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AGENDA

BOARD OF TRUSTEES OF THE INTERNAL IMPROVEMENT TRUST FUND

JUNE 8, 1999



Item 1 Minutes

Submittal of the Minutes of the April 27, 1999 Cabinet Meeting.

RECOMMEND ACCEPTANCE



Item 2 Chapter 259, F.S. Acquisition Program Recommendations

DEFERRED FROM THE MAY 11, 1999 CABINET AGENDA

REQUEST: Consideration of recommendations to improve the operational efficiency and effectiveness of the chapter 259, F.S. acquisition program.

LOCATION: Statewide

APPLICANT: Department of Environmental Protection

STAFF REMARKS: At the February 9, 1999 Cabinet Meeting the Department of Environmental Protection (DEP) presented the annual Conservation And Recreation Lands (CARL) / Preservation 2000 (P-2000) report. During this Cabinet Meeting several questions and concerns were voiced by individual cabinet members with respect to the CARL / P-2000 acquisition process. In response to these questions and concerns, Secretary Green recommended that the Division of State Lands provide the Board of Trustees a detailed briefing on the CARL/P-2000 acquisition process.

On March 9, 1999, DEP, Division of State Lands, gave the Board of Trustees a briefing on the mechanics of DEP's P-2000 land acquisition process. At the conclusion of the briefing five suggested areas for improvements were presented. These five suggestions were:

  1. Do we need to review every appraisal?
  1. Do we need to negotiate every acquisition?
  2. Does the Board of Trustees need to review every contract?
  3. Do we have to get "legal" marketable title on every parcel?
  4. Can we move some tasks to post closing? (shifting the burden from the seller to the state)

In addition, Governor Bush recommended that DEP consider developing some type of incentive program for sellers in order to help improve the negotiation success rate.

In order to address the questions presented by DEP and the suggestion by the Governor, staff has generated a set of detailed recommendations for consideration by the Board of Trustees. Staff believes that the implementation of these recommendations will significantly shorten the timelines associated with the majority of the acquisitions and increase DEP's negotiation success rate.

In summary these recommendations are:

  1. Institute a process whereby appraisals valued at $500,000 or less are reviewed on a selected basis.
  2. Obtain only one appraisal on parcels where the value is anticipated to be between $500,000 and $1,000,000.
  3. Delegate authority to DEP to approve all contracts for purchases under chapter 259, F.S., valued at less than $1,000,000. Board of Trustees

Agenda - June 8, 1999 Page Two



Item 2, cont.

  1. Streamline the closing process with respect to marketable title and associated performance by the land owner.
  2. Allow DEP to share appraisals when maximum offers have been made.
  3. Consider on a case by case basis, a monetary incentive program to increase the success rate of acquisitions.

DEP has prepared a detailed report with specific recommendations that is attached as backup to this agenda item and is asking the Board of Trustees to consider and approve those recommendations.

A consideration of the status of the local government comprehensive plan was not made for this item.

RECOMMEND DEFERRAL



Item 3 Four Option Agreements/Wekiva-Ocala Greenway CARL Project

REQUEST:  Consideration of four option agreements to acquire 220.27 acres within the Wekiva-Ocala Greenway CARL project from L. J. and Rebecca L. Powell and Robert H. and E. Frances Moxley; H. Bruce and Katherine E. Jones; Max Brooks and Howard Brooks; and Martin and Audrey Ury.

COUNTY:  Lake

LOCATION: Section 25, Township 17 South, Range 28 East; and Section 03 Township 18 South, Range 28 East

CONSIDERATION:  $334,190

APPRAISED BY

REVIEW Goodman APPROVED PURCHASE OPTION

NO. PARCEL ACRES (05/28/98) VALUE PRICE DATE

910004 Moxley/28 20.28 $ 44,400 $ 44,400 $ 44,000 150 days

910005 Jones/36 99.99 $165,500 $165,500 $162,190 after BOT

910006 Brooks/38 50.00 $ 59,400 $ 59,400 $ 58,000 approval

910007 Ury/39 50.00 $ 77,500 $ 77,500 $ 70,000

220.27 $346,800 $334,190

STAFF REMARKS: The Wekiva-Ocala Greenway CARL project is ranked number 8 on the CARL Priority Project List approved by the Board of Trustees on February 10, 1998, and is eligible for negotiation under the Division of State Lands' Land Acquisition Workplan. The project contains 67,397 acres, of which 33,415.45 acres have been acquired or are under agreement to be acquired. After the Board of Trustees approves these agreements, 33,761.28 acres or 50 percent of the project will remain to be acquired.

All mortgages and liens will be satisfied at the time of closing. Parcels 36 and 38 are subject to outstanding oil, gas and mineral interests with no right of entry. The interests for parcel 36 are reserved in favor of O.M. Clemons. The interests for parcel 38 are reserved in favor of Katherine M. Osborn. The Bureau of Geology determined that there is no significant potential for commercial oil, gas and mineral production at these sites. The appraiser was aware of the outstanding interests and took them into consideration when determining the value of the properties. The Department of Agriculture and Consumer Services, Division of Forestry (DOF), the future managing agency, has determined that while it prefers the interests to be acquired, it can effectively manage the property with the outstanding interests. In the event the commitments for title insurance, to be obtained prior to closing, reveal any other Board of Trustees

Agenda - June 8, 1999 Page Three



Item 3, cont.

encumbrances which may affect the value of the properties or the proposed management of the properties, staff will so advise the Board of Trustees prior to closing.

Surveys, title insurance policies, environmental site evaluations and, if necessary, environmental site assessments will be provided by the purchaser prior to closing.

The springs, rivers, lakes, swamps and uplands stretching north from Orlando to the Ocala National Forest are an important refuge for the Florida black bear, as well as other wildlife such as the bald eagle, swallow-tailed kite, Florida scrub jay and wading birds. The Wekiva-Ocala Greenway CARL project will protect these animals and the Wekiva and the St. Johns river basins by protecting natural corridors connecting Wekiwa Springs State Park, Rock Springs Run State Reserve, the Lower Wekiva River State Reserve and Hontoon Island State Park with the Ocala National Forest. It will also provide the people of the booming Orlando area with a large, nearby natural area in which to enjoy camping, fishing, swimming, hiking, canoeing and other recreational pursuits.

These properties will be managed by the DOF as part of the Seminole State Forest.

These acquisitions are consistent with section 187.201(10), F.S., the Natural Systems and Recreational Lands section of the State Comprehensive Plan.

(See Attachment 3, Pages 1-82)

RECOMMEND APPROVAL



Item 4 The Nature Conservancy, Inc., Option Agreement/Estero Bay CARL Project

REQUEST:  Consideration of an option agreement to acquire 456 acres within the Estero Bay CARL project from The Nature Conservancy, Inc.

COUNTY:  Lee

LOCATION:  Section 02, Township 46 South, Range 24 East

CONSIDERATION: $390,000

APPRAISED BY

REVIEW Norris APPROVED PURCHASE OPTION

NO. PARCEL ACRES (12/30/97) VALUE PRICE DATE

910001 TNC(4/2) 456 $390,000 $390,000 $390,000 150 days after

BOT approval

STAFF REMARKS: The Estero Bay CARL project is ranked number 11 on the CARL Priority Project List approved by the Board of Trustees on February 10, 1998, and is eligible for negotiation under the Division of State Lands'(DSL) Land Acquisition Workplan. The project contains 15,784 acres, of which 5,494 acres have been acquired or are under agreement to be acquired. After the Board of Trustees approves this agreement, 9,834 acres or 62 percent of the project will remain to be acquired.

This property is being acquired utilizing federal acquisition procedures as a condition of the award of a $1 million grant from the U. S. Department of Interior to the Department of Environmental Protection for the purchase of specifically identified parcels of land within the Estero Bay CARL project. On March 24, 1998, the Board of Trustees authorized DSL staff to Board of Trustees

Agenda - June 8, 1999 Page Four



Item 4, cont.

utilize federal acquisition procedures to acquire this parcel as a condition for the receipt of federal grant money.

The property has no legal access. The appraiser took the lack of legal access into consideration when determining the value of the property. The Nature Conservancy, Inc. (TNC) also owns the property to the south of this parcel and the Division of Marine Resources (DMR), the future managing agency, currently manages the southern parcel as part of the Estero Bay State Buffer Preserve. TNC is currently in the process of donating this southern parcel to the Board of Trustees. Therefore, the DMR has concluded that access to the TNC parcel that is the subject of this agenda item will soon be available through the southern parcel and that the property can be effectively managed.

