Babcock Street CRA Business Assistance Plan

Transcription

BABCOCK STREET CRA SMALL BUSINESS ASSISTANCE PLAN
Table of Contents
Acknowledgements...................................................................................................................................... iii
I.
Introduction .......................................................................................................................................... 1
II.
Executive Summary ............................................................................................................................... 2
A.
Economic Activities / Strategies ........................................................................................................ 2
B.
Recruitment and Retention Programming........................................................................................ 3
C.
Marketing Activities .......................................................................................................................... 3
III. Recommended Business Assistance Programming Details .................................................................. 4
A.
Economic Activities / Strategies ........................................................................................................ 4
B.
Recruitment and Retention Programming...................................................................................... 13
C.
Marketing Activities ........................................................................................................................ 22
IV. Existing Conditions .............................................................................................................................. 24
A.
Physical Area Conditions ................................................................................................................. 25
1.
B.
Existing Land Use ........................................................................................................................ 27
Economic Environment ................................................................................................................... 30
1.
Major Employers ......................................................................................................................... 30
2.
Major Employers within the Babcock Street CRA ....................................................................... 30
3.
Major Employers Outside the Babcock Street CRA .................................................................... 30
4.
Retail Market Analysis and Demand Estimates .......................................................................... 36
5.
Employment by Sector ................................................................................................................ 38
6.
Existing Economic Development Service Providers and Associated Incentive Programs .......... 40
7.
Available (Vacant) Sites ............................................................................................................... 47
C.
Regulatory Environment ................................................................................................................. 51
1.
Assets .......................................................................................................................................... 51
2.
Challenges ................................................................................................................................... 52
3.
Future Land Use .......................................................................................................................... 53
4.
Zoning.......................................................................................................................................... 55
D.
Demographic Profile ....................................................................................................................... 59
1.
Population and Households ........................................................................................................ 59
2.
Age and Race............................................................................................................................... 60
3.
Median Household Income ......................................................................................................... 61
i
V.
4.
Disposable Income ...................................................................................................................... 61
5.
Housing Profile ............................................................................................................................ 62
6.
Babcock Street CRA Lifestyle Tapestry™ Segments .................................................................... 63
Appendix Jobs Growth Incentive Program Sample............................................................................. 68
Vi. Appendix Impact Fees Assistance Program Sample ........................................................................... 72
Vii. Appendix Rental Subisdy Program Sample ......................................................................................... 73
Viii. Appendix Micro-Loan Loss Reserve Program Agreement Sample...................................................... 77
List of Figures
Figure 1: Potential Expansion Area of CRA ................................................................................................. 11
Figure 2: Location Map ............................................................................................................................... 26
Figure 3: Existing Land Use Map ................................................................................................................. 29
Figure 4: Largest Employers Map................................................................................................................ 35
Figure 5: Zoning of Vacant Property within the CRA .................................................................................. 49
Figure 6: Ownership of Vacant Property within the CRA............................................................................ 50
Figure 7: Future Land Use Map ................................................................................................................... 54
Figure 8: Zoning Map .................................................................................................................................. 58
List of Tables
Table 1: Proposed CRA Expansion Parcel Information ............................................................................... 12
Table 2: Existing Land Uses ......................................................................................................................... 27
Table 3: Largest Employers ......................................................................................................................... 32
Table 4: Retail Market Supply- 2010 ........................................................................................................... 36
Table 5: Retail Market Demand- 2010 ........................................................................................................ 37
Table 6: Retail Market Profile- 2010 ........................................................................................................... 38
Table 7: Employment by Sector and Industry for Babcock Street CRA....................................................... 38
Table 8: Employment by Sector and Industry for Babcock Street CRA....................................................... 39
Table 9: Zoning of Vacant Property within the CRA ................................................................................... 47
Table 10: Ownership of Vacant Property within the CRA ........................................................................... 48
Table 11: Formal Site Plan Review Authority .............................................................................................. 51
Table 12: Future Land Use Distributions..................................................................................................... 53
Table 13: Zoning Distribution...................................................................................................................... 55
Table 14: Population and Household Trends .............................................................................................. 59
Table 15: Current Age and Race- 2011 ....................................................................................................... 60
Table 16: Median Household Income ......................................................................................................... 61
Table 17: 2010 Disposable Income by Age of Householder ....................................................................... 61
Table 18: Housing Units by Occupancy Status- 2000 & 2010 ..................................................................... 62
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ACKNOWLEDGEMENTS
The Littlejohn Engineering Associates Team wishes to express sincere appreciation to the City of
Melbourne CRA Advisory Committee members for their concerted efforts, time volunteered, insights
and dedication to the continued economic development of the City of Melbourne:
Babcock Street CRA Advisory Committee Members
John E. Edmiston, Chairman
Nancy E. Garmer, Vice Chairman
Neil Long
Karen Harshaw
Jim Ridenour
Larry Wuensch
Christopher R. Campanaro
Barbara Bowman
Patsy R. “Airie” West
This Babcock Street CRA Business Assistance Programming report could not have been completed
without the resources, knowledge and participation of City of Melbourne officials and staff and key
participations from local and regional economic development stakeholders:
City of Melbourne City Council and Babcock Street CRA Governing Board
Honorable Kathy Meehan, Mayor
Honorable Mike Nowlin, Vice Mayor, District 1
Honorable Betty Moore, District 2
Honorable Harry Goode, District 3
Honorable John Thomas, District 4
Honorable Molly Tasker, District 5
Honorable Greg Jones, District 6
City of Melbourne Staff
Mr. Michael A. McNees, City Manager
Ms. Cindy Dittmer, Planning & Economic Development Director
Mr. Doug Dombroski, Economic Development and Redevelopment Coordinator
Economic Development Stakeholders
Brevard Community College Small Business Development Center
Economic Development Commission of Florida’s Space Coast
Florida Institute of Technology (FIT)
Melbourne International Airport
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I. INTRODUCTION
The Babcock Street CRA Small Business Assistance Plan is part of the City of Melbourne’s on-going
economic development and revitalization efforts for the Babcock Street Corridor.
This report provides potential small business assistance programming and a proposed policy framework
for consideration by the Babcock Street CRA to assist small businesses within the CRA boundaries. The
potential activities and tasks are proposed to address current and anticipated conditions within the
Babcock Street Community Redevelopment Area, as well as, to address challenges and opportunities
that were identified during recent interviews with members of the economic development community
and City of Melbourne staff.
The proposed assistance programming was developed in accordance with Florida Statutes to provide the
Babcock Street CRA the maximum opportunity to assist small businesses. The programming and policy
framework is not intended for wholesale adoption and utilization due to its range and scope. However
the programming and policy framework is intended to provide the Babcock Street CRA a broad range of
readily available (ready for implementation) programs that the CRA may wish to utilize based on the
availability of resources for specific projects and issues that City and CRA have identified as economic
development priorities.
Going forward, it is intended that the CRA will evaluate the various programs and the policy framework
presented in this document before applying them within the district. The plan is a tool to assist the
Babcock Street CRA with implementing the best policies and programs to assist the small businesses
located within the Babcock Street CRA boundaries and complement the City’s successful economic
development program.
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II. EXECUTIVE SUMMARY
The following activities and tasks are proposed to address the opportunities and challenges that have
been identified through an evaluation of existing and anticipated conditions within the Babcock Street
CRA area. The proposed activities and tasks are also recommended to address issues and concerns that
were identified during interviews with members of the Melbourne and Brevard County economic
development community. Although this report focuses on the Babcock Street CRA, some of these
programs could be utilized city-wide. Section IV: Existing Conditions (pg. 25) of this report contains a
detailed summary of the existing conditions within the Babcock Street CRA.
The proposed business assistance programming addresses three different focus areas. These focus
areas are: (A)-Economic Development Activities and Strategies; (B)-Business Recruitment and Business
Retention Programming; and, (C)-Marketing Activities. Recommended action items are provided for
each of the focus areas and are displayed below. Additional details and examples of the recommended
programming and associated action items are presented in Section III (pg. 5), Recommended Business
Assistance Programming Details of this report. Please note that the potential success of the proposed
programming and activities is reliant upon the availability of sufficient staff resources dedicated to the
implementation and operation of the proposed programs.
A. Economic Development Activities / Strategies
1.
2.
3.
4.
5.
6.
Identify available sites and facilities within, adjacent and in close proximity to the Babcock
Street CRA.
Identify Desired Businesses and Targeted Industries for development within, adjacent and
in close proximity to Babcock Street CRA.
Examine the opportunity to establish a partnership with UCF to develop small business
incubator services within the Babcock Street CRA.
Extension of the operational lifespan and timeframe of the Babcock Street CRA.
Evaluation of opportunities for potential expansion of the Babcock Street CRA area
boundaries.
Develop a specific Vision for the desired type of development within the Babcock Street
CRA and subsequent development of associated branding and collateral marketing
materials.
2
B. Recruitment and Retention Programming
1.
2.
3.
4.
5.
6.
Establish cash assistance program (grant) for eligible targeted industries that create highpaying jobs, a.k.a., a Jobs Growth Incentive (JGI) program.
Establish an impact fee assistance program (grant) for eligible targeted industries that
create high-paying jobs.
Establish a Rental Subsidy program for targeted industries and other desired uses within
the Babcock Street CRA.
Enter discussions with local community banks to establish a micro-loan program for
businesses located within the Babcock Street CRA. Babcock Street CRA should evaluate
utilizing TIF funds to create a Loan-Loss account as an inducement to secure a local
banking partner. The loan program would provide businesses located within the Babcock
Street CRA access to commercial loans.
Establish a Business Visitation program to advertise availability of programming and to
maintain communication with members of the business community located within the
Babcock Street CRA.
Establish a Redevelopment and Construction Grant program to provide financial support
for construction and development within the CRA.
C. Marketing Activities
1.
2.
3.
4.
5.
Establish regularly scheduled Economic Development meetings with CRA stakeholders and
community groups.
Distribute collateral marketing pieces to CRA Stakeholders and community groups.
Advertise the availability of current and new Economic Development Programs and Grants
on the City’s Economic Development website.
Prepare and release (through press, City website and stakeholder groups) quarterly Public
Information Pieces regarding current programming and upcoming events and activities.
Prepare and distribute Business Assistance Program Summary cards (3”x5”) that contain
brief descriptions of available programs and pertinent Babcock Street CRA contact
information.
Implementation of these proposed initiatives will require an investment of economic development staff
time and resources. The City currently allocates 25% of a full-time employee’s time to the operation of
the Babcock Street CRA, Downtown Melbourne CRA and the Eau Gallie CRA. Implementation of the
proposed programs will also require the continued close coordination with partner agencies and
organizations that have a shared interest in the economic vitality of the City and Babcock Street CRA.
These partners include, but are not limited to Brevard Community College, the Economic Development
Commission of Florida’s Space Coast, the Florida Institute of Technology and the Melbourne
International Airport. The continued close coordination with partner agencies and groups will ensure a
complementary delivery of services, the prudent utilization of existing resources and expertise and will
minimize the potential duplication of services. The City may seek to utilize contractual, out-of-house,
third-party vendors for portions of the recommendations contained herein.
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III. RECOMMENDED BUSINESS ASSISTANCE PROGRAMMING DETAILS
The following sections of the document present additional details of the recommended economic
development activities and strategies as well as operational details for proposed recruitment and
retention programming and marketing activities. Examples of specific programming recommendation
are cited and attached in Sections V (pg. 70) through VIII (pg. 79), Appendices.
A. Economic Activities / Strategies
It is recommended that the Babcock Street CRA consider the following economic activities /
strategies to enhance the City’s current CRA programming. These activities / strategies can provide
the base information and direction to enable the Babcock Street CRA to continue its successful
economic development activities including additional business recruitment and retention
programming and marketing activities.
1. Identify available (vacant) sites and facilities within, adjacent and in close proximity to the
Babcock Street CRA
It is recommended that the Babcock Street CRA initially compile an inventory of the vacant
parcel information, within the CRA boundaries, into an accurate and representative database of
the current vacant sites for marketing of the available sites by Babcock Street CRA staff. This
information could be utilized by local realtors as well as regional economic development
officials. The information would need to be updated as development occurs. Future updates of
this information could include the addition of sites located adjacent to or in close proximity to
the Babcock Street CRA.
It is recommended that the Babcock CRA coordinate with local realtors to create and compile a
summary of the available facilities within the Babcock Street CRA. This outreach by City staff to
the realtors serving the Babcock Street CRA area could complement the realtors’ current
marketing activities for available facilities within the CRA boundaries.
It is also recommended that this information, available sites and facilities, be posted in a
searchable format on the City of Melbourne’s Planning and Economic Development webpages at
http://www.melbourneflorida.org/ecdev/.
An analysis of vacant sites, parcels without buildings, within the CRA revealed that 19.1 percent
of the CRA area was vacant, 90.29 acres out of 472 acres. With regard to the number of vacant
parcels, 59 parcels out of 226 parcels were vacant. The largest number of the vacant properties,
(15 parcels) and the greatest area of vacant parcels, 70.03 acres, are owned by the Melbourne
Airport Authority with the largest single vacant property being a total of 29.4 acres, the former
site of the Port O’ Call Airstream Park. The majority of vacant properties within the Babcock
Street CRA are relatively small, less than two acres in size. Table 10 (pg.49) presents a summary
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of the vacant property and ownership. Figure 5 (pg. 51) depicts the general location and zoning
of vacant properties within the Babcock Street CRA.
The City and the Babcock Street CRA do not have a current inventory of the available facilities
(buildings and structures) that are located within the Babcock Street CRA. This information could
be utilized by local realtors as well as economic development officials. The information would
need to be updated as development occurs.
2. Identification of Desired Businesses and Targeted Industries
It is recommended that the Babcock Street CRA utilize the targeted industries and three
strategic areas of emphasis utilized by the State of Florida and Enterprise Florida, Inc., when
evaluating businesses to recruit and retain to the Babcock Street Community Redevelopment
area. These desired businesses and targeted industries can be found currently within and
around the Babcock Street CRA. These industries are:










CleanTech
Life Sciences
Information Technology
Aviation / Aerospace
Logistics and Distribution
Defense and Homeland Security
Financial / Professional Services
Manufacturing
Corporate Headquarters
Emerging Technologies
Due to the close proximity of NASA, companies specializing in communications, electronics,
aerospace, advanced security, manufacturing, emerging technologies and Department of
Defense (DOD) related companies have expanded rapidly and have ‘clustered’ within Melbourne
and Brevard County. Several technology and communications firms are located within the
Babcock Street CRA. Section IV, Existing Condition, B, Economic Environment (pg. 33-35) details
the largest employers within and around the Babcock Street CRA.
Identification of the targeted industries by the Babcock Street CRA will enable the CRA to
potentially utilize tax increment funds (TIF) as a local funding source for business assistance
programming and also when participating with State of Florida assistance and incentive
programming that may require a local match.
The continued expansion and growth of the primary industry cluster within and around the
Babcock Street CRA will serve as an economic engine for the Babcock Street CRA business
community and the City of Melbourne as a whole. The growth and expansion of these primary
industries will increase the amount of money that is brought into the community and stimulate
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the increased utilization of the secondary businesses (retail, personal services, restaurants, etc.)
located within the CRA and the City.
Industry clusters are geographic concentrations of competing, complementary, or
interdependent firms and industries that do business with each other and/or have common
needs for talent, technology, and infrastructure. The firms included in the cluster may be both
competitive and cooperative. Firms may compete directly with some members of the cluster,
purchase inputs from other cluster members, and rely on the services of other cluster firms in
the operation of their business. An important characteristic of industry clusters is that they are
centered on firms that sell outside the local, state, or even national market. These exporting
firms are driving forces in a regional or state economy. They bring money into the area and
support many local industries. Examples of local industries that are supported by industry
clusters are restaurants, hotels, and retail.
Industry clusters play a key role in communities that have experienced continued economic
success and competitiveness.
3. Establish Partnership with UCF to develop Small Business Incubator Services
It is recommended that the Babcock Street CRA establish a relationship with the University of
Central Florida Business Incubation Program (UCFBIP) to examine opportunities to establish a
small business incubator within the Babcock Street CRA boundaries. Small business incubators
provide business counseling, training and competitively priced office space to start-up and small
businesses. Incubators are designed to spawn new and viable small firms by reducing their
initial years’ costs and providing them with management assistance. The UCFBIP is a nationally
recognized, successful business incubation program with 11 central-Florida based facilities,
http://www.incubator.ucf.edu/.
The development and operation of a small business incubator within the Babcock Street CRA
would provide a cost effective mechanism to recruit small, start-up, technology oriented
(targeted industry) firms to locate within the CRA and, upon graduation, encourage the firms to
locate their on-going operations with the Babcock Street CRA, City of Melbourne and Brevard
County. Businesses do not have to physically locate or be a tenant at the small business
incubator in order to access the available programming and counseling. The UCFBIP provides
‘incubator without walls’ services to clients that are not physical tenants of the facility. This
feature of the UCFBIP increases the outreach effect and accessibility of the programs.
TIF funds could potentially be utilized to offset the annual operations and management fees
associated with build-out and operations of the incubator facility. Annual operational costs for
UCFBIP incubator facilities vary from ~$50-75K upwards to ~$200K-$250K. UCF traditionally
requests a five (5) year service agreement from a participating municipality or county for the
operation of a UCFBIP facility within its jurisdiction.
6
In December 2012, the Technological Research and Development Authority (TRDA) authorized a
phased shutdown and dissolution of the TRDA small business incubator facility located at
Melbourne International Airport. The shut-down of the TRDA small business incubator facility
will create a gap for the provision of these services within the City of Melbourne. All operations
at the TRDA facility are anticipated to be completed on or before December, 2013.
Please note, this recommendation is meant to complement and not compete with the current
Small Business Development Center (SBDC) program operated through Brevard Community
College, which is a sub-center of the Small Business Development Center of the University of
Central Florida. Brevard’s SBDC has been serving Brevard County since 1990. SBDC sponsors
seminars and workshops at no cost and fee-based courses and conferences that address a
variety of topics, such as business start-up, basic management techniques, business planning,
record keeping, specific industry issues, government contracting, international trade,
computerization and many others depending on clients' requests and needs. The proposed
UCFBIP project fills a different niche in small business and start-up business support and
development. Participants in the UCFBIP are screened and interviewed for participation and
must complete a prescribed training and educational program. The SBDC programs and
workshops are available to all Brevard businesses and residents.

