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Art lives on in the heat of summer

Art lives on in the heat of summer

On the heels of the Fourth of July’s fireworks, Holmes Beach’s art community proved Friday that they could draw a crowd with an out-of-season Art Walk.

With Hurricane Barry bearing down on Louisiana and warm humid weather on Anna Maria Island, three of the seven regular art outlets opened their doors and soon their stores were bustling with people.

Art Walks are normally held the second Fridays of the month from January through April, but in May the Artist’s Guild of Anna Maria Island announced it would continue the walks through the summer and other participants were invited to join in. Island Gallery West and Restless Natives joined in.

Art Walk Island Gallery West
Island Gallery West drew a good crowd as the customers had an opportunity to speak to the gallery’s artist of the month, Patrick O’Neill. – Tom Vaught | Sun

Lyda Dicus of Restless Natives decided to take it a step further, putting tables and chairs out front so people could paint pottery and there were a lot of promising artists participating.

“I think it’s a success because it got a lot of people out participating,” she said. “I think I’m going to do it again at the next Art Walk.”

If the event continues to draw large numbers of interested people the Art Walks might become a year ‘round event.

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Castles in the Sand

The suburbs and the millennials

For several years, I wrote about how the millennials were moving into the cities. They didn’t want anything to do with the suburbs and their parents’ lifestyle. Well, in the space of two weeks I discovered that everything old is new again.

In the 1950’s families, including mine, were moving from the city to the suburbs, buying up new homes in what were once potato fields and family farms. This migration from the cities to the suburbs happened because of the demand for housing after World War II when the veterans could finally settle down and start their families.

When the grandchildren of those families grew up, they said, “No way,” and vowed not to return to the mundane lifestyle of backyard barbeques and Little League. But don’t ever say never since the millennials, many of whom are in their late 30s, are coming back with families in tow, only this time instead of moving to the suburbs outside of major Northern cities, they’re coming south. This reversal has a lot to do with the mobility of jobs and the growth of the South, which is benefitting from the real estate slow down and taxes of the Northeast.

Recently, a very extensive piece in the Wall Street Journal studied the reversal from city to suburban life. It reported that the growth rates of the suburbs are far outpacing metropolitan areas and the South is winning the race. This supports what I wrote about last week regarding investors buying up first-time buyer properties, hurting millennials who suddenly want to buy houses and raise families.

Some of the hot Sun Belt areas with good job opportunities that are benefitting from this influx of young families are Frisco, Texas, Nolensville, Tennessee, Scottsdale, Georgia and our very own Lakewood Ranch.

As fate will have it, the same day I read the story about the city to suburban reversal there was a report in the Bradenton Herald about 3,000 new homes that will be built in Lakewood Ranch. After a little research, I discovered a couple of interesting things about Lakewood Ranch that we who live surrounded by water probably haven’t paid attention to.

First of all, 74 percent of Lakewood Ranch residents are either between the ages of 25 – 44 or over 65. I also read that Massachusetts General Hospital is opening a Brain Health Initiative that will be based in Lakewood Ranch, kind of an achievement for the Bradenton area. Also, the median age in Lakewood Ranch is 49.4 compared to Anna Maria Island’s 64.3. There are not too many millennials with families moving here. Finally, Lakewood Ranch is 31,000 acres and 29 square miles with a population of over 11,000.

The reason I’m telling you this is two-fold. First of all, to keep everyone aware of changes in real estate trends both locally and nationally and second to help us sun and sand worshippers appreciate what’s going on east of our shoreline. We’re all part of the same region, so what happens in Lakewood Ranch can have a serious impact on us – traffic, parking, success of restaurants and shops just to name a few. The millennials may prefer to live in Lakewood Ranch, but for them visiting Anna Maria Island is one of the reasons they came here.

Well, once again, millennials are picking up where baby boomers left off. Now it’s their turn to influence all aspects of life in the country. Everything old is new again.

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Holmes Beach budget talks begin

Holmes Beach budget talks begin

HOLMES BEACH – The city’s initial budget workshops are completed and city leaders have a budget that they’re prepared to present to residents in September at two budget hearings.

Holmes Beach Treasurer Lori Hill presented the budget to commissioners over a series of daytime work sessions. Hill, who spent months drafting the budget, proposed that commissioners use the rollback rate for property taxes this year.

