Title
University House One Year Development Agreement (B)
Explanation
As has been previously discussed, by both the City Commission and the CRA, the University House project was approved for a 15 year tax increment reimbursement for a student housing project located in the Fifth Avenue Redevelopment Area on the corner of NW 13th Street and NW 7 Avenue. University House has been adversely affected by the Florida Supreme Court's decision; know as Strand, which forbid redevelopment agencies from entering into multi-year development agreements. Due to this action, CRA Staff and the CRA Attorneys' have been working with the representatives of the University House project to draft a one year development agreement while the court rehears the Strand decision
In order to bring the CRA and the developer closer to the original agreement, staff recommends authorizing the Executive Director to enter into an agreement with the Developer for one year, under which the CRA would be committed to consider entering into additional one year agreements. However the CRA would not be obligated to enter into such agreements i.e. would not have a multi-year obligation within the meaning of the current Strand decision. In the event Strand is revised to allow multi-year agreements, the CRA could then reconsider entering into a multi-year agreement with University House.
Fiscal Note
The CRA has budgeted $30,000 from account # 613-790-W536-W65-5520 in FY 2009 FAPS Budget in anticipation of the estimated TIF Payment. This is CRA Project # FAPS-06-RT-2006.
Recommendation
CRA Executive Director to the CRA: Authorize the Executive Director to enter into an agreement with the Developer for one year, under which the CRA would be committed to consider entering into additional one year agreements.