HIGHLANDS COUNTY, FLORIDA TOWN OF LAKE PLACID DEO TECHNICAL ASSISTANCE GRANT DRAFT FINDING OF NECESSITY STUDY REPORT DRAFT DELIVERABLE #2

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1 TOWN OF LAKE PLACID HIGHLANDS COUNTY, FLORIDA DEO TECHNICAL ASSISTANCE GRANT DRAFT FINDING OF NECESSITY STUDY REPORT DRAFT DELIVERABLE #2 Prepared for: The Town of Lake Placid, Florida Prepared by: The Central Florida Regional Planning Council Due: May 1 st, 2015 DRAFT DELIVERABLE #2

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3 Table of Contents Grant Summary... 5 A. Characteristics of the Study Area... 6 B. Blight Analysis of the Study Area C. Total Taxable Value of the Study Area D. Total Assessed Value of the Study Area E. 5 Year Tax Increment Revenue Projection F. Inventory of Existing Land Uses G. Photographic Documentation H. Redevelopment Opportunities I. Recommended Boundaries of the CRA Appendix A Map Index *Note: The actual boundaries of the CRA when enacted by ordinance by the Town Council of Lake Placid may vary from this recommendation. Page 3

4 List of Tables Table 1: October 2014 Town Drinking Water Connections Table 2: Wastewater Connections for Plants #1 & # Table 3: Vacant Parcels Inventory Table 4: Assessed Value Trend FON Study Area Table 5: Lake Placid Crime Statistics Table 6: FDLE Crime Data Table 7: Town of Lake Placid Callout Data Table 8: 5 Year TIF Revenue Projection Table 9: Study Area Existing Land Use Table 10: Town of Lake Placid CRA Parcel IDs List of Maps Map 1: Location Map... 6 Map 2: Aerial Photo Map... 6 Map 3: Street Layout Map... 8 Map 4: Water Distribution System Map... 9 Map 5: Future Land Use Map Map 6: Commercial Areas Parcel Map Map 7: Zoning Map Map 8: Vacant Parcels Map Map 9: Vacant Commercial Parcels Map Map 10: Population Density Map Map 11: Residential Blight Analysis Map Map 12: Vacant Parcels (Development Challenges) Map Map 13: Existing Land Use Map Page 4

5 Grant Summary On November 24, 2014 the Department of Economic Opportunity and the Town of Lake Placid entered into a performance based funding and program agreement to provide technical assistance to the Town of Lake Placid for the implementation of growth management planning efforts. Specifically, funding under this agreement provided for the development of a Finding of Necessity (FON) study as the Town of Lake Placid considers establishing a Community Redevelopment Agency (CRA) under Chapter 163, Part III of Florida Statutes. The agreement includes a scope of work that outlines specific deliverables and schedule of due dates for those deliverables. The Town of Lake Placid engaged the Central Florida Regional Planning Council to assist in completing the deliverables as described in the scope of work and developing a Finding of Necessity study. Deliverable 1 Surveys In order to determine and define an appropriate district boundary for a CRA, a jurisdiction must determine that certain conditions of slum or blight, as defined in Chapter 163, Part III, Florida Statutes are present within a given area where redevelopment is desired and would be beneficial. A jurisdiction must establish that at least one (1) condition of slum or two (2) conditions of blight exist within a given area. The conditions given in Florida Statutes are as follows: Slum: Blight: Inadequate provision for ventilation Over-crowding Conditions which endanger life or property No increase/decrease in property value Faulty lot layout Inadequate street layout Unsanitary or unsafe conditions Deterioration Outdated density patterns Gateway Sign Welcoming Visitors to Lake Placid Page 5

6 Tax or special assessment delinquency exceeding the fair value of the land Higher vacancy, emergency and crime rates Florida Building Code violations Conditions impairing development Government-owned property with adverse environmental conditions The surveys, as found in Deliverable 1 of the Scope of Work, were designed to examine the conditions present within the Town of Lake Placid and to identify where areas of slum or blight may or may not be present. A preliminary analysis of the conditions present within the Town of Lake Placid, including input from the Town staff, has helped to develop a FON study area (Study Area). The Study Area was analyzed pursuant to the surveys found in Deliverable 1. The Study Area is further analyzed below to confirm certain conditions of slum or blight as defined above. A. Characteristics of the Study Area Boundaries The Study Area is located at the heart of the Town of Lake Placid. It is bordered on the east by the parcels of the east side of the US 27 corridor, on the north by Dal Hall Boulevard, on the west by the railroad tracks, and converges on the south at the intersection of US 27 and Main Avenue. The Study Area contains approximately 364 acres and contains the town s historic downtown and residential neighborhoods. The Town of Lake Placid consists of 2,214 acres, making the Study Area approximately 16% of the town. A legal description of the Study Area can be found in Section (I) of this Findings of Necessity Study Report. See Maps 1 and 2. Map 1: Location Map Map 2: Aerial Photo Map Page 6