Due to an increase in the overall value of property in the city as determined by the Manatee County Property Appraiser’s Office, Hill said using the customary 2.25 millage rate would cause an increase in taxes for property owners. She suggested and drafted the budget using the 2.1226 mills rollback rate to keep ad valorem taxes and the city’s revenue from the tax on par with the current year’s budget. The total amount of revenue to the city through ad valorem taxes is expected to be $4,234,993, a slight decrease from last year’s $4,255,643.

The millage rate is the amount assessed on a property per 1,000 square feet of the building or home. For a home with 2,000 square feet, the ad valorem tax to the city would be $4,245.20 not taking into account any potential discounts for early payment.

Hill said that she was able to use the rollback rate due to the receipt of unanticipated grant funds. She also projects increases in revenue for the building department, code enforcement due to proposed changes in the city’s vacation rental certificate program and a $115,000 projected interest revenue increase.

She projects that the rollover to the 2019-20 fiscal year when the current year ends Sept. 30 could be as high as $1.2 million due to the unanticipated grant funds and project rollovers. Her budget proposes adding around $500,000 to the city’s reserves and another $250,000 to the reserve funds set aside for the Bert Harris claims and cases facing the city.

The total proposed budget for the year is $15,863,864, including $7,478,249 in carryover and reserves.

The Sun will be diving further into the Holmes Beach budget leading up to the two September public hearings. If you have questions about the budget, submit them to kswain@amisun.com.

Mayor/Commission

The budget proposes a total of $178,953 for the mayor and commission budget, including commissioner stipends of $500 per month and the mayor’s stipend of $2,000 per month. It also includes $8,475 for computer/IT services to set up and maintain commissioner and board member email addresses, $7,000 for mayor and commission travel and $2,500 for binders, toner, nameplates, business cards and other miscellaneous expenses.

General Government

The general government budget proposes an increase from $602,951 to $828,112 in personnel services to include eight full-time employees, $23,400 for temporary scanning services and a $16,000 compensation study, $180,000 for the land development code and comprehensive plan review, a $100,000 legal contingency, $50,000 for a lobbyist and $25,000 to be used at the commission’s discretion to fund The Center of Anna Maria Island, Keep Manatee Beautiful or another nonprofit or cultural organization.

Total operating expenses are expected to come in at $951,875. Adding capital outlay funds of $16,500, the total general government budget is $1,796,487.

Police

The proposed Holmes Beach Police Department budget shows a $10,000 decrease over the previous year bringing the total to $3,385,663. The budget includes a $20,000 increase in personnel services due to increases in required overtime for holiday weekends, marine patrols and other issues requiring more officers, such as special events. It also includes $72,630 for computer/IT services which Chief Bill Tokajer said will keep the department up to current Florida Department of Law Enforcement standards and $87,965 to purchase needed equipment including four bulletproof vests, bulletproof helmets breaching tool kits and FDLE compliant computers.

Public Works

The budget for public works proposes $722,602 in total personnel services for 10 full-time employees, $75,000 for emergency management training, $641,104 in total operating expenses and an increase of $152,000 in capital outlay projects bringing that total to $305,000. The increase in capital outlay expenses covers improvements to the police kitchen, improvements at the public works barn building, park enhancements and the purchase of a new tractor and excavator that the department has been saving for over the past three fiscal years. The total budget is proposed at $1,668,706.

Building Department

The proposed building department budget shows a marked decrease in the total budget amount from $957,453 in the current fiscal year to $882,061 proposed for the coming fiscal year. The budget includes $76,150 in professional engineering services, the purchase of two Ford Escape vehicles and the purchase of office equipment for a plans examiner. Total personnel services for the department are budgeted at $586,761 with $239,800 in operating expenses and $55,500 in capital outlay costs, including the two new vehicles.

Code Enforcement

The total proposed code enforcement budget indicates a $191,248 increase over the current year to $481,644. The funds include $309,818 in personnel services for four full-time employees, $10,000 for special magistrate hearings, $6,000 for the printing of supplies including flyers and window clings, $40,000 for a new truck and four-seater golf cart, and $10,800 for computer replacements.

