TO: CRA Board of Commissioners
FROM: Christine Tibbs, Assistant Director
THROUGH: Renée A. Jadusingh, Esq., Executive Director
DATE: July 16, 2025
Title
SITE DEVELOPMENT FUNDING ASSISTANCE - HARVEY INSURANCE SOLUTIONS, INC (20/26 NW 6th AVENUE) FOR AN AMOUNT NOT TO EXCEED $41,238.71
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Recommended Action:
Recommendation
Approve a Site Development Funding Assistance Agreement with Harvey Insurance Solutions, Inc. for the proposed improvement project located at 20/26 NW 6th Avenue, Unit #5, CRA sub-area #3, for an amount not to exceed $41,238.71, and authorize the CRA Board Chair to execute any and all related documents in a form legally acceptable to the CRA Legal Counsel.
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Background:
Harvey Insurance Solutions, Inc., owned by Mr. Christopher Harvey (Owner), is requesting funding assistance under the Site Development Funding Assistance Program to assist with the commercial project improvements located at 20/26 NW 6th Avenue, Unit #5 (Building) for an amount not to exceed Forty-One Thousand, Two Hundred and Thirty-Eight and 71/100 Dollars ($41,238.71.) The Building is owned by Hatcher Construction and Development, Inc., and was developed through a Ground Lease Agreement with the CRA within CRA sub-area #3, and the Owner is leasing a suite within the Building to provide insurance related services to the general public.
At the February 27, 2024, CRA Board Meeting, the CRA Board approved a Project Consultancy & Design Services Funding Assistance Agreement (Level 2 Design Services) for the design of the interior of the commercial office space that maximizes the available square footage, allowing the most efficient and flexible layout for a variety of functions necessary to provide the services to be offered by the Owner.
At this time, the Owner has received a building permit from the City of Delray Beach allowing him to move forward with the full interior build out and Site Development Funding Assistance is being requested to assist with the cost of the improvements, which includes office space, break room, bath room, painting, lighting, and the necessary mechanical, electrical, and plumbing work. If approved, it is anticipated that the build out will be completed by December 2025.
All estimated eligible expenses are listed in the attached Funding Detail Sheet and are in alignment with the Site Development Funding Assistance Program guidelines. The recommended funding assistance is 75% of the estimated eligible expenses - see below.
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TABLE 1 |
AMOUNT |
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|
|
|
Estimated eligible expenses |
$ 54,984.95 |
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|
|
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Recommended funding assistance (up to) |
$ 41,238.71 |
If approved, funding would be disbursed accordingly:
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TABLE 2AMOUNT |
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Maximum Progress Payment (75% of award) |
$ 30,929.03 |
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Withheld Payment (25% of award) |
$ 10,309.68 |
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|
|
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Total Maximum Award |
$ 41,238.71 |
As stated in the Funding Program guidelines, no more than 75% of the approved award may be disbursed prior to the receipt of a Temporary Certificate of Occupancy, Certificate of Occupancy, or receipt of all necessary and satisfactory inspection notices. Additionally, the remaining 25% of funding withheld will not be released until CRA staff verifies that there are no active liens or code enforcement violations on the property, and that the improvements have been sufficiently completed to the satisfaction of the terms of the approved award. Funds may be disbursed to the applicant by reimbursement or may be paid directly to contractors/vendors for eligible and pre-approved expenses.
Section 163.340(9), Florida Statutes, provides that “[c]ommunity redevelopment” or “redevelopment” means undertakings, activities, or projects of a county, municipality, or community redevelopment agency in a community redevelopment area for the elimination and prevention of the development or spread of slums and blight, or for the reduction or prevention of crime, or for the provision of affordable housing, whether for rent or for sale, to residents of low or moderate income, including the elderly, and may include slum clearance and redevelopment in a community redevelopment area or rehabilitation and revitalization of coastal resort and tourist areas that are deteriorating and economically distressed, or rehabilitation or conservation in a community redevelopment area, or any combination or part thereof, in accordance with a community redevelopment plan and may include the preparation of such a plan.
Additionally, section 163.370(2)(c)(5), Florida Statutes, provides that the CRA shall have all the powers necessary or convenient to carry out and effectuate community redevelopment and related activities within the community redevelopment area, which may include carrying out plans for a program of voluntary or compulsory repair and rehabilitation of buildings or other improvements in accordance with the community redevelopment plan.
Moreover, the Delray Beach CRA Community Redevelopment Plan (“Redevelopment Plan”), Part Four, Section II(c)(#3.2), p. 95, states that the CRA will allocate funds annually to provide limited financial assistance for privately funded projects through the Site Development Assistance Program which acts as an incentive for site development improvement within the CRA District, including exterior building upgrades and building expansions.
Accordingly, a Site Development Funding Assistance award to Harvey Insurance Solutions, Inc. will help further advance the CRA’s mission by eliminating slum and blight and supporting a commercial improvement project that will result in the activation of a new commercial space in the West Atlantic Avenue area; enhancement of the non-residential tax base of the CRA District; and increase in business and pedestrian activity in a priority area of the CRA District, sub area #3.
CRA Staff is requesting approval of the Site Development Funding Assistance Agreement with Harvey Insurance Solutions, Inc. in an amount not to exceed $41,238.71 by the CRA Board and authorize the CRA Board Chair to execute any and all related documents in a form legally acceptable to the CRA Legal Counsel.
Attachments: Exhibit A - Location Map; Exhibit B - Photos of Existing Conditions; Exhibit C - Approved Plans; Exhibit D - Funding Assistance Detail Sheet; Exhibit E - Application Form; Exhibit F - Business Plan & Financial Projections; Exhibit G - Site Development Assistance Program Guidelines; Exhibit H - Funding Assistance Agreement
CRA Attorney Review:
The CRA Legal Counsel has reviewed the Funding Assistance Agreement for legal sufficiency and form and determined it to be acceptable.
Funding Source/Financial Impact:
Funding has been allocated from CRA Grant Program GL #7313.
Overall need within the Community Redevelopment Area:
Removal of Slum and Blight
Downtown Housing
Land Use
Infrastructure
Economic Development
Recreation and Cultural Facilities
Affordable Housing