Sarasota City Commission Workshop – August 12, 2024

The City Commission held a workshop on August 12, 2024, from 9:02 AM to 11:02 AM to discuss two major agenda items: the transition and retirement of City Attorney Robert Fournier, and an update on the Multi-Modal Transportation Impact Fee (MMTIF). No public comments were received. The workshop was chaired by Mayor Liz Alpert.

Discussion Re: Transition and Retirement of the City Attorney

• Human Resources Director Stacie Mason outlined key considerations for the City Attorney position, which is the only Charter Official role that can be internal or external. She noted that the position has been external for at least two decades. Factors to be considered included costs, independence, flexibility, retention of institutional knowledge, and comparable data from other cities and counties.
• City Attorney Robert Fournier raised three concerns: (1) providing assurances to the three non-retiring attorneys (Joe Mladinich, Joseph Polzak, John Shamsey) about their future employment; (2) the need to hire one or two additional attorneys to maintain functionality; (3) the office lease expires April 1, 2025, with a planned retirement date of March 1, 2025, and he sought flexibility from the landlord for a possible extension.
• Commissioners expressed strong support for retaining the current team. Commissioner Erik Arroyo favored an internal City Attorney, with a transition plan selecting one of the existing assistant city attorneys (proposing Joseph Polzak) and allowing the office to hire externally. He also supported using city-owned space (e.g., the Federal Building) to address the lease issue. Commissioner Debbie Trice requested historical perspective from a former commissioner but later agreed to review minutes instead. Commissioner Kyle Scott Battie echoed support for the team becoming internal staff. Mayor Liz Alpert favored retaining institutional knowledge and moving toward an internal model, pending a cost analysis.
• The three assistant city attorneys (Joe Mladinich, Joseph Polzak, John Shamsey) stated that they have an internal consensus for Polzak to be the next City Attorney, with Mladinich as Deputy City Attorney over litigation and business affairs, and Shamsey as Deputy City Attorney over real estate and land use. They expressed flexibility on being internal or external and emphasized a team approach. They also noted that support staff is willing to transition to city employees.
• Discussion on costs: Commissioners sought data on real savings versus costs of quality, responsiveness, and flexibility. The City Manager noted that the Sarasota County Attorney budget is approximately $4,898,179 for 26 employees. The Florida League of Cities was suggested as a resource for comparable data. The City Auditor and Clerk offered to review minutes from a previous commission that analyzed internal vs. external.

Presentation Re: Multi-Modal Transportation Impact Fee (MMTIF) Update

• City Engineer Nik Patel and Nilgün Kamp of Benesch presented the update. The last fee update was in 2016-17. The study uses a consumption-based methodology to calculate the cost of new development on transportation infrastructure. The current calculated fee for a single-family home is about $12,000, but due to Florida House Bill 337 (2021), fee increases are capped at 50% over four years, requiring phased implementation. The proposed schedule would increase the single-family fee from the current $7,300 to $11,000 over four years (starting January 2025).
• Key points: Fees are based on current construction costs (about $5.7 million per lane mile for city/county roads). The city uses a single benefit district (citywide) to meet rational nexus requirements. Discounts continue for the Newtown CRA, North Trail, and affordable housing units (up to 120% area median income). The fee is collected at certificate of occupancy, not at building permit.
• Commissioner questions: Commissioner Arroyo questioned the need for an increase, noting the city's fees are already higher than the county's and that the fund balance is growing. He expressed concern about increasing fees during a potential economic downturn. Commissioner Trice noted that increasing fees could help fund desired Capital Improvement Projects (CIPs). Vice Mayor Ahearn-Koch clarified the rational nexus and discount expansion. Commissioner Battie noted the timing issue between fee collection and project completion.
• Staff response: The increase is needed to keep pace with inflation and construction cost escalation. The city has been at 100% of the 2016 rate, but costs have risen significantly. The fees help ensure growth pays for itself rather than subsidizing growth through taxpayer dollars. The city can also require developers to make off-site improvements as part of site plan approval.

Key Outcomes

• City Attorney Transition: Staff (HR, City Attorney, City Manager) will develop a cost-benefit analysis of internal vs. external structure, including non-financial pros and cons, and present multiple transition plans at a future meeting. The commission expressed support for retaining the current three assistant city attorneys and moving toward an internal model, with Joseph Polzak as the proposed City Attorney. The office is authorized to work with the current City Attorney to hire additional attorneys to address staffing concerns.
• MMTIF Update: No formal decision was made. The workshop served as discussion. Staff will continue the implementation process, which includes public hearings and potential adoption of the updated fee schedule. The commission indicated interest in ensuring growth pays for itself and in evaluating triggers for automatic fee review if construction costs decrease.