Skate park design nears completion

Skate park design nears completion

HOLMES BEACH – The preliminary designs are in for the city’s new cement skate park, but funds are still needed to construct the bowl addition.

Tito Porrata, lead designer and project manager with American Ramp Company, and City Engineer Lynn Burnett presented the preliminary designs for the promenade-style skate park and accompanying bowl.

Porrata said the skate park would be a beginner to intermediate street-style course featuring ramps, rails, stairs, triangles, banks, hips and a quarter pipe.

“All the basics within a modest size,” he said of the design.

The promenade section of the skate park is planned to be about 5,000 square feet.

Holmes Beach skate park bowl
Funding is still sought to build a Y-shaped skate bowl over a retention pond along Marina Drive. – Submitted

Though Porrata said the course is good as-is, he highly recommended adding the Y-shaped bowl he designed to accompany the skate park to make it “complete.” To build the bowl, the city is still seeking a donor or multiple donors to help raise the $100,000 additional funds needed for the structure. If the bowl is to be built, construction has to take place at the same time the rest of the skate park is built to keep the cost of the addition low.

If built, Porrata said the bowl would be about three and a half to four feet deep and stick out of the ground about three feet.

“If a donor happens, this bowl is ready,” he said.

Commissioners nodded their approval of the designs and Mayor Judy Titsworth took the opportunity to ask that anyone considering helping to fund the bowl contact her at city hall.

“I hope you guys like it,” Porrata said of the skate park designs. “It’s going to be really fun.”

Final design deliverables for the skate park are expected during the July 23 commission meeting.

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Mobility program dropped in favor of ban

Mobility program dropped in favor of ban

HOLMES BEACH – The wait is over for the owners of Mobile Muttley’s, at least in Holmes Beach. Commissioners agreed in a 3-2 informal vote during a July 9 work session to not move forward with a one-year pilot program for an alternate mobility share service, in this case, docked bicycles.

Instead, commissioners are now considering an outright ban on mobility share services, including docked and dockless bicycles and electric scooters. The ban is planned to be citywide.

Commissioners briefly considered allowing docked bicycle sharing services on private property with a site plan review but decided in an informal 3-2 vote to prohibit those as well to prevent opening the issue up to large companies coming into the Island and bringing bicycles share stations that have limited oversight.

Commissioner Rick Hurst said that he believes the commission either needs to ban the share services outright or find a small company to come in and run them. The previously proposed one-year trial period, he said, would be difficult for a small local business to fund with the knowledge that their ability to operate in the city could be taken back after only a year for any reason. To offer the trial period, Hurst said, would open it up to a large national company that already has equipment ready to install that could easily be relocated if the trial in Holmes Beach didn’t work out. He added that it would need to be an Island-wide effort to make it worthwhile for any business owner.

Mayor Judy Titsworth agreed.

“What you’ve done is open it up,” she said. “If you don’t prohibit it, you’ve made it a free-for-all.”

City Attorney Patricia Petruff said that she would work on the prohibition language as well as changes to the land development code to ban electric scooters from the city. The ban on electric scooters applies only to recreational electric and battery-powered scooters, not mobility assistance devices that assist those with medical issues.

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More changes proposed for VRC program

More changes proposed for VRC program

HOLMES BEACH – At their June 27 work session, commissioners continued the discussion on how to amend the city’s vacation rental certificate program ordinance, ending the discussion with some decisions made and other still up for consideration.

In previous discussions, commissioners agreed to raise the amount of vacation rental certificate initial applications and renewals from $150 to $600. During their June 27 work session, commissioners agreed to a new recommendation from city staff to lower that amount to $440. Mayor Judy Titsworth said that the new amount should cover the costs of the program without overcharging rental agents and owners. Chief Bill Tokajer said that the number was the product of updated calculations by staff and that he felt confident that with the number of rental units in the city that charging $440 per application and every two years for renewals would cover the costs incurred by the city to manage the program.

Tokajer also suggested changing the amount charged for different violations of the vacation rental program to reflect the seriousness of some violations.

For lesser violations, commissioners agreed to charge $150 for a first violation for advertising that violates city codes or ordinances, failure to list the VRC number on all advertising, failure to list the number of parking spaces on all advertising, failing to register any new rental agent with the city within 15 business days, failure to schedule an inspection within 30 days of application and failure to schedule a re-inspection within 30 days of an inspection failure, all of which offer 48 hours to come into compliance before a second citation is issued.

