January 16, 2018
The Cedar Key Community Redevelopment Agency met on Tuesday, January 16, 2018, at 6 pm at the newly repaired Cedar Key City Hall. Present were: Chair Royce Nelson, Vice-Chair Sue Colson, and members Dale Register, Heath Davis, and Nickie Rucker.
Staff in attendance included: CRA Attorney Norm Fugate, Police Chief Virgil Sandlin, Fire Chief and Emergency Operations Manager Robert Robinson, Public Works Supervisor James Custer, City Clerk Nicole Gill, Assistant City Clerk Crystal Sharp, and Legal Assistant to Mr. Fugate Leslie Landress.
Among those in the audience were: Caryn and Shawn Stephenson, Allison Nelson, Jeri and Bob Treat, and Mandy and Frank Offerle.
No public comment was offered.
Minutes from the January 2, 2018, Community Redevelopment Agency meeting were unanimously approved.
CONFIRMATION OF SUNTRUST PAYMENT
City Clerk Nicole Gill reported that on January 9, 2018, the CRA made payment to SunTrust for: its 2016-2017 principal due for April 15, 2016, in the amount of $226,538.15; and the interest due as of January 2018, in the amount of $168,522.73. The check was written for the full amount, $395,060.88.
FLORIDA STATUTE REVIEW
CRA Attorney Norm Fugate reviewed Florida Statute 163.387 for the members. In essence, the statute requires the county to pay a five percent penalty and a one percent interest fee on monies due to the CRA if not paid by January 1. The county’s check reimbursing the city for tax increment funds was written later that January 1; the amount due to the CRA is $27,033.89.
Fugate noted that the money would not be realized in the operations if the CRA; the monies would immediately be paid out to the SunTrust Bank in payment toward the principal of the debt owed.
Much discussion ensued. Initially, several members thought that the penalty ought not be imposed because of understandable complications at the county offices. Initially, four of the five members believed that this tardiness in payment had never happened before. Several members thought a letter advising the county of the statute would be sufficient to ensure tardiness would not recur.
Eventually, members decided to impose the $27,033.89 penalty, but not the one percent interest, and contain in the accompanying correspondence the fact that this was not the first time the tardiness in payment had occurred.
JANUARY 2, 2018, PRINCIPAL PAYMENT DISCUSSION
At the January 2, 2018, CRA meeting, members unanimously approved Chair Nelson’s request to forward the available CRA dollars, in the amount of $395,060.88, to SunTrust Bank. This left a balance in the account of 196.248.83. The commission discussed how to handle this balance and agreed that it should be sent it to SunTrust now as part of the April payment, to be applied to the principal. This partial prepaying of the April principal should result in a reduction of the April interest payment.
The meeting adjourned at approximately 6:25 pm.