March 18, 2007

MainStreet: Hot Topic of the Day

Not unexpectedly, the recent news about our ambitious Main Street project which includes some land already held in Trust for the Seminole Tribe of Florida and the additional land proposed to be added to that Trust land has generated a healthy mix of anxiety and excitement in our community as well as for some of our neighboring cities. Three key concerns relate to the proposed 24 story 1,000 room hotel, the casino expansion, and the application to place more land into Trust. This article primarily is intended to better inform newer residents who may not be familiar with the history and the planned future of this important property.


1982- 4.886 acres of land in Coconut Creek was given to the Seminole Tribe in exchange for Tribal reservation land needed by the State for the Florida Turnpike. That land was subsequently taken into Trust for the Indians and is now sovereign land on which the Tribe may do anything that is legal in the State of Florida. The City has no jurisdiction on that property. 1985- The property was placed into Trust and rezoned from Agricultural to Commercial to allow for a convenience store (smoke shop). 1988- The Indian Gaming Regulatory Act was passed. It is the federal law governing Indian gaming. Only Indian trust land owned prior to this date is allowed to have gambling – except if newly acquired trust land is contiguous to trust land owned prior to 1988. As of this date the Tribe has the right to conduct only Class II gambling (no slots and most table games). It cannot operate Class III (slots and full table games) until a compact is executed with the State of Florida. 1999- After years of planning and negotiating, the City and the Tribe approved an Agreement that essentially provides for city water and sewer service to the site in exchange for $1 million annually at Class II and $2 million at Class III. That payment increased by $100,000 per year for the next five years and now continues to escalate based on the consumer price index. Important provisions of the Agreement include: Tribe will pay the taxes (Actually an equivalent payment in lieu of taxes PILOT) to the city on all their property presently in the City and on any additional properties that may be taken into Trust; the Tribe has also agreed to a limited waiver of sovereignty for purposes of enforcing the agreement; and an additional annual payment of $17.00 per square foot will be paid to us for additional Class II gaming space. This amount will increase to $23 for Class III gaming. These monies cannot be used for personnel or administrative purpose nor to directly lower taxes as this would suggest a reliance or dependence by the City on the success of the gaming operation. It is used for capital improvement projects, land acquisition, and other projects as may be authorized by a super majority of the City Commission. This special fund also improves our future bonding capacity and its use indirectly helps us cap budgetary expenditures.


The overall project area is an approved Regional Activity Center. This future downtown area is planned, designed and intended for higher density. Density is Destiny. Without it, mass transit will not work. Without it, restaurants and retail shops will struggle to survive. More people living and working in the Main Street area will mean less traffic than if everyone was simply driving to and from a shopping or entertainment destination. The area is already approved for 1000 hotel rooms. Marketing studies emphatically identify that our area is critically underserved by quality amenities expected in vibrant suburban communities. Most cities in Broward County are built out and working on redevelopment. We are uniquely positioned. With nearly 400 acres of mostly vacant land in the middle of the city, we are now the focal point for developmental interests. There is going to be more traffic whether or not this project happens. Hurricanes will not deter people from continuing to move to the Sunshine State. Nonetheless, we do know that there will be big traffic issues related to the project. We have authorized a traffic impact study and an economic impact study to be used in formulating our response to the Bureau of Indian Affairs and we have been coordinating with Broward County, the State, and the Cities of Coral Springs, Margate and Parkland in this regard. The City Commission and staff have anticipated this attention and planned well to ensure the best interests of our residents. The Seminole Tribe has been a working partner in this endeavor. We confidently expect that their project will be an important anchor in the southwest corner of Main Street.


In 1999, a number of community activists railed against the casino and the attendant evils expected to accompany it. While none of those fears (drug use, prostitution, rapes, loitering, robberies, home invasions, and decreased property values) materialized, some will undoubtedly resurface. We know there will be issues and we are prepared for that challenge.


John Kelly

Posted by goldberg at 05:35 PM