Potential Small Business Incubator Facility Locations within the Babcock Street
CRA
A review of the existing vacant inventory
within the CRA found two potential sites
that may be suitable for development of an
incubator facility. The first potential site is
recently vacated building just north of
Keiser University along Babcock Street that
is owned by the Melbourne International
Airport. The property is located at 800
Babcock Street and is known as the former
Barnhill’s Site. Since being vacated, the property has been cleaned up and renovated to
operate as an office. This site meets all the criteria needed of a traditional incubator
and is located in the heart of the CRA near major educational and research
opportunities. The UCFBIP has recently completed establishing a small business
incubator at a previously vacant, renovated Barnhill’s restaurant facility located in
Apopka Florida. This facility has been transformed into a ~11,000 sq. ft. small business
incubation facility located within the City of Apopka’s downtown CRA.
7
The second potential small business incubator
site is located at the north end of the Babcock
Street CRA and is part of the Palms Pointe
Office Condominium complex.
The office
complex is located at 402 N. Babcock Street and
has various suites available for rent. Depending
on the desired size of the incubator and
availability, the office complex could support an
incubator. A review of property listing determined that the office complex currently has
several raw shell suites available for build out including two suites that when combined
total 2,500 square feet. While the office complex may meet all the criteria needs of a
traditional incubator, it is not centrally located within the CRA and it is recommended
that if a CRA decides to purse a traditional incubator that further evaluation of sites and
facilities be undertaken to determine the best location. It should also be noted the
location of the facility and the costs associated with locating a facility may be lowered
by finding other active partners.
4. Extension of Operation Timeframe of Babcock Street CRA
It is recommended that the Babcock Street CRA seek to extend its operational timeframe to the
maximum sixty (60) years as authorized by the Florida Statutes. Extending the period of
operation of the Babcock Street CRA would enable the long-term implementation and operation
of the CRA’s business assistance programs and continuation of the CRA’s successful physical
improvement and streetscape programs. Extension of the operational lifespan of the Babcock
Street CRA would also provide a mechanism to address the ‘lost-years’ associated with
economic recession period 2008-2013. This period was characterized by 5 continuous years of
property devaluation and proportionally decreasing tax increment fund revenues.
The Babcock Street CRA was created in 1997 through a delegation of authority from Brevard
County by Resolution Number 97-187. While the delegation of authority granted the City of
Melbourne all the powers to create and operate a community redevelopment agency, specific
conditions were included in Section III of the resolution that limits the City’s capabilities.
Condition C of Section III provides for the delegation of authority to last for 25 years from the
1997 date of creation of the CRA and terminates the CRA in 2022. It is recommended that the
City of Melbourne initiate discussions with Brevard County government regarding potentially
modifying the Resolution 97-187 that grants the Delegation of Authority to expand the
operational time frame of the Babcock Street CRA and amending Section III Condition C to allow
the CRA to continue for an additional 30 years beyond the 2022 terminus. As authorized by
Florida Statutes, Section 163, Redevelopment Act. Each time the Babcock Street CRA amends its
Community Redevelopment Plan it may extend the operational timeframe of the CRA,
8
conditional upon receiving the appropriate delegation of authority from Brevard County. The
maximum time limit for operation of the Babcock Street CRA could be sixty (60) years from the
adoption of the initial Community Redevelopment Plan (1997)’s after its initial term ends,
through 2057. In order to achieve the maximum sixty-year (60) operational lifespan, the
Babcock Street CRA would need to amend the current Babcock Street Community
Redevelopment Plan and the current delegation of authority to allow the CRA to operate until
2027. Prior to the expiration of 2027 operational extension, the Babcock Street CRA would need
to again amend the revised Babcock Street Community Redevelopment Plan and the revised
delegation of authority to allow the CRA to operate an additional thirty-years (30) until 2057.
This activity is authorized in Section 163.340(22), however the extension of the operational
timeframe of the CRA is conditional upon receiving the appropriate delegation of authority from
Brevard County.
The extension of the operational timeframe of the Babcock Street CRA would enable the CRA to
continue to implement its successful physical improvement program of the area and also to
continue to implement its business assistance programs into the future for a significant period
of time. The continued implementation of the City’s successful redevelopment programming
would ensure a long-term continuance of the City and CRA’s programming during the long
delayed FDOT realignment of the Babcock Street corridor just north of New haven Avenue (US
192). The Babcock Street CRA roadway network will also be significantly impacted by the
pending installation of the new I-95 and Ellis Road interchange.
The long-term availability of CRA programming funds could be used to assist potentially
displaced businesses along South Babcock Street. The long-term availability of CRA
programming and funding could also be used to address potential transportation impacts within
the Babcock Street CRA area that occur as a result of the Ellis Road, I-95 interchange installation,
the continued development of vacant parcels around Melbourne International Airport and the
subsequent increases in commuter and employee traffic. Extension of the operational lifespan
of the Babcock Street CRA would also provide a mechanism to address the ‘lost-years’
associated with economic recession period 2008-2013 and the lack of tax increment fund
revenues during the period.
5. Expansion of Babcock Street CRA area boundaries
It is recommended that the Babcock Street CRA seek to expand the CRA area’s boundaries to
include additional vacant, undeveloped lands located near and within Melbourne International
Airport properties. The availability of the Babcock Street CRA’s redevelopment programming
and TIF funding would be valuable tools that could assist and augment the Melbourne
International Airport Authority’s ongoing economic development efforts and provide additional
resources for capital/infrastructure improvements. It is estimated that the proposed expansion
area, if fully developed could generate up to $12,000,000 in cumulative TIF Revenue for the
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Babcock Street CRA during the current operational lifetime of the CRA (through 2022) 1. A map
showing a proposed potential expansion area is shown in Figure 1 (pg. 12) along with potential
expansion area parcel data shown in Table 1 (pg. 13).
The Babcock Street CRA was created in 1997 through a delegation of authority from Brevard
County by Resolution Number 97-187. Sections 1.b, f. and g. of Resolution Number 97-187
enables the Babcock Street CRA to, “…adjust or otherwise modify the boundaries of the
Community Redevelopment Agency;”, “…..to designate areas appropriate for community
redevelopment;……” and “The power to grant approval to a community redevelopment plan and
modifications thereof;”, respectively. This authority enables the Babcock Street CRA to modify
the boundaries of the CRA and amend the affected portions of the Community Redevelopment
Plan without the approval or further authorization of Brevard County government.
The Babcock Street CRA has been expanded in 2002 and 2003 by Resolutions numbered 1734
and 1805, it is recommended that the CRA be expanded again to assist the Airport Authority’s
and City’s shared economic development objectives.
1
Ad-valorem revenue refers to City of Melbourne and Brevard County ad-valorem revenue on new construction
only. Potential TIF revenue estimates generated utilizing general development assumptions regarding site
utilization, current City County millage rates, current operational lifespan of the CRA and 2012 industry standard
construction values, City of Melbourne Land Development Code and a 15 year build-out period.
10
Figure 1: Potential Expansion Area of CRA
Source: Brevard County Property Appraiser, City of Melbourne, Melbourne International Airport Future Land Use Map and Littlejohn Engineering Associates, 2012.
11
Table 1: Proposed CRA Expansion Parcel Information
Legend
Owner Name
1
MIMA OF MELBOURNE PROPERTY OWNERS
2
HARRIS CORPORATION
3
MELBOURNE, CITY OF
SecondName
ATTN: CITY MANAGER
4
MELBOURNE, CITY OF
MELBOURNE AIRPORT AUTHORITY
5
MELBOURNE, CITY OF
6
MELBOURNE, CITY OF
7
BREVARD COUNTY
8
MELBOURNE, CITY OF
9
MELBOURNE, CITY OF
10
ThirdName
ASSOCIATION INC
Acreage Zoning
Comp Plan
Use Code Existing Land Use
1.31 M1
COM/IND
5.51 M1
COMM/INDUST
4100 I
64.67 M1
COMM/INDUST
8090 V
COM/IND
8090 V
10.32 M1
(TENANT: VERIDIAN SYSTEMS DIV)
0.31 M1
24.12 M1
1033 V
8090 V
INDUSTRIAL.
8090 V
C/O ASSET MANAGEMENT
3.91 M1
CON
8020 V
(TENANT: NORTHROP GRUMMAN CORP)
4.00 M1
INDUSTRIAL
8090 V
(TENANT: TECHNOLOGICAL RESEARCH
5.33 M1
COM/IND
8910 MAA
SEARS ROEBUCK & CO
1.39 M1
INDUSTRIAL
1100 C
11
SUTTON PROPERTIES OF MELBOURNE LC
4.53 M1
INDUSTRIAL
1700 O
12
NASA PALMS PROFESSIONAL CENTER
1.43 C2
COM/IND
1000 V
13
CIRCLES OF CARE INC
9.17 M1
INDUSTRIAL
1940 O
14
ACOPIAN TECHNICAL CO
2.42 M1
INDUSTRIAL
4800 I
15
EL-MAHDAWY, FAWZIA A
EL-MAHDAWY, AHMED M TRS ET AL
COMM/INDUST
4000 V
16
MELBOURNE, CITY OF
(TENANT: WORKSTAGE-MELBOURNE LLC)
4.01 M1
INDUSTRIAL
8930 MAA
17
MELBOURNE, CITY OF
19.28 M1
INDUSTRIAL
8930 MAA
LTD
23.03 M1
18
MELBOURNE, CITY OF
(TENANT: ROCKWELL INT'L CORP)
44.64 M1
COMM/INDUST
8930 MAA
19
MELBOURNE, CITY OF
48.20 M1
INDUSTRIAL
8930 MAA
20
MELBOURNE, CITY OF
21
MIMA REAL ESTATE LLC
22
FLORIDA DEFENSE PROPERTIES LLC
23
MELBOURNE, CITY OF
24
OB/GYN SPECIALISTS OF BREVARD
REAL ESTATE LLC
25
MELBOURNE, CITY OF
26
MIMA LAND LLC
27
HARRIS CORP
28
MELBOURNE, CITY OF
29
ACOPIAN MANUFACTURING CO INC
9.99 M1
INDUSTRIAL
8930 MAA
1.21 M1
COMM/INDUST
4800 I
C/O SYMETRICS INDUSTRIES INC
5.79 M1
COMM/INDUST
4100 I
7.38 M1
INDUSTRIAL
0.42
TAX DEPT
(TENANT: NOKIA FACILITY MANAGER)
LLC
8930 MAA
1704 O
5.00 M1
COMM/INDUST
1.98 M1
COM/IND
4000 V
COMM/INDUST
1940 O
54.66 M1
8930 MAA
13.74 M1
INDUSTRIAL
8930 MAA
49.82 M1
INDUSTRIAL
4100 I
30
RUTHERFORD & STRICKLAND MELBOURNE
2.00 M1
COM/IND
1700 O
31
1995 NASA GROUP LLC
6.66 M1
INDUSTRIAL
1920 O
32
NASA-GATEWAY LLC
2.08 M1
COM/IND
1800 O
33
MELBOURNE, CITY OF
167.13 M1
COM/IND
8930 MAA
34
MELBOURNE, CITY OF
167.13 M1
35
MELBOURNE, CITY OF
66.21 M1
COM/IND
8930 MAA
IND
8930 MAA
36
MELBOURNE, CITY OF
167.13 M1
COM/IND
8930 MAA
37
MELBOURNE, CITY OF
167.13 M1
COM/IND
8930 MAA
38
MELBOURNE, CITY OF
(TENANT: HENDERSON-COLUMBIA CORP)
3.50 M1
COMM/INDUST
8930 MAA
39
MELBOURNE, CITY OF
2.00 M1
COMM/INDUST
8930 MAA
IND
8930 MAA
40
41
0.00
MELBOURNE, CITY OF
(TENANT:TIC NASA BLVD 1 LLC ETAL)
19.46 M1
0
Source: Brevard County Property Appraiser, City of Melbourne, Melbourne International Airport Future Land Use Map and Littlejohn Engineering Associates, 2012.
12
6. Development of Babcock Street Vision Plan
It is recommended that a Babcock Street Vision Plan and brand/image be developed for the
Babcock Street CRA to develop a community based visual theme for the public spaces within the
corridor and also to focus marketing
activities, create a buzz regarding the area
and to help establish an identity for the CRA.
The Babcock Street area is currently a
burgeoning employment center and an active
retail corridor with no easily recognizable
visual theme or set identity. A brand/image
or visual theme developed for the Babcock
Street CRA may build upon the themes or
branding activities currently utilized by the
Gateway leading into historic,
City of Melbourne. These potential themes
downtown Melbourne.
or brand/images may include current
geographic references to the area such as “Mid-Town Melbourne”, “Mid-Town Business Center”
or “Central Business District” for example. Any potential theme or brand used by the Babcock
Street CRA may be reinforced through the use of marketing materials or advertisements, or
physical improvements to the public realm. These improvements may include the installation of
street light banners on the major corridors, the construction of gateway features at key points
of entry to the CRA, and the installation of consistent streetscape themes (signage, lighting,
landscaping, hardscaping, transit stops, etc.).
B. Recruitment and Retention Programming
The Babcock Street CRA should consider establishing additional business recruitment and existing
business retention programs to complement the City and CRA’s existing economic development
programming. The CRA business recruitment and retention programming could also serve to
complement the regional economic development programming provided by the Economic
Development Commission of Florida’s Space Coast. Although this report focuses on the Babcock
Street CRA, some of these programs could be utilized city-wide. Below is a list of potential programs
and policies that the CRA could establish to develop a more robust suite of economic development
opportunities.
1. Jobs Growth Incentive (JGI) Fund
It is recommended that the Babcock Street CRA in conjunction with the City of Melbourne
develop a Jobs Growth Incentive program that provides an ‘up-front’ cash incentive or
assistance to eligible new or expanding targeted industries within the Babcock Street CRA that
meet specific job creation criterion including salary level and number of jobs created within a set
time period. This program may be utilized by expanding or relocating targeted industries to
13
offset relocation or expansion costs. Potential funding sources for this program may include the
City’s General Fund, the Babcock Street CRA Tax Increment Fund or other funding source to be
identified. This local incentive could be utilized in conjunction (stackable) with other state and
local incentives.
Summary of Proposed JGI Program Characteristics
Below are sample general characteristics of the proposed City of Melbourne Babcock Street CRA
JGI program. Sample program operational detail addressing eligibility to participate in the
program, the application process and informational requirements, potential maximum award
amounts, evaluation of applications, approval of awards and required Performance Agreements
and Surety instruments, disbursement of award funds and reporting by award recipients and
monitoring of performance by award recipients are presented in Section V (pg. 70), Appendices.
•
•
•
•
•
The Melbourne Babcock Street CRA Jobs Growth Incentive program is a cash incentive
program that is available to targeted industries only.
Targeted industries must satisfy specific criteria, including minimum job creation amounts,
salary levels and a job retention period, in order to apply for consideration of an award.
The incentive/assistance is an inducement to relocate or expand a facility within the City of
Melbourne’s Babcock Street CRA.
The incentive/assistance is a “but for” incentive that must be applied for before the
applicant has finalized the relocation decision process or initiated the construction or
expansion of their facility.
Potential maximum awards amounts may be based on comparative salary levels, new jobs
created and overall economic impacts. The table below shows examples of potential
maximum award amounts based on comparative salary levels and new jobs created.
New Job Creation
Maximum Potential
Amount of JGI Award
New permanent, fulltime job paying a minimum of 80% of the
Brevard County average annual wage as determined by the $800 per new job created
Enterprise Florida, Inc.
$1,000.00
Brevard County average annual wage as determined by the
created
$1,500.00
created
$2,000.00
created
per
new
job
per
new
job
per
new
job
14
•
•
•
•
•
•
•
The Melbourne City Council, after due diligence and evaluation of the potential economic
impact of the JGI award, may at its discretion and authority approve and authorize the City
to enter into a Performance Agreement with the applicant to facilitate the award of JGI
Funds.
No JGI Funds may be disbursed prior to the satisfactory execution of a Performance
Agreement between the applicant and the City.
JGI funds may be used to reduce impact fees costs, offset expansion costs or offset
relocation costs.
The Performance Agreement will detail specific responsibilities of the Applicant that must
be satisfied in order to receive JGI Funds.
An integral component of the Performance Agreement is a Performance Bond or other
Surety Instrument, equal to the amount of the award that is satisfactory to the City. This
Performance Bond or other Surety Instrument must be activated and maintained by the
applicant during the term of the Performance Agreement.
The applicant will provide annual Performance Reports to the City of Melbourne
documenting and attesting to the satisfaction of the terms and conditions of the executed
Performance Agreement.
The City may ‘claw-back’ the award through a call-in of the Performance Bond or Surety
Instrument if the applicant does not satisfy the terms and conditions of the executed
2. Impact Fee Assistance
It is recommended that the Babcock Street CRA in conjunction with the City of Melbourne
evaluate the applicability of an Impact Fee Assistance program to eligible target industries or
businesses within the Babcock Street CRA that meet specific job creation criterion. This
program may be used in conjunction with the Jobs Growth Incentive program to proffer a
potential alternative or add-on to the cash for jobs-created incentive and offer impact fee
credits for City charged impact fees for qualifying applicants.
The specific program criteria, to be developed by the City, should have similar participation and
operational criteria as the aforementioned JGI program (i.e., targeted industry only, job
creation, salary levels requirements, potential award amounts, etc.) in order to facilitate the
ease of use the program by applicants and administrators. The form of the impact fee
assistance could be the application of the award amount in ‘credits’ for impact fees charged by
the City of Melbourne. Currently the City charges impact fees for water and sewer services,
transportation services and public facilities. An eligibility and potential maximum award table
for the Impact Fee Assistance program is shown in Section VI (pg. 74), Appendices.
