Tavares, FL - Monday, Feb. 10, 2014
Tomorrow, the Lake County Board is being asked to approve, WITHOUT DISCUSSION, the start of a process to use $200,000 of library impact fees to design the total $2.2-million build out of the second floor of a library in South Lake County for unstated purposes. Those purposes may be to develop services that compete with tax paying businesses. The issue is in tab 8 of the "consent agenda" which means the Board will approve it without discussing it in public at the hearing.
Lake County, FL has a very expensive library built in Cagan's Crossings, in the very south east corner of Lake County and next to Polk, Osceola & Orange County. Various agreements exist/ed to allow residents of other counties to use the libraries, but as far as I know, Lake County paid for it.
Here is the link to the Cagan's Crossing library page: http://www.lakeline.lib.fl.us/libraries/cagan_crossings_community_library.aspx
That is the library where Polk County agreed to contribute annually towards library expenses, then welched, causing the Library Dept. to reduce staff. It is my understanding that Polk County HAS no libraries, thus I assume they do not have a Library Impact fee, but Lake County does.
This is the same situation where NORTH Lake County residents are charged a 1-mill hospital tax which subsidizes the Leesburg and Villages hospitals while Sumter County residents (most of the Villages) refused to tax themselves for hospitals.
Thus Lake County taxpayers are apparently subsidizing the cost burden of a library used by residents of three other counties, just like they subsidized Villages residents for hospital services (for indigent costs).
After Polk County welched on their funding portion, Lake County started charging Polk residents for a library card to use the library, which was the right thing to do.
The building was so expensive that they left the top floor vacant and did not finish it.
Now the Board is being asked tomorrow in their meeting agenda, tab #8, to throw more money at the Cagan's Crossing library without any recovery of the money (that we know of). The issue is part of the "consent" agenda, which means it won't be discussed at the meeting. Here is the agenda:
Download 2014-02-11 BCC agenda reg mtg awards
The county collects Library Impact fees from property owners, and is sitting on $840,000 that has not been spent. Impact fees cannot be spent on operations costs, but they are designated for capital spending like buildings, significant equipment, land, etc.
Recently, the Library staff, with South Lake businessman Mike Levine (and also current Chair of the Lake County Republican Executive Committee), formed a non-profit "Library Foundation of Lake County" to raise funds for the libraries to offset reduced tax revenues, which is a good idea. This is a personal project of Levine's a Realtor, and the Lake County Republicans are not involved. The Lake County School District has a foundation to raise funds, and this similar idea is the local public organizes to help fund favored projects instead of only expecting taxpayers to fund them through mandatory taxes.
Here are my issues with this initiative to spend up to $2-million on the Cagan's Crossing Library:
- Staff is asking the Board to approve an application for funding a $200,000 design plan BEFORE there is any public discussion, or understanding what the construction is for.
- The agenda for tab 8 says "There is no fiscal impact at this time". WHAT DO YOU MEAN? Readers have no clue that the total project will be up to $2.2-million because that is not mentione until you download the entire 225 page Board "packet", scroll down to the tab 8 area and read the "agenda item cover sheet".
- The cover sheet doesn't mention what the constructed area will be used for. My understanding (also not described anywhere) is the new floor will be a separate training center to compete with existing for profit training centers. Is that what impact fees should be used for? If it was expanded library stacks or related purpose, I could see it, but not an entire new use paid with impact fees. Should library impact funds be used to create community or training centers?
Here are the questions taxpayers and the Board should ask about this:
- Why spend impact fee tax income on projects like this without any payback plan and required contributions from the nearby counties AND their residents that will want to use it?
- Why spend $2.2-million for tax exempt facilities that may compete with local businesses?
- What is the actual plan for all the space, and how will costs be recovered for the taxpayers? NO information was provided in agenda supporting documents.
- Once the space is renovated, is there a rental plan to charge rent for the facilities and shouldn't it be provided first before approving even a design fee of $200,000. Note: The City of Tavares is building a pavilion on a pier, and they have a plan to repay the funds spent on it.
- Of all the libraries, why throw more money at an expensive building funded by Lake County which subsidized residents of three other counties and then one of them welched on funding? Until there is a full analysis for cost recoveries to Lake County, expansion should not be considered.
- If external parties want a training center in the vacant space, why isn't there a lease plan where cost recoveries are required in a legal lease?
- Why isn't the new Foundation being required to raise upfront initial funding for the project, or at least provide a 1 for 1 match? Instead, why spend $200-k for a Foundation plan where they have no required up front contributions and shared expense liabilities? Recently, the South Lake Sector Plan was developed using significant, up front contributions from beneficiaries, so why not the same for this project?
Recommendations:
1. The Lake County Board needs to postpone any decisions on initiating the design process until the above questions are asked, and a public hearing is held to determine public support, either for spending impact fees, or raising matching funds or allowing external projects to take place in the building without payback plans.
2. The Board needs to ensure NO project takes place that competes with local, tax paying businesses.
3. If this new "service" is considered a responsibility of Libraries, the Board needs to have public hearings on the purpose of Libraries and whether taxfunds should be used for expanded services like this, community rooms, computer centers, etc.
3. The County Board should not approve the process to fund the design or construction work until the above issues are resolved.
Vance Jochim
FiscalRangers.com
References: Here are the agenda information sheets for Tab 8 (on consent agenda) and also for Tab 12, where Mr. Levine is giving a presentation on the Library Foundation AFTER the Board approves the consent agenda item Tab 8. The tab 12 agenda sheet doesn't even mention the Cagan's Crossing issue.
Download T08 Library Impact Fees 4 corners Feb. 11 2014
Download T12 Library Foundation Preso Info sheet
