|Manatee County Government Administrative Center Honorable Patricia M. Glass Chambers, First Floor 9:00 a.m. - November 19, 2019|
Agenda Item #47
Florida Department of Environmental Protection (FDEP) and US Army Corps of Engineers Agreements - Coquina Beach and Central Beach Renourishments
Contact and/or Presenter Information
Charlie Hunsicker, Director, X6001
Authorization for the Chairman of the Board to execute Florida Department of Environmental Protection Agreements 19ME2 and 20ME2 for State share of cost for renourishment of Coquina Beach due to Hurricanes Hermine and Irma; and Florida Department of Environmental Protection Agreement 20ME1 for State share of cost for renourishment of the Central Beach;
Authorization for the County Administrator to execute the Department of the Army (US Army Corps of Engineers) Project Partnership Agreement for renourishment of the Central Beach and for additional placement of sand on Coquina Beach;
Adoption of Budget Resolution B-20-016 amending the Annual Budget of Manatee County, FL, for FY 2020; and
Adoption of Resolution R-20-003 approving interfund loan from the General Fund (001) to the Beach Erosion Control Capital Projects Fund (312).
Florida Statute 125
Manatee County is partnering with the Army Corps of Engineers as the non-federal sponsor to conduct beach renourishment projects on Anna Maria Island beginning in Spring 2020. The first project consists of a federal designed and managed project within the federally authorized beaches between 78th Street North on Holmes Beach to approximately 5th Street South in Bradenton Beach. This is referred to as the "Central Beach Project." Funding for this project is comprised of a 59.05% federal share, a 20.475% state share, and a 20.475% local share. The second project consists of renourishment beginning where the federally authorized project leaves off at 5th Street South in Bradenton Beach and continues south to Longboat Key, referred to as the "Coquina Beach Project." This project will be funded by a 50/50 State and County share. The source of funding for the County share in both cases is the Tourist Development Tax.
The Army Corps of Engineers (ACOE) has agreed to conduct both the federally authorized Central Beach project and the County/State Coquina project under authority which allows local sponsors to request “betterments” or additions to project scope at 100% non-federal expense. Conducting both projects in sequence saves Manatee County and the State of Florida significant expenses for a second contractor mobilization if the projects were performed separately at different times. Because of the heavy equipment and ocean-going vessels utilized for beach renourishment work, these mobilization expenses can exceed five million dollars.
Federal funds to conduct the Central Beach renourishment project were provided in response to many local sponsor needs across several states along the Atlantic seaboard and Gulf of Mexico. These areas experienced several beach erosions from hurricanes such as Irma in 2017. Many local communities affected did not or do not have the financial capability to fund the full federal share with financing or lending options available to them. With this in mind, Congress wrote a special provision into the Hurricane Irma Supplemental Appropriation Bill which allows the local sponsor to obtain an interest-bearing loan provision with up to 30 years for repayment of the non-federal share. In Manatee County’s particular instance, we rely on the State of Florida appropriations to support roughly 50% of the non-federal share on a reimbursement basis, approved on a year-to-year budget with legislative appropriation. Current Florida law allows up to three years from the completion of a project to secure full reimbursement of the state share in a competitive grant appropriations process. Because of the financial and political uncertainty of extending the ability to obtain state share funding with what could essentially be up to a 30-year structured payment and reimbursement proposal, it is not recommended that Manatee County accept the option of up to a 30 year financial plan offered in the Hurricane Irma Supplemental Funding Bill. The Corps had asked us in our letter of financial capability to affirmatively accept or reject a 30-year financing option. A written letter of commitment was signed by the Board Chairman on October 8, 2019, stating that Manatee County does not intend to exercise the 30-year non-federal/state payment option.
Federal law requires that the non-federal partner (Manatee County) provide, in advance, the full non-federal cost before the project can proceed, executed through a Project Participation Agreement (PPA) for the Central Beach federally authorized project and the Coquina Beach Betterment Project. The PPA for the Central Beach project states in Article II.b. Obligations of the Parties that,"...the Non-Federal Sponsor, in accordance with Article IV.C., must provide funds sufficient to cover the costs of such work in advance of the Government performing the work." The non-federal share amount to be advanced to the Army Corps of Engineers is $15,084,309 ($8,909,309 for the Central Beach Project and $6,175,000 for the Coquina Beach additional sand placement project).
Florida Department of Environmental Protection (FDEP) Agreement 20ME1 provides for the State share of cost for the Army Corps of Engineers Central Beach Project. Manatee County has submitted through the FDEP application process a request for Florida Legislative appropriations in the amount of approximately $3.7 million to reimburse the County for the State share of the Coquina beach portion of the project. While statewide competition for these funds on a point scored priority list is great, we believe Manatee County will be in a good position to receive the requested appropriation in the State's FY 20/21 final approved budget.
In addition to, but separate from the Army Corps project for the Central Beach and Coquina Beach renourishment, Coquina Beach suffered severe storm damage from the cumulative effects of Hurricanes Hermine and Irma in 2016 and 2017. In addition to the Army Corps support for renourishment along Anna Maria Island Central Beach and Coquina Beach, the County made separate application for FEMA payment to renourish these hurricane storm erosion losses on Coquina Beach.
Hurricane Hermine, on September 28, 2016, and Hurricane Irma, on September 10, 2017, were declared by the State of Florida Division of Emergency Management as eligible for FEMA funding to replace only the sand lost during those two storms. Federal funding in the amount of $3,788,367 through FEMA for the Federal share of costs for renourishment of Coquina Beach due to the storms has been obligated to complete this project. Florida Department of Environmental Protection Agreements 19ME2 and 20ME2 provide the State share of cost for the FEMA storm damage to Coquina Beach.
Adoption of Budget Resolution B-20-016 to fund both the Army Corps and the FEMA storm repair projects is requested. This Budget Amendment adjusts the FY20-24 CIP.
County Attorney Review
Formal Written Review (Opinion memo must be attached)
Explanation of Other
Instructions to Board Records
Return four originals of the Department of Army agreement and one original of the FDEP agreements to Jayne Roberts, Parks & Natural Resources, for transmittal to the US Army Corps and FDEP for their signatures.
Cost and Funds Source Account Number and Name
$3,788,367-FEMA, $7,386,359-FDEP, $7,975,037-Beach Erosion Control Capital Projects Fund Reserves, $3,368,253 Beach Erosion Control Fund Reserves and $4,024,594 Interfund Loan from General Fund Reserves
Amount and Frequency of Recurring Costs
$26,542,610 - one time
Attachment: 19ME2-Anna Maria Island Beach - Hurricane Irma Recovery Project.pdf
Attachment: 20ME1_Anna Maria Island Shore Protection Project.pdf
Attachment: 20ME2_Anna Maria Island Beach Nourishment.pdf
Attachment: Department of the Army Project Partnership Agreement .pdf
Attachment: County Attorney comments.pdf
Attachment: B-20-016 Beach Projects FEMA USACE.pdf
Attachment: R-20-003 Interfund Loan - Beach Erosion Capital Projects Fund.pdf