3. Rental Subsidy Program for Incubator Program Graduate Companies
It is recommended that the City and the Babcock Street CRA evaluate the opportunity to
establish a rental subsidy program to attract targeted industry incubator program (NBIA
registered programs) graduates to vacant facilities located within the Babcock Street CRA. This
program is designed to support incubator graduate companies and other targeted businesses to
15
establish a presence within the Babcock Street CRA. A rental
subsidy program would pay a portion of the annual rental costs
for eligible companies during a prescribed time period (one
year, two years, etc.) The specific program criteria, to be
developed by the City, can have similar participation criteria as a
JGI program (i.e., targeted industry only, job creation, salary
level threshold requirements, etc.). However this program may
be selectively focused on assisting startups (incubator program
graduates) and other targeted industries and uses.
Rental subsidies may also be used to attract nontarget industries to the Babcock Street CRA.
Examples of non-target industries are specialized
retail or niche commercial development such as art
galleries, antique shops or other specialized
retail/service that is a desired development
component or part of a community vision objective.
Please note, the Babcock Street CRA is an active
retail corridor within Brevard County that provides
good and services to a large, daytime commuter population and the surrounding
neighborhoods. Based on a recent retail market analysis, the current retail market composition
and concentration of businesses provides a retail supply and level of services that is greater than
the estimated demand from the adjacent neighborhoods and the neighborhoods surrounding
the Babcock Street CRA. The excess retail and service supply is supported by daytime
commuting employees and visitors that live outside of the Babcock CRA. A complete retail
market analysis of the Babcock Street CRA is located in Section VII (pg. 75), Appendices.
Summary of proposed Rental Subsidy Program Characteristics
•
The intent of the program is to provide additional financial assistance to encourage the
development of start-up, high-growth potential companies within the Babcock Street CRA
and capture potential spin-off companies from the City and County’s technology cluster.
•
The Program may be limited to recent (within the past 12 months) graduates of a small
business incubator program, said program is a member of the National Business Incubation
Association (NBIA), including but not limited to UCF Business Incubator Program (UCF BIP),
Technological Research and Development Authority (TRDA), Seminole State College Central
Florida Business Incubation Center (SSC CFBIC) and Seminole State College Seminole
Technology Business Incubation Center (SSC STBIC).
•
An eligible business may only apply once during a one year period.
•
Applicants may only receive one rental subsidy grant award through this program.
16
•
The maximum amount of funding available to any one (1) applicant or business
establishment shall be $12,000 in a twelve (12) month period for rental subsidy.
•
The funding award will be administered over a twelve (12) consecutive month period.
•
The award recipient shall be paid the rent subsidy as agreed upon in an executed
performance agreement between the applicant and the City on a per quarter basis following
the satisfactory submittal of proof of rent paid for rental subsidy portion of the program.
Sample proposed Rental Subsidy program operational detail is attached in Section VII (pg. 75),
Appendices.
4. Micro-Loan Program Using CRA Loan-Loss Guarantee Program
It is recommended that the Babcock Street CRA should evaluate the utility of providing TIF funds
for use by a local banking partner(s) as a loan-loss reserves for a commercial micro-loan
program to serve small businesses (less than 20 employees) located within the Babcock Street
CRA. The CRA should seek to enter into discussions with local community banks to gauge
interest to establish a micro-loan program for small businesses located within the Babcock
Street CRA. The Babcock Street CRA could utilize TIF funds to create a loan-loss reserve account
for Babcock Street CRA area loans as an inducement to secure a local banking partner. A sample
agreement (for potential use between City of Melbourne Babcock Street CRA and banking
partner) and program outline are located in Section VIII (pg. 79), Appendices. This program
could be accessible to non-targeted industries such as retail and service providers (restaurants
and personal services).
Summary of proposed Micro-Loan Program Characteristics
•
A deposit from the Babcock Street CRA Trust Fund that will act as a loan loss reserve for loan
pool to be established with a local bank.
•
This loan pool will be administered by a Brevard County banking partner to provide small
business loans of values less than $40,000 to eligible applicants. To be determined banking
partner would utilize SBA eligibility protocol.
•
The proposed Micro Loan program may assist the banking partner (tbd.) to realize various
Community Reinvestment Act performance criteria or other similar ‘Socially Responsible
Banking Programs’.
•
Applicant businesses must be located within the CRA.
•
Applicant businesses must be an existing or new business with 20 or fewer employees.
•
Existing businesses that have not been in operation for more than two years may need to
furnish financial statements.
17
•
New businesses or those that have been in operation for fewer than two years may need to
obtain technical assistance to help in developing a business plan and marketing strategy.
•
Once these initial requirements are met, applicants may apply for a loan with banking
partner
5. Business Visitation Program
It is recommended that the Babcock Street CRA implement a formal business visitation program
to complement the CRA’s current business outreach programs. This program is designed to
enable CRA staff and the City staff to establish relationships with businesses and employers
within the CRA, identify challenges and issues that the companies may be facing, and provide
the companies with information about the available programs and services provided by the
Babcock Street CRA and other agencies that serve the Babcock Street CRA area and the City of
Melbourne. Businesses often do not know where to get help and may be reluctant to approach
City or County government.
It is recommended that CRA staff visit two (2) or more businesses per month beginning with the
largest employers within the CRA. A listing of the largest employers within the Babcock Street
CRA is located in Section IV, Existing Condition, B Economic Conditions (pgs.33 & 36). The City
may wish to initiate this process on a City-wide basis as part of its overall economic
development activities. Many cities incorporate business visitation activities as part of their
overall economic development business retention programming. While this recommendation
does not directly require additional funding it does require a dedication of staff time and
associated resources.
6. Redevelopment and Construction Grant Program
It is recommended that the Babcock Street CRA evaluate the
utility of establishing a Redevelopment and Construction
Grant program to stimulate private sector development
within the Babcock Street CRA. The program would be
utilized to stimulate exterior redevelopment and new
construction above and beyond what a traditional ‘façade’
grant program addresses. The proposed program would
provide up to 20% of the total project costs per building in a refund format. Funds would need
to be approved annually to fund the program and each applicant would be evaluated on a caseby-case, first come first serve basis contingent upon funds availability. The Babcock Street CRA
Governing Board would determine if applications submitted for consideration should receive an
award. Below are listed some of the program’s proposed operational guidelines.
18
Summary of proposed Redevelopment and Construction Grant Program Guidelines
• Eligible to businesses and property owners located with the Babcock Street CRA that are not
delinquent on their property taxes, do not have outstanding code violations or code liens and
are current with their Business Tax Receipt (BTR).
• An application and proposed improvements must be consistent with the applicable Land
Development Code requirements and further the goals outlined in the Babcock Street CRA
Community Redevelopment Plan.
•
Applicants must propose a conforming/permitted use within the CRA.
•
Eligible improvements may include:
o
o
o
o
o
o
o
o
o
o
o
Contaminant removal, interior and exterior
Ingress and egress improvements
Exterior lighting
Exterior signage
Exterior windows
Façade enhancements
Landscaping
Parking improvements
Roofing
Sidewalks
Utilities, including but not limited to: relocation and improvements of existing utilities;
waterline installation and improvements; stormwater and drainage improvements; lift
stations; sewer lines, and reclaimed water.
• Special site specific needs (as determined and approved by the Babcock Street CRA Advisory
Board and City Council).
• A maximum amount of 20% of the total project cost of a non-landscaping project may be
allocated for an award from this program.
• For landscaping costs, that are part of a larger
capital improvements project, 100% of the total
landscaping costs may be paid for by the grant (as
determined and approved by the Babcock Street
CRA Advisory Board and City Council).
• Applicants must submit a CRA approved
application form to the Babcock Street CRA
Coordinator for review and processing.
The
application should contain the following
information:
o Applicant information
19
o
o
o
o
o
o
o
o
o
o
o
o
Listing of businesses or services offered on site
Description of proposed improvements
Identification of the projects support of the Babcock Street CRA Community
Redevelopment Plan
Current BTR
Rendering or sketch of proposed improvements
Architectural plans-elevations drawings, dimensions, measurements, etc.
Color and material samples
Sign/awning design drawings and/or plans
Construction and renovation plans must include three (3) independent bids or quotes
for construction
Landscaping cost estimates must include three (3) independent bids or quotes for
installation and materials
Signature of the property owner
(Authorization) and Applicant, and
Completed application form
• The Applicant is responsible for all building
permits, other permits and associated fees for
the proposed project.
• Applications will be reviewed for
anticipated return on investment (ROI) via
additional ad-valorem and TIF revenue
generated by the project.
• Grant recipients will be required to submit a Substitute W9 form to the City before funds
may be distributed.
• Upon completion of improvements, final inspection and approval by the Babcock Street CRA
Coordinator and issuance of a Certificate of Occupancy (if applicable), the Applicant submits a
reimbursement package to the Babcock Street CRA. Said reimbursement package shall include:
o
o
o
o
Completed reimbursement form (Provided by the CRA)
Copies of applicable invoices or receipts (Proof of Payment)
Proof of payment for improvements
Photos of improvement (Before and After)
• Applicants will receive award funds after the project is completed and all associated costs
have been paid.
• The Babcock Street CRA reserves the right to make on-site inspections throughout the
course of the project .
• If the project is not completed, is not approved in its final inspection, or does not receive its
Certificate of Occupancy (if applicable) within one year of award, the grant shall expire.
Extensions may be granted at the pleasure of the Babcock Street CRA and or City.
20
• Applicants have 12 months from the completion date of the project to file for
reimbursements according to the procedures set for in the contract between the Applicant and
the Babcock Street CRA. The Babcock Street CRA is not responsible for informing the Applicants
of this deadline.
• If an Applicant has more than one project within the Babcock Street CRA, grant applications
will not be considered if the single building under the same ownership has received grant funds
for the same project for a period of ten (10) years.
21
C. Marketing Activities
It is recommended that the Babcock Street CRA should consider implementing additional marketing
activities to advertise the availability of the CRA’s current and proposed (if adopted) programming
and services, available sites and facilities and to enhance their recruitment and retention
programming and to implement economic activities / strategies. These marketing activities would
allow for the CRA to not only highlight programs that are offered to existing businesses but allow the
CRA and City to attract new businesses.
1. Economic Development Informational and Outreach Meetings
It is recommended that the Babcock Street CRA
evaluate the establishment of regularly scheduled
Babcock Street CRA economic development outreach
meetings. These meetings would enable the Babcock
Street CRA and the City of Melbourne to advertise
available programs and services and establish an
additional outreach mechanism to reach residents and businesses located within and adjacent
to the CRA. These meetings could be scheduled on a rotating basis to be held at various
organizations’ locations and agencies’ facilities that are part of the CRA’s economic development
community and share a similar mission. These agencies and organizations include the Economic
Development Commission of Florida’s Space Coast (EDC), Brevard Community College’s Small
Business Development Center (SBDC), Florida Institute of Technology (FIT), University of Central
Florida (UCF), Melbourne International Airport (MLB), Brevard County Government and local
Brevard-based chamber organizations. The schedule and frequency of these meetings would be
determined by the Babcock Street CRA and coordinated with the members of the development
community’s agencies and other service organizations.
2. Distribute Collateral Marketing Pieces to CRA Stakeholders and Community Groups
The City of Melbourne is developing economic development marketing pieces depicting the
economic benefits and quality of life advantages associated with establishing your business and
residence in the City of Melbourne. These marketing pieces are to be utilized by the City’s
Economic Development team, the City’s CRA’s and the City’s regional and community economic
development partners. It is recommended that the City provide print and electronic copies of
the document for distribution to the City’s economic development partners to complement
their activities and for use as collateral marketing materials. It is also recommended that the
City maintain contact with their economic development partners through regularly scheduled
briefing meetings to determine when the partners’ collateral marketing material stocks need to
be replenished.
22
3. Advertise the Availability of Current and New Economic Development Programs and Grants on
the City’s Economic Development Website
In order increase awareness and utilization of the City’s and CRA’s current and new economic
development and business assistance programs it is recommended that the City and the
Babcock Street CRA post the program information, including eligibility, applications process and
forms, potential award amounts and anticipated frequently asked questions on the City’s
Economic Development webpage.
4. Prepare and release (through press, City website and press releases and stakeholder groups)
quarterly Public Information Pieces regarding current programming and upcoming events and
activities.
It is recommended that the Babcock Street CRA prepare public information pieces for periodic
distribution to the press, placement on the City’s website and distribution to various
stakeholder groups (i.e., Chambers of Commerce, SBDC, Economic Development Commission of
the Space Coast, etc.) Content of pieces may include information regarding on-going work
program updates (Babcock Street realignment and r.o.w. acquisition by FDOT, streetscaping,
property acquisition, etc.) and information about current CRA business assistance programming
and upcoming meetings and special events. The use of these information releases can be
important when establishing awareness about the economic development programs within the
CRA and the City. These pieces can be used by media outlets, city staff, other economic
development agencies and residents to promote the CRA and the City. Having ready available
information pieces allows for the City of Melbourne to stay in the public eye and attract the
attention of businesses relocating or expanding.
5. Economic Development and Business Assistance Program Summary Cards
The Program Summary Card is a low-cost, often a 3”X5” paper card, marketing piece that is used
to provide a snapshot of what economic development and business assistance programs are
available to businesses within the CRA. The Program Summary Card can highlight the targeted
industries or locations, why a business should located in the CRA, general information about
incentive and assistance programs and CRA contact information. It is recommended that the
Babcock Street CRA develop Program Summary
Cards for use and distribution by City and CRA staff
and potentially elected officials when attending
public events, meetings or conducting other
outreach activities.
Program Summary Cards
provide a low-cost, take-away item that may be
used as a complementary collateral marketing piece
in conjunction with print brochures, websites and
traditional outreach and marketing activities.
23
IV. EXISTING CONDITIONS
This section of the Plan assesses breadth and range of the current conditions that affect development
within the Babcock Street CRA area.
The physical conditions are evaluated including the size, boundaries and physical development within
the corridor. Existing land uses and composition of current development is also examined.
The economic environment including major employers, retail market composition, existing business
assistance or incentive programs, available vacant land are presented.
The regulatory environment conditions are examined. The regulatory conditions evaluated include
future land use classifications, zoning classifications and land development regulations.
The demographic composition of the Babcock Street CRA and a detailed lifestyle tapestry analysis of the
Babcock Street CRA and adjacent census tracts are also presented.
Based on Stakeholder interviews and discussions, assets, challenges and recommendations for each of
the above subject areas are presented where applicable.
24
A. Physical Area Conditions
The physical attributes and conditions of the CRA are suitable for a wide range of development. The
only challenge that was identified related to the size of the properties available for development
within the CRA. The majority of the properties are relatively small in size and may have to be
consolidated to assemble sufficient property large enough for a medium to large development
project. The Babcock Street CRA has been assembling parcels that individually are too small to
accommodate development. These assembled parcels will be evaluated for potential reuse
opportunities.
The Babcock Street CRA is described as the frontage parcels from US-1 southward to Apollo
Boulevard. The area then widens to include all parcels east of Airport Boulevard and west to Apollo
Boulevard southward to Sheridan Road (a portion of Melbourne International Airport property). The
area continues to follow along the eastern edge of Airport Boulevard and narrows to only include
the frontage parcels on the east side of Babcock Street to Hibiscus Boulevard. This area does not
include the area west of Airport Boulevard along NASA Boulevard. The area moves eastward along
Hibiscus Boulevard, including all parcels along the south side of the roadway to Melbourne
Auditorium. The area then continues southward on Babcock Street to include all frontage parcels,
including all of the Fee Avenue Park Property, ending at U.S. 192 (New Haven Avenue). The Babcock
Street CRA is characterized by three distinct areas or districts: the Northern area, the Central area
(Core area) and the Southern area.
Overall, the Babcock Street CRA is approximately 472 acres in total size, excluding roadways and
public right-of-way, and is comprised of approximately 226 parcels. Figure 2 (pg. 27) shows the
location of the Babcock Street CRA, major roadways and the area immediately adjacent to the CRA
boundaries.
25
Figure 2: Location Map
26
1. Existing Land Use
The two primary existing land uses within the Babcock CRA, as identified by the Department of
Revenue (DOR) codes provided by the Brevard County Property Appraisers Office, are Retail and
Airport Authority uses with 112.65 and 73.27 acres, respectively. These uses represent
approximately 40 percent of the total area of the CRA. The properties controlled by the Airport
Authority include residential, commercial, industrial, vacant and manufacturing uses. The third
largest use is Public Land/Institutional, with over 95.49 acres or 20.23 percent of the total area of
the CRA. Melbourne High School, Kindred Hospital and other park areas are included in Public
Land/Institutional. Office uses make up the fourth largest use with 46.04 acres or 9.75 percent in
the total CRA. The fifth and sixth largest uses in the CRA are vacant properties and industrial
properties. There is approximately 90.29 acres or 19.13 percent of vacant property spread
throughout the CRA. More information on the vacant property within the CRA can be found in
Section VI (pg. 48). The Industrial use has approximately 25.17 acres or 5.33 percent located in the
CRA. The remaining uses within the district are Hotel, Single-family Residential, Multi-family
Residential and Other. Figure 3 (pg. 30) shows the Existing Land Use Classification and their location
within the Babcock Street CRA. Table 2, below, details the distribution of the Existing Land Uses
within the Babcock Street CRA.
Table 2: Existing Land Uses
Existing Land Use (ELU)
Retail
Airport Authority
Public Land Institutional
Office
Industrial
Hotel
Single-family Residential
Multi-family Residential
Other
Vacant**
Total
Parcels
77
13
14
48
5
2
3
2
4
59
227
Acres
112.65
73.27
95.49
46.04
25.17
11.29
0.69
14.74
2.12
90.29**
472.00*
Percent of
Acres
23.87%
15.52%
20.23%
9.75%
5.33%
2.4%
0.15%
3.1%
0.45%
19.13%
99.93%
Source: Brevard County Property Appraiser’s Office-Parcel Data records, City of Melbourne, Melbourne International Airport Future Land
Use Map and Littlejohn Engineering Associates, 2012.
Note: Right-of-way has been removed from the total acres
* Small differences in total number of acres are due to Brevard County Property Appraiser’s Office GIS mapping configurations and minor
variations or scriveners’’ errors in provided data.
** Vacant parcels include vacant parcels under control of Melbourne Airport Authority
27
Existing Land Use Definitions
Retail- The existing land use Retail is characterized by privately owned facilities with uses such as
grocery stores, clothing stores, shopping centers and other retail uses.