7 Geography The Town of Lake Placid is located in Highlands County, Florida at 27 17'47 N 81 21'53 W. Situated along US Highway 27, in the lake-intensive center of the state, the Town has 27 freshwater lakes. Lake Placid is home to more than 40 murals reflecting the history and heritage of the community. Also known as the Caladium Capital of the World, Lake Placid grows 97% of the world s supply of Caladium bulbs. The Town is also home to the historic Happiness Tower. At the time of its construction the Happiness Tower was the tallest concrete block tower in the world, standing 270 feet tall. The Town of Lake Placid is also situated along the high sand hills of the Lake Wales Ridge National Wildlife Refuge (LWRNWR). The LWRNWR is home to a unique collection of rare plants and animals, many of which are found nowhere else in the world. Thirty-one rare plants can be found within the refuge, 22 of them federally listed as endangered or threatened, and nine candidates for such listing. Four federally listed vertebrates as well as 40 rare invertebrate species are also present. In 2012, Reader s Digest named Lake Placid, America s Most Interesting Town. Demographics LAKE PLACID The population of the Town of Lake Placid declined slightly from 2010 to 2013, from 2,223 people to 2,126. A similar loss in population was seen county wide during this period, with Highlands County experiencing a population loss of 1.2%, despite the State of Florida experiencing a growth trend of approximately 4%. When compared to the rest of the County, and to the State of Florida, the Town of Lake Placid has a much younger population. According to 2013 Census estimates, almost 9% of the population was under 5 years of age and approximately 26% of the population was under 18. The Town also has fewer females (47.4%) than males, which is opposite from Highlands County and the State who are approximately 51% female. According to the American Community Survey 5-year Estimates, approximately 82% of the population identified as White, 10.1% as Black or African American, 1.8% as two or more races, and the rest of the population as another race. Hispanics can be of any race and are included in the applicable race categories. The Town of Lake Placid is 48.2% Hispanic, more than double the County (18.2%) and the State (23.6%) percentages. As such, more than half (52.6%) of the residents of the Town of Lake Placid, age 5 and older, speak a language other than English at home. Of 2,033 residents over 5 years of age, 1,018 of those residents speak Spanish and 52 speak another language. (Note: Data collected at different times with different questions may have results which cannot be correlated with one another.) Only 52.8% of the population aged 25 and older, in the Town of Lake Placid has obtained a High School diploma. This is approximately 30% lower than Highlands County as a whole, and the State of Florida. Due in large part to the low educational attainment levels in Lake Placid, the per capita income and median household income levels are significantly below County and State averages. Similarly, the Page 7

8 percent of people living under the poverty level in Lake Placid is more than double that of the County and the State. Infrastructure and Services The local infrastructure network is vitally important and intrinsically linked to the physical and economic health of a community. A well-developed roadway network facilitates the safe and efficient movement of people and goods to, from, and within the community. Likewise a poorly developed roadway network hinders that movement, or worse yet, creates a dangerous situation in which people could be injured or killed attempting to move along that network. Similarly, well planned and maintained potable water and wastewater systems facilitate community health and growth while the absence of those systems, or poorly maintained systems, could inhibit community growth or even negatively impact community health. Excellent infrastructure networks and services such as electricity distribution, public safety, recreation, sanitation collection, and more are vitally important to combating blight and supporting economic development within any community. ROADWAY NETWORK AND STREET CONDITIONS The Town of Lake Placid has a roadway network that is primarily paved with a few scattered unpaved roads. However, outside of the downtown business district (along East Interlake Boulevard and Main Avenue), the vast majority of roads lack curbs, sidewalks, street lighting, shoulders, and a storm water collection system. Many roadways, especially within older neighborhoods near or adjacent to the downtown business district area, are of substandard width and lack any substantial sidewalk network that could connect these residential areas to the downtown area. Many driveways, both residential and commercial, are unpaved. The current roadway network, especially near and adjacent to the downtown area, inhibits the movement of people and goods. Additionally, the lack of sidewalks, shoulders, storm water systems, and adequate street lighting creates the potential to endanger the health of both people and the environment. Approximately 43% of the Town of Lake Placid s population lives in Map 3: Street Layout Map the residential area located between Main Avenue and US Highway 27, within walking distance of the downtown area and other major commercial areas, including grocery and drug stores. The streets within the study area are developed primarily in a grid pattern with block lengths that are short enough to facilitate a walkable environment. However, the lack of sidewalks and street lighting along the majority of streets within the study area discourages walking and in some instances may create safety issues. The maintenance of Town roadways, sidewalks and rights-of-way is facilitated by the Parks and Public Works Page 8

9 Department. The Study Area roadway network is depicted on Map 3. Map 4: Water Distribution System Map WATER AND WASTEWATER The Town of Lake Placid owns, operates, and maintains a regional potable water treatment and distribution system covering three geographic areas which include lands both inside and outside of the corporate limits of the Town of Lake Placid. The regional system currently operates under three (3) separate water use permits. The corporate limits of the Town, including the Study Area fall within the service area identified as the Lake Placid Water Service Area. Water is permitted through the Southwest Florida Water Management District under permit #5270, with a permitted capacity of 1,192,000 gallons per day (gpd). The interconnected potable water distribution system consists of 20.2 miles of maintained water lines, ranging in size from 12-inch mains to one-half inch (1/2 ) house connections. Water lines are primarily constructed of ductile iron, galvanized steel, and polyvinyl chloride (PVC) piping. As reported by the Town in October 2014 (Table 1), the average daily demand for potable water usage was 384,937 gpd. Considering the permitted capacity, there is a surplus of approximately 807,063 gpd available for future connections. Map 4 indicates the water system within the study area. Additionally, the Town also provides central wastewater services. The Town provides service via two (2) wastewater treatment plants. These plants have a combined permitted capacity to treat 309,000 gpd. The wastewater system has approximately 670 connections, miles of force main, 5.42 miles of gravity lines, 89 manholes, and 16 lift stations. Federal Department of Environmental Protection (FDEP) Permitted Capacity for the North Plant is MGD (ADF of MGD) with a Public Access Reuse Permit for MGD. The South Plant treats MGD (ADF of MGD) for a total of MGD. As reported by the Town in October 2014 (Table 2) the Town is currently treating an average of 112,690 gpd. Considering the total permitted capacity for wastewater treatment, the Town maintains a surplus of approximately 196,310 gpd to facilitate future wastewater needs. Page 9

