all new leases, renewals, extensions, modifications or assignments, as a standard lease condition:

GAMBLING VESSELS

A local government comprehensive plan has been adopted for this area pursuant to section 163.3167, F.S. The Department of Community Affairs (DCA) determined that the amended plan is in compliance. The proposed action is consistent with the adopted plan as amended according to a letter from Manatee County dated July 15, 1998, and a letter from the DCA, dated February 1, 1999.

(See Attachment 20, Pages 1-21)