All mortgages and liens will be satisfied at the time of closing. The entire property is encumbered with oil, gas and mineral interests, with no right of entry, in favor of Coastal Petroleum Company. The Bureau of Geology determined that the potential for oil and gas production at this site is low. The appraiser was aware of the outstanding interests and has determined they do not affect the value of the property. The DMR has determined that the property can be effectively managed with the outstanding interests. In the event the commitment for title insurance, to be obtained prior to closing, reveals any other encumbrances which may affect the value of the property or the proposed management of the property, staff will so advise the Board of Trustees prior to closing.

A title insurance policy, a survey, an environmental site evaluation and, if necessary, an environmental site assessment will be provided by the purchaser prior to closing.

Estero Bay is one of the most productive estuaries in the state. Its mangroves shelter important nesting colonies of water birds, and feed and protect many aquatic animals. These animals, in turn, are the foundation of a commercial and sport fishery. The uplands around the bay include the largest rosemary scrub left in southwest Florida. Important archeological remains of the Calusa Indians dot the area. The Estero Bay CARL project will protect the bay's water quality, its native plants and animals, its archeological sites, and will improve recreational opportunities to the people of the rapidly growing Fort Myers area.

This property will be managed by the DMR as part of the Estero Bay State Buffer Preserve.

This acquisition is consistent with section 187.201(10), F.S., the Natural Systems and Recreational Lands section of the State Comprehensive Plan.

(See Attachment 4, Pages 1-37)

RECOMMEND APPROVAL



Item 5 Board of Church Extension and Home Missions of the Church of God, Inc., Purchase Agreement/Apalachicola Bay CARL Project

REQUEST:  Consideration of a purchase agreement to acquire 4.8 acres within the Apalachicola Bay CARL project from the Board of Church Extension and Home Missions of the Church of God, Inc.

COUNTY:  Franklin

LOCATION:  Section 29, Township 09 South, Range 06 West Board of Trustees

Agenda - June 8, 1999 Page Five



Item 5, cont.

CONSIDERATION:  $215,000

APPRAISED BY

REVIEW Wright APPROVED PURCHASE CLOSING

NO. PARCEL ACRES (07/17/98) VALUE PRICE DATE

910014 Church of 4.8 $216,000 $216,000 $215,000 150 days after

God BOT approval

STAFF REMARKS: The Apalachicola Bay CARL project was ranked number 15 on the CARL Priority Project List approved by the Board of Trustees on September 12, 1991, and was removed from the 1992 CARL list because the project was 90 percent complete. The project is funded under the Division of State Lands' Land Acquisition Workplan as a 90 percent complete project and is eligible for acquisition pursuant to section 259.032(8), F.S. This project contains 41,989 acres, of which 37,819.66 acres have been acquired or are under agreement to be acquired.  After the Board of Trustees approves this agreement, 4,164.54 acres or 10 percent of the project will remain to be acquired.

All mortgages and liens will be satisfied at the time of closing. In the event the commitment for title insurance, to be obtained prior to closing, reveals any other encumbrances which may affect the value of the property or the proposed management of the property, staff will so advise the Board of Trustees prior to closing.

A title insurance policy, survey, environmental site evaluation and, if necessary, an environmental site assessment will be provided by the purchaser prior to closing.

The Apalachicola River and the bays at its mouth are some of the most significant natural areas in the southeast. The exceptionally productive Apalachicola Bay supports one of the largest sport and commercial fisheries in Florida -- producing up to 90 percent of Florida's oysters -- and it is the economic base of Franklin County. The Apalachicola Bay CARL project will help protect the water quality and biological resources of this sensitive area by conserving undeveloped bayfront land on St. George Island.

This property will be managed by the Division of Marine Resources as a part of the Apalachicola National Estuarine Research Reserve.

This acquisition is consistent with section 187.201(10), F.S., the Natural Systems and Recreational Lands section of the State Comprehensive Plan.

(See Attachment 5, Pages 1-25)

RECOMMEND APPROVAL



Item 6 SFWMD Acquisition Agreement Amendment/State-owned Land Encumbrance/ East Everglades CARL Project

REQUEST: Authority to (1) amend the acquisition agreement with the South Florida Water Management District (SFWMD) for the East Everglades CARL project; and (2) encumber parcels of state-owned land.

COUNTIES: Broward, Palm Beach and Miami-Dade

LOCATION: Sections 23 through 25 and 36, Township 45 South, Range 41 East; Sections 01, 12, 26 and 42, Township 46 South, Range 41 East; Sections 19, 20 and 28 through 30, Township 47 South, Range 41 East; Sections 14, 15, 22, 23, 26, 27 and 34, Township 50 Board of Trustees

Agenda - June 8, 1999 Page Six



Item 6, cont.

South, Range 39 East; Sections 03, 15, 23, 27 and 34, Township 51 South, Range 39 East; Sections 05 and 19, Township 52 South, Range 40 East; Sections 02, 03, 09 through 11, 14, 15, 17, 19, 20 and 29 through 31, Township 52 South, Range 39 East; Sections 06 through 08, 17 through 20, and 29 through 32, Township 53 South, Range 39 East; Sections 03 through 08, 17 and 19, Township 54 South, Range 39 East; and Section 13, Township 54 South, Range 38 East

STAFF REMARKS: The East Everglades CARL project is ranked number 3 on the Mega­Multiparcels CARL List approved by the Board of Trustees on February 10, 1998, and is funded under the Division of State Lands' Land Acquisition Workplan. The proposed amendment covers 72,230 acres known as the East Coast Buffer, contained within the East Everglades CARL project. Of this, 2,588 acres will be protected by mitigation and 29,646 acres are of a lower priority, including land owned by local governments and acres that may not need to be acquired. Of the remaining 39,996 acres proposed for acquisition, the SFWMD previously acquired 16,899 acres.

The amendment to the acquisition agreement (1) authorizes the SFWMD to use state funds as a state match for federal funds; (2) ensures that preservation lands will be given an increased priority for acquisition; and (3) specifies that state funds will only be used for those parcels voluntarily acquired.

To date, the SFWMD has spent $50.3 million for East Coast Buffer lands. The SFWMD has already pledged all eligible lands in the project toward the existing $40 million Farm Bill grant. All SFWMD purchases closed prior to the passage of the Farm Bill by Congress are not eligible for matching purposes. SFWMD funds currently available for acquisition are limited and all are pledged as a match for grants previously received. While the SFWMD will pledge any available future district funds for this project towards the state match requirement, it is anticipated that district funding will be insufficient to match the available federal grant funds. Allowing the SFWMD to use state funds as a match for federal funds will allow the SFWMD to apply for more available federal dollars and, if successful, acquire more lands as proposed in the Central and Southern Florida Project Comprehensive Review Study (Restudy). The Restudy requires a 50 percent local sponsor cost share. Under the proposed amendment to the acquisition agreement, state funds allocated to this acquisition project will be credited toward the local sponsors' cost share requirement for the Restudy. In addition, taking advantage of the availability of federal funding will reduce the future obligations of the SFWMD and state for funding this costly acquisition project. While committing state funds as a match for federal funds will be a benefit to the Everglades and South Florida ecosystem restoration efforts, the federal government requires that the land purchased, restored or pledged as a match be used only for the purposes specified in the grant agreement. The federal requirements preclude the Board of Trustees from altering the use of those lands or from disposing of or encumbering them without the concurrence of the granting agency.

Under the amendment the SFWMD is agreeing to give increased priority to the acquisition of wetland areas outside the publicly-owned Everglades that best meet the purposes of the CARL program. Emphasis for the use of federal funds, and any additional SFWMD funds that may become available, will be applied to lands that will be used to construct water management infrastructure for seepage control and storage. The SFWMD advises that many of the properties needed to construct these facilities are under severe development pressure and, therefore, traditional acquisition strategies may not be sufficient to acquire these parcels. SFWMD and federal funds will be directed towards the purchase of these parcels.

If the Board of Trustees approves this item, SFWMD staff will present the amendment to the Governing Board of the SFWMD for execution at its next Governing Board meeting. Upon Board of Trustees

Agenda - June 8, 1999 Page Seven



Item 6, cont.

receipt of the executed amendment, Department of Environmental Protection staff will execute the amendment on behalf of the Board of Trustees.

(See Attachment 6, Pages 1-13)

RECOMMEND APPROVAL



Item 7 S.G.M., LTD., Option Agreement/Save Our Everglades (Golden Gate Estates South) CARL Project

REQUEST:  Consideration of an option agreement to acquire 162.5 acres within the Save Our Everglades (Golden Gate Estates South) CARL project from S.G.M., LTD.

