This time the issue was the withdrawal of the request that the hotel property be designated a Community Redevelopment Area. The prospective new owners of the hotel wanted the CRA to be able to get tax money to help them finance the refurbishment of the property. But after the town?s Finance Board failed to support the request, the new owners withdrew it.
In a letter to the commission, Richard Heisenbottle, the leader of the group intending to purchase the property, said it was apparent that the citizens and committee members just didn?t understand the proposal.
?We faced similar concerns and misunderstandings the previous week when the matter came before the Pinellas County Commission,? he wrote. ?It seems that few are listening and that this will be an uphill battle all the way.?
Later in the meeting Clearwater consultant Ed Hooper, speaking on behalf of Heisenbottle and his group, said the real reason for the withdrawal of the CRA request was because the new owners were convinced the county commission would have never passed the request for the CRA.
?The reality is the county commission does not grant CRAs to non-downtown areas, and frown upon CRAs lasting longer than 10 years,? said Hooper. ?Our request was for up to 40 years. We are convinced they would have denied it.?
Now, they want an historical property tax exemption for 10 years. The complication with that is Belleair only grants such exemptions for residential properties, not commercial properties. The prospective owners have asked that the matter be discussed at the Aug. 7 commission meeting.
Mayor Gary Katica, impatience evident in his voice, suggested the entire issue has gone on far too long.
?I have sat here for 12 years and in that time we have had to cut staff and raise taxes and we have been carrying that hotel,? he said. ?There are five or 10 houses in Belleair that pay more taxes than the hotel. The hotel might not be done until 2015; can we afford to carry it when we don?t know if we?ll have anything in the end??
The mayor also wanted to make sure that the Finance Board had an opportunity to look over the proposed tax exemption before the commission dealt with it. Town Manager Micah Maxwell indicated that would be arranged, but with a September deadline looming for the new owners, time will be tight.
Katica replied, ?We?ll do it at our pace.?
Several residents from both sides of the issue spoke, some urging the commission to act quickly, others suggesting that due diligence be taken before any decisions are made.
Underlying the entire discussion was the fact that the owners had not produced their financial information or outlined specifically how they intended to finance the $200 million project. Time and time again Katica and Commissioner Kevin Piccarreto referred to the lack of compliance by the new owners when asked to produce their financials.
To Hooper Katica said, ?Show us the numbers!? To which Hooper replied; ?They?re coming, they?re coming.?
It appears the finance board will have to hold a special meeting to deal with the issue and it is unlikely the commission will be able to deal with it before its Aug. 21 meeting.
Increased taxes and fees
The commission unanimously agreed to raise the tax on residents? electric bills and to impose a storm water fee. Residents will see a 4.6 percent increase in the tax on their electric bills. They will be charged at least $11.92 a month for the storm water fee. Most residents will have to pay more than that, based on the size of their property.
The money is designed to raise enough to handle a $10 million loan that the town is getting to pay for upgrades in infrastructure throughout the community. Commissioner Piccarreto said it appeared the need to raise taxes and fees was inevitable.
?Reluctantly I support this,? he said.
Commissioners also approved getting that loan from the BB&T bank. It is for a 20-year period at 3.61 percent interest.
Tentative millage set
Commissioners also approved a preliminary millage rate for the coming year. Because of a drop in property values of nearly 3 percent, the millage rate in the year ahead has been set at 6.1909, up from 5.9432 this year. Town Manager Maxwell said it might be possible to lower the preliminary rate once the budget season draws closer. The commission can lower the millage rate, but cannot increase it from what they agreed upon.
Commission approvals
The commission unanimously approved the $3.1 million upgrade of roads and infrastructure in the Eagles Nest neighborhood. Several streets in the neighborhood will be repaved and underlying pipes will be upgraded. Public Works Director Perry Lopez says this is the first of many such projects throughout the town.
The commission also approved spending nearly $60,000 on a new playground next to the Dimmitt Community Center. In March, the existing playground was wiped out by an errant driver who slammed into it. Although children were in the playground when it happened, no one was hurt. The driver was charged with careless driving. Of the $60,000, just over $26,000 came from the insurance claim.
Source: http://www.tbnweekly.com/pubs/belleair_bee/content_articles/071812_bee-01.txt
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