Village Council Workshop

Village of Wellington 12300 Forest Hill Blvd Wellington, FL 33414 Action Summary - Final Monday, June 21, 2021 4:00 PM Village Hall - Conference Rooms 1E & 1F Village Council Workshop Anne Gerwig, Mayor John T. McGovern, Vice Mayor Michael Drahos, Councilman Michael Napoleone, Councilman Tanya Siskind, Councilwoman Village Council Workshop Action Summary - Final June 21, 2021 1. CALL TO ORDER Mayor Gerwig called the meeting to order at 4:00 p.m. Council Members in Attendance: Anne Gerwig, Mayor; John McGovern, Vice Mayor; Michael Drahos, Councilman; Michael Napoleone, Councilman; and Tanya Siskind, Councilwoman. 2. PLEDGE OF ALLEGIANCE Mayor Gerwig led the Pledge of Allegiance. 3. REVIEW OF COUNCIL AGENDA Mr. Barnes introduced the agenda for the June 22, 2021, Regular Council Meeting for review. A. 21-4481 PALM BEACH COUNTY SHERIFF’S OFFICE DISTRICT 8 WELLINGTON FY20 ANNUAL REPORT PRESENTATION Mr. Barnes introduced the item. He said that Captain Rolando Silva Will Present the Palm Beach County Sheriff's Office District 8 Wellington FY20 Annual Report to Council. B. 21-4515 MINUTES OF THE REGULAR WELLINGTON COUNCIL MEETING OF JUNE 8, 2021 Mr. Barnes introduced the item. He said that this is the Council Approval of the Minutes of the Regular Wellington Council Meeting of June 8, 2021. He asked Council to let them know if there were any comments and they would make sure they are incorporated in the minutes. C. 20-4247 AUTHORIZATION TO AWARD MULTIPLE CONTRACTS FOR THE SUPPLY AND DELIVERY OF ROAD BASE AND ASPHALT MILLINGS Mr. Barnes introduced the item. He said that this is the Authorization to Award Contracts, to D.S. Eakins Construction Corporation and Palm Beach Aggregates, LLC. for the Supply and Delivery of Road Base and Asphalt Millings in the Amount of Approximately $150,000 Annually. Mr. De La Vega explained the item. D. 20-4248 AUTHORIZATION TO ENTER INTO NEW REVENUE GENERATING CONTRACT WITH WHAT'S COOKING INC. DBA GOURMET FOOD TRUCK EXPO; CONTINUE UTILIZING REVENUE GENERATING CONTRACT WITH WESTWAY TOWING, INC./PRIORITY TOWING, INC. Village of Wellington Page 1 Village Council Workshop Action Summary - Final June 21, 2021 AND ENTER INTO SPONSORSHIP AGREEMENT WITH MBO PB, LLC (FORMERLY KNOWN AS SIMON ORTHODONTICS) Mr. Barnes introduced the item. He said that this is the Authorization to Enter into a New Revenue Generating Contract with What's Cooking Inc. DBA Gourmet Truck Expo; Continue Utilizing a Revenue Generating Contract with Westway Towing, Inc./Priority Towing, Inc. and Enter into a Sponsorship Agreement with MBO PB, LLC (Formerly known as Simon Orthodontics). Mr. De La Vega explained the item with the three different contracts. E. 21-4397 RESOLUTION NO. R2021-23 (CODE COMPLIANCE FINE REDUCTION FOR 2740 DANFORTH TERRACE) A RESOLUTION OF WELLINGTON, FLORIDA’S COUNCIL COMPROMISING LIENS ASSOCIATED WITH CODE COMPLIANCE ACTIONS NOH-17-0586 and NOH-17-3668, 2740 DANFORTH TERRACE, PURSUANT TO SECTION 2-199 OF THE CODE OF ORDINANCES; AND PROVIDING AN EFFECTIVE DATE Mr. Barnes introduced the item. He said that this is the Request for Reduction of Liens Submitted by Florida Financial Holdings, Inc. to Settle Liens Associated with Code Compliance Actions NOH-17-0586 and NOH-17-3668, 2740 Danforth Terrace, for a Total Amount of $1,500.00. Mr. Stillings explained the item. The Council discussed the details of the case and there was a consensus to pull it off the Consent Agenda and place it on the Regular Agenda as the last item. F. 21-4495 ORDINANCE NO. 2021-04: REPEALING THE CONSERVATION ELEMENT AND REPLACING WITH THE CONSERVATION, SUSTAINABILITY, AND RESILIENCY ELEMENT. AN ORDINANCE OF WELLINGTON, FLORIDA’S COUNCIL AMENDING THE WELLINGTON COMPREHENSIVE PLAN, MORE SPECIFICALLY, TO REPEAL THE CONSERVATION ELEMENT AND REPLACE WITH THE CONSERVATION, SUSTAINABILITY, AND