COUNTY:  Collier

LOCATION:  Sections 16, 21, 22, 27, 33 and 34, Township 50 South, Range 28 East

CONSIDERATION:  $410,000

APPRAISED BY

REVIEW PARCEL/ Hettema APPROVED PURCHASE OPTION

NO. OWNER ACRES (01/12/99) VALUE PRICE DATE

910003 S.G.M. LTD 162.5 $410,000 $410,000 $410,000 150 days after

BOT approval

STAFF REMARKS: The Save Our Everglades CARL project is ranked number 4 on the CARL Mega-Multiparcels Project List approved by the Board of Trustees on February 10, 1998, and is eligible for negotiation under the Division of State Lands' Land Acquisition Workplan. The project contains 222,691 acres, of which 199,218.69 acres have been acquired or are under agreement to be acquired. After the Board of Trustees approves this agreement, 23,309.81 acres or 10 percent of the project will remain to be acquired.

This property is being acquired utilizing Federal acquisition procedures as a condition of the award of a $25 million Farm Bill grant from the U. S. Department of Interior to the Department of Environmental Protection for the purchase of lands within the Save Our Everglades (Golden Gate Estates South) CARL project.

All mortgages and liens will be satisfied at the time of closing.  In the event the commitment for title insurance, to be obtained prior to closing, reveals any other encumbrances which may affect the value of the property or the proposed management of the property, staff will so advise the Board of Trustees prior to closing.

A title insurance policy, survey, environmental site evaluation and, if necessary, an environmental site assessment will be provided by the purchaser prior to closing.

West of the huge sawgrass marsh of the central Everglades spreads a landscape of cypress swamps, marshes, slash-pine flatwoods, and tropical hammocks, through which water slowly flows to the mangrove swamps of the Ten Thousand Islands. The Save Our Everglades CARL project will conserve three large pieces of this landscape, connecting and extending existing conservation lands, helping to save the last of the Florida panthers and a host of other rare animals and tropical plants, preserving the flow of water to the rich estuaries of the Gulf coast, and allowing the public to enjoy this unique landscape for years to come.

Board of Trustees

Agenda - June 8, 1999 Page Eight



Item 7, cont.

This property will be managed by the Department of Agriculture and Consumer Services, Division of Forestry as a part of the Picayune Strand State Forest.

This acquisition is consistent with section 187.201(10), F.S., the Natural Systems and Recreational Lands section of the State Comprehensive Plan.

(See Attachment 7, Pages 1-17)

RECOMMEND APPROVAL



Item 8 Robert N. McQueen Option Agreement/Survey Waiver/Charlotte Harbor CARL Project

REQUEST: Consideration of (1) an option agreement to acquire 92 acres within the Charlotte Harbor CARL project from Robert N. McQueen, Trustee; and (2) a request for survey waiver.

COUNTY: Charlotte

LOCATION: Section 07, Township 42 South, Range 23 East

CONSIDERATION: $45,000

APPRAISED BY

REVIEW Norris APPROVED PURCHASE OPTION

NO. PARCEL ACRES (01/13/98) VALUE PRICE DATE

910008 McQueen/37 92 $46,000 $46,000 $45,000 150 days after

BOT approval

STAFF REMARKS: The Charlotte Harbor CARL project is ranked number 3 on the CARL Substantially Complete Project List approved by the Board of Trustees on February 10, 1998, and is eligible for negotiation under the Division of State Lands' (DSL) Land Acquisition Workplan.  This project contains 25,552 acres, of which 22,333.89 acres have been acquired or are under agreement to be acquired.  After the Board of Trustees approves this agreement, 3,126.11 acres or 11 percent of the project will remain to be acquired.

This parcel does not have legal access. The property was appraised without legal access and this lack of access is reflected in the purchase price. The Division of Marine Resources, the future managing agency, has determined that the parcel can be managed effectively without legal access since it can be accessed through adjoining state-owned land.

All mortgages and liens will be satisfied at the time of closing.  In the event the commitment for title insurance, to be obtained prior to closing, reveals any other encumbrances which may affect the value of the property or the proposed management of the property, staff will so advise the Board of Trustees prior to closing.

Staff requests that the Board of Trustees, pursuant to its authority under section 259.041(1), F.S., waive any portions of chapter 259, F.S., and any applicable rule or policy that may require a survey on this parcel. It is the opinion of the Bureau of Survey and Mapping that available boundary information is sufficient to reasonably protect the public's interest.

While this parcel is being recommended for a waiver of survey at this time, should the title commitment reveal a substantive surveying or surveying related issue which impacts the parcel, a certified survey will be provided by the purchaser prior to closing. In the event a full Board of Trustees

Agenda - June 8, 1999 Page Nine



Item 8, cont.

survey is waived, a professional land surveyor will inspect the property for any visible evidence of improvements or potential boundary issues. In cooperation with the managing agency, the DSL will acquire any special purpose survey work necessary for the effective management of this property.

A title insurance policy, survey, environmental site evaluation and, if necessary, an environmental site assessment will be provided by the purchaser prior to closing.

Charlotte Harbor, one of the largest and most productive estuaries in Florida, supports an important recreational and commercial fishery, but is rapidly being surrounded by cities and residential developments, which could harm this important resource. By conserving mangrove swamps and salt marshes, the Charlotte Harbor CARL project will help preserve the water quality of the estuary, protect habitat for the Florida manatee and other rare wildlife and provide residents and visitors to the area with opportunities for boating, fishing and other recreational pursuits.

This property will be managed by the Division of Marine Resources as an addition to the Charlotte Harbor State Buffer Preserve.

This acquisition is consistent with section 187.201(10), F.S., the Natural Systems and Recreational Lands section of the State Comprehensive Plan.

(See Attachment 8, Pages 1-24)

RECOMMEND APPROVAL



Item 9 Five Option Agreements/Survey Waivers/Hickey Creek Mitigation Park Greenways and Trails Project

REQUEST: Consideration of (1) five option agreements to acquire 2.75 acres within the Hickey Creek Mitigation Park project under the Preservation 2000 Florida Greenways and Trails program from Liebert E. and Marie B. Hawkins; William P. and Jacqueline B. Ladson; Timothy L. and Teresa R. Miller; Nimrod and Usha Merchant; and Gerd W. and Ulla G. Staedel; and (2) a request for survey waivers.

COUNTY:  Lee

APPLICANT: Office of Greenways and Trails

LOCATION:  Section 06, Township 44 South, Range 27 East

CONSIDERATION:  $67,300

APPRAISED BY

REVIEW Catlett APPROVED PURCHASE OPTION

NO. PARCEL ACRES (02/27/98) VALUE PRICE DATE

910009 Hawkins/2 0.421 $12,000 $12,000 $11,800 150 days after

910010 Ladson/6 0.315 $12,000 $12,000 $11,800 BOT approval

910011 Miller/13 0.332 $12,000 $12,000 $11,800

910012 Merchant/14 1.261 $20,000 $20,000 $19,600

910013 Staedel/15 0.421 $12,500 $12,500 $12,300

2.750 $68,500 $67,300

STAFF REMARKS: The Hickey Creek Mitigation Park project has been identified on the Office of Greenways and Trails approved acquisition list. These agreements were negotiated by the Division of State Lands (DSL) on behalf of the Office of Greenways and Trails under the Board of Trustees

Agenda - June 8, 1999 Page Ten



Item 9, cont.

Preservation 2000 Florida Greenways and Trails program. The project contains 11.48 acres, of which 0.55 acre has been acquired or placed under contract. After the Board of Trustees approves these agreements, 8.18 acres or 71 percent of the project will remain to be acquired.

All mortgages and liens will be satisfied at the time of closing. Each of the five properties are subject to outstanding oil, gas and mineral interests, with right of entry, in favor of Consolidated-Tomoka Land Co. and Lehigh Corporation. The Bureau of Geology determined that there is a modest probability of petroleum production at this site. The resource with the most potential for development is limestone. The appraiser was aware of the interests and took them into consideration when determining the value of the properties. Lee County, the future managing agency, has determined that the properties can be effectively managed subject to the outstanding oil, gas and mineral interests because the probability of retrieval of these resources is very low due to the small size of the lots and the fact that they are surrounded by a platted area with an existing network of roads. In the event the commitments for title insurance, to be obtained prior to closing, reveal any other encumbrances which may affect the value of the properties or the proposed management of the properties, staff will so advise the Board of Trustees prior to closing.