10 Row WATER AND WASTEWATER CAPACITY Table 1: October 2014 Town Drinking Water Connections Column 1 Column 2 Column 3 gpd per ERU Units 1 Permitted Capacity Units on Line MADF Pending SDC Paid but NOT Connected 0 4 Total Water Connections (Col. 2, Rows 2 + 3) Capacity Available GPD Table 2: Wastewater Connections for Plants #1 & #2 Column 1 Column 2 Column 3 gpd per Row Units GPD ERU 1 Permitted Capacity Units on Line MADF Pending SDC Paid but NOT Connected Total Water Connections (Col. 2, Rows 2 + 3) Capacity Available ELECTRICITY Electric services for the Town of Lake Placid are provided by the Glades Electric Cooperative, Incorporated (GEC). GEC is a not-for-profit, customer-owned corporation. GEC is governed by a nine member Board of Trustees elected at an annual meeting of owners. Since GEC is customer-owned, everyone who receives electricity from GEC is an owner. The Board sets the policies and direction of the company and names the General Manager who, in turn, is responsible for appointing the management staff to operate and maintain the system. Local GEC offices are located in Moore Haven, Lake Placid and Okeechobee. Electricity is distributed throughout Lake Placid and specifically the Study Area via overhead lines. Service is provided to the Town of Lake Placid, and the Study Area, primarily via overhead lines. Page 10

11 PUBLIC SAFETY The Town of Lake Placid is serviced by its own police department located at 8 North Oak Avenue. In 1995 the Town of Lake Placid acquired the current police department building from Highlands County. Prior to that, the building housed the county library extension. The Town acquired the building, in part, due to its location at the heart of Lake Placid at the corner of North Oak Avenue and Interlake Boulevard. Its central location serves the departments philosophy of community policing concepts. The police department participates in a number of community activities and services including CPR and selfdefense classes, a bicycle rodeo, various youth programs, and senior citizen checks. The police department also administers the Town s code enforcement. The Lake Placid Volunteer Fire Department currently consists of 23 members (3 paramedics, 10 EMT s, 15 fire fighters, and 5 support members) who are all dedicated to the Town of Lake Placid and its citizens. The department services the greater Lake Placid area, about 25 square miles both inside and outside of the Town limits. The department averages 325 calls per year including medical assists, fires, car accidents, and other assistance calls. All members are 100% volunteer. The department truck fleet includes one class A engine, one 100' platform truck, one water tanker, two brush trucks, and one utility/air truck. Throughout the year the department participates in numerous different community support functions in the town as well as visits to the schools during the month of October which is fire safety month. EMS services are also provided to the Town of Lake Placid by Highlands County. PARKS AND RECREATION Lake Placid has several public parks including Devane Park, Stuart Park, Lake June Park, Jerry s Park, and Bicentenial Park. All public parks are maintained by the Town of Lake Placid Parks and Public Works Department. The Town facilitates several youth recreational opportunities including baseball, football, and soccer. SOLID WASTE COLLECTION The Lake Placid Sanitation Department collects residential garbage on Tuesdays and Fridays and commercial garbage on Mondays and Thursdays. The residential garbage collection fee is currently $15 per month and is assessed along with the residents water bill. Future Land Use, Existing Land Use and Zoning The Study Area has a mix of residential and commercial uses. According to the Town of Lake Placid Future Land Use map (Map 5), commercial areas are to be primarily concentrated along US Map 5: Future Land Use Map Page 11

12 Highway 27, along East Interlake Boulevard, along Main Avenue, and west of Main Avenue to Commerce Avenue. Along US Highway 27 are typical highway type commercial uses including fast food restaurants, gas stations, general strip retail, grocery, and other general retail and service uses. These uses have developed over the years in a typical strip retail patterns with many individual curb cuts and no sidewalks. East Interlake Boulevard is a pedestrian friendly roadway with on-street diagonal parking, street trees, and sidewalks along both sides. The property adjacent to this roadway has a Commercial-General Future Land Use. Many of the buildings along East Interlake Boulevard appear to have been developed between the 1950 s and the 1970 s, and are occupied with traditional downtown type uses including barbershops, florists, limited retail, various office uses including medical offices, crafts stores, a hardware store, and a bank. Map 6: Commercial Areas Parcel Map Main Avenue is developed in much the same way, and with similar uses and building styles, as East Interlake Boulevard. There are sidewalks and diagonal parking along both sides of most of Main Avenue. Many of the town s famous murals are located in this general area. The commercial areas located west and southwest of Main Avenue, between Main Avenue and Commerce Avenue and between Main Avenue and Ranier Drive, contain more business park or light industrial type uses. These include construction offices with outside materials storage, warehouse and distributing, outside storage/junk, and various office uses. The Future Land Use designation for these areas is Commercial-Intensive (Map 6). The Town of Lake Placid does not have any land with a Future Land Use designation of Industrial. However, many of the uses located within the Commercial-Intensive Land Use category could be considered light industrial in nature, including warehousing, storage (inside and outside), distribution, and manufacturing. The zoning map (Map 7) also depicts a similar pattern of development. C1 Highway Commercial uses are located along both sides of US Highway 27, with the exception of one large parcel located east of US Highway 27 which is currently not assigned a zoning classification. C2 Commercial properties are located along Interlake Boulevard and Main Avenue, with more intense C3 Commercial/Light Page 12