Airport Authority- The existing land use Airport is applied to those properties owned by the
Melbourne International Airport Authority. The specific uses on the properties may include
airport related uses and/or any of the other uses described herein. Primary existing non-aviation
uses at the Airport Commerce Park include Office, Heavy Commercial and Industrial.
Public Land/Institutional-The existing land use Public Land/Institutional is characterized by
publicly owned facilities with uses such as parks, schools and public buildings.
Office- The existing land use Office is characterized by privately owned facilities such as
professional offices, legal offices and doctors’ offices.
Industrial- The existing land use Industrial is characterized by privately owned facilities such as
construction materials, supply and distribution, fabrication, manufacturing and assembly.
Vacant-This land use is characterized by a vacant lot with no activity and possessing no built
structure.
Multi-family Residential- The existing land use Multi-family Residential is characterized by
privately owned residential dwellings that may include duplexes, apartments and
condominiums.
Hotel- The existing land use Hotel is characterized by privately owned facilities that provide
short-term residential rentals. These facilities may also include on-site restaurant, conference
and meeting room amenities.
Single-family Residential- The existing land use Single-family Residential is characterized by
privately owned, individual and separate residential units built to accommodate one family per
dwelling unit.
Other- The existing land use Other is applied to those uses which are not able to be classified in
any of the other categories listed.
28
Figure 3: Existing Land Use Map
29
B. Economic Environment
This section describes the current economic environment affecting the area encompassed by the
CRA boundary including major employers, retail market composition, existing business assistance or
incentive programs, available vacant land.
1. Major Employers
There are significant regional employers located within the Babcock Street CRA, to the west of the
CRA and to the east of the CRA. These employers, and their large number of daytime employees,
have a significant impact upon the Babcock Street CRA and the retail and service businesses located
within the CRA boundaries. A review of employers within a half-mile radius of the Babcock Street
CRA identified forty-six (46) employers with over fifty (50) employees. Out of the 46 majoremployers identified, 13 are located within the Babcock Street CRA. Over 4,035 people are
employed within the Babcock Street CRA by companies with over 50 employees. Table 3 (pgs. 3335) provides a complete list of these major employers within the area while Figure 4 (pg.36) shows
the general location of each employer. The primary industry sectors represented include aviation
related industries, defense and technology related companies and medical cares and service
companies. Non-primary industry sectors represented include retail sales and services (including
restaurants and lodging), and public education facilities.
2. Major Employers within the Babcock Street CRA
Five (5) of top ten (10) largest employers identified are located within the Babcock Street CRA
boundaries. These employers include: DRS Technologies (Defense related) with over 1,300
employees, Great West Health Care (Insurance) with over 1,200 employees, Percepta LLC.
(Customer Loyalty company) with over 400 employees, Melbourne High School (Public Education)
with over 185 employees and Hilton-Melbourne Rialto Place (Hotel/Lodging) with 180 employees.
These five companies represent 3,265 employees, or 80%, of the aforementioned 4,035 people
employed within the Babcock Street CRA by companies with over 50 employees.
3. Major Employers Outside the Babcock Street CRA
Outside of the CRA boundaries, immediately to the west of the Babcock Street CRA, is the
Melbourne International Airport. The Melbourne International Airport area is one of the county’s
most concentrated employment areas. Major employers located at the airport and within its
commerce park include Embraer Air, General Electric, Harris Corporation, Northrop Grumman and
Rockwell Collins. These employers are characterized as aviation related companies, defense
contractors and technology oriented companies. Over 6,000 tenant employees are located within
airport and its commerce park. The Melbourne International Airport, its airside development and its
associated commerce park tenants play a significant role in the existing business composition of
Babcock Street CRA and the City of Melbourne and will have a significant impact on the future
economic development of the Babcock Street CRA.
To the east of the Babcock Street CRA, also outside of the CRA boundaries, is a concentration of
health-care related employers. The largest of which is the Holmes Regional Medical Center with
over 3,500 employees. Other significant employers located to the east of the Babcock Street CRA
30
include the Melbourne Internal Medicine Center with 500 employees, the Carnegie Gardens Nursing
Center with 150 employees, the Florida Eye Association with 100 employees, Health First Medical
Rehab Center with 100 employees, the Melbourne Kidney Center with 60 employees and the
Melbourne Same Day Surgery Center with 60 employees.
31
Table 3: Largest Employers
Name
Holmes Regional
Medical Ctr
Bright House
Networks
DRS Technologies Inc.
(includes DRS
Optronics)
Great West Health
Care
Address
1350 Hickory St
720 Magnolia Ave
City
Melbourne
Melbourne
State
FL
FL
Zip
32901
32935
Number Of
Employees
Location
3500
Outside
Of CRA
1700
Outside
Of CRA
100 N Babcock St
Melbourne
FL
32935
1,350
Within
CRA
100 Rialto Pl # 700
Melbourne
FL
32901
1200
Within
CRA
322 E New Haven
Ave
Melbourne
FL
32901
500
Outside
Of CRA
Labor Finders
(Temporary Labor)
Melbourne Internal
Medicine
Percepta Llc
Melbourne High
School
Hilton-Melbourne
Rialto Place
Kindred HospitalMelbourne
Avante Group
Carnegie Gardens
Nursing Ctr
Publix Super Market
200 E Sheridan Rd
Melbourne
FL
32901
500
1320 S Babcock St
Melbourne
FL
32901
400
Outside
Of CRA
Within
CRA
74 Bulldog Blvd
Melbourne
FL
32901
185
Within
CRA
200 Rialto Pl
Melbourne
FL
32901
180
Within
CRA
765 W NASA Blvd
Melbourne
FL
32901
163
1420 Oak St
Melbourne
FL
32901
150
1415 Hickory St
Melbourne
FL
32901
150
1411 S Babcock St
Melbourne
FL
32901
150
Within
CRA
Outside
Of CRA
Outside
Of CRA
Within
CRA
32
Name
Liberty Aerospace Inc
Florida Air Academy
Toyota Of Melbourne
American Cab Co
Brevard County
Transit Svc
Florida Eye Assoc
Gator Chrysler Suzuki
Health First Medical
Rehab
Kelly Ford
Rosner Chevrolet
Us Post Office
Westshore Junior
Senior High
Comforts Of Home
Care Assoc Inc
Authen Tec Inc
Quality Medical Care
Pa
Makoto's Seafood &
Steakhouse
Brevard Surgery Ctr
Att Solutions
Address
City
100 Aerospace Dr #
103
Melbourne
1950 Academy Dr
Melbourne
24 N Harbor City
Blvd
Melbourne
420 S Harbor City
Blvd
Melbourne
460 S Harbor City
Blvd
Melbourne
502 E New Haven
Ave
Melbourne
State
Zip
Number Of
Employees
FL
32901
143
FL
32901
128
FL
32935
110
FL
32901
103
FL
32901
101
FL
32901
100
Location
Outside
Of CRA
Outside
Of CRA
Outside
Of CRA
Outside
Of CRA
Outside
Of CRA
Outside
Of CRA
Outside
Of CRA
300 E NASA Blvd
Melbourne
FL
32901
100
1350 Hickory St
Melbourne
FL
32901
100
776 Magnolia Ave
Melbourne
800 S Harbor City
Blvd
Melbourne
640 E New Haven
Ave
Melbourne
FL
32935
100
FL
32901
100
FL
32901
100
Outside
Of CRA
Outside
Of CRA
Outside
Of CRA
Outside
Of CRA
Outside
Of CRA
250 Wildcat Aly
Melbourne
FL
32935
84
517 N Harbor City
Blvd # C
Melbourne
FL
32935
80
100 Rialto Pl # 100
Melbourne
FL
32901
75
Outside
Of CRA
Within
CRA
675 S Babcock St
Melbourne
FL
32901
75
Within
CRA
785 S Babcock St #
A
Melbourne
FL
32901
71
665 S Apollo Blvd
Melbourne
FL
32901
70
100 Rialto Pl # 300
Melbourne
FL
32901
60
Within
CRA
Within
CRA
Within
CRA
33
Name
Hibiscus Court
Melbourne Intl
Airport-Mlb
Melbourne Kidney
Ctr
Melbourne Same Day
Surg Ctr
Brevard Anesthesia
Svc Pa
Browning's Pharmacy
& Health
Mc Donald's
Holy Trinity Episcopal
Academy
Avis Rent A Car
Lane Buick Inc
Magnus High-Tech
Industries
Melbourne Surgery
Ctr
Nissan Of Melbourne
Pro-Health & Fitness
Ctr
State
Zip
Number Of
Employees
Address
City
540 E Hibiscus Blvd
Melbourne
FL
32901
60
1 Air Terminal
Pkwy # 220
Melbourne
FL
32901
60
Location
Outside
Of CRA
Partial
Within
The CRA
1400 S Apollo Blvd
Melbourne
FL
32901
60
Outside
Of CRA
1035 S Apollo Blvd
Melbourne
FL
32901
60
Outside
Of CRA
Outside
Of CRA
1304 Oak St
Melbourne
FL
32901
57
141 E Hibiscus Blvd
Melbourne
FL
32901
56
25 W Hibiscus Blvd
Melbourne
FL
32901
56
FL
32901
55
FL
32901
50
FL
32901
50
Outside
Of CRA
Outside
Of CRA
Outside
Of CRA
Outside
Of CRA
50 W Strawbridge
Ave
Melbourne
1 Air Terminal
Pkwy # 104
Melbourne
510 E NASA Blvd
1605 Lake St
Melbourne
Melbourne
1340 Medical Park
Dr # 101
Melbourne
440 S Harbor City
Blvd
Melbourne
611 E Sheridan Rd
Melbourne
Within
CRA
Outside
Of CRA
FL
32901
50
FL
32901
50
FL
32901
50
Outside
Of CRA
Outside
Of CRA
FL
32901
50
Outside
Of CRA
34
Figure 4: Largest Employers Map
35
4. Retail Market Analysis and Demand Estimates
This portion of the report includes an analysis of the retail market and demand within the Babcock
Street CRA and City of Melbourne.
The Babcock Street CRA is an active retail corridor within Brevard County that provides goods and
services to a large, daytime commuter population and the surrounding neighborhoods. Based on a
recent retail market analysis, the current retail market composition and concentration of businesses
provides a retail supply and level of services that is greater than the estimated demand from the
adjacent neighborhoods and the neighborhoods surrounding the Babcock Street CRA. The excess
retail and service supply (surplus) is supported by daytime commuting employees and visitors that
live outside of the Babcock CRA. Existing retail market supply and demand is reviewed and analyzed
to determine if there is a surplus or leakage of a type of retail that could be captured within the
Babcock Street CRA if available to consumers.
A retail surplus means there is an overabundance of a type of retail industry or service to serve the
potential customers within the trade area. This indicates that additional consumers come from
outside of the trade area and enter the trade area to purchase a product or service. A retail leakage
indicates the amount of business and potential customers that leave a trade area to purchase a
particular product or service that may not be provided within the trade area.
The data presented in the next sections uses the North American Industry Classification System
(NAICS) to classify businesses by their primary type of economic activity. Retail establishments are
classified into 27 industry groups in the Retail Trade sector, as well as four industry groups within
the Food Services & Drinking Establishments subsector.
Retail Market Analysis
Retail supply is represented by the estimated sales to consumers by establishments. Table 4, below,
displays the existing retail supply for Babcock Street CRA and the City of Melbourne. The figures
shown in the table are generated from reported excise taxes paid by the retailer or the
remuneration of services, for example, installation and delivery charges that are incidental to the
transaction.
Table 4: Retail Market Supply- 2010
Industry Summary
Total Retail Trade
Babcock Street CRA
$120,744,759
City of Melbourne
$934,454,189
Total Food & Drink
$10,591,220
$149,112,375
Total Retail Trade and Food & $131,335,979
Drink
$1,083,566,564
Source: ESRI Business Analyst Online, Infogroup and LEA, 2012.
Retail Demand Analysis
Table 5 (pg. 38) displays the existing retail market demand for the Babcock Street CRA and the
City of Melbourne. Retail market demand (or retail potential) is measured in dollars and is
36
based on estimates of the expected amount to be spent by consumers on products at retail
establishments.
Analyses of the proportion of retail trade and food and drink compared to the overall total for
each geographical area are almost identical. Each area has a proportional distribution of retail
demand of approximately 85 to 86 percent retail trade and approximately 14 or 15 percent food
and drink.
Table 5: Retail Market Demand- 2010
Industry Summary
Total Retail Trade
Babcock Street CRA
$3,714,064
City of Melbourne
$583,681,507
Total Food & Drink
$621,551
$102,618,799
Total Retail Trade and Food & $4,335,615
Drink
$686,300,306
Retail Supply And Demand Conclusions
The retail marketplace profile for the Babcock Street CRA and City of Melbourne are presented
in current dollar figures in Table 6 (pg. 39). The retail gap is the difference between the
potential retail demand and supply (retail sales), which is also represented as leakage or surplus
factors. Also presented in the table are the numbers of businesses for each retail type.
Leakage is defined as the amount of businesses that leave a trade area to purchase a product
not provided within a trade area. The leakage factor is represented as a green positive number
and goes up to +100. Surplus, on the other hand, is defined as the provision of an
overabundance of a type of retail industry within the trade area that is greater than the
residents of the trade area could support, which consumers from outside of the trade area enter
the trade area to purchase a product or service. The surplus factor is represented by a negative
red number in the table and reaches -100.
The Babcock Street CRA total retail surplus, $127,000,364.00, comprises almost one-third of the
City of Melbourne’s total retail surplus, $397,266,258.00 This finding illustrates the
concentration of retail and food and drink establishments located within the Babcock Street CRA
area relative to the City of Melbourne overall.
This high rate of retail surplus for the Babcock Street CRA is supported by daytime commuting
employees and visitors that live outside of the Babcock CRA. This means that businesses located
within the CRA are dependent on continued demand and patronage by employees and
consumers who travel from outside the immediate area. To reduce the dependence of CRAbased retailers and restaurants on daytime employee populations the City and the CRA may
wish to evaluate opportunities to increase the residential population (and associated residential
densities) within and adjacent to the CRA boundaries.
37
Table 6: Retail Market Profile- 2010
Demand
Supply (Retail
(Retail
Sales)
Potential)
Babcock Street CRA
Total Retail
$3,714,064
$120,744,759
Trade
Total Food &
$621,551
$10,591,220
Drink
Total Retail
$4,335,615
$131,335,979
Trade and
Food & Drink
City of Melbourne
Total Retail
$583,681,507
$934,454,189
Trade
Total Food &
$102,618,799
$149,112,375
Drink
Total Retail
$686,300,306
$1,083,566,564
Trade and
Food & Drink
Retail Gap
Leakage/
Surplus Factor
No. of
Businesses
-117,030,695
-94.0
48
-$9,969,669
-88.9
16
-127,000,364
-93.6
64
-350,772,682
-23.1
704
-$46,493,576
-18.5
245
-397,266,258
-22.4
949
5. Employment by Sector
Business and Employment Summary
Table 7, below, illustrates the total number of businesses, total employees, total residential
population and the ratio between employees and residential population for the Babcock Street CRA
and the City of Melbourne. A review of the table shows that the City of Melbourne has a total of
4,423 business and 58,196 employees allowing for the CRA to capture approximately 16.29 percent
of the employees and 7.01 percent of businesses within the City. The table also shows that the ratio
of employees to residential population within the Babcock Street CRA (15.50) is much higher than
the City’s ratio (0.75), which means there are 15.5 times more jobs than residents within the
Babcock Street CRA. This reinforces observations noted in the previous sections which identified
Babcock Street CRA as an employment center for the surrounding areas.
Table 7: Employment by Sector and Industry for Babcock Street CRA
Total Businesses
Total Employees
Total Residential Populations
Employee/ Residential Populations Ratio
Babcock Street CRA
310
9,478
612
15.50
City of Melbourne
4,423
58,196
77,101
0.75
Source: ESRI Business Analyst Online using business data provided by Infogroup, Omaha NE, University of Florida Bureau of Economic and Business Research
(BEBR) and LEA, 2012.
38
Employment by Sector and Industry
Table 8, below, looks at the employment by SIC codes for the Babcock Street CRA. The largest
number of employees belongs to the Service sector with 5,218 employees or 55.1 percent of the
total employees. This sector contains items such as Hotels and Lodging, Automotive Services,
Motion Pictures and Amusements, Health Services, Legal Services, Education Institutions and
Libraries and Other Services. Health Services has the most employees of any item that
comprises the SIC code for the Service Sector. When compared to the City of Melbourne, the
Babcock Street CRA has many similarities to the overall city. The largest sector of employment
in the City is also Service Sector with 25,647 employees or 44.1 percent of the total employees.
This sector is comprised of the same items as the Babcock Street CRA with Health Services
having the largest percentage of employees in this sector.
Table 8: Employment by Sector and Industry for Babcock Street CRA
Number of
Ranks SIC Codes
Businesses
1
Services Summary
154
2
Manufacturing
5
3
Retail Trade Summary
63
4
Finance, Insurance, Real 37
Estate Summary
5
Construction
9
6
Transportation
7
7
Wholesale Trade
9
8
Communication
4
9
Government
9
10
Other
9
11
Agriculture & Mining
3
12
Utility
0
Totals
310
Percent of
Businesses
49.6%
1.5%
20.3%
12.0%
Number of
Employees
5,218
1,287
939
909
Percent of
Employees
55.1%
13.6%
9.9%
9.6%
2.9%
2.2%
3.0%
1.4%
2.9%
3.0%
1.1%
0.0%
100%
328
307
169
147
129
25
20
0
9,478
3.5%
3.2%
1.8%
1.5%
1.4%
0.3%
0.2%
0.0%
100%
Source: ESRI Business Analyst Online using business data provided by Infogroup, Omaha NE and LEA, 2012.
39
6. Existing Economic Development Service Providers and Associated Incentive Programs
The following information presents existing economic development service providers and associated
available incentive or services.
City of Melbourne Ad-Valorem Tax Exemption Program
The City of Melbourne City Council provides the Economic Development Ad Valorem Tax Exemption
Program, which is designed to assist economic development through exempting certain property
taxes. The program was renewed in 2011 for another 10 years. Qualifications for participating in the
ad-valorem tax abatement program are listed below:
•
•
•
•
•
•
Ad valorem tax exemptions apply to new businesses relocating to the City of Melbourne and
to expansion of businesses already situated in Brevard County.