Staff requests that the Board of Trustees, pursuant to its authority under section 259.041(1), F.S., waive any portions of chapter 259, F.S., and any applicable rule or policy that may require a survey on these parcels. It is the opinion of the Bureau of Survey and Mapping that available boundary information is sufficient to reasonably protect the public's interest.

While these parcels are being recommended for waivers of surveys at this time, should the title commitments and field inspections reveal substantive surveying or surveying related issues which impact the parcels, certified surveys will be provided by the purchaser prior to closing. In the event full surveys are waived, a professional land surveyor will inspect the properties for any visible evidence of improvements or potential boundary issues. In cooperation with the managing agency, the DSL will acquire any special purpose survey work necessary for the effective management of these properties.

Title insurance policies, environmental site evaluations and, if necessary, environmental site assessments will be provided by the purchaser prior to closing.

These properties will be managed by Lee County as a connector between the Hickey Creek Mitigation Park and the Greenbriar Swamp Preserve for resource based recreation, including hiking and nature study. This project is specifically intended to restore the hydrology and wetland characteristics within the site, and will not be used as a mitigation park or mitigation bank.

These acquisitions are consistent with section 187.201(10), F.S., the Natural Systems and Recreational Lands section of the State Comprehensive Plan.

(See Attachment 9, Pages 1-49)

RECOMMEND APPROVAL



Item 10 Steve Floyd Clemons Purchase Agreement/BOR/FSU

REQUEST: Consideration of a purchase agreement to acquire 0.11 acre for the benefit of the Florida Board of Regents and Florida State University from Steve Floyd Clemons.

COUNTY: Leon

APPLICANT: Florida State University Board of Trustees

Agenda - June 8, 1999 Page Eleven



Item 10, cont.

LOCATION: Section 36, Township 01 North, Range 01 West

CONSIDERATION: $58,500

APPRAISED BY

REVIEW Carlton APPROVED PURCHASE CLOSING

NO. PARCEL ACRES (11/11/98) VALUE PRICE DATE

910002 Clemons/146 0.11 $63,000 $63,000 $58,500 150 days after

BOT approval

STAFF REMARKS: This acquisition was negotiated by Florida State University (FSU). Funds for this parcel was appropriated by the 1994-1995 Florida Legislature and are still available.

Improvements on the Clemons property consist of a 769 square-foot single family residence. This building is very old and will be razed after it is acquired. The long-range plan is to develop the site for student housing, but it will be used for parking in the interim.

All mortgages and liens will be satisfied at the time of the closing. In the event the commitment for title insurance, to be obtained prior to closing, reveals any other encumbrances which may affect the value of the property or the proposed management of the property, staff will so advise the Board of Trustees prior to closing.

FSU will provide a survey, a title insurance policy and an environmental site assessment prior to closing.

This parcel will be managed by FSU as a part of the existing campus through a lease to the Florida Board of Regents.

This acquisition is consistent with section 187.201(01), F.S., the Education section of the State Comprehensive Plan.

(See Attachment 10, Pages 1-30)

RECOMMEND APPROVAL



Item 11 Department of Corrections/Bid Acceptance/Land Sale

REQUEST: (1) Consideration of a request by the Department of Corrections to sell a 21,750 square-foot parcel of state-owned land in Leon County; and (2) acceptance of the highest bid in the amount of $165,100, submitted by Ronald G. Meyer and Judy F. Meyer, his wife.

COUNTY: Leon

Deed No. 30360

APPLICANT: Department of Corrections (Corrections)

LOCATION: Lots 14, 15, and 16 of Block "C", Smith's Subdivision, a subdivision as per map or plat thereof, recorded in Plat Book 1, Page 20, of the Public Records of Leon County, Florida

CONSIDERATION: $165,100, to be deposited in the Internal Improvement Trust Fund (IITF) or Conservation and Recreation Lands (CARL) Trust Fund, pursuant to section 253.034(6)(d), F.S.

Board of Trustees

Agenda - June 8, 1999 Page Twelve



Item 11, cont.

STAFF REMARKS: The Board of Trustees acquired the property in 1984 for management by Corrections. The property has been used as the Parkhouse Community Correctional Center and consists of a two-story structure containing approximately 2,768 square feet.

Corrections received authority through the 1998/1999 General Appropriations Act to sell, trade, exchange or otherwise dispose of the subject property upon approval of a majority of the Board of Trustees and to deposit the sales proceeds in the Corrections' Grants and Donations Trust Fund to be used to acquire, construct and maintain correctional facilities. Florida cases have held that an appropriations bill cannot amend substantive law. To comply with the requirements of section 253.02(2), F.S., the sale will require the approval of at least five members of the Board of Trustees. To comply with section 253.034(6)(d), F.S., the sales proceeds will be deposited in the IITF or CARL Trust Fund, as appropriate. Corrections will then seek a specific appropriation to spend the monies for acquisition, construction or maintenance of correctional facilities. Corrections will receive all the sales revenues from the Department of Environmental Protection (DEP) upon appropriation by the Legislature.

Corrections provided notice of the proposed sale to the county and owners of land within 500 feet of the property pursuant to sections 253.111, and 253.115, F.S. No objections were received and the county did not express any interest in purchasing the property. On October 15, 1998, the Land Acquisition and Management Advisory Council recommended that the property be declared surplus. The property was subsequently declared surplus by the DEP under delegation of authority.

Corrections contracted to have the property appraised. The market value of the property on February 6, 1998, as appraised by Jonathan P. Brown, MAI, was $260,000. Corrections offered the property for sale by competitive bid in December 1998. No bids were received. Based on comments and concerns from potentially interested parties, Corrections requested a home inspection. Corrections then hired a general contractor to provide an estimate for the needed repair work. Costs for repair work were estimated to be $58,078, which still would not bring the building up to code. An updated appraisal was requested, taking into consideration the contractor's findings. The market value of the property on February 17, 1999, based on the updated appraisal was $240,000. On April 22, 1999, Corrections offered the property for sale by competitive bid a second time. The following is a tabulation of the offers received and considered by the advertised deadline:

OFFER SUBMITTED BY AMOUNT OF BID

The Henry & Rilla White Youth Foundation, Inc. $ 75,000

Ronald G. Meyer and Judy F. Meyer $165,100

The appraiser has indicated that his value of $240,000 was based on an aggressive marketing strategy and a reasonable listing price to effect a sale in a typical six to 12 month time frame. However, since the property was sold by sealed bid and marketed by Corrections, and based on the interest conveyed and the terms of the contract, the high bid is within the range that he has observed in similar means of property disposal in this and other Florida markets. Corrections recommends that the high bid be accepted.

A consideration of the status of the local government comprehensive plan was not made for this item. The DEP has determined that land conveyances are not subject to the local government planning process.

(See Attachment 11, Pages 1-21)

RECOMMEND APPROVAL Board of Trustees

Agenda - June 8, 1999 Page Thirteen



Item 12 State-owned Land Encumbrances/Federal Grants

REQUEST: Authorization to encumber specific parcels of state-owned land as a condition for the receipt of federal grant money.

COUNTIES: Monroe and Collier

APPLICANT: Department of Environmental Protection (DEP)

STAFF REMARKS: When state land is purchased or restored using federal grant dollars or is used as a match for the federal funds, the federal government requires that the land purchased, restored or pledged as a match be used only for the purposes specified in the grant agreement. The federal requirements preclude the grant recipient from altering the use of those lands or from disposing of or encumbering them without the concurrence of the granting agency. If grant funds are used to conduct a structural analysis of the Old Keys Bridges and the bridges are ultimately utilized for a greenway/trail, then their future use must be encumbered. Likewise, if Board of Trustees' land is pledged to match a federal acquisition grant in the Ten Thousand Islands, both the pledged land and the acquired land must be encumbered. Therefore, the grants listed below require Board of Trustees' approval. Staff has reviewed these grants and has determined that the objectives of the state's land management programs will be served if approval is granted.

Old Keys Bridges

There are 23 Old Keys Bridges that were abandoned to vehicular traffic in the 1980's when replacement bridges were built. The Department of Transportation (DOT) converted eight of these bridges into fishing piers by removing the decking that had been added in the 1930's, installing handrails and developing parking areas. The DOT removed the center spans from some bridges to ensure safe navigation and removed other spans to isolate certain sections of bridges that were not safe. The remaining bridges were abandoned to public vehicular use but can still be accessed by foot. The DOT has transferred title to the bridges (except for that portion of Seven Mile Bridge between Pigeon Key and Marathon) to the Board of Trustees.