Also incurring a $150 first violation fine is the improper placement of a short-term rental sign on the property, which gives 24 hours to comply with city codes before a second violation and fine are issued.

Renting a property for an improper length of stay and failure to comply with any advertising requirement, including statements concerning noise in residential areas, also incur a $150 first violation.

Renting a property without a valid VRC issued by the city will incur a $500 first violation fine.

Exceeding maximum occupancy limits, advertising without a valid VRC, advertising that does not specifically state a seven-day minimum and advertising exceeding the maximum occupancy all incur a $250 first violation.

Commissioners also agreed to move forward with language suggested by Commissioner Kim Rash to better explain the city’s stance on noise in residential areas. Rash suggested putting examples on the city’s pamphlets and in the VRC ordinance required language to be posted in rental units to help visitors better understand what the different noise levels are and what is and is not permitted in residential areas.

Talks on changes to the VRC program are expected to continue when commissioners meet July 9.

Progress made on park improvements

HOLMES BEACH – City engineer Lynn Burnett gave a presentation on capital improvement projects during the June 27 commission meeting and gave commissioners hope that progress will soon be seen in city parks.

Burnett opened her presentation with a bit of surprising news: Holmes Beach property owner Nora Scholan is willing to donate 26 acres of waterfront property to the city to extend Grassy Point Preserve. Burnett said all that Scholan asks in return is access through a city right of way to a half acre buildable plot of land adjacent to the land being donated. Burnett suggested the new addition be named Hames Preserve after Scholan’s family.

“I think this is a great, great opportunity,” Commissioner Carol Soustek said. “We do appreciate it very much.”

Commissioners agreed to the deal and Burnett said she’d bring contracts back to the July 9 meeting.

At Spring Lake, Burnett said the water would soon be bubbling as the aeration system is scheduled for installation and is expected to be operational by the end of July. The aeration system will push air bubbles to the surface of the water, helping to refresh the water column and dissipate some of the remaining acidity in the water.

Burnett also said that work is scheduled to begin on grading and installation of stormwater drainage at the new location for the city’s dog park following the July 9 meeting. With work getting started, the hope is that the park will be fully operational before the winter season begins.

Progress made on park improvements
This mockup of the new Holmes Beach skate park is about to be replaced with an updated design of what the park will look like.

Drainage and ground preparation work also are beginning following the July 9 meeting for the Holmes Beach Skate Park. Burnett said that new designs for that park will be delivered to commissioners during the July 9 meeting, including designs for the additional bowl area for which she said a donor may have been identified to help fund.

Commissioners continued discussions about the possibility of adding a 900-square-foot splash pad to the entrance to the city park complex. With major concerns about safety, maintenance, high cost and maintaining the health of people who use the splash pad, commissioners eventually dismissed the idea with Commissioner Jim Kihm the only one in favor of continuing discussions.

“Well, I tried,” he said when the consensus was taken to not move forward with a splash pad.

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Strong man competition, holidays cause traffic concerns

Strong man competition, holidays cause traffic concerns

LONGBOAT KEY – When officials met for the Coalition of Barrier Island Elected Officials meeting June 18, the topic of discussion turned toward traffic related to holidays and special events.

The previous weekend saw three of the four days of The World’s Strongest Man Competition held on Anna Maria Island with one day at Coquina Beach in Bradenton Beach and two days, including the finals, at Manatee Beach in Holmes Beach.

During the day of competition at Coquina Beach, Bradenton Beach Mayor John Chappie said things went smoothly, both with traffic and crowd control, though he said there was some traffic congestion due to the competition. He said that the Bradenton Beach Police Department provided two officers in addition to the security hired by the event coordinators. In the future, he said it would be appreciated if more advance warning was given to the Island city leaders before large events such as the strong man competition were held.

Commissioner Carol Soustek, representing Holmes Beach, agreed. She said the competition was way more popular with fans than city leaders had anticipated and that parking was a major issue during the two days the competition was held in Holmes Beach. She said more planning would be needed for the next time something like that was held on the Island.

Holmes Beach Police Chief Bill Tokajer said he felt the event was very successful.