13 Map 7: Zoning Map Manufacturing properties located southwest of the railroad tracks and also between the railroad tracks and Main Avenue. A mix of single family (R1 and R1A) and multi-family (R2) residential zoning districts compose the remainder of the Study Area, the majority of which is a the heart of the Study Area, bordered on the north by Interlake Boulevard, the west and southwest by Main Avenue, and the east by US Highway 27. There are currently 88 vacant parcels located within the Study Area. This represents 14.1% of the total parcels. All of the vacant parcels appear to be held in private ownership. Development of vacant parcels, or redevelopment of formerly occupied parcels, can have a positive impact upon an area, both in terms of appearance and economic health. Vacant parcels, especially within a core downtown area of a community, have a blighting effect upon the community, as they are generally very visible due to increased population and activity in the area. Map 8 illustrates all the vacant parcels within the Study Area. Vacant parcels within the study area are scattered throughout with no defining concentration to any one area. Table 3 provides a list of those vacant parcels along with their address, future Map 8: Vacant Parcels Map land use designation, and size. Many times vacant parcels are held in common ownership. These parcels are easier to redevelop because negotiations are held with only one party as opposed to multiple owners with varying interests and motivations. For the purposes of this study, the ownership information has been removed from the following vacant parcels list. However, ownership information can be obtained from the property appraiser website using the identified parcel number. Page 13

14 Table 3: Vacant Parcels Inventory Parcel Number Site Address Future Land Use* Parcel Size (sq. ft.) P S MAIN AVE CG 6544 P E PHOENIX ST LDR P PALMETTO ST HDR 9513 P PALMETTO ST HDR 9601 P S MAIN AVE CG 6931 P W PHOENIX ST CI 4681 P W PHOENIX ST CI 8264 P POINSETTIA ST HDR P E WASHINGTONIA ST LDR 6545 P S MAIN AVE CG 7766 P SPRUCE AVE CG P W PHOENIX ST CI P063730A US 27 CG P063730A US 27 CG P SPRUCE AVE CG P E WASHINGTONIA ST LDR 3212 P S MAIN AVE CG P E PHOENIX ST LDR P S MAIN AVE CG 4200 P S MAIN AVE CG 4200 P S MAIN AVE CG 4200 P SPRUCE AVE CG P SPRUCE AVE CG P S MAIN AVE CG 7180 P S MAIN AVE CG 7500 P S MAIN AVE CG 5000 P W ROYAL PALM ST CI 3210 P MCCOY DR CG P N PINE AVE RO Page 14

15 P E BELLEVIEW ST LDR 7980 P E BELLEVIEW ST LDR 9144 P S MAIN AVE CG P E PARK ST CG 5843 P E ROYAL PALM ST LDR P N MAIN AVE CG P063730A S MAIN AVE CG P063730A WIRICK ST CG P063730A S MAIN AVE CI 9010 P SUDBURY DR HDR P063730A S US 27 CG P E ROYAL PALM ST LDR P E PARK ST LDR P E PARK ST LDR 9897 P W HIBISCUS ST CI 6922 P W WASHINGTONIA ST CI P A E PARK ST CG 6570 P N MAIN AVE CG 2999 P S MAIN AVE CG 4621 P063730A PLUMOSA ST CG P E WASHINGTONIA ST LDR P PALMETTO ST HDR 9513 P PALMETTO ST HDR 9513 P PALMETTO ST HDR P S OAK AVE HDR P313630A E HIBISCUS ST CG 8099 P E HIBISCUS ST LDR P E PHOENIX ST LDR 8154 P E PHOENIX ST LDR P S MAIN AVE CG P LDR 4915 Page 15

16 P E BELLEVIEW ST LDR P LDR P PARK AVE CI 4618 P PALMETTO ST LDR 8494 P GLADIOLA AVE HDR 8043 P US 27 CG P US 27 CG P PLUMOSA ST HDR P POINSETTIA ST HDR P US 27 CG P313630A E HIBISCUS ST CG 9746 P E PHOENIX ST LDR P RANIER DR HDR 8101 P A DAL HALL BLVD RO P N MAIN AVE CG P SPRUCE AVE HDR 8128 P063730A S US 27 CG P063730A S US 27 CG P E WASHINGTONIA ST LDR 8548 P E PHOENIX ST HDR 6420 P PALMETTO ST LDR P E ROYAL PALM ST LDR P GLADIOLA ST HDR 8267 P GLADIOLA ST HDR 7911 P PLUMOSA ST LDR P PALMETTO ST HDR 9513 P E HIBISCUS ST CG 3562 P RO * Future Land Use acronyms: CG=Commercial-General; CI=Commercial-Intensive; HDR=High Density Residential; LDR=Low Density Residential; RO=Residential/Office Page 16