On August 14, 1997, Governor Chiles created, by Executive Order 97-253, the Old Keys Bridges Task Force (Task Force). The Task Force was charged with the responsibility of reviewing and analyzing all aspects of the Old Keys Bridges and recommending a course of action for their future use or disposition, and any necessary changes to Chapter 86-304, Laws of Florida, which governs the Old Keys Bridges. On February 15, 1998, the Task Force submitted its report to the Governor. The desire of the Task Force was for the Old Keys Bridges to be used as an integral part of a greenway/trail system. One recommendation of the Task Force called for DEP to contract for an engineering study of the bridges to determine their structural condition, identify necessary repair work, and provide a cost estimate for the repairs. DEP has been awarded a federally funded grant from DOT to perform the engineering study recommended by the Task Force. With Board of Trustees' approval of this item, staff will initiate the engineering study. If this engineering study leads to the utilization of the Old Keys Bridges in the development of a greenway/trail, then no change to the bridges can take place for the useful life of the funded improvements without federal approval. If this study does not lead to the development of a greenway/trail, then there will be no restrictions on the future use of the bridges.

Ten Thousand Islands Outparcels Acquisition Project

The objective of the Ten Thousand Islands proposal is to acquire the remaining 20 acres of privately-owned environmentally sensitive lands within the Ten Thousand Islands estuarine and barrier island ecosystem. This is a partnership acquisition involving DEP and the United Board of Trustees

Agenda - June 8, 1999 Page Fourteen



Item 12, cont.

States Fish and Wildlife Service (USFWS). Federal funds in the amount of $517,205 will be used for the acquisition. To obtain the grant, the state must contribute land or funds equal to 45 percent of the federal share. The state match will be Fred Key, a Board of Trustees acquisition accomplished without federal funding, which for purposes of the grant application was valued at $230,920 at the time of grant application by the DEP, Bureau of Appraisal. Title to the additions will vest in the Board of Trustees but, since federal funds are being used and state land is being pledged, the 20 acres plus Fred Key will be restricted to the conservation objectives of the project and no change in use or future development can take place without the consent of the USFWS. In the event the grant is approved, DEP will be required to certify that federal acquisition procedures will be followed.

A consideration of the status of the local government comprehensive plan was not made for this item. The DEP has determined that the approval of this item is not subject to the local government planning process.

(See Attachment 12, Pages 1-9)

RECOMMEND APPROVAL



Item 13 Lykes Brothers, Inc., Conservation Easement/Fisheating Creek

REQUEST: Consideration of a request to approve a Conservation Easement as contemplated by the Settlement Agreement in the case of Trustees of the Internal Improvement Trust Fund v. Lykes Brothers, Inc.

COUNTY: Glades

APPLICANT: Department of Legal Affairs

Attachments will be submitted separately.

RECOMMEND APPROVAL



Item 14 USFWS Lease Modification/Land Exchange/Designation of High-density Aquaculture Lease Area/Thirty-nine Shellfish Aquaculture Leases

REQUEST: Consideration of authorization to (1) modify the current lease with the U.S. Department of Interior, Fish and Wildlife Service, Pelican Island National Wildlife Refuge to exchange uplands and submerged lands for submerged lands to establish an Aquaculture Use Zone; (2) use approximately 90 acres of sovereignty submerged lands to establish a high-density lease area within the Aquaculture Use Zone for shellfish aquaculture; and (3) issue 39 two-acre aquaculture leases to qualified applicants within this proposed high-density lease area.

COUNTY: Indian River

APPLICANTS: U.S. Fish and Wildlife Service, and 39 individual lease applicants

LOCATION: Sections 32 and 15, Township 15 South, Range 12 East, near the City of Sebastian, in the Indian River, east of the Atlantic Intracoastal Waterway. Board of Trustees

Agenda - June 8, 1999 Page Fifteen



Item 14, cont.

CONSIDERATION: The lease fees for proposed leases within the Aquaculture Use Zone represent (1) a base annual rent of $15.58 per acre or fraction thereof; and (2) an annual surcharge, representing $5 per acre or fraction thereof for deposit in the Marine Resource Conservation Trust Fund. Pursuant to section 370.16(4)(b), F.S., each applicant's lease fee shall be adjusted on January 1, 2000, and every five years thereafter, based upon the five-year average change in the Consumer Price Index.

STAFF REMARKS: On May 11, 1999, the Board of Trustees granted approval for the Department of Environmental Protection (DEP) to negotiate with the Department of Interior, U.S. Fish and Wildlife Service (USFWS) to modify the state's lease with Pelican Island National Wildlife Refuge (Refuge) . The refuge's lease currently preempts about 4,640 acres. This request represents Phase II in a two-phase program to establish an Aquaculture Use Zone in Indian River County. The proposed project has been divided into two phases: the completion of Phase I and Phase II will result in about 130 acres of submerged lands being designated for the Aquaculture Use Zone.

This request is the culmination of cooperative efforts between the DEP, the Pelican Island National Wildlife Refuge staff, and the Indian River Board of County Commissioners. The proposed Aquaculture Use Zone is located within the present boundaries of the Refuge. This tract of submerged land was identified by the DEP and the USFWS, and determined to be appropriate for aquacultural use. The proposed tract of submerged land provides the only opportunity for developing shellfish aquaculture in Indian River County. If approved, the 90-acre parcel would become the key component in establishing a fisheries revitalization program to assist fishermen that were adversely affected by recent fishery restrictions and in promoting local economic development.

In Phase I of the project, the lease agreement with the Refuge was modified to exchange 46.92 acres of submerged lands on an acre-for-acre basis. Four existing submerged lands leases within the boundary of the Refuge were exchanged for six new aquaculture leases occupying an equal number of acres within the Aquaculture Use Zone. The lease agreement with the Refuge was amended and administered by the Division of State Lands, and six aquaculture leases were subsequently issued by the Division of Marine Resources.

In Phase II of the project, a parcel of submerged lands (approximately 90 acres), currently held under lease by the Refuge, will be exchanged for state-owned uplands and submerged lands that are contiguous with the Refuge. The modified lease agreement provides for the exchange of 90 acres of submerged lands that will complete the Aquaculture Use Zone for approximately 200 acres of uplands and submerged lands that are not currently within the Refuge's lease, including Pete's and Bird's Mosquito Control Impoundments. The modified lease will also provide authority for the USFWS to enforce a "no access zone'' around Pelican Island. This "no access zone" would specifically include only those waters within a 125-meter radius around Pelican Island, and would not include other submerged lands or waters within the Refuge's boundaries. This transaction would complete the Refuge's efforts to acquire or lease all of the private and public property contiguous with the Refuge, consolidate the Refuge boundary, and facilitate management of the Refuge.

In Phase II of the project, the 90-acre tract will be subdivided into smaller individual aquaculture leases (two-acre parcels) that will occupy about 78 acres. This tract will be designated as the North Indian River County High-density Lease Area within the Aquaculture Use Zone. The DEP seeks authority to issue individual two-acre aquaculture leases to qualified applicants and include current terms and conditions for aquaculture leases.

Board of Trustees

Agenda - June 8, 1999 Page Sixteen



Item 14, cont.

Because of the commercial viability of clam farming in the region, the DEP identified the Aquaculture Use Zone to accommodate a growing list of applicants seeking submerged state lands to conduct clam farming operations. DEP staff, in cooperation with the USFWS, identified a tract of submerged lands approximately 1,500 feet east of the Atlantic Intracoastal Waterway near the city of Sebastian. Staff assessed the marine resources within the proposed area, determined that the area was suitable for commercial shellfish aquaculture activities, and determined aquaculture activities would not result in adverse impacts on seagrasses, existing shellfish beds, or other sensitive habitats. The Indian River County Board of County Commissioners has fully supported the proposed Aquaculture Use Zone and has expressed no objections.

When the tract is approved and designated, it will be subdivided into 39 two-acre individual aquaculture leases. Thirty-nine applications were received before the high-density lease area was designated. Therefore, the DEP seeks authority to issue 39 leases to qualified applicants on a first-come-first-served basis, provided that (1) each applicant provides the DEP with a complete application and an acceptable business development plan; and (2) a background check for marine resource and public health violations is conducted. A workshop will be held to assist applicants in selecting individual two-acre lease parcels.