“It actually went pretty good,” he said of the event, adding that there was one minor fight that officers broke up and just over 100 parking tickets written over the two-day period.

On Saturday, June 15, he said there were 16 law enforcement officials on-hand, including nine from HBPD, three from Manatee County Sheriff’s Office, and four mounted sheriff’s officers. On Sunday he said there were 15 law enforcement officials present for the finals of the competition. Over the two-day period, he said there were around 34,000 cars counted coming onto the Island at Manatee Avenue.

During the event, he said event coordinators were overwhelmed by the crowds that came out to see the athletes compete, saying that this was the largest crowd to attend one of their events.

Though there were no tickets handed out for the event, leaving officials with no real way to count the number of attendees, Tokajer said he estimates that 5,000 to 10,000 people attended the two days of competition in Holmes Beach.

For the future, he suggested that event coordinators designate off-site parking for attendees to cut down on the amount of traffic and confusion with finding parking spaces that he observed during the strong man competition. He also suggested having additional food vendors to help meet the needs of such a large crowd.

At the BIEO meeting, Chappie also brought up a need to discuss the ongoing traffic issues related to holiday weekends on the Island. Over the recent Memorial Day weekend, he said Bradenton Beach police officers experienced issues with crowd control at the beaches and with illegal parking. Soustek said Holmes Beach officers had similar experiences and suggested the Island cities try to work with Manatee County officials to find a balance between celebrating the holidays and special events on the Island with locals and visitors and experiencing overcrowding situations.

Chappie agreed as well as Anna Maria Mayor Dan Murphy. Chappie said a meeting had been scheduled with law enforcement leaders and Manatee County officials to discuss how traffic and crowds related to holidays and special events could be better handled in the future.

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Board accepts new fire chief contract

Board accepts new fire chief contract

BRADENTON – West Manatee Fire Rescue’s soon-to-be Chief Ben Rigney’s employment contract is approved and ready to go into effect when current Chief Tom Sousa retires from the fire service in October.

WMFR’s board of commissioners voted unanimously June 18 to accept the terms of the contract negotiated by board Chair David Bishop. Once the vote was taken, Sousa and the five fire commissioners each took a turn congratulating Rigney on his promotion and the acceptance of the contract.

The contract is for five years and requires Rigney to reside in the district for the entirety of the term. The fire chief position is the only one with WMFR that carries a residency requirement. Until October, Rigney will continue in his current position as battalion chief.

Bishop said that during negotiations he also argued for the chief’s salary to be raised somewhat to come up to current standards and bring it more in line with other Florida fire districts. He said he tried to negotiate a raise for Sousa during his three years as chief, but that Sousa refused.

“When you have talent, you pay for talent, and you have high expectations for results,” Bishop said.

Rigney, a career WMFR firefighter, was selected by commissioners in March to succeed Sousa. He was the only candidate to emerge from a three-month internal selection process and received recommendations not only from commissioners but also from his fellow firefighters.

The candidate selection committee was headed by Commissioner Larry Jennis, who gave Rigney a positive recommendation during the March meeting.

In addition to taking on the mantle of fire chief, Rigney also will be undertaking a two-year training program to achieve the top certification for a fire service officer with the National Fire Academy’s Executive Fire Officer program. Rigney said the program, previously a four-year endeavor, is undergoing some restructuring and that he hopes to start sometime in the next year. He was accepted in the program in mid-2018.

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Muscle up! Strong men hit the beach

Muscle up! Strong men hit the beach

MANATEE COUNTY – The 2019 Tachi Palace World’s Strongest Man Competition began in downtown Bradenton on Thursday, June 13, shifted to Coquina Beach in Bradenton Beach on Friday and concluded at Manatee Beach in Holmes Beach on Saturday and Sunday.

Strong man winner
Martins “The Dragon” Licis competing for the World’s Strongest Man title in Holmes Beach. – Submitted

Twenty-eight-year-old Martins “The Dragon” Licis claimed the 2019 World’s Strongest Man title.

Licis is an American competitor who was born in the European country of Latvia.

