|REVISED - October 13, 2020 - Regular Meeting|
Agenda Item #58
1:30 P.M. TIME CERTAIN - Execution of Contract for Sale and Purchase for the Central County Complex Project Land Acquisition and Related Improvements
Contact and/or Presenter Information
Mike Gore, Director, Utilities Department, Extension 5323
Sheriff Rick Wells, Manatee County Sheriff's Office
John Osborne, Deputy County Administrator, Extension 6825
Jan Brewer, Director, Financial Management Department, Extension 3726
- Execution of Contract for Sale and Purchase with Musgrave Real Estate Holdings, Limited Partnership for the purpose of the establishment of the Central County Complex, to provide facilities for public works services, utilities services, and law enforcement services in the amount of $30,185,625.00; and
- Execution of Cooperative Agreement with Musgrave Real Estate Holdings, Limited Partnership. The agreement will be held in escrow by Property Acquisition until closing at which time, seller will execute; and
- Adoption of Resolution R-20-151 - Governmental Reimbursement Resolution establishing the County's intent to reimburse capital expenditures related to the Central County Complex Project Land Acquisition, Road Access and related improvements; and
- Adoption of Resolution R-20-162 to establish an Interfund Loan from the General fund to the Infrastructure-Public Safety & Law Enforcement Capital Projects fund for the land purchase for the Manatee County Sheriff's office Fleet Facility Project; and
- Adoption of Budget Resolution B-21-012 amending the annual budget for Manatee County, FL, for fiscal year 2021.
- Chapter 125, Florida Statutes, Section 125.01 and Internal Revenue Code of 1986, Section 1.150-2(e) of the regulations
- Manatee County Utilities Department, Public Works Department, and Sheriff's Office request Board of County Commissioners' approval of the attached Contract for Sale and Purchase and Cooperative Agreement for the Central County Complex land purchase at State Road 64 and Lena Road to serve the growing eastern County population. The Cooperative Agreement regarding the Central County Complex with Musgrave Real Estate Holdings, Limited Partnership (MREH) memorializes the obligations and responsibilities of the parties.
- The Central County Complex will provide multiple efficiencies to serve the extensive eastern County population growth for a long range plan of uses for the next 30 years and beyond for the investing Departments and Sheriff's Office. All are experiencing aging facilities and have need for their replacement and larger facilities more centrally located in the county. Due to the increased growth in the Eastern and Northeastern portions of Manatee County, the Departments and Sheriff's Office have experienced increased operating cost and reductions in level of service without additional staff and equipment.
- Based on current traffic data, the Central County Complex location will improve response time and travel time for Utilities and Public Works field crews up to 75% depending on the destination. The Departments will recognize longer equipment cycles for vehicle replacement, decreased maintenance costs and more time at the jobsite. The reduction in travel times will also lessen the need for additional staff and fleet vehicles proportionately.
- Manatee County Government serves as the facilities maintenance function for County departments and the Constitutional Officers, including the Sheriff. Co-locating these facilities will reduce transit time and increase efficiencies of those related functions.
- Master planning the parcel will allow more efficient engineering and better budget estimates for the planned buildout. Large savings will be recognized by the three investing entities co-locating and sharing in the development of one parcel of land and its supporting infrastructure. Shared improvements will include road access, storm water retention and conveyance infrastructure, sanitary sewer inclusive of gravity lines, force mains, and lift stations, and potable water mains adequate for service and fire protection across the complex.
- The Sheriff's Office planned uses include a district office, evidence/records storage, fleet garage, and vehicle/equipment storage. The district office is expected to serve as their control center and shelter in the event of hurricanes given the limited space in the Public Safety Center/EOC. The new fleet garage will include necessary upgrades and additional space. The property is expected to accommodate approximately 100 cruisers at any given time.
- The Public Works Department planned uses include a field operations maintenance facility that will accommodate field crews, road maintenance materials, equipment, and a warehouse. Public Works may replace their aging and constrained 26th Avenue Fleet Maintenance facility with one located on this property in the future.
- The Utilities Department planned uses include a field operations facility that will accommodate water distribution, meter readers, wastewater collection, and underground locator crews, equipment and materials storage, and a warehouse. The Department also foresees an enclosed Solid Waste transfer station in the Southeastern sector of the property, which is necessary for the closing of the Lena Road Landfill.
- The Utilities Department recognizes the benefit of the property as it provides a buffer to current landfilling operations at Lena Road.