Implementation of the Aquaculture Use Zone, including the exchange of lands, will be accomplished by modifying the Refuge's current lease. No additional lands will be deeded or otherwise transferred to the Refuge as part of this action. The Division of State Lands will administer the lease modifications with the Refuge and the Division of Marine Resources will administer the individual aquaculture lease agreements with qualified applicants. The final lease modification will include the relocation of the last shellfish lease to the Aquaculture Use Zone. This will be accomplished administratively by an acre-for-acre exchange, in the same manner as the other leases were relocated in Phase I.

Section 253.68, F.S., recognizes aquaculture as a practicable resource management alternative to produce marine aquaculture products, to protect and conserve natural resources, to reduce competition for natural stocks, and to augment and restore natural populations. Furthermore, section 253.68 (2) (b), F.S., declares that it shall be a policy of the state to foster aquaculture development when the aquaculture activity is consistent with the state resource management goals, environmental protection, proprietary interests, and the state aquaculture plan.

A consideration of the status of any local government comprehensive plans was not made for this item. The DEP has determined that the proposed actions are not subject to the local government planning process.

(See Attachment 14, Pages 1-39)

RECOMMEND APPROVAL TO (1) MODIFY THE EXISTING LEASE WITH THE U. S. FISH AND WILDLIFE SERVICE TO EXCHANGE LANDS TO ESTABLISH AN AQUACULTURE USE ZONE; (2) USE 78 ACRES TO ESTABLISH A HIGH-DENSITY LEASE AREA; AND (3) ISSUE 39 TWO-ACRE AQUACULTURE LEASES TO APPLICANTS IN A HIGH-DENSITY LEASE AREA SUBJECT TO APPLICABLE LAW AND RULE REQUIREMENTS, FINAL ACTION BY THE U.S. ARMY CORPS OF ENGINEERS, AND COMPLIANCE WITH THE SPECIAL LEASE CONDITIONS

Board of Trustees

Agenda - June 8, 1999 Page Seventeen



Item 15 DeMaria/Hutchinson Live Rock Aquaculture Lease

REQUEST: Issuance of a ten-year sovereignty submerged land live rock aquaculture lease containing 0.227 acre, more or less.

COUNTY: Monroe

Application No. 44-AQ-309

APPLICANTS: Donald J. DeMaria and Scott Stephen Hutchinson

LOCATION: Approximately nine miles southwest of Key West, in the Gulf of Mexico, in the Vicinity of Sand Key, Class III Outstanding Florida Waters, within the local jurisdiction of Monroe County, at the following (latitude/longitude) coordinates:

24 26.9131 N 24 26.9149 N

81 56.3971 W 81 56.3773 W

24 26.8904 N 24 26.8967 N

81 56.3713 W 81 56.3882 W

CONSIDERATION: $20.58 annually, representing (1) an initial lease fee of $15.58, at a rate of $15.58 per acre or fraction thereof; and (2) an annual surcharge of $5, representing $5 per acre or fraction thereof, for deposit in the Marine Resource Conservation Trust Fund pursuant to s. 370.16(4)(b), F.S. Commencing January 2000, the lease fees shall be adjusted every five years, based upon the five-year average change in the Consumer Price Index.

STAFF REMARKS: The applicants are requesting approval of a commercial aquaculture lease to cultivate and harvest artificial live rock within a 0.227-acre parcel of sovereignty submerged land in the Gulf of Mexico. The proposed project involves the placement of approximately 40 tons of quarried non-indigenous rock per year that will be obtained from a local upland borrow pit, in order to recruit larval marine organisms from a corridor of hard bottom habitat adjacent to the proposed lease site. Once a desired rock growth stage has been achieved, the applicant will harvest the rocks and sell them in conjunction with the marine aquarium trade.

The project has been relocated to the present site at the Department of Environmental Protection's request. The former project site lacked conformity with setback requirements; it was located in an area with limited water depths; it was in close proximity to a major channel; and sea grasses were located within the immediate vicinity. The proposed project site is 35 feet in depth. Pursuant to the standard lease conditions no more than 25 percent of the water column shall be preempted by rock materials, in order to provide for public navigation across the project site.

The modified project site is located within Monroe County, designated as Outstanding Florida Waters; as such, no dredge/fill permit should be issued if such activity damages the viability of a living stony coral community, soft coral community, sponge bed, or marine seagrass community. The Department of Environmental Protection (DEP) field staff determined that no adverse impacts to those resources would occur because the site is void of seagrass beds and such other significant resources. The field staff also recommended numerous special lease conditions pertaining to the proposed live rock aquaculture activities and associated operations; however, the staff has since included all of those particular conditions within the standard lease document for sites located in Monroe County. The staff of the Submerged Lands and Environmental Resources Program reaffirmed the field staff's findings in a de minimus exemption issued on February 25, 1999, indicating that no adverse environmental impacts are anticipated from the proposed activities.

Board of Trustees

Agenda - June 8, 1999 Page Eighteen



Item 15, cont.

Section 258.42, F.S., states that aquaculture is presumed to be in the public interest and is limited to activities that do not result in adverse environmental impacts. The DEP has not applied a more stringent standard to aquaculture leases in other waters of the state than it has in aquatic preserves. The presumption that aquaculture is in the public interest has been extended to Outstanding Florida Waters.

A consideration of the status of any local government comprehensive plans was not made for this item. The DEP has determined that the proposed action is not subject to the local government planning process.

(See Attachment 15, Pages 1-21)

RECOMMEND APPROVAL SUBJECT TO COMPLIANCE WITH THE SPECIAL LEASE CONDITIONS



Item 16 Gail Lee Gordon/Sundial/Navarre, Inc., Recommended Consolidated Intent

REQUEST: Consideration of a request for modification of a five-year sovereignty submerged lands lease to increase the preempted area from 6,820 square feet to a total of 61,600 square feet, more or less, for the expansion of the Navarre Beach Fishing Pier.

COUNTY: Santa Rosa

Lease No. 570001181

Application No. 0082077-001-DF

APPLICANT: Gail Lee Gordon

(lease option holder: Sundial/Navarre, Inc.)

LOCATION: Sections 20 and 21, Township 02 South, Range 26 West, in the Gulf of Mexico, Class III Waters, within the local jurisdiction of the town of Navarre Beach, Santa Rosa County (formerly within Escambia County).

Aquatic Preserve: No

Outstanding Florida Waters: No

CONSIDERATION: $8,704.10, representing $7,120.96 as the initial lease fee computed at the base rate of $0.1156 per square foot and including the initial 25 percent surcharge payment of $1,583.14 for the additional area. Sales tax will be assessed pursuant to section 212.031, F.S., if applicable. If the riparian upland property associated with the pier is transferred to Santa Rosa County or the Department of Environmental Protection (DEP) Division of Recreation and Parks and the lease is assigned to the county or DEP, the new lessee may qualify for a waiver of the lease fee pursuant to section 18-21.011(1)(b)7, F.A.C.

STAFF REMARKS: The Board of Trustees authorized a rule amendment on September 14, 1995, to "link" the two processes of regulatory and proprietary reviews and authorizations. The rule became effective October 12, 1995. As a result of this linkage, the recommended DEP regulatory permit decision and the recommendation to the Board of Trustees on the proprietary authorization are contained in one document, the "Consolidated Notice of Intent to Issue", which is attached. The attached consolidated intent contains a recommendation for issuance of a permit under Part IV of chapter 373, F.S., and a recommendation for granting authorization to use sovereignty submerged lands under chapter 253, F.S., for the activity described therein. This recommendation is provided to the Board of Trustees pursuant to Board of Trustees

Agenda - June 8, 1999 Page Nineteen



Item 16, cont.

section 373.427(2), F.S. A description of the requested activity is provided in Section I, "Description of the Proposed Activity." The specific basis for recommending approval of the authorization to use sovereignty submerged lands is contained in Section III, "Background/Basis for Issuance."

Approval by the Board of Trustees is requested only for those aspects of the activity which require authorization to use sovereignty submerged lands. If the Board of Trustees approves the request to use sovereignty submerged lands and the activity also qualifies for a wetland resource permit and no challenges are successful, the Consolidated Notice of Intent will be issued and will contain general and specific conditions. In the event the Board of Trustees denies the use of sovereignty submerged lands, whether or not the activity otherwise qualifies for a wetland resource permit, the DEP will issue a "Consolidated Notice of Denial" for both the wetland resource permit and the authorization to use sovereignty submerged lands.

The applicant is proposing to expand an existing 750-foot long by 10-foot wide public fishing pier by constructing a 200-foot long by 10-foot wide pier extension with a 50-foot by 10-foot terminal "T" platform. The modified lease will have a total preempted area of 61,600 square feet, which includes not only the pier structure itself, but the area associated with the angled concrete support pilings and a 25-foot wide area surrounding the pier utilized by the public for fishing activities.