Poland’s Mateusz Kieliszkowski finished second and defending champion and former “Game of Thrones” cast member Hafthor “Thor” Bjornsson, from Iceland, finished third.

strong man Game of Thrones
Iceland’s Hafthor “Thor” Bjornsson finished in third place. – Submitted

Competitors and fans traveled from around the world and the United States for this year’s competition. Sponsored by the Tachi Palace Hotel & Casino in California and organized by the International Management Group (IMG), this year’s competition took place in Manatee County for the first time since the international event was conceived in 1977.

– Sun correspondent Monica Simpson contributed to this story

Proposed changes for VRC program

Proposed changes for VRC program

HOLMES BEACH – City leaders are considering implementing some changes to the vacation rental certificate program that may cost vacation rental owners a little more money at application and renewal.

“This is way better than it was the first time,” Commissioner Rick Hurst said of the proposed changes to the ordinance.

One of the biggest changes to the ordinance is a proposed increase in the cost for application and renewal every two years to $600 from $150. Mayor Judy Titsworth said the increase will allow the program to be self-sufficient, paying for itself without putting an undue burden on taxpayers or relying on fines for funding. She said her hope is that eventually the city will be able to have complete compliance with the program and issuing fines will be a rarity.

Another potential change is in how violators of the VRC program will be cited. Under the current ordinance, violators are given a warning and time to comply with the program’s rules. Repeat violators can be taken before a special magistrate by code compliance, though none have been brought before a special magistrate yet.

Under the proposed ordinance a first violation can result in a fine and any subsequent violations will result in fines and an appearance before the special magistrate where Titsworth hopes daily fines will be instated. Violators who do not pay their fines will automatically be taken before the special magistrate.

“It’s got the teeth in it we were looking for,” she said.

Commissioner Jim Kihm said he wants to make sure that serious violations of the program are addressed and discouraged by code compliance officers and the related fine amounts.

Though a proposed flat fine amount of $150 for a first violation, $500 for a second violation and $5,000 for an irreversible violation were suggested by city staff, commissioners are considering putting violations into tiers to separate serious violations from those that could simply be an oversight on the part of a rental agent or property owner.

City Attorney Patricia Petruff said the highest amount allowable for a first code enforcement violation is $250 per day. She encouraged commissioners to make sure there is a good balance in the ordinance between compliance and enforcement. Kihm asked her to come back to commissioners with the maximum applicable fine amounts allowed by the state for future discussion.

Commissioner Carol Soustek said she doesn’t feel that tiers for violations will be necessary if code compliance officers build a strong case for repeat violators to bring before the special magistrate.

The change of authorized agent fee is proposed to increase from $35 to $50. Reinspection and second reinspection fees are proposed to remain the same at $50 and $70 respectively.

Titsworth said she’d spoken with code compliance officers who assured her that the fees cover the costs of staff time, including benefits, to conduct the inspections.

Discussions on proposed changes to the VRC are expected to continue at a future commission work session.

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Commissioners approve election changes

Commissioners approve election changes

HOLMES BEACH – City commissioners had a full agenda when they met June 11.

The first thing commissioners tackled was the second and final reading of an ordinance altering the city’s election procedures. They voted unanimously to pass the ordinance which changes how candidates are validated to run for office. Now, rather than applying with the city clerk’s office and turning in paperwork to City Clerk Stacey Johnston, candidates will have to submit their candidate paperwork to the Manatee County Supervisor of Elections Office. While Johnston will still serve as the Holmes Beach election official, she will no longer qualify candidates.

Commissioners also took a first vote on the ballot questions recommended by members of the city’s elected Charter Review Commission. The questions passed their first reading with a unanimous vote. Commissioners said they were considering either a workshop for residents to help them better understand the ballot language or sending out a letter explaining the ballot questions in more detail.

Commissioners also voted unanimously to approve the extension of two moratoriums currently in place.

A moratorium preventing permit-to-permit construction on non-FEMA compliant homes, those built below the base flood elevation and including ground-level homes, will now end on Sept. 11.

While the moratorium doesn’t prevent applying for a permit to improve a structure, it does require homeowners to adhere to the FEMA 50 percent rule which allows for improvements up to 50 percent of the property’s assessed value. Once the 50 percent is reached, homeowners must wait to apply for another permit. City officials are considering a one year waiting period from receipt of a certificate of completion. The moratorium does not apply to involuntary damage to a home that needs to be repaired, such as damage from a storm.