RESILIENCY ELEMENT, INCLUDING ANY ELEMENT MAPS, IN ITS ENTIRETY, AS CONTAINED HEREIN; PROVIDING A CONFLICTS CLAUSE; PROVIDING A SEVERABILITY CLAUSE; PROVIDING AN EFFECTIVE DATE. Mayor Gerwig introduced the item. She said that this is the Approval of Ordinance No. 2021-04, a Comprehensive Plan Text Amendment (CPTA) to Repeal the Conservation Element and Replace with the Village of Wellington Page 2 Village Council Workshop Action Summary - Final June 21, 2021 Conservation, Sustainability, & Resiliency Element of Wellington's Comprehensive Plan. Mr. Stillings explained the item. He also explained the next item of Approval of Ordinance No. 2021-05, a Comprehensive Plan Text Amendment (CPTA) to Repeal the Recreation & Open Space Element and Replace with the Parks & Recreation Element of Wellington's Comprehensive Plan. He said that he would have a presentation for both of these items at the next meeting. G. 21-4499 ORDINANCE NO. 2021-05: REPEALING THE RECREATION & OPEN SPACE ELEMENT AND REPLACING WITH THE PARKS & RECREATION ELEMENT. AN ORDINANCE OF WELLINGTON, FLORIDA’S COUNCIL AMENDING THE WELLINGTON COMPREHENSIVE PLAN, MORE SPECIFICALLY, TO REPEAL THE RECREATION & OPEN SPACE ELEMENT AND REPLACE WITH THE PARKS & RECREATION ELEMENT, IN ITS ENTIRETY, AS CONTAINED HEREIN; PROVIDING A CONFLICTS CLAUSE; PROVIDING A SEVERABILITY CLAUSE; PROVIDING AN EFFECTIVE DATE. Mr. Stillings combined this item with the previous item. H. 21-4498 ORDINANCE NO. 2021-08 (AMENDING THE QUALIFYING PERIOD FOR WELLINGTON’S MARCH, 2022 MUNICIPAL ELECTION) AN ORDINANCE OF WELLINGTON, FLORIDA'S COUNCIL AMENDING THE DATE FOR THE CANDIDATE QUALIFYING PERIOD FOR WELLINGTON'S 2022 MUNICIPAL ELECTION; AND PROVIDING AN EFFECTIVE DATE. Mr. Barnes introduced the item. He said that this is the Approval of Ordinance 2021-08 Amending the Qualifying Period for Wellington's March, 2022 Municipal Election. Ms. Cohen explained the item. The qualifying period would be from noon on Tuesday, November 2nd through noon on Tuesday, November 16th. Mayor Gerwig suggested that the next time there is a Charter review, this issue is looked at and revised in our Charter. I. 21-4505 ORDINANCE NO. 2021-10 (GOLF CARTS) AN ORDINANCE OF THE VILLAGE OF WELLINGTON, FLORIDA, AMENDING CHAPTER 62 OF THE CODE OF ORDINANCES BY CREATING NEW ARTICLE V, SECTIONS 62-41 THROUGH 62-47, Village of Wellington Page 3 Village Council Workshop Action Summary - Final June 21, 2021 AUTHORIZING THE OPERATION OF GOLF CARTS ON DESIGNATED VILLAGE ROADS AND DESIGNATED MULTI MODAL PATHWAYS SUBJECT TO SPECIFIC RESTRICTIONS AND CONSISTENT WITH FEDERAL AND STATE LAW; PROVIDING FOR CONFLICT; PROVIDING FOR CODIFICATION; PROVIDING FOR SEVERABILITY; AND PROVIDING AN EFFECTIVE DATE. Mr. Barnes introduced the item. He said that this is the Approval of Ordinance No. 2021-10, a Code of Ordinances Amendment to Authorize the Operation of Golf Carts on Designated Wellington Roads and Designated Multi Modal Pathways Subject to Specific Restrictions and Consistent with Federal and State Law. Mr. O'Dell explained the item. There was a consensus to present the Powerpoint and go over the details at the next meeting. J. 21-4517 Mr. Barnes introduced the item. He said that this is the Authorization to Execute a Lease Agreement Between ACME Improvement District and Basore Family Farms, LLC, for the K-Park Site in the Amount of $120,000. Mr. De La Vega explained the item and the issues at hand. The first issue is that the Basore's would like to defer the lease payment of $60,000 at the end of the second year and then $60,000 at the end of the third year. He said that staff does not recommend that, instead to have the first one due at end of the first year and end of the second year. Vice Mayor McGovern asked what the Attorney's recommendation was for the lease payment. Ms. Cohen stated that