TO: Mayor and Commissioners
FROM: John Morgan, Director Environmental Services
THROUGH: Donald B. Cooper, City Manager
DATE: May 17, 2016
Title
LEASE AGREEMENT & ADDENDUM FOR SIDEWALK CAFES ON ATLANTIC AVENUE WITHIN THE FLORIDA DEPARTMENT OF TRANSPORTATION (FDOT) RIGHT-OF-WAY
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Recommended Action:
Recommendation
Motion to approve the Lease Agreement and Addendum for sidewalk cafes on Atlantic Avenue within the Florida Department of Transportation's (FDOT) right-of-way with a one time payment of $7,950 for the appraisal fee incurred by the FDOT, and not to exceed annual payments of $14,400.00 for the term of the agreement.
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Background:
The City currently owns and maintains the section of Atlantic Avenue from the east side of Swinton Avenue to the west side of NE/SE 5th Avenue. In late 2014, the Florida Department of Transportation (FDOT) met with staff to discuss their intent to charge the City fees which prompted discussions relating to the future ownership of Atlantic Avenue. FDOT expressed their intent to levy fees within their right-of-way (ROW) pertaining to: 1) Valet parking spaces, 2) Sidewalk cafes, and 3) Metered parking spaces.
Subsequent meetings with the FDOT resulted in staff considering the idea of owning the east portion of Atlantic Avenue from NE/SE 5th Avenue to SR AIA. In response , FDOT advised Staff that areas west of Swinton Avenue to NW/SW 12th Avenue would also need to be included in such an arrangement. A primary factor in consideration of this request is FDOT's reluctance to permit paver brick crosswalks in their ROW; which prevents the creation of the City's standardized look throughout the downtown corridor.
On September 16, 2015, Staff concluded that the ownership of Atlantic Avenue, as described above, would be a financial burden to the City, therefore decided not to move forward with the ownership of Atlantic Avenue from FDOT. FDOT was subsequently notified of Staff's decision not to move forward with the ownership of Atlantic Avenue.
Hence, in February 2016, FDOT notified the City of their intent to require the City to enter into a lease agreement for the use of their ROW along Atlantic Avenue and A1A; this would impact any activities such as sidewalk cafes and valet parking queues. The lease has a term limit of five years beginning 2/01/16 and ending 1/31/21; with the option of renewal for an additional five year period. Additionally, the City is required to submit an annual report, as outlined in the Addendum, by February 1st of each year to the FDOT.
City Attorney Review:
Approved as to form and legal sufficiency.
Finance Department Review:
Finance recommends approval.
Funding Source:
Funding in the amount of $14,400 is available from Account #001-3113-541-44.90 (yearly lease agreement for 5 years).
Funding in the amount of $ 7,950 is available from Account #001-3113-541-44.90 (one time payment).