17 Map 9: Vacant Commercial Parcels Map Of the 88 vacant parcels within the Study Area, 51% have a Commercial-General or Commercial- Intensive Future Land Use designation (Map 9). One of the vacant parcels in private ownership is located within the median area of South Main Avenue and is unlikely to be developed due to its location. A second vacant commercial lot with unique development challenges is located at the corner of South Oak Avenue and Poinsettia Street. This parcel has frontage along two roadways in conjunction with limited lot depth, therefore the buildable area of this particular lot is very small. The Study Area has a significant, mostly singlefamily, residential component. Approximately 43% of the Town of Lake Placid lives within the Study Area and within walking distance (1/4 mile) of non-residential uses located along US 27, along East Interlake Boulevard, and in the general area of Main Street (Map 10). However, most of the residential streets within the Study Area lack adequate shoulders and sidewalks. The lack of pedestrian and bicycle infrastructure inhibits non-vehicular movement and creates potential vehicle and pedestrian conflicts throughout this core area of the Town of Lake Placid. A windshield survey was conducted for every residential use within the Study Area. Homes were rated for blighted conditions on a scale of one (1) to ten (10), with one (1) representing severely blighted conditions, five (5) representing typical homes in standard condition, and ten (10) representing homes in visually perfect condition. The individual home scores were then averaged within the boundaries of Census Blocks. In order to help eliminate any bias in scoring, the average scores by Census Block were then grouped by quintile and mapped accordingly (Map 11). The map depicts relative blight in relation to the rest of the Study Area. Red indicates a Census Block with comparatively higher levels of blight than the rest of the Study Area. Dark Green indicates the lowest comparative levels of blight. Map 10: Population Density Map Page 17

18 It should be noted that within the Study Area there is not a significantly identifiable locational pattern of residential blighted conditions. However, four (4) of the five (5) most blighted Census Blocks (red) are located south of Plumosa Street. There are scattered blighted homes throughout the Study Area, as well as several homes exhibiting little to no blighted conditions. No home in the Study Area registered a raw score of higher than 7. This demonstrates the presence of a general condition of blight within the residential portion of the Study Area, as most of the homes in the area scored below 5. The average score within the Study Area was A total of 29 dilapidated and/or deteriorated residential structures were identified within the Study Area. Map 11: Residential Blight Analysis Map Elimination of blighted residential conditions would have a compounding positive impact upon the area by creating a safer, more vibrant and desirable place to live and thereby raising property values. As property values are increased within a CRA district, more Tax Increment Financing (TIF) revenue is generated, thus facilitating greater resources for redevelopment activities within the CRA district. B. Blight Analysis of the Study Area Florida Statutes Chapter 163, Part III defines blight according to certain indicators. Specifically Section (8) outlines 14 factors of blighted areas and defines a blighted area as, an area in which there are a substantial number of deteriorated, or deteriorating structures, in which conditions, as indicated by government-maintained statistics or other studies, are leading to economic distress or endanger life or property, and in which two or more of the following factors are present : a) Predominance of defective or inadequate street layout, parking facilities, roadways, bridges, or public transportation facilities; The predominance of roadways within the Study Area are inadequate due to the lack of shoulders, bicycle lanes, sidewalks, curbs, and/or storm water infrastructure. Interlake Boulevard and portions of South Main Avenue have curbs and sidewalks. However, the vast majority of roadways in the Study Area lack the basic infrastructure that is typically associated with a downtown area. With approximately 43% of the residents of the Town of Lake Placid living within the Study Area, the lack of pedestrian oriented facilities inhibits mobility to and from non-residential uses and creates the potential for pedestrian and vehicular conflicts. Page 18

19 According to an article in Highlands Today (2/28/2015), written by Marc Valero, the Town of Lake Placid Police Department will now enforce a parking ordinance that prohibits vehicles from parking along the side of roadways within the Town, primarily in the downtown area. The ordinance is being enforced because of the lack of pedestrian facilities and broken asphalt that results from parked cars along the rights-of-way. Police Chief James Fansler said, If you are walking down the road and have to step off the road to avoid getting hit by a car then you have got to navigate the broken asphalt and that could cause some problems. There are no airports, train stations, bus stations, or any other public transportation facilities located within the Study Area or within the Town of Lake Placid. b) Aggregate assessed values of real property in the area for ad valorem tax purposes have failed to show any appreciable increase over the 5 years prior to the finding of such conditions; According to 2014 Highlands County Property Appraiser data, the Study Area contains 626 parcels. Of those 626 parcels, 88 of them are currently vacant. The total assessed value for those 626 parcels, in 2014, was $70,501,475 (Table 4). The total assessed value was up.47% from the prior year. This represents a fairly negligible increase of $327,602 within the Study Area. Similarly, the Study Area saw a slight increase in value from year 2012 to year 2013 of.56%. When compared to the Town of Lake Placid as a whole, it is apparent that the Study Area began to gain value approximately one year earlier. When compared to the City of Sebring (the largest city in Highlands County), we also note a downward trend in assessed value until the year Again, indicating that the Town of Lake Placid Study Area seems to be recovering from the recent economic downturn earlier than the rest of the County. While assessed value increase may not be an indicator of blight, it does indicate that the Study Area has a fairly stable and growing tax base. This is critical for Tax Increment Financing (TIF) and revenue generation within the CRA district. TIF revenue is used to implement programs and projects designed to eliminate conditions of blight that are identified within the CRA district. Table 4: Assessed Value Trend FON Study Area Year Study Area % change Lake Placid % change Sebring % change 2010 $72,926,976 $228,573,103 $757,931, $71,419, % $226,949, % $753,970, % 2012 $69,783, % $221,280, % $725,583, % 2013 $70,173,873.56% $218,992, % $695,328, % 2014 $70,501,475.47% $221,024,695.93% $698,720,476.49% Page 19