New or expanding businesses must make a positive contribution to the economy of the City
of Melbourne in terms of new jobs and improvements to real and personal property.
Incentives are applicable to businesses of diverse industries with the exception of retail
operations.
Any and all exemptions granted must result in an economic benefit to the City, i.e.,
exemptions would support the City of Melbourne and its existing businesses.
The applicant must be a person, firm, partnership, or other business organization or entity,
with the object of private or public gain, benefit, or advantage, either direct or indirect.
New Business.
1. As defined in Section 196.012(15), Florida Statutes, a new business must meet the
following criteria:
(a) A business establishing 10 or more jobs to employ 10 or more full-time
employees in this State, which manufactures, processes, compounds, fabricates,
or produces for sale items of tangible personal property at a fixed location and
which comprises an industrial or manufacturing plant; or
(b) Any business establishing 25 or more jobs to employ 25 or more full-time
employees in this State, whose Sales Factor, as defined by Section 220.15(5),
Florida Statutes, for the facility with respect to which it requests an economic
development ad valorem tax exemption is less than 0.50 for each year the
exemption is claimed; or
An office space in this State owned and used by a corporation newly domiciled
in this State; provided such office space houses 50 or more full-time employees
of such corporation; or
A business located in an Enterprise Zone (pursuant to Section 290.0065, Florida
Statutes).
2. Any new business must first begin operation on a site clearly separate from any other
commercial or industrial operation owned by the same business.
•
Expansion of an Existing Business.
1. As defined in Section 196.012(16), Florida Statutes, Expansion of an existing business
must meet the following criteria:
(a) A business establishing 10 or more jobs to employ 10 or more full-time
employees in this State, which manufactures, processes, compounds, fabricates,
40
or produces for sale items of tangible personal property at a fixed location and
which comprises an industrial or manufacturing plant; or
(b) Any business establishing 25 or more jobs to employ 25 or more full-time
employees in this State, whose Sales Factor, as defined by Section 220.15(5),
Florida Statutes, for the facility with respect to which it requests an economic
development ad valorem tax exemption is less than 0.50 for each year the
exemption is claimed; or
(c) Any business located in an Enterprise Zone (pursuant to Section 290.0065,
Florida Statutes)
2. Any expansion of an existing business must increase operations on a site co-located with
a commercial or industrial operation owned by the same business, resulting in a net
increase in employment of not less than 10 percent or an increase in productive output
of not less than 10 percent. The 10 percent requirement does not apply to Enterprise
Zones.
•
•
•
•
•
The exemptions shall not accrue to improvements to real property made by or for the use of
new or expanding businesses when such improvements have been included on the tax rolls
prior to the effective date of the ordinance specifically granting a business an exemption.
Property acquired to replace existing property shall not be considered to facilitate a
business expansion.
No exemption shall be granted for the land upon which new or expanding businesses are to
be located.
The ability to receive an exemption for the period granted is conditioned upon the
Applicant’s ability to maintain the new business or the expansion of an existing business
throughout the entire period.
Any existing business in violation of any federal, State, or local law or regulation governing
environmental matters is not eligible for an exemption.
Contact: www.melbourneflorida.org/ecdev/adv/ad_valorem.htm
City of Melbourne Economic Enhancement District (MEED)
The City of Melbourne City Council established in 2008, the ~6,001 acre, Melbourne Economic
Enhancement District (MEED) to increase the number of available economic development
incentives and tools available to make targeted areas in Melbourne more appealing to
developers (through reduced site preparation costs, corporate tax refunds and job creation
incentives). Traditionally brownfields were associated with areas contained environmental
contamination. Recent modifications have expanded the establishment and use of brownfields
to include areas of targeted for redevelopment and economic development or areas suffering
perceived blight.
A range of State and federal incentives are available to the MEED area (brownfields). These
programs are listed below.

$2,500 Job Bonus Refund for each new job created in a designated MEED area by an
eligible business;
41
Sales Tax Credit on building materials purchased for the construction of a housing
project or mixed-use project;
 If you enter into a MEED Site Rehabilitation Agreement (SSRA), you will be eligible for:
o 50% Voluntary Cleanup Tax Credit (VCTC) applicable to Florida’s corporate
income tax;
o 25% Additional VCTC if the property is redeveloped with affordable housing;
o State Loan Guarantees for primary lenders, up to 50% on all brownfield (MEED)
sites and up to 75% if the property is redeveloped as affordable housing.
Federal benefits that may also be available for development in the MEED area include:
 Site-Specific Activities Grant to DEP to conduct Phase I or II Environmental assessments
and/or limited source removals for eligible recipients using federal grant funds;
 National Brownfields Assessment, Revolving Loan Fund and Cleanup Grants; Brownfields
Federal Tax Incentive that allows environmental cleanup costs to be fully deducted in
the same year they occur.

Contact: www.melbourneflorida.org/ecdev/
42
The Melbourne International Airport is the one of the
region’s economic engines. Situated along the western side
of the CRA, the airport and industrial park located on
property offers a dynamic atmosphere for long-term growth
and development. The industrial park is home to key players
in the region’s high tech, aviation, aerospace and
educational communities. With the desire to help the
region’s economic base, the airport offers term,
construction phase and other flexible leases to companies
looking to relocate to the airport.
All of Melbourne International Airport, the Business and
Industrial Park and Florida Tech Research Park are located
within the Foreign Trade Zone (FTZ) 136, which operates in conjunction with Port Canaveral,
facilitating close cooperation between the two major transportation facilities. A Foreign Trade
Zone can offer significant savings on duty to companies that actively import or export products.
Businesses within FTZ 136 also enjoy a major advantage over their competitors with U.S.
Customs located on site to clear shipments and provide assistance.
Contact:
Jack Schluckebier, Director of Land Development
One Air Terminal Parkway, Suite 220
Melbourne, FL 32901
Phone: (321) 723-6227 Ext. 211
Email: [email protected]
http://www.mlbair.com/EconomicOpportunities/
Economic Development Commission of Florida’s Space Coast (EDC)
The City of Melbourne is located in Brevard County and receives
economic development services from the Economic Development
Commission of Florida’s Space Coast (EDC). The Economic
Development Commission of Florida’s Space Coast is a public-private
partnership, not-for-profit organization committed to the economic
stability and growth of Brevard County, Florida. The EDC’s partners
are the dedicated leaders of existing businesses and industries.
These partners include Chambers of Commerce, City and County
Governments, Small Businesses and Entrepreneurs, State Agencies
including but not limited to the Department of Economic Opportunity (DEO) and Enterprise
Florida, Inc. (EFI).
The EDC of Florida’s Space Coast provides local job training assistance (coordinated through
Workforce Brevard), business recruitment services, information clearinghouse services and
43
access to state and national economic development grants and tax incentive programs. The
Space Coast EDC also awards the S.N.A.P. (Simplified, Nimble, Accelerated Permitting)
designation to space coast municipalities that have adopted best practices in building and site
permitting. The City of Melbourne has been certified a S.N.A.P. City
Contact:
Economic Development Commission of Florida’s Space Coast (EDC)
597 Haverty Court, Suite 40
Rockledge, FL 32955
Phone: 800-638-0203
www.spacecoastedc.org
Florida Institute of Technology (FIT)
Florida Institute of Technology’s main campus is located along
University Boulevard in the City of Melbourne. The Florida Tech
Research Park (FTRP) which is a program of FIT is located at the
Melbourne International Airport. FTRP was created as a concrete
response to the needs of the industry. The park represents the
largest research, science and technology-park located at a FAA
approved airport in the Brevard County Space Coast region. The
park contains 2,400 acres of industrial and commercial property
and is a self-sustaining innovation center focused on facilitating
the creation, integration and application of innovative solution for
regional constituents.
Programs that are offered by FIT include the Women’s Business Center, Florida Tech Consulting
(FTC) and internship programs with local companies. The Women’s Business Center is
committed to providing training, counseling, mentoring and technical assistance to women
entrepreneurs and women-owned small businesses within Brevard, Indian River and St. Lucie
counties and the Central Florida area. The Florida Tech Consulting (FTC) teams with Florida
Tech faculty and expertise with businesses that need collaboration on a project, have a problem
to solve or have an idea they would like to expand upon. These services are provided for a price
to clients.
Contact:
Office of Economic Development
Florida Tech Research Park
One Air Terminal Parkway
Suite 113
Melbourne, FL, 32901-1888
Phone: (321) 914-0742
44
Brevard County Tax Abatement
Brevard County offers up to 100 percent abatement of general property taxes for up to 10 years
for businesses that meet certain criteria. The level of abatement is based on projected
employment and capital development. Tax abatement is not offered for school, special district
or purpose taxes.
Contact: www.spacecoastedc.org
Department of Economic Opportunity (State of Florida)
The State of Florida is committed to helping businesses,
talent, capital, innovation and entrepreneurship located in
the state.
With a business-friendly environment, the
Department of Economic Opportunity (DEO) utilizes public
and private sector expertise to attract, retain and grow
businesses and jobs in Florida. The DEO also works with
Enterprise Florida, Inc (EFI) to provide incentives to
businesses who locate to Florida. Incentives are available for
targeted industries, workforce training, infrastructure and
special opportunities. Some of the incentives or programs that are offered are:
• Qualified Target Industry Tax Refund
• Qualified Defense and Space Contractor Tax Refund
• Capital Investment Tax Credit
• High Impact Performance Incentive Grant
• Quick Response Training Program
• Jobs for Unemployed Tax Credit Program
• Incumbent Worker Training Program
• Economic Development Transportation Fund
• Enhanced Economic Development Districts
A specific program aimed at Brevard County is the Space Coast Incentive Fund. This fund is
designed to assist in expanding existing Brevard County high-tech and manufacturing businesses
and attracting new businesses to the Space Coast. This fund, supported by the Florida
Department of Economic Opportunity, will supplement existing state and local economic
development incentives to increase Brevard County’s competitiveness in economic
development projects, while further mitigating the job loss and economic impact of the Space
Shuttle program retirement. Awards will be granted based on several factors, including job
creation, economic impact, return on investment, a company’s financial stability and timelines
for completion. The EDC will manage each application to ensure all qualifying incentives are
considered.
Contact: www.floridajobs.org
45
Enterprise Florida
Enterprise Florida, Inc. (EFI) is a public-private partnership to promote the economic
development at the state level. The organization works
toward diversifying Florida’s economy, creating high
paying jobs by supporting existing businesses, attracting
business in high-growth and innovation areas. Some of
the high growth sectors include information technology,
life science, aviation, defense and financial and
professional services. EFI collaborates with a statewide
network of regional and local economic development
organizations to improve Florida’s economic climate and ensure competitiveness.
EFI provides local data, financial assistance and counseling to the companies. They also provide
access to the local university resources, incubators and accelerators to the companies interested
in expansion, relocation in the state, as well as to local companies trying to expand in the
international marketplaces.
Contact: www.eflorida.com/default.asp
46
7. Available (Vacant) Sites
Using the Department of Revenue codes to identify existing land use within the CRA and adjusting
for vacant property at the airport using the Melbourne International Airport Future Land Use Map, it
was determined that approximately 90.29 acres or 19.1 percent of the CRA is vacant. The acreage is
made up of 59 parcels and all of the parcels have some form of commercial or industrial zoning
designation. Table 9 (pg.48) identifies the zoning, acreage and percent of acres of all of the vacant
property within the CRA.
The majority of the vacant property parcels are concentrated in the northern and southern portion
of the CRA. However, the largest properties in terms of acreage are located within the center of the
CRA near the Melbourne International Airport.
A review of the ownership records for the vacant properties determined that 12 (twelve) properties
are owned by Florida Department of Transportation (FDOT) and 15 (fifteen) properties are owned by
the Melbourne Airport Authority (see Table 10, pg. 49). While the properties owned by FDOT are
only a small amount of acreage, the properties owned by the Melbourne Airport Authority make of
70.03 acres or ~78 percent of the total vacant property within the CRA. The Melbourne Airport
Authority also owns the largest vacant parcels with the largest parcel being 29.4 acres. This
property is located along the western edge of Airport Boulevard and was formerly known as Port
O’Call Airstream Park. The largest property not owned by the Melbourne Airport Authority is 1.97
acres and is owned by Hibiscus Pine LLC. This property is located along East Hibiscus Boulevard and
has C1- Neighborhood Commercial zoning. There are several contiguous properties that are located
on the east side of north Babcock Street between Nelson Avenue and Dale Avenue that, may be
consolidated into a larger parcel(s), ranging in size from one acre to three acres.
Table 9: Zoning of Vacant Property within the CRA
Zoning
C1A- Commercial Professional
C1- Neighborhood Commercial
C2- General Commercial
CP- Commercial Parkway
M1- Light Industrial
Total
Parcels
1
12
29
7
10
59
Acres
0.60
5.99
11.98
49.18
22.53
90.29
Percent of Acres
0.66%
6.63%
13.25%
54.46%
25%
100%
Source: Brevard County Property Appraiser, City of Melbourne, Melbourne International Airport Future Land Use
Map and Littlejohn Engineering Associates, 2012.
Note: Right-of-way has been removed from the total acres
Small differences in total number of acres are due to Brevard County Property Appraiser’s Office GIS mapping configurations and minor variations in provided
data.
47
Table 10: Ownership of Vacant Property within the CRA
Ownership
Melbourne Airport Authority
Parcels
15
Acres
70.3
Percent of Acres
77.57%
Palms Pointe Office Park LLC
6
3.05
3.38%
Rialto LTD
2
2.50
2.76%
Florida, State Of (Dot)
12
2.19
2.42%
Hibiscus Pine LLC
1
1.97
2.18%
Space Coast Credit Union
1
1.33
1.47%
S & S Of Brevard Three LLC
4
1.32
1.46%
King Investments LLC
1
1.25
1.38%
Eau Gallie Melbourne Bowling
2
1.24
1.37%
Melbourne Point II LLC
1
1.14
1.26%
Melbourne, City Of (Parking Lot Behind Police Station)
1
1.04
1.15%
Sutton Properties At 100 N
1
0.60
0.66%
Radencic, Geraldine G Trustee
1
0.38
0.43%
Zies, Peter Mangone Trustee
1
0.38
0.42%
Lawrence, Donna H
1
0.29
0.32%
DDN Inc
1
0.29
0.32%
Miller, Stuart Trustee
1
0.26
0.28%
Gehrke, Vera Nell
1
0.23
0.25%
Graham, Craig R
1
0.20
0.22%
Facciobene, Ann E
1
0.18
0.20%
City of Melbourne, Babcock Street CRA
1
0.15
0.17%
O T Trans Inc
1
0.15
0.17%
Babcock Street CRA (Public Parking)
2
0.12
0.14%
Total
59
90.56
99.98%
Source: Brevard County Property Appraiser, City of Melbourne, Melbourne International Airport Future Land Use ,Map and Littlejohn Engineering Associates, 2012. Note: Rightof-way has been removed from the total acres Small differences in total number of acres are due to Brevard County Property Appraiser’s Office GIS mapping configurations and
minor variations in provided data.
48
Figure 5: Zoning of Vacant Property within the CRA
49
Figure 6: Ownership of Vacant Property within the CRA
50
C. Regulatory Environment
The regulatory environment in the Babcock Street CRA is one of the CRA’s major assets as the City
operates a business friendly development review process with minor challenges for developers.
While there are no major issues, two minor challenges related to parking area requirements and the
use conditions and restrictions for airport area properties were identified in the stakeholder
interviews. These challenges are minor, but changes to address these challenges could help
improve development within the CRA.
1. Assets
Overall the zoning districts assigned to the properties within the CRA are appropriate and allow for a
significant amount of development. One of the assets of the CRA is that the majority of the
property is within two different zoning districts, Commercial Parkway (CP) and General Commercial
(C2). These categories are intended to have non-residential development and serve the commercial
needs of the community and region.
Another asset to the CRA is that the City of Melbourne has development review regulations that
allow for developments to be reviewed at various levels including administratively. Developments
for formal site plan review are allowed to be reviewed administratively, by the Planning and Zoning
Board and by the City Council depending on the size and type of development. Table 11, below,
shows the levels of development review related to proposed use and size. Due to the limited size of
properties within the CRA, new development may be able to qualify for administrative review.
Table 11: Formal Site Plan Review Authority
Proposed Use
City Staff Consideration
(administratively)
P&Z Board
Consideration
City Council
Consideration
Commercial building sites
Less than 3 acres
3-10 acres
10 acres or more
Industrial building sites
Less than 5 acres
5-10 acres
10 acres or more
Multifamily developments
Less than 20 units
20-40 units
40 or more units
Mobile home parks
New development in the
downtown*
Institutional developments
Conditional uses.
All
Less than an acre
1 acre or more
Less than 10 acres
10 acres or more
All
Source: City of Melbourne Land Development Code 2012
*For the purposes of this subsection the term "new development in the downtown redevelopment area" shall include renovation of any facility requiring an
increase of 25 percent or more of the gross square footage of the floor area.
51
Another program that is an asset related to a shortened development review period is the S.N.A.P.
program. The City of Melbourne was awarded the S.N.A.P designation for excellence in building and
site permitting in January, 2012. S.N.A.P. is a program of the Economic Development Council (EDC)
and stands for Simplified, Nimble, Accelerated Permitting. This program is aimed at creating
efficient, streamlined permitting so that municipalities are able to attract new businesses and
investments.
These assets are significant to the CRA as they allow for potential development to preclude the need
for rezoning, additional public hearings and streamlined development review. Development
projects have a clearly outlined process for development review that uses increased administrative
approval authority to decrease review time and reduce approval uncertainty. As a result of these
programs the City of Melbourne has been designated “Open for Business” by MyRegion.org.