The second moratorium extension approved applies to the alternative transportation share moratorium which prevents business owners from coming to the city and setting up bicycle, scooter and other docked and dockless sharing services. The mobility services moratorium is now set to expire on Sept. 30. Commissioners are considering implementing a carefully controlled pilot program with a single docked bicycle share service with the docks placed on private property.

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Holmes Beach logo OLD

Biz tax changes take shape

HOLMES BEACH – Good news may be coming for owners of residential rental properties in the Island’s largest city.

Commissioners voted four to one on June 11 to exempt residential rental properties from a requirement to have a business tax receipt, with Commissioner Rick Hurst dissenting. For owners of vacation rental properties, those rented for less than 30 days, the requirement to have a BTR is in addition to a requirement to have a vacation rental certificate.

The exemption does not apply to motel or hotels for which the BTR annual fee is currently $191.44 plus $3.82 per unit.

City staff estimates there are 506 annual or monthly rental units currently with BTRs and about 1,200 vacation rental units. It currently costs $31.90 for each rental unit to obtain a BTR. Though the city pulls in an estimated $54,000 from rental unit BTRs, City Clerk Stacey Johnston says the city is actually losing funds because of the time and many employees it takes to verify and complete the applications.

For the 506 annual and monthly rentals in the city, at $31.90 each the BTRs bring in $16,141 for the city. Due to expenses from employee time without complications that need to be remedied on the application, Johnston said each BTR actually costs the city $9.55 to process, leading to a loss of $4,833.90.

She said the process to approve a BTR is a long one, involving five steps, six employees and a lot of work that takes away from the employees’ other duties.

If commissioners agree to increase the amount of the vacation rental certificate, which must be renewed every other year, Mayor Judy Titsworth said that program will gather the same information as a BTR from vacation rental owners and absorb the cost and loss of funding to the city. What commissioners will lose is the funding from the 506 annual and monthly residential rentals, which staff says won’t actually be a loss because of the processing costs to the city.

Rather than doing away with the requirement for a BTR, Hurst suggested looking at simplifying the BTR process, saying that “it just seems like this process is just too complicated” for a $31.90 fee.

Titsworth agreed that the idea has merit, suggesting staff look into what the minimum state requirements are for a BTR and if the process can be simplified. She agreed to provide a staff report with more detailed information for the ordinance’s second reading, expected when commissioners next meet on June 27.

Related coverage

Commissioners consider exemption for rental homes

Castles in the Sand

Real estate selling for the smartphone generation

If your smartphone has become an extension of one hand and the TV remote an extension of the other, then iBuying may be the next logical step in selling your home.

There have always been people who need to sell their homes quickly because of a lost job, a sudden move or personal tragedy. Usually, selling fast comes at a price, but Zillow and other online tech companies think they can efficiently predict the value of a home, make you an offer and get you moving.

Last year, Zillow moved into home flipping, and it now has nine regions in play and expects to be in 20 markets by early next year. Interested homeowners complete a questionnaire on Zillow’s website and they receive an initial offer within 48 hours and a final one after an inspection. There is a service fee of about seven percent of the purchase price based on needed repairs. If accepted, Zillow closes the transaction within 90 days and then attempts to resell the house.

Sounds easy, right? Well, it is in the sense that you don’t have to pick up the kids’ socks and put away the breakfast dishes to get ready for a showing. You also may not have to make maintenance repairs or updating if you’re willing to accept Zillow’s offer reflecting these changes.

This can cut both ways. Yes, you don’t have to come up with the money to do the repairs and you avoid the inconvenience, but you may give up money in the long run. Most buyers like properties that are move-in ready and don’t want a renovation project. It’s easier for them to pay more and build the work that’s already done into the mortgage than close at a lower price and come up with the money to renovate. Zillow says let that be our problem, here’s your money, goodbye.

Zillow and other online companies are primarily working in areas that are homogeneous, consistent neighborhoods where many of the homes are the same and value is quick and easy to determine. Arizona and Florida are prime areas for iBuyer programs where many of the homes are in subdivisions with identical or similar homes.

However, their goal is to move into more diverse and more expensive areas in the Northeast. They’re throwing the dice and hoping that homeowners are willing to pay higher fees for a convenient and speedy transaction. Higher priced properties tend to take a longer time to sell, costing homeowners more in carrying charges and potential repairs, especially if another property has already been purchased or is about to close.