Construction of the Navarre Beach Fishing Pier was originally approved by the Board of Trustees in 1974. The original pier was a total of 1,050 feet long by 10 feet wide. Fees had been charged for utilization of the pier at a small bait shop located at the landward end. Damage to the pier during subsequent storm events has resulted in removal of the bait shop/fee

station and about 184 feet of the seaward end of the pier, reducing its total length to 866 feet

(750 feet over sovereign submerged lands). The pier has been open to the public at no charge for the last four years.

The parcel upland of the existing pier structure is currently undeveloped and subleased by Gail Lee Gordon from the Santa Rosa County Beach Administration (SRCBA). The SRCBA is the primary lessee of property in the Navarre Beach area by virtue of a 99-year lease agreement with Escambia County. Ms. Gordon has entered into a Contract for Sale with Sundial/Navarre, Inc., for the purchase of leasehold interest and all riparian rights in the existing upland parcel. Upon the completion of pier extension construction, the property is proposed to be subdivided into four parcels, A, B, C, and D. The portion of the subdivided property riparian to the pier, parcel D, and the improved pier will be conveyed by the leasehold owner back to the SRCBA for future operation, maintenance, and management as a public recreational facility. The SRCBA currently manages the adjacent parcel to the east as a public beach access park. However, the legislature has provided funding and the county has agreed to transfer leasehold interest in the park to the DEP Division of Recreation and Parks for inclusion in the Florida State Parks system. The county will incorporate parcel D and the pier in the lease for the new state park. A wooden walkway to the pier from the public beach facilities (future pier store, public restrooms, and expanded parking lot) located to the northeast will be provided. The lease option holder, Sundial/Navarre, Inc., has entered into an amended upland lease agreement with Santa Rosa County to defer construction of proposed condominiums on parcels A and B until completion of the pier and beach park improvements, and construction of a condo/hotel on parcel C. There will be no special easements granted in favor of condominium homeowners associations for the use of or access to the pier.

A portion of the proposed "T" extension will be located within the 25-foot setback area to the east; therefore, a waiver has been obtained from the affected property owner, Santa Rosa County. After the extension is constructed and the upland parcel is subdivided, the western Board of Trustees

Agenda - June 8, 1999 Page Twenty



Item 16, cont.

portion of the "T" and lease area will extend into the riparian area of parcel C to the west. A waiver has been obtained from the future leaseholder, Sundial/Navarre, Inc. Additionally, pursuant to the above-mentioned lease agreement between the future leaseholder of parcels A, B, and C, Sundial/Navarre, Inc., and the primary lessee, Santa Rosa County, there are no objections to the pier improvements or location. Pursuant to section 18-21.011(1)(b)7, F.A.C., waivers of the lease fees for governmental entities may be granted by the Board of Trustees if: (a) any revenues collected from the activity or use of sovereign submerged lands are used solely for the purposes of operation and maintenance of the structure; and (b) the activity or use of sovereign submerged lands is consistent with the public purposes of the applicant organization and is not an adjunct to a commercial endeavor.

Site inspections on April 16, 1990, and December 25, 1998, confirmed that the project is in compliance with the existing lease conditions. There are no non-water dependent structures on site. Since the proposed project is a lease modification, it was not required to be noticed.

The recommendations of the DEP's Division of Marine Resources regarding the protection of nesting marine turtles, nests, hatchlings, and nesting habitat have been addressed in the permit. The applicant will not conduct construction activities on the beach or at night during the marine turtle nesting season (May 1 through October 31) to avoid impacts to any nesting turtles, eggs, or hatchlings. All construction materials and equipment will be transported, stored, and operated via a floating barge. Pier lighting, though not proposed at this time, shall not be installed unless an acceptable lighting plan is submitted to and approved by the DEP. There are no seagrasses or other submerged biological resources at the site.

A local government comprehensive plan has been adopted for this area pursuant to section 163.3167, F.S.; however, the Department of Community Affairs (DCA) determined that the plan is not in compliance. In accordance with the Compliance Agreement between DCA and the local government, an amendment has been adopted which brought the plan into compliance. The proposed action is consistent with the adopted plan as amended according to letters received from Santa Rosa County.

(See Attachment 16, Pages 1-28)

RECOMMEND APPROVAL SUBJECT TO PAYMENT OF $ 8,704.10



Item 17 SunTrust Bank, Southwest Florida (d/b/a Orange Harbor Mobile Home Park) Lease Modification/Survey Waiver

DEFERRED FROM THE MAY 25, 1999 AGENDA

WITHDRAWN FROM THE JANUARY 26, 1999 AGENDA

REQUEST: Consideration of an application for (1) a modification of an existing five­year sovereignty submerged lands lease to increase the preempted area from 26,116 square feet to 209,212 square feet, more or less, for an existing commercial docking facility; and (2) a waiver of the survey requirement.

COUNTY: Lee

Lease No. 360009925

APPLICANT: SunTrust Bank, Southwest Florida, a Florida corporation, as Trustee

(d/b/a Orange Harbor Mobile Home Park)

Board of Trustees

Agenda - June 8, 1999 Page Twenty-one



Item 17, cont.

LOCATION: Sections 34 and 35, Township 43 South, Range 25 East, in the Caloosahatchee River and the Orange River, Class III waters

Aquatic Preserve: No

Manatee Area idle/slow speed/caution zone: Yes

Outstanding Florida Waters: No

CONSIDERATION: $29,476.38 as the initial lease fee computed at the base rate of $0.1156 per square foot, and including the initial 25 percent surcharge payment for the additional area. Sales tax will be assessed pursuant to section 212.031, F.S., if applicable. If the staff recommendation regarding the survey and legal description is approved, fees will be verified upon receipt of an acceptable survey.

STAFF REMARKS: The lessee is proposing to modify an existing 42­slip commercial docking facility by: (1) increasing the preempted area from 26,116 square feet to 209,212 square feet; and (2) increasing the number of wet slips from 42 to 75.

On July 18, 1978, the Board of Trustees approved a sovereignty submerged lands lease containing 2,841 square feet, more or less, to construct and operate a commercial docking facility for the upland mobile home park. The lessee rents mobile home lots to residents; therefore, the mobile home park is a revenue generating/income related activity pursuant to section 18-21.003(44), F.A.C. The rule also states that any activity (such as a docking facility) on sovereignty lands which serves as an accessory to an upland revenue generating activity is also considered to be a revenue generating/income related activity. Therefore, use of the submerged land requires a lease pursuant to section 18-21.005(1)(b)2, F.A.C. Although the lessee does not charge the mobile home residents a fee to use the docks adjacent to their mobile homes, the lot rent is higher for waterfront lots than non-waterfront lots.

Under a delegation of authority (DOA), the lease was renewed and modified by the former Department of Natural Resources (DNR) on August 29, 1988, to include in the lease unregistered grandfathered structures consisting of five finger piers and a marginal dock and boat ramp, increasing the lease area to 6,960 square feet. Although these structures are located near those authorized in the original lease, they were not included in the original survey or lease. There is no record of any site inspection being performed at this facility between 1978 and 1988.

From 1978 until 1994, individual Orange Harbor Mobile Home Park (Park) residents applied for and obtained regulatory exemptions from the Department of Environmental Regulation and proprietary consent of use letters from DNR and the Department of Environmental Protection (DEP) for "single-family" type docks. Although a lease would have been required pursuant to section 18-21.005(1)(b)2, F.A.C., another rule section, 18-21.005(1)(a), F.A.C., states that docks that are exempt from regulatory permitting are exempted from any requirement to make application for consent of use, and such consent is granted by the Board of Trustees. In the applications from Park residents, it was indicated that they were the riparian upland owners, and there were no clear indications of the rental nature of the mobile home park. Therefore, the applications were reviewed as if the structures were private, single-family docks associated with single-family lots, when in fact the uplands were owned by SunTrust Bank and constituted a revenue generating/income related activity pursuant to the rule. SunTrust Bank has indicated to DEP staff that responsibility for construction and maintenance of the individual docks was left to each waterfront resident.

In 1994, a Park resident submitted an application for a boat lift at the dock located adjacent to his mobile home. The application revealed that he was not the upland owner, that in fact SunTrust Bank owned the lots. DEP staff's subsequent research of property records revealed Board of Trustees

Agenda - June 8, 1999 Page Twenty-two



Item 17, cont.

that the mobile home park was owned entirely by SunTrust Bank, without any individually-owned lots. DEP staff performed a complete shoreline inventory and contacted SunTrust Bank, informing them that the lease must be modified to include all of the structures on sovereignty submerged lands adjacent to the park. SunTrust Bank willingly complied with the requirement to modify the lease accordingly.