2. Challenges
One of the challenges identified during stakeholder interviews was an issue with parking
requirements within the CRA that cannot be accommodated on smaller sized parcels. Parking
requirements that cannot be physically accommodated on small parcels preclude the potential
redevelopment of the parcels and render them unable to be developed. Parking requirements are
currently regulated on a citywide basis and should be evaluated for opportunities to reduce parking
requirements in redevelopment areas and areas targeted for economic development. It should be
noted that the City has reviewed and researched a possible reduction in parking requirements in the
past but no formal action has occurred. The reduction in parking requirements could address the
number of parking spaces required and also the dimensions of a parking stall. Due to the size of
parcels and the need to reasonably accommodate customers, employees and visitors, it may be
more useful to reduce the parking space dimensions from 11 feet to 10 feet for areas within the CRA
and other areas identified for economic development. This reduction would be minor and could
encourage the development of smaller parcels within the CRA.
A second regulatory challenge that was identified through stakeholder interviews was the desire to
evaluate the utility of a specific airport overlay zone for development related to areas around the
Melbourne International Airport. While property owners at the airport and around the airport have
a good relationship with the City, some property owners feel that as this area continues to develop
there will be the continued requirement to apply for variances or special exceptions to current
zoning regulations in this area. If an airport sensitive zone, or overlay was adopted that addresses
certain issues such as height, and removes the need to apply for variances and conditional use
requests then the development review process outcomes would be more of a certainty. The
reduction in uncertainty, that is, removing the need for variances and conditional use approvals
through the use of a specific zoning overlay, would encourage development in the areas adjacent to
the airport.
52
3. Future Land Use
The primary future land use within the Babcock CRA is Commercial District and Mixed-Use. General
Commercial area represents approximately 117 acres or 24.75 percent of the total CRA area, while
Heavy Commercial represents approximately 64 acres or 13.58 percent of the total CRA area. When
combined, these two commercial categories make the largest category in the CRA with
approximately 181 acres or 38.33 percent of the total CRA area. The second largest category is the
Mixed-Use area, which represents approximately 148 acres or 31.50 percent of the total CRA area.
The remainder of the CRA, approximately 142.16 acres or 30.17 percent, is comprised of the
following land use: Industrial, Low Density Residential, Public Land/ Institutional and Recreation.
Figure 7 (pg. 56) shows the Future Land Use classification and their location with the Babcock Street
CRA. Table 12, below, details the distribution of the current Future Land Use within the Babcock
Street CRA.
Table 12: Future Land Use Distributions
Future Land Use (FLUM)
General Commercial
Acres
116.64
Percent of
Acres
24.75%
Heavy Commercial
63.97
13.58%
Industrial
60.27
12.79%
Low Density Residential
1.34
0.28%
Mixed-Use
148.43
31.50%
Public/Institutional
37.17
7.89%
Recreation
43.38
9.21%
Total
471.19*
100.00%
*Right-of-way has been removed from the total acres
*Small differences in total number of acres are due to mapping configurations.
Source: Brevard County Property Appraiser, City of Melbourne and LEA, 2012.
53
Figure 7: Future Land Use Map
54
4. Zoning
Figure 8 (pg. 60) and Table 13, below, detail the current zoning classification found within the
Babcock Street CRA. The primary zoning classifications for the Babcock CRA are C1A- Commercial
Professional, C1- Neighborhood Commercial, C2- General Commercial, CP- Commercial Parkway,
M1- Light Industrial, I1- Institutional, R1A- Residential Single Family and R2- Single, Duplex and
Multiple Family.
Commercial Parkway makes up the largest portion of the zoning with approximately 204.52 acres or
43.71 percent devoted to this zoning classification. This classification can be found in the central
core of the CRA with the exception of the Melbourne High School site, which has the designation I1Institutional. The second largest zoning classification is C2- General Commercial which is located in
the northern and southern most areas of the CRA. This classification makes up a total of
approximately 108.64 acres or 22.98 percent of the CRA. The third largest zoning classification is I1Institutional due to the large concentration located along East Hibiscus Boulevard and the
Melbourne High School property in the core. M1-Light Industrial is the fourth largest and is located
primary along West NASA Boulevard and consists of properties that make up the Melbourne
International Airport. The third and fourth largest zoning classifications consist of approximately
80.53 acres or 17.05 percent and 35.24 acres or 7.50 percent, respectively. C1-Neighborhood can
be found along East Hibiscus Boulevard and North Babcock Street, north of Apollo Boulevard, and
makes up approximately 25.52 acres or 5.29 percent. The remaining zoning classifications (C1-A
Commercial Professional, R1A- Residential Single Family and R2 Single, Duplex, and Multiple Family)
form 18.01 acres or 3.8 percent of the total CRA.
Table 13: Zoning Distribution
Zoning
Acres
Percent of Acres
C1A- Commercial Professional
2.28
0.48%
C1- Neighborhood
25.52
5.40%
C2- General Commercial
108.64 22.98%
CP- Commercial Parkway
204.52 43.27%
M1- Light Industrial
35.24
7.50%
I1- Institutional
80.53
17.05%
R1A- Residential Single Family
1.28
0.27%
R2- Single, Duplex and Multiple Family 14.45
Total
3.05%
472.47 100.00%
*Right-of-way has been removed from the total acres
*Small differences in total number of acres are due to mapping configurations.
Source: Brevard County Property Appraiser, City of Melbourne and LEA, 2012.
55
Zoning Districts Definitions
I-1 (Institutional District) - The provisions applicable to this district are intended to apply to an
area, which can serve the needs of the community for public and semi-public facilities of an
educational, recreational, health or cultural nature. Since the site and building requirements for
such uses vary with the size and type of use, a review and approval of the plans is specified and
the zoning itself is predicated upon the approval of the site plan. The classification is intended to
operate similarly to Planned Unit Development (PUD) zoning.
R-1A (Residential Single Family District) - The provisions of these districts are intended to apply
to an area of single-family residential development. Lot sizes and other restrictions are intended
to protect and promote high quality residential development.
R-2 (Single, Duplex and Multiple Family District) - The provisions of this district are intended to
apply to an area of low or medium density residential development with a variety of housing
types. Lot sizes and other restrictions are intended to promote and protect low or medium
density residential development, maintaining an adequate amount of open space for such
development. Some non-residential uses compatible with the character of the district are also
permitted as conditional uses.
C-1A (Commercial Professional District) - The provisions of this district are intended to apply to
an area adjacent to major streets and convenient and complementary to major commercial,
industrial and/or transportation facilities. The types of uses permitted and other restrictions are
intended to provide an amenable environment for the development of professional offices and
services separate from the intensive development of commercial and industrial facilities.
C-1 (Neighborhood Commercial District)- The provisions of this district are intended to apply to
an area adjacent to arterial and major collector streets, and convenient to major residential
areas. The types of uses permitted are intended to serve consumer needs. Lot sizes and other
restrictions are intended to reduce conflicts with adjacent residential uses, and to minimize the
interruption of traffic along thoroughfares.
C-2 (General Commercial District)- The provisions of this district are intended to apply to an area
that is to be developed and preserved as a major commercial center serving the needs of the
community and region, as well as the motoring public. The types of uses and other restrictions
associated with this district are intended to promote adequate protection from conflicts with
adjacent residential and other non-commercial uses, and to minimize the interruption of traffic
along adjacent thoroughfares.
C-P (Commercial Parkway District) - The provisions of this district are intended to apply to areas
located adjacent to a main highway. The types of uses permitted and restrictions are intended
to serve the needs of the motorist and provide an amenable impression of the city. Large lot
sizes and other restrictions are intended to minimize frequent ingress and egress to the highway
from abutting uses, thereby allowing the thoroughfare to serve its primary function of carrying
an uninterrupted flow of traffic.
56
M-1 (Light Industrial District) - The provisions of this district are intended to apply to an area
located in close proximity to rail, air or major roadway facilities and which can serve intensive
commercial uses and light manufacturing, warehousing, distribution, wholesaling and other
industrial functions of the city and the region. Restrictions herein are intended to minimize
adverse influences of the industrial activities on nearby non-industrial areas and to eliminate
unnecessary industrial traffic through non-industrial areas.
57
Figure 8: Zoning Map
58
D. Demographic Profile
1. Population and Households
Table 14, below, shows the population and household composition in Babcock Street CRA and City
of Melbourne. The table highlights that there has been steady increase in population and number of
households between 2000 and 2010. This increase in population and household is also predicted to
continue, but at a slower pace. One of the largest increases shown in the table is the amount of
households between 2000 and 2010 within both the CRA and the City of Melbourne. This is most
likely due to the housing boom during the mid 2000s that affected many smaller communities
throughout the state. Please note that the population numbers shown in the GIS analysis of the CRA
reflect the population of the census tracts that may not be contained entirely within the Babcock
Street CRA but reflect census tracts that partially intersect the CRA boundaries. The Babcock Street
CRA boundaries sit astride several large census tracts that go well beyond the CRA boundaries and
contain significant residential concentrations. These residential units and associated population
from the census tracts that intersect the Babcock Street CRA boundaries are reflected in the
population numbers presented. Although significant residential and population concentrations are
located outside and adjacent to the Babcock Street CRA boundaries they impact, and are impacted
by, the economic activity and retail activity within the Babcock Street CRA.
Overall, the Babcock Street CRA has a smaller household size (number of person per household)
than the City. The household size for each area is the same from 2010 to 2016 with significant size
reductions occurring from 2000 to 2010. This gradual decline in household size has been well
documented in western industrialized nations starting from the 1950s with 2000 repesenting the
lower end of this trend.
Included in Table 14, below, is a five-year projection of population, households and average
household size for each area.
Table 14: Population and Household Trends
Total Population
Babcock Street CRA
2000
541
2010
609
2011
612
2016
631
Households
2000
263
2010
363
2011
366
2016
383
Average Household Size
2000
1.45
2010
1.17
2011
1.17
2016
1.17
City of Melbourne
71,382
76,205
76,630
80,363
30,788
34,040
34,252
36,108
2.22
2.17
2.17
2.17
Source: ESRI Business Analyst Online using U.S. Census Bureau, Census 2010 Data. ESRI forecasts for 2011 and 2016 and LEA, 2012.
59
2. Age and Race
The current makeup of the age and race of the populations within the Babcock Street CRA and City
of Melbourne can be found in Table 15, below. The table shows the median age, population by age
and the race and ethnicity framework for each geographic area.
The census tracts associated with the Babcock Street CRA have a higher median age than the City of
the Melbourne due to a large retiree and senior population as well as the location of assisted living
facilities (Trinity Towers) adjacent to the CRA. The two largest age brackets within the CRA are 75 to
84 years and 85 years plus. These age brackets make up a total of 32.2 percent of population within
the CRA compared to only 10.6 percent of the population within the City of Melbourne. The
Tapestry™ segmentation data presented in the following sections provides additional detail
regarding the demographic composition of the Babcock Street CRA and adjacent neighborhoods.
Note that the population numbers reflects the population of the census tracts that may not be
located entirely within the Babcock Street CRA but may touch the CRA boundaries, or are
immediately adjacent to the CRA boundaries.
The distribution of race and ethnicity within the Babcock Street CRA and the City of Melbourne are
roughly similar. Approximately 80 percent white, 10 percent black and 9 percent Hispanic.
Table 15: Current Age and Race- 2011
Population by Age
Median Age
0-4
5-9
10 - 14
15 - 19
20 - 24
25 - 34
35 - 44
45 - 54
55 - 64
65 - 74
75 - 84
85+
Race and Ethnicity
White Alone
Black Alone
American Indian Alone
Asian Alone
Pacific Islander Alone
Some Other Race Alone
Two or More Races
Hispanic Origin (Any Race)
Babcock Street CRA City of Melbourne
53.5
3.8%
2.5%
2.0%
4.1%
9.0%
12.0%
9.5%
8.5%
8.0%
8.4%
14.3%
18.0%
43.9
5.0%
4.7%
5.0%
6.2%
7.2%
12.1%
11.0%
15.5%
12.7%
9.8%
7.4%
3.2%
83.1%
7.9%
0.0%
3.9%
0.0%
2.5%
2.6%
8.2%
81.3%
10.1%
0.3%
3.0%
0.1%
2.1%
3.1%
9.1%
Source: ESRI Business Analyst Online using U.S. Census Bureau, Census 2010 Data and LEA, 2012. ESRI forecasts for 2011 and 2016.
60
3. Median Household Income
While the number of households within the CRA has increased faster than the City of Melbourne,
the overall median household income of residents within the CRA is lower than that of the City of
Melbourne (see Table 16, below). The Babcock Street CRA median household income for 2010 is
$31,269 compared to $43,786 for the City of Melbourne. Both the City and the CRA have a lower
median household income than all US households which is $54,442. These figures are
representative of the large segment of the Babcock Street CRA population, roughly 50 percent, that
utilize relatively fixed transfer payments for primary income such as pensions, social security
payments and other forms of retirement income. The lower median household income numbers for
the Babcock Street CRA and the City of Melbourne also underscore the need for continued
economic development and the creation of higher paying job opportunities.
Table 16: Median Household Income
Babcock Street CRA
City of Melbourne
1990
$20,234
$25,672
2000
$30,919
$34,584
2010
$31,269
$43,786
2015
$34,230
$51,005
Source: ESRI Business Analyst Online using U.S. Bureau and Census, 2000, Census of Population and Housing and LEA, 2012. ESRI forecast for 2010 and 2015.
4. Disposable Income
The median disposable income for households within the Babcock Street CRA is $27,068 with the
highest median disposable income occurring for households of primary occupants between the ages
of 45-54. Table 17, below, displays the number of households within each age range and the
disposable income in that age range. A review of this information shows that while the ages 45-54
have the highest median income at $47,974 the number of households with occupants older than 75
skews the median disposable income downward.
Note that the population numbers reflect the population of the census tracts that may not be
located entirely contained within the Babcock Street CRA but intersect the CRA boundaries, or are
immediately adjacent to the CRA boundaries.
A review of the City of Melbourne’s 2010 data also showed the highest median disposable income to
occur at this age range. The median disposable income is $34,874
Table 17: 2010 Disposable Income by Age of Householder
<25
25-34
35-44
45-54
55-64
65-74
75+
Babcock Street CRA
Total Number of Households 6
14
19
27
48
70
115
Median Disposable Income
$16,677 $36,757 $27,883 $47,974 $29,291 $30,306 $22,171
City of Melbourne
Total Number of Households 1,717
4,646
5,129
6,540
5,410
4,444
5,583
Median Disposable Income
$23,535 $36,473 $40,368 $45,216 $39,038 $31,151 $25,578
Source: ESRI Business Analyst Online using U.S. Bureau of the Census, 2000 Census Population and Housing and LEA, 2012. ESRI forecasts for 2010 and 2015.
61
5. Housing Profile
This section provides housing data information for Babcock Street CRA and the City of Melbourne.
The information included deals with total housing units, occupancy status and home valuations
(median and average) for 2000 and 2010. The occupancy status for housing units is represented by
occupied (in general), owner (occupied), renter (occupied) and vacant.
While the City of Melbourne had an occupancy rate of 91.4 percent in 2000, the Babcock CRA was
struggling with an occupancy rate of 48.9 percent. In 2010, occupancy rates for both areas dropped
to 86.3 percent and 44.1 percent for the City of Melbourne and Babcock Street CRA, respectively.
The decrease in occupancy rate for the CRA in 2010 meant that over 55.9 percent or a total of 380
housing units in the area were vacant. The decrease in occupied housing is due to the recent
housing market crash and surplus of foreclosures on the market.
Table 18, below, highlights the City of Melbourne’s average and median housing values that are
approximately twice as much as what can be found within the Babcock Street CRA. While values
have increased from 2000 to 2010 for both areas, the City of Melbourne has higher priced homes
than the Babcock Street CRA.
Table 18: Housing Units by Occupancy Status- 2000 & 2010
Babcock Street CRA
City of Melbourne
2000
2010
2000
2010
Total Housing Units
538
680
33,678
38,763
Occupied
263
299
30,788
33,464
Owner
202
226
19,111
20,723
Renter
61
74
11,677
12,741
Vacant Units
176
380
2,890
5,299
Median Value
$30,000
$35,909
$80,260
$104,279
Average Value
$42,527
$52,931
$90,931
$123,036
Source: ESRI Business Analyst Online using U.S. Bureau and Census, 2000, Census of Population and Housing, LEA, 2012. ESRI forecast for 2010 and 2015.
62
6. Babcock Street CRA Lifestyle Tapestry™ Segments2
An evaluation of the dominant lifestyle tapestry segments was completed to identify specific
lifestyle and spending patterns for the residents with and adjacent to the Babcock Street CRA.
Lifestyle tapestry segments divides residential areas within the United States into 65 distinctive
segments based on socioeconomic and demographic characteristics. The information presents a
snapshot of residential, entertainment and purchasing preferences.
The Babcock Street CRA area is composed of four primary Tapestry Segments. The largest
component is the Senior Sun Seekers segment comprising ~87% of the households within and
immediately adjacent to the CRA. The next largest component is the Great Expectations segment
comprising ~10% of the households within and immediately adjacent to the CRA. The two remaining
segments The Elders and Simple Living segments comprise 2.5% and 0.5% respectively.
Senior Sun Seekers
Demographic
Sun Seekers are among the fastest growing demographic group in the United States growing 2.2%
annually. Their Median age is 53.6 years old. Over 60% are over 55 years of age. Married couples
without children and singles comprise 70% of all households in this group. This segment is not
ethnically diverse, approximately 87% of the segment are Caucasian.
Socioeconomic
Many Sun Seekers are retired or anticipating retirement. The median household income is $37,752.
Labor force participation is 43% and more than half of the households receive Social Security
benefits. Approximately one-third of the households also receive retirement income (pensions,
other incomes). The median net worth is $90,439.
Residential
The neighborhoods that are home to Senior Sun Seekers are located in the west and south, 43% are
located in Florida. Many Sun Seekers are ‘snowbirds’ that maintain a second residence in the south
to escape cold weather. Home ownership is at 81% and the median home value is $95,401. Singlefamily dwellings comprise half of the housing stock while mobile home comprise nearly 40%. Most
of the housing for Senior Sun Seekers was built after 1969.
Preferences
Senior Sun Seekers frequently take car trips and prefer to stay in reasonably priced motels or hotels
such as Days Inn, Super 8 and Comfort Inn. They eat out frequently at fast-food and family style
restaurants. Some enjoy gardening and working on their own landscaping projects. Many join
veterans’ organizations and service clubs and perform charity work at these organizations. These
2
Tapestry segment information is excerpted from Esri’s Tapestry™ Segmentation data by Esri Corporation, 2013.