20 c) Faulty lot layout in relation to size, adequacy, accessibility, or usefulness; Map 12: Vacant Parcels (Dev. Challenges) Map Lot location, size, and configuration are key determining factors when considering the likelihood of redevelopment. If lots are irregular in shape or size, it may be difficult to meet current building and zoning codes. Several of the properties within the targeted redevelopment area have irregular dimensions that create lot sizes and shapes that make compliance with certain building, zoning, and other land development regulations difficult. Additional challenges may exist such as incompatible adjacent uses. See Map 12 for vacant lots within the study area that face development challenges. d) Unsanitary or unsafe conditions; With the exception of Interlake Boulevard and South Main Avenue, the roadways within the Study Area lack sidewalks, adequate street lighting, shoulders, and curbs. The combination of these infrastructure deficits facilitates an unsafe condition for pedestrians, particularly for children or those walking after dark. Due to age, some of the pedestrian facilities and building access points that do exist along Interlake Boulevard and South Main Avenue may not meet Americans with Disabilities Act (ADA) specifications. Additionally, the majority of the study area lacks storm water collection infrastructure. The absence of storm water infrastructure can contribute to flooding events, increasing the potential for unsafe conditions or property damage. e) Deterioration of site or other improvements; The Study Area encompasses most of the oldest streets and buildings within the Town of Lake Placid. As such, many streets and older buildings within the Study Area require more intensive maintenance and upkeep than in the newer areas of the Town. Additionally, many buildings within the Study Area require extensive remodeling and/or retrofitting in order to meet current State of Florida Building Codes, or ADA requirements, or to simply be competitive with newer buildings that are available in the marketplace. Through windshield surveys and code enforcement data, a total of 36 dilapidated and/or deteriorated structures were identified. Of the 36, 29 were residential structures and 7 commercial. Page 20

21 f) Inadequate and outdated building density patterns; Residential lots within the Study Area average 13,213 square feet and residential block lengths vary from approximately 430 to 650 and are developed in a general grid pattern. This is a large average lot size for residential units that are located at the heart of the Town, adjacent to downtown. The vast majority of non-residential buildings within the Study Area are single-story buildings. There are only three or four small commercial buildings within the Study Area that have two stories. Commercial lot sizes vary dramatically, from parcels with less than 50 of road frontage to parcels that consist of the entire length of the block. Commercial blocks within the downtown area of the Town of Lake Placid are generally smaller, with lengths of approximately 330 to 450. These areas along South Main Avenue and East Interlake Boulevard also have pedestrian friendly infrastructure such as sidewalks, crosswalks, and angled on-street parking that facilitates a pleasant and generally safe walking environment. However, some areas exhibit limited handicap accessibility. Typically, downtown areas exhibit higher densities and intensities. Commercial blocks located along US 27 are much longer, with lengths of approximately 650 feet to 750 feet. There are no sidewalks along either side of US 27. With large blocks and no pedestrian infrastructure, non-vehicular access to US 27 commercial uses is limited and generally unsafe. Development along US 27 is typical of outdated, vehicular oriented, low density, urban sprawl. g) Falling lease rates per square foot of office, commercial, or industrial space compared to the remainder of the county or municipality; On January 27th, 2015 a windshield survey of the commercial areas of Lake Placid was conducted. These areas included the areas along and adjacent to East Interlake Boulevard, South Main Avenue, and US 27. Very few vacant store fronts were observed within these areas. An interview with a local real estate broker confirmed the observations from the windshield survey. The real estate broker indicated that Lake Placid, in part because of its small size, has a strong non-residential market. He indicated that the occupancy rate for non-residential uses within Lake Placid was approximately 90% with rental rates between $6 and $10 per square foot. Medical offices demand the higher lease rates due to the specialized nature of the space, with typical retail storefront usually commanding between $6 and $8 per square foot. Rates are not falling when compared to the rest of the municipality or the county. h) Tax or special assessment delinquency exceeding the fair value of the land; An analysis of the 2014 Highlands County Property Appraiser and Tax Collector data indicates that there are zero (0) parcels within the Study Area that have a tax balance due that is in excess of the assessed value of the property. At the time of the analysis (3/23/15) there were 129 parcels within the Study Area with a tax balance due. This represents approximately 21% of the Study Area. Page 21

22 i) Residential and commercial vacancy rates higher in the area than in the remainder of the county or municipality; The Study Area has a non-residential vacancy rate of approximately 10%. This is comparable to the remainder of the municipality and the county. Additionally, with approximately 43% of the population living within the Study Area, residential vacancy rates are low as well. j) Incidence of crime in the area higher than in the remainder of the county or municipality; Below is a table illustrating the number of certain major crimes reported within the Town of Lake Placid by year, from 2001 to The most prevalent crimes year after year are theft and burglary. The Town of Lake Placid crime rate is indicated along the bottom row in Table 5. In most years the crime rate in Lake Placid has been significantly higher than the national average (298.9). Table 5: Lake Placid Crime Statistics Type Murder Rape Robbery Assault Burglary Theft Auto Theft Arson Crime Rate Source: City-data.com Table 6 depicts the number of crimes and the crime rate/100,000 people, as calculated by the Florida Department of Law Enforcement (FDLE), for the year The Town of Lake Placid had a higher crime rate/100,000 people than the City of Sebring and the County as a whole. Table 6: FDLE Crime Data 2013 Murder Rape Robbery Assault Burglary Larceny Auto Theft Crime Rate / 100,000 Highlands County Sebring Lake Placid Source: FDLE Page 22