Under a DOA, the lease was modified by DEP on June 5, 1995, to: (1) eliminate from the lease a marginal dock and four finger piers (six wet slips preempting 3,276 square feet) that were deteriorating and no longer needed by the Park because of lack of user demand; and (2) include in the lease all of the other structures built by the individual lot renters. These structures consisted of 31 fishing piers and 28 docks. This modification increased the lease area to 23,171 square feet. Lease fees in arrears for these structures were paid by the lessee. Interest on the lease fees in arrears was not assessed because of the past authorizations issued.

The lease was again modified by DEP under a DOA on January 21, 1998, to convert five of the fishing piers to docks, increasing the lease area to 26,116 square feet. The modified lease now accurately reflects all existing structures.

The overall facility currently consists of a four-slip docking facility and boat ramp at one of the mobile home park's common areas, two fishing piers adjacent to two other common areas, and numerous individual docks and fishing piers, each adjacent to individual mobile home lots. All of these existing structures are within the existing lease. The lessee's proposed lease modification will: (1) convert 21 existing fishing piers to docks adjacent to individual mobile home lots by allowing mooring at the structures; (2) authorize some of the existing docks to be reconfigured or expanded; (3) authorize construction of new docks; and (4) include the area of sovereignty submerged lands between each structure consistent with sections 18-21.003(38) and 18-21.004(1)(c), F.A.C. The modified lease will provide a total of 75 wet slips for exclusive use of mobile home park residents. The boat ramp and remaining fishing piers will also remain for the exclusive use of mobile home park residents.

As a commercial operation, the lessee is responsible for paying the annual lease fee, but is allowed by chapter 723, F.S., the Florida Mobile Home Act, to choose to pass on the annual lease fee to the waterfront lot renters. Most of the mobile home park residents are retirees, many on fixed incomes. There is a continual turnover of park residents, and new waterfront lot renters often desire to change the configuration of the dock or fishing pier adjacent to their respective lots. They also want to minimize the annual lease fee by designing each dock's lease area to be as small as possible. This has resulted in continuous lease modifications to change the preempted area to accommodate new or relocated boat slips or larger vessels at various individual structures. Therefore, future requests for additional lease modifications were anticipated to occur frequently throughout the term of the modified lease.

Minimizing the lease area raises three concerns. First, the previous frequent lease modifications required significant staff time; future lease modifications would also require Board of Trustees' reviews. Second, it has not adequately included all of the preempted area in the lease as required by sections 18-21.003(38) and 18-21.004(1)(c), F.A.C. Because many of the docks are located close together, the area between the docks that is currently excluded from the lease is also realistically preempted from traditional public uses. However, the Board of Trustees and DEP typically require such areas to be included in sovereignty submerged lands leases. Therefore, continuing to allow these areas to be excluded from the lease raises a third concern: inconsistency with other Board of Trustees and DEP authorizations. To address these concerns, the applicant has agreed to modify the lease to include the areas between those docks whose proximity to one another effectively preempts public use. Staff and the lessee Board of Trustees

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Item 17, cont.

estimate that this will add approximately 168,290 square feet to the lease area, resulting in an additional annual lease fee of $19,454.32. Because of this lease fee increase, the Park residents do not agree with including the additional preempted area in the lease.

Staff has considered whether a net environmental benefit would result from replacing the existing docks, adjacent to individual mobile homes, with one or more multi-slip docking facilities. However, this alternative would concentrate pollutants, raise potential navigation concerns, and result in an extensive and costly permitting process for SunTrust Bank that would ultimately be passed onto the Park's waterfront residents. Therefore, staff does not recommend this alternative.

Section 18-21.008(1)(a)4, F.A.C., requires a survey and legal description to be submitted with all lease applications. Pursuant to Board of Trustees' action on May 14, 1991, the Board of Trustees authorized a waiver of the survey requirement in the following situations: (1) when unregistered grandfathered structures are brought under lease (regardless of total square footage of sovereignty submerged lands preempted); and (2) when existing or proposed facilities are brought under lease that preempt less than 3,000 square feet.

A survey was required for the original lease and the 1988 lease modification because those actions occurred prior to creation of the survey waiver. When the remaining unauthorized unregistered grandfathered structures were brought under lease in 1995, a survey was not required because staff interpreted the survey waiver to apply to unauthorized unregistered grandfathered structures. Unauthorized unregistered grandfathered structures are those where a lease is the appropriate authorization for the use of sovereignty submerged lands, and the riparian upland owner did not apply for the lease by April 1, 1991.

The currently proposed lease modification includes construction of new structures (docks and boat lifts). These structures do not qualify for a waiver of the survey requirement because: (1) they are new structures (not unregistered grandfathered); and (2) while they are less than 3,000 square feet, the overall leased facility exceeds 3,000 square feet. However, the lessee has requested a waiver of the survey requirement because of the anticipated expense of the survey. Although the lessee is responsible for incurring the expense of the survey, the lessee may choose to pass this expense on to the park residents pursuant to chapter 723, F.S., the Florida Mobile Home Act. The expense associated with surveys was considered by the Board of Trustees when the survey waiver was approved in 1991. To avoid the expense and delay associated with preparation of a survey for the currently proposed lease modification, DEP required the applicant to submit a sketch and description consistent with the survey waiver requirements. A special approval condition has been included requiring submission of an acceptable survey and legal description.

An October 19, 1998, inspection showed that the applicant is in compliance with the existing lease. All fees are current through July 1999.

The DEP issued a letter to the lessee, dated October 20, 1998, stating that the proposed additional docks and boat lifts were exempt from regulatory permitting requirements.

The modified lease request was not required to be noticed because of an exemption for lease modifications pursuant to section 253.115(5)(i), F.S. However, DEP received 23 letters from Park residents expressing the following concerns: (1) the lease modification process entailed significant delays preventing them from building/modifying their docks; (2) because they own the individual structures adjacent to their mobile homes, the structures are not commercial and therefore should not be subject to the lease requirement; and (3) because of item (2), they should not have to pay lease fees. DEP sent each of these 23 residents a letter responding to Board of Trustees

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Item 17, cont.

these concerns. DEP also provided a follow-up letter including a preliminary draft agenda item for their review. That agenda item was also provided to State Representative Bruce Kyle's office and the Park management to be posted in the Park for review by all Park residents.

On March 18, 1999, DEP held a three-hour public meeting with the lessee, an aide to Representative Kyle, and over 200 park residents. The residents asked numerous questions about authorizations to use sovereignty submerged land. Two options for the lessee were identified at the meeting: (1) pursue the lease modification discussed in this agenda item; or (2) await the findings of a DEP sufficient title interest working group to determine whether the individual structures could be authorized by a consent of use instead of a lease. Option (1) would allow the park residents to modify their structures in the near future, after the modified lease is issued. Option (2) would prohibit modification of the leased structures until the sufficient title interest working group findings are completed, which could entail significant time delays because of potential rulemaking. By the end of the meeting, it appeared that the lessee and the residents looked favorably on option (1), and many of the residents stated that they had a much better understanding of the costs and benefits of modifying the submerged land lease to include additional preempted area. Subsequently, DEP requested and received the lessee's written intent to pursue option (1).

Recommendations from the DEP's Division of Marine Resources regarding manatee protection include requiring the lessee to: (1) comply with the standard manatee protection construction conditions for all in-water construction; (2) install and maintain manatee informational displays; and (3) restrict use of the boat ramp to mobile home park residents. Items (1) and (3) will be addressed in the lease as special lease conditions. Item (2) is addressed by a special lease condition in the existing lease requiring the lessee to maintain the existing manatee informational displays throughout the term of the modified lease and any subsequent renewals.

A local government comprehensive plan has been adopted for this area pursuant to section 163.3167, F.S.; however, the Department of Community Affairs (DCA) determined that the plan was not in compliance. In accordance with the compliance agreement between the DCA and the local government, an amendment has been adopted which brought the plan into compliance. The proposed action is consistent with the adopted plan as amended according to a letter received from Lee County.

(See Attachment 17, Pages 1-8)

RECOMMEND (1) APPROVAL SUBJECT TO THE SPECIAL APPROVAL CONDITION, THE SPECIAL LEASE CONDITIONS, AND PAYMENT OF $29,476.38; AND (2) DENIAL OF THE SURVEY WAIVER