Zillow admits its margins are “razor thin,” but is moving forward quickly. In 2018 Zillow bought less than 700 homes, but it expects to expand that to 5,000 homes per month in three to five years. The business model is to turn the property around in 90 days and remove the emotional aspect of the sale, which frequently slows down the process.

Naturally, not being part of the smartphone generation, I’m a little worried. Worried about these companies being overextended and left with a bunch of houses not selling and flooding the market. Sound familiar? On the other hand, the generation that embraced Uber may be ready for the click and swipe of selling their home.

Frankly, I kind of like the emotional aspect of selling a home you’ve lived in for many years, raised a family in and lovingly took care of. Recently my nephew and his wife purchased their first home, over full ask and with other buyers breathing down their necks. What got them the house was a personal letter to the owner with their recent wedding picture enclosed. That was the couple he wanted his beloved house to go to. I’ll take emotion any day.

More Castles in the Sand:

What’s in a color

We may be getting older, but we’re not stupid

Home ownership and the millennials

Castles in the Sand

What’s in a color

Did you know there is an entire segment of psychology devoted to color?

Color can dramatically affect moods according to experts in color psychology, so what effect does color have on the color of our homes? Apparently quite a bit.

Zillow, an online real estate database, did a 2018 paint color analysis revealing that colors can have a significant impact on a home’s sale price. The major and somewhat shocking discovery that came out of this analysis is that homes with black or charcoal gray front doors sell for $6,271 more. Interesting, but don’t tell that to the Chinese who consider red a lucky color frequently used on front doors. The Chinese study of Feng Sui teaches that good chi comes into a home through the front door, making lucky red front doors popular.

Coastal Living, an online magazine, has their own opinion about the color of front doors on the coast and none of them are black, gray or red. Here is what Coastal Living recommends: seafoam, Dutch blue, raspberry, blue-green, yellow, Capri blue,
white, tangerine orange, blue-grey, salmon and aqua.

Zillow’s study also discovered that light blue bathrooms can bring in an additional $2,786 and that red kitchens can take $2,310 off a home’s sale price. In addition, Zillow’s analysis reported that houses painted yellow or any hue of yellow on the exterior sold for $3,408 less.

Do we believe any of this? Maybe some of it, but isn’t the best front door one that blends in with the rest of the property, is clean and doesn’t need painting? What we do believe is its time for another three-month report of properties selling over $1 million dollars on the Island and in Cortez. This time we’re looking at February, March and April with closed properties compiled from the Manatee County Property Appraisers Office and available properties from Realtor.com as of this writing.

There were two closed properties for these three months for $1 million or over in the village of Cortez. One closed for $1,200,000 and the other closed for $1,379,000. The previous three-month analysis had no closings in this price range.

The city of Anna Maria had 14 closings for $1 million or over. The largest closed sale was for $4,350,000 and the smallest was $1,050,000. The previous three-month analysis was also 14 closed properties. Aside from the $4 million dollar closing, all the other closings were under $2 million.

The combined cities of Bradenton Beach and Holmes Beach had a total of 19 closed properties over $1 million. The highest sale was for $2,450,000, the lowest was for $1 million and there were four $2 million or over sales. The previous three-month analysis had seven properties selling for $1 million or over.

Currently available as of this writing in Cortez there are five properties between $1,500,000, which is residential land, and $1,100,000. The last time there were six in this price range available.

The city of Anna Maria has 60 properties on the market over $1 million ranging from $5,500,000 to $1,049,000. There are four over $4 million, six over $3 million and 17 over $2 million. The last analysis for Anna Maria had 58 properties available.

Finally, Holmes Beach and Bradenton Beach have a total of 68 properties $1 million or over, ranging from $6,200,000 to $1,025,000. There is one property listed over $5 million, three properties listed over $3 million and two properties listed over $2 million. The previous three months had 85 available properties.

I guess we should keep the color psychologists in business since they’ve gone to the trouble of telling us exactly what our mood should be based on color. According to them black represents unhappiness and red is excitement, but what do they know.

More Castles in the Sand:

We may be getting older, but we’re not stupid

Home ownership and the millennials

What’s in a hurricane name?