23 According to the Town of Lake Placid Chief of Police, and Town of Lake Placid callout data, the majority of crime committed in the Town occurs within the Study Area. See Appendix C for a complete inventory of police callout data. Table 7 indicates that from approximately 55% of all police callouts within the Town were within the Study Area. Over that same time period the callouts per capita for the entire Town was.276, while the callouts per capita within the Study Area was.352. When the Study Area is removed from the overall Town totals, the callouts per capita outside of the Study Area is.218. Callouts per capita is 38% higher in the Study Area than in the rest of Lake Placid. The Study Area consists of approximately 16% of the land area of the Town, and contains approximately 43% of the Town s population, but produces approximately 55% of the police callouts. Table 7: Town of Lake Placid Callout Data Computer Aided Dispatch Number of Callouts Type TOWN CRA % CRA ABUSE (ADULT/CHILD) CRASH (HIT/RUN) ASSAULT BATTERY BURGLARY CRIMINAL MISCHIEF DISTURBANCE (VERBAL/FIGHTS) DOMESTIC DISTURBANCE DRUNK DRIVER DRUNK PERSON FRAUD (CHECKS/CREDIT CARD) JUVENILE TROUBLE KIDNAPPING MISSING (CHILD/ADULT) NARCOTICS PROPERTY DAMAGE ROBBERY SEXUAL BATTERY SHOOTINGS (OR SHOTS IN AREA) STABBINGS STOLEN VEHICLE SUICIDE ATTEMPTS THEFTS TOTALS CALLOUTS PER CAPITA PER YEAR Source: Town of Lake Placid Police Department Page 23

24 k) Fire and emergency medical service calls to the area proportionately higher than in the remainder of the county or municipality; Due to the number of volunteer fire departments in Highlands County and inconsistencies with the reporting of service call data, this criteria was not analyzed for the purposes of this study. l) A greater number of violations of the Florida Building Code in the area than the number of violations recorded in the remainder of the county or municipality; Violations of the Florida Building Code are only noted when new construction projects or building rehabilitation projects fail a required inspection. A record of failed inspections offers no significant information with respect to blighted conditions. Secondly, no inventory of building code violations with respect to buildings constructed prior to the current Florida Building Code exists. Therefore, this condition was not evaluated within the Study Area or the Town of Lake Placid. m) Diversity of ownership or defective or unusual conditions of title which prevent the free alienability of land within the deteriorated or hazardous area; or An analysis of title for all of the parcels within the study area is financially unfeasible within the context of this study. However, older neighborhoods and commercial areas are more likely to have parcels with complex conditions of title simply because they have changed ownership more often, are subject to more easements, or have been passed down from generation to generation for many years. The Study Area contains some of the oldest areas of the Town of Lake Placid. Some parcels with defective or unusual conditions of title are likely to exist. n) Governmentally owned property with adverse environmental conditions caused by a public or private entity. There are no known governmentally owned parcels within the Study Area that exhibit adverse environmental conditions. Blight Findings An analysis of the Study Area has specifically determined at least five conditions of blight, as defined by Florida Statute, Section (8), to be predominantly present. The lack of sidewalks, curbs, lighting, and a storm water collection system, deficiency of parking, number of vacant lots with development challenges, the age of buildings, and a higher than average crime rate all contribute to the blighted conditions as defined below. It is recommended that the Town of Lake Placid cite the presence of the following five conditions of blight within the Study Area when establishing the CRA. a) Predominance of defective or inadequate street layout, parking facilities, roadways, bridges, or public transportation facilities; c) Faulty lot layout in relation to size, adequacy, accessibility, or usefulness; d) Unsanitary or unsafe conditions; e) Deterioration of site or other improvements; j) Incidence of crime in the area higher than in the remainder of the county or municipality; Page 24

25 C. Total Taxable Value of the Study Area According to 2014 Highlands County Property Appraiser data, the Study Area parcels have a total taxable value of $52,163,234. The taxable value of the Study Area in the base year of a CRA is frozen at its current value. As taxable values increase over time, the difference in value between the base year and the current year (the increment), is divided by 1000 and then multiplied by the current millage rate. A percentage of that incremental tax revenue (between 50% and 95%), is the amount of TIF revenue generated in that year from use by a CRA for redevelopment purposes within the District. D. Total Assessed Value of the Study Area As indicated above in section (b) Blight Analysis of the Study Area. According to 2014 Highlands County Property Appraiser data, the Study Area contains 626 parcels. Of those 626 parcels, 88 of them are currently vacant. The total assessed value for those 626 parcels, in 2014, was $70,501,475 (Table 4). The total assessed value was up.47% from the prior year. This represents a fairly negligible increase of $327,602 within the Study Area. Similarly, the Study Area saw a slight increase in value from year 2012 to year 2013 of.56%. E. 5 Year Tax Increment Revenue Projection Using the tax year 2014 as the base year for the establishment of the Town of Lake Placid CRA and TIF fund, the projected revenue for the year 2019 is $25, The cumulative revenue for five (5) consecutive years would be $67, (Table 8). The projection in Table 8 assumes a modest increase in taxable values year over year of.5% in year 1,.8% in years 2 and 3, and 1% in years 4 and 5. The projection also assumes that the Town and County millage rates will remain the same and that the TIF trust fund is established at a ratio of 95%. Table 8: 5 Year TIF Revenue Projection Year Taxable Value Value Increase % Increment Town Millage County Millage Ratio TIF Revenue ($) Cumulative Revenue ($) 2014 (actual) $52,163, $52,424, % $260, $3, $3, $52,843, % $680, $7, $10, $53,266, % $1,102, $12, $23, $53,798, % $1,635, $18, $42, $54,336, % $2,173, $25,192.1 $67, Page 25

