Collier commission to reconsider application for taxpayer dollars to build workforce housing

Collier commissioners will reconsider their approval of a developer's application for county tax dollars to build workforce housing.

On Tuesday, they voted 4-1 to take another look at the application at their next board meeting in two weeks.

The request came from Commissioner Bill McDaniel, who said he's become aware of new information that's triggered questions and concerns in his mind, which he wants the developer and county staff to address in the public eye.

His primary concerns are about the existing zoning, and how the surface water discharge would be handled on the site once developed, considering how close it sits to Henderson Creek, which flows into Rookery Bay, a protected estuary.

He also wants to have more discussion about the structure of the deal between the county and the developer, McDowell Housing Partners, and to get a better understanding of the rationale behind the developer's request for taxpayer dollars to help finance the project.

In late January, the board voted unanimously to move the project forward.

The county commission must still approve a contract to purchase the property, along with the developer agreement.

To help finance its project, the developer has asked for up to $3.75 million to secure the land for it. Under the proposed agreement, the county would buy the land, then lease it back to the developer.

The county money would come from dollars generated by a one-cent surtax voters approved in 2018 to fund capital projects in the county, including much-needed workforce housing.

The county set aside $20 million to fund land acquisitions for lower-than-market housing from the surtax, long before the levy expired at the end of last year. While several proposals have been floated by private and nonprofit developers, McDowell Housing Partners is the first to make it this far.

In explaining his request to reconsider the developer's application, McDaniel emphasized it had nothing to do with questioning the need for more affordable housing in the county.

More: Collier commissioners advance first proposal to build workforce housing with surtax money

More steps to go

Commissioner Burt Saunders cast the lone no vote. He argued any lingering concerns by McDaniel, or other board members, could be addressed as part of negotiating the developer agreement, which would spell out the exact terms of the private-public partnership.

He pointed out the project still must go through the county's site plan and permit approval process, as well.

That review will include consideration of the development's impact on water resources – and stormwater runoff.

"We just have not gotten there yet," Jamie French, the county's head of growth management, acknowledged.

He stressed anything staff approves would have to meet its land development and code requirements, as well as that of the state's.

It could be six months to a year before the developer has an approved site development plan, however, with many steps to go through, French said.

As for any potential zoning issues, Mike Bosi, the county's planning and zoning director, said he thought the developer had satisfied them already.

In case you missed it: Voters won't be asked to renew a 1% sales tax to pay for capital projects in Collier County

A 'fire drill" for the developer?

After Saunders suggested a reconsideration wasn't necessary, McDaniel insisted his concerns could not be addressed to his satisfaction without it.

"No sir," he said, adamantly.

Saunders described the effort as a "fire drill" for the developer, and a "waste of time." McDaniel disagreed with that characterization.

Commissioner Rick LoCastro, who motioned to approve the application last month, said he didn't have a problem in reconsidering it, if McDaniel thought it needed more scrutiny. He added that the board should not "ramrod," or make "knee jerk" decisions, about any projects.

"We often get accused of rubber-stamping things," he said. "That's not the case."

He welcomed more discussion, to ensure the county doesn't make a rush to judgment and gets the "best project on that site – or not."

"Maybe that's not the best site," LoCastro said. "I know it's been kicked around for a while."

The more than 7.5-acre site chosen for the project is at the corner of Collier Boulevard and Henderson Creek Drive, a half mile south of U.S. 41, not far from Marco Island. It sits in LoCastro's district.

Funding at risk?

Christopher Shear, the chief operating officer for McDowell Housing Partners, said a delay in finalizing the developer agreement could jeopardize state funding for the project, which is critical to making it work financially, along with the county dollars.

He pointed out the county's site development review process is rigorous, with a lot of staff involvement, and shared that he presumed the county would not move forward with the project, or the purchase of the land, if staff felt uncomfortable with the final details.

"I'm only talking about bringing this back for a discussion, so I can become comfortable with the decision to make the acquisition at all," McDaniel said, in defense of his request.

Shear warned the board he might not have all the answers or information McDaniel seeks in time for the next board meeting, but he agreed the matter should come back to the board as soon as possible, to avoid any significant delays.

"I think we can get there," McDaniel said.

He said one of his main objectives is to assure the community that the negative impacts from the development won't be as bad as some are out there portraying.

Chairman Chris Hall seconded the motion to reconsider, saying he wanted to be supportive and respectful of the request coming from a fellow commissioner, seeing no harm in it.

"I'm not looking to change my mind. I'm rooting for you," he said.

Commissioner Dan Kowal expressed similar sentiments, saying he thought it better to have any nagging questions, or concerns addressed at a public hearing, rather than behind closed doors, by the development team, and county staff.

What's proposed?

Dubbed Ekos on Collier, the project would include 160 units for renters, or households, making up to 110% of the county's median income, which now stands at more than $100,000 (for a family of four). The median is the midpoint, at which half make more and half less.

The apartments would be "100% affordable" and target essential workers, such as teachers, police officers, firefighters, and other "civil servants," including county employees. At least 40% of the units would be set aside for those making 80% or less of the area's median income, with a focus on addressing the "missing middle" market.

Plans call for a seven-story building, plus a clubhouse, with other amenities, including a dog park, pool and playground. There would be 64 one-bedrooms, 84 two-bedrooms and 12 three-bedrooms in the mix.

Based on size and income, monthly rents would range from a low of $483 to a high of $2,020.

The chosen site is currently zoned for commercial uses, and mobile homes, but a rezoning is not required to build the apartments because of the state's Live Local Act, designed to incentivize the development of affordable housing across Florida.

Passed last year, the act allows for administrative approval for qualifying projects, such as this one. The height can't be restricted to less than what's allowed for commercial or residential buildings within one mile of the site, which in this case is 75 feet, based on the zoning for Fiddler's Creek.

As part of the partnership, McDowell Housing Partners would sign a 99-year lease to keep the units affordable "in perpetuity."

This article originally appeared on Naples Daily News: Partnership to build workforce housing in Collier to get more scrutiny