CITY COUNCIL MEETING

MINUTES
SPECIAL SESSION
224 S. Jefferson Street
Perry, Florida
March 6, 2001

MEMBERS PRESENT: Shirley Scott, Don Cook

MEMBERS ABSENT: Richard Frith and Bill Alexander

STAFF PRESENT: Bill Brynes, Barney Johnson, Billy LaValle, George Stamos, Bill Blue, and
Annette Anderson

OTHERS: Mr. Buddy Humphries, Taylor County Development Authority; Jim Bassett, Bishop Clark,
Don Lincoln, Jack Scott and Mark Southerland

Vice Mayor Scott called the meeting to order.

SUBJECT OF MEETING:

CITY COUNCIL TO DISCUSS ECONOMIC DEVELOPMENT ISSUES.

Vice Mayor Scott opened the meeting for discussion. Vice Mayor Scott said the meeting was for
discussion purposes only and no decisions would be made this meeting.

Mr. Humphries reviewed his opinions and assessment of what best could be done for the City to
address impact fees and business incentives. Mr. Humphries said he does not think the City needs to
make a hard and fast rule regarding impact fees. Mr. Humphries said he feels the issue should be open
for review on a case-by-case basis. Councilmember Cook expressed concern about the how the City
would avoid being called subjective or showing favoritism if it made decisions on a case-by-case basis.
Mr. Bassett said the Council could look at the number of jobs and revenue that could be generated
from a business or industry. Mr. Lincoln asked how (you) would delineate giving to retail business
versus industry or manufacturing business. Mr. Lincoln said a retail business looks at the numbers i. e.
how much profit they can make. Mr. Lincoln said a manufacturing or industry looks at many factors
and inducements by a community.

When asked by Mr. Southerland, Councilmember Cook said impact fees go into a fund that will be
allocated when the City has to do major improvements to its sewer system. Councilmember Cook said
he is hearing TCDA proposing the City set up a formula or matrix to determine impact fees and
incentives for business and industry. City Manager Bill Brynes commented “you don’t have to treat
everyone alike as this is strictly a business decision.” Councilmember Cook said the City needs to be
able to defend itself where a minority firm might be turned down and then a white business is
approved. Councilmember Cook said (you) need to obtain objective criteria to keep from having
discriminatory basis. Councilmember Cook said he could see saying no to someone if there is a
justifiable reason. City Attorney Bill Blue commented if the group puts together a list of criteria that it

Page 2, March 6, 2001, Council Minutes – Special Session

can negotiate on each point and as long as a decision is not based on minority in the criteria, there
would be no discrimination. Mr. Blue so long there is a quantifiable reason, there would be no
discrimination. Mr. Southerland suggested using criteria percentages to avoid the possibility of
discrimination.

Mr. Scott asked if this proposal was for non-resident businesses of the City. Mr. Humphries said the
TCDA’s major focus is for improving existing businesses in the City. Mr. Scott commented that in
fairness to whoever is locating wherever, the bottom line is profit. Mr. Scott said one concern is
services within the City could be diminished if there are not restrictions regarding expansion outside
the city limits. Mr. Scott mentioned TCDA’s proposal to the City to extend sewer services to a
business located outside the city limits. Mr. Humphries explained that funding for the project would be
through a Community Development Block Grant program for economic development. Mr. Humphries
said there would be no cost to the city.

Councilmember Cook said he disagreed on restricting expansion outside the city limits.
Councilmember Cook said the city could generate more income by far than the cost of providing
service. Referring to the proposal to expand sewer services to United Welding, Councilmember Cook
said the City stands to make a profit where it does not now make a profit, as this expansion would
generate far more income than expense for the City. Councilmember Cook said such decisions have
been good business decisions. Councilmember Cook stated the city is in the business of creating jobs
and bringing in businesses that will create new jobs and lower costs for the city.

Mr. Humphries then reviewed several incentives or inducements for consideration. Mr. Humphries
said these criteria would help guide the decision-making process but would not be limited to these
criteria. Mr. Humphries commented again he feels each request should be considered on a case-by-
case basis and not set by hard and fast rules.
1. Number of new jobs.
Councilmember Cook suggested deleting item 2 and changing this item to creation of new
jobs with hourly rate higher than minimum wage.
2. Number of new well-paying jobs.
3. Impact on the environment. (Is business environmentally friendly?)
4. Impact on city infrastructure.
Councilmember Cook suggested changing to “financial” impact on city infrastructure.
5. Does new business fit into our community goals?
6. Multiplier effect on community. (How much money to be spent in Perry)
7. Amount of new ad valorem tax generated.
8. Does the business need incentives? (Do not always have to ask)
9. Would they locate here without the incentives?

Page 3, March 6, 2001, Council Minutes – Special Session

Councilmember Cook said he believes that in a public session he can state how he intends to vote on
an issue. City Attorney Bill Blue agreed this is correct. Councilmember Cook stated he is going to
support and vote for the incentives discussed. Councilmember Cook said he likes the use of a checklist
and is in favor of the cause and feels it is in the financial best interest of the City that impact fees are
waived to create an equal of utilities and businesses that had to pay. Councilmember Cook said he
leans more toward a rigid guideline but would not vote against it if it were not rigid.

Director of Community Development George Stamos said businesses, industry and companies would
also look at factors such as educational and recreational services available in a community when
looking to locate. Mr. Stamos said the impact fees part can be negotiated with industry but to give tax
incentives you have to weigh against taxes on the citizens. Mr. Blue commented that one of the selling
points of the matrix system is the City would not have a battle when someone comes to the Council
requesting something, but he thinks there would still be this problem.

Mr. Humphries reviewed recommendations regarding a step-by-step procedure for new and existing
businesses requesting consideration for help:
a. What is time line for application?
b. Where do I start this process?
c. Who is the decision maker?
d. When will I get an answer?
e. What criteria will be used to determine if an applicant receives incentives or waiver of
existing impact fees?

f. What does the applicant need to provide to the decision maker?

Mr. Brynes commented that when (criteria) lists are used (you) are saying (you) will give someone
something when sometimes they may not want anything. Mr. Brynes gave an example of the water
extension to the Taylor Correctional Institute where water rates were negotiated. Mr. Brynes said
water and sewer rates could be negotiated, but gas prices could not be negotiated.

Vice Mayor Scott suggested Mr. Humphries, Bill Brynes and Mr. Blue have the leeway to discuss and
bring back a list of criteria set for individuals. Mr. Blue said he would like to see Council enact an
ordinance that would not do anything but communicate to future Councils these items for consideration
when discussing such issue. Councilmember Cook agreed that Mr. Humphries, Mr. Brynes and Mr.
Blue work together on these issue, but that Mr. Humphries should communicate to the City Council
any additional information the group comes up with.

Mr. Lincoln suggested amending the existing ordinance rather than creating another ordinance. Mr.
Blue suggested wording to the effect, “ the City Council has the discretion to waive, in whole or in
part, any fee.” Councilmember Cook said he would be comfortable with this wording.
Page 4, March 6, 2001, Council Minutes – Special Session

ADJOURNMENT.

At the conclusion of discussion, Vice Mayor Scott adjourned the meeting at approximately 6:30 p. m.

ATTEST:

_______________________________ _________________________________
William E. Brynes, City Manager Richard Frith, Mayor

Recorded in Official Minute Book:

___________________________ _________________________________
Annette Anderson, Secretary Date