26 F. Inventory of Existing Land Uses The Study Area has a healthy mix of taxable uses as is indicated by distribution of existing land uses in the table below. More than half of the Study Area (54.8%) is classified as a residential or commercial use and an additional 6.1% is Industrial. These uses will generate the most taxable value within the district, creating the potential for significant TIF revenue. Approximately 15% of the Study Area is classified as government or institutional. Most of these uses are tax exempt, such as government buildings, schools, and churches. This is typical of most CRA districts that include the traditional downtown area of a community. Almost 30 acres of land, representing 12% of the Study Area is currently vacant. Development of these vacant areas would both combat blighted conditions as well as increase taxable value and TIF revenue. Table 9: Study Area Existing Land Use Existing Land Use (ELU) Number of Parcels ACREAGE PERCENTAGE (Acreage) of ELU Residential % Commercial % Industrial % Agricultural % Institutional % Government % Miscellaneous % Vacant % TOTALS % Map 13: Existing Land Use Map Page 26

27 G. Photographic Documentation HOUSING CONDITIONS Page 27

28 INFRASTRUCTURE CONDITIONS Page 28

29 OVERGROWN PROPERTIES Page 29

30 DERELICT PROPERTIES Page 30

31 CHALLENGING LAND USES Page 31

32 H. Redevelopment Opportunities The Projects and Programs listed below are reflective of the conditions and characteristics of the Study Area as described within this Finding of Necessity Study and, if implemented, are likely to have a positive impact toward the elimination of the identified blighted conditions. The Town of Lake Placid CRA Plan will identify all Programs and Projects that the Town of Lake Placid CRA Board may utilize to eliminate blight and may include additional Projects and Programs not listed below. PROJECTS Develop a storm water master plan Construct more parking spaces in and near the downtown area and East Interlake Boulevard Redevelop non-residential uses to meet current code requirements and be more marketable Evaluate street lighting and identify areas of deficiency Develop a business beautification program Identify, prioritize, and begin streetscaping projects Plan and develop a connected pedestrian system, focusing on sidewalks within the Study Area Develop a wayfinding signage program Develop neighborhood reinvestment programs that focus upon the removal or rehabilitations of blighted residential structures and the construction of new homes upon vacant residential lots Market and promote the Town of Lake Placid, especially the downtown area Other projects as may be identified in the CRA Plan PROGRAMS Greenfield Development Incentives Infill Development Incentives Brownfield Development Incentives Building and Property Improvement and Rehabilitation Incentives Public Infrastructure Development/Redevelopment Historic Preservation Community Events, Festivities, Cultural Awareness, and Non-Profits Beautification Marketing, Promotions and Recruitment Code Enforcement Relocation Assistance Community Policing Neighborhood Reinvestment Program Elderly and Disabled Assistance Program Disaster Prevention and Recovery Other programs as may be identified in the CRA Plan Page 32

33 I. Recommended Boundaries of the CRA It is recommended that the extent of the Town of Lake Placid CRA District include, at a minimum, the Study Area and described and mapped throughout this Finding of Necessity Study Report. This report has documented the presence of five statutorily defined conditions of blight within the Study Area. According to Florida Statutes, Section (8), the presence of two or more conditions of blight indicates a blighted area. The recommended boundary of the Town of Lake Placid CRA is legally defined by, and includes, the following parcels (Table 10). Table 10: Town of Lake Placid CRA Parcel IDs P P P P P P P P P P P P P P P P P P P P P P P P P P P P A1 P P P P B0 P A0 P P P B1 P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P A P P P P P P P P P P P P P P P P P A3 P P P P P P P P063730A P P P P063730A P P P P063730A P P P P063730A Page 33

34 P P P P063730A P P P P P P P P P P P P P P P A00000 P P P063730A P B00070 P P P063730A P B00060 P P P063730A P B00050 P P P063730A P B00040 P P P063730A P B00030 P P P063730A P B00010 P P P063730A P B00110 P P P063730A P B00130 P P P063730A P313630A P P P063730A P P P P063730A P P P P063730A P P P P063730A P P P P063730A P P P P063730A P P P P063730A P P P P P P P P063730A P313630A P P P063730A P313630A P P P P P P P P B00080 P P P P P P P P P P P P C1 P P P P313630A P P P P313630A P P P P C2 P P P P C0 P P P P P Page 34

35 P P P A P P P P P P P063730A P C AA00000 P P063730A P P P P063730A P313630A P P P063730A P P P P P P P063730A P P B0AA00 P P P P B00120 P P P P P P P P P P P P P P P P P A P P P P A P P P B00140 P P P P P P P P P P P P P P P P P P P P P P P P P P P063730A P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P Page 35

36 P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P A P P P P313630A P P P P313630A P P P A P313630A P P P A P313630A P P P P313630A P P P P P P P A P P P P A P P P P A P P P P P P P P A P P P P P P P P P P P P063730A P P P P063730A P P P P063730A P P P P063730A P P P P P P P P P P P Page 36

37 P P P P P P P P A P P P P P P P P P P P P P P P P P P P P C00000 P P P P D00000 P P B20000 P P P P P P313630A P P P P P P P P P P P P P P P P063730A P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P P063730A P P P P063730A P P P P B30000 P P P P P P Page 37

38 Appendix A Map Index Page 38

39 Page 39

40 Page 40

41 Page 41

42 Page 42

43 Page 43

44 Page 44

45 Page 45

46 Page 46

47 Page 47

48 Page 48