63
seniors control their diet and take a variety of vitamins for health purposes. They will stop at nearby
Circle K or Citgo Quik-Mart convenience stores for a quick purchase. Satellite TV is part of their daily
viewing watching game shows, dramas, news programs, home improvement shows, sitcoms and
golf tournaments. Favorite cable TV channels include CMT, TNT, and Turner Classic Movies. They
also read hunting and fishing magazines, rent comedies on DVDs and occasionally listen to countrymusic radio. Senior Sun Seekers also play bingo, visit theme parks, fish and hunt.
64
Great Expectations
Demographic
Young singles who live alone and married-couples dominate the Great Expectations market,
although all household type are represented. The median age is 33.3 years. Compared to the US as
a whole, Great Expectations has a higher proportion of residents who are in their 20s and a higher
proportion of householders younger than 35 years. The ethnic diversity and racial composition of
this segment are similar to US levels.
Socioeconomic
The median household income for this segment is $40,243 and the median net worth of $21,548 are
lower than US values. Nearly half of the population aged 25 year and older has some postsecondary
education; 18% hold a bachelor’s or graduate degree. Labor force participation rate is 66%; most of
the jobs come from manufacturing, retail and service industry sectors.
Residential
Great Expectations neighborhoods are located throughout the country with higher proportions
located in the Midwest and South. 50% of the segment owns their own homes and 50% rent their
homes. More than half of the households are single-family dwellings; approximately 40% are
apartments in low-rise or mid-rise buildings. The median home value is $100,315. Most of the
housing units in these older suburban neighborhoods were built before 1960.
Preferences
Great Expectations homeowners are not afraid to tackle smaller maintenance and remodeling
projects, but they also enjoy a young and active lifestyle. They go out to dinner and like to attend
movies. Great Expectations homeowners do most of their grocery shopping at Wal-Mart
Supercenters, Aldi and Shopn’Save. They throw Frisbees; play softball and pool; go canoeing; watch
horror, science fiction, and drama films on DVD. They listen to country music and classic rock music
and sports radio on the radio. They watch dramas, auto racing and the evening news on TV. They
occasionally eat at Arby’s and Dairy Queen. Shopping is done at major discount and department
stores.
65
The Elders
Demographic
The Elders tapestry segment is the oldest segment with a median age of 73.2 years. 80% of the
householders are 65 years or older. This population is growing by 1.22% annually. Nine out of ten
households are either married couples with no children living at home or singles as reflected by the
small household size of 1.7 persons. More than 4 in 10 live alone, one of the top 10 segments that
live alone. There is no ethnic diversity, 95% of the Elders population is Caucasian.
Socioeconomic
Most of this segment have retired. 80% receive Social Security benefits, more than three times the
national level. 48% collect retirement income, more than two and a half times the national level.
65% receive income from investments. Only 20% of this segment are still working. Although the
median household income for the Elders segment is $42,293, lower than the national figure, the
median net worth is significantly higher than the national figure at $186,098.
Residential
Representing the highest concentration of retirees, The Elders residents favor communities
designed specifically for senior living in primarily warm climates. 50% of these households are
located in Florida, 30% of the households are located in California and Arizona. Nine in ten
households live in owner-occupied housing with a median income of $121,383. Housing types are
mixed; half are single-family homes, one third are multi-unit buildings, and 17% are mobile homes.
Preferences
Informed, independent and involved, The Elders are members of veterans clubs and fraternal
orders. Their diverse investment portfolios include shares in tax-exempt funds, annuities and
insured money market accounts. They watch their diets; visit their doctor regularly; take vitamins
and dietary supplements; buy low-cholesterol, fat-free, low-sodium, low-calorie and sugar-free
food; and take prescription drugs to manage various health conditions. Golf is important to them.
The Elders play golf, buy golf clothes and watch golf tournaments on TV. They like to walk, work
crosswords, fish, gamble at casinos, go to the theatre, and eat out. Many travel domestically and
abroad. A cruise is a favorite vacation. TV is part of their daily regimen with news programs, movies,
sports and game shows being favorite programming. They have a slight preference for domestic
(US) vehicles and many belong to an auto-club. They prefer to shop at Wal-Mart, Target and Jenney
instead of other department stores.
66
Simple Living
Demographic
The median age of the Simple Living segment is 41.3 years, slightly older than the US median age of
37 years. Approximately 20% of Simple Living residents are 65 years and older and 12% are aged 75
years and older. 50% are singles who live alone and 32% are married-couple families. Young
couples with children are in the minority of this segment. Most Simple Living residents are white.
The market size is stable with little or no growth.
Socioeconomic
The median household income is $29,408. Almost 40% of the households collect Social Security
benefits, 8% receive Supplemental Security Income and 6% receive public assistance of some kind.
Simple Living residents have built equity in their homes and have a median net worth of $15,034.
Most residents who are employed work in the health care, retail trade, manufacturing, educational
services, and accommodation/food services industry sectors. 75% of all Simple Living residents are
25 years and older and have graduated high school. Only 15% hold a bachelor’s or graduate degree.
Residential
Simple Living neighborhoods are frequently in the urban outskirts or suburbs throughout the United
States. Resident live in older housing; 62% were built before 1970. Over 50% of the Simple Living
segment rent their homes. 42% of the housing is single-family dwellings and 47% is in multi-unit
buildings of varying height, with some living in assisted living facilities. The median home value is
$96,358. 22% of households do not own an automobile, 45% own only one vehicle. Workers’ in this
segment average commute time to work is 20 minutes.
Preferences
The lifestyle preferences in this segment is reflective of the ages of the residents. Younger people
go to nightclubs and play musical instruments while seniors refinish furniture and go saltwater
fishing. Community activities are also important to the senior portion of this segment. This includes
fraternal orders and veterans’ clubs.
Simple Living households spend wisely and frugally on limited budgets. They buy essentials at
discount stores and only occasionally treat themselves to a dinner out and a movie. Cable TV is a
must for residents of this segment who frequently watch family shows, news programs, and game
shows. Simple Living residents are fans of daytime TV. Owning a computer, cell-phone or DVD
player is a low priority.
67
V. APPENDIX
JOBS GROWTH INCENTIVE PROGRAM SAMPLE
Eligibility
•
•
•
•
•
•
•
•
3
Each application for consideration will be evaluated on a case-by-case basis.
Applicants must be one of Target Industry groups identified by the City of Melbourne.
Non-target industries may be eligible for consideration if the proposed expansion or relocation
is proposed to occur within targeted areas (i.e., Community Redevelopment Areas, or other
areas identified by the Melbourne City Council) pursuant to an adopted Resolution.
Minimum Job Creation Criteria
o Relocating Companies - 10 Jobs Minimum
o Expanding Companies - 10% increase over present employment
o New or Start-up Companies - 3 New Jobs
Minimum Salary Criteria
o Relocating Companies 115% of Brevard County Average Annual Wage (Brevard County Avg.
Wage= $44,182 3) (115% of Avg. Wage=$50,809 as of 12/31/12)
o New or Expanding Companies 80% of Brevard County Average Wage (Brevard County Avg.
Wage= $44,182) (80% of Avg. Wage=$35,345 as of 12/31/12)
o Relocating or Expanding Companies proposing to locate in a ‘targeted area’ 80% of Brevard
County Average Wage (Brevard County Avg. Wage= $44,182) (80% of Avg. Wage=$35,345 as
of 12/31/12)
Consideration will be given to applications that propose the construction of new facilities or
additions to existing facilities that provide an addition to the non-residential tax base.
In addition to the minimum eligibility criteria listed above, the City will also evaluate applications
for consideration based on these additional factors:
o The purchase and use of local materials, goods and services to be utilized in the construction
or expansion of facilities;
o The applicant’s (Employer’s) willingness to hire and employ local Melbourne residents;
o The applicant’s (Employer’s) offering or providing healthcare, daycare and other benefits to
employees;
o The applicant’s (Employer’s) locating of the facility or expansion of existing facility within a
targeted area (As identified by Federal, State, County or Local Governments and by
Resolution); and,
o The strategic importance of the proposed facility or expansion of an existing facility relative
to the Federal, State, Regional, County or Municipal economic development efforts and
objectives.
The City will consider long-term lease payments (5+ Years), for occupancy of a facility, as a
measure of capital investment. Long-term lease payments represent the applicant’s
(Employer’s) commitment to remain at the site and facility which would not have been created
had the company not come to the area.
Office of Economic and Demographic Research (EDR), Brevard County Statistics, 2012.
68
Application
•
•
•
Applicants for consideration for participation in the proposed Melbourne Babcock Street CRA
JGI program will complete an application form requiring the following development program
information for submittal:
 Business Name and Federal ID Number (FEIN);
 Business description and NAICS classification;
 Primary Contact Information / Address;
 Proposed Physical Development Program / Expansion / Relocation
 Estimated Capital Investment Value of Proposed Expansion or Relocation (Includes building
value, long term lease and equipment);
 Timing, type and distribution of new jobs to be created, including position classification,
annual wage and other benefits;
 Type and distribution of existing jobs to be retained, classification, annual wage and other
benefits;
 Statement that “but for” the consideration of potential availability of incentives to offset
development costs of the proposed expansion or relocation the Melbourne Babcock Street
CRA site or facility would not be viable or under consideration;
 Requested JGI Grant Amount
 Anticipate Spin-Off impacts (Employee housing purchases, purchases associated with
operations, etc.)
 Anticipated use of local suppliers or contractors.
Applications and discussions between the City and applicants may be maintained confidential in
accordance with the provisions of Section 288.075 of the Florida Statutes.
Potential Maximum Award. The potential maximum award is conditional on City Council
approval and is dependent on the pay scale and fulltime equivalent of the jobs being created.
Potential maximum awards are as follows.
New Job Creation
Maximum Potential JGI
Amount of Award
$800 per new job
$1,000.00 per new job
created plus
created
created
69
Evaluation
•
•
•
•
•
•
Completed Applications for consideration would be submitted to the City of Melbourne Planning
and Economic Development Director, or designee, for a review of Application completeness and
sufficiency;
A Staff level review would be completed by the City of Melbourne Planning and Economic
Development Director, City Manager, Economic Development Director, Director of Finance, and
City Attorney.
This staff level review would yield a recommendation to be provided to the City Council.
Recommendations shall include whether or not the application should be approved or denied,
and if approved, if any conditions are to be placed upon the award.
The Economic Development Director, or designee, will provide a summary report of the staff
level review, findings and recommendations to the City Council for their review and
consideration.
Applications for consideration to participate in the proposed Melbourne Babcock Street CRA
Jobs Growth Incentive program shall be made on an Application Form that has been approved
by the City.
Approval
•
•
•
•
•
The City’s Economic Development Director, or designee, shall prepare an Agenda item for
consideration by the Melbourne City Council at a regularly scheduled City Council meeting.
Said Agenda Item shall include:
o A complete and satisfactory City of Melbourne Babcock Street CRA JGI Application;
o The findings and recommendations of the staff level review;
o A Jobs Growth Incentive Performance Agreement that details the proposed performance
criteria of the applicant and City;
o The Summary Report of the staff level recommendations; and,
o The anticipated ad-valorem taxes to be generated by the Project and the anticipated time
period for said ad-valorem taxes to equal and exceed the award amount (Return on
Investment period).
Approval of City of Melbourne Babcock Street CRA JGI Awards shall require a majority vote of
the City Council that has a quorum.
Award of funds is solely at the discretion of the City Council and the availability of funds.
No funds for an approved JGI Application shall be disbursed until a complete and executed Jobs
Growth Incentive Performance Agreement, including a valid and satisfactory Surety Instrument,
has been filed with the City.
70
Disbursement and Use of City of Melbourne Babcock Street CRA JGI Funds
•
•
•
•
•
•
•
JGI Applicants that are approved by the Melbourne City Council to receive a Melbourne Babcock
Street CRA JGI fund grant shall be required to enter into a Jobs Growth Incentive Performance
Agreement, including a valid and satisfactory Surety Instrument.
This Performance Agreement will detail the specific job creation criteria, capital investment
criteria, wage and salary criteria, timing, reporting requirements and other terms and conditions
to satisfy, agreed upon conditions and performance objectives.
Said Performance Agreement shall have a mandatory provision for repayment of the JGI grant
award to the City of Melbourne when an approved JGI grant applicant fails to perform any
condition of the Performance Agreement.
Jobs (Positions) shall be maintained for a minimum of two (2) years.
The City may ‘claw-back’ the award through a call-in of the Performance Bond or Surety
Instrument if the applicant does not satisfy the terms and conditions of the executed
No City of Melbourne Babcock Street CRA JGI funds may be disbursed until the approved
applicant has filed with the City a fully executed Jobs Growth Incentive Performance Agreement
and a valid and satisfactory Surety Instrument.
Disbursed City of Melbourne Babcock Street CRA Jobs Growth Incentive funds may be used for:
o Reducing the cost of impact fees associated with the project;
o Expansion and construction costs; and ,
o Costs associated with corporate relocation.
Reporting and Performance by Melbourne Babcock Street CRA JGI Award Recipients
•
•
•
•
JGI Applicants that are approved by the Melbourne City Council to receive an Melbourne
Babcock Street CRA JGI fund grant and have filed a fully executed Jobs Growth Incentive
Performance Agreement, including a valid and satisfactory Surety Instrument, with the City
Clerk, will be required to submit annual Performance Reports to the City’s Economic
Development Director, or designee, to verify compliance with the terms and conditions of the
Said Performance Reports shall utilize the form approved by the City.
Annual Performance Reports shall be due each year on the anniversary date of the execution of
the Performance Agreement.
Should the approved applicant fail to comply with the terms and conditions of the Performance
Agreement, the City of Melbourne may terminate the Performance Agreement and impose
sanctions including, but not limited to, pursuit of a refund of all City of Melbourne Babcock
Street CRA JGI grant monies disbursed, reimbursement of all costs incurred in the processing
and administration of the project and disqualification or debarment from participation in any
future City of Melbourne grant or assistance programs. A pro-rata share of the award may be
sought for partial satisfaction of the terms of Performance Agreement.
71
VI. APPENDIX
IMPACT FEES ASSISTANCE PROGRAM SAMPLE
New Job Creation
Maximum Potential Amount
of Award
$800 per new job created
plus $500.oo per new job
allocated for the hiring of a
city resident.
created plus $500.oo per
new job allocated for the
hiring of a city resident.
72
VII.
APPENDIX RENTAL SUBISDY PROGRAM SAMPLE
Eligibility
•
Each application for consideration will be evaluated on a case-by-case basis.
•
The business must have graduated within in the past 12 months from a small business incubator
program, said program is a member of the National Business Incubation Association (NBIA),
including but not limited to UCF Business Incubator Program (UCF BIP), Technological Research
and Development Authority (TRDA), Seminole State College Central Florida Business Incubation
Center (SSC CFBIC) and Seminole State College Seminole Technology Business Incubation Center
(SSC STBIC).
•
The business must locate within the incorporated boundary of the City of Melbourne and the
Babcock Street CRA boundaries.
•
The business must be properly licensed to operate within the State of Florida, Brevard County,
and the City of Melbourne.
•
Applicants must be current in the payment of all business taxes and licensures.
•
The applicant must own the building it plans to operate within or it must have an executed
multi-year lease (two (2) year minimum) with the owner. The binding or proposed multi-year
commercial lease agreement (two (2) year minimum) must be provide to the City.
•
Businesses must employ a minimum of two (2) full-time equivalent W-2 or 1099 contracted
employees whose wages are reported to the state and federal government; a position occupied
by the business owner may count toward one of the required job positions. The two (2) full-time
equivalent positions can be achieved in part by two (2) or more part-time employees whose
hours equal thirty-five (35) or more hours per week
•
One (1) full-time equivalent employee, for the purposes of the rental subsidy program, shall
mean thirty-five (35) hours per week.
•
Applicants must provide a Business Plan which includes a three-year financial projection of
revenues and expenses to the City.
•
Applicants must provide a list of jobs to be created and filled including job descriptions, pay
range and weekly schedule. For existing businesses, a list of all current positions including job
descriptions, pay range and weekly schedule (or most recently filed UCT-6 Form) must be
provided.
73
Application
•
Applicants for consideration for participation in the proposed Melbourne Babcock Street CRA
Rental Subsidy Program will complete an application form requiring the following development
program information for submittal:
•
•
•
•
•
Business Name and Federal ID Number (FEIN);
Business description and NAICS classification;
Primary Contact Information / Address;
Requested Grants Funds (monetary and non-monetary);
Timing, type and distribution of new jobs to be created, including position classification, annual
wage and other benefits;
Type and distribution of existing jobs to be retained, classification, annual wage and other
benefits;
Type and distribution of jobs to City of Melbourne residents;
Anticipate Spin-Off impacts (Employee housing purchases, purchases associated with
operations, etc.);
Anticipated use of local suppliers or contractors;
Any other information to assist in determining the amount of assistance warranted;
Proof of graduation of certified incubator program;
Proof of binding or proposed multi-year commercial lease agreement (two (2) year minimum;
Business Plan which includes a three-year financial projection of revenues and expenses to the
City.
•
•
•
•
•
•
•
•
Evaluation
•
•
•
•
•
•
Completed Applications for consideration would be submitted to the City of Melbourne
Economic Development Director, or designee, for a review of Application completeness and
sufficiency;
A Staff level review would be completed by the City of Melbourne Planning and Economic
Development Director, City Manager, Economic Development Coordinator, Director of Finance,
and City Attorney.
This staff level review would yield a recommendation to be provided to the City Council.
Recommendations shall include whether or not the application should be approved or denied,
and if approved, if any conditions are to be placed upon the award.
The Economic Development Coordinator, or designee, will provide a summary report of the staff
level review, findings and recommendations to the City Council for their review and
consideration.
Applications for consideration to participate in the proposed Melbourne Babcock Street CRA
Rental Subsidy program shall be made on an Application Form that has been approved by the
City.
Approval
• The City’s Economic Development Coordinator, or designee, shall prepare an Agenda item for
consideration by the Melbourne City Council at a regularly scheduled City Council meeting.