they recommend the $60,000 at end of year one and other $60,000 at end of year two. Mayor Gerwig stated she was concerned about the expenses that will be incurred in start up and wants them to be successful. She said she thinks they need to work with the Basore family on that. Councilman Drahos asked how the current renter (Alderman) pays his lease payment. Mr. De La Vega explained that he pays 50% in the beginning of lease and then six months later, pays the remainder 50%. Village of Wellington Page 4 Village Council Workshop Action Summary - Final June 21, 2021 Mayor Gerwig asked when do we have to pay the tax payment. Mr. De La Vega said that we pay it in November and per this contract, they would reimburse us back by January 30th. He mentioned that the second issue at hand is that if there is a portion of the land that is dedicated for public use only, that we can pro-rate and reduce the lease payment by the amount of a per acre basis. Ms. Cohen stated her recommendation is that they keep it as a straight lease agreement. She expressed a concern because there is a constitutional provision that prohibits cities and special districts, etc. from lending their taxing authority or credit to private businesses. She feels it could potentially be challenged as a sort of "lending of credit." Vice Mayor McGovern asked if we could just lease less land to them. Ms. Cohen stated that we could. Councilman Drahos stated that he felt it opened up a whole grey area of what constitutes public use and private use and if the parking lot will be public use. He said that he worries about having problems down the road that they cannot foresee right now. He said that the more concrete we can make this, the better it is for everybody. Ms. Cohen stated it is better to have a cleaner lease. She said that the if they choose to have a public portion of it, it would probably be a benefit to them as it is bringing people to their venue who may go in to their store and purchase items. Councilman Napoleone asked if there was a public use, who would then be required to maintain it. He said that it sounds like the Village would be in charge of it and he does not want that. Mayor Gerwig stated that her concern is making this a success because she sees this as something that would benefit the whole community. Mr. Barnes asked if we could just keep the lease for the entire acreage so that there is no question on who is responsible for operation/maintenance, but maybe renegotiate the lease amount. He suggested $36,000 instead of $40,000. Mr. De La Vega explained that the third item is that the agreement as it currently stands allows Wellington to terminate the lease at any point for convenience with a 120 day notice. They are concerned that Wellington will terminate after they invest thousands of dollars into it. Village of Wellington Page 5 Village Council Workshop Action Summary - Final June 21, 2021 Vice Mayor McGovern stated that has always been there. Ms. Cohen stated that it has always been in this contract and is in all contracts. It is not something the Village normally exercises, unless there was something extraordinary event that would require us to sell the property and generate the sales price that we know that we can generate. She said that they have had Mr. Alderman on that property and never exercised that option and she does not foresee it happening. She said that we have not asked them for this investment. They have asked to lease the property. She reminded them that this is a business and a "for profit" operation for them. What they choose to invest is their decision and we are not obligating that it be made. Councilman Napoleone suggested a "cancellation fee" clause if the Village were to terminate the contract. That way the business would received something back for their investments. It would be sort