- Without this Property earmarked for a future enclosed transfer station the Department would expect to purchase another parcel of land in the future for waste transfer to an undetermined future landfill site after Lena closes. A transfer station at this location will allow continued use of the current landfill scales resulting in decreased future development cost of another transfer station. The transfer station will allow for the total buildout of the landfill's last permitted cell which recognizes a significant cost savings for airspace.
- The site is well-suited for the intense uses proposed by the County given the nature of the area being more industrial-oriented.
- The Project Parcel is approximately 160.99 acres presently owned by Musgrave Real Estate Holdings, Limited Partnership (MREH) and the County wishes to acquire the "MREH" property for the Central County Complex.
- The cost to acquire this parcel is $30,185,625.00 was negotiated and agreed upon.
- The cost of the site for the Central County Complex Project is comprised of three components which are as follows: (1) the acquisition of 160.99 Acres of Land on SR64 and Lena Road for a total cost of $30,485,625.00 inclusive of closing costs, (2) construction of a road access for $1,575,000 and (3) associated utility infrastructure costs for the road of $525,000. The cost is to be paid from reserves within the Utility-Water and Sewer Operating fund, the Infrastructure Sales Tax Project for Manatee County Sheriff’s Office Fleet Facility, and the Stabilization reserve in the General Fund. The cost will be divided between Governmental (CB&A) and the Utility System, at approximately $16.8M and $15.8M. The General Fund Stabilization will provide $16M which consists of an interfund loan of $3,000,000 to the Infrastructure Sales Tax Public Safety Project for the Fleet Facility and $13.8M for the General Government. This land is earmarked for the Central County Complex Project, which will house elements of the Utilities Department, Public Works Department, and Manatee County Sheriff's Office.
- The Board of County Commissioners was presented with three suggested alternatives for financing which include:
- Option 1 – Use of reserves for the payment for Utilities and General Government. Approval of the Board to move forward with Bond issuance for the General Government for $16.8M which would occur in December and Utilities will re-evaluate during the CIP Process for Budget FY22.
- Option 2 – Use of Reserve for payment for Utilities and General Government. Re-evaluation of bond issuance to be brought to the Board in the February 2021 Pre-Budget Worksession.
- Option 3 – Use of reserves for payment of Utilities and General Government. Re-evaluation of bond issuance to be discussed with Board during the FY22 Budget Process.
- Recommendation is for the Board to use Option 2 which uses the reserves for payment for Utilities and General Government respectively and re-evaluation of the bond issuance during the February 2021 Pre-Budget Worksession.
- On a future agenda, a second Contract for Sale and Purchase for an additional 10,000 square feet of land improved with a cell phone tower that is subject to a lease will be presented to the Board of County Commissioners for consideration.
- All documents for this real estate transaction will be held in escrow until closing. The expected closing will be on or before December 16, 2020, then all conveyance documents will be recorded in Official Records of Manatee County.
County Attorney Review
Formal Written Review (Opinion memo must be attached)
Explanation of Other
Instructions to Board Records
Please email a copy of the executed contract, cooperative agreement, resolutions, and approved agenda item to:
Tim Cristello at Tim.Cristello@mymanatee.org
Mike Gore at Mike.Gore@mymanatee.org
Heather Dilldine at Heather.Dilldine@mymanatee.org
William Clague, Chief Assistant County Attorney, at William.Clague@mymanatee.org
Caleb Grimes at firstname.lastname@example.org
Please email a copy of the Budget Resolution to email@example.com
Please return the original Contract for Sale and Purchase, Cooperative Agreement, and Resolutions to Tim Cristello, Senior Real Property Specialist, Property Acquisition Division, 1112 Manatee Avenue West, Suite 800, Bradenton, Florida 34205.
Cost and Funds Source Account Number and Name
Settlement Costs $30,485,625.00. Funding Source Account number to be determined.
Amount and Frequency of Recurring Costs
Attachment: Contract for Sale and Purchase for Central County Complex.pdf
Attachment: Cooperative Agreement regarding Central County Complex.pdf
Attachment: Resolution R-20-151 Reimbursement Resolution.pdf
Attachment: Resolution R-20-162 Interfund Loan MSO Fleet Facility Land Purchase.pdf
Attachment: B-21-012 Central County Complex Project and Land Acquisition.pdf
Attachment: Response Email to CAO Matter No 2020--0045.pdf
Attachment: Location Map.pdf
Attachment: Proposed Central Complex 101320BCC.pdf