• Said Agenda Item shall include:
74
A complete and satisfactory City of Melbourne Rental Subsidy Application;
The findings and recommendations of the staff level review;
The Summary Report of the staff level recommendations; and,
The anticipated ad-valorem taxes to be generated by the Project and the anticipated time
period for said ad-valorem taxes to equal and exceed the award amount (Return on
Investment period).
Approval of City of Melbourne Rental Subsidy Awards shall require a majority vote of the City
Council that has a quorum.




•
Disbursement of Rental Subsidy Awards
•
The award recipient of a rental subsidy portion of the award shall be paid the rent subsidy as
agreed upon in an executed performance agreement between the applicant and the City on a
per quarterly basis following the satisfactory submittal of proof of rent paid. All rental subsidy
grant awards will be paid to the award recipient in monthly installments for the established
period upon satisfactory verification of continued employment levels. Grant award recipient
companies shall provide quarterly status reports to the City to verify satisfaction of the job
creation and retention terms outlined in the executed performance agreement. If the subject
business reduces its employee roster for any reason, thereby reducing the number of obligated
full-time equivalent employees, the subsidy shall be prorated based on the reduction of
employees. The maximum amount of funding available to any applicant shall be $12,000 in a
twelve (12) month period.
•
Businesses may only apply once per one year period. Businesses may only receive one grant
award through this program.
•
All rental subsidy grant awards will be paid quarterly (unless other terms are agreed to by the
City and applicant) to the applicant upon the provision to the City of satisfactory proof of
rental/lease payment and verification of employment levels as demonstrated by quarterly
submittals to the City of the applicant’s UCT-6 Form.
Reporting and Monitoring
•
Applicants that are approved by the Melbourne City Council to receive rental subsidy shall
provide a copy of the grantee’s UCT-6 quarterly report form submitted to the Florida
Department of Revenue.
•
Failure to provide the UCT-6 reports to the City within two (2) weeks of the date they are due to
the Florida Department of Revenue and/or the IRS will result in immediate indefinite suspension
from the program and loss of the subsidy for the month in which the report was due and each
succeeding month the report is not submitted. Status with the program may be regained upon
successful submission of the required employment documentation to the satisfaction of the
City.
•
For W-2 eligible employees, timely Florida Department of Revenue Employers Quarterly Report
(UCT-6) for each consecutive quarter must be submitted to the City.
75
•
For sole proprietorships, partnerships, s-corporations, or any other entity that elects to pass
through taxable income to business owners and the business owner(s) are one or more of the
listed employees for application purposes, an 1040ES payment voucher or proof of electronic
payment is required. Quarterly payments must be made before the due dates or any penalties
for late filings must show as paid. If the business owner elects to file the 1040-ES annually, the
City must receive a copy of the filing no later than two weeks after the IRS deadline. If the
business owner does not qualify for estimated tax reporting, an Estimated Tax Worksheet from
IRS form 1040-ES must be submitted along with the prior year's tax return (if not already
submitted).
•
For 1099-MISC eligible employees (i.e. independent contractor), IRS Miscellaneous Income form
(1099-MISC) must be submitted annually to the City before February 28 of the following year.
Proof of cleared checks showing employee payments along with a statement of service provided
by the employee must be submitted no later than two weeks after the end of each quarter
(April 30, June 30, September 30, and December 31).
76
VIII. APPENDIX MICRO-LOAN LOSS RESERVE PROGRAM AGREEMENT SAMPLE
BANKING PARTNER (TBD.)/CITY OF MELBOURNE BABCOCK STREET COMMUNITY
REDEVELOPMENT AGENCY
Micro-Loan Program Agreement
THIS AGREEMENT (“Agreement”) is made and entered into this ___
day of
___________, 20
, by and between
(BANK PARNER TBD)
, a Florida
state-chartered bank (the “Bank”), and the CITY OF MELBOURNE BABCOCK STREET
COMMUNITY REDEVELOPMENT AGENCY, a body corporate and politic created pursuant to Part
III of Chapter 163, Florida Statutes (the “CRA”).
WHEREAS, the Bank has introduced to the City Of Melbourne Babcock Street
Community Redevelopment Agency (CRA) a socially-responsible banking program wherein
deposits made into the program are designated for loans within the City of Melbourne Babcock
Street Community Redevelopment Agency Area, said area being more specifically depicted on
Exhibit “A” attached hereto and incorporated herein by reference (the “Area”); and
WHEREAS, the CRA wishes to help stimulate economic growth within its boundaries by
encouraging the development of small, locally owned or operated businesses; and
WHEREAS, it is a goal of the CRA to create opportunities to attract new and expanding
businesses to the CRA and support the existing business community; and
WHEREAS, it is an objective of the CRA to actively encourage start-up businesses to
locate in existing retail and office space within the Area; and
WHEREAS, the CRA has determined that small business growth within the City of
Melbourne Babcock Street Community Redevelopment Area would be encouraged by
encouraging lending institutions to make low-interest, micro loans available to both new and
existing small businesses; and
WHEREAS, the CRA desires to encourage the Bank’s socially-responsible banking
initiative and creation of a Micro-Loan Program (hereinafter “Program”) to benefit small
businesses within the City of Melbourne Community Redevelopment Area that is backed by
legislatively authorized appropriation from the CRA; and
WHEREAS, the parties wish to reduce to writing the methodology for such participation
and enhancement.
77
NOW, THEREFORE, in consideration of the mutual covenants and undertakings herein,
the receipt and sufficiency of which are hereby expressly acknowledged, the parties hereby
agree as follows:
1.
RECITALS. The above recitals are true and correct and are incorporated herein
as material provisions of this Agreement.
2.
CRITERIA FOR BORROWERS. The CRA will, from time to time at its sole
discretion, refer to Bank potential small business borrowers who meet the following criteria:
a. The borrower’s business is located within the City of Melbourne Babcock
Street Community Redevelopment Area; and
b. The borrower’s business has twenty (20) or fewer employees.
The loans under the Program will be offered by the Bank to new and existing businesses. New
businesses are defined as businesses that have been operating for less than two (2) years. New
businesses may be required, as part of the loan process, to obtain technical assistance from
organizations such as the National Entrepreneur Center, SCORE, SBDC, or other recognized
small business counseling organization, as a condition for obtaining a loan.
3.
BANK FINANCIAL COMMITMENT. Bank’s loan pool commitment to this Program
is $(TBD) in total loans.
4.
TERMS OF LOANS. The loans made by the Bank under the Program shall be
made to and used by qualified borrowers for the sole purpose of developing, supporting,
and/or expanding the borrower’s business within the City of Melbourne Babcock Street
Community Redevelopment Area (the “Loan Purpose”). The Loan Purpose shall be expressly
set forth in every loan agreement made by the Bank pursuant to this Agreement. Each and
every loan will be a minimum of $5,000.00 and shall not exceed $39,999.00 to any one
borrower. Subject to the provisions herein, all loans shall be granted within the sole discretion
of Bank. The term of the loans will be between three (3) years and five (5) years on a fullyamortizing basis with a single initial disbursement. The interest rate to be charged on these
loans will be the Wall Street Journal prime rate plus 1% or (TBD) fixed. Fixed rates are subject
to change at the Bank’s discretion based upon interest rate conditions, provided prior written
notification is provided to the CRA. No bank origination or other fees will be charged to the
borrower.
5.
MINORITY BUSINESS ENTERPRISES. It is a goal of the CRA that 10% of the loan
pool and/or 10% of the total loans be made to minority business enterprises. For the purposes
of this Agreement, minority businesses enterprises have the same meaning as set forth in Fla.
Stat. § 288.703 (2006). Pursuant to this goal the CRA will be responsible for obtaining
authorization from prospective borrowers to track minority participation, loan amount and rate
obtained. Performance of this goal is the sole responsibility of the CRA.
78
6.
BANK’S LENDING GUIDELINES. All loans will be underwritten using the Bank’s
standard guidelines and credit standards.
7.
LOAN LOSS RESERVE ACCOUNT. As an inducement to the Bank, the CRA agrees
to establish a dedicated loan loss reserve account under the following terms and conditions:
a. The CRA will fund the loss loan reserve account (“LLR account”) by
depositing with the Bank the sum of One Hundred and TBD DOLLARS and
No/100 Dollars ($TBD.00) in a “socially-responsible,” interest-bearing
money market account. The account title will be “City of Melbourne
Babcock Street Community Redevelopment Agency Micro-Loan Program
Loan Loss Reserve Account.” The $TBD.00 deposit shall be funded by a
one-time, legislatively authorized expenditure, and shall not constitute a
pledge of the CRA’s credit
b. The funds in this account will be used by the Bank to reimburse the Bank
for any losses that are incurred in loans made under the Program by the
Bank. The Bank is given full authority to debit this account to cover any
loan losses sustained by the Bank under loans made pursuant to and
under the terms of the Program. Upon the depletion of the funds in this
account by the payment of losses, all further losses sustained by Bank
under the Program will be at the risk of and the sole responsibility of
Bank, and not the City. Further, should the Bank be successful in
recovering any amounts charged against this account, the net amount,
after the deduction of costs of any recovery, shall be credited back to the
LLR account.
c. The Bank will allow the LLR account to be debited to pay for loan closing
costs on all (TBD Banking Partner) Bank originated loans made under this
program.
d. The LLR account shall be maintained by the CRA until all loans made
pursuant to the terms and conditions of the Program are paid in full, or
are declared to be losses after the Bank has exerted reasonable collection
efforts with respect to each loan. When the loan balance in the Program
reaches zero (0) and there is an agreement between the parties that no
additional loans will be made, the Bank shall return the remaining
balance in the LLR account to the CRA.
8.
TERM. Unless otherwise terminated sooner as provided for herein, this
Agreement shall remain in full force and effect for five (5) years from the date of execution.
79
9.
TERMINATION OF AGREEMENT. Upon termination of this Agreement the
following are required:
a. Actions Required By Bank Upon Termination. In addition to any
other obligation provided for in this Agreement, upon termination of
this Agreement, either by the expiration of term provided for herein,
early termination as provided below, or any other reason resulting in
the termination of this Agreement, Bank shall, within thirty (30) days
of such termination:
i. Accounting. Provide an accounting of LLR Account funds
expended up to and including the date of termination.
b.
Early Termination. Notwithstanding anything to the contrary
provided for in this Agreement, upon thirty (30) days written notice
to either party, the Bank or the CRA may, in addition to any right
permitted by this Agreement or statute, terminate this Agreement
prior to the end of the term provided herein upon the occurrence of
any one or more of the following events:
i.
The sole decision of either the Bank or CRA to end the
Agreement.
iii. The Bank declares bankruptcy, is wound up, dissolved or
otherwise ceases to exist as a legal entity.
10.
ACCOUNTABILITY AND OVERSIGHT. The funds in LLR account covered by this
Agreement are public funds and as such are subject to all applicable federal, state, and local
laws and regulations pertaining to the use of public funds. The use of any funds provided under
this Agreement for a purpose other than those expressly stated herein may subject the Bank, its
officers, employees or agents, to criminal prosecution, administrative sanctions, and liability for
repayment of the misused funds. In addition to the foregoing and the other terms and
conditions provided in this Agreement, the Bank shall have the following obligations pertaining
to the use of the public funds and the oversight of the Bank’s activities:
a. Bank’s Obligations and Responsibilities. The Bank hereby agrees as
follows:
i.
The Bank shall provide quarterly statements to the CRA
as to the balance of the LLR account.
ii.
Upon written request from the CRA, the Bank will be
required to attend meetings of the CRA pertaining to
any matter relating to or in connection with this
Agreement.
80
iii.
The Bank will operate under professional standards of
conduct and organizational effectiveness, consistent
with the public interest and mandates of the Florida
Statutes and as is customary for similar financial
institutions.
11.
OTHER EXPENSES AND FUNDING. Except as expressly provided in and subject to
this Agreement, it is understood and expressly agreed by and between the parties to this
Agreement that the CRA is not responsible or obligated to provide any additional funding for
the Bank’s responsibilities or to approve reductions in the scope of the promised Bank’s
responsibilities. The Bank acknowledges and agrees that Bank shall bear the sole responsibility
to perform the Bank’s obligations (pertaining to those not previously assigned to the CRA as per
this Agreement) and to provide any additional funds necessary to perform and achieve the
Bank’s obligations, regardless of the actual costs and even if those costs exceed the Bank’s cost
estimate. Any expenditure made by Bank pertaining to or in connection with performing or
achieving the Bank’s obligations prior to the Effective Date is undertaken at the Bank’s sole
expense. Further, loans made pursuant to the Program as provided herein are secured solely
by the one-time legislative appropriation of funds by the CRA that secures the LLR account as
set forth in § 7 of this Agreement. Under no circumstances shall this Agreement constitute a
pledge of the faith and credit of the City of Melbourne Babcock Street Community
Redevelopment Agency or City of Melbourne Government, or be secured by ad valorem taxes
or any other revenue source of the City of Melbourne Government or the City of Melbourne
Babcock Street Community Redevelopment Agency.
12.
ACCURACY OF INFORMATION. The Bank warrants and represents that all
documentation and information provided by the Bank in connection with this Agreement,
including all representations, statements and information contained therein, are and shall
continue through the term of this Agreement to be true, complete and accurate in all material
respects. Any material changes to such documentation and/or information must be provided
to the CRA within twenty (20) days of such changes.
13.
INDEMNIFICATION. Because it is within the Bank’s sole discretion to extend a
loan to an applicant under this Program, the Bank agrees to indemnify and hold the CRA
harmless from and against any and all liability, claims, demands, damages, expenses, fees, fines,
penalties, suits, proceedings, actions and cost of actions, including attorneys' fees for trial and
on appeal, of any kind and nature arising out of the Bank’s actions and duties as they pertain to
the granting and ongoing maintenance of the loan process.
14.
REMEDIES. The rights and remedies hereunder are in addition to, and not in
limitation of, other rights and remedies under this Agreement, at law or in equity, and exercise
of one right or remedy shall not be deemed a waiver of any other right or remedy. In the event
the Bank breaches any of the terms or conditions of this Agreement, the CRA reserves the right
to seek equitable relief and/or all other remedies as available to it under applicable law,
81
including, but not limited to, repayment of the LLR Account, or any portion thereof. Further,
the CRA reserves the right to deem the Bank ineligible for participation in future CRA projects.
15.
NO WAIVER. Continued performance by either party hereto, pursuant to the
terms of this Agreement, after a default of any of the terms, covenants or conditions herein
shall not be deemed a waiver of any right to terminate this Agreement for any subsequent
default, and no waiver of such default shall be construed or act as a waiver of any subsequent
default.
16.
CONSTRUCTION; SEVERABILITY. This Agreement shall be construed in
accordance with the laws of the State of Florida. It is agreed by and between the parties that if
any covenant, condition or provision contained in this Agreement is held to be invalid by any
court of competent jurisdiction, such invalidity shall not affect the validity of any other
covenants, conditions or provisions herein contained.
17.
NON-ASSIGNABILITY; NON-EXCLUSIVITY. The Bank may not assign its rights
hereunder without the prior written consent of the CRA. Failure to comply with this section
may result in immediate termination of this Agreement. The CRA may assign its rights and
obligations under this Agreement to another governmental entity or to a not-for-profit
corporation. Nothing herein shall operate or be construed to operate as a prohibition against
the CRA’s participation with other entities, including financial institutions, from similar microloan programs or other socially responsible banking programs.
18.
EXPENSES. Except as otherwise expressly provided in this Agreement, each
party to this Agreement will bear the party’s own expenses in connection with the preparation,
execution, and performance of this Agreement and the transactions contemplated by this
Agreement. In the event of any default on the part of any party to this Agreement and the
necessity to initiate court action for the enforcement of any right herein, then in such event,
the parties in such action shall be responsible for their own respective costs and expenses of
such action, including attorney’s fees.
19.
NO THIRD PARTY BENEFICIARIES. Nothing in this Agreement, express or
implied, is intended to or will be construed to confer upon any person, other than the parties to
this Agreement, any right, remedy or claim under or with respect to this Agreement.
20.
VENUE. Any litigation occurring as a result of this Agreement shall be held in the
courts of Brevard County, Florida and shall be governed by the laws of the State of Florida.
21.
ENTIRE AGREEMENT. This Agreement constitutes the entire agreement
between the parties hereto with respect to the subject matter hereof; any representations or
statement heretofore made with respect to such subject matter, whether verbal or written, are
merged herein. No other agreement, whether verbal or written, with regard to the subject
matter hereof shall be deemed to exist.
82
22.
NOTICE. Any notices to be delivered hereunder shall be in writing and be
deemed to be delivered when (i) hand delivered to the person hereinafter designated, or (ii)
deposited in the United States Mail, addressed to a party at the addresses set forth opposite
the party’s name below, or at such other address as the applicable party shall have specified,
from time to time, by written notice to the other party delivered in accordance herewith:
CRA:
City of Melbourne Babcock Street Community
Redevelopment Agency
900 East Strawbridge Avenue
Planning and Economic Development RM 316
Melbourne, FL 32901
Attn: Doug Dombrowski, Economic Development Director
Bank:
TBD
Attention: TBD
23.
EXHIBITS. Any exhibits referenced in this Agreement are a part of this
Agreement as if fully set forth in this Agreement.
24.
AUTHORIZED PARTIES. Each of the individuals signing this Agreement
represents and warrants that he or she has been properly authorized by his or her respective
organization to enter into this Agreement and that by their signatures each of the parties does
intend and hereby legally bound under the terms of this Agreement.
IN WITNESS WHEREOF, the parties have hereunto set their hands and seals on the date
written above.
Witnesses:
City of Melbourne Babcock Street
Community
Redevelopment
Agency,
Florida, a body corporate and politic
created pursuant to Part III of Chapter 163,
Florida Statutes
___________________________________ By:_____________________________
Print Name:__________________________ Print Name:______________________
Its:_____________________________
___________________________________
Print Name:__________________________
Witnesses:
TBD Financial Partner-Bank, a Florida statechartered bank
___________________________________ By:_____________________________
83
Print Name:__________________________ Print Name:______________________
Its:_____________________________
___________________________________
Print Name:__________________________
84

Babcock Street CRA Business Assistance Plan

Transcription

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