of a sliding scale fee after one year, two years, etc. Vice Mayor McGovern asked what other types of contracts do we have this termination clause in. Ms. Cohen said that it was all of them. It includes construction contracts, consulting contracts, etc. She mentioned that almost all government contracts have this clause in them. Vice Mayor McGovern asked what suggestion Ms. Cohen had in lieu of a penalty fee as coming to a middle ground. Ms. Cohen stated that she would consider possibly extending the time of notice. She also suggested extending the term of the lease to make them feel better. Mr. De La Vega asked if they could identify reasons of possible termination. Ms. Cohen stated that they could include language that identified possible causes of why the Village would terminate the lease. Councilman Drahos stated that he feels there should be some damages provisions in order to help eliminate their worry. Vice Mayor McGovern stated that he feels we should consider looking at that penalty fee provision as well as a clause about causes/no cause for termination. Village of Wellington Page 6 Village Council Workshop Action Summary - Final June 21, 2021 Ms. Cohen stated that they can look into it. She mentioned that in Mr. Basore's email, they are not willing to agree to the termination for convenience provision and the indemnification provision, which will be discussed shortly. Mr. De La Vega stated that the next issue is that Mr. Basore has requested a cap on any extensions of 20%. This would mean we would not be able to increase the rent/lease payment by no more than 20% during any renewal period. The last item is that they claim there is a clause that imposes a strict liability standard in our release hold harmless in indemnification, which should have a threshold of a negligence, gross negligence or a willful misconduct standard. They are not comfortable with the clause as written as it forces them to release any and all claims in the future, regardless of what the circumstances are. Ms. Cohen stated that it is standard practice in any standard commercial lease to include a broad indemnification clause for the property owner. She said that she does not recommend changing that indemnification clause to the language that has been suggested. If so, it exposes the Village to liability that it should not be exposed to. Councilman Drahos asked if we can require that they get a level of insurance. Ms. Cohen stated that we have an insurance provision in there. She said that she does not recommend taking the indemnification clause out. She said that the Basore's are not willing to agree with that, as of last that she knew. Councilman Drahos asked who was representing the Basore's. Ms. Cohen stated she believed it was Mr. Richard Tolbert. There was a consensus that some idea had to be developed about what to do with the termination clause in order for it to work for each party. K. 21-4522 VOTING DELEGATE FOR THE FLORIDA LEAGUE OF CITIES’ 95TH ANNUAL CONFERENCE Mr. Barnes introduced the item. He said that this is the Nomination and Selection of a Voting Delegate for the Florida League of Cities' 95th Annual Conference in Orlando, Florida, from August 12, 2021 to August 14, 2021. He explained that Council basically needs to just pick a delegate. Village of Wellington Page 7 Village Council Workshop Action Summary - Final June 21, 2021 Vice Mayor McGovern asked if it has customarily been the Mayor. They decided they would discuss it more at the next meeting. 4. WORKSHOP None. 5. ATTORNEY'S COMMENTS None. 6. MANAGER COMMENTS None. 7. COUNCIL COMMENTS Mayor Gerwig gave kudos to those who had worked the previous night and they would discuss it more at the next meeting. 8. ADJOURN There being no further business to discuss with Council, the meeting adjourned at 5:08 pm. Village of Wellington Page 8