Government Liaison
Bill Folchi
505-8557
BillFolchi@comcast.net
May, 2008
Budget – City Council held a special meeting on April 1 to resolve the forecasted shortfall in revenue of $1.95 million in the 2009 budget. City Manager, Howard Kunik presented an array of strategies for bringing costs into line with forecasted revenues, ranging between $1,978,470 and $2,522,970. At the end of a meeting which lasted 1 3/4 hours, Council Agreed on approximately $1,700,000 in adjustments and left the balance to be worked out in a meeting to take place in late June or early July after the Charlotte County Assessor produces the 2008 property appraisal results. Council rejected cost reductions that would have resulted in any involuntary reduction in staff or benefits for City employees. The potential for increasing the ad valorem taxes by increasing the millage rate is still on the table. If you have an opinion on this or any subject related to City operations, you can express it directly to the council by visiting the City website:
http://www.ci.punta-gorda.fl.us/departments/citycouncil/meet.htm
and clicking on "Email all Council Members.
City Marketplace – The developers presented yet another rendition of the project to council and received a response that was similar in nature to what they had heard before, however this one was more vocal. In addition to being too high and too dense, the proposed project was unattractive. Another iteration will be required before we find out what might happen.
A new bright spot has appeared on the scene and may enable forward progress. Fred Hershovitz has purchased a portion of the City Marketplace property and plans to build a Hilton Garden Inn. Mr. Hershovitz has proposed a community friendly design which requires minimal variances from the regulations. In addition he walks and talks like a businessman who wants to get something done. We expect this part of the property to be in construction within a short period. Council has been receptive to the preliminary design and has directed the City Manager to keep the project moving.
Parking Garage – The potential cost of the parking garage has grown from an initial estimate of about $10.7 million to $13.75 million. City Council maintains that the plan has not changed during the intervening three or four months. Council sent engineers, Fawley Bryant, back to the drawing board to create a design with the same look and feel as originally conceived at a price closer to the initial estimate. The engineers maintain that the design is a difficult one to build and requires special structural treatment due to the proximity to the flood plane. Because the project's current timeframe will now extend beyond next season, the council will consider selecting new contractors if Fawley Bryant can not bring the cost back in line with the original estimate.
Band Stand – The best news emerging from the April 2, CRA meeting was the presentation by Jim Morris. The popular entertainer and resident of Punta Gorda, proposed to build a bandstand at Laishley Park. Except for $4,000 for utilities to be provided by the City, Morris proposes to raise the required funding from private sources. The bandstand will be at the waters edge on the northeast corner of the property and will provide a colorful addition to the harbor. This is a great example of the spirit of free enterprise and entrepreneurialism.
Bad News at the Airport – Skybus was the third airline to declare bankruptcy during April, leaving Charlotte County Airport without commercial service. The price of fuel and other high operating costs forced the bankruptcy. The Skybus effort demonstrated the viability of Punta Gorda as a destination city.
Also this month, Publix announced that it will not be moving forward with its plan to build a logistics center at Charlotte County Airport. The reason given for the change in plans was that during the four years the project was in negotiations, the company had evolved more efficient distribution strategies that avoid the need for a center in Charlotte County. The obvious message…negotiate faster.
Alligator Cut -- Team Punta Gorda presented a detailed analysis of a cut through Alligator Creek to Charlotte Harbor, to the Waterfront Development Advisory Committee. The proposed 927 foot channel would be made through a private parcel of land (parcel 5) located near Sea Edge Drive. The owner of the land is an advocate of the project. The cut is estimated to cost $2M and take 2 to 3 years to complete. Options for funding the initiative include floating a bond which would be repaid through a $100 assessment per year for 5 years. The option of setting up an MSBU was also raised, although it was unclear which properties be included. Overall citizen response was extremely supportive of the initiative; however some residents of PGI who live closer to Ponce Inlet were concerned about how the new cut would affect their property values. Others who were supportive of the project complained that this second channel has been talked about for years, yet no progress has been made. Times may have changed and there may be more energy behind it now. The next stop for this initiative will be the Canal Maintenance Board and then possibly City Council in June.